{"id":85591,"date":"2021-07-06t13:20:43","date_gmt":"2021-07-06t17:20:43","guid":{"rendered":"\/\/www.g005e.com\/?p=85591"},"modified":"2022-12-22t00:42:36","modified_gmt":"2022-12-22t05:42:36","slug":"should-tax-preparers-be-regulated","status":"publish","type":"post","link":"\/\/www.g005e.com\/2021\/07\/06\/should-tax-preparers-be-regulated\/","title":{"rendered":"how charlatans, creeps, and ghosts plague the tax profession"},"content":{"rendered":"<p><strong><a href=\"https:\/\/cpatwpe.s3.amazonaws.com\/cpatrendlines\/wp-content\/uploads\/2021\/03\/irs-logo-with-irs-black-on-white.png\"><img loading=\"lazy\" decoding=\"async\" class=\"alignright size-full wp-image-82216\" src=\"https:\/\/cpatwpe.s3.amazonaws.com\/cpatrendlines\/wp-content\/uploads\/2021\/03\/irs-logo-with-irs-black-on-white.png\" alt=\"\" width=\"300\" height=\"168\" \/><\/a>aicpa backs bill to regulate tax practitioners.<\/strong><\/p>\n<p><em>by 卡塔尔世界杯常规比赛时间 research<\/em><\/p>\n<p>here\u2019s a shocking stat from the treasury department:<\/p>\n<p style=\"padding-left: 40px;\"><em>\u201c\u2026 unregulated preparers who lack the training to provide accurate tax assistance \u2026 submit more returns than all other preparers combined.\u201d<\/em><\/p>\n<blockquote><p><b>more: <\/b><a href=\"\/\/www.g005e.com\/2021\/06\/06\/grappling-with-the-tax-gap\/\">grappling with the tax gap<\/a> | <a href=\"\/\/www.g005e.com\/2021\/04\/09\/wealthiest-taxpayers-cheat-irs-out-of-400-billion-a-year\/\">wealthiest taxpayers cheat irs out of $400 billion a year<\/a> | <a href=\"\/\/www.g005e.com\/2021\/04\/08\/irs-lags-on-compliance-correspondence\/\">173% increase in irs correspondence backlog<\/a> | <a href=\"\/\/www.g005e.com\/2021\/03\/18\/hunker-down-the-irs-backlog-isnt-going-away-anytime-soon\/\">hunker down: the irs backlog isn\u2019t going away anytime soon<\/a> | <a href=\"\/\/www.g005e.com\/2021\/03\/11\/the-irs-studebaker-bomb\/\">the irs studebaker bomb<\/a> | <a href=\"\/\/www.g005e.com\/2021\/03\/03\/irs-level-of-service-too-low\/\">imagine irs \u2018concierge\u2019 service. just imagine.<\/a> | <a href=\"\/\/www.g005e.com\/2021\/02\/25\/irs-has-recruiting-problems-too\/\">irs has recruiting problems, too<\/a><br \/>\n<strong><img loading=\"lazy\" decoding=\"async\" class=\"alignleft wp-image-49700 size-full\" src=\"https:\/\/cpatwpe.s3.amazonaws.com\/cpatrendlines\/wp-content\/uploads\/2016\/08\/yellow_key_clip_art-e1375897299811-36p-hi-1-e1603911598474.jpg\" alt=\"goprocpa.com\" width=\"39\" height=\"16\" \/><span style=\"color: #b79c00;\">exclusively for pro members. <\/span><\/strong><span style=\"color: #b79c00;\"><a style=\"color: #b79c00;\" href=\"\/\/www.g005e.com\/wp-login.php?redirect_to=\/\/www.g005e.com\/2021\/07\/06\/should-tax-preparers-be-regulated\/\">log in here<\/a> or <a class=\"external\" style=\"color: #b79c00;\" href=\"http:\/\/goprocpa.com\/\" target=\"_blank\" rel=\"noopener\">2022世界杯足球排名 today<\/a>.<\/span><\/p><\/blockquote>\n<p>that sounds like trouble in a number of ways:<\/p>\n<ul>\n<li>unwitting taxpayers may be paying more taxes than they owe.<\/li>\n<li>taxpayers may be left liable for shoddy or shady tax preparation.<\/li>\n<li>the irs may be collecting less than it could.<\/li>\n<li>taxpayers may be left in a lurch when the irs has questions but the preparer has disappeared.<\/li>\n<\/ul>\n<p><!--more--><br \/>\n<strong>a compliance agenda<\/strong><\/p>\n<p>treasury has issued a document, \u201cthe american families plan tax compliance agenda,\u201d that explains what the administration is proposing. the objective is to narrow the tax gap \u2013 the difference between what taxpayers owe and what they actually pay \u2013 by enforcing compliance.<\/p>\n<p>the aicpa is supporting a bill introduced in congress that would authorize treasury to regulate paid tax return preparers and mandate minimum competency standards. the proposed legislation has bipartisan backing and is sponsored by reps. jimmy panetta, d-calif., and tom rice, r-s.c.<\/p>\n<p>if enacted, the taxpayer protection and preparer proficiency act, h.r. 4184, would authorize treasury to reinstitute the irs\u2019s 2011 registered tax return preparer program.<\/p>\n<p>the administration&#8217;s agenda intends to improve compliance in four ways:<\/p>\n<ul>\n<li>providing the irs with the resources it needs to address \u201csophisticated tax evasion,\u201d i.e., the tricks of the rich<\/li>\n<li>providing the irs with more complete information regarding everyone\u2019s income<\/li>\n<li>overhauling outdated technology<\/li>\n<li>regulating tax preparers and increasing penalties for abetting evasion<\/li>\n<\/ul>\n<p>the treasury explanation notes that taxpayers often resort to tax preparers because the irs is so lax (to put it lightly) about answering questions. with all intentions of filing an honest return, taxpayers \u2013 especially those of lower-income \u2013 hire the services of the most affordable tax preparer.<\/p>\n<p>too often, \u201cghost preparers\u201d don\u2019t even sign the return they prepared.<\/p>\n<p>maybe it\u2019s shame of a shoddy job.<\/p>\n<p>maybe they\u2019re dodging responsibility for abetting evasion.<\/p>\n<p>maybe they\u2019re enriching themselves with a portion of the taxpayer\u2019s illicitly calculated refund.<\/p>\n<p>whatever the reason, president biden\u2019s proposal would add sanctions for preparers who fail to identify themselves on the returns they prepare.<\/p>\n<p><strong>agents in search of incompetence<\/strong><\/p>\n<p>in 2014, the government accountability office sent undercover agents to 19 randomly selected unregulated preparers to have a tax return prepared. only two calculated refunds correctly.<\/p>\n<p>back in 2010, the irs briefly administered a competency exam. roughly 25 percent of enrolled preparers could not pass. no more tests were given because a subsequent court ruling determined that the irs had no statutory authority to regulate preparers.<\/p>\n<p>requiring and certifying competence is probably not a bad idea. stiffer penalties for malfeasance, abetting evasion, or failing to admit preparation is definitely a good idea, one that should be supported by honest, competent, and regulated preparers.<\/p>\n<p>the intentions of both ideas, even if not enacted into law, could be partially met by a) simplifying the tax code, and b) improving the irs\u2019s capacity to answer questions. a simpler tax code would effectively increase everyone\u2019s competence, and timely irs responses to questions would make professional tax preparation less necessary, especially at the lower income levels where taxpayers can least afford it.<\/p>\n<p>the conclusion of the treasury explanation:<\/p>\n<p style=\"padding-left: 40px;\"><em>\u201cworking to close the tax gap reflects a commitment to ending our two-tiered tax system, one where most american workers pay their full obligations, but high earners who accrue income from opaque sources often do not. the president\u2019s proposals address this inequity in a way that will pay large dividends in this decade \u2013 and in the decades to come.\u201d<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p><strong>aicpa backs bill to regulate tax practitioners.<\/strong><br \/>\n<em>by 卡塔尔世界杯常规比赛时间 research<\/em><\/p>\n","protected":false},"author":17,"featured_media":82216,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","footnotes":""},"categories":[1363,2269,3120,3002,1906,2246],"tags":[],"class_list":["post-85591","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured","category-politics","category-pro-member-exclusive","category-special","category-tax-practice","category-busy-season"],"acf":[],"yoast_head":"<!-- this site is optimized with the yoast seo plugin v24.0 - 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