IRS to eliminate third-party mailings from Form 4506 series

Overview

To better protect taxpayer data, the IRS recently announced several changes related to the security of tax transcripts, which are official summary records of taxpayer returns. These changes will affect third parties who use this process for income verification or other non-tax purposes.

Starting July 1, 2019, the IRS will eliminate the third-party mailing option from Form 4506, Request for Copy of Tax Return, Form 4506-T, Request for Transcript of Tax Return, and Form 4506-EZ, Short Form Request for Individual Tax Return Transcript. Both the IRS and the Treasury Inspector General for Tax Administration determined that the mail option presents a risk to sensitive taxpayer information. Tax transcripts will be mailed only to the taxpayer’s address of record. This change will NOT affect use of the IRS Data Retrieval Tool through the Free Application for Federal Student Aid (FAFSA) process.

Taxpayers and third-parties can get more information about IRS efforts to safeguard taxpayer transcripts at About the New Tax Transcript and the Customer File Number.

Alternatives for taxpayers

Taxpayers have multiple options for obtaining tax transcripts in addition to the Form 4506 series. They can go to https://www.irs.gov/transcript to use the Get Transcript Online or Get Transcript by Mail features. They can call 800-908-9946 to order a transcript for mail delivery. Transcripts are delivered within five to 10 days.

Alternatives for third parties

Third-party users may want explore alternatives, such as IRS e-Services or Income Verification Express Service (IVES). Authorized tax professionals may create accounts through IRS e-Services to use the Transcript Delivery Service. Other third-parties who need to verify income may consider the Income Verification Express Service (IVES) program, either by contracting with an existing IVES participant or becoming an IVES participant.