3.17.64  Accounting Control General Ledger Policies and Procedures (Cont. 1)

3.17.64.7 
Assessments

3.17.64.7.3 
General Ledger Accounts for Assessments and Settlements
(Nominal Account, CR Normal Balance)

3.17.64.7.3.25  (09-01-2011)
Account 6181
FUTA Tax Assessments - Penalty
(Nominal Account, CR Normal Balance)

  1. This account is used to summarize the total amounts of assessments of tax class 8 penalties. The balance of this account represents total tax class 8 penalty assessments for the year.

  2. All penalty assessments must be recorded on Summary Record of Assessments. The Assessment Certificate is the legal document that permits collection activity.

  3. Total tax class 8 assessments for the month will be summarized on Form 2162, which will become the external subsidiary record.

3.17.64.7.3.26  (09-01-2011)
Account 6182
FUTA Tax Assessments - Interest
(Nominal Account, CR Normal Balance)

  1. This account is used to summarize the total amounts of assessments of tax class 8 interest. The balance of this account represents total tax class 8 interest assessments for the year.

  2. All interest assessments must be recorded on Summary Record of Assessments. The Assessment Certificate is the legal document that permits collection activity.

  3. Total tax class 8 assessments for the month will be summarized on Form 2162, which will become the external subsidiary record.

3.17.64.7.3.27  (09-01-2011)
Account 6190
Previously Assessed Tax
(Nominal Account, CR Normal Balance)

  1. This is used for MFT 31 mirror assessments only, and will appear on the IMF SC recaps. As a mirror assessment, this account will not be reflected on an Assessment Certificate.

3.17.64.7.3.28  (09-01-2011)
Account 6191
Previously Assessed Penalty
(Nominal Account, CR Normal Balance)

  1. This account is used to summarize the total amounts of previously-assessed tax (MFT 31) penalties and will appear on the IMF SC recaps. The balance of this account represents total previously-assessed tax penalty assessments for the year. As a mirror assessment penalty, this account will not be reflected on an Assessment Certificate.

3.17.64.7.3.29  (09-01-2011)
Account 6192
Previously Assessed Interest
(Nominal Account, CR Normal Balance)

  1. This account is used to summarize the total amounts of previously assessed interest. The balance of this account represents the previously-assessed interest assessments for the year. As a mirror assessment interest, this account will not be reflected on an Assessment Certificate.

3.17.64.7.3.30  (09-01-2011)
Account 6510
Over-Assessments Credited
(Nominal Account, DR Normal Balance)

  1. Amounts of over-assessments (abatements) of previously-assessed tax, penalty, and interest certified and credited to taxpayer accounts are recorded in this account. The account represents the total over-assessments of tax, penalty, and interest credited to taxpayer accounts during the year. Entries to this account are obtained from the SC Recaps (abatement total). They are further supported by file copies of Form 2188.

  2. This account is also used for reversals of erroneous abatements. These entries are obtained from the Form 2188 and Form 3465.

  3. This account is also used to journal reactivation of erroneous abatements when the original abatement has been written off in a prior fiscal year.

  4. External subsidiary record is the file of Form 2188s.

3.17.64.7.4  (01-20-2012)
Summary Record of Assessments and
List of Unprocessed Assessment Certificates
(RRACS Report 006)

  1. This list identifies all unprocessed assessment certificates, and must be reviewed online daily to determine which assessment certificates must be processed.

  2. In order to ascertain the correctness of the data entered into RRACS, utilize this online information to balance the assessments to the source documents before the Summary Record of Assessment is generated.

  3. The assessment date and assessment type will be displayed for each current record that has not yet been generated. To review these assessments, select Assessment main menu, and then select the Review option.

  4. Review the information and take the necessary action to generate any summary records where the assessment date equals the current date.

  5. The summary record provides details of the assessment data by type of tax, and if the assessment was current or deficiency. Assessments are broken down into five types: Regular (R), Jeopardy (J), Quick (Q), and Prompt (P). Jeopardy assessments record the principal amounts against individual taxpayers. The following data can be reviewed online for each assessment type and assessment date:

    1. Tax class

    2. Items related to the tax class

    3. Tax amount

    4. Penalty amount

    5. Interest amount

    6. Identification as current or deficiency

  6. The total items, tax, penalty, and interest are summarized for total current assessments and total deficiency assessments.

  7. The current and deficiency item and amount fields related to each tax class are added together under tax class summary.

  8. If the assessment is a Jeopardy, the data related to the principal taxpayers and amounts are required. The number of principal taxpayers will be the sum of current and deficiency item counts.

  9. The audit trail is printed for each summary record. This includes the Doc-Id, DLN, or Form 8166 recap number in the DLN column, and the account date.

    1. To generate the report, select Review from the Assessment main menu, then select the Assessment option, desired assessment type, and assessment date. Select Review again for the report to show.

    2. The report must be signed by the Assessment Officer on the date the assessment is made. The certification statement is included in the printed report. At least one person at each campus must be assigned the responsibility of reviewing all certificates for timely entry of the assessment officer's signature and date. The responsible employee must initial the certificate after validation. This review must be completed daily.

  10. On a daily basis, ECC will electronically transmit the assessment data to ECC-MTB from the daily computer-generated SC Recap.

  11. Regular and Quick assessments may be requested through RRACS weekly. Quick assessments should be requested daily, if a specific and immediate assessment date is requested or required. Prompt assessments should be requested daily. Jeopardy and Termination assessments should be requested immediately after input to the assessment windows. Jeopardy assessment certificates generally contain assessments for only one entity.

  12. When RRACS is unavailable, all campuses must use the Form 23C, Manual Summary Record of Assessment, under Forms and Publications on the Internal Revenue Intranet. No other version should be used.

    1. Enter the detail data by type, tax class, the total amounts of current assessments of tax and penalty, and the total amounts of interest.

    2. Enter detail data by tax class for deficiency tax and penalty, interest, and item count.

    3. Total the entries on each certificate horizontally and vertically.

    4. The date of the certification and signature of the Assessment Officer are entered where indicated.

    5. List all audit trail information in Section 6 of Form 23C. This can consist of DLN, Form 8166 numbers, recap information, etc.

    6. The assessment data must be entered into RRACS as soon as possible.

3.17.64.7.5  (09-01-2011)
Form 2162
Summary of Assessment Certificates Issued
(RACS Report 025)

  1. This report represents a consolidation of all assessment certificates prepared each month. It provides a breakdown by tax classes for current and deficiency assessments. It also provides an audit trail of assessment certificates and principal taxpayers included in the report. All assessment certificates that were posted for the month will be listed on this report.

  2. This report will be produced during EOM processing but may be generated separately for research or statistical purposes. To generate the report, select the RRACS Report main menu, and Form 2162 from the Month End sub-menu.

3.17.64.7.6  (09-01-2011)
Manual Procedures for a
Summary of Assessment Certificate

  1. For each tax class under current assessments print the related items, tax amount, penalty amount, and interest amount related to General Ledger Accounts 6110 through 6182, identified as current.

  2. Compute total current assessments by adding current items from all tax classes combined, current tax from all tax classes combined, current penalty from all tax classes combined, and current interest from all tax classes combined.

  3. Use the same methodology for total deficiency assessments as above.

  4. Print offshore oil data items and penalty related to General Ledger Account 6320, Offshore Oil Account.

  5. Assessment Summary - Current Month.

    1. For each tax class compute the combined totals of current and deficiency items and amounts for tax, penalty, and interest.

    2. Compute total regular assessments by combining all the current item fields (for current and deficiency) for all tax classes, except offshore oil spills. Combine current amount fields for current and deficiency tax, penalty, and interest for current and deficiency, for all tax classes except offshore oil spills.

    3. Print offshore oil spills data for current oil spill items and penalty amounts.

    4. Compute total monthly assessments by adding oil spill items and penalty amounts to total items and amounts from (6)(b).

  6. Assessment Summary - Year-to-date.

    1. Withheld individual income and FICA reports the cumulative item count and total amount.

    2. Individual income-other reports the cumulative item count and total amount.

    3. Corporate and excess profits reports the cumulative item count and total amount.

    4. Excise reports the cumulative item count and total amount.

    5. Estate and Gift reports the cumulative item count and total amount.

    6. Tax on carriers reports the cumulative item count and total amount.

    7. Federal unemployment tax reports the cumulative item count and total amount.

    8. Total yearly assessments reports the sum of cumulative item counts and amounts from all tax classes.

    9. Offshore oil spills reports the cumulative item count and penalty amount.

  7. Audit Trail.

    1. Assessment certificates list each certificate number issued for the current month. This list contains the date and sequence number, and is listed in sequence number order.

    2. Principal taxpayers lists the item count, principal tax amount, and assessment date for each Jeopardy assessment reported in the current month.

  8. For each tax class under current assessments, print the related cumulative items, tax, penalty, and interest amounts.

  9. Compute total cum assessments as follows:

    1. Items include the sum of all cumulative items from all tax classes, with the exception of oil spills.

    2. Tax includes the sum of all cumulative tax amounts from all tax classes.

    3. Penalty includes the sum of all cumulative penalty amounts from all tax classes, with the exception of oil spills.

    4. Interest includes the sum of all cumulative interest amounts from all tax classes.

  10. Use the same methodology for total deficiency assessments as above.

  11. Print offshore oil data cumulative items and cumulative penalty amounts.

  12. Assessment Summary - Fiscal year combines the cumulative deficiency and non-deficiency items, and tax, penalty, and interest amounts for and by each tax class.

    1. The total of the assessment summary-fiscal year is summarized.

    2. Offshore oil spills items and cum penalty amounts are summarized.

    3. Total fiscal year assessments are calculated. Deficiency and non-deficiency cumulative item counts for all tax classes, including oil spills, are added together. Deficiency and non-deficiency cumulative tax, penalty, and interest cumulative amounts, including oil spills, are added together.

  13. Principal tax included in this report combines the principal deficiency and non-deficiency cumulative items and tax amounts.

3.17.64.7.7  (09-01-2011)
Correcting Certificate Errors

  1. Use the following procedures for correcting errors on the certificate:

    1. When a journal error is discovered prior to generating the certificate, the erroneous journal must be reversed by the DBA and re-input.

    2. When a journal error is discovered after the generation of the certificate, but on or prior to the 23C date (regardless if signed or not), reverse the 23C journal, and then reverse the original journal. Re-post the assessment correctly and generate a new certificate.

    3. When a journal error is discovered after the 23C date, make sure the statute date has not expired. On the current or future 23C date, post the reverse of the original journal. Then post the assessment correctly. The 23C certificate cannot be reversed after the 23C date.

      Note:

      In all of these instances, the original posting number should be annotated in the message text of the re-input journal, for audit trail purposes.

3.17.64.7.8  (06-26-2013)
Disclosure Requests for RRACS Report 006 - 23C Certificate

  1. A Disclosure Specialist will email or fax a 23C request to the Accounting Planning and Analysis Analyst and the Accounting contact.

    Note:

    If the Disclosure Specialist faxes the 23C request, they will also send and email to the P & A and Accounting contacts stating the fax request is coming.

  2. Accounting will perform the research and request the documents from FRC (if applicable),

  3. Accounting will email or fax the requested 23C certificates to the Disclosure Specialist no more than 10 days from the receipt of the request.

    Note:

    If Accounting sends the documents to the Disclosure Specialist via email, the P & A Accounting analyst must be carbon copied on the email. If Accounting faxes the documents to the Disclosure Specialist, the P & A Accounting analyst must be emailed that the request has been completed.

  4. The P & A Accounting Analyst will monitor this request to ensure the timely response to the Disclosure Specialist.

3.17.64.7.9  (10-01-2013)
Business Resumption/Disaster Recovery Plan for the Signing of 23C Assessment Certificates

  1. In the event of a furlough or shutdown, the following procedures should be followed to ensure the 23C assessment certificates are signed in a timely manner.

    Note:

    The designated assessment officer for each campus would have to be exempt from the furlough day if it were necessary to sign a 23C certificate and will be given different furlough day. Counsel has deemed that the Director, Submission Processing, may himself sign the 23C certificates or he may delegate this duty but no lower than an Accounting Operation manager.

    1. If the “normal” assessment officer (Accounting Operation Manager) is signing the 23C Certificates on a furlough/shutdown, the workday prior to the furlough/shutdown the RACS Team would balance, post and print the 23C certificates from RRACS. Prepare and give the package to the Accounting Operation Manager the workday prior to the Furlough (23C) day. The assessment officer will sign on the Furlough day and return the signed 23C certificates to the RACS team on the next business day.

    2. If the Director, SP or his appointee, will be the assessment officer and is signing the 23C Certificates on a furlough/shutdown, the workday prior to the furlough/shutdown the RACS Team would balance, post and print the 23C certificates from RRACS. Prepare and give the package to the Accounting Operation Manager for review. Once the Accounting Operation Manager has reviewed the certificates and finds no errors, he/she should initial (DO NOT SIGN) and give back to RRACS manager. RRACS manager will ensure ALL 23C Certificates are scanned and emailed to the proper assessment officer for signature NO LATER THAN 3:00 ET on the day before the Furlough day. In the email to assessment officer, include what kind and how many certificates there are to be signed. Request a READ receipt on your email. The assessment officer will print the scanned copies of all 23C certificates and sign each one on the 23C date. The assessment officer will scan and email the SIGNED 23C Certificates back to the originator. On the next business day, the RACS team will print the scanned signed 23C certificates and process as usual.

      Note:

      In the event that the Director, SP or his designee will be signing the assessments, the campus will be given the name of the assessment officer, in advance, that will be signing for the campus.

  2. In the event of a disaster impacting a specific campus, the following procedures should be followed to ensure the 23C assessment certificates are signed in a timely manner.

    1. The impacted campus assessment officer will contact CFO. CFO will log into the campus RRACS system and balance, post and print the 23C certificates for that day. Once this is complete, CFO will call the assessment officer from the campus (a list of phone numbers has been provided to CFO) and give them the information needed to prepare a manual paper 23C certificate and sign it.

    2. As a last resort, if no assessment officer is available at the impacted campus, the Director, Revenue Accounting in the CFO office would sign the 23C certificates. Once signed, and the campus is available, CFO will scan and email the SIGNED 23C certificates to the campus.

      Note:

      Per Delegation Order 1-6, the Director, Revenue Accounting has the authority to sign the 23C certificates.

    3. The following backup will be used by CFO to balance:
      •Service Center Recap (CFO has access to obtain the report)
      •Form(s) 813 from AMA – will be printed by SP HQ and faxed to CFO.
      •Cincinnati Only – Form(s) 813 for ANMF. Since there is no way to obtain the backup for the ANMF assessments prior to the signing of the 23C Certificate, the backup for any ANMF Assessment on the 23C Certificate must be provided to CFO as soon as Cincinnati is able.

      Note:

      Due to the inability to obtain the backup for any ANMF assessments prior to signing the 23C Certificate, it should be signed without reviewing the ANMF backup. Once the ANMF backup is available, CFO will review the supporting documentation. If any errors are found on the 23C Certificate, CFO will notify CSC to make the necessary correction(s).

3.17.64.8  (09-01-2011)
Automated Non-Master File (ANMF)
(Cincinnati Only)

  1. ANMF is an automated system for the accounting and data control of NMF accounts.

  2. Non-Master File accounts are a collection of revenue accounting transactions whose sole purpose is to provide a means for the assessment of taxes and collection of revenue.

  3. Non-Master File is a system of accounting which provides for not only outstanding liabilities but for all types of return and tax adjustment processing. (See IRM 3.17.46, Automated Non-Master File Accounting, for additional information on NMF processing.) Specific General Ledger Accounts are used to journal NMF documents.

3.17.64.8.1  (09-01-2011)
NMF General Ledger Accounts

  1. The following are the accounts associated with Non-Master File.

3.17.64.8.1.1  (09-01-2011)
Account 1321 NMF Notice
(Real Account, DR Normal Balance)

  1. This receivable account will record all of those taxpayer accounts that are maintained on ANMF. These include assessments of tax, penalties or other additions to tax, and interest assessed. Payments and other credits to these taxpayer accounts will also be recorded in this account.

3.17.64.8.1.2  (09-01-2011)
Account 1322 NMF Taxpayer Delinquent Accounts Deferral (TDA)
(Real Account, DR Normal Balance)

  1. If the taxpayer fails to pay the previous notices, the accounts are then maintained in the TDA status. NMF accounts are the external subsidiary records to Account 1322.

3.17.64.8.1.3  (09-01-2011)
Account 1324 NMF Taxpayer Delinquent Accounts
Deferral Under Tolerance
(Real Account, DR Normal Balance)

  1. These TDA accounts meet the deferral criteria of $24,999.99 as established by Collection. Collection activity is held in abeyance until determined otherwise. NMF accounts are the external subsidiary records to Account 1324.

3.17.64.8.1.4  (09-01-2011)
Account 1360 NMF Installment Agreement Accounts
(Real Account, DR Normal Balance)

  1. Taxpayer accounts are maintained in installment agreement status until they have satisfied their tax liability. NMF accounts are the external subsidiary records to Account 1360.

3.17.64.8.1.5  (09-01-2011)
Account 1371 NMF Offers In Compromise (OIC)
(Real Account, DR Normal Balance)

  1. Taxpayer NMF accounts are maintained in OIC when a proposal for settlement of a tax liability is less than previously assessed. NMF accounts are the external subsidiary records to Account 1371.

3.17.64.8.1.6  (09-01-2011)
Account 1389 NMF Suspense
(Real Account, DR Normal Balance)

  1. Taxpayer NMF accounts are maintained in IDRS TDA suspense when an adjustment claim is pending. NMF accounts are the external subsidiary records to Account 1389.

3.17.64.8.1.7  (09-01-2011)
Account 1830 NMF Accounts Receivable, Inactive
(Real Account, DR Normal Balance)

  1. This receivable account will be used to record NMF taxes receivable items determined to be uncollectible, or on which collection activity has been suspended due to taxpayer's inability to pay. Items in this account may subsequently be reopened for collection activity. Overpayments from other periods or MFTs may be offset to satisfy outstanding items in this account.

  2. Items in this account will be closed to the accounts cleared, statute account, upon expiration of the Collection Statute.

  3. External subsidiary record is the file of currently not collectible (53'd) NMF accounts.

3.17.64.8.1.8  (09-01-2011)
Account 4420 SC Suspense for NMF
(Real Account, DR/CR Normal Balance)

  1. This liability account is a suspense account for NMF, and will be used to record and control items received by the campus for processing to the NMF accounts. The amounts of debits and credits will be cleared from this account upon application of the items to the NMF Account.

  2. External subsidiary record is NMF SCCF file.

3.17.64.8.1.9  (09-01-2011)
Account 4430 Unpostable Documents - NMF
(Real Account, DR/CR Normal Balance)

  1. This is a liability suspense account for NMF unpostable documents. NMF documents are classified as unpostable when no NMF account is located in the ANMF database to post the document.

  2. The external subsidiary records are the file of unposted NMF documents pending research.

3.17.64.8.1.10  (09-01-2011)
Account 4440 Assessment and Abatement Suspense - NMF
(Real Account, DR/CR Normal Balance)

  1. This liability account is to control NMF assessments and abatements that are post-journalized to the NMF accounts. It is also used to control items established on the SCCF files.

  2. NMF assessment and abatement documents are numbered with DLNs that carry a 47 or 54 doc code and cannot be established on SCCF. These documents are input to the ANMF system and post-journalized.

  3. This account is supported by the related Form 813 pending the posting of the individual documents to the NMF account. This pending file is the external subsidiary record for Account 4440.

3.17.64.8.1.11  (09-01-2011)
Account 6520 Refund of Tax and Interest - NMF
(Nominal Account, DR Normal Balance)

  1. This account summarizes the net amounts of NMF refunds certified during the year. The balance in Account 6520 represents the overpayment of taxes, penalties, or interest certified for refund, less check cancellations, or repayments of such refunds.

  2. Credit balances from NMF accounts will not be included in this account when refunded, however, interest computed on those refunds will be included.

  3. There is no external subsidiary record for this account.

3.17.64.8.1.12  (09-01-2011)
Account 6600 Accounts Cleared Statute/Bankruptcy
(Nominal Account, DR/CR Normal Balance)

  1. This account is used to record and summarize the clearance of outstanding tax liability balances when the Collection Statute has expired. It will also record the clearance of outstanding tax liability discharged by bankruptcy.

  2. MF accounts will be summarized and recorded in this account from the SC Recap. NMF accounts will be reviewed at least once yearly to determine the accounts on which the statute has expired. This review will include those accounts in inactive status.

  3. There is no external subsidiary record for this account.

3.17.64.8.2  (09-01-2011)
NMF Block Control

  1. There are two screens on ANMF designed for RRACS use only:

    1. The Form 813 Block Control screen - the major control for all items entered into ANMF.

    2. The update journalized RRACS Recap screen - used to record all journalized NMF recaps generated from ANMF, and the RRACS journal number.

  2. All blocks of documents that are either pre-journalized or post-journalized will be input to the ANMF Form 813 Block Control screen. The only exceptions are entity changes, non-remit NMF extensions of time to file, transfers-in, and old accounts (ULC's). See IRM 3.17.46, Automated Non-Master File Accounting for entry information. The listings generated through ANMF associated with input through the two screens above are:

    1. NMF Block Listing

    2. NMF Unprocessed Block List

    3. Report of Blocks-out-of-Balance

    4. NMF Error Register

    5. Recap of journalized RRACS Summaries

    Note:

    For detail information of NMF listing refer to IRM 3.17.46, Automated Non-Master File Accounting.

3.17.64.8.3  (09-01-2011)
NMF Daily Assessments

  1. Daily assessments are made to protect the assessment from being barred by the statute of limitations or to expedite the collection process. The RACS function will receive the Form 2859, in most cases via a fax from a Revenue Officer.

  2. For Jeopardy/Termination assessments only, a separate Form 813 and DLN is prepared. Multiple assessments against the same taxpayer can be included on the same Form 813. In some instances assessments may be telephoned to the site for immediate assessment. Phone requests must furnish the following minimum information:

    1. Affirmative statement that the district director has approved Form 2644, recommendation for Jeopardy/Termination assessment.

    2. Name, address, and TIN

    3. Type of tax and taxable period

    4. Amount of tax, interest, and all applicable penalties to be assessed

    5. Amounts of payments, if any, and balance due

    6. Types of assessment - Quick, Prompt, Jeopardy or Termination

    7. Appropriate abstract number

    8. Transaction codes

  3. The RACS function will assign a DLN, prepare Form 813, journalize assessments through RRACS, enter the Form 813 information into ANMF system using the Form 813 Block Control screen, and stamp Form 813 with the journal number and the 23C date. The account period in RRACS for the assessment should agree with the 23C date.

    Example: July 1 assessment date should be journalized in July account period. ANMF processes assessments using current month while RRACS journals according to the 23C date. This causes reconciling items between the ANMF system and RRACS. RRACS should provide a copy of Form 8166, or Form 813, showing the posting account period to NMF for balancing purposes.

  4. Journalization of NMF daily assessments can be completed on a variety of RRACS windows depending upon the type of assessment (quick, prompt, jeopardy or termination), whether it is current or a deficiency, the tax class, and whether it is tax, penalty or interest. The windows that can be used range from 610 through 686. For further instructions on determining which window to use, refer to IRM 3.17.50.6, Submission Processing RRACS Procedures.

  5. Summary Record of Assessment will be signed and dated by the assessment officer. The requesting office will be informed of the date of signature (23C date) and the DLN of the assessment.

  6. RRACS will forward the Form 813 and the related documents to the NMF function for input to ANMF through the original assessment - daily screen.

3.17.64.8.4  (09-01-2011)
NMF Weekly Assessments

  1. If the statute of limitations is not imminent or no specific immediate assessment date is requested or required, assessments will be made as a weekly assessment. Recaps with a 23C date, six days or fewer into the new month, will be input as prior month.

  2. RRACS will input the Form 813 information into ANMF using the Form 813 Block Control screen and include the 23C date on Form 813.

  3. RRACS will forward the Form 813, and the related assessment documents, to NMF using the NMF block list as the transmittal.

  4. After NMF batch journalization, journal number 142, RRACS will stamp the Form 813 with the journal number. RRACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

3.17.64.8.5  (09-01-2011)
NMF IRC 7804(C) Assessments
(RRACS Assessment Window)

  1. IRC 7804(c) provides for assessments to be made against officers and employees of the Internal Revenue Service who either embezzle or fail to properly handle and account for money received in connection with the internal revenue laws. These assessments will be handled under NMF procedures.

  2. IRM 3.0.167, Losses and Shortages, contains more information regarding 7804(c) assessments.

  3. Prior to NMF assessment, the embezzled amount will have been journaled to Account 7610 and a letter of notice and demand sent.

  4. If payment is not received within 30 days of the notice, a copy of the letter of notice and demand will be forwarded to RACS for prejournaling the assessment from the responsible accounting campus maintaining Account 7610. The letters will be used as the source document.

  5. Journalization of assessments can be completed on a variety of RRACS windows depending upon the type of assessment (regular, quick, prompt or jeopardy), whether it is current or a deficiency, the tax class, and whether it is tax, penalty or interest. The windows that can be used range from 610 through 686. For further instructions on determining which window to use, refer to IRM 3.17.50.6, Submission Processing RRACS Procedures.

  6. RACS will input the Form 813 information into the ANMF Block Control screen and forward the Form 813 and assessment document(s) to NMF for further processing.

  7. This journal will become part of the daily 23C certificate.

3.17.64.8.6  (10-01-2013)
Debit and Credit Transfers
(RRACS Window 400)

  1. Form 2424 and Form 3809 with related Form 813 are received for manual transfers. Transfers can be made between BMF Account 4120, IMF Account 4220, and NMF Account 4420. When transfers are made through IDRS, the recap from IDRS will be treated as a Form 2424 or Form 3809, as applicable. Separate transfers into like batches, such as IMF to NMF, BMF to NMF or NMF to IMF, etc.

    1. Review each Form 2424/3809 for completeness. For the NMF side, ensure an ANMF transcript is attached and a Trace ID is present.

      Note:

      All Forms 2424 prepared by Accounting must have a manager's signature.

    2. All forms in one DLN block should balance to the Form 813.

    3. Prepare Form 8166 for journalization. Form 8166 should include, at a minimum, DLN and money amount.

  2. Journalize the Form 2424 or Form 3809.

    1. Using the RRACS 400 Window, which can be found under the Accounting Application Main Menu under Miscellaneous Applications, input the total amount.

    2. The journalization will be a Debit to either Account 4120 (BMF), 4220 (IMF) or 4420 (NMF) and a Credit to either Account 4120 (BMF), 4220 (IMF) or 4420 (NMF) depending on the documents.

  3. The journal number must be stamped or written on all supporting documentation.

    1. Send Form 813 to the Data Control Function for input to SCCF.

    2. Forward Form 813, Part 1, and documents for MF to Batching for processing.

    3. RACS will input the Form 813 information of the NMF documents into ANMF using the Form 813 Block Control screen and route the NMF documents to the NMF function for input to ANMF. After successful input to ANMF, the journal will be automatic to the RRACS system with a 141 journal and automatic to SCCF, closing the DLN.

    4. RACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

  4. If manual journalization is needed, NMF will route the recap to RACS for input.

    1. Journalize the NMF recap using the RRACS 400 Window, which can be found under the Accounting Application Main Menu under Miscellaneous Applications.

    2. The journalization will be a Debit to either Account 4420 (NMF), Account 1321,1322, 1324, 1360, 1371, 1389 or 1830 and a Credit to either Account 4420 (NMF), Account 1321,1322, 1324, 1360, 1371, 1389 or 1830 depending on the recap.

    3. Reclassify, if necessary, using a 250 window.

  5. RACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

3.17.64.8.7  (09-01-2011)
NMF Subsequent Transactions Debits and Credits
(RRACS Window 400)

  1. RACS will receive various posting documents with a Form 813. Ensure first journalization has been completed.

  2. RACS will input the Form 813 information into ANMF using the Form 813 Block Control screen and route the NMF documents to the NMF function for input to ANMF system. After successful input to ANMF, the journal will be automatic to the RRACS system with a 141 journal and automatic to SCCF, closing the DLN.

  3. RRACS will then input the 141 journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

  4. If manual journalization is needed, NMF will route the recap to RACS for input.

  5. Journalize the NMF recap using the RRACS 400 Window, which can be found under the Accounting Application Main Menu under Miscellaneous Applications.

  6. Depending on the type of document, the journalization will be as follows :

    1. Debit document - debit either Account 1321,1322, 1324, 1360, 1371, 1389 or 1830 and credit Account 4420, NMF.

    2. Credit document - credit either Account 1321,1322, 1324, 1360, 1371, 1389 or 1830 and debit Account 4420, NMF.

    3. Transcribe or stamp journal identification number on related documents.

    4. RRACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

    5. Distribute documents accordingly.

  7. Debits/Credits from NMF Unpostables Account 4430 will be processed using normal procedures.

    1. RACS will receive various posting documents with a Form 813. Ensure first journalization has been completed and documents have been distributed accordingly.

    2. RACS will input the Form 813 information into ANMF using the Form 813 Block Control screen and route the NMF documents to the NMF function for input to ANMF system. After successful input to ANMF, the journal will be automatic to the RRACS system with a 141 journal.

    3. RRACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

3.17.64.8.8  (09-01-2011)
NMF Abatements/Form 2188
(RRACS Window 400)

  1. RACS will receive scheduled Form 1331 or Form 1331-B with Form 813 and Form 2188.

  2. Input Form 813 data to ANMF Form 813 Block Control screen and route the NMF documents to the NMF function for input to ANMF system. After successful input to ANMF, the journal will be automatic to the RRACS system with a 141 journal as a debit to Account 4440 (Assessment and Abatement Suspense) and a credit to an NMF Status.

  3. If manual journalization is needed, use a 400 Window under Accounting Applications.

  4. Transcribe or stamp journal identification number on related Form 1331, NMF recap, or Form 8166 for audit trail.

  5. RRACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

  6. Transfers from Manual Assessment, Transit Account 1600 may be required. The unpaid balance of all manual assessments is initially established in Account 1600.

    1. Input Form 813 data to ANMF Form 813 Block Control screen and route the NMF documents to the NMF function for input to ANMF system. After successful input to ANMF, the journal will be automatic to the RRACS system with a 141 journal.

    2. Transcribe or stamp journal identification number on source document for audit trail.

    3. RRACS will then input the journal number to ANMF using the UPDATE Journal screen

3.17.64.8.9  (09-01-2011)
Transfers Of NMF Abatement Credits To MF
(RRACS 400 Window)

  1. Journalize transfer of NMF abatement credits to the MF suspense accounts. Form 2188s occasionally have Form 2424 or Form 3809 attached for transfer of the abatement credits to a MF account.

    If Then
    Form 2424 Journalize using a 400 window, and set up on SCCF. Debit Account 4420 and credit applicable MF suspense account.
      Work back of NMF Form 813, Part 2, and input to post on NMF TDCS. Journalize as debit to Account 4440 and credit to Account 4420.
    Form 3809 Journalize as a debit to Account 4440, credit to applicable MF suspense account. Set up MF DLN on SCCF and input document to post credit to taxpayer's MF account.

3.17.64.8.10  (09-01-2011)
NMF Accounts Written-Off
(RRACS Window 400)

  1. NMF accounts can be written off systemically or manually if the accounts meet certain criteria.

    1. Small credits (less than $1.00) - posts with TC 607.

    2. Small debits (less than $5.00) - posts with TC 606.

    3. Expired Collection Statute accounts except Account 1371 and Account 1389 are systemically written off to Account 6600.

  2. Systemically written off accounts are completed weekly and the journal will be automatic to the RRACS system with a 141 journal.

    1. RRACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

  3. For manually written off accounts, RACS will receive a posting document (e.g., Form 3177, Form 53, Form 5147)

    1. RRACS will input the Form 813 information into ANMF using the Form 813 Block Control screen and route the documents to the NMF function for input to ANMF. After successful input to ANMF, the journal will be automatic to the RRACS system with a 141 journal.

    2. RRACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

  4. If manual journalization is needed NMF will route the recap to RACS for input.

  5. Journalize the NMF recap using the RRACS 400 Window, which can be found under the Accounting Application Main Menu under Miscellaneous Applications.

  6. Depending on the type of write-off, the journalization will be as follows :

    1. Small Debits Cleared - Debit Account 6540 and credit not limited to any one NMF account.

    2. Small Credits Cleared - Credit Account 6540 and debit not limited to any one NMF account.

    3. Status 53 - Debit Account 1830 and Credit Account 13XX NMF Accounts Receivable.

    4. Reversal of Status 53 - Debit Account 13XX and Credit Account 1830.

    5. NMF Account Statute cleared - Debit Account 6600 and Credit Account 1830.

    6. Reversal of NMF Account Statute Cleared - Debit Account 1830 and Credit Account 6600.

  7. RRACS will then input the journal number to ANMF using the UPDATE Journal screen.

3.17.64.8.11  (09-01-2011)
NMF Applications From Dishonored Check File
(RRACS Window 400)

  1. RACS will receive the DCF 03 run, which may contain NMF documents.

  2. NMF applications from the DCF will generate Form 4830.

  3. RACS will receive Form 4830 with Form 813.

  4. Balance Form 813 to DCF 03, Transaction Register of NMF applications.

  5. Journalize Form 4830.

    1. Using the RRACS 400 Window, which can be found under the Accounting Application Main Menu under Miscellaneous Applications, input the total amount.

    2. The journalization will be a Debit to 4420 (NMF) and a Credit to 1710 (Dishonored Check).

      Note:

      All DLNs for current fiscal year must be reclassed as a Debit 2110 and a Credit to the revenue receipt tax class.

    3. The journal number must be stamped or written on the DCF 03 run and the supporting documentation.

  6. RACS will input the Form 813 information into ANMF using the Block Control screen and route the documents to the NMF function for input to ANMF.

  7. Route Form 813 to Data Control for input to the SCCF.

  8. After successful input to ANMF, the journal will be automatic to the RRACS system with a 141 journal and automatic to SCCF, closing the DLN.

  9. RRACS will then input the journal number to ANMF using the UPDATE Journal screen. Use the transmittal recap of summary.

3.17.64.8.12  (09-01-2011)
Reversal of Erroneous Abatement

  1. When it has been determined that an account has been erroneously abated and the period for correcting it on IDRS has expired, the case is routed to the Statute function for controlling and monitoring purposes. Accounting will receive a request for the reversal of an erroneous abatement from Statute. See IRM 25.6, Statute of Limitations and IRM 3.17.46, Automated Non-Master File Accounting for additional information on processing by Statute and NMF.

3.17.64.9  (01-20-2012)
CADE - Customer Account Data Engine

  1. CADE stopped processing transaction data as of the end of Cycle 201124. All individual taxpayer accounts have been returned to the Individual Master File (IMF) and effective January 2012, IMF will process all IMF transactions under the CADE 2 processing time line with daily processing. All general ledger activity is included under the IMF general ledger accounts.

3.17.64.9.1  (09-01-2011)
CADE Accounts Receivable

  1. The following accounts are associated with CADE.

  2. The account series generally consists of taxpayer accounts that contain an outstanding balance of monies due and payable to the U. S. Government. The majority of the accounts receivable are the results of tax assessments against the various tax classes.

3.17.64.9.1.1  (09-01-2011)
Account 1200 IMF Accounts Receivable
(Real Account, DR Normal Balance)

  1. The net total of this receivable account will represent the total taxes assessed and unpaid on the IMF. Included in this account are individual taxpayer accounts in notice status, installment status, TDA status, and those individual taxpayer accounts where collection has been temporarily suspended by a hold code.

  2. External subsidiary records are those taxpayer accounts on MF, in debit-balance status.

  3. Data input will be updated by electronic transmission.

3.17.64.9.1.2  (10-01-2013)
Account 1205 CADE Accounts Receivable - Inactive
(Real Account, DR Normal Balance)

  1. The net total of this receivable account will represent the total taxes assessed and unpaid on the CADE file. Included in this account are individual taxpayer accounts in notice status, installment status, TDA status and those individual taxpayer accounts where collection has been temporarily suspended by a hold code.

  2. External subsidiary records are those taxpayer accounts on CADE, in debit-balance status.

  3. Data input will be updated by electronic transmission.

3.17.64.9.1.3  (10-01-2013)
Account 1301 CADE Non-Receivables - Inactive
(Real Account, DR Normal Balance)

  1. The net total of this receivable account will represent non-tax monies posted on CADE that have an outstanding module balance.

  2. Data input will be updated by electronic transmission.

3.17.64.9.1.4  (10-01-2013)
Account 1815 CADE Accounts Receivable - Inactive
(Real Account, DR Normal Balance)

  1. This receivable account will be used to record CADE taxes receivable items determined to be uncollectible, or where collection activity has been suspended due to taxpayer's inability to pay. The account also includes items which have been administratively determined too small to warrant collection activity.

  2. Items in this account may subsequently be re-opened for collection activity if taxpayer's financial status changes. Refunds for subsequent periods may be offset automatically to satisfy outstanding items in this account.

  3. External subsidiary records are those items on CADE marked with the uncollectible status code.

  4. Account 1815 will be updated by electronic transmission.

3.17.64.9.1.5  (10-01-2013)
Account 4205 CADE in Transit
CADE to MF-IMF - Inactive
(Real Account, DR/CR Normal Balance)

  1. This is a suspense account for items being returned from CADE to Current Processing Environment (CPE) IMF. In the future this will also be used for initialization of items going from CPE to CADE.

3.17.64.9.1.6  (10-01-2013)
Account 4522 CADE Pre-Payment CR Non-Tax - Inactive
(Real Account, CR Normal balance)

  1. This account represents the sum total on non-tax accounts with credit balances on CADE. Included in this account are individual accounts with an outstanding balance due.

  2. No external subsidiary record is used.

  3. The account will be updated by electronic transmission.

3.17.64.9.1.7  (10-01-2013)
Account 4530 CADE Pre-Payment CR - Inactive
(Real Account, CR Normal balance)

  1. Recorded in this liability account is the sum total of all those IMF taxpayer modules that are in credit-balance status. Modules are normally in credit balance status due to pre-payments by estimated tax payments. Modules may also be in credit balance due to hold codes or freeze codes. These amounts are also included in this account.

  2. For the purpose of this account, the term pre-payment credits is defined to include all those credit amounts in a module where there is no assessment or debit amount equal to or greater than the credit.

  3. No external subsidiary record is used.

  4. The account will be updated by electronic transmission.

3.17.64.10  (09-01-2011)
Credit Transfers

  1. Credit transfers between NMF and MF accounts, and NMF to NMF, within the same campus, will be accomplished by using either a Form 2424 or Form 3809.

  2. Credit transfers from NMF to NMF accounts between campuses will be accomplished by using a Form 2158. Form 2158 has a maximum processing cycle of 6 workdays from the date received in accounting, per IRM 3.30.123, Processing Timeliness: Cycles, Criteria, and Critical Dates.

3.17.64.10.1  (09-01-2011)
General Ledger Accounts For Credit Transfers

  1. The following are the accounts associated with Credit Transfers.

3.17.64.10.1.1  (09-01-2011)
Account 4740 Deposit Funds in Transit
(Real Account, CR Normal Balance)

  1. This liability account will be used to control deposit fund items in the process of being transferred to other campuses. Deposit fund items determined proper for transfer will be recorded in this account upon preparation of Form 2158.

  2. Credit transfers remain the accountability of the transfer campus until a receipted copy of the transfer is received and recorded. A maximum processing cycle of 10 workdays, per IRM 3.30.123, Processing Timeliness: Cycles, Criteria, and Critical Dates, has been established, where confirmation should be received and posted. This required time line will be especially beneficial for fiscal-year-end closing. Credit transfer may not be rejected by transferee campus. If transfer is not acceptable, re-transfer on Form 2158.

  3. This account is supported by individual records in the database file marked with the transfer indicator awaiting confirmation. These items in the database make up the external subsidiary record for Account 4740 within RRACS. Externally, this account will be supported by a Form 2158.

    Note:

    A special effort must be made to clear the items in Account 4740 before fiscal year end.

3.17.64.10.1.2  (09-01-2011)
Account 4900 Revenue Credits in Transit
To Other Campuses
(Real Account, CR Normal Balance)

  1. This liability account must be used to record amounts of revenue receipt credits in process of transfer to other offices for application to taxpayer accounts. The balance in this account represents the total of revenue credits in transit on Form 2158, receipt of which has not been acknowledged by the transferee offices.

  2. Credits transferred to other campuses remain the accountability of the transferrer campus. Credit transfers may not be rejected by transferee campus. If transfer is not acceptable, re-transfer on Form 2158. Per IRM 3.30.123, Processing Timeliness: Cycles, Criteria, and Critical Dates, a maximum processing cycle of 10 workdays (from the date received in Accounting) has been established, by which time confirmation should be received and posted. This required time line will be especially critical for fiscal year-end closing.

    Note:

    A special effort should be made to clear the items in Account 4900 before fiscal year end.

  3. Externally this account will be supported by a suspense file consisting of copies of Form 2158 identifying each credit being transferred.

3.17.64.10.1.3  (09-01-2011)
Account 6580 Revenue Credits Transferred To and From
(Nominal Account, DR/CR Normal Balance)

  1. This account is used to record the transfer of revenue credits between two separate campuses. Credit may be transferred to MF either manually by use of Form 2158 or systemically.

  2. Transfers on Form 2158 will be initially recorded in the In-Transit Account 4900 in the transferrer campus. These transfers will be recorded in Account 6580 of the transferrer campus upon acknowledgement of receipt by the transferee campus. Upon receipt, transferee campus will record the transfer in Account 6580.

  3. Automatic transfers between masterfile accounts will be reported on the SC Recap, and recorded in Account 6580, in both the transferrer and the transferee campus, upon receipt of the SC Recap.

  4. Transfers are recorded as a credit to this account by the transferrer campus, and a debit to this account by the transferee campus.

3.17.64.10.1.4  (09-01-2011)
Account 6590 Deposit Fund Credit Transferred To and From
(Nominal Account, DR/CR Normal Balance)

  1. This account is used to record accomplished transfers of deposit fund credits between two separate campuses on Form 2158. Transfers of deposit fund credits will be initially recorded in Account 4740 by the transferrer campus, and moved to this account upon acknowledgement by the transferee campus. Transferee campus will record the transfer in this account upon receipt.

  2. Transfer will be recorded as a credit to this account by the transferrer campus, and a debit to this account by the transferee campus.

3.17.64.10.2  (09-01-2011)
Credit Transfer Out Report
(RRACS Report 142)

  1. This report tracks revenue receipts in transit to campuses through Account 4900, by Document-ID and by debits and credits. The Document-ID format is XXXX-XX-XX-XX. The first four digits are the sequence number, the fifth and sixth digits are the campus transferred to, the seventh and eighth digits is the year, and the ninth and tenth digits are the campus it is transferred from. See IRM 3.17.21, Credit and Account Transfers, for further information.

  2. This report is produced monthly. The current month activity equals the current balance on the Daily Trial Balance Report.

3.17.64.10.3  (09-01-2011)
Credit Transfers-Out (Form 2158)
(RRACS Window 435/436/437/438)

  1. Credits and debits applicable to taxpayer accounts in other campuses are often received. Credits and debits on IMF or BMF are offset in the masterfile posting runs and journalized systemically from the SC Recap. Available credits and debits not on masterfile will be transferred on Form 2158.

    Note:

    Due to fiscal year end, the campuses should not initiate a credit transfer (Form 2158) after September 15th. For more information see IRM 3.17.21.2(7), Credit Transfers between Campuses.

  2. Source documents for credit/debit transfers may include, but is not limited to the following documents:

    1. Form 3244

    2. Form 2424

    3. Form 3809

    4. Form 1331

    5. Form 4830

    6. URF 03

    7. DCF 03

    8. Various subsequent transaction documents

  3. RACS will receive a Form 2158, with supporting documentation. The Form 2158 must contain which account the debit or credit transfer is coming from and a Trace ID number.

  4. The Serial Number of the Form 2158 will be used as the Doc-Id on RRACS.

  5. The journalization will vary depending upon whether the document is credit or debit money.

  6. For a credit transfer out, using the RRACS 435 Window, which can be found under the Accounting Application Main Menu, Credit Transfer Out, input the amount.

    1. The journalization will be a Debit to either 1710 (Dishonored Checks), 1321,1322, 1324, 1360, 1371, 1389 or 1830 (NMF Statuses), 4420 (NMF), 4430 (NMF Unpostables), 4620 (Unidentified), 6310 (Miscellaneous Fees), 6400 (Miscellaneous Revenue Collections) or 6800 (Excess Collections) and a Credit to 4900 (Revenue Credits In Transit to Other Campuses).

  7. For a debit transfer out, using the RRACS 436 Window, which can be found under the Accounting Application Main Menu, Credit Transfer Out, input the amount.

    1. The journalization will be a Debit to 4900 (Revenue Credits In Transit to Other Campuses) and a Credit to either 1710 (Dishonored Checks), 1321,1322, 1324, 1360, 1371, 1389 or 1830 (NMF Statuses), 4420 (NMF), 4430 (NMF Unpostables), 4620 (Unidentified), 6310 (Miscellaneous Fees), 6400 (Miscellaneous Revenue Collections) or 6800 (Excess Collections).

  8. Journal identification number will be stamped or transcribed on the Form 2158 and any supporting documentation. Send documents to receiving campus.

  9. If the transfer is from the deposit funds (Offer in Compromise, Seized Property and Miscellaneous Deposit Funds), the deposit fund document number must be input. This number must match the deposit fund record in the gaining campus.

  10. For a credit deposit fund transfer out, using the RRACS 437 Window, which can be found under the Accounting Application Main Menu under Credit Transfer Out, input the amount.

    1. The journalization will be a Debit to either 4710 (Offer in Compromise), 4720 (Seized Property) or 4730 (Miscellaneous Deposit Funds) and a Credit to 4740 (Deposit Funds In Transit).

  11. For a debit deposit fund transfer out, using the RRACS 438 Window, which can be found under the Accounting Application Main Menu under Credit Transfer Out, input the amount.

    1. The journalization will be a Debit to 4740 (Deposit Funds In Transit) and a Credit to either 4710 (Offer in Compromise), 4720 (Seized Property) or 4730 (Miscellaneous Deposit Funds).

  12. Journal identification number will be stamped or transcribed on the Form 2158 and any supporting documentation. Send documents to receiving campus.

3.17.64.10.4  (09-01-2011)
Credit Transfers-In (Form 2158)
(RRACS Windows 441/442/443/444)

  1. RACS will receive Form 2158, Part 3, from other campuses. Form 2158 must include a Trace ID. Form 2158 is normally used to transfer NMF credits between campuses. In some cases, abatements, debits and deposit funds are also transferred.

  2. The Serial Number of the Form 2158 will be used as the Doc-Id on RRACS.

  3. The journalization will vary depending upon whether the document is credit or debit money.

  4. For a credit transfer in, using the RRACS 441 Window, which can be found under the Accounting Application Main Menu under Credit Transfer In, input the amount.

    1. The journalization will be a Debit to Account 6580 (Revenue Credit Transferred To and From) and a Credit to either Account 4420 (NMF), 6310 (Miscellaneous Fees), or 6400 (Miscellaneous Revenue Collections).

  5. For a debit transfer in, using the RRACS 442 Window, which can be found under the Accounting Application Main Menu under Credit Transfer In, input the amount.

    1. The journalization will be a Debit to either Account 4420 (NMF), 6310 (Miscellaneous Fees), or 6400 (Miscellaneous Revenue Collections) and a Credit to Account 6580 (Revenue Credit Transferred To and From).

  6. Journal identification number will be stamped or transcribed on the Form 2158 and any supporting documentation.

  7. If the transfer is to the deposit funds (Offer in Compromise, Seized Property and Miscellaneous Deposit Funds), the deposit fund document number must be input. This number must match the deposit fund record already established on RRACS.

  8. For a credit deposit fund transfer in, using the RRACS 443 Window, which can be found under the Accounting Application Main Menu under Credit Transfer In, input the amount.

    1. The journalization will be a Debit to Account 6590 (Deposit Fund Credit Transferred To and From) and a Credit to either Account 4710 (Offer in Compromise), 4720 (Seized Property) or 4730 (Miscellaneous Deposit Funds).

  9. For a debit deposit fund transfer in, using the RRACS 444 Window, which can be found under the Accounting Application Main Menu under Credit Transfer In, input the amount.

    1. The journalization will be a Debit to either Account 4710 (Offer in Compromise), 4720 (Seized Property) or 4730 (Miscellaneous Deposit Funds) and a Credit to Account 6590 (Deposit Fund Credit Transferred To and From).

  10. Journal identification number will be stamped or transcribed on the Form 2158 and any supporting documentation.

3.17.64.10.5  (09-01-2011)
Credit Transfer-Out (Confirmed Form 2158)
(RRACS Windows 446/447/448/449)

  1. Originating campus will receive the confirmation copy of Form 2158 back from receiving campus for confirmation on RRACS. The RACS function will receive confirmed Form 2158, both revenue receipt and deposit fund transfers. Form 2158 cannot be rejected. If credit cannot be processed in the receiving campus, re-transfer on a new Form 2158 per IRM 3.17.21, Credit and Account Transfers.

  2. The Serial Number of the Form 2158 will be used as the Doc-Id on RRACS.

  3. The journalization will vary depending upon whether the document is credit or debit money.

  4. For a credit confirmation, using the RRACS 446 Window, which can be found under the Accounting Application Main Menu under the confirmation drop down menu pick "Rev Rec CR 2158" , input the amount.

    1. The journalization will be a debit to Account 4900 (Revenue Credits in Transit To Other Campuses) and a credit to Account 6580 (Revenue Credit Transferred To and From).

  5. For a debit confirmation, using the RRACS 447 Window, which can be found under the Accounting Application Main Menu under the confirmation drop down menu pick "Rev Rec DR 2158" , input the amount.

    1. The journalization will be a debit to Account 6580 (Revenue Credit Transferred To and From) and a credit to Account 4900 (Revenue Credits in Transit To Other Campuses).

  6. For a credit deposit fund confirmation, using the RRACS 448 Window, which can be found under the Accounting Application Main Menu under the confirmation drop down menu pick "Deposit Fund CR 2158" , input the amount.

    1. The journalization will be a debit to Account 4740 (Deposit Funds in Transit) and a credit to Account 6590 (Deposit Fund Credit Transferred To and From).

  7. For a debit deposit fund confirmation, using the RRACS 449 Window, which can be found under the Accounting Application Main Menu under the confirmation drop down menu pick "Deposit Fund DR 2158" , input the amount.

    1. The journalization will be a debit to Account 6590 (Deposit Fund Credit Transferred To and From) and a credit to Account 4740 (Deposit Funds in Transit).

  8. Journal identification number will be stamped or transcribed on the Form 2158 and any supporting documentation. .

3.17.64.11  (09-01-2011)
Department of Justice (DOJ)
(Kansas City Only)

  1. The Kansas City Campus receives and processes monies collected through the Department of Justice (DOJ) as a result of court actions and IRS referrals to DOJ for collection.

  2. Intra-Governmental Payment and Collection (IPAC) provides a standardized interagency fund transfer mechanism for federal program agencies. Monies received by DOJ as a result of civil litigation are transferred to the IRS via an IPAC 1081, Voucher and Schedule of Withdrawals and Credits. A detailed listing to support transfer of funds is mailed to IRS by DOJ along with the individual payments comprising the total amount transferred via IPAC 1081.

3.17.64.11.1  (09-01-2011)
General Ledger Accounts for DOJ

  1. The following accounts are used to process IPAC receipts and checks from the Department of Justice.

3.17.64.11.1.1  (09-01-2011)
Account 2355 Federal Court Ordered Restitution
(Nominal Account, DR Normal Balance)
(TAS 20-3220) (Kansas City Only)

  1. This receipt account represents monies collected for court-ordered restitution of fines, penalties and court costs. This also includes court-ordered restitution in excess of assessable amount. These payments should be received with information identifying into which category they fall.

  2. All payments will be journalized and transferred with the supporting documentation to Kansas City Accounting function.


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