Confirmed Identity Theft victims are provided an Identity Protection PIN (IP PIN) to use when filing their future returns. If the return does not contain the required IP PIN or contains an IP PIN that does not match the IP PIN present in the IDRS entity, the return unposts UPC 147 RC 0. The unpostable returns are routed and maintained in the Generalized Unpostable Framework (GUF) system. After research, unpostable resolution codes (URC) are input to resolve the unpostable condition.

Situations occur where a return needs to be moved (reversed) from MFT 32 to MFT 30 in order for a refund to be processed. The SPIDT function processes requests for reversal only when the return was originally moved by SPIDT or the ERS/Rejects function input special processing code (SPC) "T" .

Authority for these procedures is found in the following sections of the Internal Revenue Code (IRC) and their corresponding Treasury regulations:

All Policy Statements for Submission Processing are contained in IRM 1.2.1, Servicewide Policies and Authorities, Servicewide Policy Statements.

The Director of Submission Processing is responsible for policy related to this IRM.

The Submission Processing Input Corrections Operations Manager is responsible for monitoring operational performance for their operation.

The Manager/Team Lead is responsible for performance monitoring and ensuring employees have the tools to perform their duties.

The tax examiners are responsible for following the instructions contained in this IRM and maintain updated IRM procedures.

Program Goals: Review unpostable returns and ensure that the valid returns are posted to the taxpayer’s account and the fraudulent returns are posted to MFT 32.

Program Reports: Generalized Unpostable Framework (GUF) reports are used for inventory management, work assignment and follow-up. These reports are stored on the Control-D system. Information about specific reports is found in IRM 3.12.32.20, GUF Listings and Reports - General Information and Distribution.

Program Effectiveness: The tax examiner’s (TE’s) case work is subject to Quality Review conducted using the Embedded Quality for Submission Processing (EQSP) System and Measured Employee Performance System (MEPS).

Annual Review: Annually review the processes outlined in this IRM to ensure accuracy and promote consistent tax administration.

The table lists commonly used acronyms.

The following websites and electronic tools are used to resolve the UPC 147 cases:

The IRS adopted the Taxpayer Bill of Rights (TBOR) in June 2014. Employees are responsible for being familiar with and acting in accordance with taxpayer rights. See IRC 7803(a)(3), Execution of Duties in Accord with Taxpayer Rights. For additional information about the TBOR, see Pub 5170, Taxpayer Bill of Rights and TBOR link Taxpayer Bill of Rights FAQs.

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.

Local procedures or instructions are formally issued and communicated through memorandum to employees in a specific office or campus. See IRM 1.11.2.2.1.1, Local Procedures, for guidance.

While working assigned cases, SP employees may come across some accounts that are blocked on IDRS. These accounts can be identified by an IDRS security violation message: "Unauthorized Access to This Account" . When employees attempt to access a blocked case using the Corresponding Imaging Inventory (CII) the error message , "You are not authorized to access this case" will display. Forward the case (e.g., UPTIN screens, correspondence, etc.) to your manager to elevate to Planning & Analysis (P&A) staff. P&A scans the encrypted case to the "≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡" mailbox to request access to the account. Managers retain the original case in a file awaiting access (can take up to five business days). Once notified access has been granted, the case can be processed following applicable procedures.

TAS Background

Referring Cases to TAS

A Form 12412, Operations Assistance Request (OAR), is used by TAS to request assistance on a TAS case when TAS does not have the authority to take the required action. Unless otherwise noted by manager, OAR cases take precedence over other SPIDT cases.

Route SPIDT OAR referrals to SP Input Correction Notice Review (ICN) E-OAR Mailbox at each site. 147 case will be documented in the subject line of the E-mail by TAS. OARs received through the ICN E-OAR Mailbox are distributed to the TAS Liaison or appropriate employee and worked as a priority.

SPIDT should review the OAR to confirm it has been routed correctly. If the OAR has been routed to SPIDT in error, advise TAS that SPIDT works UPC 147 RC 0 and does MFT 32 reversals if the return was originally moved to MFT 32 by SPIDT or the ERS/Rejects function input special processing code (SPC) “T”.

Make every effort to expedite completion of OAR cases. The Requested Completion Date is entered by TAS on Form 12412 in box 3 of Section IV. Send any issued taxpayer correspondence to the case assigned TAS employee while TAS has an open control.

When TAS has requested expedited processing, the Operating Division or Functional Liaison acknowledges receipt via Form 3210, Document Transmittal, secure messaging E-mail, facsimile, or by telephone within one (1) workday of receipt of the OAR. When TAS does not require expedited processing, the Operating Division or Functional Liaison acknowledges receipt via Form 3210, secure messaging E-mail, facsimile, or by Telephone within three (3) workdays of receipt of the OAR.

Contact the TAS employee assigned within one (1) workday when:

Immediately notify management when resolution of a taxpayer's case cannot be completed by the requested completion date or by a negotiated extension date. Work with the Taxpayer Advocate contact listed on Form 12412 to arrive at agreed upon time frames for follow-up based on the facts and circumstances of the case.

Discuss the findings and recommendations on the final disposition of the case with the appropriate TAS contact. The TAS contact is responsible for communicating the final decision on the case to the taxpayer however this does not prohibit the manager/employee from also communicating that decision to the taxpayer.

Elevate cases to Management when staff cannot agree upon the resolution to the account.

Resolve the case, and complete the following information on Form 12412:

Monitor the account for the return to post.

IAT UNP147 ID theft tool will be used by running the GUF 11-40 or GUF 55-40 weekly when the new receipts generate to assist in determining what actions to take and how to resolve UPC 147 RC 0 cases.

Use the following OFP when working UPC 147 RC 0 cases:

The following command codes (CCs) are used for closing unpostable cases.

For more information on the General Unpostables refer to IRM 3.12.32.

Make the determination of whether the unpostable return was filed by the owner of the Social Security Number (SSN) or not. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

Research using CC ENMOD, CC IMFOL, CC TRDBV, CC DDBKD, CC RTVUE, CC NAMES, CC INOLE, CC DUPOL, CC FFINQ, CC REINF, CC IRPTR, etc., as applicable. See the IDRS Command Code Job Aid for more information on each Command Code.

Research for Statute Criteria. IRM 25.6.1, Statute of Limitations Processes and Procedures, provides guidelines for the clearing and processing of Statute-imminent cases. Different methods are used to determine the Assessment (ASED), Refund (RSED), or Collection (CSED) Statute expiration dates. SPIDT TEs should familiarize themselves with this information. However, the SPIDT must clear all statute-imminent cases other than Transaction Code (TC) 291 and TC 301 decreases through the Statute function. Decreases should be forwarded to the Accounts Management Correspondence section whether the statute is imminent or expired.

Compare data from the return and attachments to prior years posted return history to determine if the return was submitted by the SSN owner. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

Review the account and the returns to determine what information matches the previous year's IDT return and what matches the return filed by the SSN owner.

Check CC IRPTR (if available) to verify if the information on the return matches IRP documents. Take the following into consideration:

≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡

All the information gathered through the above research should be weighed, to determine whether the return was filed by the SSN owner or not. Follow the procedures in IRM 3.28.4.4.5, Determination and Closure Instructions for UPC 147 RC 0, to close the unpostable according to the determination.

MFT 32 has been established to contain tax returns that have been identified as IDT or possible IDT. Input TC 971 AC 111 on MFT 30 with the document locator number (DLN) of the IDT or possible IDT return in the MISC field to move to MFT 32. Only TC 976 posts to MFT 32. A return moved to MFT 32 can be viewed using CC TRDBV.

If the taxpayer goes through the Taxpayer Protection Program (TPP) authentication process, TPP opens a control base in IDRS CC TXMOD. Review the unpostable module for a control base (open or closed) to help determine the appropriate resolution procedures.

Follow the steps below when it is determined that the return was filed by the true SSN owner to close the unpostable.

Follow the steps in the table below to close the unpostable when it is determined the return was not filed by the actual SSN owner.

Follow the steps in the table below to close the unpostable when it is determined the return was not filed by the actual SSN owner and an IRSN is located or an IRSN assignment is needed.

If determined that the return was not filed by the SSN owner a closing letter must be sent to inform the taxpayer of the actions taken on the account. Update CC ENMOD as needed, to the confirmed good address and send 4310C Letter, ID Theft Refund Crimes Post-Adjustment Letter. See IRM 25.23.2.3.7, When to Update the Victim’s Address, for more information. If a confirmed good address cannot be located, update the address to the Service Center address and do not send 4310C Letter. See IRM 3.13.5.66, Campus Address Used Only When Taxpayer Address is Unavailable, for the appropriate campus address format.

If the letter is returned as undeliverable, research to see if there was a typographical error or omission in the address or whether the letter was sent to appropriate address. If the address can be corrected, resend the letter, otherwise destroy as classified waste.

Input TC 971 AC 506 when the UPC 147 resolution resulted in determination of identity theft. For more information, see IRM 25.23.2-8, IMF Only TC 971 AC 506 – IRS Determined Tax-Related Identity Theft Case Closure.

Prior to marking the taxpayer's account with a TC 971 AC 506 the function MUST ensure all corrective actions have been taken. Use the following If and Then chart to take the appropriate corrective action.

Send various documents received to Files, including responses to correspondence and duplicate returns.

Use the documents to determine the identity of the return filer. Once the case is resolved, attach the documents to the return and send to Files.

If the return was e-filed, follow the instructions in paragraph four below for sending the documents to Files.

Use the IAT tool, REQ54 Tool-Adjustment Calculator to input the TC 290 on IDRS. This generates a non-refile DLN and creates Form 12249, Adjustment Document, to print and attach to the documents. Use the following information to complete fields on the tool.

Prepare a routing form and send the documents with the Form 12249 to Files within 5 days of input. Monitor the TC 290 until posted.

TAS OARs may be received on closed UPC 147 RC 0 cases that have a -R freeze input by the SPIDT function (return was not moved to MFT 32).

Review the return and account information again. Re-check CC IRPTR to see if any wages, withholding(s), Form 1099s, Form 1042-S, etc., has been added since the case was closed. Use the new information in making a determination.

SPIDT does MFT 32 reversals when the return originally unposted as UPC 147 RC 0 on MFT 30 then was moved to MFT 32 by SPIDT. The original unpostable code displays on the CC TRDBV “CODES” screen. Research to verify whether the return was filed by the SSN owner or not. SPIDT is able to do systemic MFT 32 reversals for the current and previous tax year only. If the return is not for the current or previous tax year, follow the procedures in IRM 3.28.4.5.3, Procedures for Manually Reprocessing MFT 32 Returns.

Take the following actions to move the return to MFT 30:

Take the following action once the return has posted to MFT 30.

ERS/Rejects moves returns to MFT 32 with SPC "T" when a filer does not reply timely to correspondence or the taxpayer responds that the return does not belong to them when corresponded for Error Code (EC) 029. Rejects will forward late replies to 12C letters if the taxpayer responds that they did file the return. SPIDT may also receive OARs or Form 4442s requesting reversal of a return moved to MFT 32 with SPC “T”. SPC T displays on the CC TRDBV “CODES” screen as ID-THEFT Code T. SPIDT is able to do systemic MFT 32 reversals for the current and previous tax year only. If the return is not for the current or previous tax year, follow the procedures in IRM 3.28.4.5.3, Procedures for Manually Reprocessing MFT 32 Returns.

Review the documentation provided for information that verifies that the return was filed by the taxpayer. If estimated payments were not reported, verify whether the taxpayer made the payments or whether the payments were applied to the correct tax period or account. Research using RTR, CC IMFOL, CC IRPTR, etc. See IRM 3.12.3.5.9.4, Reply to Correspondence (EC 029), for more information on reviewing the reply to correspondence. If you determine that the payment does not belong to the taxpayer, but you can determine where the payment should be posted, transfer the misapplied credit to the correct account.

If you cannot determine the correct payer, transfer the payment to the Unidentified Remittance File (URF) or the Excess Collection File (XSF). Use Form 2424, Account Adjustment Voucher to send a payment less than twelve months old to URF. See IRM 3.17.10.3.2, Receiving Unidentified Remittance Cases, for instructions on filing out Form 2424, Account Adjustment Voucher. Use Form 8758, Excess Collections File Addition to send a payment older than twelve months to XSF. See IRM 3.17.220.2.2.1, Preparation of Form 8758, for instructions on preparing Form 8758.

There are times when a return cannot be systemically moved from MFT 32 to MFT 30. SPIDT will manually reprocess returns only if return was originally moved to MFT 32 by SPIDT resolving UPC 147 RC 0 or the ERS/Rejects function input special processing code (SPC) "T". SPC T displays on the CC TRDBV “CODES” screen as ID-THEFT Code T and the original unpostable code also displays on the CC TRDBV “CODES” screen. Manually reprocess the return in the following circumstances:

Obtain a copy of the return if it was not provided with the referral.

Follow these steps to have the return processed as a new return to allow assignment of a new DLN:

A TAS OAR may request authority to process a manual refund for a hardship case related to a return incorrectly moved to MFT 32. If it is determined that the return is still in the extended process of posting back to the MFT 30 when the refund should be released, TAS must be delegated with the authority to issue a manual refund. Permission for a manual refund should be issued, only when there is an unreversed TC 971 AC 052 present on MFT 30 with a blank MISC field or a TC 971 AC 052 with a MISC field of RRPNONIDT, indicating that the income and/or wages require further verification by RIVO.