26 C.F.R. § 1.6060-1 Reporting requirements for income tax return preparers.
Title 26 - Internal Revenue
(a) In general. (1) Each person who employs (or engages) one or more income tax return preparers to prepare any return of tax under subtitle A of the Internal Revenue Code of 1954 or claim for refund of tax under subtitle A of the Internal Revenue Code of 1954, other than for the person, at any time during a return period shall satisfy the requirements of section 6060 of the Code by: (i) Retaining a record of the name, taxpayer identification number, and principal place of work during the return period of each income tax return preparer employed (or engaged) by the person at any time during that period; and (ii) Making that record available for inspection upon request by the district director. The record described in this paragraph (a) must be retained and kept available for inspection for the 3-year period following the close of the return period to which that record relates. (2) The person may chose any form of documentation to be used under this section as a record of the preparers employed (or engaged) during a return period. However, the record must disclose on its face which individuals were employed (or engaged) as income tax return preparers during that period. (3) For the definition of the term “income tax return preparer” (or “preparer”), see section 7701(a)(36) and §301.7701–15. For the definition of the term “return period”, see paragraph (b) of this section. (4)(i) For purposes of this section, any individual who, in acting as an income tax return preparer, is not employed by another income tax return preparer shall be treated as his (or her) own employer. Thus, a sole proprietor shall retain and make available a record with respect to himself (or herself) as provided in this section. (ii) A partnership shall, for purposes of this section, be treated as the employer of the partners of the partnership and shall retain and make available a record with respect to the partners and others employed (or engaged) by the partnership as provided in this section. (b) Return period defined. For purposes of this section, the term return period means the 12-month period beginning on July 1 of each year. (c) Penalty. For the civil penalty for failure to retain and make available a record of the preparers employed (or engaged) during a return period as required under this section, or for failure to include an item in the record required to be retained and made available under this section, see §1.6695–1(e). [T.D. 7640, 44 FR 49451, Aug. 23, 1979]
Title 26: Internal Revenue
PART 1—INCOME TAXES
information returns
§ 1.6060-1 Reporting requirements for income tax return preparers.
