Tax preparer regulation is priority for U.S. Taxpayer Advocate

National Taxpayer Advocate Nina E. Olson identified regulation and oversight of federal tax return preparers as a priority for the Office of the Taxpayer Advocate in her report to Congress.

Also listed as priority issues for the coming year are:

• Working with the IRS to improve taxpayer services
• Improving the accessibility of the offer in compromise program
• Working with the IRS to improve its ability to administer refundable tax credits effectively

Olson reiterates her longstanding recommendation that the government do more to protect taxpayers by regulating unenrolled federal tax return preparers, including requiring initial testing and continuing professional education.

Olson also recommends that the IRS:

• Step-up enforcement actions against preparers who fail to perform due diligence or consciously facilitate noncompliance
• Require preparers to use a unique preparer tax identification number (PTIN) on all returns

The IRS had previously announced an initiative to develop a revised return preparer strategy by year-end.

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