3.30.123 Processing Timeliness: Cycles, Criteria and Critical Dates

Manual Transmittal

November 07, 2017

Purpose

(1) This transmits revised IRM 3.30.123, Work Planning and Control - Processing Timeliness: Cycles, Criteria and Critical Dates.

Material Changes

(1) Major editorial changes made throughout IRM 3.30.123

(2) Tax Periods, processing years, Program Completion Dates (PCD), Cycle information updated throughout IRM 3.30.123, superseding IPU 17U0407, IPU 17U1158, and IPU 17U1357

(3) IRM 3.30.123.2.4.4 (5) - Changed Automated Lien System to Centralized Lien Processing

(4) IRM 3.30.123.5.2(8) - Changed IRM and referenced private delivery carriers

(5) IRM 3.30.123.5.3 (4) - Changed 70% requirment to 100%

(6) IRM 3.30.123.5.3 (5) - Changed timeliness from 70% to 100%

(7) IRM 3.30.123.5.12 (1) - Added peak and non peak periods

(8) IRM 3.30..123.5.12 (4) - Added peak and non peak periods

(9) IRM 3.30.123.7.6 (1) - Clarified due date for for fiscal year returns

(10) IRM 3.30.123.7.8.1 - Clarified due dates and added due date for Form 1120-F without box D(3) checked

(11) IRM 3.30.123.7.12.1.1 - Change to Form 1042-T and 1042-S (CTW) PCD - IPU 17U1261 issued 08-22-2017

(12) IRM 3.30.123.9 - Added processing timeliness criteria for Affordable Care ACT Forms 1094-B, Form 1095-B, Form 1094-C, Form 1095-C - IPU 17U0871 issued 05-18-2017

(13) IRM 3.30.123.8.7 (1) - Changed IRM and referenced private delivery carriers

(14) IRM 3.30.123.10.22 (4) - Changed aged criteria from 75 days to 45 days

(15) IRM 3.30.123.18.5 - Removed CAR48 and CAR49 runs retired October 2016

(16) IRM 3.30.123.19.1 - Changed retention days to 1,825

(17) IRM 3.30.123.19.4 (3) - Added AMS4940

(18) IRM 3.30.123.19.5 - Deleted subsection for Centralized Files and Scheduling project was discontinued renumbered subsequent subsections

(19) IRM 3.30.123.20.1 (9) - Changed IRM and referenced private delivery carriers

(20) IRM 3.30.123.25 (1) - Changed calendar days to business days - IPU 17U1349 issued 09-19-2017

(21) Exhibit 3.30.123-9 and 3.30.123-10 - Updated aged from 20% to 30%

Effect on Other Documents

IRM 3.30.123 dated November 4, 2016 (effective January 1, 2017) is superseded. This IRM also incorporates the following IRM Procedural Updates (IPUs) - 17U0407, 17U0871, 17U1158 and 17U1261.

Audience

Appeals (AP), Information Technology (IT), Large Business and International (LB&I), Small Business Self Employed (SBSE), Tax Exempt Government Entity (TEGE), Wage and Investment (W&I), and Taxpayer Advocate Service (TAS)

Effective Date

(01-01-2018)


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

Program Scope and Objectives

  1. Purpose: The information referenced in this IRM is to provide major timeliness objectives for Area Offices(AO), Campuses and Computing Centers. This IRM provides information to a list of organizations, functions, and programs.

  2. Audience: The users of this IRM are Submission Processing employees, and management officials in addition to Appeals (AP), Information Technology (IT), Large Business and International (LB&I), Small Business Self Employed (SBSE), Tax Exempt Government Entity (TEGE), Wage and Investment (W&I), and Taxpayer Advocate Service (TAS).

  3. Policy Owner: Director of Submission Processing.

  4. Program Owner: Monitoring Section (an organization within Submission Processing.

  5. Primary Stakeholders: Primary stakeholders are management officials with responsibility for the various programs mentioned in the IRM.

Background

  1. The information referenced in this IRM provides major timeliness objectives for Area Offices(AO), Campuses and Computing Centers.

Roles and Responsibilities

  1. The Director of Submission Processing is responsible for policy related to this IRM.

Acronyms

  1. The table lists commonly used acronyms and their definitions.

    Acronym Definition
    ACS Automated Collection System
    ALS Automated Lien System
    BBTS Batch Block Tracking System
    BOB Block Out of Balance
    CLU Centralized Lien Unit
    CSA Customer Service Agreements
    ECU Entity Clerical Unit
    EPMF Employee Plans Master File
    ERS Error Resolution System
    GUF Generalized Unpostable Framework
    HPTF Hardcore Payment Tracer Function
    IDRS Integrated Data Retrieval System
    IRP Information Returns Program
    ISRP Integrated Systems Remittance Processing
    PCD Program Completion Date
    RRPS Residual Remittance Processing System
    SCCF Service Center Control File
    SCRIPS Service Center Recognition Image Processing
    SCRS Service Center Replacement System
    SLA Service Level Agreements
    TAS Taxpayer Advocate Service
    TEGE TAX Exempt Government Entities
    TEP Tape Editing Process
    URF Unidentified Remittance File

IRM Deviation Procedures

  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. Ensuring other functional areas are not adversely affected by the change and it does not result in disparate treatment of taxpayers.

  2. Request 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), Internal Management Documents System, Internal Revenue Manual (IRM) Process. 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.

  3. All Submission Processing (SP) requests must be submitted to the following SP Headquarter Analyst:

    Sue Allen
    Submission Processing IRM Coordinator
    Coordination & Support Section
    Program Management/Process Assurance Branch
    sue.allen-cincinnati@irs.gov
    (859) 320-3633

General Guidelines

  1. Where time frames reference a certain number of days, those days are always to be considered workdays unless otherwise specified as calendar days. "Workdays" or "business days" are defined as non-holiday Monday through Friday days, unless otherwise specified.

  2. Program Completion Date (PCD) is driven by the interest free period on refundable tax returns. Interest will be generated to the taxpayer on any refundable amount if the refund is not issued within 45 calendar days of the statutory due date or the filed/processable date (whichever is later) of a refund tax return. Form 1040 series refund tax returns received and processed by Submission Processing Centers should be processed within 40 calendar days to meet the customer service goals set forth in the Annual Business Plan.

    Exception:

    An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4).

Program Completion Date (PCD) Definitions

  1. PCD is set for processable tax returns received by specific dates, including timely, prior period, and delinquent tax returns.

  2. Determine processable receipts by using the following formula for each PCD:

    • Function 110 (Receipts)

    • Minus Function 920 (Rejects) closing inventory

    • Minus Function 940 (Block Deletions) cumulative receipts

    • Minus Function 960 (Program Deletions) cumulative production

      Note:

      The following provides the data sources to be used in computing processable receipts and PCD accomplishment.

    1. Function 110 cumulative volume for each counting period receipts is pulled from the Function Volume Report within the Production Information and Monitoring System (PIMS)

    2. Function 940 cumulative receipts and Function 960 cumulative production volumes come from the Daily Production Report, PCC-22-40.

    3. Function 920 closing inventory and Function 950 cumulative volumes come from the Balance Forward Listing, PCD-03-44.

    Note:

    If using Function 180 (Batching Activities) cumulative production instead of Function 110, add Function 180 closing inventory (use zero if negative) minus Functions 920, 940, 960, and Function 970 (Reinputs) cumulative production. Function 970 volume comes from the Daily Production Report, PCC-22-40.

  3. Returns that were received by the specified date that are in Error Resolution, Rejects, and Block Out of Balance (BOB) are included in the PCD computations.

  4. Program Completion will be considered accomplished when:

    1. For 1040 series tax returns, the cumulative Good Tape production (Function 950) is equal to or greater than a given percentage of the number of processable tax returns received through the end of the counting period, so long as that Good Tape production is reached on or before the established PCD. See IRM 3.30.123.6.1.4, PCD Definition for Domestic (OTFP) IMF Tax Returns, and IRM 3.30.123.6.2.3, PCD Definition for Domestic (FP) IMF Tax Returns for specific definition of PCD.

    2. For all other returns/forms, the cumulative Good Tape production (Function 950) is equal to or greater than the total number (i.e., 100 percent) of processable tax returns received through the end of the counting period, unless a different direction is given under specific form type, so long as that Good Tape production is reached on or before the established PCD.

  5. For any monthly and fiscal year tax returns that do not have established PCDs, the processing time frames necessary to avoid paying overpayment interest on refund tax returns depend on the day of the week that the statutory due date falls and whether the tax return is Business Master File (BMF) or Individual Master File (IMF).

    1. Saturday, Sunday, Monday, or Tuesday - BMF - three weeks after the first Wednesday following the statutory due date.

    2. Wednesday, Thursday, or Friday - BMF - two weeks after the first Wednesday following the statutory due date.

    3. Wednesday, Thursday, or Friday - IMF - four weeks after the first Wednesday following the statutory due date.

    4. Saturday, Sunday, Monday, or Tuesday - IMF - five weeks after the first Wednesday following the statutory due date.

  6. For any monthly and fiscal year tax returns that do not have established PCDs, the processing time frames for non-refund tax returns will be one week later for IMF Other Than Full-Paid (OTFP) and two weeks later for BMF, unless otherwise specified.

  7. These requirements are monitored by SE:W:CAS:SP:PM:M.

Holiday or Weekend Impact

  1. For any program completion or Enterprise Computing Center at Martinsburg (ECC-MTB) date or periodically scheduled input, output, shipping or completion date which falls on a holiday on which the campus does not work, the completion date must be considered as the last work day prior to the holiday.

  2. The date established by the Internal Revenue Code (IRC) as the prescribed due date by which a tax return must be filed or a payment made, is referred to as the normal or original due date, and never changes. For purposes of determining the ≡ ≡ ≡ ≡ ≡ ≡ ≡ , the due date is NOT extended.

  3. When the due date of a tax return falls on Saturday, Sunday or legal holiday, the tax return is considered timely if postmarked by the next succeeding day after that date that is not a Saturday, Sunday, or legal holiday. Refer to IRC 7503 for more information.

  4. Patriot’s Day is a legal state holiday in Maine and Massachusetts, celebrated on the third Monday in April. If the due date of any tax return falls on Patriot’s Day, then the tax returns filed by taxpayers from one of those states will be considered timely filed if postmarked by the first day after that date that is not a Saturday, Sunday, or legal holiday. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ This is not to be confused with September 11, Patriot Day, which is not a legal holiday.

  5. Emancipation Day, April 16 is not a federal holiday, but under IRC 7503, legal holidays observed in the District of Columbia provide taxpayers nationwide additional time to file tax returns. If April 16 falls on a Saturday, the holiday will be celebrated on Friday, April 15, and tax returns will be considered timely filed if postmarked by Monday, April 18. If April 16 falls on Sunday, the holiday will be celebrated on Monday, April 17, and tax returns will be considered timely filed if postmarked by Tuesday, April 18. If April 16 falls on Monday, the holiday will be celebrated on Monday and tax returns will be considered timely filed if postmarked by Tuesday, April 17. This does not change the statutory due date at Master File, but tax form instructions and Pub 509, will be revised to inform the public that they have extra time to file on the next succeeding day that is not a Saturday, Sunday, or legal holiday, as outlined in IRC 7503. Any time that the statutory due date falls on a Saturday, Sunday, or legal holiday, the postmark date on the envelope should be used to determine timely filing for all returns received after the statutory due date. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

  6. Receipt and Control (R&C) will always stamp the Received Date as the actual date received in the campus. They will attach the envelope, or stamp "Postmark Date MM-DD-YYYY" (when there are multiple documents in one envelope) on all forms and documents as specified in IRM 3.10.72, Receiving, Extracting, and Sorting. It is the responsibility of the Tax Examiner to determine if a document was timely filed and adjust the Received Date stamped on the document accordingly.

  7. If additional information is needed, refer to IRC 7503, IRM 3.10.72, Receiving, Extracting, and Sorting, IRM 3.8.44, Campus Deposit Activity, and IRM 20.2.5, Interest on Underpayments.

Information Technology (IT) Customer Service Agreements

  1. Computer Processing Customer Service Agreements (CSA), or Service Level Agreements (SLA) are to be contracted between the Chief Information Systems Division or the responsible Operations Branch Chief and the responsible user designee (functional office of the campus, Area Office (AO), Automated Collection System (ACS) Call Site, National Headquarters, Enterprise Computing Center at Martinsburg, Enterprise Computing Center at Memphis). The agreements will identify campus or ACS processing, and specify when the specific processes are to be completed timely and correctly. Planning procedures should be made to set time periods for reviewing and changing report output distribution for yearly program changes. A Unified Work Request (UWR) will be written by the campus at least one year in advance to request applicable changes.

  2. The CSA or SLA will include the user's responsibility to notify the Information Systems Division when a significant change in processing conditions occur such as an increase or decrease in volumes.

  3. These requirements can be found by referring to IRM 2.7, Information Technology (IT) Operations, owned by OS:CTO:EO:CR:CP.

Acceptable Inventory and Aged Criteria for Submission Processing Databases

  1. To ensure PCDs can be accomplished, taxpayers are being treated fairly, systems are running efficiently, inventories are not becoming unmanageable, and aged inventories are deemed acceptable, inventories and aged criteria are set for many systems and databases within Submission Processing.

  2. Each IRS Submission Processing Center Field Director must monitor and assess the ability of his or her staff to achieve and maintain inventory at levels sufficient to meet PCDs as well as to meet established inventory and aged criteria.

  3. The Submission Processing databases with established inventory and aged criteria are:

    • Error Resolution System (ERS)

    • Rejects (ERS Suspense)

    • Rejects (SCRS Paper Registers)

    • Unpostables

    • Block Out of Balance (BOB)

    • Entity

    • Service Center Control File (SCCF)

    • Dishonored Check File (DCF)

    • Excess Collection File (XSF)

    • Unidentified Remittance (URF)

  4. The requirements for reporting these inventories for the Submission Processing Miscellaneous Inventory Report can be found by referring to IRM 3.30.124, Campus Monitoring Reports, owned by SE:W:CAS:SP:PM:M.

Error Resolution System (ERS)
  1. ERS is an on-line computer system used to correct errors that have failed validity, consistency or math computations. All work received in the ERS function comes from Integrated Systems Remittance Processing (ISRP), Service Center Recognition Imaging Processing (SCRIPS), Modernized e-File (MeF) or Accounting.

  2. ERS cases should be worked on a First In First Out (FIFO) basis. Corrective action for items in inventory should generally be completed within five (5) workdays (Day 4 inventory on ERS 13-41 Report). Although the ERS database can hold several days of inventory, the campuses should strive to keep each Master File inventories older than Day 2 at less than one percent of the specific Master File total inventory. The ERS 13-41 Report shows the inventory that is available to work in a given day by Program Number.

  3. For specific instructions regarding ERS System Capacity, refer to IRM 3.12.37, IMF General Instructions and IRM 3.12.38, BMF General Instructions.

  4. ERS instructions can be found by referring to IRM 3.12, Error Resolution and IRM 3.22, International Error Resolution, owned by SE:W:CAS:SP:PPB:IMF. IRM 3.12.3, Individual Income Tax Returns, owned by SE:W:CAS:SP:PPB:IMF. The BMF ERS IRMs are owned by SE:W:CAS:SP:PPB:BMF (BMF:N for International).

Rejects ERS Suspense
  1. There are specific conditions which cannot be resolved by the error correction function and are forwarded to the Rejects/ERS suspense function within the Input Correction Operation.

  2. The Reject Inventory consists of tax returns and documents that are considered unprocessable. All documents must be resolved within 10 workdays.

    Exception:

    Form 1120, U.S. Corporation Income Tax Return, should be processed in five workdays.

  3. These time frames do not apply while inventory is unworkable due to the following reasons:

    1. Taxpayer contact

    2. Accounting or Adjustment action, (except consolidated Form 1120 in Accounting. These will be processed in five workdays.)

    3. Prescribed resequencing action

    4. ECC-MTB Transcripts

    5. Entity Control Suspense

    6. Extensive research (includes ISRP/RRPS TC 610 cases)

    7. Examination suspense

    8. Review by Scheme Development Center (SDC)

    9. Documents not readily available in campus

    10. Control by Technical

    11. Bankruptcy Suspense

  4. ERS Workable Suspense items (Rejects) should be worked or re-suspended within five workdays.

  5. Correspondence should be issued within 10 workdays of being identified.

  6. Aged reject cases (60 calendar days and over) should be worked as quickly as possible and should not exceed twenty (20) percent of the inventory. TEGE reject cases are aged when over 90 days. Aged cases should be completed within 120 calendar days.

  7. These requirements can be found by referring to IRM 3.12.38, BMF General Instructions and IRM 3.12.37, IMF General Instructions, owned by SE:W:CAS:SP:PPB:BMF and SE:W:CAS:SP:PPB:IMF.

Rejects Service Center Replacement System (SCRS) Paper Register
  1. SCRS is the manual system used to correct errors that have failed validity, consistency or math computations. All work received in the Rejects/SCRS functions comes from ISRP, SCRIPS or Accounting.

  2. Error Registers containing the transcribed fields which have failed validity consistency or math computations are distributed daily for tax examiners to make proper corrections. The Error Correction Control function receives the error register from the local Information Technology (IT) print area normally within a day after receiving the carts of newly transcribed documents.

  3. After assignment of the paper registers, corrective action should generally be completed within three workdays.

  4. If the information transcribed from the first register still does not pass the required checks, a second register called a "loop register" is printed and worked in the same manner as the first register.

  5. The Daily Error Volume Report (GMF10-43) is a listing of volumes of error records in each program on the error tape and is in Error Sequence Number Julian Date. The last line of the report contains the total volume for all programs within the Master File and Julian Date specified.

  6. The Error Register Summary (GMF10-42) is produced when the error register is printed. It provides management with the count of all the error documents printed on the register for that day and the total error documents in error status for all program numbers within a Master File.

  7. All errors should be corrected or rejected within three weeks of the Error Sequence Julian Date.

  8. For additional information regarding corrections made on paper registers, refer to IRM 3.12.38, BMF General Instructions, owned by SE:W:CAS:SP:PPB:BMF.

Unpostables
  1. The Unpostable Program, also referred to as Generalized Unpostable Framework (GUF), is a database inventory system containing tax returns or source documents that have failed validity and consistency checks at the Master File.

    1. The Unpostable System may either assign or close the Unpostable record to a unique function, such as Accounting, Entity, Criminal Investigation (CI), or Examination for resolution, or

    2. Place the Unpostable record in an open inventory to be worked by Criminal Investigation, Entity Control, Examination, Statutes, or Unpostables.

    3. The Unpostable Record must be closed off the system using defined resolution codes.

  2. General Procedures for Unpostables are as follows:

    1. New Unpostables will be loaded Monday night by Enterprise Operations and taken into the Unpostable, Criminal Investigation, Exam, Statute, Employee Plans Master File (EPMF) Entity, Exempt Organization, and Entity inventories within three days after receipt from ECC-MTB. They will be available to work Tuesday morning. Weekly GUF reports pertaining to new inventory will be available Tuesday morning.

    2. The Integrated Document Solutions Enterprise (IDSE) will transmit the closed Unpostables to ECC-MTB on Tuesday or they will miss the ECC Weekly Update. Missing this update will cause adverse effects such as incorrect cycling.

    3. GUF corrections will be transmitted only on Tuesday night. Missing this update will not allow the weekly closures to be included in the GUF Inventory reports. Weekly GUF reports pertaining to closed inventory will be available Wednesday morning.

    4. Total Aged Unpostable cases will be worked as quickly as possible and must not exceed 20 percent of the ending inventory. The 20 percent requirement is applicable to each master file category separately (e.g., Business Master File (BMF) aged inventory will not exceed 20 percent of BMF ending inventory).

    5. Repeat Unpostables should not exceed 10 percent of the current week’s receipts. The 10 percent requirement is applicable to each Master File category separately.

    6. Correspondence for Unpostable cases must be issued within 10 workdays of determining contact is needed.

  3. Unworkable and workable inventory levels (excluding bankruptcies) should not exceed a 21-work day processing cycle.

  4. If a campuses ending inventory exceeds its receipts by 15 percent for three consecutive weeks, or its aged inventory exceeds 20 percent per week the inventory will be considered unmanageable. Aged inventory percentages are determined for each function worked within the individual Master Files. Stringent management measures must be taken to bring percentages back to manageable levels. The following are for all functions working Unpostables to help in maintaining these levels:

    1. Nullified Unpostables that are to be reinput will receive expedite processing. Reinput tax returns should not be shelved.

    2. Review and completely resolve, to the extent possible, all Unpostable conditions that could result in a repeat Unpostable.

    3. Review the aged inventory so that high dollar amounts ($25,000 or more) and VERY old cases are kept to a minimum.

    4. Refund and payment documents must be given a higher priority than other Unpostables. Local Management will decide highest priority. Specific Unpostable listings are generated to identify refund tax returns to ensure the 45 calendar day interest free period is met. After the tax return due date, refund tax returns will receive the highest priority to meet the 45-calendar day interest free period.

      Exception:

      An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4).

      Note:

      Ensure Manual Refunds are issued on all Applicable Refunds (e.g., refunds of $1 million or more). Refer to IRM 21.4.4, Manual Refunds.

    5. Review 100 percent of all repeat unpostables for each Master File.

    6. Each campus will maintain adequate staffing and terminals.

  5. An unreversed TC 582 on the module indicates a lien is present. Refer to IRM 5.12.3.3.1, Liability is Satisfied, regarding the necessity of a manual lien release. Employees of the functions with access to the Automated Lien System (ALS) will input lien release requests in these situations. For those functions that do not have access to ALS, determine the Centralized Lien Unit (CLU) lien release contact on the IRS Intranet by going to:

    • IRS Intranet Homepage (IRWeb)

    • SERP

    • Click on the "Who/Where" tab at the top of the page

    • Click on "Centralized Lien Processing."

  6. An internal use only telephone number is also provided along with the contact information provided on the CLU web. Ensure all e-mail communications regarding liens are via secure e-mail.

  7. These requirements can be found by referring to IRM 3.12.32, General Unpostables, IRM 3.12.179, IMF Unpostable Resolution, IRM 3.13.122, IMF Entity Control Unpostables, IRM 3.12.279, BMF/CAWR/PMF Unpostable Resolution and IRM 3.13.222, BMF Entity Unpostable Correction Procedures, owned by SE:W:CAS:SP:PPB:PPS.

Entity
  1. The Entity function in the Submission Processing Center involves establishing, changing, maintaining or perfecting the Entity portion of taxpayer accounts.

  2. The following guidelines will be used in evaluating the effectiveness of entity processing.

  3. Incoming mail and cases are either delivered to the Entity Clerical Unit (ECU), clerical support area, or are to be picked up by an ECU designee from the appropriate area(s) on at least a daily basis.

  4. All time frames start from IRS received date, unless otherwise specified. The time frame for tax returns received from R&C is five calendar days. The time frame for tax returns received from other functions is five calendar days from receipt in Entity Control.

  5. The Batch/Block Tracking System (BBTS) is used to track Entity inventories for Individual Master File (IMF), BMF, Exempt Organizations (EO), and Employee Plans (EP). See Exhibit 3.30.123-9, IMF BBTS and WP&C Function Program Code Chart, Exhibit 3.30.123-10, BMF BBTS and WP&C Function Program Code Chart, Exhibit 3.30.123-11, EP BBTS and WP&C Function Program Code Chart and Exhibit 3.30.123-12, EO BBTS and WP&C Function Program Code Chart, for the BBTS code, WP&C Function Program code, Management Information Report (MIR) line number, BBTS Description, Detailed Description of Work, Turnaround, and Overage Tolerance Percent for the various Master Files identified.

  6. Turnaround is the number of workdays the IRM allows for a timely closure. If the IRM specifies same day closure, the turnaround time is one day. Work received today and closed tomorrow has a two day turnaround.

  7. Overage becomes critical when the percentage exceeds the overage tolerance of 30 percent. The number of calendar days allowed in suspense is the maximum length of time an item is held in suspense. It has no bearing on the age of an item. It is used for the Suspense Purge reports.

  8. The requirements can be found by referring to IRM 3.13.5, IMF Account Numbers and IRM 3.13.2, BMF Account Numbers, owned by SE:W:CAS:SP:SPB:PP. For additional information, refer to the BBTS User Guide.

Block Out of Balance (BOB)
  1. When a detail record of a tax return entered into the Integrated Submission and Remittance Processing System (ISRP), Service Center Recognition/Image Processing System (SCRIPS), Lockbox processing, or electronic submission processing fails to match the detail record of the block header, the information for the block of work is retained on the Block Out of Balance (BOB) file.

  2. The following guidelines will be used in evaluating the effectiveness of processing blocks out of balance:

    1. Any BOB not cleared from the BOB file within two weeks is considered aged.

    2. Payment blocks (Document Codes 17, 18, 19, 70, 76, and 97) should be worked on a priority basis.

    3. Blocks with Service Center Control File (SCCF) related BOB conditions (codes N, Q, R and S) will be given priority because the corrective action may affect other blocks.

    4. If the block is not corrected within 30 days, the Document Locator Number (DLN) will appear on the SCCF aged list in the Data Controls function.

  3. The requirements can be found by referring to IRM 3.40.37, General Instructions, owned by SE:W:CAS:SP:PPB:MMDC.

Service Center Control File (SCCF) Age Review
  1. The SCCF is a real time database that controls the establishment and processing activities of all documents, including revenue receipts, received and processed through the Generalized Mainline Framework (GMF) for accountability by the Submission Processing Center Field Director.

  2. The SCCF database must be monitored to identify unprocessed blocks. Items will age on SCCF according to criteria established by document type and input source. The SCCF Aged Modules must be monitored to ensure timely processing of all form types. The SCCF aged should be used as a tool to identify and expedite unprocessed blocks that fall under the PCD requirement.

  3. The following guidelines may be used to evaluate the effectiveness of SCCF aged review.

    1. Monitor the documents aged in the "1-3 months" category to ensure the volume is acceptable for the time period. For example, these volumes will be higher during peak processing periods, especially during heavy BMF receipt periods. These aged transcripts should be reviewed when received to prevent further aging.

    2. Routinely having items in the "4 months" category is an indication of insufficient attention in getting cases resolved. Data Control must provide documentation to Headquarters for all blocks aged "4 months." At a minimum, this documentation should include the original system input source (EOD, RPS, ISRP, etc.) research and activity history, and the planned resolution, including projected processing date.

    3. SCCF levels in the aged category of "4 months" should not be exceeded for any two consecutive months, or three cumulative months.

    4. Any number of documents aged "5+ months" is unacceptable.

    5. Any item reported in the 4 and 5+ month categories require an explanation in the comments section. Annotate the SCCF Aged Lists with detailed explanations.

      Note:

      For additional information refer to Researching SCCF Aged List in IRM 3.12.37 and/or IRM 3.12.38.

  4. The SCCF aged transcript reports will be available in the first running of SCCF in each new cycle. For specific SCCF aged instructions refer to IRM 3.17.30, SC Data Controls, owned by SE:W:CAS:SP:ATP:SCAD.

  5. For additional reporting instructions, refer to IRM 3.30.124, Campus Monitoring Reports.

Dishonored Check File (DCF)
  1. The Dishonored Check File is a separate file within the Integrated Data Retrieval System (IDRS) containing information on all remittances on which payment has been refused by the depository bank.

  2. All dishonored checks should be processed through their release from Transcription or through application on IDRS within 21 calendar days from the date on the Other Gov SF 5515, Debit Voucher.

  3. Missing checks and checks related to an out of sequence encoding error will not be included in the 21 calendar day time frame.

  4. The processing cycle starts on the date the original Other Gov SF 5515 is prepared and continues until the account is closed by application or void.

  5. These requirements can be found by referring to IRM 3.17.10, Dishonored Check File (DCF) and Unidentified Remittance File (URF), owned by SE:W:CAS:SP:ATP:SCAD.

  6. For additional reporting instructions refer to IRM 3.30.124, Campus Monitoring Reports.

Bank Discrepancy Processing
  1. "Single" deposit shortages entered into Account 1710 (Dishonored Check File) for control purposes should be researched and resolved within 90 calendar days after notification by depositary.

  2. Encoding errors, piggy back remittances and improper Other Gov SF 5515 charge backs must be resolved within 45 calendar days of the date the discrepancy was identified.

  3. Slipped blocks must have all avenues of research exhausted within 150 calendar days of the date the discrepancy was identified.

  4. These requirements can be found by referring to IRM 3.17.10, Dishonored Check File (DCF) and Unidentified Remittance File (URF), owned by SE:W:CAS:SP:ATP:SCAD.

Excess Collection File (XSF)
  1. The XSF section of the MIR is only to be updated monthly. Use the data (Documents and money amounts) from the "Service Center Totals" portion of the Monthly Excess Collection File Analysis report. This is found on the URF-01-15 report.

  2. For additional reporting instructions, refer to IRM 3.30.124, Campus Monitoring Reports.

  3. These requirements can be found by referring to IRM 3.17.220, Excess Collections File, owned by SE:W:CAS:SP:ATP:SCAD.

Unidentified Remittance File (URF)
  1. The URF is a separate file within IDRS containing all remittances received that cannot be immediately identified, applied, or associated to a specific taxpayer or tax period.

  2. An alert line will be displayed at the end of the URF 01 when the new unidentified balance exceeds $1,000,000.

  3. The URF50 Aged 10 month list shows all cases which are aged more than 10 months. This report will be used to monitor inventory management.

  4. These requirements can be found by referring to IRM 3.17.10, Dishonored Check File (DCF) and Unidentified Remittance File (URF), owned by SE:W:CAS:SP:ATP:SCAD.

Deposit and Accounting Guidelines

  1. The Service is committed to ensuring a 24 hour deposit standard. As we move toward attaining that goal through improved technology, it is of the utmost importance to deposit the largest amount of money in the shortest possible time frame in order to achieve good cash management practices. For payments processed through the Remittance Strategy-Paper Check Conversion (RS-PCC) system, the 24 hour deposit standard is met by scanning the paper check and submitting it for deposit no later than the first business day after the date of the receipt of the check.

    Note:

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

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

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

  4. Submission Processing Field Office Payment Processing functions must issue Form 809, Receipts for Payment of Taxes, to employees with valid authorizations on file within two business days of request.

  5. Submission Processing Field Office Payment Processing functions must issue Form 5919, Teller's Error Advice, to the appropriate field office manager within three business days, when critical errors are observed on official receipts. See IRM 3.30.123.20.2, Instructions for Field Exam Payments of $100,000 or More.

  6. These requirements and additional information can be found by referring to IRM 3.8.44, Campus Deposit Activity, owned by SE:W:CAS:SP:PPB:MMDC and IRM 3.8.45, Manual Deposit Process, owned by SE:W:CAS:SP:ATP:SCAD. For other payment methods, the owner is SE:W:CAS:TPM:EP.

Peak Deposit Cycles

  1. The extended cycle for depositing receipts for the April peak completion date is determined by Wage and Investment (WI) Operating Division and sent to the Campuses via memorandum.

  2. During the following mini-peaks, extended cycles must not exceed five business days. However, the deposit cycle may be extended to a maximum of two workdays.

    1. Form 1040, U.S. Individual Income Tax Return, during the October period;

    2. Form 1120, U.S. Corporation Income Tax Return, during the March period;

    3. Form 720, Quarterly Federal Excise Tax Return, during the February, March, May, August, and November periods;

    4. During the January 15 and September 15 periods, when large volumes of mail are received.

  3. A deposit cycle is a 24 hour time limit authorized to accomplish the deposit of all remittances received each day. The deposit cycle may be extended to a maximum of three workdays during the January, April, July and October 31 periods, when business returns are received.

  4. During the above mentioned peak periods, multiple daily deposit pickups should normally be utilized in order to continue to deposit the largest amount of money in the shortest time frame. Submission Processing Centers will usually schedule two deposit pickups during peaks, taking into consideration prior year receipts and production standards balanced with approved projected changes (e.g., consolidation issues, transshipping, increase in e-filed tax returns, changes in Lockbox volume, etc.).

  5. These requirements can be found by referring to IRM 3.8.44, Campus Deposit Activity, owned by SE:W:CAS:SP:PPB:MMDC.

Campus Deposit

  1. The Service is committed to ensuring a 24 hour deposit standard. As we move toward attaining that goal through improved technology, it is of the utmost importance to deposit the largest amount of money in the shortest possible time frame in order to maintain good cash management practices. Management at all levels must monitor the flow of receipts to ensure that this objective is achieved. Remittances of $100 million or more must be deposited on the day of receipt.

    Note:

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

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

    2. All remittances of $50,000.00 and up to $99,999.99 must be deposited by the next business day (excluding Saturdays and Sundays). During peak periods identified above in IRM 3.30.123.3.1 (1), Peak Deposit Cycles, all attempts must be made to deposit these items the same day of extraction or no later than the next business day.

  2. These requirements and additional information can be found by referring to IRM 3.8.44, Campus Deposit Activity, owned by SE:W:CAS:SP:PPB:MMDC and IRM 3.8.45, Manual Deposit Process, owned by SE:W:CAS:SP:ATP:SCAD.

Area Office (AO) Deposit

  1. All remittances received must be forwarded to the teller function on the day of receipt or no later than the following business day. The teller will prepare payments for shipment to the campus by the next business day. Tax payments of $100,000 or more will be deposited immediately. Remittances transshipped to Submission Processing Centers must be within the time frames specified above, see IRM 5.1.2.3, Timeliness of Remittances for specific instructions. Collection Support Function personnel will be responsible for monitoring customer functions to ensure the deposit cycle is consistently met and the campus will issue and track Form 809, Receipt for Payment of Taxes.

  2. Convert cash to a bank draft or money order by close of business on the day it was received, or as soon as possible on the next business day.

  3. To ensure accountability for payment received in a Field Taxpayer Assistance Center (TAC), all Form 809 receipted payments (cash and non cash), and all other remittances and related tax returns must be recorded on Form 795, Daily Report of Collection Activity. The Form 795 will be prepared by the employee who received the payments.

  4. Use a separate Form 795 to transmit daily remittances and tax returns for each designated Submission Processing Center. Form 3210, Document Transmittal, may be used to transmit tax returns without remittances.

  5. Keep the Form 3210 with the RS-PCC and non-remittance documents so that Batching will recognize whether they should batch as with remittance. Do not remove them when extracting contents of the package.

  6. The Area Office Case Processing Support is responsible for the processing operations in direct support of field operations. This includes the receipt and transfer of remittances and tax returns via overnight traceable mail, as well as the analysis and perfection of IDRS input.

  7. If additional information is needed, see IRM 3.30.123.20.1, Shipment of Returns/Documents and/or refer to IRM 21.3.4, Field Assistance.

Federal Tax Deposit (FTD) Processing Specifications

  1. The FTD paper processing of Form 8109 was made obsolete effective 12/31/2010. The FTD Point of Contact (POC) information can be found by referring to IRM 3.17.243, Miscellaneous Accounting. FTDs are processed via Electronic Federal Tax Payment System (EFTPS). These requirements and additional information can be found by referring to IRM 3.17.277, Electronic Payments.

Payment Tracers

  1. First read payment tracers will be processed within a maximum of 45 calendar days from IRS received date.

  2. When absolute proof of payment has been received and the taxpayer will have an overpayment, the Hardcore Payment Tracer Function (HPTF) will complete all research within 10 workdays before allowing a tentative substantiated credit, even if preliminary research has not been completed.

  3. HPTF will allow a substantiated credit within 120 calendar days of receipt in HPTF when it is determined that documentation needed to locate the missing payment has been destroyed or cannot be located.

  4. The requirements for Hardcore Payment Tracers can be found by referring to IRM 3.17.5, Hardcore Payment Tracers, owned by SE:W:CAS:SP:ATP:SCAD.

Revenue Accounting Control System (RACS) Recap of Assessments, Abatements and Post Journalized Transactions for the Net Tax Refund Report

  1. The following chart provides the file identities. These files are sent from ECC-MTB to Enterprise Computing Center-Detroit (ECC-DET). Variable "nn" is the campus code.

    RACS Report Report Identifier
    Dir. Dep RACS NTRR 4603821.SCnn
    Non DD RACS NTRR 4603822.SCnn
    IMF RECAP (DAILY) 4604324.SCnn
    IMF RECAP (SEMI-ANNUAL) 4404324.SCnn
    BMF NTRR (WEEKLY) 1604116.SCnn
    BMF NTRR (ACCEL. RFNDS.) 1604127.SCnn
    RACS RPT DD Refund 1604128.SCnn
    BMF RECAP (WEEKLY) (ANNUALLY) 1604321.SCnn
    IRA RECAP (DAILY) 6604311.SCnn
    DMF NTRR 4451911.SCnn
  2. The following chart provides the file identities. These files are sent from the campuses to ECC-DET. Variable "nn" is the campus code.

    Various Reports Report Identifier
    SCF RECLASS (DAILY) SCF1101
    GUF UNPOSTABLE CONTROL (WEEKLY) GUF53-40
    GMF TRANS RELEASE (DAILY) GMF1505
    IDRS EOD (DAILY) EOD2801 SCnn
  3. A copy of the Non-Master File (NMF) Analysis of Revenue Receipts Report, generated after the close of the accounting month, must be submitted to the National Headquarters no later than the sixth work day of the following month.

  4. Express mail the report to Headquarters to:

    Internal Revenue Service
    Attn: OS:CFO:FM:RA
    K 6100
    1111 Constitution Ave. NW
    Washington, DC 20224

  5. A copy of the Loss/Shortage Report must be mailed to:

    Internal Revenue Service
    Attention: Losses and Shortages Analyst
    5000 Ellin Road
    C5-111
    Lanham, MD 20706

  6. The requirements are owned by OS:CFO:R:R.

Credit and/or Account Transfers

  1. Form 12810, Form 2424 and Form 3809 received in the Accounting Operation will be processed within a six (6) day time frame.

  2. Review the document to ensure it has been completed correctly.

  3. Any requests being rejected must be sent back to the originator under cover of a Form 3210.

  4. See IRM 3.17.21 for additional processing instructions.

Request for Manual Assessment

  1. Form 2859 requests received will be processed within five (5) business days from the date of receipt unless a specific 23C date has been requested.

  2. When a Form 2859 is received in Accounting, the receiving office will review the manual assessment for completeness and verify that the Assessment Statute Expiration Date (ASED) has not expired.

  3. Whenever you receive a request that needs to be rejected you must

    • First contact the requestor, via telephone

    • Advise the requestor as to why the case is being rejected

    • Subsequently fax the request back to the originator with the reason for the rejection notated on the Form 3210

      Note:

      Refer to IRM 11.3.1.11, Disclosure of Official Information for faxing guidance.

  4. See IRM 3.17.244 for additional processing instructions.

Form 12857, Refund Transfer Posting Voucher

  1. All Form 12857 received must be processed with in five (5) business days.

  2. Review the Form 12857 to ensure it is completed correctly.

  3. Once the decision to process the Form 12857 is made, the receiving campus must acknowledge receipt of the form. The Form 3210must be signed and returned to the originator within two (2) business days by fax or inter-office mail.

  4. See IRM 3.17.243.3.5 for additional processing instructions.

Residual Remittance Processing System (RRPS) Daily Output

  1. It is essential to produce the Deposit Ticket Totals report on a timely basis to coincide with the bank’s deposit pickup activity. During peak processing there may be two deposit pickups. The RRPS operation and the Operations Branch will jointly coordinate the required time frames to enable each Submission Processing Center to meet its prescribed time for the deposit pickup.

  2. Output consists of:

    • ISRP Remit Recap Tape

    • ISRP Master Control Record (MCR) tape

    • Tax Class Total Listing

    • Pre-Deposit Corr/Mismatch List

    • General Ledger Account No. List

    • Remittance Recap

    • Pre-Mainline Corr/Mismatch List

  3. The RRPS requirements for ISRP can be found by referring to IRM 3.24.133, Residual Remittance Processing System, owned by SE:W:CAS:SP:PPB:MMDC.

Lockbox Processing

  1. A Lockbox is a designated financial institution that acts on behalf of the IRS for processing tax payments. The Lockbox will process the voucher and payments then credit the amount to Treasury’s deposit account. The data files associated with these payments will be transmitted via the Lockbox Electronic Network to the IRS. These files include: XML data file (LB0516), TAR image file (LB0515), RPS0103, RPS0505, RPS0523, RPS9701 and the LBX0501 RRACS file.

  2. The Lockbox will forward daily, via courier, all the work processed during the previous day's activity. A lockbox Document Transmittal (LDT) will list the contents of the package, which may include:

    • Tax Returns (current, prior, delinquent, Form 1040-X, etc.)

    • Unprocessable Checks

    • Taxpayer Correspondence

  3. The Submission Processing Center has primary responsibility for the following:

    1. Monitor and ensure the timeliness of deposits and adjustments, via Electronic Check Processing (ECP).

    2. Review the Deposit Ticket/Debit Voucher Listing in Accounting to ensure the daily transfer of funds from the Lockbox to Treasury was completed timely.

    3. Ensure the Lockbox Daily Activity Report is sent to Headquarters.

    4. Submit the following reports to Headquarters:

    Type of Report Due at Headquarters Operations
    Deposit Activity Lockbox Thefts 5th of every month for prior month.
    1. Within 1 hour of notification;

    2. Update with Quarterly Evaluations.

  4. The requirements for Lockbox processing are owned by SE:W:CAS:SP:ATP:LPO.

Cycle Definitions

  1. The word "Cycle" is used two different ways within Submission Processing.

    1. Cycle can be used as a "daily counter" , usually of non-holiday Monday through Friday days, from a start date through a stop date.

    2. Cycle can also be used to refer to a week, which is usually designated by a cycle number.

      Note:

      Effective January 2012, the Campus Production Cycles changed to begin on a Thursday and end on a Wednesday.

  2. The cycles for campus and ECC-MTB can be found by referring to IRM 2.7.9, Enterprise Computing Center - Martinsburg (ECC-MTB) Processing Timeliness, owned by OS:CTO:EO:EC:OS.

Operating Number of Days in Cycle - A Day Counter

  1. Definition- For any selected ending date for an individual campus - starting with the cumulative production (Good Tape) volume for a single Program Number, the operating number of days in cycle is the number of non-holiday, Monday through Friday days ago the cumulative receipts for the calendar year for that Program Number at that campus most closely approximated the total number of tax returns that went to Good Tape for the calendar year.

    Example:

    The campus has achieved an 11 day cycle when for a selected ending date, counting both the received date and the ending date, ten workdays earlier the cumulative receipts are equal to or is less than the total number of tax returns processed to Good Tape.

  2. Cumulative receipt volumes can be derived from data available in the Pipeline Inventory Monitoring System (PIMS) Function Volume Report (for Function 110). Good Tape volumes (Function 950) are available from the Balance Forward Listing (PCD 03-44).

    Note:

    Operating number of days in cycle can be calculated throughout the year. However, during periods when Rejects inventories (awaiting taxpayer response to correspondence) are high and New Receipts are low, the number of days in cycle tends to increase daily, regardless of how little inventory may be in other functional areas. When this occurs, the operating number of days in cycle may not be the best indicator of timely processing of new receipts.

Batch/Block Tracking System (BBTS) Accomplished Cycles - A Day Counter

  1. Definition- For any selected ending date for an individual campus - starting with the cumulative production (Systems Operations - Function 610) volume for a single Program Number, the BBTS Accomplished Cycle is the number of non-holiday, Monday through Friday days ago the cumulative receipts for the calendar year for that Program Number at that campus most closely approximated the total number of tax returns that had been released from Function 610 for the calendar year.

    Example:

    If for a selected ending date, counting both the received date and the ending date, nine workdays earlier the cumulative receipts are equal to or less than the total production volume for Function 610, the campus is on a 10 day BBTS Accomplished Cycle.

  2. Cumulative Receipt volumes can be derived from data available in the Pipeline Inventory Monitoring System (PIMS) Function Volume Report (for Function 110). Cumulative Production volumes for (Function 610) are available from the Daily Production Report (PCC 22-40).

    Note:

    BBTS Accomplished Cycle can be calculated throughout the year. When campus production cycles are high due to periods with a high Rejects inventory and low New Receipts, the BBTS Accomplished Cycle may be a better indicator of the timely processing of new receipts.

Generalized Mainframe Framework (GMF) Campus Production Cycles - A Week Counter

  1. Definition- A period of time during which all GMF processing outputs to Tape Editing Process (TEP) will subsequently be worked together during the "weekly" processing at the Enterprise Computing Center-Martinsburg (ECC-MTB).

    Note:

    In January 2012, IMF began processing TEPs daily for daily transactions directed to daily taxpayer accounts. All BMF, EPMF, and IMF weekly accounts or transactions will be processed at ECC-MTB on Thursdays. The acceleration of the cycle results in the inability for a campus to extend a production cycle.

  2. As a means of shorthand, the GMF Campus Production Cycle for a particular week is expressed by a six digit code; the first four digits indicate the year and the last two digits are the week in the year.

    Example:

    The third cycle in calendar year 2018, beginning on Thursday, January 11, 2018, through Wednesday, January 17, 2018, is Processing Cycle 201803. See Exhibit 3.30.123-1, GMF Production Cycles.

  3. Normally this describes the TEP outputs from Thursday night's GMF processing through Wednesday night's GMF processing. The results for this period would be sent to ECC-MTB on Friday through Thursday.

Enterprise Computing Center-Martinsburg (ECC-MTB) Posting Cycles - A Week Counter

  1. Definition- The week the tax return or other transaction posted to the master file.

    Note:

    Some transactions processed on IMF are posted on a daily cycle instead of weekly.

  2. A period of time during which all GMF processing inputs from TEP received from the campus locations are processing at ECC-MTB.

  3. The ECC-MTB Posting Cycle for a particular week is expressed by a six digit code; the first four digits indicate the year and the last two digits are the week in the year.

    Example:

    The third cycle in calendar year 2018 is Posting Cycle 201803. See Exhibit 3.30.123-2, ECC-MTB Posting Cycles. The ECC-MTB Posting Cycles calendar has been revised to reflect the true posting week beginning on Friday and ending on Thursday.

  4. The cycle number used as the GMF Campus Production Cycle for one week will be the same cycle number used as the ECC-MTB Posting Cycles when posting occurs. The cycle number, then, describes the same information being processed.

    Example:

    The GMF Campus Production Cycle 201804 runs from Thursday, January 18, 2018, through Wednesday, January 24, 2018. The ECC-MTB Posting Cycle 201804 runs from Friday, January 19, 2018, through Thursday, January 25, 2018. BMF, EPMF and IMF weekly transactions and weekly accounts will be processed on the last day (Thursday) of the Posting Cycle.

Accelerated Cycles - A Week Counter

  1. Definition- A cycle for which coordinated procedures have been established between Enterprise Computing Center-Martinsburg (ECC-MTB) and the Bureau of the Fiscal Service (BFS) to accelerate the issuance of refunds for 1041 series and 1120 series tax returns only.

    Note:

    In January 2012, with IMF processing daily, refund issuance is also accelerated to four business days for direct deposit refunds and six business days for paper check refunds. With the accelerated refund cycle, there will no longer be a need for an IMF 1040 series Accelerated Cycle.

  2. The result is that any refund 1041 series and 1120 series tax returns that are cleared to Good Tape at the Submission Processing Center, will receive accelerated processing at ECC-MTB in an effort to reduce refund interest paid by the IRS.

  3. Accelerated Cycles apply to all campus locations and are negotiated nationally.

  4. As required by the accelerated refund process, no systemic intercepts IDRS Command Code (NOREF) or manual code (STDDS) may be requested for any accelerated refund cycle. The last day for input of manual refunds is two workdays prior to the check/mail date. Local coordination with the Hyattsville Regional Operating Center (HROC) must be established to ensure the manual refund Electronic Data Transmission (EDT) is sent from the campuses timely. Sufficient time must be allowed for HROC to process the manual refund tapes to meet the applicable check issuance date. Each campus should contact HROC to confirm their latest manual refund schedule acceptance.

  5. Accelerating Cycles will help achieve significant savings by providing an opportunity to eliminate interest on refunds that have been delayed in the processing stream. The PCD is not extended by the availability of the interest-free cycle. During the Accelerated Cycle, emphasis should be placed on reducing the Rejects and GUF inventory of refund tax returns.

    Note:

    The acceleration that occurs is primarily at ECC-MTB and BFS, not to the Campus PCD. See IRM 3.30.123.7.8.1 for the Campus PCD tables for 1120 series tax returns and Form 1120-C, U.S. Income Tax Return for Cooperative Associations, refunds under the "ECC-MTB Posting Cycles" headings in the refund charts.

Extended Cycles - A Week Counter

  1. Implementation of CADE2 resulted in the change to the campus cycle and accelerating master file processing to Thursdays, an extended cycle can no longer be requested.

Dead Cycles - A Week Counter

  1. Definition- ECC-MTB Posting Cycles during which MASTER FILE postings do not occur.

  2. No data is lost. The delay in posting is solely related to start-up for the yearly changes to the Master Files.

  3. For BMF, there are two dead cycles each year. For 2018, they are ECC-MTB Posting Cycles 201801 and 201802. BMF transactions that are sent from the campus locations during GMF Campus Production Cycles 201801, 201802, and 201803 will attempt to post to the BMF during ECC-MTB Posting Cycle 201803.

  4. For IMF, there are three dead cycles each year. For 2018, they are ECC-MTB Posting Cycles 201801, 201802, and 201803. IMF transactions that are sent from the campus locations during GMF Campus Production Cycles 201801, 201802, 201803, and 201804 will attempt to post to the IMF during ECC-MTB Posting Cycle 201804.

  5. Most campus processing can continue during the dead cycles. Just as with Accelerated Cycles, the majority of the impact is on Master File processing at ECC-MTB.

Maximum Processing Cycles - A Day Counter

  1. The cycles listed under the specific form under the particular Master File section (e.g., IMF, BMF, Information Returns Program (IRP) etc.,) in this IRM specifies the maximum operating number of days in cycle in workdays for documents and tax returns. Area Office (AO) and campus operations must be planned so that these cycle times will not be exceeded. These are maximum cycles and should be shortened whenever it is practical to do so.

  2. To monitor current overall cycle length for a program, find the date on which the cumulative actual receipt volume most closely approximated the cumulative volume for (Function 950) and count the number of Monday through Friday days (excluding holidays), including Functions 110 and 950.

IMF Daily Processing

  1. IMF processing will be daily except on weekends. Some transactions post to IMF on a daily basis as opposed to during the weekly cycle.

  2. IMF Cycle Date is a daily cycle designated by an eight digit number indicating the year, the two digit cycle number and the two digit number indicating the day of the week (YYYYWWDD). The following values for DD are defined:

    1. 01 = Friday

    2. 02 = Monday

    3. 03 = Tuesday

    4. 04 = Wednesday

    5. 05 = Thursday

    Note:

    This date is the equivalent of the Cycle Date in IDRS and reflects the date the transaction is posted by IMF. See Exhibit 3.30.123-2, Enterprise Computing Center - MTB Posting Cycle Calendar.

    Example:

    IMF daily transactions balanced and released by the campus on Monday, August 6, 2018 will have a posting cycle of 20183202.

  3. Elongated Day is created when two (or more) days of IMF daily input are processed in a single IMF daily day. This usually occurs due to scheduled non-business days, such as federal holidays, and dead cycles. In those situations, the IMF Posting Date will be the last or latest date in the Elongated Day.

    1. Any holiday input will be combined with the following business day and the posting date will be the business day after the holiday, unless IMF processing problems occur.

  4. An IMF Deferred Day occurs when IMF has a scheduled processing day, but does not process. There will be scheduled deferred days to allow the IMF to reanalyze the accounts to mark as daily or weekly. Unscheduled deferred days may also occur when an IMF programming problem has been identified, but cannot be corrected without impacting IDRS availability. For both scheduled and unscheduled deferred days, the daily input will be combined with the next processing day's input and will reflect the posting date of the actual IMF processing day.

  5. IMF Refund Payment Date -The IMF Refund Payment Date will be computed by IMF for both Direct Deposit and Paper Check refunds and will be listed on the refund transaction TC 846 in fields:

    • "RFND-PAY-DATE" on IMFOL, format MMDDYYYY

    • "RFND-PYMT-DT" on TXMOD, format YYYYMMDD

    IMF computes this field as the posted cycle date PLUS four business days for Direct Deposit refunds; posted cycle date PLUS six business days for Paper Check refunds.

  6. These requirements are owned by OS:CTO:EO:OS:PC.

Taxpayer Correspondence, Centralized Authorization File (CAF), Statutes, Taxpayer Advocate Service (TAS), Return and Income Verification Services (RAIVS) Photocopies and Files

  1. This subsection contains processing time frames for IRS generated correspondence (including letters and CP notices) and taxpayer generated correspondence. It also contains information about Statutes, Power of Attorney, RAIVS and TAS.

  2. Receipt & Control/Campus Support Operations should route taxpayer correspondence to the appropriate area within 2 workdays (4 workdays during peak processing) of the IRS received date.

  3. See Exhibit 3.30.123-6, IDRS Correspondex Master Letter Tape Monthly Updates, for the schedule of transmittal times for changes to the Correspondex. Also, it gives the date to File Transfer Protocol (FTP) Volume Control Tapes. If there are any problems with these time frames, contact Mattie J. Blake at 901-546-2751.

  4. These requirements are owned by SE:W:CAS:AM:ESP:CCP.

Correspondence Suspension Purge Dates

  1. Cases being held in suspense pending taxpayer response to Service correspondence are to be purged 10 calendar days after the suspense period ends. The suspense period is the time the taxpayer has been allowed to answer, generally 30 calendar days for domestic and an additional 30 days for taxpayers residing overseas.

  2. The 10 day purge date can vary, refer to IRM 3.13.62, Media Transport and Control, owned by SE:W:CAS:SP:PPB:MMDC.

Response to Correspondence and Overage Criteria

  1. The Annual Business Plan includes, as Corporate Critical Success Factor, Action 61/Policy Statement P-21-3, to improve the quality and timeliness of taxpayer correspondence.

  2. RRA 98 Section 1102(c) modified Action 61/Policy Statement P-21-3. RRA 98 Section 1102(c) requires a final response to the taxpayer to be initiated by the 30th day from the earliest IRS received date.

  3. For specific instructions for handling taxpayer correspondence refer to IRM 21.3.3, Incoming and Outgoing Correspondence/Letters, or refer to Part 3: Submission Processing, for a specific form.

  4. Letters addressed to outside sources must reference the date of the incoming letter or inquiry and fully explain the action taken, even if the action taken was exactly what the addressee requested.

  5. If during a taxpayer contact it appears that the taxpayer is experiencing economic harm, 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, and you can't resolve the taxpayer's issue the same day, complete Form 911, Request for Taxpayer Advocate Service Assistance (And Application for Taxpayer Assistance order), and refer the taxpayer to Taxpayer Advocate Service (TAS). Refer to IRM 13.1.7.2, Taxpayer Advocate Services (TAS) Case Criteria, IRM 21.1.3, Operational Guidelines Overview. See IRM 3.30.123.5.9, TAS Criteria.

  6. All final responses (quality responses) must be initiated within 30 calendar days of the earliest "IRS Received" date. However, every effort should be made to provide quality responses in less time.

    1. A quality response is an accurate and professional communication which, based on information provided, resolves the taxpayer’s issues, requests additional information from the taxpayer, or notifies the taxpayer we have requested information from outside IRS.

    2. A final response is timely when initiated within 30 calendar days of the IRS received date.

    3. When a final response cannot be initiated within the 30 calendar days, an interim response will be initiated by the 30th calendar day from the IRS received date. Generally, when a case is routed to another IRS office for resolution, send the Letter 86C, annotate on the case that Letter 86C was sent and the date it was initiated. Refer to IRM 21.3.3, Incoming and Outgoing Correspondence/Letters, for exceptions.

      Exception:

      Letter 86C is not sent when a case is routed to another building within a campus. An interim letter may not be sent for suspended tax returns in pipeline. The tax return will be processed if no response with Taxpayer Notice Code(s) (TPNC) explaining the action taken and how to file an amended tax return and provide the necessary schedule/form or pertinent data.

  7. Subsequent interim letters will be issued if the targeted final response date is not met. Interim letters must:

    1. Identify the reason the final response is delayed, and;

    2. Specify when the final response will be mailed, and;

    3. Include the name, telephone number, and organizational code symbols for reference purposes as a contact point.

      Note:

      Where feasible, the contact point should be someone familiar with the issues.

  8. These guidelines do not supersede the statutory 20 work day time frame to respond to Freedom of Information Act (FOIA) inquiries and 10 workdays for Privacy Act (PA) inquiries. The 20 or 10 workdays do not include Saturday, Sunday, or Legal Holidays. Refer to IRM 11.3.13, Freedom of Information Act and IRM 11.3.18, Privacy Act Access and Amendment of Records. The guidelines in IRM 11.3, Disclosure of Official Information, are applicable to all IRS functions, unless the Senior Deputy Commissioner has approved a deviation in writing.

    1. All FOIA and PA requests are to be sent via overnight mail to:

    Note:

    Refer to IRM 10.5.1, Shipping, for proper data protection procedures when shipping PII, and to determine correct shipping provider and correct shipping procedures for shipping through a private delivery carrier.

    Mailing Address Private Delivery Service (PDS) Mailing
    Disclosure Scanning Operation
    Stop 93A
    P.O. Box 621506
    Atlanta, GA 30362
    Disclosure Scanning Operation
    Stop 93A
    4800 Buford Hwy
    Chamblee, GA 39901–0093
  9. Certain types of inquiries (e.g., Congressional, Taxpayer Advocate Service cases, Bankruptcy, Underreporter Statutory Notice of Deficiency responses) have guidelines which necessitate a response time of less than 30 calendar days for the issuance of a final response. The guidelines in Document 11426, Office of the Commissioner Internal Revenue-The IRS Correspondence Manual, do not supersede time frames for such special types of inquiries, when said time frames are mandated by law, regulation, or policy.

  10. The IRS received date for IDRS control will be determined as follows:

    1. All taxpayer inquiries, regardless of where initially received or subsequently routed (e.g., AO, Unpostables, Referrals, Underreporter, Statute, Collection, Examination, etc.), must be controlled with the earliest IRS received date.

    2. If the taxpayer initiated correspondence is returned to the taxpayer, the case is closed. If that same taxpayer initiated correspondence is resubmitted to the IRS, the case is then reopened and ages from the date the resubmitted correspondence is received. For taxpayer inquiries on previously closed cases, the date to be used as the IRS received date is the date the new inquiry is received by IRS.

    3. All computer generated Master File cases (CP 29/ CP 190), (CP 36/ CP 193, NMRG, etc.,) will age from the 23C date on the notice or transcript less 14 calendar days. An interim acknowledgment letter is not required, in addition. All AMRH transcripts age from the 23C date of the Master File extract minus seven calendar days. This works out to the first Monday date after the Master File extract.

    4. Cases which are not taxpayer initiated that are referred to Accounts Management Paper function from Notice Review, Unpostables, Collection (including Area Office Collection), and Accounting (AMRH Transcripts) should be controlled using an IRS received date reflecting the date the case was received in Accounts Management and age from that date.

    5. Any case closed by Unpostables with URC 2 will open a control base on IDRS to the employee who input the original transaction or designated Area Office. The IRS received date for these cases will be the correspondence date in the DP Adjustment record or the GUF 15 closing date if no correspondence date is in the record.

    Note:

    ONCE THE CORRECT IRS RECEIVED DATE IS DETERMINED, THE DATE MUST NEVER BE CHANGED.

  11. Accounts Management Paper function cases initiated by taxpayers (e.g., Claims for Refund) will be processed in a maximum of 45 calendar days and internally generated adjustment cases will be processed in a maximum of the calendar days referenced in Document 6209. If a case requires any of the following actions, it can be placed in IDRS status "Other" until the requested material is received. If the case cannot be closed within three workdays after the receipt of the requested material, the IDRS status must be changed to "Assigned."

    1. Taxpayer contact or contact with the taxpayer’s authorized representative - If the IRS request is not received within 40 calendar days (30 calendar days indicated in the letter to the taxpayer and 10 calendar days purge time), except for overseas taxpayers who have a 70 calendar day purge time, and the case cannot be resolved without this information, the case will be rejected as a no reply case.

    2. Contact with the following: Regional Finance Center, Social Security Administration, State agencies, and other campuses.

    3. Cases pending manual reactivation of retention register accounts.

    4. Processing delays affecting Non-Master File (NMF) tax returns and unsettled master file tax returns and transactions.

  12. Background status is to be used only for cases that are closed but are being monitored for unique posting situations and Tentative Carryback (TCB) post refund review, or non-tax related cases such as request for copies of previously filed tax returns.

  13. Taxpayer initiated cases/correspondence and internally/computer generated cases/correspondence will both begin to age on the IRS received date.

    1. The received date on internally/computer generated cases will be the date on the source document. However, if the IRS received date is not on the source document, or it is not identifiable, the received date will be the date the source document is discovered.

    2. Cases from Notice Review will begin to age from the notice date, (23C date).

      Exception:

      During peak processing, campuses may exceed the inventory aged guidelines of 45 calendar days. However, during that time management should ensure that notice inventory is worked on a First In First Out (FIFO) basis, to reduce/eliminate overage.

    3. Post-allowance review of TCB applications is not considered taxpayer generated correspondence. Post-allowance cases should be controlled from the current received date. This date should not exceed March 31 of the succeeding year.

  14. All cases will become overage on the 45th calendar day after the IRS received date, except for the following:

    1. Internally/computer generated cases (CP) will age 75 calendar days from the IRS received date, this will include CP 174 and CP 175;

    2. International Taxpayer Initiated Adjustment Cases and International Internal/CP will age 90 calendar days from the IRS received date, this includes CP 874, CP 875 and other Spanish and non-Spanish CPs generated on International Accounts (FLC 20, 21, 60 and 78);

    3. See the specific IRM for each type of case for other exceptions to the above aging criteria.

  15. Campus managers will develop follow-up procedures to ensure IDRS case status conforms with the above guidelines. In addition, the following objectives must be met:

    1. Timely control closure of all taxpayer-generated correspondence or interim letter thereof.

    2. Overage inventory must not exceed 15 percent of the total inventory regardless of its workability.

      Exception:

      For RAIVS criteria see IRM 3.30.123.5.10, Requests for Photocopy or Transcripts of Tax Returns, IRM 3.30.123.5.11,Revenue and Income Verification Services (RAIVS) Photocopy, and IRM 3.30.123.10.22, Tax Exempt Government Entities (TEGE) Photocopy.

    3. Overage Accounts Receivable Inventory of cases over $25,000 must not exceed 15 percent of the total over $25,000 Accounts Receivable Inventory in Accounts Management/Correspondence.

    4. These requirements apply to all taxpayer generated correspondence not only physically located and controlled in Accounts Management Paper function, but also work physically located in other campus organizations.

  16. These requirements are owned by SE:W:CAS:AM:PPG:A and SE:W:CAS:AM:PPG:B.

Notice Review - Review of IMF and BMF Master File notices performed on the On-Line Notice Review (OLNR)

  1. Review of IMF and BMF Master File notices performed on the OLNR. This is an on-line computer system used to review and correct errors or update notices based on changes on the taxpayers account since the notice was generated. Notices are selected for review by the Notice Review Processing System (NRPS).

  2. Notice Review cases should be prioritized to review refund notices prior to the Thursday (for IMF) (see note) and Thursday 1 PM (for BMF) cutoff for input of command code NOREF.

    Note:

    With IMF accelerated refund issuance, Notice Review can prevent the refund from being issued to the taxpayer up until Thursday 6 PM local time using procedures in IRM 3.14.1. BEGINNING JANUARY 2012, NOREF AND HAL REQUESTS CAN NO LONGER BE USED TO INTERCEPT IMF REFUNDS.

  3. Correct and mail notices timely to minimize negative impact to the taxpayer. For Notice Review, timely means ALL of the following:

    1. Closeout notice cycle on or before the Monday morning preceding the notice date.

    2. Complete ALL adjustments affecting refunds within the current OLNR cycle. Adjustments can be completed in cycle with a posting delay code, if needed.

      Note:

      If an IMF adjustment is input within the guidelines for using TC 570 or NOREFP, the adjustment can be input without a posting delay code. When using the TC 570, IMF will recompute the refund amount on the day the systemic refund freeze is set to expire and issue the remaining balance. When using the NOREFP, IMF will process the NOREFP request the day of input and will recompute the account balance the next day when the transaction is being processed.

    3. Input adjustment actions on ALL other cases by the notice 23C date.

  4. Notice Review should schedule and staff to work 100 percent of the notices selected for review.

  5. IMF Notice Review timeliness will be considered met if 100 percent of the sample is completed by the Friday morning cutoff. BMF Notice Review goal is 100 percent review. If 100 percent cannot be met, notice review prioritization should be followed, refer to IRM 3.14.1, IMF Notice Review and IRM 3.14.2, BMF Notice Review.

    Exception:

    The following NRP Key selections should be 100 percent reviewed prior to closing the cycle:

    Master File NRP Key Selection
    IMF Key 61
    IMF Key 100
    IMF Key 04
    IMF Manual Intervention List keys 01 and 04
    BMF Category A Special Handling Notices identified as High Priority
  6. Cycles should not be extended without pre-coordination with the Headquarters Notice Review analyst and the appropriate print.

  7. When a decision is made to extend a cycle, an information alert should be issued to notify the appropriate computing center of the new date and time for the cycle closeout. This requirement applies to IMF and BMF.

  8. These requirements are owned by SE:W:CAS:SP:PPB:PPS.

Balance Due, Return Delinquency and Backup Withholding Notices

  1. To ensure that we attain the objectives of improving taxpayer relations and increasing the efficiency of our internal operations, it is necessary that we prevent needless and inappropriate notices and Taxpayer Delinquent Account/Taxpayer Delinquency Investigation (TDA/TDl) from being issued. The relatively short period between increasingly severe notices and TDA/TDI issuance makes prompt action imperative when processing taxpayer responses. Work that requires an action prior to the IDRS weekend batch processing should be identified as "Critical" and if it is not possible to complete the action prior to the end of the week, a delay will be input to suppress the issuance of the notice or TDA/TDI for the number of cycles required to complete the action. The STAUP should be input if the action cannot be completed by 16 cycles after the tax return due date or extended due date.

  2. Any data input by the 2nd Friday following the date on the notice will be accounted for in the next scheduled notice or TDA printing if that module has not been accelerated to TDA status.

  3. Routine CP 515, First Notice-Return Delinquency, all notices are dated on the Monday following the Saturday of the issuance cycle.

    Note:

    Effective January 2008, CP 515 was replaced with new Master File notices as follows: IMF CP 59, IMF Spanish CP 759, BMF CP 259, and BMF Spanish CP 959.

  4. The last date to input to IDRS to prevent subsequent notices is the Friday before the notice cycle.

  5. Routine IMF notices have Eight cycles before issuance of second (final) notice, CP 518.

  6. Routine BMF notices have Ten cycles before issuance of second (final) notice, CP 518.

  7. Priority Code "B" delinquencies (BMF only) receive only one notice, CP 259. IMF Priority Code "B" cases will receive two notices, CP 59 (refer to NOTE in (3) above) and CP 516 or CP 517.

  8. Routine EPMF Return Delinquency Notices -CP 403 and CP 406.

    1. Routine EPMF first notices have 15 weeks before issuance of the second notice.

    2. Only two notices are issued.

    3. There are 15 weeks between issuance of the final notice and generation of TDI.

    4. If the notice reply cannot be worked before issuance of the second notice, a delay must be input using CC ASGNB.

  9. Critical dates appear on IDRS balance due and Return Delinquency Notices and should be used in determining the above deadlines.

  10. The IDRS Notice Return Delinquency Issuance Schedule is disseminated to the field and will be updated as changes occur.

  11. IMF taxpayers who fail to report or underreport interest, dividend, or patronage dividend income must receive at least four notices over a period of at least 210 calendar days before backup withholding (BWH) is implemented. The regular balance due notices are considered in this notice count as are regular return delinquency notices.

    1. Taxpayer responses received before the taxpayer is subjected to BWH (during the regular balance due/return delinquency notice routine) which warrant a delay in next notice/TDA/TDI issuance will be suspended routinely (i.e., "STAUP" /"TDIAD" , respectively).

    2. BWH taxpayers who receive less than three of the above referenced notices will receive supplemental BWH notices (CP 538 on balance due and CP 540 on return delinquency taxpayers). If potential status taxpayer response is received after issuance of CP 538 or CP 540 which warrants a delay in subjecting the taxpayer to BWH, a manual indicator must be requested on Form 4442, Inquiry Referral. Form 4442 is processed by two centralized sites at Kansas City Compliance Services Collection Operation (CSCO) for Wage and Investment Business Operating Division (WI BOD) and Philadelphia CSCO for Small Business/Self Employment (SB/SE) BOD. For additional information, refer to IRM 5.19.3, Backup Withholding Program.

    3. All taxpayers who have not satisfied the Backup Withholding (BWH) condition will receive a final BWH notice (CP 539 on balance due and CP 541 on return delinquency taxpayers) advising them they are subject to BWH. Simultaneously a CP 543 is issued to payers advising them to start BWH. Once ECC-MTB monthly BWH analysis to generate the final BWH notices begins, a stop can only be requested via a manual indicator on Form 4442. These subject status stops will only be initiated when the taxpayer meets the criteria in IRM 5.19.3, Backup Withholding Program.

    4. ECC-MTB monthly analysis to generate the final BWH notices begins no earlier than 210 calendar days after the first BWH related notice, and no earlier than seven weeks after issuance of the third routing IMF balance due BWH related notice, or the third routine IMF return delinquency notice is issued, or the issuance of CP 538 or CP 540.

Print Priorities

  1. The BMF and IMF Assessment date (23C date) and the first notice date is Monday of the third week following Master File posting. All BMF and IMF settlement notices, taxpayer inquiry letters (non-IDRS), and Sample Notices are to be scheduled within normal priorities to ensure complete printing, review, release, and mail-out by the close of business on the Friday preceding the 23C date.

    Note:

    Daily notices issued by IMF that are not selectable for Notice Review, or are under tolerance to bypass NRPS (change in tax or balance due +/- $500 from the taxpayer's original amount on the return), will be mailed within 6 days of receipt at the Correspondence Print Site (CPS). Notices that are not selected for Notice Review will be mailed within 6 days of receipt at the CPS. Notices that are selected for Notice Review will be mailed by the 23C date.

  2. When the BMF and IMF tax return due date falls on Friday that is a holiday or on Saturday or on Sunday immediately preceding the 23C date, balance due settlement notices (non-IDRS) will be mailed by the close of business on the 23C date instead of the preceding Friday.

  3. Normal priorities should be used in scheduling printing operations. During the week subsequent to each report cycle, the printing of the Accounting and Operating Reports will be given appropriate priority.

  4. To ensure that we attain the objectives of improving taxpayer relations and increasing the efficiency of our internal operations, it is imperative that Collection computer output be expeditiously printed on a priority basis. This output (Taxpayer Delinquent Account (TDA), Taxpayer Delinquency Investigation (TDI), Balance Due Notices, Notices of Levy, Daily Transaction Registers (DTR), Installment Agreement Accounts list) and other Collection listings and reports must be printed early enough to allow distribution early on the first work day of the week. Because the nature of this work requires expeditious action to process the work as soon as possible, the local Information Technology (IT) print area should ensure that Collection computer output be placed on a separate skid or truck and prominently marked and made available to the Campus Support function prior to the campus prime shift on the first work day of each week.

    1. The Campus Support function will immediately process the output in accordance with procedures on a first priority basis the first work day of the week. Work requiring additional processing by the campus Compliance Services Collection Operation (CSCO) will be delivered to the CSCO by early morning on the first work day.

    2. Generally, work returned by CSCO for additional processing should be completed within the same work day as it is received from CSCO.

  5. The use of priorities shall not be construed as a substitute measure for the requirement of completed taxpayer and Area Office daily and weekly output processing. BMF and IMF settlement notices should be mailed out as soon as possible. TDA and TDI notices are to be mailed each work day of the week and all notices must be mailed by the last work day of the week. The TDAs and TDIs are to be shipped to Area Offices as soon as possible. The IDRS Daily Transaction Register must be mailed by Noon each day.

  6. The requirements for mailing notices can be found by referring to IRM 3.13.62, Media Transport and Control, owned by SE:W:CAS:SP:PPB:MMDC.

Centralized Authorization File (CAF)

  1. Check the CAF when you correspond with a notice or have phone contact to ensure you are contacting the filer, or their representative who is identified on the CAF.

  2. 170-22 is a daily run that deletes authorizations based on the purge date of the original document. The purge date for Form 2848, Power of Attorney and Declaration of Representative and Form 8821, Tax Information Authorization, is calculated to be seven years from the signed date. The purge date for Form 706, U.S. Estate Tax Return, is calculated as 15 years from the date the form was signed.

  3. 170-25 is a monthly run that determines if an authorization, which was previously input for a future tax period, is now current. If so, a transaction is generated to Master File.

  4. All Power of Attorney (POA) forms are worked on a First In First Out (FIFO) basis, regardless of the method used to submit authorization. All receipts will be processed within 5 business days.

  5. For additional information and requirements refer to IRM 21.3.7, Processing Third Party Authorizations onto the CAF, owned by SE:W:CAS:AM:PPM(BMF):SA.

Change to Campus Return Address Printed on Notices

  1. In making changes to special campus return addresses computer generated on certain Master File and IDRS taxpayer notices, centers should ensure that a UWR is written at least one year in advance and give the complete new address, zip code and effective date of the change. Notification should be to Director, Submission Processing with copies furnished to Chief, Information Technology Services and Director, Compliance.

  2. These requirements belong to SE:W:CAS:SP:PPB:PPS.

Statutes

  1. Statute cases which are taxpayer generated correspondence (Category "TPRQ" ) and amended tax returns (Category "XRET" ), will be put under IDRS control as soon as received or identified, and processed within 45 calendar days of the IRS received date.

  2. Statute cases which are International taxpayer generated correspondence (Category "ITRQ" ) and International amended tax returns (Category "IXRT" ), will be put under IDRS control as soon as received or identified, and processed within 99 calendar days and 60 calendar days of the IRS received date, respectively.

  3. ECC-MTB Transcripts identified as STAT, RSED-STAT, AM-X, and STEX are systemically controlled on IDRS and should be processed within 99 calendar days from the date reflected on the ECC-MTB transcript. If not systemically controlled, the transcript will be manually controlled upon receipt and processed within 99 calendar days from the date reflected on the transcript.

  4. Category codes BARD and ERAB will be put under IDRS control as soon as established and processed within 99 calendar days of the established date.

  5. WI IMF must maintain a 10 percent or lower overage level with at least an 85 percent accuracy rate in the Statute Limitations unit. All others maintain a 20 percent or lower overage level with at least an 80 percent accuracy rate in the Statute Limitations unit. This includes maintaining and controlling those inventories that have a direct impact on the Accounts Receivable inventory.

  6. The requirements can be found by referring to IRM 25.6.1, Statute of Limitations Processes and Procedures, owned by SE:W:CAS:AM:PPG:A.

Taxpayer Advocate Service (TAS) Criteria

  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 13.1.7Taxpayer 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 National Taxpayer Advocate (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.

  4. 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, TAS Case Criteria) and 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 taxpayer's issue. Do not refer these cases to TAS unless they meet TAS criteria and the taxpayer asks to be transferred to TAS. Refer to IRM 13.1.7.4, 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 AMS, if applicable.

    Note:

    It is important that all IRS employees handle potential TAS cases with the taxpayer's best interest in mind. Refer also to IRM 21.1.3.18, Taxpayer Advocate Service (TAS) Guidelines, for more information. Provide the taxpayer with the number for the NTA toll-free case intake line, 1-877-777-4778 or TTY/TDD 1-800-829-4059. The taxpayer should be advised that TAS is available if the taxpayer is not satisfied with the service he or she received.

  5. 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 specifically 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

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

    1. Cases where the taxpayer’s complaint or inquiry only questions the constitutionality of the tax system; or

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

  7. If a taxpayer is not represented they may be eligible for assistance from a Low Income Taxpayer Clinic (LITC). LITC serve individuals whose income is below a certain level and need to resolve tax problems such as audits, appeals, and tax collection disputes. Some clinics can provide information about taxpayer rights and responsibilities in different languages for individuals who speak English as a second language. For more information see Pub 4134, Low Income Taxpayer Clinic List.

  8. Any taxpayer contact that meets any of the criteria listed below should be forwarded to the local Taxpayer Advocate for special handling using a Form 911, Request for Taxpayer Advocate Service Assistance (And Application for Taxpayer Assistance Order). The following is a list of situations to be referred if any of the criteria apply. Any taxpayer contact that meets any of the criteria listed below should be forwarded to the local Taxpayer Advocate for special handling using a Form 911, Request for Taxpayer Advocate Service Assistance (And Application for Taxpayer Assistance Order). The following is a list of situations to be referred if any of the criteria apply.

      TAS Case Acceptance Criteria
    1 The taxpayer is experiencing economic harm or is about to suffer economic harm.
    2 The taxpayer is facing an immediate threat of adverse action.
    3 The taxpayer will incur significant costs if relief is not granted (including fees for professional representation.)
    4 The taxpayer will suffer irreparable injury or long term adverse impact if relief is not granted.
    5 The taxpayer has experienced a delay of more than 30 calendar days to resolve a tax account problem.
    6 The taxpayer has not received a response or resolution to their problem or inquiry by the date promised.
    7 A system or procedure has either failed to operate as intended, or failed to resolve the taxpayer's problem or dispute within the IRS.
    8 The manner in which the tax laws are being administered raise considerations of equity, or have impaired or will impair the taxpayer's rights.
    9 The National Taxpayer Advocate (NTA) determines compelling public policy warrants assistance to an individual or group of taxpayers. The NTA has the sole authority for determining which issues are included in this criterion and will so designate by memo.

    Note:

    Case criteria are not meant to be all inclusive. Evaluate each taxpayer situation based on the unique facts and circumstances of each case.

Requests for Photocopies or Transcript of Tax Returns

  1. If online research does not provide the specific taxpayer data required to perform your duties, you may be required to order transcripts to close your case.

  2. Requests for copies of tax returns or tax forms are over aged at 75 calendar days after IRS receipt.

  3. "Regular" tax return transcript inventories are over aged at 10 workdays after IRS receipt.

  4. "Two Business Day Service" tax return transcript inventories are over aged beginning on the third business day after IRS receipt.

  5. "Account Transcript" and "Records of Account" will age at 10 workdays unless the case is not available on the Transcript Delivery System (TDS). Those requests would age at 30 days.

  6. Correspondence guidelines (Action 61/Policy Statement P-21-3) apply to all RAIVS (Return and Income Verification Services) function inventories. See IRM 3.30.123.5, Taxpayer Correspondence, CAF, Statutes, Taxpayer Advocate, RAIVS Photocopies and Files

    Exception:

    Correspondence guidelines (Action 61/Policy Statement P-21-3) do not apply if the request form tells the requester how long it will take to get a response.

  7. Control all cases on IDRS unless closed in 14 calendar days.

  8. These requirements can be found by referring to IRM 3.5.20, Processing Requests for Tax Return/Return Information, owned by SE:W:CAS:SP:SPB.

Revenue and Income Verification Services (RAIVS) Photocopy

  1. Written requests for photocopies of tax forms and tax return information are routed to the RAIVS unit. Requests come from taxpayers or their representatives, federal agencies, or third parties by mail or by fax.

    Exception:

    If Form 14039, Identity Theft Affidavit, is attached to the request route the request and Form 14039 to Accounts Management. If Form 14039 is received alone, route to Accounts Management.

  2. Requests for photocopies or transcripts usually come in on Form 4506, Request for Copy of Tax Return, Form 4506-T, Request for Transcript of Tax Return, or Form 4506-T EZ, Short Form Request for Individual Tax Return Transcript. Since each of these form instructions include notification that it may take up to 75 calendar days to receive copies, they do not fall under Action 61/Policy Statement P-21-3 guidelines. However, if the request is not made on one of these forms, a 30 day interim letter is required, if the request is not filled in 30 days.

  3. Requests are sorted into various categories, put in Status "B" on IDRS, and identified with a Case Category Code acronym that is appropriate for the action. The various actions have specific aged time frames.

    Note:

    Age of a case is based on average time it takes to fill the request, rather than time RAIVS has to fill the request.

  4. Requests are sorted by Tax Return Transcripts, Copy of Tax Form, Account Information, etc., each tax period and product type requested is counted, not each request.

    Example:

    The requestor can ask for several different types of transcripts along with wage and income documents. If a requester asked for 2010, 2011, and 2012 Record of Account, Account Transcripts, and W-2s the count would be 9.

  5. The following Program Codes are reported:

    • 790-3400X - Photocopy Requests - Aged at 75 calendar days after IRS receipt

    • 790-8236X - Disaster Transcripts (FEMA sends requests to CSPC with Form 4506-T or Form 4506-T-EZ, corporation, and partnership returns and are generally filled within 24 to 96 hours of receipts. The maximum time frame for providing this service is four (4) days.)

    • 790-8236X - Disaster Photocopies (Requests for photocopies form disaster victims are sent to the office indicated on Form 4506 with "Disaster" in the top margin. These requests will receive Expedite processing with no charge assessed for copies.)

    • 790-8512X - Return Transcripts - Aged at 10 workdays after IRS receipt (10 calendar days for SBA requests)

  6. If the request is for copies of tax returns, but payment does not cover all tax periods requested (e.g., four years requested and payment received is $79), reject for the full payment within three business days. Do not make the filer wait 30 days to be told additional money is required.

    Note:

    Beginning October 1, 2013 the fee for each return is $50.00.

  7. Income Verification Express Service (IVES) is a program within the RAIVS units of Austin, Cincinnati, Fresno, Kansas City, and Ogden that will provide requests to participants within two business days, due to the reduced budget IVES requests must be input and completed within 65 - 72 hours after IRS receipt and is the only expedite service offered by the RAIVS function. The IVES requests are sent through the EFax Server through E-Services. This work will be reported under Program Code 85129 (IMF and BMF). These cases are considered aged by the beginning of the fourth business day after IRS receipt.

  8. These requirements can be found by referring to IRM 3.5.20, Processing Requests for Tax Return/Return Information, owned by SE:W:CAS:SP:SPB.

  9. Refer to 3.30.123.10.22 for filling Form 4506-A EO RAIVS photocopy requests.

Timely Pulling and Refiling of Returns

  1. Cycle Work (Tax returns/documents put on shelves and carts returned to SP) - Process work within one (1) work day during non-peak April 1st thru September 30th; two (2) workdays during peak October 1st thru March 31st.

  2. Batch Requests - Batch requests within one (1) work day.

  3. Pull Expedite Requests - Pull Expedite requests within one (1) work day.

  4. Pull Requests - Pull requests within four (4) workdays during non-peak April 1st thru September 30th; pull requests within six (6) workdays during peak period October 1st thru March 31st.

  5. Batch Expedite Re-files - Batch Expedite Re-files (e.g. Unpostables, Rejects, etc.) within one (1) work day.

  6. Batch Re-files and Attachments - Batch Re-files and Attachments within four (4) workdays.

  7. Re-file Expedite Returns - Process Expedite Re-files within two (2) workdays.

  8. Re-file Returns and Attachments - Re-file returns and Attachments within nine (9) workdays.

  9. For additional information, see IRM 3.5.61, Files Management & Services.

Processing Timeliness Criteria for IMF Domestic Income Tax Returns, International IMF Income Tax Returns, Domestic and International Tax Returns Delayed for Individual Taxpayer Identification Number (ITIN) Processing, Extension Requests, Estimated Payments, Amended Tax Returns and ITIN Applications

  1. This subsection contains form/program specific information related to timely processing of IMF tax returns and documents.

  2. These requirements for IMF domestic paper processing can be found by referring to IRM 3.11.3, Individual Income Tax returns, owned by SE:W:CAS:SP:PPB:IMF.

Domestic Form 1040 Series Other Than Full-Paid (OTFP) Tax Returns

  1. This subsection contains form/program specific information related to timely processing of Domestic IMF tax returns.

  2. See IRM 3.30.123.12.2, Electronic Postmark and Return Due Date, for specific dates regarding e-file and MeF tax returns.

Domestic Form 1040 Series - Other Than Full-Paid (OTFP) Tax Returns
  1. This subsection contains form/program specific information related to timely processing of Domestic IMF OTFP tax returns.

Domestic - OTFP Definition
  1. OTFP tax returns include the following:

    • Refund tax returns

    • Balance due tax returns

    • Credit elect tax returns

    • Even balance tax returns

    • Non-computed tax returns

    • Non-taxable tax returns

    • Part-paid tax returns

    • Delinquently filed tax returns

Special Processing Considerations for Domestic - OTFP IMF Tax Returns
  1. To the extent possible, to avoid refund interest paid, refund tax returns are to be processed so the refund is issued to the taxpayer within 45 calendar days of the later of:

    1. The return due date (determined without regard to any extension of time for filing the return).

    2. The return received date (used when the return is filed after the return due date, determined without regard to any extension of time for filing the return).

    3. The date the return was received in processable form.

    Exception:

    An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4).

  2. Campus management must ensure that staffing is sufficient and inventory levels are low enough going into the April peak to meet the OTFP PCD of May 16, 2018.

  3. Proper inventory production and control must be in place to ensure that in addition to the emphasis on the OTFP Refund PCD and on the OTFP Non-Refund Sort PCD, appropriate emphasis is also placed on processing approved Form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return, prior to processing OTFP tax returns received after the end of the April counting period. See IRM 3.30.123.6.7, Form 1040 Series Extensions - Form 4868.

  4. Other Requirements

    1. All Tax Period 201712 OTFP tax returns that are in BOBs, Code and Edit, or Rejects status need to have a TC 599, CC 18 input in 3 cycles prior to the Delinquency Check.

    2. Continue processing once you have input the transaction to suppress the delinquency notice.

PCD Definition for Domestic - OTFP IMF Tax Returns
  1. By Program Number, Program Completion will be considered accomplished when the cumulative Good Tape production (Function 950) is equal to or greater than the cumulative number of processable receipts received for that Program Number and are received by the end of the counting period ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ , so long as that Good Tape production is reached on or before the established PCD.

  2. Determine processable receipts by using the following formula for each PCD:

    • Function 110 (Receipts)

    • Minus Function 920 (Rejects) closing inventory

    • Minus Function 940 (Block Deletions) cumulative receipts

    • Minus Function 960 (Program Deletions) cumulative production

    Note:

    The following provides the data sources to be used in computing processable receipts and PCD accomplishment.

    1. Function 110 cumulative volume for each counting period receipts come from the Function Volume Report within the Production Information and Monitoring System (PIMS).

    2. Function 940 cumulative receipts and Function 960 cumulative production volumes come from the Daily Production report, PCC-22-40.

    3. Function 920 closing inventory and Function 950 cumulative volume comes from the Balance Forward Listing, PCD-03-44.

    Note:

    If using Function 180 (Batching Activities) cumulative production instead of Function 110, add Function 180 closing inventory (use zero if negative), minus Functions 920, 940, 960, and Function 970 (Reinputs) cumulative production. Function 970 volume comes from the Daily Production Report, PCC-22-40.

Measuring the OTFP - PCD Accomplishment
  1. When evaluating the PCD Accomplishment for OTFP tax returns for the May Refund PCD, those campuses electing to perform the additional sort to segregate refund tax returns from all other OTFP tax returns may exclude the categories below from the May 16 PCD measurement.

    • Balance due tax returns

    • Credit elect tax returns

    • Even balance tax returns

    • Non-taxable tax returns

    • Part-paid tax returns

  2. When evaluating the PCD Accomplishment for OTFP tax returns for the May No-Refund Sort PCD, no categories of OTFP tax returns are excluded from cumulative number of processable receipts received by the end of the counting period.

Domestic Form 1040 Series OTFP (AUSPC, FSPC, KCSPC, OSPC Only) (Programs 43110, 43130, 44110 and 47130) Processing Specifications
  1. STATUTORY DUE DATES for Form 1040, Form 1040-A and Form 1040-EZ:

    • April 15

    • June 15 (Taxpayers living abroad-automatic extension)

    • October 15 (If Extension Request is filed timely - April 15)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

    Note:

    If an electronically filed tax return has been rejected by the IRS and the taxpayer files a paper tax return; the paper tax return will be considered timely filed if postmarked by the later of the due date of the tax return or 10 calendar days after the date of the notification that the electronic submission was rejected. See IRM 3.30.123.12.2, Electronic Postmark and Return Due Date.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. See IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter, unless indicated as BBTS Accomplished Cycle. See IRM 3.30.123.4.2, BBTS Accomplished Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 11 days or lower and should not exceed 13, with the following exceptions:

      Time Frames Action
      April 1 - 6, 2018 Reduce inventories and cycle lengths below normal as much as possible by April 8. Ideal days in cycle should be seven days or below.
      April 7 - 20, 2018 Remain on an 11 day or shorter cycle.
      April 21 - May 16, 2018 Process tax returns to meet OTFP PCD of May 17, 2017.
      May 17 - 31, 2018 Reach a 10 day BBTS Accomplished Cycle as quickly as practical.
      June 1 - December 31, 2018 Maintain a BBTS Accomplished Cycle of no more than 10 days.
    • OTFP 1040 series tax returns sorted as no-refund tax returns received ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ identified as no-refunds should, to the extent possible, be processed by May 23, 2018. See IRM 3.30.123.6.1.5, Measuring the OTFP PCD Accomplishment. Cycle goals do not apply.

  3. SCHEDULING CYCLE: All tax returns should be scheduled to meet the processing requirements noted above and throughout this IRM.

  4. REFUND TIMELINESS REMINDER: Refunds must be issued within 45 calendar days of the return due date, return received date, or return processable date whichever is the later to avoid payment of interest. However, to meet the customer service goals set forth in the Annual Business Plan, refund tax returns should be processed so that the refund is received within 40 calendar days of the estimated date on which the taxpayer mailed the tax return.

    Exception:

    An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4).

  5. CAMPUS PROGRAM COMPLETION DATES:

    • Refund PCD (April Peak) - May 16, 2018 - Cycle 201820

    • Non-Refund Sort PCD - May 23, 2018 - Cycle 201821

    • OTFP PCD (October Peak) - November 21, 2018 - Cycle 201847

Domestic Form 1040 Series Full-Paid (FP) Tax Returns

  1. This subsection contains form/program specific information related to timely processing of Domestic IMF FP tax returns.

Domestic FP Definition
  1. FP tax returns are tax returns that meet all of the following requirements:

    • Are received ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ , or

    • Are received ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ and have a postmark on or before April 15 or the due date. (See Holiday or Weekend Impact ,IRM 3.30.123.2.2).

    • Are computed by the taxpayer as a balance due tax return.

    • Are accompanied by a payment for exactly the computed balance due.

  2. FP tax returns explicitly exclude:

    • Delinquently filed tax returns

    • Tax returns accompanied by a payment for an amount greater than the computed balance due

    • Tax returns with Form 14039, Identity Theft Affidavit attached

Special Processing Considerations for Domestic FP IMF Tax Returns
  1. Since the entity section of FP tax returns may contain change information from what IRS has on file, some FP tax returns are implied entity change requests. To the extent possible, FP tax returns should be processed so that entity updates can be made to the taxpayer’s account within 90 calendar days.

  2. Although OTFP tax returns take priority (to avoid paying refund interest), FP tax returns should be processed as fill in work, when possible, prior to the April peak.

    Exception:

    If a Form 14039, Identity Theft Affidavit, is attached to a FP tax return process upon receipt, do not shelve.

  3. As campus management ensures that staffing is sufficient and OTFP inventory levels are low, going into the April peak, management should also work to reduce FP inventory levels, to the extent practical, going into the April peak.

  4. Once April Peak processing is underway, FP tax returns may be shelved until Program Completion has been accomplished for refund and no-refund sort tax returns. As those PCDs are accomplished and OTFP emphasis returns to a 10 day or lower BBTS Accomplished Cycle, FP tax return processing should resume.

  5. Similarly, care must be taken with all FP tax returns to ensure that the DLNs assigned do not contain Julian Dates higher than 155. GMF processing contains a validity check which presumes that all domestic IMF tax returns processed with a Julian Date higher than 155 were likely received ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ . Since FP tax returns by definition are received by this date, they should not carry a transcribed IRS Received Date. Thus, if these tax returns carry a DLN with a Julian Date higher than 155, they will fall out to ERS.

PCD Definition for Domestic FP IMF Returns
  1. By Program Number, Program Completion will be considered accomplished when the cumulative Good Tape production (Function 950) is equal to or greater than 99.9 percent of the cumulative number of processable receipts received for that Program Number received by ≡ ≡ ≡ ≡ , so long as that Good Tape production is reached on or before the established PCD.

  2. Determine processable receipts by using the following formula for each PCD:

    • Function 110 (Receipts)

    • Minus Function 920 (Rejects) closing inventory

    • Minus Function 940 (Block Deletions) cumulative receipts

    • Minus Function 960 (Program Deletions) cumulative production

    Note:

    The following provides the data sources to be used in computing processable receipts.

    1. Function 110 cumulative volume for each counting period receipts come from the Function Volume Report within the Production Information and Monitoring System (PIMS).

    2. Function 940 cumulative receipts and Function 960 cumulative production volumes come from the Daily Production Report, PCC-22-40

    3. Function 920 closing inventory and Function 950 cumulative volume comes from the Balance Forward Listing, PCD-03-44.

      Note:

      If using Function 180 (Batching Activities) cumulative production instead of Function 110, add Function 180 closing inventory (use zero if negative) minus 920, 940, 960, and Function 970 (Reinputs) cumulative production . Function 970 volume comes from the Daily Production Report, PCC-22-40.

Measuring FP - PCD Accomplishment
  1. When evaluating the Program Completion Accomplishment for FP tax returns for the July PCD, there are no categories of tax returns excluded from the volume of processable receipts. Returns that fallout to BOBs and ERS are considered processable and must be corrected prior to PCD. BOB and Error inventory should be evaluated to determine the daily production needed to clear the inventory and meet PCD.

  2. Management at the Headquarters and Campus levels must diligently monitor the volumes of FP tax returns being processed starting in mid-April through May and June to ensure that the number of tax returns that need to be transcribed per day to accomplish Program Completion does not become unreasonably large.

  3. Similarly, Campus Management must monitor processing of Rejects to ensure timely processing and that inventories do not exceed the over aged guidelines.

Domestic Form 1040 Series FP (AUSPC, FSPC, KCSPC Only) (Programs 43210, 44120 and 47140) Processing Specifications
  1. STATUTORY DUE DATES for Form 1040, Form 1040-A and Form 1040-EZ:

    • April 15

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. See IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter, unless indicated as BBTS Accomplished Cycle. See IRM 3.30.123.4.2, BBTS Accomplished Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 11 days or lower and should not exceed 13, with the following exceptions:

      Time Frames Action
      April 6 - May 23, 2018 Do not exceed a 45 day cycle.
      May 24 - July 3, 2018 Process tax returns to meet FP PCD of July 3, 2018.
      July 4 - December 31, 2018 Maintain a Batching to Function 610 cycle of no more than five days. Clear tax returns from Rejects as soon as possible.
  3. SCHEDULING CYCLE: All tax returns should be scheduled to meet the processing requirements noted above and throughout this IRM.

  4. CAMPUS PROGRAM COMPLETION DATES:

    • Full-Paid (April Peak) -July 3, 2018 - Cycle 201827.

Domestic Form 1040 Series Tax Returns Delayed for ITIN Application Processing

  1. This subsection contains form/program specific information related to timely processing of Domestic Form 1040 Series tax returns delayed for ITIN Application processing. Form W-7 or Form W-7(SP), Application for IRS Individual Taxpayer Identification Number, must be complete before an ITIN can be assigned to make the tax return processable. See IRM 3.30.123.6.10, Form W-7 and W-7(SP) Processing Specifications (AUSPC).

Domestic Form 1040 Series Tax Returns Delayed for ITIN Application Processing Definition
  1. All Domestic Form 1040 Series tax returns received with a Form W-7 or Form W-7(SP), Application for IRS Individual Taxpayer Identification Number, cannot be processed until the ITIN is assigned.

Special Processing Considerations for Domestic Form 1040 Series Tax Returns Delayed for ITIN Application Processing
  1. Domestic Form 1040 Series tax returns received with Form W-7 or Form W-7(SP), Application for IRS Individual Taxpayer Identification Number, are presumed not to contain all information required for their processing, as they lack the Individual Taxpayer Identification Number (ITIN) which the applicant has requested.

  2. The ITIN which the applicant has requested cannot be included on the tax return until the requested ITIN has been assigned, or cannot be excluded from the tax return until the ITIN application has been rejected. Thus, the ITIN application must be processed to completion before the accompanying tax return can be considered processable. Until the application has been processed to completion, the accompanying tax return must remain with the application.

  3. Care must be taken to preserve the integrity of the IRS Received Date of the tax returns.

  4. Similarly, care must be taken to preserve the integrity of the Return Processable Date (RPD) on the accompanying tax return.

  5. Once the application has been processed to completion (and the RPD has been applied when appropriate), the accompanying tax return can be released for pipeline processing.

PCD Definition for Domestic Form 1040 Series Tax Returns Delayed for ITIN Application Processing
  1. The traditional approaches for measuring program completion for various tax returns do not apply well to this group of tax returns. Most of the traditional approaches assume that the IRS Received Date is roughly the date on which tax return processing can begin. Since this is not the case with tax returns delayed for ITIN application processing, a definition for accomplishing program completion that captures the essence of completing tax return processing in a reasonable amount of time after the tax return processing can begin, is better than the traditional definitions.

  2. By Program Number, Program Completion will be considered accomplished when the cumulative volumes produced (in this case, from System Operations) in Function 610 is equal to, or greater than 100 percent of the cumulative number of receipts for that Program Number batched 10 working days prior to the established PCD.

Measuring Domestic Form 1040 Series Tax Returns Delayed for ITIN Application Processing PCD Accomplishment
  1. When evaluating the PCD Accomplishment for 1040 series Delayed for ITIN Application Processing tax returns for the May PCD for OTFP tax returns, there are no categories of tax returns excluded from the volume of batched receipts. Since the point of comparison is Function 610 rather than Function 950, no consideration for volumes of tax returns that are in inventory in ERS or Rejects needs to be made.

  2. Definition for Domestic OTFP. See IRM 3.30.123.6.1.2, Domestic OTFP Definition.

Domestic Form 1040 Series Tax Returns Delayed for ITIN Application (AUSPC Only) (Programs 43170, 44170 and 47160) Processing Specifications
  1. STATUTORY DUE DATES for Form 1040, Form 1040-A and Form 1040-EZ:

    • April 15

    • October 15 (Form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return, will state "ITIN TO BE REQUESTED" and Form 6401, Request for Missing Information, will be attached to the tax return since the IDRS TC could not post).

      Note:

      See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as BBTS Accomplished Cycle. IRM 3.30.123.4.2, BBTS Accomplished Cycle - A Day Counter

    • Cycles should be maintained at a level of 10 working days or less from Batching to Function 610 cycle.

  3. SCHEDULING CYCLE: All tax returns should be scheduled to meet the processing requirements noted above and throughout this IRM.

  4. CAMPUS PROGRAM COMPLETION DATES:

    • Refund PCD (April Peak) - May 16, 2018 - Cycle 201820

    • OTFP PCD (October Peak) - November 21, 2018 - Cycle 201847

International Form 1040 Series OTFP Tax Returns

  1. This subsection contains form/program specific information related to timely processing of International IMF tax returns. The requirements for IMF International processing can be found by referring to IRM 3.21.3, Individual Income Tax Returns, owned by SE:W:CAS:SP:PPB:IMF.

  2. Form 1040-NR, U.S. Nonresident Alien Income Tax Return, Fiduciary Returns (indicated by a checked box, Name of Estate or Trust, or EIN) are processed by CSPC as Automated Non-Master File (ANMF) tax returns. If received at another campus, transship to CSPC.

International Form 1040 Series OTFP Tax Returns
  1. This subsection contains form/program specific information related to timely processing of IMF International OTFP tax returns.

International OTFP Definition
  1. OTFP tax returns include the following:

    • Refund tax returns

    • Balance due tax returns

    • Credit elect tax returns

    • Even balance tax returns

    • Non-computed tax returns

    • Non-taxable tax returns

    • Part-paid tax returns

    • Delinquently filed tax returns

Special Processing Considerations for International OTFP IMF Tax Returns
  1. To the extent possible, to avoid refund interest paid, refund tax returns are to be processed so that the refund is issued to the taxpayer within 45 calendar days of the later of:

    1. The return due date (determined without regard to any extension of time for filing the return).

    2. The return received date (used when the return is filed after the return due date, determined without regard to any extension of time for filing the return).

    3. The date the return was received in processable form.

    Exception:

    An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4)

  2. Campus management must ensure that staffing is sufficient and inventory levels are low enough going into the April peak to meet the OTFP PCD of May 16, 2018

  3. Proper inventory production and control must be in place to ensure that in addition to the emphasis on the OTFP Refund PCD and on the OTFP Non-Refund Sort PCD, appropriate emphasis is also placed on processing approved Form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return, prior to processing OTFP tax returns received after the end of the April counting period. See IRM 3.30.123.6.7, Form 1040 Series Extensions - Form 4868.

PCD Definition for International OTFP IMF Tax Returns
  1. By Program Number, Program Completion will be considered accomplished when the cumulative Good Tape production (Function 950) is equal to or greater than the cumulative number of processable receipts received for that Program Number and are received by the end of the counting period ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ , so long as that Good Tape production is reached on or before the established PCD.

  2. Determine processable receipts by using the following formula for each PCD:

    • Function 110 (Receipts)

    • Minus Function 920 (Rejects) closing inventory

    • Minus Function 940 (Block Deletions) cumulative receipts

    • Minus Function 960 (Program Deletions) cumulative production

    Note:

    The following provides the data sources to be used in computing processable receipts.

    1. Function 110 cumulative volume for each counting period receipts come from the Function Volume report within the Production Information and Monitoring System (PIMS).

    2. Function 940 cumulative receipts and Function 960 cumulative production volumes comes from the Daily Production Report, PCC-22-40.

    3. Function 920 closing inventory and Function 950 cumulative volume comes from the Balance Forward Listing, PCD-03-44.

    Note:

    If using Function 180 (Batching Activities) cumulative production instead of Function 110, add Function 180 closing inventory (use zero if negative) minus Function 920, 940,960, and Function 970 (Reinputs) cumulative production. Function 970 volume comes from the Daily Production Report, PCC-22-40.

Measuring OTFP - PCD Accomplishment
  1. When evaluating the PCD Accomplishment for OTFP tax returns for the May Refund PCD, Austin may elect to perform the additional sort to segregate refund tax returns from all other OTFP tax returns and exclude the categories below from the May 16, 2018, PCD measurement.

    • Balance due tax returns

    • Credit elect tax returns

    • Even balance tax returns

    • Non-taxable tax returns

    • Part-paid tax returns

  2. When evaluating the PCD Accomplishment for OTFP tax returns for the May No-Refund Sort PCD, no categories of OTFP tax returns are excluded from cumulative number of processable receipts received by the end of the counting period.

International Form 1040 Series OTFP (AUSPC Only) (Programs 46110, 46120, 46130, 46140, and 46150) Processing Specifications
  1. STATUTORY DUE DATES for Form 1040, Form 1040-A, Form 1040-EZ, Form 1040-NR, Form 1040 (PR) and Form 1040-SS:

    Note:

    See Holiday or Weekend Impact IRM 3.30.123.2.2

    Form STATUTORY DUE DATE Characteristic
    Form 1040, Form 1040-A, Form 1040-EZ April 15 Contains an international component
      June 15 Taxpayer living abroad-Automatic two month Extension
      October 15 If Extension filed timely (April 15)
    Form 1040-NR, Form 1040-NR-EZ April 15 Effectively Connected Income
      October 15 If Extension filed timely (April 15)
      June 15 Income Not Effectively Connected
      December 15 If Extension filed timely (June 15)
    Form 1040 (PR) and Form 1040-SS April 15 Contains an international component
      June 15 Taxpayer living abroad-Automatic two month Extension
      October 15 If Extension filed timely (April 15)
  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. See IRM 3.30.123.4.1, Operating Number of days in Cycle - A Day Counter, unless indicated as BBTS Accomplished Cycle. See IRM 3.30.123.4.2, BBTS Accomplished Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 11 days or lower and should not exceed 13, with the following exceptions:

    Time Frame: Action:
    April 1 – 6, 2018 Reduce inventories and cycle lengths below normal as much as possible by April 10 Ideal days in cycle should be seven days or below.
    April 7 - 20, 2018 Remain on an 11 day or shorter cycle.
    April 21 - May 16, 2018 Process tax returns to meet Refund OTFP PCD of May 16, 2018.
    May 17 - 31, 2018 Reach a 10 day BBTS Accomplished Cycle as quickly as practical.
    June 1 - December 31, 2018 Maintain a BBTS Accomplished Cycle of no more than 10 days.
    • OTFP 1040 series tax returns sorted as no-refund. Tax returns received on or before ≡ ≡ ≡ ≡ ≡ identified as no-refund. See IRM 3.30.123.6.4.5, Measuring OTFP PCD Accomplishment, should to the extent possible, be processed by May 23, 2018. Cycle goals do not apply.

  3. SCHEDULING CYCLE: All tax returns should be scheduled to meet the processing requirements noted above and throughout this IRM.

  4. REFUND TIMELINESS REMINDER: Refunds must be issued within 45 calendar days of the dates outlined in IRM 3.30.123.6.1.3 to avoid payment of interest. However, to meet the customer service goals set forth in the Annual Business Plan, refund tax returns should be processed so that the refund is received by the taxpayer within 40 days of the estimated date on which the taxpayer mailed the tax return.

    Exception:

    An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4)

  5. CAMPUS PROGRAM COMPLETION DATES:

    • OTPF PCD (December Peak) - January 17, 2018 - Cycle 201803

    • Refund PCD (April Peak) - May 16, 2018 - Cycle 201820

    • Non-Refund Sort PCD - May 23, 2018 - Cycle 201821

    • OTFP PCD (June Peak) - July 18, 2018 - Cycle 201829

    • OTFP PCD (October Peak) - November 21, 2018 - Cycle 201847

International Form 1040 Series FP Tax Returns

  1. This subsection contains form/program specific information related to timely processing of International IMF FP tax returns.

International FP Definition
  1. FP tax returns are returns that meet all of the following requirements:

    • Are received ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ the statutory due date, or

    • Are received after ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ and have a postmark on or before the statutory due date

    • Are computed by the taxpayer as a balance due tax return

    • Are accompanied by a payment for exactly the computed balance due

  2. FP tax returns explicitly exclude:

    • Delinquently filed tax returns

    • Tax returns accompanied by a payment for an amount greater than the computed balance due

    • Tax returns with Form 14039, Identity Theft Affidavit attached

Special Processing Considerations for International FP IMF Tax Returns
  1. Since the entity section of Full-Paid (FP) tax returns may contain change information from what IRS has on file, some FP tax returns are implied entity change requests. To the extent possible, FP tax returns should be processed so that entity updates can be made to the taxpayer’s account within 90 calendar days.

  2. Although Other Than Full-Paid (OTFP) tax returns take priority (to avoid paying refund interest), FP tax returns should be processed as fill in work, when possible, prior to the April peak.

    Exception:

    If a Form 14039, Identity Theft Affidavit, is attached to a FP tax return process upon receipt, do not shelve.

  3. As campus management ensures that staffing is sufficient and OTFP inventory levels are low going into the April peak, you should work to reduce FP inventory levels, to the extent practical, going into the April peak.

  4. Once April Peak processing is underway, FP tax returns may be shelved until Program Completion has been accomplished for Refund and No-Refund Sort tax returns. As those PCDs are accomplished and OTFP emphasis shifts to returning to a ten day or lower BBTS Accomplished Cycle, FP tax return processing should resume.

PCD Definition for International FP IMF Tax Returns
  1. By Program Number, Program Completion will be considered accomplished when the cumulative Good Tape production (Function 950) is equal to or greater than 99.9 percent of the cumulative number of processable receipts received for that Program Number received by ≡ ≡ ≡ ≡ ≡ ≡ , so long as that Good Tape production is reached on or before the established PCD.

  2. Determine processable receipts by using the following formula for each PCD:

    • Function 110 (Receipts)

    • Minus Function 920 (Rejects) closing inventory

    • Minus Function 940 (Block Deletions) cumulative receipts

    • Minus Function 960 (Program Deletions) cumulative production

    Note:

    The following provides the data sources to be used in computing processable receipts.

    1. Function 110 cumulative volume for each counting period receipts come from the Function Volume Report within the Production Information and Monitoring System (PIMS).

    2. Function 940 cumulative receipts and Function 960 cumulative production volumes come from the Daily Production Report, PCC-22-40.

    3. Function 920 closing inventory and Function 950 cumulative volume comes from the Balance Forward Listing, PCD-03-44.

    Note:

    If using Function 180 (Batching Activities) cumulative production instead of Function 110, add Function 180 closing inventory (use zero if negative), minus Functions 920, 940, 960, and Function 970 (Reinputs) cumulative production. Function 970 volume comes from the Daily Production Report, PCC-22-40.

Measuring FP - PCD Accomplishment
  1. When evaluating the Program Completion Accomplishment for FP tax returns for the July PCD, there are no categories of tax returns excluded from the volume of processable receipts. Returns that fallout to BOBs and ERS are considered processable and must be corrected prior to PCD. BOB and Error inventory should be evaluated to determine the daily production needed to clear the inventory and meet PCD.

  2. Management at the Headquarters and campus levels must diligently monitor the volume of FP tax returns being processed starting in mid-April through May and June to ensure that the number of tax returns that need to be transcribed per day to Accomplish Program Completion does not become unreasonably large.

  3. Similarly, Campus Management must monitor the processing of Rejects to ensure timely processing and that guidelines for over aged are met.

International Form 1040 Series FP (AUSPC Only) (Program 46220) Processing Specifications
  1. STATUTORY DUE DATES for Form 1040 and Form 1040-NR:

    • April 15

      Note:

      If an electronically filed tax return has been rejected by the IRS and the taxpayer files a paper tax return; the paper tax return will be considered timely filed if postmarked by the later of the date of the tax return or ten calendar days after the date of the notification that the electronic submission was rejected. See IRM 3.30.123.12.2, Electronic Postmark and Return Due Date.

    • June 15 - Form 1040-NR (Non-Effectively Connected Income) original due date.

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. SCHEDULING CYCLE: All tax returns should be scheduled to meet the processing requirements noted above and throughout this IRM.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Full-Paid PCD (April Peak) - July 3, 2018 - Cycle 201827

    • Full-Paid PCD (June Peak) - September 12, 2018 - Cycle 201837

International Form 1040 Series Tax Returns Delayed for ITIN Application Processing

  1. This subsection contains form/program specific information related to timely processing of international IMF tax returns. Form W-7 or Form W-7(SP), Application for IRS Individual Taxpayer Identification Number (ITIN), must be complete before an ITIN can be assigned to make the tax return processable. See IRM 3.30.123.6.10, Form W-7 and W-7(SP) Processing Specifications (AUSPC).

International Form 1040 Series Tax Returns Delayed for ITIN Application Processing Definition
  1. All International Form 1040 Series tax returns received with Form W-7 or Form W-7(SP), Application for IRS Individual Taxpayer Identification Number (ITIN), cannot be processed until the ITIN is assigned.

Special Processing Considerations for International Form 1040 Series Tax Returns Delayed for ITIN Application Processing
  1. International Form 1040 Series tax returns received with Form W-7 and Form W-7(SP), Application for IRS Individual Taxpayer Identification Number (ITIN), are presumed not to contain all information required for their processing, as they lack the ITIN which the applicant has requested.

  2. The ITIN which the applicant has requested cannot be included on the tax return until the requested ITIN has been assigned, or cannot be excluded from the tax return until the ITIN application has been rejected. Thus, the ITIN application must be processed to completion before the accompanying tax return can be considered processable. Until the application has been processed to completion, the accompanying tax return must remain with the application.

  3. Care must be taken to preserve the integrity of the IRS Received Date of the tax returns.

  4. Similarly, care must be taken to preserve the integrity of the Return Processable Date (RPD) on the accompanying tax return.

  5. Once the application has been processed to completion (and the RPD has been applied when appropriate, the accompanying tax return can be released for pipeline processing.

  6. Do not input the transaction to prevent Delinquency Notices (TC 599, CC 18) when the Primary TIN is an ITIN or Internal Revenue Service Number (IRSN).

PCD Definition for International Form 1040 Series Tax Returns Delayed for ITIN Application Processing
  1. The traditional approaches for measuring program completion for various tax returns do not apply well to this group of tax returns. Most of the traditional approaches assume that the IRS Received Date is roughly the date on which tax return processing can begin. Since this is not the case with tax returns delayed for ITIN application processing, a definition for accomplishing program completion that captures the essence of completing tax return processing in a reasonable amount of time after the tax return processing can begin, is better than the traditional definitions.

  2. By Program Number, Program Completion will be considered accomplished when the cumulative volumes produced (in this case, from System Operations) in Function 610 is equal to, or greater than 100 percent of the cumulative number of receipts for that Program Number batched ten working days prior to the established PCD.

Measuring International Form 1040 Series Tax Returns Delayed for ITIN Application Processing PCD Accomplishment
  1. When evaluating the PCD Accomplishment for 1040 series Delayed for ITIN Application Processing tax returns for the May PCD for OTFP tax returns, there are no categories of tax returns excluded from the volume of batched receipts. Since the point of comparison is Function 610 rather than Function 950, no consideration for volumes of tax returns that are in inventory in ERS or Rejects needs to be made.

  2. Definition of International OTFP. See IRM 3.30.123.6.4.2, International OTFP Definition.

International Form 1040 Series Tax Returns Delayed for ITIN Application (Program 46170) Processing Specifications
  1. STATUTORY DUE DATE for Form 1040 (and conversions):

    • April 15

    • June 15 - Form 1040-NR (Non-Effectively Connected Income) original due date

    • October 15 - (Form 4868 filed in April will state "ITIN TO BE REQUESTED" and Form 6401 will be attached to the tax return since no TC could post in April.)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as BBTS Accomplished Cycle. IRM 3.30.123.4.2, BBTS Accomplished Cycle - A Day Counter

    • Cycles should be maintained at a level of 10 working days or less from Batching to Function 610 cycle.

  3. SCHEDULING CYCLE: All tax returns should be scheduled to meet the processing requirements noted above and throughout this IRM.

  4. CAMPUS PROGRAM COMPLETION DATES:

    • OTFP PCD (December Peak) - January 17, 2018 - Cycle 201803

    • Refund PCD (April Peak) - May 16, 2018 - Cycle 201820

    • OTFP PCD (June Peak) - July 18, 2018 - Cycle 201829

    • OTFP PCD (October Peak) - November 21, 2018 - Cycle 201847

Form 1040 Series Extensions - Form 4868 (AUSPC, FSPC, KCSPC Only) (Programs 44700 and 4550X) and Form 2350 (AUSPC Only) (Program 4550X) Processing Specifications

  1. STATUTORY DUE DATES for Form 4868 (Form 4868 is used to request an automatic 6 month extension of time to file Form 1040, Form 1040-A, Form 1040-EZ, Form 1040-NR or Form 1040-NR-EZ):

    • April 15

    • June 15 -Taxpayers abroad (box 8 checked) and taxpayer filing Form 1040-NR and Form 1040-NR-EZ with income not effectively connected (box 9 checked)

    • October 15 - International tax returns for taxpayers abroad requesting an additional non-automatic two month extension of time to file

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

    Note:

    Form 4868 is due on the same date as the applicable tax return. See IRM 3.30.123.6.1.6, Domestic Form 1040 Series OTFP Processing Specifications (AUSPC, FSPC, KCSPC), IRM 3.30.123.6.2.5, Domestic Form 1040 Series FP Processing Specifications (AUSPC, FSPC, KCSPC), IRM 3.30.123.6.4.6, International Form 1040 Series OTFP Processing Specifications (AUSPC) and IRM 3.30.123.6.5.5, International Form 1040 Series FP Processing Specifications (AUSPC).

  2. STATUTORY DUE DATE for Form 2350, Application for Extension of Time to File U.S. Income Tax Return, (This form is used to request an extension of time to file for U.S. citizens and resident aliens abroad who expect to qualify for special tax treatment):

    • June 15

    • October 15

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  3. Process requests for all Extensions of Time to File using the following guidelines:

    1. Processing of extensions of time to file domestic tax returns must be completed within 16 calendar days of the initial receipt day (counting the day it is received). Processing of extensions of time to file International tax returns must be completed within six calendar days of the initial receipt day.

    2. If processing must be delayed during peak periods, all extensions received prior to the end of the ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ MUST be processed during, or before the cycle in which the first delinquent, current year tax returns are processed. Extensions received in the processing center after the ≡ ≡ ≡ ≡ ≡ ≡ ≡ (but timely postmarked), should be processed as expeditiously as possible and prioritized over the associated type returns that were received after the ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ (i.e. Timely extensions for the April 15 due date would need to be processed before any returns received after the ≡ ≡ ≡ ≡ ≡ ≡ for the April 15th due date, while timely international extensions received for the October 15 due date would need to be processed before any International returns received after the ≡ ≡ ≡ ≡ ≡ ≡ ≡ for the October 15 due date.)

    3. These extensions may be related to the "delinquent" tax returns and the TC 460 must be posted in the same cycle or before the tax returns post, so that penalty and interest will not be assessed and cause erroneous notices to be sent to taxpayers.

    4. In the case of denied extensions, notification of the denial must be initiated within ten calendar days of the denial determination in Code and Edit.

  4. The requirements for Extension processing can be found by referring to IRM 3.11.212, Applications for Extension of Time to File, owned by SE:W:CAS:SP:PPB:IMF.

Form 1040-ES, Estimated Tax for Individuals (Program 44200) Processing Specifications

  1. STATUTORY DUE DATE for Form 1040-ES:

    • 4th Quarter, Tax Year 2017 - January 15

    • 1st Quarter, Tax Year 2018 - April 15

    • 2nd Quarter, Tax Year 2018 - June 15

    • 3rd Quarter, Tax Year 2018 - September 15

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES:

    • 1 day (deposit), maximum three days during peak

  3. CAMPUS PROGRAM COMPLETION DATES:

    • 4th Quarter, January 18, 2018 - Cycle 201804

    • 1st Quarter, April 19, 2018 - Cycle 201817

    • 2nd Quarter, June 18, 2018 - Cycle 201825

    • 3rd Quarter, September 19, 2018 - Cycle 201838

  4. The requirements for Lockbox processing are owned by SE:W:CAS:SP:ATP:LPO.

Form 1040-X, Amended U.S. Individual Income Tax Return and CP 08, CP 09, and CP 27 (AUSPC, FSPC, KCSPC Only) (Programs 4440X, 4445X and 4000X) Processing Specifications

  1. STATUTORY DUE DATE for Form 1040-X and CP 08, CP 09, CP 27:

    • N/A (Refer to IRM 25.6.1, Statute of Limitations Processes and Procedures).

  2. CYCLES:

    • 12 calendar days from the IRS received date (day one) to the date the document is delivered to the Corresponding Imaging System (CIS) Unit (ending day) or input of a TC 29X.

    • 12 day time frame will be expanded to 20 days during peak period. Peak period is defined as March 1 through June 30.

    Note:

    Do NOT shelve under any circumstances.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

  4. The Batch/Block Tracking System (BBTS) is used to track Amended inventories for Submission Processing.

  5. The requirements for Form 1040-X and CP 08, CP 09, CP 27 received and processed by Submission Processing, refer to IRM 3.11.6, Data Processing Tax Adjustments, owned by SE:W:CAS:SP:PPB:IMF. For processing procedures of the claims routed to Accounts Management for processing, either from Receipt and Control or another area, refer to IRM 21.5, Account Resolution and IRM 21.6, Individual Tax Returns, owned by SE:W:CAS:AM:PPG:I.

Form W-7 and Form W-7(SP), Application for IRS Individual Taxpayer Identification Number (AUSPC Only) (Programs 33250 and 33350) Processing Specifications

  1. Program 33250- Form W-7 or Form W-7(SP), received without income tax returns must be processed through the ITIN Real-Time-System (RTS) on a 20 day cycle from IRS Received Date to Input (Function 380) in ITIN RTS.

  2. Program 33350- Form W-7 or Form W-7(SP) , received with income tax returns must be processed through the ITIN Real-Time-System (RTS) on a 16 day cycle from IRS Received Date to Input (Function 380) in ITIN RTS.

  3. The requirements for processing Form W-7 or Form W-7(SP) can be found by referring to IRM 3.21.263, IRS Individual Taxpayer Identification Number (ITIN) Real Time System (RTS), owned by SE:W:CAS:SP:SPB:I.

Form W-7A, Application for IRS Adoptions Taxpayer Identification Number (AUSPC Only) (Program 33060) Processing Specifications

  1. DUE DATE for Form W-7A:

    • N/A

  2. CYCLES:

    • 3 days from Entity delivering to Batching for processing through ISRP (Non-Peak)

    • 6 days (Peak - April 15 through May 15)

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

  4. The requirements for processing Form W-7A can be found by referring to IRM 3.13.40, Application for Taxpayer Identification Number for pending U.S. Adoptions, owned by SE:W:CAS:SP:PPB:PPS.

Processing Timeliness Criteria for BMF Domestic Income Tax Returns, Trust Estimated Payment Document, Extension Requests and BMF International Income Tax Returns

  1. This subsection contains form/program specific information related to timely processing of BMF tax returns.

  2. The requirements for BMF Domestic paper processing can be found by referring to IRM 3.11, Returns and Documents Analysis, owned by SE:W:CAS:SP:PPB:BMF.

  3. Form 1041-ES is processed by Lockbox. Correction procedures can be found by referring to IRM 3.12.10, Revenue Receipts, owned by SE:W:CAS:SP:ATP:SCAD.

  4. The requirements for Extension processing can be found by referring to IRM 3.11.212, Applications for Extension of Time to File and IRM 3.12.212, Applications for Extension of Time to File Tax Returns, owned by SE:W:CAS:SP:PPB:IMF.

  5. The requirement for BMF International paper processing can be found by referring to IRM 3.21, International Returns and Documents Analysis, owned by SE:W:CAS:SP:PPB:IMF.

  6. The procedures for correcting BMF documents can be found by referring to IRM 3.12, Error Resolution, owned by SE:W:CAS:SP:PPB:BMF.

BMF Domestic and International Tax Returns

  1. This subsection contains form/program specific information related to the timely process of BMF Domestic tax returns.

  2. Procedures for BMF extension forms follow the BMF tax returns.

  3. BMF International tax return processing procedures. See IRM 3.30.123.7.12, PCD for Form 1042, Form 1042-T, Form 1042-S, Form 3520, Form 3520-A, Form 8804, Form 8805, Form 8813, Form 8288 and Form 8288-A.

Special Processing Considerations for BMF Domestic and International Refund Tax Returns
  1. All refund tax returns must be processed on a 6 day Expedite Cycle.

  2. To the extent possible, to avoid refund interest paid, refund tax returns are to be processed so the refund is issued to the taxpayer within 45 calendar days or the later of:

    1. The return due date (determined without regard to any extension of time for filing the return).

    2. The return received date (used when the return is filed after the return due date, determined without regard to any extension of time for filing the return).

    3. The date the return was received in processable form.

    Exception:

    An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4).

  3. Campus management must ensure that staffing is sufficient and inventory levels are low enough going into the peak period(s) to meet the Refund PCD designated for the particular tax return.

  4. Proper inventory production and control must be in place to ensure that in addition to the emphasis on the Refund PCD, appropriate emphasis is also placed on processing approved extension forms prior to processing refund tax returns received after the end of the due date counting period. See IRM 3.30.123.7.11, PCD for Extensions Form 4768, Form 5558, Form 7004, Form 7004 MeF, Form 8868, Form 8868 MeF and Form 8892 Processing Specifications.

Program Completion Date (PCD) Definition for BMF Domestic and International Refund Tax Returns
  1. The traditional approach for measuring program completion does not apply well when processing BMF refund returns. When evaluating the PCD Accomplishment for refunds returns there are no categories of tax returns excluded from the volume of batched receipts. Since the point of comparison is Function 230 or Function 450 rather than Function 950, no consideration for volumes of tax returns that are in ERS or Rejects needs to be made.

  2. By Program Number, Program Completion will be considered accomplished when the cumulative volumes produced in Function 230 or Function 450 is equal to or greater than 100 percent of the cumulative number of receipts (Function 110) for that Program Number received by close of business (COB) three (3) business days prior to the established PCD.

  3. Data sources used to determine PCD accomplishment are the PIMS Monitoring Report for Function 110 and the Daily Production Report (PCC 22-40) for Function 230.

Program Completion Date (PCD) Definition for BMF Domestic and International Non-Refund Tax Returns
  1. By Program Number, Program Completion will be considered accomplished when the cumulative Good Tape (Function 950) is equal to or greater than the cumulative number of processable receipts received for that Program Number by the end of the counting period ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ unless specified differently under form type.

  2. Determine processable receipts by using the following formula for each PCD:

    • Function 110 (Receipts)

    • Minus Function 920 (Rejects) closing inventory

    • Minus Function 940 (Block Deletions) cumulative receipts

    • Minus Function 960 (Program Deletions) cumulative production

    Note:

    The following provides the data sources to be used in computing processable receipts and PCD accomplishment.

    1. Function 110 cumulative volume for each counting period receipts come from the Function Volume Report within the Production Information and Monitoring System (PIMS).

    2. Function 940 cumulative receipts and Function 960 cumulative production volumes come from the Daily Production Report, PCC-22-40.

    3. Function 920 closing inventory and Function 950 cumulative volume comes from the Balance Forward Listing, PCD-03-44.

    Note:

    If using Function 180 (Batching Activities) cumulative production instead of Function 110, add Function 180 closing inventory (use zero if negative) minus Function 920, 940,960, and Function 970 (Reinputs) cumulative production. Function 970 volume comes from the Daily Production Report, PCC-22-40.

  3. Each Submission Processing Center can use its Daily Production Reports (DPR), Batch Profile Report (BPR), Error Resolution System (ERS) Reports and GMF-06-40 (report of outstanding BOBs) to monitor the processing of returns. Special emphasis should be given to utilizing the SCCF Aged List and other SCCF Extracts (Extracts can be ordered by Accounting Data Control team using SCFRQ) to determine if all documents have been processed through ISRP, SCRIPS, BOBs and ERS.

  4. PCD definition for multiple forms processed under the same parent program

    1. The traditional approach for measuring program completion does not apply well when more than one form is processed under the same parent program. When evaluating the PCD Accomplishment for non-refund Form 706, Form 709-GS(D), Form 706-GS(T), Form 720 (ACA and non-ACA), Form 11-C, Form 730, Form 4720, Form 1041-A, and Form 1066 there are no categories of tax returns excluded from the volume of batched receipts. Since the point of comparison is Function 230 rather than Function 950, no consideration for volumes of tax returns that are in ERS or Rejects needs to be made.

    2. By Program Number, Program Completion will be considered accomplished when the cumulative volumes produced in Function 230 is equal to or greater than 100 percent of the cumulative number of receipts (Function 110) for that Program Number received by the end of the counting period ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .

    3. The data sources used to determine PCD accomplishment are the Detailed PIMS Monitoring Report for Function 110 and the Daily Production Report (PCC22-40) for Function 230.

  5. For any tax returns received within the specified counting period or delinquent filed tax returns which cannot be processed by the PCD as established within this IRM, TC 599 Closing Code (CC) 18 must be input. If the filer is a subsidiary on a consolidated Form 1120 return, input TC 590 CC 14. This includes block deletes in BOBs and Rejects.

    1. Processing procedures for block deletes and BOBs can be found by referring to IRM 3.40.37, General Instructions.

    2. Processing procedures for Rejects can be found by referring to IRM 3.12.38, BMF General Instructions.

  6. Input of a TC 599 will not aid in meeting PCD. However, TC 599 should be used to satisfy the module for non-remittance tax returns in BOBs, Rejects, and Code and Edit status to prevent erroneous tax return delinquency notices. TC 599 should be input no later than three weeks prior to the delinquency check. Due to various actions that are impacted by the processing of the actual tax return (e.g., trust fund activity) input of a TC 599 does not preclude the campus from continuing the processing of the tax return. All tax returns that were not processed prior to PCD (e.g., unlocatable BOBs, ERS unworkable suspense, etc.,) must be located and processed within 45 calendar days after PCD.

  7. Since the posting of a TC 610 will suppress delinquency notices, a TC 599 should only be input on non-remittance tax returns.

  8. If for any reason, the campus identifies an "orphan" or unprocessed block, a TC 599 CC 18, must be input three weeks prior to the delinquency check. Every effort should be made to locate these tax returns and process them within 45 calendar days after PCD.

  9. Guidelines for preparing Transmission Spreadsheet for the Weekly BMF Returns Processing Report can be found by referring to IRM 3.30.124, Campus Monitoring Reports.

  10. Timely filed current year/quarterly tax returns (other than employment tax returns) can be leveled one week prior to the due date through the PCD (e.g., Form 1120-S for tax period 201806 with a due date of September 15 can be leveled beginning one week prior to the due date on September 8). Timely filed current calendar year and all quarterly employment tax returns may be leveled two weeks prior to the due date through the PCD (e.g., Form 941 for tax period 201803, due April 30, can be leveled beginning two weeks prior to the due date on April 16). All other tax returns must stay on cycle and PCD must be met. Requests for an exception to level must be elevated to management at the Headquarters level for approval.

    Note:

    During the 2018 processing year requests for exception is not necessary for some BMF forms as processing days have already been extended. Specific guidelines can be found under each form type.

Processing Forms on an "Expedite" Cycle
  1. At the campuses discretion, all BMF tax returns may be processed using an 11 or 16 day BBTS processing cycle with the exception of Form 720, Quarterly Federal Excise Tax Return, 944 series and all refund tax returns.

    Note:

    During the 2018 processing year some BMF tax returns can be processed using a 16 day BBTS processing cycle. Specific guidelines can be found under each form type. Implementation of a 16 day cycle is at the discretion of the campus.

  2. The tax forms listed below must be processed on a 6 day Expedite BBTS Cycle. Processing must be completed in 11 business days or less counting from the IRS received date through Tape Edit Processing (TEP).

    All BMF Refund Tax Returns
    • Form 720 (Refund and Non-Refund)

    • Form 944, Form 944 (PR), Form 944 (SP), Form 944-SS (Refund and Non-Refund) - Received after January 1 and through PCD


    Exception:
    • Form 8038-CP, Return for Credit Payments to Issuers of Qualified Bonds, 6 day cycle

    • KITA/KIA, Original tax returns, 3 day cycle

  3. The forms and CP notices listed below must be routed to the proper area expeditiously to be processed. For destination and additional routing criteria can be found by referring to IRM 3.10.72, Receiving, Extracting, and Sorting.

    • Form 514-B, Tax Transfer Schedule

    • Form 1331 and Form 1331-B, Notice of Adjustment

    • Form 2158, Credit Transfer Voucher

    • Form 2287 (CG), Notice of Check Not Accepted by Bank

    • Form 3177, Notice of Action for Entry on Master File

    • Form 3245, Posting Voucher-Refund Cancellation or Repayment

    • Form 3413, Transcription List (Account Transfer-In)

    • Form 3753, Manual Refund Posting Voucher

    • Form 3809, Miscellaneous Adjustment Voucher

    • Form 4338, Information of Certified Transcript Request

    • Form 4830, IDRS Multi-Purpose Posting Document

    • Form 8485, Assessment Adjustment Case Record

    • Form 12857, Refund Transfer Posting Voucher

    • Form 13133, Expedite Processing Cycle

    • CP 54, Return Posts to Invalid Segment (IMF)

    • CP 108, CP 403 and CP 406

    • CP 59, CP 259, CP 759, CP 518 and CP 959, Request for Information about Tax Return

  4. Any prior year tax return with Form 13133 , attached that is submitted by the Examination or EP/EO function must be processed at a maximum 6 day Expedite Cycle.

  5. All payment posting vouchers, such as Form 809, Receipt for Payment of Taxes, Form 3244 and Form 3244-A, Payment Posting Voucher, Form 3552, Prompt Assessment Billing Assembly and Form 4466, Corporation Application for Quick Refund of Overpayment of Estimated Tax must be expedited.

  6. Form 5248, Transfer Request , requests for account reactivation from retention should be processed within 12 workdays.

Measuring PCD Accomplishment
  1. The following processes must be maintained when implementing the 11 or 16 day BBTS processing cycle:

    Note:

    The 16 day BBTS processing cycle only applies to specific tax returns processed during the 2018 processing year. Specific guidelines can be found under each form type. Implementation of a 16 day cycle is at the discretion of the campus.

    • 45-day interest free period for refund tax returns must be met, and

    • PCD MUST BE MET, and

    • Batching must be timely ("timely" is defined as no more than two workdays from the IRS Received Date).

    Exception:

    An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4).

  2. When evaluating the PCD Accomplishment for Refund BMF tax returns, no categories of tax returns are excluded from cumulative number of processable receipts received by the end of the counting period.

PCD for Form 706, Form 706-GS(D), Form 706-GS(T) and Form 709

  1. This subsection contains form/program specific information related to timely processing of Estate and Gift Tax Returns.

  2. Procedures for processing these forms can be found by referring to IRM 3.11.106, Estate and Gift Tax Returns, owned by SE:W:CAS:SP:PPB:BMF.

Form 706, U.S. Estate Tax Return (CSPC Only) (Program 12400) Processing Specifications
  1. STATUTORY DUE DATE for Form 706:

    • 9 months after the date of death.

      Note:

      An approved extension extends the filing period for six months

       

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 29, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (December 2016 filers) - January 24, 2018 - Cycle 201804

    • Non-Refund (December 2016 filers) - February 21, 2018 - Cycle 201808

    • Monthly tax returns that are filed for January 2018 and later are to be completed as described. See IRM 3.30.123.2.1, PCD Definitions.

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns that are in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the delinquency check.

    2. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 706-GS(D), Generation-Skipping Transfer Tax Return for Distributions (CSPC Only) (Program 12400) Processing Specifications
  1. STATUTORY DUE DATE for Form 706-GS(D):

    • April 15

    • October 15 (Extended due date)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 29, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (April Peak) - May 9, 2018 - Cycle 201819

    • Non-Refund (April Peak) - June 6, 2018 - Cycle 201823

    • Refund (October Peak) - November 7, 2018 - Cycle 201845

    • Non-Refund (October Peak) - December 5, 2018 - Cycle 201849

Form 706-GS(T), Generation-Skipping Transfer Tax Return For Terminations (CSPC Only) (Program 12400) Processing Specifications
  1. STATUTORY DUE DATE for Form 706-GS(T):

    • April 15

    • October 15 (Extended due date)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 29, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (April Peak) - May 9, 2018 - Cycle 201819

    • Non-Refund (April Peak) - June 6, 2018 - Cycle 201823

    • Refund (October Peak) - November 7, 2018 - Cycle 201845

    • Non-Refund (October Peak) - December 5, 2018 - Cycle 201849

Form 709, United States Gift (and Generation - Skipping Transfer) Tax Return (CSPC Only) (Program 12410) Processing Specifications
  1. STATUTORY DUE DATE for Form 709:

    • April 15

    • October 15 (Extended due date)

      Note:

      See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 29, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (April Peak) - May 9, 2018 - Cycle 201819

    • Non-Refund (April Peak) - June 6, 2018 - Cycle 201823

    • Refund (October Peak) - November 7, 2018 - Cycle 201845

    • Non-Refund (October Peak) - December 5, 2018 - Cycle 201849

PCD for Form 720, Form 730, Form 2290 Series and Form 11-C

  1. This subsection contains form/program specific information related to timely processing of Excise Tax Returns.

  2. Procedures for processing these forms can be found by referring to IRM 3.11.23, Excise Tax Returns, owned by SE:W:CAS:SP:PPB:BMF.

  3. There are no valid extensions for these forms.

  4. Form 2290 with the designation "FR" is for domestic tax returns for U.S. residents who speak French.

    Note:

    Form 2290 (FR) was made obsolete on January 29, 2015.

  5. Form 2290 with the designation "SP" is for domestic tax returns for U.S. residents who speak Spanish.

Form 720, Quarterly Federal Excise Tax Return (CSPC Only) (Program 11800) Processing Specifications
  1. STATUTORY DUE DATE for Form 720:

    • 4th Quarter - January 31

    • 1st Quarter - April 30

    • 2nd Quarter - July 31

    • 3rd Quarter - October 31

      Note:

      See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Form 720, excluding taxes for the Affordable Care Act (ACA) Number of Days in Cycle should normally be 6 days or lower.

      Note:

      Batched under programs 11800, 11801, and 11802

    • Form 720 reporting ONLY ACA (Patient Centered Outcome Research (PCOR) or Medical Device) Number of Days in Cycle should be normally be 11 days or lower.

      Note:

      Batched under program 11804 and 11809

  3. Form 720 cutoff cycles to be included in Certifications:

    • 4th Quarter 2017 - 201608 ECC-MTB Posting Cycle (TXPD 201712)

    • 1st Quarter 2018 - 201721 ECC-MTB Posting Cycle (TXPD 201803)

    • 2nd Quarter 2017 - 201734 ECC-MTB Posting Cycle (TXPD 201806)

    • 3rd Quarter 2017 - 201747 ECC-MTB Posting Cycle (TXPD 201809)

  4. CAMPUS PROGRAM COMPLETION DATES:

    Tax Period Non-ACA PCD ACA Only PCD
    4th Quarter February 21, 2018 - 201808 March 21, 2018 - 201812
    1st Quarter May 23, 2018 - 201821 June 20, 2018 - 201825
    2nd Quarter August 22, 2018 - 201834 September 19, 2018 - 201838
    3rd Quarter November 20, 2018 - 201847 December 19, 2018 - 201851
  5. OTHER REQUIREMENTS:

    1. All non-remittance tax returns that are in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

    2. The PCD is the same for Refunds and Non-Refunds, but Refunds should be worked prior to the Non-Refunds to ensure the interest free period is met.

Form 730, Monthly Tax Return for Wagers (CSPC Only) (Program 12700) Processing Specifications
  1. STATUTORY DUE DATE for Form 730:

    • By the last day of the month following the month that the wagers were reported.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 16 days or lower.

  3. CAMPUS PROGRAM COMPLETION DATES:

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

    End of Tax Year Tax Return STATUTORY DUE DATE PCD
    October 31, 2017 November 30, 2017 January 3, 2018 - 201801
    November 30, 2017 December 31, 2017 February 7, 2018 - 201806
    December 31, 2017 January 31, 2018 March 7, 2018 - 201810
    January 31, 2018 February 28, 2018 April 4, 2018 - 201814
    February 28, 2018 March 31, 2018 May 9, 2018 - 201818
    March 31, 2018 April 30, 2018 June 6, 2018 - 201823
    April 30, 2018 May 31, 2018 July 3, 2018 - 201827
    May 31, 2018 June 30, 2018 August 8, 2018 - 201732
    June 30, 2018 July 31, 2018 September 5, 2018 - 201836
    July 31, 2018 August 31, 2018 October 3, 2018 - 201840
    August 31, 2018 September 30, 2018 November 7, 2018 - 201846
    September 30, 2018 October 31, 2018 December 5, 2018 - 201849
  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns that are in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

  5. Expedite all Form 730 for prior months that are claiming an overpayment on Line 5, or have a Form 8849, Claim for Refund of Excise Taxes , Schedule 6 attached when identified in Code and Edit.

Form 2290, Form 2290(FR), Form 2290(SP), Heavy Highway Vehicle Use Tax Return (CSPC Only) (Program 12300) Processing Specifications
  1. STATUTORY DUE DATES for Form 2290, Form 2290(FR) and Form 2290(SP):

    • First Use, or when first determined that the vehicle will exceed 5,000 miles (7,500 for agricultural vehicles), will have the due date on the last day of the month following the month of the first taxable use (vehicle first used in February - tax return due March 31).

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 11 days or lower.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • (August Peak) -September 19, 2018 - Cycle 201838

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior the delinquency check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 11-C, Occupational Tax and Registration Return for Wagering (CSPC Only) (Program 12700) Processing Specifications
  1. DUE DATE for Form 11-C:

    • July 1 of each year or date business commences

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 16 days or lower.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • July Filers - August 8, 2018 - Cycle 201832

    • Monthly tax returns that are filed for August 2018 and later are to be completed as described. See IRM 3.30.123.2.1, PCD Definitions.

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the delinquency check. Continue processing once you have input the transaction to suppress the delinquency notice.

GAS-01-42 Report of Credits, Claims, and Adjustments (Quarterly Treasury - 90 Report
  1. It is essential that the Revenue Oversight and Support Office (OS:CFO:FMO) complete the quarterly Refunds & Credits certifications to Treasury on a timely basis to help meet the scheduled dates. It is imperative that each campus Quarterly Treasury-90 Report (T-90), post to Control-D by close of business the fifth work day after the close of the calendar quarter being reported.

  2. The close of the calendar quarters will be the last days of the quarter being reported except for the quarter normal ending September 30. The September quarter will cut off early. The cutoff date is reported in the year-end Memo annually. This information must be included in the Fiscal Year (FY) Reports due September 30. The last cycle for each quarter is based on the ECC-MTB Posting Cycles calendar. In the event the final processing cycle for a quarter is changed, use the changed cycle data for that input.

  3. The reporting requirements for the T-90 Report, etc., are owned by OS:CFO:FM:O.

PCD for Form 940, Form 940(PR), Form 941, Form 941(PR), Form 941-SS, Form 943, Form 943(PR), Form 944, Form 944(PR), Form 944(SP), Form 944-SS, Form 945 and Form CT-1

  1. This subsection contains form/program specific information related to timely processing of Unemployment and Employment Tax Returns. All will be referred to as "Employment" tax returns in this section.

  2. Procedures for processing Form 940 are found in IRM 3.11.154, Unemployment Tax return. Procedures for Form 941, Form 943, 944 series, Form 945 and Form CT-1 are found in IRM 3.11.13, Employment Tax Returns. Both IRMs are owned by SE:W:CAS:SP:PPB:BMF.

  3. Forms with the designation of "PR" and "SS" are International tax returns for residents of Puerto Rico (PR), Guam, Virgin Islands, American Samoa, Commonwealth of the Northern Mariana Islands, Federated States of Micronesia, Marshall Islands, and Palau.

  4. Forms with the designation of "SP" are domestic tax returns for U.S. residents who speak Spanish.

  5. There are no valid extensions for these forms.

Form 940 and Form 940(PR), Employer's Annual Federal Unemployment (FUTA) Tax Return (Programs 11100 and 11140) Processing Specifications
  1. STATUTORY DUE DATES for Form 940 and Form 940(PR):

    • January 31

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 16 days or lower and should not exceed 50, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (January Peak) - February 21, 2018 - Cycle 201808

    • Non-Refund (January Peak) - April 25, 2018 - Cycle 201817

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the delinquency check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 941, Employer’s Quarterly Federal Tax Return (Program 11200) / Form 941(PR) and Form 941-SS, Employer's Quarterly Federal Tax Return (OSPC Only) (Program 11210) Processing Specifications
  1. STATUTORY DUE DATES for Form 941, Form 941(PR) and Form 941-SS:

    • 4th Quarter - January 31

    • 1st Quarter - April 30

    • 2nd Quarter - July 31

    • 3rd Quarter - October 31

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 16 days or lower and should not exceed 32, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    Tax Period Refund Non-Refund
    4th Quarter February 21, 2018 - 201808 March 21, 2018 - 201812
    1st Quarter May 23, 2018 - 201821 June 20, 2018 - 201825
    2nd Quarter August 22, 2018 - 201834 September 19, 2018 - 201838
    3rd Quarter November 20, 2018 - 201847 December 19, 2018 - 201851
  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 943, Employer’s Annual Tax Return for Agricultural Employees (Program 11600); and Form 943(PR), Employer’s Annual Tax Return for Agricultural Employees (OSPC Only) (Program 11610) Processing Specifications
  1. STATUTORY DUE DATES for Form 943 and Form 943(PR):

    • January 31 (or ten days later, if timely full-paid deposits are made)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 16 days or lower and should not exceed 32, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (January Peak) - February 21, 2018 - Cycle 201808

    • Non-Refund (January Peak) - April 4, 2018 - Cycle 201814

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 944, Employer's Annual Federal Tax Return (Program 11650), Form 944(SP), Employer's Annual Federal Tax Return (OSPC Only) (Program 11650), and Form 944(PR) and Form 944-SS, Employer's Annual Federal Tax Return (OSPC Only) (Program 11680) Processing Specifications
  1. STATUTORY DUE DATES for Form 944, Form 944(SP), Form 944(PR) and Form 944-SS:

    • January 31 (or ten days later, if timely full-paid deposits are made)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 6 days or lower prior to PCD and 16 days or lower after PCD and should not exceed 32, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund/Non-Refund (January Peak) - February 21, 2018 - Cycle 201808

      Note:

      Expedite processing of all Form 944 returns (timely or delinquent) received from January 1st through the current year's PCD is necessary to ensure taxpayers receive sufficient notification to timely file the quarterly Form 941 if required. Returns received after the PCD will resume normal processing.

  4. PCD DEFINITION FOR FORM 944 SERIES TAX RETURN

    1. The traditional approach for measuring program completion does not apply well for the Form 944, Form 944(SP), Form 944(PR) and Form 944-SS, due to the compress processing time frame and high percentage of the returns going unpostable for mismatched filing requirements (UPC 329 RC 6). When evaluating the PCD Accomplishment for Form 944 series there are no categories of tax returns excluded from the volume of batched receipts. Since the point of comparison is Function 230 rather than Function 950, no consideration for volumes of tax returns that are in ERS or Rejects needs to be made.

    2. By Program Number, Program Completion will be considered accomplished when the cumulative volumes produced in Function 230 is equal to or greater than 100 percent of the cumulative number of receipts (Function 110) for that Program Number which are batched 5 working days prior to the established PCD.

  5. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

    2. The PCD is the same for Refunds and Non-Refunds, but Refunds should be worked prior to the Non-Refunds to ensure the interest free period is met.

Form 945, Annual Return of Withheld Federal Income Tax (Program 11250) Processing Specifications
  1. STATUTORY DUE DATE for Form 945:

    • January 31 (or ten days later, if timely full-paid deposits are made)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter.

    • Number of Days in Cycle should normally be 16 days or lower and should not exceed 32, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (January Peak) - February 21, 2018 - Cycle 201808

    • Non-Refund (January Peak) - April 4, 2018 - Cycle 201814

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form CT-1, Employer’s Annual Railroad Retirement Tax Return (CSPC Only) (Program 11300) Processing Specifications
  1. STATUTORY DUE DATE for Form CT-1:

    • February 28

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower and should not exceed 40, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (February Peak) - March 21, 2018 - Cycle 201812

    • Non-Refund (February Peak) - April 4, 2018 - Cycle 201814

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status should have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

PCD for Form 1041, Form 1041-QFT, Form 1041-N and Form 1041-ES

  1. This subsection contains form/program specific information related to timely processing of Fiduciary and Partnership Tax Returns, as well as the Estimated Payment (ES), Form 1041-ES.

  2. Procedures for processing Form 1041, Form 1041-QFT, and Form 1041-N can be found by referring to IRM 3.11.14, Income Tax Returns for Estates and Trusts and IRM 3.12.14 , Income Tax Returns for Estates and Trusts, owned by SE:W:CAS:SP:PPB:BMF.

  3. Form 1041-ES is processed by Lockbox. Correction procedures can be found by referring to IRM 3.12.10, Revenue Receipts, owned by SE:W:CAS:SP:ATP:SCAD.

Form 1041, U.S. Income Tax Return for Estates and Trusts (Program 11900), Form 1041-QFT, U.S. Income Tax Return for Qualified Funeral Trusts (Program 11910) and Form 1041-N, U.S. Income Tax Return for Electing Alaska Native Settlement Trusts (OSPC Only) (Program 11910) Processing Specifications
  1. STATUTORY DUE DATES for Form 1041, Form 1041-QFT and Form 1041-N:

    • April 15 (for calendar year tax returns, or 31/1 months after the end of the taxable year for fiscal year tax returns)

    • June 15 (automatic two month extension if books and records are kept outside of U.S.)

    • October 1 (Extended Return due date - Form 1041)

    • October 15 (Extended Return due date - Form 1041-N and Form 1041-QFT

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 40, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (April Peak) - May 9, 2018 - Cycle 201819

    • Accelerated Refund (April Peak) - May 16, 2018 - Cycle 201820

    • Refund (June Peak) - July 3, 2018 - Cycle 201827

    • Non-Refund (April Peak) - July 25, 2018 - Cycle 201830

    • Non-Refund (June Peak) - July 18, 2018 - Cycle 201829

    • Refund (October Peak - Form 1041 only) - October 24, 2018 - Cycle 201843

    • Non-Refund (October Peak - Form 1041 only) - November 20, 2018 - Cycle 201847

    • Refund (October Peak - Form 1041-QFT, Form 1041-N only)- November 7, 2018 - Cycle 201845

    • Non-Refund (October Peak - Form 1041–QFT, Form 1041-N only) - November 20, 2018 - Cycle 201847

  4. For PCD date for processing Schedule K-1s detached from Form 1041, see IRM 3.30.123.8.3.5, Schedule K-1 Processing Specifications

  5. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 1041-ES, Estimated Tax for Estates and Trusts (Program 11920) Processing Specifications
  1. STATUTORY DUE DATE for Form 1041-ES:

    • 4th Installment - January 15

    • 1st Installment - April 15

    • 2nd Installment - June 15

    • 3rd Installment - September 15

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES:

    • 1 day (deposit), maximum three days during peak

  3. CAMPUS PROGRAM COMPLETION DATES:

    • 4th Installment, January 18, 2018 - Cycle 201804

    • 1st Installment, April 19, 2018 - Cycle 201817

    • 2nd Installment, June 18, - Cycle 201825

    • 3rd Installment, September 19, 2018 - Cycle 201838

  4. The Deposit PCD is set and issued in an official Headquarters memorandum that is distributed to the Submission Processing Centers and the vendor banks.

Form 1065, U.S. Return of Partnership Income (Program 12200) and Form 1065-B, U.S. Return of Income for Electing Large Partnerships (OSPC Only) (Program 12200) Processing Specifications

  1. STATUTORY DUE DATES for Form 1065 and Form 1065-B:

    • March 15 (for calendar year tax returns, or 15th day of the third month following the date the tax year ended, for fiscal year)

    • May 15 (automatic two month extension if books and records are kept outside of the U.S.)

    • September 15 (Extended Return due date - Form 1065 and Form 1065-B)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 50, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Non-Refund (March Peak) - July 3, 2018 - Cycle 201827

    • Non-Refund (May Peak) - July 18, 2018 - Cycle 201829

    • Non-Refund (September Peak Form 1065-B) - October 24, 2018 - Cycle 201843

    • Non-Refund (September Peak Form 1065) - November 7, 2018 - Cycle 201845

  4. For PCD date for processing Schedule K-1s detached from Form 1065, see IRM 3.30.123.8.3.5, Schedule K-1 Forms Processing Specifications.

  5. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

  6. The requirements for processing Form 1065 can be found by referring to IRM 3.11.15, Return of Partnership Income, owned by SE:W:CAS:SP:PPB:BMF.

Form 1066, U.S. Real Estate Mortgage Investment Conduit (REMIC) Income Tax Return (OSPC Only) (Program 12201) Processing Specifications

  1. STATUTORY DUE DATE for Form 1066:

    • April 15

    • October 15 (Extended due date)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower and should not exceed 50, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (April Peak) - May 9, 2018 - Cycle 201819

    • Non-Refund (April Peak) - May 23, 2018 - Cycle 201821

    • Refund (October Peak) - November 7, 2018 - Cycle 201845

    • Non-Refund (October Peak) - November 20, 2018 - Cycle 201847

  4. The requirements for processing Form 1066 can be found by referring to IRM 3.11.213, Form 1066, U.S. REMIC Income Tax Return, owned by SE:W:CAS:SP:PPB:BMF.

PCD for Form 1120 and Form 1120 Series C/F/FSC/H/L/ND/PC/POL/REIT/RIC/S/SF

  1. PCDs are listed for each month. See IRM 3.30.123.7.8.1, Form 1120 and 1120 Series - F/FSC/H/L/ND/PC/REIT/RIC/SFProcessing Specifications. See Exhibit 3.30.123-5, Campus Program Completion Cycles. Over 50 percent of Form 1120 series are fiscal year filers. The dates given in each month are the completion dates for processable refund and non-refund tax returns with a due date the previous month. If fiscal filers are not sorted, all tax returns received by the statutory due date must be considered and processed under the PCD requirement.

  2. Any refund tax return discovered as misblocked in a non-refund batch will be rejected and renumbered immediately and processed.

  3. There are three Accelerated Cycles for refund Form 1120 series tax returns. Tax returns processed and shipped the week of these three dates will receive special accelerated (expedite) processing at ECC-MTB and the Regional Financial Centers (RFC) in order to meet the "45-calendar day interest free period." The Campus PCD Accelerated Cycles for 2018 are 201815, 201828, and 201842. However, the ECC-MTB Posting Cycles do not change. The check issue date is what is accelerated and the computation for interest changes at Master File for these cycles.

    Exception:

    An interest-free period of 180 days applies to an overpayment resulting from tax deducted and withheld under Chapter 3 or Chapter 4 of the Internal Revenue Code, see IRC 6611(e)(4).

  4. Program Completion will be considered accomplished when the cumulative Good Tape production (Function 950) is equal to or greater than the number of processable tax returns received on or before the due date of the particular month ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ , so long as the Good Tape production is reached on or before the established PCD.

  5. Due to inventories in Rejects, some tax returns received after the end of the specified counting period will be included in the cumulative Good Tape production (Function 950) that were not included in the cumulative receipts (Function 110). All tax returns will be processed to maintain cycle timeliness in addition to meeting the PCD.

  6. Any non-remittance tax return which will not be processed within three weeks of the Delinquency Check must have a TC 599 CC 18 input (subsidiaries on consolidated tax returns need a TC 590 CC 14). After the appropriate TC has been input, continue processing the 1120 series tax return to suppress the delinquency notice.

    Note:

    Under no circumstances will Form 1120 tax returns be shelved.

  7. The requirements for processing Form 1120 series (excluding Form 1120-S) can be found by referring to IRM 3.11.16, Corporate Income Tax Returns. Requirements for processing Form 1120-S can be found by referring to IRM 3.11.217, Form 1120-S Corporate Income Tax Returns, owned by SE:W:CAS:SP:PPB:BMF.

  8. Form 1120-X are not processed in Submission Processing. They are routed by Receipt and Control (R&C) to Accounts Management for processing.

Form 1120, U.S. Corporation Income Tax Return (Program 11500), Form 1120 Series F/FSC/H/L/ND/PC/REIT/RIC/SF (Program 11500), Form 1120-C, U.S. Income Tax Return for Cooperative Associations (OSPC Only) (Program 11540), Form 1120-POL, U.S. Income Tax Return for Certain Political Organizations (OSPC Only) (Program 13170) and Form 1120-S, U.S. Income Tax Return for an S Corporation (Program 12100) Processing Specifications
  1. DUE DATE for Form 1120, Form 1120 series. Form 1120-C, Form 1120-POL, and Form 1120-S:

    • 15th day of third month following the date the tax year ended (Form 1120-S.)

    • 15th day of fourth month following the date the tax year ended (Form 1120 , Form 1120 series and Form 1120-POL .)

    • 15th day of sixth month following the date the tax year ended (Form 1120-Fwithout box D(3) checked.)

    • 15th day of ninth month following the date the tax year ended (Form 1120-C.)

      Note:

      Approved Extensions for six months are also valid.

      Exception:

      The due date for a corporation that ends its tax year on June 30 remains due on or before the 15th day of the third month.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower. For Programs 1150X and 1210X Only, maximum should not exceed 30 for non-refund, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • The following table provides the PCD for each tax period posting in the current year for all Form 1120 series Refund tax returns.

      Exception:

      Form 1120-C and Form 1120-S are shown on separate PCD tables.

    End of Tax Year Statutory Due Date Accelerated Cycles/Ext RDD Campus PCD Cycle and ECC- MTB Posting Cycle
    Aug 31, 2017 Dec 15, 2017   Jan 3, 2018
    Cycle 201801
    Sep 30, 2017 Jan 15, 2018   Feb 7, 2018
    Cycle 201806
    Oct 31, 2017 Feb 15, 2018   Mar 7, 2018
    Cycle 201810
    Nov 30, 2017 Mar 15, 2018   Apr 4, 2018
    Cycle 201814
        ECC-MTB Accelerated Cycle Apr 11, 2018
    Cycle 201815
    Dec 31, 2017 Apr 15, 2018   May 9, 2018
    Cycle 201819
    Jan 31, 2018 May 15, 2018   Jun 6, 2018
    Cycle 201823
    Feb 28, 2018 Jun 15, 2018   Jul 3, 2018
    Cycle 201827
        ECC-MTB Accelerated Cycle Jul 11, 2018
    Cycle 201828
    Mar 31, 2018 Jul 15, 2018   Aug 8, 2018
    Cycle 201832
    Apr 30, 2018 Aug 15, 2018   Sep 5, 2018
    Cycle 201836
    May 31, 2018 Sept. 15, 2018   Oct 10, 2018
    Cycle 201841
    June 30, 2018 Sept 15, 2018   Oct 10, 2018
    Cycle 201841
        ECC-MTB Accelerated Cycle Oct 17, 2018
    Cycle 201842
    Dec 31, 2017 Oct 15, 2018 Extended RDD Nov 7, 2018
    Cycle 201845
    Jul 31, 2018 Nov 15, 2018   Dec 5, 2018
    Cycle 201849
    • The following table provides the PCD for each tax period posting in the current year for all Form 1120 seriesNon-Refund tax returns.

      Exception:

      Form 1120-C and Form 1120-S are shown on separate PCD tables.

    End of Tax Year Statutory Due Date Campus PCD Cycle and ECC-MTB Posting Cycle
    Aug 31, 2017 Dec 15, 2017 Jan 17, 2018
    Cycle 201803
    Sep 30, 2017 Jan 15, 2018 Feb 21, 2018
    Cycle 201808
    Oct 31, 2017 Feb 15, 2018 Mar 21, 2018
    Cycle 201812
    Nov 30, 2017 Mar15, 2018 May 16, 2018
    Cycle 201820
    Dec 31, 2017 Apr 15, 2018 May 23, 2018
    Cycle 201821
    Jan 31, 2018 May 15, 2018 Jun 20, 2018
    Cycle 201825
    Feb 28, 2018 Jun 15, 2018 Jul 18, 2018
    Cycle 201829
    Mar 31, 2018 Jul 15, 2018 Aug 22, 2018
    Cycle 201834
    Apr 30, 2018 Aug 15, 2018 Sep 19, 2018
    Cycle 201838
    Dec 31, 2017 Oct 15, 2018(Extended RDD) Nov 20, 2018
    Cycle 201847
    May 31, 2018 Sep 15, 2018 Nov 28, 2018
    Cycle 201848
    June 30, 2018 Sep 15, 2018 Nov 28, 2018
    Cycle 201848
    Jul 31, 2018 Nov 15, 2018 Dec 19, 2018
    Cycle 201851
    • The following table provides the PCD for each tax period posting in the current year for all Form 1120-CRefund tax returns.

    End of Tax Year Statutory Due Date Accelerated Cycles/Ext RDD Campus PCD Cycle and ECC-MTB Posting Cycle
    Mar 31,2017 Dec 15, 2017   Jan 3, 2018
    Cycle 201801
    Apr 30, 2017 Jan 15, 2018   Feb 7, 2018
    Cycle 201806
    May 31, 2017 Feb 15, 2018   Mar 7, 2018
    Cycle 201810
    Dec 31, 2016 Mar 15, 2018 Extended RDD Apr 4, 2018
    Cycle 201814
    Jun 30, 2017 Mar 15, 2018   Apr 4, 2018
    Cycle 201814
        ECC-MTB
    Accelerated
    Cycle
    Apr 11, 2018
    Cycle 201815
    Jul 31, 2017 Apr 15, 2018   May 9, 2018
    Cycle 201819
    Aug 31, 2017 May 15, 2018   Jun 6, 2018
    Cycle 201823
    Sep 30, 2017 Jun 15, 2018   Jul 3, 2018
    Cycle 201827
        ECC-MTB
    Accelerated
    Cycle
    Jul 11, 2018
    Cycle 201828
    Oct 30, 2017 Jul 15, 2018   Aug 8, 2018
    Cycle 201832
    Nov 30, 2017 Aug 15, 2018   Sep 5, 20180
    Cycle 201836
    Dec. 31, 2017 Sep 15, 2018   Oct 10, 2018
    Cycle 201841
        ECC-MTB
    Accelerated Cycle
    Oct 17, 2018
    Cycle 201842
    Jan 31, 2018 Oct 15, 2018   Nov 7, 2018
    Cycle 201845
    Feb 28, 2018 Nov 15, 2018   Dec 5, 2018
    Cycle 201849
    • The following table provides the PCD for each tax period posting in the current year for all Form 1120-CNon-Refund tax returns.

    End of Tax Year Statutory Due Date Campus PCD Cycle and ECC-MTB Posting Cycle
    Mar 31, 2017 Dec 15, 2017 Jan 17, 2018
    Cycle 201803
    Apr 30, 2017 Jan 15, 2018 Feb 21, 2018
    Cycle 201808
    May 31, 2017 Feb 15, 2018 Mar 21, 2018
    Cycle 201812
    Dec 31, 2016 Mar 15, 2018
    (Extended RDD)
    Apr 18, 2018
    Cycle 201816
    Jun 30, 2017 Mar 15, 2018 Apr 18, 2018
    Cycle 201816
    Jul 31, 2017 Apr 15, 2018 May 23, 2018
    Cycle 201821
    Aug 31, 2017 May 15, 2018 Jun 20, 2018
    Cycle 201825
    Sep 30, 2017 Jun 15, 2018 Jul 18, 2018
    Cycle 201829
    Oct 30, 2017 Jul 15, 2018 Aug 22, 2018
    Cycle 201834
    Nov 30, 2017 Aug 15, 2018 Sep 19, 2018
    Cycle 201838
    Dec 31, 2017 Sep 15, 2018 Oct 24, 2018
    Cycle 201842
    Jan 31, 2018 Oct 15, 2018 Nov 20, 2018
    Cycle 201747
    Feb 28, 2018 Nov 15,2018 Dec 19, 2018
    Cycle 201851
    • The following table provides the PCD for each tax period posting in the current year for all Form 1120-SRefund tax returns.

    End of Tax Year Statutory Due Date Accelerated Cycles/Ext RDD Campus PCD Cycle and ECC- MTB Posting Cycle
    Sep 30, 2017 Dec 15, 2017   Jan 3, 2018
    Cycle 201801
    Oct 31, 2017 Jan 15, 2018   Feb 7, 2018
    Cycle 201806
    Nov 30, 2017 Feb 15, 2018   Mar 7, 2018
    Cycle 201810
    Dec 31, 2017 Mar 15, 2018   Apr 4, 2018
    Cycle 201814
        ECC-MTB Accelerated Cycle Apr 11, 2018
    Cycle 201815
    Jan 31, 2018 Apr 15, 2018   May 9, 2018
    Cycle 201819
    Feb 28, 2018 May 15, 2018   Jun 6, 2018
    Cycle 201823
    Mar 31, 2018 Jun 15, 2018   Jul 3, 2018
    Cycle 201827
        ECC-MTB Accelerated Cycle Jul 11, 2018
    Cycle 201828
    Apr 30, 2018 Jul 15, 2018   Aug 8, 2018
    Cycle 201832
    May 31, 2018 Aug 15, 2018   Sep 5, 2018
    Cycle 201836
    Dec 31, 2017 Sept. 15, 2018 Extended RDD Oct 10, 2018
    Cycle 201841
    June 30, 2018 Sept 15, 2018   Oct 10, 2018
    Cycle 201841
        ECC-MTB Accelerated Cycle Oct 17, 2018
    Cycle 201842
    Jul 31, 2018 Oct 15, 2018   Nov 7, 2018
    Cycle 201845
    Aug 31, 2018 Nov 15, 2018   Dec 5, 2018
    Cycle 201849
    • The following table provides the PCD for each tax period posting in the current year for all Form 1120-SNon-Refund tax returns.

    End of Tax Year Statutory Due Date Campus PCD Cycle and ECC-MTB Posting Cycle
    Sep 30, 2017 Dec 15, 2017 Jan 17, 2018
    Cycle 201803
    Oct 31, 2017 Jan 15, 2018 Feb 21, 2018
    Cycle 201808
    Nov 30, 2017 Feb 15, 2018 Mar 21, 2018
    Cycle 201812
    Dec 31, 2017 Mar 15, 2018 May 16, 2018
    Cycle 201820
    Jan 31, 2018 Apr 15, 2018 May 23, 2018
    Cycle 201821
    Feb 28, 2018 May 15, 2018 Jun 20, 2018
    Cycle 201825
    Mar 31, 2018 Jun 15, 2018 Jul 18, 2018
    Cycle 201829
    Apr 30, 2018 Jul 15, 2018 Aug 22, 2018
    Cycle 201834
    May 31, 2018 Aug 15, 2018 Sep 19, 2018
    Cycle 201838
    Jul 31, 2018 Oct 15, 2018 Nov 20, 2018
    Cycle 201847
    Dec 31, 2017 Sep 15, 2018
    (Extended RDD)
    Nov 28, 2018
    Cycle 201848
    June 30, 2018 Sep 15, 2018 Nov 28, 2018
    Cycle 201848
    Aug 31, 2018 Nov 15, 2018 Dec 19, 2018
    Cycle 201851
  4. For PCD date for processing Schedule K-1s detached from Form 1120-S, see IRM 3.30.123.8.3.5, Schedule K-1 Forms Processing Specifications.

  5. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599 CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to prevent a delinquency notice.

    2. If the filer is a subsidiary on a consolidated tax return, a TC 590 CC 14 must be entered.

    3. If fiscal filers are not sorted, all tax returns received by the statutory due date must be considered and processed under the PCD requirement.

Form 8027, Employer's Annual Information Return of Tip Income and Allocated Tips (CSPC Only) (Program 80310) Processing Specifications

  1. STATUTORY DUE DATE For Form 8027:

    • February 28 (Also, Form 8027-T when filing more than one Form 8027)

    • March 31 (If filed electronically).

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES:

    • No specified number of days, as long as current tax year and current tax year minus one are completed by PCD

  3. CAMPUS PROGRAM COMPLETION DATES:

    • December 19, 2018 - Cycle 201851

  4. FILE RUN DATES:

    • "Special" Establishment File EMF02S and File EMF82 should begin on December 7, 2018 and be completed December 7, 2018.

  5. The requirements for processing Form 8027-T can be found by referring to IRM 3.11.180, Allocated Tips, owned by SE:W:CAS:SP:PPB:BMF.

Form 8752, Required Payment or Refund Under Section 7519 (Program 19000) Processing Specifications

  1. STATUTORY DUE DATE for Form 8752:

    • May 15

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (May Peak) - June 6, 2018 - Cycle 201823

    • Non-Refund (May Peak) - June 20, 2018 - Cycle 201825

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status should have a TC 599, CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

  5. The requirements for processing Form 8752 can be found by referring to IRM 3.11.249, Processing Form 8752, owned by SE:W:CAS:SP:PPB:BMF.

PCD for Extensions Form 4768, Form 5558, Form 7004, Form 7004 MeF, Form 8868, Form 8868 MeF and Form 8892 Processing Specifications

  1. DUE DATES for Form 4768, Form 5558, Form 7004, Form 7004 MeF, Form 8868, Form 8868 MeF and Form 8892:

    • Extensions of Time to File are due on, or before the due date of the tax return for which the extension is requested.

    • If any payment is due, it is due by the original due date for the form, not the extended due date.

  2. CYCLES:

    1. Processing of extensions of time to file must be completed within 16 calendar days (30 calendar days for Form 7004 - Program 1170X and Program 1171X) of the initial receipt day (counting the day it is received). If processing must be delayed during peak periods, all extensions MUST be processed before any delinquent tax returns are processed. These extensions may be related to the delinquent tax returns and the extension transactions must be posted before the tax returns post so that penalty and interest will not be computed and erroneous notices sent to the taxpayers.

    2. Unusual delays (e.g., excessive volume, untimely service on research request, etc.,) should be brought to the supervisor’s attention so that corrective action can be taken.

  3. CAMPUS PROGRAM COMPLETION DATES:

    1. All extensions must be approved/denied within the 16 calendar days discussed in item (2) (a) above.

    2. All payments attached to extension forms must be deposited in 1 day, with a maximum of three days during peak.

  4. OTHER REQUIREMENTS:

    Extension
    Form Filed
    For Form Under
    Program Code
    Processed by
    SP Campus
    Form 5558 Form 5500, Form 5500-EZ 72880 OSPC
    Form 5558 Form 5330 15560 OSPC
    Form 7004 Various BMF Forms 11700 OSPC/CSPC/ KCSPC
    Form 7004 MeF Various BMF Forms 11710 OSPC
    Form 8868 Various EO Forms 15540 OSPC
    Form 8868 MeF Form 990, Form 990-EZ, Form 990-PF, 15550 OSPC
    Form 8892 Form 709 15500 CSPC
    1. Beginning 2010, Form 8955-SSA was added to Form 5558 and is processed by ISRP as a TC 460 to the EPMF and is posted to MFT 74 (Form 5500). The filer is issued a CP 216F notice for approved and a CP 216H is issued on denied extensions.

    2. Form 7004 and Form 8868, Part I, Automatic Extension, are processed as a TC 620 to the BMF. Form 8868, Part II, additional (non-automatic) three month extension and Form 8892 are processed as a TC 460 to the BMF.

    3. In the case of denied Form 7004 and Form 8892, notification of the denial must be initiated within ten calendar days of the denial determination in Code and Edit.

  5. Processing procedures for Form 4768, Application for Extension of Time to File a Return and /or Pay U.S. Estate (and Generation Skipping Transfer) Taxes can be found by referring to IRM 4.25.2, Campus Procedures for Estate Tax, owned by SE:W:CAR:MP:T:T:FP.

    1. Form 4768 is used to file Extension of Time to File Form 706, Form 706-A, Form 706-D, Form 706-NA or Form 706-QDT by completing Part II of the form.

    2. Form 4768 can also be used to request Extension of Time to Pay Estate (or GST) tax by completing Part III of the form.

    3. All forms are processed by Cincinnati (CIRSC), but not by Submission Processing. A TC 460 posts for an approved Extension of Time to File; if denied, TC 460 posts with the literal "Denied" . If an Extension of Time to Pay was requested, a TC 468 posts with an "Approved to Date" , or a TC 468, CC XX, if denied. In addition, a denied extension will receive a Letter 297C. Various combinations of TC 468 with specific MFTs can post to reflect any differences in tax return due dates and payment due dates. A Payment Indicator Code is edited when the estate tax return is filed that may generate a CP 191 to give the filer additional information regarding any extended due dates, or installment payment arrangements.

  6. The Form 7004 allows five 1/1 months extension for Form 1041, instead of five months.

  7. The Form 7004 allows six months extensions for Form 1065 instead of five months.

  8. For Tax Periods 2008 and later, the Form 7004 allows five months extension forForm 8804, instead of six months.

  9. The requirements for processing IMF/BMF/EPMF Extension forms processed by Submission Processing can be found by referring to IRM 3.11.212, Applications for Extension of Time to File, owned by SE:W:CAS:SP:PPB:IMF.

PCD for Form 1042, Form 1042-T, Form 1042-S, Form 3520, Form 3520-A, Form 8804, Form 8805, Form 8813, Form 8288 and Form 8288-A

  1. This subsection contains form/program specific information related to timely processing of BMF International tax returns.

  2. Procedures for processing these forms can be found by referring to IRM 3.21.15, Foreign Partnership Withholding, IRM 3.21.19, Foreign Trust System, IRM 3.21.25, Miscellaneous Tax Returns, IRM 3.21.110, Chapter Three Withholding Returns Form 1042 and IRM 3.21.261, Foreign Investment in Real Property Tax Act (FIRPTA), owned by SE:W:CAS:SP:PPB:IMF.

Form 1042, Annual Withholding Tax Return for U.S. Source Income of Foreign Persons (OSPC Only) (Program 12500) Processing Specifications
  1. STATUTORY DUE DATE for Form 1042:

    • March 15

    • September 15 (Extended due date)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 34, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Refund (March Peak) - April 4, 2018 - Cycle 201814

    • Non-Refund (March Peak) - April 18, 2018- Cycle 201816

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status should have a TC 599, CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

  5. The requirements for processing Form 1042 can be found by referring to IRM 3.21.110, Chapter Three Withholding Returns Form 1042, owned by SE:W:CAS:SP:PPB:IMF.

Form 1042-T, Annual Summary and Transmittal of Forms 1042-S (Program 71700) and Form 1042-S, Foreign Person's U.S. Source Income Subject to Withholding (OSPC Only) (Program 71720) Processing Specifications
  1. STATUTORY DUE DATES for Form 1042-T and Form 1042-S:

    • March 15

    • May 15 (Extended Return due date)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES:

    • Maximum 30 calendar days from the received date.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • First PCD - August 15, 2018 - Cycle 201833 - for paper and electronic documents received by August 8, 2018

    • Second PCD - December 21, 2018 - Cycle 201851 - for paper and electronic documents received by December 12, 2018

      Note:

      Current year documents that fallout to BOBs and ERS are considered processable and must be corrected prior to PCD. Meeting PCDs assures the Form 1042-T and Form 1042-S processing meets the TIN perfection routines in the Information Returns Program (IRP) data streams. If a document is considered processable but is not corrected due to abnormal systemic problems or limitations close to PCD, the PCD will nonetheless be considered met when the site has processed all other forms received through the cut-off period with the exception of those returns with the systemic problem. These systemic problems or limitations must be outside the sites control. Completion of PCD under these circumstances can only be determined by the program analyst.

  4. The requirements for processing Form 1042-T are owned and funded by Large Business and International (LB&I). Chapter Three Withholding (CTW) is permanently funded for all pipeline functions in OSC. The forms never post to Master File. If scanned or transcribed, they post to the CTW Database.

  5. The requirements for processing Form 1042-T can be found by referring to IRM 3.22.111, Chapter Three Withholding Database and Form 1042-S can be found by referring to IRM 3.21.111, Chapter Three Withholding Returns, owned by SE:W:CAS:SP:PPB:IMF.

Form 3520, Annual Return to Report Transactions With Foreign Trusts and Receipt of Certain Foreign Gifts (OSPC Only) (Program 12310) Processing Specifications
  1. DUE DATE for Form 3520:

    • Form 3520 is due on the date Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return, or Form 706–GS, Generation-Skipping Transfer Tax Return, is due (including extensions) or if the estate was required to file a return.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should be 25 days or lower.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • August 8, 2018 - Cycle 201832

      Note:

      All Form 3520 received through July 25, 2018 must be completed by PCD.

  4. OTHER REQUIREMENTS:

    • A Civil Penalty Notice, CP 223, will systemically generate on late filed Form 3520 for Accounts Management review.

    • Public Law 104-188, Small Business Job Protection Act of 1996, expanded the reporting requirements with respect to Foreign Trust if there is a U.S. grantor of the Foreign Trust or a distribution from the Foreign Trust to a U.S. person.

  5. The requirements for processing Form 3520 can be found by referring to IRM 3.21.19, Foreign Trust System, owned by SE:W:CAS:SP:PPB:IMF.

Form 3520-A, Annual Return of Foreign Trust With a U.S. Owner (OSPC Only) (Program 12320) Processing Specifications
  1. DUE DATE for Form 3520-A:

    • The 15th day of the third month after the end of the Trusts tax year - March 15 for a calendar year tax return

    • The 15th day of the ninth month after the end of the Trusts tax year, if extension approved - September 15 for a calendar year tax return

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should be 25 days or lower.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Non-Refund (March Peak) - July 3, 2018 - Cycle 201827

    • Non-Refund (September Peak) - October 24, 2018 - Cycle 201843

  4. OTHER REQUIREMENTS:

    • A Civil Penalty Notice, CP 223, will systemically generate on late filed Form 3520-A for Accounts Management review.

    • Public Law 104-188, Small Business Job Protection Act of 1996, expanded the reporting requirements with respect to Foreign Trust if there is a U.S. Owner of a Foreign Trust.

  5. The requirements for processing Form 3520-A can be found by referring to IRM 3.21.19, Foreign Trust System, owned by SE:W:CAS:SP:PPB:IMF.

Foreign Partnership Withholding (FPW) (OSPC Only)
  1. Form 8804 is posted to the BMF (MFT 08) and Form 8805 is posted to the INTL NSA Database, beginning with tax period 200412.

  2. Form 8804 and Form 8805 for tax period 200411 and prior will continue to be processed to the ANMF system at the CSPC.

Form 8804, Annual Return for Partnership Withholding Tax Section 1446 (OSPC Only) (Program 11340) Processing Specifications
  1. DUE DATE for Form 8804:

    • The 15th day of the fourth month after the end of the foreign partnerships tax year - April 15 for a calendar year tax return (September 15, if approved Extension), or

    • The 15th day of the sixth month after the end of the of the foreign partnerships tax year, if the partnerships books are kept outside the U.S. and Puerto Rico - June 15 for a calendar year tax return (November 15, if approved Extension).

      Note:

      When the check box above Part I is marked, then the due date of the tax return will be June 15.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 34, BUT PCD MUST BE MET

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Non-Refund (December Peak) - January 17, 2018 - Cycle 201803

    • Refund (April Peak) - May 9, 2018 - Cycle 201819

    • Refund (June Peak) - July 3, 2018 - Cycle 201827

    • Non-Refund (April and June Peaks) - August 8, 2018 - Cycle 201832

    • Non-Refund/Refund (September Peak) - November 20, 2018 - Cycle 201847

    • Non-Refund/Refund (November Peak) - December 19, 2018 - Cycle 201851

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status need to have a TC 599, CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

  5. The requirements for processing Form 8804 can be found by referring to IRM 3.21.15, Foreign Partnership Withholding and IRM 3.22.15, Foreign Partnership Withholding, owned by SE:W:CAS:SP:PPB:IMF.

Form 8805, Foreign Partner's Information Statement of Section 1446 Withholding Tax (OSPC Only) (Program 71770) Processing Specifications
  1. DUE DATE for Form 8805:

    • Form 8805 is mailed as an attachment to Form 8804 and does not have its own individual due date.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 34 calendar days, BUT PCD MUST BE MET.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • 2016 Information Returns - April 25, 2018 - Cycle 201817

      Note:

      April PCD is met when all 2016 and prior year information returns received through April 18, 2018 are entered into the INTL NSA database.

    • 2017 Information Returns - December 26, 2018 - Cycle 201852

      Note:

      December PCD is met when all 2017 information returns with an amount on line 10 and any prior year information returns received through December 19, 2018 are entered into the INTL NSA database.

  4. OTHER REQUIREMENTS:

    • For tax period ending 200412 and subsequent, Form 8805 will be detached from Form 8804 and sent to Batching and Numbering and placed on BBTS for processing to the INTL NSA Database at OSPC, and then will be transmitted to Information Return Master File (IRMF).

    • For tax periods 200411 or prior, Form 8805 will not be detached from Form 8804. Both will be processed to the ANMF system in CSPC.

  5. The requirements for processing Form 8805 can be found by referring to IRM 3.21.15, Foreign Partnership Withholding, owned by SE:W:CAS:SP:PPB:IMF.

Form 8813, Partnership Withholding Tax Payment Voucher Section 1446 (OSPC Only) (Program 15500) Processing Specifications
  1. DUE DATE for Form 8813:

    • 1st payment is due by the 15th day of the fourth month from the end of the foreign partnership's tax year.

    • 2nd payment is due by the 15th day of the sixth month from the end of the foreign partnership's tax year.

    • 3rd payment is due by the 15th day of the ninth month from the end of the foreign partnership's tax year.

    • 4th payment is due by the 15th day of the twelfth month from the end of the foreign partnership's tax year.

      Example:

      Based on a calendar year Form 8804 tax return and the Form 8813 quarterly installment payments are due by: April 15, June 15, September 15, and December 15 of the current year.

  2. CYCLES:

    • 1 day (deposit), maximum three days during peak

  3. CAMPUS PROGRAM COMPLETION DATES:

    • 1st payment - April 19, 2018 - Cycle 201817

    • 2nd payment - June 18, 2018 - Cycle 201825

    • 3rd payment - September 18, 2018 - Cycle 201838

    • 4th payment - December 17, 2018 - Cycle 201851

  4. The requirements for processing Form 8813payments can be found by referring to IRM 3.8.44, Campus Deposit Activity, IRM 3.8.45, Manual Deposit Process, owned by SE:W:CAS:SP:ATP:SCAD and IRM 3.21.15, Foreign Partnership Withholding, owned by SE:W:CAS:SP:PPB:IMF.

Form 8288 (Program 11330) and Form 8288-A, U.S. Withholding Tax Return for Disposition by Foreign Persons of U.S. Real Property Interests (OSPC Only) (Program 71750) Processing Specifications
  1. DUE DATE for Form 8288 is the later of:

    • the 20th day following the Date of Transfer (Form 8288, Line 3) or

    • the 20th day from the date on the Withholding Certificate.

      Note:

      There is no valid extension form for Form 8288.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower and should not exceed 30 calendar days

  3. CAMPUS PROGRAM COMPLETION DATES:

    • There is no PCD for this program.

      Reminder:

      Form 8288 is an ad-hoc filed tax return with a floating return due date; therefore, there are no filing requirement codes for Form 8288.

  4. OTHER REQUIREMENTS:

    • Form 8288, will be processed to the BMF when the Date of Transfer is 12/13/2005 and subsequent. Any tax return with a Date of Transfer 12/12/2005 or prior will continue to be processed through ANMF at the CSPC.

    • Form 8288 is also the transmittal for Form 8288-A. Form 8288-A, (Copy A and B) is to remain attached to Form 8288. Form 8288-A remains attached to the Form 8288 and is entered into the INTL NSA Database. Unit Production volume for Form 8288-A is reported via BBTS under Program Code 71750.

    • There are no filing requirements for Form 8288. In addition, the tax period for Form 8288 is based on the "Date of Transfer" of when the U.S. Real Property Interest (USRPI) was sold. Therefore, a Form 8288 can be filed for every month in the year by the same withholding agent, but for a different USRPI.

      Example:

      Taxpayer "A" can file a Form 8288 every other month for the purchased USRPI from a foreign person or entity (201801, 201803, 201805, 201807, 201809, 201811, etc.).

  5. The requirements for processing Form 8288 and Form 8288-A can be found by referring to IRM 3.21.261, Foreign Investment in Real Property Tax Act (FIRPTA) and IRM 3.21.25, Miscellaneous Tax Returns, owned by SE:W:CAS:SP:PPB:IMF.

Processing Timeliness Criteria for Information Returns Processing (IRP)

  1. In the sections that follow, work actions are defined and time frames given for the campuses and Enterprise Computing Center-Martinsburg (ECC-MTB) to process IRP documents. These work actions are further subdivided by IRP tax years and form types.

  2. The requirements for processing Form 1094-C, Form 1095-C, Form 1094-B, and Form 1095-C through SCRIPS can be found by referring to IRM 3.41.267, Affordable Care Act Information Return Processing on Service Center Recognition/Image System (SCRIPS), and IRM 3.11.8, Information Return Processing, owned by SE:W:CAS:SP:PPB:MMDC.

  3. The requirements for processing IRP paper submissions transmitted by Form 1096,Annual Summary and Transmittal of U.S. Information Returns, through SCRIPS can be found by referring to IRM 3.41.269, Information Returns Processing on SCRIPS. The requirements for processing paper submissions transmitted by Form 1096 , Annual Summary and Transmittal of U.S. Information Returns, through ISRP can be found by referring to IRM 3.24.8, Information Returns Processing, and IRM 3.11.8, Information Return Processing, owned by SE:W:CAS:SP:PPB:MMDC.

  4. The requirements for processing Schedule K-1 paper submissions through SCRIPS can be found by referring to IRM 3.30.123.8.3.5, Schedule K-1s for Form 1041 K-1, Form 1065 K-1, and Form 1120–S K-1 (Programs 44386, 44387, and 44388) Processing Specifications, and IRM 3.0.101, Schedule K-1 Processing, owned by SE:W:CAS:SP:PPB:MMDC.

Introduction

  1. The purpose of these guidelines is to highlight the Information Returns Processing (IRP) procedures for the current year. All paper submissions transmitted by Form 1096, Annual Summary and Transmittal of U.S. Information Returns, and Form 1094 series transmittals will be processed at the Kansas City and Austin Submission Processing Centers.

  2. There is no longer an official "Hub Test" for IRP. However, SCRIPS performs a HUB test at Ogden and Cincinnati to test the Schedule K-1s along with the IRP transmittals.

  3. There is no actual "Hub Test" or start-up for IRP documents but Information Technology (IT) will send the transmittal to the sites for testing. The start-up date will be controlled by IT analysts at both processing sites for ISRP and SCRIPS input.

  4. To ensure timely processing of all documents, IRP processing should begin immediately after IT and the campuses verify that the programs are working correctly. IT will validate the programs with Submission Processing Headquarters, who will provide the campuses with the date to begin "live" processing.

  5. Starting the processing as early as possible will assist in the leveling of the workloads and meeting PCD in a timely manner.

Information Return Processing (IRP) Start-up Centers

  1. Start-up campuses have been established to do a final checkout with production data of new IRP computer programs and IRM instructions. The purpose of this action is to identify problems before processing begins in all campuses. This will result in a delay of approximately two weeks to the other campuses but will be more than compensated by reduced rerun time and resource expenditures. The start-up campuses should plan to start computer run processing as early as possible to minimize any delay for the remaining campuses.

  2. When the start-up campuses are satisfied that the series of computer runs being checked are satisfactory, they will notify the appropriate Program Analyst at WI, Submission Processing, Paper Processing Branch, Mail Management Data Conversion Section. The IRP Analyst will then notify the remaining campuses, the appropriate IT computer specialist, and related organizations. The start-up campuses will pilot all programs for the respective tax years through completion. See IRM 3.30.123.8.3, Paper Information Return Processing (IRP) Specifications, for start-up schedule.

Paper Information Return Processing (IRP) Specifications

  1. Receive, open and sort Function 140 IRP documents for processing.

    1. Identify non-scannable/unprocessable documents within three weeks of receipt. During peak processing time, identify within five weeks of receipt. This includes Tax Year (TY) 2018 returns received in calendar year 2018 but held to be worked in 2019 and documents for the Social Security Administration (SSA).

    2. Mail letters for IRP submissions transmitted by Form 1096, Annual Summary and Transmittal of U.S. Information Returns, within two weeks of identifying unprocessable documents. Refer to IRM 3.10.8, Information Return Processing.

    3. Mail letter requesting perfection data from payers (filers) or letters to payers (filers) who submit improperly prepared information documents within two weeks of identification. This instruction includes documents transmitted by Form 1094 series, and Form 1096.

    4. Identify correspondence submitted with documents within three weeks (five during peak processing) and route to the appropriate office (e.g., CAWR, Accounts Management, Automated Underreporter (AUR) Branch or IRP Penalty Units) for response.

    5. Items identified as needing research should be perfected and appropriately routed and/or processed within five weeks of identification.

  2. SCRIPS will process current and late forms listed below with their associated Form 1096, Annual Summary and Transmittal of U.S. Information Returns:

    • Form 1097-BTC, Bond Tax Credit

    • Form 1098, Mortgage Interest Statement

    • Form 1098-E, Student Loan Interest Statement

    • Form 1098-T, Tuition Statement

    • Form 1099-A, Acquisition or Abandonment of Secured Property

    • Form 1099-B, Proceeds From Broker and Barter Exchange Transactions

    • Form 1099-C, Cancellation of Debt

    • Form 1099-DIV, Dividends and Distributions

    • Form 1099-G, Certain Government Payments

    • Form 1099-INT, Interest Income

    • Form 1099-K, Payment Card and Third Party Network Transactions

    • Form 1099-MISC, Miscellaneous Income

    • Form 1099-OID, Original Issue Discount

    • Form 1099-PATR, Taxable Distributions Received From Cooperatives

    • Form 1099-Q, Payments From Qualified Education Programs (Under Sections 529 and 530)

    • Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit- Sharing Plans, IRAs, Insurance Contracts, etc.

    • Form 1099-S, Proceeds From Real Estate Transactions

    • Form 5498, IRA Contribution Information

    Perform the following operations in accordance with the time frames listed below:

    1. By August 8, 2018, processable Form 1096, Annual Summary and Transmittal of U.S. Information Returns are received on record tapes through the sort and merge run weekly. Do not begin processing of any IRP documents until notified by Headquarters that start-up has been successfully completed.

    2. Perform detail sort for form types listed in IRM 3.30.123.8.1(1) received through April 13, 2018 by April 30, 2018. Process those received between April 14, 2018 through June 18, 2018 by June 22, 2018, and those received after June 18, 2018 by July 6, 2018.

    3. SCRIPS start-up for all scannable information tax returns will begin on January 08, 2018 and be completed by January 12, 2018.

    4. SCRIPS processing will begin on January 18, 2018 and ISRP will begin on January 18, 2018 to transcribe all scannable and non-scannable IRP form types listed in IRM 3.30.123.8.1(1). EDT tapes to ECC-MTB, daily, as needed. Complete processing by August 08, 2018. This is the date all GMF tapes must be transmitted to ECC-MTB. All BOBs and Error Registers must be corrected prior to this date.

    5. Late filed receipts received after July 31, 2018 and prior to November 30, 2018 will be completed by December 05, 2018.

  3. ISRP will process current and late forms listed below with their associated Form 1096, Annual Summary and Transmittal of U.S. Information Returns:

    • Prior Year Form 1096, Annual Summary and Transmittal of U.S. Information Returns

    • Form 1096, Annual Summary and Transmittal of U.S. Information Returns

    • Form 1098-C, Contributions of Motor Vehicles, Boats, and Airplanes

    • Form 1090-CAP, Changes in Corporate Control and Capital Structure

    • Form 1099-LTC, Long Term Care and Accelerated Death Benefits

    • Form 1099-SA, Distribution from Medical Savings Account

    • Form 5498-ESA, Coverdell ESA Contribution Information

    • Form 5498-SA, Medical Savings Account Information

    • Form W-2G, Certain Gambling Winnings

    • Form 3921, Exercise of Incentive Stock Options

    • Form 3922, Transfer of Stock Acquired Through Employee Stock Purchase

    1. ISRP start-up will test all non-scannable paper information documents and will be performed by the start-up campus only, beginning January 08, 2018 and ending on January 12, 2018.

      Note:

      ISRP transcription will begin after Headquarters notifies each campus that the start-up testing is successful and completed. This action specifically refers to testing the input system ISRP/SCRIPS and the GMF validations, not GMF 15 router run compatibilities.

    Note:

    ISRP can process SCRIPS documents as the backup system.

  4. If IRP documents are received at the inappropriate campus, route to the appropriate site, according to filing requirements.

  5. Ogden and Cincinnati process the Schedules K-1 detached from Form 1041, U.S. Income Tax return for Estates and Trusts, Form 1065, U.S. Return of Partnership Income, and Form 1120-S, U.S. Income Tax Return for an S Corporation.

Information Return Processing (IRP) PCD Definition
  1. The PCD is set for processable IRP documents received by specific dates, including timely and delinquently filed IRP documents. Documents received by the specified date present in Error Resolution, Rejects, and Blocks Out of Balance (BOB) are included in PCD computations. Program Completion will be considered accomplished when:

    1. For IRP documents processed through General Master File (GMF), the cumulative Good Tape production (Function 950) is equal to or greater than 99 percent of the number of processable documents received through the end of the counting period, as long as that Good Tape production is reached on or before the established PCD.

    2. For IRP documents processed by general purpose processing (GPP), the reported output to end point, must be equal to or greater than 99 percent of the number of processable documents received through the end of the counting period.

  2. Since the measurement for determining IRP PCD is the comparison of Function 140 processables to Function 950 or GPP end point, it is essential that each processing site continually perfect the reporting numbers.

  3. Accurate reporting information requires that a physical inventory is counted at least once per month from January through May 31, and weekly from June through the August PCD. Adjustments to correct physical inventories will be done for receipts and/or production, and inventory within one day of the actual physical inventory. No adjustments will be made to inventory only.

    Caution:

    Ensure the cut-over inventory figure is maintained in Function 140 cumulative inventory figure when performing physical inventory adjustment actions.

  4. Unit Production Cards (UPCs) will be dropped daily for receipt and production data. Adjustments will be made daily when identified.

  5. Site Planning and Analysis (P&A) Representative will email the HQ IRP Analyst and IRP Monitoring Analyst the total cumulative unprocessable volume present in the function 140 production each week to be tracked for PCD calculation. The volume will be separated by:

    • SSA mail-outs

    • Non-selects

    • Correspondence pending response

    • Penalty CAWR and AUR mail-outs

    • Fraud referrals

    • Futures

    • 1096 transmitted prior year details

    Note:

    Additional unprocessable volumes that do not fit under the specified categories above should be placed under a category defined as "all other" and a short explanation of the submissions supplied.

PCD for Form Types Transmitted by Form 1096, Annual Summary and Transmittal of U.S. Information Returns, (Programs 44300, 44310 and 44340) Processing Specifications
  1. STATUTORY DUE DATES for Form 1097–BTC, Form 1098, Form 1098-C, Form 1098-E, Form 1098-T, Form 1099-A, Form 1099-B, Form 1099-C, Form 1099-CAP, Form 1099-DIV, Form 1099-G, Form 1099-INT, Form 1099-LTC, Form 1099-MISC , Form 1099-OID, Form 1099-PATR, Form 1099-Q, Form 1099-R, Form 1099-S, Form 1099-SA, Form W-2G, Form 3921, Form 3922, Form 5498, Form 5498-ESA, Form 5498-SA and Form 1096:

    • January 31 - (Form 1099-MISCreporting non-employee compensation)

    • February 29 - (Form 1098 series, Form 1099 series, and Form W-2G)

    • March 31 - (Extended due date - Automatic)

    • April 30 - (Extended due date, if Extension Timely Filed in March and Approved)

    • May 31 - (Form 5498, Form 5498-SA and Form 5498-ESA)

    • June 30 - (Extended due date - Automatic)

    • July 31 - (Extended due date, if Extension Timely Filed in June and Approved)

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES:

    • N/A

  3. CAMPUS PROGRAM COMPLETION DATES:

    • First PCD - August 8, 2018 - Cycle 201832 - for IRP documents received by July 27

    • Second PCD - December 5, 2018 - Cycle 201849 - for IRP documents received after July 27

      Note:

      Tax returns that fallout to BOBs and GMF Error Register (GMF10) must be corrected prior to PCD. Error inventory should be evaluated to determine the daily production needed to clear the inventory and meet PCD. The Input Correction Operation will order GMF Error Register in intervals that ensure each daily order can be completed by the tax examiner and processed through ISRP to avoid duplication of register.

Information Return Transmitted by Form 1096 Benchmarks for Austin Submission Processing Center (AUSPC)
  1. The IRP benchmarks for AUSPC are:

    Note:

    Functions 230-44300, 230-44310 and 450-4434X are used to arrive at the prior year actual receipts. Prior year actual receipts for Austin were 16,507,879.

    Week Ending Date CUM Percentage of Weekly Volume by Actual Receipts CUM Volume
    02/03/2018 1.0% 165,079
    02/10/2018 2.0% 330,158
    02/17/2018 4.0% 660,315
    02/24/2018 6.0% 990,473
    03/03/2018 8.0% 1,320,630
    03/10/2018 10.0% 1,650,788
    03/17/2018 12.0% 1,980,945
    03/24/2018 14.0% 2,311,103
    03/31/2018 17.0% 2,806,339
    04/07/2018 23.0% 3,796,812
    04/14/2018 25.0% 4,126,970
    04/21/2018 26.0% 4,292,049
    04/28/2018 28.0% 4,622,206
    05/05/2018 31.0% 5,117,442
    05/12/2018 32.0% 5,282,521
    05/19/2018 33.0% 5,447,600
    05/26/2018 34.0% 5,612,679
    06/02/2018 36.0% 5,942,836
    06/09/2018 42.0% 6,933,309
    06/16/2018 50.0% 8,253,940
    06/23/2018 55.0% 9,079,333
    06/30/2018 60.0% 9,904,727
    07/07/2018 69.0% 11,390,437
    07/14/2018 77.0% 12,711,067
    07/21/2018 83.0% 13,701,540
    07/28/2018 91.0% 15,022,170
    08/04/2018 97.0% 16,012,643
    08/11/2018 100.0%  
  2. The percentages in the table above (middle column) are rounded.

  3. Other programs have higher priority over IRP during January through March.

Information Returns Transmitted by Form 1096 Benchmarks for Kansas City Submission Processing Center (KCSPC)
  1. The IRP benchmarks for KCSPC are as follows: prior actual receipts for Kansas City were 23,161,169.

    Week Ending Date CUM Percentage of Weekly Volume by Actual Receipts CUM Volume
    02/03/2018 1.0% 231,612
    02/10/2018 2.0% 463,223
    02/17/2018 4.0% 926,447
    02/24/2018 6.0% 1,389,670
    03/03/2018 8.0% 1,852,894
    03/10/2018 10.0% 2,316,117
    03/17/2018 12.0% 2,779,340
    03/24/2018 14.0% 3,242,564
    03/31/2018 17.0% 3,937,399
    04/07/2018 23.0% 5,327,069
    04/14/2018 25.0% 5,790,292
    04/21/2018 26.0% 6,021,904
    04/28/2018 28.0% 6,485,127
    05/05/2018 31.0% 7,179,962
    05/12/2018 32.0% 7,411,574
    05/19/2018 33.0% 7,643,186
    05/26/2018 34.0% 7,874,797
    06/02/2018 36.0% 8,338,021
    06/09/2018 42.0% 9,727,691
    06/16/2018 50.0% 11,580,585
    06/23/2018 55.0% 12,738,643
    06/30/2018 60.0% 13,896,701
    07/07/2018 69.0% 15,981,207
    07/14/2018 77.0% 17,834,100
    07/21/2018 83.0% 19,223,770
    07/28/2018 91.0% 21,076,664
    08/04/2018 97.0% 22,466,334
    08/11/2018 100.0% 23,161,169
  2. The percentages in the table above (middle column) are rounded.

  3. Other programs have higher priority over IRP during January through March.

Schedule K-1s for Form 1041 K-1, Form 1065 K-1 and Form 1120-S K-1 (Programs 44386, 44387 and 44388) Processing Specifications
  1. DUE DATE for Schedule K-1sForm 1041 K-1, Form 1065 K-1 and Form 1120-S K-1:

    1. Form 1041 K-1 and Form 1065 K-1 are due on the 15th day of the fourth month following the end of the taxable year for the parent tax return.

    2. Form 1120-S K-1 is due on the 15th day of the third month following the end of the taxable year for the parent tax return.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower, BUT PCD MUST BE MET.

    • Form 1120-S K-1 must be batched and processed on cycle. They cannot be shelved, see IRM 3.0.101, Schedule K-1 Processing for more information.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Fiscal year and calendar year filers with year as 2017 - December 12, 2018 (Cycle 201850).

Underreporter Program

  1. The Underreporter Program processes cases from multiple tax years. Beginning and completion dates vary for each tax year processed. See the annual Operating Guidelines for further information regarding these dates.

Backup Withholding - Incorrect Taxpayer Identification Number (TIN)

  1. This subsection pertains to the mailing of tapes.

      TY14 Begin Complete
    ECC-DET and OIRSC will receive Data from ECC-MTB for paper listings for mailing. ECC-MTB will mail tape notices/listings. X(P1) ECC-DET/OIRSC
    X(P2)ECC-DET/OIRSC
    09/03/2017
    04/10/2018
    10/16/2017
    04/23/2018
    TY15 Begin Complete
    X(P1) ECC-DET/OIRSC
    X(P2) ECC-DET/OIRSC
    09/05/2018
    04/10/2019
    10/16/20187
    04/23/2019
  2. These requirements are owned by; SE:S:CCS:CRC:EPFS:EPS

Interest Income Form 1099-INT Paid by the Service

  1. At times, IRS pays interest to taxpayers on refunds. This amount is reported to Enterprise Computing Center-Martinsburg (ECC-MTB) and is incorporated into the Information Returns Program. The data is matched when taxpayers file tax returns with the data reported by payers of interest.

  2. Master File extract (Run 701) compiles interest transaction data. Master File produces extract files (File 445-05-11) forwarded to campuses.

  3. Submission Processing Centers produce the printed output, Interest Income, Copy B for Recipient, Form 1099-INT and mail to taxpayers.

  4. IRS Submission Processing Centers must release and mail Form 1099-INT to be received by taxpayers by January 31, annually, as required by law.

  5. This interest data must be filed with ECC-MTB Information Returns Program. Format and filing instructions and changes are issued annually by ECC-MTB in Revenue Procedures and Publication Pub 1220, Specifications for Electronic Filing of Form 1098, 1099, 5498, and W2-G.

Automated Form 1099-INT Program - Form 1099-INT, Copy B for Recipient
  1. Submission Processing Centers Manual Refund Units produce a manual Form 1099-INT for manual refunds issued during the Master File dead cycles (generally Cycle 52). Since interest paid to taxpayers is not captured on the Master File extract during Cycle 52 and for Non-Master File (NMF) refunds, Manual Refund Units enter interest data into the "1099PRO" program.

  2. Manual Refund Unit employees enter entity and interest data into the "1099PRO" program. Source documents are copies of Form 3753, Manual Refund Posting Voucher, and Form 5792, Request for IDRS Generated Refund (IGR) or listings provided by the NMF Unit.

  3. Manual Refund Units obtain instructions from SP HQ Accounting and Tax Payment Branch Analyst to input data into the software/database maintained by Information Technology. The initiating campus will be responsible for producing the output and mailing out Form 1099-INT, Interest Income, copy B to recipients.

  4. Verify that all items are entered accurately, Form 1099-INT output is correct, produced and mailed. Delete items as necessary. Verify Form 1099-INT for the same interest transaction will not be duplicated by the MF extract interest data.

  5. Verify manual refunds were approved and posted prior to Cycle 01 of the new processing year (e.g., CC REFAP′d no later than December 31).

  6. IRS campuses must release and mail Form 1099-INT to be received by taxpayers by January 31, annually, as required by law.

Information Tax Returns for Criminal Investigation

  1. All processing of Form 8300, Report of Cash Payments Over $10,000 Received in a Trade or Business or Other Gov FinCEN Form 8300, Report of Cash Payments Over $10,000 Received in a Trade or Business, Other Gov FinCEN Form 104, Currency Transaction Report (Formerly Form 4789), Other Gov FinCEN Form 103, Currency Transaction Report by Casino (Formerly Form 8362), Other Gov TDF 90-22.1, Report of Foreign Bank and Financial Accounts and Other Gov TDF 90-22.47, Suspicious Activity Report, has been consolidated at the IRS Detroit Computing Center. Any forms received at any campus other than the Detroit Computing Center should be shipped to:

    Note:

    Refer to IRM 10.5.1, Shipping, for proper data protection procedures when shipping PII, and to determine correct shipping provider and correct shipping procedures for shipping through a private delivery carrier..

    Mailing Address Private Delivery Service (PDS) Mailing
    Detroit Computing Center
    P.O. Box 32621
    Detroit, MI 48232
    Detroit Computing Center
    P.O. Box 32621
    985 Michigan Ave
    Detroit, MI 48226
  2. The Detroit Computing Center will send data for all of the above forms electronically to the U.S. Customs Service with the Exception of: Form 8300 or Other Gov FinCEN Form 8300 (which is pending). Data frequency depends on the document type and varies from twice a week on the Other Gov FinCEN Form 104, Currency Transaction Report (Formerly Form 4789) to twice a month on the remaining documents. The Suspicious Activity Reports are available almost daily.

Processing Timeliness Criteria for Foreign Account Tax Compliance Act (FATCA) Form 1042-S (Recipient Copy), Form 8508-I, Form 8809-I, Form 8938, Form 8957, Form 8966

  1. This subsection contains form/program specific information related to timely processing of Foreign Account Tax Compliance Act (FATCA) Information Returns.

  2. Procedures for processing these forms can be found by referring to IRM 3.11.8, Returns and Documents Analysis - Information Return Processing, and IRM 3.24.28, Foreign Account Tax Compliance General Purpose Program owned by SE:W:CAS:SP:PPB:MMDC.

Form 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding - Recipient’s Copy
  1. Current tax year forms received between January 1st and May 13th must be transcribed by June 10th of each processing year.

  2. Current tax year forms received after May 13th must be transcribed within seven calendar days.

  3. Prior tax years are not transcribed.

  4. Procedures for Form 1042-S - Recipient’s Copy are in IRM 3.24.28, Foreign Account Tax Compliance General Purpose Program owned by SE:W:CAS:SP:PPB:MMDC, IRM 3.21.3, International Returns and Documents Analysis - Individual Income Tax Returns owned by SE:W:CAS:SP:PPB:IMF, and IRM 3.11.16, Returns and Documents Analysis - Corporate Tax Returns owned by SE:W:CAS:SP:PPB:IMF.

    Note:

    The timeliness criteria above apply only to Form 1042-S - Recipient’s Copy. The related Form 1040NR and Form 1120-F are subject to the criteria in IRM 3.30.123.6 and IRM 3.30.123.7 respectively. See IRM 3.30.123.7.12.1.1 for timeliness criteria for Form 1042-S and Form 1042-T filed by the Withholding Agent.

Form 8508-I, Request for Waiver From Filing Information Returns Electronically for FATCA Form 8966
  1. Capture data present on returns in the provided Excel workbook and forward to the stated LB&I contact within seven calendar days of receipt.

  2. Data capture procedures for Form 8508-I, are in IRM 3.11.8, Returns and Document Analysis - Information Return Processing owned by SE:W:CAS:SP:PPB:MMDC.

Form 8809-I, Application of Extension of Time to File FATCA Form 8966
  1. Capture data present on returns in the provided Excel workbook and provide to the stated LB&I contact within seven calendar days of receipt.

  2. Data capture procedures for Form 8809-I, are in IRM 3.11.8, Returns and Documents Analysis - Information Return Processing owned by SE:W:CAS:SP:PPB:MMDC.

Form 8938, Statement of Foreign Financial Assets
  1. Transcription of current tax year must be completed by the December ISRP cut-off.

  2. Start-up may be delayed until after the filing season.

  3. Prior years are not transcribed.

  4. Procedures for Form 8938, are in IRM 3.24.28, Foreign Account Tax Compliance General Purpose Program owned by SE:W:CAS:SP:PPB:MMDC.

    Note:

    The timeliness criteria above apply only to Form 8938. The related income tax returns are subject to the criteria in IRM 3.30.123.6 and IRM 3.30.123.7.

Form 8957, Foreign Account Tax Compliance Act Registration
  1. Enter data into the Employee User Portal (EUP) within seven calendar days of receipt.

  2. Procedures for Form 8957, are in IRM 3.21.112, International Returns and Documents Analysis - FATCA Registration, owned by SE:W.CAS:SP:SPB:PPS.

Form 8966, FATCA Report
  1. Transcribe within seven calendar days of receipt or ten calendar days if research or perfection is required.

  2. Code and Edit processing procedures for Form 8966, are in IRM 3.11.8, Returns and Documents Analysis - Information Return Processing, and IRM 3.24.28,Foreign Account Tax Compliance General Purpose Program, owned by SE:W:CAS:SP:PPB:MMDC.

Processing Timeliness Criteria for Affordable Care ACT Form 1094-B, Form 1095-B, Form 1094-C, Form 1095-C

  1. DUE DATE for Form 1094-B, and supporting Form 1095-B, and Form 1094-C, with supporting Form 1095-C is February 28.

  2. CAMPUS PROGRAM COMPLETION DATES:

    • First PCD - September 28, 2018 - Cycle 201840 - for returns received by September 15

    • Second PCD - December 5, 2018 - Cycle 201849 for returns received after September 15

  3. PCD is met when 99% of the processable returns are scanned and sent to the AIR system

  4. Startup for ACA IRP will depend on AIR date to accepted files from the SCRIPS system. Do not begin processing of any IRP documents until notified by Headquarters that start-up has been successfully completed.

  5. Sites will be notified by the program analyst assigned from the Submission Processing, Paper Processing Branch, Mail Management Data Conversion when to hub input system test, output file testing and when to begin normal production releases of output files.

  6. Procedures for processing this work are in IRM 3.10.8, Campus Mail and Work Control, Information Returns Processing, and IRM 3.41.267, OCR Scanning Operations, Affordable Care Act Information Return Processing on Service Center Recognition/Image System (SCRIPS) owned by SE:WCAS:SP:PPB:MMDC.

Processing Timeliness Criteria for Employee Plans (EP) Forms (Program 72XXX)

  1. The following section contains information pertaining to processing Tax Exempt Government Entities (TEGE) tax returns. This section is applicable in the Ogden Campus only.

  2. Form 5500, Annual Return/Report of Employee Benefit Plan and Form 5330, Return of Excise Taxes Related to Employee Benefit Plans, assessments and abatements are input to the BMF, as well as Quick and Prompt assessments.

  3. The requirements for processing EO and EP (TEGE) documents are owned by SE:T:BSP:SPP.

Employee Plans Master File (EPMF) Delinquency Penalty Abatements

  1. NMF abatement must be made within six days from received date of the Form 1331-B, Notice of Adjustment.

  2. Form 5500, Annual Return/Report of Employee Benefit Plan, payments posted to the NMF Form 5500 Unpostable list must be resolved within 20 days of receipt of payment.

Form 5578, Annual Certification of Racial Nondiscrimination for a Private School Exempt From Federal Income Tax Processing Specifications

  1. STATUTORY DUE DATE for Form 5578:

    • Calendar year - May 15

    • Fiscal year - 15th day of fifth month after close of tax year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Number of Days in Cycle should normally be 25 days or lower.

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

Employee Plans (EP) and Exempt Organization (EO) Determination Letter Applications Processing Timeliness Criteria (CIRSC only)

  1. EP Determination Letter Applications are:

    • Form 5300

    • Form 5307

    • Form 5310

    • Form 5310-A

    • Form 5316 AKA 9999

    • Form 6406

    • Form 4461

  2. EO Determination Letter Applications are:

    • Form 1023

    • Form 1024

    • Form 1025 (Non Form)

    • Form 1026 (Non Form)

    • Form 1028

  3. Processing of the EP/EO Determination Letter Application must be accomplished within six workdays of receipt for normal processing.

  4. All Additional Document Filing (ADF) packages must be processed and available in TEDS repository within three workdays of receipt within R&C EP/EO Determination User Fee Unit.

  5. All EO Closed Cases (EOCC) and EP Closed Cases (EPCC) packages must be processed and available in TEDS repository within 15 workdays of receipt within the R&C EP/EO Determination user fee unit.

Processing Timeliness Criteria for Tax Exempt Government Entities (TEGE) Forms (OSPC Only)

  1. This subsection contains form/program specific information related to timely processing of TEGE tax returns.

  2. The requirements for processing all EP/EO forms can be found by referring to IRM 3.11.12, Exempt Organization Returns, IRM 3.11.22, Employee Plan Excise Tax Return and IRM 3.11.26, Miscellaneous Tax Exempt and TEGE Tax Returns, owned by SE:T:BSP:SPP.

PCD for Form 990, Form 990-EZ, Form 990-PF, Form 990-T, Form 1041-A, Form 4720, Form 5227, Form 5330, Form 5500-EZ, Form 8038, Form 8038-B, Form 8038-G, Form 8038-GC, Form 8038-T, Form 8038-TC, Form 8328, Form 8453-X, Form 8703, Form 8871 and Form 8872

  1. To meet PCD for Form 990, Form 990-EZ, Form 990-PF, Form 990-T, Form 1041-A, Form 4720, Form 5227, Form 5330, Form 5500-EZ, Form 8038, Form 8038-BForm 8038-G, Form 8038-GC, Form 8038-T, Form 8038-TC, Form 8328, Form 8453-X, Form 8871, Form 8872 and Form 8703, the campus must post a TC 150 or 599 to the BMF and have the required tax returns imaged for all timely filed tax returns. To accomplish this, the campus must process all timely filed tax returns through the pipeline functions and forward tapes containing the processed work to the Martinsburg Computing Center. Pipeline functions include Code and Edit, Numbering, ISRP, BOBs and Error Correction.

  2. If for any reason the campus experiences a "dropped" or "orphan" block problem and the documents cannot be processed before PCD, a TC 599 CC 18 must be input as soon as the documents can be identified.

  3. Form 990-BL and Form 6069 are processed in CSPC only on the Non-Master File. The tax returns should be processed on a 16 day cycle.

  4. Form 5500-EZ is processed in Ogden only on the Employee Plans Master File (EPMF). EP is no different than other tax returns. Form 5500-EZ is due on the last day of the seventh month following the close of the plan year ending. For example, calendar year plan year tax returns are due July 31.

Form 990 and Form 990-EZ, Return of Organization Exempt From Income Tax (OSPC Only) (Programs 1311X, 1341X, 1312X, 1342X, and 1345X) Processing Specifications

  1. STATUTORY DUE DATES for Form 990 and Form 990-EZ:

    • Calendar year - May 15,

    • Fiscal year - 15th day of fifth month after close of tax year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Calendar year (May Peak) - August 1, 2018 - Cycle 201831

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status should have a TC 599, CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 990-PF, Return of Private Foundation or Section 4947(a)(1) Nonexempt Charitable Trust Treated as a Private Foundation (OSPC Only) (Program 1313X) Processing Specifications

  1. STATUTORY DUE DATE for Form 990-PF:

    • Calendar year - May 15,

    • Fiscal year - 15th day of fifth month after close of tax year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Calendar year Refund (May Peak) - June 6, 2018 - Cycle 201823

    • Calendar year Non-Refund (May Peak) - June 20, 2018 - Cycle 201825

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status should have a TC 599, CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 990-T, Exempt Organization Business Income Tax Return - 401(a) Trust, 408(a), 408(k), 408A(b), 530(b), 220(d) or 529 (OSPC Only) (Program 1314X) Processing Specifications

  1. STATUTORY DUE DATE for Form 990-T 401(a) or 408(a) Trust:

    • Calendar year - April 15,

    • Fiscal year - 15th day of fourth month after close of tax year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Calendar year Refund (April Peak) - May 9, 2018 - Cycle 201819

    • Calendar year Non-Refund (April Peak) - June 6, 2018 - Cycle 201823

Form 990-T, Exempt Organization Business Income Tax Return (Resident Trusts and Resident Corporations) (OSPC Only) (Program 1314X) Processing Specifications

  1. STATUTORY DUE DATE for Form 990-T:

    • Calendar year - May 15,

    • Fiscal year - 15th day of fifth month after close of tax year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Calendar year Refund (May Peak) - June 6, 2018 - Cycle 201823

    • Calendar year Non-Refund (May Peak) - June 20, 2018 - Cycle 201825

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status should have a TC 599, CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice

Form 1041-A, U.S. Information Return Trust Accumulation of Charitable Amounts (OSPC only) (Program 1316X) Processing Specifications

  1. STATUTORY DUE DATE for Form 1041-A:

    • Calendar year - April 15,

    • Fiscal year - 15th day of fourth month after close of tax year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Calendar year (April Peak) - June 27, 2018 - Cycle 201826

Form 4720, Return of Certain Excise Taxes on Charities and Other Persons Under Chap. 41 and 42 of the IRC (Form 5227 Box Checked) (OSPC Only) (Program 1316X) Processing Specifications

  1. STATUTORY DUE DATE for Form 4720(Form 5227 box checked):

    • Calendar year - April 15,

    • Fiscal year - 15th day of fourth month after close of tax year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Calendar year (April Peak) - June 6, 2018 - Cycle 201823

Form 4720, Return of Certain Excise Taxes on Charities and Other Persons Under Chap. 41 and 42 of the IRC (Form 990 or Form 990-PF Box Checked) (OSPC Only) (Program 1316X) Processing Specifications

  1. STATUTORY DUE DATE for Form 4720(Form 990 or Form 990-PF box checked):

    • Calendar year - May 15,

    • Fiscal year - 15th day of fifth month after close of tax year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Calendar year (May Peak) - July 11, 2018 - Cycle 201828

Form 5227, Split-Interest Trust Information Return (OSPC Only) (Program 1319X) Processing Specifications

  1. STATUTORY DUE DATE for Form 5227:

    • Calendar year - April 15,

    • Fiscal year - 15th day of fourth month after close of tax year.

      Note:

      This applies to "Final" Form 5227 only. All others must be calendar year.

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • Calendar year (April Peak) - June 27, 2018 - Cycle 201826

  4. OTHER REQUIREMENTS:

    1. All non-remittance tax returns in BOBs, Rejects, or Code and Edit status should have a TC 599, CC 18 input three weeks prior to the Delinquency Check. Continue processing once you have input the transaction to suppress the delinquency notice.

Form 5330, Return of Excise Taxes Related to Employee Benefit Plans (OSPC Only) (Program 72860) Processing Specifications

  1. The due date for Form 5330 is determined by the Internal Revenue Code (IRC) section for which the tax return is being filed.

  2. DUE DATE for Form 5330:

    IRC Section Due Date
    4965 51/1 months after the end of the tax period
    4972, 4973, 4975(a), 4975(b), 4976, 4978, 4978A, 4978B, 4979A Last day of the 7th month after the Tax Period Ending.
    4977 Last day of the 7th month after the end of the calendar year in which excess fringe benefits are paid.
    4971(a), 4971(b), 4971(f)(1), 4971(f)(2), 4971(g)(2), 4971(g)(3), and 4971(g)(4) 81/1 months after the end of the sponsors plan year or the last day of the 7th month after the Tax Period Ending, whichever is later.
    4979 Last day of the 15th month after the end of the sponsors plan year.
    4980 Last day of the month following the month in which the reversion occurred.
    4980F Last day of the month following the month of the amendment date.
  3. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  4. CAMPUS PROGRAM COMPLETION DATES:

    • 90 days after the due date

Form 5500-EZ, Annual Return of One-Participant (Owners and Their Spouses) Retirement Plan (Program 72840) (OSPC Only) Processing Specifications

  1. DUE DATE for Form 5500-EZ:

    • Calendar year - July 31

    • Fiscal year - last day of the 7th calendar month after the end of the plan year

    Note:

    See Holiday or Weekend Impact, IRM 3.30.123.2.2

    MONTH STATUTORY DUE DATE
    December July 31
    January August 31
    February September 30
    March October 31
    April November 30
    May December 31
    June January 31
    July February 28
    August March 31
    September April 30
    October May 31
    November June 30
  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • 90 days after due date or received date, whichever is later.

Form 8038, Information Return for Tax-Exempt Private Activity Bond Issues and Form 8038-G, Information Return for Government Purpose Tax-Exempt Bond Issues (OSPC only) (Program 13200) Processing Specifications

  1. DUE DATES for Form 8038 and Form 8038-G:

    • The 15th day of the second calendar month after the close of the calendar quarter in which the bond was issued. Neither form may be filed before the issue date and must be completed based on the fact as of the issue date.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

Form 8038-B, Information Return for Building America Bonds and Recovery Zone Economic Development Bonds and Form 8038-TC, Information Return for Tax Credit and Specified Tax Credit Bonds (OSPC only) (Program 13210) Processing Specifications

  1. DUE DATES for Form 8038-B and Form 8038-TC:

    • The 15th day of the second calendar month after the close of the calendar quarter in which the bond was issued. Form 8038-B and Form 8038-TC may not be filed before the issue date and must be completed based on the facts as the issue date.

    • For Build America Bonds (Direct Pay) and for Recovery Zone Economic Development Bonds, Form 8038-B must be filed at least 30 days prior to the submission of the first Form 8038-CP, Return for Credit Payments to For Issuers of Qualified Bonds, that is filed to request payment with respect to a request payment.

    • For specified tax credit bonds, Form 8038-TC must be filed at least 30 days prior to the submission of the first Form 8038-CP, Return for Credit Payments to For Issuers of Qualified Bonds that is filed to request payment with respect to an interest payment date for that issue.

  2. CYCLES: Cycles are defined as Operating Number of days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

Form 8038-CP, Credit for Qualified Bonds Allowed to Issuer (OSPC Only) (Program 13210) Processing Specifications

  1. DUE DATE for Form 8038-CP:

    • No specific due date - File as needed

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 6 days or lower - EXPEDITE

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

Form 8038-GC, Consolidated Information Return for Small Tax-Exempt Government Bond Issues (OSPC Only) (Program 13200) Processing Specifications

  1. DUE DATE for Form 8038-GC:

    • Single Issue - The 15th day of the second calendar month after the close of the calendar quarter in which the bond was issued. The form may be filed before the issue date and must be completed based on the fact as of the issue date.

    • Consolidated - The 15th day of the second calendar month of the following year in which the bonds were issued.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

Form 8038-T, Arbitrage Rebate and Penalty in Lieu of Arbitrage Rebate (OSPC Only) (Program 13200) Processing Specifications

  1. DUE DATE for Form 8038-T:

    • 60 calendar days after the end of every 5th bond year during the term of the issue. The final installment is due 60 calendar days after the date the last bond of the issue is discharged.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 days or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

Form 8328, Carry forward Election of Unused Private Activity Bond Volume Cap (OSPC Only) (Program 13200) Processing Specifications

  1. DUE DATE for Form 8328 is the earlier of:

    • February 15 of the calendar year following the year in which the excess amount arises, or

    • the date of issue of bonds issued pursuant to the carryforward election.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 25 days lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

Form 8703, Annual Certification of a Residential Rental Project (OSPC only) (Program 13250) Processing Specifications

  1. DUE DATE for Form 8703:

    • March 31 of the calendar year for which the certification is made.

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 16 or lower

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

Form 8871, Form 8453-X, Political Organization Declaration for Electronic Filing of Notice of Section 527 Status (Program 1601X) Processing Specifications

  1. DUE DATE for Form 8453-X:

    • Within one day (24 hours) of business start-up date of the 527 organization

  2. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 6 days or lower - EXPEDITE

  3. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

  4. OTHER REQUIREMENTS:

    • Receipt and Control has one day to send the Form 8453-X to Entity.

    • Entity has two days to work a processable Form 8453-X and send it to Imaging.

    • Imaging has two days to image the Form 8453-X and send the tax return to Files.

    Note:

    *Paper Form 8871 are no longer processed at OSPC. However, the Form 8453-X is attached to a copy of the Form 8871. Therefore, Form 8871 should be treated as if it were a Form 8453-X.

Form 8872, Political Organization Report of Contributions and Expenditures (OSPC only) (Program 1601X) Processing Specifications

  1. DUE DATE for Form 8872:

    • The due date varies depending on whether it's an election or non-election year. The organization can elect to file quarterly or monthly during election (Even Numbered) years or semiannually or monthly during non-election (Odd Numbered) years.

  2. Election Year Reports due dates:

    • Quarterly reports
      1st Quarter - April 15, 2018
      2nd Quarter - July 15, 2018
      3rd Quarter - October 15, 2018
      4th Quarter - January 31, 2019

    • Monthly reports:
      20th of each month except October and December.
      October report (Pre-election report) is due 12 days prior to the election.
      December report (Post-election report) is due 30 days after the Tuesday following the first Monday in November.

  3. Non-election Year Reports due dates:

    • Semiannual reports:
      Year-end report - January 31, 2018
      Mid-year report - July 15, 2018

    • Monthly reports:
      20th of each month except December.
      December report is due January 31, 2019

  4. CYCLES: Cycles are defined as Operating Number of Days in Cycle. IRM 3.30.123.4.1, Operating Number of Days in Cycle - A Day Counter

    • Number of Days in Cycle should normally be 6 days or lower - EXPEDITE

  5. CAMPUS PROGRAM COMPLETION DATES:

    • N/A

  6. OTHER REQUIREMENTS:

    • Receipt and Control has one day to send the Form 8872 to Imaging.

    • Imaging has two days to image the Form 8872 and send it to Code and Edit.

Imaging Exempt Organization and Employee Plan Forms

  1. Certain Exempt Organization Forms are imaged. These are:

    • Form 990

    • Form 990-EZ

    • Form 990-PF

    • Form 990-T

    • Form 4720

    • Form 5227

    • Form 8871 (re-images)

    • Form 8453-X

    • Form 8872

  2. Imaging of Form 990, Form 990-EZ, Form 990-PF, Form 990-T, Form 4720, and Form 5227 must be accomplished within:

    • 10 workdays from receipt of Form 990-PF.

    • 15 workdays from receipt (during normal processing time) of Form 990, Form 990-EZ, Form 990-T, Form 4720, and Form 5227

    • 20 workdays from receipt (during peak processing time) of Form 990, Form 990-EZ, Form 990-T, Form 4720, and Form 5227

    • 10 workdays from Imaging Received Date for re-films

    • 5 workdays from receipt for refund tax returns

    • 2 workdays from Imaging Received Date for expedite re-films

    Note:

    Processing time in Imaging is in addition to processing cycle time but must be adjusted as necessary to meet PCD goals. In particular, this may require Imaging time frames to be shortened as PCD approaches.

  3. Imaging of Form 8453-X, Form 8871 and Form 8872 must be accomplished as outlined. See IRM 3.30.123.10.19, Form 8871 and Form 8453-X Processing Specifications and IRM 3.30.123.10.20, Form 8872 Processing Specifications (OSPC).

  4. If the re-image request is a photocopy (e.g., request from Entity to correct the EIN), the tax return/document must be re-imaged within ten calendar days. Then, destroy the photocopy. Do not send photocopies to Files.

  5. If tax returns are pulled for another area to review and routed on a Form 3210 prior to imaging (e.g., EOCA), the tax returns should be picked up daily and acknowledgment of receipt must be returned from the other area within ten business days. If the tax returns are not picked up and/or returned daily, contact the area. Upon receipt of the documents back into the Imaging Unit, they must be batched and controlled on BBTS within one day.

  6. Tax returns required to be re-imaged that are routed from other areas to the Imaging Unit must be batched and controlled on BBTS within one day of the Imaging Received Date.

  7. Imaging of EO/EP Closed Cases must be accomplished within 15 workdays from receipt at CSPC. This includes what is made available in the Tax Exempt Determination System (TEDS) repository.

  8. Imaging of EP/EO Determination Applications through TEDS must be completed within six workdays from receipt at CSPC. This includes work made available in the TEDS repository.

  9. All EP/EO Determination applications processed through Legacy must be completed within six workdays from receipt at CSPC. This includes generation and mailing of the Letter and Information Network User-fee System (LINUS) acknowledgement notice.

  10. All correspondence non-remittance must be processed through TEDS within three workdays of receipt at CSPC.

  11. All Additional Document Filings (ADF) must be processed within three workdays of receipt within the EP/EO Determination User Fee Unit. This includes made available in TEDS repository.

  12. The requirements for imaging all EO/EP forms/documents can be found by referring to IRM 3.20.12, Imaging and Perfecting Exempt Organizations Returns for Public and Internal Viewing, owned by SE:T:BSP:SPP.

  13. All e-filed tax returns are imaged within 15 days of receipt in the OL-SEIN imaging system. Import the date from Data Management Division (DMD).

    Note:

    Current year filings are not available until May 1. Stylesheets are not available for conversion until May 1.

Tax Exempt Government Entities (TEGE) Photocopy (OSPC Only)

  1. Some exempt organization tax returns are open for public inspection. Therefore, the Service receives numerous requests from the media, taxpayers, and other foundations. In order to expedite the photocopy process, the Service images these tax returns. See IRM 3.30.123.10.19, Form 8871 and Form 8453-X Processing Specifications, for additional information on the forms that are imaged.

  2. The Form 4506-A (or written request if media) is sorted by "EO RAIVS Requests" - 790-34200 (all non-media requests and related research), "Media Requests" - 790-34204, "DVD Requests" - 790-34205, Senate Finance Committee or Congressional Cases - 790-34206 and Reimbursable Photocopy Fees - 520-34000. All of these are put in Status "B" and controlled on IDRS under Category Code "EOPC" if determined complete and fillable.

  3. The point of count for this work is each tax period for copies of EO tax returns requested, rather than each request received.

  4. Requests for copies of publicly disclosable tax returns or tax forms age from the EO RAIVS received date as follows:

    1. Non-Media (EO, DVD, or Reimbursable Photocopy Fees) - 25 calendar days

    2. Media (DVD or Reimbursable Photocopy Fees) - 14 business days

    Note:

    If the case requires the form to be ordered from Files or suspended pending additional information, consider these cases aged at 45 days after IRS receipt.

  5. Requests made on forms which include information on the expected delivery date are not considered taxpayer correspondence and are not subject to Action 61/Policy Statement P-21-3 Guidelines. No interim letters are required, but if the case is not closed within the processing time frame indicated on the form (60 days), the taxpayer must be advised of status. For letter requests, Action 61/Policy Statement P-21-3 Guidelines do apply. Refer to IRM 21.3.3, Incoming and Outgoing Correspondence/Letters.

  6. Media Requests are handled on an Expedite basis, fill within 14 business days of the EO RAIVS received date. On the tenth business day determine if the request will be filled timely. If the request will not be filled and closed by the fourteenth business day contact the Field Media Specialist informing them of the delay and provide the date the request will be filled and closed. If there is any question about what the request is for, or if the request was made by telephone, contact will be made with the Field Media Specialist for contact to the media requester. If missing information is not provided by the Field Media Specialist within five workdays, no additional follow-up will be made. On the sixth work day the request will be rejected back to the requester.

  7. Requests for DVDs may be for a complete set, or for individual state tax return(s). Requests will be sent to the Exempt Organization Request and Income Verification Services (EO RAIVS) Unit on a Form 4506-A with the required user fee. If the fee and request are complete, the information on the request is logged into the Statistics of Income EO Image Net (SEIN) system for Data Management Division (DMD) to fill. DMD will mail the package directly to the requester.

  8. These requirements can be found by referring to IRM 3.20.13, Exempt Organization Photocopy Procedures, owned by SE:T:BSP:SPP.

EP/EO Application Control System (EACS)

  1. Re-Assigned Cases - The campus that is losing reassigned cases will produce a magnetic tape that is to be shipped after the weekend update. The campus receiving the tape will input it to batch run EAX30. This output will be produced only for realignment of case work between campuses.

Processing Timeliness Criteria for Non-Master File (CSPC Only)

  1. The maximum processing cycles are the day of receipt to completion of journalization, posting to the Automated Non-Master File database, and notice issuance inclusively. A minimum of ten workdays before the 23C date should be provided for completion of accounting and billing operations. The preliminary batching and document examination operations should, therefore, be scheduled for completion not less than ten workdays prior to the end of the processing cycle period, 23C date, or prior to the PCD.

  2. A maximum cycle of six workdays means from the date Form 2424 and Form 3809 are received by the campus for processing until posting.

  3. Form 2158, Credit Transfer Voucher has a maximum processing cycle of six workdays from the date received in Accounting. The manager will sign the voucher and apply the signature date. Send documents and Form 2158 by express mail to the Cincinnati Submission Processing Center.

  4. Form 514-B, Tax Transfer Voucher, has a maximum processing cycle of six workdays.

  5. Date and mail all first notices to conform to the date of 23C assessment as of the actual date of mailing. Notice issuance for routine assessments should follow a regular schedule after the first notice. Taxpayer delinquent account issuances will uniformly be 24 weeks subsequent to the first notice date.

  6. Campuses will schedule processing of current year delinquent tax returns in sufficient time for the required updating of the appropriate files prior to the prescribed delinquency check, returns mailing and index output production.

  7. A maximum cycle of 20 calendar days from the date the document is prepared is prescribed for the processing of NMF Adjustments.

    Exception:

    Form 1331 and Form 1331-B, Notice of Adjustment, has a maximum processing cycle of six workdays from receipt in Accounting.

  8. NMF taxpayer-generated correspondence must be acknowledged, if not closed, within 15 calendar days. Final reply on acknowledged correspondence should be within 45 calendar days of receipts, if possible.

  9. NMF processing should be on the same cyclical basis as for BMF and IMF to prevent distortion on the Weekly Terminal Report (Report Symbol NO-5000-224). This will also prevent the needless appearance of certain transactions on the IDRS Daily Transaction Register.

  10. NMF tax returns required by Examination personnel for classification purposes at the campus should be made available to Examination within 30 calendar days of the PCD listed for the specific tax return.

  11. The requirements for procedures and automated NMF can be found by referring to IRM 3.17.46, Automated Non-Master File Accounting, owned by SE:W:CAS:SP:ATP:AC and IRM 3.17.21, Credit and Account Transfers, owned by SE:W:CAS:SP:ATP:AC .

Processing Timeliness Criteria for Electronic Filing (e-file)

  1. The following section contains instructions on various timeliness criteria for the e-file program.

  2. There are various aspects of the program ranging from the Application and Suitability procedures for the Providers, to the time frames for transmitting and retransmitting tax returns.

  3. When filing an electronic tax return, an electronic PIN signature must be transmitted with the tax return.

  4. The requirements for filing Individual electronic tax returns are found in Publication Pub 1345, as well as other IRMs and Publications, which are owned by SE:W:CAS:SP:IOM. Most of the information in this IRM applies to individual tax returns, but many items are consistent for all types of tax returns. There are also specific documents outlining the specifications for the business tax returns accepted electronically. They are owned by SE:W:CAS:SP:BOM.

IRS e-file Suitability for Providers

  1. Processing of the e-file application, Form 8633, through the Third Party Data Store (TPDS) must be completed within 45 days from the receipt of the application, including any supporting documentation.

  2. Suitability checks on new applicants to be Providers, etc., must be completed by Andover Campus within 45 calendar days from the processable application date on the IRS e-file Application, Form 8633, through the Third Party Data Store (TPDS). On new applications where a suitability issue arises, if an appeal is received and the Office of Appeals has not completed its review by October 1 each year, the Provider will be allowed to remain a Provider through the prescribed deadline for timely filing of Form 1040 by April 15 (unless this date falls on a Saturday, Sunday, or legal holiday, in which case the date is the next succeeding day that is not a Saturday, Sunday, or legal holiday). This does not include additional time as a result of any extensions filed. For additional information see Holiday or Weekend Impact IRM 3.30.123.2.2.

  3. Continuous suitability checks take place for applicants already accepted into IRS e-file. These checks are conducted from IRS records only.

  4. On existing applications where a suitability issue arises, if an appeal is received and the Office of Appeals has not completed its review by October 1, the Provider will be allowed to remain as a Provider through the prescribed deadline for timely filing Form 1040, as outlined in (2).

Electronic Postmark and Tax Return Due Date

  1. The paper portion of an electronically filed tax return may consist of paper Form 8453, U.S. Individual Tax Transmittal for an IRS e-file Return, and other required paper documents that cannot be electronically transmitted. Required paper documents must be mailed to IRS attached to the Form 8453.

  2. An electronically filed tax return is not considered filed until the electronic portion of the tax return has been acknowledged by the IRS as accepted for processing and the electronic Personal Identification Number (PIN) signature(s) for the tax return have been received.

  3. A Transmitter provides an electronic postmark to taxpayers that file Individual Income Tax Returns and Extension of Time to File Individual Income Tax Returns, through an Electronic Return Originator (ERO) or through online filing. The Transmitter creates the electronic postmark bearing the date and time (in the Transmitters time zone) that the tax return is received at the Transmitters host computer. The taxpayer must adjust the electronic postmark to the time zone where the ERO is located or where the taxpayer resides in the case of online filing to determine the postmarks actual time. For example, if the Transmitter provides an electronic postmark with time in the Pacific Time Zone but the taxpayer resides in the Eastern Time Zone, the taxpayer must add 3 hours to the postmark time to determine the actual postmark time (Eastern Time Zone).

  4. All tax returns and extensions that received an electronic postmark are transmitted to the IRS within two days of receipt from the ERO, or from the taxpayer in the case of online filing.

  5. If the electronic portion of a tax return is transmitted on or shortly before the due date and is ultimately rejected, but the Provider and the taxpayer comply with the requirements for timely re-submission of a correct tax return, the tax return will be considered timely filed.

  6. If the taxpayer chooses not to have the electronic portion of the business tax return corrected and transmitted to the IRS or if it cannot be accepted for processing by the IRS, the taxpayer must file a paper tax return. To be considered timely filed, the paper return must be postmarked by the later of the due date of the return, including extensions, or ten (10) calendar days after the date the IRS last gives notification the return was rejected as long as:

    1. The first transmission was made on or before the due date of the return (including extensions) and;

    2. The last transmission was made within ten (10) calendar days of the first transmission.

    3. The paper tax return should also include the following:

    An explanation of why the paper return is being filed after the due date

    A copy of the reject notification

    A brief history of actions taken to correct the electronic return

    The taxpayer should write in red at the top of the first page of the paper return "REJECTED ELECTRONIC RETURN - (DATE)"

    Note:

    The date will be the date of the first rejection within the ten (10) day transmission perfection time frame.

    The paper return must be signed by the taxpayer

    Note:

    The PIN that was used on the electronically filed return that was rejected may not be used as the signature on the paper return.

    For more information see Pub 4163, Modernized e-File (MeF) Information for Authorized IRS e-File Providers for Business Returns

  7. If the electronic postmark is on or before the prescribed deadline for filing but the tax return is received by the IRS after the prescribed deadline for filing, the tax return will be treated as filed on the electronic postmarks date. In order for a tax return to be treated as filed on the electronic postmarks date, all requirements for signing the tax return and completing a paper declaration must be met.

  8. If the electronic postmark is after the prescribed deadline for filing, the IRS actual receipt date, not the date of the electronic postmark will be the filing date. If a tax return is rejected, a corrected tax return must be filed in accordance with the rules for timely filing corrected tax returns after rejection of an electronic tax return.

  9. The transmitter retains the original electronic postmark of the rejected tax return for a corrected tax return that is received by the Transmitter through the last date for retransmitting rejected tax returns and creates a new postmark for all tax returns, including corrected tax returns received after the last date for retransmitting tax returns. All corrected tax returns retaining an electronic postmark of a date through the prescribed last day of filing must be transmitted to the IRS within two days of the date the tax return was received by the transmitter or the 22nd day of the respective month of the prescribed due date, whichever is earlier.

  10. Refer to the schedule below for IMF e-file transmission dates.

    Action Date
    First day to transmit IMF tax returns To be Announced
    Last day for transmitting timely filed
    • Tax Returns

    • Form 4868

    • Form 2350

    April 15
    Retransmitting rejected timely filed
    • Tax Return

    • Form 4868

    • Form 2350

    April 20
    Transmitting timely filed Form 4868 or Form 2350 meeting overseas exception June 15
    Transmitting tax returns on extension from Form 4868 October 15
    Retransmitting rejected late tax returns or tax returns on extension from Form 4868 October 20
    Transmitting test transmissions No cut off date
    Submitting IRS e-file applications No cut off date

    Note:

    April 15, June 15, and October 15 are all statutory due dates, see Holiday or Weekend Impact, IRM 3.30.123.2.2

  11. Organization Function Program (OFP) codes for employees working on e-help projects. Refer to IRM Exhibit 3.42.7-1, Organization, Function, and Program (OFP) Codes (Phones and e-mail) and IRM Exhibit 3.42.7-2, e-help Organization, Function, and Program (OFP) Codes (Paper), which are used to report time on Form 3081.

Processing Timeliness Criteria for Issuing Refund Checks

  1. The following subsection contains processing timeliness criteria for refund checks that require a manual refund, correspondence to the filer prior to issuing a refund for lost, stolen, or non-receipt, or any research procedures required prior to processing any type of special refund.

  2. The requirements for issuing manual refunds can be found by referring to IRM 3.17.79, Accounting Refund Transactions, owned by SE:W:CAS:SP:ATP:SCAD.

  3. Requirements for refunds that were lost, stolen, or non-receipt, refer to IRM 21.4, Refund Inquiries, owned by SE:W:CAS:AM:PPG:I.

Issuing Manual Refunds for Refund Inquiry Forged Check Cases

  1. Prepare a manual refund within ten calendar days from receipt of the Bureau of the Fiscal Service (BFS), Claims Disposition Notice, recommending "settlement authorized" .

Undelivered and Limited Payability Refund Checks

  1. Undelivered Refund Checks, CP 31 and CP 231 Notices must be processed on a maximum cycle of 24 calendar days.

  2. Limited Payability Notices, CP 32, CP 32A and CP 237, must be processed on a maximum cycle of 21 calendar days.

Deleted/Returned Refund Checks and Recertification Credits

  1. Cases resulting from Notice Review (deleted refunds) must be processed one week following the posting of the TC 841, and age accordingly as this inventory is not workable until the TC 841 posts.

  2. Returned refund checks must be processed and forwarded to the Regional Financial Center(s) (RFC) within five workdays from the date of receipt for cancellation.

  3. Returned refund check cases are considered over aged if not closed by the second Friday following the first appearance of category "841 P" on aged case listing. Follow-up action must be taken on cases in category "3913" by the Friday of the week following the appearance of the asterisk on the aged case listing. On the next aged case listing, the HMMM column will show a "2" .

  4. When a Refund Inquiry (claim) results in a TC 841 credit with a "P" freeze, Input TC 290 .00 to release the freeze or issue a manual refund within 14 calendar days.

  5. For processing procedures, refer to IRM 21.4, Refund Inquiries, owned by SE:W:CAS:AM:PPG:I.

Non-Receipt, Lost, Stolen or Destroyed Refunds

  1. Timeliness guidelines must be observed for each stage of the process of working claims for non-receipt, lost, stolen or destroyed refund checks.

    1. These time frames must be met on at least 70 percent of the cases during the peak period of May through August, and on at least 90 percent of the cases from September through April.

    2. These time frames are maximum turnaround times.

    3. Centers are encouraged to establish shorter time frames as work load and staffing permit.

    4. For processing instructions, refer to IRM 21.4, Refund Inquiries, owned by SE:W:CAS:AM:PPG:I.

  2. For cases resulting in tracing action (either a "check claim" or an "LP (Limited Payability) Trace" ), the tracing action must be initiated within 17 workdays of the IRS received date.

  3. Cases age from the date of the last control base update when in "B" status. The follow-up action on items in "B" status must be taken by the second Friday following the first appearance with an asterisk on the aged cases.

Processing Timeliness Criteria for Wage Information Retrieval System (WIRS) Research and BMF Unpostable W-3

  1. The Wage Information Retrieval System has been deactivated as a result of the expanded range of wage data now available through IDRS. Effective immediately, the Latham, NY WIRS function will no longer be accepting requests for Form W-2 or Form W-3 microfilm research.

  2. Any research request for information on Form W-2, Form W-3 and Form 1099 for the most current nine years can be input to CC IRPTR, IRPTRI, or IRPOL through IDRS.

    Note:

    CC MFTRAW was eliminated in July 2008.

  3. Effective May 18, 2009, ten years of wage data became available via CC IRPTR or IRPOL. For critical dates related to wage data availability, refer to IRM 2.3.35, Command Code IRPTR.

  4. Limited access to the Social Security Administration Online Retrieval System (ORS) is also available to select processing areas.

BMF Unpostable Form W-3 Program (CSPC Only)

  1. All BMF W-3 Unpostables research will be conducted in the CSPC CAWR Unpostables Unit.

  2. The Unpostables will be transmitted to CSPC in nine shipments. The shipments are scheduled for the following cycles:

    • Cycle 201816

    • Cycle 201820

    • Cycle 201825

    • Cycle 201829

    • Cycle 201833

    • Cycle 201838

    • Cycle 201842

    • Cycle 201846

    • Cycle 201851

  3. Unpostables records will be separated into COM (electronic and magnetic media filed documents) and DIM (paper filed documents) listings. Unpostables applicable to DIM (paper filed documents) listings will be further separated into UPC Code 001 and 003 listings.

  4. Cincinnati will create paper GUF 11-40 listings for the COM and DIM (UPC Code 003) Unpostables and forward them directly to the Unpostables area for perfection using IDRS research.

  5. Cincinnati will create GUF 11-40 listings for DIM (UPC Code 001) Unpostables and forward them to the Unpostables area for perfection using research of the scanned images of paper filed documents available via access to the Social Security Administration Online Research System (ORS).

  6. The PCD for all CAWR Unpostable Processing is February 28, 2018. A clean up period for Unpostables received after PCD is acceptable and may further the PCD to March 31, 2018.

    Note:

    Every effort must be used to meet the February 28, 2018 PCD.

Processing Timeliness Criteria for Federal Unemployment Tax Act (FUTA) Certification

  1. The requirements for processing FUTA can be found by referring to IRM 1.4.23, Federal Unemployment Tax Act Manager and Coordinator Guide,IRM 4.19.5, Certification of State FUTA Credits, and IRM 4.19.23, FUTA Control owned by SE:S:E:HQ:EFCP:BMF-DM.

Processing Timeliness Criteria for Combined Annual Wage Reporting (CAWR)

  1. The requirements for processing CAWR can be found by referring to IRM 1.4.22, CAWR Manager and Coordinator Guide, IRM 4.19.4, CAWR Reconciliation Balancing, and IRM 4.19.22, CAWR Control, owned by SE:S:E:HQ:EFCP:BMF-DM.

Processing Timeliness Criteria for Statistics of Income (SOI) - Submission Processing Centers and Enterprise Computing Centers

  1. This subsection pertains to SOI programs at the Submission Processing Centers.

Introduction

  1. The Statistics of Income (SOI) Division in Research, Applied Analytics and Statistics manages the SOI programs pursuant to IRC 6108, Statistical Publications and Studies. The SOI Division exercises functional supervision of all phases of SOI projects, including the selection and processing of tax and information returns for statistical analyses. It communicates checkpoints, critical dates, and final deadlines to either the SOI Branch or the SOI Coordinator at each of the Submission Processing Centers and the Enterprise Computing Centers.

  2. This subsection presents timeliness criteria and critical dates for a selection of SOI programs. The Business Master File (BMF) and the Individual Master File (IMF) are major sources of the data the SOI utilizes to produce its statistics. Related information about controlling, scanning, rendering, shipping, and editing samples of tax returns is found in IRM 1.13.2, Processing Management, IRM 1.13.3, Document Management and IRM 3.5.61, Files Management and Services.

Individuals and Sole Proprietorships

  1. During 2018, the Submission Processing Centers will pull and edit Form 1040 tax returns, which SOI samples for the TY 2016 and 2017 Individuals/Sole Proprietorships programs. The Complete Report and the Final Report phases of the TY 2016 program occur in 2018. The Advance Data phase of the TY 2017 program occurs in 2018.

Sample Control Phase
  1. Each business day beginning with Cycle 201804 and ending with Cycle 201852, the Submission Processing Centers and the MeF office will receive a set of files, which are identified in the table below. The Submission Processing Centers pull and control TY 2017 Form 1040 tax returns during the year, as well as continue looking for missing TY 2016 tax returns.

    File Name File Number Description Destination
    IMF - SOI Selection SheetFile/Report 080-54-13 Data used in controlling documents Campuses
    IMF - SOI Selected Returns Control Data File 080-54-16 Data used in controlling documents (IMF Statistics of Income Automated Return Tracking System (STARTS)) Cincinnati
    IMF - SOI Return Charge-Out File 080-60–11 Data used in controlling documents Campuses
    IMF - SOI Returns Data File 1 080-66-11 Data used in controlling documents Cincinnati
    IMF - SOI Returns Data File 2 080-66-12 Data used for state level estimates Cincinnati
    IMF - SOI Population Data File 080-52-13 Data used in controlling the population/sample Cincinnati
    MTRDB Data Request File 080-54-29 XML data used in producing records and images of the MeF returns MTRDB Office
    SOI Extract Recovery File 080-52-14 Contains each RTF record read from input file 460-12-14 ECC-MTB
  2. The Submission Processing Centers that accept and process paper Form 1040 tax returns are Austin, Fresno and Kansas City. The IRS also processes electronically filed Form 1040 returns at the Andover, Austin, Fresno, Kansas City, and Philadelphia sites. SOI editing of 1040-series tax returns occurs at the Austin, Cincinnati, Fresno, and Kansas City Submission Processing Centers.

  3. An additional copy of all the TY 2017 files identified above, except File 080-52-13, IMF - SOI Population Data File, and File 080-66-12, IMF - SOI Returns Data File 2, is transmitted to the Cincinnati Submission Processing Center during Cycle 201819. These files are identified as having been produced in Cycle 201819K.

Processing Phase
  1. All SOI computer processing occurs on the SOI Distributed Processing System (SOI-DPS).

  2. Only the Cincinnati Submission Processing Center (CSPC) will receive the following files from the Enterprise Computing Center - Martinsburg (ECC-MTB): File 080-52-13, IMF-SOI Population/Sample Data, File 080-54-16, IMF - SOI Selected Returns Control Data, File 080-66-11, IMF - SOI Returns Data File 1, and File 080-66-12, IMF - SOI Returns Data File 2. SOI will notify CSPC when these files become available for electronic transmission from Martinsburg. Cincinnati loads these files into the SOI-DPS system after receipt of the electronic transmissions.

  3. There are two Program Completion deadlines for the TY 2016 Individuals/Sole Proprietorships program.

    1. Complete Report Closeout - As of February 2018, tax returns selected through Cycle 201752 are processed to the fullest extent possible at the Austin, Cincinnati, Fresno and Kansas City Submission Processing Centers. The number of missing tax returns through Cycle 201752 should not exceed 30 at any of the Submission Processing Centers.

    2. Final Report Closeout - In May 2018, the Cincinnati Submission Processing Center (CSPC) receives output, which was produced in Cycle 201719. The files are labeled "Cycle 201754 Recovery Run" and are loaded within the specified time.

  4. The first Program Completion deadline for the tax year 2017 Individual/Sole Proprietorships program is Advance Data Closeout. As of October 2018, tax returns selected through Cycle 201838 are processed to the fullest extent possible at the Austin, Cincinnati, Fresno and Kansas City Submission Processing Centers. The number of tax returns copied to tape represent at least 99 percent of the total selected through Cycle 201838. The number of missing tax returns should not exceed 60 at any of the Submission Processing Centers.

Businesses and Other Entities

  1. Based on BMF - SOI sampling requirements, the Enterprise Computing Center-Martinsburg (ECC-MTB) produces a set of files, which the computing center transmits or makes available for downloading to the Cincinnati and Ogden Submission Processing Centers and Headquarters. SOI editing also occurs at both the Cincinnati and Ogden Submissions Processing Centers.

  2. The table below identifies files ECC-MTB creates each cycle, month, or quarter during a processing year.

    File Name File Number Description Destination
    Form 709 080-7H-15 Data used in editing documents Downloaded in Ogden
    Form 706 080-71-16 Data used in editing documents Downloaded in Ogden
    Form 706 NA Edit File(Deleted from SOI program after PY 2016) 080-71-15 Data used in editing documents Downloaded in Ogden
    Form 990-PF 080-7H-11 Data used in editing documents Downloaded in Ogden
    Form 990/990EZ 080-7H-12 Data used in editing documents Downloaded in Ogden
    Form 990-T 080-7H-13 Data used in editing documents Downloaded in Ogden
    Partnership Tickler 080-70-18 Set of records for matching routine Maintained with SOI sampling program
    Partnership Edit (Form 1065 and Form 1065-B) 080-7B-11 Reformatted data used in editing documents Downloaded in Ogden
    Partnership Research 080-7J-11 Research Transmitted to Math Stats
    Partnership Econ Research (Form 1065 and Form 1065-B) 080-7J-12
    and
    080-7J-13
    Research Transmitted to Corporation Statistics Branch
    Corporation Tickler 080-70-17 Set of records for matching routine Maintained with SOI sampling program
    Corporation Level 5 File 080-70-20 Research Transmitted to Math Stats
    Corporation Edit
    (Forms 1120)
    080-71-18 Data used in editing documents Downloaded in Ogden
    National Selection Summary (Sample) Counts 080-73-11 Estimation Downloaded to Math Stats
    Corporation Research 080-7I-11 Research Transmitted to Math Stats
    Corporate Econ Research
    (Form 1120 (12), Form 1120-S (13), Form 1120-PC (14), Form 1120-REIT and Form 1120-RIC (15), Form 1120-F (16), Form 1120-L (17). Corporation Research files (K-11 ) is for different types of Corporations with TC 976)
    080-7I-12
    080-7I-13
    080-7I-14
    080-7I-15
    080-7I-16
    080-7I-17
    080-7K-11
    Research Transmitted to Corporation Statistics Branch
    Form 1120-C Sample Control File 080-7D-11 Data used in editing documents Transmitted to Corporation Statistics Branch
    Form 1120-C Research File 080-7D-12 Research Transmitted to Corporation Statistics Branch
    LB&I Corporation and Partnership Control File 080-7D-13 Data used in Controlling Documents (BMF STARTS) Downloaded in Ogden
    Form 1042 Control File 080-7D-14 Data used in Controlling Documents (BMF STARTS) Downloaded in Ogden
    Form 8703 Control File 080-7D-15 Data used in Controlling Documents (BMF STARTS) Downloaded in Ogden
    Form 8804 Control File 080-7D-16 Data used in Controlling Documents (BMF STARTS) Downloaded in Ogden
    Form 1066 Control File 080-7D-17 Data used in Controlling Documents (BMF STARTS) Downloaded in Ogden
    Form 3520 (Quarterly) 080-7E-11 Data used in editing documents Headquarters
    Form 3520-A (Quarterly) 080-7N-11 Data used in editing documents Headquarters
    Form 4720 080-7H-16 Data used in editing documents Downloaded in Ogden
    Form 4720-A Edit File (Deleted from SOI program after PY 2016 080-7H-19 Data used in editing document Downloaded in Ogden
    Form 5227 080-7H-14 Data used in editing documents Downloaded in Ogden
    Form 8038 080-71-25 Data used in editing documents Headquarters Programmer downloads file to OSPC
    Form 8038-B 080-71-30 Data used in editing documents Headquarters Programmer downloads file to OSPC
    Form 8038-G 080-71-26 Data used in editing documents Headquarters Programmer downloads file to OSPC
    Form 8038-T 080-71-27 Data used in editing documents Headquarters Programmer downloads file to OSPC
    Form 8038-CP Edit File 080-71-29 Data used in editing documents Headquarters Programmer downloads file to OSPC
    Form 8038-TC Edit File 080-71-31 Data used in editing documents Headquarters Programmer downloads file to OSPC
    BMF Sample Control File 080-72-14 Data used in controlling documents (BMF STARTS) Downloaded in Ogden
    Fiduciary Edit File 080-7H-18 Data used in editing Form 1041 Previous year downloaded annually in January
    MeF/XRDB Files N/A RAS DMD supplies the data used in editing electronically filed corporation and partnership returns Downloaded in Ogden
    1. SOI produces charge-outs at the Cincinnati and Ogden Campuses. Cincinnati and Ogden SOI units deliver the charge-outs to Files before the end of the first week of a specific ECC-MTB cycle.

    2. Sample Control File (080-72-14) - Each BMF SOI selected tax return, for which a Form 4251, Return Charge-Out, is generated, will have a record written to this sample control file. The Sample Control File is transmitted to the Ogden Submission Processing Center and loaded into the BMF STARTS database, an Oracle based automated tracking system for controlling SOI selected tax returns.

    3. All Other Files are transmitted or shipped to the Ogden Submission Processing Center or SOI Headquarters, where they are used as the input files for various statistical database edit and return control programs the SOI staff developed and maintained at the Ogden Campus or Headquarters.

  3. Form 1120 Series - The host computer system for the SOI Corporation studies is the SOI-DPS at the Ogden Submission Processing Center. Only the Ogden Submission Processing Center will receive files from the ECC-MTB containing reformatted BMF data records. The data files are transmitted weekly from ECC-MTB and the new return data loaded into databases maintained at Ogden for editing

    1. Effective with the 2012 SOI Corporation Study, SOI edit units at the Cincinnati and Ogden Submission Processing Centers will no longer order workgroups through the BMF STARTS database. Instead, when the scanned and e-filed corporation data are available, the SOI Corporation edit application will make available to SOI editors corporation return records as needed. SOI personnel will continue to monitor the samples in BMF STARTS. Refer to IRM 1.13.3, Document Management, for controlling requirements for Form 1120.

    2. Campus weekly reporting is not required, since information about the corporation data is available directly from the SOI-DPS at the Ogden campus.

    3. Program Completion Dates for the 2016 SOI Corporation Study are: March 16, 2018 (Advance Data, consisting of 75% of each return type and all giant returns selection through cycle 201807); and July 12, 2018 (Final Data).

  4. Form 1118, Foreign Tax Credits-Corporations - Editing of this form occurs at the Ogden Submission Processing Center. Refer to IRM 1.13.3, Document Management, for photocopy, shipping and controlling requirements.

  5. Form 5471, Information Return Foreign Corporations - Editing of this form occurs at the Ogden Submission Processing Center only. Refer to IRM 1.13.3, Document Management, for photocopying and shipping requirements.

  6. Form 706 and Form 706-NA, U.S. Estate Tax Returns -- Editing occurs at the Cincinnati Submission Processing Center. For critical dates refer to IRM 1.13.2, Processing Management, and for controlling and shipping instructions refer to IRM 1.13.3, Document Management.

  7. Form 709, U.S. Gift Tax Return - National Office determines the SOI edit site for a specific study year. For critical processing dates refer to IRM 1.13.2, Processing Management, and for controlling and shipping instructions refer to IRM 1.13.3, Document Management.

  8. SOI Study of Form 990, Form 990-EZ, Form 990-PF, Form 990-T and Form 5227, Return of Organization Exempt From Income Tax - Editing occurs at the Ogden Submission Processing Center. For critical processing dates refer to IRM 1.13.2, Processing Management, and for controlling and shipping instructions refer to IRM 1.13.3, Document Management.

  9. SOI Study of Form 8038 and Form 8038-G, Information Return Tax-Exempt Bond Issues - Editing occurs at the Ogden Submission Processing Center. For critical processing dates refer to IRM 1.13.2, Processing Management, and for controlling and shipping instructions refer to IRM 1.13.3, Document Management.

  10. Form 5713, International Boycott Return - Editing of this form occurs at the Ogden Submission Processing Center. For photocopy and shipping instructions refer to IRM 1.13.3, Document Management.

  11. Form 1065 and Form 1065-B, U.S. Return of Partnership Income - Editing occurs at the Cincinnati and Ogden Submission Processing Centers. For critical processing dates refer to IRM 1.13.2 , Processing Management, and for controlling and shipping instructions refer to IRM 1.13.3 , Document Management.

  12. Form 1042-S, Foreign Persons U.S. Source Income Subject to Withholding - Editing occurs at the Ogden Submission Processing Center. For critical processing dates refer to IRM 1.13.2 , Processing Management, and for controlling and shipping instructions refer to IRM 1.13.3 , Document Management.

  13. Form 4720, Return of Certain Excise Taxes on Charities and Other Persons Under Chapters 41 and 42 of the IRC - Editing occurs at the Ogden Submission Processing Center. For critical processing dates refer to IRM 1.13.2, Processing Management, and for controlling and shipping instructions refer to IRM 1.13.3, Document Management.

  14. Form 8865, Return of U.S. Persons With Respect to Certain Foreign Partnerships- Editing of this form occurs at the Ogden Submission Processing Center only. For photocopy and shipping instructions refer to IRM 1.13.3, Document Management.

  15. Form 3520, Annual Return to Report Transactions With Foreign Trusts and Receipt of Certain Foreign Gifts and Form 3520-A, Annual Return of Foreign Trust With a U.S. Owner - Editing of these forms occurs at the Ogden Submission Processing Center only. For photocopy and shipping instructions refer to IRM 1.13.3, Document Management.

Processing Timeliness Criteria for Campus Integrated Data Retrieval System (IDRS) Processing

  1. The following subsection contains guidelines for IDRS processing.

  2. These requirements are owned by OS:CTO:EO:EC.

Daily Campus IDRS Processing After Real Time

  1. Ensure that new unpostables tapes received from ECC-MTB are processed into the IDRS daily Taxpayer Information File (TIF) update runs before the weekend IDRS TIF updates are run for ECC-MTB output from the same master file cycle.

Weekend Campus IDRS Processing

  1. Update and Analysis of TIF for IMF, BMF, EPMF and Debtor Master File (DMF) -must be completed before real time is brought up on Monday morning.

    Note:

    Runs TDA 11/21/31 and TDA 14/24/34 must be run after WTU23/43/63, but before WTU29/49/69.

    1. Output mail to taxpayer, TDI/TDA related outputs.

    2. Generate Adjustment and Correspondence Inventory Report and Overage Listing.

    3. Update the Refund Information File (RFIF). When feasible this may be done as soon as practical after receipt during daily processing before the weekend.

End of Month Campus IDRS Processing Before Real Time

  1. End of Month Campus IDRS processes that must be timely before real time can be brought up for the new month.

    1. Unidentified Remittance File (URF)

    2. Monthly Analysis run of URF (Monthly running of URF01), Unidentified Remittance Name File (URNF), Unidentified Remittance Amount File (URAF), and Unidentified Remittance Control File (URCF).

    3. Monthly Dishonored Check File (DCF) Analysis; DC-Ctrl - Area Office and DC-Name-Area.

File/Data Transfer

  1. Campuses should release all Master File input files including regular GMF update files to ECC-MTB on a daily basis, Monday through Friday. (Transmit until 1:30 PM Eastern Time daily and 1:30 PM Eastern Thursday for the end of cycle) If the campus determines they will be unable to meet the 1:30 PM time line, they must notify their respective Computing Center by issuing an Info-Alert and by calling the CSA and Scheduling Common Line.

  2. The final weekly transmission of data must be completed by 5 PM (Eastern Time). If the ECC cannot meet the transmission deadlines, IBM SCIPAS/Scheduling must be notified via Info-Note and calling the IBM CSA and Scheduling Common Line.

  3. The following illustrates the timeliness requirements for regular transactions, including IDRS, going to the Master Files at ECC-MTB.

    1. For transactions to be processed at ECC-MTB in MF, ECC Cycle 201812 (March 15 - 21, 2018) files must be generated and transferred to ECC-MTB (March 16 - 22, 2018). The files must be released for transfer to ECC-MTB no later than 1:30 PM Thursday, March 22, 2018, for all GMF 15 files.

    2. Outputs from MF weekly, Cycle 201812 processing, will be transferred to the respective campuses by Friday March 23, 2018. These output files will be available for the weekend IDRS update on March 24 and 25, 2018 and be available on IDRS real-time on the morning of March 26, 2018.

  4. TDI Transfer Data from IDRS weekend processing should be shipped by Wednesday for timely input to the BMF TIF Transfer Program.

End of Month and Periodic Campus IDRS Processing to Produce Taxpayer Delinquency Reports for Collection, EO and EP

  1. Instructions for all ECC-MEM:

    1. Schedule and run UNISYS monthly runs CAR51 - CAR90 according to the Monthly CAR Production Schedule listed below:

    Report Month Beginning Cycle Ending Cycle Ending Date Number of Weeks in Report
    January 201801 201804 01/27/2018 4
    February 201805 201808 02/24/2018 4
    March 201809 201813 03/31/2018 5
    April 201814 201817 04/28/2018 4
    May 201818 201821 05/26/2018 4
    June 201822 201826 06/30/2018 5
    July 201827 201830 07/28/2018 4
    August 201831 201834 08/25/2018 4
    September 201835 201839 09/29/2018 5
    October 201840 201843 10/27/2018 4
    November 201844 201847 11/24/2018 4
    December 201848 201852 12/29/2018 5
  2. The runs CAR71 - CAR90 will produce the following reports:

    • Taxpayer Delinquent Account Notice Monthly and Cumulative Report (NO-5000-1/241,2/242) (CAR8143)

    • Taxpayer Delinquent Account Monthly and Cumulative Report (NO-5000-1,2) (CAR8243)

    • Pending Installment Agreement Report (NO-5000-222) (CAR8343)

    • Taxpayer Delinquent Investigation Monthly and Cumulative Report (NO-5000-3/4) (CAR8443)

    • Type Assessment Monthly and Cumulative Report (NO-5000-241, 242) (CAR8543)

    • Installment Agreement Monthly and Cumulative Report (NO-5000-5/6) (CAR8643)

    • Exempt Organization Report of Delinquent Return Notices, Investigations and Accounts (NO-7100-31(EO) (CAR8743)

    • Employee Plans Report of Delinquent Return Notices, Investigations and Accounts (NO-7100-28(EP) (CAR8843)

    • Return Delinquency Notice Monthly and Cumulative Report (NO-5000-3/4-NOT) (CAR8943)

    Note:

    For distribution procedures, refer to IRM 3.13.62, Media Transport and Control.

Processing Timeliness Criteria for Compliance, Exam and Treasury Inspector General for Tax Administration (TIGTA)

  1. The following section contains information pertaining to TIGTA, Examination, Collections, and various Compliance activities.

TIGTA Processing Requirements

  1. Retention of the Audit Information Management System (AIMS) Historic Files, AMS4403MS and AMS4403BS created monthly in ECC-MEM/MSC and ECC-MTB/BSC, must be retained for 1,825 days (5 years).

  2. Additional required files should be processed on an "as needed" basis to support on going Inspection activities. When this requirement exists, the processing time will be negotiated independent of the above items.

Audit Selection Schedule - Discriminate Function (DIF) Tax Returns

  1. The ordering and delivery of DIF tax returns will be part of the ECC-MTB processing work load. The ECC-MTB processing cycles are as follows:

    Form Processing Frequency
    Form 1040, U.S. Individual Income tax return Weekly
    Form 1066, U.S. Real Estate Mortgage Investment Conduit (REMIC) Income Tax Return Biweekly in odd cycles
    Form 1120, U.S. Corporation Income Tax Return Biweekly in odd cycles
    Form 1120-S, U.S. Income Tax Return for an S Corporation Biweekly in odd cycles
    Form 1041, U.S. Income Tax Return for Estates and Trusts Monthly
    Form 1065, U.S. Return of Partnership Income Monthly
  2. BMF Form 1120 and Form 1066 final reports will be generated in Cycle 52/53 to reflect all tax returns posted to the inventories for that year. It will take at least five weeks for IMF or BMF to complete a selection cycle, even though a new cycle begins each week. Outlined below is a typical schedule for one Audit Selection.

    ECC Cycle Organization Action
    201822 AO and Campus Examination Function Receive reports on Activity ECC DIF files during Cycle 201821.
    201822 Campus Unless a revised order is received by Thursday morning (Wed. morning for Ogden and Fresno), transmit the Area Offices' original order to ECC-MTB.
    201823 ECC-MTB Post tax returns processed by campus in Cycle 201822 to IMF, BMF, and DIF File. Select and put on tape by AO, returns ordered from DIF file. Create tapes for reports to AO on activity in DIF file. Ship tapes to campus.
    201824 Campus Print and ship reports on DIF file activity for Cycle 201823 to AO. Print Form 5546 and labels for DIF tax returns selected at ECC-MTB in Cycle 201823.
    201825 AO and Campus Examination Function Receive reports on DIF file activity for Cycle 201823 with DIF return scores as indicators of quality of returns computer classified at ECC-MTB.
    201825 Campus Pull and ship to AO or Campus Examination Branch the DIF returns computer classified at ECC-MTB in Cycle 201823. Tax returns should not be pulled prior to this cycle.
    201826 - 201833 Campus Examination Function Receive and prepare DIF returns for manual classification.
    201834 AO Classify DIF returns
    201835 Campus Examination Function Return to campus files area those tax returns accepted on manual screening.
  3. These requirements are owned by SE:S:E:HQ:ECS:FCS.

Audit Selection Schedule - TC 424

  1. The ordering and delivery of IMF and BMF TC 424 requests will be part of the ECC-MTB weekly processing work load. It will take at least three weeks for IMF or BMF to complete a selection and delivery based on the TC 424 request.

  2. EPMF DIF/CLASSIFICATION SYSTEM -The ordering and delivery of EPMF DIF tax returns and EPMF Classification Ranked tax returns will be part of the monthly ECC-MTB processing work load. The EPMF DIF/Ranking Inventory file will be created on a monthly basis. During the monthly running of the ordering program, automatics will be selected. As tax returns are selected, they will be dropped from the inventory file and a TC 424 will be generated for the tax return. The TC 424 will post the following cycle. The cycle that the TC 424 is generated, the selected returns listing, the non-controlled returns listing, and the classification return records will be produced for each key Area Office. Each month CP:E:FS will be provided an inventory listing by Area Office for the entire nation. Each month the Area Offices will be provided an inventory listing by Area Office for use in ordering tax returns the next month.

  3. These requirements are owned by OS:CTO:AD:C::B:AR.

Audit Information Management System (AIMS)

  1. Daily Campus AIMS Processing after real-time is terminated for the day:

    1. AIMS Opening Processing - Friday night only.

    2. Transactions, Labels, and Form 5546 are produced out of the AIMS Opening Processing on Friday night.

    3. TRDB Tickler Records - produced weekly on Friday night.

    4. Produce Duplicate Listing on Friday only for those tax returns that are already open on AIMS.

    5. Update AIMS from IMF/CADE 2 data daily.

  2. Weekend Campus AIMS Processing:

    1. Update AIMS from Campus and ECC-MTB data.

    2. Produce Weekly Reports File to generate AIMS weekly reports.

    3. Produce Non-assessed Closure Listing.

    4. Produce TC 424 Reject Register.

    5. Produce SC Status Workload Report (ARP0940) on the following weekends:

      First Quarter Second Quarter
      October 13, 2017 January 12, 2018
      October 27, 2018 January 26, 2018
      November 10, 2017 February 9, 2018
      November 24, 2017 February 23, 2018
      December 8, 2017 March 9, 2018
      December 29, 2017 March 30, 2018
      Third Quarter Fourth Quarter
      April 13, 2018 July 13, 2018
      April 27, 2018 July 27, 2018
      May 11, 2018 August 10, 2018
      May 25, 2018 August 24, 2018
      June 8, 2018 September 7, 2018
      June 29, 2018 September 28, 2018
    6. Local Option Download

    7. Status Code 54, 55, 57, 24 and No Change Letter File

    8. Produce Overage TC 424 Report

    9. Produce International Case Management File

    10. Produce Customer Satisfaction Survey Records

    11. Produce AIMS MF Transactions

    12. EIC Recertification Records listing.

    13. Generate CRD Overage Summary File (ARP2520). Send to Brookhaven via FTP.

    14. Produce National CRD Overage Summary Reports (ARP2640/41)

    15. Generate print files for weekly AIMS reports by campus as follows:

      Campus Report or File Number
      All Campuses ARP0340, ARP0543, ARP0640, ARP0641, ARP0743, ARP0750, ARP0843, ARP0940, ARP2240, ARP2440, ARP2441, ARP2540, ARP2541
      Ogden Campus Only ARP0744, ARP0745, ARP0746, ARP0748, ARP0749, ARP0751, ARP0844, ARP0845, ARP0846, ARP0848, ARP0849, ARP0851, AMS9645, AMS9646, AMS9648, AMS9649, AMS9652
      Brookhaven Campus Only ARP2640, ARP2641
      Kansas City Campus Only ARP0341, ARP0544, ARP0644, ARP0752, ARP0852, ARP0944, ARP2241, ARP2444, ARP2544
      Brookhaven, Cincinnati, Memphis, Ogden, Philadelphia Campuses ARP0740, ARP0840
  3. End of Month Campus AIMS Processing-

    1. Produce AIMS Report Files (AMS4505-ECC-MEM/MSC; AMS4506-ECC-MEM/MSC) to generate the AIMS monthly reports on the following weekends - Monthly AIMS Extract Dates:

      January 26, 2018
      February 23, 2018
      March 30, 2018
      April 27, 2018
      May 25, 2018
      June 29, 2018
      July 27, 2018
      August 24, 2018
      September 28, 2018
      October 26, 2018
      November 23, 2018
      December 28, 2018
    2. Produce AIMS Data Files for ECC-MTB ARP0101, ARP7026, ARP1202, ARP9001 -All months and ARP1203-Oct and Nov only. Transmit them via NDM to ECC-MTB by the Monday following the monthly AIMS EXTRACT date.

    3. Produce Monthly Control Data.

    4. Generate AMS4421MS in BSC - FTP it immediately to ECC-MEM/MSC.

    5. Generate print files for monthly AIMS reports as follows - FTP these immediately to designated Tier II Server:

      AMS4640, AMS4940, AMS5545
      ARP0144, ARP1740, ARP1940, ARP2040, ARP3041, ARP3141, ARP4340, ARP4440, ARP7640, ARP7840, ARP7851, ARP8501, ARP8821
    6. Generate print files for monthly AIMS campus reports as follows. Send to CONTROL D immediately:

      ARP0143AN-PS, ARP1240, ARP1540AN-PS, ARP1541, ARP1640AN-PS, ARP1641, ARP1843AN, ARP1843AT, ARP1843AU, ARP1943KC, ARP1944KC, ARP2143BS, ARP2143CS
      ARP2143FS, ARP2843MS, ARP2843OS, ARP2843PS, ARP2940AN-PS, ARP2941AN-PS, ARP2944KC, ARP2945KC, ARP2946BS, ARP2946OS, ARP2947BS, ARP2947OS, ARP7851OS
  4. AlMS -Monthly Report Extraction Processing Cycles and Data Transmission Dates to ECC-MTB.

    Monthly Cycle Extract the Weekend of Electronic Transmission to arrive at ECC-MTB (ARP0101, ARP7026, ARP1202, ARP9001) by
    January 26, 2018 01/29/2018
    February 23, 2018 02/26/2018
    March 30, 2018 04/02/2018
    April 27, 2018 04/30/2018
    May 25, 2018 05/28/2017
    June 29, 2018 07/02/2018
    July 27, 2018 07/30/2018
    August 24, 2018 08/27/2018
    September 28, 2018 10/01/2018
    October 26, 2018 10/29/2018 (ARP1203 ALSO)
    November 23, 2018 11/26/2018 (ARP1203 ALSO)
    December 28, 2018 12/31/2018
  5. These requirements are owned by OS:CTO:AD:C:B:AR.

Partnership Control System (PCS)

  1. PCS Weekly Campus processing at Brookhaven and Memphis -Monday - Run PCS20P. Output PCS2001 files are automatically electronically transferred to Andover.

  2. PCS Daily Campus processing at Brookhaven and Memphis -Tuesday through Friday - Run PCS20 nightly. Output PCS2001 files are automatically electronically transferred to Andover.

  3. PCS Daily Campus processing at Brookhaven -Monday through Friday - Run PCS44 nightly after EOD0108 file has been automatically AFT'd from Andover to Brookhaven.

  4. PCS Weekly Campus processing at Brookhaven and Ogden:

    1. Monday evening after file PCS2301 has been AFT′d from Andover, run PCS21, PCS39, PCS40, PCS41, PCS42, PCS43, PCS45, PCS48, and PCS49 as needed. Automated procedures will initiate whichever runs are needed based on output from PCS23W at Andover.

      Note:

      Output files from PCS39 through PCS49 should be scheduled to the printers so that printed notices can be distributed on Tuesday.

    2. Upon receipt from Andover, schedule PCS7001 to laser printer and distribution to EONS and Control-D.

  5. PCS Daily processing at Andover -Tuesday through Friday - Run PCS23D after EOD0104 file has been created.

  6. PCS Weekly processing at Andover -Monday - Run PCS23W after EOD0104 file has been created. Output PCS2301 files will be automatically AFT'd to Brookhaven and Ogden.

  7. PCS Daily processing at Andover -Monday through Friday - ECC will run the PCS daily updating cycle of programs after the PCS2001 files have arrived from Brookhaven and Memphis, and after EOD0106 file is created.

  8. PCS Weekly processing at Andover -Wednesday night - ECC will run the PCS weekly cycle of programs and electronically transfer files as follows:

    1. scab*PCS0801 to all 10 ALNs of weekend input into AMS30

    2. scab*PCS7001 to Brookhaven and Ogden

    3. scab*PCS5301 to Brookhaven and Ogden

    4. scab*PCS5302 to Brookhaven and Ogden

  9. Procedures have been established for files PCS6701 and PCS6702 to be written to Control-D.

  10. PCS reports and notices are printed in Brookhaven and Ogden. See Exhibit 3.30.123-7, Partnership Control System (PCS) Reports.

  11. These requirements are owned by OS:CTO:AD:C:R:I:B.

Processing Timeliness Criteria for Area Office (AO) and Taxpayer Assistance Center (TAC)

  1. This subsection contains timeliness requirements related to AO and TAC.

Shipment of Tax Returns/Documents - AO, TAC, Non-Master File (NMF), Individual Retirement Account (IRA), Audit Information Management System (AIMS) and International

  1. AO and TAC are expected to make daily shipments of tax returns and other documents.

  2. AO and TAC are expected to transship tax returns to the appropriate campus no later than the day after receipt in the function responsible for transshipping tax returns. During heavy receipt periods, an additional day may be taken for current year tax returns as long as a flow of daily shipments is maintained.

  3. AO will use Form 3210, Document Transmittal, to transship non-remittance tax returns and RS-PCC. Submission Processing Centers must verify receipt of non-remittance tax returns within ten (10) business days. See IRM 3.13.62.7.2 for more information.

  4. Keep the Form 3210 with the RS-PCC and non-remittance documents so that Batching will recognize whether they should batch as with remittance. Do not remove them when extracting contents of the package.

  5. Submission Processing Centers must verify receipt of remittances and return acknowledgement copies of all remittance transmittals within five working days. Remittance transmittals may include Form 795, Daily Report of Collection Activity, Form 795-A, Remittance and Return Report and Form 3210.

  6. Ship Non-Master File tax returns or documents as follows:

    1. Remittance tax returns and other remittance documents are expected to be processed and shipped to the campus within a maximum of three workdays. Non-remittance tax returns and documents are expected to be shipped to the campus within a maximum of two workdays following the day of receipt.

    2. Maximum processing time should be used only during peak processing periods.

  7. Ship documents related to Individual Retirement Accounts (IRA) as follows:

    1. Remittance documents are expected to be shipped to the campus with a maximum of three workdays. Non-remittance documents are expected to be shipped to the campus within a maximum of two workdays following day of receipt.

    2. Maximum processing time should be used only during peak processing periods.

  8. All Individual Master File (IMF) tax forms identified as International with payments must be shipped within one day (24 hours) of receipt to:

    Austin Submission Processing Center
    3651 S. IH 35
    Stop 6056 AUSC
    Austin, TX 78741

  9. All Business Master File (BMF) tax forms identified as International with payments must be shipped within one day (24 hours) of receipt to:

    Note:

    Refer to IRM 10.5.1, Shipping, for proper data protection procedures when shipping PII, and to determine correct shipping provider and correct shipping procedures for shipping through a private delivery carrier.

    Mailing Address Private Delivery Service (PDS) Mailing
    Ogden Submission Processing Center
    P.O. Box 409101
    Ogden, UT 84409
    Ogden Submission Processing Center
    P.O. Box 409101
    1973 N. Rulon White Blvd.
    Ogden, UT 84404
  10. All Form 706, Form 709 and Excise tax returns with or without payments will go to:

    Internal Revenue Service
    201 W. Rivercenter Blvd. MS 312
    Covington, KY 41011

  11. Convert cash to a bank draft or money order by close of business on the day it was received, or as soon as possible on the next business day. Send Parts 1 and 3 to the appropriate Submission Processing Center (the one that issued the book) each day with the converted cash, Form 795 and the tax return. For additional information regarding "Converting Cash Payments" refer to IRM 21.3.4, Field Assistance, owned by SE:W:CAR:FA.

Instructions for Field Exam Payments of $100,000 or More

  1. When remittances exceeding $100,000 are received, managers have a responsibility to determine what steps or what locations should be used to expedite the deposit of those remittances.

  2. Employee Responsibilities: Employees should immediately notify their manager upon receipt of a remittance of $100,000 or more. Payments should be sent on the day of receipt via overnight traceable mail. Convert any cash to a money order before mailing.

  3. Manager Responsibilities: Determine what steps need to be taken to ensure timely deposit. Such measures include, but are not limited to, the following:

    • Express Mail, to ensure next day delivery, refer to IRM 1.22.2, United States Postal Service (USPS) Classes of Mail, USPS Additional Services and Small Package Carrier (SPC) Services.

    • Private Delivery Service, within 300 miles

    • Hand-carry remittance to teller by car or plane for emergency situations (e.g., $100 million or more, or if within 100 miles of remittance processor)

  4. Determine which one of the above measures is most cost-effective.

    Note:

    The cost of transporting the remittance should be commensurate with the interest to be gained by expeditious deposit. For example, the estimated value of interest on funds of $100 million is about $20,000 daily based on the prevailing rate of interest. The location identified as being the most expeditious may not be the teller unit in the aligned servicing campus.

  5. Alert the Submission Processing Field Office Payment Processing Liaison by phone (remittance processor) in advance of receipt of a remittance of $1,000,000 or more. Liaisons ensure the maximum value of funds for the date of receipt, and expedite processing.

  6. These requirements can be found by referring to IRM 4.4.24, AIMS/Processing Handbook-Payments and Remittance, owned by SE:S:OS:TS:ESP:CS.

Program Completion Date (PCD) - Area Office (AO) and Taxpayer Assistance Center (TAC)

  1. It is expected that AO and TAC will take whatever steps are necessary to stay within processing cycle limits and meet PCDs for all major programs that are specified elsewhere in this issuance. The selection of these dates is designed to accomplish one of the following objectives:

    1. Provide a date coordinated with the Master File posting cycles prior to analysis and delinquency notice generations, or

    2. Provide a date for termination of input to a validation or verification run at ECC-MTB, with resultant list outputs.

  2. Use of maximum process time will be coordinated with PCDs to ensure that all tax returns in the related program considered as timely filed are processed and shipped by the specified completion date.

Taxpayer Initiated Refund Inquiries

  1. Taxpayer initiated refund inquiries involving undelivered, returned, lost and stolen refund checks will be placed under IDRS Control and processed within 15 workdays.

  2. Requirements for processing, refer to IRM 21.4, Refund Inquiries, owned by SE:W:CAS:AM:PPG:I.

Taxpayer Advocate Service (TAS) Criteria

  1. See IRM 3.30.123.5.9, TAS Criteria, for time frames on either resolving the case or referring to TAS. These reporting requirements are owned by TA:TAG

  2. For additional information, refer to Part 13: Taxpayer Advocate Service.

TAC Field Assistance Activity Report

  1. Form 5311, Field Assistance Activity Report, will be processed by TAC via Field Assistance Management Information System (FAMIS) input.

    1. Taxpayer Assistance Centers will input completed Form 5311 data between Monday and Wednesday, COB of the Wednesday following the report week.

    2. Adjustments to FAMIS may be made during the "revise" period. Refer to FAMIS User’s Guide for additional instruction. If one is not available, call your Area Office Field Assistance and request a copy.

  2. Customer Service Representative's in campuses will use Form 3081, Employee Time Report, for reporting employee time data.

  3. The time reporting requirements for TAC employees using Form 5311 can be found by referring to IRM 21.3.4, Field Assistance. For explanation on how the Form 3081 is used to measure performance can be found by referring to IRM 3.30.50, Project PCA Production Control Accounting, owned by SE:W:CAS:SP:PM:M.

Processing Timeliness Criteria for Campus/Contractor Mailouts

  1. The various tax packages for IMF and BMF forms, as well as Publications are mailed out to filers at the appropriate time of year based on the Filing Requirement(s).

  2. ECC extracts the data and provides the information to Publishing Services on the correct form and correct date to mail the document(s).

  3. There is an Exhibit in the back of this IRM showing Form or Package, Run/File Number, Form or Package Code, Extracted Period Ended, Extraction Cycle, SC Input Ship Date, ECC Ship Date and the Contractor Mail Date. See Exhibit 3.30.123-8, Campus/Contractor Mailout Completion Schedule.

  4. These requirements are owned by OS:CTO:AD:CP:R:MB:CM and SE:W:CAR:MP:P:B:T.

Processing Timeliness Criteria for Work Planning and Control (WP&C)

  1. Project PCB (file PCB 9011) Schedule-Analysis data files are to be transmitted timely to correspond with the chart below. Revised ECC-DET data files Schedule-Analysis may be required for any period covered. These files are input to portions of Project 553 processing at ECC-DET.

    Period Covered Label Final Campus Shipping Date
    July - September 2018 ZNV-201826
    Rev. July-September Schedule
    Transmit Data by 06/26/2018
    October - December 2018 ZNV-201839
    Rev. October-December Schedules
    Transmit Data by 09/25/2018
    January - June 2019 ZNV-201851
    Rev. January-June Schedules
    Transmit Data by 12/182018
  2. Project PCC (files PCC 7002) performance and Cost Tapes-Weekly unabridged tape output of computing center run PCC data files will be to ECC-DET on the day they are created (by Wednesday of each week). One transmission is to be made for each Saturday date of the year. Special Transmission processing will be done at the end of each quarter (January-June, July-September, and October-December) when the quarter ends on Monday-Thursday. Quarterly tapes are output from PCC70Q. (See item 5 below.) If the quarter ends on Friday or Sunday, the normal weekly data file will suffice.

  3. Project PCC weekly data files and Project PCC quarterly data files will be prepared and transmitted in the following manner:

    1. The filename will be PCC 7002. This is done automatically by run PCC 70.

    2. When these data files are created at the computing center, the computing center will call ECC-DET Scheduling Branch at 313-234-1004 and inform them that a file is ready to be transmitted. The computing center gives ECC-DET scheduling Branch the Project Name (OP500), the file name (please let them know if it is a replacement), the week ending date and if it is tape or disk. After receiving file information from the computing center, a ECC-DET Scheduler will log on the system and NDM the data file.

    3. The cycle designation should be: "Cycle ZNW 20YYXX."

  4. Project PCC (File PCC 7002) Performance and Cost Data Files which reflect totals for (a) six month period, January-June; (b) three month period, July-September; and (c) three month period, October-December are to be transmitted timely to ECC-DET for input to projects 540, 553, and 563 processing. Normally, the weekly PCC Data Files can be used. However, if June 30, September 30, or December 31 falls on Monday-Thursday, a special period ending tape for that complete period must be created (in addition to the weekly tape). Quarterly Data Files are output from PCC70Q. Quarter-Ending Data Files should be processed for transmission via CONNECT: Direct as in (2) above, except that:

    1. The campus should notify ECC-DET Scheduling Branch that the data file to be transmitted is a Quarter-Ending data file.

    2. The cycle designation should be changed to "Cycle ZNK 20YYXX. "

  5. Performance and Cost Tapes are produced on a weekly basis at each campus, with an additional close-out tape at the end of each "quarter" if necessitated by the requirements stated above. All tapes are shipped to ECC-MTB. Weekly tape input is merged to a single work tape which is summarized and edited and sorted in OFP and PFO sequences. Output tapes designated as 563-36-12, 563-42-11 and 563-49-11 are shipped to National Headquarters according to the instructions contained in the schematic in CPB-1 Project 563. Two copies of file 563-42-11 and file 563-49-11 are sent to the two computing centers for their use.

  6. In addition, a fiscal year and calendar year OFP Analysis Report is produced. No additional campus input will be required for these runs. File 563-59-11 will be shipped to National Headquarters, and two copies of that file will be shipped to the two computing centers for their use.

  7. Only the requirement of assisting the campus in preparing the PCB9011 and transmittal to ECC-DET (1), is a function of SE:W:CAS:SP:PM:R. The remaining items dealing with the loading of tapes and weekly PCC runs belongs to Information Technology (IT).

Processing Timeliness Criteria for Campus Mainframe Consolidation

  1. GUF new unpostables will be loaded Monday night, and GUF corrections will be run on Tuesday night. New unpostables will be available for work Tuesday morning. Weekly unpostable reports will be available Wednesday morning.

    Note:

    All times listed below are Eastern time zone. Unless specifically noted.

  2. TEP Standards:

    1. The GMF TEP will be requested no later than noon and received in Accounting Operations no later than 1 PM. The GMF TEP will be released to ECC-MTB no later than 6 PM Monday-Friday.

    2. The GUF TEP will be received in Accounting no later than 6 AM Local Campus Time on Wednesday and released to ECC-MTB no later than 1:30 PM Eastern on Wednesday.

    3. The MeF campuses will have an MeF-only TEP, in addition to the regular GMF TEP. This is subject to the same time frames for receipt, balancing and release of the daily GMF TEP.

  3. Feeder System Standards: (All time zones are Local Campus Time unless otherwise specified)

    1. Lockbox data and image files must be received at the ECC drop box prior to 4 AM EST.

    2. ISRP submissions will begin End of Day no later than 5 PM, complete transmissions to ECC by 6 PM daily.

    3. ISRP remittances will begin End of Day no later than 5 PM, complete transmissions to ECC by 6 PM daily.

    4. SCRIPS submissions will begin End of Day no later than 4 PM, complete transmission to ECC by 6 PM daily.

    5. BBTS MCR tape creation will begin no later than 5:30 p.m. and complete transmission to ECC by 6 PM daily.

    6. BBTS Production Control and Performance Reporting (PCC) input tape creation (SCRIPS, OCR 1005) will begin no later than 5:30 p.m. and complete transmission to ECC by 6 PM daily. Centers may arrange for a later cut-off with prior approval from their computing center.

    7. BBTS PCC supplemental tape creation will begin no later than 5:30 p.m. and complete transmission to ECC by 6 PM on the first work day of the week. PCC Supplemental tape must be created prior to that days daily PCC input tape.

  4. Non-Submission Processing Standards that impact Submission Processing functions:

    1. GENDATA swap will be at 6 PM local time.

    2. There will be a two day (48 hours) hold on the Quality Review file.

    3. CRX Processing will have a five day hold for Advance Letter Processing.

    4. ECC-MTB Production SACS is scheduled to be available 24/7 except during scheduled maintenance, and from approximately 0400 to 0410 hours (Eastern Time) daily for End of Day processing. A principle period of maintenance (PPM) is reserved for ECC-MTB Production SACS transmittal activation on Thursdays between 0500 and 0600 hours (Eastern Time). The maintenance window is dependent upon the extent of the changes to be implemented.

    5. Corporate Files On Line (CFOL) availability will be 24/7. Any maintenance that would impact ECC-MTB CFOL availability must be scheduled through an ECC-MTB Change Request, receive technical review, and receive ECC-MTB Change Control Board (CCB) approval. After CCB approval, an Info Alert will be issued with details regarding CFOL availability. Users will be given advance notice before CFOL is taken down for scheduled maintenance. Info Alerts will also be issued for any unscheduled ECC-MTB CFOL outages.

    6. When maintenance is scheduled, users may experience a brief interruption to CFOL when Customer Information Control System (CICS) regions are transferred between ECC-MTB systems. ECC-MTB performs annual power outages for preventative maintenance on Labor Day and Columbus Day. All systems, CFOL, and databases at ECC-MTB are unavailable. Users are notified in advance of power outages.

    7. ECC-MTB runs daily maintenance from 0600-0700 hours (Eastern Time). During this time, users to CFOL may encounter a locked account. This will only be temporary and the user should try again in five minutes. Also, ECC-MTB runs daily image copies (backups of all databases) with minimal impact to users. If a reorganization of files is required, users could experience locked files and they should try again later. If a database file needs to be recovered to an earlier point in time, an Info Alert will inform the field of the cause and when they can expect to have the file back up for processing.

Processing Timeliness Criteria for CADE 2

  1. This subsection provides explanation of the deployment of CADE 2 components and includes global guidance when specific IRM instructions are not provided. Specific functional impact will be addressed in the appropriate functions IRMs.

  2. The CADE 2 Program Office in Headquarters is charged with the primary goal to implement a single, modernized programming solution which provides daily processing of taxpayer accounts. The modernized programming solution involves migrating from existing flat file environment (one record data identified by the position in the record) to a database table driven environment (data stored in specific fields).

  3. The CADE 2 solution is comprised of several components to modernize the IRS to a daily processing environment with several Transition States.

    1. In Transition State 1, IRS will establish a single taxpayer account database that will house all individual taxpayer accounts. IMF processing will be enhanced to include daily batch processing. The CADE 2 database will be the source for key IRS customer service operational database (IDRS) to provide the benefit of more timely posted data. The CADE 2 database will also become the source to populate the IPM analytical data store, providing business users with tools to more effectively use the data for compliance and customer service.

    2. In Transition State 2, high priority downstream service and compliance applications will be modified to take advantage of the new database. The CADE 2 program will make some progress addressing the financial material weaknesses. In Transition State 2, a combination of current-state IMF programs and newly developed transitional components in modernized programming language may be used to fill the functional needs of individual taxpayer account processing.

    3. The Target State completes the transition to the target-state applications (all IMF programs rewritten in a modernized programming language) and database providing a complete data-centric (database, table driven) solution retiring all transitional components and addressing all financial and security material weaknesses identified at the conception of the PMO.

      Note:

      This version of the IRM only provides information related to the Transition State 1 which was deployed in January 2012. Additional information on Transition State 2 and the Target State phases will be provided in the later revisions of the IRM when the solutions are implemented.

  4. The components of CADE 2 Transition State 1 include:

    1. Accelerated IMF - All individual taxpayers account transactions being processed weekly by IMF (on Thursday) with new cycle definitions and accelerated refund and notice issuance.

      New Cycles

      • Campus Cycle - Thursday through Wednesday

      • Master File Processing - Friday through Thursday

      • Notice Review - Saturday through Monday (8+ days)

      • Unpostables - New available Tuesday, Closing Tuesday

        Note:

        New cycles are not limited to IMF. BMF sites will also have the new campus cycle; BMF and EPMF will process weekly on Thursday. Notice Review and Unpostables in the BMF sites will also have a new cycle. The CADE master file, as it existed from 2004-2011, will transition from Production and be retried at the end of 201152.

      Refunds for IMF accounts will be accelerated to provide refunds to taxpayers quicker.

      • Direct deposit refunds will be issued in four business days from posting.

      • Paper check refunds will be issued in six business days from posting.

      IMF notices under a tolerance will bypass Notice Review Processing System (NRPS) and will be sent directly to Correspondence Processing System (CPS).

    2. Daily Processing

      IMF processing with the new cycle definition outlined above, but processing daily (daily transactions to daily accounts) with weekly processing occurring on Thursday.

      Note:

      BMF and EPMF will continue to process weekly on Thursdays.

      IMF notices under a tolerance will bypass NRPS and will be sent directly to CPS daily.

      IMF will identify unpostable criteria daily, but the files will not be processed by GUF until the weekly cycle. This may result in subsequent transactions posting in the same cycle that could resolve the unpostable criteria for the earlier transaction marked as unpostable.

    3. CADE 2 database

      Establish the taxpayer account database that will house all individual taxpayer accounts. IMF will process all transactions, settle accounts and will provide data to the CADE 2 database. IMF will remain the system of record for Transition State 1.

      Key programs IDRS and IPM will receive data from the CADE 2 database.

  5. Individual taxpayer accounts will be analyzed three times a year (before Cycle 1, after Cycle 13 and after Cycle 24) to determine whether the account at that point in time meets criteria to be marked as a daily account.

    1. Account conditions that prevent accounts from being marked daily are conditions such as (list is not all inclusive):

      ITIN Accounts
      Foreign Addresses
      Campus Addresses
      Identity Theft Indicators
      Prisoner File
      Related MFT 31 Account (e.g., Bankruptcy, Offer-in-Compromise, Installment Agreements, Innocent Spouse)
      Criminal Investigation Activity
      Civil Penalty Account (MFT 55)
      Tax Module History (two years prior) with CI, Exam or Collection Activity
  6. Incoming weekly transactions directed to an account that is marked as Daily will result in the account changing from Daily to Weekly when the transaction posts.

    1. Subsequent transactions directed to an account that has changed from Daily to Weekly will be processed with the weekly processing run on Thursday.

  7. TXMOD and IMFOL command codes will contain indicators on the screen to identify whether the account is a Daily account or a Weekly account.

  8. IMF transactions posting time frames are outlined as follows:

    1. Daily transactions directed to a daily account are expected to post daily with daily processing. Transactions will be viewable using CFOL command codes 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 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:

      For items b) and c), transactions will be viewable using CFOL command codes on the Saturday following the Thursday processing run. Transactions will be viewable on IDRS command codes Monday following the Thursday processing run.

    4. Use of the Posting Delay Code on transactions will result in the transaction being held until the weekly processing on Thursday. When the transaction is processed on Thursday and the Posting Delay Code contains a value other than zero, the transaction will continue to re-sequence for the number of cycles equal to the value.

      Example:

      A transaction input with a Posting Delay Code of 1 will be processed on Thursday and will re-sequence until the following weekly processing day (the following Thursday)
      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.

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

    1. Transactions will be viewable using CFOL command codes on Saturday following the weekly master file processing run on Thursday.

    2. Transactions will be viewable as posted transactions using IDRS command codes on Monday following the weekly master file processing run on Thursday.

      Note:

      With the acceleration of the 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.

  10. With accelerated refund processing there are conditions (outlined below) under which accounts will not reflect the refund transaction (TC 846) upon settlement of the account. IMF will systemically prevent the refund transaction from generating. IMF will systemically generate the refund transaction (TC 846) when the refund hold expires.

    1. A refund hold will be applied when through master file processing of the account, the account meets Priority Refund Transcript criteria (Refund, Refund-E, Refund-S, $1M and $10M). The accounts will reflect a TC 971 AC 805 and a TC 570 with blocking series "55555" indicating the refund hold has been applied. The hold will systemically expire four business days after the TC 971 AC 805 cycle posting date.

    2. A refund hold will be applied when through master file processing of the account, the account meets criteria to issue CP 12, CP 21 (if the refund amount is $100,000 or greater) or CP 24. These accounts will be processed during the weekly processing on Thursday. The accounts will reflect a TC 971 AC 804 and a TC 570 with blocking series "55555" indicating the refund hold has been applied. The hold will systemically expire seven calendar days after the TC 971 AC 804 cycle posting date.

  11. Due to the accelerated refund processing, the Bureau of the Fiscal Service (BFS) will no longer accept NOREF or HAL requests for IMF refunds. Functions that are impacted by the refund holds outlined above in (9) will have specific guidelines to address accounts that have the systemic holds instead of using NOREF as Submission Processing has known it pre-January 2012.

  12. For functions that do not have specific requirements in place to place holds on inventory, the following guidelines are provided for IMF accounts:

    Note:

    BMF is not changing to daily processing or accelerating refund schedule issuance. BMF accounts can continue to use NOREF per existing guidelines.

    IF AND THEN
    The account has a TC 846 posted,   A NOREF or HAL request cannot be initiated on an IMF account. Erroneous refund procedures should be followed.
    The account has a TC 570 with blocking series "55555" , A TC 971 AC 805 is also posted on the module indicating a refund transcript has generated,
    1. A TC 570 can be input up to three business days after the systemically generated TC 570 cycle posted date (up to 6 PM local time) to prevent the refund transaction from generating.
    2. A NOREFP can be input on the third business day after 6 PM local or the fourth business day before 9 PM Eastern Friday-Wednesday (10 PM Eastern on Thursday) from the systemically generated TC 570 cycle posted date to request IMF reverse the refund and stop the refund information from going to FMS.
    The account has a TC 570 with blocking series "55555" , A TC 971 AC 804 is also posted on the module indicating a CP 12, CP 21 (if the refund amount is $100,000 or greater) or CP 24 has been issued,
    1. A TC 570 can be input up through 6 PM local the following Wednesday (six calendar days after the systemically generated TC 570 cycle posted date to prevent the refund transaction from generating.
    2. A NOREFP can be input on the Wednesday after 6 PM local or Thursday before 9 PM Eastern Friday-Wednesday (10 PM Eastern on Thursday) to request IMF reverse the refund and stop the refund information from going to BFS.
  13. Quality Review is not impacted by CADE 2 daily processing and will operate as it has been pre-January 2012. If the Quality Review command codes have been executed input to hold on and employee's work, the hold will prevent any transactions from being forwarded to the Computing Center for master file processing allowing the review period for the site.

  14. PCDs have been adjusted in this IRM to ensure program dates are met on the new cycle end day of Wednesday.

Processing Timeliness Criteria for Image Control Team (ICT)

  1. The Image Control Team (ICT) is responsible for the clerical functions within the Correspondence Imaging System (CIS). In an effort to meet processing time frames, all cases must be prepped, scanned and validated within 5 business days of the ICT receipt or 14 business days of the IRS received date.

  2. The requirements for processing ICT can be found by referring to IRM 3.13.6“Submission Processing Image Control Team (ICT) Correspondence Screening”.

Processing Timeliness Criteria for Minister/Religious Waiver Program, Form 4361/Form 4029

  1. The Form 4361, Application for Exemption From Self-Employment Tax for use by Ministers, Members of Religious Orders and Christian Science Practitioners and Form 4029, Application for Exemption From Social Security and Medicare Taxes and Waiver of Benefits are processed by the Document Matching Operation at Philadelphia. The requirements for processing Form 4361 or Form 4029 requests can be found by referring to IRM 4.19.6, SSA Correspondence, Minister/Religious Waivers, and Information Return Penalties (IRP) owned by SE:S:EHQ:EFCP:BMF-DM.

2018 GMF Production Cycles

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2018 ECC-MTB Posting Cycles

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2018 IDRS Processing Cycles

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2018 IDRS On-Line Input

Output Cycle Number *Cutoff for Release of Transactions WEDNESDAY **Posted Transaction Appears on IDRS MONDAY Assessment or Scheduled 23-C Date MONDAY
201801
Dead Cycle
N/A N/A N/A
201802
Dead Cycle
N/A N/A N/A
201803
BMF/EPMF
01/17/2018 01/22/2018 02/05/2018
201804 01/24/2018 01/29/2018 02/12/2018
201805 01/31/2018 02/05/2018 02/19/2018
201806 02/07/2018 02/12/2018 02/26/2018
201807 02/14/2018 02/19/2018 03/05/2018
201808 02/21/2018 02/26/2018 03/12/2018
201809 02/28/2018 03/05/2018 03/19/2018
201810 03/07/2018 03/12/2018 03/26/2018
201811 03/14/2018 03/19/2018 04/02/2018
201812 03/21/2018 03/26/2018 04/09/2018
201813 03/28/2018 04/02/2018 04/16/2018
201814 04/04/2018 04/09/2018 04/23/2018
201815 04/11/2018 04/16/2018 04/30/2018
201816 04/18/2018 04/23/2018 05/07/2018
201817 04/25/2018 04/30/2018 05/14/2018
201818 05/02/2018 05/07/2018 05/21/2018
201819 05/09/2018 05/14/2018 05/28/2018
201820 05/16/2018 05/21/2018 06/04/2018
201821 05/23/2018 05/28/2018 06/11/2018
201822 05/30/2018 06/04/2018 06/18/2018
201823 06/06/2018 06/11/2018 06/25/2018
201824 06/13/2018 06/18/2018 07/02/2018
201825 06/20/2018 06/25/2018 07/09/2018
201826 06/27/2018 07/02/2018 07/16/2018
201827 07/03/2018 07/09/2018 07/23/2018
201828 07/11/2018 07/16/2018 07/30/2018
201829 07/18/2018 07/23/2018 08/06/2018
201830 07/25/2018 07/30/2018 08/13/2018
201831 08/01/2018 08/06/2018 08/20/2018
201832 08/08/2018 08/13/2018 08/27/2018
201833 08/15/2018 08/20/2018 09/03/2018
201834 08/22/2018 08/27/2018 09/10/2018
201835 08/29/2018 09/03/2018 09/17/2018
201836 009/05/2018 09/10/2018 09/24/2018
201837 09/12/2018 09/17/2018 10/01/2018
201838 09/19/2018 09/24/2018 10/08/2018
201839 09/26/2018 10/01/2018 10/15/2018
201840 10/03/2018 10/08/2018 10/22/2018
201841 10/10/2018 10/15/2018 10/29/2018
201842 10/17/2018 10/22/2018 11/05/2018
201843 10/24/2018 10/29/2018 11/12/2018
201844 10/31/2018 11/05/2018 11/19/2018
201845 11/07/2018 11/12/2018 11/26/2018
201846 11/14/2018 11/19/2018 12/03/2018
201847 11/20/2018 11/26/2018 12/10/2018
201848 11/28/2018 12/03/2018 12/17/2018