SECTION 5. SCOPE OF

REPORTING AGENT AUTHORIZATION

.01 The scope of an Authorization for the magnetic tape or electronic filing of forms listed on Form 8655 is as follows:

(1) a taxpayer may authorize an Agent to sign and file all or any of the forms listed on Form 8655 on magnetic tape or electronically on the taxpayer’s behalf; and

(2) a taxpayer may authorize an Agent to receive copies of notices, correspondence, and transcripts or other information with respect to such returns filed by the Agent.

.02 The scope of an Authorization for making FTD payments and submitting FTD information on magnetic tape or electronically is as follows:

(1) a taxpayer may authorize an Agent to prepare and make FTD payments and submit FTD information on magnetic tape or electronically on the taxpayer’s behalf;

(2) a taxpayer who is not required, pursuant to § 6302(h) and the regulations thereunder, to make FTD payments through the EFT system may select the method for submission of FTD information (magnetic tape or electronic);

(3) an Agent must make FTD payments and submit payment information through the EFT system for a taxpayer that is mandated to make FTD payments and submit FTD information through the EFT system pursuant to § 6302(h), regardless of the taxpayer’s designation to the contrary; and

(4) an Authorization that authorizes an Agent to make FTD payments only entitles the Agent to receive copies of FTD-related notices and correspondence for the taxpayer. Such an Authorization also permits an Agent to request information or submit infor

mation on the deposits submitted by the Agent, including any penalties that may result from such deposits.

.03 An Authorization becomes effective for the tax period designated by the Agent and taxpayer, and remains in effect for subsequent periods until revoked by the taxpayer, terminated by the Agent, or terminated by the Service, subject to the following:

(1) in the case of an Agent making an FTD payment on behalf of a taxpayer, the Authorization must be received by the Service prior to the Agent’s making the FTD payment and submitting the FTD information on magnetic tape or electronically; and

(2) in the case of an Agent filing a return on behalf of a taxpayer, the Service must accept the Authorization and Agent’s List (as set forth in the magnetic tape or electronic filing revenue procedure for the relevant return) before an Agent may file any returns. See section 9 of this revenue procedure for a list of other applicable revenue procedures.

.04 A new Authorization must be submitted for any increase or decrease in the scope of an Authorization between an Agent and the taxpayer. Receipt by the Service of a new Authorization revokes all prior Authorizations by the taxpayer but has no effect on any other power of attorney or authorization.

.05 An Authorization filed under this revenue procedure does not constitute the appointment of a recognized representative as described in § 601.502 of the Statement of Procedural Rules.

.06 An Authorization does not absolve the taxpayer of the responsibility to ensure that all tax returns are filed and all taxes are paid on time.

.07 An Agent may use an Authorization to file paper forms listed on Form 8655 only under the following circumstances:

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

(2) the amendment of returns filed under the magnetic tape/electronic filing programs referenced in section 9 of this revenue procedure;

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

(4) a request by the magnetic tape/electronic filing coordinator for an Agent participating in a magnetic tape/

electronic filing program referenced in section 9 of this revenue procedure to file paper returns.

.08 An Agent may prepare a paper tax return for the taxpayer’s signature. A taxpayer’s authorized representative that is not an Agent participating in a program covered by the Form 8655 (including a suspended Agent) must have a valid power of attorney in accordance with § 601.504(6) (usually Form 2848, Power of Attorney and Declaration of Representative) in order to sign and file a paper tax return on behalf of a taxpayer.

.09 Each paper tax return must be signed by the taxpayer, the taxpayer’s authorized representative, or a participating Agent, to the extent permitted in section 5.07 of this revenue procedure.

.10 A copy of each Authorization should be kept at the Agent’s principal place of business for examination by the Service until the statute of limitations for the last return filed under that Authorization expires.