(Action Required) Updated 4506-c Form (October 2022)

Available: Beta 2/7/2023, Prod 2/28/2023 (Can be turned on earlier upon request)

(Update): 

Please ensure that the Participation ID has been configured in the ‘Setup’ panel. It is a new field in the tax transcript form and is required for submission. Lender Admin users will be able to configure Participation ID in the 'Setup' panel.

This feature will automatically be turned on for all customers on the dates listed above. We recommend that customers configure their Participation ID needs to be configured before the production release date. This is not a Blend requirement, but a missing Participation ID may lead to the document being rejected from your IVES vendor. Not all vendors require the section to be filled, for example, DataVerify will fill it out for the institution. 

Which customers are impacted?: 

This is a tax follow-up transcript change. This impacts: 

• Customers that leverage the 'Tax Transcripts' follow-up request within their application templates

• Customers that leverage the ad-hoc 'Tax Transcripts' follow-up from within the Lender Portal

• Customers that leverage the https://api.beta.blendlabs.com/follow-ups api "type": "TAX_TRANSCRIPTS"

Purpose of Update and Benefit:

The October 2022 4506c form will become mandatory to use for IVES submissions starting March 1, 2023. This release is to ensure Blend's 4506c workflows support the new version of the form. Please note, action is required to configure the settings for the 4506c (Tax Transcripts) follow-up to ensure you meet your IVES vendor requirements.

Current Behavior:

Prior to this feature flag being enabled the September 2020 version of the 4506c for the Tax Transcripts workflow.

The Blend Admin panel configurations for the Tax Transcripts workflow was only available to Blend Internal users.

The borrower portal workflow would prompt the user for their filing status for the years being requested.

The ad-hoc follow-up creation workflow for lenders did not provide lender users visibility into which forms were being requested or an ability to select specific form types other than what was pre-configured in the Blend Admin configuration panel.

New Behavior:

Blend will enable the October 2022 version of the 4506c for the Tax Transcripts workflow.

The configuration settings for the Tax Transcripts workflow will be available to Lender Admin users who have permission to access the 'Setup' panel. Please check to make sure the tax transcript configurations are configured correctly (Participation ID, etc). 

The borrower portal workflow will still prompt for filing status for each of the years being requested.

The ad-hoc follow-up creation workflow now provides visibility into the 'default' form types set in the SETUP admin panel and allows lender users to request other form types than the 'default' set.

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