SECTION 11. PAPERWORK

REDUCTION ACT

The collection of information contained in this revenue procedure relating to undue hardship waiver requests has been reviewed and approved by the Office of Management and Budget in accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 3507(d)) under control number 1545–2201. The collection of information related to documenting a taxpayer’s choice to file in paper format was previously submitted to the Office of Management and Budget for review, see 75 F.R. 75439 for details, and approved by the Office of Management and Budget in accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 3507(d)) under control number 1545–2201. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless the collection of information displays a valid OMB control number.

The collection of information in this revenue procedure is in Sections 5 and 6. This information is required for a tax return preparer who meets the definition of specified tax return preparer to obtain an undue hardship waiver of the electronic filing requirement contained in section 6011(e)(3) and § 301.6011–7. This information will be used in exercising the IRS’s discretion to grant undue hardship waivers and approving or denying requests for such waivers based on the specified tax return preparer’s particular facts and circumstances, or for purposes of reconsidering an undue hardship waiver request that has been denied. The likely respondents are individuals and small businesses who prepare and file individual income tax returns as paid tax return preparers and who meet the definition of specified tax return preparer contained in section 6011(e)(3)(B) and § 301.6011–7(a)(3). The estimated total annual reporting and/or recordkeeping burden is 3,949 total hours for waiver requests for calendar year 2011, and 7,328 total hours for waiver requests for calendar year 2012.

sending, mailing or otherwise delivering of the paper tax return to the IRS by the preparer, any member, employee, or agent of the preparer, or any member, employee, or agent of the preparer’s firm. Section 301.6011–7(a)(4)(ii), however, provides that an individual income tax return will not be considered to be filed, as defined in § 301.6011–7(a)(4)(i), by a tax return preparer or specified tax return preparer if the tax return preparer or specified tax return preparer who prepared the return obtains, on or prior to the date the return is filed, a hand-signed (by either spouse if a joint return) and dated statement from the taxpayer that states the taxpayer chooses to file the return in paper format, and that the taxpayer, and not the preparer, is filing the paper return with the IRS ( e.g., submitting it by mail to the IRS).

.02 A tax return preparer or specified tax return preparer should document a taxpayer’s choice to file in paper format in the manner prescribed in this revenue procedure.

.03 A taxpayer’s choice to file an individual income tax return in paper format must be in writing, must affirm that the taxpayer is choosing to file the return in paper format, and must affirm that the taxpayer, and not the preparer, is filing the return ( e.g ., submitting it by mail to the IRS). This statement must be hand-signed and dated by the taxpayer (by either spouse if a joint return) on or before the date the taxpayer’s return is filed with the IRS. The choice to file in paper format is the taxpayer’s alone.

.04 If hand-signed and dated by the taxpayer on or before the date the subject individual income tax return is filed with the IRS, the following statement contained in the signed writing will be sufficient to show that a taxpayer chooses to file the taxpayer’s return in paper format and that the taxpayer, and not the tax return preparer or specified tax return preparer, will file the return:

My tax return preparer [INSERT PREPARER’S NAME] has informed me that [INSERT s/he] may be required to electronically file my [INSERT TAX YEAR] individual income tax return

[INSERT TYPE OF RETURN: Form 1040, Form 1040A, Form 1040EZ, Form 1041, Form 990–T] if [INSERT s/he] files it with the IRS on my behalf ( e.g., submits it by mail to the IRS). I

understand that electronic filing may provide a number of benefits to taxpayers, including an acknowledgement that the IRS received the returns, a reduced chance of errors in processing the returns, and faster refunds. I do not want to have my return electronically filed, and I choose to file my return on paper forms. I will mail or otherwise submit my paper return to the IRS myself. My preparer will not file or otherwise mail or submit my paper return to the IRS. .05 The statement containing the taxpayer’s choice to file in paper format should not be attached to the taxpayer’s individual income tax return. This statement should be retained by the tax return preparer.

.06 The burden of compliance with the electronic filing requirement contained in section 6011(e)(3) and § 301.6011–7 is on the tax return preparer and specified tax return preparer. Neither the fact that the IRS receives a taxpayer’s paper individual income tax return in the mail nor the fact that the tax return preparer’s or specified tax return preparer’s general business practice is to not mail paper individual income tax returns for clients necessarily establishes that the preparer did not file a particular individual income tax return with the IRS. If the tax return preparer or specified tax return preparer obtains a hand-signed and dated statement in compliance with the requirements established in this Section 9, the hand-signed statement will demonstrate compliance should the IRS question a preparer about the filing of a particular individual income tax return in paper format.

.07 An email message from the taxpayer is insufficient to demonstrate a taxpayer’s choice to file an individual income tax return in paper format. If sent as a scanned attachment to an email, however, a copy of a hand-signed and dated statement in compliance with § 301.6011–7(a)(4)(ii) and Section 9 of this revenue procedure will suffice to demonstrate compliance.

.08 This Section 9 does not apply either to individual income tax returns that meet, or to specified tax return preparers who meet, the criteria for an administrative exemption. See Section 4 above.

2011–17 I.R.B. 728 April 25, 2011