The acceptance of e-signatures (including on physical forms) is commonplace for many businesses these days, including being used for everything from software licensing agreements, to employment agreements, to vendor and customer agreements. However, there is been one clear snubber from the e-signature movement, the Internal Revenue Service (IRS). At least until 2020.
Because of COVID-19, the IRS is allowing e-signatures on certain types of forms that cannot be filed electronically until December 31, 2020. These include:
- Form 3115, Application for Change in Accounting Method;
- Form 8832, Entity Classification Election;
- Form 8802, Application for U.S. Residency Certification;
- Form 1066, U.S. Income Tax Return for Real Estate Mortgage Investment Conduit;
- Form 1120-RIC, U.S. Income Tax Return For Regulated Investment Companies;
- Form 1120-C, U.S. Income Tax Return for Cooperative Associations;
- Form 1120-REIT, U.S. Income Tax Return for Real Estate Investment Trusts;
- Form 1120-L, U.S. Life Insurance Company Income Tax Return;
- Form 1120-PC, U.S. Property and Casualty Insurance Company Income Tax Return; and
- Form 8453 series, Form 8878 series, and Form 8879 series regarding IRS e-file Signature Authorization Forms.
The IRS also continues to allow e-signatures (in the form of a filer PIN or otherwise) for forms that can be filed electronically, including the following:
- Form 1040 (Individual/Joint Income Tax Return)
- Form 1120S (S-corporation)
- Form 1165 (Partnership)
- Form 1120 (C-corporation)
- Form 1023 and 1023EZ (non-profit status)
Virtus Law, PLLC continues to monitor changes in this area and will continue to post relevant updates to this website.