Real Tax Tools Logo
ModernEFile Mate® HOME

Getting Started with ModernEFile Mate®

Your complete checklist for successful Form 941 and 940 e-filing

Important Note for New Users:

Most of the steps in this checklist only need to be completed the very first time you purchase the software. For future tax years, you will only need to buy the new software, as long as you maintain your active credentials with the IRS (EFIN and ETIN).

941 / 940 E-filing Setup Journey

1

EFIN & ETIN

2

Buy Software

3

System Test

4

Get VCN

5

Start Filing

ModernEFile Mate®: Getting Started Summary

Welcome to ModernEFile Mate®! Getting set up requires completing five main phases before you can transmit live tax returns to the IRS:

  1. Phase 1: Gather Your Credentials (One-time step) – Obtain or modify your EFIN and ETIN through the IRS e-Services portal, ensuring you have the correct roles selected for 94x forms.
  2. Phase 2: Buy the Software – Purchase your software license for the current tax year.
  3. Phase 3: System Testing (One-time step) – Generate a test file in the software, manually upload it to the IRS ATS, and contact the IRS to switch your ETIN to production status.
  4. Phase 4: Obtain Your VCN (One-time step) – Receive your unique Vendor Control Number from us, based on your EFIN. Keep this secure.
  5. Phase 5: Start Filing – Configure your credentials, generate your live e-file submissions, and manually upload them to the IRS.

Below is the detailed checklist with step-by-step instructions for completing these requirements.

Detailed Setup Checklist

Phase 1: Gather Your Credentials (EFIN & ETIN)

One-time requirement

Once you have your EFIN and ETIN configured correctly for the 94x series, you do not need to do this again next year.

Before configuring the software, you must secure the proper identification numbers and authorizations directly from the IRS. You must be an IRS Authorized e-file Provider with both the Electronic Return Originator (ERO) and Transmitter roles.

1. Obtain or Modify Your EFIN & ETIN

Most tax professionals and tax firms already have an EFIN used to file personal income tax returns (like Form 1040). However, you cannot automatically use it for payroll forms or direct transmission.

  • If you already have an EFIN: Log back into your IRS e-Services application and modify your existing provider options. You must ensure the "94x" series of forms (which includes Forms 941 and 940) is actively selected under your existing ERO role. Additionally, you must add the "Transmitter" role and select the "94x" series for that role as well. Resubmit your application for processing. Modifying your application is generally a very quick process.
  • If you need a new EFIN & ETIN: Log in to your IRS e-Services account and apply for both the "Electronic Return Originator" (ERO) and "Transmitter" provider options, selecting the "94x" series for both. This first-time application process can take multiple weeks to complete, so start early.

Helpful Links & Contact Info:

  • Access the IRS e-Services Portal to start or update your application.
  • If you need assistance with your application, you can call the IRS e-Help Desk directly at 1-866-255-0654.

Phase 2: Buy the Software

2. Purchase ModernEFile Mate®

Once you have started the credentialing process with the IRS, you will need to purchase your software license. You can view pricing and buy the software directly from our website.

Buy ModernEFile Mate®

Phase 3: System Testing

One-time requirement

Once the IRS approves your testing capabilities, you will not have to repeat this testing phase in future years.

Because you are acting as a Transmitter, the IRS requires a one-time Communications Test to prove you can successfully format and upload files using the software.

3. Generate and Upload a Test File

Use ModernEFile Mate® to generate your IRS-compliant test submission file. You will then need to take that file and manually upload it directly to the IRS Automated Testing System (ATS) to verify your connection and software formatting.

4. Receive IRS Acceptance AND Call the e-Help Desk

Monitor the status of your uploaded test file directly through the IRS. Once your test file receives an official "Accepted" acknowledgment, your testing is done, but your ETIN is still in "Test" mode.

You must call the IRS e-Help Desk at 1-866-255-0654. Tell the representative you are a Transmitter using approved third-party software and have successfully passed your communications test. The IRS will then manually move your ETIN from "Test" to "Production" status. You cannot file live returns until this call is made.

Phase 4: Obtain Your VCN

One-time requirement

5. Get Your VCN Assigned

Per IRS regulations, the software company (the makers of ModernEFile Mate®) is required to assign each customer a unique VCN (Vendor Control Number).

  • Your VCN is generated and assigned directly based on your EFIN. If you do not have a VCN already assigned, then you will get assigned one at the time when you activate your ModernEFile Mate® software.
  • Security Warning: Treat your VCN like highly sensitive data. You must keep your VCN safe and secure, exactly as you do with your EFIN and ETIN.

Phase 5: Start Filing Actual Returns

6. Begin Production Filing

Once your EFIN, ETIN, and VCN are properly configured in the software, your license is active, and your ETIN has been flipped to "Production" status by the IRS, your setup is complete!

Before transmitting, you will need to sign the returns. The software supports both the ERO Practitioner PIN method (Form 8879-EMP) and the Reporting Agent PIN method (Form 8655).

  • Practitioner PIN Method (Recommended): This method is simple and requires no waiting period. The Electronic Return Originator (ERO) asks the taxpayer (employer) to select a 5-digit, self-chosen PIN, which serves as the taxpayer's electronic signature. The taxpayer may enter this PIN directly into the software, or they may authorize the ERO to enter it on their behalf using Form 8879-EMP, which the ERO must retain in their records. Conveniently, ModernEFile Mate® automatically generates this Form 8879-EMP for you!

    The ERO also signs the return electronically using an 11-digit ERO PIN, which consists of the ERO's 6-digit EFIN followed by a 5-digit self-selected PIN.
  • Reporting Agent PIN Method: Uses a 5-digit PIN assigned by the IRS after submitting Form 8655.

You are now ready to switch from testing mode to live mode. Use the software to generate your IRS-approved production files, manually upload those files directly to the IRS, and check your status to ensure they are accepted.

Friendly Reminder on How the Software Works:

As mentioned across our site, ModernEFile Mate® is an officially IRS-approved 94x MeF software provider designed to generate Form 941 and 940 e-file submissions that strictly meet IRS requirements. While the software creates your fully compliant, ready-to-transmit e-file submissions, it does not automatically transmit returns on your behalf. You are responsible for taking these IRS-approved files, manually uploading them directly to the IRS, and checking their acceptance status.

Final Note:

If you are a new tax professional applying for an EFIN for the very first time, we highly recommend starting that process immediately via the IRS e-Services portal, as initial approval can take multiple weeks to complete. If you already have an EFIN for 1040s, modifying your application to add the 94x series and the Transmitter role is generally a fast and straightforward process.