Tax Preparers
13-2082.00
Updated 2024

Prepare tax returns for individuals or small businesses.

Sample of reported job titles: Certified Income Tax Preparer (CTP), Corporate Tax Preparer, Enrolled Agent, Income Tax Preparer, Tax Advisor, Tax Associate, Tax Consultant, Tax Preparer, Tax Professional, Tax Specialist

Occupation-Specific Information

Tasks

  • Use all appropriate adjustments, deductions, and credits to keep clients' taxes to a minimum.
  • Compute taxes owed or overpaid, using adding machines or personal computers, and complete entries on forms, following tax form instructions and tax tables.
  • Interview clients to obtain additional information on taxable income and deductible expenses and allowances.
  • Review financial records, such as income statements and documentation of expenditures to determine forms needed to prepare tax returns.
  • Prepare or assist in preparing simple to complex tax returns for individuals or small businesses.
  • Check data input or verify totals on forms prepared by others to detect errors in arithmetic, data entry, or procedures.
  • Furnish taxpayers with sufficient information and advice to ensure correct tax form completion.
  • Consult tax law handbooks or bulletins to determine procedures for preparation of atypical returns.
  • Explain federal and state tax laws to individuals and companies.
  • Answer questions and provide future tax planning to clients.
  • Calculate form preparation fees according to return complexity and processing time required.
  • Schedule appointments with clients.
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Technology Skills

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In demand
In Demand skills are frequently included in employer job postings for this occupation.

Occupational Requirements

Work Activities

  • Working with Computers — Using computers and computer systems (including hardware and software) to program, write software, set up functions, enter data, or process information.
  • Getting Information — Observing, receiving, and otherwise obtaining information from all relevant sources.
  • Updating and Using Relevant Knowledge — Keeping up-to-date technically and applying new knowledge to your job.
  • Processing Information — Compiling, coding, categorizing, calculating, tabulating, auditing, or verifying information or data.
  • Analyzing Data or Information — Identifying the underlying principles, reasons, or facts of information by breaking down information or data into separate parts.
  • Documenting/Recording Information — Entering, transcribing, recording, storing, or maintaining information in written or electronic/magnetic form.
  • Evaluating Information to Determine Compliance with Standards — Using relevant information and individual judgment to determine whether events or processes comply with laws, regulations, or standards.
  • Making Decisions and Solving Problems — Analyzing information and evaluating results to choose the best solution and solve problems.
  • Establishing and Maintaining Interpersonal Relationships — Developing constructive and cooperative working relationships with others, and maintaining them over time.
  • Performing Administrative Activities — Performing day-to-day administrative tasks such as maintaining information files and processing paperwork.
  • Interpreting the Meaning of Information for Others — Translating or explaining what information means and how it can be used.
  • Organizing, Planning, and Prioritizing Work — Developing specific goals and plans to prioritize, organize, and accomplish your work.
  • Communicating with Supervisors, Peers, or Subordinates — Providing information to supervisors, co-workers, and subordinates by telephone, in written form, e-mail, or in person.
  • Scheduling Work and Activities — Scheduling events, programs, and activities, as well as the work of others.
  • Communicating with People Outside the Organization — Communicating with people outside the organization, representing the organization to customers, the public, government, and other external sources. This information can be exchanged in person, in writing, or by telephone or e-mail.
  • Identifying Objects, Actions, and Events — Identifying information by categorizing, estimating, recognizing differences or similarities, and detecting changes in circumstances or events.
  • Performing for or Working Directly with the Public — Performing for people or dealing directly with the public. This includes serving customers in restaurants and stores, and receiving clients or guests.
  • Coaching and Developing Others — Identifying the developmental needs of others and coaching, mentoring, or otherwise helping others to improve their knowledge or skills.
  • Providing Consultation and Advice to Others — Providing guidance and expert advice to management or other groups on technical, systems-, or process-related topics.
  • Training and Teaching Others — Identifying the educational needs of others, developing formal educational or training programs or classes, and teaching or instructing others.

Detailed Work Activities

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Work Context

Experience Requirements

Job Zone

Title
Job Zone Three: Medium Preparation Needed
Education
Most occupations in this zone require training in vocational schools, related on-the-job experience, or an associate's degree.
Related Experience
Previous work-related skill, knowledge, or experience is required for these occupations. For example, an electrician must have completed three or four years of apprenticeship or several years of vocational training, and often must have passed a licensing exam, in order to perform the job.
Job Training
Employees in these occupations usually need one or two years of training involving both on-the-job experience and informal training with experienced workers. A recognized apprenticeship program may be associated with these occupations.
Job Zone Examples
These occupations usually involve using communication and organizational skills to coordinate, supervise, manage, or train others to accomplish goals. Examples include hydroelectric production managers, desktop publishers, electricians, agricultural technicians, barbers, court reporters and simultaneous captioners, and medical assistants.
SVP Range
(6.0 to < 7.0)

Training & Credentials

State training
Local training
Certifications
Find certifications nationwide
State licenses

Apprenticeship Opportunities

Example apprenticeship titles for this occupation:

  • Enrolled Agent Tax Consultant

Specific title(s) listed above are vetted by industry and approved by the U.S. Department of Labor for use in a Registered Apprenticeship Program.

Start your career and build your skillset. Visit Apprenticeship.gov to learn about opportunities related to this occupation.

Worker Requirements

Skills

  • Reading Comprehension — Understanding written sentences and paragraphs in work-related documents.
  • Active Listening — Giving full attention to what other people are saying, taking time to understand the points being made, asking questions as appropriate, and not interrupting at inappropriate times.
  • Critical Thinking — Using logic and reasoning to identify the strengths and weaknesses of alternative solutions, conclusions, or approaches to problems.
  • Speaking — Talking to others to convey information effectively.
  • Active Learning — Understanding the implications of new information for both current and future problem-solving and decision-making.
  • Mathematics — Using mathematics to solve problems.
  • Monitoring — Monitoring/Assessing performance of yourself, other individuals, or organizations to make improvements or take corrective action.
  • Complex Problem Solving — Identifying complex problems and reviewing related information to develop and evaluate options and implement solutions.
  • Judgment and Decision Making — Considering the relative costs and benefits of potential actions to choose the most appropriate one.
  • Service Orientation — Actively looking for ways to help people.
  • Social Perceptiveness — Being aware of others' reactions and understanding why they react as they do.
  • Writing — Communicating effectively in writing as appropriate for the needs of the audience.

Knowledge

  • Customer and Personal Service — Knowledge of principles and processes for providing customer and personal services. This includes customer needs assessment, meeting quality standards for services, and evaluation of customer satisfaction.
  • Economics and Accounting — Knowledge of economic and accounting principles and practices, the financial markets, banking, and the analysis and reporting of financial data.
  • English Language — Knowledge of the structure and content of the English language including the meaning and spelling of words, rules of composition, and grammar.
  • Computers and Electronics — Knowledge of circuit boards, processors, chips, electronic equipment, and computer hardware and software, including applications and programming.
  • Law and Government — Knowledge of laws, legal codes, court procedures, precedents, government regulations, executive orders, agency rules, and the democratic political process.
  • Mathematics — Knowledge of arithmetic, algebra, geometry, calculus, statistics, and their applications.
  • Administrative — Knowledge of administrative and office procedures and systems such as word processing, managing files and records, stenography and transcription, designing forms, and workplace terminology.

Education

How much education does a new hire need to perform a job in this occupation? Respondents said:

  • 32%
     
    High school diploma or equivalent required
  • 32%
     
    Bachelor’s degree required
  • 18%
     
    Some college, no degree required

Worker Characteristics

Abilities

  • Near Vision — The ability to see details at close range (within a few feet of the observer).
  • Oral Comprehension — The ability to listen to and understand information and ideas presented through spoken words and sentences.
  • Written Comprehension — The ability to read and understand information and ideas presented in writing.
  • Deductive Reasoning — The ability to apply general rules to specific problems to produce answers that make sense.
  • Oral Expression — The ability to communicate information and ideas in speaking so others will understand.
  • Inductive Reasoning — The ability to combine pieces of information to form general rules or conclusions (includes finding a relationship among seemingly unrelated events).
  • Information Ordering — The ability to arrange things or actions in a certain order or pattern according to a specific rule or set of rules (e.g., patterns of numbers, letters, words, pictures, mathematical operations).
  • Mathematical Reasoning — The ability to choose the right mathematical methods or formulas to solve a problem.
  • Number Facility — The ability to add, subtract, multiply, or divide quickly and correctly.
  • Speech Clarity — The ability to speak clearly so others can understand you.
  • Category Flexibility — The ability to generate or use different sets of rules for combining or grouping things in different ways.
  • Problem Sensitivity — The ability to tell when something is wrong or is likely to go wrong. It does not involve solving the problem, only recognizing that there is a problem.
  • Speech Recognition — The ability to identify and understand the speech of another person.
  • Written Expression — The ability to communicate information and ideas in writing so others will understand.

Interests

Interest code: CE
Want to discover your interests? Take the O*NET Interest Profiler at My Next Move.
  • Conventional — Work involves following procedures and regulations to organize information or data, typically in a business setting. Conventional occupations are often associated with office work, accounting, mathematics/statistics, information technology, finance, or human resources.
  • Enterprising — Work involves managing, negotiating, marketing, or selling, typically in a business setting, or leading or advising people in political and legal situations. Enterprising occupations are often associated with business initiatives, sales, marketing/advertising, finance, management/administration, professional advising, public speaking, politics, or law.

Work Values

  • Relationships — Occupations that satisfy this work value allow employees to provide service to others and work with co-workers in a friendly non-competitive environment. Corresponding needs are Co-workers, Moral Values and Social Service.
  • Independence — Occupations that satisfy this work value allow employees to work on their own and make decisions. Corresponding needs are Creativity, Responsibility and Autonomy.
  • Support — Occupations that satisfy this work value offer supportive management that stands behind employees. Corresponding needs are Company Policies, Supervision: Human Relations and Supervision: Technical.

Work Styles

  • Attention to Detail — Job requires being careful about detail and thorough in completing work tasks.
  • Integrity — Job requires being honest and ethical.
  • Dependability — Job requires being reliable, responsible, and dependable, and fulfilling obligations.
  • Self-Control — Job requires maintaining composure, keeping emotions in check, controlling anger, and avoiding aggressive behavior, even in very difficult situations.
  • Cooperation — Job requires being pleasant with others on the job and displaying a good-natured, cooperative attitude.
  • Stress Tolerance — Job requires accepting criticism and dealing calmly and effectively with high-stress situations.
  • Analytical Thinking — Job requires analyzing information and using logic to address work-related issues and problems.
  • Achievement/Effort — Job requires establishing and maintaining personally challenging achievement goals and exerting effort toward mastering tasks.
  • Adaptability/Flexibility — Job requires being open to change (positive or negative) and to considerable variety in the workplace.
  • Persistence — Job requires persistence in the face of obstacles.
  • Initiative — Job requires a willingness to take on responsibilities and challenges.
  • Concern for Others — Job requires being sensitive to others' needs and feelings and being understanding and helpful on the job.
  • Independence — Job requires developing one's own ways of doing things, guiding oneself with little or no supervision, and depending on oneself to get things done.
  • Social Orientation — Job requires preferring to work with others rather than alone, and being personally connected with others on the job.

Workforce Characteristics

Wages & Employment Trends

Median wages (2023)
$23.56 hourly, $49,010 annual
State wages
Local wages
Employment (2023)
103,800 employees
Projected growth (2023-2033)
Average (3% to 5%)
Projected job openings (2023-2033)
12,200
State trends
Top industries (2023)

Source: Bureau of Labor Statistics 2023 wage data and 2023-2033 employment projections . “Projected growth” represents the estimated change in total employment over the projections period (2023-2033). “Projected job openings” represent openings due to growth and replacement.

Job Openings on the Web

State job openings
Local job openings

More Information

Professional Associations

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National Associations
Accreditation, Certification, & Unions