Tax professionals aren't all the same. Credentials, experience and IRS representation rights differ — knowing the difference helps you hire the right person for your LLC.
Types of Tax Professional
CPA — Certified Public Accountant
A state-licensed accounting professional. CPAs can prepare tax returns, provide accounting and tax planning, and represent you before the IRS.
EA — Enrolled Agent
A federally licensed tax practitioner, credentialed by the IRS. EAs focus specifically on taxation and can represent taxpayers before the IRS.
Tax Attorney
A lawyer who specializes in tax matters. Attorneys are most useful for complex disputes, structuring decisions, and legal questions beyond return preparation.
Other Tax Return Preparers
Preparers without a CPA, EA, or attorney credential can still prepare returns, but their credentials, experience, and IRS representation rights differ. Ask what credential and experience they hold before hiring.
Representation rights matter if the IRS ever questions a return: CPAs, EAs, and attorneys can represent you in audits and appeals, while many other preparers cannot. Fees and experience vary widely within every credential — interview more than one person.
Questions to Ask Before Hiring Someone
Bring this list to your first conversation:
- Do you regularly work with small businesses and LLCs?
- Do you have experience with Washington businesses?
- What credentials do you hold?
- Do you provide tax planning as well as tax-return preparation?
- Will you help me understand estimated taxes?
- Do you have experience with S corporation elections if that becomes relevant?
- What do you charge?
- Will you be available outside tax season if I have questions?
How someone answers matters as much as what they charge — you want a professional who works with businesses like yours regularly and will be around when you need them.
Official Resource
The IRS maintains a public directory of credentialed tax professionals. You can search it by location and credential to find preparers near you.
MyBusinessSteps.com provides general educational information and is not a government agency, accounting firm, law firm, or tax advisor. Tax situations vary. Consult a qualified tax professional regarding your individual business circumstances.