SEC. 4. DEFINITIONS

.01 The term ‘‘form recipient’’ means the person to whom you are required by law to furnish a copy of the official form or information statement: i.e., for Form 1098, the recipient is the ‘‘payer/borrower’’; Form 1099– A, the ‘‘borrower’’; Form 1099–C, the ‘‘debtor’’; Form 1099–S, the ‘‘transferor’’; other Forms 1099, the payment recipient; Form 5498, the ‘‘participant’’; and Form W–2G, the ‘‘winner.’’

.02 The term ‘‘filer’’ means the prson or organization required by law to file a form listed in PART A Section 1.01 with the IRS. Thus, a filer may be a payer, a creditor, a recipient of mortgage interest payments, a broker, a barter exchange, a person reporting real estate transactions, a trustee or issuer of an individual retirement arrangement (including an IRA or SEP), or a lender who acquires an interest in secured property or who has reason to know that the property has been abandoned.

.03 A corrected (or amended) return is one that corrects information previously reported to IRS. (A voided return will not correct previously reported information.)

.04 The term ‘‘substitute form’’ means a paper substitute of Copy A of an official form listed in PART A Section 1.01 that totally conforms to the provisions in this revenue procedure.

.05 The term ‘‘substitute form recipient statement’’ means a paper state

ordinator) 1111 Constitution Avenue, N.W. Washington, DC 20224

NOTE: Allow at least 45 days for the IRS to respond.

.02 Copy B (Form 1098 - For Payer, Form 1099–A - For Borrower, Form 1099–C - For Debtor, Form 1099–S For Transferor, other Forms 1099 - For Recipient, Form 5498 - For Participant, and Forms W–2G and 1099–R - To Be Attached To the Federal Tax Return), and Copy C-(Form 1099–R For Recipient’s Records and Form W–2G For Winner’s Records) must contain the information specified in PART A Section 7 in order to constitute a ‘‘statement’’ or ‘‘official form’’ under the applicable provisions of the Internal Revenue Code. The format of this information is at the discretion of the filer with the exception of the location of the tax year, form number and form name specified in Part A Section 7.01(6) and composite Form 1099 statements specified in PART A Sections 7.02 and 7.04.

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designation. This number must not appear anywhere else on the form, and this box may not be used for any other item. Showing the account number is optional. However, it may be to your benefit to include the recipient’s account number or designation on paper documents if your system of records uses the account number or designation in conjunction with, or rather than, the name, social security number, or employer identification number for identification purposes. If you furnish the account number, the IRS will include it in future notices to you about backup withholding. If you use window envelopes and reduced rate mail to mail statements to recipients, be sure the account number does not appear in the window. Otherwise the Postal Service may not accept them for mailing.

.04 Filers should TYPE OR MACHINE PRINT data entries, insert data in the middle of blocks well separated from other printing and guidelines, and take other measures to guarantee a clear, dark black, sharp image.

.05 Machine printed forms should be printed using a 6 lines/inch option.

.06 Machine printed forms should be printed in 10 pitch pica ( i.e., 10 print positions per inch) or 12 pitch elite ( i.e., 12 print positions per inch). Proportional spaced fonts are unacceptable.

.07 To correct returns, enter an ‘‘X’’ within the checkbox located at the top of the form making the correction, to the left of the word ‘‘CORRECTED.’’ DO NOT type the words CORRECTED RETURN on the Form 1096, 1098, 1099, 5498, or W–2G. See ‘‘Corrected Returns’’ located in the 1995 ‘‘Instructions for Forms 1099, 1098, 5498, and W–2G.’’

.08 If you make an error while typing or printing a Form 1098, 1099, or 5498, enter an ‘‘X’’ in the ‘‘VOID’’ box at the top of the form. An entry in the ‘‘VOID’’ box will not correct previously filed information returns. See ‘‘Void Returns’’ in the 1995 ‘‘Instructions for Forms 1099, 1098, 5498, and W–2G.’’ .09 Use only computer print or a typewriter. DO NOT use a felt tip marker. The machine used to ‘‘read’’ paper forms generally cannot ‘‘read’’ think ink type.

.10 Substitute forms prepared in continuous or strip form must be burst and stripped to conform to the size specified for a single sheet before they

are filed with IRS. The size specified does not include pinfeed holes . Pinfeed holes MUST NOT be present on forms filed with the IRS.

.11 Use decimal points to indicate dollars and cents. DO NOT use dollar signs ($), ampersands (&), asterisks (*), commas (,), or other special characters in the numbered money boxes. Example: 2000.00 is acceptable.

.12 DO NOT FOLD Forms 1096, 1098, 1099, or 5498 being mailed to IRS. Mail these forms flat in an appropriately sized envelope or box. Folded documents cannot be readily moved through the scanner transport used in IRS processing.

.13 DO NOT STAPLE Forms 1096 to the returns being transmitted. Staple holes in the vicinity of the return code number reduce the IRS’s ability to machine scan the type of documents.

.14 DO NOT type other information on Copy A. NO NOT cut or separate the individual forms on the sheet of forms of Copy A (except Forms W–2G).

.15 MAIL completed paper forms to the IRS service center specified on the back of Form 1096 and in the 1995 ‘‘Instructions for Forms 1099, 1098, 5498, and W–2G.’’ CAUTION: SEE NEW ‘‘WHERE TO FILE’’ ADDRESSES, for tax year 1995. Specific information needed to complete the forms in this revenue procedure is given in those instructions. A chart is included in those instructions giving a quick guide to which form must be filed to report a particular payment.