The IRS Audit Blog

Posts Tagged ‘mortgage_industry’

Question: Can I get a mortgage if I haven’t filed last for a tax return the previous year?

I didn’t file a tax return in ‘06, yet. Just because I will only get a small return, but I will get a return. If I apply for a “stated income” Mortgage, I will still have to fill out a 4506-T form (IRS-Request for tax returns), but will it matter? Anyone who can shed light on this I would very much appreciate it.

Answer: Your w2 from 06 and 05, most recent paystubs, and a verification from your boss is sufficient.

However, if you’re self-employed, you will need to show your tax returns and a statement from your accountant.

A “stated income” mortgage will have a higher interest rate. I would recommend avoiding that route if possible.

Good luck!

The Work Number Bundles Services to Assist Small-Mid Tier Mortgage Banks

The Work Number®, announced it has expanded its presence within the small-mid tier mortgage banking industry.  Within the last six months, more than 450 small-mid tier financial institutions have implemented The Work Number’s suite of automated verification services â allowing lenders to access pre-funding identity verification, employment & income verification, and IRS tax transcript …

Driver’s Seat

Question: Question about IRS form 4506?

I was asked to fill out a 4506 form for a scholarship. And under line five it states” DO NOT SIGN this form if a third party requires you to complete form 4506, and lines 6 and 7 are blank” ( lines 6 and 7 are blank. So, am I really to leave the signature part of this form blank? it just doesn’t seem right.

Answer: No. This means if a third party sent you the form to sign and lines 6 or 7 are blank, do not sign.

Surely, the scholarship grantor asked you to submit copies of CERTAIN YEARS’ returns? In this case, fill in the form number and years, and sign the form.

How to Obtain a Transcript of Your Past Tax Information

Taxpayers who need their past tax return information can obtain it from the IRS. Here are nine things to know if you need copies of your federal tax return information.

Your Path to a More Affordable Mortgage

Question: Do lenders really order a transcipt of prior year tax returns for mortgage modification?

I got a modification package and there is a form 4506-T. I was wondering do they really order transcripts from IRS? It’s not that I am trying to hide anything it’s just I filed taxes with my ex, but still legally married husband for tax benefit purposes.

Answer: The form 4506-T is for that purpose however each lender has their own guidelines to submitting the request. The form is for you go give them consent to do if they need or want to. A lender usually does that when they suspect something, for example if when you submitted your paperwork for your loan you claimed to be making $100,000 per year and now you make $50,000 they have reason to suspect fraud.
If have nothing to hide then you have nothing to worry about, good luck.

Business briefs: Salon hosts fundraiser

Katrina Salon & Spa in Batavia will host its 2nd cancer awareness fundraiser in honor of local resident Brian J. McGrath, whose battle with melanoma lasted two years until his death in 2005 at age 36.

Question: If I file a form 4506 with the IRS, will the return I get back have their filing date on it-when they got it?

Answer: Yes if you are requesting a tax return and pay the $57 fee for a copy of a tax return, it will have the IRS received date stamp on the return. If you request the transcript for any year it will also show the date IRS received the tax return.

New home loan modification rules coming

Need a home loan modification? In June, homeowners must provide financial documents upfront.

Tax Tips & Information : How to Get a Copy of Last Year’s Taxes

Question: If I did not file for taxes will it cause my home loan to be denied ?

will the report on form 4506-T cause my loan applacation to be denied? can I contact the IRS to correct this.(Pay the IRS if needed) so my loan goes thought.. Very short on tiime have 45 days to get this fix if it becomes a problem.. Help Please

Answer: If you haven’t been filing taxes, I imagine that could cause your loan to be denied. The bank’s usually ask for copies of your tax returns to verify your income. Why should the bank believe you will pay them back if you haven’t paid the IRS?

You should really take care of the IRS issue as quickly as possible. You can find phone numbers for your local office on their website.

Government & Public Sector

“Although [the federal government] ha[s] made some progress—particularly with respect to Recovery Act contracts—more work can and should be done.

Loan Modification Response in 7 Days (Nationwide) www.austinlawwrks.com