IRS Definition of Terms – you may find helpful  (Part VI) Tax Module — Part of a taxpayer’s account which reflects tax data for one tax class (MFT) and one tax period. For example: (1) Taxpayer has filed 3 Forms 1120, 12 Forms 941 and 3 Forms 940 within a three-year period. He has only one…

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IRS Definition of Terms – you may find helpful  (Part V) Taxpayer Delinquent Account (TDA) – A computer generated printout indicating that the taxpayer’s account has reached a delinquent status. TDAs are sent to the respective districts for collection action (aka Bal Due). Taxpayer Delinquent Investigation (TDI) – A computer generated printout indicating that a taxpayer is…

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IRS Definition of Terms – you may find helpful  (Part IV) Data Communication Processing System (DCPS) – The DCPS is also referred to as the “front-end” processor, the “Traffic Cop”, or the Sperry 90/40 front-end processor. “Traffic Cop” is a good nickname, since the equipment directs your command code terminal entry to a file (data base)…

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IRS Definition of Terms – you may find helpful  (Part III) Raw Data – Data before it has been processed, which may not be in a form comprehensible to the machine. Reprocess — Documents that previously posted to an incorrect TIN or tax period must be reprocessed to the correct TIN or tax period that does not…

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IRS Definition of Terms – you may find helpful  (Part II) Codes Collection Location Code (CLC) – The campus that will be responsible for the collection activities if needed. Designated Payment Code (DPC) — A payment designated by the taxpayer for a type of tax. Document Code (DOC Code) — The code which identifies the specific type of…

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IRS Definition of Terms – you may find helpful  (Part I) Julian Date — The numeric day of the year that the return or document was numbered for processing. (For example: January 15 +MC 015). The sixth, seventh and eighth digits of the DLN represent the Julian Date. Note: If the DLN is IDRS generated, this…

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IRS Extending the Tax Assessment Period  Interest  Generally, interest continues to accrue on any balance due until full payment is made, including the time for appeal within the Service or the courts. However, for individual taxpayers, interest on an income tax deficiency will stop accruing under certain conditions after 18 months (36 months if the…

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IRS Extending the Tax Assessment Period  Jeopardy Assessment (Part III)  Note:  Jeopardy assessments are not made because the period of limitations for assessing the tax is about to expire or because a taxpayer does not consent to extend the statutory period, unless the collection of the tax deficiency or proposed employment tax liability is in…

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IRS Extending the Tax Assessment Period  Jeopardy Assessment (Part II)  Jeopardy assessments will be made only if one or more of the following conditions exist:  1. The taxpayer is, or appears to be, planning to depart the United States quickly or to conceal himself/herself;  2. The taxpayer is, or appears to be, planning to place…

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IRS Extending the Tax Assessment Period  Jeopardy Assessment (Part I)  Jeopardy assessments are made when the Service believes that collection of a proposed deficiency or employment tax liability will be endangered if the IRS follows their regular procedures (see Internal Revenue Code Sections 6861 and 6862). Jeopardy assessments are used sparingly and only when necessary…

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