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Part 21. Customer Account Services

Chapter 4. Refund Inquiries

Section 2. Refund Trace and Limited Payability

21.4.2 Refund Trace and Limited Payability

Manual Transmittal

September 15, 2026

Purpose

(1) This transmits revised updates to IRM 21.4.2, Refund Inquiries, Refund Trace and Limited Payability.

Material Changes

(1) IRM 21.4.2.1 - For consistency with other IRMs updated Audience, Policy Owner, Program Owner, Primary Stakeholders and Program Goals. Update made as result of clearance review.

(2) IRM 21.4.2.1.1 - For consistency with other IRMs updated to include Live Chat, update made as result of clearance review.

(3) IRM 21.4.2.1.2 - For consistency with other IRMs updated to include all relevant authorities, update made as result of clearance review.

(4) IRM 21.4.2.1.3(1) - For consistency with other IRMs updated Commissioner to Chief. IPU 26U0178 issued 02-02-2026.

(5) IRM 21.4.2.1.3(4) - For clarity updated to advise that the guidance and procedures in this IRM are for Refund Trace and Limited Payability case resolution. IPU 26U0178 issued 02-02-2026.

(6) IRM 21.4.2.1.3 (6) - For consistency with other IRMs updated to include Taxpayer Bill of Rights in this IRM section and editorial edits throughout. Updates made as result of clearance review.

(7) IRM 21.4.2.1.4 - For consistency with other IRMs updated to move Program Reports and Annual Review to this section and expand Program Effectiveness, update made as result of clearance review.

(8) IRM 21.4.2.1.5 - For consistency with other IRMs updated to expand section to include all relevant controls, update made as result of clearance review.

(9) IRM 21.4.2.1.6 - For consistency updated to include definition for IOLA as Individual Online Account. IPU 25U3651 issued 10-21-2025.

(10) IRM 21.4.2.1.6 - For consistency updated to include definition for BTA as Business Tax Account.

(11) IRM 21.4.2.1.7 - For consistency updated to include IRM 21.4.4, Manual Refunds, and IRM 21.4.5, Erroneous Refunds, as related resources. IPU 25U3651 issued 10-21-2025.

(12) IRM 21.4.2.1.7 - Expanded the section to include all relevant resources for consistency with other IRMs. Updated based on clearance review.

(13) IRM 21.4.2.1.8(7) - For consistency updated for changes to BFS policy about reclamation credits. IPU 26U0178 issued 02-02-2026.

(14) IRM 21.4.2.1.8(13) - For consistency with other IRMs added caution about completing E-911 due to TAS policy change. IPU 26U0178 issued 02-02-2026.

(15) IRM 21.4.2.1.8(14) - Updated to move information related to TAS into a separate paragraph to improve readability, update made as result of clearance review.

(16) IRM 21.4.2.3(1) (d) - For consistency updated to include time frame for replacement check to be issued from BFS. IPU 25U3651 issued 10-21-2025.

(17) IRM 21.4.2.3(1) (e) - For clarity updated to advise that Refund Inquiry will provide a copy of the negotiated check when sending Form 13818 to the taxpayer. IPU 25U3651 issued 10-21-2025.

(18) IRM 21.4.2.3.1 - For clarity added (4) to include information about the Correspondence Imaging Inventory (CII) also provided a link and procedures to follow when inventory is scanned incorrectly. IPU 26U0178 issued 02-02-2026.

(19) IRM 21.4.2.3.1(4) - For consistency added instructions to include guidance on receiving Spanish correspondence and/or Spanish Form 3911. IPU 26U0382 issued 04-01-2026.

(20) IRM 21.4.2.3.2(2) - Updated to remove outdated information, subsequent paragraphs are renumbered. IPU 26U0382 issued 04-01-2026.

(21) IRM 21.4.2.3.2(3) - For clarity updated information for requesting ANMF access through BEARS. IPU 26U0382 issued 04-01-2026.

(22) IRM 21.4.2.3.2(5) - Updated information about AOIC to show Refund Inquiry employees will e-Fax the case to the Monitoring Offers In Compromise (MOIC) Deposit Request Information Liaison(s) at the Brookhaven campus, update made as result of clearance review.

(23) IRM 21.4.2.3.3(2) - Updated to clarify that an authorized Power of Attorney on Form 2848 can sign Form 3911. IPU 25U3651 issued 10-21-2025.

(24) IRM 21.4.2.3.3(3) - Updated to remove reference to paper cases as Refund Inquiry work has been integrated to Correspondence Imaging Inventory (CII), update made as result of clearance review.

(25) IRM 21.4.2.4 - For correction, removed indications from (1a) note and (5) that a TIA can start a refund trace. IPU 26U0178 issued 02-02-2026.

(26) IRM 21.4.2.4 - Updated entire section for clarity and to reduce duplicated information, update made as result of clearance review.

(27) IRM 21.4.2.4(1) - For better flow of information, updated to include exception for refunds involving accounts with an incorrect taxpayer shown on CC ENMOD. IPU 25U3651 issued 10-21-2025.

(28) IRM 21.4.2.4(1) (a) - For clarity updated to advise that either a POA or TIA can begin refund trace. IPU 25U3651 issued 10-21-2025.

(29) IRM 21.4.2.4(1) (a) - For consistency added information about failed refund traces. IPU 25U3651 issued 10-21-2025.

(30) IRM 21.4.2.4(1) (a) - For clarity removed the word paper from BMF refunds, to show that BMF refunds do not meet oral statement for refund trace as BMF now allows for direct deposit. IPU 26U0178 issued 02-02-2026.

(31) IRM 21.4.2.4(5) - For clarity updated to advise that either a POA or TIA can begin refund trace. IPU 25U3651 issued 10-21-2025.

(32) IRM 21.4.2.4(6) - For consistency updated to direct CSR to IRM 21.4.2.4.2 for input of CC CHKCL. IPU 26U0516 issued 05-11-2026.

(33) IRM 21.4.2.4.1 - Updated throughout to remove reference to paper cases as Refund Inquiry work has been integrated to Correspondence Imaging Inventory (CII), and streamline information for ease of research, updates made as result of clearance review.

(34) IRM 21.4.2.4.1(1) (a) - For clarity updated to remove caution about issuing a manual refund when a temporary address is provided. IPU 25U3651 issued 10-21-2025.

(35) IRM 21.4.2.4.1(1) (a) - For clarity updated to advise that either a POA or TIA can begin refund trace. IPU 25U3651 issued 10-21-2025.

(36) IRM 21.4.2.4.1(1) (a) - For clarity, updated caution to include procedures for processing RI cases when received in CII and RIVO indicators are present. IPU 26U0178 issued 02-02-2026.

(37) IRM 21.4.2.4.1(2) - For clarity updated IRM reference for IDT Indicators to broaden research path. IPU 25U3651 issued 10-21-2025.

(38) IRM 21.4.2.4.1(3) - For consistency added information about handling unresolved identity theft issues. The addition of a new paragraph 3 shifts all subsequent paragraphs. IPU 26U0178 issued 02-02-2026.

(39) IRM 21.4.2.4.1(3) - For consistency added information about paragraph selection if no return is posted and indicators exist for MFT 32. IPU 25U3651 issued 10-21-2025.

(40) IRM 21.4.2.4.1(3) - For clarity updated to include the information about choosing the appropriate closing paragraph and to remove the number of days it is taking to close IDT cases. IPU 26U0382 issued 04-01-2026.

(41) IRM 21.4.2.4.1(4) - For clarity updated to advise that either a POA or TIA can begin refund trace. IPU 25U3651 issued 10-21-2025.

(42) IRM 21.4.2.4.1(4) - For clarity updated to remove Identity Theft and advise of procedures for MFT 32 physical paper cases and cases worked in CII. IPU 26U0178 issued 02-02-2026.

(43) IRM 21.4.2.4.1(4) (b) - For consistency revised procedures for non-refund inquiry assistors to reassign paper refund trace requests to refund inquiry after trace is started. IPU 25U3651 issued 10-21-2025.

(44) IRM 21.4.2.4.1(4) (d) - For clarity revised procedures for paper cases that do not meet refund trace criteria. IPU 25U3651 issued 10-21-2025.

(45) IRM 21.4.2.4.1(4) (e) - For clarity separated procedures for paper cases that refund time frame has not been met. IPU 25U3651 issued 10-21-2025.

(46) IRM 21.4.2.4.1(5) (d) - For consistency added procedures to follow procedures in 21.3.3.4.2.1 Use of 86C letter and send an 86C if required. IPU 26U0178 issued 02-02-2026.

(47) IRM 21.4.2.4.1(5) - For clarity separated procedures for no return is posted and TPP or MFT32 indicators are present from paragraph 4 no return is posted. This provides clear procedures for the two different scenarios which have different resolutions. Subsequent paragraphs are renumbered. IPU 26U0382 issued 04-01-2026.

(48) IRM 21.4.2.4.1(6) - For consistency added procedures if Form 3911 is incomplete. IPU 25U3651 issued 10-21-2025.

(49) IRM 21.4.2.4.1(6) - For consistency added procedures to refer reader to IRM 21.3.3.4, Quality and Timely Responses for complete response to taxpayer. IPU 26U0382 issued 04-01-2026.

(50) IRM 21.4.2.4.1(6) - For clarity of procedures identified which procedures are for IMF and provided guidance for BMF. IPU 26U0516 issued 05-11-2026.

(51) IRM 21.4.2.4.1(6) (d) - For clarity expanded on what to research on account to include IDRS and to include additional information attached to Form 3911. IPU 26U0382 issued 04-01-2026.

(52) IRM 21.4.2.4.1(6) d - For clarity of procedures and ease confusion of joint procedures, indicated which procedures are to be followed by assistors inside and outside of Refund Inquiry. IPU 26U0606 issued 06-05-2026.

(53) IRM 21.4.2.4.1(8) - Removed paragraph about incomplete Form 3911 as procedures are included earlier in same reference, subsequent paragraphs are renumbered. IPU 26U0606 issued 06-05-2026.

(54) IRM 21.4.2.4.1(8) - For consistency added procedures if undeliverable, to re-mail Form 3911 to the correct address. IPU 25U3651 issued 10-21-2025.

(55) IRM 21.4.2.4.1(8) - To incorporate changes to Form 1310 added the word "and" to indicate court documents are required. IPU 26U0606 issued 06-05-2026.

(56) IRM 21.4.2.4.1(9) - For consistency added procedures if Form 3911 is undeliverable and no new address to close CII case as no action. IPU 26U0178 issued 02-02-2026.

(57) IRM 21.4.2.4.2 - Updated entire section for clarity and to reduce duplicated information, update made as result of clearance review.

(58) IRM 21.4.2.4.3 - For consistency revised time frame for limited payability with regards to direct deposit. IPU 25U3651 issued 10-21-2025.

(59) IRM 21.4.2.4.3 - Updated throughout to remove reference to paper cases as Refund Inquiry work has been integrated to Correspondence Imaging Inventory (CII) and reorganized the information into a chart to improve consistency and clarity, updates made as result of clearance review.

(60) IRM 21.4.2.4.3(1) - For consistency updated procedures to include External Leads Program in the list of cases for which a refund trace should not be initiated. Included procedures for external lead cases to follow procedures in 25.25.8.7, Responding to Taxpayer Inquiries. Revised procedures when the check meets Limited Payability criteria and has been cashed. IPU 26U0178 issued 02-02-2026.

(61) IRM 21.4.2.4.3(2) - For clarity added new paragraph 2 to provide procedures if a refund trace has been started on an account with RIVO indicators present. IPU 26U0178 issued 02-02-2026.

(62) IRM 21.4.2.4.4 - Updated throughout to streamline information for ease of research, updates made as result of clearance review.

(63) IRM 21.4.2.4.4(1) - For consistency added information to research AMS to aid in researching previously traced refunds. IPU 25U3651 issued 10-21-2025.

(64) IRM 21.4.2.4.4(1) - For clarity added information about BMF direct deposit starting in January 2026. IPU 25U3651 issued 10-21-2025.

(65) IRM 21.4.2.4.4(1) - For clarity and understanding combined second reminder about BMF not meeting OSA and note about sending 4442 into procedures throughout the If, And, Then chart. IPU 25U3651 issued 10-21-2025.

(66) IRM 21.4.2.4.4(1) - For clarity and understanding updated reminder to review AMS comments left from a previous contact for the date, amount, document locator number (DLN) and refund schedule number (RSN) of the refund previously traced. IPU 26U0178 issued 02-02-2026.

(67) IRM 21.4.2.4.4(1) - For clarity provided updated procedures for sending Form 4442/e-4442 to Refund Inquiry when no control base is present. IPU 26U0382 issued 04-01-2026.

(68) IRM 21.4.2.4.4(1) - For clarity provided updated procedures for response to taxpayer calling about Form 13818 in boxes 15, 16, 17 and 18. IPU 26U0382 issued 04-01-2026.

(69) IRM 21.4.2.4.4(4) - For consistency added procedures for when Form 4442/e-4442 are received in Refund Inquiry.

(70) IRM 21.4.2.4.4.1 - For clarity renamed section to indicate updated procedures for Status 11 cases. IPU 26U0178 issued 02-02-2026.

(71) IRM 21.4.2.4.4.1 - Updated throughout to streamline information for ease of research, updates made as result of clearance review.

(72) IRM 21.4.2.4.4.1(1) (a) - For consistency added information to research AMS to aid in researching previously traced refunds. IPU 25U3651 issued 10-21-2025.

(73) IRM 21.4.2.4.4.1(1) (b) - For consistency added information to research AMS to aid in researching previously traced refunds. IPU 25U3651 issued 10-21-2025.

(74) IRM 21.4.2.4.4.1(1) - Updated due to BFS policy changes for reclamation credits, added new paragraph to provide instruction when returned refund is found after previous refund trace. Subsequent paragraphs are renumbered. IPU 26U0178 issued 02-02-2026.

(75) IRM 21.4.2.4.4.1(2) - For clarity added new paragraph to provide instruction for refunds older than 12 months to see limited payability procedures. Subsequent paragraphs are renumbered. IPU 26U0178 issued 02-02-2026.

(76) IRM 21.4.2.4.4.1(3) - For clarity added new paragraph to provide instruction for phone CSRs when disposition code is 11 and category PAID is on IDRS. Subsequent paragraphs are renumbered. IPU 26U0178 issued 02-02-2026.

(77) IRM 21.4.2.4.4.1(3) (a) - For clarity removed the note advising to follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.) as no letter is being sent. IPU 26U0178 issued 02-02-2026.

(78) IRM 21.4.2.4.4.1(3) (c) - For clarity added procedures for when the taxpayer received the claims package, but the check attached does not belong to the taxpayer. IPU 26U0178 issued 02-02-2026.

(79) IRM 21.4.2.4.4.1(3) (d) - For clarity added procedures to leave AMS history of information given to the taxpayer. IPU 26U0178 issued 02-02-2026.

(80) IRM 21.4.2.4.4.1(5) - For clarity added procedures if a subsequent claim is received. IPU 26U0178 issued 02-02-2026.

(81) IRM 21.4.2.4.5(2) (c) - For clarity advised holding case in suspense for 45 days when Status 11 is received and tax examiner is sending letter 206C to the taxpayer to allow for refund return from BFS. IPU 26U0382 issued 04-01-2026.

(82) IRM 21.4.2.4.5(2) (e) - For clarity updated to advise funds will be returned to IRS instead of replacement check being issued to the taxpayer. Also added note to advise of procedures prior to September 2025 for replacement refund checks. IPU 26U0382 issued 04-01-2026.

(83) IRM 21.4.2.4.5(4) - Updated to include timeframe when working cases in refund inquiry, updates made as result of clearance review.

(84) IRM 21.4.2.4.6 - For consistency revised time frame for limited payability to 12 months. IPU 25U3651 issued 10-21-2025.

(85) IRM 21.4.2.4.7 - Updated throughout to remove reference to paper cases as Refund Inquiry work has been integrated to Correspondence Imaging Inventory (CII), updates made as result of clearance review.

(86) IRM 21.4.2.4.7(1) - For clarity included time frame about Limited Pay Cancellations credit return to IRS. IPU 25U3651 issued 10-21-2025.

(87) IRM 21.4.2.4.7(2) - For consistency revised time frame for limited payability to 12 months. IPU 25U3651 issued 10-21-2025.

(88) IRM 21.4.2.4.7(3) - For consistency revised time frame for limited payability to 12 months and included time frame about Limited Pay Cancellations credit return to IRS. IPU 25U3651 issued 10-21-2025.

(89) IRM 21.4.2.4.7(5) - For consistency revised time frame for limited payability to 12 months. IPU 25U3651 issued 10-21-2025.

(90) IRM 21.4.2.4.7(5) (6) - For clarity updated to advise all LP claims received after the last day of the 12th month must be processed by the IRS. IPU 26U0178 issued 02-02-2026.

(91) IRM 21.4.2.4.7(5) (7) - For clarity updated to advise of procedures for physical paper cases and cases worked in CII. IPU 26U0178 issued 02-02-2026.

(92) IRM 21.4.2.4.7(5) (8) - For clarity updated to move paragraph about Form 13818 returned as undeliverable to the end of the section. IPU 26U0178 issued 02-02-2026.

(93) IRM 21.4.2.4.7(6) - For clarity added information about Form 13818 and prisoner claims. IPU 25U3651 issued 10-21-2025.

(94) IRM 21.4.2.4.7(6) (4) - For clarity added reminder that all LP claims received after the last day of the 12th month must be processed by the IRS. IPU 26U0178 issued 02-02-2026.

(95) IRM 21.4.2.4.7(6) (5) - For better inventory management, removed paragraph, remaining paragraphs are re-numbered. IPU 26U0178 issued 02-02-2026.

(96) IRM 21.4.2.4.7(6) (5) - For clarity updated to advise of procedures for physical paper cases and cases worked in CII. IPU 26U0178 issued 02-02-2026.

(97) IRM 21.4.2.4.7(7) - For consistency revised procedures for limited payability claims to close control once From 13818 is sent to taxpayer and removed additional procedures to suspend case waiting for reply. IPU 25U3651 issued 10-21-2025.

(98) IRM 21.4.2.4.7(8) - For consistency revised time frame for limited payability to 12 months. IPU 26U0178 issued 02-02-2026.

(99) IRM 21.4.2.4.7.1(5) - Updated for inclusion of additional block and serial number used for cases where forgery was established and a reclamation claim credit was issued to IRS. IPU 26U0516 issued 05-11-2026.

(100) IRM 21.4.2.4.11 - Updated throughout to remove reference to paper cases as Refund Inquiry work has been integrated to Correspondence Imaging Inventory (CII), updates made as result of clearance review.

(101) IRM 21.4.2.4.11(3) (a) - For consistency added to send Form 13818 to the taxpayer if not received with taxpayer’s claim of forgery. IPU 26U0178 issued 02-02-2026.

(102) IRM 21.4.2.4.11(3) (b) - For consistency added to send another copy of the refund check with Form 13818 to the taxpayer. IPU 26U0178 issued 02-02-2026.

(103) IRM 21.4.2.4.11(3) (d) - For clarity added reason to suspend case to allow taxpayer time to respond to the requested information on Form 13818. IPU 26U0178 issued 02-02-2026.

(104) IRM 21.4.2.4.11(3) (e) - For consistency added information to follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses. IPU 25U3651 issued 10-21-2025.

(105) IRM 21.4.2.4.11(4)(b) - For clarity added direction to review IRM 21.3.3.4 Correspondence Procedures and IRM 21.3.3.4.2 Policy Statement P-21-3 procedures before issuing a final correspondence response if additional correspondence is received, updates made as result of clearance review.

(106) IRM 21.4.2.4.11(5) box 1- To include missing procedure, updated to include procedures when taxpayer replies that they cashed the check. Addition of row shifted all subsequent rows down. IPU 26U0178 issued 02-02-2026.

(107) IRM 21.4.2.4.11(5) box 6 - Updated to include procedures when no endorsement on check and no reply is received from bank. IPU 25U3651 issued 10-21-2025.

(108) IRM 21.4.2.4.11(6) (c) - For consistency added information to follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses. IPU 25U3651 issued 10-21-2025.

(109) IRM 21.4.2.4.12(1) - For clarity revised information for FS Form 1133 to provide procedures when form is received by IRS refund inquiry. IPU 25U3651 issued 10-21-2025.

(110) IRM 21.4.2.4.12(1) - For consistency added information to follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses. IPU 25U3651 issued 10-21-2025.

(111) IRM 21.4.2.4.12.1(1) - For clarity added procedures for undeliverable FS Form 1133 to mail the package to the payee’s current address. IPU 25U3651 issued 10-21-2025.

(112) IRM 21.4.2.4.12.1(2) - For clarity revised information for FS Form 1133 to provide procedures when form is received by IRS refund inquiry. IPU 25U3651 issued 10-21-2025.

(113) IRM 21.4.2.4.13(1) - For consistency with new procedures provided by Bureau of the Fiscal Service, updated to advise that refund checks cashed over forged endorsement will no longer be replaced by BFS, but rather have funds returned to IRS for reissuance. IPU 26U0178 issued 02-02-2026.

(114) IRM 21.4.2.4.13(1) note - For clarity provided updated procedures for creating cases in CII when CDN is received, also provided guidance for closing case as MISC. IPU 26U0178 issued 02-02-2026.

(115) IRM 21.4.2.4.13(3) - For ease of research reworked paragraphs with CDN literals into a chart, subsequent paragraphs are renumbered added link to IRM 20.2.4.8.5.3, Non-Receipt of Refund Check for information when calculating interest. IPU 26U0606 issued 06-05-2026.

(116) IRM 21.4.2.4.13(4) - For consistency with new procedures provided by Bureau of the Fiscal Service, added procedures to monitor for the posting of the credit and take appropriate action to release the funds to the taxpayer. Also added when working a CII case, link the CDN case to the related refund claim if available and close case. IPU 26U0178 issued 02-02-2026.

(117) IRM 21.4.2.4.13(4) - For inclusion of prior cases added instruction for cases where a replacement check was issued by BFS. To include missing information added instructions for when RIVO is discovered after funds are returned. To correct prior information, updated DLN for reclamation credits received on forgery cases. IPU 26U0382 issued 04-01-2026.

(118) IRM 21.4.2.4.13(4) - For clarity of informational only or duplicate CDN added instruction for possible TC 841 posting to account. IPU 26U0382 issued 04-01-2026.

(119) IRM 21.4.2.4.13(4) - Updated for inclusion of additional block and serial number used for cases where forgery was established and a reclamation claim credit was issued to IRS. IPU 26U0516 issued 05-11-2026.

(120) IRM 21.4.2.4.13(1) and (4) - For ease of reading separated paragraphs into two paragraphs, subsequent paragraphs have been renumbered. Added missing information for decedent accounts to if then chart for CDN responses.

(121) IRM 21.4.2.4.13(5) - For consistency with new procedures provided by Bureau of the Fiscal Service, added procedures to update case notes with information supplied when multiple CDNs are supplied for one check claim. IPU 26U0178 issued 02-02-2026.

(122) IRM 21.4.2.4.13(5) - For inclusion of missing procedures added instructions for cases with open External Lead controls. IPU 26U0606 issued 06-05-2026.

(123) IRM 21.4.2.4.13(6) - For consistency with new procedures provided by Bureau of the Fiscal Service, updated to advise to releasing reclamation claims to the taxpayer and provide information about allowable interest as well as provide a date of change for procedures. IPU 26U0178 issued 02-02-2026.

(124) IRM 21.4.2.4.13(7) - For consistency removed guidance for closing paper cases. IPU 26U0178 issued 02-02-2026.

(125) IRM 21.4.2.4.13(8) - For consistency with new procedures provided by Bureau of the Fiscal Service, updated to provide instruction for locating CDN information on TCIS. IPU 26U0178 issued 02-02-2026.

(126) IRM 21.4.2.4.13(9) - For clarity provided updated link to procedures if the CDN notes that "the claims package has been returned as undeliverable by the U.S. Postal Service". IPU 26U0178 issued 02-02-2026.

(127) IRM 21.4.2.4.13(9) - For clarity added procedures for CDN which indicates "the claims package has been returned as undeliverable by the U.S. Postal Service" to mail the package to the payee’s current address. IPU 25U3651 issued 10-21-2025.

(128) IRM 21.4.2.4.14(4) - For consistency updated procedures to change case to category code RECL when sending Form 6565 to accounting to align with Exhibit 21.4.2-6. IPU 26U0178 issued 02-02-2026.

(129) IRM 21.4.2.4.14(5) - For clarity updated to include step list of procedures to follow for refund release after TC 841 posting. IPU 26U0516 issued 05-11-2026.

(130) IRM 21.4.2.4.14(5) - For consistency added link to IRM 20.2.4.8.5.3, Non-Receipt of Refund Check for information when calculating interest. IPU 26U0606 issued 06-05-2026.

(131) IRM 21.4.2.4.15.3.1(3) - For consistency with new procedures provided by Bureau of the Fiscal Service, removed reminder that BFS will send the settlement check to the payee if forgery is determined at their agency. IPU 26U0178 issued 02-02-2026.

(132) IRM 21.4.2.4.15.3.1(4) - For consistency added procedures for reclamation credits received in inventory from AMRH. IPU 26U0382 issued 04-01-2026.

(133) IRM 21.4.2.4.15.3.1(4) - Updated for inclusion of additional block and serial number used for cases where forgery was established and a reclamation claim credit was issued to IRS. IPU 26U0516 issued 05-11-2026.

(134) IRM 21.4.2.4.15.3.1(4) - For consistency with updated AMRH procedures added information to express how transcripts received in AMRH with prior Refund Inquiry controls will be scanned in CII. Also added procedures for Refund Inquiry to follow in working these transcript cases. IPU 26U0606 issued 06-05-2026.

(135) IRM 21.4.2.4.15.3.3(1) - For consistency with new procedures provided by Bureau of the Fiscal Service, removed reminder that BFS will send the settlement check to the payee if forgery is determined at their agency. IPU 26U0178 issued 02-02-2026.

(136) IRM 21.4.2.4.15.5(6) - For consistency updated procedures for category code PAID to align with new procedures provided by Bureau of the Fiscal Service. IPU 26U0178 issued 02-02-2026.

(137) IRM 21.4.2.4.15.5.1 - Updated to include new report names and procedures due to system changes at BFS. IPU 26U0382 issued 04-01-2026.

(138) IRM 21.4.2.4.16 - For consistency updated whole section to identify the Where’s My Refund (WMR) Voicebot replacing refund inquiry. IPU 25U3651 issued 10-21-2025.

(139) Exhibit 21.4.2-1(2) - For clarity updated to advise that either a POA or TIA can begin refund trace. IPU 25U3651 issued 10-21-2025.

(140) Exhibit 21.4.2-1(2) - Updated reminder to clarify that address change requested by POA or TIA do not fall under OSA authority. IPU 25U3651 issued 10-21-2025.

(141) Exhibit 21.4.2-1(2) - For correction removed indications from paragraph for TIA to be able to start a refund trace. IPU 26U0178 issued 02-02-2026.

(142) Exhibit 21.4.2-1(2) - For correction moved alpha listing to within paragraph tags. IPU 26U0178 issued 02-02-2026.

(143) Exhibit 21.4.2-1(4) - For consistency added information to annotate AMS with the date, amount, document locator number (DLN) and refund schedule number (RSN) of the refund being traced for future reference. IPU 25U3651 issued 10-21-2025.

(144) Exhibit 21.4.2-1(4) - For correction moved alpha listing to within paragraph tags. IPU 26U0178 issued 02-02-2026.

(145) Exhibit 21.4.2-1(4) - For ease of research moved information about IAT controls from paragraph 8 to paragraph 4, added information for Refund Inquiry to start trace under current control. IPU 26U0382 issued 04-01-2026.

(146) Exhibit 21.4.2-1(5) - For clarity updated to advise procedures that follow are for use when IAT is not available or outside AM. IPU 26U0382 issued 04-01-2026.

(147) Exhibit 21.4.2-1(6) - To condense information moved information about accessing CC TXMOD from paragraph 5 to paragraph 6. IPU 26U0382 issued 04-01-2026.

(148) Exhibit 21.4.2-1(7) - For correction moved alpha listing to within paragraph tags. IPU 26U0178 issued 02-02-2026.

(149) Exhibit 21.4.2-1(8) - To condense information and better flow moved information about reassigning the control base from paragraph 8 to paragraph 4. IPU 26U0382 issued 04-01-2026.

(150) Exhibit 21.4.2-1 - Updated entire section for clarity and to reduce duplicated information, update made as result of clearance review.

(151) Exhibit 21.4.2-1(10) - For consistency added procedures for refund inquiry to re-input refund trace if three weeks have passed and no disposition code has been received. IPU 25U3651 issued 10-21-2025.

(152) Exhibit 21.4.2-2 - For consistency with new procedures provided by Bureau of the Fiscal Service, updated to include procedures when research in TCIS indicates funds have been returned to the IRS and there is not a TC 841 matching the TC 840 or TC 846 date to contact your local Planning and Analysis liaison with the ACH Trace Number/TCIS Trace Number and request the information be forwarded to Headquarters for coordination with BFS for case investigation. IPU 26U0178 issued 02-02-2026.

(153) Exhibit 21.4.2-2 - Updated throughout to remove reference to paper cases as Refund Inquiry work has been integrated to Correspondence Imaging Inventory (CII), updates made as result of clearance review.

(154) Exhibit 21.4.2-2 Disposition Status Code 06 - For clarity added 86C letter as an option for referring cases to BFS. IPU 26U0382 issued 04-01-2026.

(155) Exhibit 21.4.2-2 Disposition Status Code 08 - For clarity added procedures for cases where credit has been returned. IPU 25U3651 issued 10-21-2025.

(156) Exhibit 21.4.2-2 Disposition Status Code 09 - For clarity added procedures for cases where credit has been returned. IPU 25U3651 issued 10-21-2025.

(157) Exhibit 21.4.2-2 Disposition Status Code 09 - For clarity perfected procedures for printing the claims detail screen or FS Form 150.1 from TCIS to accommodate the new TCIS information. IPU 26U0382 issued 04-01-2026.

(158) Exhibit 21.4.2-2 Disposition Status Code 10 - For clarity added procedures for cases where credit has been returned. IPU 25U3651 issued 10-21-2025.

(159) Exhibit 21.4.2-2 Disposition Status Code 11 - For consistency updated procedures for status 11 cases to wait for final disposition to align with new procedures provided by Bureau of the Fiscal Service. IPU 26U0178 issued 02-02-2026.

(160) Exhibit 21.4.2-2 Disposition Status Code 11 - To update procedures removed requirement to send 206C letter to taxpayer when BFS has sent claim package and added suspense go from date for better inventory control. IPU 26U0516 issued 05-11-2026.

(161) Exhibit 21.4.2-2 Disposition Status Code 11 - Updated to streamline procedures and remove duplicated information, updates made as result of clearance review.

(162) Exhibit 21.4.2-3 - Updated to incorporate updates for Executive Order 14249- Protecting America's Bank Account, added code: 06, description: beneficiary of account holder deceased, transaction code: 841 and Block and Serial Number: 77717. IPU 26U0606 issued 06-05-2026.

(163) Exhibit 21.4.2-3 - Updated to add definitions to Code 09 for Reclamation and Payment Over Cancellation (POC).

(164) Exhibit 21.4.2-5 - To include missing information included procedures for documentation received while staffing toll-free lines. IPU 26U0382 issued 04-01-2026.

(165) Exhibit 21.4.2-5(2) - For clarity combined and expanded procedures for contacting refund inquiry open controls. IPU 25U3651 issued 10-21-2025.

(166) Exhibit 21.4.2-5(2) - For clarity added procedures to attempt to secure the information via fax while on the call if unable to fax then encourage the taxpayer to follow the direction given in the letter received. IPU 26U0178 issued 02-02-2026.

(167) Exhibit 21.4.2-5(2) Disposition Status Code 06 - For consistency added missing disposition instructions. IPU 25U3651 issued 10-21-2025.

(168) Exhibit 21.4.2-5(2) Disposition Status Code 11 - For consistency updated procedures for status 11 cases to wait for final disposition to align with new procedures provided by Bureau of the Fiscal Service. IPU 26U0178 issued 02-02-2026.

(169) Exhibit 21.4.2-5(2) Disposition Status Code 32 - For clarity added procedures to follow when control is closed systemically. IPU 26U0382 issued 04-01-2026.

(170) Exhibit 21.4.2-5(2) Disposition Status Code 33 - For consistency added missing disposition instructions. IPU 25U3651 issued 10-21-2025.

(171) Exhibit 21.4.2-6- To include missing information added information for RECL cases received in AMRH transcript inventory and transferred to Refund Inquiry inventory.

(172) Exhibit 21.4.2-6 - For consistency added procedures for reclamation credits received in inventory form AMRH. IPU 26U0382 issued 04-01-2026.

(173) Exhibit 21.4.2-7 - Created new Exhibit to include information for TCIS Claim Detail. IPU 26U0382 issued 04-01-2026.

(174) Exhibit 21.4.2-7 - Added additional information received from BFS for TCIS claim Detail screen, including Explanation and FI notes. IPU 26U0516 issued 05-11-2026.

(175) IRM 21.4.2 - Editorial changes have been made throughout the IRM for clarity and to include Live Chat as a form of communication to align with IMF International Live Chat Expansion. Reviewed and updated plain language, grammar, web addresses, IRM references, and legal references. IPU 26U0516 issued 05-11-2026.

(176) IRM 21.4.2 - Artificial Intelligence (AI) tools were used to make editorial changes including plain language revisions, correcting punctuation and grammar, and adhering to IRM style format.

Effect on Other Documents

IRM 21.4.2, Refund Trace and Limited Payability, dated August 21, 2025, (effective October 1, 2025) is superseded. This IRM incorporates Interim Procedural Updates (IPU) 25U3651 (effective 10-21-2025), 26U0178 (effective 02-02-2026), 26U0382 (effective 04-01-2026), 26U0516 (effective 05-11-2026), 26U0606 (effective 06-05-2026).

Audience

Employees located in all business operating divisions who have contact with taxpayers either on the phone, by correspondence, Live Chat, or personal contact.

Effective Date

(10-01-2026)

LuCinda J Comegys
Director, Accounts Management
Taxpayer Services

21.4.2.1 (10-01-2026)

Program Scope and Objectives

  1. Purpose: This IRM provides instructions for Customer Service Representatives and Taxpayer Assistance Center employees who respond to taxpayer refund inquiries. It explains the procedures for processing refund traces, limited payability cases, and related refund inquiries encountered during their daily work.
  2. Audience: The primary users of the IRM are all the IRS employees in Business Operating Divisions (BODs) who are in contact with taxpayers by telephone, correspondence, Live Chat, or in person.
  3. Policy Owner: The policy owner of this IRM is the director of Accounts Management.
  4. Program Owner: The program owner of this IRM is Accounts Management, Policy and Procedures IMF (PPI), Individual Adjustments.

  5. Primary Stakeholders: The primary stakeholders are organizations that Accounts Management collaborates with including:

    • Taxpayer Services (TS) Service Centers
    • Submission Processing (SP)
    • Customer Assistance-Relationship and Education (CARE)
    • Small Business/ Self Employed (SB/SE) Service Centers
    • Compliance
    • Return Integrity and Verification Operations (RIVO)
    • Criminal Investigation (CI)

     

  6. Program Goals: The program goals for this type of work are:

    • Provide high-quality service to telephone and face-to-face customers
    • Achieve a high customer accuracy rate for phone calls and paper adjustments related to unpostable transactions
    • Resolve paper adjustment cases related to unpostable transactions efficiently using taxpayer-provided documentation in accordance with IRS policy and procedures
    • Continuously assess program vulnerabilities and identify opportunities for improvement
    • Communicate effectively with customers and stakeholders

    The Accounts Management Program Letter on the AM website has more information on these goals. A copy of the Accounts Management Program Letter can also be found in IRM 1.4.16, Accounts Management Guide for Managers.

     

21.4.2.1.1 (10-01-2026)

Background

  1. Employees in the Accounts Management organization respond to taxpayer inquiries and phone calls, and Live Chats as well as process claims, and internal adjustment requests related to Refund Claims. This IRM provides specific guidance for responding to refund inquiries, tracing direct deposit and paper refunds and reissuing refunds that have been cancelled due to limited payability.
21.4.2.1.2 (10-01-2026)

Authority

  1. The authorities for this IRM are found in IRM 1.2.1.2, Policy Statements for Organization, Finance and Management Activities, and include:

    • IRS Restructuring and Reform Act (RRA 98) Section 3705(a), enacted on July 22, 1998
    • The Protecting Americans from Tax Hikes (PATH) Act, enacted December 18, 2015
    • The Disaster Tax Relief and Airport and Airway Extension Act of 2017, enacted on September 29, 2017
    • Tax Cuts and Jobs Act (TCJA) (Public Law 115-97), enacted on December 22, 2017
    • The Bipartisan Budget Act of 2018, enacted on February 9, 2018
    • The Coronavirus Aid, Relief, and Economic Security (CARES) Act, enacted on March 27, 2020
    • The Consolidated Appropriations Act, 2021, enacted on December 27, 2020
    • The American Rescue Plan Act of 2021, enacted on March 11, 2021
    • The Inflation Reduction Act of 2022 and CHIPS Act, enacted on August 16, 2022
    • Working Families Tax Cuts (WFTC), enacted on July 4, 2025
    • IRC 965, Treatment of deferred foreign income upon transition to participation exemption system of taxation
    • IRC 6103 (m)(1), Disclosure Of Taxpayer Identity Information, Tax Refunds
    • IRC 6201, Assessment authority
    • IRC 6204, Supplemental assessments
    • IRC 6212, Notice of deficiency
    • IRC 6402, Authority to Make Credits or Refunds
    • IRC 6511, Limitations On Credit Or Refund
    • IRC 6601, Interest on underpayment, nonpayment, or extensions of time for payment, of tax
    • IRC 7508A, Authority to postpone certain deadlines by reason of federally declared disaster, significant fire, or terroristic or military actions
    • IRC 7801, Authority of Department of the Treasury
    • IRC 7805, Rules and Regulations
    • Title 31, Money and Finance
    • Policy Statement 5-2, Collecting Principles
    • Policy Statement 10-2, Privacy First: Protecting Privacy and Safeguarding Confidential Tax Information
    • Policy Statement 21-1, Service Commitment to Taxpayers Service Program
    • Policy Statement 21-2, The public impact of clarity, consistency, and impartiality in dealing with tax problems must be given high priority
    • Policy Statement 21-3, Timeliness and Quality of Taxpayer Correspondence
    • Policy Statement 21-4, One-stop service defined
    • Policy Statement 21-5, Assistance furnished to taxpayers in the correction of accounts
    • Policy Statement 21-6, Monitoring Employee Contacts with Taxpayers

     

21.4.2.1.2.1 (10-01-2019)
Authority - Refund Claims

  1. The IRS completes the exercise of its authority under:

    • IRC 6402 for issuing a refund check when it sends a check to a taxpayer’s last known address, and if the check is returned as undelivered, consider any subsequently obtained information concerning the taxpayer’s actual address in deciding whether to re-send the check. If a taxpayer asserts that a Treasury check was never received, the assertion is not a new claim; it is a continuation of the claim for refund under IRC 6402. If the refund trace shows the taxpayer did not receive the check, the IRS will provide a recertification of replacement payment request.

     

  2. To complete the exercise of its authority under IRC 6402 for issuing a refund check the IRS must:
     

    1. Send a check to a taxpayer’s last known address (LKA) or, if so authorized, the address of the taxpayer’s representative.
    2. If the check is returned as undelivered, there may be an indication in the taxpayer’s tax account which would provide evidence for the IRS to reissue the check when the taxpayer makes the claim. The tracing procedures are at IRM 21.4.3.5.3, Undeliverable Refund Checks.
    3. The updating of the address on the account may resolve the matter. Treas. Reg. 301.6212–2(a) defines last known address (LKA) as the address that appears on the most recently filed and properly processed Federal tax return, unless the IRS is given clear and concise notification of another address. Rev. Proc. 2010-16 establishes procedures for taxpayers to notify the IRS of a change of address which may include oral notification. IRM 21.4.2.4, Refund Trace Actions, at (5) provides guidance for an acceptable oral statement.
    4. If a taxpayer claims a check was never received, but the IRS has no record that the check was returned unclaimed, the IRS may need to trace the mailing even if it was mailed to the LKA. See Bolnick v. Commissioner, 44 T.C. 245, 259 (1965), acq. 1980-1 C.B. 1 (Taxpayer moved from the address listed on their return shortly after filing it; the IRS failed to present evidence that the check would be forwarded to the new residence in the course of delivery of the mail).

     

  3. If the IRS completes all applicable actions described in IRM 21.4.2.1.2, Authority, and authorized under IRC 6402, and determines that, based on its account records, no other payment or a credit has been/will be made for the overpayment, it may not certify a replacement check under the IRC 6402; instead, it may process the claim under Title 31.
  4. In general, the IRS takes all applicable actions described in IRM 21.4.2.1.2, Authority, and authorized under IRC 6402, even if the representative misappropriates and negotiates the check; see Abeson v. Commissioner, T.C. Memo. 1990–190, 1990 WL 40955 *17, affd. without published opinion sub nom. Rivera v. Commissioner, 959 F.2d 241 (9th Cir.1992). See also Your Insurance Needs Agency, Inc. v. U.S., 274 F.3d 1001, 1005, fn 15 (5th Cir. 2001).
  5. If the refund trace shows the IRS did not complete all applicable actions described in IRM 21.4.2.1.2, Authority, and authorized under IRC 6402, Accounts Management (AM) will recommend certification of a replacement payment.

  6. An assertion that a direct deposit was not received is not a new claim. It is a continuation of the original claim for refund. See IRC 6402. If the IRS must demonstrate that it properly issued the refund by direct deposit, it must show that the refund was deposited into the bank account designated by the taxpayer on the return using the routing transit number (RTN) and account number provided by the taxpayer. See IRC 6402.

    Note:

    The IRS can contact the financial institution and ask that it attempt to persuade the incorrect account owner to return the misdirected funds. See IRM 21.4.1.5.7.6, Non-Receipt of Direct Deposited Refunds - “Refund Inquiry Employees”. While the financial institution is required to take corrective action when the mistake is its own, it generally is not required to take action if a taxpayer makes the mistake. IRC 6402(n), added by section 1407 of the Taxpayer First Act, Pub L. 116-25 (TFA), requires Treasury to prescribe regulations to establish procedures to allow for coordination with financial institutions to recover misdirected direct deposits of tax refunds and provide a refund to be delivered to the correct account of a taxpayer. On December 22, 2020, the final regulations required by TFA section 1407 were issued. Those final regulations amended Treas. Reg. 301.6402-2 to provide procedures for identifying, reporting, and reissuing misdirected refunds.

     

21.4.2.1.2.1.1 (10-01-2019)
Refund Issued by Check

  1. How the IRS satisfies IRC 6402:

    1. Using address provided by claimant. Under IRC 6402(a) the payee is the person who made the overpayment. A refund check may be mailed directly to the payee or to a representative who has filed a power of attorney (POA) in which the payee has specifically authorized that representative to receive a check issued in the name of the payee. Treas. Reg. 301.6402-2(f)(1). The regulation does not specify how the IRS is to determine the address of the payee or the POA. Courts have stated that the IRS fulfills its obligation under the regulations by mailing refund checks to the address listed on the taxpayer's return claiming the refund. See Abeson v. Commissioner, T.C. Memo 1990-190, 1990 WL 40955 at *17, affd. without published opinion sub nom., Rivera v. Commissioner, 959 F.2d 241 (Table) (9th Cir. 1992). See also Your Insurance Needs Agency, Inc. v. U.S., 274 F.3d 1001, 1006 (5th Cir. 2001) referencing Abeson in its holding. And see Clark v. U.S., 326 F.3d 911, 914, (7th Cir. 2003) mentioning Your Ins. Needs Agency, Inc. with approval.

    2. Updating address. A check should not be mailed to the address listed on the taxpayer's return if the address has been updated pursuant Treas. Reg. 301.6212–2(a) which provides procedures for determining “last known address (LKA).” The LKA is the address that appears on certain of the most recently filed and properly processed tax returns unless the IRS is given clear and concise notification of another address. Section 5.01 of Rev. Proc. 2010-16 lists those returns. The LKA in the IRS database is automatically updated through United States Postal Service’s (USPS) National Change of Address database.

      Note:

      If the IRS does not update an address, it might fail to complete the exercise of its IRC 6402 authority.

      Caution:

      If the IRS is aware that the LKA is not the correct address of the payee or POA, it should not mail the check there as it might bear the risk of loss and have to issue a second check.

      Note:

      In contrast to the mailing of checks, the mailing of documents does not involve a risk of loss. The IRS will mail documents to an address that appears to be the correct address; but it also mails them to the LKA. The use of the LKA ensures the IRS complies with statutory requirements to provide the taxpayer with notice while the use of the apparently correct address means the IRS exercised due diligence in notifying the taxpayer.

       

    3. If the check is returned as undelivered, consider any subsequently obtained information concerning the taxpayer’s actual address in deciding whether to re-send the check. Letter 533C, Refund Check Undelivered or Not Negotiated, and CP 231, Undelivered Refund Check, may be used to inform taxpayers that a refund check was returned undelivered and to request a correct address. IRM 21.4.3.5.3.1, Undelivered Refund Notices.

      Note:

      When there is no contact in response to correspondence, the IRS may prepare an Annual Listing of Undelivered Refund Checks and use the press or other media to notify taxpayers of undelivered refunds as authorized by IRC 6103 (m)(1).

       

    4. Section 5.04 of Rev. Proc. 2010-16 establishes procedures for taxpayers to notify the IRS of a change of address which may include oral notification. IRM 21.4.2.4, Refund Trace Actions, at (5) provides guidance for an acceptable oral statement. IRM 21.4.2.4.1, Form 3911, Taxpayer Statement Regarding Refund, provides guidance if the contact does not meet oral statement criteria.

     

  2. Sufficiency of documentation to show IRC 6402 is satisfied:

    1. Burden. The Government bears the initial burden of showing that the refund check was properly issued; the Government generally enjoys a presumption of official regularity in its acts which assists in meeting the burden. The burden shifts to the claimant to show that the claimant never received the check. The burden shifts back to the Government to show the results of tracing the mailing.

    2. Tracing. The need for tracing was established in Bolnick v. Commissioner, 44 T.C. 245, 259 (1965), acq. 1980-1 C.B. 1 (Taxpayer moved from the address listed on their return shortly after filing it; the IRS failed to present evidence that the check would be forwarded to the new residence in the course of delivery of the mail). The tracing procedures at IRM 21.4.3.5.3, Undeliverable Refund Checks, address Bolnick-related concerns. The taxpayer generally will have provided information on Form 3911, Taxpayer Statement Regarding Refund, before filing the claim which allows the IRS to check whether the United States Postal Service (USPS) forwarded the refund check to an address on file with the local post office.

      Note:

      Treasury does not keep records of check payments older than 7 years from the date of the check.

       

    3. The Government does not have to show a refund check was cashed despite an indication to the contrary in Scott v. U.S. (1991 DC CA), 1991 WL 193536 (N.D. Cal. 1991) at *2 which references Bolnick, 44 T.C. at 248 (the correct reference is to 44 T.C 258). In describing the taxpayers’ two claims in Bolnick; which were a refund claim and a claim on a government check, the Tax Court observed that the check had never been cashed; but the Court did not put the burden on the government regarding that observation. The Tax Court allowed the refund claim because the taxpayers met the burden of showing they never received the check and the Government failed to rebut that because it did not have the results of tracing the mailing.

     

  3. IRC 6402 not satisfied:

    1. If the refund trace shows that the IRS did not complete the exercise of its authority under IRC 6402, AM will recommend certification of a replacement payment.

     

21.4.2.1.2.1.2 (10-01-2019)
Refund Issued by Direct Deposit

  1. IRC 6402 is satisfied when the IRS is challenged to show that it completed the exercise of its authority under IRC 6402 for issuing a refund by direct deposit, and it shows that it issued the overpayment to the bank account number and RTN designated by the taxpayer on the return showing the overpayment. The taxpayer generally will provide information on Form 3911, Taxpayer Statement Regarding Refund, which allows the IRS to trace the deposit.

    Note:

    Treasury does not keep records of direct deposits for more than six years from the date of the direct deposit.

     

  2. IRC 6402 is not satisfied if the refund trace shows that the IRS did not complete the exercise of its authority under IRC 6402 because it misdirected the payment. AM will recommend certification of a replacement payment.
21.4.2.1.2.1.3 (10-01-2019)
Period of Limitations for Filing a Claim on the Grounds of Non-receipt
  1. IRC 6511 provides the period of limitations. See IRM 25.6.1.10.3.3, Claims for Credit or Refund - General Time Period for Submitting a Claim.
  2. Because an assertion that a check has not been received is a continuation of the claim that generated the issuance of the refund, the IRS may recertify a refund check presented after the period of limitations, where its account records have sufficient evidence to show that no other payment or a credit has been/will be made for the overpayment. Such records allow the IRS to relate assertion to the claim. The recertification is subject to the Bureau of the Fiscal Service (BFS) approval.
  3. A claimant should provide a written submission addressing the non-receipt of the check which may relate back to the claim that generated the issuance of the refund, to protect the claimant from a finding that the taxpayer failed to act timely because account records may not be adequate for the IRS to relate the assertion to the claim.
21.4.2.1.2.2 (10-01-2019)
Title 31 Claims
  1. Pursuant to 31 CFR. 245.5, when there is a lost or stolen check claim, “the certifying agency [i.e., the IRS] may certify a new payment.”
21.4.2.1.2.2.1 (10-01-2019)
Claims on a Treasury Check
  1. Claims regarding a Treasury check properly issued for a tax refund are processed under authority in Title 31.

  2. The Bureau of the Fiscal Service (BFS) regulations provide for replacement checks for the following circumstances (see 31 CFR. 245.1, Introductory):

    1. A check is considered non-negotiable if it is lost, stolen, destroyed, mutilated, or defaced to the extent that it cannot be negotiated. See Title 31 USC. 3331, Substitute checks. The certifying agency may issue a replacement payment for a check that was not received, lost, destroyed, mutilated, or defaced. See 31 CFR 245.5.

      Note:

      The replacement check, which has a different serial number from the original check, is now called a “recertified check.” Previously, most replacement checks were “substitute checks” which had the same serial number as the original check. Since Treasury implemented the recertification procedure, substitute checks are generally no longer issued.

       

    2. A payment from the check forgery insurance fund (CFIF) established by 31 USC. 3343 for a check that has been negotiated and paid on a forged or unauthorized endorsement and for which a reclamation from the financial institution that honored the forged endorsement is not available.

      Note:

      The IRS does not recertify a payment from the CFIF; it provides information to BFS which will determine whether the claimant established that: (1) the check was lost or stolen without the fault of the payee, (2) the check was negotiated and paid by the Treasurer on a forged endorsement of payee's name, and (3) the payee did not participate directly or indirectly in the proceeds of such negotiation or payment. 31 USC. 3343(b).

       

    3. A check that has been cancelled pursuant to Limited Payability rules for failing to negotiate within the time limits set by 31 USC 3328(a). The certifying agency may certify a new payment. See 31 CFR. 245.5.

      Note:

      31 CFR. 245.5 refers to the cancellation of a check pursuant to “31 CFR. 240.4 of this chapter”; however, Section 240.4 concerns “Presentment guarantees” and the reference is Section 240.5 which concerns “Limitations on payment; cancellation and distribution of proceeds of checks.”

       

     

  3. The IRS is authorized to process a taxpayer’s claim regarding a refund check. See 31 CFR. 245.4, Advice of non-receipt or loss, providing “(a) In the event of the non-receipt, loss or destruction of a check drawn on the United States Treasury, or the mutilation or defacement of such a check to an extent which renders it nonnegotiable, the claimant should immediately notify the agency that authorized the issuance of such check.”

    Note:

    Non-receipt is also addressed under IRC 6402 as part of satisfying the underlying obligation.

     

21.4.2.1.2.2.1.1 (10-01-2019)
Period of Limitations for Filing a Claim on a Treasury Check

  1. Any claim on account of a Treasury check must be presented to the agency that authorized the issuance of such check within 1 year after the date of issuance of the check pursuant to the Competitive Equality Banking Act (CEBA), P.L. 100-86 (1987). See 31 USC 3702(c)(1) and 31 CFR 245.3(a).

    Note:

    The 1-year period applies to a claimant for payment from the CFIF. See American Fuji Seal, Inc. v. U.S., 34 Fed.Cl. 274, 278 (Court of Federal Claims, 1995).

     

  2. The 1-year CEBA limitation does not affect the underlying obligation for which the Treasury check was issued. See 31 USC 3702(c)(2). See also, Payment of Unpaid Treasury Checks More Than 6 Years Old, 73 Comp. Gen. 292 1994 WL 508956 Comp. Gen., (Sept. 13, 1994).

    1. Underlying claim based on IRC. The period underlying a tax claim would be the IRC 6511 period applicable to claims made under IRC 6402; see IRM 21.4.2.1.2.1.3, Period of Limitations for Filing a Claim on the Grounds of Non-receipt.
    2. In general, a claim on the underlying obligation must be brought within six years after the claim accrues unless otherwise provided by law. See Title 31 USC 3702(b)(1) (The Barring Act). The general rule is not applicable to tax refund claims because as indicated above, IRC 6511 provides otherwise.

     

21.4.2.1.2.2.2 (06-11-2024)
Claims for a Direct Deposit

  1. If a financial institution misdirected a direct deposit, the taxpayer generally provides the information on Form 3911, Taxpayer Statement Regarding Refund, so the IRS can trace the deposit. The IRS may initiate a trace by sending FS Form 150.1 to the financial institution. FS Form 150.1 is the Department of the Treasury's official request for the financial institution to trace the electronic funds transfer (EFT) on the taxpayer's behalf. A financial institution must take corrective action if it caused the deposit to be misdirected. See IRM 21.4.1.5.7.6, Non-Receipt of Direct Deposited Refunds - "Refund Inquiry Employees."

    Note:

    The FS Form 150.1 contains possible Personally Identifiable Information (PII) and cannot be sent to the taxpayer.

     

  2. For other causes of non-receipt of a deposit, the Bureau of the Fiscal Service (BFS) has limited authority under Title 31 regarding direct deposits. And BFS cannot use the Check Forgery Insurance Fund (31 USC 3343) to reissue a direct deposit refund to the taxpayer. See IRM 21.4.1.5.7.6 (6), Non-Receipt of Direct Deposited Refunds - “Refund Inquiry Employees”. The IRS, therefore, has no authority from BFS regarding direct deposits that correspond to the authority it has regarding the recertification of refund checks. The IRS can contact the financial institution and ask that it attempt to persuade the incorrect account owner to return the misdirected funds.
  3. As required by section 1407 of the Taxpayer First Act, the IRS and Treasury amended Treas. Reg. 301.6402-2 on December 22, 2020. The amended regulations require coordination between the IRS, BFS, and the financial institution that holds the direct deposit account to which the refund was made to identify and recover a misdirected direct deposit refund. The amended regulations also authorize the IRS to issue a replacement refund when it is determined that a misdirected direct deposit refund has occurred.
21.4.2.1.2.3 (10-01-2019)
Dual Claims and Periods of Limitations

  1. If a claimant has not received a refund and is waiting for the IRS to process Form 3911, Taxpayer Statement Regarding Refund, it may not be clear whether:

    1. The IRS issued the check incorrectly, i.e., to the wrong address or to the wrong person (and, thereby, has not satisfied its underlying obligation under IRC 6402 to issue a refund for an overpayment), or
    2. A third party misappropriated the check (which may provide the grounds for a Title 31 claim) 
       

     

21.4.2.1.3 (10-01-2026)

Roles and Responsibilities

  1. The Taxpayer Services Chief oversees all policies related to this IRM. This IRM is published annually.
  2. The Accounts Management director oversees the IRM content that provides instructions to employees.
  3. Accounts Management Policy and Procedures IMF (PPI) Individual Adjustments, oversee the content in this IRM and acts as the point of contact for all Accounts Management sites.
  4. Managers and leads ensure compliance with the guidance and procedures in this IRM for Refund Trace and Limited Payability case resolution.
  5. Employees respond to taxpayer inquiries and resolve Refund Traces and Limited Payability requests following procedures in this IRM.

  6. The Taxpayer Bill of Rights (TBOR) summarizes existing rights in the tax code, presents them in plain language, and groups them into 10 fundamental rights. Employees must be familiar with and act in accordance with taxpayer rights.

    • IRC 7803(a)(3), Execution of Duties in Accord with Taxpayer Rights
    • For more information about the TBOR, see Taxpayer Bill of Rights

     

  7. Additional information is found in IRM 1.1.13.6.3, Accounts Management, and IRM 21.1.1, Accounts Management and Compliance Services Overview.
21.4.2.1.4 (10-01-2026)

Program Management and Review

  1. Program Reports: The program reports in this IRM help Accounts Management contact representatives (CRs) and tax examiners (TEs) identify applicable reports. For reports concerning quality, inventory, and aged listings, refer to IRM 1.4.16, Accounts Management Guide for Managers. Aged listings are also available through Control Data Analysis, Project PCD, on the Control-D/Web Access server which requires a login.

  2. Program Effectiveness: The program effectiveness of this IRM is measured through the following:

    • National Quality Review System (NQRS)
    • Centralized Evaluative Review (CER)
    • Managerial reviews
    • Quarterly reviews conducted by Accounts Management Policy and Procedures IMF (PPI), Individual Adjustments


    Reviews and analysis must evaluate whether employees use IRM guidance to perform required account actions and duties.

     

  3. Annual Review: The processes in this IRM are reviewed annually to ensure accuracy and promote consistency in tax administration.
21.4.2.1.5 (10-01-2026)

Program Controls

  1. The Federal Managers Financial Integrity Act (FMFIA) of 1982 requires federal agency executives to periodically review and annually report on internal control systems.
  2. The Government Accountability Office (GAO) establishes standards for effective internal control in the federal government.
  3. Program Controls: Quality data and guidelines for measurement are referenced in IRM 21.10.1, Embedded Quality (EQ) for Accounts Management, Campus Compliance, Tax Exempt Government Entities, Return Integrity and Compliance Services (RICS) and Electronic Products and Services Support. The Embedded Quality Review Program (EQRS) is the system used by Accounts Management to review employee work quality. The quality review process monitors, measures, and improves the quality of work. Quality review data provides statistics for the Service’s business results component of Balanced Measures and identifies trends, problem areas, training needs, and opportunities for improvement.
  4. The Centralized Quality Review System (CQRS), operated by the Joint Operations Center (JOC), provides independent quality review services for multiple product lines.
  5. Accounts Management Policy and Procedures IMF (PPI), Individual Adjustments, conducts operational quality reviews. Local quality reviews support employee development and on-the-job instruction. The Accounts Management function may also request local quality reviews for processes not subject to national quality review. Managerial reviews, prepared in EQRS, evaluate employee performance.

  6. Quality Review data helps management measure and improve program effectiveness by identifying the following:

    • Defects resulting from site or systemic actions or inactions
    • Drivers of customer accuracy
    • Reasons for defect occurrence
    • Defect trends
    • Recommendations for corrective action
    • Training needs

     

21.4.2.1.6 (10-01-2026)

Terms and Acronyms

  1. Common acronyms listed throughout IRM:

    AcronymDefinition
    ACHAutomated Clearing House
    AMAccounts Management
    AMSAccounts Management Service
    AOICAutomated Offer in Compromise
    BFSBureau of the Fiscal Service
    BMFBusiness Master File
    BOFDBank of First Deposit
    BTABusiness Tax Account
    CADECustomer Account Data Engine
    CCCommand Code
    CDNClaims Disposition Notice
    CEBACompetitive Equality Banking Act
    CFIFCheck Forgery Insurance Fund
    CI-SDCCriminal Investigation-Scheme Development Center
    CPComputer Paragraph (Notice)
    CSDCenter for Science and Design
    CSRCustomer Service Representative
    DDDirect Deposit
    DLNDocument Locator Number
    EFTElectronic Funds Transfer
    EQEmbedded Quality
    FIFinancial Institution
    FPDFinancial Processing Division
    FRBFederal Reserve Board
    IATIntegrated Automated Tools
    ICCEIntegrated Customer Contact Environment
    IDRSIntegrated Data Retrieval System
    IMFIndividual Master File
    IOLAIndividual Online Account
    IRCInternal Revenue Code
    IRMInternal Revenue Manual
    IRSInternal Revenue Service
    ITASIndividual Taxpayer Advisory Specialists
    LPLimited Payability
    MeFModernized e-File
    MFTMaster File Tax
    MOICMonitoring Offer in Compromise
    NFLNational Forensics Lab
    NMFNon-Master File
    OICOffer in Compromise
    POAPower of Attorney
    POCPayment Over Cancellation
    RACRefund Anticipation Check
    RALRefund Anticipation Loan
    RFCRegional Finance Center
    RIRefund Inquiry
    RICSReturn Integrity and Compliance Services
    RIVOReturn Integrity Verification Operations
    RPMReturn Preparer Misconduct
    RSEDRefund Statute Expiration Date
    RTNRouting Transit Number
    SPIDTSubmission Processing Specialized Identity Theft
    SSSecret Service
    TACTaxpayer Assistance Center
    TASTaxpayer Advocate Service
    TCTransaction Code
    TCISTreasury Check Information System
    TOPTreasury Offset Program
    TSTaxpayer Services
    WMRWhere’s My Refund

     

21.4.2.1.7 (10-01-2026)

Related Resources

  1. Refer to IRM 1.4.2.1.8, Related Resources, for information on related resources that impact internal controls.

  2. Below are additional websites, job aids, or electronic tools that are required to assist in completing work in Accounts Management (AM) (list is not all inclusive):

    • Account Management Services (AMS) is a web-based system that emphasizes the sharing of key business data and provides a consolidated and synchronized view of taxpayer data and contact information from various IRS systems
    • CCJA - IDRS Command Code Job Aid
    • Correspondence Imaging Inventory (CII) may be used for scanning all AM adjustment receipts and correspondence into digital images for case work resolution
    • Correspondex Letters
    • Document 6209 (IRS Processing Codes and Information)
    • Electronic Publishing website may be used to research forms, instructions, publications, and other Internal Revenue Manuals, revenue procedures and IRS announcements
    • Employee User Portal (EUP) is used to view corporate and individual electronic tax returns filed via MeF
    • Integrated Automation Technologies (IAT) Tool Instructions are tools used to simplify taxpayer account processing by assisting the user with IDRS research and input
    • Servicewide Electronic Research Program (SERP) is utilized to find SERP Alerts, IPUs, Correspondex Letters, IRM Supplements and other information
    • Technical Communication Documents (TCD)
    • Bureau of the Fiscal Service - Treasury Check Information System

     

21.4.2.1.8 (02-02-2026)

Refund Trace and Limited Payability Overview

  1. When a refund check is lost, stolen, destroyed, or not received by the taxpayer, a refund trace can be initiated. This section of the IRM provides information and instructions for tracing.

    Note:

    Many U.S. Post Offices will forward the refund check if the taxpayer has a forwarding address on file with the local post office. If this is the case, advise the taxpayer to allow 2 additional weeks to the IDRS refund payment date for receipt of the check. If the check is not received by the end of those 2 weeks, follow normal refund trace procedures.

    Note:

    Because some U.S. Post Offices do not forward refund checks, advise the taxpayer to be sure to change their address with the IRS by filing a Form 8822, Change of Address.

    Caution:

    If the taxpayer says they did not receive their refund and there is some indication identity theft may be involved, see IRM 25.23.12.4, Tax-Related Identity Theft, for additional information, then continue with the guidance in this section.

     

  2. In addition to researching IDRS for prior activity, review Account Management Services (AMS) for prior taxpayer contact.
  3. Command code (CC) CHKCL is used to initiate a refund trace on Integrated Data Retrieval System (IDRS). For CC CHKCL instructions, see Exhibit 21.4.2-1, Command Code (CC) CHKCL Input. To access CC CHKCL, you must be able to access IDRS. See IRM 21.4.3, Returned Refunds/Releases, if there is an S- freeze (Undelivered Refund) on the module. See IRM 21.5.6.4.38, S- Freeze, for additional information on S- freezes.
  4. Refund inquiries are worked in all campuses. Inquiries received in your campus must be worked at your campus, except for the few instances identified in IRM 21.4.2.4, Refund Trace Actions. Do not forward work to another campus unless the campus specifically requests that you forward the case to them. The case request must be in writing and signed by the requesting employee's manager. For fax numbers and addresses, see Refund Inquiry Unit Addresses, located on Servicewide Electronic Research Program (SERP) under the Who/Where tab.
  5. The IRS works with other Federal agencies to trace refunds. Bureau of the Fiscal Service (BFS), including its Regional Financial Centers (RFCs), play key roles.
  6. BFS, an agency in the Treasury Department, issues and maintains records relating to United States (U.S.) Treasury checks and Electronic Funds Transfer (EFT) deposits. BFS headquarters are located in Washington, DC.
  7. Pursuant to 31 CFR. §245.5, the IRS is authorized to certify second payments to payees who did not receive their refund checks or whose check was lost, stolen, or destroyed. In case of forgery, BFS returns payments to IRS for reissuance, and notifies the IRS to input transaction code (TC) 971, action code (AC) 078 or AC 079 on Master File.
  8. BFS is responsible for making refund offsets for debts including federal non-tax debts, child support, state tax debts and unemployment insurance. This is referred to as the Treasury Offset Program (TOP). See 26 IRC 6402. Refunds will be offset after the IRS certifies them to BFS for payment but before the refund check or direct deposit is issued/made. See IRM 21.4.6, Refund Offset, for information on the TOP.
  9. The Kansas City Financial Center and the Philadelphia Financial Center print and mail the refund checks for all campuses.

  10. BFS keeps records for Treasury checks for seven years which may be retrieved from an RFC and on EFT deposit refunds for six years on the following information:

    • Check Number
    • Check Symbol
    • Social Security Number, Individual Taxpayer Identification Number, or Employer Identification Number
    • Amount of refund
    • Date refund was issued
    • Name and address on check
    • Routing transit number and account number

     

  11. The RFC inserts Notice 54, About Your Refund Check, into Individual Master File (IMF) refund checks if the actual refund amount differs from the amount the taxpayer claimed. RFC inserts Notice 134, About Your Refund Check, into all Business Master File (BMF) refund checks. In addition, BFS will issue a separate notice of offset if the original amount was reduced due to a TOP Offset.
  12. The Financial Processing Division (FPD) in Philadelphia, PA processes check claims received from the IRS.
  13. The Taxpayer Bill of Rights (TBOR) lists rights that already existed in the tax code, putting them in simple language and grouping them into 10 fundamental rights. Employees are responsible for being familiar with and acting in accord with taxpayer rights. See IRC 7803(a)(3), Execution of Duties in Accord with Taxpayer Rights. For additional information about the TBOR, see Taxpayer Bill of Rights.

  14. The Taxpayer Advocate Service is an independent organization within the Internal Revenue Service (IRS), led by the National Taxpayer Advocate, that helps taxpayers and protects taxpayer rights. TAS offers free help to taxpayers when a tax problem is causing a financial difficulty, when they’ve tried and been unable to resolve their issue with the IRS, or when they believe an IRS system, process, or procedure just isn't working as it should. TAS strives to ensure that every taxpayer is treated fairly and knows and understands their rights under the Taxpayer Bill of Rights. TAS has at least one taxpayer advocate office located in every state, the District of Columbia, and Puerto Rico.

    1. Refer taxpayers to TAS when the contact meets TAS criteria per IRM 13.1.7.3, TAS Case Criteria, and you cannot resolve the taxpayer's issue the same day. Also refer to IRM 13.1.7.4, Exceptions to Taxpayer Advocate Service Criteria. TAS provides help to taxpayers who are experiencing economic harm, who are seeking help in resolving tax problems that the IRS has not been able to resolve through normal channels or believe that an IRS system or procedure is not working as it should. See IRM 21.1.3.18, Taxpayer Advocate Service (TAS) Guidelines, for further information.
    2. If you can resolve and close the issue within 24 hours of the taxpayer's contact, do not refer the inquiry to TAS. For TAS purposes, same day means within 24 hours. Cases also meet the same day definition if you take all required actions within 24 hours to resolve the taxpayer's issue, even if the issue is not fully resolved during that period. Do not refer these cases to TAS unless the taxpayer requests a transfer to TAS and the case meets TAS criteria. See IRM 13.1.7.5, Same Day Resolution by Operations.

    3. When referring cases to TAS, use Form 911/e911, Request for Taxpayer Advocate Service Assistance (and Application for Taxpayer Assistance Order), and forward to TAS in accordance with your local procedures.

      Caution:

      Beginning January 5, 2026, TAS referrals cannot be submitted through the AMS e-911.

       

     

21.4.2.2 (10-01-2016)

What is a Refund Trace?

  1. A refund trace is the name of the process used to track a stolen, lost, or misplaced refund check and replace an authorized refund to the taxpayer. Refund trace also includes initiating a forgery claim and verifying a direct deposit.

    Caution:

    ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

     

21.4.2.3 (10-21-2025)

Refund Trace Process

  1. The refund trace process is as follows:

    1. The taxpayer contacts the IRS to report that the refund was lost, stolen, destroyed, mutilated, or defaced to the extent that it is no longer negotiable, or that the refund was never received.

      Note:

      If the taxpayer says they did not receive their refund and there is some indication identity theft may be involved, see IRM 25.23.12.4.1, Telephone Inquiries Regarding Identity Theft Victim Assistance (IDTVA)Tax-Related Cases, for additional information.


       

      Caution:

      If the taxpayer alleges preparer misconduct as the reason for non-receipt of the refund, see IRM 25.24.1.3, Identifying Potential RPM Issues for Telephone Assistors/Taxpayer Assistance Center (TAC) Assistors. In some situations, you may need to advise the taxpayer that the restoration of the refund to the taxpayer may become a civil matter between the taxpayer and the preparer.
       

       

    2. An IRS employee inputs the trace to IDRS using CC CHKCL if oral statement criteria is met, or sends a Letter 129C, Refund Inquiry; Form 3911 Required, with Form 3911, Taxpayer Statement Regarding Refund, to the taxpayer (CC CHKCL is input when the taxpayer returns the Form 3911). See IRM 21.4.2.4, Refund Trace Actions, for oral statement criteria.
    3. CC CHKCL initiates the refund trace inquiry to BFS.
    4. For checks less than one year old, if the original check has not been cashed, it is replaced. If the original check has been cashed, BFS will issue a photocopy of the cashed check along with Form 1133, Claim Against the United States for the Proceeds of a Government Check, to the payee (taxpayer). The payee must allow 6 weeks for paper checks.

    5. If the check is older than one year, Refund Inquiry employees will follow the procedures in IRM 21.4.2.4.7, Limited Payability (LP) Rules and Procedures.

      Note:

      Refund Inquiry will send Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check, to the payee with a copy of the negotiated check or when investigating a claim of forgery.

      Exception:

      If more than four weeks (nine weeks for foreign addresses) have passed since the TC 846 posted, or no TC 846 or TC 840 is present, and the taxpayer is in bankruptcy, instruct the taxpayer to call the Centralized Insolvency Operation (CIO) at 800-973–0424. See IRM 5.19.1.5.2.1, Contacts Regarding Insolvency Issues, for additional guidance.

       

     

  2. A Spanish version of Form 3911 is also available. CSRs and Individual Taxpayer Advisory Specialists (ITAS) should offer this form when they determine it's the appropriate form and will provide the best service to the taxpayer.
21.4.2.3.1 (04-01-2026)

Processing and Controlling Refund Inquiries — Timeliness of Actions

  1. The processing steps on tracing a refund check will depend on whether the cutoff date for processing of the "check claim" has passed at the Bureau of the Fiscal Service (BFS). If the cutoff date has passed, the case is referred to as a Limited Payability (LP), see IRM 21.4.2.4.7, Limited Payability (LP) Rules.

  2. The number of days allowed for timely processing of these cases is prescribed in IRM 3.30.123, Processing Timeliness: Cycles, Criteria and Critical Dates. At the campus option:

    1. Inquiries may be processed on a first-in, first-out basis.
    2. If the check claim involves an issued non-receipt refund check, a first read (correspondence) is acceptable to expedite processing.

     

  3. Cases (either a "check claim" or "LP Trace" ) resulting in check tracing actions must be:

    1. Controlled within 14 calendar days of receipt by the IRS.
    2. Controlled on IDRS within 3 workdays of receipt from another function (include day of receipt).

    3. Initiated within 17 workdays of the IRS received date.

      Reminder:

      Control using the earliest IRS received date.

      Note:

      Whenever possible, multiple cases from the same taxpayer will be processed by the same employee. Coordination of these same taxpayer, multi-year cases is necessary to ensure consistent processing. See IRM 21.5.2.3, Adjustment Guidelines – Research.

       

    Send an interim response Letter 2645C, Interim Letter, (or Letter 0206C, Refund Inquiry; Copy of Check Requested or Provided/Check Being Traced Form 13818 (if appropriate), when the check claim is not resolved within 30 days of the IRS received date, unless the IRS has advised the taxpayer they will receive a response in a specific time frame. If the specific time frame is not met, send taxpayer an interim response.

     

  4. Refund Inquiry inventory is scanned into the Correspondence Imaging Inventory (CII). CII is an inventory system for scanning Accounts Management receipts into digital images and working the cases from those images. Additional information about CII can be found in IRM 21.5.1.5.2, Cases Currently Assigned in CII. If a case is scanned to the incorrect Doc Type or Program Code, review IRM 3.13.6-17, APPENDIX Q - DOCUMENT TYPES, CATEGORY CODES, PRIORITY CODES, REFUND INQUIRY - IMF/IMF INTERNATIONAL AND BMF/BMF INTERNATIONAL and reassign the case as needed to ensure inventory is worked efficiently.

    Note:

    If Spanish language correspondence is received outside of the Spanish Correspondence queue, reassign the case to the Refund Inquiry Site Specialized number for Spanish Correspondence (see Refund Inquiry Site Specialized Holding Numbers, located on SERP under the Who/Where tab). If working cases in the Spanish Correspondence queue, issue a reply using the Spanish version of the appropriate C-Letter, if one is available.

     

21.4.2.3.2 (10-01-2026)

Non-Master File Refund Tracing

  1. If you cannot find a refund on the master file, it may have been a Non-Master File (NMF) refund. Use local established procedures to locate refund information. If no information is found using the following research procedures, ask the taxpayer to send copies of any correspondence about the refund. Information received may contain the necessary Document Locator Number (DLN). The Non-Master File DLN is tax class "6" and all refunds from NMF accounts must be manual refunds. Refer to IRM 21.4.4, Manual Refunds. Refund Inquiry employees can also find the required check information on Treasury Check Information System (TCIS).
  2. Refund Inquiry employees must obtain a unique "login" through Business Entitlement Access Request System (BEARS) requesting PROD USER ANMF SSO RESEARCH (AUTOMATED NON MASTER FILE SSO).

  3. The ANMF allows employees to read any entity or transaction on the file by following the instructions displayed with the "Research NMF" option.

    1. With the "Query" command, employees can research for a desired entity by entering the DLN or TIN, MFT, and tax period of the desired record. If only partial information is available, enter the data for any fields shown on the screen page for the record you need.
    2. Use the "NMF Transcript" option to request a printed transcript (not a certified transcript) that will be delivered from the NMF unit on the following day. The ANMF system does not provide the "print screen" capability that would allow you to copy what you see on the research screen.

     

  4. There are other refunds not found on the master file, which may have been an Offer in Compromise (OIC) refund. The OIC program issues refunds from the 4710 Account that will not show up on IDRS, refer to IRM 5.19.7.7, OIC Deposits. An OIC can be identified by a Transaction Code (TC) 48X on IDRS and/ or AMS history. It takes approximately 60-120 days for the refund to process.
  5. Most OIC accounts are on the Automated Offer in Compromise System (AOIC). Refund Inquiry employees will e-Fax the case to the Monitoring Offers In Compromise (MOIC) Deposit Request Information Liaison(s) at the Brookhaven campus found on SERP Who/Where Offer in Compromise (OIC) Compliance Campus Locations for the Monitoring of Accepted Offers. TEs will close their IDRS control and leave a note to indicate the case was reassigned to MOIC (Brookhaven or Memphis) in the AMS notes.
21.4.2.3.3 (10-01-2026)

Form 8599, Request for Missing Information Regarding Refund

  1. At times taxpayers neglect to provide all necessary information when they return Form 3911, Taxpayer Statement Regarding Refund, or IRS correspondence. Employees may either send the taxpayer the appropriate letter or may request the missing information by using the Form 8599, Request for Missing Information Regarding Refund.

  2. Upon receipt of incomplete Form 3911 (or Form 1310 or Form 13818, etc.), action must be taken to return the form(s) to the taxpayer for the missing information. For example, when taxpayers file a joint return, both parties must sign the Form 3911. If only one signature is present, the Refund Inquiry Unit will return the Form 3911 and advise the taxpayer that both parties must sign the document. An acceptable signature may be handwritten, electronic or digital.

    Note:

    This includes Form 3911 which are signed by parties other than the taxpayer or their authorized Power of Attorney (POA) on Form 2848.

     

  3. When returning Form 3911 to the taxpayer:

    • Circle out the received date on the Form 3911.

      Note:

      If working a CII case, in addition to circling out the receive date, enter the CII ID on the upper left corner of the first page of the Form 3911 and save, then print the document to be sent to the taxpayer.

       

    • Use the appropriate "C" letter or Form 8599, Request for Missing Information Regarding Refund, to request all information necessary to complete the trace. This may include; missing forms, signatures, or other information.

      Reminder:

      Attach a copy of the Form 8599 to the CII case or provide complete details of the missing information in the case notes (e.g., Missing forms, missing signature, etc.). If using a C letter, capture the request completed screen for CC LETER.

       

    • Leave a case note and update the IDRS Activity Code with the form number, and TOTP (e.g., 3911TOTP, 1310TOTP, etc.). This will provide an audit trail for any subsequent contact by the taxpayer that the IRS returned the form as incomplete.
    • The Form 8599, is a two-part form. Both parts will be forwarded to the taxpayer along with the incomplete form(s). 
      Always include:
      - A PRE-ADDRESSED return envelope.
      - Unit Stop Number on the face of the return envelope.
    • Close the case.

     

  4. If the response makes the previously rejected and closed CII case complete, begin the trace and create a link between the active and archived cases.
21.4.2.4 (10-01-2026)

Refund Trace Actions

  1. The procedures for processing a refund trace request are the same for telephone, Live Chat, Taxpayer Assistance Centers, or written inquiries. Refund trace cases should be worked at the Accounts Management (AM) Directorate where they are received. TAC and remote sites should refer cases to their affiliated Refund Inquiry team and include Form 3911, Taxpayer Statement Regarding Refund, requesting a refund trace be completed.

    Note:

    Refer to IRM 21.1.3, Operational Guidelines Overview, for the appropriate disclosure authorization procedures.

     

  2. Before determining whether oral statement authority applies, research the account to determine whether a previous refund trace was initiated. If the module already has a TC 971 AC 011 posted and there is no indication of the previous disposition, do not input CC CHKCL to initiate a second refund trace. Refer to IRM 21.4.2.4.4, Responding to Taxpayer's Subsequent Inquiries Regarding Refund Trace.

  3. For IMF only taxpayers, you may accept oral statement if they meet all the following conditions:

    Reminder:

    BMF refunds do not meet oral statement criteria. Follow the procedures in IRM 21.4.2.4.1 (1), Form 3911, Taxpayer Statement Regarding Refund.

    • Tax return filed is an Individual tax return.

    • Caller is the taxpayer or the taxpayer's authorized Power of Attorney (POA) on Form 2848.

      Reminder:

      A request made over the phone by a POA or TIA to change or update a taxpayer’s address does not fall under Revenue Procedure 2010-16 and will not qualify for an address change update under Oral Statement Authority. See IRM 21.1.3.20.1, IMF and BMF Oral Statement Address Changes.

       

    • Taxpayers with valid TIN.
    • All filing statuses including Married Filing Joint (MFJ). For MFJ taxpayers, the caller must verify that neither spouse cashed the refund check and document the verification in AMS history.

    • Taxpayer resides at the address currently on record (CC ENMOD). 
      If the taxpayer has moved from the address on record DO NOT change the address unless the taxpayer meets oral statement criteria for changing the address. See IRM 21.1.3.20.1, IMF and BMF Oral Statement Address Changes, for guidance.

      IfThen
      You can update the address per oral statementUse the new address when beginning the refund trace.
      You cannot update the address per oral statement
      1. DO NOT input CC CHKCL.
      2. Advise the taxpayer a refund trace cannot be started over the phone and Form 3911 will need to be filed to start the trace.
      3. Advise the taxpayer that Form 3911, Taxpayer Statement Regarding Refund, is available through the internet on IRS.gov. See IRM 21.3.6.4.2, Other Methods of Obtaining Forms and Publications.
      4. Advise the taxpayer, they can either mail or fax their request. Provide the address and fax number of the IRS campus Refund Inquiry function associated to the taxpayer’s state of residency.
      5. Advise the taxpayer that the Refund Inquiry Unit will contact them within six weeks for a paper refund check or 120 days for a direct deposit refund after receiving Form 3911. For fax numbers and addresses, see Refund Inquiry Unit Addresses, located on SERP under the Who/Where tab.
      6. If the taxpayer cannot obtain Form 3911 online, offer to mail or fax the form. Accounts Management employees must use the IAT Missing Refund (CHKCL) tool when sending Form 3911 to the taxpayer. Verify the taxpayer's mailing address. If the taxpayer has moved since filing the return and the current address is not shown on CC ENMOD, DO NOT update the address on CC ENMOD.
      7. When speaking with the taxpayer or the taxpayer's authorized representative, advise the taxpayer that Form 3911 must be signed. For joint returns, both taxpayers must sign the form. Acceptable signatures include handwritten, electronic, and digital signatures.
      8. If the taxpayer is the surviving spouse, instruct the taxpayer to write "Surviving Spouse" on the decedent's signature line. See IRM 21.6.6.2.21.2 (1), Processing Decedent Account Refunds, for Form 1310 requirements.

       

    • Refund in question is not a manual refund (TC 840).
    • Not a mixed entity account.
    • Not a full TOP offset matching the TC 846 amount. If TC 898 matches the TC 846, this is a full TOP offset. See IRM 21.4.6.6.1, Taxpayer Inquiries on TOP Offset, procedures.
    • No TC 740, TC 841 or TC 843 matching the TC 846 in question. If freeze codes are present, follow freeze release procedures.

    • The account does not have unresolved RIVO/IDT involvement, including, but not limited to, the bank leads program. See IRM 25.25.8.7, Responding to Taxpayer Inquiries, or IRM 25.23.12, IMF Identity Theft Toll-Free Guidance, for additional information.

      Reminder:

      If required to input TC 971 AC 522, do not start a refund trace for the same tax account.

      Caution:

      Additional taxpayer authentication is required if the module contains RIVO or CI-SDC indicators and one of the following CP 53 series notices was issued for the tax period in question: CP 53, CP 53A, CP 53B, CP 53C, or CP 53D. Follow the procedures in IRM 21.1.3.2.4, Additional Taxpayer Authentication. Refer to IRM 25.25.12.9, Limited Direct Deposit Refund Procedures. See IRM 21.4.1.5.8.1, Direct Deposit Reject Reason Codes, for additional information about the CP 53 notice series. If the caller cannot authenticate, provide the toll-free appointment number, 844-545-5640, to schedule an appointment at a Taxpayer Assistance Center (TAC). The appointment line is available from 7:00 a.m. to 7:00 p.m. local time. Hawaii and Alaska follow the Pacific Time Zone. For non-TPP calls, the taxpayer may check their records and call back.

       

     

  4. Refunds involving accounts with an incorrect taxpayer shown on CC ENMOD must be worked at the campus that issued the refund check. Send completed Form 3911 with the taxpayer's signature or a Form 4442/e-4442, Inquiry Referral (those based on oral statement) to the appropriate campus. Notify the taxpayer and provide the campus information where the Form 3911 is being worked and that the campus will contact them within 30 days with the disposition of their Form 3911.

    Note:

    When the case must be sent to the center which originated the refund, DO NOT request the original return. The center receiving the case must request the return. You may notify the center you are sending the case so they can immediately request the original return thereby reducing the time the taxpayer must wait for a response.

     

  5. If the taxpayer meets oral statement criteria and any one of the following conditions applies follow procedures in IRM 21.4.2.4.2, Input Command Code (CC) CHKCL, to begin a refund trace:

    • For paper checks the refund issue date (TC 846 date) is within 12 months of the current date and was at least four weeks prior to inquiry (nine weeks if it’s a foreign address). If the taxpayer states the check was received and later lost, stolen, or destroyed, no waiting period applies. Start the trace immediately.

      Note:

      U.S. Post Offices will forward the refund check if the taxpayer has a current forwarding address on file with the local post office. If so, tell the taxpayer to allow two additional weeks from the IDRS refund payment date for receipt of the check. If the check is not received by the end of those two weeks, follow normal refund trace procedures.

      Caution:

      Refunds cannot be systemically issued to a temporary address. If the address provided is a temporary address, a hardship manual refund is required, see IRM 21.4.4.3, Why Would a Manual Refund Be Needed?

       

    • For direct deposit the refund issue date (TC 846 date) is within the last 6 years and was at least 5 calendar days prior to inquiry and the taxpayer has already contacted the financial institution to check on the status of the refund and the financial institution has no record of the deposit.

      Exception:

      Do not initiate a trace for Economic Impact Payment pre-paid debit cards. See IRM 21.6.3.4.2.13.2, Economic Impact Payments - Refund Inquiries, for more information about non-receipt, lost, stolen, or destroyed Economic Impact Payment pre-paid debit cards.

       

     

  6. Use the table below to determine the IMF paper check mailing date or the direct deposit date.

    Refund issued asDetermine date issued
    IMF paper checkFor current year and all prior year IMF returns, the issue/mailing date is found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .
    Accelerated cycle check

    To determine the correct issue date when inputting CC CHKCL for paper refunds that were issued during an accelerated refund cycle, see Document 6209, for cycle charts.

    Note:

    No refund intercepts (i.e., CC NOREF) are allowed during accelerated refund cycles.

    CADE/CADE 2 refundsProcess daily and do not fall into accelerated cycles.
    IMF direct depositFor all current and prior year IMF returns, the deposit date is found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .

     

  7. If the paper refund is more than 12 months of the current date, it must be processed by a Refund Inquiry Unit using Limited Payability rules because the refund does not meet oral statement criteria. DO NOT input CC CHKCL. Follow the procedures in IRM 21.4.2.4.1 (6c), Form 3911, Taxpayer Statement Regarding Refund. Refund Inquiry employees see IRM 21.4.2.4.7, Limited Payability (LP) Rules.

    Note:

    If the normal six-week time frame has been met, and there are no open Refund Inquiry controls and the refund does not meet oral statement criteria, apologize for the processing delay. Ask the taxpayer to fax the Form 3911 to you while you are speaking with them. Send Form 4442/e-4442 to your local Refund Inquiry function, along with the Form 3911 received requesting that a refund trace be initiated. Advise the taxpayer of the applicable time frame. If the taxpayer cannot fax the Form 3911 during the call, advise the taxpayer to file Form 3911 either by mail or fax. If the taxpayer calls back after the 30 days and no open Refund Inquiry control is found, see IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria, to determine if the inquiry meets TAS case criteria.

     

  8. If the refund was issued as a manual refund (TC 840), OSA can’t be accepted. DO NOT input CC CHKCL.

    1. Tell the taxpayer that Form 3911, and Form 1310, Statement of Person Claiming Refund Due a Deceased Taxpayer, and court documents (if applicable) are required to trace the missing refund and reissue the refund if it is returned.
    2. Advise the taxpayer that Form 3911, Taxpayer Statement Regarding Refund, is available through the internet on IRS.gov. See IRM 21.3.6.4.2, Other Methods of Obtaining Forms and Publications.
      • If the taxpayer cannot obtain the form online, advise the taxpayer you can mail or fax them a form.
      • Use of the IAT Missing Refund (CHKCL) tool is mandatory when sending the Form 3911 to the taxpayer.
      • Be sure to verify the taxpayer's mailing address.
      • If taxpayer has moved since filing their return and their current address is not on record (CC ENMOD), DO NOT UPDATE ADDRESS ON CC ENMOD.

     

  9. If the taxpayer does not meet oral statement authority (OSA) criteria, follow procedures in IRM 21.4.2.4.1, Form 3911, Taxpayer Statement Regarding Refund, unless otherwise directed above.
21.4.2.4.1 (10-01-2026)

Form 3911, Taxpayer Statement Regarding Refund

  1. If the contact does not meet oral statement criteria:

    1. If the refund time frame prescribed in IRM 21.4.1.4.4, Refund Issued But Lost, Stolen, Destroyed or Not Received, has been met, advise the taxpayer that Form 3911, Taxpayer Statement Regarding Refund, is available on IRS.gov. See IRM 21.3.6.4.2, Other Methods of Obtaining Forms and Publications. 
      If the taxpayer cannot obtain the form online, tell the taxpayer you can mail or fax the form. Use of the IAT Missing Refund (CHKCL) tool is mandatory when sending the Form 3911 to the taxpayer. Be sure to verify the taxpayer's mailing address. 
      If the taxpayer has moved since filing the return and their current address is not on record (Command Code (CC) ENMOD), tell the taxpayer to obtain Form 3911 from IRS.gov. DO NOT UPDATE ADDRESS ON CC ENMOD unless the taxpayer meets oral statement criteria. See IRM 21.1.3.20.1, IMF and BMF Oral Statement Address Changes.

      Caution:

      Refunds cannot be systemically issued to a temporary address. If the address provided is a temporary address, a hardship manual refund is required, see IRM 21.4.4.3, Why Would a Manual Refund Be Needed?

      Caution:

      Do not initiate a refund trace over the phone if there is open IDT involvement on the account. See IRM 25.23.12.4.1, Telephone Inquiries Regarding Identity Theft Victim Assistance (IDTVA)Tax-Related Cases, for additional information. If the IDT involvement is closed, see paragraph 2 below.

      Reminder:

      If the refund was issued as a manual refund (TC 840), a new manual refund may be required after the trace is complete.

      Caution:

      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

      Note:

      Regardless of RIVO involvement, do not reassign a Form 3911 unless the specific criteria mentioned above is met. If the case meets RIVO criteria, follow the appropriate procedures based on case status.

       

    2. When speaking to the taxpayer or the taxpayer’s authorized representative, tell the taxpayer that they must sign the Form 3911. For joint returns, both taxpayers must sign. An acceptable signature may be handwritten, electronic, or digital. 
      If the taxpayer is the surviving spouse, tell the taxpayer to write "Surviving Spouse" on the decedent’s signature line. See IRM 21.6.6.2.21.2 (1), Processing Decedent Account Refunds, for Form 1310 requirements.

      Note:

      Form 3911 signed by anyone other than the taxpayer or their authorized Power of Attorney (POA) on Form 2848, will be returned as incomplete following procedures in IRM 21.4.2.3.3, Form 8599, Request for Missing Information Regarding Refund.

       

    3. When speaking to the taxpayer or the taxpayer’s authorized representative, tell the taxpayer that the request may either be mailed or faxed. Provide the address and fax number of the IRS campus Refund Inquiry function associated with the taxpayer’s state of residency. 
      Tell the taxpayer that the Refund Inquiry Unit will contact them within 6 weeks for a paper refund check, or 120 days for a direct deposit refund, from the date the Form 3911 is received. For fax numbers and addresses, see Refund Inquiry Unit Addresses, located on SERP under the Who/Where tab.
    4. Using the Integrated Automation Technologies (IAT) Missing Refund (CHKCL) tool or Account Management Services (AMS), input the following history item on the account - "H,39112TP" .

     

  2. When speaking to the taxpayer or their authorized representative, or if a Form 3911 is received, and an identity theft case is closed or resolved, you may proceed with processing the Form 3911 or refund trace and take appropriate actions to resolve the taxpayer’s refund inquiry. The following transaction(s) on Integrated Data Retrieval System (IDRS) via CC ENMOD and/or CC IMFOLE, identifies if the case is resolved:

    • posted TC 971 AC 501
    • posted TC 971 AC 504
    • posted TC 971 AC 506
    • posted TC 972 AC 522

    See IRM 25.23.2.4, IDT Indicators, for additional information related to Identity Theft.

     

  3. If there is an unresolved identity theft issue (i.e., open IDT control), when working Form 3911, Form 1310, or other refund correspondence, take the following actions:

    • If no CII is present, use the Create Case option in CII to create a new case based on the Form 3911, Form 1310 or other refund correspondence received.
    • Link the refund inquiry case to the open identity theft CII case.
    • Follow procedures in IRM 21.3.3.4.2.1, Use of 86C Letter - Referring Taxpayer Inquiry/Forms to Another Office, and if required send an 86C letter to advise taxpayer their correspondence is being transferred to another office (outside your directorate) for resolution.
    • When sending an 86C letter use the following information to complete the letter:
      Select paragraphs F, *, 3, c and the appropriate closing paragraph.
      Fill-in floating paragraph "*" with the following statement: "We’re sending your claim, Form (fill in the blank with the appropriate form number), to the appropriate office for review." 
      Fill-in 72 in paragraph c will be the average number of days it is taking us to resolve IDT cases as shown in paragraph 1 of IRM 25.23.2.2.3, IDT Case Processing Time Frames.
    • Follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.
    • Close your case.

     

  4. If no return is found, when working Form 3911, Form 1310, or other refund correspondence, take the following actions:

    • Send Letter 109C, Return Requesting Refund Can't be Located or Not Filed
    • Close the case using the current category.

     

  5. If no return is posted and unresolved TPP indicators are present or the return is posted on MFT 32: follow procedures outlined in IRM 21.5.6.4.9.1, E- Freeze Procedures for Unresolved Taxpayer Protection Program (TPP) Issues, paragraphs 3, 4, 6 and 7

  6. For IMF paper inquiries, accept a written statement for refund trace provided all criteria in IRM 21.4.2.4 are met and the correspondence is signed by the taxpayer or the taxpayer’s authorized Power of Attorney (POA) on Form 2848. For joint returns, both taxpayers must sign. 
    If criteria is not met, the correspondence is not signed, or refers to a BMF account, reply to the correspondence and advise the taxpayer to file Form 3911, Taxpayer Statement Regarding Refund, which is available on IRS.gov. Using Correspondence Imaging Inventory (CII) case note, input the following history item on the account - " Form 3911 needed." When responding to the taxpayer’s correspondence, follow procedures in IRM 21.3.3.3.4, Quality and Timely Responses.

    Exception:

    Refunds issued through a Refund Advance Product (RAL/RAC) have special procedures. For more information see IRM 21.4.1.5.7.2, Direct Deposit Refund Advance Product (RAL/RAC). If taxpayer has not contacted their preparer or the FI, send Letter 0129C, Refund Inquiry; Form 3911 Required, include paragraph J to advise the taxpayer of the necessary information about the RAL/RAC.

    1. When Form 3911 is scanned into CII, review the form for completeness. To be complete, Form 3911 must include lines 1, 2, 3, and 7, as well as the required signatures. For joint IMF returns, both taxpayers must sign. For decedent accounts Surviving Spouse must be entered on the decedent’s signature line.
      If Form 3911 is incomplete, correspond for the missing information following procedures in IRM 21.4.2.3.3, Form 8599, Request for Missing Information Regarding Refund. 
      Update CC ENMOD if an address change is required.

      Reminder:

      Form 3911 can be used as written documentation to change a taxpayer's address. Upon receipt of Form 3911, update the address and input CC CHKCL. However, if the refund check was returned undelivered by the Postal Service, do not input CC CHKCL. See IRM 21.4.3.5.3, Undeliverable Refund Checks.

       

    2. If paper refund is less than one year old or refund was direct deposit, follow procedures in IRM 21.4.2.4.2, Input Command Code (CC) CHKCL, to begin the refund trace. 
       

      Exception:

      For BMF paper assistors route all Form 3911 to the Refund Inquiry unit which services your site, do not input the refund trace.

      Note:

      The CII control base must remain open with Refund Inquiry during the trace process, which can take up to 120 days for direct deposits and 6 weeks for paper checks. 
      If you are not a Refund Inquiry employee, after completing the CC CHKCL input take the following actions:
      -IAT will control IDRS to the Refund Inquiry holding number automatically, before taking next actions, the CSR will re-control IDRS to match the CII “Assigned To” field currently shown in CII.
      -Update the “Doc Type” to Refund Inquiry Correspondence
      -Update the “Category” to RCTF
      -Update the “Program” to 01040
      -Reassign the case to the Refund Inquiry Site Specialized number of your affiliated Refund Inquiry (RI) Unit. Puerto Rico cases should be reassigned to Brookhaven, and Jacksonville to Atlanta until further notice. 
      For holding numbers see Refund Inquiry Site Specialized Holding Numbers, located on SERP under the Who/Where tab. 
      Refund Inquiry will continue monitoring the account and take required next actions.

       

    3. If paper refund is more than one year old, or the taxpayer is requesting a refund trace on a case with a previous trace (TC 971 AC 011 on account for the refund in question) or a combination of both, the Form 3911 or correspondence must be worked by Refund Inquiry Unit. If received in CII (outside Refund Inquiry), update document type to Refund Inquiry Correspondence, category 3911 (if Form 3911 is attached to CII) or RFIQ (if no Form 3911 is attached to CII), and program code 01040. Reassign the case to the Refund Inquiry Site Specialized number of your affiliated Refund Inquiry (RI) Unit. Puerto Rico cases should be reassigned to Brookhaven, and Jacksonville to Atlanta until further notice. For holding numbers see Refund Inquiry Site Specialized Holding Numbers, located on SERP under the Who/Where tab.

      Reminder:

      If previous claim can be found in CII, link new correspondence to original claim prior to reassignment.

       

    4. If a refund trace is requested with a Form 3911, but no refund has been issued on the account (or the refund in question is not posted) further research is required. Determine if any account issues indicate why no refund is posted (include CII and IDRS in the search). Take the following actions:

      RowIfAndThen
      1An open CII case is foundno contentLink the case containing the Form 3911 to the open CII case.
      Follow procedures in IRM 21.3.3.4.2.1, Use of 86C Letter - Referring Taxpayer Inquiry/Forms to Another Office. If required, send an 86C letter to advise the taxpayer their correspondence is being transferred to another office (outside your directorate) for resolution.
      Close your CII case.
      2No open CII case is foundAdditional documentation attached to the Form 3911 identifies this as an adjustment type caseRefund Inquiry assistors will send the case to the work leader for referral to the ICM (to have the case reassigned to a team that can work the specific inventory). 
      Assistors outside Refund Inquiry will take action to resolve the case.
      3No open CII case is foundNo additional documentation is attached to the Form 3911, and 
      this is not identified as an adjustment type case      		Follow procedures in IRM 21.3.3.3.4, Quality and Timely Responses, to advise the taxpayer of the status of their account (or that the refund was not issued on the account).

      Note:

      If research shows the reason for no refund issued is due to RSED expiration, refer to IRM 25.6.1.5, Basic Guide for Processing Cases with Statute of Limitations Issues, for procedures to follow.

       

    5. If a refund is identified and the time frame in IRM 21.4.2.4 has not been met and a trace cannot be started, follow procedures in IRM 21.3.3.3.4, Quality and Timely Responses, to advise the taxpayer of the status of their account.
    6. For specific guidance for handling CII cases, see IRM 21.5.1.5, Correspondence Imaging Inventory (CII) Procedures.

     

  7. For cases where the Economic Impact Payment (EIP) was not issued, but the taxpayer filed a Form 3911, send a closing letter for your case, as indicated below:
    For 2020: Use a Letter 916C, Claim Incomplete for Processing; No Consideration, as your closing letter for your case. Include an open or floating paragraph to advise the taxpayer of the following: "Our records do not show an Economic Impact Payment (EIP) was issued to you. To claim the Recovery Rebate Credit, you must have filed a return claiming the credit. The deadline to file a return claiming a refund for 2020 was May 17, 2024" 
    For 2021: Use a Letter 916C, Claim Incomplete for Processing; No Consideration, as your closing letter for your case. Include an open or floating paragraph to advise the taxpayer of the following: "Our records do not show an Economic Impact Payment (EIP) was issued to you. To claim the Recovery Rebate Credit, you must have filed a return claiming the credit. The deadline to file a return claiming a refund for 2021 was April 15, 2025."
  8. If research indicates one or both taxpayers are deceased, and Form 3911 was signed prior to the taxpayers’ death on CC INOLES, follow procedures in IRM 21.4.2.3.3, Form 8599, Request for Missing Information Regarding Refund. Advise that a newly signed Form 3911 and Form 1310, Statement of Person Claiming Refund Due a Deceased Taxpayer, and/or court documents are required to trace the missing refund and re-issue the refund if returned.
  9. If a Form 3911 mailed to the taxpayer is returned by the United States Postal Service as undeliverable, the Refund Inquiry Unit will research for a new or corrected address or a phone number to contact the taxpayer. If a corrected address is found, re-mail the Form 3911 to the correct address. If no new address is located, destroy the Form 3911 or close the CII case no action.
21.4.2.4.2 (10-01-2026)

Input Command Code (CC) CHKCL

  1. Assistors are authorized to input CC CHKCL based on an oral statement authority (OSA) from the taxpayer or the taxpayer's authorized Power of Attorney (POA) on Form 2848 if the oral statement criteria in IRM 21.4.2.4, Refund Trace Actions are met.
    If the Missing Refund (CHKCL) IAT tool is unavailable, or you are outside Accounts Management, follow procedures in Exhibit 21.4.2-1, Command Code (CC) CHKCL Input, to manually begin the refund trace process.
  2. Accounts Management employees are required to use the Missing Refund (CHKCL) IAT tool, see IRM 21.2.2-2, Accounts Management Mandated IAT Tools. See IAT CHKCL Tool Job Aid for IAT input guidance and CC CHKCL for field descriptions.

  3. After determining the taxpayer meets oral statement criteria or receiving a completed Form 3911, follow CC CHKCL procedures to begin the refund trace process.

    • Paper refund trace inquiries (e.g., Form 3911, correspondence, etc.) should be worked where received unless the refunds involve accounts with an incorrect taxpayer shown on CC ENMOD or the refund is more than 12 month from today’s date, IRM 21.4.2.4, Refund Trace Actions.
    • Assign generated toll-free refund cases to your affiliated Refund Inquiry (RI) Unit. Puerto Rico cases should be reassigned to Brookhaven, and Jacksonville to Atlanta until further notice.
    • Refund Inquiry employees begin the trace under the existing CII case control, update CII Category Code as needed to match IDRS.

    Reminder:

    Form 3911 can be used as written documentation to change a taxpayer's address. Upon receipt of Form 3911, update the address and input CC CHKCL. However, if the refund check was returned undelivered by the Postal Service, do not input CC CHKCL. See IRM 21.4.3.5.3, Undeliverable Refund Checks.

     

  4. Follow the procedures below to process a refund trace request for a paper refund check that meets oral statement criteria:

    RowIfAndThen
    1The IMF paper refund issue date (TC 846 date) is within 12 months of the current dateThere is no evidence that a refund trace was started (indicated by a TC 971 AC 011 posting after the TC 840 or TC 846 date)
    1. Begin the refund trace using the Missing Refund (CHKCL) IAT tool.
    2. Annotate AMS with the date, amount, document locator number (DLN) and refund schedule number (RSN) of the refund being traced for future reference.

    3. Oral statement criteria apply only to the phone call. Start the refund trace while speaking with the taxpayer or authorized Power of Attorney (POA) on Form 2848.

      • If you do not start the trace before the call ends, Form 3911, Taxpayer Statement Regarding Refund, is required.

       

    4. Advise the taxpayer to allow 6 weeks for processing the refund trace.
    2The IMF paper refund issue date (TC 846 date) is within 12 months of the current dateTC 971 AC 011 is posted 
    and
    CC TXMOD indicates an open Refund Inquiry control base, which is past the refund trace time frame of 6 weeks, 
    and
    you are speaking to the taxpayer or their authorized POA
    1. Send Form 4442 /e-4442 (refer to IRM 21.3.5.4.2.1.1, Preparing an e-4442/4442)
      Include any information you obtain from the taxpayer which may aid in the processing of the refund trace. 
      If processing the case through CII, see IRM 21.5.2.3, Adjustment Guidelines – Research.
    2. Advise the taxpayer to expect a response within 30 days.
    3The paper refund is over one year oldno contentThe trace must be processed by a Refund Inquiry Unit using Limited Payability rules because the refund does not meet oral statement criteria
    DO NOT input CC CHKCL. Follow the procedures in IRM 21.4.2.4.1 (6c), Form 3911, Taxpayer Statement Regarding Refund. 
    Refund Inquiry employees follow procedures in IRM 21.4.2.4.7, Limited Payability (LP) Rules.
    4The paper refund is over one year oldThe normal 6-week time frame has been met, 
    and 
    there are no open Refund Inquiry controls
    and 
    the refund does not meet oral statement criteria
    1. Apologize for the processing delay.
    2. Ask the taxpayer if they can fax the Form 3911 to you while on the phone.
    3. Send Form 4442/e-4442, (refer to IRM 21.3.5.4.2.1.1, Preparing an e-4442/4442) to your local Refund Inquiry function, along with the Form 3911 received via fax requesting the trace be started.
    4. Advise the taxpayer to expect a response within 30 days.
    5. If the taxpayer cannot fax the Form 3911 while on the call, advise them to file Form 3911 either by mail or fax.
    6. If the taxpayer calls back after the 30 days have passed and no open Refund Inquiry control can be found, see IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria, to determine if the inquiry meets Taxpayer Advocate Criteria.

    Reminder:

    If the refund trace was started but failed and you have enough information to take action, without contacting the taxpayer again, reinput the CC CHKCL and document actions on AMS. Once the trace is reinput, the refund trace time frames start over again. The taxpayer must allow 6 weeks for paper checks and up to 120 days for direct deposits.

     

  5. All taxpayer inquiries concerning direct deposits should be treated as any other inquiry. The input of the CC CHKCL will cause the generation of a FS Form 150.1 to the financial institution. This serves as an official request to the bank to search for the electronic funds transfer. For more information, see IRM 21.4.1.5.7, Direct Deposits - General Information and IRM 21.4.1-2, Most Common Banks That Offer Refund Transfer Products (RAL/RAC). 
    Follow the procedures below to process a refund trace request for a direct deposit refund that meets oral statement criteria:

    RowIfAndThen
    1

    The IMF direct deposit issue date (TC 846 date) is within six years

    Exception:

    Refunds issued through a Refund Advance Product (RAL/RAC) have special procedures. For more information see IRM 21.4.1.5.7.2, Direct Deposit Refund Advance Product (RAL/RAC).

    		There is no evidence that a refund trace was started (indicated by a TC 971 AC 011 posting after the TC 840 or TC 846 date)
    1. Begin the refund trace using the Missing Refund (CHKCL) IAT tool.
    2. Annotate AMS with the date, amount, document locator number (DLN) and refund schedule number (RSN) of the refund being traced for future reference.

    3. Oral statement criteria apply only to the phone call. Start the refund trace while speaking with the taxpayer or authorized Power of Attorney (POA) on Form 2848.

      • If you do not start the trace before the call ends, Form 3911, Taxpayer Statement Regarding Refund, is required.

       

    4. Advise the taxpayer to allow 90-120 days for processing the refund trace.

    Note:

    If your case requires expedite handling (i.e., TAS hardship case or Congressional E-Trak case), elevate the trace request to the site’s designated Refund Inquiry POC for Bureau of the Fiscal Service (BFS) expedite referrals.

    2The IMF direct deposit issue date (TC 846 date) is within six yearsTC 971 AC 011 is posted 
    and
    no indication of the previous disposition    		Do not input CC CHKCL to initiate a second trace of the refund. Refer to IRM 21.4.2.4.4, Responding to Taxpayer's Subsequent Inquiries Regarding Refund Trace and follow procedures for direct deposit refunds.

     

  6. After completing the CC CHKCL input, advise the taxpayer:

    IfThen
    Their check was not cashedThey will receive a replacement check in approximately 6 weeks (9 weeks if the TP has a foreign address).
    Their check was cashedThey will receive a claim package within 6 weeks (9 weeks if the TP has a foreign address) to complete and return to BFS to pursue their claim.
    Their refund was a direct deposit

    After the trace is input, the Bureau of the Fiscal Service (BFS) will contact the banking institution to inquire about their refund status. Advise the taxpayer banks are allowed up to 90 days to respond to our request for information, from the date of the CC CHKCL input.

    Note:

    While banks may have 90 days to respond, it may take up to 120 days for resolution.

    They do not wish to pursue their claimNo further action is required. They may keep the claim package with a copy of their check for their records.

    Exception:

    A replacement check will not be issued for the first, second, or third round of Economic Impact Payments. Instead, advise the taxpayer: To claim the Recovery Rebate Credit, you must have filed your tax return and claimed the credit. The deadline to file a return claiming a refund for 2020 was May 17, 2024. The deadline to file a return claiming a refund for 2021 was April 15, 2025. See IRM 21.6.3.4.2.14, Recovery Rebate Credit, for more information.

     

  7. Using the Missing Refund (CHKCL) IAT tool will automatically reassign the control base to the Refund Inquiry (RI) Team serving your site.

    • A control base must remain open with Refund Inquiry pending the trace process, which can take up to 120 days for direct deposits and 6 weeks for paper checks.
    • Paper refund trace inquiries (e.g., Form 3911, correspondence, etc.) should be worked where received unless the conditions in IRM 21.4.2.4(3), Refund Trace Actions, applies. Assign generated toll-free refund cases to your affiliated Refund Inquiry (RI) Unit. Puerto Rico cases should be reassigned to Brookhaven and Jacksonville to Atlanta until further notice.
    • Refund Inquiry employees begin the trace under the existing CII case control, update CII Category Code as needed to match IDRS.
    • BMF refunds do not meet oral statement criteria. Follow the procedures in IRM 21.4.2.4.1 (1), Form 3911, Taxpayer Statement Regarding Refund.
    • Do not initiate a refund trace or advise the taxpayer to file a Form 3911 if there is RIVO involvement or External Lead indicators on the module. See IRM 25.23.12.4.1, Telephone Inquiries Regarding Identity Theft Victim Assistance (IDTVA) Tax-Related Cases, for additional information. Also see IRM 21.5.6.4.35.3, -R Freeze Overview For Accounts With Return Integrity Verification Operations (RIVO) Involvement, for additional information. For External Lead indicators see IRM 25.25.8-2, External Lead Involvement Indicators, if found, follow procedures in IRM 25.25.8.7, Responding to Taxpayer Inquiries.

    Exception:

    Beginning mid-January 2025, all refunds identified by BFS (prior to a refund trace being started) as altered or stolen will be returned to IRS and can be identified by the posting of TC 841 with block and serial number 77715, that will create a P- freeze. Beginning March 2025 a notice CP 53W (IMF accounts) or CP 153W (BMF accounts) will automatically generate to notify the taxpayers that their return is being reviewed.

     

21.4.2.4.3 (10-01-2026)

Processing the Command Code (CC) CHKCL Trace Request

  1. When CC CHKCL is input, the request is sent electronically to the RFC. The request is then forwarded to Philadelphia, PA, where Bureau of the Fiscal Service (BFS) determines the status of the check, cashed, or not cashed. Trace requests for direct deposits are processed at RFC. Refer to the table below for resulting action.

    Caution:

    Do not initiate a refund trace if there is Identity Theft (IDTVA), Return Integrity Verification Operations (RIVO) or External Leads Program involvement on the module. See IRM 25.23.12.4.1, Telephone Inquiries Regarding Identity Theft Victim Assistance (IDTVA) Tax-Related Cases, for additional information. Also see IRM 21.5.6.4.35.3, -R Freeze Overview For Accounts With Return Integrity Verification Operations (RIVO) Involvement, for additional information. For external lead cases, if the caller says they have been told by their bank that their refund was returned to the IRS, follow procedures in IRM 25.25.8.7, Responding to Taxpayer Inquiries.

    RowIfAndThen
    1Check has not been cashedCheck is one year old or lessCredit is returned to the taxpayer’s account, and a new refund is issued.
    2Check has not been cashedCheck is more than one year oldCheck is automatically cancelled (TC 740) and reissued.
    3Check has been cashedCheck is less than one year oldBFS will send photocopy and claim FS Form 1133 to the taxpayer.
    4Check has been cashedCheck meets Limited Payability criteriaRefund Inquiry will send photocopy and claim Form 13818 to the taxpayer.

    Exception:

    A replacement check will not be issued for the first, second, or third round of Economic Impact Payments. Instead, advise the taxpayer: To claim the Recovery Rebate Credit, you must have filed your tax return and claimed the credit. The deadline to file a return claiming a refund for 2020 was May 17, 2024. The deadline to file a return claiming a refund for 2021 was April 15, 2025. See IRM 21.6.3.4.2.14, Recovery Rebate Credit, for more information.

    Note:

    Unlike paper check traces, Limited Payability procedures do not apply to direct deposit cases. Use a non-receipt code of N regardless of the age of the direct deposit.

    Caution:

    Taxpayer authentication and security requirements apply to all refund accounts, regardless of how the refund was issued. This includes direct deposit to the taxpayer's account, a Refund Advance Product (RAL/RAC) from the preparer, and a paper check. See IRM 21.4.1.5.7 (2), Direct Deposits - General Information, for more information about RAL/RACs.

    Caution:

    If the refund was based on an injured spouse claim (TC 150 with blocking series 920-929 or TC 971 AC 071) and the overpayment will offset to the non-injured spouse obligation, input CC CHKCL with non-receipt code "H" to set the P- freeze and hold the refund for manual processing. See IRM 21.4.6.5.6.6, Issuing the Injured Spouse Refund, and IRM 21.4.4, Manual Refunds, for additional information.

     

  2. If a refund trace has been started on an account with RIVO indicators present, allow the trace to complete. Follow procedures below for next actions:

    RowIfThen
    1Funds are returned to the IRS, and the module has an open RIVO control or indicators which have not been reversed
    • After the funds post to the account, document the refund status in a CII note using the information from the CDN or FS Form 150.1.
    • Close your CII case; take no further action.
    • Do not send any letters, RIVO will respond to the taxpayer when the refund issue is resolved.
    2Funds are returned, RIVO indicators have been resolved, and conditions are not present on the account which indicate a refund hold is necessary (see SERP Alerts)Allow funds to release to the taxpayer
    3Funds are returned, RIVO indicators have been resolved, and conditions are present on the account which indicate a refund hold is necessary (see SERP Alerts)
    • After the funds post to the account, document the refund status in a CII note using the information from the CDN or FS Form 150.1.
    • Close your CII case; take no further action.
    • Do not send any letters, RIVO will respond to the taxpayer when the refund issue is resolved.
    4Funds are not returned but RIVO has an open control or account has active indicators
    • Leave a CII note with the refund status based on the CDN or FS Form 150.1 information received.
    • Close your CII case; take no further action.
    • Do not send any letters, RIVO will respond to the taxpayer when the refund issue is resolved.
    5Funds are not returned and RIVO indicators have been resolvedSend letter to the taxpayer to advise of the refund status based on the CDN or FS Form 150.1 information received.

     

  3. Category Codes Associated with Command Code (CC) CHKCL
    Upon receipt of cases where oral statement was used, the Refund Inquiry Unit is to reinput the CC CHKCL if all the following conditions are met:

    • it has been more than three weeks since the CC CHKCL was input,
    • no disposition code received,
    • you have enough information to reinput the CC CHKCL without contacting the taxpayer.

    Once the trace is reinput, the refund trace time frames start over again, the TP must allow 6 weeks for paper checks and up to 120 days for direct deposits. 
     

    Category
    Codes    		DefinitionHow 
    Updated    		When
    Updated    		Overaged
    3911Oral statement/or correspondence received about refund.CC ACTON.Case controlled or condition identified.30 days from received date.
    RCTFCC CHKCL input for check or direct deposit claim.Computer generated.When CC CHKCL input.30 days from action date.
    RFCKCC CHKCL input for Photocopy.Computer generated.When CC CHKCL input.30 days from action date.
    RFIQCorrespondence received about refund.CC ACTON.When case controlled45 days from received date.

     

21.4.2.4.4 (10-01-2026)

Responding to Taxpayer's Subsequent Inquiries Regarding Refund Trace

  1. The taxpayer or their authorized representative may subsequently inquire, either by phone or in correspondence, after initiation of a refund trace on their missing refund check or non-receipt of a direct deposit refund. Determine if the taxpayer expected to receive their refund as a paper check or direct deposit. Use the following table in your attempt to resolve the taxpayer's issues.

    Reminder:

    The "MEMO-MONEY-AMT" field of the TC 971 AC 011, which indicates a previous trace, indicates the dollar amount of the refund being traced. Review AMS comments left from a previous contact for the date, amount, document locator number (DLN) and refund schedule number (RSN) of the refund previously traced.

    Note:

    Effective January 2026 and subsequent BMF direct deposits will be allowed for all BMF MFTs.

    Note:

    If the taxpayer meets hardship criteria, refer to IRM 21.1.3.18, Taxpayer Advocate Service (TAS) Guidelines, and IRM 13.1.7.4, Exceptions to Taxpayer Advocate Service Criteria, before referring to TAS.

     

  2. Procedures below that require a Form 4442 or e-4442, Inquiry Referral, send the referral to the Refund Inquiry Unit that controls the case. If there is no open control base, send the referral to your affiliated Refund Inquiry (RI) unit. For IMF cases, Puerto Rico uses the Brookhaven Campus RI unit as its affiliated RI unit. For BMF cases, Puerto Rico uses the Cincinnati Campus RI unit as its affiliated RI unit.

    Note:

    When sending Form 4442/e-4442, Inquiry Referral, per the chart below: Select Referral Type: "IRM" , IRM Category: "Refund" , Sub-category: "Refund Trace- Subsequent Contact" and Reason: "Other or Complex Issue/Training Specialization" . Under notes section, include information provided by the taxpayer. Verify taxpayer’s telephone number and address. Advise the taxpayer to expect a response within 30 days.

    Reminder:

    Before sending a referral to a Refund Inquiry Unit, ask the taxpayer whether they received a letter about the refund. If the taxpayer received a letter, attempt to obtain a copy by fax while you are on the call. If you cannot receive the fax, advise the taxpayer to follow the instructions in the letter.
    When possible, attach documentation received by fax to the associated CII case. If the case is no longer open, forward the documentation to the appropriate Refund Inquiry Unit as described above.

    RowIfAndThen
    1Taxpayer calls to check the status of their refund traceThe refund was issued as a paper check

    1. Research IDRS to determine whether a TC 971 AC 011 for the refund in question posted after the TC 840 or TC 846 date. If TC 971 AC 011 is not found:

      1. For IMF, see IRM 21.4.2.4, Refund Trace Actions.
      2. For BMF refunds (which do not meet oral statement criteria), follow IRM 21.4.2.4.1 (1), Form 3911, Taxpayer Statement Regarding Refund.

       

    2. If TC 971 AC 011 is found, research the claim to determine the disposition code. Follow the procedures for the applicable disposition code. See Exhibit 21.4.2-5, Disposition and Status Codes — Additional Action Time Frames.
    3. If more than six weeks have passed since TC 971 AC 011 posted and there is no disposition code, or you cannot resolve the taxpayer's inquiry, send Form 4442/e-4442 to the Refund Inquiry Unit following the procedures above.
    2Taxpayer calls to check the status of their refund traceThe refund was issued as a direct deposit

    1. Research IDRS to determine whether a TC 971 AC 011 for the refund in question is posted after the TC 840 or TC 846 date. If TC 971 AC 011 is not found:

      1. For IMF, see IRM 21.4.2.4, Refund Trace Actions.
      2. For BMF refunds that do not meet oral statement criteria, follow the procedures in IRM 21.4.2.4.1 (1), Form 3911, Taxpayer Statement Regarding Refund.

       

    2. If TC 971 AC 011 is found and less than 90 days have passed since the TC 971 AC 011 posting date, tell the taxpayer that banks have up to 90 days from the date CC CHKCL was input to respond to the IRS request for information.

      Note:

      Although banks have up to 90 days to respond, resolution may take up to 120 days.

       

    3. If TC 971 AC 011 is found and 90 days or more have passed since the TC 971 AC 011 posting date, research the claim to determine the applicable disposition code. Follow the procedures for the applicable disposition code. See Exhibit 21.4.2-5, Disposition and Status Codes Additional Action Time Frames, for more information.
    4. If there is no disposition code, or you cannot resolve the taxpayer's inquiry, send Form 4442/e-4442 to the Refund Inquiry Unit following the procedures above.
    3Taxpayer finds their paper refund check after Form 3911, Taxpayer Statement Regarding Refund, was sent, or a refund trace was initiated per oral statement authorityno content

    1. Determine whether the CC CHKCL action can be interrupted. See the note below for the CC CHKCL TERUP time frame.

      Note:

      A refund trace cannot be interrupted after the campus deadline to "DQ" the trace has passed. Per IRM 2.4.23.2 (5), General Overview for Command Code CHKCL/CHKCLR, CC TERUPC can only be completed on the same day that CC CHKCL was input.

       

    2. If it is too late to cancel the trace and the trace was valid, tell the taxpayer to wait for the replacement check and return the original check after receiving the replacement. If the original check is found and cashed, tell the taxpayer to return the replacement check. See IRM 21.4.3.5.4, Returned Refund Check Procedures. Input a History Item on CC TXMOD "CHKFOUND" .

    3. If CC CHKCL was input today and CC TERUPC can be completed, tell the taxpayer the refund trace can be canceled, and the check may be cashed.

      Note:

      Completing CC TERUPC requires same-day contact with the site that input CC CHKCL.

       

    4Taxpayer locates their direct deposit refund after Form 3911, Taxpayer Statement Regarding Refund, was sent, or a refund trace was initiated per oral statement authorityno content

    1. Determine whether the CC CHKCL action can be interrupted. See the note below for the CC CHKCL TERUP time frame.

      Note:

      A refund trace cannot be interrupted after the campus deadline to "DQ" the trace has passed. Per IRM 2.4.23.2 (5), General Overview for Command Code CHKCL/CHKCLR, CC TERUPC can only be completed on the same day that CC CHKCL was input.

       

    2. If it is too late to cancel the trace and the trace was valid, tell the taxpayer to contact their bank about the trace and request assistance. Input a History Item on CC TXMOD "DEPFOUND" .

    3. If CC CHKCL was input today and CC TERUPC can be completed, tell the taxpayer that the refund trace can be canceled and the direct deposited funds may be used.

      Note:

      Completing CC TERUPC requires same-day contact with the site that input CC CHKCL.

       

    5Taxpayer received FS Form 1133, Claim Against the United States for the Proceeds of a U.S. Treasury Check, from the Bureau of the Fiscal Service (BFS)Check was cashed by someone other than the taxpayer

    Advise the taxpayer to complete the claim form (FS Form 1133) and return it to the Bureau of the Fiscal Service (BFS) to pursue the claim.

    Note:

    If the taxpayer needs assistance with FS Form 1133, provide the taxpayer with the BFS Check Claims Branch toll-free number, 855-868-0151 between the hours of 8:00 a.m. and 4:30 p.m. ET Monday - Friday. Advise the taxpayer to press option 1, then option 1 again. Both English and Spanish speaking assistance is available on the Check Claims toll-free number.

    6Taxpayer received FS Form 1133, Claim Against the United States for the Proceeds of a U.S. Treasury Check, from the Bureau of the Fiscal Service (BFS)Check attached to the FS Form 1133 does not belong to the taxpayerAdvise the taxpayer to contact the BFS Check Claims Branch toll-free number, 855-868-0151 between the hours of 8:00 a.m. and 4:30 p.m. ET Monday - Friday to report the incorrect check received. Advise the taxpayer to press option 1, then option 1 again. Both English and Spanish speaking assistance is available on the Check Claims toll-free number.
    7Taxpayer received FS Form 1133, Claim Against the United States for the Proceeds of a U.S. Treasury Check, from the Bureau of the Fiscal Service (BFS)Does not wish to pursue the claimAdvise the taxpayer no further action is required. The taxpayer may keep the copy of the check for personal records.
    8Account shows category PAIDTaxpayer says they did not receive the FS Form 1133
    1. Research CII for a closed refund trace case. If found determine if FS Form 1133 has been attached, if attached provide taxpayer with a copy either by mail or fax.
    2. If no prior CII case is found or FS Form 1133 is not attached to a prior CII case, then advise the taxpayer to contact the BFS Check Claims Branch toll-free number, 855-868-0151 between the hours of 8:00 a.m. and 4:30 p.m. ET Monday - Friday to request FS Form 1133 be sent to them. Advise the taxpayer to press option 1, then option 1 again. Both English and Spanish speaking assistance is available on the Check Claims toll-free number.
    9Taxpayer finds the original checkAlso received a replacement checkAdvise the taxpayer to return the original as soon as possible. See IRM 21.4.3.5.4, Returned Refund Check Procedures, for information. Input a History Item on CC TXMOD saying "CHKFOUND" .
    10Taxpayer sends correspondence to check the status of their refund traceA TC 971 AC 011 is posted after the TC 846 date
    1. Use information from the boxes above to research the account.
    2. Follow procedures in IRM 21.3.3.3.4, Quality and Timely Responses, to advise the taxpayer of the current status of their refund trace. For CII cases, after capturing the request completed screen of CC LETER, close your case.
    11Taxpayer’s reply to 0206C letter requesting additional information is received in CIIA TC 971 AC 011 is posted after the TC 846 date

    Update document type to Refund Inquiry Correspondence, category 3911, and program code 01040. Reassign the case to the Refund Inquiry Site Specialized number based on the first 2 digits of the TC 971 AC 011 DLN. For holding numbers see Refund Inquiry Site Specialized Holding Numbers, located on SERP under the Who/Where tab.

    Reminder:

    If previous claim can be found in CII, link new correspondence to original claim prior to reassignment.

    12Taxpayer’s completed FS Form 1133 is received in CIIA TC 971 AC 011 is posted after the TC 846 date

    Update document type to Refund Inquiry Correspondence, category 3911, and program code 01040. Reassign the case to the Refund Inquiry Site Specialized number based on the first 2 digits of the TC 971 AC 011 DLN. For holding numbers see Refund Inquiry Site Specialized Holding Numbers, located on SERP under the Who/Where tab.

    Reminder:

    If previous claim can be found in CII, link new correspondence to original claim prior to reassignment.

    13Taxpayer was issued a replacement check by BFSTaxpayer says they did not receive the replacement checkAdvise the taxpayer to contact the BFS Check Claims Branch toll-free number, 855-868-0151 between the hours of 8:00 a.m. and 4:30 p.m. ET Monday - Friday to request FS Form 1133 be sent to them. Advise the taxpayer to press option 1, then option 1 again. Both English and Spanish speaking assistance is available on the Check Claims toll-free number.
    14Taxpayer received Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check, from the IRSCheck was cashed by someone other than the taxpayer
    1. Advise the taxpayer to complete the claim form (Form 13818) and return it to the address indicated on page one of the document. If the taxpayer no longer has page one, provide the address and fax number of the IRS campus Refund Inquiry function associated to the taxpayer’s state of residency. For fax numbers and addresses, see Refund Inquiry Unit Addresses, located on SERP under the Who/Where tab.
    2. Advise the taxpayer to allow 45 - 60 days, from the date the Form 13818 is received to receive a determination from the IRS.
    15Taxpayer received Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check, from the IRSCheck attached to the Form 13818 does not appear to belong to the taxpayer
    1. Ask the taxpayer to read to you the following information from the copy of the check they received: the four digit symbol number and eight-digit check number from the upper right corner of the check located directly under the words “Check No”.
    2. Using this information research CC IMFOLC to determine if the account associated to the check belongs to the taxpayer. If it does, advise the taxpayer to complete the Form 13818 and return it to the IRS as instructed.
    3. If the account does not belong to the taxpayer, send Form 4442/e-4442 to the Refund Inquiry Unit following instructions above. Advise Refund Inquiry the incorrect check copy was received, and request a new copy be forwarded to the taxpayer. Then, follow procedures in IRM 21.1.3.2.2, Authorized and Unauthorized Disclosures to report the inadvertent unauthorized disclosure.
    16Taxpayer received Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check, from the IRSDoes not wish to pursue the claimAdvise the taxpayer no further action is required. The taxpayer may keep the copy of the check for personal records.
    17Taxpayer has returned Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check, from the IRSIs requesting an update on their refundAdvise the taxpayer to allow 45 - 60 days, from the date the Form 13818 is received to receive a determination from the IRS.
    If it has been longer than 60 days since the Form 13818 has been received (indicated by an open control with category 13818) and there is no indication of activity on the account, send Form 4442/e-4442 to the Refund Inquiry Unit following instructions above.

    Note:

    If you are unable to determine where an employee is located, refer to the IUUD:IDRS UNIT & USR DATABASE and Discovery Directory. When faxing Form 4442/e-4442, you must use the fax number provided in the IRM if one is available. If a fax number is not available, refer to the fax number for the appropriate function shown on the Form 4442 Referral Fax Numbers on the SERP Who/Where page. For additional information about preparing Form 4442/e-4442 and sending to the responsible Refund Inquiry function, see IRM 21.3.5.4.3, How to Transmit/Route Referrals to Another Office/Function.

     

  3. When the Refund Inquiry Unit receives a case from the field more than three weeks after CC CHKCL was input and no disposition code has been received, reinput CC CHKCL and inform the taxpayer. After you reinput the trace, the refund trace time frames begin again. The taxpayer must allow six weeks for paper checks and up to 120 days for direct deposits.

  4. Upon receipt of a valid Form 4442/e-4442, Refund Inquiry unit will:

    1. Create a new CII case by using the Create Case option based on the Form 4442/e-4442 received.
    2. Create the case using document type Refund Inquiry Correspondence, category RFIQ, program code 01040.
    3. Add a CII case note that includes the reason for case creation, which must include the eight-digit case number found on the Form 4442/e-4442.
    4. Attach a PDF copy of the 4442 to the CII case.

    5. Research CII for any related refund claim. If a related claim is found, link the newly opened CII case.

      Note:

      Do not reopen a case from CII archives. Reopening cases from CII archives may create an overage case.

       

    6. Close the Form 4442 (if it remains open in AMS) with "Closing to CISxxxxxxx" .
    7. Assign the newly opened case to the same employee who holds the open control on IDRS.
    8. If the open IDRS control is assigned to a Refund Inquiry holding number, or there is no open IDRS control, assign the case to your team lead or designated person.
    9. The employee assigned to the CII case will take the appropriate next action for which the referral was received.

    Reminder:

    Follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses, if an interim letter has been issued previously and the action taken will not generate a final response (notice) to the taxpayer. When sending letters to the taxpayer follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

     

21.4.2.4.4.1 (10-01-2026)
Subsequent Inquiries, with Status Code 11, without Prior Forgery Determination (Customer Service Representatives (CSRs) and Refund Inquiry Unit)

  1. This applies only to refund checks issued within 12 months of the TC 971 AC 011 date and there is not a TC 841 matching the TC 840 or TC 846 date. If returned funds are found, take steps to re-issue the refund to the taxpayer, if needed.

    Caution:

    If RIVO indicators are on the module, see IRM 21.4.2.4.3, Processing the Command Code (CC) CHKCL Trace Request, for actions to take prior to releasing funds to the taxpayer.

     

  2. For more information on refund checks issued more than 12 months from the current date, see IRM 21.4.2.4.7, Limited Payability (LP) Rules.

  3. For Phone CSRs, if a claim has been initiated:

    RowIfAndThen
    1

    CC CHKCL was input and

    1. TC 971 AC 011 is posted to the module
    2. Disposition Code 11 with category code PAID is on IDRS

    Note:

    The disposition code is located in the Activity Field of the IDRS Control History. The disposition code is displayed as the first 2 digits of the Activity Code followed by the date the BFS provided the Disposition in YYYYMMDD format (i.e., 1120250919 = Disposition 11 provided by BFS on September 19, 2025.

    		It’s been less than 30 days from the Disposition Code 11 date found on IDRS

    Advise the taxpayer that:

    1. Their claim is being worked, and they will receive a claims package from the Bureau of the Fiscal Service (BFS) which includes FS Form 1133 and a copy of the cashed refund check, within 30 days (of the Disposition Code 11 date found on IDRS).
    2. They should follow procedures in the claims package and return the form directly to the Bureau of the Fiscal Service and allow 90 days for processing.
    3. Advise the taxpayer not to return the FS Form 1133 to IRS.
    4. Document the information provided to the taxpayer in AMS.
    2It is 31 days or more from the Disposition Code 11 dateThe taxpayer has not received a claims package from the Bureau of the Fiscal Service (BFS)
    and
    There is a refund inquiry case for the refund in question in CII
    1. Determine if FS Form 1133 has been attached to the CII case.
    2. If attached provide taxpayer with a copy either by mail or fax. When providing a copy of the FS Form 1133, advise the taxpayer to return the form directly to the Bureau of the Fiscal Service and allow 90 days for processing.
    3. Document the information provided to the taxpayer in AMS.
    3It is 31 days or more from the Disposition Code 11 dateThe taxpayer has not received a claims package from the Bureau of the Fiscal Service (BFS)
    and
    There is no refund inquiry case for the refund in question in CII
    1. Research AMS comments for the refund date, amount, document locator number (DLN), and refund schedule number (RSN) for the refund being traced.
    2. Provide the check information (check and serial numbers) using CC IMFOL# and
    3. Advise the taxpayer to contact the Bureau of the Fiscal Service (BFS). They can be reached by phone at 855-868-0151 (press option 1, then option 1) between the hours of 8:00 a.m. and 4:30 p.m. ET Monday - Friday. Advise the taxpayer that they offer English and Spanish speaking assistance.
    4. Document the information provided to the taxpayer in AMS.
    4If you cannot determine the disposition code (history has fallen off IDRS)no contentResearch AMS comments for the refund date, amount, document locator number (DLN), and refund schedule number (RSN) for the refund being traced.
    If a TC 971 AC 011 is posted to the module for the refund and the refund does not meet Limited Payability criteria, use CC IMFOL# to provide the taxpayer with the check and serial numbers. Then refer the taxpayer to BFS as described in the box above.
    Document the information provided to the taxpayer in AMS.
    5Taxpayer received the claims packageThe check attached does not belong to the taxpayerAdvise the taxpayer to contact the BFS Check Claims Branch to report the incorrect check received.
    Document the information provided to the taxpayer in AMS.

    If the taxpayer prefers, they can send a letter to BFS at:

    1. Department of Treasury
      Bureau of the Fiscal Service
      Check Resolution Division
      P.O. Box 51318
      Philadelphia, PA 19115-6318

      Note:

      The Taxpayer Advocate Service (TAS) is an independent organization within the Internal Revenue Service (IRS), led by the National Taxpayer Advocate. TAS does not have authority over BFS. Once a case has been transferred or is under the authority of the BFS, TAS has limited authority to act on behalf of the taxpayer.

     

  4. If a refund was direct deposit, refer to IRM 21.4.1.5.7.1, Direct Deposit of Refunds.

  5. For Refund Inquiry Units Only

    IfAndThen
    Working the age listing for traces started as result of telephone contactCC CHKCL was input for the refund in question; a TC 971 AC 011 is on the module and a Disposition Code 11 with category code PAID is on IDRS.
    1. Access TCIS and print Form 1133 to PDF.
    2. Create a CII case using document type Refund Inquiry Correspondence, category code PAID, and program code 01040. Indicate the reason for case creation as “telephone trace closing actions”.
    3. Attach a copy of Form 1133 to the CII case.
    4. Use CC ACTON to update the case activity on IDRS of the telephone trace control to “CLOSE2CII”, then close the IDRS control from the telephone trace as MISC, leaving the CII control on the account.
    5. Suspend the case for 45 days and wait for determination to be made by BFS.
    6. Monitor TCIS Payment History tab for Claims Disposition Notice (CDN) information (see note below table) and leave CII case notes as updates are received.
    7. If CDN information is present on the Payment History tab in TCIS, follow procedures in IRM 21.4.2.4.13, Bureau of the Fiscal Service (BFS) Claims Disposition Notice (CDN).
    8. After 45 days of suspense if no CDN has been generated indicating BFS is working the claim, or funds are being returned to the IRS, follow procedures in paragraph 6 below.
    Working the claim through CIICC CHKCL was input for the refund in question; a TC 971 AC 011 is on the module and a Disposition Code 11 with category code PAID is on IDRS.
    1. Access TCIS and print Form 1133 to PDF.
    2. Attach a copy of Form 1133 to the CII case.
    3. Suspend the case for 45 days and wait for determination to be made by BFS.
    4. Monitor TCIS Payment History tab for Claims Disposition Notice (CDN) information (see note below table) and leave CII case notes as updates are received.
    5. If CDN information is present on the Payment History tab in TCIS, follow procedures in IRM 21.4.2.4.13, Bureau of the Fiscal Service (BFS) Claims Disposition Notice (CDN).
    6. After 45 days of suspense if no CDN has been generated indicating BFS is working the claim, or funds are being returned to the IRS, follow procedures in paragraph 6 below.
    A subsequent claim is receivedCC CHKCL was input for the refund in question; a TC 971 AC 011 is on the module and a Disposition Code 11 with category code PAID is on IDRS.
    1. Research the Payment Details Tab of TCIS, if a copy of the claim form is available, and no CDN (see note below table) has been generated indicating BFS is working the claim, or funds are being returned to the IRS, then provide a copy of the claim form to the taxpayer without referring them to the BFS.
    2. Send FS Form 1133 to the taxpayer; do not include a return envelope.
    3. Attach a copy of the FS Form 1133 to the case.
    4. Suspend the case for 45 days and wait for determination to be made by BFS.
    5. Monitor TCIS Payment History tab for CDN information and leave CII case notes as updates are received.
    6. If CDN information is present on the Payment History tab in TCIS, follow procedures in IRM 21.4.2.4.13, Bureau of the Fiscal Service (BFS) Claims Disposition Notice (CDN).
    7. After 45 days of suspense if no funds have been returned to IRS follow procedures in paragraph 6 below.

    Note:

    CDN information is supplied under the Claims History on the Payment History tab of TCIS. Look for the literal "Claims Disposition Notice sent to Agency - Code ##" , where ## is a two-digit numerical code. The CDN code verbiage can be found by searching for the "CDN Codes" in the help tab located on the left side of the TCIS window.

     

  6. If more than 45 days have passed since suspending the case and there is not a TC 841 matching the TC 840 or TC 846 date (or there is no CDN information found in the Payment History tab of TCIS): send a closing letter to the taxpayer advising no additional action is needed on our part and close the CII case.

    Reminder:

    Follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

     

21.4.2.4.5 (10-01-2026)

Disposition Status Codes

  1. The Refund Inquiry Unit will monitor cases after input of CC CHKCL to ensure proper actions. See Exhibit 21.4.2-2, Disposition Code Chart - Refund Inquiry Employee Actions, and Exhibit 21.4.2-5, Disposition and Status Codes Additional Action Time Frames, to determine if follow-up action(s) is required.

  2. The following actions occur once the refund trace reveals the check has been cashed:

    1. The Bureau of the Fiscal Service (BFS) sends a copy of the check with a FS Form 1133 Claim Form directly to the taxpayer.
    2. The taxpayer returns the FS Form 1133 directly to BFS, except in case of Limited Payability, see IRM 21.4.2.4.7, Limited Payability (LP) Rules.
    3. The IRS will receive a Disposition Code "11" .
    4. Refund Inquiry will forward subsequent claims received to BFS and notify the taxpayer.

    5. Depending on BFS's response, the taxpayer may receive either a letter advising the funds were returned to the IRS, denial letter, or interim response.

      Note:

      Prior to September 2025, a replacement refund check was issued by BFS if the original check was found to have been cashed over forged endorsement.

       

     

  3. BFS sends a Claims Disposition Notice to the IRS showing the final or interim disposition. In addition, BFS notifies the taxpayer of the status of the claim.

    Note:

    For more information on the Claims Disposition Notice, see IRM 21.4.2.4.13, Bureau of the Fiscal Service (BFS) Claims Disposition Notice (CDN).

     

  4. Refund Inquiry will monitor the case for 45 days. After 45 days of suspense if no CDN has been generated indicating BFS is working the claim, or funds are being returned to the IRS, a closing letter will be sent to the taxpayer.
21.4.2.4.6 (10-21-2025)

Refund Inquiry Unit Processing

  1. Input of CC CHKCL generates a request of non-receipt claims and stop payment information. This information is transmitted to the RFC for processing. The RFC will:

    1. Compare information with their records.
    2. Transmit information to the IRS indicating status or disposition of claim.

     

  2. RFC procedures for processing the request are given in the table below:

    IfThen
    RFC is unable to read the information transmittedRFC requests the campus to transmit again.
    RFC can read the informationRFC retains the information for 15 days.
    Claims information is processed by RFCInformation is used to update open control bases with Status of claim.

     

  3. The non-receipt claim must:

    1. Be processed in five (5) working days.
    2. Include date of receipt, releasing stop, and disposition.
    3. Determine status of payment or any previous action taken.

    Note:

    The disposition code listing goes back to the Refund Inquiry Unit of the center that inputs CC CHKCL or center affiliated with the office which input the CC CHKCL.

    Note:

    When there is a discrepancy between the payee name on the refund check and non-receipt claim, the RFC will use the payee name.

     

  4. Depending on the Status of the refund check one of the following occurs:

    RowIf non-receipt (or stop reason) code isAndThenGenerated Code at the Bureau of the Fiscal Service (BFS)
    1"N" , "L" , "D" , "S" , or "E" .Check is outstandingA recertified refund is automatically issued.D
    2"H" or "X"Check is outstanding

    Sets P Freeze. Credit must be released (i.e., manual refund, credit transfer).

    Note:

    If the trace involves an injured spouse condition, refer to IRM 21.4.6.5.6.6, Issuing the Injured Spouse Refund, and IRM 21.4.4, Manual Refunds.

    		D
    3"P" for Photocopy request for spousal disputeCheck outstanding Disposition "33"Send Letter 1219C, Refund Inquiry; (Joint Form 3911) Requires Certification: Form 1040, with appropriate paragraphs.K
    4"P" for Photocopy request for taxpayer’s recordsCheck outstanding Disposition "33"
    1. Send appropriate "C" letter.
    2. Advise the taxpayer that the check has not been paid.
    3. Include a Form 3911, Taxpayer Statement Regarding Refund.
    4. Advise the taxpayer if they wish to request a replacement check to complete the Form 3911 and return it to the center which issued the check.
    5. If an open control base, close with Activity Code "3911TOTP" .
    		K
    5"C" .Check CashedBFS sends Certified photocopy of the cashed check.L
    6Any code except "C" or "P" 
         		Refund less than 12 months old and check cashedBFS sends photocopy and FS Form 1133 Claim Form to taxpayer.D
    7

    "P" and Limited Payability

    Note:

    Use of any other non-receipt code on a Limited Payability check will cause a Disposition 18 and BFS will not send a check copy.

    		 
    1. BFS sends photocopies only to the campus.
    2. The campus determines whether the check was forged or sends a Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check, and the check photocopy to the taxpayer.
    		K
21.4.2.4.7 (10-01-2026)

Limited Payability (LP) Rules and Procedures

  1. Title 4 of the Competitive Equality Banking Act of 1987 (CEBA), Public Law 100-86, (Aug. 10, 1987), commonly referred to as Limited Payability (LP), established rules for cashing government checks:

    • Treasury does not have to pay a refund check issued on or after October 1, 1989, that was not negotiated within 12 months after the issue date of the check. See Section 1002 of CEBA codified at 31 USCA 3328 (a)(1)(A).
    • After 12 months Treasury cancels a refund check: and, if the check is still outstanding, the proceeds are "returned" to the IRS for crediting taxpayers' accounts to offset the payment entries. See 31 USCA 3334.
    • The law also places a limitation on the time the IRS can recover funds from the banks or financial institutions.

    Under the Limited Payability provision, checks expire (are not negotiable) on the last business day of the 12th month from the issue date. Limited Pay Cancellations (LPCs) will be credited to agencies the month after a check reaches one year from issue date (the 2nd business day in the 13th month). See table in paragraph (3) below.

     

  2. Taxpayers may submit claims for refund checks up to one year from the check issue date. After one year these claims are subject to Limited Payability provisions. Claims must be submitted to the Bureau of the Fiscal Service (BFS) by the last day of the 12th month, by using CC CHKCL with non-receipt Codes N, L, S, D, E, H, or X. See chart in paragraph (3) below.

    Note:

    Unlike the processing of regular check traces, Limited Payability procedures do not apply to direct deposit refund cases. It does not matter if the direct deposit is more than 12 months old. A non-receipt Code of "N" should be used for direct deposit traces.

    Note:

    For paper inquiries, accept a written statement provided all criteria in IRM 21.4.2.4 are met and the correspondence is signed by the taxpayer or their authorized representative. For joint returns, both taxpayers must sign.

     

  3. The chart below provides the refund issue date, the date a check can no longer be negotiated, and the date an LPC will be credited to the IRS.

    If the refund issue date isThen the refund check may be negotiated up toLimited Pay Cancellations will be credited by 2nd business day of
    January 2025January 2026February 2026
    February 2025February 2026March 2026
    March 2025March 2026April 2026
    April 2025April 2026May 2026
    May 2025May 2026June 2026
    June 2025June 2026July 2026
    July 2025July 2026August 2026
    August 2025August 2026September 2026
    September 2025September 2026October 2026
    October 2025October 2026November 2026
    November 2025November 2026December 2026
    December 2025December 2026January 2027

     

  4. The CP 32, We Sent You a Replacement Refund Check to Replace the One That Expired, and CP 237, Notice of Issuance of a Refund Check to Replace an Expired Check (BMF), is sent to the taxpayer when an expired check is reissued. Refer to IRM 21.3.1, Taxpayer Contacts Resulting From Notice Issuance.

  5. All LP claims received after the last day of the 12th month must be processed by the IRS. Take the following actions:

    1. Research the Treasury Check Information System (TCIS) for a copy of the check. If the check is not available on the TCIS system and BFS records show the refund check is still outstanding, see IRM 21.4.2.4.7 (9) below.

      Note:

      If the check in TCIS appears altered (e.g., different name on check, different money amount which is not supported by account research, etc.) proceed to IRM 21.4.2.1.3, Limited Payability: Taxpayer Disputes/Check Cashed/Possible Forgery.

      Exception:

      Cases with posted TC 971 AC 123 MISC-ALTERED-CHK prior to January 2025, follow procedures in IRM 21.4.2.4.14, Account 6565 processing, to allow limited pay claim.

       

    2. If check is available on the TCIS system, print a copy of the check.

      Note:

      If working a CII case, enter the CII ID on the upper left corner of the first page of the check copy page and save, then print the document to be sent to the taxpayer.

       

    3. Input a TC 971 AC 011 on CC TXMOD using the date you secure the check, the money amount of the check in the FREEZE-RELEASE-AMT field and a 3 in the MISC CODE field.

    4. Prepare and send Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check. Include the return address information for your Refund Inquiry function on page 1 of the Form 13818. Complete the following fields before sending Form 13818 to the taxpayer:

      FIELDField Description
      DateToday’s Date
      Tax ExaminerIDRS number of TE preparing the form and who will work Form 13818 response. See IRM 3.13.2.2.1, Identification Requirements for IRS Employees, for more information
      Payee name and addressName and address to which check was issued
      Check amountAmount of check
      Symbol number4-digit check symbol number
      Check number8-digit check serial number
      Date of checkIssued date of check (i.e., date printed on check)
      Tax YearTax period from which refund was issued
      FormForm for which refund was issued

       

    5. Provide the taxpayer with a copy of the negotiated refund check secured from TCIS. Also attach copies of both the Form 13818 and refund check secured to your case file.

      Note:

      If working a CII case, enter the CII ID on the Form 13818, in the upper left corner above the form number (not on the cover page) and save. Attach a copy of the Form 13818 and a copy of the negotiated refund check to the CII case.

       

    6. Change the category code on your CII case to 3858.

      Reminder:

      All LP claims received after the last day of the 12th month must be processed by the IRS. Since these claims are not processed through normal refund trace procedures and do not normally yield a disposition code, ensure AMS or CII notes are maintained for case actions.

       

    7. Close your CII case.

      Note:

      If response is received after case is closed, do not reopen a case from CII archives. Reopening cases from CII archives may create an overage case. Instead of reopening an archived case, link the newly opened CII case to the related archived case(s). Proceed to IRM 21.4.2.4.11, Limited Payability: Taxpayer Disputes/Check Cashed/Possible Forgery, and take appropriate action.

       

     

  6. For prisoner refund checks that are stamped by their facility (ex: jail, prison, detention center):

    1. Research the Treasury Check Information System (TCIS) for a copy of the check. If the check is not available on the TCIS system and BFS records show the refund check is still outstanding, see IRM 21.4.2.4.7 (9) below.

    2. If check is available on the TCIS system, print a copy of the check.

      Note:

      If working a CII case, enter the CII ID on the upper left corner of the first page of the check copy page and save, then print the document to be sent to the taxpayer.

       

    3. Input a TC 971 AC 011 on CC TXMOD using the date you secure the check, the money amount of the check in the FREEZE-RELEASE-AMT field and a 3 in the MISC CODE field.

    4. Send Letter 0206C, Refund Inquiry; Copy of Check Requested or Provided/Check Being Traced Form 13818, to provide the taxpayer with a copy of the check. Include paragraph Y along with an open paragraph with the following suggested verbiage "Our records indicate that the check was deposited by your facility. Please speak with your facility for assistance with your refund." Do not include Form 13818 as an enclosure.

      Note:

      If working a CII case, follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

      Reminder:

      All LP claims received after the last day of the 12th month must be processed by the IRS. Since these claims are not processed through normal refund trace procedures and do not normally yield a disposition code, ensure AMS or CII notes are maintained for case actions.

       

    5. Close your CII case.

      Note:

      If response is received after case is closed, do not reopen a case from CII archives. Reopening cases from CII archives may create an overage case. Instead of reopening an archived case, link the newly opened CII case to the related archived case(s). Proceed to IRM 21.4.2.4.11, Limited Payability: Taxpayer Disputes/Check Cashed/Possible Forgery, and take appropriate action.

       

     

  7. If the taxpayer requests a certified copy of a check from within the past seven years:

    1. Input CC CHKCL with non-receipt code C and BFS will provide a photocopy of the check directly to the taxpayer.
    2. Input a TC 971 AC 011 on CC TXMOD using the date you secure the check, use the money amount of the check in the FREEZE-RELEASE-AMT field and a 1 in the MISC CODE field.
    3. Send Letter 0206C, Refund Inquiry; Copy of Check Requested or Provided/Check Being Traced Form 13818, advise the taxpayer that BFS will mail them the certified copy. You may use the following suggested verbiage: "We asked the Bureau of the Fiscal Service (the office that issues refund checks) for a certified copy of your check. They will forward the copy to you within the next 30 days if the check was cashed."

    4. Close your case.

      Note:

      If working a CII case, follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request. After letter is attached if no other actions are needed, close your case.

       

     

  8. Any CC CHKCL input after the last day of the 12th month with a non-receipt code other than P or C will receive a Disposition Code 18 (if check is cashed) and will NOT create a BFS claim. See Exhibit 21.4.2-2, Disposition Code Chart - Refund Inquiry Employee Actions, for Disposition Code 18.
  9. If BFS records show the refund check is still outstanding on the last day of the 12th month, then BFS will cancel the refund and return the credit to the IRS which will post in approximately the third week of the 13th month after issuance. It will post on the tax module as a TC 740 with blocking series 66666. See IRM 21.4.2.4.7.2, Limited Payability Computer Paragraph (CP) 32/237.
  10. If Form 13818 is returned undeliverable and a current address is unavailable (or transposition errors are not found), leave a case note indicating Form 13818 was returned undeliverable and current address is unavailable or transposition errors not found and close the case.
21.4.2.4.7.1 (05-11-2026)
Refund Credits/Debits TC 740/TC 841/TC 843 — Bureau of the Fiscal Service (BFS) Reason/Cancellation Codes
  1. The Bureau of the Fiscal Service (BFS) returns credits to the IRS through the Government On-Line Accounting Link Systems (GOALS). BFS in Philadelphia, PA sends detailed supporting information to Martinsburg Computing Center (MCC).

  2. The Treasury Receivable, Accounting and Collection System (TRACS) replaces the SF1081 and includes three types of transactions:

    • Limited Payability
    • Reclamation credits
    • Payment Over Cancellation (POC) debits

     

  3. MCC sorts the transactions as either IMF, BMF, or Miscellaneous. IMF and BMF transactions are directly posted to taxpayer's Master File accounts and MCC forwards three separate listings for each of the three categories to the campus for further processing. These listings are to be used by the Refund Inquiry employees as research tools.

  4. The listings are titled as follows:

    • TRACS LISTINGS: RECLAMATIONS (REC)
    • TRACS LISTINGS: UNAVAILABLE CHECK CANCELLATION (UCC)
    • TRACS LISTINGS: PAYMENT OVER CANCELLATION (POC)

     

  5. Transactions are posted as:

    • TC 740 – Limited Payability (LP) cancellations — block and serial number "66666" , S- Freeze is set. Credit returned on checks automatically cancelled after expiration of one (1) year negotiability period as provided by the Limited Payability Law.

      Exception:

      Must be the same credit, see paragraph (8) below.

       

    • TC 841 - Altered Check— block and serial number 77715, P- Freeze is determined after review by RICS, to either freeze or release returned funds.
    • TC 841 – Reclamation Credits — block and serial number "88000" or 88800, P- Freeze is set.
    • TC 841 – Unavailable Check Cancellations (Form 1184 request) — block and serial number "88111" , P- Freeze is set.
    • TC 841 - Unavailable Check Cancellations (non-receipt codes H or X) -- block and serial number "88888" , no P- Freeze set.

    • TC 843 – Payments Over Cancellations — block and serial number "55111" .

      Note:

      See Exhibit 21.4.2-3, Reason for Cancellation Codes and Generated Account Information.

       

     

  6. The Reason Codes for the TC 740 are:

    • Code 02 – Checks returned to the RFC by the Postal Service as undeliverable. Credits will post as TC 740 with the block and serial number "99999" and set an S- Freeze.
    • Code 40 – Credit returned on checks automatically cancelled after the expiration of 1 year negotiability period as provided by Limited Payability Law. Credits will post as TC 740 with a block and serial number "66666" . Credits under ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ will set an S- Freeze.

     

  7. The Reason Codes for the TC 841 are:

    • Code 01 – Checks intercepted per the IRS request. Credits will post as TC 841 with the block and serial number "55555" and set a P- Freeze.
    • Code 03 – Checks returned to the RFC for reasons other than undeliverable. Credits will post as TC 841 with the block and serial number "99999" or 77715 and set a P- Freeze.
    • Code 08 – Checks returned on outstanding check because of a Check Claim (CC CHKCL Status "32" ), input with non-receipt codes "H" or "X" . Credits will post as TC 841 with the block and serial number "88899" and set a P- Freeze.
    • Code 09 – Credits returned as the result of a check claim when the check is outstanding. Credits will post as TC 841 with a block and serial number "88888" or 77715 and does NOT set a freeze.

    Note:

    CC IMFOL and CC TXMOD will display the BFS Cancellation Dates for TC 740 and TC 841.

     

  8. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ A refund check is automatically reissued on first time LP cancellations. A second or subsequent LP cancellation remains frozen on the account and eventually results in a TC 388 "Statute Expiration Clearance" to zero balance if credit is never released.
21.4.2.4.7.2 (10-01-2018)
Limited Payability Computer Paragraph (CP) 32/237
  1. Credits between ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ will automatically release to the taxpayer. A CP32, We Sent You a Replacement Refund Check to Replace the One That Expired, or CP 237, Notice of Issuance of a Refund check to Replace an Expired Check, is issued to the taxpayer explaining the original check was not cashed, and a replacement check is being issued. If the credit is less than ≡ ≡ ≡ no notice is generated, and no further action will be taken unless the taxpayer contacts the IRS.

  2. Credits over ≡ ≡ ≡ ≡ ≡ will generate CP 32A, Call Us to Request a New Refund Check - Old Check Has Now Expired, or CP 237A, Please Contact us to Request a Replacement Check for the Check that Expired, to the taxpayer and set an S- Freeze. Taxpayers must contact the IRS for the refund to be released. If the taxpayer responds by phone, notice, or letter, see IRM 21.4.2.4.10, Processing Limited Payability (LP) Responses.

    Note:

    In July 2011, a "2-D Bar Code" pilot program involving various CP notices (including CP 32A) was implemented. Some of the notices will still display the entire SSN while others will have the SSN redacted/masked (e.g., XXX-XX-1234). To identify the account, a "handheld" bar code scanner must be used to read the taxpayer account information. If the scanner cannot read the bar code, CC TPIIP must be used. For more information on the command code, refer to IDRS Command Code Job Aid located on SERP under IRM Supplements. Additional CP notices utilizing this configuration requiring the bar code scanner will be rolled out periodically in the future.

     

  3. CP 32 and CP 32A are no longer routed to the Refund Inquiry Unit for 100 percent review. These notices are mailed directly from Machine Services. The new notice format sufficiently explains the Limited Payability (LP) expired check and subsequent refund to the taxpayer. Taxpayers receiving a CP 32A or CP 237A notice must respond by phone or mail before a refund can be re-issued.

    Note:

    LP Cancel transcripts are identical to CP 32A or CP 237A. Transcripts can be destroyed when received.

     

21.4.2.4.8 (10-01-2005)

Responding to Inquiries about Expired Refund Checks

  1. Employees other than those at the Refund Inquiry Unit must follow the table below:

    IfThen
    Taxpayer wishes to return an expired checkFollow returned check procedures in IRM 21.4.3.5.6, Resolving Returned Expired Refunds Limited Payability.
    Expired check on the account with an S- freezeFollow S- Freeze procedures in IRM 21.4.3, Returned Refunds/Releases.
    Expired check with no credit on the moduleNotify the taxpayer of the status and follow normal refund inquiry procedures if taxpayer indicates check was not received. See IRM 21.4.1, Refund Research.

    Note:

    If original refund was a manual refund, it may need to be reissued manually. Refer to IRM 21.4.4, Manual Refunds.

    Note:

    Refer to IRM 21.4.1, Refund Research, for information on researching refunds.

     

21.4.2.4.9 (10-01-2006)

Processing Limited Payability (LP) Cancellations on Checks Dated after 9/30/1989

  1. The following account actions occur automatically:

    IfAndThen
    First-time LP cancellation ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡no content
    1. Refund is automatically reissued (unless other freezes on the account that prevents refund).
    2. A computer-generated notice CP 32, We Sent You a Replacement Refund Check to Replace the One That Expired, or CP 237, Notice of Issuance of a Refund Check to Replace an Expired Check.
    There is a second or subsequent LP cancellation ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡Taxpayer does not contact the IRS
    1. No further action is taken.
    2. LP cancellation remains frozen
    3. TC 388 statute expiration clearance posts.

    Note:

    TC 389 will post and reissue the refund when the account is brought back from retention.

    LP cancellation ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡no content
    1. No automatic release.
    2. Will post as S- Freeze.
    3. A CP 32 or CP 237 is not issued.
    4. No further action is taken.
    LP cancellation ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡no contentNo automatic release. A CP 32 or CP 237 is issued.

     

  2. LP cancellation credits post to an account as a TC 740. The posted credits have a DLN with a blocking series-serial number "66666" .
  3. Credits ≡ ≡ ≡ ≡ ≡ ≡ ≡ and credits ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ that are frozen for other reasons, including second LP cancellations, will generate complete master file transcripts and CP 32, and CP 237. These CP notices are identical to CP 32A and CP 237A except for the routing instructions.
21.4.2.4.10 (03-15-2023)

Processing Limited Payability (LP) Responses

  1. If taxpayer contacts the IRS by phone, paper, or in person, use the following table to release a refund on an LP response.

    IfAndThen
    Original refund was a generated refund, TC 846S- Freeze and credit on module, and no open control present on the account (credit tax period or other tax periods)
    1. Release the credit using CC CHK64 or a manual refund, if appropriate.
    2. See Note below.
    Original refund was a manual refundno content
    1. Further research may be necessary.
    2. Replacement refund may need to be manual.

    Note:

    CC CHK64 input without further action requires no source document. Enter "No Source Document (NSD) LP Release" or other appropriate remarks. If the IRS is not at fault, DO NOT allow additional interest. Suppress the undeliverable notice. See IRM 21.4.3.5.6, Resolving Returned Expired Refunds Limited Payability, for additional information.

    Reminder:

    CC CHK64 does not allow for the input of a Bypass Indicator (BPI). Injured Spouse refunds must be issued via manual refund. A manual refund is also needed for a deceased taxpayer along with the appropriate documentation. Refer to IRM 21.4.4, Manual Refunds, and IRM 21.4.6, Refund Offset.

    Reminder:

    CC CHK64 is available as the "Reissue Refund (CHK64)" IAT tool and is a mandated IAT tool, see IRM 21.2.2-2, Accounts Management Mandated IAT Tools.

     

  2. Take further action on the account if needed:

    1. Contact other functions of the IRS.
    2. Contact the taxpayer. See Letter 533C, Refund Check Undelivered or Not Negotiated. Suspend case for 45 days (70 days for overseas taxpayers), allowing time for the taxpayer to respond.

     

21.4.2.4.11 (10-01-2026)

Limited Payability: Taxpayer Disputes/Check Cashed/Possible Forgery

  1. The following directions are for processing claims from taxpayers disputing cashed refund checks that are now Limited Payability (LP). If procedures in IRM 21.4.2.4.7, Limited Payability Rules and Procedures, have been followed to provide the taxpayer with a copy of their cashed refund check, proceed with determination below.

    Note:

    If the check in TCIS appears altered (e.g., different name on check, different money amount, which is not supported by account research, etc.) proceed to IRM 21.4.2.1.3 below.

    Reminder:

    If the taxpayer indicates a refund check was not received after the one-year time limit has expired follow procedures in IRM 21.4.2.4.7, Limited Payability (LP) Rules.

     

  2. If the check meets Limited Payability criteria and the taxpayer’s correspondence claims the check involves forgery, compare endorsement(s) on the check to available samples of taxpayer signatures, including any other check copies found in TCIS. If you are able to make a determination of the taxpayer’s signature, deny the claim. Proceed to IRM 21.4.2.4.11 (5) below for paragraphs to include in letter.

    Note:

    Using multiple signature examples for comparison may produce a more accurate result.

     

  3. If you are unable to make a determination, or no signature appears on the check:

    1. If Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check is not received with the claim, send Form 13818 to the taxpayer. Include the return address information for your Refund Inquiry function on page 1 of the form. Complete the following fields before sending Form 13818 to the taxpayer:

      FIELDField Description
      DateToday’s Date
      Tax ExaminerIDRS number of TE preparing the form and who will work Form 13818 response. See IRM 3.13.2.2.1, Identification Requirements for IRS Employees, for more information
      Payee name and addressName and address to which check was issued
      Check amountAmount of check
      Symbol number4-digit check symbol number
      Check number8-digit check serial number
      Date of checkIssued date of check (i.e., date printed on check)
      Tax YearTax period from which refund was issued
      FormForm for which refund was issued

       

    2. Provide the taxpayer with another copy of the negotiated refund check secured from TCIS. Also attach copies of both the Form 13818 and refund check secured to your case file.

      Note:

      If working a CII case, enter the CII ID on the upper left corner of the first page of Form 13818 and save. Attach a copy of the Form 13818 and a copy of the negotiated refund check to the CII case.

       

    3. Change the category code on your CII case to 3858.
    4. Suspend your case for 45 days for domestic taxpayers and 70 days for overseas taxpayers to allow the taxpayer time to respond to the requested information on Form 13818. Use activity code F13818XXX where the XXX is the julian date that represents the last day of the suspense period.

    5. If there is no response, leave a case note in CII and close case.

      Reminder:

      Follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses, if an interim letter has been issued previously and the action taken will not generate a final response (notice) to the taxpayer. When sending letters to the taxpayer follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

      Note:

      If a response is received after the case is closed, do not reopen the case from CII archives. Reopening archived cases from CII archives may create an overage case. Instead, use the Create Case option in CII to create a new case based on the taxpayer's contact and link the newly created CII case to the related archived case(s).

       

    6. If Form 13818 is returned undeliverable and a current address is unavailable (or transposition errors are not found), leave a case note indicating Form 13818 was returned undeliverable and current address is unavailable or transposition errors not found and close the case.

     

  4. When the taxpayer returns the completed and signed Form 13818, the Refund Inquiry tax examiner must:

    1. Review the claim form for all required information and signatures.

    2. Review the taxpayer's answers to questions on the Form 13818.

      Note:

      If the taxpayer submits additional written correspondence or provides additional information with the completed Form 13818 response, review and consider the correspondence in accordance with IRM 21.3.3.4, Correspondence Procedures and IRM 21.3.3.4.2, Policy Statement P-21-3 procedures before issuing a final correspondence response.

       

    3. Determine if the IRS erred in sending the refund check to an incorrect address.

      Reminder:

      Do not deny the claim based solely on the address. The check could have been intercepted prior to the taxpayer taking possession.

       

    4. Compare endorsement(s) on the check to available samples of taxpayer signatures, including any other check copies found in TCIS. Look for any obvious similarities or differences in the signature that would lead you to support or deny the taxpayer’s claim.

    Note:

    If the taxpayer has returned the Form 13818, and is requesting an update on their refund, advise the taxpayer to allow 45-60 days to receive a determination from the IRS.

    Note:

    Use appropriate paragraphs in Letter 0206C, Refund Inquiry; Copy of Check Requested or Provided/Check Being Traced Form 13818, to send incomplete forms back to the taxpayer.

     

  5. Based on the review of all information supplied by the taxpayer, follow the chart below:

    Note:

    When denying the claim, include paragraph X, unless otherwise noted below, to allow the taxpayer the opportunity to request reconsideration of their denial.

    Note:

    If working a CII case, follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request. After letter is attached if no other actions are needed, close your case.

    RowIfThen
    1If the taxpayer replies that they cashed the check, indicates no forgery has occurred or similar statement
    1. Send Letter 96C, Acknowledgment Letter for General Use/Inquiry.
    2. Close the case as no action.
    2It appears the taxpayer benefited from the check proceeds. For example: an indication that the check was deposited by one spouse on a joint account. Endorsement from a prison for deposit to a prisoners account
    1. Deny the claim.

    2. Send Letter 2218C, Refund Inquiry; Check Claim Disallowed, Check Endorsed/Paid. Include paragraph M or O in your response. Do not include paragraph X in your response.

      Exception:

      For prisoner refund checks that are stamped by their facility (ex: jail, prison, detention center) do not include paragraph M or O in your response, instead advise the prisoner to speak with their facility for assistance with their refund.

       

    3It appears the check was cashed with taxpayer's permission
    1. Deny the claim.
    2. Send Letter 2218C; include paragraph L in your response. Do not include paragraph X in your response.
    4It appears the check was endorsed by the taxpayer
    1. Deny the claim.
    2. Send Letter 2218C; include paragraph Y in your response. Do not include paragraph X in your response.
    5It appears the taxpayer allowed someone else to endorse their check
    1. Deny the claim.
    2. Send Letter 2218C; include paragraph J in your response. Do not include paragraph X in your response.
    6Check is stamped with a business endorsement different from name on CC ENMOD and no connection to the taxpayer can be foundAllow the claim.
    7There is no endorsement other than the bank's endorsement on the check. (No signature appears on the check; this includes an indication of electronic/virtual/photo deposit)

    1. Upon receipt of the completed Form 13818, take the following actions:

      • Compare the banking information supplied by the taxpayer on Form 13818 to the bank of first deposit (BOFD) listed on the check copy.
      • Research TCIS for copies of any other negotiated checks to determine previously used BOFDs.
      • If evidence is found that the BOFD has been used previously by the taxpayer, deny the claim.
      • If there is no evidence of prior BOFD use, contact BOFD and request assistance in determining account ownership, or confirmation of non-endorsement acceptance. Depending on the answers from BOFD, accept or deny the claim as appropriate. If no response from BOFD is received, accept the claim.

       

    2. After making a determination whether to accept or deny the taxpayer's claim, continue with IRM 21.4.2.1.6 below.
    8There is indication the taxpayer is making a fraudulent claim
    1. Deny the claim.
    2. Send Letter 2218C, with an explanation to the taxpayer. Include paragraphs G and R in your response. Do not include paragraph W in your response.
    9No check copy or endorsement is available for handwriting analysis
    1. Review taxpayer's account for any prior or subsequent year claims (TC 971 AC 011).

    2. Request any documentation such as:

      • Bank Statements
      • Police Reports
      • Taxpayer Letters
      • Anything the taxpayer has that convinces them the check was not received, or information you feel may be helpful.

       

    Note:

    The above guidelines are for the most common occurrences. If you have a case that is not covered in the table above, consult with your manager, senior, or lead tax examiner. If you cannot determine if the endorsement on the U. S. Treasury check is a forgery, go to IRM 21.4.2.1.3 below.

     

  6. At times taxpayers neglect to provide all necessary information when they return Form 13818 or correspondence.

    1. Use the appropriate C letter or Form 8599, Request for Missing Information Regarding Refund, to request all information necessary to complete the claim. This may include; missing forms, signatures, or other information.

      Reminder:

      Attach a copy of the Form 8599 to the CII case or provide complete details of the missing information in the case notes (e.g., Missing forms, missing signature, etc.). If using a C letter, follow IRM 21.5.1.5.1 (8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

       

    2. Suspend the case allowing 45 days for domestic taxpayers to respond and 70 days for overseas taxpayers.

    3. If there is no response, leave a case note in CII and close case.

      Reminder:

      Follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses, if an interim letter has been issued previously and the action taken will not generate a final response (notice) to the taxpayer. When sending letters to the taxpayer follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

      Note:

      If response is received after case is closed, do not reopen a case from CII archives. Reopening archived cases from the CII archives may create an overage case. Instead, use the Create Case option in CII to create a new case based on the taxpayer's contact and link the newly opened created CII case to the related archived case(s).

       

     

  7. After all information is considered:

    Note:

    When denying the claim, include paragraph X, unless otherwise noted above, to allow the taxpayer the opportunity to request reconsideration of their denial. If you are denying a reconsideration request, do not include paragraph X in your reply.

    IfThen
    Claim is validContinue to process, see IRM 21.4.2.4.14, Account 6565 Processing for Refund Inquiry Function.
    The examiner cannot make a decision to settle or deny the claimAdditional processing is required. Prepare claim to send to Center for Science and Design (CSD) (formerly National Forensics Laboratory (NFL)). See IRM 21.4.2.1.5 below.
    Denying the claim
    1. Send Letter 2218C and attach a copy to your case file.
    2. If a copy of the check was needed to work the case, attach a copy to the case file.
    3. Close case.

     

  8. If you believe the taxpayer’s claim is valid or no specific reason to deny the claim can be found, allow the claim following the procedures in IRM 21.4.2.4.14, Account 6565 Processing for Refund Inquiry Function.

    Exception:

    Do not issue a replacement check for the first, second or third round of Economic Impact Payments (EIP). For consistency, follow established procedures in IRM 21.4.1.5.7.6, non-receipt of Direct Deposited Refunds- "Refund Inquiry Employees", paragraph 4 or 5 as appropriate. Do not issue a replacement check for the Advance Child Tax Credit (AdvCTC) Payments, instead follow procedures in IRM 21.6.3.4.1.22.2.2, Reconciling Advance Child Tax Credit (AdvCTC) Payments - REFUND INQUIRY EMPLOYEES ONLY.

     

  9. If an altered limited payability check is identified during your research, take the following actions:

    Exception:

    Cases with posted TC 971 AC 123 MISC-ALTERED-CHK prior to January 2025, follow procedures in IRM 21.4.2.4.14, Account 6565 processing, to allow limited pay claim.

    • Refer a PDF copy of the claim package to the TIGTA Complaints Management Team (CMT) at OI.GovReports@tigta.treas.gov. TIGTA CMT will respond with a reference number for your case file.

      Note:

      TEs should have a reference number within 14 days. If you have not received a reference number within 21 days, send a follow-up email to the TIGTA CMT mailbox requesting a reference number. DO NOT re-send the information unless instructed to do so by the TIGTA CMT agent.

      Note:

      A TIGTA Special Agent will contact the financial institution to retrieve the altered check if they are in possession of it.

       

    • Since these mailboxes are not secure, two e-mails must be sent regardless of the order. Documents must be password protected; you must create that password and send separate from the documents.
    • Include the following when sending the PDF copy of the claim package:
      1. A complete image of the front and back of the altered check(s).
      2. A screenshot image of the TCIS Payment details screen.
      3. BOFD information for the bank where the check was cashed. Use the link at Financial Institution Routing Numbers to find the BOFD’s information based on the RTN.
      4. A complete copy of the taxpayer’s claim, including any additional information which may have been supplied by the taxpayer.
    • Indicate in the body of the e-mail that the Lead Submission Excel spreadsheet pertaining to the specific altered check is not applicable.

    • If the TE/CSR/Reviewer has determined the check to be altered then, upon receipt of the reference number from TIGTA CMT, follow the procedures in IRM 21.4.2.4.14, Account 6565 Processing for Refund Inquiry Function, to allow the Limited Payability (LP) claim.

      Note:

      Ensure all documentation shared is also attached to your CII case.

       

    Exception:

    Do not issue a replacement check for the first, second or third round of Economic Impact Payments (EIP). For consistency, follow established procedures in IRM 21.4.1.5.7.6, non-receipt of Direct Deposited Refunds- "Refund Inquiry Employees", paragraph 4 or 5 as appropriate. Do not issue a replacement check for the Advance Child Tax Credit (AdvCTC) Payments, instead follow procedures in IRM 21.6.3.4.1.24.2.2, Reconciling Advance Child Tax Credit (AdvCTC) Payments - REFUND INQUIRY EMPLOYEES ONLY.

     

  10. Send the case to the Center for Science and Design (CSD) (formerly National Forensics Laboratory (NFL)) for signature comparison only if you cannot determine if the endorsement on the U. S. Treasury check is a forgery. It may be necessary to request CSD assistance in the following instances:

    • The endorsement is written while the samples are printed. Obtain written samples from the taxpayer before forwarding to CSD.
    • The endorsement is printed while the samples are written. Obtain printed samples from the taxpayer before forwarding to CSD.
    • A stylized signature appears on the check, and legible writing is used on Form 13818 or Form 3911, Taxpayer Statement Regarding Refund.
    • Legible writing is used for the endorsement, and stylized signatures are used on the Form 13818 or Form 3911.

     

  11. When sending the case to CSD take the following actions:

    • Review the check copy to make sure the check number, symbol number, payee name and amount are correct.
    • Complete Form 13437, IRS Center for Science and Design Request for Services (Rev. 03/2023), and transmit electronically using the Submit by Email button located at the top of the form. The first page of Form 13437, is used to create a case in the laboratory while establishing the chain of custody as evidence is received by laboratory personnel. A copy of the completed Form 13437 must be included with the complete case being sent as evidence.
    • Follow the instructions on page 2 of the form under the header Submission of Physical Evidence, for the handling and delivery of the complete case to CSD.

    • In addition to a completed Form 13437, a complete case will include a photocopy of the check (front and back), a completed Form 13818, and/or any taxpayer correspondence received. If available, photocopies of prior checks signed by the taxpayer found on TCIS during your research and photocopies of three tax returns should also be included.

      Note:

      CSD policy does not allow for evidence to be sent via email as an attachment. Therefore, shipments sent to the laboratory should be made via United Parcel Service (UPS). Shipping via Fed Ex or U.S. Postal Service (registered mail using proper return receipt) is acceptable, but UPS is the preferred carrier.

      Note:

      Ensure all documentation shared is also attached to your CII case.

       

     

  12. Requests for lab assistance are usually completed in less than 60 days from the time the lab receives the complete case. If you have not received a response and it is more than 60 days, you may contact ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡. Tell them you are calling to follow up on a Limited Payability Trace. Provide the taxpayer’s last name and Taxpayer Identification Number.

    Note:

    The phone number above is for internal the IRS use only. This number is not staffed for public contact. Any taxpayer calls received are directed to a toll-free number for assistance.

     

  13. When the response is received from the CSD, the entire case file will be returned with a cover sheet entitled "Report of Laboratory Examination, IRS Claim Resolution (LP Trace)."

    Note:

    If working a CII case, follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request. Attach a copy of the response the is received from the CSD.

    If CSD response indicatesThen
    There are indications the payee was the writer
    1. Deny the claim.
    2. Send Letter 2218C; include paragraph R in your response.
    3. Close case.
    There are indications the payee was not the writerAllow the claim, if it otherwise appears valid.
    No Conclusion - additional signature samples are required
    1. Correspond with taxpayer using Letter 2219C, Refund Inquiry; Check Claim Received, Interim, Handwriting Sample Requested, using an open paragraph. Suspend case for 45 days (70 days for overseas taxpayers).
    2. Request taxpayer to sign his name ten times on the back of the "C" letter.
    3. Additionally, request copies of ten (10) documents signed within one year of date of refund check, if available.
    4. When signatures are received, return case to "CSD" with "CSD" cover sheet on front or make the forgery determination if possible.
    No Conclusion - a better copy of the check is needed
    1. Research TCIS for a better photocopy of check.
    2. If a better copy is located, return case to "CSD" with "CSD" cover sheet on front.
    3. If a better copy is not located, elevate the case to your manager to request better check copy from BFS. Follow (2) above when better copy is received.
    4. If better copy is not provided, do not return to "CSD" .
      - Deny the claim.
      - Send Letter 2218C; include paragraph P in your response.
      - Close case.
    No Conclusion - too limited/poor quality/other

    Unless the original check becomes available, no further examinations by "CSD" are practical at this time because of the limitations present in the evidence.

    1. Deny the claim.
    2. Send Letter 2218C; include paragraph P in your response.
    3. Close case.

     

  14. If claim on a Limited Payability trace is denied for any reason, send Letter 2218C. Keep a copy of the letter and a copy of the check with your case. Close case. 
     
  15. If taxpayer disputes denial, do not reopen a case from CII archives. Reopening archived cases from the CII archives may create an overage case. Instead, use the Create Case option in CII to create a new case based on the taxpayer's contact and link the newly opened created CII case to the related archived case(s). Reconsider decision based on the information provided by the taxpayer.
     
21.4.2.4.12 (10-21-2025)

Bureau of the Fiscal Service (BFS) Claims

  1. When a regular CC CHKCL trace finds the refund check has been negotiated, the Bureau of the Fiscal Service (BFS) will send a copy of the check with a FS Form 1133 Claim Form directly to the taxpayer. The taxpayer uses FS Form 1133 to file a claim for replacement of a refund check that has been negotiated by someone other than the taxpayer.
    If FS Form 1133 is received in the Refund Inquiry Unit, the claim should be processed as indicated below:

    Note:

    For all actions below, do not reopen a case from CII archives. Reopening archived cases from CII archives may create an overage case. Instead, Refund Inquiry will use the Create Case option in CII to create a new case based on the taxpayer's contact and link the newly created CII case to the related archived case(s).

    Reminder:

    When sending letters to the taxpayer follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

    IfAndThen
    Taxpayer confirms the signature on back of check is authentic or genuineTaxpayer or BFS returns FS Form 1133 form to the IRSEnsure any documentation is attached to the CII case, leave a case note and close the case.
    Taxpayer says signature is not authenticTaxpayer or BFS returns FS Form 1133 form to the IRS
    1. Refund Inquiry Unit will review the form for completeness and then send it to BFS.
    2. Send the taxpayer Letter 86C, Referring Taxpayer Inquiry/Forms to Another Office, advising them their claim was forwarded to BFS.
    3. BFS will make the claim determination and forward the determination to the IRS on the BFS Claims Disposition Notice (CDN).
    4. When working a CII case: ensure the CDN is attached to the CII case, use the Stamp or Text tool in the CII Document Viewer, or Adobe Acrobat Pro, to add “PII do not send to TP” to the upper left corner of the first page. Remember to click the Save button.
    5. Refund Inquiry Unit will work case according to disposition on the CDN. When all actions are complete, close the CII case.
    Taxpayer says signature is not authenticThe FS Form 1133 is incompleteRefund Inquiry Unit will return it to the taxpayer, with appropriate "C" letter requesting they complete the form and return to BFS.

    Reminder:

    Follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses, if an interim letter has been issued previously and the action taken will not generate a final response (notice) to the taxpayer. When sending letters to the taxpayer follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

     

  2. If the taxpayer calls to check on the status of FS Form 1133 after it has been returned to the BFS Check Claims Branch, provide the check information (check and serial numbers) using CC IMFOL# and advise them they must personally contact the Bureau of the Fiscal Service (BFS). They can be reached by phone at 855-868-0151 (press option 1, then option 1) between the hours of 8:00 a.m. and 4:30 p.m. ET Monday - Friday. Advise the taxpayer that they offer English and Spanish speaking assistance.
21.4.2.4.12.1 (10-21-2025)
Undeliverable Bureau of the Fiscal Service (BFS) FS Form 1133

  1. Upon receipt of an undeliverable Bureau of the Fiscal Service (BFS) FS Form 1133 from BFS, National Office or U.S. Postal Service, it is imperative that you mail the package to the payee’s current address, so as to resolve the payee’s claim. Refund Inquiry Unit will complete the following:

    1. Research CC ENMOD for address update after the date of the taxpayer inquiry.
    2. Determine if there were transposition errors in the name/address.

     

  2. If you can locate an updated address or you can correct transposition errors in the address:

    1. Leave a case note indicating that the Form 1133 is being mailed to the taxpayer.
    2. Re-mail FS Form 1133 to taxpayer. To avoid erroneous responses, do not send FS Form 1133 as an attachment in your closing letter, send under separate cover without a return envelope.
    3. Close your CII case.

     

  3. If a current address is unavailable or transposition errors are not found, leave a case note that a better address could not be located and close the case.
21.4.2.4.13 (10-01-2026)

Bureau of the Fiscal Service (BFS) Claims Disposition Notice (CDN)

  1. Once it is determined that a refund check has been cashed, BFS will determine whether to honor the payee’s check claim. BFS updates the disposition information in the Claims History section of the TCIS Payment History tab and sends the information to the Refund Inquiry function through a BFS CDN. Effective September 1, 2025, BFS no longer issues replacement settlement checks directly to taxpayers for refunds determined to involve forgery. BFS issues a letter of explanation to the taxpayer instructing the taxpayer to contact the agency that authorized the payment or, when appropriate, a denial letter.

  2. For all actions below, if the CDN is not already in CII, Refund Inquiry will use the Create Case option in CII to create a new case based on the CDN received. Do not reopen the case from CII archives. Reopening archived cases from CII archives may create an overage case. When possible, attach the CDN received to the CII case which prompted the refund trace.
    When creating the case, use:

    1. Document type Refund Inquiry Correspondence
    2. Category code 3859
    3. Program code 01040
    4. Attach a PDF of the CDN to the newly created CII case.

    After creating the case:

    1. Link the newly opened CII case to any related archived refund claim.
    2. Update AMS narrative or CII case note with the exact explanation or verbiage of what's written on the CDN.
    3. Close the CDN case using the “Close as MISC” button, see IRM 21.5.1.5.1 (18), CII General Guidelines.

    Reminder:

    Follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses, if an interim letter has been issued previously and the action taken will not generate a final response (notice) to the taxpayer. When sending letters to the taxpayer follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

     

  3. Using the Payee Identification or check information on the CDN, research CC SUMRY, CC IMFOLT, or CC IMFOLC to locate the refund in question. If using IMFOLC the correct tax module will appear.

    Note:

    If there is a control open to Accounting function or the CDN is for a refund with a Payment Over Cancellation (POC) condition (for example, a replacement refund check was issued, and both the replacement and the original check were negotiated causing a TC 843 to post), route the CDN to the open control or as appropriate to the Accounting team that works POC cases. For more information see IRM 3.17.80.8, Processing Payments Over Cancellation (POC) - Preliminary Processes before an Erroneous Refund.

     

  4. If module is not up on IDRS, input CC MFREQ(C) then follow procedures in the chart below:
     

    RowIf the CDN indicatesThen
    1"Forgery Established"
    1. Use CC REQ77 to input TC 971 AC 078 on CC TXMOD. Input the date of the CDN as the transaction date.
      BFS may send more than one CDN on the same refund check as they process the claim. Update your case notes with information supplied. If there is a previous TC 971 AC 078 on the module, link the CDN with the previous one. Do not input more than one TC 971 AC 078 for the same refund.
    2. Monitor the account for posting of the TC 841– Reclamation Credit — block and serial number 88000 or 88800, and a P- Freeze.
    3. Determine if the taxpayer is entitled to additional interest see IRM 20.2.4.8.5.3, Non-Receipt of Refund Check.

    4. Take action to release the refund to the taxpayer. When inputting a TC 290 for .00, or issuing a manual refund on decedent accounts, include the appropriate TC 770 as follows:
      If limiting credit interest to what was paid on the original, input TC 770 for the same amount of the TC 770/776 from the original refund, likewise using the same credit interest to date (“CR-INT-TO-DT”) of the TC 770/776.
      When no interest was paid on the original refund, input TC 770 for .00.
      When allowing additional interest, input TC 770 for the calculated amount.

      Exception:

      If funds are returned from BFS as result of a refund trace and the module has RIVO involvement follow procedures for Refund Inquiry in IRM 25.23.4-4, Identity Theft (IDT) Functional Routing and Referral Chart.

       

    For cases worked by BFS prior to September 2025, if the CDN indicates BFS issued a replacement check to the taxpayer, notate your case with the replacement check number including the 4-digit check symbol number and the 8-digit check serial number, and close your case.

    Note:

    If the original was a manual refund, or when issuing a manual refund on decedent accounts, a manual refund may be required. See IRM 21.4.4, Manual Refunds.

    2Agency will be credited or similar wording
    1. Monitor the account for posting of the credit and take appropriate action to release the funds to the taxpayer.
    2. Determine if the taxpayer is entitled to additional interest see IRM 20.2.4.8.5.3, Non-Receipt of Refund Check.

    3. Take action to release the refund to the taxpayer. When inputting a TC 290 for .00, or issuing a manual refund on decedent accounts, include the appropriate TC 770 as follows:
      If limiting credit interest to what was paid on the original, input TC 770 for the same amount of the TC 770/776 from the original refund, likewise using the same credit interest to date (“CR-INT-TO-DT”) of the TC 770/776.
      When no interest was paid on the original refund, input TC 770 for .00.
      When allowing additional interest, input TC 770 for the calculated amount.

      Note:

      "Claim Status: Resolved - Agency Transfer" on the Claims Details tab in TCIS followed by the IPAC information indicates funds are being returned to IRS, a TC 841 will post for the returned funds.

      Note:

      If the original was a manual refund, or when issuing a manual refund on decedent accounts, a manual refund may be required. See IRM 21.4.4, Manual Refunds.

       

    If forgery is determined, BFS will pay the taxpayer out of the Check Forgery Insurance Fund (CFIF) or return the funds to the IRS if it is after September 1, 2025. See IRM 21.4.2.4.15.3, Secret Service and Check Forgery Insurance Fund (CFIF).

    Note:

    The IRS cannot provide the taxpayer with any information about the status of the BFS settlement checks and cannot trace them.

    3"Settlement Denied" , "Settlement Not Authorized" , or "Settlement Not Recommended and Case is Closed"

    BFS has disallowed the claim and advised the taxpayer.

    1. Use CC REQ77 to input TC 971 AC 079 on CC TXMOD. Input the date of the CDN as the transaction date. Do not input more than one TC 971 AC 079 for the same refund. 
      If there is a previous TC 971 AC 078 for the same refund, BFS has done further investigation and has disallowed the claim after previously allowing it. Input TC 971 AC 079 and associate with the previous CDN.

    2. Research current and prior entity information for the taxpayer.

      • If claimant never lived at the check address (FS Form 1133 question 9 is No), research the return.
      • If the check address was incorrect due to an IRS error, research for another taxpayer with the same name at the address shown on the check.
      • If found, process as erroneous refund.
      • If not found, send the case back to BFS with a note: Please Adjudicate IRS error. The BFS adjudication (decision) process could extend the time frame for final resolution by 2 - 6 months. Advise the taxpayer they will be contacted by BFS if additional information is required.
      • If the address on the check is the same as that on the return, send the form back to the taxpayer with Letter 0206C, Refund Inquiry; Copy of Check Requested or Provided/Check Being Traced Form 13818, using appropriate paragraphs.

       

    Note:

    If the case is a mixed entity, further research may be required to determine if the claimant is entitled to the check. 
    Correct the account if necessary.

    4"Settlement not recommended pending refund from bank, incomplete FS Form 1133 Claim Form, or further investigation" or similar wording

    Follow procedures in paragraph 2 above.

    Caution:

    If BFS advises the IRS a settlement check has been issued to the taxpayer, do not issue a manual refund. This action will cause an erroneous refund. Anyone causing an erroneous refund must document the action and the employee must refer to IRM 21.4.5, Erroneous Refunds, and follow applicable actions.

    5"The claims package has been returned as undeliverable by the U.S. Postal Service"Follow procedures in IRM 21.4.2.4.12.1, Undeliverable Bureau of the Fiscal Service (BFS) FS Form 1133.
    6"The payee has released their claim"Update the AMS narrative or CII case note with the exact wording from the CDN.

    Reminder:

    Follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses, if an interim letter has been issued previously and the action taken will not generate a final response (notice) to the taxpayer. When sending letters to the taxpayer follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

     

  5. The CDN may have an unusual response and include copies of the FS Form 1133, check copies, or other forms. If it is not clear what BFS wants, research the CDN information supplied under the Claims History on the Payment History tab of TCIS. Look for the literal Claims Disposition Notice sent to Agency - Code ##, where ## is a two-digit numerical code. The CDN code verbiage can be found by searching for the CDN Codes in the help tab located on the left side of the TCIS window. If after researching the CDN code it is still unclear what BFS wants, contact BFS Customer Engagement Center via phone at 855-868-0151 and ask what action they intended for the taxpayer or the IRS.
  6. If a CDN is received for an account with an open External Lead control, follow procedures in IRM 21.4.1.4.6(4), External Leads Program or Other Questionable Refund Inquiries.
  7. See IRM 21.4.2.4.15.3.3, Check Forgery Insurance Fund (CFIF) Impact on the Agencies, for additional information about CDNs related to forgery claims.

  8. Any CDN that is informational only should be attached to an open CII case. If there is no open CII case, follow procedures in paragraph 2 above to create one. Suspend case 45 days and monitor account for possible TC 841 to post. If no TC 841 posts after 45 days follow paragraph 9 below. If TC 841 is posted, follow procedures in paragraph 4, box 2 for “agency will be credited” above. Duplicate CDNs are destroyed as classified waste without taking a case count.
    The following list of examples is not all inclusive.

    • Alleged forgery being investigated. More information to follow.
    • Settlement is not recommended at this time. A request has been made to the payee for additional examples of their signature.
    • Appeal received. Further review is necessary to determine what action should be taken.
    • Settlement is not recommended at this time, pending further review by the United States Secret Service.

     

  9. If more than 45 days have passed since suspending the case and there is not a TC 841 matching the TC 840 or TC 846 date (or there is no CDN information found in the Payment History tab of TCIS): send a closing letter to the taxpayer advising no additional action is needed on our part and close the CII case.

    Reminder:

    Follow guidance in IRM 21.3.3.4.2.2(7), Interim Responses, if an interim letter has been issued previously and the action taken will not generate a final response (notice) to the taxpayer. When sending letters to the taxpayer follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.

     

21.4.2.4.14 (06-05-2026)

Account 6565 Processing for Refund Inquiry Function

  1. If a decision is made to allow the Limited Payability (LP) claim by the TE/CSR/Reviewer, the "Account 6565" is debited, and a refund is issued to the taxpayer. Prepare Form 3809, Miscellaneous Adjustment Voucher, to debit "Account 6565" and post TC 841 to the taxpayer’s account. Be sure to use the TC 840 or TC 846 date of the applicable refund. Annotate "CAT 1" in the upper left of Form 3809. See Exhibit 3.17.80-11, Form 3809 Miscellaneous Adjustment Voucher, for information on completing the form.

  2. To determine the appropriate campus for routing the Form 3809 to Accounting, use the 8th and 9th position of the Refund Schedule Number (RSN). See Exhibit 3.17.79-4, Refund Schedule Number Format.

    Example:

    A refund has an RSN showing 2010046281Z. The 8th and 9th position is 28 which represents Philadelphia.

    If the 8th and 9th digits of the RSN areThen email the erroneous refund package to
    • 08 (Andover)
    • 07 (Atlanta)
    • 89 (Fresno)
    • 09 (Kansas City)
    		Kansas City A/ER Team at *TS SP Erroneous Refund Kansas City
    • 18 (Austin)
    		Austin A/ER Team at *TS SP Erroneous Refund Austin
    • 19 (Brookhaven)
    • 17 (Cincinnati)
    • 49 (Memphis)
    • 28 (Philadelphia)
    • 29 (Ogden)
    		Ogden A/ER Team at *TS SP Erroneous Refund Ogden

    The subject line on the email and the file will be the 6565 ACCT_Refund Schedule Number (RSN) last four digits on TIN. Example: 6565 ACCT 2014094175W_6081.

    Note:

    Please send a follow up email to the accounting site where the Form 3809 was submitted after the 15th business day of submission, when no account actions are shown on the tax module.

     

  3. When forwarding to Accounting include the following:

    • Completed Form 3809.
    • History sheet.
    • Complete transcript of account.
    • Copy of Form 3911, Taxpayer Statement Regarding Refund, or taxpayer correspondence.
    • Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check, response if one was sent to the taxpayer.
    • Photocopy (front and back) of the cancelled check. If photocopy is not available, an explanation is required on Form 3809.

    • If case was sent to Center for Science and Design (CSD) (formerly National Forensics Laboratory (NFL)), include their response. Annotate on Form 3809 that this response is attached.

      Reminder:

      Ensure that all documents being sent to accounting are attached as a PDF to the CII case before printing and forwarding.

       

     

  4. Change the category code on your CII case to RECL and suspend your case for 45 days.

  5. Monitor the account for posting of the TC 841. The TC 841 DLN will carry a Document Code "48" and Block Series "89XXX" . Take the following steps to release the refund:

    1. Determine if the taxpayer is entitled to additional interest (see IRM 20.2.4.8.5.3, Non-Receipt of Refund Check).
    2. Input TC 290 for .00 to release the refund to the taxpayer and include the appropriate TC 770 as follows: 
      •If limiting credit interest to what was paid on the original, input TC 770 for the same amount of the TC 770/776 from the original refund, likewise using the same credit interest to date (“CR-INT-TO-DT”) of the TC 770/776. 
      •When no interest was paid on the original refund, input TC 770 for .00. 
      •When allowing additional interest, input TC 770 for the calculated amount.
    1. Use the applicable source code (SC)
    2. Use hold code (HC) 3
    3. Use reason code (RC) 099, for IMF only

    Note:

    If the original was a manual refund, a manual refund may be required. See IRM 21.4.4, Manual Refunds.

     

21.4.2.4.15 (10-01-2005)

Miscellaneous Refund Trace Issues

  1. The following information covers miscellaneous refund trace issues. It also contains information on the Check Forgery Insurance Fund (CFIF), listings for monitoring cases, and the Bureau of the Fiscal Service (BFS) Reports.
21.4.2.4.15.1 (08-23-2019)
Holder in Due Course
  1. When the taxpayer endorses the refund check and gives it to an individual or business, other than a commercial bank, in exchange for something of value (cash, services, payment of debt, etc.), the individual or business getting the check is known as a "Holder in Due Course."
  2. If the check is later lost by or stolen from the "Holder in Due Course" , or processed for an incorrect amount, the holder may be able to make a claim on the check.
  3. A credit union may be considered a "Holder in Due Course" if it handles its finances through a commercial bank. Some larger credit unions deal directly with the Federal Reserve Board (FRB) and therefore would handle a lost-in-transit issue in the same way as a commercial bank.

  4. Claims sent to the IRS by commercial banks for checks that have been cashed and then lost or stolen in transit between commercial banks or between a commercial bank and the FRB will be returned to the bank with all required check information.

    1. If check symbol and serial number are not available, request this information from the RFC.
    2. The claim must be filed with the commercial bank’s Federal Reserve Bank, Government Check Department.
    3. Once the bank submits a claim to the FRB, the FRB will file the claim with the Bureau of the Fiscal Service (BFS).
    4. Since this was not initiated by the taxpayer, and since the Refund Inquiry function will be researching Treasury Check Information System (TCIS) for check information, these cases will not be Taxpayer Advocate Service cases.

     

  5. A "Holder in Due Course" claim must be submitted within one year of the issue date of the check.

    IfThen
    Claim is submitted after the one-year period expiresSend a denial letter stating: "We are sorry, but we cannot honor your claim on (fill in check identifying information). Under the Competitive Equality Banking Act of 1987, any claim on a Treasury check is barred unless it is presented to the agency that authorized the issuance of the check within one year after the date of the issuance of the check. We cannot take any further action in this matter. "
    Claim is submitted within one yearInform the taxpayer to contact BFS by phone at 855-868-0151 (press option 1, then option 1) or by sending a letter to:
    Department of Treasury
    Bureau of the Fiscal Service
    Check Resolution Division
    P.O. Box 51318
    Philadelphia, PA 19115-6318

     

21.4.2.4.15.2 (10-01-2016)
Request for Administrative Photocopy
  1. At times, a request for the disposition of a refund check is submitted by the United States Attorney’s office, or by a state attorney's office for court cases.

  2. Ask the requester if a subpoena can be served; if so, it should be served to:

    Bureau of the Fiscal Service
    Regional Finance Center
    Attn: Leonard Watley
    PO Box 51320
    Philadelphia, PA 19115-6320

  3. If the requester says that a subpoena cannot be served, inform them that a formal written request must be sent to the campus and the copy may take several weeks.
  4. If a formal request is received and the requester did not state that a certified copy is needed, obtain a check copy from TCIS. If not on TCIS, input the request for photocopy on IDRS using CC CHKCL with type of non-receipt code "P" . If a certified copy is needed, input CC CHKCL with non-receipt code "C" . See IRM 21.4.2.4.2, Input Command Code CHKCL.

  5. Area Offices use Form 4442/e-4442, Inquiry Referral, to request administrative photocopies. The area office will provide:

    • Taxpayer identification number
    • Tax Period and MFT
    • Type of refund issued TC 846 or TC 840
    • Amount of refund
    • Date of refund
    • Name, address (where the copy will be mailed) and phone number of the IRS employee requesting photocopy

     

  6. The Refund Inquiry function will process these requests. If any of the required information is missing, the request will be returned to the requester. A photocopy for this purpose should not be regarded as a claim or used to follow-up on a prior claim action.
21.4.2.4.15.3 (05-21-2025)
Secret Service and Check Forgery Insurance Fund (CFIF)

  1. If an inquiry is received stating the Secret Service (SS) has informed the taxpayer that SS is in possession of the refund check, you must follow these procedures:

    1. Contact:


      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
      ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
       

      Note:

      The above phone number is for internal IRS use only. This number is not staffed for public contact. Any taxpayer calls received are directed to the toll-free numbers for assistance.

       

    2. Identify yourself as an IRS employee.
    3. Tell the SS agent you have an inquiry stating that the SS has possession of the refund check.
    4. Provide all necessary taxpayer information about the check.
    5. Request verification that SS has possession of refund check.
    6. Obtain from the agent the check and symbol number as well as taxpayer information printed on check.
    7. Print a copy of the check from TCIS. Do not input CC CHKCL.

    8. When credit is returned, if manual refund criteria is met, follow instructions for preparing and issuing a manual refund.

      Note:

      If the Bureau of the Fiscal Service (BFS) forwards a Claim Disposition Notice (CDN) stating the Secret Service is investigating the negotiation of a refund check, do not contact Secret Service, unless the refund has been seized. Contact the Secret Service to request the status of the refund. Refer the taxpayer to BFS. See IRM 21.4.2.4.4.1, Subsequent Inquiries, with Status Code 11, without Prior Forgery Determination (Customer Service Representatives (CSRs) and Refund Inquiry Unit).

       

     

21.4.2.4.15.3.1 (06-05-2026)
Check Forgery Insurance Fund (CFIF)
  1. The Check Forgery Insurance Fund (CFIF) (31 U. S. C. §3343) is a revolving fund established to settle payee claims of non-receipt where the original check has been fraudulently endorsed. The CFIF cannot be used to settle claims when the original refund was direct deposited, and the taxpayer did not receive the refund.
  2. The Bureau of the Fiscal Service (BFS) issues all responses to taxpayers whenever there are claims filed that are the result of the non-receipt of a refund check issued within the past year. Their response includes; reclamation credit returned to IRS for reissuance, denial letters and determination pending letters.
  3. The IRS will continue to receive credits for non-receipt claims when it is determined the refund check has not been negotiated. This will be for both undelivered refund checks and non-receipt claims resulting in Status "32" .

  4. Reclamation Credits (generated after a refund trace (Form 3911) has been processed and funds have been recovered through the banking system) will post to the account with TC 841 with DLN 88000 or 88800 and a P- freeze. 
    When received in:

    • AMRH (on AM10 transcript cases that indicate a prior Refund Inquiry control), Route to ICT. The case is scanned to Refund Inquiry inventory under Doc Type Refund Inquiry Correspondence; Program Code 01040 and Category RECL, for case resolution.
    • Refund Inquiry assistors, after receiving these transcript cases, will research CII for related cases. If found, link the cases using the "Link" function on the "Active Case" page. After linking related cases (or if no related cases are found), follow guidance in IRM 21.5.6.4.31.1, P- Freeze with No Return Integrity Verification Operations (RIVO) Involvement, to release the refund to the taxpayer.

     

21.4.2.4.15.3.1.1 (10-01-2018)
Timeliness of Claim Due to Forgery

  1. Claims involving a Treasury check shall be barred unless:

    1. The claimant presents a statement of non-receipt to the payment certifying or authorizing agency within one year after date of the issuance of the check (31 CFR § 245.3); and
    2. The claimant files a claim within four months from the date on the claims package.

     

  2. For a timely filed claim, the Commissioner of the Bureau of the Fiscal Service (BFS) will pay out of the Check Forgery Insurance Fund (CFIF) to a payee or special endorsee of a Treasury check the amount of the check if the Commissioner determines that the payee or special endorsee has established:

    1. The presentment of a timely statement of non-receipt to the payment certifying or authorizing agency and the timely filing of a claim form with Treasury pursuant to 31 CFR § 245.3.
    2. The original check was lost or stolen without the fault of the payee or special endorsee, and whose endorsement is necessary for further negotiation.
    3. The original check was cashed and paid by Treasury on a forged or unauthorized endorsement of the payee's or special endorsee's name.
    4. The payee or special endorsee has not participated in any part of the proceeds of the negotiation or payment of the original check.

     

  3. Losses as a result of the negotiation of checks issued to deceased payees or to payees who were not entitled to payment will be charged to the CFIF.
21.4.2.4.15.3.1.2 (10-01-2019)
Bureau of the Fiscal Service Forgery Claim Package and Taxpayers Filing A Claim
  1. A claim may be filed by the payee/claimant after the receipt of a claims package, FS 3858. The claims package includes the claim FS Form 1133 copy of the paid check, and instructions for completing the claim form.

  2. The claim package is systemically sent if the check requested during processing of CC CHKCL has been paid. The Bureau of the Fiscal Service (BFS) claim FS Form 1133 and copy of the negotiated check are sent to the payee/claimant by BFS for examination. After examining the copy, if the payee/claimant denies negotiating the check, the payee/claimant should:

    1. Respond to BFS within 4 months from the date on the claim package.
    2. Follow instructions for completing the claim package.
    3. Complete and answer all questions on both sides of FS Form 1133.

    4. Sign FS Form 1133 where indicated. Both payee/claimants must sign if check is drawn to co-payees.

      Note:

      If the payee/claimant signs by a mark, the mark must be witnessed.

       

     

  3. If the payee admits to negotiating the check or does not return the claim form, BFS will take no further action.
21.4.2.4.15.3.1.3 (10-01-2006)
Processing Forgery Payment Over Cancellation (POC) in Treasury Check Information System (TCIS)

  1. When the Bureau of the Fiscal Service (BFS) processes POCs on forgery cases, they will:

    • Charge the agency for the overpayment.
    • Send 3858 Claims Package to the agency.
    • Adjudicate the claim after receipt of the claim form from the agency.
    • Institute reclamation to the financial institution.
    • Refer to Secret Service if valid.

     

21.4.2.4.15.3.1.4 (10-01-2006)
Reversal of Forgery Determination
  1. When the Bureau of the Fiscal Service (BFS) issues a settlement check to a payee based upon an initial determination of forgery before they complete the check tracing process, the forgery determination is often premature. When the BFS reverses the original forgery determination, they resolve their error by sending Form SF 1081 debit, Payment Over Cancellation (POC) to the campus. This action places the taxpayer accounts into balance due status.
  2. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

  3. The Accounting function will manually post a TC 840 debit for these refunds to the account. The Refund Inquiry Unit can identify these accounts by the Accounting function's use of the following special blocking series on these specific IMF and BMF accounts:

    • For the IMF Tax Class 2 and BMF Tax Classes 1, 3, and 4, the blocking series on the TC 840 is 550 through 553.
    • For BMF Tax Class 2, the blocking series on the TC 840 is 554.

     

  4. Accounting will send a copy of the SF 1081 debits to the Refund Inquiry Unit located at their campus. The Refund Inquiry Units will attach the SF 1081 to their case. This will allow for the immediate identification of any Payment Over Cancellation Case where BFS was the initiator of the settlement check, and the settlement check went to the Payee and not to the IRS.
  5. Upon identification, see IRM 21.4.2.4.15.3.1.3, Processing Forgery Payment Over Cancellation (POC) in TCIS.
21.4.2.4.15.3.2 (10-01-2021)
Appeal Decision on Forgery Based Check Claims
  1. If the Bureau of the Fiscal Service (BFS) decides that a claim is valid, they will notify the payee/claimant that the payee/claimant's appeal was successful. BFS will also notify the payment-authorizing agency or certifying agency that the payee/claimant's appeal was successful. Payment to the payee/claimant will be made in accordance with 31 CFR Part 235 and 31 CFR Part 245 within the Regulation relating to the CFIF (Settlement from the Check Forgery Insurance Fund).
  2. If BFS determines that a claim is not valid, they will notify the payee/claimant of the claim denial. The payee/claimant may appeal the denial of a claim within 60 days following the denial letter. If the payee/claimant’s appeal is denied, the payee/claimant may then file a civil suit.
  3. The notice of denial of a claimant's appeal will serve as the final agency action on a claim. No civil suit may be filed until the claimant has filed an appeal and received an appeal decision.
21.4.2.4.15.3.2.1 (08-23-2019)
Appeals of Denials on Forgery Check Claims
  1. An appeal is appropriate when a claimant seeks review of a denied claim based on the same information used by the Bureau of the Fiscal Service (BFS) in reaching its initial decision to deny a claim. The claimant may not seek a review of the initial denial based on new or additional information not available at the time of the initial denial.

  2. Appeals shall be made in writing and must be mailed to BFS at the following address:

    Bureau of the Fiscal Service
    Check Resolution Division
    P.O. Box 51318
    Philadelphia, PA 19115-6318

  3. Requests for appeal must include a reference check and symbol numbers identified in the notice of denial. To be considered, an appeal must be postmarked no later than 60 days following the date on the notice of denial.
21.4.2.4.15.3.3 (02-02-2026)
Check Forgery Insurance Fund (CFIF) Impact on the Agencies

  1. Under the CFIF, all agencies will be impacted by the following:

    • Generally, Treasury will resume recertification for all agencies on non-receipt claims after forgery is substantiated and the settlement criteria have been met.
    • Generally, agencies will not be responsible for recertifying payments out of their appropriations on non-receipt claims after forgery is substantiated and the settlement criteria has been met.
    • Agencies will receive credit from the CFIF on Payment Over Cancellations (POCs) for "C" and "D" Stops after forgery is substantiated, and the settlement criteria have been met. See Exhibit 21.4.2-4, Stop Reason Code Conversion Guide, for stop/non-receipt reason code definitions.
    • After CFIF implementation and a non-receipt claim is received and the issue amount is less than or equal to $25.00, the Stop Reason Code is "E" and the check is paid, the following message will be submitted to the agency on the Daily Advise of Status (DAS), "Paid the issue amount is $25.00 or Less, no further action will be taken" .
    • After CFIF implementation, 3858 Claim Packages will be mailed to the Payee/Claimant on stop codes "C" and "D" , unless otherwise instructed by the Agency. (For stop codes "F" and "G" , the 3858 Claims Package will be mailed to the address provided by the agency).

     

  2. After CFIF implementation, the following messages will be included in addition to the Claims Disposition Notice (CDN) messages currently used to advise the agencies of an action taken in adjudicating claims:

    • "Forgery Established. A Settlement Check Is Being Issued to the Payee" .
    • "Forgery Established. Treasury Is Crediting Your Account" .
    • "Alleged Forgery Being Investigated. Settlement Check Has Not Been Issued to the Payee Pending Investigation" . Information only. No action needed. Destroy as classified waste without taking a case count.
    • "Alleged Forgery Being Investigated. More Information To Follow" . Information only. No action needed. Destroy as classified waste without taking a case count.
    • "Forgery Established. Treasury Will Not Pursue Reclamation Action Because The Cost Of Collection Exceeds The Check Amount. Case Closed" .
    • "Forgery Established. Claim Valid but Settlement Not Appropriate, Based On Your Non-Entitlement STOP CODE. Treasury Will Credit Your Account When the Funds Are Collected" .

    • "Claim Valid but Settlement Not Appropriate Based On Your Non-Entitlement STOP CODE. Treasury Is Crediting Your Account" .

      Note:

      The above list is not all inclusive. Any CDN that is informational only should be destroyed as classified waste without taking a case count.

       

     

21.4.2.4.15.4 (10-01-2006)
Law Enforcement Agencies Have Possession of Taxpayer's Refund Check

  1. If an inquiry is received stating a law enforcement agency other than the Secret Service has taken possession of a taxpayer’s refund check, obtain information for contacting the agency before inputting CC CHKCL:

    1. Obtain the name and phone number of the agency.
    2. Request a copy of the police report.
    3. Contact agency to verify it has possession of check.
    4. Tell the agency to destroy refund check when case has been completed. Do not have agency return the check to the IRS.

     

  2. When the United States Postal Inspection Service seizes a U.S. Treasury check during an investigation, their procedures require them to inform the Regional Financial Center (RFC) that issued the check. They do this by sending a United States Postal Service (USPS) Form 2697. For checks authorized by the IRS, the RFC forwards the form to the agency for recertification of a check.
  3. If USPS Form 2697 is received from the RFC, make sure it indicates the taxpayer is entitled to the check and that the original refund check will not be given to the taxpayer. If sufficient information is available to process a check, initiate a check trace. The form must remain with the case to document the reason for initiating a check tracing action.
21.4.2.4.15.5 (02-02-2026)
Listings for Monitoring Cases

  1. As cases progress to each stage of processing required for final resolution, the category code(s) will be changed to reflect the current state of processing.

    1. In some cases, this is done automatically by the computer. In other cases, they are changed using CC ACTON and will be reflected on CC TXMOD.
    2. Each category code has its own "aging" time that determines when an asterisk appears in the HMMM column on the aged listings.
    3. The "aging" time is keyed to the minimum follow-up time for that step in the process. If an action is not taken on a case before the cutoff for the next aged case listings, the number "1" will appear in the HMMM column instead of an asterisk.
    4. If anything appears in the "HMMM" column such as an "*" , a number, or ">" symbol, the case is considered overaged.

     

  2. Category codes that allow aging from the last action date do so only when the case is in "B" Status. For this reason, it is important to maintain the case in "B" Status, unless otherwise directed, to allow easy monitoring of cases.
  3. See Exhibit 21.4.2-6, Category Codes, for "category codes" used in refund inquiry cases. Please note that any category code generated by the computer can also be input manually by using CC ACTON if it is needed to reflect the true Status of the case.
  4. To prevent an excess of closed cases being left in the suspense file, a clerk or designated person must purge the file monthly. If required, input TC 290 .00, blocking series "05" , using case as your source document.
  5. If a stop pay disposition code is not received within 14 days following CC CHKCL input, reinput request.

  6. Monitor cases on a weekly basis using IDRS Category Code listing below:

    RowCategory CodeActivity Code1st day overagedAction to take if 
    "HMMM" appears
    11664Various45 days from received date.Find case and take action. If no case, research IDRS for a previous action.
    23858Various45 days from action date.If this category code is for an LP Claim Form received from the taxpayer, take immediate action. Perform necessary research (i.e., doc request, signature requests.) Analyze the Forgery Claim Form.
    33859Various14 days from received date.Find case and take action. If no case, research IDRS for a previous action.
    43911Various30 days from received date.Look for a case. If no case, contact taxpayer by phone to determine if oral statement criteria is met. If you are unable to contact the taxpayer or oral statement criteria is not met, send a Form 3911, Taxpayer Statement Regarding Refund, to the taxpayer. Apologize that we are unable to locate prior inquiry. See IRM 21.4.2.4.1, Form 3911, Taxpayer Statement Regarding Refund
    53913Various45 days from received date.Find case and take action. If no case, research IDRS for a previous action.
    6840-Various45 days from received date.Check IDRS and close case if TC 840 posted. If there is no TC 840, further research is required.
    7841P32yyyymmdd14 days from action date.Case is workable when the TC 841 is posted. This is present if CC CHKCL input with an 
    H non-receipt code, returned check, or a refund delete. Take action to resolve freeze.
    8841PRRyyyycyrc14 days from action date.Refund delete; TC 841 has posted. Take appropriate action on the case.
    9ACKN01yyyymmdd and 65 or 7_30 days from action dateAcknowledgement of refund trace. Should have updated to a final disposition: 11, 32, or 06. If the control shows a final disposition (11 or 32) posted before the acknowledgement, proceed with the taxpayer's instructions. If not, check TCIS for status.
    10DDPD09yyyymmdd90 days from action date.

    Direct deposit. Check TCIS for the FS Form 150.1. If no FS Form 150.1 is located on TCIS, see Exhibit 21.4.2-2, Disposition Code Chart - Refund Inquiry Employee Actions.

    Reminder:

    An open control must be maintained on the case pending the trace process which can take up to 90 days (Control "B" status).

    11NLUNUnpostable code45 days from action date.Nullified Unpostable, reject. Work immediately and never allow to overage. Check the unpostable code and CC TXMOD and/or CC ENMOD to determine if the transaction requires reinput.
    12OOPS04yyyymmdd14 days from action date.

    Refund being traced is already cancelled. If the TC 841 or TC 740 has not posted to the account, check TCIS for a cancellation date. Research for an unpostable TC 841 or TC 740 under the old taxpayer identification number if the account has merged since the refund was issued.

    Note:

    If you are tracing the 2nd refund issued in the same month, you must use TCIS to trace the refund. Remember to update IDRS when tracing through TCIS.

    13OOPS06yyyymmdd14 days from action dateDuplicate CC CHKCL. A previous good CC CHKCL was input for the check and a Disposition 11 or 32 was received.
    14OOPS07yyyymmdd14 days from action date.

    Work immediately, CC CHKCL was input incorrectly. Research the module to determine if CC CHKCL must be reinput.

    Note:

    Do not reinput trace for EIP pre-paid debit cards.

    15OOPS08yyyymmdd30 days from action date.Second direct deposit trace. (Employees must allow 90 days from the initial trace prior to second trace input.) the Bureau of the Fiscal Service (BFS) will issue another FS Form 150.1 to the bank. Notify the taxpayer you are transferring the case to BFS for resolution and place a monitor control on the case for the next 30 days. See IRM 21.4.2.4.2 (6), Input Command Code (CC) CHKCL, for time frames. If an FS Form 150.1 is received, update the case control with Category Code "DDPD" and follow Disposition 09 instructions.
    16OOPS27yyyymmdd14 days from action date.Refund being traced was already cancelled as limited payability. If the TC 740 has not posted to the account, check TCIS for a cancellation date. Research for an unpostable TC 740 under the old taxpayer identification number if the account has merged since the refund was issued.
    17PAID11yyyymmdd30 days from action date.Cashed check. BFS to send claim form to taxpayer. If TC 841 has posted, take action on returned refund. If 45 days of suspense have passed, follow procedures in IRM 21.4.2.4.4.1, Subsequent Inquiries, with Status Code 11, without Prior Forgery Determination (Customer Service Representatives (CSRs) and Refund Inquiry Unit).
    18PAID14yyyymmdd30 days from action date.
    1. Cashed check, Limited Payability (LP) trace or photocopy requested. If no check copy is received, print one from TCIS. If not available on TCIS, contact BFS.
    2. CC CHKCL input after the Limited Payability (LP) credit posted. Research for TC 740 and take necessary action.
    19PAID18yyyymmdd30 days from action date.Cashed check, regular CC CHKCL with stop code N, L, D, S, H, E, or X input on an LP check. Do not continue to work UNLESS you have a signed Form 3911, or other written inquiry from the taxpayer.
    20RCTF3911TORDCC30 days from action dateCC CHKCL input. Research account for a TC 971 AC 011. If there is no TC 971 AC 011, the prior CC CHKCL request did not take. Determine if another CC CHKCL is required and take appropriate action. If CC CHKCL is reinput, advise the taxpayer of the delay, giving 45 days from the date of the letter for final resolution.
    21RFCKPHOTOREQ30 days from action datePhotocopy or Limited Payability trace CC CHKCL input. Look for a TC 971 AC 011. If not present, CC CHKCL did not take. Obtain a check copy from TCIS or reinput CC CHKCL.
    22RFDLRRyyyycyrc45 days from action date.Look for refund intercept date. If TC 841 has NOT posted, check TCIS for the cancelled refund. The check may have been missed.
    23RFIQVarious45 days from received date.Usually, a raw unworked case or can also be a response to CP 564. Find case and take action. If there is no case, research IDRS for a previous action. May be an error control (i.e., wrong Taxpayer Identification Number, tax period).
    24ST3232yyyymmdd45 days from action date

    Refund cancelled. TC 841 should have posted. If refund was reissued, close control. If the TC 841 has not posted, check TCIS to determine if refund is cancelled or research account for an unpostable.

    Note:

    A replacement check will not be issued for the first, second, or third round of Economic Impact Payments. Instead, advise the taxpayer: To claim the Recovery Rebate Credit, you must have filed your tax return and claimed the credit. The deadline to file a return claiming a refund for 2020 was May 17, 2024. The deadline to file a return claiming a refund for 2021 was April 15, 2025. Follow IRM 21.6.3.4.2.13.3, Economic Impact Payments - Manual Adjustments, to reverse the EIP credit (if not done systemically). See IRM 21.6.3.4.2.14, Recovery Rebate Credit, for more information.

    25TOADVarious90 days from action date.If this category is for an LP claim form received from taxpayer, take immediate action. If the case was sent to the National Forensics Laboratory (NFL), a follow-up request is required.
    26UDRFVarious45 days from received date.Replies to CP 231 and Letter 533C. Find case and take action. If there is no case, research IDRS for a previous action.
21.4.2.4.15.5.1 (04-01-2026)
Bureau of the Fiscal Service (BFS) Reports

  1. The Bureau of the Fiscal Service (BFS) generates direct deposit case closure information though the generation of the IRS Daily Closure Report (prior to April 17, 2026) or the Teletrace Management Summary Report through Treasury Check Information System (TCIS) Agency Reclamation Dashboard. The report provides a listing of completed direct deposit refund traces. The report is generated as Financial Institutions (FI) respond to the BFS Trace request and cases are closed. These reports assist sites with managing the direct deposit refund trace claim inventory by providing direct link to the posted Trace Response Details received and uploaded to TCIS Claim Details tab. This allows the Refund Inquiry team to manage which cases have received a response for the trace input more efficiently.

    Note:

    BFS will suspend cases in their system if the FI response contains a message such as, "R06 sent" , "send R06" or TCIS contains notes that an R06 letter was issued. BFS will hold these case in suspense waiting for the FI return of funds. Both the FI response and the bank’s response to the R06 letter must be scanned to TCIS before the case can be closed by BFS and included on the IRS Daily Closure Report or Agency Reclamation Dashboard. If a case is included on the IRS Daily Closure Report or Agency Reclamation Dashboard without the bank’s final response, contact your local Planning and Analysis liaison with the ACH Trace Number/TCIS Trace Number and request the information be forwarded to BFS for case investigation. Update the case activity to "R06toBFS" and continue with normal Status 09 processing. See Exhibit 21.4.2-2, Disposition Code Chart - Refund Inquiry Employee Actions. Ensure case is not transferred to another site while awaiting resolution from BFS.

    Note:

    If a case has been transferred to another campus, the initiating campus receives a response on their IRS Daily Closure Report for the case and the control remains open in the receiving campus, then the case control should be reassigned back to the initiating campus and the necessary closing actions taken.

    Note:

    The information contained in the Treasury Check Information System (TCIS) Claim Details tab which includes the FS Form 150.1 or FI response contains possible Personally Identifiable Information (PII) and cannot be sent to the taxpayer.

     

21.4.2.4.16 (10-21-2025)

Automated Refund Trace Applications: Where’s My Refund (WMR) Voicebot with Integrated Customer Communications Environment (ICCE) Refund Trace and Where’s My Refund (WMR) Internet Refund Trace (IRTRC)

  1. Taxpayers can initiate a refund trace through the automated Where’s My Refund (WMR) Voicebot application or on the internet at IRS.gov, "Where's My Refund?" (WMR). Generally, these automated systems will only trace the first refund issued during the current processing year. These systems do not allow a taxpayer to start their own refund trace if they filed Married Filing Joint or received their refund via direct deposit. Since taxpayers who file Married Filing Joint returns cannot initiate a trace using automation, the applications will offer them a Form 3911, Taxpayer Statement Regarding Refund, to get the process started.

  2. The caller first goes through the WMR Voicebot application that provides information about the status of their refund (including the mail date and math error information) and decides whether their refund is eligible to be traced in automation. If the caller has selected the option indicating the refund check was lost, stolen, or destroyed, or the mail date was at least 28 days prior to the date of the call, the WMR Voicebot application will transfer eligible callers to the ICCE Refund Trace application. The following chart highlights the actions taken when an inquiry is initiated through the WMR Voicebot with ICCE Refund Trace:

    IfThen
    The caller obtains "refund issued on" and the response and mail date are less than 28 days from current date, and the caller did not indicate the refund check was lost, stolen, or destroyed

    The WMR Voicebot application will:

    • advise the caller the date the refund was issued
    • when to call back
    • will not transfer the call to the ICCE Refund Trace application
    Certain conditions are met such as math error or freeze code

    Depending on the condition, the caller may:

    • be issued Form 3911
    • transferred to a customer service representative
    • provided a call back number for assistance
    Caller obtains "refund issued on" response and mail date are at least 28 days prior to current date or caller indicates check was lost, stolen, or destroyed

    The ICCE Refund Trace application will input CC CHKCL and control the case to the Refund Inquiry Unit.

    Exception:

    Married Filing Joint taxpayers will be mailed a Form 3911 to complete and send back. No P- freeze will be set.

  3. The WMR web site allows the taxpayer to walk through a series of on-line screens. A refund trace cannot be input on any refund check until 28 days after it was issued. If 28 days has passed and the taxpayer indicates they have not received their check, they can initiate an on-line refund trace (except Married Filing Joint taxpayers and direct deposit recipients). Taxpayers whose refund checks were returned undelivered by the U.S. Postal Service will be provided a contact number to provide a new address. CSRs will follow procedures in IRM 21.4.3.5.3, Undeliverable Refund Checks. If the taxpayer has trouble in initiating a refund trace, they will be advised to call a customer service representative for assistance.
  4. If refund trace criteria are met, WMR will automatically input CC CHKCL and control the case to a predetermined Refund Inquiry Unit through IDRS. The case is controlled to an employee number beginning with 099.
  5. Both automated system traces proceed through the normal check trace dispositions, "3911TORDCC" and "01" and will end as a Disposition 11 (cashed check) or 32 (outstanding). Treat all other disposition codes like any other case.

  6. On joint returns, CC CHKCL is not input on either system and will automatically mail a Letter 129C, Refund Inquiry; Form 3911 Required, and Form 3911 to the taxpayer. 
    WMR web site allows the taxpayer to:

    • print the Form 3911 on-line.

    • obtain the mailing address and fax number of the predetermined Accounts Management campus to mail the Form 3911.

      Note:

      Married Filing Joint taxpayers must complete and jointly sign the Form 3911 and return it to the IRS before a refund trace can be initiated by the Refund Inquiry examiner.

       

     

21.4.2.4.16.1 (10-01-2015)
ICCE Refund Trace Reports

  1. Two types of reports are generated by ICCE. They are:

    • Refund Trace CC CHKCL Report
    • Management Action Report Refund Trace CC CHKCL Request

     

  2. The Refund Trace CC CHKCL Report indicates the trace input was successful or that a Form 3911, Taxpayer Statement Regarding Refund, was sent to the caller. Upon receipt of this report, the Refund Inquiry Unit may need to take the following action for inventory control.

    1. Research IDRS for open control cases. If there is an open control, contact the controlling employee or the employee’s manager.
    2. Only one check trace control must remain open, chances are the most recent control can be closed.

     

  3. Take appropriate action to begin the refund trace process. Input CC CHKCL when the signed Form 3911 is received.

    Note:

    Both signatures are required on a Form 3911 when filing status is Married Filing Joint.

     

  4. The ICCE report Management Action Report Refund Trace CC CHKCL Request indicates the trace did not take, and the Refund Inquiry Unit employees need to follow up:

    1. Review the tax module and take appropriate action to complete the trace. If there is not enough information to reinput CC CHKCL, send Letter 129C, Refund Inquiry; Form 3911 Required, with a Form 3911 to the taxpayer.
    2. If the taxpayer's telephone number is available, you may call the taxpayer for additional information.

     

21.4.2.4.17 (10-01-2019)

Treasury Check Information System (TCIS)

  1. The Bureau of the Fiscal Service (BFS) developed the Treasury Check Information System to enhance the check-claim process. The system provides on-line access to the status of both electronic funds transfer and check payments and access to digital images of cashed checks. TCIS provides information on Treasury checks for 7 years after the date of issue and six years for EFT deposits. At most campuses, access to the TCIS system is limited to the Refund Inquiry Units, the Taxpayer Advocate Service, and Criminal Investigation.
  2. TCIS will allow the capability of initiating a request for a copy of a check within 7 years of issuance, or a refund claim no later than the 15th day of the 14th month from the refund date, if you have the appropriate access.
  3. TCIS will house FS Form 150.1 information or allow you to initiate a claim on a direct deposit refund issued within 6 years.
Exhibit 21.4.2-1 

Command Code (CC) CHKCL Input

(1) Assistors are authorized to input CC CHKCL based on an oral statement authority (OSA) from the taxpayer or the taxpayer's authorized Power of Attorney (POA) on Form 2848 if the oral statement criteria in IRM 21.4.2.4, Refund Trace Actions are met.
If the Missing Refund (CHKCL) IAT tool is unavailable, or you are outside Accounts Management, follow the procedures below to manually begin the refund trace process.
Accounts Management employees are required to use the Missing Refund (CHKCL) IAT tool, see IRM 21.2.2-2, Accounts Management Mandated IAT Tools. See IAT CHKCL Tool Job Aid for IAT input guidance and CC CHKCL for field descriptions.

Caution:

Do not initiate a refund trace if there is RIVO involvement or External Lead indicators on the module. See IRM 25.23.12.4.1, Telephone Inquiries Regarding Identity Theft Victim Assistance (IDTVA) Tax-Related Cases, for additional information. Also see IRM 21.5.6.4.35.3, -R Freeze Overview For Accounts With Return Integrity Verification Operations (RIVO) Involvement, for additional information. For External Lead indicators see IRM 25.25.8-2, External Lead Involvement Indicators. If found, follow procedures in IRM 25.25.8.7, Responding to Taxpayer Inquiries.

 

(2) CC TXMOD must precede input of CC CHKCL. If CC TXMOD is not available, use CC MFREQC. Input CC CHKCLR to request the CC CHKCL screen format. The following items generate from the preceding CC TXMOD:

  • CC CHKCL
  • Valid TIN
  • MFT
  • Tax Period
  • Name Control

Note:

If the return has been resequenced, CC CHKCL must be entered on the original TIN the refund was issued on.

Caution:

DO NOT input CC CHKCL if one or more TOP offsets, TC 898s, were done for the full amount of the refund TC 840 or TC 846. Refer to IRM 21.4.6.6.1, Taxpayer Inquiries on TOP Offset.

 

(3) Follow the procedures below to manually begin the refund trace process:

StepAction RequiredInstructions:
1Open a control baseOverlay CC TXMOD for the period in question with CC ACTON:
CC ACTON
C#, CHKCLINPUT,B,3911
*, the IRS received date
2Input CC CHKCL
See Exhibit 2.4.23-3, CC CHKCL Input Example, for additional information on CC CHKCL.
  1. Overlay CC TXMOD with CC CHKCLR, the response will be CC CHKCL.
  2. Line 1 is generated from CC TXMOD.
  3. Line 2–5 Enter taxpayer's name on Line 2 (Name Line 1). Use the additional name lines for any in-care-of or other information. If the check copy and/or claim form are to be sent to the IRS employee instead of the taxpayer, input Internal Revenue Service on Name Line 2.

  4. Line 6–7 Enter taxpayer's current address or the address where the claim form/check copy are to be sent if the check is paid.

    Note:

    Input of a name or address different from that on CC ENMOD will not update the master file Entity.

     

  5. Line 8 Check Number (used by Refund Inquiry Unit ONLY.)
  6. Line 9 Overlay T with the type of non-receipt code:
    C = Request for certified photocopy check (no P freeze set).
    D = Destroyed, unendorsed check (no P freeze set).
    E = Lost stolen or destroyed endorsed check (no P freeze set).
    F = Non-entitlement (Used by Refund Inquiry Unit or RIVO only) (P- Freeze set).
    H = Unendorsed check freeze cancellation credit (P- Freeze set).
    J = Non-receipt of substitute check (Used by Refund Inquiry Unit only).
    L = Lost, unendorsed check (no P freeze set).
    N = Non-receipt of refund (no P freeze set).
    P = Request for regular photocopy of check (no P freeze set).
    S = Stolen, unendorsed check (no P freeze set).
    X = Endorsed check freeze cancellation credit (P- Freeze set).
  7. Line 9 Refund schedule number (RSN) = YYYYJJJSCTLLLL. On refunds issued in 2003 and later, input the refund schedule number shown on CC TXMOD as "RSN" below the TC 846. On CC IMFOLT the RSN is located to the right of the TC 846. Be sure to modify input using the campus number with which you are affiliated.
    YYYY = (1-4 position) Cycle YEAR of the refund TC 846. NOT the TAX PERIOD.
    JJJ = (5-7 position) Julian date refund is issued.
    SC = (8-9 position) Modify by inputting your affiliated service center.
    T = (10th position) File type "1" for IMF/CADE/CADE 2; "0" for BMF; "3" for CADE (obsolete as of January 1, 2012); "4" for IRAF; "5" for other; "6" for Non-Master File.
    LLLL = (11-14 position) Alpha characters; Four blanks for paper refunds; "Z" followed by three blanks for direct deposit; "I" followed by three blanks for International; "ZI" followed by two blanks for International direct deposit.
  8. Line 9 Enter "Y" Generate TC 971 this generates a TC 971 AC 011. Only the Refund Inquiry Unit can use "N" for this entry.
  9. Line 10 MMYYYY
    MMYYYY=Issue date of refund input. Input actual date of the refund 
    MM= month; YYYY = year.
    IMF paper refund check and direct deposit refund dates are found on CC IMFOLT on the line below the TC 846 as "RFND-PAY-DATE" , and on CC TXMOD on the line below the TC 846 as "RFND-PYMT-DT>" .
    BMF check date - Add 1 calendar day to the TC 846 date.
    BMF direct deposit date - Subtract 6 calendar days from the TC 846 date.
    Accelerated cycle check date, see dates in paragraph 4 below.
  10. Line 10 Type of Payment code (P)
    I = IMF
    B = BMF
    D = IDRS (CC RFUND) 
    M = Manual refund
  11. Line 10 Sequence number of input from 001–999.
  12. Line 10 DO = leave blank.
  13. Lines 11, 13, and 15 Overlay the dollar signs with the full TC 846 or TC 840 amount of the refund you are tracing, even if a TOP partial offset has reduced the refund amount. If a TC 898 matches the TC 846 or TC 840, DO NOT input CC CHKCL.
  14. Lines 11, 13, and 15 split refund indicator (SRI) = Indicates the type of split refund. Values are: 
    0 - Not a split refund
    1 through 3 - Enter the SRI related to the TC 846 shown on account for the refund you are tracing.
3Reassign the case using these control numbers for processing the case:Overlay CC TXMOD with:
CC ACTON (new line)
C01 (new line)
Reassign Refund Inquiry Unit number
Andover = 0836088888
Atlanta = 0735300044
Austin = 0636099058
Brookhaven = 0136033333
Cincinnati = 0235300000
Kansas City = 0930603000
Fresno = 1036000005
Memphis = 0336000000
Ogden = 0436400005
Philadelphia = 0536022222

Reminder:

If after inputting CC CHKCL you determine it was done in error, per IRM 2.4.23.2 (5), General Overview for Command Code CHKCL/CHKCLR, CC TERUPC can only be done on the same day of input.

 

(4) After completing the CC CHKCL input, advise the taxpayer:

IfThen
Their check was not cashedThey will receive a replacement check in approximately 6 weeks (9 weeks if the TP has a foreign address).
Their check was cashedThey will receive a claim package within 6 weeks (9 weeks if the TP has a foreign address) to complete and return to BFS in order to pursue their claim.
Their refund was a direct deposit

After the trace is input, the Bureau of the Fiscal Service (BFS) will contact the banking institution to inquire about their refund status. Advise the taxpayer banks are allowed up to 90 days to respond to our request for information, from the date of the CC CHKCL input.

Note:

While banks may have 90 days to respond, it may take up to 120 days for resolution.

They do not wish to pursue their claimNo further action is required. They may keep the claim package with a copy of their check for their records.

Exception:

A replacement check will not be issued for the first, second, or third round of Economic Impact Payments. Instead, advise the taxpayer: To claim the Recovery Rebate Credit, you must have filed your tax return and claimed the credit. The deadline to file a return claiming a refund for 2020 was May 17, 2024. The deadline to file a return claiming a refund for 2021 was April 15, 2025. See IRM 21.6.3.4.2.14, Recovery Rebate Credit, for more information.

 

Exhibit 21.4.2-2 

Disposition Code Chart - Refund Inquiry Employee Actions

The disposition code is located in the Activity Field of the IDRS Control History. The disposition code is displayed as the first 2 digits of the Activity Code followed by the date the Bureau of the Fiscal Service (BFS) provided the Disposition in YYYYMMDD format (i.e., 0120190325 = Disposition 01 provided by BFS on March 25, 2019.

Note:

Additional category code information can be found in Exhibit 21.4.2-6, Category Codes.

Note:

Additional Disposition Code 11 information can be found in IRM 21.4.2.4.4.1, Subsequent Inquiries, with Status Code 11, without Prior Forgery Determination (Customer Service Representatives (CSRs) and Refund Inquiry Unit), and Exhibit 21.4.2-5, Disposition and Status Codes - Additional Action Time Frames.

Reminder:

In the follow up actions outlined below for IMF cases, except where noted, ensure source documents are attached to your CII case and follow procedures in IRM 21.5.1.5.1, CII General Guidelines, to close your CII case. A source document is defined as a Form 3911, Taxpayer Statement Regarding Refund, and/or taxpayer correspondence. A source document is not required for refund trace cases initiated via phone calls, or online through the Where’s My Refund application.

Note:

If External Lead indicators are present, see IRM 25.25.8-2, External Lead Involvement Indicators, then follow procedures found in IRM 21.4.1.4.6, External Leads Program or Other Questionable Refund Inquiries.

Note:

If research in TCIS indicates funds have been returned to the IRS, and there is not a TC 841 matching the TC 840 or TC 846 date: elevate the case to your local Planning and Analysis liaison (through your work leader). Request the information be forwarded to BFS for case investigation.

 

Disposition Status Code
☆ (Asterisk equals blank)		Category CodeDefinitionFollow Up Action
01ACKNClaim processed by RFC to Treasury Check Information System (TCIS).
  1. Wait 30 days for second status.
  2. No reply, resubmit CC CHKCL.
03OOPSRejected (Failed preliminary validity checks.)
  1. Review case.
  2. Resubmit CC CHKCL.
04OOPS
  1. Previously processed as Available Check Cancellation (ACC),
  2. Refund credit returned by RFC, through the Electronic Funds Transfer (EFT) from the bank,
  3. Refund check intercepted,
  4. Undeliverable TC 740. See IRM 21.4.3.5.3, Undeliverable Refund Checks.
  5. If the refund credit has already generated a subsequent TC 846 in the same month don’t input CC CHKCL as the refund trace will default to the first TC 846. See IRM 21.4.1.4.3, Multiple Refunds Issued From the Same Module in the Same Cycle.
(1 - 4) Take action to release credit, if necessary. Leave a case note with actions taken and close the CII case, if no other actions are needed. 
5) Initiate the refund trace through the Treasury Check Information System (TCIS).
05OOPSCheck previously mailed (within 5 days).Leave a case note with actions taken and close the CII case.
06OOPSPrevious CC CHKCL.
  1. Check TCIS Payment History, UCC Detail and Claim Detail Screen for previous claim and ensure correct refund was traced.
  2. If correct refund was traced, send Letter 129C, Refund Inquiry; Form 3911 Required, Letter 86C, Referring Taxpayer Inquiry/Forms to Another Office orLetter 0206C, Refund Inquiry; Copy of Check Requested or Provided/Check Being Traced Form 13818, as appropriate, to the taxpayer. For paper checks include the check number and date along with the toll-free telephone number for the Bureau of the Fiscal Service (BFS). Follow IRM 21.5.1.5.1(8), CII General Guidelines and capture the "request completed" screen of the CC LETER request.
  3. Leave a case note with actions taken and close the CII case.
  4. If correct refund was not traced, follow procedures in Exhibit 21.4.2-1, Command Code (CC) CHKCL, Input to trace correct refund. and follow established procedures to monitor the case.
07OOPSNo payment issued or unprocessable claim.
  1. Review case.
  2. Conduct additional research (i.e., different TIN.)
  3. Resubmit CC CHKCL.

Note:

If input of additional CC CHKCL does not yield results, initiate the refund trace through the Treasury Check Information System (TCIS).

Note:

Do not reinput trace for EIP pre-paid debit cards.

08OOPSSecond trace input on DD.

Monitor case for 30 days. Research IDRS for returned credit. Take action to release credit, if necessary. Leave a case note with actions taken and close the CII case, if no other actions are needed. 
If no credit is found continue with next steps below.

  • BFS will automatically follow up with the financial institution until the issue is resolved. BFS will load an electronic copy of the FS Form 150.1 to TCIS when it is received from the financial institution.
  • If after 30 days, there is no FS Form 150.1 posted on TCIS, send the taxpayer a Letter 86C, Referring Taxpayer Inquiry/Forms to Another Office, to notify them you are transferring the case to BFS for resolution.

  • In your letter, advise the taxpayer:

    1. The BFS toll-free assistance center phone number is 855-868-0151.
    2. They should select option 1, then option 1.
    3. The call center can be reached between the hours of 8:00 a.m. and 4:30 p.m. ET Monday - Friday.
    4. English and Spanish speaking assistance is available.

     

  • Close case. See reminder above.
  • If the FS Form 150.1 is loaded to TCIS, update the case control to “DDPD” and follow status 09 instructions.
  • If a Form 4442/e-4442, Inquiry Referral, is received, research case and take appropriate action.
09DDPD
  1. RFC has contacted bank via FS Form 150.1 to trace refund.
  2. Bank to send a copy to RFC.
  3. RFC will load an electronic copy of the FS Form 150.1 to TCIS.
  1. Research IDRS for returned credit. Take action to release credit, if necessary. 
    Leave a case note with actions taken and close the CII case, if no other actions are needed. 
    If no credit is found continue with next steps below.
  2. Research TCIS Claim Detail Screen. If FS Form 150.1 is located, use the print to PDF function to print the claims detail screen or FS Form 150.1 from TCIS, and attach to your CII case, use the Stamp or Text tool in the CII Document Viewer, or Adobe Acrobat Pro, to add “PII do not send to TP” to the upper left corner of the first page. Remember to click the save button. Verify routing transit number, account code (either C for checking or S for savings), bank account number on CC IMFOBT.
  3. If the information doesn’t match, follow IRM 21.4.1.5.7.6, Non-Receipt of Direct Deposited Refunds- ”Refund Inquiry Employees”.

  4. If the information does match, send appropriate letter to the taxpayer.

    Note:

    The FS Form 150.1 contains possible Personally Identifiable Information (PII) and cannot be sent to the taxpayer.

     

  5. Close case. See reminder above.
  6. If it has been at least 90 days, and no FS Form 150.1 copy is available on TCIS, reinput CC CHKCL. Refer to Status 08 above.
  7. If FS Form 150.1 does not resolve taxpayer's issue, continue processing, if necessary.

Exception:

If account contains history item of DEPFOUND, then case control may be closed without further action.

10OOPSInvalid Stop Reason Code
  1. Research for refund disposition.
  2. If refund is still outstanding or no claim package has been issued, resubmit CC CHKCL. 
    If claim package has been issued or refund has been reconciled, leave case notes on AMS and/or CII and close your case.
2☆OOPSAmount difference
  1. Review case.
  2. Resubmit CC CHKCL.
3☆OOPSClaim submitted too early for RFC to process
  1. Review case.
  2. Resubmit CC CHKCL.
4☆OOPSDuplicate tape claims submitted.
  1. Wait for update.
  2. No reply in 30 days, resubmit CC CHKCL.
5☆OOPSInvalid Direct Deposit information submitted.
  1. Review case.
  2. Resubmit CC CHKCL.
7☆ACKNPhotocopy request processed by RFC to TCIS.
  1. Wait for 2nd status.
  2. No reply in 30 days, research TCIS for copy. If not on TCIS, resubmit CC CHKCL.
9☆PAIDDirect Deposit trace input with non-receipt Code "P" no FS Form 150.1 will generate.Reinput trace with non-receipt Code "N" no limited payability on Direct Deposit. (Electronic File Transfer processed).
11PAID or 3858Paid -Photocopy and claim mailed to taxpayer.BFS has sent claim package (FS Form 1133) to the taxpayer. Follow procedures in IRM 21.4.2.4.4.1, Subsequent Inquiries, with Status Code 11, without Prior Forgery Determination (Customer Service Representatives (CSRs) and Refund Inquiry Unit).
14PAID
  1. Paid - Photocopy to follow, or
  2. CC CHKCL input after an uncashed check has expired and the credit returned to the IRS.

  1. Monitor for receipt.

    1. Upon receipt continue processing. See IRM 21.4.2.4, Refund Trace Actions.
    2. If copy is not received in 30 days, research TCIS for a copy or reinput CC CHKCL.

     

  2. Research for TC 740 and release freeze if necessary.
  3. Close case. See reminder above.
14PAID
  1. Paid - Photocopy to follow, or
  2. CC CHKCL input after an uncashed check has expired and the credit returned to the IRS.

If there is no photocopy within 30 days:

  1. IDRS shows certified photocopy previously received, update Activity Code to reflect proper status of case, or
  2. IDRS shows no indication that certified photocopy received, contact BFS.
15PAIDPaid - Certified photocopy to follow.

Monitor for receipt of certified photocopy.

  1. Upon receipt continue processing. See IRM 21.4.2.4.15.2, Request for Administrative Photocopy.
  2. If there is no photocopy within 30 days and IDRS shows photocopy previously received, update activity code to reflect proper status of case.
  3. If IDRS shows no indication that certified photocopy is received, contact BFS.
17PAIDPaid - Endorsed, photo/claim to follow.Monitor. If there is no photocopy in 30 days, contact BFS.
18PAIDPaid - Claim submitted after the Limited Payability cutoff date.

If Form 3911 is available, research TCIS for a check copy.

  • If check is available on the TCIS system, attach a copy to your CII case and provide the taxpayer with a copy. Close the case. See reminder above.
  • Input a TC 971 AC 011 on CC TXMOD using the date you secure the check. You must also include the money amount of the check in the FREEZE-RELEASE-AMT field.
  • If not found, process as a Limited Payability (LP) Trace, reinputting the CC CHKCL with non-receipt Code P.


If no Form 3911 is present, correspond with the taxpayer.

20OOPSPayment declined due to alteration of check. Photocopy and claim to follow.Monitor case, if there is no photocopy in 30 days, follow up, contact BFS.
22OOPSInsufficient agency information.
  1. Review case.
  2. Resubmit CC CHKCL.
  3. Use appropriate Stop Reason Code.
27OOPSPreviously processed as Limited Payability Check Cancellation and refund credit (TC 740) was returned by the RFC.Take action to release credit, if necessary. Place case documents in classified waste when case is closed.
31 Check Outstanding. RFC will issue recertified check.Monitor for TC 841.
32ST32Outstanding check cancelled credit will be returned to the IRS.
  1. Monitor for TC 841.
  2. If control base closes after posting of TC 841, create a new IDRS control and update CII case data to match.
  3. Follow procedures in IRM 21.4.2.4.15.5, Listings for Monitoring Cases.
33OOPSOutstanding - No Photocopy.Send Letter 1219C, Refund Inquiry; (Joint F3911) Requires Certification: Form 1040. If you are working a CII case, follow IRM 21.5.1.5.1(8), CII General Guidelines, and capture the "request completed" screen of the CC LETER request.
53OOPSReject - Duplicate StopContact BFS Check Information Section at 855-868-0151, Option 1.
65ACKNRefund associated with TOP Offset.
  1. Wait 30 days for second status.
  2. No reply, resubmit CC CHKCL.
71OOPSTOP Offset refund in full.See IRM 21.4.6.6.1, Taxpayer Inquiries on TOP Offset
72OOPSTOP Offset partial refund.See IRM 21.4.6.6.1, Taxpayer Inquiries on TOP Offset
90OOPSTCIS/PACER disconnect error.Contact BFS to reset the interface indicator.
Exhibit 21.4.2-3 

Reason for Cancellation Codes and Generated Account Information

The "Reason for Cancellation Code" associated with TC 740, TC 841 and TC 843 credits determines what block and serial number will be used to post the credit back on the account and determines whether a freeze will be set on the module.

Note:

Direct deposit reject reason codes can be found in IRM 21.4.1.5.8.1, Direct Deposit Reject Reason Codes.

Note:

Reason for Cancellation Code will appear as RC on SF 1098, Schedule of Canceled Checks. See IRM 3.17.79.10.1, Treasury Checks Returned to the Submission Processing Center and Regional Financial Center, for an example of the form.

 

CodeDescriptionT/CBlock and Serial Number
01Intercepted checks, P- Freeze set.84155555
02Undeliverable checks, S- Freeze set.74099999
03Returned checks, P- Freeze set 
(Other than Intercepted or Undeliverable).		84199999
03Returned checks, P- Freeze set, Altered check84177715
06Returned checks, P- Freeze set, beneficiary of account holder deceased84177717
08Unavailable check cancellation credit (Credit returned on outstanding check due to a check claim). 
(CHKCL/STATUS-32) "P-" Freeze set.		84188899
09Unavailable check cancellation credit 
(Credit returned on outstanding check because of check claim).		84188888
09Reclamation
(Monies recovered, as the result of the adjudication (decision) process)		84188000 or 88800
09Payment Over Cancellation (POC)
(When the taxpayer cashes a check which was previously cancelled)		84355111
40Limited Payability (LP) expired check credit, S- freeze set (1992 only).740666XX
40Limited Payability (LP) expired check credit.74066666
Exhibit 21.4.2-4 

Stop Reason Codes Conversion Guide

(1) The Integrated Data Retrieval System (IDRS) Command Code (CC) CHKCL programming converts most types of non-receipt Codes input on the IDRS terminal into different Stop Reason Codes used by the Bureau of the Fiscal Service (BFS) for their processing. The only code not converted is "D" , which BFS uses to designate all the IRS claims other than recertified checks.

Note:

Non-receipt Code "F" should not be input on CC CHKCL, if non-receipt code "F" is required, input trace via TCIS directly.

 

Input CC CHKCLConditionsGenerated at BFSResulting Action
"C"
  1. No indication of non-receipt, loss, theft, or other indication of claim being filed.
  2. An ordinary photocopy will not satisfy requirements of requestor.
"L"Used mostly by Criminal Investigation Division (CID) and some taxpayers for spousal disputes in court. Certified copy of paid refund check.
"D"Claim on destroyed check unendorsed."D"No P- Freeze set.
"E"The taxpayer received and endorsed check, then it was lost, stolen, or destroyed."D"No P- Freeze set.
"H"Non-receipt, destroyed, lost, or stolen and unendorsed. No automatic reissuance of refund."D"P- Freeze Set.
"L"Taxpayer received and lost check without endorsing it."D"No P- Freeze set.
"N"Taxpayer did not receive check."D"No P- Freeze set.
"N"Taxpayer did not receive direct deposit"B"No P- Freeze set.
"P"Photocopy of check needed for administrative purposes or to resolve taxpayer conflicts or Limited Payability (LP)."K"Photocopy of check only.
"S"Taxpayer received check and it was stolen without being endorsed by the taxpayer."D"No P- Freeze set
"X"Endorsed check; no automatic reissuance of refund."D"P- Freeze Set.
Exhibit 21.4.2-5 

Disposition and Status Codes — Additional Action Time Frames

(1) The disposition code is located in the Activity Field of the Integrated Data Retrieval System (IDRS) Control History. The disposition code is displayed as the first 2 digits of the Activity Code followed by the date the Bureau of the Fiscal Service provided the Disposition in YYYYMMDD format, referred to in the chart below as the disposition date (i.e., 0120240325 = Disposition 01 provided by BFS on March 25, 2024).

Note:

Additional Disposition Code 11 information can be found in IRM 21.4.2.4.4.1, Subsequent Inquiries, with Status Code 11, without Prior Forgery Determination (Customer Service Representatives (CSRs) and Refund Inquiry Unit), and Exhibit 21.4.2-2, Disposition Code Chart - Refund Inquiry Employee Actions.

 

(2) As of January 2025, Refund Inquiry inventory is assigned on Correspondence Imaging Inventory (CII).

  • If actions below say to contact refund inquiry (and you have access), leave a Case Note on the CII case for the TE working the case.
  • If the procedures below require a Form 4442 or e-4442, Inquiry Referral, because you do not have access to CII or no CII case is assigned, send the referral to the Refund Inquiry Unit that controls the case. If there is no open control base, send the referral to your affiliated Refund Inquiry (RI) unit. For IMF cases, Puerto Rico uses the Brookhaven Campus RI unit as its affiliated RI unit. For BMF cases, Puerto Rico uses the Cincinnati Campus RI unit as its affiliated RI unit.


 

Note:

When sending Form 4442/e-4442, Inquiry Referral, per the chart below: Select Referral Type: "IRM" , IRM Category: "Refund" , Sub-category: "Disposition and Status Codes" and Reason: "Other or Complex Issue/Training Specialization" .

Note:

If the taxpayer meets hardship criteria, refer to IRM 21.1.3.18, Taxpayer Advocate Service (TAS) Guidelines, and IRM 13.1.7.4, Exceptions to Taxpayer Advocate Service Criteria, before referring to TAS.

Reminder:

Before sending a referral to a Refund Inquiry Unit, ask the taxpayer whether they received a letter about the refund. If the taxpayer received a letter, attempt to obtain a copy by fax while you are on the call. If you cannot receive the fax, advise the taxpayer to follow the instructions in the letter.
When possible, attach documentation received by fax to the associated CII case. If the case is no longer open, forward the documentation to the appropriate Refund Inquiry Unit as described above.

 

CodeDefinitionActions and Time Frames
01Regional Finance Center (RFC) has requested the status of check from the Financial Processing Division.

If there is no indication the check was cashed and no action after 28 days from the disposition 01 date:

  1. Follow procedures in paragraph 2 above to contact Refund Inquiry. Include the taxpayer contact information and any details the taxpayer provides which may help resolve the case.
  2. Advise the taxpayer they will be contacted within 30 days.
04Claim was previously processed as an available check cancellation. Check was sent but returned as undeliverable or cancelled.The taxpayer should receive check within six weeks (nine weeks for a foreign address).
06Previous CC CHKCL input.

If there is no other action indicated in the Integrated Data Retrieval System (IDRS) Control History section:

  1. Follow procedures in paragraph 2 above to contact Refund Inquiry. Include the taxpayer contact information and any details the taxpayer provides which may help resolve the case.
  2. Advise the taxpayer they will be contacted within 30 days.
07Unprocessable claim.

If there is other action indicated in the Integrated Data Retrieval System (IDRS) Control History section:

  1. Follow procedures in paragraph 2 above to contact Refund Inquiry. Include the taxpayer contact information and any details the taxpayer provides which may help resolve the case.
  2. Advise the taxpayer they will be contacted within 30 days.
08For Direct Deposit Refunds - No response from the Direct Deposit designated financial institution. The subsequent CC CHKCL input generates an FS Form 150.1 to the bank.
  1. If it has been more than 30 days from the disposition 08 date and the taxpayer has not received a letter advising of the information found on FS Form 150.1 and TC 841 is not present follow procedures in paragraph 2 above to contact Refund Inquiry. Include the taxpayer contact information and any details the taxpayer provides which may help resolve the case. Advise the taxpayer they will be contacted within 30 days.
  2. If the taxpayer has not received a letter advising of the information found on FS Form 150.1 and a Transaction Code (TC) 841 is posted, advise taxpayer of refund reissue or other disposition of credit.
09

For Direct Deposit Refunds - The RFC contacts the financial institution via FS Form 150.1 to trace the refund. Copies of the results are sent to RFC. RFC will load an electronic copy of the FS Form 150.1 to TCIS.

Note:

The FS Form 150.1 contains possible Personally Identifiable Information (PII) and cannot be sent to the taxpayer.

  1. If there is TC 841 is present, and it has been more than 90 days from the disposition 09 date, follow procedures in paragraph 2 above to contact Refund Inquiry. Include the taxpayer contact information and any details the taxpayer provides which may help resolve the case.

    Note:

    If the caller says the bank returned their refund to the IRS, check for External Lead indicators IRM 25.25.8-2, External Lead Involvement Indicators. If found, follow procedures in IRM 25.25.8.7, Responding to Taxpayer Inquiries. If Refund Inquiry has an open control, send Form 4442/e-4442 to advise of the bank lead involvement and for the control to be closed.

     

  2. If it has not been at least 90 days, advise the taxpayer to call back after this time frame has elapsed.
  3. If TC 841 is posted, advise the taxpayer of refund reissue or other disposition of credit.
11Check has been cashed.

BFS has sent claim package (FS Form 1133) to the taxpayer.

  • The claims package includes a copy of the cancelled check and FS Form 1133, it will be received within 30 days of the disposition "11" date.
  • If it is 31 days or more from the disposition "11" date and the taxpayer has not received a copy of the cancelled check and FS Form 1133 from BFS, follow procedures in IRM 21.4.2.4.4.1, Subsequent Inquiries, with Status Code 11, without Prior Forgery Determination (Customer Service Representatives (CSRs) and Refund Inquiry Unit).
  • If the taxpayer is in receipt of the FS Form 1133, advise them to complete and return the form to BFS along with a copy of the cancelled check. Allow 90 days for processing.
  • If the check attached to the FS Form 1133 does not belong to the taxpayer, advise the taxpayer to contact the BFS Check Claims Branch to report the incorrect check received. They can be reached by phone at 855-868-0151 (press option 1, then option 1) between the hours of 8:00 a.m. and 4:30 p.m. ET Monday - Friday. English and Spanish speaking assistance is available.
27Check was previously processed as Limited Payability Check Cancellation. Check was issued but was not cashed within one year from the date of issue. The refund credit (TC 740) was returned by the RFC.The taxpayer should receivecheck within six weeks (11 weeks for a foreign address).
32Check cancelled - new check to be issued.The taxpayer should receive refund within four weeks (nine weeks for a foreign address) from the disposition date.
33Check Outstanding - No Photocopy

If no Letter 1219C has been sent to the taxpayer and it has been 30 days or more from the disposition date:

  1. Follow procedures in paragraph 2 above to contact Refund Inquiry. Include the taxpayer contact information and any details the taxpayer provides which may help resolve the case.
  2. Advise the taxpayer they will be contacted within 30 days.
65Treasury Offset Program (TOP) offset of refund. The initial disposition code indicates the refund was associated with a "TOP offset" . Subsequent disposition codes will follow.Review the taxpayer's account to determine if refund was offset in full. Follow IRM 21.4.6.6.1, Taxpayer Inquiries on TOP Offset.
71Full TOP offset.Follow IRM 21.4.6.6.1, Taxpayer Inquiries on TOP Offset
72TOP offset - Unavailable Check Cancellation (UCC). This code is passed for non-receipt claims when only the amount of the partial payment issued because of an offset being returned.The offset is not reversed. Generates a TC 841 and is the equivalent of a "disposition 09" which generates a Document Locator Number (DLN) with Block 88888. Follow procedures under "disposition 09" Then section (3) above.
Exhibit 21.4.2-6 

Category Codes

The following category codes are associated with the Refund Trace Program:

Note:

Additional category code information can be found in Exhibit 21.4.2-2, Disposition Code Chart - Refund Inquiry Employee Actions.

 

CategoryDefinitionHow UpdatedWhen UpdatedAge Criteria
1081Reclamation Credit received from BFS.CC ACTONWhen 1081 TRACS listing received

Asterisk appears 30 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
3858
  1. Form 13818, Limited Payability Claim Against the United States for the Proceeds of an Internal Revenue Refund Check or
  2. FS Form 1133 and check copy sent to taxpayer or
  3. There is no check copy and taxpayer is denied.
CC ACTONWhen items are mailed to the taxpayer

Asterisk appears 45 days from action date.

  • 1 thru 9 would indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
3859FS 3859, Claims Disposition Notice, (or computer-generated version) received from BFS in Philadelphia, PA.CC ACTONWhen Disposition Notice received

Asterisk appears 14 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in HMMM column, case is overaged.
3911Form 3911, Taxpayer Statement Regarding Refund, or oral statement received about a refund.CC ACTONWhen case controlled

Asterisk appears 30 days from received date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
841PTC 841 posts and sets P- Freeze.Computer generatedWhen TC 841 posts

Asterisk appears 14 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged (unless 45 days have not elapsed from the received date of the check).
ACKNClaim or photocopy request processed by RFC to TCIS by Disposition Code 01 or 2.Computer generatedWhen disposition code is received from RFC

Asterisk appears 30 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
DDPDDirect Deposit verified and FS Form 150.1 to generate at RFC, as indicated by Status 09.Computer generatedWhen Disposition Notice receivedAsterisk appears 90 days from action date.
OOPSCC CHKCL claim, or photocopy request rejected by RFC, as indicated by Reject Disposition Code, corrective action required.Computer generatedWhen reject received from RFC

Asterisk appears 14 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
PAIDCheck cashed, claims package and/or photocopy to follow, as indicated by Status 11, 14, 15, 16, 17, 18, or 20.Computer generatedWhen Disposition Notice received

Asterisk appears 30 days from action date for checks and direct deposits.

Note:

If case has already been updated to "Category Code 3858" because the claims package came before the "Status 11" etc. and has already been mailed to the taxpayer, the computer will not change the "Category Code PAID" . The case will remain in "Category 3858" to reflect the true status of the case.

RCTFCC CHKCL input for check claim.Computer generatedCC CHKCL is input

Asterisk appears 30 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
RECLTC 841 to post from Account 6565 or funds recovered through the banking system.CC ACTONWhen case submitted to the Accounting function or when case controlled by AMRH

Asterisk appears 180 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
RFCKCC CHKCL input for photocopy request (including LP trace).Computer generatedCC CHKCL is input

Asterisk appears 30 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
RFIQCorrespondence received about a refund.CC ACTONWhen controlled

Asterisk appears 45 days from received date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
ST32Check is outstanding.Computer generatedWhen Status Code "32" received from RFC

Asterisk appears 45 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
TOADCompleted FS Form 1133 and check copy sent to BFS for adjudication (decision).CC ACTONWhen items are mailed to BFS Philadelphia, PA

Asterisk appears 90 days from action date.

  • 1 thru 9 would appear to indicate how many weeks it has aged. When asterisk appears in "HMMM" column, case is overaged.
Exhibit 21.4.2-7 

TCIS Claim Details Information

The following are details used in deciphering the claims detail screen in the Treasury Check Information System:

  1. Claims Status: Open – The claim has been accepted, and a case has been created within Fiscal systems. However, BFS has not yet received any information from the Financial Institution (FI) about the payment.
  2. Claims Status: Suspended – The claim has started to be worked by a Fiscal technician, but there is more information or actions needed from the financial institution to resolve the claim. 
    The Trace Response Details provides one of two response codes:
    Pending Research (RES) – BFS has contacted the financial institution but are waiting on additional information to properly adjudicate the claim.
    Pending RO6 (RO6) – The FI has promised to return the full payment, but the return has not yet been confirmed by Fiscal systems.
  3. Claims Status: Closed – The claim has been adjudicated by Fiscal and all information provided by the Financial Institution is contained in the claims detail tab.
    The Trace Response Details provides one of three response codes:
    •Payee Account Credited (PAC) – The payment was correctly credited to the intended payee’s account. Date Credited is the date the financial institution see’s the payment on the account of the intended payee.
    •Payment Returned (RET) – The full payment amount was returned to Treasury via ACH. Return Date is the date Treasury received the full funds. IRS should see the credit back to the agency within 48 business hours.
    •Referred to Agency (REF) – The payment was credited to an account where the name of the account owner does not match the name of the intended payee. (This will require additional research on IRS part to determine the taxpayer who received the erroneous refund.)
  4. Explanation: This field provides information from the FI.
  5. FI Notes: Additional information provided by the FI which may provide insight as to what happened with the taxpayer’s funds. 
    Example: "Tax Refund received however, $$ was returned R## on mm/dd/yy after the parsing of funds for an early direct deposit feature." This would indicate that the direct deposit was accepted at the FI (usually a third-party processor); however, when transferring funds to the ultimate bank account (the taxpayers account) the third-party processor experienced an issue. Since the direct deposit was accepted by the FI (third-party processor), refer the taxpayer to the FI where the funds were accepted.