Frequently Asked Questions About the Tax Court Exam

1. Why take the Tax Court exam?

Circular 230 professionals may represent clients at all levels within the Internal Revenue Service, but may not prepare petitions or represent clients in the Tax Court. Nonattorneys must pass this exam to be admitted to practice. 

2. When is the exam offered and how much does it cost?

Currently the Tax Court offers the exam every other year, usually on the second Thursday of November.  The next scheduled exam will be in November 2008 at the Tax Court building in Washington, DC.  The court will provide details in a press release on ustaxcourt.gov during April 2008, including the exam application, exam date and time, and when applications are accepted. The fee for the 2006 exam was $75.

3. Is the exam difficult?

Very much so, with pass rates typically in the 5-10% range.  For example, 6 of the 58 people who sat for the 2006 exam passed (there are more statistics in the article on this site).  The Tax Court does not publish suggested answers, so it is challenging to know what answers received full points. Prepare to spend significant effort in studying for this examination.

4. Are you allowed to take the exam in parts?

No, to succeed the entire exam must be passed at one sitting with a score of 70% or better for each section.

5 What is tested?

Over a four hour period, the 2006 Tax Court exam tested competence in these subject areas:

• Tax Court Rules of Practice and Procedure (25%, or 60 minutes of allocated time) tests information contained in the Tax Court’s Rules of Practice & Procedure, including areas of court jurisdiction. The Rules are available for use during the exam.
• Federal Taxation (40%, or 96 minutes) tests information contained in the Internal Revenue Code and its regulations, along with recent Tax Court and other tax-related court decisions.  A copy of the IRC is available during the exam.  Many tested topics go beyond what the tax professional routinely sees in practice. 
• Evidence (25%, or 60 minutes) tests information contained in the Federal Rules of Evidence, including evidentiary applications in the courtroom. The questions generally pose courtroom scenarios that require the applicant to recognize the issue and apply the relevant rules.  No resources are available during this section.
• Legal Ethics (10%, or 24 minutes) tests information contained in the American Bar Association’s Model Rules of Professional Conduct, including practitioner conflicts of interest and imputed disqualification.  A copy of the Model Rules is available for use.

6. What if I want to study on my own?

You can purchase our discounted 2006 exam materials to get started on your 2008 studies (see the 06 Discount Registration Form page), or locate your own study materials (see the Study Resources page.)  You may also purchase our 2008 Exam Cycle materials, but they are not available until after each live session is held to ensure they are as current as possible.

7. Why take a professional Tax Court exam prep course?

Determining how and what to study can be daunting as the topics tested cover very broad areas of knowledge. An instructor can guide you in the process and focus your attention on the topics most likely to be tested.

8. Why take your course?

Our instructor offers a hands-on up-to-date course using the most current tax laws and court cases in each session.  Attending the live sessions also gives you the chance to work with others who are taking this rigorous examination; because of the small number of test-takers, this is particularly beneficial if you find it productive to study with others. Our success speaks for itself - 3 of 7 who passed in 2002 and all 6 who passed in 2006 were our students.  Our practice test (given on the first day of the review session) gives you the opportunity to take a timed test under real exam conditions which is critical in determining your test taking strategy.

9. What is the benefit to taking your one year study option?

This innovative addition to our 2006 exam cycle series proved quite successful.  The One Year Study Class is in process for the 2008 exam cycle. By using a chat group our students receive monthly assignments to work on at their convenience, with answers provided the following month. In addition, the instructor recommends Tax Court cases to read.

10. How do I sign up?

Register for any session(s) of the 2008 exam cycle series using the 2008 Full Series Form.  Even though the November 1, 2007 deadline passed, it is still possible to add the One Year Study Class to the 2008 full class series registration for an additional fee.

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