What are the new legislation passed regarding tax preparers from foreign country?

- because I talked to someone from outside America and they mentioned tax law that avoids foreigners do taxes-specifically, (e.g)a company will hire people for instance from India, and people from America will call the tax software support and will be directed to Indians and then this was avoided by this law, to give jobs to Americans.What are the new legislation passed regarding tax preparers from foreign country?There is a disclosure issue.



If I hire someone to do my tax return and they intend to send my tax information and forms to India to be processed, they absolutely must tell me that they are doing it and give me the opportunity to refuse.



Outsourcing was getting big in 2005 until articles were published stating that it was being done. Clients of the firms doing it (large, large firms!) were very upset to find out that their personal data was sent to another country...not to mention a few well-publicized data theft cases. Many companies decided the backlash of paying a foreigner $20/hour vs a US person $40/hour wasn't worth it the ill will.



AICPA disclosure rules require that the firms tell their clients if someone else does the work. The practice of having a subsidiary company in another country no longer cuts as an excuse of not having to admit the work is done overseas.







If I buy tax software to do my taxes and call with a question, the company is allowed to outsource the calls to a call site in India, but the quality of the answers are subject to the training level of the people answering the phones. Personally, I like the fact that if I call the IRS with a tax question, I will only talk to a call site based in the USA and the person answering the phone is either a US Citizen or Resident Alien. In addition to the fact that my tax dollars are paying for a US person to answer the phone, the person answering the question is subject to the same exact tax laws I am.