As previously announced, FNMA has posted the following:
“Based on information we have seen from the IRS Income Verification Express Service (IVES) program, IRS Forms 4506-T and 4506T-EZ are being phased out for use by third parties in early 2021. (Taxpayers may continue to use these forms to obtain transcripts.) IRS Form 4506-C has been created for authorized IVES participants to order tax transcripts with the consent of the taxpayer. As a result of these changes, we have replaced all references to IRS Form 4506-T with IRS Form 4506-C.
Given the impact to reverifications required for loans selected for QC, we encourage lenders to begin using IRS Form 4506-C immediately. This form must be used to request a tax transcript beginning March 1, 2021. As a reminder, lenders must ensure the form is filled out completely and accurately before the taxpayer is asked to sign the form. This will facilitate lender’s ability to obtain the required transcripts from the IRS without delay.” (FNMA SEL-2020-07)
As also announced, temporary field “Print IRS Form 4506-C Content Indicator” (Field 143002) was created to allow Form 4506-C to print in place of Form 4506-T on Cx3095 during testing and transition on the ConformX Stage servers. This new functionality for Cx3095 is now available on ConformX Production as well. The document name for Cx3095 has been updated to “4506-T/4506-C Copy of Tax Form”.
Similar functionality to print Form 4506-C is now available on ConformX Stage and Production for Cx17841 as well, with the updated document name “4506-T/4506-C Corporation Tax Return”. A reference in the C-6 Incomplete Application version of “Statement of Credit Denial, Termination or Change” (Cx15858) to “Executed 4506-C Request for Tax Transcripts” when “Print IRS Form 4506-C Content Indicator” is “Yes” is also on ConformX Stage and Production.
If clients would like to have a standard value field mapping added to set “Print IRS Form 4506-C Content Indicator” to “Yes” on ConformX Stage or Production, please contact your Client Relationship Manager directly or contact our Client Support Team at 1-800-497-3584 for assistance. The Client Relationship team will also work with clients to update non-standard copies of IRS Form 4506-T as well as any custom client forms that reference 4506-T.
The ability to print Form 4506-C for Cx3095 and Cx17841, as well as print “4506-C” in Cx15858 when applicable, is available now. Questions or concerns about these changes may be directed towards Client Support at 1.800.497.3584.