Anyone who prepares tax returns for a fee in California is required by law to register as a tax preparer with the California Tax Education Council.
Certain preparers already registered with the state of California elsewhere are exempt from the requirement:
- Certified public accountant
- Enrolled agent
- Attorney who is a member of the State Bar of California
- Certain specified banking or trust officials
Requirements to become a new CTEC registered tax preparer (CRTP)
Individuals registering for the first time must:
- Take a 60-hour qualifying education course from a CTEC approved provider within the past 18 months.
- Purchase a $5,000 Tax Preparer Surety Bond from a surety bond company.
- Pass a background check and fingerprinting procedure.
- Obtain a Preparer Tax Identification Number (PTIN) from the IRS.
- Register and submit the $102 registration and processing fee online.
Annual CTEC Renewal Requirements
Registered CTEC tax preparers must renew their registration annually by January 15 and must:
- Take not less than 20 hours continuing education from a CTEC approved provider, which includes 10 hours federal tax law, 3 hours federal tax update, 2 hours of Ethics and 5 hours of State) .
- Renew the PTIN number with the IRS each year.
- Maintain a $5,000 Tax Preparer Surety Bond.
- Renew their registration and submit the $33 annual registration fee before October 31 of each year online. (Add $55 if postmarked after October 31.)
CTEC registered tax preparers who fail to renew their registration by January 15 will be considered new tax preparers and will be subject to the new preparer registration requirements.
Additionally, the state notes that the initial registration can take anywhere from 2-8 weeks to process.
Additional Information: