IRS Launches Power of Attorney and Tax Information Authorization Requests Online
The IRS has made it easier for taxpayers to authorize individuals to represent them before the IRS and access their confidential tax information. The new process, available through the IRS Online Account, allows taxpayers to quickly review, approve and sign power of attorney and tax information authorization requests.
Power of Attorney Authorization
A power of attorney authorization allows a designated individual to represent a taxpayer in tax matters before the IRS. The representative must be authorized to practice before the IRS, such as a tax professional. To submit a power of attorney authorization request, certain tax professionals can use their Tax Pro Account. The taxpayer can then log into their Online Account to review, electronically sign and manage the authorization.
Once a taxpayer has signed the power of attorney, the authorized person can:
- Represent, advocate, negotiate and sign on the taxpayer's behalf;
- Argue facts and the application of law;
- Receive the taxpayer's tax information for the matters and tax years or periods the taxpayer specifies;
- Receive copies of IRS notices and communications if the taxpayer chooses.
Tax Information Authorization
In addition to a power of attorney authorization, taxpayers can also approve a tax information authorization submitted through Tax Pro Account in their individual Online Account. This authorization allows the taxpayer's appointed designee to review or receive the taxpayer's confidential information verbally or in writing for the tax matters and years or periods specified by the taxpayer.
A tax information authorization also allows taxpayers to disclose their tax information for a purpose other than resolving a tax matter, such as providing income verification needed by a lender or a background check.
Eligible Tax Professionals Can Assist in Authorization Process
If a taxpayer prefers to use the assistance of an eligible tax professional, they can ask the professional to use their Tax Pro Account to submit the request to the taxpayer's Online Account. This provides taxpayers with additional support and convenience in the authorization process.
Overall, the new authorization process through the IRS Online Account streamlines the process of designating representatives and accessing confidential tax information. Taxpayers can easily manage and review their authorizations electronically, with added assistance available through eligible tax professionals.
How it Works
Tax Pro Account lets tax professionals submit an authorization request to an individual taxpayer’s IRS online account, which can be processed in real-time. This means that once the taxpayer electronically signs the request, the authorized representative can immediately represent, advocate, negotiate, and sign on the taxpayer's behalf.
Submit Request in 15 Minutes or Less
With Tax Pro Account, tax professionals can submit a request to an individual taxpayer's Online Account in as little as 15 minutes. Once the request is submitted, taxpayers can log into their Online Account to review, electronically sign, and manage authorizations.
Hours of Service
Tax Pro Account is available Monday through Saturday, from 6 a.m. ET to 9 p.m. ET, and on Sundays from 10 a.m. to midnight ET (Occasionally down for additional hours for maintenance).
Who Can Use This Service
To use a Tax Pro Account, tax professionals must have a Centralized Authorization File (CAF) number in good standing assigned to them as an individual, and a CAF address in the 50 United States or the District of Columbia.
They must also have authority to practice before the IRS as an attorney, certified public accountant, enrolled agent, enrolled actuary, or enrolled retirement plan agent, and a license to practice in the 50 United States or the District of Columbia as an attorney or certified public accountant.
Before You Start
Before using this service, tax professionals should ensure that it is appropriate for their request. The individual taxpayer must have an address in the 50 United States or the District of Columbia, and the ability to access their IRS online account. Tax matters can be authorized from the year 2000 and forward, plus three future years (calendar year only, not fiscal year).
Tax matters that can be authorized include:
- Form 1040 Income Tax;
- Split Spousal Assessment or Form 8857 Innocent Spouse Relief;
- Shared Responsibility Payment;
- Shared Responsibility Payment - Split Spousal Assessment;
- Civil Penalty (limited to periods of March, June, September, and December).
Submitting a request with a Tax Pro Account will revoke any prior authorization(s) on file with the IRS for the same tax matters, tax periods, and authorization types. If tax professionals wish to keep other authorizations intact, they must submit a Form 2848 or 8821 by fax, mail, or online.
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To request authorization for multiple representatives, each representative must log in with their account. Only two representatives may receive copies of a taxpayer's IRS notices and communications. The taxpayer must authorize all representatives on the same day. If there are overlapping tax periods and tax matters, subsequent overlapping requests will not be processed if the taxpayer approves them on the same day.