21.4.1  Refund Research

Manual Transmittal

August 20, 2013

Purpose

(1) This transmits revised IRM 21.4.1, Refund Inquiries, Refund Research.

Material Changes

(1) Editorial changes were made throughout IRM 21.4.1. The web address, IRM and legal sources were checked and corrected, where necessary.

(2) IPU 13U0231 issued 01-30-2013 IRM 21.4.1.3(2), (3) and (5) - Added information regarding refund inquiry procedures and deleted (5).

(3) IPU 13U0766 issued 04-18-2013 IRM 21.4.1.3(2) Table - Added a link to Injured Spouse Inquiries; added Spanish for IRS2Go; added information to amended return procedures.

(4) IPU 12U1807 issued 11-07-2012 IRM 21.4.1.3(2) 4th Note - Added a link to IRM 21.5.6 -R Freeze with AMTAP involvement.

(5) IPU 13U0336 issued 02-11-2013 IRM 21.4.1.3(3) Table - Added procedures for responding to taxpayer refund inquiries.

(6) IPU 13U0553 issued 03-18-2013 IRM 21.4.1.3(4) - Added information about Amended Return information on the new automated applications.

(7) IPU 12U1864 issued 11-20-2012 IRM 21.4.1.3.1(1) Table FFINQ - Updated K2 status information.

(8) IPU 13U0231 issued 01-30-2013 IRM 21.4.1.3.1.2(1) Table and (3) Caution - (1) Updated the Ogden AMTAP fax number; (3) Removed the CC FFINQ reference about providing an approximate refund date and added an emphasis on our automated systems for refund tracking.

(9) IPU 13U1177 issued 07-01-2013 IRM 21.4.1.3.1.2(2) Table - Changed the time frame for unpostable resolution to nine weeks.

(10) IPU 13U0766 issued 04-18-2013 IRM 21.4.1.3.1.2(2) Table - Added information regarding UPC 147 RC 6 and 7.

(11) IPU 13U1177 issued 07-01-2013 IRM 21.4.1.3.2(3) Table - Added information regarding manual refunds.

(12) IPU 12U1864 issued 11-20-2012 IRM 21.4.1.3.4(2) Table - Added information regarding direct deposits and the date for TC 840.

(13) IPU 13U0553 issued 03-18-2013 IRM 21.4.1.3.4(2) Table - Changed "business days" to "calendar days."

(14) IPU 13U0766 issued 04-18-2013 IRM 21.4.1.3.4(2) Table - Added: link to IRM 21.4.2.4.1 when Form 3911 is needed; added guidance when a direct deposit is rejected by the bank.

(15) IPU 13U1177 issued 07-01-2013 IRM 21.4.1.3.4 - Added new (4) with links regarding the affect of a change of address on the delivery of a paper refund check.

(16) IPU 12U1864 issued 11-20-2012 IRM 21.4.1.3.6 - Added a subsection with External Leads Program information and link.

(17) IPU 12U1807 issued 11-07-2012 IRM 21.4.1.4.6.1(1) - Added conditions for credit elect reversal.

(18) IPU 13U0391 issued 02-21-2013 IRM 21.4.1.4.7(2) - Added that direct deposits are only allowed on current tax year returns.

(19) IPU 13U0553 issued 03-18-2013 IRM 21.4.1.4.7(2) - Added conditions for TC 971 AC 850.

(20) IPU 13U0391 issued 02-21-2013 IRM 21.4.1.4.7.1(6) Table - Added cautions.

(21) IPU 13U0553 issued 03-18-2013 IRM 21.4.1.4.7.1(6) Table - Added TC 971 AC 850 and changed "business days" to "calendar days" ..

(22) IPU 13U0766 issued 04-18-2013 IRM 21.4.1.4.7.1(6) Table - Added 5 calendar day time frame to the box where the taxpayer has contacted the bank and the bank has no record of the direct deposit.

(23) IPU 13U1267 issued 07-24-2013 IRM 21.4.1.4.7.1(7) - Clarified procedure for manual refund due to economic hardship.

(24) IPU 12U1864 issued 11-20-2012 IRM 21.4.1.4.7.5(3)b) and (4)a) - Added the information that can be provided to a financial institution when trying to recover funds.

(25) IPU 13U1000 issued 05-29-2013 IRM 21.4.1.4.7.5(3) c) and (4) c) - Added information regarding a bank letter when attempting to recover a direct deposit into an incorrect account.

(26) IPU 13U0391 issued 02-21-2013 IRM 21.4.1.4.8.1(1) Table - Added direct deposit reject reason codes for name mismatch.

(27) IPU 13U1177 issued 07-01-2013 IRM 21.4.1.4.8.1(1) Table - Added new conditions for Direct Deposit Reject Codes 58 and 59.

(28) IPU 12U1807 issued 11-07-2012 IRM 21.4.1.4.9.2(2) and (3) - Combined these paragraphs regarding family disputes to be covered by oral statement authority.

(29) IPU 13U1177 issued 07-01-2013 IRM 21.4.1.4.9.5(3) Table - Added RAL/RAC/Debit Card information.

(30) IPU 13U0766 issued 04-18-2013 IRM 21.4.1.4.10(8) - Changed BMF CC NOREF cutoff day from Thursday to Friday.

(31) IPU 13U0766 issued 04-18-2013 IRM 21.4.1.4.11(2) - Added information indicating Holds Automated Listing no longer available for BMF refund intercepts.

(32) IPU 13U1177 issued 07-01-2013 IRM 21.4.1.5(3) - Revised Internet Refund Fact of Filing Information

(33) IPU 13U0391 issued 02-21-2013 Exhibit 21.4.1-2 - Added new ERS action codes.

(34) IPU 12U1807 issued 11-07-2012 Exhibit 21.4.1-4 - Added new Internet Refund Fact of Filing (IRFOF) reference codes.

(35) IPU 13U1000 issued 05-29-2013 Exhibit 21.4.1-5 - Added this exhibit of the bank letter to recover direct deposit.

Effect on Other Documents

IRM 21.4.1 dated August 24, 2012 (effective October 1, 2012) is superseded. The following IRM Procedural Updates (IPUs) have been incorporated into this IRM - IPU 13U1267 (issued 07/24/2013), IPU 13U1177 (issued 07/01/2013), IPU 13U1000 (issued 05/29/2013), IPU 13U0766 (issued 04/18/2013), IPU 13U0553 (issued 03/18/2013), IPU 13U0391 (issued 02/21/2013), IPU 13U0336 (issued 02/11/2013), IPU 13U0231 (issued 01/30/2013), IPU 12U1864 (issued 11/20/2012) , and IPU 12U1807 (issued 11/07/2012).

Audience

Employees in all Business Operating Divisions who have contact with taxpayers either on the phone, by correspondence, or personal contact.

Effective Date

(10-01-2013)

Ivy S. McChesney
Director, Accounts Management
Wage and Investment Division

21.4.1.1  (07-12-2012)
Refund Research Overview

  1. This section outlines the research procedures to be used in responding to refund inquiries from taxpayers. It applies to all Customer Service Representatives, telephone, paper, and Taxpayer Assistance Center functions.

  2. Before discussing any tax information, you must be sure you are speaking with the taxpayer or authorized representative. See IRM 21.1.3, Operational Guidelines Overview. Before leaving any message on a taxpayer's answering machine, review IRM 11.3.2.6.1, Leaving Information on Answering Machines/Voice Mail. Fax procedures contained in IRM 11.3.1.11, Facsimile Transmission of Tax Information, must be reviewed prior to faxing confidential information to the taxpayer. Prior to mailing confidential information to the taxpayer, review IRM 21.1.3.9, Mailing and Faxing Tax Account Information.

  3. In addition to the regular Integrated Data Retrieval System (IDRS) Research Command Codes (CC), the following CCs are used throughout the Refund Inquiry process.

    • CC RFUND, IDRS Generated Refund

    • CC CHKCL, IDRS Check Claims and Photocopy Request and Input

    • CC CHK64, Undelivered Refunds

    • CC NOREFP, Refund Intercept Request (IMF)

    • CC NOREF, Refund Intercept Request (BMF)

    • CC REINF, Research of the Refund Taxpayer Information File (TIF)

    Note:

    Accounts Management employees are required to use the Integrated Automation Technology (IAT) CHKCL tool. This tool assists users with the input of CC CHKCL for situations that meet oral statement criteria and all situations necessary for refund inquiry users. Furthermore, the IAT Refund Suite tool consists of CC RFUND, CC CHK64, CC CHKCL and CC NOREF (BMF only). Other mandated IAT tools are available at Exhibit 21.2.2-2, Mandated IAT Tools

    .

  4. The IRM Sections of the Refund Inquiry Chapter 4 containing the stop refund information are listed below. Additional stop refund information can be found in IRM 3.14.1, IMF Notice Review, and IRM 3.14.2, BMF Notice Review.

    • See IRM 21.4.1.4.10, Refund Intercept CC NOREF with Definer "P" .

    • See IRM 21.4.1.4.11, IRS Holds Automated Listing (HAL).

  5. Refer taxpayers to the Taxpayer Advocate Service (TAS) (see IRM 13, Taxpayer Advocate Service) when the contact meets TAS criteria, (see IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria) and you cannot resolve the taxpayer's issue the same day. TAS provides assistance to taxpayers who are experiencing economic harm, who are seeking help in resolving tax problems that the IRS has not been able to resolve through normal channels or believe that an IRS system or procedure is not working as it should. See IRM 21.1.3.18, Taxpayer Advocate Services (TAS) Guidelines, for further information. If you are able to resolve and close the TAS issue on the same day as the taxpayer contact, do not refer the inquiry to TAS. The definition of "same day" is within 24 hours. There will be times you can completely resolve the TAS issue within 24 hours. There will also be times that although you cannot completely resolve the issue within 24 hours, you have taken steps within 24 hours to resolve the taxpayer's issue. These cases also meet the definition of "same day" . Do not refer these cases to TAS unless the taxpayer asks to be transferred to TAS and the case meets TAS criteria. Refer to IRM 13.1.7.4, Same Day Resolution by Operations. When referring cases to TAS, use Form 911, Request for Taxpayer Advocate Service Assistance (and Application for Taxpayer Assistance Order), and forward to TAS in accordance with your local procedures.

21.4.1.2  (10-01-2002)
What Is Refund Research?

  1. Refund research is the use of various IDRS command codes to locate the status of a filed return. This section covers the steps for locating the return on IDRS to determine if processing is complete and if the refund has been issued. It also contains information on what to do if the refund was not sent or if the amount differs from that expected, as well as other special conditions related to refunds (i.e., deceased taxpayers, separated taxpayers).

21.4.1.3  (04-18-2013)
Refund Inquiry Response Procedures

  1. When responding to a refund inquiry for a federal tax return you need to know the following information:

    • Was the return filed electronically or on paper?

    • When was the return filed?

      Note:

      If taxpayer is calling regarding their state refund, refer to http://serp.enterprise.irs.gov/databases/who-where.dr/state_tax_info.htm for the appropriate state agency number.

  2. To respond to taxpayer inquiries, first you must determine if processing time frames have been met. Use the following table to determine normal refund return processing time frames. DO NOT conduct any refund research prior to the end of these time frames unless conditions in (3) below exist.

    Return Type Processing Time Frame
    Paper refund return
    • 6-8 weeks for normal processing

    • For returns claiming the Adoption Credit, if returns are selected for Exam, the time frame is approximately 14 weeks. If after 8 weeks research indicates the return was selected, inform the taxpayer that the return was selected for further review and that we will either contact them, or the refund/credit will be issued within the 14 week period.

    • For Injured Spouse returns see IRM 21.4.6.5.3, Injured Spouse Inquiries, for additional information.

    e-file refund return 3 weeks (from the date the taxpayer received acknowledgement that the return was accepted by IRS)
    1040X return (see (4) below for amended return information through IRS automation) up to 12 weeks

    Note:

    The time frames in the above table reflect the normal processing time frames. These may be temporarily extended via Servicewide Electronic Research Program (SERP) Alerts due to processing issues.

    Note:

    If taxpayer filed a Form W-7, Application for IRS Individual Taxpayer Identification Number (ITIN), with their return, see IRM 3.21.263.7.2, Inquiries Regarding Status of Application.

    Note:

    Customer Account Data Engine (CADE) will have little impact on processing time frames. Use the above chart for all returns processed through CADE.

    Reminder:

    If the account has a TC 971, AC 052 posted, normal processing time will increase by two cycles as this action causes the return to re-sequence for two cycles. If the account has a TC 971, AC 152 posted, normal processing time will increase by one cycle as this action causes the return to re-sequence for one cycle. If the taxpayer asks why the processing time was increased tell them the return was randomly selected for additional review. Do not mention IVO (previously AMTAP), CI, etc.

    Note:

    ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

  3. If you determine the time frames shown above have not been met, ask the taxpayer if they've checked on the status of the refund by using one of the IRS automated systems, Where's My Refund on IRS.gov, our free mobile application IRS2Go (English and Spanish) for smart phones, or the Refund Hot Line. Use the table below to determine your call resolution actions.

    If taxpayer's response is Then
    No
    1. Provide the taxpayer with information about our automated refund applications:

      • Where’s My Refund? on IRS.gov, now includes a “refund status tracker bar” that will show you which processing status your return is in:

        1. Return Received – no projected refund date is given

        2. Refund Approved – the refund date depending on direct deposit or paper check mailing is provided

        3. Refund Sent – informs the taxpayer of the date the refund was transmitted to the financial institution, or the date a paper check was mailed

      • IRS2Go (English and Spanish, our free mobile application for smart phones

      • Refund Hotline - 1-800-829-1954 - toll free assistors provide only if the taxpayer does not have access to a computer or the internet.

    2. Advise the taxpayer that the best way to get the most current information about their refund is through the automated systems. They are fast, accurate and available 24 hours a day, 7 days a week from any computer or smart phone with internet access, AND the information provided is specific to each taxpayer who uses the tool. Also remind them that by using the automated systems, they would not have to wait on hold to speak to an assistor.

    3. If the taxpayer does not object, route them out to the automated Refund Hot line, transfer extension 90278 (Spanish 90279).

    4. See the note directly below this table if the taxpayer declines to be routed to the automated refund hot line.

    Yes, and they received a response saying “We received your tax return and it is being processed”, or "Your tax refund is scheduled to be sent to your bank on...."
    1. DO NOT Access their Account or complete any research.

    2. Advise the taxpayer that you are unable to provide any additional information than the information already provided by the automated system.

    3. Advise the taxpayer that the best way to get the most current information about their refund is through the automated systems. They are fast, accurate and available 24 hours a day, 7 days a week from any computer or smart phone with internet access, AND the information provided is specific to each taxpayer who uses the tool. Also remind them that by using the automated systems, they would not have to wait on hold to speak to an assistor.

    4. Ask the taxpayer if they have any additional questions. If not, then thank them for calling and end the call.

    Yes, and they originally received a response saying “We received your tax return and it is being processed”, or "Your tax refund is scheduled to be sent to your bank on....", but now the automated system returns a message indicating "no data is available" Tell the taxpayer:
    1. The initial message is still accurate, we received your return, and it is being processed.

    2. The tool is updated no more than once a day – usually overnight.

    3. They should wait and check the tool again tomorrow.

    Yes, and the taxpayer provides a 4 digit reference number that they got on one of the automated systems
    1. Authenticate the taxpayer's identity and conduct account research to assist the taxpayer. See IRM 21.4.1.5, Internet Refund Fact of Filing, for further guidance, and Exhibit 21.4.1-4, Internet Refund Fact of Filing Reference Codes, for a list of the most common reference codes.

    Yes, and the taxpayer was informed by the automated application that a change occurred to the refund amount for which the taxpayer needs additional information or the taxpayer was provided with a call back number and 3 digit extension
    1. Authenticate the taxpayer’s identity and conduct account research to assist the taxpayer. See IRM 21.4.1.4.1, Refund Not Sent or Amount Differs, for additional information.

    Yes, but the automated application "cannot provide any information" and it has been more than 24 hours since the taxpayer received acknowledgement of their e-filed return
    1. Authenticate the taxpayer’s identity and conduct minimal account research (e.g., CC FFINQ or CC REINF) to verify that the taxpayer is accurately inputting their information to gain access to the automated system.

    2. Advise the taxpayer that the best way to get the most current information about their refund is through the automated systems. They are fast, accurate and available 24 hours a day, 7 days a week from any computer or smart phone with internet access, AND the information provided is specific to each taxpayer who uses the tool. Also remind them that by using the automated systems, they would not have to wait on hold to speak to an assistor.

    3. If the taxpayer does not object, route them out to the automated Refund Hot line, transfer extension 90278 (Spanish 90279).

    4. See the note directly below this table if the taxpayer declines to be routed to the automated refund hot line.

    Note:

    If the taxpayer insists that you check their account:

    • Authenticate the taxpayer’s identity

    • Access Command Code (CC) FFINQ to determine if we have received the tax return. Even if there are indicators on CC FFINQ regarding an account issue, DO NOT provide any information other than the fact that we have the return and it is being processed, or

    • If there is no data on CC FFINQ, access CC REINF to determine if a refund has been scheduled to be issued. Using the "REF CHK SCHEDULED" field, advise the taxpayer that if they have not received their direct deposit in 5 calendar days from this date (transmission date), to contact their bank. If the taxpayer has not received their paper check within 28 calendar days from this date (mailing date), advise the taxpayer to contact IRS. DO NOT provide any additional information other than this.

    • Again, emphasize that the best way to get the most current information about their refund is through the automated systems listed. They are fast, accurate and available 24 hours a day, 7 days a week from any computer or smart phone with internet access, AND the information provided is specific to each taxpayer who uses the tool. Also remind them that by using the automated systems, they would not have to wait on hold to speak to an assistor.


    If the taxpayer has other, non-refund related issues, after authenticating the taxpayer’s identity, conduct the necessary account research and provide assistance according to the applicable IRM procedures.

    Caution:

    Remember, Where's My Refund cannot provide any information on Form 1040X, Amended U.S. Individual Income Tax Return

    .

  4. If preliminary questions determine the call is about a Form 1040X, Amended U.S. Individual Income Tax Return, proceed with the following:

    • Ask the taxpayer for the date they mailed their amended return.

    • Determine if the amended return was submitted more than 12 weeks before today's date.


    If the time frames have not been met, ask the taxpayer if they've checked on the status of the amended return by using one of the IRS amended tax return automated systems, and then use the following procedures:

    If the Taxpayer's response is Then
    No
    1. Provide the taxpayer with information about our automated Amended Return applications:

      • Where’s My Amended Return? (WMAR) on IRS.gov includes a “status tracker bar” that will show you which processing status your amended return is in:

        1. Amended Return Received – Taxpayer is provided the received date and told to wait 12 weeks for processing

        2. Adjusted – The adjustment posting date is provided with information to wait 3 weeks for the refund/notice

        3. Completed – The taxpayer should have already received the refund and notice information, and the inquiry date is greater than 3 weeks from the adjustment date.

      • New Form 1040X toll free number- 1-866-464-2050 - provide only if the taxpayer does not have access to a computer or the internet.

    2. Advise the taxpayer the best way to get the most current information about their Amended Return is through the automated systems. They are fast, accurate and available 24 hours a day, 7 days a week from any computer with internet access, AND the information provided is specific to each taxpayer who uses the tool.

    3. Advise the taxpayer it could take up to 3 weeks from the date the amended return was filed for information to become available. Also remind them that by using the automated systems, they would not have to wait on hold to speak to an assistor.

      Note:

      Transferring a caller directly to the Form 1040X number will not be an option until 2014. Until then transfer the caller to the WMAR automated application by using the WMR CSR direct transfer numbers #90278 (English) or #90279 (Spanish) that have already been established. Inform the caller before you transfer, to select the "Amended Return" prompt to use the automated application.

    4. See the note directly below this table if the taxpayer declines to use the automated tools.

    Yes, and they received a response saying “We received your amended tax return on ... and it is being processed”, or "received on…and adjusted on ..."
    1. DO NOT Access their Account or complete any research.

    2. Advise the taxpayer you are unable to provide any additional information other than the information already provided by the automated system.

    3. Advise the taxpayer the best way to get the most current information about their amended return is through the automated systems. They are fast, accurate and available 24 hours a day, 7 days a week from any computer with internet access, AND the information provided is specific to each taxpayer who uses the tool. Also remind them that by using the automated systems, they would not have to wait on hold to speak to an assistor.

    4. Ask the taxpayer if they have any additional questions. If not, then thank them for calling and end the call.

    Yes,
    • and the taxpayer provides a 3 digit reference number they got on one of the automated systems, or

    • and the taxpayer was informed by the application a change occurred to the amended return or refund amount, or

    • and a notice or letter was received, for which they need additional information, or

    • and the taxpayer was informed by the application to contact us if the amended return was filed more than 3 weeks ago and we have no record of it

    Authenticate the taxpayer’s identity and conduct account research to assist the taxpayer.

    Note:

    If the time frames have been met or the taxpayer insists you check their account:

    • Authenticate the taxpayer’s identity.

    • Access Command Code (CC) TXMOD to determine if we have received the Amended Return. Form 1040X should be on IDRS within 3 weeks from the date filed.

    • WMAR keys off the TC 971 AC 120 placed on the account by Submission Processing. Conduct the necessary account research and provide assistance according to the applicable IRM procedures.

    • WMAR does NOT provide the status of Form 843 Claims, Injured Spouse Claims, Carrybacks (applications and claims), Form 1040 series marked as an amended return, or amended returns with a foreign address.

    • WMAR cannot provide information on amended returns accepted directly by Compliance/Exam/TAC or other functions in which the input of TC 971 AC 120 by Submission Processing is bypassed.

    • WMAR cannot provide information on settled module accounts no longer present on the Taxpayer Information File (TIF), or Amended returns received prior to July 2012.

    • Again, emphasize the best way to get the most current information about their refund is through the automated systems listed. They are fast, accurate and available 24 hours a day, 7 days a week from any computer with internet access, AND the information provided is specific to each taxpayer who uses the tool. Also remind them that by using the automated systems, they would not have to wait on hold to speak to an assistor.

  5. If minimum normal processing time frames have elapsed determine the following:

    • Which tax period?

    • Were any notices received?


    Research IMFOLT to determine the current refund status. If no record continue researching IDRS. See IRM 21.4.1.3.1, Locating the Taxpayer's Return, for command code information.

  6. When practical, telephone the taxpayer for any additional information you may need. If you cannot contact the taxpayer by telephone, use existing letters to reply to or request additional information from the taxpayer.

    Note:

    When contacting taxpayers, refer to IRM 21.1.3, Operational Guidelines Overview, for the appropriate disclosure authorization procedures.

  7. When responding to a paper refund request, if there is no record of a return after researching, see IRM 21.4.1.3.1, Locating the Taxpayer's Return. Contact the taxpayer to request additional information.

  8. Address correction is acceptable over the telephone for release of an undeliverable refund freeze. See IRM 3.13.5.28, Address Changes from Oral Statements/Telephone Contact, for guidance. Ensure you are talking to the taxpayer or their authorized representative and document the adjustment remark section following the procedures found in IRM 21.1.3.20.1, Oral Statement Documentation Requirements. If there is any reason to doubt the identity of the person calling, request the caller to submit the information in writing. See Section 5.04(3) of Rev. Proc. 2010-16, 2010-19 I.R.B664 for information about how the IRS is orally informed of address changes.

  9. To research refund inquiries concerning non-receipt of direct deposit, see IRM 21.4.1.4.7, Direct Deposits - General Information.

  10. Effective on January 1, 2011, TC 971 AC 696 was established to indicate that Financial Management Service (FMS) has acknowledged/confirmed receipt of an IRS refund record. This code has no impact on refunds, either paper check, direct deposit or split refunds. It does not indicate that a refund was offset or is being offset, nor does it prevent a refund from being offset by FMS to a non-tax debt.

21.4.1.3.1  (11-20-2012)
Locating the Taxpayer's Return

  1. The following table will assist you in selecting command codes that will assist in your research. For additional information on these CCs, see IRM 2.3.1, IDRS Terminal Responses. Research should be done for valid and invalid segments. This list is not all inclusive.

    Integrated Data Retrieval System (IDRS) Command Codes CFOL Command Codes
    ENMOD: Displays entity information. Displays some letters sent and may show if the account is located in Rejects/Error Resolution System (ERS).

    Note:

    If a "–Z" Freeze is present, see IRM 21.5.6.4.52, –Z Freeze. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ TC 971 Action Code descriptions can be found in Document 6209, Section 8, TC 971 Action Codes.

    Note:

    See Exhibit 2.3.15-18, ENMOD-Entity Posted Transaction Display, or Exhibit 2.4.19-2, CC REQ77 Response, for information on the placement of the MISC field on CC ENMOD and CC FRM77.

    IMFOL: The literal CADE will appear in the upper right hand corner of the screen if the account is currently located on CADE. The literal is not an indicator that the refund was processed through CADE. See IRM 21.4.1.3.2(2), Return/Refund Located, for CADE processing information. If the account is being removed from CADE and restored to the Individual Master File (IMF), the literal CADE:R will be displayed during the transaction. Removed accounts will be restored to IMF when the weekly updates are complete.

    Note:

    ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ TC 971 Action Code descriptions can be found in Document 6209, Section 8, TC 971 Action Codes.

    Note:

    See Exhibit 2.3.51-13, Command Code IMFOL Output Display - Entity, Line 14, for more information about the position of the Daily Eligible Indicator. The literals "00" indicate an account is not eligible for daily processing; "01-99" indicates an account is eligible for daily processing. Any TC 29X input with a money amount or with a credit reference number will cause the account to become weekly; whereas a TC 290 .00 will not change the existing status.

    SUMRY: Displays all tax modules available on IDRS. IMFOLI: Index of tax years available to research as well as in retention.
    TXMODA: Displays any pending/posted transactions, freeze conditions, open control bases, history items, etc., on specific tax periods.

    Note:

    ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ TC 971 Action Code descriptions can be found in Document 6209, Section 8, TC 971 Action Codes.

    IMFOLT: Specific tax period information. The literal CADE will appear in the upper right hand corner of the screen if the account is currently located on CADE. The literal is not an indicator that the refund was processed through CADE. See IRM 21.4.1.3.2, Return/Refund Located, for CADE processing information. If the account is being removed from CADE and restored to the IMF, Literal CADE:R will be displayed during the transaction. When the account moves to IMF a Transaction Code (TC) 001 with blocking series 99999 will post to the entity. Removed accounts will be restored to IMF when the weekly updates are complete.

    Note:

    ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ TC 971 Action Code descriptions can be found in Document 6209, Section 8, TC 971 Action Codes.

    FFINQ: Identifies whether the return has been received.

    Note:

    The following fact-of-filing refund status codes can be found on line 6 of the CC FFINQ display:

    • K1 - Indicates return received and the normal processing time frame for the type of return filed (paper is 6 weeks, electronic (ELF) is 3 weeks) has not passed; or an ELF return was received and the normal processing time frame of 3 weeks has expired. (The taxpayer is provided with a call back number after the 3 weeks have passed for the ELF return.)

      Note:

      For information regarding "fact-of-filing reference codes" see IRM 21.4.1.5, Internet Refund Fact of Filing

    • K2 - Paper refund return filed and the 6 week waiting period has expired. When the return reaches this point, the taxpayer is advised the return is still being processed and a refund date will be provided when available.

      Note:

      For information regarding "fact-of-filing reference codes" see IRM 21.4.1.5, Internet Refund Fact of Filing

    • ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    • K5 - Refund return filed and in ERS. For more information on ERS/Rejects see IRM 21.4.1.3.1.2.2, Returns Located on Rejects or Error Resolution System (ERS).

    IMFOBT: Used to obtain the Routing Transit Number and Account Number on Refund Inquiries concerning direct deposit issues.
    REINF: Displays refund amount, filing status, scheduled mailing date, etc. INOLE: Entity information-cross referenced with Social Security Administration (SSA) data. Use for disclosure research to verify Taxpayer Identification Number (TIN), name as it appears on return, address as it appears on return or modified on IRS records, and Date of Birth (DOB).
    ERINV @XX: Use to research accounts in Rejects/ERS. TRDBV: Verifies receipt of IRS e-file tax returns. Shows accepted and rejected e-file returns.

    Note:

    If no return information is available on CC TRDBV, use the Modernized e-File (MeF) Return Request Display (RRD) to verify receipt of a MeF return. RRD displays specific tax return and status information for tax returns processed through MeF. See IRM 21.2.2.4.4.9, Modernized e-File (MeF) Return Request Display (RRD), for further information regarding RRD access.

    UPTIN @XX Use to research unpostable transaction codes. RTVUE: Shows line-by-line display of taxpayers figures as well as changes made during processing. Refer to Document 6209, Section 9, Notices and Notice Codes, for a list of math errors.
    NAMEI/NAMEB: Research National Name Search Facility. NAMES/NAMEE: Use for research when no information on the valid TIN.

    Note:

    Do not use CC "MFREQC" just to locate the return or to research the account. Use the CC "MFREQC" when inputting transactions, opening required control bases, entering required history notes, and so forth on your local IDRS or the Taxpayer Information File (TIF).

    Reminder:

    If taxpayer filed a Form W-7, Application for IRS Individual Taxpayer Identification Number (ITIN), with their return, see IRM 3.21.263.7.2, Inquiries Regarding Status of Application.


  2. You must first establish the Fact of Filing (FOF). Opening a control base will bring up a master file account in any campus or generate a TC 904 in 11 to 18 calendar days, depending upon the day of the week you input your request.

    1. If a TC 904 is present or IDRS indicates no tax module, send a Letter 109C, Return Requesting Refund Can't be Located or Not Filed; Send Copy to the taxpayer asking the taxpayer to file again.

    2. Check CC "REINF" to see if the return posted after the TC 904.

  3. A TC 904 with the Document Code (DC) "99" will appear on IDRS if the master file does not contain the module requested but the TIN and Name Control (NC) match.

  4. A TC 904 with DC "79" will appear if the master file contains no such TIN or NC match.

  5. The exceptions to sending the Letter 109C, Return Requesting Refund Can't be Located or Not Filed; Send Copy, are:

    1. When an inquiry shows a foreign address, research to determine where account is located. If account is located at another center send Letter 86C, Referring Taxpayer Inquiry/Forms to Another Office, to the taxpayer and forward the case to the appropriate campus.

    2. If the inquiry is about an amended return, which has not posted, contact the taxpayer for information as to where and when the return was filed.

    3. If the taxpayer indicates that correspondence has been received about the return, request a copy of the letter.

    4. If the taxpayer indicates the return was filed in another center and this is verified through research.

    5. "TXMOD" shows a TC 904 indicating return filed and moved to retention register. Use CC "IMFOLV" to obtain retention register information. If research shows that the account needs further processing, reinstate the retention register account. See IRM 21.5.2, Adjustment Guidelines. If the TC 904 indicates the taxpayer filed in another Customer Service Field Operations, request the information and continue to work the case.

  6. Returns filed electronically are identified by a unique Filing Location Code (FLC) shown as the first two digits in the Document Locator Number (DLN). Refer to http://serp.enterprise.irs.gov/databases/irm.dr/current/6209.dr/6209ch04.3.htm, Document 6209, for a list of FLCs.

21.4.1.3.1.1  (03-29-2012)
Return Not Found

  1. Review the following table to determine the required action.

    If maximum normal processing time is: Then
    Not met.
    1. Advise the taxpayer of the normal processing time, and to visit Where's My Refund at irs.gov, or from the IRS2Go (English and Spanish) phone application from a smart phone, for current refund information if the refund is not received within the time frame provided. Where's My Refund can inform the taxpayer if the IRS received the original return, and the projected date of the refund. DO NOT offer the toll free refund hot line, 1-800-829-1954, as an option unless the taxpayer states they do not have a computer, or do not have internet access. Remember, Where's My refund cannot provide any information on Form 1040X, Amended U.S. Individual Income Tax Return.

    Met but no record of a paper return or a Form 1040X.
    1. Advise taxpayer to refile, attach all appropriate forms such as; schedules, forms, and copies of W-2s.

    2. Advise taxpayer to sign the return (both taxpayers must sign if joint return).

    3. Advise taxpayer to immediately file this new return.

      Note:

      DO NOT advise taxpayer to write duplicate or copy on the top of the return.

    Met but no record of e-file return Advise taxpayer to re-transmit the return.

  2. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    1. Tell the taxpayer their return was received, but we were not able to process it

    2. Advise the taxpayer to mail a signed copy of the return with all wage/withholding documentation (i.e. Forms W-2, 1099, W-2G, 4852, etc) within 10 business days to:
      Internal Revenue Service, IVO
      P.O. Box 24012
      Fresno, CA, 93779

    3. Tell the taxpayer to write "COPY OF ORIGINAL RETURN" on the top of the return

    4. Advise the taxpayer to allow the 6 to 8 weeks normal processing time for receiving their refund (or correspondence) before calling again

      Note:

      DO NOT initiate an e-4442, Inquiry Referral, to IVO. Input a note in AMS to document the call. Include the taxpayer's name and telephone number in the AMS notes.

21.4.1.3.1.2  (07-01-2013)
Return Found/Not Processed

  1. The return was received, but not processed:

    If "Command Code (CC)" Shows Then
    "TXMOD" UXXX (unpostable return) in same line as TC 150 in pending transaction section. See (2) below and IRM 21.5.5, Unpostables. Research CC "UPTIN"
    "TXMOD/IMFOLT" TC 914, 916 and 918 ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
    "TXMOD/ENMOD"
    • ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    • ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    • ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    • TC 971 AC 617

    • ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    • Notice history shows CP 05, 05A.

    • A 4464C or 4115C letter was sent.

    • ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ "≡ ≡ ≡ " ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    • Check ENMOD to determine if a letter was prepared. If a letter was prepared and it has been 14 days or less from this date, inform the taxpayer he/she will receive a letter within the next two weeks. Do not prepare an e-4442, Inquiry Referral.

    • Advise the taxpayer their return was selected for review without disclosing the IVO involvement.

    • If the taxpayer has received the letter and it has not been more than 45 days for the 4115C, or 60 days for the 4464C, since the letter or notice was issued, advise the taxpayer to allow the 45 or 60 days requested in the letter/notice before contacting us again.

    • If 45 or 60 days, depending on the letter, have passed since the letter or notice was issued, initiate an e-4442, Inquiry Referral, to Austin Directorate only, ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ "≡ ≡ ≡ ≡ ≡ ≡ " ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    • Inform the taxpayer that you are forwarding their inquiry to the function that is reviewing their return and they should be contacted within the following time frame: begin with the date of the initial letter on CC ENMOD and calculate 60-90 days from that date. Give these calculated dates to the taxpayer in which to receive further information.
      For example: if the letter date on CC ENMOD is March 12, 60 days from then is May 11, and 90 days is June 10. Advise the taxpayer they should receive further information between May 11 and June 10.

    "TXMOD,
    ENMOD "
    RJ 150 (rejected return). see IRM 21.4.1.3.1.2.2, Returns Located on Rejects or Error Resolution System (ERS). Research CC "ERINV."
    "FFINQ" Return information (after no information on CC "SUMRY" or "IMFOL" ) and no FREEZE-INDICATOR. See IRM 21.4.1.3.1.2.2, Returns Located on Rejects or Error Resolution System (ERS).
    "FFINQ" Return information (after no information on CC "SUMRY" , but "IMFOLT" shows TC 971 AC 052, or AC 152) ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ "≡ ≡ ≡ " ≡ ≡ "≡ ≡ " ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ . See IRM 21.4.1.3, Refund Inquiry Response Procedures, to determine whether normal processing time frames have been met.
    "TRDBV" Return information (for IRS e-file).

    Note:

    Balance due e-file returns do not post until cycle 20, or one cycle after full payment is made, whichever occurs first.

    See IRM 21.4.1.3.1.2.1, Researching Rejected IMF E-filed Returns .

    Note:

    If CC TRDBV response screen TRDPG displays the following on the first page of the tax return or on the response screen itself: "Current-Status: GUF Voided/Deleted" , see IRM 21.4.1.3.1.1(2), Return Not Found. See IRM 2.3.73.1, Command Code CC TRDBV, for more information about CC TRDBV.

    Note:

    If taxpayer indicates the Routing Transit or Account Number shown on their return is incorrect, advise the taxpayer IRS employees cannot change or correct these numbers from the numbers shown on their return. In some circumstances, TC 971 AC 850 may be input to flip a direct deposit refund to a paper check. See IRM 21.4.1.4.7, Direct Deposits - General Information, for additional information.

  2. If module shows the original return went unpostable during processing, determine:

    If Then
    Unpostable condition has been corrected Advise taxpayer refund should be received within 9 weeks from the correction cycle. Advise the taxpayer not to call back before the 9 weeks have passed as no additional information will be available.
    Unpostable condition has NOT been corrected Use CC "UPCASZ" to notify the unpostable function of correction needed. See IRM 21.5.5.3.3, Responding to Taxpayer Inquiries on an Open Unpostable, for further guidance.
    Unpostable condition is UPC 147 RC 6 and CC ENMOD shows an unreversed TC 971 AC 506 and the miscellaneous field indicates IVO has identified the return not to be OMM. This is an indication of IVO involvement. Follow IRM 21.5.5.3.3, Responding to Taxpayer Inquiries on an Open Unpostable. If the time frames in IRM 21.5.5.3.3 have expired, prepare e-Form 4442 to IVO.
    Unpostable condition is UPC 147 RC 7 and CC ENMOD shows TC 971 AC 506 and the miscellaneous field contains OMMGB indicating that a good return has been filed for an account previously designated as OMM by IVO. This is an indication of IVO involvement. Follow IRM 21.5.5.3.3, Responding to Taxpayer Inquiries on an Open Unpostable. If the time frames in IRM 21.5.5.3.3 have expired, prepare e-Form 4442 to IVO.
    Unpostable condition is UPC 147 RC 8 and CC ENMOD shows an unreversed TC 971 AC 506 with a MISC field of CI OTHER, CI RC OMM or WI IVO (formerly AMTAP) OMM. See IRM 21.4.1.3.1.1, Return Not Found, for further guidance.

    Note:

    See IRM 21.5.5, Unpostables, and IRM 3.12.179, Individual Master File (IMF) Unpostable Resolution, for complete instructions.

  3. Information concerning a return received but not yet processed will be on the Fact of Filing (FOF) within three weeks of return receipt. The information will remain on the FOF for three to six weeks depending on processing times. Additional information on CC "FFINQ" can be found in IRM 2.3.13, Command Codes FFINQ, REINF & REMFE.

    Caution:

    Do not use information from CC "FFINQ" to advise the taxpayer that the return has been processed and the refund issued. Advise the taxpayer that the return is still in processing and emphasize that the easiest way to keep track of the status of their refund is through our automated systems "Where's My Refund" on IRS.gov, and our free mobile application "IRS2Go" (English and Spanish) for smart phones.

  4. Input CC "FFINQ" and review the screen for the following information:

    • RESEQUENCE IND — If present, indicates the return has been held for review or delayed for some reason. If this indicator is not present use Status–CYC for time frame. If "1" add one cycle to the Status-CYC time frame to complete processing and refund to be issued.

    • Status CD –

      If Then
      1 Refund should be issued in the cycle on Status-CYC (add one cycle if RESEQUENCE-IND=1)
      2 Return should post or go to ERS. Taxpayer should be contacted within four weeks of cycle date if additional processing information is required.
      3 Identifies ST 2 cases that are going to be processed. Refund should be issued in Status–CYC (add one cycle if RESEQUENCED-IND = 1).
      4 Identifies those returns that have entered ERS. Research CC "ERINV" , See IRM 21.4.1.3.1.2.3, Researching Rejected Returns with Command Code (CC) ERINV. If four weeks (cycles) have elapsed from the FFINQ status code and there is no new information on CC "ERINV" , check CC "NAMES" to see if the return was processed under a different TIN. If still not found, prepare an e-4442, Inquiry Referral to the Submission Processing ERS area. Advise taxpayer he/she will be contacted within 30 days.

      Note:

      If the original returns were processed in Andover, send referrals to Fresno; and if the original returns were processed in Philadelphia, send referrals to Kansas City.

      5 The return has been corrected by ERS. The refund should be issued in the cycle indicated by Status/CYC (add one cycle if RESEQUENCED-IND = 1). If four weeks have passed since the ST 5 cycle date and no new information on IDRS, advise the taxpayer to refile his/her return, attach all appropriate forms such as; schedules, forms, and copies of W-2's.

      Note:

      If CC TRDBV shows the return was E-filed and has a balance due, address the balance due issue with the taxpayer and advise that the return will complete processing on the earlier of the date full payment is received (after normal processing time) or cycle 20, and the taxpayer will receive a notice of the balance due. Do not have the taxpayer refile the return.

    • STATUS-CYC- The action cycle date (see above for specific examples if it is used).

    • RTN – The Routing Transit Number indicates an electronic funds transfer was requested, but does not necessarily mean the direct deposit will occur.

21.4.1.3.1.2.1  (04-04-2012)
Researching Rejected IMF E-Filed Returns

  1. CC "TRDBV" shows the reject codes for electronically filed (e-filed) tax returns. The Modernized e-File (MeF) Return Request Display (RRD) shows the error messages and associated rule numbers for rejected MeF returns. Descriptions for the reject codes and MeF business rules are located on SERP at Error Reject Codes. Also refer to Error Reject Codes (ERC) Chart for Individual Income Tax Returns and Suggested Solutions for additional guidance.

21.4.1.3.1.2.2  (04-09-2008)
Returns Located on Rejects or Error Resolution System (ERS)

  1. Rejects are returns or documents which cannot be processed, usually due to missing or incomplete information. ERS is the computer tracking system used by the Submission Processing Centers Reject/Suspense Unit to categorize and resolve rejects.

  2. CC "ENMOD" and CC "TXMOD" will aid in identifying cases in the Rejects Inventory. "ENMOD" and "TXMOD" will display the following information:

    1. RJ 150: Appears in the Pending Return Section with an ERS Status Code on CC TXMOD and the Transaction Section on CC ENMOD, see Exhibit 21.4.1-1, Error Resolution System (ERS) STATUS CODES. It identifies a return sent to the Reject Unit because it cannot be processed.

    2. Immediately below the RJ 150 is the Reject Sequence Code: "C" =Closed, "O" = Open, "S" = Suspense, or "E" = ERS workable record. If a "C" shows, check CC IMFOLT to see if the refund has been issued. If a return has not been corrected within eight weeks of the RJ 150 date, it is considered overaged.

    3. 0000000000: Indicates the Reject Sequence Number.

    4. ERS-Status 421: see Exhibit 21.4.1-1, Error Resolution System (ERS) STATUS CODES.

  3. CC FFINQ aids in determining whether a return has been sent to ERS. See IRM 21.4.1.3.1.2.4, Error Resolution System (ERS) STATUS CODES.

    Caution:

    Be careful not to confuse the filing status code with the "FOF-Status-Code."

  4. CC "UPTIN" will identify when a return is sent to the Rejects Unit by the Unpostable Function. The return will be identified with the Unpostable Resolution Code (UPC) "8" .

21.4.1.3.1.2.3  (10-01-2004)
Researching Rejected Returns with Command Code (CC) ERINV

  1. Once it has been determined the return is in rejects, CC "ERINV" must be used to complete the research. This command code will provide you with the current status and the days return has been open in the Error Resolution System (ERS).

  2. To request a screen display via CC "ERINV" , use either the primary TIN or the return DLN. Input the TIN without hyphens or the DLN with hyphens. See CC "ERINV" on the Command Code Job Aid.

    Reminder:

    CC "ERINV" is not a universal access command code. If the information is not available on your local campus file, you must input the @xx to get information.

  3. The CC "ERINV" displays the following information:

    • Batch Number

    • Alpha Block Control Number

    • DLN

    • Primary TIN

    • Tax Period

    • ERS Status Code. See IRM 21.4.1.3.1.2.4, Error Resolution System (ERS) Status Codes

    • Total number of work days remaining in the suspense period

    • Total calendar days item has been in ERS

    • Julian Date of receipt in ERS

21.4.1.3.1.2.4  (07-12-2012)
Error Resolution System (ERS) Status Codes

  1. Review the CC "ERINV" screen for the status codes. The following provides some of the most common ERS status codes and their time frames. Be sure to give taxpayer the correct time frames via telephone or "C" letter. For additional codes and time frames, see Exhibit 21.4.1-1, Error Resolution System (ERS) STATUS CODES, or Exhibit 21.4.1-2, Error Resolution System (ERS) Action Codes (For use by ERS/Reject Unit).

    Note:

    For any ERS Status Code not specifically noted below, allow the normal return processing time frame to pass before submitting a Form 4442, Inquiry Referral, to ERS. If the original return was processed in Andover, refer to Fresno; if the original return was processed in Philadelphia, refer to Kansas City.

    If the Status Code is And Then
    100 It is an unworked error record that is usually a simple problem that is corrected in three to four days.
    1. Advise taxpayer to allow normal processing time and to visit Where's My Refund at irs.gov, or from the IRS2Go phone application from a smart phone, for current information. Where's My Refund can inform the taxpayer of the projected date of the refund. Also advise the taxpayer not to call before the normal processing time frames have passed as no additional information will be available.

    2. If problem is not resolved, taxpayer will receive a letter during normal processing time explaining any additional requirements.

    221 The taxpayer received a call/correspondence. The case is in unworkable suspense and waiting for the taxpayer's response.
    1. Advise taxpayer to provide requested information; AND

    2. Advise them of the four week time frame. The case will remain in suspense for 40 workdays.

    221 The taxpayer did not receive a call or correspondence.
    1. Check ENMOD to determine if a letter was prepared. If a letter was prepared, and it has been 14 days or less from this date, inform the taxpayer he/she will receive a letter within the next 2 weeks. Do not prepare Form 4442, Inquiry Referral, until more than 14 days have passed from letter preparation. If the address has changed, see (5) below.

    2. If a letter was prepared more than 14 days ago, prepare Form 4442, Inquiry Referral, and fax to ERS/Rejects. Advise taxpayer to expect a confirmation letter within three weeks.

    3. If ENMOD indicates no letter was sent, and ERINV shows the remaining days in suspense is greater than 30 days, DO NOT prepare a Form 4442, Inquiry Referral. Inform the taxpayer they will receive a letter within the next 2 weeks. If the address has changed, see (5) below.

    4. If ENMOD indicates no letter was sent, and ERINV shows the remaining days in suspense to be 30 days or less, prepare Form 4442, Inquiry Referral, and fax to the appropriate ERS/Reject Unit. Advise taxpayer to expect a letter within three weeks.

    5. Verify taxpayer's address. If address has changed, indicate new address on Form 4442, Inquiry Referral. See IRM 3.13.5.28, Address Changes from Oral Statements/Telephone Contact, for oral statement authority information. If the taxpayer does not meet oral statement authority for the address change, advise the taxpayer to obtain Form 8822, Change of Address, per IRM 21.3.6.4.1, Ordering Forms and Publications, and mail the form to the center where they filed their return. If the taxpayer filed electronically, provide the IRS address based on which state they would have sent a paper return.

    Note:

    Taxpayers will be contacted via Letter 12C, Individual Return Incomplete for Processing: Form 1040, Form 1040A and 1040EZ. CC ENMOD will display the selective paragraphs input on these letters except for selective paragraph 8 which is used for a narrative fill-in.

    If the Status Code is: And Then
    321 No reply has been received 1. Reject Unit will work the case without the requested information.
    2. It should be worked in five working days.
    3. Advise taxpayer if they do not receive correspondence or the refund in four weeks to contact us again.
    421 Correspondence has been received. Cases should be worked in five working days. Taxpayer should receive a refund within four weeks.

    Note:

    Since returns are in ERS status 221 for up to 40 workdays, the four week time frame for ERS status codes 321 and 421 begins after the 40 workday suspense period has elapsed.

    Example:

    CC ENMOD shows a 12C letter was sent April 1, 2013 (Julian date 091). The 40 workday suspense period ends May 27, 2013 (Julian date 147). The four week time frame begins May 27, 2013 and ends June 24, 2013 (Julian date 175).

  2. Make referrals to ERS/Rejects on Form 4442, Inquiry Referral, when:

    1. The case is open in ERS/Rejects status 221 and more than 4 weeks have passed since the taxpayer responded to the notice, OR, the case is open in ERS/Rejects status 321/421 and more than 4 weeks have passed since the taxpayer was told they would receive either a refund or a notice. Explain to the taxpayer there is a delay in processing the return and you are contacting the processing center. Advise the taxpayer he/she will be contacted within 30 days.

    2. Correspondence was sent to the taxpayer requesting missing information and he did not receive the correspondence. If the taxpayer has moved, indicate the new address on the Form 4442, Inquiry Referral. Inform the taxpayer he/she will be contacted within 21 days.

    Reminder:

    If ERS/Rejects has closed the case, they cannot help the taxpayer.

21.4.1.3.2  (07-01-2013)
Return/Refund Located

  1. The return has been processed:

    If the Command Code (CC) Shows
    "SUMRY" ST 12
    "TXMOD" TC 150 on first line of Returns Transaction section
    "REINF" A check issued or direct deposit date
    "IMFOL" /"BMFOL" TC 150
  2. Command Codes IMFOLT/BMFOLT and TXMOD will indicate whether a TC 846 refund is issued via paper or direct deposit. TC 846 will appear on IMFOLT approximately one cycle before TXMOD. Command codes IMFOLT/BMFOLT and TXMOD will also show this indicator for a TC 840, manual refund.

    Caution:

    If CC TXMOD indicates an open control base, see IRM 21.5.2.3, Adjustment Guidelines, for guidance.

    Caution:

    ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    Caution:

    ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ "≡ ≡ ≡ " ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    Reminder:

    FMS is responsible for offsetting tax refunds to child support, non-tax Federal agency debts, state income taxes and unemployment compensation debt. Offsets will occur after IRS has certified a refund for issuance TC 840/846, but before the check is actually sent or deposited.


    Research both primary and secondary TINs to determine possible offset. Advise taxpayers with the following debt indicators on CC INOLE an offset may occur:

    • I - Taxpayer owes IRS debt or freeze

    • F - Taxpayer owes TOP debt, or

    • B - Taxpayer owes both agencies

    Use the following statement or similar notification:" The refund may be offset to satisfy other outstanding liabilities." See IRM 21.4.6, Refund Offset, for more detailed information.

    Note:

    The refund may be held by the Delinquent Return Refund Hold Program if the taxpayer has a delinquency for a prior year. See IRM 25.12.1.2, How to Identify Delinquent Return Refund Hold, for additional information. Once it is determined the refund in question involves a Delinquent Return Refund Hold, do not address the case in any way. Advise the taxpayer to call 1-866-897-3315. This is the number provided on the CP 63 the taxpayer will receive or has received. This telephone number is for the Delinquent Return Refund Hold program and should not be provided to other taxpayers.

    Caution:

    With accelerated refund processing through CADE 2, there are conditions under which accounts will not reflect the TC 846 until a systemic refund hold expires. See IRM 3.30.123.24(10), Processing Timelines Criteria for CADE 2, for additional information.

  3. Command Codes IMFOLT/BMFOLT and TXMOD will indicate when a refund (TC 846 only) is issued. For IMF accounts, the indicator DD:0 (paper check) or DD:9 (direct deposit) will appear near the right margin either on the same line as the TC 846 or the next line down. If the taxpayer requests their refund be deposited into more than one account, each deposit will reflect a TC 846 with a split refund indicator of 1, 2, or 3. If the taxpayer requests only one direct deposit or a paper check, the indicator will be 0. Below is an explanation of the indicators:

    • 0 - One direct deposit refund or paper check

    • 1 - First refund of multiple refunds

    • 2 - Second refund of multiple refunds

    • 3 - Third refund of multiple refunds

    Using the following table, determine when the refund was or will be issued and advise taxpayer. For additional information on CADE/CADE 2 processing, see paragraph 4 and 5 below.

    Note:

    Refer to the chart in Exhibit 21.4.2-1(10), Command Code (CC) "CHKCL" INPUT, if the refund was issued during an accelerated cycle.

    If And Then advise taxpayer
    Paper check Return information found via CC "IMFOLT" /"BMFOLT" , "TXMOD" or "REINF" The issue date of the refund.
    • For current year and all prior year IMF returns, the issue/mailing date is found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE:" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .

    • Business Master File (BMF), the issue date is one day after the TC 846 date.

    • Manual refund, the taxpayer should receive the refund within 10 calendar days from the RFND-PAY-DATE on CC IMFOLT or the RFND-PYMT-DT on CC TXMOD.

    Note:

    If the taxpayer asks how long it will take to receive their refund, inform MFJ taxpayers to allow 2 weeks and all other taxpayers to allow 4 weeks from the issuance date before contacting us again.

    Note:

    If the issue date falls on a legal, federal holiday, the refund will be issued on the day before the holiday.

    Electronic Funds Transfer (EFT) direct deposit Return information found on "IMFOBT" or "TXMOD" Deposit date of refund.
    • For all current and prior year IMF returns, the deposit date is found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE:" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .

    • Business Master File (BMF), the deposit date is six days before the TC 846 date.

    Note:

    If the issue date falls on a legal, federal holiday, EFT refunds are dated on the holiday, but dependent on the financial institution, may not be credited until the following day.

    EFT/direct deposit Return information found on CC "REINF" (Generated Refund Check Scheduled) Deposit date "REF CHK SCHEDULED" date.
  4. For returns processed prior to January 2012, the literal CADE will appear in the upper right hand corner of CC IMFOLI and IMFOLT if the account is currently on CADE. However, the CADE literal is not an indicator that the refund was processed through Cade. This literal does not appear on returns processed after January 1, 2012, through CADE 2.

  5. Unlike IMF processing which occurred in weekly cycles, CADE/CADE 2 processing occurs on a daily basis (some CADE 2 accounts are processed on a weekly basis). CADE/CADE 2 cycle dates will carry an additional two digit field to indicate the day of the week processing occurred. The cycle date will post in a YYYYCCDD format. IMF accounts will be signified by a 08 in the DD field or the field will be blank.
    CADE days of the week will be signified by:

    • 01 = Monday

    • 02 = Tuesday

    • 03 = Wednesday

    • 04 = Thursday

    • 05 = Friday

    • 06 = Saturday

    • 07 = Sunday

    • 08 or blank = IMF

    Example:

    A TC 846 in CADE cycle "20052303" indicates processing occurred Wednesday of the 23rd cycle in year 2005


    CADE 2 days of the week will be signified by:

    • 01 = Friday

    • 02 = Monday

    • 03 = Tuesday

    • 04 = Wednesday

    • 05 = Thursday

    Example:

    A TC 846 in CADE 2 cycle "20120503" indicates processing occurred Tuesday of the 5th cycle in the year 2012.

  6. If research indicates the refund check was recently issued or scheduled to be issued, and the taxpayer indicates a change of address but does not meet oral statement criteria, advise the taxpayer to complete Form 8822, Change of Address. If the taxpayer requests that the telephone assistor send the form, offer the alternate methods for getting the form located in IRM 21.3.6.4.1, Ordering Forms and Publications. Inform the taxpayer they could save 7-15 days by downloading the form from irs.gov since they would not have to wait for it to be delivered by mail. Also advise the taxpayer the check may be delivered to the old address and will be re-issued to the current address if it is returned to the IRS. If the taxpayer submitted a change of address to the U. S. Postal Service, the check should be delivered to the new address. For complete guidelines regarding oral statement address change, see IRM 3.13.5.28, Address Changes from Oral Statements/Telephone Contact. If the account has an S- freeze, follow procedures in IRM 21.4.3.4.3, Undeliverable Refund Checks.

  7. If research indicates the refund was issued, see IRM 21.4.1.3.4, Refund Issued, But Lost, Stolen, Destroyed or Not Received.

21.4.1.3.3  (10-01-2007)
Multiple Refunds Issued From the Same Module in the Same Cycle

  1. Refunds can be issued to both spouses from the same module in the same cycle or a taxpayer can request their refund be deposited into more than one account. For more information on Split Refunds, see IRM 21.4.1.4.7, Direct Deposits - General Information.

  2. Injured spouse claims received with the original return can be adjusted at the same time using specific reference numbers. See IRM 21.4.6.5.9.3, Form 8379 Filed with Original Return.

  3. TC 846 for primary and secondary Social Security Numbers (SSN) will carry the same DLN, therefore both refunds will be stopped when intercepting with CC "NOREF" .

  4. Except on split refunds, refund claims input using CC "CHKCL" on more than one refund issued in the same cycle often "OOPS" . It may be necessary to submit the claim through Payments, Claims and Enhanced Reconciliation (PACER) or Treasury Check Information System (TCIS).

21.4.1.3.4  (07-01-2013)
Refund Issued But Lost, Stolen, Destroyed or Not Received

  1. If the taxpayer states he received the check and the check was lost, stolen, or destroyed and a TC 840/846 is present on the module, refer to IRM 21.4.2, Refund Trace and Limited Payability.

  2. If research shows a refund has been generated and the taxpayer states he did not receive the check, use the following "If–And–Then" table to assist in resolving the issue:

    If taxpayer states he/she did not receive a refund And the date is Then
    TC 846 is present on the module and a paper check was issued Less than two weeks from the mailing date which is found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE:" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .
    • Advise taxpayer to call back when four weeks from the mailing date has passed, except married filing joint taxpayers.

    • Advise married filing joint taxpayers to call back when two weeks from the mailing date has passed.

    TC 846 is present on the module and a paper check was issued More than two weeks but less than four weeks since the mailing date which is found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE:" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .
    • Married filing joint taxpayers may file Form 3911, Taxpayer Statement Regarding Refund, if it has been at least 2 weeks since the mailing date. See IRM 21.4.2.4.1, Form 3911, Taxpayer Statement Regarding Refund, for additional guidance regarding Form 3911.

    • Advise all others to call back when four weeks from the mailing date has passed.

    TC 846 is present on the module and a paper check was issued More than four weeks since the mailing date which is found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE:" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" . See IRM 21.4.2, Refund Trace and Limited Payability. If married filing joint, see the box directly above for procedures.
    TC 846 is present on the module and the refund is a Direct Deposit (DD) More than five calendar days since scheduled DD date
    • Scheduled date of DD is found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE:" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .

    Verify the Routing Transit Number (RTN) or numbers if the deposit is a split refund, See IRM 21.4.1.4.7.1, Direct Deposit of Refunds.
    Initiate refund trace per IRM 21.4.2, Refund Trace and Limited Payability, if appropriate.
    TC 846 is present on the module and the refund is a Direct Deposit (DD) The caller states they were told by their bank that their refund was returned to the IRS.
    • Follow the IF and THEN chart in IRM 21.9.1.12.3, Responding to Taxpayer Inquiries, or

    • If the conditions in IRM 21.9.1.12.3, do not exist, follow IRM 21.4.1.4.7.1, Direct Deposit Refunds.

    TC 840 Manual Refund

    Note:

    If TC 840 carries a Blocking Series and Serial Number 9XXXX series with a Julian Date less than 400, it is a "Dummy TC 840" and no actual check has been issued. Research for the SSN where the refund was issued.

    10 calendar days from the "RFND-PAY-DATE" on CC IMFOLT or the "RFND-PYMT-DT" on TXMOD, either of which is located below the TC 840 Advise the taxpayer to file Form 3911, Taxpayer Statement Regarding Refund. See IRM 21.4.2.4.1, Form 3911, Taxpayer Statement Regarding Refund, for additional guidance regarding Form 3911. See exception below for taxpayers located in a disaster area.
    TC 740 Undelivered Refund   See IRM 21.4.3, Returned Refunds/Releases, for resolving undelivered refunds.
    TC 841 Returned/Stopped Refund  
    1. Determine cause of the refund stop

    2. Attempt to resolve issue

    3. See IRM 21.5.6, Freeze Codes for resolving freeze releases.

      Note:

      Refer to Exhibit 21.4.2-3, Reason for Cancellation Codes and Generated Account Information, to determine the cause of refund cancellation.

    TC 898/899 TOP Offset   See IRM 21.4.6.4.2, Treasury Offset Program (TOP) Offset.

    Note:

    If the taxpayer alleges preparer fraud as the reason for non-receipt of the refund, advise the taxpayer that while the IRS will conduct a trace to determine the disposition of the refund, the restoration of the refund to the taxpayer may become a civil matter.

    Note:

    When sending a Form 3911 to the taxpayer, enclose a return envelope with your affiliated Refund Inquiry Unit's address. Input the following history item on the account:

    Example:

    H,39112TP

    Exception:

    If the taxpayer is located in a Presidentially-Declared Disaster area and the check is issued between 10 days before the disaster and 30 days after the disaster, a Form 3911 is not required. Oral authority should be taken from all taxpayers including those who filed a joint return.

  3. If refund trace action is required, follow procedures in IRM 21.4.2, Refund Trace and Limited Payability.

  4. If the issue involves a change of address, see IRM 21.4.1.3.2, Return/Refund Located, and IRM 21.4.3.4.3, Undeliverable Refund Checks, for additional information.

21.4.1.3.5  (10-01-2009)
Return Processed But No Address on File

  1. When a return attempts to establish a module on master file without an address, the following occurs:

    1. The return goes unpostable, see IRM 21.5.5, Unpostables.

      Note:

      If taxpayer calls concerning their refund and research indicates the return has gone unpostable due to an incorrect address, provide Unpostables with the taxpayer's current address. For further instructions regarding an oral address modification, see Rev. Proc. 2010-16. Advise the taxpayer of your actions and when to expect their refund.


    2. The Unpostable function forces the return to post with the address of the Campus where the return was processed.

    3. An "S-" Freeze generates instead of a refund.

      Note:

      This condition is identified with the posting of a "S-" freeze without a TC 740 posted to the account. This posting also generates a SCADDRESS transcript.

      Reminder:

      If the taxpayer inquires on the status of their refund and ENMOD indicates SCADDRESS, obtain the taxpayer's new address and input CC CHK64 to release the "S-" freeze. Advise taxpayer they should receive their refund in 4-6 weeks. If it appears a hardship situation may exist, see IRM 21.4.1.1(5), Refund Research Overview.

  2. For additional information, see IRM 21.4.3.4.3.1, Undelivered Refund Notices, Computer Paragraph (CP) 31 for Individual Master File, CP 231 for Business Master File, or IRM 21.4.3.4.3.2, Local Undelivered Refund Check Listing (URCL).

21.4.1.3.6  (11-20-2012)
External Leads Program

  1. Through the External Leads Program, the IRS receives external communications about questionable tax refunds identified by financial institutions, brokerage firms, government and law enforcement agencies, state agencies, tax preparation entities and various other sources. These leads may involve Treasury checks, refund anticipation loans or checks, direct deposits and pre-paid debit cards.

  2. If the caller states they were told by their bank that their refund was returned to the IRS, follow the procedures in IRM 21.9.1.12.3, Responding to Taxpayer Inquiries.

21.4.1.4  (10-15-2008)
Resolving Return Discrepancies

  1. On occasion the taxpayer must be contacted to resolve return discrepancies.

    If taxpayer inquiry via And Then
    Correspondence  
    1. Contact the taxpayer by phone or prepare "C" Letter requesting all information required to resolve the case.

    2. Suspend case for 40 working days.

    No response to "C" letter after 40 days  
    1. Send closing letter advising taxpayer information is required to complete processing.

    2. Close Case.

    Telephone Case can be worked without taxpayer signature
    1. Obtain missing information.

    2. Resolve case.

    Taxpayer's signature required to resolve case  
    1. Request taxpayer to respond to IRS correspondence and

    2. Return signature document in envelope provided.

    Note:

    If Submission Processing does not receive a response to their inquiry, they will attempt to process the return without the information. If the document or return cannot be processed, they will send another letter to the taxpayer.

21.4.1.4.1  (04-03-2007)
Refund Not Sent or Amount Differs

  1. If your research indicates that the return was processed but the refund was never issued, or the amount was not what the taxpayer expected, the problem may be due to tax offsets, math errors, freeze conditions, invalid SSN or TIN, or credit elect, among other things.

  2. After completing the research, advise the taxpayer why the amount differed or why refund was not sent.

    Reminder:

    If a "–Z" Freeze is present, see IRM 21.5.6.4.52, –Z Freeze.

  3. If the refund amount, TC 840/846 agrees with the amount shown on the taxpayer's return but the taxpayer received less, a non-tax offset was made through the Treasury Offset Program (TOP).

    1. TC 898 with the amount of the offset will appear on CC "IMFOL" the Monday following the direct deposit or check mailing date.

    2. FMS sends an offset notice in the same envelope as a paper refund check or separately if a direct deposit was made or the entire amount was offset. If the notice was not received, have the taxpayer contact the TOP Help Desk at 1-800-304-3107. (DO NOT GIVE THE FMS HELP DESK NUMBER LOCATED IN IRM 21.4.1.4.9.3, Refund Check Lacks Signature Seal.) Refer to IRM 21.4.6, Refund Offset.

      Note:

      This is the only FMS number the taxpayer should call regarding their TOP issue. Do not provide the taxpayer with other FMS numbers to call.

  4. The following will assist you in responding to a taxpayer who received a refund, but had expected a different amount:

    If the refund is And Then
    Less than expected. Research indicates amount is correct.
    1. Explain difference to taxpayer.

    2. Advise taxpayer to cash check.

    Less than expected, however the TC 840/846 on IDRS is same as refund shown on the return. Taxpayer received less than TC 840/846 amount on IDRS.
    1. Determine if a TOP non-tax offset occurred.

    2. Advise taxpayer to contact agency on FMS offset notice, if received.

    3. If no notice received, advise taxpayer to call the TOP Help Desk at 1-800-304-3107.

    More than expected. IDRS TC 840/846 is different from refund shown on return.
    1. If IRS error or discrepancy cannot be determined, advise taxpayer to return voided refund check for correction. See IRM 21.4.3, Returned Refunds/Releases, to avoid possible penalty and interest.

    2. If taxpayer error, provide explanation and advise taxpayer to cash check.

    Taxpayer believes they are not entitled to a refund. Check not cashed.
    1. Determine if taxpayer is entitled to refund.

    2. If taxpayer is not entitled, advise taxpayer to return voided refund check with an explanation. Refer to IRM 21.4.5, Erroneous Refunds.

    3. If entitled, provide explanation and advise taxpayer to cash the check.

    4. See IRM 21.4.3, Returned Refunds/Releases.

    Check cashed.
    1. If research determines taxpayer is entitled to a refund, provide explanation.

    2. If taxpayer not entitled, see IRM 21.4.5, Erroneous Refunds.

21.4.1.4.2  (10-01-2003)
Offsets

  1. For information regarding Debtor Master File (DMF), Treasury Offset Program (TOP) Offset Bypass Refund, Hardship and Injured Spouse, see IRM 21.4.6, Refund Offset.

21.4.1.4.3  (10-01-2002)
Math Errors

  1. A taxpayer's refund may be less than expected or not received due to an error or an item being disallowed on the return. To identify and resolve math errors, see IRM 21.5.4, General Math Error Procedures.

21.4.1.4.4  (04-04-2012)
Invalid SSN/TIN

  1. If the TIN on the return does not pass validity checks on IDRS, it is considered invalid.

    Caution:

    The invalid condition must be resolved before the refund can be issued. Follow the procedures in IRM 21.6.2.4.1.3, Resequencing Action Required, to identify and resolve invalid TIN problems.

21.4.1.4.5  (04-03-2007)
Freeze Conditions

  1. If your research shows that the account is in "Status 12" with a credit balance on the module, a freeze code will be on the account. This can be identified on CC "IMFOL" , "BMFOL" , "TXMOD" or "SUMRY" with an alpha character (A–Z). For information on resolving these accounts refer to IRM 21.5.6, Freeze Codes.

    Reminder:

    If a "–Z" Freeze is present, see IRM 21.5.6.4.52, –Z Freeze.

21.4.1.4.6  (05-20-2009)
Credit Elect Problems

  1. A taxpayer may elect to have all or a portion of an overpayment credited to the next year's estimated tax (ES). The "credit elect" can be recognized by TC 836 on the current year's module and TC 716 on the following year's module. Access CC "REINF" or "IMFOL" if there is no data on CC "TXMOD" .

  2. When a taxpayer inquires about a refund and research shows the overpayment was applied as a credit elect for the following year, the overpayment is only refundable if:

    1. It was applied as a credit elect to the following year due to a processing error.

    2. The taxpayer is not liable for ES, and he/she erred in entering the overpayment as a credit elect.

    3. The taxpayer files a balance due superseding return and requests a credit elect reversal to satisfy the balance due. See IRM 21.4.1.4.6.1 Credit Elect Reversals, for additional information.

    4. The taxpayer is liable for ES but proof of hardship is provided. See IRM 21.4.4.2, Why Would A Manual Refund Be Needed?.

      Caution:

      If none of the instances in (2) above apply, the election to have the overpayment applied as a credit elect is binding and the credit cannot be reversed.

21.4.1.4.6.1  (11-07-2012)
Credit Elect Reversals

  1. In order to process a credit elect reversal for IMF accounts, the request must be received:

    • Before the return for the credit year has posted, and

    • Before March 1, of the year following the year to which the credit was applied

      Example:

      A request to reverse a credit elect from a 2013 account back to the 2012 account must be received before the 2013 return has posted and by March 1, 2014.

      Exception:

      Requests received after March 1 can be considered if one of the conditions below apply:

    • There was an error in processing that can be verified, or

    • If the taxpayer erred on entering the overpayment as a credit elect, does not have an ES tax requirement, and the taxpayer does not have a filing requirement as determined by the income information on CC IRPTR (IRPTR information is usually available by June, or July at the latest, so anything prior to that would not involve a filing requirement determination).

    Note:

    When reversing credit elects, the refund will be issued as a direct deposit if the taxpayer requested direct deposit on his original return and the reversal occurs in the same processing year. To prevent direct deposit of the subsequent refund, input TC 971 AC 850 on the account when inputting the credit elect reversal (TC 832).

  2. Follow the chart below to determine if credit interest should be paid when reversing the credit.

    If the taxpayer states And Then
    The overpayment was entered correctly on the refund line. You have ordered the return and found no entry on the credit line.
    1. Reverse the credit and allow credit interest to compute.

    2. Input a credit transfer transaction using CC ADD/ADC48.

    3. Use TC 832 to reverse the posted TC 836 or TC 830.

    4. Use TC 712 to reverse the posted TC 710 or TC 716.

    5. Do not input secondary TC 770 for .00.

    Taxpayer erred, but is entitled to the refund  
    1. Reverse the credit.

    2. Input secondary TC 770 for .00 to restrict credit interest.

    3. To input the reversal, use ADD/ADC48. Debit with TC 712, credit with TC 832 (if moving the credit back to where it came from) or TC 710 (if moving to a different module).

  3. Do not reverse credit elect to offset additional tax or penalties subsequently assessed on the year of overpayment unless the request is on a superseding return (amended return received on or before return due date or extended due date). When working correspondence use the Letter 247C, Taxpayer Advised Re: Estimated Taxes/Refund, or call the taxpayer to explain that the credit elect is binding.

  4. Since the taxpayer has complete control over these payments, any anticipated reduction in tax or realization of excessive payments made can be resolved by reducing or eliminating subsequent ES payments.

  5. For information regarding credit elects on BMF accounts, see IRM 21.7.4.4.5, Estimated Tax Overpayment, Credit Elect - General.

21.4.1.4.7  (03-18-2013)
Direct Deposits — General Information

  1. A direct deposit indicator will post with the TC 846 and can be identified on TXMOD/IMFOLT as DD:9.

  2. Effective January 1, 2008, if a taxpayer files their tax return and requests a direct deposit of their refund, but later determines the return contained an incorrect Routing Transit Number or account number, the direct deposit (direct deposits are only allowed on a current tax year return, for example a 2012 tax return processed in 2013, or a 2013 tax return processed in 2014) may be stopped by inputting TC 971 AC 850 prior to (and in some cases after, if a freeze condition exists (see below)) the posting of the return (TC 150) on CC IMFOLT. Input of a TC 971 AC 850 will result in the issuance of a paper refund check to the address shown on the taxpayer's entity module. If the return has posted, the direct deposit refund cannot be prevented by input of TC 971 AC 850, UNLESS the refund was frozen with (-R, P- freeze, etc) as long as the TC 971 AC 850 posts before (or in the same cycle) the refund will post. See IRM 21.4.1.4.7.1(3), Direct Deposit of Refunds for further guidance.

    If ... And ... Then ...
    ELF return CC TRDBV or MeF Return Request Display (RRD) shows Refund Anticipation Loan (RAL) Indicator of "1" or Refund Anticipation Check (RAC) indicator of "2" Advise taxpayer the refund cannot be issued as a paper check. Questions concerning RAL or RAC refunds should be directed to the preparer.
    CC TRDBV or MeF Return Request Display (RRD) does not show a RAL indicator of "1" or a RAC indicator of "2"
    • Input TC 971 AC 850 if the TC 150 has not posted on CC IMFOLT.

    • Advise the taxpayer you are requesting the issuance of a paper check, however, due to timing issues, the request may be too late and a direct deposit may still be issued.

    • Advise the taxpayer they should also contact the financial institution.

    Note:

    Since the TC 971 AC 850 takes two cycles to post, consideration must be given to posting cycles when inputting TC 971 AC 850 on masterfile accounts

    CC IMFOLT shows TC 150 already posted Advise the taxpayer the refund cannot be issued as a paper check
    Paper return
    • CC IMFOLT does not show a TC 150 posted

    • CC TXMOD does not show a pending TC 150

    • Input TC 971 AC 850

    • Advise the taxpayer you are taking the necessary steps to have their refund issued as a paper check.

  3. Effective January 1, 2010, and on tax year 2009 returns, taxpayers could elect to get their tax refund in the form of Series I U.S. Savings Bonds. Effective January 1, 2011, and on tax year 2010 and subsequent returns, taxpayers have more options available for purchasing savings bonds.

    • Form 8888, Allocation of Refund (Including Savings Bond Purchases, will now give the taxpayer the option to designate up to 3 unique savings bond elections: 1 for the taxpayer themselves, and 2 designations can be as gift bonds to someone other than the taxpayer and/or as a purchase for a beneficiary.

    • If the amount of the refund is increased because of a math error, the savings bonds will be issued and the additional amount will be refunded in the form of a paper check or direct deposit if designated on the Form 8888. See Form 8888 for additional information.

    • The purchase request must be in increments of $50 and may not exceed $5,000. If either of these conditions are not met, or if there was a math error on the return that reduces the amount of refund, or invalid information on the Form 8888, per IRM 21.4.1.4.7.1(1), Direct Deposit of Refunds, the refund will be issued as a paper check.

      Note:

      The $5,000 limitation is for purchases of any series U.S. Savings Bonds in any calendar year whether as part of the refund or as a direct purchase through the U.S. Treasury Department at www.treasurydirect.gov/individual.

    • Except in the case of a math error reduction, any amount over and above the $50 increment may be direct deposited into a savings, checking or IRA account, or refunded as a paper check.

      Example:

      For example, if the refund is $275, the taxpayer can choose to get savings bonds in the amount of up to $250, and the remaining $25 can be direct deposited into a savings, checking or IRA account or refunded in the form of a paper check.

    Note:

    Savings bonds cannot be purchased on late filed or amended prior year tax returns.

  4. On January 1, 2011, Treasury launched a "pilot" program called MyAccountCard (MAC) offering a selected group of low- to mid-income taxpayers the opportunity to receive their refund in the form of a prepaid debit card. Only taxpayers who received a letter from Treasury were eligible for the program. The letter provided them with application instructions. There is no indicator on the tax module to identify these refunds, and the refund trace process will follow the same procedures as any other direct deposit. Treasury offered variations of MyAccountCard through three different financial institutions in order to evaluate which product features, fee structures and marketing messages generate the greatest positive response from taxpayers. The participating financial institutions were:

    Financial Institution, Location Routing Transit Number Telephone Number
    US Bank (ACH), St Paul MN 121139313 (specific to MAC) 1–800–937–6310
    PNC Bank, Pittsburgh PA 231371579 (specific to MAC) 1–866–453–5071
    Western Union (Metabank), Sioux Falls SD 073972181 (specific to MAC) 1–800–717–7228

    Note:

    The MyAccountCard debit card refund program was discontinued as of January 1, 2012.

  5. Various tax return preparers also offer non-Treasury prepaid debit cards as a method to receive tax refunds. Taxpayers who want to select this method for their refund should contact their preparer or the issuer of the debit card for information regarding the use of these cards for receiving refunds. This includes the routing transit number and account number, any fees associated with the card's use, how to enter the request on the tax return in the direct deposit section of the refund, and limits on the amount of deposits and withdrawals. Refund traces on these accounts will follow the same procedures as any other direct deposit. See IRM 21.4.1.4.7.4, Non-Receipt, Lost, Stolen or Destroyed Prepaid Debit Cards, for more information.

  6. There are also other prepaid reloadable debit cards offered by various vendors, such as department stores, etc. As in the case of the preparer debit cards, taxpayers inquiring about using a prepaid debit card to receive their tax refund should be directed to the vendor offering the card. The vendor will be able to provide information such as the routing transit number and account number, any fees associated with the card's use, how to enter the request on the tax return in the direct deposit section of the refund, and limits on the amount of deposits and withdrawals. Refund traces on these accounts will follow the same procedures as any other direct deposit. See IRM 21.4.1.4.7.4, Non-Receipt, Lost, Stolen or Destroyed Prepaid Debit Cards, for more information.

  7. Taxpayers can request their refund be deposited (split) into as many as three bank accounts/investment vehicles; a combination of savings, checking, Individual Retirement Account (IRA), or Series I Savings Bonds. Split Refunds will be allowed on all Forms 1040 series (paper and electronic returns). Taxpayers who want their refund deposited into more than one account will be required to complete a Form 8888, Allocation of Refund (Including Savings Bond Purchases). The request for split refund will be honored if all of the following conditions are met:

    • The return is for the current tax year.

    • The refund is issued in the same cycle that the return is processed.

    • The module does not contain any condition that would cause the refund to be frozen (e.g., Injured Spouse Claim).

    • The bank account numbers on the Form 8888 are all valid (e.g., correct amount of numbers).

    • The savings bond request is for tax year 2009 or subsequent and is in increments of $50 with a maximum of $5,000.

    Caution:

    Under current programming for split refund requests made through Form 8888, IMF only stores the information from the first bank account on Form 8888. Thus, if the refund is held beyond the first cycle, a split refund does not occur, and the entire amount is direct deposited into the first bank account listed on Form 8888.

    Note:

    If the above conditions are not met, a paper check will be issued. See IRM 21.4.1.4.7(7) below for the exception regarding invalid bank account numbers.

    Note:

    Taxpayers should be informed that they should not agree to have any portion of their refund direct deposited into an account that is not in their name (e.g., tax return preparer's account). If Form 8888 contains account information that does not belong to the taxpayer, the resolution may become a civil matter between the taxpayer and that third party.

  8. A split refund indicator on IDRS will be used to identify refunds as follows:

    • 0 - not a split refund (entire refund goes to one place). All paper refunds and direct deposited refunds to one account will have this indicator.

    • 1 - Refund that appears 1st on Form 8888.

    • 2 - Refund that appears 2nd on Form 8888.

    • 3 - Refund that appears 3rd on Form 8888.

  9. Changes made by the IRS that increase or reduce the total refund will affect the amount identified with split refund code 3, then refund code 2, then 1, if relevant.

  10. Since the refunds at FMS will be sorted in ascending order by Routing Transit Numbers (RTN), offsets will be taken in RTN order, not by the split refund indicator. There are times when FMS transmits the information to the financial institution and the routing number is invalid or the bank account has been closed. When this occurs, part of the refund may be issued in a paper check and part may be direct deposit.

  11. If a taxpayer has not received their direct deposit, see IRM 21.4.1.4.7.1, Direct Deposit of Refunds.

21.4.1.4.7.1  (07-24-2013)
Direct Deposit of Refunds

  1. Routing Transit Number (RTN) identifies the financial institution (FI) to which the refund will be deposited. A direct deposit indicator will post with the TC 846 and can be identified on TXMOD/IMFOLT as DD:9. Taxpayers can elect Direct Deposit (DD) of their refunds on their electronic or paper Individual Income Tax returns. Routing Transit Number (RTN) can be verified by checking IDRS CC IMFOBT.

    Note:

    The deposit date is shown on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE:" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .

    Note:

    The RTN for savings bonds is always 043736881. The account number is always identified by the word "BONDS" . If either of these is entered incorrectly, or there is a math error on the return, the savings bond purchase request will be rejected and the refund will be issued as a paper check.

  2. Research IMFOBT for the exact RTN and account numbers provided by the taxpayer.

    Reminder:

    Direct deposit refunds are held one week if this is a first time filer, or the first time the current last name is being used, or the taxpayer has not filed a return in the past 10 years.

    Note:

    If either Routing or Account numbers provided by the taxpayer differ from those on the return, advise taxpayers to immediately contact the financial institution. IRS employees cannot change the Routing or Account numbers. If the direct deposit is rejected by the financial institution, a paper check will normally be issued within 4 weeks from the RFND-PAY-DATE located below the TC 846 date of the direct deposit refund. Add 1 week to this for mail delivery, and the taxpayer should have the check within 5 weeks.

    Example:

    The TC 846 date for a direct deposit is 03/19/2012. The actual direct deposit date, as indicated by the RFND-PAY-DATE field below the TC 846, is 03/05/2012. If the direct deposit is rejected, the mailing date for the paper refund check should be between 03/19/2012 and 04/02/2012.

  3. Taxpayer inquiries concerning direct deposit will be treated as any other refund inquiry. Exception: refunds issued through a Refund Anticipation Loan (RAL) or a Refund Anticipation Check (RAC) have special procedures. See paragraph 7 below.

  4. If one of the following conditions occur during the initial return processing, master file will issue (if applicable) two direct deposits if both refunds are issued in the same processing year:

    • Unallowable condition on original return usually a -Q Freeze.

    • Refund cancellation freeze, TC 841 with block series 777 and serial number 98 or 99.

    • Math error condition when partial refund is issued.

    • Credit elect reversal (TC 832).

    Note:

    The computer will allow two direct deposits (TC 846) in the same processing year regardless of a split refund. If there is a math error code on the original return, the second refund will be issued as a direct deposit and any subsequent refunds will be issued as a paper check. In the case of an account that has a split refund, the second direct deposit will be deposited into the first bank account listed on the Form 8888 or the refund that shows the split indicator of 1.

  5. If the taxpayer or their authorized third party designee indicates the RTN or account number is incorrect on the account, input TC 971 AC 850 when releasing the subsequent refund. The refund will then be issued as a paper check to the address on the taxpayer's entity module. See IRM 21.1.3.3.1, Third Party Designee Authentication, for additional information regarding third party designees.

  6. Check RTN, Account Type, and the Account Number.

    If Then
    Date of deposit is less than 5 calendar days prior.
    1. Provide the date of deposit.

    2. Advise taxpayer to contact the bank or financial institution.

    More than 5 calendar days have passed since scheduled date of deposit. Ask if the taxpayer has contacted the financial institution.
    • If NO - advise to do so

    • If YES - continue with the steps below

    Taxpayer states that the bank shows no record of the deposit and it has been more than 5 calendar days since the scheduled date of deposit.
    1. Initiate Refund Trace.

    2. Refer to IRM 21.4.2, Refund Trace/Limited Payability.

    Caution:

    ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    Taxpayer states that the bank has returned the deposit or states the account was closed before the refund was deposited which will also result in the bank returning the deposit.
    1. Do not initiate a refund trace.

    2. Advise the taxpayer of the following:

      • It will take approximately 3 weeks for the IRS to receive the funds back from the bank.

      • Once the funds are received back from the bank, the refund will be reissued in the form of a paper check in about 4 weeks.

      • Taking into account the mail delivery time, the taxpayer should receive their paper check within 5 weeks from the RFND-PAY-DATE of the TC 846.

      • If their paper check is not received within 5 weeks from the date of the TC 846, the taxpayer should contact us again and a refund trace will be initiated if the direct deposit refund credit has not posted back on the account. Advise the taxpayer not to call back before the 4 weeks have passed as no additional information will be available.

    Caution:

    If research indicates Direct Deposit Reject Reason Code 58 or 59, the direct deposit was rejected due to a name mismatch. See IRM 21.4.1.4.8.1, Direct Deposit Reject Reason Codes, for additional information.

    The refund was direct deposited into the wrong account because an IRS employee did not timely input a TC 971 AC 850 when required.
    1. Do not initiate a refund trace.

    2. Input a TC 971 AC 850 if not already on the account.

    3. Prepare a referral. Request that the bad refund be moved to the 1545 account and that a manual refund be issued to the SSN owner. See IRM 21.6.2.4.2.1(3), Telephone Inquiries regarding MXEN, IDT1, IDT3, IDT6, IDT8, IDT9, and Scrambled Cases for further guidance.

    Note:

    If the taxpayer closes the bank account before the second direct deposit, the refund will be returned via the Automated Clearing House (ACH) file to FMS. FMS will return the credit to the IRS to post to the taxpayer's account.

  7. If the refund is in the form of a RAL or a RAC, refer the taxpayer to the financial institution (FI) or Tax Preparer. RTNs for RAL or RAC refunds commonly display the taxpayer's SSN as the last nine digits of the account number on CC IMFOBT. For a list of most common Refund Anticipation Loan (RAL) Financial Institutions, see Exhibit 21.4.1-3, Most Common Refund Anticipation Loan Banks.

    • If the taxpayer states they did not receive the RAC/RAL, advise them to contact the preparer or FI prior to initiating a trace.

    • If the taxpayer states they have contacted the FI and the FI requests proof of deposit, initiate a refund trace, see IRM 21.4.2, Refund Trace and Limited Payability.

    • If the taxpayer states he/she wants to bypass the RAL or the RAC, see IRM 21.4.4, Manual Refunds, and IRM 3.17.79.6.4.2, Certifying ACH/Direct Deposit Hardship Refunds.

      Caution:

      The IRS can only bypass the RAL/RAC if the application was denied by the FI and the contract between the taxpayer and the FI is no longer in effect. The taxpayer must provide written proof of the denial of the RAL/RAC from the FI. Process the request if the refund has not been issued and the taxpayer agrees to a systemic refund.
      If a taxpayer requests a manual refund due to economic hardship, refer the case to TAS per IRM 21.1.3.18(3), Taxpayer Advocate Service (TAS) Guidelines.

  8. If the direct deposit does not pass normal pipeline validation, the refund will be issued by check. In the case of a split refund, all deposits must meet the normal pipeline validation or the taxpayer will receive one paper check. IRM 21.4.1.4.8.1, Direct Deposit Reason Codes, to determine why the direct deposit was rejected. If the refund is issued as a direct deposit and the financial institution rejects/returns the refund (e.g., invalid account number) the refund will cancel with a TC 841 Blocking Series 77777 and automatically reissue as a paper check. In the case of a split refund, one refund may be issued as a direct deposit and one refund may be issued as a paper check if the financial institution is rejecting the deposit.

  9. The CC "INOLES" will display a Debt Indicator on IDRS when one of three offset conditions exists on the account. Refer to IRM 2.3.47, Command Codes INOLE, EOGEN, and SPARQ for complete CC "INOLES" screen information.

  10. A direct deposit Refund Inquiry is no different than check refund inquiries. Once you establish non-receipt, follow the Refund Trace procedures in IRM 21.4.2, Refund Trace/Limited Payability.

21.4.1.4.7.2  (10-01-2007)
Direct Deposit Erroneous Refunds

  1. Whenever your research identifies the direct deposit as being an Erroneous Refund, refer all information and account information to the Refund Inquiry Unit via fax or on Form 4442, Inquiry Referral. Notate on the Form 4442, "Erroneous Refund" . If CC CHKCL has not been input and taxpayer meets oral statement criteria, you must input CC CHKCL before referring the case. See Exhibit 21.4.2-1, Command Code (CC) "CHKCL" Input, for oral statement authority.

  2. Advise the taxpayer his/her request has been forwarded to the Refund Inquiry Unit and they should hear from us in 15 days.

    Reminder:

    Always refer to IRM 21.4.5, Erroneous Refunds, for complete procedures concerning the preparation of the Erroneous Refund Package and to identify all items required to be included in the package.

  3. If during your conversation it is determined the taxpayer did not request direct deposit (except RAL/RAC), gather account information and forward to the Refund Inquiry Unit associated with your campus.

21.4.1.4.7.3  (11-14-2011)
Non-Receipt, Lost, Stolen or Destroyed Series I Savings Bonds

  1. Savings bonds are ordered after the IRS completes processing of the return. Once ordered it may take up to three weeks for the bond to arrive in the mail. Any portion being directly deposited into a bank account may be received before the bonds arrive by mail. If the taxpayer requested to purchase savings bonds with part of their tax refund, and you verified this by IDRS research (TXMOD/IMFOLT/IMFOBT), and the bonds have not yet been received, advise the taxpayer to contact the Treasury Retail Securities Site in Minneapolis at 1-800-553-2663 to inquire about the status of their bonds.

  2. If the taxpayer claims that the bonds were received but are now lost, stolen or destroyed, advise the taxpayer to contact the Bureau of the Public Debt (BPD), Parkersburg, WV, 26106-7012, at 1-304-480-7711. Advise that taxpayer that this is not a toll free number. The BPD has the authority to replace bonds under these circumstances.

21.4.1.4.7.4  (02-11-2011)
Non-Receipt, Lost, Stolen or Destroyed Prepaid Debit Cards

  1. Prepaid debit cards are issued after the IRS completes processing the return. Once the return is processed it may take from one to two weeks for the card to arrive in the mail. Any portion of a split refund being direct deposited into a bank account may be received before the debit card arrives by mail. The debit card refund will appear as a direct deposit on IDRS. Non-receipt claims for prepaid debit cards should be processed using the normal procedures for tracing a direct deposit refund.

  2. Taxpayers whose prepaid debit card was received, but was then lost, stolen or destroyed, should be advised to contact their preparer, the financial institution, or the vendor that issued the card.

    Note:

    Refer to IRM 21.4.1.4.7, Direct Deposit - General Information, for inquiries involving a MyAccountCard debit card.

21.4.1.4.7.5  (05-29-2013)
Non-Receipt of Direct Deposited Refunds-"Refund Inquiry Employees"

  1. If the taxpayer requested and did not receive the direct deposit refund, verify the Routing Transit Number (RTN) and the Account Number to the RTN and Account Number shown on the return.

  2. Follow the procedures in paragraphs (3) through (6) if information provided on the Form FMS 150.1 or any contact with the bank or financial institution, does not resolve the issue for the taxpayer.

    Note:

    The FMS letter 150.1 is an official request from the Department of the Treasury to the bank on behalf of the taxpayer to search for the Electronic Funds Transfer.

  3. If either of the numbers differ from that shown on the return and the IRS caused the error, complete the following:

    1. Issue a manual refund to the correct taxpayer.

    2. Contact the financial institution (FI) by telephone and request their assistance in recovering the funds. You may provide the taxpayer's name, refund amount, the date, the routing transit number and the account number to the financial institution. If the bank recovers the direct deposit refund, request they return it to FMS through normal procedures. If the bank does not respond within 15 calendar days, contact the bank again. Allow an additional 15 calendar days for the bank to respond. If the bank does not respond, follow erroneous refund procedures in IRM 21.4.5, Erroneous Refunds.

    3. If the financial institution requests a letter from IRS before returning the funds, Refund Inquiry should send the letter in Exhibit 21.4.1-5, Bank Letter to Recover Direct Deposits, that has been approved by Chief Counsel for use by Accounts Management. It is not a "letter of indemnity" , so if the bank will not accept it, follow the guidance above to complete your case. If the bank does not respond within 15 calendar days of the letter, contact the bank by phone to determine the status of the request.

      Note:

      IRS employees are not permitted to contact the bank to request the identity of the account owner who received the Erroneous Refund.

  4. If either the RTN and/or Account Number of the deposited refund does not match the taxpayer's account information, and the taxpayer or their representative caused the error, or the taxpayer alleges preparer fraud, take the following actions:

    1. Contact the financial institution by telephone and request their assistance in recovering the funds. You may provide the amount, the date, the routing transit number and the account number to the financial institution. If the bank recovers the direct deposit refund, request they return it to FMS through normal procedures. If the bank does not respond within 15 calendar days, contact the bank again. Allow an additional 15 calendar days for the bank to respond.

      Note:

      The financial institution is not required to return the funds unless it was their error that caused the deposit into the wrong account.

    2. If the financial institution complies with our request to return the credit, issue a manual refund to the taxpayer as listed in (3) above. Monitor account for the posting of the credit and close case when module reaches zero balance.

    3. If the financial institution requests a letter from IRS before returning the funds, Refund Inquiry should send the letter in Exhibit 21.4.1-5, Bank Letter to Recover Direct Deposits, that has been approved by Chief Counsel for use by Accounts Management. It is not a "letter of indemnity" , so if the bank will not accept it, continue with the guidance directly below. If the bank does not respond within 15 calendar days of the letter, contact the bank by phone to determine the status of the request.

    4. If the financial institution refuses to return the credit, send a letter to the taxpayer explaining what happened to the requested direct deposit. Include the following paragraph:

      SAMPLE LETTER

      Our records show on DATE , your refund of $ AMOUNT , was deposited directly into account number ACCT. NOS. at BANK NAME , as you requested on your Form 1040/1040A/1040EZ . Because the account number shown on your return was incorrect, you must contact the financial institution to resolve the erroneous deposit. The Internal Revenue Service does not have the authority to demand the return of the refund from the designated financial institution because the refund deposit went into the account listed on your tax return.

      Note:

      While the IRS will conduct a trace for the disposition of the refund, the restoration of the refund to the taxpayer may become a civil matter.

  5. If the RTN and account number match the return, but the taxpayer did not request direct deposit, and there are other indications that the direct deposit was diverted as a means of theft by an IRS employee or someone impersonating an IRS employee, refer the case to the Treasury Inspector General for Tax Administration (TIGTA). TIGTA will confirm receipt with the taxpayer within 10 days.

    Reminder:

    Before referring the case to TIGTA, request the block of work to ensure this is not a "slipped block" which would indicate an IRS error.

    1. Gather necessary information and forward to TIGTA. This information must include (but is not limited to) research showing the RTN, statement from the taxpayer stating they did not request a direct deposit, Form 3911, Taxpayer Statement Regarding Refund, and FMS Letter 150.1, and documentation of any attempts made by the taxpayer to retrieve the funds from the bank.

    2. Secure the original return and compare it with the taxpayer's information. Provide a copy to TIGTA.

    3. If the return was electronically filed, obtain a copy from the taxpayer and compare it with the transmitted return. Provide copies of both returns to TIGTA.

    4. Fax a completed Form 4442, Inquiry Referral, to the TIGTA Hotline fax: 202-927-7018.

    5. Provide the Hotline phone number to the taxpayer for subsequent inquiries: 1-800-366-4484.

      Note:

      Current law allows the IRS to replace refunds only in cases of forgery of a paper check or IRS error. The outcome of the TIGTA investigation will determine whether a replacement refund is possible or if the taxpayer will need to recover the refund through civil procedures. See items 3 and 5 in this subsection.

    Note:

    If this is a RAL or RAC issue, refer taxpayer back to their Preparer.

  6. When TIGTA completes their investigation, they will reply back to the initiating Refund Inquiry Unit for proper disposition.

    Note:

    A finding by TIGTA that the taxpayer did not receive the refund does not mean that IRS can automatically issue the taxpayer a refund. If the original refund was for a direct deposit, FMS cannot use the Check Forgery Insurance Fund (31 USC 3343) to reissue a refund to the taxpayer. If the original refund was for a paper check, and FMS makes a forgery determination, FMS can issue a new refund check using the Check Forgery Insurance Fund. This subsequent refund does not appear on the tax account.

    Note:

    If TIGTA determines the IRS should settle with the taxpayer, follow manual refund procedures in IRM 21.4.4.4.1, Preparation of Form 5792, IDRS Generated Refund, and procedures in IRM 21.4.5.5(9), Account Actions for Category D Erroneous Refunds, to satisfy the balance due created by the manual refund.

21.4.1.4.7.6  (10-09-2009)
Treasury Assistance for Direct Deposits

  1. The Office of the Comptroller of the Currency (OCC) is an agency of the U.S. Department of the Treasury. The OCC states that it is best if a person tries to resolve a complaint directly with their bank before going to an outside agency. However, if the resolution seems impossible, taxpayers may file a formal complaint with the OCC. The OCC Customer Assistance Group may answer questions, offer guidance, and assist consumers in resolving complaints about National Banks.

  2. Taxpayers may reach the OCC customer assistance specialists in any of the following manners:

    1. Telephone Number 1-800-613-6743 (business days 7:00 a.m. to 7:00 p.m. Central Time). English and Spanish speaking assistance is available.

    2. Visiting the website at: http://www.helpwithmybank.gov/complaints/.

    3. Faxing to: 1-713-336-4301.

    4. Mailing to: Customer Assistance Group, 1301 McKinney Street, Suite 3450, Houston, TX 77010.

  3. There are no special forms needed to file a complaint. Advise taxpayers to provide their:

    • Name

    • Address

    • Daytime Phone Number

  4. The following are additional agencies to which the taxpayer may appeal:

    • The Office of Thrift Supervision: (This organization became part of the OCC in July 2011. See (2) above for contact information)

    • The Federal Deposit Insurance Corporation: (This organization regulates federally insured state banks that are not members of the Federal Reserve System); Web address and phone number http://www.fdic.gov/consumers/questions/consumer/complaint.html ; 1-877-275-3342

    • The National Credit Union Administration (Regulates federal credit unions). Web address and phone number http://www.ncua.gov/ ; 1-800-755-1030

21.4.1.4.8  (10-01-2009)
Electronic Fund Transfer Indicators

  1. The Electronic Fund Transfer (EFT) indicator "0" is the standard indicator for all refunds. Regardless of whether the taxpayer requested direct deposit or not, the indicator reflects that the refund was processed as requested by the taxpayer. It includes direct deposits that have passed all validity checks and paper checks. For all acceptable direct deposits, the EFT indicator will be "0" followed by the EFT information. The EFT indicators are as follows:

    EFT INDICATOR IMFOL(T) DESCRIPTION
    0 EFT (for non-ELF filers) or an ELF filer and the refund has been completed using EFT.
    1 Financial institution's RTN or Acct. Number failed input processing validity check (applies only to paper processing).
    2 Refer to the IRS e-file reject codes.
    3 EFT refund denied because the actual refund exceeds taxpayer's amount ≡ ≡ ≡ ≡ ≡ or more and Centralized Authorization File (CAF) file indicates Power Of Attorney (POA) to receive refund.
    4 EFT refund refused by a financial institution (undeliverable), refund issued by check.
    5 EFT refund denied because credit is frozen by account or module freeze. Refer to IRM 21.5.6, Freeze Codes.
    6 EFT refund after settlement cycle denied.
    9 IRS e-file return and EFT not requested.

    Reminder:

    Employees may use Electronic Filing (e-File), Frequently Asked Questions to respond to taxpayer questions concerning the reject of an Electronic Filing.

21.4.1.4.8.1  (07-01-2013)
Direct Deposit Reject Reason Codes

  1. The following Direct Deposit (DD), Reject Reason Code Indicators are found on IDRS under CC "TXMOD" and CC "IMFOBT" :

    DIR-DEP-REJ-RSN-CD Indicates
    00 DD not requested.
    07 No DD allowed.
    10 DD passed the validity check.
    21 Missing Routing Transit Number (RTN), all blanks/zeros.
    23 Invalid RTN, first two digits not in valid range.
    24 Invalid RTN. RTN not on Financial Organization Master File Routing Transit Number File (FOMF-RTN-FILE).
    25 Invalid RTN, failed internal RTN validity check.
    31 Missing depositor account number, all blanks/zeros.
    32 Invalid depositor account number, non-alpha-numeric characters (other than hyphen) present.
    36 Direct deposit information is present on Form 8888 and on Form 1040.
    37 Form 8888 is present and the return contains Injured Spouse information.
    38 The sum of the deposits requested on Form 8888 does not match the refund amount on Form 1040 and the difference is NOT a math error.
    41 Prior year return.
    42 Centralized Authorization File (CAF) indicator authorizes a third party to receive refund.
    43 Computer Condition Code (CCC) "W" present.
    44 The total tax is zero and withholding/excess Federal Insurance Contribution Act (FICA) is $10,000 or more. Advise taxpayer we are unable to comply with their request for a direct deposit due to programming limitations.
    46 Return posted to wrong account.
    47 Module contains a TC 971 AC 053 ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
    48 Module contains a TC 971 AC 011 (Non-receipt of refund check) or TC 971 AC 850 (Flip direct deposit to paper)
    50 DD rejected by bank; block and serial number "77777" in DLN indicates issuance of paper check.
    56 One or more Split Refund DDs rejected by bank; block and serial number "77777" in DLN indicates issuance of paper check.
    58 DD rejected by bank; TC 841 with block and serial number:
    • "77711" in DLN indicates a rejection due to name mismatch between the name on the refund and the name on the bank account. CP 53A will be issued advising that the refund may take up to 10 weeks.

    • "77712" in DLN indicates ID Theft where the financial institution has been notified or believes as a result of internal fraud investigation that an ACH credit entry is related to a case where a taxpayer's identity has been stolen. Letter 5253C will be issued advising that the refund may take up to 10 weeks. In January 2014 this letter will be replaced by CP 53B.

    • "77713" in DLN indicates a questionable refund where account characteristics, history, investigation and/or other key markers identified through filters implemented by the financial institution indicate that an ACH credit entry is questionable, invalid, erroneous or obtained through fraudulent filings. Letter 5254C will be issued advising that the refund may take up to 10 weeks. In January 2014 this letter will be replaced by CP 53C.

    The account will have a P- freeze and will be reviewed automatically by the IVO external leads program. See IRM 21.5.6.4.31(4), P- Freeze, for additional guidance.
    59 Split DD rejected by bank; TC 841 with block and serial number:
    • "77711" in DLN indicates a rejection due to name mismatch between the name on the refund and the name on the bank account. CP 53A will be issued advising that the refund may take up to 10 weeks.

    • "77712" in DLN indicates ID Theft where the financial institution has been notified or believes as a result of internal fraud investigation that an ACH credit entry is related to a case where a taxpayer's identity has been stolen. Letter 5253c will be issued advising that the refund may take up to 10 weeks. In January 2014 this letter will be replaced by CP 53B.

    • "77713" in DLN indicates a questionable refund where account characteristics, history, investigation and/or other key markers identified through filters implemented by the financial institution indicate that an ACH credit entry is questionable, invalid, erroneous or obtained through fraudulent filings. Letter 5254c will be issued advising that the refund may take up to 10 weeks. In January 2014 this letter will be replaced by CP 53C.

    The account will have a P- freeze and will be reviewed automatically by the IVO external leads program. See IRM 21.5.6.4.31(4), P- Freeze, for additional guidance.
    60 Savings Bond purchase request was not allowed because the refund per taxpayer from the posted return is not equal to the refund amount per the computer calculation.
    61 Savings Bond purchase request was not allowed because the SSN/TIN is on the IRS Liability file.
    62 Savings Bond purchase request was not allowed because the requested amount was not divisible by $50.
    63 Savings Bond purchase request was not allowed because the requested amount was more than $5,000.
    64 Savings Bond purchase request was not allowed because the return contained computer condition code 'F', '9', 'A' or the word 'DECD' was present in the current tax year controlling name line.
    66 Savings Bond purchase request was not allowed because the name lines contain "&" or other special characters.
    67 Savings Bond purchase request was not allowed because the beneficiary bond registration is checked on the Form 8888 but the 1st bond name line and the 2nd bond name line are not present.
    68 Savings Bond purchase request was not allowed because the Form 8888 2nd name line is present but the 1st name line is not present on a MFJ return (FSC2).
    69 Savings Bond purchase request was not allowed because the 1st and/or 2nd bond name lines are present on the Form 8888 but the amount of the requested bond registration is NOT significant.

  2. A CP 53, Taxpayer Inquiry, Notice of EFT Refund, will be sent to the taxpayer when a direct deposit has been rejected and a paper check has been issued. If taxpayer inquires about the nature of the rejection, research the taxpayers account on IDRS and determine the Reject Code to give a more specific explanation.

    Note:

    Beginning July 2011, a "2-D Bar Code" pilot program involving various CP notices (including CP 53) will be implemented. Some of the notices will still display the entire SSN while others will have the SSN redacted/masked (e.g. XXX-XX-1234). In order to identify the account, a "hand held" bar code scanner must be used to read the taxpayer account information. If the scanner cannot read the bar code, CC TPIIP must be used. For more information on the CC, refer to IDRS Command Code Job Aid located on SERP under IRM Supplements. Additional CP notices utilizing this configuration requiring the bar code scanner will be rolled out periodically in the future.

  3. At times, a financial institution returns a direct deposit through a Treasury Regional Financial Center (RFC). The credit will post to master file as a TC 841 and can be identified by the block and serial number "77777" in the DLN. The "77777" in the DLN automatically causes a refund check to be issued immediately in the same cycle to the taxpayer's address of record. Sometimes due to an RFC processing error, the TC 841 does not carry the "77777" block and serial number and a " P-" Freeze results.

    Note:

    If a "P-" Freeze is present, refer to IRM 21.5.6, Freeze Codes, and IRM 21.4.3, Returned Refunds/Releases.

  4. Command Codes TXMOD and IMFOLT will indicate how a refund (TC 846) is issued. The indicator will appear near the right margin either on the same line as the TC 846 or the next line down. An indicator of DD:0 indicates a paper check, and an indicator of DD:9 indicates direct deposit.

  5. Manual refunds (TC 840) may also be issued via direct deposit in certain situations, i.e. hardships. TC 840 will show a DD indicator "9" on TXMOD only. It will not appear on IMFOLT.

21.4.1.4.9  (10-15-2008)
Miscellaneous Refund Issues

  1. The following section contains procedures for resolving taxpayer refund inquiries.

21.4.1.4.9.1  (10-01-2008)
Returned Refund Checks

  1. Refund checks are returned by taxpayers for several reasons.

    • Taxpayer is not entitled to the refund

    • Refund is in the wrong amount

    • Credit that created the refund belongs on another module

    • Check is issued in the wrong name

    • Check cannot be negotiated (e.g., spouse separation)

    • Deceased taxpayer

  2. For procedures for returned refund checks, see IRM 21.4.3, Returned Refunds/Releases. For procedures regarding returned Economic Stimulus Payments, see IRM 21.6.3.6.6.5, Returned Refund Checks.

21.4.1.4.9.2  (11-07-2012)
Family Disputes

  1. If the taxpayer states his/her spouse received the joint refund check and cashed it, inform the taxpayer that this must be handled through the civil court system and the IRS can only provide a photocopy of the check for this purpose. The government does not determine who is entitled to which portion of the refund check. However, a refund check may be issued in only one name if requested by a spouse filing an injured spouse claim or the taxpayer submits a copy of the divorce decree dictating how the refund should be allocated. See IRM 21.4.6.5.11.7, Issuing the Injured Spouse Refund, for additional information on injured spouse claims. Follow procedures in IRM 21.4.4, Manual Refunds, if the taxpayer submits a copy of the divorce decree allocating the refund. Refund checks will not be split by IRS or FMS because of a family dispute.

  2. If a taxpayer requests a photocopy of a canceled refund check because of a dispute over the proceeds, and oral statement authority can be applied, prepare an e-4442, Inquiry Referral, and forward the request to the local/affiliated Refund Inquiry team. Include the following information on the referral:

    • Taxpayer name(s) (Both names on joint returns).

    • TIN, (both TINs on a joint return).

    • Address shown on the original return and new address if appropriate.

    • The reason for the request.

    • The scheduled court date, if applicable.


    The Refund Inquiry team will secure a copy of the check from PACER or TCIS and mail it to the taxpayer.

    Caution:

    Never request a replacement check be issued to one party or issued without both signatures on joint returns, unless all required documentation is present. Refer to IRM 21.4.2, Refund Trace/Limited Payability.

  3. If through no fault of the taxpayer, a refund check from a joint account is issued in only one taxpayer's name (for example: ENMOD not changed to reflect both names), follow the procedures for erroneous refunds in IRM 21.4.5.6, Credit Transfers and Tax Adjustments on Category D Accounts. See IRM 21.4.3.4.5.2.1, Joint Filers Request Refund Check in One Name, for appropriate instances of a joint refund being issued in one name.

21.4.1.4.9.3  (01-28-2011)
Refund Check Lacks Signature Seal

  1. Occasionally the Regional Finance Center (RFC) will issue refund checks without the Disbursing Officer’s seal. If a taxpayer inquires about such a check, obtain the issue date and check number. Forward the information to the RFC that issued the check.

    Note:

    If the taxpayer inquiry is from a toll free telephone call, obtain the issue date and check number and call the ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

  2. If the taxpayer is unable to cash the check, refer to the procedures for returned refund checks. See IRM 21.4.3, Returned Refunds/Releases. Ask the taxpayer to return the check to the issuing processing center.

21.4.1.4.9.4  (07-06-2011)
Deceased Taxpayers

  1. Normally, a duly appointed executor or administrator may cash a decedent's check by endorsing it via his/her legal capacity and presenting it to a bank with a copy of the court certification of appointment. If the return was filed as Married Filing Jointly (MFJ), the surviving spouse must also endorse the check as co-payee.

  2. Often proper documentation is not sent with the initial filing of the return and the Service is contacted with questions regarding reissuance of a refund check. Use the following chart to identify and resolve the situation:

    If And Then
    Joint Refund, any amount Surviving Spouse No Form 1310, Statement of Person Claiming Refund Due a Deceased Taxpayer, or documentation is required. Therefore, reissuance of the refund check is unnecessary.

    Note:

    If the bank refuses to accept a joint refund check because one spouse is deceased, advise the surviving spouse to mark "VOID" on the back of the check and return it with a written request for reissuance of the refund check.

    Other than Joint Refund, ≡ ≡ ≡ ≡ ≡ Third Party Advise the third party to return the check marked void and submit written request for reissuance of refund check.
    Other than Joint Refund, ≡ ≡ ≡ ≡ ≡ ≡ Third Party Advise the third party to submit Form 1310 or certificate showing court appointment with the refund check marked void.

  3. For information on processing the documentation once received, see IRM 21.5.3, General Claims Procedures, and IRM 21.6.6.3.22.2, Processing Decedent Account Refunds.

21.4.1.4.9.5  (07-01-2013)
Taxpayer Expecting a Paper Check But Refund Issued as Direct Deposit

  1. Taxpayer contacts IRS because they have not received their refund check. Research indicates a refund was issued by direct deposit.

  2. Advise the taxpayer their refund was issued by direct deposit and provide the taxpayer with the Routing Transit Number (RTN) and account number that appears on our records.

  3. Verify with taxpayer the RTN and account number:

    If taxpayer states Then ...
    They did not request direct deposit and the RTN and account is not theirs Prepare an e-4442, Inquiry Referral to the Refund Inquiry function of the issuing campus and advise taxpayer they will be contacted in 15 days. See IRM 21.4.1.4.7.5, Non-Receipt of Direct Deposited Refunds, Refund Inquiry Employees.
    The RTN and account number is theirs Advise taxpayer when the money was deposited. No further action required.
    If the taxpayer did not request direct deposit, but research indicates the refund was issued as a RAL/RAC/Debit Card Provide the contact information for the financial institution and advise the taxpayer to contact either, or both, the financial institution and the return preparer. A link for finding the financial institution contact information is at Exhibit 21.4.1-3, Most Common Refund Anticipation Loan Banks.

21.4.1.4.10  (04-18-2013)
Refund Intercept CC NOREF with Definer "P"

  1. Effective January 1, 2012, with the implementation of CADE 2 processing for all IMF accounts, CC NOREF, definer "P" can be used to stop a refund under the limited circumstances outlined below. See the charts below for CC NOREFP input time frames. Refunds on original returns can also be stopped by using CC NOREFP prior to the posting of the return on IDRS.

    Note:

    CC NOREFP can be used to stop direct deposit refunds as well as paper refund checks.

    Caution:

    If a TC 846 is showing on CC TXMOD/IMFOLT, the refund record has already been sent to FMS, and the refund cannot be stopped.

  2. CC NOREFP will resequence for 14 days for daily IMF accounts and, depending on the day of input, up to 20 days for weekly IMF accounts. Each day, CC NOREFP will look for a matching refund and, when a match is found, will stop the refund. If no match is found within these time frames, the CC NOREFP will be dropped from IMF processing.

  3. While an IDRS control base needs to be established for CC NOREFP, no systemic updates are received to indicate whether or not the input was successful at stopping the refund. Since the TC 846 will post on the module up to 5 business days before the TC 841, the account must be monitored for the TC 841 posting to determine if CC NOREFP was successful. See (10), (11) and (12) below for subsequent actions.

  4. The following chart is provided to clarify when CC NOREFP can be used to intercept a refund that will result from an adjustment input before 5:00 PM CT on an IMF WEEKLY account:

    Note:

    Most accounts worked in AM will be designated as WEEKLY accounts. See Exhibit 2.3.51-12, Command Code IMFOL Output Display - Entity, Line 14, for more information about the position of the Daily Eligible Indicator. The literals "00" indicate an account is not eligible for daily processing; "01-99" indicates an account is eligible for daily processing. Any TC 29X input with a money amount will cause the account to become weekly; whereas a TC 290 .00 will not change the existing status.

    Transaction Input TERUP Review CCs Available From 5:00 AM CT on the following: NOREFP (until 9:00 PM CT) on the following: Adjustment Posts to MF on the following:
    Friday
    (Day 1)
    Friday
    (Day 1)
    Monday and until 5:00 PM CT Tuesday Thursday, week 1
    (4 days after input of adjustment)
    Friday, week 1
    (5 days after input)
    Monday
    (Day 2)
    Monday
    (Day 2)
    Tuesday and until 5:00 PM CT Wednesday Thursday, week 1
    (3 days after input of adjustment)
    Friday, week 1
    (4 days after input)
    Tuesday
    (Day 3)
    Tuesday
    (Day 3)
    Wednesday and until 5:00 PM CT Thursday Thursday, week 2
    (7 days after input of adjustment)
    Friday, week 2
    (8 days after input of adjustment)
    Wednesday
    (Day 4)
    Wednesday
    (Day 4)
    Thursday and until 5:00 PM CT Friday Thursday, week 2
    (6 days after input of adjustment)
    Friday, week 2
    (7 days after input of adjustment)
    Thursday
    (Day 5)
    Thursday
    (Day 5)
    Friday and until 5:00 PM CT Monday Thursday, week 2
    (5 days after input of adjustment)
    Friday, week 2
    (6 days after input of adjustment)

    Example:

    If an adjustment is input on Friday, the adjustment can be deleted by CC TERUP until 5:00 PM CT. After that, REVIEW command codes can be used to review/delete the adjustment starting at 5:00 AM CT on Monday and ending at 5:00 PM CT on Tuesday. After 5:00 PM CT on Tuesday and until 9:00 PM CT on Thursday, CC NOREFP can be used to stop a refund. After 9:00 PM CT on Thursday the refund can no longer be stopped.

  5. The following chart is provided to clarify when CC NOREFP can be used to stop a refund resulting from a transaction (e.g., TC 290 .00, TC 571, etc.) input before 5:00 PM CT on an IMF DAILY account:

    Transaction Input TERUP Review CCs Available From 5:00 AM CT on the following: NOREFP (until 8 PM CT) on the following: Transaction posts to IMF on the following:
    Friday Friday Monday and until 5:00 PM CT Tuesday Wednesday Thursday
    Monday Monday Tuesday and until 5:00 PM CT Wednesday Thursday

    Exception:

    available until 9:00 PM CT

    Friday
    Tuesday Tuesday Wednesday and until 5:00 PM CT Thursday Friday Monday
    Wednesday Wednesday Thursday and until 5:00 PM CT Friday Monday Tuesday
    Thursday Thursday Friday and until 5:00 PM CT Monday Tuesday Wednesday

  6. CC NOREF is still available for use in stopping BMF refunds. For the cutoff days and time frames for BMF CC NOREF, see IRM 3.14.2.6.1(7), Refund Intercept using CC NOREF.

  7. With Taxpayer Information File (TIF) centralization, it is no longer necessary to contact the issuing center or your local Notice Review to stop the refund. Input of CC NOREFP will stop a refund regardless of the Campus and will be evident when viewing the account. Use the Command Code (CC) "NOREFP" to intercept erroneous refunds and update the Refund Information File (RFIF). Refer to IRM 2.4.37, Command Code NOREF Overview, for a complete description and input requirements.

  8. CC "NOREF" :

    • Cannot be used to stop a refund during an accelerated cycle. See Exhibit 21.4.2-1(10), Command Code (CC) "CHKCL" INPUT, for the BMF accelerated cycles.

    • Can be used if there is a possibility a taxpayer may receive a second refund erroneously.

    • Automatically establishes a control base.

    • Must be input by 3:00 PM Central Time on Friday, the week prior to the TC 846 for Business Master File (BMF).

      Note:

      To stop a direct deposit refund, use CC "NOREF" with definer "E" . If CC "NOREF" with definer "E" is input on an account with a split refund, all portions of the split refund will be cancelled. A direct deposit refund must be stopped no later than the Friday, one week before the scheduled date of the direct deposit. If the TC 846 is posted on TXMOD, the direct deposit cannot be stopped. This type of stop is limited to internally identified erroneous or potentially erroneous refunds. The actual scheduled date of the direct deposit is "10 days prior to the TC 846" date shown on IDRS. As an example: If the TC 846 date is 08/26/2013, then the scheduled direct deposit date would be 08/16/2013.

      Example:

      The direct deposit is scheduled for Friday, August 16, 2013. The CC "NOREFE" must be input no later than Friday, August 9, 2013.

  9. Refunds can be issued to both spouses from the same module in the same cycle. TC 846 for primary and secondary SSN will carry the same DLN; therefore both refunds will be stopped when intercepting.

  10. Complete all account actions, except credit transfers, when requesting to stop a refund. Transfer a credit after the TC 841 posts. If the account action you are taking will result in a balance due, input TC 470 to hold any balance-due notices that may generate. It takes 4-6 weeks for the TC 841 to post.

  11. Employees stopping the refund will maintain an open control on all cases where a CC "NOREF" is input. The employee places the open control in "B" or "M" status (monitoring). The case can be closed when confirmation is received that the refund has been stopped.

  12. The controlling employee must monitor for the TC 841 and take appropriate action. If there is an adjustment on the module and the control is in background, the CSR should make the adjustment based on the information provided by the taxpayer.

  13. If the module contains a background control without an adjustment to the account, the controlling employee may be waiting for information from the taxpayer. If the information can be used to close the account, contact the controlling employee. Prepare a Form 4442, Inquiry Referral, include all of the taxpayer information and forward the case to the controlling employee.

  14. When the TC 841 posts to the account, take the necessary action to release the "P" Freeze and close the control base.

  15. If the TC 841 does not post within 4-6 cycles:

    1. Research for other adjustments, or unpostable conditions,

    2. Refund Inquiry can research PACER/TCIS to determine if refund was cancelled,

    3. Review account to determine whether or not an Erroneous Refund occurred. If an Erroneous Refund occurred, refer to IRM 21.4.5, Erroneous Refunds, to start procedures for return of the funds.

21.4.1.4.11  (04-18-2013)
IRS Holds Automated Listing (HAL)

  1. Effective January 1, 2012, with the implementation of CADE 2 processing for all IMF accounts, the HAL Holds system cannot be used to request an IMF refund stop. Specialized functions like Criminal Investigation, IVO, Notice Review, etc, will still be able to stop refunds using CC NOREF since they have access to the tax accounts before they appear on CC TXMOD.

  2. Per IRM 3.14.2.6.1(2), Refund Intercept Using CC NOREF, BMF can no longer use HAL Holds to request a BMF refund stop.

21.4.1.5  (07-01-2013)
Internet Refund Fact of Filing

  1. Part of the IRS modernization initiative is to provide taxpayers with an additional method of accessing account information. Internet Refund Fact of Filing (IRFOF) is an Internet application that provides Form 1040 series taxpayer access to the status of their refunds via the Internet. Taxpayers who visit http://www.irs.gov/ can type "Refund Status" in the Search field or click on "Where's My Refund" under Online Services to check their current tax year refund status.

  2. The user must provide their TIN, filing status and expected refund amount, in whole dollar amount. After correctly providing these shared secrets, the application will display their refund status information.

  3. In some instances, the refund callback number will be provided, along with a unique reference number, for further assistance. For example, IRFOF will provide the contact number 1-800-829-0582 if one or more math errors, or other conditions, are present on the account. IRFOF calls are handled like any other refund call. For reference number explanations, see Exhibit 21.4.1-4, Internet Refund Fact of Filing Reference Numbers.

  4. Taxpayers can initiate a refund trace process and update their address for undelivered refunds. Taxpayers who access IRFOF for their refund status may receive the option of initiating a refund trace for checks that are lost, stolen, destroyed or not received 28 days from IRS mailing date.

  5. Taxpayers will follow online instructions and provide address information in order to initiate the trace process. A refund trace will be initiated with the account showing TC 971 AC 011 (TC 971 AC 011). If the address provided online by the taxpayer does not match our records, they will be advised to contact a Customer Service Representative (CSR) for assistance. CSRs must follow normal refund trace procedures. See IRM 21.4.2, Refund Trace and Limited Payability.

  6. Taxpayers who filed Married Filing Joint (MFJ), must complete Form 3911, Taxpayer Statement Regarding Refund. Married Filing Joint taxpayers are offered a partially completed form, online. They can complete and mail or fax the form to the appropriate IRS office. IRS addresses and fax numbers are provided to the taxpayer when the form is offered.

  7. Taxpayers whose refund checks were returned undelivered by the U. S. Postal Service can provide a new address. For further instructions regarding an oral address modification, see Rev. Proc. 2010-16. The new or corrected address will automatically update the Entity file and systemically reissue the refund. Taxpayers accessing the address change application are asked for one of the following items of return information:

    • Adjusted Gross Income

    • Total Taxable Income

    • Total Credits

    • Total Tax

  8. Married Filed Jointly taxpayers who are changing their secondary address are advised to call for assistance. Customer Service Representatives must follow IRM instructions regarding address change, see IRM 3.13.5.28, Address Changes from Oral Statements/Telephone Contact.

  9. Some taxpayers may want to report a problem with accessing IRFOF. The role of the CSR is to resolve the taxpayer's refund question. Assistors will acknowledge the taxpayer's technical problem, apologize for any inconvenience and then focus on answering the caller's tax related question based on the applicable IRM procedure.

21.4.1.6  (10-01-2010)
Integrated Customer Communications Environment (ICCE)

  1. Refund inquiries generally originate in the Integrated Customer Communications Environment (ICCE) (formerly TRIS). ICCE is an automated call-routing system that permits taxpayers to use a touch-tone telephone to select an interactive application to resolve tax account issues and obtain tax information such as the status of their refund. The ICCE Refund Inquiry application allows individual (IMF) taxpayers to check the status of their tax refund. There is also a speech version of the refund application. The speech version is also accessed by telephone but uses voice responses instead of touch-tone.

  2. To obtain refund information, callers enter disclosure authorization consisting of their SSN, filing status and refund amount. The information entered must match the information from the taxpayer's tax return. If the information is matched, taxpayers will be provided refund status information, including mail or direct deposit dates, freeze code information and math error explanations.

  3. Callers using the touch-tone Refund application can also initiate the refund trace process using ICCE. If eligible, they will receive the option of initiating a refund trace for refunds that were issued at least 28 days prior to their contact.

  4. When callers are unable to obtain information or resolve their inquiry through telephone automation, they are asked to call back after sufficient processing time has passed, or referred to a CSR.

Exhibit 21.4.1-1 
Error Resolution System (ERS) STATUS CODES

For all the following statuses, normal processing time must be applied.

Note:

The complete list of ERS status codes is in Exhibit 3.12.37-21, ERS Status Codes. The time frames related to the suspense periods for these codes is in Exhibit 3.12.37-2, Use of Action Codes on ERS Records.

Unworkable Suspense Inventory Codes:

  • 221 Taxpayer Correspondence has been sent

  • 224 Taxpayer Correspondence has been sent

  • 225 Taxpayer Correspondence has been sent

  • 230 The document was referred to Examination (Fuel Tax Credit)

  • 231 The document was referred to Statute Control

  • 232 The document was referred to Entity Control

  • 233 The document was referred to Scheme Development Center

  • 234 The document was referred to Accounting

  • 235 MFTRA Research

  • 236 The document was referred to another area

  • 237 The document was referred to Examination

  • 242 Management suspense - A

  • 243 Management suspense - B

  • 244 Management suspense - C

  • 245 Management suspense - D

  • 246 Management suspense - E

  • 247 Workable Suspense

  • 248 Early Filed Suspense

  • 249 System Problem

  • 251 Missing Document (misplaced after receipt at SC)

  • 255 Magnetic Tape Return

The following are the codes where the suspense period has expired with no response for additional information - Transferred to workable suspense:

  • 321 Taxpayer Correspondence has been sent

  • 324 Taxpayer Correspondence has been sent and no response received

  • 325 Taxpayer Correspondence has been sent and no response received

  • 330 The document has been referred to Examination (Fuel Tax Credit)

  • 331 The document has been referred to Statute Control with no response

  • 332 The document has been referred to Entity Control with no response

  • 333 The document has been referred to Scheme Development Center with no response

  • 334 The document has been referred to Accounting with no response

  • 335 MFTRA Research - expired suspense

  • 336 The document has been referred to another area with no response

  • 337 The document has been referred to Examination with no response

  • 342 Management Suspense - A - expired

  • 343 Management suspense - B - expired

  • 344 Management Suspense - C - expired

  • 345 Management Suspense - D - expired

  • 346 Management Suspense - E - expired

  • 347 Expired Suspense

  • 348 Early Filed Suspense

  • 349 System Problem

  • 351 Missing Document (misplaced after receipt at SC)

  • 355 Magnetic Tape Return - expired

Note:

For additional processing/time frame information see IRM 21.4.1.3, Refund Inquiry Response Procedures, and IRM 21.4.1.3.1.2.4, Error Resolution System (ERS) Status Codes.

All Information to Resolve the Record Is Available or Some Information Has Been Received and Additional Action Is To Be Taken

  • 400 Input Document

  • 421 Taxpayer Correspondence was received

  • 424 Taxpayer Correspondence was sent and a response has been received

  • 425 Taxpayer Correspondence was sent and a response has been received

  • 430 The document has been referred to Examination (Fuel Tax Credit)

  • 431 The document has been referred to Statute Control

  • 432 The document has been referred to Entity Control

  • 433 The document has been referred to Scheme Development Center

  • 434 The document has been referred to Accounting

  • 435 MFTRA Research was received

  • 436 The document was referred to another area

  • 437 The document has been referred to Examination

  • 441 Technical Assistance is needed

  • 442 Management Suspense - A

  • 443 Management Suspense - B

  • 444 Management Suspense - C

  • 445 Management Suspense - D

  • 446 Management Suspense - E

  • 447 Miscellaneous Suspense/C & E By-Pass

  • 448 Early Filed Suspense

  • 449 System Problem

  • 451 Missing Document was found

  • 455 Magnetic Tape Return

  • 461 Record for renumbering rejection and re-entry

  • 462 NMF of non-ADP Record

  • 463 Record for Re-entry

  • 464 Record for Void

  • 465 International Record

  • 470 Record with Duplicate Block DLN

  • 490 Unpostable Record

  • 900 Unselected inventory waiting to be loaded from the ERS01 File prior to selection for the realtime ERS system

  • 999 Overflow condition occurs when the total workable inventory exceeds capacity (while in this status the record is not accessible, except for research using CC ERINV)

Status Codes 1QA, 2QA, 3QA, 4Q A - ERS record has been pulled for Quality Review. If no errors found, the record will go to master file when released from Quality. If an error is found during Quality Review the record will be returned to the ERS tax examiner to resolve. Once resolved, the record will go to master file. The account should post within 4 to 6 weeks.

Status Code 100 - Unworked error record. Assigned to returns that have fallen out of pipeline processing for reasons other than those assigned to code-and-edit people. It usually is a simple problem that is corrected in 3 - 4 days by ERS. If the problem cannot be easily fixed, then it will continue in ERS and be assigned a new Status code.

Status Codes 251, 351, and 451 - Require a group lead to fax a Form 4442, Inquiry Referral, to controlling processing center ERS/Rejects Unit requesting taxpayer contact.

Exhibit 21.4.1-2 
Error Resolution System (ERS) ACTION CODES (FOR USE BY ERS/REJECT UNIT)

Action Codes Description Workday Suspense Period
001 Input Document 0
211 First Correspondence 40
213 Correspondence to other 40
215 International Correspondence 45
220 Correspondence Input 21
225 Signature Only - domestic 40
226 Signature Only - International 45
230 ID Theft 60
231 ID Theft Assistance (RICS) 80
232 ID Theft (Research Needed) 85
310 Statute control 10
320 Entity control 10
331 Frivolous Filer Review 3
332 QRDT Review 3
333 Prompt Audit 10
334 Joint Committee 10
335 Frivolous Filer Case 10
343 Other Accounting 10
351 TIN Research 0
352 Name Research 3
353 Address Research 3
354 Filing Requirements Research 3
355 Other MFTRA Research 5
360 Other In- House Research 10
410 Technical Assistance 0
420 Management Suspense - A 5
430 Management Suspense - B 10
440 Management Suspense - C 15
450 Management Suspense - D 20
460 Management Suspense - E 25
480 Early Filed 150
490 System Problem 5
491 Systemic Problems 10
492 Complex Systemic Issue 15
493 Complex Systemic Issue 20
494 Complex Systemic Issue 30
495 Complex Systemic Issue 45
496 Complex Systemic Issue 60
510 Missing Document 0
511 Missing Document - 1st Suspense 25
512 Missing Document - 2nd Suspense 20
513 Missing Document - 3rd Suspense 20
515 Missing Document - Short Term 5
550 Mag Tape Attachments 3
551 Mag Tape Inconsistent Data 3
610 Renumber 0
611 Renumber with-remit 0
620 NMF/Non-ADP 0
630 Reinput 0
640 Void 0
650 International 0
651 International - AUSPC 0
660 Data Control Delete 0
670 Rejected Missing Documents 0
700 Duplicate Block DLN 0
711 Duplicate Document DLN from CE NA
712 Duplicate Document DLN from Error NA
713 Duplicate Document DLN from Unpostable NA
714 Duplicate Document DLN from Unworkable Suspense NA
715 Duplicate Document DLN from Workable Suspense NA
900 Unpostable Record 0

Exhibit 21.4.1-3 
MOST COMMON REFUND ANTICIPATION LOAN BANKS

The most common Refund Anticipation Loan (RAL) banks are listed below. If the number provided by the taxpayer is not listed below, advise the taxpayer to contact their return preparer. You may use the following link to find the financial institutions for specific routing numbers: Financial Institution Routing Numbers.
Bank and Address RTN
Mellon Bank
Mellon Client Support
Rm 154-0960
Pittsburgh, PA 15259-0001
(412) 236-3338
031100047
043000261
JP Morgan Chase Bank
10430 Highland Manor Drive
Tampa, FL 33610
(302) 984-4664
031100267
Discover Bank
502 E. Market Street
Greenwood, DE 19950
(302) 323-7391
English speaking assistance only
031100649
HSBC Trust Co. Delaware NA
1201 N. Market Street
Suite 1001
Wilmington, DE 19801
(877) 472–2249
031101208
JP Morgan Chase Bank, NA
ACH Dept, Attn: S. Sell
9000 Haggerty - MI 1-8205
Belleville, MI 48111
(800) 677-7477
044000037
Ohio Valley Bank Co.
Gallipolis, OH 45631
(740) 446-2631
044204370
HSBC Bank USA
One HSBC Center
14 Floor
Buffalo, NY 14203
(877) 472-2249
071002053
MetaBank
PO Box 50588
Storm Lake, IA 50588
(800)717-7228
RAL loans to Military Personnel
073922254
073972181
273970116
River City Bank
500 South Sixth St.
Louisville, KY 40202
(502) 585-4600
083000726
Republic Bank & Trust
601 West Market Street
Louisville, KY 40202-2700
(502) 584-3600
083001314
Bank of America
Direct Deposit Coordinator
PO Box 27025
Richmond, VA 23261
(415) 436-5566
121000358
University National Bank
c/o Santa Barbara Tax Products Group
PO Box 261059
San Diego, CA 92196-1059
(877) 908-7228
096017418
First California Bank
c/o Santa Barbara Tax Products Group
PO Box 261059
San Diego, CA 92196-1059
(877) 908-7228
122287183
San Diego National Bank
1420 Kettner Blvd. Ste. 101
San Diego, CA 92101
(619) 233-1234
English speaking assistance only - Spanish assistance not available
122238682
Zion First National Bank
PO Box 25837
Salt Lake City, UT 84125
(801) 974-8800
English speaking assistance only - Spanish assistance not available
124000054

Exhibit 21.4.1-4 
Internet Refund Fact of Filing Reference Numbers

Reference Code Status
Description


IRM
1001 Refund paper check mailed more than 4 weeks ago IRM 21.4.1.3.4, Refund Issued But, Lost, Stolen, Destroyed or Not Received
1021 FMS part offset, check mailed more than 4 weeks ago IRM 21.4.1.3.2, Return/Refund Located
1061 FMS part offset, direct deposit more than 1 week ago IRM 21.4.1.3.2, Return/Refund Located
1081 IRS full/partial offset, check mailed more than 4 weeks ago IRM 21.4.1.3.2, Return/Refund Located
1091 IRS full/partial offset, direct deposit more than 1 week ago IRM 21.4.1.3.2, Return/Refund Located
1101 No data, taxpayer filed paper return more than 6 weeks ago IRM 21.4.1.3.1.1, Return Not Found
1102 No data, taxpayer filed electronic return more than 3 weeks ago IRM 21.4.1.3.1.1, Return Not Found
1121 Problem identified; P-Freeze IRM 21.5.6.4.31, P- Freeze
1141 Refund delayed liability on another account; V- Freeze more than 8 cycles IRM 21.5.6.4.43, V- Freeze
1161 Refund delayed, bankruptcy on account :-V Freeze, CLOSING-CD-IND is 'Y'; less than 8 weeks IRM 21.5.6.4.44, -V Freeze
1181 Refund delayed, pulled for review, not within 7 cycles conduct account analysis
1201 All other conditions not covered by a status code conduct account analysis
1221 Refund delayed, pulled for review, within 7 cycles conduct account analysis
1241 Paper return received more than 6 weeks ago; -E Freeze; in review, notice for additional information will be received IRM 21.5.6.4.10, -E Freeze
1242 Electronic return received more than 3 weeks ago; –E Freeze; in review, notice for additional information will be received IRM 21.5.6.4.10, -E Freeze
1261 Paper return received more than 6 weeks ago; –Q Freeze; in review, notice for additional information will be received IRM 21.5.6.4.34, -Q Freeze
1262 Electronic return received more than 3 weeks ago; -Q Freeze; in review, notice for additional information will be received IRM 21.5.6.4.34, -Q Freeze
1301 Fact of Filing Electronic return received more than 3 weeks ago; no other information IRM 21.4.1.3.1.2, Return Found/Not Processed
1341 Refund delayed, liability on another account; V- Freeze IRM 21.5.6.4.43, V- Freeze
1361 Refund withheld for part/full payment of another tax liability; V- Freeze IRM 21.5.6.4.43, V- Freeze
1381 Refund withheld for part/full payment of another tax liability; V- Freeze IRM 21.5.6.4.43, V- Freeze
1401 Refund withheld for part/full payment of another tax liability; V- Freeze IRM 21.5.6.4.43, V- Freeze
1421 Refund delayed bankruptcy on account; -V Freeze; more than 8 weeks IRM 21.5.6.4.44, -V Freeze
1441 Refund delayed, SSN, ITIN or Name mismatch with SSA/IRS; return posted to Invalid Segment IRM 21.5.6.4.17, I- Freeze
1461 Taxpayer is advised their refund check was returned undelivered by the Postal Service. Taxpayer is provided the option to update their address online. Check account to determine if the taxpayer changed their address online. If address is changed, advise taxpayer their request is being processed.
If taxpayer did not change their address, follow instructions in IRM 21.4.3.4.3, Undeliverable Refund Checks.
1481 Refund delayed, return Unpostable IRM 21.4.1.3.1.2, Return Found/Not Processed
1501 Direct Deposit between 1 and 2 weeks ago, check with bank, file check claim IRM 21.4.1.4.7.1, Direct Deposit of Refunds
1502 Direct Deposit more than 2 weeks ago, check with bank, file check claim IRM 21.4.1.4.7.1, Direct Deposit of Refunds
1521 No data, paper return taxpayer filed more than 6 weeks ago; TIN not validated IRM 21.5.6.4.17, I- Freeze
1522 No data, taxpayer filed electronic return more than 3 weeks ago; TIN not validated IRM 21.4.1.3.1.1, Return Not Found
1541 Offset Overflow freeze set when offset storage within IDRS is not large enough to hold all generated transactions, or credit balance has been completely offset and two or more debit modules still exist IRM 21.5.6.4.5, C- Freeze
1551 Frivolous Return Program freeze set by TC 971 AC 089 IRM 21.5.6.4.11, F- Freeze
1561 Excess credit freeze set when the taxpayer claims fewer credits than are available IRM 21.5.6.4.19, J- Freeze
1571 Erroneous refund freeze initiated by TC 844 IRM 21.5.6.4.41, -U Freeze
1581 Manual refund freeze with no TC 150, or, return is Coded CCC "O" and TC 150 posted without TC 840 IRM 21.5.6.4.48, -X Freeze
2007/2008 Taxpayer's check returned undelivered by the Postal Service and taxpayer does not meet Internet Refund Fact of Filing (IRFOF) eligibility. For example account may have an additional liability, or a freeze code other than S-. Analyze account and take appropriate action.
2009 Taxpayer's check returned undelivered by the Postal Service and taxpayer does not meet IRFOF eligibility. Taxpayer does not pass disclosure through IRFOF due to lack of data on IRFOF. IRM 21.4.3.4.3, Undeliverable Refund Checks
2015 Savings bond request denied - partial offset - more than 3 weeks from refund date
  • Conduct account analysis

  • See IRM 21.4.1.4.7(3), Direct Deposit, General Information

  • See IRM 21.4.1.4.7.3, Non-Receipt, Lost, Stolen or Destroyed Series I Savings Bonds

  • See IRM 21.4.6.4, Refund Offset Research

2016 Savings bond request denied - total offset See IRM 21.4.6.4, Refund Offset Research
2017 Savings bond request allowed - more than 3 weeks from refund date See IRM 21.4.1.4.7.3, Non-Receipt, Lost, Stolen or Destroyed Series I Savings Bonds
5501 Split direct deposit - partial offset - more than 2 weeks from refund date
  • Conduct account analysis

  • See IRM 21.4.1.4.7(3), Direct Deposit, General Information

5510 Split direct deposit - returned by the bank - check mailed - with partial offset
  • Conduct account analysis

  • See IRM 21.4.1.4.7(3), Direct Deposit, General Information

  • See IRM 21.4.6.4, Refund Offset Research

5511 Split direct deposit - returned by the bank - check mailed
  • Conduct account analysis

  • See IRM 21.4.1.4.7(3), Direct Deposit, General Information

  • See IRM 21.4.1.4.7.1, Direct Deposit of Refunds

8001 Paper return taxpayer filed more than 6 weeks ago, failed authentication Conduct account analysis.
8002 Electronic return taxpayer filed more than 3 weeks ago, failed authentication Conduct account analysis.
9001 Systemic error Analyze account and follow appropriate IRM.
9021 Reference Code for all math error conditions Analyze account and follow appropriate IRM.
9022 Math error on return. Direct deposit more than 1 week ago Analyze account and follow appropriate IRM.
9023 Math error on return. Refund paper check mailed more than 4 weeks ago Analyze account and follow appropriate IRM
9024 Math error on return. Balance due more than $50 Analyze account and follow appropriate IRM

Exhibit 21.4.1-5 
Bank Letter to Recover Direct Deposits

Bank Letter to Recover Direct Deposits
(AM Site Specific Letterhead)


(Site Name) Accounts Management
Operations X – Department X
Refund Inquiry Unit
Street Address/PO Box #
City, State, Zip Code

MM DD, YYYY

Bank/Financial Institution Name
ACH Department

Re: Taxpayer(s) Name

Dear Sir or Madam (be specific with a name if possible):

The Internal Revenue Service is submitting this letter on behalf of the taxpayer(s) shown above. Our records indicate that a refund credit of $X,XXX.XX was electronically transmitted to your bank in error on MM DD, YYYY. This credit was sent to Routing Transit Number XXXXXXXXX for deposit to account number XXXXXXXXXX.

The account number, as furnished, was incorrect. The IRS is requesting your help to recover these funds. Please return this credit to us via ACH or at the address shown above.

If you are unable to take this action within 10 days from the date of this letter, please notify us by telephone or correspondence.

We appreciate your assistance and request that you keep in touch to the progress of this matter.

If we can be of further assistance, you may write me at the above address or call (TE name inserted here) at (XXX) XXX-XXXX between the hours of X:XX AM and X:XX PM, Monday through Friday. Or you may fax your response to XXX-XXX-XXXX to the attention of the IRS employee named in this paragraph.


Sincerely,
Manager Name
Supervisor, Refund Inquiry Unit

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