We (IRS) ARE the law!

[tranquility]

I complained about the effects of an IRS program in the thread:
https://forum.freeadvice.com/tax-law-12/ptin-numbers-582813.html

Not only have they taken money from thousands in the program, but also they gave away the information used by preparers to do the required registration. (Including e-mail address. I get a ton of targeted spam from people who clearly got the address from the release.) Apparently, the IRS in creating the program...well, they were just making things up they wanted to do.

http://www.journalofaccountancy.com/News/Tax-return-preparer-20137218.htm
"The United States District Court for the District of Columbia on Friday struck down the IRS’s registered tax return preparer program and enjoined it from enforcing the regulations (Loving, No. 12-385 (D.D.C. 1/18/13)). "

Having decided that the statutory language unambiguously forecloses the IRS’s return preparer regulation program, the court declined to address the IRS’s other arguments. Since the regulation failed under the first step of the Chevron analysis, the court granted a declaratory judgment that the IRS “lacks statutory authority to promulgate or enforce the new regulatory scheme for ‘registered tax return preparers’ brought under Circular 230” (slip op. at 21).

The court also granted permanent injunctive relief, enjoining the IRS from enforcing its registration scheme against unenrolled preparers.

(Which is an odd way to put it as it might mean I still have to get the registration.)

The IRS will appeal.

See also:
http://www.mondaq.com/unitedstates/x/218318/tax+authorities/District+Court+Holds+IRS+Lacks+Authority+To+Issue+And+Enforce+Tax+Return+Preparer+Regulations

 

[davew128]

I agreed with the decision. The IRS did NOT have the authority to do what it did. Preparer regulation as a profession should, like all OTHER professions, be regulated and licensed by the states.

 

[LdiJ]

I agreed with the decision. The IRS did NOT have the authority to do what it did. Preparer regulation as a profession should, like all OTHER professions, be regulated and licensed by the states.

It would have been nice if the decision had come down BEFORE our company spent a boatload of money on continuing education and testing.

 

[tranquility]

It would have been nice if the decision had come down BEFORE our company spent a boatload of money on continuing education and testing.

Let alone the fee. I wonder if the fees will be refunded.

 

[davew128]

While I understand the anger over the registration fees (as an EA my renewal was REDUCED as a result), I don't see a problem with a firm paying for its employees to have CPE simply as a good business practice....especially since so much topical CPE can be found online for free or small fees.

 

[LdiJ]

While I understand the anger over the registration fees (as an EA my renewal was REDUCED as a result), I don't see a problem with a firm paying for its employees to have CPE simply as a good business practice....especially since so much topical CPE can be found online for free or small fees.

The way our firm has always handled continuing education is that a handful of us do extensive continuing education and then we teach everybody else. This was the first year that we had to pay for continuing education for more than 200 paid preparers. I generally clock in about 50-60 hours a year. There also is no free CPE available anymore. Even our software provider, who always has online tax courses each year charged for them this past year. Maybe the free CPE will come back now that its no longer required. Between registration fees, CPE credits and testing costs we were at about 400.00 a preparer this past year, which at 200 preparers is not chump change.

 

[tranquility]

But, the resulting spam from the release of my email by the IRS has provided me with TONS of potential providers to get my CPE. So, that's good, right?

 

[davew128]

There also is no free CPE available anymore.

Not true. I've earned 3 hours this week alone from free providers.

Even our software provider, who always has online tax courses each year charged for them this past year. Maybe the free CPE will come back now that its no longer required.

I don't know what you use, but it seems Lacerte still offers SOME free CPE. CCH of course does NOTHING for free.

 

[tranquility]

I don't know what you use, but it seems Lacerte still offers SOME free CPE. CCH of course does NOTHING for free.

While I understand what you mean, having written a huge check to Lacerte (Intuit) fairly recently, the concept there is ANY "free" there made my brain explode.