part3-169
- 3.49.5.1
General Instructions - 3.49.5.2
PRISM Users Guide
-
This subsection contains general instructions
for editing Individual Income Tax returns for the Statistics of Income (SOI)
Program.
-
This Chapter provides instructions for the correction
and additional editing of data from Individual Income Tax returns for use
in the 2007 Statistics of Income Program (Processing Year 2008). -
The error resolution instructions in Exhibits
1 through 62 that can be found at http://soi.soi.irs.gov/docs/indiv/2007_Editmanual_Exhibits.pdf
serve as the primary processing instructions. Additional information
is provided in Exhibits 63 through 82 that can also be found at http://soi.soi.irs.gov/docs/indiv/2007_Editmanual_Exhibits.pdf -
The data produced by the Individual SOl Program
are based on a sample of returns and these statistics are used in producing
aggregate tax estimates. Although most of the data processed by SOI are subjected
to regular Revenue Processing functions, some of the data may require additional
careful review of the entire return to verify and reconcile specific entries.
In many cases, the consistency test routines will identify sources of error.
In other cases, certain errors can only be identified indirectly through failure
of tests on related fields. The editing instructions provide uniform explanations
of error resolution procedures. Nevertheless, there will be some processing
issues that will require the interpretation of a Lead Editor or National Office
Staff. As the SOl Division identifies these processing issues as common to
several service centers, appropriate instructions are incorporated into an
edit update and into updating the edit manual for the following year.
-
Editors receive batches of work containing returns
and associated Forms 4251 grouped under Shipment Control sheets. Editors should
verify that the “Primary SSN”
, ”Service
Center”
, “Cycle”
and “Page/Line Count
”
that display on the bottom of the SOl Individual Main Menu screen
when entering a return agree with the information on the Return Charge-Out
to confirm that the correct return record is being accessed for processing. -
Screens have been developed for each form for
the editing of data on-line. The screens follow the format of tax returns
but include only lines used in SOI processing. On-line consistency tests are
run screen by screen. Messages (i.e., error, help, and information) that are
triggered by running consistency tests will display at the top of the screen.
In a couple of cases, tests will be run on more than one screen at a time
(e.g., Form 1040, Screens 2-3). The consistency tests are explained in Exhibits
1 through 62 ( http://soi.soi.irs.gov/docs/indiv/2007_Editmanual_Exhibits.pdf
) in order to show the nature of the error and the lines that are involved.
There is no need for the editor to perform the computation since the computer
has already done so. -
There are a series of HELP MESSAGES
that are not numbered. There are no instructions contained within
the editing or error resolution instructions for these messages. This is because
no further description is needed than what is stated in the
HELP MESSAGE. If an unnumbered HELP MESSAGE appears,
follow the instructions as they appear in the message. Error Resolution instructions
are provided and should be used for each numbered HELP MESSAGE
. -
Validity Tests and ranges of acceptable values
have also been incorporated into the on-line system. For instance, if the
values in a field should be 0, 1, or 2, a Help Message will indicate this
and will not allow further editing until an acceptable value is input. Additionally,
the positive and negative characteristics of a field have been programmed
so that if, for example, a field can be positive or negative, the system will
accept both types of numbers. In general, fields can be changed or skipped
over if no data are present, but in certain instances, entries are required
before the cursor will advance to the next field. -
Enter all money amounts in rounded
dollars (GT 49¢ round up, LT 50¢ round down). In addition,
the program will round results of computations within the consistency tests. -
If an Amended Return is attached to an Original,
process as one return. Use original and amended data as appropriate. -
Do not make any marks on the return or attachments,
except the “E”
(to show that it has been edited). -
Throughout the editing and error resolution instructions,
references to a line from the taxpayer’s form or schedule itself will
take the form (form or schedule number or letter):(line number). Examples
would be 1040:36, SE:4a. References to a line from the PRISM screen have the
line number following the word “line.”
Examples would
be Form 1040 line 36, or Schedule SE line 4a. It is important to keep this
distinction in mind throughout the editing process. -
Editing of Prior Year forms will require the editor
to compare the prior year line descriptions with current year line descriptions.
Equivalent line numbers for prior year forms have not been included in each
section due to the volume of changes over the past several years. -
Most forms processed through the form editing
sequence utilize a zero-balanced approach. This means that consistency tests
are performed to make certain that the data exactly balance. However, on certain
forms consistency tests are written to compare the sum of the detail to a
total and, if the absolute value of the difference is less than or equal to
$10, the cursor will then move to the largest field. Once the editor has verified
amounts, a function key can be pressed to adjust the largest field by the
difference (DIFF). Other routines that are more specific to a form are described
in the appropriate editing instructions. Examples include having the system
adjust the largest Schedule C or F Net Profit/Loss, Income, and Expenses when
the absolute value of DIFF between the Schedule C or F sum and the 1040 amount
is less than or equal to $10. PRISM will also identify the largest Income
or Loss amount on a Rental or Royalty Worksheet to balance to ”
Total Rent and Royalty Income”
, for instance. -
The error resolution instructions for each form
address how Revenue Processing and taxpayer figures are to be reconciled.
The general approach is to accept Revenue Processing changes as long as they
are correct and the data are internally consistent. If Revenue Processing
figures appear to be incorrect, you should generally go back to taxpayer figures.
If taxpayer and Revenue Processing figures are incorrect, perform computations
to arrive at the correct figures. -
When examining the tax return as directed by the
error correction instructions in Exhibits 2 through 62 ( http://soi.soi.irs.gov/docs/indiv/2007_Editmanual_Exhibits.pdf
), editors must be alert to non-official forms and schedules. -
“Substitute for Returns”
(SFR’S),
will be ‘Rejected’ if they have no money amounts. Refer the return
to the lead editor to be rejected. -
It is necessary to make comparisons between the
return and the screen in order to assist in determining the source of error.
Be aware that many amounts on screens are generated in the load program or
come from the SCRS tape. Generally, once a value is changed, the original
amount is lost. If it is necessary to see what a value was before it was changed
(and the value had originally come from SCRS), use the Display SCRS function
under the Editor GUI Menu Bar option. In addition, certain fields are identified
within the editing instructions where the original SCRS value can be accessed
to assist you with your editing. The SCRS value for these fields can generally
be accessed by pressing [SHIFT]+[F2] when the cursor is positioned on one
of the identified lines. -
A significant number of Revenue Processing errors
may be identified on returns with “no tax consequence”
(i.e.,
Tentative Tax equals zero). You should be particularly aware of Revenue Processing
and taxpayer errors on these returns in SOl processing. Verify the data between
the return and the screen in each case and make corrections through the use
of the instructions in this manual. National Office should be contacted if
further guidelines are needed. -
After the entire return has been edited, enter
an “E”
in the top right corner on the front of the return. -
Form 1040EZ return records must only be pulled
if a charge-out has been generated through the ‘STARTS’ System
indicating that the record has failed a consistency test. -
Generally, amounts may be moved among lines of
data not affecting a form’s bottom line when it is clear to the editor
that taxpayer wording on the form or attachment is a close enough match to
the wording on the form’s line to justify moving the amount.
-
Any return that becomes a High Income Nontaxable
(Hint), or goes from HINT to non-HINT status, or has tax-exempt interest being
a high proportion of expanded income, as a result of editing will be identified
via a consistency test and will be listed on Report H, PRISM Photocopy Report,
the day after it is completely edited. A HINT return is characterized as follows:-
Adjusted Gross Income (Line 37) or Expanded Income
greater than $199,999 -
Income Tax After Credits (Line 57) is blank;
-
Identified as a HINT return in consistency tests.
A
return that goes from HINT to non-HINT status will have a sample code GT 100
and LT 131 but not meet the conditions in (a) through (b) above.
-
-
Photocopying and shipment of HINT returns are
described in IRM 1.13.3, Document Management.
-
To refer problem returns or questions in editing
to National Office, managers and lead tax examiners can use the Communication
Log. The log helps provide timely feedback on editing issues and ensures that
all Processing Centers have the same information at the same time. Further
processing instructions from National Office and responses from National Office
to those problem cases or questions will also be handled via this log. All
Processing Service Centers will have access to logs from other Service Centers
and the responses given by National Office.
-
Any returns forwarded to Adjustments within the
Processing Center due to Revenue Processing errors detected during SOl processing
are to be accompanied by Form 3465, “Adjustment Request”
.
An example of a referral would be an erroneous refund or a case in which the
balance due has been incorrectly increased. Photocopy the return and complete all SOI processing for the return. Forwarding of the return
should be done in accordance with ‘STARTS’ procedures and utilize
Form 2275, “Records Request, Charge, and Recharge,”
if
necessary.
-
Direct time expended on this study by Document
Perfection Branch personnel should be charged to Function 210 and Program
25000. Control time expended on this study by Document Perfection Branch personnel
should be charged to Function 550 and Program 25000. Control time expended
by the Files Branch for this study should be charged to Function 550 and Program
25000.
-
To enter the Suggestion Log, click on the Logs
heading of the GUI Menu Bar and choose Suggestion Logs. This will bring you
to the last suggestion entered. The “Up Arrow”
key can
be used to scroll toward earlier logs and the “Down Arrow”
key
to scroll back to the more recent logs. To bring up a specific Log press [F7],
enter the Log number, and then press [F8]. The system will find that Log for
you. The [F7]/[F8] feature can also be used to bring up a group of logs, for
example all logs dealing with the Form 6251. Press [F7], and then enter FORM
6251 in the Form field on the Suggestion Log screen and press [F8]. -
Editors will only have access to suggestion logs
that they have entered, while leads and managers will have access to all logs.
-
To make a suggestion, press [F6] from the Suggestion
Log screen. This will take you to a new log with the cursor positioned on
the “Project”
field. Enter 1 to make a PRISM suggestion
or enter 2 to make a SOCA suggestion. Pressing [SHIFT]+[F2] will automatically
put in your name, date, Service Center and telephone number. You cannot change
the name, so if you want to have the correct name attached to a suggestion,
you must enter the suggestion from your own work station. The [SHIFT]+[F2]
key will take you directly to the “Problem Type”
field.
Here you can put in something general, such as “Wasted Keystrokes
”
or “Test or Help Message Needed”
, or something
more specific, or just leave it blank. The next field is “Test
Number”
, only fill in this field if you have a suggestion related to
a specific test. -
Next, enter the name of the form in the “Form”
field. This must be typed in correctly or the editor
will not be allowed to go to the next field. To get the Help Window listing
all the possible forms, press [F1] from the “Form”
field.
The editor can find the correct response by using the “Up”
and “Down”
arrow keys to scroll through the list or by clicking
on the desired entry. Click [OK] or press [Enter] to commit. Further, if the
editor knows what form but not necessarily the terminology that we use for
this log, they can find the form by typing, for example, 1040 in the “Find”
field of the Help Window and then clicking on [FIND].
This will then list any of the form types that have 1040 in their name (Form
1040A, Form 1040(A)—meaning Form 1040, Screen 1, etc.). Scroll though
the list to find the desired selection and then press [Enter] to bring it
over to the “Form”
field. The “Form”
field
must have an entry. -
The next field is “Description of
Suggestion”
. The suggestion can be typed in directly, or [F2] can be
pressed to display a Pop-Up Window for entering the suggestion (up to 5,000
characters). If the “Description of Suggestion”
was entered
by pressing [F2] and using the Pop-up Window then you must press [OK] to commit
the description of the suggestion. Once you are finished entering the information
you want, press the [F10] key to commit the entire suggestion
log. If you have never committed your suggestion and you hit [Esc]
for any reason, the system will query you as to whether or not you want to
commit your suggestion. -
From here you can enter another suggestion (press
[F6]), scroll through other suggestions, or leave the Suggestion Logs by pressing
[Esc].
-
If you find a log that you wish to answer (or
you want to view the Service Center responses), press [F9]. Only Lead Editors
and Managers will be able to do this. This will take you to the Lead Response
screen. To enter a response, press the [F6] key, and the cursor will move
to the “Response By”
field. At the “Response
By”
field, press the [SHIFT]+[F2] key. This will automatically put in
your name, Service Center, and the response date. If you wish, you can change
the latter two fields by typing over the information. However, just like when
you make a suggestion, you cannot change the name. The “Response
”
field works exactly like the “Description of the Suggestion
”
field. Your response can be typed in directly or [F2] can be pressed
to display a Pop-UP Window in which to enter the response (up to 5,000 characters).
If you entered your response through the Pop-up Window, then you must press
[OK] to commit the response field. After you commit the “Response
”
field, press the [F10] key to commit your entire response. -
The screen displays 5 responses, if there is more
than 5 responses then use the arrow keys to scroll between them. To return
to the original suggestion press [Esc]. From here, you can scroll through
other suggestions, enter your own suggestion, or leave the Suggestion Logs
by pressing [Esc].
-
Once a suggestion has been made, we ask that each
Service Center respond to it within two weeks. It is up to the individual
centers how they do this. However, we recommend, that the Lead Editors print
out the suggestions and share them with the Unit Managers and the other editors.
A meeting time can be set up to go over these once a week. When a consensus
is arrived upon, the Lead Editor will then respond to the suggestion. If there
is a difference of opinions among the editors, a particular center can respond
more than once to a suggestion (there will be no limit set to the number of
responses you wish to give). Also, if there is more than one shift, each Lead
Editor can respond for his or her shift. Boxes in the header of the suggestion
log will record the service center abbreviation for those that have responded,
so that the individual making the suggestion can track how close the National
Office is to hearing from all of the centers. After each of the Service Centers
has responded to a suggestion, the National Office will then respond to the
suggestion. National Office will record an acceptance date if the suggestion
is to be adopted.
-
This subsection contains general instructions,
for tax examiners, on utilizing the PRISM system.
-
The numeric keypad is operational to ease data
input. Money amounts are entered in whole dollars only (rounded, .50+ round
up, and .49- round down); fields accommodate up to 13 digits. Certain fields
require an entry from the tax examiner before advancing to the next field,
while others are unchangeable. Specifications of all elements may be found
in the Data Element Reference List (DERL). -
Each return record has a unique REC_ID that is
used to link taxpayers’ information within PRISM, SOCA, and STARTS.
STARTS displays the REC_ID for each return record on the charge-out. -
Tax examiners have two options to access return
records from the Individual SOI Main Menu. The first option requires the input
of the record identification number (REC_ID), and the Social Security Number
(SSN) of the return record. Tax examiners will perform taxpayer verification
by acknowledging the correct Service Center (SC), Cycle, and Page Number Line
Count (PNLC) for the return record. The second option requires tax examiners
to enter the Social Security Number (SSN), Service Center (SC), CYCLE, and
Page Number Line Count (PNLC) for the return record. These four fields, also
referred to as the “key entry”
fields, are unique for
any return record, and are located on the Charge Out Sheet. Lead tax examiners
will access return records by entering the REC_ID only. In addition, they
will verify the SSN, SC, CYCLE, and PNLC before advancing to the next screen. -
Identification fields are displayed at the top
of every screen. These fields are the SSN, Tax Period (TXPD), REC_ID, Cycle
and Service Center (SC). Displaying these fields on each screen allows the
tax examiner to verify that they are editing the correct return. -
Navigation throughout the PRISM and SOCA system
can be performed by use of the keyboard or the mouse. The selection of menu
options, and GUI Menu bar options, can also be performed by use of the keyboard
or the mouse. Execution of the consistency tests can only be performed by
use of the keyboard.
-
The GUI MENU BAR is displayed
at the top of all screens, and is operational from all screens. The available
GUI Menu Bar options are Editor, Logs, Browse PY,Print, Calculator, Edit, Help, Quality, Reports, and N.O. Tools. Options are
available based on the tax examiner’s edit code. Options that are unavailable
are displayed in gray and are therefore non-functional. The available GUI
Menu Bar options can be accessed by using the mouse, or by pressing ALT +
the Underlined letter in GUI Menu Bar.
-
EDITOR: Press ALT+E, or
the mouse to access-
Calendar: Choose this option
to view your own production calendar as a regular tax examiner or to view
the production calendar for any or all tax examiners in your service center
as a manager or lead. There are separate calendars for PRISM and SOCA editing.
Use the up and down arrows to move between months. The first number for the
day shows the number of returns with RSI = 5 or 6. Second number shows the
number of returns with RSI = 6 for second edit. Follow the screen prompts,
which appear as a manager or lead. Pressing return at the ‘editor’
and ‘unit’ prompts will generate totals for all editors in all
units. Pressing return at the ‘editor’ prompt, and entering a
unit number will generate totals for all editors in that unit. Entering a
specific editor ID will generate totals for that editor. -
Color: Press ALT+O, or the
mouse to access. Change background color of the screen. -
Display Error: Displays additional
information about an Oracle error. Only use this option when directed by a
programmer or a National Office analyst. -
Display SCRS: Displays SCRS
values (if they exist) while in a form or schedule. Consistency tests are
not activated while the SCRS values are displayed, and the tax examiner cannot
change the data. In addition, system fields, i.e. fsi, rsi, etc. are not changed.
This feature is for information purposes only. -
Return from SCRS: Tax examiners
are returned back to the form, or schedule, from where they activated the
‘Display SCRS’ option, and are to continue editing. -
Editor Counts: Tax examiners
use this option to view edited paper and ELF returns. Tax examiners can
only view returns they edited. -
Notice Codes: Display taxpayer
notice codes at the bottom of the screen. -
Previous Form: Tax examiners
are returned to the previously closed form/schedule, via the editing sequence,
within a return record. The previous form/schedule is opened, and will require
re-editing. -
Place Edit Window: Allows
the editing system to be displayed on either the right or left side of the
computer screen. -
Return Profile: Lead tax examiners
can view the profile for each return record (EXHIBIT 79). The profile includes
essential information from STARTS, PRISM, ISI, SOCA, and SOCA Quality. The
information will show the return’s life cycle beginning with STARTS,
then proceeding with PRISM, lSl, SOCA, and SOCA Quality. This option will
assist lead tax examiners in monitoring the life cycle for each return. -
Show Keys: Display a list
of keys, and the functions associated with the keys. -
TRDB Report: Display the TRDB
report. This report contains additional information that did not fit on the
form or schedule.
-
-
LOGS: Allow tax examiners
to communicate problems, or to make suggestions, to National Office analysts.
Also allows tax examiners to go to the Logs Report Menu and review the reports
for the logs. Press ALT+L, or the mouse to access.-
Comm Log: The communication
log is a subsystem of the Individual SOI system with the purpose of helping
tax examiners communicate questions or problems in the editing of a return
record to National Office employees. The tax examiner records vital information,
including form name, tax examiner’s name, date, ssn, cycle, pnlc, svcctr
and a description of the problem is recorded by the tax examiner. Each entry
will have a unique log number when created. National Office employees will
respond with a solution or, if it’s a technical problem, forward it
to the programming staff at the Cincinnati Service Center (CSC). Lead tax
examiners from all four processing centers have access to all entries, regardless
of which service center created the log. -
Comm Log Report: This option
takes the tax examiner to the Communication Log Report Menu. They can generate
a report from the system to show all communication logs that still have to
be answered by the National Office support staff. -
Suggestion Log: When utilizing
this option, tax examiners make suggestions on ways to improve PRISM and SOCA.
Tax examiners only have access to suggestions they have entered in the Suggestion
Log. Lead tax examiners from the four processing centers have the responsibility
to provide a response to the suggestions in order to assist National Office
analysts in evaluating implementation. The tax examiner who made the original
suggestion will receive a response from a National Office analyst after all
centers have responded. Service center abbreviations in the header of the
suggestion log will appear to track which service centers have responded. -
Suggestion Log Report: This
option displays the Suggestion Log Range Report Screen.
-
-
Browse PY: Press ALT+B,
or the mouse to access. This option gives the user the ability to browse last
year’s tax return (if it exists on our system) for the same SSN currently
being edited. In certain situations, this information could be helpful in
editing the current year tax return. When choosing this option, if the last
year’s return exists then the system will display a browse menu for
that return. Choose the form or schedule to be browsed from the browse menu.
Use the ESC button to get back to the current return. -
Print: Press ALT+P, or the
mouse to access. Prints the screen currently being displayed. -
Calculator: Press ALT+C,
or the mouse to access the standard and/or optional calculators. See Exhibit
75 (http://soi.soi.irs.gov/docs/indiv/2007_Editmanual_Exhibits.pdf).
-
Standard Calculator: Access
the standard calculator. -
Optional Calculator: Access
the optional calculator.
-
-
Edit: Press ALT+D, or the
mouse to access. Windows feature used to Cut, Copy, Paste and Clear. -
Help: Press ALT+H, or the
mouse to access. Used to access various on-line edit manuals.-
Edit Manual: Access the edit
manual section related to the PRISM or SOCA form/schedule currently being
edited. -
Edit Manual Menu: Displays
a numbered lists of all PRISM/SOCA forms. From this list, the edit manual
section for any PRISM or SOCA form can be accessed. -
ELF Form Review:This option
will be implemented at a later date. It’s functionality is forthcoming. -
NAICS Manual:Access the NAICS
Manual. -
Form 8283 Code Help:Access
the Form 8283 code help screen. -
Asset Code Manual:Access the
SOCA Asset Code Manual. -
SOCA Mutual Utilities: Access
the SOCA Mutual Fund Utility. -
REIT Utility: Access the REIT
Utility. -
SOCA QR Function Keys: List
of keys used for SOCA QR. -
Abbrev & Ticker Utility:
Access the SOCA Abbreviations and Ticker Symbol Utility. -
User Manual: Access the PRISM
User’s Guide for general instructions. Currently not operational.
-
-
Quality: Access to this
menu is limited to managers and lead tax examiners. This option references
both the Individual Systematic Improvement System (ISI) and the SOCA Quality
System. Codes for differences found. Press ALT + Q, or the mouse to access.-
SOCA QR Menu: Go to SOCA QR
Menu. See the SOCA User’s Guide for information on the SOCA Quality
System -
ISI Main Menu: Go to ISI Main
Menu. See lSl User’s Guide for information about the ISI Main Menu. -
ISI 1st Edit Regular Browse:
Browse the 1st edit of the Form/Schedule of the ISI QR Screen. This option
is only available from the ISI Perform Review function. -
ISI 2nd Edit Regular Browse:
Browse the 2nd edit for Form/Schedule of the ISI QR Screen. This option is
only available from the ISI Perform Review function. -
ISI 1st Edit Selective Browse:
Go to 1st Edit Browse Selection Menu. This option is only available from the
ISI Perform Review function. -
ISI 2nd Edit Selective Browse:
Go to 2nd Edit Browse Selection Menu. This option is only available from the
ISI Perform Review function.
-
-
Reports Menu: Press ALT+R,
or the mouse to access.-
PRISM: Takes the operator
to the Prism Reports Menu (Exhibit 81). Form this menu, the various Prism
reports can be generated if necessary and either viewed or printed. Descriptions
and instructions for the following Prism reports are located in Exhibit 74:
Records Sampled (A), Rejected Returns (B), Cleared and Open (C), Number Edited
by Editor (E), Open Records (F.1 and F.I All), Open Panel (F.2 and F.2 All),
Keyfield diff- by workgroup (G), Key Field Diff – All (G), Photocopy (H),
NAICS = 999999 (I), Workgroup Status (W), National Office (NO), Asset Code
22, Cleared and Open (C.1), and National Office (NO–1). -
ISI: Go to the lSl Reports
Menu. See ISI User’s Guide for information about the lSI Reports Menu. -
SOCA Management: Go to the
SOCA Management Reports Menu. See the SOCA User’s Guide for further
information. -
SOCA Quality: Go to the SOCA
Quality Review Reports Menu. See the SOCA User’s Guide for further information.
-
-
N.O. Tools Menu: Access
is limited to National Office personnel only.
-
Function keys (EXHIBIT 68) are used to ease the
editing of return records. The [F11] key moves the cursor to the field where
the consistency tests are executed. The consistency tests are executed by
pressing the [ENTER] key. -
Function keys are used to create Worksheets when
editing certain forms and schedules within the return record. Schedule E,
Form 4562, and Form 4835 use worksheets to enter taxpayers’ amounts
for Rents, Royalties, Partnerships and S-corporations, depreciable property,
and farm rental income and expenses respectively. In addition, tax examiners
can create worksheets for editing Schedule C, Schedule F, and Form W2. Function
keys are used to create asset coding and balancing transaction worksheets
for the Schedule D. In addition, tax examiners will use function keys to view
the Mutual Fund Asset Coding Utility and the Abbreviations and Tickler Symbol
Utility for the Schedule D. Instructions for editing the Schedule D worksheet
are described in the Schedule D editing instructions. -
Navigational keys are used to allow the tax examiner
to navigate through a screen more efficiently. The [Page Down] and [Prev Screen]
keys are the two main navigational keys. Some screens are divided into two
or more parts as are the actual tax forms. The [Page Down] key moves the tax
examiner to the next field designated with a (N). This will allow the tax
examiner to skip parts where no editing is required. The [Page Up] key allows
the tax examiner to move to the previous field designated with a (N). [Page
Up] and [Page Down] can be activated from any field on the screen. If the
[Page Down] key is pressed to move the tax examiner to the next screen of
a form, the consistency tests for the current screen are executed before the
next screen is displayed. Tax examiners can advance to the next enterable
field by pressing the [ENTER] key, or go back to the previous enterable field
by pressing the [F12] key.
-
Fields are validity tested as the tax examiner
enters the data, or through the execution of the consistency test routines.
Help messages are displayed at the bottom of the screen to indicate all valid
entries for code fields. This will assist tax examiners in selecting the correct
value for the code. -
Data is consistency tested on a screen by screen
basis. The [F11] key is used to move the cursor to the field (generally the
last field of a screen) where the consistency tests are executed. After the
[Enter] key is pressed to execute the tests, sequential errors are displayed.
When a test fails, the cursor will move to the field that may help identify
the point of error on the screen. An error message is displayed at the top
of the screen. If the tax examiner cannot resolve the error, the tax examiner
may refer the return to the lead tax examiner for review. -
Fields are verified and corrected on all forms
and schedules for internal consistency. This verification and correction process
is also performed between the active form and all supporting forms and schedules,
to ensure consistency within the return record (i.e. Form 1040 and Schedule
A). Errors are identified by the consistency tests, or through the tax examiners’
examination of all data on the return record. A tax examiner may go back to
prior screens to correct data, but is unable to move to the next screen until
the consistency tests for that screen have been executed, and are error-free.
-
All supporting forms and schedules are edited
prior to editing the Form 1040, or Form 1040A (EXHIBIT 69). This ensures consistency
testing of data between supporting forms and schedules, and the Form 1040,
or Form 1040A. We retain Revenue Processing’s (RP) computed amounts
from these supporting forms and schedules for comparison with the edited amounts.
These RP amounts are located on the Returns Data File (RDF), which is processed
at the Martinsburg Computing Center (MCC). The RP amounts and the edited amounts
are compared after editing the supporting form or schedule. When the amounts
are equal (usually within a $10 tolerance), the system will move the edited
amount to the Form 1040 or 1040A, where it is unchangeable. -
When the edited amount from the supporting form
or schedule does not equal the saved amount from RP, a warning message appears.
This warning message states that the bottom line amount from the supporting
schedule does not equal the amount from RP. The first time this screen appears,
the tax examiner is sent back to the first field on the form to verify all
line amounts, and make appropriate changes. After the initial re-edit, if
the two amounts are still out of balance, the tax examiner has the option
to re edit the form again, exit to the main menu, or accept the amount and
go to the next form in the return record. -
Edited amounts from some forms/schedules are carried
over to supporting forms/schedule after editing. See the Editing Instructions
for each form/schedule to see what amounts are carried over from a supporting
form or schedule. -
Certain line items that contain original RP amounts
are displayed to assist tax examiners in editing. [Shift + F2] can be pressed
to display the RP amount. See the Editing Instructions for each form/schedule
to see what RP amounts are displayed.
-
The frequency of the forms and schedules is listed
below. In the case of “multiples”
, except for Form 8606
and Schedule SE, the system assigns a sequence number to each occurrence within
the multiple form. For example, sequence = 1 for the first Schedule C, sequence
= 2 for the second Schedule C, etc. For the Form 8606 and Schedule SE, an
indicator is set to differentiate between the primary and secondary taxpayer.Form/Schedule
Number
of MultiplesSchedule
C3+ Schedule
F2+ Schedule
SE2 Form 2106 2 Form 5329 2 Form 8606 2 Form 8814 3 Form 8889 2 -
The multiples for these forms can be added after
editing the first sequence for the form. A “pop-up”
window
will instruct the tax examiner on how to add another sequence, re-edit the
current sequence, or go to the next form in the editing sequence. If there
are more multiples attached than allowed, combine the excess multiples into
the last sequence by following the editing instructions. -
Schedule C worksheets are created when editing
a Schedule C that contains more than 3 occurrences. Editing instructions for
the worksheets can be found in ‘Editing of Data for Schedule C Profit
or Loss from Business’ of this document. -
Schedule F worksheets are created when editing
a Schedule F that contains more than 2 occurrences. Editing instructions for
the worksheets can be found in ‘Editing Instructions for Schedule F,
Profit or Loss from Farming’ in this document.
-
When a tax examiner enters the system, the Individual
SOI Main Menu (EXHIBIT 76) appears. The options available on this menu are:
edit a return, lead tax examiner menu, ISI second edit, browse a return, create
return, and Edit SOCA return. Press the [ESC] key to exit the Individual SOI
Main Menu. Use mouse to select an option, or enter the option number. Options
that are unavailable are displayed in gray, and are non-functional.
-
Edit A Return
-
After selecting ‘edit return’, the tax
examiner must enter the REC_ID and Social Security Number for the return record,
or the key entry fields to access the return record. Validation is performed
to determine if the return record exists. If the return exists, the PRISM
Form 1040 Selection Menu (EXHIBIT 77) appears. If the return is not found,
an error message is displayed stating that the return record does not exist.
If this happens, tax examiners must notify the lead tax examiner, who must
then notify National Office. -
The PRISM Form 1040 Selection Menu appears after
the Individual SOI Main Menu. The menu displays which forms are present according
to the form sequence number (EXHIBIT 70). The PRISM Form Status Indicator
(FSI) (EXHIBIT 71) is located next to each form. -
When a return record is loaded to the database from
the RDF, the form is marked present (FSI = “P”
). In the
case of multiple forms (i.e. Schedule C), only one “P”
is
required. While the Form 1040 Selection Menu is displayed, the tax examiner
must carefully look through the entire return and identify any PRISM and SOCA
forms that are present, but do not have a FSI of “P”
.
This will typically be forms that were not processed by Revenue Processing
(RP). The ‘option’ field on this screen is initially set to an “A”
for tax examiners to add forms that were not processed by
RP. Enter the form sequence number that is adjacent to the form on the Form
1040 Selection Menu. The system will mark the form present on the menu. However,
do not add a form that has Alternative Minimum Tax (AMT) printed at the top
of the form. Continue this process until all PRISM and SOCA forms are added.
After all required forms are added, select option “N”
to
began editing the first form in the editing sequence. -
Tax examiners can add forms, via the Form 1040 Selection
Menu, anytime during the editing of a return record. They can delete forms,
which are not present from SCRS, anytime during the editing of a return record.
In most cases, tax examiners cannot delete forms present from SCRS. If a SCRS
form needs to be deleted, and the examiner is unable to delete it, they will
refer the return to the lead tax examiner. -
When the return record is initially accessed, the
system will access the first form that is present in the editing sequence
(FSI = P). The editing sequence for a return record differs from the order
of forms and schedules which are displayed on the PRISM Form 1040 Selection
Menu (EXHIBIT 77). The editing sequence breaks the 1040 and 1040A into multiple
parts. The Form 1040 is accessed five different times, the Form 1040A is accessed
three different times, and the Form 1040EZ is accessed once. -
After editing the first occurrence of a multiple
form, tax examiners are prompted with the option to create subsequent form(s).
For each subsequent form created, editing is completed, and the tax examiner
is prompted again until they reach the limit of multiples for that form. If
no subsequent form(s) are created, the FSI for the form is set to a “C”
. Before editing begins on added forms distinguished as primary
or secondary, tax examiners are prompted to create either the primary, or
the secondary. -
When re-entering a return record for further editing,
the system searches for the first form in the editing sequence with a FSI
of I or P and takes the tax examiner to that form or schedule. -
A non-interactive batch program is ran immediately
after each cycle is loaded to the database. It subjects all electronically
filed Form 1040A, Form 1040EZ, and certain Form 1040 return records to the
consistency tests. Any return record that fails one of the consistency tests
is subjected to the on-line PRISM processing via the Individual SOI Main Menu.
STARTS will generate charge-outs for these returns. All paper return records
require on-line editing, via the Individual SOI Main Menu. -
Tax examiners can reopen return records that are
closed, and have successfully completed the quality process. Rejected and
locked returns (see 2.10) cannot be reopened. When the tax examiner reopens
a return, a message is displayed informing them that the RSI has been cleared.
In addition, the SOCA Return Status Indicator (SRSI) (EXHIBIT 82) is cleared
for SOCA returns. If the return was selected for ISI, it can only be reopened
after the completion of the ISI process. Likewise, if the return was selected
for SOCA Quality, it can only be reopened after the completion of the Quality
process. When a previously closed return is reopened, the FSI for the last
screen of the return (1040, Screens 6 & 7; 1040A, Screens 4-5; 1040EZ)
is set to an I, and the tax examiner has to re-edit the screen(s). If the
tax examiner chooses to re-edit, add or delete a specific form or schedule,
all subsequent forms, via form editing sequence, are set to an I. All forms
with a FSI equal to an I require re-editing
-
-
Lead Tax Examiner Menu
Access to the Lead Tax Examiner Menu (EXHIBIT 78) is
restricted to the editor’s identification number. The Lead Tax Examiner
Menu options include: browse a return, set reject code, PRISM form edit menu,
SOCA form edit menu, change filing period, convert form type, and convert
SOCA. -
ISI Second Edit
This option represents the “double-edit
”
system, where a sample of edited PRISM returns are selected and edited
a second time. The data from the second edit is stored on Quality Review tables
that are identical to their Original Entry counterparts. These second edit
returns are compared to the first edit through a batch program. Differences
are examined by a Quality Reviewer through a “reconciliation
”
process. Discrepancies found in the reconciliation process can be
corrected, and a menu driven report system will generate reports from the
Individual Systematic Improvement System (ISI). -
Browse A Return
Tax examiners can browse return records by selecting
the browse option. They are given the option of browsing either the first
or second edit of a return record. The Browse Form Selection Menu, (EXHIBIT
80), allows the tax examiner to select the form/schedule they wish to browse.
Consistency tests are not activated in browse, and the tax examiner is not
able to change the data. System fields, i.e. fsi, rsi, etc., are not changed
while the tax examiner is in browse mode. -
Create Return
This option is used to edit an individual tax return
that was NOT posted to the Masterfile at MCC, but was selected for the SOI
sample. i.e., a return with large money amounts. Before the tax examiner creates
the return, they must get National Office approval. All money amounts, the
primary and secondary SSNs, and the filing period are entered via PRISM. -
Edit SOCA Return
Tax examiners use this option to edit additional data
for return records identified in the SOCA panel. See the SOCA User’s
Guide for further instructions.
-
The lead tax examiner mode is designed for the
review of data by the lead tax examiner. The editing of 1040, 1040A, and 1040EZ
return records should take place through the regular tax examiner mode, via
the Individual SOl Main Menu. The editor’s identification number restricts
access to the Lead Tax Examiner Menu. Use mouse or type in number, to select
an option, options include browse a return, set reject code, PRISM form edit
menu, SOCA form edit menu, change filing period, convert form type, and convert
SOCA.
-
Browse A Return
Tax examiners can browse return records by selecting
the browse option. They are given the option of browsing either the first
or second edit of a return record. The Browse Form Selection Menu, (EXHIBIT
80), allows the tax examiner to select the form/schedule they wish to browse.
Consistency tests are not activated in browse, and the tax examiner is not
able to change the data. System fields, i.e. fsi, rsi, etc., are not changed
while the tax examiner is in browse mode. -
Set Reject Code
Lead tax examiners can reject a return by setting the
Reject Code to a valid value (EXHIBIT 73), if the reject code and PRISM Return
Status Indicator (RSI) (EXHIBIT 72) are null. To reject a return, the lead
must input the key entry fields for the return record, then the system will
prompt the lead to enter the appropriate value. The message, ”
Reject Code Has Been Set”
is displayed after the return is rejected.
When a return is rejected, the RSI is set to a “7″
, and
if the return is part of the SOCA panel, the SRSI (EXHIBIT 82) is set to a “7″
. Rejected returns are closed, and cannot be reopened. In
addition, rejected returns are not subjected to the Individual Systematic
Improvement System (ISI) or the Backend PRISM Process. -
Reserved
-
PRISM Form Edit Menu
-
This option is identical to option 1 off the Individual
SOl Main Menu. After entering the rec_id, or the key entry fields for a return
record, the Form Selection Menu for the Form 1040, or Form 1040A/EZ appears.
This menu is identical to the Form Selection Menus that are accessed by regular
tax examiner. The Form Status Indicators (FSI) are displayed on the menu to
show which forms are available for editing, and their status. If a form does
not exist in the system for the return record (FSI_form_name = ”
null”
), but a paper form exists, lead tax examiners can add the form
to the return. If the added form is a multiple, the system automatically creates
the first occurrence. After editing the first occurrence, lead tax examiners
are prompted with the option to create any subsequent form(s). For each subsequent
form they create, editing is completed and they are prompted again until they
reach the limit of multiples for that form. Before editing begins on added
forms distinguished as primary or secondary, lead tax examiners are prompted
to add either the primary, or the secondary. Lead tax examiners have the ability
to edit return records, where the editing is forced to adhere to the form
editing sequence. Upon the completion of the editing process, the return record
is closed. -
When a form/schedule is selected for editing, adding
or deleting in the lead tax examiner mode, all subsequent forms, via the form
editing sequence, are set to an “I”
and require re-editing. -
If the RSI is set for a return, and this option
is selected, the RSI is set to null. A message is displayed at the bottom
of screen stating this action. -
Form 1040, Form 1040A, and Form 1040EZ cannot be
added or deleted. All supporting forms and schedules created at MCC can be
deleted except Form 1040/1040A/1040EZ, and the Schedule D. Certain circumstances
will prevent the lead tax examiner from deleting a Form 3800. In these cases,
National Office analysts will delete the form. All forms that were added,
via Forms Selection Menu, may be deleted. To delete a form, the form number,
and the Sequence Number or Prim/Sec Status, when applicable, must be entered. -
Lead tax examiners can reopen PRISM returns selected
for ISI upon the completion of the ISI process, and SOCA returns upon the
completion of the SOCA Quality.
-
-
SOCA Form Edit Menu:
See SOCA User’s Guide for further instructions.
-
Change Filing Period
When Revenue Processing creates an incorrect filing
period, lead tax examiners have the option of changing the filing period for
the return. When the filing period is changed, all FSI’s for a return
record are set to “I”
. This necessitates a complete re-editing
of the return record. -
Convert Form Type
When a return record has an incorrect form type, based
on the internal revenue code criteria, the lead tax examiner can convert the
return record to its appropriate form type. The two available options are
converting a Form 1040A to a Form 1040, and converting a Form 1040EZ to a
Form 1040A. -
Convert SOCA
Tax returns that were initially identified as “simple”
SOCAs, are converted to traditional SOCAs, where the
editing of SOCA worksheets is performed through the full SOCA edit. See the
SOCA User’s Guide for further instructions.
-
The Individual
SOl system automatically closes a return record after the FSI for all forms
and schedules equal “C”
. A closed PRISM return has a RSI
= 5 or 6, and a closed SOCA return has a SRSI = 6. Closed returns are subjected
to ISI and the Backend PRISM Process (see IRM 3.49.5.2.11). PRISM returns
are then exported to National Office for further processing. Setting the reject
code also closes a return record. Rejected returns are not subjected to ISI
or Backend PRISM Process.
-
The Backend PRISM
Process is a batch process that subjects PRISM return records to a series
of balancing routines. Return records that are edited (RSI = 5, 6), missing
(RSI = Null), or forced (RSI = Null) are subjected to this process. Return
records with imbalance conditions are reviewed by National Office analysts,
and are subsequently “locked”
(see IRM 3.49.5.2.12). Upon
completion of this process, return records are sent to National Office for
additional processing, and to create the Advanced Data/Final Closeout data
files.
-
A ”
locked”
PRISM return record has a RSI = 5 or 6, and is currently being
processed by either the Backend PRISM Process or the National Office process.
A SOCA return record is locked when the data has been extracted to National
Office, or when the tax return has been released back to the originating files
unit. Tax examiners are restricted from reopening locked PRISM and SOCA return
records.
-
ELF returns are
not immediately accessible to the tax examiners for editing. ELF returns reside
on the Individual SOl database with a RSI of “E”
, and
will not be available for editing until a later date. ELF data is retrieved
from the centralized Tax Return Database (TRDB) at MCC. The tax examiners
can edit the return after the electronic data is retrieved.
