21.3.7  Processing Third Party Authorizations onto the Centralized Authorization File (CAF) (Cont. 1)

21.3.7.8 
Additional CAF Processing

21.3.7.8.3  (06-03-2011)
General Durable POA Authorizations

  1. General/durable POA generally do not provide a TIN, address or specific tax matters. They customarily grant authority to handle any and all legal matters concerning tax matters, financial transactions and real estate transactions. See Publication 216, Conference and Practice Requirements, Treasury Regulation Section 601.503(4).

  2. When a General Durable POA is received and no TIN, address or contact information is present, treat as classified waste. If you are able to locate contact information either within the General Durable POA or if the mailing envelope is attached with a return address, send the General Durable POA to the return address as stated on the envelope and request the Form 2848.

  3. If a General Durable POA is attached to a completed Form 2848, record the authorization to the CAF using the representatives signed date on Form 2848. The durable representative signs Form 2848, naming him/herself as the authorized third party.

  4. If you can determine a General Durable POA is needed and it is not attached to a completed Form 2848, Power of Attorney and Declaration of Representative, return the Form 2848 to the originator and request the General durable POA.

21.3.7.8.4  (09-12-2014)
Student Representative

  1. A student who works in a Low Income Taxpayer Clinic (LITC) or Student Tax Clinic Program (STCP) and is supervised by a practitioner may request permission to represent a taxpayer before the IRS. Per Delegation Order 25–18, effective December 5, 2012 Taxpayer Advocate Service (TAS) was given authority to issue special appearance authorizations. Students must attach a copy of the Authorization for Student Tax Practice letter authorizing practice before the IRS when submitting a Form 2848 to the CAF Function for processing.

  2. The Designation Level to be used to process an authorization for students is Designation Level K.

    Note:

    The Authorization for Student Tax Practice letter must be attached to the Form 2848. If the Authorization for Student Tax Practice letter is not attached to the Form 2848, do not process, return the Form 2848 to the representative requesting the missing Authorization for Student Tax Practice letter.

  3. Student representations remain on the CAF for a total of 130 days. When student representatives require additional time beyond the 130 days, the Low Income Taxpayer Clinic (LITC) Director must request TAS to issue a new Authorization for Student Tax Practice letter extending the time for student authorizations for one or more students. Students must then submit a new Form 2848 along with the new Authorization for Student Tax Practice letter.

  4. Clinics are authorized to substitute or add students after their Authorization for Student Tax Practice letter is granted. However, another student roster is not created. Therefore, the clinic should simply attach a copy of their letter from TAS to show the clinic is approved. This should be deemed satisfactory by CAF personnel.

    Note:

    The taxpayer is not required to sign the second POA; however, the LITC Director must sign the second POA on behalf of the taxpayer and attach a copy of the original POA which authorizes the LITC Director to add or substitute a representative when the second POA is submitted. If the representative who is added to the POA is a student, the Director must also attach a copy of the clinic's original Authorization for Student Tax Practice letter from TAS.

21.3.7.8.5  (06-03-2011)
MFT 31 Authorizations

  1. On occasion, to identify assessments against an individual taxpayer on a joint module, a mirrored account may be generated. The mirrored account will post as a MFT 31. One or more of the following situations may result in a mirrored account:

    • Bankruptcy

    • Offer in Compromise

    • Tax Court (may include Examination, Appeals, Automated Underreporter)

    • Innocent Spouse (Form 8857), Request for Innocent Spouse Relief

    • Manually Monitored Installment Agreement

  2. You must load the authorization to MFT 31 in addition to MFT 30 if it is present for the years/periods requested.

21.3.7.8.6  (09-23-2011)
BMF Large Corporation Authorizations

  1. BMF Accounts are only worked in the Ogden (29) and Cincinnati (17) sites. Please follow instructions below for routing of attached correspondence. If you receive Form 2848/Form 8821 with attached listing of subsidiaries to EIN listed on the Form:

    • Process EIN on Form.

    • Look on SUMRY for Large Corporation Indicator (LCI) to determine correct routing for the attached listing.

    • If indicator is 29 (Ogden), route attached listing with copy of processed Form to Ogden LCI Unit, Mail Stop 6731 or 6732.

    • If indicator is 17 (Cincinnati), route attached listing with copy of processed Form to Cincinnati LCI Unit, Mail Stop 537G.

21.3.7.8.7  (09-23-2011)
Employee Plans (EP) Authorizations

  1. For Form 5500, Annual Return/Report of Employee Benefit Plan Form 5500SF or Form 5500EZ , use MFT 74 for processing the authorization.

    1. Process the MFT 74 with a "P" at the end of the EIN.

    2. Use the plan number located in the last column of Line 1 on Form 2848 or Form 8821.

    3. If the plan number is not on the Form 2848 or Form 8821, research CC INOLES to obtain the plan number. If more than one plan number is present or a plan number can not be located, reject the Form to request the correct plan number.

    4. The CAF database validates the plan number of Employee Plan Master File (EPMF) transactions during NAP processing to eliminate unpostables.

  2. For Form 5330, Return of Excise Taxes Related to Employee Benefit Plan, use MFT 76 for processing the authorization.

    1. An EIN or SSN is permissible for processing Form 5330 (MFT 76).

    2. Process the MFT 76 with a "V" at the end of the EIN or SSN.

    3. The EIN or SSN plan number is a required field. If no plan number is provided, use 999 in the plan number field.

    4. Each period must be processed separately.

  3. Determine if authorization refers to both "returns and applications/qualifications" or whether it applies to "applications/qualifications" , Form 5300, Form 5307, Form 5310 and Form 6406 only.

  4. If the authorization is for both Forms and applications/qualifications:

    1. Photocopy the authorization.

    2. Record the Forms portion of the authorization.

    3. Note the SDLN on the photocopy and place with completed work.

    4. Refer to IRM 21.3.7.8.8 for sending the original document.

21.3.7.8.8  (12-16-2013)
Exempt Organization Authorizations (EO)

  1. The OAMC processes authorizations for EOs. Only authorizations related to EO returns are recorded on the CAF.

  2. If a POA, referring to EO applications or qualifications (Form 1023/1024/1028) is received, send it to:

    Internal Revenue Service

    PO Box 2508

    Room 4024

    Cincinnati, OH 45201

  3. If the authorization is for both Forms and applications/qualifications:

    1. Photocopy the authorization.

    2. Record the Forms portion of the authorization.

    3. Note the SDLN on the photocopy and place with completed work.

    4. Send the original document to the address above.

  4. If a POA is received in CAF for processing and refers to a Tax Exempt Bond (TEB) matter (Form 8038 series), it must provide a report number for the period listed. The report number is entered into the "plan number" field on the CAF input screen. This field is used to capture both plan and/or report number. If the report number is missing, reject the POA.

21.3.7.8.9  (11-17-2010)
Blind Trust Authorizations

  1. All Blind Trust Authorizations are worked by the Ogden CAF Function.

  2. Blind trust POAs are coded with a "1" to the left of the taxpayer’s signature. A "B" must be entered in the Blind Trust Indicator field.

  3. Only one third party may be established with the blind trust indicator for each module authorized. If the blind trust POA authorizes more than one third party, establish the POA with an "M" to show it is modified. Set the blind trust indicator for the first third party listed and enter any other third party listed.

  4. Blind trust POA/TIA to be processed to the CAF database is tax period specific.

  5. Only one representative is authorized to receive and inspect the blind trust’s tax information. See IRM 3.28.3.3.2.1, Document Perfection Procedures.

21.3.7.8.10  (11-17-2010)
Form 2553 Small Business Corporation Processing

  1. When the CAF Function receives authorizations regarding Form 2553, Election by a Small Business:

    • If listed as a tax matter on Form 2848 or Form 8821, consider as classified waste.

    • If received attached to Form 2848, or Form 8821, annotate "Not Recorded on CAF" on the authorization document and route to:
      Ogden Correspondence Control/Entity Control
      1973 No. Rulon White Blvd.
      M/S 6273
      Ogden, UT 84404

21.3.7.8.11  (11-17-2010)
Specific Use Authorizations

  1. Specific use authorizations generally are not recorded on the CAF database. These authorizations must be provided by the representative with each contact with the IRS.

  2. Specific use authorizations generally do not have an MFT and tax period. They include but are not limited to:

    • Form SS-4 Application for Employer Identification Number

    • Form W-2 Series

    • Form W-4 Employee’s Withholding Allowance Certificate

    • Form W-7 Application for IRS Individual Taxpayer Identification Number

    • Form 843 Claim for Refund and Request for Abatement

    • Form 966 Corporate Dissolution or Liquidation

    • Form 1096 Annual Summary and Transmittal of U.S. Information Returns

    • Form 1098 Mortgage Interest Statement

    • Form 1099 Series

    • Form 1128 Application to Adopt, Change or Retain a Tax Year

    • Form 2553 Election by a Small Business Corporation

    • Form 4361 Application for Exemption from Self-Employment Tax for Use by Ministers, Members of Religious Orders and Christian Science Practitioners

  3. Specific use requests should be treated as classified waste.

    Reminder:

    Specific issue information, i.e. Form 2553, shall be granted as long as a properly completed Form 2848 or Form 8821 is submitted. A properly executed, dated and signed Form 2848 or Form 8821 listing any of the above Forms is considered a valid authorization. Even though most specific use issues are not processed to the CAF database, the representative must be afforded all authorizations allowed by the taxpayer on Form 2848 or Form 8821.

21.3.7.8.12  (11-17-2010)
CAF Unpostables

  1. This section explains the instructions on how the CAF Function will research and resolve IMF, BMF and EPMF Unpostable Conditions (UPCs).

  2. Each IDRS transaction is subject to a series of validity checks prior to posting to the Master File.

  3. A transaction is deemed unpostable when it fails to pass any of the validity checks. The unpostable condition is returned to the originating campus for corrective action(s).

  4. There are Individual (IMF), Business (BMF), and Employee Plan (EPMF) unpostables (UPCs). Proper research must be conducted, prior to processing a third party authorization, to prevent an unpostable condition from occurring.

  5. All CAF functions must work their unpostable listing each week.

21.3.7.8.12.1  (11-17-2010)
Processing Unpostable Listing

  1. The Unpostable Listing, CCA 4243, is generated on a weekly basis using the Control D system. The listing is sorted by group number or generic department number. All three CAF Functions processing authorizations have a specific group number which are the following:

    • Memphis group number: 0332400000.

    • Ogden group number: 0432400000.

    • Philadelphia group number: 0532400000.

  2. There are three situations that create an unpostable condition (UPC) for which the CAF Function will need to correct. They are:

    1. TIN Mismatch.

    2. Name Control Mismatch.

    3. Fiscal Year Month (FYM) Mismatch.

  3. The table below indicates the IMF, BMF and EPMF UPC conditions that the CAF Function will need to research and resolve.

    IMF (UPC) BMF (UPC) EPMF (UPC) UPC Description and Corrective Action
    151/176 301 NA TIN Mismatch - Same corrective action for IMF/BMF.
    152/153/156 303 803 Name Mismatch - Same corrective action for IMF/BMF and EPMF.
    162 307 812 Fiscal Year Month (FYM) Mismatch - Same corrective action for IMF/BMF and EPMF.
  4. Each UPC involves a mismatch of information that was previously processed to the CAF incorrectly. Use Unpostable Job Aid for resolving UPC's. Seehttp://serp.enterprise.irs.gov/databases/irm-sup.dr/job_aid.dr/21.dr/21.3.dr/21.3.7.doc

  5. When the CAF Functions are completing their unpostable listings, (CCA 4243) they are required to correct and resolve the incorrect CAF database records manually.

  6. If after research, it is determined there is no corrective action to be taken to the unpostable condition, you must close the open control base on TXMODA.

21.3.7.8.13  (06-03-2011)
Oral Tax Information Authorization (OTIA) Processing

  1. The IRS accepts non-written or verbal consents for disclosure of tax information only for the purpose of resolving federal tax matters.

  2. The OTIA is the verbal equivalent of Form 8821, Tax Information Authorization.

  3. The taxpayer’s identity is authenticated by the CSR per IRM 21.1.3.2.3, Required Taxpayer Authentication, satisfying the requirement that the IRS confirms the identity of the taxpayer. The CSR must prepare a Form 8821. The CSR will notate on the signature line, "Oral Tax Information Authorization" to alert the CAF function that a signature is not needed.

    Note:

    For BMF accounts, the CSR will notate the title on Line 7.

  4. Upon receipt of a Form 8821 notated in the signature line “Oral Tax Information Authorization or ORAL TIA”, the CAF examiner will:

    1. Research the appointee designated to determine if a CAF number exists or will be assigned.

    2. Secure and input authorization information, using Form 8821, Tax Information Authorization.

    3. Assign SDLN and include this OTIA type of authorization in your regular batch of work.

    Note:

    For Oral Disclosure Consent (ODC): See IRM 21.1.3.3.2, Oral Disclosure Consent/Oral TIA (Paperless F8821).

21.3.7.9  (09-12-2014)
Office of Professional Responsibility (OPR)

  1. This section provides information on representational authority overseen by the Office of Professional Responsibility (OPR) that falls under various sections of Circular 230.

  2. OPR can verify whether a practitioner (i.e., attorney, CPA or EA) is suspended/disbarred from practice before the IRS.

  3. Information about an Enrolled Agent's, Enrolled Retirement Plan Agent's, or Registered Tax Return Preparer's status as active or inactive may be obtained from the Return Preparer's Office (RPO).

21.3.7.9.1  (09-12-2014)
Eligibility Status Changes

  1. OPR alerts the point of contact (POC) at the Memphis CAF Function via E-mail when a disciplinary action occurs and a CAF status must be updated. Only the Memphis CAF Function POC is authorized to make changes to the representative's eligibility status. Types of disciplinary action include:

    • Suspension

    • Disbarment

    • Ineligible Status

  2. The Memphis CAF Function point of contact must process any eligibility status change requests from OPR within 2 business days of the E-mail notification from OPR.

  3. The CAF Contact Point must maintain a print of each E-mail notification received from OPR by received date, for a period of three years.

  4. Once processed, the CAF database provides servicewide notice and ensures powers of attorney submitted by a third party not eligible to practice (identified through official notice) are rejected from processing.

21.3.7.9.2  (09-12-2014)
Authorizations Submitted by Suspended, Disbarred, or Ineligible Third Parties

  1. If the representative is listed as suspended, disbarred, or ineligible do the following:

    1. Do not input a Form 2848 signed by a suspended, disbarred, or terminated third party. Instead, give the document and a print of the CC CFINK screen to the team manager or lead.

    2. The CAF Function manager must initiate contact with OPR to advise of the actions taken, provide supporting documentation upon request, verify the status of the third party, and assist OPR in any further action. OPR may be contacted at 202–317–6897.

    3. If OPR states the third party is not suspended, disbarred, or ineligible, immediately remove the action or practice code from the third party’s CAF number record and process the authorization.

    4. If OPR verifies that the third party is still currently suspended, disbarred, terminated or ineligible, do not process the authorization.

    5. Forward the original, unprocessed Form 2848 to OPR along with a memorandum explaining the situation, so that OPR can take the appropriate action.

    6. Send a copy of the unprocessed Form 2848 to the taxpayer.

    Technical Leads should follow the procedures in the table below for Enrolled Agents that are marked as ineligible in CAF.

    If And Then
    Form 2848 is received and it is notated on the CAF that the representative is ineligible He/she has not said anything about eligibility, or, is stating he/she qualifies for eligible status and has not attached documentation Return the Form 2848 and the attached documentation to the representative. Use the following paragraph, "At this time, we cannot process your authorization to the Centralized Authorization File. The Office of Professional Responsibility has deemed you as ineligible for representation. Please contact the Office of Professional Responsibility at 202–317–6897 for more information."
    Form 2848 is received and it is notated on the CAF that the representative is ineligible He/she is stating that he/she qualifies for eligible status and has attached documentation to prove eligibility Return the Form 2848 and the attached documentation to the representative. Use the following paragraph, "At this time we cannot process your Form 2848 to the Centralized Authorization File. The Office of Professional Responsibility has deemed you as ineligible for representation. Please contact the Office of Professional Responsibility at 202–317–6897 for more information."
    Correspondence is received from an enrolled agent asking for information about their third party authorization It is notated on the CAF that the enrolled agent is ineligible Send a letter to the enrolled agent using the following paragraph, "At this time, we cannot process your authorization to the Centralized Authorization File. The Office of Professional Responsibility has deemed you as ineligible for representation. Please contact the Office of Professional Responsibility at 202–317–6897 for more information. "
  2. A representative currently under suspension/disbarment from practice before the IRS or whose enrollment/license is inactive, may submit a Form 8821, if it is properly executed by the taxpayer. However, the individual under suspension/disbarment may not appear on behalf of the taxpayer, represent the taxpayer, or in any way advocate for the taxpayer. Form 8821 authorizes the individual to receive taxpayer information only.

21.3.7.10  (09-12-2014)
Deletions, Revocations and Withdrawals

  1. There are occasions when it is appropriate to delete an authorization. Deletions must be approved by the team manager and are appropriate when:

    1. Authorizations expire with the death of the taxpayer and must be deleted from the CAF database after verification (death certificate or Form 56).

    2. A process error occurs.

    Note:

    When documentation is available to support the action (i.e., death certificate, letter from taxpayer, internal memo), it must be attached to a printed copy of the deletion and sent to C-Site in Kansas City for association with the original source document

  2. The taxpayer revokes an authorization. " Revoke" should be annotated in the top margin of a copy of the original authorization document. Unless otherwise specified, revoke authority from all third parties listed on the Form. Correspondence from the taxpayer that includes all essential elements with a current dated signature is acceptable.

  3. A third party withdraws from the authorization. "Withdraw" should be annotated in the top margin of a copy of the authorization document . The third party must affix a current dated signature. Terminate the authorization only for those third parties who signed and dated the withdrawal request. Correspondence from the third party that includes all essential elements with a current dated signature is acceptable.

  4. A third party or taxpayer may state withdraw or revoke and it will be honored.

    Reminder:

    When a taxpayer signs and files a new authorization (POA/TIA), all prior authorizations are systemically revoked for the same tax matter and periods listed on the authorization unless Line 6, Retention/revocation of prior POA/TIA is checked and a copy of the prior authorization the taxpayer wants to remain in effect is attached.

21.3.7.10.1  (10-09-2012)
Form 2848 and Form 8821- Revocations and Withdrawals

  1. All Revocations and Withdrawals must be in written format. A verbal revocation/withdrawal cannot be accepted.

  2. The statement of revocation or withdrawal must indicate that the authority of the POA or TIA is revoked or withdrawn, list the matters and periods, and must be signed and dated by the taxpayer or representative as acceptable.

    Note:

    For a complete revocation/withdrawal, the taxpayer's revocation or the representative's withdrawal request may state remove all years/tax periods instead of listing the specific tax matters, years or periods.

  3. A listing of clients and respective TINs with a cover sheet requesting withdrawal by a third party is acceptable only if the third party provides a signed and dated written statement requesting withdrawal from representation on the noted clients and the third party clearly identifies the clients requiring withdrawal.

  4. If a revocation or withdrawal is received for an authorization not recorded on the CAF database, treat as classified waste.

21.3.7.10.2  (06-20-2014)
Processing a Revocation/Withdrawal

  1. Check CC CFINK and note period(s) involved including period(s) that may be on the retention register.

  2. Correspondence must be generated to each party affected by the action prior to the revocation. Send the taxpayer correspondence confirming the completion of the request and send correspondence to the third party advising that the authorization has been terminated.

  3. Prior to deleting the authorization:

    1. Document the action in Accounts Management Services (AMS) as a history item and include the following:

      • Revocation;

      • IRS received date of revocation request;

      • Third Party name control ;

      • CAF number;

      • Applicable Form number;

      • Years and periods that were deleted;

      • SDLN;

      • Letter 2675C and

      • Any other pertinent information about the case.

    2. Access CC CFINK using taxpayer’s TIN and print the screen for reference to use when deleting records.

  4. Use CAF IAT tool to send Letter 2675C, Power of Attorney Termination Response, to:

    1. Taxpayer

    2. Each third party being revoked.

      Note:

      To generate letters to additional third parties, put a "Y " or a "D" in the CAF field of the Letter 2675C , Power of Attorney Termination Response.

  5. Delete the authorization, using the CC CFINK screen printed above. Review CC CFINK to ensure all appropriate tax periods are deleted. Attach a copy of the CC CFINK screen to the revocation/withdraw identifying the SDLN.

    Note:

    A print of the CC KAFADM screen is acceptable.

    1. Highlight the SDLN on the printed screen,

    2. Write "Revoke" or highlight "Withdraw/Revoke" on the printed screen, and

    3. Stamp with TE Identification number or IDRS stamp.

  6. Revocation and withdrawal attachments are maintained by the CAF Function for 10 business days prior to shipping to C-Site in Kansas City. This allows time to access the revocation or withdrawal if submitted in error.

  7. When an authorization submitted through DA or OTIA is revoked or withdrawn, the CAF database screens reflecting the authorization record must be printed as the facsimile original authorization. The revocation/withdrawal is attached to this print prior to sending to C-Site in Kansas City.

  8. If a revocation/withdrawal request relates to a Third Party Designee or Checkbox authorization, forward to Accounts Management Paper Adjustment function to reverse the checkbox indicator.

    Note:

    Ensure all authorizations specified are removed from all TINs listed on the request.

21.3.7.11  (11-17-2010)
CAF 77, Representative/Client Listing

  1. CAF generates a listing of clients, by representative, with required approval. This listing is called the CAF 77 and is generated by the CAF programers in the Detroit Computing Center.

  2. The CAF 77 listing provides a listing of taxpayers, TINs, Form numbers, tax periods, and SDLNs.

  3. External Requesters may submit a written Freedom of Information Act (FOIA) request to receive a listing of their own clients. Sample language that includes all of the required elements for making the request is available on the FOIA website at www.irs.gov under the link CAF Client Listing Request. The completed request may be submitted to:

    Internal Revenue Service
    HQ FOIA & Tax Check Unit
    2385 Chamblee Tucker Rd.
    Stop 211
    Chamblee, GA. 30341-3446
    Fax # 770-936-1898

    Note:

    Please do not refer requesters to the Disclosure Office for answers to questions regarding the following: CAF processing, obtaining a CAF Number, and how to revoke a power of attorney, etc. The Office of Disclosure employees are not trained in these areas and will only answer questions related to the request for the CAF Representative/Client listing.

21.3.7.11.1  (06-20-2014)
Processing of CAF 77 Listings

  1. When a CAF 77 listing is received in a CAF Function for processing, use the IRS received date that is stamped on the CAF 77 listing and notate the employee IDRS number who is working the listing. Upon completion of the CAF 77 listing, the listing will be maintained for 7 years by the processing CAF function.

  2. When revocation is clearly identified by the representative, revoke all years and forms from the taxpayer's account. (This must be done before generating a letter to the taxpayer.)

  3. Use the CAF IAT letter tool to send Letter 2675C, Power of Attorney Termination Response, to the taxpayer.

  4. Document the action in Accounts Management Services (AMS) as a history item and include the following:

    • CAF 77 Revocation;

    • Date of listing (IRS received date);

    • Signature date of original SDLN;

    • Third party name control;

    • CAF number

    • Applicable Form number;

    • Years and periods that were deleted;

    • SDLN;

    • Letter 2675C and

    • Any other pertinent information about the case.

  5. When the batch is complete, return to the Work Lead.

21.3.7.12  (02-09-2012)
Third Party Undeliverable Mail, Notices and Correspondence

  1. Determine whether or not the notice is undeliverable or unclaimed.

    1. Unclaimed/Refused mail is usually certified mail that has not been claimed by the recipient. Unclaimed does not necessarily mean undeliverable. DO NOT code as undeliverable until all research has been completed.

    2. Undeliverable mail is identified as mail received that states third party has moved with no forwarding address, no receptacle, unable to forward, attempted-not known, no such address, not deliverable as addressed, box closed, return to sender etc.

  2. If third party notices or letters are returned as undeliverable:

    1. Check CAF to determine if the authorization is still valid.

    2. If valid, verify address, make changes as necessary using CC KAFRMR to update address changes, and re-mail the correspondence.

  3. If valid and the address matches CAF information, send a Letter 861C, Power of Attorney (Form 2848), Incomplete for Processing, to the taxpayer requesting a current address for the third party. Input a "U" action code using CC KAFRMR and the CAF number using a new SDLN.

  4. When making a third party undeliverable or updating an address, attach a new SDLN to a completed CC UPRCF screen print and attach to undeliverable correspondence. Keep in regular block of work. Do not detach envelope.

  5. If new information is received to update the third party record, remove the "U" indicator by inputting a "2" in the undeliverable field on CC KAFRMR to ensure the third party receives authorized notice copies.

    Note:

    If research indicates that the POA is not valid, you may treat the POA as classified waste.

21.3.7.12.1  (06-03-2011)
Undeliverable Third Party Authorization No Longer Valid

  1. If contact with either the taxpayer or the third party reveals there is no longer an association with the taxpayer, do the following:

    1. Request a statement of revocation which may be mailed or faxed to the CAF Function for removal of the third party from the taxpayer’s account record.

    2. Correct the address, if needed. Do not" U" code the third party.

21.3.7.12.2  (10-01-2008)
Undeliverable Mail/Deceased Third Party

  1. If undeliverable mail or other correspondence indicates a third party is deceased, take the following actions:

    1. Access the representative record, using CC KAFRMR and the CAF number, and input indicator "E" for deceased on the third party record.

    2. Input the date the record was updated as the signature date.

    3. Treat the undeliverable item as classified waste.

21.3.7.13  (06-20-2014)
CAF Communications, Reject/Return Authorization to Taxpayers

  1. An authorization must contain specific essential elements. A request for an authorization not containing these essential elements is considered invalid; follow the procedures below.

  2. For incomplete Form 2848 or Form 8821, reject for the missing information using the CAF IAT letter tool.

  3. If essential elements 1, 3, 4 and 5 are not present, the document must be returned to the taxpayer. If essential element 2 is not present, it must be returned to the representative. Refer to IRM 21.3.7.5.1 for a complete list of the essential elements.

  4. When an authorization is returned to the taxpayer, input an Issue to Accounts Management Services (AMS) on the taxpayer's account. Be sure to include:

    • the representative's name control (and CAF number if available). If CAF number is unavailable, include the representative's full name

    • type of form returned

    • tax period(s)

    • brief reason why the form is being returned (rejected)

21.3.7.13.1  (09-12-2014)
Reject/Return Authorizations to Third Party

  1. The CAF Function must solicit the third party for corrective action(s) by correspondence when any of the following information listed below is missing:

    1. Third party dated signature.

    2. If information is missing for one representative, timely process all other representatives listed prior to rejecting with Letter 861C, Indicate " processed" next to the representative input to the system.

    3. Representative Designation, Licensing jurisdiction (state) or Bar, license, certification, registration or enrollment number (if applicable).

    4. Third party attempting to act outside authority granted, e.g., redelegation or substitution.

    5. Authorization indicates retaining third parties from earlier authorization but copy of original authorization not attached.

  2. If the Form 2848 or Form 8821 is valid but unprocessable, reject the form using the CAF IAT Correspondex Letter 861C.

  3. If a Form 2848 with a revision date prior to October, 2011 is submitted after March 1, 2012 (IRS date stamped March 2, 2012 or later), the authorization will be returned to the representative requesting that a re-submission of the Form 2848, with an October, 2011 or later revision is required. IRM 21.3.7.5.3(1) for more information.

  4. When an authorization is returned to the representative, input an Issue to Accounts Management Services (AMS) on the taxpayer's account. Be sure to include:

    • the representative's name control (and CAF number if available). If CAF number is unavailable, include the representative's full name

    • type of form returned

    • tax period(s)

    • brief reason why the form is being returned (rejected)

21.3.7.13.2  (05-18-2012)
Rejecting Missing/Incomplete Authorizations

  1. If information is missing for one or more of the representatives and information is complete for others, timely process the processable representative(s) listed prior to rejecting for the missing information. If a Form is only partially processed, annotate "Processed" next to the name and address of the representative(s) processed.

    Note:

    For International processing, the incomplete/missing information authorization will be returned to the third party representative, not the taxpayer due to the taxpayer residing abroad.

  2. When rejecting the original authorization(s) back to the taxpayer or the third party representative, always cross out the IRS received date stamped on the authorization. This will ensure that the most current received date is used when the authorization is resubmitted to the CAF function for processing.

  3. When an authorization is returned to either the taxpayer or the representative, input an issue to the taxpayer's account using AMS (Accounts Management Services). Include the representatives name, type of Form returned, tax period and in one sentence, include why the Form is being returned. This includes partial rejections.

21.3.7.14  (11-17-2010)
Systemic Letters/Notices, Representative Notice CP 547

  1. CP 547, We Assigned You a Centralized Authorization File (CAF) Number, is generated when a new CAF number is issued.

  2. All responses to CP 547, are resolved by the CAF Function.

  3. If the CP 547 is returned or information is received requesting an update to the third party name, address or telephone number record, take the following actions:

    1. Update the third party record on the CAF database with the corrected information.

    2. Process the date the information was corrected as the signature date.

    3. If updating the representative name, address or telephone number, attach new SDLN and put document in regular block of work.

21.3.7.14.1  (09-12-2014)
Representative Notice CP 548 A-H

  1. CP 548, Change to your Representative, was a systemic notice generated from the CAF system to notify the taxpayer of a change to their third party representative. There are six types of notifications, currently suspended from use until further notice and they are as follows:

    • CP 548 A, Disbarred, reserved for OPR

    • CP 548 B, Suspended, reserved for OPR

    • CP 548 C, Undeliverable, reserved for CAF

    • CP 548 D, Deceased, reserved for CAF

    • CP 548 E, Retired, reserved for CAF

    • CP 548 F, Ineligible, reserved for OPR

    • CP 548 G, Terminated, reserved for RPO

21.3.7.14.2  (06-20-2014)
Taxpayer and Representative Letters (CAF Letters)

  1. The following is a list of approved correspondence letters for use by the CAF functions. Sites should not use quick notes or locally developed letters without Headquarters authorization.

    1. Letter 861C - Power of Attorney, Tax Information Authorization and/or United States Estate Tax Return (Forms 2848, 8821, or 706) Incomplete for Processing, will be used when:
      - An authorization is incomplete for the taxpayer,
      - An authorization is incomplete for a third party,

    2. Letter 1727C - Power of Attorney Representative Number, will only be used:
      - To advise the third party of CAF number(s), or
      - To refer third party to the Freedom of Information Act (FOIA) client listing request procedures.

    3. Letter 2475C - Address Change Request, will be used:
      - When a change of address is indicated, or
      - To obtain corrected information regarding the third party.

    4. Letter 2673C - Representative/Taxpayer Response, will be used:
      - Revocation/withdrawal statements,
      - 3 future year recording limitation, or
      - Representative not eligible to practice.

    5. Letter 2675C - Power of Attorney Termination Response, will be used:
      - Notifying the taxpayer of a withdrawal, or
      - Notifying the third party of a revocation.

    6. Letter 4527C - CAF Designation Level H Rejection, will be used when:
      - Notifying a taxpayer that an Unenrolled Tax Return Preparer did not prepare the return, or
      - Notifying a taxpayer that the year(s) requested are not under examination.

21.3.7.15  (11-17-2010)
Transcripts

  1. This section provides information for various types of transcripts.

21.3.7.15.1  (11-17-2010)
Transcripts, BMF Account Merge

  1. When two TIN’s merge and the "FROM ACCOUNT" has a CAF indicator, the merge is completed and a CP 222 , TIN Change on a CAF Account, is generated, identifying the "FROM TAX MODULES" that have a CAF indicator.

  2. The CP 222, TIN Change on a CAF Account, generates for the "TO TIN" , referencing the "FROM TIN." The tax modules are identified by MFT and tax period.

  3. When the CP 222, TIN Change on a CAF Account, is received, update the taxpayer data on the CAF system with the new "TO TIN." The taxpayer on the CAF system has the old "FROM TIN." Follow the procedures in IRM 2.4, IDRS Terminal Input, to correct the TIN.

21.3.7.15.2  (11-17-2010)
Transcripts, IMF Account Merge

  1. When two TINs merge and the "FROM ACCOUNT" has a CAF Indicator, the merge is completed, and a complete transcript, titled "MRGE-CAF" is generated.

  2. The MRGE-CAF transcript is generated for the "TO TIN" and the sort DLN is the TC 005 DLN.

  3. When the MRGE-CAF transcript is received, update the taxpayer on the CAF system with the new "TO TIN" . The taxpayer on the CAF system has the old "FROM TIN."

  4. Follow the procedures in IRM 2.4 , IDRS Terminal Input, to correct the TIN.

21.3.7.15.3  (11-17-2010)
Transcripts, EPMF CAF Merge

  1. An EP-CAF-ACT transcript is generated when a successful TIN change is completed on the EPMF and the "FROM ACCOUNT" has a TC 960 posted.

  2. The EP-CAF-ACT transcript is for a TIN change and is created when the "FROM" account has a CAF indicator. The transcript is a specific tax module for the "TO TIN" with the "FROM TIN" noted.

  3. When the EP-CAF-ACT is received, update the taxpayer on the CAF system with the new "TO TIN." The taxpayer on the CAF system has the old "FROM TIN."

21.3.7.15.4  (11-17-2010)
Transcripts, EPMF NOMRG-848 and NOMRG-846

  1. When both TINs have the same MFT, plan number and plan year ending, and both modules contain a TC 960 from different campuses, a transcript is generated. The transcript is titled NOMRG-848. If both modules contain a TC 960 from the same campus, a transcript titled NOMRG-846 is generated.

  2. The NOMRG-848 and NOMRG-846 transcript are complete transcripts for both the "FROM TIN" and the "TO TIN."

  3. When the NOMRG-848 is received, verify the processing of a TC 960. Delete the tax module that has the TC 960 posted to the "FROM TIN." After the TC 960 is deleted from the "FROM TIN," route the case to the Correspondence Control EO Entity function to merge the accounts at: Internal Revenue Service, Ogden Correspondence Control/EO Entity, 1973 No. Rulon White Blvd., M/S 6273, Ogden, UT 84201.

21.3.7.15.5  (11-17-2010)
Transcripts, EPMF-EP-CAF-PLN

  1. When a successful Plan Number change is completed on the EPMF and the "FROM ACCOUNT" has a TC 960 posted, a transcript is generated. The transcript is titled EP-CAF-PLN.

  2. The EP-CAF-PLN transcript is for a Plan Number change and is created when the "FROM PLAN" has a tax module with a TC 960 posted. The transcript is for a specific tax module for the "TO PLAN" with the "FROM PLAN" noted.

  3. When the EP-CAF-PLN is received, the TIN on the CAF system is correct, however, the Plan Number is the "FROM PLAN." Update the Plan Number on the CAF with the new "TO PLAN" Number.

21.3.7.15.6  (11-17-2010)
Transcripts, EPMF DOC 64-848 and DOC 64-846

  1. When both Plan Numbers have like plan year endings and both modules contain a TC 960 from different campuses, a transcript is titled DOC 64-848.

  2. If both modules contain a TC 960 from the same campus, a transcript titled DOC 64-846 is generated. The DOC 64-846 transcripts are complete transcripts for both the From Plan and To Plan.

  3. When the DOC 64-848 is received, identify the campuses that process the TC 960. 'Have the campus with the TC 960 posted to the From Plan delete its tax modules. After the CAF in the other campus has been deleted, route the case to the Correspondence Control/EO Entity function to re-merge the plans.

  4. Follow the procedures in IRM 2.4, IDRS Terminal Input, to correct the TIN, Plan Number and delete tax modules.

Exhibit 21.3.7-1 
State Mapping, Where to File Form 2848, 8821 and/or 706

State OAMC CAF Unit MAMC CAF Unit
Alabama   X
Alaska X  
Arizona X  
Arkansas   X
California X  
Colorado X  
Connecticut   X
Delaware   X
District of Columbia   X
Florida   X
Georgia   X
Hawaii X  
Idaho X  
Illinois   X
Indiana   X
Iowa X  
Kansas X  
Kentucky   X
Louisiana   X
Maine   X
Maryland   X
Massachusetts   X
Michigan   X
Minnesota X  
Mississippi   X
Missouri X  
Montana X  
Nebraska X  
Nevada X  
New Hampshire   X
New Jersey   X
New Mexico X  
New York   X
North Carolina   X
North Dakota X  
Ohio   X
Oklahoma X  
Oregon X  
Pennsylvania   X
Rhode Island   X
South Carolina   X
South Dakota X  
Tennessee   X
Texas X  
Utah X  
Vermont   X
Virginia   X
Washington X  
West Virginia   X
Wisconsin X  
Wyoming X  

Exhibit 21.3.7-2 
Forms and Codes

FORM MFT TITLE TIN FILING PERIOD
Civil Penalty -Valid after 1981 13 Civil Penalty, 8278, 2749, CVPN, TFRP EIN Any
Civil Penalty -Valid after 1981 55 Civil Penalty, 8278, 2749, CVPN, TFRP SSN Any
CT 1 09 Railroad Retirement EIN CY
11-C 63 Occupational Tax & Registration for Wagering EIN CY/FY
706 Series (filed only once) 52 U.S. Estate Tax SSN (V) 000000
706 GSD 78 Generation Skipping Transfer Tax Return for Distribution EIN, SSN (V, W) CY
706 GST 77 Generation Skipping Transfer Tax Return for Termination EIN CY
709 Series 51 Gift Tax Return SSN CY
720 03 Excise Tax EIN Quarterly
730 64 Wagering EIN Monthly
940 Series 10 Unemployment Tax EIN CY
941 Series 01 Withheld Income/FICA EIN Quarterly
942 Valid 1994 and Prior 04 Household Employees EIN Quarterly
943 Series 11 Agriculture/FICA EIN CY
944 Valid after 2006 14 Employer's Annual Tax Return EIN CY
945 Valid after 1994 16 Payer's Annual Tax Return EIN CY
990 67 Exempt Tax Return EIN CY/FY
990-C - Valid 2005 and prior 33 Farmers Co-op Tax Return EIN CY/FY
990-EZ 67 Short Form Return of Organization Exempt from Income Tax EIN CY/FY
990-PF 44 Return of Private Foundation EIN CY/FY
990-T 34 Exempt Organization Business Income Tax Return EIN CY/FY
1023/1024/1028 (EO. Applications)   See IRM 21.3.7.8.8    
1040 30 Individual Income Tax Return SSN CY/FY
1040NR (Non Resident)* 30 Non Resident Alien Income Tax Return SSN CY/FY
1040PR (Puerto Rico) ** 30 Self Employment Tax Return - Puerto Rico SSN CY/FY
1041 Series 05 U.S. Tax Return for Estates & Trusts EIN CY/FY
1041-A 36 U.S. Information Return-Trust Accumulation of Charitable Amounts EIN CY/FY
1042 Valid after 1985 12 Annual Withholding Return for U.S. Source Income for Foreign Persons EIN CY
1065 06 Partnership EIN CY/FY
1066 07 Real Estate Mortgage Investment Conduit Income Tax Return EIN CY/FY
1120 Series 02 Corporate Tax Return EIN CY/FY
2290 60 Highway Use Tax EIN Any
4720 (Process one year at a time) 50 Return of Certain Excise Tax on Charities & Other Persons EIN CY/FY
5227 37 Split Interest Trust Information Return EIN CY
5300/5307/5310 (EP Applications   See IRM 21.3.7.8.7    
5330 (Process one year at a time) 76 Return of Excise Taxes Related to Employee Benefits Plan EIN/SSN (V) CY/FY
5500 Series 74 Employment Benefit Plan EIN(P) CY/FY
6406 (EP Application)   See IRM 21.3.7.8.7    
8804/8805 - Valid after 2004 08 Partnership Withholding Tax EIN CY/FY
8038/8038–CP/8038–G/8038-GC/ 8038–R/8038–T 46 Misc. Tax Exempt Bond Issues EIN CY/FY
8038–B 85 Information Return for Build America Bonds and Recovery Zone Economic Development Bonds EIN CY/FY
8038-TC 86 Information Return for Tax Credit Bonds and Specified Tax Credit Bonds EIN CY/FY
8752 - Valid after 1991 15 Required Payment or Return EIN CY
8857 31 Innocent Spouse, Separation of Liability or Equitable Relief SSN CY/FY
8963 79 Insurance Provider Fee EIN FY/09 only

* Return information only - Send to ASPC - only if the taxpayer is a non-resident, not just filed a non-resident return.

**Return information only - Send to PSC - only if the taxpayer or representative have a foreign address.

CY = Calendar Year and FY = Fiscal Year

Exhibit 21.3.7-3 
Foreign Country Codes (A thru L)

Country Name Abbr. Country Name Abbr,
Afghanistan AF Egypt EG
Aland Islands AX El Salvador SV
Albania AL England UK
Algeria DZ Equatorial Guinea GQ
American Samoa AS Eritrea ER
Andorra AD Estonia EE
Angola AO Ethiopia ET
Anguilla AI Falkland Islands (Malvinas) FK
Antarctica AQ Faroe Islands FO
Antigua & Barbuda AG Fiji FJ
Argentina AR Finland FI
Armenia AM France FR
Aruba AW French Polynesia PF
Australia AU Gabon GA
Austria AT Gambia GM
Azerbaijan AZ Georgia GE
Bahamas BS Germany DE
Bahrain BH Ghana GH
Bangladesh BD Greece GR
Barbados BB Greenland GL
Belarus BY Grenada GD
Belgium BE Guam *
Belize BZ Guatemala GT
Benin BJ Guernsey GG
Bermuda BM Guinea GN
Bhutan BT Guinea-Bissau GW
Bolivia, Plurinational State Of BO Guyana GY
Bonaire, Sint Eustatius and Saba BQ    
Bosnia-Herzegovina BA Haiti HT
Botswana BW Heard Island & McDonald Island HM
Bouvet Island BV Honduras HN
Brazil BR Hong Kong HK
British Indian Ocean Territory IO Howland Island HQ
British Virgin Islands VI Hungary HU
Brunei Darussalam BN Iceland IS
Bulgaria BG India IN
Burkina Faso BF Indonesia ID
Burma BM Iran, Islamic Republic of IR
Burundi BI Iraq IQ
Cambodia KH Ireland IE
Cameroon CM Isle of Man IM
Canada CA Israel IL
Cape Verde CV Italy IT
Cayman Islands KY Jamaica JM
Central Africa Republic CF Jan Mayen JN
Chad TD Japan JP
Chile CL Jarvis Island DQ
China CN Jersey JE
Christmas Island CX Johnston Atoll JQ
Clipperton Islands IP Jordan JO
Cocos (Keeling) Islands CC Kazakhstan KZ
Colombia CO Kenya KE
Comoros KM Kingman Reef KQ
Cook Islands CK Kiribati KI
    Korea, Democratic People's Republic of KP
Costa Rica CR Korea, Republic of KR
Cote d’Ivoire CI Kosovo KV
Croatia HR Kuwait KW
Cuba CU Kyrgyzstan KG
Cyprus CY Laos People's Democratic Republic LA
Czech Republic CZ Latvia LV
Democratic Republic of the Congo CD Lebanon LB
Denmark DK Lesotho LS
Dhekelia DX Liberia LR
Djibouti DJ Libya LY
Dominica DM Liechtenstein LI
Dominican Republic DO Lithuania LT
Ecuador EC Luxembourg LU

* See Exhibit 21.3.7-8, U.S. Possessions Country Codes

Exhibit 21.3.7-4 
Foreign Country Codes (M thru Z)

Country Name Abbr. Country Name Abbr.
Macau MO Saudi Arabia SA
Macedonia, The Former Yugoslav Republic of MK Scotland UK
Madagascar MG Senegal SN
Malawi MW Serbia RS
Malaysia MY Seychelles SC
Maldives MV Sierra Leone SL
Mali ML Singapore SG
Malta MT Slovakia SK
Marshall Islands * Slovenia SI
Mauritania MR Solomon Islands SB
Mauritius MU Somalia SO
Mayotte YT South Africa ZA
McDonald Island & Heard Island HM South Georgia South Sandwich GS
Mexico MX    
Micronesia (Federated States) * Spain ES
Midway Islands MQ Spratly Islands PG
Moldova, Republic of MD Sri Lanka LK
Monaco MC St Helena SH
Mongolia MN St Kitts & Nevis SC
Montenegro ME St Lucia ST
Montserrat MS St Pierre & Miquelon SB
Morocco MA St Vincent & the Grenadines VC
Mozambique MZ Sudan SD
Namibia NA Suriname SR
Nauru NR Svalbard and Jan Mayen SJ
Navassa Island BQ Swaziland SZ
Nepal NP Sweden SE
Netherlands NL Switzerland CH
Netherlands Antilles NT Syrian Arab Republic SY
New Caledonia NC Taiwan, Province of China TW
New Zealand NZ Tajikistan TJ
Nicaragua NI Tanzania, United Republic of TZ
Niger NE Thailand TH
Nigeria NG    
Niue NU    
Norfolk Island NF Timor-Leste TL
    Togo TG
    Tokelau TK
Northern Mariana Island * Tonga TO
Norway NO Trinidad and Tobago TT
Oman OM Tunisia TN
Pakistan PK Turkey TR
Palau * Turkmenistan TM
Palestinian Territory, Occupied PS Turks and Caicos Islands TC
Panama PA Tuvalu TV
Papua New Guinea PG Uganda UG
Paracel Islands PF Ukraine UA
Paraguay PY United Arab Emirates AE
Peru PE United Kingdom GB
Philippines PH UNKNOWN XX
Pitcairn PN Uruguay UY
Poland PL US Virgin Islands *
Portugal PT USA US
Puerto Rico * Uzbekistan UZ
Qatar QA Vanuatu VU
Reunion RE    
Romania RO Venezuela, Bolivarian Republic of VE
Russian Federation RU Vietnam VN
Rwanda RW Wake Island WQ
Saint Barthelemy BL    
Saint Martin, French Part MF Wallis and Futuna WF
    Western Sahara EH
Samoa WS    
San Marino SM Yemen YE
Sao Tome Principe ST Zambia ZM

* See Exhibit 21.3.7-8, U.S. Possessions Country Codes

Exhibit 21.3.7-5 
U.S. State Codes

State Name Abbr. State Name Abbr,
Alabama AL Montana MT
Alaska AK Nebraska NE
Arizona AZ Nevada NV
Arkansas AR New Hampshire NH
California CA New Jersey NJ
Colorado CO New Mexico NM
Connecticut CT New York NY
Delaware DE North Carolina NC
District of Columbia DC North Dakota ND
Florida FL Ohio OH
Georgia GA Oklahoma OK
Hawaii HI Oregon OR
Idaho ID Pennsylvania PA
Illinois IL Rhode Island RI
Indiana IN South Carolina SC
Iowa IA South Dakota SD
Kansas KS Tennessee TN
Kentucky KY Texas TX
Louisiana LA Utah UT
Maine ME Vermont VT
Maryland MD Virginia VA
Massachusetts MA Washington WA
Michigan MI West Virginia WV
Minnesota MN Wisconsin WI
Mississippi MS Wyoming WY
Missouri MO    

Exhibit 21.3.7-6 
Canadian Province Codes

Province Name Abbr.
Alberta AB
British Columbia BC
Manitoba MB
New Brunswick NB
New Foundland & Labrador NL
Northwest Territory NT
Nova Scotia NS
Nunavut NU
Ontario ON
Prince Edward Island PE
Quebec QC
Saskatchewan SK
Yukon Territory YT

Exhibit 21.3.7-7 
Mexican Territory Codes

Territory Name Abbr. Territory Name Abbr.
Aguascalientes AG Morelos MR
Baja, California (South) BJ Nayarit NA
Baja, California (North) BA Nuevo Leon NN
Campeche CE Oaxaca OA
Chiapas CI Puebla PB
Chihuahua CH Queretaro de Arteaga QU
Coahuila de Zaragoza CU Quintana Roo QR
Colima CL San Luis Potosi SL
Distrito Federal DF Sinaloa SI
Durango DO Sonora SO
Guanajuato GX Tabasco TB
Guerrero GR Tamaulipas TA
Hidalgo HL Tlaxcala TL
Jalisco JL Veracruz-Llave VC
Mexico, Estado de MX Yucatan YU
Michoacande Ocampo MC Zacatecas ZA

Exhibit 21.3.7-8 
U.S. Possessions Country Codes

U.S. Possessions   Country Code
America Samoa   AS
Guam   GU
Marshall Islands   MH
Federated States of Micronesia   FM
Commonwealth of the Northern Mariana Islands   MP
Palau   PW
Puerto Rico   PR
Virgin Islands   VI

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