IRS & Employer Advocacy / Performance Update
March 30, 2020
By Curtis Knuth, CEO of SERVICE 1st
As most of you, I’ve been working with our trade associations and government leadership to emphasize our unique importance to the U.S. economy. My conversations with MBA and CDIA ensure that Treasury recognizes our unique position and is extremely sensitive to pipeline fallout and the many servicing issues in the headlines.
Getting credit supplements and CreditXpert solutions will not be a concern as you navigate business challenges. We’re your partner in this and we’re ready to help.
The IRS suspended 4506-T processing activities this past Thursday evening, March 26. This is following a poorly executed IRS plan beginning March 19th to migrate 4506-T requests from closing sites to open sites. PennyMac late last Thursday, suspended 4506-T requirements for all programs except USDA. We expect guidance from the GSEs today or tomorrow with their recommendations. Review your investor guidelines, but we expect all guidance requiring execution of the 4506-T to remain effective.
The IRS has no remote processing capability for their employees completing 4506-T processing. Until IRS offices reopen, 4506-T processing will remain suspended. We continue activity towards utilizing the Get My Transcript IRS application. We’ll keep clients and prospects apprised of developments.
4506-T Alternative Solution: Get My Transcript IRS application. Contact us today!
The GSEs have modified their VOE standards permitting validations via e-mail. Employer’s response to VOE requests remains strong and overall performance has stabilized well at 70% of all requests completed in 24 hours or less. Specific to VOE processing, S1 is making extended payment terms available to clients within a case by case basis. Contact you S1 representative for information.
SSA-89 processing (SSV) has sustained zero impact and is performing per SLA