Internal Revenue Manual § 3.24.28 - Foreign Account Tax Compliance General Purpose Programs

3.24.28 Foreign Account Tax Compliance General Purpose Programs

Manual Transmittal

August 04, 2025

Purpose

(1) This transmits revised IRM 3.24.28, ISRP System, Foreign Account Tax Compliance General Purpose Programs.

Material Changes

(1) Editorial updates were made to this IRM section to comply with the January 2025 executive orders and OPM guidance.

Effect on Other Documents

IRM 3.24.28 dated December 2, 2024 (effective January 1, 2025) is superseded.

Audience

The primary users of this IRM are Taxpayer Services, Submission Processing Integrated Submission Remittance Processing (ISRP) clerks in the Data Conversion Operation.

Effective Date

(08-04-2025)

James L. Fish
Director, Submission Processing
Taxpayer Services

3.24.28.1 (08-04-2025)

Program Scope and Objectives

1. Accurate and timely input of the Foreign Account Tax Compliance Act (FATCA) Form 8938, Statement of Specified Foreign Financial Assets, and Form 8966, FATCA Report, is of the utmost importance to allow for proper downstream document matching within the Large Business and International (LB&I) Business Operating Division (BOD).

   • Policy Owner: Director Submission Processing

   • Program Owner: Return Processing Branch, Mail Management/Data Conversion Section of Submission Processing

   • Primary Stakeholders: Campus Data Conversion Operation clerks

   • Program Goal: Accurately and timely processing of FATCA Form 8938, Statement of Specified Foreign Financial Assets, and Form 8966, FATCA Report

3.24.28.1.1 (01-01-2023)

Background

1. The input Foreign Account Tax Compliance Act (FATCA), Form 8938, Statement of Specified Foreign Financial Assets, and Form 8966, FATCA Report, is being done to comply with the Foreign Account Tax Act (FATCA) that was passed as part of the HIRE Act. It generally requires that foreign financial Institutions and certain other non-financial foreign entities report on the foreign assets held by their U.S. account holders or be subject to withholding on withholdable payments. The HIRE Act also contained legislation requiring U.S. persons to report, depending on the value, their foreign financial accounts and foreign assets. The FATCA forms addressed in this Internal Revenue Manual are filed and processed at the Submission Processing Centers shown in the table below. The first column of the table shows the FATCA form. The second column states the parent form the FATCA form is attached. The third column shows the corresponding Submission Processing Centers that process each specific FATCA form.

   Submission Processing Centers That Process FATCA Forms

   Form	Attached to Parent Return	Submission Processing Center
   Form 8938	1040, 1040-SR	Austin Submission Processing Center Kansas City Submission Processing Center Ogden Submission Processing Center
   Form 8938	1040-NR	Austin Submission Processing Center
   Form 8938	1041, 1065, 1120, and 1120-S	Kansas City Submission Processing Center Ogden Submission Processing Center
   Form 8966		Austin Submission Processing Center

    

3.24.28.1.2 (01-01-2018)

Authority

1. The following provide authority for the instructions in this IRM to be performed in support of completing compliance functions to make credits or refunds of any internal revenue tax, processing of non-revenue forms, and administrative support forms.

   1. Title 26 of the United States Code (USC) or more commonly known as the Internal Revenue Code (IRC)

   2. All Policy Statements for Submission Processing are contained in IRM 1.2.1, Servicewide Policies and Authorities, Policy Statements for Submission Processing Activities.

   3. The Hiring Incentives to Restore Employment (HIRE) Act.

3.24.28.1.3 (01-01-2018)

Roles and Responsibilities

1. The Director, Operation Manager, and Department Managers are responsible for monitoring the flow of receipts to ensure the program objective of timely and accurately processing the forms contained within this IRM.

2. Team Managers are responsible for:

   • monitoring the flow of receipts to ensure the program objective of timely and accurately processing the forms contained within this IRM.

   • conducting product reviews to ensure team employees are following instructions contained in this IRM.

   • timely distribution of this IRM.

3. Team employees are responsible for:

   • following instructions contained in the IRM.

   • maintaining updated IRM material in a timely manner.

4. IRM Deviations must be submitted in writing following instruction from IRM 1.11.2.2, Internal Management Document System - Internal Revenue Manual (IRM) Process, IRM Standards, and elevated through appropriate channels for Executive approval.

3.24.28.1.4 (01-01-2018)

Program Management and Review

1. Reports: For a comprehensive list of reports used to manage the programs covered in this IRM see IRM 3.24.202.5, Supervisory Operation Manual, Managerial Reports.

2. Program Effectiveness:

   • Downstream data matching in LB&I

   • Managerial Reviews

3.24.28.1.5 (01-01-2018)

Program Controls

1. Integrated Submission and Remittance Processing (ISRP) system access is granted through the BEARS process.

2. Security level monitoring.

3.24.28.1.6 (01-01-2023)

Terms, Acronyms, and Definitions

1. The table below shows the terms and acronyms used throughout this IRM along with the definition of each term. Column one lists the term. Column 2 shows the corresponding acronym. Column C provides a definition for the term.

   Term	Acronym	Definition
   Alpha Block Control	ABC	A three-alpha code used to identify blocks of work processed through the Data Conversion function.
   Amended Return		A return filed to correct data submitted on an original return.
   Batch/Batch Number		A specific group of like documents. The batch number is located in the Block Header and Identifies the cart the block is located.
   Batch/Block Tracking System	BBTS	A comprehensive, integrated batch creation and tracking system. It’s used to generate block headers for Original Entry (OE)/Key Verification (KV) input.
   Block		A group of related tax returns or documents processed throughout the pipeline of Submission Processing. A block can consist of 100 or less items of like returns or documents identified with consecutive Document Locator Numbers.
   Block Header Sheet	BHR	The information transcribed by Integrated Submission and Remittance Processing (ISRP) System/Distributed Input System (DIS) to precede each block of documents in order to introduce balancing and identifying items common to the block.
   Business Master File	BMF	A Master File of various types of business return data which is maintained under an Employer Identification Number (EIN).
   Calendar Year	CY	Twelve (12) consecutive months ending December 31.
   Continuation Form Indicator	CFIND	A one-digit number of "1" alerts the computer there are continuation forms available for input. The computer system will automatically bypass repetitive input fields and will present the screen necessary for input of continuation sheets.
   Date Stamp		The campus received date is stamped on tax returns and documents indicating the date received at IRS campus, territory office, area office or by an authorized agent of the IRS.
   Document Locator Number	DLN	The Document Locator Number (DLN) is the 14-digit number assigned to every return or document. Refer to DLN Composition Document 6209, IRS Processing Codes and information.
   Employer Identification Number	EIN	A nine-digit number used to identify a taxpayer’s account.
   Entity		The area on source documents where the name, address, account number, tax period and other entity data appear.
   Entry Operator	EOP	Employee Operator working the batch.
   Fiscal Year	FY	Twelve consecutive months ending on the last day of any month other than December.
   Foreign Account Tax Compliance Act	FATCA	The Foreign Account Tax Compliance Act (FATCA), which was passed as part of the HIRE Act, generally requires that foreign financial Institutions and certain other non-financial foreign entities report on the foreign assets held by their U.S. account holders or be subject to withholding on withholdable payments. The HIRE Act also contained legislation requiring U.S. persons to report, depending on the value, their foreign financial accounts and foreign assets.
   Foreign Financial Institution	FFI	Foreign Financial Institution. Any foreign entity that: Accepts deposits in the ordinary course of banking or a similar business such as banks and credit unions. Holds financial assets for the account of others as a substantial portion of its business such as brokerages or custodians.
   File Location Code	FLC	A two-digit number that identifies the service center at which a file is processed or maintained.
   Global Intermediary Identification Number	GIIN	A 19-character identification number that is a composite of the following identifiers: FATCA ID, financial institution type, status code, and country identifier. A Financial institution registered to be FATCA compliant is issued a GIIN.
   Individual Master File	IMF	A Master File of individual tax return data which is accessed by input of a social security number (SSN).
   Individual Taxpayer Identification	ITIN	An ITIN is a nine-digit number (assigned by IRS) to those individuals who do not qualify for a social security number (SSN) but require an identifying number for tax purposes.
   Integrated Submission and Remittance Processing	ISRP	The Integrated Submission and Remittance Processing (ISRP) System transcribes and formats data from paper returns/documents/vouchers for input into the Generalized Mainline Framework (GMF) and other systems by key entry operators. It also captures check images for archiving.
   Internal Revenue Code	IRC	The tax laws as set forth by Congress.
   Internal Revenue Manual	IRM	A handbook of procedure and law specifically designed to cover one area of processing.
   IRM Procedural Update	IPU	Procedural updates that are made to an IRM after the IRM is published. The updates are posted to the IRM on SERP, and will be included in the next published version of the IRM.
   Internal Revenue Service	IRS	The division of the U.S. Department of the Treasury responsible for the collection of income, excise, and other taxes and the enforcement of the tax laws.
   Julian Date		A system of numbering days of the year from 001 through 365 (366, if a leap year).
   Key Verification	KV	A status for ISRP terminals to enable data records to be verified by KV operators.
   Limitation On Benefits Code	LOB Code	A two-digit code used when withholding agents withhold at a reduced rate based on a treaty claim by an entity, for the recipient when they receive documentation establishing the applicable limitation on benefits provision of the treaty under which the entity qualifies.
   Master File	MF	A magnetic tape record containing entity and accounting information concerning taxpayer tax returns and related documents.
   Master File Tax Code	MFT MFTC	A two-digit number which identifies the type of tax.
   Mixed Data		An operator has transcribed entity from one document and the remaining information from another document.
   Mixed Entity		An operator has transcribed entity from one document and the remaining information from another document.
   Month Day Century Year	MMDDCCYY	Eight-digit numeric that identifies the two-digit month, two-digit day, two-digit century, and two-digit year.
   Name Control	NC	Up to four characters derived from an individual’s last name, the corporation name, or first listed partner’s last name in a partnership to identify the tax account.
   Non-Financial Foreign Entity	NFFE	A defined term in Foreign Account Tax Compliance Act (FATCA) legislation, used to denote any foreign entity that is not a financial institution.
   Original Entry	OE	Initial entry of data into the Integrated Submission Remittance Processing (ISRP) system.
   Primary SSN	PSSN	Nine-digit number required on all IMF input documents. (Usually located in first Social Security Number box on returns.)
   Prior Year	PY	A tax return with a due date prior to current operating year.
   Procedure		The established way or course of action for processing documents.
   Processing Year		The actual calendar year a return is filed and processed, e.g., 2023 tax returns are filed and processed in calendar year 2024.
   Program Number		A five-digit number used to identify types of remittance source documents which are being entered into RPS.
   Qualified Intermediary	QI	A foreign institution (primarily banks or investment firms) approved by the IRS to withhold U.S. Federal taxes and assume primary responsibility for their clients to pay those U.S. Federal taxes.
   Slipped Blocks/Mixed Data/Mixed Entity		An operator has mixed data or mixed entity on several documents within a block.
   Social Security Number	SSN	A nine-digit number assigned to the taxpayer by the Social Security Administration, and used as the account number of a taxpayer on IMF. May also be the identifying number on certain BMF accounts.
   Supervisor Operator	SOP	Supervisor owning the block of work.
   Taxpayer Identification Number	TIN	The controlling nine-digit number assigned to identify each taxpayer’s master file account. This number will either be in an SSN or EIN format.
   Temporary Social Security Number/Internal Revenue Service Number	TSSN IRSN	Assigned by the campus. On ECC-MTB or IDRS transcripts an asterisk (\*) appears following the invalid number. The fourth and fifth digits indicate the service center.
   United States	US U.S.	United States of America

3.24.28.1.7 (01-01-2022)

Related Resources

1. IRM 3.24.37, IMF General Instructions

2. IRM 3.24.38, BMF General Instructions

3. IRM 3.30.123, Processing Timeliness: Cycles, Criteria and Critical Dates

4. IRM 11.3.1, Introduction to Disclosure

5. The Taxpayer Bill of Rights (TBOR) lists rights that already existed in the tax code, putting them in simple language and grouping them into 10 fundamental rights. Employees are responsible for being familiar with and acting in accord with taxpayer rights. See IRC 7803(a)(3), Execution of Duties in Accord with Taxpayer Rights. For addition information about the TBOR, see Taxpayer Bill of Rights.

6. IRMs are located on Servicewide Electronic Research Program (SERP) at Servicewide Electronic Research Program. Specific instruction links are available on the IMF Data Conversion Research Portal located at IMF Research Portal.

3.24.28.2 (08-21-2019)

Introduction

1. This section provides instructions for the transcription and verification of data from the following:

   • Form 8938, Statement of Specified Foreign Financial Assets

   • Form 8966, FATCA Report

3.24.28.2.1 (01-01-2016)

Control Documents

1. Control data may be transcribed from the Form 1332, Block and Selection Record.

3.24.28.2.2 (08-21-2019)

Source Documents

1. Data will be transcribed from the following forms:

   • Form 8938, Statement of Specified Foreign Financial Assets

   • Form 8966, FATCA Report

3.24.28.2.3 (01-01-2021)

Forms/Program Numbers/Format Codes

1. The following table shows the program numbers and format codes for source documents.

   FORM	PROGRAM NUMBER	FORMAT CODE
   Form 8938 (attached to Form 1040, Form 1040-SR, Form 1041, Form 1065, Form 1120 and Form 1120-S)	43300 43302 (See second note below)	201 (See first note below)
   Form 8938 (attached to Form 1040-NR)	43310 43312 (See second note below)	202 (See first note below)
   Form 8966	36500 36502 (See second note below)	217 (See first note below)

   Note:

   For Form 8938 and Form 8966, the format code will be the same for the current year and prior year program codes.

   Note:

   Prior year program numbers ending in a 5th digit of 2 are being used for reporting purposes only. Do not enter the prior year program number into the ISRP system. Use current year program codes ending with a fifth digit of 0 for both current and prior year programs.

3.24.28.2.4 (01-01-2023)

Special Instructions-Form 8966, FATCA Processing

1. Each form with a foreign address in Part 1 must contain a Global Intermediary Identification Number (GIIN) on Part I, line 4 in order to be considered edited for input. If the GIIN is not present remove the return from the block and return it to the Code and Edit function. Pull the document and replace with an extra document or renumber.

   Note:

   If the address in Part I is a domestic address, a GIIN is not required.

2. Name lines will hold up to thirty-five characters. If the name line entry exceeds the 35 characters enter the first thirty-five characters. Valid characters are alpha, &, - or blank. A period (.) should be entered for illegible characters.

3. Do not use Major City Codes (MCCs).

4. Transcribe current tax year (2024) and two tax years prior (2022 and 2023). Do not transcribe a return that is more than 2 years prior than the current year.

3.24.28.2.5 (01-01-2023)

Special Instructions-Form 8938, Statement of Specified Foreign Financial Assets

1. Ignore special characters <, >, and (Note: An address, “N/A”, “None”, “Same”, or other variation should not be entered unless otherwise instructed.

2. For Individual type entity entries and all other entries that include the SSN/TIN, name, address, state codes, zip codes, country codes, and all abbreviations, follow IRM 3.24.37, ISRP System, IMF General Instructions, unless otherwise instructed.

3. For Business type entity entries and other entries that include the SSN/EIN/TIN, name, address, state codes, zip codes, country codes, and all abbreviations, follow IRM 3.24.38, ISRP System, BMF General Instructions, unless otherwise instructed.

4. Transcribe current tax year (2024) and two tax years prior (2022 and 2023). Do not transcribe a return that is more than 2 years prior than the current year.

5. If multiple Forms 8938 are attached, select the form that has the highest account value in Part V, Line 23, or highest maximum value in Part VI, Line 32. Do not transcribe the remaining Forms 8938. Multiple Forms 8938 is the presence of more than one page 1 of the Form 8938, and each page 1 contains different information.

3.24.28.2.6 (01-01-2023)

MUST ENTER Fields

1. Some fields require entry of data. These fields are referred to as MUST ENTER fields. They are indicated in the transcription operation sheets by the presence of stars (★★★★★★). See IRM 3.24.37, ISRP System, General Instructions, for procedures related to fields.

3.24.28.3 (01-01-2023)

ISRP Transcription Operation Sheets

1. The following exhibits represent specific data entry procedures the forms listed below.

   1. Form 1332, Block Header Data Entry.

   2. Form 8938, Statement of Specified Foreign Financial Assets.

   3. Form 8966, FATCA Report.

2. For all Individual Taxpayer Identification Numbers (TINs), refer to IRM 3.24.37.6.8, ISRP System, IMF General Instructions, for procedures, unless otherwise instructed.

3. For all Business Taxpayer Identification Numbers (TINs), refer to IRM 3.24.38.3.4.14.4, ISRP System, BMF General Instructions, for procedures, unless otherwise instructed.

4. Press for any element where no data is present, unless otherwise instructed.

Exhibit 3.24.28-1

Block Header Data Entry Form 1332, Block and Selection Record, For General Purpose Programming

Exhibit 3.24.28-2

Section 01, Form 8938, Statement of Specified Foreign Financial Assets, (Attached To Form 1040, Form 1040-SR, Form 1041, Form 1065, Form 1120, and Form 1120-S (Program 43300) Or Form 1040-NR (Program 43310))

Exhibit 3.24.28-3

Section 02, Form 8938, Statement of Specified Foreign Financial Assets, (Attached To Form 1040, Form 1041, Form 1065, Form 1120, and Form 1120-S (Program 43300) Or Form 1040-NR (Program 43310))

Exhibit 3.24.28-4

Section 03, Form 8938, Statement of Specified Foreign Financial Assets, (Attached to Form 1040, Form 1041, Form 1065, Form 1120, and Form 1120-S (Program 43300) or Form 1040-NR (Program 43310))

Exhibit 3.24.28-5

Section 04 Form 8938, Statement of Specified Foreign Financial Assets, (Attached To Form 1040, Form 1041, Form 1065, Form 1120, and Form 1120-S (Program 43300) Or Form 1040-NR (Program 43310))

Exhibit 3.24.28-6

Section 05, Form 8938, Statement of Specified Foreign Financial Assets, (Attached To Form 1040, Form 1041, Form 1065, Form 1120, and Form 1120-S (Program 43300) Or Form 1040-NR (Program 433110)

Exhibit 3.24.28-7

Section 06 Form 8938, Statement of Specified Foreign Financial Assets, (Attached To Form 1040, Form 1041, Form 1065, Form 1120, and Form 1120-S (Program 43300) Or Form 1040-NR (Program 43310))

Exhibit 3.24.28-8

Section 07 - 31 Form 8938 Continuation Forms, Statement of Specified Foreign Financial Assets, (Attached to Form 1040, Form 1041, Form 1065, Form 1120, and Form 1120-S (Program 43300) Or Form 1040-NR (Program 43310))

Exhibit 3.24.28-9

Section 01 Form 8966, FATCA Report, (Program 36500)

Exhibit 3.24.28-10

Sections 02 Form 8966, FATCA Report, (Program 36500)