The Preparer Tax Identification Number (PTIN) system is now ready to accept applications, new and renewal, for 2014.
Over the next two months, roughly
690,000 federal tax return preparers must go online and renew their PTIN
– all current PTINs will expire on December 31. An IRS-issued PTIN must
be used as the identifying number on tax returns by anyone who, for
compensation, prepares or helps prepare any federal return or claim for
refund.
The renewal fee is $63, and the process can be easily completed online at www.irs.gov.
If you can’t remember your user ID and password, the website can help
you recover or reset your credentials. Those registering for the first
time can also complete the process online. The first time application
fee is $64.25.
The IRS is encouraging preparers to
renew their PTIN as soon as possible to avoid the last-minute rush. All
current PTIN holders will receive a “reminder” email from the IRS in the
near future. The online process is much quicker than the paper process –
Form W-12, IRS Paid Preparer Tax Identification Number Application and
Renewal, is available for paper applications and renewals, but takes
four to six weeks to process. In addition, the IRS has made a number of
enhancements to improve the online user experience:
- A fully functional “Manage My
Account” tool allows preparers to edit their account information online
at any time. Prior to this, a phone call to the IRS helpdesk was
required for changes made outside of the renewal period.
- Preparers can now view their
completed continuing education (CE) programs reported by IRS-approved
providers beginning with 2013 courses. CE Providers report completed CE
programs to the IRS based on the preparer’s PTIN number. The IRS reminds
preparers that it only displays what providers have reported. If a
course is missing, contact the CE provider directly.
- Paid preparers (who are not Enrolled
Agents) can now make their PTIN inactive if they plan to take a full
year off. When they return, they can reactivate the same number online.
This should only be used by preparers who are taking a full year off and
don’t plan to prepare returns during any part of the year.
- PTIN holders will now receive more
secure email messages directly from TaxPro_PTIN@irs.gov. Be sure the
email is actually from this address, and don’t hesitate to report
suspicious email by following the directions at Report Phishing at IRS.gov.
Failure to have and use a valid PTIN
may result in penalties. In addition, all Enrolled Agents, regardless of
whether they prepare returns, must have a PTIN in order to maintain
their status. For more information about requirements for federal tax
professionals and access to the online PTIN system, go to www.irs.gov/ptin.
Circular 230 Disclosure
Pursuant to the requirements of the Internal Revenue Service Circular 230, we
inform you that, to the extent any advice relating to a Federal tax issue is
contained in this communication, including in any attachments, it was not
written or intended to be used, and cannot be used, for the purpose of (a)
avoiding any tax related penalties that may be imposed on you or any other
person under the Internal Revenue Code, or (b) promoting, marketing or
recommending to another person any transaction or matter addressed in this
communication
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