The IRS has recently introduced a new online self-service tool for businesses, marking the second phase of a comprehensive effort under the Inflation Reduction Act and in line with the Service’s multiyear Strategic Operating Plan.
The highlight of this initiative is the introduction of IRS business tax accounts for businesses beyond sole proprietors. Now, individual partners of partnerships and individual shareholders of S corporations can open IRS business tax accounts, offering them enhanced access to important features and services.
Key features of the new business tax accounts include the ability for sole proprietors, S corporations, and partnerships to download a PDF of a business tax transcript for various payroll and other business forms. Additionally, S corporations can download Form 1120-S, U.S. Income Tax Return for an S Corporation, and partnerships can download Form 1065, U.S. Return of Partnership Income. A list of the various forms can be found in the following IRS News Release: IR-2023-243
Sole proprietors with an employer identification number (EIN) can access their business tax accounts. Those who have set up individual accounts under their Social Security number (SSN)and have an EIN linked to their SSN can use their existing log in to access their business tax account. For sole proprietors without an EIN, access to tax records can be obtained by setting up an IRS individual online account.
Individual partners and shareholders will gain access to business tax account information after filing, and the IRS processes a business return with the Schedule K-1, Partner’s [or Shareholder’s] Share of Income, Deductions, Credits, etc. New businesses will gain access upon submitting, processing, and having a business return on file with the IRS.
