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The correct fee should be zero.

Thanks to all for your help and suggested solution. We'll go that route and see if that solves the problem. By the way, Jack from Ohio, this lady is the only tax return, other than our own, that I prepare and i don't do it for compensation. Just to help her out. Something I hope and plan not to change! I am happily retired and have no plans to start preparing returns for compensation. That is an important and valuable job, just not for me at this time. I'll leave it to you experts! Thanks again to all.

I just attach the second page of the 1040Xwith explanation to the CO104X. My practice is in Colorado

Aaron Blau, EA, CPA is in Phoenix http://blauco.com/firm-profile/aaron-blau/ (480) 946-7732 Lynn

This looks helpful.

IRS Reminds Tax Return Preparers of Limited Practice Changes and Announces Revised PTIN Fee WASHINGTON— The Internal Revenue Service today reminded non-credentialed tax return preparers of major upcoming changes regarding which tax return preparers can represent clients in matters before the IRS beginning in 2016, and take action by Dec. 31, 2015, to avoid being affected. The IRS also announced that federal tax return preparers will soon pay less for a preparer tax identification number (PTIN). Last year the IRS announced pending changes to limited practice authorities for non-credentialed tax return preparers. (Rev. Proc. 2014-42) Effective for tax returns and claims for refunds prepared and signed after Dec. 31, 2015, the limited right to represent clients before the IRS held by non-credentialed preparers will be accorded to only those preparers participating in the IRS Annual Filing Season Program, a voluntary continuing education (CE) program. The changes in the limited representation rules have no impact on returns prepared and signed by non-credentialed preparers on or before Dec. 31, 2015. Non-credentialed tax return preparers who participate in the Annual Filing Season Program will continue to have limited rights to represent clients. This enables them to represent taxpayers whose returns they prepared and signed, but only before revenue agents, customer service representatives, and similar IRS employees, including the Taxpayer Advocate Service. The tax return preparer must participate in the Annual Filing Season Program for both the year of return preparation and the year of representation to represent their client. There are no changes to representation rules for enrolled agents, certified public accountants, and attorneys. These tax professionals continue to have unlimited practice rights and can represent any taxpayer before any IRS office, including collection and appeals, regardless of whether they prepared the tax return in question. To participate in the Annual Filing Season Program, non-credentialed tax return preparers must complete either 15 or 18 hours of continuing education from IRS-approved CE providers. The CE must be completed by Dec. 31, 2015, in order to receive a 2016 Annual Filing Season Program Record of Completion. More information about Annual Filing Season Program requirements is available on IRS.gov. PTIN Fee Revised Effective Nov. 1, 2015, the annual fee for 2016 PTINs will be $50 for both new applications and renewals. The IRS will collect $33 as a user fee to support program costs and a third-party vendor will receive $17 to operate the online system and provide customer support. In preparation for the fee change, PTIN open season, which normally begins in mid-October, will begin in early November. PTIN open season is when the IRS begins accepting renewals and new registrations for the upcoming year. Federal agencies are required to review user fees every other year and make adjustments as appropriate. The current PTIN fee is $64.25 for a new registration and $63 for renewal. More information about the updated user fee is available in TD 9742 and REG-121496-15.

I agree with John that his solution would be the easiest for all concerned, especially since the error is a typo that is easily explained.

You could compose a letter from her stating that she has noticed an error with the ITIN and providing the correct one. The letter could also ask if this will be sufficient to adddress the issue or if she needs to take any further action. Send it to her with instructions for her to sign it and mail to the IRS. (I assume there is an address on the notice) If IRS wants anything else done to correct the problem, they will contact her.

Not doing something ILLEGAL, Jack, and he did not say they were, just taking an easy way [shipping the CD whether we want it or not] to save themselves the trouble of recording taxable or non-taxable. Easytax is right, "they do not offer anyway other than receiving the CD to buy the program", simply because that's easy for them.