3.24.249 Fiscal Year Required Payments/Form 8752

Manual Transmittal

December 19, 2017

Purpose

(1) This transmits revised IRM 3.24.249, ISRP System, Fiscal Year Required Payments/Form 8752.

Material Changes

(1) IRM 3.24.249 various editorial changes made throughout IRM.

(2) IRM 3.24.249.1 Program Scope, added as required in IRM 1.11.2.2.5, Address Management and Internal Controls. All subsequent sections in the IRM were updated to reflect the addition

(3) IRM 3.24.249.1 added the Purpose Scope and Objectives

(4) IRM 3.24.249.1.1 added Background information

(5) IRM 3.24.249.1.2 added Authority information for this IRM

(6) IRM 3.24.249.1.3 added Roles and Responsibilities

(7) IRM 3.24.249.1.4 added Program Management and Review

(8) IRM 3.24.249.1.5 added Program Controls

(9) IRM 3.24.249.1.6 added Terms/Definitions/Acronyms

(10) IRM 3.24.249.1.7 added Related Resources

(11) Exhibit 3.24.249-1 edited the table to comply with 508 Compliance requirements and retitled the exhibit to include missing forms/instruction.

(12) Reviewed and updated website addresses, legal references and IRM references, as necessary

(13) IPU 16U1144 issued 06/27/2016 IRM 3.24.249 no changes to instructions, edited the table to comply with 508 Compliance requirements

Effect on Other Documents

IRM 3.24.249, ISRP System, Fiscal Year Required Payments/Form 8752 dated October 16, 2015 (effective January 1, 2016) is superseded. IPU 16U1144 issued 06-27-2016 is incorporated into this IRM.

Audience

Wage and Investment (W& I), Submission Processing Employees, Data Conversion Operations

Effective Date

(01-01-2018)

Linda J. Brown
Director, Submission Processing
Customer Account Services
Wage and Investment

Program Scope and Objectives

  1. Purpose: Daily processing of processable paper filed Form 8752, Required Payment or Refund Under Section 7519 on the Integrated Submission and Remittance Processing System (ISRP) are covered in this IRM. This processing will convert the taxpayer data reported to electronic data records for further validations to be applied to determine if the employers return is acceptable to fulfill the filing requirement.

  2. Audience: The users of the IRM are Submission Processing Data Transcribers; Data Conversion Operation and their support staff which includes but is not limited to the following: clerks, leads and supervisors. These instructions apply to all campuses.

  3. Policy Owner: The Director of Submission Processing

  4. Program Owner: Paper Processing Branch, Mail Management/Data Conversion (an Organization within Submission Processing)

  5. Primary Stakeholders: Affected by these procedures or have input to the procedures which may include a change in work flow, additional duties, change in established time frames, and similar issues are:

    • Accounts Management (AM)

    • Small Business/Self Employed (SB/SE)

    • Large Business and International (LB&I)

    • Chief Financial Officer (CFO)

    • Tax Payer Advocate (TAS)

    • Chief Counsel, Information Technology programmers

    • Statistics of Income (SOI)

    • Tax Exempt/Government Entities (TEGE)

    • Compliance Strategy and Policy and Operations Business Support

    • Office of Servicewide Penalties are affected by the completion of these data records to posting.

  6. Program Goals: This information is used to provide instruction for accurate transcription of data into the ISRP system. The Integrated Submission and Remittance Processing (ISRP) is an application designed to capture, format, and forward information related to tax submissions and remittances in electronically readable formats to downstream IRS systems. Any remittances received with a tax document are forwarded and processed for deposit to the Remittance Processing function.

Background

  1. Required Payment or Refund Under Section 7519 forms are sent to the Service by filers to report payment required under Section 7519 or to obtain a refund of net prior year payment(s). The forms must be converted to an electronic data record for use by the Service. Input of data present and validation of the data records during conversion of these paper returns to electronic data records is required.

Authority

  1. Authority for these procedures is found in Title 26 of the United States Code (USC) or more commonly known as the Internal Revenue Code (IRC). The IRC has been amended by acts, public laws, treasury determinations, rules, and regulations.

  2. All policy statements for Submission Processing are contained in IRM 1.2.12, Servicewide Policies and Authorities, Policy Statements for Submission Processing Activities:

    • Code sections which provide the IRS with the authority to issue levies.

    • Congressional Acts which outline additional authorities and responsibilities like the Tax Act of 1986.

    • Policy Statements that provide authority for the work being done.

Roles and Responsibilities

  1. The Operations manager is responsible for securing, assigning and providing training for the staff needed to perform the task required throughout this instruction.

  2. The Planning and Analysis Staff is responsible for providing feedback and support to local management to achieve and effectively monitor scheduled goals.

  3. The team manager/lead is responsible for and assigning, monitoring and controlling the work flow to accomplish timely completion of the tasks required throughout this IRM.

  4. The team employee is responsible for applying the instruction present to the assigned task on the ISRP system to accurately convert paper data to electronic data record for proper posting for use by the Service.

Program Management and Review

  1. Program Reports: Below are a list of reports to use to show receipts, production and inventory for the paper return to electronic data conversion process. These reports will be utilized to report and monitor daily and weekly status of the program to completeness.

    • PCC 2240, Daily Production Report - Program Sequence

    • PCC 6040, SC WP&C Performance and Cost Report

    • PCC 6240, SC WP&C Program Analysis Report

    • PCB 0440, Daily Workload and Staff hours Schedule

    • PCB 0540, Weekly Workload and Staffing Schedule

  2. Program Effectiveness: Goals will be measured utilizing standard managerial reports by documents processed per hour and completion of each function compared to the established schedule for completion each week. Each functionality is expected to retain or exceed schedule prior to the program completion date stated in IRM 3.30.123, Work Planning and Control Processing Timeliness: Cycles, Criteria, and Critical Dates.

  3. Annual Review: Review the processes included in this manual annually to ensure accuracy and promote consistent tax administration. This may be included under responsibilities for a manager.

Program Controls

  1. Local reports may be utilized to establish additional information for maintaining daily program control. Local reports do not replace the established official reports and required production reports.

Terms/Definitions/Acronyms

  1. The following is a list of the acronyms that are used in this IRM section, this IRM uses prompts for data entry and are defined in the charts.

    Acronyms Definition
    ABC Alphanumeric Block Control
    BMF Business Master File
    CCC Computer Condition Code
    DLN Document Locator Number
    EIN Employer Identification Number
    EOP Entry Operator
    IRM Internal Revenue Manual
    ISRP Integrated Submission and Remittance Processing System
    KV Key Verification
    OE Original Entry
    OMB Office of Management and Budget
    PTIN Preparer Taxpayer Identification Numbers
    RPS Remittance Processing System

Related Resources

  1. The following table lists the IRM primary sources of guidance on the processing of paper filed Form 8752, Required Payment or Refund Under Section 7519.

    IRM Title Guidance on
    IRM 3.10.5 Campus Mail and Work Control - Batch/Block Tracking System (BBTS) utilizing BBTS to drop unit production cards for daily incoming receipts and production
    IRM 3.10.72 Campus Mail and Work Control - Receiving, Extracting, and Sorting receiving, extracting, sorting, and routing mail within the Submission Processing campuses
    IRM 3.10.73 Campus Mail and Work Control - Batching and Numbering batching and numbering with a document locator number (DLN) of documents
    IRM 3.11.249 Returns and Documents Analysis, Processing Form 8752 document perfection to code and edit (perfect) returns and other documents for input to the Master File (MF) through the Integrated Submission and Remittance Processing System (ISRP)
    IRM 3.24.38 BMF General Instructions workstation functions, workstation keyboard, windows environment and general instruction for entering data for tax returns and related data through ISRP
  2. Document 7071-A, Name Control Job Aid - For Use Outside of the Entity Area

  3. The IRS adopted the Taxpayer Bill of Rights in June 2014. Employees are responsible for being familiar with and acting in accord with taxpayer rights. See IRC 7803(a)(3), and the following site for additional information about the Taxpayer Bill of Rights.

Introduction

  1. This IRM provides instructions for entering and verifying data from control documents and Form 8752, Required Payment or Refund Under Section 7519, using the Integrated Submission and Remittance Processing (ISRP) system.

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

Control Documents

  1. Following are the control document(s) from which data may be transcribed:

    1. Form 813, Document Register

    2. Form 1332, Block and Selection Record

    3. Form 3893, Re-Entry Document Control

Source Document

  1. Following are the source document(s) from which data may be transcribed:

    1. Form 8752, Required Payment or Refund Under Section 7519.

Forms/Program Numbers/Tax Class Document Codes

  1. Table below gives program number and tax class document code for Form 8752.


    FORM
    PROGRAM NUMBER TAX CLASS DOCUMENT CODE
    8752 19000 223

Required Sections

  1. Section 01 is always required.

  2. Key Verification—Section 01 is always required. Sections 02 and 03 are required if input by Original Entry (OE).

Integrated Submission and Remittance Processing (ISRP) Transcription Operation Sheets

  1. The following exhibits represent specific data entry procedures.

Block Header Data Entry -Form 813 or Form 1332 for Original Input Documents and Form 3893 for Re-Entry Document Control.

Elem. No. Data Element Name Prompt Fld. Term. Instructions
(1) SC Block Control ABC   The screen displays the Alphanumeric Block Control (ABC) that was entered in the Entry Operator (EOP) Dialog box. It cannot be changed.
(2) Block Document Locator Number DLN <Enter> Enter the first 11 digits as shown:
  1. Form 813—from the "Block DLN" box.

  2. Form 1332—from the "DLN." box.

  3. Form 3893—from box 2.

  4. The KV EOP will verify the DLN from the first document of the block.

(3) Batch Number BATCH <Enter> Enter the batch number as follows:
  1. Form 813 and Form 1332— from the Batch Control Number box.

  2. Form 3893— from box 3.

  3. If not present, secure the number from the batch transmittal sheet.

(4) Document Count COUNT <Enter> Enter the document count as follows:
  1. Form 813 and Form 1332— the circled serial number. If a full block (100 documents) or if a number is not circled, enter 100.

  2. Form 3893— from box 4.

(5) Prejournalized Credit Amount CR <Enter> Enter the amount shown:
  1. Form 813— shown as the "Total" or if adjusted, as the "Adjusted Total" .

  2. Form 3893— from box 5.

  3. ENTER DOLLARS AND CENTS.

(6) Filling <Enter>s   <Enter>
<Enter>
<Enter>
<Enter>
<Enter>
Press <Enter> five (5) times.
(7) Source Code SOURCE <Enter> If the control document is a Form 3893, enter from box 11 as follows:
  1. R = "Reprocessable" box checked.

  2. N = "Reinput of Unpostable" box checked.

  3. 4 = "SC Reinput" box checked

  4. None of the boxes checked, consult your supervisor who will determine if a source code is required.

(8) Year Digit YEAR <Enter> If the control document is a Form 3893, enter the digit from the box 12 (current or otherwise).
(a) This is a MUST ENTER field if the Source Code is "R" , "N" , or "4" .
(9) Filling <Enter>   <Enter> Press <Enter> .
(10) RPS Indicator RPS <Enter> Enter a "2" if:
  1. Form 813 and Form 1332— "Remittance Processing System (RPS)" is edited or stamped in the upper center margin or "Residual Remittance Processing System (RRPS)" in the block header of Form 1332.

  2. Form 3893— box 13 is checked.

Section 01 FORM 8752, Required Payment or Refund Under Section 7519, (Program 19000)

Elem. No. Data Element Name Prompt Fld. Term. Instructions
(1) Section Number SECT:   Section "01" will always be generated. No entry is required.
(2) DLN Serial Number SER Number <Enter> Enter the last two digits of the 13-digit DLN from the upper portion of the form. If the serial number has been generated by the system, verify that it matches the document being entered.
(3) Check Digit CD <Enter> Enter the check digit (CD) if present.
(4) Name Control NC <Enter> If the CD is not present, enter the name control.
(5) Employer Identification Number EIN   Enter the employer identification number (EIN) from the preprinted label or from E.I. Number block.
(6) Address Check ADDRESS CHECK?   Enter "Y" or "N" as appropriate.
(7) Street Key STREET KEY <Enter> Enter the street key.
(8) ZIP KEY ZIP KEY <Enter> Enter the ZIP key.
(9) Tax Period TAXPR <Enter> Enter the tax period edited or underlined under title of form.
(10) Condition Codes CCC <Enter> Enter from the upper left margin.
(11) Received Date RDATE <Enter>
★★★★★★
Enter the date as stamped or edited from the face of the return.
(a) If a "G" condition code is present, press <F6> to move the cursor to Prompt "11/12" .
(12) Penalty and Interest Code OMBMAR <Enter> Enter the edited "1" , if present, from the margin to the right of the OMB No.
(13) Partnership/S Corporation Indicator LNA <Enter> Enter the code from line A as follows:
  1. "1" if the Partnership box is checked.

  2. "2" if the S Corporation box is checked.

  3. Press <Enter> only if both boxes are checked or no box is checked.

(14) Line B Checkbox LNB <Enter> Enter a "1" if Line B is checked.
(15) Line C Checkbox LNC <Enter> Enter a "1" if Line C is checked.
(16) Line D Checkbox LND <Enter> Enter a "1" if Line D is checked.
(17) Net Income LN1 <Enter> Enter the amount from line 1.
(18) Applicable Payments/Base Year LN2 <Enter> Enter the amount from line 2.
(19) Deferred Ratio LN3 <Enter> Enter the three digit code edited on the dotted portion of line 3.
(20) Line 1 Deferred Amount LN4 <Enter> Enter the amount from line 4.
(21) Line 2 Deferred Amount LN5 <Enter> Enter the amount from line 5.
(22) Applicable Payments/During Deferral LN6 <Enter> Enter the amount from line 6.
(23) If the Entity/Amount LN7 <Enter> Enter the amount from line 7.
(24) Net Base Year Income LN8 <Enter> Enter the amount from line 8.
(25) Multiply Line Amount L9A <Enter> Enter the amount from line 9a.
(26) Required Payment L9B <Enter> Enter the amount from line 9b.
(27) Net Required Payment Balance L10 <Enter> Enter the amount from line 10.
(28) Required Payment Due/Refund of Net Prior Year Payments 11/12 <Enter>
MINUS (−)
★★★★★★
Enter the amount from line 11 or line 12 as follows:
  1. Enter the amount from line 11, if present, and press <Enter>.

  2. If there is no entry on line 11, enter the amount from line 12 and press MINUS(-).

  3. If a "G" code is present on a non-remittance document, enter a zero and end the document after this field.

  4. If a "G" code is present on a remittance document, enter a zero and press <F6> to go to Section 03.

(29) Preparer's PTIN PSSN <Enter> Enter the "Preparer's PTIN"
(30) Preparer's EIN PEIN <Enter> Enter the EIN.
(31) Preparer's Telephone Number TEL # <Enter> Enter the prepare’s telephone number.

Section 02 FORM 8752, Required Payment or Refund Under Section 7519, (Program 19000)

Elem. No. Data Element Name Prompt Fld. Term. Instructions
(1) Section Number SECT: <Enter> <Enter> if already present on the screen; otherwise enter "02" always.
(2) In Care of Name Line C/O NAME <Enter> Enter the in care of name if shown.
(3) Foreign Address FGN ADD <Enter> Enter any foreign address.
(4) Street Address ADD <Enter> Enter the street address information as shown or edited in the entity area of the form.
(5) City CITY <Enter> Enter the city from the entity area of the return.
(6) State ST <Enter> Enter the standard state abbreviation from the entity area of the return.
(7) ZIP Code ZIP <Enter> Enter the ZIP code from the entity area of the return.

Section 03 FORM 8752, Required Payment or Refund Under Section 7519, (Program 19000)

Elem. No. Data Element Name Prompt Fld. Term. Instructions
(1) Section Number SECT: <Enter> <Enter> if already present on the screen; otherwise enter "03" always.
(2) Remittance RMT <Enter>
  1. Enter the green rockered amount from the balance due area of the return or an attached cash register receipt.

  2. If no amount is edited or the edited amount is illegible, check the control document (Form 813 or Form 3893) for the correct amount.

  3. This is a MUST ENTER field if a Prejournalized Credit Amount (prompt CR) was entered in the Block Header.