IRS Expands E-Signature Policy to Include Gift and Estate Tax Returns and Foreign Trust Reporting Forms

On August 28, the IRS announced that it would temporarily accept e-signatures on certain forms. Included among that initial list of forms was Form 8832, Entity Classification Election (commonly known as a “check-the-box” election). On September 10, the IRS expanded its list to include additional forms. Of particular relevance to international tax practitioners, the following forms may now be submitted with a digital signature: Form 706-NA, U.S. Estate (and Generation-Skipping Transfer) Tax Return; Form 3520, Annual Return To Report Transactions With Foreign Trusts and Receipt of Certain Foreign Gifts; and Form 3520-A, Annual Information Return of Foreign Trust With a U.S. Owner.

The relief is not permanent, however, and as of now, the e-signature policy will only apply to forms submitted on or before December 31, 2020. A full list of all of the forms eligible for the new e-signature policies can be found here.