I applied to refinance a mortgage the other day. One of the pieces of paperwork I had to fill out was a Form 4506-T. It is a request for a transcript of my tax return to the IRS. I asked if I couldn’t just give them a copy of my tax return and they said they had to have an official one from the IRS. Gone are the days where the copy signed from your CPA is good enough for a mortgage lender.
I was talking to a mortgage broker the other day who told me that one of the reason’s they were so back logged is the time it takes to get an official transcript from the IRS. In true government fashion it takes 8 to 12 weeks to get the official transcript AFTER you have filed the return.
So to all of you procrastinators out there thinking of refinancing, or purchasing a new home, make an appointment with your CPA now and get your tax return filed early!