Large Dollar Review

Upon identification, all Balance Due Notices of $100,000.00 or more must be reviewed for accuracy.

An in-depth review of the entire account must be performed, because problems with other modules or TINs not directly related to the notice often surface at this time and must be expeditiously resolved to prevent future taxpayer and/or Accounts Receivable impact.

Refer the case to the work lead if a questionable situation is identified, and corrective action cannot be determined by the tax examiner.

When reviewing Form 1065 with partnership penalties review the prior year to see if the number of partners appears to be in error. Erroneous penalties may have been assessed because various other fields were picked up for the number of partners. If the penalty is in error, recompute and make the necessary adjustment, and retype the notice. For CP 162 instruction refer to IRM 3.14.2.6.10.

Form 706 is filed under the decedent’s Social Security Number (SSN). When researching IDRS, input a V behind the decedent’s SSN (i.e., 000-00-0000V). The MFT is 52 and the tax period consists of six zeros (000000). Although the return is filed under the decedent’s SSN, research via BMF CC such as BMFOL and BRTVU. Also, input a W behind the decedent’s SSN (i.e., 000-00-0000W) to research accounts on the invalid segment.

For Forms 706 and 709, use CC IMFOL to research the IMF SSN for possible misapplied payments.