E-filing Seminar Stresses Incentives

E-filing Seminar Stresses Incentives

More and more, the Internal Revenue Service is highlighting incentives to e-file through their e-services system.

At the New York CPA, Business and Technology Show and Conference, held July 25 at the Hilton Hotel in Manhattan, Susan R. Marks, senior tax specialist with the IRS, gave a rundown of how the system works and how to access the new e-services incentive products the IRS is offering.

When will e-services be available?
They are available now.

How do I register?
Registration is the first online process a tax professional must complete before beginning to conduct business through e-services. All tax professionals must register as individuals, not as the business. Also, Marks noted, “If you have five partners, each partner needs to register.” Go to www.irs.gov, click on “Tax Professionals’ Corner,” and then on “E-Services.” Then, you can choose either to log in or to register for the first time. If you get an error code, you can call the helpline at 1-866-255-0654.

How do e-services differ from e-filing?
E-services is the basic service you must be enrolled in in order for you to e-file.

Why do I have to get a Preparer Tax ID Number (PTIN)? Wouldn’t it be easier to use my Social Security number?
Using a PTIN is more secure than using your SSN. If your PTIN is stolen, you can obtain another one, but this is not the case with your SSN.

Once I access the IRS e-file application, what should I be aware of?
Be sure to type in names and addresses using upper- and lower-case letters (it is case-sensitive). Make sure that each principal and responsible official has registered for e-services.

How many returns do I have to file to be eligible for e-services incentive products?
Only five. Once you do, you are eligible for Disclosure Authorization (which gives “eligible tax practitioners an online option for submitting Power of Attorney or Taxpayer Information Authorization forms,” according to the IRS Web site), the Transcript Delivery System (TDS) (which you can use to “order tax account and tax return transcripts and other tax information for business and individual clients”) and Electronic Account Resolution (this lets you “expedite closure on clients’ account problems by electronically sending/receiving account related inquiries”). For the TDS program, you must have a power of attorney on file with the IRS. With these incentives, you can submit a request electronically, and you also get the same customer service representative each time you call.

Is there a practitioner hotline?
Yes: 1-866-860-4259. Also, e-services program information and updates are posted on a regular basis on the Web site www.irs.gov.