One more duty we must perform

[anu31402]

Signing Engagement letter and Form 8879 is a MUST for ALL my clients no exception. None has ever asked me why they need to sign. Refusing to sign by a client is an indication of future problem to come!

[PIGLEE]

If I sign a paper, at someone's office, I want a copy of what I signed. I do the same thing with my clients, when I print out the signature forms, I print out two copies. I keep the signed forms, and give them the copies (marked copy), and tell them here are copies of what you just signed. To me it is the polite thing to do.

[FEDUKE404]

Ghost Form 8453

The 8879 replaces the 8453 and that is what you give the client.You only need an 8453 when you must mail some thing to the IRS.

I went through the entire tax season without using a single Form 8453.

(And in recent times I worked for a firm whose manager said ANYONE generating a Form 8453 would have to explain to him WHY one was used.)

Form 8879 has essentially replaced the Form 8453, except for certain "unusual" situations.

And, FWIW, I always give the client a copy of Form 8879. Such is a wise move, and can remind them of the PIN(s) selected. I would have to do some (unnecessary) research to see if such a copy is "required" but common sense would say it's, de minimis, not a bad idea.

FE

[ChEAr$]

the form 8879 is signed by the client and I keep it since I must.
I do not give client a copy of it.
We've discussed this in another forum (on another board) and agreement was that
giving client a copy of 8879 is not required.

[dyne]

Thanks to ALL! I realize now that the form 8453 is NOT needed for most clients. The Pub 1345 must mean that IF a form 8453 is required to be filed, a copy must be kept and included with the taxpayers return copy. I appreciate the help. Best wishes.

[Davc]

The present form 8453 in Drake Tax Software is used to select
WHICH returns are to be e-filed (federal, state, etc.)

Only the bottom section of the input screen in Drake has anything to do with the 8453. It just happens to be the same screen in which you indicate what forms are e flung.

[Bees Knees]

I printed out the current version of the IRS Pub 1345 which is revised 3-2009. On page
30 it says:"ERO's MUST retain the following material until the end of the calender year..."
..."A copy of the form 8453..." On page 31 it says:"A complete copy of a taxpayer's
return includes Form 8453..."

That information in Pub 1345 is referring to the current version of Form 8453. If you look at the context, it is referring to the form and all attachments that are NOT included in the electronic records that are being submitted to the IRS.

Notice, the list of instructions also say you have to keep a copy of the client's W-2. Obviously, not all clients have a W-2, so the requirement to keep a copy means for any tax return that INCLUDES a W-2, you have to keep a copy.

Likewise, for any tax return that INCLUDES a Form 8453 (because you have to send in an attachment), you must keep a copy of that form. Obviously, if Form 8453 is not needed for a particular return, there is no copy to have to keep.

[gkaiseril]

The requirement is to keep the signature form for e-file, now the 8879, you have a notification system to inform the taxpayer that their return has been filed with and accepted by the IRS, most use the 9325, but there could even be an automated response system the taxpayer could call.

Originally the 8453 was used to gather the taxpayers signature when electronic filing started out, and the use of electronic signatures was not authorized, many firms used a 3rd party service to enter and transmit the return to the IRS, and eFilers were required to send the IRS copies of the W-2s and other documents with FITW and the taxpayers signature. Now one can do this from the desktop with electronic signatures while the taxpayer is in the office and eFilers now keep the signature form and withholding documents unless these items are requested by the IRS.

For each tax season, you also need to keep a log of the accepted DCN numbers by date. This log can be printed, or an electronic file, but you would need to keep this electronic file for the required time period. So unless your transmitter keeps these files and lets you access them after the end of the tax season, you should have a copy of this data available for the retention period.

[taxmandan]

Maybe I misunderstood the OP. The 8453 is no longer used for every e-filed return, the 8879 is the signature document and a copy is included with the client's copy of the return. The 8453 is used to reference certain tax issues where there would be an attached document like the Form 8332, or a Multiple support agreement, or the like. So it won't be necessary to print it with every tax return.

[MLINDER42]

one more thing

The only form you must give them is the 8879 they probably did not update the book when they made the pin method mandatory.No old 8453 since you must use pin method.

[dyne]

I printed out the current version of the IRS Pub 1345 which is revised 3-2009. On page
30 it says:"ERO's MUST retain the following material until the end of the calender year..."
..."A copy of the form 8453..." On page 31 it says:"A complete copy of a taxpayer's
return includes Form 8453..."
Drake Tax Software advised that there was an older form numbered 8453 which was
replaced by an entirely new form also numbered 8453. I find this confusing and would
appreciate any help. The present form 8453 in Drake Tax Software is used to select
WHICH returns are to be e-filed (federal, state, etc.)

[Jesse]

At one time I believe the Form 8453 required signature. As pointed out the Form 8879 has replaced this form, which you have the taxpayer sign and you retain the signed copy.

If instructions still say we are to print out the form 8453 and give it to each client as part of his or her tax return copy, I would think you need do this only if the Form 8453 is required, as when documents, for example the Form 8332, need to be sent to the IRS.

[AJsTax]

Huh?

Thank you Piglee but the IRS Pub 1345 specifically says that we are to print out the
form 8453 and give it to each client as part of his or her tax return copy. Presently,
we are not able to print this form 8453. I have advised Drake Tax Software suport of
this problem.

I do not understand yoiur comment. I print out a form for every client to sign and keep a signed copy as required. That file copy can be in digital format if you want to scan it into the document and save in DMS. There may be one simple switch you have to mark to print the form, but it is printed with every copy for me. from Drake.

WAIT a minute, THE 8879 is the form now, NOT the 8453. you must be reading an old copy. Has been for several years.

[MLINDER42]

One More Thing

The 8879 replaces the 8453 and that is what you give the client.You only need an 8453 when you must mail some thing to the IRS.

[dyne]

Thank you Piglee but the IRS Pub 1345 specifically says that we are to print out the
form 8453 and give it to each client as part of his or her tax return copy. Presently,
we are not able to print this form 8453. I have advised Drake Tax Software suport of
this problem.