Practice Before the IRS Flashcards
What is the role of the IRS Return Preparer Office (RPO)?
Overseeing tax preparers and their requirements, managing PTINs, AFSP, and IRS-approved continuing education providers.
What does OPR stand for?
Office of Professional Responsibility
What is the main responsibility of the Office of Professional Responsibility (OPR)?
Ensures tax professionals follow the law and maintain ethical standards.
What are the key areas the OPR deals with?
Misconduct and discipline, enrollment applications, and educating tax professionals about ethical standards.
What does ‘practice before the IRS’ mean?
Helping taxpayers with IRS-related issues, including preparing documents, communicating with IRS, representing taxpayers, and giving tax advice.
Who can practice before the IRS?
Attorneys, CPAs, EAs, Enrolled Retirement Plan Agents, Enrolled Actuaries, Low-Income Taxpayer Clinic Student Interns, and AFSP Participants.
Fill in the blank: Unenrolled tax return preparers have limited rights and can represent taxpayers only in _______.
audits with IRS revenue agents or customer service representatives.
Who can represent themselves or their immediate family in IRS matters?
Individuals without special credentials.
Who cannot practice before the IRS?
People without proper credentials, businesses, and preparers with only a PTIN without AFSP certification.
What is an Enrolled Agent (EA)?
The highest credentialed tax professionals certified by the IRS with unlimited representation rights.
What are the key responsibilities of an Enrolled Agent (EA)?
Examinations (audits), collections, and appeals.
True or False: Enrolled Agents can handle criminal cases.
False
What percentage of tax issues do Enrolled Agents handle?
97%
What types of tax issues can Enrolled Agents manage?
Filing returns, resolving disputes with the IRS, handling audits, appeals, and collection cases.
What is one role of an Enrolled Agent (EA) during IRS examinations?
EAs can represent taxpayers before the IRS.
EAs handle communication and correspondence with the IRS.
What can EAs do during IRS audits?
They can attend conferences, hearings, or meetings with the IRS on behalf of the taxpayer.
This representation is crucial for taxpayers facing IRS reviews.
What is an Offer in Compromise?
A request asking the IRS to accept less than the full tax debt.
EAs can negotiate this on behalf of taxpayers with unpaid taxes.
What types of agreements can EAs set up for tax debt collections?
EAs can set up installment agreements (payment plans).
These plans help taxpayers manage their unpaid taxes over time.
What can EAs request to extend regarding tax collections?
Request to extend the collection period.
This can provide taxpayers with additional time to pay off their debts.
What is an abatement in the context of tax collections?
A reduction in penalties.
EAs can assist clients in obtaining abatements on their tax penalties.
What actions can EAs help with to prevent property seizures by the IRS?
Releasing liens and preventing levies.
These actions protect taxpayers from immediate financial distress.
What is a Collection Due Process (CDP) appeal?
An appeal to challenge IRS enforcement actions.
EAs can file these appeals on behalf of taxpayers who disagree with IRS decisions.
What program can EAs represent clients in to resolve disputes with the IRS?
The Collection Appeals Program (CAP).
This program allows taxpayers to appeal IRS collection actions.
