23-37: Navigating Form 4506-C: Insights and Tips for Completing

Lines 1A-2B

• The name of the borrower was provided in the wrong field
• The SSN of the borrower was provided in the wrong field
• The SSN of the borrower was not submitted in XXX-XX-XXXX format (hyphens are required)
• There is more than one borrower (other than spouse) listed on the form

Line 1A.III

• Field contains more than 22 characters of the business name (if filing for a business)

Lines 3 & 4

• The street, city, state, and/or zip code were not provided in their designated fields

Line 5d

• The client information section was left blank
• The client name, phone number, street, city, state, and/or zip code were not provided in their designated fields
• “N/A” or “not available” was provided for a filed in the client company information section. All fields in this section must be complete

Line 6 (1040)

• More than one form type was listed
• W2/1099 was listed
• More than one checkbox was selected (6a. 6b. 6c.)
• No checkbox was selected (6a. 6b. 6c.)
• Line 7 was selected when line 6 was

Line 7 (1099 / W-2)

• “N/A” or “not available” was provided in any field in this section
• The checkbox for the requested borrower was not checked
• An invalid form type was listed for line 7a
• 1040, 1120, or 1065 was listed on line 7a
• Line 6 was selected when line 7 was already populated (do not additionally select line 6 when line 7 has already been selected)

Line 8 (Years)

• The format was not in MM/DD/YYYY format

Signature

• The form was signed by an authorized representative and the authorized representative box was not checked
• The form includes more than one signature when only one individual was listed in section 1a

E-Signatures

• The form was electronically signed and the electronic signature box was not checked
• The date must separately be included in the designated date field even if a date is included in the e-signature stamp

Form

• The form was altered (includes the use of white-out, crossing out dates, changes made by the borrower and initialed, writing over information causing the information to be illegible or invalid, etc.)
• The information for Lines 1-8 was handwritten
• Information was entered in the incorrect field
• Information entered spilled over into a connecting field (most common spill overs appear in borrower signature, signature date, and borrower last name fields)
• Information entered on the form, or the barcode spilled over the borders of the form (this includes DocuSign)
• Fields where a highlighter was used (do not use a highlighter anywhere on the form as it may trigger issues through the IRS OCR system)

Married Filing Separate

• For married couples who have filed separately, a separate 4506-C Form was not provided for each borrower

Form 1065, US Return of Partnership Income

• Partner
• Limited Partner

• President
• Vice President
• Secretary
• Treasurer
• Assistant Treasurer
• Chief Accounting Officer
• Any Tax Officer, including controller
• 1% shareholder (for corporations)
• Shareholder (for S-corporations)

• Signature of the Managing Member
• Exception: if a Form 8832, Entity Classification Election, has been filed, then signature can be
  • President
  • Vice President
  • Secretary
  • Treasurer

The form was altered

Fields on the form were highlighted

Information spills over into a connecting field

E-sign box not checked when electronically signed

Not in MM/DD/YYYY Format

Borrower’s SSN not submitted in XXX-XX-XXXX format

More than one checkbox was selected (6a. 6b. 6c.)

More than one form type was listed

Over populated form: Both lines 6 and 7 were selected