4 - Erroneous AbatementThe timely filed TC 150 return for TY 2018 is determined to be a nullity. The valid taxpayer filed a return reporting tax of $.00 and withholding of $2,500 which posted as a TC 976. Form 14039 is included with the return. The ASED for the valid return is expired. Based on the original return, the account shows TC 150 tax of $5,000, and withholding of $6,000. A CP 2000 proposing a tax increase of $2,000 based on unreported income is issued to the valid taxpayer’s last known

Reminder:

Internal Revenue Manual Part 25. Special Topics · 2026-10-03 edition · updated 2026-10-04 · United States

Lost refunds will be addressed following normal procedures for the case type.

EIP 1 (based on the TY 2019 TC 150 return) in the amount of $1,700 was offset to a child support obligation.

EIP 2 (based on the TY 2019 TC 150 return) in the amount of $1,200 was issued via direct deposit.

Tax year 2020 RRC (based on the TY 2020 TC 150 return) in the amount of $600 was issued via direct deposit.

Tax year 2020 RRC (based on the TY 2020 TC 150 invalid return) in the amount of $2,900 was issued to the valid taxpayer via mail.

When the TC 150 return is valid and a math error was set for claiming the RRC in an amount that is more than they are entitled to based on the amount of EIP reflected on the module, recalculate the RRC based on the valid taxpayer’s information. Follow procedures in IRM 21.5.4.4.4, Math Error Substantiated Protest Processing, to correct the account.

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▸Contents — Internal Revenue Manual Part 25. Special Topics

Internal Revenue Manual Part 25. Special Topics

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