Verifying a Tax Professional's Credentials

Anyone can claim credentials. Fortunately, most credentials can be verified in a few minutes using public sources. Checking before you hire is one of the simplest ways to protect yourself. This guide explains what to check and how, in general terms. Specific tools and web addresses may change, so use official sources and confirm current procedures.

Ask First

Start by asking the professional who will work on your matter, what their credentials are, and their license number if applicable. A professional who is proud of their credentials will not mind. If the answer is evasive, that is information. Write down names, license numbers, and the state of licensure.

Preparer Tax Identification Numbers

Anyone who is paid to prepare federal tax returns must have a preparer tax identification number and must include it on the returns they prepare. Ask the preparer for their number and confirm that it appears on your return when you receive it. The number does not indicate skill, but a preparer who refuses to sign or provide a number is a red flag. See Ghost Preparers and Unsigned Returns.

The IRS Directory of Preparers

The IRS maintains a public directory that lists certain preparers with credentials and select qualifications, including CPAs, enrolled agents, attorneys, and participants in certain voluntary programs. A professional's absence from the directory does not by itself mean a problem, since inclusion depends on the professional's choices, but it can be a starting point. Use the directory to confirm that the person's credential is listed.

Checking a CPA License

CPA licenses are issued by state boards of accountancy. Each board generally offers a public license lookup. There is also a national verification service that lets you search for CPAs across participating states. Check that the license is active, that the name matches, and whether the board has taken any disciplinary action. Also check the state where the CPA is licensed, since the professional should be licensed in a state that permits them to practice.

Checking an Enrolled Agent

Enrolled agent status is granted by the IRS. Ask for the person's enrollment information and check the IRS directory or contact the IRS office that oversees practitioner standards. Enrolled agents are subject to continuing education requirements, and status can be lost if requirements are not met.

Checking an Attorney

Attorneys are licensed by state bars, and each bar generally maintains a public directory that shows whether the attorney is in good standing and whether there is any public discipline. If the attorney claims a specialty or a tax law credential, ask what that means and who issued it, since specialty designations vary and some are marketing terms.

Check for Discipline

Beyond licensing, look for public disciplinary records. State boards and bars publish disciplinary actions. The IRS office responsible for practitioner standards publishes information about practitioners who have been suspended or disbarred from practice. A quick search of the professional's name and firm, along with the terms sanction or disciplinary, is reasonable.

Check the Firm

Verify the firm as well as the person. Confirm the business is registered in its state, check whether it has a physical address or a working phone number, and read the terms of its website. Be cautious about a firm that has no verifiable address, that operates only through messaging apps, or that changes its name frequently.

What Credentials Do Not Tell You

A verified credential shows that the person meets licensing standards. It does not tell you whether they are the right fit, whether they have experience with your situation, or whether they communicate well. Use verification as a floor, not a ceiling.

If Something Does Not Match

If the credential cannot be verified, or if the information you find is different from what you were told, ask the professional to explain. Do not proceed until you are satisfied. If you suspect misrepresentation, consider reporting it. See How to Report Tax Preparer Misconduct.

A Ten-Minute Checklist

1. Ask for the name, credential, and license number.
2. Look up the license on the relevant state or federal source.
3. Check for discipline.
4. Confirm the preparer identification number will be on your return.
5. Confirm the firm's registration and contact details.
6. Save your notes.

Keep a Record of Your Verification

Save screenshots or printouts of the lookups you perform, with the date. If a question ever arises about what you knew when you hired someone, those records show that you checked. They also make it easier to recheck later, since licenses can lapse or be disciplined after you hire someone. Some clients repeat the check each year at renewal time, which takes a couple of minutes.

What About Foreign or Non-Traditional Credentials

If a professional cites a credential you do not recognize, ask who issues it, what it requires, and how it can be verified. Some designations are real professional credentials, while others are marketing labels sold for a fee. A legitimate credential will have an issuing body with a public verification process. If there is none, treat the label as decoration, not evidence.

Educational purposes only. This page is general education and is not tax, legal, or accounting advice. Descriptions of how AE Tax Advisors approaches engagements are general, and the scope, timing, and fees for any engagement are confirmed with you directly. Tax laws change and outcomes depend on individual facts. No result is guaranteed.