Purpose and Program Goals: This IRM section provides guidance for Return Integrity Verification Operations (RIVO) employees when verifying individual master file returns in the Electronic Fraud Detection System (EFDS) for possible identity theft and false income and withholding. Individual master file returns are scored through the Dependent Database (DDb) or through the Return Review Program (RRP) system. These scoring processes identify suspicious returns meeting the scoring criteria for screening by RIVO employees.

Audience: The audience intended in this IRM is RIVO employees.

Policy Owner: The Return Integrity Verification Program Management (RIVPM) is the policy owner of this program.

Program Owner: RIVPM is the program office responsible for oversight over this program.

Primary Stakeholders: The primary stakeholders are Return Integrity Verification Operation (RIVO), and organizations that collaborate with RIVO.

Program Goals: Program goals for the program are in the Operation Guidelines as well as IRM 1.4.10, Return Integrity & Verification Operation Managers Guide.

Verification of Income Documents (IDOC(s)) attached to Individual Master File (IMF) returns is critical to stopping questionable refunds. The IRS is required to notify a taxpayer in advance that a third party may be contacted to help resolve their account.

Observe the Taxpayer Bill of Rights as spelled out in Publication 1, Your Rights as a Taxpayer, particularly with respect to confidentiality and privacy when conducting research and/or contact with third parties to obtain income verification.

When an IDOC is sent to Verification, Workload Management System (WMS) will place the IDOC in "Suspense" . The IDOCs can be viewed but no action can be taken on the IDOC during the suspense period. Generally, IDOC(s) may include:

There are various methods used to verify IDOCs:

By law, employers are not required to provide IRS employees information unless served with a summons or subpoena. Summonses are issued by revenue officers, revenue agents, and special agents. Therefore, it is critical that proper phone techniques are developed to the highest degree of efficiency and tact.

Return Integrity Verification Operations (RIVO) has agreed to verify documents that Criminal Investigation (CI) has added to CE regardless of ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ . CI will input an EFDS note - "CI POST REFUND" when sending IDOCs on post refund returns to "VERIFY" . All IDOCs sent to verification must be verified.

The Workload Management System (WMS) is used to access the application Contact Employer (CE) and is used to manage the income verification process at both a National and Local level. The employee will log into WMS and access CE from the main menu bar.

The purpose of CE is to automate the process of verifying suspicious income documents (IDOCs) that are submitted with potentially false returns. IDOCs may include, Form W-2, Wage and Tax Statement, Form W-2G, Certain Gambling Winnings, and Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc. Tax Examiners (TE) need to be conscious of the IDOC type when making a phone call to the employer.

When a return is sent for verification, the employer may have or may need a Mode of Contact (MOC) assigned in CE. A MOC identifies the way an employer will be contacted to verify income and withholding information for a questionable IDOC.

Documentation or remarks in the Electronic Fraud Detection System (EFDS) is essential for proper movement, treatment and resolution. Remarks must be brief and specific to the issue or case or as directed by the IRM.

Command Code (CC) IRPTR will be used to verify all prior year returns and current year returns when CC IRPTR data is available or considered fully loaded. For returns containing an Individual Taxpayer Identification Number (ITIN) for the primary and/or secondary, see IRM 25.25.3.13, Updating Individual Taxpayer Identification Number (ITIN) Income Documents (IDOCs). Use CC IRPTR first for all types of verification each filing season per leadership direction.

The Income Verification Table is used to verify income using CC IRPTR. Use the table below only if CC IRPTR data is available for the tax year:

If CC IRPTR data is available and matches the wages and withholding on the IDOC, prior to inputting income and withholding in the work tab, additional steps must be taken as indicated in the following chart:

EINs placed in MOC Hold Pending Bogus Determination will be reviewed and worked following the procedures in, IRM 25.25.1.5, Business Masterfile (BMF) Entity Fabrication (EF) Procedures.

Telephone verification inventory is maintained in EFDS contact employer (CE). Return Integrity Verification Operations (RIVO) employees will receive the inventory by selecting "Next EIN" in CE or by being assigned EINs to work.

Telephone verification is used to verify questionable income documents (IDOCs) such as Form W-2, Form 4852, and Form 1099, when the information is not located in CC IRPTR ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡.

All IRS employees working tax related matters must provide their name and badge identification number when making phone calls, see IRM 21.1.1.4, Communication Skills, for details.

If an answering machine or voice mail is reached when attempting to contact the employer, see IRM 3.13.5.3.1 IRS Employee Contact Restructuring and Reform Act (RRA) Section 3705(a), , for additional guidance. If you are reasonably sure you have reached the correct employer, it is acceptable to provide your name, badge number, a telephone call back number, the purpose of your call, the company you are trying to reach, and that you are with the IRS. Do not include or provide the company EIN or any taxpayer information in the message.

All return calls from the employer left on the IRS voice mail must be retrieved on a daily workday basis.

If the MOC is "No Selection" or the contact information (phone or fax number) is not found in CE, perform additional research to locate the employer’s contact information. See Exhibit 25.25.3-3, Research Check Sheet. Always review "Return Notes" for additional information including the tax year you need to verify. If the contact information is located, the employer must be called to establish a preferred MOC.

If theMOC is "Call OK" and the contact information is available, attempt to contact the employer. If the employer is reached, see IRM 25.25.3.6.1, Contact with the Employer, to continue the verification process.

If the employer cannot be reached, see IRM 25.25.3.6.2, Unable to Contact the Employer.

Once verification has been completed, the following steps must be taken in Contact Employer (CE):

IDOC Disposition Choices:

Employers may call in response to the one time fax. Follow IRM 25.25.3.7, Completing the Call, to process the information provided by the employer.

If the caller asks other questions relating to the verification of income, answer the questions. See possible responses to questions in the table below:

Income documents (IDOCs) meeting certain criteria must be manually verified. These may include returns with any of the following:

Take the following actions for returns that require manual verification: :

If contact with the employer is necessary, take the following actions:

At the end of the of the 60 day waiting period, initiate the verification process.

Perform research using Exhibit 25.25.3-3, Research Check Sheet.

If an EIN is in contact employer (CE), check the mode of contact (MOC) prior to making contact with the employer. If the MOC cannot be determined, contact the employer to determine the preferred MOC.

If the employer is willing to complete the verification process while on the phone, update CE and return notes with any pertinent information and include the following:

If the employer requests a fax, prepare a manual fax and fax to the employer at the fax number provided.

If the employer has an International phone number or requires a Spanish speaking representative to perform the verification process, see IRM 25.25.3.12, Spanish or International Phone Calls .

When verification has been completed for all IDOCs and/or unsubstantiated withholding, take the following actions:

There will be instances when verification cannot be made. See IRM 25.25.3.10, Unable to Verify (UTV) Procedures, for UTV definitions. If a UTV note is used, input all required notes and submit to the Lead for review.

There are times when verification cannot be completed in Contact Employer (CE), and the income document (IDOC) or Employer Identification Number (EIN) will be marked as "Unable to Verify (UTV)" . UTV reasons are divided into two categories:

Before determining an IDOC or EIN to be UTV, research must be completed using the Exhibit 25.25.3-3, Research Check Sheet.

The UTV reasons listed below are IDOC specific. Any IDOC with specific unable to verify reasons will not be able to be verified through CE.

The UTV reasons below are EIN specific and apply to all IDOCs for that EIN.

Complete the following actions along with the above instruction for UTV-WNCB, UTV-R, UTV-WN, UTV-INVEIN or UTV-MISC:

When multiple income documents (IDOC) are listed for an Employer Identification Number (EIN), all efforts must be made to verify all IDOCs at the same time. If the entire list cannot be completed, take the following actions to update the disposition and status for the IDOCs in the "Work" tab:

If the employer requires a Spanish speaking representative to perform the verification process and/or has an International Phone Number, send a verification request via secure email to the Spanish-International mailbox ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ ≡ . The email must contain the following information:

Contact Employer/EFDS notes must be completed as follows:

An Individual Taxpayer Identification Number (ITIN) is a nine digit number that starts with a "9" and is used to establish accounts for individuals who are required to have a U.S. taxpayer identification number but do not have, and are not eligible to obtain a social security number (SSN). The ITIN allows them to file tax returns only, it does not authorize a person to work in the United States, see IRM 3.21.263.2, Overview, for additional information.

Review the information in the Electronic Fraud Detection System (EFDS) for a "work assumed" SSN. Review command code (CC) IRPTR using the "work assumed" SSN and the ITIN to locate the income document information. If no information can be located for the "work assumed" SSN or ITIN in CC IRPTR, research the Social Security Administration Online Retrieval System (SSA_ORS) using the ITIN, SSN, and name. Use the chart below to disposition the income document (IDOC) in Contact Employer (CE):

Verification by Phone: