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ProSystem fx TaxCCH eSignCCH eSignIntroductionCCH eSign allows you to send documents to your clients, employees, and other third parties to securelyobtain their electronic signatures. We teamed up with AssureSign to provide you with an eSign solution,compliant with the ESIGN Act and the guidelines provided by the Internal Revenue Service (IRS).On June 30, 2000, Congress enacted the Electronic Signatures in Global and National Commerce Act. Althoughthe ESIGN Act of 2000 permitted electronic signatures on most documents, the IRS continued to require aphysical signature on Form 8879 until recently. On March 11, 2014, the IRS updated Publication 1345(http://www.irs.gov/pub/irs-pdf/p1345.pdf) to allow electronic signatures on Forms 8878 and 8879 as long asthe taxpayer’s identity is verified either in person or using knowledge based authentication. CCH eSignprovides the required Knowledge Based Authentication (KBA) to allow e-signatures on these forms.Currently, the IRS allows e-signatures without identify verification (i.e., without KBA) for: Section 7216 Consent Form 4506-T, Request for Transcript of Tax Return Forms W4 and W9Other examples where you can use e-signatures include: Engagement letters Representation letters Confirmations Internal human resources documentsThe flow for CCH eSign begins with the document author (preparer). After the author sets up the document inAssureSign, the client receives an email alerting them to sign the document. If the signature requiresverification, AssureSign offers a KBA procedure to verify the identity of the signer prior to signature. Theauthor receives a notification after the document is signed. In the case of Form 8879, CCH eSign is integratedwith ProSystem fx Tax’s electronic filing (ELF) system to streamline the process.CCH eSignPage 1

CCH eSignProSystem fx TaxSetupLicensingCCH eSign is available now for ProSystem fx Tax, Global fx, and CCH Axcess Tax. You must obtain a separatelicense to use CCH eSign, but that license is FREE. Call 1-800-739-9998, Option 1, Option 1 to request a licenseand update to your permission key.Transaction fees will be billed monthly based on usage. Form 8879 eSign (single or joint), with KBA, is 5 perreturn. eSign for other purposes (without KBA) is 1 per document. KBA for other purposes is 4 perdocument.Steps to Install Your Updated Permission Key:1. Insert the most recent ProSystem fx Tax installation DVD.2. If the DVD does not auto-run, click Start Run, then type ?:\setup.exe (where ? is your DVD drive).3. If you receive a message about installing an older version of ProSystem fx Tax than what you currentlyhave installed, click Yes to continue.4. Select Only Update Licensing From New Permission Key.5. When the update completes, click OK.Office Manager ConfigurationAfter installing your updated permission key, complete the configuration in Office Manager as follows.Steps to Setup your CCH eSign Account:1. In Office Manager, select Configure Applications, click eSign and then click Configure.2. In the eSign Setup dialog, enter the name and email address of the administrator for your CCH eSignaccount.3. Click Setup.Page 2CCH eSign

ProSystem fx TaxCCH eSignAccessing your AssureSign Account and Setting Up UsersThe CCH eSign administrator will receive an email with a temporary password and URL to access theAssureSign account. After the CCH eSign administrator logs into the AssureSign account, he or she can startsending documents for eSign. Your CCH eSign administrator can also set up other staff members to access theAssureSign account.Adding UsersSteps to Add a User in AssureSign1.2.3.4.Open AssureSign and click the Administration tab.Click Users on the navigation pane and click New.The name, email and role fields are required.Click Save.Selecting a Role Administrator – Allows complete access to all functions and documents. Power User – Allows access to all documents but does not allow access to administration functions. Limited User – Limits the access to documents created by user.CCH eSignPage 3

CCH eSignProSystem fx TaxFor Form 8879Set up tax preparers as users in the AssureSign account. Use the same email address used for the preparer inProSystem fx Tax when you set up the user for your AssureSign account.If you use a centralized email address as the tax preparer email address, use this email address to establish auser in your AssureSign account. If you use multiple tax preparers each with a separate email, you need to setup each of these tax preparers as a user in your AssureSign account.When uploading the return for eSign, ProSystem fx Tax picks the tax preparer email address in this order:1. The email address specified in Office Manager Configure Staff Setup Tax preparer E-mailaddress for the tax preparer code specified in the return at General Return Options PreparerInformation – Overrides Office Manager Individual preparer code (Interview Form 3).2. Tax preparer email address entered in the return at General Return Options Preparer Information –Overrides Office Manager Preparer email address (Interview Form 3).3. Tax preparer email address entered in the return at General Electronic Filing Electronic ReturnOriginator Overrides Preparer email address (Interview Form 3).4. The email address provided for the ERO in Office Manager Configure Office Group Setup Electronic Filing Options ERO Preparer email address.If a user with the tax preparer email is not setup in your AssureSign account, the upload will notcomplete and an error message displays.If you do not want tax preparers to have access to other tax preparers’ returns, you can set up the taxpreparer as a limited user or modify the Document and Reporting permissions to prevent access todocuments created by other users.Sending Other Documents for e-SignatureSteps for Sending Form 8879 for eSign1. In Office Manager, go to Configure Applications Tax Preparation (for the appropriate office group) Electronic Filing Options Individual tab and select Electronically sign 8879.Page 4CCH eSign

ProSystem fx TaxCCH eSign2. In the tax return, enter:a. “Yes” at General Electronic Filing General Electronically sign 8879 (Int. Form EF-1 Box 58).b. Taxpayer and spouse email addresses at General Basic Data (Int. Form 2 Boxes 98 and 99).For “married filing joint” returns, you must enter a separate email address for both taxpayer andspouse. Each receives a separate email at their respective email address to electronically sign Form8879.3. Calculate the return, clear any open electronic filing diagnostics, and check for any eSign cautionaryand information diagnostics.4. Select File Export Electronic Filing Return on the menu bar to open the Select Returns for Exportdialog.5. On the Select Returns for Export dialog, select Send for eSign.6. Click Export.If you select the Publish eSigned copy to Portal option, a signed copy of the return publishes to CCHPortal after the taxpayer (and spouse, if applicable) signs the return. If the return is not alreadyassociated with a client portal, you will be prompted to make the association with the portal during theupload process.Even though the 8879 can be published to Portal and there will be records on the AssureSign Web sitewith timestamps as to when it was signed, we still recommend that you keep a copy, paper orCCH eSignPage 5

CCH eSignProSystem fx Taxelectronic, of the signed 8879 on file in accordance with the applicable laws, rules, and regulations (seenote below).7. On the Send 8879 for e-Signature dialog, click Start.Important Note: Although CCH eSign maintains a copy of signed documents on AssureSign servers forup to 24 months, CCH eSign is not designed for indefinite storage. Just as you maintain and store yourclients’ tax returns, we encourage you to also maintain and store copies of their e-signed Form 8879and other important documents that have been e-signed. As noted in the CCH eSign licenseagreement, “It is Customer’s sole responsibility to backup and maintain on Customer’s own systems allCustomer eSign Information as required by applicable laws, rules and regulations.”Signer ExperienceThere are two methods for signing documents, with and without authentication. “Without authentication”does not ask any questions to verify the signer’s identity. “With authentication” requires the signer to answerseveral questions correctly before the signing process begins . The questions are based on public and credithistory information that is likely known only to the signer.The IRS requires Knowledge Based Authentication (KBA) for electronic signatures on the 8879.Page 6CCH eSign

ProSystem fx TaxCCH eSignAfter you send a request for eSign, the signer receives an email alerting them to the request. Here is anexample of the email.You can customize the text of the emails and add your firm logo to the web pages your client seesduring the signing process.CCH eSignPage 7

CCH eSignProSystem fx TaxAfter the signer clicks Begin Signing, the Welcome page displays.On the Document Signing dialog, the signer can perform the following actions: review the document send feedback decline signing sign the documentThe document available for viewing will not include any PDF file attachments.The signer will be prompted to answer the KBA questions. They can opt to skip one question during theauthentication process by clicking Skip. Otherwise, click Continue after selecting the appropriate answer forthe questions.Page 8CCH eSign

ProSystem fx TaxCCH eSignIf the signer fails to respond with the correct responses, the document signing is cancelled. The taxpreparer is notified by email.If the signer successfully answers the KBA questions provided, a “signing password” is provided. This allowsthe signer to stop and restart the signing process later. This password can be modified by the user if he or sheprefers to create a password instead.To proceed with signing, the signer must select the check box indicating that they read and agree to the termsand conditions.On the same dialog, the signer can also download a copy of their tax return for review, send feedback, ordecline signing by clicking the appropriate tab. The signer can also opt to continue later by using the Optionsmenu. If the signer sends feedback or declines to sign, an email will be sent to the preparer with thatinformation.CCH eSignPage 9

CCH eSignProSystem fx TaxThe Signer can provide a signature using a mouse, stylus or touch pad. Follow the on-screen instructions tocomplete the signing.Page 10CCH eSign

ProSystem fx TaxCCH eSignElectronic Filing Status System UpdatesThe Electronic Filing Status System makes real-time updates when receiving completed signatures. When youupload a return requesting eSign for electronic filing, the program applies a tag. Upon completion of thesignature, the Signature Form-Received column updates with the date of the signature automatically. The dateappears in blue font. If the taxpayer does not use eSign and instead sends a paper signature, you can enter thedate of receipt. The manually entered date appears in a black font.To prevent inadvertent filing of returns with the IRS before receiving a signature, the returns sent for eSign donot appear on the Release Returns tab until a date has been entered in the Signature Form-Received column.Document Management FunctionsAfter sending a document for eSign, you can: View the document Cancel the document Modify the password to view completed document Modify the recipients' email addressIn your AssureSign account, go to Reports Document Search and enter the date or other criteria for thesearch. Select the document by clicking the document name. Select the desired task under Document Tasksand follow the on-screen instructions to finish. To modify the recipient’s email address, click Edit in theSignatories section.CCH eSignPage 11