Hot Topics for Return Preparers
Hot Topics:
- Updated Frequently Asked Questions and Preparer Due Diligence Pages Include the New Requirements for EITC Due Diligence
- EITC Due Diligence Penalty Increased
- Watch our Meeting Your EITC Due Diligence Webinar
- EITC Due Diligence Penalty Increased
- EITC Paid Preparer Compliance Program Expanded
- EITC Compliance Strategy Brings in 10th Case Leading to Injunction
- EITC Due Diligence Video Clips-2011 Tax Forum Videos Now Available
- Fourteen Seminars from the 2011 Forums, includinging the EITC Due Diligence Seminar, are Available Online
- Order the EITC Due Diligence Made Easy DVD Online
- Treasury Department Circular No. 230 (Rev 8-2011)
- PTIN Renewal and New Return Preparer Requirements
- EITC Schedule C and Record Reconstruction Training
- EITC Due Diligence Video Clips
- 2012 Tax Forums Suggestions
- EITC Due Diligence Training Module
- Make a Complaint Against a Tax Return Preparer
- Don't Miss Any EITC News
Updated Frequently Asked Questions and Preparer Due Diligence Pages Include the New Requirements
We updated our site to include the new EITC Due Diligence requirements finalized in December 2011. We cover the new requirement to complete and submit the Form 8867, Paid Preparer's Earned Income Credit Checklist, with all returns and refund claims for EITC, other new record keeping requirements, and the expansion of the due diligence penalty to employers. See Our Updated Frequently Asked Questions Concerning the EITC Due Diligence Regulations and visit our Preparer Due Diligence pages for the latest information.
EITC Due Diligence Penalty Increased
Paid preparers failing to meet their due diligence requirements on EITC claims face higher penalties for returns required to be filed after December 31, 2011. The United States-Korea Free Trade Implementation Act signed into law October 21, 2011 amended IRC section 6695(g) by striking the $100 and inserting $500. The increased penalty is an incentive for due diligence compliance, ensuring more accurate EITC claims. View the United States-Korea Free Trade Implementation Act on the Library of Congress site.
Watch our Meeting Your EITC Due Diligence Webinar
If you missed or want to review the Meeting Your EITC Due Diligence webinar which aired on January 4, 2012, click here. The webinar covered the new requirements, how to avoid common pitfalls, and protecting yourself from higher penalties.
EITC Paid Preparer Compliance Program Expanded
EITC compliance now has new tiers of outreach, education and compliance, covering a broader base of new and experienced preparers, for earlier error prevention. Read more about the Targeted, Tailored and Tiered Compliance Program here.
EITC Compliance Strategy Brings in 10th Case Leading to Injunction
The IRS recently got its tenth injunction under the new streamlined process. The injunctions permanently bar preparers from preparing any further federal income tax returns for others or impose limitations on the preparer. Click here to read more about this compliance strategy and about actions against preparers filling fraudulent claims.
EITC Due Diligence Video Clips--2011 Tax Forum Videos Now Available
The popular EITC Due Diligence videos featuring The Preparer from the 2011 and 2010 IRS Nationwide Tax Forums are on EITC Central. Click here to view.
Fourteen Seminars from the 2011 Forums, includinging the EITC Due Diligence Seminar, are Available Online
You can audit the courses free of charge or you can earn continuing professional education credits online through seminars filmed at the 2011 IRS Nationwide Tax Forums for a fee. The seminars are now available on the IRS Nationwide Tax Forums Online (click here for the Nationwide Tax Forums seminar home page). The 14 self-study seminars provide information to tax professionals using interactive videos synchronized with slides. Each seminar includes downloadable PowerPoint slides and a transcript.
The seminars cover many topics of interest including EITC due diligene for preparers, tax law updates and changes to information on IRS procedures and processes, registered tax return preparer regulations, new information reporting requirements, IRS Fresh Start initiatives and their effect on collection and the small business health care tax credit. Click here to go directly to the EITC Due Diligence course.
Order the EITC Due Diligence Made Easy DVD Online
Our EITC Due Diligence Made Easy DVD (IRS Publication 4926) contains tools and resources to help you prepare tax returns. We've included EITC related forms and publications you can use now and during the 2012 filing season. It also has the tax year 2011 income limits, the basic EITC eligibility requirements, the popular Due Diligence video clips from the 2010 tax forums and the Schedule C and Reconstructing Records training. If it's not on the DVD, we provide you easy links to additional resources to make Due Diligence easy for you. Click here to order your copy of the EITC Due Diligence Video online or, call 1-800-829-3676 to place your order up to five copies of Publication 4926.
Treasury Department Circular No. 230 (Rev. 8-2011)
Click here for the revised version of the Circular 230 for the Regulations Governing Practice before the Internal Revenue Service . Effective August 1, 2011, the Circular 230 now covers registered tax return preparers and other persons representing taxpayers before the Internal Revenue Service.
PTIN Renewal and New Return Preparer Requirements
You must renew your PTIN before January 1, 2012. PTINs obtained for the 2011 filing season expire on December 31, 2011. Renewal will be available in mid-October 2011. Click here for more information on the renewal process and for additional information on background checks, testing, and education requirements.
EITC Schedule C and Record Reconstruction Training
Find out how to meet your due diligence requirements and help your self-employed clients reconstruct their business records. Find our EITC Schedule C and Record Reconstruction Training here.
2012 Tax Forums Suggestions
The 2011 Tax Forums are over but we are already planning what topics to present for the 2012 Tax Forums. Please send your suggestions for EITC-related 2012 EITC Seminar topics to our program mailbox, eitc.program@irs.gov.
EITC Due Diligence Training Module
Check out the updated EITC Due Diligence Training Module online. Enrolled agents can now earn CPE credit. The module is also available in Spanish.
Make a Complaint Against a Tax Return Preparer
Use this site to find out how to file a complaint against a tax preparer.
Visit "What's Hot" on EITC Central for more news related to EITC and visit out Hot Topics for Our Partners for what's happening to increase EITC awareness.
Last updated: 2/10/2012