For your taxes, an enrolled agent (EA) and a CPA have the same standing with the IRS: both can prepare your return and represent you on any tax matter, before any IRS office. The difference is scope. An EA is licensed by the IRS and works only in tax. A CPA is licensed by a state and also does accounting and audit work. In NATP’s 2025 fee study, EAs charged an average of $228 for a basic Form 1040 and CPAs $280.
For most personal returns and IRS problems, either is qualified, and the person’s experience with returns like yours matters more than the letters.
The two side by side
| Enrolled agent | CPA | |
|---|---|---|
| Licensed by | The IRS | A state board of accountancy |
| Scope | Federal tax | Accounting, audit, tax and advisory |
| Exam | IRS Special Enrollment Exam, three parts | Uniform CPA Exam, four sections of four hours each |
| Exam fee | $317 a part in 2026 | Set by each state |
| Degree required | None | Bachelor’s with accounting coursework |
| Continuing education | 72 hours every three years, at least 16 a year, 2 of ethics | Set by each state |
| IRS representation | Unlimited | Unlimited |
| Audits of financial statements | No | Yes, in a licensed CPA firm |
| Average fee, basic 1040 (2025) | $228 | $280 |
| Check it at | IRS preparer directory or Office of Enrollment | CPAverify or your state board |
How each earns the licence
Enrolled agents pass all three parts of the IRS’s Special Enrollment Examination, which covers individual and business tax, within three years. Since spring 2026 the exam costs $317 a part, paid to schedule each part, after the IRS cut its own share from $99 to $66. Candidates then pass a suitability check of their own tax compliance and criminal background, and pay a $140 enrollment fee. Some former IRS employees qualify through their work experience instead of the exam.
CPAs pass the Uniform CPA Exam: three core sections on auditing, financial accounting, and tax and regulation, plus one discipline section, such as tax compliance and planning. Each state then sets its own education, experience and ethics requirements. Our guide to CFP vs CFA vs CPA covers the licensing routes in more detail.
An EA’s whole exam is tax. A CPA’s exam gives tax one core section, plus the discipline section if the candidate chooses tax. That doesn’t make every EA better at tax, but it does mean the credential is a tax specialty from the start.
When each is the better choice
An enrolled agent is often the better fit for:
- Personal returns with some complexity: investments, rentals, self-employment income
- IRS letters, audits, payment plans and collection problems
- Small businesses that need returns, not financial statements
- Keeping the bill down, when you’ve found an experienced EA
A CPA is the better fit for:
- Audited or reviewed financial statements. State accountancy laws reserve attest work for CPAs; Tennessee’s board, for example, says only CPAs working in a licensed CPA firm can provide it. If a bank or investor asks for reviewed statements, you need a CPA firm.
- Accounting alongside tax: bookkeeping, payroll, entity structure and business advisory work in one firm.
- State tax disputes. An EA’s representation rights come from the IRS. State tax agencies set their own rules for who can represent you, so ask before you hire for a state matter.
Either one can do year-round tax planning, not just filing. Many don’t. Our guide to tax preparers vs tax planners explains how to tell what you’re getting.
What each costs
NATP’s 2025 fee study gives typical ranges as well as averages. For the basic return, EAs typically charged $150 to $300 and CPAs $200 to $425. Extra schedules add to that: itemized deductions (Schedule A) averaged $59 with an EA and $65 with a CPA, and investment sales (Schedule D) $63 and $75. Preparers in larger communities charged more than those in small towns, so a local quote is the real test.
Fee-only financial planners who also hold one of these credentials sometimes include the return in their planning fee. Fee-only planners in the public graph charge a median $2,000 for a one-time plan and $4,500 a year for ongoing planning. Of the 24,501 fee-only advisors in the public graph, 226 list an EA and 250 list a CPA. If you want tax and planning from one person, ask whether the return is included or billed separately. Our guide to CPAs vs financial advisors covers how the two roles split.
How to check each one
An enrolled agent. Search the IRS Directory of Federal Tax Return Preparers with Credentials, which lists EAs, CPAs and attorneys who hold a current preparer number. Some opt out, so if a name is missing, ask the IRS Office of Enrollment through its verification page. Our glossary entry on the enrolled agent covers the requirements.
A CPA. Search CPAverify, NASBA’s free national lookup, or your state board of accountancy’s licence search, which also shows discipline. Our glossary entry on the CPA has more.
Either one, if they also give investment advice. Neither licence registers anyone to manage money. Check the person and firm on the SEC’s adviser search, and see our guide to checking a financial advisor. For planners who focus on tax, start with tax planning advisors, or advisors for small business owners if you run a company.