NAEA Fights to Protect and Defend Your EA Credential

NAEA is fighting to protect and defend the livelihood and rights of enrolled agents to provide services to U.S. taxpayers wherever they may be located, within or outside the United States. The State of Minnesota, under Statute 332B, requires enrolled agents who provide debt settlement services to pay costly and burdensome state registration fees and to disclose detailed taxpayer information to the Minnesota Department of Commerce.

Debt settlement services are defined as “offering to provide advice or offering to act or acting as an intermediary between a debtor and the federal government, state government, or their political subdivisions to delay payment of delinquent taxes owed, establish a payment plan for delinquent taxes owed, or obtain a settlement for less than the full amount of delinquent taxes owed.” The statute exempts attorneys not exclusively representing taxpayers before the IRS, but does not exempt CPAs and EAs. The statute does not apply to tax preparation, unless the tax preparation work involves a non-filer with a balance due debt. Under those circumstances, assisting the taxpayer will likely trigger an enforcement action by Minnesota.

Enrolled agents are licensed by the U.S. Department of the Treasury. The EA credential is a national credential, NOT a state credential subject to the whims of state legislatures.

Why Minnesota Statute 332B is a Problem for All Enrolled Agents

  • Statute 332B requires any EA, anywhere, representing even a single taxpayer based in Minnesota, to comply with burdensome state registration requirements (i.e., pay a $1,000 initial registration fee, pay a $250 annual renewal fee, incur the expense of posting a $5,000 security bond).
  • Statute 332B empowers the Minnesota State Department of Commerce to set the level and means for payment of enrolled agent fees.
  • Statute 332B requires EAs to provide the Minnesota State Department of Commerce with detailed taxpayer information, contrary to Circular 230 and the Internal Revenue Code.

Be a Champion for Enrolled Agents Everywhere

NAEA, working with the Minnesota Society of Enrolled Agents, has developed a comprehensive plan to keep the federally-issued EA credential safe from unlawful regulation by the states.
If allowed to stand in its current form, Statute 332B would effectively frustrate the intended nationwide reach of EAs to practice before the IRS. Worse yet, if Statute 332B is not changed, EAs likely will see similar laws passed in multiple states.

How You Can Help

Partner with us to protect and defend the enrolled agent credential. Your support matters. Donate today to the Minnesota Defense Fund. Go to https://naea.force.com/s/store#/store/browse/cat/a254P00000E390GQAR/tiles. All contributions will go toward litigation and lobbying resources to fight Minnesota Statute 332B.

Wherever there are enrolled agents, NAEA, its affiliates, and members are there to defend the profession and the interests of the taxpayers we serve.

Fundraising

There are ways you can be a hero for Minnesota’s enrolled agents, and safeguard our federal license from state interference. Partner with us to raise awareness and funds to support the enrolled agent campaign.

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