The Tax Court exam will be given again in November, 2010

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 the Tax Court admission examination 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 Tuesday November 9, 2010 at the Tax Court building in Washington, DC.  The fee is $75 and applications are accepted 6/1-10/1/10.  See the Tax Court’s press release announcing the date for more information (ustaxcourt.gov).

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 as did 8 of the 54 who sat for the 2008 exam (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 exam.

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 2010 Tax Court exam will test 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 2010 exam materials using the 2010 Self Study form in the forms link, or locate your own study materials (see the Study Resources page).   The 2010 exam materials are available for purchase after each live session is held to ensure they are as current as possible.   No CPE is offered for the self-study option.

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 should I 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, all 6 who passed in 2006 and 7 of the 8 who passed in 2008 either took our entire exam cycle series for that year or attended the two day review session immediately before the exam.  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 Class option?

This innovative addition to our 2006 exam cycle series proved quite successful.  The One Year Study Class for the 2010 exam cycle will commenced 11/1/09 but can still be added as an option the a 2010 Full Exam Series purchase.  By using a yahoo group our students receive monthly assignments to work on at their convenience, with answers provided the following month.  The instructor recommends Tax Court cases to read and students are encouraged to communicate with each other.  The foundation is laid so that by the time the live sessions are held, the student is exposed to much of the material covered in that session.  Repetition enhances learning.

10. How do I sign up?

Registration for the 2010 exam cycle opened October 1, 2009.  Those who signed up for the full 2010 exam cycle series by 11/1/09 can participate in the One Year Study Class at no additional charge but this valuable interaction can still be purchased (see forms link).  If you want to be included on our email distribution list so you are notified when future registration forms are available, send an email to Sherrill using our Contact Us page.

Let us help you take your practice to the next level