IRS can't regulate tax preparers

[cred65]

A U.S. appeals court on Tuesday struck down the U.S. Internal Revenue Service's authority to regulate tax-return preparers, dealing a blow to the Obama administration, which has been trying to crack down on tax preparation fraud.

The unanimous decision from the U.S. Court of Appeals for the District of Columbia upheld a lower court ruling that invalidated test-taking and continuing education requirements that the IRS wanted to impose on hundreds of thousands of unregulated tax-return preparers.

"We agree with the District Court that the IRS's statutory authority ... cannot be stretched so broadly as to encompass authority to regulate tax-return preparers,'' the court's 19-page ruling said.

—By Reuters

[David1980]

So the next step is for congress to grant the IRS the necessary authority.

[Tax Prep by Deb]

I wish there was a way I could get back the money I spent to earn a worthless certificate!

[Pacun]

Either the IRS will have to go to Congress or audit more returns when the returns are prepared by someone with only a PTIN.

I heard from an auditor that returns prepared by CPAs are more respected than others.

[GeneInAlabama]

I wish there was a way I could get back the money I spent to earn a worthless certificate!

Sometimes procrastinating pays off.

[Tax Prep by Deb]

In almost everything else I do, but for some reason I really wanted this to be done and now all I have is a worthless certificate hanging on my wall. Oh well!

[Jack from Ohio]

I want licensing requirements and someone watching over preparers. I want to push out the "two weeks a year" tax preparers.

The group that started this whole lawsuit thing must be in favor of fraud and incompetence. What I TOTALLY DISDAIN is the paying for having a PTIN. The costs are just a cash cow for the IRS. Maybe this judgment will eliminate the charges for renewing?

I am in favor of testing to obtain a PTIN. I am in favor of testing to obtain an EFIN.

[Tax Prep by Deb]

I agree. There does need to be testing. California has done it ever since

I began doing taxes. It does help some but I have seen some very bad tax preparers work just the same.