EA Part 3 study guide: Representation, Practices and Procedures
By Haresh Ratnagrahi, Founder, HiPrep (CPA, FCA, CMA (US), CISA, CRISC)
EA Part 3 covers practices before the IRS, representation, examinations, appeals, collection and the filing process. It is rule-heavy and less computational, so focus on Circular 230, authorisation forms and taxpayer rights.
Key takeaways
- Practice before the IRS and Circular 230 duties.
- Weeks 1–2: Circular 230 and authorisations.
- Confusing Form 2848 (representation) with Form 8821 (information only).
- Who can represent, which form authorises what, timelines for appeals and the main collection options.
- Representation is what sets an EA apart from an unenrolled preparer.
What Part 3 covers
Practice before the IRS and Circular 230 duties.
Authorisations: Form 2848 and Form 8821.
Examinations, closing agreements and taxpayer rights.
Appeals and collection alternatives, including offers in compromise.
Completion of the filing process and preparer due diligence.
A 6-week plan
Weeks 1–2: Circular 230 and authorisations.
Week 3: examinations and rights.
Week 4: appeals and collection.
Week 5: filing process and due diligence.
Week 6: mocks and review.
Common mistakes
Confusing Form 2848 (representation) with Form 8821 (information only).
Mixing up sanctions and penalties.
Skipping the details of collection alternatives.
Rules to memorise
Who can represent, which form authorises what, timelines for appeals and the main collection options.
Why it matters on the job
Representation is what sets an EA apart from an unenrolled preparer. Knowing the rules protects clients and you.
Exam facts at a glance
Enrolled Agent (EA) (US Enrolled Agent), overseen by IRS · Special Enrollment Examination. 3: Exam parts (SEE). 3.5 hrs: Per part: 100 MCQs. 105: Passing score (40–130 scale). 2 yrs: To pass all three parts.
Part 1, Individuals: Individual tax returns, income, deductions and credits. Main topics: Preliminary work and taxpayer data, Income and assets, Deductions and credits, Taxation and advice, Specialised returns.
Part 2, Businesses: Business entities, financial information and business returns. Main topics: Business entities, Business financial information, Business assets and depreciation, Specialised returns and taxpayers.
Part 3, Representation, Practices and Procedures: Practising before the IRS, ethics and procedures. Main topics: Practices and procedures, Representation before the IRS, Specific types of representation, Completion of the filing process.
The path from eligibility to certification
Enrolled Agent (EA): 1. Get a PTIN. Obtain a Preparer Tax Identification Number from the IRS. 2. Register for the SEE. Schedule through the Prometric system. 3. Book at Prometric. Take each part at a Prometric test centre, including international locations. 4. Pass all three parts. Within the two-year window. 5. Apply for enrolment. Submit Form 23 and clear the suitability check.
Who it suits: Commerce graduates and accounting professionals; US tax outsourcing and KPO professionals; CAs and CMAs adding US tax authority; Freelancers who want to serve US clients. Careers it opens: US tax preparation and advisory; IRS representation; US tax outsourcing and GCC tax teams; Independent practice for US clients.
Key terms explained
SEE: The Special Enrollment Examination: three parts (Individuals, Businesses, Representation) that qualify candidates for the Enrolled Agent credential. Each part has 100 multiple-choice questions.
IRS: The Internal Revenue Service: the US federal tax authority. It sets the SEE and licenses Enrolled Agents.
Circular 230: The IRS regulations governing practice before the IRS and the duties of tax practitioners. It features heavily in EA Part 3 and in CPA REG ethics.
Form 2848: The Power of Attorney and Declaration of Representative form. It authorises a named representative to act for a taxpayer before the IRS.
Form 8821: The Tax Information Authorization form. It lets a named person receive and inspect a taxpayer’s confidential tax information, but it does not allow them to represent the taxpayer.
Preparer due diligence: The duty of a tax preparer to take reasonable steps to confirm that claims on a return are accurate, especially for certain credits, and to keep records of those steps.
More questions candidates ask
Which should I pick: CPA, CMA or EA? CPA suits audit, reporting and global accounting careers. CMA suits management accounting, FP&A and finance leadership. EA suits US tax and IRS representation, and is the quickest to complete. Our counsellors will map one to your background and goals for free.
Can I take these exams from outside the US? Yes. The CPA, CMA and EA exams are available at Prometric test centres in many countries, including India, the Middle East and Asia-Pacific. Eligibility and registration run through the relevant body: a US state board for CPA, IMA for CMA and the IRS for EA.
Do I need a commerce degree? It depends on the exam. CPA requires a degree plus accounting and business credit hours, which vary by state. CMA requires a bachelor’s degree plus experience. EA has no degree requirement. Book a free eligibility check and we will tell you exactly where you stand.
What are the passing scores? CPA: 75 on a 0–99 scale. CMA: 360 on a 0–500 scale. EA: 105 on a 40–130 scale. All are scaled scores, not percentages.
How HiPrep can help
HiPrep is an exam-prep provider for the CPA (US), CMA (US) and Enrolled Agent exams. Every answer is built step by step, cell by cell, so you see how a result is reached and not only what it is. Explanations are available in English, Hindi, Tamil, Telugu and Kannada, and a mentor is behind the platform for doubts.
You get a Prometric-style simulator with tutor and exam modes, full-length mock exams with a scaled-score estimate and topic breakdown, layered books, one-page revision notes built from your mistakes, flashcards, an AI tutor that hints before it tells, and a study plan that adapts to your exam date and weekly hours.
Start with the free diagnostic: 45 minutes and a topic-by-topic report that shows where you stand before you spend anything.
Frequently asked questions
Is Part 3 easier?
Many find it shorter, but it needs precise rules, so do not underestimate it.
Should I take it first?
Some candidates take it first because it has the least calculation. Choose what motivates you.
Sources and official references
About the author
Haresh Ratnagrahi, Founder, HiPrep (CPA, FCA, CMA (US), CISA, CRISC). Haresh has spent 30+ years in corporate finance, M&A and teaching, including as a professor at Sydenham College of Commerce and as founder of the Finance & Accounts Learning Academy at EXL, where he trained more than 6,000 employees. He founded HiPrep to give CPA, CMA and EA candidates clear teaching, a real exam simulator and mentoring.