If you have been approved to offer the Santa Barbara TPG Prep Paid as an option to your individual taxpayer clients, you'll need to ensure it's been set up in TaxSlayer Pro configuration. Once that's done you'll be able to include it with the returns that have a refund.
Setting up Prep Paid in configuration
To add the Prep Paid option to TaxSlayer Pro, from the Quick Menu select:
- Electronic Filing / Bank Setup
- Bank Setup Menu
- Bank Used for Bank Products - Select "Santa Barbara TPG (Prep Paid)".
Santa Barbara should have sent you debit card stock if you're offering debit cards as a disbursement option. If you haven't got those, liaise with the bank.
What's different in a return that includes Prep Paid?
When a taxpayer decides to use Prep Paid to cover your preparation fees, you'll have several additional documents included in the printed return for them to read and sign:
- The Prep Paid application - This is a 6-page document detailing the terms and conditions of the Prep Paid contract along with important disclosures.
- Consent to Use - This is a document, signed when beginning the return, where the taxpayer gives you consent to use their tax return information to determine if they qualify to use Prep Paid.
- Consent to Disclose - Having signed up for Prep Paid, this document gives you permission to send their information to the bank in the Prep Paid application.
See here for more information about the requirement for consent under IRC section 7216,
Including Prep Paid in a return
It's important to have taxpayers sign a Consent to Use form at the outset of the process of preparing their return. By signing this form, they are giving you consent to use their tax return information to determine their eligibility to use Prep Paid. For your face-to-face clients, you can have a stack of Consent to Use forms printed and ready to be signed if you'd like, or you can print them as needed. For your remote clients submitting information by the TaxesToGo app or Customer Portal, the Consent to Use form will be signed when they submit and apply their signature in the app or portal.
To add the Prep Paid option to an individual tax return in TaxSlayer Pro, follow these steps:
1. From the Main Menu of the tax return select Mark Return Electronic.
2. You'll be asked "Does the taxpayer(s) want the tax preparation fees taken out of their refund?" Click YES.
3. At this point the taxpayer chooses if they'd like the refund sent to them via direct deposit or loaded to a prepaid debit card. Select between the two options:
SBTPG RT Deposit - After selecting this option, you'll be prompted to print the Consent to Disclosure form. If the taxpayer is signing the return through a digital means, i.e., with a signature pad, using the TaxesToGo mobile app, or via the customer portal, then this form doesn't need to be printed now as it will print with the rest of the tax return and be signed when you obtain their signature. Otherwise, if they are signing in ink you'll want to print this form so they can sign it.
Next, you'll be prompted to enter their bank routing and account numbers, as well as indicate if it's a checking account or savings account.
SBTPG RT Card - Select this, and after several prompts you will be prompted to enter the card's Instant Issue ID number. Enter the number on the card envelope.
You'll also be prompted to enter the taxpayer's mobile number if they would like to receive text updates from the bank regarding their refund. This step is optional.
4. Upon returning to the E-File Menu, you'll need to enter information about the taxpayer (and spouse, if filing jointly) identification and citizenship in the Bank Application Information menu. While not all information in this menu is required to be entered, certain fields must be completed before you can leave the menu, so don't select this menu if you're not yet ready to enter the following information:
- Taxpayer (and spouse) identity information (kind of ID, ID number, and expiration date).
- Taxpayer (and spouse) citizenship status (citizen, resident alien, or nonresident alien) and country of citizenship. (Note that for a US citizen, you can use in succession the down arrow key and tab key to quickly navigate the two drop down menus and enter this information.)
- Affirmation that you personally reviewed the taxpayer (and spouse) identification.
Once all the above info has been entered, you're done entering the info the bank needs for the Prep Paid application.
If the taxpayer's state return also includes a refund and they would like the state refund to be paid to them via Prep Paid, when you mark the state return for electronic filing select Send State Return Through Bank and the Prep Paid information the state return needs will pull in from the federal return,