Introduction

To become a Vita Tax Preparer requires satisfactory completion of an open book test.  The purpose of the open book test is to make sure you are familiar with filling tax forms and can follow instructions; the passing grade is 70% of the multiple choice questions; if you do not pass a section, you can do a retest.  If you work for the IRS, or are a CPA, or a professional Tax Preparer, then you do not need to complete the exam.

Tax Training provided by the IRS

The IRS provides tax training during the month of January 2004.  You can download an application form to sign up for the training, or use the  online form.

In addition, Retired and Senior Volunteer Program (RSVP) has a site with online training resource site that can be used to help pass the required test.

Tax Preparation

The training and successful completion of the open book test qualifies volunteers to assist in tax preparation for certain taxpayers as a VITA volunteer.  Tax returns prepared by VITA volunteers are considered self-prepared.  VITA volunteers do not sign the tax returns as individuals; the return includes the VITA designation for statistical purposes.

The Tax Preparation training teaches the concepts of income tax law and is sufficient for preparing tax returns on paper.   The training does not qualify a volunteer to give tax advice or complete tax returns for pay;  different requirements apply for preparing tax returns for pay.

More information on the requirements to become a paid (professional) tax preparer for federal and California income tax returns is available on the website of the California Tax Education Council (CTEC).  In general, it requires completion of a certain number of hours of training each year from a recognized institution, obtaining  a Surety Bond from an Insurance Company, and registering with the CTEC.   People with certain other professional qualifications may be exempt from these requirement.

Taxwise E-File Basic and Refresher Training

E-File training is an additional 3-hour training session on using a computer program for completing the return on a computer.   The software for 2002 is Taxwise provided by Universal Tax Systems.  In this training, you will learn to complete the tax return on a computer and create an E-File of the return.  The E-File is a computer file ready for transmission by internet to the IRS and the State.   While there are no formal pre-requisites for the class,  it will be difficult and frustrating if you are not familiar with a PC or laptop and Microsoft Windows. If you have used other tax preparation software in the past, this training will be easy for you.

Taxwise Transmit Training