SECTION 4. DEFINITIONS

.01 Form 940 e-file Program . The program within “IRS e-file for Business” that provides two options for electronically filing Forms 940, Employer’s Annual Federal Unemployment (FUTA) Tax

Return: 940 e-file Option and 940 OnLine Option.

.02 940 e-file Option. The option for electronically filing a Form 940 in the Form 940 e-file Program that allows taxpayers to use a Reporting Agent to prepare, sign and electronically file Form 940 for the taxpayer.

.03 940 On-Line Option. The option for electronically filing a Form 940 in the Form 940 e-file Program that allows taxpayers to use the World Wide Web, via a Transmitter, to electronically file Form 940. .04 Authorized Signatory . An Authorized Signatory is a person who is authorized to use a PIN to sign returns filed by or through an Electronic Filer under the Form 940 e-file Program or during software development testing.

.05 Electronic Filer. An Electronic Filer may be a:

(1) Reporting Agent. A Reporting Agent (“Agent”), commonly called a “payroll service,” is an accounting service, franchiser, bank, or other person that complies with Rev. Proc. 96–17, as modified by section 18 of this revenue procedure, and is authorized to prepare, sign, and electronically file a Form 940 for a taxpayer by using the 940 e-file Option of the Form 940 e-file Program;

(2) Software Developer. A Software Developer develops software for the purposes of (a) formatting returns according to the Service’s electronic return specifications in Publication 3715; and/or (b) transmitting electronic returns directly to the Service. A Software Developer may also sell its software. A Software Developer may develop software for the 940 e-file Option and/or the 940 On-Line Option of the Form 940 e-file Program; or

(3) Transmitter. A Transmitter is a firm, organization, or individual that receives returns and Letters of Application electronically from its clients, reformats the data (if necessary), batches the data with returns or electronic Letters of Application from other clients, and then transmits the data to the Service. A Transmitter does not have signature authority for the taxpayers that it services. A Transmitter receives the data from its clients via the World Wide Web and transmits the data to the Service by using the On-Line Option of the Form 940 e-file Program.

2001–3 I.R.B. 329 January 16, 2001

.06 On-Line Filer. An On-Line Filer is a taxpayer that electronically files a Form 940 through a Transmitter using a personal computer, modem, and commercial tax preparation software.

.07 Electronic Filing Help Desks The Electronic Filing Help Desks (“ e-file” Help Desks) in Austin, Texas, and in Memphis, Tennessee, are responsible for the administration of the Form 940 e-file Program. See section 17 of this revenue procedure for a description of their respective responsibilities, and the address and telephone number of each e-file Help Desk.

.08 Letter of Application. A Letter of Application (“LOA”) is a paper or electronic request that is submitted to the Service by a prospective Electronic Filer or On-Line Filer to participate in the Form 940 e-file Program and, if submitted by an Authorized Signatory, to receive a Personal Identification Number. A sample LOA is printed in Publication 3715.

.09 Personal Identification Number. A Personal Identification Number (“PIN”) is a number assigned by the Service to the Authorized Signatory for purposes of signing an electronically-filed Form 940.

.10 Processing Interruption. A Processing Interruption is an abnormal termination of a program run caused by the electronic data submitted by an Electronic Filer.

.11 Reporting Agent Authorization. A Reporting Agent Authorization (“Authorization”) allows a taxpayer to designate an Agent. The Authorization may be submitted on Form 8655, or any other instrument that complies with Rev. Proc. 96–17, as modified by section 18 of this revenue procedure. An Authorization must be submitted for each taxpayer on the Reporting Agent’s List.

.12 Reporting Agent’s List. For purposes of the Form 940 e-file Program, a Reporting Agent’s List (“Agent’s List”) identifies all taxpayers for whom an Agent will file Forms 940 electronically. A separate Authorization must be submitted for each taxpayer on the Agent’s List. The Agent’s List must contain each taxpayer’s employer identification number (“EIN”).

.13 User identification/password. The user identification/password (“userid/password”) consists of an identification number (userid) issued by the Service and a confi

dential set of characters (password) that, when used in conjunction with each other, permit an Electronic Filer access to the Form 940 e-file Program.

.14 Validated Reporting Agent’s List. A Validated Reporting Agent’s List (“Validated Agent’s List”) is a list of taxpayers and their EINs prepared by an Agent that is confirmed and assigned name controls by the Service. A Validated Agent’s List is to be used as a source for the identification of each taxpayer by an Electronic Filer that is an Agent. Once the Service returns a Validated Agent’s List, the Agent must use it to fill in certain required fields (for example, the name control field) of the electronic transmission. See Publication 3715.