How to Hire Seasonal Tax Preparers: A Practice Owner's Hiring Guide

Hiring seasonal tax preparers is one of the highest-leverage decisions a small practice makes each year. Get it right and you increase capacity, serve more clients, and run a tighter season. Get it wrong and you spend January and February managing unqualified staff, fixing return errors, or scrambling to cover positions that should have been filled months earlier.

This guide covers the complete seasonal hiring workflow for small tax practices and office managers: when to start, where to find candidates, what credentials and background to screen for, how to verify a PTIN, the worker classification question you cannot skip, what onboarding must include, and how to structure software access and e-file credentials for new staff. Because hiring involves employment law, worker classification, and IRS regulatory requirements, verify specifics with a qualified employment attorney and at IRS.gov for your situation.

When to Start Hiring Seasonal Tax Preparers

The right recruiting window is October through November. Practices that wait until December face a narrower candidate pool, compressed onboarding timelines, and the real possibility that new hires are not software-ready on January 2nd.

The target sequence for a January-ready preparer:

Where to Find Seasonal Tax Preparers

The best seasonal preparers come from multiple sources, and mixing them gives you both reach and quality. Here is where to look:

Job boards

Indeed, LinkedIn, and ZipRecruiter all produce results for seasonal tax preparer searches. Use keywords like "tax preparer," "PTIN," "AFSP," and your software name (TaxWise, for example) to filter for candidates with the credentials and experience you need. Be specific about the credential minimum in the job description: stating "active PTIN required" eliminates unqualified applicants before they apply.

IRS public directory of tax return preparers

The IRS maintains a public directory at IRS.gov that lists preparers who hold active PTINs and, where applicable, credentials such as AFSP record of completion, EA, CPA, or attorney. You can search the directory by name and ZIP code. Browsing the directory for preparers in your area is a direct sourcing method that most practices underuse.

Local CPA society and professional associations

State CPA societies and local chapters of the National Association of Tax Professionals (NATP) and the National Society of Accountants (NSA) maintain job boards and referral networks that reach credentialed, working preparers. These candidates tend to be higher quality than general job board applicants because the network self-filters for professionals engaged in the field.

AFSP program graduates

Non-credentialed preparers who have completed the IRS Annual Filing Season Program (AFSP) have passed a competency test, completed structured continuing education, and consented to Circular 230 requirements. That is a meaningful screen. See the AFSP Guide for detail on what the program requires and the representation rights it carries.

Referrals from prior-season preparers

If you had solid seasonal staff in prior years, ask them directly whether they plan to return and whether they know other preparers looking for placements. Warm referrals from trusted preparers surface candidates who already understand the seasonal workflow and are more likely to be reliable hires.

What to Screen For When You Hire a Tax Preparer

A resume is not a substitute for a verified credential check. Here is what to confirm before making any offer:

Active PTIN status

Any paid preparer who prepares or substantially assists in preparing federal tax returns must have a valid, current-year PTIN. Verify it in the IRS public directory before hiring. Do not accept a PTIN number on a resume as confirmation of status: look it up yourself. A preparer with a lapsed or inactive PTIN cannot legally prepare returns for compensation until the PTIN is renewed.

Credentials: AFSP, EA, CPA, or attorney

Credential level drives both the scope of work you can assign and the supervision structure your office needs:

• Enrolled Agent (EA): Federally credentialed by the IRS, unlimited representation rights before the IRS, strong tax law training. The most capable credential for seasonal preparers, and the clearest signal of technical competence.
• CPA: State-licensed, broad accounting training with tax expertise depending on specialization. Verify active licensure through your state board.
• AFSP record of completion: Non-credentialed preparers who completed the IRS Annual Filing Season Program. They hold limited IRS representation rights on returns they prepare and signed. Confirm their current-year record of completion in the IRS directory.
• Non-credentialed preparers with active PTIN: Can prepare returns but have no IRS representation rights without AFSP, and require closer supervision. See the supervision section below.

Prior-year return counts and complexity

Ask candidates how many returns they prepared in each of the past two to three seasons, and what types: W-2 only, Schedule C, Schedule E, partnership, S-corp. Volume tells you whether they can handle a production environment. Complexity tells you which return types you can assign them on day one versus which require supervision or ramp-up.

Software experience

A preparer already familiar with your software hits productive capacity significantly faster than one learning a new platform mid-season. Ask specifically which software they have used and in what capacity. For TaxWise users: note that TaxWise experience translates directly, while preparers coming from Drake, ProSeries, or Lacerte will need onboarding time to learn the workflow. Budget that training time into your December plan.

How to Verify a PTIN Before You Hire

The IRS PTIN directory is publicly searchable, and the verification takes less than two minutes. There is no reason to hire a preparer whose PTIN status you have not confirmed yourself.

Employee vs. Independent Contractor: The Classification You Cannot Skip

Worker classification is one of the most consequential decisions in seasonal hiring, and it is also one of the most frequently mishandled. Classifying a worker who is legally an employee as an independent contractor creates exposure for unpaid payroll taxes, penalties, and interest, and can trigger IRS or Department of Labor audit activity.

Classification is not a paperwork choice: it is determined by the actual working relationship, regardless of what the contract says.

The IRS 20-factor test (behavioral, financial, and type-of-relationship)

The IRS uses a common-law control test, sometimes described as 20 factors grouped into three categories:

• Behavioral control: Does the business control how the worker does the job? (training methods, required hours, tools and equipment provided, sequence of work)
• Financial control: Does the business control the economic aspects of the worker's job? (investment in tools, opportunity for profit or loss, services available to multiple clients, method of payment)
• Type of relationship: Written contracts, employee benefits (insurance, pension, vacation pay), permanency of the relationship, whether the work is a key aspect of the regular business

In a typical seasonal tax office: if you control the hours, set the workflow, require use of your software on your equipment, and the preparer works only for you during the season, the relationship has strong employee indicators. If the preparer sets their own hours, works from their own location, uses their own software, and serves multiple offices simultaneously, the relationship has stronger contractor indicators.

Seasonal Preparer Onboarding Checklist

A complete onboarding for a seasonal preparer covers regulatory compliance, software access, and data security. Work through every item before the preparer prepares their first return.

Regulatory and compliance items

• Confirm active PTIN in the IRS directory (current year)
• Verify credential level (AFSP, EA, CPA, non-credentialed) and update your supervision plan accordingly
• Obtain and file signed worker agreement (employee or contractor, per legal counsel's guidance)
• Complete and file IRS Form W-4 (employees) or obtain Form W-9 (independent contractors)
• Review and sign EITC due diligence requirements and your office's due diligence procedures (see the EITC Due Diligence and Form 8867 Guide)
• Review and sign Section 7216 data handling acknowledgment (governs staff access to client tax information; see the IRC Section 7216 Guide)
• Review your Written Information Security Plan (WISP) and confirm the preparer understands data handling protocols
• Confirm state registration requirements have been met (some states require separate registration for paid preparers)

Software and e-file access

• Provision a software license seat for the new preparer (see the section below on TaxWise multi-user setup)
• Add the preparer's PTIN to your EFIN account setup in the software
• Confirm e-file authorization: preparers submitting returns must be tied to a valid EFIN (yours, if they are filing under your EFIN). Review the EFIN Setup Guide for the authorization structure
• Set user permissions in the software consistent with the preparer's credential level and supervision plan
• Complete a practice-return walkthrough in the software before live filing opens

Training items

• Software workflow training: how your office processes returns from intake to transmission
• EITC due diligence training: Form 8867 completion, knowledge requirements, the four-part due diligence test (see the EITC Due Diligence Guide)
• Client data security protocols per your WISP
• Review and quality-control process: who reviews, who signs, and what triggers escalation

Supervision Requirements for Non-Credentialed Preparers

Non-credentialed preparers (those without an EA, CPA, or attorney credential) can legally prepare returns under your EFIN, but the supervision structure your office provides is both a regulatory requirement and a quality-control necessity.

At the federal level, any paid preparer must have a valid PTIN and is subject to Circular 230 conduct standards regardless of credential level. Non-credentialed preparers who have not completed AFSP have no IRS representation rights: if a client's return is audited, the preparer who prepared it cannot accompany the client to an IRS examination unless they hold AFSP (limited) or an EA, CPA, or attorney credential (full).

For your practice:

• Assign a credentialed reviewing preparer to sign off on all or a defined subset of returns prepared by non-credentialed staff, depending on return complexity
• Document your review process: who reviewed, when, and what was checked
• Set complexity thresholds: for example, non-credentialed preparers handle W-2 and simple Schedule C returns; Schedule E, partnerships, and S-corps escalate to a credentialed reviewer
• Check your state's requirements: several states impose separate supervision or signing requirements for non-credentialed preparers, and those requirements vary significantly. Consult your state's tax preparer licensing rules or a local tax attorney

Compensation Approaches for Seasonal Tax Preparers

Seasonal preparer compensation typically takes one of three forms. Each has practical tradeoffs for capacity planning, cost management, and worker classification analysis.

Hourly

Hourly compensation is straightforward and common for employee-classified preparers. It works well when you need predictable staffing coverage and have consistent return volume. It provides less incentive for throughput than per-return arrangements. As an illustrative range only (examples only; verify with local market data and an employment professional): non-credentialed preparers in some markets have been hired at hourly rates from roughly $15 to $25; credentialed preparers (EA or CPA) may command higher rates. These are examples only. Actual rates depend on your market, the preparer's experience, and your specific situation.

Per-return

Per-return compensation ties cost directly to output and creates a natural throughput incentive. It is common for independent contractor arrangements, but as noted above, the compensation structure alone does not determine classification. Be careful that a per-return arrangement does not mask a working relationship that the IRS would classify as employment. As an illustrative range only (examples only; verify with local market data and an employment professional): some practices have structured per-return fees based on return complexity tiers. Rates and structures vary widely.

Salary (seasonal)

A fixed seasonal salary over the January through April period provides budget certainty and signals a stable employment relationship. This structure tends to attract more experienced preparers who want predictability. It requires the most careful capacity planning: you are paying for availability regardless of return volume.

Setting Up Software Licenses and E-File Credentials for New Staff

Adding a seasonal preparer to your practice requires two parallel tracks: provisioning their software access and ensuring their filing activity is properly tied to your EFIN for e-file authorization. Both need to be complete before they prepare their first return.

The e-file mandate baseline

Under Rev. Proc. 2011-25, any paid tax return preparer who reasonably expects to file 11 or more returns during the calendar year is required to e-file those returns. This applies to the individual preparer. A new seasonal hire who reaches the 11-return threshold during your season is subject to the mandate, counting returns across all employers they work for that year. Verify your preparers are set up and authorized for e-file from day one.

TaxWise multi-user setup for seasonal staff

TaxWise supports multi-user environments and allows you to add preparers as authorized users under your account. For each new seasonal preparer:

• Provision a software user account with login credentials specific to that preparer
• Enter their PTIN in the preparer setup so it populates automatically on returns they prepare
• Assign user permissions appropriate to their credential level and your supervision plan (read-only, prepare, review, transmit)
• Confirm EFIN linkage: returns filed under your EFIN must be associated with the EFIN account. Verify this connection is active before the preparer transmits their first return

If you are not yet set up for multi-user TaxWise, or if you need to add user seats for the filing season, contact America's Tax Professionals directly. Adding seasonal preparers to an existing TaxWise setup is a core part of how ATP supports practices through the hiring season.

EFIN authorization and ERO responsibilities

As the Electronic Return Originator (ERO) holding the EFIN, you are responsible for all returns transmitted under your EFIN, including those prepared by seasonal staff. This is not a technicality: IRS enforcement actions for e-file fraud or due diligence violations can follow the EFIN holder. The supervision structure you put in place directly protects your EFIN. See the ERO Registration Guide for the full scope of ERO obligations.

Section 7216 Data Handling Requirements for Staff Access

When a seasonal preparer accesses client tax return information, they become subject to the confidentiality and disclosure requirements of IRC Section 7216. This is not optional, and it is not confined to the principal preparer: any employee, contractor, or agent of the tax preparation business who accesses return information is covered.

Section 7216 prohibits unauthorized disclosure or use of taxpayer return information. Violations can carry criminal penalties. For your onboarding process:

• Every new seasonal preparer must review your Section 7216 policies before accessing any client data in your software
• Obtain a signed acknowledgment that they have read and understood the data handling requirements
• Limit access in your software to only the client files and return data each preparer requires to do their assigned work
• Include Section 7216 compliance as a standing item in your Written Information Security Plan (WISP)

For the full framework on Section 7216 obligations, disclosure consent requirements, and the specific categories of permitted and prohibited disclosures, see the IRC Section 7216 Guide.

PTIN Fee: What New Preparers Will Pay

If a candidate you want to hire does not yet have a PTIN, they will need to register before they can legally prepare returns for compensation. As of 2026, the PTIN registration fee is $18.75 total: $10.00 payable to the IRS and $8.75 payable to the IRS's third-party contractor. Both charges are part of the registration process at the IRS PTIN system. Verify the current fee at IRS.gov before advising any candidate, as fees can change.

Annual renewal carries the same fee structure. The full PTIN registration and renewal walkthrough is at the PTIN Guide.

Frequently Asked Questions