Resources for choosing an accountant
Where to verify a license, what people commonly get wrong, and the terms worth knowing.
- IRS — Choosing a Tax Professional — Federal guidance directly from the IRS on picking and vetting a paid tax preparer.
- IRS Directory of Federal Tax Return Preparers — Search for credentialed preparers, including CPAs, EAs, and attorneys, by location.
- NASBA — National Association of State Boards of Accountancy — Links to every US state board of accountancy, where CPA licenses can be verified.
Rules, thresholds and providers described here are those of the United States.
Dates that matter when you're deciding
Timing changes how much choice you actually have when you go looking for help.
| When | What happens |
|---|---|
| Late January | Employers and payers must send W-2s and most 1099s, which is when you actually have the documents needed to start. |
| April 15 (or the next business day) | The standard federal filing deadline for individual returns, and the deadline to request a filing extension. |
| Quarterly — mid-April, June, September, January | Estimated tax payment deadlines for self-employed people and business owners who don't have taxes withheld. |
| October 15 | The extended filing deadline if you filed for an extension in April. |
Always confirm current dates with the official source — they move.
Checklists you can work through
Before your first meeting with an accountant
- Prior year's tax return
- This year's income documents (W-2s, 1099s, or business records)
- Business income and expense records, if applicable
- A summary of major life or business changes this year
- A written list of questions
- Their license or PTIN number, looked up in advance
Questions to ask before signing anything
- What credential do you hold, and what does it let you do?
- How are your fees structured for this engagement?
- Can you represent me before the IRS if it comes to that?
- What's the realistic turnaround time for my situation?
- Who do I contact if something goes wrong?
- Will I have my own access to my records at any time?
Common mistakes when choosing an accountant
Hiring based on price alone without checking what credential you're actually getting
Ask directly whether you're getting a CPA, an EA, or a non-credentialed preparer, and what that means for representation rights.
Assuming a bookkeeper can also prepare and file your tax return
Confirm specifically who handles tax filing — many bookkeepers hand this off to a separate preparer or CPA.
Not confirming a license or PTIN before handing over sensitive financial documents
Check a CPA license with the state board, or an EA and PTIN status through the IRS's public tools, before your first meeting.
Waiting until the deadline is close to start looking for help
Start the search at least a few weeks before your filing deadline — good professionals fill their calendars fast during tax season.
Not asking how fees are structured before work begins
Get the fee structure — hourly, flat, or retainer — in writing before any work starts, not after the invoice arrives.
Assuming any accountant can represent you if the IRS has questions
Only CPAs, EAs, and attorneys have full representation rights before the IRS — confirm this specifically if that's a possibility for you.
Glossary
The words that get used as if everyone already knows them.
CPA (Certified Public Accountant)
An accountant licensed by a US state after passing the Uniform CPA Exam and meeting education and experience requirements, with a broad scope covering tax, audits, and financial statements.
Enrolled Agent (EA)
A tax professional licensed federally by the IRS, authorized to represent any taxpayer before the IRS in any state, focused specifically on tax matters.
PTIN (Preparer Tax Identification Number)
A number the IRS requires anyone paid to prepare federal tax returns to hold and renew annually.
Bookkeeper
A professional who handles ongoing financial recordkeeping — categorizing transactions, reconciling bank accounts, sometimes running payroll — typically without preparing tax returns.
Non-credentialed tax preparer
Someone who prepares tax returns for a fee and holds a PTIN, but is not a CPA, EA, or attorney and has limited IRS representation rights.
Circular 230
The IRS regulations governing the conduct of practitioners — CPAs, EAs, and attorneys — who represent taxpayers before the IRS.
Power of attorney (Form 2848)
The IRS form that authorizes a CPA, EA, or attorney to represent you and discuss your tax matters directly with the IRS on your behalf.
Estimated taxes
Quarterly tax payments the self-employed and business owners make throughout the year, since no employer is withholding tax from their income.
Audit representation
The right to appear and speak on a taxpayer's behalf before the IRS during an examination — limited by law to CPAs, EAs, and attorneys.
Retainer
A recurring fee, usually monthly, paid for ongoing bookkeeping or advisory services rather than a one-time engagement.
Schedule C
The tax form sole proprietors and single-member LLC owners use to report business income and expenses on their personal return.
Fiscal year vs. calendar year
A calendar year runs January through December; a fiscal year is any consistent 12-month period a business elects instead, which changes when its taxes are due.