ICS produces time and activity data on electronically generated reports that were once submitted on a paper Form 795, Daily Report of Collection Activity. All information required to complete these reports is now electronically gathered by ICS or input through the ICS workstation. Listed are the two Form 795 reports that are generated by the user and can be printed:

Paper Form 795 is used by Collection Field function (CFf) employees only when they need to transmit returns and remittances but are unable to print a 795A (CG) or 795B (CG). For example, if employees are working out of the office and will not be able to connect to the local area network (LAN) the next business day. In these cases, the paper Form 795’s are submitted at the close of business each day or as soon as possible on the next business day. All entries should be written accurately and legibly in ink.

Revenue Officers will prepare and process a Form 795/795A, Daily Report of Collection Activity, each day that payments and/or returns are secured as follows:

Submit the sealed envelope, containing the Form 795/795A and secured remittances, for processing as follows:

Retain a control copy of the Form 795/795A until the receipted copy is returned from Submission Processing.

Retain the receipted copy of the Form 795/795A.

The designated clerical contact is responsible for submitting the completed envelopes, from the Revenue Officers in their POD, to Submission Processing as follows:

Managers should ensure continuous coverage of the clerical staff duties so that absence due to illness or leave does not disrupt the processing of remittances.

In general, any employee receiving a remittance from a taxpayer must transmit the remittance via overnight, traceable mail, the same day as received or as soon as possible the next business day to ensure receipt in the designated Submission Processing site within 48 hours of receipt from the taxpayer. One additional day is allowed for cash conversion. Accordingly, remittances are due at the Submission Processing sites within 3 business days from the date the IRS received the funds. The timeliness criteria are based on law (Title 31, U.S. Code § 3302).

Even though the law prescribes a 3-day time frame, Submission Processing recognizes an exception granted by SB/SE for Revenue Officers on extended field calls, Flexiplace, and packages originating outside the continental United States. The exemption is regarding the issuance of error advice notices ( Form 5919, Teller's Error Advice). ( See IRM 5.1.2.2.8,"CFf Response to Form 5919" below.) To avoid receiving error advice notices, Form 795/795A, Daily Report of Collection Activity, must be annotated (using red ink) either "FLEXIPLACE" or "FIELD CALLS " when applicable.

In addition to annotating Form 795/795A, Daily Report of Collection Activity, Revenue Officers who collect any payments or returns while they are on extended field calls or Flexiplace should not wait until they return to the office to transmit the collections. Revenue officers should send any payments or returns they collect directly to the designated Submission Processing site via overnight traceable mail the same day as received or as soon as possible the next business day. See IRM 5.1.2.3 for complete details.

See "Procedures for Sending Tax Receipts to Submission Processing Sites" below. Revenue officers should follow those procedures.

Accordingly, instead of the 3-day time frame, 5 business days are allowed (from the date the Revenue Officer collected the funds) for transmitting remittances to the designated Submission Processing site to allow extra mailing time.

Remittance packages originating outside the continental United States are allowed 7 business days for additional mailing time.

To facilitate timeliness of remittances, Revenue Officers on field calls or Flexiplace must maintain an adequate supply of overnight envelopes.

Maintain official "Received" date stamps in each office where it is necessary to record received dates, such as for remittances and filed returns. Remittances must be date-stamped for the business day they are received.

When not in use, protect assigned stamps against unauthorized or indiscriminate use. Provide the stamp with HIGH SECURITY. The stamp should contain the following elements:

Use caution when you use the date stamp. Date stamps should be placed in the middle of the front page of a secured return (or other document that requires a date stamp). Make sure stamp placement will not obscure any information that the taxpayer wrote/printed/entered on the return/document.

This manual does not provide specific procedures to address physical security controls over remittances while they are in the custody of the CFf employees because physical security facilities vary from office to office. Some offices may have safes, but all offices should at least have some type of locking desk drawer or file cabinet, so CFf employees should use common sense to safeguard money, securities, etc., while they are in the office. All employees are required to adhere to the minimum protection standards. IRM 1.16 specifies physical security controls.

CFf employees and managers should become familiar with IRM 1.4.6Managers Security Handbook and IRM 3.0.167Losses and Shortages. CFf employees should use common sense to safeguard money, securities, etc., while they are on field calls. CFf employees performing calls while driving should safeguard remittances by placing them in a locked compartment of their vehicle. CFf employees performing calls while using public transportation should safeguard remittances by placing them in a locked brief case or other secured place.

CFf employees should use common sense to safeguard money, securities, etc., while they are on Flexiplace. CFf employees on Flexiplace are required to have some type of locking desk drawer or file cabinet pursuant to the National Agreement. Article 50 Section 5 B states: "At a minimum, this will require that all records and data be kept under lock and key when not in the possession of the employee."

Field offices should use traceable overnight service or other approved method for shipment of remittances to ensure the security of tax receipts during transit. See IRM 5.1.2.1.10"Procedures for Sending Tax Receipts to Submission Processing Sites " below for procedures for sending tax receipts to Submission Processing sites.

CFf employees should ensure that remittances are received in the Submission Processing Teller Unit by following up when the unit doesn't acknowledge receipt within 10 workdays. (The remittance processor is required to return an initialed copy of Form 795/795A, Daily Report of Collection Activity, to the originating employee as acknowledgment of receipt for the remittances, returns and posting documents.) Ensure the correct address is listed for the originator as this address will be used to return the remittance transmittal. For example, if control of 795s are centralized, all 795s should include the specific address where 795s are being maintained.

Form 809 receipt books are required to be returned to the issuing Submission Processing Center within 10 workdays of discontinued use such as change of position or field offices.

The return of the 809 receipt book should be part of the clearance process upon separation

If no 809 receipt is issued within 3 years, return the book to the issuing center.

CFf employees should establish a follow-up system using paper or electronic means to remind themselves to check the acknowledgements.

Acceptable payment documents include, but are not limited to the following:

Whenever possible, use suitable posting documents containing all of the information needed for deposit and input into the Integrated Submission Remittance System. Some documents may be brought up to such standards by adding information and coding and editing. To be acceptable for input, the posting document must identify the originator and contain:

Prepare Form 3244to process a payment if:

Prepare payment documents (other than receipts) in original only.

It is important to prepare Form 3244 (or other posting document) correctly to avoid posting delays. Only one debit transaction and two credit transactions are allowed per posting voucher. Additionally the dollar amounts must be in balance to the credit side. Problem areas identified by Submission Processing include lack of designated payment codes, lack of employee numbers to identify the preparer, incorrect name controls, and incorrect TINS. The procedures for completion of the Form 3244 are in IRM 3.8.45–9.

Don't exceed one debit transaction and two credit transactions per posting voucher. The dollar amount must balance to the credit transactions. When preparing payment posting documents other than Form 809, use Transaction Code (TC) 670 for:

Following are special circumstances requiring different or additional transaction code input:

All daily remittances (i.e., checks) must be sent by overnight traceable mail to the designated Submission Processing site. This can include registered mail with the United States Postal Service, Federal Express, United Parcel Service, or any other officially recognized mail carrier.

These mailings must be double-wrapped in opaque paper envelopes or boxes.

Tax receipts must be shipped to the designated Submission Processing site address for remittances on the day of receipt from the taxpayer, or as soon as possible the next business day.

Cash must be converted before mailing.

Include a completed posting document to ensure proper crediting of taxpayer accounts.

The use of a transmittal document that lists package contents is required. Form 795/795A, Daily Report of Collection Activity, is the transmittal used by CFf.

The name of sender, return address (with stop number), and telephone number is required on all transmittals.

The sender must establish a control to ensure delivery of tax receipts. The control must include amounts of taxpayer receipts by taxpayer identification number (TIN), correlated to the package tracer information. For example, if the transit provider informs IRS that package number 12345-67-89 was destroyed, a control is needed that enables proper identification of impacted taxpayer(s) so that relief could be granted.

Submission Processing sites must acknowledge receipt of each remittance with a distinctive check mark on the transmittal and return an acknowledgement copy of the transmittal to the originator at the specific address listed on the transmittal within five workdays. Senders must follow up with the destination Submission Processing site within 10 workdays on deposit packages or if all remittances are not acknowledged with a distinctive check mark.

The inside envelope or box is required to contain the following:

Though not required, it is recommended that "LARGE" be annotated on envelopes containing a single remittance of $100,000 or more or if the aggregate total of remittances is $100,000 or more.

The outside envelope is required to contain the following:

In order to ensure the government receives maximum availability of funds on large dollar remittances, Revenue Officers should alert their designated remittance liaison at Submission Processing upon receipt of a single remittance of $1 million or more. Remittances of $100,000 or more should be marked LARGE and sent to the mail stop for large dollar remittances. This is to ensure large dollars are processed first. If the liaison is not in, or unavailable, ask for the acting designated liaison. The designated liaisons are on the Submission Processing web site on the IRWeb. See IRM 5.1.2.1 for the web address and look under " Field Office Payment Processing Program."

Cash payments must be converted to check or money order within 24 hours of receipt from the taxpayer before sending for processing. To minimize risk of losses, convert cash to a bank draft or money order by the close of the business day on which it was collected, or as soon as possible on the next business day, and:

Collection employees authorized to receive cash from taxpayers should be aware of techniques for detecting counterfeit money. Literature can be obtained from field offices of the Secret Service. These offices can also arrange for lectures to groups of employees who receive cash payments. Management should refrain from requesting the Secret Service to instruct personnel on an individual basis.

If a financial institution asks the employee to complete a FINCEN FORM 104, Currency Transaction Report (CTR), when more than $10,000 is being converted, point out that there is an exemption in the Treasury Regulations [31 CFR 103.22(d)(2)(ii)]. The regulations state that:

However:

Convert cash remittances relating to a Form 2209 , Courtesy Investigation, as prescribed in (1) above. Annotate Part 1 of Form 809 that the remittance relates to a Courtesy Investigation. (See IRM 5.1.8Courtesy Investigations .)

These cash deposit procedures apply to PALS employees only.

PALS employees should be aware of techniques for detecting counterfeit money and when possible should use counterfeit detection pens on currency at the time it is received. To minimize the risk of losses and to ensure employee safety, cash should be deposited by the close of the business day on which it was collected, or as soon as possible on the next business day using a SF 215–A, Deposit Ticket. See IRM 5.10.5.17for further information.

The cash deposit procedure should be used when cash is received at sale. However, there may be circumstances that prevent the use of this option such as a sale is held in a small rural community and access to a Treasury General Account Bank is not readily available. In these situations PALS should be familiar with Treasury Regulation 31 CFR 103 22(d)(2)(ii) and make arrangements to convert the cash at a local bank.

For procedures on remittances in the form of checks See IRM 5.1.2.1.14.

Tell taxpayers to make checks or money orders payable to "United States Treasury." Employees should accept checks or money orders made payable to United States Treasury (or U.S. Treasury), Internal Revenue Service (or IRS) or Department of the Treasury.

However, if a remittance is payable to "Internal Revenue Service" or "IRS" or the payee line is left blank, over stamp it with the words "United States Treasury." Local offices should procure a "United States Treasury" stamp if they do not already have one. The letters should be in 16-pitch Arial font (or similar type font) because such font will produce a very legible stamp impression. See the exhibit at IRM 3.8.45–3Overstamping Guidelines and Acceptable Payments.

If the remittance is made payable to a Collection employee, accept the payment and endorse it as follows: "Pay to the order of the United States Treasury." Then sign your signature below and write "Signature of Collection employee " below your signature.

If a remittance is received that is endorsed by the payee in such a manner that it is negotiable, it must be restrictively endorsed immediately below the last endorsement by writing or stamping " For Deposit Only-United States Treasury." Local offices should procure a "For Deposit Only - United States Treasury" stamp if they do not already have one. The letters should be in 16-pitch Arial font (or similar type font) because such a font will produce a very legible stamp impression.

If one payment is received for several Bal Dues and/or returns, prepare posting documents to apply the correct portion of the payment to each one.

If a taxpayer returns a tax refund check to the IRS, the receiving employee should write or stamp "VOID" on the back of the check.

Remittances in the form of checks to the PALS will be endorsed with a stamp that reads "For Credit to U.S. Treasury/ALC 20–09–2900–4 " . All remittances are sent to the Ogden Submission Processing Center.

If a levy check is made payable to the taxpayer, it is to be treated as a seized check and the following endorsement should be used: " This check (money order) and the proceeds thereof have been seized under authority of Title 26, United States Code, Section 6331, for application on the unpaid tax liability of (name of the taxpayer), and is herewith deposited to the credit of the Treasurer of the United States, (name of the area director), Area Director of Internal Revenue Service (Area Number)."

This endorsement may be typed or rubber-stamped on the reverse of the check. For further information on seized checks see IRM 5.10.3.11.1.

The Revenue Officer is then to sign their signature below the endorsement and write "Signature of Collection employee" below the signature.

Endorsement should be placed within the 1.5 inch area beginning at the leading edge of the check.

Revenue officers must be aware of questionable remittances that resemble checks and money orders but which are fake, bogus and/or counterfeit. These remittances are not certified by any institution and they are non-negotiable. Do not process questionable remittances via normal procedures. Revenue officers should become familiar with the characteristics of questionable remittances in order to be able to identify when one is received. Such fake/bogus checks or money orders are often written in an amount much greater than owed by the taxpayer and they request the excess to be refunded to them. Please refer to IRM 3.8.45.4.11, Questionable Payments, for further information related to fake/bogus checks or money orders being used to pay a taxpayer's debt to IRS.

Do not solicit postdated checks. However a reasonable period, not to exceed 10 business days, does not warrant refusing a check or mailing it back to the taxpayer for replacement.

If a taxpayer pays with a postdated check, ask for a currently dated check instead. If the taxpayer is not available when the check is received, attempt to contact them by phone unless an explanatory letter accompanied the check. If you determine that the postdating was deliberate, then you may honor the taxpayer's requested future payment date (date of the postdated check) as long as it is not more than 10 business days in the future. If a postdated check will be held, hold it in the case file (prepare a paper case file if necessary) and submit it for deposit according to the post date as agreed to with the taxpayer. If the check is postdated more than 10 business days in the future, give the taxpayer the choice of two options:

If you cannot determine that the postdating was in error, a Revenue Officer may use their best judgement, based on their experience with the particular taxpayer, to determine whether the check should be posted that day, returned to the taxpayer, or held until the date of the check arrives (not to exceed 10 business days). Document the history accordingly.

A Revenue Officer or other CFf employee with no previous experience with the taxpayer (as described in number 3 above) who is unable to contact the taxpayer, should document the history accordingly, and post the payment on the date of receipt. Submission Processing normally returns postdated checks to the field office manager and issues Form 5919for a non-negotiable remittance.

Follow these procedures if a taxpayer provides evidence that a remittance which was sent or given to the IRS has been stolen and/or altered.

Report any potential theft or embezzlements to the Treasury Inspector General for Tax Administration (TIGTA) Office of Investigations at 1-800-366-4484. Also notify the Remittance Security Coordinator (RSC) at the designated Submission Processing site. See IRM 5.1.2.1 for the Submission Processing web site and look under "Security " for contact information.

Evidence for referral includes:

Input Transaction Code (TC) 470, and forward the referral to the TIGTA Office of Investigations and a copy to the Remittance Security Coordinator (RSC) (See 1 above). TIGTA will conduct an investigation and report the results of the investigation. The RSC will control the case and protect the taxpayer from incorrect notices while TIGTA conducts their investigation. The RSC will ensure that incorrect penalty and/or interest are abated.

Refer to IRM 5.1.1.5 Miscellaneous Guidelines"Security and Control" and See IRM 5.1.2.1.7"Physical Security Controls over Remittances" above to help prevent loss.

If an employee has a cash shortage, receives counterfeit funds, is missing negotiable checks or other instruments, or is missing seized property, immediately report the loss to a manager.

The employee and manager must follow instructions in IRM 3.0.167Losses and Shortages. Report any potential theft/embezzlement(s) to the Treasury Inspector General for Tax Administration (TIGTA) Office of Investigations at 1-800-366-4484 (or at http://www.treas.gov/tigta/). When losses are reported to the TIGTA Office of Investigations, also inform the Submission Processing Remittance Security Coordinator. The remittance security coordinator monitors losses and takes steps to ensure taxpayer relief is granted expeditiously. The names and telephone numbers of the current Remittance Security Coordinators (RSC) can be found on the Submission Processing web site under " Security." See IRM 5.1.2.1for the Submission Processing web address.

Revenue officers submitting replacement checks for losses must use a Supplemental Form 795, Daily Report of Collection Activity, or Form 795A, ICS Remittance and Return Report, to transmit the replacement check (with the current date). Attach a completed Form 3465, Adjustment Request, to have interest and penalty abated.

Remittance perfection technicians will post the check with the current date. Form 5919 will not be issued for replacement checks, unless other error conditions exist.

We want to encourage taxpayers to enroll in the Electronic Federal Tax Payment System (EFTPS). Point out to the taxpayer that using EFTPS saves time and money and can eliminate last minute trips to the bank or post office, lost checks, or missed deadlines. Other features of the program are shown below and can be used to encourage taxpayers to use this method of payment.

EFTPS is a service offered free from two agencies of the U.S. Department of the Treasury: the IRS and the Financial Management Service (FMS). EFTPS is a tax payment system that offers business and individual taxpayers the convenience of making all their federal tax payments electronically. The system enables taxpayers and tax professionals to make federal tax payments electronically using EFTPS-OnLine, EFTPS-PC Software, EFTPS-Phone, or EFTPS Batch Provider software for professionals.

Taxpayers enrolled in EFTPS can be in total control of their tax payments. EFTPS enables taxpayers to make tax payments 24 hours a day, 7 days a week from home or office; schedule payments up to 120 days in advance (for businesses) or 365 days in advance (for individuals), review the last 120 days of tax payment history online or by calling Customer Service. In addition, taxpayers receive an EFT (electronic funds transfer) Acknowledgement Number for every EFTPS transaction for easy record keeping and as proof of the transaction.

Taxpayers can enroll in EFTPS by visiting the EFTPS-OnLine web site at www.eftps.gov, or by calling the EFTPS customer service center. The EFTPS toll-free numbers for customer service are:

Further details regarding this program can be found in IRM 20.1.4.1.3.2.

Taxpayers may also initiate a credit card payment through Official Payments Corporation at 1-800-2PAYTAX (1-800-272-9829), or www.officialpayments.com, or Link2Gov at 1-888-PAY-1040 (1-888-729-1040), or www.pay1040.com. Taxpayers making credit card payments do not need to be enrolled, in the program, to make a payment. For more detailed information on the credit card payment program see IRM 5.14.10.5.