3.8.45  Manual Deposit Process

Manual Transmittal

December 08, 2015

Purpose

(1) This transmits revised IRM 3.8.45, Deposit Activity - Manual Deposit Process.

Material Changes

(1) Throughout the IRM are editorial changes to make the IRM more clear. Substantial changes to the text are as follows:

  1. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.1(6) - A standard reference to IRM deviations was inserted replacing the previous reference.

  2. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.1.1(5) - Inserted new reference for returning checks to the taxpayer for any check received that is $100 million or more beginning January 1, 2016. The check will be returned to the taxpayer. Previous references numbered 5 thru 9 are now 6 thru 10.

  3. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.1.1(10) - Updated reference with the new telephone numbers of HQ Analyst’s Cathy Andrews (816-499-6078) and Rick Holmes (816-499-6068).

  4. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.3(4) - Deleted Bulky Outerwear as a strictly prohibited item in the secure Receipt Processing area.

  5. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.1.3(8) - Added information for ordering Form 700, Security Container Information.

  6. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.3.1(1) - Clarified reference for managers to ensure only employees that work Unidentified Remittance deposits have IDRS Command Code URADD in their IDRS profile.

  7. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.1.4(3) - Updated reference with the new telephone numbers of HQ Analyst’s Cathy Andrews (816-499-6078) and Rick Holmes (816-499-6068).

  8. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.9.1(6) - Clarification of references concerning the notification of the IRS by the Courier Company when changes are needed to the CDAL and CADS.

  9. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.9.1(9)f, g, j and k - References updated to clarify that courier drivers must carry a cell phone and use the cell phone time when annotating the time on the Form 10160. They must also ensure the clock at the depository used when receiving the deposit is consistent with the time on their cell phone to ensure consistency of the delivery timeframe.

  10. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.9.3(5) - Deleted the requirement for the Social Security Number to be on the CDAL.

  11. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.9.3(16) - Updated reference to use the courier employee's cell phone when annotating the time on Form 10160 to ensure consistency each day. Do Not use a personal watch. This will also ensure they are carrying the required cell phone with them.

  12. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.1.9.3(17) - Added Note that checks for $100 million or over will not be accepted beginning 1/1/2016, therefore ad hoc deliveries will not be needed after 1/1/2016. Current instructions for ad hoc deliveries will be deleted in the 1/1/2016 IRM revision.

  13. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.1.9.3(17) - Deleted reference to Ad Hoc Courier Deliveries for checks $100 Million or more. Beginning 1/1/2016, the IRS must return checks for $100 million or more to the taxpayer.

  14. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.9.3.1(2)d - Updated reference to reflect requirement that non-bargaining employees should be listed in the Courier Contingency Plan for transporting the deposit to the depository location.

  15. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.1.9.3.1(2)f - Updated reference with the new telephone numbers of HQ Analyst’s Cathy Andrews (816-499-6078) and Rick Holmes (816-499-6068).

  16. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.1.9.5(2) c - Updated reference with the new telephone numbers of HQ Analyst's Cathy Andrews (816-499-6078) and Rick Holmes (816-499-6068).

  17. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.1.9.7(3) - Revised the methodology for determining the courier trip timeframes for delivering the daily deposit to the depository.

  18. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.1.10(1) - For remittances not processed through ISRP, added reference that a single remittance of 100 million dollars or more should be returned to the taxpayer following instructions in IRM 3.8.45.1.1(10).

  19. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.10(2) - Corrected reference for retention of photocopies of Manual Deposit checks. Updated with reference to IRM 3.8.45.25.5(3) for retention requirements.

  20. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.1.11(7) - Added reference explaining that cash deposits must be completed using Manual Deposit procedures. IDRS Command Code PAYMT cannot be used to post payment to the taxpayer's account as it is a sensitive command code that is not allowed in Receipt and Control employees IDRS profiles.

  21. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.2.1(3) - Clarified secondary transaction codes listed on Form 3244 that must be processed through Manual Deposit. SERP Feedback 201505320.

  22. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.2.2.1(2) - Deleted the table listing OTC responsibilities at each campus and to contact your local Planning and Analysis Analyst if names and telephone numbers of the designated Receipt and Control Coordinator, Accounting Coordinator, or Local Security Administrator for a particular, Campus are needed.

  23. IPU 15U0779 issued 04-29-2015, IRM 3.8.45.2.3(3)a - Updated table to include System ID 12 in the Trace ID Number as specified in IRM 3.8.45.13.1.1(2) Note for External Leads deposits.

  24. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.4.7.1(1) - Updated reference for determining if Discovered Remittances are 30 Days or older. Determine the 30 days, first by the Received Date, then by the date of the check if unable to determine the received date.

  25. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.4.9(1)p and q - Added references to Unacceptable Payments to include tickets to events, lottery tickets and fake money such as Monopoly money. SERP Feedback 201503528.

  26. IPU 15U0242 issued 02-02-2015, IRM 3.8.45.4.11(3)b - Revised reference for the manager to contact the Remittance Security Coordinator whenever there is doubt about the legitimacy of a particular payment.

  27. IPU 15U0242 issued 02-02-2015, IRM 3.8.45.4.15(6)a - Updated routing guidance to Entity for TIN or name changes.

  28. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.5.2(2) - Deleted entire reference to Out of Area NMF payments received with a remittance of $100 million or more. Checks received for $100 million or more should be returned to the taxpayer following instructions in IRM 3.8.45.1.1(10) beginning January 1, 2016.

  29. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.6.17(5)f Note - Added Note to route EP returns to EP Entity M/S 6273 instead of Batching if Form 5500-EZ is received with remit and Form 14704 is attached to the oldest tax period. (OSPC Only)

  30. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.6.20.1(1) - Updated reference to only process as user fee if remittance received with Form 3115 has the “Exempt Organization” Box checked.

  31. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.6.20.1(1) and Note - Deleted reference to Form 1128 and added a Note, as a Letter Application User Fee is no longer required for Form 1128. If a payment is received with Form 1128 research and apply accordingly. (CSPC Only)

  32. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.6.20.1(3) - Deleted reference to the Special Procedures function as it no longer exists.

  33. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.6.21 - Updated reference to only process as user fee if remittance received with Form 3115 has the “Exempt Organization” Box checked.

  34. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.6.21(2) and Note - Deleted reference to Form 1128 and added a Note, as a Letter Application User Fee is no longer required for Form 1128. If a payment is received with Form 1128 research and apply accordingly. Send Form to Cincinnati for processing. (Other than CSPC).

  35. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.6.26(7) - Updated reference with new telephone number for the Kansas City RACS Team.

  36. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.6.29(5) - Updated reference with the new telephone numbers of HQ Analyst’s Cathy Andrews (816-499-6078) and Rick Holmes (816-499-6068).

  37. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.6.29(6) - Updated Depository Bank (US Bank) contact for the Ogden Campus.

  38. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.6.29(6) - Deleted rows in the table referencing US Bank contact information when receiving checks for $100 Million or more. Campuses should no longer accept these checks and should return them to the taxpayer following information in IRM 3.8.45.1.1(10).

  39. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.6.40 - Added new subsection for processing Form 8404. (CSPC Only)

  40. IPU 15U0634 issued 04-06-2015, IRM 3.8.45.7.23(9), (11), (13) and (14) - Added processing instructions for "Out of Country" Form 4868 with Box 8 checked and received after April 22nd. Do Not Destroy and route to the Batching Function.

  41. IPU 15U0634 issued 04-06-2015, IRM 3.8.45.7.23.2(5) - Added instructions to process "Out of the Country" Form 4868 received after April 22nd with Box 8 marked using procedures outlined in IRM 3.8.45.7.23(13).

  42. IPU 15U0242 issued 02-02-2015, IRM 3.8.45.7.36(8)f and (11) - Deleted guidance for Organization Function Program (OFP) codes to use for Photocopy Fees in reference 3.8.45.7.36(8)f and added reference in 3.8.45.7.36(11) with updated guidance.

  43. IPU 15U0242 issued 02-02-2015, IRM 3.8.45.7.38.2(5) - Updated reference for not routing MOIC documentation that serves as a payment posting voucher with green rockers to destroy after 5 days. Only correspondence should be routed to MOIC.

  44. IPU 15U0242 issued 02-02-2015, IRM 3.8.45.9.4(4) - Updated reference to apply DPC 05 or "No DPC" according to the table in IRM 3.8.45.9.5(5).

  45. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.9.4(4) - Updated reference to research Command Code IADIS manually and follow instructions in IRM 3.8.45.9.5(4)e when the ACS IAT tool Payment Application Screen specifies the account is in Status 60. This manual research will have to be completed until programming of the IAT tool is updated to systemically do the research which will provide posting information on whether a DPC 05 or No DPC is needed.

  46. IPU 15U0779 issued 04-29-2015, IRM 3.8.45.9.5(5) - Clarified table for processing Form 668-A, 668-W and Federal Agency Levy payments in Status 60 with Agreement Locator Number (ALN) other that XX08 with no DPC.

  47. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.10.2(1) and (3) - Updated reference with examples of verbiage that could possibly identify an Installment Agreement. SERP Feedback 201504915.

  48. IPU 15U0242 issued 02-02-2015, IRM 3.8.45.10.8 - Updated to clarify IDRS Command Code STAUP procedures.

  49. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.15(1) Note - Added Note for processing postal money orders from certain countries as domestic using routing number 000008002. SERP Feedback 201504478.

  50. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.15(2) and (3) - Revised Foreign Deposit procedures to accommodate systemic changes made to the OTCnet system.

  51. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.15(6) c - Guidance added for ensuring the Lockbox received date is stamped on the payment posting document for foreign deposits. SERP Feedback 201505058.

  52. IPU 15U1293 issued 08-13-2015, IRM 3.8.45.15.1(4) - Updated with new address for sending foreign currency with a USE of $5,000 U.S. dollars or less, effective immediately.

  53. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.15.1(5) - Changed title of the trading desk for foreign currency over $5,000 from Toronto trading desk to the Bank of America banknote trading desk.

  54. IPU 15U0242 issued 02-02-2015, IRM 3.8.45.23.1(2)a - Deleted reference to prepare a separate deposit ticket for returned mutilated currency, which can be interpreted to make a paper deposit ticket which can no longer be done. When receiving currency back from The Bureau of Engraving and Printing, normal deposit procedures should be followed.

  55. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.26.5- Deleted the entire subsection for IRS On-Line Bill Pay (OLBP) Payment Channel. The program has been canceled. (KCSPC Only).

  56. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.28.17(3), (4), (5) and (6) - Added instructions for processing Affordable Care Act (ACA) payments received at a campus without a return and cannot be processed through ISRP.

  57. IPU 15U0779 issued 04-29-2015, IRM 3.8.45.28.17(2) and (3) - Added ISRP RPS IRM Exhibit 3.24.133-3 reference number for processing ACA payments and clarified reference for when ACA payments must be processed through Manual Deposit by adding "if also unable to process through ISRP RPS OE/KV" .

  58. IPU 15U1661 issued 11-16-2015, IRM 3.8.45.28.17(3), (4) and 5) - Deleted references to sending ACA payments to the Payment Tracer Team in Accounting if they cannot be processed through the ISRP Transports or through the ISRP RPS OE/KV process. Programming has been completed to allow these payments to be processed through Manual Deposit with the appropriate ACA MFT and DPC.

  59. IPU 15U1450 issued 10-01-2015, IRM 3.8.45.30.1(2) - For the Austin Campus added definition for complex payments for OVDP payments and updated various tax periods to reference the 2014 tax period.

  60. IPU 15U0803 issued 05-04-2015, IRM 3.8.45.30.1(7) and (8) - Updated these two references for posting payments to the current tax year for the Offshore Voluntary Disclosure Program processed at the Austin Submission Processing Campus.

  61. IPU 15U0512 issued 03-19-2015, IRM 3.8.45.31(2)11 and (4)5 - Updated instructions for processing delinquent return penalty payments with MFT 55 for the Streamlined Filing Compliance Program. Also updated the If/Then table for processing payments and moved to a separate paragraph (5).

  62. IPU 15U0512 issued 03-19-2015, IRM Exhibit 3.8.45-9 - Updated the Courier Checklist to use a courier employee cell phone when annotating the release time on Form 10160.

  63. IPU 15U1661 issued 11-16-2015, IRM Exhibit 3.8.45-10 - Updated table for Bank of America OTCnet Supported Countries of Deposit For Foreign Check Currency Types, that are listed in the OTCnet Country of Deposit Drop Down Menu.

Effect on Other Documents

IRM 3.8.45 dated December 5, 2014 (effective January 1, 2015) is superseded. The following IRM Procedural Updates (IPUs) issued from February 2, 2015 through November 16, 2015 have been incorporated in the revised IRM: 15U0242, 15U0512, 15U0634, 15U0779, 15U0803, 15U1293, 15U1450 and 15U1661.

Audience

This IRM prescribes procedures for all Submission Processing Manual Deposit operations, including Payment Perfection processing. Although written for Submission Processing employees, internal controls for remittance security are applicable for any functional area processing remittances.

Effective Date

(01-01-2016)

Related Resources

IRM 3.8.44, Campus Deposit Activity

Submission Processing Website http://win.web.irs.gov/SP/

IRM 3.8.46, Discovered Remittance

IRM 3.8.47, Manual Deposit Process for Field Office Payment Processing

IRM 3.0.167, Losses and Shortages

Document 6209, IRS Processing Codes and Information, available on http://serp.enterprise.irs.gov/databases/irm.dr/current/6209.dr/6209minitoc.htm

All employees and managers of remittance handling operations must familiarize themselves with the following manuals to ensure accuracy, timely deposits, and adherence to internal controls:

  1. IRM 3.30.123, Processing Timeliness: Cycles, Criteria and Critical Dates

  2. IRM 10.2.2, Physical Security Compliance Reviews

  3. IRM 10.2.3, Safeguard Reviews

  4. IRM 10.2.11, Basic Security Concepts

  5. IRM 10.2.13, Information Protection

  6. IRM 10.2.14, Methods of Providing Protection

  7. IRM 10.2.15, Minimum Protection Standards (MPS)

  8. IRM 10.8.34, IDRS Security Controls

Managers of the Deposit Function must also be familiar with IRM 10.4.1, Managers Security Handbook; IRM 10.2.1, Physical Security; and IRM 10.6.1, Continuity Planning Requirements.

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

3.8.45.1  (10-01-2015)
Introduction Scope

  1. This IRM provides administrative directives and processing procedures for remittances in Campuses' Deposit Operations. Administrative directives include cash management, managerial product review, security, and reporting responsibilities.

  2. Obsolete forms and/or documents are mentioned throughout this IRM. Although these forms/documents are obsolete, campuses may occasionally continue to receive them with payments of taxes.

  3. All employees and managers of the Deposit Function must familiarize themselves with the following manuals to ensure accuracy, timely deposits, and adherence to internal controls:

    1. Document 12990, Records and Information Management Records Control Schedules

    2. IRM 3.0.167, Losses and Shortages

    3. IRM 3.8.44, Campus Deposit Activity

    4. IRM 3.8.46, Discovered Remittance

    5. IRM 3.8.47, Manual Deposit Process for Field Office Payment Processing

    6. IRM 3.10.72, Receiving, Extracting and Sorting

    7. IRM 3.24.133, Residual Remittance Processing System

    8. IRM 3.30.123, Processing Timeliness: Cycles, Criteria and Critical Dates

    9. IRM 10.2.11, Basic Security Concepts

    10. IRM 10.2.14, Methods of Providing Protection

    11. IRM 10.2.15, Minimum Protection Standards (MPS)

    12. IRM 21.3.3, Incoming and Outgoing Correspondence/Letters

    13. Document 6209, IRS Processing Codes and Information

  4. In addition, managers of the Deposit Function must also be familiar with:

    • IRM 10.2.1, Physical Security

    • IRM 10.4.1, Managers Security Handbook

  5. See IRM 3.8.45.32 for a Definition of Terms listing.

  6. IRM deviations must be submitted in writing following instructions from IRM 1.11.2.2., Internal Management Documents System - Internal Revenue Manual (IRM) Process, IRM Standards, and elevated through appropriate channels for executive approval.

3.8.45.1.1  (11-16-2015)
Cash Management Responsibilities

  1. The Service is committed to ensuring a 24 hour deposit standard. As we move toward attaining that goal through improved technology, it is of the utmost importance to deposit the largest amount of money in the shortest possible time frame in order to maintain good cash management practices. Management at all levels must monitor the flow of receipts to ensure that this objective is achieved as although the 24 hour cycle can be extended during peak seasons we are still striving to ensure the 24 hour deposit standard is achieved.

    Note:

    Remittances received on Saturday, Sunday and holidays need not be deposited until the next business day (the day following the weekend/holiday).

  2. The Receipt and Control Operation is responsible for the receipt, safeguard, accuracy, and timely deposit of all monies received in payment to the Government through Internal Revenue Service. Maintaining the integrity of the IRS received date is required. Credit all payments for the earliest date received by IRS or Department of Treasury.

  3. All remittances of $100,000.00 or more must be deposited on the day of extraction. If the remittance is extracted after the daily cut-off time for processing the daily deposit, the remittance must be deposited with the next scheduled deposit that will be delivered to the depository.

  4. All remittances of $50,000.00 and up to $99,999.99 must be deposited by the next business day (excluding Saturdays and Sundays). During peak periods identified in (5) below, all attempts must be made to deposit these items the same day of extraction or no later than the next business day.

  5. Beginning 1/1/2016, remittances of $100 million or more will not be accepted from taxpayers. The remittance will be returned to the taxpayer informing them that the IRS can no longer accept a single check, money order or cashier’s check for $100 Million or more. The Federal Reserve Bank and Treasury General Accounts (TGA) depositories will no longer accept these checks, therefore the IRS cannot deposit these checks. The check will be returned by the depository bank to the IRS campus if deposited. Taxpayers should be instructed in the return letter to follow guidance at www.IRS.gov/payments for making same day wire payments or submit multiple checks, money orders or cashier’s checks to pay their tax obligations. When making same day wire payments at www.IRS.gov/payment, midway down the page, click on "Same Day Wire Payments". Read the instructions carefully and check on "Same Day Taxpayer Worksheet." Complete the worksheet and take to your financial institution. Note: If there is more than one tax year or tax period, complete a separate worksheet for each payment.

  6. The extended cycle for the April peak completion date, for depositing receipts, is determined by the Wage and Investment Operating Division and sent to the Campuses thru memorandum.

  7. During the following mini-peaks or when the remit receipts in the Deposit Function exceeds the deposit capacity, the deposit cycle may be extended two business days. However, the extended cycles must not exceed 5 business days. See IRM 3.30.123, Processing Timeliness: Cycles, Criteria and Critical Dates.

  8. The deposit cycle may be extended to a maximum of three business days during the January, April, July and October 31 periods when business returns are received.

  9. Schedule two deposit pickups during peak. Daily scheduled receipts must be based on prior year actual receipts.

  10. In the event there will not be a deposit or if the dollar amount of the deposit will be significantly affected due to an unplanned situation or event, the Operations Manager for Receipt and Control or designee must immediately inform the Headquarters Deposit Analyst, ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ or ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ as soon as it becomes evident there will not be a deposit for the day. When deposit operations resume, inform the Deposit Analyst of the item count and dollar amount of the next deposit. You must also include if you are back on your 24 hour deposit cycle and, if not, when you expect to be timely. Headquarters contacts are listed on the Submission Processing website. If unable to contact the designated Headquarters Submission Processing analyst, please call the Bureau of the Fiscal Service (BFS) (formerly the Financial Management Service (FMS)): ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ first or ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .

3.8.45.1.2  (01-01-2011)
Managerial Responsibilities (Product Review of Final Deposit)

  1. Receipt and Control deposit managers are responsible for ensuring the deposits are released as a quality balanced product.

    Note:

    OUT-OF-BALANCE CONDITIONS MAY NOT BE RELEASED TO DEPOSITARIES.

  2. Deposit managers must perform regular reviews of completed work accumulated in final deposit area.

  3. The review will be conducted on 5 percent of the remittances during non-peak periods.

  4. After Pass 2 on the transport, fan the lower right corner of the block of remittances verifying Magnetic-Ink Character Recognition (MICR) encoded amount agrees with written amount of remittances. Review remittances for breaks in MICR encoded digits and for improper encoding, for example, encoded upside down. Also review the first and last check to ensure the audit trail is complete and legible.

  5. Deposit managers or appointed representatives, must conduct a 100 percent review of deposits prior to release on a given day of each week. This must be continued until deposits are 100 percent accurate on a regular basis and controllable deposit discrepancies are below 100 cumulative items.

  6. Prepare an action plan for conducting the reviews.

    1. Schedule review dates. (The same day of week should not be used on a regular basis. If there is more than one shift, include the various shifts.)

    2. Initiate action if the 24 hour deposit cycle is missed.

    3. Record any unbalanced blocks, slipped blocks, encoding errors, piggy back checks, etc.

    4. Provide employee feedback.

    5. Provide additional training if necessary.

  7. Schedule a meeting with Accounting Operations when necessary to review discrepancies occurring from the 100 percent Product Review dates. All discrepancies must be recorded and follow-up action annotated accordingly.

3.8.45.1.3  (11-16-2015)
Security Responsibilities

  1. Deposit managers must communicate all security standards contained in IRM 10.2.11.9.7, Remittance Processing Areas and IRM 10.2.14.7.4, Control and Safeguarding of Keys and Cipher Lock Combinations, to their employees at least once a year. All employees and managers of the Internal Revenue Service and Treasury are accountable for remittances under their control, including security.

  2. Deposit managers must ensure adherence to all security standards and internal controls in IRMs: IRM 10.2.15, Minimum Protection Standards (MPS); IRM10.2.11, Basic Security Concepts; IRM 10.2.3, Safeguard Reviews; IRM 10.2.14, Methods of Providing Protection, IRM10.2.13, Information Protection; and this manual. Interim guidance and procedures regarding physical or remittance security must be implemented immediately. Interim guidance or procedures may be issued through official memorandums or Servicewide Electronic Research Program (SERP) Feedback, Alerts and Updates.

  3. Adequate security equipment and facilities must be provided to safeguard money, securities, etc., handled in the Deposit Activity Function. Managers will contact appropriate Agency-Wide Shared Services (AWSS) Security Representative, or Campus' Security Function for additional advice or assistance on security matters (refer to IRM 10.2.11, Basic Security Concepts). Money chests, vaults or cabinets affording adequate security must be available in restricted area of Campus' Deposit Activities. These containers must comply with requirements contained in IRM 10.2.14.3, Containers.

  4. The following items are strictly prohibited from the secure Receipt Processing area:

    • Lunch bags/Lunch boxes

    • Purses

    • Backpacks

    • Briefcases

    • Sports Bags

    • Hats

    • Shopping Bags

    • Shoulder Totes

    • Fanny Packs

    • CD or Tape Cases

    • Books

    • Newspapers, magazines, and

    • Similar type items

  5. Random Reviews of All Persons in the Secured Area. First line managers or a designated representative will conduct and document monthly random reviews of employee compliance with all security policies as they relate to personal belongings in the secure remittance processing areas. The reviews must include each employee at least once during the month. The review will be completed at the beginning of the shift and/or upon entrance to the secure receipt processing area. Management shall maintain documentation that includes the date, unit number, employee name, description of item(s) found (if no findings, mark "None" on the review check sheet) and the reviewer's initials. See Exhibit 3.8.45-2.

    Note:

    If there is a medical or religious "exception" to any of the items listed in IRM 3.8.45.1.3(4) above, notate that in the "Comments" section (e.g., "allowed to wear hijab/burqa/kippah/yarmulke" , "needs medical supplies in ice pack bag" , etc.).

  6. Provide each teller/cash clerk with a separate lockable money bag, cash box, or compartment. Each container should be equipped to be opened only by a separate key or combination.

  7. The teller/cash clerk or remittance perfection technician will lock the safe, vault, money chest, or other receptacle or facility provided therein to store funds or other valuables including the door of the teller's/cash clerk's working area whenever the working area is left unattended, refer to IRM 10.2.14, Methods of Providing Protection.

  8. Part 1 of Standard Form 700 is required to be posted inside security containers, including high level security containers and safes storing Form 809, Receipt for Payment of Taxes, monies, and items of value in all remittance processing areas. When completing Form 700, ensure the name(s) of personnel with the combination or keys to respective container is (are) listed on the front of Standard Form 700. The combination and/or duplicate key to lock money chests, vaults, cabinets, money bags, cash boxes or compartments, in which funds are held, will be placed in a sealed envelope for use in the event of an emergency. The envelope (Part III of Form 700) containing a combination and/or duplicate key must be stored under the same protection required for container. The procedures to be followed are the same as Field Office Remittance Processing Area, refer to IRM 10.2.14, Methods of Providing Protection. IRS Offices can place an order for this form at www.gsaglobalsupply.gsa.gov or www.gsaadvantage.gov with either a government purchase card or AAC (Activity Address Code). The Stock Number is 7540-01-214-5372. Current Revision Date: 04/2001.

  9. Change the combination or locks on all containers immediately when one of the following conditions exists:

    1. Upon receipt of new lock.

    2. Whenever there is a change in teller/cash clerk.

    3. When there is an unforeseen absence of the teller(s)/cash clerks/ or any remittance processing individual entrusted with the combination or lock.

    4. When the combination is suspected to be compromised in some other way.

    5. In any event, change combinations at least once a year.

  10. If it becomes necessary to open a teller's/cash clerk's locked compartment in the absence of the teller/cash clerk, two responsible employees will be selected to use duplicate key or combination. They must count the money and prepare a statement of the money and documents found. Both must sign and attach the statement to the receipt that the teller/cash clerk previously signed for the change fund. The monies and documents are then balanced.

  11. Safeguard cash remittances at all times. Keep cash in a locked container or deposit bag to await deposit pick-up after teller's/cash clerk's balancing operation is completed. The key to that container is held by the teller's/cash clerk's immediate manager or other designated employee. Cash conversion to cashier's check or money order are permitted. Use this action in lieu of safeguarding instructions.

  12. The deposit manager or designated employee must conduct periodic unannounced reviews of the items on the Cash Receipts Records and Deposit Tickets monthly, or no less than quarterly. Record when the reviews are completed and the findings. Maintain the records of completed reviews for a year at minimum and include whether an in-depth review is necessary.

  13. Only authorized employees may have access to cash vaults. Restrict all areas in which deposit operations take place in accordance with IRM 10.2.14, Methods of Providing Protection. Any person entering must be given appropriate clearance from a responsible official. Such clearance must be based on satisfactory identification of individual(s) and appropriate reason for entering.

  14. Managers and employees should report any employee or manager suspected of theft to the Treasury Inspector General for Tax Administration (TIGTA) Office of Investigations at 1-800-366-4484 immediately.

  15. Managers of areas receiving discovered remittances must perform monthly reviews of Discovered Remittance Logs, Form 4287, and take appropriate action to eliminate or reduce mishandling of receipts.

  16. Use of IRS computer equipment and systems such as the Intergrated Data Retrieval System (IDRS) require conformance to security rules. Mandatory briefings are conducted annually regarding these requirements.

  17. The Service requires internal control of tax receipts to ensure security during transit. On rare occasions, Submission Processing Campuses (SPCs) transship remittances thru common carrier for processing. Rare cannot be overemphasized! Nearly always, tax receipts must not leave the secured area; rather SPCs are required to process tax receipts on the day of receipt. An example scenario of transshipping a tax receipt (remittance, taxpayer payment) would be a site needing to transship a foreign remittance to a bank for processing. All senders of tax receipts are required to use overnight traceable method to send tax receipts. The use of a completed transmittal, such as Form 3210 Document Transmittal, listing package contents, is required. The name of the sender, return address (with stop number), and telephone number is required on all transmittals. The sender, who is accountable until the funds are received at the destination, must establish a control to ensure delivery of tax receipts and follow up. 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 can be granted. The sender must follow-up within 2 business days to ensure delivery of the remittance package. Access the carrier's website, i.e., ups.com, or usps.com and trace the package. Follow up with the destination contact within 10 working days if necessary. Immediately report all lost remittance packages to the Treasury Inspector General for Tax Administration (TIGTA) Office of Investigations at 1-800-366-4484. Lost or stolen remittances must also be reported to the campus remittance security coordinator. Lost personally identifiable information (PII) must also be reported to the Situation Awareness Management Center (SAMC) at 1-866-216-4809.

  18. All Service employees must take care to protect PII. Any loss of PII could result in information being compromised to perpetuate identity theft. PII information must be encrypted on computers, email. Sanitize taxpayer PII or use secure messaging. If you suspect or know of a potential information loss, report it to your manager, the Treasury Office of Investigations (TIGTA) at 1-800-366-4484, and the SAMC at 1-866-216-4809.

  19. Unless authorized by Physical Security and Emergency Preparedness (PSEP), the use of a camera or the camera function on a camera capable cell phone / Blackberry or any other electronic device is prohibited in the secure remittance processing area. See IRM 10.8.1.4.1.18.6(1)b and (3), Video and Photographic Technologies. In addition personally owned equipment shall not be connected to IRS systems and networks directly or via Virtual Private Network (VPN) as outlined in IRM 10.8.1.4.1.18.3(6)a, Personally Owned and Other Non-Government Furnished Equipment.

3.8.45.1.3.1  (03-19-2015)
Separation of Duties, Sensitive IDRS Command Codes for Remittance Perfection Technicians

  1. Separation of Duties - Managers must ensure that Remittance Perfection Technicians have only research command codes in their Integrated Data Retrieval System (IDRS) profiles. Command codes that are considered "sensitive" and can be used to adjust account balances, change the status of a tax module or account, or affect the tax liability, cannot be used by Remittance Perfection Technicians. Therefore all Remittance Perfection Technicians must have restricted IDRS Profiles. Remittance Perfection Technicians that do not have blank Form 809 responsibilities must have RSTRK with Definer U activated on their IDRS profiles. Refer toIRM Exhibit 10.8.34-11, Restricted Command Codes for the Role: Remittance Perfection Technicians Who Do Not Have Blank Form 809 Responsibilities (RSTRK Definer U). This will allow for the use of Command Code URADD that is needed to deposit and process Unidentified remittances. Managers must ensure that only employees that are assigned to work Unidentified Deposits have Command Code URADD in their IDRS profile. When reviewing employees profiles, any profiles that contain URADD and zero times accessed, should be assessed for need. Managers with Remittance Perfection Technicians that have blank Form 809 responsibilities should follow guidance in IRM 3.8.47.2(7)f, Remittance Policy, for activating IDRS profiles with Command Code RSTRK with definer R. Refer to IRM Exhibit 10.8.34-10, Restricted Command Codes for the Role: 809 Receipt Book Users and Submission Processing employees that issue, verify, or reconcile blank Form 809 (RSTRK Definer R)

    Note:

    Receipt and Control employees with IDRS access other than Remittance Perfection Technicians that handle hard-copy taxpayer receipts and related taxpayer information, should also have IDRS Command Code RSTRK with Definer U added to their IDRS profile. Managers must ensure that Command Code URADD is not in the IDRS profile of employees that do not perform Unidentifed remittance deposit duties. When reviewing employees profiles, any profiles that contain CC URADD and zero times accessed, should be assessed for need.

    .

3.8.45.1.4  (11-16-2015)
Reporting Responsibilities

  1. The Daily Deposit Report (DDR) is used to monitor the campuses total daily deposits.

    1. The DDR should contain the deposit date, Integrated Submission and Remittance Processing (ISRP) deposit volume and amount, manual deposit volume and amount, and the total volume and amount of the combined deposits. See Exhibit 3.8.45-1.

  2. Daily, campuses must email the current day's Daily Deposit Report to Treasury with a "cc" to Headquarters (HQ) by Beginning of Business (BOB) of the following day. (For example, deposit data for Tuesday must be emailed to Treasury and HQ by BOB Wednesday). Forward the report to the following email addresses:

    1. Treasury: receipts@treasury.gov.

    2. Headquarters: *HQ Service Center Accounting (on the global address directory).

    3. nympstaff.markets@ny.frb.org

  3. Immediately contact ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ; or thru email at ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ and ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ when these reporting requirements cannot be met.

3.8.45.1.5  (01-01-2011)
Weekday/Weekend Reporting

  1. The Deposit Function is required to report total dollars and items deposited to Headquarters and Treasury on a daily basis. There will be periods when it is necessary to work weekends to meet the deposit requirements or to meet the Program Completion Date (PCD).

  2. When the Deposit Function works weekends, you must report by BOB Monday morning the total dollar amount and item count that was processed on Saturday and Sunday.

    1. Some sites process Friday evening receipts with the following Monday's or Tuesday's Julian Date. When this is done, Friday's amounts and volumes must be included with Monday's or Tuesday's Receipts. If Monday is a holiday, Friday's amounts and volume must be included with Tuesday's receipts.

3.8.45.1.6  (01-01-2011)
Holiday Reporting

  1. When it is necessary to work a holiday, the dollars and items deposited on the holiday, will be included in the next business day's deposit report.

    1. When Monday is a holiday, Tuesday's deposit report must include any deposits made on Saturday, Sunday, and/or Monday and Tuesday. Forward thru email on Wednesday morning, the total dollars and items deposited on Tuesday. Transmit a single total deposit and volume amount for the entire period.

    2. When the holiday is Tuesday, Wednesday or Thursday, the next day's deposit must include the holiday and the reporting day. Transmit a single total deposit and volume amount for the entire period.

    3. When the holiday is on Friday, Monday's deposit must include Friday, Saturday, Sunday and Monday. Transmit a single total deposit and volume amount for the entire period.

  2. If the holiday is a state holiday, but not a federal holiday, Treasury regulations require that the deposit must still be made. The Receipt and Control Operations Manager must have a contingency plan for days when the depository that receives the daily deposit is closed and the IRS campus is open.

    1. Alternate transportation must be arranged. If the regular courier is unable to make the trip, the courier contingency plan can be used.

    2. Contact the Manual Deposit Headquarters analysts, ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ . They will coordinate with the contacts for your depository bank to find the closest location for courier delivery.

3.8.45.1.7  (03-14-2014)
Losses and Shortages

  1. When a manager or an employee becomes aware of a loss or shortage, including a breach of personally identifiable information (PII), the loss or shortage must be reported immediately.

  2. The manager will obtain a statement within 5 workdays from the employee who discovered the loss or shortage. The report will contain the following items.

    1. Date the loss occurred or was discovered.

    2. The amount of loss or shortage.

    3. The type of tax or fund in which loss or shortage occurred.

    4. The circumstances involved with loss or shortage.

    5. The employee's signature, position, title, and the date the statement was prepared.

  3. Managers will prepare a statement, to the best of their knowledge, pertaining to loss or shortage. The statement will contain the following items.

    1. Attempts to reconcile differences.

    2. Determination of negligence.

    3. Any other pertinent information.

  4. The Operations Manager, Receipt and Control, is responsible for notifying the Territory Manager or Department Manager and Campus' Director to contact TIGTA Office of Investigations at 1-800-366-4484 if thefts or embezzlements by employees are suspected; the local Security function, if loss is caused by robbery, burglary, or through casualty; and/or the Secret Service, if loss involves counterfeit money still in possession of IRS. Lost or stolen personally identifiable information must also be reported to the Situation Awareness Management Center (SAMC) at 1-866-216-4809.

    Note:

    Always notify and coordinate these types of cases through the Submission Processing Planning and Analysis Remittance Security Coordinator.

  5. Prepare and transmit a preliminary report within 10 workdays to Chief, Accounting Services Section, SE:W:CAS:SP:ATP:AS, Headquarters Submission Processing, when a loss is caused by apparent embezzlements, robberies, or other discrepancies. The report must include documentation covering circumstances of loss, recommendations for corrective action, if any, and a copy of the Inspector's report.

  6. Provide a copy of the loss report to the Campus' Accounting Operations within 10 workdays.

  7. Procedures for requesting relief and more detailed loss information are contained in IRM 3.0.167, Losses and Shortages.

3.8.45.1.8  (11-19-2013)
Depository Bank

  1. The commercial depositories for campuses are selected for a specified period (with two one-year renewal options). They are chosen through a competitive bid process initiated by IRS and directed by the Treasury Department, Bureau of the Fiscal Service (Formerly Financial Management Service (FMS)).

  2. The affected campus will be requested to submit requirements in memorandum form, detailing the specific items necessary for a good working relationship. This memorandum will become a part of the bid process and should include statistical data, deposit characteristics, balancing issues, a list of IRS officials and managers, and any local issues.

  3. The first part of the statistical data required, will be taken from a two week period preceding the preparation of the memorandum. The data will contain the following elements.

    1. A listing by check routing number.

    2. Total volume and dollar amount of checks.

  4. The second part of the statistical data will be taken from the preceding 12 months. The data will contain the following elements.

    1. Daily dollars and items deposited for the preceding 12 months.

    2. Daily number of debit vouchers and deposit tickets processed.

    3. Total dollars and items of returned checks processed.

  5. Certain deposit characteristics required to be in the memorandum will include the following elements.

    1. Depository pick-up time(s).

    2. Peak/non-peak period definitions.

    3. Deposit package definitions, e.g., deposit tickets and related deposit categories, as well as block totals, fasteners, packaging, etc.

  6. The memorandum will contain procedures for balancing the deposits. The procedures should cover the following elements.

    1. Missing remittances procedures.

    2. Dishonored check procedures.

    3. Timely submission of debit vouchers or supplemental deposit tickets procedures.

    4. Access to on line viewing system for images of checks deposited manually.

  7. The memorandum will contain a list of IRS officials and managers, position titles, description of area of responsibility, and phone numbers.

  8. The memorandum will contain any local issues, e.g., deposits of currency, courier service, sorted/unsorted checks (in-city/out-of-city).

  9. When the Director, Over the Counter Division A/C Revenue Collections Division, within the Bureau of Fiscal Service, approves a bank as a depositary, notification will be sent to the bank and to the Business Operating Division. The Operating Division will notify the Campus' Director. The campus will then begin depositing in the newly authorized depository on the date agreed upon. When available, Campuses will be provided a copy of pertinent portions of the contract.

  10. If a Field Director, Submission Processing desires to discontinue the use of a designated depositary, the request will be sent to Headquarters Submission Processing, Attention: Chief, Accounting Services Section SE:W:CAS:SP:ATP:AS, for transmittal to the Bureau of the Fiscal Service (Formerly the Financial Management Service).

3.8.45.1.9  (01-01-2011)
Courier Service Minimum Requirements

  1. All bonded courier service contractors must understand and adhere to the following language:
    As an independent contractor under contract with the Financial Institution or Submission Processing Campus, you must fully understand that much of the information that is provided to courier service contractors and its employees is privileged and legally and administratively restricted and falls under the provisions of the Privacy Act of 1974 and the Internal Revenue Code (IRC) IRC 6103, IRC 7213 and IRC 7431. The Privacy Act, the Safeguards, and the Criminal/Civil Sanctions paragraphs specify the courier service contractor's responsibility and liability regarding disclosure of this information. At the expiration of the courier service contract with the financial institution or Submission Processing Campus, the courier service contractor is required to return all documents in its possession to the Internal Revenue Service.

3.8.45.1.9.1  (03-19-2015)
Courier Service Requirements and Responsibilities

  1. The courier service contractor will be bonded/licensed and the employees designated to transport IRS deposits and/or requiring access to IRS sites shall:

    1. Satisfy the requirements for a Low Risk Investigation conducted by IRS personnel, which includes a Federal Bureau of Investigation (FBI) fingerprint and name check, as defined in IRM 10.23.2, Contractor Investigations.

    2. Be a U.S. citizen or have Lawful Permanent Resident Status (LPR).

    3. If immediate family members are employed as couriers for the same courier service, these employees must complete the Couriers Additional Disclosure Statement.

  2. The Courier Additional Disclosure Statement (CADS) must be completed by each courier employee and must include:

    1. Name(s) and relationship(s) of all family members who perform courier duties. If no other family members perform courier duties, write "NONE" in large letters in the space where family member's name(s) are to be shown on the CADS.

    2. Printed or typed name of the courier.

    3. Signature of the courier.

    4. Signature of courier service authorizing official and date.

    5. The disclosure statement must be updated annually or when a change of status occurs.

    6. The courier service must notify the designated Submission Processing Campus contact within 24 hours of a change in a courier's status.

  3. The government has broad authority to interpret the scope of "immediate family" in this context. Generally, immediate family members refer to parent, spouse, child, step-child, foster child, step parent, half siblings, siblings, and foster parent. However, when couriers who are related reside in the same domicile, the definition of "immediate family" may be broadened and prohibitions extended to include others (e.g., grandchildren, sons-in-law, daughters-in-law, first cousins, and other second generation family members).

  4. The courier shall provide the IRS with two (2) contact names (a primary and an alternate), telephone numbers, and cell phone numbers, if applicable. Also, the courier service must provide the IRS with a 24 hour emergency telephone number and name of the person to contact during non-business hours. The courier service must notify the Internal Revenue Service within 24 hours of any change in contact persons and/or telephone numbers.

  5. The courier shall provide a monthly Courier Deposit Access List (CDAL) and copies of all Courier Additional Disclosure Statements (CADS). The CDAL must be of courier service employees designated to transport IRS deposits, on a signed contractor's official dated letterhead, with the following information:

    1. Employee's Typed Name

    2. Employee's Title

    3. Employee's Signature

    4. Employee's Photograph

  6. The Courier must ensure the CDAL and the CADS are current by notifying the designated Submission Processing representative or alternate within 24 hours, by facsimile transmission, email or hand delivery:

    1. When a courier service employee who appears on the CDAL has been discharged from his/her duties.

    2. When a new courier service employee has been hired to provide the services specified herein with the same information as required for the CDAL and the required NBIC Background Investigations letters have been received.

    3. When a courier has experienced a change that will affect their relationship status, the CADS must be updated.

  7. The courier service shall provide each courier service employee with a printed and laminated identification card containing the following information that is consistent with the CDAL information provided to the agency:

    1. Employee's Typed Name

    2. Employee's Title

    3. Employee's Signature

    4. Employee's Photograph

    5. Company Name

  8. The courier service will ensure that all courier service employees:

    1. Display (on their person) the picture identification card that clearly identifies them as authorized messengers for the courier service.

    2. Wear company logo uniforms.

  9. The courier service must ensure on a continuous basis that:

    1. Two courier service employees who appear on the CDAL are provided for each deposit pickup from the Submission Processing Campus and for delivery to the depository.

    2. The two courier service employees are not related by checking their names against the CADS.

    3. The courier vehicle being used to transport deposits is always locked and secured whenever IRS data is contained within the vehicle until it reaches its destination.

    4. The courier vehicle is always under the supervision of one of the couriers and never left unattended.

    5. Deposits are transported in an appropriate vehicle. The IRS prohibits any deposit packages and/or containers to be transported by walking or by bicycle.

    6. Courier service employees review Form 10160, Receipt for Transport of IRS Deposit, to ensure information is accurate by verifying package seal numbers on mailbags and by signing and annotating the time the courier service is taking possession of the deposit. Use the cell phone of the courier driver to ensure an accurate consistent time. Do not use a personal watch. See Exhibit 3.8.45-7.

    7. Agency deposits are not transferred to another courier service employee or courier service vehicle after the deposits are picked up. Exception: In emergency situations, such as in the event of vehicle breakdown, or inclement weather, the courier service employee must immediately notify the IRS and Bank. To ensure this notification can be made promptly, courier vehicles must contain appropriate IRS Submission Processing Campus contact names/phone numbers, and courier employees must carry a cell phone.

    8. Agency deliveries are dedicated to the IRS and no other packages will be transported with IRS packages in the same vehicle. The area of the vehicle in which the agency packages and/or containers are placed must be clean, debris-free and without containers, materials such as canvas or plastic used to cover or protect articles, or other items.

    9. Delivery of agency packages and/or containers occurs on the same day. Overnight delivery of agency packages and/or containers is not permitted.

    10. Upon delivery of the packages/containers to the designated depositary, the courier service employee must obtain the signature of the person receiving the deposit, the date and time on Form 10160, Receipt for Transport of IRS Deposit. Ensure the time of the depository is consistent with the cell phone time of the courier driver. If not, the courier driver should notate the time from their cell phone in the outside edge of the Form 10160 to be returned to the IRS.

    11. The courier service must immediately notify the IRS and Bank when established schedules/time-frames cannot be met. The courier must also notify the IRS within 1 hour of an accident or the theft, loss, or destruction of government property being transported. To ensure this notification can be made promptly, courier vehicles must contain appropriate IRS Submission Processing Campus contact names/phone numbers, and courier employees must carry a cell phone.

  10. The courier service must ensure that vehicles provided for the purposes of satisfying the conditions specified herein meet the following requirements:

    1. The vehicles are maintained in good condition, appearance and working order.

    2. The vehicles must be state-registered and meet the minimum safety standards of the licensing state.

    3. The vehicles must be steel framed and doors must be able to be secured from both inside and outside.

    4. The area of the vehicle in which the agency packages and/or containers are placed is clean, debris-free and without containers, materials such as canvas or plastic used to cover or protect articles, or other items.

    5. All IRS deposits must be transported within the locked area of a vehicle (such as the cab or trunk). "Locked area" does NOT include any container of any sort in the bed (back) portion of a pickup truck or any open bedded vehicle (with or without a camper shell) whether or not such shell or container is locked or otherwise secured.

  11. The courier service will provide ad-hoc pickups for large dollar remittances when notified by the designated IRS Submission Processing representative or designee.

  12. The courier service must ensure that a courier service employee returns by the next business day:

    1. The original Form 10160, Receipt for Transport of IRS Deposit, with bank's received date, time of receipt, printed name and signature of bank representative who received the deposit at a designated depositary bank.

    2. All mailbags and/or boxes, except plastic bags.

  13. The courier service will ensure that the company has and maintains insurance coverage valued at $1,000,000 to cover the costs to reconstruct a lost, stolen or destroyed deposit made payable to the IRS.

  14. The courier service shall provide bonding or insured certifications to the IRS Contracting Officer's Technical Representative (COTR).

  15. The courier service must provide within 30 days of receipt of new requirements or prior to implementation of a new contract a Disaster Contingency Plan. The contingency plan must address what alternative actions the courier will implement to fulfill its obligation in the event of employee strikes, inclement weather, natural disaster, traffic accident and unforeseen events. This plan will be provided to the COTR for the IRS.

  16. All courier service employees responsible for transporting the deposit must complete a review of the IRS Annual Courier Service Security Briefing provided by the Submission Processing Campus Representative. The signed documentation verifying completion of the Security Briefing must be provided back to the Submission Processing Campus Representative within 30 days of receipt. New courier employees must complete the Security Briefing immediately upon their hiring, and the signed documentation of completion must be submitted to the IRS before they will be allowed to transport a deposit to the depository.

  17. The courier service must be aware that periodic unannounced surveillance of courier drivers will be conducted from the IRS Campus they service, to the respective depository banks, by IRS HQ personnel. IRS reserves the right to inspect any vehicle or driver to ensure that deposits are safeguarded during transit and drivers are consistent with requirements specified in the contract.

3.8.45.1.9.2  (01-01-2011)
Receiving Bank Employee Requirements and Responsibilities

  1. Upon receipt of the deposit package, the receiving bank employee will examine the deposit package for any obvious indication of tampering during transport. The receiving bank employee will then:

    1. Match volume and seal numbers on mailbags to Form 10160.

    2. If all seal numbers agree and are intact, the receiving bank employee will complete the receipt portion of Form 10160 by annotating the date, time of receipt, receiving bank employee's name and signature, and give an original and one copy to the courier, who will return the original receipted Form 10160 to the Submission Processing Campus by the next business day.

    3. If the seal numbers do not agree, then the receiving bank employee must immediately notify the designated Submission Processing Receipt and Control Operations Manager or designee and follow established bank procedures.

3.8.45.1.9.3  (11-16-2015)
Submission Processing Campus Receipt and Control Requirements and Responsibilities

  1. Must ensure that courier service employees designated to transport IRS deposits and/or requiring access to IRS sites:

    1. Satisfy the requirements for a Low Risk Investigation, which includes a Federal Bureau of Investigation (FBI) fingerprint and name check as defined in IRM 10.23.2, Contractor Investigations, and conducted by IRS personnel.

    2. Be a U.S. citizen or have lawful permanent status.

    3. If immediate family members are employed as couriers for the same courier services, these employees must complete the Courier's Additional Disclosure Statement (CADS).

  2. The COTR for the Courier contract will be required to ensure that all courier employees have satisfied the low risk investigation. The information on completing this investigation can be found at http://hco.web.irs.gov/recruitstaff/PersonnelSecurity/NBIC/COTR-forms.shtml.

  3. Must maintain in Receipt and Control and have accessible for review upon demand a copy of the following items:

    1. The memorandums granting Staff-Like-Access for each courier service employee listed on the CDAL.

    2. Courier Deposit Access List (CDAL) on site for 1 year after the conclusion of the Government Accounting Office (GAO) audit for that year.

    3. Unexpired approved background investigations must be maintained on site.

    4. Expired background investigations and the investigations for employees who are no longer employed by the courier company must be maintained on site for 1 year after the conclusion of the GAO audit for that year.

    5. A current valid courier insurance certificate valued at 1 million dollars must be maintained on site and produced upon request. If the certificate expires during the year, both certificates must be maintained together on site. When new insurance certificates are issued, provide copies to the Headquarters Deposit Analyst within 5 working days.

    6. Expired insurance certificates must be maintained for 1 year after the conclusion of the GAO audit for that year.

    7. A copy of the Courier's Additional Disclosure Statement (CADS) must be maintained on site with the CDAL for one year after the conclusion of the General Accounting Office audit for that year.

    8. Courier incident log.

    9. Courier Daily Check List.

  4. Shall provide the courier company with two (2) contact names (a primary and an alternate), telephone numbers, and cell phone numbers. Also, the Submission Processing Campus must provide the courier company with a 24 hour emergency telephone number and name of the person to contact during non-business hours. The Submission Processing Campus must notify the courier company within 24 hours of any change in contact persons and/or telephone numbers.

  5. Must maintain a monthly Courier Deposit Access List (CDAL) and copies of all Courier's Additional Disclosure Statement (CADS). The CDAL must be of courier service employees designated to transport IRS deposits, on the contractor's signed official dated letterhead, with the following information:

    1. Employee's Typed Name

    2. Employee's Title

    3. Employee's Signature

    4. Employee's Photograph

  6. The Courier Additional Disclosure Statement must be completed by each courier service employee and must include:

    1. Name(s) and relationship(s) of all family members (regardless of residence) who perform courier duties. If no other family members perform courier duties, write "NONE" in large letters in the space where family member's name(s) are to be shown on the CDAL.

    2. Printed or typed name of the courier.

    3. Signature of the courier.

    4. Signature of courier service authorizing official and date.

    5. The disclosure statement must be updated annually or when a change of status occurs.

    6. The courier service must notify the designated Submission Processing Campus contact within 24 hours of a change in a courier's status.

  7. The government has broad authority to interpret the scope of "immediate family" in this context. Generally, immediate family members refer to parent, spouse, child, step-child, foster child, step parent, half siblings, siblings and foster parent. However, when couriers who are related, the definition of "immediate family" may be broadened and prohibitions extended to include others (e.g., grandchildren, sons-in-law, daughters-in-law, first cousins and other second generation family members).

  8. Must provide updates of the CDAL to the Physical Security Office (PSO) immediately upon receipt to ensure authorized and timely access. Route the CDAL to PSO with a Form 3210. File the acknowledged Form 3210 with the CDAL for retention.

  9. Must ensure monthly the validity of the CDAL and the CADS by:

    1. Reconciling the monthly list against updated CDALs received advising when a courier service employee who is authorized to satisfy the services specified herein has been discharged/hired. Discrepancies found during reconciliation will be documented in writing and brought to the attention of the COTR or Receipt and Control Operations Manager or designee within 1 business day of discovery.

    2. The CADS must be updated when a courier has experienced a change that will affect their relationship status. Campuses must provide blank copies of the CADS form to the courier or depositary when requested.

    3. The COTR will ensure monthly that new personnel have undergone a low risk investigation, which includes an FBI fingerprint/name check before access is granted.

    4. The Receipt and Control Operations Manager or designee, will ensure monthly that new personnel have undergone a low risk investigation, which includes FBI fingerprint/name check before access is granted.

  10. Must ensure that verification of identity for each courier service employee is performed by comparing the individual's identification card against the CDAL and CADS as follows:

    1. An authorized access list at the first point of contact (e.g., Gate, main building entry, loading dock) by a member of the contract security guard force assigned to the Submission Processing Campus.

    2. CDAL at the point of pickup by the designated IRS Submission Processing representative or designee.

    3. Ensure that the two courier service employees are not related by checking their names against the CADS.

  11. In addition to the requirement contained in (9) above, the local Physical Security Office (PSO) can grant access on the basis of the following:

    1. Information maintained in the campus Electronic Access Control System (EACS) database, or;

    2. Information maintained in a database (or similar) used by the PSO to clear visitors at the first point of contact.

      Note:

      If either option 10a or 10b is utilized, it is required that the access authorization for each courier employee be associated with an expiration date (or verification date) whose term matches the updates required of Courier Deposit Access List. IRM 3.8.45.1.9.1(5).

  12. Must ensure that all courier service employees designated to transport IRS deposits:

    1. Display (on their person) the picture company identification card with the company logo that clearly identifies them as authorized messengers for the courier service.

  13. Must establish the following conditions for courier pickup of deposit:

    1. Designate a place/entrance for courier service employee pickup ensuring that access into the Submission Processing Campus is limited (e.g., loading dock).

    2. Designate a time for courier service employee pickup.

    3. Ensure that all deposits prepared for pickup by the courier service employees be delivered and turned over by the designated IRS Submission Processing representative or designee.

    4. Ensure that all deposits are accompanied to the courier service employees vehicle by at least one Receipt and Control employee.

  14. Must, on a continuous basis, inspect the courier service vehicle to ensure that no unauthorized passengers are accompanying the courier service employees designated to accept the agency's deposit and ensure that all doors are locked once the deposit is placed in the vehicle.

  15. Procedures for Securing Deposit Packages:

    1. Must ensure that all deposit packages, at a minimum, are contained in corrugated boxes, secured with either heat strap or packing tape on all sides securing all top flaps, side panels and seams, then placed in high level security mailbags with non-sequential numbered seals for tracking. Ensure all numbered seals are securely fastened to prohibit removal of boxes or the numbered seal without being broken.

    2. Must ensure all deposit boxes and mailbags are clearly tagged with "To and From" address.

    3. The deposit employee will prepare Form 10160, Receipt for Transport of IRS Deposit. (See (16) below for preparation procedures of Form 10160 )

  16. Must complete Form 10160, Receipt for Transport of IRS Deposit, for each courier service employee pickup and, additionally, ensure the following information is contained on each Form 10160:

    1. The name and signature of the designated IRS Submission Processing representative or designee who released the deposit to the courier service employee.

    2. The time the deposit was released to the courier service employee. To maintain consistency utilize the courier driver's cell phone to annotate the release time. Do Not use personal watches. This will also ensure they are carrying the required cell phone with them.

    3. The date the deposit was released to the courier service employee.

    4. The number of boxes released to the courier service employee.

    5. The serialized number(s) of the security seal(s) used to secure the deposit are entered in "Description" column.

    6. The name and signature of the courier service employee who received the deposit.

    7. Must maintain one carbon copy of Form 10160 with the courier service employee's signature, date, and time they took possession of the deposit.

    8. Must receive back by the next business day the original completed Form 10160 with bank representative's signature, date, and time deposit was received by the depositary. The date and the time the deposit was received by the depositary may be handwritten or date stamped by the bank representative. Date stamp the reverse side of each Form 10160 with the date the form was received from the bank.

    9. Must reconcile each day's Form 10160 to ensure you are receiving dedicated service (e.g., the time between your release to the courier and the release to the bank is not in excess of the time allowed in the Courier Contract Statement of Work). If discrepancies are found, or if Form 10160s are not returned from the bank as required, immediately notify the designated Submission Processing Campus Operations Chief with responsibility for deposits. Notate the issue in the Courier Incident Log.

    10. Must retain for 3 years from date of deposit of Form 10160.

3.8.45.1.9.3.1  (11-16-2015)
Courier Contingency Plan Development

  1. This subsection provides campuses with the information necessary to create a courier contingency plan. However, site-specific issues should be identified and included as necessary.

  2. All of the following elements must be incorporated into each campus' local courier contingency plan:

    1. Courier company contact name and number. This will facilitate contact with the courier company in an attempt to rectify the failed requirement.

    2. Directions to the campus' depositary.

    3. Contact name and numbers at the depository to notify them of any change or delay in the delivery of the deposit.

    4. List of the designated campus non-bargaining employees (primary and alternates) and telephone numbers who will be responsible for delivering the deposit.

    5. Establish procedures to obtain a government vehicle that will be used to deliver the deposit to the depository. If a government vehicle is not an option, identify how the deposit will be transported to the depository.

    6. Name and number of HQ Deposit analysts, ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ , who must be notified as soon as possible when it is necessary to implement the contingency plan.

    7. Identify campus employee or designee who will be responsible for notifying the following: Receipt and Control Operations Chief or designee, HQ Deposit Analyst, and SPC COTR.

    8. The date the contingency plan was created/revised.

  3. Campus employees are required to adhere to all deposit delivery procedures. They will ensure:

    1. Form 10160 is completed.

    2. There will be no stops between the Campus and the point of delivery at the depository.

    3. They will have access to a cell phone in case of emergency.

    4. The vehicle must meet the requirements outlined in IRM 3.8.45.1.9.1(10).

  4. The plan should be utilized when the following occurs with the campus' contracted courier:

    1. The courier fails to arrive.

    2. The courier company fails to send two authorized couriers and the courier service will be unable to send suitable replacement couriers in time to meet the campus' deposit deadline.

    3. One or both couriers do not meet the requirements outlined in IRM 3.8.45.1.9.1 and the courier company will be unable to send suitable replacement couriers in time to meet the campus' deposit deadline.

    4. The vehicle does not meet the requirements in IRM 3.8.45.1.9.1(10) and the courier service will be unable to send a suitable replacement vehicle in time to meet the campus' deposit deadline.

    5. The courier company has allowed their required one million dollar insurance binder for deposit reconstruction to expire as required in IRM 3.8.45.1.9.1(13) and will be unable to present a current insurance binder in time to meet the campus' deposit deadline.

    6. The contract with the courier has expired.

    7. The time on Form 10160 from the previous day exceeds the time allowed in the courier contract, and the courier company management cannot provide a reasonable explanation (i.e., car problems, traffic, weather, etc.)

    8. If the courier company is unable to pick up the deposit and hazardous conditions exist, the Operation's Manager in Receipt and Control should evaluate the conditions before implementing the contingency plan. If it is determined that conditions are too hazardous to deliver the deposit under the contingency plan, secure the deposit in the secured area of Receipt and Control and make arrangements for delivery at the earliest opportunity. Notify the Depository Bank contact of the situation.

  5. The campus contingency plan must be updated when there is a change in IRS personnel, courier service or depositary.

  6. A copy of the contingency plan must be maintained with the CDAL.

3.8.45.1.9.3.2  (01-01-2011)
Daily Courier Checklist

  1. The Daily Courier Checklist must be completed by the Receipt and Control employee who releases the deposit to the Courier (See Exhibit 3.8.45-9). The purpose of the checklist is to:

    1. Ensure the courier meets all outlined requirements before the deposit is released.

    2. Document the steps taken to correct the situation when the courier is not in compliance.

    3. Provide documentation to Headquarters to address contract issues that may arise.

  2. The checklist must be signed by the employee. If there is an issue that must be notated in the Courier Incident Log, the checklist must also be signed by the manager.

  3. The checklist must be retained on file for the current calendar year plus two years and then destroyed unless the courier daily checklist is involved in any case or administrative action. If the record is involved in any discrepancy related to the courier, the document must be retained for three years following the last action on any case or administrative action.

  4. If space is a concern, campuses may scan the completed and signed documents and retain electronic copies for the retention period.

3.8.45.1.9.4  (01-01-2011)
Courier Incident Log

  1. All incidents involving couriers must be recorded on the Courier Incident Log Exhibit 3.8.45-8. The following information must be recorded on the Courier Incident Log:

    1. Date - The date the incident occurred.

    2. Courier Employees Name(s) - The names of the courier employees transporting that day's deposit.

    3. Pick Up Time - The time the deposit was released to the courier.

    4. Number of Boxes - The number of boxes included in that day's deposit.

    5. Problem Incurred/Action Taken - A brief explanation of the incident (i.e., not in uniform, no ID badge with the company logo, only one courier employee, courier failed to arrive, courier not on CDAL, courier arrived late, 10160 not returned, etc.) AND a brief note indicating the action taken by the Campus (i.e., deposit not released, contingency plan implemented, contacted courier company officials, deposited next day, contacted HQ, etc.).

    6. Reporting Official - Printed name and signature of Receipt and Control Operations Manager or designee.

  2. The Courier Incident Log must be maintained on file for the current calendar year plus two years and then destroyed unless the Courier Incident Log is involved in any case or administrative action. If the Log is involved in any discrepancy related to the courier, the document must be retained for three years following the last action on any case or administrative action.

3.8.45.1.9.5  (11-16-2015)
Submission Processing Receipt and Control Operations Manager or Designee Responsibilities

  1. Must ensure procurement of a sufficient number of high-level security mailbags and non-sequential numbered seals to provide for all deposit transports.

  2. Upon notification of tampering or loss, the Operations Manager will notify the:

    1. Office of the Treasury Inspector General for Tax Administration (TIGTA).

    2. Remittance Security Coordinator for the campus.

    3. Headquarters Deposit Analyst, ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

    4. The Contracting Officer's Technical Representative (COTR) designated for the courier contract.

  3. Will be required to ensure that all courier employees have satisfied the basic investigation as described in IRM 3.8.45.1.9.1(1) above.

  4. Shall ensure the receipt of the Disaster Contingency Plan from the courier service.

  5. Shall ensure incidences involving couriers are recorded and accessible for official use. See Exhibit 3.8.45-8.

  6. If the Form 10160 is returned to the campus and the bank representative's signature (when required) or the date and/or time the deposit was received at the depositary bank is not present, proceed as follows:

    1. Contact the bank representative and request an updated Form 10160 with entries to all necessary fields. Notate the incident in the Courier Incident Log.

    2. Remind the courier company management and employees to make sure the receiving bank employee makes entries in all required fields on Form 10160.

    3. If the problem continues, contact the Headquarters Manual Deposit analyst. The HQ analyst will contact HQ management and Bureau of the Fiscal Service (Formerly Financial Management Service (FMS)), who will pursue the problem with the bank. Note on the Courier Incident Log that the problem has been elevated to Headquarters for resolution.

      Note:

      If the transport time for the previous day exceeds the time allowed in the courier contract, and no reasonable explanation can be provided, enact the Courier Contingency Plan and contact the HQ Analyst.

3.8.45.1.9.6  (05-20-2013)
Contracting Officer's Technical Representative (COTR) Responsibility

  1. Shall ensure that the company has and maintains bonding/insurance coverage valued at $1,000,000 to cover the costs to reconstruct a lost, stolen or destroyed deposit made payable to the IRS.

  2. Shall maintain a copy of the insurance certificate.

  3. Shall contact Headquarters Deposit analysts if the transport time on Document 10160 exceeds the time allowed in the courier contract, and no reasonable explanation can be provided by the courier company management.

  4. Shall deliver the Annual Memorandum For All Courier Service Contractors, issued by HQ on or before March 15, to the designated representative of the courier company. The courier company representative will acknowledge receipt by signing Form 3210. The acknowledged Form 3210 will be maintained by the COTR for two years after the signature date.

  5. Shall deliver IRS Annual Courier Security Briefing package to the courier company at the same time as the Annual Memorandum For All Courier Service Contractors. A copy of the signed Form 3210 verifying the courier company has received the Annual Memorandum For All Courier Service Contractors, and a copy of the Documentation of Completion for the Annual Courier Service Security Briefing with courier employee signatures should be emailed to HQ analysts ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ by April 15th. If the Form 3210 and documentation have not been received back from the courier company, the courier contingency plan should be implemented on April 16th and remain in affect until received from the courier company. Documentation of Completion for the Annual Courier Service Security Briefing will be maintained by the COTR for two years after signature date.

3.8.45.1.9.7  (08-13-2015)
Headquarters Deposit Analyst Responsibility

  1. Shall issue annually, on or before March 15, a Memorandum For All Courier Service Contractors. This memorandum will list all requirements and responsibilities for courier service employees.

  2. Shall issue annually, with the Memorandum For All Courier Service Contractors, a package of materials for the IRS Annual Courier Service Security Briefing to be completed by all Courier Service Employees with access to IRS data. The courier company must return Documentation of Completion to the COTR by April 15th. A copy of the signed Form 3210 verifying the courier company receipt of the Annual Memorandum For All Courier Service Contractors, and a copy of the Documentation of Completion for the Annual Courier Service Security Briefing with courier employee signatures should be emailed to HQ analysts ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ by April 15th. HQ Analyst will contact the campus COTR if emailed copies have not been received by April 15th. HQ analysts will verify if the Memorandum and Documentation have been received or instruct the campuses to implement the Courier Contingency Plan beginning on April 16th until received from the courier company.

  3. Courier Surveillance will be conducted at all Submission Processing Campuses by Headquarters analysts during the annual Campus Unannounced Internal Security Reviews. Timeframes for courier delivery of the deposit listed in the Courier Contract Statement of Work will also be reassessed during the Unannounced Internal Security Reviews and at a minimum reassessed after each calendar year or whenever there is a change in the depository location. The methodology used to calculate the timeframes will be based on trip timeframes as documented on Form 10160 for an entire calendar year. The following methodology will be used to determine the timeframes:

    1. Determine the Mean timeframe of the delivery time from Form 10160 for a calendar year period

    2. Calculate the Standard Deviation from the range of significant timeframes used to determine the Mean timeframe.

    3. Add two Standard Deviations to the Mean timeframe to determine the allowable timeframe.

    : Requests to adjust the Courier Timeframe must be approved by the Procurement Contracting Specialists responsible for updating the Statement of Work.

  4. Upon notification of any courier issues, the Headquarters Deposit Analyst will contact HQ management. HQ management will determine if additional courier surveillance is needed as a result of courier issues. HQ management will contact the courier company's management and make the decision to resume or terminate the courier contract.

3.8.45.1.9.8  (11-19-2013)
Bureau of the Fiscal Service (BFS) (formerly Financial Management Service (FMS)) Responsibility

  1. Shall ensure the receipt of the Disaster Contingency Plan for the contracts held through the Commercial Banks.

3.8.45.1.10  (11-16-2015)
Deposit Items Not Processed Through ISRP

  1. Deposit items that are not processed through ISRP must be processed following the regular Manual Processing procedures for each document/return type. Below is a list of deposit items that are processed as Manual items.

    • Unidentified deposits

    • Bureau of Public Debt (BPD) - The Bureau of Public Debt has merged with the Financial Management Service and is now the Bureau of the Fiscal Service (BFS).

    • Non Masterfile (NMF)

    • Refund Repayments (See IRM 3.8.45.17 for exceptions)

    • State Income Tax Levy Program (SITLP)

    • Foreign Remittances without a U.S. Bank routing symbol printed in Magnetic Ink Character Recognition (MICR) ink and a nine digit routing number

    • Re-Deposits of Dishonored Checks

    • Bonds

    • Single Remittance of 100 million dollars or more. Remittances should be returned to the taxpayer following instructions in IRM 3.8.45.1.1(10).

    • Cash Deposit

    • Determination Letter Application User Fee

    • Exempt Program/Exempt Organization Determination Letter Fees

    • Form 5558, Application for Extension of Time to File Certain Employee Plan Returns (When this form is submitted for other than a Form 5330 it goes through Manual Deposit.)

    • Form 5500 Series (Form 5500, Form 5500SF, Form 5500EZ and Form 5500C/R) (Although Form 5500 and Form 5500SF are filed with the Department of Labor, IRS deposits remittances for penalty payments)

    • EO Photocopy and EO User Fees

    • Form 8621A, Return by a Shareholder Making Certain Late Elections to End Treatment as a Passive Foreign Investment Company (Ogden Only)

    • Form 8288 processed with a Social Security Number (SSN)

    • Form 5330 processed with an SSN and a missing Plan Number

    • IRC 6603 Payments.

    • Department of Justice/Criminal Restitution Program Payments processed at Kansas City SPC Only

    • Form 1040ES payments received for a future calendar year

  2. Photocopies of checks processed manually will be maintained in a separate file according to retention specified in IRM 3.8.45.25.5(3). The file will be maintained in a separate locked cabinet to protect taxpayer personal data.

3.8.45.1.11  (03-19-2015)
Cash Deposit Procedures

  1. A provision for depositing cash may be negotiated between the Bureau of Fiscal Services and your TGA Bank. Cash deposits will be less than $5,000.00.

  2. Cash received in the mail, historically less than $5,000.00, will be deposited within the 5 day exception requirement, contained in Volume 1, Chapter 6-8000, of Treasury Financial Manual (TFM). If the campus receives cash in the amount of $5,000.00, or more, an ad hoc pick up must be arranged with the depository or local management will convert the funds and process. All cash payments for taxes received must be deposited at the earliest deposit pickup. See also reference IRM 3.8.47.13 Receipts for Cash Received in the Mail at Campuses.

  3. Verify with a counterfeit marker that all bills deposited are legitimate.

  4. Form 809 will be completed along with Form 2679, Teller's Daily Reconciliation and Balancing. Form 809, Part 2, will be mailed to taxpayers by the morning following deposit of the cash. Form 809, Parts 1 and 3, will be turned into the Field Office Payment Processing unit for weekly review.

  5. Employees will turn in daily the recorded dollar amounts of cash and completed Form 809s Part 1 along with a completed Form 2679 Teller’s Daily Balancing and Reconciliation (in triplicate) to the designated deposit reviewer. The 809 employee and the reviewer will agree on the dollar amounts as witnessed and receive a signed copy of Form 2679 Teller’s Daily Balancing and Reconciliation for their records.

  6. If your campus processes cash in the Field Office function, see procedures in IRM 3.8.47.6, Maintaining Control and Inventory of Form 809 (Official) Receipt for Payment of Taxes.

  7. Processing of a cash deposit must be done through the Manual Deposit process. Posting of the payment to the taxpayer's account cannot be performed utilizing IDRS Command Code PAYMT as it is considered a sensitive command code that is not allowed in Receipt and Control employees IDRS profiles. Follow Manual Deposit instructions in IRM 3.8.45.25, Manual Deposit General.

3.8.45.2  (01-01-2011)
Deposit Procedures (General)

  1. All checks, drafts and money orders payable at par through normal banking channels are processed through the Campuses Deposit Activity. Any remittance that can be perfected to negotiability should be deposited regardless of the amount.

  2. All items will be deposited either through ISRP, IDRS or Manual Processing.

  3. Remittances received in the Campuses will be deposited into one of the five types of funds:

    1. Revenue Receipts (MF and Automated Non Master File (ANMF)).

    2. Deposit Fund.

    3. General Fund.

    4. Repayments to Refund Appropriations.

    5. Other Receipts Fund.

  4. Remittances received and deposited into the REVENUE RECEIPTS Fund will consist of the following items:

    1. Internal Revenue taxes, penalties, interest and costs, assessed or assessable against taxpayers;

    2. Payments on accepted Offers-in-Compromise;

    3. Payment of court fines, court costs forfeitures, penalties incident to or imposed for violation of Internal Revenue laws, from the redemption of property acquired by the government; and

    4. Receipts from consummated sales of acquired property.

  5. Remittances received and deposited into the DEPOSIT Fund will consist of the following items:

    1. Payments tendered as offers-in-compromise,

    2. Offers of prospective bidders of payments for the sale of seized property, and

    3. Offers to bid or initial payments under a deferred payment sale of acquired property.

    4. Other payments may be deposited to this account when required by specific instructions.

  6. Remittances received and deposited into the GENERAL Fund are payments under Federal Firearms Act, fees for the duplication of records, other user fees, arbitrage, etc.

  7. Remittances received and deposited into the REPAYMENTS TO REFUND APPROPRIATIONS Fund are recoveries of erroneous, duplicate or overpaid refunds or fraudulently negotiated checks.

  8. Remittances received and deposited into the OTHER RECEIPTS Fund are special fees and miscellaneous non-revenue receipts.

  9. All remittances will be credited to taxpayer accounts for the earliest IRS Received Date. This is the date the remittance is received by IRS or Department of Treasury.

3.8.45.2.1  (10-01-2015)
Valid Transaction Codes for Remittance Processing

  1. The following are the primary transaction codes (TCs) for crediting a payment to a taxpayers account. (Refer to Document 6209, IRS Processing Codes and Information for complete information). Transaction codes in scan lines of payment posting vouchers and pre-printed transaction code information on notices and letters utilized as payment posting vouchers, should be considered as the appropriate TC for posting payments. If there is any question as to the validity of the pre-printed TC on the notices or letters and in the scan lines, please contact HQ analysts ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ for further guidance.

    Transaction Code Title IMF/IRAF BMF NMF
    430 Estimated Tax (Used for Form 1040ES) X   X
    610 Remittance with Original Return-- (current or prior year) X X X
    640 Advanced Payment on Deficiency (Not valid for MFT 36 and 67) X X X
    660 Estimated Tax (Used for Form 1041ES) X X  
    670 Subsequent Payment X X X
    680 Designated Payment of Interest X X X
    690 Designated Payment of Penalty X X X
    694 Designated Payment of Fees and Collection Costs X X X
    971 Miscellaneous Transaction   X  
  2. The following are the secondary transaction codes used for debiting a taxpayer's account. (Refer to Document 6209 for complete information.)

    Transaction Code Title IMF/IRAF BMF NMF
    160 Manually Computed Delinquency Penalty X X  
    170 Estimated Tax Penalty X X X
    180 Deposit Penalty   X X
    200 TIN Penalty Assessment X   X
    270 Manual Assessment of FTP Penalty X X X
    340 Restricted Interest Assessment X X X
    360 Fees and Collection Costs X X  
    570 Additional Liability Pending and/or Credit Hold X X X
  3. Form 3244, Payment Posting Voucher, that contain transaction codes (TC) 160, 170, 180, 200, 270, and 340, will be posted as a manual deposit. ISRP will allow for posting of one primary, one secondary, one designated payment and one tertiary (a third transaction amount for one document; must be a debit amount).

3.8.45.2.2  (04-25-2011)
OTCnet

  1. The Over The Counter Channel Application (OTCnet) is a secure web-based application that:

    1. Automates the over the counter (OTC) deposit reporting process and captures detailed accounting information at the point of deposit in order to facilitate the classification of monies on a daily basis.

    2. Provides federal agencies with the ability to track deposits from the point of entry to final posting.

    3. Eliminates dual entry, keying errors and creates a combined Standard Form 215A (SF 215A), Deposit Ticket, and Financial Institution deposit slip information.

    4. Provides financial institutions the ability to confirm the electronic deposit ticket, create electronic adjustments, and submit the confirmed deposit tickets and adjustments into Ca$hlink II without the necessity of re-keying the deposit ticket data.

  2. As campuses use OTCnet to create deposit tickets, employees in the Deposit Function are designated as Deposit Preparers, Deposit Approvers, and Agency Viewers. See the roles and responsibilities of these employees in IRM 3.8.45.2.2.1 below.

3.8.45.2.2.1  (03-19-2015)
OTCnet User Roles and Responsibilities

  1. OTCnet users are assigned a role which determines what functions the user can perform. The following are OTCnet roles:

    1. Primary Local Security Administrator (PLSA) - Headquarters Analyst that establishes Local Security Administrators (LSA) to delegate user provisioning and other functions; creates, modifies and deletes permissions for LSAs, Accounting Specialists, Deposit Preparers, Deposit Approvers, Deposit Confirmers and Viewers.

    2. Accounting Specialist - Headquarters Analyst that creates the organization's hierarchy, enters and modifies the agency's accounting codes, defines processing options and custom labels and creates user defined fields.

    3. Local Security Administrator (LSA) at Campuses establishes local users on OTCnet. Creates, modifies and deletes permissions for Deposit Preparers, Deposit Approvers and Viewers and views reports.

    4. Deposit Preparer at Campuses creates and modifies the deposit ticket.

    5. Deposit Approver at Campuses approves and submits the deposit ticket.

    6. Deposit Confirmer at the Depositary Bank confirms, adjusts or rejects a deposit.

    7. Viewer at Campuses, Headquarters or other designated locations views and searches deposits and adjustments and views reports.

    Note:

    A person may be designated as a Deposit Preparer and a Deposit Approver. However, due to separation of duties, the same person cannot prepare and approve a deposit.

  2. Contact your local Planning and Analysis Analyst for names and telephone numbers of the current designated Receipt and Control Coordinator, Accounting Coordinator, and Local Security Administrator for each Campus if needed.

  3. All OTCnet users must complete the training provided on the Bureau of Fiscal Services OTCnet web site prior to being given access to OTCnet.

    1. The Bureau of Fiscal Services web site to provide guidance and training can be found at https://www.fiscal.treasury.gov/fsservices/gov/rvnColl/otcnet/rvnColl_otcnet.htm. Job Aids for the OTCnet Deposit Preparer, Deposit Approver and Agency Viewer can be accessed through this site.

    2. The Bureau of Fiscal Services OTCnet web site will be the source for OTCnet training. The OTCnet Deposit Preparer and Deposit Approver Job Aids should be used for instructions on accessing OTCnet and for preparing and approving deposits in OTCnet. The OTCnet Agency Viewer Job Aid should be used for instructions on accessing OTCnet, searching deposits and adjustments and viewing business reports in OTCnet.

    3. For questions or assistance using OTCnet, contact the ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ or thru email at ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .

    Note:

    The training web site is used by all agencies using OTCnet and is not customized for any one agency.

  4. The Local Security Administrator must create a profile in OTCnet for each employee identified as an OTCnet user. After completing the online training course, each user must complete the OTCnet user Authorization Form.

    1. The OTCnet User Authorization Form captures information needed to set up an employee as an agency user in OTCnet. The OTCnet Rules of Behavior is signed by each user as a certification of the rules of the Treasury Web Application Infrastructure (TWAI) System Security Plan. (TWAI is an environment that houses Treasury web applications such as OTCnet.) Original signature is required on the OTCnet User Authorization Form and Rules of Behavior Form.

    2. The OTCnet user Authorization Form and OTCnet Rules of Behavior Form verifying successful completion of training can be obtained from your campus LSA.

    3. Managers will submit the employees' OTCnet User Authorization Form and Rules of Behavior Form to your LSA to be granted access to OTCnet.

  5. Once OTCnet permission has been assigned, the employee will receive three emails. The first email will provide the employee a user ID. The second will provide the employee a temporary password and the last will provide the employee permission to OTCnet. After receiving a user ID and password, the employee must login to the TWAI to change their temporary password and provide answers to their secondary authentication questions.

  6. Users must login to OTCnet at least once every 90 days or your access will be deactivated on the 90th calendar day since your last access date. Users that have not accessed their OTCnet account for 120 days will have their access deleted on the 120th calendar day since their last access date. If this occurs, you will be required to reapply for access to OTCnet.

  7. The LSA must be notified within 24 hours if OTCnet access is no longer required by an employee for any reason or if the current access needs to be modified.

  8. Specific guidance for Deposit Preparers, Deposit Approvers and Agency Viewers is provided in printable job aids found in the On-the-Job Resources and Simulations link at https://www.fiscal.treasury.gov/fsservices/gov/rvnColl/otcNet/rvnColl_otcnet_training.htm.

3.8.45.2.2.1.1  (10-12-2011)
OTCnet Contingency Plan

  1. If OTCnet experiences an outage or if the campus is unable to access OTCnet due to local problems, the deposit ticket WILL NOT be created in OTCnet. Campuses must complete a paper Standard Form 215A (SF 215A) to accompany the deposit. Contact HQ analysts ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ if you need a supply of the paper Standard Form 215A. Use the following "If /Then" chart to determine the action to be taken if OTCnet is unavailable. The action to be taken will depend upon your status in the deposit process.

    IF THEN
    OTCnet is not available due to an outage (i.e., the problem is internal to the OTCnet system) Users will be notified thru email when the OTCnet system is down. Complete a paper Form 215A, Deposit Ticket, which must accompany the deposit. Immediately contact the depositary bank and Accounting to advise them that a paper Form 215A (SF 215A) is being submitted because OTCnet is unavailable.
    OTCnet cannot be accessed due to local problems at the campus (i.e., in-house server or Internet is not available) Complete a paper Form 215A (SF 215A), Deposit Ticket, which must accompany the deposit. Immediately contact the depositary bank and Accounting to advise them that a paper SF 215A is being submitted because the campus is unable to access OTCnet.
    An OTCnet deposit was begun but not yet saved as a draft and the OTCnet system goes down The OTCnet deposit will not be found in the system upon restoration of normal functionality. No further action is needed in OTCnet. Complete a paper Form 215A (SF 215A), Deposit Ticket, which must accompany the deposit. Immediately contact the depositary bank and Accounting to advise them that a paper SF 215A is being submitted because OTCnet is down.
    An OTCnet deposit was saved as a draft in OTCnet and the OTCnet system goes down The original OTCnet deposit will be in the system upon restoration of normal functionality. The Deposit Preparer must delete the saved draft of the OTCnet deposit from OTCnet. Complete a paper Form 215A (SF 215A), which must accompany the deposit. Immediately contact the depositary bank and Accounting to advise them that a paper SF 215A is being submitted because OTCnet is down.
    An OTCnet deposit is awaiting approval (from the Deposit Approver) in OTCnet and the OTCnet system goes down The OTCnet deposit was saved awaiting approval and should be in the system upon restoration of normal functionality. The Deposit Approver must reject the deposit awaiting approval and the Deposit Preparer must then delete the deposit from OTCnet. Complete a paper Form 215A (SF 215A), Deposit Ticket, which must accompany the deposit. Immediately contact the depositary bank and Accounting to advise them that a paper SF 215A is being submitted because OTCnet is down.

3.8.45.2.3  (04-29-2015)
Trace ID and Custodial Detail Data Base (CDDB)

  1. The Custodial Detail Data Base (CDDB) is an enhancement to the Financial Management Information system created to track all individual payments that comprise a deposit ticket, and balance the individual transactions against the deposit ticket totals which have been entered in the Revenue Accounting Control System (RACS) General Ledger.

  2. As of January 1, 2008, all payments will be assigned a 20 digit Trace ID Number for tracking purposes. CDDB will track all individual payments against the Deposit Ticket totals, which have been entered in the RACS General Ledger. This unique Trace ID Number will allow all payments to be identified and added to the CDDB.

  3. For Manual Deposit Tickets, the Trace ID Number is assigned by the Batch Block Tracking Sytstem (BBTS). The first 14 digits represent the Deposit Ticket Trace ID Number and the last six numbers represent the Transaction Sequence Number of each individual payment that comprises the Deposit Ticket. The Transaction Sequence Number begins with 000001, and is sequentially assigned to payments within a Deposit Ticket.

    1. The format of the 20 digit Trace ID Number is shown below. System ID 15 will be used for Manual Deposits.

      Parts Characters Definition
      Site ID nn SP Campus FLC or other Site ID
      System ID nn As defined in the Deposit Ticket Trace ID Number. The values are identified as follows:
      01 Electronic Federal Tax Payment System (EFTPS)
      02 ISRP Payment Transactions
      05 Lockbox bank Transactions
      10 SITLP Levy Payments
      12 Receipt and Control Manual Deposits for External Leads and Accounting CIR deposits for External Leads (Effective July 15, 2013)
      15 Receipt and Control Manual Deposits
      20 RACS DCF Debit Voucher (DV)
      25 Accounting Deposit Ticket and DV
      30 FTD Deposit Ticket/Debit Voucher
      35 IDRS IA User Fee Sweep
      40 Automated Insolvency Manual DT
      45 Automated OIC Manual DT
      50 ITIN
      55 Field Assistance Function (TAC)
      Deposit Date YYYYDDD Julian Date
      Sequence Number nnn For each Deposit Date, begin with 001 and increment each additional Deposit by 1.
      Transaction Sequence Number nnnnnn or zero This field is relevant only in the CDDB Detail Payment Record File. For each payment summarized in a Deposit Ticket, beginning with 000001, sequentially increment the Transaction Sequence Number for each Transaction in the CDDB Detail Payment Record File. DO NOT PRINT THIS FIELD ON ANY DEPOSIT TICKET.
    2. If the BBTS System is not operational and therefore unable to generate Trace ID Numbers and Form 813/Form 813A, the Trace ID Numbers must then be manually constructed for each deposit ticket utilizing the format in IRM 3.8.45.2.3(3)a. Use Sequence Numbers (format position 12, 13 and 14) beginning with 900 thru 999 to avoid duplicating with previously issued BBTS Trace ID Numbers. (Example: nn15yyyyddd900nnnnnn). Utilize the fillable Form 813 (Rev. 09-2009), (Catalog Number 16866C) and Form 813A (Catalog Number 20660A) on the Publishing website (http://publish.no.irs.gov/catlg.html) for input of the Trace ID Number and other information needed for processing. Notify Accounting that the Form 813 must be prepared for processing by Data Conversion to establish the Document Locator Number (DLN) on the Service Center Control File (SCCF), as there will not be an output from BBTS to establish the DLN. See IRM 3.17.30.2.2.3(5), Form 813 Document Register. To ensure Trace ID Numbers are not duplicated, a quick review of all Trace ID Numbers manually assigned should be performed on deposit documentation before entering the deposit information into OTCnet and releasing the work to Accounting and for ISRP processing.

  4. The Trace ID Number for Manual Deposits will be obtained from BBTS. All Manual Deposit employees assigned responsibility for accessing BBTS must submit a Form 5081, Information System User Registration/Change Request to obtain access.

  5. BBTS will print the Trace ID Number on the bottom left of Form 813A and assign a Transaction Sequence Number to each payment on Form 813.

    1. Manual Deposit must access Batch Blocking Tracking System after Form 813A is generated and print a copy of Form 813 with the assigned Transaction Sequence Numbers.

    2. Input the 14 digit Trace ID Number in the CDDB area of the related Deposit Ticket.

    3. Stamp, using the Trace ID Stamps provided by Headquarters, the 20 digit Trace ID Number in the bottom margin of each document.

    4. DO NOT enter the Trace ID Number on the remittance check.

    Note:

    The Trace ID may be manually notated with a green pen/marker if all Trace ID stamps are not operational.

  6. For payments received with returns that must be processed through Manual Deposit, the payment and the return must be separated. A Form 3244 must be prepared to process the payment through ISRP using Transaction Code 610. The ISRP System was not programmed with a Trace ID Number Field for program numbers associated with return processing; only revenue receipt program numbers were programmed with a Trace ID Number Field. To enable the Trace ID Number to be processed through the GMF Pipeline System and to Master File for posting to the CDDB Database, the Document 3244 must be prepared for input to the ISRP System. Stamp the Trace ID number on the Form 3244 as noted in (5)c above. The Trace ID number may be typed when utilizing the electronic version of the Form 3244. The return must also be processed through ISRP with the appropriate non-revenue receipt program number, but DO NOT green rocker the money amount.

    Note:

    See IRM 3.8.45.15(3) for Trace ID procedures for Foreign Deposits.

3.8.45.3  (01-01-2011)
Control of Source Document

  1. Each campus should establish local procedures for controlling the source documents and remittances throughout payment processing. However, the source documents must remain in searchable order until the correction and balancing processes are complete. IRM 3.8.44.3.1, RPS Control of Source Document. All envelopes should remain with remittances through final deposit

  2. After the deposit is balanced and released to the depository, each campus will coordinate local procedures for routing and distribution of the source documents.

3.8.45.4  (01-01-2011)
Payment Perfection Procedures

  1. This subsection contains procedures for perfecting documents received in Payment Perfection from the Extraction process.

3.8.45.4.1  (01-01-2011)
General

  1. The Payment Perfection function within the Deposit Activity performs analysis and research on remittances and returns/documents that require additional preparation prior to depositing money. They also code or edit for other functional areas to ensure all taxpayer information is available to credit taxpayer accounts.

    1. Checks for $50,000 and over will be identified as a large check and receive priority handling.

    2. Checks for $1 million and over must be expedited for immediate processing.

    3. Batches totaling over $99,999,999.99 should be broken down into two (2) batches.

3.8.45.4.2  (11-04-2011)
Remittance Perfection

  1. Types of possible remittances the IRS campus may receive for processing can include any of the following.

    1. Personal Check.

    2. Money Order.

    3. Cashier's Check.

    4. Cash, refer to IRM 3.8.45.23, Cash Clerks Function.

    5. Business Check.

    6. Certified Check.

    7. Voucher Check.

    8. Treasury Check.

    9. Draft/Postcard Type Check.

    10. Gold Coins (U.S. Currency Only).

    11. Travelers Cheques.

      Note:

      Taxpayers may also pay taxes by credit card by phone. Types of taxes that can be paid by credit card are listed in IRM 21.2.1.48.4, Credit or Debit Card Payments (Pay by Phone or Internet). Remittance perfection technicians may not process credit card payments to taxpayer accounts. Electronic funds transfer is another payment method. IRM 3.8.45 prescribes procedures for paper remittance processing.

  2. Keep remittance with source document; do not staple together. Prior to processing, remove check stubs and any staples attached.

  3. If payee is IRS only, CASH or blank, stamp United States Treasury on payee line.

    Note:

    The "UNLESS FOR CREDIT TO THE UNITED STATES TREASURY, THIS INSTRUMENT IS NON-NEGOTIABLE" stamp may be used on the payee line if the stamp is small enough as to not cover any other information on the check.

  4. Money orders must have either the name of the taxpayer or TIN. If the TIN is not present or legible, enter taxpayer's TIN as it appears on the accompanying source document.

  5. When travelers cheques are received by mail, compare the counter signature with the original signature. If the signatures match, process the payment.

    1. When travelers cheques are received in person (walk-in customers on an exception basis), witness countersigning and compare to the original signature on the travelers cheque.

    2. If the travelers cheque has only one signature, send it back to the taxpayer.

    3. If the signatures do not match, forward to your local TIGTA office.

  6. When gold coins are received from a taxpayer,

    1. Verify they are U.S. currency.

    2. If not U.S. currency, return to the taxpayer according to IRM 3.8.45.4.9.

    3. If U.S. currency, immediately contact the Property Appraisal and Liquidation (PAL) Specialist at the telephone number shown below. The PAL will take possession of the coins so they can be sold at auction.

      ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡
    4. Gold coins must be stored in a locked safe until they are surrendered to the PAL.

    5. Prepare Form 3210 for signature by the PAL Specialist along with copies of the return and any other documentation/correspondence. Retain copy of Form 3210, tax return and documentation/correspondence for three years following the current calendar year. Also prepare the same package for Accounting to Alert them that a check will be received back from the PAL Specialist that will be deposited and processed to the Acquired Property Account. Coordinate routing of this information locally with your Planning and Analysis Receipt and Control Analyst.

    6. Route tax return to Batching for processing.

    7. Whenever the Gold Coins are auctioned off by PAL, the proceeds will be used to credit the taxpayers account for the amount they owe, with the remainder being applied to Acquired Property. A memorandum should be received from PAL with a Cashiers Check, explaining the breakdown for application of the funds. Follow instructions in IRM 3.8.45.7.38.3. for depositing and routing the accounting packages to Accounting.

3.8.45.4.2.1  (01-01-2011)
Acceptable Remittance

  1. Acceptable remittance is defined as any means of documentation of legal tender and payment. The documentation must contain all valid information shown below to process the payment through the bank:

    1. Payee

    2. Money Amount Written or Numerical

    3. Bank Routing Number

    4. Checking Account Number

      Note:

      If the Bank Routing Number needs to be perfected, research the ABA Key to Routing Numbers handbook published by the American Banker Association.

  2. If other remittance acceptance circumstances arise, contact the Campus Deposit Headquarters analyst.

  3. If the routing number or account number has been torn off or is unreadable and cannot be perfected utilizing bank routing books, the check should be treated as a mutilated check and processed according to procedures in IRM 3.8.45.4.18.

3.8.45.4.3  (11-13-2014)
Remittance Not Payable to United States Treasury

  1. If remittance is not made payable to the United States Treasury or one of the acceptable payees listed in IRM 3.10.72.5.5, Extraction of Envelope Contents for Returns and Documents With Remittance, return the remittance to the taxpayer with Letter 2689C or Letter 4480C. Correspondence with the taxpayer to notify of IRS actions concerning the payments received in situations found in IRM 3.8.45.4.3(a) thru (e) below should also be completed. Refer to correspondence procedures.

    1. If remittance is not intended as payment for accompanying return/document, process return/document as "non-remittance." Stamp the remittance "non-negotiable" and return it to taxpayer with an explanation of Unacceptable Payment.

    2. If remittance and return/document are not for IRS, forward to intended receiver.

    3. If the remittance is made payable to Social Security Administration (SSA) and received with SSA Transmittal, overstamp with "United States Treasury" and deposit where received. See also IRM 3.10.72.2.4.5, Social Security Administration (SSA) Transshipments - (CSPC and KCSPC only). The SSA transmittal, "Automated Remittance Control Record from Wilkes-Barre, PA" should be signed, items notated with a check mark and faxed back to the SSA to acknowledge receipt of listed items. A copy of the transmittal should be retained for one year. The ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ . Contact SSA Remittance Control Management Program Analyst regarding any problems, at ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .

    4. If a remittance is received that is made payable to the U.S. Treasury and received with a state return and the money amount of the remittance matches the amount shown on the state return, forward the remittance and the return to the state.

    5. If a third party check is made payable to the taxpayer and is an Automated Collection System (ACS) payment, stamp the remittance "seized" and process.

3.8.45.4.4  (06-28-2012)
Unsigned Checks/Unsigned Returns

  1. If a remittance is unsigned and the amount of the check can be determined, process the check. The signature line on the check does not have to be stamped "Drawee Bank Obtain Signature."

    Note:

    If the remittance is foreign, return it to the taxpayer.

  2. An unsigned return received with a remittance should be processed with a TC 670. Use local procedures for routing unsigned returns to Code and Edit for correspondence to taxpayer. An edited "R" or stamped "$" should be placed in the Top Left Corner of the return before routing.

  3. An unsigned Individual Master File (IMF) return that was returned for signature and is sent back with proper signature(s) at a later date with/remittance should be processed with a TC 610 (not a TC 670) using the appropriate IRS received date.

    Note:

    An unsigned return may be stamped with a IRS received date if received after the grace period, but should be circled by Code and Edit when they send back to the taxpayer with correspondence requesting signature (plus any other missing/inconsistent items). Code and Edit will edit/stamp "Returned for Signature" and the correspondence date in the bottom margin. Do Not use the correspondence date to post any remit. Ensure you post any remittance with the correct IRS received date (i.e., the date the remit was received with a valid signed return.

3.8.45.4.5  (07-26-2013)
Money Amounts

  1. The numeric amount on the remittance will normally be used for processing. There may still be times when the money amount to use is questionable. The following table should be used to determine how to process the payment:

    If Then
    The numeric amount is legible and matches the written amount Process the payment using the numeric amount.
    The numeric and written amounts do not match and the remittance is foreign Return the remittance to the taxpayer with an explanation.
    The numeric and written amounts do not match and the numeric amount matches the source document Process the payment using the numeric amount.
    The numeric and written amounts do not match and the written amount matches the source document Process the payment using the written amount from the remittance. Annotate, in pencil, the amount used above the remittance date line.
    The numeric and written amounts do not match and neither one matches the source document Process the payment using the written amount from the remittance. Annotate, in pencil, the amount used above the remittance date line.
    There is a statement on the check "Not Valid For Less Than $XXX.00" and the check amount is less Stamp the check "Non-Negotiable" and return to taxpayer using Letter 2689C or Letter 4480C. Process the accompanying form or document as a non-remittance.
    The numeric amount is illegible or blank Process the payment using the written amount. Annotate, in pencil, the amount used above the remittance date line.
    The written amount is illegible or blank Process the payment using the numeric amount.
    The numeric and written amounts are blank or zero Stamp the check non-negotiable and return to the taxpayer using Letter 2689C or Letter 4480C. Process the accompanying form or document as non-remittance. If the letter and check are returned as undeliverable and the taxpayer cannot be reached by telephone contact, turn the check over to the Operations Manager of Receipt and Control to destroy.
    The numeric and written amounts are illegible OR if a determination cannot be made Contact taxpayer thru telephone to determine the remittance amount. Annotate, in pencil, above the remittance date line the amount provided by the taxpayer. If unable to reach the taxpayer by telephone, stamp the check "Non-Negotiable" and return to taxpayer using Letter 2689C or Letter 4480C. Process the accompanying form or document as non-remittance.
    There is a statement on the check "Not Valid For More Than $XXX.XX" and the check amount is more Stamp the check "Non-Negotiable" and return to the taxpayer using Letter 2689C or Letter 4480C. Process the accompanying from or document as non remittance.
    A completely blank check is received with a remit document Stamp the remittance "Non-Negotiable" and return it to the taxpayer with an explanation of Unacceptable Payment. Process the Form/document as non-remit. If the letter and check are returned as undeliverable and the taxpayer cannot be reached by telephone contact, turn the check over to the Operations Manager of Receipt and Control to destroy.
    A completely blank check is received with a refund/non-remit Form Stamp the remittance "Non-Negotiable" and keep attached to the Form/document. Process the Form/document as non-remit.

    Note:

    The annotated amount is a courtesy and is for internal use only. Remittances are no longer required to be stamped "United States Treasury Guaranteed" .

  2. Counter Signature: Remittances that need an endorsement other than the encoded endorsement should be stamped with the name of the Operations Manager, Receipt and Control.

3.8.45.4.6  (01-01-2011)
Canceled Checks

  1. If a canceled check is received with "Endorsement Erased" stamped on the back, process through preferred processing system.

  2. If not stamped "Endorsement Erased" , photocopy both sides of check and attach to any correspondence received. Route to appropriate function. Return check to taxpayer using Letter 2689C or Letter 4480C.

  3. If check is stamped "Account Closed" , forward to Dishonored Checks area. If holes are punched across bank's account number, return to manager. If check is stamped "Secured" but has holes punched in routing numbers, process remittance. If not stamped, return to taxpayer.

  4. If a substitute check that has been processed pursuant to the Check Clearing for the 21st Century Act (Check 21) is returned by a bank, forward the substitute check to the Dishonored Check function.

3.8.45.4.7  (01-01-2011)
Discovered Remittances

  1. Cash and non-cash remittances, including credit cards, debit cards and gift cards, found during pipeline processing at the campus after the mail opening operation are discovered remittances. If discovered remittances are identified, refer to IRM 3.8.46, Discovered Remittance.

3.8.45.4.7.1  (03-19-2015)
Discovered Remittances Over 30 Days Old

  1. Discovered remittances that are 30 days or older must be researched by Payment Perfection. Determine the 30 days, first by the Received Date, then by the date of the check if unable to determine the received date. If appropriate, action must be taken to prevent adverse taxpayer impact.

  2. Contact the taxpayer by telephone and ask if a replacement check was sent.

  3. If there is no indication on IDRS that a replacement check has been received, but there is an open control base, contact the responsible employee for instruction as to how the remittance should be handled. If a replacement check was received, ask the responsible employee about the discovered remittance.

  4. If there is indication that the replacement check was received and no open control base, take the following steps:

    1. Stamp the remittance "Non-Negotiable" .

    2. Return the remittance to the taxpayer along with a note indicating why remittance is being returned.

    3. If interest and penalties were assessed on the replacement remittance, complete Form 3465, Adjustment Request and send to the appropriate function for abatement of the erroneous assessment.

  5. If no replacement remittance was received, process using the original IRS received date.

    Note:

    If the check has an expiration date and the current date is beyond it, return the check to the taxpayer as unprocessable. If the check has no expiration date, process using normal procedures.

3.8.45.4.8  (01-01-2011)
Seized Checks

  1. Revenue officers may collect levy payments or seize checks as part of their official duties. If the check is only made payable to the taxpayer, or payable to the revenue officer, the officer is required to endorse the check. When a seized check or money order is received without endorsement, and the check was received from a revenue officer on their Form 795 Daily Report of Collection Activity or Integrated Collection System (ICS) Return and Remittance Report, process the check by typing the following statement: "This check and the proceeds thereof have been seized or levied under authority of Title 26, United States Code, Section 6331, for application on the unpaid tax liability of (Name of taxpayer), and is herewith deposited to the credit of the Treasury of the United States, (Name of Territory Manager of the IRS with City and State)."

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

3.8.45.4.9  (08-13-2015)
Unacceptable Payments

  1. Unacceptable Payment of Taxes are items that the Depository Bank will not accept as payment. Any of the following items found in the Payment Perfection Unit must be returned to the taxpayer using Letter 2689C or Letter 4480C.

    Note:

    If these items are not returned immediately, they must be stored in a locked safe.

    1. Gold

    2. Silver

    3. Jewelry

    4. Stamps

    5. Savings Bonds

    6. Treasury Notes

    7. Treasury Bills

    8. Stocks

    9. Treasury Certificates of Deposit

    10. Promissory Note

    11. Gold Coins (other than U.S. Currency)

    12. Deposit Slips or Withdrawal Slips

    13. Credit Card(s)

    14. Debit Card(s)

    15. Gift Card(s)

    16. Tickets to events, lottery tickets, etc.

    17. Obviously fake money, such as monopoly money, oversized billion dollar bills, currency copied with animals or other unusual items printed on the bill, etc.


    Note:

    If a Promissory Note is returned to the taxpayer and the taxpayer sends the note in again citing Public Policy HJR-192, forward the note to the CI Field Office, Attention Special Agent in Charge of the state the taxpayer resides.

  2. Return the items of monetary value exceeding $10 by "Certified" mail, and items under $10 by regular mail, within 24 hours of receipt. Process accompanying returns/documents as non-remit.

  3. Credit/Debit/Gift cards for payment are not processed by the Campus Deposit function. Taxpayers may use a credit card to make payments towards balances owed by telephone. If you receive a taxpayer's credit/debit card or correspondence with their credit/debit card information in the mail, the Deposit function will send the credit/debit card back to the taxpayer using "Certified" mail along with Letter 4480C, advising the taxpayer that the IRS does not have the capability to process credit/debit card payment transactions when the credit/debit card or credit/debit card information is submitted with the return or a return adjustment.

  4. Items of value that cannot be returned because the taxpayer cannot be identified, will not accept, or is undeliverable, should be maintained in a locked safe for the current year plus three years.

    1. If a claim for items being held is received from a taxpayer, return the item to the taxpayer as outlined in IRM 3.8.45.4.9(2) above.

    2. If the taxpayer does not claim the item of value, the Operations Manager will determine the disposition of the item at the end of the retention period.

    3. These items will be recorded on Form 14012, "Records of Contents of Safes/Vaults" . This form is currently available from your Planning and Analysis Analyst. Managers will review this form monthly.

3.8.45.4.9.1  (01-01-2011)
Post Dated Checks

  1. When a post dated check is identified, it must be returned to the taxpayer using the following procedures:

    1. Stamp check "Non-Negotiable" .

    2. Complete Letter 4480C, "Return of Payment to Taxpayer."

    3. Return letter and check to the taxpayer. See Correspondence procedures in IRM 3.8.45.7.8.

    Note:

    Revenue officers may receive post-dated checks with management approval. If they do, the officer must hold the check until the date is valid (not to exceed 10 business days). The Field Office Payment Processing unit is required to return any post-dated check to the revenue officer and issue Form 5919, Teller's Error Advice.

3.8.45.4.10  (01-01-2011)
MoneyGram Receipts

  1. Do not process MoneyGram receipts as a form of payment. MoneyGram is a wire transfer service. Funds are transmitted electronically from MoneyGram to the recipient. Forward receipt and any correspondence to Accounts Management.

3.8.45.4.10.1  (11-04-2011)
Bill of Exchange

  1. If a Bill of Exchange or Registered Bill of Exchange is received from a taxpayer authorizing the campus to settle their account through FedWire, send everything received to the following address:

    Department of the Treasury Office of Executive Secretary
    1500 Pennsylvania Avenue, NW
    Room 3413
    Washington, DC 20220

  2. Complete Form 9814 and check "Next Day Air" and "Remittances and Payments" boxes. Forward to your Shipping area.

3.8.45.4.11  (02-02-2015)
Questionable Payments

  1. Campuses are receiving questionable remittances that resemble checks and money orders. In most cases, these remittances show the taxpayer and the "United States Bureau of Internal Revenue" as payees. The bogus remittances may include other identifying characteristics. DO NOT PROCESS ANY REMITTANCES CONTAINING THE FOLLOWING CHARACTERISTICS:

    1. Unusual or no financial organization name.

    2. Monetary instruments printed on check quality paper or photocopying paper.

    3. Monetary instruments that reference Title 31 USC 371.

    4. No bank routing information. (All American checks have a nine digit number surrounded by symbols |:|:,e.g., |:123456789|:.)

    5. A lien number.

    6. The words "Certified Bankers Check," "Public Office Money Certificate," "Certified Documentary Draft," "Lien Draft," "Certified Money Certificate," "Do Not Deposit," "Not For Deposit," "For Setoff/Adjustmen/Discharge," "EFT Only For Discharge of Debt" and "Comptroller Warrant."

    7. Bank or Financial Institution does not exist or has gone out of business.

    8. No magnetic encoding.

    9. A sight/site draft that requires a service charge to process.

    10. Non negotiable remittances such as a Lien draft, Certified Banker's Check, Public Office Money Certificate, Certified Documentary Draft, Comptroller Warrant and/or Certified Money Certificate.

    11. Personal checks drawn on the Federal Reserve Bank or any Federal Agency. The Federal Reserve Bank and Federal Agencies do not offer personal checking accounts.

  2. A large majority of the bogus remittances are received by "Certified" or "Registered" mail. They may be accompanied by the following documents:

    1. A letter requesting a refund for overpayment or the taxpayer renouncing his/her U.S. citizenship.

    2. A document titled "WARRANT PROCESSING PROCEDURES" has been attached to several of the bogus remittances. THIS IS NOT A LEGAL OR VALID DOCUMENT. DO NOT PROCESS A REMITTANCE BECAUSE IT IS ATTACHED TO THE WARRANT PROCESSING PROCEDURES,

  3. Upon receipt of a suspicious remittance, process using the following procedures.

    1. Avoid removing evidence, lifting finger or palm prints, handling the remittance, envelope and any correspondence as little as possible. Place remittance in a check saver.

    2. If there is any doubt about the legitimacy of a particular payment, immediately contact your manager and the manager should then contact the Remittance Security Coordinator. The Remittance Security Coordinator should then determine if they should contact the Fraud Detection Center or the local Office of the Treasury Inspector General for Tax Administration (TIGTA) in your Campus.

    3. Do not contact the taxpayer, payer, banking institution or remitter indicated on the remittance to ascertain if the item is legitimate or not.

    4. Do not refer or discuss the questionable remittance with anyone or any Agency outside the IRS. This includes supplying photocopies or faxing the item to anyone other than an authorized IRS employee.

    5. In the event the Fraud Detection Center chooses not to pursue the matter, return the phony remittance to the taxpayer using Letter 2689C or Letter 4480C. In addition to including the remittance in the letter, state the Campus' Director or delegated Service employee who has the authority to refuse acceptance of a remittance if there is doubt that it would be honored upon presentation to a financial institution. The appropriate definition should be included as the basis for return of the remittance.

    6. Do not issue Form 809, Receipt for Payment of Taxes, for questionable or known bogus remittance. If the remittance is deemed credible and returned to the site for processing, Form 809 may be issued at that time.

    7. Prepare Form 3210, Document Transmittal for any questionable payment released to the Fraud Detection Center (FDC). Annotate on Form 3210 the taxpayer's name, TIN, type of payment (i.e., check, draft, money certificate), payment amount, tax form, tax year, received date, and/or any other pertinent information concerning the payment. The legible signature and title of the Fraud Detection Center employee to whom the questionable payment is released must also be shown on Form 3210.

3.8.45.4.12  (01-01-2011)
Return/Document

  1. Returns or documents may need additional processing. Payment Perfection Unit will work to perfect these documents.

3.8.45.4.13  (01-01-2011)
Imperfect Returns or Documents

  1. Imperfect returns or documents requiring additional perfection/editing/research prior to depositing remittances. Payment Perfection personnel will:

    1. Edit in green when necessary and where indicated;

    2. Perform necessary research;

    3. Input directly into ISRP or;

    4. Route returns/documents to Pre-Batch.

3.8.45.4.13.1  (07-28-2014)
Processing Payments Received with a 2-D Barcode Notice

  1. To protect taxpayer’s identity information the Office of Privacy, Governmental Liaison and Disclosure (PGLD) has initiated a project to replace the printed SSN on selected taxpayer non-balance due notices with a 2-D Barcode. This effort will eliminate or reduce the full display of taxpayer Social Security numbers on these notices. PGLD has supplied each Submission Processing Campus Receipt and Control Operations with two handheld scanners that will read the 2-D Barcode and provide taxpayer information needed to process the payment if received with these non-balance due notices.

  2. The scanner can be used by holding the scanner and pulling the trigger button to scan the 2-D Barcode on the notice, or the scanner can be placed in the provided stand and simply scan the 2-D Barcode by running the notice under the scanner. The following are general instructions for using the scanners.

    1. Plug the scanner into the USB Port of your computer.

    2. Access Microsoft Word.

    3. A copy of the “Configuration Barcodes For Notices” sheet, that should have been received with the scanners, will need to be used to obtain the information needed for processing the payment. Scan the appropriate Barcode on the “Configuration Barcodes For Notices” sheet of paper and listen for the beep.

    4. After the beep, then scan the 2-D Barcode on the notice. The scanner should beep again and the taxpayer information should appear in the Microsoft Word document on the computer screen.

    5. If the scanner fails to identify the SSN, use Command Code TPIIP. Refer to IDRS Command Codes Job Aid. Command Code TPIIP uses the last four digits of the SSN and the first ten characters of the last name (or less, if there are less than ten characters in the last name) to search for the matching name(s) and address(es).

  3. The scanners should be placed in a locked cabinet after hours of operation.

  4. If any balance due notices are received with a 2-D Barcode and no scan line, please contact HQ analysts ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .

3.8.45.4.13.1.1  (07-28-2014)
2-D Barcode Scanner Maintenance/Repair

  1. If problems are encountered with the scanners not working properly, please coordinate with your Planning and Analysis Analyst for assigning responsibilities to get the scanner repaired. Each campus will be responsible for shipping and receiving scanners for repair and/or replacement. The Scanners are a product of Motorola Solutions Inc.and requests for maintenance can be made on-line or by telephone.

  2. How to Initiate Your Product Repair Online.
    To help ensure smooth processing of your product repair, please note that a Return Materials Authorization (RMA) is required for all repairs sent to the Motorola Service Center. The online request system provides you with the ability to request an RMA any time of the day or night. In addition, you are able to check the real-time repair status of products submitted using the online RMA process. The steps below outline how to set up your User ID and password and initiate repair RMAs through the online request system. Review the Online RMA Guided Tour for detailed instructions on how to use this tool. If you have any questions about the RMA process or web portal registration, please send an email to SymCare@motorola.com. Motorola cannot service products submitted without an RMA. Products returned to Motorola without this authorization will be returned without repair.

    Register for Online RMA Access
    To enter an RMA (repair request) and link to the service records, you must complete a one-time online registration and receive a User ID and password that you will use each time you visit the site.

    1. First, access the registration form: http://www.symbol.com/services/registration/registration.html

    2. Complete and submit the form. You will receive a confirmation email with your User ID and password.

    3. You can now log into the Online RMA website at http://mysymbolcare.symbol.com

    How to Request a Repair RMA
    Once you have obtained a User ID and password for online support, you may enter RMA requests for products requiring repair.

    1. Log into the Online RMA website at http://mysymbolcare.symbol.com

    2. Enter your User ID and Password into the fields provided, then click “Go”

    3. In the “Users - The Americas” folder, under “Shortcuts” click “Request a Repair Authorization (RMA)”

    4. Select the return shipping site (only one allowed per online repair request)

    5. Enter the product serial number on the unit you wish to send in for repair. Make sure to enter the entire serial number into the field as your service contract entitlement is checked based on the serial number entered.

    6. When prompted, “Validate Product Information”, please verify the service entitlement shown.

      Note:

      If you chose to disagree with the entitlement shown, please provide detailed information explaining why there is a discrepency in the records. Motorola will review the information regarding entitlement for this unit and contact you to resolve any questions.

    7. Select Primary Symptom from the drop-down menu. Indicate the reason for the repair of your product. Select the best primary symptom from the drop down menu provided. If additional symptoms exist, please provide details in the Problem Description text box.

    8. Your Ref. No. is generated. This field is provided for your internal reference and can be used to track the status of your repair.

    9. If you have more products to add, enter the serial number. If there are no additional products, click “Proceed to Checkout”.

    10. Review your shipment. When satisfied, click Checkout to continue.

    11. All products will be returned to the address shown in the RMA. Please ensure that the shipping address is correct.

    12. Click Continue to complete the RMA process. You will see a message that “Your RMA # MSC00000 has been confirmed”. You are authorized to return only the quantities and models listed in your RMA. This RMA number will expire in 30 days if the items are not received by the Service Center.

    13. Print two copies of your packing slip from the browser (select “file”, then “print”.) Include one copy of the packing with the returned product and keep the other copy for your records.

    14. Box the product(s) properly for safe shipping. You must include the packing slip in the shipping container. IMPORTANT: Do not include any accessories (batteries, cables, power supplies, memory cards, stylus, etc.) in the shipment.

    15. Print the shipping label and paste it on the outside of the container for shipping to the Motorola Service Center.

    Displaying RMA Status using the online system
    The online system provides you with the ability to check the real-time repair status of products submitted using the online RMA process. To check the status of a repair:

    1. In the “Users - The Americas” folder, under “Shortcuts”, click “View RMA Status On Line”.

    2. Enter either the RMA number, your Ref. No. or the product serial number in the fields provided, click on “Search”. Click on the “+” to view details.


    Quick Tip - For quick access to the online system and a guided tour of the online RMA process, please visit http://www.symbol.com/5586

  3. How to Initiate Your Product Repair by telephone - Calling the Support Center
    The Motorola Enterprise Mobility support center is your point of contact for all calls and questions on Motorola Enterprise Mobility products.

    How to Request a Repair RMA by Telephone
    The preferred method of obtaining an RMA is with the online RMA system; however, you can call Motorola’s support center at 1-800-653-5350 to obtain an RMA over the phone during normal business hours. You will be asked to provide your Customer ID / Site ID and the serial number of the product. You must also specify the return shipping address of the product once it is repaired by Motorola.


    To place a call for technical assistance:
    The support center provides two types of assistance:

    • “Non-technical” for help in tracking products sent for repair or general administrative questions

    • “Technical” assistance for expert help in resolving technical questions about a product or problem resolution with your enterprise mobility products.

    Call 1-800-653-5350 (U.S. Toll-free) or 1-631-738-6213. Be prepared to provide:

    • Customer ID (previously referred to as Site ID)

    • Serial # of product

    • Problem description

    • Contact name and number

    When prompted, please follow the prompts and select the appropriate option for technical assistance. You will then be prompted for the type of product (this is the product family, such as scanner, mobile computer, etc.)


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