Power of Attorney

[RWG1950]

Does naming a person as durable P/O/A and having legally executed such power of attorney give the attorney-in-fact
the legal right to file federal and/or state income tax returns on behalf of a taxpayer ?

[Rapid Robert]

Not directly, no. Just as with divorce decrees, a POA under the laws of a given state does not automatically override federal tax law. The IRS only recognizes its own special POA (Form 2848), and under that set-up, "The power to sign tax returns may only be granted in limited situations. See Line 5a. Additional Acts Authorized, later, for more information." If the taxpayer does not directly sign the Form 2848, there is a way to perfect a non-IRS power of attorney, but it still does not automatically grant signing authority for tax returns. There are other situations that get more complicated, such as court-appointed fiduciaries or guardians. There is an IRS pub somewhere that explains a lot of this, I don't remember the number.

edit: see Pub 947.

"Signing your return. The representative named under a power of attorney is not permitted to sign your income tax return unless:
1. The signature is permitted under the Internal Revenue Code and the related regulations (see Regulations section 1.6012-1(a)(5)), and
2. You specifically authorize this in your power of attorney."

Also,

"Procedure for perfecting a non-IRS power of attorney. Under the following conditions, the attorney-in-fact named in your non-IRS power of attorney can sign a Form 2848 on your behalf."