So, what is an Enrolled Agent?

That's a great question. When I do people's taxes and they ask me if I'm a CPA, I always let them know that I am not a CPA but rather an Enrolled Agent (EA). They form a confused look and their face and ask "What is that?"

Let's let the IRS answer... "An enrolled agent is a person who has earned the privilege of representing taxpayers before the Internal Revenue Service by either passing a three-part comprehensive IRS test covering individual and business tax returns, or through experience as a former IRS employee. Enrolled agent status is the highest credential the IRS awards." - (cite using this link).

In other words, the IRS has as much respect for an EA as they do for a CPA. We are not only tax preparers, we are professionals. Having an Enrolled Agent on your side can help save you from overpaying on taxes because we know how to rightly interpret the law AND we can represent you if the IRS audits you. If you go to a registered tax return preparer, they can advise you and file your taxes for you, but they won't be able to represent you.

We are bound by ethical standards that the IRS sets and we are held to those standards through the Circular 230 - our book of conduct. The IRS calls EA's an "elite status" and we have the highest credentials that the IRS will award. My goal is to raise awareness about the existence of EA's and their ability to accurately and precisely prepare a return and protect their clients.

Just for trivial purposes, there are approximately 665,000 active CPA's in the US right now. Look at that in comparison to a whopping 53,000 (approximate) EA's currently practicing in the US. I am one of those 53,000, and there isn't much of a difference in our abilities. In the eyes of the IRS, we have the same unlimited practice/ representation rights as CPA's do.

In summary, having an EA prepare your return does not exempt you from being audited, but it does protect you in the event of an audit. Your EA follows ethical practices and will adhere to IRS regulations and still save you the maximum amount of tax dollars you legally can save.

The benefits to having an EA are simple - we are aggressive with our approach to save you money while at the same time conscious of our efforts, adhering to the IRS regulations, and able to thoroughly represent you with the positions we take on your tax return.

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