[Adopted 7-5-2005 by L.L. No. 8-2005]
This article shall be known as the "Tax Preparer's Disclosure Law."
The annual preparation of income tax returns is an obligation of County residents that is legally technical and often difficult for many citizens. The use of tax preparers by the public is very common. However, there have been problems with locating and/or contacting the tax preparers after the limited tax season is over. The Legislature believes that it is important to have some basic information on the commercial tax preparers to assure that tax preparers are accountable for their services after the filing of the returns, to create a central tracking system to identify those tax preparers with histories of complaints about them to ensure that they are available to assist tax filers with any tax audits and also to provide for advance disclosure of the fees the tax preparers will charge for their services.
As used in this article, the following terms shall have the meanings indicated:
DEPARTMENT
The Rockland County Department of Consumer Affairs.
REFUND ANTICIPATION LOAN
Any loan a taxpayer may receive against his or her anticipated income tax refund.
TAX PREPARER OR PREPARER
A person, partnership, corporation, or other business entity, that for a fee advises or assists or offers to advise or assist in the preparation of income tax returns for another.
A. 
A tax preparer who is required, pursuant to federal, state or local law or regulation, to sign income tax returns as a preparer shall prominently and conspicuously post in his or her business premises in Rockland County an identification statement. This statement shall include, but not be limited to, the name of the tax preparer and an address and phone number at which the tax preparer can be contacted throughout the year.
B. 
Upon receiving payment for services rendered, a tax preparer in Rockland County shall provide a written receipt to the customer stating the charges for the services rendered and an address and telephone number whereby the tax preparer may be contacted throughout the year.
Every individual seeking advice and/or assistance from a tax preparer in Rockland County shall be provided, free of charge, with an informational flier on consumers' rights and laws regarding tax preparers, which shall be known as the "Consumer Bill of Rights Regarding Tax Preparers." The Consumer Bill of Rights Regarding Tax Preparers shall be produced in English, Spanish, Creole and French and made available to tax preparers by the Rockland County Department of Consumer Affairs. The Consumer Bill of Rights shall be distributed by any tax preparer doing business in Rockland County prior to any tax preparation related discussions with a consumer and shall be made available in English, Spanish, Creole and French as appropriate. The Consumer Bill of Rights Regarding Tax Preparers shall take the following form:
CONSUMER BILL OF RIGHTS
REGARDING TAX PREPARERS
Pursuant to the Tax Preparers Law of the Laws of Rockland County, all consumers shall be entitled to the following rights, which cannot be waived:
1.
You are entitled to ask the individual tax preparer assisting or advising you on your tax returns or related matters what his or her qualifications are, and he or she is required, upon request, to produce documentation to verify such qualifications.
2.
You are entitled to know how fees and charges are computed, including minimum charges and any additional charges. You must be given a receipt which states the charges for each tax return. The receipt must list the address and phone number at which the tax preparer may be contacted during a one-year period following April 15th of the year in which the prepared tax return is filed.
3.
You are entitled to know whether the tax preparer will represent you at a government audit. Failure to make this disclosure means that the tax preparer agrees to represent the taxpayer to provide representation at a government audit. The tax preparer shall disclose the fee, if any, to be charged for such representation.
4.
You are entitled to receive all personal papers you provide to the tax preparer upon request when the original tax return is given to you for filing, unless the tax preparer is specifically permitted to retain such papers under state or federal law.
5.
You are entitled to know that any tax preparer who advertises the availability of a program by which a taxpayer may receive a loan against the taxpayer's anticipated refund may not directly or indirectly represent such loan as a refund. Any advertisement for tax preparation services which mentions such a loan program must state conspicuously that it is a loan for a fee or interest charges which will be charged by the lending institution for any such loan, and must disclose the name of the lending institution.
6.
You are entitled to receive a copy of every tax return that the tax preparer prepares on your behalf at the time the original tax return is given to the taxpayer for filing or filed by the preparer. In the case of the tax returns that are filed electronically there will be no original tax return but the customer shall receive a printed copy of the return.
7.
You are entitled to have the tax preparer sign every tax return that he/she prepares on your behalf. In the case of tax returns that are filed electronically the signature may be electronic.
8.
You are entitled to know whether or not the tax preparer is a licensed accountant or attorney in New York State.
9.
As the taxpayer you should:
a.
Never sign an incomplete tax return or one that is filled out in pencil.
b.
Never send cash to the government for payment of your taxes. Always use a check or money order to pay your taxes.
c.
Never allow your refund to be mailed to the tax preparer.
d.
Keep a record of your tax preparer's year-round address and phone number.
e.
Review your complete tax return for accuracy before it is mailed or electronically filed and keep a copy in your files.
f.
Check with the Rockland County Department of Consumer Affairs to determine if the individual or business preparing your taxes has ever been found to have violated the provisions of Tax Preparers Law of the Laws of Rockland County related to the control and regulation of tax preparers.
g.
Retain copies of your income tax return and supporting documentation for a period of not less than three years.
h.
Make a list of the documents you have given your tax preparer and have the tax preparer sign it.
No tax preparer shall intentionally misstate or misrepresent any information required to be disclosed pursuant to § 355-91 of this article. A tax preparer shall maintain records to substantiate all of the information required to be disclosed pursuant to § 355-91 of this article, which shall be presented by the preparer on demand for inspection.
A. 
Any tax preparer who advertises the availability of a refund anticipation loan may not directly or indirectly represent such a loan as a refund. Any advertisement for tax preparation services which mentions a refund anticipation loan must state conspicuously that it is a loan and that a fee or interest will be charged by the lending institution. The advertisement must also disclose the name of the lending institution for the loan.
B. 
Before offering, providing or otherwise facilitating a refund anticipation loan, a tax preparer shall provide the following disclosure in writing, in at least fourteen-point type, to each taxpayer in English or Spanish as appropriate on a form that is signed by the taxpayer before he or she enters into such a loan. It shall be the obligation of the tax preparer to complete the required disclosure form accurately with all relevant information for each taxpayer:
DISCLOSURE FORM
You are not required to complete this refund anticipation loan agreement merely because you have received this information. If you do sign a contract for a refund anticipation loan, you will be taking out a loan. You will be responsible for repayment of the entire loan amount and all related costs and fees, regardless of how much money you actually receive in your tax refund. The estimated annual percentage rate of your refund anticipation loan is (insert annual percentage rate) or if a flat fee charge (insert applicable fee here). This is based on the actual amount of time you will be lent money through this refund anticipation loan. If you do not take out this refund anticipation loan, you can still receive your tax refund within approximately two to three weeks, if you file your return electronically.
The Department shall establish and maintain a consumer alert registry consisting of tax preparers found to have more than one violation of the provisions of this article. The registry shall be made available to consumers upon request and shall also be posted and periodically updated on The Department's Web page. The Department shall not maintain, distribute or post information pertaining to a violation for a period of greater than two years.
Except for § 355-92, the provisions of this article shall not apply to:
A. 
An officer or employee of a corporation or business enterprise who, in his or her capacity as such, advises or assists in the preparation of income tax returns relating to such corporation or business enterprise.
B. 
An attorney duly licensed to practice law and the employees thereof.
C. 
A fiduciary and employees thereof who advise or assist in the preparation of income tax returns on behalf of the fiduciary estate, the testator, trustee, grantor or beneficiaries thereof.
D. 
A certified public accountant and the employees thereof.
E. 
A public accountant licensed pursuant to § 7504 of the New York State Education Law and the employees thereof.
F. 
An employee of a governmental unit, agency or instrumentality who advises or assists in the preparation of income tax returns in the performance of his or her official duties.
G. 
An agent enrolled to practice before the Internal Revenue Service pursuant to Section 10.4 of Subpart A of Part Ten of Title Thirty-one of the Code of Federal Regulations.
For the first violation of the provisions of this Article, a notice of violation shall be issued to the offending party. For the second violation, a civil penalty not exceeding $500 shall be imposed. For the third and succeeding violations, a civil penalty not exceeding $1,000 shall be imposed for each single violation. No civil penalty shall be imposed as provided for herein unless the alleged violator has received notice of the charge against him or her and has had an opportunity to be heard.