EA vs. CPA vs. Tax Attorney: Who Should You Hire? (2025)

Last Updated: December 2025

When you need professional help with IRS tax debt, you have three main options: Enrolled Agents (EAs), Certified Public Accountants (CPAs), and Tax Attorneys. Each has different training, specialties, and appropriate use cases.

Choosing the right professional can save you money and get better results. Choosing the wrong one means paying for expertise you don't need — or worse, not getting the expertise you do need.

The Three Types of Tax Professionals

Enrolled Agents (EAs)

What they are: Tax specialists licensed by the IRS to represent taxpayers before all levels of the IRS.

How they're licensed: Must pass a rigorous three-part IRS exam covering individual tax, business tax, and representation/ethics — OR have at least 5 years of IRS experience. Required continuing education annually.

Where they can practice: Nationwide — EA license is federal, not state-by-state.

What they specialize in: Tax preparation, tax planning, and IRS representation including audits, appeals, and collections.

Key insight: EAs are the only tax professionals whose credential is specifically about taxation. Many focus exclusively on IRS resolution work.

Certified Public Accountants (CPAs)

What they are: Accountants licensed by state boards of accountancy.

How they're licensed: Must pass the CPA exam (four parts covering auditing, business, financial accounting, and regulation/tax), meet education requirements (usually 150 college credits), and fulfill experience requirements. Required continuing education varies by state.

Where they can practice: In states where licensed. Most CPAs are licensed in their home state.

What they specialize in: Broad accounting services including audits, financial statements, tax preparation, and business advisory. Tax is often just one part of their practice.

Key insight: Not all CPAs specialize in tax — many focus on auditing, financial reporting, or business consulting. Ask about their specific tax debt resolution experience.

Tax Attorneys

What they are: Lawyers who specialize in tax law.

How they're licensed: Must have a law degree (JD), pass a state bar exam, and maintain bar membership. Many also have an LL.M. (Master of Laws) in Taxation for advanced training.

Where they can practice: In states where admitted to the bar. Can also practice in U.S. Tax Court nationwide.

What they specialize in: Complex tax law, litigation, criminal tax matters, and situations requiring attorney-client privilege.

Key insight: Tax attorneys are essential for certain situations but overkill (and expensive) for straightforward tax debt resolution.

What Each Professional Can Do

EAs and CPAs can represent in Tax Court only if admitted to practice there (requires separate exam).

*CPAs have limited privilege under IRC Section 7525, but only for tax advice in non-criminal matters.

When to Hire Each Professional

Hire an Enrolled Agent When:

Standard IRS debt resolution - Setting up installment agreements - Submitting Offers in Compromise - Requesting Currently Not Collectible status - Penalty abatement requests - Responding to collection notices - Resolving wage garnishments or bank levies

Why EAs are often best for this: - Tax resolution is frequently their core focus - Often more cost-effective than CPAs or attorneys - Same IRS representation authority as CPAs and attorneys - Deep familiarity with IRS procedures and negotiation

Typical EA fees for tax resolution: - Installment agreement: $500-$2,500 - Offer in Compromise: $3,500-$7,000 - Currently Not Collectible: $500-$2,000 - Audit representation: $2,000-$10,000+

Hire a CPA When:

Your situation involves complex accounting - Business tax debt with accounting complexity - Multiple entities, partnerships, S-corps - Need financial statement work alongside tax resolution - Ongoing business accounting relationship desired

You need both accounting and tax services - Unfiled returns requiring reconstruction of records - Business financials needed for OIC financial disclosure - Want one firm for tax prep, planning, AND resolution

Why CPAs are valuable here: - Broader financial picture understanding - Can handle accounting issues that affect tax situation - May already know your financial history

Typical CPA fees for tax resolution: - Often comparable to EAs, sometimes higher - Hourly rates typically $150-$400 - Complex business matters can run $10,000+

Hire a Tax Attorney When:

You face criminal exposure - Suspected tax fraud or evasion - Willful failure to file - False statements to the IRS - Under criminal investigation (IRS Criminal Investigation Division)

You need attorney-client privilege - You need to discuss potentially incriminating information - You're concerned about your communications being discoverable

You're headed to court - Tax Court litigation - Federal district court tax matters - Appeals beyond IRS administrative process

Complex legal interpretation - Novel legal issues without clear IRS guidance - Trust and estate tax disputes - International tax matters with legal complexity

Why attorneys are essential here: - Only attorneys can defend criminal matters - Full attorney-client privilege protection - Trained in litigation and legal strategy

Typical tax attorney fees: - Hourly rates: $300-$700+ - Criminal defense: $10,000-$100,000+ - Tax Court representation: $5,000-$50,000+ - Simple resolution matters: Often refers to EA

The Real Talk: Most People Don't Need an Attorney

If your situation is: - Unpaid taxes from income you actually earned - No fraud, evasion, or intentional wrongdoing - Standard W-2 or 1099 income - Seeking payment plan, OIC, or hardship status

An Enrolled Agent is almost certainly sufficient — and more cost-effective.

Tax attorneys are expensive because their training and licensing justify it for complex legal matters. But most tax debt situations don't require legal expertise — they require procedural knowledge of IRS collections, which EAs specialize in.

Red Flags: When a "Professional" Isn't Right

Watch Out For:

"Tax Resolution Specialists" without credentials - Anyone can call themselves a tax specialist - Ask: "Are you an EA, CPA, or attorney?" If not, they can't represent you before the IRS.

CPAs who don't do tax resolution - Many CPAs focus on auditing or financial reporting - Ask: "How many OICs/installment agreements have you handled this year?"

Attorneys handling simple payment plans - If you just need a $30,000 installment agreement, an attorney is overkill - You're paying for expertise you don't need

Large upfront fees with vague promises - Legitimate professionals explain what they'll do and charge accordingly - "$10,000 retainer before we look at your case" is a red flag

Questions to Ask Any Professional

1. What is your credential? (EA, CPA, attorney — verify it)
2. How many IRS resolution cases have you handled?
3. What's your success rate with cases like mine?
4. How do you structure your fees? (Flat fee, hourly, retainer?)
5. What's a realistic outcome for my situation?
6. Will you be handling my case, or someone else?
7. Can you provide references from past clients?

How to Verify Credentials

Enrolled Agents

• IRS Directory of Federal Tax Return Preparers: irs.gov/tax-professionals
• National Association of Enrolled Agents: naea.org

CPAs

• Your state Board of Accountancy website
• AICPA credential verification

Tax Attorneys

• Your state bar association website
• U.S. Tax Court practitioner search (if claiming Tax Court admission)

Always verify. Scam companies sometimes claim credentials they don't have.

Fee Structures Explained

Flat Fee

You pay a set amount for a defined service (e.g., "$3,500 to prepare and submit your Offer in Compromise").

Pros: You know the cost upfront; no surprises
Cons: May not cover unexpected complications

Best for: Straightforward cases where scope is clear

Hourly Rate

You pay for time spent (e.g., "$250/hour").

Pros: You pay for actual work done
Cons: Costs can escalate; may create incentive to over-work

Best for: Complex or unpredictable situations

Retainer

You deposit money upfront; professional bills against it hourly.

Pros: Professional starts work immediately; committed relationship
Cons: You're out money upfront; may not be fully used (or may be exhausted quickly)

Best for: Ongoing or multi-phase engagements

Contingency (Rare in Tax)

Professional takes a percentage of savings achieved.

Note: This is uncommon and ethically questionable in tax work. The IRS decides outcomes based on facts and rules, not negotiation skill. Be wary of "we take 20% of what we save you" arrangements.

Making Your Decision

Start with Self-Assessment

1. What's my situation?
2. Simple debt → EA or CPA with resolution experience
3. Business complexity → CPA

4. Criminal exposure → Attorney

5. What's my budget?

6. Limited budget → EA (often most cost-effective)

7. Budget flexible → Choose based on situation

8. What's at stake?

9. Straightforward resolution → EA is fine
10. High stakes, complex issues → Pay for appropriate expertise

Then Interview Professionals

Get consultations from 2-3 professionals. Many offer free initial consultations. Compare: - Their assessment of your situation - Proposed approach - Fee structure - Communication style - Experience with similar cases

The right professional is one who: - Has relevant experience - Explains things clearly - Gives you realistic expectations - Charges appropriately for the service needed - Makes you feel confident, not scared

Key Takeaways

1. EAs, CPAs, and attorneys can all represent you before the IRS — Choose based on your specific needs
2. EAs specialize in tax — Often best for standard debt resolution
3. CPAs have broader accounting skills — Valuable for business complexity
4. Attorneys are essential for legal matters — Criminal exposure, litigation, privilege needs
5. Most people don't need an attorney — For typical tax debt, an EA is sufficient and cost-effective
6. Always verify credentials — Use official databases, not just their claims
7. Compare fee structures — Understand what you're paying for
8. Get multiple consultations — Find the right fit for your situation

Need Help Deciding?

If you're not sure which type of professional you need, start with a consultation. A reputable professional will tell you honestly if your situation requires different expertise than they provide.

Our approach: - Licensed Enrolled Agents and CPAs - Honest assessment of your situation - If you need an attorney, we'll tell you - If you can handle it yourself, we'll tell you that too

📞 Call: (XXX) XXX-XXXX
Monday - Friday, 9AM - 5PM EST
Free consultation, no obligation.

Related Guides

• How to Avoid Tax Relief Scams
• Installment Agreements Guide
• Offer in Compromise Guide
• IRS Collection Process Guide

Sources

• IRS Circular 230 (Regulations Governing Practice Before the IRS)
• National Association of Enrolled Agents
• American Institute of Certified Public Accountants
• American Bar Association, Section of Taxation
• IRS.gov: Choosing a Tax Professional

This guide is for educational purposes only. The right professional for your situation depends on your specific circumstances.