SECTION 4. DEFINITIONS

.01 Reporting Agent . A Reporting Agent (“Agent”) is an accounting service, franchiser, bank, service bureau, or other entity authorized to perform one or more of the following acts on behalf of a taxpayer:

(1) Sign and file on magnetic tape or electronically Form 940 and Form 941.

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appointment of a recognized representative as described in section 601.502 of the Statement of Procedural Rules.

.06 An Authorization does not relieve the taxpayer of the responsibility to ensure that all tax returns are filed timely; all FTPs are made timely; and any taxes, required to be deposited, are deposited timely.

.07 An Agent may use an Authorization to file paper forms listed on Form 8655 on behalf of a taxpayer only if—

(1) The late receipt of payroll information from a taxpayer has jeopardized the timely submission of the taxpayer’s return;

(2) The paper forms amend returns filed under the magnetic tape or electronic filing programs referenced in section 9 of this revenue procedure;

(3) The rejection of a magnetic tape/electronic filing has jeopardized the timely submission of the taxpayer’s return;

(4) The forms are listed in section 4.01(2) of this revenue procedure; or (5) 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 has requested paper returns.

.08 An Agent covered by Form 8655 may prepare a paper tax return for the taxpayer’s signature. A taxpayer’s authorized representative that is not an Agent covered by Form 8655 must have a valid power of attorney in accordance with section 601.504(6) of the Statement of Procedural Rules (usually Form 2848, Power of Attorney and Declaration of Represen- tative ) to sign and file a paper tax return on behalf of the taxpayer.

.09 Each paper tax return must be signed by the taxpayer, by the taxpayer’s authorized representative, or by an Agent permitted in section 5.07 of this revenue procedure to file returns on behalf of the taxpayer.

.10 The Agent must keep a copy of each Authorization at the Agent’s principal place of business for examination by the Service until the period of limitations for assessment for the last return filed under that Authorization expires.

(2) A taxpayer may authorize an Agent to receive duplicate copies of notices, correspondence, deposit requirements, tax rates, transcripts or other information with respect to the returns filed by the Agent.

(3) An Authorization that permits an Agent to make returns also permits an Agent to request information or submit information on the returns filed by the Agent, including any information concerning penalties that may arise from the returns. It further permits the Agent to provide information that will assist the Service in determining whether it would be appropriate to grant relief from any penalties that may arise from the returns.

(4) An Authorization does not permit the Agent to request the abatement of any penalties that may arise from the returns filed by the Agent or in any other way to perform any acts that constitute representation of the taxpayer as set forth in section 601.501(b)(13) of the Statement of Procedural Rules.

.02 The scope of an Authorization for making FTDs and FTPs and submitting FTD information and FTP information electronically is as follows:

(1) A taxpayer may authorize an Agent to prepare and make FTDs and FTPs for any taxes reported on any of the forms listed on Form 8655 and submit FTD information and FTP information electronically on the taxpayer’s behalf.

(2) Regardless of the taxpayer’s designated method, an Agent must make FTD payments and submit payment information through the EFTPS system for a taxpayer that is required to make FTD payments and submit FTD information through the EFTPS system pursuant to section 6302(h) of the Code.

(3) A taxpayer may authorize an Agent to receive duplicate copies of notices and correspondence for FTDs and FTPs made by the Agent for the taxpayer.

(4) An Authorization that permits an Agent to make FTDs and FTPs also permits the Agent to request information or submit information on the FTDs and FTPs submitted by the Agent, including any information concerning penalties that may arise from the FTDs and FTPs. It further permits the Agent to provide information that will assist the Service in determining whether it would be appropriate to grant relief from any penalties that may arise from the FTDs or FTPs.

(5) An Authorization does not permit the Agent to request the abatement of any penalties that may arise from the FTDs or FTPs submitted by the Agent or in any other way to perform any acts that constitute representation of the taxpayer as set forth in section 601.501(b)(13) of the Statement of Procedural Rules.

.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 filing a return on behalf of a taxpayer, the Service must accept the Authorization and Agent's List before the Agent may file the return.

(2) In the case of an Agent using EFTPS to make a FTD or FTP on behalf of a taxpayer, the Agent must comply with the requirements of Rev. Proc. 98–32, 1998–1 C.B. 935, before the Agent may make the FTD or FTP and submit the FTD information or FTP information electronically.

(3) 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 the authority of an Agent to act on behalf of the taxpayer, or if the taxpayer appoints a new Agent. Receipt by the Service of a new Authorization terminates the authority of the prior Agent to file tax returns and make FTDs or FTPs for tax periods beginning on or after the effective date of the new Authorization. A new Authorization also terminates the authority of the prior Agent to receive duplicate copies of notices. The prior Agent, however, may present information regarding taxpayer accounts for the tax periods beginning before the effective date of the new Authorization, and the Service may disclose otherwise confidential tax information relating to the returns filed by the Agent or relating to FTDs and FTPs made by the Agent, unless the taxpayer specifically revokes the prior Agent's authorization to present information and receive otherwise confidential tax information relating to the returns filed by the Agent or relating to the FTDs and FTPs made by the Agent.

.05 An Authorization filed under this revenue procedure does not constitute the

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.02 The principal author of this revenue procedure is Michael Hara of the Office of Associate Chief Counsel (Procedure and Administration), Administrative Provisions and Judicial Practice Division. Mr. Hara may be contacted at (202) 622–4910 (not a toll-free number).