NCS Prepared for IRS Acceptance of Electronic Signature on 4506-T to Confirm Consumer Ability to Pay
Company’s years of advocacy with the IRS along with financial industry assistance helped move initiative towards expected January 2013 acceptance of electronic signature for the IRS form 4506-T.
Egg Harbor City, NJ — October 25, 2012 — National Credit-reporting System, Inc. (NCS), a full-service consumer reporting agency specializing in income, identity and credit intelligence, announced the expected commitment of the IRS accepting e-Signatures on the form 4506-T when requesting IRS tax transcripts for income verification, starting in January 2013.
The electronic execution of signatures will improve efficiencies for multiple industries, including mortgage finance, credit card and insurance, utilizing NCS’s solutions, such as TRV® Services in the evaluation of a consumer’s ability to pay. This will help to lower origination costs and speed loan closings for lenders.
According to an IRS communication this week to participants in its income verification express service (IVES), beginning January 2013, the IRS will give taxpayers the ability to execute a 4506-T request for tax return transcripts using e-signature technology. NCS executives, led by senior vice president Cecil Bowman, have presided over direct NCS and multiple financial industry discussions with the IRS to champion electronic signature of 4506-T requests. Bowman, a 35-year veteran of the IRS, is chair of the Mortgage Banker Association’s Form 4506-T Workgroup and also directs NCS’ advocacy efforts with governmental agencies.
Consumer satisfaction is expected to rise as the 4506-T may now be bundled with disclosures eligible for execution using electronic signatures. For conforming mortgages prior to this week’s announcement, the 4506-T was the final form in the initial set of consumer disclosures not eligible for electronic signature.
“This is most welcome news and builds on technology the IRS has deployed, such as the IVES program,” said Bob Knuth, president and CEO of NCS. “We can begin to offer e-Signature options to our clients, through NCS or an e-Signature provider already in use.”
National Credit-reporting System, Inc. (NCS), founded in 1978, is a full-service, consumer-reporting agency specializing in income, identity, and credit intelligence. NCS provides cutting-edge, superior quality, data-driven solutions that enable its clients to meet compliance requirements and minimize risk. In 1994, NCS became the nation’s first company to 4506-T solutions nationwide. Visit www.ncstrv.com or call 800.582.7066