Overwhelmed By Your Taxes? Need Professional's Help?

Unlike most states, California has a unique law to protect consumers by requiring that all tax preparers must be educated on tax laws before they can prepare tax returns for a fee. In California, tax preparers not licensed or enrolled to professionally prepare tax returns are required to register with the California Tax Education Council (CTEC).

Each CTEC Registered Tax Preparer (CRTP) must complete annual tax education courses and purchase a bond to protect you against fraud. No other state besides California and Oregon has set requirements for paid tax preparers.

Unfortunately, despite this law thousands of illegal tax preparers are still doing business statewide. Many of them prey on the uninformed or stressed out taxpayer.

Below are the top five tips to know if you don't have time to know anything else:

1. In California, only a CTEC Registered Tax Preparer (CRTP), Certified Public Accountant (CPA), Enrolled Agent (EA) or attorney can prepare your return for a fee.

2. No preparer, no matter his/her credentials, can guarantee you a refund.

3. The fee should not be based on the percentage of your refund amount.

4. Tax preparers are required by law to provide a copy of their privacy policy and cannot share your information unless given written permission beforehand.

5. A lawful tax preparer will review the return with you and sign it! By reviewing your return (don't forget to get a copy) you can check for any errors.

Working with an unqualified tax preparer may prevent you from having legal recourse against fraud, as well as increase your chances for additional taxes, interest and fines. -- CTEC