What must an Electronic Return Originator (ERO) do if the IRS rejects an e-filed return?

An Electronic Return Originator (ERO) has several responsibilities when an IRS rejection occurs, and informing the taxpayer is critical for proper communication and compliance. In this context, if the ERO cannot correct the reason for the rejection, it is vital to inform the taxpayer of this limitation. This allows the taxpayer to understand that they need to take further action, which may involve correcting the issue themselves or deciding on an alternative filing method.

Being transparent about the inability to rectify the issue helps maintain trust and ensures the taxpayer is not left without guidance on what steps to take next. The ERO’s role includes providing support during this process, and failing to communicate this information would leave the taxpayer uninformed about the status of their return. Recognizing the importance of informing the taxpayer properly aligns with the fundamental principles of providing efficient service and ensuring compliance with IRS procedures.

Other responses may suggest that the ERO only informs the taxpayer regarding certain scenarios or requires assistance in filing a paper return, but they do not encapsulate the critical aspect of communication in the event that the ERO is unable to resolve the rejection on their own.