An enrolled agent is a person who has earned the privilege of practicing, that is, representing taxpayers, before the Internal Revenue Service. Enrolled agents, like attorneys and certified public accountants (CPAs), are unrestricted as to which taxpayers they can represent, what types of tax matters they can handle, and which IRS offices they can practice before.
An Enrolled Agent (EA) is a federally-authorized tax practitioner who has technical expertise in the field of taxation and who is empowered by the U.S. Department of the Treasury to represent taxpayers before all administrative levels of the Internal Revenue Service for audits, collections, and appeals.
July, 2003- Steven P Bigos Passes Two Day Enrolled Agent Examination
Steven P. Bigos has demonstrated special competence in tax matters by taking a 2 day, 4 part written examination given by the U.S. Treasury Department and passed a background check to ensure that he has not engaged in any conduct that would justify the suspension or disbarment of enrolled agent from practice before the IRS. The topics include:
Part 1- Individual Income Taxes
Part 2- Sole Proprietorships, and Partnerships.
Part 3- Corporations (including S Corporations), Fiduciaries, Estate and Gift Tax and Trusts
Part 4- Ethics, Record keeping procedures, appeal procedures, exempt organizations, retirement plans, practioner penalty provisions, research materials and collections procedures.
Steven P. Bigos, an Enrolled Agent, since July 5th, 2003 has represented Individuals, Small Businesses, Corporations, Partnerships, Non-Profits and Trusts during Federal and State tax examinations and provides representation for the Taxpayer a variety of ways depending upon the Examination.
Why was my return selected by the IRS?
Selection of a return for exam may occur for any of several reasons.
* IRS calculates a discrimination function "DIF" score for individual, corporate, partnership, and fiduciary return that is designed to rate the return from potential adjustment.
* Sometimes and exam with be prompted by a newspaper story about a taxpayer or by a tip submitted to the IRS, often by a disgruntled ex-spouse or employee.
* The IRS also conducts exams based on industry type or tax issues.
There are three basic Examinations (or "audits")
1. Correspondence, which are conducted by a Tax Specialist.
2. Office, which are conducted by Tax Compliance Officer's
3. and Field exams which are conducted by Revenue Agents.
Process of an Examination
Initiation of the Exam
Managing the Exam
Conclusion of the Exam
Assessments: What gives the IRS the legal right to collect a tax liability from a taxpayer? It is also the separation between the examination and the collections.
Self-Assessment- IRS Issues a "Statutory Notice of Deficiency" or "90-day letter"
Jeopardy and Termination Assessments-When the IRS determines, after the close of a tax year, that there is unreported income and collection of tax liability will be jeopardized by any delay, it may immediately assess the deficiency and demand payment.
If the determination is made before the close of the tax year then it is referred to as a "termination" assessment