1.4.40. SB/SE Field and Office Examination Group Manager

(1) IRM 1.4.40, Resource Guide for Managers, SB/SE Field and Office Examination Group Manager, contains procedures, guidance and information for both field (i.e., revenue agent) and office (i.e., tax compliance officer) examination group managers. The content includes general administrative responsibilities, performance management, internal controls, assignment of work, approval of work, quality and program reviews.

(1) By law, the Service has the authority to conduct examinations under Title 26, Internal Revenue Code, Subtitle F – Procedure and Administration, Chapter 78, Discovery of Liability and Enforcement of Title, Subchapter A, Examination and Inspection, which includes, but is not limited to, the following IRC sections:

• IRC 7602, Examination of books and witnesses

• IRC 7605, Time and place of examination

• IRC 7803, Commissioner of Internal Revenue; other officials, which refers to taxpayer rights.

(2) The authorities for this IRM include:

• IRC 1204, Internal Revenue Service Restructuring & Reform Act of 1998

• IRC 1203, Internal Revenue Service Restructuring & Reform Act of 1998

• 26 CFR 601.106, Appeals Function, Settlement of Cases, Docketed in the United States Tax Court

• Rev. Proc. 2012-18), Ex Parte Communications Between Appeals and Other Internal Revenue Service Employees

• IRC 7521, Procedures involving taxpayer interviews

(1) The Director, Headquarters Examination, is the executive responsible for providing policy and guidance for SB/SE Examination employees and ensuring consistent application of policy, procedures and tax law to effect tax administration while protecting taxpayers’ rights. See IRM 1.1.16.3.5, Headquarters Examination, for additional information.

(2) The Director, Examination - Field and Campus Policy, reports to the Director, Headquarters Examination, and is responsible for the delivery of policy and guidance that impacts the field examination process. See IRM 1.1.16.3.5.1, Field and Campus Policy, for additional information.

(3) Field Exam General Processes, which is under the Director, Examination - Field and Campus Policy, is the group responsible for providing policy and procedural guidance on standard examination processes to field employees. See IRM 1.1.16.3.5.1.1, Field Exam General Processes, for additional information.

(4) SB/SE group managers should thoroughly acquaint themselves with the examination procedures and information contained in this IRM, as well as other resources, such as those listed in IRM 1.4.40.1.6, Related Resources, below.

(1) The following table contains a list of terms used throughout this IRM.

(1) The following table lists commonly used acronyms and their definitions used throughout this IRM:

(1) The IRMs in Part 4, Chapter 10 contain many of the procedures and guidelines managers use, including:

• IRM 4.10.1, Overview of Examiner Responsibilities

• IRM 4.10.2, Pre-Contact Responsibilities

• IRM 4.10.3, Examination Techniques

• IRM 4.10.4, Examination of Income

• IRM 4.10.5, Required Filing Checks

• IRM 4.10.6, Penalty Considerations

• IRM 4.10.7, Issue Resolution

• IRM 4.10.8, Report Writing

• IRM 4.10.9, Workpaper System and Case File Assembly

(2) In addition to the list above, there are other relevant IRMs managers use, including, but not limited to:

• IRM 1.1.16, Small Business/Self-Employed Division

• IRM 1.2.2.2.2, Delegation Order 1-2 (formerly DO-12, Rev. 14), Designation of Acting Supervisory Officials

• IRM 1.4.1, Management Roles and Responsibilities

• IRM 1.4.2, Monitoring and Improving Internal Control

• IRM 1.4.6, Managers Security Handbook

• IRM 1.4.32, Internal Control Review Program

• IRM 1.5.1, The IRS Balanced Performance Measurement System

• IRM 1.11.4, Servicewide Delegation Order Process

• IRM 1.20.2, Providing Reasonable Accommodation for Individuals with Disabilities

• IRM 4.2.1, General Examination Information

• IRM 4.2.2, Disaster Assistance Relief

• IRM 6.430.2, Performance Management Program for Evaluating Bargaining Unit and Non-Bargaining Unit Employees Assigned to Critical Job Elements (CJEs)

• IRM 6.751.1, Discipline and Disciplinary Actions: Policies, Responsibilities, Authorities, and Guidance

• IRM 6.752, Disciplinary Suspensions and Adverse Actions

• IRM 6.800.2, IRS Telework Program

• IRM 10.2, Physical Security Program

• IRM 10.5, Privacy and Information Protection

• IRM 10.5.7, Use of Pseudonyms

• IRM 25.6, Statute of Limitations

(3) Helpful information can be found on websites, including, but not limited to the following:

• Centralized Case Processing (CCP)

• Critical Job Elements (CJE) Resource Center

• Embedded Quality

• ERCS Group Handbook

• Human Capital Office

• iManage

• Integrated Talent Management

• My SBSE Today

• New Manager Orientation Support Center

• Performance Management

• Telework Portal

• UNAX

• 1203 Cases

• 2019 National Agreement II

(1) Compliance activities are divided into categories. A general distinction is those activities that require face-to-face interaction and those that can be accomplished without face-to-face interaction. The Service has four primary operating divisions, each serving a group of taxpayers with similar needs:

1. Wage and Investment (W & I), serves individual taxpayers, including those who file jointly, with wage and investment income. Compliance issues are found on a limited range of issues such as dependent exemptions, credits, filing status and deductions. See IRM 1.1.13, Wage and Investment.

2. Small Business and Self-Employed (SB/SE), serves approximately 57 million taxpayers comprised of self-employed persons, supplemental income earners, small business corporations and partnerships with assets of less than $10 million, and filers of employment, excise, estate, gift and fiduciary returns. See IRM 1.1.16, Small Business / Self-Employed Division.

3. Large Business and International (LB&I), serves corporations, subchapter S corporations, and partnerships with assets greater than $10 million. These entities typically have large numbers of employees, deal with complicated issues involving tax law and accounting principles, and conduct their operations in an expanding global environment. See IRM 1.1.24, Large Business and International (LB&I) Division.

4. Tax-Exempt and Government Entities (TE/GE), serves employee plans, exempt organizations and governmental entities. See IRM 1.1.23, Tax Exempt and Government Entities Division.

(1) A group manager is responsible for the actions of a group of employees and instilling organizational values by providing direction and leadership. In addition to providing written and verbal directions, a group manager must lead by example.

(2) A group manager serves as a role model for subordinates, is responsible for encouraging change, and providing suggestions to implement programs.

(3) A group manager is also responsible for developing employees and for inventory management. Listed below are some areas requiring managerial involvement:

• Communicating the mission of the Service

• Ensuring the actions of the workgroup are aligned with the mission of the Service

• Transferring skills, knowledge, and experience

• Empowering employees with additional responsibilities

• Providing training and developmental experiences

(1) The mission statement for the Service sets forth the overall purpose and direction of our operations. The mission focuses on three strategic goals:

• Service to each taxpayer

• Service to all taxpayers

• Productivity through a quality work environment

(2) In order to assess progress in meeting these goals, the IRS developed a set of balanced measures in three major areas:

• Customer Satisfaction

• Employee Satisfaction

• Business Results

(3) Customer Satisfaction – is defined as providing accurate and professional services to internal and external customers in a courteous and professional manner. Examples include:

• Communicating effectively

• Providing timely service

• Empathizing with customers

• Discussing how the IRS is using customer surveys with employees

(4) Employee Satisfaction – is defined as the measure made up of employee perceptions of the management practices, organizational barriers, and the overall work environment that affects their efforts to do a good job. Examples include:

• Having a dialogue with employees

• Identifying employees' training needs

• Ensuring employees receive the training they need to perform job task

• Elevating employee workplace issues

(5) Business Results – is defined as generating a productive quantity of work in a quality manner and providing meaningful outreach to all customers. Examples include:

• Identifying resources required for employees to adequately perform their jobs

• Developing work processes to achieve the Service's goals in the most efficient and effective manner

• Engaging employees and embracing ideas that provide best practices for work processes

• Interacting regularly with employees to identify opportunities for improving work processes

• Recognizing that the group's work is part of the delivery of a servicewide goal

(1) A group manager's accomplishments will be measured by leadership competencies that are linked with the Balanced Measurement System. The leadership competencies are grouped by primary core responsibility areas:

• Leadership

• Employee Satisfaction

• Customer Satisfaction

• Business Results

• EEO

(1) Refer to IRM 1.5.1, The IRS Balanced Performance Measurement System, for additional information.

(2) No goals or targets will be set for Records of Tax Enforcement Results (ROTERS). See 26 CFR 801.1 through 801.8.

(1) An examination business plan is developed annually at the headquarters level. The plan is then subdivided into smaller components to set goals at the operating unit level and Area level. Work plans are developed for each level. The fiscal year goals and priorities are shared each fiscal year and can be found in Pub 5448, SB/SE Focus Guide.

(1) The primary responsibility for case quality is at the group level. A group manager conducts both technical, procedural and administrative reviews. These reviews are generally workload, closed case, in-process, on the job visits, day/morning after, Exam Technical Time Report (ETTR) (field examination) and Examination Process Reviews (EPR) (office examination), etc. Reviews may be either informal or formal. Informal reviews may not require written documentation. See IRM 1.4.40.7, Guiding and Evaluating Employees, for specific guidance. All documented reviews must be conducted in the Embedded Quality Review System (EQRS).

(2) EQRS is used to conduct all managerial reviews of examiners. EQRS automatically links the quality attributes to an employee's critical job elements and provides a group manager with reports on the performance of employees. The reports provide information on performance relative to the attributes and the critical job elements. The National Quality Review System (NQRS) is a parallel system to EQRS that uses quality attributes to provide an assessment of organizational quality results. The EQRS and NQRS quality attributes are found in the Attribute Job Aid, Document 12354, Field Compliance Embedded Quality, Field & Office Examination Job Aid. IRM 1.4.40.5.5, NQRS and EQRS Reports, for additional information regarding the NQRS system.

(3) All group managers must complete the Embedded Quality (EQ) training available on Integrated Talent Management (ITM). The course numbers are #22339 for Field Exam and #26807 for Office Exam.

(4) Contact your Area EQ Coordinator if you have specific EQRS related questions. Area EQ Coordinator contacts can be located at Area EQ Coordinator.

(5) Listed below are additional resources that provide guidance to assist in conducting reviews on EQRS:

1. Examination page located at Embedded Quality on the Embedded Quality website;

2. Exam Guide to Applying Attributes in Case Reviews located under Manager Case Reviews on the Examination Page at EQ - Guide to Applying Attributes;

3. Multi-Review Case Guidance located under Manager Case Reviews Examination page at EQ - Multi-Review Case Guidance. This document will provide helpful guidance for conducting Workload and Examination Technical Time Reviews.

(6) See IRM 1.4.40.5.7, for Examination Returns Control System (ERCS) reports that may be useful in conducting a case review.

(1) All contacts must be conducted in a professional and competent manner. IRM 4.10.1.3, Communication, provides information regarding the importance of quality communications.

(2) All contacts must be conducted in a fair and impartial manner.

(3) A group manager must ensure employee contacts are conducted in a manner that is conducive to promoting a positive image of the Service.

(4) When appropriate standardized forms and letters are available, they must be used. The specific wording in these documents has been approved.

(5) Examiners must receive approval from their group manager prior to preparing original correspondence. A group manager must approve the content prior to its use and such approval must be documented in the case file. See IRM 4.10.1.3.2, Written Communication, for additional guidance.

(6) See IRM 4.10.1, Overview of Examiner Responsibilities, for additional information concerning taxpayer rights and employee responsibilities when contact is made with taxpayers.

(7) A group manager must have an in-depth working knowledge of the content of Circular 230, Regulations Governing Practice before the Internal Revenue Service.

(1) Time and attendance is documented in the Single-Entry Time Recording (SETR) portion of the Totally Automated Personnel System (TAPS).

(2) A group manager is responsible for the following:

• Ensuring that the time and attendance records are correct for each reporting period,

• Administering the leave rules, regulations, and procedures in accordance with established IRS policies, while balancing the needs of both the Service and employees,

• Complying with all requirements for scheduling and documenting leave, including securing any required signatures,

• Establishing leave schedules early in the year to provide for adequate coverage at all times, to afford employees the opportunity to use their annual leave, and to avoid forfeiture of leave and compensatory time,

• Ensuring leave charges are properly recorded to the appropriate leave category,

• Counseling employees on policies, regulations, and procedures related to leave and absence,

• Identifying and correcting, by appropriate methods, abuse of leave,

• Timely requesting and receiving authorization for overtime and for compensatory time from the appropriate management level. This is done using Form 2787, Authorization and Report of Overtime Worked, and

• Reporting pay and leave issues to the servicing Transactional Processing Center (TPC) and working with them to resolve problems

(3) The group manager is also responsible for checking Document 11678, 2019 National Agreement - Internal Revenue Service (IRS) and National Treasury Employees Union (NTEU), hereinafter referenced as Document 11678, 2019 National Agreement, for leave policies and procedures. The following Agreement Articles may be of interest:

• 22 - Work Schedules

• 23 - Hours of Work

• 24 - Overtime

• 31 - Leave Sharing Program

• 32 - Annual Leave

• 33 - Family Leave

• 34 - Sick Leave

• 35 - Leaves of Absence

• 36 - Excused Absence (Administrative Leave)

(1) The group manager must formally designate an acting manager during periods of absence of a full workday or longer. Form 10247, Designation to Act, should be completed and maintained in the acting manager’s drop file for one year as referenced in Document 12829, General Records Schedule 2.2: Employee Management Records, item 80. See IRM 1.11.4.5(7) and (8), Purpose and Contents of Delegation Orders, for additional information.

(2) Managerial tasks performed and those to be deferred until the permanent manager returns generally depend on the duration of the assignment. Managerial tasks performed should be agreed to between the group manager and the acting manager in advance. The acting manager should be given specific expectations at the beginning of the assignment. This will form the basis for performance feedback of the acting assignment. See Document 11678, 2019 National Agreement, Article 12, Section 4, B4, for restrictions related to performance evaluations (i.e., if the acting manager is a bargaining unit employee who has not been acting in a managerial capacity for sixty (60) days or more, appraisals will be made by the next higher level supervisor).

(3) The group manager should determine if the acting manager’s case inventory level needs to be adjusted during the acting assignment. Factors to consider are:

• Length of acting assignment, and

• Duties to be performed during the assignment.

(4) Examiners may be asked to perform specific managerial tasks (e.g., review closed cases, survey status 10 inventory, etc.) when the group manager is not absent. This enables the group manager to provide developmental opportunities to employees aspiring to the next level to gain useful experience. In this situation, Form 10247 is not required.

(1) The management of a group’s inventory and the accuracy of the case inventory database are critical to the success of a group. Accurate inventory controls will assist in:

• Maintaining appropriate statute controls,

• Responding to both internal and external customers,

• Ensuring priority case work is readily identified and promptly worked, and

• Ensuring adequate examiner inventory.

(2) The primary automated tool used to manage inventory at a group level is ERCS. Data entered through ERCS updates the Audit Information Management System (AIMS).

(1) This subsection describes various case control procedures used to manage the group's inventory.

(1) A group manager should refer to IRM 25.6.23, Examination Process - Assessment Statute of Limitations Controls, for comprehensive instructions regarding statute controls and responsibilities for protecting the period of time for assessment of tax. Should there appear to be a conflict between the provisions of IRM 1.4.40 and IRM 25.6.23, with respect to the limitations on the period of time for making tax assessments, IRM 25.6.23 should be followed.

(2) For all tax returns which are filed (whether timely or late filed), statute controls are required to be established no later than 180 days prior to the actual assessment statute expiration date (based on the later of the date the return was filed or due, without regard to extensions). Statute expiration dates may be determined by referring to IRM 25.6.1.6.4, Statute of Limitations Chart for Tax Returns.

(3) As tax returns or ERCS/AIMS data are received in or charged to the group, it is extremely important to screen the return and/or ERCS/AIMS data to determine the accuracy of the assessment statute information and to identify the need for establishing statute controls. The statute information reflected on ERCS/AIMS is not to be accepted as accurate but must be confirmed by reviewing case file information and conducting appropriate IDRS research. See IRM 25.6.23.5.1.2, Screening for Statute Accuracy, for additional guidance.

(4) If a tax return is not filed, statute controls are established at 180 days before the normal assessment statute expiration date had the return been timely filed, or at the time the substitute for return is input, whichever is earlier. If alpha code EE is used in the ASED field for the nonfiler, then ERCS will automatically generate the Form 895 when the forms are generated for the group by the support staff. See alpha code EE instructions in IRM Exhibit 25.6.23-3, Instructions for Updating the Statute on AIMS.

(5) ERCS must be updated to reflect the accurate Assessment Statute Expiration Date (ASED) on the entire inventory of the group. ERCS will then update AIMS.

(6) A group manager has the authority and responsibility to allow the normal assessment statute of limitations to expire if certain special conditions are present, as described in detail in IRM Exhibit 25.6.23-3. In addition, see IRM 25.6.23.5.7.2, Reliance on IRC Provisions Which Extend Normal Assessment Statute, for those instances when Territory Manager concurrence is required to allow the period for assessment to expire based on a special statute condition.

(7) Certain conditions warrant soliciting a consent to extend the statute of limitations. See IRM 25.6.22.2.1, Assessment Statute Extension. The list in IRM 25.6.22.2.1 is not all inclusive and in certain circumstances consents can be solicited before the 180–day time frame specified, but for situations other than those listed, the case file must be documented with the reasons approval to extend the statute was granted.

(8) IRC 6501(c)(4)(B), Limitations on assessment and collection, enacted by the IRS Restructuring and Reform Act of 1998 (RRA 98), requires the Service to notify the taxpayer of certain rights in each instance when a request to extend the assessment period is solicited. See IRM 25.6.22.3, Notification of Taxpayer’s Rights, for detailed instructions for notifying taxpayers of their rights.

(1) Group managers are responsible for maintaining a control system to monitor cases when a 30-day letter has been issued. For additional information and guidance regarding 30-day letters see IRM 4.10.8.12.1, 30-Day Letters. ERCS reports may be used for monitoring cases. See IRM 1.4.40.5.7 for additional information specific to ERCS reports.

(2) Revenue agent (RA) groups: When a 30-day letter is issued the returns must be updated to status code 13. Group managers can use the ERCS Status Report to monitor cases in status 13 in order to determine appropriate follow up actions. See IRM 4.7.6.4.10 , Status Report, for additional information.

(3) Tax compliance officer (TCO) groups: When a 30-day letter is issued, the returns must be updated to action code 04, Issue 15 Day Letter, and purged for 15 calendar days. If the taxpayer does not respond within 15 days, the examiner will sign and issue Letter 1912, Follow-Up Letter Transmitting Examination Reports, and update the action code to 07, Closed Unagreed, with a purge date for 15 calendar days. Group managers can use the Action Code Report and Overage Purge Report to monitor cases in action codes 04 and 07 in order to determine appropriate follow up actions. See IRM 4.7.6.9.1, Action Code Report, and IRM 4.7.6.9.6, Overage Purge Report. If an Appeals request is received, the examiner will update the case to ERCS action code 03, Request for Appeals Conference, and set the purge date to 7 days. When the examiner has completed all actions and the case is ready to close, it must be updated to action code 11, Manager Review and Protests, which defaults to a purge date of "Today" and submitted to the group manager. Group managers must use Action Code Reports to monitor action codes 03 and 11 to ensure request for appeals cases are moving in a timely manner.

(4) All examiners follow the guidance in IRM 4.10.8.12.9.3 , Request for Appeals Conference, when a request to go to Appeals is received.

(1) A group manager must plan, monitor, and direct input of work to accomplish program priorities and effectively utilize resources.

(2) A group manager must maintain within the group:

• Sufficient inventory levels (started and unstarted)

  Note: TCO group managers utilize the examiner’s Microsoft Outlook calendar to assess examiner availability when ordering and assigning cases. The ERCS Inventory Analysis Report (TCO) should be reviewed when ordering and assigning new work to ensure examiner inventories are balanced to address overall quantity and cycle time concerns. See IRM 4.7.6.9.4, Inventory Analysis, and IRM 4.10.2.6, Office Examination Scheduling and Use of Microsoft Outlook Calendar, for additional information on the Microsoft Outlook calendar.

• Appropriate categories of returns (as established in the Examination Plan)

(3) To do so, a group manager must:

• Consider experience and training level of examiners,

• Anticipate and factor current and future priority work,

• Consider historical rates of related pickups, and

• Anticipate details and other assignments of examiners.

(4) Area procedures will provide guidance regarding the assignment of status 10 inventory to examiners.

(1) Many factors influence the actions a group manager may take when assigning work. Some examples include:

• Volume, complexity, specialization, and diversity of work flowing into the group,

• Structure, experience, and training level of the examiners,

• Geographic location of examiners and status 10 inventory,

• Area priorities, and

• Status of in-process work.

(2) Program/project cases, including National Research Program (NRP), may be assigned to newly-trained examiners, when appropriate, to enhance their career development. When making case assignment decisions, group managers should consider the complexity of the case plus the experience and training level of the examiner.

(3) In accordance with IRM 25.6.22.2.1(2), Assessment Statute Extension, group managers should ensure examiners do not initiate an examination on any return with less than 12 months remaining on the statute of limitations for assessment, without prior managerial approval. Therefore, cases with less than one year on the statute of limitations should generally not be assigned to an examiner unless significant issues are present on the return.

(1) Effective inventory management is critical to all three balanced measures. A group manager should:

1. Communicate expectations,

2. Monitor progress,

3. Guide employee performance,

4. Improve the effectiveness of audit practices,

5. Meet procedural requirements,

6. Maintain an awareness of the status of cases under examination

7. Regularly interact with examiners,

8. Make prompt decisions regarding examination scope,

9. Facilitate the timely completion of examinations, including discussing the case with the taxpayer or representative to facilitate receipt of requested information if the taxpayer/representative refused to provide it to the examiner and

10. Make timely decisions to expand the case to include other years or related taxpayers when applicable.

(1) The starting point of addressing collectibility is conducting a quality audit. Quality Attribute 409 states collectibility should be considered throughout the examination. Examiners' pre-contact responsibility for collectibility potential is described in IRM 4.10.2.4.1 , Collectibility, and IRM 4.20.1.2, Pre-Contact and Fact Finding - Determining the Scope. If collectibility is an issue in an assigned case, a group manager will make the final determination whether to survey the return or to limit the scope/depth of an examination. See IRM 4.20.1, Examination Collectibility Procedures, for additional information.

(1) A fundamental philosophy of quality responsiveness to our external customers is that they are entitled to the prompt and proper resolution of their examinations. This philosophy also helps minimize the level of overage work in group inventories. The case file should document reasons for significant periods of inactivity. Refer to IRM Exhibit 4.2.8-1, National Standard Time Frames for Case Action.

(2) While considering and keeping morale concerns in mind, as well as the relationships between examiners, a group manager should utilize transfers of cases between examiners to ensure continuity of case work. Cases should not be allowed to remain inactive for prolonged periods of time. The case file should clearly document reassignment actions taken.

(1) A group manager should strongly encourage and monitor multi-year and related pickup work. This is a specific area in which a group manager can have a key role in inventory management and one in which the use of time can be directly impacted. Quality Attribute 112 states prior/subsequent and related returns should be considered during the examination. See IRM 4.10.5, Required Filing Checks, for additional guidance.

(2) When approving related pickups, risk analysis should be considered to determine if the time required is worthy of the potential return on the investment.

(3) Requisitions for returns and/or controls should be approved by a group manager after reviewing the examiner's reason for requesting the return.

(4) A group manager should ensure that all examiners obtain approval before initiating an examination of a return previously requested for reference and information purposes (Source Code 45). A photocopy of Form 5345-D will be attached to the tax return as a permanent record.

(1) The group manager is responsible for ensuring that quality examinations are conducted. When a case is closed by an examiner, the group manager should review the case to ensure it is procedurally and technically correct. The scope of the review will vary based on the group manager’s knowledge of the specific examiner’s level of experience and work. At a minimum, the group manager must ensure the examiner:

• Considered, applied and documented assertion and non assertion of penalties when applicable.

  Reminder: If written supervisory approval of penalties subject to IRC 6751(b) was not obtained timely, impacted penalties must be removed from the report and the examiner must issue a corrected report (without impacted penalties) to the taxpayer prior to the case closing from the group. To be considered timely, effective for cases where the initial report was issued prior to May 20, 2020, written supervisory approval of penalties must have been secured prior to the issuance of a 30-day letter (e.g., Letter 915, Examination Report Transmittal; Letter 950, 30-Day Letter – Straight Deficiency). Effective for cases where initial reports are issued May 20, 2020, or later, written supervisory approval must be obtained prior to issuing any written communication of penalties that offers the taxpayer an opportunity to sign an agreement, sign a consent to assessment, or consent to proposal of a penalty.

• Made required follow-up attempts to contact the taxpayer if the taxpayer did not respond to the initial contact letter (IRM 4.10.2.8.3, No Response/No Show Procedures.)

• Considered and documented prior/subsequent year and related returns.

• Properly completed and documented the minimum income probes.

• Reconciled the tax and taxable income on the examination report to current TXMODA information.

• Followed proper procedures to solicit payment if there is an unpaid deficiency and the case is agreed.

• Reviewed the formal written protest or small case request, if applicable, and determined its adequacy, the need for further case development or prepared a rebuttal.

• Reconciled the time on ERCS to Form 5344.

(2) The goal is to forward a closed case as quickly as practical and in accordance with the National Standard Time Frames. See IRM 4.10.8.2.4.3, Time Frames for Closing Cases from the Group, and IRM Exhibit 4.2.8-1, National Standard Time Frames for Case Action, for additional guidance.

(3) If a procedural or technical deficiency is noted, the case should be returned to the examiner for correction. The group manager should consider sharing the observation with the examiner as formal documentation.

(4) Technical Services may return a case to a group for further development if the case meets the criteria in IRM 4.8.2.9.1, Case Return Criteria. Form 3990, Reviewers Report, is generally used to communicate between Technical Services and a group regarding reviewed cases.

(1) Table 36, Examination Program Monitoring, provides all levels of management concise analytical information for use in managing the Examination function. The table provides data from AIMS which is used to monitor examinations, inventory, surveyed returns, and accepted returns from classification.

(2) Table 36 shows a group’s accomplishments for the current fiscal year excluding dollar accomplishments. These accomplishments are divided between training and non-training returns. Data is categorized by type of returns such as individual, corporate, partnership, and claims. Table 36 shows cases in Status 10 through Status 90 and contains the following:

• Inventory aging information

• Current month closures

• Hours per return

• Total claims closed

• Returns started in current month

• Mix of returns

(3) This information is grouped into the following categories:

• Activity Code

• File Year

• DIF/DIF Related

• Local Source

• Shelters

• NRP

• Campus Contacts/IRP

• Fraud/Enforcement

(4) When analyzing Table 36, it is important to look behind the numbers. The statistics provided by this table provide trends. To understand the trends identified:

1. High hours per return may reflect the group is pursuing issues which do not warrant the time being expended. Ineffective planning and scheduling practices or poor examination techniques contribute to higher time on cases.

2. Table 36 also provides the number of prior year returns assigned to the group. By monitoring the "returns beyond cycle" columns, a group manager can adjust the inventory mix to meet the examination cycle and prior year guidelines.

3. Fraud, joint committee, and other cases are excluded and are categorized on Table 36 as "returns with exclusions."

4. The differentiation "with or without exclusions" is determined based on source code, status code and project code information. This highlights one important aspect of proper code utilization.

5. Review the "no time applied" and "program monitoring" columns to monitor priority returns in unopened status.

6. "Aging time applied" categorizes a group's inventory by months in-process (status 12). Cases "over 12" months should be a relatively small portion of a group's inventory and require the immediate attention of a group manager. An excessive number of cases in either the "6–9" month or "10–12" month category is an indicator of a potential future problem. Consider conducting in-process case reviews when cases are 4–6 months of age with the emphasis on completion of these cases. This will assist in reducing the percentage of overage cases.

7. When claims are identified in the "Claims on Hand" column, consult Table 8.1 to identify claims which require prompt attention.

8. There are additional uses for Table 36. A group manager should consult the territory manager on a regular basis to determine monitoring priorities.

(1) Table 4.1 is one of the most urgent of the AIMS tables. It must be worked within five days of receipt of the email in the group manager's inbox. It must be dated and initialed by a group manager and a support staff member upon completion. Table 4.1 is a monthly report which lists returns in status codes 05, 06, 08-19, with statute dates that (according to AIMS) have expired or will expire within 180 days.

(2) The PCS also generates a similar statute control report (PCS Report 4–1).

(3) The ultimate responsibility for statute protection rests with a group manager. Accordingly, the Table 4.1 should be reviewed carefully to ensure that all prior year returns are properly accounted for on AIMS. IRM 4.4.27.5.1.1, Procedures for Working Statute Control Report, provides the necessary steps required to work this table. Also see IRM 25.6.23.5.10, AIMS Tables 4.1 and SC 4.0.

(1) A description of other AIMS Tables may be found in IRM 4.4.27, Reports.

(1) The Inventory Analysis Report (TCO) provides a "snapshot" of the inventory currently assigned to each TCO. The report provides the number of cases by activity code and whether or not a return has been in process more than 120 days. The report also provides information on the number of returns by action code. A careful analysis of this report provides the group manager with current information regarding the amount of "workable" inventory, i.e. inventory in action codes 05, 06, 08, or 10. These action codes indicate cases that are in process versus cases that are in report status or awaiting closure or action by the group manager or clerk. The ERCS Inventory Analysis Report (TCO) should be reviewed when ordering and assigning new work to ensure examiner inventories are balanced to address overall quantity and cycle time concerns.

(2) On a weekly basis, the group manager should review the Outlook Planning Calendar (see IRM 4.10.2.6, Office Examination Scheduling and Use of Microsoft Outlook calendar, for guidance on TCO’s use of the planning calendar) and the Inventory Analysis Report (TCO) for all examiners in the group. If inventory level issues are identified, the manager should review the Action Code Report. The weekly review may prompt the manager to meet with the employees to discuss inventory scheduling practices.

(1) The Field and Specialty Exam Quality (FSEQ) reviews a statistically valid area level sample of closed SB/SE cases against the quality attributes. NQRS is a parallel system to EQRS and is used to collect data from FSEQ reviews. NQRS data is used to provide quality scores for field and office examination that are included as a component of the Business Results measurement.

(2) The FSEQ is responsible for providing quarterly reports of quality results at the area and national levels. NQRS provides various standard reports that can be accessed by users at the area, territory and group levels; however, data is not available below the territory level. Territory data is not statistically valid, but may be used as indicators in quality improvement efforts. Reports and data should be generated using 12-month periods in order to provide the best comparative analysis. NQRS trends and corrective measures requiring attention will generally be covered at territory meetings. Inquiries involving NQRS quality data/interpretation and requests for presentations should be made by the territory manager to the FSEQ program manager.

(3) NQRS reports are additional tools to assist a group manager in the development of examiners and in the accomplishment of quality examinations. A group manager should involve examiners in identifying improvement opportunities for attributes that necessitate corrective action. This is a good forum for sharing expertise and experience among all examiners in a group.

(4) Group managers can secure current NQRS reports for their territory and Area from NQRS. Password requests to access the system should be submitted using an Online 5081, Automated Information System (AIS) User Registration/Change Request. Instructions for requesting passwords and information on reports are available on the Embedded Quality page at Embedded Quality.

(5) EQRS reports can be generated at the group level. EQRS provides a group manager the ability to generate reports on the results of the reviews that have been entered into the system. These reports can be used to:

1. Share the results of individual reviews with employees;

2. Compile the results of multiple reviews during a rating period for use when preparing an employee's mid-year review or annual performance appraisal provided that the reviews have been shared timely with the employee;

3. Identify the top-scoring and bottom-scoring quality attributes within your group; and

4. Compare the group results to territory, Area and National NQRS results.

(1) Partnership Control System Reports — PCS has a variety of reports available for use by Campus personnel, Area coordinators, and field groups. Refer to IRM 4.29.4, PCS Reports, for a list of the reports.

(2) Report 4–4, TEFRA One-Year Assessment Statute Date List — Lists all records on the PCS with a TEFRA one-year assessment date on the investor record. Key case information for linkage records are reflected on the report.

(1) IRM 4.7.6, Reports, provides information on all ERCS reports and their uses. The reports a group manager will generally use at the group level can be found within the following sections:

• Statute Expiration Reports — IRM 4.7.6.8

• Inventory Reports — IRM 4.7.6.4

• Time Analysis Reports — IRM 4.7.6.5

• Monitoring Reports — IRM 4.7.6.6

• Count Reports — IRM 4.7.6.7

• Tax Auditor Reports — IRM 4.7.6.9

• Miscellaneous User Reports — IRM 4.7.6.14 (e.g., Form 3210 Reports — IRM 4.7.6.14.4)

(2) Statute Expiration Reports — IRM 4.7.6.8.

• Pending Statute Report — IRM 4.7.6.8.4

• 895 Report — IRM 4.7.6.8.1

• Examination Returns Control System (ERCS), Statute of Limitations - IRM 4.7.3

(3) Inventory Reports — IRM 4.7.6.4.

• Overage Report (IVL) — IRM 4.7.6.4.7

• Status Report — IRM 4.7.6.4.10

• Unassigned Inventory Report — IRM 4.7.6.4.15 and Unassigned Inventory by TSC — IRM 4.7.6.4.14

• Overage Requisition Report — IRM 4.7.6.4.8

• Alpha IVL (Inventory Validation Listing) — IRM 4.7.6.4.2

• Agent Analysis (4502) — IRM 4.7.6.4.1

• Closed Case Report — IRM 4.7.6.4.4

• In Transit Status Report — IRM 4.7.6.4.5

(4) Time Analysis Reports — IRM 4.7.6.5.

• High Time Report — IRM 4.7.6.5.6

• Case Time Analysis — IRM 4.7.6.5.2

• DET/Non-DET Analysis — IRM 4.7.6.5.5

• Inactive Case Report — IRM 4.7.6.5.7

• Daily Time Report — IRM 4.7.6.5.4

• Status 12 with No Time Applied Report —IRM 4.7.6.5.8

(5) Monitoring Reports — IRM 4.7.6.6.

• Prior Year Report — IRM 4.7.6.6.4

• Previously Closed Returns — IRM 4.7.6.6.3

• Fraud Report — IRM 4.7.6.6.1

• Returns by Activity Code — IRM 4.7.6.6.5

• Returns by Project Code — IRM 4.7.6.6.6

• Returns by Source Code — IRM 4.7.6.6.7

• Work Awaiting Approval — IRM 4.7.6.6.10

• Returns Related to a Specific Return Report — IRM 4.7.6.6.8

(6) Activity Code Count Report — IRM 4.7.6.7.1. The Activity Code Count Report provides a count of all cases in an AAC by employee and activity code. This report also counts cases in status 10 and 12.

(7) In addition to the reports listed above, TCO group managers will generally use the following Tax Auditor Reports — IRM 4.7.6.9

• Action Code Report — IRM 4.7.6.9.1

• Appointment Scheduled Report — IRM 4.7.6.9.2

• Group Purge Report — IRM 4.7.6.9.3

• Inventory Analysis — IRM 4.7.6.9.4

• Monthly/Weekly Schedule — IRM 4.7.6.9.5

• Overage Report — IRM 4.7.6.9.6

• Overnight Inventory Report — IRM 4.7.6.9.7

• Tax Auditor Daily Report — IRM 4.7.6.9.8

• Tax Auditor Scheduler — IRM 4.7.6.9.9

(1) Inventory Validation Listing (IVL) — Annually, each group performs a complete inventory validation retrieved from the statistical sample inventory validation system (SSIVL). The validation involves verifying the physical presence of returns and all AIMS data on all returns shown on the Inventory Validation Listing. IRM 4.4.16, Inventory Control, provides time frames and instructions for performing this validation.

(2) AIMS Weekly Update Report — This report will be generated only when a change occurs at Master File that affects a case in a group. The report informs a group of a change which has occurred on the taxpayer’s account or other information which a group needs to know. The report will reflect changes such as the filing of an amended return or a change in the taxpayer’s address. A description of this report, with instructions, appears at IRM 4.4.27.5.7, AIMS Weekly Update Reports.

(3) 424 Reject Register — This report is distributed weekly to all examination groups which are affected. The report informs a group manager that a request to establish a database and/or secure a return Transaction Code (TC) 424 has not been accepted at master file. It provides a code which explains why the account rejected. A taxpayer’s account appearing on the register will require follow-up, correction, monitoring, and/or re-input of the requisition.

(4) Statute Date Override Report — Lists returns when statute dates on ERCS and AIMS are different and ERCS has been changed to reflect the statute date on AIMS. For example, when the return was requested through ERCS, the normal statute date was generated. When the requisition became fully established on AIMS, the statute date reflected a late-filed return. ERCS is corrected to reflect the AIMS statute date.

(5) Unexplained Update Report — During the weekly comparison, the AIMS values for project codes, source codes, status codes, activity codes, aging reasons, claim amounts, and POD codes are compared to the ERCS values. If ERCS is updated from the information on AIMS, this report is generated. Special attention should be given to status code changes.

(6) Dropped AIMS Record Report — Lists records open on ERCS but reflecting no data on AIMS. The report is distributed to the group and must be worked. The report should be compared with AIMS and action taken to resolve the discrepancy.

(7) AAC Difference Report — The AAC Difference Report (ADIF) lists returns for which the AIMS and ERCS AAC’s differ and there are no pending updates or flags in the ERCS database to explain the difference. This report should be printed and worked weekly after the AM7109 file has been processed.

(1) PMS is the appraisal system used to evaluate Service non-bargaining unit employees. It consists of an ongoing process of setting expectations, monitoring, evaluating and recognizing performance. The Service's performance management system is designed to strengthen the linkages between performance management and the Service's mission, strategic business goals, business plans and the Balanced Measurement System.

(2) The performance agreement for a group manager consists of:

• Responsibilities – representing the core values of the Service, what is important to us as an organization and common to all executives, managers and management officials

• Commitments – distinct actions/desired results to be achieved during the performance period

• Summary Evaluation – balances the Retention Standard, Responsibilities and Commitments to determine the final rating

(3) Objectives establish specific expectations for each group manager. They provide the basis for monitoring work, providing feedback on progress and recognizing accomplishments. A group manager's success in executing programs and implementing Service policies is reflected in their achievement of PMS objectives.

(4) Feedback on the progress toward these goals based on a group manager's actions and activities during the year will be obtained through the following:

• Operational reviews

• Periodic briefings

• Mid-year assessments

• Year-end PMS appraisal

(5) Refer to the Human Capital Office IRS Leadership Competencies website located at IRS Leadership Competencies for a listing of core responsibilities and leadership competencies for group managers.

(6) A group manager is expected to prepare a self-assessment. For guidance visit the Human Capital Office, Performance Management website Performance Management - Writing Self-Assessments.

(1) An important aspect of workload management and quality control is the establishment of group controls and reviews. Internal controls are a vital tool allowing each manager to evaluate and monitor their programs proactively and eliminate deficiencies timely.

(2) All managers have a responsibility to perform periodic monitoring to review the accuracy and effectiveness of internal controls. As required by IRM 1.4.2, Monitoring and Improving Internal Control, all managers are responsible for ensuring their programs have effective controls in place and to monitor those controls for continued effectiveness over time. See Risk Management and Internal Controls and OMB Circular A-123, Management’s Responsibility for Enterprise Risk Management and Internal Controls, for additional information.

(3) The Federal Managers’ Financial Integrity Act of 1982(FMFIA) was implemented by the Office of Management and Budget (OMB) Circular A-123, Management Accountability and Control. Its purpose is to safeguard assets and to provide for compliance with law. Refer to IRM 1.4.2 for a detailed explanation.

(1) A group manager's relationship with the territory manager is very important. The first step in establishing this relationship is to understand the territory manager’s expectations. A discussion with the territory manager regarding Operating Division, Area, and territory goals and the assessment of the current condition of the group is the best starting point.

(2) Open lines of communication are very important. A group manager should keep both the territory manager and the group informed of significant matters. Priorities during the year will change and the territory manager expects a group manager to be flexible. At the same time, a group manager should let the territory manager know the impact of shifting priorities on resources and programs. A group manager is expected to be a team player. This may result in sacrificing group goals to meet broader organization goals.

(3) After a group manager prepares expectations, ensure each is understood and strive to accomplish the expectations. Ensure the provisions of IRM 1.5, Managing Statistics in a Balanced Measurement System, and section 1204 of the Restructuring and Reform Act of 1998 are met when setting expectations for the group or agreeing to those set at a higher level.

(1) Communicating a group manager's expectations and procedures to employees is very important. The high-level definitions of the critical job elements are the same across all IRS occupations. The elements are:

1. Employee Satisfaction–Employee Contribution

2. Customer Satisfaction–Knowledge

3. Customer Satisfaction–Application

4. Business Results-Quality

5. Business Results-Efficiency

(2) All of a group manager's employees have predetermined critical job elements and expectations are linked to these elements. For example:

1. Element — Employee Satisfaction–Employee Contribution: an employee willingly helps other employees in the group to resolve a problem and shares knowledge with the group.

2. Element — Customer Satisfaction–Knowledge: an employee identified a potential hardship on a refund hold and made a decision that the issue did not meet hardship criteria; an employee demonstrated knowledge to deal with the unanticipated situation and applied knowledge of IRS procedures and research materials to make the correct decision.

(3) A group manager should establish his/herself as the leader, but at the same time maintain an atmosphere of flexibility. Encourage employee engagement and discuss their ideas in an open forum. Once a decision is made, solicit mutual agreement and ensure understanding on the direction to be taken.

(4) New procedures and programs will require implementation. As the team leader, it is a group manager's responsibility to communicate any new practices to employees in a positive manner, using a partnership approach. The success of new procedures and programs rests on a group manager's ability to share and implement them in a positive manner. Remember, it is a group manager's responsibility to keep the morale of the group high by taking positive actions toward group activities and operations.

(5) Through open communication, a group manager has the best chance of gaining the group’s commitment to the organization’s goals and expectations. As a group manager prepares to set and communicate the expectations for the group, they should remember the style and methods of communication used by former supervisors. A group manager should use the effective communication methods used by others as a model. To be successful a group manager should be prepared to do the following:

1. Share the area/territory goals;

2. Share group expectations;

3. Ensure employee understanding;

4. Encourage employee input; and

5. Solicit employee support.

(6) Remember, realistic, challenging goals should motivate and encourage a high level of performance by group employees. A group manager sets the tone for the group.

(1) Once a group manager has established and communicated expectations to employees, monitoring systems should be established to assess progress. Achievements and accomplishments require planning, execution, and monitoring. Depending on what area a group manager is monitoring, feedback may be specific, written, or informal. Some key areas a group manager will monitor are: direct exam time, overage inventory, quality, and statutes. Occasionally, review the monitoring system to determine if it requires revision based on changing priorities and needs.

(2) After expectations have been established, shared, and a monitoring system is in place, establish follow-up procedures. The formality and structure of follow-up procedures will depend on the area involved.

(1) The formal mechanism for providing written feedback about an employee’s accomplishments is Form 6850-BU, Bargaining Unit Performance Appraisal and Recognition Request, or Form 6850 NBU, Non-Bargaining Unit Performance Appraisal. IRM 6.430.2, Performance Management Program for Evaluating Bargaining Unit and Non Bargaining Unit Employees Assigned to Critical Job Elements (CJEs), contains detailed guidance for evaluating performance. The performance appraisal serves as a:

• Record of performance;

• Basis to provide further training;

• Tool to improve performance;

• Document for personnel actions; and

• Rating of Record.

(2) Under the performance evaluation system, during an employee’s probationary period, they must demonstrate fully successful performance. This requires a group manager to closely monitor and review a probationary employee’s work. See IRM 6.430.2.4.3, Employees Serving Probationary Periods, for additional guidance.

(3) Managers should work closely with employees who are performing poorly, including probationary employees and provide them with guidance/direction designed to assist them in improving performance. If performance improves, managers should document the improvement accordingly. If performance fails to improve, refer to IRM 6.430.2, Performance Management Program for Evaluating Bargaining Unit and Non Bargaining Unit Employees Assigned to Critical Job Elements (CJEs), and seek appropriate advice to determine next steps.

(4) Documentation of Performance:

1. Providing feedback to the employee (positive and constructive ) is essential to maintaining and/or improving their performance.

2. Managers should keep an employee's overall performance in mind when they discuss work and other activities. Let them know when some aspect of performance may influence their performance rating, a promotional opportunity or other personnel action.

3. Recordation serves as a snapshot of employee performance. Adequate documentation will remind managers of changes in performance over the rating period.

(5) Managers should be concise when writing review narratives, but descriptive enough to provide an accurate picture of the strengths, development needs, and accomplishments of the employee in each CJE. See IRM 6.430.2.4.6, Completing Appraisal Narratives.

(6) Performance evaluations provide a uniform means for a written evaluation and rating of each employee's proficiency.

• IRM 1.5, Managing Statistics in a Balanced Measurement System, describes how balanced measures are used to support individual as well as organizational performance. The three balanced measures are : Employee Satisfaction, Customer Satisfaction, and Business Results. These three balanced measures are part of every individual and organizational performance evaluation system within IRS.

• IRM 1.5.2 Uses of Section 1204 Statistics, provides specific guidance for SB/SE use of measures. This IRM provides information about the prohibition on the use of records of tax enforcement results (ROTERs) to evaluate employees or to impose or suggest production quotas or goals.

(7) Formal employee evaluations represent the sum of what the manager has observed in each employee's work, using feedback, reviews, visitations and other techniques discussed in this manual. Managers should consider the following when evaluating performance for an annual appraisal:

• Position description

• Critical Job Elements (CJEs)

• Mid-year and other progress reviews

• Employee’s work products (management briefings, memos)

• Employee’s self-assessment

• Feedback from taxpayers and representatives

• Team assignments and contributions to work group

• Special achievements

(8) Each employee will receive an annual performance evaluation. See information about Performance Appraisal Due Dates in the 2019 National Agreement, Article 12, Exhibit 12-1.

(9) Employees may submit a self-assessment, limited to four pages in length, no later than the last workday of their annual appraisal rating period. See IRM 6.430.2.4.5, Self-Assessments and IRM 6.430.2.6(3), Conducting the Performance Appraisal Meeting.

(1) A group manager's evaluation of employee performance must conform to procedures detailed in the IRM and Document 11678, 2019 National Agreement.

(2) Policies of the Service must be adhered to when evaluating performance. These policies prohibit the use of predetermined quantitative standards, enforcement results, or quotas to influence the evaluation of an examiner’s performance. See IRM 1.5, Managing Statistics in a Balanced Measurement System and section 1204 of RRA 1998. A group manager may look to the territory manager, Labor Relations, and Human Resources for additional direction and guidance.

(1) An efficient and effective employee appraisal depends on a group manager's active involvement and timely direction. Fair and balanced feedback is essential to maintain and improve skills.

(2) Providing ongoing employee feedback that is candid and meaningful is essential to employee satisfaction and is an integral part of the group manager’s responsibilities. Reviews of employee work should serve to:

• Assess the employee’s effectiveness in meeting the expectations established in their Critical Job Elements.

• Determine the employee’s efficiency in carrying out the laws, procedures, and policies of the Service.

• Identify and address performance problems.

• Evaluate the employee's ability to properly plan and schedule field, office, and telework activity.

• Ensure the employee is taking timely and appropriate actions to bring the case to a prompt and proper resolution.

• Assess employee effectiveness in developmental case assignments.

• Determine the employee's effectiveness in meeting the IRS Retention Standard for the Fair and Equitable Treatment of Taxpayers.

(3) Formal case reviews must be in writing and completed in EQRS; see IRM 1.4.40.3.6, for additional guidance. Managers must be familiar with attribute definitions and can access the Embedded Quality website for information about EQ attributes at Embedded Quality, Document 12354, Embedded Quality, Field & Office Examination Job Aid, should also be reviewed for specific guidance related to Embedded Quality attributes and how to use them.

(4) Managers must keep an employee’s overall performance in mind when work and related activities are discussed. They must timely inform an employee when some aspect of performance may negatively influence the next performance rating. Verbal notification must be followed by written documentation. A recordation is defined as a group manager’s written record evaluating an employee in a positive or negative manner. Recordation must be shared with bargaining unit employees within 15 work days of the time the group manager becomes aware, or should have been aware, of the event which it addresses. See Document 11678, 2019 National Agreement, Article 12, Section 9.

(5) A group manager's role as an instructor and evaluator is to assess the quality of the employee’s work and provide timely feedback and guidance. By maintaining documentation throughout the rating period, sufficient information will be available to prepare the annual appraisal. Managers should remember that performance appraisals are used to give employees official feedback and need to be clearly and timely communicated. Refer to IRM 6.430.2 for additional information.

(1) Employee recognition is designed to reward and recognize employees, either individually or as a member of a team or group, for their performance, adopted suggestion ideas, or other exemplary contributions to the Service's mission. Employee recognition may include monetary awards, time-off awards, honorary recognition (e.g., plaques, certificates, etc.), informal recognition items, or a combination. Listed below are some forms of recognition:

• Performance Awards–See IRM 6.451,

• Quality Step Increase (QSI)–See IRM 6.451.1.10,

• Special Act and Manager’s Awards–See IRM 6.451.1.11,

• Time-Off Awards–See IRM 6.451.1.12,

• Bilingual Awards–See IRM 6.451.1.13,

• Suggestion Awards–See IRM 6.451.1.14,

• Secretary of the Treasury Honor Awards–See IRM 6.451.1.17, (e.g., Commissioner's Award, IRS Career Service Recognition Program, and Certificates of Recognition), and

• Albert Gallatin Award–See IRM 6.451.1.18.

(2) For additional information on awards visit the Human Capital Office website located at Performance Management - Other Awards, Guidance & Forms.

(1) An EPF is a record of performance-related data maintained on an employee. EPFs must be established and maintained for all full-time, part-time, seasonal, intermittent, term and temporary employees expected to be employed at least 120 days in a calendar year.

(2) An EPF is a required file for each employee. A group manager is responsible for maintaining and assuring effective use of the EPF system by:

• Establishing EPFs,

• Updating EPFs,

• Securing performance records/documents, and

• Forwarding EPFs to the new group manager upon transfer or reassignment.

(3) Each EPF must be clearly labeled as "Employee Performance File", along with the employee's name and last four digits of their social security number, or, as an alternative, their SEID. Access to an EPF is limited to the employee, management officials with a need to know, and any representative designated by the employee, such as NTEU. EPFs should be kept in a locked cabinet, room, or other secured area.

(4) Information to be retained in the EPF includes:

• Performance plan (critical elements and standards),

• Form 6774, Receipt of Critical Job Elements and Retention Standard (managers must update the form annually and ensure it is signed and dated by the employee; see IRM 1.5.3.3, Retention Standard for the Fair and Equitable Treatment of Taxpayers),

• Annual appraisals, departure appraisals and ratings,

• Any records of performance documentation such as workload reviews, case file reviews, job visitations, progress reviews, mid-year assessments and all appraisal forms, such as Form 6850, needed to justify a personnel action (e.g., promotion, award, furlough, or removal),

• Records of performance counseling,

• Rebuttal statements submitted by the employee,

• Career Learning Plan,

• Student employment work agreement, and

• Employee self-assessments.

(5) No documentation related to disciplinary or adverse action will be placed in an EPF unless such action was based on performance.

(6) All EPFs should be purged annually to remove documentation over four years old. Refer to Document 12829, General Records Schedules (GRS) 2.2: Employee Management Records, Item 70, for the retention and disposition to prevent inadvertent/unlawful destruction of records. See Item 71 for unacceptable performance appraisal retention.

(7) If an employee leaves the Service, some items from the EPF are sent to the servicing Transactional Processing Center (TPC). Contact the Area Labor Relations Office to identify the specific items that should not be sent to the TPC. Additional information can be accessed at iManage.

(8) Documents related to an employee's conduct, such as failure to file taxes, tardiness, or leave abuse, may be filed in a "drop" file which will be kept separate from the EPF. Documents should be sanitized for any items the maintenance of which is not consistent with the underlying purpose of keeping the record or in violation of federal law or regulations (e.g., date of birth).

(9) For additional information regarding the specific items to be placed in the EPF and the retention period, refer to:

1. Document 11678, 2019 National Agreement, Article 7,

2. Human Capital Office (HCO),

3. IRM 6.430.2.3.5, Employee Performance File (EPF) and

4. 5 CFR 293, Subpart D.

(1) The GMCM is an opportunity for the group manager and RA to discuss the scope and depth of the examination, as well as the mutual commitment date (MCD). Group manager involvement in the early stages of an examination results in fewer delays, increased efficiency and higher quality cases.

(2) The GMCM should occur no later than 30 business days after completion of the initial appointment or 60 business days after the case is updated to Status 12, Started, in the Examination Returns Control System (ERCS), whichever is first The GMCM may also be conducted prior to the initial appointment, for example, when the taxpayer or representative is procrastinating and has rescheduled the initial appointment multiple times.

(3) The RA is responsible for scheduling the GMCM. It should be scheduled as soon as the initial appointment is scheduled or when the case has been in process 45 days, whichever comes first.

(4) GS-12 revenue agents and below are required to use the GMCM.

(5) GS-13 revenue agents are encouraged to utilize a GMCM in order to provide updates on cases and obtain guidance from managers.

(6) At a minimum, the RA should be prepared to discuss:

• The initial appointment meeting and MCD,

• Accomplishments and planned actions for completing the case,

• Issues currently identified,

• Required filing checks,

• Location of the audit work and

• Concerns or barriers to closing the case.

(7) The GMCM should be documented on the Group Manager Concurrence Meeting (GMCM) and Managerial Involvement lead sheet (#100-4).

(8) The GMCM can be evaluative or non-evaluative. If the GMCM is evaluative, the manager should consider rating the following EQRS quality attributes:

1. Attribute 100, Protection of Statute of Limitations

2. Attribute 101, Pre-Plan Activity

3. Attribute 111, LUQ After Pre-Plan (Other than Income)

4. Attribute 112, Required Filing Checks

5. Attribute 114, IDR (Information Document Request)

6. Attribute 300, Exam Income Determination

7. Attribute 405, Interpreted/Applied Tax Law Correctly

8. Attribute 440, Audit/Compliance Interview

9. Attribute 502, Workload Management

10. Attribute 509, Time Charged

11. Attribute 510, Time Span

12. Attribute 707, Workpapers Support Conclusions

(1) An in-process case review is an opportunity for a group manager to be involved in an examination while the case is ongoing. The involvement may be extensive or may be limited to a very specific part of the examination. Some areas a group manager may wish to consider are:

1. Determining overall examination abilities,

2. Training in a new or unique issue,

3. Developing accounting and/or auditing skills,

4. Observing communication skills,

5. Assisting in the proper development of technical issues,

6. Determining and/or improving proper time utilization,

7. Reviewing and/or improving workpaper documentation,

8. Determining scope and depth of examinations,

9. Improving your knowledge of certain industries and/or issues,

10. Observing interview techniques and offering constructive feedback, and

11. Providing assistance with overage cases.

(2) Completion of in-process reviews should be annotated in the case file on Form 9984.

(3) Listed below are a few of the EQRS quality attributes that lend themselves to being rated in an in-process case review. This list is not meant to be all-inclusive, but rather to assist a group manager in this particular type of case review. A group manager should use their own judgment to determine which quality attributes are most applicable for a specific review.

1. Attribute 101, Pre-Plan Activity - Were the pre-plan activities appropriate for the case?

2. Attribute 300, Exam Income Determination- Were the minimum tests performed?

3. Attribute 440, Audit/Compliance Interview - Were interviews effective and information obtained to understand the taxpayer/business operations?

4. Attribute 405, Interpreted/Applied Tax Law Correctly - Were the proper techniques used, issues properly developed and tax law applied correctly?

5. Attribute 408, Civil Penalty Determination - Was the assertion or non-assertion of penalties correctly considered, computed and documented?

(1) Workload reviews will give a group manager the best overall picture of each examiner’s work and activities. A good understanding of the employee's work is necessary for evaluating performance, providing direction, and deciding when a group manager should become more involved in specific examinations.

(2) Workload reviews should foster open and honest interaction between a group manager and employees; therefore, it is essential that a group manager discuss areas where there is above-average performance as well as areas that require improvement. Agreed actions and directions provided during the review should be noted in the workload review documentation and a comment placed on Form 9984 that the case was reviewed as part of a workload review.

(3) Workload reviews should be timely summarized in writing, addressing the quality attributes and as many of the job elements as practical. The workload review feedback should be timely discussed with the employee in person. The meeting to discuss the workload review should occur within the first few days after the review is completed to achieve the most value.

(4) Workload reviews are valuable management tools; therefore, timely follow-up to determine if the agreed-upon actions have been completed is very important.

(5) Listed below are a few of the EQRS quality attributes that lend themselves to being rated in a workload review. This list is not meant to be all-inclusive, but rather to assist a group manager in this particular type of case review. A group manager should use their own judgment to determine which quality attributes are most applicable for a specific review.

1. Attribute 408, Civil Penalty Determination - Was the assertion or non-assertion of penalties correctly considered, computed and documented in the workpapers?

2. Attribute 510, Time Span - Were timely actions taken?

3. Attribute 502, Workload Management - Was work appropriately and logically planned through the use of a planning calendar? Were appointments and follow-up work appropriately scheduled? Was work appropriately prioritized?

4. Attribute 707, Workpapers Support Conclusions - Was there a clear audit trail? Were techniques and conclusions documented in the workpapers? Were relevant workpapers included in the file?

(1) To achieve our quality objectives, there must be managerial involvement at all stages of the examination. The on-the-job visit (OJV) is one of the most effective tools a group manager has to accomplish this task and is essential since much of an employees’ work and activities are performed independent of a group manager's direct observation.

(2) The manager should have a purpose for making a visit such as observing an examiner’s auditing abilities, observing an examiner’s communication skills, teaching an examiner new auditing techniques, etc. Purposeful and essential visits are valuable. Frequency of visits should be dictated by the needs of the employee and/or the specific case.

(3) Visitation needs can often be pinpointed during a workload review. A group manager should avoid making on-the-job visits only at the conclusion of examinations. Visitations made earlier in the audit process provides an opportunity to take corrective actions earlier rather than at the conclusion of an examination when it is too late to impact the progress of the case. Earlier intervention will foster better taxpayer relations.

(4) Managers should explain the reason and purpose of their visit to the examiner. Generally, managers will advise the examiner of their planned visit.

(5) Communicate the observations to the examiner after every visit. The observations should include specific factual comments related to the examination and recommendations concerning future actions. They should be documented or summarized in timely feedback addressing as many of the critical job elements as practical. This feedback, as well as other documented feedback, will serve as a basis for the annual performance evaluations.

(6) An on-the-job visit can be used to observe, assist, and assess employee's knowledge, skills and taxpayer relations. Listed below are areas that should be considered during the on-the-job visit:

1. Planning and scheduling the examination,

2. Accounting skills and tax law knowledge,

3. Workpapers and reports, and

4. Closing the examination.

(7) Listed below are a few of the EQRS quality attributes that lend themselves to being rated in an on-the-job visit case review. This list is not meant to be all-inclusive, but rather to assist a group manager in this particular type of case review. A group manager should use their own judgment to determine which quality attributes are most applicable for a specific review.

1. Attribute 101, Pre-Plan Activity - Was the pre-plan appropriate?

2. Attribute 604, Meet and Deal - Did the examiner communicate appropriately?

3. Attribute 440, Audit/Compliance Interview - Was the interview effective and sufficient information obtained to understand the taxpayer/business operations?

(1) Perform a cursory inspection of every closed case. See IRM 1.4.40.4.11. From this inspection and your knowledge of the case, you can determine if a more in-depth review is warranted.

(2) Assessment of an examiner's performance and feedback should be summarized in timely documentation, addressing as many of the quality attributes as applicable.

(3) A group manager should be satisfied that the work product flowing from the group meets or exceeds the quality attributes. The EQRS quality attributes are found in the Attribute Job Aid, Document 12354 , Field Compliance Embedded Quality, Field & Office Examination Job Aid.

(4) A group manager should not rely solely on closed case reviews to assess performance, identify concerns, solve problems, and manage inventories. Although a closed case review is a helpful tool, a group manager must realize that, at this point, the examination has been completed. It is too late to change the direction of the examination and ensure that quality is built into the process. In-process case reviews may provide a better opportunity for earlier managerial involvement to enhance communication with the taxpayer and/or representative, reduce examination span, identify additional compliance issues, or provide guidance regarding scope limitations.

(5) A closed case review can be used to assess the knowledge, skills, and taxpayer relations of the examiner. It can also be used to assess the quality of the examination. Listed below are areas that should be considered during a closed case review:

1. Examination planning and scheduling

2. Accounting skills and tax law knowledge

3. Workpapers and reports

4. Use of time

(1) ETTR (field examination) and EPR(office examination) reviews should be focused upon effective planning and scheduling techniques, with an emphasis on taking "meaningful" timely actions on in-process cases to bring them to closure.

(2) A group manager should ensure examiners are properly determining when to expand or limit the audit scope.

(3) Assessment of the employee's work observed during the review should be communicated in timely written or oral feedback.

(4) ETTR/EPR reviews should provide a quality check on the accuracy of the form preparation.

(5) The depth and timing of these reviews is determined by Area Director or Territory Manager guidelines.

(6) Listed below are a few of the EQRS quality attributes that lend themselves to being rated in a review of an ETTR/EPR. This list is not meant to be all-inclusive, but rather to assist a group manager in this particular type of case review. A group manager should use their own judgment to determine which quality attributes are most applicable for a specific review.

1. Attribute 100, Protection of Statute of Limitations - Were statute issues appropriately addressed?

2. Attribute 509, Time Charged - On cases with high time, was the time commensurate with the work performed?

3. Attribute 510, Time Span - On inactive cases, were actions timely?

4. Attribute 502, Workload Management - Was work appropriately and logically planned through the use of a planning calendar? Were appointments and follow-up work appropriately scheduled? Was work appropriately prioritized?

(1) Observations of general activities in the work area can provide a group manager with indicators of the work atmosphere of the group and whether a productive work environment exists. Casual and brief visits with employees in the work area permit a group manager to provide assistance in an informal and time-saving manner. Some of the benefits gained through informal interactions are:

1. Solutions to work difficulties,

2. Substitution of oral feedback for written feedback,

3. Timely communication of new procedural and technical developments, and

4. Identify and correct improper or ineffective work habits.

(2) Informal discussions with employees may result in solving many work problems. To foster effective communication with employees, avoid assessing negative performance as a result of informal interactions.

(1) Solicit written feedback when employees are given assignments outside of the group. Some of these assignments will include:

• Classifying returns

• Details to Technical Services staff

• Instructing

• Acting group manager

• Details to other divisions

(1) Disciplinary and adverse actions are tools that a group manager can use to enforce the rules, regulations, and work requirements that allow the Service to accomplish its mission in an effective and efficient manner.

(2) The goal of both disciplinary and adverse actions is to use the lowest level of discipline possible to correct inappropriate behavior. Each case is considered individually. See the references below for various actions and options.

(3) Seek assistance from the Labor and Employee Relations Office whenever dealing with any conduct problem that has the potential to result in a disciplinary action.

(4) References:

1. IRM 6.751, Discipline and Disciplinary Actions

2. IRM 6.752, Disciplinary Suspensions and Adverse Actions

3. Managers' iManage resource center located at iManage

4. Document 11678, 2019 National Agreement

(1) Employees are entitled to present grievances without restraint, interference, coercion, discrimination, or reprisal. Grievances should be considered fairly and impartially, and processed expeditiously. Listed below are resources that provide guidance regarding the processing of a grievance:

1. IRM 6.771.1, Agency Grievance System (AGS)

2. Managers' iManage resource center located at iManage

3. Document 11678, 2019 National Agreement

(1) A primary responsibility of managers is to monitor employee practices and actions to ensure taxpayer rights are always observed.

(2) The Taxpayer Bill of Rights (TBOR) lists rights that already existed in the tax code, putting them in simple language and grouping them into 10 fundamental rights. Employees are responsible for being familiar with and acting in accord with taxpayer rights. See IRC 7803(a)(3), Execution of Duties in Accord with Taxpayer Rights. For additional information about the TBOR, see Taxpayer Bill of Rights and IRM 4.10.1.2.1, Taxpayer Bill of Rights (TBOR) for additional information. Taxpayer rights include, but are not limited to the following:

1. The right to be informed.

2. The right to quality service.

3. The right to pay no more than the correct amount of tax.

4. The right to challenge the IRS’s position and be heard.

5. The right to appeal an IRS decision in an independent forum.

6. The right to finality.

7. The right to privacy.

8. The right to confidentiality.

9. The right to retain representation.

10. The right to a fair and just tax system.

(3) Examiners should be aware of and observe all taxpayer rights provided by Public Laws, including the IRS Restructuring and Reform Act of 1998 (RRA 98), the IRC, and IRS policies, including those rights summarized in the Taxpayer Bill of Rights (TBOR).

(4) Section 1203 of the Internal Revenue Service Restructuring and Reform Act of 1998 (RRA ‘98) calls for the termination of any employee of the Internal Revenue Service if there is a final administrative or judicial determination that the employee committed any act or omission described below:

1. Willfully failing to obtain required approval signatures when making a seizure.

2. Providing a sworn, false statement in a "material matter" concerning a taxpayer.

3. Violating the constitutional rights of or discriminating against taxpayers or employees.

4. Falsifying or destroying documents to cover a mistake concerning a taxpayer.

5. Receiving a criminal conviction or civil judgment for assault or battery on a taxpayer or employee.

6. Violating the Internal Revenue Code (IRC), IRS regulations or policies to retaliate against or harass taxpayers or employees.

7. Willfully misusing IRC 6103 to conceal information from Congressional inquiry.

8. Willfully failing to file a federal tax return on or before its due date, unless it is due to reasonable cause.

9. Willfully understating federal tax liability, unless it is due to reasonable cause.

10. Threatening an audit for personal gain.

(5) See the following resources for additional guidance:

• IRM 6.430.2.4.7, Rating Performance Against The Retention Standard for the Fair and Equitable Treatment of Taxpayers

• IRM 6.430.2.2.5, Discussing The Retention Standard for the Fair and Equitable Treatment of Taxpayers

• iManage - Managing Employees

• 1203 resources: Section 1203

• Retention Standard resources: Performance Management - Employees Evaluated by Critical Job Elements

• Publication 947: Publication 947, Practice Before the IRS and Power of Attorney

(1) A group manager is responsible for ensuring new employees receive quality training. A group manager must be involved with trainees throughout their classroom and on-the-job training, and work closely with the Area training coordinator.

(1) A group manager is responsible for ensuring employees receive quality CPE. CPE should be presented in accordance with the current fiscal year guidelines. A group manager is responsible for ensuring examiners and support staff receive the training they need to perform their job.

(2) A group manager may identify other training needs. Group meetings, self-study, external seminars, or memoranda may be effective methods for delivering other training needs.

(1) Employee development is a shared responsibility between a group manager and employees. Each employee should prepare an Employee Career Learning Plan (CLP) to meet their specific needs. This plan should be updated as actions are accomplished.

(2) Document 11678, 2019 National Agreement, provides that employees should also spend their own time on self-development; and

(3) A group manager should develop a monitoring and follow-up system to meet the individual needs of each employee. An effective CLP should be:

• Mutually developed

• Realistic

• Balanced

• Attainable

• Mutually supported

(4) Employee development is directed toward improving skills in present and target positions. This can be accomplished through a variety of activities including: details to other areas or functions, instructing, OJI, acting group manager assignments, task force, and special projects.

(1) A group manager is an advocate for group employees. A group manager can help employees achieve their career objectives by remembering:

1. Enthusiasm is contagious

2. Clearly shared objectives and standards are a must

3. Intermediate goals must be set, shared, and monitored

4. Small successes build confidence

5. Individual performance is evaluated against set standards

6. Prompt corrective action may be necessary

(2) Identifying, planning, and monitoring of employee needs and their development requires open communication. Direct involvement and ongoing attention are essential to the enhancement of employees’ skills and career advancement.

(3) Remember, a group manager is only as effective as the employees in the group. Thus, it stands to reason a group manager needs to assist in employee’s development by:

1. Encouraging and appreciating excellence,

2. Creating a climate of support, encouragement, recognition and team spirit, and

3. Remaining flexible and resourceful.

(1) Personal career objectives are a shared responsibility between a group manager and territory manager. Look for guidance in developing professional goals and objectives.

(2) Increased responsibility, advancement, and job enrichment should continue throughout a group manager's career. A group manager should develop and fully utilize a career developmental plan. Managerial career planning requires goals, actions, and commitment. Visit Human Capital Office Workforce & Career Planning for additional information.

(1) Determine the priority of available workload in light of existing commitments, planned objectives, and procedural requirements.

(2) A group’s work can be divided into three categories. See IRM 1.4.40.4.5.2, Inventory Types.

(3) It is essential that a group manager understands priorities, monitors them closely, and ensures their attainment. Some mandatory programs, such as headquarters directed projects, have definite interim completion goals that should be attained. When assigning returns to examiners, mandatory and priority cases must receive first consideration. Although transferring work between examiners is not desirable, it could be required to satisfy priority needs.

(4) Some examples of priority cases are:

• Cases in which either the government’s or the taxpayer’s interest is in jeopardy due to imminent expiration of the statute of limitations,

• Bankruptcy or receivership cases on which the date for filing claims is about to expire,

• Taxpayer Advocate Service (TAS) cases,

• Cases returned by Technical Services for reconsideration,

• Requests for prompt assessment,

• Pre-identified art evaluation cases,

• Delinquent account cases being held by Collection pending action by Examination,

• Cases involving informant’s claims/letters,

• Partnership and fiduciary cases involving Form 8340, PCS Establish or Add with Notice Generation,

• Inadequate records follow-up examination,

• Claims for refund,

• Overage cases, and

• Offers in Compromise.

(1) Technical advisors/issue specialists facilitate the development of examiners' expertise by providing guidance on issues specific to certain industries or return types and provide technical support to Area examiners. They are responsible for preparing issue guidance and Audit Technique Guides (ATG) that provide auditing techniques, assist with issue identification and development, and tax law interpretation. ATGs can be accessed from the IRS.gov website at Audit Techniques Guide (ATGs).

(2) The technical advisory program involves industries and businesses selected because of possible noncompliance. The purpose of specializing is to allow technicians to develop expertise in the industry. Industry specialization also allows the Service to take consistent positions with certain industries and issues. Technical advisors located in LB&I and issue specialists located in SB/SE are both available to assist examiners.

(1) These are high priority programs which have significant impact on future compliance with widespread geographic implications. These projects may be initiated at any time. A group manager's early involvement and continual monitoring is critical.

(1) The objectives of CIPs are to identify whether noncompliance exists, determine the reasons for noncompliance, reduce noncompliance, and make recommendations for increasing future compliance.

(2) CIPs are any activities involving contact with specific taxpayers within a group, using either internal or external data to identify potential areas of noncompliance within the group, for the purpose of correcting the noncompliance. The term CIP refers to activities formerly categorized as Return Compliance Programs (RCP), Information Gathering Projects (IGP), Compliance 2000 Projects, etc. See IRM 4.17, Compliance Initiative Projects, for additional information on CIPs.

(1) Local source work consists of high-yield returns identified at the group level and coordinated with the local Planning and Special Programs (PSP) function.

(2) A group manager has a responsibility to be innovative in developing local source work. Ensure appropriate guidelines are followed to approve initializing this type of case work.

(1) CDE is a workload identification, planning and delivery system operating in a web-based environment.

(2) The benefits of CDE are:

1. Faster delivery of returns into the audit stream from the time of filing,

2. Provides 3-year return facsimile, entity data, and related returns,

3. Automated case building options include IDRS, Schedules K-1, and related returns,

4. Just in time delivery - return orders no longer need to be placed months in advance, and

5. Most classification can be performed locally.

(3) CDE facsimile returns are used in place of the original return.

(4) For additional information and help refer to the CDE website located at Compliance Data Environment (CDE).

(1) Governmental Liaison is a program designed to foster joint tax administration between the IRS and state taxing agencies. It also promotes joint initiatives with other federal agencies, local governments, state agencies (other than taxing agencies), and private-sector organizations.

(2) Governmental Liaison objectives include:

• Improve voluntary and enforced compliance

• Reduce taxpayer burden

• Enhance service to taxpayers

• Allow IRS and state agencies to perform more efficiently and cost effectively

(3) Field Governmental Liaison initiatives may include:

• Information exchange

• Joint early intervention and education

• Joint enforcement

• Joint technological activities

(1) Ensure that referrals to specialists, when warranted, are made in a timely manner and that examiners are working together to complete the examination as soon as possible. Examples of referrals that may be necessary are:

• Employment Tax Specialist

• Employee Plans Specialist

• Excise Tax Specialist

• Computer Audit Specialists

• International Examiners

• Engineers

• Economists

(2) For additional information on specialist referrals see IRM 4.10.2.7.5, Specialist Referrals.

(1) Fraud awareness is part of every program. Examiners should be alert for indications of fraud and are encouraged to discuss these cases with a group manager. The determination of civil or criminal fraud and the development necessary in the case should be discussed thoroughly. A Fraud Technical Advisor (FTA) can provide assistance in developing fraud cases. See IRM 25.1, Fraud Handbook.

(2) Examiners must discuss any potential fraud case they have with their group manager.

(3) Occasionally, a group manager will be requested to provide resources to assist in conducting grand jury investigations. Because of the confidentiality of grand jury information, only a limited number of designated officials are permitted to receive this information. This does not include examination group managers, unless the manager is included on the 6(e) order.

(4) Examiners should be made aware of their limited responsibility when assisting in grand jury investigations. The sole responsibility of the examiner is to examine books and records and interview third parties to determine the income of the targets of the grand jury. Investigations frequently continue for extended periods; therefore, it is important that feedback on examiner performance is received from the CI manager. The specifics of the investigation activity cannot be provided. However, specifics concerning the examiner’s performance level should be made available to a group manager.

(5) The Fraud Program home page is located at Fraud Development Knowledge Base.

(1) At least annually, a group manager must perform periodic "functional reviews" of their employees’ work space to ensure that laptop computers, Sensitive But Unclassified (SBU) information, and PII are protected at all times. Functional reviews measure adherence to security requirements and procedures that apply to each manager's office or functional area. See IRM 1.4.6.7.1, Functional Reviews, for additional guidance regarding the reporting requirements.

(2) A group manager should periodically perform "after hours reviews" to determine whether documents; property; Form 3210 log books, binder systems or log files; and monies are being adequately protected when not in the custody of authorized IRS personnel. See IRM 1.4.6.7.2, After Hours Review, for additional guidance.

(3) For additional information visit the following websites:

1. MITS Cybersecurity home page at Information Technology Cybersecurity for information on how to report a security incident.

2. Privacy, Governmental Liaison and Disclosure, Think Data Protection located at Disclosure and Privacy Knowledge Base for protecting and safeguarding SBU data and PII.

(1) Annual mandatory briefings can seem routine. The information a group manager and employees learn is integral to sustaining the integrity of our workforce and ensuring a secure and safe workplace.

(2) A group manager must ensure all mandatory briefings are timely completed. If there are questions concerning these briefings the territory manager should be consulted. Mandatory briefings include but are not limited to the following:

1. Ethics

2. Prevention of Sexual Harassment (POSH)

3. No Fear

4. Safety and Health

5. Information Protection for example; computer security, privacy and UNAX (See IRM 10.5.5, IRS Unauthorized Access, Attempted Access or Inspection of Taxpayer Records (UNAX) Program Policy, Guidance and Requirements, and IRM 21.2.2.3.2, Taxpayer Browsing Protection Act)

(1) For the most part, an examiner's contact with Appeals and Area Counsel is through their group manager. Recognize Appeals' and Area Counsel's responsibilities and support their efforts.

(2) Cases in which taxpayers request an Appeals conference should be promptly transferred. See IRM 1.4.40.4.11.5.

(3) An examiner must request and receive permission from his or her group manager before initiating any communication related to a case with an Appeals employee, unless the case is being worked through Fast Track Settlement. The group manager will determine if the proposed communication is appropriate and whether it is an ex parte communication covered by RRA 98 limitations and further clarified by Rev. Proc. 2012–18. See IRM 4.2.7.3(4), Responsibility for Compliance with the Provisions of the Restructuring and Reform Act (RRA) 98 Section 1001(a)(4), for the group manager’s responsibilities with respect to the request.

(4) Area Counsel is available for legal guidance in situations such as summons enforcement, assertion of the civil fraud penalty, and interpretation of any legal issues where Counsel can be of assistance.

(1) Close coordination with Collection personnel is essential on failure-to-file referrals, frivolous filer/nonfiler cases, and claims for refunds submitted during the collection process, see IRM 1.4.40.4.8 for additional information.

(2) Examiners are required to use the Specialist Referral System (SRS) to submit a mandatory collection referral if the taxpayer’s aggregate unpaid balance of assessment plus the agreed unpaid portion of the amount due (tax, penalty and interest) shown on the examination report exceeds certain dollar criteria. See IRM 4.20.1.3.4, Coordinate with Collection, for additional information.

(1) The success of the area fraud program requires cooperation between group employees and Criminal Investigation. A group manager must ensure that adequate staffing is available and properly utilized to complete joint investigations, ensure that quarterly meetings are conducted to monitor the timely completion of joint investigations, and obtain feedback on the quality of fraud referrals. In addition, consider utilizing Criminal Investigation employees to conduct workshops on fraud development.

(1) The Disclosure Manager can provide invaluable assistance in resolving questions regarding disclosures of tax returns, tax return information and Privacy Act (PA) information, such as personnel records. The Disclosure Manager handles all requests for information under the Freedom of Information Act (FOIA) or the PA. A FOIA or PA request received in the group should be immediately forwarded to the Disclosure Manager for processing. However, absent a FOIA or PA request, the examiner/group manager has the authority to provide the taxpayer/representative with copies of documents related to the issues in question after reviewing the requested documents for any questionable items. Disclosure should be contacted if there are any questionable items that may be withheld from the requester.

(2) Subpoenas received by employees must be immediately faxed or hand-carried to the Disclosure Manager for processing. An employee is allowed to testify in a tax administration case as a witness for the government without a subpoena and without an authorization from the Territory Manager. A group manager should make full use of the local Disclosure Manager by extending an invitation to attend a group meeting and requesting orientation for new employees (including technical, para-professional, and support staff). See IRM 11.3, Disclosure of Official Information.

(1) TIGTA should be viewed as a positive resource in maintaining a respected, ethical organization. They support employees against false claims, threats, and accusations, as well as investigate allegations of wrongdoing. Invite TIGTA to group meetings to emphasize their role.

(2) A group manager should not conduct an investigation into the matters listed above under any circumstances unless TIGTA concurrence is obtained.

(3) All information received concerning misconduct of IRS employees or officials will be reported to the local TIGTA office, TIGTA hotline at 1-800-366-4484, or email through the website at http://www.treas.gov/tigta/.

(4) After TIGTA conducts an investigation of alleged improper conduct, the report will be presented to management for review and decision on whether disciplinary action will be required. If no disciplinary action is required, one of the following actions must be taken:

1. Clearance letter

2. Closed without action letter

3. Warning or caution letter

(5) TIGTA, Office of Audit, is an independent third party which reviews IRS systems, procedures, and effectiveness.

(1) Group managers who supervise bargaining unit (BU) employees must:

• Notify the requisite chapter(s) regarding 7114 meetings when they plan to discuss changes in personnel policies, practices and working conditions with their employees. Generally, five workdays notice is provided. See Document 11678, 2019 National Agreement, Article 8, Union Rights.

• Make sure employees have the opportunity to be represented at formal discussions regarding employee grievances. See IRM 6.771.1, Agency Grievance System (AGS) and IRM 1.4.1.4, Agreements with NTEU.

(2) Group managers may contact their assigned LR Specialist if assistance is needed to determine if a meeting is a 7114 meeting.

(1) RAAS is comprised of the following offices:

• National Research Program (NRP)

• Office of Program Evaluation & Risk Analysis (OPERA)

• Servicewide Policy, Directives & Electronic Research (SPDER)

• Statistics of Income (SOI)

• Office of Research (OR)

(2) RAAS identifies noncompliance at the issue level. Their activities may include demographic, economic, and other studies as requested by the Director, Examination.

(1) The Taxpayer Advocate Service (TAS) is an independent organization within the IRS, led by the National Taxpayer Advocate. Each state, the District of Columbia, and Puerto Rico has at least one Local Taxpayer Advocate, who is independent of the local IRS office and reports directly to the National Taxpayer Advocate. TAS helps taxpayers resolve problems with the IRS and recommends changes that will prevent the problems.

(2) If a group manager is unable to resolve certain taxpayer complaints or inquiries meeting TAS criteria, a referral may be warranted. Form 911, Request for Taxpayer Advocate Service Assistance (And Application for Taxpayer Assistance Order), should be completed and forwarded to the local TAS office. See IRM 13.1.7.2, TAS Case Criteria, which provides the criteria for referral to TAS.

(3) Prompt action to resolve a taxpayer’s complaint will result in increased respect for the Service. A group manager and their employees share the responsibility for maintaining favorable public relations.

(1) C & L coordinates all media contacts. All media contacts must be cleared through the C & L office. C & L may request that a group manager or technical employees make presentations to groups of taxpayers through taxpayer education programs.

(1) The support staff may occasionally have to contact one of the campuses to resolve a return requisition, payment posting, or other problems. Each Campus has three Directors: Accounts Management, Submission Processing and Compliance Services. The relationships established with Campus personnel will prove invaluable to the smooth operation of the group.

(1) Group managers may be given instructor assignments in both technical and administrative areas. These assignments give a group manager a change of pace and the ability to refresh their skills.

(1) The Senior Commissioner Representative and Commissioner Representatives provide management leadership for cross-functional administrative activities in field offices of the IRS. Duties may include taxpayer concerns, security, supplies, safety, and general operating guidance. See IRM 1.4.12, Senior Commissioner's Representatives Roles in Management of IRS Field and Headquarters Offices, for additional information.

(1) A group manager may play a key role in recruiting qualified candidates. When internal employees are being considered for a crossover to another position or external applicants are seeking initial appointments, a group manager may be in a position to influence an individual’s decision to work for the Internal Revenue Service. Represent the Service in a professional manner when talking with prospective employees or school officials. Review recruitment literature and talk with a personnel staffing specialist before making recruitment visits to obtain knowledge regarding job duties and educational requirements.

(1) A group manager may receive a request to provide examination staffing during filing season to assist taxpayers with the preparation of their returns or technical assistance.