Caution:

Do not put a full paid (settled) module into balance due.

Credits located on another module match the missing credits or tax of the notice module, and the credits posted on the notice module match the tax or credits claimed on the other module.

Do not transfer the credits or reprocess the returns. Order the other return(s) and adjust the tax for both modules.

Missing credit has previously refunded from another module

Do not transfer the credit.

Missing credit is located on a full paid module (balance .00)

Do not transfer the credit. (Do not put a full paid module into balance due.)

Missing credit is located on a balance due module and the taxpayer has received a previous notice that included the credit

Do not transfer the credit.

The missing credit is located on a module with a Q- Freeze and credit is available for transfer.

Transfer the credit. Taxpayers often claim the Q- Freeze credit on a later module.

The missing credit is on a module with a Q- Freeze and is the amount of overpayment before any penalty and/or interest

Transfer the credit and allow CP 260 to generate for penalty and interest.

The missing credit is on a Q- Freeze but is not the total amount of overpayment (partial credit is needed to full pay tax on Q- Freeze module)

Transfer the available credit as a lump sum module balance (TC 820/700). Exception to IRM 3.14.2.6.1.5.2 (Lump Sum Credit Offset TC 826/706, 820/700): For this situation, use the date of the payment claimed as the credit availability date.