If a corporation uses a tax professional to prepare the income tax return, the following extra steps are required to comply with the requirements to file an electronic return:
- Ensure the Tax Professional is an Authorized IRS e-file Provider: The corporation should verify that the tax professional is an IRS Authorized e-file Provider. This can be confirmed by checking with the tax professional directly.
- Discuss Responsibilities: The corporation should discuss with the tax professional their responsibilities to "originate" the electronic return. This includes ensuring that the tax professional uses software that fully supports the corporation's e-file requirements.
- Sign the Electronic Return: The Corporate Officer will need to sign the electronic return using the appropriate Form 8453 (U.S. Individual Income Tax Transmittal for an IRS e-file Return) or Form 8879 (IRS e-file Signature Authorization).
- Ensure Complete Electronic Submission: The IRS requires the entire electronic return to be sent in one electronic file. This may necessitate changes to some internal tax preparation processes to ensure all necessary information is included in the electronic submission.
- Review Software Compatibility: If the corporation uses tax preparation software in-house and then contracts with a tax professional to review and sign the return, it is important to ensure that the tax professional uses the same software. If different software is used, the corporation will need to follow the procedures outlined in IRS Publications 4163 and 4164 to "originate" the electronic return.
By following these steps, the corporation can ensure compliance with the IRS requirements for filing an electronic income tax return.
Sources:
Rev. Proc. 2007-40
Publication 3112 (11/2023)
