what i need to become tax preparer?

Answer 1

Starting a tax preparation business depends on the state you live in. California and Oregon are the only two states that require that you be "Certified" (licensed). If you don't already have experience I would strongly suggest that you go work for one of the national franchises for a couple of years. H & R Block has a national policy against doing work on the side but everybody violates that as a means of starting to build a client base (I don't work for them by the way). Others allow you to do outside tax work but will take a very dim view if you take any of their clients. Just jumping is will be a major injustice to your clients. Also most of the national franchises offer "tax school" which is required in CA and OR but definitely a good idea if it is not required by your State. As for tax software you can use Turbo Tax or the H&R Block's Tax Cut to do as many returns as you like if you don't mind that it violates the license you have to use that product. That does leave you with doing all of your returns on paper. If you would prefer a more complete software package the two most popular are ProSeries or Lacerte. If you wish to e-file, you will need a EFIN from the IRS which requires you to file a form 8633 at least 6 weeks before the tax season. You can get the form 8633 on line at irs.gov and fill it out on your computer. You will need to call the IRS (1-866-255-0654) and get a finger print card to send along with your form 8633. As for the better of these two better software packages it depends on you need and experience. ProSeries is "interview" based meaning that the program asks question and puts your answers in the correct place. You still can use a "forms mode" or switch back and forth. It does some but not much in the way of customer management if you need that. Lacerte is "forms" based which in most cases requires that you know what to put in which block. It is therefore faster if you know where to put things and how to do calculations. It does a very complete job of customer management. Both of these packages allow you to pay for e-files as you go and do as little or as many different types of filling as you need. You can start those packages at around $400 and go up into the thousands.
And last but not least the IRS web site and the call centers are your best friend so use them. They offer a great deal of free stuff like forms and publications that are invaluable. (I don't work there either). I cannot stress enough that you should go to work for someone for a couple of years to get experience and guidance.

Answer 2

I don't know Mich laws but in Calif. one has to first have at least a 60 hr course of beginning taxes, then having completed that, apply for a PTIN from IRS in Oct, that will cost $64.25 and you will have to take a competency test before Dec. 31 to be able to be registered with IRS, the test will cost at least $100 there are courses offered at community colleges, the tax companies offer classes starting in August and most of them will charge for the course again, in Calif. one also has to register with the state organization called California Taxation Education Council, $25

Answer 3

Check out the H&R Block website. They have classes available for beginning tax preparers; they hire from the class if you are looking for the work.

Answer 4

As far as the IRS is concerned, all you need is people that are willing to let you do their returns. You should at least take a class somewhere.