SEC. 9. FILING OF FORM — Internal Revenue Bulletin 1996-2

MAGNETICALLY/ELECTRONICALLY AND RETENTION REQUIREMENTS

.01 Form 4804, Transmittal of Information Returns Reported Magnetically/Electronically, Form 4802, Transmittal of Information Returns Reported Magnetically/Electronically (Continuation), or computer-generated substitute, MUST accompany ALL magnetic media shipments. For electronic transmissions, the Form 4804 (and Form 4802, if applicable) must be sent the same day as the electronic transmission. Form 4802 is a continuation of Form 4804 and should only be used if the filer is reporting for multiple withholding agents and has the authority to sign the affidavit on Form 4804. Failure to sign the affi- davit on Form 4804 may delay process-

ing or could result in the files being

returned unprocessed. Form 4802 is not a stand-alone form; it can only accompany Form 4804.

.02 IRS/MCC encourages the use of computer-generated substitutes for Form 4804/4802 (See Note ). The substitutes must contain all information requested on the original forms includ

ing the affidavit and signature line. Photocopies are acceptable but an original signature is required.

Note: Be sure, when using computer

generated forms, to clearly mark which

tax year is being reported. This will

eliminate a phone call from IRS/MCC

to question the tax year.

.03 Current and prior year data may be submitted in the same shipment; however, each tax year must be on separate media, and a separate Form 4804 must be prepared to clearly indicate each tax year.

.04 Filers who have prepared their information returns in advance of the due date are encouraged to submit this information to IRS/MCC no earlier than January 1 of the year the return is due.

.05 Do not report duplicate infor-

mation. If a filer submits returns

magnetically/electronically, identical

paper documents must not be filed.

This may result in erroneous penalty

notices.

.06 Although an authorized agent may sign the affidavit, the withholding agent is responsible for the accuracy of the Form 4804, the returns filed, and will be liable for penalties for failure to comply with filing requirements.

.07 An external label, Form 5064, must be affixed to each tape, tape cartridge, and diskette submitted. If diskettes are used, and the operating system is not MS/DOS compatible, the operating system and hardware information must be provided. Failure to provide this information may result in the media being returned to the filer.

The following information is needed on the label:

(a) Type of filing ( i.e., Original).

(b) The tax year of the data ( i . e ., 1 9 9 5 . )

numbers ‘‘22’’. (e) Operating system software and hardware used to create the file ( i.e., IBM PC/AT-MS/DOS, Apple

MacIntosh/MacWrite V2.2).

(f) The total number of ‘‘Q’’ records in the file.

(g) ransmitter’s media number. The number assigned to the media by the transmitter.

(h) The sequence of each tape or diskette ( i.e., 001 of 008, 002 of 008, ..., 008 of 008). Information provided on the Form 5064 will assist IRS/MCC in identifying information that is reported and in locating a specific file if it is necessary to return the file to the transmitter.

.08 On the outside of the shipping container, affix or attach Form 4801 or a substitute for the form, which reads ‘‘DELIVER UNOPENED TO TAPE LIBRARY—MAGNETIC MEDIA REPORTING BOX of . ’’ If there is only one container, mark the outside as Box 1 of 1 . For multiple containers, include the sequence (for example, Box 1 of 3, 2 of 3, 3 of 3). .09 When submitting files include the following:

(a) A signed Form 4804; (b) Form 4802, if applicable; (c) Form 5064, Media Label affixed to the magnetic media;

(d) and Form 4801, outside label.

.10 IRS/MCC will not pay for or accept ‘‘Cash-on-Delivery’’ or ‘‘Charge to IRS’’ shipments of tax information that an individual or organization is legally required to submit.

.11 In general, withholding agents

should retain a copy of the information

returns filed with IRS or have the

ability to reconstruct the data for at

least 3 years from the reporting due

d a t e .