Form 8821 Explained: Purpose, Use Cases, and Who Must File

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There are many situations in tax management where you need someone to view your IRS information, but not take action on your behalf. That’s precisely where IRS Form 8821 comes in with a limited level of access.

Whether you’re a business owner, an individual taxpayer, or a tax professional managing clients, using Form 8821 lets a third party access IRS records such as tax return data, transcripts, and notices, while ensuring you retain complete control.

This blog will break down:

• The purpose of Form 8821
• Practical use cases across industries
• Who must file, segmented by audience
• Examples to help clarify real-world scenarios
  

Form 8821: Its Purpose and Use Cases

IRS Form 8821, Tax Information Authorization, allows a third-party, such as a tax professional, payroll provider, or other representative, to access your confidential tax information from the IRS. It does not authorize them to act or speak on your behalf, only to receive and view information. 

Form 8821 is ideal when you need someone to access your IRS records without making decisions on your behalf.

However, if you need someone to represent you before the IRS, you can use Form 2848, Power of Attorney (POA)  and Declaration of Representative, to authorize them. The designee may not substitute another party as your authorized designee.

Use Cases:

• A business owner authorizes a third-party payroll company to monitor quarterly filings
• An individual grants a financial advisor access to their IRS transcripts
• A CPA or enrolled agent requests access to a client’s past and current tax records
• A tax resolution firm obtains access to notices and tax account transcripts for investigation

Form 8821 vs. Form 2848: Key Differences

Feature	Form 8821	Form 2848
Authorization Type	Tax Information Access Only	Power of Attorney (Acts on Behalf)
Can Represent You to the IRS	❌ No	✅ Yes
Ideal For	View-Only Access to IRS Data	Legal Representation
Revoked When New Form Filed	✅ Yes (If Same Tax Matter & Period)	✅ Yes

Who Should File Form 8821?

Form 8821 can be used by a wide range of taxpayers and professionals, including:

1. Individual Taxpayers

Must file if:
You want to grant someone access to your IRS records, but don’t want them to act on your behalf.

Examples:

• Giving access to a family member who is helping with taxes
  
• Letting a tax preparer access prior-year returns for filing accuracy

2. Businesses

Must file if:
You want internal staff or external providers to monitor IRS notices or account status without a full Power of Attorney (POA).

Examples:

• Authorizing your accountant to view business tax records
  
• Giving access to your payroll company to track IRS deposits and compliance
  

3. CPA Firms & Tax Professionals

Note: The client (individual or business) must file Form 8821 to authorize the professional.

Examples:

• Tax professional monitoring IRS activity on a client’s account
  
• Using transcripts to identify mismatched information on filed returns
  

4. Lenders and Financial Institutions

Must file if:
The taxpayer wants to grant access to a third party for income verification or financial background checks.

Examples:

• Small Business Association (SBA) loans that require IRS income validation
  
• Mortgage brokers reviewing tax transcripts for underwriting
  

5. Trusts, Estates, and Fiduciaries

Must file if:
You’re managing financial or tax obligations for another individual or legal entity.

Examples:

• A fiduciary accessing IRS data to file final returns for a deceased person
  
• A trustee reviewing annual tax reporting for a trust

This form ensures convenient access to tax records for those who need them, without transferring IRS authority.

When is Form 8821 required?

Form 8821 should be filed when:

• A tax preparer, advisor, or third-party needs to access your IRS data for a specific task
  
• You want someone to monitor your tax account for updates or issues
  
• You’re undergoing due diligence or audit prep and need easy access to your records
  
• You want to automate IRS notice tracking across multiple clients or entities
  

Tip: For professionals managing multiple accounts, filing 8821 in bulk streamlines operations and reduces response delays.

Which IRS Forms Can Be Accessed with Form 8821?

Form 8821 must specify the exact tax matters and years the authorized party is allowed to access. Here’s a breakdown of common forms that may be listed:

• Form 941 – Quarterly Federal Tax Return
• Form 940 – Annual FUTA Tax Return
• Form 1120 / 1120-S – Corporation and S-Corp Returns
• Form 1065 – Partnership Return
• Form 1040 – Individual Income Tax
• Form 1099 Series – Informational Returns
• Form 2290 – Heavy Highway Vehicle Use Tax
• Form W-2 – Wage and Tax Statement
• IRS Notices, Account Transcripts, and Return Transcripts
  

Important: The IRS will only provide access to the specific forms and periods you list. Vague terms like “All Forms” may be rejected or result in limited access.

How to File Form 8821 – Step-by-Step Guide

Let’s walk through how to fill out Form 8821. Don’t worry — this step-by-step breakdown is easy to follow.

Step 1: Complete Taxpayer and Designee Information

• Your name, address, and Taxpayer Identification Number (TIN) (SSN/EIN)
• Designee’s name, contact, and Centralized Authorization File (CAF) number (if applicable)

Step 2: List Tax Matters and Periods

Specify form numbers and exact tax years/quarters. 

For example: “Form 941 – 2024 Q1–Q4”

Step 3: Choose Retention Options

Indicate whether new authorizations will revoke previous ones, or if multiple can remain active.

Step 4: Sign and Date

The taxpayer or authorized corporate officer must sign.

Step 5: Submit the Form

Form 8821 cannot be electronically filed with the tax return. There are three ways to submit Form 8821 to the IRS:

• Online – Submit your Form 8821 securely at IRS.gov/Submit8821
• Fax – Refer to the table below
• Mail – Refer to the table below

Where to Mail or Fax

Taxpayer residence	Mailing address	Fax number*
Alabama, Arkansas, Connecticut, Delaware, District of Columbia, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Mississippi, New Hampshire, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Vermont, Virginia, or West Virginia	Internal Revenue Service 5333 Getwell Rd Stop 8423 Memphis, TN 38118	855-214-7519
Alaska, Arizona, California, Colorado, Hawaii, Idaho, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, Wisconsin, or Wyoming	Internal Revenue Service 1973 Rulon White Blvd MS 6737 Ogden, UT 84201	855-214-7522
All APO and FPO addresses, American Samoa, Commonwealth of the Northern Mariana Islands, Guam, U.S. Virgin Islands, Puerto Rico, a foreign country, or otherwise outside the United States.	Internal Revenue Service International CAF Team2970 Market St MS 4-H14. 123 Philadelphia, PA 19104	855-772-3156 or 304-707-9785 (Outside U.S.)
* Fax numbers may change without notice. For updates, see here under “Recent Developments.”

Limitations of Form 8821

While Form 8821 is highly useful, it comes with some restrictions:

• Does not authorize the third party to act or represent you
• Must be very specific in tax matters and periods listed
• Cannot be used for state tax issues
• Will be automatically revoked if a new Form 8821 is filed for the same matters, unless specified otherwise
• Needs to be updated or renewed if roles change or expire

Real-World Examples

Individual Taxpayers

Use Case: Student Aid or Loan Applications
Sarah allows her advisor to access past 1040 transcripts using Form 8821 to speed up her child’s FAFSA process.

Small Business Owners

Use Case: IRS Monitoring by Outsourced CFO
A business owner files Form 8821 to allow his part-time CFO to view payroll tax filings (such as Form 941) and IRS notices, without giving up control.

CPAs & Tax Professionals

Use Case: Client Account Monitoring
A CPA firm uses Form 8821 for each client to view IRS transcripts, detect issues early, and stay updated, without needing a Power of Attorney (POA).

Payroll Providers

Use Case: Tracking Payroll Tax Filings
A payroll company files 8821s for clients to keep tabs on IRS activity for Forms 941 and 940, helping avoid missed notices or penalties.

Tax Resolution Firms / Enrolled Agents

Use Case: Investigating IRS Issues
A tax resolution expert uses Form 8821 to review a new client’s IRS history before taking any action to resolve back taxes or disputes.

Third-Party Administrators (TPAs)

Use Case: ACA Compliance Checks
A TPA uses Form 8821 to access 1095-C filing details and IRS letters for employers, ensuring compliance without needing filing authority.

Final Thoughts: Is Form 8821 Right for You?

If you’re a tax professional looking to centralize client data access or a business needing a third party to view IRS communications, Form 8821 is a lightweight but powerful solution. It reduces delays, improves transparency, and ensures smoother tax management.

Review key points to remember below:

Overview	Details
Purpose of Form 8821	Form 8821 authorizes a designated individual or entity to inspect and/or receive confidential tax information.
Who can be a designee?	A designee can be any individual, corporation, firm, organization, or partnership.
What type of tax information can be authorized?	The designee is authorized to inspect and/or receive confidential tax information for any type of tax, form, period, or specific matter.
How long does the authorization last?	The authorization will remain in effect until revoked.
How to revoke the authorization	To revoke the authorization, a new Form 8821 must be filed with the IRS.
What is the Privacy Act Notice?	The Privacy Act Notice explains how the IRS collects, uses, and discloses confidential tax information.
What is the Paperwork Reduction Act Notice?	The Paperwork Reduction Act Notice explains the time and effort that was required to prepare and submit Form 8821.