text:
- 18.104.22.168 Scope
- 126.96.36.199 General
- 126.96.36.199 Managerial Review
- 18.104.22.168 Security Responsibilities
- 126.96.36.199 Receipt of Mail
- 188.8.131.52 Extraction of Envelope Contents
- 22.214.171.124 Cash Payments and Cash Conversion
- 220.127.116.11 Form 809, Receipt for Payment of Taxes
- 22.214.171.124 Payments
Manual Transmittal
September 6, 2013
(1) This transmits revised IRM 21.1.7, Accounts Management and Compliance Services Operations, Campus Support.
Material Changes
(1) This IRM was revised to reflect the following changes:
|Editorial changes were made and IRM references were updated throughout the IRM.
|Changed AMTAP to Integrity & Verification Operation (IVO).
|Added IRM 1.14.5, IRM 1.22.3, IRM 1.22.5, IRM 1.22.8, IRM 10.5.4, IRM 10.5.4, 3.5.61, and Document 12990 to the list.
|Added new paragraph that personally owned equipment must not be connected to IRS Systems and renumber existing paragraphs.
|Deleted last sentence in the paragraph.
|IRM 22.214.171.124.3.1(4)(a)
|Added "Neopost" .
|IRM 184.108.40.206.3.1(4)(c) Note
|Added note that Form 9814 must be accurately completed
|IRM 18.104.22.168.4(5) Table
|Changed Exhibit 3.13.62-56 to Exhibit 3.13.62-55.
|Added new paragraph for processing IRS letter/CP received with return and renumbered existing paragraph.
|Added new paragraph "When IRS letters or CPs received with Form 433 Series or Form 9465 route to CSCO or ACS and renumbered existing paragraphs" .
|IRM 188.8.131.52(9)(b)
|Added if acknowledgement is discovered after extraction and there is no date stamp or envelope with postmark date, simply leave the date blank.
|Added procedures for routing checks with ID Theft or Fraud related.
|Added new paragraph types of remittances Campus Support may receive and renumbered existing paragraphs.
|Deleted "near " and added "underneath" . Revised paragraph for clarity; added note on procedures for processing government checks for payment of taxes and added If/Then table on Extraction processes.
|Added note "If the USPS Inspector sends a letter stating that a CI Agent took care of the Treasury checks and they are returning the mail pieces, route them to Austin IVO at Stop 6572. Keep the USPS letter with the submission".
|Added "Each remittance of $50,000.00 or more must be processed by itself in a separate batch through RS-PCC" .
|Added "Disclosure Scanning Operation" and deleted "Attn" .
|Removed dates that the rampdown sites started sending Form 1040X to SP.
|IRM 22.214.171.124.3(1) Note
|Added to route Letters 3064C or 4676C with Form 1040X to SP.
|Removed dates that the rampdown sites started sending CP 08, 09, and 27 to SP.
|IRM 126.96.36.199.5(1) Table
|Added "including foreign and APO/FPO addresses" to column 1 of the table.
|IRM 22.214.171.124.6(1)(d)
|Added "Any "loose" tax return (i.e., no form or notice attached) addressed to either the ASFR Mail Stop or P.O. Box in Brookhaven" .
|IRM 126.96.36.199.6(1) Note
|Added Do not route any "ASFR" returns to Statute.
|IRM 184.108.40.206.9(4) Exception
|Deleted routing Form SS-4 to Philadelphia.
|IRM 18.104.22.168.10(17) Note
|Added a second note to add instruction to indicate on the previous day's sheet, or on a separate sheet that you candled that day, but there were no findings. This enables the Reviewer to account for each work day.
|Added new paragraph on procedures for handling envelopes after final candling and renumbered existing paragraph.
|IRM 126.96.36.199.13 (2) Note
|Added note if taxpayer returns a combination of Treasury Checks and debit cards route to IVO External leads in Fresno.
|IRM 188.8.131.52.13 (2) list
|Deleted (3) in the list. Renumbered existing steps and added additional information for completing Form 3210.
|Added note about routing possible repayment of fraudulent Refund checks.
|Added new subsection for routing Refund Anticipated Loans Checks and renumbered existing subsection.
|Added new subsection for routing checks that are repaid to IRS by taxpayers claiming they are not entitled to the refund and identity theft may be involved. Renumbered existing subsection.
|Corrected the Treasury Regulations.
|IRM 22.214.171.124(6) List
|Added "[for a transaction in currency of more than $10,000] " .
|Added MFT to the list.
|IRM 184.108.40.206(8) Note
|Added "When cash is received and you are unable to identify the taxpayer, complete the Form 809 with unknown for the missing information and attach part two behind part three. Send the money order to Ogden to be processed" .
|Added retention of Form 4287.
|Added retention of Form 2679.
|Removed the date that Ogden began supplying the rampdown sites with Form 809.
|Added "Each remittance of $50,000.00 or more must be processed by itself in a separate batch through RS-PCC" .
|Added new subsection for processing Form 1040 NR and renumbered existing subsections.
|Added new subsection for processing payments received with Form 4219 and renumbered existing subsections.
|Deleted "Perfect" from the title of the subsection.
|IRM 126.96.36.199.8(1)(h)
|Added "Batch each remittance of $50,000.00 or more by itself in a separate batch" and renumbered existing list.
|Deleted "Perfect" and added "to process payments through RS-PCC" and added "or more" to the list.
|Added "Each remittance of $50,000.00 or more must be processed by itself in a separate batch through RS-PCC" .
|IRM 184.108.40.206.12(1) Note
|Added two notes of acceptable abbreviation.
|Added caution for overstampping third party checks.
|Added caution for overstampping third party checks.
|Deleted third note.
|Added additional information to clarify what should be reviewed by management when performing and documenting the quarterly reviews of Form 3210 received back from Refund Inquiry for Returned Government Refund Checks.
|IRM 22.214.171.124.18(1) table
|Add to "The numeric and written amounts are blank or zero" and "A completely blank check is received with a remit document" procedures if check is returned undeliverable.
|Added retention of Forms 4828.
|Added address for routing OVDP remittance.
|Updated the information for payments received in response to Form 1099.
|IRM 126.96.36.199.29(1)(f) and (k)
|Added verbiage written on checks that can be considered questionable payments. Also added a reference concerning questionable checks that appear to be issued by a Federal Reserve Bank or other Federal Agencies. The Federal Reserve Bank and Federal Agencies do not issue personal checks to taxpayers.
|Changed name of the title and revised the section.
|Added new step "Verify the information on Form 3244 with the preparer, if there is a discrepancy in the check and corresponding form" and renumbered existing steps.
|Changed FMS to Fiscal Service and PCC-OTC to OTCnet.
|IRM 188.8.131.52.1(7) Note
|Added note "All successfully scanned checks must be stamped with "Electronically Presented" or "Electronically Processed" . If a check is not electronically stamped, manually stamp the check" .
|IRM 184.108.40.206.1.1(1) List
|Removed Form 706 and 709 from the list and added "drawn on non-US Financial Institutions" to Foreign checks.
|IRM 126.96.36.199.3.3(2) List
|Added "drawn on non-US Financial Institutions" to Foreign checks.
|Deleted reference to IRM 1.15.29 and added reference to Document 12990.
|Deleted paragraph (2).
|IRM 126.96.36.199 (1) Table
|Deleted routing Form SS-4 to Philadelphia and to route all SS-4 to Cincinnati. Added to CP 2000 "if payment stub is not attached" .
|IRM 126.96.36.199 (1) Note
|Deleted routing Form SS-4 to Philadelphia and to route all SS-4 to Cincinnati.
|Deleted IRM 1.15.29 and added Document 12829.
|Deleted old paragraph on source document folders and Added new paragraph "To facilitate timely shelving of source documents area should send source document folders to the Submission Processing Files Function within five day of input" .
|IRM 220.127.116.11(1)(e)
|Added Neopost.
|IRM 188.8.131.52(7) Note
|Added note reference to Document 12990 for retention of certified mail list.
|Added Neopost.
|Exhibit 21.1.7-1
|Added "35" to Austin address.
|Exhibit 21.1.7-2
|Added "35" to Austin Address.
|Exhibit 21.1.7-3
|Added "35" to Austin Address and changed Stop # 6722 to # 6728.
|Exhibit 21.7-4
|Added caution for overstampping third party checks.
|Exhibit 21.1.7-5
|Added DPC 26 - Court-Ordered Criminal Restitution Payments.
|Exhibit 21.1.7-6
|Added MFT 51 and 52.
|Exhibit 21.1.7-8
|Added Forms 656PV, 706, 709, 990W, 1040NR, 1041-T, 1120W, 4219, 5330, and loose Form 5405 to the exhibit and added to contact AM Analyst before processing payments received with Form 706 and 709.
|Exhibit 21.1.7-9
|Added CP 87B
|Exhibit 21.1.7-10
|Added Letter 4800C
|Exhibit 21.1.7-15
|Added Letters 105C with Form 907, 131C, 531-T, 718SC, 950C, 950D, 3307SC/CG, 3308SC/CG, 3309SC/CG, 3310SC/CG, 3311SC/CG, 3312SC/CG,
4551C, 4552C, and 5073C,.
Deleted Letters, 335C, 1534C, 2071SC, 3309C, 3310C, 3312C, 3313C, 3314C, 3316C, and 3497C.
Letter 3793SC/CG deleted FIRPTA unit (Code & Edit) and added MS 6732.
12C - Added If Form 8867 is received with the letter, attach the form to the back of the letter.
418C - Changed AMTAP to IVO and added Brookhaven.
2566 (SC/CG) - added 2566R and leave any return attached to letter.
2626C, 2627C, and 2893C - Added OSPC - M/S 6663 (If EIN present) and if SSN present OSPC - M/S 6653.
3219 Deleted Brookhaven and added Atlanta and changed 3219 to 3219N.
4115C - Added Brookhaven.
4116C - Deleted ICT and added CI.
4310 Added Atlanta, Brookhaven, Cincinnati, Fresno, Kansas City, and Ogden.
4464C - Added IVO and Brookhaven
4800 C - Deleted Brookhaven and added IVO and Atlanta.
4883C - Added IVO.
4904C Added IVO, Andover, Fresno, Kansas City, Ogden, and changed stop number for Austin.
|Exhibit 21.1.7-16
|CP01H and CP54 changed KCSPC stop from 6182 to 6055.
Added CP 80 and CP 080 with Form 8804 or Form 8288 Correspondence.
Added CP80/CP080 with Form 8804 or Form 8288 Correspondence only.
Added CP 01A, CP 01F, CP 13, CP 247, CP 2005, 2006, 2030, 2057, 2531, and 3219B. Updated routing for PRN 549 or 550. Added FSPC to CP 759.
|Exhibit 21.1.7-17
|Form 56 - changed KCSPC stop number
Form 433-A - Added exception.
Form 656 - if Form 433 series, Form 2159 or Form 9465 is attached route to COIC and changed Memphis Stop number.
Form 940B - Deleted Memphis.
Form 940 PR and Form 940 PR Amended - deleted Form 940SS.
Form 1040 marked ASFR - added note do not route to Statute.
Form 1040ES with a name change indication - changed KCSPC stop number.
Deleted - Form 1040 EZ-T.
Form 1040NR - Added Individual or SSN and note refer to check box in upper right corner of the form.
Form 1040 NR (Estate and Trust) - Added note refer to check box in upper right corner of the form and added stop number.
Form NR-EZ added" for Individuals" .
Form 1040X with Foreign Address added to identify as expedites route to ICT.
Form 1041QFT- added for CSPC "Domestic" and "OSPC International" .
Form 1045 - added "Expedite all Forms 1045 to ICT/CIS and identify as an Expedite" .
Form 1127 except Form 709 shown in Part 1 - Added note "do not mail any attached return or remit with Form 1127. Detach for processing."
Form 1127-A - Added Brookhaven and Fresno with stop numbers.
Form 1128 - Changed KCSPC stop number.
Form 2848 - changed Philadelphia BLN.
Form 3520 Amended Deleted Philadelphia and added OSPC.
Form 3520A (1999 and Prior) - added route Cycle Control with a Transmittal indicating ALPHA.
Form 3949-A - Changed stop number.
Form 4149 - changed KCSPC stop number.
Form 4506/Form/4506-T/Form 4506T-EZ - Added note.
Added Form 4506/Form/4506-T/Form 4506T-EZ with Form 14039.
Form 4506 with Subpoena - corrected address.
Form 4759 - change routing.
Added loose Form 5405.
Form 8288 and Form 8288-A attached to Form W-7- added if all forms are originals route to OSPC.
Form 8453 - Deleted Form 8453OL TY 2002 and subsequent and added e-Help.
Form 8453-F - Added stop.
Form 8804-C - added or Form 8813 with Section 1446 Payment Voucher (no remit) attached to Form 8804-C and deleted Compliance.
Form 8821 - changed PIRSC BLN.
Added Form 8821-A.
Form 8822 changed KCSPC stop number.
Deleted Form 8822-A.
Form 8822 - Deleted Form 8822-A.
Added Form 8947, Form 8858, Form 8867.
Deleted Form 8878 (TY 2002 & 2003).
Form 8918 - added stop number.
Added Form 8957, Form 9549, Form 13683, Form 14402, Form 14413, Form 14415, Form SF-1152, Form SF 2823, Form SF 3102, Form SF 2808, Form SF 2809, Form SF 2817, Form TSP-1, Form TSP-3.
Form W-7 - added Form W-7(SP) and how to attach original documents.
Added new paragraph "if routing to Accounts Management route to local ICT" .
|Exhibit 21.1.7-18
|Added "BMF Foreign Adjustment request - Foreign tax return/income from a foreign source"
Change address for routing request for FOIA and Subpoena with Form 4506 with check.
Employee Wage Levy/Levies/Garnishments - Change routing.
Informant Letters - changed stop number.
Effect on Other DocumentsIRM 21.1.7 dated September 7, 2012 (effected October 1, 2012) is superseded. This IRM also incorporates the following IRM Procedural Updates (IPUs) Issued from October 22, 2012 through June 24, 2013, have been incorporated into this IRM - 12U1752, 13U0591, 13U0933, 13U1120, and 13U1137.
AudienceW & I Consolidated Sites
Effective Date(10-01-2013)
Ivy S. McChesney
Director, Accounts Management
Wage and Investment Division
These procedures apply to all Wage and Investment (W&I) Consolidated (Rampdown) campuses.
This manual provides instructions for:
Receiving mail
Extracting, sorting, and handling of mail
Date stamping of returns and documents where applicable
Overstamping of remittance where applicable
Disposition of returns and all other mail received
Preparation of Form 3210, Document Transmittal
Processing the receipt of payments
Processing cash
Researching payments
Preparing payment voucher
Classification of mail
Routing Source Document Folders
Shipping Refiles
Processing Outgoing Correspondence
Processing payments via Paper Check Conversion (PCC)
Processing payments via Remittance Strategy for Paper Check Conversion (RS-PCC)
The objectives of the mail operation are as follows:
Open and extract mail.
Expedite all remittances to Deposit.
Minimize time from receipt of mail through the sorting function to routing.
Identify and control all payments for shipping.
Expedite processing payments via RS-PCC and PCC.
Payments not processed through RS-PCC or PCC and related documents, such as tax returns, must be prepared for shipment to Submission Processing Campus by close of business on the date of receipt from the taxpayer, or as soon as possible the next business day.
For the processing of payments, mail, and adherence to internal control, you may need to reference other Internal Revenue Manuals (IRMs) or Documents such as:
IRM 1.14.5, Real Estate and Facilities Management - Occupational Safety and Health Program
IRM 1.22.3, Mail and Transportation Management - Addressing and Packaging
IRM 1.22.5, Mail and Transportation Management - Mail Operations
IRM 1.22.8, Mail and Transportation Management - Mailing and Shipping Equipment
IRM 3.5.61, Accounts Services - Files Management and Services
IRM 3.0.167, Losses & Shortages
IRM 3.8.44 , Campus Deposit Activity
IRM 3.8.45, Manual Deposit Process
IRM 3.8.46, Discovered Remittance
IRM 3.8.47, Manual Deposit Process for Field Offices
IRM 3.10.72, Receiving, Extracting, and Sorting
IRM 3.13.62, Media Transport and Control
IRM 3.17.278, Paper Check Conversion (PCC) System
IRM 3.30.123, Processing Timeliness: Cycles, Criteria, and Critical Dates
IRM 10.2.1, Physical Security
IRM 10.2.3, Safeguard Reviews
IRM 10.2.11, Basic Security Concepts
IRM 10.2.12, Security Guard and Explosive Detector Dog Services and Programs
IRM 10.2.13, Information Protection
IRM 10.2.14, Methods of Providing Protection
IRM 10.2.15, Minimum Protection Standards
IRM 10.4.1, Managers Security Handbook
IRM 10.5.4, Privacy and Information Protection - Incident Management Program
IRM 10.8.34, Information Technology (IT) Security - Integrated Data Retrieval System (IDRS) Security Handbook
IRM 25.6.1, Statute of Limitations Processes and Procedures
Document 6209, IRS Processing Codes and Information
Document 12990, Records and Information Management Record Control Schedules
IRM 11.3.1, Introduction to Disclosure, should be consulted when disclosure issues are in question.
Opening and routing mail is a disclosure of taxpayer data, but is permissible and necessary since that is a requirement to perform your job. However, discussing tax information about a specific taxpayer with others, who do not have a need to know, is a violation. If an employee becomes aware of any such disclosure, he or she should report that person to Treasury Inspector General for Tax Administration (TIGTA).
If IRS initiated correspondence is mailed back to the IRS with a note or any indication that someone other than the taxpayer opened this mail piece or there was another taxpayer's notice included in that envelope (i.e. had access to another taxpayer's return data, TIN, etc.). This is an inadvertent disclosure. Give it to your manager. The manager will report it using the following link: Erroneous Taxpayer Correspondence Reporting Form.
IRM 10.2.11, Basic Security Concepts, IRM 10.4.1, Managers Security Handbook, and IRM 10.2.1, Physical Security, are the prevailing manuals concerning security measures necessary for date stamps, payee name stamps (for negotiating checks), government check stamps, and other stamp devices. Each manual must be consulted to determine the level and type of security required. Give particular attention to the requirements to limit (one specific individual) and protect against unauthorized use of all stamp devices. Serial numbers, where available, must be associated with the specified user(s).
The following items are strictly prohibited from Campus Support. There are some exceptions if related to a medical condition or a religious practice:
Lunch bags/Lunch boxes
Sports bags
Bulky outerwear
Shopping bags
Shoulder totes
Fanny packs
CD or Tape cases
Newspapers, magazines, and
Similar type items
The use of the camera function, on a camera capable cell phone, is prohibited in the secure remittance processing area.
Employees can keep personal items at their desks, eat at their desks (if a past practice has been established), and transport small items not carried on their person in and out of the secured/restricted area of Campus Support, as long as such items are displayed in clear plastic bags.
Personally owned equipment must not be connected to IRS systems and networks directly or via Virtual Private Network (VPN). Additional information can be found in IRM 10.8.1, Information Technology (IT) Security, Policy and Guidance.
Managers in Campus Support areas must ensure visitors are only permitted to carry articles into the restricted area, which are necessary to conduct their business while working in the area. (i.e., portfolios, notepads, repair kits or manuals, binders, paper documentation, etc.). Inspections of these items are not necessary upon entering the area. However, visitors must be advised that a member of management will screen these items prior to exiting the restricted area to reduce opportunities of unauthorized disclosure, theft of taxpayer information, or theft of remittances. If the door monitor observes a visitor with an item that is prohibited from the restricted area, they must notify their manager. Managers must approach the visitor to discuss the policy of prohibited articles and determine whether the item is necessary for conducting business with the restricted area.
First line managers, or a designated representative, must conduct monthly random reviews of employees compliance with all security policies as they relate to personal belongings in the secured/restricted area of Campus Support. Each first line manager must maintain a Remittance Processing Security Review Log documenting the review. Management must maintain documentation that includes the date, unit number, employee name, description of items found, and reviewer's initials.
If there is a medical or religious exception to any of the items listed in (2) above, notate that in the "Comments" section (e.g. "allowed to wear hijab/burqa/kippah/yarmulke" , "needs medical supplies in ice pack bag" , etc.).
Managers must communicate security standards contained in IRM 10.2.11, Basic Security Concepts, and IRM 10.2.14, Methods of Providing Protection, to their employees at least once a year. All employees and managers of the IRS and Treasury are accountable for remittances under their control, including security.
Deposit manager must ensure adherence to all security standards and internal controls in IRMs; IRM 10.2.15, Minimum Protection Standards; IRM 10.2.11, Basic Security Concepts; IRM 10.2.3, Safeguard Reviews; IRM 10.2.14, Methods of Providing Protection; IRM 10.2.13, Information Protection; and this manual.
Adequate security equipment and facilities must be provided to safeguard money, securities, etc., handled in Campus Support. Managers must contact appropriate Agency Wide Shared Service (AWSS) Security Representative, or Campuses' Security Function for additional advice or assistance on security matters (refer to IRM 10.2.11, Basic Security Concepts). Money chests, vaults, or cabinets affording adequate security must be available in restricted areas of Campus Support. These containers must comply with requirements contained in IRM 10.2.14, Methods of Providing Protection.
Provide clerks with a separate lockable money bag, cash box, or compartment. Each container must be equipped to be opened only by a separate key or combination.
The clerk must lock the safe, vault, money chest, or other receptacle or facility provided therein to store funds or other valuables, including the door of the clerk's working area, whenever the working area is left unattended (refer to IRM 10.2.14, Methods of Providing Protection).
The combination and/or duplicate key to lock money chests, vaults, cabinets, moneybags, cash boxes, or compartments, in which funds are held, must be placed in a sealed envelope for use in the event of an emergency. The envelope containing a combination and/or duplicate key must be stored under the same protection required for containers. The procedures to follow are the same as Field Office Remittance Processing Area, refer to IRM 10.2.14, Methods of Providing Protection.
Change the combination or locks on all containers immediately when one of the following conditions exists.
Upon receipt of new lock
Whenever there is a change in clerk
When there is an unforeseen absence of the clerk
When the combination is compromised in some other way
In any event, change combinations at least once a year
If it becomes necessary to open a clerk's locked compartment in the absence of the clerk, two responsible employees must be selected to use duplicate key or combination. They must count the money and prepare a statement of the money and documents found. Both must sign and attach the statement to the receipt the clerk previously signed for the change fund. The monies and documents are then balanced.
Safeguard cash remittances at all times. Keep cash in a locked container or deposit bag to await deposit pick-up after clerk's balancing operation is completed. The key to that container is held by the clerk's immediate manager or other designated employee. Cash conversions to cashier's check or money order are permitted. Use this action in lieu of safeguarding instructions.
The Mail Team manager, or designated employee, must conduct periodic unannounced reviews of the items on the Cash Receipt Records and Deposit Tickets. Monthly is suggested, no less than quarterly is mandated. Record the findings when reviews are completed. Maintain the records of completed reviews for a year at minimum and include whether an in-depth review is necessary.
Only authorized employees may have access to cash vaults. Restrict all areas in which deposit operations take place in accordance with IRM 10.2.14, Methods of Providing Protection. Any person entering must be given appropriate clearance from a responsible official. Such clearance must be based on satisfactory identification of individual(s) and appropriate reason for entering.
Managers should report any employee or manager suspected of theft to the Treasury Inspector General for Tax Administration (TIGTA) Office of Investigations at 1-800-366-4484 immediately. Employees should also report any employee or manager suspected of theft to the Treasury Inspector General for Tax Administration (TIGTA) Office of Investigations.
Managers of areas receiving Discovered Remittances must perform monthly reviews of Discovered Remittance Logs, Form 4287, Record of Discovered Remittances, and take appropriate action to eliminate or reduce mishandling of receipts.
In general, managers are responsible for following IRM 10.8.1, Policy and Guidance, when using (IRS) computer systems as part of the Federal Information Security Management Act (FISMA). Special guidance for administering or using the Integrated Data Retrieval System (IDRS) is provided in IRM 10.8.34, Integrated Data Retrieval System (IDRS) Security Handbook, and IRM 10.8.1, Policy and Guidance.
IRS users and managers of the Paper Check Conversion (PCC) and/or Remittance Strategy for Paper Check Conversion (RS-PCC) system must view and/or print the U.S. Treasury Financial Management Service Paper Check Conversion Over the Counter Standard Operating Procedures by accessing the PCC web site Paper Check Conversion.
Use of the Automated Command Code Access Control System is required to ensure Form 809 book users and employees processing payments through RS-PCC IDRS profiles are restricted. Manager must activate or simultaneously contact the IDRS Unit Security Representative to activate command code RSTRK (Restrict) with Definer R. The command codes listed in Exhibit 9 of IRM 10.8.34, Integrated Data Retrieval System (IDRS) Security Handbook, are restricted from the IDRS user profile. When reviewing Monthly IDRS Security Profile reports, the IDRS Online Reports Services (IORS) Primary Report Reviewer, Unit Security Representatives (USR), and/or the Front/First Line Manager must validate that all users who meet the criteria for a restricted profile have the appropriate restriction(s) placed against their profile; See IRM 10.8.34.6.188.8.131.52, Automated Command Code Access Control, for additional information on command codes restriction.
The Service requires internal control of tax receipts to ensure security during transit. Campus Support transships remittances thru common carrier for processing. All senders of payments are required to use overnight traceable method to transship payments. The use of a completed transmittal, such as Form 3210, Document Transmittal, listing package contents, is required. The name of the sender, return address (with stop number), and telephone number is required on all transmittals. The sender, who is accountable until the funds are received at the destination, must establish a control to ensure delivery of payments and follow up. The control must include amounts of taxpayer payment and the last four digits of Taxpayer Identification Number (TIN) correlated to the package tracer information. For example, if the transit provider informs IRS that package number 12345-67-89 was destroyed; a control is needed that enables proper identification of impacted taxpayer(s) so that relief can be granted. The sender must follow-up within 2 business days to ensure delivery of the remittance package. Access the carrier's website, i.e., United Parcel Service or United States Postal Service and trace the package. Follow up with the destination contact within 10 working days if necessary. Immediately report all lost remittance packages to the Treasury Inspector General for Tax Administration (TIGTA) Office of Investigations at 1-800-366-4484. Lost or stolen remittances must also be reported to the campus remittance security coordinator. Lost personally identifiable information (PII) must also be reported to the Computer Security Incident Response Center (CSIRC) at 1-866-216-4809.
All Service employees must take care to protect personally identifiable information (PII). Any loss of PII could result in information being compromised to perpetuate identity theft. Personally identifiable information (PII) information must be encrypted on computers, e-mail. Sanitize taxpayer PII or use secure messaging. If you suspect or know of a potential information loss, report it to your manager, the Treasury Office of Investigations (TIGTA) at 1-800-366-4484, and the Computer Security Incident Response Center (CSIRC) at 1-866-216-4809.
System security shall be maintained through the following steps:
Follow system shutdown procedures in the Operator's Handbook when terminating mail-processing operations.
Maintain Server Computer Modems in an off status during normal conditions to prevent unauthorized access to the computers. These modems are for system diagnosis and repair only.
If you have any questions about the operation of the machine, ask the Contractor assigned to the Campus.
Managers of Remittance Processing Operations have specific responsibilities relating to the security, internal control, issuance, and disposition of Forms 809, in addition to the care that must be given any remittance handling. Forms 809 must be handled with the same care and precision as cash. The following procedures are required when handling Forms 809:
Forms 809 are pre-numbered with letter prefixes and issued in numeric sequence. Each series of letter prefixes must be completely exhausted before a new letter prefix is used.
Assignment of Forms 809 must be authorized in writing prior to issuance of a Form 809 book. Keep authorizations in the front of the Form 809, part 3 audit file. Retain authorizations on file as basis for subsequent book assignments as necessary for respective employees.
Individuals, who are authorized to issue Form 809 receipts, cannot be responsible for inventory control of unissued Forms 809 or for reviewing the completed receipts. Separation of these duties is required for strict internal control.
Individuals assigned Form 809 books must not share the book with others. Once a book is assigned, it is for the exclusive use of the employee to whom assigned. Form 809 books are non transferable.
Each assigned individual's Form 809 book must be stored in a separate locked security container, then stored in a locked container. Refer to IRM 10.4.1.5.1 (3), Managers Security Handbook.
Official receipts must not be used for training purposes.
Photocopies of sanitized receipts without serial numbers may be used for training.
To void a receipt, when necessary write "VOID" across the face of all copies. Enter reason for voiding on back of Copy 1. Route Forms 809 to Balancing for accountability and filing.
Periodic reviews of individually assigned Form 809 books must be conducted.
At least once a year, an annual reconciliation must be conducted to ensure all receipts are accounted for.
Managers must ensure only appropriate employees have Form 809 books and employees with Form 809 books have only research command codes in their Integrated Data Retrieval System (IDRS) profiles.
Use of the Automated Command Code Access Control System is required to ensure Form 809 book users IDRS profiles are restricted. When managers authorize an employee to have a Form 809 book, they must activate or simultaneously contact the IDRS Unit Security Representative to activate command code RSTRK (Restrict) with Definer R (Form 809 book users).
A command code is considered "sensitive" if it can be used to adjust account balances, change the status of a tax module or account, or affect the tax liability. Sensitive command code combinations are listed in Exhibit 5 of IRM 10.8.34, Integrated Data Retrieval System (IDRS) Security Handbook and sensitive command codes are listed in Exhibit 4 of IRM 10.8.34, Integrated Data Retrieval System (IDRS) Security Handbook.
Use of the Automated Command Code Access Control System is required to ensure Form 809 book users IDRS profiles are restricted. Manager must activate or simultaneously contact the IDRS Unit Security Representative to activate command code RSTRK (Restrict) with Definer R. The command codes listed in Exhibit 9 of IRM 10.8.34, Integrated Data Retrieval System (IDRS) Security Handbook, are restricted from the IDRS user profile. See IRM 10.8.34.6.126.96.36.199, Automated Command Code Access Control, for additional information on command codes restriction.
Managers must ensure employees with responsibility for issuing tax receipts to taxpayers are not assigned to control the Form 809 inventory or to review completed Forms 809.
Mail is received via the United States Postal Service (USPS) and from Agency-Wide Shared Services (AWSS) personnel.
Mail delivery truck follows campus security guidelines for admittance.
Security Guard opens the loading dock door and meets the delivery truck.
Security Dog explores the truck, per security guidelines. If the Security Dog identifies suspicious package, follow Hazardous Material (HAZMAT) Procedures.
This applies only to campuses with a Security Dog.
An IRS employee must be present when incoming or outgoing mail is in the unrestricted loading dock area.
USPS employees unload the truck.
Mail is placed in cages.
Security Guard ensures the loading dock door is closed.
All mail received in Mail Sorting area requires the received date on the postal container.
Mail forwarded to the sorting area must be controlled using the following procedures:
Attach a control slip to each postal container indicating received date to the campus. The control slip can be a piece of paper, a Campus form, or a Form 3210, Document Transmittal.
Ensure that this control slip containing the received date is retained with the batch of mail when forwarded to the Extraction area.
Mail must be opened in a controlled and restricted area.
Mail cages are delivered to mail team personnel for opening using Service Center Automated Mail Processing System (SCAMPS), slicers, or alternative automated mail opening equipment.
Specific United States Postal Service (USPS) Office normally delivers Post Office Box mail to the IRS in designated trays. Open this mail and rubber band together in bundles and place a tag on the bundle with the PO Box number, current date, and the volume. Place the bundle on the mail rack, log in the finished count for the daily report, and then send it to the Extracting area.
Large mail envelopes and boxes are sorted out. Hand slicers manually slice the mail that cannot be opened by machines. The envelopes received via flats and fats must be sliced on three sides or turned inside out to ensure removal of contents. If suspicious, follow emergency procedures.
All other mail is processed through mail opening equipment.
Mail must be extracted in a controlled and restricted environment.
The individual campus determines the presence of statute. Forward all statute delinquent returns with potential Assessment Statute Expiration Date (ASED) to the Statute function for clearance prior to transshipment. For additional information, see IRM 25.6.1, Statute of Limitations Processes and Procedures.
All "Imminent Statute" returns must be sorted and "hand-carried" to the Statute Unit. Any return with a received date that is 2 years and 9 months or more after the return due date is a potential statute return.
Do not route returns to Statute Control Unit if any of the following conditions are present:
Notated "Statute Cleared" in the margin
Marked "6020 (b)" "Secured by Exam/Collection" , "Secured by TE/GE" , "Secured by TE/GE EP Exam" , or "Process as Original"
Notated on the face of the return "TC 59X" or "ICS"
Prepared by Examination ("SFR" marked in top margin)
Returns received with IDRS letter 2566 (SC/CG), 3219 (SC/CG), pink Form 3531, Request for Missing Information or Papers to Complete Return, attached or "ASFR" notated in top margin - Automated Substitute for Return (ASFR) cases.
Process as Original and TC 59X
If there is no "TC 59X" edited on the return, but the literal "Process as Original" is edited, route to Statute if it meets Statute criteria.
The individual campus determines what types of mail, i.e., Directors, Treasury Inspector General for Tax Administration (TIGTA), etc., that cannot be opened by Campus Support. Those functions must extract their own mail within the confines of the mail room. All remittances including cash found in these envelopes directed to IRS or misdirected mail must be sent directly from Extraction to the Deposit Function.
All envelopes, even ones marked "Sensitive Mail" , "Confidential Mail - Open by Addressee Only" must be opened in the controlled and restricted area of Campus Support, since they can possibly contain remittance. If your site has local agreements with off-site functions to deliver their mail unopened, then follow the "Exception List" . See IRM 188.8.131.52.3.1 Administrative Mail Rooms, for additional details about an "Exception List" .
If a package addressed to a specific function or person contains a Form 3210, Document Transmittal, the individual or designee for the function should sign their Form 3210 and keep the copies. Forward these packages with Form 3210 to the individual or specific function.
Mail is extracted and date stamped. See IRM 220.127.116.11, IRS Received Date, for date stamping. The IRS Received Date stamp must only be stamped on the face of the document in an area that does not cover taxpayer information or the 2-D Bar code on the notices.
To protect taxpayer's identity information the Office of Privacy, Governmental Liaison and Disclosure (PGLD) has initiated a project to replace the printed SSN on selected taxpayer notices with a 2-D Barcode. This effort will eliminate or reduce the full display of taxpayer Social Security numbers on these notices.
Mail is sorted in the following priority order:
Statute returns with or without payments
Centralized Offer in Compromise (COIC) with and without payments
Centralized Insolvency with and without payments
Balance Due notices with payments
CP 2000 with payments
Returns with payments
Returns without payments
ASFR returns and correspondence
Claims, Letter 854C responses, Form 843, Claim For Refund and Request for Abatement
CP 2000 without payments
No Balance Due Notices
Loose Schedules
IDRS Letters
All other mail
Although certain sorts are mandatory per this IRM, it is the prerogative of any campus to add additional sorts either by enhancing a required sort or by introducing a new sort.
The Administrative Mail Rooms are "mini" Post Offices for the entire campus for some Incoming and Outgoing Mail. The SCAMPS or mail rooms area should route all Administrative type mail (if it can be identified) to the Administrative Mail Room and by-pass Extraction. SCAMPS or mail rooms area can route it directly to the Administrative Mail Room for the functional area to pickup. Then, the person from the function/area can extract their mail in the ventilated area before transporting to their own area. Never allow anyone to take mail out of the ventilated area that has not been extracted from the envelope to avoid risk of contamination. Do not allow anyone to take remits out of the secure area, even if they are taking them to a Deposit area.
Some common examples of Administrative Incoming Mail include, but are not limited to the following:
IRS to IRS Mail – Addressed to a specific person or functional area, route to the Administrative if the function is on the "Exception" list, or if the package is not tax related information to be processed. Administrative Mail Room personnel should phone the individual to arrange pick up.
If the Return Address on the envelope is from another IRS office and is not addressed to one of the "Exception" Mail Stops, it will be extracted to ensure it does not include tax returns or remits. If contents are not tax related or should not be sorted for processing, route to Admin Mail Room for disposition. For example, if an Exam function routes cases to Centralized Case Processing ( CCP) in a campus, do not extract all of the case files from the package. Date stamp the enclosed Form 3210 and follow your local procedure by routing directly to Exam, or call the Exam contact for pick-up.
Office Supplies, Computer Software/Hardware - These boxes will be sliced in the SCAMPS or mail area and delivered to the Admin Mail room for the recipient to extract and verify the contents in the ventilated area. Some examples are computer equipment for MITS, supplies delivered by Office Max (or another vendor), etc.
"Exception List" - All sites have agreements with some functions that choose to extract and date stamp their own mail in the Administrative Mailroom, or designated area within the ventilated area. Follow your local procedures for any approved function on the "Exception List" and route their mail to the Administrative Mailroom.
If a package addressed to a specific function or person contains a Form 3210, Document Transmittal, the individual or designee for the function should sign their Form 3210 and keep the copies. Forward these packages with Form 3210 to the individual or specific function.
There is also an Outgoing Mail function necessary to service employees in the Campus. They accept:
Mail to be metered on the Paragon or Neopost machine
Outgoing Certified Mail (prepared by the function/area)
Small packages, flat envelopes, and boxes that require UPS Ground, Next Day, or 2nd Day Air delivery services.
A Form 9814, Request for Mail/Shipping Service must be accurately completed and submitted with the mail piece by the Sender. Mailroom staff may reject the mail piece if the Form 9814 is not submitted or accurately completed, does not provide justification for Air Delivery Service and/or does not contain an authorization name and signature. The Form 9814 shall be archived in the Campus mailrooms for one year, per Document 12829, General Records Schedules.
Acknowledgement letters to be mailed back to the filer in their own self-addressed, stamped envelope. IRS does not have to pay postage to acknowledge receipt of mail when requested and no stamped, self-addressed envelope is provided by the filer. Taxpayers can use Return Receipt mail service to ensure their package is delivered to a site.
Original Identification (ID) not needed for processing (i.e., Driver's license, picture ID, etc.)
All mail accepted as Outgoing should contain the complete Name, Street Address, City, State Code, and Zip in the format acceptable for the United States Postal Service (USPS) or United Parcel Service (UPS). If it is going to another IRS office, be sure it includes a Stop #. If mail is submitted with a P.O. Box and the request is for Overnight or 2-Day, request a street address. United Parcel Service (UPS) is the contract carrier for IRS Private Delivery Service (PDS) packages. Private Delivery Service (PDS) will not accept mail addressed to a P.O. box. Use all available resources such as Outlook, Discovery Directory, and SERP (Who/Where tab) to obtain a street address and mail stop number for all outgoing mail to other IRS sites. See Exhibit 21.1.7-1, Campus Addresses, for Campus Addresses.
In addition to the normal instructions for extracting envelope contents, the following additional instructions apply if the envelope and contents are classified as undeliverable mail.
If the undeliverable mail piece is any one of the following, destroy the undeliverable mail as classified waste:
Form 1099
Form 1099-C, Form 1099-MISC, and Form 1099-INT issued by Submission Processing Accounting. If you receive these forms, route to the Submission Processing Accounting address shown on the return address.
Letter 3967C
If CP 504CP 523, CP 604, CP 623, are received as undeliverable with "Unclaimed" or "Refused" notated on the envelope, do not route to Collections. Destroy the notices in Campus Support.
If there is an United States Postal Service (USPS) sticker, address change or handwritten address change on the envelope, route to Collection. If there is any type of Protest statement written on or attached to the envelope that was refused do not destroy, route to Collections. Collection will determine if the response is Frivolous.
Staple the envelope to the front of the unfolded contents for any item not covered in (2) or (3) above.
Return Undeliverable, certified/return receipt requested mail to the Campus function that requested it. (DO NOT DETACH USPS FORM 3811, Domestic Return Receipt, from the mail piece.) Follow the table below:
ITEM DESTINATION Correspondence Originator
For additional information see Exhibit 21.1.7-15, Correspondex "C" Letters - Routing Guide.
Items with address correction Originator Computer Paragraphs See Exhibit in IRM 3.13.62-55. If the column titled "Routing Action" in Exhibit 3.13.62-55, is blank, route the mail back to the originating function. Form 809, Receipt for Payment of Taxes Originator Loose Schedule 1 (Form 2290) Accounts Management Branch Special Tax Stamps Entity Control Tax Practitioner Items Appropriate Function
Sort all undeliverable mail, other than notices, by name or employee number of originator and forward to respective areas.
If undeliverable mail is not to be destroyed, it must always be date stamped in a conspicuous place.
Campus Support transships all undeliverable mail receipts designated for Files to the appropriate Submission Processing Files. See Exhibit 21.1.7-3, Campus Files Address.
OIC is centralized at the Brookhaven and Memphis Compliance Campuses. Taxpayers are instructed to mail their offer to Brookhaven or Memphis. When an OIC Fee payment is received, the payment is sorted into two categories:
Other than $150.00
Campus Support must release all OIC mail to the Centralized Offer in Compromise (COIC) employee co-located in Campus Support.
When an Offer in Compromise payment is received in another Campus Support site, route per IRM 188.8.131.52.3, Processing Centralized Offer in Compromise (COIC) Payments.
Insolvency payments or Bankruptcy Trustee checks are mailed to the Philadelphia Campus Support for processing. Campus Support takes the following action on Centralized Insolvency Operation (CIO) mail:
Retrieves mail from Insolvency PO Box and the Campus street address
Extracts mail from the envelopes
Attaches envelope and any enclosures to the check
Stamps the envelope with the IRS received date
Gives the checks to CIO employees co-located in Campus Support
Envelopes must be opened and contents removed. This includes envelopes attached to packages or wrapping paper. If contents are torn or were sliced in opening, repairs must be made immediately in a manner that allows proper processing.
Emptied envelopes must be candled to ensure that all contents were removed. Refer to IRM 220.127.116.11.10, Candling Procedures.
Extracted envelopes must be placed in a container which bears the extracting employee's name, Standard Employee Identifier Number (SEID), or Employee's Number and date.
Refer to IRM 18.104.22.168.10, Candling Procedures, for Final Candling instructions on how envelopes should be sliced or opened to ensure all contents are extracted.
The mail must be sorted into "remittance" and "non-remittance" into the following categories:
Centralized Insolvency Operation (COIC)
Offer in Compromise (CIO)
If a return is disassembled when extracting contents, assemble correctly and staple in top left corner of return (e.g., return is paper clipped or "loose" pages). Form 1040 series returns, ensure the Form W-2, Wage and Tax Statement, is stapled to left middle of return. Refer to IRM 220.127.116.11.1, Extraction of Envelope Contents with Remittance, for procedures on attaching envelopes. Be aware of remittances being placed in unsuspected places.
When an IRS letter/CP notice is received with a return, place the letter/notice on top and route accordingly.
If a CP 11, CP 12, Letter 3064C or Letter 4676C, is attached to a Form 1040X, move the Form 1040X to the front and route to Submission Processing. If a CP 211 is attached to an EO return (Form 990 series), move the notice to the back and route to Submission Processing for processing.
When an IRS Letter/CP notice stub is received with a Form 433 series or Form 9465, route according to the form. Route the package to CSCO or ACS.
Taxpayers and Tax Preparers sometimes request the IRS to acknowledge receipt of data.
Verify any group of returns or documents received before acknowledging receipt. Also, acknowledge copies of returns attached, which implies that they are requesting acknowledgement of receipt, if the taxpayer provides a stamped, self-addressed envelope.
Stamp the document "Received by Campus, date, city, and state" . If acknowledgement is discovered after Extraction and there is no date stamp or envelope with Postmark date, simply leave the date blank. Do not stamp duplicate copies of acknowledgment letters, only the first one.
Ignore the request if a stamped, self-addressed envelope is not enclosed. Move the request to the back of the return or correspondence.
Continue processing the original form(s) or correspondence.
Place the acknowledgement copy inside the envelope, seal it, and put it in the USPS basket.
Form 8038 series returns are sometimes filed in large quantities in one envelope and an acknowledgement is requested. Do not bother date stamping and returning the request. A CP 152 is generated to the filer when the return posts. If a stamped, self-addressed envelope is attached, leave it. If more than $3.00 postage is on the envelope, "X" the stamps; you do not have to write it up as Discovered Remit.
Destroy any duplicate copy.
Extreme care must be taken to ensure that only the material relative to the taxpayer(s) to which the correspondence is addressed is enclosed in the envelope (see IRM 126.96.36.199.26, Breaches of Personally Identifiable Information (PII) Caused by Manual Stuffing Errors).
When a return is received with a credit card, take the credit card to the unit manager immediately. The manager records the last four digits of the credit card number, expiration date, the taxpayer's name, and last four digits of the Social Security Number (SSN), just as is done when cash is received with a return. The manager edits an Action Code 460 on the return and the return is processed using normal extracting function procedures. The credit cards are hand-carried to Payment Function.
An Action Code 460 is edited on the return prior to transshipping the return for processing. The Action Code 460 suspends the return to Rejects for 25 days. An Action Code is entered in "RED" ink in the bottom, center margin on the front page.
Send the credit card back to the taxpayer, via certified mail, along with a letter advising the taxpayer that the IRS does not have the capability to process credit card payment transactions when the credit card or credit card information is sent in with the return.
Extreme care must be taken to ensure that only the material relative to the taxpayer(s) to which the correspondence is addressed is enclosed in the envelope (see IRM 126.96.36.199.26, Breaches of Personally Identifiable Information (PII) Caused by Manual Stuffing Errors).
Expedite all statute delinquent returns with potential ASED to the Statute function for clearance. See IRM 184.108.40.206.3.(2) and (3), Mail Extracting and Processing General, and IRM 18.104.22.168, Original Delinquent Returns, for additional information.
Any return or document received with a check or money order is classified as "With Remittance" .
Types of possible remittances the IRS campus may receive for processing can include any of the following:
Personal Check
Money Order
Cashier's Check
Cash or Gold Coins (U.S. Currency Only)
Call out "Cash" (or follow local procedure).
Business Check
Certified Check
Voucher Check
Treasury Check
Draft/Postcard Type Check
Travelers Cheques
Route all Refund Anticipation Loan/Checks (commonly known as "RAL" checks - ones made payable to an individual from a Financial Institution) to your Lead. The Lead will walk them to Deposit for disposition, since there are a variety of issues. Do not overstamp the checks.
As soon as returned government Refund checks are extracted, these checks will be made payable to an Individual or a Business, Extraction personnel must stamp each check with "Unless for Credit to the United States Treasury this Instrument is Non-Negotiable" . This stamp must not obscure any printing on the face of the check. The check must be stamped underneath the "Pay to the order of" . Do not over stamp the returned government refund check if the word "VOID" is written on either the front or back of the check.
Process the valid government checks for payment of taxes through normal processing. Do not stamp the valid government checks with the "Unless for Credit to the United States Treasury this Instrument is Non-Negotiable" stamp.
If ... Then Extraction will... Treasury IRS Refund Check is made out to an Individual and is returned as Undeliverable and no indication of ID Theft or Fraud Route to Refund Inquiry.
AM TAP has a new name, Integrity & Verification Operation (IVO), therefore all references to AM TAP have been revised in the IRM. "External Leads" refers to a specific IVO program worked in Fresno.
Treasury IRS Refund checks are returned as Undeliverable and you self-identify that there is the Same Address (different names) on multiple checks indicating possible fraud Route to Fresno RICS IVO External Leads Stop M2004. Personal Check is written because a Refund Check was cashed and the TP thinks they received the check due to ID Theft, or the TP is unsure why they got the check, but does not mention ID Theft Route to Fresno RICS IVO External Leads Stop M2004. A Check is received from one Financial Institution and made payable to another Financial Institution (e.g. Citibank to Green Dot) Route to Fresno RICS IVO External Leads Stop M2004.
On the Form 3210, enter complete names of Payor and Payee.
Treasury check is returned and ID Theft is NOT indicated, but appears to be Fraud related (e.g., Multiple checks with different names have been mailed to the same address. Explanation is something like, "I do not know these people, but these checks were mailed to my house" ) Route to Fresno RICS IVO External Leads Stop M2004. Treasury check is returned and note is attached indicating ID Theft (e.g.," I got this refund check made payable to me, but I have not even filed my tax return this year. I don't know why I got this check" .) Route to Fresno RICS IVO External Leads Stop M2004. Check is attached to Letter 4115C, or Letter 4464C, or Letter 4883C Route to Fresno RICS IVO External Leads Stop M2004.
Set up a baskets in Extraction area for the Extractor to place checks (including attached correspondence) that are to be routed to Fresno IVO.
All Treasury checks must be stamped with your "Non-Negotiable" stamp before they are placed in the basket. Unless the checks are marked void on the front or back of the checks. All 3rd Party or Personal Checks should be overstamped United States Treasury, if needed.
Prepare a Form 3210, Document Transmittal. Enclose the checks (including correspondence, if any) inside a "To be opened by addressee only" envelope and write "IVO Stop M2004" if routing to Fresno. Route the envelope to the Shipping area with a Form 9814 and check "UPS Ground" . These do not have to be mailed Overnight and Shipping can include the envelope with other receipts that are transshipped to those sites.
Maintain a separate file of these Form 3210 and attach the Acknowledgement copy to your copy. Follow-up after 5 days, if no Acknowledgement copy is received. You may provide a fax number to the IVO function to fax the Acknowledgement copy back to you, in lieu of mailing.
If a mixture of items are mailed to you by Homeland Security, the USPS, or some other branch of law enforcement, sort the items and mail to the appropriate IVO site, either Fresno or Austin. If any debit cards are included, always mail the package to Fresno IVO External Leads.
If the USPS Inspector sends a letter stating that a CI Agent took care of the Treasury checks and they are returning the mail pieces, route them to Austin IVO at Stop 6572. Keep the USPS letter with the submission.
All payee lines must be overstamped "United States Treasury" at the point of extraction. See IRM 126.96.36.199.12, Overstamping.
See IRM 18.104.22.168.2, Received Date Stamping Requirements, for date stamping of multiple returns and documents received in one envelope. Below are procedures for assembling and routing multiple documents or checks:
If ... Then ... "One remittance" is received with more than one return Assemble the multiple returns to the back of the first in a staggered format. "More than one remittance" is received with only one return or document Stagger the checks.
Sort as a perfect payment; a notice(s) or check that contains a legible taxpayer name, TIN, one Master File Transaction (MFT) code, one or more tax periods, one remittance and as applicable: report number, designated payment code, and secondary transaction code.
A remittance received alone in an envelope addressed to the IRS, no matter the condition (endorsed or not or made out to appropriate payee or not), must be date stamped on the envelope or check stub. Do not stamp over pertinent taxpayer information. Below are procedures for sorting checks as perfect or imperfect:
If ... Then ... The check contains a name, one TIN, one form type, and one or more tax periods, Sort as "perfect" . Name, TIN, form type, or tax period is missing, or more than one TIN is shown, Sort as imperfect.
Double check balance due returns or notices for the presence of a remittance.
All types of remittance are picked up and taken to the Payment preparation area.
See IRM 188.8.131.52.13, Processing Cash and Handling of Currency and Items of Value, for processing any return, document, or misdirected mail to IRS with an item of value other than a check or money order.
See IRM 188.8.131.52.1.1, Large Dollars Remits, for procedures when remittance of at least $50,000 or more is discovered.
When a remittance of one million dollars or more is discovered, the discoverer must immediately carry it to their Manager with the return or document. The Manager must immediately carry the remittance with the return or document to the Deposit Manager. The check must be handled expeditiously through Remittance Strategy - Paper Check Conversion (RS-PCC). If the check cannot be processed through RS-PCC, the manager immediately carries it to the Form 3210 preparation area for shipment to Submission Processing Deposit site.
When a remittance of at least $50,000 but less than one million dollars is discovered, it must be batched and kept separate from regular remittance. It must be placed on the top of the work pile and flagged as large dollar. Each remittance of $50,000.00 or more must be processed by itself in a separate batch through RS-PCC.
For remittances and documents (Subpoenas or other court requests for IRS documents or testimony) received pertaining to the Freedom of Information Act, Right of Privacy, forward with Form 3210, Document Transmittal, to the following Disclosure Office address:
Internal Revenue Service
Disclosure Scanning Operation
2980 Brandywine Road
Suite 209
Chamblee, Georgia 30341
The United States Postal Service sorts and delivers mail by PO Box number. Extractors must maintain PO Box integrity.
Mail received without a PO Box is sorted during extracting.
Mail which cannot be identified by extractors is forwarded to the Mail Classification area.
The Rampdown sites should route Forms 1040X, Amended Returns, without correspondences/notices to Submission Processing for processing. Andover, Brookhaven, and Memphis route Forms 1040X to Fresno. Atlanta and Philadelphia route to Kansas City. The Forms 1040X are routed to Submission Processing with the exception of the following and route these Form 1040X to Correspondence Imaging System (ICT):
Foreign addresses (other than APO and FPO addresses)
Part II box checked indicating Net Loss Carryback
Potential statute
Correspondence attached to a Form 1040X refers to a written inquiry or information submitted by the taxpayer with the Form 1040X. It does not include documentation to support the changes reflected on the Form 1040X. For example, settlement statements and similar documentation required for the First-Time Homebuyer Credit are not considered correspondence. These types of cases should be routed to the appropriate Submission Processing site.
If CP 11 or CP 12, Letter 3064C, or Letter 4676C are received with Form 1040X, attach the CP or letter to the back of the Form 1040X and route to Submission Processing. Only route CP 11CP 12, Letter 3064C, or Letter 4676C withForm 1040X to Submission Processing.
These procedures are only for Forms 1040X received in Campus Support. If Forms 1040X are scanned into Correspondence Imaging System (CIS), do not route to Submission Processing.
If Campus Support receives any response to CP 08, CP 09, CP 27, route the responses to Submission Processing. Andover, Brookhaven and Memphis route the responses to Fresno. Atlanta and Philadelphia route the responses to Kansas City.
If an IRS letter is attached to CP 08, 09, or 27, route to the correct area per the IDRS number on the letter. For additional information see Exhibit 21.1.7-10, Master File Letters Processing Table.
The above procedures are only for CP 08, CP 09, and CP 27 received in Campus Support. If these notices are scanned into CIS, do not route to Submission processing
Form 1127-A, Application for Extension of Time for Payment of Income Tax for 2011 Due to Undue Hardship, was due on or before April 17, 2012. These forms must be routed to Fresno or Brookhaven Compliance Services Collection Operations (CSCO), based on the state routing chart below. If it is received alone, or attached to a Form 1040 series return or a Form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return, detach it, always date stamp, attach envelope, and route to the appropriate CSCO function for approval. Complete Form 3210, Document Transmittal, and follow appropriate PII Shipping Guidelines when transshipping to another site.
If the filer lives in ... Then mail Form 1127-A to... Alabama, Alaska, Arizona, Arkansas, Colorado, Connecticut, Delaware, District of Columbia, Hawaii, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Dakota, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming including foreign and APO/FPO addresses. Brookhaven (Holtsville, NY 11742-0480) Stop 662-X California, Florida, Georgia, Illinois, Michigan, North Carolina, Ohio, Texas FSPC (Fresno, CA 93779-4035) Stop 81208
Form 1040 series returns with the following characteristics should be sorted and routed to the ASFR Function. They are routed/transshipped to the correct site where the "ASFR" functions are located. The characteristics are:
Form 3531 (PINK, not green) attached, or
Letter 2566 (SC/CG) or Letter 3219 (SC/CG) attached, or
"ASFR" is stamped or edited in the top margin.
Any "loose" tax return (i.e., no form or notice attached) addressed to either the ASFR Mail Stop or P.O. Box in Brookhaven
Do not route any "ASFR" returns to Statute.
Use the following chart to route to the appropriate ASFR function. Prepare a Form 3210 when transshipping outside of your campus and address it to ASFR/CSCO and correct Mail Stop number.
If "ASFR" Return is received in: Route to "ASFR" in: Andover Fresno, Stop # 81304 Atlanta Brookhaven, Stop # 654 Brookhaven Brookhaven, Stop # 654 Memphis Brookhaven Stop # 654 Philadelphia Brookhaven Stop # 654
Do not route any "ASFR" returns to Statute.
If the Form 3115 is attached to a return, do not detach. Route the return for processing.
When received "loose" , this form is not to be processed, nor payment deposited. Keep the envelope and staple to the back of the form, prior to routing to the correct address/Mail Stop, as identified below.
If a remit is attached to the Form 3115, leave it attached to the Form. It is not to be deposited by the Campus.
Use the following chart to determine where to mail the Form 3115 (and payment, if attached). Look at the check boxes for "type of applicant" , located below the Entity section to determine the type.
If the Type of Applicant box is checked for: And Remit is Attached: And No Remit is Attached: Exempt Organization Internal Revenue Service
Tax Exempt/Government Entities
550 Main St. RM 4024
Cincinnati, OH 45201
Internal Revenue Service
Tax Exempt/Government Entities
550 Main St. RM 4024
Cincinnati, OH 45201
Other than Exempt Organization Internal Revenue Service
Attn: CC:PA:LPD:DRU Room 5336
1111 Constitution Ave., NW
Washington, DC 20224
Internal Revenue Service
Attn: CC:ITA
Room 4516
1111 Constitution Ave., NW
Washington, DC 20224
The addresses shown above may differ from the ones listed in the Form 3115 Instructions, but use the ones listed above.
Employers are no longer required to submit "questionable" Form W-4 unless the IRS requests them in writing.
If any Form W-4 is received, use the following table to determine disposition:
If: And: Then: Form W-4 is attached to Form 3210, Document Transmittal Tax return is not present Destroy as classified waste. Form W-4 is attached to a tax return Move the Form W-4 to the back and route the tax return. Form W-4 (loose) No Form 3210 or tax return is present Destroy as classified waste. Form W-4 with correspondence Correspondence is addressing information on the Form W-4 Destroy as classified waste, ONLY if no question and TP is not expecting a response (i.e., FYI only). Form W-4 with correspondence Correspondence is requesting an action Route to Accounts Management.
Mail is sorted using local stop numbers and cross referenced to:
IDRS Number
Local notice routing list
Master File (Individual Master File (IMF), Business Master File (BMF), etc.)
Stop Number
Local Sort
Route mail, per SERP Web Site under Local/Sites/Other at Mail Routing Guides, and under Who/Where at Campus Program Locator Guide.
Additional routing information is available in Exhibit 21.1.7-15, Correspondex "C" Letters - Routing Guide, Exhibit 21.1.7-16, Computer Paragraph (CP) Notices - Routing Guide, Exhibit 21.1.7-17, Forms - Routing Guide, and Exhibit 21.1.7-18, Miscellaneous Documents/Forms/Correspondence - Routing Guide.
If Accounts Management work, route to your local Image Control Team (ICT) to be scanned. Correspondence Imaging System (CIS) will route the work electronically to the correct site.
Form SS-4, Application for Employers Identification Number must be mailed to Cincinnati Accounts Management EIN Stop 532G.
Candling is a term used for passing the envelope over the light on an Extracting table or Final Candling table. Initial Candling is the process of looking for documents and/or remittance left inside envelopes after extraction, but prior to dropping in the bag/container. Final Candling is the process of looking for documents and/or remittance left inside envelopes after Initial Candling. Most sites use the large Final Candling tables in a separate area within the Restricted Area to perform this procedure. All employees must fully understand the difference between Initial and Final Candling and be able to provide a description, if requested on a review.
Initial and Final Candling must take place within the Restricted Area. Various factors determine the proper method for Initial Candling (Extracting). It is determined by the following characteristics of various envelopes:
Opaque vs. "see-through"
Padded "with fuzz" or "plastic bubble material"
Cardboard (Overnight envelope or Private Delivery Service envelope)
Combination Paper/Plastic material designed not to tear, puncture, or rip
If the envelope is to remain attached to the document, it must be passed over the light or sliced on three sides, unless it's the fuzzy padded or the slick combination paper/plastic. An easy way to remember is: If it is not going to Final Candling (i.e. you're not dropping in your bag), you must pass over the light or slice on three sides.
The light must stay on during initial and final candling unless a site elects to slice all envelopes on three sides. if a site elects to slice on three sides, it is not required to use the light on the Tingle table and the Extractor can turn the light off.
SCAMPS define Flats/Fats based on the size or thickness of the envelope and the capability of the machine to sort and slice it. However, for extraction of the contents and candling purposes, we will follow guidelines based on whether "see-through" , the Extractor's ability to easily cut/slice the envelope easily and quickly, or if the fabric content of the envelope is designed for contents to slide out (which are usually the ones with more plastic content than paper). Always remember ensuring no content left in the envelope is the purpose of Candling.
For the normal letter size envelopes or what is referred to as "see-through envelopes", slice on one side, extract contents, and run the envelope across the light on the Extraction table to check for any remaining contents before dropping into container.
If a campus has to use 6 ft. tables (or desks without lights) during peak season to Extract, the envelopes must be sliced on three sides.
Slice the following types of envelopes on three sides:
Padded with plastic bubble material
Cardboard (Overnight envelope)
Opaque ("non see-through" ), any size
Thin plastic that will slice using your slicers
Combination paper/plastic and "fuzzy" padded envelopes
You do not have to slice the combination "paper/plastic envelopes" (usually white with windows and green diamond shape marks). Open the end, extract contents, and manually search the inside for any remaining contents before dropping in your Extractor's bag. Any type of envelope specifically designed not to cut or tear easily does not require slicing on three sides. Generally, the material content is "slick" and designed to make items easily fall out. Check for any items that may cling to the envelope.
For the envelopes with the "fuzzy padding" , try to use the pull-tab on the envelope or detach the staples/tape on the end of the package to open the envelope without cutting into the fuzzy padding. Do not slice on three sides or intentionally cut into the fuzzy part of the envelope. After extraction, drop these envelopes in a separate tagged bag from your other extracted envelopes. This ensures the fuzz is not distributed throughout your other bagged envelopes and onto the Final Candling table.
During Initial Candling, an Identifying Tag must be placed in the bag of all extracted envelopes. The Identifying Tag (Form 13870, Candling Tag, or one locally developed) must contain at a minimum the Name (preferably SEID or Employee Number of the Extractor) and the received date. If the extraction date is different than the received date, show both dates on the Identifying Tag. Prior to transporting the bags to the Final Candling area, someone other than the person who performed the Initial Candling must ensure that the tag is in the bag. If tag is not visible, the "sweeper/runner" must request one from the Extractor prior to transporting to the Final Candling area. The tag must be placed in the bag so that it is easily visible when picked up. Place the tag as the first item either in the center bottom or on top of the contents of the bag. If your campus uses" stickers" , make sure all old stickers are clearly "X'd" (or deleted) before placing your new one on the bag. If your campus uses the red buckets (similar to USPS containers), ensure your Name/SEID is attached.
After the bags have been securely tied at the top to ensure no contents can fall out in transit to the Final Candling area, the "runner/sweeper" must transport them to the Final Candling area. They must be staged and worked in Received Date order.
Final Candling has several definitions based on the type of envelope, but it is the final search prior to destruction to find any remaining contents following Extraction. Final Candling of all "see-through" envelopes is the process of passing the envelopes over a light source for a second time, which meets the minimum standard (on a Final Candling or Extracting Table).
If ... Then ... Unable to see through the envelope using a light source The envelope must be manually searched for any remaining contents. The envelope is a "heavy duty" bubble material, cardboard, or thin plastic Ensure that it was sliced on three sides and all contents extracted. The envelope is a "paper/plastic" type material Manually search the inside to ensure no contents remain.
The "fuzzy padded" envelopes should be in a separate bag. Manually search inside the envelopes for any remaining items and drop them back in the same bag for destruction (or with other fuzzy padded envelopes to be destroyed). Do not intentionally put the envelope on the table. Try to prevent spilling the dust on the lighted surface.
Initial Candling and Final Candling must be performed by an employee in the Restricted Area (Campus Support) and in clear view of another employee. During Initial Candling, there should be an individual to the immediate side, front, or back of the individual (i.e., the individual must not be sitting alone segregated from the unit). Final Candling is generally performed at large Final Candling tables, but can be done at an Extraction table. Final Candling must be performed no later than three business days after Extraction (five business days during Peak Processing) to meet Campus Deposit Timeliness Measure.
Boxes, carts, crates, etc. must not block the view of any employee performing Final Candling work. Any employee performing Final Candling must be in clear view of another employee and both must be stationed in the Restricted Area. These Final Candling rules apply whether performed at the big tables, or at Extraction Tables.
If the light on your Extracting Table or Final Candling Table appears to be dim, or dimmer than normal, contact your Manager to perform the light meter test. If not meeting the minimum standard of 174 Foot Candle (FC) or greater, move to another table until a new bulb is installed.
Any Non-Remit item or any envelope not properly sliced found during Final Candling must be given to management to provide feedback to the Extractor. The item must be attached to the Extractor's Identifying Tag when routed to the Manager. The Manager must determine the disposition of any item found. Non-Remit items do not have to be recorded on the Form 13592, Final Candling Log.
Any Certified postcard still attached to the envelope should be returned to the Manager. The "Click and Ship" (or similar type electronic certified mail) does not have a card. The Postal employee scans the bar code for an electronic notification, in lieu of date stamping the paper postcard and returning it to the Sender.
ALL Remit items, must be recorded on the Form 13592, Final Candling Log, and given to management. Ensure that any checks/money orders found are properly overstamped prior to giving to the Manager. Complete all applicable information on the Final Candling Log, then give the remit and Identification Tag to the Manager. Any check $5,000 or greater should be deposited quickly, since it's already aged; take to Deposit before the end of the day.
The Manager must review the Form 13592, Final Candling Log and validate that all available information is correctly entered and remittance amount matches the content found. The employee who found the remit must complete the following columns on the Form 13592 in non-erasable ink:
Today's Date - Enter the date in the first and last entry and draw a line for the ones in between, since only one day per sheet.
Item Discovered Name/TIN - Enter Name Control and last four digits of the TIN or abbreviate name to shorten the entry, as long as the Manager and Deposit can match the remit to the Taxpayer.
Name/ID# of Identifier - It is suggested that you use SEID or some type of Employee Number, instead of Name.
Employee Name/Number - It is suggested that you use SEID or some type of Employee Number, instead of Name.
$ Amount Identified - Write the amount legibly. It is not necessary to complete the Total Amount at the bottom of the page, unless local management wants it.
If a log entry is made, then deleted, write an explanation for the correction and draw a corresponding arrow to the deleted line entry. Following the explanation, both the employee and Manager must Initial and date, indicating acceptance of the explanation/reason for the deletion.
For work days when there are "No Candling Finds" , indicate this and the date on either a separate sheet, or on the previous day's sheet. This enables the reviewer to verify that a sheet is not missing from the log. This is not necessary for weekends and holidays.
The Manager will complete "R&C Initials and Date column" , then make a photocopy. The Manager will take the original and photocopy of the log, along with the remit(s) to the Deposit Function. To ensure timely deposit rules are met this transfer of remit(s) to Deposit must be performed as many times in a day as necessary. At a minimum, it must be done once daily, at a designated time set by Deposit that will allow enough time to post the remits found that day. All remaining remits found in Final Candling after the last daily transfer must be stored in a secure box or designated area temporarily, or overnight. The following day in the first transfer taken to Deposit must include the previous day's remit items. Make every attempt to transfer to deposit multiple times on Friday, or make sure you get your Friday finds to Deposit in time to process them. Be especially careful that only small volumes of Candling finds are held over a weekend, especially a holiday weekend.
Upon receipt of the Remit(s) and the Log Sheet, a designated Deposit employee will initial and date the original copy of the Form 13592 log, indicating receipt of the Remit in the "Deposit Initials & Date" column. Leave the photocopy of the log with Deposit function and return the original signed (initialed) copy of the Form 13592 log sheet book to the Final Candling area. You can continue filling up the entire page if it is the same workday. If the sheet is full, another sheet started, or more than one sheet was needed for the same day, mark the sheets "Page 1 of X" , etc., at the end of the day, or before starting a new sheet the following workday.
Form(s) 13592, Receipt and Control Final Candling Log, (May 2008 revision) must be kept in the Final Candling area for recording any contents found during Final Candling. All logs must be kept in one logbook separated by Month tabs in consecutive date order. Retention period is one year, including the current month for the log sheets. The Logbook must be available for the Monthly reviewer.
After Final Candling, the envelopes will be placed in secure containers prior to destruction, recycling, etc. The manager will instruct you where to place the containers of empty envelopes, adhering to guidelines in IRM 10.4.15.17, Managers Security Handbook, Disposition and Destruction. Do not use the empty envelopes for any purpose, such as storing items, displaying on the wall as a "Job Aid" , etc. Refer to IRM 10.5.1.5.1(1), Policy, Roles, and Responsibilities, IRS Employees.
Candling Equipment Maintenance - (for Management Officials Only)
Candling equipment, on both initial and final candling tables, must be adjusted as necessary, to maintain maximum envelope recognition.
Maximum envelope recognition is determined by the measurement of foot candles (FC) through use of a light meter. The light source must meet the minimum standard of 174 FC on all Extracting Tables and Final Candling tables, whether they are in use, or not. The lights must meet the standard at all times. Bulbs that do not meet the minimum requirement must be replaced.
Testing of the candling equipment must be completed twice yearly. Ensure testing is completed prior to peak time-frames.
This is a minimum standard. The individual campus can increase reviews at their discretion based on findings.
Management or designated Management Official must complete Form 14001, Candling Equipment Review Log, to verify lights are meeting minimum requirements. If lights do not meet minimum requirements, actions taken to correct the deficiency must be shown on the log. Retention period for Form 14001, Candling Equipment Review Log, is one year, including current month.
Attach envelopes to the back left side of returns or documents in a vertical position ensuring postmark is facing outward. When envelope is too long, attach in a horizontal position.
If you attach the envelope to a tax return or correspondence, you must slice the envelope on 3 sides or pass the envelope over the light on an Extracting table.
The only envelopes that do not have to be sliced are the fuzzy, padded or slick ones that are designed to not tear as outlined in IRM 126.96.36.199.10, Candling Procedures. Manually search inside the envelopes for any remaining items.
For the larger USPS, FedEx, UPS, etc. envelopes/fats/flats/packages, you can either: tear the shipping label off of the envelope/box and attach to the back of the return in the upper left with the postmark/shipping label facing outward, tear off the back side of the envelope, fold the remainder in half, and attach to the back of the return with the postmark/shipping label facing outward.
Always attach envelopes and stamp received date on the following:
Fiscal year returns
All Form 1040 series marked "KIA"
Automated Collection system (ACS) mail and Compliance Services Collection Operations (CSCO)
Delinquent Returns
Prior year and Statute Returns
Returns missing entity information
Centralized Insolvency mail
Responses to IRS initiated mail, such as CP notices, "C" Letters, Forms, and Balance Due notices - place the IRS notice, letter, or form on top.
If CP 211A is attached to an Exempt Organization (EO) return Form 990, Form 990-EZ, Form 990-PF, Form 990-T, Form 990-BL, Form 1041-A, Form 4720, Form 5227, Form 6069, or Form 8870), move the CP 211A to the back and route to Ogden Submission Processing.
All correspondence, including taxpayer initiated correspondence or correspondence written on behalf of the taxpayer from a Tax Preparer, Accountant, etc.
All BMF returns, except only late filed Form CT-1, Form 940, Form 941, Form 943, Form 944, and Form 945 series
Letters 2566 (SC/CG), 3219 (SC/CG), pink Form 3531, or any attachment indicating "ASFR"
All Form W-7, Form W-7A, and Form W-7(SP)
When a Form W-7/Form W-7(SP) is attached to a Form 1040 series return(s), always date stamp Form W-7 and all returns, and attach the envelope to the return with the earliest tax period (transship to Austin Submission Processing Center (AUSPC)).
All Amended returns, including Form 843, Form 1045, Form 1139, Form 8379, and Form 8849
Undeliverable mail
Form 8857, Request for Innocent Spouse Relief, prior to transshipping to CSPC
If a Form 8857 is attached to a return, keep together and date stamp both.
Any return with a notation of "6020(b)" , a "TC 59X" or "ICS"
IMF returns with the literal "RD" edited in the top margin
When multiple returns or documents are received in one envelope and each requires an envelope, attach envelope to first one and use a Dual Date stamp or stamp the postmark date on the others on the top left side margin with the earliest postmark date shown on the envelope and the Received Date in the normal area.
For Form 1120, Form 1120C, Form 1120L and Form 1120PC with box 1a or 1b checked (box 1 for 2006 and prior returns), only date stamp the parent return. Do not remove any attachments or separate the subsidiary returns. Treat as one return.
When any "Amended Return", "Claim for Refund", or "Request for Abatement" (e.g., Form 1040X, Form 1120X, Form 720X, Form CT-1X, Form 941X series, Form 1045, Form 1139, Form 8379, or Form 8849) is received:
Staple envelope to the back left side of the Form.
Stamp the Received Date on the Form.
Attach Form 843 to back of returns, when received with amended returns. Do not process separately. Do not detach duplicates or copies from returns.
Expedite/Route all Form 1040X with a notation of "NOL" , "Carryback" , or the box is checked on Line 1 (new revision) or Page 2, Part II are routed to ICT. Keep Form 1040X attached.
Take the following actions for any tax returns received in an envelope addressed to IRS which should have been filed with a state or local jurisdiction, the District of Columbia, the Commonwealth of Puerto Rico, Guam, Virgin Islands, Northern Mariana Islands, and American Samoa or any possession/territory of the United States.
With-Remit: When a federal return is received with state mail:
IF Then Money amount on check matches state document Send check and document to state. Money amount on check matches federal document Send to Deposit, even if made payable to state. These checks are overstamped with "United States Treasury" stamp. Money amount on check does not match either state or federal documents Send as unknown to Payment Perfection. Check received without federal or state document Send as unknown to Payment Perfection. Checks made payable to other agencies or third parties Do not overstamp checks with a United States Treasury stamp.
Non-Remit: When a Federal return is received with state mail:
If Then All Form W-2, Wage and Tax Statement, are for the state Send to the state. Original and copy of federal return is received with state Forward original Federal return with Copy B of Forms W-2 to Submission Processing. Forward the state returns and copy of federal return to the state.
Route all misdirected State mail to them, unless a copy of a State tax return, or other State documents is attached to one of the following. If attached, keep together and route to the appropriate function.
Collection letters
When erroneously mailed/delivered returns to a state agency are received by IRS ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ , if envelope is addressed to state agency, then date stamp return with IRS received date, and attach envelope. If no envelope is available, date stamp return and consider not timely filed.
Envelopes addressed to IRS that are erroneously delivered by postal service to the state taxing agency, are considered timely if:
Envelope postmark is timely, or
Envelope is missing, but State agency received date is timely.
When U.S. currency is received in any amount in the Extracting function, it must immediately be taken to the manager.
The currency must be counted by the discoverer and manager.
The manager must prepare Form 4287, Record of Discovered Remittances, to record the finding of the currency. The form preparation is self-explanatory.
The discoverer and the manager must initial the recorded entry on the Form 4287. The manager must place the currency with the related return or document with which it came, in an envelope with a notation that corresponds with the entry on the Form 4287. The manager must place the envelope in a lockable container kept in their custody in accordance with IRM 10.2.11, Basic Security Concepts. Only the manager and a designated employee are permitted to have the keys/combination to the lockable container.
If U.S. currency is received with another payment, convert the cash to a check or money order. After conversion, process both payments through RS-PCC. If unable to process through RS-PCC transship both payments to Submission Processing Support site to be processed together. See IRM 220.127.116.11, Cash Payments and Cash Conversion, for additional information for processing cash.
When U. S. currency, gold coins, is received from a taxpayer, transship to Submission Processing Support site. They will contact the Property Appraisal and Liquidation Specialist.
If Debit Cards are returned by another taxpayer (delivered to an address where recipient does not reside) or intercepted by the USPS (will be returned in a USPS envelope and contain a note indicating "possible fraud" ), ( do not slice the envelope from the debit card company). If the envelope was sliced, staple or tape it back together.
If a taxpayer returns a combination of Treasury Checks and debit cards, keep the entire submission together and send the complete "package" to IVO External Leads in Fresno, using the address shown below.
Date stamp the front of the envelope (below the Return Address) if intercepted by the USPS. If returned by another taxpayer, date stamp the correspondence, attach envelope, and date stamp the front of the debit card envelope.
Photocopy the front of the debit card envelope showing both addresses (Return Address and Recipient's address) and date.
Complete a Form 3210, Document Transmittal, indicating the total volume of envelopes/debit cards and mail the complete package (e.g., all photocopied pages and original debit card envelopes) to Fresno.
Hold the items in the safe or lock cabinet, if unable to meet the UPS deadline for pick-up on that day.
Use the following address to mail Debit Cards to Fresno:
Internal Revenue Service
5045 East Butler Avenue
Fresno, CA 93727
Stop 23101
ATTN: Jeff Cole
When any item of value, other than U.S. currency is discovered, see IRM 18.104.22.168.17, Unacceptable Payments. An item of value can be gold, silver, jewelry, savings bonds, postage stamps, Treasury notes/bonds, stocks, etc.
If a taxpayer or the USPS sends us any "possible fraudulent" Refund Checks, personal (or 3rd party checks) for repayment of cashed refund checks, these will be routed to IVO in Fresno. Refer to the chart in IRM 22.214.171.124.1(3).
Foreign currency is not acceptable for payment of federal income taxes. When foreign currency is received in the mail, it must be converted to U.S. dollars. Transship foreign currency to Submission Processing.
These procedures are for foreign currency only, not coins, which are considered of too insignificant in value to convert and ship back to the issuing country.
When postage stamps are received in amounts less than $3, cross through and permanently affix stamps to related return or document and retain in regular work-flow.
When a refund anticipated loan check is intercepted and returned by the bank, route the payment to Integrity & Verification Operation (IVO) (formerly AMTAP) at the address below on a separate Form 3210, Document Transmittal by Overnight Traceable Mail Delivery. In the remarks section of the Form 3210 write "Anticipated Loan Check" .
Internal Revenue Service
Attn: IVO Management
Stop M2004
5045 East Butler Avenue
Fresno, CA 93727
Whenever a taxpayer returns a Refund Anticipation Loan check with correspondence indicating that ID Theft may be involved, (typically in these cases, the taxpayer will claim they were not entitled to the refund) or if an Integrity & Verification Operation (IVO) (formerly AMTAP) issued letter (i.e. 4115C or 4464C) is attached, route the check and correspondence to the following address on Form 3210 by Overnight Traceable Mail Delivery.
Internal Revenue Service
Attn: IVO Management
Stop M2004
5045 East Butler Avenue
Fresno, CA 93727
If remittance, tax return, or document indicate the payment is for the erroneous portion of a refund that the taxpayer believes is too large an amount, or any credit the taxpayer feels they are not entitled to, transship to IVO at the address below on Form 3210.
Whenever a taxpayer repays a refund they feel they are not entitled to and correspondence indicates that ID Theft may be involved, or if an Integrity & Verification Operation (IVO) (formerly AMTAP) issued letter (i.e. 4115C or 4464C) is attached, route the check and correspondence to the following address on Form 3210.
Internal Revenue Service
Attn: IVO Management
Stop M2004
5045 East Butler Avenue
Fresno, CA 93727
Automated Collection System (ACS) mail is usually identified upon receipt through the special ACS post office box. All imperfect ACS mail with-remit or payment with indication of "levy" must be sorted and routed to Payment Perfection (including the Source Document or a copy) for IDRS research to post to the earliest CSED. Sort and route all non-remit ACS mail to ACS Support.
The designated Post Office Boxes for ACS mail are:
Wages and Investment ACS Support Sites Fresno
Internal Revenue Service
PO Box 24017
Fresno, CA 93779
Control Base Number:0772200001
Kansas City
ACS Support
Stop 5050 or without a stop number
PO Box 219420, 219236, or 419236
Kansas City, MO 64121-9236
Control Base Number:0772200001
SB/SE, TE/GE and LMSB ACS Support Sites Cincinnati
Internal Revenue Service
ACS Correspondence
PO Box 145566
Cincinnati, Ohio 45250–5566
Control Base Number:
Internal Revenue Service
ACS Correspondence
PO Box 8208 or PO Box 57
Philadelphia, PA 19101-8208
Control Base Number:
Kansas City
Internal Revenue Service
PO Box 219690
Kansas City, MO 64121-9690
Control Base Number:
Always date stamp ACS mail and attach the envelope. If correspondence or multiple forms with multiple remits come in the same envelope, try to match up the individual remit with the source document, then route to Deposit in the correct order.
In addition to the unique PO Box for ACS mail printed on the notice, ACS mail is also any Form 668-A(c), Form 668-W(c), Form 8519, or LT/LP letter.
Campus Support must convert cash payments to check or money order, within 24 hours of receipt from the taxpayer, before sending for processing. To minimize the risk of losses, convert cash to a bank draft or money order by the close of the business day on which it was collected, or as soon as possible on the next business day.
If your campus does not have an on site credit union, cash may be converted weekly if it is less than $5,000.00. If your campus has an on site credit union but has a minimum amount they will convert to a money order, the cash may also be converted weekly or as soon as the minimum is reached.
Any cash found must be counted, listed on a Form 4287, Record of Discovered Remittances, and secured in locked container until the designated employee retrieves it for processing.
Form 4287, Record of Discovered Remittances, must be prepared each day for cash received. If zero cash is received, it must be documented on a Form 4287 for control purposes.
Daily, the designated employee must retrieve the cash from the locked container for verifying and preparing the cash for the deposit. For cash received through Extraction, there must be two employees counting and verifying the cash. Take the following actions for cash receipts:
Remove cash from the locked container.
Keep original Form 4287 with cash package and leave copy with Extraction clerk.
Verify, review, and balance Form 4287.
Verify remittance, cash, taxpayer information, and returns/documents to Form 4287 with designated extraction clerk.
Notate any changes or corrections to Form 4287 in green and initial both copies of Form 4287.
Open envelopes and verify contents to Form 4287.
Verify money amount listed on Form 4287 by preparing an adding machine tape.
Add cash only and edit total in green on Form 4287 under "Amount of Remit" column after last taxpayer entry.
Add checks and money orders and edit total in green on Form 4287"Amount of Remit" column after cash total.
Add cash, checks, and, money orders, and edit grand total in green on Form 4287 below check and money order total.
Designated employee must initial next to grand total of cash deposit.
After verifying and balancing the cash to the Form 4287, prepare Form 2679, Teller's Daily Balance and Reconciliation.
Count coins and currency by denominations.
Verify that bills are legitimate with a counterfeit marker.
Complete Form 2679, in duplicate.
Make a calculator tape from Form 2679.
Enter cash amounts only, start with pennies.
Date stamp today's date.
Take only cash to credit union and convert cash to money order. If a financial institution asks the employee to complete a Currency Transaction Report (CTR) when more than $10,000 is being converted, point out that there is an exemption in the Treasury Regulations [31 CFR 1020.315 subsections (a)and (b)]. The regulations state that:
"No bank is required to file a report [for a transaction in currency of more than $10,000] with respect to such transaction in currency between an exempt person and such bank" .
"Exempt person" is "a department or agency of the United States" .
Take the following steps after converting cash to bank draft or money order.
Make bank drafts or money orders payable to "United States Treasury" .
Staple stub/receipt of money order to shuttle tape.
Record the name of the issuing financial institution or money order vendor, the serial number, and the date of conversion in the block provided on Part 3 of Form 809, Receipt for Payment of Taxes.
Complete Form 809 with all information that applies to the payment.
Taxpayer Identification Number
Name Control
Tax Form Number
Tax Period
Type of Payment
Signature of IRS Employee
Date Prepared
Employee SEID Number
Designated Payment Code (circle one of the pre-printed DPC's or write in the appropriate code)
Assessed Amount
Other TC
Total Amount Received
When cash is received and you are unable to identify the taxpayer, complete the Form 809 with unknown for the missing information and attach part two behind part three. Send the money order to Ogden to be processed.
Complete Form 809, Receipt for Payment of Taxes, in received date order, for each taxpayer for whom cash was received and:
Determine if payment can be processed through RS-PCC.
Tear out parts 1 and 3 of Form 809.
Annotate RS-PCC in the memorandum space of Form 809 part 3 for payments processed through RS-PCC.
Staple parts 1 behind part 3 of payments processed through RS-PCC and transship them to Submission Processing.
Transship part 1 and 3 with remittance to Submission Processing if unable to process payment(s) through RS-PCC.
Make copy of any necessary correspondence or return as source document and route original to appropriate area.
Mail Part 2 to the taxpayer with Notice 428, Thank You (Notice to taxpayer acknowledging receipt of cash payment).
Add remittance amount from receipts on adding machine and compare with line 12 of Form 2679.
Annotate used receipt numbers of Form 809, on Form 2679.
Errors on Form 809 must result in voiding and making new Form 809.
Enclose Parts 1 and 2 of voided Form 809 with cash package.
See IRM 18.104.22.168, Form 809, Receipt for Payment of Taxes, for additional information.
Prepare a cash folder and include the following items:
Calculator tape and stub/receipt of money order
Parts one and two of Form 809, Receipt for Payment of Taxes (enclose VOIDED receipts)
Original and copy of Form 2679
Returns/documents prepared for manual processing
Balanced Form 4287
Retention for Forms 4287, Record of Discovered Remittances, is one year after the end of the processing year per Document 12990, Records and Information Management Record Control Schedules, Tax Administration – Wage and Investment (Job No. NC1-58-85-10, Item 137).
Retention for Forms 2679, Teller's Daily Balance and Reconciliation, is one year after the end of processing year per Document 12990, Records and Information Management Record Control Schedules, Tax Administration - Wage and Investment (Job No. NC1-58-85-10, Item 131).
Ogden Submission Processing issues all Form 809 books to authorized employees in Campus Support sites.
Management must authorize at least one individual and one backup individual to issue an official receipt to every taxpayer who sends in cash. The Campus requires strict control of cash and Form 809, Receipt for Payment of Taxes, receipts.
An initial book of Forms 809 must be requested by authorized memorandum from the group manager or an official approved by the Director. The memo must identify the operating division and management hierarchy down to the group level. This is necessary to ensure the information is on file if accountable officials have to be contacted. The employee must sign the Receipt page found in front of a Form 809 receipt book. They must return this signed receipt/acknowledgment to Ogden Submission Processing Teller unit within five workdays after receipt. If the receipt page is inadvertently missing or lost, an acknowledgment memorandum must be prepared and provided to Ogden Submission Processing. The original authorization is kept on file within the teller unit function.
A receipt book is assigned for the exclusive use of the intended employee only. It is not transferable. When Ogden Submission Processing issues a Form 809 book to an authorized employee, they record the serial number of the book issued. Employees are required to maintain strict control of their Form 809 receipt book and the individual receipts. Employees are only allowed to have one assigned Form 809 receipt book at a time.
Form 809 must be handled with the same care and precision as cash.
Form 809 book holders must not have sensitive command codes in their IDRS profiles.
Form 809 book holders must report to a first level manager.
Form 809 must be printed clearly and legibly so that there are no inconsistencies on carbon copies and the receipt is legible on all four parts.
Money amounts must be verified and issued only for amount of cash received.
User fee, or only one tax period, must be listed on Form 809.
Form 809 book holders must acknowledge they have received a book in writing within five workdays. Complete the acknowledgment page in the front of the book and return to Submission Processing Support site.
Receipts must be issued in numerical sequence by serial number. The lowest number receipt must be used first and continue to issue receipts in numerical order.
Upon issuance of the 40th receipt, a second book may be ordered by using the reorder form in the back of the book. Complete, sign and send to Ogden Submission Processing.
Form 809 must have a correct and unaltered signature of the employee to whom the book was issued.
Form 809 is used as a posting document. Prepare a separate receipt for each tax period, type of tax, or user fee covered by the payment.
Forms 809 must be reviewed and balanced by manager or designee, prior to mailing.
When a Form 809 is prepared for payments that cannot be processed through RS-PCC, the Form 809 must be sent to Ogden Submission Processing for processing.
Managers must conduct reviews of each employee's receipt book at least annually and adhoc reviews periodically to ensure all receipts are accounted for.
Accounts Management is committed to ensuring payments are processed within 24 hours. For payments processed through the Remittance Strategy - Paper Check Conversion (RS-PCC) system, the 24 hour deposit standard is met by scanning the paper check and submitting it for deposit no later than the first business day after the date of receipt of the check. As we move toward attaining that goal through improved technology, it is of the utmost importance to process the largest amount of money in the shortest possible time frame in order to maintain good cash management practices.
If Campus Support is unable to process the imperfect payments through RS-PCC within 24 hours, but they can process the payments the next day without an impact to the next day's receipts, they should not transship the payment to Submission Processing, but hold the payments and process the payments the next day.
Remittances of $50,000 and over must be processed by the next business day of the campus received date. All attempts must be made to process these items the same day of extraction or no later than the next business day. Each remittance of $50,000.00 or more must be processed by itself in a separate batch through RS-PCC.
Remittances of $100,000 or more must be processed on the day of extraction. When checks of $100 million or more are received, the check must be photocopied and immediately faxed to the deposit support site.
Management at all levels must monitor the flow of receipts to ensure that this objective is achieved.
Payments received with correspondence or returns must be picked up continually during all shifts by assigned sweepers.
Payments not processed through RS-PCC must be shipped to the Deposit site on the received day when possible, but no later than the next business day.
Checks and money orders are made payable to "United States Treasury" .
After payments are received from Extraction, payments are pre-batched into three categories:
Perfect payment (a perfect item is a notice(s) or check that contains a legible taxpayer name, TIN, one MFT code, one or more tax periods, one remittance and as applicable: report number, designated payment code, and secondary transaction code).
Imperfect payment with taxpayer's names and TIN, but does not contain one or more elements necessary for processing.
Imperfect payment without taxpayer's name and TIN. These payments need additional research.
After the payments are pre-batched, they are taken to the Payment Preparation area and sorted into:
Form 1040 series, Form 4868, and Form 4506
Form 94X series, Form 5330,Form 1120,Form 1041,Form 706,Form 7004, and Form 8813
Notice coupons/stubs
Form 1040ES, and Form 1040V
Form 1040X
IMF Correspondence
BMF Correspondence
Form 9465 and Form 433D
Form SS-4
Big/Large checks
Form 2159
Government checks
Original returns with statute criteria
After the sorting process, payments must be screened for the following issues:
Overstamping - IRM 18.104.22.168.12
Remittance Not Payable to United States Treasury - IRM 126.96.36.199.13
Government Checks - IRM 22.214.171.124.15
Campus Support must route imperfect payments to Payment Perfection for research.
Campus Support must be aware of questionable remittances that resemble checks and money orders, but which are fake, bogus and/or counterfeit. These remittances are not certified by any institution and they are non-negotiable. Do not process questionable remittances via RS-PCC or PCC. Campus Support must become familiar with the characteristics of questionable remittances in order to be able to identify when one is received. Refer to IRM 220.127.116.11.28, Questionable Payments, for further information related to fake/bogus checks or money orders being used to pay a taxpayer's debt to IRS.
When a remittance is received with documentation stating it is for repayment of the First-Time Homebuyer Credit, process the payment with the following:
Remittances received with an overpayment notice (CP 12, CP 12M, CP 13, or CP 24), post these payments with a TC 670/570.
If Form 1040NR has an SSN and/or the "Individual" box is checked, process as IMF:
TC 610 and MFT 30
When remittance processing is completed, transship Form 1040NR and all attachments to Austin Submission Processing using a Form 3210.
Date stamp Form 1040NR.
Include a copy of the remittance with Form 1040NR.
If Form 1040NR has an EIN and/or the "Estate or Trust" box is checked, date stamp the return and transship return with payment using Form 3210 to Cincinnati to be processed as NMF.
Form 1041-T, Transmittal of Estimated Taxes Credited to Beneficiaries, received alone with remittance:
Make copy of Form 1041-T as the source document.
Route original Form 1041-T to Image Control Team (ICT).
Process payment to MFT 05 and use TC 610
Form 4219, Statement of Liability of Lender, Surety, or Other Person for Withholding Taxes, received with Form 941, route Form 941 leaving Form 4219 attached to Submission Processing and process payment through RS-PCC as follows:
Tax periods 03, 06, 09, and 12
Form 4219 received without Form 941 process payment indicate EIN from line two and tax period from line four specified on Form 4219 and process through RS-PCC as follows:
Forward Form 4219 to appropriate function
When Form 9465, Installment Agreement Request, is received with remittances, process through RS-PCC as follows:
Process a copy of page one of Form 9465 as the source document.
Process Form 9465 with a Transaction Code (TC) 670 unless the Installment Agreement request is for a module with a zero balance and there is a TC 922 or TC 420 indicator. If the installment agreement is for an advanced payment of deficiency, use TC 640. See Exhibit 21.1.7-7, Valid Primary Transaction Code for Remittance Strategy for Payments via Paper Check Conversion (RS-PCC) Processing.
MFT various
Forward Form 9465 to Compliance Services Collection Operations (CSCO).
If Form 9465 is received with original Form 1040 series route Form 9465 and return to Submission Procession.
Campus Support should not transship Installment Agreement User Fees to Submission Processing sites, unless they are unable to process the payment through RS-PCC. Apply the full amount of the payment to the taxpayer's account using the appropriate payment Transaction Code.
Automated Collection System (ACS) mail is usually identified upon receipt through the special ACS Post Office box. See IRM 188.8.131.52.16 (2), Sorting and Routing Automated Collection System Mail, for a list of special ACS Post Office Boxes. All imperfect ACS mail with payment with indication of "levy" must be sorted and routed to Payment Perfection.
ACS payments can be defined as:
Payment received with a Form 668-A, Notice of Levy. This is a one time garnishment to the taxpayers bank account that will be sent to the IRS by a financial institution as a third party check.
Payment received with a Form 668-W, Notice of Levy on Wages, Salary, and Other Income. These payments are remitted to the IRS through the taxpayer's employer as a third party check.
Levy payment received without a Form 668-A or 668-W addressed to the special ACS Post Office box.
Payment received from the taxpayer in response to Form 8519, Taxpayers Copy of Notice of Levy.
Federal Agency Levy payment that are issued on Department of the Treasury checks.
If over-stamping is necessary, be careful not to obscure the taxpayer's SSN.
Third Party payments received with obsolete IRS ACS PO Box addresses that have been forwarded by the United States Post Office to one of the consolidated ACS sites. These payments should be treated as if they were received directly in the Consolidated ACS sites PO Box. Follow all the procedures and definitions outlined in this section when processing these payments.
Payments received from the taxpayer on a personal check, cashiers check, or money order and the taxpayer indicates it is intended as an ACS payment.
Do not apply a Designated Payment Code (DPC) to a payment received from the taxpayer.
Remittance received with notice, form, or correspondence process using the following procedures:
Edit the source document with missing information.
Annotate source document with the appropriate DPC. See IRM 22.214.171.124.7.1 (6).
Make copy of source document and route change of address information and correspondence to the ACS Unit in Collection.
If a notice, form, schedule, or correspondence does not require any further handling, do not make a copy. Process the payment with the attached document.
Forms 668A(C) and 668W(C), 668W(ACS), Notices of Levy, process as follows:
Edit DPC 05 and applicable TC.
Review multiple period levies to determine appropriate tax period.
Form 8519, Taxpayer's Copy of Notice of Levy, process by editing DPC 15 and the applicable TC.
Payments received in the ACS PO Box, follow the procedures below:
If ... And ... Then ... TIN is not present Research CC NAMEI (IMF) or NAMEB (BMF) to identify the correct TIN. TIN is identified Research CC SUMRY, IMFOL, or BMFOL and apply the payment to the earliest unexpired Collection Statute Expiration Date (CSED) with an open collection status of 22.
If multiple periods with the same CSED date, apply the payment to the earliest tax period.
TIN is identified There is no tax period with an open collection status of 22 and CC SUMRY shows modules in status 60 Research CC IADIS to determine the Installment Agreement Locator Number (ALN) see IRM 126.96.36.199.7.1 (3) below. Unable to locate the TIN using NAMEI or NAMEB Make a telephone call using the telephone number on the check or obtain the telephone number from directory assistance.
If the TIN is identified, see "TIN is identified" above.
TIN is not identified after telephone contact Route to Submission Processing.
The ALN appears on the IDRS IADIS screen in the following format:
The last four positions of the Installment Agreement Locator Number (ALN) determine the actions taken.
If ... Then ... The payment has an ALN with XX08 Apply payment to the earliest unexpired CSED with a DPC 05. The ALN of 08 that appears in the YY positions is defined as a Continuous Wage Levy, from ACS or a Revenue Officer. The YY position denotes conditions affecting the agreement. The ALN is 11YY Apply payment to the earliest unexpired CSED with no DPC. The ALN of 11 that appears in the XX positions is defined as a Form 2159, Payroll Deduction Agreement, initiated by a Territory Office or ACS. The XX position denotes Initiator/Type of agreement.
Exhibit 5.19.1-10, Installment Agreement Locator Numbers (ALN), provides an explanation of the XXYY fields of the ALN.
Below are procedures when research shows there is no balance due in Status 22 or 60:
If ... And ... Then ... A X-Ref TIN can be found on CC ENMOD or INOLE (disregard a spouse's TIN if the Filing Status is other than "2" ). The X-Ref TIN has a balance due in Status 22 or 60 Apply payment to the X-Ref TIN using the earliest unexpired CSED. There are no X-Ref TIN or the X-Ref TIN does not have a balance due in Status 22 or 60 There is a prior Status 22 module Research the primary TIN first, then the X-Ref TIN if applicable, for the module that was most recently in Status 22. Apply the payment to that module. There is no current or prior Status 22 or 60 modules for the primary or X-Ref TIN Apply payment to the most recent tax module on the primary TIN.
DO NOT apply a DPC to a payment received from the taxpayer.
If there is no prior "LEVY" category control set, create a control base to ACS thru CC ACTON only when using DPC 05. When controlling the account use the correct Control Base Number listed in IRM 220.127.116.11.16 (2), Sorting and Routing Automated Collection System Mail, which is based on Business Operating Division and State mapping.
The following table outlines what DPC should be used for each type of ACS payment.
Type of ACS Payment DPC Any type of payment received with Form 668-A, Notice of Levy DPC 05 Any type of payment received with Form 668-W, Notice of Levy on Wages, Salary or Other Income DPC 05 Any type of payment received from the taxpayer in response to Form 8519, Taxpayer's Copy of Notice of Levy DPC 15 Federal Agency Levy payments that are issued on Department of the Treasury checks DPC 05 Third Party payments received with current or obsolete IRS ACS PO Box addresses DPC 05 Payments received from the taxpayer No DPC
Preparing payments for processing:
Remove paper clips, all staples, and check stubs from check and document.
Green rocker original and make a copy of first page and send copy with remittance.
Detach vouchers/stubs, if present, and process as coupon. If a notice voucher/stub is used, ensure the IRS received date is stamped on both the notice and voucher/stub.
Place correspondence in basket labeled Correspondence.
Edit original return in the upper left corner of the return with a green mark.
Make a copy of first page of original return and send copy with remittance.
Batch work in batches not to exceed 100 documents.
Batch each remittance of $50,000.00 or more by itself in a separate batch.
Run a calculator tape totaling the batch and attach to Form 1332-BBTS, Block and Selection Record.
If a notice, form, schedule, or correspondence does not require any further handling, do not make a copy. Process the payment with the attached document.
Taxpayer returns a notice with a payment, but taxpayer has not written any information on the notice. Do not make a copy of the notice. Process the check using the notice as the source document.
To process payments through RS-PCC, all payments must have all of the following:
Name Control - IMF Name Control Job Aid or BMF Name Control Job Aid
Social Security Number (SSN) or Employee Identification Number (EIN)
One or more Master File Tax (MFT) Code - Exhibit 21.1.7-6
IRS received date
One or more tax periods
One or more remittance
One Primary Transaction Code - Exhibit 21.1.7-7
Name Control Documents 7071 and 7071A must be available for all employees identifying name control.
A Designated Payment Code (DPC) must be used with input of TCs 640, 670, 680, 690, 694 and 700 unless the DPC is 00. DPC 00 is not required to be entered into RS-PCC. Use the DPC Codes as follows:
TC 640, DPC must be 00, 01, 02, 12 or 99
TC 670, DPC must be 00 through 11 or 99
TC 670, DPC must be 02, 09, 33, 34, or 35 for OIC payments
TC 680, DPC must be 00, 01, 03, 06, 07 or 99
TC 690, DPC must be 00, 01, 03, 06, 07, 09 or 99
TC 694, DPC must be 00, 01, 03, 06 or 07
The valid secondary transaction codes for RS-PCC are listed below:
TC Description 460 Extension of time for filing 570 Additional Liability Pending and/or credit hold
Campus Support must access Batch Block Tracking System (BBTS) to obtain a Remittance Processing System Identification (RPSID) number for each batch of work and print Form 1332-BBTS, Block and Selection Record, and Form 9382-BBTS, Batch Transmittal. See Exhibit 21.1.7-14, Generate Remittance Processing System Identification (RPSID) Number, to generate a RPSID number.
Category Number Insolvency 000000 (Philadelphia only) Perfect Remittance 000001 - 489999 Discovered Remit 497000 - 499999 OIC 590000 - 599999 (Brookhaven and Memphis only) Payment Perfection (Imperfect Remittance) 610000 - 764999
Deliver payments with Form 1332-BBTS and Form 9382-BBTS to Remittance Strategy for Paper Check Conversion (RS-PCC) area for processing.
A log book must be maintained with the RPSID ranges. This allows the user to know the next range to print for a category. The retention of the logbook is one year after end of the processing year.
Make a copy of the form to use as a source document and route the original return to appropriate area to be processed. Follow the procedure below for processing the payment:
Form MFT DPC TC 941X 01 24 670/570 943X 11 24 670/570 944X 14 24 670/570 945X 16 24 670/570 1120X 02 24 670/570 1040 amended, superseding, corrected or revised 30 24 670/570 1040X 30 24 670/570
This section provides general guidance only for Payment Perfection function within Campus Support.
The Payment Perfection function within the Campus Support performs analysis and research on remittances and returns/documents that require additional preparation prior to depositing money. They ensure all taxpayer information is available to credit taxpayer accounts. Checks for $50,000 and over will be identified as a large check and receive priority handling. Each remittance of $50,000.00 or more must be processed by itself in a separate batch through RS-PCC. When checks of $100 million or more are received, the check must be photocopied and immediately faxed to the deposit support site. See IRM 126.96.36.199, Payments, for additional information.
All documents that require additional perfection before depositing the money through Remittance Strategy for Paper Check Conversion (RS-PCC) must be routed to Payment Perfection function for IDRS research.
See IRM 184.108.40.206.1.1, Checks that Cannot be Processed Through RS-PCC, for payments that cannot be processed through RS-PCC; therefore, they must be transshipped to Submission Processing for processing.
To protect taxpayer's identity information the Office of Privacy, Governmental Liaison and Disclosure (PGLD) has initiated a project to replace the printed SSN on selected taxpayer notices with a 2-D Barcode. This effort will eliminate or reduce the full display of taxpayer Social Security numbers on these notices.
Beginning July 2011, 108 IRS IMF non balance due taxpayer notices will have a new 2-D Barcode printed on the notice. The barcode will be encoded with information essential for processing notices returned to the IRS with correspondence.
The Social Security Number Elimination and Reduction 2-D Barcoding Project (SSN/ER 2DBC ) will pilot 13 non-payment notices that have the new barcode by masking taxpayer SSNs. The 13 pilot notices will display only the last four digits of the SSN. The 13 pilot notices are listed below:
CP Notice Title 12 Math Error, Overpayment of $1 or More 12A EIC Math Error - Overpayment of $1 or more 12 E Exam Coded Math Error Overpayment of $1 or more 12M Making Work Pay/Government Retiree Credit Computed, Overpayment of $1 or More 12 R Rebate Recovery Credit Computed (RRC), Overpayment of $1 or more 24 Estimated Tax Discrepancy, Overpayment of $1 or More 31 Undelivered Refund Notice 32 A New Refund Check - Old Check Not Cashed 53 Unable to Direct Deposit 74 You've Successfully Re-Certified for EIC 79 Earned Income Credit Eligibility Requirement 79A Earned Income Credit Two Year Ban 79B Earned Income Credit Ten Year Ban
For the pilot each Campus Support Site was issued two handheld scanners. If Campus Support receives one of the above notices with a payment, they should use the 2-D Barcode Handheld Scanner to scan the notice to identify the taxpayer's social security number. See (6) below for additional information.
January 2012, twenty additional notices were issued with the new barcode by masking taxpayer SSNs. The notices are listed below:
CP Notices Title 03A Repaying Your First-Time Homebuyer Credit 03B Courtesy Message About Your First Time Homebuyer Credit 03C First Time Homebuyers Credit 05 Information Regarding Your Refund - We have received your income tax return and are holding your refund 05A Information Regarding Your Refund - Refund Being Held Pending More Thorough Review 08 Additional Child Tax Credit 09 Earned Income Credit - You May Be Entitled to EIC 10 Math Error With Reduced Credit Elect 10A EIC Math Error - Reduced Credit Elect 13 Math Error, Balance Due < $5, Overpayment < $1 13A EIC Math Error - Balance Due < $5, Overpayment < $1 13M Making Work Pay/Government Retiree Credit Computed, Even Balance (Bal Due < $5 or Overpayment < $1) 13R Rebate Recovery Credit (RRC) Computed, Even Balance (Bal Due < $5 or Overpayment < $1) 16 Overpayment with offset 17 Refund of unfrozen Excess ES credits 25 Estimated Tax Discrepancy, Balance Due <$5, Overpayment <$1 27 EIC Potential for T/P Without Qualifying Children 32 New Refund Check - Old Check Not Cashed 45 Credit Elect Change 713 Math Error, Balance Due < $5, Overpayment < $1 (Spanish)
June 2012, thirteen additional notices were issued with the new barcode by masking taxpayer SSNs. The notices are listed below:
CP Notices Title 04 Request for Proof of Military Status or Eligibility for Tax Relief Provisions Under Combat Zone/Contingency Operation Criteria 18 Refund Discrepancy/Unallowables 20 Audit/Unallowable Items Notice, Overpayment 24E Exam coded Estimated Discrepancy, Overpayment of $1 or More 59 Master File Generated 1st Return Delinquency Notice 76 EIC Recertification Letter- Refund Issued 80 Reminder - We Have not Received Your Return 81 We May Have a Refund for You 85A Exam EIC Soft Notice- Please Help Us Confirm Your Filing Status 85B Exam EIC Soft Notice - Please Help Us Confirm Your Qualifying Child 85C Exam EIC Soft Notice - Please Help Us Confirm Income You Reported on Schedule C 712 Math Error, Overpayment of $1 or More (Spanish) 759 Master File Generated 1st Return Delinquency Notice (Spanish)
The scanner can be used by holding the scanner and pulling the trigger button to scan the 2-D Barcode on the notice, or the scanner can be placed in the provided stand and simply scan the 2-D Barcode by running the notice under the scanner. The following are general instructions for using the scanners:
Plug the scanner into the Universal Serial Bus (USB) Port of your computer.
Access Microsoft Word or IDRS.
A copy of the "Configuration Barcodes For Notices" sheet, that should have been received with the scanners, will need to be used to obtain the information needed for processing the payment. Scan the appropriate Barcode on the "Configuration Barcodes For Notices" sheet of paper and listen for the beep.
After the beep, then scan the 2-D Barcode on the notice. The scanner should beep again and the taxpayer information should appear in the Microsoft Word document on the computer screen or IDRS.
If the scanner fails to identify the SSN, use Command Code TPIIP. Refer to IDRS Command Codes Job Aid. Command Code TPIIP uses the last four digits of the SSN and the first ten characters of the last name (or less, if there are less than ten characters in the last name) to search for the matching name(s) and address(es).
Campus Support employees must utilize IDRS for research for imperfect payments. This section provides general guidance for only a few basic scenarios relative to Payment Perfection IDRS research. Also, in this section are a few IDRS command codes that are required to be researched in order to apply a payment accurately. This is not an all inclusive list. It is intended only to provide a basic point to begin payment research. There will be situations when more extensive research may be required. Refer to Document 6209, IRS Processing Codes and Information and IDRS Command Codes Job Aid .
Payment received with check only and the only identifying information is the name and address on the check:
If ... Then ... IMF Research to whom the payment should be applied:
Use NAMEI and NAMES
BMF Research to whom the payment should be applied:
Use: NAMEB and NAMEE
IMF Determine where (tax period and MFT) and how (transaction codes) the payment should be applied.
SUMRY to display an index of all tax modules available on IDRS for a SSN.
TXMODA displays specific tax module amounts on IDRS, dates (including CSED), and a listing of posted and pending transactions.
IMFOLI to display an index of all tax modules available on Masterfile for an SSN.
IMFOLT displays specific tax module amounts, dates (including CSED), and a listing of posted transactions.
BMF Determine where (tax period and MFT) and how (transaction codes) the payment should be applied.
SUMRY to display an index of all tax modules available on IDRS for an EIN.
TXMODA displays specific tax module amounts on IDRS, dates (including CSED), and a listing of posted and pending transactions.
BMFOLI to display an index of all tax modules available on Master File for an Employer Identification Numbers (EIN).
BMFOLT displays specific tax module amounts, dates (including CSED), and a listing of posted transactions.
If the taxpayer has multiple balances due and does not designate form type and/or tax year, apply the payment to the earliest unexpired CSED date. If multiple tax periods have the same CSED date, apply to the earliest tax period.
Payment received and the only information available is the TIN:
If ... Then ... IMF Use ENMOD or INOLE to determine necessary entity information. BMF Use ENMOD or INOLE to determine necessary entity information. IMF Determine where (tax period and MFT) and how (transaction codes) the payment should be applied.
SUMRY to display an index of all tax modules available on IDRS for a SSN.
TXMODA displays specific tax module amounts on IDRS, dates (including CSED), and a listing of posted and pending transactions.
IMFOLI to display an index of all tax modules available for an SSN.
IMFOLT displays various module amounts and dates (including CSED) along with a listing of posted transactions for the specified tax module.
BMF Determine where (tax period and MFT) and how (transaction codes) the payment should be applied.
SUMRY to display an index of all tax modules available on IDRS for an EIN.
TXMODA displays specific tax module amounts on IDRS, dates (including CSED), and a listing of posted and pending transactions.
BMFOLI to display an index of all tax modules available on Master File for an EIN.
BMFOLT displays specific tax module amounts, dates (including CSED), and a listing of posted transactions.
If the taxpayer has multiple balances due and does not designate form type and/or tax year, apply the payment to the earliest unexpired CSED date. If multiple tax periods have the same CSED, date, apply to the earliest tax period.
Payment received with TIN, tax period, form, and name of taxpayer:
If ... Then ... IMF Apply payment to the SSN, tax period, name control, and tax form as indicated. BMF Apply payment to the EIN, tax period, name control, and tax form as indicated.
IDRS research is not necessary. Post payment with the appropriate transaction code. See Exhibit 21.1.7-7, Valid Primary Transaction Code for Remittance Strategy for Payments via Paper Check Conversion (RS-PCC) Processing.
Use taxpayer intent when applying payments. If the taxpayer has designated:
Form type
Tax year
TIN (SSN or EIN)
Name control
There is no indication the payment is intended as an installment agreement payment.
IDRS research is not necessary. Post payment with the appropriate transaction code. See Exhibit 21.1.7-7, Valid Primary Transaction Code for Remittance Strategy for Payments via Paper Check Conversion (RS-PCC) Processing.
If the taxpayer has clearly designated the application of the payment but has not included all the above information, research IDRS for the missing information. Verify that the account does not have an Installment Agreement.
No research is necessary if a payment is received with the check showing one tax period and the notice shows another tax period and the check is for the amount shown on the notice. Apply the payment to the tax period shown on the notice.
If the taxpayer has not clearly designated the application of the payment and has not provided an IRS balance due notice, an in depth review and analysis may be necessary before the payment can be applied accurately. If a payment is received with a non remit form, research the taxpayer's account and apply the payment. See IRM 184.108.40.206.10.2, Basic Manual IDRS Research for Payment Perfection, for research instructions.
The following steps discuss how to identify and process an installment agreement payment:
Generally, taxpayer intent is used when applying payments; however, the taxpayer cannot designate the application of their installment agreement payment. If there is an indication that the payment is for an Installment Agreement, research for the earliest CSED, unless an IRS Balance Due Notice is provided.
Collection Status Codes 12 Full Paid, no Balance Due 20, 21, 56, 58 1st thru 4th Notice, Balance Due 22, 24, 26 ACS Balance Due 23 Below Tolerance, Balance due 53 Currently not collectible, Balance Due 60, 61, 63, 64 Installment Agreement, Balance Due 71 OIC Pending 72 Bankruptcy and/or cases in Litigation
An expired CSED is one on which the statute date has passed (for example, 07/27/2012 is an expired CSED). Even if there is a balance due, do not apply a payment to a CSED on which the statute date has expired.
The earliest CSED is the one that is set to expire first.
If the payment is not for an installment agreement (status 60, 61, 63, 64 or 14), refer to the following:
Use taxpayer intent when applying payments if the taxpayer has indicated where the payment should be applied and the TIN and Name Control are present. See IRM 184.108.40.206.10.3 (1) above.
If there are no modules in balance due status and the payment is not an ACS/Levy payment, then research CC TXMODA or IMFOLT/BMFOLT for the following audit indicators: TC 420, TC 424, "L" Freeze Code. If any of these indicators are present on CC TXMOD/TXMODA or IMFOLT/BMFOLT, apply payment with TC 640 to indicate Audit, various MFTs.
Check for CP 2000 indicators: TC 922, "F" Freeze Code, and Campus' URP control number. If present on CC TXMODA or IMFOLT, apply payment with TC 640, MFT 30.
Check for Substitute For Return (SFR) indicators, varies at each Campus. Apply as TC 640, MFT 30.
If research and/or telephone contact with the taxpayer (see IRM 188.8.131.52.10.4 Telephone Contact to Taxpayers) does not result in the application of the payment, transship the payment to Submission Processing. See IRM 220.127.116.11.11, Preparing Imperfect Payments for Transshipping.