A 4506 tax form is required when taxpayers need to obtain copies of previously filed returns. Request for tax returns can also be submitted by authorized third parties to obtain tax records or transcripts on behalf of clients. These might include probate executors, mortgage lenders, credit unions, lawyers, banks or certified public accountants.
When third parties submit 4506 tax form requests they must follow IRS codes outlined in section 6103(e). This section of Internal Revenue Code addresses confidentiality laws and provides protocol for obtaining returns of dissolved corporations.
Taxpayers and authorized agents use IRS tax form 4506 to obtain all variations of prior filed returns including 706, 941, 1120 and 1040. Submitted forms may also include requests for any attachments included with each year’s return. Attachments include W-2s, 1099s, itemized schedules and tax amendments.
A separate IRS 4506 must be submitted for each requested return. For example, if taxpayers require filed returns for 2005, 2006 and 2007, a 4506 tax form is required for each year.
The Internal Revenue Service currently charges $57 per requested return. Accepted forms of payment include money orders and personal or business checks. Financial instruments should be made payable to ‘United States Treasury’ and include taxpayers social security or employer identification number.
The IRS requires taxpayers to include “form 4506 request” in the memo section of the check or money order along with a letter stating which years’ documents are being requested.
Tax transcripts are available at no charge. Transcripts are summarized statements which include taxpayers’ gross income, adjusted gross income, amount of tax overpayment, or taxes owed for each year.
Two options exist for obtaining tax transcripts. Taxpayers can contact the IRS by phone or submit form 4506-T. Tax summaries are an efficient way to obtain required documents and usually arrive within ten business days. Summaries typically meet financial requirements of mortgage lenders and student loan providers.
The Internal Revenue Service restricts the number of transcripts to the current and previous three years of filed returns. Should taxpayers require more than four years of transcripts they must submit tax form 4506 and pay for a full return. A fee of $57 is applied for each requested tax return.
Taxpayers and corporations filing for bankruptcy protection are required to provide income tax return transcripts to the court. New bankruptcy laws enacted in 2005 require debtors to submit copies of past due, amended and current returns before bankruptcy confirmation can occur.
The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) stipulate debtors must submit tax return documents to bankruptcy courts seven days prior to their 341 creditor meeting.
Individuals requiring tax summaries to comply with BAPCPA regulations should submit tax form 4506 at least 90 days prior to needing them. The IRS is notorious for moving slowly. Do not place the opportunity for debt relief at risk by not having required tax documents.
4506 tax form and 4506-T can be downloaded via the Internal Revenue Service website at irs.gov at no charge.
