ERO signature

[JJStephens]

Somewhere in the deep dark past I vaguely recall seeing something that the ERO cannot sign/date Form 8879 until the client signs (i.e., the ERO date has to be on or after the client date). Twice I've tried to find something to confirm that requirement--can't find anything. Pub 1345 says the 8879 has to been signed by the client and ERO prior to e-filing and kept for three years but I couldn't find anything about the timing of the ERO signature. Was I mistaken in my earlier thinking?

I'd really prefer to sign them immediately, if I'm not endangering the space-time continuum in some way. That way, my client does not mistakenly sign the wrong place and I don't have the hassle of after-the-fact signing for 8879s that come back via mail or portal.

[Lee B]

Gosh, I have always signed it when I prepared the return, am I in deep doo doo

[JJStephens]

Like I said, I cannot find anything to back up what I thought I heard many years ago. You're probably okay and I've probably just been doing it the hard way for no good reason. Deep sigh.

[Abby Normal]

1 hour ago, cbslee said:

Gosh, I have always signed it when I prepared the return, am I in deep doo doo

I've never signed one in 25 years. I just have ATX 'electronically sign' it for me. I've also never had the IRS ask for my 8879s.

[JJStephens]

21 hours ago, Abby Normal said:

I've never signed one in 25 years. I just have ATX 'electronically sign' it for me. I've also never had the IRS ask for my 8879s.

I've been preparing taxes since 1987. Last month I got a call from our friends at the IRS saying I had been selected at random for a compliance audit. She spent an hour asking questions and then another hour reviewing all my YTD 8879s. Lucky me. I passed the audit just fine, but now I'm slightly paranoid.

I switched from ATX to Drake back in '14. I haven't found a way to have the software supply the signature. I need to check into that.

[Abby Normal]

15 minutes ago, JJStephens said:

I haven't found a way to have the software supply the signature.

You could always sign them after the IRS contacts you, which after your clean audit, they probably won't ever audit you again.

[Lion EA]

I sign, because my clients ask if they think my wet signature is missing! But I have my software set to print my signature, so it's always there and legal, if I forget to wet sign. The last time I checked, the IRS and all the states I prepare, accept the printed-by-software signature.

[jklcpa]

1 hour ago, JJStephens said:

I switched from ATX to Drake back in '14. I haven't found a way to have the software supply the signature. I need to check into that.

Click the "Setup" drop down menu on the top toolbar, then select "Preparer(s)".  From there, choose the preparer that shows your PTIN, not the administrator. When the dialog box comes up, look on the righthand side under Return Signature Options: make sure you have entered your 5-digit pin and check both boxes for "8879 PIN signature" and "Alternative Electronic Signature" .   That will place your typed signature on the Federal forms and 8879 and any states that allow it wtihout making a separate selection within Drake.  Read on -

Also, be sure to check your state options for any states that you prepare. Some within Drake will require that you make that same election for the electronic signature on a state-by-state basis.  For example, PA and NJ are two that I prepare that require another checkbox be marked, and isn't an available option for my home state of DE at all, so I still sign those manually.  Those state-by-state choices are found in the "Setup" drop down, then choose the first item "Options".  Then from the next dialog box that appears, choose the "state" tab and then use the drop down selection for each state that you prepare.  If the state requires you to check a box separate from the Federal option, you should see a checkbox that again says "Alternative Electronic Signature".  Example, that is what I see for PA and NJ. MD isn't necessary as it follows the federal option.

Hope that helps.

[JJStephens]

Thanks. I called Drake after my earlier post. They weren't sure but they got me pointed in the right direction. After a few minutes of fiddling around, I found it. I wonder how many hours I spent over the past 8 years doing what could have been done automatically. Maybe God will give me back those hours if I ask nicely.

 

[Catherine]

Thanks, Judy @jklcpa - I usually wet-sign with just my initials, but this is a good trick to know.

[Terry D EA]

On 4/12/2023 at 11:40 AM, JJStephens said:

I've been preparing taxes since 1987. Last month I got a call from our friends at the IRS saying I had been selected at random for a compliance audit. She spent an hour asking questions and then another hour reviewing all my YTD 8879s. Lucky me. I passed the audit just fine, but now I'm slightly paranoid.

I switched from ATX to Drake back in '14. I haven't found a way to have the software supply the signature. I need to check into that.

I've been trying the same thing in Drake without success. I do know if you have a signature pad, you an sign that way. I set up the rubber stamp feature but still cannot have Drake automatically place the signature. 

I've dated the 8879 when preparing as well and have never been questioned. Maybe my lucky day is coming