Employees in the Submission Processing (SP) 1040-X organization that process amended return, superseding return, and computer paragraph (CP) notice cases are required to:

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

The Director of Submission Processing (SP) is responsible for monitoring operational performance for the SP campuses.

The Operations Manager is responsible for monitoring operational performance.

The Team Managers and Leads are responsible for performance monitoring and ensuring employees have the tools to perform their duties.

Employees are responsible for following the instructions contained in this IRM and maintaining updated IRM procedures.

Program Reports: ERS Draft language - System control reports are on the Control-D, WebAccess (CTDWA).

Program Effectiveness: Program effectiveness is determined by Submission Processing’s employees successfully using IRM guidance to perform necessary account actions and duties. The following are used to ensure program effectiveness:

Annual Review: Review the processes included in this manual annually to ensure accuracy and promote consistent tax administration. This may be included under responsibilities for a manager.

Federal Managers Financial Integrity Act (FMFIA) of 1982 requires federal agency executives to periodically review and annually report on the agency's internal control systems.

Systemic controls are embedded in the Integrated Automation Technologies (IAT) tools and the Integrated Data Retrieval System (IDRS).

Acronyms commonly used include the following:

For a comprehensive listing of any IRS acronyms, please refer to the Acronym Database.

Use the following IRMs when guidance isn't provided within IRM 3.11.6:

Websites and electronic tools used to process adjustments include:

Additional CII information, including the CII Performance Guide (Course Number 6902c-203 CSR Guide), can be found under the Local/Sites/Other tab on SERP, followed by the Correspondence Imaging Inventory (CII) tab. The CSR Guide provides additional explanations, information, and instructions.

RRD is accessed through EUP. The RRD application displays specific tax return and status information for tax returns/extensions processed by the MeF application. This application allows IRS employees to view 100% of the data transmitted on MeF tax returns/extensions (including attachments) in a format that resembles paper forms.

Use Document 6209, IRS Processing Codes and Information, 1040 attachment guide, Tax Form and Instructions (accessible through the IRS Home Page), and Pub 17, Your Federal Income Tax (For Individuals), when processing amended returns. These are valuable resources for obtaining additional information, resolving questions and completing math verification.

This IRM doesn't cover all scenarios. See your lead or manager when clarification is needed.

Form 1040-X, Amended U.S. Individual Income Tax Return, Computer Paragraph (CP) CP 08, You May Qualify for a Refund From the Additional Child Tax Credit, CP 09, You May Be Eligible for the Earned Income Credit (EIC), and CP 27, You May be Eligible for the Earned Income Credit (EIC) - Complete EIC Worksheet, notices must be processed in first in/first out (FIFO) order by oldest IRS Received Date regardless of the filing method in accordance with the timeframes described in this subsection. For additional information on processing timeframes, see IRM 3.30.123, Processing Timeliness: Cycles, Criteria, and Critical Dates.

Cases that have been received through the mail that have the same received date are batched together. Cases received from areas within the IRS are identified as Inter office (I/O); Such as, Work I/O, Statute I/O, and W-7 I/O. When creating an I/O batch, use the current date as the Julian Date in BBTS.

Form 1040-X, CP notices, and I/O work all have the same processing timeframe.

Amended return suspense time frames are as follows:

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.

IRS employees can be identified from the IRS-EMP-CD on CC TXMOD and on CC IMFOLT. There are special procedures that you must follow to protect the taxpayer employee, as well as to protect yourself.

If you access an account of an IRS employee that you don't know, work the case and see (4) below.

If you access an account of an IRS employee that you do know, or if you access an account of someone that falls under a covered relationship such as family members, friends, or neighbors, refer the case to your lead or manager and see (4) below.

Completing Form 11377-E, Taxpayer Data Access, is voluntary but highly recommended. The purpose is to document the reason(s) that the tax return and/or information on IDRS was accessed when the case wasn't assigned directly to you.

While working cases, SP employees may encounter modules that are blocked on IDRS. These modules are identified by an IDRS security violation message, "Unauthorized to Access This Account" . Reassign the CII case ID to your manager. Managers must notify the local Planning & Analysis staff who must send the CII case ID as encrypted information to the ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ mailbox requesting access to the account. Managers must retain the original case in CII inventory, awaiting access that can take up to five business days. Once notified that access has been granted, the case can be transferred back to the tax examiner to work following applicable procedures.

SP 1040-X OFP codes are used for reporting work closed by individual Tax Examiners.

SP 1040-X OFP codes are used in conjunction with the weekly WPC (Work Planning and Control) reporting system.

The following represent the codes used for reporting the work performed:

For additional information regarding OFP codes, refer to IRM 3.30.20, Work Planning and Control - Organization, Function, and Program (OFP) Codes.

The IRS uses a network of tax account and information systems to maintain communication with and service to the taxpaying public. This subsection gives condensed descriptions and explanations of many of the systems, databases, files and processes used or researched by Customer Account Services (CAS) employees. Although this list isn't all-inclusive, these systems are used to:

1040-X employees need a general understanding of the systems and the ability to research for more specific information when needed, using these and other systems.

The Correspondence Imaging Inventory (CII) system’s auto-distribution functionality is used in Submission Processing (SP) to distribute cases to a SP 1040-X tax examiner (TE) for processing. Cases are distributed during the evening, Monday through Friday, based on the TE’s CII profile. It’s the responsibility of the TE’s manager to set and adjust the TE’s CII profile settings:

The AVBL setting must be set to "Available" for a TE to receive cases through auto-distribution. Using the "Unavailable" setting prevents the system from auto-distributing cases to the TE, and cases can’t be manually assigned to or reassigned from the TE. The Unavailable setting must only be used when a TE is detailed to another area or is placed in non-duty status.

The MUI limit is 500 cases. This limit is the total number of cases a TE can have in inventory and cases in suspense count against this limit. If a TE’s inventory reaches the limit, the TE is excluded from distribution until the TE’s inventory falls below the limit. Cases that are created using TE’s number in CII at validation are still distributed to the TE, if active and available, without regard to the limit.

The VpD limit is 75 cases. This limit is total number of cases a TE receives daily through the auto-distribution process. Cases that are created using TE’s number in CII at validation are still distributed to the TE, if active and available, without regard to the limit.

The Skill Set is used by the CII system to identify the Document Type (Doc Type) to be auto-distributed to a TE. The CII Skill Sets for SP 1040-X are:

In the event a TE depletes their active inventory and TE needs cases before the next auto-distribution, a manager, or lead, is able to manually reassigns cases from the auto-distribution queue directly to the TE. When manually reassigning cases from the auto-distribution queue to a TE:

To temporarily stop distribution of cases to a TE, when on leave for example, set the volume per day to zero. Don’t set TE’s CII Availability to "Unavailable" for brief, temporary absences.

A split image request is required when two or more unrelated cases have been erroneously scanned as one CII image. There are two types of split requests, simple and complex.

If an entire image needs to be moved from a case, follow IRM 3.11.6.4.1.1, CII Move Image Request.

A simple split request is submitted as follows:

A complex split request is submitted as follows:

Occasionally, when working a case, tax examiners will need to send a form, schedule, and other document to associate with the case they’re working. The CII case association process must be completed prior to the case being reassigned, rerouted, or closed.

The tax examiner must prepare the CII Association Header Sheet and input a case note stating what form(s), schedule(s), or other document(s) are being sent for association to the case.

Send the case to ICT for association through the exception scanning.

Amended returns must be for a specific tax period. When the tax period is missing and you can't determine the tax period from return information or attachments, research IDRS for matching tax data.

If the tax period can be determined, edit the tax period on the front of the return above the Entity section in YYMM or YYYYMM format or mark the appropriate box, if available.

If you can't determine the tax period through IDRS research, correspond unless return is being sent to another function. Correspond per IRM 3.11.6.11, Correspondence Table of Issues, C-Letters and Paragraph Fill-ins, and use the tax period of the CII case when sending the letter.

If the taxpayer submitted an amended return for multiple tax periods on a single amended return, correspond. See IRM 3.11.6.11, Correspondence Table of Issues, C-Letters and Paragraph Fill-ins.

To process a return, the taxpayer must have a Taxpayer Identification Number (TIN). The IRS uses four different types of TINs when processing Individual Master File (IMF) Taxpayer accounts. The following table contains the type of TINs and their format:

For ITINs, see IRM 3.11.6.16.14.2, Individual Taxpayer Identification Number (ITIN) Status.

If the Primary TIN (P-TIN) or secondary TIN (S-TIN) is missing, incorrect, or illegible for a taxpayer with the filing status of married filing jointly, research per IRM 3.11.6.12.1, Entity Changes. If found, edit to the appropriate field on the amended return.

If you have exhausted all resources and are still unable to determine the P-TIN and/or S-TIN, correspond per IRM 3.11.6.11, Correspondence Table of Issues, C-Letters and Paragraph Fill-ins.

Send to AM, if:

If the taxpayer is filing MFJ and there's no TC 150 posted for the primary's TIN, research the secondary's TIN for a TC 150. TC 594 may be present. See IRM 3.11.6.5.1, Transaction Code (TC) 150 Research (No TC 150).

Every return must be stamped with a received date stamp. An Official Received Date Stamp must consist of no less than:

On MEFP cases, the RRD field labeled "Received Date" is the received date of the return. The RRD field labeled "IRS Received Date" is an electronic postmark used to determine return timeliness.

If the Received Date stamp on a MEFS case is missing from the front page, or is illegible, but is found elsewhere in the return packet, add the received date to the front of the return in MMDDYY or MMDDYYYY format in the blank space above line 1.

Use the following table for CII cases processed by SP 1040-X:

Honor received dates that are handwritten in the center portion of the amended return edited in:

If the Received Date stamp isn't found or is obviously incorrect, edit the received date based on the order of precedence below in the same format and location as stated in (3) above.

When there are multiple received dates stamped, or edited, on the return and you're adjusting or sending an amended return to another area, use the earliest received date. When processing replies to correspondence, see IRM 3.11.6.10.3, Corresponding on Net Balance Due Returns (Letter 324C), IRM 3.11.6.10.4, Corresponding on Net Refund and Zero-Balance Returns (Letter 178C), or IRM 3.11.6.7.10, Statute Review Screening.

Input the received date of the return you're processing as the received date on IDRS. If the received date of the return doesn't match the established control base, see IRM 3.11.6.3, Controlling Cases on the Correspondence Imaging Inventory (CII) System.

OVERRIDE CODE - An Override Code is required when the IRS Received Date is over one year old and on cases when the Refund Statute Expiration Date (RSED) has expired.

The claim or amended return requesting an adjustment must be signed by (1) the taxpayer or (2) a person holding a valid Power of Attorney (POA) who has been authorized by the taxpayer to sign the taxpayer’s return by checking box on Form 2848, line 5a. The signature(s) is required anywhere below the jurat (perjury statement), but not in the paid preparer section on amended returns. If an original signature isn't present on a CII case, correspond per IRM 3.11.6.10, Correspondence Procedures, IRM 3.11.6.10.3, Corresponding on Net Balance Due Returns (Letter 324C), IRM 3.11.6.10.4, Corresponding on Net Refund and Zero-Balance Returns (Letter 178C), and IRM 3.11.6.11, Correspondence Table of Issues, C-Letters and Paragraph Fill-ins.

See IRM 3.11.6.16.15 (8), Computer Paragraph (CP) Notices, for CP 08, CP 09, and CP 27 signature requirements.

All accepted e-filed returns have a valid signature.

If the jurat has been altered, treat it as a Frivolous claim.

If the jurat is missing, treat it as an unsigned return and correspond for the missing signature(s) using Letter 324C to obtain the signature. Process the net balance due per IRM 3.11.6.10.3, Corresponding on Net Balance Due Returns (Letter 324C).

Don't correspond for a missing or incorrect signature(s) if:

If Form 1040-X isn't signed, however a Form 1040 matching the Correct Amount column of Form 1040-X is attached and signed, accept the signature and continue processing the return. Edit a notation onto the signature line, if present, on Form 1040-X indicating that the Form 1040 is signed. Otherwise edit the notation on the front bottom portion of Form 1040-X.

Correspond for the signature of two witnesses, if missing, when the taxpayer signs with a mark such as an "X" . See IRM 3.11.6.10, Correspondence Procedures.

Joint returns require the signature of both taxpayers unless one of the taxpayers falls into one of the categories below:

If the taxpayer is a minor (there must be a clear indication the child is a minor) the return must be signed by one of the following:

If taxpayer is a minor and the return is not signed, correspond for a missing signature. See IRM 3.11.6.10, Correspondence Procedures.

Congress established the Presidential Election Campaign Fund (PECF) to support financing of presidential election campaigns.

If the PECF request isn't received timely and the only change is to the PECF, then "no consider" the claim and use the fill-in: We were unable to honor your Presidential Election Campaign Fund (PECF) request. On an amended return, PECF requests must be filed within 20 and one-half months after the original due date for filing the return.

The taxpayer may request that $3 go to the Presidential Election Campaign Fund (PECF) by checking one or both boxes on page 1 of Form 1040-X, Amended U.S. Individual Income Tax Return, or an amended Form 1040, U.S. Individual Income Tax Return, and amended Form 1040-SR, U.S. Tax Return for Seniors.

Research the “POLITICAL CHECKOFF” field on CC IMFOLR to determine if a change to the election is required. The field is coded as follows:

Only take action on an amended return with a PECF designation change from "No" to "Yes." A "Yes" designation may not be changed.

Don't process a PECF request on any return that is being routed.

If the return meets correspondence criteria and an adjustment isn’t input, don't process the PECF request. Correspond as required.

Prepare a "dummy" Form 1040-X when the taxpayer indicates an addition to the PECF and send the case to Batching. Prepare the “dummy” as follows:

The case data for cases received in Submission Processing (SP) 1040-X have the following elements:

Use the following table to ensure the case data is correct and update as appropriate.

The data displayed in the Case Data section must be updated by clicking the "Update Data" button, when reassigning a case. See IRM 3.11.6.9, 1040-X Reassignment and Reroute Guides.

The Statute Search field must be changed to Yes, once a CII case has been returned from the statute unit indicating "No Statute Issue(s)."

Occasionally, an amended return will be received with the explanation of changes, or attached statement(s), in a non-English language. When this occurs, don’t use internet provider translation services, digital assistants, or Apps available on personal devices.

Send all cases requiring translation to AM.

All amended claims require a posted TC 150, unless specifically instructed. Specific instructions to route a case without a posted TC 150 take priority. Research IDRS using the primary taxpayer’s TIN to locate a TC 150 for the tax period indicated on the return. Researching for a TC 150 includes researching both the valid and invalid sides of Master File. To research the invalid side, input an asterisk after the TIN.

If a TC 150 is present, follow the table.

If a TC 150 isn’t present, follow the table.

Use the following table to research ERS inventory.

If the ERS Status is "100" or "900," suspend for 5 working days. If after the suspense period a TC 150 is still not on the account, send the case to ERS.

Use the following stop numbers when sending a case to ERS per paragraph 4 above. Prior to sending to ERS, change the case control activity to "SNT2ERS."

If none of the instructions above apply, determine if the case needs to be suspended or routed.

If no TC 150 is found after all research has been exhausted:

After researching for a TC 150 per IRM 3.11.6.5.1, Transaction Code (TC) 150 Research (No TC 150), determine if the attached Form 1040 and Form 1040-X is for the same or different tax period.

If the Form 1040 is for a different tax period than the Form 1040-X and:

When processing a case and no TC 150 has posted for the same tax period, follow the table below.

Research for a TC 150 per IRM 3.11.6.5.1, Transaction Code (TC) 150 Research (No TC 150). If no TC 150 has posted, take the following action:

After researching for a TC 150 per IRM 3.11.6.5.1, Transaction Code (TC) 150 Research (No TC 150), if no return has been filed and there’s no specific instruction to route a case without a TC 150 present, suspend the case for 60 days from the IRS received date. Use the appropriate suspense activity code per IRM 3.11.6.2.1.1, 1040-X Suspense Activity Codes.

After the 60-day suspense period has ended and there's still no posted or pending TC 150 follow the table below.

A duplicate condition occurs when:

When other open CII case(s) are present and assigned to the generic queue, determine if the other case(s) are identical to your case. If so, process as follows:

Prior to treating an amended return as a duplicate, review the return and attachments for routing criteria.

When processing a CII case, continue researching to determine the reason the taxpayer filed the form.

Once a Form 1040/A/EZ/SR is identified as an amended return and that reverts the module back to the original filing, look for any indication as to why. If no indication is found, then treat the return as classified waste. See IRM 3.11.6.16.22, Classified Waste.

When a TC 150 isn’t present, the priority of routing is as follows.

When a TC 150 is present, the priority order for routing is as follows.

Send all returns with an indication of "BBA Partner Modification Amended Return" or similar verbiage, and any amended return with an open control base that has the activity "RTX2OSCBBA" to Large Business and International (LB&I).

Follow IRM 3.11.6.9.1, MEFP Reassignment and Reroute Guide, or IRM 3.11.6.9.2, MEFS Reassignment and Reroute Guide, as appropriate when sending a case to LB&I at the following address:
Ogden BBA Operations
1973 M Rulon White Blvd
Mail Stop 4705
Ogden UT 84404

Send all International returns to AM. This includes duplicate returns.

Don’t process an amended return if all the Forms W-2 and Forms 1099 attached are from the Virgin Islands (regardless of the address). Send these returns to the following address:
Virgin Islands Bureau of Internal Revenue
6115 Estate Smith Bay, Ste. 225
St. Thomas, U.S. Virgin Islands 00802

If any of the following are attached or mentioned, send the amended return to AM..

The Taxpayer Protection Program (TPP) is for cases where potential IDT has been identified. The taxpayer is sent one of the following letters requiring the taxpayer to authenticate through the TPP.

Send all cases selected for the TPP to AM. TPP cases can be identified by the following:

If Form 14039 , Identity Theft Affidavit, or taxpayer statement notating identity theft is attached to the case and there’s no open control to IDTVA (i.e., IDT1, IDT3, IDT8 etc.), then send the case to RIVO. When sending the case to RIVO, use Stop # 6579 AUSC.

If a case is received and no original return (Transaction Code (TC) 150) has posted to MFT 30, research Command Code (CC) TXMOD for an unreversed Taxpayer Protection Program (TPP) indicator (i.e., TC 971 with Action Code (AC) 121, 124, 125, or 129). If present, send the case to AM.

≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡.

If the case meets Exam or CAT-A routing criteria, don't send to OFE. Send the case to Exam or CAT-A as appropriate.

≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡, follow the table below:

Taxpayers who are affected by a federally declared disaster will have a -O freeze (TC 971 action code 087) or -S freeze (TC 971 AC 688) on the module.

Taxpayers no longer self-identify for disaster relief by writing a disaster designation in red at the top of their tax return. When the IRS decides to extend tax relief to taxpayers affected by a disaster, a news release is issued to the public outlining the relief that is being granted. The news release advises those taxpayers who are located outside the declared area but whose necessary tax records were inside the declared area to call the Disaster Hotline to self-identify. See IRM 21.5.6.4.30, -O Freeze, and IRM 21.5.6.4.37, -S Freeze, for additional information.

The Disaster Tax Relief Airport and Airway Extension Act of 2017, the Tax Cuts and Jobs Act (TCJA), the Bipartisan Budget Act of 2018, and the Further Consolidated Appropriations Act, 2020 provide special rules for some qualified disaster losses.

Apply the special rules for qualified disaster losses to:

For tax years 2018 through 2025, an individual’s loss of personal-use property is deductible only if the loss is attributable to a federally declared disaster.

When instructed to send a disaster claim to AM, use category code "KATX" if the disaster claim meets the criteria listed in paragraph 3 above, and use category code "DSTR" for all other cases.

If a TC 150 hasn’t posted on a disaster claim, send the case to AM.

Screen the case for CAT-A criteria. Refer to IRM 3.11.6.7.15, Category A (CAT-A) Criteria Screening.

Taxpayers claiming a disaster loss must file Form 4684, Casualties and Thefts. The taxpayer may file a claim for the year of the disaster or may elect to claim the loss in the tax year preceding the disaster year. Correspond using Letter 324C if:

Verify the taxpayer had a loss in a qualified disaster area via the IRS Disaster Assistance Program

Follow normal processing procedures if the return isn't a disaster claim.

To screen a case for carryback issues, refer to IRM 3.11.6.7.8.1, Carryback Claim Screening.

To screen a case for carryforward issues, refer to IRM 3.11.6.7.8.2, Carryforward Claim Screening.

Then reassign the case to the appropriate queue per IRM 3.11.6.9.1, MEFP Reassignment and Reroute Guide, or IRM 3.11.6.9.2, MEFS Reassignment and Reroute Guide, as appropriate.

If the case is 60 days or less before the ASED expires, or if the ASED has expired, leave a case note stating, "CB/CF/Statute Imminent" . Leave a CC ACTON history item "STAT IMNT" .

Identity Theft (IDT) can be indicated by the taxpayer’s explanation, by markers on the account, or by suspicious changes identified by tax examiners.

Accounts the IRS has identified as potential IDT contain one of the following indicators. If one of the following indicators is found, see paragraphs 3 and 7 below.

Verify IDT indicators have not been reversed prior to routing. If a TC 972 is present reversing the IDT indicator, don't route the return unless there are additional indicators present.

A taxpayer can self-identify as a victim of IDT by:

If the taxpayer indicates their dependent is a victim of IDT, send the case to AM. The taxpayer can indicate their dependent is a victim of IDT by:

Tax Examiners may identify suspected IDT when the return doesn't master file verify and when certain account changes seem suspicious such as large, unusual or questionable line-item changes. When this occurs use the following research steps to aid in determining if the return must be routed as IDT:

Once a return is identified as being an IDT return or has IDT involvement:

Beginning January 1, 2025, all returns for tax year 2021 and prior are considered statute year returns.

Send any statute year case involving any of the following to AM:

If the case is a Substitute for Return (SFR), see IRM 3.11.6.7.19.3.5, Automated Substitute For Return (ASFR) and Non-Filer Return (NFR) Screening.

Per IRM 25.6.1.9.9, Procedures for Processing Amended Returns - in General, if a tax increase or credit decrease is required and the ASED is within 90 days of expiration, the case must be sent to the Statute function. Cases where the ASED is within 90 days of expiration or expired are considered statute imminent (SI) cases. Amended returns that are SI must be hand carried by a manager to Statute, per IRM 25.6.1.9.9.2, After Hours and Imminent Assessments.

IDRS research is required to determine if the amended return is a tax increase or credit decrease and to verify the ASED. When verifying the ASED, use today’s date.

Follow the procedures in the table below in cases when a TC 150 isn't present:

If an amended Form 1040 is received in the 1040-X unit and the amended Form 1040 is stamped Statute Cleared, return the document to the Statute Unit.

Review all claims and amended returns for examination involvement.

If a case meets examination criteria and it’s incomplete, correspond following IRM 3.11.6.10, Correspondence Procedures.

Use CC AMDISA to determine the AIMS status when a -L freeze is present on the account.

A frivolous argument is used for the purpose of expressing dissatisfaction with the substance, form, or administration of the tax laws by attempting to illegally avoid or reduce tax liabilities. See paragraph 7 below for a list of frivolous arguments.

A -E freeze is set by a posted TC 810 with a Responsibility Code (Res C). A TC 810 with Res C indicates a frivolous return, and the entire account is frozen. Send all cases with a TC 810 with a Res C to AM.

F- freezes are set by a posted TC 971 AC 089 and indicates that a frivolous return has been received and the entire account is frozen. Adjustments aren’t made to accounts showing an F- freeze.

Send any "suspicious" return or case with an F- freeze to the local Frivolous Return Program (FRP) Coordinator to review as follows:

The FRP Coordinator reviews any case sent in which the taxpayer:

If a non-frivolous claim is received with an open control base to an employee in the FRP Unit (IDRS Numbers begin with 14867, 14868, or 14869) send the case to FRP at the following address:

IRS Frivolous Return Program
1973 N Rulon White Blvd
Mail Stop 4450
Ogden, UT 84404

The following list includes Recognized known frivolous arguments made by both individuals and businesses are included and is not inclusive of all frivolous arguments. Notice 2010-33 also is a non-exclusive source for identifying frivolous arguments..

The Criminal Investigation (CI) Scheme Development Center (SDC) identifies and assembles information on individuals and entities involved in civil and criminal noncompliance with the Internal Revenue Code (IRC) and other related statutes.

Send claims meeting SDC criteria to your local SDC:

Use the following table to determine if the case must be sent to CI SDC:

Claims returned from the CI SDC may have a stamp indicating they have been reviewed.

The Return Integrity Verification Operation (RIVO) identifies, and intercepts refunds from returns with questionable wage and/or withholding claims, which may include identity theft related issues.

When verifying documents on CC IRPTR, follow IRM 3.11.6.2.6.1.1, CC IRPTR.

Use the following chart to on cases with RIVO involvement:

Claims returned from RIVO may have a stamp indicating they have been reviewed.

To determine if a case meets Category A (CAT-A) criteria, see IRM 21.5.3-2, Examination Criteria (CAT-A) - General, and IRM 21.5.3-3, Examination Criteria (CAT-A) - Credits. "CAT-A criteria" cited refers to the amount of the tax decrease, credit increase, or certain other changes. Criteria apply to both refund and balance due returns. Only complete claims can be referred to CAT-A. A claim is considered complete if it has all information required to process the return.

Only complete claims can be referred to CAT-A. A claim is considered complete if it has all information required to process the return. If the claim is incomplete, correspond following IRM 3.11.6.10, Correspondence Procedures.

When screening a case for CAT-A criteria, ensure the change isolated from any other change on the return meets the criteria listed.

If a CAT-A criteria is met and there is an increase to Earned Income Tax Credit (EITC), unless a CAT-A EITC exception is present, screen the case through CC DDBCK. If the case is selected, follow DDBCK Selected procedures in IRM 3.11.6.13.4 (7), Command Code DDBCK (Dependent Database Check). If the case is not selected, send the case to CAT-A.

Don't apply CAT-A criteria to:

If the case is being forwarded to CAT-A, do not input a TC 971 AC 013.

If a dependent’s TIN is being changed from an ITIN to SSN, follow IRM 3.11.6.13.1, Revoking a Dependent’s ITIN, before sending the claim to CAT-A.

If the claim meeting CAT-A criteria is complete, follow the table.

When working accounts with Automated Underreporter (AUR) involvement, research the account to determine where the account is in the AUR process. This can be determined by reviewing the AUR Process Code (PC) listed under the Transaction Code (TC) 922 on the account. The status of an AUR case is determined by the last PC posted. Use the table below when determining if the PC meets routing requirements to AUR.

If an AUR case meets CAT-A criteria, don't send the case to CAT-A. The case must be sent to AUR for CAT-A determination.

When sending a CII case to AUR, determine the routing destination by using the first two digits of the TC 922 DLN and follow the table below.

Cases are sent to Accounts Management (AM) based on the issue, the dollar tolerance, IDRS conditions, and other various reasons.

A TC 150 must be posted before sending a case to AM, unless specific instructions are provided.

Don't input a TC 971 AC 010 when routing a case to AM.

If there’s an open case to AM, send the case to AM.

Send cases to Accounts Management for a Manual Refund if:

SP 1040-X tax examiners process cases using CII, and during processing, CII imaged returns might be generated. Use the table below to determine how to process CII imaged returns:

Generally, if an account has an open control base on CC TXMOD you’ll send the return to the assigned employee or a specified department. An open case can be in any of the following status: "A" Active; "B" Background; "S" Suspense; or "M" Monitor.

Cases in A or S status must be routed based on the ASSIGN-TO field of the open control.

Don't send cases open in B or M status; continue to process if routing criteria isn't present.

The following exceptions apply to A, B, S, and M status:

If the open control is assigned to your current or previous IDRS number, close your open control before continuing to take any action on the return.

Use CC MESSG or the IDRS Unit and USR Database, IUUD, web site to determine the appropriate campus location and stop number based on the IDRS number in the ASSIGN-TO field of the open control.

Accounts Management IDRS numbers are identified by the service center two-digit code and 301-399 series. For instance, a Customer Service Representative (CSR) in Kansas City would be 093XX. Submission Processing 1040X Units use the SC code and the 200-244 series. This includes cases open to the AM suspense queue that don't contain 301-399 series:

Screen cases for all other specialized routing conditions.