US EA – US Enrolled Agent
About EA
US Enrolled Agent (EA) is a prestigious credential awarded by the Internal Revenue Service (IRS) to tax professionals who demonstrate expertise in federal tax matters. EAs are authorized to represent taxpayers before the IRS, including in audits, appeals, and collections. This designation is highly respected in the tax industry and offers professionals the ability to specialize in taxation without requiring membership in any other professional organization, such as the American Institute of CPAs (AICPA).
Qualification Overview
To become an EA, candidates must pass the Special Enrollment Examination (SEE), a comprehensive three-part exam covering:
Alternatively, individuals who have worked for the IRS for at least five years in a role that involves tax law can also qualify for the EA credential.
Role and Authority
Representation: EAs are authorized to represent taxpayers before the IRS for all tax matters, including audits, appeals, and collections. They have the same representation rights as attorneys and certified public accountants (CPAs).
Tax Preparation: EAs are highly skilled in preparing tax returns for individuals, businesses, estates, and trusts, offering specialized knowledge in complex tax situations.
Tax Advice: EAs provide expert tax advice, ensuring clients comply with federal tax laws while minimizing liabilities.
Ethics and Professional Standards
EAs must adhere to the IRS’s ethical standards and are required to complete Continuing Education (CE) courses annually to maintain their credential. A total of 72 hours of CE every three years is required, including 16 hours on ethics, to ensure they remain current with evolving tax laws.
Career Opportunities
Tax Preparation Firms: EAs can work in tax firms preparing individual and corporate tax returns.
Tax Consulting: They can offer consulting services, advising clients on tax planning, tax-saving strategies, and IRS compliance.
IRS Representation: EAs often represent clients in disputes with the IRS, providing a critical role in handling audits, collections, and appeals.
Independent Practice: Many EAs run their own tax businesses, offering tax filing, consulting, and representation services.
EA vs. Other Tax Professionals
Enrolled Agent vs. CPA: While CPAs can also provide tax advice and represent clients before the IRS, they generally focus on a broader range of accounting services (auditing, financial reporting) compared to the tax-focused expertise of EAs. CPAs must also pass state-level exams, while EAs are federally licensed.
Enrolled Agent vs. Tax Attorneys: Tax attorneys specialize in legal aspects of tax law and may represent clients in court. EAs, on the other hand, focus on tax preparation and representation before the IRS, but do not provide legal advice or litigation services.