- 3.12.3.59 Error Codes 083–094
- 3.12.3.60 Error Codes 096–105
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Error Code 084 generates when:
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Section 28 is present, Unallowable Codes 16 through 20 are not present, and any field from Field 2801 through 2805A is not present : OR
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Field 2801 is 2.
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Field 2802 is 1.
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Fields 2803 and 2804 are both 2.
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Field 2805A is 1 OR
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Field 2805B is 1.
Note:
Action Code 370 will automatically generate (if no other action code is assigned to the return) when Section 28 is present, Unallowable Codes 16 through 20 are not present and any of the preceding conditions listed are present: (These returns will be worked first by the Examination Branch and then by the Rejects Unit.) If the preceding item a) is not satisfied, then the return will generate to ERS first.
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Correct coding and transcription errors and misplaced entries on displayed fields.
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DLSEC 28 when Form 4972 has entries in Part I but no amounts in Parts II or III. The taxpayer must complete Part I, Form 4972, to qualify to use the 10 year averaging method (5 or 10 year TY99 and prior).
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Verify and correct coding for Fields 2801 through 2805B, from Part I, of Form 4972, as follows:
If the taxpayer checked... Then enter... A] The "yes" box, 1. B] The "no" box, 2. C] Both "yes" and "no" boxes, 2. D] Neither box (blank), Blank the field. Exception:
If line 5b (Field 2805B) is not answered, enter code 0 (zero).
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Neither of the "yes" or the "no" box for any of questions 1 through 5a.
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"No" for question 1 (Field 2801 is 2).
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"Yes" for question 2 (Field 2802 is 1).
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"No" for both questions 3 and 4 (Field 2803 and Field 2804 are both 2).
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"Yes" for question 5a (Field 2805A is 1).
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"Yes" for question 5b (Field 2805B is 1).
Note:
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Refer to the Examination Branch's instructions or actions on the memo portion of the Form 3471, Edit Sheet, and take the following action:
If the return... Then... A] Is not selected, Enter C in the Clear Field. B] Is selected, Enter the Unallowable Code(s) and amount(s), from the Edit Sheet, in Fields 02CD1 through 02AM3 (see note). Note:
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Clear Action Code 370 after completing all work as instructed by Examination. Enter C in the Clear Field when EC 084 redisplays on the screen.
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Error Code 086 instructions follow.
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This table shows the fields displayed.
Error Code 086 Display Fields 1040 1040A Field Title 0307 0307 Wages 0315A 0311A Total IRA Distributions 0315B 0311B Taxable IRA Distributions 0316A 0312A Gross Pensions and Annuities 0316B 0312B Taxable Pensions and Annuities 04ABI 04ABI Age/Blind Indicator 16FSI 16FSI Filing Status Age Indicator Code 1611 1611 Taxable Disability Income
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Error Code 086 generates when either of the following exist:
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Field 16FSI (Filing Status Age Indicator Code) is other than 6 and Field 1611 (Total Taxable Disability Income), ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
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Field 16FSI (Filing Status Age Indicator Code) is 6 and Field 1611 ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡
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Correct coding and transcription errors and misplaced entries on displayed fields.
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Delete entry in Field 1611 when the taxpayer is 65 years or older at the end of the tax year.
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Verify that the amount is really Taxable Disability Income by looking at box 7, on all W-2P (1990 and prior), when the taxpayer is under 65 years. Take the following action to correct the error code:
If Form 1099R shows... Then... A]"Distribution Code 3" or states "Disability" , Include amount in Field 0307. B]"Non disability," 1. Include amount in Field 0316B/0312B.
2. Reduce Field 1611 by that amount.C]"DISTRIBUTIONS" (see exception), 1. Include in Field 0315B/0311B.
2. Reduce Field 1611 by that amount.Exception:
If the 1099–R was issued by the military and is identified as a distribution (e.g. Code "7" is in box 7), then include amount in Field 0316B/0312B and reduce Field 1611 by that amount.
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Verify that the Taxable Disability Income from line 11, Schedule R/Schedule 3, was included on line 7, Form 1040/A, when the taxpayer is under 65 years and adjust appropriate fields.
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Error Code 087 instructions follow.
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This table shows the fields displayed.
Error Code 087 Display Fields 1040 Field Title CL Clear Code 01RPC Returns Processing Code 01CCC Computer Condition Code 0321 Other Income 17TE Tentative Earnings 17TSW Total Social Security Wages Covered 17CHW Tentative Church Wages 18TE Tentative Earnings 18TSW Total Social Security Wages Covered 18CHW Tentative Church Wages
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Error Code 087 generates when both of the following exist:
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RPC N or S is present.
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Section 17 or 18 is present.
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Correct coding and transcription errors and misplaced entries on displayed fields.
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Manually verify earned income when both RPC N and Schedule SE are present, because the computer will use Schedule SE (only) for earned income purposes.
If RPC is... And SE Tax... Then... N Was computed by taxpayer or IRS (EC 370) and SE tax was calculated on "Other Income" from Section 03, Delete RPC N. Was computed by the taxpayer or IRS (EC 370) and does not include "Other Income" ≡ ≡ ≡ ≡ ≡ ≡ ≡ from Section 03, Enter C in the Clear Field. S Was computed by the taxpayer, Delete RPC S. Note:
RPC S should never be present when there is a valid Schedule SE.
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Error Code 088 instructions follow.
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This table shows the fields displayed.
Error Code 088 Display Fields 1040 1040A Field Title CL CL Clear Code 01TXP 01TXP Tax Period 01FSC 01FSC Filing status Code 01RPC 01RPC Return Processing Code 01ACD 01ACD Audit Code P–MIN> P–MIN> Primary NAP Minister SE Tax Exempt Code H–MIN> H–MIN> Secondary NAP Minister SE Tax Exempt Code 0321 03OTI Other Income 0457 Combined Self Employment Tax 09STI Section 09 Statutory Employee Indicator 09NET> Section 09 Profit/Loss Computer 10STI Section 10 Statutory Employee Indicator 10NET> Section 10 Profit/Loss Computer 11STI Section 11 Statutory Employee Indicator 11NET> Section 11 Profit/Loss Computer 1436> Section 14 Profit/Loss Computer 1536> Section 15 Profit/Loss Computer
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Error Code 088 generates when the Primary/Secondary NAP Minister Tax Exempt Code (Field P-MIN>/H-MIN>), is 0 (zero), 2, 8 or A, Earned Income Credit Amount Computer is not present, Schedule SE is not present (Section 17/18), Returns Processing Code Field (Field 01RPC) does not contain S, Audit Code Field (Field 01ACD) does not contain V, Section 13 is not present, any of the following exist:
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Statutory Employee Indicator (Field 09STI/10STI/11STI) is not 1 and Schedule C Profit/Loss Computer (Field 09NET>/10NET>/11NET>) ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .
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Schedule F Profit/Loss (Field 1436>/1536>) ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .
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Returns Processing Code Field contains an N and Other Income (Field 0321) ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .
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Correct coding and transcription errors and misplaced entries on displayed fields.
Note:
Code and Edit will delete the amount from Schedule C/C-EZ and edit it to line 7 of Form 1040, if the only money amount reported on Schedule C/C-EZ is from the Form W-2 wage amount.
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GTSEC 17/18 and enter all fields of data available if Schedule SE is attached to return.
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Enter 1 in Field 09STI (or 10STI, 11STI as applicable) if taxpayer indicates they are a Statutory Employee (see Section 09).
Note:
Statutory Employees are individuals in specified occupational groups who are not common law employees; these include: Industrial homeworkers, full-time life insurance salespersons, certain agent or commission drivers (engaged in the distribution of meat products, vegetable products, fruit products, bakery products, beverages (other than milk), or laundry or dry cleaning services) and traveling or city salespersons.
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Use the following table if the taxpayer has an amount on line 27, attaches Schedule C/F, and/or has an amount on line 57 of Form 1040, and Schedule SE is not attached:
If... Then... A] It can be determined which taxpayer is liable for the SE tax, Do not correspond. Back into the taxpayers amount as follows:
1. Divide line 57 amount by .153.
2. Divide result from 1 by .9235.
3. GTSEC 17 and/or 18.
4. Enter result in 1701a/1702 and 17TE.B] Either SE Tax liability or SE Income amount cannot be determined, SSPND 211.
Note: Before corresponding ensure other forms and schedules are attached AND/OR taxpayer has not indicated Statutory Employee.Reminder:
When dummying in Section 17/18 verify if the taxpayer has already paid the maximum Social Security Tax (see Form(s) W-2).
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Enter C in the Clear Field if the tax return indicates that the self-employment income is offset by a loss that results ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ .
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Search the return and attachments to see if the taxpayer provided an explanation as to why they reported income on Schedule C, Schedule F, or Line 21 is not subject to SE Tax.
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If the taxpayer states that they are not liable for SE Tax because they have an ITIN, GTSEC 01 and enter V in Field 01ACD.
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If the taxpayer is not paying SE Tax on the amount reported, enter RPC S if taxpayer indicates any of the following:
• "Statutory Employee"
• "Exempt"
• "Exempt-Notary"
• "Not liable"
• "QJV" (noted to the left of line 57, Form 1040), TY07 and later.
• Any Statement the income was received from Indian Tribal Fund (ex., Indian Gaming Proceeds, Indian Gaming Earnings (IGE), Indian Tribal Distribution, Native American, Indian Tribal Earnings)
• "Amish" or "Mennonite"
• If the return is for a minor child and indicates the wage(s) are from parent(s) (newspaper route or carrier).Note:
If a DSI return and the taxpayer notes "wages from parent" or "paper carrier" , do not enter RPC N. Instead, enter this amount and any other earned income plus $300 (up to the allowable Standard Deduction Amount) in Field 04LSV.
• Attaches or notes Form 4361 (Application for Exemption for Self-Employment Tax for Use by Ministers, Members of Religious Order and Christian Science Practitioners).Note:
If there is an indication that the taxpayer is a minister, see EC 370, IRM 3.12.3.78.2.3 paragraph (3) b.
• Attaches or notes Form 4029 (Application of Exemption from Social Security Taxes and Waiver of Benefits).Note:
See Exhibit 3.12.3–11 for examples of self-employment income.
Note:
Do not enter RPC S if one spouse is exempt and the other spouse is liable for Self-Employment Tax.
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SSPND 211 for Schedule SE if an explanation cannot be located.
Note:
For TY07 and later — If the return is FS 2 and an amount is present on line 12, Form 1040, or a Schedule C is attached, include the following literal as a fill on Form 6001:
"If you are electing to exempt rental real estate business from Schedule C or C-EZ as a Qualified Joint Venture Election, enter "Exempt --- QJV" and the exempt amount on the dotted line to the left of Schedule SE, line 3. Subtract that amount from the total of lines 1a, 1b, and 2 and enter the result on line 3 of Schedule SE."Note:
Before corresponding ensure other forms and schedules are attached.
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For TY06 and Prior: If the taxpayer has attached a Form 4137 and has indicated "Wages" in lieu of "Tips" :
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Accept the taxpayer's entry.
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Verify that the taxpayer's entry on line 1 of Form 4137 is included on line 7 of Form 1040.
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Delete RPC N if present.
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Complete and detach the Schedule U (make sure to change the word "Tips" to "Wages" ).
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Send the Schedule U to SSA via Receipt and Control Media Transport Unit, or follow local procedures.
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For TY07 and later we will not accept a Form 4137 with "Tips" changed to "Wages" , taxpayers are required to file a Form 8919. In these cases SSPND 211 for Form 8919.
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Take the following action If the taxpayer does not reply (No Reply) to the correspondence, or replies claiming not to be liable because they have an ITIN:
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Enter Audit Code V in Field 01ACD.
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Continue normal ERS processing.
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Error Code 089 instructions follow.
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This table shows the fields displayed.
Error Code 089 Display Fields 1040 Field Title CL Clear Code 0312 Combined Schedule C Profit/Loss >>>> Combined Schedule C Profit/Loss Computer 09NET> Schedule C Profit/Loss Computer—Section 09 10NET> Schedule C Profit/Loss Computer—Section 10 11NET> Schedule C Profit/Loss Computer—Section 11 1702 Net Non Farm Profit/Loss 17TE Tentative Earnings 17MCD SE Method Code 1802 Net Non Farm Profit/Loss 18TE Tentative Earnings 18MCD SE Method Code Section XX Not Present
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Error Code 089 generates when both of the following exist:
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Combined Schedule C Profit/Loss Computer is greater than $434.
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The SE Method Code for that section is 1.
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Correct coding and transcription errors and misplaced entries on displayed fields.
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Use the following table to correct the Error Code:
If Schedule SE... Then... A] Is computed using the optional method and the Total Schedule C Net Profit (line 2, Schedule SE) is more than the total optional method, 1. Delete the SE Method Code in Field 17MCD.
2. Re-compute Total Net Earnings/Loss by adding lines 1 and 2, Schedule SE.
3. Enter re-computed total in Field 17TE.
4. If EC 209 displays, assign TPNC 272.B] Does not have an entry on line 2 and Schedules C, K-1 and SE are all for the same taxpayer, Enter the total of Fields 09NET>, 10NET>, 11NET> and Schedule K-1 (Form 1065) in Field 1702/1802. C] Has an entry on line 2, 1. Verify that amounts entered from Schedules C and K-1 are correct.
2. Verify amounts are for the same taxpayer.
3. Correct as necessary. -
Enter C in Clear Field when no corrections are necessary.
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Error Code 090 instructions follow.
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This table shows the fields displayed.
Error Code 090 Display Fields 1040 Field Title CL Clear Code 1701a Net Farm Profit/Loss 1701b Conservation Reserve Program Payments Exclusion 1702 Net Non Farm Profit/Loss 17TE Tentative Earnings 17MCD SE Method Code 1801a Net Farm Profit/Loss 1801b Conservation Reserve Program Payments Exclusion 1802 Net Non Farm Profit/Loss 18TE Tentative Earnings 18MCD SE Method Code Section XX Not Present
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Error Code 090 generates when both of the following exist:
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The sum Net Farm Profit/Loss (Field 1701a/1801a), Social Security Retirement or Disability Benefits and Conservation Reserve program Payments Exclusions (Field 1701b/1801b), and Net Non Farm Profit/Loss (Field 1702/1802) is not equal to Tentative Earnings (Field 17TE/18TE).
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SE Method Code is not present.
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The self employment optional method is designed to allow taxpayers to contribute to Social Security even if they have a net loss or only a small profit. This allows them to make contributions to Social Security even in years in which they are not liable so that they will have benefits available when they retire. The optional method is usually recognizable by the entry of $4,200 ($1,600 for TY07 and prior) on line 4b of the Schedule SE or the entry of $244 for self-employment tax on line 57, Form 1040. If the taxpayer is using the optional method, tax examiners must input an SE optional method code in Field 17MCD.
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Correct coding and transcription errors and misplaced entries on displayed fields.
Note:
For the remainder of this text Schedule SE will be referred to as Section 17; however, all correction procedures will apply equally to Sections 17 and 18.
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Enter 1 in Field 17MCD if income is from a Business.
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Enter 2 in Field 17MCD if income is from a Farm.
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Refer to IRM 3.12.3.17.4.11.1 if income is from both a Business and a Farm.
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Search the return and/or attachments for missing or misplaced entries and correct as appropriate. Use the following table to correct the error code.
If Schedule SE... And... Then... A] Line 3 (Field 17TE) is negative, Line 5a is less than $109 (taxpayer is not using the Optional Method), DLSEC 17. B] Lines 1a, 1b, 2, 3 and 4a are blank, Line 4b has an entry (taxpayer is using optional method), 1. Enter the line 4b amount in Field 1704B.
2. Enter correct Method Code in Field 17MCD.
3. Enter amount from Schedule C, E (Partnership Income, if appropriate), F, or line 21, Form 1040 (if appropriate) in Field 1701a/1702, as required.C] Lines 1a, 1b, 2, and 3 are blank, Line 4a has an entry, 1. Divide line 4a by .9235.
2. Enter amount in Fields 1702 and 17TE.D] Line 3 is blank, 1. Add the taxpayer's entries on lines 1a, 1b, and 2.
2. Enter amount in Field 17TE.E] Line 5a is blank, Line 5b is present (taxpayer has Church Wages), 1. Search return and attachments for correct amount or divide line 5b amount by .9235.
2. Enter amount in Field 17CHW. -
Adjust the entry in Fields 1701a, 1701b, 1702 and 17TE when taxpayer is not using the Optional Method and the sum of Fields 1701a, 1701b, and 1702 does not equal Field 17TE.
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Delete from Field 1702 any amount the taxpayer has noted as "Exempt-Notary" , to the left of line 3, and has subtracted from lines 1a, 1b, and 2.
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Take the following action when the taxpayer has zero taxable income, writes "Section 1402(a)(12)" , multiplies net earnings by .9235 and further reduces the result by multiplying by .9235 AGAIN:
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Adjust the entry in Field 17TE to show taxpayers true net earnings.
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Assign TPNC 269 if EC 209 displays:
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Determine if the taxpayer is using the Optional Method. A taxpayer may choose the optional method when they want to pay more Self-Employment Tax than required and have a loss, a gain of under $4,548 ($1,733 for TY07 through TY1999) or they meet any the following tests:
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Gross "farm income" , Schedule F, line 11 or 51, is $2,400 or less.
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Net "farm income" , Schedule F, line 36, is less than $4,548 ($1,733 for TY07 through TY1999).
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Net non-farm profits, Schedule C, line 31, is less than $4,548 ($1,733 for TY07 through TY1999) and less than two-thirds of gross non-farm income (Schedule C, line 7).
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Use the following table to correct the Optional Method Code, as appropriate, when edited incorrectly or missing:
If the taxpayer is using the Optional Method for a... And... Then... A] Loss and paying SE Tax, Loss is a farm loss, Enter 2 in Field 17MCD. Loss is a business loss, Enter 1 in Field 17MCD. B] Net earnings, Line 15 is blank or zero and line 17 matches line 4b, Enter 1 in Field 17MCD. Line 15–17 are blank or you are unable to determine the code, Blank the field to generate Code 0 (zero). All other situations, Enter 2 in Field 17MCD. -
Re-compute and enter Field 17TE (line 1a minus line 1b plusline 2 of Schedule SE) when the taxpayer incorrectly used the Optional Method.
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≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ the following applies:
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The amount has been changed as a result of a math error on Schedule F.
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There is an obvious transfer error from Schedule F.
Note:
If line 1a Schedule SE is blank, enter amount from Schedule F unless the optional method is the only method used.
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Accept the taxpayer's entry if they are paying SE Tax because of Chapter 11 Bankruptcy. They will enter on the dotted line to the left of line 3, Schedule SE "Chap. 11 Bankruptcy Income" and the amount of their net profit or loss. They will combine that amount with the totals of line 1a, 1b, and/or 2 and enter the result on line 3.
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Enter C in the Clear Field when no corrections are necessary.
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Error Code 091 instructions follow.
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This table shows the fields displayed.
Error Code 091 Display Fields 1040 Field Title 01TXP Tax Period 1701a Net Farm Profit/Loss 1701b Conservation, Reserve program Payments Exclusion 1702 Net Non Farm Profit/Loss 17TE Tentative Earnings 1704B Optional Method Income Amount (ERS Input Only) 17MCD SE Method Code 1801a Net Farm Profit/Loss 1801b Conservation, Reserve Program Payments Exclusion 1802 Net Non Farm Profit/Loss 18TE Tentative Earnings 1804B Optional Method Income Amount (ERS Input Only) 18MCD SE Method Code
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Error Code 091 generates when either of the following exist:
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Field 1704B/1804B (Optional Method Income Amount) is present and Field 17MCD/18MCD (SE Method Code) is not present.
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Field 17MCD/18MCD (SE Method Code) is present and Field 1704B/1804B (Optional Method Income Amount) is not present.
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The self employment optional method is designed to allow taxpayers to contribute to Social Security even if they have a net loss or only a small profit. This allows them to make contributions to Social Security even in years in which they are not liable so that they will have benefits available when they retire. The optional method is usually recognizable by the entry of $4,200 ($1,600 for TY07 and prior) on line 4b of the Schedule SE or the entry of $244 for self-employment tax on line 57, Form 1040. If the taxpayer is using the optional method, tax examiners must input an SE optional method code in Field 17MCD/18MCD.
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Correct coding and transcription errors and misplaced entries on displayed fields.
Note:
For the remainder of this text Schedule SE will be referred to as Section 17; however, all correction procedures will apply equally to Sections 17 and 18.
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Determine if the taxpayer is using the Optional Method. A taxpayer may choose the optional method when they want to pay more Self-Employment Tax than required and have a loss, a gain of under $4,548 ($1,733 for TY07 through TY1999) or they meet any the following tests:
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Gross "farm income" , Schedule F, line 11 or 51, is $2,400 or less.
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Net "farm income" , Schedule F, line 36, is less than $4,548 ($1,733 for TY07 through TY1999).
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Net non-farm profits, Schedule C, line 31, is less than $4,548 ($1,733 for TY07 through TY1999) and less than two-thirds of gross non-farm income (Schedule C, line 7).
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Use the following table to correct the Optional Method Code, as appropriate, when edited incorrectly or missing:
If ... And... Then... A] Line 17 contains an entry, 1. Line 17 is larger than line 15.
2. Line 4b matches the total of line 15 and 17.
3. Line 15 is blank or zero.Enter 1 in Field 17MCD. B] Line 15 or 17 contains an entry, Not all of the conditions for Code 1 are met, Enter 2 in field 17MCD. C] You cannot determine the code, Blank Field 17MCD to generate Code 0 (zero). -
Use the following table to determine the correct entry for Field 1704B:
If... And... Then... The Schedule SE Method Code is present, An amount is present on line 4b, Schedule SE, Enter the amount in Field 1704B. An amount is not present on line 4b, Schedule SE, Delete the Method Code. There is an amount in Field 1704B, The taxpayer is using the Optional Method, Enter the appropriate code in Field 17MCD (see previous chart). The taxpayer is not using the Optional Method, Delete the entry in Field 1704B.
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Error Code 092 instructions follow.
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This table shows the fields displayed.
Error Code 092 Display Fields 1040 Field Title 01PS Primary SSN 01SS Secondary SSN 17SSN SE SSN—Primary 18SSN SE SSN—Secondary
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Error Code 092 generates when both of the following exist:
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Sections 17 and 18 are present.
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Field 17SSN is equal to Field 18SSN.
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Correct coding and transcription errors and misplaced entries on displayed fields.
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Search the return and/or attachments for the correct Primary or Secondary SSN. If not found on the return or attachments, research CC INOLE, NAMEI, NAMES, IMFOL and/or ENMOD for the correct Primary or Secondary SSNs (SSPND 351 if IDRS is not available). Take the following action to correct the Error Code:
If Schedules SE... And... Then... A] Are for the same taxpayer, Combine the two schedules. B] Are for different taxpayers and the Secondary SSN is not found, No indication of previous IRS correspondence, SSPND 211 to correspond. Return is No Reply, SSPND 320 to have Entity assign a temporary SSN. C] Taxpayer cannot be determined, SSPND 211 for clarification.
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Error Code 094 instructions follow.
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This table shows the fields displayed.
Error Code 094 Display Field 1040 Field Title 01PS Primary SSN 01SS Secondary SSN 17SSN SE-SSN—Primary 1701a Net Farm Profit/Loss 1701b Conservation Reserve Program Payment Exclusion 1702 Net Non Farm Profit/Loss 17TE Tentative Earnings 17QC SE Quarters Covered 17TSW Total Social Security Wages Covered 17MCD SE Method Code 18SSN SE-SSN—Secondary 1801a Net Farm Profit/Loss 1801b Conservation Reserve Program Payment Exclusion 1802 Net Non Farm Profit/Loss 18TE Tentative Earnings 18QC SE Quarters Covered 18TSW Total Social Security Wages Covered 18MCD SE Method Code Section XX Not Present
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Error Code 094 generates when Section 18 is present and SE SSN-Secondary (Field 18SSN) is also present and does not equal Secondary SSN (Field 01SS).
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Correct coding and transcription errors and misplaced entries on displayed fields.
Note:
A Primary SSN with transposed digits may be automatically corrected by the Auto-TIN program, and may appear to be a transcription error at first glance. If the Primary SSN appears to be transcribed incorrectly but no EC 004/005 appeared, research using CC INOLE before correcting any apparent transcription error. If the Primary SSN is correct as transcribed, do not correct the Primary SSN.
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Search the return and/or attachments for the correct Secondary or Schedule SE SSN. If not found on return or attachments, research CC INOLE, NAMEI, NAMES, IMFOL, and/or ENMOD for the correct SSN(s) (SSPND 351, if IDRS is not available). Take the following action to correct the Error Code:
If the Secondary Schedule SE... And... Then... A] Is reversed with Section 17, 1. DLSEC 17 (the current Section 18 will convert to Section 17).
2. GTSEC 18.
3. Enter all data fields for the Secondary Taxpayer's SE Schedule.B] Has multiple SSNs, Enter the SSN from the Form 1040 in Field 18SSN. C] SSN is not found, No indication of previous IRS correspondence, SSPND 211 to correspond for the Secondary SSN. Return is No Reply, SSPND 320 to have a temporary SSN assigned. D] Taxpayer (primary or secondary) cannot be determined, Both Primary and Secondary SSNs are present in Section 01, SSPND 211 for clarification.
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Error Code 096–105 instructions follow.
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Error Code 096 instructions follow.
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This table shows the fields displayed.
Error Code 096 Display Fields 1040 Field Title 01PS Primary SSN 01SS Secondary SSN 18SSN SE-SSN—Secondary
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Error Code 096 generates when Section 18 is present and SE SSN is not present.
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Correct coding and transcription errors and misplaced entries on displayed fields.
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Search return and/or attachments for correct SSN. If not found on the return or attachments, research CC INOLE, NAMEI, NAMES, IMFOL, and/or ENMOD for the missing SSN and take the following action (SSPND 351 if IDRS is not available).
If Schedule SE SSN... And... Then... A] Is found, Overlay Field 18SSN. B] Not found, Return is a No Reply, SSPND 320 to have temporary SSN assigned. There is no indication of IRS Correspondence, SSPND 211 to correspond. C] Taxpayer (primary or secondary) cannot be determined, Both Primary and Secondary SSNs are present in Section 01, SSPND 211 for clarification.
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Error Code 098 instructions follow.
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This table shows the fields displayed.
Error Code 098 Display Fields 1040 Field Title 01PS Primary SSN 01SS Secondary SSN 01FSC Filing Status Code 18SSN SE-SSN—Secondary
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Error Code 098 generates when Section 18 is present and Filing Status Code is not 2.
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Correct coding and transcription errors and misplaced entries on displayed fields.
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Verify from the return and/or attachments or through research of CC INOLE, NAMEI, and/or NAMES that the SSN in Field 01PS is correct.
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Overlay incorrect SSN in Fields 01PS or 18SSN, as appropriate.
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Correct Field 18SSN if no correction is necessary to Field 01PS.
Note:
The computer will accept the SE Schedule as Section 17.
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SSPND 211 for clarification when the FSC is 3 and SE Schedule appears to be for the spouse.
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Error Code 099 instructions follow.
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This table shows the fields displayed.
Error Code 099 Display Fields 1040 Field Title 01PS Primary SSN 01SS Secondary SSN 17SSN SE-SSN—Primary 1701a Net Farm Profit/Loss 1701b Conservation Reserve Program Payments Exclusion 1702 Net Non Farm Profit/Loss 17TE Tentative Earnings 17QC SE Quarters Covered 17TSW Total Social Security Wages Covered 17MCD SE Method Code 18SSN SE-SSN—Secondary 1801a Net Farm Profit/Loss 1801b Conservation Reserve Program Payments Exclusion 1802 Net Non Farm Profit/Loss 18TE Tentative Earnings 18QC SE Quarters Covered 18TSW Total Social Security Wages Covered 18MCD SE Method Code
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Error Code 099 generates when both Sections 17 and 18 are present and Field 17SSN does not equal the Primary SSN (Field 01PS).
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Correct coding and transcription errors and misplaced entries on displayed fields.
Note:
A Primary SSN with transposed digits may be automatically corrected by the AUTO-TIN program, and may appear to be a transcription error at first glance. If the Primary SSN appears to be transcribed incorrectly but no EC 004/005 appeared, research using CC INOLE before correcting any apparent transcription error. If the Primary SSN is correct as transcribed, do not correct the Primary SSN.
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Search the return and/or attachments for the correct Primary SSN. If not found on the return or attachments, research CC INOLE, NAMEI, NAMES, ENMOD, and/or IMFOL for correct SSN. Overlay correct fields, as appropriate.
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DLSEC 17 (the current Section 18 will convert to Section 17), GTSEC 18 and enter all data fields for the Secondary Taxpayer's SE Schedule when the Primary and Secondary SSNs are reversed.
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Error Code 102 instructions follow.
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This table shows the fields displayed.
Error Code 102 Display Fields 1040 Field Title 01TXP Tax Period 01PS Primary SSN 01SS Secondary SSN 24SSN Form 4137 SSN-Primary 25SSN Form 4137 SSN-Secondary
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Error Code 102 generates when both Sections 24 and 25 are present and Field 24SSN is equal to Field 25SSN.
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Correct coding and transcription errors and misplaced entries on displayed fields.
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Take the following actions when the primary taxpayer was entered in Section 25 and the secondary taxpayer was entered in Section 24:
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DLSEC Section 24 (this will cause Section 25 to convert to Section 24).
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GTSEC 25 and enter secondary taxpayer information.
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SSPND 211 for clarification when both the Primary and Secondary SSNs are present in Section 01 and you cannot determine to which taxpayer the Form 4137 applies.
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Search the return and/or attachments for the primary and/or secondary taxpayer's SSN. If not found on the return or attachments, research CC INOLE, NAMEI, NAMES, IMFOL, and/or ENMOD (SSPND 351 if IDRS is unavailable). Then take the following action:
If research indicates... And... Then... A] Both Forms 4137 are for the same taxpayer, 1. Combine them into one Form 4137.
2. Enter in appropriate section.B] One Form 4137 belongs to each taxpayer, Correct SSN is found, Enter in appropriate field(s). Correct SSN cannot be found, SSPND 211 to correspond for the missing SSN. Return is a No Reply and correct SSN cannot be found, SSPND 320 to Entity to have a temporary SSN assigned.
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Error Code 103 instructions follow.
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This table shows the fields displayed.
Error Code 103 Display Fields 1040 Field Title 01TXP Tax Period 01PS Primary SSN 01SS Secondary SSN 24SSN Form 4137 SSN—Primary 2401 Total Cash and Tips Received 2402 Total Cash and Tips Reported 2404 Incidental Cash and Tips 2407 Total SS Wages and Tips 24GOV Government Employee Tips 25SSN Form 4137 SSN—Secondary 2501 Total Cash and Tips Received 2502 Total Cash and Tips Reported 2504 Incidental Cash and Tips 2507 Total SS Wages and Tips 25GOV Government Employee Tips Section XX Not Present
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Error Code 103 generates when Section 25 is present and the Form 4137 SSN (Field 25SSN) does not equal Secondary SSN (Field 01SS).
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Correct coding and transcription errors and misplaced entries on displayed fields.
Note:
A Primary SSN with transposed digits may be automatically corrected by the Auto-TIN program, and may appear to be a transcription error at first glance. If the Primary SSN appears to be transcribed incorrectly but no EC 004/005 appeared, research using CC INOLE before correcting any apparent transcription error. If the Primary SSN is correct as transcribed, do not correct the Primary SSN.
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SSPND 211 for clarification when both the Primary and Secondary SSNs are present in Section 01 and you cannot determine to which taxpayer the Form 4137 applies.
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Search the return and/or attachments for the correct Secondary SSN. If not found on the return or attachments, research CC INOLE, NAMEI, NAMES, IMFOL, and/or ENMOD (SSPND 351 if IDRS is unavailable). Then take the following action:
If the correct SSN... And... Then... A] Is found, Enter in the appropriate field(s). B] Not found, No indication of previous IRS correspondence, SSPND 211 to correspond for the Secondary SSN. Return is No Reply, SSPND 320 to have a temporary SSN assigned.