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Bill

Bill

HR 1983

Tax Return Preparer Accountability Act of 2025

119th Congress Introduced by Steve Cohen

The Tax Return Preparer Accountability Act of 2025 requires tax preparers to be certified, enhancing taxpayer protection and reducing fraud through stricter oversight.

Introduced in House
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WeVote Research Nonpartisan
Bill Summary · HR 1983

Summary of HR 1983: Tax Return Preparer Accountability Act of 2025

Purpose and Intent

The Tax Return Preparer Accountability Act of 2025 aims to enhance the accountability and professionalism of tax return preparers in the United States. The bill seeks to establish a regulatory framework that ensures tax preparers meet specific standards and qualifications, thereby protecting taxpayers from fraud and ensuring compliance with tax laws.

Key Provisions

The bill includes several significant provisions designed to improve the oversight of tax return preparers:

  • Certification Requirements: The legislation mandates that all tax return preparers must obtain certification from the Internal Revenue Service (IRS). This certification will require preparers to pass a competency examination and complete continuing education courses annually.

  • Registration and Renewal: Tax preparers will be required to register with the IRS and renew their registration every three years. This process will include a review of the preparer's compliance history and any disciplinary actions.

  • Enforcement Mechanisms: The bill establishes penalties for non-compliance, including fines and potential revocation of certification for preparers who violate tax laws or ethical standards.

  • Consumer Protection Measures: The legislation aims to enhance consumer protections by requiring tax preparers to provide clear disclosures about their fees and services, as well as their qualifications.

Who Would Be Affected

The primary stakeholders impacted by this legislation include:

  • Tax Return Preparers: Individuals and businesses that prepare tax returns will need to comply with new certification and registration requirements.

  • Taxpayers: The bill aims to protect taxpayers by ensuring that they receive services from qualified and accountable preparers, potentially reducing the risk of tax fraud and errors.

  • IRS: The Internal Revenue Service will take on additional responsibilities for overseeing the certification and registration processes, as well as enforcing compliance with the new regulations.

Procedural Aspects

  • Introduced Date: The bill was introduced in the House on March 10, 2025.

  • Committee Referral: Following its introduction, HR 1983 was referred to the House Committee on Ways and Means for further consideration.

Conclusion

The Tax Return Preparer Accountability Act of 2025 represents a significant step towards regulating the tax preparation industry, aiming to enhance the integrity of tax services and protect taxpayers. As the bill progresses through the legislative process, its provisions may be subject to amendments and further discussion within the House Committee on Ways and Means.

Compiled from official sources — confirm details with the bill’s official record.

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