Form 4056-T with W2 Written Out, See Image

[nyuphoto]

Ok guys, I’ve searched the forum and can not find the answer. I signed the following 4056-T form with W2 written in by my LO. I’m anxious because my tax professional is off for the holidays and filing my 2016-2018 taxes on 1/3/2020. We don’t have a closing date yet but the house is scheduled to be built by beginning of February. My question is, are they asking for just the W2 transcripts? I will post a pic of the form I signed with W2 filled out on line 6 and check boxes on 6.c., 7, and 8 of the form.

[nyuphoto]

Unfortunately I can’t post a pic 👎🏽

[CreditInspired]

In #6, the tax form number should have been written, for example, 1040--not the words W2. IRS needs to know what tax type is being requested. Also, LO is requesting record of your account, verification of nonfiling staus, and W2 info. 

Hope this helps. 

[homeloanexpert]

This will most likely going to cause an issue with your current lender. When you check box 6c or box 7, the lender will find out if you have any unpaid taxes and if you have not filed your taxes in the last 3 years. Please be advised that not all lenders check these boxes. For example, my company does not check these boxes on W-2 only loans.

[nyuphoto]

Thank you guys,
This is going to be an issue. Yes they did write out W2 and not 1040 (for example). Maybe that will buy me time. Either way I will contact a tax advocate and ask if they can expedite the filing into transcript as we now have a closing date of 1/23. Smh...

[JVille]

Do I understand correctly that you are in the middle of purchasing a home and have not ??? Filed taxes for 2016, 2017, & 2018? Sorry this is an enormous issue. Being able to pull transcripts for 3 yrs taxes that have not been filed is questionable even if filed this week. I would be super concerned.

[nyuphoto]

Absolutely this is a concern. I can only control the controllable at this point. Which includes filing as quickly as possible, contacting a tax advocate to possibly expedite into transcripts, and then hope it is enough. On that note, it was not my idea to move forward with a loan app before the filing of these taxes, so if it does not go through then it does not go through. So many variables still contingent of this close, I believe the builder will not make this closing date, we were told February and then last week given 1/23, my current home still has to close and inspection is this Monday, and returns need to be put into transcripts. Geez...

[CreditInspired]

I highly doubt this loan is going through unless a miracle happens.

First, the form is going to be rejected because the right tax form wasn’t requested, which will take some turnaround time to resubmit.

Second, 3 years of not filing taxes is the biggest factor. IMO, this has opened a can of worms. Exactly when are these going to be filed? Why not file each one as it is completed instead of all at the same time?

Third, if you owe taxes on these un-filed reports, IRS can file a lien against you, which will thwart everything. Or if you owe and it’s within their max amount allowed for an installment agreement, you can request one, which is another 3-4 months tacked on because IRS could take a month to process the paperwork and the mortgage company will need to see 3 consecutive payments made on the installment. And, the payments cannot be made in a lump sum to speed up the process.

GL2U

[nyuphoto]

Well if that’s the case then we will have to wait and reapply. 2016 and 2017 wasn’t filed because I had a small Business and between getting the correct paperwork to file and my procrastination it has been held up to file with my tax professional. On that note, my tax guy said to wait on 2018 until we file all together. As of 11 days ago my paperwork has all been turned in, unfortunately my tax office closed for the week of Christmas until 1/2. He has assured me that it will be done and sent by 1/3. We do not anticipate owing much and will be Paid in full. I’ve been through these boards and have seen stories of people getting the help a tax advocate to turn tax returns into transcripts within 7 days. And stories of people who paid online directly to IRS and posting within 7 days. I have been super stressed about this and now to the post that if the loan doesn’t happen, then it doesn’t happen. But I’ll do what I can control and see how it plays out. Thanks for the opinion and I will let you know how this concludes. Thank you for your information.

[JVille]

Ditto to Creditinspired comments. As a former UW this file would have had major obstacles if it landed on my desk. A Nobel Prize winning LOE “could” soften the UW prejudice regarding failure to file 3 yrs of taxes. Huge huge red flag, I’m sorry and I hope your UW experience is kinder than my thoughts here today. Good luck!