Transcript NAEANational Association of Enrolled Agents

NAEA
National Association of Enrolled Agents
An Introduction
to the
Enrolled
Agent
Profession
www.naea.org
POP
QUIZ
What does EA stand for?
What is an Enrolled Agent?
Enrolled Agents (EAs) are tax
practitioners with technical expertise in
taxation and are fully authorized to
represent taxpayers before all
administrative levels of the Internal
Revenue Service (IRS) including audits,
collections and appeals.
 Enrolled Agents can be self employed or
work for small or large firms.

What license allows tax
professionals to represent taxpayers
before the IRS?
Enrolled Agent – Federal – Licensed by
the United States Treasury
 Certified Public Accountant –Licensed by
a state
 Attorney – Licensed by a state

How do Enrolled Agents differ
from other licensed taxpayer
representatives?

Enrolled Agents are the only taxpayer
representatives who receive their
license from the United States Treasury.
◦ CPAs and Attorneys are licensed by each
individual state.
How many Enrolled Agents are
there?
There are approximately 40,000 Enrolled
Agents in the United States
 There are also Enrolled Agents living and
working in foreign countries

POP
QUIZ
What % of all jobs in the United
States are provided by small
businesses?
A.
B.
C.
D.
20%
33.3%
55%
1%
POP
QUIZ
What % of all jobs in the United
States are provided by small
businesses?
A.
B.
C.
D.
20%
33.3%
55% Correct
1%
What are the requirements to obtain
an Enrolled Agent license?
Pass the IRS Special Enrollment Exam
-OR Be an employee of the IRS for 5 years –
regularly interpreting the provisions of
the IRS Code and Regulations

What is the Enrolled Agent exam?

Comprehensive three-part tax exam
which covers taxation issues for:
◦ Individuals
◦ Businesses
 Corporations, partnerships, estates and trusts
◦ Representation, Practices and Procedures
(including Ethics)
How comprehensive is the Enrolled
Agent exam?
You are allowed 3.5 hours to complete
each of the three parts
 Each part contains 100 multiple choice
questions
 Parts can be taken in any order
 Passed parts of the exam remain active
for 2 years

POP
QUIZ
What is the historic pass rate for
the Enrolled Agent exam?
A.
B.
C.
D.
60%
90%
42%
70%
POP
QUIZ
What is the historic pass rate for
the Enrolled Agent exam?
A.
B.
C.
D.
60%
90%
42%
70% Correct
POP
QUIZ
Who is the largest taxpayer in the
United States?
A.
B.
C.
D.
E.
Microsoft
ExxonMobil
Berkshire Hathaway
Apple
Chevron
POP
QUIZ
Who is the largest taxpayer in the
United States?
Microsoft
B. ExxonMobil Correct $31 Billion (2013)
C. Berkshire Hathaway
D. Apple
E. Chevron
A.
What employment opportunities
are there for an Enrolled Agent?

Enrolled Agents are needed in:
◦
◦
◦
◦
◦
◦
Small and large public accounting firms
Law firms
State departments of revenue
Investment firms
Banks
Private practice
POP
QUIZ
The IRS Commissioner is the head of the Internal
Revenue Service. The Commissioner is appointed by
the President with the consent of the Senate. The
Commissioner serves a term of
A.
B.
C.
D.
1 year
4 years
5 years
Indefinite
POP
QUIZ
The IRS Commissioner is the head of the Internal
Revenue Service. The Commissioner is appointed by
the President with the consent of the Senate. The
Commissioner serves a term of
A.
B.
C.
D.
1 year
4 years
5 years Correct
Indefinite
POP
QUIZ
In 1862 the first personal and corporate income tax
was levied to help pay for the Union effort in the
Civil War.
This was a graduated tax with 2 tax rates of
A.
B.
C.
D.
1% and 2%
10% and 12%
15% and 20%
3% and 5%
POP
QUIZ
In 1862 the first personal and corporate income tax
was levied to help pay for the Union effort in the
Civil War.
This was a graduated tax with 2 tax rates of
A.
B.
C.
D.
1% and 2%
10% and 12%
15% and 20%
3% and 5% Correct
NAEA
National Association of Enrolled Agents
Invites you to
utilize the
services of
Enrolled
Agents,
America’s
Tax Experts
www.naea.org