Are you looking to become a tax preparer? If so, then research How To Become A Tax Preparer. Get specific information on job outlook, educational requirements and salary as well in order to evaluate whether this career suits you or not. You should also look out for the schools offering taxation and accounting degrees.
The job profile of a tax preparer involves organizing and filling out tax information as per the requirements of the Internal Revenue Service. Following information is necessary for those who want to know how to become a tax preparer:
• Educational Requirements: Tax training program and high school diploma
• Key Responsibilities: Preparing tax returns in the proper manner, studying relevant financial documents and following all IRS rules, regulations and codes.
• Certification: PTIN or Prepare Tax Identification Number
• Job Growth: 10% (2012 – 2022)
• Average Salary: $43,870 according to US Bureau of Labor Statistics
Step 1- Preparing in High School
In order to pursue a career as a tax prepare, you will have to obtain a diploma from a high school. You are not required to possess a bachelor’s or associate degree for entering this industry. However, in order to smartly prepare yourself for the challenges that you might face in this field, you should possess strong abilities in customer service, computer science and math. Apart from this, you should also have a basic knowledge of tax regulations like filing deadlines. You must also be familiar with various tax forms as this could be beneficial.
Step 2- Enrolling for a Tax Training Program
An entry into the tax industry requires just a high school diploma and this is the reason why additional professional education is quite important. Tax training programs are offered by vocational schools, tax service franchises and technical colleges. These programs include courses in 1040 and W-2 forms, exemptions, electronic filing, income and dividends.
Step 3- Registering with the IRS and the State
In various states, tax preparers are required to be registered by tax educational council. The requirements might vary from one state to another generally involving the completion of a specific amount of hours in the state accredited training program. Tax preparers are also required to possess liability insurance in some states.
Step 4- Obtaining a Job at a Tax Service
You can start your career serving in the form of a tax preparer by getting hold of a job at a tax service for a few months. These are services which will train you thoroughly in tax laws and regulations that keep on changing every year. You will be able to gain good experience at the tax services because you work under seasoned and experienced tax preparers. Once you have gained invaluable experience, you can move ahead and start your very own business. You can even choose to work for IRS. In order to work for IRS, you need to sit for a Special Enrollment Exam sponsored by IRS.