Did you know that there are more than 400,000 tax preparers who don’t complete any approved ongoing tax education? How can they claim to be competent when they don’t keep up with ever-changing tax rules and regulations? Worse yet, how many of them are hucksters lurking in the shadows, preying on those who don’t understand their rights and responsibilities when it comes to filing federal taxes?

You are a responsible tax preparer, offering your time and talents to prepare taxes, at the lowest cost and for the most return. You are not a CPA or EA, but you are conscientious, pursuing continuing education to stay up-to-date on the latest tax changes.

One way to establish your credentials as a reputable tax filer is earning the IRS’s voluntary Annual Filing Season Program – Record of Completion. As with all things IRS, there are rules, with different procedures for different people, but especially for tax return preparers who are not CPAs, attorneys, or enrolled agents. It’s a great way to stand out from the crowd and project your trustworthiness. Here, we answer your questions about what the AFSP is, the top five benefits, available courses, and eligibility requirements.

What is the Annual Filing Season Program – Record of Completion?

The Annual Filing Season Program – Record of Completion is the IRS’ voluntary initiative encouraging tax return preparers to stay current on tax rules and regulations through continuing education. It’s of most benefit for tax preparers who are not attorneys, certified public accountants or enrolled agents; however, anyone with a valid PTIN can participate. You can earn the AFSP – Record of Completion by earning IRS-approved CPE/CE hours in preparation for a specific tax year.

5 advantages of the AFSP – Record of Completion

Why get the AFSP – Record of Completion? Because it’s a differentiator that demonstrates your professionalism and sets you apart from the unqualified competition. Consider these five benefits.

1. Representing your clients
The representation rights of return preparers changed in 2016. If you currently hold a PTIN but lack the AFSP – Record of Completion or another professional credential, you can only prepare tax returns. That’s it. Any clients who face scrutiny of their tax returns are on their own.

On the other hand, AFSP – Record of Completion holders can use their limited representation rights to deal with revenue agents, customer service representatives and similar IRS employees, including the Taxpayer Advocate Service, on behalf of the clients whose returns they helped prepare. It’s one way to instill trust that your competitors can’t.

2. Free marketing
Successfully complete the AFSP, and you’re listed in the IRS Federal Tax Return Preparers Directory. The IRS markets the directory through a public education campaign encouraging taxpayers to look for tax preparers with proven professional credentials. It’s a valuable tool for consumers seeking reliable, qualified preparers, and best of all, it’s free marketing for you. Users plug in their ZIP codes, and there is your name, showing that you’re ready and able to get the job done. 

3. Promote your credentials 
Of course, you might want to do your own marketing, too. Obtaining the AFSP – Record of Completion allows you to position yourself as a tax preparer with credentials. For instance, build confidence in your abilities among potential clients by adding “AFSP – Record of Completion” to your email signature, business cards and other promotional materials.

4. Certificate from the IRS
Certificates testify to your accomplishments and skills. The IRS awards its AFSP Record of Completion as a certificate suitable for printing and display in your office. It tells clients that you are up-to-date with tax law changes and make the effort to meet IRS standards for tax preparers.

5. Set yourself apart
In tax preparation, qualifications matter. IRS tax training distinguishes you from the 400,000 tax preparers who don’t complete the AFSP. Perhaps some of them are skilled and knowledgeable, but consumers have no way of gauging their reliability. With the AFSP – Record of Completion, you get the certificate and your name in the IRS Directory, giving you a leg up on tax preparers who lack the testament to their diligence and up-to-date knowledge.

The courses: Are you an exempt or non-exempt tax preparer?

Your pathway to earning the AFSP Record of Completion depends on your experience and other qualifications. Whether you are classified as an exempt or non-exempt preparer, Surgent has a convenient, customized course with everything you need to obtain the Record of Completion efficiently, on your schedule, and in your preferred format.

Exempt tax preparers
If you are a CPA, enrolled agent or attorney, or if you previously earned the IRS’s RTRP certification or are a participant in a state-based return preparer program, you are exempt from some of the requirements to earn the AFSP – Record of Completion.

Are you exempt? Find out here.

To earn the 2023 AFSP – Record of Completion, exempt tax preparers must complete these requirements by Dec. 31, 2022: 

• Earn 15 hours of IRS-approved continuing education, with:
  • 3 hours of federal tax law update
  • 10 hours of federal tax law topics
  • 2 hours of ethics
• Obtain/renew a valid PTIN for the 2023 filing season
• Consent to Circular 230 practice requirements

15-hour AFSP package for exempt tax preparers
Surgent’s packages for exempt tax preparers include all the course material that exempt tax preparers need to fulfill the 15-hour CPE/CE requirement. Choose the online download format for easy PDF access or the textbook format to have a hard copy of materials shipped to you. 

Non-exempt tax preparers
Non-credentialed, or non-exempt, tax preparers don’t have other credentials, but those who obtain the IRS’ AFSP – Record of Completion earn all those advantages we’ve seen: limited representation rights before the IRS, inclusion in the IRS’ Directory of Federal Tax Return Preparers with Credentials and Select Qualifications, and a designation that differentiates you from other tax preparers in the marketplace. 

To earn the 2023 AFSP – Record of Completion, non-exempt tax preparers must complete these requirements by Dec. 31, 2022:

• Earn 18 hours of IRS-approved continuing education (CE), including:
  • A 6-hour Annual Federal Tax Refresher (AFTR) course and related 100-question exam
  • 10 hours of federal tax law topics
  • 2 hours of ethics 
• Obtain/renew a valid PTIN for the 2023 filing season 
• Consent to Circular 230 practice requirements

Complete 18-hour AFSP package for non-exempt tax preparers
Surgent’s packages for non-exempt tax preparers include all the course material that non-exempt preparers need to fulfill the 18-hour CPE/CE requirement, including the AFTR course and timed exam. Choose the online download format for easy PDF access or the textbook format to have a hard copy of materials shipped to you.

Success starts with the right course
The AFSP – Record of Completion is your ticket to a higher level of professionalism in tax preparation. It’s a credential that instills trust and confidence in potential clients. Be sure to get started on the right foot with a Surgent, all-in-one course that’s right for you. Learn more about the Surgent exempt tax preparers and non-exempt tax preparers course packages, and begin your journey today!