EFIN & PTIN – What Are They & Why Do I Need Them?

While we hope you are enjoying the off-season, it is important for you to start thinking about the upcoming tax season & what you need to do to get your ducks in a row. Afterall, TY21 will be here before we know it. To prepare for the upcoming season, it is crucial that you work towards acquiring your professional identification numbers in advance. Why? Taking care of this requirement now will help you avoid unwanted & unnecessary delays when you are knee deep in tax returns. Depending on your practice, you might need to register for an EFIN & a PTIN. Keep reading to learn how to register today!

EFIN – Electronic Filing Identification Number

In short, an EFIN is the IRS’ way of telling tax professionals that they are authorized to e-file taxes. This is especially important for our clients because most of you are completing/filing more than 10 returns each season & therefore must be authorized to do so. However, this is not the only requirement associated with EFIN’s…

Additional EFIN Information…

  • Click here for more information on what location(s) yours can & cannot cover.
  • To become authorized by the IRS, you must submit your fingerprint to be used for a credit/background/tax compliance check. In addition, your fingerprint is checked for any prior non-compliant behavior in reference to e-filing with the IRS.
  • Becoming an authorized e-filer with the IRS can take up to 45 days. Applying in advance is crucial, to ensure that you are approved before the January 1st

PTIN – Preparer Tax Identification Number

Anytime you submit a tax return, you are required to do so using a PTIN. Without this, the IRS will not accept your return/claim. However, it is important to keep in mind that unlike EFINs, PTINs do expire & must be renewed annually. To secure for your PTIN number virtually for TY21, apply here.

Let Us Lend a Helping Hand

To make these processes as simple as possible for you & your firm, we have put together a list of additional sources on EFINs & PTINs…

Still have questions or need further assistance? Please do not hesitate to reach out to our sales team at 319-536-3571 or prosales@taxact.com.