- 3.0.275.8 Other Submission Processing Business Results Measures
- 3.0.275.9 Submission Processing Lockbox Processing Procedures
- 3.0.275.10 Correspondence Error Rate Business Result Measure
- 3.0.275.11 Rejects Correspondence Timeliness
- Exhibit 3.0.275-1 Business Results Measures Communication Record
- Exhibit 3.0.275-2 SMART Database Cut-Off Dates and Report Due Dates for all Business Measure Results
- Exhibit 3.0.275-3 Check list for Entity, Letters, Greenies, RAIVS and R&C
- Exhibit 3.0.275-4 Letter Error Rate What and Where Codes
- Exhibit 3.0.275-5 Deposit Error Rate Frequently Asked Questions
- Exhibit 3.0.275-6 Non-Master File (NMF) Accounts for Deposit Error Rate
- Exhibit 3.0.275-7 Deposit Error Rate Who and What Codes
- Exhibit 3.0.275-8 Refund Timeliness and Error Rate Who, What, and Why Codes
- Exhibit 3.0.275-9 Refund Timeliness and Error Rate EIF/NAP Access Codes
- Exhibit 3.0.275-10 EFT and Direct Deposit Reject Reason Codes
- Exhibit 3.0.275-11 Notice Error Submission Processing Notice CP Numbers
- Exhibit 3.0.275-12 Notice Error Rate Cycles for Monthly Volumes — 2012/2013
- Exhibit 3.0.275-13 Notice Error Monthly Cut Off Chart- 2012/2013
- Exhibit 3.0.275-14 Notice Error WHO Codes
- Exhibit 3.0.275-15 Notice Error WHAT Codes
- Exhibit 3.0.275-16 Notice Error WHERE Codes
- Exhibit 3.0.275-17 Notice Error EXPOE Codes
- Exhibit 3.0.275-18 Notice Error Type of Error Codes
- Exhibit 3.0.275-19 Professionalism Errors
- Exhibit 3.0.275-20 IMF and BMF Refund Interest WHO Codes
- Exhibit 3.0.275-21 IMF and BMF Refund Interest WHAT Codes
- Exhibit 3.0.275-22 IMF and BMF Refund Interest WHY Codes
- Exhibit 3.0.275-23 Fiscal Year 2014 Refund Interest Processing Cycles
- Exhibit 3.0.275-24 Erroneous Refund Identified Sheet
The measure uses a rolling 12–month cumulative figure that only includes current year IMF and BMF original settlement refunds. The figure reported represents the net refund interest dollars paid, (after reversals), divided by the quotient of the net refund dollars issued, (after reversals), divided by $1 million. Combat Zone returns for IMF are excluded from this measure.
The local Refund Interest reports necessary to perform this review are accessed through Control-D.
Information in the weekly IMF 703-76-13 and the BMF 161-06-13 reports is sorted by center and used to obtain the net refund and net interest paid amounts for each cycle. The BMF reports provide a breakdown by form type and a summary of all forms at the end of each service center sort. Only returns with interest paid on current year IMF and BMF refunds that occur in the original settlement cycle are included in these reports. Local Interest per Million is computed using this data.
The IMF 703-71-XX and the BMF 161-01-XX (XX indicates the campus file location number) reports are accessed from Control-D. These reports, transmitted to the centers weekly, contain one record for each original settlement refund with interest, posted in the current cycle to a taxpayer's account. The reports show the:
Taxpayer Identification Number
Document Location Number (DLN)
Refund Amount (TC846 or TC840)
Principle and Interest Amount
Taxpayer Notices Codes
Other Information Useful for Research and Determining the Causes for Refund Interest Paid.
Goals are computed based on historical data and other issues, which may impact the measure, (i.e., interest rate increases/decreases.) Goal ranges are monitored by HQ, and revised as necessary.
Centers will submit monthly narrative reports to HQ, and provide updates to local management. For Refund Interest reporting specifications, see IRM 3.0.275.1.10 specifically (6) and (7), "SMART Database Cut-Off Dates and Report Information for all Business Results Measures."
Improvement Team Refund Interest analysts must coordinate with their local Refund Interest Coordinator to address high amounts of refund interest paid.
Coordinators should develop strategies for preventing refund interest, i.e., meeting program completion dates, using interest Jeopardy reports and developing local procedures. These local procedures, strategies and any "Best Practices, should be shared with the HQ Refund Interest Paid analyst, who in turn, will share with the other centers."
A "Best Practice" is defined as a new or innovative technique that has been proven to work well and can be shared or adopted, in full or in part, by other areas or offices.
Coordinators may become aware of a procedural problem, or an area causing large amounts of interest. These issues should be communicated to the HQ Refund Interest Paid analyst.
The IMF process begins with interest payable on refunds issued after May 29th, (45 days after the return due date of April 15). Centers will begin to see data on the 703-71-XX (XX= campus location number) Refund Case report. Prior to 21 and 46, centers should process as many Full Paid returns as possible. It would be to the centers advantage after Cycle 20, to verify input dates, and work as many delinquent cases as possible.
The BMF centers process multiple return types and have return due dates throughout the calendar year. Refunds for certain forms are accelerated several times a year as determined by National Office. These refunds cannot be intercepted.
BMF Accelerated Cycle Chart MFT CYCLE 23C DATE 02 16 5/6 05 21 6/10 02 30 7/12 02 43 11/11
Refund data is generated weekly on Control-D, analyzed by the Improvement Team Refund Interest analysts and then manually entered, by cycle on SMART.
To access the SMART database go to the Business Results Measures homepage at http://balmeas.enterprise.irs.gov.
and select the Refund Interest link from the upper left hand side of the web page. This link will access the Refund Interest Home Page. Select DCI input from the menu bar at the top of the page to input case data.
It is extremely important the SPCs focus on their interest causes. Identifying these causes will help centers decide what areas they need to focus on in lowering interest paid. Therefore, an adhoc query capability has been built into SMART. To access this data extraction capability, go to the Business Results Homepage, and select the Refund Interest Homepage link. On the subsequent page, the Service Center Reports option contains the link to the adhoc query form.
The weekly MCC IMF 703-76-13 and BMF 161-06-13 reports, All Forms, Original Settlement reports list the total number of refunds with interest issued each cycle for each center. The "Original Settlement Net" is a roll-up report that summarizes four detailed reports:
IRS Initiated (all refunds not requested by taxpayers when filed)
Service Center Controllable (refunds with interest caused by the Center)
Refund cases filter down through the reports in this order and are included on the first report that applies to that refund. The report is cumulative though the calendar year. All of the files are generated at ECC/MCC and posted on Control-D through ECC/MCC Dispatch. Combat Zone cases are excluded.
The IMF 703-76-12 and BMF 161-06-12 reports show amounts for Gross Interest Paid, Interest Reversed and Net Interest Paid by cycle, and sorted by service center.
The IMF 703-76-11 and BMF 161-06-11 reports show amounts for Gross Refunds, Reversed Refunds, and Net Refunds paid by cycle, sorted by service center.
The IMF 703-71-11 and 703-71-XX (XX Service center location code) reports are a weekly record of all the designated SPCs individual Refund Interest cases. These reports identify the actual cases causing refund interest, and include tax periods, DLN's, and whether or not the cases went unpostable, etc. Sites should obtain these files for sampling purposes. Once these files are loaded into an EXCEL spreadsheet. the data can be manipulated and sorted to extract a sample from any of the categories for review.
Local Refund Interest Paid Coordinators, their designated center, telephone number, and email address, are listed under the contact link on the Refund Interest Homepage. National Office contact information is provided on the Business Results Measures Homepage under National Office Contacts/Staff.
The Refund Interest Definitions link on the Refund Interest Home Page provides some IMF and BMF program specifications, historical interest rates and a record layout of the 703-71-12 (IMF) and 161-01-12 (BMF) for Refund Interest Paid.
The Processing Cycles page list the processing cycles for each month. See Exhibit 3.0.275-23.
For IMF and BMF case reviews, centers should, at a minimum, select 12 cases with the highest amount of refund interest paid per cycle (weekly) from the 703-71-XX IMF Report and 161-01-12 BMF Report.
You may choose to request your returns on IDRS or use a template of a Form 2275, Records Request, Charge and Recharge, for Returns-Expedite. Complete the request and wait to receive returns. If a return is received and it becomes necessary to forward it to another area, re-charge the document using Command Code ESTABDT. See IRM 3.5.61 Accounts Services - Files Management and Services (.1.4(1)m and .2.13.17–1) Overlay the EMP. NUM> field with the IDRS number of the employee the document is being sent to.
Not all returns will be received with the first document request. Those not received should be requested a minimum of three times before coded as "Unknown" or "Cannot be Determined" .
Research each sample case utilizing the following research tools:
UPTIN - to determine how long Unpostables (UP) had the case in their inventory.
Check for misapplied credits and any outstanding balance due on other tax periods for the taxpayer. IF found and a liability exist that corresponds with the payment(s), transfer the credit.
Ensure that all posted payments belong to the taxpayer. If, when reviewing the case, any misapplied credits have already refunded (due to CADE2 processing), complete the Erroneous Refund Identified Sheet and route to the appropriate function who will follow the erroneous refund procedures in IRM 21.4.5 Refund Inquiries - Erroneous Refunds.
If UP381 RC-2 is shown, check for misapplied credits and other taxpayer identification numbers for the taxpayer. If found and a liability exists that corresponds with the payment(s), transfer the credit.
If UP305 RC-4 is shown for another module, determine if the payments(s) that are refunding should be transferred.
To determine how long UP had the case in their inventory.
To determine how the taxpayer filed the return (refund/non-refund, the existence of any Taxpayer Notice Codes (TPNC) and if the taxpayer is expecting this refund?)
Use in researching Input Correction Operations case history.
To view credits posted to the module and any pending activity.
To follow the progress of the block of work through the Service Center pipeline. Did the block go to ERS or Rejects? If so, how long was it there? Was correspondence sent? if so, was a Correspondence Received Date (CRD) entered?
Used to view an image of a taxpayer's check.
To determine if the return was timely and correctly batched. Check the return received date against the IRS batched date. (the return is needed to verify the actual received date.) Was the return transshipped? Check the batched received and released dates for the various functions and analyze why the refund missed the 45-day interest free period. Determine how the return was batched. The Program Code or Batch ID field identifies refund vs non-refund or 11 day/6 day cycle. Look for merges and bypass work. These cases are added in Numbering because they were pulled out of their original batch.
If the return shows a refund then check the "Batch/Block Tracking System (BBTS)," print to ensure the return was batched correctly. Check these BBTS fields:
Batch Identification Code - is located at the top right of page 1. These codes identify how the return was batched. If no code is shown, then it was batched according to the Program Code. See IRM 3.10.5, Batch/Block Tracking System (BBTS), for additional information.
Received Date- located under the Program Code. This shows as a Julian date/year and is not necessarily the received date of the return under review. This is the earliest received date in the block of work. The actual received date of the return must be entered on the DCI.
Release Date - is located to the right of the BBTS received date, see received date format. Code a Taxpayer defect for a misplaced entry that affected the batching of the return.
Check the "Service Center Control File," (SCCF) print to see how long it took from the time the block established on SCCF until it posted to good tape. Be careful not to charge an area for late processing if the returns posted within a few days of being entered in Data Conversion.
SCCF- A Magnetic Tape Control System used to record the receipt of Returns or documents into the processing pipeline, to track the process of the documents through the processing system and finally to record the fact that all items have been completed. The SCCF systems maintain separate totals for revenue receipt items and other items. See IRM 2.3.36, IDRS Terminal Responses - Command Code SCFTR, on how to read this report.
The tax return may not always be necessary to review the case. A return is not necessary in the following situations:
TC71X, misapplied payment (IMF TC430/610/640/660/670 and BMF TC650/660/670) is causing a refund. (If you cannot determine where it belongs, check RTR to view the taxpayer' intent.)
An extension payment was processed as a TC610 payment with a return (IMF U-140 and BMF U-399 and Unpostable 381-2 and certain 305-4 conditions).
A prior year Credit Elect is not claimed on the return.
Other payment problems identified using RTR or SCRIPS documents.
Pending (PN) TC976 subsequent or amended return.
Credit interest is paid on an offset, (TC826), to a balance due module on the sample spreadsheet received from Planning and Analysis (P&A), check listing category of "Offset of Principle" to determine if the refund met the 45 day interest free period. This can be done by looking at the column titled "Timely Refund" . If the value is this column is equal to 1, the offset is the only reason for the interest paid. Code this case as systemic due to the offset.
Otherwise, request the return to determine why the 45-day interest free period was not met.
The purpose of the IMF and BMF review is to determine the causes of credit interest being paid and to take action to reduce these amounts in the future. Actions taken can include feedback to the various functional areas, (either in general or for specific cases), Memoranda of Understanding (MOU's), SERP Alerts, and other measures.
The sample is produced weekly for each cycle that refunds generate. This is normally every cycle except for the "dead cycles" that occur in January of each year. The Program Analyst extracts the sample weekly from Control-D file (IMF 702-71-XX) and (BMF 161-01-XX)
Review the case per the functional areas IRM procedures. The return is an important source document for the review, and in most cases, needed for a complete and accurate evaluation. Review IRM 3.0.2188.8.131.52, IMF and BMF Research Tools.
Verify the return was timely filed. If not, compare the received date stamp on return against what was entered by Data Conversion.
Check the return for correspondence. If present and the reply was received after the due date of the return, a Return Processable Date (a.k.a. Correspondence Received Date) should be present on the return. See IRM 184.108.40.206.7 for further information.
If return indicates correspondence was sent but no reply was received, "No Reply" should be stamped on the front of the return and no Return Processable Date (RPD) should be shown on the return. Since RPD is blank on these returns, it is essential that Computer Condition Code (CCC) "U" be present, except as noted in the IRMs of Code and Edit and Input Correction.
Determine if the taxpayer is expecting a refund. If the dollar amount of any Estimated Tax Payments posted to the module is greater than the dollar amount claimed by the Taxpayer, check CC IMFOLT/BMFOLT and the Remittance Transaction Research (RTR), to make sure all payments on the module have posted correctly. Check the refund section of the return to determine if an entry is shown on the "Refunded to you" or "Amount you owe" line. If an entry is shown on the "Amount you owe line" then determine if the taxpayer paid the balance, if so this is considered a full paid return. If zero is shown then the return is considered even balance return.
Code the case per "Who, What and Why" using the following: Exhibit 3.0.275-20, Exhibit 3.0.275-21, and Exhibit 3.0.275-22. When multiple defects are identified, code the DCI according to the following priorities:
The last functional area able to correct a defect, (i.e., omitted credit transfers),
The longest period of time spent in a functional area through no fault of the Taxpayer,
Input case to SMART on the Refund Interest Database.
To open the Business Results Measures Home Page:
Click on the Refund Interest tab.
Refund Interest Home Page is shown: http://balmeas.enterprise.irs.gov/RefundInt/RefundIntHome.asp
Click on DCI Input Form Key and follow the "Business Results Measures for Submission Processing Functions, Job Aid," (Catalog number 37697B, Training 6804-701), Section 7. To obtain a copy of the Job Aid go to: http://coursebooks.enterprise.irs.gov and select Business Measures which will bring up the training 6804-701. Click on the training number.
The Productivity Business Results Measure quantifies how productive Submission Processing Centers are with the staff hours they are budgeted.
Productivity is defined as the "measure of work units (a weighted measure of returns processed) per staff year expended."
The Submission Processing Productivity Measure is a multi-factor measure used to quantify the productivity of the tax processing centers by measuring the effectiveness and efficiency of converting inputs to outputs. Staff-hours relating to Processing and associated programs are incorporated in the calculations.
The calculation of the Productivity measure defines inputs to and outputs from the Submission Processing Center. Outputs are defined as a specified universe of returns and documents that represent the significant workload (volumes associated with returns and documents) that flows through the tax processing centers. The volumes of these returns and documents are weighted in relation to statistics derived from a specific "base year" allowing for year-to-year comparisons. Inputs are defined as the staff-years utilized by the centers to process the specified universe of returns and documents. The end result calculation is weighted volume per staff year.
The data source for the Productivity measure reports is the Work Plan and Control (WP&C) reports. This data is downloaded into Excel spreadsheets from Business Objects on a monthly basis. These spreadsheets undergo a series of database manipulations using the software, FoxPro. These manipulations are the data source used to calculate the results Weighted Volume per Staff Year (WVPSY).
Productivity reports are currently produced by a Headquarters analyst and posted to the Submission Processing web site monthly.
The Lockbox information contained in this section is not to be used by the Business Results Measures.
This section has been moved from the IRM 3.0.230, Submission Processing Center Quality Review of Lockbox.
The reviews were established to ensure that IRS Lockbox Sites work meets the standards in the Lockbox Processing Guidelines (LPG). Each review examines critical elements that are used to provide information to the Lockbox Processing sites. It is imperative that the reviews are completed daily. They will be used to assess the overall performance of each Lockbox sites.
SPC's with multiple Lockbox Sites are required to perform daily review of work received from each Lockbox site.
Each review is associated with a data collection instrument (DCI) created in Microsoft Excel. Results from these reviews will be incorporated into the Lockbox Performance Standard. General and specific guidelines for the review process and use of DCIs can be found in the sections below.
The DCIs reflect the work to be sampled, sample size, error descriptions and other review information. Read both the instruction and the DCI carefully before beginning.
Document all pertinent comments relating to charged errors in the "other" column. Write them in the comments area on the DCI or on the main comments sheet.
Ensure corrective action is taken on the taxpayer's account when identified during the Service Center Review.
Forward completed DCIs to the Lockbox Field Coordinator (LFC) by the third working day of the following month. The LFC will maintain these reports for the length of the contract.
A 100 percent review of the mail-out package must be performed daily upon receipt.
In the column entitled "Package Contents," answer "complete" if all the required items were included in the packages, answer "Incomplete" if any of the required items were missing.
In the column entitled "Received timely," answer "YES" if the mail-out package was received on time and answer "NO" if it was not.
In the column entitled "Lockbox Document Transmittal (LDT) Acknowledgement Page Correct? (Items other than with remit)," answer "YES" if the LDT was correct and answer "NO" if it was not.
In the column titled "With Remit Unprocessable Count Correct" answer "Yes" if after counting the check the LDT count matches, answer "No" if it does not.
The Lockbox site should not be penalized if acts of nature delay delivery of the package. If this happens, mark the package as timely received. Notate in the comments column "An act of nature delayed delivery."
For any "Incomplete" or "NO" provide an explanation in the comments column.
When an error is found provide copies of the sampled case to the Lockbox Coordinator.
Forward the DCI to the LFC by the third working day of the following month.
An employee from the Improvement Team function will perform sample reviews on all unprocessable (with remittance and non-remittance) work in Receipt & Control on a daily basis.
To sample, randomly select 15 with remittance documents and 15 non-remittance documents to review.
Record the number of processable items found, record the number of incomplete items found and record the number of common processing requirements not met among the unprocessable items. The DCI has a list of the codes and corresponding processing requirements.
If the "other" category is selected, explain the error in the comments column.
When an error is found provide copies of the sampled case to the lockbox Coordinator.
Forward the DCI to the LFC by the third working day of the following month.
IMF returns will only be reviewed January through April at IMF sites. BMF work will be reviewed year round at BMF sites.
An employee from the Improvement Team function will perform a sample review from each category of returns in Receipt and Control on a daily basis.
To sample, randomly select six batches from each category. Randomly select three returns from each sampled batch. If six batches are not available in a category, randomly select three returns from each batch. If sampled batches have less than three returns, review all returns available, do not sample another batch.
After the returns have been pulled for sample, the returns are individual items and are subject to individual error. No matter what batch they came from
Record the number of returns found in error on the DCI. An error will result when:
Return is mis-sorted (e.g., Form 1040A sorted as Form 1040).
A check is found on the first page, the balance due page, or with the W-2 on the front.
A Form 9465 (Installment Agreement Request) attached to the front of the return and not date stamped.
A Form 9465 attached to the front of a return sorted as "Full Paid" (should be Part Paid or Non Remit).
A refund return sorted as "Full Paid" (should be Part Paid or Non Remit).
Review the cover sheets associated with each sampled batch. On the DCI, record the number of cover sheets reviewed and the number of cover sheets in error. Cover sheets with the wrong received date or wrong form are considered in error. Each cover sheet can only be charged one error, even if it contains multiple errors. Use the additional columns to show the number of each error type found. Results will filter to the cover sheets summary tab in the worksheet.
The review of full-paid returns may be delayed during April peak because some work is shelved. Once work resumes on the shelved returns, they should then be sampled for this review.
When an error is found provide copies of the sampled case to the Lockbox Coordinator.
Forward the DCI to the Lockbox Field Coordinator by the third working day of the following month.
An employee from the Improvement Team function will perform a sample review of 1040X returns daily in Receipt and Control the month of April only at IMF sites only.
To sample, randomly select six batches of 1040X returns. Randomly select three returns from each sampled batch. If there are not six batches available, randomly select three returns from each batch that is available. If sampled batches have less than three returns, review all returns available. Do not sample another batch.
Record the number of returns in error on the DCI. Use the error codes on the DCI to identify the types of errors. If the "other" category is selected, explain the error using the comments column.
The number of errors cannot exceed the number of sampled returns. One return can have multiple errors but only count one error. Detail the multiple errors in the "type of errors section."
After the returns have been pulled for sample, the returns are individual items and are subject to individual error. No matter what batch they came from.
Review the cover sheets associated with each sampled batch. On the DCI, record the number of cover sheets reviewed and the number of cover sheets in error. Cover sheets with the wrong received date or wrong form are considered in error. Each cover sheet can only be charged one error, even if it contains multiple errors. Use the additional columns to show the number of each error type found. Results will filter to the cover sheets summary tab in the workbook.
When an error is found provide copies of the sampled case to the Lockbox Coordinator.
Forward the DCI to the Lockbox Field Coordinator no later than the third working day of the following month.
An employee from the Improvement Team function will review a sample of prior year and delinquent returns in Receipt and Control.
To sample, randomly select a total of six batches of prior year returns and a total of six batches of delinquent returns. Randomly select three returns from each sampled batch. If there are not six batches available within a category, randomly select three returns from each batch that is available. If sampled batches have less than three returns, review all returns available. Do not sample another batch.
Record the number of returns in error on the appropriate DCI to identify the types of errors. If the "other" category is selected, explain the error using the comments column.
The number of errors cannot exceed the number of sampled returns. One return can have multiple errors but only count one error. Detail the multiple errors in the "type of errors" section.
After the returns have been pulled for sample, the returns are individual items and are subject to individual error, no matter what batch they came from.
Review the cover sheets associated with each sampled batch. On the DCI, record the number of the cover sheets reviewed and the number of cover sheets in error. Cover sheets with the wrong received date or wrong form are considered in error. Each cover sheet can only be charged one error, even if it contains multiple errors. Use the additional columns to show the number of each error type found. Results will filter to the cover sheets summary tab in the workbook.
When an error is found provide copies of the sampled case to the Lockbox Coordinator.
Forward the DCI to the Lockbox Field Coordinator no later than the third working day of the following month.
Each lockbox site will pull a random sample of 8 envelopes for each day that they receive mail.
All copies will be placed in a larger envelope labeled "Deposit Error Sample, Improvement Team Staff," along with the appropriate Mail Stop number. This package will be put in Box #1 of the daily Lockbox Shipment.
An employee from the Improvement Team Function will review the selected samples provided by the lockbox. The sample could include either IMF or BMF items.
This review must be performed throughout the year for each day the lockbox receives mail.
The following procedures provide basic instructions for performing the Service Center DCI Lockbox Deposit Error Review utilizing the RTR system.
Click on "Research" in tool bar at top of screen.
RTR Research: enter criteria screen will come up. Query by entering a Deposit Date 'range' (note: the range should be the "received date" plus five calendar days), enter the TIN, Name Control, and payment amount. Near the bottom of the screen click "Lockbox Only" . After entering this information press enter or click "Submit."
When the payment is found the following screen will come up: Filter results: 1 Transaction Found.
Click on the date in the Deposit Date cell (e.g., 02/14/2005). The following screen will come up: ISR1340 Document Remittance Register Details - print this screen (landscape). Using the information on the print verify that the payment was processed accurately (i.e., verify that the payment was processed with the correct MFT, TIN, Name Control, Money Amount, Transaction Date, (should be the date notated by the lockbox bank on the case file) Tax Period, Transaction Code(s)). Special instructions for split payments or multiple payments Verify all data available. Charge only one error per case.
If a payment was not processed accurately notate the correct information on the RTR ISR1340 screen print below the incorrect date in error. Attach the screen print to each case file.
When an error is found place an "X" on the DCI in the column that best describes the error. Provide copies of the RTR ISR1340 and copies of the sampled case to the Lockbox Coordinator.
Record the number of cases received on the DCI using the received date from the sample.
Do not enter zeros for days when the review is not performed.
Record the number of cases found in error on the DCI. Use the "Lockbox Error" column to document these errors.
Use the error codes on the DCI to identify the types of errors found.
If the "other" category is used, record an error and use the Comment column to explain the error.
A case may have more than one error code identified, but only one error per case may be charged.
Provide a copy of the case that is in error and the associated RTR data screen print to the Lockbox Field Coordinator.
Forward the DCIs to the LFC no later than the third working day of the following month.
Retain all sample Lockbox Deposit Error Rate (DER) cases for a rolling six month.
Taxpayer Error - Used when an error occurred due to information provided by the taxpayer. This may include illegible or unclear information. For taxpayer errors, no errors will be notated in the categories under "Types of Errors" .
Unprocessable - Used when a case is a true with/remittance unprocessable and was handled incorrectly by the bank. If the bank incorrectly sent the case to the center as an unprocessable, the case should not be entered in this column. It should instead be marked as a "Lockbox Error" .
Residual - Used when the sample case does not involve a remittance. No errors will be notated on residual cases.
Taxpayer Impact - Used when a case that is marked as a lockbox error will result in a notice, letter, penalty, and/or interest charge to the taxpayer. The type of impact must be described in the comments column.
Each IMF Lockbox Site will pull a daily random sample of twelve envelopes from the Form 4868 PO Box if available.
The Lockbox site will place all photocopied items in a larger envelope labeled with: Improvement Team, appropriate Mail Stop, and "Lockbox Form 4868 Review" . The package will be put in Box #1 of the daily Lockbox Shipment.
An employee from the "Improvement Team" will review the selected samples provided by the Lockbox Site.
Sampling will only be done at the IMF Lockbox sites.
Errors will be charged when an extension has been processed incorrectly as approved or incorrectly as unapproved or if an extension has been processed as approved with a RTR transaction date later than 4/22/2010 (or 4/15 for items received 4/23 through 5/7 subject to the postmark review) or processed with an incorrect transaction date.
All other errors identified (SSN, name control, etc.) may be recorded in the comments column, but will not be recorded in the "Lockbox Error" column.
On a daily basis, whenever an error is identified or suspected notify the LFC IMMEDIATELY via their cell phone. It will be necessary to contact your Lockbox Field Coordinator (LFC) on their cell phone as they will be at the bank site during the review period.
For LFC contact information see Lockbox Processing Guidelines (LPG 1.2(3)).
Sample Date - The "Sample Date" is the received date of the sample case received.
Lockbox DLN - For each case, enter the Lockbox DLN (xxxxx-xxx-xxxxx). The Lockbox DLN can be determined via Remittance Transaction Research System (RTR) research and will have a valid Lockbox File Location Code (FLC) from the chart below. If the case is a 'residual' enter the taxpayer's name control in place of the DLN.
LOCKBOX FILE LOCATION CODES SPC Lockbox Bank Scan Scan Overflow Non-Scan Non-Scan Overflow AUSPC JP Morgan - Charlotte 73 50 75 53 CSPC US Bank - Cincinnati 35 31 FSPC BOA - Union City 68 15 94 24 FSPC -1 US Bank - Cincinnati 33 80 77 90 KCSPC JP Morgan - Louisville 36 40 39 42 KCSPC - 1 BOA - Windsor 47 48 OSPC BOA - Windsor 91 92
Consider the following as residual: a non-remit Form 4868 or any form other than a Form 4868. However, if a form other than a Form 4868 was actually processed as a Form 4868, this is NOT a residual and the information should be captured on the DCI (e.g., a Form 1040ES that was processed as a Form 4868). A "check only" annotated by the taxpayer anywhere on the check as payment for an extension should be processed as unapproved.
Lockbox Error - Place an "X" in the "Lockbox Error" column for the following error conditions:
Processed incorrectly as approved.
Processed incorrectly as unapproved.
Processed as approved with a transaction date of 4/23 or later. (For samples with received dates 4/20 through 4/22.)
Processed as approved with a transaction date later than 4/15 (this is for samples with received dates 4/23 through 5/7 that have a timely postmark of 4/15 or earlier).
Processed with an incorrect transaction date.
Postmark Date - Enter the earliest date or "missing" or "illegible" from the envelope.
RTR Transaction Date - Input the transaction date from RTR. Use the RTR instructions below to locate the transaction on RTR.
Click on "Research" in tool bar at top of screen.
RTR Research: Enter criteria, screen will come up. Query by entering a Deposit Date Range.
The range should be the "received date" plus 5 calendar days, enter the TIN, name control, and payment amount. Near the bottom of the screen click "Lockbox Only." After entering this information press enter or click "Submit."
When the payment is found the following screen will come up: Filter results: 1 Transaction found.
Click on the date in the "Deposit Date" cell (e.g., 04/16/2011). The following screen will come up: ISR1340 Document Remittance Register Details - print this screen (landscape). Using the information on the print, verify that the payment was processed accurately with the correct MFT, TIN, name control, money amount, transaction date, (should be the date notated by the Lockbox bank on the case file) tax period and transaction code(s).
If a payment was not processed accurately notate the correct information on the RTR ISR1340 screen print below the incorrect data. Attach the screen print to each case file.
Special instructions for split payments or multiple payments
Verify all data available.
Transaction Date Correct - Select "yes" or "no" from the dropdown menu. Items received April 23 through May 7 are subject to a postmark review and should have a 4/15 transaction date if the earliest postmark is timely. Items with missing, illegible, and untimely postmarks should carry the transaction date annotated on the sample.
IDRS Date - Enter the IDRS date of the Lockbox transaction. Use the IDRS instructions below to determine how the extension was processed.
Research payment via Command Code IMFOLT (other command codes may be used if necessary). Use the SSN from the RTR report to research the payment. Be sure the payment you review is the posted Lockbox Payment which will have a Lockbox FLC.
Processed as approved/not approved - Place an "X" in the appropriate column indicating how the extension was processed. If the payment was processed as approved, there will a transaction code 460 and transaction code 670 with the Lockbox DLN present on the module.
Comments - Any pertinent comments, including transactions processed with an incorrect TIN, name control, etc.
If processing errors are identified or suspected contact your LFC immediately! It will be necessary to contact the LFC on their cell as they will be at the Lockbox site during the review period.
For Lockbox Field Coordinator contact information see Lockbox Processing Guidelines (LPG 1.2(3)).
Please ensure corrective action is taken on the taxpayer's account when an error is identified during the review.
At the end of the review period, provide all copies to your LFC, this includes: all photocopy envelope and contents, IDRS prints, and RTR prints. Each sample case should be stapled together including backup research data (RTR and IDRS prints).
On a daily basis, whenever an error is identified or suspected NOTIFY the Lockbox Coordinator IMMEDIATELY via their cell phone. At the end of the review period, provide all copies to your LFC, this includes: all photocopied envelopes and contents, IDRS prints, and RTR prints even if no error was charged. Each sample case should be stapled together including backup research data (RTR and IDRS prints).
For Lockbox Field Coordinator contact information see Lockbox Processing Guidelines (LPG 1.2(3)).
The purpose of the Correspondence Error Rate Business Results Measure is to determine the combined percentage of incorrect correspondences (letters and notices) issued to taxpayers by Submission Processing.
The Correspondence Error Rate is defined as the percentage of incorrect letters and notices issued to taxpayers by Submission Processing. The number of correspondences that are inaccurate, unprofessional or unclear, as a direct result of an employee's action and/or the result of an automation/computer generated/IRM process is divided by the sample size to determine the percentage of inaccurate correspondence. This sample is comprised of 60 percent notices and 40 percent letters.
The Letter and Notice Error sampling, review procedures, data gathering, and data entry will be based upon the current guidelines established for these measures.
After the data has been entered into the Letter and Notice Error Rate SMART databases an extract of the combined data will be loaded into the Correspondence Error Rate Reports.
There will be four reports that will provide information on the Correspondence Error Rate. They are:
Correspondence Error Rate Report by SPC, IMF, BMF, and National Accuracy with Systemic Errors Counted as Errors
Correspondence Error Rate Report by SPC, IMF, BMF, and National Systemic Errors Not Counted as Errors
Correspondence Error Rate Fiscal Year Report - Accuracy Errors with Systemic Errors Counted as Errors
Correspondence Error Rate Fiscal Year Report - Accuracy - Systemic Errors not Counted as Errors
The Headquarters Analyst will be responsible for reporting the results to management. The sites will still prepare their monthly reports and narratives using the current Letter and Notice Error Rate procedures.
The purpose of the Rejects Correspondence Timeliness Initiative is to ensure the timeliness guidelines have been met when corresponding and closing correspondence cases. Monthly data will be submitted to Headquarters.
This initiative is based upon two timeframes:
The number of workdays from the suspense date to the letter input date (10 days)
The number of workdays from receipt of the response or no reply date to the date the case is closed (10 days).
This new performance indicator rolled out in October 2010 to the IMF SPCs and January 2011 to the BMF SPCs.
This review is performed to ensure a 10 work day limit from suspense date to letter issuance date and a 10 work day limit from No Reply/Correspondence Received Date to Reject case closure date, (a total of 20 work days). Review guidelines, as outlined in IRM 3.0.275.1.9, will apply to this timeliness initiative. Case records should be retained consistent with procedures in IRM 3.0.275.1.1.
Improvement Team specialists utilize a Skip Interval and Random Start Number Tool which assists them with the random selection of returns where letters have been issued to the taxpayer by Submission Processing. Selected cases are loaded into a DCI housed on an Excel spreadsheet. This data is used to produce a monthly report, reflecting the timeliness for each SPC. Use the chart below to identify Cut-Off dates and due dates for the Monthly Reports.
FY 2013 Sample Month Data Cut-Off (50 calendar days) SPC Narratives to Headquarters Headquarters Report due October 2013 11/1/2013 11/4/2013 11/11/2013 November 2013 12/2/2013 12/3/2013 12/10/2013 December 2013 1/2/2014 1/3/2014 1/10/2014 January 2014 2/3/2014 2/4/2014 2/11/2014 February 2014 3/3/2014 3/4/2014 3/11/2014 March 2014 4/1/2014 4/2/2014 4/9/2014 April 2014 5/1/2014 5/2/2014 5/9/2014 May 2014 6/2/2014 6/3/2014 6/10/2014 June 2014 7/1/2014 7/2/2014 7/9/2014 July 2014 8/1/2014 8/4/2014 8/11/2014 August 2014 9/2/2014 9/3/2014 9/10/2014 September 2014 10/1/2014 10/2/2014 10/9/2014
Use the cycle chart in Exhibit 3.0.275–23 when completing the Weekly Population Counts for a given month within your DCI tab. These volumes will be used when computing the weighted results, so it is very important the Cycle chart is followed.
The review utilizes the Standardized Normal sample size calculation to achieve a 95 percent confidence level and a sample precision not greater than 5 percent.
The sample must be selected daily in order for each case to have an equal chance for selection. Improvement Team specialists utilize the daily ERS-7745 Report from Control-D to determine the Reject Correspondence cleared volumes from the prior day’s work. If the primary analyst is not available to select the daily sample, an alternative analyst or back-up must be used for that day.
Follow these procedures for selecting the daily site sample:
Add the daily ERS-7745 Volume Cleared amounts for Status Codes 321, 322, 325, 421, 422, and 425. The total represents your site’s total population of closed correspondence cases ready to be sent to Files.
Input the total number of cleared correspondence cases to Column C of the Skip Interval Tool provided by SOI. This will calculate the number of intervening cases between those selected for your sample in Column E, (the Skip Interval) and provide a Random Start Number, Column G.
A representative from the local Improvement Team will then go the site’s ICO and locate the prior day’s completed work for Rejects.
All completed Reject work of a non-correspondence nature must be excluded from the sample process. The Skip Interval must be applied to the available Reject correspondence cleared volumes only.
After isolating the Reject correspondence cleared volumes, count down the number of cases provided by the Random Start Number script included with the SOI Skip Interval Tool. The last case of this count will be the first case counted when the Skip Interval process is applied.
Count the number of cases up to and including the number given as the Skip Interval. The case associated with the end of this count will be included in the site’s daily sample. Begin the count again with the case immediately behind the one just selected.
Repeat the above process, progressing through the isolated Reject correspondence volume population, until the Skip Interval is greater than the number of remaining cases.
Determine the Floor Volume of cases available for sample selection. To do this:
Notate the number of cases remaining in the Reject Inventory after your last case has been selected.
Add this to your Random Start Number.
Multiply the number of selected sample cases by your daily Skip Interval and add this to your Random Start Number and remaining daily cases.
Enter the result in Column I of the Skip Interval Tool as the Floor Count Volume. At this point you will have reached the end of your sample selection process for the day.
An optimum sample size of 240 cases per month for each center was established by Statistics of Income (SOI). Be aware of any large discrepancies between the reported Cleared Correspondence Volume shown from the ERS-7745 and the actual number of cleared correspondence cases available in ICO for selection. This may result in an under-sampled condition at the site which could affect sample validity and/or precision. If this condition is present, include a reference to it in the Monthly DCI Comments Tab, (see IRM 3.0.275.11.8, below).
If you discover problems with the Control-D reports, report the problem on KISAM following local procedures.
The calculation of Reject Timeliness is a ratio of timely issued correspondence compared against the total number of correspondence cases in a sample. The result of the ratio is weighted against the entire volume of correspondence cases a SPC has processed during each day. The monthly results are tabulated to determine the performance rating for each SPC. Current expected levels of performance are at least 75 percent for IMF and 80 percent for BMF SPCs.
Each month, the site will submit a completed Skip Interval and DCI Tool to Headquarters containing all daily closed case information for that month. One DCI file will be used by the site for the entire fiscal year and include all case data from previous months. Some of the closed cases entered may be late cases sampled around the end of the prior month. When the SPCs submit their Monthly DCI to Headquarters, all current cases entered into it are added to all the cases previously submitted. The list of all cases is used to produce the weighted report. (The weighted report will include all cases that the SPC has submitted to date.)
Previously created reports are not updated. Therefore, sample volume from month to month may not match unless the current month included no cases from the prior month.
Manual entries are required in all yellow highlighted fields of the template. These fields are mandatory to ensure the Excel file is correctly maintained.
When necessary, request any additional documentation from Files no less than 3 times if required data cannot be obtained thru research. If the document still cannot be secured, the case may be removed from sample and captured on the template as missing documentation if accompanied by the reason it cannot be located in Files in the Monthly Timeliness Detail Report of the DCI Tool.
Exclude cases from the sample with the following characteristics:
Suspense action was for a non-correspondence issue
Multiple Suspense Dates - Does not apply to Action Codes 211, 212, 213, 215, 224 and 410.
No Suspense Date (See IRM 3.0.2220.127.116.11 (2) (d))
Duplicate Return not being worked in Submission Processing
After QR Letter Not Required
The Skip Interval Tool tab is used to identify the individual site and includes daily Reject population and Sample data.
Volume from ERS-7745 - Reflects the Improvement Team entry from 3.0.218.104.22.168(3) (a) above.
Floor Volume - Reflects the actual number of Correspondence Documents available for sampling as computed in 3.0.222.214.171.124(3) (h) above.
The DCI Tool tab is used to record Daily Individual Sampled Case Results.
Individual Sampled Case Results - Selected cases from the daily population appear beginning in Column B, Line 8.
Select the Sample Selection Date of the sampled cases from the dropdown menu in Column A.
Enter the selected DLNs from each days sample into Column B.
Select the appropriate letter number for each sampled DLN from Column C.
Enter the ERS Suspense Date for each sampled case in Column D. Use Command Code TRDBV or Form 4251 to determine the suspense date. If TRDBV indicates two or more suspense dates for correspondence, enter the earliest date in your DCI Tool Tab. (Be sure to provide comments with your monthly submission as to why this situation occurred. This is especially important if the case was determined to be untimely.) If TRDBV is unavailable or not current, use Command Code ENMOD. If neither Command Code is available, you may use the New Suspense List report on Control-D (Job Name ERS17PR).
Enter the Letter Input Date for each sampled case in Column E. Subtract 3 days from the ENMOD date to obtain the actual letter input date. The LA49602 (on Control-D – 1 day) may be used as an alternate source for this date when ENMOD is unavailable. (Do not subtract 3 days when using the LA49602 report.)
The number of Days to Correspond, Column F, is a calculated field based on information entered in the previous 2 columns.
Enter the Reply Date or the Return Processable Date (RPD) for each case in Column G. If a reply was received, the RPD should be present. Enter this date. If there is no RPD, look for Computer Condition Code (CCC) “U” or “8” to indicate No Reply. Then, use Command Code TRDBV or BRTVUE to determine the no reply date (see ERS Corrected Date, and use this date minus 1 day). Enter the No Reply date in Column H, (Column G will be blank for a No Reply case). If the reply is received prior to the due date of the return, (including the 7 day grace period), check the taxpayer’s response for an IRS stamped received date. If present, enter the stamped date in the Reply Date/RPD field. If no stamped date is present, use TRDBV or BRTVU to determine the ERS Corrected Date, subtract one day and enter the result in this DCI field. If a reply is received after the return due date, (plus grace period), the RPD should be present. Enter this date. If no RPD, look for CCC U or 8 to indicate a No Reply. Then, use TRDBV or BRTVU to determine the no reply date
for AUSPC Only for ITIN related correspondence cases where a reply was not received, DO NOT enter the RPD. Instead, enter the CCC-U date as indicated on TRDBV.
Enter the date the case was closed in Column I. Use Command Code SCFTR to get this date.
The number of Days in Rejects, Column J, is a calculated field based on information entered in Columns G through I.
Column K is a calculated field which computes the Total Days by adding data in Columns F and J.
Column L calculates the number of Days Late by subtracting 20 days from the Total Number of Days (Col K). If the result is zero or less, Column L will be zero.
Press the Update Recap Sheet button in Cell J3 to incorporate current day review results with those of prior days.
Correspondence Received Date / Return Processable Date
IRM 126.96.36.199.7(5) instructs Receipt & Control to always attach envelopes and stamp Received Dates on all replies to IRS initiated mail, such as CP notices, "C" Letters, Forms and Balance Due Notices. The subsequent block in the chart goes even further to say "All correspondence, including taxpayer initiated correspondence/forms." If this date is not present, follow instructions in IRM 188.8.131.52.8 (4) to determine the correct date.
Undeliverable Letters will be coded as a “No Reply”.
If a site identifies a change or needs to remove a case that was previously submitted, notify the HQ analyst via e-mail.
The Recap Daily tab combines daily data entered in the Skip Interval Tool and DCI Tool Tabs and presents it in Unweighted Monthly and Daily summaries.
The Recap by Letter Type tab is a summary of review data for all daily cases in the reporting month, (Reply and No Reply cases).
The Monthly Detail Report tab is a summary of all defects charged, feedback provided, and documents removed from the sample during the reporting month.
Enter information from untimely cases in this tab. Select the month, letter number and area responsible for the delay from the drop down menus. Include a defect description and the number of days over 20 to complete the case.
Complete the summary of documents removed from the sample for each month, shown in Column I.
Follow procedures in IRM 3.0.275.1.6 - Business Results Measures Communication of Defective Case(s) - for providing error data or feedback to the responsible functional areas.
Feedback is required on all untimely cases. In addition, if the Monthly DCI tab indicates a case was late on the front end (Column F) or the back end (Column J), but overall the case was timely (Column L), feedback should be given addressing the late action.
Complete the Comments tab of the DCI by addressing each of the 5 items listed concerning review characteristics at your processing site.
All Reject Timeliness reports submitted by the SPCs should use a predetermined naming scheme which includes the SPC name, the month and calendar year (i.e. Austin Rejects Timeliness December 2012).
The SPCs monthly weighted report will be based on the DCIs completed and submitted for a particular (period) month and will include any prior months cases loaded into a current months report.
The monthly weighted report includes all cases submitted to date (at the time the report is run). Included in the weighted report deliverable is a separate tab for each SPC that lists all the cases included in each SPCs weighted results.
The weighted reports are based solely on the cases and the daily volumes that were loaded into the DCI Tools. Prior Month Cumulative information, input by the SPCs, is not used when generating weighted reports.
After case analysis is completed on each case, provide the results of the review to the appropriate Operations and Department Managers. Follow local reporting procedures.
|Business Results Measures Communication Record
RESPONSE DUE DATE:
|THIS CASE CONTAINS ONE OR MORE INACCURATE CONDITIONS
OPERATION RESPONSIBLE FOR DEFECT:
PROCEDURAL REFERENCE (if applicable):
BRANCH COORDINATOR RESPONSE*
No response is required if you agree with the defect. The correction of the case must be made within 2 weeks of receipt. If not, the Improvement team will follow-up. A rebuttal must be received by the Response Due Date indicated above. If you have any questions, please call Ext. XXXX. Send responses to: Improvement Team Review, Team XX, Stop#XXXX.
The following table shows the FY 2013 cut-off dates.
|Sample Month||Data Cut-Off||Monthly Report Run||Narrative to HQ||Results Posted by HQ|
Analyze all of the following items, if applicable, when doing your review.
|1. Is the TIN correct and legible?|
|2. Are all name lines correct and legible?|
|3. Is the street name, house number/letter, apartment number/letter, city, state and zip code correct?|
|4. Is the MFT in the reference area of the letter (top right hand side of IDRS letter) correct?|
|5. Is the form number correct?|
|6. Is the tax period correct?|
|Letters, Greenies, RAIVS and R&C Review|
|1. Are the chosen fill-ins correct and complete?|
|2. Was the case appropriately referred?|
|3. Were Taxpayer Advocate Service (TAS) cases identified and handled correctly?|
|4. Was letter/taxpayer contact necessary? If not, code error for letter not necessary. No additional coding is necessary.|
|5. Was the required IRS telephone number provided on the letter?|
|6. Was a timeframe given for the taxpayer response?|
|7. When responding to a taxpayer correspondence or inquiry, were all taxpayer issues addressed?|
|8. Were all IRS issues addressed, including advising the taxpayer of the current balance due when appropriate?|
|9. Were all appropriate attachments/enclosures included in the Correspondence and letter request?
If the enclosure was omitted or incorrect an Accuracy error should be charged. See IRM 21.3.3, "Incoming and Outgoing Correspondence/Letters" for enclosure information. If the letter does not indicate enclosed but refers taxpayer to IRS Office, and enclosure is shown, no defect (e.g., 510C- enclosures Notice 363 or 609).
|10. Was the letter sent to an authorized Power Of Attorney (POA) or representative?|
|11. Were all appropriate disclosure regulations and procedures followed?|
|12. Is the language correct in an open paragraph? No IRS jargon, courteous tone.|
|13. Were all words capitalized appropriately? Example: The different Operations within Submission Processing should be capitalized (e.g., Customer Service). Code as a Professionalism error.|
|14. Was proper grammar used?|
|15. Was correct punctuation used?|
|16. Was the proper salutation used? Is it in the correct format?|
|17. Was correct spacing used?|
|18. Were there any spelling or typographical errors?|
|19. On hand-written letters or greenies, was all text legible?|
|20. Were the correct paragraphs selected?|
|21. Was an apology to the taxpayer included when appropriate?|
|22. When responding to a taxpayer correspondence or inquiry, does the letter state "this letter is in response to your inquiry of MMDDYYYY?"|
|23. Was the appropriate closing paragraph used?|
|Letter Error Rate What Codes|
|101||Omitted||Information is missing - (e.g., para., Name Line, contact name is not complete-showed last name when a courtesy title or first and last name was necessary. Codes to use: WHERE CODE 210, and/or WHERE CODE 214).|
|102||Incorrect||Information is wrong - money amount, (e.g., fill-in amount showed 1,381.00, should be 1,381.03 per return. Street address - apartment number is incorrect).|
|103||Illegible||Unreadable - (e.g., greenies, bad photocopy).|
|105||Unclear||Language (not content) used is confusing or not specific - (e.g., systemic error on 12C letter for the para. that shows 1040 or 1040A. We received your correspondence referencing the removal of Form 730 filing requirement).|
|107||Unnecessary||Use when letter is not needed, or contains extraneous spacing, punctuation, capitalization or multiple paragraphs providing same information.|
|108||Incomplete||Only use when sentence or paragraph is incomplete. Only WHERE Code 225 or 219 can be used if WHAT Code 108 is used. (validity check will be returned if incorrect WHERE Code is used).|
|109||Unauthorized||Use to identify disclosure issues.|
|110||Other (Comments requires)||(e.g., inappropriate language used/tone)|
|Letter Error Rate Where Codes|
|201||TIN||Taxpayer Identification Number|
|202||Name Line 1||1st Name Line|
|203||Name Line 2/3/4||2/3/4 Name Line|
|205||MFT||Master File Tax Class|
|206||Form/Schedule||Form and Schedule|
|207||Tax Period||Tax Period|
|208||Fill-in||Use to designate fields within a selective paragraph or other fields that require manual entries, other than contact point, money amounts and date information (there is a code for this).|
|209||Letter||Use to designate a specific letter (e.g., 86C should be 12C, or letter should not have been sent at all).|
|210||Contact Point||Use to designate name/phone number used within a selective/open paragraph.|
|211||Timeframes/Time Zone||Use to designate hours of service for your area.|
|212||Taxpayer Issues||All taxpayer issues not addressed.|
|213||IRS Issues||If used, comments are required (e.g., date stamp on Greenies or advising the taxpayer of the current balance due.)|
|214||Attachments/Enclosures||Attachments or enclosures|
|215||POA/Personal Rep.||Power of Attorney or Rep.|
|219||Open Paragraph||Use when an open paragraph was manually composed.|
|224||Money amount(s)/Format(s)||Use to designate an error in a money amount, includes dollar sign and commas (IRM 2.4.6, covering Command Codes, and see Exhibit 2, for additional clarification).|
|227||Date (Comments required)||Includes taxpayer inquiry date, received date, response date (IRM 3.30.123, Processing Timeliness: Cycles, Criteria and Critical Dates).|
|229||Request for Signature||Signature paragraph missing or signature code is incorrect.|
|230||Other (Comments required)||Other|
|231||Acronyms/IRS Jargon||Acronyms/IRS Jargon|
Question: What if I am unable to locate the payment after IDRS research has been completed?
Answer: Research the Remittance Transaction Research (RTR) Subsystem for the Form 813 listing. Research the SCCF database using Command Code SCFTR to retrieve posting information. Research for the payment on the Automated Non-Master File (ANMF).
Question: Is it an error if the payment I'm reviewing goes Unpostable?
Answer: If the payment went Unpostable due to a systemic condition and no internal processing error was made, code the case as accurate. If the payment goes Unpostable due a transcription or other internal error, code the case as inaccurate.
Please see note under IRM 3.0.275.5.3. (1).
Question: How do I code the case if the payment has been placed in Unidentified?
Answer: If the payment could have been properly applied with the information provided by the taxpayer or by further research, charge an error to Receipt and Control.
Question: How do I review a split payment?
Answer: Photocopy all available documents. Enter the earliest Master File tax period information on the DCI; however, show the entire remittance in the Deposit Amount field. When payments are intended for more than one Payment Category (i.e., User Fee and Installment Payment), enter the Master File account information on the DCI. Consider the case accurate only if the entire remittance is applied correctly. Indicate "split payment" in the Payment Category field. If you determine that any portion of the payment was misapplied, use What Code "M" on the DCI.
Question: If the posting document is a return, do I need to wait for the return to post to IDRS to consider the case review complete?
Answer: No. The Deposit Error Rate review is focused on the application and deposit of the remittance only.
Social Security Number ending with the letter "N"
23C date (on notices)
Any of the NMF MFT codes and/or Form numbers listed below:
|NMF MFT||Form Number||NMF MFT||Form Number|
|17||941, 941NMI, 2749||46||3354VP, 5734|
|21||1041||53||706, 706A, 706B, 706NA, 706QDT|
|23||1120-DISC, 8404, 1120-IC-DISC||56||990BL, 2758|
|32||1120(L, M, ND, F)||72||FTC-2|
|38||2438||90||2137, 2617, 3071|
|40||2034, 2050, 2052||93||2290|
|41||2521, 2522, 2523, 2527, 4077||96||11C|
|Deposit Error Rate Who Codes|
|1||Taxpayer (you must enter a description of this type of error in the Comments field)|
|2||Receipt and Control|
|7||Data Conversion or Receipt & Control -
IRM 3.0.275.5.4. for Data Input Instructions.
|Deposit Error Rate What Codes|
|B||Not applied to earliest CSED|
|D||Incorrect money amount|
|E||Incorrect tax period|
|I||Secondary TC Omitted/Incorrect|
|L||Incorrect Name Control|
|M||Incorrect posting of split payment|
|N||Incorrect posting of multiple payments|
When evaluating the transaction code...
|B||Receipt & Control|
|C||Code & Edit|
|D||ISRP (Data Conversion)|
|O||Unable to determine|
|R||ITIN (AUSPC only)|
|Z||Not included in sample|
|2||First Name Line|
|3||Second Name Line|
|10||Primary and Secondary SSN|
|17||Adjustments to Income|
|18||Adjusted Gross Income|
|21||Taxable Income (TXI)|
|24||Child Tax Credit|
|26||Backup Withholding Amount|
|28||Non-Taxable Income Amount|
|29||Additional Child Tax Credit|
|31||Direct Deposit Information|
|35||Taxpayer Notice Code|
|36||Computer Condition Code|
|39||Non Refundable Credit|
|40||Return Processable Date|
|41||IRS Received Date|
|42||Excluded from Sample|
|BB||Entered in Error|
|FF||Computed in Error|
|HH||Not Corresponded For|
|ZZ||Not Included in Sample|
|Professionalism WHO CODES|
|C||Code & Edit|
|D||ISRP (Data Conversion)|
|Professionalism WHAT CODES|
|2||First Name Line|
|3||Second Name Line|
|Professionalism WHY CODES|
|BB||Entered in Error|
EIF-ACCESS-INDICATOR Codes and Descriptions
|NAP-ACCESS-INDICATOR Codes and Descriptions|
|0 = EIF not accessed||0 = NAP not accessed|
|1 = EIF was inoperable||1 = NAP was inoperable|
|2 = Account does not reside on EIF||2 = TIN mismatch on invalid segment (no account)|
|3 = Name control mismatch on valid segment||3 = Name control mismatch on valid segment|
|4 = Address mismatch||4 = Address mismatch|
|5 = Marital filing status different||5 = Marital filing status different|
|6 = Name control mismatch on the Taxpayer Information File (TIF)||6 = Spouse TIN mismatch|
|7 = No account on the TIF||7 = 2nd name line is significant|
|8 = TIF not accessed or inoperable||8 = Name control mismatch on the invalid segment|
|0 = ERS bypass|
|S||Short entity (account present at Master File and a match was made)|
|P||Partial entity (mismatch on IMF Name Control on EIF)|
|I||Intermediate entity (account exists on Master File and only the address information is different)|
|L||Long entity (no account present on Master File or mismatch on name control at Master File or no match on DM-1 tape)|
|D||No tax module or entity exists on Master File, but TIN and Name Control match the DM-1 tape|
|N||Match made on TIN, but Name Control matched on other than current Name Control|
|F||Match made on TIN/Name Control, but filing status code on EIF Access Key is 2 or 7 and EIF/NAP filing status code is 2 or 7|
|0||No EFT (for non-ELF filers) or an ELF filer and the refund has been completed using EFT|
|1||EFT number failed input processing validity checks|
|2||EFT denied for this module|
|3||EFT denied because actual refund differs from taxpayer amount|
|4||EFT refused by financial institution|
|5||EFT denied because the credit is frozen by an account or module freeze|
|6||EFT refund after settlement cycle|
|9||EFT return not requesting a direct deposit|
|DIRECT DEPOSIT REJECT CODES|
|Blank||Direct Deposit not requested|
|10||Valid Direct Deposit|
|21||Missing Routing Transit Number (RTN)|
|22||Invalid RTN—non-numeric characters present|
|23||Invalid RTN—first two digits not in a valid range|
|24||Invalid RTN—RTN not on FOMF-RTN-FILE|
|25||Invalid RTN—failed internal RTN algorithm check|
|31||Missing depositor account number|
|32||Invalid depositor account number—non-alphanumeric characters present (other than hyphen)|
|33||Missing account number checksum (ELF returns only)|
|34||Invalid account number checksum (ELF returns only)-account number checksum contains non-numeric characters or less than three characters|
|35||Invalid account number checksum (ELF returns only)—account number checksum does not match account number when algorithm is applied|
|41||Prior year return|
|42||Centralized Authorization File (CAF) indicator switching refund recipient present|
|43||Computer Condition Code L present|
|44||The refund transcript situation exists as describe in (2)(h)2 on page 8–01 of PRP460, Example: Taxpayer has zero tax liability with over $10,000 in withholding. Direct Deposit is not allowed.|
|50||Direct Deposit rejected by bank|
The following Submission Processing notices will be included in the accuracy computation of the Notice Business Results Measure. No Spanish Notices will be reviewed.
|IMF CP Numbers|
|BMF CP Numbers|
|112||153 A - H||279|
|124||211 A - E||290|
|125||250 A - C||291|
|MONTH||CYCLE 23C DATE||CYCLE 23C DATE||CYCLE 23C DATE||CYCLE 23C DATE||CYCLE 23C DATE|
01/20/14Dead Cycle IMF and BMF
01/27/14 Dead Cycle IMF and BMF
02/03/14 Dead Cycle IMF Only
|Monthly Input Cut-Off Date||Current Month Cycles||Drop Dead Cycles|
|2) Receipt and Control|
|3) Code and Edit|
|4) ISRP (Data Conversion)|
|5) Error Correction|
|6) Suspense Rejects|
|7) Computer Program/Hardware* (not EIF, or SCRIPTS)|
|8) SCRIPS Operator|
|9) IRM/PRP/Forms Instructions*|
|10) RPS Processing|
|12) Notice Review|
|13) Accounting (except Accounts Management, Entity Control, Federal Tax Deposit (FTD) Processing)|
|14) ITIN (AUSPC only)|
|16) Entity Control|
|23) Area Office|
|24) Submission Processing Area Unknown*|
|25) EIF or NAP systemic problems|
|26) SCRIPS/ELF/MAG Tape*|
|27) Quality Review|
|28) Post Office|
|30) SC FTD Processing|
|31) Outside Processing (Lockbox, etc.)|
|34) Other Government Agency*|
|35) Other Accounts Management/Compliance/Campus SC Unknown*|
|41) Foreign Investment Real Property Tax Act (FIRPTA) (OSPC (Form 8288) or AUSPC (Form 1040NR) Only)|
|42) Windfall Profit Tax (WPT) (AUSPC Only)|
|45) Notice Review Released Not Reviewed|
|47) NABR - Postal Data Base|
*Comments are mandatory
Information/action missing that caused the notice to be wrong. (e.g., TPNC omitted, label, exemption, EITC). Something else was necessary to make the notice accurate.
Information/action is wrong on notice. (e.g., wrong TPNC, wrong notice generated, MFT, tax period, Estimated Tax (ES) payment). The notice was wrong based upon the action taken.
Unreadable (e.g., Name Line, money amounts caused ISRP to enter incorrectly, TIN, tax period). Incorrect action on the notice was due to the return/schedules/forms being illegible.
Something was not needed (e.g., spacing on notice, paragraph within the notice, redundancy).
Disclosure (e.g., notice going to wrong taxpayer, wrong business, wrong spouse).
|2) Dependent SSN|
|3) Name Control|
|4) First Name Line|
|5) Second Name Line/AIL (Additional Information Line)|
|7) Street Line|
|8) City/State/Zip Code|
|9) Complete Address Change (entire address)|
|10) CAF Name|
|11) CAF Address|
|12) Blocking Series|
|13) Received/Correspondence Date|
|14) Tax Period*|
|15) Return Processing Code(s) (RPC)*|
|16) Computer Condition Code(s) (CCC)*|
|17) Filing Status|
|18) Dependency Status Indicator|
|21) IRA/Pension (IRA - Individual Retirement Account)|
|22) Unemployment Compensation|
|23) Social Security Benefit|
|24) Other Income|
|25) Total Income|
|26) Adjustment to Income|
|27) Adjusted Gross Income (AGI)|
|28) Age/Blindness Indicator|
|29) Standard Deduction|
|31) Non-Taxable Income|
|32) Taxable Income (TXI)|
|33) Child Tax Credit|
|34) Non-Refundable Credit|
|35) Advance EIC|
|36) Federal Withholding|
|37) Estimated Tax Payment(s)|
|38) Estimated Tax Voucher|
|39) Extension to File|
|41) FICA (Federal Insurance Contribution Act)|
|42) Additional Child Tax Credit|
|43) Refundable Credit|
|44) Tax Amount|
|45) Overpaid amount|
|47) Direct Deposit Information|
|48) Credit Elect|
|49) Balance Due|
|55) Qualifying Dependent Code*|
|58) Backup Withholding|
|60) FTD Coupon|
|61) Record of Federal Tax Liability|
|62) Notice Suppression Indicator (BMF ONLY)|
|63) Schedule Indicator Code (SIC) (BMF ONLY)|
|64) Notice (Who Code 12 only)*|
|66) Standard Text (automated) (Who Code 7 only)|
|67) TPNC (input text)*|
|69) Hold/Voiding Notice (intercepting) (Who Code 12 only)|
|70) Tax Return**|
|71) Other (EXPOE Code or Comments mandatory)|
|72) Credit Reduction Amount|
|74) Special Processing Code*|
|75) Form W-7, Lines 4 - 6|
|76) ITIN Supporting Documents|
|1) DECD (deceased)||27) Form 1120C||53) Filing Requirements|
|2) Form 2106||28) Form 990PF||54) Credit Interest|
|3) Form 2210||29) Form 990T||55) Form 1065|
|4) Form 2220||30) Form 1041||56) Reserved|
|5) Form 2441||31) Form 1120||57) Preparer|
|6) Form 6251||32) Form 1120S||58) Form 943|
|7) Form 8615||33) Form 1128||59) Form 8752|
|8) Form 8814||34) Form 2290||60) Header Info.|
|9) Schedule A||35) Form 2553||61) RTN (routing transit number)|
|10) Schedule C||36) Form 6627||62) DAN (depositor account number)|
|11) Schedule D||37) Form 8716||63) Unnecessary Notice|
|12) Schedule E||38) Form 8832||64) Additional Child Tax Credit Worksheet|
|13) Schedule EIC||39) Form 8869||65) Stimulus Unnecessary Notice|
|14) Schedule F||40) Untimely||66) Form CT-1|
|15) Schedule SE||41) Stub||67) Education Credit Recaptured|
|16) CIV PEN (Civil Penalty)||42) Form Type||68) Form 4972|
|17) Form 11-C||43) Form Title||69) Form 8889|
|18) Form 706||44) Wrong Type of Notice (comments mandatory)||70) Check Digits (entity)|
|19) Form 709||45) Form 941SS||71) Form 944|
|20) Form 720||46) Estimated Tax Penalty||72) Rebate Recovery 2009|
|21) Form 721||47) FTD Penalty||73) Form 8863, Education Credit|
|22) Form 940||48) Failure to File Penalty (01)||74) Form 945|
|23) Form 990EZ||49) Failure to Pay Penalty (07)||75) Form 1042|
|24) Form 941||50) Dishonored Check||76) Schedule M|
|25) Form 941-PR||51) Interest (09)|
|26) Form 990||52) Earned Income|
|TYPE OF ERROR CODES|
|A) Accuracy Error|
|B) Professionalism Error|
The following situations are considered Professionalism errors for the Letter Error Rate, Notice Error Rate, and Refund Error Rate measures. Consider all other errors Accuracy errors, unless otherwise instructed.
|Codes||Description||Letter Error Rate||Notice Error Rate||Refund Error Rate|
|1P||Punctuation errors (e.g., misplaced or missing comma, period, quotation marks, sentence ends in A.M. or P.M. and a double period is shown, etc.)||X||X||X|
|2P||Extraneous Characters (e.g., "#" , ">" ) present that do not affect interpretability.||X||X||N/A|
|3P||Spacing errors (e.g., no space or more than one space between words, no blank line or too many blank lines between paragraphs,
large white spaces in letter body, misaligned dollar signs).
For the Letter Error Measure, do not charge an error for the 12C signature systemic spacing error.
|4P||Blocking errors (e.g., paragraphs or columns that don't line up properly).||X||X||N/A|
|5P||Date format. Charge a Professionalism error if date is not in one of the following acceptable formats:
Month, date, year (e.g., May 9, 2001), mm/dd/yy or mm/dd/yyyy. Letter Error coding -WHAT 102, WHERE 227 and comments are mandatory. Also, code a Professionalism error if the format is not consistent throughout the letter
CRX letters require no entries of slashes or dashes. If other than a CRX letter then one of the formats above should be used.
|6P||Incorrect telephone number format. Charge a Professionalism error if the telephone number is not in one of the following acceptable
(202) 283–0000, (202)283–0000, 202–283–2000.
|7P||Discrepancy in designations of "St." , "Rd." , "Ave. " , etc., (e.g., return shows "123 7th St.," notice/letter shows "123 7th Rd." ) if research indicates only one of the addresses exist. For the example above, if research indicates that only 7th St. or 7th Rd. exist in the taxpayer's city, code a Professionalism defect. If both addresses exist, code an Accuracy defect. If you have access to the Internet, you can access a Post Office ZIP Code look-up screen at http://zip4.usps.com/zip4/ . If you do not have access to the Internet, Post Office ZIP Code books can be used for research.||X||X||X|
|8P||Minor spelling errors in the street name (e.g., "Greene St." on the return, with "Green St." on notice/letter.) A garbled street name, such as "Gener St." , is an Accuracy defect.||X||X||X|
|9P||Minor spelling errors in city name, when the zip code is correct. (Examples of minor spelling errors: "Carmel" on the return, "Carmell" on the notice/letter; "Spring Vale" on the return, "Springvale" on the notice/letter.) Incorrect city abbreviations, when the zip code is correct. (Examples of incorrect abbreviations: "Fort Walton Beach" on the return, "Fort Walton Bea," on the notice/letter, "Brooklyn, NY" on the return, "Brlyn, NY" on the notice/letter.) Professionalism errors are limited to incorrect spelling. A copy of IRS Document 12019, IRS Addressing Standards, may be obtained by accessing the Media & Publications Intranet web site at http://publish.no.irs.gov/||X||X||X|
|10P||Mismatches due to shortened first names (e.g., Joe instead of Joseph).
If name was shortened following IRM guidelines to meet IRS space limitations, do not charge an error.
|11P||Capitalization errors (e.g., any incorrect use/non-use of capitalization, salutation all caps).||X||N/A||X|
|12P||Undefined Acronyms (other than IRS or IRC). Enter 12P in the comments section. However, if the Acronym was incorrectly defined (e.g., TIN - Taxpayer Identification Number was shown as Tax Identification Number), code an accuracy error.||X||X||N/A|
|13P||MISC-Includes Missing Time designations (e.g., AM/PM), incorrect signature code on letters, Time Zone not capitalized (e.g., CST), incorrect DLNs, minor grammatical errors (e.g., a/an, run on sentence - only if all issues were addressed). If all issues were not addressed/content misleading, code an Accuracy error. For the Letter Error Measure, include specific error information in the Comments section.||X||X||N/A|
|14P||Floating Paragraph — If all information was present, just in the wrong order code a Professionalism error. If an employee number is printed in the middle of the letter/notice without an explanation for what the number represented, code as a Professionalism error.||X||X||N/A|
|15P||Misspelled name line and incorrect middle initial. Exception: If the first four characters of the last name (primary or secondary) is incorrect, code as an accuracy error.||X||X||X|
Interchangeable city-suburban names will not be coded as Professionalism or Accuracy errors. If during the entity review, the city is different than what is shown on the return, but the zip code matches, review the Zip Code Directory to determine if the city is acceptable. The main Post Office could have a list of associated stations and branches. Determine if the city is listed under a main Post Office. If research of the specific PO Box or street address reflects the same zip code, no error will be coded. For example: Under the main Post Office of Cincinnati, Ohio, there is a list of associated stations and branches. These stations and branches are broken down into specific zip codes. A letter to a specified St. Bernard address (PO Box or street) uses either St. Bernard or Cincinnati with the zip code 45216 on the envelope. The letter can be correctly delivered. No error or Professionalism error should be charged.
Missing middle Initial will not be coded as an Accuracy or Professionalism error. If incorrect, code as a Professionalism error.
|2. Receipt and Control|
|3. Code and Edit|
|4. ISRP (Data Conversion)|
|5. Error Correction|
|6. Entity Control|
|9. EIF Systemic|
|10. Other Systemic|
|12. Tax Practitioner|
|13. Service Sites|
|15. Unable to Determine|
|16. FP (Full Paid changed to Refund Return)|
|17. QRDT (Questionable Refund Detection Team) (Criminal investigation Branch)|
|20. Notice Review|
|21. Field Office/Area Office|
|22. Multiple Functions could be Responsible|
|23. Other Campus Area|
|24. Other Service Center/Campus|
|25. Mail/Post Office|
|29. EFDS (Electronic Fraud Detection System)|
|1. Return||42. Missing Schedule Information|
|2. First Name Line||43. Estimated Tax Penalty|
|3. Second Name Line||44. 1st Quarter ES payments|
|4. Address Line||45. Previous Tax Year Credit|
|5. City||46. Return Processable Date|
|6. State||47. Alternative Minimum Tax|
|7. Zip Code||48. Other|
|8. Primary SSN||49. Payment|
|9. Secondary SSN||50. Entity|
|10. Primary and Secondary SSN||51. EIN|
|11. Filing Status||52. MFT|
|12. Exemptions||53. Tax Period|
|13. Dependent SSN||54. FYM (Fiscal Year Month)|
|14. Dependent Name||55. DLN|
|15. Taxable Wages||56. Action Code|
|16. Total Income||57. Transaction Code|
|17. Adj/Deductions to Income||58. Correspondence Received Date|
|18. Adjusted Gross Income||59. Mail Delivery|
|19. Standard Deductions||60. Routing|
|20. Itemized Deductions||61. Batching|
|21. Taxable Income (TXI)||62. Social Security/Wages/Tips|
|22. Tax Amount||63. Medicare Wages|
|23. Form 2441||64. Credit Reduction Amount|
|24. Child Tax Credit||65. Tentative FUTA (Federal Unemployment Tax Act) Credit|
|25. Federal Withholding||66. Fuel Claims|
|26. Backup Withholding Amount||67. State Death Tax Deduction|
|27. Advanced EIC||68. EFTPS (Electronic Federal Tax Payment System)|
|28. Non-Taxable Income Amount||69. Extension Payment|
|29. Additional Child Tax Credit||70. Reply to Correspondence|
|30. Refund Amount||71. FTD Penalty|
|31. Direct Deposit Information||72. Manual Refund|
|32. Credit Elect||73. Manual Tax Computation|
|33. Signature||74. Schedule/Form|
|34. Form(s) W-2||75. Dead Cycles|
|35. Estimated Tax Payments/FTD's||76. Credit Transfer|
|36. Taxpayer Notice Code||77. Case Closure|
|37. Computer Condition Code||78. Filing Requirements|
|38. Offset/Freeze||79. Cobra (Consolidated Omnibus Reconciliation Act) Payments (Form 941)|
|39. Received Date/Date Stamp||80. Amended Return|
|40. Remittance with Refund||81. IRS Number (Form 720)|
|41. Deceased Taxpayer Information|
|1. Omitted Action||26. Deleted in Error|
|2. Entered in Error||27. Incorrect Indication (of refund)|
|3. Entered Incorrectly||28. Missing|
|4. Misapplied||29. Unnecessary Correspondence|
|5. Computed in Error||30. Incorrect Form Edition|
|6. Computed Incorrectly||31. Untimely|
|7. Not Claimed||32. Excess Time to Post|
|8. Incomplete||33. Transshipped|
|9. Corresponded for||34. Received Late|
|10. Incorrect Action||35. Completed in Error|
|11. Entered Illegibly||36. Offset to Balance Due Module|
|12. Corresponded for (incorrectly)||37. Sent to the Wrong Processing Campus|
|13. Misapplied Payment||38. Received From Another Campus/ Field Office|
|14. Failure to Date Stamp||39. Other|
|15. Missort||40. Program Error|
|16. Overpayment||41. Unclear/Conflicting IRM instructions|
|17. RPD not Input||42. No IRM Procedure to Address Issue|
|18. RPD not Edited||43. Received Date Changed Due to Systemic Problems|
|19. Late Processed||44. Unable to Secure Return|
|20. Edited Out||45. Payment on Credit Not Verified|
|21. Not Transcribed||46. Payment Transferred from X-Ref Unnecessarily|
|22. Not Included in Sample||47. 3-CRD Not Edited|
|23. Multiple Entries||48. Changed|
|24. Illegible||49. Resequencing|
|25. Slipped Field (ISRP)|
IMF dead cycles 201401 through 201403. BMF 201401 through 201402.