SECTION 14. ADMINISTRATIVE

REVIEW PROCESS FOR SUSPENSION FROM THE 1040NR PROGRAM

.01 A 1040NR Filer who has been suspended from participation in the 1040NR Program has the right to an administrative review. During the administrative review process, the suspension remains in effect.

.02 If a 1040NR Filer receives a suspension letter from the Project Office, the 1040NR Filer is entitled to an appeal, in writing, to the Director of Practice.

.03 The 1040NR Filer must ensure that the Project Office receives the 1040NR Filer’s written appeal for review by the Director of Practice within 30 days of the date of the suspension letter. The 1040NR Filer’s written appeal for review must contain detailed reasons, with supporting documentation, for reversal of the suspension. In addition, the 1040NR Filer must include a copy of its Form MAR– 8980 and a copy of the suspension letter.

(7) significant complaints about a 1040NR Filer’s performance in the 1040NR Program; (8) failure on the part of a 1040NR Filer to ensure that no other entity uses its assigned MTFIN;

(9) having more than one MTFIN for the same business entity at the same location (the business entity is generally the entity that reports on its return the income derived from transmitted media filing), unless the Service has issued more than one MTFIN to a business entity;

(10) failure on the part of a 1040NR Filer to cooperate with the Service’s efforts to monitor 1040NR Filers and investigate transmitted media filing abuse;

(11) failure on the part of a 1040NR Filer to properly use the standard/non-standard W–2 indicator;

(12) failure on the part of a Transmitter to use its assigned MTFIN when filing returns;

(13) failure on the part of the Transmitter to include a Service Bureau’s MTFIN in the transmission of a return submitted by a Service Bureau;

(14) failure on the part of a Service Bureau or a Transmitter to include the 1040NR Return Originator’s MTFIN as part of a return that the 1040NR Return Originator submits to the Service Bureau or the Transmitter;

(15) violation of the advertising standards described in section 11 of this revenue procedure;

(16) failure to maintain and make available records as described in section 5.11(3) and (4) of this revenue procedure;

(17) accepting a tax return for transmitted media filing either directly or indirectly from a person (other than the taxpayer who is submitting his or her return) who is not in the 1040NR Program;

(18) submitting the transmitted media portion of the return with information that is not identical to the information on the Form 8453–NR;

(19) failure to timely pay any applicable fees, as implemented by subsequent guidance; or

(20) filing returns before February 15, 1996, with any form of substitute Form W–2 or wage and tax documentation.

.06 The Service will list in the Internal Revenue Bulletin, district office listings, district office newsletters,

and on the EFS Bulletin Board, the name of any entity that is suspended from the 1040NR Program and the effective date of that suspension.

.07 A suspension from participation in the 1040NR Program or a revocation of the privilege to participate in the 1040NR Program is effective as of the date of the letter informing the 1040NR Filer of the suspension or revocation.

.08 Most denials and suspensions of participation in the 1040NR Program will result in:

(1) a rejected applicant not being reconsidered for participation in the 1040NR Program for at least two filing seasons; and

(2) a suspended 1040NR Filer not being reconsidered for participation in the 1040NR Program for at least two years. For purposes of this section 12.08, two years means the remaining months in the calendar year of denial of participation or suspension and the following two calendar years.