Beginning with filing season 2009, preparers are required to follow IRS Regulation 7216 regarding the use and disclosure of their clients' tax information. This regulation strengthens taxpayers' ability to control their tax information and to make informed decisions regarding the preparer's use of that information. Tax preparers who fail to comply with this regulation face a $1,000 fine and one year in jail for each violation.
Consent to Use of Tax Return Information
As a tax preparer, you are required to have the client's permission to use his or her tax information for purposes other than preparing and filing the tax return (such as determining whether bank or other financial products may be available to the client). The Consent to Use of Tax Return Information explains this requirement and must be signed before the return is prepared.
Consent to Disclosure of Tax Return Information
As a tax preparer, you are required to have the client's permission to disclose his or her tax return information to third parties (such as to banks for bank products, or to service bureaus or franchisors). The Consent to Disclosure of Tax Return Information must be signed before sending the return to the designated third party.
Sample Letters
Consent to Use of Tax Return Information
Consent to Disclosure of Tax Return Information
Consent Forms for Bank Products
Chase Disclosure
Republic Disclosure
River City Disclosure
SB Disclosure
e-Collect Consent to Use
Bank Product with E1 Visa Card Consent to Use
Bank Product with E1 Visa Card Disclosure