Tax Software

Tax software will be released Monday December 19th. 

PTS University

The PTS University is active.

www.ptsuniversity.com

Don’t Make the $1,030.40 Mistake!

The average 2010 PTS refund was $1,030.40 higher than the average 2010 IRS refund.

PTS Holiday Hours

Monday – Friday   8:30am – 6:00pm

CLOSED: December 23rd and 26th

CLOSED: January 2nd

PTS DirectCheck

PTS Financial Services announces a new ad-on to the PTS Direct Benefits program: PTS DirectCheck!

PTS DirectCheck: Increase revenue while providing another value-added service. PTS DirectCheck can help you accomplish this – and more! PTS DirectCheck features a Direct Deposit benefit that you can offer to customers who do not have a bank account. However, any of your customers – good credit or bad – can use DirectCheck.

Ready for Tax Season? Important Facts:

1.     Renew PTIN NOW!

The deadline is December 31st – although you may continue to register new employees throughout the tax season. You need to do the online registration in order to receive the PTIN immediately – if you experience problems and cannot get it done online then you may use the W-12. You can find this form at http://www.irs.gov/pub/irs-pdf/fw12.pdf

2.     Remember: Paper Renewal Takes Time!

It takes 4 -6 weeks to process the paper form. As you may be aware, we don’t have long! (Hint: Deadline is December 31st)

3.     Bank Compliance Training

You must complete bank compliance training and report your PTIN in order to process bank applications. River City Bank (RCB) training can be accessed online here: http://rcbtaxdivision.2012Compliance.sgizmo.com/s3/

The entire process takes approximately 30 minutes. For more information, contact Sheri McAllister: sherim@ptstax.com, 706-602-0597 ext 117

4.     Check Stock

Check stock has begun shipping to all offices that currently have an EFIN. Contact Lisa Poe, Affiliate Relations Director: lisap@ptstax.com; 706-602-0597 ext 114 no later than Jan 5th if you haven’t received your checks for bank product returns

5.     Continue Marketing!

Follow up with prior tax-year customers! Phone calls, postcards, and letters – any correspondence will work. If you need help with this, contact Sarah Starratt in PTS Marketing for ideas: sarahs@ptstax.com, 706-602-0597 ext 122

PTS DirectCheck features a Direct Deposit benefit that you can offer to customers who do not have a bank account. However, any of your customers – good credit or bad – can use DirectCheck.

 The process is simple: The customer has their money deposited into a FDIC insured account and you print their checks for them when they come to your business.

 The following types of checks are eligible for this service:

• Social Security
• Supplemental Security Income (SSI)
• Veteran’s Affairs (VA)
• Retirement Pension
• Payroll
• Unemployment
• State Benefits

 DirectCheck customers will find that the program is a safe, convenient, and an affordable option to receive their money. The Program helps to improve customer retention, increase revenue, and boost timely payments by your customers.

 With the US Postal Service cutting back on delivery times, this will be a product that your customers will love.

 PTS Financial Services is constantly upgrading and improving the PTS Direct Benefits program for both our affiliates and their customers.

Quick Calc will be ready this week!

Have you renewed or signed up for your PTIN? You have until December 31st

PTS University is up and running. This year PTSU is much simpler to register for, as well as launching your courses.

Good news: The IRS has decided to hold off on fingerprinting tax return preparers for now

Tax folders for completed returns will be sent the first week of January

Tax Law Webinars are currently available as well as Tax Software Seminars. The Tax Software Seminars are from 9 am to 4 pm. To register, please contact Phillip Rhodes at phillipr@ptstax.com.

Tax Season for PTS affiliates only lasts about 4 weeks

50% of returns are completed by January 28th and 81% are completed by February 15th

Do not wait for tax season, be prepared!

WASHINGTON —The Internal Revenue Service today announced that the nation’s 738,000 tax return preparers who have Preparer Tax Identification Numbers (PTINs) can now renew their PTINs for the 2012 filing season.

Preparers are required to renew their PTINs on an annual basis and need to do so before the next year begins. For example, a preparer’s PTIN for 2012 must be renewed by Dec. 31, 2011.

Anyone who for compensation prepares, or helps prepare, all or substantially all of tax returns or claims for refunds must have a PTIN. Paid return preparers must have valid, current PTINs to prepare tax returns in 2012.

The PTIN renewal fee for 2012 is $63. The initial application fee for a PTIN remains at $64.25. Return preparers who obtained their PTINs by creating an online account should renew their PTINs at www.irs.gov/ptin.

Preparers who used paper applications to receive their 2011 PTINs will receive an activation code in the mail from the IRS which they can use to create an online account and convert to an electronic renewal for 2012. Individuals can also renew using a paper Form W-12, IRS Paid Preparer Tax Identification Number Application, but renewing electronically avoids a four to six week wait for processing the renewal request.

Return preparers who are applying for a PTIN for the first time must go through a strict authentication procedure and should follow directions carefully. Return preparers who prepared, or helped prepare, returns for compensation in 2011 without PTINs must obtain 2011 PTINs and then renew their PTINs for 2012, paying fees for each year if they intend to practice next year. Penalties may apply for paid tax return preparers who prepared, or helped prepare returns in 2011 without valid PTINs.

Some changes to the PTIN application and renewal process include:

• Return preparers must self-identify if they are supervised preparers or non-1040 preparers.
• Supervised preparers will need to provide a supervisor’s PTIN when applying for or renewing their PTINs.
• Credentialed preparers (Certified Public Accountants, attorneys and Enrolled Agents) must provide the expiration date for their licenses when they apply for or renew their PTINs.
• Supervised preparers are individuals who don’t sign the returns they prepare or help prepare; work at a firm at least 80 percent owned by a Certified Public Accountant, an attorney or an Enrolled Agent; and prepare returns that are signed by a supervisor who is a CPA, attorney or Enrolled Agent.
• Non-1040 preparers are people who do not prepare any individual income tax returns for compensation. For this purpose, preparers of Form 1040-PR and Form 1040-SS are considered non-1040 preparers.

Supervised preparers and non-1040 preparers must identify themselves when they apply for or renew their PTINs to be exempted from testing and continuing education requirements; Certified Public Accountants, attorneys and Enrolled Agents are also exempt from testing and continuing education requirements.

Taxpayers who use a paid return preparer are urged to choose a return preparer with a valid PTIN. Return preparers should also sign the returns they prepare for taxpayers and enter their PTINs on the returns.  For more information on choosing a return preparer, go to Tips for Choosing a Tax Preparer.

Phase 1: PTINs for Everyone

Beginning January 1, 2011, all paid preparers must have a Preparer Tax Identification Number before preparing returns. You can sign up for your PTIN online or by paper application. It costs $64.25 per year.

To get your PTIN online, just follow four easy steps:

• Create Your Account — First, you must create an account by providing your name, email address and security question information. The system will then email your temporary password, which you will change when you go back to enter your information in the PTIN application.
• Apply for Your PTIN — You will complete the online application by providing personal information, information about your previous year’s tax return, professional credentials, and more. See a checklist of what you need before you start.
• Pay Your Fee — The application will transfer you to our partner bank where you will make your payment by credit card or direct debit.
• Get Your PTIN — After the bank confirms your payment, your PTIN is provided online. You will receive a welcome letter providing additional guidance.

It only takes about 15 minutes to sign up online and receive your PTIN. If you opt to use the paper application, Form W-12, IRS Paid Preparer Tax Identification Number (PTIN) Application, it will take 4-6 weeks to process.

PTIN Renewal:

PTINs that were obtained for the 2011 filing season will expire on December 31, 2011. Renewal will be available in mid-October 2011. Preparers who applied for their PTINs on paper will be able to renew either online or on paper. Paper renewal will take 4-6 weeks to process. You must renew your PTIN before January 1, 2012.

Phase 2: Additional Requirements for Some Preparers

Some preparers will have additional requirements in the future.

• Attorneys, Certified Public Accountants, and Enrolled Agentswho are active and in good standing with their licensing agency have no additional requirements other than to:
  • Renew their PTIN annually.
• Supervised Preparers* and Non-1040 Preparers**will need to:
  • Renew their PTIN annually.

  * Supervised Preparers are those who do not sign returns and who are employed by attorney, CPA or EA firms and are supervised by an attorney, CPA or EA.
  ** Non-1040 preparers are those who do not prepare any Form 1040 series returns. Note: Form 1040-PR and 1040-SS are not considered Form 1040 series returns for this purpose.

• All other preparerswill need to:
  • Renew their PTIN annually.
  • Pass a competency test.
  • Take continuing education courses annually.

We expect to begin offering the test in approximately November 2011. Those who already have a PTIN will have until the end of 2013 to take and pass the exam and to pass the background check.

The continuing education requirement is expected to start in 2012.

The IRS is also considering requiring certain tax return preparers to undergo a background check as part of PTIN requirements. Preparers will be contacted if they are required to undergo a background check in the future, and any updates on background check requirements will be posted on this webpage.

Source: http://www.irs.gov/taxpros/article/0,,id=221009,00.html

 PTS Marketing Director, Kelly Gerardis, awarded five-hundred dollars’ worth of toys to the Children’s Hospital of Atlanta (CHOA) – a not-for-profit healthcare organization in Atlanta. CHOA is one of the largest pediatric systems in the country.

 PTS Affiliate Support Director, Tommy Baker, attended a Challenger Sports soccer game, where he presented the organization with a one-thousand dollar check. The Challenger Sports program of the Rome-Floyd County Parks and Recreation Department is a sport program designed to help special needs children and adults have the opportunity to experience the excitement of playing sports regardless of their disability.

PTS Training Director, Phillip Rhodes, awarded a one-thousand-dollar check to the Ashworth Middle School (Calhoun, Ga.) football team for uniforms.

A large group of PTS employees also recently toured the Boys and Girls Club of Gordon, Murray, and Whitfield facility, and awarded the staff with a check of five-thousand dollars ($5,000) to directly benefit the Raymond King memorial Golf Classic – the organization’s annual golf tournament fundraiser. Several PTS employees also participated in the tournament.

•  Please take down ALL banners or any tax materials that refer to “Refund Anticipation Loans” or the RAL – such as “Receive money in 24-48 hours”
• Information on ordering new banners and marketing kits will be sent to all home offices next week
• Tax folders for completed returns will be sent the first week of January
• PTS University is up and running! This year PTSU is much simpler to register for as well as launching your courses.  Hang your PTSU certificates up on the wall in your office so your customers can see that you are certified
• Marketing webinars are currently available. Contact Phillip Rhodes to sign up: PhillipR@ptstax.com
• Start asking your customers for their tax business now!
• The 2010 average IRS refund was $3,003.00 and the 2010 average PTS refund was $4,033.04 – PTS was $1,030.04 HIGHER!
• 67% of PTS customers received the Earned Income Credit last year
• PTINs must now be renewed on a calendar year basis. All PTIN holders must renew their numbers using the online PTIN application or paper Form W-12 and pay the required fee ($64.25 for 2012) after Oct. 15 and before Jan. 1 annually.

WASHINGTON — The Internal Revenue Service today provided additional clarification for tax return preparers about when to renew their preparer tax identification numbers (PTINs), how suitability testing will be conducted, and when the continuing education requirement will begin.

The IRS today released Notice 2011-80, which provides that PTINs must now be renewed on a calendar year basis. All PTIN holders must renew their numbers using the online PTIN application or paper Form W-12 and pay the required fee ($64.25 for 2012) after Oct. 15 and before Jan. 1 annually.

The return preparer initiative requires anyone who is paid to prepare all or substantially all of any federal tax return or claim for refund to register with the IRS and obtain a PTIN. Certain preparers also must pass a competency examination, undergo a suitability check and complete continuing education courses annually. The IRS will designate individuals who meet these requirements as a Registered Tax Return Preparer.

Individuals designated as a Registered Tax Return Preparer will be authorized to prepare federal tax returns and claims for refunds and to represent their clients during an IRS examination of a tax return or claim for refund that the individual signed as the paid tax return preparer.

The notice also clarifies a number of other issues.

The IRS has been issuing provisional PTINs to individuals who are not attorneys, certified public accountants, or enrolled agents to enable them to prepare tax returns prior to meeting competency testing and suitability requirements because the programs have not begun. The IRS will continue issuing provisional PTINs at least through April 18, 2012. Once the IRS stops issuing provisional PTINs, tax return preparers who are required to complete the competency test or suitability requirements must complete these requirements successfully prior to obtaining a PTIN.

The notice also provides that the 15-hour continuing education requirement for certain tax return preparers will take effect starting in 2012. Registered Tax Return Preparers and individuals required to pass the Registered Tax Return Preparer competency examination before Dec. 31, 2013, must complete the 15-hour requirement prior to renewing their PTINs for 2013 and subsequent years.

The notice also explains that certain tax return preparers who must pass a suitability check will have to provide their fingerprints so that a Federal Bureau of Investigation database search can be conducted. Generally, the fingerprint requirement will affect those preparers who currently have provisional PTINs.

Under the current proposed regulations any participant in the PTIN, acceptance agent, or authorized e-file provider programs who resides and is employed outside of theUnited Stateswill not have to be fingerprinted to participate in these programs. Such persons, however, must comply with all other elements of the suitability check. In addition, the Treasury Department and the IRS continue to study what additional requirements should apply to such persons. Any additional requirements would be set forth in future guidance.

Attorneys, certified public accountants, enrolled agents, enrolled retirement plan agent and enrolled actuaries also are expected to be exempt from the fingerprinting requirement at this time.  However, these individuals also must answer all the suitability questions asked on the PTIN application, such as whether they have been convicted of a felony in the previous 10 years.

Individuals participating in the PTIN, acceptance agent, or authorized e-file provider programs also are required to meet any other requirements of the programs in which they are participating.

The IRS is working with third-party vendors who will collect and process the fingerprints.

Proposed Regulations Related to User Fees

The IRS also published proposed regulations today (REG-116284-11) that would establish user fees for fingerprinting and taking the competency examination. As proposed, the IRS portion of the fingerprinting fee would be $33, and the IRS portion of the testing fee would be $27. These user fees are in addition to any fees charged by the third-party vendors administering the programs. The fees to be charged by third-party vendors are not being announced at this time, but the total fees, including the IRS user fees, are expected to be between $60 and $90 for fingerprinting and $100 and $125 for testing.

For more information, visit www.IRS.gov/ptin.