ERO vs paid preparer?

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#1
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I'm so sorry, this is an embarrassing question. What's the difference between an ERO and a paid preparer?

What are the practical differences and defining characteristics?
Know your worth, then add tax!
 

#2
sjrcpa  
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The Electronic Return Originator (ERO) is the firm that is transmitting the tax returns. The ERO has the EFIN.
The paid preparer is the person with the PTIN signing the tax return.

In a sole proprietorship both may be the same person.

At my firm, "XYZ PC" is the ERO. sjrcpa is the paid preparer.
 

#3
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That's what I thought.. but then it dawned on me... some states have separate signature blocks for EROs vs preparers. So what am I signing as?

I have an LLC where I am a principal. The LLC has an EFIN. And I sign the return. So am I signing as an ERO or as a paid preparer?

What do you sign as? The ERO or the Paid preparer?
Know your worth, then add tax!
 

#4
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I just let the software insert the printed name as signer.

I really love when clients sign in the ERO spot, instead of next to taxpayers signature, on the NY form.
 

#5
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The Office
Stevuke79 wrote:That's what I thought.. but then it dawned on me... some states have separate signature blocks for EROs vs preparers. So what am I signing as?

I have an LLC where I am a principal. The LLC has an EFIN. And I sign the return. So am I signing as an ERO or as a paid preparer?

What do you sign as? The ERO or the Paid preparer?


I don't know if it can be said more sufficiently than sjrcpa's post. You are the paid preparer. Your LLC is the ERO.
 

#6
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So which do I sign? Do I sign as paid preparer, or as ERO? I have a choice for either.
Know your worth, then add tax!
 

#7
Taxaway  
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Boston, MA
I sign the 8879 as I only can as ERO. My software prints my 'signature' on the return as paid preparer.

ReckedCPAEA wrote:I really love when clients sign in the ERO spot, instead of next to taxpayers signature, on the NY form.

During my days at HRB, there was a preparer who tried to marry all the single clients. She kept signing in the spouse's line of the 8879. :lol:
 


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