Do you prepare and file your taxes? 

If not, you’re in good company. Recent estimates show that about 56% of Americans have someone else prepare their taxes; only about one in three adults file their own.

If you’re among the majority, then you likely prefer the expertise of a tax professional. These experts not only ensure that you stay on good terms with the IRS, but they also help you maximize your returns! 

When considering what type of tax expert is right for your needs, though, things can get a bit complicated. From a CPA to an enrolled agent, there are many options to consider. Read on to learn more about what an IRS enrolled agent does and how they can help you navigate your tax situation.

What Is an Enrolled Agent?

An IRS enrolled agent is a highly skilled tax professional. These individuals have gone through a rigorous educational and certification process to obtain their professional designation. First, they must pass a three-part exam regarding federal tax law. Next, they must submit to a background check and personal tax audit.

Once they are designated as an enrolled agent by the IRS, they are licensed by the Department of the Treasury to help individuals with their federal taxes.

What Does an Enrolled Agent Do?

So, can an enrolled agent give tax advice? Are there other things they can do?

Enrolled agents are authorized to represent taxpayers when it comes to all kinds of tax problems. An enrolled agent can help you file your federal or state tax returns, consult with you, provide solid tax advice, and represent you fully in front of the IRS. If you do get audited or you struggle with payment issues, your enrolled agent can deal directly with the IRS on your behalf.

Since enrolled agents are the highest designation possible, you can rely on their knowledge of tax laws and codes. And as laws change, they’ll stay on top of them—ongoing education is an important part of being an enrolled agent.

Enrolled Agent vs. CPA: What’s the Difference?

Have you already been researching tax experts to figure out which type of professional can best help you with your tax situation? Then you’ve likely run across the term CPA, or certified public accountant. 

These individuals are highly qualified and licensed to give out tax advice, perform accounting responsibilities and audits, prepare your taxes, and give detailed consultations on complex tax issues. CPAs are often a good choice for taxpayers because they can fully represent you before the IRS when it comes to all your tax issues.

Enrolled agents are similarly skilled tax experts. Enrolled agent is the highest credential given out to tax experts by the IRS. With that in mind, enrolled agents are equipped to handle all the issues a CPA can with the added bonus of being able to represent their clients on a federal level, while CPAs are only certified on a state-by-state basis. 

What’s more, CPAs usually focus on the overall financial picture of a person or business, whereas an enrolled agent will focus exclusively on taxes and tax issues alone.

What You Need to Know About Tax Group Center’s Enrolled Agents

Tax Group Center employs enrolled agents to help answer taxpayers’ questions and find workable solutions for common tax issues. Our team focuses on providing service, solutions, and success to each taxpayer. And while many tax services only operate for a few months, Tax Group Center’s enrolled agents provide tax services throughout the year. 

CPAs and enrolled agents aren’t the only types of tax professionals out there. They’re also not the only individuals we have the honor of partnering with in our Tax Group Center team. Along with CPAs and enrolled agents, our team also includes tax preparers, tax attorneys, and other tax enthusiasts. Tax preparers are a group of tax experts that focus exclusively on preparing and filing an individual’s or business’s taxes. A tax preparer will help ensure that you maximize your return, utilize all relevant deductions and credits, and remain in great standing with the IRS.

Our staff is dedicated to helping each taxpayer find success navigating their taxes. We can help you arrange a payment plan with the IRS, or we can help you seek other forms of relief in the form of CNC status or innocent spouse relief. 

The more we know about your situation, the more we can help. Our office’s lines of communication are open 24/7. If you have a tax question, concern, or general inquiry, you can reach out to our office online or via the phone.