AFTR Course for Washington Tax Preparers: Who Needs It for the 2027 Filing Season
- The AFTR (Annual Federal Tax Refresher) is a 6-hour IRS course that ends in a timed comprehension test.
- Non-exempt Washington preparers take it as part of 18 total CE hours for the 2027 AFSP Record of Completion.
- The 2027-season AFTR is open only June 1 – December 31, 2026.
- Washington has no personal income tax on wages and no preparer registration, but it does levy a 7% capital gains excise tax on large long-term gains. The AFTR itself is identical nationwide.
§1 What the AFTR Is
The Annual Federal Tax Refresher (AFTR) is a 6-hour course whose content the IRS sets. It covers filing-season tax law changes, a general review of federal individual tax topics, and practice and procedure. To earn the Annual Filing Season Program (AFSP) Record of Completion, pass the AFTR test, complete the rest of your CE, and give the Circular 230 consent.
Washington doesn’t license or register paid tax preparers. For a non-credentialed preparer in Seattle, Spokane, Tacoma, or anywhere else in the state, the Record of Completion is the clearest credential clients can check independently. It lists you in the IRS’s public Directory of Federal Tax Return Preparers. It also gives you limited representation rights for returns you prepared and signed.
§2 Do You Need It? Exempt vs. Non-Exempt
Only non-exempt AFSP participants take the AFTR, as part of 18 hours. Exempt participants complete 15 hours and skip it. You’re exempt if you passed the former RTRP test or passed SEE Part 1 within the past three years. Qualifying VITA/TCE volunteer or instructor service also counts, as does active registration with the Oregon, California (CTEC), or Maryland state preparer programs.
Washington has no program on that list. Unless a federal route applies, you’re non-exempt and the AFTR is part of your requirement. Washington preparers are sometimes surprised by this because neighboring Oregon’s license does grant exemption. That exemption applies only to active Oregon licensees. Try our 2-minute exemption check, or read the full exempt vs. non-exempt guide.
§3 Course Format, Window, and Test
The AFTR is offered only by IRS-approved CE providers, and only during a fixed window before the filing season. It ends with a timed comprehension test you must pass for credit. Your provider then reports the completion to the IRS under your PTIN.
AFTR COURSE AT A GLANCE
| Element | Detail |
|---|---|
| Course length | 6 hours |
| Available window | Jun 1 – Dec 31, 2026 |
| Test format | Timed, open-book |
| Required for | Non-exempt preparers |
Aim to finish by October or November. That leaves time for a retake or a slow provider report before December 31. Our inside-the-AFTR-test guide covers what the exam looks like.
§4 How the AFTR Fits the 18 Hours
The AFTR is 6 of your 18 hours. The other 12 are 10 hours of federal tax law topics and 2 hours of ethics. Hours in one category can’t be used for another.
NON-EXEMPT AFSP REQUIREMENT — 18 HOURS
| Course Category | Required Hours |
|---|---|
| AFTR course + comprehension test | 6 |
| Federal Tax Law Topics | 10 |
| Ethics | 2 |
| Total | 18 |
For the complete program, including the exempt track, see AFSP requirements for Washington preparers.
§5 The Washington Context: “No Income Tax,” With One Asterisk
The AFTR’s content, length, test, and deadline are federal and don’t change in Washington. The state’s tax structure does affect your practice. Washington has no personal income tax on wages or salaries, so most individual clients have no state income tax return.
The asterisk is Washington’s capital gains tax. Since 2022, the Washington Department of Revenue has administered a 7% excise tax on long-term capital gains from selling assets such as stocks, bonds, and business interests. It applies above an annual standard deduction, and a 2.9% surtax applies to gains over $1 million starting with 2025, for a top rate of 9.9%. The Washington Supreme Court upheld it in 2023 as an excise tax, not an income tax. Clients with large gains may owe a separate Washington capital gains return even though they owe no income tax. Spotting who’s affected starts with understanding the federal capital gains and basis rules the AFTR reviews.
§6 Deadline and Record of Completion
December 31, 2026. To earn the 2027 Record of Completion, you must finish the AFTR, your other 12 CE hours, and your Circular 230 consent by this date. The consent is given in your online PTIN account. Your PTIN must also be renewed for 2027.
Check your CE record in your PTIN account after each course is reported, and renew your PTIN early instead of in the final week. Our PTIN renewal walkthrough covers the full year-end sequence.
§7 FAQs
Does Washington require tax preparers to be licensed?
No. Washington has no state licensing or registration program for paid tax preparers. Federally, you need a valid PTIN to prepare returns for pay, and the AFSP is voluntary.
Is the AFTR different for Washington preparers?
No. The AFTR is federal, with the same content and test in every state.
Doesn’t Washington have a capital gains tax now?
Yes. Washington levies an excise tax on certain long-term capital gains above an annual deduction: 7%, plus a 2.9% surtax on gains over $1 million starting with 2025. The state treats it as an excise tax, not an income tax, and there’s still no tax on wages.
Does an Oregon license make a Washington preparer AFSP-exempt?
Only if you actually hold an active Oregon Board of Tax Practitioners license. Living or working in Washington alone doesn’t qualify you for Oregon’s exemption.
Ready to get started? Enroll in Tax IQ Academy’s 2026 AFTR course, or browse the full AFSP & AFTR resource hub.
Tax IQ Academy is an IRS and CTEC approved provider of continuing education for tax professionals, offering AFSP, AFTR, and EA exam prep courses covering federal tax law, ethics, and practice management.