- 126.96.36.199 Introduction
- 188.8.131.52 Description of AIMS
- 184.108.40.206 AIMS/Master File
- 220.127.116.11 AIMS Quality Control Responsibilities
- 18.104.22.168 AIMS Problem Resolution
- 22.214.171.124 Sources of Reference
- 126.96.36.199 Internal Revenue Manuals
- 188.8.131.52 Documents
- 184.108.40.206 AIMS Web Page
- 220.127.116.11 Training Packages
- Exhibit 4.4.1-1 Reference Guide
- Exhibit 4.4.1-2 Activity (Abstract) Codes
- Exhibit 4.4.1-3 Aging of the AIMS Data Base
- Exhibit 4.4.1-4 Aging Reason Codes
- Exhibit 4.4.1-5 AIMS Freeze Codes
- Exhibit 4.4.1-6 Appeals Office Codes
- Exhibit 4.4.1-7 Blocking Series
- Exhibit 4.4.1-8 Case Assembly
- Exhibit 4.4.1-9 Combat Zone Procedures
- Exhibit 4.4.1-10 DIF Reason Codes
- Exhibit 4.4.1-11 Disposal Codes
- Exhibit 4.4.1-12 Employee Group Code Charts
- Exhibit 4.4.1-13 Form Number, Master File and Non-Master File Tax Codes Valid on AIMS
- Exhibit 4.4.1-14 Push Codes
- Exhibit 4.4.1-15 Reference Returns
- Exhibit 4.4.1-16 Retention Register Reinstatement Procedures
- Exhibit 4.4.1-17 Sort Codes
- Exhibit 4.4.1-18 Sort Keys
- Exhibit 4.4.1-19 Source Codes
- Exhibit 4.4.1-20 Special Messages on Form 5546
- Exhibit 4.4.1-21 State Alpha Codes
- Exhibit 4.4.1-22 Status Codes
- Exhibit 4.4.1-23 Taxpayer Identification Number
This handbook contains instructions for Examination personnel on the use of the Audit Information Management System (AIMS) and the processing of cases.
The AIMS IRM is divided into chapters based on topics such as Openings, Closings, Transfers, Updates/Corrections, etc. Exhibit 4.4.1-1 contains a Reference Guide, which should be used as a starting point when researching AIMS issues. The goal is to list all possible topics of interest and references to the appropriate IRM section.
Examination managers are responsible for the timely implementation of all AIMS changes and manual revisions that affect their operation.
Any changes or revisions where their effect/impact cannot be determined, will be referred to the AIMS Coordinator in the campus or the AIMS/ERCS Analyst in the Area Office for clarification.
AIMS, the Audit Information Management System is a computer system used by Appeals, Examination (LMSB/SBSE/W&I), and TE/GE to control returns, input assessment/adjustments to Master File and provide management reports.
While the return is charged to Examination, the AIMS data base tracks its location, age, and status.
Information on the management reports can be found in IRM 4.4.27, AIMS/Processing Handbook - Reports.
The AIMS base has been consolidated into one Individual Master File (IMF) data base and one Business Master File (BMF)/Non-Master File (NMF) data base. It appears to the user that there is only one data base. You can view all returns on AIMS using CC AMDIS(A) without having to use CC CMODE.
Inputs to AIMS cause the following changes to Master File.
If you: Then Master File is updated with a: Input an AM424 TC 424 & L freeze Receive an opening record TC 420 Update a statute date using AMSTU or AMCLS TC 560 (with a blocking series of 775) and/or new ASED Input an AMSOC for a transfer New PBC code in the first 2 digits of the DLN of the most recent TC 42X. Input an AMSOC for a non-examined closure TC 421 - in some cases a TC 59X is generated if certain disposal codes are input. Input an AMCLSE TC 30X - Disposal codes other than 07, 11 or 12 if an AOC is present generates the TC 421.
Every Examination employee is responsible for ensuring the accuracy of the AIMS data base.
Group Managers are responsible for ensuring that:
the group has access to an AIMS manual
AIMS procedures are timely followed
AIMS monitoring reports are analyzed to identify group problems
corrective action is initiated when appropriate
employees are evaluated on their use of AIMS
the AIMS Coordinator-AIMS/ERCS Analyst is consulted in solving non-routine problems
Field Territory Managers are responsible for the accuracy and completeness of the AIMS data base and ensuring that appropriate actions are timely.
Report day-to-day problems to your immediate manager for resolution.
Refer problems that cannot be resolved to the AIMS Coordinator/AIMS-ERCS Analyst. Include documentation on previous actions taken.
The AIMS Coordinator/AIMS-ERCS Analyst will try to resolve problems through additional research and assistance from Centralized Case Processing, Campus Integrated Date Retrieval System (IDRS) Control Staff, other AIMS Coordinators/AIMS-ERCS Analyst, AIMS website and/or the AIMS Help Line.
If the AIMS Coordinator/AIMS-ERCS Analyst cannot resolve the problem:
If the problem you have is: Then submit a: a change in procedures or systems, Form 5391, Procedures/Systems Change Request - contact the AIMS Help Line prior to submitting Form 5391. systemic; the program is not doing what it should be doing, Form 5715, System Production Evaluation Report - contact the AIMS Help Line prior to submitting Form 5715. an editorial IRM change Form 9345, Editorial Change Request
The following resources are available for research or reference.
Following is a list of related Internal Revenue Manuals (IRM):
IRM Title IRM 1.4.40 SB/SE Compliance Field Examination Group Manager IRM 1.10.1 The IRS Correspondence Handbook IRM 1.15.23 Records Control Schedule for Tax Administration - Examination IRM 2.3 IDRS Terminal Responses IRM 2.4 IDRS Terminal Input IRM 2.8 Audit Information Management System (input formats) IRM 3.5.61 Files Management and Services IRM 3.12.3 Individual Income Tax Returns, Error Resolution Systems (Contains Combat Zone Information) IRM 3.12.32 General Unpostables IRM 3.12.179 IMF Unpostable Resolution IRM 4.8.9 Statutory Notices of Deficiency IRM 4.10 Examination of Returns IRM 4.10.8 Report Writing IRM 4.18 Offer In Compromise IRM 18.104.22.168.10 Collecting Process, Liability Collection, Balance Due (Contains Combat Zone Information) IRM 20.1 Penalty Handbook IRM 20.2 Interest IRM 21.4.5 Erroneous Refunds IRM 21.4.6 Refund Offset IRM 25.6 Statute of Limitations IRM 25.6.23 Examination Process - Assessment Statute of Limitations Controls IRM 25.15.15 Mirror Modules for Requests for Relief from Joint and Several Liability IRM 25.16 Disaster Assistance and Emergency Relief
Document 6036, Examination Division Reporting System Codes Booklet.
Document 6209, IRS Processing Codes and Information.
Document 7071, Name Control Job Aid for Individual Master File (IMF) Taxpayers
Document 7071-A, Name Control Job Aid for Business Master File (BMF) Taxpayers
The AIMS web page can be found at: http://sbse.web.irs.gov/AIMS/default.htm .
The AIMS Coordinator/AIMS-ERCS Analyst will be available to assist the area training and development function in conducting formal AIMS training for Examination personnel.
The AIMS Coordinator/AIMS-ERCS Analyst will initiate and provide any necessary informal training such as workshops, seminars, and presentations at meetings.
The following training courses can be downloaded from http://publish.no.irs.gov/catlg.html . For Product Type enter Training Publication and then enter the course number in the product number field:
Title Course # Case Processing 5740 Completing Form 5344 6711 Interest 5001 Modifications to MFT 31 2293 Report Generation Software (RGS) 5757 Statute Awareness 6685
The following "REFERENCE GUIDE" is where the user should look first for definitions or listings of terms used by Examination. The REFERENCE GUIDE is in alphabetical order based on the term being explained. While reading the IRM, if you come upon a term that needs clarification, refer to the REFERENCE GUIDE.
If the field is displayed on the Form 5546, Examination Charge-Out an L = line number and E = element number will be displayed after the definition. (LX-EX).
If the field is displayed on an AMDIS or AMDISA a P = AMDIS(A) page number and L = AMDIS(A) line numbers will be displayed after the definition. (PX-LX)
If there is a related exhibit, EXHIBIT will be displayed after the definition. (EXHIBIT)
If the field is on A-CIS, A-CIS will be displayed after the definition. (A-CIS)
If the field is on the SSIVL, SSIVL will be displayed after the definition. (SSIVL)
90-Day Letter - See IRM 4.8.9, Statutory Notices of Deficiency Issued by Area Office, and IRM 4.10.10, Campus Operations, for information on 90-Day Letters.
Abstract Code - The abstract code represents the 3 digit IRS No. that is found on Form 720, Excise Tax Return. It is displayed on AIMS in the Activity Code field. When excise tax returns are examined and there is an adjustment to the amount reported under an abstract code, Item 15 on Form 5344, must be completed to update the Master File Abstract field. Unless the examination is for a claim, each abstract code examined must be reflected in Item 404 on Form 5344. Do not make any entries in Item 404 for the examination of a claim. The code that is displayed on the AMDIS is the code used when the requisition was input and is not overlaid when a full data base is received. (L13-E38b/P1L7).
Account Receivable Dollar Inventory (ARDI) Code - Code used by Appeals and TE/GE to record the type of advance payment received for the tax period being closed. (P2-L19)
Activity Code (ACTY-CD) - A 3 digit code that categorizes classes of returns (referred to as the Abstract Code for Forms 720). When establishing a return on AIMS, enter an estimated activity code on Form 5345. The opening record sent to AIMS from Master File will overlay the estimated code with the correct code with the exception of MFT 03 - the activity code input on the requisition will not be overlaid. The Activity Code generated by Master File should not be changed unless one of the exceptions to the rule below applies:
EXCEPTIONS SFR's - Since no return was filed, the opening activity code is a guesstimate of the correct code. The activity code must be updated based on the figures on the RAR, before the case leaves the group. Activity Code 203 (no balances sheet or 0 assets) returns - if the return is not correctly coded with a 203, update to correct activity code. A change in coding for Activity Code 203 has been scheduled for 1/1/2009. Activity Code 231 returns - cases must be updated out of Activity Code 231 before closing.
Activity Codes 224, 287-290, 480-483, 489, 497, 498 and 992 are for non-taxable returns such as Forms 1041, 1065 and 1120S. EGC 2XXX can only control the following activity codes, Form 1040-All, Form 1041-495-496, Form 1065-473, 480-483, Form 1120-203, 209, 213, 215, 217, Form 1120S -202, 287-289. (L13-E38b/P1-L7/A-CIS/SSIVL) See Exhibit 4.4.1-2 for a complete list of Abstract/Activity Codes.
Activity Indicator (ACT-IND) - If present, it means that an update of some kind has been done on the AIMS module since the last weekly analysis and extract. This field is present on the AMS 7108 and 7109 tapes and is used by programs that use these tapes to identify accounts that were updated since the last weekly tape. After the weekly run the indicator is reset to zero. (P1-L21)
Adjusted Taxable Gifts (ADJ-TAXABLE-GIFTS) - Addition of this field to AIMS and A-CIS is scheduled for January 1, 2010. This is the Adjusted Taxable Gifts amount from the Form 706. If available at the time of implementation, this information will be populated for returns filed prior to implementation. (/P2-L13/A-CIS)
Adjustment Amount - See Examination Adjustment Amount.
Aging of the AIMS data base - See Exhibit 4.4.1-3.
Aging Reason Code (AGING-RC) - 2 digit code used to identify special cases on AIMS. Can be input/updated using CC AM424, AMSTU, AMCLSE, AMAXUE. See Exhibit 4.4.1-4.(L16-E50/P1-L17/A-CIS/SSIVL)
Agreements - See IRM 4.4.12 for information on agreements.
AIMS Assignee Code (AAC) - The AAC is the coding mechanism that Examination uses to assign work. It is a 12 digit field made up of three parts. The first three digits represent the Primary Business Code (PBC). This identifies the operating division such as Appeals, LMSB, SB/SE, TE/GE, and W&I. The second five digits represent the Secondary Business Code (SBC). The last 4 digits represent the Employee Group Code (EGC). See Document 6036, Examination Division Reporting System Codes Booklet, for a complete list of PBC's and SBC's. For a complete listing of EGC's, visit the AIMS web site at http://sbse.web.irs.gov/AIMS/docs/EGCbyPBC.xls .
AIMS/Exam-Results - See Exam Results
AIMS Freeze Code - A freeze code is used to prevent the update and/or closing of AIMS bases until the freeze code is removed. The freeze code field displayed on the AMDISA is two spaces. The first space contains all freeze codes with the exception of bankruptcy codes. The second space contains an "X" or "Y" which are the two valid bankruptcy codes. Both fields may be present. See Exhibit 4.4.1-5.. Additional instructions on AIMS freeze codes appear in IRM 4.4.34, Updating/Correcting AIMS Data Base. Instructions about Master File freeze codes can be found in Doc. 6209, IRS Processing Codes and Information. (L12-E35/P1-L14)
AIMS Open Control Number (AIMS-OPEN-CTRL-NUM) - If no return is requested an AIMS Open Control Number is not generated.
For Master File AIMS opening, the AIMS Open Control Number is a 12 digit computer generated number. Returns in Centralized Files and Scheduling are filed on the shelves in ascending AIMS control number sequence. The AIMS Open Control Number was previously displayed on IDRS command codes such as IMFOL and BMFOL. Since the implementation of the AIMS Assignee Codes, the AIMS Open Control Number is only displayed on CC AMDIS(A) and the Form 5546. (L4-E15/P1-L17)
For records opened prior to 1/1/2007:
1st to 3rd = 000
4th - 6th = PBC
7th - 12th are sequential starting at 000001 for IMF and 500000 for BMF.
For records opened after 12/31/2006 :
1st to 3rd = PBC
4th = year digit
5th - 6th = weekly cycle of opening (01-52)
7th to 12th = sequential starting at 000001 for IMF 500000 for BMF
Example: Control Number 296705000025 means - 296 (PBC) 7(2007) 05 (5th week) 000025 (25th record opened since the last initialization of the program).
For NMF Records (CC AMNON), the control number is computer generated using the input PBC and the form number. Example: If Area 205 established a Form 1042 on AIMS using AMNON, the AIMS Control Number would be displayed as: 000205104200.
AIMS Opening Source Code - See Opening Source Code.
AIMS Reports - See IRM 4.4.27.
AIMS Serial Number (AIMS-SER-NUM) - (Also known as the AIMS OPEN CONTROL NUM). See AIMS Control Number.
Alpha Statute Codes - 2 digit alpha codes located in the "day" portion of the ASED indicate there are special circumstances surrounding the statute. If there are alpha codes (other than EE) on a skeletal record, when a full record comes down from Master File the MM and YYYY portion of the ASED will be populated with the month and year from the Master File ASED. If the alpha code is "EE" , the DD portion of the ASED will also be populated with the Master File ASED. The Alpha Statute Codes can be updated using CC AMSTU and AMCLS. See IRM 25.6.23 for instructions on the use of Alpha Statute Codes. (L12-E34/P1-L3)
AMDIS(A) Screen Prints - Visit the AIMS web site at: http://sbse.web.irs.gov/AIMS/docs/AMDIS-2008.DOC .
Amended Return - Amended returns may be referred to Examination for consideration. All assessment (overassessment) documents are usually in the administrative file. However, the file must be checked to determine if a change in tax liability has previously been made as evidenced by a CP36 or CP193, notices with transaction codes (TC) 290 or 291, or computer notices indicating an adjustment has been made. If these forms are not included and doubt exists, a transcript of account should be secured. Once it has been determined that the adjustments were not made, any necessary adjustments to refundable credits on individual or corporate returns, except estimated tax payments or credits must be reflected in the examiners report.
If an amended return is filed with the examining officer and an examination is not warranted, process the amended return directly to the campus for input to the master file following secured delinquent return procedures in IRM 4.4.9. Do not establish on AIMS. If the amended return was filed as a result of an on-going examination, see Amended Return Amount.
Amended Return Amount - Form 5344, Item 415. See IRM 4.4.12, Examined Closings.
Credit for Amended Returns - If a taxpayer sends a taxable amended return that is the direct result of an ongoing examination (TC 42X present prior to the posting of the TC 290) to the campus and the tax is assessed as a TC 290, Examination is to enter in Item 415, Amended Return Amount of the Form 5344, the amount of the tax assessed adjusted by credits. Before 1/1/1999, Examination did not receive "credit" for this type of adjustment.
Amount Claimed - See Claim Amount
Appeals Office Code (AOC) - 3-digit code that is required when closing returns to Appeals as appealed/nondocketed (1XX) or petitioned/docketed (2XX). (P1-L12/A-CIS/SSIVL) See Exhibit 4.4.1-6)
AMSOC Transfer Date (AMSOC-TRANSFER-DATE) - The date that the transfer was input (CC AMSOC DC 30). (P1-L10/A-CIS)
Assessment Statute Expiration Date (ASED) - The date that the assessment statute expires. For MF records, the ASED is sent from Master File to AIMS on the AIMS opening record. Exception: MFT 06 - Since the ASED at Master File is blank for MFT 06 records, AIMS sets the ASED by adding 3 years to the Return Received Date that is on the AIMS opening record. An "X" after the date indicates that the statute has been updated using CC AMSTU or CC AMCLSE. An "R" indicates a restricted consent. A "U" is used to removed the restricted consent indicator. If the statute date is input using CC AMSTU and the statute does not contain alpha codes, and it does not match the current AIMS ASED, a TC 560 is generated with a blocking series of 775 and sent to Master File. If the TC 150 at Master File is an Substitute For Return (SFR), the TC 560 will post but it will not update the Master File ASED field. (L12-E34/P1-L3/A-CIS/SSIVL)
Asset Class Code - Code generated by Business Master File used by AIMS to generate the Activity Code for corporate returns. Displayed on BMFOLR and AMDISA (P2-L5/A-CIS)
Audit Category Codes/Codes - Entered on tax returns by campus personnel. Some audit codes cause automatic AIMS openings while other audit codes are just displayed on the F5546 if a return is opened on AIMS. (L21-E63/P2-L5/A-CIS)
Form 1040 See IRM 3.11.3
Form 1041 See IRM 3.11.14
Form 1065 See IRM 3.11.15
Form 1120 See IRM 3.11.16
Audit History Section - See Prior Examination Results
Audit Information Management System (AIMS) - The system used by Appeals, Examination, and TE/GE to control returns, input assessment/adjustments to Master File, and provide management reports.
Backup Withholding Indicator (BWH) - In some instances it is necessary to remove the backup withholding indicator prior to the input of the Examination closing command codes. These cases will be received in the processing function with Form 3198 annotated "Delete BWH Indicator" .
(1) The processing function is responsible for preparing Form 8408 as follows:
Initiated by Employee No./Org. Enter your ten digit employee identification number without hyphens. For the organization enter "EXAM" .
Action Code - Enter "7"
Action Date - Enter current date in MMDDYYYY format. For example, enter March 14, 2009 as "03142009"
Name Control - Enter four digit primary taxpayer name control from information in case file
Primary or Payee SS Number - Enter primary taxpayer SSN from information in case file. Enter numerics only. Do not use hyphens
(2) Annotate in the case file that Form 8408 was prepared. Route completed forms as follows:
If PBC is: Then send to: 19X Kansas City Service Center 2306 E. Bannister Road, Rosanna 2 Stop 5000,
Kansas City, MO 64999
2XX or 3XX Philadelphia Service Center 11601 Roosevelt Blvd,
South Building 657-S, Philadelphia, PA 19154.
Barred Assessments - See Form 3999, Expired Statute Report and IRM 22.214.171.124, IRM 4.8.8 and IRM 25.6.23. To close out AIMS use Disposal Code 12 and $1 in Item 35, Manual Assessment Amount on the Form 5344.
Bankruptcy Processing Procedures - If bankruptcy proceedings are against both Joint Return Deficiency taxpayers, research the Master File to ensure that transaction code (TC) 521 has been input to release the bankruptcy freeze. If the TC 521 has not been input and the taxpayer is still in bankruptcy, any assessment made could be illegal. If TC 521 is not present on the module, coordinate with Technical Services
Bankruptcy Indicators - There are two fields on AIMS that identify taxpayers in bankruptcy. See AIMS Freeze Codes U and X and Collectibility Indicator Code (1=Bankruptcy). (L7-E23/P1-L22/A-CIS)
Beginning Overlapping Period - The beginning date of the overlapping interest period used in the net rate computation. Item 53 on the Form 5344. See IRM 4.4.12, Examined Closings.
Block - Returns or documents grouped together for filing purposes. The ninth, tenth and eleventh digits of the DLN indicate the blocking series where the return is filed.
Blocking Series - A 3 digit number required for all examined closures (P36-38 on Form 5344) that identifies the type of source document filed under the DLN. Master File uses the blocking series to determine whether to generate CP notices and the control DLN indicator "X" . See Exhibit 4.4.1-7. or for additional information visit the AIMS website at: http://sbse.web.irs.gov/AIMS/docs/BlockingSeries-Exam.xls
Business Master File (BMF) - The file containing information about taxpayers business, estate, gift and trust returns and related documents.
"C" Corp Indicator - Indicates whether or not a module is part of an account which is classified as a "C" corporation. This indicator is necessary to inform the processing personnel that the taxpayer may be subject to 2% interest. (L23/E70)
C-F-Ind - See Schedule C/F Indicator.
CAF Indicator (CAF-IND) - This indicator is displayed on AMDISA if there is a Power of Attorney on the Centralized Authorization File. The values are either present or not present. This file contains both taxpayer and representative records. Taxpayer records contain information about modules for which the taxpayer has delegated authority. The representative records contain name and address information for the representative. CC CFINK is used to access the CAF. (L3-E8/P1L17)
Andover AN 08 Atlanta AT 07 Austin AU 18 Brookhaven BR 19 Cincinnati CI 17 Fresno FR 89 Kansas City KC 09 Memphis ME 49 Ogden OG 29 Philadelphia PH 28
Case Assembly - See Exhibit 4.4.1-8.
Case File - The return (may have multiple tax periods), related workpapers, correspondence, etc.
CAU - AMDISA - Displayed on AMDISA if the Potentially Dangerous Taxpayer Indicator per Master File is set to a "2" . (L3-E12/P1-L1)
Centralized Authorization File (CAF) - See CAF Indicator
Check Digit (CD) - A two letter code determined by the computer applying a mathematical formula to the TIN. The check digit can be found on the tax return label, the AIMS labels and Exam Charge-Out. The check digit ensures that the correct TIN has been input and should always be used if available. (L2-E6/P1-L1)
CIC Indicator - A one digit code used to identify Coordinated Industry Cases. This indicator is set when a "P" is entered in the LMSB/CIC box on the Form 5345-B. The indicator can also be set after a case is opened on AIMS by entering an "L" on the CIC line of the Form 5349. The literal CIC-CASE will be displayed on CC AMDISA if the indicator is set. (P1-L3/A-CIS/SSIVL)
Claim - Term used when taxpayer files a subsequent return requesting a refund or abatement of previously assessed tax.
Claim Amount - Dollar amount of claim for abatement or refund.
Claim Date (CLAIM-DATE) - The claim date is generated when a claim amount is input. The Claim Date cannot be input when the case is established using AM424. The current date is generated. If CC AMAXU is used to input the Claim Amount, the current date is generated in the Claim Date field. This field cannot be corrected although the claim date is automatically deleted if the claim amount field is deleted. (P1-L5/A-CIS/SSIVL)
Claim Rejection Date (CLAIM-REJN-DT) - Date entered in Item 20 of Form 5344. Is displayed on a Master File transcript next to the TC 300. The claim rejection date that is displayed on AIMS can be corrected using CC AMAXU but the date at Master File cannot be corrected. (P2-L15)
Claim Time (CLAIM-HOURS) - Time entered in Item 23 of Form 5344. Claim time is only applicable if the taxpayer filed a claim for refund. Not applicable for audit reconsiderations or claims for abatement. (P2-L14/A-CIS)
Claim Type - From item 24 on the Form 5344, used to define the type of claim filed. (P2-L15/A-CIS)
Claim Type Definition A Joint Committee (Returns that meet Joint Committee criteria - project code 077) B Form 843, Claim C Form 1040X, Amended U.S. Individual Income Tax Return D Invalidated - do not use E Additional Documentation/Informal Claim (Qualifies as Revenue Base Protection only if the liability has been paid) F (Reserved) No longer being used to identify NOL cases G Form 1139, Corporation Application for Tentative Refund, (Only when the amount requested has not been refunded) H Form 1045, Application for Tentative Refund, (Only when the amount requested has not been refunded) I Return filed J Affirmative Issue (If the taxpayer recomputed the tax) K Form 1120X, Amended U.S. Corporation Income Tax Return L-Y (Reserved) Z Other (Not identified above)
Cleanup Date (CLEANUP-DT) - Periodically, fields on the AIMS data base need to be updated. When a computer run is performed to update fields on AIMS, the date of the clean-up is stored on all records affected. (P2-L7/A-CIS)
Closing PBC (CLS-PBC) - The Primary Business Code of the area office or campus that received credit for the closure. The Closing PBC is the only area that can correct the AIMS data base even if the case is now in Appeals. It is also the area that the computer will automatically default to if a case is returned from Appeals or reopened. See IRM 4.4.34, Updating/Correcting AIMS data base. (P1-L15/A-CIS/SSIVL)
Collectibility Indicator Code - Indicator retrieved from the Accounts Receivable Dollar Inventory System to be used in determining whether the Examination should be limited due to collectibility. (L7-E23/P1-L22/A-CIS/SSIVL)
|1||=||Bankruptcy Indicates that a TC 520/Closing Code 81, 83 or 85-89 has posted at Master File for ANY tax period.|
|2||=||Currently not Collectible Indicates that the CNC indicator has been set at Master File for any tax period. See IRM 5.16.1.|
|3||=||TDA Status 26 Indicates that a tax period (not necessarily the tax period under examination) is in Collection Status Code 26. Coordination with Collection is necessary. Generates an AIMS Weekly Update Code 28.|
Combat Zone Indicator - See IRM 4.10.8 for guidance on the examination of taxpayer's that have been deployed to a Qualified Combat Zone. A combat zone indicator of 1 or 4 on AIMS means the TP is in a combat zone. A combat zone indicator of a 2 on AIMS means the TP is no longer in a combat zone. See Exhibit 4.4.1-09 for procedures on setting or releasing the Combat Zone Indicator. (P1-L18/A-CIS/SSIVL)
Consent Code - This field is used to denote that a change was made to the statute field on AIMS. It is also used to denote that a Form 872I or 872R was secured. Input on Line 1, Position 29 of CC AMSTU, (Line 1, Position 23 of CC AMSTUB). The I or R will be displayed on AIMS immediately after the ASED field. The entire ASED must be input when setting or removing the consent code. The consent code is not allowed if alpha codes "EE" are input in the ASED field or if the input ASED is the same as the ASED on the AMDISA. (P1-L3/A-CIS/SSIVL)
displayed on A-CIS
Literal displayed on AMDISA after the ASED DEFINITION 0 None Statute date never updated 1 X Statute date changed 2 None Statute date updated with 872A or 872Aaa (where A = alpha and aa=AA - ZZ) 3 R "R" is used to denote that a Form 872R was secured. (NOT VALID if ASED input is 872A, 872O, 872R, or 872IA) 4 I "I" is used to denote that a Form 872I was secured. (Valid with an all numeric ASED, or ASED with alphas. NOT VALID if ASED input is 872A, 872O, 872R, or 872IA). 1 X "U" is Used to remove the R or I
Control DLN - The Control DLN is identified by an "X" following the DLN. The Control DLN reflects the location of the original return in files. Effective 1/1/2008, examination uses Blocking Series 000-099 and 600-699 to generate a control DLN. Appeals uses Blocking Series 700-799 to generate a control DLN. See Exhibit 4.4.1-7, Blocking Series
Conversion Date (CONVERSION-DT) - When fields on the AIMS base are converted from one code to another through a computer run, the conversion date is updated with the date of the run. (P2-L7/A-CIS)
Coordinated Industry Case (CIC) - The name given to the program that conducts the examination of large corporations that are pre-identified based on special selection criteria. See CIC Indicator.
Copies of Returns - Effective 1/1/2008 this process was eliminated. When conducting an examination, Exam uses either the original return, an electronic print (TXMOD, IMFOL/BMFOL, RTVUE/BRTVU, etc.) or for Campus Exam only - no return.
Correspondence Received Date (CORR-RECD-DT) - Only valid with EGC 5XXX cases. (P1/L5/A-CIS/SSIVL)
Credit Carryforward Disallowed Amount (CR-CF-DISL) - Form 5344, Item 46. See IRM 4.4.12, Examined Closings. (P2-L20)
Credit Type - Form 5344, Item 47. See IRM 4.4.12, Examined Closings. (P2-L20/A-CIS)
A = Reserved B = Business Energy Credit C = Reserved E = Experimental Credit; Research and F = Foreign Tax Credit G = Reserved H = Historical Restoration Credit I = Investment Tax Credit J = Reserved K = Reserved L = Low Income Housing Credit M = Multiple N = Reserved O = Other P = Reserved Q = Reserved R = Reserved S = Reserved T = Tight Formation Gas Credit U = Reserved V = Vehicle Credit; Qualified Electric W = Reserved X = Reserved Y = Reserved Z = Reserved
Cross-Reference Document Locator Number (XREF-DLN) - is the DLN that is generated when a CC AM424 is input. This number is replaced with an incomplete DLN that AIMS creates if a partial assessment is input and also when the record is closed. The incomplete DLN is sent to the end of day program as part of the TC 300 record. The DLN is completed by the end of day program and becomes the DLN of the TC 300/TC 421. This is the reason why the AIMS DLN will not match the DLN that posts to Master File. (P1-L15)
Cross-Reference TIN (XREF-TIN) - A field input using CC AM424. The cross reference TIN is used to relate one return with another. (P2-L12/A-CIS)
Currently not Collectible - See Collectibility Indicator
DAS-Score - (P1-L6/A-CIS/SSIVL)
Deleting AIMS Data Bases - See IRM 4.4.21, Non-Examined Closings.
Delinquent Return Amount - Form 5344, Item 414. See 4.4.12, Examined Closings. (P2-L21/A-CIS)
Delinquent Return Code (DELQ-RET-CD) - A one digit code entered from Item 37 on Form 5344 used to identify delinquent returns that have been secured by Examination and forwarded to the campus for processing. This code must not be used if the delinquent return is incorporated into the examination. See IRM 4.4.12, Examined Closings. (P2-L10/A-CIS)
Item 37 entry & displayed on AMDISA Displayed on A-CIS Definition 0 0 Delinquent Return NOT Secured T 1 Delinquent Return Secured R 2 Enter on subsequent returns secured
Delinquent Return Indicator (DELQ-RET-IND) - An indicator on AIMS that is set when the delinquent return indicator is set at Master File. If this indicator is set, the delinquency penalty must be addressed if you are attempting to close the case with an adjustment. (L28-E92/P1-L16/SSIVL)
Desert Storm - See Exhibit 4.4.1-09.
DIF Score (DIF-SCORE) - The Discriminant Index File score assigned to a return based on the calculation of a mathematical formula used to determine the audit potential of a return. (L23-E71/P1-L6)
DIF Formula - A computerized categorization of returns used by Examination in the selection process.
DIF Formula Score (DIF-FORMULA-CD) - A field containing the DIF Formula used to calculate the DIF score. (L22-E68/P1-L6/SSIVL)
DIF/DAS Reason Code (DIF/DAS-RSN-CD) - Referred to as the RST code on the IMF opening record sent from Master File. (L12-E37b/P1-L6/SSIVL)
DIF Regular Return - A return which receives a DIF score above the minimum cutoff and is not a DIF special return.
DIF Selection Codes (DIF-SEL) - (Also referred to as DIF Reason Code or Audit Category Codes) These codes are determined by Master File using blocking series, asset values, etc. They are used on the DIF file to identify the type of return so when a DIF order is placed for a certain type of tax form i.e. Form 1120F, the system knows to kick-out returns with a DIF Selection Code of "Q" . (L12-E37b)
DIF Special Return - A return containing identifiable characteristics which must be delivered for screening or classification regardless of DIF score. These codes are identified by the Audit Code that is entered by Code and Edit when the return is filed.
Disaster Indicator (DIS-IND) - See IRM 25.16.1 for more information on disaster procedures. (P1-L7/A-CIS/SSIVL)
0 = Not Set 1 = Master File "S" Freeze Disaster declared (Compliance Continues) TC 971 AC 688 posted to Master File 2 = Master File "O" Freeze Disaster declared, (Compliance Suspended) TC 971 AC 086 or 087 posted to Master File 3 = Both Master File "S" and "O" Freeze present. TC 971 AC 086 or 087 and 688 posted to Master File 4 = Disaster Ended
Disclosure Codes - Under agreements with the various states the IRS will disclose information. The Disclosure Code on the Form 5344 is not required to be completed for income tax cases that are on the Report Generation Software (RGS). Since this information is part of the EOAD data that is captured on all RGS LAN 1040, 1120, 1120S and 1065 returns, it is not necessary to enter it on the form. However, non-income tax examinations (Employment tax, Excise, Estate, etc.) are not providing EOAD data and therefore, the disclosure code is required to be entered on the Form 5344. For complete instructions and a list of the state disclosure codes used to update AIMS see IRM 4.4.28, Revenue Agent Reports (RAR's) Sent to States.
Discriminant Index File - See DIF
Disposal Code (DISP-CD) - A two digit code input from Item 13, Form 5344 or corrected using Item 13, Form 5349. The disposal code identifies the type of closing. Prior year disposal codes appear on Form 5546. The Exam Disposal Code will remain on AIMS even if Appeals subsequently closes the case. Input with CC AMCLSE/AMSOC/AM424D and AMAXU. Disposal Codes are categorized on the Exam tables as follows: See Exhibit 4.4.1-11.(L19/20-E27-28/P1-L15/A-CIS/SSIVL)
Disposal Code Date - date AMCLSE is input. If transaction goes unpostable, reflects date AMCLSU is input.
Status code 90 date does not change when an AMCLSU is input.
DO-Transferred From - See Transfer Terminal Code. (P1-L10)
Document Code (DOC Code) - The code which identifies the specific type of return or document that was filed or processed. The document code is the fourth and fifth digits of the DLN. Document Codes for transactions input through AIMS are 47 (AMCLS/AMSOC) and 77 (AM424/AMSTU); 51 reflects quick assessments.
Document Locator Number (DLN) - A fourteen digit number by which returns can be stored and associated. (L2-E7)
The positions of the DLN are:
Position Number Definition 12 FLC/campus 3 Tax Class 45 Document Code 68 Julian Date 911 Blocking Series Number 1213 Document Serial Number 14 Year Digit
Dummy TIN - See Exhibit 4.4.1-23, Taxpayer Identification Number Exhibit. Cases with a Dummy TIN cannot be closed to Appeals.
Electronic Prints - Generally, examinations are conducted using either the original return or some type of electronic print. Electronic prints include but are not limited to the following: RTVUE, BRTVU, MACS print, ELF (An ELF return can be secured using command code TRDBV. This command code will eventually replace RTVUE and BRTVU.), IMFOL, BMFOL, TXMOD, or TRPRT- This command is used to request a graphical (form image) of an electronically filed tax return. The print contains original taxpayer submitted data only. There are no corrections or processing codes. In essence, it creates a tax form out of electronically filed data. TRDBV prints should not be given to the taxpayer. If a print is to be given to the taxpayer, use command RTFTP.
Electronically Filed Returns (ELF) - Examination personnel should follow normal requisition and closing procedures, even though the return was electronically filed. (Regular prints or Graphic Electronic Prints (GEL) must be closed using electronic print blocking series.) Electronic returns are identified by the first two digits of the Document Locator Number (DLN) . Refer to Document 6209 and AIMS web site at http://sbse.web.irs.gov/AIMS/default.htm#AIMSdocs .
Ending Overlapping Period - The ending date of the overlapping interest period used in the net rate computation. Item 54 on the Form 5344. See IRM 4.4.12, Examined Closings.
Employee Group Code (EGC) - A four digit code used to identify groups in Examination. The group code is added to the AIMS data base when a case is requisitioned on AIMS. It can be corrected using Form 5348, Examination Update, on open cases and Form 5349, Examination Correction Request on cases in Status Code 8X or 90. For a complete listing of EGC's visit the AIMS web site at: http://sbse.web.irs.gov/AIMS/docs/EGCbyPBC.xls (L13-E40/P1-L11/ See Exhibit 4.4.1-12./A-CIS/SSIVL)
Employee Group Code Date (EGC/DT) - Reflects the current Employee Group Code and the date the record was updated to the current EGC. See Employee Group Code. (P1-L11/SSIVL)
Employer Identification Number (EIN) - The nine digit number with a format XX-XXXXXXX, used to identify business taxpayers on the Business Master File (BMF).
Enforcement Revenue Information System (ERIS) - In order to assess the success of the major enforcement programs within the IRS, the service has implemented an enforcement revenue information system. ERIS is an "umbrella" management information system that collects data from existing data sources on a regular basis to track enforcement actions from the start of an examination through collection. AIMS is the data source that Examination is using to provide the required data to ERIS. See http://eris.web.irs.gov/ for more information.
Entity Module - That portion of the Master File record which contains basic taxpayer information. It contains name, address, SSN, or EIN, name control, filing requirements, location codes, fiscal period, etc. IMF also includes marital status, spouses name, SSN etc.
Erroneous Refunds - See IRM 21.4.5, Erroneous Refunds and IRM 4.4.3, Adjustments-Miscellaneous.
Error Tolerances - If during the edit and review of Examination case files, it becomes apparent that an error was made in computing the deficiency, overassessment, or penalty the resolution of the error depends on whether it is in favor of the taxpayer or government. See LEM 4.10.2 and IRM 4.8.2.
Estimated Tax Indicator (EST-TX-IND) - This indicator is sent when Master File notifies AIMS that the taxpayer has paid the estimated tax penalty. If Exam adjusts withholding, this indicator will block the adjustments if a TC 17X, or Priority Code 8 is not present. (P2-L22)
Examination Adjustment Amount (EXAM-ADJ-AMT) - Nontaxable Returns The net increase or decrease in ordinary net income-loss. Amount from Item 34, Form 5344. (P2-L7/A-CIS)
Examination Claim Amount Disallowed (EXAM-CLAIM-AMT-DISALLOWED) - The amount input from Item 22, Form 5344 that represents the dollars protected from leaving the Treasury base. Must only be used if the claim is a claim for REFUND. (P2-L14)
Examination Cumulative Assessment Amount (EXAM-CUM-ASSMNT-AMT) - A computer generated cumulative amount of assessments made through AIMS by Examination. This amount includes all partial assessments made during the Examination plus the final assessment. This amount also includes all Item 12 and 15 entries from Form 5344 that are to be included in Exam Results. (P2-L4)
Examination Cycle Time - For Inventory cases, Exam Cycle Time is from the Exam Start Date until the monthly cut off. For Accomplishment cases, Exam Cycle Time is from the Exam Start Date until the Disposal Code Date.
Examination NAICS Code (EXAM-NAICS-CD) - See NAICS code.
Examination Results (AIMS/EXAM-RESULTS) - A computer generated total of Examinations' recommended tax adjusted by credits that are input from the following item numbers on Form 5344:
Item 12 TC codes 300, 301, 304, 305, 308 and 309 = EXAM-CUM-ASSMNT-AMT
Item 15 (Only Credit Reference Numbers 250, 252, 253, 255, 303, 304-311, 318, 322-324, 326-333, 335, 336, 338, 340-390, 392-398, 411-432, 764, 765, 766, 767, 806, or 807) = EXAM-CUM-ASSMNT-AMT
Item 18, Unagreed Amount Appealed/Petitioned
Item 34, Exam Adjustment Amount
Item 35, Manual Assessment Amount
Exam results do not include TC 290's, amended returns filed with the campus, Doc Code 51 TC 29X manual assessments. Do not include TC 290's in any of the fields mentioned above. See Amended Return Amount for more information on Exam getting credit when a taxpayer submits an amended return as a result of an examination. (P2-L8)
Forms 1041/1065/1120S When Forms 1041/1065/1120S returns are examined, the examination results are based on the type of adjustment that has been determined:
IF the adjustment is to: THEN ordinary income/loss or special allocation The activity code must be a non-taxable activity code. Entry in Item 34 on Form 5344 is required tax The activity code must be a taxable activity code. DO NOT make an entry in Item 34 on Form 5344 both only the tax adjustment is processed. See tax above.
Examination Return Charge-Out - See Form 5546
Examination Start Cycle (EXAM-START-CYC) - Effective 1/1/2006 the Exam Start Cycle was expanded by two digits and retitled Examination Start Date. Prior to 1/1/2006 - a computer generated monthly cycle date based on the weekend after a return goes into status 12 or above for EGC 1XXX or 2XXX or status 10 and above for EGC 5XXX. EXAMPLE: A 1XXX EGC case that is updated to status 12 on 3/31/04, will reflect a start of 200404 since the weekend after 3/31/04 is in April. This field cannot be changed after it is set and it does not restart on cases backed down from Appeals or reopened. Cycle time is calculated by using the 15th of the month along with the cycle date up to the disposal code date. (P1-L4)
Examination Start Code (EXAM-START-CD) - (Effective 09/29/2008) Indicates whether an Exam case has been extracted as a current month start and whether it is actually a current month or prior month start. This field is necessary because we do not recognize a record that is a skeletal record as a start until it is changed to a full record.
|0||Not extracted as a current month start|
|1||Case with an Exam Start Date within the current month and counted as a start in the current month.|
|2||Case with an Exam Start Date NOT in the current month but being counted as a current month start.|
|3 (eff 11/08)||Case was extracted previously with a code of 1.|
|4 (eff 11/08)||Case was extracted previously with a code of 2.|
Examination Start Date (EXAM-START-DT) - The Exam Start Date is the date that an EGC 1XXX or 2XXX case is updated to a status code 12-39; for EGC 5XXX the date the case is updated to a status code 10-39. The Exam Start Date is also set if not present when CC AMCLSE is input if the disposal code is NOT 34. (P1-L4)
Examination Technique Code (EXAM-TECH-CD) - Identifies the type of examination conducted. It is from Item 30 of Form 5344 and is required for all examined returns. No entry is made for surveyed claims. (P2-L12/A-CIS) Valid entries are:
EGC Technique Code 1XXX = 3 = Field Examination conducted (RA only) 2XXX = 1 = Office Interview Held 2 = Correspondence Examination conducted 4 = Office Interview Held and case closed at the end of the initial appointment. See IRM 1.4.40. 6 = No Show/No Response - valid if: Disposal Code 01, if there is a claim amount present. Disposal Code is 08, 10, 12 or 13 7 = Undeliverable Mail valid if: Disposal Code is 01 and there is a claim amount present Disposal Code is 10 or 13 5XXX 2 = if EGC is 5000-5399, 5500-5799, 5900-5999 Correspondence Received if EGC is 54XX or 58XX Correspondence Examination conducted 6 = No Response Valid only with Disposal Code 01 and 10 7 = Undeliverable Mail valid if: Disposal Code is 01 and there is a claim amount present Disposal Code is 10 Disposal Code is 13 8 = Telephone Contact from the Taxpayer. Valid only with Disposal Code 01 and 10 9 = Closed Agreed Full Paid - no signature (proposed 2010)
Examiners Grade (EXAM-GR) - This field represents the numbers entered in Item 31, Form 5344. It should reflect the grade of the examiner who closed the case. This entry is required for area examinations only. For Campus Examination , this entry is not required and the system will default to a Grade 07 if Item 31 is not completed. (P2-L12) Valid grades are:
EGC 1XXX = 05, 07, 09, or 11-14 EGC 2XXX = 03-09, or 11 EGC 5XXX = 03-09, or 11
Examiners Time (EXAM-TIME) - This field represents the amount entered in Item 28, Form 5344. Since examining officers can report sick leave, annual leave, etc. in quarter hours, the Examiner's Time field must also allow reporting in quarter hours. If EGC is 1XXX or 2XXX, the first 5 digits of the field represent whole hours. The last digit of the time field must be 0= 0 minutes, 3 = 15 minutes, 5 = 30 minutes, or 7 = 45 minutes. If EGC is 5XXX, the first 5 digits of the field represent whole hours. The last digit of the time field must be 1-9. See IRM 4.4.12, Examined Closing Chapter. (P2-L12/A-CIS)
Excise Tax Returns - See IRM 4.4.10, Employment/Excise Tax Adjustments.
Extended Fiscal Year - The extended fiscal year ends after the November Reports Monthly Cycle. This allows for a correction of data on cases closed in the prior fiscal year to be re-extracted and included in the prior fiscal year tables. Exam results for cases closed in the prior fiscal year that are put back into inventory within the extended fiscal year are removed from the prior fiscal year tables.
Extract Cycle - For closings, the month and year when a record was originally extracted for reports. For openings, the month and year of the current processing cycle. Displayed on Tables 10.1b, 15 and 16.
F0, F1, F2, F4, F5, F6 Record - See Record Type Code
Fax Agreement Indicator - If an agreement is received by fax, a "1" is entered in Item 416 on the Form 5344. This field is only valid if the EGC is 5XXX and the Disposal Code is 03, 04, 08 and 09. See IRM 4.4.12. (P3-L17)
Fed/State - See IRM 4.4.28, Revenue Agents Reports (RAR's) Sent to States.
File Source - a one-digit code which follows the Taxpayer identification Number (TIN) . See Report File Source for codes used on A-CIS. The common values are:
File Source Description Output
TIN-Type Blank (SSN) IMF SSN valid 1 0 * IMF SSN invalid 1 1 V BMF SSN valid 2 0 W BMF SSN invalid 2 1 Blank (EIN) BMF EIN 2 2 P-EIN EPMF EIN 3 2 P-SSN IRAF SSN valid 4 0 X IRAF SSN invalid 4 1 N-SSN NMF SSN 6 0 N-EIN NMF EIN 6 2 R-EIN CAF EIN 9 2 R-Rep CAF TPs Reps # 9 4 D AIMS Dummy TIN 0 3
File Year - Reflects the year that the return was numbered. The 14th digit of the DLN will show the calendar year the document was numbered. This means that every 10 years the same DLN can be reused.
Foreign Return Indicator (FRGN-RET-IND) - This indicator is set on AIMS when the Foreign Indicator Code on Master File is set. For IMF, this means that a positive response was entered to the question on Schedule B of Form 1040 about the existence of a Foreign Bank Account or Foreign Trust. For BMF, this means that a company is doing business in a foreign country (Audit Code 2 on Form 1120) or a taxpayer has a foreign bank account (certain exam codes on Form 1120, 1041 or 1065) . (L21-E62/P1L22/SSIVL)
Form 943, Editorial Change Request - See IRM 126.96.36.199.1.
Form 1120S Returns - See Text 4.4.6, Conversion of Returns.
Form 1273 Report of Estate Tax Examination Changes - See IRM 4.4.7, Correspondence.
Form 1296, Assessment Against Transferee or Fiduciary - See IRM 4.4.17, Jeopardy, Termination and Transferor/Transferee Assessment.
Form 2644, Recommendation for Jeopardy/Termination Assessment - See IRM 4.4.17, Jeopardy/Termination/Transferor-Transferee Assessments.
Form 3198, Special Handling Notice Visit the AIMS website at: http://sbse.web.irs.gov/AIMS/default.htm http://sbse.web.irs.gov/AIMS/default.htm for information on the Form 3198.
Form 3210, Document Transmittal - This form should be used to control the shipment of tax returns between posts of duty and area offices. The sender prepares Form 3210 in triplicate, completes the "To" and "From" sections and enters total return count. Taxpayer identifying information should also be included to provide tighter control of individual returns. Forward two copies with the shipment; retain third as record of shipping action. Receiver acknowledges delivery and returns one copy to sender. Upon receipt of acknowledgment copy, the sender destroys retained copy. After the files function was contracted out Form 3499 is being used in lieu of Form 3210.
Form 3244A, Payment Posting Voucher-Examination - See IRM 4.4.24, Payments and Remittances
Form 3499, Informational Transmittal - See Form 3210.
Form 3552(c), Prompt Assessment Billing Assembly - See IRM 4.4.24, Payments and Remittances and IRM 4.4.25, Quick Assessments.
Form 3999, Report of Statute Expiration - See IRM 188.8.131.52.1(5)
Form 4287, Record of Discovered Remittances - See IRM 4.4.24, Payments and Remittances
Form 4338, Information or Certified Transcript Request - See IRM 4.4.13, IDRS Research.
Form 4340, Certificate of Assessments and Payments - See IRM 4.4.13, IDRS Research.
Form 4549, Income Tax Examination Changes - See IRM 4.4.7, Correspondence.
Form 4605, Examination Changes - Partnerships, Fiduciaries, Corps. & Domestic Intl. Sales Corp - See IRM 4.4.7, Correspondence.
Form 4665, Report Transmittal - See IRM 4.4.7, Correspondence.
Form 4666, Summary of Employment Tax Examination - See IRM 4.4.7, Correspondence.
Form 4667, Examination Changes - Federal Unemployment Tax - See IRM 4.4.7, Correspondence.
Form 4668, Employment Tax Examination Changes Report - See IRM 4.4.7, Correspondence.
Form 5385, Excise Tax Examination Changes - See IRM 4.4.7, Correspondence.
Form 5391, Procedures/Systems Change Request - See IRM 184.108.40.206.1.
Form 5546, Examination Return Charge-Out - Generates at the same time a full record is created on AIMS as a result of a CC AM424 if the Return Requisition Indicator is blank or 1 and for all automatic openings such as Source Code 01 or DIF requests . The F5546 is generated at filing campus if the return is NOT ELF or MeF. For ELF and MeF the F5546 is generated at the opening campus. The form is used by Files to pull the return and also contains pertinent information used by the examining officer. The Form 5546 should be attached to the return when the case is closed. If a Form 5546 is received for a return that has already closed out of Examination, it should be destroyed.
Form 5715, System Production Evaluation Report - See IRM 220.127.116.11.1.
Form 6759, Request for Taxpayer Data - used to request the deletion, also known as zapping, of an AIMS data base. A deletion of the AIMS base must be approved by the Headquarter's AIMS analyst and is only approved if there is a systemic problem that prevents the case from aging off of the AIMS data base. See IRM 4.4.20, Missing Returns and Error Accounts.
Form 8453, U. S. Individual Income Tax Transmittal for an IRS e-file Return - See IRM 3.42, Electronic Tax Administration.
Form 8758, Excess Collections File Addition - See IRM 3.17.220 for instructions.
Form 9440, Taxpayer Levy Source - Examiner must complete Form 9440, Taxpayer Levy Source and Contact Information, when full payment of the tax, penalties and interest is not received from the taxpayer upon completion of an examination (IRM 4.20.3). Form 9440 is required in all unpaid cases (agreed and unagreed) regardless of the taxpayer’s income level unless an installment agreement is secured. The Form 9440 should contain the financial institution and employment information of the most current period under examination. Place the form on top of the Form 5344 and check the ‘Form 9440’ box on Form 3198 to notify CCP to input the information on master file.
Form 10904, Request for Record Deletion from AIMS - See IRM 4.4.21, Non-Examined Closings/Deleting AIMS Records.
Form Code (FORM-CD) - See Return Form Number
Form Number - See Exhibit 4.4.1-13.Form Number, Master File and Non-Master File Tax Codes Valid on AIMS Exhibit for a list of forms that are valid on AIMS and their respective MFT or NMF codes.
Fraud Condition Code (FRAUD-COND-CD) - An indicator input from Item 38, Form 5344 used to identify cases in which the fraud penalty was asserted. The presence of this indicator will cause examination statistics to be reflected under the fraud portion of the Examination tables. See IRM 4.4.12, Examined Closings. (P2-L11)
Freeze Codes - See AIMS Freeze Code and/or Master File Freeze Codes.
Fully Established AIMS Account (FO Records) - Once an AM424 posts to Master File and is matched, Master File sends an opening record back to AIMS which is when the account becomes fully established. AIMS then sends a TC 420 back to Master File. Non-Master File accounts, are fully established as soon as the AIMS request is successfully input.
FUTA State Code - "T " = tax followed by 2 digit state code; or "W" = wages followed by 2 digit state code. See Exhibit 4.4.1-21.
Grade of Case (GR-CASE) - A four digit field input from Item 32, Form 5344 used to reflect the grade level of difficulty of an examination. If a "+" is displayed on line 11 of the AMDISA after the grade of case, it signifies that an "R" , the related return indicator, was input. See Document 6036 or IRM 1.4.40 for the list of valid codes. (P2-L11/A-CIS)
Gross Estate Amount - Addition of this field to AIMS and A-CIS is scheduled for January 1, 2010. This is the gross estate amount from the Form 706. If available at the time of implementation, this information will be populated for returns filed prior to implementation. (P2-L13/A-CIS)
IMF Issue Code - All individual returns closed as a no-change, require entry of an IMF issue code to allow AIMS to record the issues considered during the examination and no-changed. The information is sent to Master File and also captured by EOAD. You can review this information using CC IMFOLZ/BMFOLZ. If a subsequent return is open on AIMS, the F5546 will display the IMF Issue Codes. This will allow classifiers to consider the issues that were no-changed in the prior examination when determining whether the return currently under consideration should be selected for examination. This process reduces unnecessary taxpayer contacts and prevents repetitive examination of the same issue. See IRM 4.4.12 for more information and IRM 4.10.16-2. You can find the most current list of IMF Issue Codes at the AIMS website: http://sbse.web.irs.gov/AIMS/default.htm http://sbse.web.irs.gov/AIMS/default.htm .
IRS Employee Code - AIMS - This indicator is automatically set to an "E" when a case is opened on AIMS if the Master File IRS Employee Indicator is set. An indicator of an "E" will prevent the case from closing. The indicator is changed to a "C" by CCP (or TS if an unagreed case) when they determine that all the necessary information has been sent to the IRS Employee Audit Coordinator and the case is ready to be closed. If the indicator was set incorrectly, the indicator can be removed by inputting an "R" . (P1-L18/A-CIS)
IRS Employee - Master File (MF/IRS EMP) - If the primary taxpayer is the employee the indicator of a 1 will be set and "MF/IRS EMP-PRIMRY SSN" will be displayed on AMDISA. If the secondary taxpayer is the employee the indicator of a 2 will be set and "MF/IRS EMP-SECOND SSN" will be displayed on AMDISA. If both taxpayers are employees, the indicator of a 3 will be set and "MF/IRS EMP-BOTH TPS" will be displayed on AMDISA. (P1-L18/A-CIS)
Individual Master File (IMF) - The file containing information about taxpayers individual returns and related documents.
Informant Claim Indicator (ICE-IND) - The ICE Indicator or a "1" is placed on a case using AM424, AMNON or AMSTU and prevents the closure of the case (Status Code 8X or 90) before the ICE Coordinator has the necessary information from the case file. The ICE Indicator should only be set and removed by the Informant's Claim Coordinator located at Ogden campus. . Effective 1/1/2009 "2" is being added as new value. When a case is ready to be closed (Status Code 90) the ICE Coordinator will update the indicator to a "2" which means "ready for closing" . A value of "1" should remain on the case when Exam is closing a case to Appeals. The indicator is not on ERCS but is on A-CIS. The ICE Coordinator's name and number are listed on the AIMS website contact listing under the Ogden campus tab which can be found at: http://sbse.web.irs.gov/AIMS/docs/ContactList.xls . (P1-L18/A-CIS/SSIVL)
Injured Spouse Cases - Injured spouse claims, if filed with the campus, are worked in the Adjustments area even if a TC 420 is present. Adjustments will secure a copy of the return from Examination or contact the taxpayer for a copy if not readily available in Exam. See IRM 21.4.6, Refund Offset.
Innocent Spouse Cases - All procedures for innocent spouse case can be found in IRM 25.15, Relief from Joint and Several Liability.
Inspected Return (INSP-RETURN: ACCEPTED) - Present if a TC 971 Action Code 072 is input indicating that the return was inspected as part of a package audit and accepted as filed. If the return is already open on AIMS, an AIMS Weekly Update Report, Condition Code 14 or 17 will be generated when the TC 971 AC 072 posts to Master File. If the return is opened on AIMS after the TC 971 posts, the literal "INSP-RET-ACCEPTED" will appear on the Form 5546 and AMDISA. (L12-E55/P1-L21)
Installment Agreement Codes - A one digit code required on all examined cases to identify whether an installment agreement was received. For more information see IRM 4.10.7 and IRM 4.20.4. (P3-L18/A-CIS)
Installment Agreement Codes Definition N = no installment agreement TP did not request an installment agreement I = installment agreement secured by Examination TP requested an installment agreement and Exam input the IA. C = installment agreement coordinated with Collection TP requested an installment agreement; Exam forwards to Collection.
Integrated Data Retrieval System (IDRS) - A transaction oriented computer system at each campus that provides a history of activity in accounts.
Interest - See IRM 20.2 for procedures on interest.
Internal Revenue Services Employee Code - See IRS Employee Code.
International Examiner Time (INTERNATL-EXAM-TIME) - Entered in Item 402 on Form 5344 as a percentage of the total examination time entered in Item 28 that is attributable to the international examiner. (P3-L12/A-CIS)
International Examiner Results (INTERNATL-EXAM-RESULTS) - Entered in Item 403 on Form 5344 as a percentage of the total examination results that are attributable to the international examiner. (P3-L7/A-CIS)
Invalid Segment - An "*" after an SSN identifies an account that resides on the invalid segment of the Master File. The invalid segment contains accounts in which the SSN and name combinations do not match the Social Security Administration (SSA) records. Even though you may send a TC424 to Master File with an *, if the SSN is valid on the DM1 tape, Master File will send the TC 424 to the valid segment.
Inventory Validation List (IVL) - The IVL (which is extracted using the SSIVL program) is a list of accounts currently on the AIMS data base. The purpose of inventory validation is to maintain the integrity and accuracy of AIMS inventory. Procedures on conducting an inventory validation are contained in IRM 4.4.16, Inventory Control.
Jeopardy Assessments - Jeopardy assessments are made in situations where prior to the assessment of a deficiency, it is determined that collection of such deficiency would be endangered if regular assessment and collection procedures are followed. See IRM 4.4.17 for procedures.
Joint Investigation Code (JT-INVSTGTN-CD) - This code is set when a Return Condition Indicator of a "1" is entered when the case is established on AIMS as an NMF account using CC AMNON. (P1-L5/SSIVL)
Julian Date - The numeric day of the year that the return or document was numbered for processing. On the AMDISA it reflects the current date. (For example: January 16 =016) . The sixth, seventh, and eighth digits of the DLN represent the Julian Date. If the Julian date is displayed as a four digit field, the first digit indicates the last digit of the tax year. (Example: June 08, 2008 = 8160) (P-ALL-L2)
Labels - The labels are used on the AIMS forms to requisition, update, close and correct accounts. The file labels are used to identify returns in various files and for group control cards. The address labels are used in correspondence with the taxpayer. The address labels do not contain the TIN to prevent unauthorized disclosure if used on an envelope. Status labels are used when requesting updates.
Cases that are opened on AIMS using programs such as DIF, automatically generate 18 labels (3 Name and Address Labels, 3 Files Labels, 9 Status Change Labels, 2 EGC Address Labels and 1 DLN Label).
Cases that are opened using CC AM424, will generate 18 labels (3 Name and Address Labels, 3 Files Labels, 9 Status Change Labels, 2 EGC Address Labels and 1 DLN Label) if the return request indicator on the AIMS request is blank or 1.
Additional labels can be requested using Form 5348, Examination Update to input CC AMLAB. See reverse side of form for instructions. AMLAB will generate 9 address and 9 status or 18 of one type depending on the request. Labels should remain in case file until final closing.
Large Case Condition Code (LARGE-CASE-COND-CD) - Obsoleted 1/1/2006. Replaced with CIC Indicator - See CIC Indicator.
Last Amount Put in Cumulative Assessment (LAST-AMT-PUT-IN-CUM) - The net amount of the last tax, and credits entered in Item 12 and/or Item 15 on the For 5344. When CC AMCLSU-LE is input, this amount is subtracted from the Exam Cum Assmnt Amt field. (P3-L3).
LIN Link (LIN-LNK) - LMSB Imaged returns. (P1-L6/A-CIS/SSIVL)
Manual Assessment Amount (MAN-ASSMMT-AMT) - This field represents the amount entered in Item 35, Form 5344. This amount must be the total of all manual assessments that Examination requested for the current audit. The amount entered should be the net of tax, adjusted by prepayment credits that are entered on Form 2859. DO NOT include TC 290's, interest, or penalties when calculating the manual assessment amount. This field can be corrected using CC AMAXU. (P3-L5/A-CIS)
Manual Refund - See IRM 4.4.19
Master File (MF) - A computer record containing information about taxpayers filing of returns and related documents for both individual tax returns (IMF) and business tax returns (BMF) . The Master File contains information on the current year plus all years that have had activity within the two previous years. In addition, the master file maintains retention register files on taxpayers for two additional years. (Note: older tax return date (with less information than current year cases) is maintained on microfilm for an indefinite period of time)
Master File IRS Employee (MF/IRS EMP) - See IRS Employee - Master File.
Master File Freeze Codes - Instructions about Master File freeze codes can be found in Doc. 6209, IRS Processing Codes and Information.
Master File Tax Code (MFT) - The MFT code reduces the numerous tax form numbers to two digits. See Exhibit 4.4.1-13.Form Number, Master File and Non-Master File Tax Codes Valid on AIMS Exhibit for a list of MFT codes that are valid on AIMS. (L2-E2/ALL-L1/A-CIS/SSIVL)
Master File Transaction Code (MF-TC) - A field on AIMS which is updated when certain Master File Transaction Codes that may impact the examination post to the Master File. Certain transaction codes require special actions before the closing can be input. An AIMS Weekly Update Report is also generated when these transaction codes post or are released. (P1-L7/SSIVL)
TC 29X Indicates that a TC 29X has posted to Master File. If a TC 764 is input, the closure will be blocked unless a Priority Code of 1 or 8 is used. See TC 29X Indicator. TC 34X Indicates that a TC 34X has posted. Interest and/or penalty accruals cannot be computer generated therefore must be manually computed. The following transactions on Master File cause this condition; TC 150 - Z coded, TC 34X, TC 500, TC 534, TC 780 or any TC with Document Code 52. TC 47X Indicates that a TC 47X has posted TC 48X Indicates that a TC 48X has posted TC 64X Indicates that a TC 64X has posted - cannot survey a case with a TC640 posted. TC 67X Indicates that a TC 67X has posted TC 78X Master File will set the TC 34X-780-CD to a 2 or 3 on openings and updates if there is an unreversed TC 780 posted at Master File. AMCLS will be blocked if the disposal code equals 03, 04, 08, 09, 10, 12 (if AOC #16 is not present), 13 and 34 if the TC 34X-780-CD is 2 or 3 (indicating there is a TC 780 present on the MF module). This will prevent unpostable codes 187 RC 0 for IMF and 335 RC 1 for BMF. New error message "TC-34X-780-CD = X TC 780 PRESENT AT MF: CLOSURE BLOCKED TO PREVENT UPC 1870/3351" ("X" = 2 or 3). The values will be set as follows (Values 2 and 3 are new). 0 = No TC 34X or TC 780 on MF
1 = TC 34X is on MF, no TC 780
2 = TC 780 is on MF, no TC 34X
3 = both TC 34X & 780 on MF
If a 1 AMDIS will display 34X
If a 2 AMDIS will display 780
If a 3 AMDIS will display 34X 780
TC 910/914 Indicates that a TC 910 has posted to the specific tax module or that a TC 914 has posted to any module. Examination must contact Criminal Investigation before proceeding with the examination. Appears as "INTEL" on F5546, L25-E40. TC 916/918 Indicates that a TC 916 has posted to any module or that a TC 918 has posted to the specific tax module. Examination must contact Criminal Investigation before proceeding with the examination. TC 94X Indicates that a TC 94X has posted. TC 97X Indicates that a TC 97X has posted to MF and/or a TC 971 AC 72 has posted to MF (see glossary for Inspected Return)
0 = TC 97X
1 = TC 976/977 present
2 = TC 971 AC 72 present
3 = TC 976/977 and TC 971 AC 72 present
MCC Processing Cycle - The cycle when the Martinsburg Computing Center posts returns processed by campuses, selects returns, and creates tapes to print examination assemblies and reports. The cycle is expressed by a six digit code; the first four digits represent the processing year and the last two digits represent the processing week in that year.
Missing Returns - See IRM 4.4.20, Missing Returns and Error Account.
Multiple Return (Tax period) Examinations - In multiple return examinations, the majority of the workpapers are filed with the latest deficiency tax period. To identify the location of the workpapers, TC 971, Action Code 057 was activated. This action code must be input if the work papers are not filed behind the refile DLN of the case being closed. This TC 971 will not create an A freeze at Master File. This will also cause the return to appear on the CSED listing which prevents the returns from being destroyed prematurely.
Example 1: Tax periods 200512, 200612 and 200712 were examined. 200512 and 200612 resulted in deficiencies, 200712 was no changed. Of course copies of the RAR and 90-Day letter are filed with each tax period but the workpapers are filed with the 200612 return (the latest deficiency tax period). Immediately after the 200512 and 200712 cases are closed, status code 90, a TC 971, AC 57 must be input with the SSN, tax period 200612 and MFT 30. This will alert anyone trying to locate the workpapers for these years, that they are filed with the 200612 tax period.
Example 2: A Form 1065 and a related Form 1040 for 200712 is examined resulting in a deficiency for the Form 1040. All the workpapers are filed with the Form 1040. Immediately after the 1065 is closed, status code 90, a TC 971, AC 57 must be input with the SSN, tax period 200712, and MFT 30. This will alert anyone trying to locate the workpapers for the Form 1065 examination, that they are filed with the 200712 Form 1040.
NAICS Code - The North American Industry Classification Code. For MFT's 02, 06 and 30 NAICS codes are valid for tax periods 199812 and subsequent. For other MFT codes, they are valid for all tax periods. See the NAICS look up chart posted in the documents section at: http://sbse.web.irs.gov/AIMS/default.htm#AIMSdocs . Valid for MFT's 01, 02, 04, 06, 10, 11, 14, 16, or 30. Input in Item 19 on the Form 5344 or Form 5349. If the NAICS code is updated, it will appear on IMFOLA/BMFOLA after the literal "REF#: 410" and on TXMODA after the literal "REF-CHG-DTA>" (L24-P74/P2-L8/A-CIS/SSIVL)
Name Control (NM-CTRL) - For individuals, it is the first four letters of the taxpayers last name. For businesses, it is the first four letters of the business name. The name control is used to check master file to ensure that the TIN corresponds with the proper taxpayer. The name control appears on the labels and charge-out. For information on IMF Name Controls see Document 7071. For information on BMF Name Controls see Document 7071-A. (L2-E6/ALL-L1/A-CIS)
Name Line Year (NM-LN-YR) - The year that the name line at Master File entity was updated. A module cannot be established on AIMS unless the name line year at Master File is equal to or prior to the tax period being established. (L5-E17/P1-L19)
Net Rate Amount - The amount of overpayment or underpayment that the net rate applies. Item 52 on the Form 5344. See IRM 4.4.12, Examined Closings.
Net Rate MFT/Tax Period - The MFT and tax period for the return for the net rate adjustment. Item 51 on the Form 5344. See IRM 4.4.12, Examined Closings.
No-Change Issue Codes - This field has been renamed IMF Issue Codes. See IMF Issue Code.
NOL Carryforward Disallowed Amount (NOL-CF-DISL) - Form 5344, Item 44. See IRM 4.4.12, Examined Closings. (P2-L20/A-CIS)
NOL Indicator (NOL-IND) - Form 5344, Item 45. See IRM 4.4.12, Examined Closings. (P3-L20/A-CIS)
Non-Assessed Closures Listing (NACL) - Generated weekly and lists cases that are in Status Code 90 on AIMS with a TC 300 Indicator set to a 5. See IRM 4.4.27 for more information.
Non-Examined - Accepting a tax return as filed during the initial screening or classification. CC AMSOC is used to close the return off the AIMS system. See IRM 4.4.21, Non-Examined Closings.
Non-Filer - Certain source codes and project codes identify a record as a non-filer. A-CIS is used to track various non-filer initiatives. As project codes are added or removed from the non-filer program monthly, the non-filer project codes are no longer listed in this IRM.
Non-Master File (NMF) - Non-Master File is a manual accounting system controlling certain types of returns that are not processed through the computer system to Master File. Research can be conducted on NMF account using ANMF. Recordation of adjustments, billing of assessments and refunds of overassessments are performed manually by the campus. A non-master file account established on AIMS is not subject to many of the same computer checks of a master file account. A non-master file account can be established on AIMS with incorrect information because the account information is not compared to a computer file, such as is with Master File, or the manual ledger account cards at the campus. When establishing a non-master file AIMS record, you should ensure the taxpayer and tax account information is correct. Form 5354, Examination Request Non-Master file is used to establish NMF AIMS control on AIMS. The command code is AMNON. (ALL-L1) See Exhibit 4.4.1-13, Form Number, Master File and Non-Master File Tax Codes Valid on AIMS
Non-Petitioning Spouse - See IRM 4.8.9, Statutory Notices of Deficiency Issued by Area Offices.
Non-Taxable Return - Activity Codes 224, 287-290, 480-483, 489, 497, 498 and 992 (Forms 1041, 1065 and 1120S) are categorized as non-taxable returns. AIMS will not allow an assessment to be input on a non-taxable return. If an assessment is required, you must change the activity code to a taxable Form 1041, 1065 or 1120S activity code. See Exhibit 4.4.1-13, Form Number, Master File and Non-Master File Tax Codes Valid on AIMS..
Offers in Compromise (OIC) - Examination has responsibility over all OIC Doubt as to Liability cases. They are to be controlled on AIMS/ERCS using Source Code 73 (do not update to Source Code 73 if case is already controlled on ERCS/AIMS with another Source Code) and Project Code 0264. For more information see IRM 4.18.2
A TC 480 indicates that there is an offer-in-compromise pending. An examiner must review the AMDISA or Master File to determine whether an OIC has been filed. (P1-L7)
A TC 780 indicates that there is an accepted offer-in-compromise. AIMS will block the input of an assessment if there is a TC 780 posted to Master File. (P1-L7)
Opening Creation Date (OPNG-CRTN-DT) - For skeletal records, it represents the date the AM424 was input. When a skeletal record becomes a full record, the date is reset to the date that AIMS received the opening record. For records that opened as full records (DIF, Automatics, etc.) its the date the full record was opened on AIMS. (P1-L3/A-CIS/SSIVL)
Opening Source Code (AIMS-OPENING-SOURCE-CD) - Represents the source code used when the AIMS base was created. This code was effective 1/1/2007. Cases created prior to 1/1/2007 had the source code on the base as of 12/31/2006 moved to the Opening Source Code field. (P2-L3/A-CIS/SSIVL)
Operation Joint Endeavor - See Exhibit 4.4.1-9,Combat Zone Procedures.
Operation Joint Endeavor - See Exhibit 4.4.1-9,Combat Zone Procedures.
PDT -See Potentially Dangerous Taxpayer.
Partnership Control System (PCS) - A real-time system used to link and control flow-through returns and their investors. It interfaces with AIMS and Master File. PCS is used to control returns subject to TEFRA examination procedures; controls TEFRA statutes; generates required statutory correspondence for TEFRA investors as well as other notices and letters pertinent to the program.
Partnership Investor Control File Code (PICF-CD) - Codes used on the PCS system to identify the type of PCS controls on a case. Contact the local TEFRA Coordinator for more information on releasing PICF codes. They can be found at http://tefra.web.irs.gov/m7/7a_coordinator.asp http://tefra.web.irs.gov/m7/7a_coordinator.asp (L4-E16/P1-L14/A-CIS/SSIVL)
0 = PICF record for this account 1 = Linked TEFRA key case partnership 2 = Linked non-TEFRA key case partnership 3 = Electing Large partnership key case 5 = investor with at least one open TEFRA key case linkage 6 = investor with at least one open non-TEFRA key case linkage 7 = investor with no open linkages below it (pass-thru) and at least one closed TEFRA key case linkage 8 = investor with at least one closed non-TEFRA key case linkage but no closed TEFRA key case linkage nor open linkage 9 = to correct erroneously assigned PICF codes to key cases and investors
Payment Codes - A one digit code required to be entered in Item 411 of the Form 5344 for all examined closures (except EGC 58XX) . Its used to monitor the number of cases in which examination has secured a payment and whether the payment resulted in the account being full paid, full paid due to an offset, or part paid. See IRM 4.4.12, Examined Closures (P3-L18/A-CIS)
F = full paid Amount shown on RAR paid in full; may be unpaid accruals. A frozen refund, withholding, or payments, which satisfies the balance due in full. P = part paid Includes frozen refund, withholding, payments or an offset from another tax period, which does not completely satisfy the balance due. Also used where there will be an offset from other tax periods that will not completely satisfy the liability. N = no payment Changed cases where there was no frozen refund, payment or offset from another tax period to satisfy the balance due. Also, used for No Change, Overassessment and Appeals cases if no payment is received. O = total offset Offsets from other tax periods that will satisfy the balance due in full.
Payor Master File Indicator (PMF) - The PMF Indicator on the Form 5546 is used to assist in required minimum filing checks (IRM 18.104.22.168) for Examination to ensure the timely and correct filing of information returns. Examiners are required to ascertain that all information returns required to be filed by the taxpayer are filed from the period of the return under examination to the most current period. If there is a PMF Indicator, the examiner is required to pull PMFOL and determine if any penalties are warranted. (L17-E53)
PCS 1 Year Assessment Date - Passed from PCS to AIMS. (P2-L8/A-CIS/SSIVL)
PCS 1 Year Assessment Indicator - Indicator set by PCS. If value = 1, an assessment date of 11111111 will be displayed in the PCS 1 Year Assessment Date on the AMDISA. (A-CIS/SSIVL)
Penalties - See 20.1, Penalty Handbook
Penalty Reason Code - A two digit number ranging from 21-46 and a required entry if penalties are being abated. The item is included on the TC 3XX transaction record being sent to Master File; it is not retained on the AIMS data base. See IRM 20.1, Penalty Handbook and IRM 4.4.12, Examined Closings, Surveyed Claims, and Partial Assessments.
Post of Duty (POD) - A code assigned to each return determined by the taxpayers ZIP code used to assign returns to the appropriate area for examination. See POD/ZIP code tool on the AIMS web site: http://sbse.web.irs.gov/AIMS/default.htm#AIMSdocs . This code can be changed on open cases by single or batch input using Form 5348, Examination Update (CC AMSTU). If the case is closed, a single input correction can be requested using Form 5349, Examination Correction Request (CC AMAXU). (L21-E64/P1-L10/A-CIS/SSIVL)
Posting Delay Code - Item 43 on Form 5344. Used when multiple adjustments are required on an account and some must post in later cycles than others. Will allow systemic cycling for the number of weeks entered (16 are valid). See IRM 4.4.12.
Potentially Dangerous Taxpayer (PDT) - An indicator to alert employees to take caution when dealing with the taxpayer. There are 2 settings: CAU means caution (See CAU). PDT means the taxpayer has been designated as potentially dangerous. Each area office should designate a colored folder to use for PDT cases to alert employees so necessary precautions can be taken. (L3-E12/ALL-L1)
Power of Attorney (POA) - A taxpayer may designate a representative to handle their tax matters. If there is a power of attorney present the CAF indicator will be displayed on an AMDISA. (P1-L17)
Prepayment Credit - A credit that is not reflected at Master File until the return is filed. For example, withholding and earned income credit is not reflected at Master File until the taxpayer files the return.
Primary Business Code (PBC) - A three digit field that identifies the Area/Industry Office. See "AIMS Assignee Code" . (L14-E21/P1-L10/SSIVL)
Principal Business Activity Code (PBA) - See Principle Industry Code
Principal Industry Code (PIA) - A three digit code designed to classify enterprises by the type of activity in which they are engaged to facilitate the administration of the Internal Revenue Code. This code is entered by the taxpayer on Form 1040, Schedule C and F; Form 1065; or Form 1120/1120S at the time of original filing. This field can be corrected on AIMS using CC AMAXU. Replaced with a 6 digit NAICS (North American Industry Classification System) Code for tax periods 199812 and subsequent. (L24-E74/P2-L6/A-CIS)
Prior Appeals Office Code (PRIOR-AOC) - When an Appeals Office Code is updated, the current Appeals Office Code is moved to the Prior Appeals Office Code field (P1-L12/SSIVL)
Prior Examination Results - If the Master File history section (can be viewed using CC IMFOLZ/BMFOLZ) has a record of a prior examination action, a record of the two most recent tax periods will appear on the Form 5546. Items displayed are the tax period, disposal code, and the amount of examination results. A minus sign indicates an overassessment. If there is no record at Master File of a prior examination, the message, "NO PRIOR EXAMINATION," will appear. If there are more than two tax periods, the message "INPUT CC IMFOLT/IMFOLZ FOR PRIOR AUDIT INFORMATION " will appear. Master Filed holds a maximum of five tax periods. (L18-E55 and L19-E57)
Prior Employee Group Code/Date (PRIOR-EGC/DT) - When an EGC is updated, the EGC and Date in the current EGC field is moved to the Prior EGC field. (P1-L11/A-CIS/SSIVL)
Prior Primary Business Code - When a case is transferred from one PBC to another, the PBC in the current PBC field is moved to the Prior Primary Business Code field. (P1-L10/A-CIS/SSIVL)
Prior Secondary Business Code (PRIOR-SBC) - When an SBC is updated, the SBC in the current SBC field is moved to the Prior SBC field (P1-L11/A-CIS/SSIVL)
Prior Status Code/Date (PRIOR-STATUS-CD/DATE) - When a Status Code is updated, the status code and date in the current status code field is moved to the Prior Status Code field. (P1-L13/A-CIS/SSIVL)
Prior Update Code (PR-UPDT-CD) - Prior program or command code that modified the record. See Update Code for the list of valid codes. (P1-L16)
Priority Codes - Codes 1, 2 (effective 1/1/2009) 3, 4, 5, 6, 7, 8 and 9 are valid for AIMS. The AIMS priority codes are not the same as Doc Code 54 priority codes. See Document 6209 for a list of Doc Code 54 priority codes. Priority Codes are used to bypass an unpostable check and should be used carefully. See IRM 4.4.12, Examined Closings, for more information on Doc Code 47 Priority Codes.
Purpose 1 Bypass TC 97X Freeze (UPC 160 4)
Bypass TC 29X/30X for debit amount that contain priority code 1 if the record contains reference numbers 003, 004, 007, 073, 903, 904, 907, 973, 993-998 providing no other reference numbers (outside this range) are included on the adjustment. (UPC 150 3)
2 No longer valid for Exam 3 Bypass amended return freeze (UPC 160 4)
Effective 1/1/2009 - Use if PC 1 and 9 are both required.
MFT 30 and 31 - causes MF to compute the credit interest from the normal start date to the 23C date minus 58 days.
4 Bypass amended return freeze for a partial assessment (UPC 160 4) 5 Causes assessment of FTP penalty & interest accruals. Required on ALL DC 01 or 02 closures except for non-taxable returns. 6 Sets 2/10 year setting of the EIC Recertification Indicator 7 Sets 2/10 year setting of the EIC Recertification Indicator and bypasses amended return freeze
Bypass amended return freeze (UPC 160 4)
8 Bypasses UPC 158 RC 0 - CREF 806/807 with no TC 17X check and UPC 158 RC 1.
TC 30X with a PC 8 releases the TDI Refund Freeze
IMF: Causes MF to compute the FTP back to RDD for TC 30X.
Entering a TC 270 will prevent MF from computing back to RDD even though PC 9 is input.
Bypasses UPC 150 RC 2
Bypasses UPC 168 RC 23
Bypasses UPC 189 RC 0
BMF: Do not use PC 9 - BMF automatically generates FTP from RDD.
Processing Campus Code (PCC) - A three digit number used by EGC's 1XXX and 2XXX to identify the Centralized Case Processing site that has control of a case in Status Code 51-59. This code must be present when a case is updated to Status Code 51 if the prior status code is not 5X. This code will remain on the data base when a case is closed but will be deleted if a case is updated to a status code less than 51. If the status code is 51-59, some AIMS reports/tables will be created based on the PCC rather than the area office. The PCC can be updated from one PCC to another PCC after the initial setting of the PCC. (P1-L23/A-CIS/SSIVL)
When a case is updated on ERCS to a Status Code 51, ERCS will automatically update the PCC to: If the PBC= 17 212-214 or 315 29 301-306 49 201-207
Project Code - A 4 digit number indicating that a case belongs to a special program which allows monitoring of the program by project code. AIMS reports can be generated for a given project to measure the total number of returns, examination time, results, etc. If a project code is input that has not been validated, the AIMS base will reflect the new project code but the project code will be zeroed out on Tables 36 & 37 and A-CIS. For SB/SE & W&I, local definition project codes will be zeroed out when transferring from one area to another. For LMSB cases, the project codes will be zeroed out when transferring from 3XX to a non-3XX PBC. Effective 1/2/2009 - the project code cannot be corrected on a record with a status code greater than 79 if the case was closed in a prior fiscal year and the date of the correction is after the end of the extended fiscal year. Project Codes 101-104, 106, 107, 109, 110, 113, 114, 116, 118-121, 122, 205, 209, 210, 225 and 401 are not valid for tax periods after 199012. For a complete list of validated project codes see: http://sbse.web.irs.gov/AIMS/docs/ProjectCodes.xls .(L22-E66/P1-L14/A-CIS/SSIVL)
Push Code - A 3 digit code (010, 019, 020, 021, 023-041, 049, and 121/BMF) used to establish AIMS controls for unfiled returns, substitute for returns and delinquent returns secured by examination. If a push code is not used on a requisition for an unfiled return, the requisition will reject. By using a push code, the computer will not reject the account. The TC 424 will remain at Master File and the skeletal record will remain on AIMS until either a TC 150 posts or 26 months (90 days for Push Code 010) unless deleted or replaced by a full record. Skeletal records with push codes can be deleted on the day of input or after 15 days from date of input except Push Code 036 - it can be deleted on the day of input or after 30 days from date of input. If EGC = 1000 or 2000 the only valid push codes are 024-040. (L22-E65/P1-L14/A-CIS/SSIVL) See Exhibit 4.4.1-14.
Record Type Code - A two digit code used to indicate the type of AIMS record.
F0 = Full Account F1 = TC 424 Skeletal Record F2 = Residual Transfer Record (Obsoleted Jan. 2004) F4 = TIN Change Record F5 = Large Case Related Record (Obsoleted) F6 = Record Retention Agreement Record (Obsoleted Jan. 2004)
Record Retention Agreement Record (F6 Record) - Obsolete as of JAN. 2004. Established on AIMS using CC AM424R and deleted using CC AM424E.
Reference Returns - When a return is needed for reference or information purposes and an print is not sufficient, it will be requisitioned using Source Code 45. See Exhibit 4.4.1-15 for Reference Return Procedures.
Refund Statute Expiration Date (RSED) - See IRM 25.6.23, Examination Process - Assessment Statute of Limitations Controls.
Refile DLN - A refile DLN is assigned to a case after examination (TC 30X) or adjustment (TC 29X) action. This number can be researched by requesting a transcript of the account. An "X" after the DLN indicates the original return is filed behind the refile DLN. Cases closing with an electronic print (Blocking Series 3XX), will receive a refile DLN but it will not have an "X" after it. See Exhibit 4.4.1-7.
Refund to Related Taxpayers - See IRM 4.4.3, Adjustments-Miscellaneous.
Related Return Section - Information collected on all returns (excluding EGC 58XX) to analyze the productivity of examinations of related returns. See IRM 4.4.12, Examined Closing. (P3-L16,17/A-CIS)
Reopening Indicator (REOPENING-IND) - Present if CC AMSTUB or AMSTUR is input. (P2-L7/A-CIS/SSIVL)
Indicator Definition 0 Account never reopened 1 Account reopened using AMSTUR 2 Case backed down from Appeals using AMSTUB 3 Case has been reopened & backed down
Report Extraction Code/Indicator (RPT-EX-CD) - Used to identify how the case is to be extracted for AIMS reports. When CC AMAXU/AMCLSU is input, the reports extraction code is set so that the corrected record is re-extracted for AIMS reports. This field is called the Report Extraction Indicator in the AIMS programs. (P3-L9)
Code Explanation 0 Extract record/original closure or reclosure (Status Code greater than 79) 1 Record previously extracted for Exam reports 2 A correction (CC AMAXUE/AMCLSU) has been made to a record already extracted for Exam. Record will be re-extracted during next extraction cycle but the initial extraction cycle will not change. 3 Delete record if closed in same fiscal year or establish a history record for netting purposes/record backed down (CC AMSTUB/R) to an Exam inventory status 4 Record previously extracted for Appeals reports 5 A correction (CC AMAXUA/AMCLSU) has been made to a record previously extracted for Appeals 6 A correction (CC AMAXUE/AMCLSU) has been made to a record previously extracted for Examination and Appeals
Report Extraction Cycle (RPT-EX-CYC) - Month/Year of closing (original or reclosure). Does not get updated when a CC AMAXU/AMCLSU is input. Data bases are aged based on the report extraction cycle. (P3-L9)
Report File Source Code - The AIMS reports programs convert the File Source Code and generates a Report File Source Code. This is the File Source Code that appears on A-CIS.
Report File Source Code TIN Format 0 nnn-nn-nnnn 1 nnn-nn-nnnn* 2 nn-nnnnnnn 4 nnn-nn-nnnV 5 nn-nnnnnnnN 6 nnn-nn-nnnnN 7 nnnnnnnnn-D
Reprocessing Returns - Generally reprocessing is necessary because a return was processed to the wrong tax period or to the wrong TIN. See IRM 4.4.3.
Residual Transfer Records (F2 Record) - Due to the centralization of the AIMS data base in January 2004, there are no longer residual transfer records. Transfers take place immediately and a residual record is not created.
Retention Register - Accounts are removed from Master File due to inactivity. The Master File has a limited capacity, thus, accounts that are unlikely to be needed again are removed to a less accessible file. The basic criteria for removal of a module to the Retention Register are: (1) the assessed module balance is zero and the last transaction (including the return) has been posted 51 or more months; (2) the assessed module balance is credit and the last transaction (including the return) has been posted 60 or more months. Transactions cannot post to the Retention Register therefore, if the account is to be put on AIMS, the module must be brought back to Master File. When an account with an ELF return is put on retention, you can no longer retrieve a TRPRT of the return. Cases that were recently moved to retention can be brought back using CC IMFOLB/BMFOLB. Check IMFOLI/BMFOLI to see if CC IMFOLB/BMFOLB (earliest tax period is 199812) can be used to bring account back to active Master File status. Effective 1/2/2008, if the account is on the recoverable retention register, AIMS will block the establishment of the case until the account is brought back from retention.
If the MFT and Tax Period is then, the account displayed on the IMFOLI/BMFOLI with no R to the left of the MFT is active and you can requisition the return displayed on the IMFOLI/BMFOLI and there is an R to the left of the MFT is not active and CC IMFOLB/BMFOLB must be input to bring the account back to active status - once back to active you can requisition the return displayed on the IMFOLV/BMFOLV and it was moved to retention after 200112 is not active and CC IMFOLB/BMVOLB must be input to bring the account back to active status - once back to active you can requisition the return displayed on the IMFOLV/BMFOLV and it was moved to retention before 2002 is not active and can only be brought back using the Retention Register Reinstatement Procedures. See Exhibit 4.4.1-16..
See Exhibit 4.4.1-16,Retention Register Reinstatement Procedures, for instructions on bringing accounts back from retention.
Retention Register Indicator (RETN-REG-IND) - Set when a TC 424 rejects due to UPC 197 or 347 which means the account is on retention. Unlike other TC 424 rejects, the data base will not be immediately deleted. When the case appears on the AIMS Weekly Update Report, steps must be taken to request that the account be brought back from retention. 56 days from the opening creation date another TC 424 will be automatically generated and every two weeks thereafter until the opening creation date is greater than 3 months from the current date. See Exhibit 4.4.1-16.Retention Register Reinstatement Procedures. If the account still has not been brought back from retention after 3 months, an AIMS Weekly Update Report record with condition code 24 will be generated and the record will be aged off of the AIMS data base. Effective 1/1/2008, a CC AM424 cannot be input if IMFOLI/BMFOLI indicates that the account is on recoverable retention. The account must be brought back from retention before the AM424 is input. (P1-L8/Exhibit 4.4.1-16)
Return Condition Code - (Also known as Computer Condition Code) These codes are assigned by tax examiners or are computer generated at the time a return is filed. Presence of these codes initiates action as explained in Document 6209, ADP and IDRS Information.
Return Form Number (RET-FORM) - See Exhibit 4.4.1-13. for a list of forms that are valid on AIMS and their respective MFT, NMF or activity code. (L2-E4/P2-L3/A-CIS/SSIVL)
Return Posting Year (RET-PSTNG-YR) - The year the original return posted to Master File. (P1-L16/A-CIS)
Return Requisition Indicator - Indicates whether the return, charge-out and labels were requested on the AIMS opening (CC AM424), a follow-up request (AMRET), DIF opening or automatic opening. If you requested the return during on the original requisition and have to input a follow-up using CC AMRET, you must wait 60 days from the AIMS Creation Date before you can input the AMRET. If you did not request the return on the original requisition you do not have to wait 60 days to input a CC AMRET follow-up request. (P2-L8)
If: Then input: return, F5546 and labels are needed blank no-return is needed but you want F5546 & labels 1 no-return, no-F5546 and no-labels are needed 3 the return is requested and the return is ELF or MeF, AIMS changes the Return Requisition Indicator from a blank to a 5. 5
Return Received Date (RET-RCVD-DT) - For timely filed returns it is the due date of the return. Example: Form 1040 due April 15 will be displayed as April 15 of the appropriate year even if the return was filed before the due date. For late filed returns it is the received date stamped on the return. For SFR cases (Push Code 036), it is the date of the TC 424 that contained the Push Code 036. (P1-L16/SSIVL)
Revenue Base Protection - If a taxpayer files a claim for refund, Examination gets credit on the Exam tables by entering the amount of the claim, the time spent on the claim and the type of claim. See the Revenue Base Protection section in IRM 4.4.12, Examined Closing. (P3-L14/P3-L3-L15)
SC-Transferred From - See Transfer Terminal Code. (P1-L10)
Schedule C/F Indicator (C-F-IND) - For records opened on AIMS after 12/31/2007, if there is a Schedule C or F filed with the original return, Master File will set this indicator on the AIMS opening record. Once this indicator is set at Master File it does not change. (P2-L5/A-CIS).
Schedule C/F Value Definition 0 no Schedule C/F filed 1 Schedule C but no F 2 Schedule F but no C 3 both and C dominant 4 both but F dominant
Schedule H, Household Employment Taxes - See IRM 4.4.10.
Secondary Business Code (SBC) - See "AIMS Assignee Code" (P1-L10/SSIVL).
Secondary SSN - See " Secondary Spousal SSN" .
Short Closing - Another term for the non-examined closing of a return via CC AMSOC. See IRM 4.4.21, Non-examined Closings.
Skeletal Accounts (F1 Records) - AIMS creates a skeletal record when a CC AM424 is input, showing the requisition and limited taxpayer information. Once the request goes to Master File and is matched, Master File sends an opening record to AIMS and the account becomes fully established. Once fully established, AIMS sends a TC 420 back to Master File. The EGC and activity code can be updated on a skeletal account using CC AMAXU. All elements, except the statute date, can be updated using CC AMSTU. A listing of accounts that remain as skeletal records in excess of a specific number of days is generated quarterly. Also refer to the Aging Chapter for information on how long a skeletal account remains on AIMS.
Social Security Number - The nine digit account number with a format, XMM-DD-YYYY, used to identify individual taxpayers. It is used on the Individual Master File.
Social Security Tax Rates (FICA and SE) - See Document 6209
Sort Codes - A two character field used to sort output of Forms 5546. (L16-E25a/ See Exhibit 4.4.1-17.)
Sort Keys - A three character field used to sort Forms 5546 and labels. (L16-25/ See Exhibit 4.4.1-18.)
Source Code - A two digit code used to indicate the source of the examination. Form 5348 or 5349 (CC AMAXU) can be used to request a change to a source code but - the source code should rarely be changed. See 4.4.34, Update/Correcting, Exhibit 4.4.1-19) and/or the Source Code Document posted to the AIMS/ERCS/SETTS website.(L15-E22/P1-L4/A-CIS/SSIVL).
Special Estimated Tax (SET) Payment Program - Section 6077(a) of the Technical and Miscellaneous Introduction Revenue Act of 1988 (TAMRA), added Code Section 847, Special Estimated Tax Payments, effective for tax years beginning after December 31, 1987. Section 847(2) requires certain insurance companies to make a special estimated tax payment in an amount equal to the tax benefit derived from the additional deduction permitted under Section 847. Section 847(3) requires the companies that are allowed the additional deduction to establish a special loss discount account.
Form 1120PC filers will claim the credit on a specific line as designated on the tax form. Other 1120 filers electing the provisions under this section may write on top of the form " Section 847" and show the amount of the credit. Estimated tax payments may also be received for this credit.
Procedures: MF is not programmed to accept the special estimated tax payments from these taxpayers and cannot handle the disposition of the payments over the required 15 year period, the NMF Accounting function maintains and monitors these payments through the NMF 4615 Account.
When such payments are received, the Form 3244 will be prepared reflecting "IRC 847 Payment-Apply to NMF 4615 Account." The payment posting voucher will be sent to the Accounting function by the operation that handles payment processing. If it is determined that an IRC 847 special estimated tax payment has posted to MF, transfer the payment to the NMF 4615 Account via Form 3809.
The Accounting function will handle the transfer of the special estimated tax payments from NMF to MF when such payments must be used by the taxpayer to offset additional tax in accordance with the requirements of Section 847.
Special Handling Message Codes 042-048 - (Item 9, Form 5345 or Item 21, Form 5354) are treated in the same manner as a push code except, it also generates processing instructions on Form 5546. These codes are used in the campus in the association of requests for multi-year case files before delivery to examiners and also to indicate that the attached return requires special handling. These codes are specified by the Chief, Campus Classification. (L23-E34)
Special Messages - Special messages are generated on the Form 5546 as a result of certain conditions, See Exhibit 4.4.1-20., Special Messages on Form 5546. These messages are computer generated on the Form 5546 to assist the Files personnel in the campuses in the routing of the returns. (L11-E16)
Special Return - A return that contains one or more of the identifiable features listed in Part IV of the IRM. These returns must be delivered for screening or classification regardless of their DIF Score. In most cases the Audit Code is what identifies the case as a special return.
Spousal Change Indicator - Set when there has been a change in spouses to ensure both taxpayers on a joint return receive all notices, correspondence, etc. (P1-L9)
Spousal IRA Code (Spouse-IRA-CD) - Indicates the type of IRA account as indicated on the tax return. (P1-L8)
0 = Non-joint return has IRA 1 = Primary spouse in joint return has IRA 2 = Secondary spouse in joint return has IRA 3 = Both have IRA plans 4 = IRA notice issued 5 = IRA notice issued to primary account 6 = IRA notice issued to secondary account 7 = IRA notice issued to primary and secondary account
Spouses-SSN - Present if a joint return was filed. Also known as secondary spouse SSN. (P1-L8/SSIVL)
Start Date - See Exam Start Date.
State Alpha Codes - When entering a taxpayers address, always use the two digit alpha state code. ( See Exhibit 4.4.1-21.)
Status Codes (CURRENT-STATUS-CD/DATE) - Two digit code used to identify the location of a return. See Exhibit 4.4.1-22.(L20-E30/P1-L13/A-CIS/SSIVL)
Statute Codes - See IRM 25.6.23.
Statute Consent Code - See Consent Code.
Statute Date - See Assessment Statute Expiration Date.
Statute Extraction Indicator (STATUTE-XTRCTN-IND) - "1" means that the record has been extracted to a statute listing. This indicator causes the "R" to be displayed on subsequent statute listing if the case still meets the criteria. Each time the statute or EGC is updated, the indicator gets reset to a "0" . This is done so a case that appeared on a prior statute list but with a different ASED or in a different group does not get designated as a record that was on the previous statute report. (P1-L9/A-CIS/SSIVL)
Statute Extension Type - Statutes that are not all numeric are actually stored in a separate field on AIMS called the Statute Extension Type field. They are displayed in the same field as the Assessment Statute Date field. (A-CIS).
Statutory Notice of Deficiency (SNOD) - See 90-Day Letters.
Substitute for Return (SFR) - A procedure by which Examination is able to establish an account by posting a computer generated TC 150 when the taxpayer refuses or is unable to file. See IRM 4.4.9, Delinquent and Substitute for Return Processing for more information.
For IMF returns, an SFR can be identified by a TC 150 with a DLN of XX-210-XXX-(000-299)-XX-X (paper SFR's) or XX-210-888-000-XX-X for computer generated SFR's using AM424 with Push Code 036.
For BMF returns, an SFR can be identified by the presence of CCC 4 or a DLN XX999-999-999-XX-X for computer generated SFR's using AM424 with Push Code 036. The MFT's that are valid with the computer generated TC 150 are: 01, 02, 03, 04, 05, 06, 07, 09, 10, 11, 12, 14, 16, 33, 40, 51, 52, 58, 60, 63, 64, 77 and 78.
Survey Reason Code (SURVEY-REASON-CD) - Created 1/1/2008, used to identify why a return was surveyed with a Disposal Code 31 or 32. The SRC is required on LMSB returns closed with DC 31 or 32. The SRC is optional on SBSE returns closed with DC 31 or 32. One of the following values must be entered on the closing form to the right of the disposal code. Values are:
A No large unusual questionable items B No change in prior year C Beyond cycle (includes statute issue) D Lack of resources E Other F-Z Reserved
Suspense Code (SUSP-CD) - A one digit computer generated code used to identify returns in a status code 14, 3X or 44 which are categorized as suspense statuses. Suspense Code 1 is generated when cases are established (CC AM424/AMNON) on AIMS in a suspense status code. Suspense Code 2 is generated when a case is updated (CC AMSTU/AMSOC DC 30) to a suspense status code. Once set a suspense code cannot be removed. See the Status Code document that is posted to the AIMS/ERCS./SETTS website to see which status codes set the suspense code. (P1-L7/A-CIS)
Tax Agency Disclosure Codes - See IRM 4.4.28, Revenue Agents Reports (RAR's) Sent to States.
Tax Class - The third digit on the DLN that identifies the type or return or document that was filed or processed. All IMF returns and documents have a tax class of "2" . See Doc 6209 for complete list.
Tax Period - The period of time for which a return is filed. A six digit code is used to indicate the end of the tax period for a given return. (The first four digits represent the year and the second two digits represent the month) For example, a tax period that end March 30, 2008 would be shown as 200803. For the establishment of Estate tax returns, the tax period is 000000. (L2-E3/P-ALL-L1/A-CIS/SSIVL)
Taxpayer Identification Number (TIN) - A more general name for the nine digit number used to identify a taxpayer. The TIN can be either an EIN or SSN. (L2-E1/P-ALL-L1). See Exhibit 4.4.1-23)
TC 150 Creation Date (TC150-CRTN-DT) - Renamed "Return Received Date" . (P1-L16)
TC 29X Indicator - IMF only. Effective 1/1/2005, IMF will set the TC 29X Indicator and will send this indicator to AIMS on opening and update records if there is a TC 29X posted at Master File that would cause the TC 300 with a TC 764 to unpost UPC 180 2. AMCLS will block the closure if a CREF 764 is input and the indicator is set unless a Priority Code (#9) of 1 or 8 is input. An error message: "TC-29X-IND PRESENT, CLOSURE BLOCKED TO PREVENT UPC 180 2" will be displayed. "29X" will be displayed on AMDIS within the MF-TC field on Screen-1/Line-7/Positions 23-53 if the indicator is present. (P1-L7)
TC 300 Indicator (TC-300-IND) - Indicates that an audit assessment has been successfully input through CC AMCLS. (P1-L9/SSIVL)
1 = IMF/BMF assessment 2 = IRAF assessment made against primary SSN 3 = IRAF assessment made against secondary SSN 4 = IRAF assessment made against both SSN's 5 = Indicates that the TC 300 indicator has been reset using CC AMAXU which causes the case to appear on the Non-Assessed Closures Listing. 6 = Indicates that the TC 300 indicator has been reset using CC AMSTUB (case returned to Examination from Appeals) or CC AMSTUR (a Status Code 90 case being reopened by Examination)
TC 424 Code - Identifies whether a case was opened on AIMS using AM424. (P1-L17/A-CIS)
0 = Record not established using CC AM424. Example: DIF and automatic openings 1 = AM424 with Source Code 60/EGC 1000/2000 2 = AM424 record 3 = AM424 with Source Code 60/EGC 1000/2000 replaced with AM424 record. 4 = AM424A record 5 = TSLOD opening 6 = Programs like CDE, CEAS and TREES
TC 424 Push Code - See Push Code.
TC 424 Record - See Skeletal Record. (P1-L8)
TC 480 Indicator - See Master File Transaction Code (A-CIS)
TC 640 Indicator - See Master File Transaction Codes.
TC 910-914 Indicator - See Master File Transaction Codes.
TC 916-918 Indicator - See Master File Transaction Codes.
TC 97X Indicator - See Master File Transaction Codes.
TC 971 Action Codes - A list of all TC 971 Action Codes can be found at: http://sbse.web.irs.gov/AIMS/docs/TC-971_Action%20Codes.doc Below are some of the TC 971 Action Codes used by Examination.
Action Code See: 043 Installment Agreement Code 057 Multiple Return Examinations 072 Inspected Return 086 Disaster Indicator 087 Disaster Indicator 102 MFT 31 Instructions 105 MFT 31 Instructions 688 Disaster Indicator
TDA Status 26 - See Collectibility Indicator Code
Technique Code - See Examination Technique Code.
Technical Services Code - A three digit code required to be input when a case is updated to Status Code 21. The TS Code identifies which Technical Services Office (including TEFRA) has control of the case. See the Technical Services SC 21 worksheet for a complete listing of Technical Servics Codes.(P2-L4/A-CIS/SSIVL)
TEFRA Code/Indicator (TEFRA-CD) - The TEFRA code was created to identify on AIMS partnerships that are subject to TEFRA procedures. Once the revenue agent makes a determination as to whether the partnership is subject to TEFRA procedures, they must update ERCS/AIMS with a Y (yes) or N (no). If the agent surveys the return after assignment and is unable to make the determination the indicator should be set to a S (survey). If the MFT is 06 or 35, EGC is 1XXX or 2XXX, ERCS/AIMS will require the indicator be input if a case is opened in status codes 13-19, updated from a status code 12-19 to any other status code or a case in status code 12 is transferred to another PBC. (P2-L4/A-CIS/SSIVL)
TIN Change Record (F4) - Created when a data base is transferred to a different TIN. Remains on the data base for 60 days and cannot be deleted. (Summary Screen)
TIN-Type - See File Source.
Total Positive Income -Total Positive Income is a complicated calculation based on fields found on an individual tax returns and is used to create the Activity Codes on AIMS. Storing the TPI amount on AIMS started with records opened after 12/31/2006. For records on A-CIS that were created prior to 1/1/2007 the TPI amount was retrieved through MACS. (P2-L6/A-CIS).
Tracking Code (TRACK-CD) - A four digit code used to identify specific categories of returns. Effective 1/2/2009 - the tracking code cannot be corrected on a record with a status code greater than 79 if the case was closed in a prior fiscal year and the current date is after the end of the extended fiscal year. For a current listing of Tracking Codes see: http://sbse.web.irs.gov/AIMS/docs/TrackingCodes.xls . (L7-E24/P1-L14/A-CIS/SSIVL)
Transaction Code - Three digit code used to identify actions being taken to a taxpayers account. See Doc. 6209 for a complete list and definitions of these codes. See "Master File Transaction Code " for a list of MF TC's that are sent to the AIMS base.
Transfer Date - See AMSOC Transfer Date.
Transfer Terminal Code (TTC) - Set when a CC AMSOC, DC 30 is input. The AMDISA displays the prior PBC after the word "From" . (P1-L10/A-CIS/SSIVL).
If TTC is: then AMSOC DC 30 was: and displayed on AMDISA as: 0 Not input blank 1 Input at a SC terminal SC Transferred From 2 Input at an Area Office terminal DO Transferred From
Transferee/Transferor Assessment - See IRM 4.4.17, Jeopardy/Termination /Transferee/Transferor Assessment.
Unagreed Amount (UNAGREED-AMT) - The unagreed amount is the amount of tax adjusted by credits that is being appealed/petitioned. DO NOT include interest or penalties in the unagreed amount. This is a dollars only field - no not include cents in the amount entered in Item 18. See IRM 4.4.12 for more information. (P2-L6/A-CIS)
For taxable returns, this amount is from Item 18 on Form 5344, Examination Closing Record. If the tax that was stat noticed was actually assessed before the case was closed to Appeals, Item 18 must be $1 since the amount assessed will appear in the EXAM-CUM-ASSMNT-AMT or MAN-ASSMNT-AMT field. If Taxpayer appeals a disallowed claim, Item 18 must be $1-.
For non-taxable returns, the unagreed amount must be blank. The amount being appealed/petitioned must be entered in Item 34 on Form 5344.
Unified Credit Adjustment Amount (UNIFIED-CREDIT-ADJ-AMT) - This amount is from Item 422 of Form 5344. Valid for MFT 51 and MFT 54 if Disposal Code is 01. (P3-L10/A-CIS/SSIVL)
Unverified Assessment Listing - generated monthly for closed cases with a significant money amount successfully input through CC AMCLS but the TIF still contains a pending TC 300. See IRM 4.4.27 for more information.
Update Code (UPDT-CD) - This code reflects the last program or command code that modified the record. This code is moved to the Prior Update Code field when another update takes place. (P1-L17)
A = AM424 J = AMCLSF U = TSCLS B = AMNON K = AMSOC V = AMCLSU C = AMTIN M = AMLAB W = WTU17 D = AMAXU O = AMCLSO X = WTU18, 38, 58 E = AMSTU P = AMCLSI Y = AMS03
F = AMFRZ Q = AMS14
(Master File Update)
Z = AMS12 G = AMCLSP R = AMS21 + = AMS92 H = AMCLSE S = AMS41
(Monthly Report Extract)
- = AMS33 I = AMCLSA T = TSLOD @ = AMS22
Updating AIMS - See IRM 4.4.34.
Valid Segment - That part of the IMF containing SSN and name combinations that match the DM1 tape from Social Security Administration.
Verified Assessment Code (VER-ASSMT-CD) - Used to indicate whether the case has been reported on the Unverified Assessment List in a prior month. Part of TIF 80. (P1-L15)
0 = Not extracted for UAL 1 = CC AMAXU 901 input (Causes record to age even though there may be an unresolved pending transaction on the TIF). 2 = Extracted for UAL (Causes "repeat" indicator to appear on UAL).
X-REF DLN - See Cross Reference DLN
X-REF TIN - See Cross Reference TIN.
Whipsaw Indicator (WHIPSAW-IND) - An alpha indicator (K = key case, R = related case) input from Item 401 on Form 5344 which identifies records in which multiple taxpayers are assessed for the same liability. When the "K" is present the return and the Exam results are included in the AIMS tables. When the "R" is present, the return is counted on the AIMS tables but the Exam results are not. Table 16 is a listing of all cases that have a whipsaw indicator present. (P2-L9/A-CIS)
Forms that have multiple activity codes are listed below. For activity codes for forms that only have one valid activity code See Exhibit 4.4.1-13.
|Form 706, Estate Gross Estate|
|Returns Posted Prior to 1/01/2005||415||Under $1,000,000|
|417||$1,000,000 Under $5,000,000|
|419||$5,000,000 and Over|
|420||Form 706A, Additional Estate Tax Return|
|421||Form 706B (obsoleted) Generation Skipping Transfer Tax Return.|
|Return Posted After 12/31/2004||414||Under $1,500,000 and TC 150 = zero|
|415||Under $1,500,000 and TC 150 not equal to zero|
|416||$1,500,000 to $4,999,999 and TC 150 = zero|
|417||$1,500,000 to $4,999,999 and TC 150 not equal to zero|
|418||$5,000,000 and Over and TC 150 = zero 419|
|419||$5,000,000 and Over and TC 150 not equal to zero|
|Form 709, Gift Tax Return|
|Returns posted <1/1/2008||Activity Code||If total gifts are:|
|437||$600,000 Under $1,000,000|
|439||$1,000,000 and Over|
|Returns Posted >12/31/2007||Activity Code||If total gifts are:|
|434||< $600,000 and TC 150 =0|
|435||<$600,000 and TC 150 not = 0|
|436||$600,000 < $1M TC 150=0|
|437||$600,000 < $1M TC 150 not = 0|
|438||$1M and over TC 150 = 0|
|439||$1M and over TC 150 not = 0|
|Form 720||001-195||IRS No. on Form 720|
|Form 990-C||490||Sub-section code is 93 and total assets are:
= to or < zero/asset code=0
|491||Sub-section code is 93 and total assets are:
|492||Sub-section code is 80 and total assets are:
= to or < zero/asset code=0
|493||Sub-section code is 80 and total assets are:
|All Form 1040's on AIMS >12/31/2006||270||EITC present & TPI <$200,000 and Schedule C/F TGR <$25,000 or EITC with no Schedule C/F|
|271||EITC present & TPI <$200,000 and Schedule C/F TGR >$24,999|
|272||TPI <$200,000 and No Schedule C, E, F or Form 2106|
|273||TPI <$200,000 and Schedule E or Form 2106 but no Schedule C or F|
|274||Non-farm Business with Schedule C/F TGR <$25,000 and TPI <$200,000|
|275||Non-farm Business with Schedule C/F TGR $25,000 - $99,999 and TPI <$200,000|
|276||Non-farm Business with Schedule C/F TGR $100,000 - $199,999 and TPI <$200,000|
|277||Non-farm Business with Schedule C/F TGR >$199,999 and TPI < $200,000|
|278||Farm Business Not Classified Elsewhere and TPI <$200,000|
|279||No Schedule C or F and TPI>$199,999 and <$1,000,000|
|280||Schedule C or F present and TPI > $199,999 and <$1,000,000|
|281||TPI > $999,999|
|Valid < 1/1/2007||530||TPI Under $25,000|
|A. Only income from dividends interest, IRA distribution, pension annuity, social security, unemployment compensation and wages.|
|B. No itemized deductions|
|C. No adjustments other than IRA deduction|
|D. No credits other than child and dependent care.|
|E. No Payments other than Federal Income Tax withheld, estimated tax payments and Earned Income Credit. Form 1040, 1040C, 1040NR, 1040PR, 1040SS, and Form 1040 with Form 2555|
|531||TPI Under $25,000|
|A. Low non-business returns|
|B. Does not meet the definition of 1040A Type, TPI Under $25,000 (Code 530).|
|C. May include returns with Schedule C and/or F with TGR less than $25,000.|
|D. Schedule C and/or F with TGR less than non-business TPI.|
|532||TPI $25,000 under $50,000|
|A. Medium non-business returns.|
|B. May include returns with Schedule C and/or F with TGR less than $25,000.|
|C. Schedule C and/or F, TGR must be less than non-business TPI.|
|533||TPI $50,000 under $100,000|
|A. High non-business returns.|
|B. May include returns with Schedule C and/or F with TGR less than $25,000.|
|For Returns Filed Prior to 1/1/2005||534||TPI $100,000 or over|
|A. Upper non-business returns.|
|B. May include returns with Schedule C and/or F with TGR less than $25,000.|
|C. In returns with Schedule C and/or F, if TGR is $25,000$100,000 then the non-business TPI must be $100,000 or more.|
|For Returns Filed After 12/31/2004||534||TPI $100,000 under $200,000|
|A. Upper non-business returns.|
|B. May include returns with Schedule C and/or F with TGR less than $25,000.|
|C. In returns with Schedule C and/or F, if TGR is $25,000$100,000 then the non-business TPI must be $100,000 or more.|
|535||Schedule CTGR Under $25,000|
|A. Low Business Schedule C.|
|B. TGR is Under $25,000 and greater than the non-business TPI.|
|C. Schedule C only, or Schedule C if TGR is greater than or equal to Schedule F TGR.|
|536||Schedule CTGR $25,000 Under $100,000|
|A. Medium business Schedule C.|
|B. Non-business TPI is less than $100,000.|
|C. Schedule C only, or Schedule C if TGR is greater than or equal to Schedule F TGR.|
|537||Schedule CTGR $100,000 or Over|
|A. High business Schedule C.|
|B. Schedule C only, or Schedule C if TGR is greater than or equal to Schedule F TGR.|
|538||Schedule FTGR Under $100,000|
|A. Low farm business Schedule F.|
|B. TGR under $100,000, but if TGR is less than $25,000, TGR must be greater than non-business TPI.|
|C. Farm TGR $25,000 - $l00,000 non-business TPI must be less than $100,000.|
|D. Schedule F only, or Schedule F if TGR is greater than Schedule C TGR.|
|539||Schedule FTGR $100,000 or more.|
|A. High business farm Schedule F.|
|B. Schedule F only, or Schedule F if TGR is greater than Schedule C TGR.|
|For Returns Filed After 12/31/2004||540||$200,000 under $1,000,000|
|For Returns Filed After 12/31/2004||541||$1,000,000 and over|
|Form 1040PR||471 >12/31/2006 = 266|
|Form 1040SS||472 >12/31/2006 = 266|
|Form 1041, FiduciaryEffective 1/1/2008|
|Posted <1/1/2007||495||Taxable (non-automatic) treated as taxable on AIMS tables|
|Returns posted >12/31/2007||496||Taxable (automatics and non-automatics)|
|497||Non-Taxable - Grantor, Bankruptcy and Pooled Income (automatics and non-automatics)|
|498||Non-Taxable - Other (automatics and non-automatics)|
|Form 1065, Partnership (Non-taxable)|
|480||All partnership returns processed prior to January 1988.|
|481||10 or less partners gross receipt under $100,000|
|482||10 or less partners gross receipts $100,000 or more|
|483||11 or more partners|
|Form 1120 (Including 1120L, 1120M, 1120PH)|
|Effective 1/1/2007||203||No Balance Sheet|
|209||Assets under $250,000|
|213||Assets $250,000 under $1,000,000|
|215||Assets $1,000,000 under $5,000,000|
|217||Assets $5,000,000 under $10,000,000|
|219||Assets $10,000,000 under $50,000,000|
|221||Assets $50,000,000 under $100,000,000|
|223||Assets $100,000,000 under $250,000,000|
|226||Assets $250,00,000 under $500,000,000|
|227||Assets $500,000,000 under $1,000,000,000|
|228||Assets $1,000,000,000 under $5,000,000,000|
|229||Assets $5,000,000,000 under $20,000,000,000|
|230||Assets $20,000,000 and over.|
|231||default - cannot close|
|259||Assets under $50,000,000|
|263||Assets $50,000,000 under $250,000,000|
|265||Assets $250,000,000 and over|
|Form 1120S (Non-Taxable)|
|287||All (prior to 1/1/91)|
|288||Assets under $200,000|
|289||Assets $200,000 under $10,000,000|
|290||Assets $10,000,000 and over|
|Miscellaneous||501599*||See Document 6036, Examination Division Reporting System Codes Booklet|
|992**||Miscellaneous - Non-Taxable|
|*Valid for use only on ATTR Form 4502|
|**Not valid for use on ATTR Form 4502|
The aging of AIMS data bases occurs during the weekend of the monthly report extraction. The dates of the report extraction which are referred to as cycles, can be found in Document 6036, Examination Reporting System Codes Booklet, and Document 6209, IRS Processing Codes and Information.
If the case is a: then, using the monthly report extraction cycle, it will age off of AIMS after the: CIC Case 14th cycle DC 10, 13 or 34 14th cycle EGC 1XXX with Exam Results of + or - $50,000 14th cycle EGC 2XXX with Exam Results of + or - $ 5,000 14th cycle EGC 5XXX with Exam Results of + or - $ 1,000 14th cycle All other examined closing that do not meet the criteria above. 3rd cycle
If the disposal code is: then, using the monthly report extraction cycle, it will age off of AIMS after the: 20-29 2nd cycle 31-33, 35-99 3rd cycle 34 Use Examined Closures Chart
Non-Master File (NMF) and Dummy Record (-D) Closings
AIMS is the only source of identifying the DLN on NMF returns. The DLN is needed to retrieve a closed NMF file so AIMS stopped aging NMF records. Effective 1/1/2010, AIMS will age examined NMF and Dummy Record closings 10 years after the Status Code 90 date. Non-examined NMF and Dummy records will age using the same criteria of MF non-examined closings.
Skeletal Records/TC 424 Records/F1 Records
Type of Record Using the Opening-Creation Date, age the weekend after the: TC 424 Rejects (except UPC 1830/3332 see below) Record appears on the TC 424 Reject Register If TC 424 unposts with a UPC 1830 for IMF and 3332 for BMF 90th Day Push Code 010 90th Day No Push Code and no full base 90th Day Retention Register Cases 90th Day if not brought back from retention Any other Push Code and no full base 780th Day (26 months)
|All Appeals closures (except CC 33) will be removed from the AIMS data base after the third report extraction cycle. CC 33 cases will age after the first report extraction cycle. The cycle the case was closed can be found on Line 13 on the Appeals page of an AMDISA (APPL-EXTRACT-PRD).|
|No aging will occur if:|
|the TC 3XX Indicator = 5|
|verified assessment cd = 2 (See IRM 4.4.27, Reports, under the section, Resolving the Unverified Assessment Listing|
|pending TC300 transactions|
|case is on the Non-Assessed Closures list|
|DQ unpostable not reinput|
|These modules must be resolved before the aging will occur.
If case remains on the AIMS data base after aging criteria is met, contact the Headquarter's AIMS Help Line.
Aging Reason Codes are used to monitor a specific population of cases. For a list of the current codes see http://sbse.web.irs.gov/AIMS/docs/AgingReasonCode.xls .
|01||An LMSB CIC Claim examination that is identified for participation in the LMSB Process to Manage Claims Pilot Program. The LMSB CIC claim examination remains open after the regular audit cycle issues have been completed. (Separate instructions are available for LMSB Teams participating in this pilot.)|
|02||The taxpayer has requested Competent Authority assistance under Revenue Procedure 2006-54 or 2006-23 and the case is pending a final disposition memorandum for issues being negotiated with the treaty partner by the Competent Authority.|
|03||The taxpayer has requested an Advanced Pricing Agreement (APA) under Revenue Procedure 2006-09, and the case is pending the final APA from the Office of Chief Counsel.|
|06||Fraud workload originating in campus|
|07||Substantial exam issues, originated in campus|
|09||Mixed Entity Cases|
|10||Returns pulled specifically for LMSB remote examinations (RE) - Input by Campus.|
|11||Returns pulled for traditional examinations (e.g. DAS) then later "converted" to RE - Input by Field personnel.|
|12||Termination of the Remote Examination process (input by the Field)|
|13||Decision Support Tool (DST)|
|16||Conditions of Probation Cases|
|17||Grand Jury Cases Returned for Civil Disposition (without Conditions of Probation)|
|18||Administrative Cases Returned for Civil Disposition (without Conditions of Probation)|
|22||Return Related to LIFE Return|
|30||Reserved for Training Returns|
|31||Reserved for Training Returns|
|32||Reserved for Training Returns|
|33||Reserved for Training Returns|
|34||Reserved for Training Returns|
|35||Reserved for Training Returns|
|36||Reserved for Training Returns|
|37||Reserved for Training Returns|
|38||Reserved for Training Returns|
|39||Reserved for Training Returns|
|49||Preparer Penalty Cases|
|50||Revenue Officer Examiner's - AM424 or AMSTU with PC 0164 will generate ARC 50|
|51||Employment Tax TCO's|
|54||Gross Estate Increased to Over $5 Million|
|55||Art Panel referrals|
|56||Art Panel and accepted referrals to LMSB for valuation|
|57||Accepted referrals to LMSB for valuation|
|74||LCCI letter sent out|
|75||LCCI accepted by TP|
|77||ATAT Referrals from States|
|78||Participant in ESOP Initiative|
|79||Taxpayer is not participating in the ESOP Initiative|
|80||Appeals Settlement Guidelines - Accepted|
|81||Appeals Settlement Guidelines - Declined|
|82||Appeals Settlement Guidelines - Not Offered|
|83||Appeals Settlement Guidelines - Offered and Pending|
|84||Appeals Settlement Guidelines - Reserved|
|88||Related to SEP Program (Effective 12-1-2008)|
|90||Taxpayers participating in Announcement 2005-80 settlement initiative|
|91||Taxpayers who elected Announcement 2005-80 participation, but later withdrew|
|92||Taxpayers who elected Announcement 2005-80 participation, but were ineligible or had invalid elections|
|93||Used in the Global Settlement Initiative (GSI) to identify Non-Electing taxpayers. Non-Electing GSI taxpayers are taxpayers who were identified as engaging in a GSI transaction, did not file an election, and received a soft (Howdy) letter encouraging participation in the program.|
|94||GSI related taxpayer controlled in TEFRA Suspense|
|99||Tax Examiner's AM424 or AMSTU with PC 0129 will generate ARC 99.|
AIMS Freeze Codes are used to prevent the closing, transfer or update of a return. For a complete list of AIMS Freeze Codes visit the AIMS website at: http://sbse.web.irs.gov/AIMS/docs/FreezeCodes.xls .
|AIMS Freeze Code||Prevents|
|A-G, I-P, V, W, Y, 1-5 and 6-9||All closures|
|H, 6||All closures EXCEPT to Appeals|
|Q||All closures except DC 11. AMCLSE will systemically remove the Q freeze.|
|R-T||Updates & closures|
|U||Closure if TC 300 amount is greater than zero.|
|X||Closure if DC is 10 or 13 and TC 300 amount is greater than zero.|
|A-G, I-J, L, Q-S, V, W||Transfers (AMSOC DC 30)|
|Z||DC 29 closures|
|A-G||Local||Locally defined - see: http://sbse.web.irs.gov/AIMS/docs/FreezeCodeContacts.xls|
|H||TEFRA Key Case||TEFRA Key Case (See IRM 4.29). The CTF's are responsible for ensuring that Freeze Code H be placed on the key case AIMS record and for ensuring that the freeze be removed from the data base. Only the CTF's are able to release the H Freeze.|
|I-J||Local||Locally defined. See: http://sbse.web.irs.gov/AIMS/docs/FreezeCodeContacts.xls|
|L||Local||Locally defined. See: http://sbse.web.irs.gov/AIMS/docs/FreezeCodeContacts.xls|
|O||Informal Claims||Informal claim is being forwarded to the area office for association with an open examination case. A Form 5348, completed to remove the freeze, usually accompanies the claim so that the freeze can be lifted once the claim is associated with the return.|
|P||Civil Disposition||See: http://sbse.web.irs.gov/MS/IGMemos/file.asp?kf=369|
|Q||Docketed||Put on a return that appears on the docket list that has not been physically located within three days of receipt of the list. Effective 1/1/2007, Q will not block a docketed closure to Appeals - freeze will be removed systemically.|
|R-S||Local||Locally defined - see: http://sbse.web.irs.gov/AIMS/docs/FreezeCodeContacts.xls|
|U||Bankruptcy||Bankruptcy proceedings where the taxpayer has filed for bankruptcy prior to October 22, 1994. This freeze is automatically set on IMF cases only, when an unreversed bankruptcy freeze is on Master File (TC 520 with closing codes 83, 85 or 88) . The freeze is automatically released when the TC 520 is reversed. Freeze Code U can also be manually released using CC AMFRZ, however it should not be released without prior coordination with the Bankruptcy Coordinator. If Freeze Code U is present and a positive dollar amount is in Item 12 of Form 5344, the closing will reject. Non-examined closures and examined closures with Item 12 containing a zero or negative amount, will be permitted to close even though the Freeze Code U is present.|
|V-W||Local||Locally defined - see: http://sbse.web.irs.gov/AIMS/docs/FreezeCodeContacts.xls|
|X||Bankruptcy||Bankruptcy proceedings where the taxpayer has filed for bankruptcy on or after October 21, 1994. This freeze is automatically set when an unreversed bankruptcy freeze is on Master File (TC 520 with closing codes 6X, 83, 85 or 88) . Effective 1/1/2005 for IMF and BMF, the freeze will also be set on openings and updates if the Collection Indicator = 1 (TC 520 with CC 6X, 81, 83, 85-89). The freeze is automatically released when the TC 520 is reversed. Freeze Code X can also be manually released using CC AMFRZR, however it should not be released without prior coordination with the Bankruptcy Coordinator. If Freeze Code X is present, a closure, partial or unpostable correction will be allowed if the case is a no change or a closure with an agreed or appealed disposal code of 03, 04, 07, 08, 09, or 11 in Item 13 of Form 5344.|
|Y||Mirror Processing||Used to identify a module where the -L freeze at Master File must be reversed while the mirror processing is taking place.|
|Z||DC 29||The AIMS Freeze Code Z is automatically generated when a case is opened on AIMS (except MFT 01 or 52), if there is a prior audit in the Audit History section of Master File (IMFOLZ/BMFOLZ) with a DC 29 and the tax period in the first or second prior audit position is the year prior to the tax period being opened. A return with a Z freeze cannot be closed using DC 29. Any other disposal code is acceptable. This freeze cannot be released manually. The Z freeze will be automatically deleted from the AIMS base when the status code is updated to 12 through 40.|
|1||Protective Assessment||Controlled by CCP - used to identify accounts where an assessment was made to protect the ASED. Contact CCP for input of freeze code if assessment was not done by CCP. See IRM 25.6.23.|
|2||CCP||Used by CCP to prevent closing - generally requested by the group.|
|4||JCC||Joint Committee Cases|
|5||GSI||GSI case pending CIQMS review|
|6||TEFRA/Non-TEFRA||Used by the CTF to identify cases with certain TEFRA/Non-TEFRA Issues. Effective 1/1/2008, if present will allow transfer to the CTF units. See: http://sbse.web.irs.gov/AIMS/docs/AIMSFreezeCode-6.doc|
For Appeals addresses see: http://appeals.web.irs.gov/aps/bystate2.htm
|New Jersey: http://appeals.web.irs.gov/aps/documents/zipnj.xls|
|New York: http://appeals.web.irs.gov/aps/documents/zipny.xls|
|North Dakota||X36||St. Paul|
|Rhode Island||X22||East Hartford|
|South Dakota||X36||St. Paul|
|Form Number||Disposal Codes||Type of Source Document||Non-
|5344||0104, 0810, 12, 13, 34||Original Return or SFR||000-079||080-099||Yes||Yes|
|0104, 0810, 12, 13, 34||Electronic Print||300-379||380-399||No||Yes|
|01-04, 08-10, 12, 13, 34||No source doc - Paperless (EGC 5XXX Only)||400-479||N/A||No||No|
|07, 11, 12 with AOC||No source doc - Nothing sent to files||100-129||180-189||No||Yes|
|Partial Assessment||No source doc - Nothing sent to files||100-129||180-199||No||Yes|
|5351, 5546, etc.||2022, 25, 3132, 35, 42, 45, 99||Original||600-679||680-699||Yes||Yes|
|20-22, 25, 31-32, 35, 42, 45, 99||Electronic Prints||250-279||250-279||No||Yes|
|20-22, 25, 31-32, 35, 42, 45, 99||No Return/Workpapers||280-299||280-299||No||No|
|20-22, 25, 31-32, 35, 42||Paperless non-examined closures||130-179||190-199||No||No|
|28, 29, 33, 36-41||No Return/SFR||100-129||180-189||No||Yes|
Non-Master File Blocking Series
|Form Number||Disposal Codes||Type of Source Document||Non-TEFRA||TEFRA|
|5344||01-04, 08-10, 12, 13, 34||Original Form filed by taxpayer||001-079||080-099|
|01-04, 08-10, 12, 13, 34||No Original Forms - just workpapers||900-979||980-999|
|01-04, 07-13, 34||No Source Document||100-179||180-199|
|5351 or 5546||All DC's||Original Form filed by taxpayer||600-679||680-699|
|All DC's||No Original Forms - just workpapers||250-279||250-279|
|All DC's||No Source Document||100-179||180-199|
|Cases Sent to Centralized Case Processing|
|1.||Forms affixed to outside of case folder top to bottom:|
|a.||Form 3210, Document Transmittal|
|b.||Form 895, Notice of Statute Expiration, is placed on top of all other papers|
|c.||Form 6441, This Document Requires Protection|
|d.||Form 3198, Special Handling Notice|
|e.||From 10329, Transmittal Sheet (companion to F3198)|
|f.||Form 8278, Computation and Assessment of Misc. Penalties|
|g.||Form 3185 (Transfer of Returns)|
|h.||Two-Way Memo to Classification, if applicable|
|2.||Forms attached to left inside of case folder:|
|a.||Time Tag or Form 9984, Examiners Activity Record|
|b.||Address Change sheet - Form 2363 or Form 3198.|
|c.||Form 885-E, Schedule for FICA Tax Adjustment of Wags Not Previously Reported|
|d.||Form 885-F, Self Employment Tax Adjustment|
|e.||Form 885-T, Adjustment of Social Security Tax on Tip Income|
|f.||Form 6657, Related Returns Examination Report|
|g.||Form 5752, Flow-Through Entity Distribution Schedule|
|f.||Copy of Command Code AMCLS, AMDISA, or AM424 print; and|
|g.||Form 5346, Examination Information Report.|
|3.||Forms and other documents enclosed in case folder:|
|a.||Waiver and acceptance forms:|
|1. Form 870, Waiver of Restrictions on Assessment and Collection of Deficiency in Tax and Acceptance of Overassessment;|
|2. Form 875, Acceptance of Examiners Findings by a Partnership, Fiduciary, Small Business Corporation, or Domestic International Sales Corporation;|
|3. Form 2297, Waiver of Statutory Notification of Claim Disallowance;|
|4. Form 3363, Acceptance of Proposed Disallowance of Claim for Refund or Credit.|
|b.||Taxpayers protest and correspondence in unagreed cases;|
|c.||Examination report for multiple year examinations, a copy of the closing examination report is to be included in each case file for every year examined.|
|d.||Original tax return(s) or electronic prints if used in lieu of the original return and related attachments (see 4 below) NON-DOCKETED CASES ONLY, or CC ESTAB/ELFREQ prints reflecting the requesting of the original return;|
|e.||Form 5546, Examination Charge-Out|
|f.||Form 4318, Examination Workpapers, or Form 4700, Examination Planning and Workpapers. These forms will be the first page with additional workpapers to follow. If a prior audit or adjustment occurred, the most current work papers should be on top. If multiple audit reports were issued, the most current report should be on top and prior/obsolete reports should be annotated VOID across the RAR. If multi-year examination, include the workpapers in the latest deficiency year tax period and indicate this in the Special Features section of the Form 3198. CCP must input a TC 971 AC 57 to denote location of the workpapers. Since returns are destroyed based on the CSED, this will ensure the documents will not be destroyed until the CSED expires.|
|g.||Form 9984, Examining Officers Activity Record.|
|h.||Form 6706, Area Quality Review Worksheet, and reviewers workpapers.|
|i.||Prior examiner's reports; and|
|j.||Miscellaneous documents (collateral reports, correspondence, National Headquarters or Area letters, special agents reports, appraisals of property included in the estate, etc.).|
|k.||Transcripts - retain only if data on transcript is a pertinent part of the examination.|
|k.||Form 3999, Statute Expiration Report - See IRM 22.214.171.124.1(5).|
|4.||Forms and documents to be attached to tax returns:|
|a.||Form 9440, Taxpayer Levy Source and Contact Information. See IRM 4.20.3.|
|a.||Form 5344, Examination Closing Record|
|b.||Compliance Evaluation print out. See IRM 126.96.36.199.2.5.|
|c.||Form 3244-A, Payment Posting Voucher - Examination, should have part 2 stapled to the face of the return;|
|d.||Statute Extension Forms: An executed copy should be stapled to the reverse of the first page of the tax return on top of any other attached forms;|
|1. Form 872, Consent to Extend the Time to Assess Tax;|
|2. Form 872-A, Special Consent Fixing Period of Limitation Upon Assessment of Income Tax;|
|3. Form 872-B, Consent to Extend the Time to Assess Miscellaneous Excise Taxes;|
|4. Form 872-P, Consent to Extend the Time to Assess Tax Attributable to Partnership Items.|
|5. Form SS-10, Consent to Extend the Time to Assess Employment Taxes.|
|e.||Form 56, Notice concerning Fiduciary Relationship, should be stapled to the reverse of the first page of the tax return;|
|f.||Form 2848, Power of Attorney, should be stapled to the reverse of the first page of the tax return;|
|g.||Form 843, Form 1040X, or Form 1120X, amended returns/claims;|
|h.||Form 1045 or Form 1139, Applications for Tentative Carryback Adjustment, should be stapled to the tax return, giving rise to tentative carryback adjustment. Attach a copy of Form 1045 or Form 1139 to each carryback/carryforward year;|
|i.||A photocopy of requests (e.g., Form 5345, Form 5346, or Form 5354) using the following source codes must be attached to the returns as a permanent record:|
|1. Source Code 45 reference and information return|
|2. Source Code 60 examination information report|
|3. Source Code 99 Other|
|k||Form 5546, Examination Return Charge-Out (Attached to back of return).|
|Cases sent for input and then to files|
|1.||Form 5344 on top - If a prior audit or adjustment occurred, staple the Form 5147 and Form 5344 to the back of the current Form 5344.|
|2.||Original Return or an electronic print|
|a.||If an amended or duplicate return is included in the case file, staple the amended or duplicate to the back of the original return or the electronic print.|
|3.||Form 5546 or AMDIS print.|
|4.||Closing Examination Report showing signature and/or payment. In multiple year examinations, a copy of the closing examination report showing signature is to be included in each case file for every year examined. If multiple audit reports, the most current report should be on top.|
|5.||Other forms, letters and documents enclosed in the case folder.|
|7.||Transcripts - retain only if data on transcript is a pertinent part of the examination. Otherwise remove before sending case
to the campus.
If the field employee bundled the transcripts with workpapers, it is not necessary for CCP to sort through the workpapers looking for excess transcripts.
|8.||Form 3198 if provided by the field.|
|9.|| Remove computer disks (unless case is being sent to Appeals) and unnecessary fasteners, rubber bands, paper clips, excess
staples, duplicate of any documents or correspondence and excess printouts, labels or transmittals.
It is not necessary for CCP to inspect each page to determine if a document is a duplicate.
EXCEPTION: If the case file is part of the Examination Quality Management System (EQMS) sample, do not remove anything from case file except labels and computer disks. Put these documents, including the case jacket, Form 4607 in a separate folder marked DESTROY and forward with case file to EQMS site.
|IRM 3.12.3 contains procedures related to combat zone condition codes (such as Master File Z freezes, K freezes, etc.)|
|IRM 4.10.8 contains guidance for Exam personnel and examples of compelling reasons to suspense examinations.|
|IRM 188.8.131.52.10 contains procedures for using the TC 500 with entry and exit dates.|
|IRM 25.6.16 contains procedures on statutes related to combat zone.|
|Case Identification - Freeze/Indicator TC Codes|
A Master File indicator code (TC 500) was developed to identify combat zone personnel. A Master File freeze code "C" is set by a TC 150 with a Computer Condition Code of Z or TC 500 with a closing code input to any module in the account. A Combat Zone Indicator of a "1" will prevent AIMS openings, CF&S ordering offsets, suspend the ASED and CSED, restrict interest, failure to pay, delinquency and estimated tax penalties on all modules in the account.
If an S appears in the CSED field following the Closing Code (CC:52 CSED: S), this means that the spouse is in the Combat Zone. When inputting the reversal, you must enter an S in the CSED field so the reversal is applied to the spouse, not the primary taxpayer.
|(1) Examinations are not to be conducted during the period of time a taxpayer is in the combat zone.|
|(2) Survey before assignment (Disposal Code 31) cases with no taxpayer contact.|
|(3) Survey after assignment (Disposal Code 32) cases involving taxpayer contact.|
|(4) Do not continue the examination if the taxpayer is in a Combat Zone unless a compelling reason exists to do so. For cases that require continuation because of a compelling reason, see (5) below.|
|(5) Compelling Reason Suspense Procedures - See IRM 4.10.8. A letter will be sent to the taxpayer informing them of the fact that examination action will be suspended until 180 days after their return from the combat zone. A request that the taxpayer notify the IRS upon their return from combat duty will be made. These cases should be held in the group and suspended using AIMS status code 14 (see also IRM 184.108.40.206.10.3 for procedures for generating combat zone status reports on AIMS). If case in not under AIMS control, use NMF AIMS until Combat Zone freeze is removed, then close the NMF control using DC 28 and establish the MF record.|
|(6) When the taxpayer returns from the Combat Zone or was never in the Combat Zone, see "Releasing the Combat Zone Freeze below"|
|(7) Combat Zone Indicator:
1 = on
2 = off
|(8) Conflict Code
1 = Desert Storm, TC 500 with a Closing Code of 52 with entry date: Closing Code of 53 with exit date.
2 = Bosnia, TC 500 with a closing code of 54 with entry date; closing Code of 55 with exit date.
3 = Desert Storm and Bosnia, TC 500 with CC of 52 and 53.
4 = Enduring Freedom - TC 500 with a Closing Code of 56 with entry date; Closing Code of 57 with exit date.
5 = Enduring Freedom and Desert Storm - TC 500 with CC of 52 and 56.
6 = Enduring Freedom and Bosnia - TC 500 with CC 54 and 56.
7 = All 3 - TC 500 with CC 52, 54, 56.
|Computer Condition Code K = Enduring Freedom
Computer Condition Code Z = Desert Storm
|Releasing the Combat Zone Freeze|
|EXAMPLE: Since most cases we are seeing now have a Combat Zone of 1 (means it is set) with a Conflict Code of 4 (Enduring Freedom), we will use an Enduring Freedom case as an example.|
|Step #1: Pull an IMFOLE|
|Step #2: Look for the Combat Zone Indicator:
1 = on - go to Step #3
2 = off - go to Step #9
|Step #3: Look for a TC 500 on IMFOLE with a CC of 56 and note the cycle date.|
|Step #4: Find the tax period where a return posted with this cycle date. Example: If the TC 500 has a cycle date of 200407, its probably a 200312 tax period.|
|Step #5: Pull up an IMFOLT for the 200312 tax period (if the 200312 return did not post 200407 keep looking at other modules for a TC 150 posting with this cycle). Once you find the tax period, go to Step #6.|
|Step #6: Look for a TC 500 posted to the 200312 module. If there is a TC 500 CC 56 posted to the module, it was not a return posting that caused the combat zone freeze. If there is no TC 500 posted go to Step #7. If there is a TC 500 posted go to Step #9.|
|Step #7: Look for a TC 160, TC 170 and TC 270 all for a zero amounts with the same DLN as the return. Look for a CCC K using IMFOLR. This indicates that the taxpayer wrote COMBAT ZONE on his/her return; which can be either a paper return or ELF. Seeing both of these things tells you that this is the module that caused the Combat Zone freeze and that the TP wrote Combat Zone on the return.|
|Step #8: In order to reverse the Combat Zone freeze, you must first post a TC 500 CC 56 to the 200312 module. If the taxpayer was in a Combat Zone you should input the exact date of entry. Note: The entry date must fall within the actual tax period - use the tax period that contains the date of entry. If the taxpayer was never in a Combat Zone, use the current date as the entry date.|
|Step #9: Once the TC 500 CC 56 posts, the Combat Zone freeze can be "turned off"
If the Taxpayer was never in the combat zone, input a TC 502, this will reverse the -C freeze. ONLY USE 502 IF THE TAXPAYER WAS NEVER IN A COMBAT ZONE. Taxpayers in a Combat Zone ARE ENTITLED TO SPECIAL INTEREST AND PENALTIES COMPUTATIONS SO NEVER REVERSE THE FREEZE JUST SO THE CASE CAN BE OPENED.
If the taxpayer was in a Combat Zone, input a TC 500, CC 57 with the date the taxpayer returned from the Combat Zone. An entry and exit date should be obtained from the taxpayer. These are very important as these dates affect interest and penalties. Once the release date is obtained, input a TC 500 with a CC of 57. The transaction date represents the exit date. When the TC 500 with a CC of 57 posts, the -C freeze will remain at Master File. The Combat Zone Code will change to a 2, 180 days after the exit date. Do not input the TC 424 until the Combat Zone Code changes to a 2 or it will unpost.
|The codes are determined by Master File using blocking series, asset values, etc.|
|Specials are caused by Audit Codes being entered by Code and Edit on the returns when they are filed.|
|When a DIF order is input, the computer identifies the returns being requested using the following codes:|
|Codes for Form 1040:|
|R =||No Audit Codes Present|
|S =||Audit Codes are Present|
|T =||NRP Return (Previously called TCMP)|
|Codes for Form 1041 or 1065:|
|A =||Automatic (1041 or 1065)|
|B =||Non-Automatic (1041 or 1065)|
|D =||Form 1065 DIF Scored Return Identified as a Special|
|Code for Form 1066:|
|Codes for Form 1120:|
|A =||1120F (Automatic)|
|B =||1120L (Non-Special)|
|C =||1120PC (Non-Special)|
|D =||1120S (Automatic High Assets)|
|E =||1120/1120A (Special)|
|G =||1120 (Personal Holding Company Low Assets)|
|H =||1120 (Automatic High Asset)|
|I =||1120/1120A (Inactive Low Assets)|
|L =||1120H (Homeowners Associations)|
|M =||1120/1120A (Consol, Final, & Short Init. Per. (DIF)|
|N =||1120L (Special)|
|O =||1120PC (Special)|
|P =||1120S (Special)|
|Q =||1120F (Non-Automatic)|
|R =||1120S (DIF)|
|S =||1120FSC (Automatic)|
|Examined Disposal Codes|
|01||No Change With Adjustments - Applies to no-change examined returns (even if a 30-day letter was issued) if there is an adjustment to the tax base data such as income or deduction items but no change in tax liability or refundable credits; or tax changes fell below the tolerance level in LEM IV. An audit report must accompany the case file. Note: An audit report is not required for most cases closed below the tax tolerance in the Campus TEFRA Function (CTF). An exception will be when the tax changes impact a prior or subsequent tax year (NOL, PAL, etc.), or other adjustment years are above the tax tolerance. Item 41 is required if MFT = 30. The following are examples of no-change with adjustments examinations:|
|a.||Delinquent returns secured by the examiner, accepted as filed and forwarded to the campus for processing. This includes delinquent return pickups that result in a zero tax liability. If the TC 424 posted prior to the posting of the delinquent return, enter the balance due or refund amount, excluding penalties in Item 414. If an SFR has been processed the amounts from the secured return must be input through AIMS therefore DC 01 does not apply.|
|b.||Claims disallowed in full. (Agreed or not agreed)|
|c.||Income tax examination when taxpayers are issued an examination report Form 4549 and Letter 1156 (see IRM 4.10)|
|d.||Flow through entities where no changes are made to the entities reported income, loss, deductions or credits reflected on the return or the owner(s) K-1 and (1) a delinquent return secured by examination, or (2) a balance sheet item is adjusted, or (3) a related return is adjusted as a result of the flow through examination (i.e.- adjustments to basis, at risk, or passive activity rules, taxable loan repayments or distributions, or adjustments to include the amount reported to the owners K-1).|
|e.||Estate or gift tax cases when offsetting adjustments result in no change in tax liability. This includes gift tax cases when Letter 942 (C) is issued to taxpayers (see IRM 4.10).|
|f.||Excise, trusts and estates, or employment tax cases when offsetting adjustments to tax base data and/or credits result in no change in tax liability.|
|g||Disqualified 1120 DISC(obsolete) / IC-DISC election.|
|h||Non-TEFRA (nontaxable) Flow through Entities. No Change with Adjustments - should be utilized when no changes are made to
the entity's ordinary income or loss or separately stated items reflected on the return or Schedule K-1 and an owners return
is adjusted as a result of the flow through examination. The would include:
adjustments to basis, at-risk, or passive activity rules:
taxable loan repayments;
adjusting the owners return to match the K-1 flow through amount(s).
|02||No Change applies to examinations which do not necessitate the issuance of a report (other than the no-change report subject to area director's approval). This disposal code would also apply to changes only affecting the balance sheet, including constructive dividend issues, and any other related return pick ups where there were no tax liability adjustments to this return. Item 41 is required if MFT = 30. Block 405-408 of Form 5344 should be completed as appropriate.|
|a.||Taxable returns - there were no adjustments or no changes in tax liability for this return to: Tax, penalties, or refundable credits. This disposal code would also apply to changes only affecting the balance sheet, including constructive dividend issues, and any other related return pick ups where there were no tax liability adjustments to this return. Item 41 is required if MFT = 30. Block 405 & 408 of Form 5344 should be completed as appropriate.|
|b.||Flow through entities - no exam changes are made to the entities reported income, loss, deductions or credits reflected on the return or Schedule(s) K-1. (See DC 01 where adjustments are made to a related return.) Only applies to TEFRA returns closed within 45 calendar days (including weekends and holidays) from the date the NBAP is issued to the TMP.|
|c.||Non-TEFRA (nontaxable) Flow through Entities should be utilized when the examination results in no changes to the entity or any owner. This would also be appropriate if you make adjustments to one of the owners returns as a result of compliance checks which are not related to the entity examination.|
|d||Not valid with an amount claimed on the base.|
|03||Agreed—Applies only to returns if an agreement is received prior to the issuance of a 30-day or 60-day letter. EGC's 5XXX will not use DC 03 for agreements as their first contact with the TP is the 30-day letter.|
|Also applies to claims allowed in full and agreed claims partially allowed.|
|Tax Compliance Officers: ALL agreed income tax cases closing from office examination will use Disposal Code 03 regardless of whether a Letter 915, Letter to Transmit Examination Report has been issued.|
|Non-TEFRA (nontaxable) Flow through Entities: Applies to an agreed case if an agreement is obtained from all owners. If all signatures are received from the owners, you can close the case indicating on the entity report that agreement has been obtained from the owners.|
|04||Agreed - Applies only to returns if an agreement is received after the issuance of a 30-day or 60-day letter. Valid for partial assessment.|
|Non-TEFRA (nontaxable) Flow Through Entities|
|Applies to an agreed case if an agreement is obtained from all owners. If all signatures are received from the owners, you can close the case indicating on the entity report that agreement has been obtained from the owners.|
|Used for 1998 and subsequent TEFRA agreed cases (with or without penalties).|
|07||Appealed - Returns closed to Appeals before issuance of a 90-day letter, FPAA or FSAA.|
|08||Other (08 is included in the Agreed part of the AIMS tables). NOTE: Disposal Code 08 is used on the Form 5344 generated by RGS on cases that are being closed out of the group as unagreed for the issuance of a stat notice. Technical Services requests that the groups use DC 08 for cases forwarded to Technical Services for the issuance of a stat notice. Technical Services will update the disposal to the correct code upon final closure.|
|Taxable Income Tax Returns|
|unagreed claims partially allowed|
|Form 906 agreement|
|partial assessment of employee share of FICA|
|any other manner of closing after issuance of a 30-day or 60-day letter.|
|TEFRA: Used for 1997 and prior TEFRA agreed cases (with or without penalties). Also used for AARs and stipulated decisions.|
|It is no longer necessary to use DC 08 on SFR closures. Use applicable disposal code. If an agreed disposal code is used, AIMS will not send the agreement date to Master File therefore the interest and penalties will be computed correctly.|
|Non-Income Tax Returns (MFT 01, 03, 10, etc.)|
|Use when the taxpayer did not sign a report or request an Appeals conference.|
|Non-Taxable Income Tax Returns (Forms 1041, 1065 or 1120S)|
|Use when the taxpayer did not sign a report or request an Appeals conference.|
|09||Agreed-Applies only to returns if an agreement is received after the issuance of a 90-day, FPAA or FSAA letter. This includes an agreed Form 4549 if it is received AFTER the issuance of the 90-day letter. Not valid with MFT 01, 04, 09-12, 17-19, 71, 72, or 80. Valid for partial assessment.|
|10||Default - Applies only to returns if the taxpayer fails to file a petition or sign an agreement after the issuance of a 90-day letter, FPAA or FSAA. Not valid with MFT 01, 04, 09-12, 17-19, 71, 72, or 80. Valid for partial assessment.|
|11||Petitioned - Applies only to returns if the taxpayer petitions tax court after the issuance of a 90-day letter, FPAA or FSAA. Not valid with MFT 01, 04, 09-12, 17-19, 71, 72, or 80.|
|12||Other—Applies to any other manner of closing not identified above, such as:|
|Direct transfers to Justice Department for settlement|
|Interest only or penalty only cases. Enter $1 in Item 35|
|Barred assessments. Enter $1 in Item 35.|
|Audit reconsiderations if a new AIMS base was opened and the exam resulted in no change from the original examination. See IRM 220.127.116.11.|
|Valid for partial assessments|
|Offsetting assessments which result in zero tax. Enter $1 in Item 35.|
|Transferee/Transferor Dummy (-D) accounts being protested to Appeals.|
|Use when a return is forwarded to Technical Services for fraud suspense.|
|13||Undeliverable 90-day letter, FPAA or FSAA - Applies to returns closed after the issuance of the 90-day letter, FPAA or FSAA, if the above letter is returned as undeliverable. Valid for partial assessment.|
|Non-Examined Disposal Codes|
|20||Accepted as Filed by Classification-All returns (other than DIF) accepted on manual classification. Also includes returns that were surveyed before classification. Not valid if source code is 02, 05, 10 or 12. If the current status code is 57 and the prior status is greater than 06 (excluding 51) DC 21 will be blocked. If the current status code is greater than 06 (excluding 57) DC 21 will be blocked. Cannot be used if an "Claim Amount" is on the data base.|
|21||Accepted as Filed by Classification—DIF returns accepted during screening process on which questionable items are adequately substantiated or explained by schedules or attachments to the return or other specific reason. Also includes returns that were surveyed before classification. If the current status code is 57 and the prior status is greater than 06 (excluding 51) DC 21 will be blocked. If the current status code is greater than 06 (excluding 57) DC 21 will be blocked Cannot be used if an "Claim Amount" is on the data base.|
|22||Accepted as Filed by Classification—DIF returns accepted during screening process because the prior year examinations resulted in no change in tax liability and the current year return appears to have no tax potential. If the current status code is 57 and the prior status is greater than 06 (excluding 51) DC 21 will be blocked. If the current status code is greater than 06 (excluding 57) DC 22 will be blocked. Cannot be used if a "Claim Amount" is on the data base.|
|23||Accepted as Filed by Classification during the screening process using MACS (Midwest Automated Compliance System). Computer generated using ADDAPT, CDE or MACS. Only valid for returns NOT on AIMS.|
|24||Accepted as Filed by Classification during the screening process using ADDAPT (Alternative DIF Delivery and Planning Tool). Computer generated using ADDAPT, CDE or MACS. Only valid for returns NOT on AIMS.|
|25||Accepted as Filed by Classification - DIF returns accepted during screening process for referral to a state under Federal-State exchange program. For Use by Classification Only (i.e., Valid with status code less than 08, or status code 57). Cannot be used if a "Claim Amount" is on the data base.|
|28||Non-Master File Closings - This code is used to close an account which was established on AIMS Non-Master File for temporary control purposes. This disposal code does not reverse TC 420 or 424 at Master File. Cannot be used if a "amount claimed" is on the data base.|
|29||Missing Return - Cannot be used if an "amount claimed"
is on the data base.
For campus: used to indicate a DIF or other bulk ordered return was not located by the Files Unit.
For Area Office: used when a return was not located by the Files Unit.
|30||Transfers Out of Area - This code is used to transfer a return to another Area Office/campus location.|
|31||Survey Before Assignment by PSP or group - A return selected for examination is considered as surveyed before assignment, if it is disposed of without contact with taxpayers, or their representatives, and before assignment to an examiner. No status code restrictions. Cannot be used if a "Claim Amount" is on the data base.|
|32||Survey After Assignment - A return shall be reported as a survey after assignment if the examiner, after consideration of the return and without contact with taxpayers, or their representatives, and believes that an examination of the return would result in no material change in tax liability. No status code restriction. Cannot be used if a "Claim Amount" is on the data base.|
|33||Error Accounts with No Returns - Used to remove records from the AIMS data base that were established in error. Example: wrong tax period established. Cannot be used if a "Claim Amount" is on the data base. No status code restrictions.|
|34||Surveyed Claims - Allows overassessment without examination. An amount claimed must be present on the data base. (Not valid if Source Code is 31). DC cases are not included in the examined or non-examined A-CIS data base.|
|35||Surveyed - Excess Inventory - Return has audit potential but time prohibits starting the examination. Valid with Status Codes 07, 08 and 57. Cannot be used if a "Claim Amount" is on the data base.|
|36||No return filed - taxpayer not liable/little or no tax due or P5-133. Also use if limited resources are available. Generates a TC 590 (which means TP not liable this period) with a CC 52 IMF and CC 50 BMF. Cannot be used if a "Claim Amount" is on the data base.|
|37||Taxpayer previously filed. Generates a TC 594 CC 58. Cannot be used if a "Claim Amount" is on the data base.|
|38||No return filed- taxpayer previously filed with spouse on joint return. Generates TC 594 CC 59. Cannot be used if an "Claim Amount " is on the data base.|
|39||No return filed - taxpayer is no longer liable for the filing of a return. Generates TC 591 (which means TP is no longer liable and closes the filing requirement) with a CC 50. Cannot be used if a "Claim Amount" is on the data base.|
|40||No return filed - Unable to locate taxpayer. Generates TC 593 CC 57. Cannot be used if a "Claim Amount" is on the data base.|
|41||No return filed - Taxpayer due a refund. Generates TC 590 CC 53 which means TP is due refund. Cannot be used if a "Claim Amount" is on the data base.|
|42||Return filed - Unable to locate taxpayer. Does not generate TC 59X. Cannot be used if a "Claim Amount" is on the data base.|
|45||Reference and Information Returns - Valid only if Source Code is 45. Cannot be used if a "Claim Amount" is on the data base.|
|Special Disposal Codes|
|05||Closed agreed after 30-day letter with a conference. No longer valid.|
|06||Protested after conference. No longer valid|
|15||This disposal code only appears on IMFOLZ and on the Form 5546, Examination Return Charge-Out in the prior audit section. DC 15 is used when more than one Doc Code 47 disposal code is present for the same MFT and tax period in the Audit History Record at Master File. Example: Exam assesses a TC 300 DC 03 as a partial; the final closure has an additional assessment with a DC 10.|
|16||This disposal code only appears on IMFOLZ and on the Form 5546, Examination Return Charge-Out in the prior audit section. DC 16 is used when more than a Doc Code 47 and a Doc Code 51 disposal code is present for the same MFT and tax period in the Audit History Record at Master File. Example: Exam assesses a TC 300 DC 03 as a manual assessment; the final closure has an additional assessment with a DC 10. Master File will display DC 16 since more than one disposal code is present.|
|17||Examination results were obtained from Audit History section of Master File (examination results shown may be inaccurate).|
|18||Examination results and/or disposal code may be inaccurate because of computer processing failures. To determine the true disposal code, review the disposal code displayed on BMFOLA/IMFOLA/TXMODA.|
|99||Other - Only to be used for:|
|a.||Information report returns accepted by PSP Support Manager or Examination Operations in the campus. (Valid with Source Code 60 only)|
|b.||The establishment of a linkage on PCS. You can identify these records if there is a TC 421 with DC 99 and a TC 424 with the same DLN present on Master File.|
|c.||Cannot be used if a "Claim Amount" is on the data base.|
Following are nationally defined EGC's. These EGC's must only be used for cases that meet the descriptions below
|1XXX||Revenue Agent Returns|
|1000-1099||Revenue Agent Cases Physically in the Campus|
|1000||DIF Returns are opened in this EGC (not valid with status codes 10 or 12)|
|1020||CF&S Missing Returns|
|1030||Receipt of DIF Return|
|1066||CF&S - Field Audit|
|1067||CF&S - Field Audit|
|1068||CF&S - Field Audit|
|1069||SB/SE Case building (Only valid in the campus)|
|1076||CF&S (Shows up on CF&S Reports in 1066)|
|1077||CF&S (Shows up on CF&S Reports in 1067)|
|1078||CF&S (Shows up on CF&S Reports in 1068)|
|1093||Audit Reconsideration case building group in the Campus for returns that will be sent to the Area Office.|
|1095||LMSB - In transit from SOI|
|1099||PBC 20X through 214 and 3XX MeF Returns DIF openings|
|1100-1849||Cases Physically in the Area Office - Group|
|1850-1999||Cases Physically in the Area Office - PSP|
|1988||Use when sending cases to area office PSP|
|1993||Audit Reconsiderations in transit to Area|
|1995||LMSB Status Code 06 Inventory|
|1997||All transfers TO a PBC 3XX (invalid with status codes 10 or 12).|
|1998||Non-LMSB Transfers (not valid with status codes 10 or 12)|
|2XXX||Tax Compliance Officer (TCO) Cases|
|2000-2099||TCO Cases Physically in the Campus|
|2100-2849||TCO Cases Physically in the Area Office - Groups|
|2000||DIF Returns and Automatics are opened in this EGC. Not valid with Status Codes 10 or 12 or AC 219, 221, 223, 226-231.|
|2020||CF&S - Missing Returns|
|2030||Receipt of DIF return|
|2050||CF&S - TCO Returns|
|2066||CF&S - TCO Returns|
|2069||SB/SE Case building (only valid in the campus)|
|2093||Audit Reconsideration case building group in the campus for returns that will be sent to the area.|
|2100-2849||TCO cases physically in the group|
|2850-2999||TCO cases Physically in the Area Office - PSP|
|2988||Use when sending cases to area office PSP|
|2993||Audit Reconsiderations in transit to Area|
|2997||DIF CORR IRS Employee Return Cases diverted to open in Area Office|
|2998||Non-LMSB Transfers (Not valid with Status Codes 10 or 12).|
|5005||EITC Duplicate TIN Claims|
|5014||Dependent Data Base|
|5033||Corr Exam with Bankruptcy Indicator|
|5099||PBC 19X and 29X MeF DIF Returns|
|5189||CDE W&I Campus|
|5289||CDE SB/SE Campus|
|5400-5499||Non-TEFRA Suspense Cases (Status Code 33 Only)|
|5417||Computer generated when a PBC of 295, or 398 is input and the PICF code is 2, 6, or 8.|
|5419-5499||Non-TEFRA Suspense Cases (Status Code 33 Only)|
|5500||Campus Fraud Program|
|5501-5530||High DIF Fast Track Initiative|
|5598||Computer generated when a data base is transferred from a non- X9X PBC to a Campus PBC (X9X).|
|5599||Schedule C Investors|
|5600-5606||Kansas City SC Only - Pre-refund Program|
|5607||Kansas City SC Only - Exam Certification with Bankruptcy Ind.|
|5608-5699||Kansas City SC Only - Pre-refund Program|
|5700-5799||Cases Physically in the CTF Unit|
|5710-5716||PSC Related Inventory (Effective 1/1/2009)|
|5717||Transfers into PBC 295 or 398 if AIMS Freeze Code = 6 (Effective 1/1/2009)|
|5718-5719||PCS Related Inventory (Effective 1/1/2009)|
|5800-5816||TEFRA (Status Code 34 Only)|
|5817||Computer generated when a PBC of 295 or 398 is input and the PICF code is 1, 3, 5 or 7.|
|5818-5899||TEFRA (Status Code 34 Only)|
|6XXX||A-CIS displays EGC 1XXX or 2XXX cases with an Aging Reason Code of 50 as 6XXX.|
|9XXX||A-CIS displays EGC 2XXX cases with an Aging Reason Code of 99 as 9XXX.|
|Numerical by Form Number|
|Form Number||MFT Code||NMFT Code||Activity Code|
|709||51||54||434, 435, 436, 437, 438, 439|
|943 series except PR||11||19||467
|990||67||67||TE/GE=321, 327, 328, 339-345, 347-351, 354, 355, 358, 360, 361, 363-366, 369, 371-378, 381, 382, 398, 399|
|990T||34||34||TE/GE=305, 311, 385-394|
|1040 series except||30||20||270-281|
|1041||05||21||495, 496, 497, 498|
|1065 (non-taxable)||06||35|| 480-483
TE / GE
|1120 series except||02||32||203, 209, 213, 215, 217, 219, 221, 223, 226-230, 231 (only valid for MF openings) TE/GE=338, 395, 396|
|1120F||02||32||259, 263, 265|
|1120L||02||32||Same as 1120|
|1120M||02||32||338, 395, 396 (TE/GE Only)|
|1120ND||02||N/A||Same as 1120|
|1120PC||02||N/A||Same as 1120|
|1120PL||02||32||338, 395, 396 (TE/GE Only)|
|1120POL||02||N/A||Same as 1120|
|1120REIT||02||N/A||Same as 1120|
|1120RIC||02||N/A||Same as 1120|
|1120SF||02||N/A||Same as 1120|
|8804||08 valid 1/2009||08||488|
|8849||N/A||87||099 (001-199 Effective 1/2009)|
|Numerical by MFT Code|
|MFT Code||NMFT Code||Form Number||Activity Code|
|02||1120 Series except::||202203, 209, 213, 215, 217, 219, 221, 223, 226, 227, 228, 229, 230, (231-only valid for openings) 241, 259, 263, 265, TE/GE=338, 39596|
|02||1120F||259, 263, 265|
|02||1120M||TE/GE=338, 395, 396|
|08 Valid on MF-AIMS 1/2009||08||8804||488|
|13||Penalty Only - Not valid on AIMS|
|16||16 (effective 1/2009)||945||463|
|17||941||353 (TE/GE Only), 465|
|30||1040 Series||47172, 530541|
|32||1120||203, 209, 213225 (Odd numbers only),|
|32||1120F||259, 263, 265|
|32||1120PL||TE/GE=338, 395, 396|
|33||33||990C||490 - 493|
|35||1065 (non-taxable)|| 480483
|44||44||990PF||TE/GE=305, 311, 385-394|
|51||709, 709A||434 - 439|
|52||53||706, 706A, 706NA||414 - 420|
|54||709||434 - 439|
|87||8849||099 (001-199 Effective 1/09)|
|010||Related Investor Return Controlled on PCS|
|If a TC 150 is not posted to the module, the CP 87/187 will generate the same cycle as the TC 424 if a Push Code 010 is used. One copy of the CP notice resulting from Push Code 010 is routed to the related return area as notification that no return has been processed. One copy is sent to the principal entity area.|
|019||Automatic Return Classification Request|
|021||Non-filer: To establish a skeletal record (SFR will not be generated)|
|023||CAP Cases - Compliance Assurance Process (LMSB only)|
|025||Inadequate Records Notice|
|026||Code Section 183 Issues|
|030||Investment Credit Carryovers|
|031||Capital Loss Carryovers|
|034||Pers Res/Cap of Property|
|036||Non-filer - will computer generate a substitute for return TC 150 at Master File two cycles after input. Can delete using AM424D 30 days after input.|
|037||Potential CID Referral/Non-filer (Should rarely be used as CI approved posting of the SFR TC 150).|
|038||Audit Issue Message 038|
|039||Audit Issue Message 039 Use push code 039 for intercept file subsequent year unfiled returns. When the return is filed, it will be associated with Form 5346, Examination Information Report. EGC 1000 or 2000 must be used with this push code.|
|040||Memo, Rulings, etc. on specific case.|
|041||Current Return Pick-Up|
|049||Joint Investigation This code is used to establish AIMS control of returns with a 91X freeze. CI's approval should be secured before establishing the case on AIMS. A Push Code 049 will bypass the CI unpostable check. The return may not be closed as an examined closing or surveyed claim until the freeze is reversed. The return may, however, be closed as non-examined or protested to Appeals before the 91X freeze is reversed. Effective 1/1/2005, this Push Code can be used even though there is no TC 150 posted.|
|121||Pre-filing Notification (BMF only) This code is used for BMF accounts only, by the Tax Shelter Pre-filing Notification Program. This code freezes refunds and generates subsequent year returns to Examination.|
|Requesting Reference Returns|
|(1) The examiner must enter a brief reason for the request in the Reason For Request Box on Form 5345, or on Form 5354 in Item 23.|
|(2) Generally, a case should not remain in Source Code 45 for more than 30 days from the date the return is received in the group. The information needed from the return should be secured as soon as possible, and the return closed off of AIMS using the non-examined Disposal Code 45. Management approval must be obtained before Source Code 45 returns can be examined. If it is determined that the return is to be examined, the source code must be updated to the appropriate source code. Source Code 45 returns cannot be transferred or closed using an examined disposal code.|
|(3) Exception: Cases under jurisdiction of the Office of the Chief Counsel or the Department of Justice. Unless the subsequent period(s) involve issues that make an immediate examination compelling, the returns should be placed into Fraud Suspense. The status code should be updated to 32 and the source code will remain 45.|
|Request to Examine|
|(1) The examiner will request approval to examine the return using Form 5349, with a copy of original Form 5345 or 5354. The examiner will indicate the reason for examining the return by entering a new appropriate source code on Form 5349. The manager will indicate permission to initiate the examination by initialing and entering the date on the Approved By/Date line of Form 5345 or 5354 in Item 25 and Form 5349.|
|(2) Form 5349 will be forwarded for processing and the copy of Form 5345 or 5354 returned to the examiner to attach to the return as a permanent record.|
|Closing Reference Returns|
|(1) A photocopy of the approved request must be attached to the return as a permanent record.|
|Examined: SC 45 returns cannot be closed as examined - update to applicable source code.|
|Disposal Code 45 to close reference returns that have not been started or examined. Use Disposal Code 45 if there is an original return or electronic print.|
|*Disposal Code 28, to close Non-Master File AIMS.|
|*Disposal Code 29 if the return was not received.|
|*Use of these disposal codes must be approved by the AIMS Coordinator-AIMS/ERCS Analyst.|
Modules are removed from the Master File and added to the Retention Register when certain conditions are met. See Retention Register for more information. Attempting to requisition a return on AIMS that has been moved to retention will delay getting a full AIMS base. To reduce the delay, the account must brought back to active status before the requisition is input. Before requisitioning a return on AIMS/ERCS:
See if the MFT and Tax Period are displayed on CC IMFOLI/BMFOLI without an R to the left of the MFT. If it is, the account is not on retention and you can requisition the return on AIMS/ERCS.
See if the MFT and Tax Period are displayed on CC IMFOLI/BMFOLI with an R to the left of the MFT. If it is, input CC IMFOLB/BMFOLB to bring the account back to active status. A message stating that the account will be brought back within 1 or 2 minutes will appear (actually it's 1 or 2 seconds). If this message does not appear it will be the next Monday before the account will be brought back. Always check to ensure the account is active before you requisition the return.
See if the MFT and Tax Period are displayed on CC IMFOLV/BMFOLV. If the MFT and Tax Period are displayed and the REMOVED cycle is:
after 2001, input CC IMFOLB/BMFOLB to bring the account back to active status. When account is active, requisition the return on AIMS.
prior to 2002, the account cannot be brought back to active status systemically. Use the following instructions which are also found in IRM 3.17.243, Credit and Account Transfers.
Obtain a Retention Register transcript of the module to be reinstated.
Review CC ENMOD/INOLE to determine the name line year for the taxpayer. The name line year appears directly to the left of the first name line.
Compare the Retention Register transcript with the information on CC ENMOD/INOLE.
If the name line year is subsequent to the year being reinstated, you must establish the name line for the year being reinstated (Use CC ENREQ, see IRM 2.4.9.
If the MFR is 08, reestablish the filing requirement before reactivating the account. Care should be taken to delete the filing requirements once the adjustment has been completed if the taxpayer is no longer required to file a return.
If more than one tax period is being reinstated and the name lines are the same, input the name line on IDRS for the oldest year.
If more than one tax period is to be reinstated but the name lines are not the same, input a name line on IDRS for each year being reinstated.
Prepare a Form 5248 to request the transfer-in of the deleted module on retention.
Forward the Form 5248 and the retention register transcript to the Accounting function. Accounting will return a copy of the Transfer Request document indicating the cycle the module will be reinstated. Based on this information, cycle your transaction for processing. The AIMS AM424 request will automatically recycle. See Retention Register Indicator for more information on this process.
|Sort Code||Form No.||Description|
|00||1040||Follow-up Request - Return Only|
|01||All Forms||TC 424 Request|
|04||1040||Regular NRP Returns|
|05||1040||Suppressed NRP Returns|
|06||1040||Examination Selection Codes Other than A, E, F, G, N, R, S or U (including SET)|
|07||1040||Automatic Returns with Examination Selection Code A, R, or S|
|08||1040||New Employee Examination|
|09||1040||Regular DIF Selection|
|11||1040||"P" or "S" Examination Selection Code|
|13||1040||"R" or "T" Examination Selection Code|
|15||1040||"E" , "F" or "G" Examination Selection Code|
|17||1040||"U" Examination Selection Codes|
|19||1040||"N" Examination Selection Codes|
|22||1040||Married Filing Separately|
|31||1120||Regular DIF Selection|
|33||1120||1120 NRP Returns|
|35||720||Regular Examination Selection|
|36||1041||NRP Examination Selection|
|37||1041||Regular Examination Selection|
|43||1065||1065 NRP Returns|
|44||940||940 Certification Discrepancy|
|76||All Forms||Math Error Abatement|
|90||All Forms||Unverified Assessments|
|000||All returns with an Audit Information Indicator of B and J (Return in Transit) . Sorted in DLN order.|
|080||EGC 5XXX returns with an Audit Information Indicator of C, E, F, C, I, M, Q, and V (No Return Requested) . Sorted in TIN order.|
|120||EGC's other than 5XXX with an Audit Information Indicator of: C, E, F, G, I, M Q, and V (No Return Requested) . Sorted in the following order: Area Office, EGC, random|
|140||Return in Transit|
|160||IMF returns with Audit Information Indicator of: A, D, H, K, L, and P. Sorted in DLN order.|
|200||All other returns with Audit Information Indicator of: A, D, H, K, L, and P. Sorted in DLN order.|
|01||Automatics Computer identified returns, automatics (BMF) and tax shelter automatics (IMF).|
|NOTE:||If a source code 01 return is being assigned to a group because the group is controlling a prior or subsequent year, the case must be updated from 01 to a "related" source code if the return will be examined as part of the package audit (no later than when the case is updated to status code 12). If the source code 01 return is going to be surveyed, the source code does not need to be updated.|
|Returns related to Source Code 01 must be classified as Non-DIF related.|
|AIMS will not allow you to update out of Source Code 01 until the status code is greater than 07.|
|AIMS will allow you to update back to a source code 01 if the opening source code displayed on the AMDISA is 01.|
|02||DIF (Discriminate Function) DIF scored (also see SC 20 with Project Code 0158)|
|NOTE:||If a source code 02 return is being assigned to a group because the group is controlling a prior or subsequent year, the case must be updated from 02 to a "related" source code if the return will be examined as part of the package audit (no later than when the case is updated to status code 12). If the source code 02 return is going to be surveyed, the source code does not need to be updated.|
|AIMS will allow you to update back to a source code 02 if the opening source code displayed on the AMDISA is 02.|
|05||Filed returns related to a primary DIF return (source code 02) or DIF equivalent return (source code 20 with project code 0158).|
|INCLUDES||Different entities and MFT's.|
|EXCLUDES||Prior and subsequent year pickups that fall under Source Code 10.|
|10||Filed prior and/or subsequent year pickups related to a primary DIF return (source code 02) or to a DIF equivalent return (source code 20 with Project Code 0158).|
|INCLUDES||Returns shipped because the prior or subsequent year return is controlled by area - must update to 10 when it is determined that the related return will be examined - no later than when case is updated to status code 12.|
|11||Studies, Tests, and Research Projects initiated by Headquarters.|
|NOTE||SB/SE - Studies, Tests, and Research Projects initiated by Headquarters. Project Code Required|
|LMSB - CAP Cases Tracking Code 3033 Required|
|12||Nonfiled Delinquent Return or SFR related to a primary DIF return (source code 02) or DIF equivalent return (source code 20 with Project Code 0158)|
|INCLUDES||All pickups of a nonfiled delinquent return, or substitute for return, whether multiple years or returns related to the taxpayer under examination, including delinquent employment tax and excise tax returns resulting from package Examination coverage, or transactionally related returns.|
|17||Tax Shelter Program|
|INCLUDES||All returns selected for examination of a tax shelter issue and included in the Tax Shelter Program.|
|NOTE||Project code required.|
|EXCLUDES||Related returns held pending the completion of a Tax Shelter Program Case (See source code 39)|
|20||Regular Classification—Returns identified under a manual classification program, CDE or MACS (other than CIP's.)|
|INCLUDES:||Examinations initiated by reason of bankruptcy or receivership proceedings other than prompt determination requests (see source code 73), and returns selected for the UIDIF Program.|
|Manual Classification of Employment Tax Returns|
|Amended nontaxable returns other than AAR's. (see source code 35)|
|NOTE:||DIF equivalent returns (i.e. source code 20 with project code 0158) are categorized as DIF so returns related to them should have a DIF related source code.|
|UIDIF and DIF CORR cases are NOT categorized as DIF equivalents so returns related to source code 20 UIDIF or to source code 06 DIF CORR should have non-DIF related source codes in the areas.|
|Source code 20 is only valid if opened with a status code 06 (effective 7/2008 status code 08 is valid for a CDE opening).|
|24||Nonfiler Program - Nonfiler Local Sourced Work|
|INCLUDES||Any taxpayer with an unfiled tax return that is not related to an examination. CIP's of non-filed returns falls under this category.|
|EXCLUDES||Pickups related to a taxpayer under examination.|
|NOTE: 201-207 and 315||Area Offices (PBC 201-207 and 315) should rarely use Source Code 24 as most of the Area Office work is either related to an ongoing exam or a non-filer initiative supplied by a Memphis.|
|Project Code required|
|NOTE: 212-214||Project code or tracking code not required|
|NOTE 301-306||Project code or tracking code not required|
|25||Non-Filer Strategic Initiative - High Income Non-Filer|
|NOTE:||Do not update from 25 to another source code or to 25 from another source code.|
|If multiple nonfiler tax periods are being opened, use the earliest tax period as the primary or key case if it is not apparent which case is the primary case as only one tax period should be SC 25. The others will be source code 44.|
|30||Claims for Refund/Abatement-Returns selected before refunds/abatements are scheduled (also see source code 73)..|
|INCLUDES:||Amended taxable Forms 1041, 1065 and 1120S|
|Claims on contributions to retirement and disability funds|
|EXCLUDES:||Audit reconsideration cases - use original source code if still on AIMS or Source Code 73 with an Aging Reason Code of 53 if a new AIMS base must be established.|
|Amended nontaxable Forms 1041, 1065 and 1120S - see source code 20.|
|31||Paid Claims for Refund - Use for claims that are selected for examination after the IRS refunds the money to the taxpayer.|
|NOTE:||If this source code is applicable, the Revenue Base Protection Section is not applicable - leave fields blank.|
|INCLUDES||Returns with Forms 1045 or 1139 selected after perusal of the net operating loss or investment credit year and the tentative allowance.|
|35||Administrative Adjustment Requests (AAR's) used to identify key case examinations of TEFRA flow-through entity returns that are caused by the filing of an amended return by the TEFRA entity.|
|39||Tax Shelter Program - Related Pick-up with a Different TIN or Different MFT filed or non-filed.|
|INCLUDES||The pick-up of returns of partners, grantors, beneficiaries, and shareholders who are affected by the examination of partnership, fiduciary and S-corporation returns included in the Tax Shelter Program.|
|NOTE||Project code required.|
|40||Filed prior and/or subsequent tax periods pickups where the primary return was Non-DIF selected.|
|INCLUDES||All pickups of a filed return with the same TIN and MFT as the primary return, where the primary return was NON-DIF selected.|
|Returns shipped because the prior or subsequent year return is controlled by area - must update to 40 when it is determined that the related return will be examined - no later than when case is updated to status code 12.|
|For LMSB this includes cases that were established in SC 01 and were sent to the group because the group had prior or subsequent return. May need to be updated back to SC 01 if return is subsequently identified as the primary return in a separate cycle.|
|44||Non-filed Delinquent Return or SFR's|
|INCLUDES||All pickups of a nonfiled delinquent return, or substitute for return, whether multiple years or returns related to the taxpayer under examination, including transactionally related returns.|
|Delinquent employment tax and excise tax returns resulting from package Examination coverage.|
|For returns related to the Tax Shelter Program, only prior or subsequent year nonfiled returns are included (Pickup of a nonfiled return with the same TIN and same MFT as the SC 17 key return).|
|EXCLUDES||Tax Shelter related pickups - see source code 39.|
|Delinquent returns filed before AIMS/ERCS controls established.|
|45||Reference and Information|
|INCLUDES||Returns requested for reference or information purposes only.|
|EXCLUDES||OIC doubt as to liability cases - use source code 73|
|NOTE||Returns must be updated out of source code 45 within 30 days of receipt or return.|
|See IRM 18.104.22.168.2.1|
|46||Employee Returns - Returns opened because the taxpayer is an employee (See IRM 4.2.6)|
|INCLUDES||Executive Selection - requires Project Code 0206|
|New Employee Examinations - requires Project Code 0389|
|Special projects to address identified employee compliance problems|
|Treasury mandate audits (TIGTA) - requires Project Code 0207|
|EXCLUDES||Examinations of IRS employees returns where the source of the audit is not due to the taxpayer being an employee.|
|Pickup of related returns - use appropriate non-DIF related source code making sure the IRS employee project code or tracking code 7569 is present.|
|49||Preparer of Returns - Returns selected because of questionable tax practitioners.|
|NOTE||Source Code 49 should be used on the primary return, appropriate related return source code on the related returns - use aging reason code 49 on all returns to identify that they are part of a Return Preparer Project.|
|Project code and tracking code required on primary and all pickups.|
|50||Filed returns - Other|
|INCLUDES||Filed returns related to a taxpayer under examination where the primary return was Non-DIF selected.|
|Returns shipped because the prior or subsequent year return is controlled by area - must update to 50 when it is determined that the related return will be examined - no later than when case is updated to status code 12.|
|EXCLUDES||Prior and subsequent tax period pickups that fall under Source Code 40|
|Tax Shelter related pickups - see source code 39.|
|60||Information Report - Returns identified because of an Examination Information Report outside of or within the area.|
|INCLUDES||Inadequate record cases which are a follow-up to Letter 978 and Letter 979.|
|NOTE||Form 5346 is used to requisition the AIMS/ERCS base - see form for additional instructions.|
|62||Compliance Initiative Projects — use for all compliance initiative projects of filed returns.|
|INCLUDES||Returns selected by MACS for CIP's.|
|EXCLUDES||Non-Filed Returns - see Source code 24|
|NOTE||Project Code Required|
|Only use SC 62 on one tax period even if the CIP's are different. Use Non-DIF related for the other returns.|
|64||Filed returns related to Forms 1065, 1041 and 1120S|
|INCLUDES||This includes the pick-up of returns of partners grantors, beneficiaries, and shareholders who are affected by the examination of partnership, fiduciary, or S-corporation returns.|
|This includes returns located in the area or campuses that are related to a return that is not included in the Tax Shelter Program.|
|EXCLUDES||Tax Shelter returns - see Tax Shelter Category Source Codes|
|INCLUDES||Other Agency Requests|
|EXCLUDES||Referrals of related cases, even if from another Exam group|
|71||Specialist Referral Program http://srs.web.irs.gov/Default.asp|
|NOTE||PBC 212-214 Only|
|72||Related to Specialist Referral Program Referral|
|NOTE||PBC 212-214 Only|
|73||Taxpayer Requests (see IRM 4.1.4 - Examination initiated at the request of taxpayer).|
|INCLUDES||Audit Reconsideration cases if no longer on AIMS. Aging reason code 53 required.|
|IRC 6501(d) - Request for Prompt Assessment and Code Section 6012(b) Request for Prompt Determination.|
|Taxable Form 1040X or 1120X and any return (Forms 1040X, 1120X and 843, etc.) selected after the refund is scheduled.|
|Offer in Compromise (OIC) Doubt as to Liability http://www.irs.gov/pub/foia/ig/sbse/sbse-04-1207-061.pdf|
|NOTE: OIC requires Project Code 0264|
|EXCLUDES||Cases already on AIMS - use current source code and update AIMS/ERCS with an aging reason code 53.|
|Examinations initiated from various state sources, generally under the various exchange programs.|
|INCLUDES||Current - all cycles and all phases of NRP identified returns.|
|EXCLUDES||Related returns - see source code 91|
|NOTE||NRP - 1120S Phase II requires a project code|
|85||IRP—Information Document Match — use for all IRP information document matches. Use Non-DIF related source codes for any pickups.|
|88||Special Enforcement (SEP Program)|
|INCLUDES||Pickup of any return that is part of the SEP program. All related pickups must have an aging reason code of 88.|
|INCLUDES||Pick-up of any return for a joint examination with Criminal Investigation or for the purpose of referring such returns to the Criminal Investigation.|
|EXCLUDES||Returns that were already open on AIMS with another source code, should not be updated to 90. A fraud project code should be used to identify the case.|
|Cases returned to Examination with no recommendation of fraud penalty must be changed to Source Code 70|
|91||NRP - Related Returns|
|INCLUDES||Returns related to a NRP return under source code 80 above, all cycles and all phases, including nonfilers..|
|99||Control of Penalty Investigations and Non-AIMS DET Items - Source code 99 is automatically set by ERCS when the user enters the activity code through the Request Tax Return option or when the user enters the MFT through the Input Time and Leave option. This is the only valid source code for these records and should not be changed to another code or the time charges will reject in SETTS validation.|
|NOTE||P9, Information Return Penalty, can have source code 99, 40 or 50, even if they are part of a related case.|
|Source Codes Grouped by Category|
|Campus Initiated Examination Program|
|11||Studies, Tests, and Research Programs|
|17||Tax Shelter Program|
|26||Minimum Tax Program|
|48||Related to Campus Unallowable|
|30||Claims for Refund/Abatement—Returns selected before refunds/abatements are scheduled (also see source code 73).|
|31||Paid Claims for Refund - Use for claims that are selected for examination after the IRS refunds the money to the taxpayer.|
|35||Administrative Adjustment Request|
|Computer Identified Returns|
|02||DIF (Discriminant Function)|
|DIF Related Pickup|
|05||Filed Return - Other than prior and/or subsequent year|
|10||Filed Return - Prior and/or subsequent year|
|12||Nonfiled Returns - Delinquent or SFR|
|85||IRP - Information Document Match|
|Miscellaneous Sources (Other than DIF)|
|49||Preparer of Returns|
|62||Information Gathering Projects|
|Non-DIF Related Pickup|
|40||Filed prior and/or subsequent tax periods pickups where the primary return was Non-DIF selected.|
|44||Nonfiled Delinquent Return or SFR's|
|50||Filed Returns - Other|
|24||Nonfiler Local Sourced Work|
|25||Nonfiler Strategic Initiative - High Income Nonfiler|
|71||Specialist Referral System Referral|
|72||Related to Specialist Referral System Referral|
|Research and Reference|
|11||Studies, Tests, and Research Projects Initiated by Headquarters.|
|45||Reference and Information|
|91||NRP - Related Returns|
|17||Tax Shelter Program|
|39||Tax Shelter Program - Related Pickup|
Entering 042-048 in the Push Code field on the AIMS establishment, will cause the message "Special Handling Message 042-048" to appear on the Form 5546. If these codes are used, the PSP must keep track of the definition of each Special Handling Message.
"Blank/No message" (generated due to a Code L) The controlling PBC is in the campus where the return was filed and there is no information report available.
"INFORMATION REPORT AVAILABLE" (generated due to a Code H) indicates an Examination Information Report, Form 5346 is on file in the campus classification section. The Area Office belongs to the Campus that is processing the request and the return is not requested but there is an information report available.
"NO RETURN REQSTD" (generated due to Code F) indicates an Examination assembly has been requested but not a return. The requesting campus or area office code uses this message. The Area Office is outside the processing campuses jurisdiction and the return is not requested and there is no information report available.
"NO RETURN REQUESTED" (generated due to a Code G) The controlling AO is within the same campus where the return was filed. The return was not requested and there is no information report available.
"NO RTN REQSTD INFO RPT AVAIL" (generated due to a Code M) The controlling AO is within the center where the return was filed. The return was not requested and there is an information report available.
"NO RTN REQSD FLOW THROUGH NOTIFICATION" (generated due to Code C) is generated when PCS Forms 8340 and 8341 are used to link an investor to a key case. Associate this charge-out with the key case (shown in Item 48, Partnership Data) using the employee group code in Item 29 on the charge-out. This charge-out. notifies the key case examiner that the investor (Item 10 on charge-out.) has been linked to the key case. The location of the investor return is shown in Item 48 under Partner AO and EGC. This charge-out. used to be called the Partnership Acknowledgment. The controlling AO belongs to the campus. The PICF is a 1, 2, 3, or 4. There is partnership data on the opening coming from Master File. Also known as the partnership Acknowledgment. record.
"NO RTN REQSTED INFO RPT AVAIL" (generated due to a Code E) The controlling AO is outside of the campus where the return was filed. The return is not requested but there is an information report available.
"NO RTN REQSTED MANUALLY CONTROLLED 918A" (generated due to a Code I) indicates to the area examining the key case (Item 48) that the investor (Item 10) cannot be linked on PCS since the investor return is in status 8X (Appeals) or 90 (Closed). Communication and control of adjustments must be done manually. Generated due to a Code I Status code is greater than 80 and this is a partner record coming from Master File.
"NO RTN REQSTD PARTNER EXAM VOIDED" (generated due to a Code V) This is a partnership Acknowledgment. record that has been transferred to another center.
"NO RTN REQSTD RELATED INVESTOR NOTIFICATION" (generated due to a Code Q) indicates that the investor return (Item 10), which is already open in Exam, has been linked to the key case, shown under Partnership Data on charge-out. This charge-out. should be associated with the investor return (use employee group code and status codes in Items 29 and 30) . Since the investor return was already on AIMS, only a notification charge-out. is generated; if the investor return had not been on AIMS, a charge-out. containing Partnership Data and a return would be generated and sent, but this special message would not appear in Item 16.
|American Samoa||AS||New Hampshire||NH|
|District of Columbia||DC||Oklahoma||OK|
|Fed. States of Micronesia||FM||Pennsylvania||PA|
|No. Mariana Islands||MP||Washington||WA|
|* AA, AE, and AP are valid state codes when used with "APO" for the city.|
|Area Office Location||Code||Definition|
|PSP Support||00||Documents in Transit - (Computer Generated) - Assembly on hand and return not yet available to the area. Not included in inventory reports. Generated for all bulk ordered returns with no assigned status code. Updates automatically to 06 the weekend after the status code has been 00 over 14 days.|
|01||Claims and Other Returns in Transit - Claims selected by the campus for examination in area offices, and other returns selected by the campus and which should be associated with related returns prior to forwarding to area offices. Immediately upon receipt, the area must update the status code appropriately.|
|05||SOI - Returns will be automatically updated to 05 through an SOI/AIMS match.|
|06||Awaiting Classification - (Computer Generated) - Returns or related documents awaiting association in the Campus Control Reports Unit or returns in hands of PSP Support Manager which have not been classified or screened. Never update returns to a higher status until it has been selected for examination. Once the status code is greater than 06, you cannot update to a status code lower than 07.|
|PSP||07||Transfer - When a record is transferred, and the current status code is less than 08, the status is unchanged. If the current status code is greater than 07, the status is overlaid with an 07, with the exception of status 08 in EGC 2050. The status and EGC will remain unchanged even though the record was transferred from one Centralized files and Scheduling unit to another.|
|41||In Transit to PSP from group or Tech Services (Should not be used by campuses when sending returns to the area)|
|Central Storage||08||Selected - Not Assigned - Returns on hand that have been selected for examination but not yet assigned to a territory or group.|
|09||LMSB = transfers within LMSB
Transfers to 212-214 or 3XX if the current status code is not 09-19.
Other = Local Definition
|10||Assigned - No Time Applied - Returns on hand at group (including integrated groups) and territory levels but not yet assigned to an examiner, and returns assigned to an examiner but with no direct examination time (Technical) applied.|
|12||Started - In general, cases should be placed in status code 12 prior to when the first interview is held, i.e., cases should be placed in 12 when:|
|* An appointment letter or phone contact is made with the taxpayer or representative initiating an examination.|
|* Pre-audit analysis is being performed and the return will be examined; or|
|* A related return is being considered for examination, and where books and records are requested for that return.|
|13||30-Day - All returns awaiting the issuance of a 30-day Letter in the group, or in the group 30-day suspense file.|
|14||LMSB = TEFRA related investor returns that are CIC, Joint Committee, or other corporate specialty cases (Forms 1120 with letters
other than A, S, or X) linked on PCS held in the field group until the examination of the TEFRA flow-through entity is completed.
Sets Suspense Code. PICF code must be >0
SB/SE = Suspense. Sets Suspense Code
|15||LMSB = Use with the designated Aging Reason Code when all group issues are resolved but case cannot be closed.
SB/SE = Local definition.
|16||ERCS Only - Suspended Parallel Promoter Investigation (P6/P7)|
|17||Fraud - When it is agreed by the examiner, group manager and the Fraud Referral Specialist, that potential for fraud exists, the case will be updated to Status Code 17. Cases will be returned to the applicable status code, i.e. 12, if it is later determined that fraud potential no longer exists.|
|18||Acceptance by Criminal Investigation - update to Status Code 18 when the completed Form 2797 is approved by CI and received by Examination.|
|20||Mandatory Review (Except JCC) - All returns subject to mandatory review either awaiting review or in the process of being reviewed. (IRM 4.8.4)|
|21||In Transit to Technical Services|
|22||30-Day - All returns awaiting issuance of a 30-day Letter or awaiting response from taxpayers.|
|23||Sample Review - All sample selected or management identified returns either awaiting review or in the process of being reviewed. (IRM 4.8.3).|
|24||90-Day (Notice of Deficiency) All 90-day Letter (or equivalent) cases awaiting response from taxpayers.|
|25||Pre 90-Day All returns awaiting preparation and/or issuance of 90-day letter.|
|26||Joint Committee Cases|
|27||Prepare TEFRA Letter: TEFRA and non-TEFRA key case and/or investor closed to Technical Services for processing of agreed cases, issuance of no change letters, preparation of 60-day and FPAA letters, and preparation of certain TEFRA investor statutory notices.|
|28||TEFRA Letter Issued: FPAA Preparation - TEFRA key case - 60 day letter or FPAA has been issued or an FPAA default package is in process. TEFRA Investor - TEFRA investor statutory notice has been issued.|
|29||Other TEFRA Suspense: TEFRA key case and/or investor in suspense.|
|30||Form 1254 Used only for returns where a Form 1254 (Examination Suspense Report) is in the case file.|
|31||Technical Services Suspense|
|32||General Fraud - This includes returns where a joint investigation has been completed and awaiting settlement of criminal aspects.|
|35||Technical Services Suspense|
|36||Grand Jury - All cases being actively investigated by the Grand Jury.|
|37||Technical Services Suspense|
|38||Suspense Other - Cases awaiting technical advice from the National Headquarters. Cases placed in suspense by the area office.|
|39||Technical Services Suspense|
||51||In Transit to Case Processing|
|52||Centralized Case Processing|
|53||Centralized Case Processing|
|54||Centralized Case Processing|
|55||Centralized Case Processing|
|56||Centralized Case Processing|
|56||Centralized Case Processing|
|57||Survey - Held in Case Processing Awaiting Centralized Case Processing Closure|
|58||Centralized Case Processing|
|59||Centralized Case Processing|
|87||Closed to Appeals Processing Function|
|88||Tried District Counsel|
|90||Closed (Computer Generated) All examined and nonexamined Examination and Appeals closings. Cannot be input via Examination Update or Correction Request procedures.|
|99||PCS controlled related return. This status code is computer generated to identify CTF inputs on the AM424 Reject Register.|
|Status Codes defined as local definition must be cleared by the area prior to implementation.|
|Campus Status Codes|
|00||Returns in Transit (Computer Generated) Returns selected by the campus for examination in area offices. This status is used for returns that do not require association with related returns prior to forwarding to areas.|
|05||SOI - Returns will be automatically updated to 05 through an SOI/AIMS match.|
|06||Awaiting Classification (Computer Generated) - Returns computer identified or combination of computer identified and manually identified. These returns or related documents are awaiting association in the Campus Control Reports Unit or are on hand awaiting classification, screening for high DIF, multiple codes, or other. Status Code 00 is generated for all bulk ordered returns with no status assigned. Two cycles later Status 06 is automatically generated if the Source Code is 01 or 02 and there is no prior status code.|
|Processing Function||07||Transfer - When a record is transferred, and the current status code is less than 08, the status is unchanged. If the current status code is greater than 07, the status is overlaid with an 07.|
|08||Selected Not Assigned - Returns on hand where Examination/contact has not been initiated.|
|10||Initial Contact Letter Sent - Returns manually identified by Processing Division (Computer Generated) and/or all other returns on which initial contact has been made and a status change submitted.|
|12||Special Contact Letter Sent - Returns requiring special correspondence and awaiting response from taxpayer.|
|13||Suspensed case - Cases with Bankruptcy, scrambled or SSN cases.|
|17||Referral for Fraud|
|20||Back downs from Appeals|
|22||30-Day - Returns held in 30-day letter suspense awaiting taxpayer response.|
|23||Revised Report Sent - Awaiting Reply|
|24||90-Day Statutory Notice of Deficiency issued. Returns held in 90-day suspense awaiting taxpayer response.|
|25||Additional information needed after 30-day letter and before 90-day letter, exam report remains unchanged|
|51||Manual Case to Close|
|52||Manual 90-Day Letter Being Prepared|
|53||Case Rejected from 90-Day Letter|
|54||Correspondence Replies - Returns on which taxpayer Correspondence has been received and the correspondence requires technical consideration by a Correspondence Tax Examiner before a reply to the taxpayer can be prepared. This does not apply to cases where the reply is an agreement or to cases that are in Status Code 24 (90-Day Statutory Notice of Deficiency issued) CRD day 1 through 70.|
|55||Correspondence Received Day 71 through 115 - Returns identified on the Status Workload Review List as being 71 through 115 days old.|
|56||Suspense - Local Definition|
|57||Correspondence Received Day 115> - Returns identified on the Status Workload Review List as being over 114 days old.|
|Suspense||33||Non-TEFRA PCS Suspense - Returns housed in the campus CTF awaiting completion of partnership/S-Corp. examination. Sets Suspense Code|
|34||TEFRA PCS Suspense - TEFRA investor/shareholder returns in the campus CTF awaiting completion of partnership/S-Corp. examination results. Sets Suspense Code|
|38||Suspense other - sets suspense code|
|Closed||90||Closed (Computer Generated) All examined and non-examined Examination and Appeals closings. Cannot be input via Examination Update or Examination Correction Request procedures.|
|99||PCS controlled related return. This status code is computer generated to identify CTF inputs on the AM424 Reject Register.|
|1. Status Codes 18, 25, and 56, are for use locally to control returns. New uses of these codes must be cleared by the area prior to implementation.|
|2. Returns in Status Code 06 must never be updated to a higher status until selected for examination.|
An asterisk (*) appears after the SSN on invalid numbers. If there is an asterisk (*) after the SSN and there is personal contact with the taxpayer, the examiner must ask the taxpayer if an inquiry has been received from the Service concerning the validity of the SSN.
If the taxpayer has furnished the information requested by the Service, the examiner need not pursue the matter further.
If the taxpayer has not furnished the information requested concerning the SSN, the examiner should secure a completed Form 4149 (Information to Correct Invalid Social Security Number) . The completed Form 4149 will be left in the case file.
An "N" after the EIN or SSN indicates Non-Master File.
A "D" after the number indicates a temporary number is being used. Examples of this are: waiting for taxpayer to secure a valid EIN; to establish a key case on PCS so that Schedule "C, Schedule F, etc., investors in a common promotion can be linked; or to control multiple Forms 706A on AIMS. The input format for a temporary number is XXXXXXXXX-D. Records that have a -D in the TIN cannot be closed to Appeals.
CC AMTIN7 can be used to secure a temporary TIN.
A temporary SSN can be secured to control a return if one is received without a SSN.
Prepare Form 5354, Examination Request Non-Master File following instructions for Item 6 given in the Openings Section.
When the permanent SSN is received as the result of the examiners having submitted Form 4149, request a new assembly on Form 5345, Examination Request Master File.
Close the Non-Master File control using disposal code 28.
Process the Master File account in the normal manner securing an EIN if the Taxpayer Refuses to File an SS4
A permanent EIN can be secured for a taxpayer if a return is received without a EIN.
Contact the Entity Control Section at your Campus to secure a permanent number.
Control the return on Non-Master File until the permanent number is received.
After a permanent TIN is secured, close the base with the dummy TIN off of AIMS using CC AMSOC, DC 28.