3.10.72  Receiving, Extracting, and Sorting (Cont. 1)

3.10.72.5 
Extraction of Envelope Contents

3.10.72.5.13  (01-01-2012)
Extracting and Routing — Form 3115, Application for Change in Accounting Method

  1. If the Form 3115 is attached to a return, do not detach. Route the return for processing.

  2. When received "loose" , this form is not to be processed, nor payment deposited. Keep the envelope and staple to the back of the Form, prior to routing to the correct address/Mail Stop, as identified below.

  3. If a remit is attached to the Form 3115, leave it attached to the Form. It is not to be deposited by the Campus.

  4. OSPC Only - If the envelope is addressed to "Ogden, UT 84404 Mail Stop 4917" , then follow the instructions in this table. If the envelope does not have the specific Mail Stop number or "OTSA" unit indicated, then follow the procedures in (5) below.

    If the Envelope is Addressed to: And Remit is Attached: And No Remit is Attached:
    IRS
    Mail Stop 4917 (or OTSA)
    Ogden, UT 84404
    Internal Revenue Service
    Attn: CC:PA:LPD:DRU
    Room 5336
    1111 Constitution Ave., NW
    Washington, DC 20224
    Office of Tax Shelter Analysis
    Mail Stop 4917

  5. Use the following chart to determine where to mail the Form 3115 (and payment, if attached). Look at the check boxes for "type of applicant" , located below the Entity section to determine the type.

    If the Type of Applicant box is checked for: And Remit is Attached: And No Remit is Attached:
    Exempt Organization Internal Revenue Service
    Tax Exempt/Government Entities
    550 Main St. RM 4024
    Cincinnati, OH 45201
    Internal Revenue Service
    Tax Exempt/Government Entities
    550 Main St. RM 4024
    Cincinnati, OH 45201
    Other than Exempt Organization Internal Revenue Service
    Attn: CC:PA:LPD:DRU
    Room 5336
    1111 Constitution Ave., NW
    Washington, DC 20224
    Internal Revenue Service
    Attn: CC:ITA
    Room 4516
    1111 Constitution Ave., NW
    Washington, DC 20224

    Note:

    The addresses shown above may differ from the ones listed in the Form 3115 Instructions, but use the ones listed above.

3.10.72.5.14  (01-01-2014)
Extracting and Routing — Form 14039, Identity Theft Affidavit

  1. If the Form 14039 is received "loose" and it is the December 2012 revision, route by looking at the boxes the taxpayer completed:

    If: Then:
    Section A, Box 1 is checked Look for an attached notice or clue about which function could have requested it and route to that function, otherwise:
    • route to ICT/CIS

    • leave any Form 2848 or Durable POA attached

    • securely attach all documentation to the Form.

    Section A, Box 2 is checked Route to Andover, Stop 360

    Note:

    If the March 2010 revision of Form 14039 is received, then route to ICT/CIS if the first box is checked (with no correspondence attached from another function); if the second or third box is check and no indication of any IRS correspondence to the taxpayer, route to Andover.

  2. If the Form 14039 is "loose" (e.g., no IRS correspondence or Form attached), review the envelope to determine if it is addressed to any function, stop number, or an employee’s name. If so, use your local Mail Routing Guide to determine correct routing, Outlook or Discovery Directory to determine where the employee works, etc.

  3. If the Form 14039 is attached to Form 8822, Address Change, route to Accounts Management (CIS/ICT), unless addressed to another function.

  4. If the Form 14039 is attached to a Form 4506/Form 4506-T/Form 4506-T-EZ, Request for a Copy of their Tax Return (or Transcript), route to ICT/CIS, unless addressed to another function other than RAIVS. Do not route to RAIVS.

  5. Taxpayers are instructed to attach the Form 14039 to their tax return. If you notice a Form 14039 or any reference to ID theft attached to the return, sort Remit Full Paid returns separately. These returns will be batched and routed to Code and Edit for processing, instead of the normal Full Paid shelving since we need to immediately acknowledge the receipt of the Form 14039.

3.10.72.6  (01-01-2012)
IRS Received Date

  1. This section contains procedures on IRS received date stamping and postmark date stamping, when required.

3.10.72.6.1  (01-01-2013)
Received Date Stamp

  1. The date a document is received in the Campus or an IRS office that can accept tax returns is the date stamped as the "IRS Received Date" . All mail received from 12:00 a.m. to 11:59 p.m., seven days a week, including Saturdays, Sundays, and legal holidays is date stamped with the actual date received. Refer to IRM 3.10.72.6.2 for the only foreign offices that can accept tax returns. Most domestic Area Offices with a Taxpayer Assistance function (TAC) can accept tax returns.

    1. Any mail accepted at campuses on Saturdays, Sundays and legal holidays, is tagged with the date it is accepted by the Campus. The mail does not necessarily need to be processed on the day received, but when processed, it must be stamped with the actual date received. When mail is received in the Campus after the daily processing "cut-off " , the mail must be tagged so it can be stamped with the actual date it was received.

    2. Lockbox will date stamp their own documents with an official received date stamp. If a received date is required for the documents, but does not have one, you must use your IRS received date stamp and stamp them with the same date used on the other documents in the tray/box received from the Lockbox. Lockbox will not review for unsigned returns. Use your special date stamp, if unsigned.

      Note:

      If a received date is not required (e.g., timely filed Form 941 or Form 1040 series), do not date stamp.

  2. An "Official Received Date Stamp" shall consist of no less than:

    1. The word "Received"

    2. "Month-alpha" or "numeric" characters

    3. "Day" - (For example, can be "1" or "01" )

    4. "Year" -Four digits

    5. "Area Office (A.O.)" , Campus, "Field Office" , "Taxpayer Assistance (TAC)" Site plus the City location, or

    6. A functional area within one of these sites (e.g., CSCO, Exam, ICT, CIS, AM, etc.)

      Exception:

      Not all IRS offices are designated places for filing, and not all IRS employees are authorized to accept a tax return for processing. If a return contains a received date stamp from an office that is not a proper place for filing, that date stamp is not the "IRS Received Date" , and you must stamp it with your official"IRS Received Date" rubber stamp, as if no date stamp is present. For example, returns received by Taxpayer Advocate Service (TAS) or the IRS Office of Chief Counsel are not properly filed and a received date (or fax date stamped on the return) by that office is not the official "IRS Received Date" .

      Note:

      Date stamps should be tested at the start of each shift to ensure they reflect the current date. You can "test" it on your Identifying Tag that you place in your "Initial Candling" bag, if you are extracting. See Figure 3.10.72-5 showing the elements required in a received date stamp. Element "e" shown below in Figure 3.10.72-5 is the Serial Number. This element is not required to be considered an official received date, but is generally used by Campuses to identify the Extractor assigned that date stamper.

    Figure 3.10.72-5

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    Elements of an Official IRS Received Date Stamp

  3. An acceptable "IRS Received Date" stamp shall only be stamped on the face (page one) of the document in an area that does not cover taxpayer information.

  4. If you stamped the incorrect received date and you can edit legibly, you do not have to "X" the entire stamp. See a legible entry in Figure 3.10.72-6 to correct the stamped date.

    Figure 3.10.72-6

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    How to Edit a Transposed or Incorrect Date Stamp

  5. If you stamp an incorrect or illegible received date on a return and you are unable to edit it legibly, "X" it and re-stamp with the correct received date. This is the only time that Extraction will "X" a received date. See Figure 3.10.72-7 .

    Figure 3.10.72-7
    This image is too large to be displayed in the current screen. Please click the link to view the image.

    How to Delete a Transposed or Incorrect Date Stamp

  6. Refer to IRM 3.10.72.5.7 for returns, forms, and documents that always require a received date and attached envelope.

  7. If IRS received date stamps or any other type of sensitive rubber stamps need to be destroyed, refer to the instructions in IRM 3.10.72.1.2.1.

  8. If you refer a Timely Filed return to the "Funny Box" that does not require a received date stamp and it is taken out of the pipeline, edit the Julian Date (for the day the return was actually received) in the upper left corner of the return. This enables Batching to input the correct Julian Date if the return comes back to be processed.

3.10.72.6.2  (01-01-2012)
Received Date Stamping Requirements

  1. Occasionally, a return due date falls on a Saturday, Sunday or legal holiday. In this case, the return due date is considered to be the next business day. However, this does not extend the grace period. It is always calculated from the legal due date.

  2. Honor the original IRS received date if a transshipped return has a received date present (including IMF and BMF International returns from other campuses or IRS offices). For example, Austin (AUSPC) and Ogden (OSPC) Submission Processing Campus do not have to stamp transshipped International returns with the date the return was actually received in AUSPC or OSPC.

  3. Refer to the following IRM Exhibits to determine date stamping requirements for the various document types:

    1. Exhibit 3.10.72-6 – Sorting Individual returns and Documents (AUSPC, FSPC and KCSPC)

    2. Exhibit 3.10.72-7 – Sorting Business returns and Documents (CSPC and OSPC)

    3. Exhibit 3.10.72-8 – Sorting Non-Master File returns and Documents (CSPC)

  4. All Tax Returns and Extensions mailed from a foreign country are timely if the foreign postmark is on or before the prescribed due date. If mailed by a designated PDS (generally DHL), the date accepted by the carrier is the postmark date. If foreign returns are received at a campus other than Austin (for IMF) or Ogden/Cincinnati (for BMF), date stamp them prior to transshipping.

  5. There are only four foreign posts that are acceptable IRS Received Dates. If you have an IRS received date stamp from London, Paris, Beijing, or Frankfort, accept the date as the official IRS received date.

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  7. If an area has a designated "P.O. Box" and wants to pick up their mail, it should always be date stamped with the official IRS received date before it leaves Receipt and Control. Date stamp correspondence and any attached return(s). In addition, all returns, forms, and correspondence should be date stamped in Extraction before it gets to Second Sort or Batching.

  8. The "general rule" is: If you date stamp, you attach the envelope. If in doubt, always date stamp. Refer to IRM 3.10.72.5.7.

3.10.72.6.2.1  (01-03-2012)
Processing Cycle/Due Date

  1. Refer to IRM 3.30.123, Processing Timeliness: Cycles, Criteria and Critical Dates for due dates of returns.

  2. When the due date of the return falls on a Saturday, Sunday or legal holiday, the return is considered timely if postmarked by the first business day after that date - IRC 7503. Refer to IRM 3.30.123 for information regarding state or District of Columbia holidays, in addition to Federal holidays and Emancipation Day.

  3. When a return is received after the grace period, the USPS postmark date or Foreign postmark date, or the date the package was dropped off to a designated Private Delivery Service (PDS) determines timely filing. The Extractor must either attach the envelope showing the postmark date, or the label from the PDS envelope/package.

    • When multiple returns are in one package, you must use a Dual Date stamp, or a single postmark date and received date on all subsequent documents following the first one. The first one is stamped with the received date and the envelope is attached.

    • If there is a single return in one envelope, stamp the received date and attach the envelope to the back with the postmark facing outward.

      Note:

      If the envelope was mailed USPS "Certified" and the postmark date is missing, go to ID theft to verify "Acceptance" and "Date & Time" . Print and attach to the back of the document. If it was mailed by a designated Private Delivery Service and the label is missing, use the chart in IRM 3.10.72.6.2.4(3) to estimate the date mailed.

3.10.72.6.2.2  (01-01-2014)
"Postmark Date" and "Received Date"

  1. This section contains procedures for determining the postmark date on mail received from a designated Private Delivery Service (PDS) or the United States Postal Service (USPS), including Private Metered mail delivered by the USPS.

  2. The postmark date is used to determine timely mailing/timely filing. It is important that the extractor keep the envelope attached to a form or document when the postmark date is required.

  3. IRC 7502 provides what is commonly called the "timely mailing-timely filing" rule. For example, an individual income tax return would be considered timely filed even if received after the April 15th statutory due date as long as the return was delivered to the United States Postal Service or a designated Private Delivery Service (PDS) in an envelope with the correct postage and properly addressed envelope on or before the April 15th due date.

    Note:

    Rev. Rul. 2002-23 added the "timely mailed/timely filed" rule under IRC 7502 to include Foreign Postmarks. Most foreign returns for people living outside of the United States or military personnel with an APO/FPO address have an additional 60 days to file their return. This ruling allows them the extra 60 days from the original due date to postmark their return or extension to be considered timely filed. The extension date is the same for foreign and domestic returns, based on the type of return (Form).

    Exception:

    Any "non USPS" metered mail that has a date inconsistent with the normal delivery timeframe should not be used. Examples are "Click and Ship" , Pitney-Bowes stamps, and Private Metered, etc. An example of an inconsistent "Postmark" date would be April 15, 2014 and delivered on May 15, 2014. If the "normal" delivery time appears to be 7 days for USPS First Class mail, then do not consider the "self made Postmark" as a valid date to determine timely mailing.

  4. Use the following rules to determine the postmark date for mail delivered by the United States Postal Service (USPS), Private Metered (USPS), and designated Private Delivery Services (PDS).

    1. If a container/envelope has both a USPS postmark and a private metered postmark, always use the USPS postmark

    2. If a container/envelope has only a private metered postmark, use it as the postmark date.

  5. If the container/envelope is from a designated Private Delivery Services (PDSs) outlined in IRM 3.10.72.2.4.3, use the date on the "drop-off" date shown on the label (if provided) as the postmark, or use the rules for type of delivery service shown in IRM 3.10.72.6.2.4 (e.g., Next Day, Overnight, etc.)

  6. If the tax return, payment, or extension is mailed USPS "Certified" and the postmark date is missing, you must find the postmark date via https://tools.usps.com/go/TrackConfirmAction using the digits underneath the bar code on the green label. The "Acceptance" and "Date & Time" is the postmark date. Give the envelope to a designated person with internet access to perform this action. They should print the page from the USPS website and the Extractor will attach it to the back of the document, in front of the envelope. Follow normal dual date stamping procedures, if multiple documents are enclosed in one envelope using the "Acceptance" date as the postmark date.

  7. If there are multiple documents, Receipt and Control must stamp the received date on the first document and attach the envelope to the oldest tax period return, then stamp both the postmark date and received date on all subsequent documents contained in the envelope (or use a Dual Date stamp). If using single stamps, stamp the postmark date in the left margin and received date on the face (page one) of the document in an area that does not cover taxpayer information on all subsequent documents. This instruction is for USPS First Class mail (not Certified) and for non-designated Private Delivery Service mail. See IRM 3.10.72.6.2.4 below.

    • If the postmark is illegible, leave the postmark date portion blank, or "blank it out" .

    • If the postmark is missing (i.e., only a bar code is sprayed by the USPS on the envelope, instead of a stamped postmark), edit "Missing" in place of the date portion of Postmark.

    • If the postmark is "incorrect/inconsistent" , edit "Incorrect" in place of the date portion of Postmark.

3.10.72.6.2.3  (01-01-2012)
What is a Designated Private Delivery Service (PDS)?

  1. A Private Delivery Service (PDS) is simply a business that delivers customers' documents and packages within an agreed upon delivery schedule, such as "Overnight" , "Same Day" Service, etc. The United States Postal Service, as well as DHL, Fed Ex, and UPS are recognized by IRS as Private Delivery Services (PDS's).

  2. Rev. Proc. 97-19 provides the criteria used to determine whether a PDS qualifies as a designated PDS under IRC 7502(f).

  3. Notice 2004-83 provides the current list of designated PDSs and types of services that are recognized.

  4. If the type of service is not specifically shown in this notice, it is a non-designated PDS (e.g., UPS Ground, a commonly used service, is a non-designated PDS). The postmark date is never an issue with a non-designated Private Delivery Service because their Postmark/Drop-off Date is not recognized under IRC 7502, which is the "timely mailed/timely filed" rule.

    Note:

    DHL generally only delivers International mail within the U.S. The International service is a designated service and the Postmark/Drop-off Date should be considered under the timely mailing/timely filing rule.

3.10.72.6.2.4  (01-01-2013)
Determining Postmark Date

  1. For USPS mail, the postmark is generally easy to read and locate. However, if the postmark date is illegible or missing , or incorrect, the taxpayer must prove the postmark date; we will only stamp the received date. When the postmark date is illegible or missing or incorrect, do the following:

    1. If the postmark date is illegible, and you need a postmark date for dual date stamping, leave the postmark date portion of the stamp blank, or "blank out" the date portion of the postmark date stamp (depending on the type of stamps your campus uses).

    2. If the postmark date is missing (i.e., the USPS sprayed a bar code on the envelope in lieu of giving it a Postmark stamp), edit "MISSING" in the date portion of the postmark date portion of the stamp.

    3. If the postmark date is incorrect/inconsistent, edit "INCORRECT" in the date portion of the postmark date portion of the stamp.

    Exception:

    If USPS "Certified" , use the digits below the bar code on the green label to find the "Acceptance" and "Date & Time" . Give the envelope to a designated person with internet access to determine the "postmark date" using https://tools.usps.com/go/TrackConfirmAction. Print the page and attach it to the back of the document, in front of the envelope.

    Note:

    See IRM 3.10.72.6.2.2 for Dual Date stamping requirements.

  2. For PDS mail, the postmark is sometimes visible on the shipping label because it gives the "drop-off" dates and expected delivery date. If illegible or missing, then use the chart below to determine the approximate postmark date since the type of service provides us an estimate of the "drop off" date. This calculation is based on the estimated delivery schedule of the carrier and IRS Receipt and Control Mail Room operations tour of duty for accepting deliveries.

  3. Business days are Monday through Friday. Do not consider Saturday a pick-up or drop-off day. Be aware of any Holidays during the time you are subtracting business days to determine a postmark date.

    If the Carrier is: And Type of Service is: Then Postmark Date is:
    USPS First Class (Correct Postage Stamp(s) or weighted and metered by the USPS) Stamped postmark date (or earliest one, if multiple Postmarks are present)
    USPS Private Metered Private Meter Date
    (If consistent with normal delivery timeframe)
    USPS First Class If illegible, leave (or make) the date portion of the postmark date blank.
    USPS First Class If BLANK or only a bar code is sprayed on the envelope by the USPS in lieu of stamping a Postmark – Edit "Missing" for the date portion of the postmark date stamp
    USPS Certified/Registered Mail Stamped postmark date (or earliest one, if multiple postmarks are present)

    Note:

    If missing, use internet (www.usps.com) to find "Acceptance" date.

    USPS Express Mail Subtract 1 business day from the received date.
    USPS Priority Mail Subtract 3 business days from the received date.
    DHL Express Subtract 3 business days from the received date.
    FedEx Priority Overnight Subtract 1 business day from the received date.

    Note:

    For Alaska and Hawaii, subtract 2 business days.

    FedEx Standard Overnight Subtract 2 business days from the received date.

    Note:

    For Alaska and Hawaii, subtract 3 business days.

    FedEx 2 Day Subtract 3 business days from the received date.

    Note:

    For Alaska and Hawaii, subtract 4 business days.

    FedEx International Priority Subtract 3 business days from the received date.
    FedEx International First Subtract 2 business days from the received date.
    UPS Next Day Air Subtract 1 business day from the received date.
    UPS Next Day Air Saver Subtract 1 business day from the received date.
    UPS 2nd Day Air A.M. Subtract 2 business days from the received date.
    UPS 2nd Day Air Subtract 3 business days from the received date.
    UPS Worldwide Express Subtract 3 business days from the received date.
    UPS Worldwide Express Plus Subtract 3 business days from the received date.

  4. The number of business days to subtract is an estimate based on the carrier's predicted delivery time frames shown on their websites. For example, if the domestic package is guaranteed by 4:30 p.m., an additional day was added since this would actually be received after normal business hours at a Campus Receipt and Control operation. No delivery time is fully guaranteed, nor is consideration taken for time zone changes for International packages. If the suggested number of business days subtracted from the received date will make it late by only 1-2 days, or the package is mixed with other packages received earlier than the current date (i.e., peak time when we cannot open all receipts on the day received), then allow the extra day(s) to make it timely.

3.10.72.6.2.5  (01-01-2014)
Documents Received From Other IRS Sites via Form 3210

  1. Documents received or secured by other official IRS facilities (i.e., Area Offices or other Campuses) and mailed with a Form 3210, Document Transmittal should have been date stamped appropriately. Taxpayer Assistance (TAC) do not date stamp the following returns if timely received and "no remit" :

    • Calendar year Form 1040, Form 1040A, and Form 1040EZ

    • Form 940, Form 941, and Form 943

    Note:

    If you have the Form 3210 from the TAC site (not Taxpayer Advocate (TAS)) for one of the above forms and it is received in the Campus with no remit after the grace period, do not stamp them. They will erroneously post as late filed. If the return was received in the TAC site with Remit, they will always stamp it "Received with Remittance" . If you notice that a TAC site is not following the instructions for properly completing the Form 3210 or not following PII guidelines for shipping, you can write a note on their Form 3210 when you acknowledge it. The returns received from a TAC office or Campus Support site that are stamped either "Received with Remittance" or there is a Green rocker under the balance due line should be routed to Batching, unless remits are mixed in for the Teller Unit. If remits enclosed, route to the Teller Unit. Leave the Form(s) 3210 attached to the bundles of work. Follow local procedure to either have the entire box routed to the Teller unit to sort, or sort the ones with remit and route the remaining with the Form 3210 to Batching. The Form 3210 should have the designation for Batching as either a "remit" or "non-remit" . Batching will determine from the language on the Form 3210, or marks on the return whether to check the "RRPS" box on BBTS.

  2. During peak times, some TAC Offices may route unopened Private Delivery Service (PDS) packages to the campus in a box with a Form 3210 , since the Private Delivery Services cannot deliver to a "P.O. Box" . The envelopes are usually addressed to a Lockbox P.O. Box, but can be addressed to any IRS P.O. Box address. The enclosed Form 3210 will either have the Tracking Numbers listed on it, or a listing of the Tracking Numbers will be attached. Leave the Form 3210 in the package and route the box to the designated area (e.g., Teller Unit, Field Office, etc.) to extract the envelopes, post the payments, and acknowledge the Form 3210.

  3. Campus Support sites and Field Offices (TAC sites) will process most payments through RS-PCC (Remittance Strategy for Payment Check Conversion). When the TAC site processes the check, they will stamp the return "Received with Remit" if Full Paid; if Part Paid, they will edit an amount beside the stamp. Campus Support will edit a "green rocker" under the Balance Due line for Full Paid and edit an amount in green if Part Paid. If the site cannot process a check through RS-PCC, they will continue to send these to the campus via Form 795 and Form 3210 addressed to the Teller Unit. The TAC sites and Campus Support will sort the shipment as "Remits" , "RS-PCC" , "Non-Remits" , and "CORR" (for Correspondence to be routed). All of these forms will be mailed daily overnight traceable mail. They can be mailed in two ways:

    1. A single shipment addressed to the Teller Unit Stop # - Teller Unit will take out their designated envelope with the "Remits" (returns and checks to be processed along with Form 795 and Form 3210) and leave the remaining contents for Second Sort, then Batching. The "non-remit" Form 3210 should remain with the separate document types so that Batching will know which are "RS-PCC" and which are "Non-Remits" . "CORR" will be routed by Second Sort to the correct functional area. For "RS-PCC" documents, always check the "RPS Indicator" on BBTS.

    2. Site will mail two separate envelopes, one to the Teller Unit Stop Number and another envelope addressed to the designated "non-Remit" Stop Number with the "RS-PCC" , "Non-Remit" documents, and "CORR" sorted separately.

      Note:

      Do not put this mail into Extraction. It should be routed directly to Batching. Leave the Form 3210 attached. The Form 3210 for the "RS-PCC" and "Non-Remit" and "CORR" documents are to follow the timeframe for "non-remit" acknowledgement and retention, but they can be signed and filed in another area. Refer to IRM 3.13.62.7.2, Media Transport and Control.

  4. TAC sites date stamp all Extension Form 4868 and Form 7004 upon receipt, but if not stamped and the Release Date on the Form 3210 indicates the forms were received on or before the Due Date, consider them timely.

  5. When documents are transshipped to a site for processing, verify the receipt of the document(s) in the package against the Form 3210, sign and date it, mail the copy back, and keep a copy for your files. This task can be performed in a centralized area. See IRM 3.13.62.7 for information regarding Form 3210. Notice the exception in (2) above.

    Note:

    If a package is received with a Form 3210, but it is addressed to a specific individual or function, route the package along with the Form 3210 to the recipient. They will acknowledge receipt of the package by signing the Form 3210 and returning the copy. Receipt and Control generally only signs Form for packages mailed "IRS to IRS" that include documents or returns that will be processed.

  6. Any IMF return received from a Field Office, Campus Support, a BMF site (or a BMF site transfer a IMF return processed by their Lockbox) will have to be reviewed for a signature prior to batching. If the signature is missing and it was a remit document, a "R" must be edited on the return prior to mailing it back to the filer.

  7. If you receive a package of returns with Form 3185, Transfer of Return, attached, do not sign the Acknowledgement at the bottom of the Form. Route the entire contents to the area listed in the "To" box.

  8. Fresno Only - When IMF returns have "IVO" or "Copy of Original Return" edited/circled in the top margin and are transshipped from Ogden and Memphis, ensure that they have been date stamped, then route to Batching for processing. The Form 3210 should identify as "CY IVO" and "PY IVO" and should remain attached to the returns for Batching. They will acknowledge the Form 3210.

    Note:

    When the taxpayer mails returns to P.O. Box 24012, then route to IVO, Stop M2004. In addition, when a TAC Office mails to Fresno, they should address the Form 3210 to IVO function and edit "IVO" in the top margin of the returns. Route to IVO, Stop M2004.

  9. Be sure to report time on Form 3081 (time sheet) and volume of Form 3210 (drop a UPC card) using the designated OFP code 31-800-53020.

  10. Refer to IRM 3.10.72.11, Transshipment Guidelines.

3.10.72.7  (01-01-2014)
Sorting With-Remittance Returns/Documents General

  1. All returns received in the Campus with a remittance must be sorted, batched, blocked, and identified as "With Remittance" . All Lockbox Remittance and "RS-PCC" ("Received with Remit" or "Green Rocker" or green edited amount) returns received in the Campus must be sorted, batched, blocked and identified as "With Remittance (W/R)" if the transmittal indicates they had Remit. IMF Returns must also be reviewed for signature and edit "R" or stamp "$" on them if unsigned, prior to Batching. Lockbox, Campus Support, and Field Assistance (TAC) offices can also receive returns without Remit.

  2. Ensure that the With-Remit sort integrity is maintained with proper batching and blocking. IMF Returns received with a remittance and annotated with one of the following literals are to be processed as Amended returns and routed to Payment Perfection.

    • Amended

    • Copy

    • Corrected

    • Duplicate

    • Revised

    • Substitute

    • Supersedes

    • Tentative

  3. Specific BMF Returns received with a remittance and annotated with one of the literals shown below are to be processed as Amended returns and routed to Payment Perfection. In addition, all BMF amended returns ending with a "X" (e.g., Form 1120X, Form 941-X, etc.) are also routed to Payment Perfection, then Accounts Management (or Compliance) for processing. Only the following forms with the specific "amended literals" are considered "Amended" : Form CT-1, Form 706, Form 709, Form 940 series, Form 941 series, Form 943 series, Form 944 series, Form 945 series, Form 1042, and Form 1120 series with one of the following notations.

    • "Amended" ,

    • "Revised" , or

    • "Corrected"

  4. Full-Paid category only pertains to current year timely-filed IMF returns.

  5. Double check non-remit Form 706 and Form 709 for presence of a remittance, in addition to all Balance Due (original and Amended) returns/notices before forwarding to Batching Unit. It is important to extract all remits up-front to ensure we deposit all receipts daily into the Treasury.

  6. Sort any Remit for $1 million or greater and route separately to Deposit. Follow local procedure to ensure any Refund of $1 million or greater is batched on same day as received.

3.10.72.7.1  (01-01-2013)
Perfect Remits for RPS or Transport

  1. "Perfects" are defined as checks or documents that require no additional perfection or correction for processing. The perfect sort is intended to maximize the volume of data processed directly through the RPS function. Identify and sort perfect "with-remittance" items and route them directly to RPS.

    Note:

    Payments received with unsigned IMF returns will post as a TC 670, instead of a TC 610. Follow local procedure for identifying these checks for ISRP.

  2. "Perfect" will have one remittance with a Return or Source Document attached (or a "loose" check) that contains all of the items listed below:

    1. Legible taxpayer name (either handwritten or typed) with no entity changes and numeric amount, and

    2. No annotations on Check or Source Document (e.g., "Amended" , "Duplicate" , "Copy" , "Deceased" , "Estate" , "Substitute" , "Revised" , etc.), and

    3. Primary TIN (9 digits with no hand-written changes) on remit matches the source document, and

    4. One or more Tax Period(s) indicated on Source Document or Check, with no taxpayer intent. Refer to (6) below for the exception.

      Exception:

      ACS payments or any indication of a "levy payment" on a check is never a perfect payment. Always route to PPU.

  3. If a "check with stub" is received with a Form/Return, place it behind the Form/Return and route to Pre-Batch.

  4. If the payment is for a Form 5330 or Form 5558, it is only perfect if it includes all of the items listed in (2) plus the Plan Number. Otherwise, route to PPU.

  5. If the payment is for a Form 8038-T , it is only perfect if it includes all of the items listed in (2) plus the Report Number. Otherwise, route to PPU.

  6. If there are multiple checks and multiple source documents included in a package, try to match them up and make them "perfect" . For any that cannot be made "perfect" , route to PPU. If in doubt, route to PPU.

  7. If there are multiple tax periods shown and the taxpayer has designated amounts to be posted to specific periods, route to PPU. (e.g., taxpayer writes a check for $100 and states, "apply $50 to 2011 and $50 to 2012" .) You must follow the taxpayer's intent when they specify how to post the remit. However, multiple tax periods listed on a notice and one check attached does not indicate "intent" to post to a specific tax period.

  8. When signed returns have a "R" or "$" edited or stamped in the upper left corner, sort as a "remit" document. Date stamp, if received after the grace period.

3.10.72.7.2  (01-01-2012)
Imperfect Remits for Payment Perfection Unit (PPU)

  1. An imperfect remittance return or document is one that does not meet one or more of the criteria in IRM 3.10.72.7.1, Perfect Remits for RPS or Transport.

  2. Route all imperfect returns and documents to Payment Perfection Unit (PPU).

  3. When sending remittance associated with documents to Payment Perfection, avoid attaching to the right side, near dollar information.

  4. If the payment stub or voucher has an address change notated, it will be routed to Entity after the payment has been processed.

    Note:

    This includes all payment stubs that would normally be transhipped to a Campus Support site. This does not mean any payment with correspondence that someone would have to review. This means payment stubs from a Dual stub notice and there is nothing but a stub (with an address change) and a remit. Campus Support sites do not have a Entity unit.

3.10.72.7.3  (01-01-2014)
Notices

  1. Non-Remit Balance Due Notices are routed according to the Routing Guide in Exhibit 3.10.72-3 (CP Notices) and Exhibit 3.10.72-2 (C Letters) and your local Maildex, or by the CFN in Exhibit 3.10.72-5. Leave returns attached to the back of the Notice or "C" letter.

    Note:

    Some notices have a bar code located in either the upper right corner (above the Notice data) or directly above the title "Contact Information" on the stub portion. Do not date stamp over the bar code. This prevents other functions from scanning information embedded in the bar code.

    Exception:

    If a CP 11 or CP 12 or CP 2057, Form 8009-A or any "C" Letter (other than Letter 12C), is attached to a Form 1040X, move the Form 1040X to the top and route to the 1040X Unit. Route to Rejects when a Letter 12C is attached to Form 1040X. If a Form 944 is attached to a Letter 4148C, attach the letter to the back of the return and continue processing the return. If there is correspondence attached to the letter that requires a response by Accounts Management, route the package to Accounts Management. Make sure you date stamp the notice and return if routing to another function outside of Submission Processing.

  2. With Remit Balance Due notices should be processed using the following procedures:

    1. All remittances shall be associated with the proper notices.

    2. Destroy the top part to perfect notices.

    3. Scannable notices shall be sorted by placing the notice on top of the check. See Figure 3.10.72-8 for examples of scannable notices.

    4. Remove all staples from Notices and Checks to prevent any damage to the Transport equipment.

    Note:

    For additional information regarding remits, see IRM 3.10.72.5.5 and IRM 3.10.72.7.

  3. If a letter or notice or Form is to be routed to "Accounts Management" , as indicated in the routing guide Exhibits in the back of this IRM, they should be scanned by the local ICT function in the site where received. The scanned document is electronically routed to the proper site for processing. Do not transship, unless specific instructions indicate a site and Mail Stop.

    Note:

    If any response to a CP 50X notice is received with a request for an adjustment or abatement of penalty, route to the local ICT/CIS for Accounts Management. Route to CSCO only when there is a clear indication or request for installments, or Form 9465, Form 433 series, or Form 2159 is attached.

  4. If a Form 14039, Identity Theft Affidavit, is attached to a notice/letter (front or back), leave it attached. "Expedite" the package to the originating function (where you would normally route the notice).

    Note:

    If the Form 14039 is received "loose" or you receive correspondence referencing "ID theft" , "stolen identity" , "victim of identity theft" , etc., date stamp and "expedite" to Accounts Management (CIS/ICT), unless a Stop Number/Function/Employee Name is shown in the Address line on the envelope. In that case, determine proper routing so form can be associated with controlling case file.

    Figure 3.10.72-8
    This image is too large to be displayed in the current screen. Please click the link to view the image.

    Scannable vs. Non-Scannable Voucher

3.10.72.8  (03-11-2013)
Major (Primary) Form Sort – Individual Master File (IMF)

  1. Refer to Exhibit 3.10.72-6 for IMF Sorting Instructions.

  2. See IRM 3.10.72.12 for routing of Form 1040 series, Form 1040X, and Extension forms. The charts contain specific notations that can be edited on a Form 1040 series return, as well as Forms or loose Schedule H (Form 1040) and proper routing instructions.

  3. If you receive 3 or more Form 1040 series returns with foreign addresses from the same filer, date stamp (including Form 3520) and keep together as a package. If remit attached, send the group of returns to Deposit, then transship to Stop 6063 AUSC. There may be some indication of "Non Resident/Non Filer" or "Streamline" program. Returns were due September 1, 2012, but there is no end date to the program.

    Note:

    AUSPC Only - Keep returns together. If any are "Statute Imminent" , send the entire group to Statute unit with a Buck Slip (or note) that these are part of the "Non Resident/Non Filer" or "Streamline" program and require Expedite processing. If remit attached, route to Deposit; if Foreign remit, route to Manual Deposit.

  4. If any Form 1040 series return appears to be frivolous or possibly fraudulent, route to the "funny box" located within Receipt and Control. Representatives from IVO, Frivolous Filer, and Criminal Investigation (CI) will review the returns in the box and decide if they should keep them for further investigation. Otherwise, they will "clear them" for processing and return them to Extraction. When CI reviews a "Funny Box" return, a CI Stamp is placed on the first page of the return. The stamp only indicates that CI has reviewed the return. In addition, "IVO" will stamp in the upper left corner of the return after they have reviewed it. The stamp does not verify the authenticity of the return and/or any attachments. Refer to IRM 3.10.72.16 for additional criteria for attempting to identify these returns.

    Exception:

    Refer to IRM 3.10.72.16(10) for suspicious returns that will be routed to Code and Edit for correspondence.

    Note:

    Returns that meet the criteria for Frivolous Filer will be referred to the local FRP Coordinator. Refer to IRM 3.10.72.16.3 for the criteria.

  5. Any Full Paid IMF return received where you notice a Form 14039, Identity Theft Affidavit attached or "IDT" or "TC 971/522" edited in the top margin should be sorted separately and routed to Batching, instead of shelved.

  6. AUSPC Only - Form 8453, and/or Form 8453 with Form 1040 series return

    1. Sort Form 8453, and Form 8453 with Form 1040 and route to e-Help.

    2. Sort Prior Year Form 8453 and Form 8453-OL. Route to e-Help.

    Note:

    Do not route any of these forms directly to Batching from Extraction.

  7. AUSPC Only - The President and Vice President of the United States tax returns should be addressed to the Campus Director. Alert your Management Staff analyst when the returns are received. The Analyst will treat these returns as "walk-throughs" and follow procedures in IRM 3.28.3, Special Processing Procedures - Individual Income Tax Returns.

3.10.72.8.1  (01-01-2014)
Verifying Signature(s) on IMF Returns

  1. If the signature(s) is missing or signed on the incorrect line (and the taxpayer did not "self-arrow" to the "Sign here" line) on a Form 1040, Form 1040 A, Form 1040EZ, Form 1040NR, Form 1040NR-EZ, Form 1040-PR, or Form 1040-SS, sort separately non-remit and remit returns. Route non-remit to Code and Edit; route remit to Deposit as "imperfect" . Follow normal date stamping instructions, but always attach the envelope to these returns.

    Note:

    If IRS initiated correspondence (or reference to correspondence) or a note is attached to the return inquiring about an issue with the attached return, treat the unsigned return as part of the correspondence. Always move the correspondence notice/letter to the top and route to Second Sort. See "Exceptions" in (4) regarding Compliance notations and correspondence with a jurat. Do not route any unsigned Statute imminent return to Statutes. Do not route any returns with an indication of "ASFR" (or addressed to the ASFR mail stop or P.O. Box in Austin or Fresno) to Statute or for processing. Route to the ASFR unit following the instructions in IRM 3.10.72.15.7. In addition, do not route any Return Delinquency tax returns ("RD" edited in the top margin, whether circled or not) to Statute.

  2. If a Joint Return (i.e., two names listed in the entity (top part of the Form), or Filing Status 2 box is checked), check for two signatures on the Signature lines at the bottom of the form in the "Sign Here" section or anywhere below the jurat (perjury statement). If one is missing, sort in the appropriate stack to be routed.

  3. If the Filing Status is Single (1), Married Filing Separately (3), Head of Household (4), or Qualifying widow(er) with qualifying child (5), there should be only one name in the entity. Look for one signature at the bottom of the form in the "Sign Here" section or anywhere below the jurat (perjury statement). If missing, sort in the appropriate stack to be routed.

  4. All IMF Refund and Balance Due returns must be signed. For the following returns with special notations from Compliance functions, do the following when the return is unsigned:

    If: Then:
    "RD" is circled in the top margin Sort by Form type. Route to Batching for Code and Edit to correspond for a signature.
    "ASFR" edited in the top margin, or a pink Form 3531, a Letter 2566(SC/CG) or Letter 3219 (SC/CG) attached or envelope addressed to the ASFR mail stop or P.O. Box in Austin or Fresno Do not route for processing. Refer to IRM 3.10.72.15.7 for the transshipping instructions or AUSPC or FSPC will route to local ASFR unit.
    If a CP 59, CP 759, Letter 143C, or Letter 4905 is attached to a IMF return and the Compliance function indicates on the "Sign here" line that the jurat on the notice/letter was signed and/or "TC 595" or "TC 599" or "Process as Original" is edited in the top margin of the return Continue processing. Do not mail back for a signature on the return.

    Note:

    If there is no edited"TC 595" or "TC 599" or "Process as Original" in the top margin, route the package to the Return Address shown on the correspondence (CSCO or ACS Support function).

  5. Do not look for a signature on Forms 1040X, or Form 1040 with indication of:

    • "Amended"

    • "Corrected"

    • "Copy"

    • "Revised"

    • "Substitute"

    • "Supersedes"

    • "Tentative"

    • or, pre-printed "Copy Only - Do Not File" (or something similar) on Page 1

      Note:

      In addition, do not look for missing signatures on any Form(s) 1040 attached to a Form 1040X. Leave the entire package together and route to the 1040X unit.

  6. AUSPC Only - Continue to sort the ITIN (Form 1040 series with Form W-7) for delivery to ITIN for processing. If original documents such as Driver License, Passport, Birth Certificate are attached, immediately place in the envelope and secure with a binder clip to the back of the return. If a self-addressed envelope is attached for the return of original documents, leave with the ITIN Application. The review for "no signature" will take place after ITIN processing.

  7. Response Procedures - Move any "green sheet" below the Entity portion of the return and continue processing. When a signed return comes back with an edited "R" or "$" in the top left margin, sort as a "remit" document in a special sort to avoid an Unpostable condition. Date stamp the return anytime a payment is received with the response or if the response is received after the grace period.

3.10.72.9  (05-09-2013)
Vouchers (IMF and BMF)

  1. Some returns and documents with a remittance are received with a voucher. Ensure that the voucher belongs to the return or document.

  2. Campuses have options on how they choose to process vouchers. Follow your local procedure.

    1. Option #1
      For current year return with a perfect voucher, separate the voucher and remittance from the return. Then, sort voucher as scannable (for Transport) and non scannable (for RPS).

      For current year return with an imperfect voucher, attach the voucher to the back of the return and route to Deposit.

    2. Option #2
      Vouchers can be attached to the back of the return and routed appropriately.

  3. If a voucher is received alone (without remittance or without a return), destroy as classified waste.

  4. If a voucher is received with a payment, but no return, sort as scannable, perfect, or imperfect. See Figure 3.10.72-9 for an example of a perfect payment voucher.

    Figure 3.10.72-9

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

    Scannable and RPS Documents

  5. Destroy vouchers attached to non-remit Form 940 and Form 941 to make them "perfect" .

  6. OSPC will process Form 8813 vouchers. If there is an attachment to Form 8813 (e.g., Form 8804-C or Certificate), process the payment and route the attachment to Philadelphia Compliance Center (Philadelphia address, "Examination Branch 4-E08.142" ).

3.10.72.10  (01-01-2013)
Major (Primary) Form Sort – Business Master File (BMF)

  1. See Exhibit 3.10.72-7 for instructions for sorting BMF (including TE/GE) returns and documents.

    Note:

    Exempt Organization (EO) Amended returns (Form 990, Form 990-EZ, Form 990-PF, Form 990-T, Form 5227, Form 4720, Form 8871, and Form 8872) are not routed to CIS/ICT. They are batched with originals, imaged, then routed to Code and Edit (for "G" code).

  2. BMF forms with any amount listed on the overpayment line must be sorted as "Refund Returns" . If no amount on the Balance Due or Overpayment line, use of the "Apply to next return" or the "Send a refund" box/entry ("Credit Elect" ) as a clue to sort as "Refund" .

  3. This sort shall not be discontinued at any time during the year. Neither special blocks nor special document codes shall be set aside for refundable documents at the Headquarters level.

  4. If a CP 211A is attached to an Exempt Organization return, leave it attached to the back and continue processing the return. Refer to IRM 3.10.72.5.7.

  5. The IMF sites have a "Funny Box" in Receipt and Control to place returns they identify as possibly fraudulent. Although BMF sites do not have a Funny Box in Receipt and Control, they should still identify any bulk receipts of possibly fraudulent returns or any type of threatening language attached that appears to be an imminent threat on correspondence or a return. Refer these to your manager. When BMF or IMF sites receive empty envelopes or blank sheets of paper mailed to IRS, destroy as Classified Waste.

3.10.72.11  (01-01-2014)
Transshipment Guidelines

  1. See Guidelines and Shipping Instructions for Packages Containing SBU and Sensitive PII Documents when items are sent through UPS by going to the following link: http://publish.no.irs.gov/mailtran/PIIHardcopy.html. Follow any local procedures to ensure any shipments of packages containing Sensitive but Unclassified (SBU) and sensitive Personally Identifiable Information (PII) hardcopy is handled correctly. Be sure to use the specified heavy-duty boxes and make sure they are in good condition prior to shipping. Follow all of the PII procedures, including double-bag inside and a shipping label inside with the tracking number.

  2. All misdirected IMF and BMF tax returns will go through the normal "With Remit" and "No Remit" sort in Extraction.

  3. All IMF and BMF "With Remit" will be forwarded to Deposit.

    Exception:

    If a TAC/Area Office site stamped the return "Received with Remit" or Campus Support edited an amount in green or a "Green Rocker" on the Balance Due line, the check was already processed through RS-PCC. These returns should be identified with a Form 3210, Document Transmittal attached describing the type of returns received in the Campus Support or TAC office.

  4. Any return with a tax period ending in 2010 or prior that needs to be transshipped should first be "Expedited" to your Statute Unit, prior to transshipping. Once the Statute Unit has stamped it "Statute Cleared" and returned it to Receipt and Control, then transship to the appropriate Campus. See IRM 3.10.72.5.5.2 for Exceptions for routing to Statute.

  5. Field Offices and Taxpayer Assistance Centers will forward all returns to the appropriate campus for processing. Even though all Campus Support sites and TAC offices can process payments using RS-PCC, the Teller unit will still receive some remits with returns in the Submission Processing Campus from the Field Offices.

  6. The IMF sites will process the payment and transship the BMF return to the designated BMF Campus, and vice verse.

  7. Any required date stamping will be done by the receiving site prior to transshipment. In the following instances, the receiving site may not have access to an official IRS received date stamp. In this case, use the date on the Form 3210 as the official IRS received date on the documents.

    • Revenue Officers/Revenue Agents in the field

    • Unopened Private Delivery Service (PDS) envelopes (addressed to a P.O. Box) and forwarded to the campus from a TAC office. See IRM 3.10.72.6.2.5(2).

    Note:

    All sites are required to transship daily. If you observe that a site is not shipping timely, provide feedback via the Acknowledgement copy of the Form 3210. If the situation continues, request assistance through your local Planning and Analysis analyst.

  8. Misdirected tax returns do not have to be sorted by form type, nor counted. However, estimated volumes must be written in the "Description" section on the Form 3210.

  9. The receiving site shall ensure that each box has Part 1 (Recipient's Copy) and Part 3 Acknowledgement Copy) of the Form 3210 in the box clearly identifying the contents of each box. Every effort should be made to transship returns using Overnight service on the same day from the receiving site. Keep Part 4 (Originator's copy) and match up the Acknowledgement copy upon receipt and maintain both copies in your Files. Refer to IRM 3.13.62.7.2, Suspense Copies, Form 3210 for additional information.

  10. After Deposit by a Submission Processing, Campus Support site, or a TAC office, the Form 3210 for "Remit" return(s) and "Non Remit" returns(s) can be placed in the same box if space permits. Refer to IRM 3.10.72.6.2.5 for TAC office and Campus Support shipping procedures which have RS-PCC capability.

  11. Forms should be placed in Box A-670C, Class domestic, style 2, class C (White boxes with black printing or "Records Retiring Boxes/Moving Boxes" ). Apply strapping tape to the box to ensure the contents are secure. Notate "TR" in big letters to make it clear to the receiving site that this box contains returns that need to be processed. Also write the abbreviation for your site next to the "TR" (e.g.,TR-AUSPC). Route completed boxes to media transport to be shipped. However, do not write a notation if remit inside box, but use a neon colored tape (or similar indicator) so the receiving site can easily recognize the box to immediately process. Also, be aware of the specific Mail Stop numbers assigned to the Teller Unit and transshipped returns mailed from other Submission Processing sites, Campus Support, and TAC offices. Call the Teller Unit as soon as a shipment is received with their Stop # in the address line or other marking indicating remits (e.g., neon colored tape on package).

  12. Form 656, along with the remit, should be shipped to the appropriate site. The remit will be processed by Deposit in a Submission Processing site. Refer to IRM 3.10.72.15.3.

3.10.72.12  (01-01-2014)
IMF Minor (Secondary or Fine) Sort (Including Form 4868 Extension Routing)

  1. Use the following table to aid in sorting and routing timely filed Form 1040 series (and received after the grace period), as well as ones with notations or other Forms attached.

    If: Then:
    January 1 through April 22 Sort all Form 1040 series returns by:
    1. Form Type

    2. Current Year and Prior Year

    3. Full Paid (with remit)

    4. Part Paid (with remit)

    5. Refund

    IRS received date is April 23 to end of Calendar Year Sort all Form 1040 series returns by:
    1. Form Type

    2. Current Year and Prior Year

    3. Full Paid or Part Paid (with remit)

    4. Refund

    Form 1040 series return (Refund or Balance Due) is not properly signed or is unsigned Sort Non-Remit and Remit. If remit, edit "$" or "R" in the upper left corner prior to routing to Deposit as "imperfect" . Route Non-Remit to Code and Edit.

    Note:

    Refer to IRM 3.10.72.8.1 for additional instructions.

    Notation of "SFR-Coll" Sort separately. Route to Batching.
    Notation of "SFR-Exam" Sort separately. Route to Batching.
    Notation of "Injured Spouse" on Form 1040, or Form 8379 attached.

    Note:

    If there is also a Form 1040X attached, route package to 1040X unit. Refer to IRM 3.10.72.12(2)

    .
    Route to Batching separately from other Form 1040 returns, since they require a special Blocking Series.
    Tax Period is 2010 or prior Route to Statute. Do not batch.
    Notation of "KIA" ("Killed in Action" ) written in the top margin Routed to Kansas City.
    KCSPC Only - Contact the KITA Coordinator for Accounts Management.
    All other sites - Refer to SERP, Who/Where, KITA Coordinator for Kansas City AM. Transship with Form 3210 to the KIA Coordinator in Kansas City for Accounts Management.
    Notation of "IVO" or "Copy of Original Return" written/circled in the top margin and/or envelope is addressed by the taxpayer to:
    • Austin (Stop 6572 AUSC and/or CFN 0019), or

    • Fresno (P.O. Box 24012 or Stop M2004)

    If received in Austin, route to Stop 6572 AUSC
    If received in Fresno, route to IVO unit, Stop M2004 with other receipts addressed to P.O. Box 24012
    If received in any other site, route to Fresno, Stop M2004
    Form 1040 series return with notation of :
    • Amended

    • Copy

    • Corrected

    • Duplicate

    • Revised

    • Substitute

    • Supersedes

    • Tentative

    • or, pre-printed "Copy Only - Do Not File" (or similar literal) on Page 1

    Sort with Form 1040X.


    Route payments to Deposit as "imperfect" . Route Non-Remits to Batching. Refer to IRM 3.10.72.8(2) for additional sorting of items for the 1040X unit.
    Form 1040 series return with a green Form 3531 attached Sort by form type and sort as "Remit" and "Non-Remit" . Route to Batching.

    Note:

    If there is a "$" or "R" or "Received with remit" stamp, or a "green rocker" edited under the Balance Due line, or an amount has been edited beside the Balance Due line that is less than the total amount (Part Paid), that’s an indication that it was originally received with a remit and should be sorted upon reply as a "Remit" document.

    Form 1040 series with a pink Form 3531 attached, or "ASFR" edited in the top margin, or envelope is addressed to the ASFR Mail Stop or P.O. Box in Austin or Fresno Route to ASFR. Refer to IRM 3.10.72.15.7 for routing instructions. Do not route any return addressed to ASFR to Statute function.
    Form 1040 series with a Form 3949-A, "Information Referral" attached Detach Form 3949-A and route to Fresno, Stop C 2003. Continue processing the return.
    Form 1040 series returns marked "RD" in the top margin (not circled). Route to CSCO in either:
    • Austin - Stop 5501 AUSC

    • Fresno - Stop 81208

    Form 1040 series returns and" RD" in the top margin has been circled Sort by Form type. Route to Batching for processing, even if unsigned. Code and Edit can look for other clues of a signature.
    Form 1040 received with a remit and has a: foreign address, or Form 2555, Foreign Earned Income, or Form 8891 Route to Deposit to process the payment. Route return to AUSPC for processing.
    a Form 4868 is attached to a Form 1040 series return Never detach. Keep Form 1040 series on top and continue processing.
    "Loose" Schedule H (Form 1040) received Sort as a Form 1040 to be batched for Code and Edit.
    Form 1040NRattached Route package to AUSPC.
    AUSPC – Refer to IRM 3.10.72.8(3).
    Form 14039 attached or "IDT" or "TC 971/522" written in top margin Sort Full Paid returns separately from other returns. Indicate that these are "IDT" for Deposit.
    Form W-7 attached

    Note:

    If original documents such as Driver License, Passport, Birth Certificate are attached, immediately secure with a binder clip to the back of the return or use heavy-duty stapler.

    Route package to AUSPC.
    AUSPC – Refer to IRM 3.10.72.8(3).

  2. Use the following table to aid in sorting and routing Form 1040X, Form 1040 series with notation of "Amended" , and CP 08, CP 09, CP 11, CP 12, CP 27, or CP 2057 notices (either "loose" or attached to a Form 1040X), any "C" Letter (other than Letter 12C) or Form 8009-A attached, as well as other notations on a Form 1040X. If Letter 12C is attached to Form 1040X, route to Rejects.

    If: And: Then:
    Form 1040X is received there are no notations or attachments Route to Batching.

    Note:

    Follow instructions in the chart below to determine proper routing when there is a notation or attachment(s) or the "NOL" ("Net Operating Loss" ) box is checked.

    Identify these as "Expedites" and immediately route to ICT/CIS.
    Form 1040X is received One or more Form 1040X is attached, Keep together and route to Batching.
    Form 1040/Form 1040-A/Form 1040EZ is received One of the following notations is indicated:
    • "Duplicate"

    • "Copy"

    • "Substitute"

    • "Amended"

    • "Corrected"

    • "Revised"

    • "Superseding"

    • "Tentative"

    • or, pre-printed "Copy Only - Do Not File" (or similar literal) on Page 1

    Sort as a Form 1040Xand route to Batching.
    Any Form 1040 original return (or one marked "Amended" ) or Form 1040X received "KIA" (or "Killed in Action" ) is written in the top margin Route to Kansas City.
    KCSPC Only - Contact the KITA Coordinator for AM.
    All other sites - Refer to SERP, Who/Where, KITA Coordinator for Kansas City AM. Attach Form 3210 and address it to the coordinator. Call/E-mail before shipping.
    Form 1040X received CP 08, CP 09, or CP 27 attached Put the correspondence on top, sort by notice, and route the package to Batching.
    NoForm 1040X received CP 08, CP 09, or CP 27 received by itself Sort by notice type and route to Batching.
    Form 1040X received CP 11, CP 12, or CP 2057, any "C" Letter (other than Letter 12C), or Form 8009-A attached Put the Form 1040X on top, sort with other Form 1040X, and route to Batching. If Letter 12C attached, route to Rejects.
    Form 1040X received CP 2000 attached Route to AUR (Automated Underreporter) using the Return Address on the notice. Refer to Exhibit 3.10.72-3 for routing of CP 2000 to determine correct Stop Number.
    Form 1040X received with:
    Box on Line 1 (new revision) or box on Page 2, Part II (older revisions - 3 column format) is checked indicating a "Net Operating Loss" , "NOL" , or "Carryback" received
    Form 1040 (or multiple) is attached to the Form 1040X, keep together "Expedite" the package to Accounts Management.

    Note:

    "Expedite" means to route it to the area quickly, in addition to identifying is as an "EXPEDITE" document for ICT/CIS.

    Form 1040X received and the box is not checked, a Form 1045 or a "Schedule A-NOL" or "Schedule B-NOL Carryover" from a Form 1045 is attached Keep all attached and "Expedite" to Accounts Management.
    Austin Only - Multiple Forms 1040X received (normally mailed to Stop 4301) package is for "Offshore Voluntary Disclosure Initiative" ("OVDI" )/"Offshore Voluntary Disclosure Program" ("OVDP" ) Date stamp all forms. Keep all forms together in a package. Place all checks on top of the package. Route to Manual Deposit.
    Form 1040X received 2010 Tax Period and prior

    Note:

    Tax period is located on the top line; for November 2009 revision and subsequent, there are check boxes indicating the specific tax period.

    Date stamp before routing to Statute unit.
    Form 1040X (or Form 1040 with notation of "Amended" and "Disaster" ) received "Disaster" or a specific disaster such as flood, hurricane, etc. notated Route to Batching as "Expedite" .
    Form 1040X received Indication of "Protective Claim for Refund" Route to Accounts Management.
    Form 1040X received Form 1040 series attached with notation of "Injured Spouse" on the Form 1040 series, Staple the Form 1040 series return behind the Form 1040X and route the package to Batching for the 1040X Unit. Do not separate.
    Form 1040X received with Form 8379 with Form 1040 series, Stagger the Form 8379 behind the Form 1040X , then staple the Form 1040 series return behind the Form 8379; route the package to Batching for the 1040X Unit. Do not separate.
    Form 1040X received with Form 8379 no Form 1040 series attached Staple the Form 1040X on top of the Form 8379 and route to Batching for the 1040X Unit.
    Form 8379 received by itself

    Note:

    Do not confuse "Innocent Spouse" (Form 8857) request with "Injured Spouse" (Form 8379) claims. See Exhibit 3.10.72-1 for routing instructions.

    NoForm 1040 or Form 1040Xattached Forward to Accounts Management.

  3. Form 1040NR , U.S. Nonresident Alien Income Tax Return (AUSPC only).

    1. Sort into the following categories after major sort has been accomplished: Individual type entity (IMF or Fiduciary entity NMF): Effectively connected income (entry on line 8, Doc Code 73), due date April 15, or non-effectively connected income (no entry on line 8, Doc Code 72), due date June 15 or all others.

    2. Annotate Lloyd's of London Form 1040NR returns with cover memorandum denoting new accounts with "X" in the upper right corner of the return.

    3. Form 1040NR (if Form 1040 present do not detach), Form 1040NR EZ, Schedule H-PR, Form 1040PR, Form 1040SS, Form 1040SS (NMI), Form 1040-GUAM, Form W-2AS, Form W-2GU, Form W-2VI, Form 1040A, and Form 1040EZ with a foreign address or IRC 911, IRC 931, or IRC 933 notated, Form 1042S, Form 4563, Form 5074 and those claiming Guam ES credits shall be transshipped to AUSPC. When these forms are received at AUSPC, they will sort into separate categories.

    4. Sort Form 1040NR-EZ separately.

    5. Sort Form 1040NR with Form W-7 attached (and no TIN on Form 1040NR) and route to ITIN unit. Attach original documents to the back securely with a binder clip or heavy duty stapler.

    6. If Form 1040NR has a Form 8288-A attached, do not separate.

    7. Always stamp a received date, even when timely filed, if there is foreign remit attached. If Lockbox did not date stamp the source document, stamp the appropriate date upon receipt at the campus. Edit "LB" beside the campus name.

  4. Always Date Stamp Extensions forms received after the grace period and keep the envelope, unless you follow the alternate procedure shown in the paragraph below. If remit attached, keep the envelope attached and route to RPS or PPU. Use the following chart to sort Extensions:

    Type of Extension Request ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
    Correspondence request for Form 4868 extension with attached list(s) of foreign taxpayers Route to AUSPC Entity. Date Stamp Correspondence, attach envelope, route to AUSPC Entity.
    Form 2350 AUSPC - Sort for Batching to Code and Edit. AUSPC - Date Stamp, attach envelope, route to Batching.
    Form 2688 Sort with Form 4868 (with Attachments) to be batched for IMF Code and Edit. Date stamp, keep envelope, and sort with Form 4868.
    Form 4868 (Timely, Non-Remit and NO Attachments) with SSN Sort separately from ones with Attachments in a IMF Site.
    N/A
    Form 4868 with Attachments with SSN Sort separately from ones with NO attachments in a IMF Site. Date Stamp, keep envelope, route to IMF Batching/Code and Edit.
    Form 4868 with SSN (Late Filed,≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ )
    N/A
    Form 4868 has an EIN or "Applied For" is written in the "Your Social Security Number" box and has a Form 8892 with remit attached Keep both forms together and route to CSPC, Stop 312. Keep both forms together, date stamp both, and route to CSPC, Stop 312.
    Form 4868
    • with an EIN rather than a SSN, and

    • Name line includes "Estate" or "Trust"

    Route to CSPC, Stop 312. Indicate "NMF" on the Form 3210. Date stamp. Route to CSPC, Stop 312. Indicate "NMF" on the Form 3210.
    Form 4868 has an ITIN or "ITIN TO BE REQUESTED" is written in the "Your Social Security Number" box If Form W-7 is attached, date stamp it, keep together and route to ITIN, Stop 6090 in Austin. If Form W-7 attached, date stamp both documents, keep together and route to ITIN, Stop 6090 in Austin.

    Note:

    In subsequent days following the grace period, it is suggested that the sites "clean the mail" in the Receiving Area. This means that you should take a sample of the USPS trays to search for timely postmark dates (April 15, 2014). If there are groups of mail with timely Postmarks, pull this to the front and notify the Extractor that this does not have to be date stamped. This is especially critical for Form 4868, since they are batched under "Timely" and "Delinquent" DLNs. This procedure will prevent further re-batching of "timely work" identified in Code and Edit. If there are specific USPS locations that did not deliver the mail timely to IRS, IRS Management should contact the USPS to report incidents. If you notice "timely postmarks" on "self-prepared labels" , such as "Click and Ship" , Private Metered, Pitney-Bowes metered mail and the delivery timeframe is inconsistent, do not sort these as "Timely" if received after the grace period.

  5. Some sites elect the following alternative procedure for a few days immediately following the grace period which allows Extraction to look at the postmark date to determine whether forms are “Timely” or “Delinquent”, then sort for Batching. This procedure eliminates routing all non-remit Extensions received after the grace period to Code and Edit and re-batching into "Timely" /"Delinquent" blocks.

    Note:

    If the postmark date is missing or illegible on the envelope, consider it "timely filed" if signature date is on or before the due date and was received in a reasonable amount of time. If "self prepared" postmark label shows timely mailed date and is received much later than the end of the grace period, sort as "Delinquent" . The Due Date is April 15, 2014. If mailed USPS "Certified" , give to a designated person with internet access to find the "Acceptance" date on www.usps.com. If a designated Private Delivery Service, see IRM 3.10.72.6.2.4(3).

    1. If the Postmark is on the Due Date (April 15) or prior, use the first chart; if postmark date is after the Due Date, use the second chart:

      Sort # If Postmark Date is: And: Then, Do NOT Date Stamp: Batching will route to:
      1 April 15 or prior No Remit/No Attachment and Sort as Timely ISRP
      (Function 230)
      2 April 15 or prior No Remit/With Attachment and Sort as Timely Code and Edit
      (Function 210)
      3 April 15 or prior Remit and Sort as Timely Remit N/A

      Note:

      If the "attachment" is a request for Acknowledgement, do not route to Code and Edit. Stamp the listing or letter, detach and route to designated area/person for mailing back to the taxpayer, and continue sorting the Extension. See IRM 3.10.72.5.4.

      Sort # If Postmark Date is: And: Then Dual Date Stamp or Date Stamp and Attach Envelope: Batching will route to:
      1 April 16 or later No Remit - With/Without Attachment sort as Delinquent Code and Edit
      (Function 210)
      2 April 16 or later Remit route to Deposit Function N/A

3.10.72.13  (01-01-2014)
BMF Minor Form Sort Categories

  1. General BMF Instructions

    1. All Foreign and U.S. Possession address returns are filed in OSPC, except returns centralized in CSPC.

    2. All Excise tax returns are filed in CSPC. All Estate and Gift tax returns are filed in CSPC.

    3. All Exemption Organization and Employee Plan (returns filed with IRS) are processed in OSPC.

    4. All NMF processing is done in CSPC.

    5. Date stamp document and transship, when appropriate. When you receive a transshipped document that was date stamped by another IRS site, you do not have to date stamp again.

  2. Keep all "Original" and "Amended" returns that come in together in a package and route to Accounts Management. If either tax period/quarter is 2010 or prior, keep them together and route the package to the Statute Unit, unless there is an indication of "Net Operating Loss" ("NOL" ) or "Carryback" . Expedite the package to ICT/CIS. Refer to IRM 25.6.1, Statute of Limitations Processes and Procedures, if you have questions about a statute period on a particular form.

  3. Most No Remit Returns require additional sorting to determine whether Refund or No Refund.

    1. If there is an amount on the Balance Due line, sort as No Refund.

    2. If there is an amount on the Overpayment line or one of the "Credit Elect" boxes is checked/amount entered (e.g., "Apply to next return" , "Send a Refund" , etc.), sort as Refund.

    3. If there is any inconsistency such as no amount on either the Balance Due or Overpayment line and no Credit Elect box is checked, or there is an amount on both the Balance Due and Overpayment lines, then sort as Refund for Code and Edit to make the determination. Refer to Figure 3.10.72-10 and Figure 3.10.72-11.

  4. If Form 5604 is detached from a "Secured" /IRC "6020(b)" return for scanning or any other purpose, be sure to keep it with that document. For example, when performing pre-doc prep for documents to be scanned (e.g., Form 940 or Form 941), detach the Form 5604 and place in the back of the gusset folder with any other attachments. They are not processed even though they are signed. They are to remain with the controlling document and later attached to the back before filed.

  5. Any BMF return received with the literal "RD" (Return Delinquency) circled in the top margin or "TC 59X" edited in the side margin should be routed for processing. Otherwise, route to CSCO at one of the following locations.

    • Brookhaven - Stop 661

    • Memphis - Stop 81

    • Philadelphia - BLN 4-N31.142

  6. Sort any remits for $1 million or greater and route separately to Deposit. Follow local procedures to ensure any refund of $1 million or greater is batched on same day as received.

  7. Sort any Future Year/Future Quarter return with the Current Year/Quarter.

    Exception:

    Refer to IRM 3.10.72.13.18(3) for Form 1041, Schedule K-1, IRM 3.10.72.13.21 for Form 1065, and IRM 3.10.72.13.24 for Form 1120S.

  8. Refer to Exhibit 3.10.72-7 for BMF sorting instructions.

3.10.72.13.1  (01-01-2013)
Form CT-1 – Employer's Annual Railroad Retirement Tax Return

  1. It is a Calendar Year return due February 28.

  2. Sort non-remit forms into refund versus no refund. If no amount on Balance Due line, sort as "Refund" return if amount on the Overpayment line or"Apply to next return" box or"Send a refund" box is checked. See IRM 3.10.72.13(3).

  3. Pre-screen all non-remit Form CT-1 marked with one of the following specific literals, or Form CT-1 X to Accounts Management.

    • "Amended"

    • "Revised" , or

    • "Corrected"

  4. If a Form CT-1 is attached to a Form CT-1 X, keep them together. Move the CT-1 X to the front. Route the package to Accounts Management.

3.10.72.13.2  (01-01-2012)
Form CT-2 - Employee Representative's Quarterly Railroad Tax Return

  1. It is a Quarterly return due the last day of May, August, November, and February.

  2. If there is an entry on Line 4, or an explanation attached indicating a Correction, keep them together. Sort as a Form CT-2 . Do not route any to Accounts Management. All will be routed to Code and Edit.

3.10.72.13.3  (08-14-2012)
Form 706 Series and Form 709 – U.S. Estate Tax Return and United States Gift (and Generation - Skipping Transfer) Tax Return (CSPC Only)

  1. Sort by form number: Form 706 (Domestic - Line 3a), Form 706 (International -block 3a), Form 706NA, Form 706GS(D), Form 706GS(T), and Form 709 (International - block 5).

    Note:

    Returns with APO or FPO addresses are considered domestic addresses.

  2. Sort all non-remit Form 706 series/Form 709 returns marked with one of the following specific literal to CSPC Estate and Gift Tax Unit, Stop 824G.

    • "Copy" ,

    • "Amended" ,

    • "Revised" , or

    • "Supplemental"

  3. Sort no remit forms into refund versus no refund. If the amount is bracketed (< >) on Line 20 on Form 706, consider it a "Refund" , since there are not separate lines for Balance Due and Overpayment. On Form 709, Line 19 is Balance Due and Line 18 is Overpayment.

  4. If Date of Death on Form 706 or Form 706-NA is in 2010, continue processing, even though the Estate Tax was repealed. Code and Edit will determine if the preparer entered the correct year for Date of Death, Stop 824G.

  5. Box 5, Date of Death, determines if the return needs to be routed to Statute.

3.10.72.13.4  (01-01-2014)
Form 720 – Quarterly Federal Excise Tax Return (CSPC Only)

  1. Sort no remit Form 720 into refund versus no refund. If no amount on Balance Due line, sort as "Refund" return if amount on the Overpayment line or"Applied to your next return" box or"Refunded to you" box is checked. See IRM 3.10.72.13(3).

  2. Follow local procedure to ensure any Form 720 with large dollar remit ($1 million or more) is expedited to Deposit; sort any large dollar Refund to ensure it is batched on the same day as received.

  3. Attach envelope to allForm 720 returns received upon receipt; Batching will date stamp, but if multiple documents received in same envelope, you will need to follow dual date stamp in Extraction. Use the following chart to sort them:

    Sort Form 720 by: Comments:
    Current Quarter, and
    Any Prior Quarter/Month Ending
    There is no check box on the Form indicating the Quarter, but your manager should post the Current Quarter and Due Date. The "Quarter Ending" is entered by the filer on the top line, located to the right of the "Name" .
    $1 Million Dollar or more Remit attached "Walk it" to Deposit.
    Refund Sort all Refunds separately. Keep $1 million or greater Refund separately from others for Batching to work same day as received.
    PCOR (Patient Centered Outcome Research Fee) #133 checked (first line in Part II checked – located on Page 2), or
    Both #133 and #136 are checked with no other box(es) checked
    Taxable Medical Devices #136 checked (last line in Part I checked – located on Page 2)
    Other Taxes Any other box, except #133 or #136 checked, or
    Both #133 and #136 are checked with other box(es) checked

  4. Route all returns to Batching as "Expedites" . See IRM 3.10.73.8.2.1 for date stamping and additional sorting instructions.

3.10.72.13.5  (01-01-2014)
Form 940 and Form 940EZ – Employer's Annual Federal Unemployment (FUTA) Tax Return

  1. Form 940 is an annual return due January 31.

  2. If "Amended" (Box a.) is checked in the upper right corner, process through SCRIPS. However, if there is any handwritten indication, such as one of the following literals, route to Accounts Management:

    • "Amended" ,

    • "Revised" , or

    • "Corrected"

  3. No special sort is needed for IRC "6020(b)" returns.

  4. Sort non-remit returns into Refund versus No Refund. A refund return should have a money amount on the Overpayment line. If no amount on Balance Due line, sort as a "Refund" return if money amount on Line 15 (Line 10 for older returns) or"Apply to next return" box is checked or"Send a Refund" box is checked. See IRM 3.10.72.13(3). See Figure 3.10.72-10 below for indication of Refund and No Refund returns.

    Tax Year Form 940"Overpayment" Line # Form 940EZ"Overpayment" Line #
    2006 - 2013 15 N/A
    2005 and prior 10 9
  5. Returns received for Tax Period 200612 and subsequent should be processed via SCRIPS.

  6. Returns received with a Schedule R attached must be processed through SCRIPS.

  7. Sort Timely Filed (Current Year) returns without attachments and without writing (e.g., "Deceased" , "Final" , "Out of Business" , etc.) on Page 1 of the return as "Perfect" . These will be batched to be processed to by-pass Code and Edit.

    Note:

    "Perfect" returns will contain Page 1, Page 2, and one (or more) Schedule A, and sometimes Schedule R (Form 940).

  8. Sort Delinquent Filed (Current Year and Prior Year) returns as "Imperfect" . These will be batched to be processed through Code and Edit.

  9. Returns received for Tax Period 200512 and prior or the 2005 form revision, foreign or U.S. Possession address (OSPC Only), or reprocessables must be processed via ISRP. CSPC processes all walk-throughs via ISRP.

    Note:

    Form 940-EZ has not been printed since the 2005 revision, therefore it will always be processed through ISRP.

    Note:

    This is a minimum standard. If your Campus is currently performing a more complex sort or sorting additional types of Forms 940, continue to do so.

  10. Additional sorts are required for ISRP processing. In addition to sorting Refund and No Refund, the forms must be sorted by the Tax Form revision. Use the following table to sort for ISRP processing:

    Tax Form Year Revision
    2012 and later
    2011 revision
    2010 and prior revision

    Note:

    This is a minimum standard. If your campus is currently performing a more complex sort, continue to follow the local procedure.

    Figure 3.10.72-10
    This image is too large to be displayed in the current screen. Please click the link to view the image.

    Refund Return

3.10.72.13.6  (01-01-2014)
Form 940PR – Employer's Annual Federal Employment (FUTA) Tax Return (Puerto Rican Version) (OSPC only)

  1. Form 940PR is an annual return and is due January 31.

  2. If "Amended" box (Line E) is checked on the last line above Part I, process through ISRP. However, if there is any handwritten indication, such as one of the following literals, route to Accounts Management.

    • "Amended"

    • "Revised" , or

    • "Corrected"

  3. Sort no remit forms into refund versus no refund. If no amount on Balance Due line, sort as a "Refund" return if money amount on Line 15 (Line 10 for older returns) or Spanish "Apply to next return" box is checked or"Send a Refund" box is checked. See IRM 3.10.72.13(3).

  4. Process via ISRP. In addition to sorting Refund and No Refund, the form revisions must be sorted as follows:

    • 2012 and later

    • 2011

    • 2010 and Prior Year

3.10.72.13.7  (01-01-2014)
Form 941 – Employer's Quarterly Federal Tax Return

  1. Form 941 is a quarterly return. The Tax Period ending months are 03 (due April 30), 06 (due July 31), 09 (due October 31) and 12 (due January 31).

  2. Pre-screen all non-remit Form 941 marked with one of the following specific literals and route to Accounts Management. There is no "Amended" check box.

    • "Amended"

    • "Revised" , or

    • "Corrected"

  3. No special sort is needed for IRC "6020(b)" returns.

  4. Form 941 received with a Form 941C or a Form 941M should be kept together with Form 941 taking precedence. Do not detach the Form 941C or Form 941 M.

    Note:

    The composite Form 941 must remain attached to Form 941M. A composite Form 941 will have Form 941M attached with the notation "Do Not Process" . These will be sorted as "Imperfect" for routing to Code and Edit on your initial sort. If a "loose" Form 941M is received, do not batch. Route directly to Code and Edit for them to forward to their Production & Analysis (P & A) analyst who will mail to another function, if appropriate.

  5. Sort non-Remit returns into Refund versus No Refund. If no amount shown on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line (see chart below) or"Apply to next return" box is checked or"Send a refund" box is checked. See IRM 3.10.72.13(3) and Figure 3.10.72-11.

    Tax Year Form 941"Overpayment" Line #
    2014, 2013, 2012, 2011, 2010, 2009 15
    2008, 2007, 2006, 2005 13
    2004 and prior 16

  6. Tax Period 200503 and subsequent quarters should be sorted and processed through SCRIPS .

  7. Sort Timely Filed (Current quarter) returns without attachments and without writing (e.g., "Deceased" , "Final" , "Out of Business" , etc.) on Page 1 of the return as "Perfect" . These returns will be batched to by-pass Code and Edit.

    Note:

    "Perfect" returns will only contain Page 1, Page 2, Schedule B, and sometimes Schedule R.

  8. Sort Delinquent filed (current and prior quarters returns as "Imperfect" . These returns will be batched to be processed through Code and Edit All form revisions can be combined and do not require a separate sort.

  9. Returns received for 200412 quarters or prior, Reprocessables, "Walk-Throughs" , and foreign (OSPC Only) must be processed through ISRP.

  10. Additional sorts are required for ISRP processing. In addition to sorting Refund and No Refund, the forms must be sorted by the Tax Form revision (and the Quarter, if a 2010 revision). Use the following table to sort for ISRP processing:

    Tax Form Year Revision Quarter
    2014 revision All
    2013 revision All
    2011 and 2012 revision All
    2010 revision 2nd, 3rd, or 4th Only

    Note:

    2010 1st Quarter is sorted with Prior Years.

    2010 (1st Quarter) and All Prior Years 1st Quarter of 2010 and Prior Years

    Note:

    This is a minimum standard. If your campus is currently performing a more complex sort, continue to follow the local procedure.

    Figure 3.10.72-11
    This image is too large to be displayed in the current screen. Please click the link to view the image.

    Refund vs. No Refund

3.10.72.13.8  (02-02-2012)
Routing Form 941C, Form 941M, Form 941-X, Form 941-PR X, Form 943-X, Form 944-X, Form 944-PR X, Form 944(SP) X, Form 945-X, and Form CT-1 X (Loose, or Return Attached) – Amended Returns

  1. Route all "loose" Form 941C, Form 94X X, Form 941-X PR, Form 941-X SS, or Form CT-1 X return to Accounts Management for processing.

  2. If Form 941C is attached to a Form 941, Form 941M, Form 941SS, Form 943, or Form 945, keep the package together and move the Form 941C to the front. Route the package to Accounts Management.

    Note:

    If a Form 941M is received with a Form 941, move it to the back. If the Form 941M is "loose" , route to Code and Edit. Do not batch.

  3. If the "X" return is attached to an "original" form, keep the package together. Move the "X" to the front. Route the package to Accounts Management.

  4. Below is a list of original Form 94X and Form CT-1 returns and the Amended Return counterpart.

    Original Return Form Number Will Use the Following Form 94X Return to Amend the Original:
    Form 941 & Form 941-SS Form 941-X
    Form 941-PR Form 941-PR X
    Form 943 Form 943-X
    Form 943-PR Form 943-PR X
    Form 944 & Form 944-SS Form 944-X
    Form 944-PR Form 944-PR X
    Form 944(SP) Form 944(SP) X
    Form 945 Form 945-X
    Form CT-1 Form CT-1 X

  5. If a Form 5884-C, Credit Against Employment Tax for Tax-Exempt Employers Hiring Qualified Veterans, is received with an amended return or correspondence, route the package to OSPC, M/S 6750.

    Exception:

    If there is an original Form 941, Form 943, or Form 944 attached, put the Form 5884-C to the back and route the package for processing.

3.10.72.13.9  (01-01-2014)
Form 941PR and Form 941SS – Employer's Quarterly Federal Tax Return (Puerto Rican Version) and American Samoa, Guam, the Commonwealth of the Northern Mariana Islands, and the U.S. Virgin Islands (OSPC Only)

  1. Form 941PR and Form 941SS are quarterly returns. The periods ending are 03 (due April 30), 06 (due July 31), 09 (due October 31) and 12 (due January 31).

  2. Pre-screen all non-remit Form 941 PR/Form 941 SS marked with one of the following specific literals, or Form 941-X or Form 941-PR X, and route to Accounts Management.

    • " Amended" ,

    • "Revised" , or

    • " Corrected "

  3. If a Form 941 PR is attached to a Form 941-PR X, keep them together. Move the "X" to the front; if a Form 941 SS is attached to a Form 941-X, keep them together. Move the "X" return to the front. Route the package to Accounts Management.

  4. Sort Form separately:

    1. Sort 2014 revision

    2. Sort 2013 revision

    3. Sort 2011 and 2012 revisions

    4. Sort 2010 revision - 2nd, 3rd, and 4th quarters

    5. Sort 2010 revision 1st Quarter and all prior revisions

  5. Sort no remit forms into refund versus no refund. If no amount shown on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line (see chart in IRM 3.10.72.13.7(5)) or Spanish "Apply to next return" box or"Send a refund" box is checked. See IRM 3.10.72.13(3).

  6. Sort Timely Filed (Current quarter) returns separately from Delinquent filed (Current quarter) and Prior quarter returns.

  7. Process Form 941PR and Form 941SS via ISRP.

3.10.72.13.10  (01-23-2013)
Form 943 and Form 943-PR – Employer's Annual Tax Return for Agricultural Employees

  1. This is a calendar year return due January 31.

  2. Pre-screen all non-remit Form 943 marked with one of the following literals, or Form 943-X and route to Accounts Management.

    • "Amended"

    • "Revised" , or

    • "Corrected"

  3. If a Form 943 is attached to a Form 943-X, move the "X" to the front; if a Form 943-PR is attached to a Form 943-PR X, move the "X" to the front. Route the package to Accounts Management.

  4. Sort 2011 and later revision returns separately from 2010 and prior revision returns.

  5. Sort non-remit forms into refund versus no refund. If no amount shown on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line or English/Spanish "Apply to next return" box or"Send a refund" box is checked. See IRM 3.10.72.13(3).

  6. No special sort is needed for IRC "6020(b)" returns.

3.10.72.13.11  (01-23-2013)
Form 944 and Form 944SP – Employer's ANNUAL Federal Tax Return

  1. This is a calendar year return due January 31.

  2. Pre-screen all non-remit Form 944/Form 944SP marked with one of the following literals, or the Form 944-X or Form 944(SP) X , and send to Accounts Management.

    • " Amended"

    • "Revised" , or

    • "Corrected "

  3. If a Form 944 is attached to a Form 944-X or a Form 944(SP) is attached to a Form 944(SP) X, move the "X" to the front. Route the package to Accounts Management.

  4. Sort 2011 and later revision returns separately from 2010 and prior revision returns.

  5. Not all taxpayers qualify to file the annual Form 944. Expedite process of the returns is necessary to ensure these taxpayers receive sufficient notification to timely file the quarterly Form 941. Therefore, the following expedite process needs to be followed:

    Returns received between January 1st and February 7th Returns received after the grace period date and before the current year’s Program Completion Date (PCD) Returns received after the current year’s Program Completion Date (PCD)
    1. Sort timely filed non-Remit forms into Refund versus No Refund.

    2. Route both Refund and No Refund as "Expedites" .

    1. Sort delinquent filed non-Remit forms into Refund versus No Refund.

    2. Route both Refund and No Refund as "Expedites" .

    1. Sort timely filed non-Remit forms into Refund versus No Refund .

    2. Route Refund as "Expedites" .

    Note:

    If no amount on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line or"Apply to next return" box or the "Send a refund" box is checked. See IRM 3.10.72.13(3).

  6. No special sort is needed for IRC "6020(b)" returns.

3.10.72.13.12  (01-23-2013)
Form 944PR and Form 944SS – Puerto Rican Version and U.S. Possessions (OSPC Only)

  1. Form 944 PR and Form 944 SS are annual returns due January 31.

  2. Pre-screen all non-remit Form 944PR/Form 944SS marked with one of the following literals, or the Form 944-X or Form 944-PR X, and send to Accounts Management.

    • " Amended"

    • "Revised" , or

    • "Corrected "

  3. If a Form 944 PR is attached to a Form 944-PR X, keep them together. Move the "X" to the front; if a Form 944 SS is attached to a Form 944-X, keep them together. Move the "X" to the front. Route to Accounts Management.

  4. Sort 2011 and later revision returns separately from 2010 and prior revision returns.

  5. Not all taxpayers qualify to file the annual Form 944 PR/Form 944 SS. Expedite process of the returns is necessary to ensure these taxpayers receive sufficient notification to timely file the quarterly Form 941PR / Form 941 SS. Therefore, the following expedite process needs to be followed:

    Returns received between January 1st and February 7th Returns received after the grace period date and before the current year’s Program Completion Date (PCD) Returns received after the current year’s Program Completion Date (PCD)
    1. Sort timely filed non-Remit forms into Refund versus No Refund.

    2. Route both Refund and No Refund as "Expedites" .

    1. Sort delinquent filed non-Remit forms into Refund versus No Refund.

    2. Route both Refund and No Refund as "Expedites" .

    1. Sort timely filed non-Remit forms into Refund versus No Refund .

    2. Route Refund as "Expedites" .

    Note:

    If no amount on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line or Spanish "Apply to next return" box or the "Send a refund" box is checked. See IRM 3.10.72.13(3).

3.10.72.13.13  (01-01-2013)
Form 945 –Annual Return of Withheld Federal Income Tax

  1. This is a calendar year return due January 31.

  2. Pre-screen all non-remit Form 945 returns marked with one of the following literals, or the Form 945-X, and send to Accounts Management.

    • "Amended "

    • "Revised" , or

    • "Corrected"

  3. If a Form 945 is attached to a Form 945-X, keep them together. Move the "X" to the front. Route to Accounts Management.

  4. Sort 2009 and later revision returns separately from 2008 and prior revision returns. OSPC will also sort foreign separately.

  5. Sort no remit forms into refund versus no refund. If no amount shown on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line or"Apply to next return" box or"Send a refund" box is checked. See IRM 3.10.72.13(3).

3.10.72.13.14  (01-01-2013)
Form 990 and Form 990EZ – Return of Organization Exempt from Income Tax (EO) (OSPC Only)

  1. Calendar year returns are due May 15.

    Note:

    If a CP 211 series is attached to the return, move it to the back. Do not detach.

  2. Fiscal year returns are due 4 1/2 months after the tax period ending date.

  3. Sort Form 990 separate from Form 990-EZ.

  4. There are six (6) separate sort required for the Form 990 and Form 990EZ as follows:

    • IRC "501(c)(3)" returns – Form Revision 2008 and subsequent

    • IRC "501(c)(3)" returns – Form Revision 2007 and prior

    • "IRC 527" returns – Form Revision 2008 and subsequent

    • "IRC 527" returns – Form Revision 2007 and prior

    • All Other IRC returns – Form Revision 2008 and subsequent

    • All Other IRC returns – Form Revision 2007 and prior

  5. If there is a pre-printed IRS label, sort according to the IRC (section number) on the label instead of what the filer indicated in the "Tax Exempt Status" or "Organization Type" check box.

  6. Sort foreign addresses separately.

  7. Any obsolete Form 990-C received will be sorted with Form 1120-C returns.

3.10.72.13.15  (01-01-2013)
EP/EO Determination User Fee Application (CSPC Only)

  1. Applications will be sorted by Form 8717,Form 8718 and Form 1023.

    Note:

    Do not detach any forms, etc. from the following applications: Form 1023, Form 1024, or Form 8940.

  2. Sort Remit and Non-Remit.

  3. Use either a Dual Date stamp, or a Postmark and received date stamp on all Applications. Leave the following forms on top of the package, followed by any Form 2848 or Form 8821, then the cover letter, then remaining documents. Staple any check received with the package in the bottom left corner of the first page. Following are samples of document order.- Form 1023, Form 1024, Form 5300, Form 5307, or Form 5310.

    Order of Documents Sample #1 Sample #2 Sample #3 Sample #4 Sample #5
    First Checklist Form 8718 Form 8717 Form 8717 Form 8717
    Second Form 1023 Form 1024 Form 5300 Form 5307 Form 5310
    Third Form 2848 Form 2848 Form 2848 Form 2848 Form 2848
    Fourth Form 8821 Cover Letter Cover Letter Cover Letter Cover Letter
    Fifth Cover Letter Remaining Documents Remaining Documents Remaining Documents Remaining Documents
    Next Remaining Documents        

  4. Remove all clips, dividers, blank sheets, notebooks, binders, metal prongs, tabs, etc. from applications. Put the dividers in the Candling buckets.

  5. Do not destroy any material attached to the application, such as pamphlets, books, literature, etc.

  6. If a Form SS-4 is attached and the EIN is missing, attach the Form SS-4 to the front of the application package. Edit "SS-4 enclosed" on the Application Identification Sheet.

  7. The postmark date and return address should be kept with the package. Stamp the postmark date and received date at the bottom of the Application Identification Sheet, but do not stamp over the bar code.

  8. Date stamp all Acknowledgements and return to the filer, if self-addressed envelope with postage is attached. Otherwise, date stamp and keep with the package.

  9. Keep any Form 2848 or Form 8821 with the application.

3.10.72.13.16  (01-01-2014)
Form 990-PF – Return of Private Foundation or Section 4947(a)(1) Trust Treated as a Private Foundation (OSPC Only)

  1. Calendar year returns are due May 15. Fiscal year returns are due 4 1/2 months after the tax period ending date.

    Note:

    If a CP 211 series is attached to the return, move it to the back. Do not detach.

  2. Sort Form 990-PF No Remit returns into refund versus no refund.

  3. Sort prior year returns separately.

  4. Sort foreign addresses separately.

3.10.72.13.17  (01-01-2014)
Form 990-T – Exempt Organization Business Income Tax Return (EO) (OSPC Only)

  1. Calendar year Form 990-T Corporation and IRC 501(c)(3) trust returns are due May 15. Fiscal year Form 990-T Corporation and IRC 501(c)(3) trust returns are due 4 1/2 months after the tax period ending date.

  2. Calendar year Form 990-T IRC "401(a) Trust" returns are due April 15. Fiscal year Form 990-T IRC "401(a) Trust" returns are due 3 1/2 months after the tax period ending date.

    Note:

    If a CP 211 series is attached to the return, move it to the back. Do not detach.

  3. If Form 8941 is attached to a Form 990-T, leave it attached. If stapled to the top, move it to the back and process as a Form 990-T.

  4. If "Attachment to Form 4720" is annotated at the top of the Form 990-T, or there is a Form 4720 attached to a Form 990-T, do not separate them. Move the Form 4720 to the top and staple the Form 990-T to the back.

  5. Sort No Remit into refund versus no refund. If no amount shown on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line or entry in either "Credited to 20XX estimated tax" or"Refunded" . See IRM 3.10.72.13(3).

  6. Sort IRC "501(c)3 returns" separately.

  7. Sort current year separately from Prior Year Forms 990-T.

  8. Sort 2010 Forms 990-T filed for the "Credit for Small Employer Health Insurance Premiums" separately from the prior year Forms 990-T.

  9. Form 990-T for "Credit for Small Employer Health Insurance Premiums" can be identified by no dollar amounts in Part I - Part II. The first line entry will be Part IV. If Form 8941 is attached, keep together.

  10. Sort any 2010 and prior year Form 990-T and route to Statute.

3.10.72.13.18  (01-01-2013)
Form 1041, Form 1041-N, Form 1041QFT, and Form 1041A – U.S. Income Tax Return for Estates and Trusts

  1. This is calendar year return due April 15.

  2. Sort no remit forms into refund versus no refund and by form type. If no amount shown on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line or entry in either "Credited to 20XX estimated tax" or"Refunded" . See IRM 3.10.72.13(3).

    Note:

    All Form 1041-N returns must be filed in OSPC.

  3. Sort no remit Form 1041 by:

    • Current timely filed calendar year (current processing year minus 1) - with Schedule K-1 attached and Without Schedule K-1 attached

    • Prior year (Current processing year minus 2 or more) - with Schedule K-1 attached and Without Schedule K-1 attached

    • Current fiscal and delinquent calendar year (current processing year minus 1) - with Schedule K-1 attached and Without Schedule K-1 attached

    • Future Year (current processing year) - with Schedule K-1 attached and Without Schedule K-1 attached

  4. With remittance forms must be sorted as above following the deposit of remittance.

  5. If an Exempt Organization (EO) return (e.g., Form 990 series, Form 4720 or Form 5227) is attached, stamp received date on all forms. Detach the EO return and transship to OSPC.

  6. If a Form 1040 is attached to a Form 1041, always leave the Form 1040 attached. This includes returns that are marked Bankruptcy or have the bankruptcy box checked.

  7. If a CP 211 series is attached to a Form 1041-A, move it to the back. Do not detach.

3.10.72.13.19  (01-01-2014)
Form 1042 – Annual Withholding Tax Return for U.S. Source Income of Foreign Persons (OSPC Only)

  1. This is an annual tax return due March 15.

  2. Pre-screen all non-remit Form 1042 returns marked with one of the following literals, or if the "Amended" box (located directly below the Tax Year) is checked, and send to Accounts Management.

    • "Amended "

    • "Revised" , or

    • "Corrected"

  3. Sort Non-Remit Form 1042 returns into Refund versus No-Refund. If no amount shown on the Balance Due line, sort as a "Refund" return if money amount on the Overpayment line or entry in either "Credit on 20XX Form 1042" or"Refunded" . See IRM 3.10.72.13(3).

  4. Sort separately Domestic, Foreign, and U.S. Possession.

  5. If Form 1042-T /Form 1042-S, or Form 1042-S (without a Form 1042-T) are attached, keep the package together and process as a Form 1042. In this instance, sort as a Form 1042.

3.10.72.13.20  (01-01-2012)
Form 1042-T with Form 1042-S – Foreign Person's U.S. Source Income Subject to Withholding (OSPC Only)

  1. The parent Form 1042-T must not be separated from the Form 1042-S.

  2. Form 1042-T and associated Forms 1042-S do not need Statute clearance.

  3. If received with Form 1042, do not detach. Sort as a Form 1042.

  4. Sort Current Year and Prior Year.

  5. Stamp the received date on each Form 1042-T and each Form 1042-S.

  6. If the Form 1042-S is received without a Form 1042-T, sort as a Form 1042-T.

  7. The Form 1042-T is the transmittal for Form 1042-S. Send Form 1042-T with, or without Forms 1042-S to International Batching.

3.10.72.13.21  (01-01-2012)
Form 1065 and Form 1065B – U.S. Return of Partnership Income

  1. Sort Form 1065/Form 1065B as Current timely filed calendar year (current processing year minus 1).

  2. Prior Year (Current processing year minus 2 or more).

  3. Current fiscal and delinquent current calendar year (Current processing year minus 1).

  4. Future Year (Current processing year).

  5. OSPC Only -"Publicly Traded Partnership" , "Notice 98-3" , or "IRC 7704(g)(3)" notated on Form 1065 Only are sorted separately.

  6. Form 1065 Only for 2010 - If "QTDP" or "Qualified Therapeutic Discover Credit" is indicated on the Form 1065 or written beside Line 22, indicated on a "loose" or attached Form 4255, or an indication on the check, route to Payment Perfection.


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