SECTION 8. ENROLLMENT — Internal Revenue Bulletin 1998-17

.01 A Filer must submit electronic taxpayer enrollments to the appropriate Financial Agent in accordance with the applicable implementation guide. As part of completing each taxpayer enrollment, the Filer may choose to use the ACH debit entry or ACH credit entry remittance method on a taxpayer-by-taxpayer basis. In both the Batch Filer and the Bulk Filer programs, enrollment of a taxpayer in the ACH Debit remittance method will automatically enroll the taxpayer in the ACH Credit remittance method. In the Bulk Filer program, enrollment of a taxpayer in the ACH Credit remittance method will automatically enroll the taxpayer in the ACH Debit remittance method. However, in the Batch Filer program, enrollment of a taxpayer in the ACH Credit remittance method will not automatically enroll the taxpayer in the ACH Debit remittance method.

.02 The Financial Agent will verify the accuracy of the enrollment information for each taxpayer and enter the verified

April 27, 1998 14 1998–17 I.R.B.

enrollment information in its enrollment record database. As part of the verification process for an ACH debit entry in the Batch Filer program, the Financial Agent will originate a prenotification ACH debit, if requested by the Batch Filer. In the Bulk Filer program, prenotification ACH debits are not available. When a prenotification ACH debit is not made, the Filer assumes responsibility for the accuracy of the information, including the RTN of the financial institution.

.03 When the enrollment process for a taxpayer is completed, the Financial Agent will provide the Filer with an enrollment response record that either accepts or rejects the taxpayer’s enrollment. A rejected enrollment will identify necessary corrections. Any necessary corrections must be submitted by the Filer as a new enrollment of that taxpayer.

.04 If a Filer attempts to make an FTD or FTP through EFTPS before a taxpayer is enrolled, the FTD or FTP generally will be rejected and the taxpayer may be subject to a penalty for a late FTD or FTP.