According to the council's Office of Professional Responsibility Subgroup Report, the IRS needs to define what constitutes preparation of "substantially all" of a tax return, which is being used to define who must register, if the existing definition is retained.

The report also recommended "the IRS and OPR should not attempt to hold a firm/employer accountable for a non-signing employee's failure to comply with the new registration requirements until clarifying guidance on the definition of return preparer has been issued."

The IRSAC is also concerned with proposed Circular 230 revisions that required OPR review and approval of every CPE program. The report said that will impede effective administration and it proposed developing an alternative that is similar to current sponsor requirements, but provides increased oversight of providers to check compliance and development of an online system to streamline approval for CPE providers and programs, along with the assignment of course numbers.

The council also said that Circular 230 should be revised to remove the authority to granted IRS employees Enrolled Agent status simply based on past IRS work experience and that they should be required to pass an EA examination.

Bob Scott

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Bob Scott has provided information to the tax and accounting community since 1991, first as technology editor of Accounting Today, and from 1997 through 2009 as editor of its sister publication, Accounting Technology. He is known throughout the industry for his depth of knowledge and for his high journalistic standards.  Scott has made frequent appearances as a speaker, moderator and panelist and events serving tax and accounting professionals. He  has a strong background in computer journalism as an editor with two former trade publications, Computer+Software News and MIS Week and spent several years with weekly and daily newspapers in Morris County New Jersey prior to that.  A graduate of Indiana University with a degree in journalism, Bob is a native of Madison, Ind