Welcome
Daily Tax Report ®

IRS Starts Processing New Requests to Verify Borrower Income

May 18, 2020, 1:46 PM

For a 24-hour period beginning Monday the IRS will accept a limited number of new requests for quick tax transcripts to verify a potential borrower’s income.

The program, known as the Income Verification Express Service, allows a handful of lenders or service providers to lenders, such as credit reporting giant Equifax, to receive expedited tax transcripts from the IRS to confirm a potential borrower’s income when processing loan applications. New requests have been on hold since late March due to staffing limitations at the agency resulting from the coronavirus pandemic.

  • “We’ve worked on a process that will allow some staff to work remotely to supplement the limited personnel at the service centers,” the IRS said in an email alert Friday. “However, we need to test this process.”
  • As part of the test, the IRS starting Monday at 11 a.m. EDT will open fax lines at four different facilities for 24 hours to accept up to 10% of new work for each IVES participant.
  • The agency will give further updates about accepting new work once the test is completed and evaluated, the IRS said.
  • The IRS in late April announced it was beginning to process its backlog of existing IVES requests but still not accepting new ones. The latest announcement is a step toward getting the system operating normally again.

To contact the reporter on this story: Allyson Versprille in Washington at aversprille@bloombergtax.com

To contact the editors responsible for this story: Patrick Ambrosio at pambrosio@bloombergtax.com; Colleen Murphy at cmurphy@bloombergtax.com

To read more articles log in. To learn more about a subscription click here.