TAX RETURN VERIFICATION
4506-C PROCESSING
Online income verification process that provides an efficient and cost effective means to verify an individual’s income from the IRS with Form 4506-C. Over 60% of all mortgage fraud includes income or identity misrepresentations.
BENEFITS
- Produces tax transcripts in as little as 24 to 48 hours
- Reduce risk exposure by verifying the accuracy of income data provided by the borrower
- Eliminates careless mistakes that result in IRS rejections and applicants with less than accurate financial information
- Allows lenders to expedite the underwriting process
- Decreases loan processing time and increases efficiency
- Detects potential fraud and reduces the risk of repurchase demands
- Generates email confirmations when faxed documents are received and results are posted
WHICH REPORT IS BEST FOR YOU?
Choose a report that suits your needs:
- 1040 – For personal tax transcripts
- 1065, 1120, 1120S – For corporate and business tax transcripts
- W-2 – Employer reported financial data
- 1099 – Payments made to an individual or company for services provided
- K-1 Information – Partnership reported financial data
- Stated Doc – Requires a 4506-C, but only reveals confirmation of filing for specified years, and existence of Schedule C and/or E
- Stated Income – Requires a 4506-C, but only reveals confirmation of filing for specified years, existence of Schedule C and/or E with a minimal income level stating the borrower reported income greater than or equal to XXXXX
Please print and fax the completed tax return order form with signed 4506-C form
As a reminder, the IRS began tightening their processing guidelines of 4506-C forms on May 4th to ensure that the signor (borrower/taxpayer) has consented to what is being ordered. The tightening of these guidelines should decrease the turn-around time of your orders, but could result in more 4506-Cs being rejected due to incomplete or illegible information.
Thoroughly completing your 4506-C forms sets you up for success. Please make every effort to complete the entire 4506-C form including:
- Borrower’s name (line 1a/2a)
- SSN (line 1b/2b)
- Address (line 3)
- Previous address (line 4) if applicable
- Form requested and corresponding box marked (line 6/8)
- Years requested (line 9)
- Borrower’s signature and date (within 60 days)
The IRS will reject any incomplete, altered, and/or illegible forms. We will continue to assist you regarding these changes. If you have any questions please call 800-352-5882 or email trv@ciccredit.com
