3.13.2  BMF Account Numbers

Manual Transmittal

October 31, 2014

Purpose

(1) This transmits revised IRM 3.13.2, Campus Document Services, BMF Account Numbers.

Material Changes

(1) Editorial changes have been made through out this IRM.

(2) Restrict tags removed per 2015 clearance review from PGLD.

(3) Multiple minor changes through out IRM due to feedback received from Course Development and the processing sites during clearance process.

(4) Hyper links added to IRM through out as a result of Multi Media Learning Object (MMLO) discussions. IPU 14U0460 issued 03-10-2014

(5) IRM 3.13.2.1(3) - Revised name of IRM 10.5.3.

(6) IRM 3.13.2.1(4) - Removed language regarding TC 150.

(7) IRM 3.13.2.1.1(10) - Added Reminder: that 6800sce/6801sce cannot be used for international taxpayers.

(8) IRM 3.13.2.1.4(1)(f) - Added verbiage saying every document received in BMF Entity should be researched for another EIN/SSN. IPU 14U0878 issued 05-16-2014

(9) IRM 3.13.2.1.4(1)j) - Added the words "and other returns are indicated" to the instructions for Form 2848.

(10) IRM 3.13.2.1.4(2) - Added the returns that are processed by SCRPS.

(11) IRM 3.13.2.1.4(7)a) - Added instructions to write Deemed 8832 across the top of Form 2553 when it is being used for the source document on TC 076.

(12) IRM 3.13.2.1.4(17) - Added language regarding location and mailing addresses per SERP Feedback Control 201403253. IPU 14U1088 issued 07-01-2014

(13) IRM 3.13.2.1.4(17) - Corrected language issued in IPU 14U1088. IPU 14U1097 issued 07-02-2014

(14) IRM 3.13.2.1.4(24) - Revised IRM reference as IRM 25.25 is now used for Frivolous/Fraudulent Filings. IPU 14U0647 issued 04-07-2014

(15) IRM 3.13.2.1.4(28) - Added language to clarify electronic signatures are not valid on BMF Entity documents. IPU 13U1656 issued 11-18-2013 IPU 14U0066 issued 01-08-2014

(16) IRM 3.13.2.1.4(28) - Removed text regarding faxed signatures for inquiries only. IPU 14U0150 issued 01-21-2014

(17) IRM 3.13.2.1.4(29) - Added language regarding the use of alphas SD in the Remarks field. IPU 14U0848 issued 05-12-2014

(18) IRM 3.13.2.1.4(30) - Added language describing the use of a closing bracket in the primary name line. IPU 14U0848 issued 05-12-2014

(19) IRM 3.13.2.1.5(2) - Added fields CASE-STS-CD> and ACTIVITY> to required fields for CC ADJ54 per SERP Feedback Control 201404500.IPU 14U1349 issued 09-12-2014

(20) IRM 3.13.2.1.6(13) - Revised language regarding IMF cases received in BMF Entity. Rather than transship, BMF Entity should coordinate with IMF sites to ensure IMF cases are processed correctly. IPU 14U1016 issued 06-18-2014

(21) IRM 3.13.2.1.6(13) - Reversed order of IMF campuses to contact if assistance with IMF work is needed. IPU 14U1088 issued 07-01-2014

(22) IRM 3.13.2.1.9 - Added subsection describing Identification Requirements For IRS Employees.

(23) IRM 3.13.2.2(3) First Bullet - Replaced the word can with the word will.

(24) IRM 3.13.2.2.1(12) - Added verbiage stating ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

(25) IRM 3.13.2.2.2(6) - Removed inconsistent language.

(26) IRM 3.13.2.2.2(14) - Moved (14) to 3.13.2.2(7)

(27) IRM 3.13.2.2.3(3)(4) - Moved language from the Note to (4) and revised (3). IPU 14U0908 issued 05-23-2014

(28) IRM 3.13.2.2.3(5) and (6) - Added text regarding husband and wife being a disregarded entity if residing in a community property state. IPU 14U1230 issued 08-08-2014

(29) IRM 3.13.2.2.3(6) - Corrected text to Treasury Regulation 301.7701-2.

(30) IRM 3.13.2.2.3(14), (16), and (17) - Added instructions to maintain various fields for taxpayers designated as LLCs. IPU 14U0908 issued 05-23-2014

(31) IRM 3.13.2.2.3 - Added (16) to include instructions to enter business name as member if indicated by taxpayer.

(32) IRM 3.13.2.2.3(17) - Added "Sole Member" to list of authorized representatives of an LLC.

(33) IRM 3.13.2.2.4(9) - Added "ADM" and "LIV" to list of acronyms to be used in trust names.

(34) IRM 3.13.2.2.4(11) - Added brackets to the examples of trust names. IPU 14U0848 issued 05-12-2014

(35) IRM 3.13.2.2.4(15) - Added "Beneficiary" to list of authorized representatives of a trust.

(36) IRM 3.13.2.2.5(5) - Added "Administrator" to list of authorized representatives of an estate.

(37) IRM 3.13.2.2.5(8) - Added "Personal Representative" and "Administrator" to list of authorized representatives of an estate.

(38) IRM 3.13.2.2.6(3)a) - Added language regarding year that should be input when establishing an account for Form 709.

(39) IRM 3.13.2.3(14) - Added language regarding location and mailing addresses per SERP Feedback Control 201403253. IPU 14U1088 issued 07-01-2014

(40) IRM 3.13.2.3(14) - Corrected language issued with IPU 14U1088. IPU 14U1097 issued 07-02-2014

(41) IRM 3.13.2.3.3(2) - Corrected IRM reference.

(42) IRM 3.13.2.3.6(1) - Added text stating address change requests must be signed by the taxpayer or authorized representative.

(43) IRM 3.13.2.3.6(2) - Added language regarding location and mailing addresses per SERP Feedback Control 201303253. IPU 14U1088 issued 07-01-2014

(44) IRM 3.13.2.3.6(2) - Corrected language issued by IPU 14U1088. IPU 14U1097 issued 07-02-2014

(45) IRM 3.13.2.3.6(5) - Deleted Form 8821 from text as this form authorizes a third party to receive tax information, it does not authorize an address change. IPU 14U0908 issued 05-23-2014

(46) IRM 3.13.2.3.6(6)(i) - Revised instructions when proper authorization is not found for Form 8822-B. IPU 14U0692 issued 04-14-2014

(47) IRM 3.13.2.3.8(6) - Revised IRM reference to 3.13.2.2 for authorized representatives. IPU 14U0647 issued 04-07-2014

(48) IRM 3.13.2.3.8.1(2)a)2 THEN - Added 6800sce to instructions for returning a Form 8822-B to the taxpayer.

(49) IRM 3.13.2.3.8.1(2)h) - Added a link to IRM 3.13.12.6.18.2, EO Status Codes.

(50) IRM 3.13.2.3.8.1(4) - Added paren to provide instructions for disposition of Form 8822-B. IPU 14U0259 issued 02-03-2014

(51) IRM 3.13.2.3.8.2(1) - Added X-REF-TIN-ITININD> and XREF-TIN-ITIN> as fields to update from the "Responsible Party" portion of Form 8822-B.

(52) IRM 3.13.2.3.8.2(1) - Added SORT-NAME and CARE-OF-NAME to the fields that are updated from the Responsible Party portion of Form 8822-B. IPU 14U1288 issued 08-26-2014

(53) IRM 3.13.2.3.8.2(2) - Revised to add more text when processing the Responsible Party portion of Form 8822-B. IPU 13U1656 issued 11-18-2013 IPU 14U0066 issued 01-08-2014

(54) IRM 3.13.2.3.8.2(2) and (5) - Added language for clarification and provided instructions for disposition of Form 8822-B. IPU 14U0259 issued 02-03-2014

(55) IRM 3.13.2.3.8.2(6)d) - Added instructions to Responsible Party portion of Form 8822-B instructions when submitting taxpayer is an Exempt Organization. IPU 14U0460 issued 03-10-2014

(56) IRM 3.13.2.3.8.2(3) and (4) - Added verbiage addressing specific issues on Responsible Party portion of Form 8822-B. IPU 14U0647 issued 04-07-2014

(57) IRM 3.13.2.3.8.2(4) - Added text saying it is no longer necessary for Items 8a and 9a to be complete on Form 8822-B and removed rows (d) and (e) from If/And/Then chart. IPU 14U0848 issued 05-12-2014

(58) IRM 3.13.2.3.8.2(4) - Added reference to IRM 3.13.2.9.23 for updating XREF-TIN-ITIN field. IPU 14U1195 issued 07-29-2014

(59) IRM 3.13.2.3.8.2(6)a) and c) THEN Column - Added SORT NAME and CARE-OF-NAME as fields to complete when processing the "Responsible Party" portion of Form 8822-B.

(60) IRM 3.13.2.4(3) - Added FINDE/FINDS as CCs to be used when processing Undeliverables.

(61) IRM 3.13.2.4(4)d)(3) - Added instructions to update address per taxpayer's instruction.

(62) IRM 3.13.2.4(4)(d)5) - Removed erroneous language per SERP Feedback Control 201401110. IPU 14U0549 issued 03-24-2014

(63) IRM 3.13.2.4.1(1) - Added ENMOD and BMFOL to the list of research command codes.

(64) IRM 3.13.2.4.2 Renamed and revised entire subsection regarding letters/notices reflecting an "undeliverable" address received from a Print Site. IPU 13U1718 issued 12-09-2013 IPU 14U0066 issued 01-08-2014

(65) IRM 3.13.2.5(1) - Revised verbiage regarding BMF Employment Codes.

(66) IRM 3.13.2.6.1(2) - Added link for IDRS Command Code Job Aid site on SERP. IPU 14U0460 issued 03-10-2014

(67) IRM 3.13.2.6.1(2) - Added "IAT New Name Tool" to list of resources for research.

(68) IRM 3.13.2.6.1.5(6) - Revised title of IRM 2.3.60.

(69) IRM 3.13.2.6.1.9(4) - Added instructions to use Form 2275 if document is not received after the third CC ESTAB request.

(70) IRM 3.13.2.6.1.15 - Added subsection for CC IRPTR.

(71) IRM 3.13.2.6.2(4) - Added several prefixes to the list of invalid EINs. IPU 14U0811 issued 05-05-2014

(72) IRM 3.13.2.6.2(4) - Added verbiage stating the File Location Code (FLC) of the TC 000 for EINs assigned through Mod IEIN will always be "28."

(73) IRM 3.13.2.6.3.2(1) - Revised some text and added hyperlink to IRM 2.4.9, IDRS Terminal Input - Command Codes ENREQ, INCHG, IRCHG, BNCHG and BRCHG.

(74) IRM 3.13.2.6.3.2(28) - Added text saying TC 020 is restricted to BMF Entity Tax Examiners. IPU 14U0460 issued 03-10-2014

(75) IRM 3.13.2.6.3.6 - Created new subsection for CC REQ54.

(76) IRM 3.13.2.6.4(4) - Added language to describe Master File Indicators B and I.

(77) IRM 3.13.2.6.4(6) - Added instructions to process requests for IRSNs when requested for Form 8288 processing. IPU 14U1195 issued 07-29-2014

(78) IRM 3.13.2.6.4.1 - Added subsection for IRSNs.

(79) IRM 3.13.2.7(7) - Corrected language issued by IPU 14U1088. IPU 14U1097 issued 07-02-2014

(80) IRM 3.13.2.7(7)(d) - Added language regarding mailing and physical location addresses per SERP Feedback Control 201403253. IPU 14U1088 issued 07-01-2014

(81) IRM 3.13.2.7(7) and (8) - Created If/And/Then chart regarding the "address change box" and moved some information to a new paren which caused following parens to renumber per SERP Feedback Control 201305307. IPU 13U1718 issued 12-09-2013 IPU 14U0066 issued 01-08-2014

(82) IRM 3.13.2.7(9) - Added verbiage to clarify Entity TEs should update the taxpayer's name from a return if the Name Change box is marked. IPU 14U1288 issued 08-26-2014

(83) IRM 3.13.2.7(23) - Added instructions to utilize EIN prefix 98 when ESIGNing an EIN to a taxpayer with an international/foreign address. IPU 13U1718 issued 12-09-2013 IPU 14U0066 issued 01-08-2014

(84) IRM 3.13.2.7(23) - Expanded instructions for using EIN prefix 98. IPU 13U1794 issued 12-23-2013 IPU 14U0066 issued 01-08-2014

(85) IRM 3.13.2.7(23) - Added reference to IRM 21.7.13 regarding the use of prefix 98 when assigning EINs per SERP Feedback Control 201402293. IPU 14U0811 issued 05-05-2014

(86) IRM 3.13.2.7.1(5) - Corrected dates in Statute tables.

(87) IRM 3.13.2.7.2(4) - Deleted (4) which contained language regarding pre-printed labels, which are no longer used. This change caused all remaining parens to renumber.

(88) IRM 3.13.2.7.4 - Minor text changes through out Forms 941, 943, 944, 945 and 940 - Employment Returns subsection.

(89) IRM 3.13.2.7.5(11) Second Bullet - Revised text in Form 1120 Family Subsection.

(90) IRM 3.13.2.7.5.1(1) - Added text to Rev Proc 2013-30 requirements.

(91) IRM 3.13.2.7.5.1(3)f THEN Column - Removed language saying to delete 1120-01 Filing Requirement Code as TC 092 was adding it. UWR 55703 implemented Jan. 2014. IPU 14U0460 issued 03-10-2014

(92) IRM 3.13.2.7.5.1(3) l) 2) THEN - Added note regarding TC 971 AC 376 and single member LLCs.

(93) IRM 3.13.2.7.5.1(3)(l)2) - Added verbiage stating Form 1065 FRC must be on EIN prior to inputting TC 971 AC 373. IPU 14U1195 issued 07-29-2014

(94) IRM 3.13.2.7.7(3) - Revised text in Form 1041 subsection.

(95) IRM 3.13.2.7.7(6) - Revised language regarding Treasury Regulation 1.645-1(c).

(96) IRM 3.13.2.7.9(2), (5), (6), (7), (9), and (10) - Revised language in Form 1065 subsection.

(97) IRM 3.13.2.7.9(5) - Added language describing Subchapter K election and revocation per SERP Feedback Control 201401758. IPU 14U0647 issued 04-07-2014

(98) IRM 3.13.2.7.9(6) - Added language to clarify Section 708 for partnerships. IPU 14U0647 issued 04-07-2014

(99) IRM 3.13.2.7.13(3)(b) - Added instructions to enter "V" or "W" to the right of the SSN per SERP Feedback Control 201402291. IPU 14U0811 issued 05-05-2014

(100) IRM 3.13.2.7.13(1) and (2) - Revised descriptive language for Form 706 and Form 709.

(101) IRM 3.13.2.7.13.1 - Revised language through out Form 706 subsection.

(102) IRM 3.13.2.7.13.5 - Revised language through out Form 706-NA subsection.

(103) IRM 3.13.2.7.13.6 - Revised language through out Form 706–QDT subsection.

(104) IRM 3.13.2.7.13.7 - Revised language through out Form 709 subsection.

(105) IRM 3.13.2.7.14(2) - Added instructions to not detach Form 7004 from a return per SERP Feedback Control 201403254. IPU 14U1088 issued 07-01-2014

(106) IRM 3.13.2.7.14.1(1) - Revised text in Form 8868 subsection.

(107) IRM 3.13.2.7.17(1) - Corrected typo on Form 3520-A.

(108) IRM 3.13.2.7.20(3) and (4) - Revised language in Form 8752 subsection.

(109) IRM 3.13.2.7.22(4) - Added fields to example of TC 971 input.

(110) IRM 3.13.2.7.22(5) - Added language to Form 1725 description.

(111) IRM 3.13.2.7.22(9) - Added instructions to input a TC 096 on Forms 4876-A received from Code & Edit.

(112) IRM 3.13.2.7.22(14) - Added Form 12575 which caused remaining parens to renumber. IPU 14U1016 issued 06-18-2014

(113) IRM 3.13.2.7.26(5) and (6) - Added instructions to research for a valid EIN per SERP Feedback Control 201402294. IPU 14U0848 issued 05-12-2014

(114) IRM 3.13.2.7.27 and (2) - Revised subsection title and added hyperlink to Form CT-1.

(115) IRM 3.13.2.7.30 - Deleted (13) per SERP Feedback Control 201401112. IPU 14U0460 issued 03-10-2014

(116) IRM 3.13.2.7.30(9) - Added instructions to input TC 096 if Form 4876-A is received from Code & Edit. IPU 14U1195 issued 07-29-2014

(117) IRM 3.13.2.8.3 - Deleted entire subsection on Passive Foreign Investment Companies which cause remaining subsection to renumber.

(118) IRM 3.13.2.8.4(1) - Revised text on FIRPTA.

(119) IRM 3.13.2.8.9 - Updates through out subsection to provide clarity for processing Forms 8288, 8288-A, and 8288-B.

(120) IRM 3.13.2.9(1)e) - Added "Name" to the items the taxpayer should enter when responding to us. IPU 14U1349 issued 09-12-2014

(121) IRM 3.13.2.9.2(3) - Added language to forward requests for copies of Forms SS-4 to AM per IRM 21.7.13.

(122) IRM 3.13.2.9.4(3)a) THEN - Clarified a new EIN should be assigned with taxpayer says Mod IEIN not received.

(123) IRM 3.13.2.9.5(3) Last Bullet - Added hyperlink to IRM 3.13.2.9.28.

(124) IRM 3.13.2.9.7(1)a) - Added the word "current" to clarify which date should be used.

(125) IRM 3.13.2.9.7(3) d) and t) - Added instructions to send appropriate letter to taxpayer.

(126) IRM 3.13.2.9.7(6) - Added language explaining § 6231 does not exempt a 1065 filer from filing returns. IPU 13U1794 issued 12-23-2013 IPU 14U0066 issued 01-08-2014

(127) IRM 3.13.2.9.9(4)(n) - Added instructions to look for TC 090 per SERP Feedback Control 201305550. IPU 13U1794 issued 12-23-2013 IPU 14U0066 issued 01-08-2014

(128) IRM 3.13.2.9.17 - Added instructions to send appropriate letter to taxpayer notifying him/her of actions we took.

(129) IRM 3.13.2.9.18(4) - Revised text on bankruptcy estates for clarity.

(130) IRM 3.13.2.9.19(3) - Revised form number from Form 8822-B to Form 2848. IPU 13U1643 issued 11-13-2013 IPU 14U0066 issued 01-08-2014

(131) IRM 3.13.2.9.20(1) - Revised text for LLC indicator per SERP Feedback Control 201301304. IPU 13U0490 issued 03-11-2013.

(132) IRM 3.13.2.9.22 - Added BMF to subsection title. IPU 13U1794 issued 12-23-2013 IPU 14U0066 issued 01-08-2014

(133) IRM 3.13.2.9.22(3) - Added instructions to contact BMF Entity HQ Analyst with concerns over ID Theft cases.

(134) IRM 3.13.2.10.1(1) - Revised stop number for Cincinnati Entity as they moved from the Gateway Center to the 4th Street Building. IPU 13U1718 issued 12-09-2013

(135) IRM 3.13.2.12(4) - Added hyperlink to IRM 3.13.2.13.1.

(136) IRM 3.13.2.16 - Changed acronym HHCSR to HCSR per change in regulations through out subsection. IPU 13U1643 issued 11-13-2013. IPU 14U0066 issued 01-08-2014

(137) IRM 3.13.2.16(3) - Added language to clarify the agent and employer/payer can be related businesses. IPU 14U0460 issued 03-10-2014

(138) IRM 3.13.2.16(11) - Added language regarding the address on Form 2678. IPU 14U0692 issued 04-14-2014

(139) IRM 3.13.2.16.1(4) - Added Reminder that agents can only file Forms 940 for HCSRs. IPU 14U1230 issued 08-08-2014

(140) IRM 3.13.2.16.2(5) - Added language to clarify the same person can sign as agent and employer/payer. IPU 14U0460 issued 03-10-2014

(141) IRM 3.13.2.16.2(6) - Revised instructions for processing Form 2678 for EO Agents. IPU 14U0692 issued 04-14-2014

(142) IRM 3.13.2.16.2(7) - Added instructions for processing two agents filing Forms 2678 for the same employer/payer. IPU 14U0811 issued 05-05-2014

(143) IRM 3.13.2.16.3(4) - Added instructions for processing two agents filing Forms 2678 for the same employer/payer. IPU 14U0811 issued 05-05-2014

(144) IRM 3.13.2.16.3(5) - Added bolding to some language in Form 2678 - Employer/Payer subsection. IPU 14U0692 issued 04-14-2014

(145) IRM 3.13.2.16.3(5) - Added language to clarify Agents can file Form 940 on behalf of HCSR clients only. IPU 14U1195 issued 07-29-2014

(146) IRM 3.13.2.16.3(9) b) and f) - Deleted erroneous instructions regarding Form 940. IPU 14U1230 issued 08-08-2014

(147) IRM 3.13.2.16.3(9) and (9)(d) - Added language regarding multiple TCs 971 and FRCs on Employer/Payer's EIN. IPU 14U0908 issued 05-23-2014

(148) IRM 3.13.2.17 - Minor text changes through out Form 2032 subsection.

(149) IRM 3.13.2.17 - Revised entire subsection to reflect the word "Employer" rather than "Corporation" as the Employer on Form 2032 can be any type of BMF taxpayer, not just a corporation. IPU 14U1230 issued 08-08-2014

(150) IRM 3.13.2.17.2 - Minor text changes in Form 2032 - Amendments/Supplements subsection.

(151) IRM 3.13.2.18(3) Note: - Added language to clarify Entity will establish an SSN/IRSN on the "V" tape as needed. IPU 14U1195 issued 07-29-2014

(152) IRM 3.13.2.18(6) - Removed reference to specific check box on 6800sce.

(153) IRM 3.13.2.18(6), (7)a), (13), (14) Revised text to accommodate recent revision to 6800sce. IPU 14U0150 issued 01-21-2014

(154) IRM 3.13.2.18(10) - Replaced "facsimile" with "stamped" regarding signatures on Form 56. IPU 13U1656 issued 11-18-2013. IPU 14U0066 issued 01-08-2014

(155) IRM 3.13.2.18(15) - Revised instructions for pooled trusts filing Form 56. IPU 14U0460 issued 03-10-2014

(156) IRM 3.13.2.18(17) - Added language to underline the name control on Forms 56 per SERP Feedback Control 201402330. IPU 14U0848 issued 05-12-2014

(157) IRM 3.13.2.18.1(1)(c) - Added instructions to edit "V" or "W" to the right of the SSN per SERP Feedback Control 201402291. IPU 14U0811 issued 05-05-2014

(158) IRM 3.13.2.18.1(1)(f) - Added verbiage to ensure it is understood a business (bank, mortgage company, corporation, etc.) will never be sorted as a fiduciary. IPU 14U0908 issued 05-23-2014

(159) IRM 3.13.2.18.3(5) - Added language regarding duplicate Forms 56 per SERP Feedback Control 201402330.IPU 14U0848 issued 05-12-2014

(160) IRM 3.13.2.19(3) - Added c) to include a link to IRM 3.13.2.6.3.2 which contains figures of TCs 040 and 041 per SERP Feedback 201404501. IPU 14U1349 issued 09-12-2014

(161) IRM 3.13.2.19(5)(a) - Removed language saying to delete 1120-01 Filing Requirement Code as TC 092 was adding it. UWR 55703 implemented Jan. 2014. IPU 14U0460 issued 03-10-2014

(162) IRM 3.13.2.19.1(2)a) - Clarified text in table.

(163) IRM 3.13.2.20 - Added verbiage to (9) for Rev. Proc. 2006-45 and added new (10) for Rev. Proc. 2006-46.

(164) IRM 3.13.2.20.1(1) - Revised text in Form 1128 - Processing Location subsection.

(165) ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

(166) IRM 3.13.2.20.3(1) Revised text in Form 1128 - Signature subsection.

(167) IRM 3.13.2.20.3.5 - Clarified subsection on Signatures for Form 1128.

(168) IRM 3.13.2.20.4(1) and (3) - Revised text in Form 1128 - Page 2, Part II, Section A subsection.

(169) IRM 3.13.2.20.5(3)(b) Added instructions to highlight certain words on Form 1128 prior to returning to taxpayer per SERP Feedback Control 201305236.IPU 13U1718 issued 12-09-2013. IPU 14U0066 issued 01-08-2014

(170) IRM 3.13.2.20.5(3) Corrected words to be highlighted from RULING REQUEST to AUTOMATIC APPROVAL REQUEST. IPU 14U0259 issued 02-03-2014

(171) IRM 3.13.2.20.5(3)a) - Clarified language in Form 1128 subsection regarding gross receipts.

(172) IRM 3.13.2.20.5(3)d) - Revised text in Form 1128 - Page 2, Part II, Section B subsection.

(173) IRM 3.13.2.20.7(5) and (7) - Editorial changes.

(174) IRM 3.13.2.20.10(1) and (3) - Revised text in Form 1128 - Approved or Denied Requests from Chief Counsel subsection.

(175) IRM 3.13.2.21(1) - Revised language describing ownership in Form 8716 subsection.

(176) IRM 3.13.2.21(3) - Added "(MFT 15)" behind Form 8752.

(177) IRM 3.13.2.21 - Revised language in (4).

(178) IRM 3.13.2.21.1(2) - Corrected dates within table and added language.

(179) IRM 3.13.2.21.1(2)e) - Corrected dates in Form 8716 Timeliness chart per SERP Feedback Control 201403915. IPU 14U1230 issued 08-08-2014

(180) IRM 3.13.2.21.1(5)a) - Corrected typo.

(181) IRM 3.13.2.21.2(2) 2nd NOTE - Deleted reference to PDC.

(182) IRM 3.13.2.21.3(1) - Added the word "and."

(183) IRM 3.13.2.21.5(3) - Revised text in Form 8716 - Back Up Elections subsection.

(184) IRM 3.13.2.21.6(2) - Revised text in Form 8716 - Termination of Section 444 election subsection.

(185) IRM 3.13.2.22(1) - Added language saying a state Subchapter S election form will be processed as long as it contains all required information. IPU 14U0647 issued 04-07-2014

(186) IRM 3.13.2.22(1) - Added verbiage to better describe IRC § 1362.

(187) IRM 3.13.2.22(4) - Deleted reference to Rev Proc 2013-30 and added Treasury Regulation § 301.7701-3.

(188) IRM 3.13.2.22(5) - Minor text changes to Termination description.

(189) IRM 3.13.2.22(5) - Added Deemed 8832 Election to the list of common terms seen when processing Form 2553. IPU 14U1195 issued 07-29-2014

(190) IRM 3.13.2.22(8) and (9) - Added new verbiage for the Paragraph Selection Codes (PSC) for CP 261 and CP 264

(191) IRM 3.13.2.22.1(1) and (22) - Added instructions to research for missing information before returning incomplete Form 2553 to taxpayer.

(192) IRM 3.13.2.22.1(8) - Revised language for invalid effective dates on Form 2553 per SERP Feedback Control 201403909. IPU 14U1230 issued 08-08-2014.

(193) IRM 3.13.2.22.1(8) - Added language to clarify procedures when taxpayer enters an invalid effective date on Form 2553. IPU 14U0549 issued 03-24-2014

(194) IRM 3.13.2.22.1(8) - Corrected hyperlink to 2007 revision of Form 2553 and corrected reference to Item E of Form 2553. IPU 14U0908 issued 05-23-2014

(195) IRM 3.13.2.22.1(9) - Revised Rev Proc number.

(196) IRM 3.13.2.22.1(14) - Added verbiage stating a sole shareholder must sign Page 2 of Form 2553 when effective date is requested under a Rev. Proc.

(197) IRM 3.13.2.22.1(22) - Removed language saying to delete 1120-01 Filing Requirement Code as TC 092 was adding it. UWR 55703 implemented Jan. 2014. IPU 14U0460 issued 03-10-2014

(198) IRM 3.13.2.22.2(1)f) - Added 401(k) plans to examples of eligible shareholders for an S corporation. IPU 14U0549 issued 03-24-2014

(199) IRM 3.13.2.22.2(2) - Corrected IRC citation.

(200) IRM 3.13.2.22.2(5) - Revised SMLLC definition as further guidance was received from Chief Counsel per SERP Feedback Control 201402295. IPU 14U0974 issued 06-06-2014

(201) IRM 3.13.2.22.2(10) - Added instructions for processing Form 2553 submitted by a taxpayer with an EO submodule. IPU 14U1288 issued 08-26-2014

(202) IRM 3.13.2.22.2(10) - Revised instructions for processing Form 2553 if taxpayer has EO submodule. IPU 14U1349 issued 09-12-2014

(203) IRM 3.13.2.22.3 Corrected two typographical errors in subsection. IPU 14U0106 issued 01-13-2014

(204) IRM 3.13.2.22.3(5) Added text regarding Rev. Proc. 2013-30. IPU 14U0066 issued 01-08-2014

(205) IRM 3.13.2.22.4(6) Added instructions to tell taxpayer specific reason Subchapter S election could not be granted for requested effective date per SERP Feedback Control 201400771. IPU 14U0338 issued 02-18-2014

(206) IRM 3.13.2.22.4(6), (7), and (13) Added information on Rev. Proc. 2013-30 to (6) and (7) and added (13) causing following parens to renumber.IPU 14U0066 issued 01-08-2014

(207) IRM 3.13.2.22.4(6) - Added hyperlink to Multi Media Learning Object entitled 2553 Decision Tree. IPU 14U0858 issued 05-13-2014

(208) IRM 3.13.2.22.4(7) - Added language per SERP Feedback Control 201402414. IPU 14U0858 issued 05-13-2014

(209) IRM 3.13.2.22.4(7) - Revised language in Rev. Proc. 2013-30 subsection for clarity. IPU 14U0974 issued 06-06-2014

(210) IRM 3.13.2.22.4(7) - Added Note saying a letter sent by Entity Unpostables is proof a return was filed under Rev. Proc. 2013-30. IPU 14U1288 issued 08-26-2014

(211) IRM 3.13.2.22.4(7) Last Bullet - Deleted the words "excluding extensions" to clarify. IPU 14U1349 issued 09-12-2014

(212) IRM 3.13.2.22.4 Created (15) stating a separate statement for consistency is not needed when the December 2013 revision of the Form 2553 is being used. IPU 14U0259 issued 02-03-2014

(213) IRM 3.13.2.22.5(3) Revised instructions for using BK95 for LLCs. IPU 13U1794 issued 12-23-2013. IPU 14U0066 issued 01-08-2014

(214) IRM 3.13.2.22.6(5) - Removed erroneous language regarding Paragraph Selection Code use per SERP Feedback 201402051.IPU 14U0811 issued 05-05-2014

(215) IRM 3.13.2.22.6(5) - Revised instructions for a Deemed 8832.

(216) IRM 3.13.2.22.7(8) - Removed language saying to delete 1120-01 Filing Requirement Code as TC 092 was adding it. UWR 55703 implemented Jan. 2014.IPU 14U0460 issued 03-10-2014

(217) IRM 3.13.2.22.7(16)b THEN - Replaced 385C with 312C when requesting additional information to allow an earlier effective date on Form 2553.IPU 14U1195 issued 07-29-2014

(218) IRM 3.13.2.22.7(21) - Added (21) for instructions for processing Forms 2553 filed under Section 336(e). IPU 14U1230 issued 08-08-2014

(219) IRM 3.13.2.22.9(2), (4), and (6) - Added Paragraph Selection Codes for CP 264 to this subsection and made a slight language change. IPU 14U0460 issued 03-10-2014

(220) IRM 3.13.2.22.9(6) - Added new verbiage for the Paragraph Selection Codes (PSC) for CP 264.

(221) IRM 3.13.2.22.9(6) - Added Reminder - For processing a second denied Form 2553 per SERP Feedback Control 201403842. IPU 14U1230 issued 08-08-2014

(222) IRM 3.13.2.22.10(4) - Revised text in Form 2553 - Chief Counsel Referrals subsection.

(223) IRM 3.13.2.22.11(1) - Changed Revenue Procedure to 2015-1 (or its successor)

(224) IRM 3.13.2.22.12(3) Added text regarding Rev. Proc. 2013-30 to the Inadvertent Termination, Late and Invalid Elections subsection. IPU 14U0259 issued 02-03-2014

(225) IRM 3.13.222.22.14(1) - Added instruction to use Form 2275 if document not received after three timely requests via CC ESTAB.

(226) IRM 3.13.2.22.14(9) - Added (9) containing instructions for processing correspondence from the S corporation stating election was not signed by all shareholders. IPU 14U1349 issued 09-12-2014

(227) IRM 3.13.2.22.15(2), (3), and (4) - Clarified Prospective Date revocations.

(228) IRM 3.13.2.22.17(1) - Added IRC Section 1361(b) to (1).

(229) IRM 3.13.2.22.18(3) - Added "if necessary" regarding 326C letter.

(230) IRM 3.13.2.22.20 - Deleted (11) which caused remaining parens to renumber.

(231) IRM 3.13.2.22.20(12) - Added the word "stock."

(232) IRM 3.13.2.23(12) - Added verbiage saying Document Code 53 should be used on TCs 082 through 087. IPU 14U1195 issued 07-29-2014

(233) IRM 3.13.2.23(12)(e) Revised letter to send per SERP Feedback Control 201305655. IPU 14U0106 issued 01-13-2014

(234) IRM 3.13.2.23(18) Revised text in Form 8869 subsection per SERP Feedback Control 201400582. IPU 14U0338 issued 02-18-2014

(235) IRM 3.13.2.24(1) Revised instructions for routing of Forms 966 not worked in Entity. IPU 13U1656 issued 11-18-2013.IPU 14U0066 issued 01-08-2014

(236) IRM 3.13.2.25(2) - Removed unnecessary language.

(237) IRM 3.13.2.25(3), (9), and (12) - Revised IRC citation and minor text changes..

(238) IRM 3.13.222.25(12)a)1 and b) - Added instructions to update LLC Indicator in Then column.

(239) IRM 3.13.2.25(12)(f) - Language added to address posted TC09X. IPU 14U0647 issued 04-07-2014

(240) IRM 3.13.2.26.2(3) Moved (b) and added language to (b) and (c) per SERP Feedback Control 201304730. IPU 13U1643 issued 11-13-2013. IPU 14U0066 issued 01-08-2014

(241) IRM 3.13.2.26.3(l) - Minor text revision in Timeliness of Form 8832 subsection.

(242) IRM 3.13.2.26.5(1) Fourth Bullet - Deleted text in Form 8832 - Completeness subsection.

(243) IRM 3.13.2.26.6(3) 6th Bullet - Corrected typo.

(244) IRM 3.13.2.26.6(5)b) - Revised instructions for preparing deemed Form 8832.

(245) IRM 3.13.2.26.7(1) - Corrected typo in Rev Proc number.

(246) IRM 3.13.2.26.7(5) - Added language to clarify Rev. Proc. 2009–41 subsection. IPU 14U0811 issued 05-05-2014

(247) IRM 3.13.2.26.7(5)c) - Deleted text from Form 8832 - Relief for a late filed Form 8832 subsection.

(248) IRM 3.13.2.26.8(1) Third Bullet - Added the term "per se" to Form 8832 - Ineligible Filers subsection.

(249) IRM 3.13.2.26.10(6) - Added instructions to photocopy and associate documentation to posted TC 090 per SERP Feedback Control 201402525. IPU 14U0878 issued 05-16-2014

(250) IRM 3.13.222.26.11(1) - Added instruction when using the IAT Tool.

(251) IRM 3.13.2.26.11(4) - Added language regarding location and mailing addresses per SERP Feedback Control 201403253.IPU 14U1088 issued 07-01-2014

(252) IRM 3.13.2.26.11(5) - Added instructions to verify taxpayer is eligible for new classification if second Form 8832 is received per SERP Feedback Control 201400597. IPU 14U0338 issued 02-18-2014

(253) IRM 3.13.2.28(3) IF/THEN Chart - Added "TRANS-DT" per SERP Feedback Control 201400352. IPU 14U0259 issued 02-03-2014

(254) IRM 3.13.2.28.1(1) - Added text per SERP Feedback Control 201400351. IPU 14U0259 issued 02-03-2014

(255) IRM 3.13.2.28.1(1) NOTE - Added hyperlink to IRM 3.13.2.1.5.

Effect on Other Documents

This material supersedes IRM 3.13.2 dated November 22, 2013 (effective January 1, 2014). The following IRM Procedural Updates (IPU) issued between November 22, 2013 and September 12, 2014 have been incorporated into this IRM: 13U1718, 13U1794, 14U0066, 14U0106, 14U0150, 14U0259, 14U0338, 14U0460,14U0549, 14U0647, 14U0692, 14U0811, 14U0848, 14U0858, 14U0878, 14U0908, 14U0974, 14U0979, 14U1016, 14U1088, 14U1097, 14U1195, 14U1230, 14U1288, 14U1349

Audience

Wage and Investment Division/Submission Processing BMF Entity Employees

Effective Date

(01-01-2015)

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

3.13.2.1  (01-01-2015)
General Information

  1. This IRM provides procedures for establishing, maintaining and updating entities on the Business Master File (BMF).

  2. The instructions for processing Form SS-4 and using CC ESIGN are located in IRM 21.7.13 , Assigning Employer Identification Numbers. Reference to this manual is necessary when processing Form SS-4 or using CC ESIGN to assign an Employer Identification Number (EIN) for a return, document, or payment.

  3. The following IRMs and publications are used in conjunction with this IRM section:

    • Document 11426, IRS Correspondence Manual

    • IRM 2.3, IDRS Terminal Responses

    • IRM 2.4, IDRS Terminal Input

    • IRM 3.5.10, Remittance Transaction Research (RTR) System

    • IRM 3.5.61, Files Management and Services

    • IRM 3.10.72, Receiving, Extracting and Sorting

    • IRM 3.10.73, Batching and Numbering

    • IRM 3.11.16, Corporate Income Tax Returns

    • IRM 3.12.32 , General Unpostables

    • IRM 3.12.37, IMF General Instructions

    • IRM 3.12.166, EPMF Unpostables

    • IRM 3.12.278, Exempt Organization Unpostable Resolution

    • IRM 3.12.279, BMF/CAWR/PMF Unpostable Resolution

    • IRM 3.13.5, Individual Master File (IMF) Account Numbers

    • IRM 3.13.12, EO Account Numbers

    • IRM 3.13.36, EPMF Account Numbers

    • IRM 3.13.62, Media Transport and Control

    • IRM 3.13.222, BMF Entity Unpostable Correction Procedures

    • IRM 3.30.123, Work Planning and Control - Processing Timeliness: Cycles, Criteria, and Critical Dates

    • IRM 10.5.3, Privacy, Identity Protection Program

    • IRM 11.3.1, Introduction to Disclosure

    • IRM 11.3.2, Disclosure to Persons with a Material Interest

    • IRM 13.1.19, TAS Operations Assistance Request (OAR) Process

    • IRM 21.7.13, Assigning Employer Identification Numbers, EINs

    • Pub 15, Circular E - Employer's Tax Guide

  4. This IRM addresses Entity actions on returns, forms, documents and payments.

    • Return - Filed by taxpayers to report income/loss.

    • Form/document - Elective filings for various purposes: electing corporate status, FYM changes or elections, appointment of fiduciary or agent, etc.

    • Payment - Received in the form of Rejects and payments from Accounting Services. Remittance Transaction Research (RTR) will be utilized.

  5. The Integrated Automation Technologies - IAT:

    1. IAT provides tools to IRS employees that simplify research, reduce keystrokes and increase the accuracy of regular work processes.

    2. When IAT is used with IRS systems, it eliminates repetitive typing and making precise decisions.

    3. The use of IAT is mandatory. See the IAT web site for a list of available tools and User Guides.

    4. Managers will ensure that all employees receive training on the use and application of IAT tools.

    5. Appropriate research will be completed using CCs NAMEE, NAMEB, NAMES, NAMEI, FINDE and the Secretary of State offices.

3.13.2.1.1  (01-01-2015)
Section (§) 3705 (a), IRS Employee Contacts

  1. Background -

    1. The Restructuring and Reform Act of 1998, provides identification requirements for all IRS employees processing tax related matters.

    2. IRS employees are required to give their name and unique identification number during taxpayer telephone, face to face or written contact. In addition a telephone number is required on all taxpayer correspondence.

    3. This will provide taxpayers with enough information to identify an IRS employee who has previously assisted with tax related matters.

  2. 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:

    1. With telephone contact, the caller must provide their title, last name and their unique identifying number.

    2. With face to face contact provide your title and last name during the conversation and your badge ID number.

    3. Never leave any taxpayer information on the taxpayer's answering machine or voice mail per IRM 11.3.2, Disclosure of Official Information, Disclosure to Persons with a Material Interest.

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

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

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

  6. Faxes to taxpayers on tax related matters, are considered manually-generated correspondence and must include the required information. See IRM 11.3.1.11, Disclosure of Official Information - Introduction to Disclosure, for Disclosure requirements on faxing.

  7. 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.

  8. 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:

    1. Latest postmark on the envelope or latest date from a private delivery service mark,

      Note:

      When the envelope or label is not attached, use the postmark date stamped or handwritten on the return to determine the received date.

    2. Latest date by the taxpayer's signature (Exception: Use the signature date for prior year returns only when it is within the current year; also, do not use the signature date to determine the received date for replies to correspondence),

    3. Julian date minus 10 days (Julian date is in the Document Locator Number (DLN), see Document 6209, or)

    4. Today's (current) date minus 10 days.

  9. 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.

  10. 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. The International Number (1-267-941-1000 between the hours of 6:00 a.m. and 11:00 p.m. ET) will be provided if the mailing address on Master File (MF) is outside the United States. 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

    Reminder:

    The 6800sce/6801sce cannot be used for international taxpayers.

  11. 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.

  12. 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.

  13. 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.

  14. 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:

    • A Revenue Agent (RA) from Compliance/Exam needs EINs for taxpayers before they can open an investigation due to the taxpayer not paying their excise tax. The RA prepares the Substitute For Return (SFR) excise return and e-mails it to Cincinnati Submission Processing Center(CSPC) Entity. The receiving Tax Examiner (TE) assigns the EIN(s) and e-mails them (encrypted) back to the RA, or

    • IRM 3.14.2.4.6.2.3 , Notice Review-BMF Notice Review, instructs Notice Review Tax Examiners (TEs) to send photocopies of returns and/or notices to Entity for review of any questionable names (and addresses) they discover. Entity TEs will research IDRS and make any necessary corrections to the taxpayer's account. The TE may take an In and Out count for each EIN touched. Once the correction is made, the photocopies will be prepared for destruction and placed in the TEs Quality Review folder.

    Note:

    Do not perform ESTAB requests for other IRS employees. Advise them to contact their support staff.

  15. 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, Publishing - Overview of Publishing Authorities, Roles, Responsibilities, and Organizational Structure, and IRM 1.17.2, Publishing - Publishing Systems and Programs . 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.

3.13.2.1.2  (01-01-2014)
Taxpayer Advocate Service (TAS) Service Level Agreements

  1. 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/

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

    • Preparing Form 12412 , Operations Assistance Request (OAR), and

    • Securing all necessary supporting documentation, and

    • Forwarding Form 12412 and documentation on Form 3210 , Document Transmittal, to the W&I Division liaison, and

    • Clearly identifying an OAR requiring expeditious treatment.

  3. W&I Division is responsible for:

    • Assigning a liaison in each office or campus where a Taxpayer Advocate is located, and

    • Acknowledging receipt of the case via Form 3210 within one workday for cases designated as "expedite" or within three days for cases not designated "expedite," and

    • Responding to TAS within three workdays for cases identified "expedite" in writing, via facsimile or hand delivery regarding the relief/no relief decision, and

      Note:

      If utilizing fax, use blue or black ink in audit trail and on OAR.

    • Negotiate with TAS a reasonable time frame for resolution of cases not designated "expedite" and

    • Providing TAS with the name and telephone number of the W&I employee assigned the case, and

    • Upon resolution of the case, the W&I employee will complete Section VI of Form 12412 and return it to the TAS employee within three work days from the date all actions have been completed and/or transactions posted.

  4. BMF Entity TEs will be responsible for:

    • Researching prior modules for previous unpostable returns filed by the taxpayer, specifically TC 971 ACs 375, 376, and 377. CC TRDBV will be used to determine if the DLN of previous unpostables has been cancelled, and

    • Researching IDRS for any history items identifying letters sent by Entity Unpostables and/or Entity relating to Form 2553 and/or Form 1120S. See CCs BMFOL, ENMOD, TXMOD, UPTIN, UPDIS, and TRDBV, and

    • Considering completeness of previously submitted Forms 2553. Historically, Entity and Entity Unpostables were not able to approve S elections ‘for the next qualifying year.’ Therefore, there are taxpayers with denied elections that could have been approved for two years from the requested effective date. For example, T/P submitted incomplete 2553 for 2014 under a Rev. Proc. and election was denied. T/P was complete and timely for 2015, therefore election should be approved for 2015, and

    • Considering T/P intent and responsiveness:
      Did T/P respond to IRS letters?
      Is there evidence the T/P re-submitted complete Form 2553?
      Is there evidence T/P contacted IRS regarding Form 2553/Form 1120S issues?
      Did T/P submit corrected return?

    • Verifying T/P took appropriate route before contacting TAS: Did T/P take appropriate route for assistance before contacting TAS? See IRM 13.1.7.2. Did T/P call MeF Help Desk? Did T/P respond to Entity/Entity Unpostable letters?

    • Having the history of processing procedures for various Entity forms (2553, 8832, 2678, etc.) and possibly consider those procedures in evaluating the TAS cases.

    • ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

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

3.13.2.1.3  (03-10-2014)
Disaster Relief

  1. 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.

  2. 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/.

  3. This information is also posted to the SERP homepage on the "Who/Where" tab at the top of the window: Disaster Declarations/FEMA.

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

  5. 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.

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

3.13.2.1.4  (01-01-2015)
General Entity Procedures

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

    1. Batch all documents with appropriate control form/batch sheet. BMF Entity uses Entity Batch/Block Tracking System (BBTS).

    2. All incoming documents/correspondence will be stamped with an IRS/Entity received date stamp. This includes faxes received within any Entity team. The dates stamped by fax machines or a Fax Transmission Verification Report will not be used for determining timeliness. It is not necessary for Entity to date stamp returns (documents that post as a TC 150).

    3. Perfect entity for processing: correct and underline the name control per exception, correct the name (as needed per research of the Secretary of State's office via the internet), EIN, address, Fiscal Year Month (FYM) or tax period, Filing Requirements Codes (FRCs) etc. if needed, and annotate your actions in the lower left corner of the document. All documents touched by Entity will bear the TE's IDRS number and date. It is not necessary for Entity to correct existing abbreviation errors on the Entity module unless accessing the EIN for other Entity corrections.

    4. Documents that will be destroyed in the control team (Forms 8822/8822-B, correspondence, etc.) do not need a complete audit trail. TE IDRS number, EIN (if not on document) and date are sufficient. Place a large blue (or orange or purple) "X" on the document that will be destroyed and return it to your pack of documents. The control team will destroy the document upon their breaking down of the employee folders.

    5. When processing returns, it is not necessary to address minor name differences (for example, INC versus INCORPORATED or Co. versus Company) unless the name control is affected.

    6. Every document received in BMF Entity will be researched to ensure there is only one EIN (or SSN on some documents) assigned to the taxpayer. CCs NAMES/ NAMEE and/or NAMEI/NAMEB will be used to verify the EIN/SSN is correct and no other TIN exists for the taxpayer.

    7. If a taxpayer submits an original document (birth certificate, marriage license, passport, etc.) with their correspondence, prepare a Form 3699, Return of Documents to Taxpayer, and return the item to the taxpayer.

    8. If the IRS pre-printed label data is correct/without changes, do not underline the name control. If ANY change has been made to the label data, circle out the check digits and underline the name control.

    9. Always return an acknowledgement request back to the originator or requester, regardless if the taxpayer includes a return envelope.

    10. If a Form 8821 or Form 2848 is received with an Entity form and other returns are indicated, photocopy the document, write COPY in the center of the document and forward the original 8821/2848 to the CAF Team. The photocopy of Form 8821/2848 should remain attached to the Entity form. Also, the POA should receive a copy of any correspondence that is part of the case resolution.

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

    Ink Color Purpose
    Orange Used by Cincinnati for all documents, except returns processed by the Service Center Recognition/Image Processing System (SCRPS) returns.
    Purple Used by Ogden for all documents, except SCRPS returns.
    Blue Used by both sites to mark out IRS received dates on documents being returned to the taxpayer
    Blue, Orange, or Purple Used to place large "X" on documents to be destroyed in clerical team
    Blue or black Used on any document to be faxed back to the customer. For example, Social Security Administration (SSA) requests
    Green Used on SCRPS returns
    CSPC - Forms 940, 941, 1041, 1120, 1120S and Schedules K-1
    OSPC - Forms 940, 941, and Schedules K-1
  3. 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.

  4. 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.

  5. 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.

  6. 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.

  7. 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 082, TC 090, TC 094, TC 098 etc. To create and process a Dummy document you will:

    1. Write the word Dummy across the top of a blank Form 1128, Form 8716, or Form 2553, etc.

      Exception:

      If using a copy of Form 2553 as a Dummy Form 8832, write the word Deemed across the top.

    2. Complete the entity portion of the document with the taxpayer's name, address, and EIN.

    3. Enter the following on the document (if applicable): sequence number, effective date, FYM, Posting Delay Code, Blocking Series.

    4. When processing Dummy documents, ALWAYS suppress the IDRS generated Computer Paragraph (CP) notice by inserting "Z" in the Paragraph Selection Code. (PSC) field of CC BNCHG. It may be necessary to correspond with the taxpayer.

    5. Annotate the document with the reason a Dummy document is needed, for example: "TC 057 erroneously reversed -taxpayer did not terminate 444" . An audit trail containing IDRS number and the date of actions taken will be written in the bottom, left corner of every return/document.

    6. Input transaction into IDRS and place document in source document folder.

    7. If inputting a TC 076 from a Dummy Form 8832, research IDRS and the taxpayer's correspondence or conversion/reorganization paperwork to determine the correct input for the Type of Entity (TOE) and Form of Entity (FOE).

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  9. 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.

  10. 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.

  11. 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/her of Form 4506, Request for Copy of Tax Return. Inform the taxpayer that a fee is required.

  12. 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.

    • CIS documents are identified by the words CIS Image. Do not correspond for signature stamped below the signature line, or CIS is annotated on the front of the document. These annotations are from Accounts Management and do not apply to Submission Processing.

    • AM processes the CIS image prints in the same manner as original forms, documents, or correspondence.

    • All Entity forms must have a signature before they can be processed. Take the necessary action to secure signatures for each Entity form that has been imaged by CIS.

  13. 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, Error Resolution - General Unpostables, and IRM 3.12.279 ,Error Resolution - BMF/CAWR/PMF Unpostable Resolution. This report is available on Control D.

  14. 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.

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

  16. 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.

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

    • If the address on the return/document matches Master File (mailing or location), use that address.

    • If the address on the return/document does not match Master File and the address change box is marked, update Master File and send all letters to this address.

    • If the address on the return/document does not match Master File and the address change box is not marked, use the address on the return and send a 104C to the taxpayer advising of the address discrepancy. Direct the taxpayer to www.irs.gov for Form 8822-B.

    • If the return/document does not have an address change box, use the address on the return/document including information about the address discrepancy.

    • If the return/document indicates a PO Box with a physical location, input the physical address as the location and the PO Box as the mailing address.

    • When processing Form 7004, all letters will be sent to the mailing address on Master File. Extension requests are usually filed by third parties that tend to enter their own address on the Form 7004.

  18. 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.

  19. 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.

  20. 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.

  21. 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.

  22. 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. See Secretaries of State web site.

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

  24. If you receive returns or documents appearing to be frivolous or fraudulent, pull the documents and close from the batch.
    Route frivolous documents to Frivolous Returns Program (FRP), per IRM 25.25, Revenue Protection. If document is deemed to not be frivolous and is returned to Entity, process expeditiously with original IRS received date. Allow TE to take In & Out count for processing the document.
    Route fraudulent returns to:
    IRS - Frivolous Returns Program
    1973 N. Rulon White Blvd M/S 4450
    Ogden, UT 84404

  25. 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.

  26. 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.

  27. 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 and name of originator in the Remarks field.

  28. Electronic signatures are not acceptable on any document submitted to BMF Entity. However, a faxed signature is acceptable. Also, if multiple Forms 56 are filed simultaneously, a stamped signature can be used. See IRM 3.13.2.18(10) .

  29. The alphas "SD" will be the first two characters of the Remarks field when the input transaction is a source document. All source documents require the input of a sequence number.

  30. The special character named "closing bracket" ,], is used to isolate a surname in the primary name line when using CC ESIGN. It is placed immediately before the first letter of the surname and immediately behind the last letter, for example John Q]Taxpayer]Estate.

3.13.2.1.5  (09-12-2014)
Associating Documents to an E-Filed Return

  1. 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:

    • Employee IDRS number,

    • Input Date,

    • TC 290,

    • Amount ".00" ,

    • TIN,

    • Tax Period,

    • Block see (3) below,

    • Remarks "Attachment only" and,

    • Sequence Number. Sequence numbers for input should begin with "1" through "999" and remain in order.

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

    • Access CC TXMOD'A', overlay with CC REQ54, X-mit. This will bring up the CC ADJ54 screen

    • Input the sequence number from the IDRS input tag

    • BLK> See (3) below

    • CASE-STS-CD>C

    • IRS-RCVD-DT>Received Date of Case

    • ACTIVITY>ATTCH-ONLY

    • TC 290

    • AMT> .00

    • Hold-CD> 3

    • SOURCE-DOCUMENT-ATTACHED?> SD-

    • REMARKS> Attachment only

  3. Use the following blocking series:

    If MFT is Then Blocking Series is
    02 15
    05 17
    06 17
    10 15
    44 15
    67 10
  4. 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.

  5. See IRM 2.4.16, IDRS Terminal Input - Command Codes REQ54 and ADJ54.

3.13.2.1.6  (01-01-2015)
Processing Time Frames and Batching Requirements

  1. 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.

  2. 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.

  3. The time frames for processing BMF Entity inventory start from the IRS received date unless otherwise specified. See IRM 3.30.123, Work Planning and Control - Processing Timeliness: Cycles, Criteria, and Critical Dates.

  4. 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.

  5. 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.

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

  7. 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.

  8. 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 " .

  9. 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.

  10. Batch sizes are based on a theory of volume. The largest volumes received by Submission Processing BMF 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.

  11. 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.

  12. 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.

  13. BMF Entity TEs will process all IMF address changes/Forms 8822 received. However, if any other IMF program requires coordination with an IMF site, Ogden should contact Kansas City at 816-325-3407, their fax number is 816-292-6181, and Cincinnati should fax to Fresno at 559-456-5080. Phone and fax numbers are for internal use only. If volume is too large to fax, contact the appropriate site for mailing instructions.

3.13.2.1.7  (01-01-2014)
Entity Instructions for Routing Documents/Returns to Files

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

    • Send employee source document folders in date and IDRS number order. These will be sent on a batch cart, not in a box. Also, Entity TEs will release the source documents face up and in numerical order beginning with sequence number 001, and

    • Do not place (or replace) rubber bands around the returns or the folders holding the returns in pipeline, and

    • Detach Forms 4251 from all documents to be refiled, and

    • Clearly label all documents going to Files. For example, "EMPLOYEE FOLDERS IDRS TEAMS 04232-04236 FOR 2-9-12 AND 2-10-12" or "ENTITY UNPOSTABLES REFILES" .

  2. 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.

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

3.13.2.1.8  (01-01-2014)
Customer Account Data Engine (CADE) 2

  1. 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.

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

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

    • Campus Cycle: Thursday - Wednesday

    • Master File Processing: Friday - Thursday

    • Notice Review: Saturday - Monday (8+ days)

    • Unpostables: New UPCs available Tuesday; closing Tuesday

  4. BMF transaction posting time frames are outlined as follows:

    • Transactions will be viewable using CFOL command codes on Saturday following the weekly Master Files processing run on Thursday.

    • Transactions will be viewable as posted transactions using IDRS command codes on Monday, following the weekly Master File processing run on Thursday.

    • With the acceleration of the IDRS weekly analysis being performed the weekend directly after the Master File processing on Thursday, transactions will be posted instead of in pending status on Monday.

  5. Cycle posting dates will reflect a format of YYYYCCDD.

    • YYYY will indicate the year,

    • CC will indicate the posting cycle


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

    • 01 - Friday

    • 02 - Monday

    • 03 - Tuesday

    • 04 - Wednesday

    • 05 - Thursday


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

    • YYYY will indicate the year,

    • CC will indicate the posting cycle


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

3.13.2.1.9  (01-01-2015)
Identification Requirements For IRS Employees

  1. This section contains information on the Restructuring and Reform Act (RRA) of 1998, Section 3705(a), and provides identification requirements for all IRS employees working tax related matters.

    1. IRS employees are required to give their name and unique identification number any time they contact taxpayers or their personal representatives by telephone, correspondence or in person.

    2. A telephone number to contact the IRS is required on all taxpayer correspondence.

    3. This will provide taxpayers or their personal representatives with enough information to identify the IRS employee who had previously assisted them with tax related matters.

  2. All IRS employees who communicate by telephone, correspondence, or in person with taxpayers or their personal representatives on tax related matters, are required to provide (at a minimum) the following information:

    1. With all telephone contacts tax examiner must provide his/her title (i.e., Mr., Mrs., Ms., Miss) last name and their unique identification number.

    2. For all in-person contacts tax examiner must provide his/her title, last name and their unique identification number.

    3. Never leave any taxpayer information on the taxpayer's answering machine or voice mail per IRM 11.3.2 .

  3. All Correspondence to taxpayers or their personal representatives must contain a contact telephone number where the taxpayer's question(s) can be answered, tax examiner title, last name and provide their IDRS Number, Letter System or unique identification number.

    1. The IDRS number and numbers for some other Letter Systems are automatically generated. If it is not generated or a handwritten note is prepared, tax examiners unique identification number must be used.

    2. Employees who have toll free telephone numbers may also provide their location for identification purposes. Fax to taxpayers on tax-related matters are considered manually generated correspondence and must include the required information.

    3. Correspondence, whether sent directly to the taxpayer or to the taxpayer's personal representative, must contain the required information.

    4. When a taxpayer insists on speaking with the employee who had previously handled the inquiry or complains about the level of customer service previously provided, every attempt should be made to resolve the taxpayer's inquiry. If the issue cannot be resolved, then the employee should refer the inquiry to his/her manager.

    5. CORRESPONDEX letters will provide a specific employee name and telephone number only if the employee initiating the correspondence is in the best position to respond to questions that the taxpayer may have about the CORRESPONDEX Letter or if the taxpayer has been directed to provide additional case related information.

    6. Otherwise, if the taxpayer does not need to contact a specific employee then the correspondence needs only an IRS telephone number and standard signature.

    7. Secretaries, receptionists or people who answer the telephone in functional offices need to identify themselves and provide their Badge Identification Number only if they are answering telephones which are routinely used to provide tax return or tax account information, or if they provide a substantive response to the taxpayer's inquiry.

    8. It is not necessary to repeat the unique identification number on a subsequent contact when the nature of an employee's work involves multiple contacts with the same taxpayer and the employee has given the taxpayer his/her unique identification number on the first contact.

  4. 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 campuses. 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 1.17.1 and 1.17.2. For minor changes or additions to current letters, follow procedures in 3.0.275, Business Results Measures for Submission Processing functions.

  5. Never make taxpayer contact based on a Substitute For Return (SFR).

3.13.2.2  (01-01-2015)
Entity Types-Name Controls, Filing Requirement Codes (FRCs), and Authorized Representatives

  1. This subsection contains information and procedures for establishing the many different types of entities. The standards for completion of Entity fields will be outlined.

  2. The most commonly filed returns of each entity type will be listed.

  3. IDRS requires:

    • Primary name/continuation of primary name field cannot be longer than 70 characters (35 characters each line). A word will not be split between lines, and

    • The special characters hyphen (-) and ampersand (&) can be in the primary and sort name fields. If the taxpayer includes an apostrophe in their name, omit the apostrophe. If the taxpayer uses a period after an abbreviated word, omit the period, and
      For example, JANE'S STORE becomes JANES STORE

    • The special characters plus (+), and dot (.) will be spelled out.
      For example, "Tires + Mufflers Inc" will be entered as "TIRES PLUS MUFFLERS INC"
      "Taxpayer.org" will be entered as "TAXPAYER DOT ORG" as we know the period is pronounced "dot" in the name, and

      Note:

      This does not apply to periods following an abbreviation. Periods following abbreviations will be dropped. For example, L.L.C. entered by the taxpayer is entered LLC onto IDRS.

    • The forward slash "/" and backward slash "\" will be replaced with a hyphen "-" , and

    • All other special characters will be omitted and a blank space entered in it's position in the name line.

  4. When a sort name is input, the BMF will identify the sort name which allows it to be used on the Name Search Facility (NSF). The NSF is accessed with CCs NAMES and NAMEE to locate and identify the taxpayer.

  5. If the sort name is an individual name, complete the sort name line field with the taxpayer's name as indicated by the taxpayer followed by their title. Prior to 11-30-08, Entity entered the Sort Name with the taxpayer's last name first, followed by their first name, middle initial and title. This was referred to as the "sort line format" .

  6. To delete a sort name, input the symbols "$$" on the Sort Name field.

  7. These common Spanish words may appear in business names.

    • Senor (Mr.), or

    • Senora (Mrs.), or

    • Hijos (Sons), or

    • Hermanos (Brothers), or

    • S. A. (INC)

  8. The document/return must be signed by the taxpayer or authorized representative for IRS to update any information (name, address, etrc.)

3.13.2.2.1  (01-01-2015)
Corporations-Name Controls, FRCs, and Authorized Representatives

  1. 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:

    • date of incorporation,

    • name changes,

    • type of entity/annual filing requirement,

    • any changes in structure/owners,

    • status with state,

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

    Note:

    The suffix "LTD" does not warrant the filing of a corporation nor a partnership/LLC. If the correct filing requirement cannot be determined, research the Secretary of State's office.

  3. The word "The" should be bracketed so it does not affect the name control.
    Name: The Meadowlark Company
    Name Control: The]Meadowlark Company

  4. Include "The" in the name control when it is followed by only one word.
    Name: The Flamingo
    Name Control: TheFlamingo

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

  6. 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.

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

  8. 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).
    Name: George Giraffe PSC
    Name Control: George Giraffe PSC

  9. When the organization name contains the words "Fund" or "Foundation" , corporate name control rules apply. See IRM 3.13.12, Campus Document Services - Exempt Organization Account Numbers.
    For example, Kathryn Canary Memorial Foundation.

  10. 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

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

    1. The filing of a return without an EIN (Form 1120, Form 940, Form 941, Form 943, Form 944, Form 945, Form 720, Form 730, Form 11-C, Form 2553, certain Forms 990 or Form 2290).

    2. The changing of a name on a return.

    3. Requesting a name change through correspondence.

    4. Perfecting the entity.

  12. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

  13. 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.

  14. 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.

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

    1. The only organization which you will always abbreviate is Parent Teachers Association (PTA). The name control will be "PTA" plus the first letter of the name of the state.
      Name: Parent Teachers Assn Congress of Georgia
      Name Control: PTAG

    2. The name control for a local or post number is the first four characters of the national title.
      Local 210, International—Input as INTE
      Post 3120, Veterans of Space Wars—Input as VETE

    3. Use the name control of the national organization name if there is a Group Exemption Number (GEN).

    4. For churches and their subordinate (for example nursing homes, hospitals), the name control will be derived from the legal name of the church, etc.
      Name: Locust Church
      Name Control: Locust Church

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

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

  18. See chart in IRM 3.13.2.13.1(5).

  19. The title(s) listed below are valid authorized representatives. If a different title is shown, a Form 2848 or Form 8821 is needed:

    • President,

    • Vice President,

    • Secretary,

    • Treasurer,

    • Assistant Treasurer,

    • Chief Accounting Officer,

    • Any Tax Officer, including Controller

3.13.2.2.2  (01-01-2015)
Partnerships-Name Controls, FRCs, and Authorized Representative

  1. 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.

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

  3. See chart in IRM 3.13.2.13.1(5).

  4. 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.

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

    • An unincorporated business jointly owned by a married couple, and

    • qualified joint venture (however, Public Law 110-28) provides that a "qualified joint venture" , whose only members are a husband and a wife filing a joint return, can elect not to be treated as a partnership for Federal tax purposes.

  6. 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).

    • If a partnership name has not been provided, use the partner's name(s) followed with the abbreviation "PTR" .

    • If it is not possible to list all the partners as the primary name (up to 70 characters), list the maximum number of names and add the phrase "ET AL PTR" .

      Note:

      If the account indicates a Limited Liability Company (LLC), follow the primary name line with "LLC" .

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

  7. 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.

    If... Then...
    a) The partnership has a true name and a trade name Enter the true name in the primary name line, trade name in the sort name line field and the general partner's name in the "Care of Name" field.
    b) The partnership has a trade name but does not supply their true name Enter the trade name in the sort name line field and the partner's name with "ET AL PTR" in the primary name line
    c) A business is the general partner Enter the partner's name followed by GEN PTR in the "Care of Name" field
    d) The partnership does not have a trade name Enter the true name of the partnership in the primary name line and the general partners's name in the sort name line field
  8. The name control for a partnership will be derived in the following order of selection:

    1. The first four characters of the first partner's last name.
      Burgandy, Olive & Cobalt, Ptrs.

    2. The first four characters of the business (dba) or trade name.
      Rosies Restaurant

  9. The word "The" at the beginning of trade names and business names will be bracketed so it does not affect the name control. For example:.
    The Meadowlark Company will be entered as THE]MEADOWLARK COMPANY. If "The" is followed by one word, enter as part of the name control, for example: The Conservatory is entered as THECONSERVATORY

  10. 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.

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

    1. The filing of a return without an EIN (Form 940, Form 941, Form 943, Form 944, Form 945, Form 720, Form 730, Form 11-C, or Form 2290)

    2. Perfecting the name on a return

    3. The filing of return (Form 1065) without an EIN

  12. 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:

    • DBA or trade name, then

    • Legal name

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

    • DBA or trade name (if the legal partners names are not on the name line), then

    • Legal partner(s) names

  14. See IRM 3.13.2.9.28.

  15. The title(s) listed below are valid authorized representatives. If a different title is shown, a Form 2848 or Form 8821 is needed:

    • General Partner

3.13.2.2.3  (01-01-2015)
Limited Liability Companies (LLCs) - Name Controls, FRCs, and Authorized Representatives

  1. 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:

    • An individual, or

    • A trust, or

    • An estate, or

    • A partnership, or

    • An association, or

    • A company, or

    • A corporation, or

    • An LLC

  2. LLC information can be found on the Secretaries of State Web Site.

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

    Note:

    If the account indicates a Limited Liability Company (LLC), follow the primary name line with "LLC"

  4. The suffix "LTD" does not warrant the filing of a corporation nor a partnership/LLC. If the correct filing requirement cannot be determined, research the Secretary of State's office.

  5. There are two types of LLCs: Single member and Multi-member. Single Member LLCs are also called Disregarded Entities.

  6. Husband and Wife can be considered a Disregarded Entity if they live in a community property state: Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, or Wisconsin

  7. Treasury Regulations 301.7701-2(c)(2)(iv)(B) (as amended by T.D. 9356, 2007–39 I.R.B. 675) 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.

    • For employment taxes on wages paid on or after January 1, 2009, and

    • For excise taxes imposed and actions first required or permitted in periods beginning on or after January 1, 2008,


    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).

  8. Multi member LLCs default to the classification of a partnership.

  9. 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.

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

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

  12. If the LLC name begins with the word "The" , bracket it so it does not affect the name control:THE MEADOWLARK COMPANY LLC should be entered as THE]MEADOWLARK COMPANY LLC. However, if the word "The" is followed by only one word, it will become part of the name control: THEMEADOWLARK LLC

  13. 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.

  14. 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.

  15. If a trade name/DBA is added, move the member's name and designation to the Care of Name line.

  16. If a business is the managing member of an LLC, enter the business name in the Care of Name field.

  17. The title(s) listed below are valid authorized representatives. If a different title is shown, a Form 2848 or Form 8821 is needed:

    • Managing Member

    • Sole Member

  18. Currently there is an LLC indicator field on CC ENMOD. The field is identified as LLC-CD on IDRS. "S" in the LLC Indicator field means the taxpayer is a single member LLC; "M" in the field means the entity is a multi member LLC.
    Ensure the LLC Indicator is correct, if not, update. If research determines the entity is not an LLC, or you are unable to determine the correct type of LLC, remove the LLC indicator via CC BNCHG by placing a "9" in the LLC indicator field.

  19. Ensure the X-REF-TIN-ITIN-IND and the X-REF-TIN-ITIN fields are accurate. Update if necessary.

3.13.2.2.4  (01-01-2015)
Trusts-Name Controls, FRCs, and Authorized Representative

  1. 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.

  2. 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.

  3. 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.

  4. 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:

    1. The first four characters of an individual's last name.
      Name: Michael T. Azalea Revocable Trust
      Name Control: Michael T]Azalea]Rvoc Tr

    2. For corporate taxpayers, use the first four characters of the corporate name.
      Name: Sunflower Company Employee Benefit Trust
      Name Control: Sunflower Company Employee Benefit Tr

  5. 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.

    • Name: 0001 GNMA Pool

    • Name Control: 1GNM

    • Name: GNMA Pool 0002

    • Name Control: 2GNM

    • Name: GNMA Pool 00100

    • Name Control: 100G

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

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

  8. The information for inputting trust names are derived from:

    1. The filing of a return (Form 940, Form 941, Form 944, Form 945, Form 1041, Form 5227, Form 1041-A, and some Form 990, Form 990-PF or Form 990-T returns).

    2. Requesting a change through correspondence.

    3. Perfecting fiduciary from a Form 1041.

    4. Perfecting the entity,

    5. Form 56.

  9. 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:

    NAME /or PHRASE ABBREVIATION
    Administrator/Administratrix ADM
    Trust TR
    Under the will of, U/W, under will UW
    Under agreement, U/A, Under agreement with UA
    Dated Jan. 16, 2014 01162014 (do not enter "date" /"dated" or the alpha month).
    Irrevocable Trust IRRV TR
    Revocable Trust RVOC TR
    Trustee TTEE
    For the Benefit of, F/B/O, F B O FBO
    Gift Trust, Giftrust GIFT TR
    Family Trust FAM TR
    Marital Trust MRTL TR
    Funeral Trust FNRL TR
    Inter-Vivos INTRVS
    Non-exempt Charitable Trust NECT
    Revocable RVOC
    Testamentary TEST
    Under Trust Agreement UTA
    Voluntary Employee Benefit Association VEBA
    Insurance INS
    Living LIV
    Charitable Remainder Unitrust CRUT
    Charitable Remainder Annuity Trust CRAT
  10. Always make the individual trustee, personal representative, etc. a sort name.

    1. Do not sort a bank, mortgage company or corporation. This type of trustee will be on the "Care of Name" line.

    2. If it is not possible to list all the trustees as the sort name, list the maximum number of names and add the phrase "ET AL TTEE" .

  11. The following are examples of inputting trust names:

    Taxpayer shows Input
    Sophie Spathe Snipe irrevocable trust FBO Emil Spathe Snipe under agreement dated Oct. 13, 2014 Viceroy Bank Trustee Primary Name
     SOPHIE SPATHE]SNIPE]IRRV TR FBO Continuation of Primary Name
     EMIL SPATHE SNIPE UA 10132014
    Care of Name
    % VICEROY BANK TTEE
    Irrevocable Trust F/B/O William Michael Nancy Raccoon Mission National Bank Trustee under agreement with Howard Raccoon dated Jan. 15, 2014 Primary Name
     HOWARD]RACCOON]IRRV TR FBO WILLIAM Continuation of Primary Name
     ]MICHAEL NANCY RACCOON
     UA 01152014
     Care of Name
    % MISSION NATIONAL BANK TTEE
    Camel Trust & Savings Co TTEE for Harvey Hare Trust for the benefit of Molly Hare U/A dated Nov. 18, 2014 Primary Name
     HARVEY]HARE]TR FBO MOLLY HARE
    Continuation of Primary Name
     UA 11182014
    Care of Name
    % CAMEL TRUST SAVINGS CO TTEE
    Turtle Memorial Cemetery Perpetual Trust Fund William C Bear Trustee Primary Name
     TURTLE MEMORIAL CEMETERY TR
    Continuation of Primary Name
     PERPETUAL FUND
    Sort Name
     WILLIAM C BEAR TTEE
  12. 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.

  13. 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, Campus Document Services - Exempt Organization Account Numbers.

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

  15. The title(s) listed below are valid authorized representatives. If a different title is shown, a Form 2848 or Form 8821 is needed:

    • Fiduciary

    • Trustee

    • Beneficiary

3.13.2.2.5  (01-01-2015)
Estates-Name Controls, FRCs, and Authorized Representatives

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

    1. The word "Estate" will be added to the primary name, if it can be identified as an estate.

    2. The name will be rearranged to show "Estate" after the individual's name.

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

  3. The last name of the decedent must be followed by the word "Estate" in the primary name line.
    Name: Howard J. Smith Dec'd
    Name Control: Howard J]Smith]Estate

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

    • Personal Representative to PER REP

    • Fiduciary to FID

    • Executor/Executrix to EX

    • Administrator to ADM

    • Successor to SUCC

  5. Estates are not required to use a particular tax year ending. Once a tax year ending has been established, an estate cannot change without chief counsel approval.

  6. Estates will file Form 1041.

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

  8. The title(s) listed below are valid authorized representatives. If a different title is shown, a Form 2848 or Form 8821 is needed:

    • Fiduciary

    • Executor/Executrix

    • Administrator

    • Personal Representative

3.13.2.2.6  (01-01-2015)
Sole Proprietors and Individual Taxpayers-Name Controls, FRCs, and Authorized Representatives

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

  2. 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.).

  3. 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.

    Example:

    A business name can be Jones & Smith. An individual's name cannot be Jones & Smith.

    1. To use CC BNCHG on Form 709 accounts, Master File Tax Code (MFT 51) must be present in the MFT> field and the year digit must be present in YYYY format in the NM-YR/QTR> field of CC BNCHG. The year will be the tax year of the return being processed.

    2. For Form 706 accounts (MFT 52), MFT> field must be present along with the DT-OF-DEATH> field in MMDDYYYY format.

    3. For Form 706 and Form 709, the Taxpayer Identification Number (TIN) must be an SSN and the Primary name line can only be for an individual.

    4. An SSN (IMF) account only has a Primary name (35 characters) - never use the Continuation of Primary name.

    5. Form 706GS(T) TIN may be either EIN or SSN. Name lines will be treated as trust name line inputs.

    6. Form 706GS(D) TIN may only be SSN. Name lines will be treated as trust name lines.

  4. 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.

  5. The sort name will be used for the following:

    1. Sole Proprietors will have their business/trade name the Sort Name field.

    2. "Account under TEFRA" if it is a Pension Trust. "TEFRA" is an acronym for Tax Equity and Fairness Recovery Act.

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

  7. 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.

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

  9. 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.

  10. 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.

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

  12. 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:
    True Name: Arthur P. Aspen
    Trade Name: Sunshine Restaurant
    Name Control: Arthur P]Aspen

  13. When two last names are used, the name control is the first four letters of the second last name:
    Maiden Name: Daisy Oak
    Married Name: Daisy Oak Tree
    Name Control: Daisy Oak]Tree

  14. 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:
    Name: Jane Smith-Jones
    Name Control: Jane]Smith-Jones

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

  16. 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:

    • Name: Juan Garza Morales

    • Name Control: Juan]Garza]Morales

    • Name: Maria Lopez Moreno

    • Name Control: Maria]Lopez]Moreno

  17. For last names that have only two letters:
    Name: Sunny Ming Lo
    Name Control: Sunny Ming]Lo(blank)(blank)

  18. Vietnamese names will often have a middle name of Van (male) or Thi (female):
    Name: Kim Van Nguyen
    Name Control: Kim Van]Nguyen

  19. 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.

  20. PREFIX on Sole Proprietor Individual.

    1. Delete prefixes from true names or surnames. Examples of prefixes to be deleted are Mr., Rev., Dr., Capt., Hon., Gov., Miss, Mrs.

      Note:

      Do not delete "Mrs." when shown with the full name of the husband.

      (for example, Mrs. Richard Green) or a name of indeterminate gender (for example, Mrs. Chris Blue).

    2. Delete prefixes from the Sort Name. Examples of prefixes to be deleted are DBA, TA, AKA, etc.

  21. SUFFIX on Sole Proprietor Individual.

    1. Delete all suffixes from the Primary Name, such as Owner, Agent, Attorney, Proprietor, etc.

    2. Do not delete suffixes such as DDS, MD, PHD, Jr., Sr., III, etc.

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

    1. The filing of a return (Form 940, Form 941, Form 943, Form 944, Form 945, Form 720, Form 11-C, Form 730, or Form 2290).

    2. The changing of the name on a return.

    3. Requesting a change of name through correspondence.

    4. Perfecting an entity.

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

    1. The primary name line will consist of a true name.

    2. The sort name line will consist of a trade name or DBA (doing business as) name. Primary Name James P. Rain, Sort Name Sunshine Restaurant

    3. An individual name can only consist of one name. Although, a numeric character or ampersand (&) is a valid input for the primary name line, an individual's name in that field cannot contain a numeric character or ampersand.

      Example:

      A business name can be 357. An individual's name cannot be 357.

    4. Household Employers use the given name of the taxpayer, if available on the source document. First Name Line shows "Mrs. Albert Almond" and the signature shows "Gloria Almond" , place "Gloria Almond" in the Primary Name Line on the BMF.

  24. 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.

    1. The "Y" (Spanish for "and" ) if present, between two names precedes the Matronymic (mother's surname).

    2. Delete the following Spanish titles ESP, ESP DE, ESPOSA DE (wife of VDA), VDA, DE VIUD (widow of), Senor (Mr.), Senora (Mrs.), Hijos (sons), Hermanos (brothers), and in some cases DE (of).

    3. The Spanish phrase "DEL" or "DE LA" preceding a name is part of the name.

    4. These common Spanish words may appear in business names. Senor (Mr.) Senora (Mrs.), Hijos (Sons), and Hermanos (Brothers).

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

    • Name: Elena de la Rosa

    • Name Control: Elena]dela]Rosa

  26. The title(s) listed below are valid authorized representatives. If a different title is shown, a Form 2848 or Form 8821 is needed:

    • Owner

    • Sole Proprietor

3.13.2.2.7  (01-01-2014)
"Care of Name"

  1. 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.

  2. 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.

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

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

  5. 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 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.

3.13.2.3  (07-02-2014)
BMF Addresses

  1. BMF addresses are added to Master File upon assignment of the taxpayer's EIN. Master File maintains two address fields for BMF taxpayers: mailing address and location address.

  2. IMF taxpayers have only a mailing address field.

  3. Entity TEs are responsible for inputting correct address information with the use of CC ESIGN and CC BNCHG.

  4. Entity will not change the address of a taxpayer bearing a Large Corporation Indicator (LCI). See IDRS Command Code Job Aids for CCs ENMOD , BMFOL'I' and SUMRY for assistance in identifying an LCI. The change of address request (or Form 8822, Form 8822-B ) should be routed to the Large Corporation/Technical Team in the respective sites with the message "LCI Address Change" entered on the routing slip. See IRM 21.7.1.4.11.4.

    Note:

    The IAT tool for Address Changes identifies the LCI in the "Account Conditions" field. If IAT is unavailable, the address change request should be researched on IDRS manually to identify an LCI.

  5. 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.

  6. According to postal regulations, mail will be delivered to the last address immediately preceding the city, state and ZIP code. A Post Office (PO) Box will always be the mailing address if present. For trusts and estates only, if the taxpayer indicates the street address is the mailing address and the PO Box is the location address, leave the PO Box as the location address.

  7. When inputting either the mailing or location street address information, follow these guidelines:

    • Do not leave a blank space between the house or building number and a suffix,
      Taxpayer submits 1234 B North Street. Input as 1234B NORTH ST,

    • If present, always input the street suffix such as street, drive, lane, terrace, etc. See chart in (15) below,

    • If present, always include the street directional such as North, South, East, West,

    • Always input the suite, apartment number, room number, etc. at the end of the street address line,

    • If the address contains a fraction, utilize the forward slash (/) between the numeric fields. For example, 1/2.

    • If the address contains a hyphen (-) such as 289–01 MAIN ST, enter the hyphen as part of the address. Do not remove the hyphen. Do not leave any additional spaces around the hyphen,

    • If the address contains the symbol "&" (ampersand), always input the word "and" in its place,

    • If the address contains a decimal point such as 1.5 MILES SOUTH OF HWY 19, convert the decimal point to a fraction. Input as 1 1/1 MILES SOUTH OF HWY 19,

    • If the address contains a pound sign such as 1532 MAIN ST #15. Input as 1532 MAIN ST 15. If the street address contains an abbreviation for "number" , omit from entry into address line on IDRS,

    • A city or town name (that is long) will only be abbreviated for lack of space in the IDRS field,

    • The Private Mail Box (PMB) must be entered at the end of the address regardless of where it is shown in the incoming address. It will always be included with the street address,
      Example: Private Mailbox 3, 102 S. 38 will be entered as 102 S. 38 PMB 3. When entering data from a document which has a Private Mailbox (PMB) number, to ensure consistency, input the PMB on the street address line according to the example above. If it is located in an area other than the street address line make the correction to move it to the correct line. (for example, PMB on the street address line).

  8. If city or state is missing or incomplete and the ZIP code is present, research the United States Postal Service (USPS) web site at http://www.usps.com to determine the city and state.

  9. Only the primary five digits of the ZIP code should be entered. IDRS and the FINALIST program automatically expand the ZIP code to 12 digits.

  10. Mail going to a domestic taxpayer will carry two name lines. The priority of these name lines is as follows.

    1. Always the primary name (legal name).

    2. Always sort name if present on the BMF or Care of Name or Foreign street address or continuation of primary name if no foreign street is present.

  11. To ensure outgoing mail contains pertinent information, primary name, care of name, sort name and address must be properly input.

  12. If the city listed is a major city, the Major City Code may be input in place of the city and state information on the mailing address and location address. Major City Codes are now universal and can be used in any processing site. If the Major City Code is used, it must be followed by a ZIP code. (Input requires that the Major City Codes be followed by two commas and then the ZIP code.) See Document 7475.

  13. If there is any question regarding the correct mailing and/or location address (directionals, building number range, ZIP code, spelling, etc.) access the USPS web site at http://www.usps.com. Adhere to the IRS address abbreviation rules.

  14. 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.

    • When processing forms/documents that have an "address change box" , Master File will be updated only if the "address change box" has been marked by the taxpayer;

    • Master File will not be updated with the address from a form that does not have an "address change box" unless the taxpayer has given clear instructions to update his address.

    • A PO Box is indicated with a physical address, input the physical address as the location and the PO Box as the mailing address.

    .

  15. The words "East, West, North, South" will only be abbreviated when used as a directional for a street name. For example:
    Taxpayer enters: 1105 North Main Street,
    Enter on IDRS: 1105 N MAIN ST

  16. Plurals for street, road, avenue, etc., will be entered as STS, RDS, AVES, etc. Street address for First, Second, Third, 1st, 2nd, or 3rd will be entered onto IDRS as the taxpayer entered.

  17. Always use the street address abbreviations shown below with CCs ESIGN and BNCHG. It is not necessary for Entity to correct incorrect abbreviations existing on an EIN unless accessing EIN for other Entity changes.

    Word Abbreviation Word Abbreviation
    Air Force Base AFB Northeast NE
    Apartment APT Northwest NW
    Avenue AVE one half, one fourth - all fractions 1/1, 1/1
    Boulevard BLVD Parkway PKWY
    Building BLDG Place PL
    Care of % Post Office Box PO BOX
    In care of % Road RD
    Circle CIR Room RM
    Court CT Rural Route RR
    Courts CTS Route RTE
    Department DEPT Rural Delivery RD
    Drive DR South S
    East E Southeast SE
    Floor FL Southwest SW
    Highway HWY Square SQ
    Highway Contract HC Street ST
    Lane LN Suite STE
    North N Terrace TER
        West W

    Note:

    The words "General Delivery" will no longer be abbreviated.

  18. The following abbreviations will only be used if needed to limit street address fields to 35 characters:

    Word Abbreviation Word Abbreviation
    Alley ALY Inlet INLT
    Annex ANX Island IS
    Arcade ARC Islands ISS
    Bayou BYU Isle ISLE
    Beach BCH Junction JCT
    Bend BND Key KY
    Bluff BLF Knolls KNLS
    Bottom BTM Lake LK
    Branch BR Lakes LKS
    Bridge BRG Landing LNDG
    Brook BRK Light LGT
    Burg BG Loaf LF
    Bypass BYP Locks LCKS
    Camp CP Lodge LDG
    Canyon CYN Manor MNR
    Cape CPE Meadows MDWS
    Causeway CSWY Mill ML
    Center CTR Mills MLS
    Cliffs CLFS Mission MSN
    Club CLB Mount MT
    Corner COR Mountain MTN
    Corners CORS Neck NCK
    Course CRSE Orchard ORCH
    Cove CV Plain PLN
    Creek CRK Plains PLNS
    Crescent CRES Plaza PLZ
    Crossing XING Point PT
    Dale DL Port PRT
    Dam DM Prairie PR
    Divide DV Radial RADL
    Estates EST Ranch RNCH
    Expressway EXPY Rapids RPDS
    Extension EXT Rest RST
    Ferry FRY Ridge RDG
    Field FLD River RIV
    Fields FLDS Shoal SHL
    Flats FLT Shoals SHLS
    Ford FRD Shore SHR
    Forest FRST Stream STRM
    Forge FRG Summit SMT
    Fork FRK Trace TRCE
    Forks FRKS Track TRAK
    Fort FT Trail TRL
    Freeway FWY Trailer TRLR
    Gardens GDNS Tunnel TUNL
    Gateway GTWY Turnpike TPKE
    Glen GLN Union UN
    Green GRN Valley VLY
    Grove GRV Viaduct VIA
    Harbor HBR View VW
    Haven HVN Village VLG
    Heights HTS Ville VL
    Hill HL Vista VIS
    Hills HLS Wells WLS
    Hollow HOLW    

3.13.2.3.1  (01-01-2014)
ESIGNing a BMF Address

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

  2. 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.

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

3.13.2.3.2  (01-08-2014)
FINALIST Program

  1. The FINALIST program is standardization software used by the United States Postal Service (USPS) to ensure addresses are valid and correct. FINALIST knows if building numbers are valid.

  2. FINALIST is used to ensure the IRS’s outgoing mail, notices, tax packages, etc. comply with the USPS address standards.

  3. An address that is entered into IDRS and does not meet the USPS standards WILL NOT update and/or post with the input address.

  4. The USPS allows thirteen characters (including spaces) for city names. FINALIST will abbreviate city names if needed to reduce the number of characters to thirteen.

  5. FINALIST will also abbreviate street names. However, a list of abbreviations used by FINALIST is not available. It is not necessary for TEs to "correct" FINALIST abbreviations.

3.13.2.3.3  (01-01-2014)
Updating BMF Addresses

  1. 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.

  2. The charts in IRM 3.13.2.3 governing address field abbreviations will also be applied to this subsection of IRM.

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

  4. 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.

  5. 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.

    • The campus address should only be placed on accounts of victims of identity theft. These accounts will be identified by a TC 971-501 or TC 971-506 on CC ENMOD; and

    • If during the course of processing your assignments you discover an EIN with a campus address, the following actions will be taken: Research CCs ENMOD, FINDE, and FINDS for a valid Last Known Address (LKA). If found, send Letter 104C requesting completion of Form 8822/8822-B. If LKA is not found, input TC 593-82 on all open FRCs.

  6. 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.

  7. 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).

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

    • MFT of return, and

    • Tax Period of Return, and

    • Name and title of signature, and

    • Telephone number (if available).

3.13.2.3.4  (01-01-2014)
Domestic International Addresses (APO, FPO, MP, PR, GU, AS, FM, VI, MH, PW, AA, AE and AP)

  1. 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:

    Country State Code ZIP code
    Americas APO AA 34000-34049
    Americas FPO AA 34050-34099
    Europe APO AE 090XX-094XX
    096XX-098XX
    Europe FPO AE 095XX
    Pacific APO AP 962XX–965XX
    97800-97859
    Pacific FPO AP 966XX and
    98760-98799


    The following are examples of CC BNCHG input formats:

    PVT. Daisy Flower Jean Rose, PCC (SW), USN
    Company F, PSC Box 100 USS Oak
    167 Infantry Regt. FPO AP 96667
    APO AE 09801  
  2. The territories and possessions listed below are not entered as international addresses and require a valid state code and ZIP code:

    Country State Code ZIP Code
    Virgin Islands VI 008nn
    Puerto Rico PR 006nn, 007nn, 009nn
    Guam GU 969nn
    American Samoa AS 96799
    Northern Mariana Islands MP 969nn
    Palau PW 969nn
  3. If the name of the foreign country is not present and cannot be determined, research using a geographical dictionary.

  4. 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).

3.13.2.3.5  (01-01-2014)
Foreign International Mailing and Location Addresses (other than APO, FPO, MP, FM, MH, PW, PR, GU, AS, and VI)

  1. The following fields will be used for international entities:

    • Primary Name;

    • Continuation Primary Name;

    • Sort Name;

    • Care of Name;

    • Foreign Street Address;

    • Mailing Street or Foreign City/Postal Code;

    • Mailing City or Foreign Country/State/ZIP (State Field = (,)(.) ZIP = blank);

    • Location Street Address; and

    • Location City/State/ZIP.

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

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

  4. The ZIP code field must always be a blank.

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

  6. 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.

  7. To input a foreign address as a location address:

    1. The location ZIP must be a period (.).

    2. The location city field must be at least 3 alpha characters, with no major city codes.

    3. The foreign country must be input in the location state field and must be at least 3 alpha characters followed by a comma (,).

    4. The location street address must be present.

  8. 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.

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

  10. 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.

  11. The following is an example of a foreign address change:

    Figure 3.13.2-1

    This image is too large to be displayed in the current screen. Please click the link to view the image.
  12. See IRM 3.13.5, Campus Document Services - Individual Master File (IMF) Account Numbers, for an example of an IMF foreign address change.

  13. 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.

3.13.2.3.6  (01-01-2015)
Change of Address

  1. 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. The correspondence must be signed by the taxpayer or their authorized representative for us to update IRS records.

  2. 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.

    • When processing forms/documents that have an "address change box" , Master File will be updated if the "address change box" has been marked by the taxpayer;

    • Master File will not be updated with the address from a form that does not have an "address change box" unless the taxpayer has given clear instructions to update his address;

    • Generally, the taxpayer's address will be updated from every return received per Rev. Proc. 2010-16. Ensure the return is not a copy of a previously filed/posted return.

    • If a return indicates a PO Box and a physical address, input the physical address as the location and the PO Box as the mailing address.

  3. 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:

    • BMF XX-9-63-995-777-66-Y

    • IMF XX-2-63-995-999-99-Y

  4. 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.

  5. 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. This policy applies to signatures accompanied by titles such as owner, president, etc. This authority does not apply to third party requests. A Form 2848 is required for a third party not listed on CC CFINK.

  6. Use the following table to process an address change:

    If... Then...
    a) The documentation is for an. address change only (including Form 8822/8822-B), Enter the entire taxpayer address into CC BNCHG. A TC 014 will generate from the input. The forms or documentation will be X'd out and destroyed by the Entity Control Team.
    b) A domestic street address is input, The mailing city, state and ZIP must be input.
    c) A foreign street address is input, The foreign city and foreign country must be input in the mailing street address and mailing city, state and ZIP lines.
    d) A foreign postal code is present and space allows, It must be input.
    e) A foreign city or postal code is input, The foreign street address must be input.
    f) A domestic mailing city, state and ZIP or major city code and ZIP code are input, The mailing street address must also be input.
    g) A major city code is input, A mailing ZIP code must be input.
    h) It is determined that the correspondence has been initiated by a third party, Research the CAF using CC CFINK. If the representative is on CC CFINK for any MFT, proceed with the address change.
    i) A proper authorization is not found, Send Letter 104C (or 6800sce) to the taxpayer's new address requesting a completed Form 8822-B.
    j) A proper authorization is found, Update the address as requested.
    k) The address change is for an IMF (SSN) account, If the MFR is 08, do not make any changes as they will unpost. When making an IMF change, enter 8 in the Blocking Series field of CC INCHG unless using AMS. This denotes that Entity made the change. If an IMF address change is received at a BMF site, it will be processed as BMF MISCELLANEOUS. Do not transship IMF address changes.
  7. General requirements for making address changes on all Entity programs:

    If... Then...
    a) We receive a letter signed by the taxpayer or an authorized representative, and the taxpayer's full name and correct EIN are present, Make the address change.
    b) A return has a different address than what is on MF and the address change box is checked, Make the address change.
    c) Any of the required information is missing from the taxpayer's request for a change of address, Do not change the address. Correspond with the taxpayer via 104C (or 6800sce) at the new address and advise the taxpayer of the information needed.
    d) Correspondence, notices, or C letters sent by the Service that solicits or requires a response from the taxpayer is returned to the Service by the taxpayer with corrections marked on the taxpayer's address information, the correspondence will constitute clear and concise written notification of a change of address. The taxpayer's signature is not required on the correspondence, notice, or C letter, Make the address change.
    e) The address has a typographical error, misspelling, or contains additional information (suite number, apartment number, etc.), Make the address change.
    f) The taxpayer requests a temporary address change, Advise the taxpayer a temporary address change will replace their permanent address on IRS records and they will use a Form 8822/8822-B for permanent address changes.
  8. 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 , Accounts Management and Compliance Services Operations - Operational Guidelines Overview. 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.

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

    If... And... Then...
    a) Third party supplies a new address, Third party has been authorized by the taxpayer, Update Master File with the address provided.
    b) Third Party does not supply a new address, A new address cannot be found, Input TC 593-82 on all open FRCs or MFT that was filed by the third party.
    c) Third party does not supply a new address, The LKA cannot be found, Input TC 593-82 on all open FRCs or MFT that was filed by the third party.
    d) Third party does not supply a new address, The LKA is found and is accurate, Send 104C (or 6800sce) to the taxpayer at their LKA requesting completion of Form 8822-B.
  10. 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.

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

3.13.2.3.7  (01-01-2014)
Form 8822, Change of Address (For Individual, Gift, Estate, or Generation-Skipping Transfer Tax Returns)

  1. 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.

    1. When Form 8822 is received with an Entity case or as a stand alone document, the change of address will be entered with any other required data.

    2. Before updating an address, the TIN entered on Form 8822 will be verified as the only TIN assigned to taxpayer.

    3. If Part I of Form 8822 is complete and received in a BMF site, it should be processed. See IRM 3.13.5. Process Form 8822 per chart below.

  2. 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.

    If... And... Then...
    a) Form 8822 clearly indicates a primary name change (FKA, previous name, etc), 1. The Form 8822 is signed by authorized individual, Change the name
    2. The Form 8822 does not have an authorized signature, Correspond for verification with a 252C Letter
    b) Unable to determine if the taxpayer is changing their name,   Do not update the taxpayer's name. Send the 252C letter instructing the taxpayer to verify the name change after updating address.
    c) Any required information is missing,   Return Form 8822 to the taxpayer with 104C or 6800sce. Send the letter to the taxpayer's "new" address. Instruct the taxpayer to complete Form 8822 and return to us.
    d) The taxpayer is affected by a Presidentially Declared Disaster Area,   Change the address(es) via telephone call or any other way the taxpayer informs us to change the address.
    e) The taxpayer checks Box 2 in Part 1, indicating that gift, estate, or generation-skipping transfer tax will be filed (Form 706, Form 709, etc.), 1) The BMF SSN (SSN'V') is not established on the Master File, Input a TC 000 to establish the account.
    2) The SSN'V' is already established on the Master File, Update the address(es) as required. See Figure 3.13.2–26. When updating the address on an SSN'V'/'W', the MFT field of CC BNCHG must be completed. If the change is for a Form 709 account, the field NM-YR/QTR> must also be completed. If the change is for a Form 706 account, the field DT-OF-DEATH> must also be completed.
    f) The EIN on Form 8822 is not on the Master File, IDRS research shows the EIN was assigned to the taxpayer reflected on Form 8822, Input TC 000 with no FRCs.
    g) The EIN on Form 8822 is not on the Master File, IDRS research shows no record of the EIN being assigned, Send the taxpayer a 104C without an EIN asking for a copy of the notice assigning the EIN. When received, TC 000 the EIN with no FRCs.

3.13.2.3.8  (04-07-2014)
Form 8822-B, Change of Address or Responsible Party - Business

  1. Form 8822-B will continue to be used for address change requests from BMF, EO, and EP taxpayers.

  2. Reg 135491-10 § 6109 requires BMF taxpayers to notify IRS if the Responsible Party has changed. Form 8822-B was revised to include this function.

  3. Ensure the EIN on the form is the only EIN assigned to the taxpayer. Take necessary actions to consolidate if more than one EIN is located. See IRM 3.13.2.13.

  4. Taxpayers using BMF SSNs (filers of Form 706 and 709 series) will use Form 8822 to request an address change, as will IMF taxpayers.

  5. Every field of Form 8822-B must be completed before it is considered processable. However, a location address is not required of every taxpayer:

    • Items 1-7 and Item 10 for Change of Address, or

    • Item(s) 4 and 8-10 for Change of Responsible Party

  6. Ensure the person signing Form 8822-B is authorized to represent the entity shown in Item 4a. See IRM 3.13.2.2.2 definitions of an authorized representative.

  7. 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.

3.13.2.3.8.1  (01-01-2015)
Form 8822-B - Change of Address

  1. 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. If the signature is illegible, enter "SIGNATURE ILLEGIBLE" in Remarks field of transaction.

  2. Process the address change portion of Form 8822-B as follows:

    If... And... Then...
    a) Form 8822-B clearly indicates a primary name change (FKA, previous name, etc), 1. The Form 8822-B is signed by authorized individual, Change the name
    2. The Form 8822-B does not have an authorized signature, Correspond for verification with a 252C Letter or 6800sce
    b) Unable to determine if the taxpayer is changing their name,   Do not update the taxpayer's name. Update the address as needed. Send the 252C letter after updating address instructing the taxpayer to verify the name change .
    c) Any required information is missing,   Return Form 8822-B to the taxpayer with 104C/6800sce Send the letter to the taxpayer's "new" address. Instruct the taxpayer to complete Form 8822-B and return to us.
    d) You are speaking with the taxpayer by telephone discussing any issue, The taxpayer requests an address change, Change the address(es), entering the taxpayer's name, title, and phone number in the Remarks field of CC BNCHG. via telephone call or any other way the taxpayer informs us to change the address.
    e) The EIN on Form 8822-B is not on the Master File, IDRS research shows the EIN was assigned to the taxpayer reflected on Form 8822-B, Input TC 000 with no FRCs.
    f) The EIN on Form 8822-B is not on the Master File, IDRS research shows no record of this or any other EIN being assigned, Send the taxpayer a 104C without an EIN asking for a copy of the notice assigning the EIN. When response is received, TC 000 the EIN with no FRCs and the "new" address.
    g) The EIN on Form 8822-B does not match Master File, IDRS research locates a valid EIN, Notify the TP of the correct EIN with a 147C letter. Provide the incorrect EIN, but DO NOT disclose the name on the incorrect EIN.
    h) The Tax Exempt box and/or Box 2 (EP) is checked, EIN has an EO sub-module in valid status (See IRM 3.13.12.6.18 or account exists on EPMF, Take no action. Fax volumes of less than 50 documents to EP Entity at 801-620-7116. Fax number is for internal use only. If volume is greater than 50, mail to Ogden Entity Clerical Team. EP TEs will determine the action needed on Form 8822-B and perform all necessary actions.
    i) Form 8822-B is complete, All required fields are completed, Input the necessary transactions to update the account.
  3. An acknowledgement letter (104C) will be sent upon request only.

  4. Prepare Form 8822-B for destruction per local procedures.

3.13.2.3.8.2  (01-01-2015)
Form 8822-B - Change of Responsible Party

  1. This part of the form is used to update the X-REF-TIN-ITIN-IND, XREF-TIN-ITIN, SORT-NAME, and/or CARE-OF-NAME fields on CC BNCHG. No other fields should be updated unless indicated on Form 8822-B.

  2. The Remarks field of the transaction updating the taxpayer's change of responsible party will contain the name, title, and phone number if available from the signature line of Form 8822-B. If the signature is illegible, enter "SIGNATURE ILLEGIBLE" in Remarks field of transaction.

  3. Always verify the TIN being provided as the "new" TIN belongs to the entity being provided.

  4. We maintain the XREF-TIN-ITIN field for the following types of entities:

    • corporations (for profit only);

    • partnerships;

    • LLCs;

    • business trusts;

    • trusts (grantor's TIN);

    • estates (decedent's SSN).


    For instructions on updating the XREF-TIN-ITIN field, see IRM 3.13.2.9.23.

  5. It is no longer necessary for Items 8a, Old name of responsible party, and 9a, Old SSN, ITIN, or EIN of responsible party, to be complete in order for Form 8822-B to be considered processable.

  6. Process the change of responsible party section of Form 8822-B as follows utilizing thorough research of IDRS:

    If... And... Then...
    a) TIN entered in 9b does not match the name entered in 8b, The signature matches the name entered in 8b, Edit out the incorrect TIN and enter the correct TIN. Input TC016 to update the XREF-TIN-ITIN-IND, XREF-TIN-ITIN, SORT-NAME, and CARE-OF-NAME fields.
    b) TIN entered in 9b does not match the name entered in 8b, The signature does not match the name entered in 8b and is not an authorized representative, Return Form 8822-B to sender informing them the name in 8b doesn't match the TIN in 9b
    c) TIN entered in 9b matches the name in 8b, The signature is that of an authorized representative, Input TC016 to update the XREF-TIN-ITIN-IND, XREF-TIN-ITIN, SORT-NAME, and CARE-OF-NAME fields.
    d) T/P is EO or a church,   Take no further action.
    e) T/P is an Estate and an SSN is being provided as "new" and it does not belong to the decedent, The decedent's SSN is on the Estate EIN as X-REF, Take no further action.
    f) T/P is an Estate and an SSN is being provided as "new" and it does not belong to the decedent, The decedent's SSN is not on the Estate EIN, Research IDRS to locate decedent's SSN. Update Estate EIN with decedent's SSN and XREF-TIN-ITIN-IND to "0" (zero)
    g) T/P is a Trust and a TIN is being provided as "new" and it does not belong to the grantor, The grantor's TIN is already on the Trust EIN, Take no further action.
    h) T/P is a Trust and a TIN is being provided as "new" and it does not belong to the grantor, The grantor's TIN is not on the Trust EIN, Research IDRS to locate grantor's TIN. Update Trust EIN with grantor's TIN and XREF-TIN-ITIN-IND to "0" (zero) or "2" as needed.
  7. An acknowledgement letter (104C) will be sent upon request only.

  8. Prepare Form 8822-B for destruction per local procedures.

3.13.2.3.9  (01-01-2015)
CP 148A and 148B, Dual Notice of Address Change

  1. Beginning Jan. 23, 2015, a CP 148A will generate to the taxpayer's new address when an address change occurs on an EIN reflecting Employment Tax (Form 94X series) FRCs. The CP 148B will generate to the taxpayer's old address.

3.13.2.4  (01-01-2015)
Undeliverable Mail and Notices

  1. Undelivered CP 576 notices (Notices of EIN Assigned) will be returned to Entity for research and correction of entity data. If received in Entity, CPs 575 will be routed to Cincinnati Accounts Management Center, EIN Function.

  2. Undeliverable mail will often have a yellow sticker from the United States Postal Service (USPS) showing the taxpayer's new address. Research to ensure the yellow sticker address is not already posted/pending. If the address on Master File has not been updated, input TC 014 and send 2475C/6800sce to the taxpayer's new address enclosing undeliverable Entity generated CP/Correspondence letter.

  3. Research CCs INOLE, IRPTR, ENMOD, FINDE/FINDS and BMFOL'E' for a better address for the taxpayer. In most cases the address on CC INOLE will be the same as the notice. The Secretary of State web sites may provide a good address.

  4. CC INOLE can give you alternatives to locating the taxpayer such as

    1. BMF sole proprietor—the IMF account for this taxpayer may contain a different address.

    2. Any BMF account can be checked with CC INOLE 'P' to show an address from the EPMF and vice versa.

    3. Research for another address under the XREF TIN. If address is found, re-mail notice using 6800sce or 2475C in care of the individual found from the XREF TIN. If 6800sce is used, Input history item on CC ENMOD that says:
      6800SCE
      4UNDEL

    4. Follow the steps below for processing:

      If... And... Then...
      1) Interim letter (2645C, 2644C, etc.) is received as undeliverable, Account issue has been resolved, Prepare undeliverable letter for destruction per local procedures.
      2) A new address cannot be found via IDRS, All X-REF TINs have been researched without finding a better address, Contact the taxpayer via telephone.
      3) Taxpayer can be reached via telephone, taxpayer supplies you with better address, Update the address per TP instruction include TP name and title and phone in remarks. Mail the notice/correspondence to the new address using 2475C or 6800sce.
      4) Unable to locate a better address, Unable to reach taxpayer via telephone, Input TCs 593 Action Code (AC) 82 on all active FRCs. Input TC 971 AC 661 which will generate the Undeliverable (UD) indicator. Prepare notice/correspondence for destruction per local procedures.
      5) There is indication the taxpayer is deceased, There are no active FRCs on the EIN, Input TC 971 Action Code 661 on all MFTs that reflect posted returns. Use the tax period containing the date of death. TC 971 AC 661 generates the Undeliverable (UD) indicator. Prepare undeliverable for destruction per local procedures.
      6) There is indication the taxpayer is deceased, There are active FRCs on the EIN, Research IDRS for an ESTATE EIN. If found, update the taxpayer's address to match the address on the estate EIN.
      If unable to locate an estate EIN, input TC 593-82 on all open FRCs. Input TC 971 Action Code 661 which will generate the Undeliverable (UD) indicator on all open modules. Prepare undeliverable for destruction per local procedures.
  5. Undelivered CPs 26X notices (Notices of Form 2553—Election by a Small Business Corporation) will be returned to Entity for research and correction of entity data. You may need to ESTAB Form 2553 to secure a shareholder's address.

  6. It is acceptable to re-mail a notice to another address. The taxpayer must provide clear and concise notification of a change of address. A different address on a letterhead or return address on an envelope is not acceptable for updating Master File. Correspond with the taxpayer at the "better" address asking for a completed Form 8822-B.

  7. If an undeliverable is received and it was undeliverable previously, prepare for destruction per local procedures. Ensure a TC 593 Closing Code 82 is on all open FRCs.

3.13.2.4.1  (01-01-2015)
Undelivered Correspondence

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

    If... Then...
    a) A different address is found, Re-mail the correspondence to the new address using the 6800sce or 2475C Letter without updating the address on Master File. If 6800sce is utilized, input history item on CC ENMOD that says:
    6800SCE
    4UNDEL
    If an undeliverable is received and it was undeliverable previously, prepare for destruction per local procedures. Ensure a TC 593-82 is on all open FRCs.
    b) A new address cannot be found, Input TC 593 CC 82 on the current tax period for all active FRCs. Input TC 971 Action Code 661 to generate Undeliverable (UD) indicator. Prepare for destruction per local procedures.

3.13.2.4.2  (01-08-2014)
Print Site Products with an "Undeliverable" Address.

  1. The Print Sites are identifying notices and letters that cannot be delivered by the United States Postal Service (USPS) standards. FINALIST was unable to correct the addresses on these accounts. The issues making the address "bad" are varied. For example,

    • The building number may not be valid for that street name;

    • The zip code may be incorrect or missing;

    • The street name does not exist within specific ZIP code, etc.

  2. Accounts with a campus address as the mailing address are also pulled for correction.

  3. Office Function Program (OFP) 390–00800 will be used when processing this work.

  4. See IRM 3.13.2.4 (4)(d) for processing instructions.

3.13.2.5  (01-01-2015)
BMF Employment Codes (ECs)

  1. BMF Employment Codes (ECs) identify employers who are other than normal business employers.

  2. The BMF Employment Codes (ECs) are A, C, F, G, I, M, Q, S, T, and W.

  3. The primary programs processed by Entity TEs involving ECs are Form 941 and Form 940.

  4. Entity TEs are responsible for ensuring ECs are correct and the taxpayer is filing the correct return(s).

  5. BMF Entity is not able to add or change ECs A, F, G, Q, or T. If an entity needs action on one of these ECs , Federal, State, and Local Government at 512-499-5706.

    Note:

    Telephone number is for internal use only.


    If no further Entity action is needed, route a copy of the case to the address below instead of calling:
    Internal Revenue Service-FSLG
    300 E. 8th St
    Stop 4098 AUS
    Austin, TX 78701

  6. The ECs are applicable to certain Form 941, Form 943, and Form 944 filers. See table below for EC definitions:

    EC Entity Type
    A A government agency acting as an employer's fiscal agent under Section 3504 of the Internal Revenue Code (IRC)
    C Church or Church -controlled Organization filing Form 8274 (not subject to FICA or FUTA)
    F Federal Employer
    G State or Local Government Agency
    I Indian Tribal Government
    M Maritime Industry
    Q Quasi Governmental Entity
    S Foreign Subsidiary
    T State or Local Government Agency covered under Section 218 Agreement
    W Section 501(c)(3) of the IRC Non-profit Organization (not subject to FUTA)
    Z Federal Credit Union - Liable for Form 940
  7. The input of a "9" in the EMPLMNT-CD> field of CC BNCHG deletes any existing EC. However, the changing of ECs A, F, G, Q, and T has been limited to employees of TEGE/Federal State Local Government (FSLG). If a change to an EC is needed, contact FSLG at 512-499-5706. Identify yourself as an Entity TE in (your POD), provide your IDRS number, SEID, and telephone number.

    Note:

    Phone number is for internal use only.

  8. The Economic Opportunity Act (EOA) programs are carried out by state and local governmental entities or private non-profit organizations through grants or contracts with the Federal Government. When new entities are formed to carry out EOA projects they will be state or local government entities or non-profit organizations. Examples of EOA employers are as follows:

    • Anti-Poverty Programs;

    • Community Action Programs;

    • Head Start Programs;

    • Neighborhood Youth Corps;

    • Public Law 88–452;

    • Economic Opportunity Act, Office or Program;

    • Work Study or Work Training Program;

    • Youth Conservation Corps (YCC);

    • Job Corps; and

    • Volunteers in Service to America.

  9. If a Form 940 FRC is present on an EIN with an Employment Code , input TC 016 to delete the FRC. If you're dealing with ECs A, F, G, Q, or T, contact FSLG at 512-499-5706. Phone number is for internal use only. Research CC BMFOL'I' for MFT 10 modules. If any are present and unsatisfied for the period (and later periods) the entity became exempt from FUTA, input TCs 590-020.

3.13.2.5.1  (01-01-2014)
Employment Code (EC)"A"

  1. This Employment Code can only be changed by FSLG employees. Contact FSLG at 512-499-5706 . Phone number is for internal use only.

  2. 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:

    • Household Employer Agents, or

    • Fiscal agents, or

    • Employer agents, or

    • Fiscal intermediaries.

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

  4. A fiscal agent may:

    • Represent many disabled individuals or other welfare recipients receiving home care services through a state or local program. These taxpayers may be referred to as "clients" by the agent,

    • Be a government entity or a non-governmental entity

    • Already have an existing EIN that is used to file employment taxes for the agent's own employees

    • Request a second EIN to be assigned to them for the specific purpose of acting as an agent for these employers under Section 3504, if they are a government entity.

      Note:

      Non-governmental agents are not encouraged to obtain a second EIN to file employment taxes on behalf of these household employers. The Household Employer Agent files aggregate employment tax returns for all of their own employees and for the employees of the household employers, including Form 940. However, if requested, non-governmental agents may also obtain a second EIN to file employment taxes on behalf of these household employers.

  5. 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.

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

3.13.2.5.2  (01-01-2014)
Employment Code (EC)"C"

  1. 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.

  2. Forms 8274 are processed exclusively at OSPC.

  3. See IRM 3.13.12.

3.13.2.5.3  (01-01-2014)
Employment Code (EC)"F"

  1. This code is assigned to agencies of the United States Government and can be changed by FSLG employees only. You can contact FSLG at 512-499-5706. Phone number is for internal use only.

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

    1. This EC may only be assigned with supervisory approval.

    2. An entity with EC "F" , will also have a Form 941 FRC of "02" .

    3. An entity will receive EC "F" whether the taxpayer currently has employees or not when processing Form SS-4, see IRM 21.7.13, Business Tax Returns and Non-Master File Accounts - Assigning Employer Identification Numbers (EINs).

  3. The following agencies will have EC "F" :

    • Department of State;

    • Department of the Treasury;

    • Department of Defense;

    • Department of the Army;

    • Department of the Navy;

    • Department of the Air Force;

    • Department of Health and Human Services;

    • Department of Education;

    • Department of the Interior;

    • Department of Commerce;

    • Department of Labor;

    • Department of Transportation;

    • Department of Housing and Urban Development;

    • Department of Justice;

    • Department of Agriculture;

    • Department of Homeland Security;

    • National Guard; and

    • An executive department of the government or a component agency.

  4. 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:

    • U.S. District Court;

    • U.S. Court of Appeals;

    • U.S. Tax Court;

    • General Services Administration;

    • U.S. Atomic Energy Commission;

    • Federal Trade Commission;

    • Government Accountability Office;

    • Office of Economic Opportunity;

    • Federal Power Commission;

    • U.S. Small Business Administration;

    • Library of Congress;

    • Interstate Commerce Commission;

    • Veterans Administration;

    • Smithsonian Institution;

    • Securities and Exchange Commission; and

    • National Aeronautics and Space Administration.

  5. 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 Deposit Insurance Corporation;

    • U.S. Postal Service;

    • Tennessee Valley Authority;

    • Federal Home Loan Bank (Not Individual Home Loan Banks); and

    • Federal Reserve Board (Not Individual Regional Federal Reserve Banks).

  6. Federal instrumentalities such as the following:

    • Army and Air Force Post Exchange;

    • Navy or Coast Guard Ship Stores; and

    • Army and Air Force Motion Picture Services and Navy counterpart.

  7. 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:

    • Officer's Clubs;

    • Enlisted Men's Club;

    • Non Commissioned Officer's (NCO) Clubs;

    • Officer's Open Messes;

    • NCO's Open Mess; and

    • Billeting Funds, etc.

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

    1. The activity exists to promote the morale, comfort and well being of members of the Armed Forces, or authorized civilians.

    2. The activity is supported by an authorized non-appropriated fund as prescribed by the applicable regulations of the Service concerned.

    3. The activity is authorized by the Post, Camp, Station, Base or Major Command Commander, and is supervised by him/her.

    4. That the above referenced commander's supervision includes the periodic audit of the activities financial records, or that such audit is regularly performed by a higher authority, as the appropriate service regulations prescribed.

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

    1. Any religious, fraternal or benevolent organization

    2. Any ethnic or tribal organization for example, Indian tribe, tribal council, etc.

    3. Any private corporation or business entity that has in its name words such as "U.S., United States, Federal or Government" .

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

    1. Research the account as necessary.

    2. Contact the organization to clarify its status.

    3. If the organization is a true "F" Code, remove any erroneous filing requirements such as 1120, 1065, etc.

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

    1. Remove any erroneous filing requirements.

    2. Remove the "F" Code.

    3. Establish the entity with the correct filing requirements. Ensure that the organization does not have another EIN established for the same "F" Code entity.

    4. If the "F" Code is removed forward the information to AM/Adjustments to be assessed penalty and interest under the correct filing requirements.

3.13.2.5.4  (01-01-2014)
Employment Code (EC) "G"

  1. Assign this code to all state and local government agencies. If a change needs made to the EC "G" , contact FSLG at 512-499-5706. Phone number is for internal use only.

  2. 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.

  3. 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.

  4. The following organizations will be assigned EC "G" :

    • A state or commonwealth;

    • An agency, bureau, or department of any such state or commonwealth;

    • A county;

    • An agency, bureau, board, or department of any such county;

    • A municipality, town, village, ownership or any like unit of local government; and

    • An agency of a local government, such as a school district, Board of Education, public school, sanitation district, transit authority, welfare department, housing authority, cemetery, district soil/water conservation, water district, community service district, health department, etc.

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

3.13.2.5.5  (01-01-2014)
Employment Code (EC)"I"

  1. 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.

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

  3. 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.

  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.

3.13.2.5.6  (01-01-2014)
Employment Code (EC) "M"

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

  2. 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.

3.13.2.5.7  (01-01-2014)
Employment Code (EC) "Q"

  1. This EC is used for quasi Governmental entities that do not qualify for an EC "F" or "G." . The Federal, State, and Local Government (FSLG) staff saw a need for an EC that would allow penalties and interest to accrue. The EC "Q" was created for this purpose.

  2. This EC can only be assigned or altered by the Federal, State, and Local Government staff. If necessary, contact FSLG at 512–499–5706. Phone number is for internal use only.

3.13.2.5.8  (01-01-2014)
Employment Code (EC) "S"

  1. 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.

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

  3. See IRM 3.13.2.17

3.13.2.5.9  (01-01-2014)
Employment Code (EC) "T"

  1. 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 EC can be altered by FSLG employees only. You can contact FSLG at 512-499-5706. Phone number is for internal use only.

  2. 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.

    Note:

    This code is never assigned from Form SS–4.

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

    If... Then...
    a) The account is for the same entity as indicated by SSA on the modification letter, Update the EC from "G" to "T" and update the Form 941 to FR 01 or 07 for Puerto Rico accounts.

    Note:

    Delete any erroneous Form 940 filing requirement. Do not update Form 941 FRC 9 or 10 to a 941-01.

    b) The account is not for the same entity as indicated by SSA, Research for a better EIN.
    c) No EIN can be found, Correspond with the taxpayer or state administrator.
    d) A filling requirement other than Form 941/940 (for example, Form 1120, 1065) is present, Research the account. Taxpayer contact may be necessary.
    e) The taxpayer corresponds that he is not active, Do not remove EC "T" . Correspond with the taxpayer informing them that Form 941 will still be required once a year and they should check the seasonal/intermittent box.

3.13.2.5.10  (01-01-2014)
Employment Code (EC) "W"

  1. 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) .

  2. 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).

  3. 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.

3.13.2.5.11  (01-01-2014)
Employment Code (EC) "Z"

  1. This code is assigned to Federal Credit Unions.

  2. 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.

3.13.2.6  (03-10-2014)
Integrated Data Retrieval System (IDRS)

  1. The Integrated Data Retrieval System (IDRS) is used to access and update taxpayer information.

  2. This subsection lists many of the IDRS Command Codes (CCs) used by Entity TEs. This list is not all inclusive.

  3. One of the key elements on IDRS Entity TEs must understand is the Filing Requirement Code (FRC),

    1. The FRC is used to identify the type of return to be mailed to the taxpayer.

    2. If the taxpayer has a FRC and does not file a return, the FRC is used to perform a delinquency check.

  4. The FRCs are input with CC ESIGN, BNCHG or EOCHG or in some cases will be established when a return posts.

  5. Whenever an account is established (TC 000) on the BMF it must have an entry in one of the filing requirement fields, including not required.
    For example, a corporation will have an 1120 FRC and possibly FRCs for Forms 940 and 941. A social club may not need any FRCs, therefore, you must enter a "1" in the Not Required field at the end of the FRCs on CC BNCHG.

  6. The validity checks for filing requirements on CC ESIGN are in IRM 3.13.2.6.2.

  7. The validity checks for filing requirements on CC BNCHG are in IRM 3.13.2.6.3.2.

  8. The validity checks for filing requirements on CC EOCHG are in IRM 3.13.12 (EO Entity IRM).

  9. For a list of the MFT, Form, Type of Return, filing requirements, when to file and the Statutory date for all returns refer to Document 6209, IRS Processing Codes and Information.

3.13.2.6.1  (01-01-2015)
Research Command Codes (CCs)

  1. 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, Business Tax Returns and Non-Master File Accounts - Assigning Employer Identification Numbers (EINs). 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.

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

    • The Taxpayer Information File (TIF) CC ENMOD;

    • The BMF with CCs BMFOL/BRTVU/INOLE;

    • Tax Modules that are on IDRS with CC TXMOD;

    • Everything available on IDRS with CC SUMRY;

    • The Entity Control Log of Bulk EIN Assignments;

    • On-Line Entity and related CCs;

    • The Name Search Facility (NSF) CC NAMES, for SSN research, and NAMEE for EIN research, and NAMEB search for EINs for both primary and "doing- business-as" (DBA) names; and

    • The Name Search Facility (NSF) CC NAMEI to research individuals.

    • IDRS CC Job Aids on SERP.

    • IAT New Name Tool

3.13.2.6.1.1  (01-01-2014)
CCs MESSG and STATS

  1. CC STATS is the first page of IDRS that appears when the user signs on to IDRS. STATS will reflect today's date and the availability of IDRS.

  2. CC MESSG is used to report daily IDRS and miscellaneous information at each campus. CC MESSG can be accessed at a different site via Universal access.

  3. Some of the specific items shown on CC MESSG include:

    • Availability of IDRS realtime and CCs, including problems experienced by CCs;

    • Correspondex status and updates;

    • IDRS team numbers, phone numbers, and mail stops;

    • Lockbox information; and

    • Campus user support information.

3.13.2.6.1.2  (01-01-2014)
CC FIEMP

  1. The use of this CC enables IDRS users to identify and contact case control owners by researching the ten digit IDRS number of the employee. The user will enter CC FIEMP, one blank space, then the ten digit IDRS number of the case control owner.

  2. CC FIEMP displays the following information:

    • Case control owners name;

    • Standard Employee Identification (SEID);

    • Employee's (or their manager's) telephone number; and

    • IDRS status of the employee (active or inactive).

  3. If CC FIEMP does not show the telephone number, the user may use the case owner's name or SEID to search the Discovery Directory on the IRS intranet or Outlook E-mail system to obtain a valid telephone number.

  4. CC FIEMP will only be used to research work related activities.

3.13.2.6.1.3  (01-01-2014)
CCs NAMEE, NAMEB, NAMES and NAMEI

  1. CCs NAMEE and NAMEB search for EINs for both primary and "doing business as" (DBA) or trade names.

  2. CCs NAMES and NAMEI search for SSNs for both the primary and the secondary filer.

  3. These CCs access the national Name Search Facility (NSF) file at Enterprise Computing Center at Martinsburg and will search for phonetic and spelling similarities. Common abbreviations like Mr., Mrs., Jr., Irrv. Tr., M.D., Corp., and Inc. will not be used as search criteria. CC NAMES can search using last name "," first name or first initial or blank. Using a first name or an initial in addition to the last name is better than using the last name alone.

  4. NAMES/NAMEE does not perform searches on partial last names or partial first names.

  5. Search time for CCs NAMEE/NAMES and NAMEI/NAMEB is directly related to the quality of the input fields. The more specific the information entered, the shorter the search time.

  6. If the CC NAMEB first initial is a plus (+), matching is done on all 15 characters of the last name instead of the first 10 characters.

  7. NAMEB with the definer of X and a first initial of plus (+) will not use the additional last name characters (more than 10) as selection criteria.

  8. The most efficient search is done when the name and Zip Code fields are entered. The Zip Code field must contain a valid 3 or 5-digit Zip Code or will be left blank. It should not contain all zeros. The more specific the information entered, the shorter the search time. For example, a Zip Code search is faster than a state search. The Zip Code has priority over the state and the city, neither of which will be used if the Zip Code has been entered. The address (or partial address), if entered, is then used to further refine the search results.

  9. When a name is the only information entered, CCs NAMES/NAMEE will search default to a national search.

  10. If ** is entered in the state code field, a national search is performed.

  11. Do not query using blanks in the state and ZIP Code fields, because an error message will generate to say "Campus search not available for this campus."

  12. If "NO DATA FOR THIS NAME" is displayed, verify the input and try again after removing input fields in the following order street address, city name, and last 2 digits of Zip Code.

  13. NAMES/NAMEE does not automatically reduce the search. NAMES/NAMEE will display taxpayer names in the sequence of their probability of matching the requested name, with the best matches being displayed first.

  14. NAMEB and NAMEI do not use a formatted input screen like NAMES and NAMEE. Also if NAMEB and NAMEI does not find an exact match, the search will default to the point of searching for matching name. See IRM 2.3.60, IDRS Terminal Responses - Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE, and TPIIP, for additional information.

  15. CC NAMEE - You can enter up to 70 characters in the Name Line. You must enter the zip code when present. If the zip code is not present then enter the state. The state can be optional when entering the zip code. To narrow the search, a minimum of 5 characters to identify the street address will be entered.

    Example:

    112 Peachtree St will be entered as "112 P" .

  16. The cycle format has been expanded to YYYYMMDD.

  17. For examples of needed fields for these command codes, see the on SERP.


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