How To Become A Tax Preparer In Maryland

Last Updated on August 27, 2022 by

What does a tax preparer do? How can you become a tax preparer in Maryland? As the economy gets better, more people are filing their tax returns on their own. However, they find that they are missing perfectly legitimate deductions. You fill out your taxes and get a huge refund. Of course we all love it but maybe there is an alternative way if getting your tax return isn’t the right option for you but you want to save money. This article will tell you how to become a tax preparer in Maryland and how you can help people who need it the most at a very low expense.

One of the biggest questions that come to mind when talking about Tax preparers is this; how much do they really earn? According to the U.S. Bureau of Labor Statistics, or BLS, tax preparers earned an average salary of ​$52,710​ per year as of May 2020. Salaries for CPAs are even higher. According to Traceview Finance, CPAs earn three times more than other bachelor’s degree holders. You can locate information on Maryland board of individual tax preparers that are dedicated to that purpose. The truth is that information is not easy to find online, and if you don’t know the right places to explore for you will really face a difficult time in If you need information on Maryland registered tax return preparer examination, Maryland tax preparer exam sample questions, Maryland tax preparer lookup then you’ve come to the right place. You’ll see information ranging from one another and so much more.

How To Become A Tax Preparer In Maryland

The Income Tax School (ITS) offers a 45-hour Comprehensive Tax Preparation Course that provides the federal tax education needed to sit for the Maryland Registered Tax Return Preparer Exam required by the Maryland State Board.

Right here on Collegelearners, you can rest assured to obtain all the relevant information on Maryland registered tax return preparer examination, tax preparer certification, Maryland tax preparer lookup, and so much more. Take out time to surf through our catalog for updated information on related topics.

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Become A Licensed Individual Tax Preparer In Maryland

The Income Tax School (ITS) offers a 45-hour Comprehensive Tax Preparation Course that provides the federal tax education needed to sit for the Maryland Registered Tax Return Preparer Exam required by the Maryland State Board.

Please note: The Comprehensive Tax Course covers federal tax material only. There are Maryland State tax questions on the Maryland Exam that are not covered in the Comprehensive Tax Course because they are specific to Maryland.

Maryland law requires anyone who prepares tax returns for a fee in the State of Maryland, to register as a tax preparer with Maryland.

4 Steps to become a Licensed Tax Preparer in Maryland:

  1. You must be at least 18 years old and hold a valid High School Diploma or GED.
  2. Hold a current Federal Preparer Tax Identification Number (PTIN) issued by the Internal Revenue Service. The PTIN must be renewed each tax year and registrants must submit a copy their most recent IRS PTIN Confirmation Certificate to the Board at the beginning of each tax year.
  3. Pass the Maryland Registered Tax Return Preparer Examination.
  4. Register with the Maryland State Board to prepare Maryland individual tax returns. You must have a current, valid federal PTIN for the issuance of a MD state registration. The registration fee is $100 and must be renewed every two years.

Information about the Maryland Registered Tax Return Preparer Examination:

  • The Maryland Examination is being administered by PSI Services LLC.
  • Passing the examination is required before making application for registration.
  • The cost of the Maryland Examination is $65.
  • The IRS Annual Filing Season Program (AFSP), is not a substitute for the Maryland Individual Tax Preparers Examination and does not exempt an individual tax preparer from meeting the requirements. Participation in the AFSP may only be used to meet the continuing education requirements for registration renewal.
  • Effective July 1, 2019 exam questions will be based on the 2018 Federal and Maryland Tax Rules.
  • Information about how to schedule, pay for, and take the Maryland Exam may be found at the PSI Exams Online website.

Applications for registration as an Individual Tax Preparer in Maryland are available on the Maryland Department of Laboring, Licensing, and Regulation website.

How to become a tax preparer

Find out if you are exempt from registering for a Maryland license.

Waiver of the MD Examination Requirement

Current registered tax preparers and first-time applicants for registration may qualify for waiver from the examination under two limited conditions:

  1. The tax preparer passed the Registered Tax Return Preparer (RTRP) examination administered by the IRS from January 1, 2010 to January 18, 2013. or
  2. The tax preparer provided 15 consecutive years of tax preparation services, and performed these services for the a 15 year average of 50 returns annually, and have completed 8 hours of annual continuing education for the last 3 years, download the 15 year experience waiver application. PLEASE NOTE: experience providing tax returns for compensation in Maryland after December 31, 2015 does not qualify for use for this option.

Registration Original Application, Renewal Application, Interim change forms

  • File an Original Application
  • Renew your registration
  • Interim Changes
  • Change contact information (PDF)

Exemptions from Registration in Maryland:

  1. current, active CPAs registered by Maryland or any other State,
  2. individuals in good standing and admitted to practice law in Maryland;
  3. IRS Enrolled Agents
  4. individuals employed by a local, state, or federal governmental agency who perform tax return services in accordance with their official duties.

Bi-annual Renewal and Continuing Education Requirements:

  • Once you become a Maryland Registered Tax Preparer, you will need to renew bi-annually and you will have continuing education requirements.
  • Learn about continuing education requirements for Maryland Licensed Tax Preparers
  • Maryland State Board of Individual Tax Preparers Website

It’s easy to become a Licensed Individual Tax Preparer in Maryland with our Comprehensive Income Tax Course. Get everything you need to start your career – fast!

All you have to do is study the tax material we give you, and understand when certain laws and rules apply. The ITS Comprehensive Tax Course teaches you all the federal tax education you need to know to succeed as a tax professional in Maryland! Please note: The Comprehensive Tax Course covers federal tax material only. There are Maryland State tax questions on the Maryland Exam that are not covered in the Comprehensive Tax Course because they are specific to Maryland.

We help you:

Learn tax preparation – with our Comprehensive Tax Course. In this beginner tax preparer course, you will learn to prepare federal tax returns and research tax issues for most Form 1040 individual, non-business taxpayers and small business taxpayers (self-employed/Schedule C). Upon successful completion of the course, we will send you a Certificate of Completion and submit your course completion information directly to the Maryland Board of Individual Tax Preparers.

Enroll Now And, if you’re thinking of going into business for yourself –you’ll want to add our Business Start Up Guides to your Comprehensive Tax Course. They will help you start your own tax business in weeks without franchise fees or royalties.

With these Business Start Up Guides, you’ll be in business in no time!

  1. Guide to Starting a Tax Business & Getting Clients, includes:
    Getting Started, Taking the Courses, Starting Your Own Business, Specifics for a Tax Business, How Do You Get Clients? (Includes sample marketing pieces), Bootstrap Marketing Materials You’ll Need, Meeting With Your Client, How to Price Your Services, Continuing Education, Client Retention, and Becoming a Brick and Mortar Business.
  2. Guide to Policies & Procedures for a Tax Business, includes:
    Introduction, Company Philosophy, Personnel Policies, Tax Office Policies and Procedures, Tax Preparation Procedures, Processing Tax Returns, and Client Folder Setup.
Tax Preparation Services – Options & Costs for Filing Taxes

What Are The Requirements In Maryland To Become a Tax Preparer

A registration issued by the Maryland State Board is required to prepare Maryland individual tax returns. The holding of a current, valid federal PTIN is the primary credential required for the issuance of a state registration. You must be at least 18 years old and hold a valid High School Diploma or GED. Because the IRS has not yet established an electronic system that enables the Board to verify your PTIN, the Maryland State Board must do so manually. The application provides instructions on forwarding a copy of the electronic confirmation you received when applying for the PTIN on line OR the “welcome letter” you received after your PTIN was issued. Failure to provide one of the requested documents will keep your registration from being issued. The registration fee for the initial two year registration and subsequent bi-annual renewal is $100. The expiration date will be two years from the date of issuance.

Maryland law requires that applicants for registration pass an examination, Section 21-302(e) of Title 16, Business Occupations and Professions, Annotated Code of Maryland. The cost of the Maryland Examination is $65. Those tax preparers who have taken and passed the RTRP exam given by the IRS do not have to take the Maryland exam, but must submit a copy of their RTRP Certificate issued by the IRS or the letter of passing results as proof. The Maryland Examination is being administered by PSI Services, LLC. Information about how to schedule, pay for, and take the Maryland Exam may be found at the PSI Exams Online Website.

The following is a link to the CPE Audit Checklist, which can be used to keep a record and a running total of CPE hours. Upon renewal, the “total hours earned” should equal at least 16. If asked by the Board to submit proof of CPE hours, this Checklist should be certified with your signature and submitted with course documentation.

Platinum is approved by the Internal Revenue Service (IRS) to offer both the Maryland-IRS Continuing Professional Education Tax Courses as well as a Maryland Tax Return Preparer Test Preparation Course to help you pass the Maryland Examination.

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If a credentialed tax professional (CPA, attorney, enrolled agent, enrolled retirement plan agent, enrolled actuary) (please note, Maryland is currently listed under the exemptions) wants to receive an Annual filing Season record of completion, he/she must have 15 hours of continuing education from an IRS approved provider. The 15 credit hours will need to include 3 hours of Federal tax updates, 10 Hours of Federal tax law topics, and 2 hours of Ethics. No CE credit will be given to Enrolled Agents for completing an AFTR course. Once you complete the IRS Continuing Professional Education Tax course you will receive a Certificate of Completion from Platinum. Platinum will then report your completion to the IRS electronically. Once the tax preparer has met all three requirements for the Internal Revenue Service AFSP (renewed their PTIN, taken appropriate amount of continuing education, completed and passed the AFTR course/test if required), a record of completion will be available in the PTIN holder’s online IRS account for printing. Any “unenrolled” preparer not already bound by Circular 230 will need to sign an agreement to follow sub-part b of Circular 230 before being able to print the certificate from the Internal Revenue Service. There will be no cost to the preparer for the AFSP record of completion. The IRS will then list AFSP tax preparers in their public database including the tax preparer’s credentials.

How Do I Become An Authorized Tax Preparer

  1. Step 1: Create an IRS e-Services Account. Before you begin the online e-file application, you must have an IRS e-Services account, which facilitates electronic interaction with the IRS.
  2. Step 2: Submit Your Application to Become an Authorized IRS e-file Provider.
  3. Step 3: Pass a Suitability Check.

Best Tax Preparer Course

Tax Prep Courses for Beginners


If you’re a new tax professional or want to learn how to prepare your own tax returns, try these certified tax preparer courses online from the comfort of your home.

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securely through How to Prepare Your Taxes’s website

  1. How to Prepare Your Taxes by Udemy
    Who it’s for: Beginners

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How to Prepare Your Taxes is an exceptional offering from Enrolled Agent John Crowder that teaches you how to prepare your tax return with confidence. It also covers common tax credit and deduction-related myths, life events that can impact your taxes and so much more.

Here’s a breakdown of the course layout:

Introduction
The Fundamentals
Reporting Income
Adjustments to Income
Itemizing vs. Standard Deduction
Taxes and Credits
Other Taxes
Tax Payments
Wrapping-Up
Supplemental Materials

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US Income Taxes – Income Tax Preparation Simplified for You

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  1. US Income Taxes – Income Tax Preparation Simplified for You by Udemy
    Who it’s for: Beginners

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US Income Taxes – Income Tax Preparation Simplified for You is another highly-rated offering that simplifies the federal and state income tax preparation and filing process.

It is led by certified public accountant and accounting professor Majo Jacinto. She divides the class into these modules:

Dr. Majo Jacinto’s Student Testimonials
Filing Basics
Exemptions
Income Items and Related Calculations
Adjustments to Income / Adjusted Gross Income
Types of Deductions
My Tax and Credits
Other Taxes
Payments and Refundable Credits
Bottom Line
Wrap Up
It’s easy to sign up, and you’ll get full lifetime access to 2.5 hours of on-demand video and 28 downloadable resources. Plus, you can enroll with confidence knowing the course comes with a 30-day money-back guarantee if you’re unsatisfied for any reason.

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How to Prepare Your U.S. Federal Tax Returns Online
All Levels • 29 videos • 1.1 hours

How to Prepare Your U.S. Federal Tax Returns Online

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Serial entrepreneur and personal finance expert Joe Correa brings you this in-depth course on preparing tax returns with TurboTax. It features 29 lectures that walk you through a simple step-by-step process to use the software with ease.

How to Prepare Your U.S. Federal Tax Returns Online consists of 4 sections:

Introduction to How to Prepare Your U.S. Federal Tax Returns Online
Preparing To Do Your Taxes
Submitting Your Tax Returns Online
After Submitting Your Tax Returns
When you enroll today, you will unlock a vault of valuable resources. This includes 1 hour of on-demand video instruction and 7 downloadable resources that are accessible 24/7 on your computer, mobile phone or any other electronic device.

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Intermediate Tax Prep Courses
Consider these intermediate courses if you already have a solid grasp of tax return preparation basics.

Fundamentals of Business Taxes
All Levels • 18 videos • 1.8 hours

Fundamentals of Business Taxes

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  1. Fundamentals of Business Taxes by Udemy
    Who it’s for: Intermediate students

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Are you a small business owner or entrepreneur seeking more advanced knowledge about business taxes? Look no further than this popular course from business coach Mike M.

He covers business taxes, tax forms, simplified employee pensions, record keeping, tax forms, sales tax and more. There are also lessons that dive into monthly, quarterly and annual business taxes at the state and federal level.

Fundamentals of Business Taxes includes 17 lectures that are categorized as follows:

Introduction
Quarterly Taxes: Federal and State
Annual Taxes: Federal and State
State Level Taxes
Business Owner Taxes
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How to Prepare Your Taxes – For Entrepreneurs
All Levels • 24 videos • 0.9 hours

How to Prepare Your Taxes – For Entrepreneurs

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  1. How to Prepare Your Taxes – For Entrepreneurs by Udemy
    Who it’s for: Intermediate students

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How to Prepare Your Taxes – For Entrepreneurs is another stellar course from Enrolled Agent John Crowder. It is designed for entrepreneurs who want to prepare their own Schedule C and minimize tax liability.

Instruction is provided through 1 hour of on-demand video, 1 article and 3 downloadable resources. The course syllabus is as follows:

Introduction and Getting Started
Income
Business Expenses
Other Deductions
Taxes
Wrap-Up
The class is currently being offered at a price that’s too good to pass up. Plus, it only takes a few minutes to register, and you can access the materials and start learning right away.

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Income Tax – Schedule C Small Business Sole Proprietor
All Levels • 125 videos • 9.5 hours

Income Tax – Schedule C Small Business Sole Proprietor

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    Who it’s for: Intermediate students

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Income Tax – Schedule C Small Business Sole Proprietor is a Udemy bestseller that delves into filing and paying business taxes. It’s most suitable for small business owners and tax professionals who have a basic understanding of U.S. income tax law and want to maximize savings when filing.

Led by certified public accountant Robert Steele, this course entails the following segments:

Introduction
Are You Self-Employed?
What’s New for 2018
Identification Numbers
Self-Employment (SE) Tax
Which Forms Must I File?
Employment Taxes
Accounting Periods and Methods
Business Income
Guidelines for Selected Occupations
How to Figure Cost of Goods Sold
Business Expenses
The registration fee includes full lifetime access to 9.5 hours of on-demand video, 1 article and 60 downloadable resources. Plus, you will receive a certificate of completion when you finish the course.

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Advanced Tax Prep Courses
Individuals and tax return preparation professionals will find these courses useful.

Basic Corporate Tax Returns Mastered: How to File Your Taxes
All Levels • 46 videos • 0.9 hours

Basic Corporate Tax Returns Mastered: How to File Your Taxes

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Basic Corporate Tax Returns Mastered: How to File Your Taxes simplifies corporate taxation and walks you through common tax forms, like the 1120s, 1120X and 2553, using real-life examples.

All you need is access to a computer and an incorporated business to get started. The 46 lectures are grouped into these segments:

Introduction to Basic Corporate Tax Returns Mastered
Basic Corporate Tax Knowledge
Basic Tax Preparation
Closing Commentary
The class is also led by Joe Correa.

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Tax Minimization Strategies When Computing Corporate Taxable
Intermediate • 11 videos • 1.2 hours

Tax Minimization Strategies When Computing Corporate Taxable

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  1. Tax Minimization Strategies When Computing Corporate Taxable Income by Udemy
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Created by Illumeo Learning, this advanced course teaches you how to compute corporate taxable income with ease. There are lessons on the corporate tax formula, accounting period and methods, the tax treatment of capital gains and losses, Section 1231 and 291 gains, cost recovery deductions, amortization and much more.

Tax Minimization Strategies When Computing Corporate Taxable Income is facilitated by accounting expert Cherie Hennig. She divides the 11 lectures into 3 sections:

Introduction
Supporting Materials
Review and Test
Students also get access to 2 articles and 2 downloadable resources to facilitate their comprehension of the material. Even better, the course includes a 30-day money-back guarantee if you discover once enrolled that it doesn’t quite fit your needs.

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Tax Preparation and Law 2021, 2020, 2019 & 2018 – Income Tax
All Levels • 466 videos • 54 hours

Tax Preparation and Law 2021, 2020, 2019 & 2018 – Income Tax

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Join over 8,700 students who have taken this Udemy bestseller to learn the mechanics of preparing tax forms and supporting schedules.

Tax Preparation and Law 2021, 2020, 2019 & 2018 – Income Tax is also instructed by CPA Robert Steele and features hundreds of lectures jam-packed into 50.5 hours of on-demand video. He also gives you 16 articles and 210 downloadable resources to ensure you fully grasp the core concepts introduced in the lessons.

The enrollment fee is a bargain for the value you’ll receive. Enroll right away to jumpstart your quest for taxation knowledge.

tax preparer salary

As you consider potential career paths, the average salary for professionals in the field is likely to be one of your top factors. The Bureau of Labor Statistics (BLS) reports the average salary of a tax preparer as $46,860, however this number can increase if you earn an additional degree and gain experience. In addition, firms in cities with a higher cost of living tend to pay tax preparers more.

SALARY BY EXPERIENCE

A tax preparer’s salary depends on their years of experience. After all, you can gain significant knowledge each tax season, and this can help you unearth more tax deductions for your clients. Review the chart below to discover how salary for tax preparers vary based on years of experience.

EXPERIENCESALARY
< 1 year$11.04 per hour
1-4 years$12.18 per hour
5-9 years$15.02 per hour
10-19 years$16.46 per hour