Question

what are steps to become professional tax preparer in MA and PA.

Answer 1

Ans. The steps to become a tax preparer in MA and PA are as follows:

(i) Educational Overview- There are no strict educational requirements to become a tax preparer, though one must typically hold a high school diploma or its equivalent. Some employers may prefer individuals with some post-secondary training. Professional organizations such as the Accreditation Council for Accountancy and Taxation (ACAT) and the National Association of Tax Professionals also offer training programs

(ii) Registration Requirements- The Internal Revenue Service (IRS) requires registration for all paid tax preparers. Tax preparation professionals must obtain a Preparer Tax Identification Number (PTIN) and include it on all returns they sign.

(iii) Certification Overview- Voluntary certification from the ACAT is not required, but demonstrates a tax preparer's expertise in tax codes and regulations, which may increase employment opportunities. Professionals can earn the Accredited Tax Preparer (ATP) credential by passing the ATP examination. Tax preparers must have at least three years of experience to be eligible to sit for the examination. ACAT considers one tax season, lasting from January to April, to be the equivalent of a year of experience. They also allow college credit to account for up to two years of experience.