By filing a Form 2848, Power of Attorney and Declaration of Representative, you are allowing licensed individuals to represent you before the IRS. This form allows licensed professionals, such as attorneys, CPAs and Enrolled Agents, to represent taxpayers in any department within the Internal Revenue Service.
What is the purpose of an IRS Power of Attorney?
The Form 2848, Power of Attorney, allows your representative to do the following:
- Determine notices issued by the IRS which will help you understand the status of your account
- Receive account transcripts to conduct a full analysis of your tax history
- Determine overall federal tax balances owed
- Determine the collection status on your IRS account
- Access previous year’s tax return filings, even if they are prepared by somebody else
- Research your federal tax account for compliance with tax filings and deposit/withholding requirements
- Receive copies of all notices the IRS sends to you
- Respond to IRS notices as they become issued
- Negotiate holds of enforced collection action such as bank levies, wage garnishments, and asset seizures
- Negotiate resolutions with the IRS such as Installment Agreements, Offers In Compromises, and discharges of federal tax liens
- Represent you with the Taxpayer Advocate Service (TAS)
- Appeal and dispute actions taken by the IRS
- Represent you in a tax audit or audit reconsideration
The Form 2848, Power of Attorney, does not do the following:
- Represent taxpayers in any form of court (i.e. Supreme Court, District Court, Bankruptcy Court, etc.)
- Represent taxpayers outside of the authority of the Power of Attorney at the IRS; meaning, it holds no weight with other federal agencies or state and local governments.
How to fill out and file an IRS Power of Attorney
- The individual or business identifying information must be provided on the Form 2848. This includes name, address, and Social Security Number or Employer Identification Number.
- Up to four representatives can be assigned to the account. All representatives must include their name, address, CAF number, Paid Preparer Tax Identification Number (PTIN), and contact phone number.
- Specific acts must be authorized which includes the specific matter (tax type), tax form (i.e. Form 1040), and years/periods involved.
- The Form 2848, Power of Attorney, must be signed by the taxpayer and their representative(s). If it is not signed by both, it will not be accepted by the IRS.
Individuals who represent taxpayers using Form 2848, Power of Attorney and Declaration of Representative, must:
- Be authorized to represent taxpayers in the matter described on the Form 2848
- Abide by the regulations set forth in Treasury Department Circular 230
- Not be “suspended or disbarred from practice, or ineligible for practice, before the Internal Revenue Service”
- Be any of the following:
- Enrolled Agent
- Certified Public Accountant
- Officer of the business
- Full-time employee of the business
- Immediate family member of the individual
- Enrolled Actuary
- Unenrolled return preparer (limited)
The Power of Attorney is sent directly to the IRS and it is put on file with the Centralized Authorization File (CAF) Unit. Once the form is completed and signed, your representative is immediately allowed to begin representing you.
Call Timberline Tax Group at 844-345-3250 for a free consultation.