Special AICPA News Update Volume 13 No. 41 

The Internal Revenue Service (IRS) launched its new preparer tax identification number (PTIN) regime today, a major step in its planned system of registration, qualification and oversight of all paid tax return preparers.

The AICPA worked tirelessly to ensure that CPAs’ commitment to professional practice standards was taken into account in the tax preparer registration regulation process, specifically CPAs’ superior education, regulation and ethical standards. As a result of the AICPA’s advocacy, CPAs are not required to meet the IRS examination and CPE requirements associated with the new regulations.

Today’s announcement from the IRS stated that it has “under serious consideration” additional guidance that may extend similar treatment to non-signing preparers who serve under a qualifying individual in certain professional firms, such as a CPA firm. The AICPA will keep you informed of any future developments.

1. All paid tax return preparers who “prepare all or substantially all of a tax return” are required to obtain a PTIN.
2. Even if you currently possess a PTIN, you still must apply under the new system.
3. PTINs are required by January 1, 2011 to be able to prepare returns after that date.
4. A $64.25 fee to obtain a PTIN is due upon application.
5. PTINs are valid for one year.
6. Obtain a PTIN online or via Form W-12, IRS Paid Preparer Tax Identification Number Application.