As confirmed by Doug Shulman, the IRS Commissioner, the Internal Revenue Service has announced a new measure with the aim to protect taxpayers by imposing some new regulations on the paid return prepare industry.

Under the new requirements, it will be ensured that tax payers "who pay good money" to file their tax returns "do not receive bad advice", said Mr. Shulman. Recently, the IRS had completed a detailed review on the tax preparers, and the many revelations led to the new regulations being enforced.

Starting this year, 10,000 tax preparers will be receiving letters from the IRS which will ask them to prevent any errors when completing all the forms that affect taxpayers, as has been confirmed by Maritza Michaud, national spokeswoman for the IRS.

She also shared that the taxpayers who prepare their own returns end up making majority of these errors when they "itemize deductions, calculate taxes and determine eligibility for first-time homebuyer credit".

Starting next year, the new regulations will be fully implemented, and all tax preparers will have to register with the IRS. "The majority of tax preparers are honest and respectable professionals. However, there are also unscrupulous ones who are making mistakes that affect taxpayers", said Ms. Michaud.