Enrolled Agent Exam Prep (EA 2026)

Practice realistic Enrolled Agent test questions with step-by-step video explanations.

Reviewed by Tamir Rubin, Head of Product at iPREP • Updated August 2026

What is the IRS Special Enrollment Examination (SEE)?

The IRS Special Enrollment Examination (SEE) measures federal tax-law and IRS practice knowledge for the Enrolled Agent credential. Most candidates pass three separate 100-question parts—Individuals; Businesses; and Representation, Practices, and Procedures—taken in any order, with 210 minutes per part and 10 hours 30 minutes total. (Exam publication date: June 24, 2026.)

Enrolled Agent Sample Question

Which of the following is considered a “qualifying child” for the Earned Income Tax Credit (EITC)?

  • A 25-year-old full-time college student who lives with you.
  • A 16-year-old high school student who lives with you and for whom you are the legal guardian.
  • A 30-year-old disabled child who lives in a separate residence.
  • A 17-year-old who lives with you but provides more than half of their own support.

Enrolled Agent Exam Sections

Individuals Part

100 questions • 210 minutes

  • 85 scored, 15 unscored items
  • Optional 10-minute break after Q34
  • Start Q35 within 10 minutes, or clock restarts
  • After Q34, cannot revisit Q1–34
  • Optional 10-minute break after Q67
  • Start Q68 within 10 minutes, or clock restarts
  • After Q67, cannot revisit Q35–67
  • Form 1040 income, adjustments, credits
  • Deductions, filing status, dependents rules

Businesses Part

100 questions • 210 minutes

  • 85 scored, 15 unscored items
  • Optional 10-minute break after Q34
  • Start Q35 within 10 minutes, or clock restarts
  • After Q34, cannot revisit Q1–34
  • Optional 10-minute break after Q67
  • Start Q68 within 10 minutes, or clock restarts
  • After Q67, cannot revisit Q35–67
  • Entity taxation and business returns
  • Payroll taxes and reporting requirements

Representation, Practices, and Procedures Part

100 questions • 210 minutes

  • 85 scored, 15 unscored items
  • Optional 10-minute break after Q34
  • Start Q35 within 10 minutes, or clock restarts
  • After Q34, cannot revisit Q1–34
  • Optional 10-minute break after Q67
  • Start Q68 within 10 minutes, or clock restarts
  • After Q67, cannot revisit Q35–67
  • Circular 230 ethics and sanctions
  • Audit, appeals, and collections procedures

Test Duration

Total time: 10 hours 30 min

Testing: 3×210 minutes. ~4-hour appts incl tutorial, optional 15-min break, admin; if not on Q51 by 15, clock restarts. Pass 3 parts in 3 years; apply in 1. Offered May–Feb; not Mar–Apr.

Test Breakdown & Sample Questions

The Enrolled Agent Exam, or Special Enrollment Exam (SEE), is a comprehensive test divided into three distinct parts. Each part is designed to assess specific skills and knowledge areas related to tax representation. Let’s break down what each part entails and the skills you’ll need to ace them.

  1. Individuals: This part focuses on taxation for individuals. You’ll be tested on income and assets, deductions and credits, and ethical considerations specific to individual taxpayers. To excel, you’ll need a strong grasp of Form 1040, itemized deductions, and an understanding of tax issues affecting individuals such as retirement and estate planning.
  2. Businesses: This section is all about business taxation. It covers various types of business entities like corporations, partnerships, and sole proprietorships. You’ll need to know how to prepare different business tax returns, understand business deductions, and be familiar with laws affecting businesses, such as the Affordable Care Act.
  3. Representation, Practices, and Procedures: This part assesses your ability to represent clients before the IRS. It includes topics like the rules governing practices, powers of attorney, and types of IRS audits. To do well, you’ll need to understand the ethical and procedural aspects of tax representation, including how to handle audits, appeals, and collections.

The Enrolled Agent Exam is divided into three main parts, each assessing different skills and knowledge areas in the field of tax representation. Below is a summary table that outlines the focus of each part, the skills needed to excel, the number of questions, and the time allocated for each section.

Exam PartFocusSkills NeededNumber of QuestionsTime Allocated
IndividualsTaxation for individualsForm 1040, itemized deductions, retirement and estate planning1003.5 hours
BusinessesBusiness taxationBusiness tax returns, business deductions, Affordable Care Act compliance1003.5 hours
Representation, Practices, and ProceduresRepresenting clients before the IRSEthical and procedural aspects, audits, appeals, and collections1003.5 hours
Overview of EA Exam Parts. Source: iPREP

Each part requires a different set of skills, but they all demand a deep understanding of U.S. tax code, regulations, and ethical guidelines. As you prepare, tailor your study approach to the unique challenges presented by each section.

Part 1: Individuals

The first part of the Enrolled Agent Exam, commonly known as the “Individuals” section, is a crucial stepping stone in your journey to becoming an Enrolled Agent. This section delves deep into the complexities of individual taxation. Below are tables outlining the key topics you’ll need to master for this part of the exam.

Income Types

TopicDetails
Wages and SalariesUnderstand the tax implications of W-2 income.
Dividends and InterestKnow how qualified and non-qualified dividends are taxed.
Capital Gains and LossesBe familiar with short-term vs. long-term capital gains and their taxation.
Retirement IncomeUnderstand the taxation of pensions, Social Security, and other retirement income.
Self-Employment IncomeGrasp the nuances of Schedule C and self-employment taxes.
Income Types. Source: iPREP

Filing Status

StatusDetails
SingleKnow the standard deductions and tax brackets.
Married Filing JointlyUnderstand the benefits and drawbacks.
Married Filing SeparatelyLearn when this status is advantageous.
Head of HouseholdKnow the qualifications and benefits.
Filing Status. Source: iPREP

Form 1040

ComponentDetails
Main FormMaster the various lines and boxes, including income, adjustments, and credits.
SchedulesUnderstand the purpose of each schedule, such as Schedule A for itemized deductions and Schedule D for capital gains.
Form 1040. Source: iPREP

Deductions and Credits

TypeDetails
Standard DeductionKnow the amounts for different filing statuses.
Itemized DeductionsUnderstand categories like medical expenses, state and local taxes, and mortgage interest.
Tax CreditsBe familiar with credits like the Earned Income Tax Credit, Child Tax Credit, and Education Credits.
Deductions and Credits. Source: iPREP

Retirement and Estate Planning

TopicDetails
IRA ContributionsUnderstand the limits and tax benefits.
401(k) and Other Employer PlansKnow the contribution limits and withdrawal rules.
Estate TaxUnderstand the federal estate tax thresholds and how gifts can affect estate tax.
Retirement and Estate Planning. Source: iPREP

Special Circumstances

TopicDetails
Alternative Minimum Tax (AMT)Know when this applies and how it’s calculated.
Foreign IncomeUnderstand the Foreign Earned Income Exclusion and tax treaties.
Tax PenaltiesBe aware of penalties for early withdrawal from retirement accounts and underpayment of taxes.
Special Circumstances. Source: iPREP

The “Individuals” section of the EA Exam is a comprehensive and challenging part that tests your knowledge on a wide array of topics related to individual taxation. Mastery of these key topics is essential for not just passing the exam but also for your future role as an Enrolled Agent. Prepare thoroughly, and you’ll be well on your way to acing this part of the exam.

Part 1 Sample Question

Which of the following tax credits is refundable?

  1. Earned Income Tax Credit
  2. Foreign Tax Credit
  3. Child and Dependent Care Credit
  4. Residential Energy Efficient Property Credit

Correct Answer: A. Earned Income Tax Credit

  • A. Earned Income Tax Credit: This is the correct answer. The Earned Income Tax Credit is refundable, meaning if the credit exceeds the amount of taxes owed, the excess will be returned to the taxpayer as a refund. (Source: IRS Publication 596)
  • B. Foreign Tax Credit: This is also a non-refundable credit. It can offset taxes owed but will not result in a refund. (Source: IRS Publication 514)
  • C. Child and Dependent Care Credit: This credit is non-refundable, meaning it can reduce your tax liability to zero but won’t provide a refund beyond that. (Source: IRS Publication 503)
  • D. Residential Energy Efficient Property Credit: This credit is non-refundable. It can reduce your tax liability but will not result in a refund. (Source: IRS Form 5695 Instructions)

The Earned Income Tax Credit is the only option among the given that is refundable, as specified in IRS guidelines.

Part 2: Businesses

The second part of the Enrolled Agent Exam, known as the “Businesses” section, is another critical component in your journey to becoming an Enrolled Agent. This section focuses on the taxation of various business entities. Below are tables that outline the key topics you’ll need to master for this part of the exam.

Types of Business Entities

TopicDetails
Sole ProprietorshipUnderstand taxation through Schedule C and self-employment taxes.
PartnershipKnow how partnerships are taxed and the implications for individual partners.
CorporationBe familiar with corporate tax rates, dividends, and capital gains.
S CorporationUnderstand how income flows through to individual shareholders.
Types of Business Entities. Source: iPREP

Business Income and Deductions

TopicDetails
Business IncomeUnderstand types of income like sales, services, and royalties.
Business ExpensesKnow deductible expenses including cost of goods sold, wages, and rent.
DepreciationGrasp the basics of depreciation methods like MACRS.
Business Income and Deductions. Source: iPREP

Employment Taxes

TopicDetails
Social Security and MedicareUnderstand employer and employee contributions.
Federal Unemployment TaxKnow the rates and conditions under which it applies.
Self-Employment TaxUnderstand how it differs from employment taxes for employees.
Employment Taxes. Source: iPREP

Special Business Tax Considerations

TopicDetails
Affordable Care ActUnderstand the tax implications for businesses.
Business CreditsBe familiar with credits like the Work Opportunity Credit.
Penalties and AuditsKnow the types of penalties businesses may face and how audits are conducted.
Special Business Tax Considerations. Source: iPREP

The “Businesses” section of the EA Exam is a comprehensive test that covers a broad range of topics related to business taxation. Mastery of these topics is not only crucial for passing this part of the exam but also for your future role as an Enrolled Agent. With focused preparation, you’ll be well-equipped to tackle this challenging section.

Part 2 Sample Question

A corporation has a net operating loss (NOL) for the current tax year. What can the corporation do with this NOL?

  1. Carry it back 2 years and forward 20 years
  2. Carry it back 3 years and forward 15 years
  3. Carry it forward indefinitely, but not carry it back
  4. Use it only in the current year and lose any remaining NOL

Correct Answer: C. Carry it forward indefinitely, but not carry it back

  • A. Carry it back 2 years and forward 20 years: This was the rule prior to the Tax Cuts and Jobs Act (TCJA) of 2017 but is no longer applicable for NOLs arising in tax years beginning after December 31, 2017. (Source: IRS Publication 536)
  • B. Carry it back 3 years and forward 15 years: This option is incorrect and does not align with current or past IRS guidelines for NOLs. (Source: IRS Publication 536)
  • C. Carry it forward indefinitely, but not carry it back: This is the correct answer. According to the TCJA, NOLs arising in tax years beginning after December 31, 2017, can be carried forward indefinitely but cannot be carried back. (Source: IRS Publication 536)
  • D. Use it only in the current year and lose any remaining NOL: This is incorrect. NOLs can be carried forward to offset future taxable income. (Source: IRS Publication 536)

The correct treatment of NOLs for corporations has been updated by the TCJA, and the current rule allows for indefinite carryforward but no carryback, as specified in IRS guidelines.

Part 3: Representation, Practices, and Procedures

The third and final part of the Enrolled Agent Exam, known as the “Representation, Practices, and Procedures” section, is your last hurdle in becoming an Enrolled Agent. This part assesses your ability to represent clients before the IRS and covers a wide range of ethical and procedural topics. Below are tables outlining the key topics you’ll need to master for this part of the exam.

Rules and Regulations

TopicDetails
Circular 230Understand the rules governing practice before the IRS.
Power of AttorneyKnow the forms and procedures to legally represent a taxpayer.
Sanctions and PenaltiesBe familiar with the consequences of unethical or illegal practices.
Rules and Regulations. Source: iPREP

Types of Representation

TopicDetails
AuditsUnderstand the types of audits and how to handle them.
AppealsKnow the procedures for appealing an IRS decision.
CollectionsBe familiar with collection processes like liens and levies.
Types of Representation. Source: iPREP

Client Interactions

TopicDetails
ConfidentialityUnderstand the ethical requirements for client confidentiality.
Conflict of InterestKnow how to identify and manage conflicts of interest.
Record-KeepingBe familiar with the requirements for maintaining client records.
Client Interactions. Source: iPREP

Special Procedures

TopicDetails
Innocent Spouse ReliefUnderstand the conditions under which it applies.
Installment AgreementsKnow how to set up payment plans with the IRS.
Offers in CompromiseBe familiar with the process of negotiating tax liabilities.
Special Procedures. Source: iPREP

The “Representation, Practices, and Procedures” section of the EA Exam is a comprehensive test of your ability to ethically and effectively represent clients before the IRS. Mastery of these topics is essential for not only passing the exam but also for your future role as an Enrolled Agent. With thorough preparation, you’ll be well-prepared to complete your journey to becoming an Enrolled Agent.

Part 3 Sample Question

An Enrolled Agent (EA) is representing a taxpayer during an IRS audit. The taxpayer has a balance due. Which of the following options can the EA recommend to the taxpayer?

  1. Ignore the balance due as it will eventually be written off by the IRS.
  2. Set up an installment agreement with the IRS.
  3. File for bankruptcy to eliminate the tax debt.
  4. Advise the taxpayer to leave the country to avoid paying the IRS.

Correct Answer: B. Set up an installment agreement with the IRS.

  • A. Ignore the balance due as it will eventually be written off by the IRS: This is incorrect and could lead to further penalties and interest. The IRS does not simply write off balances due. (Source: IRS Publication 594)
  • B. Set up an installment agreement with the IRS: This is the correct answer. An installment agreement is a common method to resolve a balance due with the IRS. (Source: IRS Form 9465)
  • C. File for bankruptcy to eliminate the tax debt: Bankruptcy does not necessarily eliminate tax debt and should only be considered as a last resort. (Source: IRS Publication 908)
  • D. Advise the taxpayer to leave the country to avoid paying the IRS: This is not only incorrect but also illegal and could result in criminal charges. (Source: IRS Criminal Investigation Process)

The correct option for dealing with a balance due during an IRS audit is to set up an installment agreement, as per IRS guidelines.

Did you know?

Each part of the EA Exam contains 85 scored questions and 15 unscored experimental questions, with the scored questions distributed across the official content domains. The exam is computer-based and administered by PSI Services at U.S. test centers or through remote proctoring where available. Review the current PSI candidate instructions before test day.

Preparation Strategies

So, you’ve decided to take the Enrolled Agent Exam, also known as the Special Enrollment Exam (SEE). Congratulations on making a career-defining choice! But let’s get one thing straight: this exam is no walk in the park. It’s a rigorous test that requires a deep understanding of U.S. tax code, ethics, and procedures. But fear not, with the right preparation strategy, you can conquer this beast. Here’s how:

  1. Start Early: The earlier you start, the better. This isn’t an exam you can cram for in a week. Give yourself at least 3-6 months of dedicated study time.
  2. Understand the Exam Structure: Know the exam inside and out. Understand the different parts and what each section assesses. This will help you tailor your study plan effectively.
  3. Get the Right Materials: Invest in quality study materials. Whether it’s textbooks, online resources, or practice exams, make sure they’re up-to-date and comprehensive.
  4. Create a Study Plan: Don’t just open a book and start reading. Create a structured study plan that covers all the topics you need to know. Stick to it religiously.
  5. Focus on Weak Areas: As you go through your study materials, identify your weak areas and spend extra time on them. Don’t just review what you already know; that’s a waste of time.
  6. Practice, Practice, Practice: The more you practice, the more comfortable you’ll be on exam day. Take as many practice exams as you can, and always time yourself.
  7. Review IRS Publications: The IRS publications are your bible for this exam. Make sure you’re familiar with the most relevant ones.
  8. Stay Updated: Tax laws change. Keep yourself updated with the latest changes in tax laws and IRS procedures.
  9. Simulate Exam Conditions: A couple of months before the exam, start taking practice tests under exam conditions. This will help you manage your time better and reduce exam-day anxiety.
  10. Rest Before the Exam: Don’t underestimate the power of a good night’s sleep. Your brain needs to be in optimal condition on exam day.

In conclusion, the Enrolled Agent Exam is a challenging but conquerable hurdle. With the right preparation strategy, you can not only pass but excel in this exam. Remember, the key to success in the EA Exam is a balanced combination of disciplined study, focused practice, and strategic planning. So, roll up your sleeves and get to work; your future as an Enrolled Agent awaits!

Enrolled Agent Certificate. Source: IRS

Test Features

The Purpose of the Exam

The Enrolled Agent Exam, officially known as the Special Enrollment Examination (SEE), is one step toward becoming an Enrolled Agent. It assesses your knowledge of federal tax law, ethics, and representation procedures. After passing all three parts, you must apply for enrollment within one year and pass the IRS tax-compliance and criminal-background suitability check before you are authorized to represent taxpayers as an Enrolled Agent.

Computer-Based Testing

The EA Exam is administered through a computer-based testing platform. This offers you the flexibility to navigate between questions, mark items for review, and change answers within a section before final submission. The interface is user-friendly, designed to make your test-taking experience as smooth as possible.

Three-Part Structure

The exam is divided into three distinct parts: Individuals, Businesses, and Representation, Practices, and Procedures. Each part is designed to test specific areas of expertise, ensuring that Enrolled Agents are well-rounded professionals capable of handling a variety of tax-related issues.

Question Types

The exam primarily consists of multiple-choice questions. These questions are designed to test not just your knowledge, but also your ability to apply that knowledge in different scenarios. The questions often include real-world situations that require a deep understanding of tax laws and procedures.

Time Management

Each part of the exam has a specific time limit, pushing you to manage your time efficiently. The clock is visible on the computer screen, allowing you to keep track of the time as you work through the questions. Time management is crucial, as you’ll need to pace yourself to answer all questions within the allotted time.

Review and Change Answers

The exam’s computer-based format allows you to review and change your answers within a section before you finalize your submission. This feature is particularly useful for questions that you may find challenging or need more time to think about.

Accessibility Features

The exam is designed to be accessible to all test-takers, including those with disabilities. Special accommodations can be made upon request, ensuring that everyone has an equal opportunity to become an Enrolled Agent.

In summary, the Enrolled Agent Exam is a meticulously designed assessment tool that not only tests your knowledge but also your ability to apply that knowledge in a professional setting. Its features are tailored to provide a comprehensive, fair, and accessible testing experience.

Common names for the EA Exam

  • Special Enrollment Examination (SEE)
  • EA Exam
  • IRS Special Enrollment Exam
  • Enrolled Agent Special Exam
  • IRS EA Exam

These are some of the common names you might encounter when researching or discussing the Enrolled Agent Exam. Each refers to the same comprehensive test that qualifies you to represent taxpayers before the IRS.

Technical Facts

Test Fast Facts (tl;dr)

  • 3.5 hours per part
  • 100 questions each part
  • 200-800 scoring scale
  • 500 to pass
  • U.S.: July 1, 2026 – Feb 28, 2027; international remote: Sept 1, 2026 – Feb 28, 2027
  • PSI Services testing vendor
  • 24-hour retake wait
  • $317 per part
  • One qualifying government-issued photo ID required
  • 3-year score carryover
Exam Duration

Each part of the Enrolled Agent Exam is 3.5 hours long, making the total duration of the exam 10.5 hours. This does not include the additional time allocated for administrative procedures, such as checking in and reading instructions.

Number of Questions

Each part of the exam consists of 100 multiple-choice questions. These questions are divided into different sections based on the subject matter, and each section has its own set of questions.

Scoring Scale

The exam uses a scaled score ranging from 200 to 800, with a passing score of 500. Passing candidates receive a passing designation rather than a numeric score.

Exam Windows

For the 2026 EA-SEE test cycle, U.S. testing runs from July 1, 2026, through February 28, 2027. International remote testing runs from September 1, 2026, through February 28, 2027.

Exam Eligibility and Registration

Before you can take the Enrolled Agent Exam, there are certain eligibility criteria you must meet and registration steps you must follow. This table outlines the key steps and requirements for becoming eligible to take the exam.

StepDescriptionTimeline
Confirm EligibilityEnsure you have a PTIN (Preparer Tax Identification Number)Before Registration
Schedule ExamFollow the current IRS/PSI registration and scheduling instructions when registration opens2-3 months prior
Pay FeesPay the exam fee for each part you plan to takeAt time of scheduling
Receive ConfirmationYou’ll receive a confirmation email with details about your test appointmentImmediately after payment
Key Steps for EA Exam Eligibility and Registration. Source: iPREP
Test Centers

The exam is administered by PSI Services. U.S. candidates may test in person at PSI test centers or through remote proctoring. International candidates may test only through remote proctoring beginning September 1, 2026. You must schedule in advance, and availability may vary.

Retake Policy

If you fail a part of the exam, you must wait 24 hours before scheduling another appointment for that same part. You may take each part up to four times during the testing window, and each retake requires a new exam fee.

Exam Fee

The SEE fee is $317 per examination part, paid when scheduling. The fee is generally non-refundable and non-transferable.

Identification Requirements

You must present one original, unexpired government-issued photo ID that includes your name, photo, and signature. Your first and last name must exactly match the first and last name used to schedule the examination. Military IDs are accepted for test-center appointments but not for remote testing.

Calculator Policy

You are not allowed to bring your own calculator to the exam. However, a basic on-screen calculator is provided during the exam for your use.

Exam Day Requirements

Knowing what to bring and what to expect on the day of the Enrolled Agent Exam can ease your nerves and help you focus on performing your best. This table provides a checklist of items to bring and what to expect upon arrival at the test center.

Item to BringPurpose
One Qualifying Government-Issued Photo IDIdentification verification
Confirmation EmailProof of exam appointment
Snacks/WaterFor breaks (stored in locker)
What to Bring on Exam Day. Source: iPREP
What to ExpectDescription
Security CheckAll candidates are subject to security checks
TutorialBrief tutorial on how to use the computer interface
What to Expect on Exam Day. Source: iPREP
Results Availability

A pass/fail message appears on screen when you complete the examination, and PSI sends your score report by email.

Post-Exam Steps

Once you’ve completed the Enrolled Agent Exam, there are several important steps to take to finalize your status as an Enrolled Agent. This table outlines the post-exam steps you’ll need to follow.

StepDescriptionTimeline
Receive ScoreA pass/fail message appears on screen, and PSI emails your score reportImmediately after the exam
Apply for EnrollmentSubmit Form 23 to the IRSAfter passing
Background CheckThe IRS will conduct a background checkAfter application
Receive EA CertificateYou’ll receive your official Enrolled Agent certificateAfter approval
Steps to Take After Completing the EA Exam. Source: iPREP
Expiration of Passed Parts

Once you pass a part of the exam, you can carry over that passing score for up to three years from the date you passed that part. If you do not pass all parts within that timeframe, you will lose credit for the expired part.

In summary, the Enrolled Agent Exam has specific technical aspects that you must be aware of, from the number of questions and scoring scale to the retake policy and exam fees. Understanding these technical facts will help you navigate the exam process more smoothly.

Results Scale and Interpretations

Understanding your score on the Enrolled Agent Exam, or the Special Enrollment Examination (SEE), is crucial not just for knowing whether you’ve passed, but also for assessing your strengths and weaknesses. The score report is a comprehensive document that provides various metrics, each serving a specific purpose. Let’s delve into the different components of the score report and how to interpret them.

Raw Score

Your raw score is the most straightforward metric—it’s simply the number of questions you answered correctly. However, this is not the score that determines whether you pass or fail the exam. The raw score is converted into a scaled score.

Scaled Score

The scaled score ranges from 200 to 800, with a passing score of 500. The score is calculated to account for variations in difficulty across exam forms. Passing candidates receive a passing designation rather than a numeric score; failing candidates receive a scaled score and diagnostic information.

Percentile Ranking

The score report does not provide a percentile ranking.

Sub-Scores

Failing candidates receive diagnostic information identifying areas where further preparation may be needed.

Score Range

The score report does not provide the score range described here.

Suggested Score Ranges
  • Failing candidates: Receive a scaled score below 500 and diagnostic information.
  • Passing candidates: Receive a passing designation rather than a numeric score.
Using the Score Report for Assessment

Your score report can guide further preparation. Passing candidates receive a passing designation rather than a numeric score. Failing candidates receive a scaled score and diagnostic information identifying areas that may need additional study.

Scoring Example

After completing an exam part, a pass/fail message appears on screen, and PSI emails the score report. If you pass, the report shows a passing designation without a numeric score. If you fail, it shows a scaled score below 500 and diagnostic information by content area.

In conclusion, the score report of the Enrolled Agent Exam is a multi-faceted document that offers a wealth of information. Understanding how to interpret these scores can provide you with valuable insights into your performance and readiness for a career as an Enrolled Agent. So, when you receive that score report, don’t just look for the pass or fail—take the time to understand what those numbers really mean.

Special Enrollment Examination Results – 3rd Part. Source: twitter

FAQs

What is the Enrolled Agent Exam?

The Enrolled Agent Exam, officially known as the Special Enrollment Examination (SEE), is a comprehensive test that qualifies you to represent taxpayers before the Internal Revenue Service (IRS).

What skills does the EA Exam measure?

The exam measures your understanding of the federal tax code, ethics, and representation procedures. It is divided into three parts: Individuals, Businesses, and Representation, Practices, and Procedures.

How is the exam formatted?

The exam is computer-based and consists of multiple-choice questions. Each of the three parts contains 100 questions.

How long is the exam?

Each part of the exam is 3.5 hours long, making the total duration 10.5 hours, not including additional time for administrative procedures.

What is the passing score?

The exam uses a scaled score ranging from 200 to 800, with a passing score of 500.

Can I retake the exam if I fail?

Yes, you can retake a failed section, but you must wait 24 hours before rescheduling. Each retake requires a new exam fee.

How do I interpret my score report?

If you pass, your score report shows a passing designation and does not display a numeric score. If you fail, it provides a scaled score and diagnostic information to assist with future preparation.

Is the exam offered internationally?

Yes. U.S. candidates may test at PSI test centers or through remote proctoring. International testing is available only through remote proctoring beginning September 1, 2026.

How is the EA Exam used in the job application process?

Employers view a passing score on the EA Exam as a strong indicator of your expertise in tax-related matters. It can significantly boost your job prospects in the field of taxation.

What happens if I pass only one or two parts of the exam?

Once you pass a part of the exam, you may carry that passing score for up to three years from the date you passed that part. If you do not pass all three parts within that period, you lose credit for the expired part.

Test Tips

You’ve prepared well, and now it’s time to execute. The Enrolled Agent Exam is a serious undertaking, and how you approach it on test day can make all the difference. Here are seven practical tips to help you navigate the exam effectively:

  1. Arrive Early: Aim to get to the test center at least 30 minutes early. This will give you ample time to check in and settle down.
  2. Bring Proper Identification: Bring one valid, original, unexpired government-issued ID containing your name, current photo, and signature. A second government-issued ID is required only if the first does not contain both a photo and a signature.
  3. Dress in Layers: Test centers can vary in temperature. Dressing in layers allows you to adjust and stay comfortable.
  4. Read Every Question Carefully: Misinterpretation can cost you points. Make sure to read each question and its answer choices thoroughly.
  5. Pace Yourself: Time management is key. Keep an eye on the clock to ensure you’re allocating time wisely across questions.
  6. Use the Elimination Method: If you’re unsure about an answer, eliminate the options that are clearly incorrect. This strategy can improve your chances of selecting the right answer.
  7. Review, But Don’t Overthink: The exam allows you to flag questions for review. Use this feature, but trust your initial instincts when revisiting questions.

These tips are designed to give you an edge on test day. Follow them, and you’ll be well-positioned to demonstrate your expertise and become an Enrolled Agent.

Administration

  1. Test Location: U.S. candidates may test in person at PSI test centers or through remote proctoring. International candidates may test only through remote proctoring.
  2. Test Schedule: For the 2026 cycle, U.S. testing runs from July 1, 2026, through February 28, 2027. International remote testing runs from September 1, 2026, through February 28, 2027. Schedule your appointment in advance.
  3. Test Format: The exam is computer-based and consists entirely of multiple-choice questions.
  4. Test Materials: You cannot bring your own materials like pen and paper. An on-screen calculator is provided for calculations.
  5. Cost: The fee is $317 per examination part, payable at the time of scheduling.
  6. Retake Policy: If you fail a part, you can retake it after waiting 24 hours. Each retake requires a new exam fee.

Test Provider

The Enrolled Agent Exam, officially known as the Special Enrollment Examination (SEE), is administered for the Internal Revenue Service (IRS) by its official testing vendor. Beginning March 1, 2026, the EA-SEE is no longer developed and administered by Prometric; PSI Services has been selected to develop and administer the exam.

For the 2026 EA-SEE test cycle, registration and scheduling open May 1, 2026, with testing availability expected to roll out starting July 1, 2026.

Information Sources

Disclaimer – All the information and prep materials on iPREP are genuine and were created for tutoring purposes. iPREP is not affiliated with Prometric o the IRS, or with any of the companies or organizations mentioned above.

Free Enrolled Agent Practice Test

Start with free Enrolled Agent practice test questions that give you a clear feel for the federal tax knowledge tested on the IRS Special Enrollment Examination. The free practice introduces common EA exam topics such as individual taxation, business taxation, representation, IRS procedures, Circular 230 ethics, deductions, credits, and tax return scenarios.

Use the free practice to understand the question format, pacing, and level of tax-law detail expected before moving into full preparation. For complete practice, iPREP’s full Enrolled Agent course includes realistic SEE-style questions, detailed explanations, video lessons, and targeted practice for the Individuals, Businesses, and Representation, Practices, and Procedures exam parts.

Part 1 – Individuals: Sample Questions

Question 1 of 10

Which of the following meets the relationship test for a “qualifying child” for the Earned Income Tax Credit (EITC)?

  1. A 25-year-old full-time college student who lives with you.
  2. A 16-year-old foster child placed with you by an authorized placement agency.
  3. A 30-year-old unrelated disabled adult who lives in a separate residence.
  4. A 17-year-old unrelated person who lives with you.

Answer: B. A 16-year-old foster child placed with you by an authorized placement agency.

Explanation:

  • Option A is incorrect because the age limit for a “qualifying child” for EITC purposes is under 19, or under 24 if a full-time student, as per IRC § 152(c)(3).
  • Option B is correct. A foster child meets the relationship test when the child is placed with you by an authorized placement agency or by a court order. Legal guardianship by itself does not establish the EITC relationship test.
  • Option C is incorrect because the child must live with you for more than half the year to be considered a “qualifying child,” as per IRC § 152(c)(1)(B).
  • Option D is incorrect because an unrelated person does not meet the EITC relationship test. The support test is not one of the four EITC qualifying-child tests.

Source: Internal Revenue Code (IRC) §§ 152(c)(3), 32(c)(3), 152(c)(1)(B), 152(c)(1)(D)

Question 2 of 10

Which of the following types of income is not subject to the Net Investment Income Tax (NIIT)?

  1. Wages
  2. Rental income
  3. Dividends
  4. Capital gains

Answer: A. Wages

Explanation:

  • Option A is correct because wages are not considered net investment income and are therefore not subject to NIIT, as per IRC § 1411(c)(5).
  • Option B is incorrect because rental income is also subject to NIIT under IRC § 1411(c)(1)(A)(iii).
  • Option C is incorrect because dividends are subject to NIIT as per IRC § 1411(c)(1)(A)(i).
  • Option D is incorrect because capital gains are subject to NIIT under IRC § 1411(c)(1)(A)(iii).

Source: Internal Revenue Code (IRC) §§ 1411(c)(1)(A)(i), 1411(c)(1)(A)(iii), 1411(c)(5)

Question 3 of 10

Under what circumstances can a taxpayer exclude the gain from the sale of their main home?

  1. The taxpayer lived in the home for at least 1 out of the last 5 years.
  2. The taxpayer lived in the home for at least 2 out of the last 5 years and did not exclude gain from another home sale in the last 2 years.
  3. The taxpayer lived in the home for at least 3 out of the last 5 years.
  4. The taxpayer lived in the home for at least 2 out of the last 5 years and the sale price was below $250,000.

Answer: B. The taxpayer lived in the home for at least 2 out of the last 5 years and did not exclude gain from another home sale in the last 2 years.

Explanation:

  • Option A is incorrect because the taxpayer must have lived in the home for at least 2 out of the last 5 years to qualify for the exclusion, as per IRC § 121(a).
  • Option B is correct. The taxpayer must have lived in the home for at least 2 out of the last 5 years and not have excluded gain from another home sale in the last 2 years, as per IRC § 121(b)(3).
  • Option C is incorrect because the requirement is 2 out of the last 5 years, not 3, according to IRC § 121(a).
  • Option D is incorrect because the sale price is not a factor for the exclusion, as per IRC § 121.

Source: Internal Revenue Code (IRC) §§ 121(a), 121(b)(3)

Question 4 of 10

What is the maximum total amount an individual under age 50 can contribute to traditional and Roth IRAs for tax year 2025, assuming the individual has at least that amount of taxable compensation and is otherwise eligible to contribute?

  1. $5,000
  2. $6,000
  3. $6,500
  4. $7,000

Correct answer: D. $7,000

Explanation:

For tax year 2025, the maximum total contribution an individual under age 50 can make to traditional and Roth IRAs is $7,000, or taxable compensation for the year if lower. This is a combined limit across traditional and Roth IRAs.

Why the wrong answers are wrong:

A. $5,000 — This is below the 2025 IRA contribution limit for individuals under age 50.

B. $6,000 — This was the under-age-50 IRA contribution limit for earlier tax years, including 2021 and 2022, but not 2025.

C. $6,500 — This was the under-age-50 IRA contribution limit for tax year 2023, not 2025.

Question 5 of 10

Which of the following is not a deductible medical expense?

  1. Prescription medications
  2. Health insurance premiums
  3. Over-the-counter vitamins
  4. Doctor’s fees

Answer: C. Over-the-counter vitamins

Explanation:

  • Option A is incorrect because prescription medications are deductible medical expenses as per IRC § 213(d)(1)(A).
  • Option B is incorrect because health insurance premiums are deductible as per IRC § 213(d)(1)(D).
  • Option C is correct. Over-the-counter vitamins are generally not deductible unless they are prescribed by a medical practitioner, as per IRC § 213(d)(3).
  • Option D is incorrect because doctor’s fees are deductible medical expenses as per IRC § 213(d)(1)(A).

Source: Internal Revenue Code (IRC) §§ 213(d)(1)(A), 213(d)(1)(D), 213(d)(3)

Question 6 of 10

What is the standard deduction for a single taxpayer under the age of 65 for the tax year 2021?

  1. $12,200
  2. $12,400
  3. $12,550
  4. $12,750

Answer: C. $12,550

Explanation:

  • Option A is incorrect because $12,200 was the standard deduction for the tax year 2019, not 2021, as per IRC § 63(c)(7).
  • Option B is incorrect because $12,400 was the standard deduction for the tax year 2020, not 2021, as per IRC § 63(c)(7).
  • Option C is correct. The standard deduction for a single taxpayer under the age of 65 for the tax year 2021 is $12,550, as per IRC § 63(c)(7).
  • Option D is incorrect because there is no such standard deduction amount of $12,750 for single taxpayers under 65 for the tax year 2021, as per IRC § 63(c)(7).

Source: Internal Revenue Code (IRC) § 63(c)(7)

Question 7 of 10

Which of the following taxpayers has a child who meets the Child Tax Credit age test for tax year 2025?

  1. A taxpayer with a dependent child aged 16.
  2. A taxpayer with a dependent child aged 17.
  3. A taxpayer with a dependent child aged 18 and a full-time student.
  4. A taxpayer with a dependent child aged 19 and not a full-time student.

Answer: D. A taxpayer with a dependent child aged 19 and not a full-time student.

Explanation:

  • Option A is incorrect because a dependent child aged 16 is eligible for the Child Tax Credit as per IRC § 24(c)(1).
  • Option B is incorrect because a dependent child aged 17 is also eligible for the Child Tax Credit as per IRC § 24(c)(1).
  • Option C is incorrect because a dependent child aged 18 who is a full-time student is eligible for the Child Tax Credit as per IRC § 24(c)(1).
  • Option D is correct. A dependent child aged 19 who is not a full-time student is not eligible for the Child Tax Credit, as per IRC § 24(c)(1).

Source: Internal Revenue Code (IRC) § 24(c)(1)

Question 8 of 10

What is the maximum amount of the Lifetime Learning Credit that can be claimed per tax return in 2021?

  1. $1,000
  2. $2,000
  3. $2,500
  4. $3,000

Answer: B. $2,000

Explanation:

  • Option A is incorrect because the maximum amount of the Lifetime Learning Credit is not $1,000, as per IRC § 25A(c)(1).
  • Option B is correct. The maximum amount of the Lifetime Learning Credit that can be claimed per tax return in 2021 is $2,000, as per IRC § 25A(c)(1).
  • Option C is incorrect because $2,500 is the maximum amount for the American Opportunity Credit, not the Lifetime Learning Credit, as per IRC § 25A(i)(1).
  • Option D is incorrect because there is no such limit of $3,000 for the Lifetime Learning Credit, as per IRC § 25A(c)(1).

Source: Internal Revenue Code (IRC) §§ 25A(c)(1), 25A(i)(1)

Question 9 of 10

What is the penalty for failing to file a tax return by the due date, assuming no tax is owed?

  1. No penalty
  2. $50
  3. $135 or 100% of the unpaid tax, whichever is smaller
  4. $210

Answer: A. No penalty

Explanation:

  • Option A is correct. If no tax is owed, there is generally no penalty for failing to file a tax return by the due date, as per IRC § 6651(a)(1).
  • Option B is incorrect because there is no flat $50 penalty for failing to file, as per IRC § 6651(a)(1).
  • Option C is incorrect because the penalty of $135 or 100% of the unpaid tax applies only when there is unpaid tax, as per IRC § 6651(a)(1).
  • Option D is incorrect because there is no flat $210 penalty for failing to file, as per IRC § 6651(a)(1).

Source: Internal Revenue Code (IRC) § 6651(a)(1)

Question 10 of 10

Which of the following is not considered earned income for the purpose of calculating the Earned Income Tax Credit (EITC)?

  1. Interest and dividends
  2. Self-employment income
  3. Wages, salaries, and tips
  4. Union strike benefits

Answer: A. Interest and dividends

Explanation:

  • Option A is correct. Interest and dividends are not considered earned income for the purpose of EITC, as per IRC § 32(c)(2)(B).
  • Option B is incorrect because self-employment income is also considered earned income for the purpose of EITC, as per IRC § 32(c)(2)(A)(ii).
  • Option C is incorrect because wages, salaries, and tips are considered earned income for the purpose of EITC, as per IRC § 32(c)(2)(A)(i).
  • Option D is incorrect because union strike benefits are considered earned income for the purpose of EITC, as per IRC § 32(c)(2)(A)(iii).

Source: Internal Revenue Code (IRC) §§ 32(c)(2)(A)(i), 32(c)(2)(A)(ii), 32(c)(2)(B), 32(c)(2)(A)(iii)

Part 2 – Businesses: Sample Questions

Question 1 of 10

What is the maximum amount of Section 179 expense deduction a business can claim for qualifying property placed in service in the tax year 2021?

  1. $500,000
  2. $1,000,000
  3. $1,050,000
  4. $1,500,000

Answer: C. $1,050,000

Explanation:

  • Option A is incorrect because the maximum Section 179 expense deduction for 2021 is not $500,000, as per IRC § 179(b)(1).
  • Option B is incorrect because the maximum Section 179 expense deduction for 2021 is not $1,000,000, as per IRC § 179(b)(1).
  • Option C is correct. The maximum Section 179 expense deduction for qualifying property placed in service in the tax year 2021 is $1,050,000, as per IRC § 179(b)(1).
  • Option D is incorrect because there is no such limit of $1,500,000 for the Section 179 expense deduction, as per IRC § 179(b)(1).

Source: Internal Revenue Code (IRC) § 179(b)(1)

Question 2 of 10

Which of the following types of corporations is not subject to the Alternative Minimum Tax (AMT)?

  1. C Corporation
  2. S Corporation
  3. Personal Holding Company
  4. Professional Service Corporation

Answer: B. S Corporation

Explanation:

  • Option A is incorrect because C Corporations were subject to AMT prior to the Tax Cuts and Jobs Act of 2017, as per IRC § 55.
  • Option B is correct. S Corporations are generally not subject to the Alternative Minimum Tax, as per IRC § 1363(a).
  • Option C is incorrect because Personal Holding Companies could be subject to AMT, as per IRC § 542.
  • Option D is incorrect because Professional Service Corporations could also be subject to AMT, as per IRC § 448.

Source: Internal Revenue Code (IRC) §§ 55, 1363(a), 542, 448

Question 3 of 10

What is the deadline for filing Form 1120, U.S. Corporation Income Tax Return, for a calendar-year corporation?

  1. March 15
  2. April 15
  3. April 30
  4. May 15

Answer: B. April 15

Explanation:

  • Option A is incorrect because March 15 is the deadline for S Corporations and partnerships to file their returns, as per IRC § 6072(b).
  • Option B is correct. The deadline for filing Form 1120 for a calendar-year corporation is April 15, as per IRC § 6072(b).
  • Option C is incorrect because there is no such deadline of April 30 for filing Form 1120, as per IRC § 6072(b).
  • Option D is incorrect because there is no such deadline of May 15 for filing Form 1120, as per IRC § 6072(b).

Source: Internal Revenue Code (IRC) § 6072(b)

Question 4 of 10

What is the maximum amount of Net Operating Loss (NOL) that a corporation can carry back to offset prior year’s income?

  1. 50% of the prior year’s income
  2. 80% of the prior year’s income
  3. 100% of the prior year’s income
  4. NOL cannot be carried back, only carried forward

Answer: D. NOL cannot be carried back, only carried forward

Explanation:

  • Option A is incorrect because the Tax Cuts and Jobs Act of 2017 eliminated the provision allowing corporations to carry back NOLs to offset 50% of prior year’s income, as per IRC § 172(b)(1)(A).
  • Option B is incorrect because the 80% limitation applies to carrying forward NOLs, not carrying them back, as per IRC § 172(a).
  • Option C is incorrect because the provision allowing 100% carryback was eliminated by the Tax Cuts and Jobs Act of 2017, as per IRC § 172(b)(1)(A).
  • Option D is correct. As of the Tax Cuts and Jobs Act of 2017, NOLs can only be carried forward, not back, as per IRC § 172(b)(1)(A).

Source: Internal Revenue Code (IRC) §§ 172(a), 172(b)(1)(A)

Question 5 of 10

What is the tax rate for a Personal Holding Company (PHC) on its undistributed PHC income?

  1. 15%
  2. 20%
  3. 25%
  4. 30%

Answer: B. 20%

Explanation:

  • Option A is incorrect because the PHC tax rate is not 15%.
  • Option B is correct. The tax rate on undistributed personal holding company income is 20%.
  • Option C is incorrect because the PHC tax rate is not 25%.
  • Option D is incorrect because the PHC tax rate is not 30%.
Question 6 of 10

What is the deadline for a partnership to file Form 1065, U.S. Return of Partnership Income, for a calendar-year partnership?

  1. March 15
  2. April 15
  3. May 15
  4. June 15

Answer: A. March 15

Explanation:

  • Option A is correct. The deadline for a calendar-year partnership to file Form 1065 is March 15, as per IRC § 6072(b).
  • Option B is incorrect because April 15 is the deadline for individual taxpayers and C Corporations, not partnerships, as per IRC § 6072(a).
  • Option C is incorrect because there is no such deadline of May 15 for filing Form 1065, as per IRC § 6072(b).
  • Option D is incorrect because there is no such deadline of June 15 for filing Form 1065, as per IRC § 6072(b).

Source: Internal Revenue Code (IRC) §§ 6072(a), 6072(b)

Question 7 of 10

Under what conditions can a corporation make tax-free distributions to its shareholders?

  1. When the distribution is a return of capital
  2. When the distribution is from current earnings and profits
  3. When the distribution is from accumulated earnings and profits
  4. When the distribution is a dividend

Answer: A. When the distribution is a return of capital

Explanation:

  • Option A is correct. A corporation can make tax-free distributions to its shareholders when the distribution is a return of capital, as per IRC § 301(c)(2).
  • Option B is incorrect because distributions from current earnings and profits are generally taxable as dividends, as per IRC § 301(c)(1).
  • Option C is incorrect because distributions from accumulated earnings and profits are also generally taxable as dividends, as per IRC § 301(c)(1).
  • Option D is incorrect because dividends are generally taxable to the shareholders, as per IRC § 301(c)(1).

Source: Internal Revenue Code (IRC) §§ 301(c)(1), 301(c)(2)

Question 8 of 10

What is the maximum amount of qualified business income (QBI) deduction a single taxpayer can claim in 2021?

  1. 20% of QBI
  2. 50% of W-2 wages
  3. 25% of W-2 wages plus 2.5% of the unadjusted basis of qualified property
  4. None of the above

Answer: A. 20% of QBI

Explanation:

  • Option A is correct. The maximum amount of qualified business income (QBI) deduction a single taxpayer can claim in 2021 is 20% of QBI, as per IRC § 199A(a).
  • Option B is incorrect because the 50% of W-2 wages limitation is one of the conditions that may apply but is not the maximum amount of the QBI deduction, as per IRC § 199A(b)(2).
  • Option C is incorrect because the 25% of W-2 wages plus 2.5% of the unadjusted basis of qualified property is another condition that may apply but is not the maximum amount of the QBI deduction, as per IRC § 199A(b)(2).
  • Option D is incorrect because one of the above options is correct, specifically Option A.

Source: Internal Revenue Code (IRC) §§ 199A(a), 199A(b)(2)

Question 9 of 10

What is the general tax treatment of entertainment expenses incurred for a client?

  1. 100% deductible
  2. 80% deductible
  3. 50% deductible
  4. Not deductible

Answer: D. Not deductible

Explanation:

  • Option A is incorrect because entertainment expenses are generally nondeductible.
  • Option B is incorrect because entertainment expenses are generally nondeductible.
  • Option C is incorrect. Separately stated, otherwise allowable business meal expenses may generally be 50% deductible, but entertainment expenses are generally nondeductible.
  • Option D is correct. Entertainment expenses are generally nondeductible.

Source: Internal Revenue Code (IRC) § 274(n)(1)

Question 10 of 10

What is the depreciation method generally used for most tangible property placed in service in a general business credit?

  1. Straight-line method
  2. Double declining balance method
  3. Modified Accelerated Cost Recovery System (MACRS)
  4. Sum-of-the-years-digits method

Answer: C. Modified Accelerated Cost Recovery System (MACRS)

Explanation:

  • Option A is incorrect because the straight-line method is not generally used for most tangible property placed in service in a general business credit, as per IRC § 168(b).
  • Option B is incorrect because the double declining balance method is not generally used for most tangible property placed in service in a general business credit, as per IRC § 168(b).
  • Option C is correct. The Modified Accelerated Cost Recovery System (MACRS) is generally used for most tangible property placed in service in a general business credit, as per IRC § 168(a).
  • Option D is incorrect because the sum-of-the-years-digits method is not generally used for most tangible property placed in service in a general business credit, as per IRC § 168(b).

Source: Internal Revenue Code (IRC) §§ 168(a), 168(b)

Part 3 – Representation, Practices, and Procedures: Sample Questions

Question 1 of 10

What is the maximum penalty for willfully failing to file a tax return?

  1. $1,000
  2. $10,000
  3. $25,000
  4. $100,000

Answer: D. $100,000

Explanation:

  • Option A is incorrect because the maximum penalty for willfully failing to file a tax return is not $1,000, as per IRC § 7203.
  • Option B is incorrect because the maximum penalty for willfully failing to file a tax return is not $10,000, as per IRC § 7203.
  • Option C is incorrect because the maximum penalty for willfully failing to file a tax return is not $25,000, as per IRC § 7203.
  • Option D is correct. The maximum penalty for willfully failing to file a tax return is $100,000 for individuals and $200,000 for corporations, as per IRC § 7203.

Source: Internal Revenue Code (IRC) § 7203

Question 2 of 10

What is the general effect of a Notice of Federal Tax Lien on a taxpayer’s consumer credit report?

  1. It remains for at least 10 years.
  2. It remains for at least 7 years.
  3. It remains for at least 3 years.
  4. It does not appear on consumer credit reports.

Answer: D. It does not appear on consumer credit reports.

Explanation:

  • Options A, B, and C are incorrect because Notices of Federal Tax Lien no longer appear on consumer credit reports.
  • Option D is correct. A filed lien may still affect access to credit if a creditor discovers it through public records.

Source: Internal Revenue Code (IRC) § 6323

Question 3 of 10

What is the maximum amount of time the IRS generally has to assess additional tax after the original filing?

  1. 1 year
  2. 3 years
  3. 6 years
  4. 10 years

Answer: B. 3 years

Explanation:

  • Option A is incorrect because the IRS generally has more than 1 year to assess additional tax, as per IRC § 6501(a).
  • Option B is correct. The IRS generally has 3 years from the date of the original filing to assess additional tax, as per IRC § 6501(a).
  • Option C is incorrect because the 6-year period applies in certain special cases, such as substantial omission of income, but is not the general rule, as per IRC § 6501(e).
  • Option D is incorrect because the IRS generally does not have 10 years to assess additional tax after the original filing, as per IRC § 6501(a).

Source: Internal Revenue Code (IRC) §§ 6501(a), 6501(e)

Question 4 of 10

What is the minimum penalty for filing a frivolous tax return?

  1. $100
  2. $500
  3. $1,000
  4. $5,000

Answer: D. $5,000

Explanation:

  • Option A is incorrect because the minimum penalty for filing a frivolous tax return is not $100, as per IRC § 6702(a).
  • Option B is incorrect because the minimum penalty for filing a frivolous tax return is not $500, as per IRC § 6702(a).
  • Option C is incorrect because the minimum penalty for filing a frivolous tax return is not $1,000, as per IRC § 6702(a).
  • Option D is correct. The minimum penalty for filing a frivolous tax return is $5,000, as per IRC § 6702(a).

Source: Internal Revenue Code (IRC) § 6702(a)

Question 5 of 10

What is the maximum amount of the penalty for failure to file Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR)?

  1. $10,000
  2. $50,000
  3. $100,000
  4. $500,000

Answer: C. $100,000

Explanation:

  • Option A is incorrect because the maximum penalty for failure to file FBAR is not $10,000, as per 31 U.S.C. § 5321(a)(5)(C).
  • Option B is incorrect because the maximum penalty for failure to file FBAR is not $50,000, as per 31 U.S.C. § 5321(a)(5)(C).
  • Option C is correct. The maximum penalty for failure to file FBAR is $100,000, as per 31 U.S.C. § 5321(a)(5)(C).
  • Option D is incorrect because the maximum penalty for failure to file FBAR is not $500,000, as per 31 U.S.C. § 5321(a)(5)(C).

Source: 31 U.S.C. § 5321(a)(5)(C)

Question 6 of 10

What is the minimum age at which a person can become an Enrolled Agent?

  1. 30 years
  2. 21 years
  3. 25 years
  4. 18 years

Answer: D. 18 years

Explanation:

  • Option A is incorrect because the minimum age is not 30 years, as per Treasury Department Circular No. 230, Section 10.4.
  • Option B is incorrect because the minimum age is not 21 years, as per Treasury Department Circular No. 230, Section 10.4.
  • Option C is incorrect because the minimum age is not 25 years, as per Treasury Department Circular No. 230, Section 10.4.
  • Option D is correct. The minimum age at which a person can become an Enrolled Agent is 18 years, as per Treasury Department Circular No. 230, Section 10.4.

Source: Treasury Department Circular No. 230, Section 10.4

Question 7 of 10

What is the standard period for which the IRS can audit a tax return?

  1. 1 year
  2. 3 years
  3. 6 years
  4. 10 years

Answer: B. 3 years

Explanation:

  • Option A is incorrect because the standard period for which the IRS can audit a tax return is not 1 year, as per IRC § 6501(a).
  • Option B is correct. The standard period for which the IRS can audit a tax return is 3 years from the date of the original filing, as per IRC § 6501(a).
  • Option C is incorrect because the 6-year period applies in certain special cases, such as substantial omission of income, but is not the general rule, as per IRC § 6501(e).
  • Option D is incorrect because the IRS generally does not have 10 years to audit a tax return after the original filing, as per IRC § 6501(a).

Source: Internal Revenue Code (IRC) §§ 6501(a), 6501(e)

Question 8 of 10

What is the minimum amount of tax liability that triggers the requirement for a corporation to make estimated tax payments?

  1. $500
  2. $1,000
  3. $2,500
  4. $5,000

Answer: A. $500

Explanation:

  • Option A is correct. The minimum amount of tax liability that triggers the requirement for a corporation to make estimated tax payments is $500, as per IRC § 6655(a).
  • Option B is incorrect because the minimum amount is not $1,000, as per IRC § 6655(a).
  • Option C is incorrect because the minimum amount is not $2,500, as per IRC § 6655(a).
  • Option D is incorrect because the minimum amount is not $5,000, as per IRC § 6655(a).

Source: Internal Revenue Code (IRC) § 6655(a)

Question 9 of 10

What is the maximum amount of time a taxpayer has to file a claim for a tax refund?

  1. 3 years
  2. 2 years
  3. 1 year
  4. 4 years

Answer: A. 3 years

Explanation:

  • Option A is correct. The maximum amount of time a taxpayer has to file a claim for a tax refund is generally 3 years from the date the original return was filed or 2 years from the date the tax was paid, whichever is later, as per IRC § 6511(a).
  • Option B is incorrect because the maximum amount of time a taxpayer has to file a claim for a tax refund is not 2 years, as per IRC § 6511(a).
  • Option C is incorrect because the maximum amount of time a taxpayer has to file a claim for a tax refund is not 1 year, as per IRC § 6511(a).
  • Option D is incorrect because the maximum amount of time a taxpayer has to file a claim for a tax refund is not 4 years, as per IRC § 6511(a).

Source: Internal Revenue Code (IRC) § 6511(a)

Question 10 of 10

What is the maximum penalty for unauthorized disclosure of tax return information by a tax preparer?

  1. $1,000
  2. $5,000
  3. $10,000
  4. $25,000

Answer: C. $10,000

Explanation:

  • Option A is incorrect because the maximum penalty for unauthorized disclosure of tax return information by a tax preparer is not $1,000, as per IRC § 6713(a).
  • Option B is incorrect because the maximum penalty for unauthorized disclosure of tax return information by a tax preparer is not $5,000, as per IRC § 6713(a).
  • Option C is correct. The maximum penalty for unauthorized disclosure of tax return information by a tax preparer is $10,000, as per IRC § 6713(a).
  • Option D is incorrect because the maximum penalty for unauthorized disclosure of tax return information by a tax preparer is not $25,000, as per IRC § 6713(a).

Source: Internal Revenue Code (IRC) § 6713(a)

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