Pursuant to Ark. Code Ann.§
26-51-806,
the Director of the Department of Finance and Administration has the authority
to prescribe the form by which income tax returns are filed. In conjunction
with that provision, the Director has authorized electronic filing of
individual income tax returns beginning in January of 1996. The regulations are
needed to prescribe the procedures for electronically filing income tax
returns. The Director of the Department of Finance and Administration and the
Commissioner of Revenue promulgate this regulation pursuant to the authority
set out in Ark. Code Ann. §
26-18-301.
(1) Definitions:
(A) An "Electronic Filer" is a firm,
organization or individual that participates in the Electronic Filing
Program.
(B) An "Electronic Return
Originator" (ERO) is a firm, organization or individual who deals directly with
the taxpayer. An ERO may or may not be a preparer, as it is defined as an:
(i) "Electronic Return Preparer" who prepares
tax returns, including AR8453, for taxpayers who intend to have their returns
electronically filed; or
(ii)
"Electronic Return Collector" who accepts completed tax returns including
AR8453 from taxpayers who intend to have their returns electronically
riled.
(C) A
"Transmitter" is categorized as a firm, organization or individual who
transmits electronic returns directly to the IRS Data Communications
Subsystem.
(2) After the
effective date of this regulation, preparers/transmitters of an electronic
filing must provide the taxpayer a copy of the return and the AR8453.
(3) Taxpayers who choose to file their
returns electronically must complete Part 2 of the AR8453; the "Declaration of
Taxpayer." After the return has been prepared and before the return is
transmitted electronically, the taxpayer must verify the information on the
return and the AR8453 and sign and date the AR8453. If filing a joint return,
both signatures are required prior to the electronic transmission of the .
return.
(4) AR8453 is the
electronic filing tax return for the purposes of taxpayer verification and
signature. A blank form AR8453 is the same as a blank tax return.
Preparer/transmitters and ERO's shall not allow taxpayers to sign a blank
return.
(5) It is
permissible for the preparer to have the taxpayer review the completed tax
return on a display terminal. The taxpayer should review the completed form
AR8453 before signing and dating it.
(6) Before signing the AR8453, the taxpayer
should review the attachments to the form including:
(A) State copies of Forms W-2 (Attached to
front of AR8453);
(B) State copies
of Form 1099 (Attached to front of AR8453);
NOTE: Forms 1099 are required only when Arkansas withholding
occurs.
(C)
Schedules/statements explaining tax differences between Arkansas and
IRS.
(D) Documents requiring
signatures, if applicable.
