Help with Form 8879

[jmallard]

:unsure: Seems like I am always late and it keeps me confused

I am really behind this year as I was not aware the ATX had dropped the Forum until I tried to log-on. I'm glad I found this forum. The ATX forum from the past gave me guidance many times.

At any rate, I'm a bit confused on the use of the Form 8879. I also was not aware that we can't use Form 8453 anymore for e-filing return except for sending the forms listed.

Would someone please tell me if I am correct in these assumptions/statements ?

If I am interpreting the form correctly, we (preparers) just need to generate a PIN number for our clients, enter it on the form and have the client sign

or

let the client choose a number, enter it on the form and they still sign.

In the second case, we complete Part III on the form and sign or is the tax preparer supposed to sign regardless of the client's selection?

Nothing is mailed in to the IRS when e-filing and using this form?

Then we (preparers) complete the info on the "1040 EF Info" by selecting the "Practitioner PIN" completing Section A or by selecting the "Self-Select PIN" and completing Section A and B?

What are most preparers doing, selecting PINs for the client or waiting and have the client select a PIN?

Seems to me it is easier to just select for the client and complete Part III of the form. I plan to just use the first 5 numbers of the clients social security number as a PIN, just to keep it simple. Anyone else doing something like this.

Thanks in advance.

Jerry

Opps - should have posted in the e-file forum - told ya I was confused :P

Edited January 21, 2008 by jmallard

[Janitor Bob]

Most of my clients do not have the time or the interest to choose and enter their own PIN...so I choose one for them (usually just the last 5 digits of their SSN....and enter it for them. Then I have them sign the 8879 for my records. I complete the 1040EF INFO (Part A) (Practioner PIN) and enter my ERO PIN (which I also use the last 5 digits of my SSN) and date signed.

On the 8879, I have the taxpayers sign and date by their PIN that I entered. I then complete part III of the 8879, transmit their returns electronically and file the 8879 with others so that I have it if needed....although the IRS has only asked for two in the 9 years I have been e-filing.

[Terry D EA]

I agree with Janitor Bob. I assign the PIN using the client's last five of the SS#. I select ERO entered have the client sign the form and keep for my records as required. One thing I do differently is I use the last five of my tax preparer ID instead of my SS#. Other than that, you are right on the mark.

Terry D.

[Gail in Virginia]

I have gotten very leery of using any part of anyone's social security number for any reason, and the IRS does not seem to care about duplication, so I use my client's zip code for the pin; if married, I reverse the zip code for the spouse. I have used phone numbers occasionally, but zip codes seem simpler.

[jmallard]

Thanks for the responses guys.

I'm glad to know that I was on the right track.

Jerry

[Bart]

and the IRS does not seem to care about duplication

I also thought the IRS did not care about duplication so I use the same number on everyone. Is that ok to do?

[Gail in Virginia]

As far as I know. One of the EA's in the local society uses 12345 for all taxpayers and 54321 for all spouses. Never has trouble remembering someone's pin.

[taxit]

I also use the same number for everyone. Have done it that way for 7 years.

[MAMalody]

I have used the last four digits of the SSN preceded by 1 for the first name listed and 2 for the spouse. For mine I use my zip code.

As a point of clarification, I thought that the required use of Form 8879 began with tax year 2008 not calendar year 2008. Do I remember this wrong?

Mike

[BulldogTom]

As far as I know. One of the EA's in the local society uses 12345 for all taxpayers and 54321 for all spouses. Never has trouble remembering someone's pin.

After the first year of letting the client select their pin (come on people - this should not take forever!), I went to the above method and have done it the same ever since. No questions from the IRS or state of CA.

Tom

Lodi, CA