SECTION 11. PAPER RETURNS

.01 An Agent may use a Mag Tape Program Authorization to file paper Forms 941, 940, or 945 only under the following circumstances:

(1) the late receipt of payroll or withholding information from a taxpayer that would jeopardize the timely submission of the taxpayer’s return;

(2) the amendment of returns filed under the Mag Tape Programs;

(3) the rejection of a magnetic tape filing that would jeopardize the timely submission of the taxpayer’s return; or

(4) a request by the Coordinator for an Agent participating in a Mag Tape Program to file paper returns instead of magnetic tape.

.02 An Agent without a valid power of attorney may prepare a paper return for the taxpayer’s signature. A taxpayer’s authorized representative that is not an Agent participating in a Mag Tape Program (including a suspended Agent) must have a valid power of attorney (usually a Form 2848, Power of Attorney and Declaration of Representative) that authorizes the Agent to sign and file a paper return on behalf of a taxpayer.

.03 Each paper return must be signed by the taxpayer, the taxpayer’s authorized representative, or a participating Agent, to the extent permitted by section 11.01 of this revenue procedure.