Reminder:
Internal Revenue Manual Part 3. Submission Processing · 2026-10-03 edition · updated 2026-10-04 · United States
MEPS systemically adjusts efficiency base points as follows:
All base points - Lowers to zero if less than six employees worked the OFP or if six or more employees did not meet the Low Hour Restriction.
Added base points - Lowers to the median rate if the median is lower than the set base point.
Raised base points - Lowers to the higher of the median or the calculated base point if the median is lower than the set base point; otherwise, the base point does not adjust.
The end of quarter report is a management tool to determine if additional efficiency base points should be lowered.
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