The IRS is continually making changes to their requirements of the data contained within the 4506-T.  Gateway requires receipt of the IRS tax transcripts on all files.  Incorrect completion of this document can cause significant delays in receiving transcripts for your borrower, from the IRS, by our underwriting department.

 

Gateway recently released a policy change, allowing Loan Officers to provide their own, 3rd party obtained, IRS transcript verifications.  As stated in the policy, if these transcripts are not provided with the loan package upon submission, when the loan is initially submitted to GMG's Underwriting Department, we will order the transcripts from the IRS ourselves.  As you are all aware, GMG requires these IRS transcripts for all files submitted.

 

There are numerous companies that will process 4506-T requests for you.  It is up to the loan's originating office to set up these relationships.  I would strongly suggest that you set up a relationship with one of these providers and begin to submit the transcripts with your file to Underwriting.  Should we have to order these transcripts ourselves, your file approval, or clear to close, may be delayed.

 

Here is a list of a few companies that provide 4506-T IRS Transcript services*:

Þ   AccuVerify - www.accuverify.com<http://www.accuverify.com

Þ   Veri-Tax - www.veri-tax.com

Þ   Verification Bureau - www.verificationbureau.com

Þ   Informative Research - www.informativeresearch.com

Þ   Rapid Reporting  - www.rapidreporting.com

Þ   CBC Innovis - www.cbcinnovis.com

 

*The above list of IRS Tax Transcript service providers is provided for informational purposes only, and no direct or indirect endorsement of the company’s services or products is expressed or implied.

 

The information below highlights much of the information that will cause the IRS to reject the processing request of a 4506-T.  Please use the following information as a guide for proper completion of the 4506-T (Click Here for Helpful Guide):

 

Line 1a:  Must be the exact name of the borrower, as reflected on their tax return.

Line 1b:  Borrower social security number must be entered.

Line 2a:  The IRS no longer allows the submission of a 4506-T with more than one individual.  Therefore, if you have multiple borrowers, a separate 4506-T must be submitted for each.  This line should always be blank.

Line 3:  If your origination system puts the borrower's name here, it must reflect the same name as that listed in Line 1a.  Additionally, this address must reflect the current address of the borrower, as filed on their last tax return.

Line 4:  If, at any time in the past, the borrower has filed a return under a previous address, that address must be entered here.  The only time this field should be blank is if the borrower has always filed their return under the same address.

Line 5:  If GMG is ordering the 4506-T on the file, this field must contain the following:

                                Gateway Mortgage Group LLC

                                6910 E 14th St, Tulsa, OK  74112

If your office is requesting the tax transcripts from your own provider, this field must contain the company name and address used to set up your account with that provider.

Line 6:  Should indicate "1040" in the Transcript requested section.

                * GMG checks Boxes 6a and 6c for all our transcript requests.  6a is required.  6c is used as a "backup".  You are not required to check box 6c, unless GMG is ordering the 4506-T for you.  However, if the borrower has filed amended returns, 6c will provide a record of those changes as submitted to the IRS.

Line 7:  Blank

Line 8:  Checked

Line 9:  Should indicate the current year, and the most recent 2 years.  i.e., if requesting transcripts in 2010, Line 9 should indicate "12/21/2010", "12/31/2009", and "12/31/2008".

Signature of taxpayer:  Only the borrower listed in Line 1a may sign this form.  Borrower must date the form and a phone number must be provided.  Again, only one borrower per form.  So, if you have a co-borrower(s), or additional borrower(s), each must sign their own prospective form(s).

 

As always, thank you for your continued business!

 

 

J. Whitney Barth

VP Operations

Gateway Mortgage Group LLC

972.908.3390 x101 p

918.392.8336 f

6/04/2010