Global Daily Tax News, US To Lower Fee For Tax Preparer ID Renewals, (Oct 6, 2025)

The US Treasury Department and the Internal Revenue Service have issued interim final regulations and a notice of proposed rulemaking to reduce the amount of the user fee imposed on tax professionals who apply for or renew a preparer tax identification number (PTIN).

The IRS Return Preparer Office conducted a biennial review of the PTIN user fee in 2025 and determined that the full cost of issuing or renewing a PTIN should be reduced from USD11 to USD10, plus USD8.75 payable directly to a third-party contractor. This newly established USD10 user fee will be effective for the start of the next PTIN renewal cycle beginning on October 16, 2025. The PTIN fee is non-refundable.

Anyone who prepares or helps prepare a federal tax return or claim for refund or compensation must have a valid PTIN from the IRS and needs to include the PTIN as their identifying number on any return or claim for refund filed with the IRS. All enrolled agents must also have a valid PTIN to maintain their active status.

The IRS projects that over 900,000 individuals will apply for an initial or renewal PTIN during each of the next three PTIN renewal cycles. Failure to have and to use a valid PTIN may result in penalties.

PTINs expire on December 31 of the calendar year for which they are issued. Paid tax return preparers and enrolled agents, who need to apply for an initial PTIN or renew a PTIN expiring on December 31, 2025, can complete the process through the online portal in about 15 minutes.