A virtual tax preparer does what a traditional tax preparer does: They prepare and file tax returns. They just do it virtually rather than in person. 

Client documents move through secure portals. Communication happens over the phone or by email or video. And when the prep is done, clients review their returns electronically before signing off. 

If you’re looking for flexible work in the tax field, this is one of the more practical paths to take. This guide explains what virtual tax preparers do and how to get started. 

Key Points

• Virtual tax preparers handle federal and state returns remotely, using tools like TurboTax and QuickBooks to guide clients through the filing process. 
• A Preparer Tax Identification Number (PTIN) and a high school diploma are typically the baseline for becoming a virtual tax preparer. Success relies on a sharp eye for detail and the ability to translate complex tax laws into plain English. 
• You can build a solid foundation at your own pace through free programs like Intuit Academy’s tax planning courses. 
• Based on US Bureau of Labor Statistics (BLS) data, the average salary is $58,160, while experienced specialists in the 90th percentile earn up to $98,810. 

What Is Virtual Tax Preparation?

Virtual tax preparation is the process of preparing and filing a tax return online. Online is the operative word. Virtual tax preparers collect client documents through secure online interfaces and message back and forth with clients as they guide them through filing. There are no in-person office visits or fumbling through folders full of client paperwork.  

The tax work itself is largely the same as tax prep has always been. A preparer still reviews income forms and checks eligible deductions and credits as they prepare returns. And they still help clients understand the next steps. 

The main difference is where the work happens. In-person tax preparation usually takes place at an office or storefront. Virtual tax preparation happens through software, video calls, secure messaging, and electronic signatures. 

This format can make tax prep more convenient for clients who don’t want to travel or need help outside standard office hours. It can also create more flexible work options for people entering the tax field. New preparers building toward this kind of work often start with tax classes online, which can give them a solid foundation before taking on returns. 

How Virtual Tax Preparation Works

Think of virtual tax preparation like using online banking instead of visiting a branch. The service is still personal, but the paperwork moves through digital tools. 

Client Onboarding and Document Collection

The process generally kicks off with a short intake form. Clients share the basics, like their income sources, family situation, employment, and any major tax events from the year (e.g., a home purchase or a job change). Then they upload documents through a secure online portal.  

Common forms include W-2s, 1099s, mortgage interest statements, tuition forms, and receipts for deductible expenses. 

Return Preparation and Review

Next, the virtual tax preparer reviews the documents and enters the information into tax software. They look for missing forms and check for possible deductions or credits. Depending on what they spot, they flag anything that needs a follow-up question. If a client worked a side gig, for example, the preparer might ask about business expenses before finishing the return. 

Filing and Follow-Up

When the return is ready, the preparer walks the client through it, often over video or phone but sometimes in chat or via secure messaging. After the client approves and signs electronically, the preparer files the return online. They may also answer refund questions or help explain IRS notices after filing. 

How to Become a Virtual Tax Preparer

Formal education isn’t a necessity to start learning tax preparation. While a college degree can help, many begin with focused training and practice with real tax scenarios.  

For example, someone working a retail or gig job could take an online course to learn the basics of federal returns and get a Preparer Tax Identification Number before applying for entry-level seasonal tax work. 

Here’s what the path to becoming a virtual tax preparer might look like for you. 

Get the Right Training

Start with the fundamentals. Learn about the various filing statuses and income types, and dig deep into deductions, credits, and common tax forms. There are several training paths to consider: 

• Community college courses give you structured instruction with live feedback. 
• Paid online programs offer more flexibility but vary widely in cost. 
• Free options like Intuit Academy’s online tax prep class are accessible and fit around a job or school schedule. 

Obtain Your PTIN

Anyone who prepares federal tax returns for pay needs an IRS-issued PTIN. You can apply through the IRS online, and the process is generally straightforward.

State requirements are a separate matter. Some states require additional registration, testing, or licensing for paid tax preparers. Check your state’s tax agency website to understand what applies to you before you start taking on clients.

Consider Additional Credentials

Credentials aren’t always required for entry-level work, but they can help you qualify for more roles. Options include:  

• Becoming an enrolled agent (EA). An EA credential lets you represent clients before the IRS, including in audits and appeals. Earning it requires passing all three parts of the IRS Special Enrollment Examination, which covers individual tax, business tax, and representation. Most candidates spread their prep across several months, tackling one section at a time. 
• Earning a certified public accountant (CPA) license. This credential goes well beyond tax prep and can open doors to financial reporting, advisory work, and client representation before the IRS. Requirements vary by state, but the path generally includes 150 college credit hours, supervised work experience, and passing all four sections of the Uniform CPA Exam. In California, for example, you’ll also need at least one year of verified accounting experience before licensure. 
• Completing Intuit Academy badges. These are free, role-specific credentials from Intuit. It’s worth noting that completing Tax Level 1 and Tax Preparation may waive certain experience requirements for Intuit tax specialist roles, which can be a faster route into the field for new preparers. 

Set Up Your Workspace and Tools

The setup is generally straightforward. A reliable internet connection, a quiet place to work, tax preparation software, and a secure way to handle client documents are often enough to get started. Many virtual tax preparers handle the last piece through their employer’s portal, though independent preparers will need their own secure document system. 

Find Your First Role or Clients

Many new virtual tax preparers start by applying to seasonal or full-time roles through tax company career pages. The independent route is also an option, but it means handling client acquisition, software costs, and compliance on your own. 

Skills and Qualifications You Need

To really understand the role of a virtual tax preparer, you have to look at the skills behind it. Tax knowledge is key, of course, but the soft skills that help earn a client’s trust are a big part of the puzzle, too. 

Technical Skills

On the technical side, you’ll need a solid handle on the basics. That means knowing your way around common tax forms, such as W-2s, 1099s, Schedule C, and education or child care credit forms. A working knowledge of federal tax rules and credits is also a must.  

Comfort with tax software, including TurboTax, is also key. And familiarity with accounting software like QuickBooks can help when working with self-employed clients or small business owners. 

Soft Skills 

Clear communication is a huge part of the day-to-day. That means answering questions via email, chat, phone, or video. It also means being able to explain complex tax topics in plain language.  

Beyond that, it really comes down to having a sharp eye for detail and keeping every piece of client info strictly confidential.  

Qualifications 

At a minimum, paid virtual tax preparers need a PTIN and, usually, a high school diploma. But there are many ways into the field.  

You may come in with a degree in a related financial field, or you might take a more direct route through a specialized tax training program. Courses like Intuit Academy’s Tax Level 1 course, for example, can help you build job-ready knowledge.  

Optional credentials, such as EA or CPA, can support longer-term career growth. 

Benefits of Working as a Virtual Tax Preparer

Virtual tax preparation can be a practical fit if you want flexible, skills-based work. Many roles let you work from home, which can make it easier to balance work with school or another job. 

The path can also be more accessible than some finance careers. You don’t always need a college degree to begin, though you will need some form of training and a PTIN for paid tax prep work. Seasonal tax roles can be a great way for beginners to test the tax prep waters and gain experience during the busiest filing months. 

The earning potential is also encouraging. US Bureau of Labor Statistics data shows a mean annual salary of about $58,160. As you gain experience and specialize, that number can climb significantly, with 90th-percentile earners making as much as $98,810. 

Another perk of virtual tax prep is that the work can grow with you. After building experience, some preparers move into more advanced tax topics or pursue credentials like EA or CPA.  

When you’re ready to see what’s out there, explore remote tax preparer jobs and compare the skills employers seek. 

Tools Virtual Tax Preparers Use

A typical virtual tax preparation setup includes a few core tools.  

• Tax software: This is where you enter your client information, perform calculations, and prepare the return for filing.  
• Secure client portals: These help clients upload W-2s, 1099s, receipts, and other records without sending sensitive files by regular email. 
• Communication tools: You’ll also use video calls or secure messaging to ask questions and explain the return.  
• E-signature tools: These help clients review and approve forms remotely.  
• Bookkeeping software: For clients with self-employment income or small business taxes, bookkeeping tools like QuickBooks can help organize income and expenses before the return is prepared. 

Start Your Virtual Tax Preparation Career

A career as a virtual tax preparer offers a mix of flexibility and practical earning potential. There’s also ample runway to build your tax skills over time and branch out into more complex work. Start with basic training and build up your confidence through practice. From there, keep adding knowledge as your goals grow.  

Intuit Academy offers free training programs that can help you take that first step. Explore the tax planning course to keep building your foundation. 

FAQs

What skills or qualifications do I need to become a virtual tax preparer?

A virtual tax preparer typically needs at least a high school diploma and a PTIN. Beyond the basics, it’s all about getting the right tax training and becoming a pro with tax software. You’ll also need to lean on your communication skills and a sharp eye for detail to keep your clients happy and their information secure. Credentials like EA, CPA, or Intuit Academy badges can support career growth.  

Is there an expectation to work specific hours as a virtual tax preparer?

Your schedule really depends on who you’re working for and the time of year. If you’re with a firm, you might stick to standard business hours or pick up specific seasonal shifts. But if you’re doing solo work, you’re in the driver’s seat when it comes to your calendar. Regardless of how you work, though, things get a lot busier as tax deadlines approach.  

How much can a virtual tax preparer expect to earn?

Pay varies by experience, credentials, location, employer, and role type. Entry-level or seasonal roles may pay hourly, while experienced preparers may qualify for higher-paying or year-round work. The BLS puts the average (mean) pay for tax preparers at $27.96 an hour, with 90th-percentile earners making as much as $47.50 per hour.