Background -

Key Points - All IRS employees in the campus, national or area office who communicate by telephone, correspondence or face to face with taxpayers or their personal representatives on tax related matters are required to provide (at a minimum) the following information:

Correspondence - All correspondence must include a telephone number the taxpayer can call to have questions answered.

Office of Management and Budget (OMB) Codes are not required when issuing a letter to the taxpayer per 5 CFR 1320.3 (h) (6).

The IDRS numbers are automatically generated for the Correspondex letter system. If another letter system is used, the unique IDRS number must be used.

Faxes to taxpayers on tax related matters, are considered manually-generated correspondence and must include the required information. See IRM 11.3.1 for Disclosure requirements on faxing.

Correspondence, whether sent directly to the taxpayer or to the taxpayer's personal representative, must contain: the nature of the taxpayer's inquiry and our actions taken.

When sending a correspondex letter and Receipt and Control Operation was not required to date stamp the return, determine the received date using the following priorities:

When a taxpayer insists on speaking with a specific employee who previously processed their inquiry or request, or complains about the level of service previously provided, every attempt will be made to resolve the taxpayer's inquiry. If the issue cannot be resolved, the Entity Tax Examiner will refer the inquiry using established procedures to his or her manager.

An Entity phone number must be provided in letters regarding Entity specific forms. When returning incomplete documents to the taxpayer, an Entity phone number must be used unless an Entity Check Box Letter (6800sce or 6801sce) is used. The BMF Toll Free Number (1-800-829-0115) may be provided in general BMF correspondence letters. If the 6800sce or 6801sce are used, input a history item on CC ENMOD that reflects the letter sent on the first line and the document returned on the second line. The number of characters allowed on each line of a history item are limited therefore keep each line under eight characters. For example:

6800SCE
W2553

or

6801SCE
4UNDEL

Before writing the taxpayer, examine the case completely so that all of the issues/conditions can be included in the same correspondence. If additional information is needed, the second correspondence must include a paragraph of apology for any inconvenience.

Before returning a document to the taxpayer for completion, a blue "X" will be placed over all IRS received dates. This will ensure the validity of the received date if/when the taxpayer responds.

If there is an election on record and the taxpayer erroneously submits another document (Form 8832, Form 2553, Form 1128, etc.), prepare the document for destruction per local procedures. Do not return the document to the taxpayer.

Entity may be contacted by internal customers (other IRS employees) for assistance with Entity issues. For example, assigning EINs, correcting effective dates, updating Entity information on an account, etc. Ask them to fax you any pertinent data so you can service their request. Take an In and Out count for each EIN that received Entity action. Below are some examples of requests received from internal customers:

Letters generated by Submission Processing must be approved by Headquarters when they are intended for dissemination to 10 or more persons. These letters are numbered in accordance with IRM 1.17.1 and IRM 1.17.2, Printing and Publication. Form letters, pattern letters, and pattern paragraphs are prescribed by Headquarters for use in service centers. DO NOT make changes to text format, date of issue (or revision), or physical characteristics of these letters and paragraphs without prior Headquarters approval. In addition, Quick Notes that are computer generated must be forwarded to Headquarters for approval. Submit requests for new letters using Form 1767, Publishing Services Requisition, following procedures outlined in IRM 1.17.1 and 1.17.2. For minor changes or additions to current letters, follow procedures in IRM 3.0.275, Business Results Measures for Submission Processing Functions.

The National Taxpayer Advocate and the Commissioner, W&I Division have reached an agreement outlining the procedures and responsibilities for processing Taxpayer Advocate Service (TAS) casework when either the statutory or delegated authority to complete a case transaction rests with the W&I Division. The Service Level Agreements (SLAs) can be found under "TAS Favorites" at TAS' web site: http://tas.web.irs.gov/

In preparation for a case being referred to a W&I Division function, the
TAS employee is responsible for:

W&I Division is responsible for:

BMF Entity TEs will be responsible for:

For additional information see IRM 13.1.19, Taxpayer Advocate Case Procedures - TAS Operations Assistance Request (OAR) Process.

When an official disaster is declared due to natural events, military, or terroristic action, the Federal Emergency Management Agency (FEMA) releases a memo detailing the type of assistance taxpayers will receive.

The memo also lists the zip codes affected by the disaster. Disaster Code "-S" freeze will be automatically applied to the Master File accounts of taxpayers located in the IRS Designated Disaster Area for automatic filing and payment relief. The list of designated disaster areas identified for "-S" freeze action has been provided to MITS and will be posted to http://www.tris.irs.gov/fema/.

This information is also posted to the SERP homepage in the grey column on the left side of the window:
http://serp.enterprise.irs.gov/databases/irm-sup.dr/disaster.dr/disaster-toc.htm

Generally, 60 additional days are granted to taxpayers affected by disasters.

Affected taxpayers who reside or have businesses located outside the designated disaster area must call the IRS disaster toll free number, 1-866-562-5227, to self-identify for disaster relief.

IRC Sections 7508 and 7508A govern the events that may be postponed due to the declaration of a Designated Disaster Area.

The following are basic procedures for all cases processed in Submission Processing BMF Entity:

Various colors of ink are used by Entity TEs. See chart below.

Throughout this IRM the words expeditious treatment/treated expeditiously are used. This means the case will be processed immediately upon assignment. You will put your other cases aside and give this case expeditious treatment. Batches labeled expedite are low in volume. Once finished with the expedite work, the cases that were put aside will be processed.

Providing instructions that will cover all combinations of changes that might appear on a given case is not possible. Therefore, where procedures are given for a specific situation (for example, name change) and the case also needs other actions, make all changes necessary to perfect the account. This includes perfecting effective dates and FYMs.

Anytime an Entity Tax Examiner discovers a return or payment posted incorrectly, they must route a Form 3465, Adjustment Request, to AM/Adjustments to have the return/payment moved and posted correctly.

Returns, forms, correspondence and direction from the taxpayer regarding their account will be accepted according to the terms of prima facie, otherwise, upon first examination the matter appears to be self-evident.

It may become necessary for Entity TEs to create Dummy documents for use as source documents for the input of certain transactions: TC 053, TC 054, TC 055, TC 076, TC 090, TC 094, TC 098 etc. To create and process a Dummy document you will:

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Whenever feasible, Entity Tax Examiners will initiate telephone contact with the taxpayer before returning an incomplete document to them. When returning incomplete documents to the taxpayer, all internal documents must be removed from the enclosure and the IRS received dates will be X'd out in blue ink.

If a request is received requesting copies of documents via correspondence, Form 4506, Form 4506T, etc., Ogden Entity Department will forward the request to the Return And Income Verification Services (RAIVS) Team, mail stop 6734. Cincinnati Entity Department will forward the request to the RAIVS Team mail stop 2800F.

If you are processing a case and the taxpayer requests a photocopy of his Entity related form (Form 2553, Form 8716, Form 1128, etc.), use CC ESTAB to retrieve the document from Files. Once received, make a photocopy and write the word "COPY" on the document. Include the photocopy in a 1275C to the taxpayer. If you are not processing a case, correspond with the taxpayer informing him of Form 4506, Request for Copy of Tax Return. Inform the taxpayer that a fee is required.

Correspondence Imaging System (CIS) is an inventory system for scanning all documents received in Accounts Management (AM) and creating digital images of the documents/correspondence. AM processes their cases from these images. The original documents are not retained.

GUF reports 55-40 and 55–47 will be monitored for the erroneous creation of unpostables by Entity TEs. This report will be processed weekly as there may be unpostable transactions awaiting an Entity correction. See IRM 3.12.32 and IRM 3.12.279 . This report is available on Control D.

Report CCA 42-43 will be monitored for IDRS open control bases created by the auto closure of certain unpostables. This report must be processed weekly to ensure all accounts touched by Entity reflect correct information, including FRCs and FYMs. This report is available on Control D.

To view tax returns electronically filed on Modernized e-file (MeF), users must first request access to the Employee User Portal (EUP).

When corresponding with the taxpayer, use the appropriate letter that accurately addresses the taxpayer's situation and always use the selective paragraphs that are available in the correspondex letters before using open paragraphs. For example, do not use a 385C to inform the taxpayer of their valid EIN or denied/rejected election. Do not use a 147C on any election issues.

When using CC LETER, you must determine the taxpayer's correct address.

If the 6800sce/6801sce contains all of the appropriate language for a scenario, they may be used in lieu of a letter specified in this IRM.

When processing cases it may become necessary to photocopy a document. Whenever a photocopy is made, the word copy will be entered on the document by either a watermark or manual editing.

Trust and Partnership EINs beginning with prefixes 20, 26, 27,45, 46 and 47, will reflect the first four characters of the primary name as the name control. Entity TEs will not alter the name control of these EINs because employees in the pipeline understand the different name control procedures for Mod IEIN. Other EIN prefixes will be name controlled by the historical method: the first four characters of the first last name if the entity is owned by individuals, Corporate trusts are name controlled as corporations. For example, do not change the name control of an EIN beginning with 27 because it does not match historical Submission Processing name control procedures. However, if you identify an EIN with prefixes 20, 26, or 27 that has previously been changed to match SP historical procedures, input TC 013 to make the name control match the procedures for these prefixes.

Entity TEs are not responsible for deleting duplicate entity information (primary name and sort name and/or mailing address and location address unless they are going into the account to make another entity change. If both fields are duplicated on IDRS, Entity TEs will remove the duplicate information in both fields.

Many types of entities are required to register with the Secretary of State's office in their state of origin. This is not always the physical location of the business. Entity will research the internet web sites of Secretary of State's offices as needed to learn the history of the business, owners, status with the state, etc.

If the primary name line and the care of name line are identical, input of the care of name line is not required.

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Due to new programming in Exempt Organizations (EO), there are substantially more EINs reflecting an EO submodule. Many of these EINs are in a "bad" status. An entity is considered BMF, not EO, if it is in status 19, 22, 41, 70, 71, 72, 97, 98, or 99. Any document received for this type of taxpayer should be worked by BMF TEs.

Cases involving EO taxpayers should only be processed at Ogden Submission Processing Center. An entity in status 01 or any status other than shown in (25), is considered EO and should be transhipped to Ogden Entity.

When entering a non source document transaction into IDRS, the Remarks field of CC BNCHG/INCHG will contain a description of the type of case being processed. For example, if changing a name from a notice, enter the notice number in the Remarks field.

If a document needs to be associated with an e-filed return, a refile DLN needs to be created so documents can be attached to the electronically filed return's DLN. Attach IDRS document input tag (Form 12773 BMF ADJ54 Adjustment Format) to each E-file/MeF reply and complete with:

Input TC 290 on IDRS to generate a refile DLN to the Files area which is used to attach the reply.

Use the following blocking series:

Complete routing form (for example, OSPC Form 261-A) and send to Files within 5 days of input.
Reminder : Form 6502 must have the IDRS input date and entire employee IDRS number.

See IRM 2.4.16.

Incoming mail and cases are either delivered to the Entity Clerical Support area or picked up by an Entity designee from the appropriate area(s) on a daily basis.

If Entity receives taxpayer replies for other functional areas, verify the IDRS number located in the "In reply refer to:" area of any IRS generated letter. If the IDRS number does not belong to an Entity employee, do not batch it. Route it to the appropriate functional area without delay.

The time frames for processing BMF Entity inventory start from the IRS received date unless otherwise specified. See IRM 3.30.123.

If it is discovered that documents were batched under an incorrect category, the batch may be re-batched to the correct category, but only during the week the batch was created.

In some circumstances, cases need to be routed to a more experienced Tax Examiner for resolution. Batching clerks will adjust the volume of the original batch and immediately re-assign the remaining documents.

In order to meet the program completion date, all BMF returns must be processed according to the required time frames.

The time frame for all returns and documents that are received via transshipment, must be given an additional 5 processing days, however this additional time cannot be granted if the BMF return is in jeopardy of exceeding the program completion date.

The time frame for processing Form 4442, Inquiry Referral, is 20 days. If the Form 4442 is for a government contractor, this case must be processed immediately. Do not wait 20 days. The Form 4442 for government contractors can be identified by the following: "Expedite Government Contractor " .

If it is determined that an item meets the criteria of several categories, it will be sorted according to the most technical category that applies. An example is BMF correspondence other than an address change. If the correspondence clearly gives information concerning a Form 2553 problem, categorize this item for a twenty day time frame.

Batch sizes are based on a theory of volume. The largest volumes received by Submission Processing Entity are Forms 2553. All entity cases are to be processed within a time frame based on IRS received date; all inventory must be batched by the end of each day (or whatever time the Campus designates as end of day). Therefore, batching documents late in the day (most likely) will not meet maximum batch size. Other circumstances may dictate that batch sizes be smaller than prescribed.

It is important to be able to readily identify types of documents and the processing time frame without having to look at each individual batch. One way of achieving this is to use colored folders for the batches of documents.

There are certain types of cases that are generally not delivered to Submission Processing Entity through mail. They are hand carried to the manager or a designee. It is the responsibility of the manager or designee to batch these cases with the appropriate processing time frames.

BMF Entity TEs will process all IMF address changes/Forms 8822 received. However, any other IMF program should be transhipped. Ogden should fax to Fresno at 559-456-5080 and Cincinnati should fax to Kansas City at 816-292-6181.

To ensure Files Department operates as efficiently as possible, there are certain actions every Files customer should take and Entity Control Team will:

Form 9856, Form 10023-B, or an IDRS print with pertinent data highlighted (EIN, name control, date of input/tax period, the DLN receiving the attachment) may be used to associate documents with returns/forms already stored in Files. If an IDRS print is used, type the word "Attachment" on the IDRS screen before printing. After printing, highlight the word "Attachment" in addition to other pertinent data.

If any documents are received in Files and considered "unservicable" , it will be returned to originator for correction. See IRM 3.5.61.

The Customer Account Data Engine (CADE) Version 2 Program Office in Headquarters is charged with the primary goal to implement a single, modernized programming solution to IDRS which provides daily process of taxpayer accounts. The CADE Master File as it existed from 2004 - 2011 was retired in cycle 201152.

The CADE 2 solution is comprised of several components to modernize the IRS to a daily processing environment with several Transition States.

With CADE 2 there will be changes to campus posting cycles which will begin with cycle 201201. The new BMF campus cycles are:

BMF transaction posting time frames are outlined as follows:

Cycle posting dates will reflect a format of YYYYCCDD.

For IMF transactions, the values for DD are as follows:

BMF posting cycles on CC BMFOL will continue to reflect YYYYCC.

BMF posting cycles in CC TXMOD will reflect a format of YYYYYCCDD. The value for DD will be 08.

Corporations are registered with the Secretary of State's office in the state of incorporation. The internet web sites of these offices will be used to verify corporation information such as:

Suffixes such as P.A. (Professional Association), P.C. (Professional Corporation), and INC. (Incorporated), indicate a Corporate entity.

Omit the word "The" when followed by more than one word.

Include "The" in the name control when it is followed by only one word.

Do not abbreviate or change "and" to "&" unless the taxpayer requests it. The Corporation receives its' charter from the state exactly as shown by the taxpayer and this is the way the account will be established.

Corporations have their business/trade name/Doing Business As (DBA), if different from true name, in the sort name field. CC ESIGN will not allow a primary name line and sort name line to be identical.

The name control for a corporation is the first four significant characters of the corporation's name.

Corporate name control rules apply if an individual name contains the abbreviations PC (Professional Corporation), SC (Small Corporation), PA (Professional Association), PS (Professional Service), or PSC (Personal Service Corporation).

When the organization name contains the words "Fund" or "Foundation" , corporate name control rules apply. See IRM 3.13.12.
For example, Kathryn Canary Memorial Foundation.

When an individual name and a corporate name appear, the name control is the first four letters of the corporation name. This is most often seen on employment returns, Form 94X family.
Barbara J. Zinnia
ZZ Grain, Inc. Input name control as ZZGR

The information for inputting corporation names is derived from the following:

Non Profit corporations are also registered with the Secretary of State's office in the state of incorporation. An organization is not considered non profit until they have received a formal exemption letter.

Specific information for identification will be input as a sort name or continuation of the primary name. This information would be Local #, Area #, Unit #, School name, Governmental division, etc.

For non profit organizations use the following rules for determining name control:

Corporations will file Form 1120 family returns. See IRM 3.13.2.7.5.

Corporations may also file Employment tax returns (Form 94X family) and Excise returns (Forms 720, 730, CT-1, 2290, etc.).

See chart in IRM 3.13.2.13.1(5).

A partnership is a group of taxpayers who have entered into a written business agreement and file Form 1065, U. S. Partnership Return of Income. This is an annual return.

Partnerships may also file Employment tax returns (Form 94X family) and Excise returns (720, 730, 11-C, 2290, etc.).

See chart in IRM 3.13.2.13.1(5).

Partnership FYMs are governed by The Tax Reform Act of 1986. Partnerships are required to use the same tax year ending as their owner, usually December 31.

There are other entities that are considered partnerships and are liable to file Form 1065.

Partnership Name—The partnership primary name line will be the legal name of the partnership (for example, the list of partners or the business/trade name).

General Partner's name and title or partnership's trade name will be in the Sort Name field. Generally, partnerships will always have an entry in the sort name line field. See the table below for guidance in formatting a partnership's name lines.

The name control for a partnership will be derived in the following order of selection:

Delete the word "The" from trade name and business name. If "The" is followed by only one word, then do not delete "The" .

Partnership EINs that begin with prefixes 20, 26, 27, 45, 46 or 47 will have the first four characters of the Primary Name as the name control. For example, the partnership name "John Willow and James Oak Partnership" will be name controlled John .

The information for inputting partnership names is derived from the following sources:

Input the partnership name from these returns filed without an EIN (Form 941, Form 943, Form 944, Form 945, Form 720, Form 730, Form 11-C, or Form 2290) in the following priority:

Input the partnership name from a Form 1065 filed without an EIN in the following priority:

These common Spanish words may appear in business names.

Limited Liability Companies (LLCs) are defined as an unincorporated business entity created under state law and owned by one or more persons known as members. State law generally allows for a “person” to be:

Suffixes such as LLC, LC, and PLLC indicate a limited liability company and are input with the LLC’s name.

There are two types of LLCs: Single member and Multi-member

Treasury Regulations 301.7702 (as amended by T.D. 9356, 2207–39 I.R.B.) eliminated disregarded entity status for the purposes of federal employment taxes and certain excise taxes. The LLC will continue to be a disregarded/ single member entity for federal income tax purpose, but is no longer disregarded for certain excise and employment taxes. The amended regulations provide that the LLC will have a tax status distinct from its owner.

therefore, single member LLCs will have their own EIN for filing purposes, however, a single member LLC does not have an annual filing requirement. The income/loss is reported on the annual return of the owner(s).

Multi member LLCs default to the classification of a partnership.

Either type of LLC can file Form 8832 to elect their Entity classification. See IRM 3.13.2.25 and IRM 3.13.2.26.

LLCs may also file Employment returns (Form 94X family) and Excise returns (Forms 720, 730, 11-C, 2290, etc.).

The Primary Name Line will be the legal name of the LLC.

Delete the word "The" from the LLC or partnership name, trade name and business name. If "The" is followed by only one word, then do not delete "The" .

Do not abbreviate or change "and" to "&" unless the taxpayer requests it. The LLC receives its' charter from the state exactly as shown by the taxpayer and this is the way the account will be established.

The LLC's trade name or Doing Business As (DBA) name will be entered in the Sort Name Line field. If there is not a DBA, a member's name and their designation will be entered in the sort line.

Trust Names can be long and complicated. A trust name can be reduced or abbreviated to allow for the trust name to be entered on the first name line.

Trusts will be name controlled by the first surname in the Primary Name. The trustee's name will be placed on the Sort Name line if an individual. If the trustee is a financial institution or business, input on the Care of Name line.

Trust EINs that begin with prefixes 20, 26, 27, 45, 46, and 47 will have the first four characters of the Primary Name as the name control.
For example, the trust name "John Willow TR fbo James Oak" will be name controlled John .

The name control of a trust with a prefix other than 20, 26, 27, 45, 46, or 47 will be derived by the following selection:

For GNMA Pools use the first four digits of the trust number, disregarding any leading zeroes and/or trailing alphas. If there are fewer than four numbers, use the letters "GNMA" to complete the name control. Disregard any other alphas following the pool numbers.

If none of the above information is present, use the first four characters of the last name of the trustee (TTEE) or beneficiary (FBO).

If needed, contact the taxpayer via telephone for above information. If contact cannot be made, correspond via Letter 45C.

The information for inputting trust names are derived from.

Always abbreviate the primary name to 70 characters (two name lines). In addition, always abbreviate the following words or phrases. All dates in the trust name line will be entered as MMDDYYYY:

Always make the individual trustee, personal representative, etc. a sort name.

The following are examples of inputting trust names:

Trust FYMs are governed by The Tax Reform Act of 1986 and are required to use the same tax year ending as their owner, usually December 31.

Trusts will file Form 1041, Form 1041-QFT, Form 945, Form 5227, Form 1041-A, or some Forms 990, 990-PF or 990-T). See IRM 3.13.12.

If a trust has employees, the FRC on IDRS will be 1041-2.

The estate name (the name of the deceased person) must be included in the primary name line.

The name control for estates is the first four characters of the last name of the decedent.

The last name of the decedent must be followed by the word "Estate" in the primary name line.

Always abbreviate the primary name to 70 characters (two name lines). Always abbreviate the following words or phrases:

Estates are not required to use a particular tax year ending.

Estates will file Form 1041.

If an estate has employees, IDRS will show the FRC of 1041-2.

A Sole Proprietor is an individual that operates a business and reports the income/loss from that business on Form 1040, Schedule C.

Sole Proprietors can file employment returns (Form 94X family) and/or excise returns (Forms 2290, 720, etc.), Sole proprietors do not file annual returns (Forms 1120, 1065, 1041, 990 series, etc.).

Individual EIN and Social Security Numbers (SSN) Accounts—The primary name line will not contain numeric characters or the special character ampersand (&). Although a numeric character or ampersand (&) is a valid input for IDRS, an individual's name cannot contain a numeric character or ampersand.

If a sole proprietor requests a name change, compare the name on taxpayer's SSN with name on EIN. If SSN has already been updated, input TC 013 to update EIN. If SSN has not been updated, ask the taxpayer for documentation of the legal name change. This documentation can be a marriage certificate, court order, etc.

The sort name will be used for the following:

The Sort Name will be changed if there is a direct demand or request from the taxpayer or clear indication the taxpayer's trade name (or Doing Business As-DBA) has changed.

To delete the sort name, input "$$" in the first two positions of the sort name line.

The Sort Name will be changed if there is a direct demand or request from the taxpayer or clear indication the taxpayer's trade name (or Doing Business As-DBA) has changed. Do not update the Sort Name line if the taxpayer's trade name is identical to the Primary Name line. The Sort Name line is used for research purposes and must be input accurately.

The name control consists of four alpha and/or numeric characters.

The ampersand (&) and hyphen (-) are the only special characters allowed in the name control. However, these characters cannot be in the first position of the name control.

The name control can have less, but no more than four characters. Blanks may be present only as the last three positions of the name control.

The name control for a sole proprietor's name is the first four significant characters of the last name.

When the taxpayer has a true name and a trade name, the name control is derived from the first four characters of the individual's last name.

When two last names are used, the name control is the first four letters of the second last name.

When two last names connected by a hyphen are shown for one individual, the name control is the first four letters of the first last name.

On joint returns with different last names, the name control is the first four letters of the last name of the individual appearing first.

For Spanish names, when two last names are shown for an individual, the name control is the first four letters of the first last name.

For last names that have only two letters:

Vietnamese names will often have a middle name of Van (male) or Thi (female).

If the individual is newly arrived in the U.S., the last name may appear first on the name line. On the signature line, the last name will usually appear first.

PREFIX on Sole Proprietor Individual.

SUFFIX on Sole Proprietor Individual.

The information for inputting individual names is derived from the following:

When establishing the account or changing the name lines for an individual use the examples below to determine the input.

Names of Spanish Extraction—Many names will include two surnames. In these cases the mother's surname (matronymic) will be the last name and must be a part of the input.

The Spanish phrases "de" , "De" "del" and "de la" are considered part of the name control.

An in "Care of Name" is used to direct mail to a specific person within an organization that is not the taxpayer's primary address. The abbreviation "c/o" is often used to represent "Care of Name" ' However, for IDRS purposes the percent sign "%" is used.

If the "Care of Name" is input, a "%" must be in the first position and a blank space in the second position of the "Care of Name" field.

Since banks are never sorted, most of the time a fiduciary is used, the fiduciary will appear in the "Care of Name" field.

To delete a "Care of Name" , input "$$" in the first two positions of the "Care of Name" field.

If the "Care of Name" field is present on IDRS, and not on the requested address change, it will be deleted unless the taxpayer has clearly stated the CareOf Name is the same. EXCEPTION: Do not alter the "Care of Name" if the entity is a Partnership or LLC and the "Care of Name" field contains the name of a partner or member.

The first address shown on the document/return being processed will be the taxpayer's mailing address.

If a second address is shown, it will become the taxpayer's location address. A trust/estate is the only entity authorized to have a PO Box as a location address. If the second address is a PO Box and the entity is not a trust/estate, make the PO Box the mailing address.

The charts in IRM 3.13.2.3 will be used when inputting an address through CC ESIGN and/or CC BNCHG.

Entity is the primary area responsible for updating taxpayer addresses. Forms 8822-B, Change of Address - Business, are processed in Entity. Taxpayer correspondence requesting address changes will be routed to Entity. If the correspondence involves an adjustment action, collection activity, or a TAS situation other than an Entity issue, the address will be updated by the function responding to the primary issue.

The charts in IRM 3.13.2.3.1 governing address field abbreviations will also be applied to this subsection of IRM.

Never change the address on Master File if the acronym FDIC, (Federal Deposit Insurance Corporation), is present in any of the name lines.

If the "Care of Name" field is present on IDRS, and not on the requested address change, it will be deleted unless the taxpayer has clearly stated the In-Care-Of name is the same. EXCEPTION: Do not alter the "Care of Name" if the entity is a Partnership or LLC and the "Care of Name" field contains the name of a partner or member.

Prior to 2010 it was the practice of Submission Processing to update a taxpayer's mailing address with a campus address upon learning that taxpayer's address caused undeliverable mail.

When changing the mailing address from a street address to a Post Office (PO) Box number, retain the street address as a location address unless the taxpayer provides a new location address. The retention of the street address in the location address field is necessary as an audit trail for locating taxpayers. ZIP code - Input only the first five digits.

All transactions containing an address change will have the requester's name, title, and phone number if present in the Remarks field of the transaction. If you are unable to determine the name and/or title, enter "SIGNATURE ILLEGIBLE" and the requester's phone number (if available).

When making an address change from a return, the following information will be entered in the Remarks field of CC BNCHG:

The following state codes must be used to replace the city and state in an international address. Always enter APO and FPO in the address:

The following are examples of CC BNCHG input formats:

The territories and possessions listed below are not entered as international addresses and require a valid state code and ZIP code:

If the name of the foreign country is not present and cannot be determined, research using a geographical dictionary.

All transactions containing an address change will have the requester's name, title, and phone number if present in the Remarks field of the transaction. If you are unable to determine the name and/or title, enter "SIGNATURE ILLEGIBLE" and the requester's phone number (if available).

The following fields will be used for international entities:

DO NOT abbreviate the country. The country is input in the city field of the mailing city/state/ZIP line.

The state field must always be a comma (,) and period (.).

The ZIP code field must always be a blank.

The foreign street address and mailing street address must be present when the state code is a period:"." .

To delete a foreign street address, "$$" must be input in the first two positions of the foreign street address. The mailing address (city, state and zip) must be present and state and ZIP code fields must not be blank.

To input a foreign address as a location address:

To delete a foreign address as a location address, input "$$" in the first two positions of the location street address. The location city, state, and ZIP will not be input.

If the name of the foreign country is not present and cannot be determined, research online or in a geographic dictionary.

When updating the address to a foreign country and IDRS gives an error message that the foreign country code is invalid, enter a "1" in the Foreign Country Override Indicator (FCOI) field of CC BNCHG.

The following is an example of a foreign address change:

Figure 3.13.2-1

See IRM 3.13.5 for an example of an IMF foreign address change.

All transactions containing an address change will have the requester's name, title, and phone number if present in the Remarks field of the transaction. If the signature is illegible, enter "SIGNATURE ILLEGIBLE" in Remarks field of the transaction.

Correspondence indicating address changes may be directed to Entity for necessary action. However, if the correspondence involves an adjustment action, collection activity, or a TAS situation other than an entity issue, the address update will be acted upon by the function responding to the primary issue.

A taxpayer's mailing address will not be updated unless clear indication of a change from the taxpayer or his representative is received. The exception would be when resolving undeliverables.

The National Change of Address (NCOA) program links with the United States Postal Service (USPS) change of address requests received from postal customers. The NCOA run updates Master File with the address provided by the postal customer/taxpayer. The DLNs from these changes will be:

Never change the address if the acronym FDIC (Federal Deposit Insurance Corporation) is in any of the name lines. If no other action is needed, indicate "No Action" on document being processed.

Signatures on Forms 8822/8822-B and requests for address changes will be accepted according to the terms of Prima Facie Evidence. Prima Facie means "at first appearance; at first view, before investigation " . If there is no contradicting evidence to dispute the authority of that person, the signature must be accepted. An all inclusive authorization list of authorized signatures/titles will not be provided because an inclusive list is not possible.

Use the following table to process an address change:

General requirements for making address changes on all Entity programs:

If a taxpayer requests an address change during telephone contact regarding an Entity issue, you may accept oral authority for the address change. Follow the Oral Statement Documentation requirements in IRM 21.1.3 . Rev. Proc. 2010–16 allows address changes over the phone effective June 1, 2010. It is no longer required that the taxpayer have "an open issue" to request an address change over the telephone. The caller must be authorized to request the address change. Put the name, title, and phone number of the caller in the Remarks field of the transaction.

If communication is received from a third party (CPA, agent, etc.) indicating the taxpayer is no longer a client and their address should be removed from the account, take the following actions:

All transactions containing an address change will have the requester's name, title, and phone number if present in the Remarks field of the transaction. If the name is illegible, enter "SIGNATURE ILLEGIBLE" in Remarks field of transaction.

See IRM 3.13.2.1.4 (17) for address usage with CC LETER.

Form 8822, Change of Address, is filed by IMF and Estate and Gift (E&G) taxpayers to furnish written notification of a change of address to the Service.

The Remarks field of the transaction updating the taxpayer's address will contain the name, title, and phone number from the signature line of Form 8822. If the signature is illegible, enter "SIGNATURE ILLEGIBLE" in Remarks field of transaction.

A new form has been created for businesses to use when requesting a change of address: Form 8822-B. The form became available in March 2012. All fields of Form 8822-B must be complete for Form 8822-B to be considered processable.

Taxpayers that use EINs will submit Form 8822-B when a change of address is needed. Ensure the EIN on the form is the only EIN assigned to the taxpayer. Take actions to consolidate if more than one EIN is located.

Taxpayers that use BMF SSNs (filers of Form 706 and 709 series) will continue to use Form 8822

The Remarks field of the transaction updating the taxpayer's address will contain the name, title, and phone number if available from the signature line of Form 8822-B.

Process Form 8822-B as follows:

Undeliverable correspondence initiated by Entity will be returned to Entity for research and correction of entity data. CCs INOLE, IRPTR, FINDE/FINDS can be utilized to locate a different address. Use the following procedures:

The Print Sites are identifying notices and letters that cannot be delivered by the United States Postal Service standards. This includes any notice or letter bearing a campus address.

In January 2010, program 390–00800 will be used when processing these undeliverables.

See IRM 3.13.2.4 for processing instructions.

This EC is given to government agencies acting as employer/payer's fiscal agents under IRC Section 3504. These agents may refer to themselves as:

The employer/payers may be disabled individuals or other welfare recipients receiving home-care services through a state or local government program.

A fiscal agent may:

The words Fiscal Agent will be behind the name of the governmental entity acting as a fiscal agent. If missing, add "Fiscal Agent" behind the agent's name.

An entity with EC "A" will also have a Form 941 FRC 01.

This code is generated from a posted TC 070 on churches or qualified church-controlled organizations which have filed Form 8274, Certification by Churches and Qualified Church-Controlled Organizations Electing Exemption from Employer Social Security and Medicare Taxes.

Forms 8274 are processed exclusively at OSPC.

See IRM 3.13.12.

This code is assigned to agencies of the United States Government.

If a new EIN needs EC "F" , or if an entity changes and becomes eligible for EC "F" :

The following agencies will have EC "F" :

An agency of the U.S. Government that is not part of any executive department or its components at the National Headquarters of the agency or in the field such as the following:

Corporation wholly or principally owned by the U.S. Government which has been created by law and which performs a governmental function such as the following:

Federal instrumentalities such as the following:

Organizations that are closely connected to, but not an official part of the U.S. government establishment are entitled to EC "F" if they meet strict standards. These organizations conduct financial, social, morale or housekeeping activities such as the following:

Before assigning EC "F" to these organizations, a statement should be obtained from the Post, Camp, Station or Base Commander stating the following:

Do not assign EC "F" to any of the following:

If the type of entity cannot be determined or if the entity is a questionable "F" Code filer, take the following actions:

If the organization is not a true "F" Code, take the following actions:

Assign this code to all state and local government agencies.

When assigning EC "G" , also assign a Form 941 filing requirement of 01, because these taxpayers are responsible for income tax withholding even if they are not responsible for social security and Medicare taxes. However, if the taxpayer is from Guam or American Samoa, assign a filing requirement of 06, for the Form 941-SS.

If you cannot determine from Form SS–4 that the entity is an agency of a state or local government or it is a privately owned organization, contact the entity to clarify the status prior to the assignment of EC "G" . If contact cannot be made using the telephone, input Letter 45C .

The following organizations will be assigned EC "G" :

If a state or local government instrumentality requests and receives an exemption under IRC Section 501(c)(3), the EC remains a "G"

Assign EC "I" to Indian Tribal Governmental (ITG) entities. Chief Counsel ITG will determine if an entity requires an EC "I" . If so, verify that the BOD Code is TE. Update the Business Operation Date (BOD) Client Code to I. Add a Form 940 FR of either 3 (compliant) or 4 (non-compliant) at the time the EC "I" is added. Chief Counsel ITG will determine whether the tribe is compliant or non-compliant.

If an Indian Tribal Governmental entity also has a 501(c)(3) exemption, the EC must be "W" without a Form 940 filing requirement.

If Master File research indicates the Exempt Organization (EO) Status is 41, 70-72, treat the entity as if they are a "regular" ITG entity with a BOD Code of TE, EC of I, and a Form 940 FR of 3 or 4.

If the EO Status of 40 or 42, the BOD Code should be TE, but make no changes to the EC, BOD Client Code or filing requirements. If the EO Status has been in 40 for several years and the organization is continuing to file Forms 941 only and there is no "I" case on EDS, update the EO Status to 41 and treat as a "regular" ITG entity.

Assign this code to those Maritime Industry entities which have made payments for employment taxes not yet reported.

This situation arises when a shipping company estimates liabilities and makes payments currently; however, the actual liability is reported on a supplemental Form 941 filed at the termination of the voyage.

This code is assigned to a domestic business that has applied for another EIN to extend social security coverage to certain employees of its Foreign Affiliate(s). by filing Form 2032, Contract Coverage under Title II of the Social Security Act.

The filing of Form 2032 secures the election to withhold Social Security from the paychecks of American citizens working overseas.

See IRM 3.13.2.17

This code is to be assigned to state and local governmental agencies that have obtained social security coverage for employees under an agreement between the state and the Commissioner of the Social Security Administration. Under IRC 42 Section 218, they are to pay social security tax directly to IRS.

This code will be input through CC BNCHG upon notification from Chief Counsel that a Section 218 agreement has been entered into by a state or local governmental agency.

Updating the EC from a "G" to a "T" :

This code is assigned to tax exempt organizations of the type described in IRC Sections 501(c)(3), 501(e), 501(f) and 501(k) .

These will be organizations operated exclusively for religious, charitable, scientific, literary, educational, or humane purposes, or for the purposes of testing for public safety, and indicates that the organization is not subject to Federal Unemployment Tax Act (FUTA).

The organization is accorded this exemption from FUTA tax until their application for exempt status is ruled on or it is determined that an application has not been submitted.

This code is assigned to Federal Credit Unions.

This Employment Code does not behave like other Employment Codes as Federal Credit Unions are liable for Form 940. All other ECs indicate the taxpayer is not liable for FUTA, Form 940.

Research must be performed to determine if there is an EIN already assigned to a taxpayer before a new EIN is assigned. Be sure to research using the Entity "sort line format" and the Accounts Management Modernized Internet EIN (Mod IEIN) "enter as taxpayer did" format. See IRM 21.7.13. Many consolidation cases have been created due to the taxpayer being on IDRS with two different name controls. Be very cautious so as not to create new work. You should research both ways: historical format used in Entity and Modernized Internet EIN "enter as taxpayer did" format.

There are several systems available in the campus for research as follows: