The IRS is now registering “all” tax preparers. What does this mean to the consumer? It means that the US taxpayers will be serviced by competent, registered and tested tax professional. It also could mean that the fee for services will more than likely increase.

Individuals interested in becoming a tax professional should do so before the summer of 2011. The IRS Competency Exams will start in the summer of 2011, and once the testing begins, all un-registered tax preparers will have to pass at least one of the Exams before registering with the IRS.

If you are already registered with the IRS prior to the start of the Competency Exams, you will have until December 31, 2013 to pass one of the Exams, exit the business, or work under a CPA or a registered tax professional who would be responsible for your work.

Most of us are concerned with the testing and with good reason. More than half tax professionals who have taken the Enrolled Agent Exam, fail. We are hopeful that the Exam for tax preparers won’t be as difficult, but you never know. In the State of California, tax professionals loose their credentials every year on October 31. The credentials can be renewed by attending educational classes and passing with a grade of 70 percent or above.

Of course, like with any other Federal testing, there will be services, classes, workshops and schools who will promise you to pass, if, you sign up with their program! Don’t laugh, some of these programs have taken individuals from a $12 an hour job to a $150 per hour status as an Enrolled Agent.

An Enrolled Agent is the only individual, registered to practice before the Internal Revenue Service. Hourly wages for an experienced, established EA, in the State of California, are in line with an Attorney’s hourly wage. And this can happen with or without a college degree or any formal training.

If you have a passion for numbers, enjoy law, (tax law) have a healthy respect for the Department of Treasury and the new laws which Congress votes in each year, you could be an excellent tax professional. Of course you have to be patient with clients and have a basic understanding of human nature, without passing judgment.

You can learn more about becoming a tax professional at 1040 Tax School   Put your future in high gear, by becoming an Independent Contractor for the Department of Treasury. It is seasonal work, with enormous opportunities for expansion.