TN 47 (09-14)

A. Description and purpose of IRS match

The Supplemental Security Income (SSI) IRS match identifies individuals whose payment amount might be decreased, or who may be ineligible for SSI payments due to excess income or resources. The SSI system generates a 5B diary in these cases. The 5B diary indicates that technicians must develop the SSI recipient’s income or resources by initiating a full redetermination (RZ) or a limited issue (LI) redetermination. For general information about RZs, see SI 02305.001. For LI information and processing instructions, see SI 02305.015. Technicians must resolve all eligibility and payment discrepancies.

1. Frequency of IRS match

The following schedule indicates when field offices (FOs) can expect IRS information to be available from the RZ/LI application management information (MI) Central in. IRS information is also available through StaRZ and Stripes-The Next Generation (SSTNG).

2. IRS data

IRS derives its data from information on form 1099 and similar reports of financial transactions submitted for the previous year by financial institutions, brokerage firms, government agencies, or employers. We categorize the IRS data as transactions that require:

• resource development or income and resource development (as resource indicators); and

• only income development as income indicators.

NOTE: An explanation of each transaction type is in SI 02310.048C.3.

3. Tolerances

a. Individuals

The SSI System screens and establishes an alert based on the total transaction amount reported in each IRS data category for all individuals on a record against the following tolerances:

• $61 or more for resource indicators; and

• $1,001 or more for income indicators.

NOTE: For an explanation of the systems processing of the IRS interface, see SM 02002.400. For IRS interface development, see MSOM MSSICS 022.013.

b. Couples

Couples’ cases include eligible couples and eligible individuals with ineligible spouses. The SSI System screens and establishes an alert based on the total transaction amount reported in each IRS data category for each member of a couple against the following tolerances:

• $101 or more for resource indicators; and

• $1,001 or more for income indicators.

c. Previously alerted cases

A 5B diary is not set in the following situations if the:

• difference between this year's and last year's total resource indicators is within $10. This tolerance only pertains to previously alerted cases from one year to the next. Alerts are not continually suppressed if they are within the $10 resource indicator tolerance; or

• current resource indicator is $61 to $70 for an individual or $101 to $110 for a couple, and the current year's resource indicator is less than the previous year's resource indicator.

NOTE: Although a transaction may not require development according to the above tolerances, FO technicians may opt to develop a transaction if they deem it material to eligibility or payment amount.

EXAMPLE:

IRS information for tax year 2011 contained resource indicators totaling $75 (5B diary posted). The same individual’s IRS information for tax year 2012 contains resource indicators totaling $84. Since the difference between the two tax years' information is less than $10, and a 5B diary was set based on tax year 2011, no 5B diary is set based on the information for tax year 2012. If the resource indicators in tax year 2013 total $61 or more, the SSI System will establish an alert (5B diary) on the case.

B. Description of alerts

1. Controlled alerts

a. Criteria

Records which exceed the tolerances in SI 02310.045A.3, have a 5B diary posted to the Supplemental Security Record (SSR). We post IRS data to a database. The term “alerts” refers to printouts from the IRS database, see SM 02002.400.

b. Alert retrieval

Technicians may retrieve data overnight through RZ/LI listings in MI Central using the housed-under number (HUN). The database contains the most recent 2 years of IRS information. The same data may be retrieved immediately through SSTNG.

2. Informational alerts

1. The SSI/IRS interface identifies certain high error profile redeterminations with resource indicators below the tolerance. These indicators are informational only. Alerts for these cases are available through MI Central. If the case has a high error profile RZ, the alert is available in SSTNG.

2. The disclosure provisions in SI 02310.041 and destruction criteria in SI 02310.040C also apply to informational alerts.

C. References

• SI 02310.041 Disclosure of Tax Data

• SI 02305.001 General Information About Redeterminations

• SI 02310.048 IRS Alert Development - Full Development

• MSOM MSSICS 022.013 IRS Interface Development (DIRS)

• SI 02305.015 Limited Issue Cases

• SM 02002.400 SSI/IRS 1099 Interface Process

• SI 02310.040 Tax Data Interfaces - General