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Archive of e-file News for Large and Mid-Size Corporations

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Previous editions of e-file News for Large and Mid-Size Corporations:

2009-09 - Distributed 08-20-2009

  • Annual Power Outage - Labor and Columbus Day Weekends

    Agency-Wide Shared Services (AWSS) and Modernization & Information Technology Services (MITS) have scheduled the annual power outages over the Labor Day and Columbus Day weekends this year. These outages let our organizations perform critical operations and maintenance programs, enhance the reliability of the building infrastructure for our most critical facilities and allow us to complete computer system upgrades. 

The impact to MeF filers is that MeF will be down during the following timeframes:

  • Labor Day weekend - Sunday, September 6, 2009 at 9 pm ET until Tuesday, September 8, 2009 at 5 am ET
  • Columbus Day weekend - Sunday, October 11, 2009 9 pm ET until Tuesday, October, 13, 2009 at 5 am ET

We understand that the Labor Day weekend shutdown poses problems to our external partners because it is just one week prior to the dual corporate/partnership peak.  We are also aware that the Columbus Day weekend is right before the due date for some fiscal year filers.  The LMSB e-File Project office raised this issue within the Service but we were not able to find workable alternatives.  We will continue to work closely with internal systems managers and external partners to mitigate the impact of this activity.

Related Link:


2009-08 - Distributed 04-07-2009

  • Reporting Losses Resulting from Ponzi Schemes

    Revenue Procedure 2009-20 provides an optional safe harbor treatment for taxpayers that experienced losses in certain investment arrangements discovered to be criminally fraudulent. It also describes how the Internal Revenue Service will treat a return that claims a deduction for such a loss and does not use the safe harbor treatment described in this revenue procedure.

The e-file for Large and Mid-Size Corporations page provides specific instructions for taxpayers who electronically file Form 4684 with a TY2008 tax return claiming a loss as described in Revenue Procedure 2009-20.

Related Links:

  1. Revenue Procedure 2009-20
  2. e-file for Large and Mid-Size Corporations
  • Form 1065 Frequently Asked Questions

    The Form 1065 FAQ page has been updated with Questions and Answers 38 and 39.  The page offers an email link to submit additional questions on 2008 changes to Form 1065 for consideration as FAQs.

Related Link:


2009-07 - Distributed 03-13-2009
  • e-file Frequently Asked Questions Updated

    A new question and answer has been posted to the e-file for Large and Mid-Size Corporations FAQ page regarding filing extensions and subsequent returns.

Related Link:


2009-06 - Distributed 03-13-2009
  • Extended e-Help Desk Hours

    The e-Help desk will be available as indicated below to assist corporate taxpayers e-filing their returns to meet the March 16 filing due date.
    • March 14, 2009 Saturday 8:30 a.m. - 5:00 p.m. ET 1-866-255-0654
    • March 15, 2009 Sunday 8:30 a.m. - 5:00 p.m. ET irs.e-helpmail@irs.gov
    • March 16 -20, 2009 M-F 7:30 a.m. - 11:00 p.m. ET 1-866-255-0654
  • New e-file Frequently Asked Questions Posted

    Two new FAQs regarding e-filing Form 1120-F and one new FAQ regarding refunds are now posted to the e-file for Large and Mid-Size Corporations Frequently Asked Questions page.
  • Form 1065 Frequently Asked Questions

    The 2008 Changes to Form 1065 - Frequently Asked Questions page has been updated with Questions and Answers 31 through 37.  A clarification has been added to posted 1065 FAQ Q1 "Loss Percentages" and a cross-reference has been added to posted 1065 FAQ Q23. 


2009-05 - Distributed 03-04-2009
  • Form 1065 Frequently Asked Questions

    The Form 1065 FAQ page has been updated with Questions and Answers 25 through 30.  The page offers an email link to submit additional questions on 2008 changes to Form 1065 for consideration as FAQs.

Related Link:


2009-04 - Distributed 02-19-2009
  • Form 1065 Frequently Asked Questions

    The Form 1065 FAQ page has just been updated with Questions and Answers 23 and 24.  The page offers an e-mail link to submit additional questions on 2008 changes to Form 1065 for consideration as FAQs.

Related Link:


2009-03 - Distributed 02-12-2009

  • Form 1065 Frequently Asked Questions

    The Form 1065 FAQ page has been updated Questions and Answers 10 through 22. The page offers an e-mail link to submit additional questions on 2008 changes for consideration as FAQs.

Related Link:


2009-02 - Distributed 02-05-2009
  • Form 1065 Frequently Asked Questions

    The Form 1065 FAQ page has just been updated with Questions and Answers 2 through 9. The page offers an e-mail link to submit additional questions on 2008 changes to Form 1065 for consideration as FAQs.  The page also offers a subscription to Form 1065 e-news for notice of future updates to the 1065 FAQ page.

Related Link:


2009-01 - Distributed 01-20-2009

  • New Additional Schedules for Corporations and Partnerships Filing Schedule M-3
    • For tax years ending on or after December 31, 2008, corporations filing Form 1120 Schedule M-3 must also file new Form 1120 Schedule B.
    • For tax years ending on or after December 31, 2008, partnerships filing Schedule M-3 must also file new Form 1065 Schedule C.
  • Forms 1120 and 1065 and Related Schedules and Instructions for 2008

    Forms 1120 and 1065, and several related schedules and instructions, released July 2008 for public comment, are now final. Changes to the forms increase the transparency of the relationship between entities that make up complex business enterprises.

Related Link:

  1. Forms 1120 and 1065 and Related Schedules and Instructions for 2008 
  • Form 1065 Frequently Asked Questions

    Form 1065 has a number of changes for 2008. For example, Schedule B and Schedule K-1 require reporting of ownership percentages. The FAQ page on Form 1065 changes offers helpful examples.

Related Link:


2008-03 - Distributed 08-27-2008

  • Extended E-Help Desk Assistance

    Taxpayers e-filing their returns to meet the extended September 15, 2008 filing deadline may receive assistance from the IRS over the weekend of September 13 and 14, 2008 as follows:

Saturday, September 13, 2008 from 9:00 am to 3:00 pm ET - telephone assistance 866-255-0654
email assistance IRS.e-helpmail@irs.gov

Sunday, September 14, 2008 from 9:00 am to 3:00 pm ET -
email assistance only IRS.e-helpmail@irs.gov

  • New Resources Available
  • FAQ Clarification

    FAQ C 20 has been revised to clarify requirements for submitting Power of Attorney, Form 2848, in conjunction with an Application for Change of Accounting Method, Form 3115.  


2008-02 - Distributed 04-15-2008

  • Form 7004 - Multiple Extensions Filed in the Same Year

    We have discovered that taxpayers who are submitting a Form 7004 for extensions on multiple tax returns, such as "Type of Return Code" 31 for the Form 8804 and a "Type of Return Code" 09 for the Form 1065, receive rejections for duplicate conditions. We are working on resolving this issue.  Until we do so, taxpayers filing extensions for multiple tax returns, should submit only one extension electronically and submit additional extensions via paper.

If you have any questions, please do not hesitate to contact us at 1120@irs.gov


2008-01 - Distributed 03-10-2008


2007-08 - Distributed 09-11-2007

  • MeF e-Help Desk Offers Extended Filing Deadline Service

    The MeF e-help desk will be available for Form 1120 and 1120S e-filing assistance during the following hours, through September 21, 2007. Times indicated are eastern time zone. The number to call is 1-866-255-0654.

Weekdays thru September 21, 2007 - 6:30 a.m. to 10:00 p.m.
Saturday and Sunday, September 15 & 16, 2007 - 7:30 a.m. to 4:00 p.m.

Related Link: 

  1. e-File for Large and Mid-Size Corporations


2007-07 - Distributed 07-30-2007

  • Corporate e-file Frequently Asked Questions Updated

Many of the corporate e-file FAQs have been revised, updated, or deleted to reflect changes applicable to tax year 2006 return. New FAQs have been added, covering:

  1. Section B, FAQ 3 - Partnership returns and the 250 return threshold.
  2. Section C, FAQ 23 - How does a corporation amend an e-filed tax return?
  3. Section C, FAQ 24 - How can a corporation submit omitted documents after the return has been e-filed?
  4. Section C, FAQ 25 - Why did the post office return this information to me?
  5. Section C, FAQ 26 - International Forms 5471, 5472, and 5713 duplicate filing requirement.
  6. Section C, FAQ 27 - Pre-computed penalty and interest.

Related Links:

  1. e-file for Large and Mid-Size Corporations - Frequently Asked Questions
  • Revised Guidance for Amended and Superseding Corporate Returns

Corporations required to file electronically should carefully review the revised guidance for amended and superseding corporate returns.

Related Links:

  1. Amended and Superseding Corporate Returns - Revised 07-26-07


2007-06 - Distributed 06-27-07

  • Corporate e-file Penalty Oversight Committee

The Service has created a Corporate e-file Penalty Oversight Committee to ensure uniform, nationwide application of penalties directly related to the failure to electronically file as required by Temp. Treas. Reg. §§ 301.6011-5T and 301.6037-2T. In response to concerns expressed by taxpayers affected by the regulations, IRS formed this Committee to ensure consistent assertion of any penalties directly related to the failure to e-file and their application in a reasonable manner.

Related Links:

  1. Corporate e-file Penalty Oversight Committee


2007-05 - Distributed 06-19-07

  • Scam E-mail Being Sent to Businesses

We have received reports that a scam e-mail is being sent to some businesses. The e-mail includes references to e-filing by large and mid-size corporations. It suggests that the business is engaged in tax avoidance and asks the taxpayer to fill out an attachment and return it to the sender.

If you receive any type of unsolicited e-mail purporting to be from IRS, do not open or respond to it. IRS does not send unsolicited e-mails asking for personal or financial information.

The e-mail in circulation now appears to be a variation of another e-mail scam that is referenced in a recently issued IRS news release, which can be accessed from the related link below.  The news release provides additional cautionary advice for taxpayers.

Related Link:


2007-04 - Distributed 03-21-2007

  • New Modernized e-file (MeF) Status Page

    A new page has been launched that provides MeF users current operational status of the MeF systems. The page will provide advisory information when there is a condition that impacts transmitters for more than one hour during peak. Please check this page if you encounter a transmission problem.

Related Link:

  • Updated Guidance on Mixed Returns in 2006 Directions for Corporations Required to e-file

Section 2 of the 2006 Directions document includes a new paragraph providing guidance on not attaching forms or statements to certain mixed returns at the consolidated level.

Related Link:

  • Latest 1120/1120S e-file Statistics

Through March 18 over 8,900 LMSB corporations had e-filed their Forms 1120 and 1120S, of which 4,700 were from those corporations with assets under $50 million, and 4,200 from those with assets over $50 million.

Last year at this time, a total of 3,100 LMSB corporations had e-filed.


2007-03 - Distributed 03-14-2007

  • e-file for Large and Mid-Size Corporations Website Revised

If you have visited our page in the past few days, you may have noticed some changes. The content of the page is the same; we have reorganized it to make it easier to find information. Updates will continue to be made as needed, with notifications to you in future editions of "e-file News for Large and Mid-Size Corporations".

Related Link:

  • IRS Reminds Corporations to E-File or File for an Extension by March 15

Certain "mid-size" corporations (those with assets between $10 million and $50 million that file over 250 federal returns of all types per year) will be required to e-file for the first time this year. Including the large corporations who started required e-filing last year, the IRS expects that a total of about 22,000 corporations have the requirement this year. Those not required to e-file may do so voluntarily.

Related Link:

  1. News Release (03-12-07) - IRS Reminds Corporations to E-File or File for an Extension by March 15
  • Tax Year 2006 Known e-file Issues and Solutions

E-filing guidance has been updated for Form 851, Affiliations Schedule, and new guidance is now available regarding Schedule K (Form 1120), Form 6765, Credit for Increasing Research Activities, and Form 8903, Domestic Production Activities Deduction.

Related Link:

  • e-filing Form 8886, Reportable Transaction Disclosure Statement

Previously, Form 8886 needed to be e-filed in XML format as part of the electronically filed return.  Now, taxpayers may include Form 8886 in PDF.

Related Link:


2007-02 - Distributed 02-27-2007

  • Updated Tax Year 2006 Directions for Corporations Required to e-file

Corporations required to file electronically may use the following approved guidelines to prepare their income tax returns for tax years ending on or after December 31, 2006 without the need for a waiver. These directions are not all inclusive. These directions will continue to be updated as needed.

Corporations should carefully review the permanent directions for electronic filing contained in Publications 4163, 4164, and/or "IRS e-file for Large Taxpayers filing Their Own Income Tax Return" and be prepared to use them for future years.

Note: This document also contains a new Summary Chart of Filing Directions by Form Number.

Related Links:

  1. IRS e-file for Large Taxpayers Filing Their Own Income Tax Returns
  • Amended and Superseding Corporate Returns

As of February 14, 2007, the MeF system processes both superseding and amended returns.  Amended and superseding returns for Form 1120 and 1120S will be accepted for the 2005 tax year and forward.

Beginning with 2006 returns, both amended and superseding returns will be required to be e-filed if the taxpayer is required to file electronically based on the temporary regulation, unless a taxpayer has received an approved waiver to file that particular return in paper.  All of the business rules for e-filing original returns will also be in effect for both superseding returns and amended returns.

Related Link:

  1. Amended and Superseding Corporate Returns
  • Tax Year 2006 Known e-file Issues and Solutions

Additional issues and solution for 2006 have been identified and are now on IRS.gov.

Related Link:


2007-01 - Distributed 02-07-2007

  • Effects of Tax Relief and Health Care Act of 2006 on MeF

Due to late enactment of the Tax Relief and Health Care Act of 2006, implementation of many of the changes in the Modernized e-file (MeF) schema cannot occur until processing year 2008. Form-specific procedures to be used by taxpayers e-filing returns on the MeF system may be accessed from the related link below.

Related Link:

  1. Effects of Tax Relief and Health Care Act of 2006 on MeF
  • e-filing Now Required for Many Mid-Size Corporations

In anticipation of filing 2006 federal tax returns, many "mid-size" corporations and their tax advisors should now be positioning themselves for making the transition to filing electronic tax returns. Although e-filing is optional for most corporations, it is required for many.

Related Link:

  1. e-filing Now Required for Many Mid-Size Corporations
  • IRS to Revise Form 1120-F and Develop Schedule M-3 (1120-F)

The Internal Revenue Service is revising Form 1120-F, U.S. Income Tax Return of a Foreign Corporation, for tax year 2007, and developing a new Schedule M-3 (1120-F). Drafts of the forms are expected to be released and open for public comment.  Looking ahead, IRS anticipates that taxpayers, starting in 2008, will be able to electronically file the 2007 Form 1120-F.

Related Link:

  1. IRS to Revise Form 1120-F and Develop Schedule M-3 (1120-F) (link de-activated 05-01-2007)


2006-21 - Distributed 12-20-2006

  • Scheduled Downtime for MeF System

    The MeF system will not be available from December 28, 2006 until January 8, 2007. Taxpayers who are in the 20 day period to perfect their return transmission at that time and who are unable to file an accepted return by December 28 should contact the e-Help Desk at 1-866-255-0654.

Related Link:

  • Update Guidance on Omitted Documents

    The procedures for submitting omitted documents after electronic tax return filing were updated on November 22, 2006 and contained in "e-file News for Large and Mid-Size Corporation", edition 2006-20. The 11/22/06 procedures, in the form of FAQs, updated and superseded the prior procedures announced on September 11, 2006 in the 2006-15 edition of "e-file News for Large and Mid-Size Corporations."

Related Link:


2006-20 - Distributed 11-22-2006

  • Amending e-filed forms 1120 and 1120S and Submitting Omitted Documents

At this time, e-filed Forms 1120 and 1120S must be amended using the existing paper process. Capability to electronically amend these returns over the MeF system will be available starting January 8, 2007.

Forms that were omitted from e-filed Forms 1120 or 1120S may be submitted by amending the tax return. However, there is an exception for omitted international forms. If the taxpayer used the paper or pdf option specified in the "Tax Year 2005 Directions..." document, paper copies of the omitted forms may be sent within the 20 day time period and those forms will be associated with the e-filed return. After the 20 day period however, an amended return is needed to make the omitted forms a part of the tax return. 
 
Two new FAQs, numbers C 24 and C 25, cover these issues.

Related Link:

  1. e-file FAQs for Large and Mid-Size Corporations
  • Updates to "Tax Year 2006 Directions for Corporations Required to e-file"

"Tax Year 2006 Directions for Corporations Required to e-file" has a new Section 2, named Mixed Returns, and has been updated with new information.  A mixed return, for e-file purposes, is a consolidated Form 1120 with one or more Form 1120-L or Form 1120-PC subsidiary returns that is required to be filed electronically.  For 2005,  mixed returns required to be electronically filed included all Form 1120 subsidiary information in XML, but all of the subsidiary Form 1120-L and 1120-PC information was attached as a PDF file.  For tax years ending December 31, 2006 and later, all subsidiary information, including Form 1120-L and Form 1120-PC, is required to be XML.

Related Link:


2006-19 - Distributed 10-24-2006

  • Amending Electronically Filed Corporate Tax Returns

Recently issued Revenue Procedure 2006-42 grants automatic approval to change certain elections under Treasury Regulation 1.861-8 relating to the apportionment of interest expense and research and experimental expenses. The revenue procedure requires corporate taxpayers electing automatic approval to attach applicable statements to Form 1118 and, if filing electronically, to include the statements in the electronic version of Form 1118.

We have received questions about making these elections for 2005 tax year returns that have already been e-filed.

The modernized (MeF) system is not yet able to accept amended electronic returns. Corporate taxpayers that have already e-filed their 2005 Form 1120 and want to change elections pursuant to Re. Proc. 2006-42 should file a paper Form 1120X and attach the required statements.

We are working with the corporate e-file software industry and expect to have the capability to accept Form 1120 amendments early next calendar year.

Related Link:

  1. Revenue Procedure 2006-42
  • LMSB Commissioner Letter to Mid-Size Corporations

LMSB Commissioner Deborah M. Nolan has sent a letter to CFOs of mid-size corporations (those with assets between $10 million and $50 million) that file Form 1120 or 1120S explaining that e-filing is required for some and voluntary for all others, and pointing readers to our website and resources profiled therein for additional information in making the transition from paper to electronic return filing.

Related Link:

  1. LMSB Commissioner Letter to CFOs of Mid-Size Corporations
  • Tax Talk Today

A November 14 "Electronic IRS" Edition of Tax Talk Today, a web cast service for tax professionals, will include a discussion of e-filing for large and mid-size corporations. The panel discussions will include representatives from the IRS and the practitioner community.

Related Link:


2006-18 - Distributed 10-11-2006

  • Tax Year 2006 Directions for Corporations Required to e-file

    Starting with tax years ending on or after December 31, 2006, corporations with $10 million or more in assets that file 250 or more returns a year are required to electronically file their Forms 1120 or 1120S.

    Directions that corporations can use to satisfy the e-file requirement for tax years ending on or after 12/31/06 are now posted on IRS.gov. The directions will be supplemented and updated as needed.

    Tax Year 2005 Directions will remain on our internet site for those corporations with $50 million or more in assets that are required to, but have not yet, e-filed their 2005 Forms 1120 or 1120S.

    In coming weeks other information on our website will be updated in preparation for a successful second year of required e-filing for large and mid-size corporations.

Related Link:


2006-17 - Distributed 09-27-2006 (This was mistakenly issued as 2006-16)

  • e-file Application and Registration Processes

Prior to the extended September 15 filing deadline, expedited e-file registration steps were announced to ensure taxpayers could meet the filing deadline. These steps were announced in "e-file News for Large and Mid-Sized Corporations # 2006-14. The IRS will no longer be providing an overnight registration process. Instructions to complete the registration and application process can be accessed from the following related links.

Related Links:

  • More than 12,500 Corporations e-filed 2005 Tax Returns in First Year of New Requirement

Click on the related link below to access a copy of an IRS press release announcing the results of the first year of required corporate e-filing.

Related Link:


2006-16 - Distributed 09-13-2006

  • EFIN Application Deadline Today

    Midnight today, Eastern Time, September 13, is the deadline for corporations intending to e-file their returns to submit an application to secure an EFIN in order to meet the extended September 15 filing deadline.

    After September 13, Taxpayers intending to e-file by September 15 will need to use the services of an On-line Filer or ERO.

Related Link:


2006-15 - Distributed 09-11-2006

  • September 15 e-filing Deadline Advisories

Reject Acknowledgments:

If you have received an acknowledgement for a submission that rejected in which EIN is listed as "UNKNOWN", you should maintain a copy of the rejected acknowledgement showing the submission ID and Date in the event that the IRS questions the "Received" date. This is necessary since the MeF system is not able to associate a reject in which EIN is listed as "UNKNOWN" with a subsequent accepted return for purposes of determining the "Received" date and applying the 20-day rule.

Electronic Payments with Return:

Returns in which an electronic payment is being made require that the schema named "IRSPayment.xsd" be attached to the top-level return.  If the "IRSPayment.xsd" schema is not attached to the top-level return, IRS will NOT be able to process the electronic funds withdrawal request.

What should I do if I omitted a document(s) when I e-filed my corporate (1120/1120S) return?

Note:  The following information was superseded by procedures announced in "e-file News" #2006-20, in the form of FAQs.  Please refer to the archived message #2006-20, above.

(Note: These optional directions are available only to corporations required to e-file. Submit omitted documents to the Ogden Submission Processing Center at the address below within 20 calendar days of receiving the "Accepted Return" acknowledgement from IRS, or by the due date of the return (with extensions), which ever is later. This process can only be used if there are no changes to the tax return numbers.)

  1. Print a paper copy of the omitted document(s)
  2. Prepare and print Form 8453-T, Transmittal for Certain Corporations Required to e-file, by completing:
    • the header information
    • Part I
    • Part II item #6 and #7
  3. Mail the omitted document(s) and the completed Form 8453-T to:

    Internal Revenue Service
    PO Box 3205, Mail Stop 3205
    Ogden, UT 84409

    If you use a private delivery service, the address to use is:

    Internal Revenue Service
    1973 North Rulon White Boulevard
    Mail Stop 3205
    Ogden, Utah 84404
  4. Send an email to LargeCorporate@irs.gov  with “Missing Document” typed in the Subject line and include a description of the missing document(s)/problem in the body of the email along with the name and contact telephone number of the person we may contact to ensure that the missing information is properly associated with your return.
  5. This process can only be used to associate missing documents/information.  If you need to re-file a return that has already been filed electronically because you have changes to numbers on the tax return, either within the return filing period or as an amended return (after the filing period has expired) at this time, you will need to re-file on paper following the normal paper processes.

Related Link: 

  1. e-file for Large and Mid-Size Corporations


2006-14 - Distributed 09-06-2006

  • e-file Registration and Electronic Identification Numbers (EFIN)

This is an important reminder to Large Taxpayers required to e-file their tax year 2005 returns!  The September 15 filing extension deadline is quickly approaching.  If you are not using an Online Provider or Electronic Return Originator (ERO) to originate your return, you need an Electronic Filing Identification Number (EFIN) in order to e-file your return. 

If you have not registered, please do so immediately.  Registration requires a confirmation number to be mailed to your address, which takes between 7-10 days.  Because of the approaching deadline, IRS will assist you by providing your confirmation number immediately after you register.  To do this, please follow the instructions below:

  1. Register with e-Services Registration.  Follow the “e-Services Registration” instructions provided on the IRS.gov Web site: e-file for Large and Mid Size Corporations.
  2. After registering, send IRS an e-mail at LargeCorporate@irs.gov and provide your name and a phone number to contact you.  In this e-mail, use the subject line of REGISTRATION CONFIRMATION NEEDED.  Again, you must provide contact information and you will be asked your name, SSN and the Username you created when you registered so we can authenticate you.  We will then provide your confirmation number.
  3. Confirm your e-Services Registration.
  4. Create an e-file Application for your corporation.  Follow the instructions for “e-file Application for Large Taxpayers” at: e-file for Large and Mid Size Corporations.
  5. Overnight, IRS will check your application and assign you both an EFIN and an Electronic Transmitter Identification Number (ETIN).  The ETIN is provided for those corporations who are not using a third-party transmitter (such as their software vendor) and who want to transmit their own returns directly to IRS.  Note:  If you are going to transmit your own return, you will need to perform a communication test with the IRS prior to transmitting your return.  Please see full instructions at the website above (IRS e-file for Large Taxpayers Filing Their Own Corporate Income Tax Return).”

Please note that you run the risk of not being able to file your corporation’s return timely if you do not take the appropriate steps above to obtain your EFIN and/or ETIN!

Related Link: 

  1. e-file for Large and Mid Size Corporations.


2006-13 - Distributed 07-30-2006

  • New FAQs

New FAQs have been added on the following topics: Name Changes; Determining the 250-return threshold; Registration and Application; Rejected Electronic Returns; and Pension Contribution timing. We have noted these new FAQs at the top of the FAQ page, along with an advisor that the FAQ page will be updated and revised significantly in coming weeks.

Related Link:

  1. Frequently Asked e-file Questions for Large and Mid-Size Corporations
  • Name Changes

Taxpayers covered by the electronic filing mandate who were planning to notify the IRS of an Official Name Change by checking the box on the front of their paper tax return will be unable to use that process this year when e-filing their tax return. Instead, they need to use the information in the new FAQs (see preceding article) to e-file their return and change the corporation’s name.

Some taxpayers may have filed, or plan to file, on paper relying on information in various IRS Publications and Form Instructions that indicate Name Change returns can not be e-filed. Taxpayers subject to the e-file mandate who changed their corporate name in 2005 by officially amending their Certificate of Incorporation and relied on the aforementioned published information to paper file their 2005 returns, or who will be filing their returns on or before 12/31/06, will not be required to e-file.  After 12/31/2006 all taxpayers subject to the e-file mandate will be required to file electronically unless they have received an approved waiver.

Related Link: 

  1. Frequently Asked e-file Questions for Large and Mid-Size Corporations
  • Revised and New Known e-file Issues and Solutions

We have added an issue relating to Schedule T – Forest Activity Schedule; and have revised previously posted known issues and solutions.

Related Link: 

  1. Known e-file Issues and Solutions
  • Latest Large and Mid-Size Corporation e-file Stats

As of July 23, almost 5,900 returns had been e-filed by corporations with assets over $10 million (LMSB returns).  Of those, 3,700 were from corporations with assets over $50 million.  Almost 400,000 returns have been filed from corporations of all sizes.

Related Link: 


2006-12 - Distributed 07-14-2006

  • New FAQs Scheduled for August 1

In recent discussions with stakeholders we have advised that a new set of FAQs is being developed. We anticipate publishing the new FAQs by August 1 and will alert you when they are available.

  • Important Steps for Maintaining Your e-Services Registration

It is important to include an email address when registering with IRS e-Services, a first step many people take to register and apply for e-filing corporate returns.  Providing an email address enable IRS to notify registrants when it is time to change passwords, which occurs 179 days after registration.  If you registered but did not provide an email address, we suggest you access your registration account to do so.  At that time you can also change your password if you so choose.  This is important - if your password expires, you will need to complete the e-Services registration process again and receive a confirmation token in the mail to finalize the registration.

Related Link:


2006-11 - Distributed 06-30-2006

  • Updated Tax Year 2005 Directions for Corporations Required to e-file Published

Section 1 – Forms allowed as PDF

  • Additional guidance has been added to the General PDF Guidelines
    Forms Allowed as PDF - Form 3115 may be attached in either XML or PDF.

Section 2 - Forms 1120 L and 1120PC Subsidiaries Allowed as PDF

  • Information has been added about the need for certain taxpayers filing Mixed Returns to work with their software vendors to be able to override one or more of the existing business rules.

Section 3 - Information Available on Request

  • Guidance has been added on applying the 100 lines requirement to the Form 8873

Section 4 – International Forms - Paper or PDF Option

  • Paper Option has been updated to provide that taxpayers that select this option must send the paper forms to the Ogden Submission Processing Center within 20 calendar days of receiving the "Accepted Return" acknowledgement from IRS, or by the due date of the return (with extensions), whichever is later.
  • Paper and PDF Options instructions have been updated to further clarify when the duplicate paper copies of Forms 5471, 5472 and 5713 must be submitted to the Philadelphia Submission Processing Center.

Related Link:

  • Short Term Solutions for Existing Identified Issues

In an effort to stabilize the schemas for the forms, and to continue to provide a transition process for taxpayers required to file electronically, IRS has published a short list of areas that may require a work around to ensure a successful e-file return is accepted.   These are now published under the heading of Known e-file Issues and Solutions.

Related Link:

  1. Known e-file Issues and Solutions


2006-10 - Distributed 06-22-2006

Last week the IRS announced the elimination of the requirement limiting the paper option to only those taxpayers filing more than 25 of one of the forms listed in Section 4. All corporate taxpayers required to e-file now have the option of filing the international forms listed in Section 4 in XML or they may use the alternative PDF or paper option.

  • All Section 4 forms in XML
  • Some Section 4 forms in XML and others in PDF
  • Some Section 4 forms in XML and others using the paper option.

Note:  Taxpayers MAY NOT use a combination of PDF and paper options.

New instructions have been added for the PDF option and the paper option instructions have been modified to include additional requirements.

Several items are of importance regarding these changes.

  • PDF and paper options may not be both used in the same return for the listed Section 4 forms.  The only option that may be used in addition to one of the alternative options is XML.
  • The new PDF and paper option instructions include specific directions on how to name the applicable file(s) and also how the descriptive field should be used.
  • As with the paper option, taxpayers using the PDF option are required to file a duplicate paper copy with the Philadelphia Submission Processing Center.
  • Taxpayers using the PDF option may not scan the forms; the most recent version of the software must be used.  (Note: If using the PDF option make the total PDF file more than 1GB, the paper option must be used).
  • Last, although paper is an option, taxpayers are strongly encouraged to use PDF, the advantages of PDF over paper to both taxpayers and the IRS are clear.

Related Link:


2006-09 - Distributed 06-16-2006
  • Changes in 2005 e-file Directions for International Forms
    The IRS is revising “Tax Year 2005 Directions for Corporations Required to e-file” to provide that PDF is a filing option for certain international information forms.

The IRS is also eliminating the requirement limiting the paper option to only those taxpayers filing more than 25 of an international form. All corporate taxpayers required to e-file now have the option of filing their international forms in PDF or paper.

Three items are of importance regarding these changes.

  • As with the paper option, taxpayers using the PDF option are required to file a duplicate paper copy with the Philadelphia Submission Processing Center.
  • Taxpayers using the PDF option may not scan the forms; the most recent version of the software must be used. (Note:  If using the PDF option makes the total PDF file more than 1GB, the paper option must be used).
  • Last, although paper is an option, taxpayers are strongly encouraged to use PDF; the advantages of PDF over paper to both taxpayers and the IRS are clear.  

Following is important information about these changes and why they were made.

The current version of the “Tax Year 2005 Directions for Corporations Required to e-file” provides:

“Section 4 – International Forms – Paper Option
If a corporation is required to e-file its income tax return (Temporary Treasury Regulation Section 301.6011-5T) and has 25 or more of any of the following international forms not including any required schedules, the IRS has provided a paper option that can be used for filing those international forms. If using the paper option, a placeholder form that includes only the header information (parent corporation's name and EIN) must be submitted in XML. Ensure the total number of all applicable forms is included on Form 1120 Schedule N as appropriate.”

During our consultations with taxpayers, practitioners, and software vendors, one of the identified barriers to complying with the e-filing requirement in the initial year was filing certain international information forms (5471, 5472, 5713. 8858, and 8865) in XML.

Various options were discussed and considered, including Portable Document Format files (PDF). The IRS analyzed the prior year paper returns of taxpayers having multiple Forms 5471, taking into consideration the capacity of the MeF system at that time.  The IRS concluded that allowing international forms in PDF might produce individual and aggregate file sizes that could challenge the capacities of the MeF system.  As a result, PDF was eliminated as an option and a paper option was provided for in the 2005 Directions.

Since then, advances in commercially available software, such as Adobe 7.0, produce much smaller PDF files which have been included in some recently e-filed corporate returns.

With the efficiency of this new PDF version our prior concerns about challenging system capacities are no longer applicable.  Accordingly, the IRS is revising “Tax Year 2005 Directions for Corporations Required to e-file” to provide that PDF is a filing option for the international information forms.

The IRS is also eliminating the requirement limiting the paper option to only those taxpayers filing more than 25 of an international form. All corporate taxpayers required to e-file now have the option of filing their international forms in PDF or paper.

“Tax Year 2005 Directions to Corporations Required to e-file” will be amended accordingly and published on irs.gov.  

Related Link:


2006-08 - Distributed 06-05-2006

  • New Form 8453-T
    A new Form 8453-T replaces the prior Form 13740 and should be used effective immediately by corporations to transmit the paper portion of their electronically filed returns. Section 4 of “Tax Year 2005 Directions for Corporations Required to e-file” has been updated to reflect this change and includes a hyperlink to the new form.

Related Link:

  1. Tax Year 2005 Directions for Corporations Required to e-file
  • IRS e-file Moves Forward
    As of May 31, over 4,700 large and mid-size corporations had electronically filed. Over 3,000 of those filings were by corporations with assets over $50 million, one of which was the nation's largest tax return.

Related Link:

  • IRS Eases Reporting Burden on Corporations and Shareholders
    The Internal Revenue Service has announced new regulatory revisions that will reduce the reporting burden on corporations and shareholders while also making it easier for them to file their tax returns electronically.

Related Links:

  1. Revenue Procedure 2006-21
  2. TD 9264


2006-07 - Distributed 04-14-2006
  • Waiver Guidance - Catastrophic Event
    A taxpayer who was subject to a catastrophic event and continues to incur undue hardship even after the period provided for under any specific IRS disaster or emergency relief procedures may request a waiver from the requirement to e-file. If approved, the taxpayer will be allowed to file a paper return.

Related Links:


2006-06 - Distributed 04-04-2006
  • Tax Year 2005 Directions for Corporations Required to e-file
    Section 3 has been retitled and reorganized.
    • It is now titled "Information Available on Request."
    • Content of this section is now organized into three sub-sections: Transactional Data, Officer's Compensation and Form 8824 -- Like Kind Exchanges.
    • Another summary format for Form 8824 has been developed and Form 8824 has been moved from the "25 or More Forms in PDF" category in Section 1 to Section 3. The new summary format reflects the "multiple exchanges" guidance currently in Form 8824 instructions.

Related Link:

  • Waiver Guidance
    The Service will generally not approve a request to waive the electronic filing requirement if the software purchased or licensed by a taxpayer or a return preparer does not include all of the features necessary to comply with the Modernized e-File requirements set forth in IRS regulations, revenue procedures, publications, and other instructions posted to the irs.gov website.

Related Link:

  • Form 8886, "Reportable Transaction Disclosure Statement"
    Form 8886 is e-filed in XML as part of the electronic return. Initial year copies of Form 8886 containing the same information are to be mailed to the IRS Office of Tax Shelter Analysis.

Related Link:


2006-05 - Distributed 03-27-2006

  • Transmitting the Paper Portion of Returns Required to be e-filed
    Effective immediately, Form 13740, "Attachment to an 1120/1120S Return Required to e-file" is withdrawn. It requires some revisions and will soon be re-issued with a new form number. Temporary interim procedures for transmitting paper portions of a return required to be electronically filed have been published in Section 4 of "Tax Year 2005 Directions for Corporations Required to e-file," under the header "Procedures for Paper Portion of Income Tax Return." This change does not affect returns already e-filed or prepared and ready to be e-filed.

Related Links:

  • Name Controls on Electronically Filed Corporate Returns
    The name control a corporation uses in their electronic tax return must match the IRS record of the corporation's name control. IRS has developed a short set of FAQs that explain what a name control is, why it is important and how taxpayers can verify their name control prior to e-filing.

Related Link:


2006-04 - Distributed 03-16-2006

  • Waiver Guidance
    Another situation has been identified that generally will result in an approved waiver under Notice 2005-88. This situation involves taxpayers filing their final return, or last return they are required to file, during 2006. Examples of this situation could include a final return filing due to a corporate dissolution, merger or acquisition.

Related Links:


2006-03 - Distributed 03-08-2006

  • Waiver Guidance
    We have posted two "situations where waivers will generally be granted". We will continue to share summaries of these situations as requested waivers are either granted or denied. Those posted involve:
    • A taxpayer that has a business need to file a subsequent corporate income tax return for the same tax period prior to the extended due date of the return.
    • A taxpayer, otherwise required to e-file, that has filed a petition with the bankruptcy court under Chapter 7 of the Bankruptcy Act.

Related Link:

  • Registration and Application
    Links are on the main page to expanded Registration and Application presentations that provide step-by-step information on the registration and application process.  The "Large Taxpayer Document" also includes links to these Registration and Application presentations.

Related Link:

  • Tax Year 2005 Directions for Corporations Required to e-file
    A number of changes have been made to the "directions" document, including:
    • The attachment to the document, entitled "Summary Chart of Filing Directions, Listed by Form Number" has been updated to reflect all current decisions.
    • In Section 3 - Transactional Data:
      • Form 8873 summary format example has been added.
      • Officer's Compensation instructions have been added to treat the details for 2005 under the transactional data rules, but not subject to the 100 line minimum.
    • In Section 4 - International Forms:
      • The paper filing option has been expanded and an example added.  Taxpayers who can file paper for one document because they have 25 or more will be able to include the other eligible documents in paper, even if less than 25.
      • A new instruction, with example, has been added requiring all forms in a form family, including corresponding schedules, to be filed using the same format.
      • Form 5713 instructions have been expanded.
      • In the procedures for paper portion of the tax return:
        • Paper option instructions have been expanded to include information on timely submission of duplicate paper forms to Philadelphia.
        • Instructions have been added for naming the PDF file of the Form 13470 that must be included in the electronic filing transmission.

Related Link:

  • Nation's Large Corporations File Taxes Electronically
    More than 450 of the nation's largest corporations have electronically filed taxes in advance of the March 15 filing date.  IRS expects more than 10,000 large corporations to e-file by the extended filing date of Sept. 15, 2006.

Related Link:


2006-02 - Distributed 02-14-2006

  • Frequently Asked Question (FAQ) #A3 Revised
    FAQ #A3 provides current addresses taxpayers should use for correspondence relating to reasonable cause for failure to file or pay tax, pre-computed penalty and interest, and overpayments to be applied to another account.

Related Link:

  1. e-file for Large and Mid-Size Corporations - Frequently Asked Questions


  • Regulations Eliminating e-file Impediments (TD9100)
    A link has been added to previously issued Treasury regulations that revise signature and document attachment requirements that were determined to be an impediment to electronic filing of business tax returns.

Related Link:


  • New Forms Resulting from Legislation
    A note has been added to the "General PDF Guidelines" in Section 1 of "Tax Year 2005 Directions for Corporations Required to e-file". If a new form is created late in the year as a result of legislative changes, and the software industry does not have time to enable the form in XML, then that particular form can be attached to an 1120 or 1120S electronically filed return in PDF format.

Related Link:



2006-01 - Distributed 02-03-2006

  • Approved IRS e-file Providers for Businesses
    We have added a link that takes interested parties to information about firms that provide e-filing products and services for business taxpayers, including those that file Forms 1120, 1120S and 7004.

Related Link:


  • Tax Year 2005 Directions for Corporations Required to e-file
    Tax Year 2005 Directions for Corporations Required to e-file has been updated with the changes summarized below:

    Section 1 - Forms Allowed as PDF

    General PDF Guidelines
    We have corrected the individual file size limitation from 50 MB to 60 MB.

    Forms Allowed as PDF

    Two additional forms will be allowed for the 2005 year in PDF:

      - Form 8283 - Noncash Charitable Contributions
      - Form 8621 - Return by a Shareholder of a Passive Foreign Investment Co. or Qualified Electing Fund
      - Attachment to Form 3468 - Investment Credit for Certified Historic Structures Prior Year Credits Claimed

    Forms Allowed as PDF if 25 or more filed

    Form 8861 - Welfare to Work Credit had previously been identified on the list of forms allowed in PDF with an XML summary form if the taxpayer had over 25.  It has been removed from that list and will only be taken in XML.

    Portions of form may be attached as PDF

    Part 4 of Form 851 has been added to the information that can be sent in PDF and now reads:

    Form 851 - Affiliation Schedule - Part 2, 3 & 4 only

    Section 2 - Forms 1120 L and 1120PC Subsidiaries Allowed as PDF

    We have added Example 3.

    Section 3 - Transactional Data - Available on Request

    Summary Formats (not forms)

    Information has been added to explain that once a taxpayer can use the summary format, they can use it across all of their like forms in the consolidated return.  For example - if a taxpayer can utilize the Sch D Summary at subsidiary 1 level, they can use it at every subsidiary level whether each subsidiary individually would meet the 100 line items or not, as well as at the parent and of course the consolidated level.

    Examples or instructions for the different forms have been added.

    Section 4 - International Forms - Paper Option

    Summary form has been renamed placeholder form.  Additional information has been added to explain how to count the forms.

    Procedures for Paper Portion of Income Tax Return

    Reference to the form number and a link to the form have been added for Form 13470 - Attachment to an 1120/1120S Return Required to e-file required when a taxpayer uses the paper option.

Related Link:


2005-04 - Distributed 12-19-2005

  • We have been getting numerous questions with regard to the applicability of suitability checks, such as fingerprinting and background investigations, with respect to a Large Taxpayer's e-file application process.

Corporations that use tax preparation software approved for electronic filing and intend to send (originate) their own electronic return to either the IRS or a 3rd party transmitter will need to complete the online registration and application process. As part of the application process, various people are identified and given individual roles with regards to the application and the e-filing process

IRS created the unique category of Large Taxpayer to eliminate the suitability checks that are required for organizations in the business of filing tax returns for profit. Since the Large Taxpayer's e-file application is not to enable them to prepare and transmit returns as a business, instead it is to send their own corporate return to the IRS, there are NO suitability checks (as discussed in Publication 3112) performed on any of the people identified on the corporation's application.  This includes the Responsible Official(s), Delegated Official(s), and Corporate Officer(s).

Related Link:


2005-03 - Distributed 11-10-2005

  • Requesting a Waiver from Required e-filing
    IRS has issued Notice 2005-88 providing guidance for corporations seeking a waiver from required electronic filing in situations where the corporation cannot meet the requirements due to technology constraints; or where compliance with the requirements would result in undue financial burden.

Related Links:


2005-02 - Distributed 10-06-2005

  • LMSB Commissioner Letter to Tax Managers of Large Corporations
    LMSB Commissioner Deborah M. Nolan has sent a letter dated October 5, 2005 to tax managers of corporations with assets of $50 million or more, providing information on the upcoming e-file requirement.

Related Link:

  1. LMSB Commissioner Letter to Tax Managers of Large Corporations



2005-01 - Distributed 10-04-2005

  • Update to e-file for Large and Mid-Size Corporations
    Thank you for subscribing to "e-file News for Large and Mid-Size Corporations."  You will receive e-mail news items alerting you to e-file developments and new e-file information posted to IRS.gov.
  • The FAQs on the e-file for Large and Mid-Size Corporations webpage have been updated.  Here is a listing of the new or revised FAQs:
    • Section A: FAQ 3 (revised)
    • Section B: FAQs 3 and 4 (new); FAQ 7 (this FAQ was previously # 5 and has been revised)
    • Section C: FAQ 15 (revised)
    • Section E: FAQ 7 (revised)
    • Section F: FAQ 2 (revised)

Return to:    e-file for Large and Mid-Size Corporations

Page Last Reviewed or Updated: 15-Aug-2012