About this episode

Bob Kerr discusses the inefficiencies of the IRS's Centralized Authorization File system and its impact on tax processing.

Bob Kerr returns to break down his Tax Notes article on the IRS's Centralized Authorization File, the decades-old system that processes Forms 2848 and 8821 almost entirely by hand, now buried under 7 million forms a year at roughly 500 staff years and $50 million to run. He, Roger, and Annie get into why the backlog keeps growing, how practitioners can get ahead of it by putting 8821s on file early, and why transcripts belong in your current-year filing, not just your representation work. Sponsors Padgett - Contact Padgett or Email Jeff Phillips Get NASBA Approved CPE or IRS Approved CE Launch the course on EarmarkCPE to get free CPE/CE for listening to this episode. Read Bob's Article https://www.taxnotes.com/tax-notes-federal/practice-and-procedure/high-costs-irss-centralized-authorization-file-system/2026/04/06/7vjcc Chapters (00:00) - Welcome and Setup (02:36) - Why CAF Matters Now (06:54) - CAF Explained POA vs TIA (10:42) - Choosing 8821 vs 2848 (13:46) - Backlogs and Real Impacts (15:45) - Manual Processing Volume Surge (18:54) - Million Hours and 50M Cost (21:23) - Deadlines Snowball Effect (24:01) - CAF Volume Spiral (24:59) - Early Transcripts Benefits (28:33) - Client…

Sponsors

Padgett

More episodes of Federal Tax Updates

• Turning Tax Chaos Into Revenue Opportunities · July 13, 2026 · 60 min
• What's New at the IRS Tax Forums · June 29, 2026 · 52 min

Explore listener stats, chart rankings, contacts and more on the Federal Tax Updates podcast page.