Note:

Proper use of Hold Codes is important during the adjustment process. (See IRM 3.14.2.7.6.3 , Hold Codes.) Proper use of the Local Control File (LCF) is important when a Hold Code or a TC 570 cannot be used to prevent another notice. See IRM 3.14.2.5.4.1 , NRP97 Input Information.

Consider how the adjustments made to the notice module will affect the notice elements when determining whether to print, void, retype, or label an original notice.

An adjustment notice, CP 210 or 220 will generate when:

A Doc Code 54 or 47 adjustment posts with no Hold Code or with a Hold Code 1

A payment is transferred into or out of a module and FTF, FTD, FTP (decrease only, TC 277) or ES Penalties will assess or recompute only a decrease (TC 277) will generate an adjustment notice

A payment is transferred out of a settled (Full Paid) credit balance module and creates a balance due (generates a CP 260)

If an account action will generate another notice, label the original notice. If the original notice must be voided or retyped, prevent the next notice:

Use Hold Code 3 with a CC REQ54 adjustment to prevent another notice. Use Hold Code 4 to prevent a notice and to prevent an overpayment from refunding.

Use a TC 570 on the debit side of a credit transfer to prevent a CP 260 from generating on a settled module.

Use CC REQ54 to input a TC 290 .00, Blocking Series 05,15 or 17 for Form 1041, Hold Code 3, to prevent an adjustment notice from generating on a penalty recomputation caused by a credit transfer. Time the adjustment to post in the same cycle as the credit transfer.