New 2019 California legislation changes CTEC requirements for CRTPs January 2019 Tax News

California legislation changes

California Assembly Bill 3143 was signed into law in September with new provisions and requirements that will extend the California Tax Education Council (CTEC) program until January 1, 2023. The renamed Tax Preparation Act (California Business and Professions Code Section 22250) stipulates revisions that will impact CTEC Registered Tax Preparers (CRTPs).

CRTPs must provide CTEC’s website to clients

Effective January 1, 2019, CRTPs must provide the CTEC website, ctec.org, to clients in writing prior to rendering tax preparation services.

This is in addition to other information already required: tax preparer’s name, address, phone number and bond number.

Disciplinary actions against CRTPs made public

Beginning July 1, 2019, CTEC will post on its website:

• All disciplinary actions taken against registrants by the Council, including - but not limited to - misconduct that resulted in a suspension or revocation of a CRTP registration
• A list of registrants on probation, including the misconduct that resulted in the probation and any terms of probation

Reporting bond claims

On or after July 1, 2019, a CRTP is required to report all paid claims against their surety bond to CTEC.

CTEC is also required to post a notice of the paid surety bond claims on ctec.org.