21.5.11  Employee Plan Accounts (Cont. 1)

21.5.11.11  (07-01-2014)
Delinquent Filer Voluntary Compliance (DFVC)Payment

  1. EP Accounts will occasionally receive payments intended for the Department of Labor for the DFVC program.

  2. If a payment is received which is intended for the DFVC take the following actions:

    • Refund the payment to the taxpayer.

    • Do not remove the penalty.

21.5.11.12  (07-01-2014)
Routing Correspondence

  1. Loose Schedules—Local procedures will be developed with the Ogden TE/GE Processing Center Staff.

  2. When any of the following forms: 1023, 1024, 1028, 5300, 5305, 5307, 5309, 5310, or 5310–A, are attached to a return or correspondence, detach the application and send to:

    CSPC
    P.O. Box 12192
    Covington, KY 41012–0192

  3. Return Pension Benefit Guaranty Corporation (PBGC) schedules (and attachments) to the following address:

    Pension Benefit Guaranty Corporation
    P.O. Box 64880
    Baltimore, MD 21264–4880

  4. If the form is a 3672 (obsolete), 3672–A (obsolete), 4461, 4461–A, 5306, or 5306 SEP with no notations of National Office action, forward the application to :

    Internal Revenue Service
    Employee Plans
    Commissioner, TE/GE
    P.O. Box 27063
    McPherson Station
    Washington, DC 20038
    Attn: SE:T:EP:RA

  5. Requests for Change in Plan/Trust Year—If an original Form 5308 with neither approval or disapproval is attached to the correspondence, forward using the address in (4) above.

  6. If an unprocessed amended Form 5500 series return is received and there is no penalty abatement case, return to filer. As of January 1, 2010 all Form 5500 and Form 5500-SF must be filed electronically.

  7. If correspondence is received in lieu of an amended return:

    • Research for a posted return.

    • If the research shows a CCC "N" or "I" , look for an open control base to which this correspondence belongs.

    • If an abatement is necessary, follow the procedures in IRM 21.5.11.7, Processing Over Assessments.

  8. If a loose schedule is received in correspondence and it does not pertain to a Account Management or TDI issue, use the following chart to determine proper disposition.

    IF… Then…
    Responses to NC letters sent to filers requesting additional information EBSA/Vangent Inc.
    P.O. Box 7045
    Lawrence, KS 66044–7045
    Loose Schedules A, C, D, E, F, G, H, I, R, T, for Form 5500 Destroy
    Loose Schedules B, for Form 5500 received from DOL vendor, EBSA or IRS Destroy
    Loose Schedules B for Form 5500 received directly from filer Return to filer
    Loose Schedules MB or SB, for Form 5500 received from DOL Vendor, EBSA or IRS Destroy
    Loose Schedules MB or SB for Form 5500 or Form 5500-SF received directly from filer Return to Filer
    Loose Schedule P, for Form 5500 Destroy
    Loose Schedule SSA for Form 5500 or Form 8955-SSA Social Security Administration
    Wilkes-Barre Data Operations Center
    1150 East Mountain Blvd.
    Wilkes-Barre, PA. 18702-9838
    Form 5500 (received from Field Office, secured return) Return to originator
    Form 5500-EZ Send to Ogden Submission Processing to be processed
    Form 5500 (all others) Return to filer unless it is a copy addressing a penalty issue
  9. Requests for an EIN—Route to Entity control, Mail Stop 6273.

21.5.11.12.1  (07-01-2014)
Official Denied Form 5500 Appeal Requests

  1. All official Form 5500 denied appeal cases will be sent to EP Accounts to reconsider.

  2. If the penalty cannot be abated upon reconsideration, the SME within the unit will prepare the package and send to appeals.

21.5.11.13  (07-01-2014)
Reasonable Cause General Guidelines

  1. Reasonable cause is based on all the facts and circumstances in each situation and allows the IRS to provide relief from a penalty that would otherwise be assessed. Reasonable cause relief is generally granted when the filer exercises ordinary business care and prudence in determining their filing obligations but is unable to comply with those obligations.

  2. Reasonable cause relief is not available for all penalties. However, other exceptions may apply. For those penalties where reasonable cause can be considered, any reason which establishes that the taxpayer exercised ordinary business care and prudence, but was unable to comply with a prescribed duty within the prescribed time, will be considered.

  3. When considering the information provided, remember that an acceptable explanation is not limited to those given in IRM 20.1.1. Penalty relief granted because the taxpayer provided an "other acceptable explanation" is identified on either the closing or adjustment document. The wording used to describe reasonable cause provisions varies.

  4. Reasonable cause requires evidence that the filer acted in good faith or that the filer’s failure to comply with the law was not due to willful neglect. Filers have reasonable cause when their conduct justifies the nonassertion or abatement of a penalty.

  5. Each case must be judged individually based on the facts and circumstances at hand. Each case must be determined on its own merit. Ignorance of the law can be considered for reasonable cause only if other facts support this contention.

  6. Penalty abatement letters for EP customers should not be issued referencing or stating "based on history of compliance" or similar wording. No reference should be made to compliance history.

  7. Reasonable cause does not apply to interest abatement. See IRM 20.2.7.

  8. The IRS’s approach to penalty administration must ensure:

    • Consistency - The IRS should apply penalties equally in similar situations. Filers base their perceptions about the fairness of the system on their own experience and the information they receive from the media and others. If the IRS does not administer penalties uniformly (guided by the applicable statutes, regulations, and procedures), overall confidence in the tax system is jeopardized.

    • Accuracy - The IRS must arrive at the correct penalty decision. Accuracy is essential. Erroneous penalty assessments and incorrect calculations confuse taxpayers and misrepresent the overall competency of the IRS.

    • Impartiality - IRS employees are responsible for administering the penalty statutes in a fair and impartial manner to both the government and the filers.

    • Representation - Per the IRS Publication 1, Your Rights as a Taxpayer, filers must be given the opportunity to have their interest heard and be able to provide additional documentation to be considered. Employees need to take an active and objective role in case resolution and also ensure that taxpayer rights are clearly communicated and honored. Every function in the IRS has a role in proper penalty administration. It is essential each function conduct it's operations with an emphasis on protecting taxpayer rights and promoting voluntary compliance.

  9. Form 3870, Request for Adjustment, is honored as supporting documentation to abate penalties for EP Filings (Form 5500 series & Form 5330) for a Delinquent Secured Return or a Substitute for Return (SFR).

  10. For more information regarding the IRS's policy on the use of penalties refer to IRM 1.2.20.1.1.

  11. For more information regarding reasonable cause, refer to IRM 20.1.1.

21.5.11.14  (07-01-2014)
General Form 5330 Processing

  1. The following subsections contain instructions on processing Form 5330, Return of Excise Taxes Related to Employee Benefit Plans. Beginning January 2001, Forms 5330 are processed to the BMF. Prior to that date, all assessments were made on NMF. Forms 5330 period ending prior to 198412 must still be processed on NMF.

    Note:

    No new NMF assessments should be made unless the return cannot be processed to the BMF (e.g. quick assessments, period endings prior to 198412).

  2. Form 5330 is used to report tax on the following transactions:

    • Failure to meet minimum funding standards (IRC Section 4971).

    • Failure to correct minimum funding (IRC Section 4971(b)).

    • For Plan Years beginning after December 31, 1995, tax on failure to pay liquidity shortfall (IRC Section 4971(f)).

    • Nondeductible employer contributions to qualified plans (IRC Section 4972).

    • Excess contributions to IRC Section 403(b)(7)(A) custodial accounts (IRC Section 4973).

    • A prohibited transaction occurring after December 31, 1974 (IRC Section 4975).

    • A disqualified benefit provided by funded welfare plans (IRC Section 4976).

    • Excess fringe benefits (IRC Section 4977).

    • Certain ESOP (Employee Stock Ownership Plan) dispositions (IRC Sections 4978 and 4978A).

    • Excess contributions to plans with cash or deferred arrangements (IRC Section 4979).

    • Prohibited allocations of qualified securities by an ESOP (IRC Section 4979(A)).

    • Reversion of qualified plan assets to employers (IRC Section 4980).

    • Tax on Failure to provide notice of significant reduction in future accruals (IRC Section 4980(F)).

    • See Form 5330 instructions (if necessary) for additional filing information.

  3. Whether a Form 5330 is assessed on NMF or BMF, a TC 154 on the EPMF indicates that a Form 5330 was filed. This information is available from CC EMFOL. (Form 5330 processed before January 2001 should be available from ERTVU; others will be available from BRTVU).

  4. Abatement of tax is occasionally required on Form 5330 (exception—erroneous IRS assessments). Refer to Processing Over assessments Section of EPMF.

  5. Specific instructions for filing Form 5330 are found on the form itself and the Instructions for Form 5330.

  6. When a Form 5330 needs to be re-input due to an IRS error, attach a Form 13133, Expedite Request, to the return before sending it for re-input. Expedite requests are processed on a 6 day cycle.

  7. See Table below for Form 5330 due dates. For additional information refer to Form 5330 Instructions.

    Taxes Related to Employee Benefit Plans
    Code
    Sect.
    Description Due Date
    4971(a) Failure to meet minimum funding standards (IRC 412). 7th month after the end of the employer’s tax year OR 8 1/1 months after the end of the plan year that ends with or within the tax year.
    4971(F) Tax on Failure to pay Liquidity Shortfall. 7th month after the end of the employer’s tax year OR 81/1 months after the end of the plan year that ends with or within the tax year.
    4971(G)(2) Tax on failure to comply with a funding improvement or rehabilitation plan. 7th month after the end of the employer’s tax year OR 81/1 months after the end of the plan year that ends with or within the tax year.
    4971(G)(3) Tax on failure to meet requirements for plans in endangered or critical status. 7th month after the end of the employer’s tax year OR 81/1 months after the end of the plan year that ends with or within the tax year.
    4971(G)(4) Tax on failure to adopt rehabilitation plan. 7th month after the end of the employer’s tax year OR 81/1 months after the end of the plan year that ends with or within the tax year.
    4972 Tax on nondeductible contributions to qualified plans. IRC 401(a), 403(b), 408(k). 7th month after the end of the tax year of the employer or other person who must file this return.
    4973 (a)(3) Tax on excess contributions to IRC 403(b)(7)(A) Custodial Accounts. 7th month after the end of the tax year of the employer or other person who must file this return.
    4975 Tax on Prohibited Transactions. 7th month after the end of the tax year of the employer or other person who must file this return.
    4976 Tax on disqualified benefits for funded welfare plans. 7th month after the end of the tax year of the employer or other person who must file this return.
    4977 Tax on Excess Fringe Benefits. 7th month after the end of the calendar year in which the excess fringe benefits were paid to your employees.
    4978 Tax on ESOP Dispositions. 7th month after the end of the tax year of this employer or other person who must file this return.
    4979 Tax on Excess Salary Reduction Contributions to certain plans (e.g. IRC 401(k)(8)(B) and 401(k)(6)(C) 15th month after the close of the plan year to which the excess contributions or excess aggregate contributions relate.
    4979A Tax on certain prohibited allocations of qualified ESOP securities 7th month after the end of the tax year of the employer or other person who must file this return.
    4980 Tax on Reversions of Qualified Plan assets to employer. Month following the month in which the reversion occurred.
    4980(F) Tax on failure ro provide notice of significant reduction in future accruals. Month following the month in which the failure occurred.

    Note:

    If the filing due date falls on a Saturday, Sunday, or legal holiday, the return is due on the next business day.

21.5.11.15  (07-01-2014)
Statute of Limitations

  1. Per IRM 20.2.5.2, interest may be assessed and collected at any time during which the tax to which it relates may be collected. See IRC 6601(g).

  2. Generally, taxes assessed after November 5, 1990, must be collected within 10 years after the assessment of the tax. Refer to IRM 25.6.1.12, Collection Statute Expiration (CSED), for additional information on CSED.

  3. With the exception of prohibited transactions the statute of limitations (SOL) for assessment of taxes expires three years from the due date of the Form 5330 return or the date the return is filed, whichever is later. (See IRC 6501(a)). A return is deemed filed on the due date of the return if filed on or before its due date.

  4. For Form 5330 filed for IRC 4975 excise tax, the three year statute of limitations for assessment of taxes will commence to run on the later of the date the related Form 5500 series return is filed or the date due, if the prohibited transaction is sufficiently disclosed (See IRC 6501(l)(1)). See IRM 4.71.5, Employee Plans Examination of Returns for assistance in computing statutes under IRC 4975.

  5. The statute of limitations for prohibited transactions is extended to six years if the prohibited transaction is not adequately disclosed.

  6. Other than prohibited transactions the statutory period for assessment of tax is six years from the date the return is filed or deemed filed, whichever is later, in cases where there has been an omission of more than 25% of the excise tax due under Subtitle D (Chapters 41 through 44).

  7. BMF will automatically calculate a statute of limitations date for prohibited transactions three years from the later of the date the Form 5330 is filed or the due date. However, BMF currently incorrectly calculates the statute of limitations date for prohibited transactions, as there is no linkage to the Form 5500 series return statute date.

  8. Refer to "The statute control procedures" discussed in IRM 4.71.9 for additional information on statute dates for Form 5330s.

21.5.11.16  (07-01-2014)
NMF Form 5330 Processing

  1. Most Forms 5330 are processed to the BMF. Forms processed prior to January 1, 2001 were processed to the NMF. Therefore, some claims for refunds and amended returns, must address the NMF if the original payment or assessment posted to the NMF.

  2. If filer claims a refund on Form 5330 as a result of the payment received with Form 5558 Extension, complete Form 1331-B with appropriate TC and route via F3210 to appropriate NMF campus.

    Note:

    NMF is only worked at CSPC.

  3. Amended Forms 5330 must be compared with the original Form 5330, using CFOL where possible, and any additional taxes must be assessed using Form 5734 (or Form 3354). Any remittance amount shown must be considered in the calculation. Include any interest and penalties that are appropriate. Be certain to use the TIN in Box B for the assessment. It could be either an SSN (for an individual), or an EIN (from a corporation, trust, partnership, exempt organization, or a pension/welfare plan). Any reductions in tax or request for refunds must be handled as an over assessment in accordance with IRM 21.5.11.7.

  4. Associate the amended return with the original assessment.

21.5.11.17  (07-01-2014)
BMF Form 5330 Processing

  1. Forms 5330 are processed to the Business master file (BMF).

  2. The following section provides procedures for the Form 5330 that is processed to BMF.

  3. More than one Form 5330 can post to the same Tax Module. The first Form 5330 to post will be a TC 150. All subsequent, non-amended Forms 5330 that post to the same EIN/Plan Number/Tax Period will post as a TC 973. The information from these returns is available on CC BMFOL.

  4. An amended return for a Form 5330 must have all four of the elements below identical, if any one of the elements is different process the return as a subsequent return, TC 973:

    • EIN

    • Period Ending

    • Plan Number

    • Abstract - Tax Section

  5. A true "dup" for a Form 5330 must have all five of the elements below identical, if any one of the elements is different process the return as a subsequent return or an amended return. Refer to elements for an amended return above.

    • $ amount reported for Excise Tax

    • EIN

    • Period Ending

    • Plan Number

    • Abstract - Tax Section

  6. Adjustments will receive the following:

    1. CP 186, Notification of a potential manual interest or penalty adjustment.

    2. CP 190, Generated within four cycles after a coded TC 976 posts to a module which does not contain an original return (TC 150).

    3. CP 193, Duplicated Filing Notice.

    4. Late replies to correspondence for missing items which may require abatement of taxes and penalties.

    5. Replies to Balance Due Notices.

    6. Claims for Refunds.

  7. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

21.5.11.17.1  (07-01-2014)
Notification Of A Potential Manual Interest Or Penalty Adjustment (CP186)

  1. This section contains information and procedures related to the CP 186.

    1. A potential manual penalty or interest adjustment occurs when a payment transaction posts to a module and the credit amount is greater than the assessed module balance due amount.

    2. When there is an interest or penalty computation restriction present.

    3. When an account is transferred in from the Retention Register with Doc Code 51 or 52.

    4. An additional "CP 186" Notice generates when subsequent credits post and the same situation as above is present. The EP Accounts Unit will work all CP 186s that are for Form 5330, Return of Excise Tax Related to Employee Benefit Plans, (MFT76) .

  2. Some conditions which create restrictions are:

    1. Interest has previously been manually assessed (TC 340) or abated (TC 341).

    2. FTP penalty has previously been manually assessed (TC 270) or abated (TC 271).

    3. Returns with prior year, ending prior to January 1, 1970.

    4. Audit or DP tax adjustment (TC 290X or 30X) posted with a 23C date prior to January 1, 1970.

    5. Any transferred in transaction (Doc. Code 51 or 52 posted).

    6. See IRM 20.2.8, Restricted Interest, for additional reasons an account may need to be restricted.

  3. Analyze the module and take the required action as follows:

    1. If unresolved TC 480 or TC 780 is present on the module, forward to the Offer-in-Compromise File for resolution or routing to the Technical Support function.

    2. If an unreversed TC 520 is on the account, refile any returns associated with notices and destroy the CP 186. When the bankruptcy is closed, Technical Support function will dispose of any credit.

  4. Request the source document, if necessary, to determine the reason for the restriction.

  5. Review the penalty on the original assessment to verify if correct assessments were made.

    1. If the original assessment was incorrect, use the correct figures when resolving the CP 186.

    2. If a previous FTP penalty was abated for reasonable cause (RC 62), do not reassess the amount associated with RC 62.

    3. If the maximum FTP was reached and a TC 971 action code 262 has not generated, input TC 971 action code 262.

      Note:

      See IRM 21.7.11, Additional Computer Paragraph Notices and Transcripts, for additional information addressing Manual Interest/Penalty Adjustment.

  6. Review the interest assessed.

    1. See IRM 20.2.6.6, Methods of Computing Interest, for procedures on how to compute interest.

    2. Previous restricted interest transactions must be verified before recomputing a module. If you are unable to verify the TC 34X/77X amount, secure the adjustment document or case file.

      Note:

      See IRM 20.2, Interest, for further information.

  7. Input a non-restrictive TC 340 whenever possible. Refer to IRM 20.2.8.11, Restricted Interest, for details.

  8. If additional penalty and/or interest is due, input an adjustment to assess the additional amount. Follow the table below:

    If Then
    The available credit is less than the total additional penalty/interest due Assess the total additional penalty/interest. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ Refer to IRM 20.2.11.11.1 (5) Under-assessed Debit Interest.
    The available credit is more than the additional penalty/interest Assess only the total additional penalty/interest due and let the balance refund.
    No additional penalty/interest is due Treat the CP 186 as classified waste and, if a credit is present, transfer it to the correct period or input TC 290 .00 to release the freeze (HC 3, BLK 15, NSD).
    No other adjustment action is necessary PC 5 can be used to force the computer assessment of unrestricted interest of FTP penalty and issue a balance due notice to the filer. (See IRM 21.5.2, Adjustment Guidelines .for more information on use of PC 5.)

21.5.11.17.2  (07-01-2014)
Amended Return (CP 190) - No Original Posted

  1. CP 190 is generated within four cycles after a "G" coded TC 976 Form 5330, Return of Excise Tax Related to Employee Benefit Plans return posts to a module which does not contain an original return (TC 150).

  2. CP 190 is associated with TC 976 return and forwarded to EP Accounts for resolution.

  3. E- freeze is generated along with CP 190. E- freeze must be released before CP 190 cases are closed by either posting:

    • TC 971 action code 002

    • TC 150

  4. EP Accounts must determine disposition of TC 976 Form 533,0, Return of Excise Tax Related to Employee Benefit Plans.

    • Check IDRS for an unpostable or rejected TC 150.

    • Analyze return and any attached schedules for possible re-input to another tax period or TIN.

    • If TC 150 has posted to account after the CP190 was generated, close the base for the CP190 to the DUPF control after it was assigned to an employee. Resolve duplicate filing condition.

    • If further information is needed, call or send the filer a copy of the return using the appropriate C letter. Suspend case for 40 days if corresponding.

21.5.11.17.2.1  (07-01-2014)
TC 976 Return Intended as Original

  1. If TC 976 return needs to be re-input as original, the return must be edited and reprocessed using Form 13596.

  2. Follow instructions in IRM 21.5.2, Adjustment Guideline , when reprocessing documents.

21.5.11.17.2.2  (07-01-2014)
TC 976 Return Posted to Incorrect TIN/Tax Period, Account for Which It Was Intended Contains the Original Return (TC150)

  1. When it is determined the TC 976 return was intended for another module which contains the original return, action must be taken on both accounts.

  2. On module from which TC 976 return is being moved:

    • Transfer any credits which do not belong on module. (Use TC 570 if necessary)

    • Input TC 971 action code 002 to release E- freeze.

  3. On module to which TC 976 return is being moved, follow instructions in IRM 21.7.9.4.1.1.1.1, Reprocessing TC 976 Return to Module with TC 150.

21.5.11.17.2.3  (07-01-2014)
TC 976 Return Posted to Incorrect TIN/Tax Period, Account for Which It Was Intended Does NOT Contain an Original Return (TC 150)

  1. If TC 976 return was intended for another module which does not contain an original return, action must be taken on both accounts.

  2. On module from which TC 976 return is being moved:

    • Transfer any credits which do not belong on module. (Use TC 570 if necessary)

    • Input TC 971 action code 002 to release E- freeze. See IRM 21.7.9 for proper input.

  3. On module to which TC 976 return is being moved:

    • Use Form 13596 to reprocess return and follow instructions in IRM 21.5.2, Adjustment Guideline Procedures.

    • Input TC 599 cc 18 (if module is in MF Status 02 or 03).

    • Input TC 971 action code 017.

21.5.11.17.2.4  (07-01-2014)
TC 976 Return Posted to Correct Module, Original Return Posted to Incorrect Module

  1. When TC 976 return posts to correct module, but original return intended for that module incorrectly posts to another module, original return on incorrect module must be secured.

  2. On module containing original return:

    • Abate tax assessed on incorrect module using appropriate HC.

      Note:

      Also abate penalty and interest if restricted. If penalties and/or interest are not restricted, those items will automatically abate when the tax is corrected.

    • Transfer credits to correct module. (Use TC 570 if necessary.)

    • Input TC 971 action code 001.

  3. On module containing TC 976 return:

    • Reprocess either original or amended return as TC 150.

      Note:

      Reprocessing original return to correct account will result in a duplicate filing condition. This is avoided by either perfecting and then re-inputting TC 976 return as original return, or by preparing a dummy return with correct tax reported and using the same DLN as TC 976 return. Attach TC 976 return behind dummy return.

21.5.11.17.2.5  (07-01-2014)
TC 976 Return Cannot Be Obtained From Files

  1. When working CP 190, and TC 976 return cannot be obtained from Files, follow procedures below:

    • Request a "special search" from files.

    • Correspond (use Letter 418C) or call filer to obtain a copy of original and amended returns.

    • Put case in "M" Status and suspend for 40 days.

  2. If filer does not reply and TC 976 return still cannot be located, follow the chart below:

    If .. Then ..
    There are no credits on module Input TC 971 action code 002 to release E- freeze.
    There are credits on module which do not belong on any other module (appropriate research must be performed) Prepare a dummy return using DLN of TC 976 return, with a tax liability equal to credits.

    Note:

    Use this procedure ONLY if sufficient information is not available to process a return as original.

21.5.11.17.3  (07-01-2014)
BMF Duplicate Filing Conditions (CP 193)

  1. This section contains information and procedures related to duplicate filing conditions.

  2. A duplicate filing condition occurs when a return (TC 976) posts to a module already containing a return. master file generates an A Freeze and a CP 193. The CP 193 is associated with the return and forwarded to Adjustments.

  3. When a return is filed with the amended box checked, or marked "amended" , "corrected" , "supplemental" , "superseding" , etc., Code and Edit inputs CCC "G" . Only EIN, name control, plan number, tax period, received date, condition codes, sponsor EIN, sponsor plan year ending, and CAF indicator will be transcribed.

  4. All duplicate filing cases will be controlled on IDRS and not closed until action was taken to resolve the case.

21.5.11.17.3.1  (07-01-2014)
Resolving CP 193

  1. Determine and resolve duplicate filing conditions by examining and comparing information on the CP 193 and returns. Use CP 193, duplicate return, CFOL command codes, and original return (secure if necessary) to resolve case. Compare the items listed below:

    • Difference in Filer’s entity (names, addresses, TINs, etc.)

    • Tax Periods

    • Plan Numbers

    • DLNs

    • Received dates

    • Signature, title, and signature date

    • Transaction codes

    • Deposits (compare dates and amount)

    • Payment(s) received with return(s)

    • Module balance

  2. Check command codes ENMOD, NAMEB, NAMEI, NAMEE, or INOLE when the TIN is circled out and a new TIN written in.

  3. Some of the most common reasons for filing duplicate or amended returns include:

    • Filer filed a second return to correct erroneous information on the first return.

    • Filer filed an original return but underpaid the tax liability.

    • Filer filed a second return in response to a balance due notice regarding missing payments and penalties.

    • Organization filed a second return attaching missing information requested by the IRS.

21.5.11.17.3.2  (07-01-2014)
Various TC 976 Conditions

  1. If any of the following conditions applies to the TC 976 account, refer to the procedures in IRM 21.7.9:

    • Two returns posted to same account. Correct return posted first. TC 976 belongs on different period or EIN.

    • Reprocessing TC 976 return to module with no TC 150.

    • Reprocessing TC 976 return to module with TC 150.

    • Two returns posted to same account. Incorrect return posted first. TC 976 return is correct return.

    • Reprocessing TC 150 return to module with no TC 150.

    • Reprocessing TC 150 return to module with TC 150.

21.5.11.17.3.3  (07-01-2014)
Amended/Supplemental
Return-Increase

  1. Returns reporting tax increases are sometimes marked as "supplemental" returns. Additional tax is usually paid with the supplemental return.

  2. The filer does not always explain why a second return was submitted. Thoroughly research account to determine whether to assess the liability on the second return. Consider such items as:

    • Does the filing/signature dates, liability periods, credits claimed or payment made, relate to any other tax period?

    • Is there any change to the entity information which could indicate a different filer?

    • Are there any open modules for which second return is intended?

    • Is there an indication the second return is in response to previous IRS correspondence?

  3. If the reason for filing the second return is not clear, additional information is needed. Action required:

    1. Request TC 150/976 documents, if necessary.

    2. Attempt to contact the filer for additional information .

    3. Document call attempts and any conversations with the taxpayer.

    4. Correspond (generally Letter 418C, Amended/Original Return Unavailable, Copy Requested, or Letter 31C, Duplicate Returns filed; Explanation Requested, with the filer if unable to contact by phone.

    5. If corresponding, suspend for 40 days.

  4. Take the following action after completing research and a proper determination can not be made in the correct resolution of the case, or if you are unable to determine because you receive "no reply" from the filer:

    1. Re-compute tax liability. A tax increase on a supplemental return is increased for the amount of the supplemental return. A tax increase on an amended return is increased for the difference between the original and amended returns.

    2. Math verify the amended return if it is "G" coded and the tax increase is greater than $10.

    3. Compare information on CP 193 with IDRS data. Consider any action which has taken place since the CP 193 was generated before adjusting the account.

    4. Increase tax using TC 29X using the appropriate blocking series, abstract numbers, etc. Use blocking series 00 if the TC 150 document has been secured. Use blocking series 18 on superseding returns only.

    5. Adjust the penalty and interest if necessary.

21.5.11.17.3.4  (07-01-2014)
Amended/Supplemental Return–Decrease

  1. Amended returns filed to decrease tax are required to have backup information including an explanation of why the tax should be decreased.

  2. The following actions are required on cases requesting a tax decrease:

    1. Re-compute the tax liability.

    2. Compare information on the CP 193 with IDRS data. Consider any action which has taken place since the CP 193 generated before adjusting the account.

    3. Decrease tax with TC 29X using the appropriate blocking series, abstract numbers, etc.

    4. Adjust penalty and interest if necessary. If penalties and interest are not restricted, the account will automatically correct when the tax is corrected.

21.5.11.17.3.5  (07-01-2014)
Resolving True Duplicate

  1. A true duplicate condition occurs when a filer files two returns for the same tax period, abstract number, plan number, and tax with the same information on both returns and no tax change is required.

  2. Do the following:

    1. Analyze the account date and both returns (if original is needed to resolve case) to verify they are true duplicates.

    2. Input TC 290 zero in appropriate blocking series to release -A freeze. Use duplicate return for source document.

      Note:

      If module balance is in a credit status, also use Hold Code 3 to prevent an adjustment notice from generating.

    3. Staple CP 193 to duplicate return.

      Note:

      If original return was secured, staple duplicate return behind original and use blocking series 00.

21.5.11.17.3.6  (07-01-2014)
CP193 Received Without Duplicate Return

  1. When a CP 193 is received without the duplicate return, attempt to determine if it is a true duplicate using CC BMFOL"R."

    Note:

    CC BRTVU is not available for Form 5330,Return of Excise Tax Related to Employee Benefit Plans (MFT 76).

    If .. Then ..
    The return proves to be a true duplicate Input TC 290.00 in BS 10/15 (unless original return is attached) and note in the Remarks portion of adjustment document " True Dup"
    It cannot be determined the return is a true duplicate Request return from Files
  2. When unable to secure a return from files after the first attempts or within 14 days:

    • Send letter 418C to organization to request a copy. (You may also contact the organization by phone to obtain a copy.)

    • Suspend case for 40 days.

  3. If there is no reply and:

    If .. Then ..
    A payment was received with duplicate return 1. Assess tax equal to payment amount.
    2. If module credit balance is in excess of payment submitted with return, determine reason for additional excess credit.
    3. Resolve any misapplied payments or other module freeze conditions before making assessment.
    Information is not available to determine adjustment needed and no payment was received with duplicate return Input TC 290 .00 to release the -A freeze.

21.5.11.17.4  (07-01-2014)
Reprocessing Returns

  1. When a return must be reprocessed, use Form 13596.

  2. When a dummy return is reprocessed in lieu of original or duplicate return, use the same received date as the original or duplicate, respectively.

  3. Input TC 971 with the appropriate action code to the incorrect module (to identify cross reference TIN/Plan number/Tax period data) whenever an original or amended/duplicate return posted to an incorrect TIN/Plan number/Tax period and is being reprocessed to correct the module. See IRM 21 for valid TC 971 action codes.

  4. Input TC 290 zero to release the freeze.

21.5.11.17.4.1  (07-01-2014)
Reprocessing Secured Returns

  1. If the return was secured by TE/GE and needs to be reprocessed, the following steps should be followed:

    • Request return from files.

    • If return is not received from files after the first attempt or 14 days try and obtain a copy from the agent, and process the copy as an original, use the same received date as the original.

  2. If unable to obtain a copy from the agent prepare a dummy return and reprocess in lieu of original, use the same received date as the original.

  3. If the return was originally secured by a TEGE EP Exam office you will need to ensure that the copy you send over to be reprocessed is clearly marked "Secured by TEGE EP Exam."

  4. All reprocessed returns are to be sent to the campus as an expedite request.

21.5.11.17.5  (07-01-2014)
Two Returns Posted to Same Module
TC 976 Posted to an Incorrect Module

  1. If TC 976 return is posted to an incorrect module, use IDRS and CFOL command codes to determine the account it should be reprocessed to.

  2. If a TC 150 exists on the correct module:

    1. Input TC 971 with action code 17 using CC REQ77 and make any required adjustment to the correct TIN/Plan number/Tax Period. Use appropriate blocking series, hold codes, etc.

    2. Transfer any credits which do not belong and input TC 971 with action code 02 using CC REQ77 on the incorrect module. Input TC 290 zero (use appropriate hold code) to release the freeze.

  3. If no TC 150 exists on the correct module:

    1. Prepare Form 13596 to reprocess the TC 976 to the correct module.

    2. Input TC 599 with closing code 18 using CC FRM49 and a TC 971 with action code 17 using CC REQ77 on the correct module.

    3. Transfer any credits which do not belong and input TC 971 with action code 002 using CC REQ77 on the incorrect module. Input TC 290 zero (use appropriate hold code) to release the freeze.

21.5.11.17.6  (07-01-2014)
Two Returns Posted to Same Module,
Incorrect Return Posted First

  1. When it is determined the TC 150 return is posted to an incorrect module, use IDRS and CFOL command codes to determine the module which it should be processed to.

  2. If a TC 150 exists on the correct module:

    1. Input TC 971 with action code 17 using CC REQ77 and make any required adjustment to the correct TIN/Plan number/Tax Period. Use appropriate blocking series, hold codes, etc.

    2. Transfer any credits which do not belong and input TC 971 with action code 001 using CC REQ77 on the incorrect module. Input TC 29X and make any required adjustment and release the freeze.

  3. If no TC 150 exists on the correct module:

    1. Prepare Form 13596 to reprocess the TC 976 to the correct module.

    2. Input TC 599 with closing code 18 using CC FRM49 and a TC 971 with action code 17 using CC REQ77 on the correct module.

    3. Transfer any credits which do not belong and input TC 971 with action code 01 using CC REQ77 on the incorrect module. Input TC 29X and make any required adjustment and release the freeze. Use appropriate blocking series, hold codes, etc.

21.5.11.17.7  (07-01-2014)
Shipment of Source Documents

  1. Return documents (in separate folders labeled by type) to Campus Files within 7 workdays of input.

  2. Mail/route source documents immediately after Quality Review is complete. If the source document is retained beyond three (3) workdays for completion of certain ADJ54 transaction cases, input "R" in the remarks field of the input screen. Notify the Files Management Unit immediately of any anticipated shipment delays.

  3. Route all adjustment documents to Files marked Attn.: Files Management Unit. Complete Form 4442, Inquiry Referral or Form 8485, Assessment Adjustment Case Record. Include the IDRS sequence number in the top right corner before placing the documents in the employee folder.

  4. Prepare separate adjustment folders for each date and type of input. Label the outside of each folder as follows:

    1. IDRS number

    2. Date

    3. Category of source documents

    4. Sequence numbers (e.g., 01–14QR), and

    5. Release date (e.g., September 30, 2004)

      Reminder:

      Local procedures may impose additional or alternate requirements.

  5. Prepare a separate folder for ADJ54 case actions. Date and sequentially number (legibly and readily available for files to recognize) the Form 8485 or other worksheets used to notate the case and account actions taken. This will help files maintain the integrity of the cases. Place other transactions, e.g., credit transfers, in a separate "Other Documents" folder and ship to files daily.

  6. Remember to insert your source documents into your folder as soon as you complete the IDRS account adjustment. If you forget to insert a document into the folder do not throw away. Obtain the DLN and send to files to be associated with your case file. If the source document is not included in your folder the Files Management Unit may contact you requesting the document.

  7. For additional information refer to IRM 21.5.2 - General Adjustments.

21.5.11.18  (07-01-2014)
Transcript Processing

  1. This section contains instructions on resolving cases generated from other types of transcripts.

21.5.11.18.1  (07-01-2014)
–E Freeze/Debit Offset In

  1. The "– E Freeze" (which is released after 10 cycles) indicates an FTD discrepancy in the BMF debit module which generates a balance-due notice. The " – E Freeze" module can contain debit balance modules resulting from posting of transactions subsequent to original return processing.

  2. Subsequent transactions can be any combination or separate posting of tax, penalty, interest, or credit reversals which result in the module going from zero or credit balance to a debit balance, or from a debit balance to a greater debit balance.

    1. The module balance prior to posting of the subsequent transaction can be zero, debit, or credit.

    2. The module balance after posting of the subsequent transaction must be a debit.

    3. The account cannot have a module currently in TDA Status 22, 23, 24, or 26 or have had a module closed from TDA Status in the prior 12 months.

  3. The "– E Freeze" , under the subsequent transaction criteria, is released if:

    1. The 10 cycle freeze expires. (If all other criteria are met, the 10 cycle freeze is reset based on the most current subsequent transaction posting.)

    2. The module reaches zero or credit status.

    3. The account/module reaches TDA status.

  4. The appropriate notice is issued based on posting of the subsequent transaction(s) if a notice otherwise would have been issued.

  5. Research "MF/NMF" for credits. Transfer credits appropriately (ADD24 on NMF and ADD34 on MF ).

    Note:

    If a TC 973 is on the account, order Document. Penalty and Interest must be manually computed.

21.5.11.18.2  (07-01-2014)
NOMRG Transcripts

  1. Merge fail transcripts (NOMRG) are computer generated when plan data account consolidation fails.

  2. Each campus will determine the area(s) where EP NOMRG will be resolved.

  3. These transcripts are generated when an invalid condition exists in the account of the old and/or new plan data module. Each transcript has a title and a code to indicate the invalid condition. These titles and codes are similar to those on the Entity Merge Fail transcripts.

  4. Before resolving the merge fail condition.

    • Always check for transcription errors. Request complete transcripts which involve the plan data module.

    • Follow the procedures in IRM 3.13.36.0, because these transcripts involve the plan data module.

21.5.11.18.3  (07-01-2014)
AM12 Resolution

  1. Refer to IRM 21.2.4, master file Accounts Maintenance for complete resolution to AM12 transcript.

  2. To resolve transcripts where the TC 610 posted, but the related tax return did not post, complete research is needed; for example, research SCCF to determine return status.

  3. Send correspondence to the filer, requesting a signed copy of a return, if necessary.

  4. If no response is received after 45 days, and you have conducted complete research, take the following actions:

    • If unable to secure a copy of the return and a TC 610 is or is not posted in the module, leave credit on master file and close case as "REPLY."

    • Effective cycle 200121, BMF, AM12 follow-up transcripts will be suppressed. Notice CP80, We have Not Received Your Tax Return, will be sent to the filer.

    Note:

    Do not close your case until you have completed research to locate the return.

21.5.11.18.4  (07-01-2014)
Form 5330/5500 Accounts Maintenance Transcripts

  1. Beginning January 2011, the Form 5330/5500 Credit/Debit Module Balance Listing was converted to AMRH Transcripts. The transcripts replace the Credit/Debit Listing that is accessible on Control - D. They are formatted the same as existing AMRH transcripts and are referred to as:

    • AM 31 - Form 5330Return of Excise Tax Related to Employee Benefit Plans, or 5500 credit balance

    • AM 32 - Form 5330Return of Excise Tax Related to Employee Benefit Plans, or 5500 debit balance

  2. Credit transcripts must be worked within 30 days to prevent erroneous notices.

  3. If the transcript is a "Follow-up" or a "Multiple" , the letter "F" or "M" will be printed to the right of the AMRH 31 or 32. See below:

    • TRANSCRIPT TYPE AMRH 31 F

    • TRANSCRIPT TYPE AMRH 32 F

    • TRANSCRIPT TYPE AMRH 31M

    • TRANSCRIPT TYPE AMRH 32 M

    • TRANSCRIPT TYPE AMRH 31FM

    • TRANSCRIPT TYPE AMRH 32FM

  4. A transcript generates six weeks after the first cycle in which the tax module has a credit or debit balance. Follow-up transcripts will be issued every six months (26 cycles) thereafter as long as the tax module still meets the established criteria.

  5. A transcript will generate for each Form 5330,Return of Excise Tax Related to Employee Benefit Plans or 5500 module in either a credit or debit balance. The following information is recorded on the AMRH transcript.

    • Transaction date

    • EIN, MFT, & Tax Period

    • Plan Number

    • TC 150 DLN

    • Module balance

  6. Refer to the procedures outlined below for resolving Form 5330Return of Excise Tax Related to Employee Benefit Plans, or Form 5500 AM Credit/Debit Transcripts.

  7. In addition to the specific instructions below, the following IF and Then table provides procedures when working AMRH transcripts:

    AMRH Transcript Procedures for Forms 5330 (MFT 76) and 5500 (MFT 74)
    IF Then
    TC 973 with -I freeze Only input TC 342 if interest was restricted in error. Otherwise, the computer will recompute interest on the entire module. A non-restricting TC 340 can also be input. See IRM 20.2.8, Restricted Interest, for more information. If a TC 342 is required, iInput TC 342, Priority Code (PC) 5 (Computer will adjust the interest and send notice) or manually compute interest
    TC 973 with no -I freeze Input TC 290, PC 5 (Computer will adjust the interest and send notice)
    TC 973 with no -I freeze and TC 530 Close transcript as "No Action" or Input TC 290, Hold Code (HC) 3, PC 5
    Interest has been assessed within 45 days from new transcript. Close transcript as "Previous Action" or "No Action"
    Account has a -V (Bankruptcy) or -W (OIC or Litigations) freeze Close transcript as "No Action"
    No TC 973 with no -I freeze Input TC 290, PC 5 (Computer will adjust the interest and send notice)

21.5.11.18.5  (07-01-2014)
Form 5330 AM 31 Transcript Procedures Credit Module Balance

  1. Refer to the procedures below to resolve Form 5330, Return of Excise Tax Related to Employee Benefit Plans, AM 31 transcripts. Secure the original return from files if necessary in order to determine the correct liability amount (TC 150).

  2. Verify the green rocker money amount shown on the return matches the TC 610 payment posted to MF.

  3. Determine the correct TC 150 amount, one check may have been received for more than one tax and the tax may have been split on a separate Form 5330, Return of Excise Tax Related to Employee Benefit Plans, during processing.

  4. Adjust the TC 150 amount if applicable by inputting a TC 290 increase via REQ54 for the appropriate money amount using the applicable HC (3 or 4).

  5. If the overpayment belongs to a different plan number, tax period, or EIN, transfer the payment to the correct account using CC ADD/ADC 24. Do not correspond with the filer.

  6. If the credit module balance can not be resolved using the procedures above or a balance remains after the above steps are taken, refer to the table below:

    IF AND THEN
    The account is in a credit status basic IDRS research determines where the payment should be transferred Transfer the payment to the applicable module using CC ADD/ADC 24, or Form 2424 if applicable
      additional credit application can not be determined through basic IDRS research
    • Initiate telephone contact with the filer. Two attempts must be made during regular business hours.

    • If unable to contact by phone, send a letter to the filer explaining account status. Print a copy of letter for the case file, Suspend case for 45 days (30 day response time)

    • If filer responds to the letter with additional information, follow their instructions

    • If no reply to the correspondence, transfer credit to Excess Collections (XSF-6800 Account)

  7. If the filer states they have overpaid the account by submitting duplicate payments and requests the excess credit be refunded, instruct the filer to submit a request to have the money refunded.

21.5.11.18.6  (07-01-2014)
Form 5330 AM 32 Debit Module Transcript

  1. Refer to the following procedures when attempting to resolve a Form 5330,Return of Excise Tax Related to Employee Benefit Plans, debit module balance. Secure the original return from Files (two attempts) prior to taking the following action.

    Note:

    If the debit balance is from a prior Credit/Debit listing or AMRH 32 Transcript ) and all required actions were taken, input another TC 290 for zero priority code 5. This will generate a CP161 notice to the filer.

    IF AND THEN
    a green rocker is present on the return the payment can not be located through basic IDRS research Refer to Payment Tracer procedures
    a green rocker is not present on return the payment can not be located through basic IDRS research
    • Contact filer to gather additional information relating to the debit balance on the account.

    • Suspend the case for 45 days (30/15) pending reply from the filer.

    • If the filer responds to the IRS correspondence, follow the filer's response instructions.

    • If the filer does not reply to the IRS correspondence, generate letter providing the filer with documents informing them of their appeals rights.

  2. If a response is received from the filer indicating that a payment will be submitted, refer to the procedures in the table below:

    IF THEN
    The filer states a payment will be submitted
    • Instruct the filer to send payment and copy of the letter to the following address:
      Internal Revenue Service
      1973 Rulon White Blvd
      Ogden, UT 84404

    • Annotate the expected date of payment on DI/AMS and TXMODA by inputting a history item.

    • Close control base on IDRS, monitor account until the payment posts to MF.

21.5.11.18.7  (07-01-2014)
Form 5500 AM 31 Transcript Procedures Credit Module Balance

  1. If the overpayment belongs to a different plan number, tax period, or EIN, transfer the payment to the correct account using CC ADD/ADC 24. Do not correspond with the filer.

  2. Research to determine if the payment was submitted by the filer as a prepayment to the penalty . If research shows it was a prepayment, follow procedures for Form 5500 penalty assessments.

  3. If the credit module balance can not be resolved using the procedures above or a balance remains after the above steps have been taken, refer to the table below:

    IF AND THEN
    The account is in a credit status basic IDRS research determines where the payment should be transferred Transfer the payment to the applicable module using CC ADD/ADC 24, or Form 2424 if applicable
      additional credit application can not be determined through basic IDRS research
    • Initiate telephone contact with the filer. Two attempts must be made during regular business hours.

    • If unable to contact by phone send a letter to the filer explaining account status. Print a copy of letter for the case file, Suspend case for 45 days (30 day response time)

    • If filer responds to the letter with additional information, follow their instructions

    • If no reply to the correspondence, transfer credit to Excess Collections (XSF-6800 Account)

  4. If the filer states they have overpaid the account by submitting duplicate payments and requests the excess credit be refunded, instruct the filer to submit a request to have the money refunded.

21.5.11.18.8  (07-01-2014)
Form 5500 AM 32 Transcript Procedures Debit Module Balance

  1. If a transcript is generated for a module which was previously paid but the interest accruals remain, input a TC 340 for zero to remove the accruals.

  2. If the balance on the account is ≡ ≡ ≡ or less and on BMFOLT, input a TC 340 for zero, hold code 3 and payment date. This will remove the balance and stop future transcripts from generating.

  3. If the balance on the account is ≡ ≡ or less and on TXMOD, input a TC 341 with money amount, hold code 3 and payment date.. This will remove the balance and stop future transcripts from generating.

21.5.11.19  (07-01-2014)
Transferring Excess Credit

  1. When research determines that the overpayment does not belong to the Form(s) 5330, Return of Excise Tax Related to Employee Benefit Plans, or 5500 module, or the filer does not respond to our correspondence, the excess credit(s) must be transferred to either the Unidentified Remittance File (URF - 4620 Account) or Excess Collection File (XSF-6800 Account). This is accomplished by preparing Form 2424 (payment date 11 months or less) and/or Form 8758 (payment date is older than 11 months).

    Note:

    If credit is less than $1, transfer the credit to 6540 account for both MFT 74 and MFT 76. See IRM 3.17.10.3.4(3).

  2. Credit(s) that have been previously applied to MF from the 6400 Account require two credit transfers. Prepare Form 2424 in duplicate, and Form 8758 Form 2424 is used to transfer the credit back to the 6400 Account and Form 8758 is used to transfer the credit from the 6400 Account to either URF or XSF.

  3. A separate Form 2424, in duplicate, and/or a Form 8758 must be prepared for each credit that needs to be transferred. Credits remain in URF until the payment date reaches one year old. It will then automatically be dropped from URF to XSF. Unpaid credits will remain on IDRS in XSF for 7 years after the XSF entry date.

    IF THEN
    the credit is 11 months old or less
    • Prepare two Forms 2424, in duplicate

    • Attach supporting documentation to both sets of Form 2424

    • Route all forms to appropriate mail stop.

    the credit is over 11 months old
    • Prepare Form 2424 in duplicate to transfer the credit from MF to the 6400 Account.

    • Prepare Form 8758 to transfer credit from 6400 Account to 6800 Account.

    • Attach supporting documentation.

    • Route all forms to appropriate mail stop.

  4. For additional information refer to IRM 3.17.220 - Excess Collection File and IRM 3.17.10 Revenue Receipts.

21.5.11.20  (07-01-2014)
Form 5330 Missing Payment Research

  1. A payment tracer is the process used to locate a missing or misapplied payment made by a filer or organization. A payment tracer case is not resolved until the missing or misapplied payment is correctly applied to the organization’s account. Refer to IRM 21.5.7 Payment Tracers for specific guidelines.

21.5.11.20.1  (07-01-2014)
IDRS Research for Payments

  1. Search for payment on IDRS and CFOL. Refer to Document 6209, IRM 2.3 and 2.4 for information on displaying and using IDRS/CFOL information.

  2. Use CC NAMEI, NAMEB, to obtain TIN information.

  3. Use all appropriate IDRS/CFOL command codes to search for a payment, see examples below:

    • SUMRY, TXMOD, to check for possible misapplied payments

    • IMFOL, BMFOL, if no open TXMODs, or for the possibility the payment was made at another campus

    • INOLET, INOLEX, to check all related TINs, valid or invalid, provided by filer

    • URINQ, to research unidentified remittances

    • XSINQ, to research excess collections

    • SCFTR, Service Center Control File

    • UPTIN, to check open and closed unpostables for a specific TIN

  4. Phone or fax filer for information needed to resolve the case, at least two attempts. If unable to contact the filer, use the appropriate "C" letter.

21.5.11.21  (07-01-2014)
Form 5330 Claim For Refund

  1. TE/GE claims on Form 843, amended TE/GE returns requesting a refund of an amount previously paid or assessed, or any other document sufficiently detailed to be treated as either of the above will be handled by the appropriate TE/GE appointed Office. Campus personnel will not generate over assessment transactions on TE/GE returns unless directed or requested by local TE/GE offices except for math errors or IRS campus errors.

  2. TE/GE returns subject to this procedure are:

    • Forms 5500 and 5500 - C (EPMF).

    • Forms 5500 - EZ and 5500 - R (EPMF).

    • Forms 5330, Return of Excise Tax Related to Employee Benefit Plans, (NMF).

    • Form 5330, Return of Excise Tax Related to Employee Benefit Plans, (BMF)

  3. All Form 5330Return of Excise Tax Related to Employee Benefit Plans, claims for refund must be forwarded, via Form 3210, to OAMC - EP Accounts Mail Stop 6270.

  4. EP Accounts Unit will screen TE/GE claims to ensure that a specific return was filed with payment of an amount at least equal to the amount claimed. Attach all research to the claim form, amended return, or correspondence. The original return will be obtained (if pre-EFAST or Form 5330,Return of Excise Tax Related to Employee Benefit Plans ), recharged to the Area Office, and also attached to the claim form, amended return, or correspondence. If the original return involved was processed as a NMF return (for example, Form 5330Return of Excise Tax Related to Employee Benefit Plans), secure a copy of the index card and NMF Transcript (if available) and attach it to the claim documents. Establish on AIMS and forward the entire package to the TE/GE program analyst with oversight of project, Mail Stop 1110.

  5. All IRS offices, other agencies or filers who are sending items through a vendor (other than the U.S. Postal Service) the following address will be used:

    Ogden IRS Campus
    Attn.: Claim For Refund - Form 5330
    Mail Stop 6270
    1973 North Rulon White Blvd.
    Ogden, Utah 84404

  6. Filers or anyone sending the information through the U.S. Postal Service, use the following address:

    Note:

    The 84201 zip code must be used with this address.

    Internal Revenue Service
    Mail Stop 6270
    Attn: Claim for Refund - Form 5330
    Ogden, Utah 84201

  7. If an amended Form 5330 Return of Excise Tax Related to Employee Benefit Plans, return is filed to claim a refund or credit, the claim "must" state in detail the reasons for claiming the refund, and provide the appropriate supporting evidence. See Regulations section 301.6402-2 for more details.

    Note:

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

  8. Form 5330 Return of Excise Tax Related to Employee Benefit Plans, claims listed below will be worked by OAMC.

    • IRC 4975 - Prohibited Transactions - Abstract 159

    • IRC 4971 - Minimum Funding Deficiencies - Abstract 163

    • IRC 4980 - Reversions - Abstract 204

  9. The following claims for the Form 5330, Return of Excise Tax Related to Employee Benefit Plans, will be considered / disallowed by the EP classifier in the field.

    • IRC 4972 - Tax on Nondeductible Employer Contribution to Qualified Plans

    • IRC 4973 - Tax on Excess Contributions to IRC 403(b)(7)(A) Custodial Accounts

    • IRC 4976 - Tax on Disqualified Benefits for Funded Welfare Plans

    • IRC 4978 - Tax on Certain ESOP Dispositions

    • IRC 4979 - Tax on Certain Prohibited Allocations for Qualified ESOP Securities

    • IRC 4977 - Tax on Excess Fringe Benefits

    • IRC 4980F - Tax on Failure to Provide Notice of Significant Reduction in Future Accruals

    • IRC 4971(f) - Tax on Failure to Pay Liquidity Shortfall

    • IRC 4971(g) (2) - Tax on failure to comply with a funding improvement or rehabilitation plan

    • IRC 4971(g) (3) - Tax on failure to meet requirements for plans in endangered or critical status.

    • IRC 4971(g)(4) - Tax on failure to adopt rehabilitation plan.

    • IRC 4965 - (Abstract 237) Prohibited Tax Shelter Transaction for Entity Managers


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