An Enrolled Agent is a licensed tax practitioner that is authorized to appear in the place of a taxpayer before the IRS. The only professionals who are authorized to do so are Enrolled Agents, attorneys, and CPAs. Enrolled Agents are the only one of these three groups who earns their right to represent taxpayers directly from the federal government.
To become an Enrolled Agent, one must either pass a comprehensive exam encompassing all areas of the tax code or have five years of experience working in the IRS itself. After passing the test or having the experience the candidate must also pass a background check conducted by the IRS. In order to maintain their credentials Enrolled Agents are required to maintain additional professional education. This education has to be at least 72 hours over a three year enrollment period.
Enrolled Agents are bound by the ethical standards laid out in the Department of Treasury’s Circular 230. If they are found to not abide these standards they will be stripped of their credentials. Enrolled Agents should not be confused with the new Registered Tax Preparer credential which requires a much less extensive test and far fewer continuing education credits per year. The Enrolled Agent has been around since the time of the Civil War and is the mark of a dedicated tax preparer.
