Of the many requisites a candidate has to meet to qualify for the Registered Tax Return Preparer (RTRP) designation, none is more challenging than passing the IRS competency examination. In this article, I present to you five steps you should focus on to pass the competency exam required to become a Registered Tax Return Preparer.  

Step One: Get a Preparer Tax Identification Number (PTIN)

Beginning January 1, 2011, IRS regulations require a Preparer Tax Identification Number (PTIN) be obtained by all tax return preparers who are compensated for preparing, or assisting in the preparation of all, or substantially all, of a tax return or a claim for a tax refund.... (continue)   

Step Two: Review the Candidate Information

The IRS publishes a "Candidate Information Bulletin" to answer most of the questions you may have regarding the RTRP certification process, from the decision to take the competency exam to receiving the RTRP designation. The bulletin contains information regarding scheduling the RTRP exam, contents of the exam, taking the exam, and more.....(continue) 

Step Three: Schedule your Exam and Pay the Exam Fees

The RTRP competency exam is administered using computers at Prometric test centers across the country. To schedule your exam, visit Prometric's online scheduling system through your PTIN account at the IRS website (www.irs.gov/ptin ). The scheduling system will guide you through the test scheduling process by asking you to provide specific information. Part of the process includes paying a $116 exam fee, which you can pay by credit card.....(continue) 

Step Four: Prepare for the Exam

To prepare for the IRS competency exam, begin by informing yourself as much as possible about the process. The IRS provides several great sources of information that will help you visualize the whole picture of what is involved in preparing for the RTRP competency exam mentioned above under the candidate information bulletin heading.

To answer questions regarding the content of material you will be tested on....(continue) 

Step Five: Take the Exam

The Candidate Information Bulletin has useful input regarding the test center procedures and regulations for the exam day. Also, watch the video "What to expect on the test day" to familiarize with the environment, take off stress from the process, and prepare yourself for success. Maybe the most important tips for the exam day would be these:......(continue)