The U.S. Department of Treasury and the IRS recently proposed regulations that would update the rules for tax professionals who can practice before the IRS.
The proposed regulations, if finalized, would amend Circular 230 Regulations Governing Practice Before the Internal Revenue Service to account for changes in the law and the evolving nature of tax practice, the IRS said.
Among other changes, the proposed regulations would remove or update provisions related to registered tax return preparers, classify the use of certain contingent fee arrangements by practitioners as disreputable conduct, and make appropriate updates to other provisions.
Additionally, the proposed regulations would incorporate new provisions requiring practitioners to maintain technological competency as part of their practice before the IRS.
The proposed regulations would also clarify some provisions, such as confirming that the IRS Office of Professional Responsibility retains authority over suspended or disbarred practioners. Finally, the proposed regulations would provide rules related to appraisers, including the standards for disqualification.
Written public comments on the changes can be submitted through Feb. 24 via the Federal eRulemaking Portal at https://www.regulations.gov prior to the public hearing that has been scheduled for March 6.
