On Being an Enrolled Agent

Early this year, I decided to enroll myself to the Enrolled Agent Assistance program that my current employer is offering. Since I have been working as a tax preparer for 4 years , I thought, why not take my skills to the next level and be an EA?

Right after I was done working for the season, I jumpstarted my review sessions and boy, it was not for the faint of heart! There’s lots of information to digest in just a short amount of time. Well, that’s not entirely true because I have 3 years to complete all the three tests. But I chose to complete all the reviewing within this year by December.

There are three parts to the exam: Individual Taxation, Business Taxation and Representation. In order to pass these exams, one must have an in-depth knowledge of tax rules, regulations, codes and systems. Each part is a 100-question test taken within 3 hours at the closest authorized test center in the area.

I just took the Representation exam last October. I’m glad to tell y’all that I passed. I am now working on studying and reviewing Business Taxation. This one is a little tough because I have to do computations, you know like, finding the realized gain/loss, finding the recognized gain/loss, finding the adjusted basis after depreciation and stuff.

Right now, I am studying about section 1031 like-kind exchange and its tax implications. I am not going to tackle this in this post. But I am so inclined to write another blog so I can explain all about it without making a really long blog post. For now, read this 1031 Like kind exchange blog post I found from White Buffalo Tax.

So, the reason why I am working on becoming an Enrolled Agent is probably because I have a propensity for development. I think that this is going to open up more career opportunities for me. And with this credential, I will be able to represent before IRS audits both for my clients and myself. Not just that, I’ve also gained more understanding about navigating the IRS collections process and how to save myself from the impending financial turmoil.

Wish me luck. I hope I finish on my set timeline and pass all the exams.