Choosing a Tax Preparer as a Retiree (Without Getting Tricked by Titles)

Most people try to choose a tax preparer the same way they choose a dentist:

• “My friend likes them.”
• “They’ve been doing this forever.”
• “They were close by.”
• “Their website looks professional.”

The best tax preparer for you isn’t defined by a title alone — it’s defined by whether they can understand your situation, explain what matters, and keep you out of trouble.

This guide drives you to have a conversation first. I’ll show you:

• why it is important to pick the proper preparer,
• what to ask (and what good answers sound like),
• which certifications actually matter (and what they allow someone to do),
• and why, in Florida, it’s surprisingly easy for someone to stand up a “tax firm” and call themselves an “accountant.”

A credential can tell you what someone is allowed to do but a conversation tells you whether they’re the right person to trust with your facts.

Why choosing the right preparer matters (because tax issues usually become the taxpayer’s problem)

One of the most surprising parts of taxes is this:

Even if you pay a professional to prepare your return, you’re still responsible for what’s on it. The IRS generally treats the return as your filing — not your preparer’s.

So if something is wrong, the IRS usually starts with you, not the person you paid:

• additional tax due
• interest
• possible penalties
• time spent gathering documents and responding to letters

To be clear: preparers can face consequences (especially in cases of reckless positions, fraud, or failing required due diligence). But even when a preparer is “at fault,” the IRS still collects from the taxpayer first, and the taxpayer is the one stuck dealing with the process.

Why preparers usually limit their liability (and why that’s normal)

Most reputable firms use an engagement letter that spells out the rules of the relationship. It typically:

• defines the scope (what they are and aren’t doing)
• relies on information you provide (and often says they’re not auditing or verifying every document)
• clarifies that certain decisions are based on your facts and your records
• explains whether IRS notice support is included or billed separately

This isn’t automatically a red flag — it’s standard in professional services. But it has an important consequence:

If a tax issue comes up, you want a preparer who can explain positions, document decisions, and support you through the next step — because the practical burden usually lands on you first.

Two questions that protect you (especially as a retiree)

Ask these directly on the call:

1. “If I get an IRS letter, what support do you provide and what does it cost?”
   You’re looking for clarity: included vs. separate engagement, and whether they can represent you (credentials matter here).
2. “How do you handle gray areas or positions that depend on documentation?”
   A good answer sounds like: “We’ll explain the options, what documentation supports it, what the risk is, and we’ll recommend the conservative vs. aggressive route based on your goals.”

The big takeaway

You don’t need a preparer who promises “the biggest refund.” In many cases, you don’t want an overly aggressive return if you’re the one holding the bag later.

You want a preparer who can educate you, ask the right questions, document the story behind the numbers, and stand behind the work — because if something goes sideways, the IRS correspondence and cost usually begins with you.

How to search for a tax preparer that is right for you

Step 1: Decide what you actually need (filing, planning, or representation)

Before you evaluate them, clarify you.

A. Filing-only help

You want a correct return filed on time, with clean documentation and no drama. This won’t include recommendations, the focus here is fulfilling your compliance obligations.

B. Planning help (the part that usually saves the most over a lifetime)

You want someone to help you make decisions before December 31:

• Roth conversions
• RMD timing and QCD strategy
• capital gain timing
• retirement income “smoothing”
• avoiding Medicare IRMAA cliffs

If you’re a retiree, planning is usually where the real value is — not the act of typing numbers into tax software. Saving on taxes typically requires you making decisions within the year, not after the year is over.

If you're looking for planning, Blue Heron CPAs offers a wide range of tax planning.

C. “If the IRS shows up, will you be there?”

This is the one most people forget to ask.

Not every tax preparer can represent you in the same way. Credentials matter here. The IRS has a good overview of preparer types and differences. See below for which credentials can help you and which credentials will tell you to call yourself.

Step 2: Qualify them through conversation (a simple “tax-preparer interview”)

Here are questions that quickly reveal whether you’re dealing with a real pro… or someone who’s just good at confidently clicking through software.

1) “Can you explain your process from start to finish?”

You’re listening for:

• clear steps
• clear deadlines
• clear responsibilities
• how documents are collected securely
• how reviews happen (especially if there’s a team)

If the process sounds vague or chaotic now, it won’t magically become organized in March. The use of portals and technology will help significantly with communication. Our process at Blue Heron CPAs is defined here.

2) “What’s one thing you’d double-check on my return?”

This is a great test because it forces them to think like an advisor, not a form-filler. This isn’t about getting the right answer. If the preparer has a good process, a double-check is already included.

Good signs:

• they ask follow-up questions
• they talk about risk areas (credits, basis, retirement distributions, multi-state issues, etc.)
• they explain tradeoffs

Red flags:

• they promise a bigger refund without knowing your facts
• they jump straight to “write-offs” without asking anything

The IRS specifically warns taxpayers to avoid preparers who promise inflated refunds or base fees on refund size.

3) “If I get an IRS letter, what happens?”

Listen for a real plan:

• “We review the notice with you”
• “We help draft a response”
• “We explain what the IRS is asking and why”
• “We’ll talk through whether representation is needed”

If they say “You’ll have to call the IRS yourself,” that may still be fine — but you should know that upfront. Many tax preparers cannot represent you with the IRS, it is important to know if this is going to be their answer for every issue.

4) “How do you price your work?”

You want clarity on:

• what’s included vs. extra
• whether planning is included
• whether support after filing is included
• whether the price changes if additional forms appear

Not every pricing model is bad but surprise invoices are. Asking for a ballpark of the average fee for a client in your situation is not a bad approach. Demanding they tell you their fee ahead of time as you have been overcharged in the past is typically not a productive approach.

5) “Who will actually prepare and sign the return?”

This question is non-negotiable.

If someone prepares your return for pay, they should sign it as the paid preparer and include their PTIN (or the firm should). The IRS calls out “ghost preparers” who refuse to sign returns. The return should not say “self-prepared” unless the return was self-prepared.

6) “How many returns are you responsible for and how big is your team?”

This is likely the most important question in my opinion. Preparers are in crunch time in the middle of tax season and it is important to file an accurate tax return.

Who do you think is going to do a better job?

• a person with 100 returns they are responsible for,
• a person with 300 returns they are responsible for,
• a person with 700 returns they are responsible for

The more complex your tax return is, the more time it takes to prepare. An exhausted and overworked tax preparer is more likely to make mistakes, not ask the proper questions, and file an inaccurate tax return which creates problems for your future.

In this case, “experience” isn’t always better as it might mean they just didn’t know to ask the proper questions when preparing a return.

Step 3: Understand credentials (and what they actually allow someone to do)

Credentials don’t automatically make someone a good fit but they do change what they’re allowed to do, especially with IRS representation. The most important aspect is not the credential but the focus on education and continued learning the professional has. Qualifying the professional on certifications alone is not a great path towards choosing a tax preparer.

Here’s the practical breakdown:

PTIN (Preparer Tax Identification Number)

• A PTIN is required for paid federal tax return preparation.
• The IRS is very clear: having a PTIN means someone is authorized to prepare returns, but preparers have varying levels of skills and expertise.

Plain-English takeaway: PTIN is a baseline requirement, not a quality indicator. This is all that is required to set up a tax shop which is quite common.

AFSP (Annual Filing Season Program) Record of Completion

This is a voluntary IRS program for non-credentialed preparers who complete continuing education. This certification shows an intent to be better and an attempt to keep up on education.

• AFSP participants have limited representation rights (only for returns they prepared and signed, and only before certain IRS employees — not everything).
• PTIN holders without AFSP or a professional credential are generally only permitted to prepare returns.

Plain-English takeaway: AFSP can be a positive sign of continuing education, but it’s not the same education and testing requirements as being a CPA/EA/attorney.

Enrolled Agent (EA)

EAs are federally authorized tax professionals and are governed under Circular 230. This credential is issued by the IRS itself and shows the individual is completing continuing education in tax and has a strong baseline knowledge in tax.

It is important to note that this is not an easy credential to obtain as it has challenging tests that must be passed.

Plain-English takeaway: EAs are “tax-specialist” credentials and are typically contracted for tax controversy and technical tax work.

CPA (Certified Public Accountant)

CPAs are state-licensed and may practice before the IRS; CPAs who practice before the IRS are also governed by Circular 230 standards of conduct. This credential is issued by each state individually and show the individual is completing continuing education in auditing and accounting.

Not all CPAs specialize in tax and the CPA certification is not heavily focused on tax alone. If you have a business, it is important that your tax preparer understands not only tax but accounting as well. CPAs are typically a safe bet when it comes to choosing a professional to deal with but as previously mentioned, it is important to qualify the tax preparer based on their knowledge and not just a certification.

Plain-English takeaway: CPA doesn’t automatically mean “tax specialist,” but it generally signals a regulated professional with licensing oversight.

Attorney

Attorneys can also practice before the IRS and are covered under Circular 230 when representing taxpayers before the IRS. Attorneys don’t typically file a high volume of returns and often focus on avoiding litigation in controversial tax situations if they are acting as a tax preparer.

Plain-English takeaway: Attorneys are often the right fit for legal-heavy issues (entity disputes, litigation, complex IRS matters).

Step 4: Evaluate your options and risk allowance

In Florida, what’s regulated is the CPA license and CPA-related titles, not the general act of preparing tax returns. Most enforcement on CPAs is not focused on work-product but on unlicensed activity and continuing education which means you should still qualify someone’s knowledge even if they have a license to practice.

“Starting a tax firm” can be easier than you think (especially in Florida). It costs around $20 to obtain a PTIN and not much more to create an “Accounting & Tax Services” company. We see the following as the most common tax preparer available to the public in Florida.

Someone can:

• form an LLC,
• buy tax software,
• get a PTIN,
• market themselves as a “tax pro” or “accountant” (without using protected CPA titles),
• and start preparing returns.

That’s why the conversation matters so much. The barrier to entry for “tax prep” is much lower than most people assume.

Wrap-up (Summary)

Choosing a tax preparer as a retiree isn’t about finding the fanciest title. It’s about finding someone who can ask good questions, explain what matters in plain English, and help you make confident decisions year after year.

Remember:

• You’re ultimately responsible for what’s filed, even if you hire help.
• A good preparer has a clear process, communicates well, and won’t “sell” you on aggressive positions you don’t understand.
• Credentials can tell you what someone is allowed to do — but the conversation tells you whether they’re the right fit.

If you’re interviewing preparers right now, use the questions in this guide and trust the signals. The goal isn’t perfection — it’s clarity, support, and fewer surprises.

Frequently Asked Questions

Disclaimer

This article is for general informational and educational purposes only and is not tax, legal, or financial advice. The article is written from the perspective of a Florida individual where other states may have different laws. Use it to help you ask better questions about your situation. For advice tailored to you, consult a qualified tax professional.

Author

Nathan Gauger is the Managing Partner of Blue Heron CPAs and focuses on retirement tax planning—helping retirees make confident decisions around Roth conversions, RMDs, Social Security timing, and Medicare-related costs like IRMAA. His goal is simple: make sure your tax plan supports the life you want in retirement, not just the return you file this year.

Ready to talk? If you’d like help reviewing your tax situation or building a retirement-focused plan, the simplest next step is a Discovery Call. Schedule here: https://blueheroncpas.com/book-a-meeting/