The purpose of Error Resolution is to resolve validity errors, field errors, consistency errors, and math errors in returns and other documents for posting to the Master File. Records fall out in Error Resolution System (ERS) due to the Generalized Mainline Framework (GMF). The entries from transcription are transferred to ERS fields. The GMF programming causes a record to fall out to ERS if it fails to meet certain criteria, including:

Employees use ERS to correct these conditions and when necessary, use Integrated Data Retrieval System (IDRS) to research.

Authority for these procedures is found in the following sections of the Internal Revenue Code 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 Campus Director is responsible for monitoring operational performance for their campus.

The Operations Manager is responsible for monitoring operational performance for their operation.

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

The Team Employees are responsible to follow the instructions contained in this IRM and maintain updated IRM procedures.

Program Reports: System control reports are on the Control-D WebAccess (CTDWA) and a general listing of the reports are found in IRM 3.12.38, Error Resolution, BMF General Instructions.

Program Effectiveness is measured using the following:

Quality Review conducts a statistical valid sample size review of completed work to ensure IRM guidelines are followed.

For Terms, Definitions and Acronyms See Exhibit 3.12.15-24.

The following table lists related sources:

The purpose of this initiative is to achieve consistency in the Business Master File (BMF) Error Resolution System (ERS) processing IRMs.

Ogden, Kansas City, and Paper Processing Branch, BMF Code and Edit and Error Resolution System (ERS) identified and developed topics for BMF Consistency.

A ♦ (diamond) before and after the subsection title shows BMF Consistency subsections.

Text in normal print is the common process for BMF returns. The text in BOLD print is form specific and applies to this IRM only.

Submit IRM deviations in writing following instructions from IRM 1.11.2.2.4, When Procedures Deviate from the IRM, and elevate through proper channels for executive approval.

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

Expeditious processing of refund returns is critical if the 45-day period is about to expire.

Taxpayer Advocate Service (TAS) Manual Refunds - any return hand walked by W&I Submission Processing (SP) liaison for Taxpayer Advocate Service my be processed by a Lead Tax Examiner or designated tax examiner using the following procedures in the order listed:

Correspondence: If required for missing or incomplete information, follow the procedures below:

More suspense action needed: If the return requires other suspense action, then follow procedures below:

Assigning Taxpayer Notice Codes (TPNCs/Math Error). When a math error is identified, do the following:

When Balance Due/Overpayment Math Error Code (EC) generates do the following:

Rejects Suspense Procedures:

The Taxpayer Advocate Service (TAS) is an independent organization within the Internal Revenue Service (IRS), led by the National Taxpayer Advocate. Its job is to protect taxpayers’ rights by striving to ensure that every taxpayer is treated fairly and knows and understands their rights under the Taxpayer Bill of Rights (TBOR). TAS offers free help to taxpayers, including when taxpayers face financial difficulties due to an IRS problem, when they are unable to resolve tax problems they haven’t been able to resolve on their own, or when they need assistance to address an IRS system, process, or procedure that is not functioning as it should. 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 Wage and Investment (W&I) 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 cannot 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 your local procedures.

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

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. They should provide 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 by telephone or in-person) their badge identification (ID Card) number on the first contact.

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 3.12.15-22, 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:

All Form 1065 Error Screen displays will appear as follows:

Records will be placed into the Error Inventory or the Workable Suspense Inventory for correction. Once the Error Resolution Tax Examiner accesses the record and it is displayed on the screen, it must be:

Each day the Error Inventory Report will be furnished showing:

Each day the Workable Suspense Inventory Report will be furnished showing the records by Program in DLN order for various status situations. Separate pages for each program, with totals, will be given.

The first line of the report will show the number of working days that the records have been in the Workable Suspense Inventory. This will allow priority to be given to the older work.

All Form 1065 Error Screen Displays will display as follows:

Corrections are entered starting with the left-most position of the field. Blank-out unused positions.

Be careful not to enter more than the number of positions allowed for a particular field. If more data is entered, the overflow characters will display on the screen but are dropped when the field is added to the record. This is especially important for the Taxpayer Identification Number (TIN), name and address.

Corrections can be made to a displayed field by overlaying only the digits in error and not re-entering the entire field. It is not necessary to eliminate the decimal point when correcting in this manner.

If it is necessary to add a missing section:

If it is necessary to see a field or section of the record other than that shown in the display:

If it is necessary to delete a section of the record, enter CC DLSEC, followed by the desired section Number.

If it is determined during the course of correcting a Priority II, III or IV Error, that more information or research is necessary to resolve the error (or if the error is rejected), enter the appropriate Action Code with either CC SSPND or RJECT.

The Command Codes (CCs) needed for correcting the Error Inventory and the Workable Suspense Inventory are briefly described below. Any CC in the Employees Security Profile will be available:

Action Codes (AC) are input when information is missing, or the return must be suspended from processing.

For a listing of valid ERS Action Codes, see IRM 3.12.15.2.12.1 , Action Code Chart, below.

Document Perfection Tax Examiners will assign a three digit code to a numbered return when they determine that the document is unprocessable in its present form either because more information is necessary or some manual intervention is required. This code will be entered in the bottom left margin of the return.

A Correspondence Action Sheet is used for initiating correspondence. This form is attached by Document Perfection. When routing within the campus (in-house research), an explanation concerning the missing information will need to be attached to the return.

The Action Code assigned by Document Perfection will be transcribed into the record of the Form 1065.

The presence of a valid Action Code other than 001 will place the record in the Suspense Inventory, either Workable or Unworkable.

If the Action Code assigned by Document Perfection is invalid or incomplete, the record will be assigned to the Error Inventory for correction or deletion of the code.

Only one Action Code may be assigned at one time to a record. The priority of the Action Codes will be 320, 4XX, 6XX, 3XX, 2XX.

An ERS Tax Examiner may:

DO NOT correspond with the partnership when there is an indication on the return that no transactions transpired during the tax year.

Correspondence records with Action Code 21X will be automatically suspended for a predetermined number of days or until the taxpayer replies, whichever is earlier.

As an ERS tax examiner issuing correspondence you may either:

No reply to correspondence requires a Computer Condition Code (CCC) "3" in Field 01CCC. See specific IRM procedures and No Reply Procedures in Exhibit 3.12.15-23.

Most correspondence is either computer generated notice, computer generated letter or preprinted letter. All correspondence now reflects a response period within 30 days and the consequence for not replying.

If special notes or letters are developed, conform to the language and response periods that are used in (4) above. Use the following guidelines:

Review all attachments to determine proper disposition:

Any attachment or photocopy of an attachment that is routed elsewhere must have name, address, EIN and Received Date.

If Form 8697, Interest Computation Under the Look-Back Method for Completed Long-Term Contracts, is attached, process as follows:

The following instructions are given for these special condition returns:

Under the Inflation Reduction Act (IRA of 2022 and CHIPS and Science Act of 2022, the taxpayer can elect to:

For tax periods 202201 - 202212, identify a "Elective Payment" or "Deemed Payment" when the taxpayer writes "IRA22DPE" on an attachment or on Form 1065, Line 29

When a return is identified with a "Elective Payment Election" , and Code and Edit (C&E) has not done so, do the following:

When a return is identified with a "Credit Transfer" , and C&E has not done so, do the following:

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 of ≡ ≡ ≡ ≡ ≡ ≡ ≡ or more, 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 helps 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 return to Exam, unless prohibited by instructions currently found in several IRMs.

BMF Identification (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 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.

It is important to leave a legible "Working Trail" , (or "Action Trail" ) using blue ink for those who may work the return later.

Write all Taxpayer Notice Codes (TPNCs) 90 on the front of the return in the upper left corner, (or use Form 12648, Error Correction 90 TPNC).

If corresponding with a non-suspense letter, "X" and write the corrected money amounts to the left of each original point(s) of error. Write money amounts in dollars only or dollars and cents, as applicable. Arrowing is allowed for money amounts when there are no intervening entries between the arrow and the line to which the money is to be entered.

Leave a working trail on the return when changes are made to the following items:

When working Reject re-inputs, circle out any previous Action Codes shown on the front of the return if no longer applicable.

When working Rejects, write "Voided" with the date above the DLN, in red, when voiding a return.

Description:

Display - The Action Code for the record with the literal description of the action or unpostable condition will be shown.

Correction Procedures - Process Priority I errors as follows:

See IRM 3.12.38, BMF General Instructions, procedures for correcting Priority I Action Code errors in Suspense and Unpostable Code Correction.

Most edit, missing section, and terminus errors should be eliminated by the ISRP system. However, edit errors and/or terminus errors may be present if normal ISRP validity checks have been bypassed.

Edit Error - A section with an error detected by ISRP. Edit errors will be coded as follows:

Correction Procedures:

Terminus Error - This error is caused by a section with variable length input fields that have an erroneous size field.

Correction Procedures:

Definition - Any field that does not meet the requirement(s) for that field will be shown as a Priority III error. Consistency and or relationships with other fields will not be a factor.

Some reasons for this type of error are:

Display - Every field displayed is in error.

Correction Procedures:

Definition - Any valid field used in any computation in which the result is inconsistent with (or contrary to) any other valid field will have Error Code 001-999 assigned and will be shown as a Priority IV Error.

Display - These errors will be displayed with the Error Code assigned to them for the specific error in ascending numerical order. The screen display will show the Error Code assigned and the fields needed to make the necessary correction.

Correction Procedures:

Section 01 has entity data and codes for returns and is required for every record.

Listed below are the fields that are in Section 01 of Form 1065. See Exhibit 3.12.15-1, Form 1065, U.S. Return of Partnership Income.

The Field Designator, Field Length (maximum length for variable fields), Title, and Location where the data is obtained on the return is shown below:

Description - Field 01NC is found in the entity section of Form 1065.

Valid Condition - Field 01NC has four positions and the valid characters are alpha, numeric, hyphen, ampersand and blank.

Invalid Condition - Field 01NC is invalid if any of the following conditions are present:

Correction Procedures:

Description - Field 01EIN is found in the entity section of Form 1065, Box "D" .

Valid Condition - Field 01EIN must have nine numbers.

Invalid Condition - Field 01EIN is invalid if any of the following conditions are present:

Correction Procedures:

Description - Field 01TXP is found on page 1, between Form Title and OMB Number of Form 1065. Tax Period ending is printed in year (YYYY), month (MM) format e.g., Dec. 31, 2023 is printed 202312.

Valid Condition - The Tax Period must be present and have six numbers.

Invalid Condition - Field 01TXP is invalid if any of the following conditions are present:

Correction Procedures:

Description - Field 01RCD is a number field that is either the date stamped by Receipt and Control or edited by C & E.

Consider the return timely if:

Valid Condition - Field 01RCD must be present and entered in "YYYYMMDD" format.

Invalid Condition - Field 01RCD is invalid if any of the following conditions are present:

Correction Procedures:

Description - Field 01CCC is an alpha or number field edited on the dotted portion of Line 1a, Form 1065.

Valid Condition - Valid characters are "A" , "B" , "D" , "F" , "G" , "I" , "J" , "L" , "M" , "O" , "Q" , "R" , "S" , "T" , "W" , "X" , "Y" , "1" , "2" , "3" , "4" , "5" , "6" , "7" , "8" and "9" .

Correction Procedures - Correct Field 01CCC using the following procedures:

Computer Condition Codes (CCCs) are assigned by tax examiners or are computer generated. Presence of one of the following Computer Condition Codes initiates action as explained below. Listed below are the valid Computer Condition Codes for Form 1065.

Figure 3.12.15-3

Computer Condition Codes Field 01 CCCThis Figure represents 2 images, both images are the top half of Form 1065, page 1.The first graphic illustrates where the Computer Condition Code is found, in the dotted portion between Line 1b, Gross receipts or sales, and its field. Additionally, there is an arrow pointing to an X found on Line G(2) in the checkbox for Final return.The second graphic gives an example of a correct Computer Condition Code, F, which is found on dotted portion between Line 1b, Returns and allowances, and its field entry. Additionally, there is an arrow pointing to item G(2) checkbox where the Final return box is marked with an X.

Please click here for the text description of the image.

Description - Field 01TXB is found to the left/near the title of page 1, Form 1065. The Tax Period Beginning Date is printed in YYYYMMDD format, e.g., September 1, 2023 is printed 20230901.

Valid Condition - The Tax Period Beginning Date must be present if the return is a "Final" or a "Short Period" . The Tax Period Beginning date must be eight numbers.

Invalid Condition - Field 01TXB is invalid if any of the following conditions are present:

Correction Procedures:

Description - Field 01NAI is a number field found on page 1, Box "C" of Form 1065. The NAICS code identifies the partnership Principal Business Activity.

Valid Condition:

Invalid Condition:

Correction Procedures - Determine the correct NAICS Code in the following order:

Figure 3.12.15-4

NAICS Code Field 01 NAIThis figure represents the entity section of Form 1065, page 1 with arrow(s) pointing to the NAICS Code locations. The line item (C) has NAICS Code listed below. C. Business Code Number: field has 112210.EIN field has: 00-3125478 Date Business Started field has: 09-01-86.Name of partnership field has: Copperhead FarmsStreet address has: 517 South, Gila PKYCity, State and ZIP field has: Houston, TX 77013

Please click here for the text description of the image.

Description - Field 01DOB is a number field found on page 1, Box "E" of Form 1065.

Valid Condition:

Invalid Condition:

Correction Procedures:

Figure 3.12.15-5

Date Business was Established DesignationThere are two examples of top halves of Form 1065, page 1. The first example has an arrow pointing to the Date Business Started field designator 01DOB, found in line item E. The second example has an arrow pointing to the Date Business Started field found in line item E, with the value 08-01-2007

Please click here for the text description of the image.

Description - Field 01NOP is found on page 1, Line I on Form 1065.

Valid Condition:

Invalid Condition:

Correction Procedures:

Figure 3.12.15-6

Number of Partners Field 01 NOPThis graphic has 2 example each of the top halves of Form 1065, page 1. The first example has an arrow pointing to the field designator on line item Number of Schedules K-1: 01NOP. The second example has an arrow pointing to the field designator on line item I Number of Schedules K-1, with the value 22 in the field.

Please click here for the text description of the image.

Description - Field 01IRC is edited to the left of Line G, page 1 of Form 1065. (See Figure 3.12.15-7)

Valid Condition - Blank or "2" .

Invalid Condition - Entries other than "2" or blank.

Correction Procedures:

Figure 3.12.15-7

Initial Return Code Field 01IRCThis graphic has 2 examples, each of the top of Form 1065, page 1.The first graphic shows an arrow pointing to the field designator 01IRC in the left margin next to Line G, with another arrow pointing to an X in G(1) (1) Initial return.The second graphic, is an example of an Initial Return Code for a Short Period, showing 3 arrows, each pointing to different areas on the return:The first arrow is pointing to an entry of 2 in the left margin next to Line G.The second arrow is pointing to the check mark in the box on Line G (1) Initial return.The third arrow is pointing to the Tax Period Beginning found under the title, the entry is 08-01-2023.

Please click here for the text description of the image.

Description - Field 01TT is found on Line G, Box (6) Technical termination - also check (1) or (2), page 1 of Form 1065.

Technical terminations have been repealed for partnerships with tax years beginning after 12-31-2017. Field 01TT should be blank for partnerships with a Tax Period Beginning date of 01-01-2018 or later.

Valid Condition - Blank or "1" .

Invalid Condition - Entries other than "1" or blank.

Correction Procedures:

Description -Field 01AMC is found on Line H, page 1 of Form 1065.

Valid Condition - Entry must be a number or blank.

Invalid Condition - Field 01AMC will generate as an error if the Accounting Method Code is other than "1" , "2" , "3" or blank.

Correction Procedures:

Description - Field 01M3 is found on Line J, page 1 of Form 1065.

Valid Condition - "1" or blank.

Invalid Condition - Entries other than "1" or blank.

Correction Procedures:

Description - Field 01DRE is based on the partnership entry on page 3, Schedule B, Line 13* on Form 1065. *(Prior year revision, Line 15).

Valid Condition - Number or blank.

Invalid Condition:

Correction Procedures:

Description - Field 01ADC is a number field edited in the left margin next to Line 9 of Form 1065. Identified by "1 -" followed by the appropriate audit code(s). Audit codes are used to identify specific conditions requested by Examination.

Valid Condition:

Invalid Condition:

Correction Procedures:

Description - Field 01SIC is edited in the left margin next to Line 9 of Form 1065 as "2 - 1" if any income line on the return reflects a line entry ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡.

Valid Condition - Valid characters are "1" and blank.

Invalid Condition - Field 01SIC will generate as an error if the Special Income Code is other than "1" or blank.

Correction Procedures:

Description - Field 01CRD is a number field found on the partnership reply to correspondence.

Valid Condition - Field 01CRD must be numbers and in MMDDYYYY format.

Invalid Condition - Field 01CRD is invalid if either of the following conditions are present:

Correction Procedures:

Description - Field 01ISI is edited in the left margin next to Line 9 of Form 1065 as "3 -" followed by the appropriate code when Form 6252, Computation of Installment Sales Income, is attached.

Valid Condition - Numbers "1" , "2" , "3" or blank.

Invalid Condition - Field 01ISI will generate as an error if the Installment Sales Indicator Code is other than "1" , "2" , "3" , or blank.

Correction Procedures:

Description - Field 01NRL is edited in the left margin next to Line 9 of Form 1065 as "4 -1" when there is an entry on Schedule L, Line 18, Columns (b) or (d) and/or Schedule K-1, Question K, Nonrecourse.

Valid Condition - Valid entries are "1" or blank.

Invalid Condition - Field 01NRL will generate as an error if the Nonrecourse Loan Code is other than a "1" or blank.

Correction Procedures:

Form 1065 will be charged penalties for not providing a complete return. Code and Edit (C&E) will be responsible for initiating correspondence when needed, requesting the missing information, and ERS will be responsible for coding Field 01MSC appropriately if the missing information is not received.

Enter Field 01MSC whenever the taxpayer does not respond to our request for missing information. See the chart below for the correct code:

Invalid Condition - Field 01MSC will generate as an error when any of the following conditions exist:

Correction Procedures:

Suspense Procedures:

Description - Field 01HSC is edited in the left margin next to Line 9 of Form 1065 as "6 - 3" when there is an entry on Form 3468 (Investment Credit) ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡.

Valid Condition - Valid Historic Structure Codes are "3" and blank.

Invalid Condition - Field 01HSC will generate as an error when the Historic Structure Code is other than "3" or blank.

Correction Procedures:

Description - Field 01SWC is edited in the right margin next to Line 9 of Form 1065.

Valid Condition - Valid entries are "1" and blank.

Invalid Condition - Field 01SWC will generate as an error when the Salary and Wage Code is other than a "1" or blank.

Correction Procedures:

Description - Field 01EP is edited to the right of Line 18 of Form 1065.

Valid Condition - Valid entries are "1" and blank.

Invalid Condition - Field 01EP will generate as an error when the EPMF Code is other than "1" or blank.

Correction Procedures:

Description - Field is transcribed from the right of the Paid Preparer section of Form 1065 (below the Taxpayer Signature section). Data may or may not be present in Fields 01PSN and 01PEN.

Valid Condition - Entries are blank, all numbers or a "P" for the first character followed by eight number characters, such as the Preparer Tax Identification Number (PTIN).

Invalid Condition - Fields 01PSN and 01PEN are invalid if any of the following conditions are present:

Correction Procedures:

Description - The paid preparer check box indicator is transcribed from the bottom of page 1, Form 1065, to the right of the signature date. The checkbox is used to show whether the partnership has elected to allow the paid preparer to answer questions about the partnership return as it is processed. Data may or may not be present in Field 01CBI.

Valid Condition - Valid entries are "1" and blank.

Invalid Condition - Field 01CBI will generate as an error when the Paid Preparer Checkbox Indicator is other than "1" or blank.

Correction Procedures:

Description - The paid preparer telephone number is transcribed from the bottom of page 1, Form 1065, below the paid preparer EIN. Data may or may not be present in Field 01PTN.

Valid Condition - Field 01PTN must be alpha or numeric or a combination of alpha and numeric characters, not to exceed 10 characters or blank.

Invalid Condition - Field 01PTN will generate as an error when the Paid Preparer Telephone Number is other than 10 alpha/numerics.

Correction Procedures:

Description - A Return Processing Code (RPC) is an alpha or numeric character used to identify a specific condition for the computer. The RPC is edited on page 1, in the right margin next to line 1c of Form 1065.

Valid Condition - Field 01RP1 must be alpha or numeric or a combination of alpha and numeric characters, not to exceed 20 characters or blank.

Invalid Condition:

Correction Procedures:

Section 02 has monetary amounts.

The entries are of variable lengths.

All entries are dollars only.

If any income line on the return reflects a line entry ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡, the Special Income Code must be "1" .

Data in Section 02 is obtained from Form 1065. See Exhibit 3.12.15-1, Form 1065, U.S. Return of Partnership Income.

The Form 1065 field designators, the title and the location on the return where the data is obtained is shown below:

Invalid Condition - Any field in Section 02 will be invalid if not all numbers.

Correction procedures - Check for coding and transcription errors or misplaced entries.

Field 02ITR is transcribed from Form 1065, Schedule K, Line 16.

Field 02ITR is a 1 digit field valid for tax periods 202112 and later.

Invalid Condition:

Correction Procedures:

Section 03 has monetary amounts.

The entries are of variable lengths.

All entries are dollars only except 03TAX on Form 1065 which can be dollars and cents.

If any income line on the return reflects a line entry ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ the Special Income Code must be "1" .

Data in Section 03 is obtained from Form 1065, Form 8825 (Rental Real Estate Income and Expenses of a Partnership or an S Corporation) and Schedule F (Profit or Loss From Farming). See Exhibit 3.12.15-1, Form 1065, U.S. Return of Partnership Income.

The Form 1065 field designators, the title and the location on the return where the data is obtained is shown below:

Invalid Condition - Any field in Section 03 will be invalid if not all numbers.

Correction procedures - Check for coding and transcription errors or misplaced entries.

Section 04 has monetary amounts.

The entries are of variable lengths.

All entries are dollars only.

If any income line on the return reflects a line entry ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡, the Special Income Code must be "1" .

Data in Section 04 is obtained from Form 1065. See Exhibit 3.12.15-1, Form 1065, U.S. Return of Partnership Income.

The Form 1065 field designators, the title and the location on the return where the data is obtained is shown below:

Invalid Condition - Any field in Section 04 will be invalid if not all numbers.

Correction procedures - Check for coding and transcription errors or misplaced entries.

Section 05 has address information of the partnership filing Form 1065.

Section 05 will be present if any the following conditions exist:

This section cannot be present on a "G" Coded short length record.

Section 05 can be present on other short length records.

Ogden Submission Processing Center (OSPC) will process returns with Foreign/International and U.S. Possessions/Territories addresses.

The determination of a Foreign Address is based only on the address of the partnership.

A Foreign or international address is any address that is not in one of the 50 states or the District of Columbia.

The following U.S. Possessions/Territories are considered foreign.

An Army Post Office (APO), Diplomatic Post Office (DPO) or Fleet Post Office (FPO) is not a Foreign address. The U.S. Postal Service established new address requirements for APO/DPO/ FPO addresses. If an address appears in the old APO/DPO/FPO format, convert to the new State Code abbreviation based on the ZIP Code. For example, "APO New York, NY 091XX" , would be converted to "APO AE 091XX" . Refer to the APO/DPO/FPO conversion chart below:

All returns with a foreign or U.S. possession/territory address must be shipped to OSPC.

Listed below are the fields that are in Section 05. Data in this section is obtained from Form 1065: (See Exhibit 3.12.15-1, Form 1065, U.S. Return of Partnership Income).

Description - Field 05CON is found in the entity section of the return.

Valid Condition - Field 05CON has 35 positions and the valid characters are alpha, numeric, ampersand, dash, slash or percent (%).

Invalid Condition - Field 05CON is invalid if any of the following conditions are present:

Correction Procedures:

Description - Field 05FAD is in the entity section of the return.

Valid Condition - Valid characters are alpha, numeric and special characters.

Invalid Conditions - Field 05FAD will generate as an error when any of the following conditions are present:

Correction Procedures:

Description - Field 05ADD is found in the entity section of the return.

Valid Condition - Valid characters are alpha, numeric, blank, dash or slash.

Invalid Condition - Field 05ADD will generate as an error when any of the following conditions are present:

Correction Procedures:

Description - Field 05CTY is found in the entity section of the return.

Valid Condition - Valid characters are alpha and blank.

Invalid Condition - Field 05CTY will generate as an error when any of the following conditions are present:

Correction Procedures:

Description - Field 05ST is found in the entity section of the return.

Valid Condition - Valid characters are alpha and blank.

Invalid Condition - The field is invalid if it is not in the State Code Table.

Correction Procedures:

Description - Field 05ZIP is found in the entity section of the return.

Valid Condition - Valid characters are number and blank.

Invalid Condition - Field 05ZIP will generate as an error when any of the following conditions are present:

Correction Procedures:

Section 06 has alpha numeric characters, checkboxes, money amounts and dates.

Section 06 is transcribed in dollars only.

There is no math check on these fields.

Listed below are the fields in Section 06 from Form 1065, Schedule B, Other Information.

The field designators, title and location where the date is obtained from is shown in the table below: