Internal Revenue Manual

IRM 25.23.10 — Compliance Identity Theft Case Processing

Part 25. Special Topics

Chapter 23. Identity Protection and Victim Assistance Section 10. Compliance Identity Theft Case Processing 25.23.10 Compliance Identity Theft Case Processing Manual Transmittal August 19, 2025 Purpose (1) This transmits revised IRM 25.23.10, Compliance Identity Theft Case Processing. Material Changes (1) IRM 25.23.10.1 Removed IRM's 4.19.2, 4.19.7, 4.19.17 from the IRM listing. Added IRM 4.19.15.45 to IRM listing. IPU 25U3372 issued 06-05-2025 (2) IRM 25.23.10.1.3 Updated subsection name from Responsibilities to Roles and Responsibilities. (3) IRM 25.23.10.1.4 Added subsection for Program Management and Review (4) IRM 25.23.10.1.5 Added subsection for Program Controls (5) IRM 25.23.10.1.6 Updated subsection name from Acronyms to Terms and Acronyms. (6) IRM 25.23.10.1.7 updated subsection name from Related Resources and Tools to Related Resources. (7) IRM 25.23.10.2(2) Added clarification of procedures of when to send a 5073C letter for acknowledgement of the Form 14039. Subsequent paragraphs renumbered. IPU 25U3372 issued 06-05-2025 (8) IRM 25.23.10.2(3) Removed the requirement for marking account with IDT indicator. Removed the link to IRM 25.23.2.4.4.1. IPU 25U0370 issued 03-17-2025 (9) IRM 25.23.10.2(3)(Note) Clarified the acknowledgement letter requirement. IPU 24U1103 issued 11-06-2024. (10) IRM 25.23.10.2(4) Added clarification for the IDT indicator, subsequent paragraphs renumbered. IPU 25U0370 issued 03-17-2025 (11) IRM 25.23.10.2(6) Removed previous (6) unprocessed return requirement, subsequent paragraphs renumbered. IPU 25U0370 issued 03-17-2025 (12) IRM 25.23.10.2(7)(a)(b)(c) Clarified the procedures when a Form 656/656-L received with ID Theft Claim. IPU 24U1103 issued 11-06-2024 (13) IRM 25.23.10.2(8) Note Remove systemic letter notation. IPU 25U0370 issued 03-17-2025 (14) IRM 25.23.10.2(8) Removed the acknowledgement letter requirement. IPU 24U1103 issued 11-06-2024 (15) IRM 25.23.10.3 Removed entire section for Unprocessed /Secured Returns - General. Subsequent sections to be renumbered. IPU 25U0370 issued 03-17-2025 (16) IRM 25.23.10.3 Renamed Subsection title to clarify both ASFR and SFR. IPU 25U0370 issued 03-17-2025 (17) IRM 25.23.10.3(1) Clarify this is for both ASFR/SFR. IPU 25U0370 issued 03-17-2025 (18) IRM 25.23.10.4.6(2) (a) Added the overnight package to COIC. IPU 25U0370 issued 03-17-2025 (19) IRM 25.23.10.4.6(4) Added paragraph for procedures when a TC780 is on ID Theft tax years. Subsequent paragraphs renumbered. IPU 25U0370 issued 03-17-2025 (20) IRM 25.23.10.4.7 Request for Appeals has been moved from 25.23.4.13 to IRM 25.23.10.4.7. IPU 25U3372 issued 06-05-2025 (21) IRM 25.23.10.4.7.1 Cases with -L or -W Freeze Codes has been moved from 25.23.4.13.1 to IRM 25.23.10.4.7.1. IPU 25U3372 issued 06-05-2025 (22) IRM 25.23.10.4.7.2 Referrals to IRS Independent Office of Appeals (New Requests or Reconsideration for Appeals) has been moved from 25.23.4.13.2 to IRM 25.23.10.4.7.2. IPU 25U3372 issued 06-05-2025 (23) IRM 25.23.10.4.7.3 Cases received from Appeals with Previous Appeals Involvement has been moved from 25.23.4.13.3 to IRM 25.23.10.4.7.3. IPU 25U3372 issued 06-05-2025 (24) IRM 25.23.10.5.1 Removed the note regarding Ogden AUR cases referral to Philadelphia ITDVA due to new procedures. IPU 24U1103 issued 11-06-2024 (25) IRM 25.23.10.5.6(2) (a)(b)(c) Clarified the procedures when a Form 656/656-L received with ID Theft Claim. IPU 24U1103 issued 11-06-2024 (26) IRM 25.23.10.5(14) Removed unprocessed return requirement. Subsequent paragraphs renumbered. IPU 25U0370 issued 03-17-2025 (27) IRM 25.23.10.6.2.4.2 Removed paragraph (2) guidance no longer needed. Subsequent paragraphs renumbered. IPU 25U0370 issued 03-17-2025 (28) IRM 25.23.10.6.3.1(2) Added note to accept TIN's listed on a separate document. IPU 25U0370 issued 03-17-2025 (29) IRM 25.23.10.6.3.1(6) Removed closing code 90 for the TC 470. IPU 25U0370 issued 03-17-2025 (30) IRM 25.23.10.6.3.1(7) Removed paragraph 7. Subsequent paragraphs renumbered. IPU 25U0370 issued 03-17-2025 (31) IRM 25.23.10.6.3.1(9) changed wording from given to returned by. IPU 25U0370 issued 03-17-2025 (32) IRM 25.23.10.6.3.2.1(1) Add clarification for spouses and dependents found through CCA too be opened as IDI2. IPU 25U0370 issued 03-17-2025 (33) IRM 25.23.10.6.3.2.1(2) Update the AUR process codes that can be worked as IDT1. (34) IRM 25.23.10.6.3.2.1.1(4) Removed TIN perfected from 25.23.10.6.3.2.1.1. IPU 25U3372 issued 06-05-2025 (35) IRM 25.23.10.6.3.2.2(1) Updated the IRM link from IRM 25.23.2.3.6 to IRM 25.23.4.18.2 when additional documentation requested. IPU 25U0370 issued 03-17-2025 (36) IRM 25.23.10.6.3.2.3(2) Added TIN perfected from 25.23.10.6.3.2.1.1. Subsequent paragraphs renumbered. IPU 25U3372 issued 06-05-2025 (37) IRM 25.23.10.6.3.2.3(3) Note Added note for payroll issues. Added example for payroll issues. IPU 25U3372 issued 06-05-2025 (38) IRM 25.23.10.6.3.2.3(2)(3) Added clarification and an example regarding taxpayers agreeing to a lesser amount. IPU 25U0370 issued 03-17-2025 (39) IRM 25.23.10.6.3.2.3(2)(4) Add clarification of all of the underreported income. IPU 25U0370 issued 03-17-2025 (40) IRM 25.23.10.6.3.2.3(2)(7) Added example regarding taxpayers agreeing to a lesser amount. IPU 25U0370 issued 03-17-2025 (41) IRM 25.23.10.6.3.2.3.(2)(9) Added new procedures when taxpayer does not provide amount earned and case Open in AUR. IPU 25U0370 issued 03-17-2025 (42) IRM 25.23.10.6.3.2.3(2)(10) Added new procedures when taxpayer does not provide amount earned and case closed in AUR(RECON). Subsequent paragraphs renumbered. IPU 25U0370 issued 03-17-2025 (43) IRM 25.23.10.6.3.2.4(1) Added Reminder for clarification for spouses and dependents found through CCA too be opened as IDI2. IPU 25U0370 issued 03-17-2025 (44) IRM 25.23.10.6.3.2.4(2) Removed the bullet list and added the Notes to the paragraph with the applicable procedures. Updated tax years and dates in the example. IPU 25U0370 issued 03-17-2025 (45) IRM 25.23.10.6.3.2.4(3) Update the table to reflect the new IRM link to IRM 25.23.4.6.5.2 Unprocessed Document procedures. IPU 25U0370 issued 03-17-2025 (46) IRM 25.23.10.6.3.3(3) Removed paragraph because instruction was covered by another section in the IRM. Subsequent paragraphs to be renumbered. IPU 25U0370 issued 03-17-2025 (47) IRM 25.23.10.6.4(1) Update non-IDTVA to Compliance. IPU 25U0370 issued 03-17-2025 (48) IRM 25.23.10.6.4(2) Moved paragraph from IRM 25.23.10.7.4.2(1) due to subsection being removed. Subsequent paragraphs to be renumbered. IPU 25U0370 issued 03-17-2025 (49) IRM 25.23.10.6.4(7) Moved paragraph from IRM 25.23.10.7.4.2(4) due to subsection being removed. Subsequent paragraphs to be renumbered. IPU 25U0370 issued 03-17-2025 (50) IRM 25.23.10.6.4(8) Added clarification of Field PBC's and in the reminder clarify date to create case with. IPU 25U0370 issued 03-17-2025 (51) IRM 25.23.10.6.4(8) Moved paragraph from IRM 25.23.10.7.4.2(5) due to subsection being removed. Subsequent paragraphs to be renumbered. IPU 25U0370 issued 03-17-2025 (52) IRM 25.23.10.6.4(9) Added 2 examples to clarify the appeals rights for the exam issues. IPU 25U0370 issued 03-17-2025 (53) IRM 25.23.10.6.4.1(4) Clarify where to access the AIMS Coordinators. IPU 25U3372 issued 06-05-2025 (54) IRM 25.23.10.6.4.1 Procedures moved from IRM 25.23.10.7.4.2 to New Subsection IRM 25.23.10.6.4.1 IDTVA Specialties Exam Initial Handling Procedures. IPU 25U0370 issued 03-17-2025 (55) IRM 25.23.10.6.4.2(1) Add clarification for spouses and dependents found through CCA to be opened as IDI1. IPU 25U0370 issued 03-17-2025 (56) IRM 25.23.10.6.4.2.1(7) Updated directions for the AUR system update. IPU 25U0370 issued 03-17-2025 (57) IRM 25.23.10.6.4.2.2(3) Updated to IRM 25.23.10.7.4.3.2 clarified date to use when creating cases. IPU 25U0370 issued 03-17-2025 (58) IRM 25.23.10.6.4.2.2(4) Added IRM links to IRM 25.23.4.18.2 and IRM 25.23.4.18.2.1. IPU 25U0370 issued 03-17-2025 (59) IRM 25.23.10.6.4.2.2(6) Added paragraph (e ) for procedures when a TC 780 is on ID Theft tax years. IPU 25U0370 issued 03-17-2025 (60) IRM 25.23.10.6.4.2.2(10) Update with an IRM link to IRM 25.23.4.6.5.2 Unprocessed Document procedures. IPU 25U0370 issued 03-17-2025 (61) IRM 25.23.10.6.4.2.2(11) Moved paragraph from IRM 25.23.10.7.4.1(13) to IRM 25.23.10.6.4.2.2(11). IPU 25U0370 issued 03-17-2025 (62) IRM 25.23.10.6.4.2.3(1) Added the closing actions IRM listing. IPU 25U0370 issued 03-17-2025 (63) IRM 25.23.10.6.4.2.3(6) Added exception for procedures when unable to find the dependents TINS that were disallowed. IPU 25U0370 issued 03-17-2025 (64) IRM 25.23.10.6.4.2.3(8)(9) moved procedures from IRM 25.23.10.7.4.1(9)(10). IPU 25U0370 issued 03-17-2025 (65) IRM 25.23.10.6.4.2.3(9) Added note to attach CEAS work papers as an option removed the table. IPU 25U0370 issued 03-17-2025 (66) IRM 25.23.10.6.4.4(4) Added clarification what CEAS program to find documents. Subsequent paragraphs renumbered. IPU 25U0370 issued 03-17-2025 (67) IRM 25.23.10.6.4.4.1(1) Added IRM link to IRM 25.23.4.6 for the research paths. IPU 25U0370 issued 03-17-2025 (68) IRM 25.23.10.6.4.4.1(4)(b) Clarified out of scope cases. IPU 25U0370 issued 03-17-2025 (69) IRM 25.23.10.6.4.4.1(4)(c) Clarified documentation in response to audit issue. IPU 25U0370 issued 03-17-2025 (70) IRM 25.23.10.6.4.4.2(1) Added criteria when to return cases to the Field Exam PBC per the routing matrix. IPU 25U0370 issued 03-17-2025 (71) IRM 25.23.10.6.4.4.2(2)(c) Removed paragraph for the ordering from files guidance no longer needed due to the use of CEAS to access files needed. IPU 25U0370 issued 03-17-2025 (72) IRM 25.23.10.6.4.4.2(3)(4)(5) Removed paragraphs for the open or closing of AIMS guidance no longer needed due to the use of CEAS to access files needed. IPU 25U0370 issued 03-17-2025 (73) IRM 25.23.10.6.6(5)(d) clarifies ASED updates needed to be complete by Field Exam before referred via Form 872. IPU 25U0370 issued 03-17-2025 (74) IRM 25.23.10.7.1.1(1) Second note updated OIC referral OIC mailbox name from W&I To TS. IPU 24U1103 issued 11-06-2024 (75) IRM 25.23.10.7.1.1(8) Removed the acknowledgement letter requirement. IPU 24U1103 issued 11-06-2024 (76) IRM 25.23.10.7.2.1.1(3)(b) Removed the acknowledgement letter requirement. Subsequent paragraphs renumbered. IPU 24U1103 issued 11-06-2024 (77) IRM 25.23.10.7.2.2(4)(d) Add the NFTL withdrawal procedures. IPU 24U1103 issued 11-06-2024 (78) IRM 25.23.10.7.3.1(2) Added new procedures for the referrals from AUR to ID Theft. Subsequent paragraphs renumbered. IPU 24U1103 issued 11-06-2024 (79) IRM 25.23.10.7.3.1(4) Remove exception for Ogden AUR cases to be sent to Philadelphia for processing. IPU 24U1103 issued 11-06-2024 (80) IRM 25.23.10.7.3.1 (6)(7)(8) Added case batching procedures. IPU 24U1103 issued 11-06-2024 (81) IRM 25.23.10.7.3.1(9) Added new procedures for controlling AUR cases on CII. IPU 24U1103 issued 11-06-2024 (82) IRM 25.23.10.7.3.2.1(5) Updated the closure process code from 17 to 26. Removed first note. IPU 24U1103 issued 11-06-2024 (83) IRM 25.23.10.7.3.2.1(9) Clarified the acknowledgement letter requirement. IPU 24U1103 issued 11-06-2024 (84) IRM 25.23.10.7.3.2.1(10) Updated to reflect new procedures to retrieve AUR case files. IPU 24U1103 issued 11-06-2024 (85) IRM 25.23.10.7.3.2.1.1(2) Added instructions for EIN. IPU 24U1103 issued 11-06-2024 (86) IRM 25.23.10.7.3.2.1.1(5) Incorporate the table for TIN Perfected IR's to Cases Screened In Error from the IRM 25.23.10.7.3.2.3(2). IPU 24U1103 issued 11-06-2024 (87) IRM 25.23.10.7.3.2.3(1) Removed the note for Married Filing Joint requiring 14039 for both taxpayers. Move the table for TIN Perfected IR's to IRM 25.23.10.7.3.2.1.1(5). IPU 24U1103 issued 11-06-2024 (88) IRM 25.23.10.7.3.3(4) Added note for employee URP directions for the AUR system update. IPU 24U1103 issued 11-06-2024 (89) IRM 25.23.10.7.3.3(7) Updated the closure process code from 17 to 26. IPU 24U1103 issued 11-06-2024 (90) IRM 25.23.10.7.4.1.1(9) Removed the acknowledgement letter requirement. Subsequent paragraphs renumbered. IPU 24U1103 issued 11-06-2024 (91) IRM 25.23.10.7.4.2 IDTVA Specialties Exam General Procedures removed. Subsequent subsections to be renumbered. IPU 25U0370 issued 03-17-2025 (92) IRM 25.23.10.7.4.2.1(5) Clarified the acknowledgement letter requirement. IPU 24U1103 issued 11-06-2024 (93) IRM 25.23.10.7.4.3.3(2)(4)(5) Removed paragraphs because instruction was covered by another section in the IRM. Subsequent paragraphs to be renumbered. IPU 25U0370 issued 03-17-2025 (94) IRM 25.23.10 Various editorial changes and broken links throughout IRM. IPU 25U3372 issued 06-05-2025 Effect on Other Documents IRM 25.23.10, Compliance Identity Theft Case Processing, dated 08-30-2024 effective 10-01-2024, is superseded. The following IPU's have been added: IPU 24U1103 issued 11-06-2024 IPU 25U0370 issued 03-17-2025 IPU 25U3372 issued 06-05-2025 Audience The provisions in this manual apply to all employees working Identity Theft Victim Assistance-Compliance Programs. Effective Date (10-01-2025) Lucinda J Comegys Director of Accounts Management Taxpayer Services

Program Scope and Objectives

25.23.10.1 (06-05-2025) Program Scope and Objectives Purpose: This manual provides case procedures specific to identity theft cases with Compliance involvement. This manual also provides guidance for cases processed by the Designated Identity Theft Adjustment (DITA) Team. Note: See IRM 21.1.1.2, Commitment to Quality, if a taxpayer believes they have been discriminated against on the basis of sex, race, color, national origin (including limited English proficiency), disability, reprisal, religion, or age. Audience: This IRM is for use by employees of the Identity Theft Victims Assistance (IDTVA) Specialty Teams. Policy Owner: Director of Accounts Management. Program Owner: Accounts Management, Identity Theft Victims Assistance. Primary Stakeholders: The primary stakeholders are organizations that Accounts Management collaborates with; Return Integrity & Compliance Services (RICS), Compliance and Submission Processing. Program Goals: The Identity Theft Victims Assistance program goals and objectives are to be achieved by following the processes and procedures provided within this IRM for the IDTVA Specialty Teams. In addition to the IRM 25.23, the following IRMs may be utilized for processing work performed by IDTVA Specialty teams. This list is not all inclusive: IRM 1.2.1.2.36, Policy Statement 1-236, Fairness and Integrity in Enforcement Selection IRM 2.3, IDRS Terminal Responses IRM 2.4, IDRS Terminal Input IRM 3.12.3, Individual Income Tax Returns IRM 3.13.5, Individual Master File (IMF) Account Numbers IRM 3.13.2.2.2.1, Taxpayer Bill of Rights (TBOR) IRM 4.13, Audit Reconsideration IRM 4.19.3, IMF Automated Underreporter Program IRM 4.19.11, Examination Classification of Work IRM 4.19.13, General Case Development and Resolution IRM 4.19.14, Refundable Credits Strategy IRM 4.19.15, Discretionary Programs IRM 4.19.15.45, Non-Filer Program IRM 4.19.16, Claims IRM 4.31, Pass-through Entity Handbook IRM 5.11, Notice of Levy IRM 5.18.1, Automated Substitute for Return (ASFR) Program IRM 5.19.1, Balance Due IRM 5.19.2, Individual Master File (IMF) Return Delinquency IRM 5.19.4, Enforcement Action IRM 5.19.9, Automated Levy Programs IRM 8.2, Pre 90-Day and 90-Day Cases (available on Forms, Pubs, and Docs repository) IRM 10.5, Privacy and Information Protection IRM 11.3, Disclosure of Official Information IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria IRM 20.1, Penalty Handbook IRM 20.2, Interest IRM 21, Customer Account Services IRM 25.1, Fraud Handbook IRM 25.12.1, Processing Refund Hold Program Inventory IRM 25.6, Statute of Limitations IRM 25.23, Identity Protection and Victim Assistance IRM 25.24, Return Preparer Misconduct Program IRM 25.25, Revenue Protection

Background

25.23.10.1.1 (06-05-2017) Background In Fiscal Year (FY) 2015 the IRS opted to consolidate Identity Theft operations to improve accountability, efficiency, and timeliness. The Identity Theft Victims Assistance (IDTVA) organizational structure provides unified leadership and improves program oversight.

Authority

25.23.10.1.2 (06-05-2017) Authority Refer to IRM 1.2.1.13, Policy Statements for Customer Account Services Activities, for information.

Roles and Responsibilities

25.23.10.1.3 (10-01-2025) Roles and Responsibilities The Taxpayer Services Chief has overall responsibility for the policy related to this IRM which is published on a yearly basis. Additional information is found in IRM 1.1.13.6.3, Accounts Management (AM) and IRM 21.1.1, Accounts Management and Compliance Services Overview. Accounts Management Identity Theft Victim Assistance Specialty Teams are responsible for the activities provided in this IRM. The provisions in this IRM are specific to resolving identity theft account referrals from: Automated Collection System Support (ACSS) Automated Substitute for Returns (ASFR) Automated Underreporter (AUR) Compliance Services Collection Operation (CSCO) Monitoring Offer in Compromise (MOIC) Centralized Offer in Compromise (COIC) Doubt as to Liability (DATL) Correspondence Examination (Exam) Field Exam Reconsiderations Field & Specialty Collection Large Business & International (LB&I) Tax Equity & Fiscal Responsibility Act (TEFRA) For a list of the IDTVA Specialty teams see IRM 25.23.4-6, IDTVA Site Locations.

Program Management and Review

25.23.10.1.4 (10-01-2025) Program Management and Review Program Reports - For reports concerning quality, inventory, aged listing, refer to IRM 1.4.16, Accounts Management Guide for Managers. To ensure work is resolved timely and inventory reports reflect the correct data, each AM campus MUST download the Case Control Activity (CCA) 4243, IDRS Overage Report, and CCA 4244, IDRS Multiple Case Control Report, from Control- D WebAccess (CTDWA). Program Effectiveness: Program Effectiveness is measured and controlled through: Managerial Reviews Quality Reviews Program Reviews

Program Controls

25.23.10.1.5 (10-01-2025) Program Controls Goals, measures and operating guidelines are provided in the yearly Program Letter. Quality data and guidelines for measurement is referenced in IRM 21.10.1, Embedded Quality (EQ) Program for Accounts Management, Campus Compliance, Field Assistance, Tax Exempt/Government Entities, Return Integrity and Compliance Services (RICS) and Electronic Products and Services Support.

Terms and Acronyms

25.23.10.1.6 (10-01-2025) Terms and Acronyms For a comprehensive listing of any IRS acronyms, please refer to the Acronym Database. The following acronyms will be used throughout this IRM: Acronym Definition AC Action Code ACE Automated Correspondence Exam ACSS Automated Collection System Support AM Accounts Management AMS Accounts Management System ASED Assessment Statute Expiration Date ASFR Automated Substitute for Return AUR Automated Underreporter BITER Brookhaven Identity Theft Exam Referral CC Command Code CCA Complete Case Analysis CEAS Correspondence Examination Automation Support CII Correspondence Imaging Inventory CN Common Number COIC Centralized Offer in Compromise CRN Credit Reference Number CSCO Compliance Services Collection Operations DITA Designated Identity Theft Adjustment ERS Error Resolution System IA Installment Agreement IAT Integrated Automated Tools ICT Image Control Team IDRS Integrated Data Retrieval System IDT Identity Theft IDTVA Identity Theft Victim Assistance IDTVA-A Identity Theft Victim Assistance Accounts Management IDTVA-I Identity Theft Victim Assistance IPSU IPSU Identity Protection Specialized Unit IR Information Return IRS Internal Revenue Service IRSN Internal Revenue Service Number OAR Operations Assistance Request OFP Organization Function Program OIC Offer in Compromise OSINV Oscar Inventory PC Process Code QMF Query Management Facility RGS Report Generation Software RICS Return Integrity and Compliance Services RPM Return Preparer Misconduct RTF Return Transaction File SFR Substitute for Return SNOD Statutory Notice of Deficiency SP Submission Processing SSA Social Security Administration SSN Social Security Number TAS Taxpayer Advocate Service TC Transaction Code TCIS Treasury Check Information System TEFRA Tax Equity and Fiscal Responsibility Act TIN Taxpayer Identification Number TPP Taxpayer Protection Program TS Taxpayer Services U/R Underreported

Related Resources

25.23.10.1.7 (10-01-2025) Related Resources Refer to IRM 1.4.2.1.8, Related Resources, for information on related resources that impact internal controls. The following resources contain information and job aides that can assist in case processing. Document 6209, IRS Processing Codes and Information Accounts Management Research Portal – Identity Theft SERP IDTVA Hub The Taxpayer Advocate Service is an independent organization within the Internal Revenue Service (IRS), led by the National Taxpayer Advocate, that helps taxpayers and protects taxpayer rights. TAS offers free help to taxpayers when a tax problem is causing a financial difficulty, when they've tried and been unable to resolve their issue with the IRS, or when they believe an IRS system, process, or procedure just isn't working as it should. TAS strives to ensure that every taxpayer is treated fairly and knows and understands their rights under the Taxpayer Bill of Rights. TAS has at least one taxpayer advocate office located in every state, the District of Columbia, and Puerto Rico. The Taxpayer Bill of Rights (TBOR) lists rights that already existed in the tax code, putting them in simple language and grouping them into 10 fundamental rights. Employees are responsible for being familiar with and acting in accord with taxpayer rights. See IRC 7803(a)(3), Execution of Duties in Accord with Taxpayer Rights. For additional information about the TBOR, see https://www.irs.gov/taxpayer-bill-of-rights. The following systemic tools may be utilized to perform research or to process the work performed by IDTVA. This list is not all inclusive: Account Management Services (AMS) Accurint ACSweb Automated Substitute for Return (ASFR) System Automated Underreporter (AUR) System Integrated Automation Technologies (IAT) Integrated Data Retrieval System (IDRS) Correspondence Examination Automation Support (CEAS) Correspondence Imaging Inventory (CII) Employee User Portal (EUP) Individual Taxpayer Identification Number – Real Time System (ITIN-RTS) Modernized E-File System (MeFile) Remittance Transaction Research (RTR) Report Generation Software (RGS) Treasury Check Information System (TCIS)

Case Batching

25.23.10.2 (06-05-2025) Case Batching All cases that come into an IDTVA Specialty team must be controlled on CII. All correspondence should be researched on IDRS and CII to determine whether there are existing open CII cases. Due to the possibility of disclosing taxpayer information to an unauthorized individual, acknowledgement letters will not be issued upon receipt of Form 14039, Identity Theft Affidavit, or other acceptable documentation in which the taxpayer alleges they are a victim of identity theft. This includes cases of IRS identified identity theft. To exercise caution when corresponding with the taxpayer, the case must be reviewed, and a determination made prior to providing any account information to the claimant. For new correspondence received on an open CII case, a CII Association sheet must be completed and sent to ICT to be associated with the existing open case. Note: DO NOT request the scanning of any like documents with no new information that already exists on CII. Note: If a Form 656, Offer in Compromise or Form 656-L, Offer in Compromise (Doubt as to Liability) is included with the response, see paragraph (8) below. Send any correspondence received on cases that have not been opened on CII to ICT using the Image Control Team (ICT) Batch Cover Sheet. IDTVA teams receiving correspondence should complete the ICT Batch Cover Sheet for each piece of correspondence. This form and its instructions can be found on the IDTVA Hub. Note: Prior to sending an IDT case to ICT for batching, all collection activities must be addressed. See IRM 25.23.4.12, Collection Activity - Form 14394/13794, for more information. If the account reflects a balance due on Service Center or Master File, input TC 470 CC 90 to prevent balance due notices from generating and offsets into the module. Reminder: Before sending correspondence to ICT, perform research to ensure that the case meets the requirements to be worked in IDTVA. See IRM 25.23.4.3.4, IDTVA Specialty Functions - Case Referrals from Compliance Functions, If the referring compliance function did not input a TC 971 AC 522 UNWORK upon referral, do not reject the referral. Refer to IRM 25.23.2.4.4 , Initial Allegation or Suspicion of Tax-Related Identity Theft – IMF Identity Theft Indicators and IRM 25.23.2.4.4.1, IMF Identity Theft - Taxpayer Initiated Allegations of Identity Theft - TC 971 AC 522, to determine if a TC 971 AC 522 is required to be input. For cases that were previously closed and re-opened, the case data fields must be updated with the correct case type, category code and OFP immediately after re-opening the cases. Cases re-opened should be worked and closed in the same day. If at any time an original form of payment (i.e., personal check or money order) is discovered, refer to IRM 25.23.10.2.1, Discovered Remittance. If a Form 656/656-L is included with a Form 14039, Identity Theft Affidavit or police report assigned to IDTVA or included in a response to IDTVA, take the following actions: Note: It is urgent that Form 656 is forwarded to COIC as soon as it is discovered. COIC has strict timeframes they must meet. If the Form 656, Offer in Compromise, was included immediately forward via EE-fax to the appropriate campus based on COIC mapping. If the Form 656-L, Offer in Compromise (Doubt as to Liability), was included immediately forward to Doubt as to Liability via EE-fax found in the Offer -In-Compromise Compliance Campus Locations for DATL. When a Form 656/656-L has been received a letter 86C needs to be sent, include the following special paragraph or similar verbiage in your letter: "We received your Form 656, Offer in Compromise/ 656-L, Offer in Compromise (Doubt as to Liability). We have forwarded it to the appropriate department for consideration. We will continue to process your Identity Theft claim." Include only the appropriate Form 656 or 656-L in the paragraph. Document the acknowledgement of the Form 656/656-L in a CII case note. All IDTVA Specialty control bases will contain category code IDI* to identify the function the case is assigned to. When submitting an ICT Batch Cover Sheet to the ICT team, the correct IDI code must be indicated to ensure proper control. See 25.23.2-15, IDTVA IDRS Category Controls by Function and IRM 25.23.4.6.2, IDTVA - Additional Research and Required Actions. Note: If the correspondence contains a Form 14157, Return Preparer Complaint, see IRM 25.24.1.4.1, Routing Information - Paper. Use the routing information to prepare the ICT Batch Cover Sheet to ensure it is assigned to the correct function. Do not route Form 14039 when the taxpayer is claiming RPM, send a 4674C letter to request the required RPM documentation. See IRM 25.24.2.3.2, Case Batching for additional information. Input priority codes on the ICT Batch Cover Sheet as appropriate following IRM 25.23.4.3.5, Priority Codes for IDTVA Specialties CII Cases. If a Form 14394, Identity Theft Collection Alert or Form 13794, Request for Release or Partial Release of Notice of Federal Tax Lien will be sent to ACSS or Collection Advisory, include a copy of the completed form with the documents being sent to ICT for imaging. Exception: ACSS does not complete Form 14394, therefore they are not responsible for submitting a copy of the form to ICT. Make sure that the ICT Batch Cover Sheet contains all necessary information so the case can be accurately controlled. Additional information about controlling case can be found in IRM 25.23.4.3.1, CII and IDRS Case Controls. Refer to the following specialty function sections, for additional batching requirements: IRM 25.23.10.6.1.1, IDTVA Specialties CSCO Initial Receipt Clerical Actions IRM 25.23.10.6.2.1.1, IDTVA Specialties ACSS Initial Receipt Clerical Actions IRM 25.23.10.6.3.1, IDTVA Specialties AUR IDTVA Clerical Procedures IRM 25.23.10.6.4.2.1, Specialties Exam Technical Research and Initial Handling Procedures

Discovered Remittance

25.23.10.2.1 (09-03-2020) Discovered Remittance Discovered remittance is an original form of payment, such as a personal check, money order, or cashier's check that is found attached to correspondence, inside an envelope, or attached to a blank piece of paper. When a remittance is discovered, complete two copies of Form 3244, Payment Posting Voucher. Complete the following fields: TIN Form number/MFT Tax Period Transaction/Received date (IRS received date) Taxpayer name, address, and ZIP code Transaction Data Note: Enter the remittance amount next to the appropriate code. Use TC 610 if the payment is included with an original return or TC 670 if it is a subsequent payment. Remarks Note: Enter the team manager's phone number and mail stop. Prepared by After completing Form 3244, take the following actions: Attach one copy (original) to the remittance. Give it to the Manager/Lead to be placed in the local Lock Box. Attach the second copy of Form 3244 to the response. Complete Form 4287, Record of Discovered Remittance. Give it to the Manager/Lead to ensure the discovered remittance is included in the log, as required. IRS Checks - Returned IRS refund checks are handled differently than regular discovered remittance. If an IRS refund check is found, take it to the team Manager/Lead to be routed to the Refund Inquiry Unit. Voided Checks - If the response has a "VOIDED" personal check attached to an Installment Agreement (IA) request, route the "VOIDED" personal check and IA request to Collections.

MFT 32 with Automated Substituted For Return (ASFR) or Exam SFR Assessment

25.23.10.3 (03-17-2025) MFT 32 with Automated Substituted For Return (ASFR) or Exam SFR Assessment If the MFT 32 return is invalid it does not need to be moved back to MFT 30, follow your functional guidance to resolve the ASFR or SFR. If the MFT 32 is valid, compare the total tax currently on the MFT 30 module to the amount of tax reported on the return that is posted to MFT 32 in error. If the total tax currently on the module is more than the tax reported on the return being considered, the assessment is not barred. Refer to the following table: If And Then 1) The tax on the MFT 30 module is the same as the tax on the return moved to MFT 32 It is the current and/or immediately preceding tax year Move the MFT 32 to the MFT 30, see IRM 25.25.6.7, MFT 32 Procedures - Moving Identity Theft Returns Update the ASED if needed Adjust other return information as needed (i.e. Entity) Resolve credits 2) The tax on the MFT 30 module is the same as the tax on the return moved to MFT 32 It is a module older than the immediately preceding tax year Refer the case to RICS, see IRM 25.23.4.15(2), MFT 32 Cases - Moved in Error Once the return has been moved back to MFT 30 update the ASED if needed Adjust other return information as needed (i.e. Entity) Resolve credits 3) The tax on MFT 30 is more than the tax on the return moved to MFT 32 It is the current and/or immediately preceding tax year Move the MFT 32 to the MFT 30, see IRM 25.25.6.7, MFT 32 Procedures - Moving Identity Theft Returns Update the ASED if needed Adjust to the valid return figures Resolve credits 4) The tax on MFT 30 is more than the tax on the return moved to MFT 32 It is a module older than the immediately preceding tax year Refer the case to RICS, see IRM 25.23.4.15(2), MFT 32 Cases - Moved in Error Once the return has been moved back to MFT 30 update the ASED if needed Adjust to the valid return figures Resolve credits 5) The tax on MFT 30 is less than the tax on the return moved to MFT 32 It is the current and/or immediately preceding tax year Move the MFT 32 to the MFT 30, see IRM 25.25.6.7, MFT 32 Procedures - Moving Identity Theft Returns Update the ASED if needed Adjust to the valid return figures Resolve credits 6) The tax on MFT 30 is less than the tax on the return moved to MFT 32 It is a module older than the immediately preceding tax year Refer to IRM 25.23.2.5.2, Statute Protection - Multiple Returns, to determine if the valid return is statute imminent Refer the case to RICS, see IRM 25.23.4.15(2), MFT 32 Cases - Moved in Error Once the return has been moved back to MFT 30 update the ASED if needed See IRM 25.23.4.9, Statute Processing Considerations, and its subsections to determine if there is a barred statute If you determine there is a barred statute follow procedures in IRM 25.23.4.9.2.2, Resolving a Barred Assessment with Compliance Issues (IDTVA Specialty Functions Only), to correct the account If you determine there is not a barred statute adjust to the valid return figures Resolve credits See IRM 25.23.13.2, Income Related Identity Theft - General and its subsections to determine if the taxpayer is a victim of income related IDT. If taxpayer maybe a victim of refund related IDT, see IRM 25.23.4.8, Identity Theft (IDT) Common Number (CN) Ownership and Case Processing Determinations to make a determination. If you determine the taxpayer is not a victim of IDT, follow IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations. If the taxpayer will have a balance owed see IRM 25.23.4.12.3, Collection Activity - Resume Collection Actions.

Identity Theft Cases with Multiple Specialty Function Involvement

25.23.10.4 (11-23-2022) Identity Theft Cases with Multiple Specialty Function Involvement When research indicates a taxpayer is impacted by identity theft that requires resolution involving more than one IDTVA Specialty Function follow IRM 25.23.4-5 IDTVA Routing Matrix to determine which Specialty Function will resolve the case as a single point of contact. This IRM section and its subsection provides specific guidance intended for Specialty Functions working cases with multiple specialty function involvement. For example: IDTVA Exam Specialty will follow IRM 25.23.10.4.1 Identity Theft Cases with AUR Involvement, IRM 25.23.10.4.2 Identity Theft Cases with ASFR Involvement, and IRM 25.23.10.4.3 Identity Theft Cases with Delinquency Inquiries (TDI) Involvement, etc. IDTVA AUR Specialty will follow IRM 25.23.10.4.2 Identity Theft Case with ASFR Involvement, and IRM 25.23.10.4.3 Identity Theft Cases with Delinquency Inquiries (TDI) Involvement, etc. When performing complete case analysis, if other years have AUR or ASFR involvement, it may be necessary to contact the appropriate IDTVA AUR or ASFR liaison when there is an open AUR or ASFR control. This action is necessary so the appropriate systems can be documented and properly closed out.

Identity Theft Cases with AUR Involvement

25.23.10.4.1 (11-06-2024) Identity Theft Cases with AUR Involvement When working accounts with Automated Underreporter (AUR) involvement, it is necessary to research the account to determine where the account is in the AUR process. This can be determined by reviewing the Underreporter Process Codes listed under the Transaction Code (TC) 922 on the account. The status of an Underreporter case will be determined by the last process code posted. The definitions of the Underreporter Process Codes can be found in Section 8C, 5 - Underreporter Process Codes of Document 6209, and in IRM 4.19.3-4, AUR Process Codes Cases that are identified as still open in AUR will require an email be sent to the IDTVA-AUR IDT liaison at the campus the AUR account is located. This can be determined by the TC 922 DLN. A listing of AUR IDT liaisons can be found on SERP at IDT Liaison listing. Note: Process codes 30, 55, 57, 59, 75, 95, 97, and 98 indicate the case is an open AUR case. Note: TXMOD control with open URP- or URPS. The email must contain the determination of the IDT allegation and the disposition of the AUR issue. Example: A taxpayer receives a CP 2000 for underreported wages and interest income. The taxpayer alleges the W-2 income does not belong to him/her. It is determined that the taxpayer is a victim of IDT. The email would contain information that it has been determined that the W-2 does not belong to the taxpayer and should be deleted. The interest income was not addressed by the taxpayer. Delete the IR for the W-2 income and continue processing the case. Example: A taxpayer received a CP 2000 for underreported social security benefits. The taxpayer alleges IDT and they do not have a filing requirement. After researching the IDT allegation, it is determined that the taxpayer is a victim of IDT. The email would state the taxpayer does not have a filing requirement. The TC 150 is a nullity; close the AUR issue as a no change. IDT resolves all AUR issues. When working AUR reconsiderations, there is no need to contact the IDTVA AUR liaison. There are instances in which case files may not be scanned into CII that were referred by AUR. These cases are discovered by working the ADR Report Blanks tab, see IRM 25.23.4-15, ITVA HQ AUR ADR Report. A CII case will be created. The case should contain CII note "Case created from ADR report, work using internal research." Attempt to make a determination and work the case using internal research. If a determination cannot be reached through internal research, follow the instructions in IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written), to obtain the necessary information from the taxpayer. In your out call or outgoing letter, acknowledge the lost response, and include an apology.

Identity Theft Cases with ASFR Involvement

25.23.10.4.2 (10-01-2019) Identity Theft Cases with ASFR Involvement When working accounts with Automated Substitute for Return (ASFR) involvement, it is necessary to research the account to determine whether the account is open in the ASFR process or a reconsideration. This can be determined by reviewing TXMOD. Open ASFR cases can be identified by: A TC 971 with action code 143 - ASFR selected the case and sent Notice 2566 A TC 150 .00 with a DLN containing a tax class and document code of 210 is posted 3 weeks prior to the default assessment "SFR" will be notated to the right of the TC 150 DLN The TC 150 DLN will have a Julian date of 887 A corresponding TC 140 and A TC 971 AC 141 with no TC 290 assessment Cases that are identified as still open in ASFR will require an email be sent to an IDTVA ASFR IDT liaison. Liaisons can be located on SERP, using the following link IDT Liaison listing. The email must contain the determination of the IDT allegation and the disposition of the ASFR issue. Example: A taxpayer submits an IDT affidavit claiming they are a victim of identity theft and did not earn income in the year identified on the Form 14039, Identity Theft Affidavit. Upon researching IDRS, it is determined that the case is open in the ASFR program. Review IRPTR to determine if the income in question belongs to the taxpayer. It is determined that the taxpayer is a victim of IDT, and all income does not belong to the taxpayer. The email would contain information that the ASFR income does not belong to the taxpayer and should be deleted and should contain verbiage such as "The ASFR case should be closed as the taxpayer is not liable, victim of IDT, no filing requirement" . Example: A taxpayer submits a Form 14039 claiming some of the income reported under his/her SSN was not earned by him/her. After researching the IDT allegation and IPRTR, it is determined that a portion of the income belongs to the taxpayer. The email would state the taxpayer is a victim of IDT and IR ABC only belongs to the taxpayer, all other income is a result of IDT. An ASFR reconsideration will reflect the same information as an open ASFR but with a TC 290 assessment and a TC 599 with closing code 088 or 089. Closing code 088 indicates the case was closed as a no response or disagreed. Closing code 089 indicates a return was secured. When working ASFR reconsiderations, there is no need to contact the IDTVA ASFR liaison unless IRPTR information is unavailable, and a clear determination cannot be made. Note: The ASFR Liaison will be able to provide all income items when IRPTR information is unavailable.

Refund Hold Program

25.23.10.4.2.1 (10-01-2020) Refund Hold Program The Refund Hold Program was designed to hold individual income tax refunds and credit elects of ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡, when a current or prior year refund return is filed, and the taxpayer's account has at least one unfiled tax return within the five years prior to the current year. There may be instances when the taxpayer claims IDT because his/her refund is being held for another year. Example: The valid taxpayer did not file for TY 2013 because they did not have a filing requirement. However, IRPTR shows enough wage income (that was earned by someone other than the valid taxpayer) to have a filing requirement and would result in a balance due. The valid taxpayer files a TY 2015 return expecting a refund. The refund is held because of the TDI issue created by the fraudulent income. Refunds held by this program can be identified on IDRS by: TC 971 AC 130 A TC 570 with "999" in the Julian Date of the DLN. Reason code "RF" displayed on the IDRS module of the refund year Freeze Code "-R" on the IDRS module for the year of the refund being held Refunds are released systemically under the following conditions: ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡"≡ ≡ ≡" ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡"≡ ≡ ≡" ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ Refund holds can be manually released inputting a TC 290 .00 with a priority code 08 and a reason code 085 to the refund hold module (tax year of refund being held) when one of the following criteria is met: Liability determination has been made on all delinquencies related to the taxpayer and there are no balance due modules unless there are Compliance select codes present All delinquent return(s) are submitted and there are no balance due conditions The taxpayer is experiencing an economic hardship and supporting documentation has been provided by TAS on an OAR The taxpayer is in a declared disaster area and has self-identified as an affected taxpayer The taxpayer filed with a spouse, and it has been verified there are no balance due conditions related to the taxpayer The taxpayer is deceased The taxpayer is in bankruptcy The taxpayer is in a combat zone and there is no exit date present on IDRS CC IMFOLE Note: Do not release the refund if there are any other hold codes on the module, such as IVO, or CI. See IRM 25.12, Delinquent Return Refund Hold Program, for additional information.

Identity Theft Cases with Tax Delinquency Inquiries (TDI) Involvement

25.23.10.4.3 (03-09-2020) Identity Theft Cases with Tax Delinquency Inquiries (TDI) Involvement See IRM 25.23.4.17, Determining Tax Liability/Form 2209 Instructions, and IRM 25.23.2.6.5, Closing Identity Theft Cases with Tax Delinquency Inquiries (TDI), for guidance on determining filing requirements and resolving TDI related issues.

Bankruptcy

25.23.10.4.4 (05-15-2018) Bankruptcy Identity Theft cases with Bankruptcy involvement require special handling. The Centralized Insolvency Operation (CIO) must be informed that the taxpayer is a victim of identity theft to ensure cases are resolved effectively without violating bankruptcy laws and procedures.

Bankruptcy with –V or –W Freeze (TC 520 CC 6X or TC 520 CC 8X)

25.23.10.4.4.1 (10-01-2019) Bankruptcy with –V or –W Freeze (TC 520 CC 6X or TC 520 CC 8X) When IDT allegations are received and the account has a –V or –W freeze (TC 520 CC 6X or CC 8X), review the account on Automated Insolvency System (AIS) to determine the current state of the bankruptcy claim. For joint account, it is important to review AIS to determine who filed the bankruptcy claim. Review the account and documentation provided by the taxpayer to determine whether the taxpayer is a victim of IDT. Coordination with the Centralized Insolvency Operation (CIO) is required prior to any adjustments being made. Contact the Bankruptcy Liaison by sending an email to *CIO Issues, requesting the case worker's contact information. CIO will respond via email with the case worker's contact information. The ID Theft examiner can then contact the case worker via email. Inform the Insolvency Specialist (case worker) assigned to the case of the proposed IDT determination and required account adjustments. If a TC 604 is present on the account, request the case worker to reverse it prior to inputting any adjustment. Perform all the agreed upon account adjustments. Prepare Form 4442, Inquiry Referral and provide an explanation of the IDT determination and the account resolution, including the tax, refundable credits, penalties and any potential refund or balance due. Example: Taxpayer claimed IDT and did not file the TC 150, however, there is a TC 976 on the account which the taxpayer did file. The taxpayer is a victim of IDT, and the account has been corrected. There was an AUR assessment which included the SSN owner's income. The SSN owner's income was correctly reported on the TC 976 document. The AUR assessment is reversed when the account is corrected. Coordination with CIO is required in this case prior to adjustment. In addition, all changes to the account need to be communicated to CIO. Email the Form 4442 to the Insolvency Specialist that is assigned to the case. Include a copy of the Form 4442 as part of the CII case. Note: It is important that once the determination is made and the account adjusted, the final account resolution is shared with Insolvency. If the account resolution is not communicated with Insolvency the bankruptcy claim will be incorrect. Close case following normal procedures.

Bankruptcy with no –V or –W Freeze (TC 520 CC 6X or TC 520 CC 8X)

25.23.10.4.4.2 (05-15-2018) Bankruptcy with no –V or –W Freeze (TC 520 CC 6X or TC 520 CC 8X) Closed bankruptcy cases can be identified by a TC 521 CC 6X or a TC 521 CC 8X with no –V or –W freezes. Accounts with TC 971 AC 031 indicate that the taxpayer completed the bankruptcy plan and the balances due were discharged. Accounts with TC 971 AC 033 indicate that only penalties were abated. Review and determine whether the taxpayer is a victim of IDT. Perform all account adjustments. See IRM 21.6.8.5.2, Split Spousal Assessments - Adjusting Accounts, for assistance with adjusting MFT 31 accounts. Do not contact CIO unless: The taxpayer is questioning why the liability was not discharged with the IDT resolution. A TC 604 is on the account. Close case following normal procedures.

Innocent Spouse

25.23.10.4.5 (10-01-2019) Innocent Spouse When a taxpayer alleges IDT and there is also an innocent spouse (IS) claim, the IDT issue must be resolved before the IS claim can be worked. If Cincinnati Centralized Innocent Spouse Operation (CCISO) receives a Form 8857, Request for Innocent Spouse Relief, and a Form 14039, Identity Theft Affidavit, they will contact the taxpayer with Letter 3658C, Unprocessable Innocent Spouse Claim, to return the Form 8857, with an explanation that the IS claim is unprocessable, until after the IDT claim has been resolved. They will forward the Form 14039 to IDTVA. If a Form 8857 is included with a Form 14039 assigned to IDTVA or included in a response to IDTVA, and there is no indication Letter 3658C was sent to the IS taxpayer, take the following actions: Send a Letter 5064C to the taxpayer and include the following special paragraph or similar verbiage: "We received your Form 8857, Request for Innocent Spouse Relief; however, it cannot be processed until we consider your identity theft claim. You may submit the form again, if necessary, after you have been notified of the Identity Theft determination." Document in a CII case note that the letter was sent acknowledging the Form 8857. Continue normal identity theft processing. When all actions have been completed, send the taxpayer a Letter 4674C with the following special paragraph or similar verbiage: "We have now finished processing your Identity Theft Claim. If it is still necessary, you may now resubmit a Form 8857, Request for Innocent Spouse Relief." If an ID theft claim is received in IDTVA and research identifies the tax account contains an unreversed TC 971 AC 065, review information available on IDRS CC ISTSR to determine which spouse filed the claim. Send an Email to the Innocent Spouse IDT Liaison to notify them that the taxpayer has made a claim of Identity Theft. CCISO will close the IS claim as non-qualifying. Resolve the IDT issue and perform all account adjustments as necessary following normal procedures. When all account actions have been completed, send the taxpayer a Letter 4674C with the following special paragraph or similar verbiage:" Now that your identity theft claim is resolved, you may resubmit a Form 8857, Request for Innocent Spouse Relief, if necessary." In addition, send an email to Innocent Spouse IDT Liaison, informing them of the IDT determination. Inform CCISO of the action taken on the account and if there is a remaining balance due. If an ID theft claim is received in IDTVA and the taxpayer claiming innocent spouse has already been moved to an MFT 31 account: Research the account using the IDRS CC ISTSR to determine which spouse filed the claim and what was the IS disposition Resolve the IDT issue and perform all account adjustments, including the MFT 31 account, if necessary, following normal identity theft procedures Close case following normal identity theft procedures Refer to the following sections when adjusting the MFT 31 side of the account: Note: This list is not all inclusive, there may be other IRM sections that need to be referred to. IRM 21.6.8.4, What are MFT 31/ MFT 65 Modules IRM 21.6.8.4.2.1, Mirrored Modules IRM 21.6.8.5, Inquiries/Claims IRM 21.6.8.5.2, Adjusting Accounts

Offer in Compromise (OIC)

25.23.10.4.6 (03-17-2025) Offer in Compromise (OIC) When a taxpayer alleges IDT and there is also an Offer in Compromise (OIC), the IDT issue must be resolved before the Form 656, Offer in Compromise, or Form 656-L, Offer in Compromise (Doubt as to Liability), can be worked. If OIC receives a Form 656, and a Form 14039 or police report, OIC will forward the Form 14039, Identity Theft Affidavit or police report to IDTVA to resolve the IDT claim. If a Form 656/656-L is included with a Form 14039 or police report assigned to IDTVA or included in a response to IDTVA and there is no CII case note documenting the acknowledgement, take the following actions: Note: It is urgent that Form 656 is forwarded to COIC as soon as it is discovered. COIC has strict timeframes they must meet. If the Form 656, Offer in Compromise, was included immediately forward via EE-fax to the appropriate campus based on COIC mapping. Exception: Mail the package overnight, if there are payments and/or an original signature. Verify IRS received date is present. If Form 656-L, Offer in Compromise (Doubt as to Liability), was included immediately forward to Doubt as to Liability via EE-fax found in the Offer in Compromise (OIC) Compliance Campus Locations for DATL. When a Form 656/656-L has been received a letter 86C needs to be sent, include the following special paragraph or similar verbiage in your: "We received your Form 656, Offer in Compromise/656-L, Offer in Compromise (Doubt as to Liability). We have forwarded it to the appropriate department for consideration. We will continue to process your Identity Theft claim." Include only the appropriate Form 656 or 656-L in the paragraph. If there is already an existing IDT(x) case, update the category code to IDI9 with a priority code of 2. Document the acknowledgement of the Form 656/656-L in a CII case note. Continue normal identity theft processing. When all actions have been completed, send the taxpayer a closing Letter 4674C and contact the appropriate campus based on COIC mapping with the determination. An existing OIC can be identified by any of the following account conditions: Case is in Master File or Service Center Status 71 There is a TC 480 or TC 780 on the account -Y Freeze OIC indicator on CC ENMOD or IMFOLI If the ID Theft claim has a tax year containing a TC 780, no adjustments can be input to those affected tax years. Take the following actions: Input the appropriate TC 971 AC 501 or TC 971 AC 506 on the account. Send a Letter 4674C and include the following special paragraph, "We are unable to make any adjustment to your account at this time, due to your accepted offer in compromise which conclusively settled the liability for the tax periods specified in the offer. We placed an identity theft indicator on your tax account to help protect against the possibility of identity theft in the future" Send a Form 9409 if required. If any of the above conditions exist, take the following actions: If Then (1) The category code is any IDI category code besides IDI4 or IDI9, Contact the appropriate campus based on COIC mapping to notify them that the taxpayer has made a claim of identity theft Continue normal identity theft processing Upon completion of the IDT case, contact the appropriate campus based on COIC mapping with the IDT determination and case closure results (2) The category code is IDI4 or IDI9 with no priority code, Contact the appropriate campus based on COIC mapping to notify them that the taxpayer has made a claim of identity theft Continue normal identity theft processing Upon completion of the IDT case, contact the appropriate campus based on COIC mapping with the IDT determination and case closure results. (3) The category code is IDI9 or IDI4 with a priority code 2, Input a TC 470 on impacted tax years not already containing a TC 470 or TC 480 Continue normal identity theft processing Upon completion of the IDT case, contact the appropriate campus based on COIC mapping with the IDT determination and case closure results (4)There is no IDT claim and you have made an IRS identified determination (i.e., Invalid/valid scenario) Contact the appropriate campus based on COIC mapping to notify them that you have made an IDT determination Continue normal identity theft processing Upon completion of the IDT case, contact the appropriate campus based on COIC mapping with case closure results

Requests for an Appeal

25.23.10.4.7 (06-05-2025) Requests for an Appeal There are no appeal rights associated with a No IDT determination. Taxpayers may provide additional information for consideration if they believe their claim is valid. New information received must be considered. If, after review, the new information does not support changing the original determination, see IRM 25.23.4.10.13, Identity Theft (IDT) - Previous Action. When the new information will result in a determination of IDT, work the case following normal procedures. Taxpayers have various appeal rights that can be requested on cases that were worked within Compliance. The different appeal rights are as follows: Non-docketed cases – A taxpayer can request a conference with Appeals on an examination that is pre-Notice of Deficiency when the taxpayer disagrees with Exam's determination. Docketed cases – A taxpayer can petition the Tax Court based upon a Notice of Deficiency when a taxpayer disagrees with an ASFR, AUR, or Exam determination. The taxpayer is generally afforded an Appeals conference prior to the trial date before the Tax Court. Collection Due Process (CDP) cases – A taxpayer is entitled to a CDP hearing when the taxpayer timely requests one, there is unpaid tax, and the taxpayer is disputing the enforced collection action (may be an ASFR, AUR, Exam assessment case). Reconsideration Appeal – A Compliance assessment was made and the taxpayer submitted a request for reconsideration which was denied, except for Return Preparer Misconduct cases. See note under IRM 25.23.10.4.7.2, Referrals to IRS Independent Office of Appeals (New Requests or Reconsideration for Appeals). A taxpayer can request their case be reviewed by Appeals. When taxpayers file an appeal, the case is normally routed to Appeals for consideration. Appeals will review the cases based upon the facts and circumstances of the case. Appeals gives full, fair, and impartial consideration to the merits of each new issue a taxpayer raises once the originating function has had an opportunity to examine the issue. Cases with Appeals involvement may be identified as follows: A -L or -W freeze code (a TC 520 with a closing code 72, 76 or 77) is present on the account Cases that are returned from Appeals

Cases with -L or -W Freeze Codes

25.23.10.4.7.1 (06-05-2025) Cases with -L or -W Freeze Codes Any IDT or RPM case that contains a -L or -W freeze should be reviewed on IDRS to determine if the case is in Appeals status. See Document 6209, IRS Processing Codes and Information, Section 13, Appeals and TE/GE, Status Codes for Appeals. Reminder: A TC 520 with a closing code 72, 76 or 77 indicates the case is in Appeals status. Once the Appeals Status Code is identified, follow the chart below for the proper handling of the case: If the Case is AIMS Status: And Then (1) Any AIMS Status The documentation provided by the claimant is incomplete, or insufficient to make an IDT determination, Contact the Appeals Officer or *AP Inquiries, if the case is not assigned, to coordinate communication with the taxpayer Allow 10 business days for a response. If no response is received, follow IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written), to request the additional information (2) 80 – Non Docketed The taxpayer has provided sufficient documentation to determine whether the taxpayer is a victim of Identity Theft, Review all taxpayer documentation and evaluate the claim following normal procedures Perform all necessary account actions, including adjustments. Inform the taxpayer of the outcome Prepare Form 10467, Appeals Division Feedback Report and Transmittal Memorandum with the determination and all actions taken. Include a copy of the letter issued to the taxpayer that reflects the determination or a statement on Form 10467 when the CP 01 will serve as the closing letter. Attach Form 10467 to the CII case Note: Form 10467 must include an explanation when the CP 01 will not be issued and a closing letter is not being sent. Forward Form 10467 to Appeals via secured email to: *AP Inquiries or the Appeals Officer on the 10467. See IRM 25.23.4-14, Format for Emails to Appeals, for additional information. Close your CII case (3) Status 80 – Non Docketed The taxpayer has not provided sufficient documentation to determine whether the taxpayer is a victim of Identity Theft, Follow, IRM 25.23.4.10.10 No Reply. Input TC 290 .00 with a Reason Code 131 or 139, as applicable. Use a Hold Code 3 and Source Code 1 on the adjustment Prepare Form 10467 with the determination and all actions taken. If the taxpayer does not respond to a request for information or if their submitted information is incomplete, notate on the Form 10467 what documentation is still needed for a determination to be made. If the claim is denied, include the reason for the denial. Include a copy of the letter issued to the taxpayer reflecting the determination. Attach Form 10467 to the CII case Forward Form 10467 to Appeals via secured email to: *AP Inquiries or the Appeals Officer on the 10467. See IRM 25.23.4-14, Format for Emails to Appeals, for additional information. Document CII with a case note Close your CII case (4) Status 82 Docketed Appeal (TC 520 with a closing code 72). Regardless of whether the taxpayer has provided sufficient documentation to determine whether the taxpayer is a victim of Identity Theft, Review all taxpayer documentation and evaluate the claim Do not adjust the account Do not issue a closing letter. Appeals will address the determination with the taxpayer Prepare Form 10467 with the determination and all actions to be taken. If a determination cannot be made, notate on the Form 10467 what documentation is still needed. If the claim is denied, include the reason for the denial Forward Form 10467 to Appeals via secured email to: *AP Inquiries or the Appeals Officer on the 10467. See IRM 25.23.4-14, Format for Emails to Appeals, for additional information. Close your CII case (5) Collection Due Process (CDP) Identified by a TC 520 with a Closing Code of either 76 or 77, Follow the directions for AIMS Status 80 Non-docketed in Table Scenario (3) above Note: Cases currently in AUR or ASFR inventory will be worked by AUR or ASFR, as applicable, following this guidance and not transferred to IDTVA Exam as outlined in IRM 25.23.4-5, IDTVA Routing Matrix. Note: If a taxpayer is alleging IDT on multiple years, Appeals will only address the year under its jurisdiction. The tax years not under Appeals jurisdiction must be worked following normal procedures.

Referrals to IRS Independent Office of Appeals (New Requests or Reconsideration for Appeals)

25.23.10.4.7.2 (06-05-2025) Referrals to IRS Independent Office of Appeals (New Requests or Reconsideration for Appeals) Cases will be referred to the IRS Independent Office of Appeals in the following scenarios: Taxpayer specifically requests review by the IRS Independent Office of Appeals Research indicates Appeals previously worked the case and the correspondence originated from the taxpayer. If the taxpayer indicates they want their case to be reviewed by Appeals, the taxpayer must show: They made an attempt to document their entitlement through the reconsideration process and Their request was denied. All evidence provided by the taxpayer must be reviewed by the CSR/TE before the referral to Appeals. Refer to IRM 8.2.1.5, Returning a Case to Examination - ATE, and IRM 8.2.1.6, Preliminary Review of a Case - ATE. For taxpayer requests and any case previously worked by Appeals, complete the steps below before sending the case to Appeals: Close the CII case as a route to Appeals. Input a TC 470 to ensure the taxpayer is not subjected to collection activity pending the appeal of the IRS determination. Send Letter 86C, Referring Taxpayer Inquiry/Forms to Another Office to the taxpayer advising the case is being transferred to Appeals. Include the following special paragraph, "As you requested, we are transferring your case for a hearing with an independent appeals officer. During the time your case is in Appeals, we will not pursue any collection activity on your account. However, you should know that interest and applicable penalties will continue to accrue if there is still a balance due after the Appeals decision. Therefore, you might want to make voluntary payments during the time Appeals is considering your case to minimize any interest or penalties if you ultimately do owe." Forward the case to the appropriate Appeals Office per the Appeals Routing guidelines in (7) below. Note: Denied RPM reconsideration claims should not be referred to Appeals if the taxpayer disagrees with the determination. On denied RPM claims, the taxpayer's only right is to file suit to recover tax, penalties, or other amounts with the United States District Court that has jurisdiction or with the United States Court of Federal Claims. Complete Form 3210, Document Transmittal, and include the following information: Sender's full name, Stop Number, Mailing Address and Phone Number A full description of items being sent The taxpayer's name and SSN Tax period(s) of cases being sent Appeals Case Building Guidelines - The documents below may have to be requested from files or printed from CEAS, the AUR system, or AMS. When building the case include the following: Taxpayer's original return Original Compliance Adjustment Report(s) (example - Form 4549 or CP 2000) Reconsideration Adjustment (if reply to Recon disallowance) Work papers Taxpayer Correspondence Letters; Initial contact, 30-Day, CP 2000, etc Statutory Notice of Deficiency IDRS Research Note: If requesting administrative files, make two attempts three weeks apart (the second request should be a special search). If the administrative file is not received from Files three weeks after the second request, forward without the requested documents. Attach prints of ESTAB requests input and any Charge Outs from Files to verify the documents were requested. Appeals Routing Guidelines - Ensure cases are routed to the correct Appeals office as identified by the Appeals Office code. Consult the Appeals website at Appeals Case Routing for case routing addresses. Note: Communication between the referring function and Appeals that address the strengths and weaknesses of the issues and positions of the parties, accuracy of the facts, credibility or cooperation of the taxpayer, etc., are prohibited unless the information communicated has been shared with the taxpayer. However, communication between the referring function and Appeals relating to ministerial, administrative, or procedural matters are permissible. Refer to sections 2.02(6) and 2.03(3) of Rev. Proc. 2012–18, Ex Parte Communications Between Appeals and Other Internal Revenue Service Employees, for additional discussion regarding ex parte communication with Appeals

Cases Received from Appeals With Previous Appeals Involvement

25.23.10.4.7.3 (06-05-2025) Cases Received from Appeals With Previous Appeals Involvement If a case originated in a campus, the taxpayer petitioned Tax Court or requested an Appeals hearing, and the IDT/RPM allegation is a new issue or new information was provided, Appeals may return cases to IDTVA to review and address the IDT or RPM allegation, provided that there is sufficient time remaining on the statute of limitations. Appeals will review the case to determine whether the taxpayer has provided new information that was not previously shared or if the taxpayer is alleging an IDT/RPM claim for the first time. It is considered a new issue if the taxpayer did not raise the IDT/RPM allegation during the normal process. Appeals will retain jurisdiction of docketed or CDP cases when forwarding to IDTVA. Appeals will release jurisdiction back to IDTVA on non-docketed cases. Appeals will send via email cases where the taxpayer has submitted new information or raised a new issue in Appeals to the appropriate function, as outlined below RPM cases will be routed to *TS IDT:KC:SPEC-EXAM IDT cases will be routed to *TS EEF IDTVA APPEALS All referrals from Appeals will contain Form 10467, Appeals Division Feedback Report and Transmittal Memorandum, and any information the taxpayer provided to Appeals. The Form 10467 will provide sufficient information as to whether jurisdiction was released or retained by Appeals. All referrals must be scanned into CII, if the documentation was not previously scanned. The correct category code and OFP codes must be used when creating a case or sending the information to be scanned. Once the case has been reviewed and a determination made, all docketed and CDP cases received from Appeals must be returned to the originating employee identified on the Form 10467.

Non-Docketed Cases Returned from Appeals

25.23.10.4.7.3.1 (06-05-2025) Non-Docketed Cases Returned from Appeals Appeals will return non-docketed cases to IDTVA when Appeals determines the IDT or RPM claim is a new issue or that the taxpayer provided new information that was not previously considered, if there are at least 210 days remaining on the statute of limitations. All returned non-docketed cases should be scanned and assigned directly to a CSR/TE. The assigned CSR/TE will review the documentation provided by Appeals and determine if the IDT or RPM allegation is valid following normal procedures. If the campus cannot work the case (referred in error) or the IDT or RPM was previously addressed by IDTVA: Complete the explanation section of the Form 10467, Appeals Division Feedback Report and Transmittal Memorandum. Ensure to document the reason the case is being returned, (e.g., previously adjusted) and annotate the previous determination. Return case and Form 10467 back to the originating Appeals employee. Close the CII case. Upon review of the case, if the taxpayer is determined to be a Victim of IDT, complete all account actions, including adjustments. Do not return the case to Appeals. Close following normal procedures. If the taxpayer is determined to be "Not a Victim of IDT" , document the determination on the Form 10467; do not return the case to the originating Appeals employee. Route the Form 10467 using the following link, Appeals Case Routing and the steps below: In the "To Appeals from External Sources" section, select the "Case Routing Addresses and Instructions" link. Click on "Spreadsheet Tool" and the Case Routing Guide will open up. Using the drop down button, select the "Campus Location" . Select the campus where the case originated and mail the case to the address provided. Example: If the case is an AUR case that originated in Austin (TC 922 DLN starts with 18), select "Austin" from the drop down menu in the "Campus Location" field.

Docketed Cases Received from Appeals

25.23.10.4.7.3.2 (06-05-2025) Docketed Cases Received from Appeals On docketed cases where the IDT/RPM claim has not been considered, new information is received by Appeals not previously considered, or the IDT/RPM claim is considered a new issue, an Appeals Officer (AO) will forward the Form 10467 and information package to the appropriate IDTVA function via secured email. Appeals will retain jurisdiction of the case. In docketed cases, time is of the essence. Docketed cases received from Appeals must be worked within 45 days of receipt, unless additional documentation is needed from the taxpayer. Review the documentation provided by Appeals and determine if the IDT/RPM allegation is valid following normal procedures. If additional documentation is needed and the 45 day time frame cannot be met, contact the Appeals Officer (AO) to reach a new response date. If the taxpayer does not reply to a request for additional information, do not deny the claim. Inform Appeals of the determination. The denial will be addressed by Appeals. If the case is determined to be IDT/RPM, "no account adjustments" will be input. Complete Form 10467 with sufficient information to determine the necessary account adjustments. Appeals will input the account adjustments based upon the settlement agreement from the Tax Court. Complete the explanation section of Form 10467, documenting the determination. The explanation should be explicit, outlining all documentation received, determination made, and any potential account adjustments. Example: On an allowed IDT/IDI determination, the following information must be documented: List of documentation submitted by the taxpayer Complete account adjustments including all transaction codes, item reference codes, and dollar amounts. Applicable IDT category code (i.e., TC 971 AC 501 INCOME etc.) Preparer Information Refund trace results, if applicable Items inflated by the preparer Relief to be provided to the taxpayer – (i.e., refund in the amount of X should be released to the taxpayer). Underreported income that remains underreported on the return as intended to be filed or items disallowed by Exam, if applicable. Example: The taxpayer was audited for filing status, exemptions, and Earned Income Credit. The taxpayer has substantiated 2 of the 3 exemptions being disallowed by Exam. Annotate which exemption is still in question. If the campus cannot work the referral package, (i.e., the IDT/RPM was previously worked by IDTVA or referred to IDTVA in error): Complete the explanation section of the Form 10467. Document the reason the case is being returned, (i.e., previously adjusted) and annotate the previous determination. Return Form 10467 to the originating Appeals employee via secured email. Close the CII case. If an RPM claim is denied and meets the criteria to be referred to Exam, do not send to Cat A. Clearly identify the RPM issues between the posted return and the return as intended to be filed on the Form 10467. Appeals will address the Cat A issues. If an IDT claim contains a return from the SSN owner that requires processing and meets the DIF Bypass Criteria, do not refer to Exam. Inform Appeals that the return from the SSN owner must be assessed. Docketed cases received from Appeals will be scanned into CII, if the documentation was not previously scanned. The correct category code and OFP codes must be used when creating a case or sending the information to be scanned.

Collection Due Process Cases Returned from Appeals

25.23.10.4.7.3.3 (06-05-2025) Collection Due Process Cases Returned from Appeals The Appeals Officer (AO) will forward Collection Due Process (CDP) referral packages to IDTVA via secured email, when Appeals determines the IDT/RPM claim is a new issue or new information was received that was not previously addressed. The package will include documentation received in Appeals and Form 10467, Appeals Division Feedback Report and Transmittal Memorandum. Appeals will retain jurisdiction of the case. In CDP cases, time is of the essence. Any CDP cases received must be worked within 45 days of receipt, unless additional documentation is needed from the taxpayer. Review the documentation provided by Appeals and determine if the IDT/RPM allegation is valid following normal procedures. If additional documentation is needed, and the 45 day time frame cannot be met, contact the AO to reach a new response date. If no reply to requests for additional information, deny the claim and return to Appeals following normal procedures. If the case is determined to be IDT/RPM, all account actions and adjustments must be input prior to replying to Appeals. The explanation section of Form 10467 must be completed with the determination, all actions taken, and a copy of the closing letter to the taxpayer explaining the determination. If a CP 01 will serve as the closing letter, document Form 10467 with that information. Return the case to the originating Appeals employee via secured email. If the campus cannot work the case, (i.e., the IDT/RPM was previously addressed by IDTVA or referred to IDTVA in error): Complete the explanation section of the Form 10467. Document the reason the case is being returned, (i.e., previously adjusted) and annotate the previous determination. Return Form 14067 to the originating Appeals employee via secured email. Close the CII case. If the RPM claim is denied and must be referred to Exam, forward the case to Cat A following normal procedures. Include a statement that the case is CDP and request that the case be returned to Appeals upon completion of the audit. Include the Appeals employee's name so the case can be referred back correctly. Inform the Appeals employee of the referral to Exam and all actions taken.

Post Function Referral Procedures

25.23.10.5 (03-17-2025) Post Function Referral Procedures Designated Identity Theft Adjustment (DITA) was established to address post function account adjustments to resolve IDT accounts. These cases require adjustment activity beyond the IRM or procedural scope of the referring function. Once a function has completed all the actions for which they are procedurally responsible, the case is referred to DITA for the remaining actions needed to make the taxpayer whole. Referrals can be submitted on a: Form 3870, Request for Adjustment Form 4442, Inquiry Referral Form 4844, Request for Terminal Action to input the appropriate ID Theft indicators, such as TC 971 AC 522 and TC 972 AC 522 Exception: The IDTVA-A teams that are cross-trained to work the specialty programs (e.g., AUR, Exam) do not refer cases to DITA. They perform their own post function account adjustments. In general, DITA does not have direct contact with taxpayers. If additional information is needed from the taxpayer or the taxpayer requests to be contacted about the status of their case, the referring employee is responsible for contacting the taxpayer. The DITA employee will send a secure e-mail to the referring employee and copy the recipient's manager. The email will include a detailed description of the information needed and/or details of the taxpayer's request for an update on the status of their case. The employee contacting the taxpayer will have 5 business days to meet all contact requirements. Refer to IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written), and IRM 25.23.4.18.5, Taxpayer Calls on Identity Theft (IDT) Cases (IDTVA Paper Employees Only), for additional information. All Field & Specialty Collection and IDTVA Specialties post function referrals will be routed to the DITA team located in Philadelphia. Contact information can be found at: IDT Liaisons Listing. Field Examination and LB&I will forward cases requiring IDT adjustments to IDTVA Exam Specialty in Brookhaven for resolution per IRM 25.23.10.6.6, Field Exam IDT Account Resolution Referrals SB/SE OIC cases will be forwarded to IDTVA-CSCO per IRM 25.23.10.6.1.1, IDTVA Specialties CSCO Initial Receipt Clerical Actions. DITA is responsible for reassigning mixed entity and scrambled SSN cases upon resolution of the modules impacted by identity theft. Document your determination and research, including the other TIN identified for mixed entity cases, in a CII case note and functional specific system history (e.g., AUR, CEAS). Prior to referring the case to the DITA, if a current year account, input a TC 971 AC 850 if entire credit is frozen on account or if conditions in IRM 21.4.1.5.7.1 (4), Direct Deposit of Refunds, are present. The input of the TC 971 AC 850 ensures any subsequent refund will not be direct deposited and will be issued as a paper check. If the referral is incomplete, DITA will contact the referring operation and request that the missing information be provided or corrected. If DITA is unable to obtain the necessary information, the referral will be rejected. Note: DITA will update the CII case data to reflect the referring function's information and will document in a case note the reason for rejection. The referring employee is responsible for making a determination of Common Number (CN) ownership. To meet DITA criteria, at least one impacted year must require non-streamline resolution. All years, including those that meet streamline criteria, will be referred. Do not input any adjustments or transfer any credits on ANY tax module. DITA will complete all IDRS account actions to resolve all impacted years. Exception: ASFR and SFR assessments must be resolved before the case can be referred to DITA. The referring function is responsible for statute screening prior to referring to DITA following guidance in IRM 25.23.2.5, Statute Protection. Referring functions will input a protective assessment on accounts within 180 days of the statute at the time of the referral. Update the CII case to priority code '7'. Indicate the case was statute cleared. Document the action taken in a case note, and attach the completed Form 2859, Request for Quick or Prompt Assessment to the case. See IRM 21.5.1.5.3(5), CII Source Documentation, for instructions on attaching documents to a case. DITA does not issue Form 9409, IRS/SSA Wages Worksheet or Form 2209, Courtesy Investigation. The referring function will complete Form 9409 and/or Form 2209 before sending the referral to DITA. The referring function will address any collection activity for all impacted years prior to making a referral to DITA. A case note will need to be input on the CII system documenting what collection actions were taken. See IRM 25.23.4.12, Collection Activity - Form 14394/13794, for additional information. Referrals to DITA must provide information on the determination made and the adjustments needed to correct the account of Form 3870, Request for Adjustments or Form 4442, Inquiry Referral, as applicable. Include the following information: Note: All specialty functions are required to include Form 4442 regarding account adjustments needed (i.e., TY 2013 needs to be moved to an IRSN; TY 2014 treat as a nullity). Attach the Form 4442 to the CII record. Tax Years impacted Determination made Indication of any statute issues Collection actions taken When easily identified the referral should include payments/credits by amount, date and where they should be moved, rather than refunded Legible copies (marked as copies) of the identity theft claim, pertinent taxpayer correspondence and/or supporting documents Notate on the referral that the EITC recertification needs to be completed Note: If further action is required on a case after DITA resolves the IDT issue, notate on the request to have the case returned to the referring function upon completion (e.g., AUR open cases). IDRS Category Code IDI5 is designated for all IDTVA identity theft referrals to DITA from a Campus operation. IDRS Category Code IDI6 is designated for all IDTVA identity theft referrals to DITA from a Field operation. The referring campus will reassign the case through the CII system to employee number 1176421405. The following Case Data information will need to be updated before the case is reassigned: Activity code (optional) may be updated to (Function)2DITA Example: AUR2DITA, CSCO2DITA etc. Category code will be updated to IDI5 Verify Case History status is active (A) DITA will create additional CII cases, as needed, to address all impacted modules. Reminder: All related CII cases must be linked. Refer to IRM 25.23.4.3.1, CII and IDRS Case Controls, for CII and IDRS case control requirements. TAS and AM IPSU – will only route identity theft TAS referrals to DITA if the issue is the length of time to resolve the account and there is an existing open control assigned to IDRS groups 1189X. The referring specialized team is responsible for resolving all functional TAS issues. When referring cases closed as TAS to DITA, the referring team will leave a notation of 'OAR' in a case note. Field & Specialty Collection and LB&I Operations are not required to open IDRS controls. Upon receipt of a case from Field & Specialty Collection or LB&I, DITA/BITER will send the case documents to ICT to be scanned. The IRS received date will be the date the referral was received in DITA, in accordance with IRM 21.5.1.4.7, Taxpayer Inquiry Referred from Other Functions. Open an IDRS control base using category code IDI6 and one of the following activity field codes: Specialty Collection - SPCLCOLL Field Collection - FLDCOLL Field Exam - FLDEXAM LB&I - LBI

Compliance Case Processing

25.23.10.6 (10-01-2023) Compliance Case Processing This IRM section and all subsequent sections provide specific guidance for IDTVA cases involving Compliance issues which includes CSCO, ACSS, AUR, EXAM and DITA. IDTVA Specialty employees must document all pertinent information regarding IDT determinations in any functional system(s) they use, including determinations of NOIDT, mixed entity, or scrambled SSN cases. In addition to any specific instructions included in the functional guidance, mixed entity and scrambled SSN cases will be reassigned using the IDTVA Hub IDTVA Specialty CIS Reassignment Guide for Non-IDT Cases after resolution of all modules impacted by IDT. The category code must be updated with the appropriate IDI category code, see IRM 25.23.2-15, IDTVA IDRS Category Controls by Function. Determine and update the correct Doc Type, priority code, etc. IDT cases will have the activity code updated when specific case actions occur. Suspense dates will be indicated using Julian date format. Refer to IRM 25.23.4-11, IDRS Activity Codes and Definitions, for recommended activity codes. Perform research to determine the impact of the IDT on all tax years, see IRM 25.23.4.6.1, Required Research and IRM 25.23.4.6.4, Complete Case Analysis. Create CII cases for additional impacted years identified through complete case analysis (CCA) using the date of identification as the IRS received date, see IRM 25.23.4.3.1, CII and IDRS Case Controls, for more information.

IDTVA Specialties CSCO Identity Theft Case Processing

25.23.10.6.1 (10-01-2019) IDTVA Specialties CSCO Identity Theft Case Processing This IRM section provides specific guidance for Identity Theft Victim Assistance (IDTVA) cases involving Automated Substitute for Return (ASFR) and Compliance Services Collection Operation (CSCO) issues.

IDTVA Specialties CSCO Initial Receipt Clerical Actions

25.23.10.6.1.1 (11-06-2024) IDTVA Specialties CSCO Initial Receipt Clerical Actions The instructions in this section should be used in conjunction with the instructions in IRM 25.23.4.3.4, IDTVA Specialties Case Referrals from Compliance Functions and IRM 25.23.10.2, Case Batching. Note: Refund Hold cases should be batched with the appropriate doc type and Priority Code 1. Be sure to use the appropriate doc type for Spanish cases. Note: (Fresno Only) OIC referrals will be received from *TS IDT:Fresno:SPEC-CSCO with a subject indicating the case is an OIC. The referrals will include Form 4442 with Form 14039. These cases will be batched with the appropriate doc type, Priority Code 2, and category IDI9/IDI4. These cases are not limited to CSCO cases as they are generated from SB/SE OIC and may be any type of identity theft. If there is already an existing IDT(x) case, attach the response using the CII Association sheet and update the category code to IDI9 with a priority code of 2. If there is already an existing IDI(x) case, attach the response using the CII Association sheet. If the current priority code is "3" or "N/A" , update the priority code to priority code 2. Upon receipt of potential IDT correspondence, the Identity Theft Victim Assistance Compliance, Services Collection Operation (IDTVA Specialties CSCO) group should: Verify that appropriate documentation was received (Form 14039, Identity Theft Affidavit, a police report or Form 14157, Return Preparer Complaint). If none is present return to Compliance for them to take actions to obtain the appropriate form. Ensure that TC 971 AC 522 UNWORK is on the account per IRM 25.23.2.4.2, Tracking IMF Tax-Related Identity Theft Inventory. For BMF see IRM 25.23.2.4.3, Tracking Individual Taxpayers Reporting to be Victims of Business-Related Identity Theft. Suspend collection and input TC 470 with no closing code.

Automated Substitute for Return (ASFR) Case Processing

25.23.10.6.1.2 (01-26-2024) Automated Substitute for Return (ASFR) Case Processing The ASFR program made significant changes to processing that were implemented in July 2018. Section 25.23.10.7.1.2 is impacted by the changes. Prior to July 2018 ASFR posted a dummy TC 150 on IDRS when a case was selected, and notices were issued. Effective in July 2018 the posting the dummy TC 150 will be moved to the end of the process, directly before the default assessment is made. TC 971 with AC 143 will post to indicate ASFR selected a case, and letters were sent. The change will allow ASFR to forward returns received before a default assessment to Submission Processing, rather than adjusting them with a TC 290. Procedures for defaulted cases (Reconsiderations) will remain the same. They should not be removed from tables or changed. Cases in process prior to July 2018 with a dummy TC 150 will take approximately 10 months to clear the system. Employees will see instances of both types of cases during that period The taxpayer has claimed IDT, but the income has been TIN perfected (The IRPTR document Payee Entity Data line will state "Valid Perfected SSN," if TIN perfected): If Then 1) A 30-day or 90-day Letter was issued Update to ASFR status 071 Input a TC 590 cc 088 2) There is a default assessment posted to IDRS Abate the ASFR assessment and penalties, as applicable Follow NOIDT instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations. Exception: In place of paragraph in IRM 25.23.4.10.9(2), send the taxpayer a Letter 4674C. Include an open paragraph informing the taxpayer that the issue was due to an IRS error. The four tables below provide actions to take when an ASFR account has been identified as involving Identity Theft. If unable to determine the appropriate amount of tax balance based on the information provided, skip to paragraph (3) below: A) If it is determined the taxpayer is a victim of Identity Theft, they made a valid IDT claim, a valid return has not been filed, and removal of the income results in a tax balance that is ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ or more, Then 1) TC 971 AC 143 is posted to the account with no TC 150 Remove the Identity Theft income from ASFR and update the case major Choose menu #28 on the ASFR Entity screen to input a history on the module showing partial income was removed due to Identity Theft If a 30-day letter was issued, update the module to Status 032 to issue a corrected letter If a 90-day letter was issued, update the module to Status 031 to issue a corrected letter Follow steps (c) - (e) below. Exception: If the correspondent is an Individual Taxpayer Identification Number (ITIN) taxpayer see IRM 25.23.2.8.5, Employment-related Identity Theft-TC 971 AC 525. Retain Identity Theft verification to be associated with the ASFR default. 2) A TC 150 .00 SFR is present, and the default assessment has not posted, Note: Modules selected for ASFR beginning in July 2018 may have a posted TC 150 .00 SFR without a TC 290 assessment on the module. The TC 290 assessment will post 3 weeks after the TC 150 .00 SFR does. Exception: Accounts with an ASFR failed condition will not post within 3 weeks. Refer to IRM 5.18.1.6.11, ASFR Statuses, for additional information when it has been more than 3 weeks, and the TC 290 has not posted. Utilizing the appropriate IAT tools, input a TC 590 CC 088 and TC 291 adjustment to correct the assessment (including appropriate reference amounts, withholding, and estimated penalty). If the assessment has not posted, include a Post Delay Code in the adjustment to prevent unpostables Input a TC 495 with STN 90 if a TC 494 is present on the module Follow steps (a) - (e) below Update ASFR to Status 101 Exception: If the correspondent is an ITIN taxpayer see IRM 25.23.2.8.5, Employment-related Identity Theft-TC 971 AC 525. 3) And there is a default assessment, Utilizing the appropriate IAT tools, input a TC 291 adjustment to correct the assessment (including appropriate reference amounts, withholding, and estimated penalty). Post delay the adjustment, if necessary Follow steps (a) - (e) below Exception: If the correspondent is an ITIN taxpayer see IRM 25.23.2.8.5, Employment-related Identity Theft-TC 971 AC 525. Retain Identity Theft verification to be associated with the ASFR default. B) If it is determined the taxpayer is a victim of Identity Theft, they provide the required IDT claim, a valid return has not been filed, and removal of the income results in a tax balance of less than ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ Then 1) TC 971 AC 143 is posted to the account with no TC 150 Input a TC 590 CC 088 Input a TC 495 with STN 90 if a TC 494 is present on the module Follow steps (a) - (e) below Update ASFR to Status 076 Exception: If the correspondent is an ITIN taxpayer see IRM 25.23.2.8.5, Employment-related Identity Theft-TC 971 AC 525. 2) A TC 150 .00 SFR is present, and the default assessment has not posted, Note: Modules selected for ASFR beginning in July 2018 may have a posted TC 150 .00 SFR without a TC 290 assessment on the module. The TC 290 assessment will post 3 weeks after the TC 150 .00 SFR does. Exception: Accounts with an ASFR failed condition will not post within 3 weeks. Refer to IRM 5.18.1.6.11, ASFR Statuses, for additional information when it has been more than 3 weeks, and the TC 290 has not posted. Utilizing the appropriate IAT tools, input a TC 590 CC 088 and TC 291 adjustment to correct the assessment (including appropriate reference amounts, withholding, and estimated penalty). If the assessment has not posted, include a Post Delay Code in the adjustment to prevent unpostables Input a TC 495 with STN 90 if a TC 494 is present on the module Follow steps (a) - (e) below Update ASFR to Status 101 Exception: If the correspondent is an ITIN taxpayer see IRM 25.23.2.8.5, Employment-related Identity Theft-TC 971 AC 525. 3) And there is a default assessment posted on IDRS, Utilizing the appropriate IAT tools back out the ASFR assessment Follow steps (a) - (e) below Exception: If the correspondent is an ITIN taxpayer see IRM 25.23.2.8.5, Employment-related Identity Theft-TC 971 AC 525. C) If it is determined the taxpayer is a victim of Identity Theft, the required IDT claim has been provided, and a valid return has been filed, Then 1) TC 971 AC 143 present with no TC 150 Update ASFR Status For a return with zero tax, use Status 101 For a return showing tax and no TC 494 is present, use Status 103 For a return showing tax and a TC 494 is present, use Status 105 Input a TC 495 with STN 90 if a TC 494 is present Input TC 599 CC 094 if a taxable return is received Input TC 599 CC 096 if a non-taxable return (.00 tax) is received Follow steps (a) - (e) below Forward the return to Submission Processing 2) A TC 150 .00 SFR is present, and the default assessment has not posted, Note: Modules selected for ASFR beginning in July 2018 may have a posted TC 150 .00 SFR without a TC 290 assessment on the module. The TC 290 assessment will post 3 weeks after the TC 150 .00 SFR does. Note: Accounts with an ASFR failed condition will not post within 3 weeks. Refer to IRM 5.18.1.6.11, ASFR Statuses, for additional information when it has been more than 3 weeks, and the TC 290 has not posted. Input a TC 599 CC 089 to set the ASED Utilizing the appropriate IAT tools input an adjustment to the verified return figures, as allowable. See IRM 25.23.4.6.2, IDTVA-Additional Research and Required Actions, procedures Use Blocking Series 54 (no TC 494 present), or 32 (TC 494 present) unless following Math Error or Disallowance Procedures Include Priority Code 2, Hold Code 3, and Reason Code 139 If the assessment has not posted, include a Post Delay Code in the adjustment to prevent unpostables Follow steps (a) - (e) below 3) There is a default assessment posted on IDRS, Input a TC 599 CC 089 to set the ASED Utilizing the appropriate IAT tools, input a TC 291 adjustment to correct the assessment (including appropriate reference amounts, withholding, and estimated penalty). Post delay the adjustment, if necessary Follow steps (a) - (e) below D) If it is determined the taxpayer is a victim of Identity Theft, the required IDT claim has been provided, and they state they filed a MFJ return (as the secondary spouse) Then 1) If verified and a 30-day or 90-day letter was issued, but the default assessment has not yet occurred, Use Option 09 to update the module to include the spouse's TIN Update ASFR to status 108. Enter the amount of tax from the joint return when prompted. See IRM 5.18.1.6.11.57, Status 108: Filed Jointly, Post 30-day Letter Note: ASFR will systemically post the necessary transactions. Follow steps (a) - (e) below 2) If verified, a TC 150 .00 SFR is present, and the default assessment has not posted, Note: Modules selected for ASFR beginning in July 2018 may have a posted TC 150 .00 SFR without a TC 290 assessment on the module. The TC 290 assessment will post 3 weeks after the TC 150 .00 SFR does. Exception: Accounts with an ASFR failed condition will not post within 3 weeks. Refer to IRM 5.18.1.6.11, ASFR Statuses, for additional information when it has been more than 3 weeks, and the TC 290 has not posted. Utilizing the appropriate IAT tools, back out the ASFR assessment. If the assessment has not posted, include a Post Delay Code in the adjustment to prevent unpostables Input TC 594 CC 084 if it is not present Follow steps (a) - (e) below 3) If not verified and a 30-day letter was issued, Continue ASFR processing Update ASFR to Status 030 if the follow-up date has not expired. If the follow-up date has expired update ASFR to Status 030 using the expired follow-up date. Refer to IRM 5.18.1.6.15, ASFR Follow-Up or Action Dates Follow steps (b) - (d) below Per local procedures, close or update IDRS control. Input activity that ASFR processing will continue Notify Taxpayer that ASFR processing will continue. Refer to IRM 25.23.4.18.1, General IDTVA Letter Procedures 4) If not verified and a 90-day letter was issued, Continue ASFR processing. It is not necessary to update the ASFR system unless the module is in a failed condition status or any other status that suspends the case. See IRM 5.18.1.6.11, ASFR Statuses, for a list of status codes Follow steps (b) - (d) below Per local procedures, close or update IDRS control. Input activity that ASFR processing will continue Notify Taxpayer that ASFR processing will continue. Refer to IRM 25.23.4.18.1, General IDTVA Letter Procedures 5) If not verified, a TC 150 .00 SFR is present, and the default assessment has not posted, Note: Modules selected for ASFR beginning in July 2018 may have a posted TC 150 .00 SFR without a TC 290 assessment on the module. The TC 290 assessment will post 3 weeks after the TC 150 .00 SFR does. Exception: Accounts with an ASFR failed condition will not post within 3 weeks. Refer to IRM 5.18.1.6.11, ASFR Statuses, for additional information when it has been more than 3 weeks, and the TC 290 has not posted. Utilizing the appropriate IAT tool, input a TC 291 adjustment to correct the assessment (including appropriate reference amounts, withholding, and estimated penalty). If the assessment has not posted, include a Post Delay Code in the adjustment to prevent unpostables Follow steps (b) - (d) below Per local procedures, close or update IDRS control. Input activity that ASFR processing will continue Notify the taxpayer that the MFJ return has not been received and the account has been adjusted to remove the income they did not earn. Refer to IRM 25.23.4.18.1, General IDTVA Letter Procedures Resolve credits. Refer to IRM 25.23.4.10.4, Identity theft with Offsets Complete Form 9409, IRS/SSA Wage Worksheet for any wages that the valid taxpayer did not earn. See IRM 25.23.13.3.1, Form 9409 Procedures-IRS/SSA Wages Worksheet, for additional information Input TC 971 AC 501 to CC ENMOD. See IRM 25.23.2.6, Closing Identity Theft Issues If there is an Identity theft associated TC 470, reverse it with a TC 472 when the valid taxpayer will have a balance due. Send Form 14394 to IDTVA-ACSS to resume collections, see IRM 25.23.4.12.3, Collection Activity - Resume Collection Actions Document CII and close the case When the taxpayer does not provide sufficient information and a determination cannot be made through internal research, see IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written), to obtain the necessary information from the taxpayer. If the taxpayer does not provide the requested information by the date provided Then 1) And a 30-day Letter was issued Continue ASFR processing See IRM 25.23.4.10.10, No Reply Update ASFR to Status 030 if the follow-up date has not expired. If the follow-up date has expired update ASFR to Status 030 using the expired follow-up date. Refer to IRM 5.18.1.6.15, ASFR Follow-Up or Action Dates Per local procedures, close or update IDRS control. Input activity that ASFR processing will continue Notify Taxpayer that ASFR processing will continue. Refer to IRM 25.23.4.18.1, General IDTVA Letter Procedures 2) And a 90-day Letter was issued Continue ASFR processing See IRM 25.23.4.10.10, No Reply If the module was in Status 90 before the response was received and the 90-day follow-up date has not expired, update ASFR status to 90 with the correct 90-day letter date If the module was in Status 90 before the response was received and the 90-day follow-up date has expired, update ASFR status to 104 Per local procedures, close or update IDRS control. Input activity that ASFR processing will continue Notify Taxpayer that ASFR processing will continue Refer to IRM 25.23.4.18.1, General IDTVA Letter Procedures 3) And there is a default assessment posted to IDRS Input a CII case note stating the taxpayer's response was insufficient See IRM 25.23.4.10.10, No Reply Note: The SECONDARY-DT field on TC 972 is a required field. The tax year claimed as Identity Theft should be input using the format MMDDYYYY. See IRM 25.23.2-11, IMF Only TC 972 AC 522 - Reversal of TC 971 AC 522. If your case does not fit any of the table scenarios listed above, contact your ITVA ASFR Headquarter Analyst for instructions on how to proceed with the case by emailing a completed Form 4442, Inquiry Referral. If you have determined the taxpayer is a victim of identity theft and correction of the account results in a zero-tax liability, request to abate the Lien Fee if there is a TC 360 (lien fee assessment) present. If there is a TC 582, see guidance in IRM 25.23.4.12.2, Collection Activity-Form 13794 Additional Actions Required – LIEN. Reminder: If OIC is indicated on the account, contact the assigned OIC employee or locate case using SERP Who/Where to coordinate next case action with OIC.

Return Delinquency Identity Theft

25.23.10.6.1.3 (10-01-2020) Return Delinquency Identity Theft When an allegation of Identity Theft is made, you must determine if the taxpayer has a filing requirement. For procedures on determining liability, appropriate closing codes, and additional account actions, see IRM 25.23.4.17, Determining Tax Liability/Form 2209 Instructions. Disregard instructions to complete Form 2209, Courtesy Investigation. Input the appropriate identity theft indicators per IRM 25.23.2.6, Closing Identity Theft Issues. Inform the taxpayer in writing the identity theft issue has been resolved. Include information for any other unresolved delinquencies. Refer to IRM 25.23.4.18.1, General IDTVA Letter Procedures, for additional information.

IDTVA Specialties ACSS Identity Theft Case Processing

25.23.10.6.2 (10-01-2019) IDTVA Specialties ACSS Identity Theft Case Processing This IRM section provides specific guidance for Identity Theft Victim Assistance (IDTVA) cases involving Automated Collection System Support issues.

IDTVA Specialties ACSS Receipt Procedures

25.23.10.6.2.1 (10-01-2019) IDTVA Specialties ACSS Receipt Procedures When cases are received into ACSS IDTVA, they go through a clerical and technical screening process. Follow the subsequent instructions in this section for this process.

IDTVA Specialties ACSS Initial Receipt Clerical Actions

25.23.10.6.2.1.1 (11-06-2024) IDTVA Specialties ACSS Initial Receipt Clerical Actions The instructions in this section should be used in conjunction with the instructions in IRM 25.23.4.3.4, IDTVA Specialties - Case Referrals from Compliance Functions and IRM 25.23.10.2, Case Batching Upon receipt of potential IDT correspondence, the IDTVA Specialties, Automated Collection System Support (IDTVA Specialties ACSS) group should: Verify that appropriate documentation was received (Form 14039, Identity Theft Affidavit, police report or Form 14157, Return Preparer Complaint). If none is present return to ACSS for them to take actions to obtain the appropriate form Ensure that TC 971 AC 522 UNWORK is on the account per IRM 25.23.2.4.2, Tracking IMF Tax-Related Identity Theft Inventory. For BMF see IRM 25.23.2.4.3, Tracking Individual Taxpayers Reporting to be Victims of Business-Related Identity Theft Suspend collection and input TC 470 with no closing code Refer to screener for review. See IRM 25.23.10.6.2.1.2, IDTVA Specialties ACSS Screener Procedures, for details Upon return from the screener, the clerk should: Update Account on ACS to appropriate function code with 180-day follow-up "TOXX,180,IDT" If the taxpayer has requested an installment agreement with the documentation, send case to the screener to review for input of the TC 971 AC 043 and mark the case with a tag to identify "IA Requested" for additional actions later Note: If the taxpayer has requested an IA, input TC 971 AC 043 when the request meets pending IA criteria, see IRM 5.19.1.6.4.7, Pending IA Criteria, and the clerk will complete Letter 5064C, ID Theft In-Process Letter, with the IA notification paragraph if referred out. "We have received your installment request; however, we cannot setup the installment agreement until the Identity Theft issue has been resolved. If you believe you will have a balance due after those actions, you may continue to make voluntary payments to reduce the balance due while we resolve your identity theft issue. Once that is completed, we will set up the installment agreement for you."

IDTVA Specialties ACSS Screener Procedures

25.23.10.6.2.1.2 (06-18-2024) IDTVA Specialties ACSS Screener Procedures A screener is being utilized to identify the appropriate place for the case to be resolved and identify any levy issues. Determine if a levy is active on the account. Release the levy, if applicable. See IRM 25.23.10.6.2.4, Levies, for additional information. Caution: Levies must be released by GS-06 or higher employees. Research to identify the appropriate IDTVA function to work the case and document with the appropriate category code for the clerk. Proceed with IRM 25.23.10.6.2.1.1, IDTVA Specialties ACSS Initial Receipt Clerical Actions.

Form 3870 Received from Field Collection - IDTVA Specialties

25.23.10.6.2.1.3 (06-18-2024) Form 3870 Received from Field Collection - IDTVA Specialties Provide Forms 3870 received from Field Collection to the IDTVA Specialties ACSS screener for determination of the category code for batching. These cases should be batched with Priority Code 2. No other batching action is required (i.e., no acknowledgement letters should be issued).

IDTVA Specialties ACSS Technical Research and Initial Handling Procedures

25.23.10.6.2.2 (11-06-2024) IDTVA Specialties ACSS Technical Research and Initial Handling Procedures IIDTVA ACSS will receive taxpayer correspondence. Research the tax years identified on the Form 14039 to determine the source of the assessment related to the identity theft. Determine if the case meets ACS criteria or if a case has Specialty function involvement for the tax years listed on the Form 14039 and/or police report. Always research valid and invalid sides of the TIN in question. Refer to IRM 25.23.4.6, Research, Actions and Complete Case Analysis and IRM 25.23.4.6.1 Required Research. Use the table below to determine proper handling of the case: If Then The case does not meet ACS criteria and there is no other specialty function involvement. Return the case to the referring function/IDRS number. The Form 14039 is disputing an assessment made by another function or the account has other specialty function involvement whether or not it meets ACS criteria Follow the instructions in (4) below The case only meets ACS criteria (Status 22/24 and/or TDI -03) Follow the instructions in (4) (5) below ACS functions cannot address or reverse an assessment made by another function. Therefore, a matrix was developed to outline the functions, authority, and where cases will be transferred. Take the following actions when a case contains other specialty function involvement. Verify a TC 971 AC 522 UNWORK was input on ENMOD. Specific guidance on the Identity Theft tracking indicators can be found in IRM 25.23.2.4.2, Tracking IMF Tax-Related Identity Theft Inventory, and IRM 25.23.2.4.3, Tracking Individual Taxpayers Reporting to be Victims of Business-Related Identity Theft. If after making a determination, the case will be suspended awaiting other case actions or will not be closed within five (5) business days, a Letter 5073C will be issued to acknowledge receipt of the taxpayer's claim. Release all levies for the impacted tax modules. If the taxpayer requests the NFTL be withdrawn, ask the taxpayer to complete Form 12277, Application for Withdrawal of Filed Form 668(y), Notice of Federal Tax Lien (as based on IRC 6323(j)), or otherwise submit a written request for the withdrawal. Forward the request to Collection Advisory with an explanation regarding the withdrawal situation. Collection Advisory will determine whether to grant such a request on a case-by-case basis. See IRM 25.23.4.12.2, Collection Activity-Form 13794 Additional Actions Required – LIEN, for lien release information. Reassign the account on ACS to the appropriate "O" inventory function based on the area the case is referred to with a 90-day follow-up: O4 will be used to house all referrals to ASFR/ (e.g., TOO4,90,IDTASFR). O5 will be used to house all referrals to AUR (e.g., TOO5,90,IDTAUR). O6 will be used to house all referrals to other functions (e.g., TOO6,90,IDTxxxx - "xxxx" = the function or operation the case was referred to such as RPM, CAWR, FUTA, FRIV, AM, CIB, etc.). O7 will be used to house all referrals to Exam (e.g., TOO7,90,IDTEXAM). Document CII history with all actions taken, including the referring of the documentation to the specific function. See IRM 25.23.4.3.2, Case Transfer within IDTVA Note: Do not follow Complete Case Analysis procedures when referring a case to another area or function. Note: If the case is on CII reassign the case to the appropriate function. If the case is not on CII, then batch to the appropriate function. Based on the determination follow the table below: IF Then If complete research indicates Identity Theft did occur, accept the IDT claim and follow account adjustment procedures in IRM 25.23.4, IDTVA-Paper Process IRM 25.23.13, Income Related Identity Theft Address return delinquency per IRM 25.23.10.6.1.3, Return Delinquency Identity Theft. Reassign the case on ACS to the next appropriate function IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues If complete research indicates Identity Theft did not occur, do not accept the IDT claim, or adjust the account based on the IDT claim. Follow the guidance Treat the case as NOIDT. Follow the instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations Reassign the case on ACS to the next appropriate function IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues If no explanation or appropriate document on how the tax account is affected was received, consider internal sources IRM 25.23.4.6.1, Required Research. If a determination cannot be made, follow the guidance in IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written), to obtain the necessary information. If there is any question as to the validity of the submitted documentation, consult your manager, lead, and/or IDT Coordinator/Liaison. Additional contact with the submitter of the documentation may be necessary.

Next Case Actions, Remaining Collection Issues

25.23.10.6.2.3 (10-01-2018) Next Case Actions, Remaining Collection Issues If a balance due remains after the IDT issue is resolved and the closing letter has been sent, use the table below. Caution: If prior to closing the IDT case you are waiting for TC 472 to post or you input an adjustment which affects the balance due, send the case to R1,21,IDTFIXD and update AMS for next case action (i.e.; TOE3 then LT16 or LT11 if no final notice). If an IDTVA closing letter which included a balance due computation was issued, do not issue a LT16 as noted in the table below. If there is a pending TC 472 or one is required for input send the case to R1,14,PND472 and update AMS for next case action per the table below Note: For Tolerance cases see IRM 5.19.1.2.6.1, Tolerance and Deferral - All Employees. If And Then 1) Levy Source is present FNL NOT date is present for all TDA modules on ACS MOD screen (this means a TC 971 AC 069 has posted). Issue LT16. Assign "TOE4,xx" xx=30 days (60 days for International). Input on ACSWeb (e.g., "TOXX,30,IDTFIXD", "TOXX,30,NOIDT", "TOXX,30,NORPLY"). Note: If LT16 previously sent xx=01 day. Caution: DO NOT reassign the case to E3 for systemic levy processing. 2) Levy Source is present FNL NOT date is not present for all TDA modules on ACS MOD screen (this means a TC 971 AC 069 has not posted). Issue LT16. Assign "TOE2,xx" xx=30 days (60 days for International). Input on ACSWeb (e.g., "TOXX,30,IDTFIXD", "TOXX,30,NOIDT", "TOXX,30,NORPLY"). Note: If LT16 previously sent xx=01 day. Caution: DO NOT reassign the case to E3 for systemic levy processing. 3) No Levy Source is present Telephone number is present. Issue LT 16. Assign "TOCn,xx" xx=30 days (60 days for International). Input on ACSWeb (e.g., "TOXX,30,IDTFIXD", "TOXX,30,NOIDT", "TOXX,30,NORPLY"). Note: If LT16 previously sent xx=01 day. 4) No Levy Source is present No telephone number is present. Issue LT16. Assign "TOI2,xx" xx=30 days (60 days for International).(This includes accounts with a foreign address or CLC=35.). Input on ACSWeb (e.g., "TOXX,30,IDTFIXD", "TOXX,30,NOIDT", "TOXX,30,NORPLY"). Note: If LT16 previously sent xx=01 day. Note: If the account is still on ACS but there is no longer a balance due or a return delinquency or if penalties and interest will be eliminated once the adjustment posts, then update the ACS follow-up date with "OADT,30,IDTFIXD". This will allow time for the account to fall off ACS. If an Installment Agreement or CNC is being requested or reinstated reassign TOS4,30,XXXX as noted below and forward Form 4442 to ACSS. If Then 1) The taxpayer is requesting an IA or reinstatement Reassign: TOS4,30,IAPND. 2) The taxpayer is requesting an CNC or reinstatement Reassign: TOS4,30,CNCPND If there is a return delinquency only, do the following: If a telephone number is present, assign the account "TOCN,xx" xx=30 days (60 days for International). Input on ACSWeb (e.g., "TOCN,30,IDTFIXD", "TOCN,30,NOIDT", "TOXX,30,NORPLY"). If a telephone number is not present, assign the account "TOI2,xx" xx=30 days (60 days for International). Input on ACSWeb (e.g., "TOI2,30,IDTFIXD", "TOI2,30,NOIDT", "TOXX,30,NORPLY"). Note: After IDT worked and closing letter was sent, issue a "LT26" before assigning to the appropriate function. If there is an IRS Campus address on ENMOD do the following: If a telephone number is present, assign the account "TOCN,xx" xx=30 days (60 days for International). Input on ACSWeb (e.g., "TOCN,30,IDTFIXD", "TOCN,30,NOIDT", "TOXX,30,NORPLY"). If a telephone number is not present, assign the account "TOI2,xx" xx=30 days (60 days for International). Input on ACSWeb (e.g., "TOI2,30,IDTFIXD", "TOI2,30,NOIDT", "TOXX,30,NORPLY"). Close the monitoring IDRS control bases. Update CII with all actions taken (deleted levy source information, telephone contact attempt/made, ACS actions, etc.). Report time and volume under the appropriate OFP: 40231 (IMF), 40232 (International IMF), 10412 (BMF) or 10413 (International BMF).

Levies

25.23.10.6.2.4 (10-01-2018) Levies This section addresses levy issues. If tax related identity theft causes the Service to issue a levy against an innocent victim, take the victim/taxpayer's case seriously and exercise sensitivity in handling the case.

Active Levies

25.23.10.6.2.4.1 (09-08-2017) Active Levies If an active levy: When the taxpayer claims to be a victim of ID Theft and the Form 14039 and/or police report has been received, the levy should be released only for the tax modules affected by the ID Theft. Follow IRM 5.19.4.4.10, Levy Release: General Information, for full and partial levy release procedures. Note: Consider a release of a levy based on prior indication of ID Theft TC 971 AC 501 or AC 506 on IDRS.

Addressing Outstanding Levies

25.23.10.6.2.4.2 (10-01-2025) Addressing Outstanding Levies If there is a balance due not attributable to Identity Theft, collection activities, including the appropriate use of enforced collection action, are not prohibited when a taxpayer has established that they were a victim of Identity Theft. Be sensitive to the adverse impact that being a victim of Identity Theft may have upon a taxpayer and his/her ability to pay. Consider temporarily suspending the account until the Identity Theft incident is resolved in cases where you determine the Identity Theft will have an adverse impact on the taxpayer's ability to pay. Review the case history for outstanding enforcement activity that may need to be corrected, (i.e., levies, liens). A levy attaching the assets of the victim in a mixed entity case must be immediately released. Refer to IRM 25.23.10.6.2.2(8), IDTVA Specialties ACSS Technical Research an Initial Handling Procedures for guidance on mixed entity cases. A levy attaching to assets of non-owner of the TIN for which: The Service assessed the liability in the name of the non-owner of the TIN The Service issued all pre-levy notices properly to non-owner of the TIN The Service assessed the liability under the TIN/SSN of the victim The assessment is based solely on the income of the non-owner of the TIN, and There are no credits (payment offset, etc.) attributable to the victim for the assessment listed on the levy, may remain in effect unless a circumstance outlined in IRM 5.11.2.3.1, Legal Basis for Releasing Levies, is present. The assessment is not invalid for the sole reason that it was made under the victim's TIN/SSN Note: If unable to determine if the liability of the non-owner of the TIN is satisfied then release the levy until the account can be adjusted to ensure the levy is not enforced on a satisfied liability. Reminder: To prevent re-issuance of levy, change levy source to "INFO ONLY" .

Addressing ACS Paper Levies

25.23.10.6.2.4.3 (09-08-2017) Addressing ACS Paper Levies When the taxpayer claims to be a victim of ID Theft and the Form 14039 and/or police report has been received, the levy should be released only for the tax modules affected by the ID Theft. Follow IRM 5.19.4.4.10, Levy Release: General Information, for full and partial levy release procedures. Note: Consider a release of a levy based on prior indication of ID Theft TC 971 AC 501 or AC 506 on IDRS.

Addressing Outstanding Federal Payment Levy Program (FPLP) Levies

25.23.10.6.2.4.4 (10-01-2023) Addressing Outstanding Federal Payment Levy Program (FPLP) Levies A thorough review of the account must be conducted to ensure that all tax years affected by tax related Identity Theft are blocked from the FPLP program. When a TC 971 AC 501 or AC 506 has not posted to the entity for tax administrative ID Theft, employees must take steps to block outstanding FPLP levies. When a module has been selected for FPLP (unreversed TC 971 AC 060) it may be necessary to input a manual block. Refer to IRM 5.19.9.4.7, FPLP Levy Release: General. When a FPLP account is matched with a federal payment or FPLP account (unreversed TC 971 AC 062) and the disbursement of the Federal payment is imminent, an immediate FPLP release through the FPLP coordinator may be necessary, see IRM 5.19.9.4.7.1, Immediate Release Through the FPLP Coordinator. All manual blocks expire after 52 cycles regardless of the actions on the case. If you want the block to remain beyond the allowed cycles, you will have to re-input the TC 971 AC 061 (and have it post to the MF) before the end of the expiration cycle. When a TC 971 AC 501 or AC 506 is posted, FPLP will automatically block the tax modules entered into the secondary date field. However, depending on when the TC 971 AC 501 or AC 506 was input, there may be a need for an immediate release where the disbursement of the Federal payment is imminent. Follow the procedures in IRM 5.19.9.4.7.1, Immediate Release Through the FPLP Coordinator. Caution: Do not manually block the case from levy if the assessment is not a result of the Identity Theft.

Identity Theft and Disposition of Levy Proceeds

25.23.10.6.2.4.5 (10-01-2018) Identity Theft and Disposition of Levy Proceeds This section was developed to provide guidance for cases that involve ID Theft issues where the individual calling was levied, and levy proceeds have been sent to the Service. The caller may be the owner or non-owner of the TIN. Ensure the levy has been released. Note: There may be instances that involve ID Theft issues when the non-owner of the TIN does not contact the Service regarding levy proceeds. In these instances, the non-owner levy proceeds should be moved off the owner of the TIN's account. Move payments following current Erroneous Refund and/or Excess Collection procedures. The IRC distinguishes between "wrongful" levies and other types of improper or "erroneous" levies. A "wrongful" levy is one that improperly attaches property belonging to a third party in which the taxpayer has no rights. (See IRC 6343(b)) The Code specifically authorizes the IRS to return property wrongfully levied upon (or an amount of money equal to the amount levied upon). See IRM 5.11.2.3.2.1, Wrongful Levy, for wrongful levy procedures. An "erroneous" levy is one that properly seeks to capture a taxpayer's property (rather than a third party's property), but nevertheless is served prematurely or otherwise in violation of an administrative procedure or law. (See IRC 6343(d).) See IRM 5.11.2.3.2.3, Erroneous Levies, for erroneous levy procedures. Note: Do not confuse this situation with one where the taxpayer (SSN owner) does not owe a liability. See IRM 25.23.10.6.2.4.7, Returning Proceeds from Wrongful Levy (Non-Owner).

Returning Levy Proceeds to ID Theft Victims (SSN Owner)

25.23.10.6.2.4.6 (10-01-2018) Returning Levy Proceeds to ID Theft Victims (SSN Owner) These procedures address cases where the owner of the SSN claims the Service levied on property they had an interest in to satisfy the tax liability that does not belong to them. Caution: Because the assessment and levy were for the taxpayer/victim, rather than an assessment for a taxpayer and a levy on a third party, this is not a wrongful levy. Therefore, the wrongful levy rules do not apply. When the SSN owner is claiming a refund (i.e., levy proceeds), because of an assessment not belonging to the taxpayer, the limitations for returning the payments falls under normal statute procedures and time frames (2 years from the payment date). However, if the SSN owner is claiming a refund after more than 2 years from the payment date, follow the chart in IRM 25.6.1.10.3.3, Claims for Credit or Refund - General Time Period for Submitting a Claim. If the claim date is Then Less than 2 years from the payment date The limitations for returning the payment falls under normal RSED procedures. More than 2 years from the payment date Follow the chart in IRM 25.6.1.10.3.3, Claims for Credit or Refund - General Time Period for Submitting a Claim Note: A claim for refund can be a formal claim for refund or an informal claim for refund. If you have questions contact your ITVA ACSS Headquarter Analyst for instructions on how to proceed with the case by emailing a completed Form 4442, Inquiry Referral to ITVA HQ Mailbox Caution: Only move on to (3) below if the conditions in (2) are met. Under the following circumstances, the levy proceeds should be returned to the SSN owner: An ID thief (non-owner of the SSN) has filed a return in the taxpayer's name. The SSN owner (taxpayer) did not have a filing obligation or at least didn't file a return, which delayed discovery of the ID Theft. The ID Theft return either was audited or reviewed and there is an assessed balance on the victim (SSN owner) account that the IRS is attempting to collect (defaulted deficiency or summary assessment of overstated withholding). The IRS has used its levy authority to collect against the assessment. The IRS determines it should abate the assessments created as a result of the return filed by the non-owner of the SSN. The taxpayer's account will have a zero liability and a credit balance equal to the amount of levy proceeds.

Returning Proceeds from Wrongful Levy (Non-Owner)

25.23.10.6.2.4.7 (05-15-2018) Returning Proceeds from Wrongful Levy (Non-Owner) The non-owner of the TIN may file a wrongful levy claim for return of levy proceeds (from the assets of the non-owner of the TIN) already received and processed by the Service. See IRM 25.23.10.6.2.4.5, Identity Theft and Disposition of Levy Proceeds, for definition of "wrongful" levy. A "wrongful" levy claim may be appropriate when: The assessment is based solely on the SSN owner's income, since the levy improperly attaches to property belonging to a third party (the non-owner(s) of the TIN). The assessment is based on the combined income of the non-owner(s) of the TIN and the owner's, since the levy may have improperly attached to property belonging to a third party (the non-owner of the TIN). The assessment is based on the combined income of multiple non-owners, since the levy may have improperly attached to property belonging to the third parties. When speaking with the caller, secure information to determine that the individual requesting the return of levy proceeds is the non-owner of the SSN and not the owner of the original SSN. Verify the following: Name, address and SSN/ITIN. The levy issued was to a source belonging to the non-owner of the SSN based on the taxes assessed under the SSN of the rightful owner or assessed in the name of the victim based on the earnings of the non-owner of the SSN. Example: The non-owner proves use of the SSN via pay stubs or any other substantiating document and has rent/utility receipts where current name/address is the name/address on CC IRPTR print out and pay stubs show use of that SSN. The non-owner must provide substantiation to show ownership of the levy payments. Taxes were assessed on the account of the rightful owner of the SSN or assessed based on the earnings of the non-owner of the SSN. The true owner's account (SSN) is being used by the owner and the non-owner (not merely by the non-owner to work). Written contact from non-owner must be within 9 months (If the date of levy was on or before March 22, 2017) or two years (If the date of levy was on or after March 23, 2017) of the date of the levy and must be given to the appropriate office listed in Publication 4235, Collection Advisory Group Numbers and Addresses. See also IRM 5.11.2.3.2.1 (3), Wrongful Levy. Caution: A request for the return of property wrongfully levied is not effective if it is sent to the wrong office. Advise the caller to carefully read Publication 4235. Note: If IRS is contacted more than 9 months (If the date of levy was on or before March 22, 2017) or two years (If the date of levy was on or after March 23, 2017) after the date of the levy, we have no authority to return the wrongful levy payments. See also IRM 5.11.2.3.2.1 (3), Wrongful Levy. See IRM 5.11.2.3.2.1, Wrongful Levy, for appropriate action. Contact Collection Advisory to determine if the non-owner of the TIN would qualify for wrongful levy claim consideration. Collection Advisory will evaluate a properly filed claim. If the claim is disallowed, Collection Advisory should notify the third party in writing of the reason for disallowing the claim and of the right to bring suit against the government. If the claim is disallowed because it was not made within nine months from the date of the levy, Collection Advisory should send Letter 3973, Wrongful Levy Claim Rejection Letter - Untimely Claim, via certified mail. Note: Disallowance of the claim may be appealed through the Collection Appeals Program (CAP). If the claim is disallowed for another reason, Collection Advisory should send the claimant Letter 3974, Wrongful Levy Claim Rejection Letter, via certified mail. Disallowance of the claim may be appealed through the Collection Appeals Program (CAP). If a levy is served where the Service: Assessed the liability in the name of the non-owner of the SSN, Issued all pre-levy notices properly to non-owner of the SSN, Assessed the liability under the TIN of the SSN owner, The assessment is based solely on the income of the non-owner, and There are no credits (payment, offset, etc.) attributable to the SSN owner for the assessment listed on the levy, the levy may remain in effect unless there is an independent basis for releasing it. See IRM 5.11.2.3.1, Legal Basis for Releasing Levies. The assessment is not invalid for the sole reason that it was made under the victim's TIN/SSN. Reminder: To prevent re-issuance of levy, change levy source to "INFO ONLY".

Follow-up Actions on ID Theft Accounts Involving Wrongful Levy

25.23.10.6.2.4.8 (09-08-2017) Follow-up Actions on ID Theft Accounts Involving Wrongful Levy IRM 5.11.2.3.2.1, Wrongful Levy, and IRM 25.23.10.6.2.4, Levies, provides guidance for cases that involve ID Theft issues and wrongful levies.

Oscar "O" Inventory

25.23.10.6.2.5 (09-08-2017) Oscar "O" Inventory The "O" function has been designated for Identity Theft (IDT) cases in ACS. Note: The O1 Inventory is reserved for future use. Function inventories may be processed either by next case processing or from a list. In next case processing the ACS system brings each case up in priority sequence with an expired follow-up date. List(s) obtained through Query Management Facility (QMF) identifies accounts which may not have expired follow-up dates. Note: Either process is necessary to ensure proper follow-up actions are taken. This includes moving cases to the appropriate function. Caution: Review cases carefully when working from a list to avoid taking premature actions

O0 Inventory – Managerial/ACSS CII Referrals

25.23.10.6.2.5.1 (09-08-2017) O0 Inventory – Managerial/ACSS CII Referrals O0 inventory contains ACS accounts awaiting managerial approval. This inventory must be functioned out weekly. ACSS CII referrals received from V1 work. This inventory must be functioned out weekly.

O2 Inventory – IDTVA Specialties ACSS IDT Correspondence

25.23.10.6.2.5.2 (10-01-2019) O2 Inventory – IDTVA Specialties ACSS IDT Correspondence The O2 inventory is for IDTVA Specialties ACSS Correspondence cases received with the required Form 14039 and/or police report. This inventory will also include faxed IDT documents forwarded from the ACS Call-sites currently in the V1 inventory. The case should be batched on CII to OFP 40231 (IMF) or OFP 10412 (BMF) and reassigned "TOO2,120,CORR". See IRM 25.23.10.6.2.6, Expired O Inventories, for guidance on processing the expired follow-ups.

O3 Inventory - IDTVA Specialties BMF

25.23.10.6.2.5.3 (03-09-2020) O3 Inventory - IDTVA Specialties BMF The IDTVA Screener will review incoming cases in O3 to ensure they meet the conditions for O3. If they do not meet O3 conditions, the screener will request IDTVA move the case to the proper Oscar inventory or return the case to ACS Compliance for appropriate action. After the Screener in (1) above confirms the correct placement of the case in O3, IDTVA ACSS will refer BMF cases using guidance in IRM 25.23.2.4.3, Tracking Individual Taxpayers Reporting to be Victims of Business-Related Identity Theft. BMF cases are assigned to the O3 inventory with a 90-day follow-up. (e.g., TOO3,90,IDTBMF) Expired O3 cases follow IRM 25.23.10.6.2.6.1.2, Processing Expired O3-O7 & O9 Inventories.

O4 Inventory – IDTVA Specialties ASFR Referrals

25.23.10.6.2.5.4 (03-09-2020) O4 Inventory – IDTVA Specialties ASFR Referrals The O4 inventory is for cases not meeting IDTVA Specialties ACSS criteria that are referred to IDTVA Specialties ASFR due to an ASFR assessment that needs an IDT determination by that function. The cases are reassigned to the O4 inventory with a 90-day follow-up (e.g., TOO4,90,IDTASFR). See IRM 25.23.10.6.2.6.1.2, Processing Expired O3-O7 & O9 Inventory, for additional information on cases meeting these criteria.

O5 Inventory – IDTVA Specialties AUR Referrals

25.23.10.6.2.5.5 (03-09-2020) O5 Inventory – IDTVA Specialties AUR Referrals The O5 inventory is for cases not meeting IDTVA Specialties ACSS criteria that are referred to IDTVA Specialties AUR due to an AUR assessment that needs an IDT determination by that function. The cases are reassigned to the O5 inventory with a 90-day follow-up (e.g., TOO5,90,IDTAUR). See IRM 25.23.10.6.2.6.1.2, Processing Expired O3-O7 & O9 Inventory, for additional information on cases meeting these criteria.

O6 Inventory – Other Functional Referrals

25.23.10.6.2.5.6 (03-09-2020) O6 Inventory – Other Functional Referrals The O6 inventory is for cases not meeting IDTVA Specialties ACSS criteria that are referred to another functional area (other than IDTVA Specialties ASFR, SFR, AUR, or Exam) to make the IDT determination (e.g., RPM, CAWR, FUTA, FRIV, AM, CIB, etc.). The cases are reassigned to the O6 inventory with a 90-day follow-up (e.g., TOO6,90,IDTxxxx - "xxxx" = the function or operation the case was referred to such as RPM, CAWR, FUTA, FRIV, AM, CIB, etc.). See IRM 25.23.10.6.2.6.1.2, Processing Expired O3-O7 & O9 Inventory, for additional information on cases meeting these criteria.

O7 Inventory – IDTVA Specialties Examination Referrals

25.23.10.6.2.5.7 (03-09-2020) O7 Inventory – IDTVA Specialties Examination Referrals The O7 inventory is for cases not meeting IDTVA Specialties ACSS criteria that are referred to IDTVA Specialties Exam due to an Exam assessment that needs an IDT determination by that function. The cases are reassigned to the O7 inventory with a 90-day follow-up (e.g., TOO7,90,IDTEXAM). See IRM 25.23.10.6.2.6.1.2, Processing Expired O3-O7 & O9 Inventory, for additional information on cases meeting these criteria.

O8 Inventory – Referrals to Designated Identity Theft Adjustment (DITA)

25.23.10.6.2.5.8 (03-09-2020) O8 Inventory – Referrals to Designated Identity Theft Adjustment (DITA) If an IRSN is required to resolve the case, refer to DITA. Reassign to the O8 inventory with a 90-day follow up (e.g.,TOO8,90,DITA).

O9 Inventory - Referrals from ACS Compliance

25.23.10.6.2.5.9 (09-08-2017) O9 Inventory - Referrals from ACS Compliance O9 inventory is for cases referred from ACS Compliance. Cases include but are not limited to H7, V1, cases identified with CII images. The cases are reassigned to O9 with a 1-day follow up (e.g., TOO9,01,XXXX). See IRM 25.23.10.6.2.6.1.2, Processing Expired O3-O7 & O9 Inventory, for additional information on cases meeting these criteria.

Expired O Inventories

25.23.10.6.2.6 (09-08-2017) Expired O Inventories This section addresses expired O inventories.

General Guidelines

25.23.10.6.2.6.1 (11-23-2022) General Guidelines If research indicates no Identity Theft involvement and/or the case may have been erroneously reassigned to an O Inventory, update to the appropriate ACS function for next case action. Document CII. It is imperative/critical that thorough documentation is completed on these cases. Please be sure to include dates of all contacts with other functional areas, as well as documenting the discussion(s), any actions and/or resolutions taken on the account and future next case actions. If you find a module belongs to IDTVA Specialty, update to the appropriate IDI category code. Use OFP 40237 when taking next case actions or working O inventory listings. Count each entity processed.

Processing Expired O2 Inventory

25.23.10.6.2.6.1.1 (03-09-2020) Processing Expired O2 Inventory If the substantiation relating to an original/subsequent return filing (ACS criteria) or return delinquency has been received but the issues have not been resolved, proceed with the actions in the following If/And/Then table: If And Then (1) The substantiation relating to an original/subsequent return filing (ACS criteria) or return delinquency has been received but the issues have not been resolved, There is an open control base to an IDTVA Specialties ACSS employee only, Extend the follow-up date an additional 60 days, "OADT,60,FLWUP". (2) The substantiation relating to an original/subsequent return filing (ACS criteria) or return delinquency has been received but the issues have not been resolved, There is an open control base to the ACS Suspense wall, Extend the follow-up date an additional 60 days, "OADT,60,FLWUP". (3) The substantiation relating to an original/subsequent return filing (ACS criteria) or return delinquency has been received but the issues have not been resolved, There are multiple control bases open to an IDTVA Specialties ACSS employee in "M" status and a Designated Identity Theft Adjustment (DITA) employee, The case will be reassigned to the O8 inventory with a 60-day follow-up using the appropriate literal "DITA". If there is indication the case has been resolved (e.g., TC 971 AC 501/506), proceed with the actions in the following If/And/Then table: If And Then (1) There is indication the case has been resolved (e.g., TC 971 AC 501/506), A balance due remains, Take the next appropriate action (see IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues) and move the case to the next appropriate ACS function (e.g., "TOXX,30,IDTFIXD"). (2) There is indication the case has been resolved (e.g., TC 971 AC 501/506), There is a return delinquency with a filing requirement still open, Take the next appropriate action (see IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues) and move the case to the next appropriate ACS function. (3) There is indication the case has been resolved (e.g., TC 971 AC 501/506), There is a return delinquency and the filing requirements are closed, Follow guidelines as outlined in IRM 5.19.2.5, Return Delinquency Research, for closing action. (4) There is indication the case has been resolved (e.g., TC 971 AC 501/506), There is no balance due or return delinquency, Update the ACS follow-up date with "OADT,30,IDTFIXD". Document CII. It is imperative/critical that thorough documentation is completed on these cases. Please be sure to include dates of all contacts with other functional areas and to document the discussion(s), any actions, and/or resolutions taken on the account including future next case actions.

Processing Expired O3-O7 & O9 Inventories

25.23.10.6.2.6.1.2 (10-03-2022) Processing Expired O3-O7 & O9 Inventories If the case is an IRSN with a Service Center Address send to H9. If research indicates a TC 972 with AC 522, 523, 524, or 525 posted, this indicates no IDT issue or no IDT claim was received or no response to a request for additional information/documents. Follow IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. Document CII/AMS with the research and actions taken. Be sure to indicate no IDT issue or IDT claim was received or no response received- TC 972 AC 52x posted (x = 522, 523, 524, or 525). If there is an Identity Theft associated TC 470, reverse it with TC 472. If TC 971 AC 522 is posted with the literal MISC>PPDSOPIP and there is no Form 14039 return to ACSS Compliance per IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. If there is an unreversed TC 971 AC 522 PNDCLM and no CII documents then reverse TC 971 AC 522 with TC 972 AC 522 NORPLY (see IRM 25.23.4.10.10, No Reply, for further instructions) and return to ACSS Compliance per IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. If there is an Identity Theft associated TC 470, reverse it with TC 472. If research indicates a TC 971 AC 504 or 505 or 525 on CC ENMOD is posted, verify that no other IDT TC 971 (5XX) action codes posted to on CC ENMOD. These TCs 971 usually do not have IDT involvement and enforcement can continue, follow IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. Document AMS with the research and actions taken. If there is an Identity Theft associated TC 470, reverse it with TC 472. If other TC 971 IDT (5XX) action codes posted on CC ENMOD be sure to indicate the IDT issue has been resolved and closed with the applicable TC 971 AC 501 or TC 971 AC 506. If research shows TC 971 AC 524 and there is no indication of identity theft reassign ACS case TOR4,01,NOIDT. If there is a liable spouse continue with IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. Document AMS with the research and actions taken. If there is an Identity Theft associated TC 470, reverse it with TC 472. If research indicates IDT, process as normal. Note: Deceased Taxpayers: If research shows TC 971 AC 524 check for any unusual activities after taxpayer's date of death (For example filed tax returns, SFR and Exam assessments etc.). If needed seek guidance from unit lead or manager. If research show IDT issues have been resolved, reassign ACS case TOR4,01,IDTFIXD. If there is a liable spouse continue with IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. Document AMS with the research and actions taken. If there is an Identity Theft associated TC 470, reverse it with TC 472. If there is a TC 971 AC 522 IRSID and you are unable to identify the ID Theft and there are no documents or narratives then reverse TC 971 AC 522 with TC 972 AC 522 IRSERR and return to ACSS Compliance per IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. If you can identify ID Theft then create a CII case with the appropriate category code using the corporate holding number, using the current date and leave a case note on CII/AMS. Update the priority code to 1. If the IDT claim is determined invalid but there are allegations of return preparer misconduct, provide information on filing a claim (Form 14157, Return Preparer Complaint or Form 14157-A, Tax Return Preparer Fraud or Misconduct Affidavit) and required documents when sending the IDT determination letter. If a TC 971 AC 522 is present reverse it with TC 972 with tax administration source OTHER. If there is an Identity Theft associated TC 470, reverse it with TC 472. Return to ACSS Compliance per IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. If there is an open IDT control to another function, move the ACS case to the correct Oscar inventory and extend with a 90-day follow-up by assigning the ACS case TOXX,90,FLWUP. Input TC 971 AC 522 UNWORK on TP identified cases (Do Not input UNWORK on IRSID cases) if it is not already on the account. Update CII/AMS history accordingly. If the age from IRS received date is more than 90 days update the priority code to 1. Input a TC 470, block FPLP, release levies if applicable. If the 90-day follow-up has expired with no action taken, email the function's IDT Liaison indicating the following information: Date of initial referral and reason why initially referred (e.g., TC 922/290, TC 300, TC 150 SFR/ASFR assessed, TC 290 BS 55, etc). Update the activity code to OSINV (Oscar Inventory) and update the priority code to 1. Update ACS case OADT,30,FLWUP. If there is no open IDT control to another function and research indicates a TC 971 with AC 522 UNWORK has not been reversed and CII/AIMS narratives indicate the IDT documents were forwarded to another function for their determination, create a CII case using priority code 1, linking Form 14039 if available on CII with the appropriate category code, using the corporate holding number. Use the Form 14039 received date if available which corresponds to the tax year in question, otherwise use current date. Update the activity code to OSINV. Input TC 971 AC 522 UNWORK if it is not already on the account. Input a TC 470, block FPLP, release levies if applicable. Document case notes on CII with actions taken and that the time frame was extended for 90 days. Note: Be sure to input "TOXX,90,IDTxxxx" on ACS (xxxx = AUR, Exam, SFR, ASFR, CAWR, RPM, FUTA, FRIV, AM, CIB etc.). If there is indication all the IDT issues have been resolved (e.g., TC 971 AC 501 or 506) or closed as "NOIDT", proceed with the actions in the following If/And/Then table: Note: Be sure to indicate the IDT issue has been resolved with the applicable TC 971 AC 50x. (x = 501 or 506). If TC 971 AC 50x is not present and determination is made that IDT is resolved input applicable TC 971 AC 50X. If there is an Identity Theft associated TC 470 reverse it with TC 472. If And Then 1) there is indication all the IDT issues have been resolved (e.g., TC 971 AC 501 or 506) or closed as "NOIDT" a balance due remains See IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues Input on ACSWeb "TOXX,30,IDTFIXD", "TOXX,30,NOIDT". 2) there is indication all the IDT issues have been resolved (e.g., TC 971 AC 501 or 506) or closed as "NOIDT" an LT16 has been previously issued See IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. Input on ACSWeb, TOXX,01,IDTFIXD or TOXX,01,NOIDT. 3) there is indication all the IDT issues have been resolved (e.g., TC 971 AC 501 or 506) or closed as "NOIDT" there is a return delinquency with a true filing requirement reassign to CN (phone number present) or I2 (no phone number). See IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. Input on ACSWeb (e.g., "TOXX,30,IDTFIXD", "TOXX,30,NOIDT"). 4) there is indication all the IDT issues have been resolved (e.g., TC 971 AC 501 or 506) or closed as "NOIDT" there is an open TDI and the taxpayer does not have a filing requirement Refer to the following IRMs for appropriate TDI closing actions: See IRM 25.23.2.6.5, Closing Identity Theft Cases with Tax Delinquency Inquiries (TDI), when the TDI was created by fraudulent income and the taxpayer does not have a filing requirement. Input TC 590 AC 020 using CC FRM49. See IRM 25.23.4.17, Determining Tax Liability/Form 2209 Instructions, for other TDI closing actions. 5) there is indication all the IDT issues have been resolved (e.g., TC 971 AC 501 or 506) or closed as "NOIDT" the account is still on ACS but there is no longer a balance due or a return delinquency or if penalties and interest will be eliminated once the adjustment posts update the ACS follow-up date with "OADT,30,IDTFIXD". This will allow time for the account to fall off ACS. Reverse any TC 971 AC 522 with TC 972 AC 522 IRSERR. If the IDT issue has not been resolved and there is no indication a referral was sent/received in the appropriate IDTVA Specialties (Compliance function), and the case is not open/active on CII, create a CII case using priority code 1, linking Form 14039 if available on CII with the appropriate category code, using the corporate holding number. Use the Form 14039 received date if available which corresponds to the tax year in question, otherwise use current date. Update the activity code to OSINV. Input TC 971 AC 522 UNWORK if it is not already on the account. Document case notes on CII/AMS. Reassign ACS case to the appropriate ACS function. Update ACS with a 90-day follow-up e.g.,TOXX,90,IDTxxxx (xxxx = AUR, Exam, SFR, ASFR, CAWR, RPM, FUTA, FRIV, AM, CIB etc.). Input a TC 470, block FPLP, release levies if applicable. Note: An acknowledgement letter is NOT required if the IRS received date is more than 120 days old when creating a case working the O9 inventory. If a case was worked in IDT and all actions were not taken correctly, (e.g., unresolved credit, unpostable, lost refund, credit transfer etc), take action to correct the case if possible and follow procedures in IRM 25.23.4.3.1(5), CII and IDRS Case Controls. Do not create a case. If ACSS cannot resolve case, create a CII case using priority code 1, linking Form 14039 if available on CII with the appropriate category code, using the corporate holding number. Follow the procedures in IRM 25.23.4-5, IDTVA Routing Matrix, to determine the correct category code. Use the Form 14039 received date if available which corresponds to the tax year in question, otherwise use current date. Update the activity code to OSINV. Input TC 971 AC 522 UNWORK if it is not already on the account. Document case notes on CII/AMS. Update case with 30-day follow-up on ACS e.g., TOXX,30,IDTxxxx (xxxx = AUR, Exam, SFR, ASFR, CAWR, RPM, FUTA, FRIV, AM, CIB etc.). Input a TC 470, block FPLP, release levies if applicable. Note: CII/AMS must be documented with the action taken and that the time frame was extended for 30 days. Be sure to input "TOXX,30,IDTxxxx" on ACS (xxxx = AUR, Exam, SFR, ASFR, CAWR, RPM, FUTA, FRIV, AM, CIB etc.). Note: An acknowledgement letter should NOT be issued. If the case meets multiple function criteria and there is no indication a referral was sent, follow procedures in IRM 25.23.4-5, IDTVA Routing Matrix. If the case is not open/active on CII, create a CII case using priority code 1, linking Form 14039 if available on CII with the appropriate category code, using the corporate holding number. Use the Form 14039 received date if available which corresponds to the tax year in question, otherwise use current date. Update the activity code to OSINV. Input TC 971 AC 522 UNWORK if it is not already on the account. Document case notes on CII/AMS. Reassign case to appropriate ACS function. Update ACS with a 90-day follow up e.g., TOXX,90,IDTxxxx (xxxx = AUR, Exam, SFR, ASFR, CAWR, RPM, FUTA, FRIV, AM, CIB etc.). Input a TC 470, block FPLP, release levies if applicable. Note: An acknowledgement letter is NOT required if the IRS received date is more than 120 days old when creating a case working the O9 inventory. Document CII/AMS. It is critical that thorough documentation is completed on these cases. Please be sure to include dates of all contacts with other functional areas and to document the discussion(s), any actions, and/or resolutions taken on the account including future next case actions.

Processing Identity Theft/Return Preparer Misconduct (RPM) Collection Alert Forms (Form 14394) - Notification of Balance Due IDT Case

25.23.10.6.2.7 (10-01-2023) Processing Identity Theft/Return Preparer Misconduct (RPM) Collection Alert Forms (Form 14394) - Notification of Balance Due IDT Case Form 14394, Identity Theft/RPM Case Collection Alert Instructions will be received from other IDT Functions. The form must be completed within ten business days of receipt. Results of any action taken should be documented. The account will be reviewed based on the boxes checked for potential collection activity. Update Account on ACS to appropriate function code with 180-day follow-up "TOXX,180,IDTXXX" . Input a TC 470 with no closing code. Input a TC971-061 to block the FPLP- (TC 971 AC 662/060/062). See IRM 25.23.10.6.2.4.4 (3), Addressing Outstanding Federal Payment Levy Program (FPLP) Levies, for more information. Determine if a levy is active on the account and release the levy if applicable. Follow IRM 5.19.4.4.10, Levy Release: General Information, for full and partial levy release procedures. Caution: Levies must be released by GS-06 or higher employees. Forms may be deleted after 90 days.

Processing Identity Theft/RPM Collection Alert Forms (Form 14394) – Actions Taken Balance Due Still Identified

25.23.10.6.2.7.1 (09-08-2017) Processing Identity Theft/RPM Collection Alert Forms (Form 14394) – Actions Taken Balance Due Still Identified Form 14394, Identity Theft/RPM Case Collection Alert Instructions will also be returned when a different function has completed resolution of the IDT issues and there is still a balance due condition involved Review the account to ensure that closing actions of the IDT issue have been completed. Cases should be updated to the next appropriate function based on IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues, CII should be documented with "IDT issue resolved, to ACS XX for next case action" .

Back-End Process on Referrals Returned from Designated Identity Theft Adjustment (DITA)

25.23.10.6.2.8 (09-08-2017) Back-End Process on Referrals Returned from Designated Identity Theft Adjustment (DITA) If applicable, send the completed Form 9409, IRS/SSA Wages Worksheet, to SSA. The form(s) should already be completed and found in the file copy of the case. Document CII that Form 9409 has been sent to SSA. For cases remaining on ACS (balance due and/or delinquent return(s) required) and the applicable TC 971 (AC 501/506) has been input, take the following actions: Review all levy sources and delete any that do not belong to the taxpayer. Follow IRM 25.23.10.6.2.3, Next Case Actions, Remaining Collection Issues. - IDT Resolved Remaining Collection Issues, for balance due accounts (includes combo accounts) and for delinquent return accounts. Close the monitoring IDRS control bases. Update CII with all actions taken (deleted levy source information, telephone contact attempt/made, ACS actions, etc.). Report time and volume under OFP 40231.

IDTVA Specialties AUR Identity Theft Case Processing

25.23.10.6.3 (10-01-2019) IDTVA Specialties AUR Identity Theft Case Processing This IRM section provides specific guidance for Identity Theft Victim Assistance (IDTVA) cases involving Automated Underreporter (AUR) issues. Guidance dealing with non IDTVA AUR issues can be found in the IRM 4.19.3, IMF Automated Underreporter Program.

IDTVA Specialties AUR IDTVA Clerical Procedures

25.23.10.6.3.1 (03-17-2025) IDTVA Specialties AUR IDTVA Clerical Procedures Identity theft correspondence will be received through the AUR clerical units. AUR cases will then be referred to the IDTVA unit by the AUR IDT Coordinator. A Form 3210 will be referred to the TS AUR ID Theft Referrals mailbox. A CII case will need to be created for each TIN on the Form 3210. Note: Full TIN's may be listed on a separate attached document. In most instances, IDTVA will only accept cases (Open or Recon) from AUR that have a Form 14039, Identity Theft Affidavit or police report included with the correspondence. See IRM 25.23.4.3.4, IDTVA Specialties - Case Referrals from Compliance Functions, for guidance on acceptable case referrals. If cases are referred by AUR to IDTVA not fitting the criteria listed in IRM 25.23.4.3.4, IDTVA Specialties - Case Referrals from Compliance Functions an IDTVA designated individual will reject the case back to the referring AUR IDT Coordinator or referring function. The contact for each AUR site can be found using the following link AUR IDT Coordinator Listing (ITVA Use Only) Research all open AUR referrals from AUR on the AUR system to ensure that a PC "SI" was input. If the last PC code entered on the AUR system is not PC "SI" , notify the appropriate AUR IDTVA coordinator to have the process code input. Note: RPM cases should also be referred to IDTVA with a PC "SI" input. Prior to creating the case, all collection activities must be addressed. See IRM 25.23.4.12, Collection Activity - Form 14394/13794 for more information. If the account reflects a balance due on Service Center or Master File, input TC 470 with no closing code to prevent balance due notices from generating and offsets into the module. Note: If a Form 14394, Identity Theft Collection Alert or Form 13794, Request for Release or Partial Release of Notice of Federal Tax Lien will be sent to ACSS or Collection Advisory, after the case has been created, attach a copy of the completed form to the CII case. If a Form 656 is included with a Form 14039, Identity Theft Affidavit or police report assigned to IDTVA or included in a response to IDTVA, follow the instructions in IRM 25.23.10.2 (7), Case Batching. All correspondence received from AUR must be controlled on CII. Take the following actions for controlling AUR cases on CII: Use the IRS received date of the Form 14039 or Police Report (can be found in the Case History screen of the AUR system). Leave a CII note indicating, "taxpayer correspondence is available on AMS" , or similar verbiage. Update the CII data and assign the case following the instructions in Exhibit IRM 25.23.4-5, IDTVA Routing Matrix, paragraph (11) Table Scenario (14) (Open AUR) or (15) (AUR Recon), as applicable. After tax examiners have completed all case actions, open cases will be returned by a designated individual who will notify the appropriate AUR site of the closure. For open cases, notification will be in the form of a Form 3210, Document Transmittal listing all SSNs and tax year(s) that are being returned. Return the Form 3210 to the appropriate AUR IDT Coordinator as indicated in (4) above. See IRM 25.23.10.6.3.2.1, IDTVA Specialties AUR Technical Research and Initial Handling Procedures, for additional initial action requirements.

IDTVA Specialties AUR Technical Procedures

25.23.10.6.3.2 (10-01-2023) IDTVA Specialties AUR Technical Procedures This section provides general guidance to IDTVA Tax Examiners who work IDT cases with AUR involvement. These procedures are standard for all cases.

IDTVA Specialties AUR Technical Research and Initial Handling Procedures

25.23.10.6.3.2.1 (10-01-2025) IDTVA Specialties AUR Technical Research and Initial Handling Procedures All IDT cases, both Open and Recon, require a control base to be opened on all tax year accounts (modules) impacted by identity theft. See IRM 25.23.4.3.1, CII and IDRS Case Controls for additional information. AUR IDT modules should be opened with a Category Code IDI2, including additional impacted years that do not contain an AUR issue, any spouses and dependents found while completing CCA. Exception: There is an IDT impacted module with Exam involvement, see IRM 25.23.10.4(1), Identity Theft Cases with Multiple Specialty Function Involvement, and update the category code to IDI1. IPSO identified IDT1 cases containing a TC 922. These cases were updated to IDI2. If the TC 922 has a last process code that would not be worked by AUR, see the chart below to determine if you will work or refer the case: If Then There is an AUR TC 922 with process code 03, 9 - 18, 21 - 25, 27 - 29, 39, 44 - 48, 51, 52, 65, 69, 70 - 74, 76, 80, or 91 - 93. Update case to IDT1, reassign the case back to holding number per the IDTVA Specialty CII Reassignment Guide for Non-IDT Cases Located on the IDTVA HUB The process code is not listed above Continue working the case IDTVA-I and IDTVA-A will reassign cases containing a TC 922 to IDI2. If the case does not meet the criteria (refer to the table in (2) above) to be worked as an IDI2, return the case to the number that reassigned it with a case message of why it was rejected including the IRM reference. When cases are assigned, verify that any open AUR case has a process code "SI" input on the AUR system. If a process code "SI" is not present on the AUR system, have the IDTVA Liaison contact the AUR IDT Coordinator to ensure that a process code "SI" is input on the case. Do not suspend the case waiting for the PC SI, continue processing. IDTVA AUR is allowed up to 120 days from the date the PC "SI" was input to return open cases back to AUR. If the case cannot be resolved within 120 days, the IDTVA Functional Liaison will contact the AUR IDT Liaison to request up to an additional 40 days. If within 160 days the case has not been completed, AUR will close the case with a PC 26. Document the request for additional time in a CII case note. See also IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures. Note: If the IDTVA AUR team does not receive the case within two business days of the PC "SI" being input, document in a case note the date the case was actually received. The 120-day time frame will begin on the date the case was actually received. Caution: AUR will close the case if they are not contacted before the 120-day time frame has expired. IDTVA-I and IDTVA-A will send referrals to IDTVA Specialties functions directly rather than through their compliance counterparts. If a referral is received on an open AUR case that is not currently assigned to IDTVA inventory, the IDTVA Liaison should contact the AUR IDT Coordinator to ensure that a process code "SI" is input on the case. If AUR did not input a TC 971 AC 522 UNWORK upon referral, do not reject the referral. Refer to IRM 25.23.2.4.4, Initial Allegation or Suspicion of Tax-Related Identity Theft – IMF Identity Theft Indicators, to determine if a TC 971 AC 522 is required to be input. On cases with potential balance due issues, ensure the appropriate action(s) are taken to prevent balance due notices, tax offsets, and/or enforcement actions, see IRM 25.23.4.6(3) Research, Actions and Complete Case Analysis - Overview, for further instructions on the suspending of enforcement actions. If after making a determination, the case will be suspended awaiting other case actions or will not be closed within five (5) business days, a Letter 5073C will be issued to acknowledge receipt of the taxpayer's claim. There are instances in which case files may not be scanned into CII that were referred by AUR. These cases are discovered by working the ADR Report Blanks tab, see IRM 25.23.4-15, ITVA HQ AUR ADR Report. A CII case will be created. The case should contain CII note "Case created from ADR report, work using images available on AMS or internal research," or similar verbiage. Attempt to make a determination using the available images or through internal research. If a determination cannot be reached, follow the instructions in IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written), to obtain the necessary information from the taxpayer. In your out call or outgoing letter, acknowledge the lost response, and include an apology.

Cases Screened in Error

25.23.10.6.3.2.1.1 (06-05-2025) Cases Screened in Error As a rule, IDTVA does not review the AUR case for accuracy. However, there may be times you discover an AUR case was screened in error. Income being included on a CP2000 that should not have been pursued can be confusing to the taxpayer and lead them to believe they are a victim of IDT. Examples include: Notices issued based on Information Returns in a name other than the taxpayer Income pursued on the notice was reported on the return Income paid to an EIN meeting certain criteria Questionable IRs which appear to be erroneous and may or may not be marked with Payer Agent Information Identical IRs (SSN/EIN, name, amount, account number, income type, etc.) pursued Wages pursued that meet the 25% rule (see IRM 4.19.3.8.1.1(6)(a), Wages - Analysis, for more information) Income pursued is not taxable income; etc If the taxpayer is claiming IDT and the IR(s) is an EIN, consider the EIN IR as screened in error, and follow paragraph (1) above, if the following apply: The payer EIN or name on the income document matches the payee EIN or name on the IR in question. Schedule E contains a Partnership or Small Business Corporation with the same EIN or name as the payee EIN or name on the IR(s) in question, UNLESS the payer on the IR is the partnership or small business corporation shown on Schedule E. The payee name line(s) is obviously not the taxpayer (i.e., government agencies, schools, charitable/tax-exempt organizations, Pension Profit Sharing Plan name line(s) with the words such as "trustee for" or "trustee.") If the taxpayer is claiming IDT on income that should not have been included in the CP2000 notice, follow the instructions in the table below. If Then 1) All of the U/R issues should not have been pursued. Open cases: Leave a case note, on the AUR system, advising AUR to remove the issue and close the case. Include the IRM reference of the guidance used to make the decision. Recon cases: Abate the AUR assessment and penalties, as applicable. Follow the NOIDT instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations. Note: Use the special paragraph below in place of the paragraph in IRM 25.23.4.10.9(2). Send the taxpayer a Letter 4674C. Include a special paragraph informing the taxpayer that the unreported issue was due to an IRS error and that they are not a victim of Identity Theft, (or similar verbiage). Exception: Do not include the special paragraph, if there are other tax years determined to be impacted by identity theft. 2) Some of the U/R issues should not have been pursued Open cases: Leave a case note, on the AUR system, advising AUR to remove any issues that are attributed to IDT or should not have been pursued and to continue processing the case. Include the IRM reference of the guidance used to make the decision for any IRs that should not have been pursued. Recon cases: Abate the AUR assessment and penalties, as applicable. Removing only the income that is attributed to IDT or should not have been pursued. Follow normal IDT procedures for resolving the case based on the determination made. Note: Any income determined to be screened in error should not be considered when making the IDT determination. Reminder: Refer to IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures for instructions on required closing actions.

Document Requirements for Cases with AUR Involvement

25.23.10.6.3.2.2 (03-17-2025) Document Requirements for Cases with AUR Involvement To determine when additional documentation is needed to support an ID Theft claim, see, IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written). Identity theft claims made on cases that have AUR involvement have an additional document requirement. On cases with AUR involvement the taxpayer must also identify in a statement which AUR issues they are disagreeing with. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ If sending a letter to the taxpayer to obtain the information, include the following special paragraph or similar verbiage: "Although you indicated that you are a victim of identity theft, you have not stated which items reflected on the Notice CP 2000, previously issued for the tax period stated above, were attributable to identity theft. Please send us a signed statement indicating which items or tax returns are results of identity theft." Example: AUR issues a CP2000 notice to our ID Theft victim. The notice contains underreported WAGES Issues: WAGES IR A, WAGES IR B, WAGES IR C and WAGES IR D. Taxpayer submits a statement that they disagree with WAGES IRs A and B and makes no comment regarding WAGES IRs C and D. Create an AUR case note. Instruct AUR to remove the IRs the taxpayer is disputing and to continue processing the case. See IRM 25.23.10.6.3.3(3), IDTVA Specialties AUR Closing Procedures for additional information. Use the following table to determine when additional information must be requested from the taxpayer. If And Then 1) There is a single AUR issue Do not request the statement. 2) The taxpayer does not submit the statement indicating which AUR issues are a result of identity theft. A determination cannot be made that the IRs do not belong to the taxpayer, based on: Research of internal resources. Geographical location. Request any required information (e.g., missing returns, forms/schedules, etc.) from the taxpayer that is still needed, following the instructions in IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written) and paragraph (2) above. Reminder: The team's EE-fax number should be provided to the taxpayer. 3) The taxpayer does not submit the statement indicating which AUR issues are a result of identity theft. A determination can be made that the IRs do not belong to the taxpayer, based on: Research of internal resources. Geographical location. Do not request additional documentation. Continue processing the case. Caution: Credits, taxable income and/or tax changes (e.g., SE tax, EITC, taxable Social Security Benefits, etc.) directly impacted by the addition of other underreported income do not have to be disputed in a statement. Example: The taxpayer received a CP 2000 recalculating their income tax and credits as the result of wages that were not included on the return filed. The calculations include addition of wages, a tax increase, and removal of the EITC originally claimed, resulting in a balance owed. The taxpayer files Form 14039. Do not request a breakdown of the issues. The disallowance of the EITC originally claimed is directly related to the addition of wage income. The only issue is the wage income.

Income Related Identity Theft with AUR Involvement

25.23.10.6.3.2.3 (06-05-2025) Income Related Identity Theft with AUR Involvement If the taxpayer's response indicates they filed the TC 150 return and some or all of the AUR issue(s) are the result of identity theft, follow the table below: Note: The scenarios below are intended to be followed based on your determination. Procedures in IRM 25.23.13.2.1 , Income Related Identity Theft - Determinations, must be followed prior to proceeding. If And Then 1) There is a single AUR issue, Open cases: Leave a case note on the AUR system advising AUR to remove the issue and close the case. Recon cases: Abate the AUR assessment and penalties, as applicable. Refer to IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures for instructions on required closing actions. 2) There are multiple AUR issues, The taxpayer has indicated they disagree with all of the AUR issues. Open cases: Leave a case note on the AUR system advising AUR to remove the issues associated with the impacted taxpayer. If there are no remaining issues, advise AUR to close the case or if there are remaining issues, advise AUR to remove the IRs the taxpayer is disputing and to continue processing the case. Recon cases: Abate the tax and any applicable penalties associated with the income being removed. Refer to IRM 25.23.10.6.3.3 , IDTVA Specialties AUR Closing Procedures for instructions on required closing actions. 3) There are multiple AUR issues, The taxpayer indicates that they disagree with some of the AUR issues Open cases: Leave a case note on the AUR system advising AUR to remove the issues that the taxpayer disagrees with. Advise AUR to remove the IRs the taxpayer is disputing and to continue processing the case. Recon cases: Abate the tax and any applicable penalties, associated with the income being removed. Refer to IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures for instructions on required closing actions. When the taxpayer is disputing TIN Perfected IRs, refer to the table below: Reminder: When using the table below, each tax year must be considered separately. If Then (1) All underreported information returns for the victim(s) are TIN Perfected Note: If the IR is TIN perfected, the IRPTR document Payee Entity Data line will state "Valid Perfected SSN," an asterisk will appear in the "TIN PERFECTION IND" field of the AUR Information Return window, and an asterisk will also appear in the "TP" field on the AUR Case Analysis screen. Open cases: Leave a case note on the AUR system advising AUR to remove the issue and close the case. Recon cases: Abate the AUR assessment and penalties, as applicable. Follow the NOIDT instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT). Note: Use the special paragraph below in place of the paragraph in IRM 25.23.4.10.9(2). Send the taxpayer a Letter 4674C. Include a special paragraph informing the taxpayer that the unreported issue was due to an Internal Revenue Service error and that they were not a victim of Identity Theft, (or similar verbiage). Exception: Do not include the special paragraph, if there are other tax years determined to be impacted by identity theft. (2) Not all of the underreported information returns for the victim(s) are TIN Perfected. Note: If the IR is TIN perfected, the IRPTR document Payee Entity Data line will state "Valid Perfected SSN" , an asterisk (*) will appear in the "TIN PERFECTION IND" field of the AUR Information Return window, and an asterisk will also appear in the "TP" field on the AUR Case Analysis screen. Open cases: Leave a case note on the AUR system advising AUR to remove the IRs the taxpayer is disputing and to continue processing the case. Recon cases: Abate the tax and any applicable penalties, associated with the income being removed. Follow normal ID Theft procedures to resolve the non TIN perfected IRs. Reminder: A W-2 for the same payer exists on two tax years. One year is TIN perfected, the other year is not. The taxpayer disputes earning the wages and the income is determined not to belong to the taxpayer. Do not consider as TIN Perfected and follow the normal ID theft procedures. If the taxpayer responds and only disagrees with the amount of the underreported income, take one of the following steps below: If And Then (1) The case is Open in AUR, It can be determined that the underreported amount could be due to a payroll, typographical, or clerical error, the taxpayer provides an amount that they earned, and the taxpayer included the income agreed with on the return filed. Treat the case as NOIDT. Follow the instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations. Close the CII case and return the AUR case to the referring AUR function. Leave a case note on the AUR system informing them of the reason for the discrepancy. (2) The case is Open in AUR, It can be determined that the underreported amount could be due to a payroll, typographical, or clerical error, the taxpayer provides an amount that they earned, and the taxpayer DID NOT include the income agreed with on the return filed. Treat the case as NOIDT. Follow the instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations. Close the CII case and return the AUR case to the referring AUR function. Leave a case note on the AUR system informing them of the reason for the discrepancy and instruct them to adjust the U/R amount and continue processing. (3) The case is Open in AUR, It can be determined that the taxpayer did not earn all of the underreported income and the amount reported is due to an act of fraud or IDT the taxpayer included the income agreed with on the return filed. Example: There have been cases where a taxpayer no longer employed by a company and then the company allows someone else to continue working at the same company using their SSN. The taxpayer will state they separated from the company and earned a lower amount than what is reflected on the W-2. Input a TC 971 AC 504. Close the CII case and return the AUR case to the referring AUR function. Leave a case note on the AUR system informing them of the reason for the discrepancy. If the U/R income is for wages, complete Form 9409, IRS/SSA Wage Worksheet. In Section B, select Box 6, and input the amount the taxpayer reported for the wage amount. Refer to IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures for instructions on required closing actions. (4) The case is Open in AUR, It can be determined that the taxpayer did not earn all of the underreported income and the amount reported is due to an act of fraud or IDT, the taxpayer provides an amount that they earned, and the taxpayer DID NOT include the income agreed with on the return filed. Input a TC 971 AC 504. Close the CII case and return the AUR case to the referring AUR function. Leave a case note on the AUR system informing them of the reason for the discrepancy and instruct them to adjust the U/R amount and continue processing. If U/R income is for wages, complete Form 9409. In Section B, select Box 6, and input the amount the taxpayer reported for the wage amount. Refer to IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures for instructions on required closing actions. (5) The case is Closed in AUR (RECON), It can be determined that the underreported amount could be due to a payroll, typographical, or clerical error, the taxpayer provides an amount that they earned, and the taxpayer included the income agreed with on the return filed. Abate the AUR assessment. Treat the case as NOIDT. Follow the instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations. In addition to the special paragraph mentioned in IRM 25.23.4.10.9, inform the taxpayer we were able to resolve the underreported income discrepancy based on the information they provided. (6) The case is Closed in AUR (RECON), It can be determined that the underreported amount could be due to a payroll, typographical, or clerical error, the taxpayer provides an amount that they earned, and the taxpayer DID NOT include the income agreed with on the return filed. Do a partial abatement, removing the disputed amount. Recompute tax, credits, penalties, etc., as necessary. Treat the case as NOIDT. Follow the instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations. In addition to the special paragraph mentioned in IRM 25.23.4.10.9, inform the taxpayer we were able to resolve the underreported income discrepancy based on the information they provided and have adjusted their account to reflect the correct figures. Advise them if there is a balance owed as a result of the adjustment input. (7) The case is Closed in AUR (RECON), It can be determined that the taxpayer did not earn the underreported income, the amount is due to an act of fraud or IDT, the taxpayer provides an amount that they earned, and the taxpayer included the income agreed with on the return filed. Example: There have been cases where a taxpayer no longer employed by a company and then the company allows someone else to continue working at the same company using their SSN. The taxpayer will state they separated from the company and earned a lower amount than what is reflected on the W-2. Abate the AUR assessment. Input a TC 971 AC 501. If the U/R income is for wages, complete Form 9409. In Section B, select Box 6, and input the amount the taxpayer reported for the wage amount. Refer to IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures for instructions on required closing actions. (8) The case is Closed in AUR (RECON), It can be determined that the taxpayer did not earn the underreported income, the amount is due to an act of fraud or IDT, the taxpayer provides an amount that they earned, and the taxpayer DID NOT include the income agreed with on the return filed. Do a partial abatement, removing the disputed amount. Recompute tax, credits, penalties, etc., as necessary. Input a TC 971 AC 501. If the U/R income is for wages, complete Form 9409. In Section B, select Box 6, and input the amount the taxpayer agreed to for the wage amount. In the Letter 4674C, include a special paragraph informing the taxpayer that we have removed the disputed amount, but they are still responsible for the taxes due on the amount they earned, and they will be receiving a separate letter regarding the amount of tax owed. Refer to IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures for instructions on required closing actions. (9) The taxpayer does not provide an amount that they earned. the case is Open in AUR Refer to IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written), to obtain a dollar amount that they agree to earning. If you can obtain a dollar amount, proceed to the appropriate scenario above. If you are unable to contact the taxpayer, or the taxpayer refuses to give an amount to which they agree to. Input a TC 971 AC 504. If the U/R income is for wages, complete Form 9409. In Section B, select Box 6, and input in the amount field "The taxpayer did not provide the amount". Close the CII case and return the AUR case to the referring AUR function. Leave a case note on the AUR system informing them to remove the IR. (10) The taxpayer does not provide an amount that they earned. the case is Closed in AUR (RECON) Refer to IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written), to obtain a dollar amount that they agree to earning. If you can obtain a dollar amount, proceed to the appropriate scenario above. If you are unable to contact the taxpayer, or the taxpayer refuses to give an amount to which they agree to, do an abatement, removing the disputed amount. Recompute tax, credits, penalties, etc., as necessary. Input a TC 971 AC 501. If the U/R income is for wages, complete Form 9409. In Section B, select Box 6, and input in the amount field "The taxpayer did not provide the amount". Refer to IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures for instructions on required closing actions. (11) Your case does not fit any of the scenarios listed above. Contact your ITVA AUR Headquarters Analyst for instructions on how to proceed with the case by emailing a completed Form 4442, Inquiry Referral. Note: Situations involving AUR Closed cases - Due to the income already being assessed, there is no tolerance amount to consider. Note: If there is two W-2s from the same company, the taxpayer is disputing the smaller W-2 and reports the larger W-2 on his return, consider this to be a payroll issue. Example: CP 2000 was issued for underreported wage income from ABC company for $80,000. Taxpayer responds stating that their W-2 from ABC company shows that they earned $8,000 for the tax year in question. Since the taxpayer is stating they worked for the company in question, the incorrect amount that was listed in their CP 2000 notice is likely due to a payroll or typographical error. This is a Compliance issue; therefore, the case will be treated as a NOIDT case. Example: CP 2000 was issued for underreported NEC income from XYZ company for $75,000. Taxpayer responds that they believe they are a victim of identity theft, because they only worked for XYZ company for two weeks and only earned $600 during that period. Due to the taxpayer's SSN being used to report erroneous income that they did not earn, the taxpayer would be considered a victim of identity theft. The account would be abated. The taxpayer would be assessed on the portion of income they are agreeing to along with applicable tax, credits, and penalties. The taxpayer's account would be marked with a TC 971 AC 501. Example: CP 2000 was issued for underreported wage income from XYZ company for $65,000. Taxpayer states they quit working for the company in March 2019 and began working at ABC company for the remainder of the year. Taxpayer sends in a year-to-date check stub showing that as of March 2019 they earned $4,000 with XYZ company. Based on the taxpayer statement and IRPTR research showing they did in fact work for ABC company in 2019, we would make the determination that someone else continued to work at XYZ company using the taxpayer's SSN after they left the company and that they are a victim of identity theft. The AUR assessment would be abated, removing the amount the taxpayer did not earn. The taxpayer's account would be marked with a TC 971 AC 501 and a Form 9409 would be completed using Box 6 of Section B. The $4,000 earned by the taxpayer would be input on the wage line for Box 6. Example: CP 2000 was issued for underreported wage income from ABC company for $30,000. Taxpayer responds stating ABC company changed payroll companies during the year. IRPTR shows a second W-2 for $50,000 and also indicates there was a payroll change during the year. Taxpayer reported the $50,000 on his return. The smaller underreported W-2 will be treated as a duplicate and the case will be treated as a NOIDT case. If the taxpayer is claiming possible BMF ID theft (i.e., the taxpayer claims to have no affiliation with the business/EIN) on a Form 14039 or Form 14039-B, follow IRM 25.23.2.4.3(8), Tracking Individual Taxpayers Reporting to be Victims of Business-Related Identity Theft.

Identity Theft Involving an Invalid Return with AUR Involvement

25.23.10.6.3.2.4 (03-17-2025) Identity Theft Involving an Invalid Return with AUR Involvement When correcting AUR tax assessments made on accounts subsequently determined to involve identity theft (employment or a fraudulent tax return), determine if any overpayment previously offset is refundable. Adjust the transactions posted on the module to reflect the identity theft victim's tax return as allowable including all line items (such as tax, AGI, TXI, W/H, and credits). For more information see IRM 25.23.4.6.2, IDTVA - Additional Research and Required Actions. Note: Credits transferred to a balance due module are refundable for two years from the corresponding date of the cycle in which the transfer occurred. Refer to IRM 25.6.1.7.2 (5), Time When Payments and Credits Are Considered to be Made and IRM 25.6.1.10.3.1, Claims for Credit or Refund - Processing Directions, for additional information. Caution: When applicable follow IRM 21.5.4, General Math Error Procedures, for applying Math Errors and Unallowable procedures when posting the legitimate taxpayer's return. Also, when applicable see IRM 21.5.3.4.6, No Consideration and Disallowance of Claims and Amended Returns. Reminder: All IDT cases, both Open and Recon, require a control base to be opened on all tax year accounts (modules) impacted by identity theft. See IRM 25.23.4.3.1, CII and IDRS Case Controls for additional information. AUR IDT modules should be opened with a Category Code IDI2, including additional impacted years that do not contain an AUR issue, any spouses and dependents found while completing. If the taxpayer has submitted an unprocessed return with their response, process it as filed following the instructions in IRM 25.23.4.6.5.2, Unprocessed Documents. If the posted return needs to be moved to an IRSN account, refer the case to DITA using the instructions in IRM 25.23.10.5, Post Function Referral Procedures. Reminder: Ensure the account ASED is adjusted to reflect the appropriate date based on the new valid return. When the ASED on the impacted module is expired, a transaction date one day prior to the expiration must be used when inputting the TC 560 to prevent Unpostable Code 178-2. Note: Input a TC 560 with a DLN-CD of 70 or 99 to prevent Unpostable Code 178-2. Use DLN-CD 70 when correcting the ASED to a later date than the posted ASED. Use DLN-CD 99 when correcting the ASED to an earlier date than the posted ASED. Caution: If the valid taxpayer has filed two returns, and the second return is intended to be superseding, the ASED will be calculated using the received date of the first return. The account will be adjusted to the correct figures on the second return, as allowable. Example: For TY 2021, the timely filed TC 150 return is determined to be invalid and will be nullified. The common number owner taxpayer files his original return (posted TC 976) on 3/1/2021 reporting income from 2 employers. The common number owner taxpayer files a second return (posted TC 976) on 4/15/2021 reporting income from 3 employers. This income is verifiable on CC IRPTR. The ASED will be set based on the common number owner taxpayer's original return on 3/01/2021. The account will be adjusted to the allowable figures on the TC 976 return dated 4/15/2021. When the taxpayer submits a return but has not submitted a statement addressing which AUR issues they disagree with, take the following actions: Request the required information from the taxpayer by following IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written) andIRM 25.23.10.6.3.2.2 , Document Requirements for Cases with AUR Involvement as appropriate. Note: When making an outgoing call, document the phone number called, who you spoke with, and/or if a message was left for the taxpayer. If And Then 1) There are AUR issues not included on the submitted return ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ Open cases: Notate in a case note on the AUR system for AUR to close the case. Process the taxpayer's return following the instructions in IRM 25.23.4.6.5.2, Unprocessed Documents. 2) There are AUR issues not included on the submitted return ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ The taxpayer agrees some of the remaining issues are attributed to ID Theft by requesting the required information from the taxpayer following IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written) and IRM 25.23.10.6.3.2.2 , Document Requirements for Cases with AUR Involvement as appropriate. Process the taxpayer's return following the instructions in IRM 25.23.4.6.5.2, Unprocessed Documents. When the Unprocessed Return procedures have been satisfied then: Open cases: Notate in a case note on the AUR system whether or not the original return was determined to be the result of IDT and if a new return was processed. The case note should also contain information regarding which IR(s) do not belong to the taxpayer. Recon Cases: Adjust the account as appropriate following IRM 25.23.4.8, Identity Theft (IDT) Common Number (CN) Ownership and Case Processing Determinations. Abate the portion of income and tax the taxpayer is disagreeing with or is included on the return from the AUR assessment including any applicable penalties. Follow any other IDT procedures applicable to resolve the taxpayer's account of any IDT issues. 3) There are AUR issues not included on the submitted return ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ You are unable to contact the taxpayer regarding the AUR issues not included on the submitted return Process the taxpayer's return following the instructions in IRM 25.23.4.6.5.2 , Unprocessed Documents. Once the Unprocessed Return instructions are complete, follow these additional steps below Open cases: Notate in a case note on the AUR system if the original return was determined to be fraudulent and that a new return was processed. Also, inform AUR which IRs were not included on the new return. ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ Follow any other IDT procedures applicable to resolve the taxpayer's account of any IDT issues. 4) Some of the AUR issues are included on the return, ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ Open cases: Notate in a case note on the AUR system for AUR to close the case. Process the taxpayer's return following the instructions in IRM 25.23.4.6.5.2, Unprocessed Documents. 5) All of the AUR issues are included on the return, Open cases: Notate in a case note on the AUR system for AUR to close the case. Process the taxpayer's return following the instructions in IRM 25.23.4.6.5.2, Unprocessed Documents. If the taxpayer's response does not include a tax return, determine if the taxpayer has a filing requirement following the instructions in IRM 25.23.4.17(3), Determining Tax Liability/Form 2209 Instructions, and take the following action: If Then It is determined the taxpayer has a filing requirement Adjust the account as appropriate following IRM 25.23.4.8, Identity Theft (IDT) Common Number (CN) Ownership and Case Processing Determinations. If an IRSN is needed, send the case to DITA per IRM 25.23.10.5 , Post Function Referral Procedures. Recon cases: Abate the AUR assessment. Open cases: Notify AUR to close the case no change. Prepare Form 2209, Courtesy Investigation, as instructed by IRM 25.23.4.17, Determining Tax Liability/Form 2209 Instructions. Issue a Letter 4674C as a closure letter and include a paragraph reminding the taxpayer of their obligation to file a federal tax return. After all actions required in IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures have been completed, close the CII case. It is determined the taxpayer has NO filing requirement. Adjust the account as appropriate following IRM 25.23.4.8 , Identity Theft (IDT) Common Number (CN) Ownership and Case Processing Determinations. If an IRSN is needed, send the case to DITA per IRM 25.23.10.5 , Post Function Referral Procedures. Recon cases: Abate the AUR assessment. Open cases: Notify AUR to close the case no change. After all actions required in IRM 25.23.10.6.3.3, IDTVA Specialties AUR Closing Procedures have been completed, close the CII case.

IDTVA Specialties AUR Closing Procedures

25.23.10.6.3.3 (03-17-2025) IDTVA Specialties AUR Closing Procedures In addition to the procedures outlined in this section, tax examiners are also responsible for any closing actions that may be contained in IRM 25.23.2, Identity Protection and Victim Assistance - General Case Processing, and IRM 25.23.4, IDTVA Paper Process, and IRM 25.23.13, Income Related Identity Theft. These IRMs contain guidance on information such as: (this list is not all inclusive) IRM 25.23.2.3.4, Required Case and History Notes IRM 25.23.2.6, Closing Identity Theft Issues IRM 25.23.4.10, Resolving Identity Theft (IDT) Cases IRM 25.23.4-21, Input, Annotations and Action Requirements for Streamline/Non-Streamline Case Processing IRM 25.23.13.3, Closing Income Related Identity Theft Accounts IRM 25.23.13.3.1, Form 9409 Procedures - IRS/SSA Wage Worksheet IRM 25.23.4.12.3, Collection Activity - Resume Collection Actions Before taking action on an account, research must be completed to review the pending and posted transactions, status, and controls on Master File. All impacted modules must be reviewed including modules associated with the account by credit transfers and refund offsets. All information must be considered to resolve the case thoroughly and accurately. When all account actions have been finalized, open AUR cases will need to be referred back to AUR. Information regarding the determination must be communicated to the AUR function via the AUR system. This will be accomplished via AUR Case Notes. In addition to the requirements in IRM 25.23.2.3.4, Required Case and History Notes, case notes should include: Exception: If the case is an employee URP document you will be unable to update the AUR system. Input a case note on CII "Unable to update AUR system for employee, referred to AUR ID Theft Liaison to update." Information regarding which Information Returns to delete, if any What follow up action is required (i.e., Continue Processing, or Case Closure) Caution: Provide AUR with general guidance on how to process the IDT issue. AUR's instructions are subject to change; therefore, avoid using specific AUR directions, such as which process code to use. Note: Whenever possible, use the standardized case notes on the AUR system to aid communication between AUR and IDTVA. Edit them to add information as needed. A list of the standardized case notes available to be used by IDTVA can be found in Exhibit 25.23.10-1, AUR Standardized Case Notes for IDTVA (AUR Open Cases Only). After all case actions have been completed, return the case to a designated individual who will notify AUR of the closure. Do not return AUR Recon cases to AUR. If during the processing of the case, AUR updated the open AUR tax year with a closure process code (i.e.; PC 17 or 26), do not send the case back to AUR. For cases closed PC 17 or 26 follow the table below: If Then 1) NOIDT determination Follow the instructions in IRM 25.23.4.10.9, No Identity Theft (NOIDT) Determinations. Inform the taxpayer that no additional assessment has been made based on the previous CP 2000, to the tax year in question. If there is still UR income that belongs to the valid TP that is not included on the original return, inform the TP that if there is income you earned that was not reported on your original return, you may file a Form 1040X, Amended U.S. Individual Income Tax Return. 2) IDT determination Input the appropriate IDT indicator, TC 971 AC 5XX. Adjust the account or input a TC 290 .00 with RC 139 as appropriate. Inform the taxpayer that no additional assessment has been made based on the previous CP 2000, to the tax year in question. If there is still UR income that belongs to the valid TP that is not included on the original return, inform the TP that if there is income you earned that was not reported on your original return, you may file a Form 1040X, Amended U.S. Individual Income Tax Return.

IDTVA Specialties AUR Functional Liaison Responsibilities

25.23.10.6.3.4 (10-01-2019) IDTVA Specialties AUR Functional Liaison Responsibilities Guidance for the roles and responsibilities of an IDTVA Functional liaison can be found in IRM 25.23.2.15, Identity Theft Liaison Responsibilities, and IRM 25.23.2.15.1, Functional Responsibilities in Receipt of Global Review (GRVW) Referrals In addition, an IDTVA AUR functional liaison is responsible for: Releasing IDTVA cases, both Open and Recon, to other functional areas when requested. Coordinating actions when there are open AUR cases in more than one Campus. Communicating with the AUR IDT Coordinator regarding any necessary case information or actions. This includes contacting them regarding the input of a PC "SI" , when required on AUR open cases. Contacting the AUR IDT Liaison to request up to an additional 40 days to complete the IDT Review on AUR open cases. Facilitating the transfer of cases between IDTVA and AUR. After tax examiners have completed all case actions, open cases will be given to a designated individual who will notify the appropriate AUR site of the closure. For open cases, notification will be in the form of a Form 3210, Document Transmittal listing all SSNs and tax year(s) that are being returned. Return the Form 3210 to the appropriate AUR IDT Coordinator. See AUR IDT Coordinators for a list of the AUR IDT Coordinators by site.

IDTVA Specialties Exam Identity Theft Case Processing

25.23.10.6.4 (03-17-2025) IDTVA Specialties Exam Identity Theft Case Processing This IRM provides specific guidance for IDTVA specialty cases involving identity theft and Examination (both Campus and Field) or Tax Equity and Fiscal Responsibility Act (TEFRA) issues. Guidance dealing with Compliance Exam issues can be found in IRM 4, Examining Process, IRM 4.19, Liability Determination, and IRM 4.31, Pass-through Entity Handbook. IDTVA Specialty Exam will be responsible for reviewing identity theft claims for most accounts open in Exam (-L freeze present on the account) or previously worked in Exam (TC 300 present on the account). IDT allegations received on TEFRA cases will be processed at the IDTVA-Exam Brookhaven site. All TEFRA cases will remain open on AIMS while referred to IDTVA for the IDT determination and account resolution. TEFRA cases are open in PBCs 295 and 398, and EGCs 54XX and 58XX. TEFRA cases will be worked as priority. Any reference to Exam cases in these procedures includes TEFRA program cases. IDT allegations received on SBSE and TS Campus Exam cases will be closed on AIMS prior to routing to IDTVA. The TS cases will be closed on AIMS as a disposal code 12 with no assessment. The SBSE cases will be closed on AIMS as a disposal code 37 with no assessment. IDT cases with Exam involvement may be referred directly from AM without Exam aware there is an IDT allegation. Cases received directly from AM or through CII where AIMS is open will require contact with Exam to request the AIMS closure. Exception: If a case will be worked within five (5) days of assignment, do not request AIMS to be closed. Contact Exam when a final determination is made. IDT cases received in the following Exam campuses will refer any IDT claims meeting the criteria outlined below to the Brookhaven IDTVA-Exam team. All other campuses will refer IDT claims to the co-located IDTVA teams: Cincinnati Memphis Ogden Philadelphia New receipts will be referred from Identity Protection Specialized Unit (IPSU), AM or any other function and assigned directly to IDTVA-Exam on CII rather than routing through the Exam function. If a referral is received for an open AIMS (-L freeze on master file) Exam case, IDTVA-Exam will contact the Exam functional coordinator as appropriate and attach the sent email to the CII record. Review the CCA 4243 or HQ -L freeze listing weekly to verify all open AIMS accounts are addressed. TS Exam case (PBC 190-194) - Send an email to the AIMS coordinator found on the Servicewide Electronic Research Program (SERP) Who/Where tab at Exam Employee Group Code (EGC) Contacts. with the SSN and tax year(s) to request AIMS be closed. SBSE Exam case (PBC 295-299) - Send an email to the appropriate SBSE Campus Identity Theft (IDT) and Return Preparer Misconduct (RPM) POC with the SSN and tax year(s) to request AIMS be closed. Field Exam reconsideration cases where a taxpayer alleges IDT will be centralized in the IDTVA-Exam Brookhaven (BSC) team. (PBC 1XX & 2XX) please note this excludes the campus PBC's in (4)(a)(b). Cases worked in IDTVA-Exam will be granted appeal rights for the Exam issues only by the Exam function as outlined in IRM 4.19.13.16, Transfer to Area Office. Example: 1. If a dependent tin is on both the invalid and valid returns and was disallowed on the invalid it would remain disallowed on the valid and you would grant appeal rights for the dependent. Example: 2. If the exact same deductions on a schedule was disallowed on both Invalid and Valid returns it would remain disallowed on the Valid return.

IDTVA Specialties Exam Initial Handling Procedures

25.23.10.6.4.1 (06-05-2025) IDTVA Specialties Exam Initial Handling Procedures The instructions in this section should be used in conjunction with the instructions in IRM 25.23.4.3.4, IDTVA Specialties - Case Referrals from Compliance Functions and IRM 25.23.10.2, Case Batching. Identity theft correspondence received in Campus Examination will be referred to IDTVA-Exam by the Exam IDT Coordinator. For TS campuses, the referrals will be sent to the co-located IDTVA-Exam team. For SBSE campuses, the referrals will be sent to the Brookhaven IDTVA-Exam team. Upon receipt of potential IDT correspondence, IDTVA-Exam will verify that appropriate claim documentation was received. If cases are referred by Exam to IDTVA-Exam not fitting the criteria listed in IRM 25.23.4.3.4, IDTVA Specialties - Case Referrals from Compliance Functions, IDTVA-Exam will return the case to the referring Exam site. A listing of functional coordinators may be found on the Servicewide Electronic Research Program (SERP) Who/Where tab at SBSE Campus Identity Theft (IDT) or Return Preparer Misconduct (RPM) POC or AIMS Coordinator for the TS campus Exam AIMS coordinator. Choose the Campus Contact for the originating campus based on PBC, then choose the AIMS coordinator. It is important to review CC AMDISA, ENMOD/IMFOLE, and IMFOLT/TXMODA to determine if there was prior IDT resolution and the examination was reopened post-IDT resolution. When found, a designated individual to make a determination of duplicate identity theft claims. Duplicate claims will be closed following procedures in IRM 25.23.4.10.13, Identity Theft (IDT) - Previous Action. Indicators of previous action are: AMDISA tracking code 990 and/or ARC 14 ENMOD/IMFOLE TC 971 AC 501/506 closing or TC 972 AC 522 reversal IMFOLT/TXMODA TC 290 adjustment with reason code 139 CII record with duplicate IDT claim documents and CII notes determination For any cases rejected or returned to Exam, prepare Form 3210, Document Transmittal, listing all social security numbers (SSN) and tax year(s) that are being returned. Return any cases and the Form 3210 to the appropriate functional coordinators as indicated in (4) above. The full SSN will be input on the Form 3210 provided to Exam. The Form 3210 may be emailed to the Exam contact. Note: For CII cases - indicate on Form 3210 next to the SSN that the case information and documents are available on CII/AMS. All correspondence received must be controlled on CII. Refer to IRM 25.23.10.2, Case Batching, for instructions to ensure correspondence is properly controlled. Attach any Form 3210 or secure email sent to Exam to the CII record or to documents sent for ICT batching. If multiple year or multiple function referrals include open AUR issues, research the AMS AUR History from the alerts section to ensure that a PC "SI" was input. If the last PC code entered on the AUR system is not PC "SI" , notify the appropriate AUR IDTVA coordinator to have the process code input. See IRM 25.23.10.6.3.2.1, IDTVA Specialties AUR Technical Research and Initial Handling Procedures, for additional AUR initial action requirements.

Technical Procedures for IDTVA Specialties Exam Cases

25.23.10.6.4.2 (10-01-2023) Technical Procedures for IDTVA Specialties Exam Cases This section provides specific guidance to IDTVA-Exam examiners who work IDT cases with Exam involvement.

IDTVA Specialties Exam Technical Research and Initial Handling Procedures

25.23.10.6.4.2.1 (03-17-2025) IDTVA Specialties Exam Technical Research and Initial Handling Procedures All Exam IDT cases require a control base to be opened on all tax year accounts (modules) impacted by identity theft. See IRM 25.23.4.3.1, CII and IDRS Case Controls for additional information. Exam IDT modules should be opened with a Category Code IDI1, including additional impacted years that do not contain an Exam issue, any spouses and dependents found while completing CCA. IDT cases will have the activity code updated when specific case actions occur. Suspense dates will be indicated using Julian date format. Refer to IRM 25.23.4-11, IDRS Activity Codes and Definitions, for recommended activity codes. Refer to IRM 25.23.2.4.4, Initial Allegation or Suspicion of Tax-Related Identity Theft - IMF Identity Theft Indicators, to determine if a TC 971 AC 522 is required to be input. It is critical that the taxpayer is not harmed by the Service's actions once it has been determined that the taxpayer is a victim of IDT. To ensure that the taxpayer is not being harmed from a collection action or cases with potential balance due issues, ensure the appropriate action(s) are taken to prevent balance due notices, tax offsets, and/or enforcement actions, see IRM 25.23.4.6(3) Research, Actions and Complete Case Analysis - Overview for further instructions on suspending enforcement actions. Reminder: Copies of the Form 14394/13794 must be included with the package sent to ICT and scanned to CII or attached to the CII record. If after making a determination, the case will be suspended awaiting other case actions or will not be closed within five (5) business days, a Letter 5073C will be issued to acknowledge receipt of the taxpayer's claim. All statute year receipts will be reviewed for potential statute issues. See IRM 25.23.2.5, Statute Protection. If multiple year or multiple function referrals include open AUR issues, research the AMS AUR History from the alerts section to ensure that a PC "SI" was input. If the last PC code entered on the AUR system is not PC "SI" , notify the appropriate AUR IDTVA Coordinator to have the process code input. If no access to the AUR system, contact the appropriate AUR IDTVA coordinator for assistance. See IRM 25.23.10.6.3.2.1, IDTVA Specialties AUR Technical and Initial Handling Procedures, for additional initial action requirements. At any time during the account review, if there is evidence the taxpayer has a filing requirement but has not filed a return, solicit and encourage the taxpayer for a signed return. This applies to any years reviewed and impacted by the IDT incident. Follow guidance in IRM 25.23.4.17, Determining Tax Liability/Form 2209 Instructions is used to determine if the TP has a tax liability. Form 2209, Courtesy Investigation, will be completed at case closure if no return has been submitted per IRM 25.23.4.17, Determining Tax Liability/Form 2209 Instructions. Reminder: Do not solicit for returns for tax years older than 6 years. Field Exam will work all cases where IRS employee(s) allege IDT and the tax year(s) are currently open or closed in Exam. Return or forward any IDT claims to the site where the audit is in process or was completed. If the exam issue is open in the Field, forward any documents directly to the Field Exam liaison. If the exam issue is closed, refer the claim to the co-located Exam function for referral to Field Exam per IRM 4.19.11.3.2., Employee Returns. When ICT is unable to determine the correct TIN, the CII case is assigned to all zeros. If: A TIN cannot be located using all available resources and there is sufficient mailing information on the complaint, issue Letter 5064C to the taxpayer requesting the taxpayer's TIN and any other required IDT documentation. No Response is received, issue a Letter 4674C to advise the taxpayer no action can be taken since we have no record of a response being received and close the case no action. Correspondence cannot be issued, leave a CII case note stating insufficient information to issue correspondence and close the case no action. See IRM 25.23.4.6.1, Required Research, for additional information.

IDTVA Specialties Exam Technical – IDT Claim Consideration

25.23.10.6.4.2.2 (10-01-2025) IDTVA Specialties Exam Technical – IDT Claim Consideration Do not assume that the taxpayer filing the IDT claim is the true owner of the TIN. The examiner who reviews the case must consider all information received and available through research to determine the legitimate taxpayer and resolve the case thoroughly and accurately. Use all available research tools to determine the validity of the IDT claim. Note: Examiners are not trained handwriting experts. Do not base your determination solely on the comparison of handwriting and signatures on documents. Perform research to determine the impact of the IDT on all tax years. See IRM 25.23.4.6.4, Complete Case Analysis. Creation of CII cases for additional impacted years identified through complete case analysis (CCA) will use the date on the 14039 as the IRS received date. When working multi-functional or multiple tax years that include other compliance involvement, follow guidance in, IRM 25.23.10.4.1, Identity Theft Cases with AUR Involvement, IRM 25.23.10.4.2, Identity Theft Cases with ASFR Involvement, and IRM 25.23.10.4.2.1, Refund Hold Program. Telephone contact with the taxpayer or representative may be attempted whenever possible. When telephone contact with the taxpayer, document the pertinent information in a CII case note for each contact attempted or completed, including the date and time. For example, if the taxpayer clarifies what was stated in the documentation or confirms the receipt of a refund, this should be included in the case notes. During any telephone contact, verify the taxpayer's phone number on IDRS for all account related calls in which disclosure verification has occurred. Add or update phone numbers on IDRS and specify the type of number, (i.e., home, cell, etc). If contact information is provided on correspondence and it is determined to be from the valid TIN owner, add or update the phone number(s) on IDRS. Include any revised or new phone numbers(s) in CII notes. If IDRS is currently unavailable, perform follow-up action when the system is available. IRM 25.23.4.18.2, Requests for Additional Information (Telephone and/or Written) and IRM 25.23.4.18.2.1, Telephone Contact Guidelines (Associated with the Letter 5064C Common Number Questionnaire). While resolving accounts, especially compliance-related accounts, other unique circumstances may affect the account resolution. Appeals - IRM 25.23.10.4.7 , Request for Appeals, provides guidance on contacting and referring IDT claims for Appeals consideration. There are no appeal rights for IDT claims, but taxpayers may request review of non-IDT determinations. This type of reconsideration would be reviewed by the manager. Bankruptcy - IRM 25.23.10.4.4 , Bankruptcy, provides guidance on researching, contacting, and referring IDT claims to bankruptcy. The IDT claim and resolution may impact the bankruptcy claim –filed on behalf of the IRS. If AIMS is open in campus Exam and has bankruptcy indicators, we will not request the AIMS closure. Contact the Campus Exam bankruptcy coordinator, found on the Area and Campus Program Contacts under Employee Group Code Listing (EGC) Contacts for the site to coordinate the IDT claim referral and resolution. Be very aware that bankruptcy court cases affect the account statute and should be closely monitored. Frivolous Return Program (FRP) - IRM 25.23.4-5, IDTVA Routing Matrix, provides guidance on referring only the tax year with FRP indicators. Innocent Spouse - IRM 25.23.10.4.5, Innocent Spouse, provides guidance on identifying and referring IDT claims with Innocent Spouse claims. Offer in Compromise (OIC) – If the taxpayer has an accepted claim of OIC and there is a posted TC 780 the account cannot be adjusted, even if there is a valid claim of ID Theft. IRM 25.23.10.4.6, Offer In Compromise. For closed Exam accounts with assessments we must be careful to not reverse the Exam TC 300 until we determine the validity and impact of the IDT claim. If the taxpayer claims IDT on the TC 150 return but their unprocessed/secured return claims the same dependents, exemptions, adjustments to income, Schedule A items, or credits, they will not be allowed when resolving the account. IDT does not make determinations on Exam issues. Exam will be notified of the IDT claim and issues for reconsideration after the IDT account resolution. Questionable Refund Program (QRP) and other Exam programs often lend themselves to false claims of identity theft to avoid re-payment of refundable credits. It is imperative that each IDT claim is researched and reviewed to determine the validity of the claim. It is necessary to review the AIMS project code definition using the Exam Project Code Search tool found on the SERP IRM Supplement tab in addition to IDRS research and viewing CEAS notes. Non-filer or Substitute for Return may identify income related identity theft issues. It is important to review all payer documents on CC: IRPTRL, the taxpayer filing history and address to determine the correct income for the SSN owner. In addition to determining income ownership, the following factors may need consideration: MFT 32 – the taxpayer's valid return may be posted to an MFT 32 account. IRM 25.23.2.7.2.2, MFT 32 - Overview, IRM 25.23.4.15, MFT 32 Cases – Moved in Error, and IRM 25.25.6.7, MFT 32 Procedures, provide guidance on identifying and adjusting accounts when the valid return was moved to an MFT 32 account in error. Tax Related IDT or Non-Tax Related IDT - Refer to IRM 25.23.4.10, Resolving Identity Theft (IDT) Cases, for scenario specific procedures. Income Related IDT - Follow IRM 25.23.13, Income Related Identity Theft. Complete Form 9409 - Follow IRM 25.23.13.3.1, Form 9409 Procedures - IRS/SSA Wages Worksheet, to notify Social Security Administration of changes to taxpayer income. Non-Compliance - For any year the taxpayer has not filed a tax return, use the Compliance Suite IAT tool to determine filing requirements. Follow guidance in IRM 25.23.4.17, Determining Tax Liability/Form 2209 Instructions, to determine the tax liability. This applies to any years reviewed and impacted by the IDT incident. Encourage the taxpayer to submit a signed return when requesting additional information or at closure. Form 2209, Courtesy Investigation, will be completed at case closure if no return has been submitted per IRM 25.23.4.17, Determining Tax Liability/Form 2209 Instructions. If an unprocessed or secured returns are received with the claim follow IRM 25.23.4.6.5.2, Unprocessed Documents. A TRDBV or MeF return can be substituted for the original paper return. If resolving IDT for the current and two immediately preceding tax years input TC 971 AC 850 when the IDT return requested a Direct Deposit.

IDTVA Specialties Exam Case Closure

25.23.10.6.4.2.3 (03-17-2025) IDTVA Specialties Exam Case Closure In addition to the procedures outlined in this section, tax examiners are also responsible for any closing actions that may be contained in IRM 25.23.2, Identity Protection and Victim Assistance - General Case Processing, and IRM 25.23.4, IDTVA Paper Process, and IRM 25.23.13, Income Related Identity Theft. These IRMs contain guidance on information such as: (this list is not all inclusive) IRM 25.23.2.3.4, Required Case and History Notes IRM 25.23.2.6, Closing Identity Theft Issues IRM 25.23.4.10, Resolving Identity Theft (IDT) Cases IRM 25.23.4-21, Input, Annotations and Action Requirements for Streamline/Non-Streamline Case Processing IRM 25.23.13.3, Closing Income Related Identity Theft Accounts IRM 25.23.13.3.1, Form 9409 Procedures - IRS/SSA Wage Worksheet IRM 25.23.4.12.3, Collection Activity - Resume Collection Actions If the taxpayer asked specific questions about the IDT claim, the examination, or other issues that will not be answered by the CP01, Letter 4674C is required to fully respond to the taxpayer. Do not include Pub 5 with the Letter 4674C or any letters issued on identity theft claims. If the return filed by the taxpayer contains the same issues included in the examination adjustment, do not reverse the TC 300 as part of the nullification process. The TC 150 will be nullified, and if necessary, the TC 300 adjusted based on the valid return. A referral will be sent to Exam if the taxpayer provided new information for reconsideration. Hold Code (HC) 4 will be input with any adjustment when there is a need to freeze or continue to freeze any credits and not release a refund on the account. This will be required when referring cases back to Exam to continue the examination. HC 3 will be input on any account adjustment not requiring the refundable credits held. If a recertification indicator posted on the account, determine whether the recertification indicators originated from the IDT tax year(s) and whether they need to be reversed. Recertification indicators are found on CC ENMOD and IMFOLE. Refer to IRM 4.19.14.7, Recertification, for additional guidance. If the IDT claim is allowed and the recertification issues were fully addressed by the taxpayer's valid return, reverse the indicator(s). The indicator reversal is still required if the taxpayer qualifies for the credits based on different dependents/exemptions than those originally disallowed. Do not reverse the recertification indicators if the taxpayer is claiming the same dependents/exemptions, credits, or adjustments disallowed in the examination. Exception: If unable to find, through research, the dependents/ exemptions TINs that were disallowed, then follow procedures for the indicator reversal. Earned Income Tax Credit (EITC) - input TC 971 AC 056. Child Tax Credit/Additional Child Tax Credit (CTC/ACTC) – input TC 971 AC 161. American Opportunity Credit (AOTC) – input TC 971 AC 160. The TC 971 AC 5XX closing indicators are required on all resolved accounts. Input appropriate TC 501/506/504 ITVAC closing literals per IRM 25.23.2.6, Closing Identity Theft Issues. CII case notes will be used to clearly identify research completed, analysis of documentation, determination and action completed. Case documentation must include sufficient information to support the determination and information used to justify the determination. Refer to IRM 25.23.2.3.4, Required Case and History Notes, for additional requirements. Case notes should include any pertinent information from the Exam/AUR case information available from AIMS, CEAS, and/or AUR. Refer to IRM 25.23.2.3.4, Required Case and History Notes. Note: Attaching the CEAS work papers and/or report is an option.

Returning Cases to Exam

25.23.10.6.4.3 (10-01-2020) Returning Cases to Exam Cases received from Exam where the case was closed as a DC 12/37 or AIMS is still open may be returned to Exam in the following situations: IDT allegation is deemed invalid; or IDT allegation is deemed valid and the valid return contains the same examination issues; or IDT allegation is income only and the TC 150 return is valid with original unresolved exam issues remaining, AND There is more than 12 months left on the statute (ASED). When returning cases to Exam, the case must be referred to the originating campus. Use the following BOD specific guidance for all IDT determinations: TS Exam case (PBC 190-194) - prepare and send Form 3210 to the Exam Contact List with the SSN and tax year and the determination. SBSE Exam case (PBC 295-299) - Send an email to the SBSE Identity Theft (IDT) and Return Preparer Misconduct (RPM) Campus POC. Include the SSN and tax year and the determination. Note: Attach a copy of the Form 3210 or email to the CII record. Ensure all documents received are available to view on CII. Any documents added to CII as attachments cannot be viewed through AMS. If there are documents that will assist Exam in the resolution of their case, they will need to be sent to ICT for CII association. Documents included with the IDT claim that meet reconsideration criteria must be forwarded to Exam using the procedures above.

Field Exam Reconsiderations

25.23.10.6.4.4 (03-17-2025) Field Exam Reconsiderations Any Field Exam reconsiderations where the taxpayer is alleging IDT will be routed to the IDTVA-Exam Brookhaven team for a determination and worked on CII. Field Exam reconsiderations are cases that were worked in PBC 201-207. Cases worked in PBC 315 /330 are Large Business and International (LB&I) cases. Any LB&I cases are referred through CII directly to the LB&I Reconsideration team located at: 2970 Market Street Philadelphia, PA 19106 Mail Stop 4-E08.200 Cases may be received from Exam Centralized Reconsideration Unit or directly from AM through CII. Documents can be found on CEAS - Field, CEAS - NRP and attached to the case. Field reconsideration IDT allegations will follow normal IDT procedures, including issuing an acknowledgment letter, requesting additional information, adjusting accounts, if applicable.

Field Exam Reconsideration Evaluations

25.23.10.6.4.4.1 (03-17-2025) Field Exam Reconsideration Evaluations Follow all normal IDT research paths IRM 25.23.4.6, Research, Actions and Complete Case Analysis - Overview to determine whether the taxpayer is a victim of IDT. Field Exam CEAS documents must be reviewed to determine whether the IDT allegation was addressed during the original audit. It may be necessary to request the closed Exam administrative file. Once reviewed, determine whether the case should be retained or returned to the appropriate Field Exam. Cases that were no shows/no response in the Field Exam will be retained and worked in the campus. Cases will be transferred back to the Field Exam if: It cannot be determined if IDT was considered during the original audit from the work papers/case notes, The issue is outside the scope of the examiner such as NRP cases, or The taxpayer along with IDT theft claim has sent in documentation to prove the audit issues. In cases where the IDT issues was resolved, do not return the case to the Field Exam. Follow normal procedures to resolve the taxpayer's correspondence. In cases where there is taxpayer contact and the IDT was addressed but the account was not corrected properly, (i.e., the refund issued due to the identity theft return was not moved to the GL 1545 account), do not return to the Field Exam, resolve the account. Document CII with the reason the case is/is not being transferred back to the Field Exam (i.e., CEAS notes input by the Field Exam indicate the revenue agent (RA) or tax compliance officer (TCO) had contact with the taxpayer or the taxpayer submitted documentation during the audit).

Returning Cases to the Field Exam

25.23.10.6.4.4.2 (03-17-2025) Returning Cases to the Field Exam Cases open with Field Exam PBC that meet the criteria in IRM 25.23.4-5, IDTVA Routing Matrix will be returned to Field exam. When it is determined a case will be referred to the Field Exam due to an IDT allegation, the following information must be included as part of the case file: Form 3210 completed with the name and address of the appropriate Field Exam IDT Coordinator found on SERP>WHO/WHERE Exam Contacts - AIMS/ERCS Contacts - Area and Campus Program Contacts. Include the taxpayer's full SSN, tax year(s), and the reason for the referral. Form 14039, Identity Theft Affidavit, or police report, and all other documents submitted by the taxpayer.

Post Function DITA Procedures

25.23.10.6.5 (10-01-2023) Post Function DITA Procedures Cases will be assigned to DITA on CII by the referring function. Field cases will be scanned in accordance with IRM 25.23.10.2, Case Batching. Field and Specialty Collection will not control cases on IDRS or refer through CII. RPM claims received from the field will be scanned to CII with document type DITA RPM and category code IDII. For field BMF incoming referrals, follow IRM 25.23.2.4.3, Tracking Individual Taxpayers Reporting to be Victims of Business-Related Identity Theft. New referrals received in DITA must be screened to determine if the collection activity has been addressed by the referring function for all referred years. Verify TC 470 was input, if required. Determine if the taxpayer is being impacted by enforcement activity. See IRM 25.23.4.12, Collection Activity - Form 14394/13794, for screening criteria. If the referring function did not address the collection activity for all referred years, return the case by updating the case data to reflect the information of the referring function and reassigning it back to the referring employee number. Leave a case note such as collection activity not addressed or similar verbiage. Note: Any collection activity forms that are sent to ACSS by the referring function should be available for viewing on the CII System. Exception: If the case was referred by ACS Support the Form 14394, Identity Theft/RPM Case Collection Alert should not be completed. DITA employees generally will not have direct contact with taxpayers. Requests for additional information and call backs to provide the taxpayer with the status of their case are to be completed by the referring employee. Requests for this type of contact must be sent via secure email to the referring employee within 2 business days of determining taxpayer contact is needed. The recipient's manager must be copied on the email. The recipient has 5 business days to meet all contact requirements. DITA examiners are responsible for ensuring interim letters are issued, as required. Refer to IRM 25.23.4.18.1, General IDTVA Letter Procedures, for specific instructions. DITA examiners are responsible for verifying the requested actions are appropriate and completing the corrective adjustments to remove transactions/assessments related to the identity theft incident from impacted accounts. The referring functions are responsible for making the ID theft determination prior to referring the adjustment request. DITA will generally not review the determinations made by the referring function for accuracy. Claims are worked in accordance with multiple IRMs, depending on the facts and circumstances of the case. References include but are not limited to: IRM 25.23.2, Identity Protection and Victim Assistance - General Case Processing IRM 25.23.3, IMF Non-Tax-Related IDT and Specialized Programs IRM 25.23.4, IDTVA Paper Process IRM 25.23.13, Income Related Identity Theft IRM 21.4, Refund Inquiries IRM 21.5, Account Resolution Cases referred to DITA in error (i.e., not requiring non-streamline resolution for at least one impacted year) will be returned to the originating employee. Add a case note indicating the reason the referral is being returned. DITA employees may identify the ID theft referral was incomplete. DITA will contact the referring operation and request that the missing information be provided or corrected. If DITA is unable to obtain the necessary information, then the referral will be rejected through CII back to the referring employee number. The DITA liaison will document the request for information in a CII Case Note. Rejected Field referrals will be faxed back to the originator with the reject reason clearly identified on the referral document. If a fax number is not available, contact the originator via telephone or email to obtain a fax number. – DITA will only resolve identity theft cases. Any case determined to be a mixed entity or scrambled SSN will be reassigned using the IDTVA Specialty CII Reassignment Guide for Non-IDT Cases after resolution of the modules impacted by identity theft. Document your determination and research, including the other TIN identified for mixed entity cases, in a CII case note. On cases that are statute imminent the referring operation will update the priority code to "7" . Assign the case to an employee and ensure these cases are worked as priority inventory. DITA will be responsible for completing all actions up to the manual interest computation and completing the subsequent required actions. When manual interest computation is necessary, refer to the IDTVA Restricted Interest Desk Guide available on the IDTVA HUB. Field & Specialty referrals will be received in DITA. DITA is responsible for inputting all IDT indicators for Field & Specialty Collection referrals. The IDT indicators must be input within two (2) days of receiving the Form 4844, Request for Terminal Action. DITA is not restricted from addressing accounts with Exam and/or AUR involvement. If Form 4442 has a notation that EITC Recertification is needed, follow the instructions in IRM 25.23.4.6.2, IDTVA - Additional Research and Required Actions. OARs received from the functions are worked as a priority by the DITA team. In certain instances, a request to expedite a case may be received. Additional Compliance work can continue after DITA removes the bad information from the account. In addition to the priorities in IRM 25.23.4.3.5, Priority Codes for IDTVA Specialty Functions CII Cases, the following must be worked as priority: The Revenue Agent/Officer notates "Expedite" at the top of the Form 4442, Inquiry Referral or Form 3870, Request for Adjustment. Open TEFRA cases Open L freeze cases Open AUR cases Counsel Cases After all account actions have been taken, input the appropriate TC 971 AC 501 or AC 506. See IRM 25.23.2.6.1, Closing Taxpayer Initiated Identity Theft Affecting Tax Administration - TC 971 AC 501, or IRM 25.23.2.6.3, Closing IRS Determined Identity Theft Affecting Tax Administration - TC 971 AC 506, for additional information. The DITA employee will also document the case actions taken on CII and close the CII case. Note: When a TC 971 AC 501 or AC 506 is input, DITA will use the BOD and Program Name of the referring function in the MISC section. See IRM 25.23.2-2, IMF Only TC 971 AC 501 — Taxpayer Initiated Identity Theft Case Closure (Tax-Related) - TC 971 AC 501, for more information. Example: If DITA received the referral from IDTVA - AUR and the taxpayer did not have a filing requirement, then "ITVAC AUR NOFR" would be entered into the MISC field. Exception: DITA will not close the CII Case if the referring employee has requested it to be returned. Upon closing all field Exam cases, DITA is required to inform the referring field examiner of the case closure via email or fax. See IRM 25.23.10.6.6, Field Exam IDT Account Resolution Referrals, for additional information

Processing TC 150 Returns to an IRSN

25.23.10.6.5.1 (10-01-2023) Processing TC 150 Returns to an IRSN For cases that do not meet streamline criteria, the invalid taxpayer's information must be moved to an IRSN to make the SSN owner "whole" unless the account can be corrected using the procedures in IRM 25.23.4.11, Non-Streamline - Determining When Specific Year Account Information Must Be Moved. Exception: If it is determined "No Move" procedures are appropriate after following procedures in IRM 25.23.4.11, Non-Streamline - Determining When Specific Year Account Information Must Be Moved, an IRSN will be assigned, but the invalid return information will not be moved to the IRSN module An IRSN is a temporary number issued by the IRS and is always on the invalid side of Master File. It is in 9NN-NN-NNNN* format, with the 4th and 5th digit ranges of 01-03, 04-10, 17-19, 28, 29, 37-39, 49, 66 and 89. See IRM 3.13.5.23, Internal Revenue Service Number (IRSN) Format, for more information regarding the 4th and 5th digit ranges. IDRS CC TMSSN automates the process of assigning an IRSN when another valid TIN cannot be located for a taxpayer who files a verifiable return using another person's SSN. The invalid taxpayer's entity information is entered in TMSSN; this assigns an IRSN to the invalid taxpayer. See Exhibit 2.4.59-1, IMF Input Format for CC TMSSNI. Document the IRSN in a CII note. Once you exit the TMSSNI screen, the IRSN number can't be retrieved. For all non-streamline cases, refer to IRM 25.23.4.7, Non-Streamline Identity Theft (IDT) Case Processing. If the ASED has expired or is within 180 days of expiring, also refer to IRM 25.23.4.9, Statute Processing Considerations, and its subsections.

Field Exam IDT Account Resolution Referrals

25.23.10.6.6 (03-17-2025) Field Exam IDT Account Resolution Referrals SB/SE Field Exam and LB&I will route referrals requesting IDT account resolution action for IMF taxpayers to the Brookhaven (BSC) Specialty-Exam team. This process will be referred to as Brookhaven Identity Theft Exam Referral (BITER). Note: Field Collection cases must have Exam involvement to be worked by BITER. For Field Collection cases that need to be referred to DITA, see IRM 25.23.10.5 Post Function Procedures. SB/SE Field Exam referrals will be worked as a priority before IDI1 inventory except for priority code 1 (TAS) and priority code 2 (statute) inventory, or as otherwise directed by management. SB/SE Field Exam will make the requests using Form 4442. The Location box will be notated "Field Exam" with PBC. The Form 4442 will include instructions for the account resolution (including treatment of all credits such as payments, credit elects, etc.) and include necessary documents, such as Form 14039, taxpayer letters, unprocessed returns, etc. The Form 4442 referrals will be emailed/EE-faxed to *SBSE CCS BSC EXAM IDT. BSC Specialty-Exam will review the email box daily. New referrals will be screened. Screening will include: Reviewing the Form 4442/3870 instructions, Reviewing the specific IDRS modules for freeze code conditions, IVO indicators, etc. Suspending collection activity, Form 14394. If no Form 14394, see (9) below. Review for Form 872 and the ASED updated from the request, if applicable. Return any referrals not accepted by email, to the originator, detailing issues with the referral. If the referral is complete and accepted, create CII record(s) and email a receipt acknowledgment with the CII number(s) within 3 business day of receipt. Include the following information when creating the CII record: Category Code IDI6 Priority Code 3 Document Type Field Exam IDT and Program Code 710-40262 Forward accepted referrals to ICT to be batched. Complete the CII Association Sheet with all the required information. All documents sent with the referral will be included for scanning to the CII record. An acknowledgement Letter 5073C is not required. Complete necessary collection action per IRM 25.23.4.12, Collection Activity - Form 14394/13794. Complete the required account resolution per normal IDT procedures in IRM 25.23.2, Identity Protection and Victim Assistance - General Case Processing, IRM 25.23.4, IDTVA Paper Process, IRM 25.23.10, Compliance Identity Theft Case Processing, IRM 25.23.13, Income Related Identity Theft, and related IRMs. When referrals are required to complete specific account resolution, BITER will complete the referral and suspend the case until the action is completed. The following actions may require referral. This list is not all inclusive: MFT 32 moved in error Exception: There are instances that Field Exam will send MFT 32 cases to RIVO not BITER, see IRM 25.25.6.2.3, Exam/Collection/Compliance Office Employees - Procedures for Cases with Taxpayer Protection Program (TPP) Involvement, for more information. IRSN required Mixed Entity/Scrambled SSN TOP Offset Unnumbered/Unprocessed return Restricted Interest Quick and prompt assessment requests, if statute imminent Do not review the CEAS case and determination made by the Field Exam employee for accuracy. If there are account indicators that contradict the action requested, the BITER Manager will contact the originator by email and copy the ITVA headquarters analyst. Complete case analysis is required for the account resolution, see IRM 25.23.4.6.4 for more information. Before adjusting any years other than specified on the referral contact the originator by email with the analysis. Adjusting other years may impact the overall audit plan. Recertification reversal of Earned Income Tax Credit (EITC) and Child Tax Credit/Additional Child Tax Credit (CTC/ACTC) with TC 971 AC 056 and 161 are required actions. When adjusting a return and all information was not provided such forms, schedules, etc.; email the originator for missing information. If unable to secure the needed information continue normal processing, such as setting a math error, etc. Including issuing a Letter 474C. Note: Follow up with the originator after 45 days, if the missing information has not been received. Do not suspend the case more than twice. Note: If following barred assessment procedures, send the appropriate letter 105C/106C. Input appropriate TC 501/506 SBSE FLDEXAM or LBI LBI XXXX closing literals per IRM 25.23.2.6, Closing Identity Theft Issues. Note: Cases identified through CCA, use category code IDI6 and closing literals SBSE FLDEXAM or LBI LBI. Do not issue a closing letter, unless specified in (16) above or tax years found through CCA. Field Exam will notify the taxpayer of the outcome of their claim. Respond to Field Exam by completing Section C of Form 4442 with all actions taken and the actions needed to be taken by Field Exam, including advising the taxpayer that the identity theft found on the account has been resolved. Provide any IRM required IDT special paragraphs (e.g., unemployment, etc). Close the CII record and provide the originator the TXMODA pdf with the pending adjustment when all actions are completed.

AUR Standardized Case Notes for IDTVA (AUR Open Cases Only)

Exhibit 25.23.10-1 AUR Standardized Case Notes for IDTVA (AUR Open Cases Only) 20 - IDTVA - Close case no change. 21 - IDTVA - Delete IR(s) (Fill in IR #(s)). Continue processing. 22 - IDTVA - Case was determined not to be IDT. Continue processing. 25 - IDTVA - Letter was issued to the taxpayer requesting additional information. Follow-up date has expired with no response from the taxpayer. IDT claim will be closed, continue processing the case. 27 - IDTVA - Case was referred to EXAM. Close case no change.

Last amended: August 19, 2025

Source: official text

IRM 25.23.10 — Compliance Identity Theft Case Processing

# Part 25. Special Topics

# Program Scope and Objectives

# Background

# Authority

# Roles and Responsibilities

# Program Management and Review

# Program Controls

# Terms and Acronyms

# Related Resources

# Case Batching

# Discovered Remittance

# MFT 32 with Automated Substituted For Return (ASFR) or Exam SFR Assessment

# Identity Theft Cases with Multiple Specialty Function Involvement

# Identity Theft Cases with AUR Involvement

# Identity Theft Cases with ASFR Involvement

# Refund Hold Program

# Identity Theft Cases with Tax Delinquency Inquiries (TDI) Involvement

# Bankruptcy

# Bankruptcy with –V or –W Freeze (TC 520 CC 6X or TC 520 CC 8X)

# Bankruptcy with no –V or –W Freeze (TC 520 CC 6X or TC 520 CC 8X)

# Innocent Spouse

# Offer in Compromise (OIC)

# Requests for an Appeal

# Cases with -L or -W Freeze Codes

# Referrals to IRS Independent Office of Appeals (New Requests or Reconsideration for Appeals)

# Cases Received from Appeals With Previous Appeals Involvement

# Non-Docketed Cases Returned from Appeals

# Docketed Cases Received from Appeals

# Collection Due Process Cases Returned from Appeals

# Post Function Referral Procedures

# Compliance Case Processing

# IDTVA Specialties CSCO Identity Theft Case Processing

# IDTVA Specialties CSCO Initial Receipt Clerical Actions

# Automated Substitute for Return (ASFR) Case Processing

# Return Delinquency Identity Theft

# IDTVA Specialties ACSS Identity Theft Case Processing

# IDTVA Specialties ACSS Receipt Procedures

# IDTVA Specialties ACSS Initial Receipt Clerical Actions

# IDTVA Specialties ACSS Screener Procedures

# Form 3870 Received from Field Collection - IDTVA Specialties

# IDTVA Specialties ACSS Technical Research and Initial Handling Procedures

# Next Case Actions, Remaining Collection Issues

# Levies

# Active Levies

# Addressing Outstanding Levies

# Addressing ACS Paper Levies

# Addressing Outstanding Federal Payment Levy Program (FPLP) Levies

# Identity Theft and Disposition of Levy Proceeds

# Returning Levy Proceeds to ID Theft Victims (SSN Owner)

# Returning Proceeds from Wrongful Levy (Non-Owner)

# Follow-up Actions on ID Theft Accounts Involving Wrongful Levy

# Oscar "O" Inventory

# O0 Inventory – Managerial/ACSS CII Referrals

# O2 Inventory – IDTVA Specialties ACSS IDT Correspondence

# O3 Inventory - IDTVA Specialties BMF

# O4 Inventory – IDTVA Specialties ASFR Referrals

# O5 Inventory – IDTVA Specialties AUR Referrals

# O6 Inventory – Other Functional Referrals

# O7 Inventory – IDTVA Specialties Examination Referrals

# O8 Inventory – Referrals to Designated Identity Theft Adjustment (DITA)

# O9 Inventory - Referrals from ACS Compliance

# Expired O Inventories

# General Guidelines

# Processing Expired O2 Inventory

# Processing Expired O3-O7 & O9 Inventories

# Processing Identity Theft/Return Preparer Misconduct (RPM) Collection Alert Forms (Form 14394) - Notification of Balance Due IDT Case

# Processing Identity Theft/RPM Collection Alert Forms (Form 14394) – Actions Taken Balance Due Still Identified

# Back-End Process on Referrals Returned from Designated Identity Theft Adjustment (DITA)

# IDTVA Specialties AUR Identity Theft Case Processing

# IDTVA Specialties AUR IDTVA Clerical Procedures

# IDTVA Specialties AUR Technical Procedures

# IDTVA Specialties AUR Technical Research and Initial Handling Procedures

# Cases Screened in Error

# Document Requirements for Cases with AUR Involvement

# Income Related Identity Theft with AUR Involvement

# Identity Theft Involving an Invalid Return with AUR Involvement

# IDTVA Specialties AUR Closing Procedures

# IDTVA Specialties AUR Functional Liaison Responsibilities

# IDTVA Specialties Exam Identity Theft Case Processing