Power of Attorney and Authorizations
This topic covers power of attorney, signature authority, authority granted by taxpayer, limits on signing returns, Form 2848, durable POA alternatives, client privacy, consent to disclose, Form 8821, changing or dropping representatives, withdrawing, CAF numbers, and conference requirements.
How to study for EA Part 3
Build every answer around practitioner authority, Circular 230 duties, taxpayer authorization, deadlines, documentation, appeal rights, e-file controls, and representation limits.
Core concepts
Concept 1
Power of Attorney and Authorizations questions test whether an enrolled agent candidate can apply representation, practice, procedure, and filing-process rules to client matters before the IRS.
Exam cue: Identify the taxpayer, representative, authorization form, IRS matter, deadline, record source, and whether the issue involves practice, representation, collection, audit, appeal, refund, or e-file.
Concept 2
The best answer usually identifies the practitioner's authority, duty, deadline, documentation, disclosure rule, conflict issue, appeal right, or sanction exposure before choosing an action.
Exam cue: Check authority, consent, confidentiality, conflict rules, due diligence, record retention, documentation, legal support, penalty relief, and appeal route.
Concept 3
Eliminate answers that exceed the representative's authority, ignore Circular 230 duties, skip authorization forms, miss statutory deadlines, or treat e-file compliance as optional.
Exam cue: Tie the result to Form 2848, Form 8821, CAF, transcript use, collection or exam procedure, appeal response, amended return, e-file requirement, or practitioner discipline rule.
Risk pitfalls and guardrails
Acting for a taxpayer without verifying the scope of authorization and whether the person may practice before the IRS.
Guardrail: Use a 15-second safety pause before finalizing your action.
Treating tax return preparation duties, written advice, advertising, fees, and client records as informal business choices instead of practice rules.
Guardrail: Use a 15-second safety pause before finalizing your action.
Missing collection, audit, appeal, refund, penalty abatement, e-file, data security, and record-retention deadlines.
Guardrail: Use a 15-second safety pause before finalizing your action.
Memory anchors
Form 2848
Form 2848 authorizes an eligible representative to act for the taxpayer in specified IRS matters.
Power of Attorney
Power of attorney authority depends on the taxpayer's grant and the IRS matter listed.
Signature Authority
Signature authority is limited and must be specifically permitted by rule or authorization.
Form 8821
Form 8821 authorizes tax information disclosure but does not authorize representation.
CAF Number
A CAF number identifies representatives on IRS authorization files.
Client Privacy
Client privacy rules require authorization before disclosure of tax information.
Withdrawal
A representative may need to notify the IRS when withdrawing from representation.
Representative Change
Changing or dropping a representative requires proper revocation or replacement documentation.
Durable POA
A durable power of attorney may not by itself satisfy IRS representation requirements without proper IRS authorization.
Conference Requirement
Practice before the IRS can include conferences and communications within the authorized scope.
Checkpoint rule
Do the check-up only after you can summarize each concept in one sentence and identify one dangerous pitfall from memory.
Knowledge Check (after reading)
Short check-up to confirm understanding of this module.
Check-up Questions
A practitioner is checking the procedural rule that applies before contacting the IRS. The requirement is: Form 2848 authorizes an eligible representative to act for the taxpayer in specified IRS matters. What is the correct practice concept?
In an IRS representation matter, the file must reflect the correct practice requirement. The requirement is: Power of attorney authority depends on the taxpayer's grant and the IRS matter listed. Which rule, record, authorization, or procedure is correct?
Answer all questions to submit.
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Move forward only after this module is stable.
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