You can keep e-signing many of your IRS forms through the end of 2021, the IRS has announced. Plus, more forms have been added to that list.
In April 2021, the IRS announced it will allow digital signatures on certain forms that can’t be filed electronically. Before the pandemic, it was mainly Form 1040 for individual income tax returns that allowed for electronic signatures and e-filing electronically. At this point, more than 90% of Form 1040s are filed this way. While many other tax forms still cannot be e-filed in the same way, the growing list of those that temporarily allow electronic signatures removes a cumbersome in-person step between taxpayers and their tax preparers.
According to the IRS, the following forms can be digitally signed if they are postmarked from August 28, 2020, through December 31, 2021:
- Form 11-C, Occupational Tax and Registration Return for Wagering
- Form 637, Application for Registration (For Certain Excise Tax Activities)
- Form 706, U.S. Estate (and Generation-Skipping Transfer) Tax Return
- Form 706-A, U.S. Additional Estate Tax Return
- Form 706-GS(D), Generation-Skipping Transfer Tax Return for Distributions
- Form 706-GS(D-1), Notification of Distribution from a Generation-Skipping Trust
- Form 706-GS(T), Generation-Skipping Transfer Tax Return for Terminations
- Form 706-QDT, U.S. Estate Tax Return for Qualified Domestic Trusts
- Form 706 Schedule R-1, Generation Skipping Transfer Tax
- Form 706-NA, U.S. Estate (and Generation-Skipping Transfer) Tax Return
- Form 709, U.S. Gift (and Generation-Skipping Transfer) Tax Return
- Form 730, Monthly Tax Return for Wagers
- Form 1066, U.S. Income Tax Return for Real Estate Mortgage Investment Conduit
- Form 1120-C, U.S. Income Tax Return for Cooperative Associations
- Form 1120-FSC, U.S. Income Tax Return of a Foreign Sales Corporation
- Form 1120-H, U.S. Income Tax Return for Homeowners Associations
- Form 1120-IC DISC, Interest Charge Domestic International Sales – Corporation Return
- Form 1120-L, U.S. Life Insurance Company Income Tax Return
- Form 1120-ND, Return for Nuclear Decommissioning Funds and Certain Related Persons
- Form 1120-PC, U.S. Property and Casualty Insurance Company Income Tax Return
- Form 1120-REIT, U.S. Income Tax Return for Real Estate Investment Trusts
- Form 1120-RIC, U.S. Income Tax Return for Regulated Investment Companies
- Form 1128, Application to Adopt, Change or Retain a Tax Year
- Form 2678, Employer/Payer Appointment of Agent
- Form 3115, Application for Change in Accounting Method
- Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts
- Form 3520-A, Annual Information Return of Foreign Trust with a U.S. Owner
- Form 4421, Declaration – Executor’s Commissions and Attorney’s Fees
- Form 4768, Application for Extension of Time to File a Return and/or Pay U.S. Estate (and Generation-Skipping Transfer) Taxes
- Form 8038, Information Return for Tax-Exempt Private Activity Bond Issues
- Form 8038-G, Information Return for Tax-Exempt Governmental Bonds
- Form 8038-GC Information Return for Small Tax-Exempt Governmental Bond Issues, Leases, and Installment Sales
- Form 8283, Noncash Charitable Contributions
- Form 8453 series, Form 8878 series, and Form 8879 series regarding IRS e-file Signature Authorization Forms and
- Form 8802, Application for U.S. Residency Certification
- Form 8832, Entity Classification Election
- Form 8971, Information Regarding Beneficiaries Acquiring Property from a Decedent
- Form 8973, Certified Professional Employer Organization/Customer Reporting Agreement
- Elections made pursuant to Internal Revenue Code section 83(b)
Will the changes extend beyond 2021? They might. The IRS states, “we will continue to review our processes to determine where long-term actions can help reduce burden for the tax community, while appropriately balancing that with critical security and protection against identity theft and fraud.”
Theft and fraud are big issues that shouldn’t be taken lightly. It’s important to remember to stay vigilant when e-signing documents. Your paid tax preparer’s signature and Preparer Tax ID Number (PTIN) are necessary on tax returns. Be skeptical when told otherwise. Other tax forms will ask for at least the tax preparer’s contact information—which they should fill in before you e-sign. For more on the problems that can happen when tax preparers don’t identify themselves on tax forms, read this. And for any other questions, feel free to contact us.