Representation before the IRS — Enrolled Agent — SEE Part 3 (Representation, Practices and Procedures) Practice Test

This Enrolled Agent — SEE Part 3 (Representation, Practices and Procedures) Representation before the IRS practice set has 159 practice questions based on the official exam materials, each with an instant explanation.

Sample questions

Three questions from the Representation before the IRS bank with the correct answer and an explanation. The practice quiz above draws 30 questions at random from the same bank.

1. A taxpayer wants to appoint an enrolled agent who can both receive the taxpayer's confidential return information AND advocate for the taxpayer and act on the taxpayer's behalf before the IRS. Which form accomplishes this?

   • Form 2848, Power of Attorney and Declaration of Representative — Correct answer
   • Form 8821, Tax Information Authorization
   • Form 56, Notice Concerning Fiduciary Relationship
   • The third-party designee checkbox on the taxpayer's return

   Explanation: Form 2848 (Power of Attorney and Declaration of Representative) both authorizes the IRS to disclose confidential return information to the named individual AND appoints that individual as the taxpayer's representative to advocate and act before the IRS. Form 8821 grants information access only and confers NO representation authority; Form 56 reports a fiduciary relationship; the third-party designee checkbox grants only limited, return-specific discussion rights. See the Form 2848 and Form 8821 instructions.

   Handbook: Representation — Power of Attorney vs. Tax Information Authorization (Form 2848 / Form 8821)

2. Filing a properly completed Form 8821, Tax Information Authorization, permits the named appointee to ______.

   • inspect and receive the taxpayer's confidential tax information, but NOT to represent the taxpayer before the IRS — Correct answer
   • represent the taxpayer at an examination and argue positions on the taxpayer's behalf
   • sign a consent extending the assessment statute of limitations
   • sign and file the taxpayer's income tax return

   Explanation: Per the Form 8821 instructions, Form 8821 authorizes the appointee only to inspect and/or receive confidential tax information for the types of tax and periods listed. It does NOT authorize the appointee to represent the taxpayer, advocate a position, execute agreements or consents, or sign the return. Those acts require a Form 2848 power of attorney. 8821 = information only; 2848 = information plus representation.

   Handbook: Representation — Tax Information Authorization (Form 8821)

3. Each of the following individuals may be named as a representative in Part II (Declaration of Representative) of Form 2848 EXCEPT:

   • A commercial tax-preparation firm named as an entity rather than a specific individual — Correct answer
   • An attorney who is a member in good standing of a state bar
   • A certified public accountant duly qualified to practice
   • An enrolled agent in active status

   Explanation: The Declaration of Representative (Form 2848, Part II) must be signed by an eligible INDIVIDUAL who identifies the authority under which he or she may practice (e.g., attorney 'a', CPA 'b', enrolled agent 'c'). A business entity or firm cannot be named as the representative — only a natural person eligible to practice before the IRS may be appointed. Attorneys, CPAs, and enrolled agents are all eligible individuals; a firm is not.

   Handbook: Representation — Declaration of Representative (Form 2848, Part II)