Tax Attorney Vs. Enrolled Agent-What is the Difference?

Something that's come up in practice countless times throughout the years, is clients referring to me as their lawyer. Did I go to law school? Sure. Did I pass the bar exam? You bet. Do I practice as a tax attorney? No. Rather, I practice under my Enrolled Agent license. The distinction between an Enrolled Agent and a Tax Attorney is an important one.

An Enrolled Agent License is the highest accreditation given by the IRS. You receive this license after rigorous testing to ensure extensive knowledge, not only in tax law, but also in ethics. Enrolled Agents are given unlimited rights to represent you in front of the IRS. Enrolled Agents have the ability to negotiate directly with the IRS on behalf of a client and will handle all administrative matters. This includes, but is not limited to, drafting documents, preparing, presenting, and negotiating resolutions, and attending appeals hearings. However, if you're wanting to contest a decision in tax court, that is when you would need to hire a Tax Attorney.

Educational background varies greatly with Enrolled Agents. While some may have gone to law school or hold various degrees, no formal education is required to become an Enrolled Agent. Whereas Tax Attorney’s hold a bachelor’s degree, Juris Doctors, and passed the bar exam in the State they practice in.

It’s important for you, the taxpayer, to have a firm understanding of the background and title of the representation you’re hiring.