Finance Exam Prep is a daily podcast designed to help future tax and finance professionals pass their certification and licensing exams with clarity and confidence.
Built and operated by OpenExamPrep, this podcast breaks down major tax exams into focused, easy-to-digest episodes covering the CPA & Enrolled Agent (EA) Exam, including Part 1 (Individuals), Part 2 (Businesses), and Part 3 (Representation, Practices, and Procedures). Each episode targets one key tax concept, common exam trap, or high-frequency test topic—making it ideal for studying during commutes, workouts, or short study sessions.
Created by Ran Chen, EA, CFP®, a financial professional and exam specialist who has personally passed multiple professional licensing exams, Tax Exam Prep was developed from firsthand experience with how complex—and often poorly explained—tax exam material can be. The goal is simple: make tax exam preparation clearer, more accessible, and more effective through structured explanations and modern learning tools. Whether you’re preparing for the EA Exam, transitioning into a tax career, or reviewing before test day, this podcast is designed to guide you step by step—one concept at a time.
Free practice tools, AI-powered explanations, and additional exam prep resources are available at: https://open-exam-prep.com/
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Enrolled Agent Exam [Part 3] 38, Form 2848 Power of Attorney
Saturday, September 12, 2026 • Duration 03:40
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- The critical importance of precisely matching taxpayer identity information on Form 2848 with IRS records to avoid rejection.
- How to correctly specify tax matters by Type, Form, and Year (T-F-Y), and the three-year limit on authorizing future tax periods on the CAF.
- The strict signature requirements for joint returns, specifically the "both spouses must file a separate form" rule for joint matters.
- The key differences between substitution and delegation of authority and that these powers must be explicitly granted by the taxpayer.
- Common exam traps such as using vague language like "all years" and understanding the role of the Centralized Authorization File (CAF).
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- That an IRS examiner's immediate supervisor must provide written approval before a preparer penalty can be formally proposed.
- The first step in disputing a proposed penalty is to respond to the 30-day letter by requesting a conference with the IRS Independent Office of Appeals.
- The crucial 'Pay 15 to Stay in the Game' rule: a preparer must pay 15% of the assessed penalty and file a refund claim to be eligible to sue in U.S. District Court.
- The key difference between a pre-assessment administrative appeal and a post-assessment judicial refund claim.
- That once a penalty is assessed and remains unpaid, the IRS can use standard collection procedures, such as liens and levies, to collect the debt.
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
Enrolled Agent Exam [Part 3] 36, Aiding Understatements and Other Civil Penalties
Thursday, September 10, 2026 • Duration 03:36
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- The IRC 6701 aiding and abetting penalty applies to anyone who knowingly assists in an understatement, with a $1,000 penalty for individual returns and $10,000 for corporate returns.
- The IRC 6700 penalty for promoting abusive tax shelters is calculated based on the promoter's gross income derived from the activity.
- A frivolous submission under IRC 6702 results in a $5,000 penalty for the taxpayer, but a practitioner who assists can be penalized under IRC 6701.
- The IRS can seek an injunction under IRC 7407 to completely bar a practitioner from preparing tax returns for repeated misconduct.
- A critical exam skill is distinguishing practitioner penalties (based on their actions) from taxpayer penalties (based on their understatement).
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
Enrolled Agent Exam [Part 3] 35, Disclosure and Use of Tax Return Information
Wednesday, September 9, 2026 • Duration 03:13
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- The critical difference between criminal penalties under IRC 7216 and civil penalties under IRC 6713.
- The specific requirements for obtaining valid, written taxpayer consent before disclosing or using tax return information.
- Key regulatory exceptions that permit disclosure without taxpayer consent, such as for peer reviews and court orders.
- The special consent rules required when a tax preparer transmits client information to a service provider located overseas.
- How to identify common exam traps related to prohibited "uses" versus prohibited "disclosures" of taxpayer data.
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
Enrolled Agent Exam [Part 3] 34, Other Return Preparer Penalties Under Section 6695
Tuesday, September 8, 2026 • Duration 03:27
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- The specific per-failure and maximum annual penalties for administrative duties like furnishing copies, signing returns, using a PTIN, and record retention.
- The significantly higher, uncapped penalties for negotiating a client's refund check and failing to perform due diligence.
- That most Section 6695 penalties can be abated if the failure is due to reasonable cause and not willful neglect.
- The critical due diligence requirements for credits like the EITC and CTC, including the use of Form 8867.
- How the EA exam tests these concepts through scenario-based questions requiring penalty calculations and identification of violations.
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- The two primary penalties under IRC Section 6694 for unreasonable positions and willful or reckless conduct.
- The distinction between the 'substantial authority' and 'reasonable basis' standards and when each applies.
- How adequate disclosure, often using Form 8275, can help a preparer avoid penalties for positions lacking substantial authority.
- The mechanics of the 'reasonable cause and good faith' exception as a defense against the unreasonable position penalty.
- How liability can extend to non-signing preparers and the firms that employ them.
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
Enrolled Agent Exam [Part 3] 32, Frivolous Submissions and Badges of Fraud
Sunday, September 6, 2026 • Duration 03:16
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- How to identify common frivolous tax arguments tested on the EA exam, such as 'wages are not income.'
- The critical difference between negligence (20% penalty) and civil fraud (75% penalty), which hinges on intent.
- Key examples of 'badges of fraud' that indicate a taxpayer's willful intent to deceive, like keeping two sets of books or concealing assets.
- A practitioner's duties under Circular 230 when a client insists on taking a frivolous position.
- The specific civil penalty for filing a frivolous return ($5,000) and how it differs from fraud or negligence penalties.
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- Expedited suspension is a swift action by the OPR under Circular 230 for serious misconduct.
- Key triggers include loss of a professional license for cause or conviction of a tax crime or felony involving dishonesty.
- A pattern of willful failure to file federal tax returns is a specific grounds for this procedure.
- The suspension is immediate, but the practitioner has 30 days to respond and request a conference with the OPR.
- Exam questions focus on distinguishing which specific acts qualify for expedited suspension versus standard disciplinary action.
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- The OPR initiates disciplinary action with a formal complaint, and the practitioner must file an answer within the specified time to avoid a default judgment.
- The OPR bears the burden of proof in a hearing, which is judged by a 'preponderance of the evidence' standard before an Administrative Law Judge (ALJ).
- Sanctions range from a public censure to suspension or disbarment, depending on the severity of the misconduct.
- Decisions by the ALJ can be appealed by either party to the Treasury Appellate Authority, which represents the final agency action.
- A disbarred practitioner must wait a minimum of five years before they can petition the OPR for reinstatement.
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep
This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.
In this episode you will learn:
- The specific conduct standards—willful, reckless, or grossly incompetent—that can lead to sanctions under Circular 230.
- The practical differences between censure (a public reprimand), suspension (temporary ban), and disbarment (minimum five-year ban).
- How monetary penalties are calculated, up to the gross income derived from the misconduct, and can be applied to both individuals and firms.
- That a firm can be held liable and penalized if it knew or reasonably should have known about a practitioner's misconduct.
- The direct impact of sanctions on a practitioner's ability to represent clients before the IRS.
For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep