Ten tips to help you choose a tax preparer

Even if a return is prepared by someone else, the taxpayer is legally responsible for what’s on it. The IRS reminds taxpayers to use preparers who will sign the returns they prepare and enter their required preparer tax identification number (PTIN).
Here are 10 tips to keep in mind when choosing a tax return preparer.
• Check the preparer’s qualifications. New regulations require all paid tax return preparers to have a PTIN. In addition, ask if the preparer is affiliated with a professional organization and attends continuing education classes. The IRS is also phasing in a new test requirement to make sure those who are not an enrolled agent, certified public accountant or attorney have met minimal competency requirements. Those subject to the test will become a registered tax return preparer once they pass it.
• Check the preparer’s history with the Better Business Bureau and for any disciplinary actions and licensure status through the state boards of accountancy for certified public accountants; the state bar associations for attorneys; and the IRS Office of Enrollment for enrolled agents.
• Ask about their service fees. Avoid preparers who base their fee on a percentage of your refund or those who claim they can obtain larger refunds than other preparers.  Also, always make sure any refund due is sent to you or deposited into an account in your name. Under no circumstances should all or part of your refund be directly deposited into a preparer’s bank account.
• Ask if electronic filing is offered. Any paid preparer who files more than 10 returns for clients must file the returns electronically, unless the client opts to file a paper return.  More than 1 billion individual tax returns have been safely and securely processed since the debut of electronic filing in 1990. Make sure your preparer offers IRS e-filing.
• Make sure you will be able to contact the tax preparer after your return is filed, even after the April due date, in case questions arise.
• Provide all records and receipts needed to prepare your return. Reputable preparers will request to see documentation and will ask you multiple questions to determine your total income and your qualifications for expenses, deductions and other items. Do not use a preparer who is willing to electronically file your return before you receive your W-2, using your last pay stub. That is against IRS rules.
• Avoid tax preparers that ask you to sign a blank tax form, which is something you should never do.
• Before you sign your tax return, review it and ask questions. Make sure you understand everything and are comfortable with the accuracy of the return.
• Make sure the preparer signs the form and includes his or her PTIN, which is required by law. Although the preparer signs the return, you are responsible for the accuracy of every item on your return. The preparer must also give you a copy of the return.
• Report abusive tax preparers tax fraud to the IRS on Form 14157, Complaint: Tax Return Preparer. Download Form 14157 from www.irs.gov or order by mail at (800) 829-3676.


Meg Chevalier is a senior tax specialist in the Providence office of the Internal Revenue Service. To contact or ask her a question, e-mail miguel-ina.y.chevalier@irs.gov.