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Part 21. Customer Account Services

Chapter 3. Taxpayer Contacts

Section 9. Processing Reporting Agents File Authorizations

21.3.9  Processing Reporting Agents File Authorizations

21.3.9.1  (10-01-2006)
Purpose

  1. The instructions in this text are used to process Form 8655, Reporting Agent Authorization. These forms are processed to the Reporting Agents File (RAF).

21.3.9.1.1  (10-01-2007)
Scope

  1. Reporting Agents File (RAF) processing is completed at the Ogden Accounts Management Campus. Additions, deletions, and corrections to accounts on the RAF are processed at Ogden only. Any employee with IDRS access has the ability to research the RAF, but only RAF employees in Ogden can add, delete or update the RAF. All Form 8655, Reporting Agent Authorization, are mailed to:

    Internal Revenue Service
    Accounts Management Campus
    MS 6748 RAF Team
    1973 North Rulon White Blvd.
    Ogden, Utah 84201

21.3.9.1.2  (10-01-2007)
Background

  1. Form 8655, Reporting Agent Authorization, is used when a taxpayer has chosen to designate an Agent to the following listed below:

    1. File and sign certain tax returns filed electronically.

    2. Make Federal Tax Deposits (FTDs) and submit FTD information electronically.

    3. Receive duplicate copies of official notices, correspondence, transcripts or other information with respect to the electronic returns filed by the Agent.

    4. Receive duplicate copies of official notices, correspondence, transcripts, filing frequency information or other information with respect to the FTDs submitted electronically by the Agent.

      Note:

      Upon request, an Agent is entitled to receive transcripts of accounts for tax periods in which the Agent filed the return electronically. The agent is also entitled to request and receive a transcript reflecting tax deposits/payments submitted electronically by the Agent. Transcripts are required to be sanitized, per IRM 21.2.3.4.1.2, Tax Return Transcripts.

    5. Provide information, as an "other third party" , to assist the IRS in deciding whether or not reasonable cause exists for penalty abatement when related to a filing or payment made electronically by the Agent. Under these circumstances, the Agent can be advised as to whether or not the penalty will be abated at the time the determination is made. Form 8655, Reporting Agent Authorization does not authorize the Agent to request penalty abatement on behalf of the taxpayer, argue the facts or appeal a denied request without Form 2848 Power of Attorney (POA) authorization. The determination can be conveyed over the telephone to the RA named in the authorization because, once made, the determination to abate or charge the penalty becomes part of the return information.

21.3.9.1.3  (10-01-2006)
Section 3705(a) IRS Employee Contacts

  1. The Restructuring and Reform Act of 1998, Section 3705, provides identification requirements for all IRS employees working tax related matters.

  2. IRS employees are required to give their title, last name, and identification/badge number during taxpayer telephone, face-to-face, and written contact. In addition, a telephone number is required on all taxpayer correspondence.

  3. Correspondex letters require a specific employee name and telephone number only if the employee initiating the correspondence is in the best position to respond to any questions the taxpayer may have about the correspondence or the employee is asking the taxpayer to provide additional case-related information.

  4. Otherwise, if the taxpayer does not need to contact a specific employee, the correspondence needs only an IRS telephone number and standard signature.

21.3.9.2  (10-01-2006)
General Information

  1. This section provides a description and general information about the Reporting Agents File.

21.3.9.2.1  (10-01-2006)
Reporting Agents File (RAF)

  1. The RAF is a database that contains:

    • Reporting Agent records

    • Taxpayer/Client records

  2. The RAF is researched by Reporting Agent EIN to determine whether or not a Reporting Agent is on the RAF.

  3. The RAF is researched by Taxpayer EIN to determine:

    • Which Reporting Agent, if any, is authorized by the taxpayer

    • The Sequence Number of the RAF record

    • Which tax forms and/or payments are authorized

    • The beginning period for each tax form and/or payment authorized

    • When the current authorization was established on RAF

    • Whether or not the Reporting Agent is authorized to receive notices

21.3.9.2.2  (10-01-2006)
Reporting Agents, Batch Filers and Bulk Filers

  1. Reporting Agents (RAs) are companies (not individuals) that perform payroll services for other businesses (taxpayers/clients).

  2. In connection with these payroll services, RAs may file their clients' employment tax returns electronically.

  3. RAs, Batch Filers and Bulk Filers may make Electronic FTDs for their clients. These FTDs are submitted through the Electronic Federal Tax Payment System (EFTPS).

    • A Batch Filer submits multiple EFTPS files at one time using a personal computer or telephone.

    • A Bulk Filer uses Electronic Data Interchange (EDI) to transmit EFTPS payments.

21.3.9.2.3  (10-01-2007)
Related IRMs

  1. The following IRMs are used in conjunction with this section:

    • IRM 3.13.2, BMF Account Numbers

    • IRM 3.13.222, BMF Entity Unpostable Correction Procedures

    • IRM 2.3, IDRS Terminal Responses

    • IRM 2.4, IDRS Terminal Input

21.3.9.2.4  (10-01-2007)
Application for Approval

  1. RAs who want to file their clients' tax returns electronically must formally apply to the IRS for this privilege. These RAs must follow guidelines in Rev. Proc. 2007-38 and Rev. Proc. 96-18 or Rev. Proc. 99-39 (whichever is appropriate) or subsequent revisions. The technical specification for filing RA Authorization information are in Publication 1474 (Technical Specifications Guide For Reporting Agents Authorization and Federal Tax Depositors (Revised 1-2006)), Catalog Number 10821H.)

  2. RAs and EFTPS filers who desire to make Electronic FTDs for their clients must follow guidelines in Rev. Proc. 98-32 or subsequent revisions.

  3. RAs/Filers send their applications to the appropriate Accounts Management Campus per the Revenue Procedures shown in IRM 21.3.9.2.4 (Application for Approval) (1) and (2) above.

  4. As part of the application process, RAs/Filers must attach a list of all clients/taxpayers for whom they will file returns. This list is called a Reporting Agents Listing. An example of this list can be found in the Publication 1474, exhibit 2.

  5. The RAs/Filers must also attach a Form 8655, Reporting Agent Authorization, completed with both signature and date for each client/taxpayer on the list. If the number of clients/taxpayers exceeds 100, then the Agent's List must be filed on magnetic tape instead of paper. Any Agent that submits more than 100 adds per week via paper will have all the submissions for that week rejected.

  6. The Accounts Management Campus which receives the RAs/Filers formal application, Form 8633, Application to Participate in IRS e-file Program, and the Form 8655, Reporting Agents Authorization, and Reporting Agents Listing. The Accounts Management Campus will then forward the Form 8655, Reporting Agents Authorization, and Reporting Agents Listing to Ogden for processing.

  7. RAs/Filers follow procedures in Publication 1474 (Technical Specifications Guide For Reporting Agents Authorization and Federal Tax Depositors (Revised 1-2006)), to format their magnetic tapes.

    Note:

    Reporting Agents Listings, whether filed on paper or magnetic tape, must contain accounts in EIN order. Accompanying Form 8655, Reporting Agents Authorization, must also be in EIN order.

  8. When the RA/Filer is approved for electronic filing of tax returns or FTDs, an account must be established on the RAF for the RA/Filer. The RAF is a file of all authorized RAs, Batch Filers and Bulk Filers and their authorized clients. The following steps are taken to add a RA/Filer to the RAF:

    1. Research Master File to verify the RA's Employer Identification Number (EIN), Name and Address. Research RAF using Command Code (CC) RFINK with definer "R" to make sure the RA is not already on RAF.

    2. If the RA is not on RAF, and the Form 8655, Reporting Agent Authorization requests Form 941 (Employer's Quarterly Federal Tax Return), Form 940 (Employer's Annual Federal Unemployment (FUTA) Tax Return), and Form 944 (Employer's ANNUAL Federal Tax Return) electronic filing, send appropriate letter to the RA asking for the missing information.

    3. The Ogden RAF uses the command code AFADT to add the EIN, Name and Address of the RA/Filer to the RAF. The CC AFUPT will be used to update the RA/Filer information.

  9. Mergers/Take Overs/Buy Outs – When Reporting Agents are involved in a merger, take over, or buy out, copies of the implementing documents for the purchase or acquisition should be forwarded to the Ogden RAF Unit. They then forward the paperwork/information to the IRS Counsel Office that provides service to the IRS Campus in Ogden for a ruling. Because of the complexity of these acquisitions, determinations of the need for new Form 8655, Reporting Agent Authorizations, are made on a case by case basis. During the interim, it is recommended that the Reporting Agent begin to obtain new Form 8655, Reporting Agent Authorization.

  10. The following guidance must be followed if the client is unable to sign a Form 8655, Reporting Agent Authorization, for the following reasons:

    1. The taxpayer is mentally incompetent and cannot sign the return. It must be signed by a court-appointed representative who can act for the taxpayer. Copy of the court-appointed representation or valid Form 2848, Power of Attorney (POA), must accompany the Form 8655Reporting Agent Authorizations.

    2. If the taxpayer is mentally competent but physically unable to sign the return or POA, a valid "signature" is defined under state law. It can be anything that clearly indicates the taxpayer's intent to sign. For example, the taxpayer's "X" with the signatures of two witnesses may be considered a valid signature under a state's law.

21.3.9.2.5  (10-01-2007)
Processing Timeliness

  1. Within 30 days of receiving a formal application, the Accounts Management Campus returns a validated Reporting Agent's List to the Reporting Agent, if one is provided per Publication 1474(Technical Specifications Guide For Reporting Agents Authorization and Federal Tax Depositors (Revised 1-2006)).

  2. The IRS will generally validate and mail ADD Listings to the Reporting Agent within 10 business days of receipt.

  3. Error Listings are returned to the Reporting Agent within 30 days of receipt.

21.3.9.3  (10-01-2007)
Authorizations (Forms 8655 (Reporting Agents Authorization))

  1. Taxpayers may designate a RA/Filer to sign and file federal employment tax returns electronically.

  2. Taxpayers may designate a RA/Filer to make FTD payments electronically.

  3. Taxpayers may authorize a RA/Filer to receive copies of notices, correspondence, transcripts, filing frequencies, and deposit requirements with respect to the returns and/or payments filed by the RA/Filer. (When this authorization is given, the taxpayer is also authorizing the RA/Filer to discuss otherwise confidential tax information.)

    Note:

    When a taxpayer gives authorization to a RA/Filer, the taxpayer is authorizing the company (not an individual) to file and sign his/her returns, make FTD payments and to receive otherwise confidential tax information.

  4. Form 8655, Reporting Agent Authorization is used by the taxpayer to provide this authorization to a RA/Filer.

    • IDRS letters/notices are sent to the RA/Filer when the Notice Indicator "Y" is present on the RAF.

    • The taxpayer authorizes the RA/Filer to receive letters, notices, etc., by checking the appropriate box on Form 8655, Reporting Agent Authorization.

    • Once input to the RAF, either manually or by magnetic tape, the Notice Indicator "Y" is shown on Command Code RFINK as "NOTICE>Y" .

    • An extra copy of any notice generated on the authorized accounts is systemically sent to the RA/Filer.

    • If the Notice Indicator is "N" , then the RA/Filer is still authorized to discuss the returns and/or payments which were authorized on Form 8655, Reporting Agent Authorization (and which appear on RFINK). However, letters, notices, or correspondence are not systemically issued to the RA/Filer.

      Note:

      The Form 8655, Reporting Agent Authorization does not authorize the RA/Filer to represent the taxpayer in matters concerning "reasonable cause" for abatement of penalties. However, the RA may provide IRS information as an "other third party" to assist IRS in the determination of whether or not "reasonable cause" exists for penalty abatement.

  5. The receipt of a new Form 8655, Reporting Agent Authorization does not revoke the prior reporting agents authorization. It also does not revoke Powers of Attorney ( Form 2848 Power of Attorney and Declaration of Representative) or Tax Information Authorizations ( Form 8821 Tax Information Authorization) on the Centralized Authorization File (CAF).

  6. A RAF authorization starts with the "Beginning Period" indicated on the Form 8655, Reporting Agent Authorization and remains in effect until revoked or End Dated. The tax period that appears on Command Code RFINK represents this "Beginning Period."

  7. Form 8655, Reporting Agent Authorization does not authorize a RA/Filer to request a change of address for the client/taxpayer. Change of address requests must be submitted by the taxpayer/client.

  8. A copy of the Form 8655, Reporting Agents Authorization, can be obtained from the http//www.irs.gov.

    Note:

    Effective January 1, 2006, RAs/Filers must use the most current version of Form 8655, Reporting Agent Authorization (Revision Date 5/2005). All prior versions are obsolete.

21.3.9.3.1  (10-01-2007)
Review of Forms 8655 (Reporting Agents Authorization)

  1. If a paper Form 8655, Reporting Agent Authorization is received for processing to the tape, with a revision date prior to 5/2005, return the form to the RA/Filer using the appropriate letter and advise that they are using an obsolete version of the Form. Notify the RA/Filer that Form 8655, Reporting Agent Authorization is available from the IRS Website at http//www.irs.gov .

  2. Review the Form for completeness:

    1. Must include taxpayer's Employer Identification Number (EIN), Name and Complete Address.

    2. Must include Reporting Agent Name, EIN, and complete address. If the RA is established on the RAF and changes have been made to his mailing address, phone number and fax number of the RAF must be updated.

    3. Must include Beginning Period.

    4. Must contain the taxpayer's signature and date.

      Note:

      the date of the signature must be within 1 year from current date.

    5. Must contain tax forms.

    6. Items 17a (Notice Indicator) and 17b (Disclosure Field) are not "mandatory" fields for the RA/Filer. However, if there is an entry for lines 17a and/or 17b this information must be input on the RAF.

    7. Items 18a (W-2 series) and/or 18b (Form 1099 series) are not "mandatory" fields for the RA/Filer. However, if there is an entry for lines 18a and/or 18b this information must be input on the RAF

  3. If Form 8655, Reporting Agent Authorization, is not complete, return the Form 8655, Reporting Agent Authorization, to the RA/Filer using the appropriate letter requesting the missing information.

  4. Review Form for input dates.

    1. Federal Electronic Form to be filed, line 15 and Electronic Federal Tax Payment System (EFTPS) deposits, line 16. This information will be input with input dates on RAF with the ending of the quarter 3, 6, 9, and 12. If the RA has input a date in this field, input the quarter that date falls in. If a specific date can not be identified, use the signature date of the taxpayer to determine the starting quarter.

      Example:

      RA inputs date of 8/7/07 - Input quarter ending 200709.

21.3.9.3.2  (10-01-2007)
Non-IRS Forms 8655 (Reporting Agents Authorization)

  1. Rev. Proc. 2007-38 states "An authorization may be submitted on Form 8655, Reporting Agent Authorization, with a revision date of May 2005 or later or on an approved substitute form."

    Note:

    All substitute Form 8655 must be submitted and approved in accordance with Publication 1167 (General Rules and Specifications for Substitute Forms and Schedules). If the substitute form is approved, the approval code must be printed in the lower left margin of each substitute Form 8655 you file with the IRS.

21.3.9.4  (10-01-2006)
RAF Filing Indicators and RAF EFTPS Indicators

  1. Taxpayer accounts on the RAF contain RAF Filing Indicators and RAF EFTPS Indicators on Master File.

  2. These indicators show which tax forms and/or types of FTD payments a RA/Filer is authorized to file for their clients.

  3. These indicators are used by Master File programs to issue appropriate notices (when authorized) to RA/Filers.

  4. RAF Filing Indicators and RAF EFTPS Indicators are shown on IDRS in two different locations:

    1. Command Code ENMOD shows this information in a sixteen-digit field titled RAF-INDS . The each digit represents the tax forms for which the RA has authorization, as shown in Figure 21.3.9–1.

      Figure 21.3.9-1

      Position Indicator Value Value Meanings
      1 940 0 or 1




      0 — No Authorization on File
      1 — Authorization is on File
      2 941 0 or 1
      3 943 0 or 1
      4 944 0 or 1
      5 945 0 or 1
      6 CT-1 0 or 1
      7 1042 0 or 1

    2. The eight through sixteen digits of the RAF-INDS represent the EFTPS Payments for which the RA has authorization as shown in Figure 21.3.9–2.

      Figure 21.3.9-2

      Position EFTPS Payment Value Value Meanings
      8 940 0 or 1




      0 — No Authorization on File
      1 — Authorization is on File
      9 941 0 or 1
      10 943 0 or 1
      11 944 0 or 1
      12 945 0 or 1
      13 CT-1 0 or 1
      14 720 0 or 1
      15 1042 0 or 1
      16 CORP* *CORP=1041, 1120, 990/C/T/PF 0 or 1

    3. Command Code BMFOLE reflects the nine digits as two separate fields:

      • "RAF FILING IND" :— This is a one-digit field and represents the authorized Tax Forms as shown in Figure 21.3.9–1.

      • "RAF EFTPS" : — This is an eight-digit field and represents the authorized EFTPS Payments as shown in Figure 21.3.9–2.

21.3.9.5  (10-01-2006)
Transaction Codes

  1. Transaction Code (TC) 960 is set at Master File (entity) when a taxpayer account is added to the RAF.

  2. TC 960 establishes the RAF Filing Indicators and EFTPS Indicators on the taxpayer's account.

  3. TC 960 is not reflected on IDRS ENMOD, but does appear on BMFOLE.

  4. TC 961 is generated when an account is removed from RAF and the transaction "zeros" or turns off the RAF Filing Indicators and EFTPS Indicators.

  5. TC 962 is generated when a change is made to a RAF account and the transaction updates the RAF Filing Indicators and EFTPS Indicators.

  6. It takes at least two cycles for the RAF Filing Indicators and EFTPS Indicators to be set at Master File by the RAF input. If the RAF input does not pass through Master File validation, or if the Filing Requirements and EFTPS Indicators mismatch, then the RAF transaction unpost. (Refer to IRM 21.3.9.15 (RAF Unpostable) para (2) for a list of common RAF Unpostables.)

21.3.9.6  (10-01-2007)
RAF Command Codes

  1. Refer to IRM 2.3.16 (Command Code RFINK) for information concerning Command Code RFINK.

  2. Refer to IRM 2.4.40 (Command Codes RFRTM, RFADD, RFUPT, RFRMA, AFADT, AFUPT, and RFMRG) for information concerning Command Codes RFADD, RFRTM, RFUPT, AFADT, RFRMA, AFUPT, and RFMRG.

  3. RFINK is used to research the RAF history.

    • RFINK without a Definer is used by the Ogden RAF Unit to research taxpayer account history.

    • RFINK with Definer "R" is used to research Reporting Agent accounts.

    • RFINK with Definer "L" is used to research Taxpayer Accounts specific tax modules, payment modules, 1099, W2 and disclosure fields for particular RA.

  4. RFRTM is used to request the format for RFADD and RFUPT. This Command Code must be preceded by CC RFINK.

    • RFRTM without a Definer brings up the format for RFADDM or RFADDT depending on which accounts RFINK found on the RAF file.

    • RFRTM with Definer "T" brings up the format for RFUPT.

  5. RFADD is used to add or modify authorization information on the RAF. This Command Code must be preceded by CC RFRTM.

    • RFADD with Definer "M" is used to delete, add/revoke, or end date additional modules to taxpayer information already on the RAF.

    • RFADD with Definer "T" is used to add new taxpayer information to the RAF. This information appears on the screen immediately after real-time input.

  6. RFUPT is used to update taxpayer information on the RAF. This Command Code must be preceded with CC RFRTM.

  7. RFRMA is used to request the format for AFADT, and AFUPT. This Command Code must be preceded with CC RFINK(R).

    • RFRMA with Definer "T" brings up the format AFADT.

    • RFRMA with Definer "M" brings up the format for AFUPT.

  8. AFADT is used to add Reporting Agent information to RAF.

  9. AFUPT is used to modify Reporting Agent information on RAF.

21.3.9.7  (10-01-2007)
Reporting Agents Listings (Magnetic Tape)

  1. The Reporting Agents File (RAF) Function is responsible for:

    • Validating the RA/filers clients' (taxpayers') EIN, Name Control and Filing Requirements.

    • Inputting appropriate information to the RAF.

    • Updating information already on the RAF.

    • Deleting information from the RAF.

  2. When a RA/Filer submits a magnetic tape containing his/her clients' Form 8655, Reporting Agent Authorization information, this tape is processed through various RAF computer runs.

    • The computer runs will first check that the RA/Filer has formatted the magnetic tape according to instructions in Publication 1474. If the tape is not formatted correctly, the RAF run aborts and output is not generated. If the magnetic tape does not run successfully: MITS employee will contact the Reporting agent and request replacement tape.

    • Hold the Form 8655, Reporting Agent Authorization which accompanied the original tape until the replacement tape is received. Process Form 8655, Reporting Agent Authorization with new tape

  3. RAF26 is the computer run that prompts validations of EIN, Name Control and Filing Requirements before systemically adding the taxpayer's account to the RAF.

    • Taxpayer accounts that are validated and added to the RAF print out on an ADD Listing (RAF7045).

    • Taxpayer accounts that cannot be validated are added to the RAF by the system and print out on an ERROR Listing (RAF7042).

  4. RAF26 validation is performed as follows:

    Figure 21.3.9-3

    IF THEN
    EIN is not found on National Accounts Profile (NAP) EIN will appear on an ERROR Listing.
    The account is added to RAF systemically.
    EIN is on NAP Input name is validated by the system with the Primary Name (not Primary Continuation Name.)
    If the input name control matches Primary Name Control, NAP provides a primary name and the program moves on to validate the Filing Requirements.
    If input name control does not match Primary Name Control, the account is not added to RAF. An error indicator is set and the account appears on an ERROR Listing.
    EIN is on NAP and the Form 940 (Employer's Annual Federal Unemployment (FUTA) Tax Return) Indicator on the RA's magnetic tape is set to "yes" . Form 940 (Employer's Annual Federal Unemployment (FUTA) Tax Return) Filing Requirement is validated by the system. The EIN will appear on an ERROR Listing and is not added to RAF if the following conditions exist:
    Form 940 (Employer's Annual Federal Unemployment (FUTA) Tax Return) Filing Requirement is 88 or the Entity Employment Code is G, T, W, F or C. EO Entity Status is 01–19 and the EO Subsection Code is 03, 50, 60 or 70. An error indicator is set for these accounts.
    Otherwise, the account is added to RAF and appears on an ADD Listing.
    EIN is on NAP and the Form 941(Employer's Quarterly Federal Tax Return) Indicator on the RA's magnetic tape is set to "yes" . Form 941(Employer's Quarterly Federal Tax Return) Filing Requirement is validated by the system. The EIN appears on an ERROR Listing and is not added to RAF if the following conditions exist:
    Form 941(Employer's Quarterly Federal Tax Return) Filing Requirement is 06, 09, 10, 13, 14 or 88, an error indicator is set.
    Otherwise, the account is added to RAF and appears on an ADD Listing.

  5. An ERROR Listing is created for the following:

    • EINs not on the NAP

    • EINs with an input name that does not match the NAP Primary Name. The NAP Primary Name prints out on the ERROR Listing.

    • EINs for which the RA has requested to file Form 940 (Employer's Annual Federal Unemployment (FUTA) Tax Return) and the Employment Code, EO Entity Status or Subsection Code are not valid with a Form 940 (Employer's Annual Federal Unemployment (FUTA) Tax Return) Filing Requirement.

  6. After the NAP validation is completed, the system performs the following processes:

    Figure 21.3.9-4

    IF THEN
    If an error indicator was not set The account is established on RAF.
    No action is necessary by the RAF Function to update the RAF.
    If an error indicator was set The account is not established on RAF.
    The RAF Function performs research to validate these accounts. After research, the RAF Function uses CC RFADD to establish these accounts to the RAF.

21.3.9.8  (10-01-2007)
ADD Listings RAF7045

  1. After a RA's magnetic tape is run through the RAF26 and RAF70 program the RAF Unit:

    1. Associate Form 8655, Reporting Agent Authorization with the ADD Listing.

    2. If any Form 8655, Reporting Agent Authorization are not received, remove the related accounts from RAF using RFADD with Definer "M" . Annotate the ADD Listing "Form 8655, Reporting Agent Authorization not received — Deleted from RAF."

    3. If a Form 8655, Reporting Agents Authorization, is illegible, remove the related accounts from RAF using RFADD with Definer "M" . Annotate the ADD Listing "Form 8655, Reporting Agents Authorization,5 illegible — Deleted from RAF." Return the Form 8655, Reporting Agents Authorization, to the RA with the ADD Listing.

    4. Once all Form 8655, Reporting Agent Authorization are associated, return one copy of the ADD Listing to the RA. Make sure that the listing is annotated for any accounts which you deleted from the RAF.

    5. File one copy of the ADD Listing by date and RA Name.

    6. Maintain a six-month file, destroying (per local procedures) the oldest listings on a monthly or weekly basis.

    7. Form 8655, Reporting Agents Authorization, will be maintained in the RAF area.

  2. Format for annotating the Add Listing is in Figure 21.3.9-5

    Figure 21.3.9-5
    IF ANNOTATE LISTING
    If the Form 8655 is missing FORM 8655 NOT RECEIVED
    DELETE FROM RAF

21.3.9.9  (10-01-2007)
ERROR Listings RAF7042

  1. After a RA's magnetic tape is run through the RAF26 and RAF70 programs.

    1. Associate Form 8655, Reporting Agent Authorization with the ERROR Listing.

    2. If any Form 8655, Reporting Agent Authorization are not received, annotate the ERROR Listing "Form 8655, Reporting Agent Authorization not received — Not Added to RAF."

    3. If a Form 8655, Reporting Agent Authorization is illegible, do not add the account to the RAF. Annotate the ERROR Listing "Form 8655, Reporting Agent Authorization illegible — Not Added to RAF." Return the Form 8655, Reporting Agent Authorization to the RA with the ERROR Listing.

    4. When resolving ERROR Listings, always look for obvious errors such as:

      • Typographical errors in the name line

      • Transposed figures in the EIN

      • Misspelled words in the name line

      • "Doing Business As" (DBA) name used instead of Sole Proprietor/Owner's name

    5. Corrections to the name line must only be edited when it is entirely different from what is listed on the form.

      Note:

      The input data from the RA tapes has already been input to RAF. If you are returning the Form 8655, Reporting Agents Authorization, for any error condition, the information must be deleted off RAF

      .

    6. If an error condition cannot be resolved by correcting obvious errors or by following the procedures in IRM 21.3.9.9.1 (1 ERROR Listings "TIN Not Established on MF" ) through IRM 21.3.9.9.3 (ERROR Listings "941 or 940 Filing Requirement Mismatch " ), return the related Form 8655, Reporting Agent Authorization with the listing to the RA.

    7. Once all Form 8655, Reporting Agent Authorization, are associated, all error conditions are resolved and all accounts are added to the RAF, a copy of the electronic ERROR Listing is retained. The copy of the electronic error listing is maintained by the RAF Function.

    8. File the electronic ERROR Listing by date and RA name.

    9. Maintain a six-month file, destroying (per local procedures) the oldest listings on a monthly or weekly basis.

    10. Forms will be maintained in the RAF area.

  2. Format for annotating the Error Listing Resolve are in Figure 21.3.9-6

    Figure 21.3.9-6

    IF ANNOTATE LISTING
    If the Form 8655 is missing FORM 8655 NOT RECEIVED
    NOT ADDED TO RAF.
    If the Form 8655 is illegible FORM 8655 ILLEGIBLE
    NOT ADDED TO RAF
    If the EIN is not established on masterfile EIN NOT FOUND
    NOT ADDED TO RAF
    If the name and EIN do not match masterfile NAME AND EIN MISMATCH
    NOT ADDED TO RAF
    If a newer authorization is on RAF NEWER AUTHORIZATION ON FILE
    NOT ADDED TO RAF
    If the form has an unauthorized signature UNAUTHORIZED SIGNATURE
    NOT ADDED TO RAF
    If the form has missing tax periods NO BEGINNING PERIODS
    NOT ADDED TO RAF
    If the form is missing taxpayer's signature and/or signature dates MISSING SIGNATURE AND/OR DATE
    NOT ADDED TO RAF

21.3.9.9.1  (04-20-2007)
ERROR Listings "TIN Not Established on MF"

  1. To resolve the error message "TIN Not Established on MF" , first research using the following Command Codes:

    • INOLE to see if the EIN was merged

    • NAMEB/NAMEI/NAMEE to locate another number for the taxpayer

    • BMFOL for additional entity information not on the INOLE display

  2. Follow the procedures in Figure 21.3.9-7 to resolve the error condition

    Figure 21.3.9-7

    IF THEN
    If another EIN is found Annotate the correct EIN on the Form 8655 and the RAs copy of the error listing. Add the authorization to RAF.
    If the EIN has been merged to another EIN Annotate the correct EIN on the Form 8655 and the RAs copy of the error listing. Add the authorization to RAF.
    If another EIN is not found Annotate the copy of the error listing "EIN not found - Not added to RAF."