You can also have a lender pull a 4506 to verify that you have filed your taxes or verify if that you filed self employed if you do not have the proper documentation to prove so.

IRS form 4506 is used to request a copy of your tax return. IRS form 4506-T is used to request a transcript of your tax return. Transcripts are used when an exact copy of your return is not needed.

One of the main reasons for this form is to prevent mortgage fraud and to protect the investors. Many times people will state an income which is greatly higher than what they actually make in order to buy that more expensive home. Just know that if you must use a stated income loan and your lender requires you to sign this 4506T, then you most likely will have your tax records reviewed.

Increasingly, many commercial lenders are asking prospective mortgage applicants to sign IRS Form 4506 a "Request for Copy or Transcript of Tax Form" as part of the application process.

A lender may use a 4506 or 4506T to simply find out HOW you filed without requesting specific income reported. The purpose of a 4506 is not for the lender to find out if you paid your taxes. It is for the lender to assign the appropriate risk and charge an interest rate accordingly.