Is it a problem if my tax professional has PTIN and EFIN but isn't a CPA yet? What's the difference?

Thanks for explaining! Do you think there's any specific situation where I should ONLY use a CPA? And if my tax guy makes a mistake, am I protected the same way regardless of whether they're a CPA or just have a PTIN?

You should consider a CPA for more complex situations like business ownership, complicated investments, tax planning strategies, or if you might need representation in an audit. CPAs generally offer more comprehensive financial advice beyond just tax preparation. Regarding protection, anyone with a PTIN is subject to IRS oversight, but CPAs typically carry more professional liability insurance. All preparers are required to exercise due diligence, and ultimately, you're still responsible for the accuracy of your return regardless of who prepares it. However, a qualified preparer with a PTIN can represent you before the IRS for returns they prepared, though their representation rights may be more limited than a CPA's.

How does this service actually work? Does it just check for mistakes or does it actually recommend someone better if your current preparer isn't doing a good job?

I'm a bit skeptical - aren't you just paying twice then? Once for the preparer and once for this service to check their work? Wouldn't it be cheaper to just go with a CPA in the first place?

It analyzes your tax documents and returns to identify potential errors or missed opportunities. You upload your documents, and it uses AI to review everything against tax laws and finds things human preparers sometimes miss. It's especially helpful for checking work from any preparer, CPA or not. No, it's actually cost-effective compared to switching to a high-priced CPA. It helped me verify my non-CPA preparer was mostly doing things right, and I just needed to ask about a few specific deductions. It's like getting a second opinion without the full price of another professional.

How does this Claimyr thing actually get you through to the IRS? I tried calling like 8 times last year and always got the "due to high call volume" message and hung up on.

Yeah right. Nothing can get you through to the IRS faster. They're literally designed to be impossible to reach. This sounds like a scam that just takes your money and gives you the same wait time you'd get anyway.

It uses a specialized system that continuously dials the IRS until it gets through, then calls you when an agent is on the line. It essentially automates the redial process so you don't have to keep calling back yourself. I totally understand your skepticism - I felt the same way! But after waiting on hold for 3+ hours multiple times and getting disconnected, I was desperate. The service actually worked exactly as advertised. It did the waiting for me, and I literally got a call back when an IRS agent was on the line. Saved me hours of frustration when I needed to sort out a notice about my return.

Thank you for this breakdown! If someone is in the process of getting their CPA, does that mean they've passed some of the exams already? Is there a way to verify someone's credentials before hiring them?

Someone in the process of getting their CPA has likely completed the education requirements (usually 150 credit hours with specific accounting courses) and may have passed some of the four required CPA exams. Each exam is taken separately, and many work in the field while completing them. You can verify credentials pretty easily. For PTINs, ask to see their IRS-issued PTIN card or letter. For CPAs, you can verify their license through your state's Board of Accountancy website - just search "[your state] CPA license verification." For EAs, the IRS has a verification tool on their website. Any legitimate tax professional should be happy to show you proof of their credentials if asked.

I switched from TurboTax to FreeTaxUSA last year and saved a ton. It's free for federal and only $15 for state. Handles self-employment really well and asks all the right questions about deductions. TurboTax kept upselling me for features I didn't need.

Thanks for the suggestion! I've never heard of FreeTaxUSA before. Does it walk you through the self-employment stuff step by step like TurboTax does? My side gig isn't complicated but I'm always afraid of missing something important.

Yes, FreeTaxUSA does a great job walking you through self-employment income step by step! It asks about business expenses, home office deductions, and mileage just like TurboTax does, but without the constant upselling. The interface is clean and they have good help articles if you get stuck. For a simple side business, it's definitely worth trying - you'll save money and get the same results.