The following opinion is presented on-line for informational use only and does not replace the official version. (Mich Dept of Attorney General Web Site - www.ag.state.mi.us) STATE OF MICHIGAN FRANK J. KELLEY, ATTORNEY GENERAL Opinion No. 5483 April 18, 1979 LICENSES AND PERMITS: Agents authorized by the Secretary of Treasury to practice before the Internal Revenue Service PROFESSIONAL SERVICE CORPORATION ACT: Agents authorized by the Secretary of Treasury to practice before the Internal Revenue Service as professionals Persons enrolled as agents authorized to practice before the Internal Revenue Service may incorporate pursuant to the Professional Service Corporation Act. Mr. William F. McLaughlin Director Michigan Department of Commerce Law Building Lansing, Michigan 48909 Your predecessor has requested my opinion on the following question: 'May a corporation be incorporated pursuant to the Professional Services Corporation Act, Act No. 192, Public Acts of 1962, as amended, for the purpose of engaging in practice before the Internal Revenue Service as enrolled agents?' The Professional Service Corporation Act, 1962 PA 192, Sec. 2(a), MCLA 450.222(a); MSA 21.315(2)(a), provides: "Professional service' means any type of personal service to the public which requires as a condition precedent to the rendering of such service the obtaining of a license or other legal authorization. By way of example and without limiting generality thereof, the personal services which come within the provisions of this act are the personal services rendered by certified or other public accountants, chiropractors, dentists, optometrists, veterinarians, osteopaths, physicians and surgeons, doctors of medicine, doctors of dentistry, podiatrists, chiropodists, architects, professional engineers, land surveyors and attorneys at law.' [Emphasis added] The Secretary of the Treasury has prescribed rules and regulations pursuant to 31 USC, Sec. 1026, 23 Stat 258, governing the recognition of agents representing claimants before his department. 31, Subtitle A, Part 10 (June 10, 1972), provides at section 10.3(c) that enrolled agents may practice before the Secretary of the Treasury. The regulations established eligibility for enrollment including application for enrollment and provisions regarding the duties and restrictions relating to practice before the Internal Revenue Service. Furthermore, the regulations provide for an appeal from the denial of application as an enrolled agent as well as the hearings procedure invoked upon the disbarment or suspension of an enrolled agent. Persons who do not obtain 'legal authorization' from the Secretary of the Treasury are not permitted to practice before the Internal Revenue Service. The two requirements for incorporation as a professional service corporation are fulfilled because enrolled agents authorized by the Secretary of Treasury to practice before the Internal Revenue Service perform a personal service for the public similar to that performed by a public accountant and as a condition precedent to rendering the service, they receive legal authorization from the Secretary of the Treasury. It is my opinion that the license or legal authorization to render a 'professional' service does not have to derive from state law. A license or legal authorization based upon federal law will also fulfill the requirements of the Professional Service Corporation Act. It is, therefore, my opinion that enrolled agents authorized to practice before the Internal Revenue Service may incorporate pursuant to the Professional Service Corporation Act. Frank J. Kelley Attorney General