3.13.222. BMF Entity Unpostable Correction Procedures

(1) This subsection contains instructions for procedures on maintaining the integrity of the Business Master File, by identifying unpostable transactions/conditions that are not compatible with existing master file data or normal Submission Processing Campus operating procedures and their resolution. Entity Unpostables also processes specific documents related to filing requirements of the Business Master File (BMF) taxpayer.

(2) Purpose: This subsection provides Business Master File (BMF) procedures for resolving unpostables using the Generalized Unpostable Framework (GUF). It also provides directions to all individuals who use the GUF to display, research, suspend and close INDIVIDUAL or FILES type unpostable cases. See IRM 3.12.32, Error Resolution - General Unpostables, for a description of INDIVIDUAL and FILES unpostable cases. This subsection also applies to the management of Unpostable processing.

(3) Audience: These procedures apply to Taxpayer Services (TS) Submission Processing Input Corrections Operations (ICO) personnel:

• Supervisory Tax Examining Assistant

• Lead Tax Examining Technician

• Tax Examining Technician

(4) Policy Owner: Director, Submission Processing.

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

(6) Primary Stakeholders: The primary stakeholders are the Tax Examiners (TEs) who rely on the IRM for accurate processing procedures related to the BMF Entity Unpostable program. Other areas that may be affected by these procedures include (but not limited to):

• Information Technology (IT) Programmers

• Taxpayer Advocate Service (TAS)

• Chief Counsel

• Compliance

• Submissions Processing

• Large Business and International (LB&I)

• Small Business Self-Employed (SBSE)

(7) Program Goals: To timely process corrections on unposted cases falling out through the Generalized Unpostable Framework (GUF).

(1) The purpose of this IRM is to provide instructions and procedures for correcting and resolving Business Master File (BMF) Entity Unpostable cases.

(2) The mission of the ENTITY UNPOSTABLE TEAM (EUT) is to resolve all Entity related problems in a timely manner by providing the taxpayer with the highest degree of Quality Customer Service.

(3) The words "NOTE", "CAUTION", "EXAMPLE", and "EXCEPTION" appear throughout the text as a reminder to be careful when following prescribed Entity procedures for case resolution.

(4) When correcting unpostables, the first thing that must be determined is that the unpostable tax return or document AND the Entity on the Master File are the same. Command Codes (CCs) BMFOL, NAMES, NAMEE, ENMOD, INOLE, NAMEB, and NAMEI are used to make this determination.

(5) Completely review the case to resolve all unpostable conditions to avoid REPEAT Entity unpostable conditions.

(6) Integrated Automation Technologies - IAT

1. The Integrated Automation Technologies - IAT provides tools to IRS employees that simplify research, reduce keystrokes and increase the accuracy of regular work processes.

2. When IAT is used with IDRS systems it eliminates repetitive typing and making precise decisions.

3. The use of IAT is mandatory. See the IAT web site at Integrated Automation Technologies - Home (sharepoint.com) for a list of available tools and User Guides.

4. Managers will ensure that all employees receive training on the use and application of IAT tools.

5. Appropriate research should be completed using Command Codes NAMEE, NAMEB, NAMES and NAMEI.

6. Effective August 7,2023, if a letter is being sent to a taxpayer with a UD indicator (TC 971 AC 661) on their account, the IAT Letter Tool will generate an alert. TE’s will need to verify the entity, update the taxpayer’s address and remove the UD indicator from the account before a letter can be issued.

(7) To view tax returns electronically filed on Modernized e-file (MeF), users must first request access to the Employee User Portal (EUP).

(1) The following IRMs are referenced in this IRM to assist in the resolution of Business Master File (BMF) Entity Unpostable Correction Procedures.

• IRM 1.11.2, Internal Management Documents System - Internal Revenue Manual (IRM) Process

• IRM 2.3.11, IDRS Terminal Responses - Command Codes TXMOD and SUMRY

• IRM 2.3.15, IDRS Terminal Responses - Command Code ENMOD

• IRM 2.3.16, IDRS Terminal Responses - Command Codes RFINK and RAFRQ

• IRM 2.3.17, IDRS Terminal Responses - Command Code ESTABD

• IRM 2.3.31, IDRS Terminal Responses - Command Codes CFINK, RPINK, KAFFQ, and KAFTQ for CAF Inquiry

• IRM 2.3.37, IDRS Terminal Responses - Command Code UPTIN For The GUF System

• IRM 2.3.48, IDRS Terminal Responses - Command Code UPDIS For The GUF System

• IRM 2.3.51, IDRS Terminal Responses - Command Code IMFOL

• IRM 2.3.57, IDRS Terminal Responses - Command Code BRTVU

• IRM 2.3.59, IDRS Terminal Responses - Command Codes BMFOL and BMFOR

• IRM 2.3.60, IDRS Terminal Responses - Command Codes NAMES, NAMEE, NAMEI, NAMEB, FINDS, FINDE, and TPIIP

• IRM 2.3.62, IDRS Terminal Responses - Command Code ESTAB

• IRM 2.3.66, IDRS Terminal Responses, Command Codes PLINF and PLINQ

• IRM 2.3.73, IDRS Terminal Responses - Command Codes TRDBV, TRERS ,TRPRT, and R8453.

• IRM 2.4.9, IDRS Terminal Responses - Command Codes ENREQ, INCHG, IRCHG, BNCHG and BRCHG

• IRM 2.4.10, IDRS Terminal Responses - Command Codes EOREQ and EOCHG.

• IRM 2.4.29, IDRS Terminal Response - Command Codes TELEA, TELEC, TELED and TELER for Telephone Processing

• IRM 3.10.72, Campus Mail and Work Control - Receiving, Extracting, and Sorting

• IRM 3.11.12, Returns and Document Analysis - Exempt Organization Returns

• IRM 3.11.16, Returns and Documents Analysis - Corporate Income Tax Returns

• IRM 3.11.212, Returns and Documents Analysis - Applications for Extension of Time to File

• IRM 3.12.32, Error Resolution - General Unpostable

• IRM 3.12.37, Error Resolution - IMF General Instructions

• IRM 3.12.166, Error Resolution - EPMF Unpostables

• IRM 3.12.278, Error Resolution - Exempt Organization Unpostable Resolution

• IRM 3.12.279, Error Resolution - BMF/CAWR/PMF Unpostable Resolution

• IRM 3.13.2, Campus Document Services - BMF Account Numbers

• IRM 3.13.12, Campus Document Services - Exempt Organization Account Numbers

• IRM 3.13.36, Campus Document Services - EPMF Account Numbers

• IRM 3.30.123, Work Planning and Control, Processing Timeliness Cycles, Criteria and Critical Dates

• IRM 13.1.7, Taxpayer Advocate Case Procedures - Taxpayer Advocate Service (TAS) Case Criteria

• IRM 20.2.1, Interest Introduction, Standards and Guidelines

• IRM 21.7.13, Business Tax Returns and Non-Master File Accounts - Assigning Employer Identification Numbers (EINs)

(1) Tax returns, tax forms, tax publications and other reference material will be identified in each subsection with their complete number and name and then referred to just using the appropriate number.

(2) The following tax returns, tax forms, tax publications and revenue procedures are referenced in this IRM:

• Form CT-1, Employer's Annual Railroad Retirement Tax Return

• Form SS-4, Application for Employer Identification Number

• Form SS-4, (PR), Application for Employer Identification I.D. Number (Puerto Rican Version)

• Form SS-16, Certificate of Election of Coverage Under FICA

• Form 11-C, Occupational Tax and Registration Return for Wagering

• Form 56, Notice Concerning Fiduciary Relationship

• Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return

• Form 706-A, United States Additional Estate Tax Return

• Form 706-NA, United States Estate (and Generation-Skipping Transfer) Tax Return Estate of nonresident not a citizen of the United States

• Form 706-QDT, U.S. Estate Tax Return for Qualified Domestic Trusts

• Form 709, United States Gift (and Generation - Skipping Transfer) Tax Return

• Form 720, Quarterly Federal Excise Tax Return

• Form 730, Monthly Tax Return for Wagers

• Form 911, Request for Taxpayer Advocate Service Assistance (And Application for Taxpayer Assistance Order)

• Form 926, Return by a U.S. Transferor of Property to a Foreign Corporation

• Form 940, Employer's Annual Federal Unemployment (FUTA) Tax Return

• Form 940-EZ, Employer's Annual Federal Unemployment (FUTA) Tax Return

• Form 940-PR, Employer's Annual Federal Employment (FUTA) Tax Return (Puerto Rican Version)

• Form 941, Employer's QUARTERLY Federal Tax Return

• Form 941-SS, Employer's QUARTERLY Federal Tax Return

• Form 941-PR, Employer's Quarterly Federal Tax Return (Puerto Rican Version)

• Form 944, Employer's ANNUAL Federal Tax Return

• Form 943, Employer's Annual Tax Return for Agricultural Employees

• Form 945, Annual Return of Withheld Federal Income Tax

• Form 990, Return of Organization Exempt From Income Tax

• Form 990-BL, Information and Initial Excise Tax Return for Black Lung Benefit Trusts and Certain Related Person

• Form 990-EZ, Short Form Return of Organization Exempt From Income Tax

• Form 990-N, Electronic Notice (e-postcard)

• Form 990-PF, Return of Private Foundation or Section 4947(a)(1) Nonexempt Charitable Trust Treated as a Private Foundation

• Form 990-T, Exempt Organization Business Income Tax Return

• Form 1040, U.S. Individual Income Tax Return

• Form 1040-NR, U.S. Nonresident Alien Income Tax Return

• Form 1041, U.S. Income Tax Return for Estates and Trusts

• Form 1040 SCH H, Household Employment Taxes

• Form 1041-A,U.S. Information Return Trust Accumulation of Charitable Amounts

• Form 1041-ES, Estimated Income Tax for Estates and Trusts

• Form 1042, Annual Withholding Tax Return for U.S. Source Income of Foreign Persons

• Form 1042-S, Foreign Person's U.S. Source Income Subject to Withholding

• Form 1065, U.S. Return of Partnership Income

• Form 1066, U.S. Real Estate Mortgage Investment Conduit (REMIC) Income Tax Return

• Form 1120, U.S. Corporation Income Tax Return

• Form 1120-C, U.S. Income Tax Return for Cooperative Associations

• Form 1120-F, U.S. Income Tax Return of a Foreign Corporation

• Form 1120-FSC, U.S. Income Tax Return of a Foreign Sales Corporation

• Form 1120-H, U.S. Income Tax Return for Homeowners Associations

• Form 1120-IC-DISC, Interest Charge Domestic International Sales Corporation Return

• Form 1120-L, U.S. Life Insurance Company Income Tax Return

• Form 1120-ND, Return for Nuclear Decommissioning Funds and Certain Related Persons

• Form 1120-PC, U.S. Property and Casualty Insurance Company Income Tax Return

• Form 1120-POL, U.S. Income Tax Return for Certain Political Organizations

• Form 1120-RIC, U.S. Income Tax Return For Regulated Investment Companies

• Form 1120-REIT, U.S. Income Tax Return for Real Estate Investment Trusts

• Form 1120-S, U.S. Income Tax Return for an S-Corporation

• Form 1120-SF, U.S. Income Tax Return for Settlement Funds (Under Section 468B)

• Form 1128, Application to Adopt, Change, or Retain a Tax Year

• Form 2032, Contract Coverage Under Title II of the Social Security Act

• Form 2290, Heavy Highway Vehicle Use Tax Return

• Form 2363, Master File Entity Change

• Form 2363-A, Request for IDRS Input for BMF-EO Entity Change

• Form 2424, Account Adjustment Voucher

• Form 2553, Election by a Small Business Corporation

• Form 2678, Employer/Payer Appointment of Agent

• Form 2848, Power of Attorney and Declaration of Representative

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

• Form 3465, Adjustment Request

• Form 3499, Informational Transmittal

• Form 4720, Return of Certain Excise Taxes Under Chapters 41 and 42 of the Internal Revenue Code

• Form 4768, Application for Extension of Time To File a Return and/or Pay U.S. Estate (and Generation-Skipping Transfer) Taxes

• Form 4876, Election to be Treated as a DISC

• Form 4876-A, Election to be Treated as an Interest Charge DISC

• Form 5227, Split-Interest Trust Information Return

• Form 5260, Quick Note

• Form 5308, Request for Change in Plan/Trust Year

• Form 5329, Additional Taxes on Qualified Plans (Including IRAs) and Other Tax-Favored Accounts

• Form 5578, Annual Certificate of Racial Nondiscrimination for a Private School Exempt from Federal Income Tax

• Form 5768, Election/Revocation of Election by an Eligible Section 501(c)(3) Organization to Make Expenditures to Influence Legislation

• Form 7004, Application for Automatic Extension of Time to File Certain Business Income Tax, Information, and Other Returns

• Form 8274, Application for Automatic Extension of Time to File Certain Business Income Tax, Information, and Other Returns

• Form 8279, Election to be Treated as a FSC or as a Small FSC

• Form 8612, Return of Excise Tax on Undistributed Income of Real Estate Investment Trusts

• Form 8613, Return of Excise Tax on Undistributed Income of Regulated Investment Companies

• Form 8655, Reporting Agent Authorization

• Form 8716, Election To Have a Tax Year Other Than a Required Tax Year

• Form 8752, Required Payment or Refund Under Section 7519

• Form 8804, Annual Return for Partnership Withholding Tax (Section 1446)

• Form 8822, Change of Address (For Individual, Gift, Estate, or Generation-Skipping Transfer Tax Returns)

• Form 8822-B, Change of Address or Responsible Party - Business

• Form 8832, Entity Classification Election

• Form W-7, Application for IRS Individual Taxpayer Identification Number

• Form W-7 (SP), Application for IRS Individual Taxpayer Identification Number (Spanish Version)

• Form W-7 A, Application for IRS Adoptions Taxpayer Identification Number

• Pub 538, Accounting Periods and Methods

• Pub 539, Employment Taxes

• Revenue Procedure 1985-58

• Revenue Procedure 2002-39

• Revenue Procedure 2004-35

• Revenue Procedure 2006-45 (previously 2002-37)

• Revenue Procedure 2006-46 (previously 2002-38)

• Revenue Procedure 2009-41

• Revenue Procedure 2010-16

• Revenue Procedure 2010-32

• Revenue Procedure 2013-30

• Revenue Procedure 2018-17
  

• Document 6209 IRS Processing Codes and Information

• Document 7475 State and Address Abbreviations, Major City Codes (MCCs), ZIP Codes and Countries

• Functional Specifications Package (FSP) 1.20.00.00 Generalized Unpostable Framework (GUF)

(1) The IRS has numerous designated computer-generated letters sent to taxpayers to inform, to request information or to request documents. All IRS letters will be identified by the number and the title in each subsection and then referred to by the number followed by the letter C and then the word Letter, e.g., Letter 319C.

(2) Office of Management and Budget (OMB) Codes are not required when issuing a letter to the taxpayer per 5 CFR 1320.3(h)(6).

(3) The following list are the C Letters that can be used in this IRM:

• Letter 86C, Referring Taxpayer Inquiry/Forms to Another Office

• Letter 104C, Address Change Acknowledgement

• Letter 147C, EIN Previously Assigned

• Letter 252C, Name of Business Shown on Return Needs Verification

• Letter 312C, S-Corporation Election (F2553), Revocation, or Termination Incomplete for Processing and/or Not Timely Filed

• Letter 319C, Return Covers Other Than 12-Month Accounting Period

• Letter 326C, S-Corporation Election (F2553) Rejected/Revoked

• Letter 385C, S-Corporation Election (F2553), QSSS, QSST, ESBT Accepted

• Letter 673C, Duplicate Returns Filed; Adjustment or Refund Explained

• Letter 685C, SSN Invalid

• Letter 696C, Return Requested (Final) for Discontinued Business

• Letter 707C, Refund / Return Delayed in Processing; Refund Forthcoming

• Letter 858C, Unemployment Return (FUTA) Filing Requirements: Form 940

• Letter 1224C, Exempt Organizations; Answers to Questions

• Letter 1355C, Partnership Return Incomplete for Processing: Form 1065

• Letter 1921C, Employment Code C (Form 8274): Form 941, Form 944and Form 945

• Letter 1997C, Backup Withholding; Employer Appointment of Agent

• Letter 2233C, Application to Adopt, Change or Retain A Tax Year Denied

• Letter 2284C, Delinquent Return (Form 940, Form 941, Form 943, Form 944)

• Letter 2314C, Accounting Period Change (F1128) Incomplete for Processing

• Letter 2359C, Accounting Period Change (F8716) Unacceptable (Form 1065/ Form 1120)

• Letter 2475C, Address Change Request from an Undeliverable

• Letter 2645C, Interim Letter

• Letter 3008C, Corporate Return Filing Requirements: Form 1120, Form 1120A/S

• Letter 3064C, IDRS Special Letter

• Letter 3574C, The Results of Your Entity Classification Election: Form 8832

• Letter 3575C, Your Entity Classification Election Form 8832 Was Denied

• Letter 3576C, Your Entity Classification Election Form 8832 Was Accepted

• Letter 3852C, Entity BMF Unpostable 329 Limited Liability Company (LLC) Returns

• Letter 3853C, Unpostable 310 - Form 1120/ Form 1120-S Filing Requirement Mismatch

• Letter 3916C, Unpostable 307 (FYM Issues) - Form 8716/ Form 1128 Request - Form 8752 Filed in Error

(1) Before disclosing any tax information, the tax examiner must be sure they are speaking with the taxpayer or authorized representative. See the Taxpayer Authentication guidelines in IRM 21.1.3.2.3, Required Taxpayer Authentication, as well as IRM 21.1.3.2.4 Additional Taxpayer Authentication. Also, before leaving any messages on a taxpayer’s answering machine, review IRM 10.5.1, Privacy and Information Protection, Privacy Policy. Additional guidance for leaving voicemail messages can be found at IRM 10.5.1.6.7.2, Answering Machine or Voicemail.

(2) Guidelines for sending faxes can be found in the following IRM’s. Guidance listed below must be reviewed prior to faxing confidential information to the taxpayer.

• IRM 10.8.1, Information Technology (IT) Security, Policy and Guidance.

• IRM 10.5.1.6.9.4, Faxing.

• IRM 4.10.1.3.6, Use of Fax Machine or Enterprise e-Fax (EEFAX) for Outgoing Taxpayer Communications.

(3) The following caveat is to be used on all cover sheets. "This communication is intended for the sole use of the individual to whom it is addressed and may contain information that is privileged, confidential, and exempt from disclosure under applicable law. If the reader of this communication is not the intended recipient or the employee or agent for delivering the communication to the intended recipient, you are hereby notified that any dissemination, distribution, or copying of this communication may be strictly prohibited. If you have received this communication in error, please notify the sender immediately by telephone (collect, if necessary), and return the communication to the address above via the United States Postal Service. Thank you."

(1) IRS employees may never send sensitive but unclassified data by electronic mail to taxpayers, their representatives and/or other non-IRS/Treasury parties, even if the other party uses encryption software. Such action would pose a risk to the taxpayer’s privacy since it would be possible for a third party to intercept taxpayer information and create an unauthorized disclosure, see IRM 1.10.3.2.1(7), Secure Messaging and Encryption.

(1) If the taxpayer files an incomplete form, it is only necessary to suspend the processing of the return once for the missing information. For example, taxpayer files a Form 1120-S, but no Form 2553 is on file. Send the taxpayer a 3853C Letter informing the taxpayer to send in a completed Form 2553 within the required time frame. Taxpayer responds with Form 2553, but Form 2553 is missing information (refer to IRM 3.13.2.23.1 for completeness). Call and request the taxpayer fax the missing information within 2 days. If taxpayer does not reply within 2 days, or no contact can be made with the taxpayer via phone, take the appropriate action to close the unpostable. If Form 2553 is a response to UPC 310 RC 4 and is an incomplete/duplicate Form 2553 refer to IRM 3.13.2.23.7 for returning the Form 2553.

(2) If the taxpayer has marked the "Third Party Designee" or "Paid Preparer Check Box" and has provided a phone number, telephone contact may be made with the third party.

(3) If contact is needed with a taxpayer that is at an international phone number, please refer to IRM 3.42.7.14.7 before completing international telephone calls.

(4) When sending a correspondex letter and Receipt and Control was not required to date stamp the return, determine the received date using the following priorities:

1. SCAMPS date sprayed on the envelope;

2. Latest postmark on the envelope or latest date from a designated private delivery service mark (Note: When the envelope or label is not attached, use the postmark date stamped or handwritten on the return to determine the received date);

3. Latest date by the taxpayer’s signature;

   Exception: Use the signature date for prior year returns only when it is within the current year; also, do not use the signature date to determine the received date for replies to correspondence

4. Julian date minus 10 days (Julian date is in the DLN; see Document 6209);

5. Today's (current) date minus 10 days.

(5) Annotate cases "Per call" when missing information is received from telephone contact.

(6) When returning incomplete documents to the taxpayer, all internal documents must be removed from the enclosure and the IRS received dates will be X'd out in blue ink.

(1) The National Taxpayer Advocate and the Chief, Tax Payer Services (TS) have reached an agreement outlining the procedures and responsibilities for processing Taxpayer Advocate Service (TAS) casework when either the statutory or delegated authority to complete a case transaction rests with the TS Division. The agreement is known as a Service Level Agreement (SLA).

(2) In preparation for a case being referred to a TS Division function, the TAS employee is responsible for:

1. Preparing Form 12412, Operations Assistance Request.

2. Securing all necessary supporting documentation.

3. Identifying cases that require expedite processing. No case will automatically receive expedite processing; requests for expedite processing will be made on a case-by-case basis.

4. Forwarding Form 12412 and documentation to the TS Business Unit Liaison.

(3) TS Division is responsible for:

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

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

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

4. Providing TAS with the name and telephone number of the TS group manager or employee assigned the case.

5. Determining a reasonable time frame for case resolution.

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

(4) For further information, refer to the TS SLA online at Taxpayer Advocate Service - Home (sharepoint.com) selecting Service Level Agreements (SLA) under Tools and Services.

(1) Section 2003(a) of the Internal Revenue Service Restructuring and Reform Act of 1998 (RRA 98) amended IRC 6061, to direct the Secretary of the Treasury to “develop procedures for the acceptance of signatures in digital or other electronic form”. Digital or other electronic signatures are now acceptable per IRM 10.10.1. For a list of acceptable forms, please see Exhibit 10.10.1-2. Faxed signatures are acceptable when a taxpayer is responding to an IRS inquiry. Faxed signatures include electronic images of scanned original signatures transmitted by Enterprise Electronic Facsimile (EEFax) or e-mail.

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

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

(1) IRS officials and managers must communicate security standards contained in IRM 10.2, Physical Security Program, to employees and establish methods to enforce them. Employees are responsible for taking required precautions in providing security for the documents, information, and property which they handle in performing official duties.

(2) Employees may access tax accounts using the IDRS only when their official duties require them to do so. Unauthorized accesses to tax accounts, such as accesses made to satisfy personal curiosity or to engage in fraud are prohibited. Employees who make unauthorized accesses to tax accounts are subject to disciplinary action and criminal penalties. All employees are responsible for adhering to the provisions in IRC 1203(b)(4) of the Restructuring and Reform Act (RRA) of 1988, which prohibits IRS employees from falsifying or destroying documents. In addition, employees must adhere to the requirements of IRC 6103, Confidentiality and Disclosure of Returns and Return Information.

(1) This subsection contains information on statute dates. If the Assessment Statute Expiration Date (ASED) is imminent (two months prior to the ASED) notify the manager or work leader and initiate the necessary action to resolve the case.

(2) The ASED is identified by General Unpostable Framework (GUF) and must be monitored to assure that statute does not expire.

(3) The ASED is generally three years after the Return Due Date (RDD) or IRS received date, whichever is later. See Document 6209, IRS Processing Codes and Information, for RDD information.

(4) Example of statute for a timely filed return:

(5) Example of statute for a late filed return:

(6) If the ASED is imminent (two months prior to the ASED) notify the manager or work leader and initiate the necessary action to resolve the case.

(7) If Unpostables cannot secure or locate a return or document within 10 workdays of the ASED, refer to IRM 3.13.222.35 for procedures.

(1) Whenever the Employer Identification Number (EIN) on the unpostable tax return or document by the taxpayer is changed, use the appropriate letter to notify the taxpayer of the correct EIN.

(1) This subsection contains information on the Internal Revenue Service Restructuring and Reform Act of 1998, Pub. L. 105-206, Section 3705(a), and provides identification requirements for all IRS employees working tax related matters.

1. IRS employees are required to give their name and unique identification number any time they contact taxpayers or their personal representatives by telephone, correspondence or in person.

2. A telephone number to contact the IRS is required on all taxpayer correspondence.

3. This will provide taxpayers or their personal representatives with enough information to identify the IRS employee who had previously assisted them with tax related matters.

(2) All IRS employees who communicate by telephone, correspondence, or in person with taxpayers or their personal representatives on tax related matters, are required to provide (at a minimum) the following information:

1. With all telephone contacts tax examiner must provide their title (i.e., Mr., Mrs., Ms., Miss) last name and their unique identification number.

2. For all in-person contacts tax examiner must provide their title, last name and their unique identification number.

3. Never leave any taxpayer information on the taxpayer’s answering machine or voice mail per IRM 11.3.2, Disclosure of Official Information - Disclosure to Persons with a Material Interest.

4. When a taxpayer insists on speaking with the employee who had previously handled the inquiry or complains about the level of customer service previously provided, every attempt should be made to resolve the taxpayer’s inquiry. If the issue cannot be resolved, then the employee should refer the inquiry to their manager.

5. Secretaries, receptionists or people who answer the telephone in functional offices need to identify themselves and provide their Badge Identification Number only if they are answering telephones which are routinely used to provide tax return or tax account information, or if they provide a substantive response to the taxpayer’s inquiry.

6. It is not necessary to repeat the unique identification number on a subsequent contact when the nature of an employee's work involves multiple contacts with the same taxpayer and the employee has given the taxpayer their unique identification number on the first contact.

(3) All Correspondence to taxpayers or their personal representatives must contain a contact telephone number where the taxpayer’s question(s) can be answered, tax examiner title, last name and provide their IDRS Number, Letter System or unique identification number.

1. The IDRS number and numbers for some other Letter Systems are automatically generated. If it is not generated or a handwritten note is prepared, tax examiners unique identification number must be used.

2. Employees who have toll free telephone numbers may also provide their location for identification purposes.

3. Fax to taxpayers on tax-related matters are considered manually generated correspondence and must include the required information.

4. Correspondence, whether sent directly to the taxpayer or to the taxpayer’s personal representative, must contain the required information.

5. CORRESPONDEX letters will provide a specific employee name and telephone number only if the employee initiating the correspondence is in the best position to respond to questions that the taxpayer may have about the CORRESPONDEX Letter or if the taxpayer has been directed to provide additional case related information.

6. Otherwise, if the taxpayer does not need to contact a specific employee then the correspondence needs only an IRS telephone number and standard signature.

(4) Letters generated by Submission Processing must be approved by Headquarters when they are intended for dissemination to 10 or more persons. These letters are numbered in accordance with IRM 1.17.1, Overview of Publishing Authorities, Roles and Responsibilities, and Organizational Structure. Do NOT make changes to text format, date of issue (or revision), or physical characteristics of these letters and paragraphs without prior Headquarters approval. In addition, Quick Notes that are computer-generated must be forwarded to Headquarters for approval. Submit requests for new letters by submitting a PSR through Electronic Publishing, following procedures outlined in IRM 1.17.1, Overview of Publishing Authorities, Roles and Responsibilities, and Organizational Structure and IRM 1.17.3, Tax Products Program. For minor changes or additions to current letters, follow procedures in IRM 3.0.275, Business Results Measures for Submission Processing Functions.

(1) Any unpostable return can potentially require a manual refund. Unpostable employees are required to be thoroughly familiar with how to identify when a manual refund is necessary and the actions required to initiate a manual refund.

(2) A manual refund (TC 840) is a refund that is issued in cases which the IRS has determined expedited processing is required to provide the refund to the taxpayer as quickly as possible. A manual refund is not generated through normal Master File processing (TC 846) but is processed manually by the Submission Processing Accounting Function, who schedules and certifies manual refunds.

(3) Manual refunds are requested on either Form 3753, Manual Refund Posting Voucher, or Form 5792, Request for IDRS Generated Refund.

(4) Initiators of manual refunds or other management designated employee are responsible for monitoring accounts using CC TXMOD until the TC 840/846 has posted. If necessary, refer to IRM 21.4.4 and IRM 3.17.79 for additional monitoring requirements.

(5) In addition, research SERP (irs.gov) for the most current and accurate manual refund Alerts and IRM Procedural Updates (IPUs) on the Servicewide Electronic Research Program (SERP).

(6) Entity Unpostables is only responsible for identifying the need for a manual refund and prioritizing the processing of the case. Please follow chart below for the related return:

(1) There are cases when an input transaction or the unpostable must be cycled to be input at various times.

(2) Transactions post to the Master File (MF) in numeric order except for the following:

1. TC 011 always posts last to the entity portion of the MF; it will re-sequence to the next cycle.

2. On the Business Master File (BMF), a TC 150 always posts last to allow the tax module to settle properly.

   Example: TCs 610, 670, 590 and 150 all attempt to post in the same cycle; they will post in this order: TC 590, TC 610, TC 670 and TC 150. The TC 610 and 150 unpost as UPC 399-2.

(3) The input transaction must be posted before the corrected unpostable can post:

1. The unpostable must be delayed for at least one cycle or more, if necessary.

2. The release cycle is input on line 9 with CC UPRES.

(4) The Master File will sometimes re-sequence transactions. When this happens, it will be identified on IDRS as "RS" if the account is on IDRS.

(5) EXCEPTION: If a TC 610 or the TC 670 and TC 150 attempts to post in the same cycle, the system will not let the TC 150 repeat. Always cycle appropriately to ensure the TC 610 or TC 670 and TC 150 do not unpost as UPC 399-2. The TC 610 or the TC 670 must post before the TC 150.

(6) Unpostable corrections may require a cycle delay, if the normal MF input cycle is before the corrected unpostable cut off cycle.

(7) The processing time frame for all BMF unpostables directly assigned to Entity Unpostable Team (EUT) or reassigned to EUT, is twenty calendar days from receipt of all necessary documents, (which equals 14 workdays.) See IRM 3.30.123, Work Planning and Control, Processing Timeliness: Cycles, Criteria and Critical Dates, for additional information on processing time frames.

(8) A URC 8 closure should never be cycle delayed.

(1) To reduce the amount of interest paid by the IRS due to untimely processing of tax returns, the Primary TC PJ Amount or Interest Reduction Overpayment Amount will indicate that a refund is due to the taxpayer.

(2) An "Unpostable Case with Interest Free Period Due to Expire" is an alert to resolve the unpostable as quickly as possible.

(3) The unpostable cases (TC 150) with a refund (the amount is shown with a minus sign) due should be monitored and corrected expeditiously to avoid paying interest with the refund.

(4) The interest free period is 45 days after the Return Due Date (RDD) or Received Date or Return Processable Date, whichever is later.

(5) See IRM 3.12.32, General Unpostables, for additional procedures.

(1) Research entities via Command Codes (CC) NAMEB, ENMOD, and INOLE, and use CCs, NAMES, NAMEE, NAMEB, IMFOL, BMFOL and NAMEI, to determine differences in the taxpayer’s name, address, filing requirements, Fiscal Year Month (FYM) or employment codes.

(2) Before applying a return to a different EIN, always compare the return’s deposit history with the deposits posted on Master File for the tax period of the return. For specific locations on applicable returns see chart below:

(3) If research indicates differences between the MF and the unpostable condition then:

1. Update the master file via CCs BNCHG or INCHG. Refer to IRM 3.13.2.2 for guidance on the correct entity structure.

2. If necessary, assign a new EIN to the account. Refer to IRM 21.7.13, Assigning Employer Identification Numbers (EIN).

(4) If research DOES NOT provide sufficient information to correct the Unpostable Condition (UPC), then contact the taxpayer.

(1) Always research completely to determine if the TIN agrees with the MF.

(2) If the unpostable TIN is incorrect and another TIN is found via research, edit the TIN on the document and close the unpostable with an Unpostable Resolution Code (URC) 6 and send 147C letter is necessary. Refer to IRM 3.13.222.39(13) for correct audit trail.

1. If the TIN is incorrect and a good TIN cannot be located, assign a new TIN. Use CC ESIGN for the BMF, refer to IRM 21.7.13, the Reason Applied field is not needed. Edit the new TIN on the document and close the unpostable with an Unpostable Resolution Code (URC) 6.

   Note: Historically, a new EIN would be assigned to a corporation that has re-chartered. However, the underlying guidance or authority has determined if the business ownership remains the same, the original EIN should be retained and used by the taxpayer.

2. If two or more TINs are located for the same entity a consolidation should be input. Using the appropriate form, route to Entity with the following information: A copy of the first page of the unpostable return, and taxpayer’s correspondence, and or supporting documentation (if any). Annotate routing actions in the lower left-hand corner. Do not suspend the unpostable. Every attempt must be made to post the return to Master File before sending the consolidation to Entity Control.

   Note: Refer to IRM 3.13.2.14 for additional information on Multiple EINs.

(1) A Nullification Code must be entered to identify the receiving area for the closed unpostables when closing an unpostable with URC 1, 2, or 8.

(2) Nullification listings are printed for each of these areas based on the nullification code used.

(3) Any cases input by Code and Edit area should be given Nullify-Area Code 02 – Accounts Management.

(4) The nullify area codes are entered on Line 2 in positions 6 and 7 on the CC UPRES screen.

(5) If a nullification code is not entered, an error message will be displayed.

(6) A Nullification code is not needed for URC D.

(7) The nullification code is associated with the originators IDRS employee number. Use the chart in IRM 3.12.32.14.2 to identify the correct Nullification codes. In some Unpostable cases the originator is not present (blank) or is not valid (systemic). If a specific Unpostable code does not have closing instructions for a specific transaction when the originator is present or valid, contact the BMF Entity Unpostable analyst for assistance.

(1) Generally, a taxpayer must request permission from the IRS prior to changing an established tax year accounting period. The filing of their initial return (TC 150) , will establish the Fiscal Year Month (FYM). Transaction codes 053/054/055 are an indication of an FYM change. An approved tax year end is identified by the following:

1. A TC 053 identifies an FYM change from Form 1128, under Revenue Procedure 2006-45 (other than Revenue Procedure 2006-46).

2. A TC 054 identifies an FYM change from Form 1128 or Form 2553, approved under Revenue Procedure 2006-46. A TC 054 also identifies a IRC 444 election by a Personal Service Corporation.

3. A TC 055 identifies a FYM change from Form 8716.

4. A TC 057 identifies a termination of a IRC 444 election.

5. A TC 058 identifies a DENIED Form 8716, and a TC 059 identifies a DENIED Form 1128.

6. There is an indication of a change in entity.

7. See IRM 3.13.2.21 and IRM 3.13.2.22 for instructions for processing Form 1128 and Form 8716.

(2) Partnerships, S-Corporations and Personal Service Corporations must use a required tax year (the same tax year as their owners), usually December 31st, unless a business purpose is established for a fiscal year. This was effective for tax years beginning after December 31, 1986.

(3) Revenue Procedure 2006-46 provides procedures for establishing a tax year other than a required year. Refer to Form 1128, Application To Adopt, Change, Or Retain A Tax Year and to Form 2553, Election by a Small Business Corporation, processing in IRM 3.13.2.21 and IRM 3.13.2.23

(4) IRC 444, Election Of Taxable Year Other Than Required Taxable Year, as added by section 10206 of the Omnibus Budget Reconciliation Act of 1987, allows certain Partnerships, S-Corporations and Personal Service Corporations to elect the use of a taxable year that is not a required year. Refer to IRM 3.13.2.22 for processing the Form 8716, Election To Have a Tax Year Other Than a Required Tax Year.

(5) Certain Exempt Organizations (EO) can change their accounting period under Revenue Procedure 85–58 by filing their tax return, including extensions, on a timely basis. Refer to IRM 3.13.12, Exempt Organization Account Numbers, for instructions on how to process the Form 1128, Application to Adopt, Change, or Retain a Tax Year.

(1) To resolve an unpostable tax return that is assigned to Entity with a remittance, the money must be applied to a tax module.

(2) If the unposted tax return also has an unposted remittance and it cannot be determined where the payment should be applied;

• close the unposted remittance with a URC 8,

• prepare the payment to be refunded,

• route to Rejects requesting that they refund the payment,

• close the unpostable tax return with the specific unpostable resolution code needed for the case.

(3) If there is a credit/payment applied to the unpostable tax return module and the return is being removed from processing (DLN cancelled), determine if a manual refund is necessary. Prepare Form 3244, Payment Posting Voucher or RTR (Remittance Transaction Research System) print, and request Rejects, using the appropriate routing form, to refund the payment.

(4) If there is an incorrectly applied credit/payment on an unpostable tax return that you are working and you can determine where the payment should be applied, prepare Form 3465 and route to Accounts Management, Adjustments Department for the transfer of any credits to the new tax period. Local procedures on credit transfers can be followed, contact your lead.

(5) Any corrections to the source document should be circled in purple and all written corrections must also be in purple. Close the unpostable tax return appropriately.

(6) If the unpostable is an Exempt Organization (EO) tax return, see IRM 3.12.278, EO Unpostable Resolution, for specific instructions.

(1) These Command Codes are used to research entity and tax data on the Master File.

(2) While working assigned cases, SP employees may come across some accounts that are blocked on IDRS. These accounts can be identified by an IDRS security violation message: "Unauthorized Access to This Account." Forward the case to your manager. Managers will notify the local Planning & Analysis Staff who will scan the case and send encrypted information to the ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ mailbox to request access to the account. Managers will retain the original case in a file awaiting access (can take up to five business days). Once notified access has been granted, the case can be processed following applicable procedures.

(1) Category criteria for Individual Master File (IMF), Business Master File (BMF), and Employee Plans Master File (EPMF).
GUF Category Code B1 includes the following:

(2) In addition to the above conditions, the Unpostable Unit will reassign other cases to Entity Control if the case requires Entity Control resolution. The following are examples:

1. The unpostable record requires an EIN assignment, generally this involves unpostable Codes 301 or 303.

2. Various Exempt Organization (EO), and BMF Entity related unpostable conditions for UPCs 310, 329, 351 and 371.

3. The procedures in IRM 3.12.279, BMF/CAWR/PMF Unpostable Resolution, and IRM 3.12.166, EPMF Unpostables, specify which cases should be reassigned from the BMF Entity Unpostable Unit to the Entity Control Team (ECT). This reassignment will take place only after BMF Entity Unpostable Unit has attempted to resolve the case. Tax Examiners will attach all research documents to the unpostable form or tax return when reassigning the case.

   Note: All Document Code 35, 37 and 39 (magnetic tape) unpostables will be reassigned to the EUT. These will normally be UPCs 303, 308 and 324.

(3) Generally, the Criminal Investigation and Examination Perfection Sections will not reassign cases to the EUT, instead they will coordinate with the EUT to resolve cases.

(4) All records in Category B1 will be directly assigned to the EUT. Any case assigned to the EUT will be closed by them. Any TC 960, 961 or 962 case with an MFT 00 and a Tax Period 0000 will be closed by the Reporting Agent File (RAF) Section.

(5) A Form 4251 (C) Return Charge-Out, is generated for almost every unpostable record in this category. The EUT is the recipient (receiver) for these B1 Form 4251s. The documents for all B1 file requests will be routed directly to the EUT. No automatic transcripts (MCC/MRS) are generated.

(6) All B1 unpostable cases are INDIVIDUAL closures. These cases should be assigned to a specific employee prior to attempting to close the case. Unpostable Resolution Codes (URC) A, B, D, 0 (zero), 1, 2, 5, 6 and 8 are used to resolve Category B1 cases. Refer to IRM 3.12.32, General Unpostables , for additional information.

(7) Criminal Investigation category cases A1 and A2, Statute C1, C2 and C3 category cases and Bankruptcy (Z1) type unpostable records will not be assigned to the EUT. However, if a case with a Category Code other than A1, A2, C1, C2, C3 or Z1 is assigned or reassigned to the EUT and later it is determined to have criminal investigation, statute or bankruptcy issues, then the case will be processed in accordance with the category A1, A2, C1, C2, C9 and Z1 guidelines and procedures in IRM 3.12.32, General Unpostables.

(8) Cases involving credit interest returns may be assigned or reassigned to the EUT. The EUT will process these credit interest issues per IRM 3.13.2, BMF Account Numbers , and IRM 3.12.32, General Unpostables, unpostable Interest Reduction Initiative Report guidelines.

(9) This category will age ten cycles from original unpostable cycle.

(1) Category Code B3 is for Exempt Organization (EO) Unpostables. Refer to IRM 3.12.278, Exempt Organization Unpostable Resolution, for instructions.

(2) This category will age ten cycles from original unpostable cycle and should be closed by the service center receiving the unpostable.

(1) Unpostable Code (UPC) 801,802, 803, 806, 808, 810, 811, 812, 813, 815, 823, 824, 832, 836, 838, 839, 840, 842, 843, 844, 845, 847, 849, 851, 852, 853, 854, 869, 877 and Master File Tax (MFT) 74.

(2) UPC 324 Reason Code (RC) 3 and MFT 75.

(3) UPC 327 RC 1 MFT 76.

(4) UPC 498 RC 2 MFT 74.

(5) These unpostable codes are processed in the Ogden Campus.

(6) This category will age ten cycles from original unpostable cycle.

(1) Category B5 Criteria (BMF) - Consists of UPC 332, UPC 310 or UPC 329.

(2) MFTs will be 02, 05, and 06.

(3) This category will age fifteen cycles from original unpostable cycle.

(1) IDRS Command Codes (CC) and definers are used to establish or update the Status Code of an unpostable case. The status code identifies what action has been taken on an unpostable case. The status date indicates when this action was taken.

(2) The following is a list of status codes and their definitions.

• A assigned, but not corrected,

• F Document requested from Files/suspended,

• C corrected, but not removed from the Service Center Unpostable Master File (SCUPMF),

• H Quality Assurance hold,

• M MRS transcript request/suspended,

• L Correspondence sent/suspended,

• S Suspense, this is input when the return has to be held (i.e., corresponding with the taxpayer),

• Q accepted by Quality Assurance.

(3) The status code and status date will appear on line two of the CC UPDIS screen display following the literal ST.

(1) Each unpostable record will be assigned a three-digit unpostable code and a one-digit Reason Code (RC).

1. The RC is used to help identify the specific condition for the unpostable record.

2. Reason Codes were assigned to conditions at random and are not indicative of the priority of the unpostable record.

(2) SCCF-URC 1 - Each unpostable record that is corrected with URC "1" is placed in manual status on the Submission Processing Campus Control Files (SCCF).

1. If the document is to be re-input, enter Nullify Area Code 01, prepare Form 3893 and route to Batching (or local procedure) for input. No further action is needed on the SCCF.

2. If the document is not to be re-input, enter the appropriate Nullify Area Code and route document and Nullified Distribution List to the function that is responsible for the next action. See IRM 3.12.32.14.2 for further information.

(3) The valid range of Unpostable Resolution Codes are "A", "B", "D", "0" (zero), "1", "2", "3", "5", "6", and "8". These resolution codes ( except for URC 3) may be used by the Unpostable, Entity Control, Examination, Statute, and Criminal Investigation functions when using CC UPRES to resolve cases assigned to their areas.

1. URC "A" updates the unpostable name control to the Master File name control.

2. URC "B" is used only for IMF and BMF. This code is used only as a special closure of open cases.

3. URC "D" deletes (voids) transactions that do not need follow-up actions and is valid for all Master Files. A URC “D” removes the record from the SCUPMF. URC “D” does not open an IDRS control base.

4. URC "0" allows the unpostable record to attempt to re-post with no change at Master File. URC “0” is valid for all Master Files.

5. URC "1" allows transactions to be re-input. It is valid for all Master Files except CAWR and PMF. A URC “1” removes the record from the Service Center Unpostable Master File ( SCUPMF). These records are not corrected (at this time) for an attempted reposting at Master File as would URC “0”, “5” and “6”. .

6. URC "2" deletes (voids) transactions and is VALID for all Master Files. A URC “2” removes the record from the SCUPMF and opens an IDRS control base for most cases.

7. URC "3" is used for Auto -Closures of with—Remittance (ISRP/RPS) documents due to a Tax Period change.

8. URC "5" is used only for IMF when changing an error delay code and/or name control or name line at Master file and Trans Code is 140, 430, or 150.

9. URC "6" is used for changing any combination of name control, name line, adding or deleting a spouse and/or spouse's taxpayer identification number (TIN), TIN type, transaction codes, transaction date, plan number, error delay code, computer condition code, tax period ending for IMF, and certain nontaxable BMF and EPMF returns. URC 6 is valid for all Master Files.

Master File	MFT Code	Doc Code	Form
BMF	02	16	1120-S
BMF	06	65	1065
BMF	15	23	8752
BMF	36	81	1041-A
BMF	37	83	5227
BMF	44	91	990-PF
BMF	50	71	4720
BMF	67	90	990
BMF	67	09	990EZ
BMF	77	29	706GST
BMF	78	59	706GSD

Note: PMF will only accept TIN, TIN type, and name control changes.


10. URC"6" will also be used to change MFT for IMF and BMF, plan period for EPMF, and will allow a correction to the spouse’s SSN when the FSC is “2”, “3”, “6”, or ”7”.

11. URC"6" can also be used for multiple corrections.

12. URC "8" (reject) nullifies (removes) the record from the SCUMPF. Valid for all Master Files except CAWR and PMF.

(4) Never use URC “8” on:

1. FTD - Doc Code 97, (use URC 1 if required); or

2. Doc Code 47 or 54 (use URC 2); or

(5) In addition to individual closures using CC UPRES, CC UPBAT, is used for multiple cases using the same Resolution Code.

(6) The system will not accept previously input remarks on a URC “D”, “1”, “2” or “8” closure. Enter a “/” (slash) at the end of the remarks field if previous remarks are still valid with unpostable closure.

(7) The IDRS employee number is not needed in the remarks section. The employee number will automatically print on the Nullified Listing from the URC “D” or “2” closure.

(1) The table below provides some commonly used tax classes on the Business Master file. For additional information see Document 6209, IRS Processing Codes and Information.

(1) Prepare a Form 3893 if it is determined that a document or a group of documents are nullified, DLN cancelled and must be re-input.

(2) This Form is prepared for each input block (or portion of a block) with the sum totals of the associated detail document(s). Attach it to the first document of the input block. Do not detach the Form when processing or filing. Figure 3.13.222-1

• File Type Box: Check the appropriate box,

• Box 1Alpha/Numeric Block Control Number: Leave blank if routing to Batching in the Receipt and Control Branch,

• Box 2 Document Locator Number (DLN): Enter the eleven-digit block DLN. The complete DLN may be entered, but only eleven digits will be transcribed into the Block Header,

• Box 3Batch Number: The batch number will be entered by Batching Unit in the Receipt and Control Branch,

• Box 4Document Count: Enter the number of documents attached to the Form 3893. All the Documents must have the same DLN except for position 12 and 13,

• Box 5Credit Amount: Enter the amount of the credit transaction. If more than one document with a credit transaction, then enter the sum of all of the credit amounts. Amounts may be from remittance returns, payment transactions, transfer documents, or adjustments,

• Box 6Debit Amount: Enter the total debit amount(s). This box must be blank if a credit amount is present. Debit amounts may be present only with Document Codes 24, 45, 48, 51, 54, 58, and 87,

• Box 7Transaction Code: Enter only when a Block Header Transaction Code is required. If a Block Header Transaction Code 840 is required, then input a Document Code 45. If a Block Header Transaction Code 370 is required then input a Document Code 51 or 52,

• Box 8 Transaction Date: Enter the received date for tax returns reviewed after the tax period due date,

• Box 9 Header MFT Code: Enter only when required,

• Box 10 Secondary Amount: enter the secondary transaction amount when required. If you fail to enter the secondary money amount on the Form 3893, but the amount is edited on the document then there will be a Block Out of Balance (BOB) condition,

• Box 11 Re-input Source Code: check the R box if the transaction has already posted to the Master File (MF) and complete Box 19 Reprocessable Document, mark the N box if the input document was previously an unpostable and complete Box 18 Re-input Document, it must be open on the Service Center Control File (SCCF). Mark box 4 if the document has not posted or unposted in the MF and complete Box 18 Re-input Document.

• Box 12 DLN Year Digit: enter the 14th digit of the Source Document DLN. If the year digit is not shown on the Source Document, then determine the correct year digit from the color of the DLN or from other information on the source Document.

(1) All EFTPS Operations are located at the Ogden Submission Processing Campus.

(2) EFTPS processed the first payment in November 1996. EFTPS will retain information on-line for current year plus 4 previous years.

(3) EFTPS payments have no paper records. The EFTPS DLN is a unique 15-digit number assigned by the financial agent and is researched via IDRS Command Code EFTPS. See IRM 2.3.70, Command Code EFTPS for additional information.

(4) IDRS Command Code EFTPS is not restricted. Command Code EFTPS may be used with any of the following three definers:

(5) To determine whether the payment was made by Direct Debit or Credit Card, research the 4th (fourth) digit of the EFT-TRACE-NUM field to identify the payment method.

• E-file Direct Debit = 0

• Credit Card Payment = 6

(6) Electronic Funds Transfer (EFT) Number - The financial agent assigns a 15 - digit EFT number. The EFT number is a unique identifier and is used to research payments on the master file and IDRS. Do not use the Document Locator Number (DLN) to perform research on EFTPS transactions. The EFT number is configured as shown in the following table:

(1) The BMF FRCs are as follows.

1. Code 0 - All, tax return not required to be filed.

2. Code 00 - Form 941, Form 944, Form 944-PR, Form 944-SS, Form 1120, and Form 990 tax return not required to be mailed or filed.

3. Code 01 - Form 941, Form 944, Form 944-PR, Form 944-SS, Form 1120, Form 990, and Form 990-EZ tax return required to be filed.

4. Code 1 - Form 940, Form 943, Form 940-EZ, Form 945, Form 11C, Form 730, Form 1042, Form 1120-PC, Form 1066, tax return required to be mailed if filed.

5. Code 02 - Form 941, Form 944, Form 944-PR, and Form 944-SS tax return required to be filed.

6. Code 2 - Form 940-EZ tax return required to be filed.

(2) The BMF will update the magnetic tape code to 0 and will generate a CP 199 when a TC 150 posts with a Condition Code F or M, or a TC 591, TC 593 or TC 595 posts and if a TC 01X posts to change the entity.

(1) The Document Locator Number (DLN) is a unique number assigned to every return processed by the Automatic Data Processing (ADP) Systems.

(2) The DLN is used to control, identify and locate a document.

(3) Always make certain that the DLN on the document matches before making any corrections to Master File (MF) or the document.

Refer to SERP - 6209 - IRM Supplements (irs.gov), IRS Processing Codes and Information Booklet, for the return DLN, tax class and document code.

(1) FORM 4251 GENERATION CRITERIA

1. The GUF automatically generates Form 4251 for unpostable cases requiring the return or document (or information from these records) to resolve the unpostable condition.

2. Form 4251 are also generated for certain auto-closed unpostable records that may require follow-up action by the originator.

3. An unpostable return charge-out is generated for Categories A1, A2, B1, B5, C1, C2, C3, C5, D1, D3, E1, E2, E3, F1, F3, G1, L1, L5, L7, P1, R1, V1, W3, Y2, Z1 and certain category W5 and Y1 cases.

4. An unpostable return charge-out is not generated for Categories L3, V3, V5, V7, V8, W1, and W5 plus matching Y1 cases.

(2) Form 4251 — Files Routing Chart—refer to IRM 3.12.32.19.1 for detailed routing information.

(3) Form 4251 and/or ESTAB request should NOT be sent to Files on documents that have been electronically filed. Electronically filed returns can be identified by campus specific File Location Codes (FLCs). Additional information for identifying these returns can be found at the SERP 6209 website. All electronically filed returns can be accessed through the Employee Portal Login.

(4) Primary Requests - The Form 4251 must be given to the tax examiner at the time of the Individual case assignment. Before initiating any additional request for a BMF or PMF document the tax examiner assigned to the unpostable case will attempt to correct the unpostable by the following methods:

• Use the data on the Form 4251, and

• Research using IDRS Command Codes, or

• Any available listings.

(5) Repeat or TE initiated Unpostable - Input CC UPRES with URC 2 to void to the originator all unpostable cases with the exception of revenue receipts, bankruptcy and TC 150s that cannot be resolved by the primary request.

1. Input ″Doc not available″ in remarks.

2. Route the Nullified Distribution Listing to the appropriate area.

   Note: No other action is required.

   Note: If unpostables has repeated to the same area/TE as the prior unpostable, process per unpostable procedures.

(6) Statute Period Returns—If Unpostables cannot secure or locate a return or document within 10 workdays of the ASED, the following procedures should be followed:

1. Return—Prepare a "dummy" return and forward to Statutes. Statutes can assist in preparing the "dummy" return.

2. Document—Forward a copy of TXMOD, UPRES, and Form 4251 to Statutes for a quick/prompt assessment.

(7) Criminal Investigation case—If the document cannot be located and is a Criminal Investigation (CI) case (Category A1 or A2), CI will determine the necessary case resolution after all attempts have failed to locate the unpostable record. Close Category A1 records to Rejects if so determined by CI.

(8) Doc Code 47— If the unpostable record is a Doc. Code 47, research Microfilm Replacement Systems (MRS) and IDRS.

(9) If a bankruptcy (GUF category Z1) case and document is unavailable, process the case per the Category Z1 procedures in IRM 3.12.279.45.1.

(10) Secondary Requests - A second request will be made by the tax examiner if the document initially cannot be located in Files or the Federal Records Center (FRC). Take the following action:

1. Input CC UPCAS, with definer D and definer-modifier 2 to reflect action taken to obtain the missing document

   Note: The unpostable suspense status (status code and status date) and "remarks" will be updated.

2. Initiate the second request within 15 workdays (21 calendar days) of the INDIVIDUAL Case assignment.

3. If the unpostable record is a return (TC 150) check for posted re-filed DLN (Doc Code 47 or 54). If a re-filed DLN is identified, request this DLN using CC ESTAB. The return should be attached.

(11) When a BMF or PMF return or document still cannot be located in Files after a second request, or the document is charged-out and it is required for correct case closure, initiate a third request.

(12) Third Request for a Document - A third request is made to obtain the document after 15 workdays (21 calendar days) from the second request. Input CC UPCAS with definer D and definer-modifier 3 to reflect action taken to obtain the missing document.

(13) Input CC ESTABDO to request the document before making a fourth request. A ESTABDO request is made to obtain the document after 15 workdays (21 calendar days) from the third request.

(14) Fourth Request - Input a fourth (4th) request using CC UPCAS definer code D and definer modifier code 4. Route the document to Rejects.

1. Input ″FOURTH REQUEST-SPECIAL SEARCH″ and the employee number in the remarks area.

2. Prepare and attach a Form 8749, Unpostable Routing Slip or local use form to original Form 4251 notating ″document cannot be located″.

   Note: Attach the prepared Form 8749 to the second or third request if the first request is not available.

3. Attach all background research information (copy of UPCAS, unpostable listing highlighting case or local use research form, old charge-outs) and correction data, if possible, to the Form 4251, and Unpostable Routing Slip.

4. GUF will automatically close the case to Rejects using URC 8.

(15) Do not prepare a "dummy" return or document when routing to Rejects except for document codes 17,18 19, 24, 34, 45, 48, 58, 70 or 76.

(16) Status Check - Check if the module/account status has changed since the unpostable record was issued. All IDRS research information must be obtained prior to closing and routing a case to the preparer since this data will eventually be "dropped".

(17) Procedures for Missing Documents - The following procedures must be followed after all normal attempts to resolve the unpostable conditions have been tried.

(1) Use the following table below to resolve address changes:

(2) Entity Unpostables will not change the address of a taxpayer bearing a Large Corporation Indicator (LCI). See IDRS Command Code Job Aids for CCs ENMOD , BMFOL’I’ and SUMRY for assistance in identifying an LCI. The change of address request (or Form 8822, Form 8822-B) should be routed to the Large Corporation/Technical Team in the respective sites with the message "LCI Address Change" entered on the routing slip. See IRM 21.7.1.4.11.4 Campus Contacts for Large Corp Cases.

(3) If a taxpayer requests an address change during telephone contact regarding an Entity Unpostables issue, you may accept oral authority for the address change. Follow the Oral Statement Documentation requirements in IRM 21.1.3.20.1(3). Rev. Proc. 2010–16 allows address changes over the phone effective June 1, 2010. It is no longer required that the taxpayer have "an open issue" to request an address change over the telephone. The caller must be authorized to request the address change. Put the name, title, and phone number of the caller in the Remarks section of the transaction.

(4) When making an address change from a return, the following information will be entered in the Remarks field of CC BNCHG:

• NSD,

• MFT of return,

• Tax Period of Return,

• Name and title of signature,

• Telephone number (if available)

(5) All transactions containing an address change will have the requester's name, title, and phone number if present in the Remarks field of the transaction.

(6) See Exhibit 3.13.222-5 and Exhibit 3.13.222-6 for examples of TC 014, also see IRM 3.13.222.112 for undeliverable mail and notices.

(7) When processing foreign address changes refer to Exhibit 3.13.222-11 to determine the Foreign County Code.

(8) When there is an indication of an In Care Of name change refer to IRM 3.13.2.3.8.

(9) Beginning October 2017, Form 8822 and Form 8822-B that have been processed will no longer be destroyed as classified waste in the control team. These documents have a defined retention period and will be stored in the Files Operation in an Alpha File. Each form must be name controlled and contain an audit trail in the lower left margin of the document. Entity Clerical Team will forward all processed forms to Files Operation on a Form 3210 indicating Alpha File. If no action was taken on Form 8822/ Form 8822-B, the document can be destroyed as classified waste in the clerical team.

(1) A Programming Requirement Package (PRP) is the instructions that define how tax returns and tax forms can be processed to the Master File (MF). PRPs are written by computer programmers and program analysts. PRPs are written in a technical format that often requires an extensive knowledge of Submission Processing Procedures, a general knowledge of the various IRS Transaction and other computer type codes and a thorough knowledge of how to research IRS Manuals and other IRS reference material to decipher the meaning of the PRP.

(2) The specific PRPs involving BMF unpostables are found in the Document 6209, IRS Processing Codes and Information Booklet, under the Unpostable Code section.

(3) Each Unpostable Code (UPC) Reason Code (RC) subsection in this IRM will begin with the appropriate PRP followed by a literal translation.

(1) ABLM is not an acronym. The letters are a carryover from when the tax Form 1120 was generic. The letters are defined as follows:

• A - Consolidated tax return

• B - Personal Service Corporation

• L - Life Insurance tax return

• M - Mutual Fund tax return

(2) There are still references to the ABLM blocks throughout IRMs, Document 6209 IRS Processing Codes and Information Booklet, Programming Requirements Package (PRP), etc. These references concern specific blocks within the Document Locator Number (DLN) to identify what type of Form 1120 tax return was being filed.

(1) The expeditious processing of refund returns is critical if the 45-day interest free period is about to expire. Also, returns reflecting a refund of $1,000,000 or more should be processed expeditiously. See IRM 3.11.16.4, Refund Returns (45-Day Jeopardy and High Dollar Refunds).

(2) When the unpostable is assigned to Entity Control, the computer will generate a Form 4251 (C) Return Charge-Out out to Files Section for the document.

(3) When correcting unpostables, the first thing that must be determined is that the unpostable tax return or document and the entity on the MF are the same. Various IDRS and research Command Codes (CC) should be used to make this determination. Every document received in BMF Entity Unpostables will be researched to ensure there is only one EIN (or SSN on some documents) assigned to the taxpayer. CCs NAMES/ NAMEE and/or NAMEI/NAMEB will be used to verify the EIN/SSN is correct and no other TIN exists for the taxpayer. Verification of the current filing requirements and fiscal month requirements should be researched before changing the EIN.

(4) Even when the name control and the TIN match an account on the MF, it does not mean the names are the same.

(5) When determination has been made that the MF primary name line is incorrect, make the necessary changes to update the master file. If research is necessary the taxpayer’s correct primary name may be found on the appropriate Secretary of State website. If the correct name cannot be determined, contact the taxpayer. When processing returns, it is not necessary to address minor name differences (for example, INC versus INCORPORATED or Co. versus Company) unless the name control is affected. If the account indicates a Limited Liability Company (LLC), such as an LLC indicator on the account or a sort name line indicating “sole member or member”. Follow the primary name line with "LLC". Additional information on changes to the primary name line can be found at IRM 3.13.2.10.24.

(6) Entity Unpostable TEs are not responsible for deleting duplicate entity information (primary name and sort name and/or mailing address and location address) or abbreviation errors unless they are going into the account to make another entity change.
Update or remove the sort name line (doing business as, dba name) if there is a direct request from the taxpayer, or the name is different, and the return being processed is signed by someone with authorization. Do not add the sort name line (dba), if it is exactly the same as the primary name line. Even if the sort name line is similar to the primary name line, input the sort name (dba). The sort name line is used for research purposes and should be input accurately. For specific entity sort name line information refer to IRM 3.13.2.3.7. Update or remove the in care of (%) name line to perfect the entity. For specific in care of name line information refer to IRM 3.13.2.3.8.

(7) When entering a non-source/source document transaction into IDRS, the Remarks field of CC BNCHG/INCHG must contain a description of the type of case being processed, beginning with NSD/SD. For example, if changing a name from a return, enter NSD, the MFT and TXPD in the Remarks field.

(8) Completely review and resolve ALL unpostable conditions which could result in a repeat unpostable condition, including LLCs, FYM, Subchapter S status, Corporations with an LLC indicator, etc. Update the account as needed to perfect the entity including FYM, FR, name and address, LLC indicator, etc. All repeat unpostables will generate back to the originator. If the repeat unpostable is not an entity problem and cannot be resolved by the Entity function, then reassign the unpostable to the Unpostable Unit.

(9) When corresponding with the taxpayer, use the appropriate letter that accurately addresses the taxpayer’s situation and always use the selective paragraphs that are available in the correspondex letters before using open paragraphs. For example, do not use a Letter 385C to inform the taxpayer of their valid EIN or denied/rejected election. Do not use a Letter 147C on any election issues. Refer to IRM 3.13.222.5.

(10) When replies to any correspondence are received TEs must perform complete review of the information provided by the taxpayer and process according to the specific unpostables procedures. If the taxpayer sends the reply to the incorrect campus, the campus receiving the reply will work the response. Before processing an unpostable case for "No reply" research for the current case on IDRS.

(11) If research determines there is another unpostable with the same MFT and TXPD located at another Campus (or within the same campus) and a suspense letter has been sent, do not correspond again. Research via command code UPTIN (UPTIN@02, UPTIN@09, or UPTIN@04, etc.). Suspend for 45 days from the date the letter was sent and purge the document according to the specific unpostable procedures. If the case has been closed within the past 30 days as a No Reply, purge the case accordingly. If the case was closed over 30 days and is not a repeat continue processing to the specific unpostables procedures.

(12) When correcting the unpostable and a change to name control, TIN, Tax Period, is required, always show the change on the unpostable document, not on the Form 4251. Any corrections to the source document should be circled in purple and all written corrections must also be in purple. Close the unpostable tax return appropriately. When a payment is moved to another EIN, MFT, Tax Period, etc. notate the change in RTR (Remittance Transaction Research System).

(13) The actions taken to work and resolve the unpostable document should be annotated in the lower left corner of the document. It is not necessary to edit the Unpostable Resolution Code (URC) on the case. If additional actions are needed by another area for processing, route documentation to the appropriate area and annotate routing actions in the lower left-hand corner of the Unpostable document. If a form is attached to the unpostable document that needs to be routed to another area for processing, detach the form and route to the appropriate area and annotate actions in lower left-hand corner of the unpostable document. Form 1128, Form 8716, Form 8832 and Form 2553 should be processed in Entity Unpostables. Annotate that the form(s) were detached on the unpostable return and edit the forms for processing. Edit tax period on prior year returns. An audit trail containing the TEs IDRS number, date of TCs input, annotate if a letter is sent and if a specific PSC is used. The audit trail should be placed in the lower left margin of the document. The audit trail must be legible. The following applicable format will be used:

• EIN 'F' MMDDYYYY (used when TE finds the taxpayer’s valid EIN)

• EIN 'E' MMDDYYYY (used when TE must assign a new EIN to the taxpayer)

(14) When working MeF Returns and the DLN has to be cancelled use the Form 4251, Return Charge Out or an UPRES screen print as the documentation to send to Rejects. Use the appropriate routing slip and request Rejects to "Cancel DLN ". Do not print the return.

(15) When the unpostable has to be converted/re-numbered, print the applicable pages of the return to send to Rejects. Enter the IRS received date shown on the Employee User Portal (EUP) on returns filed via MeF. Edit the received date in the middle of the first page of the Form. DO NOT edit the received date over taxpayer data.

(16) If the unpostable return requires a change to the TIN, MFT and/or TXPD and it is determined the payment is posted incorrectly, then have the payment moved to the corrected TIN, MFT and/or TXPD. Refer to IRM 3.13.222.22.

(17) It is the unit managers responsibility to monitor the assignment of work to tax examiners. Unit Mangers will ensure work is distributed at their discretion in order to maintain appropriate age listing guidelines. The cases assigned to each tax examiner will be printed on a Daily/Weekly Employee-Assign-Aged List.

(18) Repeat unpostable cases should be reviewed weekly to ensure proper handling. Repeat volumes should not exceed 10 percent of the current week’s receipts. Additional information regarding acceptable repeat volumes can be found at IRM 3.30.123.2.4.4.

(19) If the unpostable is an Exempt Organization (EO) tax return, see IRM 3.12.278, Exempt Organization Unpostable Resolution, for specific instructions. All unpostable cases received by a specific campus will be worked by that campus.

(20) BMF Entity Unpostables are required to work all Category Codes B1 and B5 even if there is an EO section on the account. Whenever it is determined that the EO section is not correct, contact the EO Entity section before any changes are made to the EO account, complete the corrections to update the MF to prevent future unpostables. If the EO status code is 20, 22, 41, 70, 71, 97, or 99 the EO status is invalid and the case should be resolved in BMF Entity Unpostables.

(21) All related unpostables that have unposted at the same time, should be worked at the same time within the service center received.

(22) The Correspondence Received Date (CRD) is entered in the lower left corner of the return in YYYYMMDD format, and may also be notated on the Unpostable Routing Slip. When a late reply is received and the return is being sent to Batching for processing, the Correspondence Received Date (CRD) will be edited on the return.

(23) When re-establishing a DLN after it has been deleted and the original return was an e-Filed (Mef) return, the return must be renumbered because the e-Filed (Mef) DLN cannot be re-established. Print the entire return from EUP before sending for reprocessing.

(24) If a Form 8821 or Form 2848 is received with an Entity form (and other returns are indicated), photocopy the document, write COPY in the center of the document and forward the original Form 8821/ Form 2848 to the CAF Team. The photocopy of Form 8821/ Form 2848 should remain attached to the Entity form (annotate copy POA to CAF). Also, the POA should receive a copy of any correspondence that is part of the case resolution.

(25) The Detroit Computing Center is assigned an ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ for the sole purpose of providing the “Payer” EIN on Form 1099-INT statements issued by IRS to taxpayers who have received interest on their federal refunds. The Detroit Computing Center is not a “true” taxpayer account entity. Do not input a TC 012 or post payments or returns to this account. Refer to SERP Alert 12A0279.

(26) BMF Entity Unpostables will receive information on open UPC 310/329 cases from BMF Entity to ensure these are processed correctly. Refer to IRM 3.13.2.7.1.13.

(27) If a state law corporation chartered in one state changes the state in which it is chartered (e.g. through a state law continuance statute or state law merger directly into a newly formed state law corporation) the resulting state law corporation should use the EIN of the terminating corporation.

(28) Returns, forms, correspondence and direction from the taxpayer regarding their account will be accepted prima facie. Prima facie means upon first examination the matter appears to be self-evident. You should generally accept a taxpayer’s return, forms, correspondence, and directions regarding their account, unless there is a reason that these documents and direction should be rejected.

(29) Limited Liability Companies (LLC) must be examined for a valid Entity Classification Election (Form 8832) to be approved to file as a corporation. A Form 1065 should not be filed when an approved Form 8832 (TC 076) is on file with PSC A/FOE 1. An entity considered LLC may unpost as a UPC 307, UPC 310, UPC 329, or UPC 331 and must be examined to determine the appropriate filing requirement to accurately resolve the unpostable. If the LLC indicator is incorrect or not on the account update the LLC indicator per IRM 3.13.2.26. Update the account as needed to perfect the type of entity.

(30) A personal service corporation is a type of corporation where substantially all of the activities involve the performance of services in the field of health, law, engineering, architecture, accounting, actuarial science, performing arts, or consulting, and substantially all of the stock of which is owned by employees who had performed the services, any estate of any individual who had performed the services listed above, or any person who acquired stock of the corporation as a result of the death of an employee or retiree described above, if the acquisition occurred within 2 years of death. Refer to Pub 542, Corporations, for additional information.

(31) When approving or denying an election such as a Form 2553 or Form 8832 use the paragraph selection code Z to suppress the notice if the other selected paragraphs are not appropriate and a letter needs to be sent.

(32) When ESIGNing an EIN to Form 1120, Form 1120-S, and Form 1041, and the return is claiming a refund ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡, enter CCC ‘E’ on the return. This will place the return in a Return Integrity and Verification Operation (RIVO) filter for fraud monitoring. If an EIN must be assigned to a Form 1120-S, NIC D will be input. Send Letter 147C to the taxpayer to notify them of the EIN assignment, asking them to complete and return a Form SS-4. Also, tell the taxpayer that they will be contacted separately regarding their Form 2553.

3.13.222.39.3 (07-03-2019)

Process for Re-input of TC 460 from a Form 7004

(1) If an extension needs to be posted for a different filing requirement, this needs to be re-input as a TC 460. Each request must contain the following:

• EIN

• MFT>MFT of the Tax Return

• TX-PRD>Tax year the extension is for

• NM-CTRL>Name Control

• TC>460

• EXTENSION-DT>: This is the extended due date for the particular tax return

• TRANS-DT>: This is the received date of the extension (stamped on Form 7004 or for EUP in the left side of table of contents)

• DLN-CD>: Must be present with MFT 02, 05, or 06 [leave blank for all others] see chart below

• REMARKS: Line 14; remarks must be present.

(2) Use the following to re-input an extension.

• Access CC TXMODA, overlay with CC REQ77, and Xmit. This will bring up the CC FRM77 screen

• Input the TC>460

• EXTENSION-DT>MMDDYYYY (IRM 3.11.212.8.2.1)

• TRANS-DT>(Received date of the Form 7004)

• DLN-CD>(Must be present with MFT 02, 05, or 06) [leave blank for all others] see chart below

• REMARKS: Line 14; remarks must be present: RE-INPUT EXTENSION

MFT	DLN CODE
02 (Approved)	20
05 and 06 (Approved)	45
02 (Denied)	25
05 and 06 (Denied)	47

Note: Use the IRS received date of the extension to determine if the extension is timely filed for the return required to be filed on Master File. If the Form 7004 is not timely filed for the taxpayer’s correct filing requirement on Master File, when remaking the extension, deny the extension. When you are denying the extension via FRM77 the Extension Date must be the next day after the return is due. An example would be, for MFT 02 on TXPD 201312, the extension date on FRM77 should be entered as 03/16/2014.

(3) The Form 7004 is being revised in 2016. For extension dates refer to IRM 3.11.212.8.2.1 .

(1) A return is not considered filed for overpayment interest computation purposes until the return is received in processable form.

(2) A return is in processable form if it:

• Is filed on a permitted form;

• Contains the taxpayer’s name, address, and identifying number;

• Has the required signature(s); and

• Contains sufficient information (whether on the return or on required attachments) to permit the mathematical verification of the tax liability shown on the return.

(3) If the requested information is received after the return due date, the return is processed with a" Return Processable Date (RPD)" reflecting the date the information was received. This date is also known as the " Correspondence Received Date (CRD)." The CRD is used to calculate interest the IRS owes on refunds.

(4) The Correspondence Received Date (CRD) is entered in the lower left-hand corner of the return in YYYYMMDD format, and may also be notated on the Unpostable Routing Slip. When a late reply is received, and the return is being sent to Batching for processing, the Correspondence Received Date (CRD) should be edited on the return.

(1) International returns are only processed at the Ogden Submission Processing Center.

(2) The following list of forms has been identified as potential BMF International Forms:

(3) A foreign address is any address that is not in:

1. One of the 50 states.

2. The District of Columbia.

3. Any of the American possessions. Refer to IRM 3.13.2.4.4.

(4) Beginning January 2007 FLC 60 and 78 will be the valid BMF International FLC for processing at Ogden.

1. OSPC FLC 60 (International returns)

2. OSPC FLC 78 (U.S. Possessions) must have a Zip Code.

(5) Kansas City will be responsible for processing the following International returns:

1. Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return, see IRM 3.11.106, Estate and Gift Tax Returns.

2. Form 706-A, United States Additional Tax Return, see IRM 3.11.106, Estate and Gift Tax Returns.

3. Form 709, United States Gift (and Generation - Skipping Transfer) Tax Return see IRM 3.11.106, Estate and Gift Tax Returns.

4. Form 8892, Application for Automatic Extension of Time To File Form 709 and/or Payment of Gift/Generation Skipping Transfer Tax, see IRM 3.11.212, Applications for Extension of Time to File for additional information.

(6) There were no Filing Location Codes available for the KCSPC site. A blocking range of 990-999 has been specified for the Form 706 and Form 709 series.

(7) The basic requirements and procedures for processing unpostables apply to the processing of International returns. Any specific procedures for correcting International unpostables can be found within each Unpostable Code and Reason Code in this IRM.

(8) International Guidelines If an unpostable Form 1065 or Form 1041 indicates a foreign address for the partnership, estate or trust, route the case to OSPC as an International return.

(1) The Programming Requirements Package (PRP) for UPC 301 RC 1 states:
An input (non-generated) transaction coded other than 000, 019, 141, 142, 650 (document code 97, 19 (EFTP)) for MFT 01/03/14/16, 990, 991, 992, 993, 996 or other than a TC 150 (with entity information addressing a Form 706/ Form 709 module) failed to match on TIN with an account on the BMF.

(2) These unpostables will be received as reassignments from the unpostable function when research has not located another EIN for the name shown on the unpostable document.

(3) The following chart lists different scenarios that will help resolve UPC 301 RC 1:

(4) EO Documents and Returns refer to IRM 3.12.278, Exempt Organization Unpostable Resolution.

(1) The Programming Requirements Package (PRP) for UPC 301 RC 2 states:
TC 150 for Form 706 (MFT 52) or Form 709 (MFT 51) attempts to establish an account and the input TC 150 does not contain significant Name Line/Mailing address data.

(2) UPC 301 RC 2 condition occurs when a Transaction for Form 706 series, (MFT 52, 77,78) or Form 709, (MFT 51) attempts to establish an account and the input TC 150 does not contain significant name line and mailing address data.

• V - Valid

• W - Invalid

• 2 - EIN

• 3 - Dummy TIN

• 4 - Taxpayer Representative Number

• 5 - Integrated Test

(3) The following chart list different scenarios that will help resolve UPC 301 RC 2:

(1) The Programming Requirements Package (PRP) for UPC 302 RC 1 states:
A TC 000 matched an existing entity on TIN.

(2) A TC 000 (Entity Create) attempting to post and it matches an EIN already on the BMF.

(3) Transaction Code 000, Document Code 80 will be assigned to the Entity Control function by the computer system.

(4) The unpostable record will be an IDRS transaction record (computer-generated Form 5147).

(5) Transaction Code 013 or 016, Document Code 80, for posting to the BMF for EO Accounts, DLN blocking series 990–999, will be sent to the appropriate area.

(6) Before this unpostable can be resolved use CC ENMOD/INOLE to compare the name and address on unpostable document with the name and address on the BMF and to determine if there is already an EO Section on the BMF.

(7) The following chart lists different scenarios that will help resolve UPC 302 RC 1:

(1) The Programming Requirements Package (PRP) for UPC 303 RC 1 states: A transaction with Document Code not equal to 80/81 (except TC 150 for MFT 36/50/53/63 other than TC 001, 019, 14X, 650 (Document Code 97/19 (EFTP)) for MFT 01/03/14/16, 796, 90X, 99X but coded greater than 000 failed to match on three out of four positions (using the Proximal Method) of the entity Name Control, Old Name Control, three out of the four left-most non-blank positions (Proximal) of the entity Sort Name Line, or the four left-most significant characters of the first three words of the entity Primary Name Line and then the Sort Name Line.

(2) These unpostables will be received as reassignments from the unpostable function, when a determination cannot be made as to whether the entity on the BMF and the entity on the unpostable document are for the same taxpayer or assigned in B1 Categories, if the unpostable transaction code is 960, 961 or 962 with a MFT 00 and Tax Period 000000 (RAF).

(3) Assign transaction codes 960, 961 and 962 with MFT 00 and Tax Period 000000 to the RAF function.

(4) Do the following for unpostable resolution for NON EO Documents and returns. Figure 3.13.222-5

(5) If the unpostable is correct, the transaction UNPOSTED because the name control has been changed several times since the input validation. All entity transactions (TC 0XX) will post before a TC 960, 961, or 962.

(6) If the name changes have taken place since validation, the RAF will also need to be changed.

(1) The Programming Requirements Package (PRP) for UPC 303 RC 2 states: TC 650 (document code 97, 19 (EFTP)) for MFT 01/03/14/16 failed to match on three out of four positions of the entity Name Control, Old Name Control, three out of the four left-most non-blank positions (Proximal) of the entity Sort Name Line, or the four left-most significant characters of the first three words of the entity Primary Name Line and then the Sort Name Line which has re-sequenced 4 cycles or the 23C date is equal to or later than the end of the tax period. The UPC 303 RC 2 are referred to BMF Entity Unpostables from BMF Unpostables if the contact information is for a Limited Liability Company, please refer to IRM 3.12.279.58.

(1) The Programming Requirements Package (PRP) for UPC 303 RC 3 states: A transaction (except TC 150 for MFT 36) with doc code 80/81/50/53/63 other than TC 001/019/14X/796/90X/99X but coded greater than 000 failed to match on all four positions of the Entity Name Control, Name Control, the four left-most non-blank positions of the entity Sort Name Line, or the four left-most significant characters of the first three words of the entity Primary Name Line and then the Sort Name Line. The UPC 303 RC 3 are referred to BMF Entity Unpostables from BMF Unpostables if name change is needed for a Limited Liability Company. Please refer to IRM 3.12.279.59 .

(1) The Programming Requirements Package (PRP) for UPC 307 RC 1 states:
The fiscal month of Form 1120, Form 1041, Form 1065, Form 1120-C, Form 990-T, Form 990, Form 990-PF, Form 1041-A, Form 5227, Form 3520, Form 3520-A or Form 8804 input transaction attempting to establish a tax module did not match the Fiscal Month of the account entity and it was not a transaction coded 150/290 (B.S. 4XX)/460 (MFT equals 05/06/08/37/44/67)/ISRP/Lockbox) 610/620/650/660 (MFT equals 02/05/33/34/44)/670 (MFT equals 08) nor TC 424 Push Code 036 with entity FYM equals 0 trying to establish the first Form 1120, Form 1041, Form 1065, Form 990, Form 990-C, Form 990-T, Form 990-PF, Form 5227, Form 1041-A, Form 3520, Form 3520-A or Form 8804 tax module, was not a TC 150 containing Condition Code F or Y or was not a TC 620 with Condition Code W. Reference 5.02(6) (d). Exception for RPS/ISRP/Lockbox TC 610: allow to re-sequence up to two cycles prior to unposting.
Reason Code 1 occurs when the input transactions Fiscal Year Month (FYM) of the Forms (in the table below), is attempting to establish a tax module but did not match the Fiscal Year Month of the Entity account.

(2) Below are additional accounting periods taxpayers can elect to file with outside of the typical calendar year:

• Fiscal Year - 12 consecutive months ending on the last day of any month except for December.

• 52-53 Week Tax Year - A tax year that ends on the same day of the week every year, for example, the last Saturday of a given month, or the Saturday nearest to the end of a given month. A 52-53 week tax year can end 6 days before or up to 3 days after the end of the month.

  Reminder: An approved Form 1128 is required in order for a tax payer to file utilizing a 52-53 week accounting period (TC 053).

(3) Unpostable for MFT 02 (Form 1120-C), 34 (Form 990-T), 37 (Form 5227), 44 (Form 990- PF) and 67 (Form 990) will be assigned directly to Entity Unpostable Team.

(4) This unpostable code will be reassigned from the unpostable function for MFTs other than 33, 34, 37, 44 or 67 for the following reasons:

1. There is an indication of a Form 1128 previously filed per TC 053.

2. There is an indication of a Form 8716 previously filed per TC 055.

3. There is an indication that the taxpayer’s FYM was approved under Revenue Procedure 2006-46, per TC 054.

4. A TC 053/054 on the entity indicates a change in accounting period requested on Form 1128.

   Note: TC 053 indicates we have accepted a change or adoption of account period. TC 054 indicates we have allowed the taxpayer to adopt, change or retain their fiscal year Partnerships, S-Corporations and Personal Service Corporations.

5. A TC 055 on the entity indicates a IRC 444 election was made on Form 8716 for Partnerships and S-Corporations.

6. A TC 054 on the entity indicates a IRC 444 election was made on Form 8716 for a Personal Service Corporation

7. Transaction codes 053, 054, and 055 are input on command code BRCHG.

8. There is an indication of a change in entity.

   Note: See IRM 3.13.2.21 and IRM 3.13.2.22 for additional instructions for Form 1128 and Form 8716. Also refer to IRM 3.13.222.21.

(5) When the case is transferred from the unpostable function it will be annotated with the reason and any research that has been performed will be attached.

(6) Section 806 of the Tax Reform Act of 1986 generally requires that all S-Corporations, partnerships, and personal service corporations conform their tax years to the tax years of their owners, (usually December 31).

(7) Revenue Procedure 2006-46 (except as provided in Section 4.02) applies to the following:

1. Required taxable year - Defined in Section 5.05; see also section 4.01(1) - Automatic Approval.

2. Natural Business Year - Defined in Section 5.07; see also section 4.01(2) (must submit a statement of gross receipts which meets the 25 percent test) - Automatic Approval.

3. Ownership Taxable Year - Defined in Section 5.08; see also section 4.01(3) - Automatic Approval.

4. Certain 52-53-week taxable year - Section 5.06; see also section 4.01(4) - Automatic Approval.

5. Certain taxpayers that are required to make concurrent changes are also eligible for automatic approval. See Section 4.01(5).  A taxpayer that is required to concurrently change its annual accounting period as a term and condition of the approval of a related taxpayer’s change of annual accounting period is eligible for automatic approval.

6. Grandfathered Fiscal Year Section 5.09 - A Partnership or S-Corporation that received permission to file a fiscal year tax return which did not result in a 3-month or less deferral of income to the shareholder or partners, on or after July 1, 1974. This permission is not automatic; it is by letter ruling only.

7. If (a), (b), (c) or (d) cannot be met, those taxpayers must have Chief Counsel Approval by requesting a Private Letter Ruling at the following address: Internal Revenue Service, Associate Chief Counsel (Income Tax and Accounting), Attention: CC:PA:LPD:DRU, P.O. Box 7604, Ben Franklin Station, Washington, DC 20224-7604, if a private delivery service is used, the address is: Internal Revenue Service, Associate Chief Counsel (Income Tax and Accounting), Attention: CC:PA:LPD:DRU Room 5336, 1111 Constitution Ave., N.W., Washington, DC 20224.

(8) IRC 444 allows certain partnerships, S-Corporations and personal service corporations to elect the use of a tax year that is not a required year. Refer to IRM 3.13.2.23.8 and IRM 3.13.2.22.

1. Partnerships and S-Corporations must make a required payment on Form 8752.

2. Personal service corporations failing to distribute certain amounts to employer-owners by December 31 of any taxable year may be required to defer certain deductions. They are not, however, required to make a payment on Form 8752.

3. A TC 055 on the BMF identifies an approved IRC 444 FYM election for Partnerships and S-Corporations.

(9) Common Trust Funds are not technically partnerships, but file their tax returns on Form 1065; however, IRC 584 as amended by the 1988 Act, requires that the taxable year of a Common Trust Fund be the calendar year for tax years beginning after December 31, 1987.

(10) Form 1041, U.S. Income Tax Return for Estates and Trusts, is filed by taxable Estates and Trusts. An estate is not required to adopt a calendar year. A taxable trust must adopt a calendar year. See Code644(a). However, a trust exempt from income taxation under 501(a) or 4947(a)(1) is not required to adopt a calendar year. See Code 644(b). These entities file a Form 990 or Form 990-PF. If these entities have unrelated business income, they are also required to file a Form 990-T.

(11) Form 5227, Split-interest Trust Information Return, is filed by a taxable trust described in 4947(a)(2). This type of entity is required to adopt a calendar year.

(12) Request a credit transfer of all claimed and unclaimed credits to the correct tax year using Form 3465 or local procedure.

(13) Form 1120-S and Form 1065 will be assigned to Entity Unpostable Team.

(14) The following chart list different scenarios that will help resolve UPC 307 RC 1:

(15) UPC 307 Resolution RC 1 Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts.

1. Form 3520 is processed at the Ogden Submission Processing Center with the following Master File Tax (MFT) Code and Document Locator Number (DLN) make up:
   MFT Code 68
   File Location Code 60
   Tax Class 3
   Doc Code 83

2. Form 3520 is filed annually by:
   Individuals using a SSN, will post on the BMF SSN (V or W tape)
   Individuals using an ITIN who do not qualify for a SSN per 6109
   Estates, Trusts, Partnerships, and Corporations using an EIN

3. Form 3520
   There is no separate extension request for Form 3520. An extension is automatically granted when the taxpayer files an extension on Form 4868. The due date for Form 3520 is the same as the due date for the filers return. If the filer is an individual, then the due date for Form 3520 is the same as Form 1040, generally April 15.

4. Use the table below to resolve the unpostable condition.

IF	AND	THEN
A. The unpostable tax period is correct.	a) It is the initial year filing. b) FY on return does not match filing history. c) No FYM on MF/Filing history matches.	Input TC 016 to change the FYM to agree with the unpostable document. Close with URC 0 and cycle accordingly.
B. The tax period on Master File is correct.	The tax return was not edited correctly.	Edit the Return and Close using URC 8 and request Rejects to correct the FYM.
C. Unable to determine correct tax period on Master File.	Filing history is inconsistent.	Post the return to the FYM the taxpayer indicates on the return. Input TC 016 and close with URC 0. Cycle appropriately.
D. The SSN, ITIN or IRSN on the unpostable return is incorrect.		Research for valid SSN, ITIN or IRSN. Close with URC 6 to the correct SSN (V or W). If no SSN is found assign ITIN and close with URC 6 and cycle as appropriate.

(16) UPC 307 Resolution RC 1 Form 3520-A, Annual Return of Foreign Trust With a U.S. Owner.

1. Form 3520-A is processed at OSPC with the following MFT Code and DLN make up:
   MFT Code 42
   File Location Code 60
   Tax Class 3
   Doc Code 82

2. Form 3520-A can be a fiscal or calendar year return. The type of entity is a Trust.

3. Form 3520-A is used to set forth a full and complete account of the Trust’s activities, operation and other relevant information. The U.S. owner furnishes this information annually to himself and, if any, to other U.S. owners and beneficiaries of the trust who receive a distribution in that year.

4. Extensions are filed on Form 7004. The due date for Form 3520-A is the 15th day of the 3rd month after the end of the trust tax year, generally March 15.

5. Use the table below to resolve the unpostable condition.

   Note: Form 3520-A must be processed with an EIN. If an EIN cannot be found, use CC ESIGN to assign an EIN on MFI "O ", with prefix "98". Use the NIC" A".

IF	AND	THEN
A. The unpostable tax period is correct.	It is the initial year filing. FY on return does not match filing history. No FYM on MF/Filing history matches.	Input TC 016 to change the FYM to agree with the unpostable document. Close using URC 0 and cycle accordingly.
B. The tax period (FYM) on Master File is correct.	The return was not edited with the correct tax period.	Close using URC 8 and request Rejects to correct the FYM.
C. Unable to determine correct tax period on Master File.	Filing history is inconsistent.	Post the return to the FYM the taxpayer indicates on the return. Input TC 016 and close with URC 0. Cycle appropriately.
D. The unpostable is a Form 7004.	The wrong FYM was edited and input.	Re-input TC 460 with correct FYM. Close unpostable with URC D.

(17) UPC 307 Resolution RC 1 Form 8804, Annual Return for Partnership Withholding Tax (IRC 1446):

(1) UPC 307 RC 3 occurs when a TC 660 (estimated tax payment) for MFT 05, Form 1041, U.S. Fiduciary Income Tax Return (for Estates and Trusts), is not establishing the first MFT 05 tax module, has a tax period month of other than 12, and does not match the Entity Fiscal Month.

(2) UPC 307 RC 3 Resolution - Release using URC 6 and post to the tax period on Master File.

(1) The Programming Requirements Package (PRP) for UPC 307 RC 4 states: TC 150 (document code 16) for MFT 02 attempting to establish the first MFT 02 tax module and the tax period month does not match the entity Fiscal Year Month.

(2) This unpostable is to verify the tax period for the first return filed when it is a Form 1120-S. The "S" election is made on Form 2553 and is accepted with an input of a TC 090.

(3) A IRC 444 election may be made by an electing (not an existing) S-Corporation on Form 8716 to have a tax year other than a required tax year (September, October or November). TC 055 identifies the election on the BMF.

(4) The following chart list different scenarios that will help resolve UPC 307 RC 4:

(1) The Programming Requirements Package (PRP) for UPC 307 RC 5 states:
TC 150 for MFT 06 or TC 150 (document 16) for MFT 02 with tax period month other than 12 matching on entity Fiscal Year Month and a TC 054/055 is not posted. Bypass on corrected UPC 307–5.

(2) A UPC 307 RC 5 is caused when a return (TC 150) attempts to post for a MFT 06 (Form 1065) or for a MFT 02 (Form 1120-S) with a FYM other than 12, and:

1. The FYM on the tax return matches the FYM on the BMF, and a TC 054 (Form 1128, Revenue Procedure 2006-46) or a TC 055 (Form 8716, IRC 444) is not present on the BMF.

(3) Research the unpostable EIN for TC 054/055 and do the following:

(4) Form 1065 partnerships, other than Common Trust Funds, generally have one or more "majority partners". To determine the majority partner, review the box J on the Schedules K-1 attached to the Form 1065. If the ending percentage shown on the Capital line exceeds or equals 50 percent and all other Schedule K-1's attached are less than 50 percent, the partner is considered the majority partner. However, if the Schedule K-1 specifies all partners within the partnership have an equal share (i.e., 3 partners each with 33¹⁄₃ percent), each partner is a majority partner. Alternatively, review Schedule B-1.

(5) A partner's share of capital is defined as the portion of capital the partner would receive if the partnership were liquidated at the end of the year by the distribution of undivided interests in the partnership assets and liabilities.

(6) If the Schedules K-1s are not attached or the line listing the partner's share of ending capital is incomplete, contact the partnership to determine if there is a partnership agreement, and whether the agreement states the percentages each partner is entitled, which should have appeared on the that line.

(1) The Programming Requirements Package (PRP) for UPC 307 RC 6 states: All TC 150 for MFT 02 (exclude doc code 16) (Form 1120-S) with tax period month other than 12 not matching on entity Fiscal Year Month, Form 1120 FRC is 19 for Personal Service Corporations, and TC 054/055 is posted. Bypass on corrected UPC 307 RC 6.

(2) TC 150 for MFT 02 with document code 09/10/11 and ABLM Code 400 (Form 1120 PSC only) with a tax period month other than 12 and the Form 1120 FRC does not equal 19. Bypass on corrected UPC 307 RC 6.

(3) TC 150 for MFT 02 with document code 09/10/11 and ABLM Code 400 with a tax period month other than 12 and the Form 1120 FRC is other than 19.

(4) See Exhibit 3.13.222-2 for an example of BRCHG Screen for TC 054.

(5) The following chart lists different scenarios that will help resolve UPC 307 RC 6:

(1) The Programming Requirements Package (PRP) for UPC 307 RC 7 states:
TC 150 with Condition Code Y or TC 620 with Condition Code W not matching on entity Fiscal Year Month with input FYM not equal to 12 attempting to post with TC 054/055 posted. Bypass on corrected UPC 307.7.

(2) The following chart lists scenarios that will help resolve UPC 307 RC 7.

(1) This section is reserved.

(1) Verify that the employment code (EC) is correct, see IRM 3.13.12.6.28 for assigning employment codes.

(2) To verify Employment Code "G" or "T" contact the Social Security or State Retirement Officer.

• Do not change Employment Code T to G.

• Employment Code T does not have a status of subsection.

(3) To verify Employment Code "W", use CC INOLE or ENMOD and determine from the EO section if the "W" is correct.

1. The "W" is correct if the EO subsection is 03 and the EO Status is 01-02, 19 or 25.

2. The "W" is correct if the EO subsection is 50, 60 or 70 and the EO Status is 01-02.

3. The "W" is correct if the EO Status is 7, 10 or 11.

4. The "W" is correct if the taxpayer is a church without an EO section. The term integrated auxiliary or qualified church-controlled organization of a church refers to a class of organizations that are related to a church or convention or association of churches, but are not such organizations themselves. In general, the IRS will treat an organization that meets the following three requirements as an integrated auxiliary of a church. The organization must: * be described both as an IRC 501(c)(3) charitable organization and as a public charity under IRC 509(a)(1), (2), or (3), * be affiliated with a church or convention or association of churches, and * receive financial support primarily from internal church sources as opposed to public or governmental sources. If this organization is a qualified church-controlled organization then they are not required to file a Form 940.

5. The "W" is not correct if the EO section is present and the EO subsection is not 03, 50, 60 or 70 and the EO Status is not 01-02, 19 or 25. If the EO Status is 40, then treat as if no EO section is present.

6. If no EO section is present or the EO Status is 40 on an account that is not a church, research EDS to determine if an application for exemption is pending. If the application is pending, make sure an EO section is present and the EO Status is 40.

7. If no EO section is present or the EO status is 40, contact the taxpayer via telephone and request a copy of the exemption letter to determine what type of organization if unable to determine type of entity.

   Note: Employment Code "W" should not be applied to Puerto Rico or Virgin Island employers.

(4) To verify Employment Code "C," a TC 070 must be posted. A REV EMP C transcript will generate if the taxpayer files a Form 941 and pays FICA taxes.

1. Follow procedures in IRM 3.13.12 to verify the EC C. Do not input a TC 071 to reverse the TC 070 until you have received the transcript and made a determination. If you are unsure, see your manager or lead before inputting the TC 071.

2. If a TC 071 has been input as a result of an Entity employee error, reverse the TC 071 with a TC 073, cycle the transaction, and re-input the TC 070. NEVER reverse the input of a TC 071 due to taxpayer error.

(5) To verify Employment Code "F", contact the taxpayer to determine if the "F" is correct.

(6) BMF Entity Unpostables is not able to add or change ECs F, G, or T. If an entity needs action on one of these ECs, submit to Federal State Local Government (FSLG) by:
emailing to ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡.

(1) The Programming Requirements Package (PRP) for UPC 308 RC 4 states:
Any return (TC 150 - non-document code 51) input to Form 940 tax module (MFT 10) and the entity Employment Code equals "G". Exception: TC 150 for MFT 10 posting to a tax module with no credit balance and return has 0 Total Tax Settlement.

(2) A Form 940 attempts to post and the Employment Code is "G".

(3) The following chart list different scenarios that will help resolve UPC 308 RC 4:

(1) The Programming Requirements Package (PRP) for UPC 308 RC 5 states:
Any transaction except TC 370 (Doc Code 51) and TC 650 (Doc Code 97, 19 (EFTP) input to establish a MFT 10 tax module (see 5.02 (6) (f)) and the entity Employment Code (EC) is "T, W, F, G, or C". Bypass this check on a corrected UPC 308 RC 5 with EC "W". Exception: TC 150 for MFT 10 posting to a tax module with no credit balance and return has 0 Total Tax Settlement.

1. TC 150, return (except EC "G")

2. TC 370, account transfer in

3. TC 474, return pending

4. TC 520, closing Code 85–88, 89 (Bankruptcy) and closing Code 81 (Bankruptcy)

5. TC 59X, taxpayer reply transaction

6. TC 610 through 670, payments

7. TC 611, reversal of TC 610

8. TC 700, 710, 716 prior tax period, credit transfer

9. TC 840, manual refund

10. TC 91X, Intelligence Active

11. TC 930, Push Code transaction

12. TC 940/942, Strike Force

13. TC 960, Central Authorization

14. TC 971, Miscellaneous Transaction

(2) The following chart lists different scenarios that will help resolve UPC 308 RC 5:

(1) The Programming Requirements Package (PRP) for UPC 308 RC 8 states:
Any MFT 01 TC 150 with Computer Condition Code T if the entity Employment Code is "F".

(2) The Form 941 with Computer Condition Code T attempts to post, the Employment Code is "F" and the 941 FRC is 00/01/02/03/04/51/06/07/11/12/13.

(3) Form 941 filers who have employees on a seasonal or intermittent basis can file their Form 941 on a seasonal/intermittent basis. However, at least one return must be filed every year, even if no wages or distributions were made during that year.

(4) Condition Code "T" identifies these filers.

(5) Seasonal/intermittent taxpayers who fail to check the box on the Form 941 will be changed back to normal Form 941 filers.

(6) Federal agencies cannot file Form 941 on a seasonal/intermittent basis.

(7) The following chart lists different scenarios that will help resolve UPC 308 RC 8:

(1) The Programming Requirements Package (PRP) for UPC 308 RC 9 states:
Any transaction input to establish an MFT 10 tax module except TC 650 (Doc Code 97/19 (EFTP)) if the Entity Employment Code is blank, the entity EO Status is 01 through 19, and the Entity EO subsection is 03/ 50/60/ 70. Exception: TC 150 for MFT 10 posting to a tax module with no credit balance and return has zero Total Tax Settlement.

(2) Any transaction attempting to establish a MFT 10 tax module and the EO subsection is 03, 50, 60, or 70 and the EO status is less than 20 with no employment code.

(3) The following chart lists different scenarios that will help resolve UPC 308 RC 9: