Understanding The 2024 IRS Annual Federal Tax Refresher (AFTR) Outline

Understanding The 2024 IRS Annual Federal Tax Refresher (AFTR) Outline

The IRS Annual Filing Season Program (AFSP) is designed for non-credentialed tax preparers aiming for enhanced professionalism, offering a Record of Completion and inclusion in the IRS's Directory of Federal Tax Return Preparers. This public directory helps verify a preparer's qualifications, promoting ongoing education and better service in tax preparation. Central to the AFSP, the Annual Federal Tax Refresher (AFTR) is crucial for tax preparers, focusing on the latest tax laws and preparation best practices for the 2024 tax year.


As tax preparation professionals, staying abreast of the latest changes and updates in tax law is essential. The Annual Federal Tax Refresher (AFTR) for the tax year 2024 is specifically designed to equip you with the knowledge and skills necessary to navigate the complexities of individual 1040 tax return preparation. My Tax Courses Online will release their course on June 1st, 2024, presented by Dr. Bart Basi, CPA, Roman Basi, CPA, and Lacie Henson, CPA. This comprehensive 6-hour course, followed by a 100-question multiple-choice exam, where you must get 70% or higher to pass, covers a broad spectrum of topics, from new tax law updates to best practices in tax preparation. Here's what you need to know.


Domain 1: New Tax Law/Recent Updates

The AFTR outline begins by addressing recent updates and changes in tax law that are critical for the upcoming tax season. Key areas include:


  • An overview of the cost-of-living adjustments impacting tax brackets, exemptions, and deductions.
  • Updates to mileage deduction rates for business, medical, and charitable purposes.
  • Important changes to the reporting thresholds for Form 1099-K and third-party network transactions.
  • An introduction to the new Direct File Pilot Program, a free filing option available directly through the IRS.
  • Key provisions affecting Roth plan distributions and catch-up contributions starting in 2024.


Domain 2: General Review

The general review section refreshes foundational tax preparation concepts and dives into specific areas of tax law, including:


  • It reviews filing statuses and the tax implications of various types of income.
  • Provides guidelines on reporting pensions, IRAs, and annuities, along with common deductions and credits.
  • Schedule C and Business Deduction insights into calculating business income, distinguishing between hobbies and businesses, and understanding the home office deduction.
  • It supplies an overview of Schedule D and Form 8949 reporting requirements.
  • Detailed explanations of Schedule A deductions, including medical expenses, state and local taxes, and charitable contributions.


Domain 3: Practices, Procedures, and Professional Responsibility

This final domain ensures tax preparers are well-versed in the ethical and procedural aspects of their profession, covering:


  • Strategies to protect taxpayer information and respond to identity theft incidents.
  • The best practices for maintaining the confidentiality and security of client data.
  • An overview of preparer penalties, due diligence requirements, and the scope of practice under Circular 230.


The AFTR is an invaluable resource for tax professionals looking to update their knowledge base, ensure compliance with the latest tax laws, and provide the best possible service to their clients. Whether you're a seasoned tax preparer or new to the field, this course is a crucial step in preparing for the challenges and opportunities of the upcoming tax season.