IRS Form 8879-TE – In the world of tax filing for nonprofits and other tax-exempt organizations, efficiency and compliance are key. IRS Form 8879-TE plays a crucial role in streamlining the electronic filing process. This form, officially known as the IRS e-file Signature Authorization for a Tax-Exempt Entity, allows authorized individuals to electronically sign returns using a Personal Identification Number (PIN). Whether you’re managing a charity, foundation, or other exempt organization, understanding this form can simplify your tax obligations and ensure timely submissions.
In this comprehensive guide, we’ll break down everything you need to know about IRS Form 8879-TE, including its purpose, who should use it, step-by-step instructions for completion, and recent updates. By optimizing your knowledge of this form, you can avoid common pitfalls and maintain compliance with IRS regulations.
What Is IRS Form 8879-TE?
IRS Form 8879-TE is a declaration and authorization document used specifically for tax-exempt entities filing electronic returns. It enables an entity subject to tax—such as a nonprofit organization—and an Electronic Return Originator (ERO) to authorize the use of a PIN for signing the return electronically. This form is essential when the tax-exempt entity wants to e-file forms like Form 990, 990-EZ, or 990-PF, and it can also authorize electronic funds withdrawals if applicable.
Unlike paper filings, e-filing with this authorization speeds up processing and reduces errors. The form ensures that the signer certifies the accuracy of the return under penalties of perjury, making it a legally binding document. It’s designed for entities exempt from federal income taxes, helping them meet modern filing requirements efficiently.
Who Needs to Use IRS Form 8879-TE?
This form is tailored for tax-exempt entities, including:
- Charities and nonprofits filing Form 990 or 990-EZ.
- Private foundations submitting Form 990-PF.
- Other exempt organizations under sections like 501(c), 527, or similar.
If you’re an officer or person subject to tax for the entity and prefer using a PIN for electronic signature, Form 8879-TE is required. It’s particularly useful for those working with an ERO, such as a tax professional or software provider, to handle e-filing.
Entities that do not use Form 8879-TE must instead use Form 8453-TE, the Tax-Exempt Entity Declaration and Signature for Electronic Filing, which involves attaching a scanned signature instead of a PIN. This alternative is suitable for those who cannot or prefer not to use PIN-based authorization.
Note that this form is not for individual taxpayers; for personal returns, forms like IRS Form 8879 are used instead.
The Purpose of IRS Form 8879-TE
The primary goal of Form 8879-TE is to provide a secure and efficient way for tax-exempt entities to authorize electronic signatures on their returns. It serves several key functions:
- Electronic Signature Authorization: Allows the entity to use a five-digit PIN as their signature, eliminating the need for physical paperwork.
- Consent for Disclosure: Authorizes the ERO to discuss the return with the IRS if needed.
- Electronic Funds Withdrawal: If applicable, permits direct debit for any payments due.
- Certification of Accuracy: The signer declares that they’ve reviewed the return and it’s true, correct, and complete.
By using this form, tax-exempt organizations can leverage e-filing benefits, such as faster refunds (if applicable) and immediate confirmation of receipt by the IRS. It’s part of the IRS’s push toward digital tax processes, reducing paper usage and processing times.
Step-by-Step Guide: How to Complete IRS Form 8879-TE
Filling out Form 8879-TE is straightforward, but accuracy is critical to avoid delays. Here’s a breakdown of the key sections:
Part I: Type of Return and Return Information
- Check the box for the specific return being filed (e.g., Form 990, 990-EZ, 990-PF).
- Enter the applicable amounts from the return, such as total assets or contributions.
Part II: Declaration of Officer or Person Subject to Tax
- The authorized individual enters their PIN as the electronic signature.
- Certify that you’ve examined the return and it’s accurate.
- If authorizing electronic funds withdrawal, provide bank details and consent.
Part III: Declaration of Electronic Return Originator (ERO) and Paid Preparer
- The ERO enters their PIN and firm information.
- If a paid preparer is involved, they also sign here.
After completion:
- Sign and date the form.
- Return it to the ERO via hand delivery, U.S. mail, or other acceptable methods.
For e-signing options, some software allows remote electronic signatures with identity verification, but handwritten signatures are still accepted if scanned and submitted.
Key Differences Between Form 8879-TE and Similar Forms
- Vs. Form 8453-TE: Form 8879-TE uses a PIN for signature, while 8453-TE requires a scanned signature page. Use 8453-TE if PIN isn’t an option.
- Vs. Form 8879: The standard 8879 is for individual income tax returns (e.g., Form 1040), not tax-exempt entities.
- Vs. Form 8879-EO (Prior Version): Form 8879-TE replaced the older 8879-EO for exempt organizations starting in 2021, with updates for broader applicability.
Recent Updates and Changes for 2025
The 2025 revision of Form 8879-TE includes minor updates to align with current e-filing protocols. Key notes:
- Expanded list of forms eligible for e-filing, including those in Part I.
- Emphasis on electronic signatures via remote transactions with identity verification.
- No major structural changes, but always check the IRS website for the latest version.
As of 2026, ensure you’re using the most current form to avoid rejection.
How to Download and Submit IRS Form 8879-TE?
You can download the latest PDF version directly from the IRS website: https://www.irs.gov/pub/irs-pdf/f8879te.pdf.
Submission typically occurs through your ERO, who transmits the return electronically to the IRS. Retain a copy for your records, as the ERO must keep the signed form for three years.
Common FAQs About IRS Form 8879-TE
Can I e-sign Form 8879-TE remotely?
Yes, through software that verifies identity using knowledge-based questions.
What if I make a mistake on the form?
Contact your ERO immediately. Amendments may require filing a corrected return.
Is Form 8879-TE required for all e-filings?
No, only if using PIN authorization. Otherwise, use Form 8453-TE.
Who qualifies as an ERO?
An ERO is an IRS-authorized e-file provider, often a tax professional or software company.
By mastering IRS Form 8879-TE, tax-exempt entities can enhance their filing efficiency and stay compliant. Always consult a tax professional for personalized advice, and visit the IRS website for the most up-to-date information.