Tax News
CTEC Update on Continuing Education Requirements

California Senate Bill 944 takes effect January 1, 2012, which revises the hourly breakdown of continuing education requirements for tax preparers registered with the California Tax Education Council (CTEC).

Starting this year, CTEC-registered tax preparers (CRTPs) must complete a minimum of 15 hours federal and five hours state of continuing education each year. Prior to the legislative change, CRTPs were required to complete 12 hours federal, four hours state, two hours ethics, plus two hours federal and/or state of continuing education each year.

The goal of the legislative change was to conform CTEC federal continuing education requirements to the new Internal Revenue Service requirements.

Starting January 1, 2012, the IRS is requiring nonexempt tax preparers to complete 15 hours of federal continuing education each year (three hours of federal tax law updates, ten hours of other federal tax law, plus two hours ethics). Nonexempt tax preparers, including CRTPs, must also pass an IRS competency exam and background check by 2013.

Attorneys, certified public accountants, and enrolled agents are exempt from the new IRS continuing education and exam requirements.

Back to January 2012 Tax News