Department of the Treasury Contents

Internal Revenue Service Important Changes ......................... 1

Important Reminders ....................... 2

Publication 947 Introduction .............................. 2

(Rev. April 2002)

Cat. No. 13392P Practice Before the IRS ..................... 2

What Is Practice Before the IRS? ............ 3

Who Can Practice Before the IRS? ........... 3

Practice Representation Outside the United

States .......................... 4

Authorization for Special Before Appearances ..................... 4

Who Cannot Practice Before the IRS? ........ 4

How Does an Individual Become Enrolled? ..... 4

the IRS and What Are the Rules of Practice? ............. 5

Duties ............................. 5

Power of Restrictions ......................... 5

Disreputable Conduct .................. 6

Reprimands, Disbarments, and Attorney Suspensions ..................... 6

Authorizing a Representative ................. 6

What Is a Power of Attorney? ............... 7

When Is a Power of Attorney Required? ....... 7

Form Required ....................... 7

Preparation of Form — Helpful Hints ...... 8

Where To File a Power of Attorney ........ 9

When Is a Power of Attorney Not Required? .... 10

How Do I Fill Out Form 2848? .............. 12

What Happens to the Power of Attorney

When Filed? ......................... 13

Processing and Handling ............... 13

Dealing With the Representative ......... 13

How To Get Tax Help ....................... 16

Glossary ................................. 18

Index .................................... 19

Important Changes

Third party designee. An individual can now allow the

IRS to discuss his or her tax return with a friend, family

member, or any other person by checking the Yes box in

the third party designee area of the return. See Third party

designee under When Is a Power of Attorney Not Required, later.

Oral authorization. An individual can now allow the IRS

to disclose tax returns and return information to a third

party by oral authorization. For more information, see Nonwritten consents under When Is a Power of Attorney Not

Required, later.

Renewal of enrolled agent status. Enrolled agent cards

expire on March 31, 2002. However, the Director of Practice has extended all current enrollment cards until April

30, 2002.
Practitioners’ hotline. The new Practitioner Priority Ser- Comments and suggestions. We welcome your comvice is a nationwide, toll-free hotline that provides profes- ments about this publication and your suggestions for

sional support to practitioners with account-related future editions.

questions. This service is available weekdays from 7:30 You can e-mail us while visiting our web site at a.m. to 5:30 p.m. local time. The toll-free number for this www.irs.gov. service is 1-866-860-4259. You can write to us at the following address:

Internal Revenue Service

Technical Publications Branch Important Reminders W:CAR:MP:FP:P

1111 Constitution Ave. NW Confidentiality privilege expanded. The confidentiality Washington, DC 20224 protection for communications between a taxpayer and an

attorney (privileged communications) has been expanded

to apply to communications involving tax advice between a We respond to many letters by telephone. Therefore, it taxpayer and any federally authorized tax practitioner. For would be helpful if you would include your daytime phone more information, see Confidentiality privilege under What number, including the area code, in your correspondence. Are the Rules of Practice, later.

Form 8821. Form 8821, Tax Information Authorization, Useful Items

can only be used to authorize disclosure of tax information You may want to see: to a third party. See When Is a Power of Attorney Not

Required, later. To appoint a representative, use Form Publication

2848, Power of Attorney and Declaration of Representa- ❏ 1 Your Rights as a Taxpayer tive.

Non-IRS powers of attorney. A general, durable, or lim- Form (and Instructions)

ited power of attorney will be accepted by the IRS if it ❏ 2848 Power of Attorney and Declaration of satisfies the same requirements stated in Form 2848. If the Representative non-IRS power of attorney does not contain all the required

information, the attorney-in-fact (the representative) ap- ❏ 8821 Tax Information Authorization

pointed by the non-IRS power of attorney may be able to

add the missing information by attaching a Form 2848. See

Non-IRS powers of attorney under When Is a Power of Ordering publications and forms. See How To Get Tax

Attorney Required, later. Help, near the end of this publication, for information about

getting publications and forms. Facsimile copies. The IRS will accept a power of attorney that is submitted by facsimile transmission (fax) if the

appropriate IRS office is equipped to receive it. Practice Before the IRS

Terms you may need to know

Introduction (see Glossary):

This publication discusses who can represent a taxpayer

before the IRS and what forms or documents are used to Enrolled agent

authorize a person to represent a taxpayer. Usually, attor- Practitioner neys, certified public accountants (CPAs), enrolled agents,

and enrolled actuaries can represent taxpayers before the Recognized representative

IRS. Under special circumstances, other individuals, including unenrolled return preparers, can represent taxpayers before the IRS. For details regarding taxpayer The Director of Practice is responsible for administering

representation, see Who Can Practice Before the IRS, and enforcing the regulations governing practice before

later. This publication also contains a Glossary that de- the IRS. These regulations are published in pamphlet form

as Treasury Department Circular No. 230. The Director’s fines certain professional titles as well as various terms. responsibility includes making determinations on applica- Also covered is the use of Form 8821 to authorize an tions for enrollment to practice before the IRS and con- individual or certain entities to receive and inspect a ducting disciplinary proceedings relating to those eligible taxpayer’s confidential tax information. See Disclosure of to practice. tax return information under When Is a Power of Attorney To get a copy of Treasury Department Circular No. 230, Not Required, later. Regulations Governing the Practice of Attorneys, Certified

Public Accountants, Enrolled Agents, Enrolled Actuaries,

Definitions. Many of the terms used in this publication, and Appraisers before the Internal Revenue Service visit

such as enrolled agent and practitioner are defined in the the IRS web site at www.irs.gov. Select Tax Professionals

Glossary at the back of this publication. and then Enrolled Agents.

Page 2
What Is Practice Before the IRS? the IRS and is not permitted to represent taxpayers before

the Appeals, Collection, or any other function of the IRS.

Practice before the IRS covers all matters relating to any of Unenrolled return preparers cannot perform the follow- the following. ing activities for another taxpayer.

• Communicating with the IRS for a taxpayer regard- • Sign claims for refund. ing the taxpayer’s rights, privileges, or liabilities

under laws and regulations administered by the IRS. • Receive refund checks.

• Representing a taxpayer at conferences, hearings, • Sign consents to extend the statutory period for asor meetings with the IRS. sessment or collection of tax.

• Preparing and filing necessary documents with the • Sign closing agreements regarding a tax liability.

IRS for a taxpayer. • Sign waivers of restriction on assessment or collecJust preparing a tax return, furnishing information at the tion of a tax deficiency.

request of the IRS, or appearing as a witness for the For more information on these limits, see Revenue Proce- taxpayer is not practice before the IRS. These acts can be dure 81–38. performed by anyone to the extent provided by the regulations governing practice before the IRS. Practice denied. Any individual engaged in limited

practice before the IRS who is involved in disreputable

conduct is subject to disciplinary action. Disreputable con- Who Can Practice Before the IRS? duct includes, but is not limited to, the list of items under

Disreputable Conduct shown later under What Are the Any of the following individuals can practice before the Rules of Practice. IRS. However, any individual who is recognized to practice

(a recognized representative) must file a written declaration with the IRS stating that he or she is authorized and Other unenrolled individuals. Because of their special

qualified to represent a particular taxpayer. Part II of Form relationship with a taxpayer, the following unenrolled indi2848 is a declaration that can be used for this purpose. viduals can represent the specified taxpayers before the

IRS, provided they present satisfactory identification and, Attorneys. Any attorney who is not currently under sus- except in the case of an individual described in (1) below, pension or disbarment from practice before the IRS and proof of authority to represent the taxpayer. who is a member in good standing of the bar of the highest

court of any state, possession, territory, commonwealth, or 1) An individual. An individual can represent himself or of the District of Columbia may practice before the IRS. herself before the IRS and does not have to file a

Certified public accountants (CPAs). written declaration of qualification and authority. Any CPA who is

not currently under suspension or disbarment from prac- 2) A family member. An individual can represent mem- tice before the IRS and who is duly qualified to practice as bers of his or her immediate family. Immediate family a CPA in any state, possession, territory, commonwealth, means a spouse, child, parent, brother, or sister of or in the District of Columbia may practice before the IRS. the individual.

Enrolled agents. Any enrolled agent in active status may 3) An officer. A bona fide officer of a corporation (inpractice before the IRS. cluding a parent, subsidiary, or other affiliated corporation), association, or organized group can Enrolled actuaries. Any individual who is enrolled as an represent the corporation, association, or organized actuary by the Joint Board for the Enrollment of Actuaries group. An officer of a governmental unit, agency, or may practice before the IRS. The practice of enrolled authority, in the course of his or her official duties, actuaries is limited to certain Internal Revenue Code sec- can represent the organization before the IRS. tions that relate to their area of expertise, principally those

sections governing employee retirement plans. 4) A partner. A general partner can represent the partnership before the IRS.

Unenrolled return preparers. Any individual other than 5) An employee. A regular full-time employee can an attorney, CPA, enrolled agent, or enrolled actuary who represent his or her employer. An employer can be, prepares a return and signs it as the return preparer is an but is not limited to, an individual, partnership, corpo- unenrolled return preparer. Also, any individual who ration (including a parent, subsidiary, or other affili- prepares a return and is not required to sign it as the

preparer is considered to be an unenrolled preparer. ated corporation), association, trust, receivership,

Unenrolled return preparers are limited in their practice guardianship, estate, organized group, governmental

before the IRS. unit, agency, or authority.

Limited practice. An unenrolled return preparer may 6) A fiduciary. A fiduciary (trustee, executor, adminisrepresent the taxpayer only concerning the tax liability for trator, receiver, or guardian) stands in the position of

the year or period covered by the return that he or she a taxpayer and acts as the taxpayer, not as a repreprepared. The unenrolled return preparer is only permitted sentative. See Fiduciary under When Is a Power of

to represent taxpayers before the examination function of Attorney Not Required, later.

Page 3
Representation Outside the United States Inactive roster. An enrolled agent will be placed on the

roster of inactive enrolled individuals for a period of

An unenrolled individual can represent any individual or three years, if he or she:

entity before IRS personnel who are outside the United • Fails to respond timely to the notice of noncompli- States. ance with the renewal requirements,

• Fails to file timely the application for renewal of en- Authorization for Special Appearances rollment, or

The Director of Practice can authorize an individual who is • Does not satisfy the requirements of eligibility for

not otherwise eligible to practice before the IRS to repre- renewal of enrollment.

sent another person for a particular matter. The prospec- The enrolled agent must file an application for renewal and tive representative must request this authorization in satisfy all requirements for renewal within 3 years of being writing from the Director of Practice. However, it is granted placed on the roster. After 3 years, he or she will be only when extremely compelling circumstances exist. If removed from the roster and the enrollment terminated.

granted, the Director of Practice will issue a letter that

details the conditions related to the appearance and the Inactive retirement status. Enrolled agents who request

particular tax matter for which the authorization is granted. to be placed in an inactive retirement status will be ineligiThe authorization letter from the Director of Practice ble to practice before the IRS. They must continue to

should not be confused with a letter from an IRS center adhere to all renewal requirements. They can be reinstated

advising an individual that he or she has been assigned a to an active enrollment status by filing an application for

Centralized Authorization File (CAF) number (an identify- renewal of enrollment and providing evidence that they

have completed the required continuing professional edu- ing number that the IRS assigns representatives). The cation hours. issuance of a CAF number does not indicate that a person

is either recognized or authorized to practice before the Suspension and disbarment. Individuals authorized to IRS. It merely confirms that a centralized file for authoriza- practice before the IRS are subject to disciplinary proceed- tions has been established for the representative under ings and may be suspended or disbarred for violating any that number. regulation governing practice before the IRS. This includes

committing acts of disreputable conduct. For more inforWho Cannot Practice Before the IRS? mation, see Disreputable Conduct under What are the

Rules of Practice, later. In general, individuals cannot practice before the IRS be- Practitioners who are suspended in a disciplinary pro- cause they are not eligible or they have lost the privilege as ceeding are not allowed to practice before the IRS during

a result of certain actions. If an individual loses eligibility to the period of suspension. See What Is Practice Before the

practice, his or her power of attorney will not be recognized IRS, earlier.

by the IRS. Practitioners who are disbarred in a disciplinary proceeding are not allowed to practice before the IRS. HowCorporations, associations, partnerships, and other ever, a practitioner can seek reinstatement from the

Director of Practice five years after disbarment. persons that are not individuals. These organizations If the practitioner seeks reinstatement, he or she may (or persons) are not eligible to practice before the IRS. not practice before the IRS until the Director of Practice

authorizes reinstatement. The Director of Practice may

Loss of Eligibility reinstate the practitioner if it is determined that:

• The practitioner’s conduct is not likely to be in viola- Generally, individuals lose their eligibility to practice before tion of the regulations, and the IRS in the following ways.

• Granting the reinstatement would not be contrary to • Not meeting the requirements for renewal of enroll- the public interest. ment (such as continuing professional education).

• Requesting to be placed in an inactive retirement Enrolled agents. If an enrolled agent is suspended or

disbarred, he or she is required to surrender his or her status.

enrollment card during the suspension period or for cancel- • Being suspended or disbarred by state authorities to lation.

practice as an attorney or certified public accountant.

How Does an Individual Become

Failure to meet requirements. Enrolled agents who fail Enrolled? to comply with the requirements for eligibility for renewal of

enrollment will be notified by the Director of Practice The Director of Practice can grant enrollment to practice

through first class mail. The notice will explain the reason before the IRS to an applicant who demonstrates special

for noncompliance and provide the enrolled agent with an competence in tax matters by passing a written examinaopportunity to furnish information for reconsideration. The tion administered by the IRS. Enrollment also can be

enrolled agent has 60 days to respond. granted to an applicant who qualifies because of past

Page 4
service and technical experience in the IRS. In either case, to testify in disbarment or suspension proceedings. A praccertain application forms, discussed next, must be filed. titioner can be exempted from these rules if he or she

Additionally, an applicant must not have engaged in any believes in good faith and on reasonable grounds that the

conduct that would justify suspension or disbarment from information requested is privileged or that the request is of

practice before the IRS. See Disreputable Conduct, later. doubtful legality.

Form 2587. Applicants can apply to take the special en- Confidentiality privilege. The confidentiality protection

rollment examination by filing Form 2587, Application for for certain communications between a taxpayer and an

Special Enrollment Examination. Part 4 of the form should attorney (privileged communications) applies to similar

be mailed with the examination fee to the address shown communications between a taxpayer and any federally

on the form. The amount of the fee is also shown on Form authorized tax practitioner.

2587. The form is revised annually and is available in Federally authorized tax practitioners include attorneys, mid-June each year. The form must be postmarked no certified public accountants, enrolled agents, enrolled ac- later than July 31. To obtain Form 2587, see How To Get tuaries, and certain other individuals allowed to practice Tax Help, later. before the IRS.

This confidentiality privilege cannot be used in Form 23. Individuals who have passed the examination or any administrative proceeding with an agency are applying on the basis of past service and technical CAUTION other than the IRS.

!

experience with the IRS can apply for enrollment by filing

Form 23, Application for Enrollment to Practice Before the

Internal Revenue Service, with the Director of Practice.

Communications that are protected. The protection The application must include a check or money order in the of this privilege applies only to tax advice given to the amount of the fee shown on Form 23. To obtain Form 23, taxpayer by any individual who is a federally authorized tax see How To Get Tax Help, later. practitioner. Tax advice is advice in regard to a matter that

is within the scope of the practitioner’s authority to practice. Period of enrollment. An enrollment card will be issued The confidentiality protection applies to communications to each individual whose application is approved. The that would be considered privileged if they were between individual is enrolled until the expiration date shown on the the taxpayer and an attorney and that relate to noncriminal: enrollment card. To continue practicing beyond the expiration date, the individual must request renewal of the enroll- • Tax matters before the IRS, or

ment. • Tax proceedings brought in federal court by or

Form 8554. Applicants for renewal of enrollment must against the United States.

file Form 8554, Application for Renewal of Enrollment to

Practice Before the Internal Revenue Service. To qualify Communications regarding corporate tax shelters.

for renewal, applicants generally must complete 72 hours This protection of tax advice communications does not

of continuing professional education during each 3-year apply to any written communications between a federally

enrollment cycle. See Form 8554 for more information. To authorized tax practitioner and a director, shareholder,

obtain Form 8554, see How To Get Tax Help, later. officer, employee, agent, or representative of a corporation. It also does not apply if the communication involves

What Are the Rules of Practice? the promotion of the direct or indirect participation of the

corporation in any tax shelter.

An attorney, CPA, enrolled agent, or enrolled actuary authorized to practice before the IRS (referred to hereafter as Duty to advise. A practitioner who knows that his or her

a practitioner) has the duty to perform certain acts and is client has not complied with the revenue laws or has made restricted from performing other acts. In addition, a practi- an error or omission in any return, document, affidavit, or tioner cannot engage in disreputable conduct (discussed other required paper, has the responsibility to advise the later). Any practitioner who does not comply with the rules client promptly of the noncompliance, error, or omission. of practice or engages in disreputable conduct is subject to

disciplinary action. Also, unenrolled preparers must com- Due diligence. A practitioner must exercise due diligence ply with most of these rules of practice and conduct to when performing the following duties. exercise the privilege of limited practice before the IRS.

See Revenue Procedure 81–38 for a discussion of the • Preparing or assisting in the preparing, approving, special rules for limited practice by unenrolled preparers. and filing of returns, documents, affidavits, and other

papers relating to IRS matters.

Duties • Determining the correctness of oral or written representations made by him or her to the Department of Practitioners must promptly submit records or informa- the Treasury. tion requested by officers or employees of the IRS. When

the Director of Practice requests information concerning • Determining the correctness of oral or written reprepossible violations of the regulations by other parties, the sentations made by him or her to clients with referpractitioner must provide the information and be prepared ence to any matter administered by the IRS.

Page 5
Restrictions false accusations, duress, or coercion, or by offering

gifts, favors, or any special inducements.

Practitioners are restricted from engaging in certain prac- • Being disbarred or suspended from practice as an tices. The following paragraphs discuss some of these attorney, CPA, public accountant, or actuary, by the restricted practices. District of Columbia or any state, possession, terriDelays. A practitioner must not unreasonably delay the tory, commonwealth, or any federal court, or any

prompt disposition of any matter before the IRS. body or board of any federal agency.

• Knowingly aiding and abetting another person to Assistance from disbarred or suspended persons and practice before the IRS during a period of suspen- former IRS employees. A practitioner must not know- sion, disbarment, or ineligibility (maintaining a part- ingly, directly or indirectly, do the following. nership so that a disbarred person can continue to • Employ or accept assistance from any person who is practice before the IRS is presumed to be a violation under disbarment or suspension from practice of this provision). before the IRS. • Using abusive language, making false accusations • Accept employment as associate, correspondent, or and statements knowing them to be false, circulating subagent from, or share fees with, any person under or publishing malicious or libelous matter, or engag- disbarment or suspension from practice before the ing in any contemptuous conduct in connection with IRS. practice before the IRS.

• Accept assistance from any former government em- • Giving a false opinion knowingly, recklessly, or ployee where provisions of Treasury Department through gross incompetence; or following a pattern Circular No. 230 or any federal law would be vio- of providing incompetent opinions in questions aris- lated.

ing under the federal tax laws.

Performance as a notary. A practitioner who is a notary

public and is employed as counsel, attorney, or agent in a Reprimands, Disbarments, and Suspensions

matter before the IRS, or has a material interest in the The Director of Practice may reprimand or institute pro- matter, cannot engage in any notary activities related to ceedings to suspend or disbar any attorney, CPA, or en- that matter.

rolled agent who the Director of Practice has reason to

Negotiations of taxpayer refund checks. Practitioners believe violated the rules of practice. Except in certain

who are income tax return preparers must not endorse or unusual circumstances, the Director will not institute a

otherwise negotiate (cash) any refund check issued to the proceeding for suspension or disbarment against a practitaxpayer. tioner until the facts (or conduct) which may warrant such

action have been given in writing to that practitioner and

the practitioner has been given the opportunity to demon- Disreputable Conduct strate or achieve compliance with the rules.

Any practitioner or unenrolled return preparer may be

disbarred or suspended from practice before the IRS for

disreputable conduct. The following list contains examples Authorizing a Representative of conduct that is considered disreputable.

• Committing any criminal offense under the revenue Terms you may need to know

laws or committing any offense involving dishonesty (see Glossary):

or breach of trust.

• Knowingly giving false or misleading information in Attorney-in-fact

connection with federal tax matters, or participating CAF number in such activity.

Centralized Authorization File (CAF) System • Soliciting employment by prohibited means as discussed in section 10.30 of Treasury Department Cir- Commissioner

cular No. 230. Durable power of attorney

• Willfully failing to file a tax return, evading or at- Enrolled agent tempting to evade any federal tax or payment, or

participating in such actions. Fiduciary

• Misappropriating, or failing to properly and promptly General power of attorney

remit, funds received from clients for payment of Government officer or employee taxes.

Limited power of attorney • Directly or indirectly attempting to influence the official action of IRS employees by the use of threats, Practitioner

Page 6
Recognized representative Endorsing or cashing your refund check. If you want

your representative to receive a refund check on your

behalf, you must specifically authorize this in your power of You may either represent yourself, or you may grant an attorney as discussed earlier under Acts performed. Howindividual power of attorney (legal authority) to represent ever, if your representative is permitted to practice before you before the IRS. Your representative must be a person the IRS, he or she cannot be authorized to endorse or eligible to practice before the IRS. See Who Can Practice otherwise cash your check related to income taxes. If you Before the IRS, earlier. want someone else to endorse or cash that check, follow

the rules in Treasury Department Circular No. 21, as

What Is a Power of Attorney? amended, 31 CFR part 240. To get a copy of this, select

the Code of Federal Regulations under Access to GovernA power of attorney is your written authorization for an ment Information Products, at www.gpo.gov.

individual to act on your behalf in tax matters. If the authori- Limitation on substitution or delegation. The recog- zation is not limited, the individual can generally perform all nized representative can substitute or delegate authority acts that you can perform. The authority granted to an under the power of attorney to another recognized repre- unenrolled preparer cannot exceed that allowed under the sentative only if the act is specifically authorized under special rules of limited practice described in Revenue the power of attorney. Procedure 81–38. After a substitution has been made, only the newly

Acts performed. Any representative, other than an recognized representative will be recognized as the

unenrolled preparer, can usually perform the following taxpayer’s representative. If a delegation of power has

acts. been made, both the original and the delegated representative will be recognized by the IRS to represent the tax- 1) Represent you before any office of the IRS. payer.

2) Record the interview. Incapacity or incompetency. A power of attorney is gen3) Sign an offer or a waiver of restriction on assess- erally terminated if you become incapacitated or incompement or collection of a tax deficiency, or a waiver of tent.

notice of disallowance of claim for credit or refund. The power of attorney can continue, however, in the

case of your incapacity or incompetency if you authorize 4) Sign a consent to extend the statutory time period for this on the Form 2848, or if your non-IRS durable power of assessment or collection of a tax. attorney meets all the requirements for acceptance by the

5) Sign a closing agreement. IRS. See Non-IRS powers of attorney, later.

6) Receive, but not endorse or cash, a refund check

drawn on the U.S. Treasury. You must specifically When Is a Power of Attorney

initial Form 2848 (see Form Required, later) showing Required? the name of the individual designated to receive the

refund check. Submit a power of attorney when you want to authorize an

individual to represent you before the IRS, whether or not

Signing your return. The representative named under a the representative performs any of the other acts cited

power of attorney is not permitted to sign your personal earlier under What Is a Power of Attorney.

income tax return unless both of the following are true. A power of attorney is most often required when you

want to authorize another individual to perform at least one 1) The signature is permitted under the Internal Reve- of the following acts on your behalf. nue Code and the related regulations (see section

1.6012-1(a)(5) of the Income Tax Regulations). 1) Represent you at a conference with the IRS.

2) You specifically authorize this in your power of attor- 2) Prepare and file a written response to the IRS.

ney.

For example, the regulation permits a representative to Form Required sign your return if you are unable to sign the return for any

of the following reasons. Use Form 2848 to appoint a representative to act on your

• Disease or injury. behalf before the IRS. You can file this form only if you

want to name a person(s) to represent you and that person • Continuous absence from the United States (includ- is a person recognized to practice before the IRS. Persons ing Puerto Rico) for a period of at least 60 days prior recognized to practice before the IRS are listed under Part to the date required by law for filing the return. II, Declaration of Representative, of Form 2848. Your rep-

• Other good cause if specific permission is requested resentative must complete that part of the form.

of and granted by the IRS. Unenrolled return preparers. Use Form 2848 to appoint

When a return is signed by a representative, it must be an unenrolled return preparer as your representative.

accompanied by a power of attorney (or copy) authorizing The authority of the unenrolled preparer is limited as

the representative to sign the return. For more information, described in Revenue Procedure 81-38. The unenrolled

see the Form 2848 instructions. preparer can represent you only before revenue agents

Page 7
and examining officers of the Examination function of the non-IRS power of attorney by using the procedure deIRS. The representation can only concern your tax liability scribed next.

for the period(s) covered by the return(s) he or she pre- Procedure for perfecting a non-IRS power of attor- pared. For more information about the limitations on ney. Under the following conditions, the attorney-in-fact unenrolled return preparers, see Limited practice under named in your non-IRS power of attorney can sign a Form Who Can Practice Before the IRS, earlier. 2848 on your behalf.

Non-IRS powers of attorney. The IRS will accept a 1) The original non-IRS power of attorney grants au- non-IRS power of attorney, but a completed transmittal thority to handle federal tax matters (for example, Form 2848 must be attached in order for the power of general authority to perform any acts). attorney to be entered on the Centralized Authorization

2) The attorney-in-fact attaches a statement (signed File (CAF) system. For more information, see Processing a under penalty of perjury) to the Form 2848 stating non-IRS power of attorney, later. that the original non-IRS power of attorney is valid If you want to use a power of attorney document other under the laws of the governing jurisdiction. than Form 2848, it must contain the following information.

The Form 2848 prepared by your attorney-in-fact should • Your name and mailing address. be signed in the following manner: “Jane Taxpayer (your

• Your social security number and/or employer identifi- name), by John Attorney (your attorney-in-fact’s name)

cation number. under authority of the attached power of attorney.”

The individual named as representative on Form 2848 • Your employee plan number, if applicable. must sign and date Part II of the form. This can be the

• The name and mailing address of your representa- attorney-in-fact named in the original power of attorney or

tive. any other individual recognized to practice before the IRS.

• The types of tax involved. Example. John Elm, a taxpayer, signs a durable power

• The federal tax form number. of attorney that names his neighbor, Ed Larch, as his

attorney-in-fact. The power of attorney grants Ed the au- • The specific year(s) or period(s) involved. thority to perform any and all acts on John’s behalf. How-

• For estate tax matters, the decedent’s date of death. ever, it does not list specific tax-related information such as

types of tax or tax form numbers. • A clear expression of your intention concerning the Shortly after John signs the power of attorney, he is scope of authority granted to your representative. declared incompetent. Later, a federal tax matter arises • Your signature and date. concerning a prior year return filed by John. Ed attempts to

represent John before the IRS but is rejected because the You also must attach to the non-IRS power of attorney a durable power of attorney does not contain required infor- signed and dated statement made by your representative. mation. This statement, which is referred to as the Declaration of

Representative, If Ed attaches a statement (signed under the penalty of is contained in Part II of Form 2848. The

perjury) that the durable power of attorney is valid under statement should read:

the laws of the governing jurisdiction, he can sign a com1) I am not currently under suspension or disbarment pleted Form 2848 and submit it on John’s behalf. If Ed can

from practice before the Internal Revenue Service or practice before the IRS (see Who Can Practice Before the

other practice of my profession by any other author- IRS, earlier), he can name himself as representative on

ity, Form 2848. Otherwise, he must name another individual

who can practice before the IRS. 2) I am aware of the regulations contained in Treasury

Department Circular No. 230 (31 CFR, Part 10) con- Processing a non-IRS power of attorney. The IRS

cerning the practice of attorneys, certified public ac- has a centralized computer database system called the

countants, enrolled agents, enrolled actuaries, and CAF system. This system contains information on the

others, authority of taxpayer representatives. Generally, when you

submit a power of attorney document to the IRS, it is 3) I am authorized to represent the taxpayer(s) identi- processed for inclusion on the CAF system. Entry of your fied in the power of attorney; and power of attorney on the CAF system enables IRS person4) I am authorized to practice before the Internal Reve- nel, who do not have a copy of your power of attorney, to

nue Service as an individual described in 26 CFR verify the authority of your representative by accessing the

601.502(b). centralized authorization file. It also enables the IRS to

automatically send copies of notices and other IRS comRequired information missing. The IRS will not ac- munications to your representative.

cept your non-IRS power of attorney if it does not contain You can have your non-IRS power of attorney entered

all the information listed above. You can sign and submit a on the CAF system by attaching it to a completed transcompleted Form 2848 or a new non-IRS power of attorney mittal Form 2848 and submitting it to the IRS. Your signathat contains all the information. If you cannot sign an ture is not required; however, your attorney-in-fact must

acceptable replacement document, your attorney-in-fact sign the Declaration of Representative (see Part II of Form

may be able to perfect (make acceptable to the IRS) your 2848).

Page 8
Preparation of Form — Helpful Hints corded on the CAF system. Examples of such matters

include, but are not limited to, the following.

The preparation of Form 2848 is illustrated by an example,

later under How Do I Fill Out Form 2848. However, the 1) Civil penalty issues.

following will also assist you in preparing the form. 2) Trust fund recovery penalties.

Line-by-line hints. The following hints are summaries of 3) Requests for a private letter ruling or technical ad- some of the line-by-line instructions for Form 2848. vice.

Line 1—Taxpayer information. If a joint return is in- 4) Applications for an employer identification number volved and you and your spouse have different addresses, (EIN). you must enter each address. If you and your spouse

choose different representatives, each of you must file a 5) Claims filed on Form 843, Claim for Refund and

separate Form 2848. Request for Abatement.

Line 2—Representative(s). Only individuals may be 6) Corporate dissolutions.

named as representatives. If your representative has not 7) Requests for change of accounting method. been assigned a CAF number, enter “None” on that line

and the IRS will issue one to him or her. If the 8) Requests for change of accounting period.

representative’s address or phone number has changed If the tax matter described on line 3 of Form 2848 concerns

since the CAF number was issued, you should check the one of these matters specifically, check the box on line 4. If appropriate box. Enter your representative’s fax number if this line is checked, your representative should bring a available. copy of the power of attorney to each IRS office where the If you want to name more than three representatives, specific matter will be discussed. you must attach a list of the additional representatives to

the form. Normally, the IRS will send notices and other

written communications to you and a copy to the first Where To File a Power of Attorney

representative listed. However, you can choose other options (see line 7 of Form 2848). Generally, mail or fax Form 2848 directly to the IRS. To

determine where you should file Form 2848, see the Line 3—Tax matters. You can list any tax years or Where To File Chart, below. periods that ended before the date the form is signed. You

also may list future periods that end no later than 3 years If Form 2848 is for a specific use, mail or fax it to the

office handling that matter. For more information on spe- from that date. However, avoid general references such as

all years cific use, see the Instructions for Form 2848, line 4. or all periods.

If any column does not apply to your particular tax Facsimile copies. The IRS will accept a copy of a matter, you should enter “not applicable” in that column power of attorney that is submitted by facsimile transmis- and, instead, specifically describe the matter to which the sion (fax). If you choose to file a power of attorney by fax, power of attorney pertains. be sure the appropriate IRS office is equipped to accept

Line 4—Specific use not recorded on Centralized this type of transmission. See the Where To File Chart for

Authorization File (CAF). Certain matters cannot be re- fax numbers of the centers receiving Form 2848.

Where To File Chart

IF you live in . . . THEN use this address . . . Fax Number*

Alabama, Arkansas, Connecticut, Delaware, District of Internal Revenue Service 901-546-4115

Columbia, Florida, Georgia, Illinois, Indiana, Kentucky, Memphis Accounts Management Center

Louisiana, Maine, Maryland, Massachusetts, Michigan, Taxpayer Relations, Department II

Mississippi, New Hampshire, New Jersey, New York, 5333 Getwell Road

North Carolina, Ohio, Pennsylvania, Rhode Island, South Memphis, TN 38118

Carolina, Tennessee, Vermont, Virginia, or West Virginia

Alaska, Arizona, California, Colorado, Hawaii, Idaho, Internal Revenue Service 801-620-4249

Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, Ogden Accounts Management Center

Nevada, New Mexico, North Dakota, Oklahoma, Oregon, Taxpayer Relations, Department II

South Dakota, Texas, Utah, Washington, Wisconsin, or P.O. Box 9941,Stop 6737

Wyoming Ogden, UT 84409

All APO and FPO addresses, American Samoa, Internal Revenue Service 215-516-1017

nonpermanent residents of Guam or the Virgin Islands**, Philadelphia Accounts Management Center

Puerto Rico (or if excluding income under Internal International Department

Revenue Code section 933), a foreign country: U.S. 11601 Roosevelt Blvd.

citizens and those filing Form 2555, 2555–EZ, or 4563. Philadelphia, PA 19255

* These numbers may change without notice.

**Permanent residents of Guam should use Department of Taxation, Government of Guam, P.O. Box 23607, GMF, GU 96921; permanent residents of the

Virgin Islands should use V.I. Bureau of Internal Revenue, 9601 Estate Thomas, Charlotte Amaile, St. Thomas, V.I. 00802.

Page 9
Updating a power of attorney. You must submit any tive is withdrawing. The representative must include his or

update or modification to an existing power of attorney in her CAF number on the statement if one has been aswriting. Your signature (or the signature of the individual(s) signed.

authorized to sign on your behalf) is required. Do this by

sending the updated Form 2848 or non-IRS power of When Is a Power of Attorney Not attorney to the IRS office(s) where you previously sent the

original(s), including the center where the related return Required?

was, or will be filed. A power of attorney is not required in some situations when Any recognized representative may substitute or dele- dealing with the IRS. The following situations do not re- gate authority if the substitution or delegation is specifically quire a power of attorney. (Each situation will be discussed authorized in the original power of attorney. To make a in more detail following the list.) substitution or delegation, the representative must file the

following items with the IRS office(s) where the power of • Providing information to the IRS.

attorney was filed. • Authorizing the disclosure of tax return information

through Form 8821. 1) A written notice of substitution or delegation signed

by the recognized representative. • Allowing the IRS to discuss return information with a

third party designee. 2) A written declaration of representative made by the

new representative. • Allowing a tax matters partner or person (TMP) to

perform acts for the partnership. 3) A copy of the power of attorney that specifically authorizes the substitution or delegation. • Allowing the IRS to discuss return information with a

fiduciary.

Revoking a power of attorney. A newly filed power of • Representing a taxpayer through a nonwritten con- attorney concerning the same matter will revoke a previ- sent. ously filed power of attorney. However, the new power of

attorney will not revoke the prior power of attorney if it

specifically states it does not revoke such prior power of Providing information to the IRS. If you are merely

attorney and either of the following are attached to the new providing information to the IRS at the request of the IRS, a

power of attorney. power of attorney is not required.

• A copy of the unrevoked prior power of attorney, or Disclosure of tax return information. You do not have

• A statement signed by the taxpayer listing the name to file a power of attorney to authorize the IRS to discuss

and address of each representative authorized and provide specific confidential tax return information to

under the prior unrevoked power of attorney. any individual, corporation, firm, trust, partnership, or organization you designate through the use of Form 8821.

You may file your own tax information authorization without

Note. The filing of Form 2848 will not revoke any Form using Form 8821, but it must include all the information

8821 that is in effect. that is requested on the form.

If you want to revoke an existing power of attorney and Form 8821 is strictly a disclosure authorization form and

do not want to name a new representative, send a copy of cannot be used to designate an individual to represent

the previously executed power of attorney to the IRS you. If you want to name a representative, you should use

office(s) where it was originally filed. Write Form 2848. ‘‘REVOKE’’

across the top of the power of attorney. The copy must Example. John Oak wants his associate, Jane Birch, to have a current date and signature of the taxpayer who be informed about his personal tax accounts. To have this signed the original. information disclosed to Jane, John fills out Form 8821. If you do not have a copy of the original power of This is only a disclosure form, so it will not give Jane any attorney you want to revoke, send a statement to the IRS

office(s) where you filed the original. The statement of power to represent John before the IRS. (The filled-in form

is illustrated on the following page.) revocation must:

Processing Form 8821. When you file a Form 8821 • State that the authority of the power of attorney has

been revoked. with the IRS, it also is processed for entry on the CAF

system. Entry on the CAF system enables IRS employees • List the name and address of each representative who do not have access to the actual power of attorney or whose authority has been revoked tax information authorization to do all of the following

You also must sign and date the statement. actions.

1) Determine whether a recognized representative or Withdrawal by the recognized representative. A recog- appointee is authorized to discuss specific confiden- nized representative may withdraw from representation by tial tax information. filing a statement with each office where the original power

of attorney was filed. The statement must be signed by the 2) Determine the extent to which a recognized reprerepresentative and identify the name and address of the sentative or appointee has been authorized to repretaxpayer(s) and tax matter(s) from which the representa- sent you.

Page 10
Proof as of

April 01, 2002

(subject to change)

John Oak

8821 Dogwood Lane

Anyplace, N.C. 28000

000 00 0003

910 555-4321

Jane Birch

12 Peartree Lane

Anyplace, N.C. 28000

910 555-3210

Income 1040 1998, 1999, 2000



2/20/02

John Oak

John Oak

Form 8821 OMB No. 1545-1165

Tax Information Authorization

(Rev. January 2002)

Department of the Treasury

Internal Revenue Service

1 Taxpayer information.

Taxpayer name(s) and address (type or print) Social security number(s) Employer identification number

Daytime telephone number Plan number (if applicable)

( )

2 Appointee. If you wish to name more than one appointee, attach a list to this form.

CAF No. Name and address (type or print)

Telephone No.

Fax No.

Telephone No.

Check if new: Address

3 Tax matters. The appointee is authorized to inspect and/or receive confidential tax information in any office of the IRS for

the tax matters listed on this line. Do not use Form 8821 to request copies of tax returns.

(a)

Type of Tax

(Income, Employment, Excise, etc.)

(b)

Tax Form Number

(1040, 941, 720, etc.)

(c)

Year(s) or Period(s)

Specific use not recorded on Centralized Authorization File (CAF). If the tax information authorization is for a specific use

not recorded on CAF, check this box. See the instructions on page 2. If you check this box, skip lines 5 and 6 

4

5 Disclosure of tax information (you must check the box on line 5a or b unless the box on line 4 is checked):

a If you want copies of tax information, notices, and other written communications sent to the appointee on an ongoing basis,

check this box 

b If you do not want any copies of notices or communications sent to your appointee, check this box 

Retention/revocation of tax information authorizations. This tax information authorization automatically revokes all prior

authorizations for the same tax matters you listed above on line 3 unless you checked the box on line 4. If you do not want to

revoke a prior tax information authorization, you MUST attach a copy of any authorizations you want to remain in effect AND

check this box 

6

7 Signature of taxpayer(s). If a tax matter applies to a joint return, either husband or wife must sign. If signed by a corporate

officer, partner, guardian, executor, receiver, administrator, trustee, or party other than the taxpayer, I certify that I have the

authority to execute this form with respect to the tax matters/periods covered.

If this authorization is not signed and dated, it will be returned.

Title (if applicable)

Signature Date

Print Name

Cat. No. 11596P Form 8821 (Rev. 1-2002)

For IRS Use Only

Telephone

Function

Date / /

Name

( )

( )

( )

Received by:

(d)

Specific Tax Matters (see instr.)

General Instructions

Section references are to the Internal Revenue Code unless

otherwise noted.

Purpose of form. Form 8821 authorizes any individual, corporation,

firm, organization, or partnership you designate to inspect and/or

receive your confidential information in any office of the IRS for the

type of tax and the years or periods you list on this form. You may

file your own tax information authorization without using Form 8821,

but it must include all the information that is requested on the form.

Form 8821 does not authorize your appointee to advocate your

position with respect to the Federal tax laws; to execute waivers,

consents, or closing agreements; or to otherwise represent you

before the IRS. If you want to authorize an individual to represent

you, use Form 2848, Power of Attorney and Declaration of

Representative.

For Privacy Act and Paperwork Reduction Act Notice, see page 2.

Title (if applicable)

Signature Date

Print Name

To revoke this tax information authorization, see the instructions on page 2.

Use Form 56, Notice Concerning Fiduciary Relationship, to notify

the IRS of the existence of a fiduciary relationship. A fiduciary

(trustee, executor, administrator, receiver, or guardian) stands in the

position of a taxpayer and acts as the taxpayer. Therefore, a

fiduciary does not act as an appointee and should not file Form

8821. If a fiduciary wishes to authorize an appointee to inspect

and/or receive confidential tax information on behalf of the fiduciary,

Form 8821 must be filed and signed by the fiduciary acting in the

position of the taxpayer.

Taxpayer identification numbers (TINs). TINs are used to identify

taxpayer information with corresponding tax returns. It is important

that you furnish correct names, social security numbers (SSNs),

individual taxpayer identification numbers (ITINs), or employer

identification numbers (EINs) so that the IRS can respond to your

request.

Page 11
3) Send copies of notices and other IRS communica- • Bind non-notice partners to a settlement agreement tions to the person (individual or other entity) desig- under section 6224 of the Internal Revenue Code nated on the form.

and, under certain circumstances, binding all partRevocation of tax information authorization(s). You ners to a settlement agreement under Tax Court

can revoke any existing authorization with the IRS by Rule 248.

writing “REVOKE” across the top of the previously exe- • File a petition for readjustment of partnership items cuted Form 8821 and signing your name again under the in Tax Court, District Court, or Claims Court, under existing signature. You should send this to the office(s) section 6226 of the Internal Revenue Code, based where you originally filed the Form 8821. If you do not have on the issuance of a notice of final partnership ad- a copy of the prior Form 8821, send a letter revoking ministrative adjustment by the IRS. authorization to the IRS office(s) where you filed the original. Include the name and address of each appointee • File a request for administrative adjustments on be- whose authority is revoked and sign the letter. half of the partnership under section 6227 of the

Internal Revenue Code. Note. The filing of Form 8821 will not revoke any Form

2848 that is in effect. • File a petition for adjustment of partnership items

with respect to an administrative request in the Tax

Third party designee. You can authorize the IRS to dis- Court, District Court, or Claims Court, under section

cuss your return with a friend, family member, or any other 6228 of the Internal Revenue Code.

person you choose. If you check the Yes box in the third • Extend the statute of limitations on assessment of party designee area of your 2001 tax return and provide any tax attributable to partnership items (and af- the information required, you are authorizing: fected items) under section 6229 of the Internal Revenue Code. 1) The IRS to call the designee to answer any questions that arise during the processing of your return,

and Fiduciary. If you are a fiduciary (trustee, executor, admin2) The designee to: istrator, receiver, or guardian) of a taxpayer, you are

deemed to be the taxpayer. For this reason you are not a) Give information that is missing from your return required to file a power of attorney. However, a fiduciary to the IRS, should file Form 56, Notice Concerning Fiduciary Relationb) Call the IRS for information about the processing ship, to notify the IRS of the fiduciary relationship.

of your return or the status of your refund or

payments, and Note. If you, as a fiduciary, wish to authorize an individual to represent or perform certain acts on your behalf, you c) Respond to certain IRS notices that you have must file a power of attorney authorizing that individual to shown the designee. These notices about math

errors, offsets (see Refunds, later), and return act on your behalf. The individual must complete Form

preparation will be sent to you, not the designee. 2848, Part II, Declaration of Representative.

The authorization cannot be revoked. However, it will Nonwritten consents. The IRS has been allowed under

automatically end no later than the due date (without any a temporary regulation to discuss with a third party desig- extensions) for filing your 2002 tax return. This is April 15, nee, tax return or return information after receiving your 2003, for most people. nonwritten (oral) consent. Under this temporary regulation, See your form instructions for more information. the IRS is permitted to disclose information to any person

If you want to allow the paid preparer who signed accompanying you to a meeting, interview, or participating

your return to discuss it with the IRS, just enter with you, in a telephone conversation with the IRS. Before

“Preparer” in the space for the designee’s name. any disclosure of information, the IRS must verify the

TIP

following.

• The date, nature, and extent of information or assisTax matters partner or person (TMP). If you are a tax tance requested.

matters partner or person (TMP) (as defined in section • The return or return information to be disclosed. 6231(a)(7) of the Internal Revenue Code), you are not

required to file Form 2848. You are authorized to perform • The identity of the taxpayer and the designee.

various acts on behalf of the partnership or subchapter S The temporary regulation is in effect from January 11, corporation. This may include the power to delegate au- 2001, through January 12, 2004. thority to represent yourself and to sign documents in that

capacity.

The following are examples of acts you can perform as a Note. Like Form 8821, a nonwritten consent cannot be

TMP. These acts cannot be delegated to another repre- used to designate an individual to represent you. If you

sentative. want to name a representative, you should use Form 2848.

Page 12
How Do I Fill Out Form 2848? If Stan and Mary decide later that they can handle the

examination on their own, they can revoke the power of

The following example illustrates how to complete Form attorney. (See Revoking a power of attorney, earlier, for

2848. The completed form is shown on the next pages. the special rules that apply.)

Line 9—Signature of taxpayer(s). This is a joint authori- Example. Stan and Mary Doe have been notified that zation (see line 1), so both Stan and Mary must sign and their joint tax return (Form 1040) for 2000 is being ex- date the form. If they do not, the IRS cannot accept it. amined. They have decided to appoint Jim Smith, an

enrolled agent, to represent them in this matter and any Part II—Declaration of Representative. Jim Smith must

future matters concerning the return. Jim, who has pre- complete this part of Form 2848. If he does not sign this pared returns at the same location for years, already has a part, the IRS cannot accept the form. Centralized Authorization File (CAF) number assigned to

him. Stan and Mary do not want Jim to sign any agreements, pay additional taxes, or receive any refund checks. What Happens to the Power of

They want copies of all notices and written communica- Attorney When Filed?

tions sent to Jim. This is the first time Stan and Mary have

given power of attorney to anyone. They should complete A power of attorney will be recognized after it is received,

one Form 2848 as follows. reviewed, and determined by the IRS to contain the required information. However, until a power of attorney is Line 1—Taxpayer information. They enter their names, entered on the CAF system, IRS personnel may be una- street address, and social security numbers in the spaces ware of the authority of the person you have named to provided. represent you. Therefore, during this interim period, IRS

Line 2—Representative(s). They enter the name and personnel may request that you or your representative

provide an additional copy. current address of their chosen representative, Jim Smith.

They also enter Mr. Smith’s CAF number, his telephone

number, and his fax number. Mr. Smith’s address and Processing and Handling telephone number have not changed since the IRS issued

his CAF number, so Stan and Mary do not check either box How the power of attorney is processed and handled in the second column. depends on whether it is a complete or incomplete document. Line 3—Tax matters. They enter “income” for the type of

tax, “1040” for the form number, and “2000” for the tax Incomplete document. If the power of attorney docu- year. ment is incomplete, the IRS will attempt to secure the

Line 4—Specific use not recorded on Centralized Au- missing information either by writing or telephoning you or

thorization File (CAF). Stan and Mary make no entry on your representative. For example, if your signature or sigthis line because they do not want to restrict the use for nature date is missing, the IRS will contact you. If informatheir power of attorney to a specific use that is not recorded tion concerning your representative is missing and

on the CAF. See Preparation of Form — Helpful Hints, information sufficient to make a contact (such as an adearlier. dress and/or a telephone number) is on the document, the

IRS will try to contact your representative. Line 5—Acts authorized. Stan and Mary want to sign In either case, the power of attorney is not considered any agreement that reflects changes to their 2000 income valid until all required information is entered on the docu- tax liability, so they restrict the acts Mr. Smith is authorized ment. The individual(s) named as representative(s) will not to perform by writing “taxpayers must sign any agreement be recognized to practice before the IRS, on your behalf, form” on line 5. If they had chosen, they could have listed until the document is complete and accepted by the IRS. other restrictions on line 5.

Complete document. If the power of attorney is complete Line 6—Receipt of refund checks. They make no entry and valid, the IRS will then take action to recognize the on line 6 because they want any refund checks sent di- representative. In most instances, this involves processing rectly to them. the document on the CAF system. Recording the data on

Line 7—Notices and communications. Stan and Mary the CAF system enables the IRS to automatically direct

make no entry on line 7 because they want the original copies of mailings to authorized representatives and to

notices and communications sent to them, and the copies instantly recognize the scope of authority granted.

sent to Mr. Smith. Documents not processed on CAF. Specific-use

Line 8—Retention/revocation of prior power(s) of at- powers of attorney are not processed on the CAF system

torney. Stan and Mary are filing their first power of attor- (see Preparation of Form — Helpful Hints, earlier). For

ney, so they make no entry on this line. However, if they example, a power of attorney that is a one-time or

had filed prior powers of attorney, the filing of this current specific-issue grant of authority is not processed on the

power would automatically revoke any earlier ones for the CAF system. These documents remain with the related

same tax matter(s). Therefore, to retain an earlier power of case files. In this situation, you should check the box on

attorney, they would need to have checked the box on line line 4 of Form 2848. If it is checked, the representative

8 and attached a copy of the prior power of attorney that should bring a copy of the power of attorney to each

they wanted to maintain. meeting with the IRS.

Page 13
Stan and Mary Doe

1040 Any Street

Anytown, Virginia 22000

Jim Smith

1065 Any Street

Anytown, Virginia 22000

000

000

6800-06530R

703 555-4321

703 555-5432

Income 1040 2000

Taxpayers must sign any agreement form

Form 2848 Power of Attorney OMB No. 1545-0150

(Rev. January 2002) and Declaration of Representative

Department of the Treasury

Internal Revenue Service

Power of Attorney (Type or print.)

1 Taxpayer information. Taxpayer(s) must sign and date this form on page 2, line 9.

Employer identification

number

Taxpayer name(s) and address Social security number(s)

Daytime telephone number Plan number (if applicable)

hereby appoint(s) the following representative(s) as attorney(s)-in-fact:

2 Representative(s) must sign and date this form on page 2, Part II.

Name and address CAF No.

Telephone No.

Fax No.

Check if new: Address Telephone No.

Name and address CAF No.

Telephone No.

Fax No.

Check if new: Address Telephone No.

Name and address CAF No.

Telephone No.

Fax No.

Check if new: Address Telephone No.

to represent the taxpayer(s) before the Internal Revenue Service for the following tax matters:

3 Tax matters

Year(s) or

Period(s)

Tax Form Number

(1040, 941, 720, etc.)

Type of Tax (Income, Employment, Excise, etc.)

or Civil Penalty (See the instructions for line 3.)

Specific use not recorded on Centralized Authorization File (CAF). If the power of attorney is for a specific use not recorded

on CAF, check this box. See the instructions for Line 4. Specific uses not recorded on CAF. 

4

Acts authorized. The representatives are authorized to receive and inspect confidential tax information and to perform any

and all acts that I (we) can perform with respect to the tax matters described on Iine 3, for example, the authority to sign any

agreements, consents, or other documents. The authority does not include the power to receive refund checks (see line 6

below), the power to substitute another representative, the authority to execute a request for a tax return, or a consent to

disclose tax information unless specifically added below, or the power to sign certain returns. See the instructions for Line

5. Acts authorized.

5

List any specific additions or deletions to the acts otherwise authorized in this power of attorney:

Note: In general, an unenrolled preparer of tax returns cannot sign any document for a taxpayer. See Revenue Procedure 81-38,

printed as Pub. 470, for more information.

Note: The tax matters partner of a partnership is not permitted to authorize representatives to perform certain acts. See the separate

instructions for more information.

6 Receipt of refund checks. If you want to authorize a representative named on Iine 2 to receive, BUT NOT TO ENDORSE

OR CASH, refund checks, initial here and list the name of that representative below.

Name of representative to receive refund check(s) 

Cat. No. 11980J Form 2848 (Rev. 1-2002)

Part I

Name

Telephone

Function

Date

For IRS Use Only

/ /

Received by:

For Paperwork Reduction and Privacy Act Notice, see the separate instructions.

See the separate instructions.

( )

00 0001

00 0002

Page 14
Stan Doe

Mary Doe

c 90-99999 2/21/02

2/21/02

2/21/02

Jim Smith

Stan Doe

Mary Doe

Form 2848 (Rev. 1-2002) Page 2

7 Notices and communications. Original notices and other written communications will be sent to you and a copy to the

first representative listed on line 2 unless you check one or more of the boxes below.

b If you also want the second representative listed to receive a copy of such notices and communications, check this box 

c If you do not want any notices or communications sent to your representative(s), check this box 

8 Retention/revocation of prior power(s) of attorney. The filing of this power of attorney automatically revokes all earlier

power(s) of attorney on file with the Internal Revenue Service for the same tax matters and years or periods covered by

this document. If you do not want to revoke a prior power of attorney, check here 

YOU MUST ATTACH A COPY OF ANY POWER OF ATTORNEY YOU WANT TO REMAIN IN EFFECT.

Signature of taxpayer(s). If a tax matter concerns a joint return, both husband and wife must sign if joint representation is

requested, otherwise, see the instructions. If signed by a corporate officer, partner, guardian, tax matters partner, executor,

receiver, administrator, or trustee on behalf of the taxpayer, I certify that I have the authority to execute this form on behalf

of the taxpayer.

9

IF NOT SIGNED AND DATED, THIS POWER OF ATTORNEY WILL BE RETURNED.

Signature Date Title (if applicable)

Print Name

Signature Date Title (if applicable)

Print Name

Declaration of Representative

Under penalties of perjury, I declare that:

● I am not currently under suspension or disbarment from practice before the Internal Revenue Service;

● I am aware of regulations contained in Treasury Department Circular No. 230 (31 CFR, Part 10), as amended, concerning

the practice of attorneys, certified public accountants, enrolled agents, enrolled actuaries, and others;

● I am authorized to represent the taxpayer(s) identified in Part I for the tax matter(s) specified there; and

● I am one of the following:

a Attorney—a member in good standing of the bar of the highest court of the jurisdiction shown below.

b Certified Public Accountant—duly qualified to practice as a certified public accountant in the jurisdiction shown below.

c Enrolled Agent—enrolled as an agent under the requirements of Treasury Department Circular No. 230.

d Officer—a bona fide officer of the taxpayer’s organization.

e Full-Time Employee—a full-time employee of the taxpayer.

f Family Member—a member of the taxpayer’s immediate family (i.e., spouse, parent, child, brother, or sister).

Enrolled Actuary—enrolled as an actuary by the Joint Board for the Enrollment of Actuaries under 29 U.S.C. 1242 (the

authority to practice before the Service is limited by section 10.3(d)(1) of Treasury Department Circular No. 230).

g

h Unenrolled Return Preparer—an unenrolled return preparer under section 10.7(c)(1)(viii) of Treasury Department Circular No. 230.

IF THIS DECLARATION OF REPRESENTATIVE IS NOT SIGNED AND DATED, THE POWER OF ATTORNEY WILL

BE RETURNED.

Jurisdiction (state) or

Enrollment Card No.

Designation—Insert

above letter (a–h) Signature Date

Part II

a If you want the first representative listed on line 2 to receive the original, and yourself a copy, of such notices or

communications, check this box 

Form 2848 (Rev. 1-2002)

Caution: Students with a special order to represent taxpayers in Qualified Low Income Taxpayer Clinics or the Student Tax Clinic

Program, see the separate instructions for Part II.

Page 15
Dealing With the Representative For more information, see Publication 1546, The Taxpayer Advocate Service of the IRS.

After a valid power of attorney is filed, the IRS will recognize your representative. However, if it appears the repre- Free tax services. To find out what services are availsentative is responsible for unreasonably delaying or able, get Publication 910, Guide to Free Tax Services. It

hindering the prompt disposition of an IRS matter by failing contains a list of free tax publications and an index of tax

to furnish, after repeated requests, nonprivileged informa- topics. It also describes other free tax information services,

tion, the IRS can contact you directly. For example, in most including tax education and assistance programs and a list

instances in which a power of attorney is recognized, the of TeleTax topics.

IRS will contact the representative to set up appointments Personal computer. With your personal com- and to provide lists of required items. However, if the puter and modem, you can access the IRS on the representative is unavailable, does not respond to re- Internet at www.irs.gov. While visiting our web peated requests, and does not provide required items site, you can: (other than items considered “privileged”), the IRS can

bypass your representative and contact you directly. • Find answers to questions you may have.

If a representative engages in conduct described above, • Download forms and publications or search for forms the matter can be referred to the Director of Practice for and publications by topic or keyword. consideration of possible disciplinary action.

• View forms that may be filled in electronically, print Notices and other correspondence. If you have a rec- the completed form, and then save the form for re- ognized representative, you and the representative will cordkeeping. receive required notices and other correspondence from • View Internal Revenue Bulletins published in the last the IRS (either the original or a copy), unless you checked

box (c) on line 7 of Form 2848 or placed a similar restriction few years.

on your authorization of a representative (power of attor- • Search regulations and the Internal Revenue Code. ney). If the power of attorney is processed on the CAF

system, the IRS will send your representative(s) a dupli- • Receive our electronic newsletters on hot tax issues

cate of all computer-generated correspondence that is and news.

sent to you. (This includes notices and letters produced • Get information on starting and operating a small either at the Martinsburg Computing Center, or other IRS business.

centers.) The IRS employee handling the case is responsible for ensuring that the original and any requested copies You can also reach us with your computer using File of each manually-generated correspondence are sent to Transfer Protocol at ftp.irs.gov. you and your representative(s) in accordance with your

authorization. TaxFax Service. Using the phone attached to

your fax machine, you can receive forms and

instructions by calling 703–368–9694. Follow How To Get Tax Help the directions from the prompts. When you order forms,

enter the catalog number for the form you need. The items

You can get help with unresolved tax issues, order free you request will be faxed to you.

publications and forms, ask tax questions, and get more For help with transmission problems, call the FedWorld

information from the IRS in several ways. By selecting the Help Desk at 703–487–4608.

method that is best for you, you will have quick and easy

access to tax help.

Phone. Many services are available by phone. Contacting your Taxpayer Advocate. If you have attempted to deal with an IRS problem unsuccessfully, you

should contact your Taxpayer Advocate.

The Taxpayer Advocate represents your interests and

concerns within the IRS by protecting your rights and • Ordering forms, instructions, and publications. Call

resolving problems that have not been fixed through nor- 1–800–829–3676 to order current and prior year

mal channels. While Taxpayer Advocates cannot change forms, instructions, and publications.

the tax law or make a technical tax decision, they can clear • Asking tax questions. Call the IRS with your tax up problems that resulted from previous contacts and questions at 1–800–829–1040. ensure that your case is given a complete and impartial

review. • TTY/TDD equipment. If you have access to TTY/

To contact your Taxpayer Advocate: TDD equipment, call 1–800–829–4059 to ask tax

questions or to order forms and publications. • Call the Taxpayer Advocate at 1–877–777–4778.

• TeleTax topics. Call 1–800–829–4477 to listen to • Call the IRS at 1–800–829–1040. pre-recorded messages covering various tax topics.

• Call, write, or fax the Taxpayer Advocate office in

your area. Evaluating the quality of our telephone services. To

• Call 1–800–829–4059 if you are a TTY/TDD user. ensure that IRS representatives give accurate, courteous,

Page 16
and professional answers, we evaluate the quality of our • Central part of U.S.:

telephone services in several ways. Central Area Distribution Center

P.O. Box 8903 • A second IRS representative sometimes monitors Bloomington, IL 61702–8903 live telephone calls. That person only evaluates the

IRS assistor and does not keep a record of any • Eastern part of U.S. and foreign addresses:

taxpayer’s name or tax identification number. Eastern Area Distribution Center

P.O. Box 85074 • We sometimes record telephone calls to evaluate Richmond, VA 23261–5074 IRS assistors objectively. We hold these recordings

no longer than one week and use them only to measure the quality of assistance. CD-ROM. You can order IRS Publication 1796,

Federal Tax Products on CD-ROM, and obtain: • We value our customers’ opinions. Throughout this

year, we will be surveying our customers for their

opinions on our service.

• Current tax forms, instructions, and publications.

Walk-in. You can walk in to many post offices, • Prior-year tax forms and instructions.

libraries, and IRS offices to pick up certain forms, • Popular tax forms that may be filled in electronically, instructions, and publications. Some IRS offices, printed out for submission, and saved for record- libraries, grocery stores, copy centers, city and county keeping. governments, credit unions, and office supply stores have

an extensive collection of products available to print from a • Internal Revenue Bulletins.

CD-ROM or photocopy from reproducible proofs. Also,

some IRS offices and libraries have the Internal Revenue The CD-ROM can be purchased from National TechniCode, regulations, Internal Revenue Bulletins, and Cumu- cal Information Service (NTIS) by calling

lative Bulletins available for research purposes. 1–877–233–6767 or on the Internet at www.irs.gov. The

first release is available in mid-December and the final

release is available in late January.

Mail. You can send your order for forms, instruc- IRS Publication 3207, Small Business Resource Guide,

tions, and publications to the Distribution Center is an interactive CD-ROM that contains information impornearest to you and receive a response within 10 tant to small businesses. It is available in mid-February.

workdays after your request is received. Find the address You can get a free copy by calling 1–800–829–3676 or

that applies to your part of the country. visiting the IRS web site at www.irs.gov.

• Western part of U.S.:

Western Area Distribution Center

Rancho Cordova, CA 95743–0001

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Glossary

The definitions in this glossary are Commissioner: The Commissioner ernment, or in any agency of the

the meanings of the terms as used in of the Internal Revenue Service. United States, including the District of

Columbia. this publication. The same term used Durable power of attorney: A power in another publication may have a of attorney that is not subject to a time Limited power of attorney: A power slightly different meaning. limit and that will continue in force after o f attorney that limits the

Attorney-in-fact: An agent author- the incapacitation or incompetency of attorney-in-fact to certain specified

the grantor (the taxpayer). act(s). ized by a person under a power of

attorney to perform certain act(s) or Enrolled agent: Any individual who is Practitioner: Generally an attorney, kind(s) of acts for that person. enrolled under the provisions of Trea- CPA, enrolled agent, or enrolled actusury Department Circular No. 230 to ary authorized to practice before the CAF number: The Centralized Au- practice before the IRS. IRS. Other individuals may qualify to thorization File number issued by IRS practice temporarily or engage in lim- to each representative whose power of Fiduciary: Any trustee, executor, ad- ited practice before the IRS, however, attorney, and each designee whose ministrator, receiver, or guardian that they are not referred to as practition- tax information authorization, has stands in the position of a taxpayer ers.

been recorded on the CAF system. and acts as the taxpayer, not as a

representative. Recognized representative: An indiCentralized Authorization File vidual who is recognized to practice General power of attorney: A power (CAF) System: The computer file before the IRS. of attorney that authorizes the system containing information regard- attorney-in-fact to perform any and all ing the authority of individuals ap- acts the taxpayer can perform. pointed under powers of attorney or

persons designated under the tax in- Government officer or employee:

formation authorization system. This Any officer or employee of a state or

system gives IRS personnel quicker the United States in the executive, legaccess to authorization information. islative, or judicial branch of the gov- ■

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Index

A R Free tax services . . . . . . . . . . . . . 16

Actuaries . . . . . . . . . . . . . . . . . . . 18 Representation outside the

Application for enrollment ........5 G United States ...............4

Assistance (See Tax help) General power of attorney . . . . . . 18 Restrictions ..................6

Associations ..................4 Glossary . . . . . . . . . . . . . . . . . . 6, 18 Rules of practice:

Attorney-in-fact . . . . . . . . . . . . . . . 18 Government officer and Confidentiality privilege ........5

Attorneys . . . . . . . . . . . . . . . . . 3, 18 employee . . . . . . . . . . . . . . . . . 18 Due diligence ...............5

Duties .....................5 Authorization letter .............4

Duty to advise ...............5 H Restrictions .................6 C Help (See Tax help)

CAF (See Centralized Authorization S File (CAF)) I Special appearances ...........4 CAF number . . . . . . . . . . . . . . . 4, 18 Inactive retirement status ........4 Suggestions ..................2 Centralized Authorization File Inactive roster .................4 Suspension . . . . . . . . . . . . . . . . 4, 6 (CAF) . . . . . . . . . . . . . . . . . . . . 18 Incapacity or incompetency ......7

Certified public accountants

(CPAs) . . . . . . . . . . . . . . . . . 3, 18 T L

Comments ...................2 Tax help . . . . . . . . . . . . . . . . . . . . 16 Limited power of attorney . . . . . . . 18

Commissioner . . . . . . . . . . . . . . . 18 Tax matters partner . . . . . . . . . . . 12 Limited practice ...............3

Confidentiality privilege ..........5 Tax matters person . . . . . . . . . . . . 12 Loss of eligibility: Confidentiality privilege: Taxpayer Advocate . . . . . . . . . . . . 16 Failure to meet requirements ....4

Protected communication ......5 Termination ..................7

Corporations ..................4 Third party designee . . . . . . . . . 1, 12 M CPAs (See Certified public TTY/TDD information . . . . . . . . . . 16 More information (See Tax help) accountants (CPAs))

U N D Unenrolled individuals: Non-IRS powers of attorney . . . . 2, 8 Director of Practice .............2 Employee ..................3 Nonwritten consent . . . . . . . . . . 1, 12 Disbarment . . . . . . . . . . . . . . . . . 4, 6 Family member ..............3

Disreputable conduct ...........6 Fiduciary ...................3

Durable power of attorney O Individual ..................3 . . . . . . . 18 Oral authorization ..............1 Officer .....................3

Partner ....................3 E P Unenrolled return preparers . . . . 3, 7 Enrolled actuaries ..............3 Partnership level proceedings . . . . 12 Enrolled agent: Partnerships ..................4 V Disbarment .................4

Suspension Power of attorney: Verbal authorization ............1 .................4

Processing and handling . . . . . . 13

F Representative . . . . . . . . . . . . . 16 W

Practice before the IRS . . . . . . . . 3, 4 Where to file: Fax copies . . . . . . . . . . . . . . . . . 2, 9 Practitioner . . . . . . . . . . . . . . . . . . 18 Chart .....................9 Fiduciary . . . . . . . . . . . . . . . . . . . 18 Processing a non-IRS powers of Form 23 .....................5 attorney ...................8 ■

Form 2587 ...................5 Protected communication: Form 2848 . . . . . . . . . . . . . . . . 9, 13 Tax shelters ................5

Form 8554 ...................5 Public accountants . . . . . . . . . . . . 18

Form 8821 ...................2 Publications (See Tax help)

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