Employee Benefit Plans must file one or more of the following returns, unless excused by statute:

In addition to the above returns, EP may also examine the following returns as Discrepancy Adjustments:

Each Exempt Organization must file one or more of the following returns, unless excused by statute:

In addition to the above returns, EO may also examine the following returns as Discrepancy Adjustments:

Government Entities must file one or more if the following returns, unless excused by statute:

For EP and EO - The Chief Compliance Officers are responsible for coordinating AIMS quality control procedures within their respective areas.

For GE - The Managers of Outreach, Planning and Review are responsible for coordinating AIMS quality control procedures within their respective areas.

TE/GE Managers and Campus Center Branch Chiefs are responsible for the accuracy, completeness, and timely forwarding of AIMS documents for terminal input. Their responsibilities include coordination, as necessary, to ensure accurate and timely terminal input.

In addition, TE/GE Managers and Campus Center Branch Chiefs are responsible for:

All problem reports and improvement requests must have the approval of the TE/GE Manager or their designee.

Form 5715, System Production Evaluation Report, is used to report systemic programming problems as well as operational problems. See IRM 2.3.2, Introduction to IDRS Terminal Responses, for procedures on preparing and routing Form 5715.

Forward an information copy of each request directed to a function other than TE/GE to the:

Use Form 5391, Procedures/Systems Change Request, to report all AIMS problems of a non-urgent nature or to request improvements to the system.

Prepare a separate Form 5391 for each problem identified or improvement requested. Retain a copy of each Form 5391 submitted. Forward the original and three copies of each Form 5391 to the TE/GE Manager, or Campus Center Branch Chief, for initial approval. Forward the approved Form 5391 to the Area Compliance Officer or their designee.

After final approval, forward requests involving Campus Center AIMS computer programs to the Area Compliance Officer in accordance with Document 6209, ADP and IDRS Information. Forward requests involving procedural changes, Data Processing or Detroit Computing Center AIMS computer programs to Director, Business Systems Planning, T:BSP:B.

Identify all requests initiated as a result of an TIGTA Audit Report by adding the legend "TIGTA AUDIT RELATED" in Item 3 of Form 5391. Along with the legend, include the TIGTA Audit Report Number or, if unnumbered, the title.

If available, attach a copy of the TIGTA Audit Report to the related Form 5391. Send the TIGTA Audit Report related to a facsimile separately in a sealed envelope. Annotate the envelope with the Field Control Number and the statement "TO BE OPENED BY ADDRESSEE ONLY."

Because Form 5391 is a turn-around document, the originating office will receive a response to each change request on the back of the original Form 5391 submitted.

Forward an information copy of each response from a function other than TE/GE to the TE/GE Director, Business Systems Planning, SE:T:BSP:B.

The statute of limitation date for Form 5500 Series Returns is based on the plan year ending date. The statute date is computed by adding 3 years to the due date or date filed, whichever is later. Since the statute date for the annual return and a Form 1120 or Form 1040 will be different, it will be necessary to coordinate with SB/SE, W&I or LMSB when a statute problem exists. The due date of the Form 5330 return varies depending on the type of excise tax.

The statute of limitation date for the 990 Series Returns, 4720 and 5227 returns is 3 years from the due date of the return or 3 years from the date the return was actually filed, whichever is later. Returns due dates are as follows

The 8038 series of returns do not have a Statute of Limitation Date. The returns are due by the 15th day of the 2nd calendar month after the close of the calendar quarter in which the bond was issued.

When a return is needed for reference or information purposes and a ERTVU/BRTVU/RTVUE print is not sufficient, it must be requisitioned using Source Code 45. The Examiner must enter a brief reason for the request on Form 5597, TE/GE IMF/BMF/EPMF Request or Form 5588, TE/GE NMF Request.

Generally, a case should not remain in Source Code 45 for more than thirty days.

NMF involves a collection of revenue accounting and manually prepared and maintained account transactions for returns and account adjustments not reflected on the EPMF/BMF/IMF. NMF accounts are maintained on the Automated Non-Master File System (ANMF) at the Enterprise Computing Center (ECC) in Memphis Tennessee.. Prior to NMF automation, Unit Ledger Cards (ULC) were prepared only for returns which indicated a balance due. (ULC's are still maintained for old accounts, since not all of the data contained on the unit ledger cards was transferred to the ANMF system.) Full paid or non-taxable returns did not have a ULC prepared. Instead, a Form TY-32, Index Card is prepared.

Index Cards contain the taxpayers name, TIN, MFT, tax period, plan number (if applicable), type of tax and DLN of the assessment or adjustment document.

Index Cards are not prepared for subsequent transactions. These actions are posted on the ULC.

NMF automation provides the Campus Centers and the Area Offices the capability for nationwide on-line transcript research of NMF accounts. Index Cards are prepared for "Information Only" returns, Audit "no change" and NMF "No-Remit Extensions of Time to File" . These types of "returns" are not input to the automated ANMF system.

When returns are transferred from one location to another, special care must be taken to ensure that the data base is transferred with the return. If an account is transferred from one Primary Business Code (PBC) to another and both are served by the same Campus Center, as soon as the first PBC takes transfer action on its data base the account is charged to the second.

If the transfer is due to a permanent change of address, attach a Form 3198–A to the case file. Enter the new address under " Other" and identify the change as a permanent change. The address at the EPMF/BMF/IMF should be updated at the same time the data base is being transferred. Project codes remain on the data base when a case is transferred. Ensure that local definition project codes are updated when the case is received.

TE/GE Headquarters issues a listing that contains the name of the transfer contact person in each Area Office and Campus Center, their telephone number and the addresses where returns should be sent. This listing is updated annually.

Every church examination begins with a tax inquiry. To establish a tax inquiry account on AIMS, prepare a dummy Form 990, Return of Organization Exempt from Income Tax, using the current month and year to establish a tax period. Annotate, in red, at the top margin of Form 990, the phrase "DUMMY RETURN-OF A CHURCH."

Prepare Document 13133, Expedite Processing Cycle, as follows:

Forward the dummy Form 990, along with the corresponding Document 13133, to the Campus Center for processing. Request research information to determine if the account is present on the BMF. If present, determine if the EO submodule is also present.

Each church tax inquiry account will be established on AIMS with an Activity Code of 345, Church Tax Inquiries.

To close a church tax inquiry account off of AIMS, follow the procedures outlined in IRM 4.75, EO Examination of Returns. When preparing Form 5599, enter a "49," Approved Church Examination, in Item 701, Principal Issue Codes. Refer to IRM 4.5.2.3 for instructions on preparing Form 5599.

If, at the conclusion of a church tax inquiry, it is determined that a complete examination must be conducted, the church tax inquiry account must be updated. Using Form 5598, TE/GE Correction Request, update the Activity Code to 349, Approved Church Examination. The account need not be closed until the examination is completed. At the end of the examination, follow the procedures outlined in IRM 4.75, EO Examination of Returns for closing a church examination. Refer to IRM 4.5.1.3.9.4.2 and Exhibit 4.5.1-20 for instructions on preparing Form 5598.

When it is determined that a future examination should be made on an organization currently under examination, establish the future year account on AIMS using Form 5597, TE/GE IMF/BMF/EPMF Request, with the appropriate Push Code. For a listing of valid Push Codes for your functions, refer to:

For instructions on preparing Form 5597, refer to IRM 4.5.1.3.8.1 and Exhibit 4.5.1-8 .

In addition to establishing the account on AIMS, prepare a Form 5666, TE/GE Information Report, for the administrative file. Refer to IRM 4.5.1.3.9.2 and Exhibit 4.5.1-16 for instructions on preparing Form 5666.

When conducting a private school examination, record the appropriate project code on AIMS. The project code may be input at the time the account is being requested or after the account has been fully established on one of the following forms:

If, during the course of a private school examination, it is necessary to refer certain returns not under EO jurisdiction to SB/SE, W&I or LMSB, update the project code to reflect the referral rather than the private school. This must be done at closing on Form 5599, TE/GE Examined Closing Record, and will result in the private school code being replaced by the referral code. for information regarding referrals to SB/SE, W&I or LMSB.

If a private school examination is considered part of a Special Emphasis Program (SEP), the project code must identify that program. A SEP code always takes precedence over private school and referral codes. It must be recorded on AIMS at the time the account is established, using the appropriate form. If the appropriate project code has not been input on AIMS before closing, it must be included on the closing document, Form 5599.

A transfer of an IRC 4947 Trust by W&I, SB/SE or LMSB will be indicated on Form 3198–A which will be attached to the case file.

The case file will be transferred via Form 5351, Examination Non-examined Closings, to the Area Office/Primary Business Code and will have a notation that the case is an IRC 4947 Trust. The case file should also contain a blank Form 5351 for use by TE/GE.

When the case file is received in the TE/GE Area office, AIMS documents must be prepared either to close the case or to change the activity and employee group codes on AIMS. This is necessary to remove the account and employee group code from W&I, SB/SE or LMSB’s inventory.

When it is necessary to refer returns not under TE/GE jurisdiction to W&I, SB/SE, LMSB the Examiner must prepare Form 5666, TE/GE Information Report. Refer to IRM 4.5.1.3.9.2 and Exhibit 4.5.1-16 for instructions on completing this form. Use Form 5599, TE/GE Examined Closing Record to update the project code during the closing action.

If the account under examination is considered part of a Special Emphasis Program, the project code must identify that program. A SEP code always takes precedence over a referral code and must be recorded on AIMS at the time the account is established using the appropriate form. Form 5666 must still be prepared.

On examination cases, in which the original return is missing, every attempt must be made to locate the return. If the return was never received, a follow-up request to the Campus Center should be performed if the examination cannot be conducted using an ERTVU/BRTVU/RTVUE print. If the return was received and subsequently lost, special searches must be performed.

If it is determined that the return is not required and an examination is not to take place, the account can be approved for closing by the Director, EP, EO or GE (TEB, FSL or ITG) Examinations or their designee. DC 33, Error Accounts With No Returns, should be used and all supporting documentation must be forwarded to the Closing Function for closure.

If it is determined that an examination is warranted or was already in progress, and if all attempts to locate the return are unsuccessful, and an ERTVU/BRTVU/RTVUE print is not sufficient, contact with the employer or organization should be made to secure the necessary information in order to complete the examination. This could be a copy of the return, claim, RAR, etc.

If the original return was received and subsequently lost, the following procedures apply:

If the examination is conducted using an ERTVU/BRTVU/RTVUE print, follow the original return procedures.

Examinations may be closed based on the employer’s/organization’s retained copy of a return or an ERTVU/BRTVU/RTVUE print.

To avoid unnecessary delay in closing a case, prepare requisitions and forward for terminal input as soon as time is charged to that return or it is known that an examination will be made, whichever is earlier.

A copy of a return cannot be surveyed, therefore, the case should not be established unless the return will be examined. If a copy is established on AIMS in error, use DC 33, Error Accounts With no Return, to remove the record from AIMS.

Form 5596, TE/GE Non-Examined Closings or Form 5546, Examination Return Charge-Out, can be used for closing all non-examined returns except Surveyed Claims (DC 34).

Surveyed claims are closed on Form 5599, TE/GE Examined Closing Record.

If Form 5546 is used:

If Form 5596 is used:

Use of DC 29 is invalid if the current AIMS status code is above 06. If there is an amount claimed on the data base, only DCs 33 or 99 are valid.

For EO/GE Cases - Records cannot be surveyed if an advanced payment, TC 640, is on the module. The TC 640 must be resolved before a record can be surveyed.

Management approval is needed to use a non-examined disposal code at group level. The Group Manager’s signature and date is entered on Form 5596 or Form 5546.

Special rules apply for DCs 29 and 33.

Claims that are surveyed require the use of Form 5650 or Form 5599. Returns that are incorrectly assigned Source Code 30, Claim for Refund, may be surveyed without scheduling an overassessment by using CC AMAXUO or CC AMAXUP to correct the source code and to remove the amount claimed from the data base.

Transfers Out of Area, DC 30. .

Accounts closed with a non-examined disposal code remain on AIMS only until the end of the month that they are closed at the terminal. To allow time for reversal of the examination indicator on EPMF/BMF/IMF, a non-examined EPMF/BMF/IMF account cannot be re-established for one month following closing at the terminal.

Disposition of Form 5596 - Unless local instructions provide otherwise, Form 5596 is retained by the closing function for thirty days after terminal input and then disposed of according to the Records Control Schedule 203.

Non-examined closings containing partnership linkages will be closed with both a Form 5650 or Form 5599 and Form 5596 or Form 5546.

If an original return is received with a duplicate or amended return which has no tax or refund due, and the case is to be surveyed, the TC 976/977 freeze code must be released on the AIMS section of the TIF. The reject message will consist of a TC 976/977 in the module.

In order to release the freeze, a statement must be noted in the file by the Examiner that the amended/duplicate return was considered.

Locally, the Area Office may appoint a coordinator to control Forms 4760 to track agreed unpaid deficiencies or overassessment of $50,000 and over. The closing function should forward Form 4760 to the Coordinator for control after terminal input of the audit adjustment.

In Primary Business Codes where a Form 4760 is used to track assessments of $10,000 and over, Form 4760 should also be forwarded to the Coordinator after terminal input. The closing function must maintain Forms 4760 in searchable order.

Forms 4760 must be disposed of after one year, following IRM 1.15.24, Records Control Schedule for TE/GE.

Tax Examiners must process prior year returns as follows:

During an examination, a husband and wife who originally filed their returns on a separate basis, find that it would be to their advantage to use Joint Tax Computations. To have this advantage of filing a joint return the taxpayers are not required to actually file a joint return. Instead, execution of a joint agreement will be sufficient to make this election. To make this election the tax must be paid in full.

The following documents and returns should be present when both husband and wife filed a return.

Special entries on Form 5599 for the husband’s account are:

Special entries required on the wife’s account Form 5599 are:

The following documents should be present when only one spouse filed a return:

The Closing Function Tax Examiners need to prepare a Form 2363 to change the filing status from "3" (married filing separate returns and the spouse is not required to file a return, spouse exemption is claimed) to "2" (married filing joint return) and add the name of the spouse who has not filed.

When a delinquency penalty must be applied against a non-filing spouse, the penalty must be computed manually. Any delinquency penalty imposed on the spouse, who has previously filed, should not be duplicated in the computation. Form 3198 should show the amount of the penalty. The manually computed delinquency penalty should be entered in Item 12, using TC 160 on Form 5599.

When cash payments such as estimated payments, remittances with return, etc., are shown on the account that is being reduced to zero:

When it is determined during an examination that the taxpayers are not entitled to file a joint return, the case must be flagged with Form 3198–A noted "Joint to Separate." Prepare Form 2363 to remove one taxpayer’s name from the account (it should be lined through on Form 5599). Usually the account will be under the husband’s SSN and the wife’s name will be removed. If the spouse, whose name is removed from the account, is required to file a return, it must be included in the case file. If the return is in the case file, just forward the return for original processing. At the time Form 2363 is being prepared, also prepare Form 5598, TE/GE Correction Request, to correct the AIMS data base.

If one spouse files a petition with the United States Tax Court or otherwise avails himself/herself of appeal rights on a proposed joint return deficiency, and the other spouse agrees to a deficiency or does not take appeal action, Appeals must submit a request on Form 3198 and Form 5403 for a NMF assessment (do not input through terminal) for the non-petitioning spouse. The NMF account will be maintained in the name of the non-petitioning spouse concurrently with the account on the MF. Do not move the NMF account to the MF.

For those cases suspended in the 90 day files, where the statute will expire within 120 days, and it appears that only one spouse has petitioned the Tax Court, the Review Staff must contact Appeals and ask them to review the petition since it appears from the docket list that only one taxpayer has petitioned.

Review Staff must prepare Form 3210, Document Transmittal , to transmit the petitioned case and include the following information on a Routing Slip attached to the case file:

Prepare Form 3210, to transmit the "dummy" case file after the non-petitioning spouse case has been assessed and include the following information on a Routing Slip attached to the file:

For those cases, suspended in the 90 day suspense files, where more than 120 days remain on the statute and it appears that one spouse has not petitioned, transmit the case to Appeals using Form 3210, noted " Possible Non-Petitioning Spouse Case."

Both spouses file a joint return and one spouse files a separate return for the same year.

In the above situation, a Form 2363 is not required, since the MF shows joint names and joint filing status already.