E-Filing and Reporting Agent Authorization Process #
Overview #
This knowledge base article provides comprehensive guidance on the process of becoming an authorized e-file provider and a reporting agent for tax-related services. It covers the necessary steps to complete and submit Form 8655 for each client, as well as the application process for the IRS e-file program.
Table of Contents #
- Completing and Submitting Form 8655
- Applying for the IRS e-file Program
- Definitions of Preparers, Agents, and Transmitters
- Troubleshooting
- Additional Resources
Completing and Submitting Form 8655 #
Steps to Complete Form 8655 #
- Access Form 8655 from the IRS website or through your ProPay payroll software.
- Fill in the required information, following the instructions on page 2 of the form.
- Pay special attention to Line 15, where you indicate the tax returns you will be filing as a reporting agent for your client.
- Enter the first tax year (YYYY) you will start e-filing for Form 940 and Form 944.
- Enter the ending month of the first quarter (MM/YYYY) you will start e-filing for Form 941.
- Have your client (the taxpayer) sign and date the form.
Submitting Form 8655 #
- Print the completed forms.
- Prepare a list of your clients, including their business names and EINs.
- Submit the forms and client list to the IRS by fax or mail:
- Fax: 855-214-7523
- Mail:
Internal Revenue Service
Accounts Management Service Center
MS 6748 RAF Team
1973 North Rulon White Blvd.
Ogden, UT 84404
Applying for the IRS e-file Program #
The application process consists of three phases:
Phase 1: Create an IRS e-Services Account #
- Provide personal information (legal name, SSN, birth date, phone number, email, and home address).
- Enter your Adjusted Gross Income from the current or prior tax year.
- Create a username, password, and PIN.
- Provide an answer to a reminder question for your username.
- Ensure all principals and responsible officials in your firm sign up for e-Services.
- Confirm your registration within 28 days of receiving the confirmation code by mail.
Phase 2: Submit Your Application #
- Log in to e-Services and access the online application.
- Select your e-file provider option (Electronic Return Originator for those who want to e-file for clients).
- Enter firm and personal identification information for all principals and responsible officials.
- Provide professional status information if applicable.
- Request fingerprint cards for principals or responsible officials who are not attorneys, CPAs, enrolled agents, officers of publicly owned corporations, or bonded bank officials.
- Submit completed fingerprint cards to the IRS.
Phase 3: Pass a Suitability Check #
The IRS will conduct background checks on your firm and all listed principals and responsible officials. Upon approval, you will receive an acceptance letter with your Electronic Filing Identification Number (EFIN).
Definitions of Preparers, Agents, and Transmitters #
- Electronic Return Originator (ERO): Originates the electronic submission of tax returns to the IRS.
- Intermediate Service Provider: Assists with processing return information between an ERO and a Transmitter, or between a taxpayer and a Transmitter for Online Filing.
- Reporting Agent: Originates electronic submission of certain returns for clients and/or transmits returns to the IRS. Must comply with Rev. Proc. 2007-38 and submit Form 8655.
- Transmitter: Sends electronic return data directly to the IRS. May be an ERO, Reporting Agent, or third-party service.
Troubleshooting #
Common Issues and Solutions #
- e-Services Account Creation Delay
- Solution: Allow up to 28 days for account confirmation. If not received, contact IRS e-Services support.
- Form 8655 Rejection
- Solution: Double-check all information, especially Line 15. Ensure the form is signed and dated by the authorized individual.
- e-file Application Processing Delay
- Solution: The process can take up to 45 days. If it exceeds this timeframe, contact the IRS for status update.
- EFIN Not Received After Approval
- Solution: Check your e-Services account for any pending actions. If none, contact IRS e-file support.
Additional Resources #
- IRS e-file Provider Page
- IRS Publication 3112: IRS e-file Application and Participation
- ProPay Software Help Menu
For further assistance, please consult the ProPay software help menu or visit our website at https://www.paysoft.com.
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