IMF issue
What is the IMF issue code for W2 wages and the paragraph used?
Code 41007
Paragraph 1106
How many tabs are you required to review?
5 tabs
TC 12-Interest dates
RC 15-Claim
Exam/IMF Codes
International/REL return
BOD Codes
What is the categorization for taxable interest?
AGI ADJ/other income-Unearned/Other income/Yes or No
Are both the negligence and substantial lead sheets required to be completed for each case?
No. You only need to complete the lead sheet for the penalty you are pursuing.
Who's signature should be on your 525 letter?
What is the IMF issue code for other taxes on a Sch A and the paragraph used?
Code 5A008
Paragraph 8307
What disposal code do you use on Tab 1 when sending letter 525?
AGI ADJ/other income-unearned/other income/No
Note: For TY 2020 taxpayers were allowed to exclude $10,200 of their unemployment compensation.
Do you propose the accuracy penalty on credits?
No. The accuracy penalty is only on an understatement of tax.
What should you do if your Form 4549 shows a deficiency of zero?
Check your categorization to ensure it was completed correctly. If there is still no balance due get with your lead. Do not send out a report with no change to the account.
What is the IMF issue code for other income Sch 1 line 8 and the paragraph used?
Code 41021
Paragraph could be 1407,1703 1453
use paragraphs that explain what income is being included.
When entering tab 2 "RC-15/Claim" what is the message that is displayed?
Tax deficiency/over assessment adjustment.
What is the categorization for Social Security Benefits?
AGI ADJ/social security benefits/social security received
When must the lead sheets be prepared?
With the status 22 report
With each reply after the status 22 report
And whenever there is an adjustment to the original report.
What do you do if you see a CORR date on AMDISA when you are moving to the next status of your audit?
Print a copy of AMDISA and email or give to clerk to update.
What IMF issue code would you use for Non-employee Compensation (Sch C income) and the paragraphs used?
Code 5c126
Paragraph 8213, 8214 and 8223
How would you close RGS if an account was adjusted to a 1040X by another service center?
Item 415 closure
What is the categorization for a frozen refund?
Credits/Prepayment Credits/Other prepayment credits/frozen refunds
Note: The frozen refund goes is per return as a negative.
How does a manager approve a negligence or substantial penalty? and how do they know you are pursuing an accuracy penalty?
A CEAS note.
Check the box on your daily for accuracy and email it to your manager.
Subject line should state "Needs Signature"
What do you do if your 5344 has more than 8 reference codes?
Suspend the case to the file server and email the RGS Coordinator to close the case.
Archive RGS.
What is the IMF issue code for 1099-R? Taxable distribution and paragraph?
What additional IMF issue code is also required if it is an early withdraw?
Code 41015
Paragraph 5703/5721 not early 1454
Early withdraw
Code 61055 10% Early withdraw penalty
Paragraph 5712/5722
How do you extend an ASED in RGS?
Add 150 days to the ASED and enter that date in the "Statute extended to" in tab 2.
What is the categorization for Other Income?
AGI ADJ/Other Income-Unearned/Other Income/No OR
AGI ADJ/Taxable earned or personal service income/other income-earned/primary taxpayer or secondary taxpayer
Note: If TP is removing all income on this line put the negative amount in the Per return box.
What is the IRC Sec for a Substantial understatement penalty? What is the amount of understatement to pursue this penalty?
6662 (d)
When the understatement of tax is greater than $5,000 or 10% of the tax required on the return.
What are the steps required to extend the ASED on a 25% omission case?
Complete the 25% Omission form and email it to your lead.
The lead will review and send to the manager for signature.
Lead will extend the ASED and give back the form to retain in audit folder.