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NEW FEATURES IN 1040WORKS FEDERAL TAX SOFTWARE

We are excited to announce the following enhancements for our tax software program:

• Prepaid Bank Card - A debit card keeps money safe and available from anywhere in the world. Receive all the safety and security of VISA.
• Asset Tracker - Improvement over current Depreciation Worksheet. Has ability to track Assets and calculate depreciation of assets.
• Peek - Peek has been improved to allow you to view amounts on the government forms you are working on without reviewing the return.

As you may know, the Treasury Department and IRS released final 7216 regulations January 2008. These regulations impose relatively stringent limitations on a tax preparer’s ability to use or disclose tax return information for purposes other than preparing the tax return. The final regulations are applicable to the use and disclosure of tax return information occurring on or after January 1, 2009. The regulations prescribe a criminal penalty which could result in imprisonment and fines.

The 1040Works product assists in complying with the 7216 regulations by providing the following procedures and forms:

Bank Products

Consent to Use Tax Return Information
Pursuant to 7216 regulations (see Reg. 7216, Rev. Proc . 2008-35), BEFORE offering a bank product taxpayer(s) must give consent and sign and date a ‘Consent to Use Tax Return Information’ document.

In the 1040Works product, after selecting the ‘BANK-Bank Apps’ input screen, a new Consent to Use pop-up screen will be presented. You must indicate that consent was or was not obtained from the taxpayer(s). If the taxpayer(s) consent, move the radio button to ‘Yes’. Click the ‘Print Consent to Use Form’ button and obtain taxpayer(s) signatures. After obtaining signatures click the ‘Proceed to Bank Application Screen’ button.

If consent is not obtained from the taxpayer(s), move the radio button to ‘No’ and click the ‘Close’ button. The option to offer bank products will not be allowed, and the software will not proceed to the ‘BANK-Bank Apps’ input screen.

Consent to Disclose Tax Return Information
After consent to use tax return information procedures are completed, a bank product can be offered. The taxpayer(s) must also consent, sign and date a ‘Consent to Disclose Tax Return Information’ document in order to share the tax return information with the applicable lending bank. This must be done before the return can be e-filed and passed to the bank.

After clicking the ‘Proceed to Bank Application Screen’ button, the Bank Application input screen will be displayed. If the taxpayer(s) consent to disclose their tax return information in order to obtain a bank product, click the ‘Print Consent to Disclose’ link and obtain taxpayer(s) signatures. Check the ‘Yes’ box, indicating the taxpayer(s) signed the ‘Consent to Disclose Information’ form. These steps must be done in order to obtain a bank product.

Other Products and Services (Non-Bank)
Pursuant to 7216 regulations (see Reg. 7216, Rev. Proc. 2008-35), a Consent to Use Tax Return Information document must be signed and dated by the taxpayer(s)before using tax return information to offer products or services other than tax return preparation.

In addition, if the taxpayer(s) tax return information will be disclosed to a third party, not related to preparing the tax return, a separate Consent to Disclose Information document must be signed and dated by the taxpayer(s) before disclosing the information.

Creating Documents
Within the 1040Works product, Consent to Use and Consent to Disclose Information documents may be created for use with non-bank products and services. To create these documents, select the Settings menu and then Custom Letters. Create the letters in the Other Letters Category. After the documents have been created, while working in a clients return, select LTR – Instr Ltr from the form list. On the Letter input screen move to the Custom Letters - Other Letters section. Select the documents you created from the dropdown list. The documents will print with the return. If you would like the documents to print with ALL returns, set a default by clicking the CTRL +D keys while in the dropdown field.

Please refer to Rev. Proc. 2008-35 for specific language required in the documents. For examples of Consent to Use and Disclose Tax Return Information documents, see Rev. Proc. 2008-35 .

NOTE: The Consent documents must be retained by the tax preparer and a copy must also be provided to the taxpayer(s).