{"id":16280,"date":"2013-01-28T12:10:11","date_gmt":"2013-01-28T19:10:11","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=16280"},"modified":"2013-01-28T12:10:11","modified_gmt":"2013-01-28T19:10:11","slug":"beating-the-irs-one-regulation-at-a-time","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/16280\/beating-the-irs-one-regulation-at-a-time\/","title":{"rendered":"Beating the IRS One Regulation at a Time"},"content":{"rendered":"

Occupational licensing is a tricky topic for those of us who have “professional” occupations. The notion that any old schmuck can simply hang out a shingle – in the case of a law practice – or open a brokerage with nothing more than a computer, smartphone, and printer – in the case of real estate – strikes fear in the hearts of established practitioners and of busybodies everywhere.<\/p>\n

What about the ignorant public? What about the sacred profession (whichever profession) we’re a part of? What about my own livelihood?<\/p>\n

If there are oxes to be gored, we’d prefer they be other peoples’ oxes. Not our own.<\/p>\n

It didn’t used to be so. Occupational licensing and testing and fee-paying and continuing professional education programs didn’t really get going until the 1920s, a consequence of the progressive movement. In the 1950s, only about 1 in 20 American workers needed the government’s permission before pursuing their chosen occupation. Today, it’s almost one in three. Greg’s called this Rotarian socialism.<\/a><\/p>\n

Enter the Internal Revenue Service. For nearly 100 years, tax preparers were unlicensed. Consumers – i.e., filers – could make their own decisions about whom they wished to hire in order to prepare their taxes. Civil and criminal statutes can punish preparers who prepare inaccurate or fraudulent returns.<\/p>\n

But in 2011, the IRS decided these laws were not enough, and imposed sweeping changes that would require tax preparers to apply for licenses from the IRS in order to prepare federal tax returns on behalf of clients. The new regulations require all paid tax return preparers\u2014except for attorneys and CPAS-to become a \u201cregistered tax return preparer\u201d by taking and passing a competency examination, and paying application fees. They would also require preparers to complete 15 hours of continuing education.<\/p>\n

The regulations did not spring ex nihilo<\/em> into existence. They were largely drafted by the former CEO of H&R Block. Most occupational licensing helps big firms or brokerages which can bear the cost of training employees and paying fees, and who benefit disproportionately when small and independent providers are kept out of the business.<\/p>\n

My good friend Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Occupational licensing is a tricky topic for those of us who have “professional” occupations. The notion that any old schmuck can simply hang out a shingle – in the case of a law practice – or open a brokerage with nothing more than a computer, smartphone, and printer – in the case of real estate […]<\/p>\n","protected":false},"author":62,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[379],"tags":[],"class_list":{"0":"post-16280","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-innovation","8":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":2554,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2554\/who-benefits-from-occupational-licensing-laws-the-licensees-to-be-sure-to-the-detriment-of-the-consumer\/","url_meta":{"origin":16280,"position":0},"title":"Who benefits from occupational licensing laws? The licensees, to be sure — to the detriment of the consumer","author":"Greg Swann","date":"January 31, 2008","format":false,"excerpt":"Via Coyote Blog and Radley Balko, the Philadelphia Inquirer brings us a nice illustration of why occupational licensing laws really exist: Not to protect the consumer, but to protect the licensees from free-market competition:Mary Jo Pletz was really, really good at eBay. But now the former stay-at-home mother and gonzo\u2026","rel":"","context":"In "Egoism in Action"","block_context":{"text":"Egoism in Action","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/egoism-in-action\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2877,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2877\/state-mandated-licensing-of-interior-designers-is-our-only-possible-protection-from-life-threatening-color-clashes\/","url_meta":{"origin":16280,"position":1},"title":"State-mandated licensing of interior designers is our only possible protection from life-threatening color clashes","author":"Greg Swann","date":"April 1, 2008","format":false,"excerpt":"Via Coyote Blog, Clark Neily of the Institute for Justice argues against occupational licensing for interior designers in the Wall Street Journal:Imagine you were a state legislator and some folks asked you to pass a law making it a crime to give advice about paint colors and throw pillows without\u2026","rel":"","context":"In "Disintermediation"","block_context":{"text":"Disintermediation","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/disintermediation\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1309,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1309\/zillowcom-at-the-dawn-of-the-age-of-abundance-working-for-free-is-not-a-crime-trying-to-forbid-it-is\/","url_meta":{"origin":16280,"position":2},"title":"Zillow.com at the Dawn of the Age of Abundance: Working for free is not a crime, trying to forbid it is . . .","author":"Greg Swann","date":"April 16, 2007","format":false,"excerpt":"I read a lot of science fiction when I was a kid (more INTx evidence). One of my favorite books was Voyage From Yesteryear by James Hogan.The plot turned on the conflict between an economy like ours, based on scarcity and hoarding, and a radically different economy based on abundance\u2026","rel":"","context":"In "Enduring Interest"","block_context":{"text":"Enduring Interest","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/enduring-interest\/"},"img":{"alt_text":"","src":"http:\/\/www.assoc-amazon.com\/e\/ir?t=gregswann-20&l=as2&o=1&a=0671577980","width":350,"height":200},"classes":[]},{"id":14896,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/14896\/greco-roman-rejection-of-rotarian-socialism-is-the-cure-for-what-ails-the-united-states\/","url_meta":{"origin":16280,"position":3},"title":"Greco-Roman Rejection of Rotarian Socialism Is The Cure For What Ails the United States","author":"Brian Brady","date":"August 8, 2011","format":false,"excerpt":"Europe has tried all sorts of Statist approaches to the PIIGS problems.\u00a0 Today, Europeans are considering \"liberalization\": As the European financial crisis moves into its next phase, there\u2019s a new word to learn: \u201cliberalization,\u201d and it's likely to be even more unpopular than \u201causterity.\u201d Leaders in Europe are promising to\u2026","rel":"","context":"In "Disintermediation"","block_context":{"text":"Disintermediation","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/disintermediation\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1490,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1490\/arizona-real-estate-licensing-fuels-debate\/","url_meta":{"origin":16280,"position":4},"title":"Arizona real estate licensing fuels debate","author":"Greg Swann","date":"June 1, 2007","format":false,"excerpt":"This is me in today's Arizona Republic (permanent link). I don't write the headlines. The implication of this one, I think, is that I am debating with myself -- always possible -- since no one else talks about these things. Arizona real estate licensing fuels debate I wrote a couple\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2103,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2103\/hr-3915-mortgage-reform-and-anti-predatory-lending-act-of-2007\/","url_meta":{"origin":16280,"position":5},"title":"HR 3915: Mortgage Reform and Anti-Predatory Lending Act of 2007","author":"Brian Brady","date":"October 25, 2007","format":false,"excerpt":"Congressman Banker...err...Barney Frank co-authored legislation to \"reform\" the mortgage business on Monday.\u00a0 You can view the 66-page text here. Bullet Points of the bill include: 1- Prohibition of \"yield spread premium\" as compensation to originators. 2- Mandatory licensing of mortgage originators by a Federal registry or state regulator.\u00a0 This Bill\u2026","rel":"","context":"In "Real Estate"","block_context":{"text":"Real Estate","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/real-estate\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/16280","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/62"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=16280"}],"version-history":[{"count":0,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/16280\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=16280"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=16280"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=16280"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}