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Part 3. Submission Processing

Chapter 8. Deposit Activity

Section 45. Manual Deposit Process (Cont. 4)

3.8.45  Manual Deposit Process (Cont. 4)

3.8.45.25 
Manual Deposit General

3.8.45.25.4  (02-01-2008)
Recapitulation

  1. Sort blocks of tax returns or documents and remittances by tax class.

  2. List each Form 813 block total in corresponding tax class column on Form 813-A, Recapitulation of Document Register.

    1. Enter individual totals in Summary for Deposit Ticket (DT) box, see Exhibit 3.8.45–57.

    2. Add Columns (2a) and (2b) and enter total in item 2 of summary.

    3. Enter grand total of individual totals in total box.

    4. Enter date and assigned deposit ticket number.

  3. List each block total of checks on Form 784, Recapitulation of Remittances, and enter grand total in Total Box, see Exhibit 3.8.45-28 . If not pre-printed, enter Campuses, name of director, name of bank, deposit date, and assigned deposit ticket number.

  4. Compare the totals shown on Forms 813-A and 784.

    1. If equal, prepare deposit for release.

    2. If not equal, compare Form 784 and Form 813-A, item by item, and correct discrepancies.

    3. Make necessary corrections to tax returns or documents, remittances, appropriate block, and/or recap listing.

  5. Final preparation for delivery to depositary

    1. Enter generated (or manually adjusted) deposit tax class totals on one deposit ticket.

    2. Prepare separate deposit tickets for non-revenue receipts and courtesy deposits.

    3. The number of items to be included with a single deposit ticket will be limited only if the depositary requested a limit and it is defined in their present contract.

    4. Prepare an adding machine tape to verify the deposit ticket and Form 813-A totals. The deposit ticket and adding machine tapes must be prepared separately and by different employees.

    5. If deposit ticket and Form 813-A totals balance, enter deposit ticket number in the box labeled "Deposit Ticket No." on the bottom right-hand corner of Form 813-A. See Exhibit 3.8.45-58.

    6. If deposit ticket and Form 813-A totals do not equal, repeat procedures in (5) above, Recapitulation, until they do.

3.8.45.25.5  (02-01-2008)
Distribution of Completed Work

  1. Accounting Operations receives the following:

    1. Original copy of F813A

    2. Part 1 of F784

    3. Second copy of Encoding Tapes

    4. Copy of SF 215A (DT)

    5. Carbon copies of F813 listed on F813A

  2. Depositary receives the following:

    1. Part 2 of F784

    2. Original Encoding Tapes

    3. Original, Depositary, and Confirmed copies of SF 215 (DR)

  3. Deposit Activity retains the following:

    1. File copy of F813A

    2. Part 3 of F784

    3. Agency copy of SF 215A (DT)

3.8.45.26  (02-01-2008)
Specific Campuses Processing

  1. Listed below are instructions for Specific Campuses Processing.

3.8.45.26.1  (02-01-2008)
Instructions for Atlanta Campus

  1. Excess FICA Contributions remitted by the State of Florida should be received with transmittal letter stating: "These funds are to be deposited as excess collections in accordance with instructions from Wage and Investment Division SE:W:CAS:SP:BMF:SCA."

  2. Process the remittance as an excess collection, prepare Form 3244. Annotate "non-refundable" in the remarks section.

3.8.45.26.2  (02-01-2008)
Instructions for Austin Campus

  1. Remittances received with Forms 8820, Return by Corporation that has a Change in Corporate Control, or Substantial Change in Capital Structure, are processed at the Austin Campus only. Exhibit 3.8.45-58

  2. Do not process Forms 8820, instead use form as a source document for RRPS processing, using the following information.

    1. MFT 13

    2. TC 640

    3. Tax Period on the Form 8820

    4. Annotate the payment amount in green on Form 8820 and route to Customer Service Building.

  3. Prepare a Form 3244 for remittances received without Forms 8820, for RRPS processing using the following information.

    1. MFT 13

    2. TC 640

    3. Tax Period

    4. Annotate in remarks "Payment for Form 8820" and route to Customer Service Building.

3.8.45.26.3  (02-01-2008)
Instructions for Cincinnati Campus

  1. Form 2290 are processed at CSPC. Form 2290 with Form 809 receipt from the field offices will be sent to the servicing teller unit for the function, then transhipped to CSPC.

  2. Form 1041QFT must be processed at CSPC.

    1. When Form 1041QFT is received with a remittance at a Campuses other than CSPC, do not process the remittance. The Extraction Unit has been advised to forward the return and remittance to the Deposit Unit. The Deposit Unit will contact Entity when these returns with remittances are received.

    2. The return and remittance must be processed as follows:

      Note:

      Do not separate the return from the remittance, Entity must process the return and remittance in the Deposit Unit on the day of receipt. The Deposit Unit must deposit the remittance on the same day it was processed by Entity or no later than the next business day.

      Note:

      These are large dollar remittances, they must be processed expeditiously.

    3. If Form 1041QFT is received without a remittance, transship to CSPC.

  3. The Northern Marianna Islands (NMI) system merged into the U.S. system under PL94-241 in January 1, 1987. The employers will file Forms 941SS instead of Forms 941 NMI. The NMI will be eliminated for 1987 and subsequent years.

    1. If returns for tax periods ending after 8612 are received on Forms 941 NMI, convert to Forms 941SS and follow the Form 941SS instructions. However, returns for tax periods 8612 and prior must remain on Forms 941 NMI, and the procedures for Forms 941 NMI instructions must be followed.

    2. Form 941, Northern Marianna Islands (NMI) payments will be processed as NMF.

    3. Enter initials "NMI" at the top of each Form 813 and deposit ticket.

    4. Route returns to Code and Edit function and Sub/Pays to Accounting.

    5. If a multiple is received which includes any other NMI form, apply entire payment to Form 941 account. Transship other forms to IRS in Saipan noting payment applied to Form 941 NMI at Cincinnati Campus (CSPC) and refund will be issued to taxpayer.

3.8.45.26.4  (02-01-2008)
Instruction for Ogden Campus

  1. Form 990BL, Information and Initial Excise Tax for Black Lung Benefit Trusts and Certain Related Persons, and Form 6069, Return of Excise Tax on Excess Contributions to Black Lung Benefit Trust Under Section 4953 and Coal Mine Operations Worksheet for Section 192 Deduction, are due on or before the 15th day of the fifth month following the close of the taxable year.

  2. Forms 990BL, and 6069 will be processed as Non-Master File. See Exhibit 3.8.45-59 . If a remittance is received for Form 990BL, process the payment using the following procedure.

    1. Prepare Form 3244 or equivalent with TC 670/570 and MFT 56.

    2. Write remittance amount in green.

    3. Process NMF.

    4. Edit remittance amount on Form 990BL and forward to appropriate function.

3.8.45.26.5  (02-01-2008)
New Instructions for Austin Campus (formerly processed in Philadelphia)

  1. Virgin Islands Estimated Payments—If a Form 1040 is received from a taxpayer in the Virgin Islands indicating an ES payment was made to the Virgin Islands government, deposit the remittance. Send the return to Adjustments function.

  2. Corporation Income Tax Returns With Special Credits—Number all Forms 1120 mentioning Section 936 credit (relating to Puerto Rico and U.S. Possessions) or Section 931 exclusion, with the regular DLN for D.O. 98 AC(IN).

  3. Listings for 1040NR, U.S. Nonresident Alien Income Tax Return—Estimated Tax Payments, will be received with 25 accounts to a sheet. Use listing as source document.

    1. TC 430.

    2. Prepare deposit.

  4. Form 1042, Annual Withholding Tax Return for U.S. Source Income of Foreign Persons to be paid at Source—(Chapter 3, Internal Revenue Code) will be processed BMF. (Form 1042S is never a remittance return.)

    1. Process remittances received for advance payments, FTD payments or delinquencies as BMF subsequent payments.

    2. Prepare Form 3244 for remittances received with correspondence in lieu of a return. Annotate the correspondence with the amount and date of payment and forward to Adjustments function.

  5. The Bank of England will telex Credit of Withholding Taxes to the Austin Campus.

    1. The Federal Reserve Bank of New York will prepare SF 215A, Deposit Ticket, and forward the memorandum and agency copies to AUSPC.

    2. Upon receipt, prepare a Foreign Withholding Posting document and process.

  6. Electronic Fund Transfer (EFT) is a transfer of funds from the account of a taxpayer by the taxpayer's commercial bank via the Federal Reserve Bank of New York. The Federal Reserve Bank of New York then transfers these funds to the Treasury via the Fedwire Deposit System (FDS). The Treasury then transmits an EFT Support Listing and deposit ticket to the Austin Campuses for processing. The EFT must include the Agency Location Code and tax return identification.

  7. When Form 8288, U.S. Withholding Tax return for Disposition by Foreign Persons of U.S. Real Property Interests, is received, process the remittance using the following procedures.

    1. Deposit check.

    2. If the check amount agrees, green rocker amount shown in Box 7 Part I or Box 6 Part II of Form 8288.

    3. Process as BMF payment under MFT 17 with Transaction Code 610.

      Note:

      Be sure to use the YYYYMM of the DOT as the tax period, or the w/h cert letter date as the new DOT and tax period.

    4. If a subsequent payment is received, use Transaction Code 670

    5. If the taxpayer does not have a TIN, forward the return to Entity for the assignment of a TIN, before batching.

  8. Payments for an election under IRC 897(i) will be received on Form 3244 from the A/C (International) Project Unit.

    1. Process as the Form 3244 as IMF or BMF

    2. Photocopy the remittance, both front and back, and attach to Form 3244.

    3. Prepare a separate deposit ticket, using Campuses ALC.

    4. Annotate type of deposit as IRC 897(i).

    5. Forward package to the Foreign Investment in Real Property Tax Act (FIRPTA) Processing Unit for further processing.

  9. When Form 8804, Annual Return for Partnership Withholding Tax (Section 1446; Form 8805, Foreign Partner's Information Statement of Section 1446 Withholding Tax; and Form 8813, Partnership Withholding Tax Payment (Section 1446), is received, process the payment using the following procedures.

    1. Process the Form 8804 payment to the BMF under MFT 08 with TC 610, or if with Form 8813, use TC 670 to post the payment to the BMF under MFT 08.

    2. Annotate received date on tax returns or documents and in the upper right corner edit amount of payment in green.

    3. If no TIN is present, forward documents to Entity Unit for assignment of TIN before numbering.

    4. Use MFT 08

    5. Prepare separate deposit ticket and forward appropriate copies with the Accounting Package to Accounting Operations.

    6. Route Form 8804 to Code and Edit function.

  10. Treaty Bond remittance receipts can be received without documentation for payment application, from foreign governments in payment for additional Form 1042 withholding and should be processed using the following procedures.

    1. Complete Form 2221 in triplicate, see Exhibit 3.8.45-2 .

    2. Deposit to Account Symbol 20X3220 and SC ALC.

    3. Prepare adding machine tape of the remittance(s).

    4. Prepare DT with SC ALC and address.

    5. Identify Miscellaneous Revenue Receipts on encoding tape.

    6. Submit the appropriate copies of deposit ticket and Form 2221 to Accounting Operations with the accounting package.

3.8.45.26.6  (02-01-2008)
Form 8621-A, Return by a Shareholder Making Certain Late Elections to End Treatment as a Passive Foreign Investment Company (Ogden Only)

  1. A new Treasury Regulation (REG-133446-03, TD 9231 and TD 9232) provided an opportunity for U.S. taxpayers who are shareholders in passive foreign investment companies (PFICs) to make an election that will include a one-time payment to afford retroactive relief and prevent future tax liability. taxpayers will file Form 8621-A to elect treatment under the new Treasury Regulation. Once the Campus accepts the payment and LMSB reviews the request for retroactive relief, LMSB may have to notify the taxpayer of any additional amounts of interest due.

  2. PFIC payments are not a payment of tax and there is no associated DLN. Therefore, a unique PFIC number will be assigned. The PFIC number is a 7 or 8 digit number assigned to each "PFIC account" and will be used to associate all payments or inquiries related to that specific shareholder and PFIC company. The Deposit function will receive with remit and non remit Forms 8621-A. A PFIC number must be assigned to Form 8621-A regardless of whether or not a remittance is included. The PFIC number format is as follows:

    06 00026 -2
    Processing Year Sequence Number Duplicate Indicator

  3. Assign PFIC number:

    1. Review log sheet to ensure PFIC number has not previously been assigned, i.e., partial payment. (See Figure 3.8.45-3 , PFIC Number Log Sheet.)

      Figure 3.8.45-2

      This image is too large to be displayed in the current screen. Please click the link to view the image.

    2. Review columns E, F, G and H for matching shareholder and company name.

    3. If PFIC number for the same shareholder and company exists, use that number followed by a hyphen and the number 2 or subsequent.

      Note:

      A shareholder can hold shares in more than one company. Conversely, a company can have more than one shareholder. The shareholder name and company name must both match a previously assigned PFIC# (see Figure 3.8.45-3 ).

  4. If no PFIC number is found, assign the next consecutive unassigned number from the log sheet.

  5. Fill out columns A through I on the PFIC log sheet.

  6. Stamp or write the PFIC number on Formm 8621-A (or other documentation) and remittance. "Other documentation" may include correspondence, IRS letter, etc.

  7. Photocopy the top portion of Form 8621-A.

  8. Photocopy log sheet (in-lieu-of 1963 or 2221).

  9. Manually deposit payment(s) in the 4626 account using accounting symbol 20-3220.

  10. Prepare deposit ticket.

  11. Include Deposit Ticket, log sheet photocopy and 8621-A photocopy in accounting package.

  12. Photocopy check and attach to original 8621-A (or other documentation).

  13. Send photocopy of check and original 8621-A to LMSB at MS 4912.

3.8.45.27  (02-01-2008)
Automated Non-Master File General

  1. Automated Non-Master File (ANMF) System, is the new on-line research system for NMF payments.

  2. System security requires a login and password for entry into the system. Both the login and password will be issued to employees after Form 5081 IDRS, Security Files Change Notification, is submitted and approved through the Campuses clearance process.

  3. The ANMF system is for research only and will not allow input of NMF payments. Route to Cincinnati.

3.8.45.28  (02-01-2008)
FIELD OFFICE PAPER REMITTANCE PROCESSING

  1. This section prescribes procedures for remittance perfection technicians processing remittances received in field offices and to process Form 809 receipts.

3.8.45.28.1  (02-01-2008)
FIELD OFFICE PAYMENT PROCESSING PROGRAM

  1. The Field Office Payment Processing Program in Submission Processing involves processing paper remittances received, and issuance, tracking, and processing of official receipts issued primarily by field office employees. Internal Revenue Service requires strict control of official receipts, taxpayer information and payments to ensure the highest integrity and public trust.

  2. Internal Revenue Code (IRC) §7804(c) imposes liability against any officer or employee of the Internal Revenue Service or Treasury Department who fails to account for and pay over any amount of money or property collected or received by him/her in connection with the Internal Revenue Laws. The statute does not require intentional misconduct, such as willfulness, on the part of the employee.

  3. At least once a year, a program review of the Field Office Payment Processing must be conducted by a designee of the Field Director, Submission Processing.

  4. Most field office payments are received by employees of: Small Business/Self-Employed Collection, Wage and Investment Field Assistance Taxpayer Assistance Centers (TACs), Examination and LMSB. Submission Processing centers also process payments received in other operating divisions or functions, such as Appeals, TE/GE, National Taxpayer Advocate, and Chief Counsel.

  5. Field Office Payment Processing begins with the field office employee. Other Internal Revenue Manuals prescribe specific remittance procedures in the field offices. For W&I Field Assistance, the reference is IRM 21.3.4 Field Assistance, catalog #36814S. For SB/SE Collection , the reference is IRM 5.1.2 Remittances, 809s, and Designated Payments, catalog #27784D. For Case Processing, the reference is IRM 5.4.1, Remittance Processing, catalog #29629X. For LMSB, the reference is IRM 4.4.24 , Payments and Remittances, catalog #30348L. For Examination, the reference is IRM 4.4.24.

  6. Field Office Payment Processing Program Duties include:

    • Verification, review, and timeliness recordation of Form 795/795A Daily Report of Collection Activity and Form 3210 Document Transmittal receipts, and any other official remittance transmittal,

    • Form 809 Receipt for Payment of Taxes internal controls: inventory, issuance, tracking, destruction, error identification, and provide records for the annual reconciliation and general administration,

    • Identifying and reporting critical errors on other transmittals / issuance of Form 5919 Teller's Error Advice in the 809 Database,

    • Examination and perfection of posting documents,

    • Timely payment processing and deposits, and

    • Generating and distributing error trend and timeliness reports from the 809 Database.

3.8.45.28.2  (02-01-2008)
Electronic Payments, Wire Transfers, Credit Card Payments

  1. Field office employees sometimes contact tellers for information regarding electronic payments. This is not a function of Manual Deposit. The following paragraphs list helpful resources.

  2. EFTPS: Taxpayers can enroll in EFTPS by visiting the EFTPS-OnLine website at http://www.eftps.gov, or by calling EFTPS Customer Service at 1-800-555-4477 or 1-800-945-8400 24 hours a day, 7 days a week.

  3. Credit Card Payments:Taxpayers may also initiate a credit card payment through Official Payments Corporation at 1-800-2PAYTAX (1-800-272-9829) or www.officialpayments.com, or Link2Gov at 1-888-PAY1040 (1-888-729-1040) or www.pay1040.com. Taxpayers making credit card payments do not need to be enrolled to make a payment

  4. Wire Transfers: Procedures for wire transfers are found in IRM 3.17.63.28.3. 3, Accounting Control.

3.8.45.28.3  (02-01-2008)
Receiving and Examining Field Office Mail

  1. Field Offices will use overnight traceable service to the designated address for field office receipts or other approved method for transshipping remittances to ensure the security, accountability, and timeliness of tax receipts during transit. Procedures for receiving, examining and sorting field office mail are prescribed in this section.

3.8.45.28.3.1  (02-01-2008)
Receiving Field Office Receipts

  1. Each Submission Processing site must provide a specific, official address designated for field office employees to mail remittance packages. The Field Director, Submission Processing or designee must inform all area office directors and authors of IRM 21.3.4 Field Assistance, catalog #36814S, IRM 5.1.2 Remittances, 809s, and Designated Payments, catalog #27784D, IRM 5.4.1 Case Processing, catalog #29629X, of changes to the designated address for field office remittance packages at least 10 days in advance of change. IRM authors are listed on the Multimedia Production Division webpage, http://publish.no.irs.gov. Any communication must reiterate that the specific address for remittances is ONLY for the use of field office employees. This is especially critical t because any area office may have occasion to mail a remittance package to any Submission Processing center. The campus receiving area must be alerted to direct remittance packages to the remittance processing area immediately upon receipt. The overnight mail package should be received, unopened, in the Field Office Payment Processing area. The assigned remittance perfection technician will open and examine, date-stamp, verify the physical contents and contents listed on the transmittal, and acknowledge each remittance package received from the field offices. It is critical that the designated remittance perfection technician receive the package UNOPENED to ensure appropriate accountability. All packages must be opened in the Receipt and Control secured area. Once opened, these remittance packages should be examined and, are subject to candling requirements. Refer to IRM 3.10.72 Campus Mail and Work Control — Extracting, Sorting, and Numbering. The designated remittance perfection technician must sort, examine, date stamp, verify the physical contents listed on the transmittal and mark contents listed on the See also IRM 3.8.45.28.4. If any remittances or unissued Form 809 receipts are missing from the package, the remittance perfection technician should take immediate action. Inform local management. Contact the originator. If the originator does not have the remittance or unissued Form 809 receipt, immediately report as a loss or shortage. Follow IRM 3.0.167 Losses and Shortages procedures. Acknowledge receipt of all remittances and return the remittance transmittal to the originator at the specific address listed on the transmittal within five working days.

3.8.45.28.3.2  (02-01-2008)
Sorting Field Office Receipts

  1. Upon receipt, remittance perfection technicians will sort the contents of the package, verify the contents, and initiate or create labeled envelopes for acknowledgment of receipts within 5 working days according to local procedures. (Local procedures may direct Forms 3210 Document Transmittal, with attachments to a separate unit or area for processing.) If Form 3210 payment processing is directed to a separate unit, that unit must follow IRM 3.8.45 Deposit Activity procedures for handling receipts. For example, application of timeliness or remittances must be adhered to, the issuance of Forms 5919 Teller's Error Advice using the 809 Database, and all other IRM 3.8.45 Deposit Activity requirements to ensure strict internal control of receipts. Field offices send remittances to the designated site for their processing.

  2. Forms 3210 Document Transmittal with documents should be received from the field offices in a separate envelope sealed by the originator, within the overnight mail package. The envelope should be annotated as containing Form 3210 Document Transmittal. Record the date received for all Form 3210 transmittals.

  3. Forms 795/795A Daily Report of Collection Activity are transmittal documents used by all collecting officials to transmit returns and receipts. These documents should be received in a separate, sealed envelope within the same overnight mail package. These are the only forms that should transmit Form 809, Receipt for Payment of Taxes. However, if Form 3210 is used in error (to transmit a Form 809 receipt), the 809 should be treated as if received with a Form 795/795A. All internal controls apply regardless of how official receipts may be received.

  4. Sort Forms 795/795A with documents by area office and operating division. Keep current day's receipts separate from the previous day. Work the largest dollars and earliest received dates first. Remittances over $100,000 must be deposited immediately upon receipt.

3.8.45.28.4  (02-01-2008)
Examining and Timeliness of Field Office Remittances

  1. Remittance perfection technicians must receive field office remittance packages UNOPENED. It is the role of the remittance perfection technician to examine (and verify) the package contents. If any remittances are missing from the package, the remittance perfection technician should take immediate action. Contact the originator. Inform your manager. Immediately determine if a loss or shortage has occurred. For example, the originator is contacted and says the remittance should have been in the package. Report as a loss or shortage. Follow IRM 3.0.167, Losses and Shortages procedures, informing the designated Remittance Security Coordinator and the TIGTA Office of Investigations, at 1-800-366-4484. Losses of personally identifiable information must also be reported to the Computer Security Incident Response Center (CSIRC) at 1–866–216–4809. Remittance security coordinators are listed on the Submission Processing Website under Campus Security. Acknowledge receipt and return to the originator at the specific address listed on the transmittal within five working days. Remittance perfection technicians also examine the remittance package for timeliness, errors, prepare for processing, and generate error notices using the 809 Database.

  2. When examining remittance package contents, ensure all items listed on the Form 3210 Document Transmittal and Form 795/795A Daily Report of Collection Activity are included. For example, if an administrative employee in the field office sends multiple Forms 795/795A and attachments for a group, the remittance perfection technician must ensure the Form 3210 transmittal has all items listed, and the individual Forms 795/795A Daily Report of Collection Activity has all items included.

3.8.45.28.4.1  (02-01-2008)
Timeliness of Field Office Collected Remittances Defined

  1. Any IRS employee receiving a remittance from a taxpayer must transmit the remittance on the same day as received or as soon as possible the next business day to ensure receipt in the Submission Processing site within 48 hours of receipt from the taxpayer. The Service allows 24 hours of receipt for cash conversion. The timeliness criteria is based on law (Title 31, U.S. Code Section 3302). Remittance processors will issue Forms 5919 to cite as late any remittance not received after 3 business days; or after 7 business days if remittance package originated outside the continental United States..See IRM 3.8.45.28.4.2 for specific instructions.

3.8.45.28.4.2  (02-01-2008)
Applying Timeliness Criteria to Remittances (Determining when a Remittance Requires Issuance of Form 5919)

  1. Remittance processors will cite as late any remittance, except a misdirected remittance, that is received later than 3 business days from the date the IRS received the funds. Field Office remittance packages originating outside the continental United States will be cited as late if received later than 7 business days from the date the IRS received the funds. Submission Processing recognizes this exception. For example, consider a cash payment of $385.00 received in a TAC office on Monday, January 27th. TRRs (and all other employees) have 24 hours to convert cash to a money order and mail. The remittance should be mailed on the day of receipt or as soon as possible the next business day. If the day of receipt is Monday, the cash should be converted into a money order and placed in the overnight package by Wednesday, and received in the Submission Processing site on Thursday. If the remittance was received on Friday, January 31st or later, it is late, and issuance of Form 5919, Teller's Error Advice in the 809 Database, to the appropriate field office group manager is required. This criteria applies even if the remittance was not cash, and there was not a Form 809 involved. Input into the 809 Database as a non-809 user. See 809 Database User Guide for instructions.

  2. Misdirected remittancesare remittances that were sent to locations that are not under a field office collecting function or depositing campus site, such as IRS Headquarters or Department of the Treasury Headquartersl offices, in error. Issuance of late error notices are not required for misdirected remittances.

  3. Application of the timeliness criteria to remittances is designed to identify critical conditions and security risks in balance with cash management goals. In order to keep the process productive,simply count 3 business days, (count 7 business days if originating outside the continental U.S.) not including the day the remittance is received, to determine if timely. Some non-cash remittances may be one day late, and a 5919 is not issued. This does not change the lawful requirement for field office employees. See the example below for the general application of timeliness to field office collected remittances.

    Mon., 1/27 Tues., 1/28 Wed., 1/29 Thur., 1/30 Fri., 1/31
    Remittance received at field office. If cash, the cash conversion date must be 1/28 at the latest. Cash conversion is required within 24 hours of receipt, or issue Form 5919 for late cash conversion or cash conversion info missing, even if remittance is timely received. The field office must ensure the remittance must be sent today (at the latest) via overnight traceable method. The remittance should be received at the dedicated site today, which is the 3rd business day. Any field office remittance dated 1/27*, or sooner is late. Issue Form 5919 for late remittance.

3.8.45.28.4.3  (02-01-2008)
Applying Timeliness of Remittances Criteria When Overnight Traceable Method is Not Used

  1. Field offices and officials, even revenue officers who are on field calls or Flexiplace now use overnight traceable method for sending remittances.. Therefore, remittance processors will cite as late any remittance that is received later than 3 business days from the date the officer collected the funds. If the remittance package was not sent by overnight traceable method, r Revenue officers have been directed to annotate "FIELD" or "FLEXIPLACE" in red at the top of their Form 795/795A. The timeliness criteria of 5 working days then applies to allow mailing time. The timeliness for cash conversion remains 24 hours, or one workday of receipt. The 3–day general application of timeliness criteria outlined applies if the Form 795/795A is not marked "FIELD" or "FLEXIPLACE" .

  2. All payments, regardless of the collecting function, must be transmitted to the Submission Processing Center via Forms 795/795A, Daily Report of Collection Activity, or Forms 3210, Document Transmittal. All Forms 809 must be transmitted via Form 795/795A, Daily Report of Collection Activity, without exception. Cash remittances must be converted to check or money order (within 24 hours of receipt from taxpayer) before sending for processing.

    Mon., 1/27 Tues., 1/28 Wed., 1/29 Thu., 1/30 Fri., 1/31
    RO collected remittance. If cash, cash must be converted, and the remittance mailed.. not late This is the latest date the remittance should be received to be timely. Late-Issue 5919

3.8.45.28.4.4  (02-01-2008)
Late Remittance Reports for Area Offices

  1. One of the Service's Balanced Measures is Deposit Timeliness. In order to support this balanced measure, remittance perfection technicians cite remittances collected in field offices as late, when applicable by issuing Form 5919 Teller's Error Advice, using the 809 Database. If the late remittance is from an area not in the 809 Database, the local database administrator must create the record. The target for the Deposit Timeliness balanced measure for FY2008 is $350.00 per million dollars of deposits. Late remittance reports are reflect delayed cash remittances .

  2. An electronic (snapshot) copy of the late remittance report must be provided by the 5th workday following the end of the month to *HQ Service Center Accounting@irs.gov. Also provide a late remittance report to the Area Director (or their designee) of aligned area offices for any month whenever any office in the respective area fails to meet the national target goal. An electronic (snapshot) copy of the late remittance report is due to *HQ Service Center Accounting@irs.gov by the 5th workday following the end of the month.

  3. Provide late remittance reports upon request of field office management or Headquarters Submission Processing.

  4. If errors are discovered on late remittance reports after distribution to management officials, a corrected report must be re-issued to the same distribution within 3 business days of discovering the error.

  5. Late Remittances due to untimely delivery by overnight mail service provider: The Office of Postal and Transport Policy monitors service of IRS overnight mail providers. When remittance packages are late or lost due to delays in delivery or pickup by providers, accountable officials must inform the Office of Postal and Transport Policy through their local point of contact, or the Headquarters analyst, who is Brenda S. Jackson, Supply Management Specialist in Dallas, Texas. Brenda can be reached at (972)-308-7074. Add a statement in the comments section of Form 5919 and attach a narrative statement to the Late Remittance report to indicate the remittance was delayed by the overnight mail service provider. Lost packages containing personally identifiable information (PII), such as SSNs must also be reported to *CSISC@irs.gov

  6. Ogden and Cincinnati are requested to cc lani.b.andrew@irs.gov on all late remittance reports issued to Collection areas in FY2008.

3.8.45.28.5  (02-01-2008)
Form 3210 Document Transmittal Processing

  1. Many field office employees use Form 3210, Document Transmittal to transmit remittances as well as other documents. Field offices must prepare and mail these transmittals with remittances and attached documents by the close of each day or as soon as possible the next business day. They send an original and two duplicate copies in an envelope sealed by the originator. This envelope should be annotated as containing Forms 3210 and is included in the overnight package. Apply timeliness of remittances and critical error criteria to all field office receipts, except misdirected remittances, for all types of transmittals.

  2. In order to verify all items sent and received, the transmittal should list all items, the individual money amounts, and a total of the amount of the items.

  3. The table below indicates the steps necessary in receipting the Form 3210.

    Step Action
    1 Verify every item received with a distinctive check mark. If a non-remittance item is not included, note the transmittal document. If a remittance or 809 receipt is listed and not included, contact the originator. Inform your manager. If the remittance or 809 is determined to be missing, follow procedures in IRM 3.0.167 , Losses and Shortages.
    2 In the bottom right hand corner, sign and date both the original and the copies of Form 3210.
    3 Determine if remittances are timely. See IRM 3.8.45.26.4.2 for general criteria.
    4 Review for errors. (Refer to IRM 3.8.45.26.5.1 Errors Discovered on Form 3210 Document Transmittal)
    5 Return the acknowledgment copy to the originator at the specific address listed on the transmittal within 5 workdays of receipt.
    6 File the receipted original according to local procedures.
    7 File the facility copy according to local procedures.

    Note:

    Forms 3210 should remain filed for a period of three years. Refer to IRM 1.15.29, Records Control Schedule for Service Center Operations.

3.8.45.28.5.1  (02-01-2008)
Errors Discovered on Form 3210 Document Transmittal

  1. If you discover critical errors (i.e. late remittances, incorrect money amounts, or money amount on posting document does not agree with remittance dollar money, remittances not included, a Form 809 transmitted via 3210 in error) on a field office remittance transmittal package, issue Form 5919 Teller's Error Advice (response required) to the appropriate field office (first level) manager. It may be necessary to access the IRS Discovery Directory or IRS Roadmap @http://otac.no.irs.gov/roadmap, to determine the manager of the field office if the manager is not listed on the transmittal document. Critical errors are defined as those errors associated with waste, fraud, abuse, and include:

    • Late Remittances (See 3.8.45.28.3.2

    • Form 809 Receipt for Payment of Taxes errors. Cash conversion not within 24 hours of receipt, If Form 809 is transmitted on Form 3210 in error, treat Form 3210 as a Form 795/795A Daily Report of Collection Activity transmittal. Apply all procedures and error criteria as outlined in 3.8.45.26.10.4 Critical Errors on Form 809 or Remittances (Requires Issuance of Form 5919 and Acknowledgement).

    • Money amounts different from amounts received (totals and/or item amount different)

    • Remittance not included

    • Illegible

    • Form 809 listed but not included

  2. If you discover other errors, identify the error on the transmittal. See Exhibit 3.8.45-108 illustrates critical fields of Form 809. Non critical errors are those that do not involve money amounts, such as incorrect MFT. You will use the transmittal to state that a non-critical error was made on one of the following:

    • Transmittal document,

    • Remittance,

    • Posting document, or

    • Tax return.

  3. If you cannot correct the error, it may be necessary to call the originator or the field office manager. If you discover gross errors, inform your manager. Submission Processing Center managers may issue Form 5919 Teller's Error Advice to inform field office or campus managers of gross errors, at their discretion. Non-critical errors do not require issuance of Form 5919. Follow IRM 3.13.62 , Media Transport and Control for general Form 3210 handling on non-remittance items.

3.8.45.28.6  (02-01-2008)
Procedures for Sending Tax Receipts to Submission Processing Centers and Addresses for Field Office Employee-Collected Remittances

  1. Procedures for sending tax receipts to submission processing centers are listed below. Field offices must send receipts to the dedicated center for the specific type of remittance being processed, at the specific address identified by the Submission Processing site.

    1. All daily remittances (i.e., checks) must be sent by overnight traceable method to the designated submission processing center. This can include registered mail with the United States Postal Service, Federal Express, United Parcel Service, or any other officially recognized mail carrier. These mailings must be double-wrapped in opaque paper envelopes or boxes.

    2. Tax receipts must be transshipped to the designated submission processing center address for remittances on the day of receipt from the taxpayer, or as soon as possible the next business day. Cash must be converted to a money order or bank draft before mailing. Address the money order or bank draft to the United States Treasury.

    3. Include a completed posting document to ensure proper crediting of customer accounts. The use of a transmittal document, listing specific package contents, is required. Forms 809 Receipt for Payment of Taxes, are transmitted via Form 795/795A Daily Report of Collection Activity.. The name of the sender, return address (with stop number), and telephone number is required on all transmittals.

    4. The sender must establish a control to ensure delivery of tax receipts. The control must include dollar amounts of taxpayer receipts by taxpayer identification number (TIN), correlated to the package tracer information. For example,