What is Form 2848?
IRS Form 2848 is a tax document that taxpayers can use to authorize an agent to access their IRS records. It is also known as the taxpayer access authorization. Form 2848 requires you to appoint an agent who will have access to your sensitive tax information on behalf of you, the principal. In simple terms, Form 2848 enables a taxpayer to give another person (third party) legal access to their tax records. This third party can be an accountant, attorney, friend, or any other trusted individual whom the taxpayer charges with such information to help them file their taxes or address any questions they may have in relation.
The taxpayer must give this third party written permission (authorization) to do this. The signed form authorizes these individuals or entities as your agents and gives them authority — on your behalf —to review your confidential IRS documents and records stored in their system.
Who needs Form 2848?
Taxpayers unable to log in to their account and view their tax information may need to appoint a third-party agent to assist them in filing their taxes. These taxpayers may need to select an agent for the following reasons:
- If a taxpayer cannot access his account due to Identity theft.
- A taxpayer cannot access his account due to a forgotten username or password.
- If a taxpayer has misplaced his tax information, such as W-2 or 1099, or any other supporting documentation.
- If a taxpayer needs assistance filing taxes, such as an individual with a disability or an older adult who is not comfortable with computers.
Why is Form 2848 crucial?
When you appoint an individual or a firm as your tax agent, you give them access to sensitive information. These agents have access to your login information and can log in to your account to view information such as your W-2, 1099, and other tax forms stored in your account. They can also transmit data to the IRS on your behalf. However, the agent’s access to your information is limited to what is stated on Form 2848. Form 2848 is a critical document in taxpayer identity protection. You can protect your identity by appointing an agent to file your taxes because you are not giving out your sensitive information.
How to file Form 2848?
You can file Form 2848 online. Visit the IRS website and click on the “Begin Your Taxes” option. On the next page, click the “Select an agent to log into my account” option and follow the steps to appoint your tax agent. You can also file Form 2848 by downloading it from the IRS website. Follow these steps to download Form 2848. – Log in to the “IRS.gov” website. – Select “Tax Tools” from the drop-down menu. – Click on the “Forms” option. – Click on the “Forms on Paper” option to view a list of available IRS forms. – Select “Form 2848” from the list of available IRS forms. – Click “Print” to print the form.
Types of Agents Authorized in Form 2848
– Tax preparer – You can appoint a tax preparer to assist you with your taxes. Tax preparers are individuals or firms licensed by the IRS and authorized to represent taxpayers.
– Tax professional – You can appoint any professional, such as an attorney or an accountant, with a degree in accounting or law to assist you with your taxes.
– Representative – You can appoint an individual confirmed by the court to act on your behalf.
– Other – You can appoint any other person as your agent to assist you with your taxes.
Advantages of Using Form 2848
– Protecting Your Identity – By appointing an agent, you can protect your identity because you are not giving out your sensitive information.
– Easy To Use – With Form 2848, you can appoint any individual or a firm to assist you with your taxes.
– Flexible – The individual or the firm you appoint as your tax agent can either transmit your tax information to the IRS or get your tax details from you and then transmit the information to the IRS on your behalf. –
Easy To Revoke – You can revoke your agent’s authority anytime.
– Convenient – With Form 2848, you can appoint a tax agent to assist you anytime and anywhere.
– Easy To Amend – If you have forgotten to appoint an individual as your tax agent, you can amend Form 2848.
Disadvantages of Using Form 2848
– Less Privacy – When you appoint an agent to file your taxes, the individual or the firm you appoint has access to your sensitive information.
– Risk Of Errors – When you appoint an agent to file your taxes, there is a risk that the information that is filed with the IRS is incorrect.
– Risk Of Identity Theft – There is a risk that the individual or the firm you appoint as your tax agent could misuse your sensitive information and commit identity theft.
Form 2848 is a critical document in taxpayer identity protection. When you appoint an agent to file your taxes, you can protect your identity because you are not giving out your sensitive information. With Form 2848, you can nominate any individual or a firm to assist you with your taxes. There is a risk that the report filed with the IRS is incorrect when you appoint an agent to file your taxes. However, there is a risk that the individual or the firm that you designate as your tax agent could misuse your sensitive information and commit identity theft. There is a risk that the agent can misuse your sensitive data and share it with other individuals and firms with whom they have a business relationship.