Enrolled Agent Fact Sheet

Q: What are Enrolled Agents?

A: Enrolled Agents are tax practitioners enrolled by the U.S. Department of the Treasury to represent taxpayers before all administrative levels of the Internal Revenue Service (IRS), including examination, collection, and appeals functions. EAs are governed by the regulations in Circular 230, Regulations Governing the Practice of Attorneys, Certified Public Accountants, Enrolled Agents, Enrolled Actuaries, and Appraisers before the Internal Revenue Service. Per California Business and Professions Code §22258, similar to certified public accounts and attorneys, Enrolled Agents are exempt from the requirements that unenrolled compensated tax preparers are subject to under California law.

Q: What’s the difference between Enrolled Agents and tax preparers?

A: There are several important differences! EAs are the only representatives for taxpayers who receive that right from the federal government rather than from individual states. EAs are required to demonstrate competence specifically in matters of taxation. Unlike CPAs or attorneys, Enrolled Agents specialize in taxation. They don’t simply “do taxes” from January through April; throughout the year, they advise and represent their clients on all matters of taxation. EAs prepare returns for individuals, partnerships, corporations, estates, trusts and any entities with tax-reporting requirements. The 4,200 tax professionals who belong to the California Society of Enrolled Agents prepare about 2,000,000 tax returns each year. EAs’ expertise in the constantly changing field of tax law enables them to be effective representatives when taxpayers are audited by the IRS or one of the state agencies.

 Q: What makes Enrolled Agents The Tax Professionals?

A: There are only two ways to earn the designation “Enrolled Agent.” The first is, by passing the Special Enrollment Examination, an extremely difficult test on all things tax, including procedures and ethics. The other way to become an Enrolled Agent is to be employed by the IRS for a minimum of five years, regularly applying and interpreting the provisions of the Internal Revenue Code and regulations. Following enrollment, EAs must maintain an annual schedule of professional education in the field of taxation, including ethics.

 Q: Why don’t more people know about Enrolled Agents?

A: Because it is difficult to become enrolled and maintain the high standards of enrollment, it is estimated that there are fewer than 42,000 Enrolled Agents worldwide. Taxpayers are learning about EAs from the nationwide Public Information & Awareness efforts of the California Society of Enrolled Agents, including extensive radio, print, and electronic campaigns.

 Q: Where can I find out more about Enrolled Agents?

A: Online at http://www.csea.org email info@csea.org or call 800/777-2732.