Why am I getting only 15 credit hours for the IRS AFSP?
Shouldn't I be getting more credit hours?
With the aim of improving the accuracy of the majority of tax returns filed in the United States, the IRS introduced the "Annual Filing Season Program" (AFSP) in 2014. The AFSP is a voluntary program designed to reward paid preparers with special benefits if they choose to expand their knowledge of federal tax matters through continuing education (CE).
Many of us will think that the IRS requires the same number of CE credit hours as CTEC. It turns out that the IRS does not have a state tax law requirement. Unlike CTEC (a state agency), the IRS (a federal agency) does not require you to take a 5-hour course on California tax laws. To qualify for AFSP benefits, CTEC-registered tax professionals (CRTPs) need to complete 10 hours of federal law, 3 hours of federal update, and 2 hours of federal ethics -- the sum of which is 15 hours.
CRTPs Are Exempt From AFTR Course
To qualify for AFSP benefits, non-credentialed tax preparers must obtain 18 hours of continuing education. In addition to 10 hours of federal tax laws and 2 hours of ethics, non-credentialed tax preparers must complete a 6-hour Annual Federal Tax Refresher (AFTR) course. However, tax professionals with a CTEC credential (CRTPs) can qualify for AFSP benefits without taking the 6-hour AFTR course.
For more information on the AFSP requirements for CRTPs, please read these two pages on the IRS website:
●https://www.irs.gov/pub/irs-pdf/p5646.pdf
“Qualified Retirement Plan Matters” Not Applicable to CRTPs
The IRS deals with different types of tax professionals with different educational requirements. For example, there are CRTPs, EAs, and CPAs, among others.
In the CE section of your online PTIN account, you will see a category for “qualified retirement plan matters.” The intended audience for a “qualified retirement plan” program is an Enrolled Retirement Plan Agent (ERPA). ERPAs are licensed by the IRS and specifically trained in retirement plan matters.
The IRS does not require CRTPs to take
courses in “qualified retirement plan matters.” Even if CRTPs
participate in an ERPA program concentrating on retirement plan matters,
these courses would not count towards the AFSP. In conclusion,
it's normal for CRTPs to have no credits displayed in the education
category of “qualified retirement plan matters.”
For additional assistance with IRS
requirements, please call the IRS at 877-613-7846.
