3.12.21  Credit and Account Transfers

Manual Transmittal

November 12, 2013

Note: DO NOT REMOVE AND INSERT PAGES OR DISPOSE OF OBSOLETE TRANSMITTALS PRIOR TO JANUARY 1, 2014.

Purpose

(1) This transmits revised IRM 3.12.21, Error Resolution, Credit and Account Transfers.

Material Changes

(1) IPU 13U1069 issued 06-10-2013 IRM 3.12.21.9.2.1 - This transmits text, entitled, Section 40-Field Requirements-Fields A Through S with modifications to correction instructions for the following fields:

  • Field 40E-"Exempt Wages/Tips Paid to Qualified Employees (Form 941, Form 943, & Form 944)"

  • Field 40F-"Taxable Medicare Wages and Tips (Form 941 and Form 944)"

  • Field 40H-"Fractions of Cents Adjustment (Form 941)"

(2) IPU 13U0978 issued 05-21-2013 IRM 3.12.21.9.2.1 - This transmits text, entitled, "Section 40-Field Requirements-Fields A Through S" with modifications to correction instructions for the following fields:

  • Field 40D-"Additional Taxable Medicare Wages and Tips (Form 941)"

  • Field 40E-"Exempt Wages/Tips Paid to Qualified Employees (Form 941, Form 943, & Form 944)"

  • Field 40F-Taxable Medicare Wages and Tips (Form 941 and Form 944)

  • Field 40H-"Fractions of cents adjustment (Form 941)"

  • In response to KISAM Ticket #IM00938583 (Account Transfers Transaction Record Layout)

(3) IPU 13U0357 issued 02-15-2013 IRM 3.12.21.4.2.6 - Includes revisions to text, entitled, "Field 01-C, Master File Tax Account Code---MFT" (also referred to previously as DATE-OF-TRANSFER)

(4) IPU 13U0357 issued 02-15-2013 IRM 3.12.21.4.2.29 - Transmits revisions to text, entitled, "Validity Checks" (for Field 01-W, F8288 Transfer Date (also referred to previously as "DATE-OF-TRANSFER" )

(5) IPU 13U0357 issued 02-15-2013 IRM 3.12.21.4.2.30 - Includes editorial change: Field 01-X, BMF TIN (Form 3552 Only), is renumbered to follow text procedures for "Validity Checks" (intended originally for association with Field 01-W, F8288 Transfer Date).

(6) IPU 13U0357 issued 02-15-2013 IRM 3.12.21.9.1 - Transmits revisions to text, entitled, "Section 40—Fields A Through S Description" . NOTE: In an effort to counter problems encountered during Account Transfers programming, we reassigned the designations of the following fields on the error register for Calendar Year 2013. The "Additional Taxable Medicare Wages and Tips (Form 941)" is the new Field 40-D. The "Exempt Wages/Tips Paid to Qualified Employees (Form 941, Form 943, & Form 944)" (also known as "Qualified Employer Exempt Wage/Tips Paid Amount (Form 941, Form 943, and Form 944)" , is the new Field 40-E. The "Taxable Medicare Wages and Tips (Form 941 and Form 944)" (also known as, "Taxable Hospital Insurance Benefits Wages" , is the new Field 40-F.

(7) IPU 13U0357 issued 02-15-2013 IRM 3.12.21.9.2 - Transmits revisions to text, entitled, "Correction Procedures---Section 40" .

(8) IPU 13U0357 issued 02-15-2013 IRM 3.12.21.9.2.1 - Transmits revisions to text, entitled, "Section 40—Field Requirements—Fields A Through S" .

(9) IPU 13U0298, issued 02-6-2013 IRM 3.12.21.4.2.29 - Transmitted the revisions to text, entitled, "Validity Check (Field 01-W, F8288 Transfer Date)" as follows:

(10) IPU 13U0298, issued 02-6-2013 IRM 3.12.21.4.2.30 - Includes editorial change: renumbers text for Field 01-X, BMF TIN, is renumbered to follow text instructions for Validity Check

(11) IPU 13U0196, issued 01-24-2013 IRM 3.12.21.4.1 - Includes revisions throughout text entitled, Section Fields A Through X Description. Introduces new Field 01-X, BMF TIN.

(12) IPU 13U0196, issued 01-24-2013 IRM 3.12.21.4.2.19 - Includes revisions to text entitled, Fields 01-M and 01-N---Reference Number and Reference Number Amount. Includes updates to table entitled, MFT–AND REFERENCE–NUM–TABLE. Introduces new reference numbers 438 (MFT 03) and 711 (MFT 13 and MFT 55).

(13) IPU 13U0196, issued 01-24-2013 IRM 3.12.21.4.2.29 - Introduces new text, entitled, Field 01-X, BMF TIN.

(14) IPU 13U0196, issued 01-24-2013 IRM 3.12.21.9.1 - Includes revisions to table under text entitled, Section 40---Fields A Through S Description. Introduces new Field 40-E, Additional Taxable Medicare Wages and Tips (Form 941). We also corrected all field designations following Field 40-E in accordance with programming changes and Form 3413 (Transcription List (Account Transfer-In)) and Form 3552 (Prompt Assessment Billing Assembly) modifications.

(15) IPU 13U0196, issued 01-24-2013 IRM 3.12.21.9.2 - Includes revisions to table under text entitled, Correction Procedures - Section 40. Includes new Field 40-E and revisions to table showing corrections to all field designations following Field 40-E, in accordance with programming changes and Form 3413 and Form 3552 modifications.

(16) IPU 13U0196, issued 01-24-2013 IRM 3.12.21.9.2.1 - Includes revisions to texts and table under text entitled, Section 40--Field Requirements Fields A Through S. Introduces text description for new Field 40-E, Additional Taxable Medicare Wages and Tips (Form 941). This also includes revisions to table showing corrections to all field designations following Field 40-E, in accordance with programming changes and Form 3413 and Form 3552 modifications.

(17) IPU 13U0196, issued 01-24-2013 Exhibit 3.12.21-4, entitled, MFT and Tax Class Chart. Introduces new MFT 75 (Form 8955-SSA, Annual Registration Statement Identifying Separated Participants with Deferred Vested Benefits).

(18) IPU 13U0196, issued 01-24-2013 Exhibit 3.12.21-8, entitled, Reference Numbers. Introduces new reference numbers 438 (MFT 03) and 711 (MFT 13 and MFT 55).

(19) IPU 13U0196, issued 01-24-2013 Exhibit 3.12.21-9, entitled, Credit Reduction Chart. Introduces new rates for the credit reduction states for Calendar Year 2012.

(20) IPU 13U0196, issued 01-24-2013 Exhibit 3.12.21-9, entitled, Credit Reduction Chart. Introduces new rates for the credit reduction states for Calendar Year 2012.

(21) IPU 13U0196, issued 01-24-2013 Exhibit 3.12.21-11, entitled, TC 290-30X Abstracts Versus Tax Period Table. Introduces changes to IRM in accordance with programming changes/documentation.

(22) IRM 3.12.21.4.1 - Includes revisions to tax field names to reflect the titles of the items displayed on the Form 3413 and Form 3552.

(23) IRM 3.12.21.4.2 - Includes revisions to text, entitled, "Correction Procedures—Section 01" . Includes the most current names/designations of Section 01, Fields A through X in the individual text instructions for Fields 01-A through 01-X. KISAM Ticket #IM00938583

(24) IRM 3.12.21.4.2.1 - Includes revisions to text, entitled, Field 01-A---Name Control (Validity Checks). Includes revision to text regarding the location of this information, beneath the MFT box in the upper left corner of the Form 3552, OR, the upper right corner of Form 3552, beneath the "Notice Date" .

(25) IRM 3.12.21.4.2.4 - Includes revisions to text, entitled, Field 01–B—EIN or SSN & TIN Type (previously "Taxpayer Identification Number (TIN))" - Correction Procedures. Includes text revision emphasizing the TIN Type must be corrected in Field 01-K.

(26) IRM 3.12.21.4.2.6 - Includes editorial change: Field 01–C—Master File Tax Account Code—MFT (Correction Procedures), introduces a new MFT 79 (BMF only). Tax Class is 4, the earliest Tax Period is 201409, and the form will be filed annually. This introduces a new form (not yet identified) to implement section 9010 of Public Law (PL) 111-148, "The Patient Protection and Affordable Care Act of 2010" (ACA). Provision 9010 of the ACA is "Health Insurance Provider Fee - Joint and Several Liability Collection" (Doc Code 51)). The new form will be filed yearly and the program will allow Transaction Codes (TC) 290 (Additional Tax Assessment) and 298 (Additional Tax Assessment with Interest Computation Date) to be valid with MFT 79. Section 9010(a)(1) imposes the fee on a “covered entity;” that is, an insurance company that covers US health risks. Section 9010(c)(1).WR #80658

(27) IRM 3.12.21.4.2.7 - Includes revisions to text, entitled, Field 01–D—Tax Period (Validity Checks). Introduces MFT 79 (BMF only). Invalid condition exists when the Tax Period is prior to 201112, the MFT is either 01, 11, or 14, and the reference number is 290, OR; when the Tax Period is prior to 201409, the MFT is 79, and the reference number is 290 or 298. WR #80658; WR #81063; WR #89053

(28) IRM 3.12.21.4.2.8 - Includes revisions to text, entitled, Field 01–D—Tax Period (Correction Procedures). Added MFT 79 to the table of valid MFT Codes. WR #80658; WR #81063; WR #89053

(29) IRM 3.12.21.4.2.19 - Includes revisions to text, entitled, "Fields 01–M and 01–N—Reference Number and Reference Number Amount" . Credit Reference Numbers (CRNs) 074 and 290 are valid for MFT 01 (Form 941), MFT 11 (Form 943) and MFT 14 (Form 944). CRN 290 is valid for the following Tax Periods: MFT 01 (Form 941); 201112 through 201503; MFT 11 (Form 943); 201112 through 201512; and MFT 14 (944); 201112 through 201512. The validation of CRN 074 is in compliance with the implementation of section 309 of Public Law 112-240, the "American Taxpayer Relief Act of 2012 (ATRA 2012)" , which extended the hiring eligibility timeframe with regards to the Work Opportunity Tax Credit (WOTC) through December 31, 2013. The validation of CRN 290 is in compliance with the implementation of Provision 9015 (Additional Medicare Tax) of the ACA, which imposes a new Additional Medicare Tax on certain highly compensated individuals beginning January 1, 2013. WR #81063; WR #89053

(30) Includes revisions to Exhibit 1, entitled, Valid Tax Periods. MFT 79 is added to the chart. WR #80658

(31) Includes revisions to Exhibit 4, entitled, MFT and Tax Class Chart. MFT 79 is added to the chart. WR #80658

(32) Includes revisions to Exhibit 7, entitled, BMF Valid Transaction Code Chart. Transaction Code 722 (Correction of 720 Processed in Error) is valid for MFT 31 for Doc Codes 51 and 52. WR #84930

(33) Includes revisions to Exhibit 8, entitled, Reference Numbers. Credit Reference Numbers (CRNs) 074 and 290 are valid for MFT 01 (Form 941), MFT 11 (Form 943) and MFT 14 (Form 944). WR #81063; WR #89053

(34) Includes revisions to Exhibit 9, entitled, Credit Reduction Chart.

(35) Includes revisions to Exhibit 10, entitled, TC 150 Abstract Versus Tax Period Table.

(36) Includes revisions to Exhibit 11, entitled, TC 290-30X Abstracts Versus Tax Period Table.

(37) Includes revisions to all graphics throughout this text. Also added graphic captions throughout the text to better describe the figure examples and illustrations.

(38) Includes expanded descriptions to all Verbal Descriptive Narratives (VDNs).

(39) Includes revised graphics (i.e., figures and exhibits) throughout the text.

(40) Includes various editorial changes throughout this text.

Effect on Other Documents

IRM 3.12.21, dated October 12, 2012 (effective January 1, 2013), is superseded. The following IRM Procedural Updates (IPUs), issued from January 24, 2013, through June 10, 2013, have been incorporated into this IRM: 13U0196, 13U0298, 13U0357, 13U0978, and 13U1069.

Audience

W&I Submission Processing Employees

Effective Date

(01-01-2014)

Paul J. Mamo
Director, Submission Processing
Wage and Investment Division

3.12.21.1  (01-01-2014)
Introduction

  1. This section provides instructions for correcting error registers of various credit and account transfers, including account adjustments and reactivation of retention register accounts.

  2. Initial processing of the requests for these transfers and preparation of the input documents is described in the following Internal Revenue Manuals (IRMS):

    • IRM 3.17.243, Miscellaneous Accounting

    • IRM 3.17.21, Credit and Account Transfers.

  3. This IRM provides instructions for correcting the following input documents:

    1. Form 3413, Transcription List (Account Transfer-In); and,

    2. Form 3552, Prompt Assessment Billing Assembly.

3.12.21.2  (01-01-2014)
General Error Correction Procedures

  1. This section describes the various error conditions, how they are identified on the registers, the action codes, and how they are used to resolve these conditions.

3.12.21.2.1  (01-01-2014)
Error Register

  1. General descriptions of the contents, format and correction method of the error register are provided in IRM 3.12.37, IMF General Instructions.

  2. Action Codes—every action taken on the error register requires the use of an action code. The Action Code is entered to the left of the section number being worked. The valid action codes for the error register are as follows:

    1. Action Code 3— (See Figure 3.12.21-1.)

      Figure 3.12.21-1

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      Example of Action Code 3 - Used to Reject the Record (Unprocessable Document)

    2. Action Code 4— (See Figure 3.12.21-2.)

      Note:

      Action Code 4 is not valid for Section 01.

      Figure 3.12.21-2

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      Example of Action Code 4 - Used to Delete a Section from a Record on the Register

    3. Action Code 5— (See Figure 3.12.21-3.)

      Figure 3.12.21-3

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      Example of Action Code 5 - Used to Add a Section to the Record

    4. Action Code 6— (See Figure 3.12.21-4.)

      Figure 3.12.21-4

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      Example of Action Code 6 - Used to Change a Field or Fields of a Section Within the Error Record

    5. Action Code 7— (See Figure 3.12.21-5.)

    Figure 3.12.21-5

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    Example of Action Code 7 - Used to Indicate That the Data on the Error Register is Correct (i.e., No Action is Necessary)

3.12.21.2.2  (01-01-2014)
Types of Error Conditions

  1. The types of error conditions you will encounter include validity, terminus, extraneous section, and missing section. This section will provide descriptions of and resolution instructions for each condition.

3.12.21.2.2.1  (01-01-2014)
Validity Errors

  1. Validity errors are identified either because a field, which must contain data, is blank, or because the computer identified invalid characters within that field. Fields are validity checked to ensure correct data before transmittal to the master file. Each field that is found invalid is identified on the register with a asterisk (*) before the alpha field designator.

  2. Correct as follows:

    1. Compare the data on the register with the document being processed.

    2. Correct any transcription errors.

    3. If no corrections are necessary, use Action Code 7.

3.12.21.2.2.2  (01-01-2014)
Terminus Errors

  1. A terminus error results when there is a non-numeric character in a numeric field, or when the format of the section is incorrect.

  2. Terminus errors are identified by two asterisks (**) to the left of the section number. (See Figure 3.12.21-6.)

    Figure 3.12.21-6

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    Example of a Terminus Error - Identified by Two Asterisks (**) to the Left of the Section Number

  3. Correct as follows:

    1. Compare the data on the register with the document being processed.

    2. Correct any transcription errors.

    3. If no corrections are necessary, use Action Code 7.

3.12.21.2.2.3  (01-01-2014)
Extraneous Sections

  1. Extraneous sections are identified by a single pound (#) sign in front of the section. (See Figure 3.12.21-7.)

    Figure 3.12.21-7

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    Example of an Extraneous Section - Identified by a Pound Sign (#) in Front of the Section Number

  2. Correct as follows:

    1. Compare the data on the register with the document being processed.

    2. Correct any transcription errors.

    3. If the section is truly not needed to process the record, delete the section with Action Code 4.

    Note:

    SECTION 01 IS A REQUIRED SECTION AT ALL TIMES. DO NOT ATTEMPT TO DELETE SECTION 01 WITH ACTION CODE 4.

3.12.21.2.2.4  (01-01-2014)
Missing Sections

  1. Missing sections are identified by an asterisk to the left of the section number with the alpha field designator for the section printed on the error register.(See Figure 3.12.21-8.)

    Figure 3.12.21-8

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    Example of a Missing Section - Identified by an Asterisk (*) to the Left of the Section Number

  2. Correct as follows:

    1. Compare the data on the register with the document being processed.

    2. Correct any transcription errors.

  3. If a section not identified as a missing section must be added, use Action Code 5.

    1. Enter on the register only the fields which will contain data.

    2. The fields must be entered on the register in alphabetical order by alpha field designator.

3.12.21.2.2.5  (01-01-2014)
Invalid Correction Attempt

  1. An invalid correction attempt is indicated by a "AA" printed to the right of the DLN (Document Locator Number) in the title line of the error register. For a complete description of invalid correction attempts, see IRM 3.12.37, IMF General Instructions.

  2. Correct as follows:

    1. Correct all errors identified on the error register as if no attempt had been made to correct it before. If necessary, examine the corrections on the prior error register.

    2. If all the fields are correct on the error register, enter an Action Code 7 to the left of section 01 on the error register.

3.12.21.3  (01-01-2014)
Input Documents—General Explanation

  1. This section describes the concept of non-ADP as it relates to the various master files document (e.g., for IMF (Individual Master File), BMF (Business Master File), and IRAF (Individual Retirement Account File)). Also described are the input documents (i.e., Form 3413 and Form 3552) used to re-establish accounts to or transfer assessments to or between these files.

3.12.21.3.1  (01-01-2014)
Non-ADP Document

  1. A non-ADP (Automated DATA Processing) document, is a document being processed for a tax period that ended before the ADP system was in place for the particular document.

  2. When a document is for a non-ADP period, reject, using Action Code 3. Prepare Form 4227/Form 10886, (Intra-SC Reject or Routing Slip), and process as Non Master File (NMF).

3.12.21.3.2  (01-01-2014)
Form 3413—Transcription List

  1. Form 3413, Transcription List (Account Transfer-In), with Doc Code 51 or 52 is used to transfer into the Master File a list of all transaction codes, dates and amounts on a single record. All money amounts are entered in dollars and cents.

  2. These documents are prepared for accounts which have been either on Non Master File (NMF) or had been previously on the master file and were transferred out using Transaction Code (TC) 400. (See Figure 3.12.21-9) See IRM 3.12.37, IMF General Instructions.

    Figure 3.12.21-9a

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    Example of Page 1 of a Form 3413, Transcription List (Account Transfer-In)

    Figure 3.12.21-9b

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    Example of Page 2 of a Form 3413, Transcription List (Account Transfer-In)

3.12.21.3.3  (01-01-2014)
Form 3552—Prompt Assessment Billing Assembly

  1. Form 3552, Prompt Assessment Billing Assembly, is used to transfer Quick, Prompt, and Jeopardy Assessments to the BMF, IMF, or IRAF. All money amounts are entered in dollars and cents. (See Figure 3.12.21-10.)

    Figure 3.12.21-10

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    Example of Page 1 of a Form 3552, Prompt Assessment Billing Assembly

3.12.21.4  (01-01-2014)
Section 01

  1. This section provides descriptions of the fields and correction procedures for Section 01 of the register.

3.12.21.4.1  (01-01-2014)
Section Fields A Through X Description

  1. The alpha field designators, field lengths (maximum length for variable fields), and the field titles are shown below:

    Field Field Length (+/−) Field Title
    01–A 4   Name Control
    01–B 9   EIN or SSN & TIN Type

    Exception:

    The TIN Type is corrected in Field 01-K.

    01–C 2   MFT Code (Master File Tax Account Code)
    01–D 6   Tax Period
    01–E 8   Date of Transfer (or, Transfer in Date)
    01–F 8   23C Date of Assessment
    01–G 3   Original Assessment Transaction Code
    01–H 12 +/− Original Assessment Transaction Amount
    01–I 15 + Transfer-in Amount (or Balance Transferred-in)
    01–J 8   Agreement Date
    01–K 1   TIN Type (located on Form 3413 under Item B, Section 01 ("EIN or SSN & TIN Type" ))
    01–L 8   Correspondence Received Date (located on Form 3413 as Item K, Section 01)
    01–M 3   Reference Number
    01–N 13 + Reference Number Amount
    01–O 8   2% Interest Date (located on Form 3413 as Item L, Section 01)
    01–P 8   Interest To Date
    01–Q 8   Interest Computation Date
    01–R 3   Plan/Report Number (MFT 46/74/76/85/86 Only)
    01-S 8   Excess Fringe Benefit Year (located on Form 3413 as Item U, Section 01)
    01-T 8   Reversion Date (located on Form 3413 as Item O, Section 01)
    01-U 6   Plan Year Ending Date (located on Form 3413 as Item S, Section 01)
    01-V 8   4980f Amendment Date (located on Form 3413 as Item V, Section 01)
    01-W 8   Form 8288 Trans Date (located on Form 3413 as Item T, Section 01)
    01-X 9   BMF TIN

    Note:

    Refer to the individual text instructions tor the most current names/designations of Section 01, Fields A through X.

3.12.21.4.2  (01-01-2014)
Correction Procedures—Section 01

  1. This section describes field validity criteria and correction procedures for Fields A through X in Section 01.

3.12.21.4.2.1  (01-01-2014)
Field 01–A—Name Control (Validity Checks)

  1. The Master File Tax Account (MFT) Code is found in Item A (Section 01), Page 1, Form 3413. It is located beneath the MFT box in the upper left corner of the Form 3552, OR, the upper right corner of Form 3552, beneath the "Notice Date"

  2. This field MUST always be present and can contain up to four characters.

  3. BMF documents with a Social Security Number (SSN) (MFT 51, 52, 58 and 78) the first position must be alphabetic. The remaining characters can be alphabetic, hyphen or blank. No character may follow a blank.

  4. For BMF documents with an Employer Identification Number (EIN)—the first character must be alphabetic or numeric. The remaining characters can be alphabetic, numeric, hyphen, ampersand, or blank. No character may follow a blank.

  5. For IMF and IRAF documents—the first character must be alphabetic. The remaining characters can be alphabetic, hyphen, or blank. No character may follow a blank.

3.12.21.4.2.2  (01-01-2014)
Field 01–A—Name Control (Correction Procedures)

  1. Compare the document with Field 01-A. Correct any transcription errors using Action Code 6.

  2. Research Integrated Data Retrieval System (IDRS) for a valid name control, using appropriate Command Codes.

    1. If a valid name control is found, correct the name control on the document and on the register. (See Figure 3.12.21–11.)

      Figure 3.12.21-11

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      Example Displaying Name Control Correction Using Action Code 6

    2. If a valid name control is not found, reject the document with Action Code 3.

3.12.21.4.2.3  (01-01-2014)
Field 01–B—EIN or SSN & TIN Type (also referred to previously as "Taxpayer Identification Number (TIN)" ) (Validity Checks)

  1. The Taxpayer Identification Number (TIN) MUST always be present and MUST contain 9 digits.

    Note:

    Form 3413 ONLY: The "EIN or SSN & TIN Type" information is found in Item B (Section 01). The "EIN or SSN & TIN Type" field is NOT contained on the Form 3552. Form 3552 Only: The Taxpayer Identification Number is located in the upper right portion of the Form 3552, beneath the Name Control information.

  2. It can not be all zeroes (0) or all nines (9).

  3. IMF (Individual Master File) and IRAF (Individual Retirement Account File) documents will contain social security numbers (SSNs).

    Note:

    The IRAF (as a separate Master File) was retired in 2004. All references to "MFT 29" are what were previously referred to as IRAF.

  4. BMF documents will have a 9–digit taxpayer identification number which can be a Social Security Number (SSN) or an Employer Identification Number (EIN).

    1. SSNs—MFTs 51 (Form 709, United States Gift Tax Return), and 52 (Form 706, U.S. Estate Tax Return), will always have an SSN.

    2. MFTs 46, 58, and 78 with a TIN Type (Field 01–K) of "0" will have an SSN. (See Figure 3.12.21–12.) If the TIN Type is blank, the TIN is an EIN.

      Figure 3.12.21-12

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      Example of an MFT 58 With SSN (the TIN Type is "0" )

    3. EINs—must be all numeric and the first two digits may not be 00, 07 through 09, 17 through 19, 28, 29, 49, 78, 79, or 89.

3.12.21.4.2.4  (01-01-2014)
Field 01–B—EIN or SSN & TIN Type (previously "Taxpayer Identification Number (TIN))" - Correction Procedures

  1. Compare Field 01–B with the document. Correct any transcription errors.

    Exception:

    Only the EIN or SSN are corrected in Field 01-B. The TIN Type must be corrected in Field 01-K. see IRM 3.12.21.4.2.17

  2. If the document was transcribed correctly and the taxpayer identification number contains other than 9 digits, research via IDRS, using Command Codes NAMEI (SSNs)(NAMES) and NAMEB (EINs)(NAMEE). If you are unable to locate a valid TIN, reject the document with Action Code 3.

  3. If the document is correct as transcribed, compare the document with the MFT code (Field 01–C) and the TIN Type (Field 01–K), i.e., SSN for IMF (Individual Master File), IRAF and MFT 51, 52, 58 and 78 and EIN for BMF. If the document has been numbered incorrectly reject with Action Code 3 for renumbering. (See Figure 3.12.21-13.)

    Figure 3.12.21-13

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    Example Displaying Document with the MFT Transcribed Incorrectly

3.12.21.4.2.5  (01-01-2014)
Field 01–C—Master File Tax Account Code—MFT (Validity Checks)

  1. The Master File Tax Account (MFT) Code is found in Item C (Section 01), Page 1, Form 3413. It is located also in the MFT box on the upper left portion of the Form 3552.

  2. This is a two-digit field that MUST be present.

  3. The MFT is pre-printed or manually entered during the preparation of the document.

  4. The MFT must be compatible with the tax class in the DLN.

3.12.21.4.2.6  (01-01-2014)
Field 01–C—Master File Tax Account Code—MFT (Correction Procedures)

  1. Compare Field 01–C with the document. Correct any transcription errors.

  2. If the MFT is not present, determine the correct code using Exhibit 3.12.21-4 and the criteria below. Enter the data in Field 01–C, using Action Code 6.

    1. If the document is IMF, the MFT must be 30, 31, or 55.

    2. If the document is IRAF, the MFT code must be 29.

    3. If the document is BMF, the MFT code must be 01, 02, 03, 04, 05, 06, 07, 08, 09, 10, 11, 12, 13, 14, 15, 16, 17, 33, 34, 36, 37, 40, 44, 46, 47, 49, 50, 51, 52, 55, 58, 60, 61, 62, 63, 64, 67, 74, 75, 76, 77, 78, 79, 85 or 86.

  3. Use the information in the table provided below to determine if the document was numbered correctly. If the MFT was transcribed correctly, compare the MFT and the tax class of the DLN (tax class is the third digit of the DLN). See Figure 3.12.21-14.

    Figure 3.12.21-14

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

    Example Displaying Tax Class Was Numbered Incorrectly (Correct Tax Class is "5" )

    MFT TAX CLASS Valid Section Presence
    01 1 01, 02–19, 30–33, 36, 40
    02 3 01, 02–19, 20–23, 30–33, 36
    03 4 01, 02–19, 30–33, 36, 37-39
    04 1 01, 02–19, 30–33, 40
    05 2 01, 02–19, 20–23, 30–33, 36
    06 2 01, 02–19, 30–33, 36
    07 3 01, 02–19, 30–33, 36
    08 1 01, 02–19, 20–23, 30–33, 36
    09 7 01, 02–19, 30–33, 36, 40
    10 8 01, 02–19, 30–33, 36, 41, 42–46
    11 1 01, 02–19, 30–33, 36, 40
    12 1 01, 02–19, 30–33, 36, 40
    13 3 01, 02–19, 30–33, 36
    14 1 01, 02-19, 30-33, 36, 40
    15 2 01, 02–19, 30-33
    16 1 01, 02–19, 30–33, 36, 40
    17 1 01, 02–19, 20–23, 30–33, 36
    29 2 01, 02–19, 30–33, 36, 37
    30, 31 2 01, 02–19, 20–23, 30–33, 36
    33 3 01, 02–19, 20–23, 30–33, 36
    34 3 01, 02–19, 20–23, 30–33, 36
    36 4 01, 02–19, 30–33, 36
    37 4 01, 02–19, 30–33, 36
    40 4 01, 02–19, 30–33, 36
    44 4 01, 02–19, 30–33, 36
    46 3 01, 02-19, 20–23, 30-33
    47 4 01, 02–19, 30–33, 36
    49 4 01, 02–19, 30–33, 36–39
    50 4 01, 02–19, 30–33, 36-39
    51 5 01, 02–19, 30–33, 36
    52 5 01, 02–19, 30–33, 36
    55 2 01, 02–19, 30–33, 36
    58 4 01, 02–19, 30–33, 36
    60 4 01, 02–19, 30–33, 36
    61 4 01, 02–19, 30–33, 36, 37-39
    62 4 01, 02–19, 30–33, 36
    63 4 01, 02–19, 30–33, 36
    64 4 01, 02–19, 30–33, 36
    67 4 01, 02–19, 30–33, 36
    74 4 01, 02–19, 30–33, 36, 37–39
    75 4 01, 02–19, 30–33, 36, 37–39
    76 4 01, 02–19, 30–33, 36, 37-39
    77 5 01, 02–19, 30–33, 36
    78 5 01, 02–19, 30–33, 36
    79 4 01, 02–19, 30–33, 36, 37-39
    85 3 01, 02-19, 20–23, 30-33
    86 3 01, 02-19, 20–23, 30-33

  4. If the document was numbered incorrectly, reject the document for renumbering, using Action Code 3.

  5. If the MFT was transcribed incorrectly and the MFT on the document is compatible with the tax class in the DLN, correct Field 01–C. IF THE MFT IS CORRECTED TO 03, 50, OR 61 ON A DOC CODE 51 RECORD, BE SURE THE ABSTRACT REQUIREMENTS OF SECTIONS 36–39 ARE MET BY ADDING SECTIONS IF NECESSARY. (See Table 3.12.21.4.2.8.) IF THE ABSTRACT REQUIREMENTS ARE NOT IN THE SECTION 36–39 REJECT, USE ACTION CODE 3. (See Figure 3.12.21-15.)

    Figure 3.12.21-15
    This image is too large to be displayed in the current screen. Please click the link to view the image.

    Example Displaying Addition of a Section with Action Code 5 and Correction of an MFT Involving an Abstract Number

3.12.21.4.2.7  (01-01-2014)
Field 01–D—Tax Period (Validity Checks)

  1. The Tax Period is found in Item D (Section 01), Page 1, Form 3413. It is located also in the Tax Period box on the upper left portion of the Form 3552 (to the right of the MFT box).

  2. This field MUST be present, contain six digits, and be all numeric.

  3. It is edited in YYYYMM format. The first four positions represent the year and the last two positions represent the month of the tax period.

  4. The month in the tax period must be 01 through 12.

    Exception:

    MFT 52 (Form 706) is valid with a tax period of 000000.

  5. MFTs 58, 60, 61, 62, 63, and 64 use the tax period beginning date as the tax period. All other MFTs use the tax period ending date as the tax period with the exception of MFT 52 (see 3.12.21.4.2.7(3) above).

  6. Field 01–D will appear invalid if MFT is 30 or 31 and the tax period is before 196212.

  7. Field 01–D will appear invalid if MFT is 29 and the tax period is before 197512.

  8. Field 01–D will appear invalid if MFT is 55 and the tax period is before 197512.

  9. Field 01–D will appear invalid, along with Fields 20A–E or I, if the tax period is other than 197810 through 198011 and the transaction code is 63X. (63X equals 630, 632, 636, and 637. For MFT 02, 05, 30, 31, 33, and 34 only.) (See Figure 3.12.21-16.)

    Figure 3.12.21-16

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

    Example Displaying Transaction Code is Not Valid With the Tax Period

  10. Field 01–D, Tax Period, will appear invalid along with Field 01–M, Reference Number, if

    1. The tax period is prior to 198709 and the reference number is 685; or

    2. The tax period is prior to 198909, the MFT Code is not 29, and the reference number is 686 (See Figure 3.12.21–17); or

    3. The tax period is prior to 199012, the MFT is 13, and the reference number is 649; or

    4. The tax period is prior to 199012, the MFT is 13, and the reference number is 678; or

    5. The tax period is prior to 199712, the MFT is 55, and the reference number is 627; or

    6. The tax period is prior to 200705, the MFT is 30, and the reference number is 687; or

    7. The tax period is prior to 201003, the MFT is 46, and the reference number is greater than 291 and less than 296, or

    8. The tax period is prior to 201003, the MFT is either 02, 03, 05, 06, 07 30, 31, 34, 51, 52, 55, and the reference number is 683, or,

    9. The tax period is prior to 201006, and the reference number is 682 or,

    10. The tax period is prior to 201006, and the reference number is 780 or 781; or,

    11. The tax period is prior to 201112, the MFT is either 01, 11, or 14, and the reference number is 290; or,

    12. The tax period is prior to 201409, the MFT is 79, and the reference number is 290 or 298.

      Figure 3.12.21-17

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

      Example Displaying an Invalid Tax Period for This MFT and Reference Number

  11. If Reference Code is 528, MFT is 55, and the Reference Number Amount is greater than $10,000, all three fields (i.e., Field 01-D, Field 01-M (Reference Number), and Field 01-N (Reference Number Amount)) will appear invalid.

  12. When Reference Number 658 is present with MFT Code 13, Reference Number Amount cannot exceed $5,000.00. The Tax Period cannot be prior to 199812 and the Month of Tax Period cannot be other than 12.

  13. If Reference Code is 678, Field 01–D will appear invalid with Field 01–M (Reference Number) and Field 01–N (Reference Number Amount), if the tax period is earlier than 198512. The Month of the Tax Period must be "12" . The dollar amount cannot be greater than $50,000.00. If any of these conditions are present all three Fields will appear invalid.

  14. If Reference Code is 663, MFT is 13, and the Tax Period is before 200008, OR the Reference Number Amount is greater than $50,000, all three fields will appear invalid.

3.12.21.4.2.8  (01-01-2014)
Field 01–D—Tax Period (Correction Procedures)

  1. Correct as follows:

    1. Compare the register with the document. Correct any transcription errors.

    2. If the document is correct as transcribed, reject the record with Action Code 3.

  2. The tax period cannot be later than the current processing month plus one year or earlier than the beginning tax period indicated in the table found in Exhibit 3.12.21-1 for the specific MFT being processed.

    MFT–CD BMFTX/PRD END TX/PD EARLIEST DATE
    ALLOWED
    MM–LIMITS
    01 196203 YYYY12 TAX–PRD minus 2 months 3, 6, 9, 12
    02 196112 YYYY12 TAX–PRD minus 11 months 1–12
    03 196203 YYYY12 TAX–PRD minus 2 months 3,6,9,12
    04 196203 199412 TAX–PRD minus 2 months 3,6,9,12
    05/06 196112 YYYY12 TAX–PRD minus 11 months 1–12
    07 198712 YYYY12 TAX-PRD minus 11 months 12
    08 200412 YYYY12 TAX–PRD minus 11 months 1–12
    09 196203 197512 TAX–PRD minus 2 months 3,6,9,12
    09 197612 YYYY12 TAX–PRD minus 11 months 12
    10/11 196112 YYYY12 TAX–PRD minus 11 months 12
    12 198512 YYYY12 TAX–PRD minus 11 months 12
    #13 198012 YYYY12 TAX–PRD minus 11 months 12
    14 200612 YYYY12 TAX–PRD minus 11 months 12
    15 199012 YYYY12 TAX–PRD minus 11 months 12
    16 199412 YYYY12 TAX–PRD minus 11 months 12
    17 200512 YYYY12 TAX-PRD minus 11 months 1–12
    33 196112 200611 TAX–PRD minus 11 months 1–12
    34 196112 YYYY12 TAX–PRD minus 11 months 1–12
    36 197012 YYYY12 TAX–PRD minus 11 months 1–12
    37 197001 198712 TAX–PRD minus 11 months 1–12
    37 198812 YYYY12 TAX–PRD minus 11 months 12
    40 200401 YYYY12 TAX-PRD minus 11 months 1-2
    44 197001 YYYY12 TAX–PRD minus 11 months 1–12
    46 198412 YYYY12 TAX–PRD minus 11 months 1–12
    47 200007 YYYY12 TAX-PRD minus 11 months 1–12
    49 200007 YYYY12 TAX-PRD minus 11 months 1–12
    50 197001 YYYY12 TAX–PRD minus 11 months 1–12
    51 196112 197012 TAX–PRD minus 11 months 12
    51 197103 198112 TAX–PRD minus 2 months 3,6,9,12
    51 198212 YYYY12 TAX–PRD minus 11 months 12
    52 000000 000000 12/01/1961  
    58 197007 198009 TAX–PRD 1–12
    *60 195607 YYYY12 TAX–PRD 1–12
    *61 196206 198706 TAX–PRD 1–12
    *62 196206 198006 TAX–PRD 1–12
    *63 196206 YYYY12 TAX–PRD 1–12
    *64 196206 YYYY12 TAX–PRD minus 1 month 1–12
    67 197012 YYYY12 TAX–PRD minus 11 months 1–12
    74 198412 YYYY12 TAX-PRD minus 1 months 1-12
    76 198412 YYYY12 TAX-PRD minus 11 months 1-12
    77/78 198612 YYYY12 TAX–PRD minus 11 months 12
    79 201409 YYYY12 TAX–PRD minus 11 months 12
    85/86 198412 YYYY12 TAX–PRD minus 11 months 1-12

    Note:

    Day in EARLIEST—DATE—ALLOWED is 01. YYYY in TAX–PRD is equal to YEAR of PROCESS—DATE plus 1 year.
    * Bypass generating EARLIEST—DATE—ALLOWED on correction passes
    #  Month range for MFT—CD 13 with Reference Numbers 565, 613, 643, 644, 648, 650, 655, 656, 657, 661, 676, 677 is 01 through 12.
    #  MFT-CD 13 has to be calendar year with Reference Number 628.

  3. Correct as follows:

    1. Compare the document to the error register. Correct any transcription errors.

    2. If the tax period was transcribed correctly but the period was prior to the earliest valid tax period, reject using Action Code 3 for further research.

    3. If transcribed correctly but the tax period on the document is incorrect, reject with Action Code 3. (See IRM 3.12.21.4.2.8:(2) above.)

3.12.21.4.2.9  (01-01-2014)
Field 01–E—Date of Transfer (also known as "Transfer-In Date" (Validity Checks))

  1. The Date of Transfer is found in Item E (Section 01), Page 1, Form 3413.

  2. This is a eight-digit field which MUST be present and must be NUMERIC.

  3. It is edited in YYYYMMDD format. The month (fifth and sixth digits) must be 01–12 and the day (seventh and eighth digits) must be 01–31).

  4. On BMF documents—the date may not be later than the current date, earlier than the tax period beginning nor earlier than 1961–12–01.

  5. On IMF documents—the date may not be later than the current date, earlier than the tax period beginning nor earlier than 1962–12–01.

  6. On IRAF documents—the date may not be later than the current date, earlier than the tax period beginning date nor earlier than 1976–01–01.

  7. For all MFTs—the transfer in date cannot be earlier than the earliest date allowed for the individual MFT (see IRM 3.12.21.4.2.8 for table).

3.12.21.4.2.10  (01-01-2014)
Field 01—E—Date of Transfer (also known as "Transfer-In Date" ) (Correction Procedures)

  1. Compare the document with the register. Correct any transcription errors.

  2. If correct as transcribed, determine the valid date from Form 3413 or Form 3552 and enter the result in Field 01–E.

  3. If there is no date on the document, enter the same date as in Field 01–F (23C Date (Date of Assessment/Transaction Date)).

3.12.21.4.2.11  (01-01-2014)
Field 01–F—23-C Date of Assessment (also known as "Transaction Date" ) (Validity Checks)

  1. The 23 Date or Date of Assessment is found in Item F (Section 01), Page 1, Form 3413. It is located also under the Reference column (Line 30) of the Form 3552.

  2. This field is the 23C date of Field 01–G, Original Assessment Transaction Code.

  3. This field is a eight-digit field which must be numeric.

  4. It is edited in YYYYMMDD format. The month (fifth and sixth digits) must be 01–12 and the day (seventh and eighth digits) must be 01–31.

  5. The transaction date may not be later than the current processing date, not earlier than the tax period beginning date and not earlier than the earliest date valid for the master file and MFT being processed. (See table in IRM 3.12.21.4.2.8 for earliest date allowed by MFT.)

    1. BMF—cannot be earlier than 1961–12–01 (i.e., December 1, 1961).

    2. IMF—cannot be earlier than 1962–12–01 (i.e., December 1, 1962).

    3. IRAF—cannot be earlier than 1976–01–01 (i.e., January 1, 1976).

  6. For BMF only—the transaction date may be earlier than the tax period on the correction run for MFTs 51, 58, 60, 61, 62, 63 and 64. If the date is correct, enter Action Code 7 to clear the register. For other BMF MFT Codes, see correction procedures under IRM 3.12.21.4.2.12 .

  7. Both the transaction code and the transaction date must be present. If one is missing, Fields 01–F, 23-C Date of Assessment (Transaction Date), 01–G, Original Assessment Transaction Code, and 01–H, Original Assessment Transaction Amount, will appear invalid. (See Figure 3.12.21-18.)

    Figure 3.12.21-18

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

    Example Transaction Date, Transaction Code and Transaction Amount Appear Invalid When Missing

3.12.21.4.2.12  (01-01-2014)
Field 01—F—23-C Date of Assessment (also known as "Transaction Date" ) (Correction Procedures)

  1. Compare the document with the register. Correct any transcription errors.

  2. If BMF MFT Code is other than 51, 58, 60, 61, 62, 63 or 64, reject, using Action Code 3, and notate on Form 4227/Form 10886, "Trans. Date is prior to tax period" .

  3. If the date is correct as transcribed and Field 01–F is in error, determine the correct date or tax period. Enter the information on the register with Action Code 6.

  4. If the correct data cannot be determined, reject the register with Action Code 3. Attach Form 4227/10886 and notate "invalid or missing Assessment date" .

3.12.21.4.2.13  (01-01-2014)
Field 01–G—Original Assessment Transaction Code (or, "Transaction Code of Original Assessment" )

  1. The Original Assessment Transaction Code is found in Item G (Section 01), Page 1, Form 3413. It is located also under the TC (Transaction Code) column (Line 31) of the Form 3552.

  2. This field will appear invalid if it is not one of the codes shown in the appropriate chart Exhibit 3.12.21-5 through Exhibit 3.12.21-7.

  3. This field will appear invalid if it does not contain a Transaction Code that is valid for the doc code and MFT being processed.

    1. Compare the document with the register. Correct any transcription errors (NUMERIC).

      Note:

      The Original Assessment Transaction Code is found in Item G (Section 01), Page 1, Form 3413.

    2. If the document is correct as transcribed and a valid transaction code cannot be determined, reject the document with Action Code 3. Attach Form 4227/Form 10886 (Intra-SC Reject or Routing Slip) and notate "01-G invalid" .

  4. Fields 01–G and 01–H will appear invalid if there is an entry in Field 01–I and Field 01–H is blank. Enter the original transaction amount from Form 3413, in Field 01–H. If the amount cannot be determined, reject the document with Action Code 3.

  5. Fields 01–G and 01–J will both asterisk if there is an entry in Field 01–J, and Field 01–G is not 300. (Figure 3.12.21-19.) If Field 01G is other than 300, reject the document with Action Code 3. Attach Form 4227/10886 and notate "01-G not 300" .

    Figure 3.12.21-19

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

    Example Displaying Rejecting of the Document with Action Code 3 When Transaction Code is Other Than 300

  6. Field 01–G will asterisk if the MFT is 12, Field 40–H is present and the transaction code is other than 150. (See Figure 3.12.21-20.) Correct as follows:

    Figure 3.12.21-20

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

    Example of Errors Displaying Because MFT is 12, Field 40-H is Present and Transaction Code is Other Than 150

    1. Compare the register with the document. Correct any transcription errors.

    2. If the document is correct as transcribed, reject the record with Action Code 3. Attach Form 4227/Form 10886 and notate "TC 150 missing MFT 12 with Line 8 amount present."

  7. Field 01–G will appear invalid along with Fields 01–H, Original Assessment Transaction Amount, Field 01–M, Reference Number and Field 01–N, Reference Amount if the information contained in those fields does not match the information contained in the table below.

    MFT is 13 or 55*

    MFT-CD 01–M

    REFERENCE
    NUMBER
    01–N

    REFERENCE
    NUMBER AMT
    01–G

    TRANS CD
    SECTION 01
    01–H
    TRANS
    AMOUNT
    SECTION 01
    55 527, 528 Greater than 0 240 0
    55 Present (exclude 527, 528) Greater than 0 290 0
    13 Present Greater than 0 240 0
    13 Present (exclude 662, 663) Greater than 0 290 or 241 0
    55 Not Present 0 402 0 or positive
    13 Not Present 0 240 or 402 0 or positive
    13 Not Present 0 241 0 or negative

    MFT is 02, 05, 51, 52, 30, 31

    01–M

    REFERENCE
    NUMBER
    01–N

    REFERENCE
    NUMBER AMT
    01–G

    TRANS CD
    SECTION 01
    01–H
    TRANS
    AMOUNT
    SECTION 01
    Present greater than 290 Positive or 0
    (not blank) 0    
    Present greater than 300 Positive or 0
    (not blank) 0    
    * MFTs 13 or 55: If Fields 01–M and 01–N are present, there must be a TC 290 in Field 01–G and NO amount in Field 01–H.
    ** MFTs 02, 05, 30, 31, 51, or 52: If Fields 01–M and 01–N are present, there must be either a TC 290 in Field 01–G and NO amount in Field 01–H, or a TC 300 in Field 01–G with or without an amount in Field 01–H.

    1. Compare the document with the register. Correct any transcription errors.

    2. If the document is correct as transcribed, reject the record with Action Code 3.

  8. Fields 01–G and 01–H will appear invalid if the transaction code is 150, the transaction amount is greater than 0 (zero), and the MFT is 06, 36, 37 (with a tax period later than 198711), or 67. Reject the register with Action Code 3. Attach Form 4227/Form 10886, notating, "Transaction Code 150 transaction amount greater than 0" (zero).

3.12.21.4.2.14  (01-01-2014)
Field 01–H—Original Assessment Transaction Amount (or, "Transaction Amount" )

  1. The Original Assessment Transaction Amount is found in Item H (Section 01), Page 1, Form 3413. It is located also under the Assessment column (Line 32) of the Form 3552.

  2. This field must be all numeric.

  3. The sign of this field must be compatible with Field 01–G (Transaction Code). See Exhibit 3.12.21–5 through Exhibit 3.12.21–7 for the valid debit and credit transaction codes.

  4. If there is an entry in Field 01–H, there must be an entry in Field 01–G.

  5. This field cannot be signed negative unless Field 01–G contains TC 430. TC 430 is only valid for IMF, MFT 30, Doc Code 52.

  6. Fields 01–G and 01–H will appear invalid if the transaction code is 150, the transaction amount is greater than 0 (zero), and the MFT is 06, 36, 37 (with a tax period later than 198711), or 67. Reject the register with Action Code 3. Attach Form 4227/Form 10886, notating, "Transaction Code 150 transaction amount greater than 0" (zero).

3.12.21.4.2.15  (01-01-2014)
Field 01–I—Transfer-in Amount (also known as "Balance Transferred-In" or "Primary-Trans-PJ (prejournalized) - Amount" )

  1. The Transfer-In Amount is found in Item I (Section 01), Page 1, Form 3413.

  2. This field must contain all numerics.

  3. This field cannot be changed. If there is a transcription error in the money amount, reject the document with Action Code 3 to be reinput.

  4. If the Doc Code is 51, Field 01–I must be a debit (signed positive) or zero.

  5. If the Doc Code is 52, Field 01–I must be zero.

  6. If Field 01–I underprints, see IRM 3.12.21.12.1.

3.12.21.4.2.16  (01-01-2014)
Field 01–J—Agreement Date (also known as, "870 Agreement Date" )—DOC Code 51 only

  1. The Agreement Date is found in Item J (Section 01), Page 1, Form 3413. It is located on Line 23 of the Form 3552 (it is displayed as the "870 Agreement Date" ).

  2. This field is invalid with Doc Code 52.

  3. This date is entered from Form 3552 and Form 3413 (Doc Code 51 only) to provide the master file with the correct interest computation date.

  4. This date must be in YYYYMMDD format. The month (fifth and sixth digits) must be 01–12 and the day (seventh and eighth digits) must be 01–31.

  5. The date may not be later than the current processing date or earlier than the following dates:

    1. 1970–01–01 (i.e., January 1, 1970) for IMF and BMF on initial input or 1962–01–01 (i.e., January 1, 1962) for BMF and 1962–12–01 (i.e., December 1, 1962) for IMF on error correction run.

    2. 1976–01–01 (i.e., January 1, 1976) for IRAF on both initial input and error correction run.

  6. If an invalid 870 date is present on Form 3552 and a valid date is not available from the attachments, reject the document using Action Code 3 and notate on Form 4227/Form 10886, "invalid 870 date" .

  7. If an agreement date is present in Field 01–J, then Field 01-G must have a TC 300, 304 or 308. If Field 01-G is other than TC 300, 304 or 308 remove the agreement date in Field 01-J.

3.12.21.4.2.17  (01-01-2014)
Field 01–K—TIN Type

  1. This field must contain a "0" (Zero) when the MFT, (Field 01–C) is 58, 78, 76 and TIN, (Field 01-B), is SSN. In all other cases, leave blank.

    Note:

    If incorrect or missing, compare against the TIN Type found in Item B (Section 01), Page 1 ("EIN or SSN & TIN Type" ), Form 3413) and correct Field 01-K.

  2. If MFT is 29, 30, 31, 51, 52 or 55 then TIN Type should be "0" (SSN).

  3. If MFT is 17, 58, 76 or 78 TIN Type can be either "0" for (SSN) or Blank for (EIN).

  4. Delete entry Field 01-K if invalid.

3.12.21.4.2.18  (01-01-2014)
Field 01–L—Correspondence Received Date

  1. The Correspondence Received Date is found in Item K (Section 01), Page 1, Form 3413. It is located on Line 24 of the Form 3552.

  2. The Correspondence Received Date must be in YYYYMMDD format and must be all numeric. It may not be later than the current processing date nor earlier than 1962–12–01 (December 1, 1962) for IMF, 1961–12–01 (December 1, 1961) for BMF, or 1976–01–01 (January 1, 1976) for IRAF. It cannot be earlier than the earliest date allowed.

  3. If the date was transcribed incorrectly, correct using Action Code 6.

  4. If a valid correspondence received date cannot be located, reject the document with Action Code 3 and notate on Form 4227/Form 10886, "invalid correspondence received date and delete Field 01-L" .

3.12.21.4.2.19  (01-01-2014)
Fields 01–M and 01–N—Reference Number and Reference Number Amount

  1. This data is necessary to allow the automatic transfer of certain civil penalties, using Doc Code 51 or 52 into MFTs 02, 05, 13, 30, 31, 51, 52, and 55.

    Note:

    The Reference Number and Reference Number Amount are found under Item M and Item N (Section 01), respectively, Page 1, Form 3413.

  2. Fields 01–M and 01–N are invalid for IRAF (MFT 29). If present, reject the document with Action Code 3. Notate the Form 4227/Form 10886, "Reference Number and amount not valid on IRAF."

  3. Instructions: If there is a Reference Number (01–M), there must be an amount in (01–N). If either is present they must both be present. These Fields are not valid for IRAF (MFT 29).

  4. IMF (MFT 55) or BMF (MFT 13) with TC 402 is not valid with Fields 01–M and 01–N.

  5. The original 01-N is a positive number. If correction is made on 01-N, it can be a negative number.

  6. Field 01M, Reference Number, if present, must be a three-digit numeric. See the table below for valid MFTs and Reference Numbers.

    MFT–AND REFERENCE–NUM–TABLE

    REFERENCE–NUM MFT–CD DOC–CD
    074 01, 11, 14 51, 52
    198 12 51, 52
    290 01, 11, 14 51, 52
    292 through 295 46 51
    330 through 333 08 51, 52
    324, 346, 350 40 51, 52
    352 through 357 40 51, 52
    359 through 363 40 51, 52
    369 40 51. 52
    375 through 377 40 51, 52
    391 13, 55 51, 52
    411 13, 55 51, 52
    438 03 51, 52
    500 through 510 13, 55 51
    511 13, 55 51, 52
    512 through 518 13, 55 51
    520 through 526 13, 55 51
    527 through 528 55 51, 52
    530 13, 55 51, 52
    547 through 548 13, 55 51
    549, 550 13, 55 51, 52
    551 13, 55 51, 52
    559 through 562 13, 55 51, 52
    599 13, 55 51, 52
    600 through 657 13, 55 51
    627 55 52
    658 13 51, 52
    658 through 660 55 51
    661 13, 55 51
    662 through 663 13 51, 52
    662 through 673 55 51
    674 through 677 13, 55 51
    678 *** 13 51
    680 01 through 05, 07, 09 through 12, 14, 16, 30, 31, 33, 34, 37, 44, 50, 51, 52, 60, 63, 64, 77, 78 51, 52
    681 02, 05, 30, 31, 51, 52 51, 52
    682 51, 52 51, 52
    683 02, 03, 05, 06, 07, 30, 31, 34, 51, 52, 55 51, 52
    685 02, 30, 31 51, 52
    686 * 01 through 05, 07, 09 through 12, 14, 16, 30, 31, 33, 34, 37, 44, 50, 51, 52, 60, 63, 64, 77, 78 51, 52
    687 30 51
    689 ** 37, 44, 46, 67, 85, 86 51
    711 13, 55 51, 52
    780, 781 ALL 51, 52
    870, 871, 872 37 51/52

    The original O1-N is a Positive Number. If a correction is made on O1-N, it can be a negative.
    *DOC Code 52 will be valid for Reference Number 686 for 200101 processing.
    ** Reference Number 689 valid only with TC 240
    If Field 01–M is 680, 681, 682, 685, 686, or 689, then Field 01–G must contain either TC—290, 294, 298, 300, 304, or TC-291, 295, 299, 301, or 309 must appear in the appropriate TC field in Sections in the appr 02–19.(TC 291, 295, 299, 301 or 309. May appear in Section 02–19 but are not required. Their associated Transaction Amounts must be negative).
    If not, Field 01–D, Field 01–M, Field 01–N or the appropriate TC and Amount Fields in Sections 02–19 will appear invalid.
    ***Reference Code 678 is valid for calendar year Tax Periods 198512 and subsequent. It must be month 12. It is invalid for amounts greater than $50,000. If any of these requirements are not met, Fields 01–D, 01–M and 01–N will appear invalid.

    Note:

    This table matches the MFT/REF-NUM/TAX-PRD CONSISTENCY TABLE FOR DP-ADJUSTMENTS (FSP NO.: 1.05.19.01).

  7. If there is either a reference number or amount, there must be both. Field 01–N, Reference Amount, is a numeric not to exceed 13 digits. If there is a reference number present and no reference amount, search the document and attachments for a valid reference amount.

    1. If one is found, enter it in Field 01–N.

    2. If a valid reference amount cannot be found, reject the document with Action Code 3. Notate on Form 4227/Form 10886, "Reference Amount missing" .

  8. If there is a reference amount present and no reference number, search the document and attachments for a valid reference number.

    1. If one is found, enter it in Field 01–M.

    2. If one is not found, use the table above to determine the correct reference number and enter in Field 01–M.

    3. If you can not readily determine the correct reference number, use your local procedures to correct the problem.

3.12.21.4.2.20  (01-01-2014)
Field 01–0—2% Interest Date

  1. The 2% Interest Date is not valid for MFTs 29, 30, and 55.

    Note:

    The 2% Interest Date is found in Item L (Section 01), Page 1, Form 3413. It is located on Line 21 of the Form 3552.

  2. The 2% Interest Date is not a required field.

  3. If the 2% Interest Date is present on Form 3552, TC 340 (Section 02 through 16) and the Interest-To-Date (Field 01–P) must also be present. If the required fields are not present, reject the register using Action Code 3. Attach Form 4227/Form 10886, notating, "interest-to date missing" .

  4. The 2% Interest Date must be numeric and in YYYYMMDD format.

  5. The 2% Interest Date may not be earlier than 1991–01–01 (i.e., January 1, 1991), nor may it be later than the current processing date.

  6. TC 340/341 must be present for Sections 30 through 33.

    1. If the date was transcribed incorrectly, correct using Action Code 6.

    2. If the correct 2% Interest date cannot be determined, reject, using Action Code 3. Attach Form 4227/Form 10886, notating, "2% interest to date cannot be determined" .

  7. See IRM 3.12.21.4.2.23 for additional information regarding validity checks and if Large Corporate Underpayment (LCU) interest (i.e., additional 2% interest) is applicable.

3.12.21.4.2.21  (01-01-2014)
Field 01–P—Interest-To-Date (Form 3552 only)

  1. The Interest-to-Date is located on Line 20 of the Form 3552.

  2. Only one Interest-To-Date can be present.

  3. This field must be all numeric and in YYYYMMDD format.

  4. Month must be in the range of 1 through 12.

  5. Month/Day configuration must be valid in the Month-Day-Table.

  6. If the date is not valid or it has been transcribed incorrectly, correct with Action Code 6.

  7. If the date is not valid and it has been transcribed correctly, reject, using Action Code 3. Attach Form 4227/Form 10886, notating, "interest-to date is not valid" .

  8. See IRM 3.12.21.4.2.23 for additional information regarding validity checks and Interest-to-Date.

3.12.21.4.2.22  (01-01-2014)
Field 01–Q—Interest Computation Date (Form 3552) BMF/IMF

  1. The Interest Computation Date is located on Line 22 of the Form 3552.

  2. If an Interest Computation Date is present, one of the following Transaction Codes (TCs) 294, 295, 298, 304, 308, and/or 309 must be present. Only one transaction must be present with the following exceptions.

    1. A TC 294 or TC 298 can be present with or without TC 290. If any other TC is present with TC 290, Field 01–Q will asterisk.

    2. A TC 304 or TC 308 can be present with or without TC 300. If any other TC is present with TC 300, Field 01–Q will asterisk.

  3. Transaction codes may appear in Field 01–G or in Sections 02 through 19.

  4. Invalid Conditions:

    Note:

    Not valid for IRAF (MFT 29).

    1. If the Interest Computation Date (Field 01–Q) is present, but none of these transaction codes is present, Field 01–Q will asterisk (set to "error" ).

    2. If the Interest Computation Date (Field 01–Q) is present, and more than one of these transaction codes is present, Field 01–Q and all corresponding transaction code fields will asterisk.

    3. If the Interest Computation Date is present with either a TC 294 or 298, and more than one TC 290 or any TC 300 is present in Section 01–19, Field 01–Q and all corresponding transaction codes will asterisk.

    4. If the Interest Computation Date is present with either a TC 304 or 308, and more than one TC 300 or any TC 290 is present in Section 01–19, Field 01–Q and all corresponding transaction codes will asterisk.

    5. If the Interest Computation Date (Field 01–Q) contains NO entry, and any Transaction Code (294, 295, 298, 299, 304, 308, or 309) is present in Sections 01–19, Field 01–Q and all corresponding transaction codes will asterisk.

  5. Correction Procedures:

    1. Compare the document and the register.

    2. If the date is invalid and/or was transcribed incorrectly, correct with Action Code 6.

    3. If the date is transcribed correctly, verify that a valid transaction code was entered.
      If the document was correctly transcribed, reject the record with Action Code 3. Attach Form 4227/Form 10886, notating, "Comp date or Trans code invalid" .

  6. See IRM 3.12.21.4.2.23 below for additional information regarding validity checks and the Interest Computation Date. Also refer to correction procedures in IRM 3.12.21.5.2.2 (Section 02–19—Fields B, E, and H—Transaction Codes).

3.12.21.4.2.23  (01-01-2014)
Field Validity - Interest Computation Date, Interest-to-Date and 2% Interest Date

  1. Each of these fields must be all numeric and in YYYYMMDD format. Except for MFT 52, the Interest Computation Dates are invalid when the Year of the Interest to Date or Interest Computation Date is earlier than the Year of the Tax Period or later than the Year of the Process Date. (For MFT 52 Only, the Interest-to-Date and Interest-Computation-Date are invalid when Date is after the Process Date, or Date is before December 1, 1961 (12/01/1961).)

  2. The MM must be 01 through 12. The DD must be 01 through 31. If the month is February, then numerics 30 and 31 are invalid. If the additional 2% interest rate applies, the 2% "Interest Date" must be present with Field 01–Q.

    Note:

    The 2% "Interest Date" is entered only if Large Corporate Underpayment (LCU) interest (i.e., additional 2% interest) is applicable.

3.12.21.4.2.24  (01-01-2014)
Field 01–R, Plan/Report Number (MFT 46/74/76/85/86 ONLY) (also known as "Report Number" ) (BMF Only)

  1. The Plan/Report Number can only be present with MFT Code 46, 74, 76, 85, or 86 and vice versa. This applies to BMF only. If the MFT is not 46, 74, 76, 85, or 86, Field 01–R and Field 01-C (Master File Tax Account (MFT) Code) will asterisk.

    Note:

    The Plan/Report Number is found in Item R (Section 01), Page 1, Form 3413. It is located in the upper right portion of the Form 3552, beneath the Name Control, Taxpayer Identification Number, and Form Number information.

  2. If the Plan/Report Number is present, but the MFT is not 46, 74, 76, 85, or 86, Field 01–R and Field 01-C (Master File Tax Account (MFT) Code) will asterisk.

  3. The MFT 46, 85, or 86 Plan/Report Number must not be in the range of 001-199, 200-299, 400–499, 600–699, 800–899; and for the MFT Code 74 the report must not be in the range of 100-199, 300-399, 500-599, 700-799, 900-999.

  4. The MFT 76 Plan/Report Number must not be in the range 000-999.

3.12.21.4.2.25  (01-01-2014)
Field 01-S, Excess Fringe Benefit Year (also known as "Excess Fringe Benefit-Date" ) (BMF ONLY)

  1. The Excess Fringe Benefit Year is found in Item U (Section 01), Page 1, Form 3413. This is also located on Line 25 ("Excess Fringe Benefit-Date" ) of Form 3552.

  2. The following EXCESS-FRINGE-BENEFIT-Date field, if present, should be validated in the following order.

    1. Valid for BMF Only.

    2. MFT-CD must be 76.

    3. Excess-FRINGE-BENEFIT-DATE must be numeric and in the range 1 through 12.

    4. Month/Day configuration must be valid in the Month-Day-Table.

    5. If EXCESS-FRINGE-BENEFIT-DATE is before 01/01/1969 or is after the process date, it will be invalid.

  3. If the EXCESS-FRINGE-BENEFIT-Date is not present, but the Abstract Number 201 is in Section 36 through 39, Transaction Code 150 is in Section 01 through 15, Master File System Code is 2 (BMF), the Format Code equals Form 3552 (i.e., "325" , "326" , or "347" ) and MFT equals 76, Field 01-S will appear invalid.

3.12.21.4.2.26  (01-01-2014)
Field 01-T, REVERSION DATE/DATE OF TRANSFER (Valid for BMF Only)

  1. The Reversion Date is found in Item O (Section 01), Page 1, Form 3413. It is located on Line 26 ("Reversion Date" ) of the Form 3552.

  2. The following Reversion Date/Date of Transfer field, if present should be validated in the following order.

    1. Valid for BMF Only.

    2. MFT-CD must be 76 or 17 date of transfer.

    3. REVERSION-DATE/DATE OF TRANSFER must be numeric.

    4. Month of REVERSION-DATE/DATE OF TRANSFER must be in the range of 1 through 12.

    5. Month/day configuration must be in the MONTH-DAY-TABLE.

    6. If MFT 76 REVERSION-DATE cannot be before 12/31/1984 (i.e., December 31, 1984).

    7. If MFT 17 DATE OF TRANSFER cannot be before 12/31/2005 (i.e., December 31, 2005).

  3. If the Reversion Date is present, but the Abstract Number 204 is in Section 36 through 39, Transaction Code 150 is in Section 01 through 15, Master File System Code is 2 (BMF), the Format Code equals Form 3552 (i.e., "325" , "326" , or "347" ) and MFT equals 76, Field 01-T will appear invalid.

3.12.21.4.2.27  (01-01-2014)
Field 01-U, PLAN-YEAR-ENDING DATE (Valid for BMF Only)

  1. The Plan Year Ending Date is found in Item S (Section 01), Page 1, Form 3413. It is located on Line 27 ("Plan Year Ending" ) of the Form 3552.

  2. The following PLAN-YEAR-ENDING field, if present should be validated in the following order.

    1. Valid for BMF Only.

    2. MFT-CD must be 76 or 74.

    3. PLAN-YEAR-ENDING must be numeric.

    4. Month of PLAN-YEAR-ENDING is in the range of 1 through 12.

    5. PLAN-YEAR-ENDING is not before 198412 (i.e., December 1984) for MFT 76 and is not before 199101 (i.e., January 1991) for MFT 74.

  3. If the Plan Year Ending Date is present, but the Abstract Number is (either) 163, or 226, or 205 in Section 36 through 39, and Transaction Code 150 is in Section 01 through 15, and Master File System Code is 2 (BMF), and the Format Code equals Form 3552 (i.e., "325" , "326" , or "347" ) and MFT equals 76, Field 01-U will appear invalid.

3.12.21.4.2.28  (01-01-2014)
Field 01-V, 4980 F-AMENDMENT-DT (Valid for BMF Only)

  1. The 4980F Amendment Date is found in Item V (Section 01), Page 1, Form 3413. It is located on Line 28 ("4890F Amendment Date" ) of the Form 3552.

  2. The following 4980 F-AMENDMENT-DT field, if present should be validated in the following order.

    1. Valid for BMF - MFT-CD must be 76.

    2. 4980 F-AMENDMENT-DT must be numeric.

    3. Month of 4980 F-AMENDMENT-DT must be in the range of 1 through 12.

    4. Month/day configuration must be in the MONTH-DAY-TABLE.

    5. If 4980 F-AMENDMENT-DT is not before 12/31/1984 (i.e., December 31, 1984).

  3. If the 4980F Amendment Date is present, but the Abstract Number is 228 in Section 36 through 39, and Transaction Code 150 is in Section 01 through 15, and Master File System Code is 2 (BMF), and the Format Code equals Form 3552 (i.e., "325" , "326" , or "347" ), and MFT equals 76, Field 01-V will appear invalid.


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