Returns and documents suspended from normal processing are Rejects. Work may be included in the suspense/rejects inventory for any of the following reasons:

Submit IRM deviations in writing following instructions from IRM 1.11.2.2.3, When Procedures Deviate from the IRM, and elevate through proper channels for executive approval.

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

TAS uses Form 12412, Operations Assistance Request (OAR), to start the OAR process of referring a case to the Taxpayer Services (TS) Division, to affect the resolution of the taxpayer’s problem. For more information, refer to IRM 13.1.19, Taxpayer Advocate Service, Taxpayer Advocate Case Procedures, Advocating With Operations Assistance Requests (OARs).

Refer taxpayers to TAS when the contact meets TAS criteria or when Form 911, Request for Taxpayer Advocate Service Assistance (and Application for Taxpayer Assistance Order), is attached and steps can’t be taken to resolve the taxpayer’s issue the same day.

The definition of "same day resolution" is within 24 hours. The following two situations meet the definition of "same day resolution" :

When making a TAS referral, Use Form 911 , and forward to TAS following local procedures.

See IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria, for more information.

Businesses use frivolous arguments for expressing dissatisfaction with the substance, form or administration of the tax laws by trying to illegally avoid or reduce tax liabilities. See IRM 25.25.10, Frivolous Return Program, and Exhibit 3.12.38-8 Potential Frivolous Arguments for Examination Review, for a list of recognized frivolous arguments made by businesses.

Review the return to decide whether it appears to be a frivolous return.

Do not consider the following returns as frivolous, unless there is other evidence of a frivolous argument:

Criminal Investigation (CI) investigates potential criminal violations of the Internal Revenue Code (IRC) and related financial crimes. Criminal violations of the IRC include willful attempts to evade or defeat the income tax. Criminal tax violations also include the willful failure to collect or pay over tax and false claims for refunds based on bogus return information.

If CI has stamped the return, do not send for further CI action.

For returns with refund claims ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡, do the following:

Because of the repetitive nature of the ERS/Rejects function, ERS/Rejects Tax Examining Technicians often recognize income tax return data which is outside of the norm for data found on similar returns for each income tax return type. If ERS finds return characteristics not meeting Audit Code or Exam referral criteria it deems suspicious, CI is available to review the referral.

If a suspicious return is found, and there is no sign Code and Edit (C&E) made a copy and sent to CI Referral, then do the following:

If the return fits other criteria (e.g., Frivolous Argument), take proper action.

The primary goal in identifying tax returns for examination is to promote the highest degree of voluntary compliance. Examination gives support and help Submission Processing (SP) with any questionable return found during processing. Exam has a vast multitude of programs and tolerance criteria already found in several IRM sections. SP can refer any questionable returns to Exam, unless prohibited by instructions currently found in several IRMs.

Some returns will need special care. If the withholding is ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡, attach Form 4227 and place in the locally designated basket for Examination, Frivolous Return Program (FRP) for review. Pay particular attention to returns with Form 1099-OID attached.

BMF ID Theft is increasing. If a case is found with attachments or correspondence showing the taxpayer is a victim of "ID Theft" :

The manager/lead will expedite the case to the P&A staff for referral to one of the Submission Processing (SP) BMF ID Theft liaisons. The taxpayer must show that they are a victim of "ID Theft" ; do not send cases that are subject to Criminal Investigation (CI), Examination (Exam) or Fraud review.

Correspondence Imaging Inventory (CII) is an inventory system for scanning all Accounts Management (AM) receipts into digital images and working the cases from those images.

"CII" returns are shown with "CII Image - Do not correspond for signature" stamped below the signature line or "CII" annotation on the front of the return.

Follow the instructions below for processing "CII" returns:

The Internal Revenue Service (IRS) Restructuring and Reform Act of 1998 (RRA 98), Section 3705(a), gives identification requirements for all IRS employees working tax-related matters.

All IRS employees who communicate by telephone, face to face, or any other method of correspondence with taxpayers or their personal representatives, on tax-related matters must give (at a minimum) the following information:

When a taxpayer requests to speak with a specific employee who previously worked their inquiry or request, or complains about the level of service previously given, make every attempt to resolve the taxpayer’s inquiry. If unable to resolve the issue, refer the inquiry using established procedures to the manager.

Secretaries, receptionists, or other people who answer the telephone in functional offices need to identify themselves and should give their badge identification (ID Card) number only if they are answering telephones which are routinely used to give tax or account information.

It is not necessary to repeat the badge identification (ID Card) number on a subsequent contact, when the nature of an employee’s work involves multiple contacts with the same taxpayer and the employee has given the taxpayer (either telephone or in-person) his or her badge identification (ID Card) number on the first contact.

The LC76440 report is located on Control D and contains the data used to generate the daily review sheets. This report is imported into the CARE Reports Access Database program. Using the Reports menu, the following types of review sheets can be generated:

The LC76301 report can be found on Control D and contains data showing the before CARE and after CARE status of each return. This report is input into the CARE 2.03 Access Database to generate accuracy reports for each return. The following accuracy reports can be generated:

The Utility Window is used to specify review begin and end dates. This will allow weekly, monthly or yearly accuracy reports to be generated.

Each morning, the applicable Control D reports (LC76440-BMF and LC76441-IMF) should be loaded into the CARE Access database. See IRM 3.12.38.1.13.1, CARE Reports. The daily review/pull listings are then generated and printed.

Using these listings, the returns are then located and made available to the CARE reviewers.

To prepare the return for review, the previously sent TPNCs must be deleted. Take the following steps in the order shown:

The return is now ready to be reworked and should be either corrected or a notice(s) sent. Refer to form specific IRMs.

It is important that each return is worked completely. The ERS screen will display the message, "Error Block Completed" . If this message does not display, the return has not been closed and will remain in the ERS inventory.

If the return was worked incorrectly by the ERS tax examiner, feedback may be given following local procedures.

At most Submission Processing Centers (SPCs), the carts of documents are retained until:

To maintain effective control, it is imperative that all documents be identified by work group based on the Julian date of processing through the Generalized Mainline Framework (GMF).

Any documents that can’t be sent to Files within the normal 4-5 day period should be maintained in a researchable order by work group, so the documents can be pulled by Files personnel.

Most document requests are processed by the Files function. However, priority charge-out requests will be honored when the blocks are located in Error Correction.

Some documents will be separately sorted, blocked, and numbered so that they can be easily routed to other campus functions for subsequent actions:

Form 813 is routed to Files after the errors are corrected for these documents.

The documents will be routed to the appropriate areas.

All other documents will be routed to Files.

The error and reject register correction systems provide a great deal of flexibility in deciding what registers and inventory listings will be printed each day, and in what sequence.

Sections I, II, and IV of Form 6826 are used for error registers. Sections III and V are for rejects.

This card will be prepared when the Correction ABC/Sequence Number (SN) is generated.

The Error Display Card is to request the printing of raw and loop error records from the error tape and must be input daily.

A separate line must also be completed, if only certain programs within a Master File are being requested. Use the Program Number field to select specific programs within a Master File, to be printed on the register. Enter the complete Program Number or enter any lead numeric followed by Xs. The program numbers may be entered as follows:

Use the Raw field to select the raw error records to be printed on the register. This field contains seven positions for year and Julian date (YYYYDDD). A request for loop registers will override the default values which have been set.

Loops, first through fifth - The same criteria for raw errors applies to loop errors.

Subsequent Loop (YYYYDDD Only) - All error records that have Error SN Julian dates less than or equal to the YYYYDDD entered, will print as "sixth loop or over" errors.

Be sure that all records with old Julian dates are printed on the error register.

Valid Error Display Cards will appear on the listing with nothing printed in the last column of the report. The last column of the report does not have a printed title.

Invalid Error Display Cards will appear on the listing with "INVALID" printed in the last column. The Error Display Cards are invalid if any of the following conditions are present:

This card should be input whenever a Reject Inventory or Aged List is required, or reject loop registers should be printed.

Prepare the Reject Display Card as follows:

Prepare an Error Sort Card to request changes to the following conditions:

Generally, the sort requests should not change from day to day. If a request is not input, the computer will default to the last request made.

Each horizontal line on the Error Sort Card represents a computer line. A separate line must be prepared for each Master File. Circle for the appropriate Master File Code as follows:

The Print Sequence field determines whether the error records are printed in transcribed batch sequence or in DLN sequence. Circle the appropriate number on the card for Raw, First, Second and Subsequent Loops.

Circle "1" for each register to print an Error Pull List.

Correction ABC/SN - This field determines whether the computer will generate correction record ABC/SN for raw and first loop records. Circle the appropriate number or leave blank if the numbering is not to be generated.

If the Correction ABC/SN has been computer generated, a computer card must be prepared daily to assign the beginning ABC.

This card is prepared only if the Rejects Unit wishes to change the way that registers are sorted or the way the Current Reject Listing or Pull List is printed.

Complete Form 6826 electronically and follow the steps below to input the IRWorks RF

As new data enters the Submission Processing Center (SPC) computer, the computer performs:

After data for an input document passes all required checks, it is sent to the Martinsburg Computing Center (MCC). This is known as good tape.

If the data for an input document does not pass all the required checks, the record is placed in error status.

The last number on the right side of the Document ID line is a register counter to be used to count the number of errors within a batch of work.

The Error Display Run Control Report, GMF 10-40, is generated daily as a computer summary of the error processing for the day. This report reflects the totals for the:

Three portions of this report are used in preparing Form 6826, Error/Reject Display Request Card. See IRM 3.12.38.2.2.

The Daily Error Volume Report is a listing of volumes of error records in each program on the error tape.

The information is provided by Master File in Error Sequence Number by Julian date.

The Error Register Summary is produced when the error register is printed.

This summary contains totals for each type of error document by Program Number and error status (for example, Raw, 1st Loop, and Advanced Loops).

The listing also provides the total error documents in error status for all program numbers within a Master File. It is not a comprehensive total of all records on the error tape. Those figures are available on the Daily Error Volume Report.

The Error Correction Control function receives the error register from the Computer Branch normally within half a day after receiving the carts of newly transcribed documents.

Many SPCs use various local controlling, routing, or sign-out forms prepared by the Error Correction Control function.

Each error register is corrected, transcribed, and re-validated. If the record is still unresolved, a loop error register is printed and worked in the same manner as the original register.

In most SPCs, first loop registers are worked directly from the document carts in the same manner as raw.

For second loop, all documents should be pulled from the blocks and associated directly with the individual error registers.

All errors should be corrected or rejected within three weeks of the Error Sequence Julian date.

The Error Pull List, GMF 10-42 is used as an aid for locating source documents for error register items. It is printed in the same format as the error registers.

The list is printed for the loop in which the documents will be pulled from the block, for association with the register.

The Error Pull List Summary may be used to assist in scheduling the resources needed to pull documents.

Corrected error registers are released to the control function as the pages are completed by Tax Examiners and/or Quality Review. They are batched and routed to ISRP throughout the workday until the daily cut-off.

Each block of registers must have a correction alpha block control (ABC) and each corrected register requires a serial number. If the ABC is generated and is to be transcribed:

If a record on the error register is not to be corrected at all for that day, the SN must not be stamped or written onto the register for that record. In addition, if a generated SN is present, it must be lined through. The absence of any SN or the presence of a lined through SN will indicate to ISRP not to transcribe any correction data for that record.

The error registers are returned to Error Correction after transcription. They may be destroyed after verification that no unusual problems have occurred on the subsequent loop.

Each reject register must be associated with the source document. The specific procedures for pulling and associating the documents are determined by SPC management.

The Reject Inventory List, GMF 11-43 is a listing of all items in the reject inventory as of date of the listing. It can be sorted by any of the following:

The inventory list should be generated at least once a week as a research tool for items in rejects.

Retain this list for at least one year.

The Reject Display Card is used to request the inventory list and select the sequence(s) for the printed list.

The Reject Pull List, GMF 11-44 is a list of items in the reject inventory and is printed upon request. The list is always printed in the same sequence as the reject register. If the registers are sorted by source, the headings will show the registers as:

Use the Reject Sort Card to request the Pull List to designate whether the registers will be sorted by source.

As the document is rejected, it may be pulled by:

The documents may be pulled from the reject register or from the Pull List.

Upon receipt of the documents and registers, the Reject Control Clerk will compare document and register for correct association:

Route the work to the applicable functions within the unit. The following cases should be worked on a priority basis:

Some reject registers will be received without documents.

Each corrected reject record is subject to the normal validity checks just as any error record.

Reject loop records are part of the reject inventory and will print on the Reject Inventory List, Reject Aged List, and Reject Disposition List. Corrected loop records do not print on the Correction Verification List

Reject loop registers must be associated with the documents the same way as raw rejects.

Reject loop registers should be printed at least once a week but may be printed as often as daily. As Program Completion Dates (PCD) approach, the loop registers for those programs should be requested more than once a week.

Use the Reject Display Card to request printing of the loop.

Use the Reject Sort Card to determine the print sequence and to request the pull list.

If a document reappears on the loop register more than four cycles and it is not due to a programming issue, coordinate with your Lead/Manager, at their discretion, to:

The Reject Register Summary, GMF 11-45 lists all programs and categories of reject registers for the day and is:

Batch the completed reject registers for data transcription as follows:

Assign a sequential Serial Number to each register.

Enter an alpha sticker on the top-left corner of the first document in each block. Prepare a transmittal to ISRP according to local procedures.

The registers are returned after transcription and matched against the Reject Correction Verification List.

The Current Reject Listing, GMF 11-46 is a daily list of all items added to reject inventory on that date.

The Reject Correction Verification List, GMF 11-48 is printed in correction block and Serial Number sequence for easy association with the reject registers returned from transcription.

The following registers should be pulled from the block for re-transcription or, if necessary, to be re-worked:

Check the Summary and reconcile the total count with the number of registers processed.

Retain the Correction Verification List as an index to the corrected registers for at least one year.

Items identified as "Invalid" will always loop. Some of the reasons for "Invalid" corrections are as follows:

The Reject Disposition List, GMF 11-47 is used to research rejects that have already matched corrections input.

This listing is printed in RSN sequence and includes all corrected rejects for that date, both raw and loop.

Each entry includes a literal indicating the disposition of the document, or in the case of renumbered documents, includes the new DLN.

The new DLN must be verified with the document before release. Verify by comparing with the new DLN on the Disposition List, GMF 11-47 or on the New DLN Record List, SCF 11-48.

Retain the Disposition List as a reference for at least one year, so that corrected reject registers can be located.

The correction ABC and serial number are shown on the Disposition List.

Pull from the carts of documents received from ISRP for that day, those individual documents shown on the New Suspense List as suspended by Code and Edit.

Pull from the carts of documents received from ISRP for previous days, those individual documents shown on the New Suspense List as suspended by Error Correction.

Ensure that all source documents for each record shown by the New Suspense List to be received from Unpostable Resolution have actually been received.

Ensure that the documents for all entries not marked missing, on the Suspense List, are present.

Ensure that charge outs for all entries on the New Suspense List including those marked as missing are present.

The charge outs for the records on the New Suspense List will have the literal "SUSPENSE" .

Documents processed through Service Center Recognition/Image Processing System (SCRIPS) will be received in ERS without staples and sorted into "Perfect" (Documents without attachments) and "Imperfect" (Documents with attachments and/or envelopes).

Pull from the carts of documents received from SCRIPS for that day, those individual documents shown on the New Suspense List as suspended by Code and Edit. Replace each document removed from its original block with the original copy of its associated charge-out.

When pulling documents from a "Perfect" (documents with no attachments) truck, ensure that all pages are pulled (page 1, 2 and/or Schedule B)

When pulling documents from an "Imperfect" (Documents with attachments and/or envelopes) truck:

Pull from the carts of documents received from SCRIPS for previous days, those individual documents shown on the New Suspense List as suspended by Error Correction.

Ensure that the documents for all entries not marked missing, on the Suspense List, are present.

Ensure that charge-outs for all entries on the New Suspense List including those marked as missing are present.

The charge-outs for the records on the New Suspense List will have the literal "SUSPENSE" .

The instructions in this section for routing and filing refer to several different suspense files. These files will be maintained separately or combined in a single ERS suspense file. The ERS automated control system will be easier to maintain by using a single ERS suspense file.

The Action Code printed on the charge-out indicates the disposition of the document. Form 8161 stays with the document for routing and/or history.

Action Code 21X, 225 and 226 - Correspondence:

Action Codes 331 and 332 - Criminal Investigation Review:

Action Code 370 - Examination Review:

Action Codes 310, 320, 333 through 337, 34X, 360 - Suspense to Other Functions:

Action Codes 351, 410, 510, 6XX, 700, 900 - Workable Suspense:

Action Codes 352 through 355 - Suspense:

Action Codes 420 through 490 - Management Suspense:

Action Codes 511 through 515 - Missing Documents:

This report lists each record that is deleted from ERS. It is printed each day and contains the following:

For each rejected record, there is a charge-out, with the literal "REJECT" .

Route the documents according to the Action Code shown on the listing.

Action Code 610 or 611 - Renumber.

Action Code 620 - route the documents to the Automated Non-Master File (ANMF) function in Accounting.

Action Code 630 - routed to Batching for re-input after verifying that Form 3893 has been prepared for each block DLN.

Action Code 640 - indicates documents that have been voided.

Action Code 650 - Route International documents to the Ogden Submission Processing Center (OSPC) per local procedures.

Action Code 660 - Data Control Delete.

Action Code 670 - Missing documents.

Keep the Rejected Records List for one year as a reference.

This section of the manual lists the procedures that are to be followed for loose documents.

A loose document is any document, form, or letter that was detached or cannot be associated with other related forms.

When a loose document is found, check the inventory to see if the case is in SCRS or ERS.

This section of the manual lists the procedures that are to be followed for the disposition of ERS records and documents. Information in this section includes the following:

If the primary and/or secondary name(s) exceed the 35 - character/space limit, use the table to correctly reduce the taxpayer’s name:

According to postal regulations, mail will be delivered to the last address immediately preceding the city, state and ZIP code. A Post Office (PO) Box will always be the mailing address, if present. For trusts and estates only, if the taxpayer indicates the street address is the mailing address and the PO Box is the location address, leave the PO Box as the location address.

When inputting either the mailing or location street address information, follow these guidelines:

If city or state is missing or incomplete and the ZIP code is present, research the United States Postal Service (USPS) web site at http://www.usps.com to determine the city and state.

Only the primary five digits of the ZIP code should be entered. IDRS and the FINALIST program automatically expand the ZIP code to 12-digits.

Mail going to a domestic taxpayer will carry two name lines. The priority of these name lines is as follows.

To ensure outgoing mail contains pertinent information, primary name, care of name, sort name and address must be properly input.

If the city listed is a major city, the Major City Code may be input in place of the city and state information on the mailing address and location address. Major City Codes are now universal and can be used in any processing site. If the Major City Code is used, it must be followed by a ZIP code. (Input requires that the Major City Codes be followed by two commas and then the ZIP code.) See Document 7475, State and Address Abbreviations, Major City Codes (MCCs), ZIP Codes and Countries.

If there is any question regarding the correct mailing and/or location address (directionals, building number range, ZIP code, spelling, etc.) access the USPS web site at http://www.usps.com. Adhere to the IRS address abbreviation rules.

The words "East, West, North, South" will only be abbreviated when used as a directional for a street name. For example:

Plurals for street, road, avenue, etc., will be entered as STS, RDS, AVES, etc. Street address for First, Second, Third, 1st, 2nd, or 3rd will be entered onto IDRS as the taxpayer entered.

Always use the address on the document. However, common abbreviations are acceptable. (See Document 7475).

The following abbreviations will only be used if needed to limit street address fields to 35 characters:

When the correspondence letter has been prepared, the return is placed in a suspense file awaiting the reply from the taxpayer.

When taxpayer reply is received:

When the taxpayer reply for EP/EO correspondence is received, the ERS clerical team will make copies of the needed information, ensuring each copy is clear and centered. All staples will be pulled prior to making copies. Refer to IRM 3.20.12.3.8 and IRM 3.20.12.3.10 (7) and (8), Imaging and Perfecting Exempt Organization Returns for Public and Internal Viewing, for more re-imaging information. Information will be attached in the following order (do not staple):

Maintain each document and Correspondence Action Sheet in a suspense file for ten days after the period given for the taxpayer to respond.

If a reply is received without the proper identification number, research the inventory to obtain the correct number.

Any current year return claiming ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ and any prior year return claiming ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ is subject to the following procedures.

Returns meeting the criteria above will be flagged with a purple tag indicating "CTW review" when correspondence is initiated.

If a reply is received, pull the return and give the reply and return to the Lead. Do not activate the return until it comes back from LB&I.

If no reply is received, follow the same procedures.

The Internal Revenue Code provides that the IRS will assess and collect taxes and refund credits within a specific time limit.

Rejects will review all prior year returns and all documents rejected for more determination as statute expiration cases.

Potential statute expiration cases will be hand-carried to the Statutes Unit.

Some cases will be received in Rejects which have already been identified as true statutes cases. These returns are not re-routed on Form 3210 but can be voided immediately to Files.

Code and Edit and Error Correction will identify returns that suggest questionable or fraudulent refund schemes.

The specific situations to be identified are included in other sections of IRM 3.11, Returns and Document Analysis and IRM 3.12, Error Resolution.

For ERS, the following Action Codes are used to route cases to Examination:

For ERS, the following Action Codes are used to route cases to Criminal Investigation (CI):

Action Code 331, Protest Review, are used for cases held in Error Resolution for review by a representative of Examination.

Action Code 332, QRDT Review, are cases held for CI.

For SCRS, all cases will use Computer Condition Code (CCC) U (Code and Edit) or Action Code 3 (Error Correction).

When the case is returned from CID, follow the corrective action indicated on Form 4227 or other attachment.

For ERS, enter a "C" in the Clear Code Field if instructed to process the return.

Follow the same procedures for Action Code 370 (Examination) referrals.

Documents should be routed to Entity Control Unit if research is unsuccessful when:

ERS documents are suspended with Action Code 320 (paper returns) or 321 (MeF returns).

Revenue Procedure 2013-30 allows taxpayers to file Form 2553, Election by a Small Business Corporation, with their initial Form 1120-S. These returns will generate Action Code (AC) 347.

Following are the procedures to be followed for AC 347.

Suspense/Rejects will do the following when documents are returned from Entity:

Taxpayers may provide address changes on Forms 8822/8822-B, Change of Address/Change of Address - Business.

Forms 8822/8822-B are to be processed by Entity Control Tax Examiners when received loose at the campus.

If Form 8822, Change of Address, or Form 8822-B, Change of Address or Responsible Party- Business, is attached to the return, compare the name and address information on the Form 8822 or Form 8822-B to the return.

Forms 8822/8822-B received with taxpayer replies will be separated from the reply and routed to Entity Control.

Prepare a non-suspense Letter 86-C to notify the taxpayer that the return is being routed to appropriate SPC and that future returns should be mailed to that campus.

Attach all IDRS prints used to determine the return is IMF and transship the return to appropriate SPC.

Notate 86-C prep on the document.

The US Postal Service has given military addresses their own state abbreviations within certain ZIP code ranges. Allow only the following state codes for APO, DPO, and FPO addresses.

Include the letters "APO" , "DPO" , or "FPO" in the city/state field line, enter the 2-digit state code, then enter the 5-digit zip code.

All renumbered documents should be held until verification that the new DLN has been properly transcribed and has properly updated the SCCF.

DLNs can be verified from any of three different listings or from CC SCFTR.

Compare the new DLN shown on the document with the new DLN on the listing.

When all items in a new block have been verified, route the block to Batching for input. Be sure to include the original Form 813 or Form 1332 as the block header document.

The following table lists the majority of the IDRS and ERS command codes used in the ERS, Rejects and Suspense functions. Many of these command codes can be accessed via the IAT Tool.

For further explanations, screen displays, and applicable definer codes, refer to IRM 2.3, IDRS Terminal Responses, IRM 2.4, IDRS Terminal Input, and the applicable training series.

If there is a change to the EIN, ERS is required to issue the Letter 3875-C letter to advise the taxpayer for the EIN change.

Do not send Letter 3875-C:

Refer to specific 3.12 IRMs for instructions.

An ERS Action Code is a three-digit numeric code used to indicate the reason for suspending or rejecting a record.

An Action Code is assigned to a record in the following functional areas:

Each field is identified by an Alpha/Numeric Field Designator displayed before that field.

Negative values will be indicated by a minus sign (−) following the amount.

Decimal points are displayed for dollars and cents.

Corrections are entered starting with the left-most position of the field after the first space.

Corrections can be made to a displayed field by overlaying only the digit(s) in error and not re-entering the entire field.

When transmitting corrections to a screen display, move cursor below the last field containing data before transmitting.

All records with an invalid Action Code assigned by Code & Edit or Action Code 001 will be placed in the Error Inventory and displayed as a Priority I Error.

Records with a valid Action Code, assigned by Unpostables or computer generated Action Codes, will be assigned to a Suspense Inventory and will be displayed as a Priority I Error.

Most edit, missing section, and terminus errors should be eliminated by the Integrated System Remittance Processing (ISRP).

The following conditions may be present if normal ISRP validity checks have been bypassed:

All transcribed fields, except the ERS Action Code and the Remittance (Payment Received), will be displayed in columnar format with or without data. The error type will also be indicated for ISRP Problem Code errors. Only one section (error) will be displayed at a time.

Any individual section excluding computer generated fields and the Action Code will be present. (The Action Code is an uncorrectable field except as defined for CC SSPND and RJECT.)

Definition—Any field failing to meet the requirement(s) for that field (and that field only) will be shown as a Priority III Error.

Individual field validity errors to be bypassed after initial consideration will be shown as Priority IV Errors. Some reasons for field errors include:

Display—All fields with a Priority III Error will be displayed in the order encountered in the record.

The Action Code and TPNCs will never be displayed as a Priority III Error.

An overflow field is identified by all question marks for a money field or a single pound sign in the last position of a name line.

Correction:

Any valid field used in any computation in which the result is inconsistent with or contradictory to any other valid field or fields will have Error Code 001-999 assigned to it by the computer shown as Priority IV Error.

Using valid fields, if the result of the computer computation of an amount differs from that which is contained in the record, the computation fields will be shown as a Priority IV Error.

Document Perfection and ERS are responsible for identifying refunds and for initiating requests for manual refunds.

Action Code 341 should be input by Code & Edit to show that a manual refund is needed. If these conditions are not identified in Code & Edit, ERS must follow the following criteria:

The Error Registers are listings of document records that failed the validity, consistency, or math verification tests of the Submission Processing Center computer.

The Error Register Title Line identifies the Run Number and Master File, type of record, type of register, and source of the error register, program, form number, Format Code, date, and page number. It will appear as the first printed line at the top of each page.

The Generalized Mainline Framework (GMF) processes all Master Files on one file, but the error registers will be printed separately for each Master File listed below.

The title line designates that the register is raw or loop.

For loop registers, the correction loop counter specifies which loop may be contained on the page.

The Error Register ID Line will identify each document on the error register and, sometimes, why the document is on the error register.

The Correction ABC and SN are present when requested on the Error Sort Card.

The IRP error register may contain a "$$" or "%%" to the right of the generated SN.

The Error Sequence Number (ESN) is assigned to each raw input document that is determined to be in error.

The Service Center Block Control Number is a three-digit alpha-numeric assigned to a block of documents and input by ISRP for control purposes. It is used to associate error registers with blocks or documents.

The Batch Number is a four-digit number assigned to a group of blocks which have been associated for document control purposes and which have identical program code, tax class, document code, and other specific record criteria.

The Document Locator Number (DLN) is a unique 14-digit number assigned to each document within a block.

The Block Header MFT is a two position numeric code, which is used to further identify the types of documents in a block.

The Invalid Correction Error Reason Code is a code indicating that the last error register correction attempt was invalid.

The Error Reason Codes are document specific codes explaining the reason an input document is on the error register.

The Math Status Code is a one-digit numeric code that indicates whether a return is mathematically correct, or in error within tolerance, or in error out of tolerance. If this Math Status Code is not used for a document, then the field is blank. The valid code values and meanings are as follows:

The XXX (Specific Document) Error Reject Document Identification Data provides specific document identification data for more information regarding the records.

The Correction Loop Counter is a two-digit numeric field that provides the number of times a particular record has appeared on a Loop register.

The Correction Match Counter is a two-digit numeric field that provides the number of times that a document on the error register has had a correction matched to it.

The Last Action Code Used is a code identifying the correction action code applied to an error document to resolve an error condition.

The Error Register Consecutive Counter is an ascending and consecutive count of error records as they appear on the error register.

Each error register document record contains one or more sections of data.

The fields of each section begin on the same line as the Section Number.