Transcript SP Domain FTA Presentation

NACTP and TIGERS
Joint Session
Boise, ID
Internal Revenue Service
presented by
Juanita Wueller
August 5, 2009
MeF Today
MeF Today
•
MeF Forms
Currently provides electronic filing
and payment options for
businesses
Corporations
1120, 1120S
1120-F
•
Receives and processes returns in
an internet environment
Exempt
Organizations
•
990, 990EZ, 990PF, 1120POL (2004)
990-N (e-postcard)
(2008)
990 Redesign
(2009)
Provides real-time processing of
acknowledgements, streamlined
error-detection, and standardization
of business rules
Partnerships
1065, 1065-B
(2007)
Excise Tax
2290, 720, 8849
(2007)
Extensions
7004
8868
(2005)
(2004)
•
Capability to attach PDF files
(2004)
(2008)
3
Form Changes
1120 Form Family
• New Forms
- Schedule G (1120), Information on Certain Persons Owning the
Corporation’s Voting Stock
- Schedule K (1118), Foreign Tax Carryover Reconciliation
Schedule
• PDF to XML
• Form 8926 (1120, 1120-F), Disqualified Corporate Interest
Expense Disallowed Under Section 163(j) and Related
Information
4
Form Changes (continued)
‾
1120 Form Family (continued)
‾ Form Changes
- Form 1120/Form 1120-F
- Form 3800 (1120, 1120-F)
-Form 4136 (1120, 1120-F, 1120S)
- Form 4684 (1120, 1120-F, 1120S)
- Form 5471 (1120, 1120S)
- Form 6478 (1120, 1120-F, 1120S)
- Form 6765 (1120, 1120-F, 1120S)
- Form 8586 (1120, 1120-F, 1120S)
- Form 8621 (1120, 1120-F, 1120S)
- Form 8810 (1120, 1120-F)
- Form 8864 (1120, 1120-F,1120S)
‾ Form 8865 (1120, 1120-S)
‾ Form 8907 (1120, 1120-F, 1120S)
‾ Form 8909 (1120, 1120-F, 1120S)
‾ Form 8910 (1120, 1120-F, 1120S)
‾ Schedule H (1120-F)
‾ Schedule I (1118)
‾ Schedule K (1120)
‾ Schedule K-1 (1120S)
‾ Schedule B (1120)
‾ Schedule M-3 (1120-F)
‾ Schedule O (1120)
5
Form Changes (continued)
1065 Form Family
• New Forms
- Schedule B-1, (1065) Information on Partner’s Owning 50% Or More
of the Partnership (1065)
- Schedule D-1, (1065, 1065-B) Continuation Sheet for Schedule D
(1065) (Not needed for MeF)
• Form Changes
- Form 1065
- Form 1065-B
- Form 4136 (1065, 1065-B)
- Form 4684 (1065, 1065-B)
- Form 8586 (1065, 1065-B)
6
Form Changes (continued)
1065 Form Family
- Form 8621 (1065, 1065-B)
- Form 8864 (1065, 1065-B)
- Form 8865 (1065, 1065-B)
- Form 8907 (1065, 1065-B)
- Form 8909 (1065, 1065-B)
- Form 8910 (1065, 1065-B)
- Schedule D (1065)
- Schedule D-1 (1065)
- Schedule K-1 (1065)
•
Business Rule Change
- Form 1065
- Form 1065-B
7
Form Changes (continued)
Excise Tax & E-Filing Compliance (ETEC) Form Family
(720/2290/8849)
Form Changes
- Form 2290
- 2 new checkboxes (Amended Returns & VIN Correction)
- Form 8849
- Schedules 1, 2, & 8 are available to be filed electronically
- Claims filed electronically on Schedules 2, 3, & 8 are processed
within 20 days
Business Rule Changes
- Form 2290
- 4 additional business rules
- Form 8849
8
Form Changes (continued)
Form 990EZ, Short Form Return of Organization
Exempt from Income Tax
• Schema Changes
– Yearly Form Changes
– Part VI, element renamed
• Schedule Changes
– Schedule A, Public Charity Status and Public Support for Form 990
– Schedule C, Political Campaign and Lobbying Activities
– Schedule G, Supplemental Information Regarding Fundraising or
Gaming
– Schedule N, Liquidation, Termination, Dissolution, or Significant
9
Form Changes (continued)
Form 990PF, Return of Private Foundation
• Schema Changes
– Yearly Form Changes
– Part VII-A, element changes
10
MeF Statistics Thru 07-19-09
Form Type
1120
1120S
1120-F
7004
1065/1065-B
990
990-EZ
990-PF
990-N
1120-POL
8868
2290
720
8849
2009 CUM Projected
Receipts
2009 CUM
Actual Receipts
2009 CUM % Actual
vs Projected
CUM %
2009 vs 2008
255,358
944,105
N/A
1,510,085
712,701
31,587
11,991
7,171
147,773
N/A
52,199
9,093
59
N/A
256,789
1,003,352
411
1,522,631
747,971
27,888
13,109
5,133
167,692
14
62,388
11,952
22
614
100.56%
106.28%
N/A
100.83%
104.95%
88.29%
109.32%
71.58%
113.48%
N/A
119.52%
131.44%
0.00%
N/A
134.76%
140.57%
N/A
137.61%
140.11%
104.55%
222.26%
131.92%
123.21%
N/A
165.84%
230.87%
275.00%
N/A
11
MeF Fed/State Update

16 States and 1 City in Production status for 1120:
 AL, CO, FL, GA, ID, KS, MD, MI, MO, MT, NYCT, NYS, OR,
PA, SC, UT and WI

12 States in Production status for 1065:
 AL, CO, GA, ID, KS, MD, MI, MT, NY, PA, UT and WI
States that began production in 2009 are:
For 1120 - New York City
For 1065 - Colorado & Pennsylvania
Changes received in July 2009:
Virginia requested the 1120 & 1065 MOUs. The 1120 MOU has been sent
for IRS executive signature.
Rhode Island submitted an efile application to participate in 1120 & 1065.
12
Fed/State Statistics Thru 07-19-09
Fed/State Returns through 7-19-09
State
ALST
COST
FLST
GAST
IDST
KSST
MDST
MIST
MOST
MTST
NYCT
NYST
ORST
PAST
SCST
UTST
WIST
Total:
Total State
Returns Made
Available
11,337
1,259
4,557
45,139
8,966
23,556
35,911
24,810
10,177
921
2,315
379,276
7,383
19,301
19,617
3,878
55,380
653,783
Corporate
Fed/State
Made
Available
2,002
188
4,557
10,826
1,699
4,681
8,917
14,339
2,407
103
548
55,120
1,876
4,721
7,390
28
14,316
133,718
TY 2008 Returns Made Available = 196,413
Partnership
Fed/State
Made
Available
2,007
345
0
4,496
1,611
3,759
7,187
5,337
0
0
0
31,593
0
2,216
0
47
10,319
68,917
Corporate
State
Standalone
Made
Available
4,161
535
0
23,397
3,082
9,261
14,296
4,227
7,770
818
1,767
158,905
5,507
7,071
12,227
2,264
18,778
274,066
Partnership
State
Standalone
Made
Available
3,167
191
0
6,420
2,574
5,855
5,511
907
0
0
0
133,658
0
5,293
0
1,539
11,967
177,082
TY 2007 Returns Made Available = 53,913
13
Fed/State Returns for Calendar
Year 2008
State
Total State
Returns Made
Available
ALST
COST
FLST
GAST
IDST
KSST
MDST
MIST
MOST
MTST
NYST
ORST
PAST
SCST
UTST
WIST
Corporate Fed
State Made
Available
570
144
317
23,521
2,066
20,154
29,126
3,224
2,000
79
51,645
4,436
3,462
3,671
894
51,104
Total:
196,413
Partnership
Corporate State Partnership State
Fed/State Made Standalone Made Standalone Made
Available
Available
Available
179
50
317
7,636
250
4,976
8,581
522
655
5
17,917
336
1,838
886
69
15,572
59,789
10
0
0
685
136
3,741
5,642
2
0
0
0
0
0
0
53
8,911
19,180
380
94
0
14,170
1,679
7,905
11,211
2,596
1,345
74
33,728
4,100
1,624
2,785
754
17,955
100,400
1
0
0
1,030
1
3,532
3,692
104
0
0
0
0
0
0
18
8,666
17,044
14
Fed/State Returns for Calendar
Year 2007
State
Total State Returns
Made Available
Corporate Fed State Partnership FedState
Made Available
Made Available
ALST
1
1
GAST
5,538
KSST
4,940
MDST
6,945
Corporate State
Standalone Made
Available
Partnership State
Standalone Made
Available
0
0
0
2,598
0
2,940
0
2,187
122
2,024
607
2,381
576
3,158
830
MIST
2,873
654
1
2,119
99
NYST
19,304
5,654
0
13,650
0
PAST
418
5
0
413
0
0
SCST
22
19
0
3
WIST
13,872
9,347
0
4,525
Total:
53,913
22,846
699
28,832
0
1,536
15
Key System Dates
Tentative Dates - ETEC
May 14, 2009
Schemas &
Business Rules
Post initial TY 2009 version
to IRS.gov for Form 2290
June 15, 2009
Assurance
Testing System
(ATS)
Startup for Forms 720 and
8849
July 1, 2009
Production
Startup for Form 2290
Tentative Dates – All Others
August 20, 2009
Schemas &
Business Rules
Post initial TY 2009 version
to IRS.gov
November 2,
2009
ATS
Startup
January 4, 2010
Production
Startup
16
Key Publication Dates
Tentative Dates
October 2009
Publication 4164
Information for
Software Developers
December 2009
Publication 4163
Information for IRS
Authorized e-file
Providers
September 2009
Publication 4162
Form 1120-family
ATS scenarios &
guidelines
September 2009
Publication 4505
Form 1065-family
ATS scenarios &
guidelines
September 2009
Publication 4205
Form 990-family ATS
scenarios &
guidelines
June 2009
Publication 4594
Form 2290/720/8849
ATS scenarios &
guidelines
17
1040 MeF Overview
Deployment Schedule
•
Phase I – February 2010
– Form 1040 and 22 other forms/schedules:
•
Sch A
Sch E
Sch SE
2441
8812
8888
Sch B
Sch EIC
1099-R
4562
8829
W-2
Sch C
Sch M (new)
2106
4868
8863
Sch D
Sch R
2210
8283
8880
Phase II – January 2011
– Current TY 2010 (23 forms)
– Prior TY 2009 (23 forms)
– Code optimization and additional hardware
•
Phase III – January 2012
– Approximately 125 additional forms/schedules
– Current TY 2011 (148+ forms)
– Prior TY 2010 and Prior TY 2009 (23 forms)
19
Key Benefits of MeF
MeF will deliver significant value and benefits including:
•
•
•
•
•
Faster Acknowledgements to Transmitters
Prior year filing (beginning in 2011)
Specific explanation of errors
Supports Federal and State e-filing
Year round filing
20
Transition Plans
•
Volume Management Strategy
– Intended to phase-in usage of the MeF system for Form 1040
– Strategy being developed in collaboration with MeF stakeholders
– Will implement a volume ramp-up plan (draft plan shared with stakeholders
on August 3, 2009 and posted to irs.gov on the 1040 MeF-related
Transmitters/States web page at:
http://www.irs.gov/efile/article/0,,id=204750,00.html
– Technical Support will be provided (including daily conference calls)
•
e-File Application
– e-file Application has been updated to add “MeF Internet, XML” as a
transmission method for Form 1040. Impacts Transmitters, Software
Developers and States. Note: States should contact Delcie Miller or Nancy
Nicely with questions. We will notify the SWDers and Transmitters once
that’s ready for implementation.
– EROs currently participating in 1040 Legacy e-file will be automatically
enrolled in 1040 MeF
21
Transition Plans (continued)
Paper Attachments
•
DCN versus Submission ID
MeF does not require the use of a Submission ID in place of the DCN on Form 8453. You
can leave the DCN boxes blank on the Form 8453.
To assist the e-help Desk and Customer Service assistors, it will be beneficial to provide the
Submission ID with the acknowledgement sent back to the preparer/filer.
•
There are five forms that currently have a paper indicator included on MeF:
– Form 1098C, Contributions of Motor Vehicles, Boats, and Airplanes
– Form 3115, Application for Change in Accounting Method
– Form 2848, Power of Attorney and Declaration of Representative
– Form 8283, Noncash Charitable Contributions
– Form 8332, Release/Revocation of Release of Claim to Exemption for Child by
Custodial Parent
Note: Only Form 8283 is included in Phase I of 1040 MeF.
22
Third-party Signature
• Third-party Signature
– During Phase I of 1040 MeF, Form 8283, Noncash Charitable Contributions
will occasionally require a third-party signature.
– Submit the form data in XML and either attach the PDF document that
should be titled “Form 8283 Signature Document” or send the signed copy
with the Form 8453 after setting the paper indicator.
23
Transition Plans (continued)
Legacy Error Reject Codes transition to MeF Business Rules
TY 2008 Error Mapping is posted to irs.gov along with the Business
Rules.
TY 2009 Error Mapping will be posted by the end of August although the
ERC information will not be completely accurate until later this fall.
ELF
E
R
C
#
ELF Error Reject Code Explanation
MeF
Business
Rule #
MeF Business Rule Explanation or Reason
Why No Rule
Page 1 of Form 1040, 1040A, 1040EZ, or 1040SS (PR) must be present.
N/A
Schema validation
The Summary Record must be present.
N/A
No Summary Record in MeF
0002
Reserved
N/A
0003
Tax Return Record Identification - The Tax
Period of Form 1040/1040A/1040EZ/1040SS (PR) (SEQ 0005) Page 1, must equal
"200812" and Tax Period of Form
1040/1040A (SEQ 0765) and of Form
1040-SS (PR) (SEQ 1605) Page 2, must
also equal "200812".
0001
R0000-097
Tax Year in the Return Header must equal
"2008" for processing year 2009 .
24
ATS Testing
•
•
The point of contact for testing is the e-help Desk. They will
elevate any issues to the 1040 MeF contacts.
We are currently working with Electronic Products Services &
Support on the PATS and ATS testing procedures.
– EPSS has preliminarily determined that there will be separate assistors for
ATS and PATS - for the same software developer.
– The 1040 MeF ATS assistors will be located in Austin.
– The 1040 PATS assistors will be located at multiple sites.
– The plan is for the PATS and ATS assistors to work independently.
25
ATS Testing (continued)
•
We are currently developing the final return validation criteria for
accepted test returns. Following is what has been developed to date:
– After the return has been accepted, the assistor will verify:
Specific lines on all the test scenarios:
• Adjusted Gross Income
• Taxable Income
• Tax
• Refund or Balance Due
– other line entries based on the forms in the test scenario
– the dependencies (attachments) are properly attached
– PDF file is attached correctly (if the software supports PDF returns)
•
•
After these validations are complete and the test scenarios are correct,
the software will be passed.
During ATS Testing we will conduct daily calls for the Software
Developers to discuss any issues/problems they are experiencing.
26
Key Dates
•
Software Developer Testing
– MeF Assurance Testing System (ATS) – November 2, 2009
– Three test scenarios shared with current 1040 e-file
– e-Help Support will be staffed for 1040 MeF and current 1040 e-file
•
Posting of Schemas and Business Rules to irs.gov
– Final TY 2008 schemas and business rules - May 2009
– Initial TY 2009 schemas - June 11, 2009
– Subsequent TY 09 package – targeting end of August 2009
•
Posting of Stylesheet Package and 1040 ELF Instance Document
to irs.gov
– TY 2009 1040 and 4868 Stylesheet Package – posted July 2009
– 1040 ELF Instance Document – posted July 2009
27
Key Dates (continued)
•
Posting of MeF 1040-related publications to irs.gov
– Pub 1345 Handbook for Authorized IRS e-file Providers of Individual
Income Tax Returns – September 2009
– Pub 1436 Test Package for Electronic Filers of Individual Tax Returns –
September 2009
– Pub 4164 Modernized e-File Guide for Software Developers and
Transmitters – October 2009
28
Communications
•
MeF 1040 web pages on irs.gov
–
Located on the ‘Coming Soon to the MeF Program’ page at
http://www.irs.gov/efile/article/0,,id=204750,00.html
–
Contains links for:
•
•
•
•
•
•
•
Mailbox for MeF 1040
–
–
–
•
Forms (Phase I)
Publications
Software Developers, States, and Practitioners
Benefits of MeF
Calendar of Events
FAQs
Email Address: [email protected]
Questions on schemas or other technical issues concerning the program
Key questions/answers will be posted to irs.gov as frequently asked questions (FAQs)
MeF Status Page
• After implementation, refer to the status page for important updates at
http://www.irs.gov/efile/article/0,,id=168537,00.html
29
Partnering Efforts
•
Calendar of Events for the remainder of 2009 is posted to
http://www.irs.gov/efile/article/0,,id=206086,00.html
– 1040 MeF Executive Council meetings (monthly)
– 1040 MeF Working Group
• Face-to-Face Meetings (semi-annual)
– Next meeting tentatively scheduled for September 2009
(conference call capability will be available)
• Conference calls (monthly)
– 1040 MeF Schema conference calls (as needed)
•
Federation of Tax Administrators (FTA) TIGERS Group
– Continue collaboration during quarterly meetings
30
Questions
31