Eight Ways to Save Time and Help Your Clients Using IRS e-Services - read online

Sep 17, 2026

Uploaded by Gloria

Eight ways to save time while helping clients through IRS e-Services are presented by Jim Buttonow, CPA, CITP. The discussion explains how practitioners can move beyond common uses by leveraging e-Services products—Disclosure Authorization, Transcript Delivery System, and Electronic Account Resolution—to access tax histories, research compliance for first-time penalty abatement, manage client notices, prevent CP2000 issues, request account status updates within days, document tax identity theft, and establish payment plans, while noting EAR limits for compliance matters.

LanguageEnglish

CategoryPresentations

FormatPDF

Pages3

Reading Time1 min

AccessFree to download

Overview

Growth and key e-Services products

Eight time-saving applications

Get a complete tax history for new clients

Determine qualification and apply for first-time penalty abatement

File an annual Form 8821 via e-Services

Use wage and income transcripts to prevent CP2000 notices

Get a status update through EAR

Research tax identity theft

Establish a payment plan

Eight Ways to Save Time and Help Your Clients Using IRS e-Services By Jim Buttonow, CPA, CITP Some practitioners are spending too much time on the phone with the IRS, needlessly navigating the phone lines to find the right person to help with what is most often a small matter. Fortunately, learning how to maximize the full range of e-Services tools can greatly improve efficiency and time savings. The rate of e-Services usage among practitioners is increasing. For example, from 2011 to 2012, practitioners filed 17% more authorization forms and requested 33% more transcripts via e-Services. This growth is largely because tax professionals are learning more about how to use e-Services to save time addressing most client account-related issues. The IRS has continually expanded e-Services to enable Circular 230 practitioners (such as CPAs, enrolled agents and attorneys) and practitioners whose firms have e-filed five or more returns in a calendar year to use three e-Services products: Disclosure Authorization (DA) allows practitioners to file Forms 2848, Power of Attorney and Declaration of Representative, and Form 8821, Tax Information Authorization. Transcript Delivery System (TDS) allows practitioners to obtain any of the five types of IRS transcripts. Electronic Account Resolution (EAR) allows practitioners to make inquiries and resolve client accountrelated issues. EAR inquiries are answered by the same IRS customer service representatives who handle PPS calls, but without the wait times. EAR also offers the ability to work with one PPS representative to resolve a client account issue. Keep in mind that you can’t use EAR to resolve compliance issues, such as audits, appeals and collection matters. Most practitioners are aware of the most common uses of e-Services. Here are eight less commonly known ways to maximize e-Services to save time and help your clients: Get a complete tax history for a new client. Often, new clients arrive with incomplete tax records. Using TDS, you can get objective background information to use in tax preparation and planning. You can instantly download and review an electronic copy of your client’s returns from the past three years, or review your client’s individual wage and income information from the past 10 years. Reviewing account transcripts will also reveal any challenges to your client’s tax returns, such as an underreporter notice or an audit. Having a complete picture of your client’s tax history can help you begin a new client relationship with all the facts. Determine qualification and apply for first-time penalty abatement. The IRS will abate certain filing and payment penalties for individual, business and payroll clients if your client has a clean compliance history. First-time abatement is a little-known administrative waiver that can benefit taxpayers with an isolated incident. According to a 2012 TIGTA report, in 2010, about 1.65 million individual taxpayers qualified for first-time penalty abatement. However, according to the same TIGTA report, only 8.8% of the taxpayers in the sample it tested actually received the abatement. Using TDS, you can research your client’s compliance history, including penalties assessed and unfiled returns, to determine whether your client qualifies for first-time penalty abatement. If your client qualifies, and his or her case is not in an IRS compliance function, you can use EAR to request and receive first-time abatement. File an annual Form 8821 to get copied on your client’s notices. In today’s compliance environment, it’s common for clients to receive IRS notices, which can stress the client relationship. However, you can turn IRS notices into an opportunity to strengthen your client relationships by submitting Form 8821 via e-Services DA to be copied on your clients’ notices immediately. Use wage and income transcripts to prevent a CP2000 underreporter notice. In 2012, the IRS sent more than 4.5 million CP200

FAQs

What are the three main IRS e-Services products discussed, and what does each do?

Disclosure Authorization (DA) enables filing Forms 2848, 8821, and related declarations. Transcript Delivery System (TDS) provides access to different IRS transcripts, and Electronic Account Resolution (EAR) supports inquiries and resolution of client account-related issues without the typical wait times.

How can TDS help when a new client has incomplete tax records?

TDS can retrieve electronic copies of returns from the past three years and wage and income information from the past 10 years, helping practitioners review background facts and spot issues such as underreporter notices or audits.

Can EAR be used to resolve compliance issues like audits or appeals?

No. EAR inquiries and resolution are intended for client account-related issues and cannot be used to resolve compliance matters such as audits, appeals, or collection cases.

Sep 17, 2026

Uploaded by Gloria