California Tax Preparer Surety Bonds
The deadline to register with California Tax Education Council is October 31st. Register and purchase your tax preparer surety bond today.
What is a California tax preparer bond?
The California tax preparer surety bond is a requirement of the California Tax Education Council when you register as a tax preparer. Often called the CTEC bond, the California tax preparer bond provides financial assurance to both the public and state regulator. If a claim is filed against the bond, damages can be paid out of the bond. The public is protected, but the surety company will require repayment from you, the principal. The cost of a $5,000 tax preparer bond in California is $16 per year for a term of 5 years.
How much does a tax preparer bond cost?
The CTEC bond carries a $16 premium for a term of five years.
• 5 Year = $80
The same low rate applies to all applicants because no credit check is required.
Why do I need a CA tax preparer bond?
California law requires certain individuals involved in tax preparation to register as tax preparers with California Tax Education Council (CTEC). You must register if you charge money for preparing or helping to prepare state or federal tax returns. This includes anyone who assumes final responsibility for the completed work on a tax return and would not for other reasons be exempt to do so.
Tax preparers exempt from the registration requirement include:
• Enrolled agents (EA)
• California certified public accountants (CPA)
• Attorneys who are members of the California state bar
• Certain bank or trust officials
For more on what's required to operate as a tax preparer in CA, visit the California Tax Education Council (CTEC) website.
How to get a tax preparer bond in California
You can purchase a California tax preparer bond with us today by clicking here. No credit check is required. Your policy will be delivered immediately upon payment and receipt of your contact information, and we’ll send your official bond documents electronically.
How do I become a tax preparer?
To become a registered tax preparer in the state of California, you must complete the following steps:
1. Take a 60-hour training course approved by California Tax Education Council (CTEC).
2. Purchase a $5,000 surety bond.
3. Get a Preparer Tax Identification Number (PTIN) from the Internal Revenue Service.
4. Register online at https://ctec.org/ and pay the $33 registration fee.
CA Tax Preparer Resources
• State of California Franchise Tax Board
• State of California – CTEC Registration Requirements
• California Tax Education Council (CTEC)
• CTEC tax professionals registration page
Questions? Call NNASurety Bonds at 855-215-2160 Monday to Friday, 6 a.m. to 5 p.m. (PT)