IRS to Verify Mortgage Applicant Income Despite Shutdown (1)

Lenders will again be able to count on IRS tax transcripts when reviewing mortgage applications.

The Internal Revenue Service on Jan. 7 will start processing transcript requests, and employees involved will return to work, despite the ongoing government shutdown, the agency said in a letter addressed to Income Verification Express Service participants.

Individuals seeking to purchase homes, mortgage lenders, and financial aid-seeking college students use official tax transcripts from the IRS to verify financial standing. The agency was only processing transcripts tied to disaster relief following a December funding lapse, according to its contingency plan.

“It ...