If you have any questions regarding the information below, please contact:
Kristy Maitre, Tax Specialist, ksmaitre@iastate.edu, Phone: 515-296-3810
Posted on May 12, 2014
IRS Mediation Programs - New Tool - New e-signature rules
NEW IRS tool to help determine if you qualify for Fast Track Settlement
APPEALS MEDIATION PROGRAMS - Online Self-Help Tool (START)
This self-help tool explains IRS’s different mediation programs and aims to help you understand when to discuss mediation with the IRS person assigned to your case.
http://www.irs.gov/Individuals/Appeals-Mediation-Self-Help-Tool
More on the New Electronic Signature Guidance for Forms 8878 and 8879
IRS will be using the National Institute of Standard Technology Publication 800-63-1. There is not a lot of information about how you the practitioner will need to “verify” your client. NEED YOUR HELP
Identity Verification Requirements
The electronic signing process must be associated with a person, and accordingly, ensuring the validity of any electronically signed record begins with identification and authentication of the taxpayer. The electronic signature process must be able to generate evidence of the person the electronic form of signature belongs to, as well as generate evidence that the identified person is actually associated with the electronic record. If there is more than one taxpayer for the electronic record, the electronic signature process must be designed to separately identify and authenticate each taxpayer.
The identity verification requirements must be in accordance with National Institute of Standards and Technology Special Publication 800-63, Electronic Authentication Guideline, Level 2 assurance level and knowledge based authentication or higher assurance level.
In-Person Transaction
The ERO must inspect a valid government picture identification; compare picture to applicant; and record the name, social security number, address and date of birth. Verify that the name, social security number, address, date of birth and other personal information on record are consistent with the information provided through record checks with the applicable agency or institution or through credit bureaus or similar databases. For in-person transactions, the record checks with the applicable agency or institution or through credit bureaus or similar databases are optional.
Examples of government picture identification (ID) include a driver’s license, employer ID, school ID, state ID, military ID, national ID, voter ID, visa or passport.
If there is a multi-year business relationship, you should identify and authenticate the taxpayer.
Remote Transaction
The electronic return originator must record the name, social security number, address and date of birth. Verify that the name, social security number, address, date of birth and other personal information on record are consistent with the information provided through record checks with the applicable agency or institution or through credit bureaus or similar databases.
Identity Verification Failure
If an ERO is unable to complete identity verification after three attempts, the ERO must obtain a handwritten signature.
Electronic Records
Electronic signatures must be linked to their respective electronic records to ensure that the signatures cannot be excised, copied or otherwise transferred to falsify an electronic record. After the electronic record has been signed, it must be tamper-proof. Therefore, techniques must be employed that lock a document and prevent it from being modified. Storage systems must have secure access control to ensure that the electronic records cannot be modified. Additionally, storage systems must also contain a retrieval system that includes an indexing system, and the ability to reproduce legible and readable hardcopies of electronically stored records.
Posted on May 7, 2014
Amended Returns E-File Process for the following returns – if your software supports – From Publication 4163 beginning on page 35-36
Superseding and Amended Returns
|
The MeF system processes both superseding and amended returns for Forms 1041, 1120, 1120S, 1120-F, 1065 and1065-B. For Forms 990, 990-EZ, 990-PF and 1120-POL, MeF only processes amended returns. The table below indicates the form types for which superseding and amended returns can be processed through MeF (A=amended return, S=superseding return). |
94x Series |
990 Series |
1041 |
1120 |
1120S |
1120-F |
1065 |
1065-B |
2290 |
|
2011 |
N/A |
A |
N/A |
A/S |
A/S |
A/S |
A/S |
A/S |
A |
|
2012 |
N/A |
A |
N/A |
A/S |
A/S |
A/S |
A/S |
A/S |
A |
|
2013 |
N/A |
A |
A/S |
A/S |
A/S |
A/S |
A/S |
A/S |
A |
|
2014 |
N/A |
N/A |
N/A |
N/A |
N/A |
N/A |
N/A |
N/A |
N/A |
Partnerships who are required to file an amended return electronically for a tax year no longer supported by MeF must contact the e-help Desk at 1-866-255-0654. The taxpayer should indicate they are required to file electronically an amended return, but MeF no longer supports the tax year for which they are filing the amended return. Therefore, they are requesting a waiver from the requirement to file the amended return electronically.
Note: Corporate amended returns with carryback claims may be e-filed as long as the carryback claim box is checked.
Superseding Returns
A superseding return is a return filed subsequent to the originally filed return but filed within the filing period, including extensions. A superseding return must be a complete XML filing of the entire return, with all required forms, schedules and attachments (XML or PDF, if applicable).
Note: A “Superseding Return” checkbox is available on certain MeF business returns; however, this checkbox is not available on their paper counterparts.
Access corporate superseding returns on the IRS.gov website for more information on corporate superseding returns.
For partnership returns, see Guidance for Amended Partnership Returns.
To file a superseding Form 990, 990-EZ, 990-PF, 1120-POL, and 2290, within the filing period (including extensions), the taxpayer should check the “Amended Return” box in the relevant schema. This eliminates the possibility of receiving a rejection for a duplicate filing.
For Forms 1041, 1065, 1065-B, 1120, 1120S, 1120-F, a taxpayer filing a superseding return must select the Superseded Return checkbox (designation) in the software or the return will reject as a duplicate filing. All of the business rules enforced for e-filing original returns are also enforced for superseding returns.
Amended Returns
An amended return is a return filed subsequent to the originally filed or superseding return and filed after the expiration of the filing period (including extensions).
Note: An “Amended Return” checkbox is available on certain MeF business returns. However, this checkbox may not be available on their paper counterparts.
When amending Form 1120, 1120S, 1120-F, 1065, and 1065-B returns, the taxpayer should include the main form and any forms and schedules necessary to support the changes that were made. When amending Form 1041, complete the entire return and correct the appropriate lines with the new information.
• for Form 1120, 1120S and 1120-F amended returns, only a subset of business rules relevant to the corresponding original returns will be enforced. This subset is posted on the IRS.gov website.
• For 1065, 1065-B and 1041 amended returns, all of the business rules for e-filing original returns will be enforced.
Most taxpayers who e-file an amended return have previously e-filed the underlying original tax return. In these situations, the easiest way to e-file an amended return is simply to update the original return for the changed items. Once this has been completed, attach the required XML document (see below) and any other supporting explanations and e-file the amended return, ensuring that the Amended Return checkbox is selected.
Amended returns require at a minimum:
- The corrected Form 1120, 1120S, or 1120-F return, completed in its entirety (all pages of the return), with the Amended Return checkbox selected.
- All forms, schedules and attachments that changed or that support changes on the amended Form 1120, 1120S, or 1120-F including any subsidiary returns (if changed) and the information to support those changes.
- One of the following:
- For Form 1120 – Attach to the amended Form 1120, the XML Form 1120X completed through Part I, line 10 or 11, as applicable, and Part II with the line number of each amended item, the corrected amount or treatment of the item, and an explanation of the reasons for each change. OR
- For Forms 1120S and 1120-F – Attach to the amended Form 1120S or Form 1120-F, the XML document, AmendedReturnChanges, which identifies the line number of each amended item, description, the amount on the previous return, the amount on the amended return, and an explanation of the reasons for each change.
- A signed signature document, Form 8453-C/S/I, as applicable or use of a Practitioner’s Pin.
- Appropriate forms to make a payment, request a refund or request a credit carryover to another year.
For Forms 1041, 1065, 1065-B, 990, 990-EZ, 990-PF, 1120-POL, and 2290, there is an “Amended Return” box in the XML schema. For these amended returns, a subset of business rules is currently not in place. In order to pass the business rules for these forms, you need to complete the entire return and all applicable fields.
An amended return for Form 720 (Form 720X) must be filed using the existing paper procedures.
Beginning in Tax Year 2011 and subsequent years, Partnerships who are required to file a Form 8082 along with their amended return will need to complete the Form 8082 available electronically and attach the “GeneralDependencySmall” to indicate
- If you are a Tax Matters Partner (TMP) filing an Administrative Adjustment Request (AAR) on behalf of the pass through entity and you are or not requesting a substituted return treatment.
- If you are an Electing Large Partnership.
For information on Forms 1065/1065-B amended returns, see Guidance for Amended Partnership Returns.
Form 2290 VIN Correction:
For Form 2290 a VIN Correction is treated the same as an Amended Return. If you must correct a VIN(s) previously reported on a e-filed Form 2290 due to a typographical error (transposed or incorrectly entered characters) a corrected Form 2290 must be filed with the IRS. The VIN Correction Checkbox located on Page 1 of the Form 2290 must be checked and the Schedule 1 must be completed using the corrected VIN(s). An explanation identifying which VIN(s) are being corrected from the original accepted e-filed return and why the VIN(s) are being corrected must be included. There are two (2) ways this can be done: (1) Attach a binary attachment (pdf) or (2) Use the General Dependency Medium - the Description Element in the General Dependency Medium schema should be identified as "VIN Correction".