Rev. Proc. 66-32
Rev. Proc. 66-32; 1966-2 C.B. 1213
- LanguageEnglish
- Tax Analysts Electronic Citationnot available
Superseded by Rev. Proc. 67-31
SECTION 1. PURPOSE.
The purpose of this Revenue Procedure is to state the requirements and conditions under which information reportable on U.S. Information Return, Form 1099, Wage and Tax Statement, Form W-2, or Nominee's Information Return, Form 1087 (hereafter referred to collectively as information returns), may be submitted to the Service by payers, employers, or nominees (hereafter referred to collectively as payers), in the form of magnetic tape in lieu of original copies of paper documents. This procedure supplements Revenue Procedures 66-16, C.B. 1966-1, 65-25, C.B. 1965-2, 1007; and 66-17, C.B. 1966-1, 639, relating to the use of substitutes for Forms 1099, W-2, and 1087, respectively.
SEC. 2. TAPE SUBMISSION.
.01 Tape reporting is not restricted to payers with the ability to submit all of their information on magnetic tape. A combination of tape records and paper documents will be acceptable as long as there is no duplication or omission of documents.
.02 Payers desiring to file information returns in the form of magnetic tape must first secure permission from the Service. A letter of request should be sent to the Director, Internal Revenue Service Center, Attention: Chief, Planning Staff, where the payer would file tapes. See attachment II, section 2.01, for filing locations. This letter should be registered with a return receipt requested. An organization acting as an agent for a number of payers may request, in a single letter, permission to file on magnetic tape for as many payers as desired. All subsequent correspondence regarding magnetic tape filing, except for extension of time for filing (see sec. 3.03), should be sent to that same office.
The letter of request must contain the following:
(a) Name, address, and EI Number of person, organization,
or firm making the request.
(b) Name, title, and telephone number of person to contact
regarding the request.
(c) An estimate, by type of form, of the number of returns
to be reported in tape format, and the number, by type of form,
to be reported on paper forms.
(d) Type and nature of equipment to be used to prepare tape
files, i.e., Manufacturer and Model of Main Frame and Tape
Drives, Tape Width (1/2", 3/4", etc.), Density (characters per
inch), and Recording Code (BCD, Excess 3, Octal, etc.).
(e) Internal Revenue office where paper forms were filed
last year.
(f) List of payers to be included in the file if the
requestor is an agent.
(g) List of desired deviations from prescribed tape
specifications and reasons therefor. (See sec. 2.05.)
(h) Signature of official responsible for the preparation
of tax reports or his authorized agent.
These requests must be filed no later than August 31 of the first tax year for which authorization to file magnetic tape is being requested. Payers using equipment that is compatible with the Service's (see attachment I, sec. 1.01) and not requesting deviations from the prescribed specifications, will not receive formal notification of the Service's approval to file magnetic tape, as approval for these payers will be automatic. Payers using equipment that is compatible with the Service's, but requesting deviations from the specifications, will be notified not later than September 30 of the Service's approval or disapproval. In the latter case, the payer will be notified as to the reasons for disapproval so that he might take whatever action may be required to meet the requirements. Payers using equipment not compatible with the Service's will also be notified not later than September 30 of the Service's approval or disapproval to file magnetic tape. Disapproval in this instance will generally mean that facilities for converting the payer's file to a compatible form could not be located.
.03 In general, once authorization to file magnetic tape has been granted to a payer, such approval will continue in effect for each succeeding year, providing that the requirements of this Revenue Procedure are met, and there are no equipment changes by the payer. However, payers must notify the Service if they significantly change the number of returns reported on tape, or make equipment changes that will cause their tape files to be compatible or incompatible with the Service's equipment. Notification of such changes must be received by the Director, Internal Revenue Service Center, Attention: Chief, Planning Staff, not later than August 1 of the tax year in which the change will occur.
.04 Continual submission of tape reports is not mandatory. A payer may revert to the use of prescribed paper documents at any time. However, the Service must be notified promptly if such a decision is reached by payers after the Service has approved tape reporting. In there cases, before tape submissions can be resumed, a new request for permission to file magnetic tape is required. This request must include the same information as an initial request (see sec. 2.02).
.05 Tape reports must conform to the specifications shown in Attachment I. However, payers who can substantially conform to these specifications but wish to make minor deviations, are encouraged to file a request and state the specific deviations sought and the reasons therefor.
SEC. 3. PROCESSING OF TAPE INFORMATION RETURNS.
.01 The dates prescribed for filing paper documents with the Service will apply to magnetic tape filing.
.02 The Service will return tapes within 6 months of receipt.
.03 Requests for extensions of time for filing and other related matters, should be made to the internal revenue office where paper documents would otherwise be filed.
SEC. 4. EFFECT ON PAPER DOCUMENTS.
.01 Reports on magnetic tape can be substituted for only the original copy (copy A) of Forms W-2, 1099, and 1087. When magnetic tape returns are filed in lieu of Forms 1099 or 1087, payers will not be required to furnish payees or other persons with copies which conform to the format and paper specifications of the Revenue Procedures relating to the use of paper substitutes for these forms. However, payers must supply their payees with the information, normally shown on these forms, in a manner conducive to proper reporting on their tax returns. Payers filing magnetic tape returns in lieu of Form W-2, must continue to furnish their payees with the prescribed forms or with paper substitutes which meet the requirements and specifications in Revenue Procedures relating to paper substitutes for Form W-2.
.02 If only a portion of the information returns is reported on magnetic tape and the remainder is reported on paper forms, those returns not submitted on magnetic tape must be filed on the appropriate prescribed forms, or on paper substitutes meeting the format requirements and paper specifications in the Revenue Procedures relating to the information returns.
SEC. 5. TRANSMITTAL FORMS.
Each magnetic tape file and its related paper document submission, if any, must be forwarded with the appropriate transmittal form (Form W-3, Reconciliation of Income Taxes Withheld From Wages, or Form 1096, U.S. Annual Information Return).
SEC. 6. ABSENCE OF ACCOUNT NUMBERS.
The Service expects that payers will make every effort to keep unnumbered information returns to a minimum through continued compliance with the requirements set forth in section 1.6109 of the Income Tax Regulations, and section 31.6109 of the Employment Tax Regulations. However, when the taxpayer identification number of a payee has not been furnished to the payer, the specifications in attachment I permit the omission of the number.
SEC. 7. ADDITIONAL INFORMATION.
Requests for further information regarding this Revenue Procedure should be addressed to Commissioner of Internal Revenue, Attention: D:S:P1., Washington, D.C. 20224.
ATTACHMENT I -- MAGNETIC TAPE SPECIFICATIONS
SECTION 1. GENERAL.
.01 These specifications prescribe the required format and content of the records to be included in the file, but not the methods or equipment to be used in their preparation. Usually, the Service will be able to process, without translation, any compatible tape file. To be compatible, a tape file must meet all of the following:
Type of tape................... 1/2-inch Mylar base, oxide coated.
Recording density.............. 556 or 800 CPI.
Parity......................... Even.
Interrecord gap................ 3/4 inch.
Recording code................. 7-channel binary coded decimal (BCD).
Conventions.................... Prescribed header and trailer labels
must be used.
The Service will attempt to obtain conversion facilities which will enable it to accept tapes with other physical characteristics, but cannot guarantee that such facilities are available to meet every circumstance.
.02 An acceptable tape file will contain, for each payer, (1) a Payer/Transmitter Record, (2) a series of Payee Records, and (3) an End of Payer Record. In addition, multiple reel files will have End of Reel Records. All files will contain an End of Transmission Record. Header and Trailer Records are not required, but may be included at the option of the transmitter. If Header and Trailer Records are used, they must follow the format prescribed herein and appear as the first, and last record (respectively) on each tape reel in the file. All records, including headers and trailers, must be written at the same density. See 1.03 for restrictions on the use of Tape Marks with Header and Trailer Records.
.03 Certain conventions may be required by either the equipment or programming systems used by the payer. Files containing any of the following will be accepted.
ELEMENT DESCRIPTION
Record Marks................... At the end of a block or end of each
record.
Tape Marks or equivalent....... If header and trailer labels are not
used, Tape Marks, or equivalent,
should follow End of Reel or End of
Transmission Records. A Tape Mark
cannot follow a Payee or End of
Payer Record. If header and trailer
labels are used, a Tape Mark cannot
follow a header label, but must
precede and follow the trailer
label.
If other conventions are required please contact Director, Internal Revenue Service Center, per section 2.02.
.04 The tape records prescribed in these specifications may be blocked or unblocked. A block may not exceed 4,000 tape positions. If a file is blocked and the number of records in the last block is less than the number specified for a block (see tape positions 15-16 of Payer/Transmitter Record), fill all remaining positions (including "Record Type") in the block with nines. Two forms of blocking will be acceptable:
(a) Only Payee Records are blocked. Payer/Transmitter, End of Payer, End of Reel, and End of Transmission Records are unblocked.
(b) All records (except header and trailer labels) are blocked. When all records are blocked, a Payer/Transmitter Record may precede a series of Payee Records in a block, but cannot follow an End of Payer Record in a block.
SECTION 2. DEFINITIONS.
ELEMENT DESCRIPTION
b.............................. Denotes a blank position.
Special Character.............. Any character that is not a numeral,
letter, or blank.
Payer.......................... Person, or organization, including
paying agent, making payments. The
Payer will be held responsible for
the completeness, accuracy, and
timely submission of magnetic tape
files.
Transmitter.................... Person or organization preparing tape
files. May be Payer or agent of
Payer.
Payee.......................... Person(s) or organization(s)
receiving payments from Payer.
Coding Range................... Shows the lowest and highest codes
acceptable. For example: Coding
Range 0-4 indicates that codes 0, 1,
2, 3, or 4 are acceptable in the
tape position.
Record......................... A group of related fields of
information, treated as a unit.
Blocked Records................ 2 or more records grouped together
between interrecord gaps.
Unblocked Records.............. A single record which is written
between interrecord gaps.
Blocking Factor................ Number of records grouped together to
form a block. Should be "1" if
records are not blocked (unblocked).
File........................... For the purposes of this procedure, a
file consists of all tape records
submitted by a Payer or transmitter
for a specific type of information
document. For example: Payers
reporting data for both Form W-2 and
Form 1099 would submit two files.
One file would contain W-2 data, the
other 1099 data. Another example: A
Payer transmits data for Form W-2
from several locations (payroll
office, data center, regional
office, etc.), with data from each
on separate reels. The submission
from each location would be a file.
Reel........................... A spool of magnetic tape.
Record Mark.................... Special character used either to
limit the number of characters in a
data transfer, or to separate
blocked records on tape. For
compatibility with the Service's
equipment, use BCD bit configuration
A82.
Tape Mark...................... Special character that is written on
tape to signify the physical end of
the recording on tape. For
compatibility with the Service's
equipment, use BCD bit configuration
8421.
EIN............................ Employer identification number.
SSN............................ Social Security number.
SEC. 3. HEADER LABEL (OPTIONAL).
Description Contents Position Example
Label Identifier........ 1HDR......... 1-5 1HDRb.
Tape Serial Number...... XXXXX........ 6-10 00012.
Blank................... bbbbb........ 11-15
Reel Sequence Number.... --XXX........ 16-19 --002.
Blank................... b............ 20
File Identification..... TAPEWAID..... 21-30 TAPEWAIDbb.
Creation Date (year, XXXXX........ 31-35 65224.
day of year).
Retention Date.......... --365 36-39 --365.
Blank................... b............ 40
Miscellaneous /1/....... b or any 41-80
special data
Payer/Trans-
mitter may
wish to
include.
1 Data in these positions will not be used by Internal Revenue
Service.
SEC. 4. TRAILER LABEL (OPTIONAL).
Description Contents Position Example
Trailer Label........... 1EORb or 1-5 EOR (end of reel).
1EOFb.
Identifier and ------- EOF (end of file).
Termination Code.
Block Count............. XXXXX........ 6-10 A count of tape
blocks written.
Does not include
tape marks or
header/trailer
labels.
Miscellaneous /1/....... b or special 11-80
data
1 Data in these positions will not be used by Internal Revenue
Service.
SEC. 5. PAYER/TRANSMITTER RECORD.
Identifies the payer and transmitter of the tape files and provides parameters for the succeeding Payee Records. IRS relies in its computer programs on the absolute relationship between the parameters in the Payer/Transmitter Record and the data fields to which they apply. The number of Payer/Transmitter Records appearing on one tape reel will depend on the number of payers being reported. A transmitter may include Payee Records for more than one payer on a tape reel; however, each separate Payer's Payee Records must be preceded by a Payer/Transmitter Record. Separate tape files on separate reels must be submitted if payer is reporting payment data for more than one type of information return. When multiple reels are required for a single file, the correct Payer/Transmitter Record must be repeated as the first record (second record if header labels are used) on every succeeding reel in the file to which it applies. Reel number must be incremented by 1.
Tape Element name Entry
position
1 Record Type............. Enter "A." Must be first
character of each
Payer/Transmitter Record.
2 Payment Year............ The last digit of the year
for which payments are being
reported.
3-5 Reel Number............. Serial Number assigned by the
transmitter to each reel,
starting with 001. If header
labels are used, this should
be the same as Reel Sequence
Number.
6-14 EIN -- Payer............ Enter Employer Identification
Number of the payer.
15-16 Blocking Factor......... Enter the number of records
in a block. A block must not
exceed 4,000 tape positions.
17 Type of Information Enter "1" for 1099. Enter "2"
Document Reported in for 1087. Enter "3" for W-2.
the Payee Records
Following.
18-24 Amount Indicator........ Amount Codes will be entered
in Amount Indicator to show
the type of payments
appearing in the Payment
Amount fields and the
position of such payments.
The Amount Indicator Codes
will apply to all succeeding
Payee Records in a file.
Definition of each type of
payment listed below is the
same for magnetic tape as
for equivalent paper
documents. The payments
codes are as follows:
Payments normally reported
on Form W-2
AMOUNT,
CODE AMOUNT, TYPE
1 Federal Income Tax
Withheld. 2
2 Wages Paid Subject
to Withholding. 2
3 Salary or Other
Compensation Which
was not Subject to
Withholding.
4 FICA Employee Tax.
2
5 Total FICA Wages
Paid.
6 Excludable Sick Pay.
7 Uncollected Employee
Tax on Tips.
Payments normally reported
on Form 1099
1 Dividends and Other
Distributions.
2 Earnings from
Savings and Loan
Associations,
Mutual Savings
Banks, Credit
Unions, etc.
3 Interests. Do not
include items
reportable under
code 2.
4 Patronage Dividends
and Certain Other
Distributions by
Cooperatives.
5 Rents and Royalties.
6 Annuities, Pensions,
and other Fixed or
Determinable
Income.
7 Foreign Items,
Prizes, Awards,
etc. Do not include
items reportable on
Form W-2.
Payments normally reported
on Form 1087
1 Dividends and Other
Distributions.
2 Earnings from
Savings and Loan
Associations,
Mutual Savings
Banks, Credit
Unions, etc.
3 Interest. Do not
include items
reportable on Form
1099 under code 4.
Up to 7 payment amounts
may be included in a payee
record. Enter Amount Codes in
ascending order from left to
right, starting in position
18, and leave unused
positions blank. If a
particular Amount Type will
not be used, do not enter
Amount Code in Amount
Indicator. If an Amount Type
will be used for some but not
all records, enter the Amount
Code in the Amount Indicator.
For example: If position 17
of Payer/Transmitter Record
is 3, codes 124bbbb in
positions 18-24 (for W-2's)
indicate that there are only
3 amount fields in all the
payee records.
The 1st field represents
Federal income tax withheld;
the 2d, wages paid subject
to withholding; and 3d, FICA
employee tax. Another
example: If position 17 of
the Payer/Transmitter Record
is 1, code 1bbbbbb (for
1087's) indicates there is
only 1 amount field in all
the payee records. It
represents dividends and
other distributions. Position
18 must always have a code
other than blank. If position
17 of Payer/Transmitter
Record is 1 (for 1099's),
coding range is 1-7, b. If
position 17 is 2 (for
1087's), coding ranges is 1-3
or b. If position 17 is 3
(for W-2's), coding range is
1-7 or b. Note: "b" is the
only code that may appear in
2 or more positions of the
Amount Indicator, after the
1st position.
25-27 Special Data: Enter the number of positions
Entries -- length. provided in Payee Record for
data which may be required
for State reports and other
purposes. (This data will not
be used by the Internal
Revenue Service.) The number
of positions shown in this
item must be for those which
follow after city, State, and
zip code in each Payee
Record. Enter zeros if option
to include special data is
not used. Right justify and
zero fill. Coding Range
000-100.
28-30 Record Length -- Enter number of positions
Payer/Transmitter allowed for Payer/Transmitter
Record. Record. If record mark or
equivalent is used, include
in count. The entry should be
200 plus record mark if only
Payer record information is
entered, or 360 plus record
mark if both Payer and
Transmitter record
information is included.
31-33 Record Length -- Enter number of positions
Payee Record. allowed for a Payee Record.
If record mark or equivalent
is written after each
record, include in count. Do
not include if record mark
is written only at end of
block. Positions allowable:
200-360 plus record mark.
34-40 Blanks.................. Enter blanks.
41-80 1st Name Line -- Enter first name line of
Payer. payer. Left justify and fill
with blanks.
81-120 2nd Name Line -- Enter second name line of
Payer. payer. Left justify and fill
with blanks. Leave blank if
not used.
121-160 Street Address -- Enter street address of
Payer. payer. Left justify and fill
with blanks.
161-200 City, State, Zip Enter City, State, and ZIP
Code -- Payer. code of Payer. Left justify
and fill with blanks.
The following items are required if the Payer and Transmitter
are not the same, or the transmitter includes files for more than one
payer:
201-240 1st Name Line -- Enter 1st name line of
Transmitter. Transmitter. Left justify
and fill with blanks.
241-280 2nd Name Line -- Enter 2nd name line of
Transmitter. Transmitter. Left justify
and fill with blanks. Leave
blank if not required.
281-320 Street Address -- Enter street address of
Transmitter. Transmitter. Left justify
and fill with blanks.
321-360 City, State, Zip Enter City, State, and Zip
Code -- Code of Transmitter. Left
Transmitter. justify and fill with
blanks.
2 Asterisked items must be present.
SEC. 6. PAYEE RECORD
Contains payment record from individual information returns. Records may be blocked or unblocked. A block may not exceed 4,000 tape positions. All records must be fixed length.
Tape Element name Entry
position
1............. Record Type............. Enter "B." Must be 1st
character of each Payee
Record.
2-3........... Payment Year............ Last 2 digits of the year for
which payments are being
reported.
4............. Surname Location........ Enter 1 if given name,
initials, or titles precede
the surname of payee in 1st
Name Line -- Payee. Enter 2
if surname appears 1st. In
all other cases enter blank.
Coding Range 1-2 or b.
5............. Linked Name............. Coding in this position is
based on the codes in Type
of Account, position 11, and
the type of entry made in
Name Control, positions
7-10. Coding for the Linked
Name Designator will
indicate:
(a) That a record is for
a business account,
or an account not
required to have a
Social Security or
Employer
Identification
Number; or (b) that
a record is for an
individual account
and the first four
letters of the
surname have been
entered in the Name
Control field,
positions 7-10; or
(c) that a record is
for an individual
account and one of
the alternatives for
Name Control has
been used; or
(d) that the type of
account is unknown,
but the first four
letters of surname
have been entered in
the Name Control
field; or
(e) the type of account
is unknown but an
alternative for Name
Control has been
used. In those cases
where one of the
alternatives for
Name Control is
used, the coding in
the Linked Name
Designator will
identify the
alternative. Coding
for this field is as
follows:
If Type of Account,
position 11, is
"1" or "9":
Linked Name Name Control
Designator 1111 or 9999.
1
If Type of Account,
position 11, is
"2" or "b":
Linked Name
Designator Name Control
2 Contains first
4 letters of
surname.
3 Alternative 1
is used.
4 Alternative 2
is used.
5 Alternative 3
is used.
6 Alternative 4
is used.
7 Alternative 5
is used.
8 Alternative 6
is used.
6............. Blank................... Enter Blank.
7-10.......... Name Control............ EIN Accounts -- If position
11 is "1", enter 1111.
Accounts not requiring
numbers -- If position 11 is
"9", enter 9999. In all
other cases, whether or not
there is a social security
number in positions 12-20,
name control should be
provided. Name Control is
the 1st 4 characters of the
surname. If there are fewer
than 4 characters in the
surname, left justify and
fill unused positions with
blanks. The hyphen (-) is
the only special character
allowable in name control.
Name Control: If position 11
is "2", enter 1st 4 letters
of surname of payee. If
multiple payees, enter first
4 letters of surname of
payee linked to account
number. If position 11 is
"blank," enter 1st 4 letters
of 1st surname in the 1st
name line. If name control
cannot be provided, one of
the following alternatives
must be used:
1. If position 11 is "2" or
"blank," and Payee is 1
individual or husband
and wife, enter 2222.
2. If position 11 is "2,"
or "blank," and linked
name is the 1st surname
in a multiple-name
payee account, enter
1000.
3. If position 11 is "2" or
"blank," the Payee is 2
or more individuals,
and a special character
precedes the linked
name, enter the special
character in each of
the positions 7-10.
4. If position 11 is "2" or
"blank," the Payee is 2
or more individuals,
and a special character
follows the linked
name, enter the special
character in each of
the positions 7-10.
5. If position 11 is "2" or
"blank," and a numeric
code is used to
indicate the linked
name -- for example "1"
for 1st named payee,
"2" for 2nd named
payee, "3" for 3rd
named payee, etc. --
enter the numeric code
in position 7 and fill
positions 8-10 with
zeros.
Note: Numeric Code
should not be greater
than 9.
6. If position 11 is "2" or
"blank," the Payee is 2
or more individuals and
the linked name cannot
be identified, enter
3333.
11............ Type of Account......... Enter "1" only if an Employer
Identification Number is
entered in positions 12-20.
Enter "2" only if a Social
Security Number is entered
in positions 12-20. Enter
"9" only if a number is not
required by statute or
regulation. When code "9" is
used, positions 12-20 must
be blank. Enter blank if SSN
or EIN is required, but is
not available. This position
cannot be blank if there is
an entry in positions 12-20.
Coding Range b, 1, 2 or 9.
12-20......... SSN or EIN of Payee..... Enter Social Security Number
or Employer Identification
Number of payee, as
appropriate. Enter blanks
(do not fill with zeros) if
number is not available.
21-30......... Payer's Account Enter Account Identification
Identification Number assigned to Payee by
Number for Payee. Payer. This item is
optional, but its presence
may facilitate subsequent
reference to payer's files
if questions arise regarding
specific records in the
file. Leave blank (do not
fill with zeros) if not
used.
Payment Amounts......... Record each payment amount in
dollars and cents, omitting
dollar signs, commas, and
periods. Right justify and
fill unused positions with
zeros. Payment amount fields
identified by a code other
than blank in the Amount
Indicator (positions 18-24
of the Payer/Transmitter
Record) as occurring in some
Payee records, should be
zero filled when amounts are
not available in a
particular record. Do not
provide a payment amount
field when the Amount
Indicator is blank. For
example: the Amount
Indicator contains 123bbbb.
Payee Records in this file
should have only 3 payment
amount fields. If Amount
Indicator contains 12367bb,
Payee Records should have 5
payment amount fields.
31-40......... Payment Amount 1........ This amount is identified by
the amount code in position
18 of the Payer/Transmitter
Record. This entry must
always be present.
41-50......... Payment Amount 2........ This amount is identified by
the amount code in position
19 of the Payer/Transmitter
Record. If position 19 of
the Payer/Transmitter Record
is blank, do not provide for
this payment field.
51-60......... Payment Amount 3........ This amount is identified by
the amount code in position
20 of the Payer/Transmitter
Record. If position 20 of
the Payer/Transmitter Record
is blank, do not provide for
this payment.
61-70......... Payment Amount 4........ This amount is identified by
the amount code in position
21 of the Payer/Transmitter
Record. If position 21 of
the Payer/Transmitter Record
is blank, do not provide for
this payment field.
71-80......... Payment Amount 5........ This amount is identified by
the amount code in position
22 of the Payer/Transmitter
Record. If position 22 of
the Payer/Transmitter Record
is blank, do not provide for
this payment field.
81-90......... Payment Amount 6........ This amount is identified by
the amount code in position
23 of the Payer/Transmitter
Record. If position 23 of
the Payer/Transmitter Record
is blank, do not provide for
this payment field.
91-100........ Payment Amount 7........ This amount is identified by
the amount code in position
24 of the Payer/Transmitter
Record. If position 24 of
the Payer/Transmitter Record
is blank, do not provide for
this payment field.
Name and address -- Four 40-position fields are
Payee. provided for recording name
and address of payee. The
1st 2 fields are to be used
to record name of the payee.
The 3rd filed should contain
the street address of the
payee. The 4th field should
contain the City, State, and
ZIP code of the payee. If
more than 80 positions are
required to record name of
payee, truncate the least
significant portions of the
name. If fewer than 40
positions are required, left
justify and fill unused
positions with blanks.
Record the name in 1 of the
following formats:
J H Doe
Doe J H
John H Doe
Doe John H
Mrs Jane H Doe
Doe Mrs Jane H
1 space must be allowed
between name and/or initials.
41-80, 1st Name Line -- The 1st Name Line -- Payee
51-90, Payee. will begin in position 41,
61-100, 51, 61, 71, 81, 91, or 101,
71-110, depending on the number of
81-120, payment amount fields
91-130 included in the record.
101-140. Enter name of payee. This
field must contain linked
name if Linked Name
Designator, tape position 5
is "3-7." Left justify and
fill with blanks.
81-120, 2nd Name Line -- The 2nd Name Line -- Payee
91-130, Payee will begin in position 81,
101-140, 91, 101, 111, 121, 131 or
111-150, 141, depending on the number
121-160, of payment amount fields
131-170, included in the record.
141-180. Enter 2nd name line of
payee. Left justify and fill
with blanks. Enter blanks if
not required.
121-160, Street Address -- Street Address -- Payee,
131-170, Payee. will begin in position 121,
141-180, 131, 141, 151, 161, 171, or
151-190, 181, depending on the
161-200, number of payment amount
171-210, fields included in the
181-220. record. Enter street
address of payee. Left
justify, and fill with
blanks. Enter blanks if not
available.
161-200, City, State, Zip City, State ZIP code --
171-210, Zip Code -- Payee will begin in
181-220, Payee. positions 161, 171, 181,
191-230, 191, 201, 211 or 221,
201-240, depending on the number of
211-250, payment fields included in
221-260. the record. City, State and
ZIP code must be entered in
accordance with the
specifications prescribed
herein, or in a format that
meets the sequence and
space requirements of
postal regulations. Files
not meeting either of these
conditions will be
rejected. Internal Revenue
Service Specifications:
Remove all punctuation
(commas, periods) and
adjust letter positions.
For example:
City or State Enter As
Name
St. Louis St Louis
N.Y. N Y
N. Y. N Y
NY N Y
City.................... Enter name of city in the
first 26 positions of City,
State, ZIP code field. Left
justify and fill with
blanks. Enter blanks if
absent.
Blank................... Enter a blank in 27th
position of City, State, ZIP
code field.
State................... Enter name of State or
abbreviation in 28th through
33rd position of City,
State, ZIP code field. Left
justify and fill with
blanks.
Blank................... Enter blanks in 34th and 35th
position of City, State, ZIP
code field.
Zip Code................ Enter ZIP code in 36th
through 40th position of
City, State, ZIP code field.
Enter zeros if absent.
201-300, Special Data The last portion of each
211-310, Entries Payee Record may be used to
221-320, (Optional). record information required
231-330, for State or Local
241-340, Government or for other
251-350, purposes. Number of
261-360. positions allowed for this
data must agree with the
number shown in positions
25-27 of the
Payer/Transmitter Record.
Data in this portion of the
record will not be used by
IRS. Special Data Entries
will being in position 201,
211, 221, 231, 241, 251 or
261, depending on the number
of payment amount fields
included in the record.
SEC. 7. PAYER, REEL AND FILE TERMINATION RECORDS.
.01 Since the Service is not restricting magnetic tape reporting to payers or transmitters with specific types of equipment, or prescribing the methods used to prepare the tape files, it has made the use of header and trailer labels, record marks, tape marks, and other conventions optional.
.02 The Payer/Transmitter, End of Payer, End of Reel, and End of Transmission Records perform the functions normally assigned to these conventions. The Payer/Transmitter Record acts as a header label, the End of Payer Record indicates that all Payee Records for a Payer have been written, the End of Reel Record signals that no more Payee Records are written on the reel, and the End of Transmission Record indicates that the end of the file has been reached.
.03 In addition to the functions stated above, the End of Reel and End of Payer Records are used to balance each reel or each payer's records on a reel.
SEC. 8. END OF PAYER RECORD.
Write this record after the last Payee Record for a Payer has been written. A tape reel may contain more than one End of Payer Record if the last Payee Record for more than one Payer is written on the reel. Each End of Payer Record must contain a count of payees and totals of each payment amount reported for all Payee Records written on the same reel, which have not been summarized in preceding End of Payer Records on the reel. The End of Payer Record must be followed by a new Payer/Transmitter Record, an End of Reel, or End of Transmission Record. The new Payer/Transmitter Record, however, cannot be written in the same block as the End of Payer Record. A new block, with the new Payer/Transmitter Record as the first record, must be started. The End of Payer Record cannot be followed by a Tape Mark.
Tape Element name Entry
position
1 Record Type............. Enter "C." Must be 1st
character of each each end
of Payer Record.
2-7 Number of Payees........ Enter the total number of
payees covered by the payer
on this tape reel. Zero fill
if less than 6 positions are
required.
8-19 Control Total 1......... Enter grand total of each
20-31 Control Total 2......... payment amount covered by
32-43 Control Total 3......... the payer on this tape reel.
44-55 Control Total 4......... Right justify and zero fill.
56-67 Control Total 5......... If less than 7 amounts are
68-79 Control Total 6......... being reported in the Payee
80-91 Control Total 7......... Records, zero fill remaining
Control Total positions. For
example: If only 1 payment
amount is being reported,
zero fill tape positions for
Control Totals 2, 3, 4, 5,
6, and 7.
SEC. 9. END OF REEL RECORD.
Write this record when the end of the normal writing area of each reel has been reached, but all records in the file have not been written. This record indicates that there are additional reels in the file. Each End of Reel Record must contain a count of payees and totals of each payment amount reported for all Payee Records not summarized in End of Payer Records which may precede it on the reel. The counts and totals in the End of Reel Record should summarize only the Payee Records which precede it on the reel. This record cannot be followed by a Payer/Transmitter, End of Payer, or End of Transmission Record. A Tape Mark or Tape Mark and Trailer Label (see sec. 1.03) may follow.
Tape Element name Entry
1 Record Type............. Enter "D." Must be 1st
character of each End of
Reel Record.
2-7 Number of Payees........ Enter the total number of
payees not summarized in End
of Payer Records on this
tape reel. Zero fill if less
than 6 positions are
required.
8-19 Control Total 1......... Enter grand total of each
20-31 Control Total 2......... payment amount not
32-43 Control Total 3......... summarized in End of Payer
44-55 Control Total 4......... Records on this tape reel.
56-67 Control Total 5......... Right justify and zero fill.
68-79 Control Total 6......... If less than 7 amounts are
80-91 Control Total 7......... being reported in the Payee
Records, zero fill remaining
Control Total positions. For
example: If only 1 payment
amount is being reported,
zero fill tape positions for
Control Totals 2, 3, 4, 5,
6, and 7.
SEC. 10. END OF TRANSMISSION RECORD.
Write this record after the last End of Payer Record in the file. This record can be followed only by a Tape Mark or Tape Mark and Trailer Label (see sec. 1.03).
Tape Element name Entry
position
1 Record Type............. Enter "F." Must be 1st
character of the End of
Transmission Record.
2-4 Number of Payers........ Enter total number of payers
on this file. Zero fill.
Right justify.
5-7 Number of Reels......... Enter total number of reels
in this file. Zero fill.
Right justify.
8-30 Zeros................... Zero fill.
SEC. 11. PAYER, REEL AND FILE TERMINATION RECORD, BY TYPE OF FILE.
The following chart shows, by type of file, the record types to be used in the last three records written on a tape reel or for a payer:
Type of file 2nd from Next to Last
last record last record record
Single Payer, Single Reel.......... B C 1 F
Single Payer, Multiple Reels:
Reel 1........................ B B D 2
Last Reel..................... B C 1 F
Multiple Payers, Single Reel:
Payer 1....................... B B C 1
Payer 2....................... B B C 1
Last Payer.................... B C 1 F
Multiple Payers, Multiple Reels;
First Payer's Records split
between Reel 1 and Reel 2; Second
Payer's Records split between Reel
2 and Reel 3:
Reel 1: Payer 1............... B B D 2
Reel 2:
Payer 1.................. B B C 1
Payer 2.................. B B D 1
Reel 3:
Payer 2.................. B B C 1
Payer 3.................. B C 1 D 3
Reel 4: Last Payer............ B C 1 F
Multiple Payers, Single Transmitter,
Separate Files for Each Payer:
File 1: Payer 1: Last Reel.... B C 1 F
File 2: Payer 2
Reel 1................... B B D 2
Last Reel................ B C 1 F
File 3: Payer 3: Last Reel.... B C 1 F
Single Payer, Multiple Transmitter
(Payer submits files from various
locations):
Payer 1:
Location 1: Last Reel.... B C 1 F
Location 2: Last Reel.... B C 1 F
Single Payer, Multiple Transmitter,
etc: Location 3:
Reel 1........................ B B D 2
Reel 2........................ B B D 2
Last Reel..................... B C 1 F
1 Must contain "Number of Payees" and "Control Totals"
summarizing all Payee Records written for this Payer on this reel.
2 Must contain "Number of Payees" and "Control Totals"
summarizing all Payee Records written on this reel.
3 "Number of Payees" and "Control Total" fields must be zero
filled.
ATTACHMENT II -- MAGNETIC TAPE FILING INSTRUCTIONS
SECTION 1. PURPOSE.
.01 The purpose of this attachment is to provide payers, approved to report on magnetic tape, with information regarding the place for filing, documentation required, external labeling of tape reels, and the procedures for correcting tape records.
SEC. 2. FILING LOCATIONS.
.01 Magnetic tapes may be filed with the Director, Internal Revenue Service Center, at any one of the addresses below:
(a) 2306 East Bannister Road, Kansas City, Mo. 64170.
(b) 7 Lake Street, Lawrence, Mass. 01841.
(c) Building 2-B, Defense Depot Ogden, Ogden, Utah 84405.
(d) 4800 Buford Highway, Chamblee, Ga. 30006.
(e) 11601 Roosevelt Boulevard, Philadelphia, Pa. 19155.
(f) 222 East Central Parkway, Cincinnati, Ohio 45202.
(g) 3651 Interregional Highway, Austin, Tex. 78741.
.02 Payers submitting a portion of their information returns on magnetic tape and the remainder on paper forms, should file magnetic tape records and paper documents at the same location.
SEC. 3. PACKING AND LABELING.
Tape reels should be packed to guard against shipping hazards. When more than one box is required, number the boxes with sequence numbers and total number of boxes.
SEC. 4. PAYMENT OF SHIPPING COSTS.
Shipments are to be prepaid.
SEC. 5. MODES OF SHIPMENT.
Any mode of transportation desired may be used for this purpose, provided that timely deliveries and safe handling are assured.
SEC. 6. EXTERNAL TAPE LABELS.
Each tape reel must have an external label affixed. The following information must be shown on the label:
(a) Name of Transmitter.
(b) Type of Document Represented by Tape Records.
(c) Payment Year.
(d) Tape Density.
(e) Parity (odd or even).
(f) Type of Tape Unit used to prepare tape.
(g) Sequence Number of Reel and Total Number of Reels in
File, i.e., Reel ______of______.
SEC. 7. TRANSMITTAL.
.01 Form 1096 or W-3 are still required even though payment data is reported on magnetic tape (see sec. 5 of this Revenue Procedure).
.02 In addition to the Form 1096 or W-3, a transmittal letter (quadruplicate) must accompany each tape file. A copy of this letter will be returned as acknowledgment of receipt of the file. All copies of the transmittal letter should be placed in the first box of a shipment. The letter must contain the following information:
(a) Name and Employer Identification Number for each payer
on the file and name of transmitter.
(b) Total number of payee records on tape file. Show
separately for each payer and grand total for all.
(c) Total amount paid for each type of payment reported on
tape file. Show separately for each payer and grand total of
all.
(d) Total number of tape reels in file.
(e) Name, address, and telephone number of person to
contact in regard to tape files.
(f) Name and address to be used for returning tape files if
different from (e) above.
.03 When extensions of time for filing have been granted, include a copy of this letter authorizing such extension with the tape shipment.
SEC. 8. CORRECTING TAPE RECORDS.
.01 The appropriate paper form will be used to correct payee records in the magnetic tape files. Each Form 1099 or 1087, correcting a tape record, must be annotated in the manner specified for corrected returns in the Revenue Procedures relating to the use of substitutes for Forms 1099 and 1087. Forms W-2 must carry the statement "Corrected by Employer" centered in the top one-fourth inch of the form.
.02 Documents correcting tape records may be shipped with the tape file or as a separate submission.
.03 Documents correcting tape records must contain the correct amounts for all payments being reported in the tape file. For example: An error is found in a payee record on a file where payments are being reported for Federal Income Tax Withheld, Wages Paid Subject to Withholding, and FICA Employee Tax. The error is in the amount reported for FICA Employee Tax. The corrected document should show the correct payment for FICA Employee Tax and the same amounts as shown on the tape file for the other two payments.
.04 Forms filed to correct Employer Identification Number or Social Security Number should not be identified as "Corrected by Employer."
- LanguageEnglish
- Tax Analysts Electronic Citationnot available
