EA study topics, organized by the decision
Find EA study notes by exam part and tax decision. Start with a topic guide for the big picture, then use a focused lesson to work through basis, credits, entity distributions or another specific rule.
Part 1
Individuals
Household facts, income, deductions and individual tax.
Start with income and assetsPart 3
Representation
Practitioner duties, IRS procedures and filing.
Start with the Part 3 study guidePDFs are sent by email. Account signup is a separate option.
For the July 2026-February 2027 SEE window: tax law through December 31, 2025; questions generally use calendar year 2025.
Find the rule you need
45 topics found
- Part 1 · Topic guide
Preliminary Work with Taxpayer Data
Start an individual return by confirming identity, household changes and income records. Reconcile the current documents to the prior return before choosing filing status or carrying forward a deduction.
Read topic → - Part 1 · Topic guide
Income and Assets
For EA income-and-assets questions, first decide whether a receipt is taxable, excluded or a return of capital. Then track asset basis separately: cash received, taxable income and taxable gain are different amounts.
Read topic → - Part 1 · Topic guide
Deductions and Credits
Deductions reduce an income measure; credits reduce tax. On an individual return, distinguish adjustments to income, the standard or itemized deduction, other permitted deductions, and refundable versus nonrefundable credits.
Read topic → - Part 1 · Topic guide
Taxation
Compute individual tax in order: establish taxable income, calculate the applicable income tax, apply credits, include other taxes, then compare total tax with payments. A balance due is not the same number as total tax.
Read topic → - Part 1 · Topic guide
Advising the Individual Taxpayer
Individual tax advice starts with what changed: employment, family, investments or residence. Connect that change to withholding, records, elections and filing obligations, then explain the assumptions behind the recommendation.
Read topic → - Part 1 · Topic guide
Specialized Returns for Individuals
A specialized individual return begins with the taxpayer’s status and the reporting period. A deceased taxpayer, nonresident, dual-status individual or U.S. citizen abroad may require different forms or additional schedules.
Read topic → - Part 1 · Worked lesson
Filing Status and Dependent Tests
Test filing status and dependency separately. A qualifying child and a qualifying relative have different requirements, and claiming a dependent does not automatically qualify someone for head-of-household status.
Read topic → - Part 1 · Worked lesson
Basis of Property Received by Individuals
Purchased property generally starts with cost basis. Gifted property may use the donor’s basis for gain and a lower gift-date value for loss. Inherited property generally starts with date-of-death fair market value, subject to exceptions.
Read topic → - Part 1 · Worked lesson
Capital Gains Holding Period Traps
A capital asset held more than one year generally has a long-term holding period. Count from the day after acquisition through the disposition date, then apply special rules for inherited assets, gifts and wash sales.
Read topic → - Part 1 · Worked lesson
Credit Phase-Out Interactions
Calculate each credit’s phase-out using that credit’s own modified AGI, filing-status range and worksheet. Do not reuse an education-credit threshold for a child credit or assume all credits use the same income definition.
Read topic → - Part 1 · Worked lesson
Self-Employment Tax and Adjustments
Self-employment tax generally starts with 92.35% of net self-employment profit, not gross receipts. Apply the Social Security wage-base and Medicare rules, then calculate the deductible part separately from the tax itself.
Read topic → - Part 1 · Worked lesson
Casualty, Theft and Disaster Losses
For 2025 personal casualty losses, first check whether the loss is eligible under the disaster rules. Then measure the loss, subtract reimbursement and apply the correct limits. Special qualified disaster losses do not use every ordinary limitation.
Read topic → - Part 1 · Worked lesson
Alternative Minimum Tax Awareness
Individual AMT is a parallel tax calculation. Recompute income with AMT adjustments and preferences, apply the AMT exemption and rates, then compare tentative minimum tax with the Form 6251 regular-tax measure.
Read topic → - Part 1 · Worked lesson
Estimated Tax and Underpayment Penalties
A tax balance due does not automatically mean an estimated-tax penalty. For the general individual safe harbor, compare 90% of current-year tax with 100% of prior-year tax, or 110% for certain higher-income taxpayers, and check installment timing.
Read topic → - Part 1 · Worked lesson
Nonresident and Expatriate Individual Returns
Determine U.S. tax residency before choosing the return or income base. A U.S. citizen living abroad is different from a nonresident alien, and working overseas is different from formally relinquishing citizenship or long-term residency.
Read topic → - Part 2 · Topic guide
Business Entities and Considerations
Identify the federal tax classification before choosing a return or applying an owner-level rule. A sole proprietorship, partnership, S corporation and C corporation do not share one income, basis or distribution system.
Read topic → - Part 2 · Topic guide
Business Tax Preparation
Business tax preparation converts business activity into taxable income using the correct entity and accounting method. Classify each cost as currently deductible, capitalized, limited or nondeductible before computing the return.
Read topic → - Part 2 · Topic guide
Specialized Returns and Taxpayers
Specialized Part 2 cases require you to identify the taxpayer and the activity before selecting a form. A farm, rental activity, exempt organization and estate can have income obligations that do not fit a standard corporate-return template.
Read topic → - Part 2 · Worked lesson
Entity Classification Elections
For a domestic eligible entity, owner count determines the default classification: one owner is generally disregarded, while two or more generally means partnership. A corporate classification election and an S corporation election address different questions.
Read topic → - Part 2 · Worked lesson
Partnership Basis and Distribution Traps
Partnership outside basis tracks the partner’s investment for tax purposes. Contributions, allocated income and certain liability increases can raise it; distributions and liability decreases can reduce it. A capital account is not a substitute for outside basis.
Read topic → - Part 2 · Worked lesson
S Corporation Basis and AAA Mechanics
S corporation stock basis, shareholder debt basis and the accumulated adjustments account (AAA) are different records. Stock basis supports tax-free nondividend distributions; qualifying debt basis may support losses. AAA is maintained by the corporation and is not a shareholder’s basis.
Read topic → - Part 2 · Worked lesson
C Corporation Distribution Characterization
A nonliquidating C corporation distribution generally moves through three layers: dividend to the extent of current or accumulated earnings and profits, return of stock basis, then gain. Earnings and profits are not the same as book retained earnings.
Read topic → - Part 2 · Worked lesson
Accounting Methods and Inventories for Businesses
The accounting method determines when income and expenses enter a business return. Cash and accrual methods use different timing rules, and inventory costs generally need a separate cost-of-goods-sold analysis rather than a simple cash-outflow deduction.
Read topic → - Part 2 · Worked lesson
Business Credits and Payroll Tax Items
Business credits and payroll taxes use different systems. A general business credit can reduce income tax subject to limits, while employment taxes require correct worker treatment, withholding, employer contributions, deposits and returns.
Read topic → - Part 2 · Worked lesson
Farm and Rental Activity Returns
Distinguish operating a farm, renting farmland and renting residential property. Participation, services, lease terms and personal use can change the reporting form, self-employment treatment and loss limitations.
Read topic → - Part 2 · Worked lesson
Exempt Organization Basics for SEE
Tax-exempt status does not eliminate every tax or filing requirement. Separate the organization’s exempt purpose, annual information-return duties and any unrelated business income before choosing the treatment.
Read topic → - Part 2 · Worked lesson
Trust and Estate Income Taxation
For a nongrantor trust or estate, separate income retained by the entity from income carried to beneficiaries. Distributable net income (DNI) helps limit the distribution deduction and beneficiary inclusion; a cash distribution is not automatically all taxable income.
Read topic → - Part 2 · Worked lesson
Depreciation on Business Property
Depreciation begins when eligible property is placed in service, not simply when it is purchased. Establish business basis, then apply any section 179 deduction, special depreciation allowance and regular MACRS to the remaining basis in order.
Read topic → - Part 2 · Worked lesson
Related Party Business Transactions
Related-party rules can disallow a loss or postpone a deduction even when the transaction is real. Test the relationship under the applicable provision, then separate loss recognition, payment timing and the later buyer’s sale.
Read topic → - Part 2 · Worked lesson
Business Tax Preparation Workflow
Prepare a business return in a controlled sequence: confirm entity and period, reconcile the books, make tax adjustments, prepare owner schedules and review filing obligations. Starting with form entry can hide missing basis or election records.
Read topic → - Part 3 · Topic article
Practices and Procedures
Practices and Procedures is a Part 3 domain with 26 of the 85 scored questions. It covers who may practice, practitioner duties, ethical standards, enrollment responsibilities and penalties. Learn the rule families and then work the narrower scenarios; 26 is a domain allocation, not an individual lesson’s weight.
Read topic → - Part 3 · Topic article
Representation before the IRS
Representation before the IRS is a 25-scored-question Part 3 domain. Prepare the case by checking authority and conflicts, identifying the tax issues and periods, assembling evidence and legal support, and tracking procedural deadlines. The EA qualification establishes eligibility; the engagement still needs appropriate taxpayer authorization and competence.
Read topic → - Part 3 · Topic article
Specific Areas of Representation
The Specific Areas of Representation domain has 20 scored questions. Start by identifying the case type: an examination disputes return accuracy, collection addresses an assessed balance, appeals review eligible disputes, and payroll trust fund cases can expose responsible persons to personal liability. Each route requires its own facts, notices and deadlines.
Read topic → - Part 3 · Topic article
Filing Process
The filing process is a sequence: prepare and review the return, obtain the required signature authorization, submit it, check the IRS acknowledgment and retain the necessary records. Submission, acceptance, processing and refund issuance are different events. The Part 3 outline assigns 14 scored questions to the entire filing-process domain.
Read topic → - Part 3 · Topic article
Circular 230 Duties and Sanctions
Circular 230 governs practice before the IRS. For Part 3, identify the practitioner’s duty first: advise a client about known errors, exercise diligence, respond to proper IRS requests and work competently. Censure, suspension, disbarment and monetary penalties are distinct possible sanctions, subject to the applicable standards and procedures.
Read topic → - Part 3 · Topic article
Power of Attorney and Representation Mechanics
Form 2848 authorizes an eligible individual to represent a taxpayer for specified tax matters and periods. Form 8821 permits inspection or receipt of tax information but does not grant advocacy authority. Neither a CAF number nor being the return preparer replaces the required authority, and a power of attorney does not automatically permit signing every tax return.
Read topic → - Part 3 · Topic article
Collection Alternatives and Appeals
Separate ability to pay from the right to challenge a collection action. An installment agreement spreads payments; an offer in compromise can settle an eligible liability for less; currently not collectible status can delay collection without erasing the debt. CDP and CAP are appeal procedures, not payment plans.
Read topic → - Part 3 · Topic article
Practitioner Penalties and Due Diligence
General diligence under Circular 230 is broader than the special paid-preparer due-diligence rules. For covered credits and head-of-household status, completing Form 8867 is only one requirement: the preparer must also compute the benefit, meet the knowledge requirement and retain the required records. A correct tax result alone does not prove the process was compliant.
Read topic → - Part 3 · Topic article
E-file Rules and Refund Product Constraints
An electronic return originator must obtain the required taxpayer authorization, transmit the return properly and monitor the IRS acknowledgment. A refund-related financial product is separate from the tax refund. Circular 230 bars a practitioner from endorsing or negotiating a client’s government refund check, including directing an electronic refund into the practitioner’s account.
Read topic → - Part 3 · Topic article
Examination Process and Taxpayer Rights
An IRS examination reviews whether a return is correct. Start with the notice, tax periods, issues and response deadline; verify authorization; assemble evidence; then evaluate the proposed findings. Taxpayers have rights to representation, explanation and challenge, but the available response and deadline depend on the notice and procedural stage.
Read topic → - Part 3 · Topic article
Tax Practice Recordkeeping Requirements
There is no single retention clock for every tax-practice record. Conflict consents, e-file signature authorizations and paid-preparer due-diligence records have different triggers. Keeping records is also distinct from the duty to return client records needed for federal tax compliance; a fee dispute does not automatically justify withholding everything.
Read topic → - Part 3 · Topic article
Conflict of Interest in Tax Practice
A conflict exists when representation is directly adverse to another client or risks being materially limited by other duties or personal interests. Consent alone is insufficient: the practitioner must reasonably believe competent, diligent representation is possible, the work must be lawful, and every affected client must give informed consent confirmed in writing.
Read topic → - Part 3 · Topic article
Specific Areas - Payroll Trust Fund Issues
The trust fund recovery penalty can apply to a person responsible for collecting, accounting for and paying trust fund taxes who willfully fails to do so. For employment taxes, the trust fund amount includes withheld income tax and the employee share of FICA. Responsibility depends on actual authority and control, not a title alone.
Read topic → - Part 3 · Topic article
Filing Process and Return Processing Errors
First identify the return’s status. A rejected e-file needs correction and resubmission under the applicable rules. An accepted return still awaiting processing is a different problem. An IRS adjustment notice requires a response to its stated issue and deadline. Repeatedly filing the same accepted return is not a general solution to a delay.
Read topic → - Part 3 · Topic article
Ethics Scenario Decision Trees
In an ethics scenario, identify the fact that changes the next action: a known error requires client advice; conflicting information requires inquiry; a conflict requires a permissibility assessment; a records request requires analysis of the return-of-records rule. Client instructions do not override the practitioner’s duties.
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Sources and scope
Source check: . IRS and PSI materials support the factual rules. Worked cases and suggested study sequences are original educational examples, not official exam questions or IRS study requirements.
- PSI SEE Candidate Information Bulletin
Exam format, scored domain allocations, tested tax year and exam procedures; see Study Materials and Examination Content Outlines.
Use the version applicable to your testing window. Live IRS pages can advance to a later tax year. These notes are exam study material; examples state simplifying assumptions.