IRS PTIN Case Update
IRS PTIN Case Update
For the past few years, tax preparers have been excited about not paying the odious renewal fee for our PTINs. Everything in our profession costs so much money so to have a little bit of relief was nice. Most of us heard the rumors the IRS was going to cut us a refund check for our past PTIN fees. Well, now the rumors can be laid to rest - the IRS won their appeal.
In the case of Brittany Montrois, Class of More Than 700,000 Similarly Situated Individuals And Businesses, Et. Al., v. U.S., a decision was reached, on appeal, in the Circuit Court on March 1, 2019 that the IRS is within their rights to charge a fee for PTIN renewal.
For those who are unfamiliar, PTINs (tax preparer identification number) have been around since the 1970s. It was only recently (in 2010), the IRS began charging an annual fee to renew these numbers. Temporarily, this practice was suspended only a couple of years ago.
So, what does this mean for tax preparers?
We may return to the annual fee system. Adjust the budget with all those annual membership fees to NAEA, ASTPS, NATP, etc.