3.13.5 Individual Master File (IMF) Account Numbers

Manual Transmittal

November 09, 2017

Purpose

(1) This transmits revised IRM 3.13.5, Campus Document Services - Individual Master File (IMF) Account Numbers, in IRM 3.13, Campus Document Services.

Material Changes

(1) Editorial and subsection changes have been made throughout this IRM.

(2) Some subsections have been changed, resulting in renumbering. If an IRM Procedural Update (IPU) was issued before the 2017 update and the respective IRM subsection numbering changed, the Material Changes will reflect the new IRM subsection number to identify where the change is located.

(3) Added Internal Controls information as outlined in the Heightened Awareness, Sensitivity and Understanding of Internal Controls Memo dated September 14, 2016. Title of tridoc, Program Scope and Objectives, IRM 313.5.1.

(4) Removed information from formerly number IRM 3.13.5.1, Individual Master File (IMF) Entity Overview, and placed the information into IRM 3.13.5.1.2, Background.

(5) Removed the related information regarding related IRMs which was contained in formerly numbered IRM 3.13.5.1, Individual Master File (IMF) Entity Overview, and moved the information to IRM 3.13.5.1.7, Related Resources. Added IRM 21.4.1, Refund Research and included a reference to CC ERINV contained within the IRM.

(6) Changes made to existing tables within IRM 3.13.5, were completed to ensure compliance to Section 508 of the Rehabilitation Act. IPU 17U0128 issued 01-19-2017.

(7) IRM 3.13.5.3, Individual Master File (IMF) Entity Overview, within paragraph (12), removed obsolete IRM 2.3.9, Security Command for IDRS Users . Updated the title of IRM 10.5.1 to Privacy Policy.

(8) IRM 3.13.5.3.3, Taxpayer Browsing Protection Act, removed the Disclosure Office and replaced it with the Privacy Policy & Compliance Office. Added information on the office email address, *Privacy, for privacy questions and concerns.

(9) IRM 3.13.5.3.4, Batch Requirements, removed the table within paragraph (4) and replaced it with text. IPU 17U0128 issued 01-19-2017.

(10) Completed editorial changes to IRM 3.13.5.4, Correspondence, removed table within paragraph (2) and inserted a new paragraph (3) with the same information. IPU 17U0128 issued 01-19-2017.

(11) Completed editorial changes to IRM 3.13.5.4, Correspondence, added "If and Then" tables to information previously in paragraph format. Added the ITIN telephone number to the table within paragraph (10).

(12) IRM 3.13.5.5.1, Enterprise E-Fax (EEFAX) and FAX Numbers, changed Ogden’s number. IPU 17U0513 issued 03-17-2017.

(13) IRM 3.13.5.6, Spanish Computer Letters, revised the introduction of the existing table in paragraph (2). IPU 17U0128 issued 01-19-2017.

(14) IRM 3.13.5.7, Frivolous Return Program (FRP), added a link to paragraph (5) to IRM 3.13.2.7.23. IPU 17U0090 issued 01-11-2017.

(15) IRM 3.13.5.8, Entity Section, added ITIN to paragraph (2) within the next to the last bullet.

(16) IRM 3.13.5.11, Document Locator Number (DLN), updated the DLN to display a more current tax year.

(17) IRM 3.13.5.14, Data Master One (DM-1) File added “and daily” to paragraph (2).

(18) IRM 3.13.5.17, Secondary Taxpayer Invalid SSN, changed the Note in paragraph (4).

(19) IRM 3.13.5.18, IMF Automated Establishment of Secondary Taxpayers and Correction Procedures, removed the tables within paragraphs (2), (3), and (7)b and replaced the tables with text. IPU 17U0128 issued 01-19-2017.

(20) IRM 3.13.5.18, IMF Automated Establishment of Secondary Taxpayers and Correction Procedures, changed the Note between paragraphs (2) and (3) into a new paragraph (3). Subsequent paragraphs are renumbered.

(21) IRM 3.13.5.23, Internal Revenue Service Number (IRSN) Format, added the "66" range for International filers requiring an IRSN.

(22) IRM 3.13.5.25, Transaction Codes Used to Merge Accounts, revised the cautionary note in paragraph (2). IPU 17U1298 issued 09-01-2017.

(23) IRM 3.13.5.25, Transaction Codes Used to Merge Accounts, added a cautionary note to paragraph (2) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(24) IRM 3.13.5.29, Oral Statement/Telephone Contact Address Change Requirements, updated paragraph (6) in the taxpayer authentication process. Added IRM 21 "links" to the applicable part 21 IRMs for oral authentication processes.

(25) IRM 3.13.5.29, Oral Statement/Telephone Contact Address Change Requirements, added a cautionary note to paragraph (1) that links to IRM 25.25.6.1, Taxpayer Protection Program Overview. IPU 17U0359 issued 02-23-2017.

(26) IRM 3.13.5.29, Oral Statement/Telephone Contact Address Change Requirements, added a link to IRM 3.13.5.51 within paragraph (5) for temporary address change requests. IPU 17U0090 issued 01-11-2017.

(27) IRM 3.13.5.29.1, Oral Statement/Telephone Contact Address Change Requirements for MFJ Accounts, revised the table within paragraph (1) and placed the Note within the text of paragraph (1). IPU 17U0128 issued 01-19-2017.

(28) IRM 3.13.5.32, Form 56, Notice Concerning Fiduciary Relationship, added instructions for the newest version of Form 56 (version 11/2017) to paragraphs (5) and (13). Changed the Reminder note to a decision table and removed Reminder note which instructed inputting up to seven name changes at one time to paragraph (13). Completing up to seven name changes is not a correct action.

(29) IRM 3.13.5.32, Form 56, Notice Concerning Fiduciary Relationship, updated the existing tables in paragraphs (4), (5), (7) and (13). IPU 17U0128 issued 01-19-2017.

(30) Revised IRM 3.13.5.32, Form 56, Notice Concerning Fiduciary Relationship, updated the table within paragraph (5) regarding if Part I, Section B, Box 6 of Form 56 contains taxpayer-supplied information. IPU 17U1041 issued 06-21-2017.

(31) IRM 3.15.5.32.1, Termination or Substitution of Fiduciary Relationship (Revisions 11/2017, 12/2015, 12/2007), added the newest revision to the title of tridoc and removed prior versions from the title . Added a new paragraph (1) to provide an "If and Then" table to include all three versions of the Form 56. Revised paragraph (2) by adding part of the information in paragraph (2) to the If and Then table in new paragraph (1).

(32) Revised the title of IRM 3.15.5.32.1 to Termination or Substitution of Fiduciary Relationship (Revisions 12/2015, 12/2007 or prior revisions), due to availability of newer revisions of the Form 56.

(33) IRM 3.13.5.32.3, When to Use Fiduciary or In Care Of Name, revised the table in paragraph (1). IPU 17U0128 issued 01-19-2017.

(34) IRM 3.13.5.33, Form 1128, Application to Adopt, Change or Retain a Tax Year for Individual Taxpayer, revised the table in paragraph (12). IPU 17U0128 issued 01-19-2017.

(35) IRM 3.13.5.47, Updating Address Records, added remittance documents to paragraph (7)b and a reminder to paragraph (7)g. IPU 17U0090 issued 01-11-2017.

(36) IRM 3.13.5.49, Information Required to Complete Address Changes, revised the table in paragraph (4). IPU 17U0128 issued 01-19-2017.

(37) IRM 3.13.5.50, Form 8822, IMF Change of Address Request, changes were made to paragraphs (3), (6) and (7) by including references to IRM 3.13.5.48.2, Disposition of Form 8822, IMF Change of Address Request which contains the new disposition instructions for Forms 8822. IPU 17U1422 issued 10-12-2017.

(38) IRM 3.13.5.50, Form 8822, IMF Change of Address Request, added information to Note in paragraph (1) (e) regarding exception processing for scanned images of the Form 8822 through Correspondence Imaging System (CIS). IPU 17U0987 issued 06-09-2017.

(39) IRM 3.13.5.50, Form 8822, IMF Change of Address Request, added a new paragraph (2) regarding any specific open control bases when researching and completing address changes. Also removed the "fill in" paragraph to be used for the 0104C letter from the If/Then instructions within paragraphs (6)c and (6)e. IPU 17U0714 issued 04-19-2017.

(40) IRM 3.13.5.50, Form 8822, IMF Change of Address Request, added a new paragraph (6) to destroy the Form 8822 after completion of the address change. IPU 17U0217 issued 01-31-2017.

(41) IRM 3.13.5.50, Form 8822, IMF Change of Address Request, revised the table in paragraph (5). IPU 17U0128 issued 01-19-2017.

(42) IRM 3.13.5.50, Form 8822, IMF Change of Address Request, revised the If/Then Table within paragraph (5)b. Added instructions to correspond if the taxpayer-supplied address does not match the last three Last Known Address (LKA) for the taxpayer.

(43) Added new section, IRM 3.13.5.50.2, Disposition of Form 8822, IMF Change of Address Request, due to the requirement to file the completed Forms 8822 in an alpha file. Detailed instructions are provided within the new section. IPU 17U1422 issued 10-12-2017.

(44) IRM 3.13.5.51, Written Address Change Requests/Form 8822 for Taxpayers Filing (MFJ), revised the table in paragraph (2). IPU 17U0128 issued 01-19-2017.

(45) IRM 3.13.5.52, Form 8822-B, Change of Address or Responsible Party-Business, added a new paragraph (7), which refers to section IRM 3.13.5.48.2, Disposition of Form 8822, IMF Change of Address Request. IPU 17U1422 issued 10-12-2017.

(46) IRM 3.13.5.52, Form 8822-B, Change of Address or Responsible Party-Business, corrected the fax numbers within paragraph (4) (c) items i. and j. within the table. IPU 17U1348 issued 09-19-2017.

(47) IRM 3.13.5.52, Form 8822-B, Change of Address or Responsible Party-Business, changed the telephone number for Ogden in paragraph (1). IPU 17U0540 issued 03-21-2017.

(48) IRM 3.13.5.52, Form 8822-B, Change of Address or Responsible Party-Business, changed the telephone number for Ogden. IPU 17U0513 issued 03-17-2017.

(49) IRM 3.13.5.52, Form 8822-B, Change of Address or Responsible Party-Business, revised the table in paragraph (4)(c). IPU 17U0128 issued 01-19-2017.

(50) IRM 3.13.5.53, Temporary Address Change Requests, added information to paragraph (3), which refers to section IRM 3.13.5.48.2, Disposition of Form 8822, IMF Change of Address Request. IPU 17U1422 issued 10-12-2017.

(51) IRM 3.13.5.54, Postal Service Form 3575 and Form 3576 Address Changes, revised the table in paragraph (1). IPU 17U0217 issued 01-31-2017.

(52) IRM 3.13.5.56, Inputting Domestic Address Changes, revised the table in paragraph (6). IPU 17U0217 issued 01-31-2017.

(53) IRM 3.13.5.61, removed the table in paragraph (3) and replacing the information with new text and revised the table in paragraph (4). IPU 17U0217 issued 01-31-2017.

(54) IRM 3.13.5.62, International Addresses (Foreign Addresses), removed the table in paragraph (4) and replaced the information with new text. IPU 17U0217 issued 01-31-2017.

(55) IRM 3.13.5.62, International Addresses (Foreign Addresses), paragraph (3) revised web address. IPU 17U0128 issued 01-19-2017.

(56) IRM 3.13.5.64, Campus Address Used Only When Taxpayer Address is Unavailable, added the address for Andover Massachusetts to the existing table in paragraph (2). IPU 17U0312 issued 02-15-2017.

(57) IRM 3.13.5.64, Campus Address Used Only When Taxpayer Address is Unavailable, removed the caution note in the table in paragraph (2) and replaced the information with text. IPU 17U0217 issued 01-31-2017.

(58) IRM 3.13.5.68, Unsigned, Undelivered Form 1040 Return(s), revised the tables in paragraphs (3), (8) and (9). IPU 17U0217 issued 01-31-2017.

(59) Revised IRM 3.13.5.66, Unsigned, Undelivered Form 1040 Return(s), updated the line information for the Form 3531.

(60) IRM 3.13.5.67, UPC 147 RC 4/CP 01H Processing/Reversals of Incorrect TC 971 AC 524, added text to paragraph (5) that was included in the table in paragraph (5). Updated the table in paragraph (7) to include reminder note within the text. IPU 17U0217 issued 01-31-2017.

(61) IRM 3.13.5.67, UPC 147 RC 4/CP 01H Processing/Reversals of Incorrect TC 971 AC 524, updated the linking information to IRM 25.23.2.19.4. IPU 17U0090 issued 01-11-2017.

(62) IRM 3.13.5.68.1, Insolvency Cases, by revised the cautionary note in paragraph (6)(b). IPU 17U1298 issued 09-01-2017.

(63) IRM 3.13.5.68.1, Insolvency Cases, added a cautionary note to paragraph (6)(b) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(64) IRM 3.13.5.69, Guidelines to Completing Successful IMF Merges, within paragraph (2) updated the taxpayer account issues that prevent successful merges of taxpayer accounts. IPU 17U1298 issued 09-01-2017.

(65) IRM 3.13.5.69, Guidelines to Completing Successful IMF Merges, removed the exception note from the table in paragraph (2) and added the information as text. IPU 17U0217 issued 01-31-2017.

(66) IRM 3.13.5.69, Guidelines to Completing Successful IMF Merges, within paragraph (2) to update the taxpayer account issues that prevent successful merges of taxpayer accounts.

(67) IRM 3.13.5.70.2, Screen Display for TRNS 37, removed the note in paragraph (3) and added new text. IPU 17U0217 issued 01-31-2017.

(68) IRM 3.13.5.70.3, Resolution of TRNS 37, added a cautionary notes in paragraphs (4) and (5). IPU 17U1298 issued 09-01-2017.

(69) IRM 3.13.5.70.3, Resolution of TRNS 37, added a cautionary note to paragraph (5) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(70) IRM 3.13.5.71.2, Screen Display for TRNS 43, removed the note in paragraph (2) and added new text. IPU 17U0217 issued 01-31-2017.

(71) IRM 3.13.5.71, Resolution of TRNS 43, added a cautionary note in paragraph (5). IPU 17U1298 issued 09-01-2017.

(72) IRM 3.13.5.71.3, Resolution of TRNS 43, removed the note in paragraph (5) and added new text. IPU 17U0217 issued 01-31-2017.

(73) IRM 3.13.5.72, Assignment of Internal Revenue Service Numbers (IRSNs), revised the cautionary note in paragraph (7). IPU 17U1298 issued 09-01-2017.

(74) IRM 3.13.5.72, Assignment of Internal Revenue Service Numbers (IRSNs), added a cautionary note to paragraph (7) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(75) IRM 3.13.5.72, Assignment of Internal Revenue Service Numbers (IRSNs), added new text to paragraph (9). IPU 17U0217 issued 01-31-2017.

(76) IRM 3.13.5.78, IRSN Requests for Erroneous Wages from Rejects, removed the table within paragraph (2) and added a new paragraph (3) which contains the information that was contained within the table in paragraph (2). IPU 17U0217 issued 01-31-2017.

(77) IRM 3.13.5.81.4, ITIN Reject Corrections Procedures, added a reminder to paragraph (2) to disregard the ITIN status inactive when reviewing ITIN cases. IPU 17U0359 issued 02-23-2017.

(78) IRM 3.13.5.81.5, Assigning an IRSN for a Rejected ITIN, updated the two tables in paragraph (2). IPU 17U0217 issued 01-31-2017.

(79) IRM 3.13.5.81.5, Assigning an IRSN for a Rejected ITIN, removed information within paragraph (2). IPU 17U0090 issued 01-11-2017.

(80) Revised IRM 3.13.5.81.5, Assigning an IRSN for a Rejected ITIN, added information to the Note within paragraph (1) to indicate the taxpayer’s exemptions and credits will be disallowed when an IRSN is assigned.

(81) IRM 3.13.5.81.7, Accessing the ITIN Real Time System (RTS), updated the tables information contained in paragraphs (2), (3) and (6). IPU 17U0217 issued 01-31-2017.

(82) IRM 3.13.5.81.11, ITIN Merge Procedures (ITIN to SSN merges) with Mismatching Name Controls, substituted the word "posted" for "merged " in the paragraph (13). IPU 17U0359 issued 02-23-2017.

(83) IRM 3.13.5.81.12, Merge Procedures When Both Accounts are Valid, revised the cautionary notes in paragraphs (2) and (3). IPU 17U1298 issued 09-01-2017.

(84) IRM 3.13.5.81.12, Merge Procedures When Both Accounts are Valid, added a cautionary note to paragraphs (2) 2) and (3) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(85) IRM 3.13.5.80.12, Merge Procedures When Both Accounts are Valid, revised paragraph (6) and substituted the word "posted" for merged in the paragraph. IPU 17U0359 issued 02-23-2017.

(86) IRM 3.13.5.85, Integrated Data Retrieval System (IDRS) Office Identifiers, added information to paragraph (1). IPU 17U0217 issued 01-31-2017.

(87) IRM 3.13.5.90, CC INOLE, updated the table in paragraph (4). IPU 17U0217 issued 01-31-2017.

(88) IRM 3.13.5.98, Use CC MFREQ D to Completed Address Changes during IMF Cycles 01-03, added two paragraphs (1) and (2) as a substitute for the removed table. IPU 17U0217 issued 01-31-2017.

(89) IRM 3.13.5.101, CC BMFOL, updated the note within paragraph (4) and added IRM 25.4.2, Caution Upon Contact Taxpayer, as a reference.

(90) IRM 3.13.5.102, Command Codes Using the Name Search Facility (NSF), moved the note within the table in paragraph (2). IPU 17U0312 issued 02-15-2017.

(91) IRM 3.13.5.107, Filing Status Codes (FSCs), moved the note within the table in paragraph (1). Removed the table within paragraph (4) and replaced the table with an alpha list. IPU 17U0312 issued 02-15-2017.

(92) IRM 3.13.5.108, Posting Delay Codes (PDCs), revised the cautionary notes in paragraphs (8), (9) and (10). IPU 17U1298 issued 09-01-2017.

(93) IRM 3.13.5.108, Posting Delay Codes (PDCs), removed the tables in paragraphs (5), (9) and (14) and replaced the tables with bullet lists. Added a reminder Note to paragraph (14) and modified the table in paragraph (15). IPU 17U0312 issued 02-15-2017.

(94) IRM 3.13.5.109, Cycling of Resequencing Transaction Codes (TCs), revised the cautionary note in paragraph (2). IPU 17U1298 issued 09-01-2017.

(95) IRM 3.13.5.109, Cycling of Resequencing Transaction Codes (TCs), removed the table in paragraph (2) and replacing the table with bullet list. IPU 17U0312 issued 02-15-2017.

(96) IRM 3.13.5.110, CC IRCHG (IRS Valid Processing) Generates a TC 016, added a cautionary note to paragraph (3). IPU 17U1298 issued 09-01-2017.

(97) IRM 3.13.5.115, Establishing a New Account (TC 000), removed the example within paragraph (3). Added editorial information to paragraph (7). Moved the notes within the tables in paragraphs (10) and (13). IPU 17U0312 issued 02-15-2017.

(98) IRM 3.13.5.116, Taxpayer Identification Number (TIN) Changes (generates a TC 011), revised cautionary notes in paragraphs (4) and (7). IPU 17U1298 issued 09-01-2017.

(99) IRM 3.13.5.116, Taxpayer Identification Number (TIN) Changes (generates a TC 011), added a cautionary note to paragraphs (4) and (7)c to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(100) IRM 3.13.5.117, Merging Taxpayer Accounts (ITINs, SSNs and IRSNs), revised the cautionary notes in paragraphs (2) and (14). IPU 17U1298 issued 09-01-2017.

(101) IRM 3.13.5.117, Merging Taxpayer Accounts (ITINs, SSNs and IRSNs), added a cautionary note to paragraphs (2) and (14) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(102) IRM 3.13.5.117, Merging Taxpayer Accounts (ITINs, SSNs and IRSNs), added an a. and b. to the If/Then table within paragraph (6). IPU 17U0312 issued 02-15-2017.

(103) IRM 3.13.5.118.1, Determining the Use of CCs IRCHG/INCHG for Name Corrections/Changes, revised the cautionary note in paragraph (1). IPU 17U1298 issued 09-01-2017.

(104) IRM 3.13.5.118.1, Determining the Use of CCs IRCHG/INCHG for Name Corrections/Changes, updated the tables within paragraphs (2) and (3). IPU 17U0312 issued 02-15-2017.

(105) IRM 3.13.5.118.2, Completing Name Changes with CC INCHG/IAT, added a cautionary note to paragraph (1). IPU 17U1298 issued 09-01-2017.

(106) IRM 3.13.5.118.2, Completing Name Changes with CC INCHG/IAT, updated the title to add Integrated Automation Technologies (IAT) and added paragraphs (4), (5), (6) and (7) to include information on entering the "In Care Of" information to taxpayer accounts. IPU 17U0760 issued 04-27-2017.

(107) IRM 3.13.5.118.3, Determining Name Line Year Used with TC 013 Corrections, added a cautionary note to paragraph (2). IPU 17U1298 issued 09-01-2017.

(108) IRM 3.13.5.118.4, Guidelines for Determining Spanish Name Controls, updated the tables within paragraphs (2) and (3). IPU 17U0312 issued 02-15-2017.

(109) IRM 3.13.5.118.5, Reducing the Length of Taxpayer Names, updated the table within paragraph (2) and moved the note within the table in the body of paragraph (2). IPU 17U0312 issued 02-15-2017.

(110) IRM 3.13.5.118.7, Correcting Taxpayer Names without Documentation, added cautionary note to paragraph (1). IPU 17U1298 issued 09-01-2017.

(111) IRM 3.13.5.118.8, Correcting Taxpayer Names with Documentation, added cautionary note to paragraph (1). IPU 17U1298 issued 09-01-2017.

(112) IRM 3.13.5.118.9, Inputting Name Changes for Deceased Taxpayers, corrections were made to the table in paragraph (5). IPU 17U0312 issued 02-15-2017.

(113) IRM 3.13.5.118.10, Inputting Name Changes for (Married Filing Jointly) Taxpayers, revised the table in paragraph (7) and added a new paragraph (8) which contains the table information from paragraph (7). IPU 17U0312 issued 02-15-2017.

(114) IRM 3.13.5.118.11, Completing Name Changes Due to Taxpayer Correspondence, added a note to paragraph (1). IPU 17U1298 issued 09-01-2017.

(115) IRM 3.13.5.118.11, Completing Name Changes Due to Taxpayer Correspondence, corrections made to the tables in paragraphs (1) and (2). IPU 17U0312 issued 02-15-2017.

(116) Revised the title of IRM 3.13.5.118.11 to be entitled Completing Name Changes Due to Taxpayer Correspondence.

(117) IRM 3.13.5.119, Collection Location Code (CLC) Transfer (Document Code 50), moved notes from the table in paragraph (2) and added a new paragraph (3) due to changes made to the table in paragraph (2). IPU 17U0359 issued 02-23-2017.

(118) IRM 3.13.5.120, Re-Opening a Master File Account (TC 012), replaced the former Figure 23 with a new Figure 23 for Command Code INOLES. Figure 23 now includes the new "TIN ASGNMT" field. IPU 17U0090 issued 01-11-2017.

(119) Revised IRM 3.13.5.120, Re-Opening a Master File Account (TC 012), revised the text in paragraph (1) to add a cautionary Note to ensure to re-input a TC 540 if a deceased taxpayer’s account is re-opened with a TC 012.

(120) IRM 3.13.5.121, Miscellaneous Change Entity Codes (generates a TC 016), moved a note within the table in paragraph (1). IPU 17U0359 issued 02-23-2017.

(121) IRM 3.13.5.122, Add, Delete or Change Spouses' TIN (generates a TC 017), revised the cautionary note in paragraph (3). IPU 17U1298 issued 09-01-2017.

(122) IRM 3.13.5.122, Add, Delete or Change Spouses' TIN (generates a TC 017), added a cautionary note to paragraph (3) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(123) IRM 3.13.5.127.3, Correction Procedures for CP 54 Notices, revised the cautionary note in paragraph (7). IPU 17U1298 issued 09-01-2017.

(124) IRM 3.13.5.127.3, Correction Procedures for CP 54 Notices, added a cautionary note to paragraph (7) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(125) IRM 3.13.5.127.3, Correction Procedures for CP 54 Notices, substituted a bullet list in paragraph (1) for a table and moved the note from the table in paragraph (10) to the text. IPU 17U0359 issued 02-23-2017.

(126) IRM 3.13.5.127.4, CP 54 Notices Requiring TIN Change(s), added a cautionary note to paragraph (2) to only input one TC 011 on an account. IPU 17U0872 issued 05-19-2017.

(127) 3.13.5.127.5, CP 54 Notices Requiring Name Change (TC 013), by removing and replacing the last sentence in the second reminder in paragraph (2) a. The reminder notice was changed to make name changes to the controlling name line of the taxpayer account. IPU 17U1436 issued 10-13-2017.

(128) IRM 3.13.5.127.5, CP 54 Notices Requiring Name Change (TC 013), added a cautionary note to paragraph (2). IPU 17U1298 issued 09-01-2017.

(129) IRM 3.13.5.127.6, CP 54 Notices Requiring a CC IRCHG (TC 016), changed the table in paragraph (1). IPU 17U0359 issued 02-23-2017.

(130) IRM 3.13.5.127.7, CP 54 Notices Requiring TIN and Name Change, added a cautionary note to paragraph (2). IPU 17U1298 issued 09-01-2017.

(131) IRM 3.13.5.127.8, CP 54 Notices with Unresolved Issues, revised the table in paragraph (1). IPU 17U0359 issued 02-23-2017.

(132) IRM 3.13.5.129, Assigning Employer Identification Numbers (EINs) in IMF Entity, corrected the fax number in paragraph (5)(b). IPU 17U1348 issued 09-19-2017.

(133) IRM 3.13.5.129, Assigning Employer Identification Numbers (EINs) in IMF Entity, revised the number for Ogden. IPU 17U0513 issued 03-17-2017.

(134) IRM 3.13.5.129.3 CC ESIGN Field Inputs, added an additional Internet prefix within paragraph (4). IPU 17U0554 issued 03-23-2017.

(135) IRM 3.13.5.129.3 CC ESIGN Field Inputs, removed information from paragraph (3) and moved the note in paragraph (6). IPU 17U0359 issued 02-23-2017.

(136) Revised IRM 3.13.5.128.3, CC ESIGN Field Inputs, updated the Internet EIN prefixes.

(137) IRM 3.13.5.129.6.2, CC ESIGN Filing Requirements, revised the table in paragraph (2). IPU 17U0412 issued 03-01-2017.

(138) IRM 3.13.5.129.7, Form 2290, Heavy Highway Vehicle Use Tax Return, removed table within paragraph (2) and substituted text in its place. IPU 17U0412 issued 03-01-2017.

(139) IRM 3.13.5.134, Revised the title to Acronyms and Abbreviations.

(140) IRM 3.13.5.135, United States Postal Service (USPS) Acceptable Address Abbreviations, moved the examples of cities names containing numbers above the table in paragraph (3). IPU 17U0412 issued 03-01-2017.

Effect on Other Documents

IRM 3.13.5, dated October 13, 2016 (effective January 1, 2017) is superseded. The following IPUs issued from January 11, 2017 to October 13, 2017, have been incorporated into this IRM: 17U0090, 17U0128, 17U0217, 17U0312, 17U0359, 17U0412, 17U0513, 17U0540, 17U0554, 17U0714, 17U0760, 17U0872, 17U0987, 17U1041, 17U1298, 17U1348, 17U1422 and 17U1436.

Audience

Wage and Investment (W & I)

Effective Date

(01-01-2018)

Linda J. Brown
Director, Submission Processing
Wage and Investment Division

Program Scope and Objectives

  1. Correct all Individual Master File (MF) Entity account issues using the instructions contained in this handbook in order to establish, change, maintain and/or perfect individual taxpayer accounts. After the applicable entity changes are made, Entity will coordinate with other Submission Processing (SP) and IRS areas to ensure any non-Entity issues are resolved. Use the instructions outlined in this Internal Revenue Manual (IRM) to complete Entity changes/corrections to the Entity Section of the taxpayer’s account.

  2. Purpose: The purpose of the IMF Entity Control Unit (ECU) is to correct and perfect taxpayer’s name, filing statuses, addresses, etc. based on taxpayer-initiated contact (Form 8822, Form 56, CP 54s, etc.,) as well as information provided by other IRS business units such as Examination, 1040X processing, Accounts Management, ITIN, Rejects, etc.

  3. Audience: The procedures apply to IRS employees (tax examiner, lead tax examiner and supervisory employees who are responsible for correcting errors and/or updating accounts from the processing of tax returns, Computer Paragraph (CP) Notices, Correspondex letters, Form 8822, Form 56, CP 54s, etc. IRM 3.13.5 also contains address perfection and correction procedures used by employees outside of the Submission Processing domain.

  4. Policy Owner: Director, Submission Processing

  5. Program Owner: Specialty Programs Branch, Post Processing Section

  6. Primary Stakeholders: Submission Processing, Accounts Management (AM), Small Business/Self Employed (SBSE), Taxpayer Advocate (TAS), Information Technology programmers, Compliance, Modernized E-File (MeF) and Submission Processing (SP).

Background

  1. The instructions contained in this handbook are used for establishing, changing, maintaining, and/or perfecting individual taxpayer accounts on the Individual Master File (IMF). Use the instructions outlined in this handbook to make changes to the "Entity Section" of an account on IMF.

  2. Providing instructions to cover all combinations of changes that might appear on a given case is not possible. Therefore, where procedures are given for a specific situation (e.g., name change) and if the case requires other changes, make all changes necessary to "perfect" the account.

  3. Reference to other IRMs on how to use Integrated Data Retrieval System (IDRS) and Integrated Automation Technologies (IAT) tools are contained within IRM 3.13.5. IAT tools interact with IDRS to automate case work. If IDRS is down, neither Accounts Management Services (AMS) nor IAT will function. This IRM must be used in conjunction with other IRMs to fully resolve tax account related issues.

  4. This IRM provides general instruction as well as information specific to the form or document you are processing. The specific information under the subsection for the form or document take precedence over the general instructions.

  5. IAT tools simplify research, reduce keystrokes and increase the accuracy of regular work processes. IAT eliminates repetitive typing and making precise decisions. The use of IAT is preferred if an IAT tool is available. See the IAT web site.

  6. Leave an Action/Audit Trail on all documents by editing actions taken accurately on the left margin of any document where actions taken/updates are completed by the Tax Examiner (TE). If your campus uses a "TE" stamp, this is part of the action/audit trail.

    Note:

    When the TE completes IDRS/IAT and uses a variety of Command Codes, they are not required to list every Command Code used during research.

  7. Edit the following on any detached form or notice if the information is not present on the document:

    • Detached item description (i.e., Detached Form 1040A)

    • Taxpayer's name

    • Taxpayer's Identification Number (TIN) (e.g., Social Security Number (SSN), IRS Taxpayer Identification Number (ITIN), Internal Revenue Service Number (IRSN)

    • TE stamp (if used in your campus)

  8. If a CP Notice (e.g. CP54, CP01H, etc.) is received attached to a return, research and complete all necessary actions. Place a large "X" on the CP to indicate the ECU has completed their portion of processing. If an TIN and/or name change/correction/address change was completed, edit as appropriate. All documents/CPs processed by the ECU will contain the TE’s stamp or IDRS number in the lower left corner of document/CP Notice or will be identified per local procedures.

Authority

  1. Due to Treasury Regulation §301.6212-2(a), a taxpayer’s Last Known Address (LKA) is the authority cited for maintaining a taxpayer’s address. Maintaining the LKA allows taxpayers to receive notices, IRS correspondence and refunds. Furthermore a taxpayer should take appropriate steps to ensure his or her address is in the United States Postal Service (USPS) acceptable format.

  2. Title 26 of the United States Code (USC) or commonly known as the Internal Revenue Code (IRC). The IRC has been amended by acts, public laws, rules and regulations.

  3. IRS Employee Contact--Restructuring and Reform Act (RRA) Section (§) 3705(a).

  4. Congressional Acts which outline additional authorities and responsibilities like the Travel and Transportation Reform Act of 1998 or the Tax Reform Act of 1986.

  5. All Policy Statements for Submission Processing are contained in IRM 1.2.12. Additionally Policy Statements provide authority on the tax work being completed.

Responsibilities

  1. It is the responsibility of all IRS employees to protect taxpayer confidentiality and to understand when access to or disclosure of taxpayer information is authorized by law. This includes the protection of information displayed on a computer screen.

  2. The Director, Submission Processing (SP) is responsible for monitoring operational performance of the SP campus.

  3. The Operations Manager is responsible for monitoring operational performance for their area.

  4. The team manager/lead is responsible for performance monitoring and ensuring employees have the tools to perform their duties.

  5. The team employees are responsible following the instructions in this IRM and maintaining the updated IRM procedures.

Program Reports

  1. Program Reports used by management and the Monitoring Section under Submission Processing Program Management and /Process Assurance Branch.

  2. Utilize the Batch Block Tracking System (BBTS) to monitor the inventory and overage cases in the ECU. The following reports are utilized:

    • Managerial Reviews

    • Embedded Qualify for Submission Processing (EQSP)

    • Annual Review of IRM and updates to Course Development.

  3. Program Reports: The Monitoring Section within Program Management and Process Assurance Branch.

  4. Program Effectiveness: The program is measured by the following reviews:

    1. Embedded Quality Submission Processing (EQSP)

    2. Balanced Measures

    3. Managerial Reviews

Terms

  1. The information for terms used in this IRM are contained in IRM 3.13.5.132, Glossary of Terms.

Acronyms

  1. The information for acronyms used in this IRM are contained in IRM 3.13.5.133 , Acronyms and Abbreviations.

Related Resources

  1. The following are resources to be used when needed:

    1. Accounts Management Services (AMS)

    2. Integrated Automation Technologies (IAT)

    3. Integrated Data Retrieval System (IDRS)

  2. The following IRMs are useful when working in the Entity Control Unit (ECU):

    • See IRM 1.4.16, Accounts Management (AM) Guide for Managers, for information on Control-D WebAccess (CTDWA) to view and/or print reports electronically.

    • IRM 1.11.2, Internal Management Documents System

    • IRM 2.3.8, Standard Validity Criteria

    • IRM 2.3.9Security Command for IDRS Users

    • IRM 2.3.10, Command Codes MFREQ and RECON

    • IRM 2.3.11, Command Codes TXMOD and SUMRY

    • IRM 2.3.12, Command Code ACTON

    • IRM 2.3.15, Command Code ENMOD

    • IRM 2.3.25, Command Codes DM1DT and DTVUE

    • IRM 2.3.37, Command Code UPTIN for the GUF System

    • IRM 2.3.47, Command Codes INOLE, EOGEN and SPARQ

    • IRM 2.3.51, Command Code IMFOL

    • IRM 2.3.59, Command Codes BMFOL and BMFOR

    • IRM 2.3.60, Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE and TPIIP

    • IRM 2.3.71, Command Code ATINQ

    • IRM 2.3.73, Command Codes TRDBV, TRERS, TRPRT, and R8453

    • IRM 2.4.4, Command Code MESSG

    • IRM 2.4.6, Command Codes LETER, LPAGD, LETUP, LETED, LLIST and LREVW

    • IRM 2.4.9, Command Codes ENREQ, INCHG, IRCHG, BNCHG and BRCHG

    • IRM 2.4.13, Command Code TERUP

    • IRM 2.4.19, Command Codes REQ77, FRM77 and FRM7A

    • IRM 2.4.59, Command Code TMSSN

    • IRM 3.0.273, Administrative Reference Guide

    • IRM 3.5.10, Remittance Transaction Research (RTS) System

    • IRM 3.5.61, Files Management and Services

    • IRM 3.10.5, Batch/Block Tracking System (BBTS)

    • IRM 3.10.72, Receiving, Extracting, and Sorting

    • IRM 3.12.32, General Unpostables

    • IRM 3.13.2, BMF Account Numbers

    • IRM 3.13.12, Exempt Organization Account Numbers

    • IRM 3.13.36, EPMF Account Numbers

    • IRM 3.13.62, Media Transport and Control

    • IRM 3.21.263, IRS Individual Taxpayer Identification Number (ITIN) Real Time System (RTS)

    • IRM 3.24.3, Individual Income Tax Returns

    • IRM 3.28.4, Identity Theft Returns for Submission Processing

    • IRM 3.30.123, Processing Timeliness: Cycles, Criteria, and Critical Dates

    • IRM 10.5.1, Privacy Policy

    • IRM 10.5.4, Incident Management Program

    • IRM 21.4.1, Refund Research

    • IRM 21.5.6, Freeze Codes

    • IRM 21.7.13, Assigning Employer Identification Numbers (EINs)

    • IRM 25.6.1, Statue of Limitations Processes and Procedures

    • IRM 25.23.2, General Case Processing

    • IRM 25.25.10, Frivolous Return Program

  3. The following information is useful for correcting and researching taxpayer accounts:

    • International; Submission Processing; IMF Foreign Address Job Aid, 2513-703

    • IMF Entity Job Aid, 2430-003

    • Document 7071, Name Control Job Aid for Individual Master File (IMF) Taxpayers

    • Document 7071-A, BMF Name Control Job Aid

    • Document 6209, IRS Processing Codes and Information

    • Document Spanish 12085, Job Aid and Glossary

  4. For record control schedules, use Document 12990, Records and Information Management Records Control Schedules (RCS).

  5. See Document 11426, IRS Correspondence Manual, for more information on the guidance and procedures for the preparation of IRS and Department of Treasury correspondence.

  6. See IRM 21.5.1, General Adjustments, for guidance on handling classified waste.

  7. If a determination is made a return is in the Rejects function, CC ERINV is used for research purposes. CC ERINV will provide the return’s current status and the days the return has been open in the Error Resolution System (ERS). See IRM 21.4.1.4.1.2, Locating the Taxpayer’s Return, for additional information.

Taxpayer Advocate Service (TAS)

  1. The Taxpayer Advocate Service (TAS) is an independent organization within the IRS whose employees assist taxpayers who are experiencing economic harm, who are seeking help in resolving tax problems that have not been resolved through normal channels, or who believe that an IRS system or procedure is not working as it should. TAS criteria include economic burden, systemic burden, best interest of the taxpayer, and public policy (as determined solely by the National Taxpayer Advocate (NTA)). TAS is responsible for assisting taxpayers who have unresolved problems with the IRS. See IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria, if additional information is required.

  2. While the IRS is continually working to serve customers in a quality manner, some taxpayers still have difficulty getting solutions to their problems or getting timely and appropriate responses to their inquiries. Per IRC § 7803(c), Congress established the Office of the Taxpayer Advocate, led by the NTA and its functions within the IRS to assist these taxpayers. TAS has identified criteria that qualify taxpayers for TAS assistance. The Case Advocate will conduct an independent review of actions that have been taken or need to be taken to resolve the problems taxpayers are experiencing.

  3. Employees should not view TAS Case Criteria as a means of excluding taxpayers from TAS, but rather, as a guide to TAS case acceptance. The criteria under which TAS accepts a case should not govern whether a taxpayer is entitled to relief.

Referring Cases to TAS

  1. Refer taxpayers to the Taxpayer Advocate Service (TAS) (see IRM Part 13, Taxpayer Advocate Service) when the contact meets TAS criteria. See IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria, if you can’t resolve the taxpayer’s issue the same day. The definition of "same day" is within 24 hours. "Same day" cases include cases you can completely resolve in 24 hours, as well as cases in which you have taken steps within 24 hours to begin resolving the taxpayers issue. Do not refer these cases to TAS unless they meet TAS criteria. Refer to IRM 13.1.7.4, Taxpayer Advocate Service (TAS) Case Criteria, Same-Day Resolution by Operations. When referring cases to TAS, use Form 911, Request for Taxpayer Advocate Service Assistance (and Application for Taxpayer Assistance Order), and forward it to TAS in accordance with your local procedures. Check the TAS box on Accounts Management Services (AMS), if applicable.

    Note:

    It is important that all IRS employees handle potential TAS cases with the taxpayers best interest in mind. Refer also to IRM 21.1.3.18, Operational Guidelines Overview, Taxpayer Advocate Service (TAS) Guidelines, for more information. Provide the taxpayer with the number for the NTA toll-free case intake line, (877) 777-4778 or TTY/TDD (800) 829-4059. The taxpayer should be advised that TAS is available if the taxpayer is not satisfied with the service he or she received.

  2. An IRS employee should make a referral to a TAS office if the employee receives a taxpayer contact, and cannot initiate action to resolve the inquiry or provide the relief requested. A taxpayer does not have to request TAS assistance to be referred to TAS. IRS employees will advise taxpayers of the option to seek TAS assistance when appropriate. TAS will request documentation from the taxpayer if it is needed to support the requested relief, or required by the IRM.

  3. The following types of cases should NOT be referred to TAS:

    1. Cases where the taxpayers complaint or inquiry only questions the constitutionality of the tax system, or;

    2. Cases where the focus of the taxpayers inquiry is solely to employ frivolous tax strategies to avoid or delay filing or paying federal taxes.

Taxpayer Advocate Services (TAS) Service Level Agreements (SLAs)

  1. The National Taxpayer Advocate and the Commissioner, Wage and Investment (W&I) have reached an agreement outlining the procedures and responsibilities for processing Taxpayer Advocate Service (TAS) casework when either the statutory or delegated authority to complete a case transaction rests with the W&I Division. The agreement is known as a Service Level Agreement (SLA).

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

    1. Preparing Form 12412, Operations Assistance Request

    2. Securing all necessary supporting documentation

    3. Identifying cases that require expedite processing

      Note:

      No case will automatically receive expedite processing; requests for expedite processing will be made on a case-by-case basis.

    4. Forwarding Form 12412 and documentation to the W&I Business Unit Liaison

  3. The Wage and Investment (W&I) Division is responsible for:

    1. Assigning a liaison in each office or Campus where a Taxpayer Advocate is located.

    2. Acknowledging receipt of the case within one (1) workday for cases requiring expedite processing or within three (3) workdays for all other cases.

    3. Responding to TAS within three (3) workdays in writing, via facsimile, secure messaging E-mail, or hand delivery of resolution.

    4. Providing TAS with the name and phone number of the W&I group manager or employee assigned the case.

    5. Determining a reasonable time frame for case resolution.

    6. Upon closing of the Operations Assistance Requisition (OAR), the W&I employee assigned the OAR will complete Section VI of Form 12412, Operations Assistance Request and return it to the TAS employee assigned the case. The Form 12412 must be returned within three (3) workdays from the date that all actions have been completed and transactions input.

Individual Master File (IMF) Entity Overview

  1. The information following is used by the ECU unit.

IRS Employee Contact--Restructuring and Reform Act (RRA) Section (§) 3705(a)

  1. The Restructuring and Reform Act 1998. When contacting taxpayers by phone, you must be sure you are speaking with the taxpayer or authorized representative before disclosing tax information. See the Taxpayer Authentication guidelines in IRM 21.1.3.2.3, Operational Guidelines Overview, Required Taxpayer Authentication and IRM 21.1.3.2.4, Operational Guidelines Overview, Additional Taxpayer Authentication. Also, before leaving a message on the taxpayer’s answering machine, review IRM 11.3.2.7.1, Leaving Information on Answering Machines/Voice Mail, which provides identification requirements for all IRS employees working tax-related matters. IRS employees are required to give their name and unique identification number during taxpayer phone, face to face and written contact. In addition a phone number is required on all taxpayer correspondence. This will provide taxpayers with enough information to identify an IRS employee who has previously assisted with tax-related matters.

  2. All IRS employees are required to provide (at a minimum) the following information:

    • Your title (e.g., Mr., Mrs., Ms., Miss),

    • Your last name

    • Your Identification Card (badge) Number.

  3. All correspondence must include a phone number where the taxpayers question can be answered. In addition, manually generated and handwritten correspondence must include the following information:

    • Your title (e.g., Mr., Mrs., Ms., Miss)

    • Your last name

    • Your Identification Card (badge) Number.

  4. The IDRS number and numbers for some other letter systems are automatically generated. If it is not generated, or a handwritten note is prepared, the ID card (badge) number must be used.

  5. When a taxpayer requests to speak with a specific employee who previously handled the inquiry or request, or complains about the level of service previously provided, every attempt should be made to resolve the taxpayers inquiry. If the issue cannot be resolved, the employee should refer the inquiry using established procedures to his or her manager.

  6. Correspondex letters will require a specific employee name and phone number only if the employee initiating the correspondence is in the best position to respond to any questions the taxpayer may have about the correspondence, or the employee is asking the taxpayer to provide additional case-related information. Otherwise, if the taxpayer does not need to contact a specific employee, the correspondence needs only an IRS phone number and standard signature.

  7. It is not necessary to repeat the ID card number (badge) on a subsequent contact, when the nature of an employee’s work involves multiple contacts with the same taxpayer, and the employee has given the taxpayer (either phone or in-person) their ID card (badge) number on the first contact.

  8. When contacting taxpayers by phone, you must be sure you are speaking with the taxpayer or authorized representative before disclosing tax information. See the Taxpayer Authentication guidelines in IRM 21.1.3.2.3, Operational Guidelines Overview, Required Taxpayer Authentication and IRM 21.1.3.2.4, Operational Guidelines Overview, Additional Taxpayer Authentication. Also, before leaving a message on a taxpayers answering machine, review IRM 11.3.2.6.1 Leaving Information on Answering Machines/Voice Mail.

Ethics Awareness

  1. The integrity and dependability of all employees is crucial to accomplish the Service's mission. All contacts made with the public shall reflect the Service's high ethical standards and quality performance.

  2. Employees having access to and working with return information and data must not:

    • Alter data,

    • Disclose information to persons except as authorized by the Internal Revenue Code (IRC),

    • Use the data for unauthorized purposes,

    • Make unauthorized or unnecessary access (browsing) to taxpayer data, or

    • Engage in financial transactions using non-public information to further their own private interests or that of another, nor use their public office for private gain in any way.

Taxpayer Browsing Protection Act

  1. The Taxpayer Browsing Protection Act is the unauthorized access, attempted access or inspection of taxpayer records (UNAX) program. Willful unauthorized access or inspection of taxpayer records is a crime, punishable upon conviction, by fines, imprisonment, and termination of employment. Taxpayer records include hard copies of returns and return information, as well as returns and return information maintained on a computer. Unauthorized access or inspection is looking or accessing tax records that are not necessary to complete official IRS duties as assigned by management.

  2. If in doubt, discuss it with your supervisor. Your supervisor will provide an answer or refer the question to Privacy Policy & Compliance Office. Concerns and/or questions may be directed to their email address, *Privacy.

  3. Direct any other problems concerning disclosure matters (Privacy Act, Freedom of Information Act, IRC Section 6103, etc.,) to the Disclosure Help Desk at (866) 591-0960 or contact Disclosure at their email address, *Disclosure.

  4. Any employee who has knowledge of an actual or suspected unauthorized access (UNAX) violation, must immediately contact the local Inspector General Special Agent, or call the Treasury Inspector General for Tax Administration (TIGTA) Hotline at 1–800–366–4484.

  5. For additional information regarding unauthorized access (UNAX), refer to IRM 10.5.5, IRS Unauthorized Access, Attempted Access or Inspection of Taxpayer Records (UNAX) Program or the Supplemental Guide for IRS' Awareness Briefing on Unauthorized Access-UNAX for additional information, or contact the Privacy, Governmental Liaison and Disclosure UNAX Program Office via email at *UNAX. The UNAX website is as at the following email address UNAX Web page.

Processing Time Frames for the Entity Control Unit (ECU)

  1. Process the forms and taxpayers' correspondence within established time frames prescribed in Document 12990.

  2. See IRM 3.30.123, Processing Timeliness, Cycles, Criteria, and Critical Dates, as well. All time frames start from the IRS received dates, unless otherwise specified.

Batch Requirements

  1. Incoming mail and cases are either:

    1. Delivered to the ECU clerical support area or,

    2. Picked up by an ECU designee from the appropriate area(s) on at least a daily basis.

  2. The batch requirements/categories may, at a Submission Processing Campus' option, be expanded.

  3. While categories are assigned, if you determine an item belongs in another category, sort as appropriate.

  4. A batch example would be IMF correspondence.

    Note:

    If the correspondence received provides information on a frozen refund, categorize the batch with a fourteen-calendar day period.

    .

  5. At a Submission Processing Campus’ (SPC's) option, each sort category may be sub-sorted. An example is a CP 54 can be sub-sorted to:

    • Name changes

    • Taxpayer Identification Number (TIN) changes

    • No changes required

    • Combination changes, etc.

  6. Taxpayer Advocate Services (TAS) cases are forwarded using a Form 12412. Any item meeting TAS criteria must be referred to the manager (or a designee) to expedite handling.

Batch Size
  1. Batch sizes must be based on the volume typically received. The largest volumes received typically are CP notices. Other types of cases are received in smaller volumes. Therefore, holding a group of Form 2363 all day to achieve a batch size of "100" is not advised.

  2. Small batches of cases allow a better distribution of the work. In addition, special circumstances may dictate batch sizes smaller than prescribed in these guidelines.

  3. Although not required, it is recommended to combine partially worked batches of similar cases with the same due dates. This will result in reduced inventories.

  4. Being able to identify types of work and the working schedule without having to research each individual batch is important. A suggested method is to use colored folders to indicate the batches of work.

  5. Some cases are hand-carried to the manager or a designee. Examples of these cases include:

    • Unpostables

    • Rejects

    • Returns

  6. It is the manager's responsibility to ensure the correct batching of cases with the appropriate working time frames.

Batch Work
  1. Take the following actions.

    If... Then...
    Work was batched under an incorrect category, Move the batch to the correct category, but only during the initial week.
    Work is batched under a given category and some items within the group must be suspended (or even the entire batch), Do not move the batch to a category with a longer aging criteria.
  2. It is recognized in certain situations, cases cannot be corrected within the established time frames. However, by aging the cases instead of changing categories, the yearly receipts will not be inflated.

  3. When cases are suspended for correspondence, research, requesting documents, etc., and the information is not received, do not close the cases and reopen with a new received date.

Taxpayer Advocate Service (TAS)

  1. The Taxpayer Advocate Service (TAS) is an independent organization within the IRS whose employees assist taxpayers who are experiencing economic harm, who are seeking help in resolving tax problems that have not been resolved through normal channels, or who believe that an IRS system or procedure is not working as it should. TAS criteria include economic burden, systemic burden, best interest of the taxpayer, and public policy (as determined solely by the National Taxpayer Advocate (NTA)). TAS is responsible for assisting taxpayers who have unresolved problems with the IRS. See IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria, if additional information is required.

  2. While the IRS is continually working to serve customers in a quality manner, some taxpayers still have difficulty getting solutions to their problems or getting timely and appropriate responses to their inquiries. Per IRC § 7803(c), Congress established the Office of the Taxpayer Advocate, led by the NTA and its functions within the IRS to assist these taxpayers. TAS has identified criteria that qualify taxpayers for TAS assistance. The Case Advocate will conduct an independent review of actions that have been taken or need to be taken to resolve the problems taxpayers are experiencing.

  3. Employees should not view TAS Case Criteria as a means of excluding taxpayers from TAS, but rather, as a guide to TAS case acceptance. The criteria under which TAS accepts a case should not govern whether a taxpayer is entitled to relief.

IRM Deviations

  1. Service Center Directors, Headquarter Branch Chiefs, and Headquarter analysts do not have the authority to approve deviations from IRM procedures. Any request for an exception or deviation to an IRM procedure must be elevated through appropriate channels for executive approval. This will ensure other functional areas are not adversely affected by the change and it does not result in disparate treatment of taxpayers.

  2. See specific guidelines in IRM 1.11.2, Internal Management Documents System, Internal Revenue Manual (IRM) Process. Requests for an IRM deviation must be submitted in writing and signed by the Field Director, following instructions from IRM 1.11.2.2.4(3). Any disclosure issues will be coordinated by the Program Owner. No deviations can begin until reviewed by the Program Owner and approved at the Executive Level. All requests must be submitted to the Submission Processing Headquarters IRM Coordinator.

Accounts Management Services (AMS) Entity Transcripts

  1. AMS delivers Entity transcripts electronically and is replacing the printed paper forms. The data is extracted and sorted by a computer program and cases are loaded into the system as inventory items. The system will automatically assign inventory cases to employees based on their skill codes and the number of cases in inventory. The Entity manager, lead or clerk may also manually assign transcript inventory to employees in their unit.

  2. Assigned and unassigned cases will reside on AMS. The reports to track Entity's transcript inventories are also available on AMS.

Requesting Taxpayer Information

  1. Requirements for requesting taxpayer information:

    1. When requesting taxpayer information, a specific response time must be given. The taxpayer must be informed of the consequences of non-receipt or untimely receipt of the requested information (in plain, polite language).

    2. Request the taxpayer’s phone number and the times most convenient to call.

    3. Include your employee badge number on all requests.

    4. If there is no reply to the taxpayer request (domestic cases) (allow 30 days plus 10 days purge time), leave an audit trail with "no reply" in comments.

    5. If there is no reply to taxpayer request, (overseas cases) (allow 45 days plus 10 days purge time), leave an audit trail with "no reply" in comments.

  2. When corresponding for missing information from the fiduciary and the taxpayer is deceased, correct the address on the letter from "DECD" to "Estate of ..." .

  3. Whenever possible, IDRS "C" letters must be used to correspond with taxpayers.

    Note:

    Be sure the letter clearly expresses the message in simple language.

    If... Then...
    Inquiries are received from persons living abroad about where to apply for a TIN Correspond and direct them to the nearest U.S.A. Embassy or Consulate.
    US Embassy
  4. Instructions throughout this manual refer to written correspondence. At each SPC's option if a phone call can resolve the situation, this method may be used.

    Caution:

    In all taxpayer phone contact, care must be taken to ensure the IRS employee is actually communicating with the taxpayer or his/her authorized representative. Adequate disclosure probes/procedures must be conducted on every call. If necessary, see IRM 11.3.2, Disclosure to Persons with a Material Interest.

  5. When contacting a taxpayer by phone, you must use the authentication disclosure procedures found in IRM 21.1.3.2.3, Required Taxpayer Authentication.

    Caution:

    Generally, tax information protected by IRC Section 6103 may NOT be left on an answering machine or voice mail.

  6. Exceptions to this guideline are shown in IRM 11.3.2,Disclosure to Persons with a Material Interest, and include:

    • where the taxpayer has requested the information be left on their answering machine/voice mail

    • taxpayer has stated they are the only one with access to the answering machine/voice mail, and

    • positive identification of the number reached by the IRS employee using the standards above or through prior agreement of the taxpayer

Timeliness Guidelines

  1. Timeliness guidelines for working taxpayer correspondence are outlined in Document 12990 Records and Information Management Records Control Schedules. Periodic review of the correspondence inventory is required to ensure the timeliness requirements are being met as outlined in IRM 3.30.123, Processing Timeliness: Cycles, Criteria and Critical Dates. A reporting system must be established to alert management to any problems.

  2. Unnumbered amended returns (e.g., Form 1040X, Form 1120X, etc.,) although not included in the definition of taxpayer correspondence must be processed per the guidelines in Document 12990.

Receipt of Taxpayer Forms, Payments and Correspondence

  1. If the ECU receives "original" and/or copies of tax returns (Form 1040, Form 1040A, Form 1040EZ, etc.,) submitted with Entity requests (CP 54s, Form 56, etc.,), detach the tax return. Research the return for a posted TC 150.

    1. If a TC 150 is posted, forward to the 1040X unit.

    2. If the TC 150 is not posted, forward to Receipt and Control (R&C) for original processing.

  2. Taxpayers may forward payments/correspondence to an incorrect campus. They also provide address changes for the address on mail packages from the Regional Disbursing Center (RDC).

  3. The RDC has instructions to forward this mail to the appropriate SPC.

  4. Address changes will be completed in the receiving campus provided all the address information is available.

    Note:

    Form 8822 and Form 8822-B will be worked in the campus where they are received. See IRM 2.4.9, Command Codes ENREQ, INCHG, IRCHG, BNCHG and BRCHG and IRM 3.13.2, BMF Account Numbers, and Figure 3.13.2-26. If assistance is needed from a BMF site, make phone contact and fax the information if necessary.

  5. Name change requests must be completed if enough information is available/provided.

  6. For requests other than address and name changes, determine if enough information is available to complete the request or route to the responsible business area.

  7. TIN changes must be transshipped to AM if there are scrambled TIN conditions, adjustment control cases (open cases), pending audits (freeze codes), etc.

  8. However, once the campus begins the case, it must be completed (unless another campus agrees to accept the case).

    Note:

    When the acceptance agreement is reached, the transmittal must include the names of the agreeing employee(s) and the sender's name.

Receipt of Form 1040 Series Returns with an Individual and/or Business Name and an EIN

  1. Entity will receive Form 1040 series returns (Form 1040, Form 1040A, Form 1040EZ and Form 1040X) from Code and Edit (C&E). Entity will determine if the taxpayer has a "Single Member" or "Sole Member" Limited Liability Corporation (LLC) filing requirement or if it is a duplicate filing.

  2. Use CCs NAMES, NAMEE, IMFOLT, BMFOLE, INOLES, TXMOD, etc., to research the taxpayer's account.

    Note:

    A single member or sole member Limited Liability Corporation (LLC)account will contain the words "SOLE MBR" or "SINGLE MBR" within the Sort Name line as shown on CC INOLES.


    CC BMFOLE will display the LLC indicator on Line 14 of the screen display.

    If... And... Then...
    a. Entity DOES NOT locate a SSN for the taxpayer   1. Use the Form 4227 and notate "No SSN located/Cleared by Entity" .
    2. Return the document and Form 4227 to C&E.
    b. the taxpayer has a single/sole member LLC filing requirement and the taxpayer filed with Schedules C and/or F
    1. Use the Form 4227 and write the taxpayer's SSN and "Single Member LLC" and notate the return is "Complete/Cleared by Entity" for processing.

    Note:

    The return is determined to be complete because it included Schedule (Sch). C and/or Sch F.


    2. Return the document and Form 4227 to C&E.
    Include the SSN.
    c. taxpayer DOES NOT have an LLC filing requirement   1. Use the Form 4227 and notate "No LLC Filing Requirements/Cleared by Entity" .
    2. Return the document and Form 4227 to C&E.
    d. Entity locates a TC 150 for the same tax period (shown through CC IMFOLT) SSN is found 1. Write the taxpayer's SSN and "Possible Form 1040X" on the Form 4227.
    2. Use the Form 4227 to forward the case to the 1040X Unit.

Correspondence

  1. Entity Control receives a variety of correspondence (letters, cards, notices, etc.,) for processing.

  2. Clerks in the ECU are responsible for sorting all incoming correspondence. Clerks must examine all taxpayer correspondence and attachments.

  3. If an original document(s) is received with a taxpayer’s letter (e.g., Social Security Card, Marriage Certificate, Divorce Decree, etc.), the clerk/tax examiner must prepare Form 14219, Return of Documentation to the Taxpayer, and return the original item(s) to the taxpayer or their representative daily.

    Exception:

    Do NOT detach and/or return a death certificate attached to a decedent return.

  4. Copies of documents received with correspondence must remain with the correspondence.

  5. Copies of documents without correspondence are handled at the campus’ discretion.

  6. When corresponding to fiduciary’s for missing information for deceased taxpayers, correct the address on the letter from "DECD" to "Estate of ..." .

  7. Taxpayer Correspondence is governed by the guidelines in Document 12990. IRS must correspond to the taxpayer for the following conditions:

    Correspond:
    in response to written to the IRS request(s) for information or data
    in response to a taxpayer or his/her representative, excluding tax returns, whether solicited or unsolicited.
    in response to annotated notice responses providing additional information or disputes a notice
    in response to requests for information, including any accompanying tax returns
  8. Taxpayer Inquiries:

    1. When responding to a taxpayer inquiry use language such as the following: "This is in reply to your correspondence of (date)," and provide an explanation of the action(s) taken (even if they are exactly what the taxpayer requested. Use the appropriate "Correspondex letter" .

      If... Then...
      Action has not been completed in 30 days An interim reply will be sent to inform the taxpayer when we expect to complete the required action(s).
      Final answer cannot be provided by the estimated deadline date contained in your interim response Contact the taxpayer on or before the deadline and provide a reason and new estimated closure date.
      Additional correspondence is anticipated or requested Request the taxpayer's phone number and the hours most convenient to call.
  9. Determine the correspondence date using the following:

    Correspondence Date Determination
    1. Date the taxpayer's correspondence was prepared or signed
    2. Envelope postmark date
    3. IRS received date and subtract three days to compute the correspondence date
    4. Current date
  10. Do not generate an acknowledgment letter for the receipt of taxpayer information.

  11. When providing the taxpayer with a phone number, provide a toll free number when available. The phone numbers to use are as follows:

    Telephone Number Type of Taxpayer
    (800) 829-0922 IMF with Wage and Investment (W&I) Indicator
    (800) 829-0115 Business Master File (BMF) taxpayers
    (800) 908-9982 IRS Taxpayer Identification Number (ITIN) taxpayers
    (800) 829-8374 IMF with Small Business/Self Employed (SBSE) Indicator
    (267) 941-1000 International taxpayers
    (This number is used by taxpayers who are outside the U.S. because these International taxpayers do not have a toll free number available

    Note:

    The phone numbers listed above are not provided to taxpayers through direct contact such as customer service sites.

    Reminder:

    The taxpayer's Business Operating Division (BOD) filing requirements varies based on their filing history.

  12. Use the following methods to determine the taxpayer's BOD:

    • CCs LPAGE and CC TXMOD will display the taxpayer information beside the BOD and BOD-CD fields

    • Employer Identification Number (EIN) accounts use the 800-829-0115 telephone number for these BMF accounts

    • If a taxpayer’s account is NOT on the National Account Profile (NAP), NOBOD will display beside the BOD field

  13. Some programs and functions have their own toll free numbers and are as follows:

    Program Telephone
    Estate and Gift (866) 699-4083
    Excise (866) 699-4096
    Tax Exempt/Government Entities (TE/GE) Accounts (877) 829-5500
    Taxpayer Advocate Service (TAS)
    TAS TTY/TTD
    (877) 777-4778

    (800) 829-4059

Use of Fax Signatures

  1. Tax return information can be received via fax during return perfection. If taxpayer contact has been made and documented, fax signatures are acceptable.

  2. Contact with the taxpayer may be by phone or correspondence. Follow local procedures to determine which method of contact will be used.

  3. Code and Edit will indicate the fax paragraph on the approved Correspondence Action Sheet to advise taxpayers of the option to fax their response.

    Caution:

    Before disclosing any tax information, you must be sure you are speaking with the taxpayer or authorized representative. See the Taxpayer Authentication guidelines in IRM 21.1.3.2.3, Required Taxpayer Authentication and IRM 21.1.3.2.4, Operational Guidelines Overview, Additional Taxpayer Authentication. Procedures contained in IRM 11.3.1.11, Facsimile Transmission of Tax Information, must be reviewed prior to faxing confidential information to the taxpayer.

Enterprise E-Fax (EEFax) and Fax Numbers

  1. The following numbers can be used for faxing information to the Entity Control Units:

    Campus Fax/EEFAX
    Austin 855-250-1731
    Cincinnati 855-270-4081
    Fresno 855-281-0335
    855-281-0393
    Kansas City 877-640-7312
    Ogden 855-214-7520
  2. See IRM 3.23.3.2.10, Enterprise Electronic Fax (EEFax), for additional information.

Spanish Computer Letters

  1. When using any Spanish version computer letter or a pre-printed letter that requires the entry of the date, the spelling of the month must also be in Spanish. The date and month must also be shown in the manner used by Spanish language users (i.e., date, month and year.) The date and month and the month and year are to be separated by the word "de" instead of a comma. See Document Spanish 12085, Job Aid and Glossary.

  2. The following table displays the Spanish spelling for the months of the year:

    Spanish Spelling for Months of Year
    enero (January)
    febrero (February)
    marzo (March)
    abril (April)
    mayo (May)
    junio (June)
    julio (July)
    agosto (August)
    septiembre (September)
    octubre (October)
    noviembre (November)
    diciembre (December)
    Example: May 5, 2018, is written 5 de mayo de 2018.

Frivolous Return Program (FRP)

  1. Identification of frivolous filing can be determined by any employee. However, when the initials FRP are shown in the upper left corner of the document, notice, return, etc., continue processing the case. These initials indicate the FRP area has reviewed and cleared the document.

  2. If you are unsure whether the return/document is frivolous, consult with your lead or manager. If the lead and/or managers determine suspicious trends or patterns, contact your local FRP Coordinator.

  3. If the documents/returns meet the FRP guidelines, forward the cases to the FRP in Ogden.

  4. Use the following address for the FRP:
    Internal Revenue Service
    Frivolous Return Program
    1973 N Rulon White Blvd
    Mail Stop 4450
    Ogden, UT 84404

  5. Detailed information on the Frivolous Return program is contained in IRM 4.10.12, Frivolous Return Program. See IRM 3.13.2.1.11, for further information on Funny Box Returns.

Entity Section

  1. The "entity section" on a taxpayer's account contains a variety of information.

  2. Some of the elements that comprise the IMF Entity are as follows:

    • Primary taxpayer's Name

    • Name Controls (N/Cs)

    • Address

    • Taxpayer Identification Number (TIN). See additional information in paragraph (3) below.

    • Date of Birth (DOB)

    • Date of Death (DOD) (if applicable)

    • Spouse's Name

    • Spouse's TIN

    • Filing Status Code (FSC)

    • Name Line Year

    • Fiscal Year Month (FYM)

    • Mail Filing Requirement (MFR)

      Note:

      See IRM 2.3.51, CC IMFOL, for additional information on the applicable MFR codes.

    • The SSA, ITIN, IRS valid and IMF Name Controls

    • Scrambled Social Security Number (SSN) indicators (XXXSSN)

  3. The IMF TIN may be a SSN, IRS Individual Taxpayer Identifying Number (ITIN), Internal Revenue Service Number (IRSN) or an Adoption Taxpayer Identification Number (ATIN) (used mostly for dependent processing).

  4. The DOB and DOD information is obtained from the Social Security Administration (SSA) and through taxpayer contact.

Establishing and Maintaining the Entity

  1. The IMF entity is updated and/or established via IDRS/IAT/AMS input or through the processing of tax documents such as:

    • Filing of a tax return

    • Receipt of taxpayer correspondence

    • Generation of internally processed documents

  2. The items established by the filing of the return include the following:

    • Primary and/or Secondary taxpayer names

    • Address

    • Primary and Secondary SSNs

    • Filing Status Codes

    • Type of return

  3. Correcting obvious taxpayer name errors such as misspellings, transposition errors, etc., must be completed when taxpayer(s) report name line errors or they are discovered during research. These types of name corrections provide quality service to the taxpayer.

    Note:

    Do not make taxpayer name changes due to the receipt of a Form 8822. Take these documents to your Lead to be re-batched as correspondence.

  4. To establish a taxpayer account due to taxpayer correspondence or an internal document, the TE must enter all the required elements.

    Note:

    When working Statute Year Returns (TY 2014 and prior), check for the Cleared Statute Stamp. If the stamp is not on the return, route to Statute Unit for clearance prior to processing unless a TIN is not present. If a return requires an IRSN, issue an IRSN before routing to the Statute Unit.

    See IRM 25.6.1, Statute of Limitations Processes and Procedures, if needed. See IRM 3.13.2 , BMF Account Numbers, for Statute expiration dates.

    Caution:

    Do not route a return missing a TIN to Statute Unit. If you cannot locate a TIN, assign an IRSN before routing cases to the Statute Unit.

Cases Received in IMF Entity

  1. IMF Entity is responsible for researching and correcting taxpayer account(s).

  2. Entity tax examiners receive a variety of work and the following is a partial list of the cases received in the Entity Control Unit (ECU):

    Note:

    This list is not all inclusive:

    • TRNS 37

    • TRNS 43

    • CP 54B

    • CP 54E

    • CP 54G

    • CP 54Q

    • Form 2363

    • Form 56

    • Form 1128

    • Schedule H’s

    • Taxpayer Correspondence

    • Name Changes and Address Changes (taxpayer generated)

    • Scrambled TIN Cases (Adjustment Section-Internal Revenue Service Campus (IRSC))

    • Multiple Filer Cases (Examination Section-IRSC)

    • Unpostables

    • ZIP Error Listing, 757-68-11 for IMF

    • Assigning EINs

    • Insolvency Cases

    • Account Maintenance Research (AMRH) Transcripts

    • Assigning Internal Revenue Service Numbers (IRSNs)

    • CP 01H

    • Researching Unsigned and Undeliverable mail

Customer Account Data Engine (CADE) 2

  1. CADE 2 implemented a daily processing for specific IMF transactions.

  2. Several cycles were accelerated when CADE 2 daily processing was implemented. The CADE 2 cycle changes are as follows:

    Cycles Accelerated Time frame
    Campus Production Cycle Thursday - Wednesday
    Master File Processing Friday - Thursday
    Notice Review Saturday - Monday (8+ days)
    Unpostables New UPCs available Tuesday
    Closing Tuesday
  3. IMF transactions posting time frames are outlined as follows:

    1. Daily transactions directed to a daily account are expected to post daily.

      Reminder:

      Transactions will be viewable using Corporate Files Online (CFOL) command codes the second day after input.
      Transactions will be viewable on IDRS command codes the third day after input.

    2. Weekly transactions directed to a daily account are expected to post with the weekly processing run on Thursday and may result in the account type changing to Weekly.

    3. Daily and Weekly transactions directed to a Weekly account are expected to post with the weekly processing on Thursday.

      Note:

      CC TXMOD will reflect "DAILY" in the upper right hand corner on Daily accounts. IMFOL accounts will be identifiable by "DAILY" or "WEEKLY" in the upper right hand corner.

  4. IMF entity transactions TC 013, TC 014, and TC 015 will post daily to weekly accounts, unless there are other previous transactions already resequencing to post for the cycle.

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

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

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

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

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

    • YYYY indicates the year.

    • CC indicates the posting cycle.

    • DD indicates the day of the week.

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

    • 01 - Friday

    • 02 - Monday

    • 03 - Tuesday

    • 04 - Wednesday

    • 05 - Thursday

    BMF posting cycles on CC BMFOL will continue to reflect YYYYCC

    • YYYY will indicate the year.

    • CC will indicate the posting cycle.

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

Document Locator Number (DLN)

  1. The DLN is a number assigned to every return or document input and is used by the IRS to control, identify, and locate documents. The fourteenth (last digit) is the year of processing and is assigned by the campus computer at the time of the original input.

  2. The following is an example of an DLN:

    File Location Code (FLC) Tax Class Doc. Code Julian Date Block Series Serial No. List Year
    09 2 21 170 594 15 7

Valid and Invalid Segment of the Individual Master File (IMF)

  1. The IMF is structured into two segments "valid and invalid."

  2. IRS invalid IMF accounts display with an asterisk (*) immediately following the taxpayer's TIN. See IRM 3.13.5.26 for additional information.

  3. IRS valid IMF accounts display without an asterisk after the taxpayer's TIN.

  4. The taxpayer's TIN/Name Control is determined to be VALID when it matches specific name controls displayed on CC INOLES.

    Note:

    A taxpayer may have a valid SSN assigned by the Social Security Administration (SSA), but their account could reside on the "invalid" segment of the IMF due to a TIN/Name Control Mismatch.

IMF Segmentation of Valid/Invalid Accounts

  1. The IMF is segmented according to TIN validity.

  2. It is possible for two or more different taxpayer accounts to reside on IMF under the same TIN. See the examples below:

    • One taxpayer account resides on the valid side/segment of the IMF.

    • A different taxpayer account resides on the invalid side/segment of IMF.

    • Three different taxpayers residing on the invalid side/segment of the IMF and a different taxpayer resides on the valid side/segment of IMF.

  3. Also, the same taxpayer’s accounts can reside on IMF on the both valid and invalid segments of IMF as shown in the examples below:

    • The taxpayer has filed with different names in different tax periods (example: JONE 2015 and SMIT 2016).

    • The taxpayer has reported one name to SSA; but filed their return with a different name.

  4. See Figure 3.13.5–1 for an example of CC INOLET displaying a VALID and INVALID side of the same taxpayer account.

    Figure 3.13.5-1

    This is an Image: 33759852.gif
     

    Please click here for the text description of the image.

Common Causes for Invalid IMF Cases

  1. One of the most common reasons for taxpayer accounts to reside on the invalid segment of IMF is when a taxpayer files using a name and/or Name Control that does not match the VALID name(s) (as shown on CCs INOLES/INOLET). Name Controls are received from the following sources:

    • Social Security Administration (SSA)

    • ITIN processing

    • IRS Validation processing

  2. Other causes for an invalid taxpayer account may include the following:

    • Marriage, divorce, or legal name changes

    • IRS transcription errors

    • Taxpayer(s) using another taxpayer's TIN or name

    • Family members using other family member's SSNs

    • Taxpayer(s) reporting their SSN or name incorrectly

    • Input errors by SSA

    • Input errors by ITIN

Proximal Match on IMF Name Control

  1. IMF completes a proximal match on taxpayer's Name Control (N/C) and their TIN used when filing to determine if a mismatch condition exists. In order for IMF to obtain a "proximal match" on the taxpayer's IMF N/C and TIN, the following conditions must be met:

    If... And... Then...
    First letter of the IMF N/C matches the first letter of name control(s) found on DM-1 associated with this TIN Any two letters are equal to the same two relative positions of the N/C(s) found on DM-1.
    OR
    Any two adjacent positions when interchanged, are equal to the same two relative positions of the N/C(s) found on DM-1 and the remaining position of IMF N/C is equal to the same relative position found on the DM-1.
    Proximal Match occurs
  2. The proximal match process corrects typographical errors.

Data Master One (DM–1) File

  1. The DM–1 file is a database of name controls and associated TINs received from these four sources:

    Social Security Administration (SSA)
    IRS processing
    IRS Individual Taxpayer Identification Number (ITIN) File
    ATIN (Adoptive Taxpayer Identification Number) File

    Note:

    The ITIN and ATIN processing is completed at Austin Submission Processing Campus (AUSPC).
    The ATIN and ITIN taxpayer information is sent forward DAILY.
    Beginning in January 2016, ITIN accounts will be immediately directed to the valid side of IMF.
    The new ATINs, IRS Valid and SSA accounts will continue being placed on the IMF invalid side.
    These new accounts WILL NOT validate or attempt to post to the IMF valid side until after completion of the next quarterly merge.

    Reminder:

    The DM-1 quarterly updates are completed in January, April, July, and November of each year.
    The quarterly merges (updates) are scheduled in cycles 05, 15, 31 and 44.

  2. The DM–1 receives weekly and daily SSA and IRS processing updates.

  3. Programming determines the validity of the data on the DM–1. It "directs" transactions to either the valid or the invalid segment of the IMF.

    1. Transactions matching the TIN/Name Control on the DM–1 File are directed to the IMF valid segment for posting.

      Note:

      IMF Valid TINs display without an asterisk.

    2. IMF Transactions matching due to a proximal match are directed to the valid segment for posting. See IRM 3.13.5.13 for additional information on proximal matching.

    3. If the valid TIN and/or Name Control were added the during the quarter, are directed to the IMF invalid segmentuntil the quarterly merge is completed.

      Exception:

      IMF does NOT move VALID IMF accounts to the INVALID side of IMF due to the quarterly merges.

  4. The DM–1 file may display/record more than one name control for any TIN.

National Account Profile (NAP)

  1. The NAP contains information received from several sources of information as follows:

    • Data Master One (DM–1)

    • Social Security Numbers (SSNs)

    • Employer Identification Numbers (EINs)

    • Employee Plan Master File (EPMF)

    • Cross Reference (XREF) file

  2. The NAP provides taxpayer entity information for the IMF, BMF (SSN/ITIN and EIN) and EPMF. The NAP will include spouse and dependent cross-reference information (if applicable).

  3. If any of the name control(s) listed below matches the taxpayer name controls (for the specific tax period) and the TIN, the taxpayer's account will attempt to post during the next quarterly merge.

    1. SSA Name Control(s)

    2. ITIN Name Control(s)

    3. New SSA Name Control(s)

    4. IRS Valid Name Control(s)

    5. Adoption Name Control

      Caution:

      SSA name controls displayed on CC INOLES are NOT listed in chronological order.
      If any name control(s) listed on the SSA, ATIN or ITIN name control match, the taxpayer's account will attempt to post to the valid side of IMF.
      The posting to the VALID side will be completed after the correction transaction codes posts, or; after upon completion of the DM-1 quarterly merge.

  4. A primary taxpayer may file using an ATIN. However, typically ATINs are used for dependents.

Weekly NEW SSA Name Control (N/C) Indicator Files

  1. The IRS receives SSA weekly tapes containing all the name controls and SSNs assigned or updated. These updated records display beside the "NEW SSA N/C" field as shown on CC INOLES.

    If... Then...
    taxpayer's account is already established on the invalid segment with matching TIN and name control, transaction will post.
    taxpayer's account is already established on the invalid segment with a different TIN and name control, transaction will not post.
  2. In addition to the weekly SSA records, IMF completes the same matching process on taxpayer accounts that were made IRS-valid.

  3. When the quarterly DM-1 merge is completed, all accounts with "NEW SSA N/C" indicators turned "on" will be turned "off" and are validated against the DM–1 File. The accounts that resided on the invalid segment are validated against the DM-1 File.

    If... Then...
    match is obtained taxpayer's account attempts to move to the IMF valid segment
    no match is obtained taxpayer's account is returned to the IMF invalid segment
  4. Before any IMF entity notice is generated, the "NEW SSA N/C" indicator is checked. IF the account is considered invalid but the input name control matches the NEW SSA N/C, the taxpayer WILL NOT receive entity notices and their refund (if applicable) WILL generate.

  5. Taxpayer accounts with the "NEW SSA N/C" literal may be valid accounts residing on the invalid segment of IMF. However, all NEW SSA N/C, IRS VALID and ATIN accounts reside on the invalid segment until completion of the quarterly DM–1 merges.

    Note:

    The quarterly updates of the DM-1 File are done in January, April, July, and November of each year.
    The quarter merges are scheduled in cycles 05, 15, 31 and 44.

  6. If the NEW SSA N/C indicator displays on a taxpayer's account with a valid SSN and the refund is being held due to the timing of the IMF quarterly update, thoroughly research the taxpayer's account.

    Note:

    Use CCs IMFOLT, IMFOLI, INOLET, INOLES, ENMOD, TXMOD and REINF to ensure the taxpayer is valid and the account has no outstanding issues and whether a refund is pending. Other research may be warranted due to any unique taxpayer-related issues encountered.

NEW SSA N/C Indicator on CC INOLE

  1. New SSA Name Controls will display on CC INOLE directly beside the "NEW SSA N/C" field.

  2. Taxpayer accounts corrected with a TC 016 (IRS Valid) display the taxpayer's IRS-valid N/C on CC INOLE. Initially, the assigned name control displays directly beside the "NEW SSA N/C" field. The IRS-valid name control continues to display beside the NEW SSA N/C field until after the quarterly merge is completed.

  3. Once the IRS-valid name posts (after the quarterly merge), the IRS-valid name control then displays on CC INOLE beside the "IMF N/C" field. See IRM 3.13.5.16 for additional information.

Secondary Taxpayer Invalid SSN

  1. When a taxpayer files married filing joint (FSC 2), the secondary taxpayer is the taxpayer whose name appears on the second name line of the Form(s) 1040. The Secondary SSN account may reside on the invalid segment of IMF due to the following situations:

    name line does not match the Valid name controls (as shown on CC INOLE)
    secondary SSN is invalid as determined by the DM-1 File
    secondary taxpayer files using a new/different surname with their return, payment, or declaration (TC 430)
    taxpayer names on the tax return are reversed from their previous years filing pattern
    DM-1 Quarterly merge has not occurred

    Note:

    Invalid conditions are denoted with an asterisk (*) after the SSN.

  2. If either IMF taxpayer files and an invalid condition exists on their account, the personal exemption and/or EITC is not allowed for the invalid taxpayer account.

  3. If either taxpayer does not contact SSA to update their account (name changes), their account will post on the invalid side of IMF.

  4. Do not make entity changes to taxpayer account(s) if the taxpayer-supplied information does not match the information gathered through research.

    Note:

    If the taxpayer completes the notice and communicates their SSN card reflects their birth name, prior name(s), adoptive name line, etc., and signs the notice including this name and/or prior names, changing their account will not correct the invalid condition unless the change matches the valid name controls.

IMF Automated Establishment of Secondary Taxpayers and Correction Procedures

  1. IMF completes a special process to establish the secondary taxpayer on IMF for all Married Filing-Joint accounts. IMF separates the secondary taxpayer from the primary taxpayer account and establishes a separate account on IMF.

  2. You can identify the IMF established secondary accounts using CCs IMFOLE or ENMOD by the following unique DLN: The TC 000 displays with a DLN of XX263-001-88888-X,
    XX indicates the File Location Code (FLC) of the campus or area office.

  3. IMF does not establish secondary taxpayer accounts if any of the following conditions exist:

    • Secondary SSN (S-SSN) is invalid or unavailable

    • DECD is present in Secondary Name Line

    • Primary SSN is the same as the Secondary SSN

    • No spouse name indicated when the primary taxpayer filed using FSC 2 or 7

  4. These IMF-created secondary accounts may also display subsequent updates to taxpayer accounts. Examples of these subsequent Transaction Codes (TCs) are as follows:

    • TC 013

    • TC 014

    • TC 971 with Action Code 050 (changes the Business Operating Division (BOD))

    Note:

    All of these subsequent TCs will also contain the unique DLN (XX263-001-88888-X).

  5. A very small portion of the IMF created secondary taxpayer accounts can cause:

    • Erroneous CP Notices

    • Incorrect establishment of taxpayer Name and Name Control

    • IMF Unpostable conditions

    Note:

    These accounts require corrections using TC 040 or TC 041 to correct the secondary taxpayer's account and to bypass NAP validations. See IRM 3.13.5.125 and IRM 3.13.5.126 for TC 040 and TC 041 instructions.

  6. If a TIN change is required on the secondary taxpayer's account, a two-step correction process is needed. SeeIRM 3.13.5.116 and IRM 3.13.5.122 for additional information.

  7. Before correcting the taxpayer's account, research their account using CC INOLET and/or CC INOLES to review the IMF and SSA Name Controls.

    1. If employees have access to CONTROL D WebAccess (CTDWA), the NUMIDENT transcripts are available in approximately one day. Requests printed using CONTROL D can also be converted to a PDF file and may be forwarded to any employee working the case. If you do not have access to CTDWA, NUMIDENT transcripts can be ordered through IDRS using CC MFTRA with Request Type U. However, it takes approximately three days to generate and receive the transcripts from the campus print room using CC MFTRAU. See IRM 1.4.16, Accounts Management Guide for Managers, for additional information. IRM 1.4.16 contains information on viewing and/or printing reports. See IRM 2.3.32, Command Code MFTRA, for additional information.

      Note:

      Requesting the SSA information is especially important if it is difficult to determine if the taxpayer's Name Control was corrected due to a proximal match.

    2. If necessary, see IRM 3.13.5.13 for information on proximal matching.

  8. Use TC 040 to change name or TIN of the account that resides on the valid segment of IMF.

  9. The following Information may be needed to complete a TC 040:

    1. Name Control

    2. All name lines

    3. Year and TC 040 in the appropriate field(s)

    4. FSC

    5. New TIN, if appropriate

    6. Reason for the change in the REMARKS field.

  10. Use TC 041 to correct a name or only TIN of the account that resides on the invalid segment of IMF (if required, cycle delay the TC 041 for three additional cycles).

  11. The following taxpayer Information may be needed to successfully change to the invalid segment of IMF is as follows:

    1. New Name Control

    2. Primary name line

    3. Year name line

    4. TC 041

    5. FSC

    6. New TIN

    7. Reason for change in the REMARKS field

  12. TC 040 and TC 041 corrections do not go through the DM–1 validation process. Therefore, it is important to use TC 040 and TC 041 ONLY when IMF establishes taxpayers incorrectly or the taxpayer provides "proof" of their identity. The acceptable proof includes copies/originals of the following items:

    1. Marriage certificates clearly showing name change

    2. Divorce decrees clearly showing name change

    3. Legal documents clearly showing name change

Social Security Administration (SSA) Requirements

  1. SSA issues SSNs to qualified applicants.

  2. SSA procedures require all applicants must submit documentation to establish their age and identity if they are a U.S. citizen or a lawful alien.

    Note:

    SSA will issue letters/notices to communicate they made an error on a taxpayer's Date of Birth (DOB) or their Date of Death (DOD).

    Reminder:

    If research shows the taxpayer's erroneous DOD was removed or corrected, no further actions are required.
    If research shows the erroneous DOB was corrected, no further actions are required.

  3. Applicants must apply in person.

  4. If a change or replacement card is required, the applicant must also submit documentation before their request will be processed.

    Note:

    SSA does not correct taxpayer records or issue revised or SSN replacement cards due to IRS supplied information.

  5. It should be noted SSA taxpayer name changes are not mandatory. The IRS can only suggest to the taxpayer to inform the SSA of their name changes. However when taxpayers inform the SSA of their name changes, weekly SSA name updates are received from the DM-1 File updates.

  6. Before removing an erroneous DOD from a taxpayer's account, a SSA letter is required stating an error was made and the taxpayer is NOT deceased. Removal of the DOD must only be completed with the receipt of an SSA letter.

  7. If Rejects requests the removal of a taxpayer’s DOD, do not remove the DOD without the presence of an SSA letter.

    1. If SSA letter is present and a DOD is shown on taxpayer’s account, remove the DOD. Forward the case back to Rejects with the remarks, "DOD removed" .

    2. If SSA letter is not present and a DOD is shown on taxpayer’s account, take no action. Forward the case back to Rejects with the remarks, "DOD still present/No SSA letter provided" .

    3. If DOD is no longer present on taxpayer’s account, no action required. Forward the case back to Rejects with the remarks, "DOD is not present."

IMF Taxpayer Identification Numbers (TINs) Formats

  1. The IRS uses four different types of TINs when processing IMF taxpayer accounts. They include:

    • Social Security Numbers (SSNs)

    • Individual Taxpayer Identification Numbers (ITINs)

    • Adoption Taxpayer Identification Numbers (ATINs)

    • Internal Revenue Service Numbers (IRSNs)

  2. All four TIN formats are included in IRM 3.13.5.19 through IRM 3.13.5.22.

Social Security Number (SSN) Format

  1. SSA issues SSNs in the following format: nnn–(area), nn–(group), nnnn–(serial).

  2. The Social Security Administration (SSA) does not assign SSNs that begin with the following three digits (signifies area):

    • 000 (000-nn-nnnn)

    • 666 (666-nn-nnnn)

    • 900-999 (900-999)-nn-nnnn)

  3. The SSA does not assign SSNs with zeroes in the fourth and fifth positions of the SSN format (signifies group).

    • nnn-00-nnnn

  4. The SSA does not assign SSNs with zeroes in the last four positions of the SSN format (signifies serial).

    • nnn-nn-0000

  5. After June 2011, the SSA will assign SSNs with the following first three positions of the SSN format:

    • 772-799 (772-nn-nnnn, 773-nn-nnnn, etc.)

    • 800-899 (800-nn-nnnn, 801-nn-nnnn, etc.)

  6. The SSNs in the following examples are invalid and were never issued through the Social Security Administration:
    000-XX-XXXX
    111-11-1111
    222-22-2222
    777-77-7777
    123-45-6789
    666-66-6666, etc.

    Reminder:

    Research is required to determine the taxpayer's correct SSN. If an SSN cannot be located, an IRSN or Individual Taxpayer Identification Number (ITIN) is required to process a taxpayer's payment or return.

Individual Taxpayer Identification Number (ITIN) Format

  1. The ITIN display in a format similar to a SSN but will always begin with the number "9."

  2. The fourth and fifth numbers within an ITIN are assigned in the following unique numbering ranges:

    • 9nn-50-nnnn through 9nn-65-nnnn

    • 9nn-70-nnnn through 9nn-88-nnnn

    • 9nn-90-nnnn through 9nn-92-nnnn

    • 9nn-94-nnnn through 9nn-99-nnnn

    Note:

    "89" and "93" are not used as the fourth and fifth numbers for ITINs and are reserved for other programs.

Internal Revenue Service Number (IRSN) Format

  1. The IRSN format is in the same pattern as regular SSNs: XXX–XX–XXXX. However the IRSN will always begin with the digit "9" .

  2. The fourth and fifth digits of the IRSN typically signify what campus assigns the IRSN.

    Example:

    9nn-38-nnnn, assigned by the Andover Campus.

  3. When the original IRSN ranges are exhausted, the campus should begin using the expansion range allotted to their campus. See the following table to determine the origination of an IRSN assignment:

    Campus Original Ranges for the 4th and 5th Digit Ranges Expansion Ranges for the 4th and 5th Digit Ranges
    Andover 08 38
    Atlanta 07 37
    Austin 18 06
    Austin (International returns only) 66  
    Brookhaven 19 01
    Cincinnati 17 02
    Fresno 89 10
    Kansas City 09 39
    Memphis 49 03
    Ogden 29 04
    Philadelphia 28 05
  4. The Temporary/Scrambled application does not use Area Offices (AOs) Codes when issuing IRSNs.

  5. Typically IMF Entity assigns IRSNs for the primary taxpayer.

Adoption Taxpayer Identification Number (ATIN) Format

  1. The ATIN format is in the same format as regular SSNs: XXX–XX–XXXX.

  2. However, the ATIN will always begin with the digit "9" and the fourth and fifth digit will be "93" . The last four digits of the ATIN are assigned in ascending sequential order. Example of an ATIN format: 9XX–93–XXXX.

  3. ATINs are being completed at the Austin Submission Processing Center (AUSPC).

  4. For additional information on ATINs, see IRM 3.13.40, Application for Tax Identification Number for Pending U.S. Adoptions.

Transaction Codes Used to Merge Accounts

  1. When an IMF taxpayer account moves from one TIN to another TIN or from one segment of master file to the other segment of IMF (e.g., valid/invalid), it resequences or merges the account.

    Note:

    Never attempt to merge two accounts when both accounts ("from" and "to" ) have a TC 150 present for the same tax period. For additional information, see IRM 21.6.2, Adjusting TIN-Related Problems.

  2. Only the following entity Transaction Codes (TCs) resequence taxpayer accounts:

    Transaction Code (TC) Purpose
    TC 011 Input to change the TIN on an account on IMF.
    This transaction is systemically compared against the DM-1 file.
    Do not input multiple TC 011 on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

    Caution:

    Do not input multiple TC 011 on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

    TC 013 Input to change the name on the account.
    This transaction is systemically compared against the DM-1 file.

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 to the account.
    Inputting multiple TC 013 without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

    TC 016 Input to validate an invalid name control
    This transaction name is not compared against the DM-1 file and bypasses NAP checks.
    TC 040 Input to change a TIN or name on an account to the valid segment.
    This transaction is not compared against the DM-1 file and bypasses NAP checks.
    TC 041 Input to change TIN or name of an account to the invalid segment.
    This transaction is not systemically compared against the DM-1 file and bypasses NAP checks.
  3. The following contains transaction code exception processing for specific IMF cycles:

    Exception:

    During cycles 48 through 04, TC 011, TC 013, TC 040 and TC 041 can be input. However, the posting of the transactions will not occur until after cycle 04 or later.

    Caution:

    Individual Master File (IMF) will not post the following Transaction Codes (TC 011, TC 040, TC 041 and TC 013) during cycle 24. These specific Transaction Codes will resequence and the posting will be delayed until cycle 25.
    The Transaction Codes (TC 011, TC 040, TC 041 and TC 013) input during cycle YYYY24 day 1 through 5 will resequence until cycle YYYY25.

  4. Resequencing of accounts is accomplished by one of these two methods:

    1. Automatic IMF resequencing, or;

    2. Input of an entity transaction

  5. See IRM 3.13.5.108 for additional information on Posting Delay Codes (PDCs).

Scrambled TIN Cases

  1. A scrambled TIN case occurs for the following conditions:

    1. Returns are filed by two or more taxpayers using same TIN.

    2. An accurate TIN for the taxpayer(s) cannot be determined.

    3. When two individuals with the same or similar names receive the same SSN from the SSA.

      Note:

      If a correct TIN is located for either taxpayer, the accounts must be separated. See IRM 21.6.2, Adjusting TIN-Related Problems, for detailed instructions.

  2. The following two digit scrambled indicators pertain to scrambled SSN cases:
    Some of the indicators are no longer used and the obsolete indicators are noted.

    Indicator Used when:
    01 Completed Letter 239C questionnaire received from at least one taxpayer. Form 3857 sent to SSA.

    Note:

    This indicator is no longer input on newly processed cases.

    04 Mixed Entity
    09 Scrambled indicator needs to be turned off
    10 Account is being scrambled. Form 3857 is not sent to SSA
    12 True/Default True Scrambled SSN case. Form 3857 sent to SSA
    13 SSN not valid for federal tax purposes
    20 Case closed, no Letter 239C questionnaire received or SSA response is insufficient to resolve scrambled SSN condition.

    Note:

    This indicator is applicable only for cases worked per prior to 2009.

    21 Case closed, scrambled SSN condition resolved with SSA Form 3857 response or an SSA SSN verification printout

    Note:

    The SSA SSN verification printout is no longer sufficient proof of ownership of the SSN. SCI 21 is applicable for cases worked per prior to 2009.

    22 Case closed, scrambled SSN condition resolved with SSA Form 3857 response. Information indicates case was a True (non-default) scrambled SSN
    23 Case closed with SSA Form 3857 response which indicates SSN is not valid for federal tax purposes

    Note:

    This indicator is applicable only for cases worked per prior to 2009.

    24 Reserved
  3. If you discover the case is scrambled on CC INOLES, forward to AM.

    1. Complete a Form 3465, Adjustment Request, and forward the case to Accounts Management.

    2. Follow their directions regarding the resolution. The REMARKS section of the IDRS command code used must reflect, "coordinate with Accounts Management."

    3. Route scrambled cases requiring statute action to the Statute function.

  4. Many scrambled cases are identified while working the following types of cases:

    1. CP36s

    2. Duplicate filing of a return

    3. Taxpayer inquiries

    4. NOMRG transcripts

    See IRM 21.6.2, Adjusting TIN-Related Problems, for further information.

Mixed Entity/Multiple Filing Conditions

  1. A multiple filer condition or (Mixed Entity) occurs when more than one individual files using the same TIN. Any of the following conditions could cause multiple filing issues:

    • Use of an SSN by more than one unauthorized individual (invalid segment of IMF).

    • One or two individuals filing two different tax returns for same tax period with same TIN.

    • Family members using the same individual TIN in error (valid segment of IMF).

  2. When it is determined multiple filers are involved in a case, see the following table:

    If the account resides on... Then...
    Invalid segment of IMF File and they filed as the primary filer a. Secure both documents (e.g., returns) from files.
    b. Issue "C" letters to each individual informing them to obtain a valid TIN, and/or file Form W–7.
    c. Suspend the case for 45 days or until a reply is received from one or both of the taxpayers involved.
    d. If no reply, coordinate with AM.
    Valid segment of IMF a. Take no action
    b. Coordinate the case with the appropriate TE/unit in AM.
    c. Follow their directions regarding resolution.
    d. Annotate on IDRS in the REMARKS section, "coordinate with AM. "

Entity Changes from Oral Statements

  1. All entity changes/corrections made due to oral statements from taxpayer(s) or their authorized representative(s) must include the required elements outlined in IRM 21.1.3, Operational Guidelines Overview.

  2. When contacting a taxpayer by phone, use the authentication disclosure procedures found in IRM 21.1.3.2.3, Operational Guidelines Overview, Required Taxpayer Authentication.

    Note:

    See IRM 21.1.3Operational Guidelines Overview.

  3. When contacting taxpayer(s) by phone, you must be sure you are speaking with the taxpayer or authorized representative before disclosing tax information. See the Taxpayer Authentication guidelines in IRM 21.1.3.2.3, Operational Guidelines Overview, Required Taxpayer Authentication and IRM 21.1.3.2.4, Operational Guidelines Overview, Additional Taxpayer Authentication. Also, before leaving a message on a taxpayer's answering machine, review IRM 11.3.2.6.1, Leaving Information on Answering Machines/Voice Mail.

  4. Source documents are not always required to complete minor entity changes (examples: obvious address misspellings, corrections to addresses, typographical errors on taxpayer names, etc.,) if you are absolutely sure you are speaking to the taxpayer or their authorized representative.

    Example:

    Taxpayer says their address is 14329 Bird Street instead of 1432 Bird Street.

    These type of address changes are recommended (after authenticating the taxpayer).
    See the taxpayer authentication procedures in IRM 21.1.3 , Operational Guidelines Overview, whenever you must speak to a taxpayer by phone or face-to-face contact.

  5. See IRM 3.13.5.29 and IRM 3.13.5.29.1 for instructions on processing oral address changes.

Oral Statement/Telephone Contact Address Change Requirements

  1. Background:
    Clear and concise oral notification is a statement made by a taxpayer in person or directly via phone to a Service employee who has the ability to access a taxpayer's account to complete research and complete an address change. If the taxpayer or their authorized representative requests an address change, they must be able to provide the information in paragraph (6) to authenticate their identity.

    Note:

    The TE/CSR must authenticate the taxpayer/authorized representative prior to completing the address change.

    Caution:

    Due to the high level of identity theft, it is extremely important to ensure changing/updating/correcting of a taxpayer's address is warranted and necessary. To ensure you are speaking directly with the correct taxpayer(s) or their authorized representative see IRM 21.1.3, Operational Guidelines Overview, for required taxpayer authentication guidelines.

    Caution:

    Do not change the address based on Oral Statement Authority if the account contains open Taxpayer Protection Program (TPP) issue(s), unless otherwise directed in IRM 25.25.6.1,Taxpayer Protection Program Overview.

    Reminder:

    When updating taxpayer addresses through oral statements, advise the taxpayer to change their address at their local United States Postal Service (USPS).

  2. Never complete an address change when the address information is received from an "unauthorized" third party.

  3. If an address change is necessary and the taxpayer requests the address change using an oral statement, the address change is input using IDRS/IAT/AMS. This requirement is based on Rev. Proc. 2010-16 (superseded Rev. Proc. 2001-18).

  4. If either taxpayer reports a new address for their married filing joint account, inquire if the address change is for BOTH taxpayers. When the address change involves both taxpayers sharing the same address, update both addresses. If only one taxpayer is changing their address, update the appropriate account and leave the other taxpayer address alone. If CC INCHG/IRCHG requires the input of a filing status code, do not change the taxpayer's FSC. Use the filing status currently on the account.

  5. In an effort to document who is requesting an address change, the TE must enter whether the address change was submitted by the primary, secondary or both taxpayer(s) or by an authorized third party. Information such as which taxpayer made the request, the name of the third party, the authorized third party's title (if present), and phone number (if present) in the REMARKS field when using IAT address tool, AMS or IDRS. See IRM 3.13.5.49 for information on the required remarks when completing an address change. Use Command Codes (CCs) ENMOD/ENREQ/INCHG/BNCHG via AMS/IDRS or Integrated Automation Technologies (IAT), to complete the address change request.

    Reminder:

    Once a taxpayer indicates they have an address change, determine whether the address change is permanent or a temporary address change (e.g., student at college).
    If taxpayer indicates a temporary address change, do not update the address on master file. See IRM 3.13.5.53 for correspondence procedures for temporary address change requests.

    Exception:

    If a Large Corporation Indicator (LCI) is on the account, do not change the taxpayer's address using oral authority. Advise the taxpayer a Form 8822-B is necessary.

  6. Prior to completing an address change the taxpayer must pass required authentication listed in IRM 21.1.3.2.3 and additional authentication in IRM 21.1.3.2.4 if required. An authorized representative, Power of Attorney (POA) can be authenticated following the procedures in IRM 21.1.3.3. The taxpayer or authorized POA must have the following information in order to update the address:

    1. Taxpayer's full name

    2. Secondary taxpayer's full name, if applicable

    3. Prior address or their Last Known Address (LKA)

    4. SSN(s), ITIN, and/or EIN

    5. New address information

    Exception:

    When a 2014 account or later contains a Direct Deposit reject Reason Code (DDRC) 49 (as shown on CCs TXMOD and CC IMFOLBT), you must perform additional authentication in IRM 21.1.3.2.4.


    See IRM 21.4.1.4.8.1, Direct Deposit Request Reason Codes, for further information.

    Note:

    It is important to "repeat" back the new taxpayer address to confirm the new address before completing the update.

  7. If the taxpayer or their authorized representative CANNOT provide the required information, direct them to the IRS web page at IRS.gov If they do not have access to the IRS web page, mail a Form 8822. Do not change the taxpayer's LKA in these circumstances.

  8. See IRM 3.13.5.49 for instructions on "written" address changes.

  9. See IRM 3.13.5.51 if either the primary and/or secondary taxpayer are establishing a separate address and the address change was communicated in writing.

  10. For ITIN oral address procedures, see IRM 3.21.263, IRS Individual Taxpayer Identification Number (ITIN) Real Time System (RTS), for additional information.

"Oral" Statement/Telephone Contact Address Change Requirements for MFJ Accounts

  1. If the primary or secondary taxpayer on a MFJ account reports an address change, use the following table:

    If the new address is reported by... And... Then...
    1. Primary taxpayer Secondary taxpayer current address was updated on a later cycle than their last filing as a MFJ taxpayer a. Complete an address change on the primary taxpayer's module
    b. Take no action on secondary taxpayer's account
    2. Primary taxpayer Secondary taxpayer current address wasn't updated on a later cycle than their last filing as a MFJ taxpayer Complete an address change on both taxpayer(s) modules
    3. Primary taxpayer Secondary taxpayer does not have an account on MF a. Complete an address change on the primary taxpayer's account.
    b. Establish the secondary taxpayer using the address information provided by the primary taxpayer. See IRM 3.13.5.115 for additional information.
    4. Secondary taxpayer and secondary taxpayer is established on MF Address change is for both taxpayers Complete an address change for both taxpayer accounts
    5. Secondary taxpayer and secondary taxpayer is established on MF Address change is for secondary taxpayer only a. Complete an address change for the secondary taxpayer's account
    b. Take no action on primary taxpayer account
  2. Note:

    Do not change either taxpayer's Joint Filing Status Code (FSC 2) when completing address changes. If an FSC is necessary to complete the address change on CCs INCHG/IRCHG, use the FSC currently on the account.

    Reminder:

    When completing an address change, employees must enter and include the requestor's name, title (if applicable) and phone number (if present) in the REMARKS field of the transaction whether using IAT or IDRS. See IRM 3.13.5.49 for the required remarks when completing an address change.

Non-Entity Related and Criminal Investigation (CI) Cases Received

  1. If you receive non-Entity issues such as manual refunds, erroneous refund issues, etc., and are not directly related to Entity correction issues, forward to AM for correction.

  2. Coordination may be required with the Account Management (AM) area for resolution and/or transference of the case to the AM Function.

  3. Do not complete any Entity transactions on Criminal Investigation (CI) cases including Unpostable Cases. Route any case with a Z- or -Z to Criminal Investigation (as shown on CCs IMFOLI or TXMODA).

  4. If disposition is not known and CI does not want the freeze released, close the case "no follow-up" using the code "NOFOLUP–CI" on IDRS.

  5. See IRM 21.5.6Freeze Codes or Document 6209, IRS Processing Codes and Information, if additional information is needed.

Standard Abbreviations

  1. Use the following information if you need to abbreviate taxpayer-supplied information to fit within the space limitation:

    NAME/or PHRASE ABBREVIATION
    Trust TR
    Under the will of, U/W, under will UW
    Under agreement, U/A, Under agreement with UA
    Dated Jan. 16, 2016 01162016 (do not enter "date" /"dated" or the alpha month).
    Irrevocable Trust IRRV TR
    Revocable Trust RVOC TR
    Family Trust FAM TR
    Marital Trust MRTL TR
    Gift Trust, Giftrust GIFT TR
    Funeral Trust FNER TR
    Inter-Vivos INTRVS
    Non-exempt Charitable Trust NECT
    Revocable RVOC
    Testamentary TEST
    Under Trust Agreement UTA
    Voluntary Employee Benefit Association VEBA
    Insurance INS
    Living LIV
    Charitable Remainder Unitrust CRUT
    Charitable Remainder Annuity Trust CRAT
  2. If the taxpayer has an "In Care Of" Name Line, use the "IMF-Continuation-of-Primary-Name-Line" to enter the information. If space allows on the line, include any designated titles.

    Note:

    "In Care Of" is entered in IDRS as "%" , for example, % John Birch Guardian (GDN).

    See the following table for the title and acceptable abbreviations:

    Title Abbreviation
    Administrator/Administratrix ADM
    Charitable Remainder Annuity Trust CRAT
    Charitable Remainder Unitrust CRUT
    Commissioner COMM
    Conservator CONS
    Co-tutor, Co-tutrix*
    *Civil law concept similar to Guardian
    COTUTOR
    COTUTRIX
    Custodian CUST
    Executor/Executrix EX
    Fiduciary Personal Representative FID
    For the Benefit of, FBO, F/B/O FBO
    Guardian
    This may include the name of paragraph signing for a minor taxpayer
    GDN
    Independent Conservator IND CONS
    Personal Representative PER REP
    Power of Attorney POA
    Successor SUCC
    Trustee TTEE
  3. If the taxpayer attempts to add an "In Care Of" name when making an address change, add this name on the secondary name line when completing an address change. See IRM 3.13.5.59 for additional information.

  4. When establishing a IMF taxpayer with a Power of Attorney (POA), Designated Agent, Executor/Executrix, In Care Of name, etc., and their address contains a Post Office Box (PO Box) and a street address, use the Continuation-of-Primary-Name (Line 2) field for the POA, Designated Agent, Executor/Executrix, etc., information and enter the PO Box address (instead of the street address information).

    Reminder:

    When entering the tax year information (as displayed on CC INCHG/IRCHG), enter the year you wish the address change to become effective or the current tax period.

  5. This type of Entity update will generate as a TC 013 instead of a TC 014.

Form 56, Notice Concerning Fiduciary Relationship

  1. Form 56, Notice Concerning Fiduciary Relationship, is filed to notify the IRS of a fiduciary relationship. There is no restriction with regard to the information a fiduciary can receive for the entity for which he or she is acting. A fiduciary assumes the powers, rights, duties and privileges of the taxpayer(s), until notice is given the fiduciary capacity is terminated. See IRM 3.13.5.31 for the acceptable title abbreviations. If correspondence is required for missing information or due to an address change request (without a Form 8822), correspond using Letter 5555C. Do not update the account without the taxpayer’s reply.

    Caution:

    There are different versions of the Form 56 that may be received. If a prior version (earlier than 12/2007) is received, the earlier versions must contain the required elements for processing in order to be complete.

    Reminder:

    If there are two titles shown on the Form 56, input the title written next to the signature (when available). If there is no title next to the signature, choose one of the titles listed.

    Note:

    If the fiduciary title is not included on the Form 56, review all of the attached documentation/ legal documents (if applicable).

  2. When reviewing Form 56, if you notice the taxpayer is appointing a high ranking IRS or Treasury employee or other high ranking governmental official or him/herself as a fiduciary, refer these cases to Frivolous Return Program (FRP). See IRM 3.13.5.7 for additional guidance.

    Caution:

    If, for any reason, an IRS employee has concerns regarding the authenticity of a fiduciary, requester or titled representative, the employee may request the fiduciary supply supporting authority before disclosing taxpayer information. Use the Letter 5555C and request the legal documentation.

  3. An Identification (ID) theft indicator on a taxpayer's account does not require routing to AM. However, if there are suspicious patterns, duplicate information, etc., on the application/account, ask your lead for guidance.

  4. If the Form 56 is requesting an IMF and Business Master File (BMF) entity change, process the IMF Entity action first, before transshipping to the Ogden or Cincinnati campus. Do not transship the case to a BMF campus if you determine the BMF entity change was already made.

    Note:

    Leave an action trail of the IMF transactions completed and your TE stamp (when required by your campus).

    Note:

    If the taxpayer provides an Employer Identification Number (EIN) in the Identifying Number line of the Form 56, consider the Form a BMF Entity change request and transship to the appropriate business campus.

    The following types of Form 56s must be completed in the following manner:

    If... And... Then...
    a. Form 56 received with SS-4 attached Address is located in one of the 50 states or District of Columbia, Forward to the EIN operations in Cincinnati
    b. Form 56 received with SS-4 attached There is no indication of a legal residence, principal place, principal office or agency in any state Forward to the EIN operations in Ogden
    c. BMF international filer Requests a BMF entity change forward to Ogden
    d. BMF domestic filer Requests a BMF entity change forward to Cincinnati
    e. Form 56-F, Notice Concerning Fiduciary Relationship of Financial Institution   Forward to the Ogden or Cincinnati ECU
    f. Form 56 there is no IMF account for the taxpayer
    1. Underline the first four alpha characters of their name control

    2. Write Alpha and any other audit trail information required in the lower left of Form 56

    3. Forward Form 56 and supporting documents/forms to Files by using a Form 3210

    g. Form 56 with Illinois Land Trust Returns listed in Part III Forward to Ogden ECU
    h. Form 56 with Illinois Land Trust No returns are indicated in Part III 1. Underline the first four alpha characters of their name control
    2. Forward Form 56 and supporting documents/forms to Files
    3. Use a Form 3210 to be filed in the Alpha file
    i. Form 56 (Revision 12/2007) Part III indicates the taxpayer is filing for delinquent income taxes under Offer and Acceptance Forward to the Fraud Detection Center
    j. Form 56 indicating POA Taxpayer is deceased 1. Return the Form 56 to fiduciary to inform them a POA is not valid after the taxpayer’s Date of Death (DOD)
    2. Send a Letter 5555C, using the open paragraph. We received your Form 56 and you entered the title Power of Attorney (POA). However, you can’t file as a POA for a deceased taxpayer. Please provide your authority for fiduciary relationship and resubmit the Form 56.
    k. IMF taxpayer has an existing foreign address No address change is requested and no Form 8822 is attached Add the fiduciary name to the CONTINUATION-OF-PRIMARY-NAME line (if space allows), otherwise, do not add the fiduciary’s name.
    l. IMF taxpayer requests a change to a foreign address Form 8822 is attached Add the fiduciary name to the CONTINUATION-OF-PRIMARY-NAME line (if space allows), otherwise, do not add the fiduciary’s name.

    Caution:

    An EIN should not be assigned due to the submission of a Form 56.

  5. If the taxpayer/fiduciary indicates an address change is needed on the Form 56, use the following instructions:

    If ... And... Then...
    a. Version 11/2017 or 12/2015 is received taxpayer did not provide a Form 8822 correspond to the fiduciary at their address using a Letter 5555C , attach a Form 8822 and return the Form 56.
    b. Version 12/2015 is received taxpayer provides information within Part 1, Section B, Box(es) 6 area take no action on the information supplied by the taxpayer in this specific area.
    c. Version 12/2011 is received
    Part 1, Section B, Box 6 is checked
    taxpayer did not provide a Form 8822 correspond to the fiduciary at their address using a Letter 5555C , attach a Form 8822 and return the Form 56.
    d. Version 12/2007 received
    Part III, Box 5 is checked
    taxpayer did not provide a Form 8822 correspond to the fiduciary at their address using a Letter 5555C , attach a Form 8822 and return the Form 56.
    e. earlier version than 12/2007 taxpayer did not provide a Form 8822 correspond to the fiduciary at their address using a Letter 5555C , attach a Form 8822 and return the Form 56.

    Caution:

    DO NOT UPDATE/CHANGE the taxpayer address using their fiduciary address unless a Form 8822 or Form 8822-B is included with the Form 56.

  6. If a decedent case has previously been identified, the account should contain one or more of the following:

    1. DECD in the name line

    2. Death Certificate, Form 1310 or other legal document attached

    3. "Estate of" is present

    4. Date of Death present

    5. "DEC"

    6. TC 540 on CC TXMOD or CC IMFOLT for the year of death

    7. Mail File Requirements (MFR 08) on CC ENMOD or CC INOLES.

      Note:

      If a Form 1040, Form 1040A, etc., are available, Deceased written on the top of the tax Form or Deceased, Filing as surviving spouse or similar notations in the signature area of Form 1040 are used if submitted by surviving spouse only.

  7. If the IMF account is inactive (MFR 08), use the following instructions:

    If... And... Then...
    a. taxpayer is deceased,   use the Date of Death (DOD) unless the date of appointment is earlier.

    Caution:

    These accounts must be re-closed to prevent ID Theft.

    b. taxpayer is not deceased   use the date of appointment.
    c. non-Entity changes are required and the account is inactive (MFR 08) taxpayer is DECEASED, reopen the account monitor the case and re-close the case after the non-Entity transaction posts.

    Caution:

    Do not update an account past the year of the taxpayer’s death.
    Do not add a DOD to a taxpayer account, without copies or original documents.

    Reminder:

    If the date of appointment is not available, use the current tax filing year.
    If a tax return is needed for subsequent year(s) (one year or more after the taxpayer’s death), a Form 1041 must be filed on behalf of the deceased taxpayer.

  8. When corresponding for missing information from the fiduciary and the taxpayer is deceased, correct the address on the letter from "DECD" to "Estate of ..." .

  9. Review the entire document and any attachments and use IDRS/IAT to locate missing information prior to corresponding.

    Example:

    Editorial remarks "Detached 201612 1040" edited in red.

  10. A taxpayer may be an individual, trust, estate, partnership, association, company or corporation. This includes pension and 401(k) plans.

  11. When a Form 56 is received, the following information is required:

    • Taxpayer name line information

    • Taxpayer's address

    • Identifying number (SSN, ITIN or EIN)

    • Fiduciary name and address

      Reminder:

      If the taxpayer(s) address is missing, use the fiduciary's address to correspond for any missing information. If the fiduciary address is missing, contact the fiduciary by phone when possible.

      Note:

      If the fiduciary address is missing, return the Form 56 back to the taxpayer.

    • If multiple names are listed for the fiduciary, add as many names and the title provided as "allowable" in the available space. See IRM 3.13.5.118.5 to reduce the names listed.

    • Title of Fiduciary (if available). See IRM 3.13.5.118.6 to reduce the title provided when needed.

    • Signature of Fiduciary

    • Tax forms to be filed

  12. If you cannot locate the missing information, with the exception of the LKA, use the fiduciary-supplied documentation/attachments or the taxpayer's account to complete the processing of the Form 56. Use a Letter 0177C or Letter 5555C to correspond. Send the correspondence to the fiduciary unless the fiduciary's information is missing. In these instances send the correspondence to the taxpayer for the following:

    1. missing signature

      Exception:

      A facsimile, photocopy and/or stamped signature is acceptable as a substitute for an original fiduciary signature. A letter signed with a stamped signature under the "Penalties of Perjury" portion also indicates the person is approved to sign the Form 56. A copy of the letter must be attached to each Form 56 and retained for inspection.

    2. missing taxpayer name

    3. no indication the taxpayer is deceased (if applicable) or the fiduciary supplying a Date of Appointment, court documentation, etc.

  13. It is acceptable to use the Authority, date of appointment or taxpayer's DOD to complete the processing of the Form 56 prior to corresponding.

    Note:

    If DOD is not provided but the taxpayer's DOD is shown on CC INOLE, use the CC INOLE DOD when needed.


    Use the following chart to determine the YEAR-NM-LINE.

    If Revision Date of Form 56 is... And... Then...
    a. 2007 Fiduciary enters a date in Part II, Line 1(a)(2) Enter taxpayer's DOD
    b. 2007 Fiduciary enters a date in Part II, Line 1(b)(2) Enter fiduciary's year of appointment
    c. 2007 Part III, Line 4 Enter the years indicated

    Note:

    This may require multiple name line updates.

    d. 2011, 2015 or 2017 Fiduciary enters a date in Part I, Section A, Line 2 (a) Enter taxpayer's year of death
    e. 2011, 2015 or 2017 Fiduciary enters a date in Part I, Section A, Line 2 (b) Enter fiduciary's year of appointment
    f. 2011, 2015 or 2017 Part 1, Section B, Line 5 Enter the years indicated.

    Caution:

    This may require multiple name line updates. If multiple name line changes are required, monitor the account and wait for the name change to post. After it posts enter the next name line change and monitor the account.

    If Form 56... And Contains Information within... Then...
    a. Version 12/2015 is received Boxes below Part 1, Section B Line 6 Disregard. Do not consider the years listed as the years the fiduciary is authorized to act
    b. Version 12/2011 is received Boxes below Part 1, Section B Line 6 Disregard. Do not consider the years listed as the years the fiduciary is authorized to act
    c. Version 12/2007 is received Boxes below Part III, Line 6 Disregard. Do not consider the years listed as the years the fiduciary is authorized to act

    Caution:

    If the taxpayer is deceased, only input DECD in the name line for the year of death.

  14. If the Form 56 does not include the specific returns, use the following information to make this determination:

    If... Then...
    1. SSN/ITIN is entered in Part I of Form 56 Edit "Form 1040" in the appropriate field of Form 56.
    2. EIN, gift or estate is entered or indicated Route to BMF per local procedures

Termination or Substitution of Fiduciary Relationship (Revisions 11/2017, 12/2015 or 12/2007)

  1. A fiduciary will inform the IRS of changes to the fiduciary relationship in the following areas of the Form 56 or through correspondence. If the Form 56 is supplied, the fiduciary information will be contained in the following areas of the Form 56:

    Form 56, version Information contained within
    11/2017 Part II, Section A
    12/2015 Part II, Section A
    12/2007 Part IV, Section A
  2. If the fiduciary notifies the IRS (either through correspondence or by filing a Form 56) that the fiduciary relationship has terminated or they revoked their relationship, update the account as follows:

    1. If the account is on the retention register, take no action.

    2. Once the account is terminated, follow the disposition procedures.

  3. Review the Form 56 to determine if the Total Revocation Section of Form 56 is completed.

    1. If the fiduciary is no longer authorized for the taxpayer, remove the fiduciary name.

    2. If the "Substitute Fiduciary" section is completed, establish this fiduciary name ONLY as requested.

Termination of Fiduciary Relationship (Revision 12/2011)

  1. Information has been provided on the IRS.gov for the Form 56 to instruct the fiduciary/taxpayer to write "TERMINATE" in red capital letters across the top of a previously filed Form 56 or to submit a new Form 56. The Form 56 must be completely filled out and signed.

  2. When Form 56 is received with TERMINATE, Terminate or terminate written in any color of ink on the Form 56, remove the fiduciary name and/or title from the taxpayer's account.

  3. If a Form 56 includes any court orders or documentation/paperwork to terminate the fiduciary relationship, remove the fiduciary name and/or title from the taxpayer's account.

When to Use Fiduciary or "In Care Of" Name

  1. The following is useful in determining whether to use the Fiduciary or the "In Care Of" name as the IMF taxpayer's second name line information. If the Fiduciary/In Care Of name line includes a designated title (example: Thomas Cardinal, Trustee), you must always enter the correct abbreviation of their title (if space allows). If the fiduciary title information is not supplied in Part I of the Form 56, review entire Form 56 and any attached documentation (including legal documents) to determine the appropriate fiduciary title.

    If Form 56... And... Then...
    1. Contains a fiduciary's name only   add fiduciary's name information as the secondary taxpayer name line
    2. Contains a fiduciary's name and an "In Care Of Name" name listed on CC CFINK matches Fiduciary's name add fiduciary's name as secondary name line
    3. Contains a fiduciary's name and an In Care Of Name name listed on CC CFINK matches the "In Care Of Name" add this name as secondary name line
    4. Contains a fiduciary's name and an In Care Of Name name listed on CC CFINK is different than fiduciary's or In Care Of Name use fiduciary's name as secondary name line

    Reminder:

    Change the taxpayer's address if a Form 8822 is attached.

  2. See IRM 3.13.5.31 for information on these abbreviations.

Processing Form 56 with Address Changes

  1. If a Form 56, Notice Concerning Fiduciary Relationship, is submitted that reflects a different address than the taxpayer's LKA, do not update the taxpayer's address unless a Form 8822 or Form 8822-B is included/attached.

  2. Complete the address change based on the submission of a completed Form 8822 or Form 8822-B.

  3. See IRM 3.13.5.50 for additional information on completing address changes.

Disposition of Form 56

  1. Send Form 56 to Files using a Form 3210, Document Transmittal. Notate on the Form 3210 to file the Form 56 in the ALPHA File or per local procedures.

Form 1128, Application to Adopt, Change or Retain a Tax Year for Individual Taxpayer

  1. A tax year is an annual accounting period for keeping records and reporting income and expenses. Once the tax year is established, the taxpayer continues to use that tax year until permission is granted by IRS to change the tax year selected. The Form 1128 is filed to request a change in tax year.

  2. All taxpayers must complete Page 1, Part I of Form 1128 including the "Signature-All Filers" portion.

    Reminder:

    If the application is for a husband and wife, both must sign.

  3. IMF ECU units only processes Forms 1128 with Part 1 and Part II, Section C, completed.

  4. If an IMF site receives a Form 1128 containing information within Part II with the following sections, transship the documents to BMF Entity Control units

    1. Part II, Section A. (Automatic Revenue Procedure 2006-45)

    2. Part II, Section B. (Automatic Revenue Procedure 2006-46)

  5. If correspondence is received from the taxpayer as a result of Form 1128 being denied because it was filed late, use the Letter 2233C (or other appropriate letter) to return the denied Form 1128 to the taxpayer. Inform the taxpayer their request should be filed with Chief Counsel per instructions on the Form 1128.

  6. If an IMF site receives a request for a ruling (Part III completed), the Form 1128 must be sent to the following address:
    Internal Revenue Service
    Associate Chief Counsel (Income Tax and Accounting)
    Attn: CC PA LPD DRU
    PO Box 7604, Ben Franklin Station
    Washington, DC 20044-7604

    Reminder:

    Any Form 1128 received for an Estate must also be referred to Chief Counsel.

    1. Retain a copy of the Form 1128 in the suspense files for 45 days (for taxpayer inquiries).

    2. At the end of 45 days, destroy as classified waste.

    Note:

    Form 1128 sent to Chief Counsel in error are sometimes returned to the taxpayer with a letter advising the filer to send the form to the appropriate campus.

  7. If an IMF site receives a Form 1128 with Part II, section D and the yes box is checked, transship the documents to the EO Entity Team at the Ogden Campus. If the no box is checked, continue processing.

  8. For an individual taxpayer's application to be accepted and updated it must be received complete and filed timely.

  9. For an individual taxpayer to change their tax year, the application MUST be filed on or before the tax return's due date.

  10. The Form 1128 due date for the majority of IMF filers is:

    1. April 15, or;

    2. Date the TC 460 (extension) displays on the taxpayers account, or;

    3. Trusts, generally due on the 15th day of the 4th month following the end of the tax period.

    Reminder:

    The extension due date for an IMF taxpayer is October 15.

    Note:

    To determine if a taxpayer has filed for an extension, review their account on CC IMFOLT to determine the date displayed beside the TC 460 "EXT DT" field.

  11. Review the Received Date stamp and the following to determine if the Form 1128 is timely filed:

    If... Then...
    a. Received date indicates the Form 1128 is timely See paragraph (12)
    b. Received date indicates the Form 1128 is not timely
    1. Reject the form. Annotate "Rejected" and the date of the rejection.

    2. Send taxpayer a Letter 2233C, Application To Adopt, Change, or Retain a Tax Year Denied.

    3. Enclose Rejected Form 1128 in 2233C to taxpayer.

    4. Return the original Form 1128 and 2233C to the taxpayer, using a Form 14219, Return of Documentation to the Taxpayer, and;

    5. Route photocopies, 2233C and Form 1128 to Files for placement in the ALPHA FILE.

    c. Form 1128 is received with a letter from Chief Counsel advising the taxpayer to file within 30 days of the date of their letter and it is received within this time period Accept it as timely and continue processing
  12. Review the entire Form 1128 for the required and/or missing information See the following table:

    If... And... Then...
    a. Signature(s) is missing

    Note:

    If application is for both husband and wife, both must sign.

      Return the Form 1128 to the taxpayer
    Request the missing signature using a Letter 0143C.
    b. TIN missing  
    1. Research IDRS for missing taxpayer name and/or TIN, if necessary.

    2. If located, notate the appropriate information on Form 1128 and continue processing.

    3. If not located, return original Form 1128 to taxpayer or POA indicating what information is missing with a Letter 2314C.
      Retain a copy of the Form 1128 in the suspense files for 45 days (for taxpayer inquiries).
      At the end of 45 days, destroy as classified waste.

    c. Name(s) missing
    1. Research IDRS for missing taxpayer name and/or TIN, if necessary.

    2. If located, notate the appropriate information on Form 1128 and continue processing.

    3. If not located, return original Form 1128 to taxpayer or POA indicating what information is missing with a Letter 2314C.
      Retain a copy of the Form 1128 in the suspense files for 45 days (for taxpayer inquiries).
      At the end of 45 days, destroy as classified waste.

    d. An agent is designated Form 2848, Power of Attorney and Declaration of Representative, is attached 1. Forward the Form 2848 to the Centralized Authorization File (CAF) Unit.
    2. A copy of the Form 2848 should be retained and attached to Form 1128 prior to forwarding to CAF so any correspondence can be sent to the POA as required by law.
    3. Leave an Audit trial "Form 2848 to CAF" .
    e. POA signs Form 1128 Form 2848 is not attached Return Form 1128 to the taxpayer after reviewing for other missing items.
    Request a Form 2848 using a Letter 2314C (or other appropriate letter).
    f. Part I, Line 2a "Adopt a tax year ending"
    or "Change to a tax year ending"
    or "Retain a tax year ending"
    includes the date 12/31 or December 31
    Part II, Section C, Line 9 is checked "yes" Continue processing
    g. Part I, Line 2a "Adopt a tax year ending"
    or "Change to a tax year ending"
    or "Retain a tax year ending"
    contains a date other than 12/31 or December 31 Mail to Chief Counsel using the address shown in paragraph (6).
    h. Part 1, Form 1128 is incomplete Form 1128 is timely Correspond for missing information using a Letter 2314C.
  13. If the address on Form 1128 indicates a different address than what is shown on IMF, do not update the address. Send all correspondence to the existing IMF address.

  14. When the Form 1128 is determined to be complete, timely filed, and the requested change was for calendar year (December 31 or 12/31) as shown within Part I, update the taxpayer's account as follows:

    1. Use CC INCHG to update the FYM (generates a TC 016).

    2. Stamp "approved" on original Form 1128 then photocopy the Form 1128.

    3. Annotate on the original Form 1128 the date the TC 016 was entered and the employee IDRS number.

    4. Send the photocopy of Form 1128 with a Letter 2314C to the taxpayer and their POA (if applicable), informing the taxpayer the Form 1128 has been approved.

    5. Route the original Form 1128 to Files for placement in the ALPHA File.

  15. If Form 1128 is approved by Chief Counsel, complete using the following:

    1. Use CC INCHG to update the FYM (generates a TC 016).

    2. Annotate on the letter ruling the date the TC 016 was entered and the employee IDRS number.

    3. Route the ruling letter to Files for association with the Form 1128.

      Note:

      Chief Counsel will retain the Form 1128 and will submit it to the campus along with a copy of approved letter ruling

  16. If Chief Counsel expertise is needed, the Lead Tax Examiner or Supervisor only can use the information within the Note in paragraph (2) in IRM 3.13.2.20, Form 1128 - Application to Change, Adopt or Retain a Tax Period.

Form 3210, Document Transmittal, Used for Transferring Cases/Documents

  1. When transferring a case within or outside your campus, use a Form 3210 .

  2. Separate transshipment procedures have been developed for the mailing/directing of "misdirected" IMF and/or BMF cases.

  3. The processing of certain forms have become "centralized" at specific processing site (example: Form 706 or Form 709, Exempt Organization forms, are transshipped to the Cincinnati Submission Processing Campus (CSPC)). Therefore, specific guidelines have been developed to transship these types of forms between submission sites.

  4. See the transshipping coordinator at your campus for additional information.

Form 4442, Inquiry Referral

  1. A written/electronic referral is initiated on a Form 4442, Inquiry Referral or electronic 4442 (e-4442).

  2. A correct referral will:

    1. Stop an employee from working on the account and forward the work to management for reassignment using the Form 4442.

    2. Management will validate the circumstances under which the inadvertent access occurred and the need for reassignment to another employee by annotating Form 4442.

  3. See IRM 21.3.5Taxpayer Inquiry Referrals Form 4442, to prepare an inquiry referral.

Form 2363, Master File Entity Change

  1. Form 2363 is a paper request for miscellaneous entity changes requirements and is used by non-Entity personnel such as Examination, Taxpayer Service, Collection personnel to make taxpayer entity type changes (names, addresses, dates, merging accounts, etc.,). The completed form is forwarded to the appropriate Entity control Unit (ECU).

  2. This form is available on the IRS publishing web page in a "fillable" PDF format at the following address IRS Publishing Service web page. However, handwritten versions of Form 2363 will be accepted for processing by the ECU. If you need to locate a contact name and phone number, stop number, etc., for the ECU see the Mail Routing Guide (MRG).

  3. The "Prepared by" section must be completed and include the following information:

    • Prepared by

    • Organization symbols

    • Area Office Number

    • Prepared from (Document and DLN). The source document from which information was obtained

    • Routing to

      Caution:

      The Area Office information, when applicable, must be included to ensure the taxpayer information is entered correctly.

  4. If Form 2363 is improperly prepared or incomplete, return it to the originator or call them to obtain the information to process their request.

  5. If the examiner's location/contact information is unknown, destroy Form 2363.

  6. The form is divided into two sections headed "FROM" and "TO" .

  7. The "FROM" section is used to record old record information (i.e., the account as it currently displays).

  8. The "TO" section is used to record new information or to add/change/revise the taxpayer entity information. See Figure 3.13.5–2.

    Reminder:

    Since the Form 2363 is a multi-purpose form, the information required by the requestor will vary based on the Entity change(s) required.

    Figure 3.13.5-2

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    Please click here for the text description of the image.

Form 3911, Refund Inquiry

  1. Form 3911 is sent to the Refund Inquiry function.

  2. This form is received in the ECU only when the refund is frozen due to an invalid TIN. The taxpayer should already have received a CP 54.

  3. CC REINF will display the literal "CP 54 ISSUED" . The case is worked in the same manner as a CP 54B. The fourteen calendar day time frames apply.

  4. All other inquiries concerning "S-" freezes (TC 740), such as a correction or change of an address, must be routed to the Refund Inquiry Unit. Route the documents/applicable forms/correspondence with instructions to the Refund Inquiry Unit. Enter the following REMARKS on IDRS and the routing slip "Address change requires TC 018" .

    Note:

    To determine if the account is in "S-" freeze status (TC 740), research using CCs REINF and TXMOD.

Form 8288, U.S. Withholding Tax Return for Dispositions by Foreign Persons of U.S. Real Property Interests and 8288-A, Statement of Withholding on Dispositions by Foreign Persons of U.S. Real Property Interests

  1. The following forms are used for reporting and paying the taxes due to the acquisition of U.S. real property interests:

    1. Form 8288, U.S. Withholding Tax Return for Dispositions by Foreign Persons of U.S. Real Property Interests, or;

    2. Form 8288-A, Statement of Withholding on Dispositions by Foreign Persons of U.S. Real Property Interests.

  2. The transferees use the forms to report and pay any tax withheld on the acquisition of U.S. real property interests. These forms are used by individuals, corporations, partnerships, estates, and trusts to withhold tax on distributions and other transactions involving U.S. real property interests from a foreign seller.

  3. The transferee must have an U.S. TIN (SSN/EIN/ITIN) or an IRSN to post the payments and to process the income tax withholding returns to the BMF.

  4. The IMF Entity Control unit is only responsible for assigning an IRSN when a remit Form 8288 is received and the transferee is an individual taxpayer who does not have an SSN or ITIN.

  5. If a non-remit Form 8288 is received with a Form W-7 attached, forward the Form W-7 to the ITIN unit and return the Form 8288 to batching.

  6. If the taxpayer does not have a valid TIN, assign an IRSN, Use CC TMSSNB to establish the IRSN. The following fields are required to establish the account and process the payment.

    1. Enter the IRSN with a "W" .

    2. Enter the Name, their Name Control and Address information using the Form 8288.

    3. Use a MFT 17.

    4. Edit TC 000 and notate the IRSN on the Form 8288 and on the Form W-7 notate the IRSN in the "IRS use only" portion of the form.

    5. If the taxpayer has an SSN or ITIN, but it is not established on the "V" tape, establish the SSN or ITIN on the "V" tape by inputting a TC 000.

    Note:

    There are no filing requirements for Form 8288 or 8288-A.

  7. After the account is established by the IMF ECU, forward the remittance Form 8288 and Form 8288-A to the Deposit Unit.

Historical Easement User Fee Processing (Fresno only)

  1. Taxpayers are required to pay a filing fee requirement if they register and claim historical district easements.

    Note:

    When a taxpayer account displays a TC 971 Action Code (AC) 670 (receipt of user fee attached to a Form 1120 series, 1040 series or Form 1065), this indicates the payment was applied to that specific tax period.

  2. Employees stationed in Beckley facility will provide and fax a consolidated IMF/BMF report and fax the information to the Ogden Campus for BMF and to the Fresno Campus for IMF.

  3. Fresno will research the IMF accounts only (determined by the SSNs on the report) and will input a TC 971 AC 670 to the IMF accounts using CCs REQ77 and FRM77.

    1. If the Historical Easement has already been applied for the specific tax period, notate this on the report "User Fee Already Applied" .

    2. If the Historical Easement has not been applied for the specific tax period, notate on the report "Payment NOT Applied" .

    3. If you cannot locate the Historical Easement for the specific tax period, notate this on the report "User Fee Not Located" .

  4. The information provided on these reports includes the following information:

    1. Deposit number and deposit date

    2. Total amount

    3. Taxpayer(s) name

    4. SSN/EIN

    5. Tax year

    6. Type of form filed

    7. Date posted

    8. Integrated Financial System (IFS) document number

  5. Complete all the IMF cases only (within 10 business days) and fax the report back to the Beckley Finance Center.

Determining National Change of Address (NCOA) Address Changes

  1. The IRS receives weekly address updates from the USPS. The NCOA is designed to help maintain the most current taxpayer addresses.

    Note:

    The NCOA weekly address updates take approximately two weeks to be posted to all IRS databases.

    Exception:

    If the taxpayer's name and their prior address does not match the IMF name and the address information on the taxpayer's account, the IRS will not update the taxpayer's address or Last Known Address (LKA). In these instances, the existing IMF address will be retained.

  2. The NCOA database helps to reduce the volume of undelivered IRS mail.

  3. NCOA address changes accepted and changed are identified by a TC 014 and display with the following DLNs:

    Master File DLN Format
    IMF XX-2-63-995-999-99-Y
    BMF XX-9-63-995-777-66-Y
    EPMF XX-0-63-995-777-66-Y

    Note:

    XX represents the IRSC number of each campus.
    Y represents the year of the NCOA update.

Determining Modernized E-File (MeF) Address Changes

  1. MeF address changes sent to IDRS will also display an address source code, when applicable, beside the IDRS address transaction code, TC 014. The MeF/e-Services DLN will display on CC IMFOLE and displays with a DLN of XX263-995-11111-Y.

  2. The following is an explanation of the DLN:


    XX = Variable FLC
    995 = Stable Julian date
    11111 = Stable Block Series and Serial Number
    Y = Year TC posts.

Determining FINALIST Address Changes

  1. Address changes that generate due to address hygiene changes will post with a DLN of XX263-995-88888-Y.

  2. The following is an explanation of the FINALIST DLN:


    XX = Variable File Location Code (FLC)
    995 = Stable Julian date
    88888 = Stable Block Series and Serial Number
    Y = Year TC posts.

FINALIST Address Corrections Prior to Posting to IMF

  1. When taxpayer addresses are input, edited or corrected, IRS uses a software product to try to correct (or hygiene) them to meet the United States Postal Service (USPS) delivery requirements. The FINALIST software product is used by the IRS.

  2. FINALIST uses USPS standard abbreviations and spellings and assigns the proper full ZIP Code (where it can) to align the addresses with USPS-recognized locations for domestic mail delivery. FINALIST ensures that IRS "mail outs" comply with the USPS guidelines and standards and will convert the street names to comply with USPS standards.

    Example:

    A taxpayer account with the street address 35 Northwest Pennsylvania Avenue. FINALIST would change the address to 35 NW Pennsylvania Ave to meet/comply with the USPS's standard address for that mail delivery location.

    Caution:

    If an address is entered incorrectly per USPS address standards, FINALIST will attempt to correct the address. If a "correct" USPS compliant address is available, it will post to master file. However, if FINALIST cannot correct the address, the input address will post and the address will be considered Undeliverable As Addressed (UAA).

  3. If a TE enters an address correctly and FINALIST converts the address to meet the USPS standards, the TE must not be assigned a quality error (as there is no way to circumvent the FINALIST changes).

  4. If addresses do not comply with the USPS postal requirements, error reports generate at each campus. A ZIP Code Error Record is produced when the FINALIST software is unable to correct the city, state and/or ZIP Code entered or other "discrepancies" are located within the address. The 07576811 IMF ZIP CODE ERROR REPORT, generates weekly (if address errors were located) and is accessible through Control-D WebAccess (CTDWA). The reports generate based on two different types of errors:

    • Street Address Mismatch

    • City State Mismatch

  5. IMF Entity is required to research and correct (if possible) each address listed on the IMF report.

  6. Working these cases may require ordering the original document from files and/or researching IDRS/IAT to determine the address originally received.

  7. If an original document is needed to correct the case, use CC ESTAB with CC Modifier D and Document Request Code 0. More detailed instructions are contained in IRM 2.3.17, Command Code ESTABD.

  8. When researching reports and the literal "MCC Generated" displays in the DLN field, these addresses display due to the post office's deletion of the USPS ZIP Code for this address. Research must be completed through the United States Postal Service (USPS) web page. See IRM 3.13.5.63 for additional information.

  9. If a correct address cannot be located, no further action is required.

    Note:

    If Military addresses display without street address information, do not correct the military address.

  10. See the following example of a military address without a valid street address:

    Sgt. Red Cardinal
    112 Platoon, Branch 9
    Ft. Smith, AZ

Determining Accounts Management Services (AMS) IMF Address Changes

  1. Address updates will display and post with a DLN of XX263-JJJ-99998-Y.

  2. The following is an explanation of the DLN:


    XX = Variable File Location Code (FLC)
    2 = Stable Tax Class for Individual Filer
    63 = Stable Document Code for IMF
    JJJ = Actual Julian Date
    99998 = Stable Block Series Numbers and Serial Numbers
    Y = Year TC posts.

Determining Primary Taxpayer Address Changes Due to IDRS

  1. IMF address changes made to the primary taxpayers account using IDRS will post with a DLN of XX263-JJJ-NNNNN-Y.

  2. The following is an explanation of the DLN:


    XX = Variable FLC
    JJJ = Actual Julian Date plus 400
    NNNNN = Variable Block Series and Serial Number
    Y = Year TC posts

  3. When an address change is input to the primary taxpayer account and they file a joint return, IMF will automatically update the secondary taxpayer's address.

  4. It is possible to override and prevent an address change to secondary taxpayer's account. The input of a primary taxpayer address change indicator will prevent the secondary taxpayer address updates.

Determining Secondary Taxpayer Address Change Due to IMF Processing

  1. IMF-generated secondary taxpayer address changes (TC 014) will display with a DLN of XX263-001-88888-Y.

  2. The following is an explanation of the DLN:


    XX = Variable FLC
    001 = Unique Julian Date
    88888 = Stable Block Series and Serial Numbers
    Y = Year TC posts

    Note:

    The IMF secondary taxpayer address update may occur up to one week after the primary taxpayer account is updated.

  3. See IRM 3.13.5.62 for inputting international addresses. See IRM 3.13.5.56 for inputting domestic addresses.

Updating Address Records

  1. Enter remarks to document an address change completion.

    Note:

    Due to the high level of identity theft, it is extremely important to ensure the changing of the taxpayer's address is warranted and necessary with the supporting documentation/forms submitted.

  2. In an effort to document address change requests, the TE must enter whether the address change was submitted by the primary, secondary or both taxpayer(s) or by an authorized third party. Enter which taxpayer(s) made the request, the name of the third party or the authorized third party's title (if present), and phone number (if present) in the REMARKS field when using IAT address tool, AMS or IDRS. When making an IMF address change on IDRS, enter 8 in the Block Series field of CC INCHG to indicate the address change was completed in the ECU. See IRM 3.13.5.49 for additional information on inputting comments.

  3. If the taxpayer verbally requests an address change, ensure you are speaking to the taxpayer or their authorized representative before making the address change. See IRM 21.1.3.2.3, Required Taxpayer Authentication, for taxpayer authentication guidelines, if necessary.

  4. See IRM 3.13.5.29 Address Changes from Oral Statements/Telephone Contact, for additional information.

  5. If a written address change/correction is received with an "S–" freeze, forward the case to the Refund Inquiry Unit (without completing the address change).

    Note:

    To determine if the account is in "S–" freeze status , research using CC REINF, CC IMFOLI and CC TXMOD.

    See IRM 3.13.5.106 for additional information.

  6. When researching and/or updating a taxpayer address and you determine their Last Known Address (LKA) was already updated, do not update the LKA unless an error is noted.

  7. "Clear and concise" written notification by the taxpayer or their authorized representative is required before updating a taxpayer address. The following list contains examples of authorized written address change situations:

    Note:

    The documentation/notification must be signed by the taxpayer(s) or their authorized representative with the exception of b, d and g.

    1. Address changes noted on a signed return

    2. Address changes written on IRS-generated notices, remittance documents or IRS-generated correspondence

    3. Form 8822

    4. Taxpayer correspondence containing a red "Lockbox (LB) stamp" or correspondence received from field office personnel (indicated by the TIN edited in green ink and may contain a green stamp)

    5. Taxpayer correspondence with address corrections showing a new address

    6. Miscellaneous tax forms and/or correspondence received in other functional areas (example Automated Collection System (ACS)) due to the filing of Form 9465, 433-F, etc., as set out in Rev Proc. 2010-16

    7. CP 54 responses with an address change/correction included in the taxpayer response

      Caution:

      The new taxpayer address must include their entire new address including street address, city, state and ZIP Code (for domestic) or the street address, Country and ZIP Code (for international returns).

      Reminder:

      If there is any question as to taxpayer intent to change the address of record, send a Form 8822 to the new address

  8. If the taxpayer fails to include their complete address information, research IDRS and input the taxpayer(s) entire address when possible. If there is an envelope attached containing the missing items, use this information to update the address.
    Additional research includes reviewing the incoming information such as an tax return, correspondence, etc., and/or using the USPS web page.

    Example:

    The taxpayer does not include a new ZIP Code with their City and State information.

    Example:

    The taxpayer, in error, does not include information such as Street, Avenue, Court, when they submit their updated address.

    Reminder:

    Only the first five digits of the ZIP Code should be entered. IDRS and FINALIST programs will automatically expand the ZIP Code to 12 digits.

    Exception:

    If an incomplete taxpayer-initiated written address change request is received on scraps of paper, post it notes, etc., issue the Letter 0104C and include a Form 8822. Destroy the taxpayer-supplied information as classified waste.

  9. If you are speaking directly to the taxpayer or their authorized representative, communicate the importance of updating their address information through the USPS.

Entering Duplicate Addresses for Unrelated Taxpayers

  1. If multiple address change requests are received from different "unrelated" taxpayers requesting the same address from the following sources:

    • Form 8822

    • taxpayer correspondence

    • notices

    Complete a Form 3210, Document Transmittal, and forward these cases to your local Integrity and Verification Operations (IVO).

    1. If IVO determines the address change is warranted, they will return the cases to the ECU within 10 days for processing.

    2. If IVO determines the address change is not warranted, they will retain the case.

      Note:

      No address change is required if IVO retains the case.

  2. An additional field was added to CC INCHG to use when a company files for different taxpayers using the same address.

    Example:

    H and R Block filing on behalf of twenty taxpayers using H and R Block's address for the taxpayer(s) address(es).

    Note:

    Care must be taken when entering multiple address changes using the DUP-ADDR-IND field to ensure you are establishing the taxpayer with the correct address.

  3. To complete multiple address changes, enter the first taxpayer and the address provided and transmit the screen.

  4. The address information from the first screen will be retained. When entering the address information for the next taxpayer, enter a "Y" in the DUP-ADDR-IND field to retain/keep the address information. This will display in the "REQUEST COMPLETED" screen.

    Note:

    When you enter the "Y" in the DUP-ADDR-IND field, the address information from the previous taxpayer is retained for the next taxpayer. The "In Care Of" information on the CONTINUATION-OF-PRIMARY-NAME is not retained from taxpayer to taxpayer.

  5. See Figure 3.13.5-3 for an example of a duplicate address.

    Figure 3.13.5-3

    This is an Image: 33759200.gif
     

    Please click here for the text description of the image.

Information Required to Complete Address Changes

  1. The ECU receives a variety of documents requesting taxpayer address changes other than from the receipt of a Form 8822, Address Change Request. Since the Entity function is NOT the only area that completes address changes, DO NOT accept address changes from areas (inside or outside of your campus) that are capable of completing address changes.

    Caution:

    FINALIST will first attempt to standardize the address with correct spellings and abbreviations. If the result is an address is not a recognized delivery location, FINALIST will not assign the ZIP+4 portion of the ZIP Code. Whether or not FINALIST can recognize the delivery location, the address will post to Masterfile. In the latter case, however, it will be coded as Undeliverable As Addressed (UAA). See IRM 3.13.5.43 for additional information.

  2. Complete research prior to making any address changes. If the taxpayer's Last Known Address (LKA) is pending or the address shown matches the address change request, do not complete the address change.

  3. Enter 8 in the Block Series field of CC INCHG to indicate the address change was completed in the ECU.

  4. Whenever an IMF address change is completed, the TE must include the following information in the REMARKSfield. The following table displays the minimum information required when completing an IMF address change:

    If... Then...
    a. Primary, Single or Head of Household taxpayer is requesting the address change enter a P to indicate primary taxpayer
    b. Secondary taxpayer is requesting the address change enter an S to indicate secondary taxpayer
    c. Both primary and secondary taxpayers are requesting the address change enter a B to indicate both taxpayers
    d. Power of Attorney (POA) or
    Title of Representative
    enter POA and provide first initial or first name and entire last name or the representative (CAF) number

    Example:

    POA-R. Goldsmith or POA-210012345R.

    e. Other third parties enter name and relationship to taxpayer

    Reminder:

    Enter the phone number, when available.

  5. Address Requirements for Non IRS Generated Notices:
    When a "written" address change is received, the following information is needed to input the address change:

    1. New address

    2. Old address (must match the current address on CC ENMOD or any of the three most recent addresses shown on CC FINDSD or FINDSI for the taxpayer requesting the address change).

      Exception:

      If it appears the taxpayer has moved multiple times in the current year, current filing year and two must recent filing year(s) and they report an address in the last three tax years, change their address.

    3. Taxpayer(s) full name(s)

    4. TIN(s)

    5. Taxpayers signature(s) or the signature of their authorized representative is required. See the Note in paragraph (6) for the exception to requiring taxpayer/representative signature(s).

  6. When IRS-generated notices/correspondex ((C) Letters) are received with taxpayer-supplied address changes, research the account. Complete the address change from the IRS-generated notice or C Letter.

    Note:

    Taxpayer signature(s) are NOT needed when the taxpayer uses IRS-generated correspondence/notices to inform of an address update.

Form 8822, IMF Change of Address Request

  1. When a taxpayer submits a Form 8822, they must provide the following items:

    1. New address

    2. Old address

    3. Taxpayer(s) full name(s)

    4. TIN(s)

      Note:

      If the TIN(s) is missing, research for TIN(s) prior to corresponding. If you determine the taxpayer(s) address matches the new address shown on Form 8822, no address change is required.

    5. Taxpayers signature(s) are required or the signature of an authorized representative on Form 56, Notice Concerning Fiduciary Relationship or Form 2848, Power of Attorney and Declaration of Representative or a "court certificate" giving signature authority.

      Note:

      Signatures and requests for address changes will be accepted according to the terms of Prima Facie Evidence. If Correspondence Imaging System (CIS) scanned versions of Form 8822 are received due to exception processing, accept the scanned version if it contains all the needed information for processing.
      If the image is incomplete, do not return the scanned Form 8822 to the taxpayer. Correspond for any missing information as needed.
      Prima Facie means "at first appearance; at first view, before investigation" . If there is no contradicting evidence to dispute the authority of the person, the signature must be accepted. This policy applies to signatures accompanied by titles such as owner, president, etc.

      Reminder:

      When a taxpayer has an existing Fiduciary, Power of Attorney (POA), etc., on their account, any correspondence needed should be addressed to this individual. If there is no fiduciary on the taxpayer account per CC CFINK, any correspondence needed should be addressed to the taxpayer.

      Note:

      The entire address must be entered when completing an address change or update.

    Exception:

    Two signatures are not required on the Form 8822 for a married filing joint account if one of the taxpayers is deceased

    Exception:

    Prior to returning the Form 8822 for one missing signature (when the taxpayer includes two names on Form 8822 but only one taxpayer signs), research to determine if there is a Combat Zone (CZ) indicator (-C freeze) on either account

    Reminder:

    Since the -C freeze indicator can stay on the account after the taxpayer is no longer in a combat zone, research using CC IMFOLE to determine the Combat indicator shown on Line 11.

    1. If the Combat indicator is "1" , then the taxpayer is STILL serving in a combat zone. Complete the address change request without requesting the signature of the taxpayer serving in a combat zone.

    2. If the Combat indicator is "2" , then the taxpayer is no longer a combat zone participant. Use the instructions in paragraph (5).

  2. When researching a taxpayer account and you determine their account has an "open" control base assigned to 1010200000, continue processing taxpayer’s request AND do not close the control base.

  3. If the ECU receives a Form 8822 and you determine the taxpayer is NOT established on Master File (per CCs INOLES/INOLET), do not complete the address change. See IRM 3.13.5.50.2 for additional information.

    Exception:

    If the taxpayer has an ITIN and they are not established on IMF, route or fax these type of address changes to the ITIN department.

    Note:

    The taxpayer's address will be established when they file a return.

  4. If a Form 8822 is received attached to an Entity case, complete the address change when correcting any other outstanding issues.

    Reminder:

    The entering of the entire taxpayer address is required on IDRS even if only a portion of the address is changing.
    Example: Taxpayers house number and street address are changing, but their city, state and ZIP Code remains the same.
    In this situation, the TE MUST enter the city, state and ZIP Code even if these items remain the same when using CC INCHG to complete an address change.

    Note:

    If you are entering the change with AMS or IAT, it generates the old address on the input screen, ensure all the information is correct before hitting enter.

  5. The taxpayer checks Box 2 indicating gift, estate, or generation-skipping transfer tax will be filed (Form 706, Form 709, etc.,) route the case to the Cincinnati or Ogden campus.

  6. Review the account using CCs INOLE ENMOD, FINDSD/FINDSI. Use the following to complete an address change when the taxpayer(s) provided all the required information on the Form 8822 (including Form 8822 received with a Form 56):

    If... And... Then...
    a. the address change has already been completed   see IRM 3.13.5.50.2 for additional information
    Enter the appropriate audit trail.
    b. the taxpayer's account DOES NOT contain an ID theft indicator their old address MATCHES CCs INOLE/ENMOD or any of the last three addresses shown on CC FINDSD (for domestic addresses), or;
    FINDSI (for international addresses)b. the taxpayer's account DOES NOT contain an ID theft indicator
    complete the address change request.
    c. the taxpayer's account DOES NOT contain an ID theft indicator their old address DOES NOT match CCs INOLE/ENMOD or any of the last three addresses shown on CC FINDSD or FINDSI correspond using a Letter 0104C and mail to the new address.
    Send the Letter 0104C to new address provided on the Form 8822.
    Use an asterisk in the Taxpayer Identification Number (TIN) within the Letter 0104C. This will prevent the generation of a TIN in this field.
    Return the Form 8822 submitted by the taxpayer(s).
    Do not make an address change at this time.
    d. the taxpayer's account CONTAINS an ID theft indicator their old address MATCHES the address on CCs INOLE/ENMOD or any of the last three addresses shown on CC FINDSD or FINDSI complete the address change request.
    e. the taxpayer's account CONTAINS an ID theft indicator their old address DOES NOT match CCs INOLE/ENMOD or any of the last three addresses shown on CC FINDSD or FINDSI correspond using a Letter 0104C.
    Send the Letter 0104C to new address provided on the Form 8822.
    Use an asterisk in the Taxpayer Identification Number (TIN) within the Letter 0104C. This will prevent the generation of a TIN in this field.
    Return the Form 8822 submitted by the taxpayer(s).
  7. If the taxpayer(s) have provided all the required items to complete an address change, after completion of the address change, see IRM 3.13.5.50.2 additional information.

  8. If the taxpayer provided all the required information listed in paragraph (1) except they did not sign the Form 8822 or it is not an original signature, use the following instructions:

    1. Return the Form 8822 to the taxpayer and use the new address provided by the taxpayer.

    2. Include a Notice 1390, You Forgot to Sign Your Form 8822, Change of Address.

    3. Include an envelope with your ECU information for the taxpayer's reply.

    Exception:

    If the address request/fax request was received from another area of the IRS and forwarded to the ECU, the old address and original signature are not required if a fax signature is shown. No taxpayer correspondence is required.

  9. If both taxpayers sign the Form 8822 and research determines the taxpayers have not filed Married Filing Jointly (FSC 2) previously, update both taxpayer's accounts.

  10. If the taxpayer did not provide all the required information listed in paragraph (1), use a Letter 0104C, Address Change Acknowledged.

    Exception:

    If the written correspondence is received from the ITIN Unit, return the written correspondence to the taxpayer when you send out the Letter 0104C to the ITIN taxpayer.

    1. Indicate the missing items by selecting the appropriate paragraphs.

    2. If the taxpayer requested the address change using a Form 8822, return the Form 8822 to the taxpayer using the new address provided by the taxpayer.

    3. Include an envelope with your ECU information for the taxpayer's reply.

  11. All completed address changes require the TE to enter the requestor's name, title and/or phone number (if present) in the REMARKS field. See IRM 3.13.5.49 for the required comments.

  12. If the Form 8822 was completed by an ITIN taxpayer or was received from the ITIN unit, research and complete the address change if necessary. Return the Form 8822 to the ITIN unit for the following conditions (whether an address change was completed or wasn't completed):

    1. ITIN is in assigned status and TP asks for a notice to be reissued

    2. ITIN is in suspended status

    3. or ITIN is in Office of Foreign Asset Control (OFAC) status

    Note:

    Indicate Form 8822 with the applicable notations "address changed" , "new address already on IDRS" or "incomplete F8822/no address change."

  13. Correcting obvious taxpayer name errors such as misspellings, transposition errors, etc., must be made when name line errors are reported by the taxpayer or discovered when researching taxpayer accounts. These name corrections provide quality service to the taxpayer.

    Note:

    Do not make name changes to the taxpayer's Entity due to a Form 8822. Take these documents to your Lead to be re-batched as correspondence.


    See IRM 3.13.5.29 and IRM 3.13.5.29.1 for specific instructions on completing address change requests from phone contact.

Processing Form 8822 (References Social Security Statement Address Request)

  1. If the ECU receives a Form 8822 requesting an address change and it communicates the address change is needed for their Social Security Statement, research their account. If the taxpayer has an active account, complete the address change.

  2. If you determine the taxpayer's account is inactive, do not establish an account to complete the address change. In the inactive accounts, correspond to the requestor using a Letter 0104C and direct the taxpayer to the Social Security Administration (SSA).

    Note:

    Do not include a Form 8822 with the Letter 0104C.

Disposition of Form 8822, IMF Change of Address Request

  1. Beginning October 2017, Forms 8822 and 8822-B that have been processed will no longer be destroyed as classified waste in the control team. These documents have a defined retention period and will be stored in the Files Operation in an Alpha File.

    1. Each form must be name controlled, by underlining the first four alpha characters of their name control. Leave an audit trail in the lower left margin of the document.

    2. Entity Clerical Team will forward all processed forms to Files Operation on a Form 3210 indicating Alpha File.

  2. If upon research of the taxpayer’s address you determine the Last Known Address (LKA) is already updated or the new address is pending, destroy the Form 8822 as classified waste. Do not forward these Forms 8822 or 8822-B to the Files operation.

Written Address Change Requests/Form 8822 for Taxpayers Filing (MFJ)

  1. Ensure both taxpayers (FSC 2) sign the address change request or Form 8822 before completing an address change (unless one of the taxpayer indicates they are establishing a separate residence). See Figure 3.13.5–4 for an Form 8822 example where BOTH taxpayers requested an address change and both signed the form.

    Figure 3.13.5-4

    This is an Image: 33759010.gif
     

    Please click here for the text description of the image.

  2. If the primary/secondary taxpayer requests a different address, complete an address change for their account as follows:

    If... Then....
    1. Primary taxpayer only is requesting an address change Do not change their FSC
    Use the FSC currently on the account
    Ensure you check the primary address change only box.

    Note:

    Do not change the secondary taxpayer's address.

    2. Secondary taxpayer requests a change of address (due to the establishment of a separate residence) Establish the secondary taxpayer's account using the new address
    Do not change the secondary taxpayer's filing status.

    Note:

    See IRM 3.13.5.49 for additional information on adding remarks when complete address changes.

  3. To complete an address change for the PRIMARY taxpayer only:

    1. When using IDRS, enter the complete address and input a 1 in the PRIM-ADDR-CHG-INDICATOR field on Line 8 of the CC INCHG screen.

    2. When using IAT or AMS, update the address as necessary and "click" the Primary-Address-Change Indicator box.

      Note:

      The Secondary taxpayer's LKA (address of record) will remain unchanged when the Primary Address Change Indicator is used.

    3. When using AMS or IAT, the user must remove the old address information if the new address does not overlay the entire address.

      Example:

      Old address: 1412 Old Cardinal Terrace Way
      New Address: 123 Main St
      In this example, the remaining old address must be highlighted and deleted to prevent erroneous address information from remaining on the account.

Form 8822-B, Change of Address or Responsible Party-Business

  1. If a Form 8822-B, Change of Address or Responsible Party- Business or Form 8822 (from a business filer) is received in an IMF campus requesting a BMF address change, the address update must be completed in the IMF campus. See IRM 3.13.2,BMF Account Numbers, for additional guidance. See paragraph (2) for an exception to this requirement.

    1. If the taxpayer is also requesting BMF Name Change or change of responsible party change and you are unsure how to complete the action, route to the BMF Entity Unit or contact them at following numbers:
      (855-305-4957 for the Ogden campus), or;
      (859-669-5674 for the Cincinnati campus).
      The BMF ECU will provide the appropriate fax number.

      Note:

      Complete the BMF address change requested prior to contacting the BMF campus.

  2. If the IMF Entity receives an address change for a taxpayer bearing a Large Corporation Indicator (LCI) on their account, this must be routed to the Large Corporation/Technical Team in the respective sites.

    1. The REMARKS "LCI Address Change" must be entered on the routing slip.

    2. See IDRS Command Code Job Aids for CCs ENMOD, BMFOL'E' and SUMRY for assistance in identifying an LCI.

    Note:

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

  3. All transactions containing an address change require the TE to enter the requestor's name, title (if available), and phone number (if present) in theREMARKSfield when using IAT address tool, AMS or IDRS.

  4. Form 8822-B is filed by BMF taxpayers to furnish written notification of a change of address to the Service.

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

    2. Before updating an address, the EIN entered on Form 8822-B will be verified.

    3. Use the table below to process a Form 8822-B for business filers.

    If... And... Then...
    a. Form 8822-B clearly indicates a primary name change Formerly Known As (FKA), previous name, etc., Form 8822-B is signed, Change the name
    b. Form 8822-B clearly indicates a primary name change Formerly Known As (FKA), previous name, etc. Form 8822-B does not have an authorized signature, Correspond for verification with a Letter 252C.
    c. Unable to determine if the taxpayer is changing their name,   Do not update the taxpayer’s name.
    Send the Letter 252C asking the taxpayer to verify the name change.
    d. Mailing and location addresses provided by the taxpayer are the same   Enter the information within the mailing address field ONLY.
    e. Any required information is missing, IDRS research does not provide the missing information, Return Form 8822-B to the taxpayer in a Letter 0104C (or 6800sce used in BMF campuses).
    Ask the taxpayer to complete Form 8822-B and return to us.
    f. The taxpayer is affected by a Presidentially Declared Disaster Area,   Change the address(es) via phone call or any other way the taxpayer informs us to change the address.
    g. EIN on Form 8822-B is not on the Master File, IDRS research shows the EIN was assigned to the taxpayer on Form 8822-B, Input TC 000 with no FRC’s.
    h. EIN on Form 8822-B is not on the Master File, IDRS research shows no record of the EIN being assigned, Send the taxpayer an 0104C asking for a copy of the notice assigning the EIN. When received, TC 000 the EIN with no FRC’s.
    i. Part I, Box 2 is checked,   Take no action.
    Fax the Form 8822-B to EP Entity at (855) 214-7520.
    j. Taxpayer has an EO sub-module on IDRS   Take no action.
    Fax the Form 8822-B to EO Entity at (855) 214-7520.
    k. If a domestic business filer provides a PO Box, Current mail address is a physical location address and the location address field is not filled Always enter the PO Box in the MAIL-STREET-OR-FOREIGN-CITY/ZIP fields and enter the physical location in the LOCATION-STREET-ADDRESS field.

    Exception:

    An Estate is the only type of entity that can have a PO Box as a location address. Move the existing address into the LOCATION-STREET-ADDRESS field and Location-City/State/ZIP field in these instances.

    l. If an international business filer provides a PO Box,   Always enter the PO Box in the Foreign -Street fields. See IRM 2.4.9Command Codes ENREQ, INCHG, IRCHG, BNCHG and BRCHG, for additional information.
  5. If the identifying number (SSN/ITIN/EIN) of the entity responsible party is not available, a "9" will be entered in the XREF-TIN-TYPE field of CC ESIGN.

  6. See IRM 3.13.2, BMF Account Numbers. Specific information is shown in Figure 3.13.2-26.

    Note:

    When updating the address on an SSN definer V or definer W, the MFT field of CC BNCHG must be completed.
    If the change is for a Form 709 account, the field NM-YR/QTR> must also be completed.
    If the change is for a Form 706 account, the field DT-OF-DEATH> must also be completed.

    Caution:

    If the taxpayer is requesting an address change for a Form 706 or Form 709 and you cannot locate any filing requirements, do not establish the taxpayer based on the submission of a Form 8822 alone. Destroy the Form 8822 as classified waste.

  7. See IRM 3.13.5.50.2 for additional information. Enter the appropriate audit code.

Temporary Address Change Requests

  1. Do not complete a temporary address change request. The IRS must retain the permanent address as the Last Known Address (LKA) whenever possible.

  2. Correspond with the taxpayer to inform them their temporary address change will not be completed. Use the fill-in paragraph using the Letter 0104C.

  3. Use the following language for the fill in paragraph. "We received your request for an address change but didn't process it because you indicated this is a temporary address change. Please submit a Form 8822 when you require a permanent address change." See IRM 3.13.5.50.2 for additional information for additional information on disposition of the Form 8822. . Enter the appropriate audit trail.

Postal Service Form 3575 and Form 3576 Address Changes

  1. If a Postal Service (PS) Form 3575, Form 3576 or USPS Post Card is received, complete using the following procedures:

    If Postal Service (PS) Form 3575, Form 3576 or USPS Post Card is received... And... Then...
    a. with a letter/note attached taxpayer provides all the necessary items to complete the address change update the taxpayer's address

    Note:

    If the address is already updated, no further action is required.
    Destroy as classified waste.

    b. with a letter/note attached letter/note is incomplete and the address provided does not show on IDRS correspond with the taxpayer using the new address
    include a Form 8822
    c. without any attached documentation (solo USPS Form/Card) address provided does not show on IDRS correspond with the taxpayer using the new address
    include a Form 8822
    d. without any attached documentation (solo USPS Form/Card) information provided does not have enough information to correspond destroy as classified waste.
    No further taxpayer contact is necessary.

Address Changes Due to Remittance Processing

  1. Receipt and Control/Manual Deposit/Payment Perfection/Cashiers may forward remittance documents requiring address changes to the ECU after completing their remittance processing.

  2. Use the following instructions below for receiving and correcting these cases.

    Caution:

    If a live check is located, return the check to Deposit using the Discovered Remittance Procedures. See IRM 3.8.46.1., Discovered Remittances.

  3. Research the account using CC IMFOLI, CC IMFOLT or CC ENMOD to determine if there are any S-, Z-, or -Z freezes on the taxpayers account prior to updating their address.

    1. If there is an S- freeze, do not complete address change. Route the case to the Refund Inquiry Unit.

    2. If there is a Z- or a -Z freeze, do not complete address change. Route the case to the Fraud Detection Center.

  4. If you receive documents with a green TE stamp or a red Lock Box stamp and they do not have DLNs and/or are not attached to Form 1332, complete the address change (when possible). After completion of address change, destroy as classified waste.

  5. Some of the required information may not be available due to the separation of the taxpayer checks, money orders, etc., from taxpayer voucher(s), incoming Form(s), miscellaneous schedule(s), and taxpayer correspondence.

    1. When the information is legible and you can locate their account, complete the address requests.

    2. If you cannot locate the taxpayer's account, correspond using a Letter 0104C to request the appropriate missing information. Use any legible address.

    3. Use an asterisk in the TIN area of the letter to mask the taxpayer's TIN (if the TIN is available).

Inputting Domestic Address Changes

  1. A TC 014 generates with Doc Code 63 when a domestic change of address is completed and no information is entered in the Continuation-of-Primary-Name (Line 2) field.

    Note:

    The IAT address tool should not be used when changing a foreign address to a domestic address.

    Exception:

    FINALIST will first attempt to standardize the address with correct spellings and abbreviations. If the address is not a recognized delivery location, FINALIST will not assign the ZIP+4 portion of the ZIP Code. Whether or not FINALIST can recognize the delivery location, the address will be posted to the Masterfile. In the latter case, however, it will be coded as Undeliverable As Addressed (UAA). See IRM 3.13.5.43 for additional information.

  2. If the taxpayer provides a physical address and a PO Box, enter the physical address in the Continuation-of-Primary-Name (Line 2) field and the PO Box in the MAIL-STREET-OR-FOREIGN CITY/ZIP field. This will cause a TC 013 to generate.

  3. The instructions and the information in Figure 5 below depicts an example of an address change:

    1. Enter complete address.

    2. In an effort to document who is requesting an address change, the Tax Examiner (TE) must enter the whether the address change was submitted by the primary, secondary or both taxpayer(s) or by an authorized third party. Information such as which taxpayer made the request, the name of the third party, the authorized third party's title (if present), and phone number (if present) in the REMARKS fields when using IAT address tool, AMS or IDRS. See IRM 3.13.5.49 for additional information on inputting comments.

  4. Whenever information is entered in the IMF Continuation-of-Primary-Name, the following fields must also be entered:

    1. Name Control

    2. Primary name line as shown

    3. *YEAR-NM-LINE

    4. **FSC

    5. See IRM 3.13.5.49 for the information to place in the REMARKS field of the transaction whether using IAT, AMS or IDRS.


    Whenever information is entered in the Continuation-of-Primary-Name, a TC 013 will generate instead of a TC 014.

    Reminder:

    *Use the taxpayer(s) current filing status code unless you are establishing an IRSN. If you are establishing an IRSN, the FS from the return.
    **When entering an address change and the tax year information is required, use current tax period unless the address change is for a prior year return.

    See Figure 3.13.5-5.

    Figure 3.13.5-5

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  5. Do not enter a blank space between the mail or location street address.

    Example:

    Taxpayer address is 1234 B North Street. Enter the address as 1234B North St.

  6. If a taxpayer address contains two directions within the address, abbreviate the direction of the street but enter the name of the street. See the following examples:

    Examples Enter As

    3908 North South Street
    Toledo, OH 12345
    3908 N South St
    Toledo, OH 12345
    14329 East West Drive, North West
    Washington, DC 54321
    14329 E West Dr NW
    Washington, DC 54321
  7. If the taxpayer address contains a number along with a highway, always enter HWY before the number. For example, 40 Highway must be entered HWY 40.

  8. When entering an address change containing "No" to indicate North, "No" to indicate a number, "Num" , or the "#" symbol, to indicate a number, DO NOT use this specific address information if it is a prefix for a house or apartment, a route, or a PO Box number.

    Note:

    If No, Num or # is used for a number, only enter the number. If No, North, or No. is used as a direction, enter "N" only.

    See the following table for examples:

    Examples Enter As
    859 Adams Avenue No 7 859 ADAMS AVE 7
    57 No 123 Ave 57 N 123RD AVE
    123 Third Street Number 5 123 THIRD ST 5
    123 Third Street #5 123 THIRD ST 5
  9. See Document 7475 for a list of acceptable address abbreviations. See Figure 3.13.5–6 for an example of a domestic address change.

    Figure 3.13.5-6

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Accounts Management Services (AMS) and Integrated Automation Technologies (IAT) Address Changes

  1. When using AMS or IAT, the user must remove the old address information prior to completing the address change if the input of the new address does not overlay the old address.

    Example:

    Old address: 1412 Old Cardinal Terrace Way
    New Address: 123 Main St
    In this example, the remaining old address must be highlighted and then deleted to prevent erroneous taxpayer addresses.

  2. See IRM 3.13.5.44, for additional information on AMS DLNs.

Misspelled or Typographical Errors Made on Taxpayer Addresses

  1. Address changes/corrections must be completed when obvious taxpayer address errors are discovered or are reported by the taxpayer. These address updates provide "quality service to the taxpayer" .

  2. An example of a taxpayer-reported typographical error would be if the taxpayer writes an address correction on their CP 54 notice, the TE should correct the address change as requested.

    Example:

    14328 Wren Dr is displayed on CP Notice, but the taxpayer writes an address correction to, 14329 Wren Dr.

  3. Allowable address corrections include but are not limited to the following examples:

    • Street address is listed twice

    • Apartment number is missing

    • Misspelling or typographical error in the entity section

    • Taxpayer fails to write out or include their entire address
      .

    • Address information such as Street, Court, Avenue, etc., is missing

    • Address contains the correct street name but the actual house number is incorrect (transposition error).

      Example:

      The taxpayer's address displays as 3652 Barnstable Ct,
      but the taxpayer's correct address is 3562 Barnstable Ct.

  4. Enter the entire address when updating, correcting, or editing the taxpayer address information.

    Exception:

    If the taxpayer unintentionally leaves out address information with their address change request and the new LKA is already established, do not complete the requested address change.

    Note:

    If correcting the taxpayer's ZIP Code ONLY, all the taxpayer address information must be entered in the "MAIL-STREET-OR-FOREIGN CITY/ZIP" and the "MAIL-CITY/STATE/ZIP-OR-FOREIGN-COUNTRY" fields when using CCs INCHG/IRCHG.

Entering "In Care of" Address Information

  1. When entering a change of address for the IMF "In Care Of" taxpayer, ensure the additional information is entered on the CONTINUATION-OF-PRIMARY-NAME line. If adequate space remains on the CONTINUATION-OF-PRIMARY-NAME line, include the designated titles. See IRM 3.13.5.31 for acceptable titles and their respective abbreviations when inputting information on the CONTINUATION-OF-PRIMARY-NAME line.

  2. When information is added or removed from the CONTINUATION-OF-PRIMARY-NAME line, the account correction will post as a TC 013.

Entering Private Mail Boxes (PMBs) Information

  1. Always include PMB with the street address. PMB must be entered at the end of the address regardless of where it is shown on the address change request. The PMB is entered in the "MAIL-STREET-OR-FOREIGN CITY/ZIP" field of CC INCHG. See the following examples:

    Examples Enter As
    102 S. 3rd Drive Private Mailbox 33 102 S 3rd Dr PMB 33
    Private Mailbox 3
    102 S. 38th Street
    102 S 38th St PMB 3
    PMB 29
    111 Anytown Rd
    111 Anytown Rd PMB 29

    Reminder:

    The taxpayer address is the Mailbox company, not the individual taxpayer.

    Note:

    The "#" sign, if included on the address change request, should not be t entered.

Domestic, Air/Army Post Office (APO), Diplomatic Post Office (DPO), Fleet Post Office (FPO), U.S. Territories/Possessions and Compact of Free Association (CFA) Treaty Mail

  1. There are four types of mailing addresses treated as domestic:

    1. The 50 states and the District of Columbia

    2. U.S. Territories and Possessions

    3. APO, DPO and FPO mail

    4. Three small island nations whose mail is handled by USPS under the CFA Treaty.

  2. All domestic mail follow the same format for USPS delivery:

    1. Name line

    2. Street address

    3. City name/U.S. Possession Code or State Code

    4. ZIP code

    Reminder:

    Only the first five digits of the ZIP Code should be entered. IDRS and the FINALIST program automatically expand the ZIP Code to 12 digits.

  3. When inputting/correcting APO, DPO and FPO addresses, use the following guidelines. The following shows examples of APO/FPO and Armed Forces information:
    PVT Cassidy Daisy
    Company F, PSC Box 100
    176 Infantry Regt.
    APO AE 09801

    Chelsea Rose, PCC(SW), USN
    USS Oak
    FPO AP 96667

    Note:

    Always enter APO, DPO and FPO in the taxpayer address in place for the city and state when applicable.

  4. The USPS assigns all of the "state" codes and ZIP code ranges to facilitate delivery. See Document 7475, State and Address Abbreviations, Major City Codes (MCCs), ZIP Codes and Countries for additional information. The other “state” codes/possession codes used for domestic addresses are as follows:

    Destination "State" /Possession Codes ZIP Codes
    Armed Forces Americas (except Canada) AA 340nn
    Armed Forces Europe, Middle East, Canada & Africa AE 090nn-098nn
    Armed Forces Pacific AP 962nn-966nn
    American Samoa AS 96799
    Washington DC 200nn, 202nn-205nn
    Federated States of Micronesia FM 969nn
    Guam GU 96910–96931
    Marshall Islands MH 969nn
    Northern Mariana Islands MP 96950–96952
    Palau Islands PW 96940–96943
    Puerto Rico PR 006nn, 007nn, 009nn
    Virgin Islands VI 008nn

    Reminder:

    U.S. Possession addresses must be entered with the valid two-character possession abbreviation and the appropriate ZIP Code and must not be entered as an international address.

International Addresses (Foreign Addresses)

  1. A TC 013 generates when a foreign change of address is entered because information is added to all four lines of CC INCHG, IAT and AMS.

  2. IMF Foreign addresses may include the following:

    1. Name line information

    2. Street Address

    3. Foreign Province

    4. Foreign Mail Routing Code and/or Foreign Postal Code

    5. Foreign Country Name

  3. Due to address space limitations, it may be necessary to abbreviate portions of foreign address information see International IMF Foreign Address Job Aid. for additional information.

  4. For further instructions on completing foreign address changes, see IRM 3.21.3, Individual Income Tax Returns.

  5. The information below depict how to input an IMF International address through IDRS:

    • Primary Name enter Francis St Jacques

    • CONTINUATION-OF-PRIMARY-NAME enter 680 Mountain St

    • Mail-Street-Or-Foreign City/ZIP enter Toronto Ontario K2N5A1

    • Mail-City/State/ZIP-Or-Foreign-Country enter Canada,

    1. Street address must contain the city, providence or country, directions such as, NW, S, etc., and foreign postal code (as applicable).

    2. The MAIL-CITY/STATE/ZIP-OR-FOREIGN-COUNTRY field when used for foreign addresses must have a comma (,) and a period (.) entered after the foreign country.

    3. *Enter Filing Status Code.

    4. **Enter the tax year.

    5. Enter reason for change in REMARKS field.

    Completing this type of address change will generate/display as a TC 013, Name Change, instead of a TC 014, Address Change.

    Reminder:

    *Use the taxpayer(s) current filing status code unless the FSC is already edited on the document/return.
    **When entering an address change and the tax year information is required, use current tax period unless the address change is for a prior year return.

    See Figure 3.13.5-7a for an international address change. See Figure 3.13.5-7b for an example of a foreign address changed to a domestic address.

    Figure 3.13.5-7a

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    Figure 3.13.5-7b

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Researching Addresses Using United States Postal Service (USPS) Web Page

  1. The USPS web page contains the most up to date information for address corrections and completing editorial address change.

  2. The USPS web page has information on foreign and territorial countries in addition to domestic address information.

Campus Address Used Only When Taxpayer Address is Unavailable

  1. Research must be completed prior to using the campus address instead of a mailing address. The use of a campus address will cause an undeliverable mailing address if notices and/or other taxpayer correspondence is required. Research using CCs TRDBV, FINDS/FINDE, NAMES/NAMEE, NAMEI/NAMEB, ENMOD and INOLE, etc.
    If a campus address is used, IMF suppresses all tax return packages and refunds. However, notices continue printing/generating to taxpayers.

    Caution:

    Do not use the campus address unless no other address is located or some type of identity theft issues are involved with the taxpayer’s account.

  2. The following unique campus addresses and ZIP Codes must be used when the taxpayer has not provided an address AND/OR you cannot locate an address:

    Campus Addresses
    Taxpayer name(s)
    I.R.S.
    ANDOVER, MA 05501
    Taxpayer name(s)
    I.R.S.
    ATLANTA, GA 39901
    Taxpayer name(s)
    I.R.S.
    AUSTIN, TX 73301
    Taxpayer name(s)
    I.R.S.
    HOLTSVILLE, NY 00501
    Taxpayer name(s)
    I.R.S.
    PHILADELPHIA, PA 19255
    Taxpayer name(s)
    I.R.S.
    MEMPHIS, TN 37501
    Taxpayer name(s)
    I.R.S.
    FRESNO, CA 93888
    Taxpayer name(s)
    I.R.S.
    CINCINNATI, OH 45999
    Taxpayer name(s)
    I.R.S.
    OGDEN, UT 84201
    Taxpayer name(s)
    I.R.S.
    KANSAS CITY, MO 64999

    Caution:

    No street address should be entered.
    Enter IRS beside the MAIL-STREET-OR-FOREIGN-CITY/ZIP> field of CC INCHG/CC IRCHG.
    Enter the appropriate campus city, state and ZIP Code beside the MAIL-CITY/STATE/ZIP-OR-FOREIGN-COUNTRY> field of CC INCHG/CC IRCHG.

Processing Undeliverable CP Notices/Correspondence/Correspondex Letters

  1. All Submission Processing Campus (SPC) undeliverable correspondence must be researched within 14 days for a more recent address/correct address.

  2. Do not update a taxpayer's Last Known Address.

  3. If the undeliverable taxpayer's first name is IVO and contains their valid surname and name control and the taxpayer's address is the Austin campus, no further research is required, destroy as classified waste.

  4. Research IMF for a more complete and recent address using IDRS Command Codes and ITIN Real Time System (RTS) using the taxpayer's TIN and/or the secondary's TIN(if available). If needed, see IRM 3.13.5.63 for valid United States Postal Service (USPS) address information.

  5. If the account is an invalid account and research locates a taxpayer with the same name but their account is under a different SSN, do not mail the undeliverable to the new address. Use Accounts Management Services (AMS) and enter "Did not forward Undeliverable to prevent PII" in the "History" screen. For consistency use the issue topic within the "Entity Category" and use the "Other Entity Issue" portion to enter the History narrative listed.

  6. When researching for an address and the taxpayer's account is on the valid side, ensure you are sending the correspondence to the correct taxpayer.

    Example:

    When you are researching a TIN for Allison Wren and you locate Marie Cardinal under Allison Wren's TIN, do not send the correspondence. You must research using CC NAMES/NAMEI.

  7. If the valid account on CC INOLES displays a more recent address than the notice/correspondex or correspondence cycle, use the CC INOLES address to mail the undeliverable correspondence.

    Note:

    When mailing correspondence back to the taxpayer, leave the correspondence intact including undeliverable envelope.

  8. If the valid account on CC INOLES DOES NOT display a more recent address than the correspondence, do not send the correspondence back to the taxpayer. Destroy as classified waste.

  9. If undeliverable correspondence is received with an USPS "yellow label address sticker" , you will need to determine if a later address update is posted by using IDRS and the following information:

    • date of the notice

    • postmark date on the envelope

    • pending address date

    • date of e-file return or TC 152 date

    • LKA update

    If... Then...
    a. A newer or more complete address is located Do not update the address on IDRS.
    a. Notate the new address on the Correspondence
    b. Re-send the correspondence; or Return the undeliverable correspondence to the originating area.
    b. A newer or more complete address is NOT located Do not update the address on IDRS.
    1. Destroy as classified waste; or
    2. Notate there is no better address found and return the correspondence to the originating area.

Processing Undeliverable Mail Procedures

  1. Undeliverable mail is any letter, notice or other correspondence sent to an individual taxpayer returned to the IRS indicating the individual is no longer located at the address. If needed, see IRM 3.13.5.63 for valid United States Postal Service (USPS) address information.

    Exception:

    If the undeliverable taxpayer's first name is IVO and contains their valid surname and name control and the taxpayer's address is the Austin campus, no further research is required. Destroy as classified waste.

    See IRM 25.25.2.13, Identity Theft Scheme Criteria, for additional research.

  2. If the ECU receives mail with the unique campus address and it originated from a NON-Submission processing area (for example, Examination, Collection, etc.,), return the undeliverable mail to Receipt and Control and request they forward the mail to the correct area. See IRM 3.13.5.64 for the unique campus addresses if needed.

  3. If unsigned and/or undeliverable returns are misrouted, they should be returned to Receipt and Control for proper disposition.

  4. When a person completes a United States Postal Service (USPS) "Change of Address Form, (PS Form 3575)" , the post office displays a USPS "yellow address change sticker" .

  5. The Receipt and Control function will forward ONLY undeliverable Submission Processing mail to the ECU.

    Note:

    Any USPS yellow label sticker undeliverable mail received with handwritten address information or comments, MUST BE considered "THIRD PARTY" information and may not be used to update the address.

    See paragraph (6) for the "THIRD PARTY" exceptions.

  6. If the following is written or stamped on the undeliverable mail envelope, research is mandatory for a more current address:

    • Forward Time Expired, Return to Sender

    • Undeliverable

    • Bad Address

    • No such street

    • No such number

Unsigned, Undelivered Form 1040 Return(s)

  1. When a return is sent back to a taxpayer for a signature and is returned to us undeliverable or unsigned, the return will be forwarded to the ECU for address research.

    Note:

    If there is no indication the mail was sent out, return the "unmailed" correspondence to the originator.

  2. Review the actual return in the "sign here area" under the jurat for a signature.

    1. If the signature is present, return the "signed" return to appropriate area.

    2. If the signature is missing, use the instructions as shown below.

    See IRM 3.11.3.14.10, Individual Income Tax Returns, for additional information on taxpayer signatures.

  3. Research the taxpayer's account.

    If... Then...
    a. the return meets the Identity Theft Criteria criteria/guidance and there is not an "IVO" stamp in the upper left corner of the return Route to IVO.
    If IVO returns the case with an "IVO" stamp, continue processing.

    Note:

    Cases meeting Identity Theft Criteria guidelines will be worked by IVO.

    b. a return for the same tax period is in Error Resolution System (ERS) (as shown on CC ERINV), Forward the case(s) to Rejects using a Form 4227, Intra-SC Reject or Routing Slip, with the comments, "Unsigned Rtn, possible duplicate"
    c. a return for the same tax period is an unpostable condition (as shown on CC TXMOD) Forward to Unpostables using a Form 4227 with the comments, "Unsigned Rtn, possible duplicate"
    d. the return (as shown on CC IMFOL) displays "SUBST4" ) for W & I Business Operating Division (BOD), mail, return to Compliance Services Collection Operation (CSCO) to either Austin at Stop 5501 or Fresno at Stop 81208.
    for SBSE BOD mail, return to Automated Substitute for Return (ASFR) to Brookhaven at Stop 654.
    e. the return (as shown on CC TXMOD) displays "SFR" after the TC 150 for .00) and contains a DLN Julian date of 887 or the top the return shows "ASFR" for W & I Business Operating Division (BOD), mail, return to Compliance Services Collection Operation (CSCO) to either Austin at Stop 5501 or Fresno at Stop 81208.
    for SBSE BOD mail, return to Automated Substitute for Return (ASFR) to Brookhaven at Stop 654.
    f. the return (as shown on CC TXMOD) displays "SFR" after the TC 150 for .00 and contains a DLN Julian date of 888 or CC TXMOD displays an "-L" freeze with a Julian date of 887 or 888. Route to the Campus Examination function indicated by the TC 420 DLN.

    Note:

    If needed, refer to the Exam Contact List under the Who/Where Tab on SERP Home Page. SERP Home Page

  4. If account is not established, (as shown by CC INOLEX), using AMS enter "No Account on IMF and No Address located for Unsigned Rtn. Unsigned Doc located in Alpha file" in the "History" screen.

    Reminder:

    The History link is located within the Function area on the left side of the Account Summary screen display.
    You must create an issue in AMS for each taxpayer account.
    For consistency use the issue topic within the "Entity Category" and use the "Other Entity Issue" portion enter the History narrative listed above.

  5. If the taxpayer's account was closed (as shown by MFR 08) and the taxpayer's account does not contain a DOD, see IRM 3.13.5.120 for instructions on re-opening a taxpayer account. Route to Files to be filed by alpha. In remarks enter Unsigned Doc located in Alpha file.

    Reminder:

    The Estate of a deceased taxpayer can file an individual tax return for the year the taxpayer died. If a tax return is needed for a tax return after the year of death, a Form 1041 must be used, rather than a Form 1040.

  6. If the taxpayer's account was closed (as shown by MFR 08) and the taxpayer's account does contain a DOD, do not re-open the account unless a non-Entity transaction is required. If you must open the account, ensure you monitor the transaction and re-close the account after the non-Entity transaction posts.

    1. Enter "SD Account inactive, Unsigned Doc located in Alpha file" in the "History" screen within the Account Summary screen using the AMS system.

      Reminder:

      The History link is located within the Function area on the left side of the Account Summary screen display.
      You must create an issue in AMS for each taxpayer account. For consistency use the issue topic within the "Entity Category" and use the "Other Entity Issue" portion enter the History narrative listed above.

    2. Route the document(s) to Files using a Form 3210, Document Transmittal. In the remarks section of Form 3210 include the name(s) and TIN(s) of taxpayer(s) and include "File and maintain in the Alpha Files" .

  7. Use the following instructions if there is a pending or posted TC 150::

    If... Then...
    a. the return is signed follow your local procedures to route the return to the 1040X unit
    b. the return is NOT signed attach Form 9856, attachment alert and forward the case to Files to be associated with the posted return.

    Exception:

    If the return was e-filed, send the return to Files using a Form 3210. Request filing in alpha file.

  8. Research IDRS/IAT and the attachments and use the following table for completing prior year returns with no TC 150:

    If... And... Then...
    a. prior year return more complete or current address is located use the instructions in paragraphs (9)a through 9(g)
    b. prior year return more complete or current address is NOT located a. Enter "SD No Address located for Unsigned Prior Yr Rtn. Unsigned Doc located in Alpha file" in the "History" screen within the Account Summary screen using the AMS system.

    Reminder:

    You must create a History Item in AMS for each taxpayer account. For consistency use the issue topic within the "Entity Category" and use the "Other Entity Issue" portion enter the History narrative listed above.


    b. Route the document(s) to Files using a Form 3210 , Document Transmittal.
    c. Include the name and TIN of the taxpayers and include the remarks "File and maintain in the Alpha Files" .

    Exception:

    If corresponding for a Form 1040-SS, use a Form 13557 (EN/SP).
    Check the box beside paragraph 1 and check the box beside paragraph 14 on the Form 13557(EN/SP).
    Use the same narrative to the taxpayer.

  9. Research IDRS/IAT and the attachments and use the following table for completing current year returns:

    If... Then...
    a. More complete or current address is located
    a. Check the box beside paragraph 28 on the Form 3531 or Form 9143, paragraph 37. Include the following comments "Please correct the address portion on page 1 of your tax return so we may update our records."

    Exception:

    If corresponding for a Form 1040-SS, use a Form 13557 (EN/SP).
    b. Check the box beside paragraph 14 on the Form 13557(EN/SP).
    c. Use the same narrative to the taxpayer as shown in a. above.


    d. Staple the Form 3531 or Form 9143 underneath the Entity on the "unsigned" tax return together.
    e. Forward these items to the appropriate area within your campus to be mailed out.
    f. Write the "different" address (located through IDRS research) on the new envelope and include a return envelope (addressed to the IRS campus) or per local procedures.
    g. Enter "SD Unsigned Rtn/Different Address located" in the "History" screen within the Account Summary screen using the AMS system.

    Caution:

    DO NOT change the taxpayer's Last Known Address (LKA) at this time.

    b. More complete or current address is NOT located. a. Use CCs REQ77/FRM77 and input a TC 930 (Push Code) on the taxpayer's account.
    b. Enter a 80 beside the DLN CODE> field on the 5th line of the CC FRM77 screen.

    Reminder:

    This will prevent the subsequent generation of a CP98.


    c. The ECU Unit number must be entered in the Employee Code Field on CC FRM77.

    Reminder:

    Do not input the first two digits of the Entity Control Unit employee number.

    Note:

    This field is considered invalid if all zeroes are entered in this field.
    d. Input the comment "SD Unsigned Return" in the "History" screen within the Account Summary screen using the Accounts Management Services (AMS) system.

  10. The TC 930 "unsigned" document must be sent to Files.

    Note:

    If the TC 150 posts within 36 weeks after the Return Due Date (RDD), a CP 98 will generate in Files.
    Files will pull any "unsigned" document and return it and the CP 98 to the ECU.

  11. When the TC 930 "unsigned" document or a "loose" CP 98 is received in the ECU from Files, research is AGAIN required for a TC 150.

  12. If a TC 150 is a pending/posted address annotate "TC 150 Posted" in the left margin of the return and Input the comments "TC 150 pending, researched twice" or "TC 150 posted, researched twice" in the "History" screen within the Account Summary screen using the AMS system. Route the return back to the Files unit.

  13. If there is not a TC 150 pending/posted and a more recent address is not located, use the following procedures:

    1. Input the comment "SD Unsigned Rtn, researched twice" in the "History" screen within the Account Summary screen using the AMS system.

      Reminder:

      You must create an issue in AMS for each taxpayer account. For consistency use the issue topic within the "Entity Category" and use the "Other Entity Issue" portion to enter the History narrative.

    2. DO NOT input a TC 930 in these situations.

    3. Forward the "unsigned" return and the CP98 to Files using a Form 3210. Include the names and TINs of the taxpayer(s) and the remarks "File and maintain in the Alpha Files" .

  14. If there is no TC 150 pending/posted and a more recent address is located, use the following procedures:

    If... Then...
    More recent address is located a. Check the box beside paragraph 1 on the Form 3531, Request for Missing Information or Papers to Complete Return or Form 9143 Request for Missing Information or Papers to Complete Return (International Returns).
    b. Check the box beside paragraph 28 on the Form 3531 or Form 9143 Include the following comments: "Please correct the address portion on page 1 of your tax return so we may update our records."

    Exception:

    If corresponding for a Form 1040-SS , use a Form 13557 (EN/SP).
    Check the box beside paragraph 1 and check the box beside paragraph 14 on the Form 13557(EN/SP).
    Use the same narrative to the taxpayer.


    c. Line through the DLN
    d. Destroy the CP98 as classified waste.
    e. Staple the Form 3531 or Form 9143 underneath the Entity on the "unsigned" tax return together.
    f. Forward these items to the appropriate area within your campus to be mailed out. Include the "more current" address (located through IDRS research). Ensure the area designated to mail out the documentation in your campus includes a return envelope so the taxpayer can return the unsigned return, OR;
    the ECU will assume the mail out responsibility.
    Use the "more recent" address (located through IDRS research) when mailing out the information to the taxpayer.
    g. Enter comments "SD Unsigned Rtn/Different Address located/Second Attempt" in the "History" screen within the Account Summary screen using the AMS system.

    Reminder:

    The History link is located within the Function area on the left side of the Account Summary screen display.
    You must create an issue in AMS for each taxpayer account. For consistency use the issue topic within the "Entity Category" and use the "Other Entity Issue" portion to enter the History narrative listed in 14(f) above.

     

    Caution:

    DO NOT change the taxpayer's Last Known Address (LKA) at this time.

UPC 147 RC 4/CP 01H Processing/Reversals of Incorrect TC 971 AC 524

  1. Theft of deceased individuals’ personal information for the purposes of filing a fraudulent tax return results in a significant amount of lost tax revenue each year. Beginning 2011, Privacy, Information Protection, and Data Security (PIPDS) began locking deceased taxpayer accounts to protect this revenue.

    Note:

    PIPDS was renamed to Identity Protection, Strategy and Oversight (IPSO).

  2. When a TC 971 AC 524 displays on a taxpayer account, any paper filing on the account marked deceased will unpost and automatically generate a CP 01H.

  3. If a decedent case is identified, the account should contain one or more of the following:

    1. DECD in the name line

    2. Date of Death on CC INOLES

    3. TC 540 on CC TXMOD or CC IMFOLT for the year of death

    4. Mail File Requirements (MFR 08) on CC ENMOD

  4. Any taxpayer written responses received in the campus due to the CP 01H are routed to the ECU for research and/or corrections.

  5. If the impacted taxpayer’s account displayed an DOD, the CP 01H instructs the taxpayer to provide the following items to correct their account:

    • Complete tax return with an ORIGINAL SIGNATURE(S) and all accompanying forms and schedules

    • Written request to unlock the account*

    • A copy/original of at least one of the following:*
      Passport
      Driver’s License
      Social Security Card
      Other valid US Federal or State Government issued identification

    • Copy/original of the CP 01H.*

      Note:

      *Items with an asterisk are not necessary if the taxpayer's account shows no DOD present.
      Copies/Originals of the documents listed above are used to document the taxpayer's identity.

    Reminder:

    If taxpayer account does not have a DOD present and a TC 971 AC 524 is on their account, reverse the TC 971 AC 524 whether the taxpayer provides documentation to substantiate their identify.

  6. Research the account using CCs ENMOD and IMFOLE to determine if a TC 971 AC 524 and a Date of Death (DOD) are displayed on the account.

    Reminder:

    Ensure the information on the return and any documentation matches.

  7. Use the following to resolve the account:

    Reminder:

    If a taxpayer responds to a 12C letter for erroneous DOD situations and the taxpayer’s account DOES NOT display a DOD, use the following instructions.

    If.. And... Then...
    a. DOD isnot present TC 971 AC 524 is on the account Reverse the TC 971 AC 524
    (use TC 972 AC 524 to reverse).
    See IRM 25.23.2.19.4 if additional information is needed.

    Reminder:

    Without the presence of a DOD on the taxpayer's, the TC 971 AC 524 must be removed (with or without taxpayer-provided documentation).

    b. DOD isnot present TC 971 AC 524 is NOT on the account No correction is needed.
    If... And... Then...
    1. DOD is present TC 971 AC 524 is on the correct tax period of the DOD.

    Example:

    Taxpayer’s DOD is 01/01/2016 as shown on CC ENMOD. Review CC IMFOLT (for tax period 2016) to determine if the last unreversed TC 971 AC 524 for tax period 2016 is posted in the correct tax period.

    No further action is needed.

    Note:

    UPC condition was auto closed, UPC will remain as history on the account.

    Exception:

    If contacted by TAS or Identity Theft Victim Assistance (IDTVA) and a final return needs to be filed, reverse the TC 971 AC 524.
    Enter comments such as per TAS or ‘per IDTVA.
    Monitor the return to ensure the return posts to the account.

    2. DOD is present TC 971 AC 524 is on the incorrect tax period

    Example:

    Taxpayer's DOD is 01/01/2016 as shown on CC ENMOD. Review CC IMFOLT (for tax period 2016) for the last unreversed TC 971 AC 524. If is determined the last unreversed TC 971 AC 524 posted in tax period 2014, reverse the TC 971 AC 524 as shown in the Then instructions .

    Reverse the TC 971 AC 524 with a TC 972 AC 524. Use the Tax Administration Source Code IRSERR.

    Reminder:

    An IMF return is allowed to be filed for the year of the taxpayer’s death, but is not acceptable for subsequent tax periods.

  8. See IRM 3.13.5.95 for additional information on reversing incorrect DOD information.

  9. If the taxpayer provides a tax return, route the return and all documents to Extraction for processing.

    Note:

    If the taxpayer submitted a return and attached original documents, do not detach. Code and Edit will detach the original documents, if necessary, and return them to the taxpayer.

Transcripts Received in Entity

  1. Miscellaneous transcripts are received in Entity. The following explains in further detail.

Insolvency Cases

  1. Background: Insolvency is required to establish MFT 31 mirror modules for both the primary and secondary SSN when only one spouse files bankruptcy and files married filing jointly.

    Note:

    IMF will not allow MFT 31 accounts to post if one or both of the taxpayers has an IRS-invalid SSN (taxpayer accounts displays with an asterisk).

  2. ECU will receive a limited volume of Entity-related invalid taxpayer accounts requiring additional research and establishing an IRS Valid taxpayer account (if possible).

  3. Insolvency will fax a Form 3210, Document Transmittal, and include all the necessary taxpayer information. Insolvency will include a fax number (if necessary) for Entity to return the cases. The Form 3210 must include:

    1. both the Primary and Secondary SSNs

    2. their names

    3. the tax period(s) involved

  4. The research and correction procedures required in ECU will vary from case to case.

  5. Two separate TIN or name corrections may be required. To correct the secondary taxpayer's invalid account, one correction must be made on the primary taxpayer's account/TIN. A subsequent correction must be completed on the secondary taxpayer's account/TIN. See IRM 3.13.5.18

    1. Typically a taxpayer's account is corrected and made IRS-valid ONLY with supporting documentation or adequate explanation to prove/document their name change. However, since IMF will not allow MFT 31 IRS-invalid accounts to post to master file, these cases require CC IRCHG corrections.

    2. ONLY complete CC IRCHG corrections when you can determine the correct identity of the taxpayer through complete research.

    Note:

    Taxpayer name corrections must only be made to the taxpayer names for the specific tax periods in error.

  6. Use CC IRCHG to make the account IRS Valid when the taxpayer history clearly shows married filing joint returns for multiple years.

    Note:

    If the taxpayer cannot/should not be corrected (determined by Entity research), the Insolvency unit will process in accordance with established procedures.

    1. See IRM 3.13.5.110 and IRM 3.13.5.111 for additional information on making the taxpayer's account IRS Valid.

    2. See IRM 3.13.5.122 if the primary taxpayer is filing with a different spouse. These accounts require the two-step correction process.
      Complete the TIN correction to the secondary taxpayer’s TIN under the primary taxpayer's account (generates a TC 017).
      Then complete the TIN correction to the secondary taxpayer’s TIN under the secondary taxpayer's account (generates a TC 011).

      Caution:

      Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

  7. If a taxpayer's filing history indicates they filed as a secondary taxpayer, have a valid SSN, but have not updated their name with SSA, correct the case to ensure the secondary taxpayer's account is made IRS Valid (TC 016). The account will remain on the invalid segment of the IMF until after the quarterly merge of the DM-1 File.

  8. If multiple tax periods are involved, make the corrections to the earliest tax period listed on the Form 3210.

  9. Fax the, Form 3210 back to the originator within ten days and notate one of the following on the Form 3210:

    1. When an SSN is corrected, indicate on the Form 3210 the correction procedure(s) made using the narrative "SSN Corrected" .

    2. If the SSN is already valid (due to taxpayer SSA name updates or due to the posting of Entity transactions), notate this on the Form 3210 using the narrative "SSN is already VALID" . If needed, ensure the Entity correction is completed under the primary taxpayer's account also.

    3. If the SSN will become valid after the DM-1 quarterly merge, notate this on the Form 3210 using the narrative "SSN will validate after next DM-1 Qtrly Merge (Write-in the date of the next scheduled DM-1 quarterly merge directly beside the cycle)."

      Example:

      If processing a case in March, include cycle 16 in the narrative since the DM-1 file was already updated in cycle 5.
      The DM-1 File quarterly updates are completed in January, April, July, and November (cycles 5, 15, 31 and 44 respectively).

    4. If the SSN CANNOT be made IRS valid, notate this on the Form 3210 using the narrative "SSN cannot be corrected due to insufficient documentation."

  10. IMPORTANT: Do not send a letter or note to the taxpayer regarding any changes made to their account for these cases.

No-Merge Centralized Authorization File (CAF) Transcripts

  1. When both TINs have the same MFT, Plan number and/or plan year ending and both modules contain a TC 960 from different IRSC's, a "NOMRG–848" transcript will generate. If BOTH modules contain a TC 960 from the same IRSC a "NOMRG–846" transcript will generate.

  2. The NOMRG–848 and NOMRG–846 transcript will be a complete transcript for both the "FROM" and "TO" TIN.

  3. When the NOMRG–848 is received, the CAF unit will identify the IRSC who entered the TC 960. The CAF unit will have the campus with the TC 960 posted to the "FROM" TIN delete their tax module. After the CAF unit in the other IRSC has been deleted, the case will be routed to the Entity function to re-merge the account.

  4. Entity must initiate the merge (either TC 011 or TC 013) after the CAF unit has removed/deleted the CAF indicator from the account.

No-Merge Name Control (N/C) Transcripts

  1. When No merge N/C transcripts are received:

    1. Research CCs INOLET, INOLES to determine the proper name control and ensure the merge was intended for the same taxpayer.

    2. Correct the name control if it is the same taxpayer and re-initiate the merge.

SPSSNMFT31 Transcripts

  1. The SPSSNMFT31 transcripts generate when a TC 01X occurs to the spouses account.

  2. Research the account(s) to determine if the TC 01X correction was made to the correct taxpayer account. Use CCs IMFOLI, IMFOLE, IMFOLT, INOLET and INOLES on all taxpayer accounts (include the valid and invalid TIN).

  3. Use the following instructions:

    If... Then...
    secondary taxpayer has an ITIN and SSN merge the accounts
    After completion of the merged accounts, send a Form 4442 to the ITIN unit to revoke the ITIN account.
    Destroy the transcript as classified waste after review.
    TC 971 AC 100 forward to the bankruptcy unit.
    Destroy the transcript as classified waste.
    TC 01X was completing/attempted on the correct secondary taxpayer account no further action is required.
    Destroy the transcript as classified waste after review.

Guidelines to Completing Successful IMF Merges

  1. If duplicate TC 150's are found through research, the cases must be routed to the Accounts Management (AM) area.

  2. For additional information on TCs 011, 013, 040 and 041 see IRM 3.13.5.25.

    Caution:

    When an account moves from one TIN to another TIN or from one segment of a TIN (valid or invalid) to another segment it will resequence or merge the account. Transaction Codes (TCs) 011, 013, 040 and 041 should NOT be entered repeatedly without waiting for the first TC to post. IRS employees must monitor the account, wait for the merging/resequencing transaction to post and if additional merging TCs are needed, enter the necessary merging/resequencing transaction code.

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

    Caution:

    Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

  3. The following table offers assistance and displays account information that will prevent the merging of IMF taxpayer account(s).

    Do not merge if...
    1. Either account contains a module with a TC 400 (Account Transfer Out) and there is a module with an equal tax period in the other account. (M-Freeze).
    2. Either account contains a vestigial record and there is a tax module or vestigial record with an equal tax period in the other account.

    Note:

    The tax module is on retention and this is determined by viewing the account on CC IMFOL.

    3. Either account contains an unreversed TC 914, TC 916, or TC 918 (Z freeze).

    Exception:

    If both accounts contain a TC 914, TC 916 or TC 918 for the same tax period, the merge will be successful if the DO Code in both DLN's match.

    Note:

    The transactions must be same in the above situations. Remember: The accounts will not merge if one contains a TC 914 and the other account contains a TC 916 (even if the tax periods are the same).

    4. Either the To or From accounts contain a MFR 08 and the Scrambles SSN Indicator is 01,12, 13, 20 or 23.
    5. Both accounts contain a module in Taxpayer Delinquency Investigation (TDI) (Status 03 indicator other than 8) or Taxpayer Delinquent Account (TDA) Status 22, 26, or 60 and the Primary Location Code or Collection Location Code (CLC) are not in agreement (-T Freeze).

    Note:

    If both entities contain significant CLCs, they must agree unless the gaining module is in TDA status and the losing module is in TDI status.
    If neither entity contains significant Secondary codes, the Primary location codes for both accounts must agree.

    6. Both accounts contain a TC 150 for the same tax period.

    Reminder:

    An amended return is not considered a TC 150. If a merge and an amended return and a TC 150 are in the same module, a duplicate freeze code is set.


    Merges will not occur for the following conditions:
    If either the gaining or losing account has more than 25 modules.
    If both accounts contain more than one pair of duplicate year modules containing TC 150s
    If both accounts contain only one pair of duplicate year modules and each contains a TC 150 and the Fiscal Year Month of the two modules are equal.
    7 One account contains a debit balance module which attempts to merge with a module for the same period with an unreversed TC 576;
    Or if one module contains an unreversed TC 570 freeze and the other module contains a unreversed TC 576. (This is usually a -Q or -R Freeze)
    8. Both modules have the same tax period and both nodules contain unreversed TC 930's without a Form 3520 Indicator, or;
    Both modules contain unreversed TC 424's (Audit Information Management System (AIMS)).
    Modules for the same tax period containing a combination of an unreversed TC 930 without a Form 3520 Indicator and TC 424.

    Exception:

    The merge will occur if the TC 930 module contains a TC 150.

    9. One account contains a tax module with an unreversed TC 520 if the other account contains a tax module for the same tax period with an unreversed TC 520 (unless the module indicators values are identical)l

    Exception:

    Bypass and allow merge for a TC 520 CC 81.


    Merges fail if both entities contain a TC 520 CC 6X date unless the date is identical. (-V Freeze).
    10. Both accounts have a module for the same tax period containing either a combination of a TC 150 combination and multiple TC 610s (one of which is RPS).

    Exception:

    If the two modules are for the same tax period and one has the RPS Freeze and the other module does not contain a TC 610 or;

    TC 150 is "S" coded in one module and the other module contains an RPS TC 610 not matching the DLN of the TC 150.
    11. Both accounts contain a module for the same tax period and the resulting merge would cause more than 52 TCs 766, Doc. Code 54, blocking series 490-499 to be posted in the module.
    12. Both the "From" and "To" accounts contain an unreversed TC 810 for the same tax period (-E Freeze).
    13. One of more accounts contains a revoked ITIN (verify on EUP/RTS).
    14. "To" account contains a condition that causes the "From" account to resequence four or more cycles before the merge can be initialized.
    The accounts will not merge if a merge-fail condition (as defined in the end-of-year IRM) is met.

    Example:

    (merge attempted after cycle XX48).

    15. The resulting merged tax module would exceed the maximum size allowable for a tax module.
    16. For MFT 55, if both modules contain an unreversed TC 608.
    18. Either the "To" or "From" accounts contains significant Primary or Secondary First Time Home Buyers Credit (FTHBC) Amount.
    (shown on CC IMFOLF or ENMOD)
    19. Either the "To" or "From" accounts contain at least one MFT 32 module for the same tax year.
    20. Either the "To" or "From" accounts contain an MFT 35 or 65 module for the same tax period and both "To" and "From" are MFT 35s or both are MFT 65 and both contain TC 240 PRN 692.
    21. If the SSN of the "To" account is equal to the spouse SSN in any name line of the "From" account.
    22. Name control of the "invalid" account does not match the name control of the "valid" account and the SSA name control (per Command Code INOLE)
    23. For any case with TOP Offset Indicators TC 896 (with an Agency/Sub-Agency Code (AG/SA)) or TC 898, do not complete any merges.
    These must be forwarded to AM for TOP Offset reversals.

    Exception:

    IMF will delay any merge initiating transactions attempting to post in cycle 24 until cycle 25. It is important to note merge requests input during these cycles will require one additional cycle to post.

  4. If any of the conditions listed in (2) above occur, compete a Form 3465 and forward to AM for correction.

Internal CP Processing Transcript (TRNS) 37, Resequence Account-Duplicate SSN

  1. The information contained in the following sections are used for resolving TRNS 37 which are received through the AMS.

  2. All internal CP's generated must be worked and resolved within your site.

    Reminder:

    It is not necessary to ship TRNS 37s to the Austin Submission Processing Campus (AUSPC) simply due to the taxpayer having an ITIN assigned.
    Therefore, do not transship TRNS 37 to AUSPC solely because they reference an ITIN.

  3. When researching TRNS 37 cases and you locate duplicate tax periods under both the VALID and INVALID accounts (CCs IMFOLE/IMFOLI), forward the case to AM using a Form 3465, Adjustment Request, for correction.

  4. If research through CC ENMOD displays a DLN of 00200-000-000000-0, do not attempt to merge the case without securing an IRSN for the invalid number.

  5. If two different taxpayers are valid with the same SSN, route the TRNS 37 to Accounts Management as a "possible scrambled SSN" case. Use your locally developed routing procedures. You can see scrambled SSN indicators when you research using CCs IMFOLE, INOLES, or ENMOD.

TRNS 37, Resequence Account-Duplicate SSN, General Information

  1. The information contained in this section is useful to explain what is the cause of TRNS 37 cases. This transcript is received through AMS.

  2. This transcript generates whenever an attempt to change/correct the primary TIN or a name control and the TIN re-validation fails. This occurs for the following situations:

    1. Social Security Number

    2. Name Control

    3. An IMF-generated resequencing transaction code due to an SSN re-validation attempt; or

    4. An account failed to properly resequence because the transaction code matches another account on the SSN but fails to match on any name control(s).


    The following Transaction Codes could cause the generation of a TRANS 37 case:

    1. TC 000

    2. TC 013

    3. TC 140

    4. TCs 15X, or

    5. TCs 43X

Screen Display for TRNS 37

  1. The first screen shown after choosing a case from the Inventory displays the following information at the top of the screen. See Figure 3.13.5-8.

    Figure 3.13.5-8

    This is an Image: 33759202.gif
     

    Please click here for the text description of the image.

    1. Taxpayer Identification Number

    2. Primary taxpayers Name Control

    3. Full name of the taxpayer and the full name of the secondary taxpayer (if applicable)

  2. Between the information above the Account Summary screen are the designated HOT Keys linked to the ten most used IDRS CCs.

  3. The second screen display entitled Transcript Case Info Page contains the Taxpayer Identification Number and the name of the employee (current owner) is assigned the TRNS 37 case. The following fields display with the Transcript Case Info Page:

    • TIN

    • MFT

    • ASED

    • RSED

    • IRS Recd Date

    • Dollar Amount

    • Current Owner

    • OFP

    • Paper Attachment

    • TP Name

    • Tax Period

    • DLN

    • Transcript Type: TRNS 37

    • Freeze Code

    • Master File Status

    • Manager

    • Case ID

    • Taxpayer Advocate
      Service Case

  4. TRNS 37 contains the Case Log and Case Notes information and includes the following information (when applicable):

    1. Date

    2. Owner

    3. Status

    4. Last Action (notes on the case)

  5. There are also twenty (20) additional designated HOT Keys linked to IDRS CCs.

Resolution of TRNS 37

  1. Begin by using CC INOLET using the TIN provided on the TRNS 37 screen. Compare the name control on the valid account (left side of CC INOLET screen) and the name control of the invalid account (right side of the CC INOLET screen).

  2. If CC INOLET does not show a valid name control for the taxpayer, input CC INOLES using the TIN on the TRNS 37 screen. CC INOLES will display the applicable name controls listed for this TIN:
    CURRENT IMF N/C
    IMF Name Control(s) (N/Cs)
    SSA N/C(s)
    IRS VALID N/C(s)
    NEW SSA N/C
    ITIN NC

  3. Determine if both accounts belong to the same or two different taxpayers. Use any or all of the following methods/information to make this determination:

    1. Examine the appropriate information on TRNS 37.

    2. Compare first names and initials of taxpayers.

    3. Check addresses.

    4. Check the taxpayer's DOB if taxpayer’s names, initials are similar.

    5. Compare tax period ending(s) to determine which is most current.

    Example:

    IRS taxpayer's N/C entered MSTI but taxpayer indicates their last name is SMITHSON. Complete a name change and change the taxpayer's N/C to SMIT and use the appropriate tax year.

  4. If the accounts belong to same taxpayer, research using CC IMFOLI on the both the Valid and Invalid accounts to determine the latest tax period and name(s) the taxpayer used.

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

    Complete using the following table:

    If... Then...
    1. INVALID Account is the latest period ending (controlling name line) a. Update the INVALID account using the N/C shown on the VALID account
    b. Use the tax period for INVALID account when completing the name change.
    2. VALID Account has the latest period ending (controlling name line) a. Update the INVALID account to reflect the name and N/C (TC 013) shown on the VALID account.
    b. Use this tax period for the VALID account when completing the name change.
    3. Taxpayers account is already residing on the VALID side a. No further action is required.
    b. Input appropriate comments in the closing section.
  5. Use the following when the case involves two different taxpayers:

    If... Then...
    1. You locate the correct TIN for the INVALID account

    Note:

    If the account contains an IRSN, take no action.

    a. Input a TC 011 to change the INVALID account to the correct TIN.

    Caution:

    Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

    2. You cannot locate the VALID TIN for the INVALID account a. Assign an IRSN for the INVALID account. using CC TMSSNI.
    b. Resequence the IRSN with a TC 011 with a three week PDC.

    Caution:

    If more merges are required, ensure the account has merged, then input another merge transaction and monitor the account.


    c. Send a Letter 0685C to the taxpayer.
  6. After the case has been resolved, close the case with comments in Accounts Managements Services (AMS). See Figure 3.13.5-9.

    Figure 3.13.5-9

    This is an Image: 33759203.gif
     

    Please click here for the text description of the image.

Internal Processing Transcript (TRNS) 43, Notice of Controlling Name Line

  1. All CP 43's generated must be worked and resolved within your site. TRNS 43 are received through AMS.

    Reminder:

    It is not necessary to ship TRNS 43s to the Austin Submission Processing Campus (AUSPC) simply due to the taxpayer having an ITIN assigned.
    Therefore, do not transship TRNS 43 to AUSPC solely because they reference an ITIN.

  2. When researching TRNS 43 cases and you locate duplicate tax periods using both the VALID and INVALID accounts (CCs IMFOLE/IMFOLI), forward the case to AM using a Form 3465 for correction.

  3. See IRM 3.13.5.69, for additional information on scrambled SSN indicators and no merge procedures.

TRNS 43 Causes

  1. The information contained in the following table explains the cause of TRNS 43 cases:

    If... And... Then...
    transaction did not match the primary taxpayer's most recent name line (their controlling name line)
    Example: Controlling name line for tax period 2015 WREN and name change entered was for tax period 2016 SMIT
    input name control and primary taxpayer's name control on IMF are different and one is valid and one invalid a TRNS43 will generate.

    It is helpful to note the name change failed and was NOT completed.

Screen Display for TRNS 43

  1. The first screen shown after choosing a case from the Inventory displays the following information at the top of the screen:

    1. Taxpayer Identification Number

    2. Primary taxpayer's Name Control

    3. Full name of the taxpayer and the full name of the secondary taxpayer (when applicable).

  2. The second screen display entitled Transcript Case Info Page contains the TIN and the name of the employee who is currently assigned the TRNS 43. The following fields display with the Transcript Case Info Page:

    • TIN

    • MFT

    • Assessment Statute Expiration Date (ASED)

    • Refund Statute Expiration Date (RSED)

    • IRS Recd Date

    • Dollar Amount

    • Current Owner

    • OFP

    • Paper Attachment

    • TP Name

    • Tax Period

    • DLN

    • Transcript Type: TRNS 43

    • Freeze Code

    • Master File Status

    • Manager

    • Case ID

    • Taxpayer Advocate
      Service Case

  3. TRNS 43 contains the Case Log and Case Notes information and includes the following information (when applicable):

    1. Date

    2. Owner

    3. Status

    4. Last Action (notes on the case)

Resolution of TRNS 43

  1. Use the "CC INOLET" to display the VALID/INVALID segment of the taxpayer account.

    1. When using CC INOLET and the CC INOLES displays for the same taxpayer account, the TRNS 43 condition has already been corrected. Chose the "Close Case" Button on the Transcript Case screen, select "Misc" button and type in comments.

    2. If the taxpayer account is only posted to the invalid side of master file, CC INOLET will display the taxpayer's information under their TIN with asterisk. EXAMPLE 000-00-1234*.

      Note:

      Pay attention to the IMF N/Cs listed for the taxpayer under the INVALID TIN.

    3. Next, use CC INOLES under the VALID segment of the taxpayer's account (no asterisk) to determine if this is the same or a different taxpayer.

    4. If CC INOLES defaults to CC INOLEX and displays "NO ACCOUNT ON MASTER FILE" , pay attention to the name controls beside the "DM1 N/C" field.

  2. If no transcription errors occurred, determine if both accounts belong to the same or two different taxpayers. Use any or all of the following methods/information to make this determination:

    1. Compare first names and initials of taxpayers.

    2. Check addresses.

    3. Check the taxpayer's DOB if taxpayer names and/or initials are similar.

    4. Compare tax period ending(s) to determine which is most current.

  3. If you determine the TRNS 43 involves two different taxpayers, prepare a Form 3465, Adjustment Request and route to AM. The six mandatory entries on the Form 3465 are as follows:

    • Name

    • TIN

    • MFT Code

    • Period Ending

    • Form Number

    • Remarks

  4. Research using CC IMFOLI for the specific tax periods, if discrepancies are noticed between the impacted tax periods.

  5. Use the following procedures if the TRNS 43 was caused by adding/correcting the taxpayers name on a prior year:

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

    If... Then...
    1. Taxpayer used an incompatible Name Control, for example "Wren-Swan" and the VALID Name Control shows "Swan" Enter TC 013 and correct the Name Control.
    Input the correct name line, FSC, and the name line year/(tax period). Use the tax period shown on the TRNS 43.
    2. An obvious misspelling error is in the current controlling name line Enter TC 013 and correct the Name Control.
    Input the correct name line, FSC, and the name line year/(tax period). Use the tax period shown on the TRNS 43.
    3. Taxpayer used a different name, for example, maiden name instead of married name Notate N/A.
    The case will remain invalid until the taxpayer provides legal documentation or goes to SSA and updates their name.
  6. Use the following procedures if the TRNS 43 is for a future tax year instead of the current processing year:

    If... Then...
    TRNS 43 is due to changing the correct name to an invalid name line on a future tax period,
    Example:
    tax period 2015 SMIT
    incorrectly used tax period 2016
    Correct the taxpayer name using the correct tax period,

    Example:

    Use tax period 2015, when following the information used in this specific example.

Assignment of Internal Revenue Service Numbers (IRSNs)

  1. This section provides information regarding the Internal Revenue Service Number (IRSN) assignments.

    1. The Entity Control Unit (ECU) normally receives and processes requests for IRSNs within most campuses. However, IRSN assignments may be completed in other functional areas.

    2. An IRSN is assigned immediately after "complete research" is conducted on the IDRS and ITIN Real Time System (RTS). Ensure no other TIN (i.e., ITIN, ATIN or IRSN) has already been assigned to the taxpayer(s) in question.

    3. The individual (TE, Manager, etc.,) assigning the IRSNs is responsible for complete research.

    4. The taxpayer or the fiduciary must be notified when the IRSN is established by sending a (Correspondex letter)/685C/685SP or the appropriate "C" Letter.

      Reminder:

      The fiduciary acts on behalf of the taxpayer. Therefore the term fiduciary and taxpayer are interchangeable throughout the IRM when the taxpayer's account displays a fiduciary, guardian, etc.

      Exception:

      The sending of the (Correspondex letter) Letter 685C/Letter 685SP is mandatory except for "Trust Fund Recovery Penalty" , "Possible Identity Theft" , and certain Examination issues when Exam specifically requests that no taxpayer letters generate.

    5. The Letter 685C or the Spanish version Letter 685SP informs the taxpayer of the IRSN issued during the processing of their return or payment. It also instructs the taxpayer to use the number ONLY on IRS tax-related correspondence or during IRS phone contact. It also instructs the taxpayer to not use this number for any other purposes (e.g., driver’s licenses, banking identification, etc.).

    6. An IRSN is also assigned to avoid further delays in the internal processing of a tax return or payment.

      Reminder:

      Remember, an IRSN is used only as an internal identifying number if the taxpayer has not been assigned an SSN or ITIN or their SSN/ITIN was not located through research.

    7. The taxpayer must be advised to obtain an SSN from SSA (if necessary). If the taxpayer is not eligible for an SSN, SSA will advise the taxpayer to file Form W-7/W-7SP to obtain an ITIN.

  2. IRSNs display in the same format as a regular SSN with a few exceptions.

    • IRSNs begin with 9XX-XX-XXXX*

    • There is an asterisk "*" at the end since the IRSN is invalid

    • The fourth and fifth digits indicate the campus that assigned the IRSN


    See IRM 3.13.5.23 for the IRSN ranges.

  3. Any requests for IRSNs (other than payments) must be requested using the Form 9956, Internal Revenue Service Number (IRSN) Request Form or other methods may include requests by TAS, ERS, IVO and streamlined LB and I.

  4. The Form 9956 was revised and is available on the Publishing Service Web page as a "fillable" form. The Form 9956 (when completed correctly by requestor) provides all the information needed to assign an IRSN.

  5. The Form 9956 must be used whenever outside areas request IRSNs.

    Note:

    Since the assigning of IRSNs for payment processing must be expedited, the requirement to complete a Form 9956 for each individual payment will be determined at the local level. However, all the necessary taxpayer information must be available or provided for assigning the IRSN.

    See Figure 3.13.5-10.

    Figure 3.13.5-10

    This is an Image: 33759088.gif
     

    Please click here for the text description of the image.

  6. If a taxpayer only provides one name when filing and CC TMSSN is used, enter the one name provided in both the first and last name fields. Once the IRSN is assigned, remove the taxpayer's erroneous first name by entering an hyphen in the first name field on CC INCHG.

  7. When researching for an IRSN and the taxpayer was already assigned an IRSN or duplicate IRSN(s) are found, complete the following steps:

    • Initiate necessary merge (TC 011) to one number on the IMF.

      Caution:

      Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

    See IRM 3.13.5.81.11 for additional information.

  8. The IMF Entity unit will also receive documents/returns/payments without a TIN. See IRM 3.13.5.116 for additional information.

  9. Before assigning an IRSN, "research" to locate a good TIN or ITIN for the document/return/payment. If you determine a return has already posted to the number, note "TC 150" in the upper left corner of the return, edit the TIN found and refer the return to the "1040X unit" .

    Exception:

    Do not route a numbered document to the 1040X unit. Route the return to the originator if it is already numbered.

    Note:

    If the taxpayer indicates they have applied for an ITIN, research ITIN RTS to determine if the application is being processed.

    If... Then...
    a. ITIN is found 1. Edit the ITIN found on the document.
    2. Route the return to the ITIN unit.

    Exception:

    Do not route a numbered document to the ITIN unit.
    Route the return to the originator if already numbered.

    b. ITIN is suspended 1. Edit the ITIN found on the document.
    2. Route the return to the ITIN unit.

    Exception:

    Do not route a numbered document to the ITIN unit.
    Route the return to the originator if already numbered.

    c. No TIN is found after completing your research 1. Assign IRSN.
    2. When the first four alpha characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    3. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN.

When Internal Revenue Service Numbers (IRSNs) are Needed

  1. When a TIN cannot be located for the taxpayer, assign an IRSN for the following conditions:

    • Taxpayer payment

    • Balance due document

    • Scrambled SSN cases

    • Taxpayer Refund

    • Rejected ITINs

    • Possible Identity (ID) Theft

    • TIN has been used more than once (i.e., same TIN posted to both segments of IMF) and the individual in question is not the taxpayer posted.

    • Miscellaneous situations when an IRSN is needed for the taxpayer's filing requirements (example; an Application for the Trust Fund Recovery (ATFR).

    • If an IRSN is needed to assist taxpayers in completing their filing requirements.

    • When the filer/taxpayer failed to put a TIN on a check, payment or balance due return and we cannot locate a valid TIN.

  2. Never assign an IRSN due to taxpayer correspondence only.

  3. The IRSN is used for internal processing only and is not a valid TIN.

  4. If the document has not posted to IMF, initiate complete research to determine if an IRSN, TIN or ITIN was previously issued.

    If... Then...
    a. TIN, previously assigned IRSN, or ITIN, is found for the taxpayer a. Ensure the name control is correct.
    b. Enter TIN, IRSN or ITIN on the return/payment.
    b. TIN, previously assigned IRSN, or ITIN, is NOT found for the taxpayer a. Assign an IRSN.
    b. When the first four alpha characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    c. Enter the IRSN on the return/payment
    d. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.

    Note:

    If there is a copy of a check with an Accounting DLN, edit the newly assigned IRSN and name control on the check in red ink and route to Accounting.

    c. Document has attempted to post to the IMF but failed Establish the account via IDRS with TC 000.
    d. Return is received with a TIN considered invalid (name and/or TIN is incorrect) a. Research before using the number listed on the return/(document), unless the number is within the SSN "out of SSN range" .
    b. If the TIN used is outside the valid SSN range, following instructions in 5 below.
    e. Return is received with an SSN "outside of the valid SSN range" , a. Complete research
    b. Assign an IRSN to continue processing of the return/document.

    Caution:

    If the taxpayers have the same name but there is no DOB or other information gathered through research to verify their identity, DO NOT assign an IRSN for the account(s).
    Never assume the taxpayers are the same solely based on their name alone.

  5. Austin only. Austin's ECU will receive Streamline packages from Receipt and Control requiring assignment of an IRSN. The package may contain multiple tax returns and additional documentation sent by the taxpayer for Streamline compliance. Be sure to keep all returns and documents together; do not separate the package. Follow instructions above for assigning an IRSN. Route the package(s) using a Form 3210 and forward to Extractions.

Scrambled SSN Cases Requiring IRSNs

  1. Scrambled TIN cases are worked in Accounts Management (AM). However, the IRSN is typically issued by the Entity unit.

  2. When an IRSN is requested by AM for scrambled SSN purposes:

    1. Verify another TIN, including an IRSN, cannot be found.

    2. Issue the IRSN and establish the account before providing the IRSN to AM.

  3. The following table shows the applicable Scrambled SSN indicator that will display on CCs IMFOLE, INOLES, or ENMOD:

    Indicator Used when:
    01 Completed Letter 0239C questionnaire received from at least one taxpayer. Form 3857 sent to SSA.

    Note:

    This indicator is no longer input on newly processed cases.

    04 Mixed Entity
    09 Scrambled indicator needs to be turned off.
    10 Account is being scrambled. Do not send Form 3857 to SSA.
    12 True/Default True Scrambled SSN case. Send Form 3857 to SSA.
    13 SSN not valid for federal tax purposes.
    20 Case closed, no Letter 239C questionnaire received or SSA response is insufficient to resolve scrambled SSN condition.

    Note:

    This indicator is applicable only for cases worked per prior to 2009.

    21 Case closed, scrambled SSN condition resolved with SSA Form 3857 response or an SSA SSN verification printout.

    Note:

    The SSA SSN verification printout is no longer sufficient proof of ownership of the SSN. SCI 21 is applicable for cases worked per prior to 2009.

    22 Case closed, scrambled SSN condition resolved with SSA Form 3857 response. Information indicates case was a True (non-default) scrambled SSN
    23 Case closed with SSA Form 3857 response which indicates SSN is not valid for federal tax purposes.

    Note:

    This indicator is applicable only for cases worked per prior to 2009.

    24 Reserved

IRSN Post to Invalid Segment of Master File

  1. The assignment of an IRSN will cause the account to post to the invalid segment of the IMF. The IRSN freezes any overpayments and will cause a CP Notice to generate (in most instances).

  2. This also causes a CP notice (e.g., CP 54, CP 11, etc.,) to generate to the taxpayer.

    Note:

    If a taxpayer is identified as having an ITIN, do not transship CP notices to Austin Submission Processing Campus (AUSPC). These CP Notices must be worked at your campus.

    If... And... Then...
    An account is already residing on the invalid segment of IMF with the same number It is not the taxpayer's account in question, a. Assign an IRSN to the return.
    b. When the first four alpha characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    c. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.

Special Requests for IRSNs

  1. Assigning an IRSN will cause the generation of a CP notice. Therefore, assign an IRSN only when necessary to process the account:

    If... And... Then...
    IRSN is requested for a nonresident alien spouse   a. Do not assign an IRSN unless a Schedule SE is attached.
    b. Use an appropriate letter to close the case.
    c. When the first four alpha characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    d. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.
    Form 4029 is received with the notation "Amish" or "Exempt-Form 4029" in SSN area Form is approved, a. Establish an IRSN for the primary taxpayer only.
    b. Use the appropriate letter to inform the taxpayer.
    c. When the first four alpha characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    d. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.
  2. Taxpayers who qualify may write "Amish" or "Exempt-Form 4029" in SSN area on Form 1040. When the Form 1040 has Amish/Exempt-Form 4029 in SSN area, research for a valid SSN for the primary taxpayer.

    If... Then...
    a. Valid SSN is found Research for approved Form 4029 indicator on entity.

    Note:

    The approved indicator is located on CC IMFOLE as shown by a "4" next to the MINISTER SE CODE.

    b. Form 4029 is approved Notate on form the correct TIN, and route back to processing.
    c. Form 4029 is not approved Route back to processing to correspond with taxpayer.

IRSN Assignment for "Termination/Jeopardy" Assessment

  1. The IRS is allowed to make a jeopardy and/or termination assessment for tax under the following circumstances:

    1. An individual is in possession of more than $10,000 in cash or its equivalent (e.g., drugs, jewelry, etc.,) and;

    2. The individual does not claim such cash or equivalent as his, or;

    3. The individual does not claim the cash or equivalent belongs to another person whose identity the Service can readily ascertain and who acknowledges ownership of such cash or its equivalent.

  2. A new taxable entity must be created for the individual who the IRS claims to be the owner of the cash or its equivalent using an IRSN.

  3. All documents requiring this entity information must use the following Primary Name Registration. The possessor's name (e.g., Lewis Bird) "as Possessor of Certain Cash."

  4. The assessment cannot merge with the individual's regular account on the IMF.

  5. The termination/jeopardy assessment is made against the taxpayer solely as the possessor of cash or its equivalent using the new taxable entity.

  6. These types of assessments are processed quickly and may involve criminal activity.

  7. The lead TE will be responsible for research and assignment of an IRSN in these unique situations. Also, a revenue agent or other Examination official will usually phone the Entity unit for the IRSN.

  8. The lead TE must complete the following:

    1. Complete IDRS and ITIN Real Time System (RTS) research.

    2. Use CC TMSSN to establish the account on IDRS.

      Note:

      Include the taxpayer's Date of Birth (DOB), if available, when establishing the taxpayer's account using CC TMSSN.

    3. Notate the IRSN.

    4. When the first four alpha characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.

    5. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.

  9. The cases described above are extremely rare.

  10. Pursuant to the Internal Revenue Code sections 6851 and 6861, a "regular" Termination/Jeopardy assessment can be made.

  11. The "regular" termination/jeopardy assessments are usually made against individuals who refuse to reveal their SSN.

  12. The revenue agent must presume the collection of income tax is jeopardized and must assess the tax owed by the taxpayer.

  13. In "regular" Termination/Jeopardy Assessments, if a valid TIN can be found, the accounts can merge with the taxpayer's individual account.

IRSN Requests for Erroneous Wages from Rejects

  1. Rejects will forward erroneous wage cases on a Form 3210 for IRSN assignments. These specific cases will be identified by the narrative "Bad--Assign IRSN" . Rejects will provide an original return or Section 1 screen print of CC TRDBV.

  2. Research for an existing IRSN.

    1. If the taxpayer was already assigned an IRSN and the IRSN is still active, correct the case.

    2. If the IRSN for this taxpayer was revoked and/or is no longer active (as shown on CC INOLEX), reuse the previously assigned IRSN. Re-establish the account with a TC 000.

    3. If you cannot locate an IRSN for the taxpayer, assign an IRSN using CC TMSSN.

    4. When the first four characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.

    5. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return. Use the instructions and correspond to the taxpayer as instructed in paragraphs (3) and (4).

  3. From CC ENMOD input the IRSN.
    Overlay the CC ENMOD with CC REQ77.
    The CC FRM77 screen will display and contain the partial information needed for the taxpayer's account.
    Complete the following steps on the IRSN account.

    1. Input 971 in the TC field.

    2. Input current date for the TRANS DT.

    3. Input a PDC of 6 cycles.

    4. Input 1231YYYY for the SECONDARY-DT (YYYY is the tax year of the non-legitimate return).

    5. Input 506 beside the TC 971/151-CD.

    6. Input WI SP EC027 in the MISC field.

    7. Notate the IRSN on the original document or the CC TRDBV screen print.


    Monitor the account.
    After approximately three weeks, an IRSN will be established for taxpayer.
    Using CC TXMODA and the original TIN from the return, input the applicable MFT and tax period.
    Using the CC TXMODA display, overlay with CC REQ77. CC FRM77 will display with the partial account data information.
    Complete the following steps using CC FRM77 on the SSN account:

    1. Input 971 in the TC field.

    2. Input current date for the TRANS DT.

    3. Input AC017 for TC 971/151-CD

    4. Input Cross Reference (IRSN) for XREF TIN.

    5. Input Cross Reference MFT for XREF-MFT.

    6. Input Cross Reference Tax Period for XREF-TX-PRD.

    7. Input EC 027 Possible ID Theft in the REMARKS field.

  4. Issue a Letter 685C using paragraphs B, V, 2 and 9.

    1. Return the case to Rejects and include the IRSN.

    2. DO NOT SUSPEND the case.

    Note:

    Unless the taxpayer replies to the Letter 685C letter and includes an "Original" or "Certified Embossed copy" of their birth certificate, the ECU correction process is complete.

    Use the instructions in paragraphs (4) through (7) if the taxpayer replies to the Letter 685C.

  5. If the taxpayer replies to the Letter 685C and provides an "Original" or Certified Embossed copies of their birth certificate, research using CC INOLE and notate the taxpayer's DOB.

    Note:

    "Copies" of birth certificates are not adequate to verify the taxpayer's age.

  6. If research or the birth certificate provided indicates the taxpayer DOB in IDRS was incorrect, use CCs DTVUE and DM1DT to correct their DOB to match their birth certificate DOB.

    Caution:

    Do Not update the taxpayer's DOB if the birth certificate is NOT an original or a certified embossed birth certificate.

    Note:

    Copies of birth certificates must be destroyed as classified waste.
    Return ORIGINAL or "certified embossed" birth certificates to the taxpayer.

  7. If the taxpayer's age (per the birth certificate OR IDRS research) indicates their age still meets the EC 027 age restrictions, no further action is required.

  8. If the documentation or research indicates the taxpayer is eligible for their personal exemptions/credits (EC 027 age restrictions no longer apply),

    1. Merge the IRSN account back to the original TIN.

    2. Forward the case to Adjustments. Include in the remarks. "EC 027 Issued Erroneously"

United States Department of Agriculture (USDA) Settlement Project TIN Requests

  1. The USDA paid a cash settlement and granted loan cancellation to a limited amount of farmers. Awards from this settlement are treated as taxable income. Taxpayer's may use terms other than USDA when communicating about these claims such as the following:

    • Pigford vs. Glickman

    • Pigford vs. Veneman

    • Black Farmers Suit/Settlement cases

  2. The processing of these cases is centralized in the Kansas City campus. The Submission Processing, Planning, Research and Analysis (RP and A) Staff will review the cases then forward the listings to Entity function through e mail with an attachment of the USDA Settlement Account cases that need research. See IRM 3.17.243.26, Miscellaneous Accounting, if additional information is needed.

  3. See IRM 21.7.13, Assigning Employer Identification Numbers (EINs), for information on researching and assigning an EIN for an Estate. Research and correct the cases using the following instructions:

    1. The ECU must review and validate the SSNs and names on the listing

    2. Complete research on the taxpayer name and SSN as shown on the listing. Research using the spouses SSN (when applicable). Also complete research for estates or farms using existing and/or inactive EINs.

    3. If you cannot locate an EIN, establish an Estate EIN for the taxpayer or their estate.

      Note:

      Ensure you input the Claim No from the report after the taxpayer name in the primary name field of CC ESIGN.
      Example: John S. Cardinal Estate Claim No 78582.
      If the taxpayer or the taxpayer's estate has an executor, beneficiary, etc., designated on the report, input this information in the sort name field of CC ESIGN.

    4. If you cannot locate an SSN or EIN that contains viable references, notate this information on the listing.

  4. Return the cases back to the appropriate P and A staff contact when the research and assignment is completed.

  5. These settlement payments contain the unique DLN of 52217 or 43217 (013/014) 9XX.

  6. Use the program code 85390 and function code 390 for the USDA time utilization for researching and assigning EINs.

Valid Primary Taxpayer Identification Numbers (TINs)

  1. Social Security Numbers (SSNs) or Individual Taxpayer Identification Numbers (ITINs) are considered to be IMF VALID numbers for the primary individual taxpayer(s).

  2. Documents processed with a valid ITIN post to the valid side of IMF.

    Exception:

    Effective January 2016, assigned ITINs will post to the valid side of IMF.

  3. Typically an ATIN is used for dependents only and not used for the primary taxpayer. However in rare instances an ATIN is valid for the primary taxpayer TIN due to the filing of a Form 8615, Tax for Children Under Age 18 With Investment Income of More Than $2,200.

  4. If taxpayer(s) have both an ITIN and an IRSN, the IRSN must be merged to the ITIN.

  5. The following research steps must be taken to determine whether an individual filer has a valid TIN:

    1. Use CCs NAMES, NAMEI, and FINDS to research the Name Search Facility (NSF), IDRS and ITIN Real Time System (RTS) for a valid SSN or a previously assigned ITIN.

    2. Use CC INOLE to research the NAP for a valid or invalid SSN or a previously assigned TIN.

    3. Use the ITIN Real Time System (RTS) to research the ITIN assignment of an ITIN/pending ITIN.

      Note:

      Campuses that receive returns in the ITIN assignment process can suspend the return. They must monitor for the ITIN issuance or its rejection. This will help cut down on duplicate/redundant correspondence and help facilitate processing.

    4. If the primary taxpayer filed Married Filing Jointly (MFJ), use the S-SSN for research purposes.

    5. Use CC IMFOLT for the specific tax year information.

Individual Taxpayer Identification Numbers (ITINs)

  1. For additional information on the ITIN Real-time processing, refer to IRM 3.21.263, Individual Taxpayer Identification Number (ITIN) Real Time System (RTS).

  2. Supplemental information is also available in Pub 1915, Understanding Your IRS Individual Taxpayer Identification Number (ITIN).

  3. To apply for an ITIN, applicant must be a nonresident or U.S. resident alien who does not qualify for a SSN and:

    • Has a federal tax return filing requirement, or;

    • Is filing a U.S. tax return only to claim a refund, or;

    • Has a federal tax reporting requirement, or;

    • Can be claimed as an exemption or dependent on a valid U.S. federal tax return.

  4. The ITIN display in a format similar to a SSN but will always begin with the number "9" . The fourth and fifth numbers within an ITIN are assigned in the following unique numbering ranges:

    • 9nn-50-nnnn through 9nn-65-nnnn

    • 9nn-70-nnnn through 9nn-88-nnnn

    • 9nn-90-nnnn through 9nn-92-nnnn

    • 9nn-94-nnnn through 9nn-99-nnnn

      Note:

      "89" and "93" are not used as the fourth and fifth numbers for ITINs but are reserved for other programs.

General Information for ITIN Application Process

  1. Taxpayers may obtain Form(s) W-7/W-7SP via:

    • IRS offices world wide (800) TAX-FORM or (800) 829-3676)

    • World Wide Web – www.irs.gov

    • Acceptance agents (may charge a fee)

  2. Completed Form(s) W-7/W-7SP and valid supporting documentation along with proof of federal tax filing requirement or exception criteria can be submitted to IRS Taxpayer Assistance Centers (TACs) or certain U.S. consular officers abroad.

  3. Applicants may choose to use the services of an acceptance agent (may charge a fee) or they can mail the application and attachments directly to:
    Internal Revenue Service
    ITIN Operation
    PO Box 149342
    Austin, TX 78714-9342.

  4. For those packages being sent overnight express to the AUSPC ITIN Unit, use the following address:

    Internal Revenue Service
    AUSPC ITIN Unit
    3651 S. IH 35
    ATTN: ITIN Clerical Manager
    Austin, TX 78741

  5. Applications, along with supporting documentation, can be accepted at IRS Taxpayer Assistance Center (TAC). However, the processing of the Form W-7 or ITIN application is performed in the ITIN Unit only.

ITINs Used for Tax Purposes Only

  1. Because the ITIN is for tax purposes ONLY, taxpayers filing with an ITIN do not:

    • Qualify the applicant for Earned Income Tax Credit (EITC) (TC 768), or;

    • Change their immigration status by the simple act of receiving an ITIN, or;

    • Receive the right to work in the United States by the simple act of receiving an ITIN.

    If... Then...
    An individual later qualifies and gets an SSN, ITIN tax records will be merged with the SSN.
    The SSN must be used and the ITIN will no longer be considered valid.
    The taxpayer has indicated a Form W-7/W-7SP Application for ITIN has been filed, Research the RTS to determine if an application is in process.
    A taxpayer inquires about their ITIN application whether or not normal processing time has elapsed Determine the taxpayer's fact of filing status.

ITIN Research

  1. Prior to assigning an IRSN or merging an ITIN, the ECU must research

    1. IDRS

    2. ITIN Real Time System (RTS) for any pre-existing TIN(s) for the taxpayer. See IRM 3.13.5.81.7, Accessing the ITIN RTS, for additional information.

    Caution:

    If taxpayers names are the same, research to determine if they are the same taxpayer by comparing things like DOB, address, exemptions, AGI (shown on CC TRDVU), etc.
    Never assume the taxpayer are the same solely based on their name alone.

    Note:

    Thorough research involves using variations of hyphenated names, apparent multiple last names may be the taxpayer’s middle name, and any other capitalized name formats.

  2. Research using CCs INOLES and INOLET, and compare names, name controls, addresses, and DOB to verify the account.

  3. Some ITINs did not correctly establish on the DM-1 but were assigned on RTS. Use the following instructions with this type of exception processing. Research RTS to determine if the ITIN is assigned.

    1. If the ITIN is assigned, but the ITIN account on IDRS displays with “RECORD NOT FOUND”, route the case to the ITIN unit using Form 4442 or follow local procedures to forward the ITIN unit.

    2. Do not forward newly issued ITINs to the ITIN unit. Newly issued ITINs may take 2 to 3 days to post to IDRS.

    Note:

    The ITIN unit will correct the ITIN to ensure it is established on the DM-1.

  4. Research using CCs TXMOD and IMFOLI to determine if multiple TC 150s are posted for same taxpayer for the same tax period. Review the entity modules for valid and invalid cross-referenced TINs.

    Note:

    The TINs located may be an ITIN, SSN or IRSN.

  5. When researching for a taxpayer account and there are several taxpayers with similar names, use the taxpayer's DOB to more accurately identify the correct taxpayer. If the DOB is incorrect, compare addresses, exemptions, AGI, etc., to verify the taxpayer.

  6. See IRM 3.13.5.103 for information on CC NAMES if needed.

  7. See IRM 3.13.5.104 for information on CC NAMEI if needed.

    Note:

    CCs NAMES and NAMEI must be used before CC TMSSN.

  8. See IRM 3.13.5.105 for information on CCs FINDS if needed.

ITIN Reject Corrections Procedures

  1. If only one ITIN record is found on the ITIN data base for the taxpayer in question, check the status fields of the records. If the status shows the case has been "Suspended" the tax return must be returned to the ITIN unit.

    Note:

    Do not assign an IRSN when the case is in ITIN suspense.

  2. If the status field shows any status other than "Assigned" or "Rejected" , the tax return must be returned to the ITIN Unit.

    Reminder:

    Do not assign an IRSN to an ITIN account in an "Inactive" status on RTS. The ITIN is still valid on IDRS and the inactive status alone DOES NOT prevent transactions from posting to the account. The ITIN taxpayer is not allowed select benefits (such as the exemption, child tax/additional child tax credit, and education credit).

  3. Use the following when the ITIN status is "Assigned"

    If... Then...
    a. Only one ITIN has been assigned
    (TC 150 same tax year)
    Verify no IRSN has been assigned for this taxpayer.
    b. No other TINs are found, and;
    no other TC 150 is posted to the tax returns
    Edit the ITIN to return and continue processing.
    c. Tax period matching that of the returns already contains a TC 150, Edit "TC 150" in the upper left corner
    Refer the return to the 1040X Unit
    d. Multiple ITINs have been assigned,
    Pull the case(s) from the batch
    Return the case back to the ITIN unit to delete the duplicate ITINs
  4. If more than one application is present for the applicant's name, look for a listing with your applicant's birth date. If you locate it, click on the "View" link to access the taxpayer's W-7/W-7SP application and/or click on the "History" link to review the current status information.

  5. If an ITIN has not yet been assigned, access the W-7 Search screen to obtain the applicant's full name (as shown on the Form W-7/W-7SP), date of birth and mailing address.

  6. If a recently assigned ITIN is located and the ITIN unit recently rejected the case, return the case back to the ITIN Unit for further review. Include the following narrative "Recently assigned ITIN located, please verify this case" .

Assigning an IRSN for a Rejected ITIN

  1. If there is an indication of a rejected primary Form W-7, a TIN is needed to process the taxpayer return. The ECU needs to locate an already existing TIN or assign an IRSN.

    1. If the secondary or dependent applications are rejected and a tax return is attached, the tax return goes forward for processing.

    2. The dependents are systemically disallowed (math error notices generate).

    Note:

    It is important to note an IRSN is not a VALID TIN and the taxpayer’s exemptions and credits will be disallowed when an IRSN is assigned.

    Reminder:

    When working Statute year returns, route to Statute if a Cleared Statute stamp is not present. If the return does not have a TIN, you must assign an IRSN before routing to Statute. See IRM 3.13.5.8.1 for additional information.

  2. On all prior year and current year returns processed after April 22, a Form 3471, Edit Sheet, and a Return Processable Date (RPD) are needed for processing. The Form 3471 will be attached to the tax return by the ITIN unit. Use the following tables to determine the RPD:

    If... And... Then...
    a. prior year return TIN is located a. Notate the TIN on the Form 1040/A/EZ.
    b. Write the RPD.
    The RPD will be the date the TIN is located.
    c. Attach the Form 3471E to the back of the return facing out.

    Note:

    If a date has been edited by the ITIN unit, circle the date and enter the date the TIN was assigned or located.


    See IRM 3.21.263 , IRS Individual Taxpayer Identification Number (ITIN) Real Time System (RTS), if additional information is needed.
    b. current year return processed on April 23, CY or later TIN is located a. Notate the TIN on the Form 1040/A/EZ.
    b. Write the RPD.
    The RPD will be the date the TIN is located.
    c. Attach the Form 3471E to the back of the return facing out.

    Note:

    If a date has been edited by the ITIN unit, circle the date and enter the date the TIN was assigned or located.


    See IRM 3.21.263 , IRS Individual Taxpayer Identification Number (ITIN) Real Time System (RTS), if additional information is needed.
    If... And... Then...
    a. current year return processed on April 23, CY or later IRSN is assigned a. Notate the TIN/IRSN on the Form 1040/A/EZ.
    b. When the first four characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    c. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.
    c. Write the Return Processed Date (RPD) as shown on (Line 4) of the Form 3471E.
    The RPD will be the date the IRSN is assigned.
    d. Attach the Form 3471E to the back of the return facing out.

    Note:

    If a date has been edited by the ITIN unit, circle the date and enter the date the TIN was assigned or located and follow the instructions above.


    See IRM 3.21.263, IRS Individual Taxpayer Identification Number (ITIN) Real Time System (RTS), if additional information is needed.
    b. prior year return IRSN is assigned a. Notate the TIN/IRSN on the Form 1040/A/EZ.
    b. When the first four characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    c. Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.
    c. Write the Return Processed Date (RPD) as shown on (Line 4) of the Form 3471E.
    The RPD will be the date the IRSN is assigned.
    d. Attach the Form 3471E to the back of the return facing out.

    Note:

    If a date has been edited by the ITIN unit, circle the date and enter the date the TIN was assigned or located and follow the instructions above.


    See IRM 3.21.263, IRS Individual Taxpayer Identification Number (ITIN) Real Time System (RTS), if additional information is needed.
  3. If there is a copy of check with an accounting DLN attached to the return, edit the newly assigned IRSN and name control on the check in red ink and route to Accounting.

ITIN Notices

  1. The ITIN program generates numerous notices advising the applicant of the status of their application, the return of their original documentation, the assignment of the ITIN, etc., The ITIN program is also designed to generate notices in English or Spanish.

    1. If the applicant files Form W-7, they are issued an English notice.

    2. If the applicant files a Form W-7SP, they are issued a Spanish notice.

    Note:

    Since December 2003, ITIN applicants are advised of their ITIN via Assignment Notices. These notices are in a letter format and has special security features (watermarked) embedded.
    Prior to December 2003, ITIN applicants received their ITIN assignment notification in a card format.

  2. In order to determine the language of the ITIN letter, access the EUP database (ITIN RTS database).

    • Click on the Search Form W-7 tab. to locate the taxpayer account

    • Research for the taxpayer, see IRM 3.13.5.81.7 for additional information.

    • Click "view" in the Search results for the taxpayer.

    • Click the "Back to Preliminary W-7 Data" tab (at the top of the screen) to view the Preliminary Form W-7 application data page. You will be able to view the Notice/Correspondence language to generate the Letter 0685C and/or Letter 0685SP.

Accessing the ITIN Real Time System (RTS)

  1. Entity employees require access to the ITIN Real-Time System (RTS) in order to conduct ITIN research. Access to ITIN RTS is granted through the Employee User Portal (EUP).

  2. If you have an inactive session for thirty (30) minutes on any ITIN RTS Screen, the Session Expired Screen will display.

  3. The ITIN RTS Global Navigation bar displays when you logon to the ITIN RTS.

    Reminder:

    Entity employees are limited to the following links:

    See the following Links and their applicable description available for IMF Entity employees:

    • Home - Click here to proceed to ITIN Home Screen.

    • Search W-7- Click here to search for Form W-7 Application information

    • Reference - Click here to proceed to Reference Screen.

    • Close - Click here to close the ITIN RTS.

  4. To access the Form W-7 Search Screen, click on the Search W-7 link on the Global Navigation bar. See Figure 3.13.5-11 for an example of the ITIN Real Time System (RTS) Database screen.

    Figure 3.13.5-11

    This is an Image: 33759204.gif
     

    Please click here for the text description of the image.

  5. The Form W-7 Search Screen content includes the following:

    Name Purpose
    DLN Input box is used to enter the DLN of the Form W-7 application form.
    This field is also the primary search key for the Form W-7 Search and no other search fields are necessary if the DLN is known.
    Applicant Last Name Enter either the full name or up to 6 characters of the last name of the applicant (i.e., XXXXXX%) can be used in this input field.
    Applicant First Name Enter either the full name or up to 4 characters of the first name of the applicant using a wildcard search (e.g., XXXX%) can be used in this input field.
    Applicant Middle Name Enter the middle name of the applicant.
    ITIN Enter the ITIN of the Form W-7 application form if known.
    The ITIN field is used as the secondary search key for the Form W-7 search and no other search fields are necessary.
    Date of Birth (DOB) Enter applicant date of birth (DOB) using (MMDDYYYY) format. Input values are as follows: MM (1 to 12), DD (1 to 31).
    Country of Citizenship (COC) Select the country code and name of country from the drop down list.
    Country of Birth (COB) Select the country code and name of country from the drop down list.
    Status Use this drop down list to select the appropriate status code.
    Earliest IRS Received Date Start Use this input box to enter the IRS Received Starting Date.
    MM values= 1 to 12
    DD values= 1 to 31
    YYYY values = year of the IRS Received Date.
    Earliest IRS Received Date End Use this input box to enter the IRS Received Ending Date.
    MM values= 1 to 12
    DD values= 1 to 31
    YYYY values = year of the IRS Received Date Ending.
    Search Select this button, and the system will perform validation checks in order to generate search results based on the populated fields.
    Reset The following message displays when this button is clicked, "You will lose data on the current Screen, Would you like to continue?"
    • Click Okay to clear all fields.

    • Click Cancel to return to the current Screen.

  6. The following table displays the Form W-7 search results:

    W-7 Search Results Form W-7 Search buttons
    Search Results
    (system generated table values)
    Click on the Search button to display the following fields in a table format:
    • Last Name

    • First Name

    • DOB

    • COB

    • COC

    • Reason Codes

    • Status

    • DLN

    • ITIN

    These buttons are enabled if the search results generate more than 30 records per Screen. Click to view the additional set of search results found on the system. First, Prev, Next, and Last
    Click to view a read-only version of the Form W-7 application record. View
    Click to view the history of the selected Form W-7 application record. History
    Will direct you to the ITIN Home Screen. ITIN Home

Reject "Ts" (AUSPC ONLY)

  1. Entity will receive cases already numbered and are in DLN order.

  2. Research and assigning an IRSN (if needed) are the same as processing ITIN Rejects. Do not remove or route out any documents from the batch as they must remain in DLN order. This includes the following cases:

    1. Statutes, continue processing.

    2. Suspended, do not assign an IRSN. Attach Form 4227 and request ERS route the return to the ITIN unit.

    3. If a TIN is located, see paragraphs (4) and (5) below.

    4. Multiple TIN case, see IRM 3.13.5.117 Merging Taxpayer Accounts (ITINs, SSNs and IRSNs) to continue processing.

  3. See IRM 3.13.5.81.3 for researching Reject "Ts" .

  4. If a TIN is found with posted TC 150, Notate the TIN in the Entity portion of the document and notate "TC 150" in the upper left corner of document.

  5. If a TIN is found with no posted TC 150, notate the TIN in the Entity portion of the document.

  6. If no TIN is located, assign an IRSN using CC TMSSNI. Notate the IRSN in the Entity portion of the document. When the first four characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.

  7. If it is determined during research the return should be routed to the ITIN unit, attach a Form 4227.

    1. Check the "Reject correction box" and the "Other" box under reason.

    2. Notate "Delete DLN" and route to the ITIN unit in the "Other (explain) box" .

    3. Leave the return in the batch and the Rejects unit will route the return to the ITIN unit.

  8. Typically an IRSN is necessary for the PRIMARY taxpayer ONLY.

    Note:

    Review the return for a Schedule SE. If the Schedule SE belongs to the secondary taxpayer, also assign an IRSN for the secondary taxpayer.

  9. When the first four characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.

    Reminder:

    Edit the IRSN for the secondary taxpayer on the return and underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.

Individual Taxpayer Identification Number (ITIN) Rejects (AUSPC ONLY)

  1. Entity will receive cases from the ITIN unit that have been batched through the BBTS system as "ITIN Rejects" . These are returns where the primary taxpayer’s Form W-7 application for an ITIN was rejected.

  2. These returns are identified by ITIN editing "ITIN Reject" in or near the SSN field of the return.

    Reminder:

    The ITIN unit will edit the primary taxpayer's DOB in the margin of the right side of the SSN field.

  3. Complete research to ensure the name control matches.

    1. Compare the Form W-7 name to the attached tax return(s).

    2. Verify the name is spelled correctly and correct any typographical errors. If you can confirm the person on the tax return is the same person as the Form W-7 applicant and the name differs, then edit the tax return name control to match the Form W-7 name.

    3. Ensure the name is legible and is listed in First, Middle and Last name order.

    4. Underline the name control on the tax return in red ink for any newly assigned ITIN.

  4. If the taxpayer DOB information is NOT written on each ITIN Reject cases, research the case as follows:

    1. Research the ITIN Real Time System (RTS).

      Reminder:

      Do not assign an IRSN when the case is in ITIN suspense. If the case is in ITIN suspense status, route back to the ITIN unit.

    2. If the DOB written on the return does not match the DOB on RTS, use the RTS DOB.

    3. Write the DOB in the margin of the right side of the SSN field.

    4. Use the DOB (when available) when researching the taxpayer accounts.

    5. If a DOB cannot be located, return to the ITIN unit.

      Exception:

      If ITIN has edited "No W-7" , do not route the return back to the ITIN unit. Issue an IRSN without the DOB.

  5. Before these returns can be processed, Entity must research to locate:

    1. An SSN or

    2. An earlier assigned IRSN or ITIN.

      Exception:

      If the ITIN unit circled out the primary TIN, research to determine if the TIN provided by the taxpayer is a valid TIN for the taxpayer. If the TIN belongs to the taxpayer, re-edit the TIN, otherwise continue processing the return as a rejected ITIN case.

  6. Typically an IRSN is necessary for the PRIMARY taxpayer ONLY.

    Exception:

    When the SECONDARY taxpayer has self-employment income and files a Schedule SE, an IRSN must also be assigned for the SECONDARY taxpayer (if the Secondary taxpayer does not have an ITIN or TIN).

    Note:

    Examine the return for Schedule SE to determine which taxpayer is filing self-employment.
    If no Schedule SE is attached, review the Schedule C for the required information.

  7. If a taxpayer submits multiple returns for different years, the ITIN unit will forward the current and prior year returns together.

  8. Entity must research using CCs TXMOD and IMFOLI to determine if there were multiple TC 150s for this taxpayer for the same tax period. Annotate on the return the appropriate TIN located.

    Note:

    The TIN located may be an ITIN, SSN or IRSN.

  9. After performing all research, assign the IRSN. When the first four characters of the taxpayer’s last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters. Edit the TIN to the taxpayer's returns and underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return and;

    1. separate the cases to be numbered as separate year cases and;

    2. remove any current year return to be processed in the current year program.

    A Form 3471, Edit Sheet, and a Return Processable Date (RPD) is needed for processing all prior year returns and current year returns received after April 22. The Form 3471 will be attached to the tax return by the ITIN unit.

    Reminder:

    When working Statute year returns, route to Statute if a Cleared Statute stamp is not present. If the return does not have a TIN, you must assign an IRSN before routing to Statute. See IRM 3.13.5.8.1 for additional information.

  10. If multiple SSNs and/or IRSNs have been assigned, follow the instructions in IRM 3.13.5.117 and merge the accounts.

    Note:

    When assigning an IRSN on TMSSN, use the address shown on the Form 1040, 1040A, etc. If you do not have access to their return, use the address shown on the Form W-7 Application (if needed). See IRM 3.13.5.63 to ensure the address is valid.

  11. Depending on what TINs are located on the account, taxpayer accounts may require merge corrections. See IRM 3.13.5.81.11 and IRM 3.13.5.81.12. See IRM 3.13.5.117 if additional information is needed.

  12. If only one ITIN has been assigned, verify no IRSNs have been previously assigned. If the assigned ITIN is the only number found, verify none of the tax periods of the returns being processed contain previously posted TC 150.

  13. If the tax period matching that of the return(s) being processed already contains a TC 150, edit "TC 150" in the upper left corner and route the return to the 1040X Unit.

    Exception:

    If the returns you are working are in a 1040X batch, leave all the returns in the batch. No other editing is required

  14. If no other TINs are found and there is no TC 150 previously posted to the tax period of the return(s), edit the TIN to the return(s) and continue processing.

  15. If there are any annotations (i.e., copy, amended, duplicate, etc.,) circle out the annotation prior to sending for processing. If the tax period matching that of the return(s) does not contain a TC 150, edit the located or assigned TIN to the return, circle out any annotations such as "copy, duplicate, amended, corrected, etc.," and continue processing.

  16. If only one TC 150 is posted for the same tax period for a taxpayer with multiple TINs, see ITIN Merge Procedures in IRM 3.13.5.81.11.

  17. If multiple TC 150s are posted for the same tax period for a taxpayer with multiple TINs, route to AM.

  18. If RTS displays a suspense code, route the return to ITIN Unit. If the return is numbered and sent by Rejects, attach a Form 4227 and notate "VOID DLN" and request they forward the case to the ITIN unit after voiding the DLN.

    Caution:

    Please do not redirect tax returns to ITIN when an RTS reject status is identified.

  19. If Office of Foreign Asset Control (OFAC) displays in the "Form W-7 Status" of RTS, return the case back to the ITIN unit.

  20. If "pending" displays in the Form W-7 Status of RTS, return the case back to the ITIN unit.

Erroneous ITIN Cases Corrected in AUSPC Only

  1. For Taxpayer Advocate Service (TAS) actions taken on suspended cases, forward the documentation to the AUSPC ITIN Unit.

  2. If the Entity unit receives Form W-7/Form W-7SP in error, transship to AUSPC ITIN Unit. See your transshipping coordinator for more information if necessary.

  3. Complete a history item on IDRS, "W7 Pending" to communicate a Form W-7 or W-7SP is pending for this taxpayer.

ITIN Merge Procedures (ITIN to SSN merges)

  1. Prior to working an ITIN-related Entity or Unpostable cases, the ECU must research

    1. IDRS (CCs IMFOLI, INOLES, INOLET and ENMOD are suggested)

    2. ITIN Real Time System (RTS) research

    3. In order for a merge to move from one account to another, there cannot be any no merge conditions on the account(s). See IRM 3.13.5.69 for additional information.

    See IRM 3.13.5.81.3 for ITIN research information.

  2. If the ITIN is not established (as shown on the IDRS), verify the ITIN has been assigned using the ITIN RTS system. If the ITIN shows “assigned”, merge the account with a Posting Delay Code (PDC) 3. Review the account four business days after the ITIN Assignment date.

    Reminder:

    If the CP565 has been assigned, the ITIN case can be merged.

  3. Review the entity modules for valid and invalid cross-referenced TINs.

    Note:

    If the taxpayer filed a married filing joint return, also use the S-SSN to complete research.

  4. Research to determine:

    • If the name controls match

    • If both taxpayers are the same

    • If the TINs are both valid

    • If the DOB(s) match

      Note:

      If DOB(s) don't match, research to ensure the DOB was not transposed when the ITIN was assigned. If the other information "matches" , consider the DOB assigned by SSA as the correct DOB.

    • If there are no merge conditions present

  5. See IRM 3.13.5.116, for completing TIN changes (TC 011).

  6. If the taxpayers are different, research to locate the correct taxpayer.

  7. If you cannot locate the correct taxpayers, return the merge request to the ITIN area/requesting area and inform them the taxpayers are not the same.

  8. A TC 040 is necessary to correct ITIN related cases when the ITIN has been revoked.

    1. Use the ITIN Real Time System (RTS) to review the Status information. When "Rejected" and "Revoke ITIN" are displayed, correction of the taxpayer's account requires a TC 040 correction.

  9. Since the TC 040 correction process bypasses the NAP validation process, review the ITIN data base and the SSA information to ensure the taxpayer DOB and their first name match before correcting the case.

  10. See IRM 3.13.5.125, for the required fields for completing a TC 040.

    Note:

    No changes to the secondary taxpayer (when applicable) are needed for these Revoked ITIN cases.

  11. Due to the different Name Controls displaying, the account may post to the invalid side of IMF when the TC 040 posts. Monitor the case until the name change posts and input a TC 016 to validate the name control.

  12. Suspend the merged case for four weeks and review the account for the posted merge. If the merge did not post, reinput the merge if the "no merge condition" was determined and corrected. If the cause of the no merge condition cannot be determined, route to AM for correction.

    Note:

    When re-inputting an unmerged case, only suspend for one additional four-week cycle. If the merge is not successful after the second attempt, route to AM for correction.

  13. When the merge is complete and posts, complete and route Form 4442 to the ITIN unit. Include the new TIN and ITIN to revoke for each applicant. If the merge request originated from a Form 4442 from the ITIN unit, return the Form 4442 to the ITIN unit that requested the ITIN revocation. Notate "merge posted" on the Form 4442 for ITIN revokes returned to the ITIN unit.

Merge Procedures When Both Accounts are Valid

  1. Prior to merging the cases, the ECU must research both accounts

    1. IDRS (CCs IMFOLI, INOLES, INOLET and ENMOD are suggested).

    2. ITIN data base for any pre-existing TIN(s) for the taxpayer.

  2. Review the ITIN data base and the SSA information. If both ITIN and SSA Name Controls are valid but do not match, then a TC 040 correction will bypass the NAP validation process. Ensure the taxpayer's DOB and their first name match before correcting the case:

    1. Input a TC 040 on the ITIN account to match the name control on the "to" SSN account.

    2. Input a TC 011 on the ITIN account and a Posting Delay Code (PDC) 3.

      Caution:

      Do not input multiple TC 011 corrections on the same accounts. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

  3. If the taxpayer's account is located on the VALID segment of IMF but a "NEW SSA N/C" displays and ITIN/SSN name controls match, input a TC 011 on the ITIN account and enter a 3 in the PDC field.

    Caution:

    Do not input multiple TC 011 corrections on the same accounts. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

  4. See IRM 3.13.5.125, for the required fields for completing a TC 040.

  5. Suspend the merged case for four weeks and review the account for the posted merge. If the merge did not post, reinput the merge if the "no merge condition" was determined and corrected. If the cause of the no merge condition cannot be determined, route to AM for correction.

    Note:

    When re-inputting an unmerged case, only suspend for one additional four-week cycle. If the merge is not successful after the second attempt, route to AM for correction.

  6. When the merge is complete and posts, complete and route Form 4442 to the ITIN unit. Include the new TIN and ITIN to revoke for each applicant. If the merge request originated from a Form 4442 from the ITIN unit, return the Form 4442 to the ITIN unit that requested the ITIN revocation. Notate "merge posted" on the Form 4442 for ITIN revokes returned to the ITIN unit.

Adoption Taxpayer Identification Numbers (ATINs)

  1. An ATIN is a number typically used for dependents only and is issued in the Austin Submission Processing campus.

    Caution:

    However in rare instances an ATIN is valid for the primary taxpayer TIN due to the filing of a Form 8615, Tax for Children Under Age 18 With Investment Income of More Than $2,200.

  2. The ATIN is not typically used as the secondary taxpayer's TIN when filing a return.

  3. The ATIN is a temporary number issued by the IRS and is required if the applicant can NOT obtain an SSN for their adoptive child. In these situations, taxpayers may apply for an ATIN for the child.

  4. ATINs are in the same format as an SSN or an ITIN (nnn-nn-nnnn) but have the following unique characteristics:

    1. The ATIN begins with the digit "9" .

    2. The fourth and fifth digits are always "93" .

      Note:

      The last four digits are assigned in ascending sequential order.

  5. Adopting parents may have custody of a child but cannot immediately obtain an SSN for the child pending their final adoption.

  6. The ATIN expires either:

    • When the applicant notifies the IRS of the dependent's new SSN, or

    • Two years after the ATIN application was approved the number will systemically expire and is no longer considered active.

    Note:

    ATINs may be extended beyond the initial two years, but the taxpayer must request an extension. See IRM 3.13.40, Application for Tax Identification Number for Pending U.S. Adoptions, for additional information.

  7. Updates to the ATIN status are completed daily. However, the account does not post to the valid side until after the completion of the DM–1 tape quarterly merge.

Using Accounts Management Services (AMS) for Research and Corrections

  1. Accounts Management Services (AMS) allows authorized users to resolve various taxpayer issues by providing the IRS employee the ability to view and update taxpayer accounts and case information through a common user interface. AMS can be used for many taxpayer actions and can be used whether or not the taxpayer's account resides on IDRS.

  2. In Entity, tax examiners are able to complete the following actions using AMS:

    • Research the taxpayer account

    • Activate up to 30 self-elected IDRS CCs

    • Launch into external IRS system without leaving AMS

    • Electronically record, store and retrieve nationwide case history

    • Update taxpayer address and phone numbers

    • Order forms

    • Prepare specific forms and transcripts

    • Create selected IDRS Correspondex letters

    • Complete address changes

    • Complete name changes (TC 013 only)

  3. AMS is the remaining system/process that incorporated the obsolete Desktop Integration (DI) and Correspondence Imaging System (CIS).

  4. The types of taxpayer information, correction methods, and research capabilities will continue to increase with each subsequent AMS/IAT tools enhancement.

Integrated Automation Technologies (IAT) Tools

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

  2. The use of IAT is preferred to performing research on IDRS (when the IAT research tools are available).

  3. You cannot enter an 8 in BLK-SERIES-IND when using IAT.

IDRS Command Codes

  1. Detailed instructions on IDRS are contained in IRM 2.3, IDRS Terminal Responses, and IRM 2.4, IDRS Terminal Input.

  2. If an IDRS-related discrepancy exists between IRM 3.13.5 and IRMs 2.3 or 2.4, follow the IDRS instructions in IRMs 2.3 or 2.4.

  3. The Taxpayer Information File (TIF) provides tax account information for taxpayers selected for IDRS.

  4. The TIF is divided into four subgroups.

    • The Refund portion will contain information on Individual Refunds issued within one year.

    • The Individual Taxpayer Information File (ITIF) will contain data from the IMF.

    • The Business Taxpayer Information File (BTIF) will contain data from the BMF and Exempt Organization (EO) cases not on the BMF.

    • The ZTIF will contain data from the Individual Retirement Account File (IRAF), the Employee Pension Master file (EPMF) and Non-Master File (NMF).

Integrated Data Retrieval System (IDRS) Office Identifiers

  1. For IDRS purposes, each Internal Revenue Service Campus (IRSC) has a unique Office Identifier assigned. These numbers do not replace the two-digit File Location Codes (FLCs) in the DLN.

  2. The Office Identifiers assigned are as follows:

    IRSC Office Identifier
    Brookhaven (BIRSC) 01
    Cincinnati (CIRSC) 02
    Memphis (MIRSC) 03
    Ogden (OIRSC) 04
    Philadelphia (PIRSC) 05
    Austin (AUIRSC) 06
    Atlanta (ATIRSC) 07
    Andover (ANIRSC) 08
    Kansas City (KCIRSC) 09
    Fresno (FIRSC) 10
  3. The Office Identifiers display as the first two digits in the IDRS number.

IDRS Research Command Codes

  1. When a "Taxpayer Identification Number (TIN)" is not provided on a return or on correspondence, complete research using CCs NAMEI, NAMES, NAMEE or NAMEB.

  2. Entity research usually begins with CC INOLET and/or CC ENMOD. If the taxpayer TIN account is posted to both the valid and invalid segments of IMF, account information will display on both sides of IMF (valid and invalid).
    If the taxpayer account is only established on the valid side, CC INOLES will display.

  3. CC INOLEX will appear when CC INOLES or INOLET is input and the taxpayer's account has not been established on IMF. The information displayed will contain the DM-1 name controls, DOB, etc.

  4. There are several systems available using IDRS and include the following command codes:

    System Command Codes
    Taxpayer Information File (TIF) ENMOD
    Overlay CC ENMOD with CC ENREQ to generate the CC INCHG input screen.
    Overlay CC ENMOD with CC ENREQ with "R" definer to generate the CC IRCHG input screen.
    Name Search Facility (NSF) CCs NAMES, NAMEI, NAMEE and NAMEB, FINDS, FINDE, TPIIP
    National Account Profile (NAP)* CC INOLE

    Note:

    *The NAP contains files from multiple sources. If necessary, see IRM 3.13.5.15 for additional information.

  5. There are many IMF CCs available to access these systems. These CCs include but are not limited to the following:

    1. ESTAB is used to request documents and microfilm

    2. MESSG lists all the current Correspondex transmittal numbers. It also lists whether a file or whether a CC is unavailable and lists the team phone numbers

    3. TXMOD

    4. ACTON

    5. TXDLN

    6. SUMRY

    7. MFREQ or RECON (Care must be taken when using these two CCs because they will temporarily stop the posting of transaction codes)

    8. TMSSN

    9. REINF

    10. IRPTR

    11. RTVUE

    12. IMFOL

    13. TRDBV

    14. TERUP

    15. NUMIDENT transcripts are ordered through IDRS using CC MFTRA with Request Type "U" ". However, it takes approximately three days to generate and receive the transcripts from the campus print room. If employees have access to CONTROL D WebAccess (CTDWA), the NUMIDENT transcripts are available in approximately one day. Requests printed using CONTROL D can also be converted to a PDF file and may be forwarded to any employee working the case. See IRM 3.13.5.93 for additional information.

      Exception:

      Do not provide the NUMIDENT transcript to the taxpayer or their authorized representative. This is an internal use document.

    Reminder:

    If the account is not on your local database, check through universal IDRS CCs to make a note of any controls or actions being taken on the remote database.

CC ENMOD

  1. CC ENMOD provides name, address and other entity information using the taxpayer's TIN.

  2. This CC is designed to provide name, address and other entity information from an input of the taxpayer identification number (TIN). It serves as a preceding step for keying the following command codes:

    • ENREQ

    • EOCHG

    • EOREQ

    • BNCHG

    • INCHG

    • ESIGND

    • ESIGNT

    • ESIGNU

  3. Use CC ENMOD as the initial step for keying CCs ENREQ or ENREQ with definer "R" .
    CC ENREQ is the preliminary step for requesting the format for CCs INCHG and BNCHG.
    CC ENREQ with definer "R" is the preliminary step for requesting the format for CCs IRCHG and BRCHG.

  4. There may also be a variance in display for each type of entity modules. These displays are:

    • IMF—Individual Master File

    • BMF—Business Master File

    • NMF—Non Master File

    • IRAF—Individual Retirement Account File

    • EPMF—Employee Plan Master File

  5. CC ENMOD displays ID Theft Indicator which are shown on Line 10 Items 3 and 4 of the Command Code.

    Note:

    These ID theft indicators will only display when applicable to the taxpayer's account.


    Item 3 will display ID theft indicators Action Codes (ACs) 50X (AC 501, AC 504, AC 505, or AC 506)

    • 00 = No ID Theft based on TC 971 Action Code 50X

    • 01 = AC 501

    • 02 = AC 504

    • 03 = AC 501 and 504

    • 04 = AC 505

    • 05 = AC 501 and 505

    • 06 = AC 504 and 505

    • 07 = AC 501 and 504 and 505

    • 08 = AC 506

    • 09 = AC 501 and 506

    • 10 = AC 504 and 506

    • 11 = AC 501 and 504 and 506

    • 12 = AC 505 and 506

    • 13 = AC 501 and 505 and 506

    • 14 = AC 504 and 504 and 506

    • 15 = AC 501 and 504 and 505 and 506

    Item 4 will display ID theft indicator 52Xs (AC 522, 223, 524 and 525)

    • 00 = No ID Theft based on TC 971 Action Code 52X

    • 01 = AC 522

    • 02 = AC 523

    • 03 = AC 522 and 523

    • 04 = AC 524

    • 05 = AC 522 and 524

    • 06 = AC 523 and 524

    • 07 = AC 522 and 523 and 524

    • 08 = AC 525

    • 09 = AC 522 and 525

    • 10 = AC 523 and 525

    • 11 = AC 522 and 523 and 525

    • 12 = AC 524 and 525

    • 13 = AC 522 and 524 and 525

    • 14 = AC 523 and 524 and 526

    • 15 = AC 522 and 523 and 524 and 525

  6. A brief description of the different kinds of entity modules follows:

    1. Full Entity Module: An account for which at least one tax module is present on the TIF or an account was established within the last 15 months.

    2. MEMO ENTITY MODULE (IMF, BMF/EPMF): A dummy entity module present due to CC ACTON, CC ENREQ, or other activity.

    3. ERAS Entity Module (BMF, EPMF): A newly-assigned EIN account not yet posted to the Master File.

  7. The response to CC ENMOD is divided into six sections. These six sections appear in this following order:

    1. Section 1–Established Entity Data Section

    2. Section 2–Prior Year Name Lines Section

    3. Section 3–Posted Entity Transaction Section

    4. Section 4–Pending Entity Transaction Section

    5. Section 5–Entity Notice Section

    6. Section 6–Control and History Data Section

    Note:

    If one section is not applicable for the taxpayer's account, the subsequent section(s) will follow immediately after the last filled section(s).

  8. See IRM 2.3.15, Command Code ENMOD, and Document 6209, IRS Processing Codes and Information, if additional information is needed.

  9. Use CC ENREQ to request a BNCHG format for input of an entity change transaction. It must be preceded by CC ENMOD.

    1. ENREQ is designed to initiate BNCHG. CC ENREQ with a blank definer is keyed in after a response to ENMOD indicates the entity is on the file. Response to "ENREQ" is a generated BNCHG format for BMF.

    2. CC ENREQ with an "R" definer is keyed in after response to ENMOD indicates the entity is on the file. Response to "ENREQR" is a generated BRCHG format for BMF or EPMF accounts.

  10. The TIN will be validated with CC ENREQ and EOREQ. In order for a TC 000 to be input, a TC 000 intend indicator of 1 must be input with the command code ENREQ or EOREQ. If the TIN is not on the IMF when the indicator is input, it will allow the TC 000. If the TIN is known to be on the IMF and no TC 000 intend indicator is input, the appropriate transaction code (those other than TC 000) can be input.

  11. If a TC 000 intend indicator is input and the TIN is already on the MF, an error message "TIN EXISTS ON MF" will be generated.

    1. Compare the input TIN with the source document to determine if a transcription (typographical) error was made.

    2. If a typographical error has been made, correct the EIN and reinput the transaction. Be sure the TC 000 intend indicator is correct.

    3. If an error was not made, research using CC INOLE, NAMEB or NAMEE to ensure the EIN is for the taxpayer. If it is, it may be necessary to make an entity change. Re-input the transaction and change the TC 000 intend indicator to blank.

    4. If the input TIN is on the MF for a different taxpayer, assign a new EIN if the source document is other than correspondence. If the source document is correspondence, return it to the taxpayer with a Form SS-4 explaining the EIN has already been assigned to another taxpayer. Before we can process their correspondence we will need a valid EIN.

  12. The TE establishing the EIN needs to add to or change information, input CC ENREQ with an intend indicator 1 to access the dummy module. This will access CC BNCHG. Input the additional or correct information required and cycle delay as appropriate.

    Note:

    Complete research (including CC INOLE if necessary) must be done before performing any entity change. Any transaction that needs to be cycled or held for later input can now be cycled up to 6 cycles using a Posting Delay Code (PDC).

    Caution:

    Use of the PDC on a daily account with daily transactions may result in delaying the posting of the transactions that would resolve the account.

    Note:

    If the information that will print on the CP 575 needs to be changed, such as mailing address, primary name line, etc., use CC ESIGNT to remove the newly assigned number. Reassign an EIN to allow the CP 575 to be delivered with the correct information.

Pending Transaction Codes/IDRS Merge Related Transaction Codes

  1. The following table provides information on determining the applicable pending transaction codes (as shown on CC ENMOD):

    Pending TCs Displayed on CC ENMOD
    AP Adjustment Pending
    CU Corrected Unpostable
    DC Transactions deleted by Deleted Unpostables (re-controlled)
    DI IDRS transaction only. Will not post to the Master File
    DJ Deleted through normal weekly TIF update
    DN Any deleted pending transaction not I, J, or L
    Dnnn Any unpostable transaction which will not be re-input
    (nnn represents the Unpostable Code (UPC))
    DP Deleted Entity transaction
    DQ Deleted Quality reject
    DR Aged Reject Transaction. A transaction which is no longer on the Reject Master, but which is retained on the TIF for research.
    DU Deleted Unpostable. EIN
    DW Transaction deleted via optional weekend age routines
    EP Pending transaction awaiting Quality Review
    NU Nullified Unpostable. Valid SSN
    PN Pending Transaction
    RJ Reject Transaction
    RS Resequence Transaction
    TP Accelerated S.C. Subsequent Payment
    Unnn Unpostable
    (nnn represents the UPC)

Using CC INCHG Instead of CC IRCHG

  1. Typically name changes are made using CC INCHG when the taxpayer's account resides on the VALID segment of the IMF.

  2. If the taxpayer account resides on the invalid segment of IMF, the name change completed using CC INCHG must match the VALID Name Controls shown on CC INOLES or the following will apply (when applicable):

    1. their account will continue to reside on the invalid segment of IMF,

    2. their refund will not release until the taxpayer informs SSA of their name change or the taxpayer provides supporting documentation to the IRS to substantiate their identity, or;

    3. they may not receive certain credits, exemptions, etc.

  3. When a taxpayer name change is completed with CC INCHG, it is possible to complete a name change for:

    • a specific tax period

    • multiple tax periods (example 2014, 2016)

    • or change the taxpayer's name from the "controlling" tax period and all subsequent tax periods (example 2014 through last posted tax period).*

    Reminder:

    The controlling name line is shown on CC INOLES beside the field "TAXYR" and on CC ENMOD beside the field "YEAR-NM-LINE" .

    Exception:

    As of May 2012, ITIN name control procedures ONLY must be modified for CC INCHG.
    When any of the taxpayer's first four characters of their last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    Example ITIN only: Thomas El-Oaks is entered as ELOA.

  4. See IRM 3.13.5.90 for information regarding the name controls listed on CC INOLES.

  5. See IRM 3.13.5.12 for additional information on the quarterly updates if needed.

  6. See IRM 3.13.5.18, IMF Automated Establishment of Taxpayers, if the existing TC 000 for the S-SSN displays with a DLN of XX263-001-88888-X. This type of case requires correction with a TC 040 or TC 041 due to the establishment of the Secondary taxpayer's name by IMF.

Researching Using CC ENMOD to Initiate Entity Changes

  1. CC ENMOD is the initial research CC used in the ECU when a taxpayer's TIN is available.

  2. Use CC ENMOD/ENREQ to make an entity change to the Individual Master File account or to a dummy or abbreviated entity module. The response to CC ENREQ is a computer-generated CC INCHG format to enter the applicable information.

    Note:

    CC BNCHG is format for Business Master File (BMF), NMF and Employee Plan Master File (EPMF) accounts.

  3. CC ENMOD and CC ENREQ are the access CCs used for making IMF entity changes.

  4. Use CC ENREQ to receive CC INCHG as the IDRS screen response. See Figure 3.13.5-12.

    Figure 3.13.5-12

    This is an Image: 33759018.gif
     

    Please click here for the text description of the image.

  5. Use CC ENREQR to receive CC IRCHG as the IDRS screen response.

  6. Each On-Line Entity transaction input through IDRS generates a Transaction Record, Form 5147.

  7. The Form 5147 lists the taxpayer's entity data, DLN, TIN, tax period, date input, any cross-reference data, and the ID number of the employee responsible for the IDRS transaction. The record, once verified with the IDRS block list, is sent to Files.

  8. See IRM 2.4.9, Command Codes ENREQ, INCHG, IRCHG, BNCHG and BRCHG.

CC INOLE

  1. CC INOLE contains extensive IMF entity information for all taxpayers on the IMF, BMF, and EPMF. This CC contains Social Security data, ITIN N/C and any spouse cross reference data. CC INOLE is a research CC that displays different information based on the definer code used.

  2. This CC also provides access to the National Account Profile (NAP) and contains selected entity information for all IMF accounts. See IRM 2.3.47, Command Codes INOLE, EOGEN and SPARQ, for additional information.

  3. The definer code determines whether the input TIN is edited or not edited and whether a specific file source is needed.

  4. CC INOLE displays all the applicable Name Controls

    1. used by the taxpayer

    2. reported to SSA

    3. transcribed by the IRS

    4. used when taxpayer filed for ITIN

    CC INOLES displays the following fields (if applicable to the particular taxpayer) listing the taxpayer name controls.

    The literal "CURRENT IMF N/C" *

    Note:

    *Lists the Name Controls used by the taxpayer. These name controls may or may not be VALID.

    The literal "IRS VALID N/C"
    The literal "NEW SSA N/C"
    The literal "IMF N/C"
    The literal "SSA N/C"
    The literal "ITIN NC"
  5. The display will be limited to entity data from every Master File that matches the TIN input.

    Note:

    By using CC INOLE with a definer code "S," the "DOB" literal will address all TINs for the primary/secondary. Other TIN types will be determined by their association with their appropriate individual accounts.

  6. See IRM 2.3.47, Command Codes INOLE, EOGEN and SPARQ, for additional information.

Command Codes for Electronically Filed (e-File) and Paper Returns

  1. Electronically filed returns are processed at the Andover, Austin, Cincinnati and Ogden campuses.

  2. The Tax Return Data Base (TRDB) is a relational data base that stores all available IMF e-File information for tax years 1998 and after. The applicable business filing information is available depending if the business tax form was available.

  3. Use CC TRDBV from IDRS to gain read-only access to the tax return data. These forms can be viewed using a web browser to access through the Employee User Portal (EUP). CC TRDBV will continue to receive ELF 1040 tax returns not filled through MeF.

  4. ELF Returns such as a Form 1040, Form 1040A and Form 1040EZ series returns will be able to be filed electronically in XML format through Modernized e-File (MeF).

  5. Use CC TRERS for Error Resolution System (ERS) processing. This command code will retrieve the return from TRDB based on the DLN associated with the (GTREC) command code.

  6. Use CC TRPRT to request a print image of the tax return.

  7. More detailed information is available in IRM 2.3.73, IDRS Terminal Response for CCs TRDBV, TRERS, TRPRT and R8453.

CC FIEMP

  1. CC FIEMP (Find Employee) enables IDRS users to identify and contact case control owners by researching the 10-digit IDRS employee number.

  2. CC FIEMP displays the following information:

    1. Case control owners name

    2. SEID (Standard Employee Identifier)

    3. Employee phone number or their manager's phone number

    4. Employee is currently active on IDRS

  3. If the FIEMP screen does not show the phone number of the employee or manager, the inputting user may use the case owners name or SEID identifier to search the Discovery Directory on the IRS Intranet or the E-mail system to obtain a valid phone number.

  4. To obtain information on the case owner, the user must enter the command code FIEMP along with the case owners ten-digit IDRS employee number, and press the transmit key. See IRM 2.3.9, Security Command Codes for IDRS Users.

  5. Users must only use CC FIEMP searches to research work related activities only.

    Note:

    Information on the names and phone numbers of IRS employees is for internal IRS use only and cannot be released to taxpayers.

NUMIDENT File (Requesting Social Security Administration (SSA) Taxpayer Application Information)

  1. NUMIDENT transcripts are ordered through IDRS using CC MFTRA with Request Type "U" However, it takes approximately three days to generate and receive the transcripts from the campus print room. If employees have access to CONTROL D WebAccess (CTDWA), the NUMIDENT transcripts are available in approximately one day. Requests printed using CONTROL D can also be converted to a PDF file and may be forwarded to any employee working the case. See IRM 1.4.16, Accounts Management Guide for Managers, for additional information. IRM 1.4.16 contains information on viewing and/or printing reports. See IRM 2.3.32, Command Code MFTRA, for additional information.

  2. CC MFTRA U provides SSA's NUMIDENT File (Name Identification File) and contains entity information from SSA records on all taxpayers who received an SSN from the SSA.

    Caution:

    DO NOT provide a copy of the SSA transcript to the taxpayer. This transcript used for internal use only.

  3. The information received will display:

    • Type of TIN record on file

    • Month, Day and Year the application or correction was recorded on the SSA file

    • Disability Status indicator

    • Name on the TIN card used in work or business

    • Name on the most recently assigned TIN card

    • Name at birth or other name(s) used, (prioritized in order)

    • Any additional names

    • Citizenship

    • Gender

    • Date of Birth

    • Place of Birth

    • Prior Date of Birth

    • Mother's Maiden Name

    • Father's Name

  4. See Figure 3.13.5-13 that represents an example of the information received due to the CC NUMIDENT request.

    Figure 3.13.5-13

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    Please click here for the text description of the image.

CC MESSG

  1. CC MESSG is used to request daily miscellaneous information.

  2. Specifically CC MESSG provides the following information:

    • Current Correspondex Transmittal numbers in use

    • Unavailability of files or CCs

    • Team phone numbers

    • Number of returns processed and the amount of refunds issued

    • Number of notices mailed

CCs DTVUE and DM1DT

  1. Command Code DTVUE displays the Date of Birth (DOB) and Date of Death (DOD) (if applicable) information from the DM–1 file. DM–1 records may contain a DOB previously input through CC DM1DT or the information received from the SSA weekly update. Whenever a DOB is present (whether it was received through CC DM1DT or from the SSA), it is the date utilized for all processing decisions.

  2. Command Code DM1DT creates an update record applied to the DM–1 during weekly processing.

  3. CC DM1DT is able to add, change or delete an IRS entered DOB/DOD or a SSA provided DOB/DOD.

  4. The Lead or immediate supervisor's approval is required before using these Command Codes to change a taxpayer's DOB or DOD.

    Note:

    ORIGINAL DOCUMENTATION or contact through TAS is required before changing a taxpayer's DOB using these Command Codes.

    Note:

    If the error was made due to an erroneous DOB, TAS will authenticate the taxpayer prior to sending the case to the ECU on a Form 12412 for correction of the erroneous DOB.

  5. The IRS must receive a letter/notice from SSA showing an error was made and the taxpayer is not deceased.

    Reminder:

    If the Taxpayer Advocate Service (TAS) function is involved in erroneous DOD cases, they must attach the SSA letter/notice to the Form 12412 to communicate the taxpayer is NOT deceased.

  6. See IRM 2.3.25, Command Codes DM1DT and DTVUE, for additional information if necessary.

CC RTVUE/BRTVU

  1. CC RTVUE provides access to the line items transcribed from the original Form 1040, Form 1040A, and Form 1040EZ and their accompanying schedules.

  2. The data on CC RTVUE is transcribed from the original return/schedule.

  3. The data displayed with this CC cannot be changed, nor reflect any subsequent adjustment, amendment, or duplicate returns.

  4. CC BRTVU provides access to computer-generated data and/or the individual line items transcribed from BMF forms.

Command Codes Used for Researching EINs

  1. The following displays IDRS CCs are useful for processing and updating EINs.

    Command Codes Content
    1. CC ENMOD
    and taxpayer's EIN or SSN.
    a. See IRM 3.13.5.23.3.12 and IRM 2.3.15, Command Code ENMOD, for additional information.
    2. CC INOLE a. Allows access to the National Entity data file. The most common definer codes used in Entity when utilizing CC INOLE are as follows:
    Definer Codes
    G - used when the TIN type is not known.
    Type the TIN with or without hyphens.
    S - used to access a specific Master File
    T - used to determine if the TIN resides on more than one Master File

    X - used to display cross reference data
    P - used to research the Employer Plan Master File (EPMF) data
    b. See IRM 2.3.47, Command Codes INOLE, EOGEN and SPARQ, for additional information on CC INOLE.
    3. CC NAMEE/NAMEB and NAMES/NAMEI a. Accesses the Name Search Facility (NSF) for a "broad" search displaying business taxpayer names that have spelling, phonetic or nickname similarities.
    b. See IRM 2.3.60, Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE and TPIIP.
    4. CC FINDE/FINDS
    a. See IRM 2.3.60, Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE and TPIIP.
    5. CC ESIGN
    a. See IRM 2.4.8, Command Codes ESIGN and BSIGN.
    7. CC BMFOL/BMFOR See IRM 2.3.59, Command Codes BMFOL and BMFOR.

Use CC MFREQ D to Completed Address Changes during IMF Cycles 01-03

  1. If an address change is necessary during IMF cycles 01-03, a work-around is necessary. Use the following procedures:

    1. Use the taxpayer's TIN and CC FINDSD or FINDSI.

    2. Input CC ENMOD.

    3. Use CC MFREQD with the SSN and enter.

    4. Overlay CC ENMOD with CC ENREQ to generate the CC INCHG input screen.

    5. Complete the taxpayer's address change.

    6. If needed, use the appropriate cycle delay code to ensure the address change will post on cycle 4.

  2. If necessary, see IRM 2.3.10, Command Codes MFREQ and RECON, for additional information. See Figure 3.13.5-14.

    Figure 3.13.5-14

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    Please click here for the text description of the image.

Overview Corporate Files On-Line (CFOL) Command Codes

  1. Corporate Files On-Line (CFOL) provides on-line access to information processed through any Area Office/Campus and posted to any of the Master Files.

  2. CFOL CCs are typically available even if IDRS is not available.

  3. CFOL CCs will contain an indicator on the screen to identify whether the account is a Daily account or a Weekly account.

  4. All Individual taxpayers account transactions being processed weekly by IMF (on Thursday) with new cycle definitions and accelerated refund and notice issuance will display on these CCs.

  5. Any CFOL command code with the definer code "H" will display the "help" screen for specific CC.

  6. Definer code "T" provides a topical list for each CFOL command code to determine which command code to use.

  7. Definer code "C" lists all CFOL command codes available and the correct input format for each.

  8. CC IMFOL provides read-only access to the IMF. IMFOL provides expanded research capability when routine IDRS research such as CC TXMOD displays no data. CC IMFOL also provides on-line research to the IMF retention register. See IRM 2.3.51, Command Code IMFOL, for additional information.

    Note:

    CC IMFOL does not show pending transactions, most resequencing transactions, IDRS control bases, history items, or unpostables.

  9. CC ICFOL is used as a bulletin board to relay information about CFOL activities quickly. ICFOL users will provide current news on program updates, screen format changes, and upcoming changes.

  10. See IRM 2.3.68,Command Code DMFOL, for information on the individual obligations owed to other government agencies (non-IRS).

  11. See IRM 2.3.53, Command Code PMFOL, for information on the full transcript data on-line for the Form 1096 filed.

CC IMFOL

  1. This command code provides "read-only" access to nationwide transactions posted to the Master File. These command codes allow expanded research capability when other IDRS research (e.g., CC SUMRY or CC TXMOD) result in "NO DATA" or a default to "REINF."

    Note:

    CC IMFOL displays certain transactions earlier than the transaction information shown on CC INOLE.

  2. The IMF/BMF transcript information displays in a format, which cannot be updated or changed.

    Note:

    CC IMFOL does not show pending transactions, most resequencing transactions, IDRS control bases, history items, or unpostables.

  3. CC IMFOL can be utilized when IDRS command codes such as SUMRY and TXMOD are inactive. CC IMFOL has the following definers available:

    Format Description
    IMFOLAnnn-nn-nnnnvnnyymm Adjustment transactions for specific tax module
    IMFOLCnnn-nnnnnnnnn Researches using the refund check number
    Displays CC IMFOLT if matching information is located
    IMFOLEnnn-nn-nnnnv Displays posted Entity information
    IMFOLInnn-nn-nnnnv Displays an index of all tax modules for the requested SSN
    IMFOLPnnn-nn-nnnnyyyymm yyyymm Displays payment transactions within a specified date range
    IMFOLRnnn-nn-nnnnvnnyyyymm Displays the posted return for the specified tax module
    IMFOLTnnn-nn-nnnnvyyyymm Displays various module amounts and dates along with a list of posted transactions for specified tax module
    IMFOLVnnn-nn-nnnnv Displays retention register information
    IMFOL#nnn-nn-nnnn nnyyyymm Displays paper refund information
    IMFOLBTnnn-nn-nnnnvnnyyyymm Displays the same data as IMFOLT, with the bank account information
    IMFOLRnnn-nn-nnnnvyyyymm yyyy Displays retention tax modules

    Note:

    The table above contains variables depending on the taxpayer situation:
    v=variable characters due to file source
    File Sources
    --If blank Valid SSN
    --If *(asterisk) Invalid SSN
    n=numeric, y=year, d=day, m=month

CC BMFOL

  1. CC BMFOL furnishes access to the Business Master File. Fields available include basic identifying information, amounts, dates, codes, indicators, and freezes. Transaction postings, status history, audit history, vestigial data, federal tax deposit, exempt organization, and combined annual wage reporting data are also available. Additionally, for any specified account, a tax module summary and last period satisfied information can be requested.

  2. The Business Master file on-line system provides read-only access to accounts on the Business Master File (BMF). All entities, master file tax modules and the most recent eleven years of retention data are in an on-line status.

  3. CC BMFOR provides access to the BMF retention tax modules from accounts merged to a new Taxpayer Identification Number (TIN) after the tax module had been dropped to retention. BMFOR executes the same programs as BMFOL and provides the same screen responses as BMFOL.

    Note:

    Abbreviated requests are not allowed for BMFOR input.

  4. CC BMFOR has the same input format as BMFOL but displays the tax module screens only. Valid definer codes are as follows:

    • A for Adjustment

    • R for Posted Return

    • S for Status History

    • T for Tax Module

    Note:

    Entity information, such as Name Control, Cycle, Potentially Dangerous Taxpayer (PDT), or Caution Upon Contact (CAU) Indicators, Criminal Investigation Division (CID) Indicator and Filing Requirements are not displayed for these modules. See IRM 25.4.1, Potentially Dangerous Taxpayer, and IRM 25.4.2, Caution Upon Contact Taxpayer, for additional information.

  5. "Abbreviated" BMFOL formats allow users to omit input fields if users want to view a different tax period for the same TIN and MFT or view status information immediately.

    1. CC BMFOL input with a "tax type" definer, an MFT, a tax period and plan number will result in the display of data for the same TIN and display file source.

    2. CC BMFOL input with an "entity type" definer and a TIN will result in the display of other data for the same display file source.

    3. CC BMFOL input with an "entity type" definer will result in the display of data for the same TIN and display file source.

  6. See IRM 2.3.59, Command Codes BMFOL and BMFOR, for additional information .

Command Codes Using the Name Search Facility (NSF)

  1. Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE and TPIIP use the Name Search Facility (NSF) and allow users to query the national entity file for taxpayer address information.

  2. The search response time for CC NAME was recently improved. The more specific details are entered, the more refined and fewer search results that will display.

    Note:

    The entering of a taxpayer's address or partial address (beginning from the left of the address) will significantly reduce the number of CC NAME search results.
    Helpful Hint: If a taxpayer's surname is a common last name (e.g., Smith, Brown, Chan, Garcia, etc.,), use the DOB, ZIP Code or state to refine the search when using CC NAMES/NAMEE. See the following table:

    If... Then CC NAMES will...
    ZIP Code is entered Disregard the City and State (faster)
    City is entered Disregard the State
    Address or Partial Address is entered Further refine its search
    taxpayers name is entered Only search for matches in your campuses jurisdiction
    taxpayers name and "**" is entered in the state code field Perform a national search

    Note:

    A national search replaced the campus-jurisdiction search if the IDRS user DOES NOT use a state code, international taxpayer country or ZIP Code when using the command codes.

  3. The NSF database is kept current with real-time updates and with daily and weekly updates.

  4. A "foreign" (non-United States) address search has been added. Select this option by entering two asterisks "**" in the "International Taxpayer Country" field.

  5. The NSF contains:

    • Full taxpayer(s) name (as it was filed on the return)

    • Most current address available for each taxpayer

    • Most recent prior address used by the taxpayer

  6. NSF's response screen displays:

    • Taxpayer name

    • Primary or secondary filer TIN

    • Primary or secondary TIN type

    • Year of taxpayer name

    • Primary or secondary taxpayer date of birth. When the date of birth is requested, the date is retrieved from the National Account Profile (NAP).

    • Filer indicator

    • Taxpayer address, city, state, and ZIP Code

    • Master File source

  7. If you enter all the taxpayer information available for your searches, the command code response screens will contain the "closest matches" and therefore fewer IDRS pages. If the display exceeds 99 pages, the user may request a hardcopy listing using CCs NAMES/NAMEE with a definer of "X" .

  8. CC NAMES does not perform character-by-character comparisons of the name as other systems do. The standardization package drops items such as Mr. Ms. Jr., MD, etc., from its search.

    Note:

    An error message generates (in some submission sites) if CC NAMES is used without entering information in the state and ZIP Code fields.
    The error message display, "Campus Search not available for this campus" .
    However if you reenter the request (including the state and ZIP Code fields), you will receive the matching records.

  9. See IRM 2.3.60, Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE and TPIIP, if additional information is needed.

CCs NAMES and NAMEE

  1. CC NAMES can be used to locate IMF taxpayers (both Primary and Secondary filers), if applicable. Beginning in 2013, CC NAMES can be used to complete a "fuzzy" search using the taxpayer's TIN.

  2. CC NAMEE must be used when researching for EINs.

  3. The most efficient search is received when the name and ZIP Code fields are entered. The full (5-digit) or partial (3-digit) ZIP Code may be used. A valid ZIP Code entry (do not use all zeros) must be entered. The city name or MCC and state code are not used when the taxpayer name and ZIP Code are entered. See Figure 15 for information using CC NAMES.

    Figure 3.13.5-15

    This is an Image: 33759850.gif
     

    Please click here for the text description of the image.

CCs NAMEI/NAMEB

  1. CCs NAMEI/NAMEB search the NSF data base using the first 10 characters of the last name (required) and the first 10 characters or the initial of the first name (if entered).

    1. For the CC NAMEI input, the length of the last name is limited to 10 characters, and the length of the first name is limited to 10 characters.

    2. For CC NAMEB, the length of the last name is limited to 15 characters, and the length of the first name is limited to 10 characters. When a plus (+) is used in the first initial field of a NAMEB search, the search is done on up to 15 characters of the last name. If the entire last name consists of less than 15 characters, it is not necessary to key in trailing blanks.

    3. CC NAMEI and NAMEIX will display the taxpayer's DOB information (if available).

  2. CCs NAMEI/NAMEB do not use a formatted input screen. Input fields follow the command code name on the top line of the screen. They are variable in length and, when present, must be separated by a comma.

  3. CCs NAMEI/NAMEB use either the first three digits of the ZIP Code or the full five digits of the ZIP Code or a ZIP Sectional range.

  4. CCs NAMEI/NAMEB use the first six characters from the street address or PO Box number.

    1. Input should begin with the actual number; the literal, "PO Box" , should not be entered.

    2. The street address may contain up to 26 characters, but only the first six characters will be used in the search.

  5. A CC NAMEI/NAMEB request is honored with a minimum input of the first 10 characters of the last name.

  6. CC NAMEI uses the NSF data base to search based on the CC definer used. The CC definers are as follows:

    1. I - Only IMF records are displayed.

    2. B - Only BMF records are displayed.

    3. N - Only NMF records are displayed.

    4. Q - Only Invalid SSN records are displayed.

    5. X - A hardcopy listing is desired.

  7. If the display exceeds 99 pages, the user may request a hardcopy listing, using CC NAMEI/B with a definer of "X" .

  8. See IRM 2.3.60, Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE and TPIIP, if additional information is needed.

  9. See Figure 3.13.5-16 for examples of input request using CC NAMEI.

    Figure 3.13.5-16

    This is an Image: 33759089.gif
     

    Please click here for the text description of the image.

CC FINDSD/FINDEI

  1. CC FINDS searches the NSF data base using the primary or secondary taxpayer's SSN/ITIN/IRSN using either of the following definers:

    1. D - Displays IMF Domestic names and addresses.

    2. I - Displays IMF International names and addresses.

    Note:

    These CCs are effective for searching for Undeliverable mail, reviewing an account for LKA or processing Form 8822s.

  2. CC FINDE searches the NSF data base using the taxpayer's EIN and requires either of the following definers:

    1. D - Only BMF Domestic names and addresses are displayed.

    2. I - Only BMF International names and addresses are displayed.

  3. CCs FINDS and FINDE require input of the command code, the definer, and the 9-digit TIN (with no hyphens), including leading zeros, if present. The most current taxpayer information will display first and includes any subsequent names/addresses displaying in descending order.

    Note:

    If the definer I or D is not entered, an error message is received.
    The domestic or international addresses/names for the appropriate TIN/EIN will display in cycle/year order.

  4. CCs FINDS/FINDE do not the option of receiving a hard copy of the NSF records.

  5. See IRM 2.3.60, Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE and TPIIP, for additional information.

Master File Freeze Codes

  1. Master File uses alpha codes to identify specific taxpayer module conditions generated systemically or input manually. The term freeze codes can be misleading since not all alpha codes indicate the taxpayer's account or module is frozen.

  2. Various IDRS conditions affect the status of a module. There are three main types of freeze code conditions that:

    1. Freeze refunds and prevent offsets in or out of the module but do not stop balance due notices

    2. Freeze the IDRS balance due notices, refunds, offsets and Tax Delinquent Account (TDA) issues

    3. Some freeze codes display to indicate certain conditions occurring on the taxpayer's account (but do not freeze the account)

  3. Up to eight freeze codes can display for a taxpayers account. Master File refers to the freeze codes as either:

    • Left position freeze code such as M--, or;

    • Right position freeze code such as --R

  4. See IRM 21.5.6,Freeze Codes, and Document 6209, IRS Processing Codes and Information, if additional information regarding freeze codes is needed.

  5. If any concerns arise, see your lead before completing the name or address change. Before routing cases to another area, notate the type of freeze code on the routing slip to expedite specialized issues.

    Note:

    Since typical address and/or name change transactions do not release the majority of the freeze conditions see Document 6209, IRS Processing Codes and Information, before completing Entity corrections if you are unfamiliar with the freeze code condition.

    Freeze Codes that Require Routing Action
    -B Statues of Limitations Expiration Route original returns only to Statute Unit unless there is a "cleared by Statutes Unit" stamp or a TC 150 has posted
    S- Undelivered Refund Check
    If address change, route to AM Refund Inquiry function
    Z- Route to Fraud Detection Center (FDC)
    -Z Route to FDC

Filing Status Codes (FSCs)

  1. Filing Status Codes identify the taxpayer's marital and family situations. It is used to determine whether the standard deduction or the itemized deduction amount should be allowed. See the following table to identify IMF domestic filer(s) FSCs:

    Filing Status Codes (FSCs) Filing Status Descriptions
    0 Single, Filing Declaration of Estimated Income Tax (TC 430)
    1 Single Taxpayer
    2 Married Taxpayer Filing Joint Return
    3 Married Taxpayer Filing A Separate Return (Spouse Exemption is NOT claimed)
    4 Head of Household (Claiming Dependent)
    5 Widow(er) with Dependent Child(ren)
    6 Married Taxpayer Filing a Separate Return (Spouse is not required to file a return)
    7* Married filing a joint declaration of estimated tax (at IMF)
    *IMF converts FSC 7 to FSC 4.

    Note:

    The FSCs reflect their filing status for a specific tax year and may change depending on the filing situation. When required to input filing status, input the FSC from IDRS.

  2. When establishing an IMF account, use the following:

    1. For Form 1040 and Form 1040A, input the FSC indicated on the return.

    2. For Form 1040EZ, input FSC 1 if one name appears in the caption and use FSC 2 if two names appear in the caption.

    3. For Form 1040NR and Form 1040NR-EZ, input FSC 1.


    If FSC is required and unable to determine the filing status, input FSC 1.

  3. Using CCs INOLET and INOLES will display the most current posted FSC.

  4. The following Entity Transaction Codes require the input of the taxpayer's FSC and the Year Digits:

    1. TC 000–Add taxpayer Account

    2. TC 013–Name Line Change for Domestic Filer
      TC 013--Address Change Foreign Filer

    3. TC 016–Miscellaneous Entity Changes

    4. TC 017--Changing Spouse's SSN

    5. TC 030–Update Location Codes (Out of Campus)

    6. TC 040–Transactions on Valid Segment

    7. TC 041–Transactions on Invalid Segment

      Note:

      Do not change the taxpayer's FSC, instead retain the FSC on their account.

Posting Delay Codes (PDCs)

  1. Daily transactions directed to a daily account are expected to post daily. Transactions will be viewable using CFOL CCs the second day after campus input. Transactions will be viewable on IDRS command codes the third day after campus input.

  2. Weekly transactions directed to a daily account are expected to post with the weekly processing run on Thursday and may result in the daily account type changing to Weekly.

  3. Daily and Weekly transactions directed to a Weekly account are expected to post with the weekly processing on Thursday.

  4. For situations in (2) and (3), transactions will be viewable using CFOL command codes on the Saturday following the Thursday processing run.
    Transactions will be viewable on IDRS command codes on Monday following the Thursday processing run.

  5. The following is CADE 2 processing cycles:

    • Campus Cycle-Thursday through Wednesday

    • Master File processing- Friday through Thursday

    • Notice Review processing-Saturday through Monday (8+ days)

    • Unpostables processing- New receipts on Tuesday
      .Closing Unpostable processing on Tuesday)

  6. Use of the Posting Delay Code (PDC) on transactions will result in the transaction being held until the weekly processing on Thursday. When the transaction is processed on Thursday and the PDC contains a value other than zero, the transaction will continue to resequence for the number of cycles equal to the value.

    Example:

    A transaction input with a PDC of 1 will be processed on Thursday and will resequence until the following weekly processing day (the following Thursday).

  7. Transactions may be delayed from one (1) to six (6) cycles. This is an optional code and delays transaction(s) posting to Master File (determined by the number of cycles selected). CFOL CCs displays Daily and Weekly indicators on the account.

  8. When multiple transactions are required to adjust an account and some transactions must post in later cycles, PDCs will adjust the transaction to the correct transaction cycles.

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

    Note:

    Entering PDCs are not required or mandatory in every instance. However, if PDCs are used, transactions corrections may be entered in the same IDRS session.

    Caution:

    Use of a PDC on a daily account with daily transactions may delay transactions necessary to resolve the account.

  9. Generally transactions will post to IMF in numeric order (from lowest to highest) except for the following:

    • TC 011 will always post last to the entity portion of IMF and will accurately resequence to the next cycle.

      Caution:

      Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

    • If a TC 610 and TC 150 attempt to post in the same cycle, the TC 150 will not be allowed to repeat.

  10. Posting delay capability is allowed using CC INCHG (Doc Code 63).

  11. All Doc Codes 47 (Exam) and most Doc Codes 54 Adjustment transactions require the original document to post before subsequent transaction can be posted.

  12. Doc Codes 24, 48 and dual debit (Doc Codes 34) may require a PDC. Credit transfers are not typically completed within the Entity function.

    Note:

    Transactions related to credit transfers must be sent to Accounts Management (unless local agreements are applicable at your campus).

  13. Reversal Transaction Codes require the original transaction to be present before completing the reversal.

    Note:

    When entering PDCs, consider the day of the week of input. If the transaction is being input at the end of the weekly posting cycle, an additional cycle may be necessary.

  14. Cycle transactions will be retained on the Resequence Transactions record according to the required staggered sequence of the transactions. These types of transactions are identified on IDRS as "RS" meaning resequencing.

    Reminder:

    TC 011, TC 013, TC 040, and TC 041 will resequence/RS at IMF two additional cycles.
    During cycles 48 through 04, TC 011, TC 013, TC 040 and TC 041 can be input. However, the posting of the transactions will not occur until after cycle 04 or later.

    Caution:

    Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

  15. Use the following table for general rules when the inputting of PDCs is necessary:

    If the prerequisite Transaction Code (TC)... Then...
    Is a LARGER TC Cycle the TC
    Is needed to set or release a freeze Cycle the TC
    Is needed to set, change or remove an indicator Cycle the TC
    Is needed to change a status, filing requirement or balance amount Cycle the TC
    Will post FIRST DO NOT cycle the TC (no PDC is necessary)
  16. Posting to IMF of these transactions are deferred until the posting cycles have passed.

  17. When CC ENMOD displays a recent transaction in EP or PN status was entered or is posting in the current cycle, entering a PDC may avoid unpostable conditions. See Document 6209, IRS Processing Codes and Information, for additional information.

  18. See IRM 3.13.5.87.1 for additional information.

Cycling of Resequencing Transaction Codes (TCs)

  1. Sometimes, input transactions or unpostable corrections are cycled to post/release on different cycles.

  2. Generally transactions post to the Master File in numeric order except the following:

    • On IMF, TC 011 will always post last to the entity portion and will be accurately resequenced to the next cycle.

      Caution:

      Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

    • On BMF, the TC 150 will always post last to allow the tax module to settle properly

    • If TC 610, TC 670, TC 590 and TC 150 are all attempting to post in the same cycle, they will post at Master File in the following order:
      TC 590, TC 610, TC 670 and TC 150.

  3. Master File automatically resequences certain transaction codes. These are identified on IDRS as "RS."

  4. If a TC 610 and TC 150 attempt to post in the same cycle, IMF will automatically prevent the TC 150 from repeating.

CC IRCHG (IRS Valid Processing) Generates a TC 016

  1. Use CC IRCHG for Name Control corrections/updates when the taxpayer/representative provides supporting legal documentation or the account is invalid due to an IRS error.

  2. See IRM 3.13.5.18, IMF Automated Establishment of Taxpayers, if the existing TC 000, TC 013, TC 014, or TC 971 with Action Code 050; for the S-SSN displays with a DLN of XX263-001-88888-X. These cases require secondary taxpayer account corrections using a TC 040 or TC 041. If necessary, see IRM 3.13.5.125 and IRM 3.13.5.126.

  3. When the taxpayer does not provide any supporting documentation or an adequate explanation, correct the account using CC INCHG (TC 013).

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

  4. Occasionally the taxpayer information posted on the INVALID segment of IMF is correct. However their account resides on the INVALID segment of IMF. Examples of these situations include the following:

    • Taxpayer married but failed to update their files with SSA (taxpayer’s maiden name reported to SSA but their married name was not updated with SSA).

    • Taxpayer updated their name with SSA (SSA record was received after the DM-1 quarterly merge and consequently remains on the invalid segment until the quarterly merge).

    • Taxpayer used a ITIN name control and it does not match the original ITIN name control.

    • Taxpayer has dual last names but the name used does not match the any of the valid name controls on the account.

  5. Examples of legal documentation include:

    1. ITIN CP Notices

    2. Copy of the marriage certificate or court document(s) showing a legal name change

    3. Copy of SSA letter/notice explaining discrepancies

  6. Using CC IRCHG will change an invalid account to an IRS valid account and allows the taxpayer to use this name when filing. It also adds additional valid name controls to the NAP.

    Caution:

    This action releases any overpayment/refund due the taxpayer.
    The IRS does not advocate that taxpayers cease notifying SSA when name change(s) occur. However, the IRS cannot enforce or require taxpayers contact SSA.

Inputting a CC IRCHG

  1. For IRS to validate a taxpayer account, input must be made to the invalid segment of IMF.

  2. To validate the name of a taxpayer on Master File input CC ENMOD, overlay with CC ENREQR to bring up CC IRCHG.

  3. CC IRCHG requires a "Justification Indicator" and remarks.
    See Figure 3.13.5-17.

  4. The Justification indicator is visible in the Entity portion of the IMF.

    1. When the Justification indicator of "1" is present, the account is treated as valid.

    2. Justification indicator of "2" will reverse the account to invalid.

  5. CC IRCHG generates a TC 016 transaction code.

  6. The taxpayer account is subject to DM–1 quarterly updating.

    Figure 3.13.5-17

    This is an Image: 33759092.gif
     

    Please click here for the text description of the image.

  7. If a taxpayer name change is needed due to a typo, submission of an incorrect name, etc., and the name provided matches the VALID name control(s), IAT tool corrections is the preferred method.

Validating Spouse's Name with CC IRCHG

  1. To validate the name of a spouse, input CC ENMOD on the primary taxpayer's TIN residing on the valid segment, overlay with CC ENREQR to bring up CC IRCHG. The following information is needed:

    1. Justification indicator "1"

    2. Year name line of 2016 (or appropriate year)

    3. Spouse's TIN

    4. Enter your reason for the change in the REMARKS field, then transmit

      Note:

      This action generates a TC 016.

    See Figure 3.13.5–18

    Figure 3.13.5-18

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    Please click here for the text description of the image.

  2. See IRM 3.13.5.18, IMF Automated Establishment of Taxpayers, if the existing TC 000, TC 013, TC 014 or TC 971 Action Code 050 for the S-SSN displays with the DLN of XX263-001-88888-X. This type of case requires correction with a TC 040 or TC 041 due to the establishment of the Secondary taxpayer's name by IMF.

Reversing a Primary/Secondary Taxpayer with CC IRCHG

  1. To reverse IRS validity for a spouse, input CC ENMOD, then overlay with CC ENREQR to bring up CC IRCHG:

    1. A justification indicator of "2" must be used

    2. Year name line

    3. Spouse's TIN

    4. Enter your reason for the change in the REMARKS field, then transmit

    Note:

    This will generate a TC 016.

  2. To reverse IRS validity for the primary taxpayer, input CC ENMOD, then overlay with CC ENREQR to bring up CC IRCHG.

    1. A justification indicator of "2" must be used.

    2. Enter your reason for the change in the REMARKS field, then transmit.

    Note:

    This will generate a TC 016.

  3. When a reversal to IRS validity is completed on a primary account, the account will remain on the valid segment of the Master File. However, the "IRS name control" is now considered invalid.

    Note:

    If the taxpayer files in any future years using the reversal "name" , the document will post to the invalid segment of Master File.

  4. At the site's option, management approval may be required before completing this type of correction to the primary taxpayer.

  5. See IRM 3.13.5.18, if the existing TC 000, TC 013, TC 014 or TC 971 Action Code 050 for the S-SSN displays with the DLN of XX263-001-88888-X. This type of case requires correction with a TC 040 or TC 041 due to the establishment of the Secondary taxpayer's name by IMF.

Processing Accounts with Transactions on Both Segments of IMF

  1. Occasionally, accounts will have transactions on both segments of the IMF. This occurs when the record or validity of a TIN was deleted/changed on the DM–1 File.

  2. Any transaction input after the deletion of an account will be directed to the invalid segment of the IMF.

  3. Use the following to merge the accounts (Master file valid and invalid segments):

    1. Enter a TC 040 to the valid segment of the account using the same name on the account. This will cause the account to resequence to the invalid segment of the Master File.

      Note:

      If the merge to the invalid segment fails, the account on the valid segment must be changed to an IRS assigned TIN using a TC 040. This causes the account to resequence and "slot in" on the invalid segment.

    2. To merge the accounts on the invalid segment of Master File, change the IRSN to the correct TIN using TC 041.

      Note:

      The account will merge and establish on the invalid segment of the Master File. The account can be processed through settlement, but will not validate until the DM–1 file is updated.

  4. Taxpayer situations such as above will not keep the inquiry from resolution. A refund inquiry must be resolved once the cause of the problem is determined by the examiner.

Establishing a New Account (TC 000)

  1. TC 000 is used to add taxpayer's account to the applicable Master File.

  2. Input CC INOLETnnn-nn-nnnn XMIT

    Note:

    If the taxpayer account IS NOT found on Master File or their ITIN was revoked, CC INOLEX will be the screen response to the input of CC INOLES or INOLET.

  3. Verify the taxpayer's name control matches the document/return. In order to establish a new taxpayer entity, a dummy account must be created.

    Exception:

    After May 2012, ITIN name control guidelines must be modified for CC INCHG.
    When correcting or establishing a ITIN name control and any of the taxpayer's first four characters of their last name/surname contains a hyphen, an apostrophe, a space, etc., disregard and only enter the first four alpha characters.
    Example for an ITIN taxpayer only, Christopher El-Oaks must be entered as ELOA.

  4. If establishing a taxpayer with an IRSN, an asterisk (*) must also be input after the invalid number.

    Reminder:

    Underline with red ink the first four alpha characters of the last name (name control) established for the IRSN on the tax return.

  5. Input CC ENMOD nnn-nn-nnnn XMIT.

  6. When the CC ENMOD response screen is "NO DATA AVAILABLE" , the taxpayer's account must be established using the following information:

    1. Input an 1 "Intend to Build Indicator" in position 20 of line one of CC ENREQ

    2. See the following example of CC ENREQ and an explanation of the applicable fields:

      Command Code ENREQ
      ENREQ nnn-nn-nnnnn>>1 (column 20 input 1)
      WREN C ENTC*
      Explanation:
      WREN = example of N/C
      C= Case Status (Use an A if an open control base is desired)
      ENTC = This is the control category for Entity Control.
      * = will assign the current date in the IRS received date field. Otherwise enter the data in a MMDDCCYY format.

      Note:

      Primary taxpayer's N/C must match the name control shown on the CC INOLE screen response.

  7. The following information is necessary to establish the taxpayer using the CC INCHG/IRCHG screens:

    1. Name Control

    2. Primary Taxpayer Name

      Note:

      The Primary taxpayer name control must match the name control on line 1 of CC INCHG/IRCHG screen.

    3. Entire address*

    4. Year Digits*

    5. Filing Status Code (FSC)*

    6. Remarks*

      Note:

      *These screen displays are generated by the screen display.
      However, if the FSC has been edited prior to the ECU, use the edited FSC.

  8. The following is input when applicable or available using CCs INCHG/IRCHG:

    1. Spouse's Name (if taxpayer is filing Married Filing Jointly)

    2. Continuation of Primary Name (if applicable)

      Note:

      Enter the following on the CONTINUATION-OF-THE-PRIMARY-NAME line for the IMF Filer:
      POA, Guardian information, etc., OR
      foreign street address information

      Caution:

      If the taxpayer includes PO Box and street address information, enter the street address information on the CONTINUATION-OF-THE-PRIMARY-NAME and PO Box information on MAIL-STREET- OR-FOREIGN CITY/ZIP line.

    3. Mail File Requirements

    4. FYM

    5. Spouse's SSN (if taxpayer is filing Married Filing Jointly)

    6. Scrambled SSN Indicator

    7. Remarks. Enter your reason for adding the account in the REMARKS Field. See Figure 3.13.5–19.

      Figure 3.13.5-19

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      Please click here for the text description of the image.

  9. See the following list of examples of prefixes to omit when establishing a taxpayer's name. The list does not include all prefixes used by taxpayers:

    Prefixes to Omit
    Mr.
    Ms.
    Miss
    Mrs.*
    Rev.
    Dr.
    Cpt.
    Gov.
    Lt. Gov.
    Sgt.
    Hon.
    Pastor

    Note:

    *Omit Mrs. if the woman's given name is present.
    However, if the taxpayer uses Mrs. with her husband's name, use the prefix Mrs.
    An example is taxpayer reports her name as Mrs. George Cardinal.

  10. Always enter the suffixes, "Jr." or "Sr." when shown on the document.

  11. Always enter the word "Minor" when the information is supplied.

  12. Always enter any numeric characters within a name as Roman Numerals. A right hand bracket "]" must always precede the Surname. If there is a Suffix, a right hand bracket must also precede the Suffix when the Surname is less than four alpha characters. This will prevent the name control from including part of the Suffix. The following tables displays how the taxpayer reports their name and the correct way to enter the name provided:

    Taxpayer Reports Enter as
    Lewis E. Jackson 4th Lewis E]Jackson IV
    Jon Smith, Second Jon]Smith II
    Aaron H. Camelott III Aaron H]Camelot III
    Christopher M. Doe Jr Christopher M]Doe]Jr
    Christopher M. Wu III Christopher M]Wu]III
    Christopher Doe Jr
    Jane Doe
    John Jr & Jane]Doe

    Note:

    There should be no spaces entered immediately before or after the ] (bracket). A right hand bracket (]) must always precede the Surname. If there is a Suffix, a right hand bracket must also precede the Suffix when the Surname is less than four alpha characters. This will prevent the name control from including part of the Suffix.

  13. When establishing a taxpayer with a POA, Designated Agent, Executor/Executrix, etc., and their address contains a PO Box and a street address, use the Continuation-of-Primary-Name (Line 2) field to enter the POA, Designated Agent, Executor/Executrix, etc., information. Enter the PO Box address in the "MAIL-STREET-OR-FOREIGN CITY/ZIP" address field instead of the street address information.

  14. If two addresses are present for the taxpayer(s) a PO Box and a street address:

    • enter the Street address in the Continuation-of-Primary-Name (Line 2) field.

    • enter the PO Box on the "MAIL-STREET-OR-FOREIGN CITY/ZIP" address field. See Figure 3.13.5-20 for an example of the how to input an IMF address when the taxpayer provides street address and PO Box information.

    Figure 3.13.5-20

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  15. See IRM 3.13.5.18, IMF Automated Establishment of Taxpayers, if the existing TC 000, TC 013, TC 014 or TC 971 Action Code 050 for the S-SSN displays with the DLN of XX263-001-88888-X. This type of case requires correction with a TC 040 or TC 041 due to the establishment of the Secondary taxpayer's name by IMF.

  16. Use CC ENMOD to ensure the account shows a TC 000 instead of an TC 013 or TC 014. If a TC 013 or TC 014 is pending, use CC TERUP and input the taxpayer information again.

    Note:

    The TC 013 and TC 014 would go unpostable due to the taxpayers account not being properly established.

  17. If necessary, refer to Document 7071 for proper IMF Name Controlling procedures.

Taxpayer Identification Number (TIN) Changes (generates a TC 011)

  1. TC 011 generates when a change is made to a taxpayer's TIN.

  2. The following contains examples when a TIN change is necessary:

    1. A taxpayer was assigned an IRSN--BUT the correct TIN/ITIN is located or supplied by the taxpayer.

    2. A taxpayer has two or more TINs and it is necessary to consolidate the accounts to the correct TIN.

    3. A taxpayer TIN was established inaccurately with the wrong TIN

    4. A taxpayer was assigned an ITIN, but they now have an SSN.

      Note:

      TIN errors may occur due to an IRS or taxpayer error.

  3. When completing a TIN change of a secondary taxpayer's TIN who files Married Taxpayer Filing Joint Return (FSC 2), a two-step correction process is required.

    1. Complete the TIN correction to the secondary taxpayer’s TIN under the primary taxpayer's account (generates a TC 017).

    2. Then complete the TIN correction to the secondary taxpayer’s TIN under the secondary taxpayer's account (generates a TC 011). See IRM 3.13.5.122.

  4. Research must be completed before making a change to a taxpayer's TIN.

    Caution:

    Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

  5. To ensure the TC 011 makes the taxpayer's account IMF Valid and posts to the valid side of Master file, the following must apply to all the impacted taxpayer accounts:

    1. The taxpayer's name line(s) and name control(s) must match the SSA Name Controls (listed on CC INOLE with Definer Code S).
      HINT: SSA Name Control(s) are displayed after the "SSA N/C" field on CC INOLES screen.

    2. The taxpayer name(s) and name control(s) on ALL their accounts must agree.

      Note:

      If the impacted taxpayer accounts show different last names (example Mary B. Brown and Mary B. Black), the accounts will not merge IMF VALID until the taxpayer name lines and name controls are corrected with TC 013.
      Do not make a name change to taxpayer account(s) without supporting documentation/proof of their identity unless the discrepancy was due to an IRS error.

  6. If the taxpayer's name line(s) and name control(s) do not match the SSA Name Controls (per CC INOLE with Definer Code S), the taxpayer account will become IRS INVALID when the TC 011 posts to IMF.

  7. The following items are needed to complete a TC 011 on the CC INCHG screen:

    1. Enter a Block Series of 8. (Entity Function MUST use "8" for the block series of the DLN when completing TIN changes on IDRS).

    2. Enter new TIN.

    3. Enter your reason for the change in the REMARKS Field. See Figure 3.13.5–21 for an example of how to complete a taxpayer TIN change.

      Caution:

      Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

    Figure 3.13.5-21

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    Please click here for the text description of the image.

  8. If the taxpayer requests a TIN change, inform the taxpayer of the correction by sending a Letter 147C, Letter 257C, Letter 685C, or the Letter 685SP.

    Exception:

    Do not correspond if the correction is due to their reply to a CP 54 Notice.

  9. If both a TC 011 and TC 013 are required to correct the taxpayer's account(s), they can be entered on the same day.
    Enter a posting delay code (PDC) of three additional weeks for the TC 011.

    Caution:

    Use of the Posting Delay Code on a daily account with daily transactions may result in delaying the posting of the transactions that would resolve the account.
    Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

Merging Taxpayer Accounts (ITINs, SSNs and IRSNs)

  1. Due to the variety of TIN case receipts, the correction procedures may require a two step correction process. This may involve correcting the case with a TC 040 and then subsequently completing a name change with a subsequent transaction after the case posts to the invalid side.

  2. If the Name Controls match on both accounts and the ITIN shows as assigned on the ITIN Real Time System (RTS) complete the merge by inputting a TC 011 using the ITIN to be revoked.

    Caution:

    Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

  3. For merges involving ITINs, see IRM 3.21.263, IRS Individual Taxpayer Identification Number (ITIN) Real Time System (RTS).

    Reminder:

    Both the "invalid" and "valid" accounts should be reviewed for no merge conditions before merging the accounts. No merge conditions must be resolved before the merge is initiated.

  4. If multiple TINs are located for a taxpayer's account, the following is the hierarchy of TINs to be edited on the return:

    1. Valid SSN

    2. ITIN; or

    3. IRSN

  5. If multiple types of TINs are found for a taxpayer, research all numbers found for the posted TC 150.

    Reminder:

    The type of TIN located on the taxpayer account will determine the merge actions required.

  6. Use the following table as a guideline for merging the taxpayer's TINs.

    If... Then...
    a. multiple TINs are located Research all the TINs for posted TC 150s
    merge the later assigned TIN(s) into the earliest assigned TIN(s). (The earliest assigned TIN will be the considered the "primary " . All other accounts will merged to the "primary" ).

    Exception:

    If later TIN(s) posts with a TC 150 and the earlier issued TIN(s) do not have a TC 150, consider the latest issued TIN with a TC 150 to be the "primary" .

    Note:

    Use the guidelines above for merging multiple ITINs only when the ITIN unit has not supplied or pre-determined the merge requirements. Additional research must be completed to verify the ITIN data.

    b. valid SSN is located for a case, Merge the ITIN and/or IRSN into the valid SSN.
  7. Prior to working an TIN-related Entity or Unpostable cases, the ECU must research

    1. IDRS

    2. ITIN Real Time System (RTS) data base for any pre-existing TIN(s) for the taxpayer.

  8. Use the following table to determine which Name Control (N/C) to use:

    If... Then...
    a. merge is from an ITIN or an IRSN to an SSN update the ITIN N/C to match SSN N/C
    b. merge is from an IRSN to an ITIN update the IRSN N/C to match the ITIN N/C
  9. When the merge of multiple ITINs or an ITIN and a valid SSN is completed, send referral to the ITIN Unit to complete the required “Revoke” action on ITIN Real Time System (RTS).

  10. Review the entity modules for valid and invalid cross-referenced TINs.

  11. A TC 040 is necessary to correct ITIN related cases when the ITIN has been revoked, prior to the merge.

    1. Use the ITIN Real Time System (RTS) to review the Status information. When "Rejected" and/or "Revoked ITIN" are displayed, correction of the taxpayer's account requires a TC 040 correction.

    Reminder:

    The TC 040 is the only correction needed when the taxpayer Name Control under the formerly issued ITIN matches the SSA Name Control.

  12. Since the TC 040 correction bypasses the NAP validation process, review the ITIN data base and the SSA information and ensure the taxpayer DOB, first and last name, and Name Controls match before correcting the case.

  13. See IRM 3.13.5.125 for the required fields for completing a TC 040.

    Note:

    No changes to the secondary taxpayers (when applicable) are needed for these Revoked ITIN cases.

  14. When completing a TIN change to a secondary taxpayer's account who files Married Taxpayer Filing Joint Return (FSC 2), a two-step correction process is required.

    1. Complete the TIN correction under the primary taxpayer's account (generates a TC 017). See IRM 3.13.5.122.

    2. Then complete the TIN correction under the secondary taxpayer's account (generates a TC 011).

      Caution:

      Do not input multiple TC 011 corrections on the same account. This action could prevent the taxpayer case from posting and create a resequencing condition at individual master file.

Correcting a Taxpayer's Name

  1. The tax examiner is responsible for completing the required entity changes on the taxpayer's account. In order to change the tax account based on a taxpayer's request, the taxpayer may provide:

    1. legal documentation that supports a name change, and/or;

    2. reasonable explanation why their name and/or TIN does not match with the VALID name control or the name controls provided by the Social Security Administration (SSA) or IRS records.

    Reminder:

    If a name change is required on a BMF account, complete the name change.

    See IRM 3.13.5.129.3 for additional on completing BMF name changes. See Document 7071-A, BMF Name Control Job Aid as well.

  2. Entity also processes requests for name changes from other IRS areas. In those cases, make the name change as requested.

  3. The tax examiner will perform all needed research, change the entity as appropriate and route if necessary. Research is necessary using the appropriate command codes even though the taxpayer provides documentation to substantiate their name change/discrepancy and/or provides a different TIN.

  4. If a taxpayer only provides one name when filing and CC TMSSN is used, enter the one name provided in both the first and last name fields. Once the IRSN is assigned, remove the taxpayer's erroneous first name by entering an hyphen in the first name field on CC INCHG.

  5. If a name change/correction is needed and there is no first name provided by the taxpayer, enter a hyphen in the first name field on CC INCHG and use the solo name as the taxpayer's last name.

  6. The absence of bracket(s) to indicate the PRIMARY taxpayer's last name will create unnecessary Unpostable conditions. See IRM 3.13.5.118.10 to correctly enter the name line information when the taxpayer files married filing jointly.

  7. When entering an IMF taxpayer's name line information, ensure it is contained within the FIRST LINE ONLY.

    Caution:

    The space allotted on IMF is limited to 35 characters/spaces

    If the taxpayer provides a first, middle and last name and the name does not need to be reduced to fit within the 35 character/space length, it is acceptable to enter an initial for their middle name. Example: Allison Marie Fox then enter Allison M. Fox. See IRM 3.13.5.118.5 for additional information if the taxpayer's name line will not fit within the allotted spaces.

  8. Input the appropriate year for the name change by entering the name using the YEAR-NM-LINE field. The year input will directly correlate to when the name line change is required.

    Reminder:

    The name change input is only updating the taxpayer's account for the selected Tax Year.

  9. Input the appropriate filing status beside the FS field. The filing status will directly correlate to the taxpayer's filing status for the required name line year. See Figure 3.13.5–22.

    Figure 3.13.5-22

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Determining the Use of CCs IRCHG/INCHG for Name Corrections/Changes

  1. The Command Codes IRCHG and INCHG each have a different function. CC IRCHG (TC 016) validates the account and moves the invalid segment to the valid segment (after the quarterly merge). CC INCHG (TC 013) moves the invalid segment to the valid segment (after the quarterly merge) if there is a valid name control match.

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

  2. The following table shows what actions to complete when the taxpayer account is INVALID on IMF:

    If taxpayer ... And... Then...
    a. Provides legal documentation the name control does NOT Match any of the valid name controls on IDRS correct name using CC IRCHG (TC 016)
    b. Provides legal documentation the name control MATCHES any of the valid names on IDRS correct name using CC INCHG (TC 013)
    c. Provides reasonable explanation WITHOUT document name control MATCHES any of the valid name controls on IDRS correct the name using CC INCHG (TC 013)
    (account will move to valid side)
    d. Responses they went to SSA and updated their account name control MATCHES the New SSA NC on CC INOLE no action needed
    e. Does NOT provide a reasonable explanation for name   no action needed
    (account remains invalid)
  3. The following table shows what actions to complete when the taxpayer account is VALID on IMF:

    If taxpayer... And... Then...
    a. Provides legal documentation name control does NOT match any of the valid name controls on IDRS correct the name using TC 040
    b. Provides legal documentation name control MATCHES any of the valid names on IDRS correct name using CC INCHG
    c. Provides reasonable explanation WITHOUT legal documentation name control does NOT match any of the valid name controls on IDRS do not update the name
    (This prevents the account from moving to invalid side)
    d. Provides reasonable explanation WITHOUT legal documentation name control MATCHES any of the valid name controls on IDRS correct the name using CC INCHG
    e. Responds they went to SSA and updated their account name control matches the New SSA NC on CC INOLE no action needed
    f. Does NOT provide a reasonable explanation for name   no action needed

Completing Name Changes with CC INCHG/IAT

  1. TC 013 generates when changes/corrections are made to taxpayer's name line(s) using CC INCHG. An IMF name change is completed for the following situations:

    • Correction of an incorrect name control

    • Correct a name line previously entered incorrectly

    • Correct spelling errors

    • Typographical errors

    • Addition of a second surname

    • Changes needed due to marriage or other legal action(s)

    • Removal of spouse's name

    • Addition of spouse's name

    • Add/revise information to the CONTINUATION OF PRIMARY NAME line

    • Add "DECD" information if the taxpayer is deceased. See IRM 3.13.5.118.9 for information on how to change a taxpayer's name if they were reported deceased.

      Note:

      A FSC and Year Digits are always required.

      Exception:

      As of May 2012, ITIN name control procedures ONLY must be modified for CC INCHG.
      When any of the taxpayer's first four characters of their last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
      Example ITIN only: Thomas El-Oak's name control is entered as ELOA.

    Reminder:

    If the taxpayer filed and information was originally listed in the CONTINUATION OF PRIMARY NAME, the information must be re-entered.
    If the information is not re-entered, it WILL NOT be retained when the name change posts.

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

  2. Research to verify the taxpayer's name, TIN and return data with the information the taxpayer submitted. When correcting/changing the taxpayer(s) name:

    1. Input sufficient information in the "REMARKS" field, to explain why the change was made (e.g., misspelling, add second surname, etc.,).

    2. If necessary, use the Name Control Job Aid for Individual Master File (IMF) Taxpayers Document 7071 .

  3. Completing Name Line changes, if needed, for multiple years (e.g., 2015, 2016) for the same account, can be entered the same cycle.

  4. When adding information or changing the "In Care Of" information on the CONTINUATION OF PRIMARY NAME line using IDRS, use the "%" symbol and add the new information to the CONTINUATION OF PRIMARY NAME and the other required elements to complete the name change.

    Reminder:

    If the new in care of information addition is shorter than the original entry, ensure you remove the extra characters before transmitting the information.

  5. When removing information from the CONTINUATION OF PRIMARY NAME line using IDRS, enter the original name on the first name line, do not input any data in the CONTINUATION OF PRIMARY NAME. Add the other required elements to complete the name change before transmitting the information.

  6. When removing the "In Care Of" information in the Continuation line using IAT, delete all the information including the "%" symbol, enter remarks and input to complete removal of the information.

  7. When adding information or changing the In Care Of information from the Continuation line using IAT, use the % symbol and add the new information. Enter remarks and input.

    Reminder:

    If the new in care of information addition is shorter than the original entry, ensure you remove the extra characters before transmitting the information.

Determining Name Line Year Used with TC 013 Corrections

  1. Name changes are completed on the current year unless the request is required for a specific prior year. This is most often required when processing CP 54’s and Form 56’s. If Name Line changes are needed for multiple years (e.g., 2015, 2016) for the same account, the name line changes can be entered in the same cycle.

    Reminder:

    IMF only displays the current entity information (name, address, filing status, etc.). Therefore, do not make name changes to prior year Entity information unless it is applicable to correct the case (Example: amended return)

  2. If it is necessary to correct the name line more than once, ensure you follow the cautionary notes.

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

  3. See the following for examples for completion and updates of a taxpayer's name line:

    If Name Change is necessary... Then...
    a. for a prior year (example--2015) complete the name change using tax period 2015

    Note:

    IMF will update the taxpayer's account for 2015 ONLY.

    b. for multiple tax years (example--2014 through 2016) complete the name change for each tax year(s) listed
    Follow the procedures in the cautionary note in paragraph (2).
    c. for a current year due to taxpayer correspondence complete the name change using the current calendar year

Guidelines for Determining Spanish Name Controls

  1. Generally Spanish taxpayers use two surnames. In some instances there are multiple surnames.

  2. These names are used strictly examples for determining the name control for taxpayer's with Spanish surnames.

    Note:

    Within these examples, the information that appears in the BOLD text is the Name Control.

    Female taxpayer First Surname Second Surname Third Surname
    Teresa Garcia Ramirez  
    Mary Cruz Garcia Lopez
    Sylvia de la Rosa Arellano  
    Debbie Rodriguez-Munez Jones Arguello

    Reminder:

    Whenever a taxpayer's valid name control per SSA or through ITIN Name Control assignment is not the first surname (per these guideline). Instead use the Valid Name Controls already established as shown on CC INOLE including any NEW SSA name controls or the pending Valid Name Control awaiting the DM-1 quarterly merge.
    Never remove or correct a valid name control with an invalid name control due to taxpayer insisting or requesting a name change

  3. Spanish surnames can also be displayed as the following:

    Taxpayer First Surname Second Surname Third Surname
    Eli Arroy *Y
    * Y means and
    Lopez
    Felipe   **De laTorre
    ** De la means of the
    Valiente

Reducing the Length of Taxpayer Names

  1. Before shortening taxpayer name(s), research must be conducted (i.e., CC INOLE, RTVUE, IMFOL, NAMES, NAMEI) under both segments of the Master File.

  2. If the primary and/or secondary name(s) exceed the 35 character/space limit, use the table to correctly reduce the taxpayer's name:

    How to reduce taxpayer(s) name
    1. Substitute the appropriate initial for the secondary taxpayer's middle name
    2. Delete middle initial of secondary taxpayer
    3. Substitute the appropriate initial for the primary taxpayer's middle name
    4. Delete middle initial of primary taxpayer
    5. Substitute the appropriate initial for the secondary taxpayer's first name
    6. Substitute the appropriate initial for the primary taxpayer's first name
    7. Substitute the appropriate initials for both the primary and secondary taxpayer's' first name(s) if their last/surname name(s) total characters exceed the 35 characters/spaces limit
    8. Abbreviate the secondary taxpayer's surname.
    Abbreviate the surname by removing the vowels (begin with the vowels at the end of the secondary taxpayer's surname first).
    Example: OSullivan becomes OSullivn
    or OSullvn
    or OSullv
    or OSull (if necessary)*
    8. Abbreviate the primary taxpayer's surname as the last step.
    Abbreviate the surname by removing the vowels (begin with the vowels in the end of the primary taxpayer's surname).
    Example: Sorrentino becomes Sorrentin
    or Sorrentn (if necessary)

    Reminder:

    *Do not remove the first four alpha characters of the primary or secondary taxpayer's surname.
    If further reduction of the name line is needed, abbreviate the primary taxpayer surname

    Note:

    Do not intentionally shorten taxpayer's names if their name(s) fit within the 35 character/space constraints.

  3. When taxpayers file jointly and a name reduction is necessary, it is important to retain the first four alpha characters of the secondary taxpayer's surname. If the taxpayer's surname is less than four alpha characters, use the instructions in Document 7071, Name Control Job Aid for Individual Master File (IMF) Taxpayers.

    Reminder:

    This will reduce unnecessary unpostable conditions.

Reducing the Length of Business Names

  1. When necessary the business name line must be abbreviated to fit the 70 character limitations.

  2. Additional information on acceptable business name abbreviations can be found in IRM 3.13.2, BMF Account Numbers. See the following table for additional information:

    Reminder:

    (All dates in the trust name line should be entered as MMDDYYYY).

    NAME/or PHRASE ABBREVIATION
    Trust TR
    Under the will of, U/W, under will UW
    Under agreement, U/A, Under agreement with UA
    Dated Jan. 16, 2016 01162016 (do not enter date/dated or the alpha month).
    Irrevocable Trust IRRV TR
    Revocable Trust RVOC TR
    Trustee TTEE
    For the Benefit of, F/B/O, F B O FBO
    Family Trust FAM TR
    Marital Trust MRTL TR
    Funeral Trust FNER TR
    Inter-Vivos INTRVS
    Non-exempt Charitable Trust NECT
    Revocable RVOC
    Testamentary TEST
    Under Trust Agreement UTA
    Voluntary Employee Benefit Association VEBA
    Insurance INS
    Charitable Remainder Unitrust CRUT
    Charitable Remainder Annuity Trust CRAT

Correcting Taxpayer Names without Documentation

  1. If a taxpayer signs their name on a document, return, CP Notice, etc., without providing sufficient documentation (marriage certificate, divorce decree, drivers license, etc.,) or an adequate explanation of the name discrepancy (invalid at Master File), complete the name change using CC INCHG (TC 013):

    If... And... Then...
    1. the taxpayer DOES NOT provide sufficient documentation to substantiate a name change their Name Control DOES NOT match the IRS VALID N/C(s), the NEW SSA N/C or the SSA N/C(s) (as shown on CCs INOLES/INOLEX) No action needed

    Reminder:

    If multiple merge TCs (i.e., TC 011, TC 013, etc) are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account. .

    2. the Name Control discrepancy is due to an IRS/taxpayer error, and the taxpayer provides a VALID N/C Name Control matches any of the name controls on IDRS Correct their name information using CC INCHG

    Exception:

    Beginning May 2012, ITIN name control procedures ONLY must be modified for CC INCHG.
    When any of the taxpayer's first four characters of their last name/surname contains a hyphen, apostrophe, space, etc., disregard and only enter the first four alpha characters.
    Example ITIN only: Thomas El-Oak's name control is entered as ELOA.

  2. When the Entity Control Unit (ECU) is contacted via phone by a taxpayer or their legal representative for a name change, use the information provided above to determine whether a name change is required.

Correcting Taxpayer Names with Documentation

  1. If a taxpayer replies to an request for additional information (CP 54, Correspondex letter, etc.,), corresponds, or calls requesting a name change, use the following information:

    If... And... Then...
    1. the account is INVALID N/Cs DO NOT match any of the VALID N/Cs displayed on CC INOLE
    AND a name change is required
    Correct the taxpayer's name and/or Name Control using CCs INCHG (TC 013) and IRCHG (TC 016).
    2. taxpayer went to SSA and updated their account with their new N/C CC INOLE displays "NEW SSA N/C" No action needed
    3. signs using their former/married/new name name supplied matches any of the VALID name controls displayed on CC INOLES Correct the taxpayer's name and Name Control using CC INCHG (TC 013)
    4. signs using their former/married/new name and the account is on the VALID side the name control DOES NOT match any of the name controls on IDRS Complete the name change using TC 040.

    Note:

    This will cause the taxpayer’s account to post to the invalid side of IMF.

    Reminder:

    If multiple merge TCs are entered without allowing time to post, it could create a resequencing condition at master file and will prevent taxpayer account correction(s).

    Caution:

    If the multiple name changes are required, do NOT input multiple TC 013 without monitoring the account. Once the first name change transaction posts, input the subsequent TC 013 corrections to the account.
    Inputting multiple TC 013 corrections without monitoring the account could create a resequencing situation that will prevent the correction/posting of taxpayer accounts to IMF.

Inputting Name Changes for Deceased Taxpayers

  1. If taxpayer correspondence or notice is the initial notification of a taxpayer’s death, use CC INOLE to research for a Date of Death (DOD). If the taxpayer is deceased complete the following:,

    1. Change the name line to reflect the word DECD after the taxpayer's name.

    2. Use the DOD from CC INOLE for the DOD year.

  2. If no DOD is present on CC INOLE, review the correspondence or notice for any legal documentation to substantiate the taxpayer's DOD, use the legal documentation's DOD and use that date when inputting the name change.

  3. If no DOD is present on the CC INOLE or there is no legal documentation attached, assume the decedent died during the current tax period and use the current tax period to input the taxpayer name change.

  4. Deceased taxpayer accounts will contain one or more of the following:

    1. DECD in the name line

    2. Date of Death on CC INOLES

    3. TC 540 on CC TXMOD or CC IMFOLT for the year of death

    4. Mail File Requirement (MFR) 08 on CC ENMOD

  5. Use the following table to determine whether to input DECD to a taxpayer’s account when notified of taxpayer’s death through correspondence or IRS-generated letters or notices:

    If... Then... Then...
    a. the death is reported by the taxpayer’s spouse   change the name line to include the word DECD within the taxpayer's name
    b. the death is reported by the taxpayer’s representative CC INOLE displays a DOD for the deceased taxpayer change the name line to include the word DECD within the taxpayer's name
    c. the death is reported by the taxpayer’s representative documentation is provided

    Example:

    Form 1310 , Statement of Person Claiming Refund Due a Deceased Taxpayer, death certificate, etc.

    change the name line to include the word DECD within the taxpayer's name
    If... And... Then...
    a. other than the taxpayer’s spouse reports the taxpayer’s death CC INOLE displays a DOD change the name line to include the word DECD within the taxpayer's name.
    b. other than the taxpayer’s spouse reports the taxpayer’s death no DOD present on CC INOLE.

    Note:

    If no date of death is present on CC INOLE, review the taxpayer correspondence or IRS notice and any attachments for documentation to substantiate the taxpayer's DOD.

    do not update the taxpayer’s entity.
  6. To input name changes due to the death of a taxpayer or their spouse, use the following table:

    If Taxpayer (TP) Files... And... Sample Input Information follows...
    1. Other than a Joint Return   John A]Doe]DECD
    2. Other than a Joint Return and taxpayer has a suffix   John A]Doe]Jr DECD
    3. Joint Return with SAME Last Names Primary TP is Deceased John A DECD & Jane B]Doe
    4. Joint Return with SAME Last Names Secondary TP is Deceased John A & Jane B DECD]Doe
    5. Joint Return with Different Last Names Primary TP is Deceased John A]Doe]DECD & Jane B Smith
    6. Joint Return with Different Last Names Secondary TP is Deceased John A]Doe]& Jane B Smith DECD
    7. Joint Return with SAME Last Names BOTH taxpayers are deceased John A DECD & Jane B DECD]Doe
    8. Joint Return with Different Last Names BOTH taxpayers are deceased John A]Doe]DECD & Jane B Smith DECD

    Note:

    IMPORTANT: THE BRACKET "]" IS INTERPRETED AS A SPACE. THEREFORE, ADDITIONAL SPACES MUST NOT BE INPUT IMMEDIATELY BEFORE OR AFTER THE BRACKET.

Inputting Name Changes for Married Filing Jointly (MFJ) Taxpayers

  1. When entering a name change to update/correct a joint return filer, ensure the joint names are entered correctly.

    Note:

    If joint filers require an IRS notice, two notices are issued. (One to the primary taxpayer and another to the secondary taxpayer).

  2. The correct method to input name changes are shown below: The "bold print" indicates the primary taxpayer's name control.

    Tax Return Input format for joint filers Notice printout at MF
    a. John Doe
    Mary Doe
    John & Mary]Doe John Doe
    Mary Doe
    b. John Doe
    Mary Smith
    John]Doe]& Mary Smith John Doe
    Mary Smith
    c. John Doe
    Mary Smith-Doe
    John]Doe]& Mary Smith-Doe John Doe
    Mary Smith-Doe
    d. John D Doe
    Mary Ann Smith-Doe
    John D]Doe]& Mary Ann Smith-Doe John D Doe
    Mary Ann Smith-Doe
    e. John D Doe III
    MaryAnn L Smith
    John D]Doe]III & MaryAnn L Smith John D Doe III
    MaryAnn L Smith
    f. John Doe Jr
    Mary Doe
    John Jr & Mary]Doe John Doe Jr
    Mary Doe
  3. The entering of TWO brackets around the PRIMARY taxpayer's last name is required when the SECONDARY tax