Federal Application for Filing Information Returns Electronically (FIRE)

Application for Filing Information Returns Electronically (FIRE)
Publication 4419 (Rev. 3-2008)
2

WHAT YOU

NEED
KNOW

For more information about obtaining a Home Mortgage
visit the Federal Reserve Website at:

This site contains helpful information on a variety of issues
dealing with the process of obtaining a mortgage.

IRS

Department of the Treasury
Internal Revenue Service

w w w . i r s . g o v

This consumer tax tip was brought to you by the Taxpayer Advocate Service. The Taxpayer
Advocate Service (TAS) is an independent organization within the IRS whose employees assist
taxpayers who are experiencing economic harm, who are seeking help in resolving tax problems
that have not been resolved through normal channels, or who believe that an IRS system or
procedure is not working as it should. If you believe you are eligible for TAS assistance, you
can reach TAS by calling the TAS toll-free case intake line at 1–877–777–4778 or TTY/TDD
1-800-829-4059.

Publication 4419 (Rev. 3-2008)
Catalog Number 39185Y

The Mortgage
Verification Process
Protect your Tax Information

CONSUMER TAX TIP

to

http://www.federalreserve.gov/consumerinfo/
mortgages.htm

DO NOT PRINT — DO NOT PRINT — DO NOT PRINT — DO NOT PRINT

What Is Mortgage Verification?
When closing on a loan for real property (house or home equity line of credit),
many lenders require borrowers to complete and sign Form 4506-T, Request
for Transcript of Tax Return. Once signed, this form allows the lender or
investor to get copies of return transcripts from the IRS, summarizing your
income and tax data, for as many as four years. Once you sign and date
the form, the lender can use it during the 60-day period following the date
of signing.
Income verification allows lenders to ensure that they are giving a loan based
on an accurate picture of the borrower’s income, which can help protect
both the lender and the borrower from default.

What Should You Do if Asked to Sign a Blank Form?
Before signing any documents in connection with a loan, make sure the documents are complete and that you read them carefully. Lenders will usually
include Form 4506-T, Request for Transcript of Tax Return in with the documents to be signed when closing on your loan (Form 4506, Request for Copy
of Tax Return and Form 8821, Tax Information Authorization may also be used
in place of Form 4506-T).

Caution! You may not be aware that by signing an undated form on which the
third party is not identified, your information may be obtained by any number of
entities with access to that form, at any time in the future.

How Can You Prevent Possible Misuse of Your Tax Information?
The best way to prevent misuse of your tax information is to limit who has
access to this information.
You should NEVER sign an incomplete form. Always fill in any blanks completely
and date the form before signing.

Request for Transcript of Tax Return

Department of the Treasury
Internal Revenue Service

Do not sign this form unless all applicable lines have been completed.
Read the instructions on page 2.
Request may be rejected if the form is incomplete, illegible, or any required
line was blank at the time of signature.
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OMB No. 1545-1872

Tip: Use Form 4506-T to order a transcript or other return information free of charge. See the product list below. You can also call 1-800-829-1040 to
order a transcript. If you need a copy of your return, use Form 4506, Request for Copy of Tax Return. There is a fee to get a copy of your return.
1a Name shown on tax return. If a joint return, enter the name shown first.

1b First social security number on tax return or
employer identification number (see instructions)

2a If a joint return, enter spouse’s name shown on tax return

2b Second social security number if joint tax return

3

Current name, address (including apt., room, or suite no.), city, state, and ZIP code

4

Previous address shown on the last return filed if different from line 3

5

If the transcript or tax information is to be mailed to a third party (such as a mortgage company), enter the third party’s name, address,
and telephone number. The IRS has no control over what the third party does with the tax information.

Caution: If a third party requires you to complete Form 4506-T, do not sign Form 4506-T if lines 6 and 9 are blank.

•
•
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(Line 5) Include the name of the lender you are authorizing to access
your information.

the following returns: Form 1040 series, Form 1065, Form 1120, Form 1120A, Form 1120H, Form 1120L, and Form 1120S.
Return transcripts are available for the current year and returns processed during the prior 3 processing years. Most requests
will be processed within 10 business days

b Account Transcript, which contains information on the financial status of the account, such as payments made on the account, penalty
assessments, and adjustments made by you or the IRS after the return was filed. Return information is limited to items such as tax liability
and estimated tax payments. Account transcripts are available for most returns. Most requests will be processed within 30 calendar days

(Line 6) Include the tax form number.
(Line 9) Fill in the tax years you are giving the lender permission to access.
(Sign Here) Sign the form.
(Date) Finally, be sure to date the authorization – once the authorization is
dated, the lender has only 60 days during which to access your information.

Transcript requested. Enter the tax form number here (1040, 1065, 1120, etc.) and check the appropriate box below. Enter only one tax
form number per request. �
a Return Transcript, which includes most of the line items of a tax return as filed with the IRS. Transcripts are only available for

c Record of Account, which is a combination of line item information and later adjustments to the account. Available for current year
and 3 prior tax years. Most requests will be processed within 30 calendar days
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Verification of Nonfiling, which is proof from the IRS that you did not file a return for the year. Most requests will be processed
within 10 business days

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Form W-2, Form 1099 series, Form 1098 series, or Form 5498 series transcript. The IRS can provide a transcript that includes data from
these information returns. State or local information is not included with the Form W-2 information. The IRS may be able to provide this
transcript information for up to 10 years. Information for the current year is generally not available until the year after it is filed with the IRS.
For example, W-2 information for 2003, filed in 2004, will not be available from the IRS until 2005. If you need W-2 information for retirement
purposes, you should contact the Social Security Administration at 1-800-772-1213. Most requests will be processed within 45 days

Caution: If you need a copy of Form W-2 or Form 1099, you should first contact the payer. To get a copy of the Form W-2 or Form 1099
filed with your return, you must use Form 4506 and request a copy of your return, which includes all attachments.
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Year or period requested. Enter the ending date of the year or period, using the mm/dd/yyyy format. If you are requesting more than four
years or periods, you must attach another Form 4506-T. For requests relating to quarterly tax returns, such as Form 941, you must enter
each quarter or tax period separately.

/

/

/

/

/

/

/

/

Signature of taxpayer(s). I declare that I am either the taxpayer whose name is shown on line 1a or 2a, or a person authorized to obtain the tax
information requested. If the request applies to a joint return, either husband or wife must sign. If signed by a corporate officer, partner,
guardian, tax matters partner, executor, receiver, administrator, trustee, or party other than the taxpayer, I certify that I have the authority to
execute Form 4506-T on behalf of the taxpayer.
Telephone number of taxpayer on
line 1a or 2a

Sign
Here

�
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(
Signature (see instructions)

)

Date

Title (if line 1a above is a corporation, partnership, estate, or trust)
Spouse’s signature

For Privacy Act and Paperwork Reduction Act Notice, see page 2.

Date
Cat. No. 37667N

Form

4506-T

(Rev. 4-2006)

SAMPLE FORM 4506-T Fill in the highlighted areas

CHOOSE ONE

The problem with mortgage verification is that many borrowers are asked
to sign blank forms which do not specify who will have access to their tax
information and which years the lender can access. Additionally, many borrowers are asked to sign, but not date the form – allowing lenders to use the
form for longer than the 60 days.

4506-T

(Rev. April 2006)

If you are given a blank form to sign:
Fill in the form completely before signing.

What are the Potential Problems with Mortgage Verification?

Form

requested