1.1 Current Exam Cycle, Blueprint & Study Decisions

Identify the applicable examination

Part 2 — Businesses is one of the three parts of the IRS Special Enrollment Examination (SEE). It tests business taxation rather than the individual-return emphasis of Part 1 or the representation and procedure emphasis of Part 3. A candidate can take the parts in any order, but each appointment covers one part. Passing Part 2 alone does not confer enrolled-agent status: passing all required parts, applying for enrollment, and satisfying the IRS suitability check are separate steps.

For the domestic July 1, 2026–February 28, 2027 window, use calendar year 2025 unless the question specifies otherwise. The law cutoff is December 31, 2025. Thus a 2026 examination can test a 2025 depreciation election or contribution limit. A web page's current date is not enough to establish which amount applies. Read the tax-year heading and the provision's effective date before importing a number into a calculation.

Translate the outline into preparation

The counts describe the 85 scored items, rather than all 100 items displayed. The remaining 15 are experimental and are not identified for candidates. Treat every question as potentially scored. The outline does not publish a guaranteed count for a particular deduction, form, or section of the Code. A study guide cannot promise that a memorized list of five rules will produce five questions.

For entities, practice the same economic transaction under different tax classifications. A bank loan can increase a partner's outside basis but does not automatically create S corporation shareholder debt basis. For preparation, link receipts, basis, timing, character, and reporting forms. For specialized returns, distinguish a trust's accounting income from DNI, a rental's economic loss from its deductible loss, and an employer contribution from an employee salary deferral.

Logistics that change study decisions

PSI administers the examination. Each part has 100 multiple-choice questions, 3.5 hours of testing, and an approximately four-hour appointment. The IRS describes two scheduled ten-minute breaks. The fee is $317 per part, payable again for a new attempt. A PTIN is needed before scheduling. Read the current bulletin for identification, calculator, break, test-center, and remote-proctor rules; a personal tax reference book is not a permitted substitute for learning the rules.

The passing scaled score is 500 on a 200–800 scale. This is not a published requirement to answer exactly 62.5% or 75% correctly. A passing report gives a passing designation rather than a numerical score above the threshold. Practice percentages are useful diagnostics, but do not convert them into an invented official passing percentage.

A candidate may attempt each part up to four times in a testing window and must wait at least 24 hours before rescheduling the same part. Passing scores ordinarily carry over for three years from the date that part was passed. Apply on Form 23 within one year of passing the final required part. The current bulletin describes specific carryover extensions related to the 2026 transition and international delay; those exceptions should be checked against the candidate's actual dates.

Work a source-selection scenario

Suppose a question asks for 2025 business mileage. One resource says 70 cents for 2025, another says 72.5 cents for 2026, and an older draft says 70.5 cents. Use the applicable 2025 IRS notice: 12,000 business miles produces $8,400 before separately allowable parking and tolls. Neither the examination's 2026 appointment year nor an unsupported draft changes the tax-year input.

Next consider equipment acquired in January 2025. Do not infer that every item placed in service in 2025 automatically receives 100% bonus depreciation. Acquisition timing, binding-contract rules, placed-in-service timing, eligibility, and elections all matter. The separate §179 annual limits apply differently. Build a short worksheet recording the controlling date for each provision before doing arithmetic.

A practical review sequence

1. Read the transaction and identify the taxpayer and tax classification.
2. Circle the tax year and distinguish acquisition, payment, service, and disposition dates.
3. Determine the basic income or deduction rule, then test exceptions and limitations.
4. Compute basis and character before selecting a reporting form.
5. Recalculate the answer without looking at the choices; then explain why the alternatives fail.

Maintain a dated list of missed rules rather than memorizing option positions. Revisit both entity and owner consequences when a question gives a distribution, a liability, or a pass-through loss. Those connections are central to business-return preparation.

Official references

IRS enrolled-agent FAQ and PSI Candidate Information Bulletin, revised October 9, 2026, checked October 17, 2026. The IRS currently reports international scheduling and testing as delayed; do not assume the domestic window establishes international availability.