Internal Revenue Bulletin 2011-37 (PDF rendition): IRS Revenue Procedures

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Bulletin No. 201
1-37
September 12, 20
11
HIGHLIGHTS
OF THIS ISSUE
These synopses are intended only as aids to the reader in
identifying the subject matter covered. They may not be
relied upon as authoritative interpretations.
INCOME TAX
T.D. 9538, page 229.
REG–109006–11, page 334.
Final, temporary, and proposed regulations under section 1001
of the Code explain when the transfer or assignment of certain
derivative contracts does not result in a realization event for the
nonassigning counterparty to the contract. A public hearing on
the proposed regulations is scheduled for October 27, 2011.
Notice 2011–64, page 231.
Pursuant to section 1(h)(11) of the Code, a dividend paid to an
individual shareholder from a domestic corporation or a “quali-
fied foreign corporation” is subject to tax at the reduced rates
applicable to certain capital gains. A qualified foreign corpora-
tion includes certain foreign corporations that are eligible for
benefits of a comprehensive income tax treaty with the United
States that the Secretary determines is satisfactory for pur-
poses of this provision and that includes an exchange of infor-
mation provision. This notice updates the list of U.S. income
tax treaties that meet these requirements to reflect two new in-
come tax treaties that have entered into force since the list was
last updated in Notice 2006–101, 2006–2 C.B. 930. This no-
tice also clarifies the requirements for treatment as a qualified
foreign corporation. Notice 2006–101 amplified and super-
seded.
Notice 2011–71, page 233.
This notice provides guidance under section 6050W of the
Code regarding the documentation and reporting obligations of
payment settlement entities (PSEs) that are United States pay-
ors making payment outside the U.S. to an offshore account.
Rev. Proc. 2011–43, page 326.
This procedure provides a safe harbor method of accounting
that taxpayers may use to determine whether expenditures to
maintain, replace, or improve electric transmission and distri-
bution property must be capitalized under section 263(a) of the
Code. The procedure also provides procedures for obtaining
automatic consent to change to the safe harbor method of ac-
counting. Rev. Proc. 2011–14 modified.
EMPLOYEE PLANS
Announcement 2011–59, page 335.
Nonbank trustees; section 1.408–2(e) of the regulations.
This announcement contains a list of entities approved to act
as nonbank trustees and nonbank custodians within the mean-
ing of section 1.408–2(e) of the regulations. In addition, the
announcement contains instructions on how errors in the list
may be corrected. Announcement 2007–47 updated and su-
perseded.
ADMINISTRATIVE
Rev. Proc. 2011–40, page 235.
This procedure contains updates and changes to Publication
1220,Specifications for Filing Forms 1097, 1098, 1099,
3921, 3922, 5498, 8935 and W-2G Electronically(revised
8–2011). Rev. Proc. 2010–26 superseded.
Rev. Proc. 2011–42, page 318.
This procedure provides taxpayers with guidance regarding
the use and evaluation of statistical samples and sampling
estimates. Rev. Procs. 72–36, 2004–29, 2007–35 and
2011–35 amplified and modified.
Finding Lists begin on page ii.

The IRS Mission
Provide Americ
a’s taxpayers top-quality service by helping
them understa
nd and meet their tax responsibilities and en-
force the law wi
th integrity and fairness to all.
Introduction
The Internal Revenue Bulletin is the authoritative instrument of
the Commissioner of Internal Revenue for announcing official
rulings and procedures of the Internal Revenue Service and for
publishing Treasury Decisions, Executive Orders, Tax Conven-
tions, legislation, court decisions, and other items of general
interest. It is published weekly and may be obtained from the
Superintendent of Documents on a subscription basis. Bulletin
contents are compiled semiannually into Cumulative Bulletins,
which are sold on a single-copy basis.
It is the policy of the Service to publish in the Bulletin all sub-
stantive rulings necessary to promote a uniform application of
the tax laws, including all rulings that supersede, revoke, mod-
ify, or amend any of those previously published in the Bulletin.
All published rulings apply retroactively unless otherwise indi-
cated. Procedures relating solely to matters of internal man-
agement are not published; however, statements of internal
practices and procedures that affect the rights and duties of
taxpayers are published.
Revenue rulings represent the conclusions of the Service on the
application of the law to the pivotal facts stated in the revenue
ruling. In those based on positions taken in rulings to taxpayers
or technical advice to Service field offices, identifying details
and information of a confidential nature are deleted to prevent
unwarranted invasions of privacy and to comply with statutory
requirements.
Rulings and procedures reported in the Bulletin do not have the
force and effect of Treasury Department Regulations, but they
may be used as precedents. Unpublished rulings will not be
relied on, used, or cited as precedents by Service personnel in
the disposition of other cases. In applying published rulings and
procedures, the effect of subsequent legislation, regulations,
court decisions, rulings, and procedures must be considered,
and Service personnel and others concerned are cautioned
against reaching the same conclusions in other cases unless
the facts and circumstances are substantially the same.
The Bulletin is divided into four parts as follows:
Part I.—19
86 Code.
This part i
ncludes rulings and decisions based on provisions of
the Intern
al Revenue Code of 1986.
Part II.—Treaties and Tax Legislation.
This part is divided into two subparts as follows: Subpart A,
Tax Conventions and Other Related Items, and Subpart B, Leg-
islation and Related Committee Reports.
Part III.—Administrative, Procedural, and Miscellaneous.
To the extent practicable, pertinent cross references to these
subjects are contained in the other Parts and Subparts. Also
included in this part are Bank Secrecy Act Administrative Rul-
ings. Bank Secrecy Act Administrative Rulings are issued by
the Department of the Treasury’s Office of the Assistant Secre-
tary (Enforcement).
Part IV
.—Items of General Interest.
This par
t includes notices of proposed rulemakings, disbar-
ment an
d suspension lists, and announcements.
The last Bulletin for each month includes a cumulative index
for the matters published during the preceding months. These
monthly indexes are cumulated on a semiannual basis, and are
published in the last Bulletin of each semiannual period.
The c
ontents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.
For sale by the Superintendent of Documents, U.S.Government Printing Office, Washington, DC 20402.
September 12, 20112011–37 I.R.B.

Part I. Rulings
and Decisions Under the Internal Revenue Code
of 1986
Section 263.—
Capital
Expenditures
A safe harbor method of accounting is provided
for determining whether expenditures to maintain, re-
place, or improve electric transmission and distribu-
tion property must be capitalized under section 263(a)
of the Internal Revenue Code. The revenue proce-
dure also explains how a taxpayer may obtain auto-
matic consent from the Commissioner of the Internal
Revenue to change to the safe harbor method of ac-
counting. See Rev. Proc. 2011-43, page 326.
Section 1001.—Determi-
nation of Amount of and
Recognition of Gain or Loss
26 CFR 1.1001–4: Modifications of certain deriva-
tive contracts.
T.D. 9538
DEPARTMENT OF THE
TREASURY
Internal Revenue Service
26 CFR Part 1
Modifications of Certain
Derivative Contracts
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Final and temporary regula-
tions.
SUMMARY: This document contains fi-
nal and temporary regulations that address
when a transfer or assignment of certain
derivative contracts does not result in an
exchange to the nonassigning counterparty
for purposes of §1.1001–1(a). The text
of these temporary regulations also serves
as the text of the proposed regulations
(REG–109006–11) set forth in this issue
of the Bulletin.
DATES:Effective Date:These regulations
are effective on July 22, 2011.
Applicability Date:For the date of ap-
plicability, see §1.1001–4T(d).
FOR F
URTHER INFORMATION
CONT
ACT: Andrea M. Hoffenson, (202)
622–
3920 (not a toll-free number).
SUPPLEMENTAR
Y INFORMATION:
Background
Section 1001 o
f the Internal Revenue
Code (Code) pr
ovides rules for the compu-
tation and rec
ognition of gain or loss from
asaleorothe
r disposition of property. For
purposes of s
ection 1001, §1.1001–1(a) of
the Income Ta
x Regulations generally pro-
vides that ga
in or loss is realized upon an
exchange of p
roperty for other property
differing m
aterially either in kind or in ex-
tent. As a ge
neral matter, the assignment
of a notiona
l principal contract is treated
as a taxable
disposition to a nonassign-
ing counte
rparty if the resulting contract
differs ma
terially either in kind or in ex-
tent. SeeC
ottage Savings Association v.
Commissio
ner, 499 U.S. 554, 566 (1991)
[1991–2 C
.B. 34, 38] (“Under [the Court’s]
interpre
tation of [section] 1001(a), an ex-
change of
property gives rise to a realiza-
tion even
tsolongastheexchangedprop-
erties ar
e ‘materially different’—that is, so
long as t
hey embody legally distinct enti-
tlement
s.”). Section 1.1001–4(a) provides,
however
, that the substitution of a new
party on
a notional principal contract is
not trea
ted as a deemed exchange of the
contra
ct by the nonassigning party for pur-
poses o
f §1.1001–1(a) if two conditions
are sat
isfied: the assignment is between
dealer
s in notional principal contracts and
the ter
ms of the contract permit the substi-
tutio
n.
Many no
tional principal contracts per-
mit as
signment of the contract only with
the co
nsent of the nonassigning counter-
party
. There has been some uncertainty
as to w
hether a contract that requires the
conse
nt of the nonassigning counterparty
as a c
ondition to assignment will satisfy
the s
econd requirement of §1.1001–4(a)
as de
scribed in the previous paragraph. In
addi
tion, commenters have suggested that
the s
cope of §1.1001–4 is too narrow be-
cau
se it only applies to notional principal
con
tracts. The need to amend §1.1001–4
has
been increased by the Dodd-Frank
Wal
l Street Reform and Consumer Pro-
tec
tion Act, Public Law 111–203 (124
Sta
t 1376 (2010)) (Dodd-Frank), which in
so
me cases will necessitate the movement
of entire book
s of derivative contracts.
In particular
, there is a concern that the
assignment of
derivative contracts may
create a taxa
ble event for the nonassigning
counterpart
ies to the assigned contracts.
The IRS and th
e Treasury Depart-
ment agree th
at §1.1001–4 should be
amended and e
xpanded to include deriva-
tive contrac
ts other than notional principal
contracts.
These temporary regulations
replace the
current, final regulations of
§1.1001–4.
Explanatio
nofProvisions
These tempo
rary regulations provide
that there i
s no exchange to the nonas-
signing cou
nterparty for purposes of
§1.1001–1
(a) solely because a dealer or
a clearing
house transfers or assigns a
derivativ
e contract to another dealer or
clearingh
ouse, provided that the transfer or
assignme
nt is permitted by the terms of the
contract
. The derivative contracts to which
these reg
ulations apply are those described
in sectio
ns 475(c)(2)(D), 475(c)(2)(E),
475(c)(
2)(F), 475(e)(2)(B), 475(e)(2)(C),
or 475(e
)(2)(D), or §1.446–3(c)(1). In
additio
n, these temporary regulations pro-
vide tha
t transfers or assignments are
permitt
ed by the terms of the contract
when co
nsent of the nonassigning counter-
party i
s required as well as those transfers
or assi
gnments that do not require con-
sent. I
f consideration passes between the
assign
or and assignee in connection with
the tra
nsfer or assignment, the consider-
ation
will not affect the treatment of the
nonas
signing counterparty for purposes of
§1.10
01–4. If any consideration is paid
to or r
eceived by the nonassigning coun-
terpa
rty, however, the payment or receipt
of th
e consideration is analyzed under
the g
eneral principles of section 1001 to
dete
rmine its effect on the nonassigning
coun
terparty. In addition, any changes
to th
e terms of the contract are analyzed
und
er the general principles of section
100
1 to determine whether there has been
asa
le or disposition of the contract by the
par
ties.
2011–37 I.R.B.229September 12, 2011

Special Analyses
It has been determined that this Trea-
sury decision is not a significant regula-
tory action as defined in Executive Order
12866. Therefore, a regulatory assessment
is not required. It has also been determined
that section 553(b) of the Administrative
Procedure Act (5 U.S.C. chapter 5) does
not apply to these regulations, and because
the regulations do not impose a collection
of information on small entities, the Regu-
latory Flexibility Act (5 U.S.C. chapter 6)
does not apply. Pursuant to section 7805(f)
of the Code, these regulations have been
submitted to the Chief Counsel for Advo-
cacy of the Small Business Administration
for comment on their impact on small busi-
nesses.
Drafting Information
The principal author of these regula-
tions is Andrea M. Hoffenson, Office of
Associate Chief Counsel (Financial Insti-
tutions and Products). However, other
personnel from the IRS and the Treasury
Department participated in their develop-
ment.
*****
Amendments to the Regulations
Accordingly, 26 CFR part 1 is amended
as follows:
PART 1—INCOME TAXES
Paragraph 1. The authority citation for
part 1 continues to read in part as follows:
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 1.1001–4 is revised to
read as follows:
§1.1001–4 Modifications of certain
derivative contracts.
(a) through (d) [Reserved]. For further
guidance, see §1.1001–4T(a) through (d).
Par. 3. Section 1.1001–4T is added to
read as follows:
§1.1001–4T Modifications of certain
derivative contracts (temporary).
(a)Certain assignments. For purposes
of §1.1001–1(a), the transfer or assign-
ment of a derivative contract is not treated
by the nonassigning counterparty as a
deemed exchange of the original contract
for a modified contractthat differs materi-
ally either in kind or in extent if—
(1) Both the party transferring or as-
signing its rights and obligations under the
derivative contract and the party to which
the rights and obligations are transferred or
assigned are either adealer or a clearing-
house;
(2) The terms of the derivative contract
permit the transfer or assignment of the
contract, whether or not the consent of the
nonassigning counterparty is required for
the transfer or assignment to be effective;
and
(3) The terms of the derivative contract
are not otherwise modified in a manner
that results in a taxable exchange under
section 1001.
(b)Definitions.(1)Dealer. For pur-
posesofthissection,adealeris a taxpayer
who meets the definition of a dealer in se-
curities in section 475(c)(1) or is a dealer
in commodities derivative contracts.
(2)Clearinghouse. For purposes of this
section, aclearinghouseis a derivatives
clearing organization (as such term is de-
finedinsection1aoftheCommodityEx-
change Act (7 U.S.C. 1a)) or a clearing
agency (as such term is defined in section
3 of the Securities Exchange Act of 1934
(15 U.S.C. 78c(a))) that is registered, or
exempt from registration, under each re-
spective Act.
(3)Derivative contract. For purposes
of this section, aderivative contractis a
contract described in—
(i) Section 475(c)(2)(D), 475(c)(2)(E),
or 475(c)(2)(F) without regard to the last
sentence of section 475(c)(2) referencing
section 1256;
(ii) Section 475(e)(2)(B), 475(e)(2)(C),
or 475(e)(2)(D); or
(iii) Section 1.446–3(c)(1).
(c)Consideration for the assignment.
Any consideration for the transfer or as-
signment that passes between the party
transferring or assigning its rights and obli-
gations under the contract and the party to
which the rights and obligations are trans-
ferred or assigned will not affect the treat-
ment of the nonassigning counterparty for
purposes of this section.
(d)Effective/applicability date.This
section applies to transfers or assignments
of derivative contracts on or after July 22,
2011.
(e)Expiration date. The applicability
of this section expires on or before July 21,
2014.
Steven T. Miller,
Deputy Commissioner for
Services and Enforcement.
Approved July 15, 2011.
Emily S. McMahon,
Assistant Secretary of
theTreasury(TaxPolicy).
(Filed by the Office of the Federal Register on July 21, 2011,
8:45 a.m., and published in the issue of the Federal Register
for July 22, 2011, 76 F.R. 43892)
September 12, 20112302011–37 I.R.B.

Part III. Administrative, Procedural, and Miscellaneous
United States Income Tax
Treaties That Meet the
Requirements of Section
1(h)(11)(C)(i)(II)
Notice 2011–64
1. SUMMARY
The Jobs and Growth Tax Relief Rec-
onciliation Act of 2003 (P.L. 108–27,
117 Stat. 752) (the “2003 Act”) was
enacted on May 28, 2003. Subject to
certain limitations, the 2003 Act gener-
ally provides that a dividend paid to an
individual shareholder from either a do-
mestic corporation or a “qualified foreign
corporation” is subject to tax at the re-
duced rates applicable to certain capital
gains. A qualified foreign corporation
includes certain foreign corporations that
are eligible for benefits of a comprehen-
sive income tax treaty with the United
States that the Secretary determines is
satisfactory for purposes of this provision
and that includes an exchange of infor-
mation provision. On October 20, 2003,
the Service published Notice 2003–69,
2003–2 C.B. 851, which contains a list
of the U.S. income tax treaties that met
these requirements at that time. The list
was updated by Notice 2006–101, 2006–2
C.B. 930, published on November 20,
2006. This notice updates the list to reflect
two new income tax treaties that have
entered into force since the publication of
Notice 2006–101. In addition, this notice
clarifies the requirements for treatment as
a qualified foreign corporation.
2. ANALYSIS
Section 1(h)(1) of the Internal Revenue
Code (the “Code”) generally provides that
a taxpayer’s “net capital gain” for any tax-
able year will be subject to a maximum tax
rate of 15 percent (or 5 percent in the case
of certain taxpayers). The 2003 Act added
section 1(h)(11), which provides that net
capital gain for purposes of section 1(h)
means net capital gain (determined with-
out regard to section 1(h)(11)) increased
by “qualified dividend income.” Quali-
fied dividend income means dividends
received during the taxable year from
domestic corporations and “qualified for-
eign corporations.” Section 1(h)(11)(B)(i).
Subject to certain exceptions, a qualified
foreign corporation is any foreign corpo-
ration that is either (i) incorporated in a
possession of the United States, or (ii)
eligible for benefits of a comprehensive
income tax treaty with the United States
that the Secretary determines is satisfac-
tory for purposes of this provision and
that includes an exchange of informa-
tion program (the “treaty test”). Section
1(h)(11)(C)(i).
A foreign corporation that does not sat-
isfy either of these two tests is treated as a
qualified foreign corporation with respect
toanydividendpaidbysuchcorporationif
the stock with respect to which such divi-
dend is paid is readily tradable on an es-
tablished securities market in the United
States. Section 1(h)(11)(C)(ii).SeeNotice
2003–71, 2003–2 C.B. 922, for the defini-
tion, for taxable years beginning on or after
January 1, 2003, of “readily tradable on an
established securities market in the United
States.”
A qualified foreign corporation does
not include any foreign corporation that
for the taxable year of the corporation in
which the dividend was paid, or the pre-
ceding taxable year, is a passive foreign
investment company (as defined in sec-
tion 1297). Section 1(h)(11)(C)(iii). A
dividend from a qualified foreign corpo-
ration is also subject to the other limita-
tionsinsection1(h)(11). Forexample,a
shareholder receiving a dividend from a
qualified foreign corporation must satisfy
the holding period requirements of section
1(h)(11)(B)(iii).
The appendix to this notice sets forth
the current list of U.S. income tax treaties
that meet the requirements of section
1(h)(11)(C)(i)(II). The list has been up-
dated to include two treaties that entered
into force after the publication of Notice
2006–101: the treaty with Bulgaria (which
entered into force on December 15, 2008)
and the treaty with Malta (which entered
into force on November 23, 2010).
Three U.S. income tax treaties do
not meet the requirements of sec-
tion 1(h)(11)(C)(i)(II). They are the
U.S.-U.S.S.R. income tax treaty (which
was signed on June 20, 1973, and cur-
rently applies to certain former Soviet Re-
publics), and the tax treaties with Bermuda
and the Netherlands Antilles.
Treasury and the IRS intend to continue
to update this list, as appropriate. Situa-
tions that may result in changes to the list
include the entry into force of new income
tax treaties and the amendment or rene-
gotiation of existing tax treaties. Further,
Treasury and the IRS continue to study
the operation of each of our income tax
treaties, including the implications of any
change in the domestic laws of the treaty
partner, to ensure that the treaty accom-
plishes its intended objectives and contin-
ues to be satisfactory for purposes of this
provision.
3. OTHER REQUIREMENTS
In order to be treated as a qualified for-
eign corporation under the treaty test, a
foreign corporation must be eligible for
benefits of one of the U.S. income tax
treaties listed in the Appendix. Accord-
ingly, the foreign corporation must be a
resident within the meaning of such term
under the relevant treaty and must satisfy
any other requirements of that treaty, in-
cluding the requirements under any appli-
cable limitation on benefits provision. For
purposes of determining whether it satis-
fies these requirements, a foreign corpora-
tion is treated as though it were claiming
treaty benefits, even if it does not derive
income from sources within the United
States.SeeH.R. Conf. Rep. No. 108–126,
at 42 (2003) (stating that a company will
be treated as eligible for treaty benefits if
it “would qualify” for benefits under the
treaty).
4. EFFECTIVE DATE
This notice is effective with respect to
Bulgaria for dividends paid on or after De-
cember 15, 2008. This notice is effective
with respect to Malta for dividends paid on
or after November 23, 2010.
This notice is effective with respect to
Bangladesh for dividends paid on or after
August 7, 2006. This notice is effective
with respect to Barbados for dividends
paid on or after December 20, 2004.
This notice is effective with respect to
Sri Lanka for dividends paid on or after
2011–37 I.R.B.231September 12, 2011

July 12, 2004. This notice is effective
with respect to all other U.S. income tax
treaties listed in the Appendix for taxable
years beginning after December 31, 2002.
5. EFFECT ON OTHER
DOCUMENTS
Notice 2006–101 is amplified and su-
perseded.
6. CONTACT INFORMATION
The principal author of this notice is
Rosy L. Lor of the Office of Associate
Chief Counsel (International). For further
information regarding this notice, contact
Ms. Lor at (202) 622–3880 (not a toll-free
call).
September 12, 20112322011–37 I.R.B.

APPENDIX
U.S. INCOME TAX TREATIES SATISFYING THE REQUIREMENTS OF SECTION 1(h)(11)(C)(i)(II)
AustraliaGermanyLuxembourgSouth Africa
AustriaGreeceMaltaSpain
BangladeshHungaryMexicoSri Lanka
BulgariaIcelandMoroccoSweden
BarbadosIndiaNetherlandsSwitzerland
BelgiumIndonesiaNew ZealandThailand
CanadaIrelandNorwayTrinidad and Tobago
ChinaIsraelPakistanTunisia
CyprusItalyPhilippinesTurkey
Czech RepublicJamaicaPolandUkraine
DenmarkJapanPortugalUnited Kingdom
EgyptKazakhstanRomaniaVenezuela
EstoniaKoreaRussian Federation
FinlandLatviaSlovak Republic
FranceLithuaniaSlovenia
Documentation Requirements
Under Section 6050W for
U.S. Payors Making Payment
Outside the United States to
an Offshore Account
Notice 2011–71
PURPOSE
This notice provides interim guid-
ance to payment settlement entities (as
defined in §1.6050W–1(a)(4)(i)) (PSEs)
that are United States payors or United
States middlemen (each as defined in
§1.6049–5(c)(5)) (U.S. payors) regarding
the circumstances under which such a PSE
must obtain, review, and maintain docu-
mentation to establish that a participating
payee is a foreign person for purposes of
section 6050W. The Treasury Department
and the Internal Revenue Service (IRS)
intend to amend the regulations under
section 6050W to reflect the guidance
provided in this notice. PSEs may rely on
the interim guidance in this notice until
the regulations are amended.
BACKGROUND
Section 6050W was added by section
3091 of the Housing Assistance Tax Act
of 2008, Div. C of Pub. L. No. 110–289,
122 Stat. 2653 (the Act) and requires infor-
mation returns to be made by certain pay-
ors with respect to payments made in set-
tlement of payment card transactions and
third party payment network transactions.
Section 6050W(d)(1)(B) provides that, ex-
cept as provided by the Secretary in regu-
lations or other guidance, the termpartic-
ipating payeedoes not include any person
with a foreign address. The final regula-
tions prescribe the circumstances in which
a PSE is required to report payments made
to a participating payee that has a foreign
address. Specifically, the final regulations
provide that a PSE that is not a U.S. payor
is not required to report payments made
to a participating payee that does not have
a U.S. address as long as the PSE nei-
ther knows nor has reason to know that
the payee is a United States person (U.S.
person). If the participating payee has any
U.S. address, such a PSE may treat the par-
ticipating payee as a foreign person only
if the PSE has in its files documentation
upon which the PSE may rely to treat the
payment as made to a foreign person in ac-
cordance with §1.1441–1(e)(1)(ii).
The final regulations also provide that
a PSE that is a U.S. payor is not required
to report payments to payees with a for-
eign address as long as, prior to payment,
the payee has provided the payor with
documentation upon which the payor
may rely to treat the payment as made
to a foreign person in accordance with
§1.1441–1(e)(1)(ii).
In addition, the final regulations pro-
vide a presumption under which a PSE that
is a U.S. payor making a payment out-
side the United States (within the meaning
of §1.6049–5(e)) to an offshore account
(as defined in §1.6049–5(c)(1)) need not
report payments to a participating payee
with only a foreign address if the name
of the participating payee indicates that it
is a foreignper secorporation listed in
§301.7701–2(b)(8)(i) (a foreignper secor-
poration) and the PSE neither knows nor
has reason to know that the participating
payee is a U.S. person. The final reg-
ulations also provide a grace period af-
ter account opening to collect documen-
tation by applying the grace period rules
of §1.6049–5(d)(2)(ii) if the participating
payee has only a foreign address.
The final regulations apply to returns
for calendar years beginning after Decem-
ber 31, 2010. The final regulations also
provide a transition rule, which provides
that for payments made pursuant to con-
tractual obligations entered into before
January 1, 2011, a PSE that is a U.S. payor
is not required to report payments made
to a participating payee with a foreign
address as long as the U.S. payor neither
knows nor has reason to know that the
payee is a U.S. person. For this purpose,
a renewal of such a contractual obligation
will not result in a new contractual obliga-
tion unless there is a material modification
of the contractual obligation.
DISCUSSION
Treasury and the IRS have received
comments citing administrative burdens
associated with implementing the final
regulations and requesting that, in light
of those administrative burdens, the fi-
nal regulations be amended so that PSEs
that are U.S. payors operating outside the
United States would be required to collect
2011–37 I.R.B.233September 12, 2011

documentation to determine the U.S. or
non-U.S. status of a participating payee
only if certain indicia of U.S. status are
present.
In response to these comments, the
Treasury Department and the IRS intend
to amend the regulations under section
6050W to provide that a PSE that is a
U.S. payor will only be required to make
the return of information required under
§1.6050W–1(a)(1) with respect to a pay-
ment made outside the United States to
an offshore account if any of the follow-
ing applies: (i) there is a U.S. address
associated with the participating payee
(whether a residence address or correspon-
dence address); (ii) the PSE has standing
instructions to direct the payment to a
bank account maintained in the United
States; (iii) the participating payee sub-
mits for payment in U.S. dollars; or (iv)
the PSE knows or has reason to know
that the participating payee is a U.S. per-
son. A PSE will not be required to make
the return of information required under
§1.6050W–1(a)(1) with respect to a pay-
ment made outside the United States to
an offshore account in the circumstances
described in the preceding sentence if the
PSE obtains from the participating payee
a Form W–8 or documentary evidence
establishing the payee’s non-U.S. status
and the PSE does not know that the payee
is a U.S. person. For this purpose, Forms
W–8 (or the substitute forms described
below) and documentary evidence: (i)
must be collected by the PSE by the later
of January 1, 2012, or the date that is 90
days after the date on which the PSE enters
into the contractual obligations with the
participating payee; and (ii) in the case of
a Form W–8 (or substitute form described
below), may be relied upon only when
the requirements of §1.1441–7(b)(5)(i)(A)
or (B), and (ii), are satisfied, or, in the
case of documentary evidence, may be
relied upon only when the requirements
of §1.1441–7(b)(7) and –7(b)(8)(ii) and
(iii) are satisfied. In the case of a pay-
ment to a foreign payee of income that is
effectively connected with the conduct of
a trade or business in the United States,
the appropriate withholding certificate is
a Form W–8ECI. For all other payments,
the appropriate withholding certificate is a
Form W–8BEN.
The special rule in the final regulations
for a participating payee that has a name
that indicates it is a foreignper secorpora-
tion will be retained. That is, a PSE that is
a U.S. payor will not be required to make
the return of information required under
§1.6050W–1(a)(1) with respect to a pay-
ment made outside the United States to an
offshore account to a participating payee
with only a foreign address if the name of
the participating payee indicates that it is
an entity listed as aper secorporation un-
der §301.7701–2(b)(8)(i) unless the PSE
knows or has reason to know that the payee
is a U.S. person.
Treasury and the IRS also intend to
amend the regulations to clarify that a PSE
that is not a U.S. payor, and that has reason
to know, but not actual knowledge, that a
participating payee is a U.S. person, will
not be required to make the return of infor-
mation required under §1.6050W–1(a)(1)
if the PSE obtains from the payee a Form
W–8 that satisfies the requirements of
§1.1441–7(b)(5)(i)(A) or (B), and (ii),
or documentary evidence that satisfies
the requirements of §1.1441–7(b)(7) and
–7(b)(8)(ii) and (iii).
Treasury and the IRS also intend to
modify the regulations to allow a PSE to
accept a substitute form in lieu of a Form
W–8BEN in order for a participating payee
to certify its non-U.S. status. Such sub-
stitute form will be acceptable provided
that it contains the payee’s name, country
of incorporation (when applicable), type
of entity, residence and mailing address
(if different from residence address), the
certification of the payee’s non-U.S. sta-
tus made under penalties of perjury and,
in the case of a participating payee that
is an entity, the capacity of the individ-
ual providing the certification of behalf
of the payee. In lieu of the certification
and penalties-of-perjury statement con-
tained on the Form W–8BEN, a substitute
form may contain the following statement:
“Under penalties of perjury, I declare that
the payee providing this certification is not
a United States person (i.e., a citizen or
resident of the United States as determined
for U.S. federal tax purposes, a corpora-
tion or partnership created or organized in
the United States or under the law of the
United States or of any State, any estate
that would be subject to U.S. federal in-
come tax on income from sources without
the United States which is not effectively
connected with the conduct of a trade or
business within the United States, or any
trust if a court within the United States is
able to exercise primary supervision over
the administration of the trust and one or
more United States persons have the au-
thority to control all substantial decisions
of the trust), that the income to which
this certification relates is not effectively
connected with the conduct of a trade or
business in the United States, and that the
undersigned has examined the informa-
tion on this form and to the best of my
knowledge and belief it is true, correct,
and complete. Furthermore, I authorize
this form to be provided to any person that
has control, receipt, or custody of the pay-
ment to which I am entitled or any person
that can disburse or make the payments to
which I am entitled.”
Treasury and the IRS have also received
comments questioning whether, for pur-
poses of determining whether the require-
ments of §1.1441–1(e)(1)(ii) are satisfied,
a PSE may rely on documentary evidence
that is more than three years old. Section
1.1441–1(e)(1)(ii)(A)(2) provides that, if a
payment is made outside the United States
to an offshore account, the withholding
agent can rely on documentary evidence
described in §1.1441–6(c)(3) or (4), or
§1.6049–5(c)(1). Section 1.6049–5(c)(1)
provides that a payor may rely on docu-
mentary evidence sufficient to establish
the identity of the payee and the status of
that person as a foreign person (including,
but not limited to, documentary evidence
described in §1.1441–6(c)(3) or (4)). Sec-
tion 1.6049–5(c)(1) does not require that,
at the time of collection, the documentary
evidence be less than three years old. Un-
der §1.1441–1(e)(4)(ii)(A) (cross-refer-
enced by §1.6049–5(c)(2)), documentary
evidence described in §1.6049–5(c)(1) re-
mains valid until the earlier of the last day
of the third calendar year following the
year in which the documentary evidence
is provided to the withholding agent or
the day that a change in circumstances
occurs that makes any information on the
documentary evidence incorrect.
Until the amendments to the final reg-
ulations described in this notice are pub-
lished, PSEs may rely on the guidance pro-
vided in this notice.
DRAFTING INFORMATION
The principal author of this notice is
Danielle Nishida of theOffice of Associate
September 12, 20112342011–37 I.R.B.

Chief Counsel (International). For further
information regarding this notice, please
contact John Sweeney at (202) 622–3840
(not a toll-free call).
Use this Revenue Procedure to prepare Tax Year2011and prior year information returns for submission to Internal Revenue Service
(IRS) using electronic filing.
Caution to filers:
Please read this publication carefully. Persons or businesses required to file information returns electronically may be
subject to penalties for failure to file or include correct information if the instructionsin this Revenue Procedure are
not followed.
IMPORTANT NOTES:
The IRS internet connection for filing information returns electronically is h
ttp://fire.irs.gov.The Filing Information
Returns Electronically (FIRE) system will be down from 6 p.m. ET Dec. 16, 2011, through Jan. 03, 2012 for yearly
updates. In addition, the FIRE system may be down everyWednesday from 2:00 a.m. to 5:00 a.m. ET for programming
updates. The FIRE system will not be available for submissions during these times.
The FIRE system does not provide fill-in forms for filing information returns.
The Form 4419 is subject to review before the approval to transmit electronically is granted and may require additional
documentation at the request of the IRS.If a determination is made concerning the validity of the documents transmitted
electronically, IRS has the authority torevoketheTransmitterControlCode(TCC)andterminatethereleaseofthefiles.
Rev. Proc. 2011–40
TABLE OF CONTENTS
Part A. General
SEC. 1. PURPOSE................................................................................................. 237
SEC. 2. NATURE OF CHANGES—CURRENT YEAR (TAX YEAR2011).................................................. 238
SEC. 3. WHERE TO FILE AND HOW TO CONTACT THE IRS, INFORMATION RETURNS BRANCH (IRB).................. 239
SEC. 4. FILING REQUIREMENTS.................................................................................. 240
SEC. 5. VENDOR LIST............................................................................................. 241
SEC. 6. FORM 4419, APPLICATION FOR FILING INFORMATION RETURNS ELECTRONICALLY
(FIRE)
................................................................................................ 241
SEC. 7. RETENTION REQUIREMENTS AND DUE DATES............................................................. 242
SEC. 8. CORRECTED RETURNS.................................................................................... 243
SEC. 9. EFFECT ON PAPER RETURNS AND STATEMENTS TO RECIPIENTS........................................... 247
SEC. 10. COMBINED FEDERAL/STATE FILING PROGRAM........................................................... 247
SEC. 11. PENALTIES ASSOCIATED WITH INFORMATION RETURNS.................................................. 249
SEC. 12. STATE ABBREVIATIONS.................................................................................. 249
2011–37 I.R.B.235September 12, 2011

Part B. Electronic Filing Specifications
SEC. 1. GENERAL................................................................................................. 250
SEC. 2. ELECTRONIC FILING APPROVAL PROCEDURE............................................................. 251
SEC. 3. TEST FILES............................................................................................... 251
SEC. 4. ELECTRONIC SUBMISSIONS............................................................................... 252
SEC. 5. PIN REQUIREMENTS...................................................................................... 252
SEC. 6. ELECTRONIC FILING SPECIFICATIONS.................................................................... 252
SEC. 7. CONNECTING TO THE FIRE SYSTEM....................................................................... 253
SEC. 8. COMMON PROBLEMS AND QUESTIONS.................................................................... 255
Part C. Record Format Specification and Record Layouts
SEC. 1. FILE LAYOUT DIAGRAM................................................................................... 257
SEC. 2. GENERAL................................................................................................. 257
SEC. 3. TRANSMITTER “T” RECORD — GENERAL FIELD DESCRIPTIONS............................................ 257
SEC. 4. TRANSMITTER “T” RECORD — RECORD LAYOUT.......................................................... 260
SEC. 5. PAYER “A” RECORD — GENERAL FIELD DESCRIPTIONS.................................................... 261
SEC. 6. PAYER “A” RECORD — RECORD LAYOUT.................................................................. 272
SEC. 7. PAYEE “B” RECORD — GENERAL FIELD DESCRIPTIONS AND RECORD LAYOUTS............................ 272
(1)Payee“B”Record—RecordLayoutPositions544–750forForm1097-BTC...................................... 279
(2)Payee“B”Record—RecordLayoutPositions544–750forForm1098........................................... 281
(3)Payee“B”Record—RecordLayoutPositions544–750forForm1098-C......................................... 281
(4)Payee“B”Record—RecordLayoutPositions544–750forForm1098-E......................................... 282
(5)Payee“B”Record—RecordLayoutPositions544–750forForm1098-T......................................... 283
(6)Payee“B”Record—RecordLayoutPositions544–750forForm1099-A......................................... 284
(7)Payee“B”Record—RecordLayoutPositions544–750forForm1099-B......................................... 285
(8)Payee“B”Record—RecordLayoutPositions544–750forForm1099-C......................................... 286
(9)Payee“B”Record—RecordLayoutPositions544–750forForm1099-CAP...................................... 287
(10)Payee“B”Record—RecordLayoutPositions544–750forForm1099-DIV ...................................... 288
(11)Payee“B”Record—RecordLayoutPositions544–750forForm1099-G......................................... 289
(12)Payee“B”Record—RecordLayoutPositions544–750forForm1099-H......................................... 290
(13)Payee“B”Record—RecordLayoutPositions544–750forForm1099-INT....................................... 290
(14) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-K......................................... 291
(15)Payee“B”Record—RecordLayoutPositions544–750forForm1099-LTC ...................................... 292
(16)Payee“B”Record—RecordLayoutPositions544–750forForm1099-MISC..................................... 294
(17)Payee“B”Record—RecordLayoutPositions544–750forForm1099-OID ...................................... 295
(18)Payee“B”Record—RecordLayoutPositions544–750forForm1099-PATR..................................... 296
(19)Payee“B”Record—RecordLayoutPositions544–750forForm1099-Q......................................... 296
(20)Payee“B”Record—RecordLayoutPositions544–750forForm1099-R......................................... 297
(21)Payee“B”Record—RecordLayoutPositions544–750forForm1099-S......................................... 301
(22)Payee“B”Record—RecordLayoutPositions544–750forForm1099-SA........................................ 302
(23)Payee“B”Record—RecordLayoutPositions544–750forForm3921........................................... 303
(24)Payee“B”Record—RecordLayoutPositions544–750forForm3922........................................... 304
(25)Payee“B”Record—RecordLayoutPositions544–750forForm5498........................................... 304
(26)Payee“B”Record—RecordLayoutPositions544–750forForm5498-ESA...................................... 306
(27)Payee“B”Record—RecordLayoutPositions544–750forForm5498-SA........................................ 306
(28)Payee“B”Record—RecordLayoutPositions544–750forForm8935........................................... 307
(29)Payee“B”Record—RecordLayoutPositions544–750forFormW-2G.......................................... 308
September 12, 20112362011–37 I.R.B.

SEC. 8. END OF PAYER “C” RECORD — GENERAL FIELD DESCRIPTIONS AND RECORD LAYOUT..................... 309
SEC. 9. STATE TOTALS “K” RECORD — GENERAL FIELD DESCRIPTIONS AND RECORD LAYOUT..................... 311
SEC. 10. END OF TRANSMISSION “F” RECORD —GENERAL FIELD DESCRIPTIONS AND RECORD
LAYOUT
............................................................................................. 313
Part D. Extensions of Time and Waivers
SEC. 1. GENERAL — EXTENSIONS................................................................................. 314
SEC. 2. SPECIFICATIONS FOR FILING EXTENSIONS OF TIME ELECTRONICALLY.................................... 315
SEC. 3. RECORD LAYOUT – EXTENSION OF TIME.................................................................. 315
SEC. 4. EXTENSION OF TIME FOR RECIPIENT COPIES OF INFORMATION RETURNS................................. 316
SEC. 5 FORM 8508, REQUEST FOR WAIVER FROM FILING INFORMATION RETURNS
ELECTRONICALLY
................................................................................... 317
Part A. General
Revenue Procedures are generally revised annually to reflect legislative and form changes. Comments concerning this Revenue
Procedure, or suggestions for making it more helpful, can be addressed to:
Internal Revenue Service
Attn: Information Returns Branch
230 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
Sec. 1. Purpose
.01The purpose of this Revenue Procedure is to provide the specifications for filing Forms 1097, 1098, 1099, 3921, 3922, 5498,
8935, and W-2G with IRS electronically through the IRS FIRE system. This Revenue Procedure must be used for the preparation of
Tax Year2011information returns and information returns for tax years prior to2011filedbeginning January 1, 2012. Specifications
for filing the following forms are contained in this Revenue Procedure.
(1)Form 1097-BTC, Bond Tax Credit
(2)Form 1098, Mortgage Interest Statement
(3)Form 1098-C, Contributions of Motor Vehicles, Boats, and Airplanes
(4)Form 1098-E, Student Loan Interest Statement
(5)Form 1098-T, Tuition Statement
(6)Form 1099-A, Acquisition or Abandonment of Secured Property
(7)Form 1099-B, Proceeds From Broker and Barter Exchange Transactions
(8)Form 1099-C, Cancellation of Debt
(9)Form 1099-CAP, Changes in Corporate Control and Capital Structure
(10)Form 1099-DIV, Dividends and Distributions
(11)Form 1099-G, Certain Government Payments
(12)Form 1099-H, Health Coverage Tax Credit (HCTC) Advance Payments
(13)Form 1099-INT, Interest Income
(14)Form 1099-K, Merchant Card and Third Party Network Payments
(15)Form 1099-LTC, Long-Term Care and Accelerated Death Benefits
(16)Form 1099-MISC, Miscellaneous Income
(17)Form 1099-OID, Original Issue Discount
(18)Form 1099-PATR, Taxable Distributions Received From Cooperatives
(19)Form 1099-Q, Payments from Qualified Education Programs (Under Sections 529 & 530)
(20)Form 1099-R, Distributions from Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc.
(21)Form 1099-S, Proceeds From Real Estate Transactions
(22)Form 1099-SA, Distributions from an HSA, Archer MSA, or Medicare Advantage MSA
(23)Form 3921, Exercise of a Qualified Incentive Stock Option under Section 422(b)
(24)Form 3922, Transfer of Stock Acquired Through an Employee Stock Purchase Plan under Section 423(b)
(25)Form 5498, IRA Contribution Information
2011–37 I.R.B.237September 12, 2011

(26)Form 5498-ESA, Coverdell ESAContribution Information
(27)Form 5498-SA, HSA, Archer MSA, or Medicare Advantage MSA Information
(28)Form 8935, Airline Payments Report
(29)Form W-2G, Certain Gambling Winnings
.02All data received at IRS/IRB for processing will be given the same protection as individual income tax returns (Form 1040).
IRS/IRB will process the data and determine if the records areformatted and coded according to this Revenue Procedure.
.03Specifications for filing Forms W-2, Wageand Tax Statements, electronically areonlyavailable from the Social Security
Administration (SSA). Filers can call 1–800–772–6270 to obtain thetelephone number of the SSA Employer Service Liaison Officer
for their area.
.04IRS/IRB doesnotprocess Forms W-2. Paperorelectronic filing of Forms W-2 must be sent to SSA. IRS/IRB does, however,
process waiver requests (Form 8508) and extension of time to file requests (Form 8809) for Forms W-2 as well as requests for an
extension of time to provide the employee copies of Forms W-2.
.05Generally, the box numbers on the paper forms correspond with the amount codes used to file electronically; however, if
discrepancies occur, the instructions in this Revenue Procedure must be followed when filing electronically.
.06This Revenue Procedure also provides the requirements and specifications for electronic filing under the Combined Fed-
eral/State Filing Program.
.07The following Revenue Procedures and publications provide moredetailed filing procedures for certain information returns:
(a)2011 General Instructions for Certain Information Returnsand the individual form instructions.
(b)Publication 1179, General Rules and Specifications for Substitute Forms 1096, 1098, 1099, 3921, 3922, 5498, 8935, W-2G,
and 1042-S.
(c)Publication 1239, Specifications for Filing Form 8027, Employer’s Annual Information Return of Tip Income and Allocated
Tips, Electronically.
(d)Publication 1187, Specifications for Filing Form 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding,
Electronically.
(e)Publication 4810, Specifications for Filing Form 8955-SSA, Annual Registration Statement of Identifying Separated Par-
ticipants With Deferred Vested Benefits, Electronically.
.08This Revenue Procedure supersedes Rev. Proc. 2010–26 published as Publication 1220 (Rev. 08/2010), Specifications for
Filing Forms 1097-BTC, 1098, 1099, 3921, 3922, 5498, 8935 and W-2G Electronically.
Sec. 2. Nature of Changes—Current Year (Tax Year 2011)
.01In this publication, all pertinent changes for Tax Year2011are emphasized by the use ofitalics. Portions of text that require
special attention are in boldface text. Filers are always encouraged to read the publication in its entirety.
a. General
(1)Penalties associated with Information Return filing have increased significantly. Please seePart A, Sec.11.02 for specific
information.
(2)New Form 1099-K, Merchant Card and Third Party Network Payments, has been added.
b. Programming Changes
(1)For all Forms, Payment Year, Field Positions 2–5, for the Transmitter “T” Record, Payer “A” Record and Payee “B” Record
must be updated with the four-digit reporting year(2010 to 2011), unless reporting prior year data.
(2)In the Payer “A” Record, the Amount Codes field was expanded 2 positions. The field is now sixteen positions 28–43.
(3)For Form 1098-T Payee “B” Record, Half-time Student Indicator and Graduate Student Indicator are nowRequiredfields.
(4)For Form 1099-B Payer “A” Record, added Amount Code A, Cost or other basis, and Amount Code B, Wash sale loss
disallowed.
(5)For Form 1099-B, Payee “B” Record, deleted Number of shares exchanged, positions 608–615, and Class of stock ex-
changed, positions 616–625. Added Non-covered security indicator in position 545. Allowable characters are 1 for Non-
covered security and blank. Added Type of gain or loss indicator in position 546. Allowable characters are 1 for Short
term, 2 for Long term and blank. Added Date of Acquisition, positions 608–615.
(6)New Form 1099-K, Merchant Card and Third Party Network Payments,
In the Payer “A” Record added:
—field positions 26–27, Type of Return, added new code MC
—field positions 28–43 added Amount Codes:
1 Gross amount of merchant card/third party network payments
5 January payments
September 12, 20112382011–37 I.R.B.

6 February payments
7 March payments
8 April payments
9 May payments
AJunepayments
B July payments
C August payments
D September payments
E October payments
F November payments
G December payments
In the Payee “B” Record added:
Type of Filer Indicator, position 547
Payment Settlement Entity’s Name, positions 565–604
Merchant Category Code, positions 605–608
(7)Form 1097-BTC has numerous changes. In the Payer “A” Record, Amount Code 3 changed to Other Allowance Date Credit.
In the Payee “B” Record, many Indicator Fields had descriptionchanges. The following fields were added: Other Allowance
Identification Number, March AllowanceIdentification Number, June Allowance Identification Number, September Al-
lowance Identification Number, December Allowance Identification Number. The following fields were deleted: Bond
issue date, CUSIP number, Maturity Date, Bond Code, Bond Issuer’s identification number, and Bond issuer’s name.
(8)For Form 1099-R, Payer “A” Record, added Amount Code B, Amount Allocable to IRR within 5 years. In the Payee “B”
Record field positions 545–546, deleted distribution code D, Excess contributions plus earnings/excess deferrals taxable in
2008.
Sec. 3. Where to File and How to Contact the IRS, Information Returns Branch (IRB)
.01All information returns filed through the FIRE system are processed at IRS/IRB. General inquiries concerning the filing of
information returns should be sent to the following address:
Internal Revenue Service
Information Returns Branch
230 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
.02All requests for an extension of time to file information returns with IRS/IRB filed on Form 8809 or requests for an extension
to provide recipient copies, and requests for undue hardship waivers filed on Form 8508 should be sent to the following address:
Internal Revenue Service
Information Returns Branch
Attn: Extension of Time Coordinator
240 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
.03The telephone numbers and web addresses for questionsabout specifications for electronic submissions are:
Information Returns Branch
1–866–455–7438
Outside the U.S. 1–304–263–8700
1–304–579–4827 — TDD
(Telecommunication Device for the Deaf)
Fax Machine
Within the U.S. — 1–877–477–0572
Outside the U.S. — 304–579–4105
Electronic Filing — FIRE System
Production URL — http://fire.irs.gov
Test URL — h
ttp://fire.test.irs.gov
2011–37 I.R.B.239September 12, 2011

Information Returns Branch
TO OBTAIN FORMS:
By phone — 1–800–TAX-FORM (1–800–829–3676)
I
RS.gov— Online Ordering for Information Returns and Employer Returns
http://www.irs.gov/businesses/page/0,,id=23108,00.html
Note: Because paper forms are scanned during processing, filers cannot use Form 1096 and Copy A of Forms 1097, 1098,
1099, 3921, 3922, or 5498 printed from the IRS website to file with the IRS.
.04The2011 General Instructions for Certain Information Returnsare included in Publication 1220 for the convenience of filers.
Form 1096 is used to transmit Copy A of paper Forms 1097, 1098, 1099, 3921, 3922, 5498, and W-2G to the IRS. If filing paper
returns, follow the mailing instructionson Form 1096 and submit the paper returns to the appropriate IRS Service Center.
.05Make requests for paper Forms 1096, 1097, 1098, 1099, 3921, 3922, 5498, and W-2G, by calling the IRS at
1–800–TAX–FORM (1–800–829–3676) or ordering online from the IRS website at I
RS.gov.
.06Questions pertaining to electronic filing of Forms W-2 must be directed to the Social Security Administration (SSA). Filers
can call 1–800–772–6270 to obtain the telephone number of theSSA Employer Service Liaison Officer for their area.
.07Payersshould notcontact IRS/IRB if they have received a penalty notice and need additional information or are requesting an
abatement of the penalty. A penalty notice contains an IRS representative’s name and/or telephone number for contact purposes; or
thepayermaybeinstructedtorespondinwritingtotheaddressprovided. IRS/IRB does not issue penalty notices and does not have
the authority to abate penalties. For penalty information, refer to the Penalties section of the2011 General Instructions for Certain
Information Returns.
.08A taxpayer or authorized representative may request a copy of a taxreturn, including Form W-2 filed with a return, by submitting
Form 4506, Request for Copy of Tax Return, to IRS. This form may be obtained by calling1–800–TAX–FORM (1–800–829–3676).
For questions regarding this form, call 1–800–829–1040.
.09Electronic Products and Services Support, Information ReturnsBranch (IRB), answers electronic, paper filing, and tax law
questions from the payer community relating to the correct preparation and filing of information returns (Forms 1096, 1097, 1098,
1099, 3921, 3922, 5498, 8027, 8935 and W-2G). IRB also answers questions about the electronic filing of Forms 1042-S, 8027, and
8955-SSA. In addition, IRB answers questions about tax law and paper filing instructions for Forms W-2 and W–3. Inquiries per-
taining to Notices CP2100 and 972CG, backup withholding, and reasonable cause requirements due to missing and incorrect taxpayer
identification numbers (TINs) are also addressed by IRB. Assistance is available year-round to payers, transmitters, and employers
nationwide, Monday through Friday, 8:30 a.m. to 4:30 p.m. Eastern Time (ET), by calling1–866–455–7438. IRB also offers an
e-mail address for transmitters and electronic filers of information returns. The address ism
ccirp@irs.gov. When sending e-mails
concerning specific file information, include the company nameand the electronic filename or Transmitter Control Code. Pleasedo
notsubmit TINs or attachments, because electronic mail is not secure and the information may be compromised. The Telecommuni-
cations Device for the Deaf(TDD)toll number is1–304–579–4827. Call as soon as questions arise to avoid the busy filing seasons
at the end of January, February, and March. Recipients of information returns (payees) should continue to contact 1–800–829–1040
with any questions on how to report the information returns data on their individual tax returns.
.10IRB assistors cannot advise filers where to send state copies of paper forms. Filers must contact the Tax Department in the state
where the recipient resides to obtain thecorrect address and filing requirements.
.11Form 4419, Application for Filing Information Returns Electronically (FIRE), Form 8809, Application for Extension of Time
to File Information Returns, and Form 8508, Request for Waiver From Filing Information ReturnsElectronically, may be faxed to
IRS/IRB at1–877–477–0572.
Sec. 4. Filing Requirements
.01The regulations under section 6011(e)(2)(A) of the Internal Revenue Code provide that any person, including a corporation,
partnership, individual, estate, and trust, who is required to file 250or more information returns must file such returns electronically.
The 250* or more requirement applies separately for each typeof return and separately to each type of corrected return.
*Even though filers may submit up to 249 information returns onpaper, IRS encourages filers to transmit those information
returns electronically.
.02All filing requirements that follow apply individually to each reporting entity as defined by its separate Taxpayer Identification
Number (TIN). For example, if a corporation with several branches or locations uses thesameEIN,thecorporationmustaggregate
the total volume of returns to be filed for that EIN and apply the filing requirements toeach type of return accordingly.
.03The following requirements apply separately to both originals and corrections filed electronically:
September 12, 20112402011–37 I.R.B.

1097-BTC
1098
1098-C
1098-E
1098-T
1099-A
1099-B
1099-C
1099-CAP
1099-DIV
1099-G
1099-H
1099-INT
1099-K
1099-LTC
1099-MISC
1099-OID
1099-PATR
1099-Q
1099-R
1099-S
1099-SA
3921
3922
5498
5498-ESA
5498-SA
W-2G
250ormoreofanyof these forms requires electronic filing with IRS. These are stand-alone documents
and are not to be aggregated for purposes of determining the 250 threshold. For example, if a payer
must file 100 Forms 1099-B and 300 Forms 1099-INT, Forms 1099-B need not be filed electronically
since they do not meet the threshold of 250. However, Forms 1099-INT must be filed electronically
since they meet the threshold of 250.
.04The above requirements do not apply if the payer establishes undue hardship (See Part D, Sec. 5).
Sec. 5. Vendor List
.01IRS/IRB prepares a publication of vendors who support electronic filing. Publication 1582, Information Returns Vendor List,
contains the names of service bureaus that will produce or submit files for electronic filing. It also contains the names of vendors who
provide software packages for payers who wish to produce electronic files on their owncomputer systems. This list is compiled as a
courtesy and in no way implies IRS/IRB approval or endorsement.
.02If filers engage a service bureau to prepare files on their behalf, the filers must not also report this data, as it will create a
duplicate filing situation which may cause penalty notices to be generated.
.03The Vendor List, Publication 1582, is updated periodically. The most recent revision is available on the IRS website atI
RS.gov.
For an additional list of software providers, log on toI
RS.govandgototheBusiness e-file Providerslink.
.04A vendor, who offers a software package, or has the capability to electronically file information returns for customers, and who
would like to be included in Publication 1582 must submit a letter or e-mail to IRS/IRB. The request should include:
(a)Company name
(b)Address (include city, state, and ZIP code)
(c)Telephone and FAX number (include area code)
(d)E-mail address
(e)Contact person
(f)Website
(g)Type(s) of service provided (e.g., service bureau and/or software)
(h)Method of filing (only electronic filing is acceptable)
(i)Type(s) of return(s)
Sec. 6. Form 4419, Application for Filing Information Returns Electronically (FIRE)
.01Transmitters are required to submit Form 4419, Application forFiling Information Returns Electronically (FIRE), to request
authorization to file information returns with IRS/IRB. A single Form 4419 should be filed no matter how many types of returns
the transmitter will be submitting electronically. For example, ifa transmitter plans to file Forms 1099-INT, one Form 4419 should
be submitted. If, at a later date, another type of form (Forms 1097, 1098, 1099, 3921, 3922, 5498, 8935 and W-2G) will be filed,
the transmitter should not submit a new Form 4419. Form 4419 is subject to review before approval to transmit electronically is
2011–37 I.R.B.241September 12, 2011

granted. IRS may require additional documentation. If a determination is made concerning the validity of the documents transmitted
electronically, IRS has the authority to revoke the Transmitter Control Code (TCC) and terminate the release of the files.
Note: An additional Form 4419 is required for filing each of thefollowing types of returns: Form 1042-S, Foreign Person’s
U.S. Source Income Subject to Withholding, Form 8027, Employer’s Annual Information Return of Tip Income and Allocated
Tips, and Form 8955-SSA, Annual Registration Statement Identifying Separated Participants with Deferred Vested Benefits.
See the back of Form 4419 for detailed instructions.
.02Electronically filed returns may not be submitted to IRS/IRB until the application has been approved. Please read the instruc-
tions on the back of Form 4419 carefully. Form 4419 is included in Publication 1220 for the filer’s use. This form may be photocopied.
Additional forms may be obtained by calling1–800–TAX–FORM (1–800–829–3676). The form is also available on the IRS website
atI
RS.gov.
.03Upon approval, a five-character alpha/numeric Transmitter Control Code (TCC) will be assigned and included in an approval
letter. The TCCmustbe coded in the Transmitter “T” Record. IRS/IRB uses the TCC to identify payers/transmitters and to track files
through the processing system.
.04IRS/IRB encourages transmitters who file for multiple payers to submit one application and to use the assigned TCC for all
payers. While not encouraged, multiple TCCs can be issued to payers with multiple TINs. Transmitters cannot use more than one
TCC in a file. Each TCC must be reported in separate transmissions.
.05If a payer’s files are prepared by a service bureau, the payer may not need to submit an application to obtain a TCC. Some
service bureaus will produce files, code their own TCC in the file, and send it to IRS/IRB for the payer. Other service bureaus will
prepare the file and return the file to the payer for submission toIRS/IRB. These service bureaus may require the payer to obtain a
TCC, which is coded in the Transmitter “T” Record. Payers should contact their service bureau for further information.
.06Form 4419 may be submitted anytime during the year; however, it must be submitted to IRS/IRB at least 30 days before the
due date of the return(s) for current year processing. This allows IRS/IRB the time necessary to process and respond to applications.
Form4419maybefaxedtoIRS/IRBat877–477–0572. In the event that computer equipment or software is not compatible with
IRS/IRB, a waiver may be requested to file returns on paper documents (See Part D, Sec. 5).
.07Once a transmitter is approved to file electronically, it is not necessary to reapplyunless:
(a)The payer has discontinued filing electronically for two consecutive years. The payer’s TCC may have been reassigned by
IRS/IRB. Payers who know that the assigned TCC will no longer be used are requested to notify IRS/IRB so these numbers
may be reassigned.
(b)The payer’s files were transmitted in the past by a service bureau using the service bureau’s TCC, but now the payer has
computer equipment compatible with that of IRS/IRB and wishes to prepare the files. The payer must request a TCC by
filing Form 4419.
.08In accordance with Regulations section 1.6041–7(b), payments by separate departments of a health carecarrier to providers
of medical and health care services may be reported on separate returns filed electronically. In this case, the headquarters will be
considered the transmitter, and the individual departments of thecompany filing reports will be considered payers. A single Form
4419 covering all departments filing electronically should be submitted. One TCC should be used for all departments.
.09Copies of Publication 1220 can be obtained by downloading from the IRS website atI
RS.gov.
.10Ifanyof the information (name, EIN, or address) on Form 4419 changes, notify IRS/IRB in writing by fax or mail to update
the IRS/IRB database. Include the TCC in all correspondence.
.11Approval to file does not imply endorsement by IRS/IRB of any computer software or of the quality of tax preparation services
provided by a service bureau or software vendor.
Sec. 7. Retention Requirements and Due Dates
.01 Payers should retain a copy of the information returns filed with IRS or have the ability to reconstruct the data for at
least 3 years from the reporting due date, except:
(a)Retain for four years all information returns when backup withholding is imposed.
(b)Retain a copy of Form 1099-C, Cancellation of Debt, or have the ability to reconstruct the data required to be included on
the return, for at least 4 years from the date such return is required to be filed.
.02Filing of information returns is on a calendar year basis, except for Forms 5498 and 5498-ESA, which are used to report amounts
contributed during or after the calendar year (but no later than April 15). The following due dates apply:
September 12, 20112422011–37 I.R.B.

Due Dates
Forms 1097-BTC, 1098, 1099, 3921, 3922, and W-2GRecipient Copy — January 31 (*see exceptions below)
IRS Paper Filing — February 28
IRS Electronic Filing — March 31
*February 15, for Forms 1099-B and 1099-S
*February 15, for Forms 1099-MISC if substitute payments
are reported in box 8 or gross proceeds paid to an attorney
are reported in box 14. If no such payments are reported,
January 31, remains the due date for furnishing Copy B to
recipients.
Forms 5498*, 5498-SA and 5498-ESA
Forms 5498 and 5498-SA
Form 5498-ESA
ParticipantCopy—May31*
IRSCopy—May31
Participant Copy — April 30
*Participant copy of Form 5498 to furnish FMV/RMD
information — January 31
Form 8935
IRS Copy — Due 90 days from date of payment
Note: If any due date falls on a Saturday, Sunday, or legal holiday, the return or statement is considered timely if filed
or furnished on the next day that is not a Saturday, Sunday, or legal holiday.
Sec. 8. Corrected Returns
•Acorrectionis an information return submitted by the transmitter to correct an information return that was previously submit-
ted to and successfully processed by IRS/IRB, but contained erroneous information.
•While IRS/IRB encourages electronic filingof corrections, filers may file up to 249 paper corrections even though the originals
were filed electronically.
•DO NOT SEND THE ENTIRE ORIGINAL FILE AGAIN.Only correct the information returns that were erroneous.
•Be sure to use the same payee account number that was used onthe original submission. The account number is used to match
a correction record to the original information return.
•Before creating a correction file, review the correction guidelines chart carefully.
•Information returns omitted from the original filemust notbe coded as corrections. Submit these returns under a separate
Payer “A” Record asoriginal returns.
.01The electronic filing requirement of information returns of 250 or more applies separately to both original and corrected returns.
E
X
A
M
P
L
E
If a payer has 100 Forms 1099-A to be corrected, they can be filed on paper because they fall under the 250
threshold. However, if the payer has 300 Forms 1099-B to be corrected, they must be filed electronically
because they meet the 250 threshold. If for some reasona payer cannot file the 300 corrections electronically,
to avoid penalties, a request for a waiver must be submitted before filing on paper. If a waiver is approved for
original documents, any corrections for the same type of return will be covered under that waiver.
2011–37 I.R.B.243September 12, 2011

.02Corrections should be filed as soon as possible. Corrections filed after August 1 may be subject to the maximum penalty of
$100 per return. Corrections filed by August 1 may be subject to a lesser penalty. (For information on penalties, refer to the Penalties
section of the2011 General Instructions for Certain Information Returns. However, if payers discover errors after August 1, they
should file corrections, as a prompt correction is a factor considered in determining whetherthe intentional disregard penalty should
be assessed or whether a waiver of the penalty for reasonable cause may be granted. All fields must be completed with the correct
information, not just the data fields needing correction. Submit corrections only for the returns filed in error, not the entire file. Furnish
corrected statements to recipients as soon as possible.
Note: Do NOT resubmit the entire original file as corrections. This will result in duplicatefiling and erroneous notices may
be sent to payees. Submit only those returns which require correction.
.03There are numerous types of errors, and in some cases, more than one transaction may be required to correct the initial error.
If the original return was filed as an aggregate, thefiler must consider this infiling corrected returns.
.04The payee’s account number should be included on all correction records. This is especially important when more than one
information return of the same type is reported for a payee. The account number is used by IRS to determine which information return
is being corrected. It is vital that each information return reported for a payee have a unique account number. See Part C, Sec. 6,
Payer’s Account Number For Payee.
.05Corrected returns may be included on the sametransmission as original returns; however, separate “A” Records are required.
If filers discover that certain information returns were omitted on the original file, they must not code these documents as corrections.
The file must be coded and submitted as original.
.06If a payer realizes duplicate reportinghas occurred, IRS/IRB should be contactedimmediatelyfor instructions on how to avoid
notices. The standard correction process will not resolve duplicate reporting.
.07If a payer discovers errors that affect a large number of payees, in addition to sending IRS the corrected returns and notifying
the payees, the IRS/IRB underreporter section should becontacted at 1–866–455–7438 for additional requirements.
.08Prior year data, original and corrected, must be filed according to the requirements of this Revenue Procedure. When submit-
ting prior year data, use the record format for the current year. Eachtax year must be electronically filed in separate transmissions.
However, use the actual year designation of the data in field positions 2–5 of the “T”, “A”, and “B” Records. Field position 6, Prior
Year Data Indicator, in the Transmitter “T” Record must contain a “P.” A separate transmission must be made for each tax year.
.09In general, filers should submit corrections for returns filed within the last three calendar years (four years if backup withholding
under section 3406 of the Code was imposed andalso for Form 1099-C, Cancellation of Debt).
.10All paper returns, whether original or corrected, must be filed with the appropriate service center.IRS/IRB does not process
paper returns.
.11If a payer discovers an error(s) in reporting thepayer (not recipient)name and/or TIN, write a letter to IRS/IRB (See Part A,
Sec. 3) containing the following information:
(a)Name and address of payer
(b)Type of error (please include the incorrect payer name/TIN that was reported)
(c)Tax year
(d)Payer TIN
(e)TCC
(f)Type of return
(g)Number of payees
(h)Filing method, paper or electronic
(i)Was Federal income tax withheld?
.12The “B” Record provides a 20-position field for a unique Payer’s Account Number for payees. The account number is required
if there are multiple accounts for a recipient for whom more than one information return of the same type is being filed. This number
will identify the appropriate incorrect return ifmore than one return is filed for a particular payee.Do not enter a TIN in this field.
A payer’s account number for the payee may be a checking account number, savings account number, serial number, or any other
number assigned to the payee by the payer that will distinguish the specific account. This number must appear on the initial return
and on the corrected return for IRS to identify and process the correction properly.
.13The record sequence for filing correctionsisthesameasfororiginalreturns.
.14Review the chart that follows. Errors normally fall under oneof the two categories listed. Next to each type of error is a list of
instructions on how to file the corrected return.
September 12, 20112442011–37 I.R.B.

Guidelines for Filing Corrected Returns Electronically
One transaction is required to make the following corrections properly. (See Note 4.)
Error Made on the Original ReturnHow To File the Corrected Return
ERRORTYPE1CORRECTION
1.
Original return was filed with one or more of the
following errors:
A.
Prepare a new file. The first record on the file will be
the Transmitter “T” Record.
B.Make a separate “A” Record for each type of return
and each payer being reported. Payer information in
the “A” Record must be the same as it was in the
original submission.
C.
The Payee “B” Records must show the correct record
information as well as a Corrected Return Indicator
Code of “G” in field position 6.
D.Corrected returns using“G” coded “B” Records may
be on the same file as those returns submitted without
the “G” coded “B” Records; however,separate “A”
Records are required.
E.Prepare a separate “C” Record for each type of return
and each payer being reported.
(a)Incorrect payment amount codes in the Payer “A”
Record
(b)Incorrect payment amounts in the Payee “B”
Record
(c)Incorrect code in the distribution code field in the
Payee “B” Record
(d)Incorrect payee indicator(See Note 1.)
(e)Return should not have been filed
Note 1: Payee indicators are non-money amount
indicator fields located in the specific form record
layouts of the Payee “B” Record between field
positions 544–748.
Note 2: To correct a TIN, and/or payee name follow
the instructions under Error Type 2.
F.ThelastrecordonthefilemustbetheEndof
Transmission “F” Record.
File layoutonestep corrections
Transmitter
“T”
Record
Payer
“A”
Record
“G”
coded
Payee “B”
Record
“G”
coded
Payee “B”
Record
End of Payer
“C”
Record
End of
Transmission
“F” Record
2011–37 I.R.B.245September 12, 2011

Guidelines for Filing Corrected Returns Electronically (Continued)
Two (2) separate transactions are required to make the following corrections properly. Follow the directions for both
Transactions 1 and 2. (See Note 4.) DO NOT use the two step correction process to correct money amounts.
Error Made on the Original ReturnHow To File the Corrected Return
ERRORTYPE2CORRECTION
1.
Original return was filed with one or more of the
following errors:
Transaction 1:Identify incorrect returns.
A.
Prepare a new file. The first record on the file will be
the Transmitter “T” Record.
B.Make a separate “A” Record for each type of return
and each payer being reported. The information in the
“A” Record will beexactlythe same as it was in the
original submission.(See Note 3.)
(a)No payee TIN (SSN, EIN, ITIN, QI-EIN)
(b)Incorrect payee TIN
(c)Incorrect payee name
(d)Wrong type of return indicator
Note 3: The Record Sequence Number will be
different since this is a counter number and is
unique to each file. For Form 1099-R corrections, if
the corrected amounts are zeros, certain indicators
will not be used.
C.
The Payee “B” Records must containexactly the
sameinformation as submitted previously,except,
insert a Corrected Return Indicator Code of “G” in
field position 6 of the “B” Records, and enter “0”
(zeros) in all payment amounts.(See Note 3.)
D.Corrected returns using“G” coded “B” Records may
be on the same file as those returns submitted with
a“C”code;however, separate “A” Records are
required.
E.Prepare a separate “C” Record for each type of return
and each payer being reported.
F.Continue with Transaction 2 to complete the
correction.
Transaction 2:Report the correct information.
A.
Make a separate “A” Record for each type of return
and each payer being reported.
B.The Payee “B” Records must show the correct
information as well as a Corrected Return Indicator
Code of “C” in field position 6. Corrected returns
submitted to IRS/IRB using “C” coded “B” Records
may be on the same file as those returns submitted
with “G” codes;however, separate “A” Records are
required.
C.
Prepare a separate “C” Record for each type of return
and each payer being reported.
D.ThelastrecordonthefilemustbetheEndof
Transmission “F” Record.
Note 4: See the2011 General Instructions for Certain Information Returnsfor additional information on regulations
affecting corrections and related penalties.
September 12, 20112462011–37 I.R.B.

File layouttwostep corrections
Transmitter
“T”
Record
Payer
“A”
Record
“G”
coded
Payee “B”
Record
“G”
coded
Payee “B”
Record
End of Payer
“C”
Record
Payer
“A”
Record
“C”
coded
Payee “B”
Record
“C”
coded
Payee “B”
Record
End of Payer
“C”
Record
End of
Transmission
“F” Record
Note 5: If
a filer is reporting “G” coded, “C” coded, and/or “Non-coded” (original) returns on the same file, each category
must be re
ported under separate “A” Records.
Sec. 9. Effect on Paper Returns and Statements to Recipients
.01Electronic reporting of information returns eliminates the need to submit paper documents to the IRS.CAUTION: Do not
send Copy A of the paper forms to IRS/IRB for any forms filed electronically.This may result in duplicate filing and erroneous
notices could be generated.
.02Payers are responsible for providing statements to the payees as outlined in the2011 General Instructions for Certain Informa-
tion Returns. Refer to those instructions for filing information returns on paper with the IRS and furnishing statements to recipients.
.03Statements to recipients should be clear and legible. If the official IRS form is not used, the filer must adhere to the specifications
and guidelines in Publication 1179, General Rules and Specifications for Substitute Forms 1096, 1097, 1098, 1099, 3921, 3922, 5498,
8935, W-2G and 1042-S.
Sec. 10. Combined Federal/State Filing Program
•Through the Combined Federal/State Filing (CF/SF) Program, IRS/IRB will forward original andcorrected information returns
filed electronically to participating states for approved filers.
•For approval, the filer must submit a test file coded for this program. See Part B, Sec. 3, Test Files.
.01The Combined Federal/State Filing(CF/SF)Programwasestablishedtosimplifyinformation returns filing for payers. IRS/IRB
will forward this information to participating states free of charge for approved filers. Separate reporting to those states is not required.
The following information returns may be filed under the Combined Federal/State Filing Program:
Form 1099-DIVDividends and Distributions
Form 1099-GCertain Government Payments
Form 1099-INTInterest Income
Form 1099-MISCMiscellaneous Income
Form 1099-OIDOriginal Issue Discount
Form 1099-PATRTaxable Distributions Received From Cooperatives
Form 1099-RDistributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs,
Insurance Contracts, etc.
Form 5498
IRA Contribution Information
.02To request approval to participate, an electronic test file coded for this programmustbe submitted to IRS/IRB between Novem-
ber 1, 2011, andFebruary 15, 2012.
.03If the test file is coded for the Combined Federal/State Filing Program and is acceptable, anapproval letter will be sent.
.04A test file is only required for the first year a filer applies to participate in the program. However, it is highly recommended
that a test file be submitted every year. Each record, both in the test and the actual data file, must conform to the current Revenue
Procedure.
2011–37 I.R.B.247September 12, 2011

.05Within two days after a file has been submitted, a filer will be notified via e-mail as to the acceptability of the file if a valid e-mail
address was provided on the “Verify Your Filing Information” screen. If using e-mail filtering software, configure software to accept
e-mail fromf
ire@irs.govandirs.e-helpmail@irs.gov. If the file is bad, the filer must return tohttp://fire.test.irs.govto determine what
errors are in the file by clicking on CHECK FILE STATUS. If the test file was unacceptable a new test file can be transmitted no later
than February 15, 2012.
.06Only code the records for participating states.
.07If a payee has a reporting requirement for more than one state,separate “B” Records must be created for each state. Payers
must prorate the amounts to determine what should be reported to each state. Donotreport the total amount to each state. This is
duplicate reporting.
.08Some participating states require separate notification that thepayer is filing in this manner. IRS/IRB acts as a forwarding agent
only. It is the payer’s responsibility to contact the appropriate states for further information.
.09All corrections properly coded for the Combined Federal/State Filing Program will be forwarded to the participating states.
Only send corrections which affect the federal reporting or affect federal and state reporting. Errors which apply only to a state filing
requirement should be sent directly to the state.
.10 Participating states and corresponding valid state codes are listed in Table1 of this section. The appropriate state code
must be entered for those documents that meet the state filing requirements, do not use state abbreviations.
.11Each state’s filing requirements are subject to change by the state. It is the payer’s responsibility to contact the participating
states to verify their criteria.
.12Upon submission of the actual files, the transmitter must be sure of the following:
(a)All records are coded exactly as required by this Revenue Procedure.
(b)A State Total “K” Record(s) for each state(s)being reported follows the “C” Record.
(c)Payment amount totals and the valid participating statecode are included in the State Totals “K” Record(s).
(d)The last “K” Record is followed by an “A” Record or an End of Transmission “F” Record (if this is the last record of the
entire file).
Table 1. Participating States and Their Codes *
StateCodeStateCodeStateCode
Alabama01Indiana18Nebraska31
Arizona04Iowa19NewJersey34
Arkansas
05
Kansas20New Mexico
35
California06Louisiana22North Carolina37
Colorado07Maine23North Dakota38
Connecticut08Maryland24Ohio39
Delaware10Massachusetts
25
South Carolina
45
District of Columbia11Minnesota27Utah49
Georgia13Mississippi28Virginia
51
Hawaii
15
Missouri29Wisconsin
55
Idaho16Montana30
* The codes listed above are correct for the IRS Combined Federal/State Filing Program and may not correspond to the
state codes of other agencies or programs.
Sample File Layout for Combined Federal/State Filer
Transmitter
“T”
Record
Payer
“A”
Record coded
with 1 in
position 26
Payee “B”
Record with
statecode24
in positions
747–748
Payee “B”
Record with
statecode06
in positions
747–748
Payee “B”
Record, no
state code
End of Payer
“C” Record
September 12, 20112482011–37 I.R.B.

State Total “K” Record
for “B” records coded 24.
“K” record coded 15 in positions
747–748.
State Total “K” Record
for “B” records coded 06.
“K” record coded 06 in positions
747–748.
End of Transmission “F”
Record
Sec. 11. Penalties Associated With Information Returns
.01The following penalties generally apply to the person requiredto file information returns. The penalties apply to electronic
filers as well as to paper filers.
.02 Failure to File Correct Information Returns by the Due Date (Section 6721).If you fail to file a correct information return
by the due date and you cannot show reasonable cause, you may be subject to a penalty. The penalty applies if you fail to file timely,
you fail to include all information required to be shown on a return, or you include incorrect information on a return. The penalty also
applies if you file on paper when you were required to file electronically, you report an incorrect TIN or fail to report a TIN, or you
fail to file paper forms that are machine readable.
The amount of the penalty is based on when you file the correct information return. The penalty is:
•$30per information return if you correctly file within 30 days of the due date of the return (See Part A, Sec. 7 .02); maximum
penalty $250,000 per year ($75,000 for small businesses).
•$60per information return if you correctly file more than 30 days after the due date but by August 1; maximum penalty $500,000
per year ($200,000 for small businesses).
•$100per information return if you file after August 1 or you do not file required information returns; maximum penalty $1.5
million per year ($500,000 for small businesses).
.03A late filing penalty may be assessed for areplacement file which is not transmitted by the required date. See Part B, Sec. 4.06,
for more information on replacement files.
.04 Intentional disregard of filing requirements.If failure to file a correct information return is due to intentional disregard of
the filing or correct information requirements, the penalty isat least $250 per information return with no maximum penalty.
.05 Failure to Furnish Correct Payee Statements (Section 6722).For information regarding penalties which may apply to failure
to furnish correct payee statements, see the2011 General Instructions for Certain Information Returns.
Sec. 12. State Abbreviations
.01The following state and U.S. territory abbreviations are to be used when developing the state code portion of address fields. This
table provides state and territory abbreviations only, and does not represent those states participating in the Combined Federal/State
Filing Program.
2011–37 I.R.B.249September 12, 2011

StateCodeStateCodeStateCode
AlabamaALKentuckyKYNo. Mariana IslandsMP
AlaskaAKLouisianaLAOhioOH
American SamoaASMaineMEOklahomaOK
ArizonaAZMarshall IslandsMHOregonOR
ArkansasARMarylandMDPennsylvaniaPA
CaliforniaCAMassachusettsMAPuerto RicoPR
ColoradoCOMichiganMIRhode IslandRI
ConnecticutCTMinnesotaMNSouth Caroli
na
SC
DelawareDEMississippiMSSouth DakotaSD
District of ColumbiaDCMissouriMOTennesseeTN
Federated States of Micronesia FMMontanaMTTexasTX
FloridaFLNebraskaNEUtahUT
GeorgiaGANevadaNVVermontVT
GuamGUNew Hampsh
ire
NHVirginiaVA
HawaiiHINew JerseyNJ(U.S.) Virgin IslandsVI
IdahoIDNew MexicoNMWashingtonWA
IllinoisILNew YorkNYWest VirginiaWV
IndianaINNorth CarolinaNCWisconsinWI
IowaIANorth DakotaNDWyomingWY
KansasKS
.02Filers must adhere to the city, state, and ZIP Code format for U.S. addresses in the “B” Record. This also includes American
Samoa, Federated States of Micronesia, Guam, Marshall Islands, Northern Mariana Islands, Puerto Rico, and the U. S. Virgin Islands.
.03For foreign country addresses, filers may use a 51 position free format which should include city, province or state, postal code,
and name of country in this order. This is allowable only if a “1” (one) appears in the Foreign Country Indicator, Field Position 247,
of the “B” Record.
.04When reporting APO/FPO addresses, use the following format:
EXAMPLE:
Payee NamePVT Willard J. Doe
Mailing AddressCompany F, PSC Box 100
167 Infantry REGT
Payee CityAPO (or FPO)
Payee StateAE, AA, or AP*
Payee ZIP Code098010100
*AE is the designation for ZIP Codes beginning with 090–098, AA for ZIP 340, and AP for ZIP
Codes 962–966.
Part B. Electronic Filing Specifications
Note 1: The FIRE system DOES NOT provide fill-in forms, except for Form 8809, Application for Extension of Time to File
Information Returns. Filers must program files according to theRecord Layout Specifications contained in this publication.
For a list of software providers, log on to I
RS.govandgototheApprovedIRSe-fileforBusinessProviderslink. Also, see Part
A, Sec. 5.03.
Note 2: The FIRE system may be down every Wednesday from2:00 a.m. to 5:00 a.m.ET for programming updates and for
two weeks at the end of the year for yearly updates. The FIRE system will not be available for submissions during these times.
Sec. 1. General
.01Electronic filing of Forms 1097, 1098, 1099, 3921, 3922, 5498, andW-2G information returns, originals, corrections, and
replacements is the method of filingfor payers who meet the 250 returns filing requirement. Payers who are under the filing threshold
September 12, 20112502011–37 I.R.B.

requirement are encouraged to file electronically. Form 8935, Airline Payments Report, originals, corrections, and replacements may
also be filed electronically.
.02All electronic filing of information returns are received at IRS/IRB via the FIRE (Filing Information Returns Electronically)
system. To connect to the FIRE system, point the browser tohttp://fire.irs.gov. The system is designed to support the electronic filing
of information returns only.
.03The electronic filing of information returns is not affiliated with any other IRS electronic filing programs. Filers must obtain
separate approval to participate in each program. Only inquiries concerning electronic filing of information returns should be directed
to IRS/IRB.
.04Files submitted to IRS/IRB electronicallymust be in standard ASCII code. Do not send paper forms with the same information
as electronically submitted files.This creates duplicate reportingresulting in penalty notices.
.05See Part C, Record Format Specifications and Record Layouts, for the proper record format.
.06Form 8809, Application for Extension of Time to File Information Returns, is available as a fill-in form via the FIRE system.
Filers that do not already have a User ID and password should refer to Section 7. At the Main Menu, click “Extension of Time
Request” and then click “Fill-in Extension Form”. This optionis only used to request an automatic 30-day extension and must be
completed by the due date of the return for each payer requesting an extension. Filersshould print the approval page for their records.
Refer to Part D for additional details.
Sec. 2. Electronic Filing Approval Procedure
.01Filers must obtain a Transmitter Control Code (TCC) prior to submitting files electronically. Refer to Part A, Sec. 6, for
information on how to obtain a TCC.
.02Once a TCC is obtained, electronic filers must create their own User ID, password and PIN (Personal Identification Number).
See Part B, Sec. 5, for more information about PIN requirements.
.03If a filer is submitting files for more than one TCC, it is notnecessary to create a separate User ID and password for each TCC.
.04For all passwords, it is the user’s responsibility to rememberthe password and not allow the password to be compromised.
Passwords are user created at first logon and must be eight alpha/numeric characters containing at least one uppercase, one lowercase,
and one numeric. Filers who forget their password or PIN, can call1–866–455–7438for assistance.The FIRE system requires users
to change passwords every 90 days or at the first logon attempt after that time period.Users can change passwords at any time from
the Main Menu.The previous 24 passwords cannot be used.
Sec. 3. Test Files
.01Filers are not required to submit a test file; however, the submission of a test file is encouraged for all new electronic filers to
test hardware and software. If filers wish to submit an electronic test file for Tax Year2011(returns to be filed in2012), it must be
submitted to IRS/IRB no earlier thanNovember 1,2011, and no later thanFebruary 15,2012.To connect to theFIRE Test System,
point the browser to h
ttp://fire.test.irs.gov.
.02IRS/IRB encourages first time electronic filers to submit a test. Test files are required for filers wishing to participate in the
Combined Federal/State Filing Program. See Part A, Sec. 10, for further information about the Combined Federal/State Filing Pro-
gram.
.03The test filemustconsist of a sample of each type of record:
(a)Transmitter “T” Record (all fields marked required must include transmitter information)
(b)Payer “A” Record
(c)Multiple Payee “B” Records(at least eleven “B” Records per each “A” Record)
(d)End of Payer “C” Record
(e)State Totals “K” Record, if participating in the Combined Federal/State Filing Program
(f)End of Transmission “F” Record (See Part C for record formats.)
.04Use the Test Indicator “T” in Field Position 28 of the “T” Record to show this is a test file.
.05IRS/IRB will check the file to ensure it meets the specifications ofthis Revenue Procedure. For current filers, sending a test
file will provide the opportunity to ensure software reflects any programming changes.
.06Filers who encounter problems while transmitting the electronic test file can contact IRS/IRBat 866–455–7438for assistance.
.07Within two days after a file has been submitted, filers will be notified via e-mail as to the acceptability of the file, if a valid e-mail
address was provided on the “Verify Your Filing Information” screen. If using e-mail filtering software, configure software to accept
e-mail fromf
ire@irs.govandirs.e-helpmail@irs.gov.If the file is bad, the filer must return to http://fire.test.irs.govto determine what
errors are in the file by clicking on CHECK FILE STATUS.If the results indicate:
(a) “Good, Federal Reporting”– The test file is good for federal reporting only.
(b) “Good, Federal/State Reporting”– The file is good for the Combined Federal and State Filing Program (see Part A,
Section 10, for further details).
(c) “Bad”– The test file contains errors. Click on the filename for a list of the errors.
2011–37 I.R.B.251September 12, 2011

(d) “Not Yet Processed”— The file has been received, but results are not available. Please check back in a few days.
Sec. 4. Electronic Submissions
.01Electronically filed information may be submitted to IRS/IRB 24 hours a day, seven days a week. Technical assistance is
available Monday through Friday between 8:30 a.m. and 4:30 p.m. ET by calling1–866–455–7438.
.02TheFIRE system will be down from 6 p.m. ET December 16, 2011, through January 3, 2012. ThisallowsIRS/IRBto
make yearly updates to reflect current yearchanges. In addition, the FIRE system may be down every Wednesday from 2:00 a.m. to
5:00 a.m. ET for programming updates.
.03A file may not exceed 2.5 million records. When sending files larger than 10,000 records electronically, data compression is
encouraged. WinZip and PKZIP are the only acceptable compression packages. IRS/IRB cannot accept self-extracting zip files or
compressed files containing multiple files. The time required to transmit information returns electronically will vary depending upon
the type of connection to the internet and if data compression is used.The time required to transmit a file can be reduced up to
95 percent by using compression.If you are having trouble transmitting files with a scripting process, please contact IRS/IRB at
1–866–455–7438for assistance.
.04The FIRE system can accept multiple files for the same type of returnproviding duplicate data is nottransmitted. For example,
if a company has several branches issuing Forms 1099-INT, it is not necessary to consolidate all the forms into one transmission. Each
file may be sent separately,providing duplicate data is not transmitted.
.05Transmitters may create files using self assigned filename(s). Files submitted electronicallywill be assigned a new unique
filename by the FIRE system. The filename assigned by the FIRE system will consist of the submission type, the filer’s TCC and
a four-digit sequence number. The sequence number will be incremental for every file sent. For example, if this is the first original
file for the calendar year and the TCC is 44444, the IRS assigned filename would be ORIG.44444.0001.Record the filename.This
information will be needed by IRS/IRB to identify the file, if assistance is required.
.06If a file submitted timely is bad, the filer will have up to 60 days from the day the file was transmitted to submit an acceptable
replacementfile. If an acceptable replacement file isnot received within 60 days, the payer could be subject to late filing penalties.
This only applies to files originally submitted electronically.
.07The following definitions have been provided to help distinguish between a correction and a replacement:
•Acorrectionis an information return submitted by the transmitter to correct an information return that was previously submit-
ted to and processed by IRS/IRB, but contained erroneous information.(See Note.)
Note:Corrections should only be made torecords that have been submitted incorrectly, not the entire file..
•Areplacementis an information return file sent by the filer because the CHECK FILE STATUS option on the FIRE system
indicated the original/correction file wasbad. After the necessary changes have been made, the file must be transmitted through
the FIRE system.(See Note.)
Note: Filers should never transmit anything to IRS/IRB as a “Replacement” file unless the CHECK FILE STATUS option on
the FIRE system indicates a previous file is bad.
Sec. 5. PIN Requirements
.01The user will be prompted to create
a PIN consisting of ten (10) numeric characterswhenestablishinganinitialUserIDname
and password.
.02The PIN is required each time an ORI
GINAL, CORRECTION, or REPLACEMENT file is sent electronically and is permission
to release the file. It is not needed fo
r a TEST file. Authorized agents may enter their PIN; however, the payer is responsible for the
accuracy of the returns. The payer wil
l be liable for penalties for failure to comply with filing requirements. If there is a problem with
a PIN, filers should call1–866–455–
7438for assistance.
.03If the file is good, it is released
for mainline processing after ten (10) calendar days from receipt. Contact IRB at
1–866–455–7438within this ten (10)
day period if there is a reason the file should not be released for further processing. If the file is
bad, follow normal replacement proc
edures.
Sec. 6. Electronic Filing Specifications
.01The FIRE system is designed exclusively for the filing of Forms 1042-S, 1097, 1098, 1099, 3921, 3922, 5498, 8027, 8935,
8955-SSA and W-2G.
.02A transmitter must have a TCC (see Part A,Sec. 6) before a file can be transmitted.
.03Within two days of file submission, a filer will be notified via e-mail asto the acceptability of the file, if a valid e-mail address
was provided on the “Verify Your Filing Information” screen. If using e-mail filtering software, configure software to accept e-mail
September 12, 20112522011–37 I.R.B.

fromfire@irs.govandirs.e-helpmail@irs.gov.Ifthefileisbad,thefilermustreturntohttp://fire.irs.gov(or http://fire.test.irs.govif a
test file) to determine what errors are in the file by clicking on CHECK FILE STATUS.
Sec. 7. Connecting to the FIRE system
.01Have the TCC and TIN available before connecting.
.02Turn off pop-up blocking software before transmitting files.
.03Make sure the browser supports the security standards listed below.
.04Set the browser to receive “cookies.” Cookies are used to preserve the User ID status.
.05Point the browser toh
ttp://fire.irs.govto connect to the FIRE systemor http://fire.test.irs.govto connect to the FIRE test system
(Nov 1 through Feb. 15).
.06FIRE Internet Security Technical Standards are:
HTTP 1.1 Specification(h
ttp://www.w3.org/Protocols/rfc2616/rfc2616.txt)
SSL 3.0 or TLS 1.0. SSL and TLS are implemented using SHA and RSA 1024 bits during the asymmetric handshake.
SSL 3.0 Specifications
TLS 1.0 Specifications
The filer can use one of the following encryption algorithms, listed in order of priority, using SSL or TLS:
AES 256-bit (FIPS–197)
AES 128-bit (FIPS–197)
TDES 168-bit (FIPS–46–3)
F
irsttimeconnectiontotheFIREsystem(If there has been a previous logon, skip to “Subsequent Connections to the FIRE
system.”)
—Click“Create New Account”
—Fill out the registration form and click“Submit”
—CreateUser ID
—Create and verifypassword(The password is user created and must be eight alpha/numeric
characters, containing at least one uppercase, one lowercase, one numeric and cannot contain the
User ID.The FIRE system requires passwords to be changed every 90 days or at the first logon
attempt after 90 days. The previous 24 passwords cannot be used.)
—Click“Create”
—If the message“Account Created” is received,click“OK”
—Create and verify the 10-digit self-assigned PIN (Personal Identification Number).
—Click“Submit”
—If the message“Your PIN has been successfully created!” is received,click“OK”
—Read the bulletin(s) and/or“Click here to continue”
S
ubsequentconnectionstotheFIRESystem
—Click“Log On”
—Enter theUser ID
—Enter thePassword(the password is case sensitive).
—Read the bulletin(s) and/or“Click here to continue”.
U
ploadingafiletotheFIRESystem
At the Menu Options:
—Click“Se
nd Information Returns”
—Enter theTCC
—Enter th
eTIN
—Click“Submit”
2011–37 I.R.B.253September 12, 2011

Uploadingafile
totheFIRESystem
The system will d
isplay the company name, address, city, state, ZIP code, telephone number,
contact and e-ma
il address. This information will be used to e-mail the transmitter regarding the
transmission. U
pdate as appropriate and/or click“Accept”.
Note: Please provide an accurate e-mail address for the correct person to receive the
e-mail and to avoid having the e-mail returned to IRS/IRB as undeliverable. If SPAM
filtering software is being used, configure it to allow an e-mail fromf
ire@irs.govand
i
rs.e-helpmail@irs.gov.
—Click one of the following:
Original File
Replacement File
Correction F
ile
Test File(This option will only be available from November 1 through
February 15 at h
ttp://fire.test.irs.gov.)
—Enter the ten-digit PIN (If sending a test file, there is no prompt for this.)
—Click“Submit”
—Click“Browse”to locate the file and open it
—Click“U
pload”
When the upload is complete, the screen will display the total bytes received and the IRS assigned filename for the file.IF THIS
INFORMATION IS NOT DISPLAYED ON THE SCREEN, IRS/IRB MAY NOT HAVE RECEIVED THE FILE.To verify,
go to the “CHECK FILE STATUS” option on the Main Menu.Ifthe filename is displayed, the count is equal to “0,” and the
results indicate “not yet processed,” IRB received the file. If the filename is not displayed, send the file again.
If there are more files to upload for that TCC:
—Click“File Another?”otherwise,
—Click“Main Menu”
It is th
e filer’s responsibility to check the acceptability of submitted files. If an e-mail is not received within two business
days o
r an e-mail is received and it indicates the file is bad,log back into the FIRE system and click on “CHECK FILE
STATU
S” to view the results of the file(s).
CheckingtheFILESTATUS
If the correct e-mail address was provided on the “Verify Your Filing Information” screen when the file was sent, an e-mail will be
sent regarding the FILE STATUS. If the results in the e-mail indicate “Good, not Released” and the “Count of Payees” is correct,
the filer is finished with this file. If the e-mail indicates any other results, follow the instructions below.
At the Main Menu:
—Cli
ck“Check File Status”
—Enter theTCC
—En
ter theTIN
—Click“Search”
If the results onh
ttp://fire.irs.govindicate:
“Good, Not Released”– If the “Count of Payees” is correct, the filer is
finished with this file. The file will automatically be released after ten
calendar days unless the filer contacts IRB within this timeframe.
“Good, Released”– The file has been releasedto our mainline processing.
“Bad”– The file has errors. Click on the filename to view the error
message(s), fix the errors, and resubmit the file timely as a“replacement”.
September 12, 20112542011–37 I.R.B.

“Not yet processed”– The file has been received, but results are not
available. Please check back in a few days.
—When finished
,click“Log Out”
—Click“Close Web Browser”
Sec. 8. Common Problems and Questions
IRS/IRB encourages filers to verify the format and content ofeach type of record to ensure theaccuracy of the data. This may
eliminate the need for IRS/IRB to request replacement files. This may be important for those payers who have either had their files
prepared by a service bureau or who have purchased software packages.
Filers who engage a service bureau to transmit files on their behalf should be careful not to report duplicate data, which
may generate penalty notices.
This section lists some of the problems most frequently encountered with electronic files submitted to IRS/IRB. These problems
may result in IRS/IRB requesting replacement files.
1. Discrepancy between IRS/IRB Totals and Totals in Payer “C” Records.
The “C” Record is a summary record for a type of return for a given payer. IRS compares the totalnumber of payees and payment
amounts in the “B” Records with totals in the “C” Records. The two totals must agree. Do NOT enter negative amounts except
when reporting Forms 1099-B or 1099-Q. Money amounts must be numeric and right-justified. Unused positions must be
zero(0)filled.Donotuseblanksinmoneyamountfields.
2. Missing Correction Indicator in Payee “B” Record.
When a file is submitted as a correction file, there must be acorrection indicator, “G” or “C” in position 6 of the Payee “B”
record. See Part A, Sec. 8.
3. Incorrect TIN in Payer “A” Record.
The Payer’s TIN reported in positions 12–20 of the “A” Record must be a nine-digit number.(Do Not Enter Hyphens.)The
TIN and the First Payer Name Line provided in the “A” Record must correspond.
4. Incorrect Tax Year in the Transmitter “T” Record, Payer “A” Record, and the Payee “B” Records.
The tax year
in the transmitter, payer, and payee records must reflect the tax year of the information return being reported. For prior
tax year dat
a, there must be a “P” in position 6 of the Transmitter “T” Record. This position must be blank for current year data.
5. Incorrect use of Test Indicator.
When sending a test file, position 28 of the Transmitter “T” Record must contain a “T”, otherwise the position should be blank
filled. Do not populate this field with a “T” if sending an original, replacement, or correction file.
6. Incorrect Format for TINs in the Payee “B” Record.
TINs entered in positions 12–20 of the Payee “B” records must consist of nine numeric characters only.(Do Not Enter Hyphens.)
Incorrect formatting of TINs may result in a penalty.
7. Distrib
ution Codes for Form 1099-R reported incorrectly.
For Form 1099-R, there must be valid Distribution Code(s) in positions 545–546 of the Payee “B” Record. For valid codes (and
combinations), refer to the chart in Part C. If only one distribution code is required, it must be entered in position 545 and position
546 must be blank. A blank in position 545 is not acceptable.
8. The Payment Amount Fields in the “B” Record Do Not Correspond to the Amount Codes in the “A” Record.
The Amount Codes used in the “A” RecordMUSTcorrespond with the payment amount fields used in the “B” Records. The
amount codes must be left-justified and in ascending order.Unused positions must be blank filled. For Example: If the “B”
Records show payment amounts in Payment Amount fields 2, 4, and 7, then the “A” Record must correspond with 2, 4, and 7
in the Amount Code field.
2011–37 I.R.B.255September 12, 2011

NON-FORMATERRORS
1. SPAM filters are not set to receive e-mail fromfire@irs.govandirs.e-helpmail@irs.gov.
To receive e-ma
ils concerning files, processing results, reminders,and notices, set the SPAM filter to receive e-mail from
f
ire@irs.gova
ndi
rs.e-helpmail@irs.gov.
2. Incorrect e-mail address provided.
When the “Verify Your Filing Information” screen is displayed,make sure the correct e-mail address is listed. If not, please
update with the correct e-mail address.
3. Transmitter does not check the FIRE system to determine why the file is bad.
Generally, the results of a file transfer are posted to the FIRE system within two business days. If the correct e-mail address
was provided on the “Verify Your Filing Information” screen when the file was sent, an e-mail will be sent regarding the FILE
STATUS. If the results in the e-mail indicate “Good, Not Released” and the “Count of Payees” is correct, the filer is finished
with this file. If any other results are received, follow the instructions in the “Check File Status” option. If the file contains
errors, get an online listing of the errors. If the file is good,but the file should not be processed, contact IRS/IRB within ten
calendar days of the transmission of the file.
4. Incorrect file is not replaced timely.
If a file is bad, fix the file, and resubmit timely as a replacement.
5. Transmitter sends an original file that is good, and then sends a correction file for the entire file even though there are
only a few changes.
The correction file, containing the proper coding, should only contain the records needing correction, not the entire file. Improper
submission can result in duplicate reporting of payee information.
6. Transmitt
er sends a file and “CHECK FILE STATUS” indicates that the file is good, but the transmitter wants to send
another file
containing the same information.
Once a file has been transmitted, a replacement file cannot be sent unless the “CHECKFILE STATUS” indicates the file is bad
(one to two business days after the file was transmitted). If a file should not be processed, contact IRS/IRB at1–866–455–7438
within ten calendar days to see if this is a possibility.
7. Transmitter compresses several files into one.
Only compre
ss one file at a time. For example, if there are ten uncompressed files to send, compress each file separately and
send ten sep
arate compressed files.
8. File is formatted as EBCDIC.
All files submitted electronicallymust be in standard ASCII code.
9. Transmitter has one TCC, but is filing for multiple companies. Which TIN should be used when logging into the
FIRE system to send a file?
When sending the file electronically, enter the TIN of the company assigned to the TCC. The uploaded file must contain the
TINs of the businesses (payers) that made payments that aresubject to reporting on information returns. The payer TIN is
the information that will be passed forward.
10. Transmitter sent the wrong file. What should be done?
Call IRS/IRB at1–866–455–7438. IRB may be able to stop the file before it has been processed.
September 12, 20112562011–37 I.R.B.

Part C. Record Format Specification and Record Layouts
Sec. 1. File Layout Diagram
Sec. 2. General
.01The specifications contained in this part of the Revenue Procedure define the required formation and contents of the records to
be included in the electronic files.
.02A provision is made in the “B” Records for entries which are optional. If the field is not used, enter blanks to maintain a fixed
record length of 750 positions. Each field descriptionexplains the intended use of specific field positions.
Sec. 3. Transmitter “T” Record — General Field Descriptions
.01The Transmitter “T” Record identifies the entity transmitting the electronic file and contains information which is critical if it
is necessary for IRS/IRB to contact the filer.
.02The Transmitter “T” Record is the first record on each file and is followed by a Payer “A” Record. A file format diagram is
located at the beginning of Part C. A replacement file will be requested by IRS/IRB if the “T” Record is not present.
.03For all fields marked“Required,”the transmitter must provide the information described under Description and Remarks.
For those fields not marked“Required,”a transmitter must allow for the field but may be instructed to enter blanks or zeros in the
indicated field positions and for the indicated length.
.04All records must be a fixed length of 750 positions.
.05All alpha characters entered in the “T” Record must be upper-case, except e-mail addresses which may be case sensitive.Do
notuse punctuation in the name and address fields.
2011–37 I.R.B.257September 12, 2011

Record Name: Transmitter “T” Record
Field
Position
Field Title
Length
Description and Remarks
1Record Type1
Required.Enter “T.”
2–5
Payment Year4
Required..Enter“2011.” If reporting prior year data report the year which
applies (2010, 2009, etc.) and set the Prior Year Data Indicator in field position 6.
6Prior Year Data
Indicator
1
Required.Enter “P”onlyif reporting prior year data; otherwise, enter blank.
Do not enter a “P” if the tax year is2011.
7–15
Transmitter’s TIN9
Required.Enter the transmitter’s nine-digit Taxpayer Identification Number
(TIN).
16–20Transmitter Control
Code
5Required.Enter the five-character alpha/numeric Transmitter Control Code
(TCC) assigned by IRS/IRB. A TCC must be obtained to file data with this
program.
21–27Blank7Enter blanks.
28Test File
Indicator
1
Required for test files only.Enter a “T” if this is a test file; otherwise, enter
a blank.
29Foreign Entity
Indicator
1Enter a “1” (one) if the transmitter is a foreign entity. If the transmitter is not a
foreign entity, enter a blank.
30–69Transmitter Name40
Required.Enter the name of the transmitter in the manner in which it is used in
normal business. Left-justify information and fill unused positions with blanks.
70–109Transmitter Name
(Continuation)
40
Required.Enter any additional information that may be part of the name.
Left-justify information and fill unused positions with blanks.
110–149Company Name40
Required.Enter the name of the company associated with the address where
correspondence should be sent.
150–189
Company Name
(Continuation)
40Enter any additional information that may be part of the name of the company
where correspondence should be sent.
190–229Company Mailing
Address
40
Required.Enter the mailing address where correspondence should be sent.
Note: Any correspondence relating to problem electronic files will be sent to this address.
For U.S. addresses, the payer city, state, and ZIP Code must be reported as a 40, 2, and 9-position field, respectively.Filers must
adhere to the correct format for the payer city, state, and ZIP Code.
For foreign addresses, filers may use the payer city, state, and ZIP Code asa continuous 51-position field. Enter information
inthefollowingorder:city,provinceorstate,postalcode,and the name of the country. When reporting a foreign address, the
Foreign Entity Indicator in position 29 must contain a “1” (one).
230–269Company
City
40
Required.Enter the city, town, or post office where correspondence should
be sent.
270–271Company
State
2
Required.Enter the valid U.S. Postal Service state abbreviation. Refer to the
chart for valid state codes in Part A, Sec. 12.
272–280Company
ZIP Code
9
Required.Enter the valid nine-digit ZIP Code assigned by the U.S. Postal
Service. If only the first five-digits are known, left-justify and fill unused
positions with blanks.
281–295
Blank
15
Enter blanks.
296–303Total Number
of Payees
8Enter the total number of Payee “B” Records reported in the file. Right-justify
information and fill unused positions with zeros.
304–343Contact Name40
Required.Enter the name of the person to be contacted if IRS/IRB encounters
problems with the file or transmission.
September 12, 20112582011–37 I.R.B.

Record Name: Transmitter“T” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
344–358
Contact Telephone
Number & Extension
15Required.Enter the telephone number of the person to contact regarding
electronic files. Omit hyphens. If no extension is available, left-justify
information and fill unused positions with blanks. For example, the IRS/IRB
Customer Service Section telephone number of866–455–7438with an extension
of52345would be866455743852345.
359–408
Contact E-mail
Address
50Required if available.Enter the e-mail address of the person to contact
regarding electronic files. Left-justify the information. If no e-mail address is
available, enter blanks.
409–499Blank91Enter blanks.
500–507
Record Sequence
Number
8
Required.Enter the number of the record asit appears within the file. The
record sequence number for the “T” Record will always be “1” (one), since it
is the first record on the file and thefile can have only one “T” Record. Each
record, thereafter, must be incremental by one in ascending numerical sequence,
i.e.,2,3,4,etc.Right-justifynumberswithleadingzerosinthefield.For
example, the “T” Record sequencenumber would appear as “00000001” in
the field, the first “A” Record would be “00000002,” the first “B” Record,
“00000003,” the second “B” Record, “00000004” and so on until the final
record of the file, the “F” Record.
508–517
Blank10Enter blanks.
518
Vendor Indicator1
Required.Enter the appropriate code from the table below to indicate if the
software used to produce this file was provided by a vendor or produced
in-house.
Indicator
Usage
VThe software was purchased from a
vendor or other source.
IThe software was produced by in-house
programmers.
Note: In-house programmer is defined as an employee ora hired contract programmer. If the software is produced
in-house, the following Vendor information fields are not required.
519–558
Vendor Name40
Required.Enter the name of the company from whom the software was
purchased.
559–598
Vendor Mailing
Address
40
Required.Enter the mailing address.
ForU.S.addresses, the vendor city, state, and ZIP Code must be reported as a 40, 2, and 9-position field, respectively.Filers
must adhere to the correct format for the payer city, state, and ZIP Code.
For foreign addresses, filers may use the payer city, state, and ZIP Code asa continuous 51-position field. Enter information in
the following order: city, province or state, postal code, and the name of the country.
599–638
Vendor City40
Required.Enter the city, town, or post office.
639–640Vendor State2
Required.Enter the valid U.S. Postal Service state abbreviation. Refer to the
chart of valid state codes in Part A, Sec. 12.
641–649Vendor ZIP Code9
Required.Enter the valid nine-digit ZIP Code assigned by the U.S. Postal
Service. If only the first five-digits are known, left-justify and fill unused
positions with blanks.
650–689
Vendor Contact Name40
Required.Enter the name of the person to be contacted concerning any software
questions.
2011–37 I.R.B.259September 12, 2011

Record Name: Transmitter“T” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
690–704Vendor Contact
Phone Number
& Extension
15Required.Enter the telephone number of the person to contact concerning
software questions. Omit hyphens. If no extension is available, left-justify and
fill unused positions with blanks.
705–739
Blank
35
Enter Blanks.
740Vendor Foreign
Entity Indicator
1Enter a “1” (one) if the vendor is a foreign entity. Otherwise, enter a blank.
741–748Blank8Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed characters (CR/LF).
Sec. 4. Transmitter “T” Record — Record Layout
Record
Type
Payment
Year
Prior Year
Data
Indicator
Transmitter’s
TIN
Transmitter
Control
Code
Blank
1
2–5
6
7–15
16–2021–27
Test File
Indicator
Foreign
Entity
Indicator
Transmitter
Name
Transmitter
Name
(Continuation)
Company
Name
Company
Name
(Continuation)
282930–6970–109110–149
150–189
Company
Mailing
Address
Company
City
Company
State
Company
ZIP
Code
BlankTotal
Number
of Payees
Contact
Name
190–229230–269270–271272–280
281–295
296–303304–343
Contact
Phone
Number &
Extension
Contact
e-mail
Address
BlankRecord
Sequence
Number
BlankVendor
Indicator
344–358359–408
409–499
500–507508–517518
Vendor
Name
Vendor
Mailing
Address
Vendor
City
Vendor
State
Vendor ZIP
Code
Vendor
Contact
Name
519–558559–598599–638
639–640641–649
650–689
September 12, 20112602011–37 I.R.B.

Vendor
Contact
Phone
Number &
Extension
BlankVendor
Foreign
Entity
Indicator
BlankBlank or
CR/LF
690–704
705–739
740741–748
749–750
Sec. 5. Payer “A” Record — General Field Descriptions
.01The Payer “A” Record identifies the person making payments, a recipient of mortgage or student loan interest payments, an
educational institution, a broker, a person reporting a real estate transaction, a barter exchange, a creditor, a trustee or issuer of any
IRA or MSA plan, and a lender who acquires an interest in secured property or who has a reason to know that the property has been
abandoned. The payer will be held responsible for the completeness, accuracy, andtimely submission of electronic files.
.02The second record on the file must be an “A” Record. A transmitter may include Payee “B” Records for more than one payer
in a file. However, each group of “B” Records must be precededby an “A” Record and followed by an End of Payer “C” Record. A
single file may contain different types of returns but the types of returnsmust notbe intermingled. A separate “A” Record is required
for each payer and each type of return being reported.
.03The number of “A” Records depends on the number of payers and the different types of returns being reported. Do not submit
separate “A” Records for each payment amount being reported. For example, if a payer is filing Form 1099-DIV to report Amount
Codes 1, 2, and 3, all three amount codes should be reported under one “A” Record, not three separate “A” Records.
.04The maximum number of “A” Records allowed on a file is 99,000.
.05All records must be a fixed length of 750 positions.
.06All alpha characters entered inthe “A” Record must be upper case.
.07For all fields marked“Required,”the transmitter must provide the information described under Description and Remarks.
For those fields not marked“Required,”a transmitter must allow for the field, but may be instructed to enter blanks or zeros in the
indicated field position(s)and for the indicated length.
Record Name: Payer “A” Record
Field
Position
Field Title
Length
Description and Remarks
1Record Type1
Required.Enter an “A.”
2–5
Payment Year4
Required.Enter “2011.” If reporting prior year data report the year which applies
(2010, 2009, etc.).
6Combined
Federal/State
Filer
1
Required for the Combined Federal/State Filing Program.Enter“1”(one)if
approved or submitting a test to participate in the Combined Federal/State Filing
Program; otherwise, enter a blank.
Note 1: If the Payer “A” Record is coded for the Combined Federal/State Filing Program, there must be coding in the
Payee “B” Records and the State Totals “K” Records.
Note 2: If “1” (one) is entered in this field position, be sure tocode the Payee “B” Records with the appropriate state code.
Refer to Part A, Sec. 10, for further information.Review the table carefully as some states have dropped out of the program.
7–11Blank
5
Enter blanks.
12–20Payer’s
Taxpayer
Identification
Number (TIN)
9
Required.Enter the valid nine-digit Taxpayer Identification Number assigned to the
payer.Do not enter blanks, hyphens, or alpha characters.All zeros, ones, twos,
etc., will have the effect of an incorrect TIN.
Note: For foreign entities that are not required to have a TIN, this field must be blank. However, the Foreign Entity
Indicator, position 52 of the “A”Record, must be set to “1” (one).
2011–37 I.R.B.261September 12, 2011

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
21–24Payer Name
Control
4The Payer Name Control can be obtained only from the mail label on the Package
1096 that is mailed to most payers eachDecember. If a Package 1096 has not been
received, determine the name control using the following simple rules or leave the
field blank. For a business, use the first four significant characters of the business
name. Disregard the word “the” when it is the first word of the name, unless there
are only two words in the name. A hyphen (-) and an ampersand (&) are the only
acceptable special characters. Names of less than four (4) characters should be
left-justified, filling the unused positions with blanks.
25
Last Filing
Indicator
1Enter a “1” (one) if this is thelast yearthis payer name and TIN will file information
returns electronically or on paper; otherwise, enter a blank.
26–27Type of Return2
Required.Enter the appropriate code from the table below. Left-justify information
and fill unused positions with blanks.
TypeofReturnCode
1097-BTCBT
10983
1098-CX
1098-E2
1098-T8
1099-A4
1099-BB
1099-C
5
1099-CAPP
1099-DIV1
1099-GF
1099-HJ
1099-INT6
1099-KMC
1099-LTCT
1099-M
ISC
A
1099-OIDD
1099-PATR7
1099-QQ
1099-R9
1099-SS
109
9-SA
M
3921N
3922Z
5498
L
54
98-ESA
V
5498-SA
K
8935
U
W-2GW
28-43Amount Codes
(See Note.)
16Required.Enter the appropriate amount code(s) for the type of return being
reported. In most cases, the box numbers on paper information returns correspond
with the amount codes used to file electronically. However, if discrepancies occur,
this Revenue Procedure governs for filing electronically. Enter the amount codes in
ascending sequence; numeric characters followedbyalphas.Left-justify information
and fill unused positions with blanks.
Note: A type of return and an amount code must be present in every Payer “A” Record even if no money amounts are
being reported. For a detailed explanation of the information to be reported in each amount code, refer to the appropriate
paper instructions for each form.
September 12, 20112622011–37 I.R.B.

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
Amount CodesForm 1097-BTC— Bond
Tax Credit
For Reporting Bond Tax Credit on Form 1097-BTC:
AmountCodeAmountType
3Other Allowance Date Credit
4
March 15, 2011 Allowance Date Credit
5June 15, 2011 Allowance Date Credit
6
September 15, 2011 Allowance Date Credit
7
December 15, 2011 Allowance Date Credit
Amount CodesForm 1098—Mortgage
Interest Statement
For Reporting Mortgage Interest Received From Payers/Borrowers (Payer of
Record) on Form 1098:
A
mountCodeAmountType
1Mortgage interest received from
payer(s)/borrower(s)
2Points paid on purchase of principal
residence
3Refund (or cre
dit) of overpaid interest
4Mortgage Insurance Premiums
5
Blank (Filer’s use)
Amount CodesForm 1098-C—
Contributions of Motor Vehicles, Boats,
and Airplanes
For Reporting Gross Proceeds From Sales on Form 1098-C:
A
mountCodeAmountType
4Gross proceeds from sales
6Value of goods or services in exchange for
vehicle
Amount CodeForm 1098-E—Student
Loan Interest
For Reporting Interest on Student Loans on Form 1098-E:
A
mountCodeAmountType
1Student loan interest received by lender
Amount CodesForm 1098-T— Tuition
Statement
For Reporting Tuition Payments on Form 1098-T:
A
mountCodeAmountType
1Payments received forqualified tuition and
related expenses
2Amounts billed for qualified tuition and
related expenses
3Adjustments made for prior year
4Scholarships or grants
5
Adjustmentstoscholarshipsorgrantsfor
a prior year
7Reimbu
rsements or refunds of qualified
tuitio
n and related expenses from an
insura
nce contract
2011–37 I.R.B.263September 12, 2011

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
Note 1: For Amount Codes 1 and 2 enter either payments received OR amounts billed. Do Not report both.
Note 2: Amount Codes 3 and 5 are assumed to be negative. It is not necessary to code with an over punch or dash
to indicate a negative reporting.
Amount CodesForm 1099-A—
Acquisition or Abandonment of Secured
Property
For Reporting the Acquisition or Abandonment of Secured Property on Form
1099-A:
A
mountCodeAmountType
2Balance of prin
cipal outstanding
4Fair market value of property
For Reporting Payments on Form 1099-B:
Amount CodesForm 1099-B— Proceeds
From Broker and Barter Exchange
TransactionsA
mountCodeAmountType
2Stocks, bonds, etc. (For forward contracts,
See Note 1.)
3Bartering(D
o not report negative amounts.)
4Federal income tax withheld (backup
withholding) (Do not report negative
amounts.)
6
Profit (or loss) realized in2011(See Note
2.)
7Unrealized profit (or loss) on open contracts
-12/31/2010(See Note 2.)
8Unrealize
d profit (or loss) on open contracts
-12/31/2
011(See Note 2.)
9
Aggregate profit (or loss)(See Note 2.)
ACost or other basis
BWash sale loss disallowed
Note 1: The payment amount field associated with Amount Code 2 may be used to report a loss from a closing transaction
on a forward contract. Refer to the “B” Record – General Field Descriptions and Record Layouts, Payment Amount
Fields, for instructions on reporting negative amounts.
Note 2: Payment Amount Fields 6, 7, 8, and 9 are to be used for the reporting of regulatedfutures or foreign currency
contracts.
For Reporting Payments on Form 1099-C:
Amount CodesForm 1099-C—
Cancellation of Debt
A
mountCodeAmountType
2Amount of debt canceled
3Interes
t, if included in Amount Code 2
7
Fair market value of property(See Note.)
Note: Use Amount Code 7 only if a combined Form 1099-A and 1099-C is being filed.
For Reporting Payments on Form 1099-CAP:
Amount CodeForm 1099-CAP—
Changes in Corporate Control and Capital
StructureA
mountCodeAmountType
2Aggregate amount received
September 12, 20112642011–37 I.R.B.

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
For Reporting Payments on Form 1099-DIV:
Amount CodesForm 1099-DIV—
Dividends and Distributions
A
mountCodeAmountType
1Total ordinary dividends
2Qualified dividends
3Total capital gain distribution
6
Unrecaptured
Section1250gain
7Section 1202 gain
8Collectibles
(28%) rate gain
9Nondividend distributions
AFederal income tax withheld
BInvestment expenses
CForeign tax paid
DCash liquidation distributions
ENon-cash l
iquidation distributions
For Report
ing Payments on Form 1099-G:
Amount CodesForm 1099-G— Certain
Government Payments
A
mountCodeAmountType
1Unemployment compensation
2State or local income tax refunds, credits,
or offsets
4Federal income tax withheld (backup
withholding or voluntary withholding
on unemployment compensation or
Commodity Credit Corporation Loans, or
certain crop disaster payments)
5
Alternative Trade Adjustment Assistance
(ATAA) Payments
6Taxable grants
7Agriculture payments
9Market Gain
For Reporting Payments on Form 1099-H:
Amount CodesForm 1099-H— Health
Coverage Tax Credit (HCTC) Advance
PaymentsA
mountCodeAmountType
1Gross amount of health insurance advance
payments
2Amount of advance payment for January
3Amount of advance payment for February
4Amoun
t of advance payment for March
5
Amount of advance payment for April
6Amount of advance payment for May
7Amoun
t of advance payment for June
8Amount of advance payment for July
9Amount of advance payment for August
AAmou
nt of advance payment for September
BAmount of advance payment for October
CAmount of advance payment for November
DAmo
unt of advance payment for December
2011–37 I.R.B.265September 12, 2011

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
For Reporting Payments on Form 1099-INT:
Amount CodesForm 1099-INT—
Interest Income
A
mountCodeAmountType
1Interest income not included in Amount
Code 3
2Early withdrawal penalty
3Interest on U.S. Savings Bonds and
Treasury obligations
4Federal income tax withheld (backup
withholding)
5
Investment expenses
6Foreigntaxpa
id
8Tax-exempt interest
9Specified Private Activity Bond Interest
Amount Codes Form 1099-K — Merchant
Card and Third Party Network PaymentsA
mountCodeAmountType
1Gross amount of merchant card/third party
network payments
5January payments
6
February payments
7March payments
8April payments
9May payments
AJune payments
BJuly payments
CAugust payments
DSeptember payments
EOctober payments
FNovember payments
GDecember payments
Amount Codes
Form 1099-LTC—
Long-Term C
are and Accelerated Death
Benefits
For Reporting Payments on Form 1099-LTC:
A
mountCodeAmountType
1Gross long-term care benefits paid
2Accelerated death benefits paid
September 12, 20112662011–37 I.R.B.

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
For Reporting Payments on Form 1099-MISC:
Amount CodesForm 1099-MISC—
Miscellaneous Income
(See Note 1.)A
mountCodeAmountType
1Rents
2
Royalties(See Note 2.)
3Other income
4Federal income tax withheld (backup
withholding or withholding on Indian
gaming profits)
5
Fishing boat proceeds
6Medical and health care payments
7Nonemployee compensation
8Substitute
payments in lieu of dividends or
interest
ACrop insurance proceeds
BExcess golden parachute payments
CGross proceeds paid to an attorney in
connection with legal services
DSection 409A Deferrals
ESection 409A Income
Note 1: If only reporting a direct sales indicator (see “B” record field position 547), use Type of Return “A” in Field
Positions 26–27, and Amount Code 1 in Field Position 28of the Payer “A” Record. All payment amount fields in the
Payee “B” Record will contain zeros.
Note 2: Do not report timber royalties under a “pay-as-cut” contract; these must be reported on Form 1099-S.
Amount CodesForm 1099-OID—
Original Issue Discount
For Reporting Payments on Form 1099-OID:
A
mountCodeAmountType
1Original issue discount for2011
2Otherpe
riodic interest
3Early withdrawal penalty
4Federal income tax withheld (backup
withholding)
6Original issue discount on U.S. Treasury
Obligations
7Investment expenses
For Reporting Payments on Form 1099-PATR:
Amount CodesForm 1099-PATR—
Taxable Distributions Received From
CooperativesA
mountCodeAmountType
1Patronage dividends
2Nonpatronage distributions
3Per
-unit retain allocations
4Federal income tax withheld (backup
withholding)
5
Redemption of nonqualified notices and
retain allocations
6Deduction for qualified production
activities income
2011–37 I.R.B.267September 12, 2011

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
Pass-Through Credits
7Investment credit
8Work opportunity credit
9Patron’s alternative minimum tax (AMT)
adjustment
AForfiler’sus
e for pass-through credits and
deductions
For Reporting
Payments on a Form 1099-Q:
Amount CodesForm 1099-Q—
Payments From Qualified Education
Programs (Under Sections 529 and 530)A
mountCodeAmountType
1Gross distribution
2Earnings
3Basis
For Reporting Payments on Form 1099-R:
A
mountCodeAmountType
1Gross distribution
2
Taxable amo
unt(See Note 1.)
3Capital gain (included in Amount Code 2)
4Federal in
come tax withheld
5
Employee contributions or insurance
premiums
6Net unrealized appreciation in employer’s
securities
8Other
9Total employee contributions
Amount Code
sForm 1099-R—
Distributi
ons From Pensions, Annuities,
Retirement
or Profit–Sharing Plans, IRAs,
Insurance C
ontracts, etc.
ATraditional IRA/SEP/SIMPLE distribution
or Roth conversion(See Note 2.)
BAmount
allocable to IRR within 5 years
Note 1: If the taxable amount cannot be determined, enter a “1” (one) in position 547 of the “B” Record. Payment
Amount 2 must contain zeros.
Note 2: For Form 1099-R, report the Roth conversion or total amount distributed from an IRA, SEP, or SIMPLE in
Payment Amount Field A (IRA/SEP/SIMPLE distribution orRoth conversion) of the Payee “B” Record, and generally,
the same amount in Payment Amount Field 1 (Gross Distribution). The IRA/SEP/SIMPLE indicator should be set to
“1” (one) in Field Position 548 of the Payee “B” Record.
For Reporting Payments on Form 1099-S:
Amoun
tCodesForm 1099-S— Proceeds
From R
eal Estate Transactions
A
moun
tCode
Amoun
tType
2
Gross proceeds(See Note.)
5
Buyer’s part of real estate tax
Note: Include payments of timber royalties made under a “pay-as-cut” contract, reportable under IRC section 6050N. If
timber royalties are being reported, enter “TIMBER” in thedescription field of the “B” Record. If lump-sum timber
payments are being reported, enter “LUMP-SUM TIMBER PAYMENT” in the description field of the “B” record.
September 12, 20112682011–37 I.R.B.

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
For Reporting Distributions on Form 1099-SA:
Amount CodesForm 1099-SA—
Distributions From an HSA, Archer MSA,
or Medicare Advantage MSAA
mountCodeAmountType
1Gross distribution
2Earnings on excess contributions
4Fair market value of the account on date
of death
Amount CodesForm 3921—Exerciseof
a Qualified Incentive Stock Option Under
Section 422(b)
For Reporting Information on Form 3921:
A
mountCodeAmountType
3Exercise price per share
4Fair market value of share on exercise date
Amount CodesForm 3922—Transfer
of Stock Acquired Through an Employee
Stock Purchase Plan Under Section 423(b)
For Reporting Information on Form 3922:
A
mountCodeAmountType
3Fair market value per share on grant date
4Fair market value on exercise date
5
Exercise price per share
8Exercise price per share determined as if
the option was exercised on the date the
option was granted
For Reporting Information on Form 5498:Amount CodesForm 5498—IRA
Contribution
A
mountCodeAmountType
1IRA contributions (other than amounts in
Amount Codes 2, 3, 4, 8, 9, and A)(See
Notes 1 and 2.)
2Rollover contributions
3Roth conversion amount
4Recharacte
rized contributions
5
Fair market value of account
6Life insurance cost included in Amount
Code 1
8SEP contributions
9SIMPLEco
ntributions
ARoth IRA contributions
BRMD amount
CPostponed Contribution
DRepayments
Note 1: If reporting IRA contributions for a participant in a military operation, see the2011 Instructions for Forms
1099-R and 5498.
Note 2: Also include employee contributions to an IRA under a SEP plan but not salary reduction contributions. D
O
NOTincludeEMPLOYERcontributions;these are included in Amount Code 8.
2011–37 I.R.B.269September 12, 2011

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
For Reporting Information on Form 5498-ESA:Amount CodesForm 5498-ESA—
Coverdell ESA Contribution Information
A
mountCodeAmountType
1Coverdell ESA contributions
2Rollover contributions
For Reporting I
nformation on Form 5498-SA:
Amount CodesFo
rm 5498-SA—HSA,
Archer MSA, or M
edicare Advantage
MSA Informatio
n
A
mountCodeAmountType
1Employeeorsel
f-employed person’s
Archer MSA cont
ributions made in2011
and2012for20
11
2Total contributions made in2011(See the
2011Instructions.)
3Total HSA/MSA contributions made in
2012for 2011
4
Rollover contributions(See Note.)
5
Fair market value of HSA, Archer MSA or
Medicare Advantage MSA
Note:ThisistheamountofanyrollovermadetothisMSAin2011after a distribution from another MSA. For detailed
information on reporting, see the2011 Instructions for Forms 1099-SA and 5498-SA.
Amount CodesForm 8935—Airline
Payments Report
For Reporting Information on Form 8935:
A
mountCodeAmountType
1Total amount reported
2First year of reported payments
3Second year of reported payments
4Third year of reported payments
5
Fourth year of reported payments
6Fifth year of reported payments
Amount CodesW-2G— Certain
Gambling Winnings
For Reporting Payments on Form W-2G:
A
mountCodeAmountType
1Grosswinnings
2Federal income tax withheld
7Winnings from identical wagers
44–51Blank8Enter blanks.
52
Foreign Entity
Indicator
1Enter a “1” (one) if the payer is a foreign entity and income is paid by the foreign
entity to a U.S. resident. Otherwise, enter a blank.
53–92
First Payer
Name Line
40
Required.E
nter the name of the payer whose TIN appears in positions 12–20 of the
“A” Record.
Any extraneous information must be deleted. Left-justify information
and fill un
used positions with blanks. (Filers should not enter a transfer agent’s
name in thi
s field. Any transfer agent’s name should appear in the Second Payer
Name Line F
ield.)
September 12, 20112702011–37 I.R.B.

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
93–132Second Payer
Name Line
40 If the Transfer (or Paying) Agent Indicator (position 133) contains a “1” (one),
this field must contain the name of the transfer (or paying) agent. If the indicator
contains a “0” (zero), this field may contain either a continuation of the First Payer
Name Line or blanks. Left-justify information and fill unused positions with blanks.
133Transfer
Agent Indicator
1
Required.Identifies the entity in the Second Payer Name Line Field.
CodeMeaning
1The entity in the Second Payer Name Line
Field is the transfer (or paying) agent.
0 (zero)The entity shown isnotthe transfer (or
paying) agent (i.e., the Second Payer Name
Line Field contains either a continuation of
the First Payer Name Line Field or blanks).
134–173Payer
Shipping
Address
40
Required.If the Transfer Agent Indicator in position 133 is a “1” (one), enter the
shipping address of the transfer (or paying) agent. Otherwise, enter theactual
shipping address of the payer. The street address should include number, street,
apartment or suite number, or PO Box if mail is not delivered to a street address.
Left-justify information, and fill unused positions with blanks.
For U.S. addresses, the payer city, state, and ZIP Code must be reported as a 40, 2, and 9-position field, respectively.Filers must
adhere to the correct format for the payer city, state, and ZIP Code.
For foreign addresses, filers may use the payer city, state, and ZIP Code asa continuous 51-position field. Enter information
in the following order: city, province or state, postal code, and the name of the country. When reporting a foreign address, the
Foreign Entity Indicator in position 52 must contain a “1” (one).
174–213Payer City40
Required.If the Transfer Agent Indicator in position 133 is a “1” (one), enter the
city, town, or post office of the transfer agent. Otherwise, enter the city, town, or post
office of the payer. Left-justify information and fill unused positions with blanks.
Do not enter state and ZIP Code information in this field.
214–215
Payer State2
Required.Enter the valid U.S. Postal Service state abbreviations. Refer to the chart
of valid state abbreviations in Part A, Sec.12.
216–224Payer ZIP Code 9
Required.Enter the valid nine-digit ZIP Code assigned by the U.S. Postal Service.
If only the first five-digits are known, left-justify information and fill the unused
positions with blanks. For foreign countries, alpha characters are acceptable as long
as the filer has entered a “1” (one) in the Foreign Entity Indicator, located in Field
Position 52 of the “A” Record.
225–239
Payer’s
Telephone
Number &
Extension
15
Enter the payer’s telephone number and extension. Omit hyphens. Left-justify
information and fill unused positions with blanks.
240–499Blank260Enter blanks.
500–507
Record
Sequence
Number
8
Required.Enter the number of the record as it appears within the file. The record
sequence number for the “T” Record will always be “1” (one), since it is the first
record on the file and the file can have only one “T” Record. Each record, thereafter,
must be incremental by one in ascending numerical sequence, i.e., 2, 3, 4, etc.
Right-justify numbers with leading zerosin the field. For example, the “T” Record
sequence number would appear as “00000001” in the field, the first “A” Record
would be “00000002,” the first “B” Record, “00000003,” the second “B” Record,
“00000004” and so on until the finalrecord of the file, the “F” Record.
508–748
Blank241Enter blanks.
2011–37 I.R.B.271September 12, 2011

Record Name: Payer “A” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Sec.6.Payer“A”Record—RecordLayouts
Record
Type
Payment
Year
Combined
Federal/State
Filer
BlankPayer
TIN
Payer Name
Control
Last Filing
Indicator
1
2–5
67–1112–2021–24
25
Type
of
Return
Amount
Codes
BlankForeign
Entity
Indicator
First
Payer Name
Line
26–2728–43
44–515253–92
Second Payer
Name
Line
Transfer
Agent
Indicator
Payer
Shipping
Address
Payer
City
Payer
State
Payer
ZIP
Code
93–132133134–173174–213
214–215
216–224
Payer’s Telephone
Number and
Extension
BlankRecord
Sequence
Number
BlankBlank or
CR/LF
225–239
240–499
500–507508–748749–750
Sec. 7. Payee “B” Record — General Field Descriptions and Record Layouts
.01The “B” Record contains the payment information from the information returns. The record layout for field positions 1 through
543 is the same for all types of returns. Field positions 544 through 750 vary for each type of return toaccommodate special fields for
individual forms. In the “B” Record, the filermustallow for allsixteenPayment Amount Fields.For those fields not used, enter
“0” (zeros).
.02The following specifications include a field in the payee records called “NameControl” in which the first four characters of
the payee’s surname are to be entered by the filer:
(a)If filers are unable to determine the first four characters of the surname, the Name Control Field may be left blank. Com-
pliance with the following will facilitate IRS computer programs in identifying the correct name control:
(1)The surname of the payee whose TIN is shown in the “B” Recordshould always appear first. If, however, the records
have been developed using the first name first, the filer must leave a blank space between the first and last names.
(2)In the case of multiple payees, the surname of the payee whose TIN (SSN, EIN, ITIN, or ATIN) is shown in the “B”
Record must be present in the First Payee Name Line. Surnames of any other payees may be entered in the Second
Payee Name Line.
.03For all fields marked“Required,”the transmitter must provide the information described under “Description and Remarks”.
For those fields not marked“Required,”the transmitter must allow for the field, but may be instructed to enter blanks or zeros in the
indicated field position(s)and for the indicated length.
.04All records must be a fixed length of 750 positions.
September 12, 20112722011–37 I.R.B.

.05A field is also provided in these specifications for Special DataEntries. This field may be used torecord information required
by state or local governments, or for the personal use of the filer. IRS does not use the data provided in the Special Data Entries Field;
therefore, the IRS program does not check the content or format ofthe data entered in this field. Itis the filer’s option to use the
Special Data Entry Field.
.06Following the Special Data Entries Field in the “B” Record, payment fields have been allocatedfor State Income Tax Withheld
and Local Income Tax Withheld. These fields are for the convenience of filers. The information will not be used by IRS/IRB.
.07Those payers participating in the Combined Federal/State Filing Program must adhere to all of the specifications in Part A,
Sec. 10, to participate in this program.
.08All alpha characters in the “B” Record must be uppercase.
.09 Do notuse decimal points (.) to indicate dollars and cents. Payment Amount Fields must be all numeric characters.
Record Name: Payee “B” Record
Field
Position
Field Title
Length
Description and Remarks
1Record Type1
Required.Enter “B”.
2–5
Payment Year4
Required.Enter “2011.” If reporting prior year data, report the year
which applies (2010, 2009, etc.).
6Corrected Return
Indicator
(See Note.)
1
Required for corrections only.Indicates a corrected return. Enter
the appropriate code from the following table.
CodeDefinition
GIf this is a one-transactioncorrectionorthefirstof
a two-transaction correction
CIf this is the second transaction of a two-transaction
correction
BlankIf this is not a return being submitted to correct
information already processed by IRS
Note: C, G, and non-coded records must be reported using separate Payer “A” Records. Refer to Part A, Sec. 8, for
specific instructions on how to file corrected returns.
7–10Name Control4If determinable, enter the first four characters of the surname of the
person whose TIN is being reported in positions 12-20 of the “B”
Record; otherwise,enter blanks. This is usually the payee. If the
name that corresponds to the TIN is not included in the first or sec-
ond payee name line and the correctname control is not provided,
a backup withholding notice may be generated for the record. Sur-
names of less than four characters should be left-justified, filling
the unused positions with blanks. Special characters and embedded
blanks should be removed. In the case of a business, other than a sole
proprietorship, use the first four significant characters of the business
name. Disregard the word “the” when it is the first word of the name,
unless there are only two words in the name. A hyphen (-) and an
ampersand (&) are the only acceptable special characters. Surname
prefixes are considered, e.g., for Van Elm, the name control would be
VANE. For a sole proprietorship, use the name of the owner to create
the name control and report the owner’s name in positions 248–287,
First Payee Name Line.
Note: Embedded blanks, extraneous words, titles, and special characters (i.e., Mr., Mrs., Dr., period [.], apostrophe [’])
should be removed from the Payee Name Lines. A hyphen (-) and an ampersand (&) are the only acceptable special
characters.
2011–37 I.R.B.273September 12, 2011

Record Name: Payee “B” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
The following examples may be helpful to filers in developing the Name Control:
Name
NameControl
Individuals:
JaneB
rownBROW
John A.L
eeLEE*
James P.E
n,Sr.EN*
JohnO
’Neil
ONEI
MaryV
anBurenVANB
JuanD
eJesusDEJE
Gloria A.E
l-RoyEL-R
Mr. JohnS
mith
SMIT
JoeM
cCarthy
MCCA
PedroT
orres-Lopes**TORR
MariaL
opez Moreno**LOPE
Binh ToL
aLA*
Nhat ThiP
hamPHAM
Corporations:
TheF
irstNationalBank
FIRS
T
heHideawayTHEH
A
&BCafe
A&BC
1
1THStre
et Inc.
11TH
Sole Proprietor:
MarkH
emlock
DBA The Sunshine Club
HEML
MarkD
’A
llesandro
DALL
Partnership:
RobertA
spen
and Bess Willow
ASPE
HaroldF
ir,BruceElm,
and Joyce Spruce et al Ptr
FIR*
Estate:
FrankW
hiteEstate
WHIT
Estat
eofSheilaB
lue
BLUE
Trusts and Fiduciaries:
D
ais
y Corporation Employee
Bene
fit Trust
DAIS
Trust FBO The
C
herryblossom
Society
CHER
Exempt Organizations:
L
aborer’s Union, AFL-CIOLABO
S
t.
Bernard’s Methodist
Chu
rch Bldg. Fund
STBE
* Name Controls of less than four significant characters must be left-justified and blank-filled.
**For Hispanic names, when two last names are shown for an individual, derive the name control from the first last name.
September 12, 20112742011–37 I.R.B.

Record Name: Payee “B” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
11Type of TIN1This field is used to identify the Taxpayer Identification Number
(TIN) in positions 12–20 as eitheran Employer Identification Num-
ber (EIN), a Social Security Number (SSN), an Individual Taxpayer
Identification Number (ITIN) or an Adoption Taxpayer Identification
Number (ATIN). Enter the appropriate code from the following table:
CodeTypeofTINTypeofAccount
1EINA business, organization, some
sole proprietors, or other entity
2SSNAn individual, including some sole
proprietors
2ITINAn individual required to have a
taxpayer identification number,
but who is not eligible to obtain an
SSN
2ATINAn adopted individual prior to the
assignment of a social security
number
BlankN/AIf the type of TIN is not deter-
minable, enter a blank.
12–20Payee’s
Taxpayer
Identification
Number (TIN)
9
Required.Enter the nine-digit Taxpayer Identification Number of
the payee (SSN, ITIN, ATIN, or EIN). If an identification number
has been applied for but not received, enter blanks.Do not enter
hyphens or alpha characters.All zeros, ones, twos, etc., will have
the effect of an incorrect TIN. If the TIN is not available, enter blanks.
Note: If filer is required to report payments made through Foreign Intermediaries and Foreign Flow-Through Entities on
Form 1099, see the2011 General Instructions for Certain Information Returnsfor reporting instructions.
21–40Payer’s
Account
Number For
Payee
20
Required if submitting more than one information return of the
same type for the same payee.Enter any number assigned by the
payer to the payee that can be used by the IRS to distinguish between
information returns. This number must be unique for each informa-
tion return of the same type for the same payee. If a payee has more
than one reporting of the same document type, it is vital that each re-
porting have a unique account number. For example, if a payer has
3 separate pension distributionsfor the same payee and 3 separate
Forms 1099-R are filed, 3 separate unique account numbers are re-
quired. A payee’s account number may be given a unique sequencing
number, such as 01, 02 or A, B, etc., to differentiate each reported in-
formation return. Do not use the payee’s TIN since this will not make
each record unique. This information is critical when corrections are
filed. This number will be provided with the backup withholding no-
tification and may be helpful in identifying the branch or subsidiary
reporting the transaction. Theaccount number can be any combina-
tion of alpha, numeric, or special characters. If fewer than twenty
characters are used, filers may either left or right-justify, filling the
remaining positions with blanks.
41–44Payer’s Office
Code
4Enter the office code of the payer; otherwise, enter blanks. For payers
with multiple locations, this field may be used to identify the location
of the office submitting the information returns. This code will also
appear on backup withholding notices.
2011–37 I.R.B.275September 12, 2011

Record Name: Payee “B” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
45–54
Blank10Enter blanks.
Payment
Amount Fields
(Must be
numeric)
Required. Filers should allow for all payment amounts. For
those not used, enter zeros.Each payment field must contain 12
numeric characters. Each payment amount must contain U.S. dollars
and cents. The right-most two positions represent cents in the pay-
ment amount fields.Do not enter dollar signs, commas, decimal
points, or negative payments, except those items that reflect a loss
on Form 1099-B or 1099-Q.Positive and negative amounts are in-
dicated by placing a “+” (plus) or “-” (minus) sign in the left-most
position of the payment amount field. A negative over punch in the
unit’s position may be used, instead of a minus sign, to indicate a
negative amount. If a plus sign, minus sign, or negative over punch
is not used, the number is assumed to be positive. Negative over
punch cannot be used in PC created files. Payment amounts must be
right-justified and unused positions must be zero filled.
55–66
Payment
Amount 1*
12The amount reported in this field represents payments for Amount
Code 1 in the “A” Record.
67–78Payment
Amount 2*
12The amount reported in this field represents payments for Amount
Code 2 in the “A” Record.
79–90Payment
Amount 3*
12The amount reported in this field represents payments for Amount
Code 3 in the “A” Record.
91–102Payment
Amount 4*
12The amount reported in this field represents payments for Amount
Code 4 in the “A” Record.
103–114 Payment
Amount 5*
12The amount reported in this field represents payments for Amount
Code 5 in the “A” Record.
115–126
Payment
Amount 6*
12The amount reported in this field represents payments for Amount
Code 6 in the “A” Record.
127–138 Payment
Amount 7*
12The amount reported in this field represents payments for Amount
Code 7 in the “A” Record.
139–150
Payment
Amount 8*
12The amount reported in this field represents payments for Amount
Code 8 in the “A” Record.
151–162
Payment
Amount 9*
12The amount reported in this field represents payments for Amount
Code 9 in the “A” Record.
163–174 Payment
Amount A*
12The amount reported in this field represents payments for Amount
Code A in the “A” Record.
175–186
Payment
Amount B*
12The amount reported in this field represents payments for Amount
Code B in the “A” Record.
187–198 Payment
Amount C*
12The amount reported in this field represents payments for Amount
Code C in the “A” Record.
199–210 Payment
Amount D*
12The amount reported in this field represents payments for Amount
Code D in the “A” Record.
211–222 Payment
Amount E*
12The amount reported in this field represents payments for Amount
Code E in the “A” Record.
223–234 Payment
Amount F*
12The amount reported in this field represents payments for Amount
Code F in the “A” Record.
September 12, 20112762011–37 I.R.B.

Record Name: Payee “B” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
235–246
Payment Amount G*12The amount reported in this field represents payments for Amount
Code G in the “A” Record.
*If there are discrepancies between the payment amount fields and the boxes on the paper forms, the instructions in this
Revenue Procedure must be followed for electronic filing.
247Foreign
Country
Indicator
1
If the address of the payee is in a foreign country, enter a “1”
(one) in this field; otherwise, enter blank. When filers use this in-
dicator, they may use a free format for the payee city, state, and ZIP
Code. Enter information in the following order: city, province or
state, postal code, and the name of the country. Address information
must not appear in the First or Second Payee Name Lines.
248–287 First Payee
Name Line
40
Required.Enter the name of the payee (preferably surname first)
whose Taxpayer Identification Number (TIN) was provided in posi-
tions 12–20 of the Payee “B” Record. Left-justify information and fill
unused positions with blanks. If more space is required for the name,
use the Second Payee Name Line Field. If reporting information for
a sole proprietor, the individual’s name must always be present on
theFirstPayeeNameLine.Theuseofthebusinessnameisoptional
in the Second Payee Name Line Field. End the First Payee Name
Line with a full word. Extraneouswords, titles, and special charac-
ters (i.e., Mr., Mrs., Dr., period, apostrophe) should be removed from
the Payee Name Lines. A hyphen (-) and an ampersand (&) are the
only acceptable special characters for First and Second Payee Name
Lines.
Note: If a filer is required to report payments made throughForeign Intermediaries and Foreign Flow-Through Entities
on Form 1099, see the2011 General Instruction for Certain Information Returns.
288–327 Second Payee
Name Line
40If there are multiple payees (e.g., partners, joint owners, or spouses),
use this field for those names not associated with the TIN provided
in positions 12–20 of the “B” Record, or if not enough space was
provided in the First Payee Name Line, continue the name in this
field.Do not enter address information.It is important that filers
provide as much payee information toIRS/IRB as possible to identify
the payee associated with the TIN. Left-justify information and fill
unused positions with blanks.See the Note above under the First
Payee Name Line.
328–367 Blank40Enter blanks.
368–407 Payee Mailing
Address
40
Required.Enter the mailing address of the payee. The street address
should include number, street, apartment or suite number, or PO Box
if mail is not delivered to a street address. This field must not contain
any data other than the payee’s mailing address.
408–447 Blank40Enter blanks.
448–487 Payee City40
Required.Enter the city, town or post office. Left-justify informa-
tion and fill unused positions with blanks. Enter APO or FPO if ap-
plicable. Do not enter state and ZIP Code information in this field.
488–489 Payee State2
Required.Enter the valid U.S. Postal Service state abbreviations for
states or the appropriate postal identifier (AA, AE, or AP) described
in Part A, Sec. 12.
2011–37 I.R.B.277September 12, 2011

Record Name: Payee “B” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
490–498 Payee ZIP
Code
9
Required.Enter the valid ZIP Code (nine or five-digit) assigned
by the U.S. Postal Service. If only the first five-digits are known,
left-justify and fill the unused positions with blanks. For foreign
countries, alpha characters are acceptable as long as the filer has en-
tered a “1” (one) in the Foreign Country Indicator, located in position
247 of the “B” Record.
499Blank1Enter blank.
500–507
Record
Sequence
Number
8
Required.Enter the number of the record as it appears within the
file. The record sequence number for the “T” Record will always
be “1” (one), since it is the first record on the file and the file can
have only one “T” Record in a file. Each record, thereafter, must be
incremental by one in ascending numerical sequence,i.e.,2,3,4,etc.
Right-justify numbers with leading zeros in the field. For example,
the “T” Record sequence number would appear as “00000001” in
the field, the first “A” Record would be “00000002,” the first “B”
Record, “00000003,” the second “B” Record, “00000004” and so on
until the final record of the file, the “F” Record.
508–543
Blank36Enter blanks.
Standard Payee “B” Record Format For All Types of Returns, Positions 1–543
Record
Type
Payment
Year
Corrected
Return
Indicator
Name
Control
Type of
TIN
Payee’s
TIN
Payer’s
Account
Number For
Payee
1
2–5
67–101112–2021–40
Payer’s
Office Code
BlankPayment
Amount
1
Payment
Amount
2
Payment
Amount
3
Payment
Amount
4
Payment
Amount
5
41–44
45–5455–66
67–7879–9091–102103–114
Payment Amount
6
Payment Amount
7
Payment Amount
8
Payment Amount
9
Payment Amount
A
Payment Amount
B
115–126
127–138
139–150151–162
163–174
175–186
Payment
Amount C
Payment
Amount D
Payment
Amount E
Payment
Amount F
Payment
Amount G
Foreign Country
Indicator
First
Payee
Name
Line
187–198199–210211–222223–234
235–246
247248–287
September 12, 20112782011–37 I.R.B.

Second
Payee
Name
Line
BlankPayee Mailing AddressBlankPayee
City
288–327328–367368–407408–447448–487
Payee
State
Payee
ZIP Code
BlankRecord Sequence
Number
Blank
488–489490–498499
500–507508–543
The following sections define the field positions for the different types of returns in the Payee “B” Record (positions
544–750):
(1) Form 1097-BTC
(2) Form 1098
(3) Form 1098-C
(4) Form 1098-E
(5)
Form 1098-T
(6) Form 1099-A
(7) Form 1099-B
(8) Form 1099-C
(9) Form 1099-CAP
(10) Form 1099-DIV*
(11) Form 1099-G*
(12) Form 1099-H
(13) Form 1099-INT*
(14)Form 1099-K
(15)
Form 1099-LTC
(16)Form 1099-MISC*
(17) Form 1099-OID*
(18) Form 1099-PATR*
(19) Form 1099-Q
(20) Form 1099-R*
(21) Form 1099-S
(22) Form 1099-SA
(23) Form 3921
(24) Form 3922
(25) Form 5498*
(26)
Form 5498-ESA
(27)
Form 5498-SA
(28) Form W-2G
(29)
Form 5498*
(30)
Form 5498-ESA
(31)
Form 5498-SA
(32)
Form 8935
(33) Form W-2G
* These forms may be filed through the Combined Federal/State Filing Program. IRS/IRB will forward these records to
participating states for filers who have been approved for theprogram. See Part A, Sec. 10, for information about the program,
including specific codesfor the record layouts.
(1) Payee “B” Record — Record LayoutPositions 544–750 for Form 1097-BTC
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
2011–37 I.R.B.279September 12, 2011

(1) Payee “B” Record — Record Layout Positions 544–750 for Form 1097-BTC (Continued)
Field
Position
Field Title
Length
Description and Remarks
547
Issuer Indicator1
Required.Enter the appropriate indicator from the table below:
Indicator
Usage
1Issuer of bond or its agent filing initial2011Form
1097-BTC for credit being reported
2An entity that received a2011Form 1097-BTC for
credit being reported
548–555 Blanks8Enter blanks.
556–563
Other Allowance Date8Enter other allowance date formatted as YYYYMMDD. Otherwise,
enter blanks.
564–576
Other Allowance Identification
Number
13Enter the unique identification number assigned to the bond. This
can be an alpha/numeric identifier such as the CUSIP number.
Right-justify information and fill unused positions with blanks.
577–589 March Allowance Identification
Number
13Enter the unique identification number assigned to the bond. This
can be an alpha/numeric identifier such as the CUSIP number.
Right-justify information and fill unused positions with blanks.
590–602
June Allowance Identification
Number
13Enter the unique identification number assigned to the bond. This
can be an alpha/numeric identifier such as the CUSIP number.
Right-justify informaion and fill unused positions with blanks.
603–615
September Allowance
Identification Number
13Enter the unique identification number assigned to the bond. This
can be an alpha/numeric identifier such as the CUSIP number.
Right-justify information and fill unused positions with blanks.
616–628
December Allowance
Identification Number
13Enter the unique identification number assigned to the bond. This
can be an alpha/numeric identifier such as the CUSIP number.
Right-justify information and fill unused positions with blanks.
629–662
Blank33Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record — Record Layout Positions 544–750 for Form 1097-BTC
BlankIssuer IndicatorBlankOther Allowance
Date
Other Allowance
Identification
Number
March Allowance
Identification
Number
544–546547
548–555
556–563564–576577–589
June Allowance
Identification
Number
September
Allowance
Identification
Number
December
Allowance
Identification
Number
BlankSpecial Data
Entries
BlankBlank or CR/LF
590–602603–615
616–628
629–662
663–722723–748
749–750
September 12, 20112802011–37 I.R.B.

(2) Payee “B” Record — Record LayoutPositions 544–750 for Form 1098
Field
Position
Field Title
Length
Description and Remarks
544–662
Blank119Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record — Record LayoutPositions 544–750 for Form 1098
BlankSpecial Data EntriesBlankBlank or CR/LF
544–662
663–722723–748
749–750
(3) Payee “B” Record — Record Layout Positions 544–750 for Form 1098-C
Field
Position
Field Title
Length
Description and Remarks
544–545
Blank2Enter blanks.
546
Transaction Indicator1Enter “1” (one) if the amount reported in Payment Amount Field
4 is an arm’s length transaction to an unrelated party. Otherwise,
enter a blank.
547
Transfer After Improvements
Indicator
1Enter “1” (one) if the vehicle will not be transferred for money, other
property, or services before completion of material improvements or
significant intervening use. Otherwise, enter a blank.
548
Transfer Below Fair Market Value
Indicator
1Enter “1” (one) if the vehicle is transferred to a needy individual for
significantly below fair market value. Otherwise, enter a blank.
549–587
Make, Model, Year39Enter the make, model and year of the vehicle. Left-justify informa-
tion and fill unused positions with blanks.
588–612
Vehicle or Other Identification
Number
25
Enter the vehicle or other identification number of the donated vehi-
cle. Left-justify information and fill unused positions with blanks.
613–651
Vehicle Description39Enter a description of material improvements or significant interven-
ing use and duration of use. Left-justify information and fill unused
positions with blanks.
652–659
Date of Contribution8Enter the date the contribution was made to an organization, in the
format YYYYMMDD (e.g., January 5, 2011, would be 20110105).
Do not enter hyphens or slashes.
660Donee Indicator1Enter the appropriate indicator from the following table to report if
the donee of the vehicle provides goods or services in exchange for
the vehicle.
Indicator
Usage
1Donee provided goods or services
2Donee did not provide goods or services
2011–37 I.R.B.281September 12, 2011

(3) Payee “B” Record — Record Layout Positions 544–750 for Form 1098-C (Continued)
Field
Position
Field Title
Length
Description and Remarks
661Intangible Religious Benefits
Indicator
1Enter a “1” (one) if only intangible religious benefits were provided
in exchange for the vehicle; otherwise, enter blanks.
662
Deduction $500 or Less Indicator
1Enter a “1” (one) if under the law the donor cannot claim a deduction
of more than $500 for the vehicle; otherwise, enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for the
filing requirements. If this field is not utilized, enter blanks.
723–730 Date of Sale8
Enter the date of sale, in the format YYYYMMDD (e.g., January 5,
2011, would be 20110105).Do not enter hyphens or slashes.
731–746 Goods and Services16Enter a description of any goodsand services received for the vehi-
cle; otherwise, enter blanks. Left-justify information and fill unused
positions with blanks.
747–748 Blank2Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record — Record Layout Positions 544–750 for Form 1098-C
BlankTransaction
Indicator
Transfer After
Improvements
Indicator
Transfer Below
Fair Market
Value Indicator
Make, Model,
Year
Vehicle or Other
Identification
Number
Vehicle
Description
544–545546547548549–587588–612613–651
Date of
Contribution
Donee
Indicator
Intangible
Religious
Benefits
Indicator
Deduction
$500 or Less
Indicator
Special Data
Entries
Date of Sale Goods and
Services
Blank
652–659
660661662663–722723–730731–746747–748
Blank or CR/LF
749–750
(4) Payee “B” Record — Record Layout Positions 544–750 for Form 1098-E
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Origination Fees/Capitalized
Interest Indicator
1Enter “1” (one) if the amount reported in Payment Amount Field 1
does notinclude loan origination fees and/or capitalized interest.
Otherwise, enter a blank.
548–662
Blank
115
Enter blanks.
September 12, 20112822011–37 I.R.B.

(4) Payee “B” Record — Record Layout Positions 544–750 for Form 1098-E (Continued)
Field
Position
Field Title
Length
Description and Remarks
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for the
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record — Record Layout Positions 544–750 for Form 1098-E
BlankOrigination
Fees/Capitalized
Interest Indicator
BlankSpecial Data
Entries
BlankBlank or CR/LF
544–546547548–662
663–722723–748
749–750
(5) Payee “B” Record — Record Layout Positions 544–750 for Form 1098-T
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Half-time Student Indicator1
Required.Enter “1” (one) if the student was at least a half-time
student during any academic period that began in2011.Otherwise,
enter a blank.
548
Graduate Student Indicator1
Required.Enter “1” (one) if the student is enrolled exclusively in a
graduate level program. Otherwise, enter a blank.
549
Academic Period Indicator1Enter “1” (one)if the amount in Payment Amount Field 1 or
Payment Amount Field 2 includes amounts for an academic period
beginning January through March2011. Otherwise, enter a blank.
550
Method of Reporting 2010
Amounts Indicator
1
Required.Enter “1” (one) if the method of reporting has changed
from the previous year. Otherwise, enter a blank.
551–662
Blank112Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for the
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record — Record Layout Positions 544–750 for Form 1098-T
BlankHalf-time Student
Indicator
Graduate Student
Indicator
Academic Period
Indicator
Method of Reporting
2010Amounts
Indicator
544–546547548549550
2011–37 I.R.B.283September 12, 2011

BlankSpecial Data EntriesBlankBlank or CR/LF
551–662
663–722723–748
749–750
(6) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-A
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Personal Liability Indicator1Enter the appropriate indicator from the table below:
IndicatorUsage
1Borrower was personally liable for repayment of
the debt.
BlankBorrower was not personally liable for repayment
of the debt.
548–555
Date of Lender’s Acquisition or
Knowledge of Abandonment
8Enter the acquisition date of thesecured property or the date the
lender first knew or had reason to know the property was abandoned,
in the format YYYYMMDD (e.g., January 5, 2011, would be
20110105).Do not enter hyphens or slashes.
556–594
Description of Property39Enter a brief description of the property. For real property, enter
the address, or, if the address does not sufficiently identify the
property, enter the section, lot and block. For personal property,
enter the type, make and model (e.g., Car-1999 Buick Regal or
Office Equipment). Enter “CCC” for crops forfeited on Commodity
Credit Corporation loans. If fewer than 39 positions are required,
left-justify information and fill unused positions with blanks.
595–662
Blank68Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for the
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks, or carriage return/line feed (CR/LF) characters.
Payee “B” Record – Record Layout Positions 544–750 for Form 1099-A
BlankPersonal Liability
Indicator
Date of Lender’s
Acquisition or
Knowledge of
Abandonment
Description of PropertyBlank
544–546547548–555556–594595–662
Special Data EntriesBlankBlank or CR/LF
663–722723–748
749–750
September 12, 20112842011–37 I.R.B.

(7) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-B
Field
Position
Field Title
Length
Description and Remarks
544
Second TIN Notice (Optional)1Enter “2” (two) to indicate notification by IRS twice within three
calendar years that the payee provided an incorrect name and/or
TIN combination; otherwise, enter a blank.
545Non-covered Security Indicator1Enter a “1” (one) for a non-covered security; otherwise, enter
a blank.
546
Type of Gain or Loss Indicator1Enter the appropriate indicator from the following table, to identify
the amount reported in Amount Code 2; otherwise, enter a blank.
Indicator
Usage
1Shortterm
2Long term
547
Gross Proceeds Indicator1Enter the appropriateindicator from the following table, to identify
the amount reported in Amount Code 2; otherwise, enter a blank.
Indicator
Usage
1Gross proceeds
2Gross proceeds less commissions and options
premiums
548–555
Date of Sale or Exchange8For broker transactions, enter the trade date of the transaction.
For barter exchanges, enter the date when cash, property, a
credit, or scrip is actually or constructively received in the format
YYYYMMDD (e.g., January 5, 2011, would be 20110105). Enter
blanks if this is an aggregate transaction.Do not enter hyphens
or slashes.
556–568
CUSIP Number13For broker transactions only, enter the CUSIP (Committee on
Uniform Security Identification Procedures)numberoftheitem
reported for Amount Code 2 (stocks, bonds, etc.). Enter blanks if
this is an aggregate transaction.Enter“0s”(zeros)ifthenumberis
not available. Right-justify information and fill unused positions
with blanks.
569–607
Description39For broker transactions, enter a brief description of the disposition
item (e.g., 100 shares of XYZ Corp). For regulated futures and
forward contracts, enter “RFC” or other appropriate description. For
bartering transactions, show the services or property provided. If
fewer than 39 characters are required, left-justify information and
fill unused positions with blanks.
608–615
Date of Acquisition8Enter the date of acquisition in the format YYYYMMDD (e.g.,
January 5, 2011, would be 20110105). Enter blanks if this is an
aggregate transaction.Do not enter hyphens or slashes.
616–625
Blank10Enter blanks.
626Recipient Indicator1Enter a “1” (one) if recipient is unable to claim a loss on their tax
return. Otherwise, enter a blank.
627–662 Blank36Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information
for state or local government reporting or for the filer’s own
purposes. Payers should contact the state or local revenue
departments for filing requirements. If this field is not utilized, enter
blanks.(See Note.)
2011–37 I.R.B.285September 12, 2011

(7) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-B (Continued)
Field
Position
Field Title
Length
Description and Remarks
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries Field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries field.
747–748 Blank2Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Note: Report the Corporation’s Name, Address, City, State, and ZIP in the Special Data Entry field.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-B
Second
TIN Notice
(Optional)
Non-covered
Security
Indicator
Type of Gain
or Loss
Indicator
Gross
Proceeds
Indicator
Date of Sale
or Exchange
CUSIP
Number
DescriptionDate of
Acquisition
544
545
546547548–555556–568569–607608–615
BlankRecipient
Indicator
BlankSpecial Data
Entries
State Income
Tax Withheld
Local Income
Tax Withheld
BlankBlank or
CR/LF
616–625
626627–662663–722723–734
735–746
747–748
749–750
(8) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-C
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Bankruptcy Indicator1Enter “1” (one) to indicate the debt was discharged in bankruptcy, if
known. Otherwise, enter a blank.
548–555
Date Canceled8Enter the date the debt was canceled in the format of YYYYMMDD
(e.g., January 5, 2011, would be 20110105).Do not enter hyphens
or slashes.
556–594
Debt Description39Enter a description of the origin of the debt, such as student loan,
mortgage, or credit card expenditure. If a combined Form 1099-C
and 1099-A is being filed, also enter a description of the property.
595
Personal Liability Indicator1Enter “1” (one) if the borrower is personally liable for repayment or
leave blank if not personally liable for repayment.
596–662
Blank67Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
September 12, 20112862011–37 I.R.B.

(8) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-C (Continued)
Field
Position
Field Title
Length
Description and Remarks
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-C
BlankBankruptcy
Indicator
Date CanceledDebt Description Personal Liability
Indicator
Blank
544–546547548–555556–594595596–662
Special Data EntriesBlankBlank or CR/LF
663–722723–748
749–750
(9) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-CAP
Field
Position
Field Title
Length
Description and Remarks
544–547
Blank4Enter blanks.
548–555
Date of Sale or Exchange8Enter the date the stock was exchanged for cash, stock in the
successor corporation, or otherproperty received in the format
YYYYMMDD (e.g., January 5, 2011, would be 20110105).Do
not enter hyphens or slashes.
556–607
Blank
52
Enter blanks.
608–615
Number of Shares Exchanged8Enter the numberof shares of the corporation’s stock which
were exchanged in the transaction. Report whole numbers only.
Right-justify information and fill unused positions with zeros.
616–625
Classes of Stock Exchanged10Enter the class ofstock that was exchanged. Left- justify the
information and fill unused positions with blanks.
626–662 Blank37Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-CAP
BlankDate of Sale or
Exchange
BlankNumber of Shares
Exchanged
Classes of Stock
Exchanged
544–547548–555556–607608–615616–625
2011–37 I.R.B.287September 12, 2011

BlankSpecial Data EntriesBlankBlank or CR/LF
626–662663–722723–748
749–750
(10) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-DIV
Field
Position
Field Title
Length
Description and Remarks
544
Second TIN Notice (Optional)1Enter “2” (two) to indicate notification by IRS twice within three
calendar years that the payee provided an incorrect name and/or
TIN combination; otherwise, enter a blank.
545–546
Blank2Enter blanks.
547–586
Foreign Country or U.S.
Possession
40Enter the name of the foreign country or U.S. possession to which
the withheld foreign tax (Amount Code C) applies. Otherwise, enter
blanks.
587–662
Blank76Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries Field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries Field.
747–748 Combined Federal/State Code2If this payee record is to be forwarded to a state agency as part of
the Combined Federal/State Filing Program enter the valid state
code from Part A, Sec. 10, Table 1. For those payers or states not
participating in this program, enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-DIV
Second TIN Notice
(Optional)
BlankForeign Country or
U.S. Possession
BlankSpecial Data Entries
544545–546547–586587–662
663–722
State Income Tax WithheldLocal Income Tax Withheld Combined Federal/State CodeBlank or CR/LF
723–734
735–746
747–748
749–750
September 12, 20112882011–37 I.R.B.

(11) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-G
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Trade or Business Indicator1Enter “1” (one) toindicate the state or local income tax refund,
credit, or offset (Amount Code 2) is attributable to income tax that
applies exclusively to income from a trade or business.
Indicator
Usage
1Income tax refund applies exclusively to a trade
or business.
BlankIncome tax refundis a general tax refund.
548–551
Tax Year of Refund4Enter the tax year for which the refund, credit, or offset (Amount
Code 2) was issued.The tax year must reflect the tax year for
which the refund was made, not the tax year of Form 1099-G.
The tax year must be in the four-position format of YYYY (e.g.,
2010).The valid range of years for the refund is2001 through 2010.
Note: This data is not considered prior year data since it is required to be reported in the current tax year. Do NOT enter
“P” in field position 6 of theTransmitter “T” Record.
552–662
Blank111Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. You may enter your routing and transit number
(RTN) here. If this field is not utilized, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries Field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries Field.
747–748 Combined Federal/State Code2If this payee record is to be forwarded to a state agency as part of
the Combined Federal/State Filing Program, enter the valid state
code from Part A, Sec. 10, Table 1. For those payers or states not
participating in this program, enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-G
BlankTrade or Business
Indicator
Tax Year of RefundBlankSpecial Data
Entries
State Income Tax
Withheld
544–546547548–551552–662
663–722723–734
2011–37 I.R.B.289September 12, 2011

Local Income Tax WithheldCombined Federal/State CodeBlank or CR/LF
735–746
747–748
749–750
(12) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-H
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547–548
Number of Months Eligible2
Required.Enter the total number of months the recipient is eligible
for health insurance advance payments. Right-justify information
and fill unused positions with blanks.
549–662
Blank114Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-H
BlankNumber of Months
Eligible
BlankSpecial Data
Entries
BlankBlank or CR/LF
544–546547–548549–662
663–722723–748
749–750
(13) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-INT
Field
Position
Field Title
Length
Description and Remarks
544
Second TIN Notice (Optional)1Enter “2” (two) to indicate notification by IRS twice within three
calendar years that the payee provided an incorrect name and/or
TIN combination; otherwise, enter a blank.
545–546
Blank2Enter blanks.
547–586
Foreign Country or U.S.
Possession
40Enter the name of the foreign country or U.S. possession to which
the withheld foreign tax (Amount Code 6) applies. Otherwise, enter
blanks.
587–599
CUSIP Number13Enter CUSIP Number. If the tax-exempt interest is reported in
the aggregate for multiple bonds or accounts, enter: VARIOUS.
Right-justify information and fill unused positions with blanks.
600–662 Blank63Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. You may enter your routing and transit number
(RTN) here. If this field is not utilized, enter blanks.
September 12, 20112902011–37 I.R.B.

(13) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-INT (Continued)
Field
Position
Field Title
Length
Description and Remarks
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries field.
747–748 Combined Federal/State Code2If this payee record is to be forwarded to a state agency as part of
the Combined Federal/State Filing Program, enter the valid state
code from Part A, Sec.10, Table 1. For those payers or states not
participating in this program, enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-INT
Second TIN Notice
(Optional)
BlankForeign Country or
U.S. Possession
CUSIP NumberBlankSpecial Data
Entries
544545–546547–586587- 599
600–662663–722
State Income Tax WithheldLocal Income Tax Withheld Combined Federal/State CodeBlank or CR/LF
723–734
735–746
747–748
749–750
(14) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-K
Field
Position
Field TitleLength Description and Remarks
544–546
Blank3Enter blanks.
547Type of Filer Indicator1
Required.Enter the appropriate indicator from the following table;
otherwise, enter blanks.
Indicator
Usage
1Payment Settlement Entity (PSE)
2Electronic Payment Facilitator (EPF)
3Third Party Payer (TPP)
548–564
Blank17Enter blanks.
565–604
Payment Settlement Entity’s Name 40Enter the payment settlement entity’s name if different from the
filers name; otherwise, enter blanks. Left-justify information, and
fill unused positions with blanks.
2011–37 I.R.B.291September 12, 2011

(14) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-K (Continued)
Field
Position
Field TitleLength Description and Remarks
605–608
Merchant Category Code(MCC) 4
Required.Enter the Merchant Category Code(MCC) Right-justify
and zero fill. Each MCC must be filled with four numeric characters.
Codes can be found in Rev. Proc. 2004–43. If no code is provided,
zero fill.
609–748
Blank140Enter blanks.
749–750 Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-K
BlankType of Filer
Indicator
BlankPayment
Settlement
Entity’s Name
Merchant
Category Code
BlankBlank or CR/LF
544–546
547
548–564565–604605–608609–748
749–750
(15) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-LTC
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Type of Payment Indicator1Enter the appropriateindicator from the following table; otherwise,
enter blanks.
Indicator
Usage
1Per diem
2Reimbursed amount
548–556
Social Security Number of Insured 9
Required.Enter the Social Security Number of the insured.
557–596
Name of Insured40
Required.Enter the name of the insured.
597–636
Address of Insured40
Required.Enter the address of the insured. The street address
should include number, street, apartment or suite number (or
PO Box if mail is not delivered to street address). Left-justify
information and fill unused positions with blanks. This fieldmust
notcontain any data other than the payee’s address.
ForU.S.addresses, the payee city, state, and ZIP Code must be reported as a 40, 2, and 9-position field, respectively.Filers
must adhere to the correct format for the insured’s city, state, and ZIP Code.
For foreign addresses, filers may use the insured’s city, state, and ZIP Codeas a continuous 51-positionfield. Enter information
inthefollowingorder:city,provinceorstate,postalcode,and the name of the country. When reporting a foreign address, the
Foreign Country Indicator in position 247 must contain a “1” (one).
637–676 City of Insured40
Required.Enter the city, town, or post office. Left-justify and fill
unused positions with blanks. Enter APO or FPO, if applicable. Do
not enter state and ZIP Code information in this field.
677–678 State of Insured2
Required.Enter the valid U.S. Postal Service state abbreviations
for states or the appropriate postal identifier (AA, AE, or AP)
described in Part A, Sec. 12.
September 12, 20112922011–37 I.R.B.

(15) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-LTC (Continued)
Field
Position
Field Title
Length
Description and Remarks
679–687 ZIP Code of Insured9
Required.Enter the valid nine-digit ZIP Code assigned by the U.S.
Postal Service. If only the first five-digits are known, left-justify
information and fill the unused positions with blanks. For foreign
countries, alpha characters areacceptable as long as the filer has
entered a “1” (one) in the Foreign Country Indicator, located in
position 247 of the “B” Record.
688Status of Illness Indicator
(Optional)
1Enter the appropriate code from the table below to indicate the status
of the illness of the insured; otherwise, enter blank.
Indicator
Usage
1Chronically ill
2Terminally ill
689–696 Date Certified (Optional)8Enter the latest date of a doctor’scertification of the status of the
insured’s illness. The format of the date is YYYYMMDD (e.g.,
January 5, 2011, would be 20110105).Do not enter hyphens or
slashes.
697Qualified Contract Indicator
(Optional)
1Enter a “1” (one) if benefits werefrom a qualified long-term care
insurance contract; otherwise, enter a blank.
698–722 Blank
25
Enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. Right-justify
information and fill unused positions with zeros.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified information and fill unused positions
with zeros.
747–748 Blank2Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-LTC
BlankType of
Payment
Indicator
SSN of
Insured
Name of
Insured
Address of
Insured
City of
Insured
State of
Insured
ZIP Code of
Insured
544–546547548–556557–596597–636
637–676677–678679–687
Status of
Illness
Indicator
(Optional)
Date
Certified
(Optional)
Qualified
Contract
Indicator
(Optional)
BlankState Income
Tax Withheld
Local Income
Tax Withheld
BlankBlank or
CR/LF
688689–696697698–722723–734
735–746
747–748
749–750
2011–37 I.R.B.293September 12, 2011

(16) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-MISC
Field
Position
Field Title
Length
Description and Remarks
544
Second TIN Notice (Optional)1Enter “2” (two) to indicate notification by IRS twice within three
calendar years that the payee provided an incorrect name and/or
TIN combination; otherwise, enter a blank.
545–546
Blank2Enter blanks.
547Direct Sales Indicator(See Note.)
1
Enter a “1” (one) to indicate sales of $5,000 or more of consumer
products to a person on a buy-sell, deposit-commission, or any other
commission basis for resale anywhere other than in a permanent
retail establishment. Otherwise, enter a blank.
Note: If reporting a direct sales indicatoronly, use Type of Return “A” in Field Positions 26- 27, and Amount Code 1 in
Field Position 28 of the Payer “A” Record. All payment amount fields in the Payee “B” Record will contain zeros.
548–662
Blank
115
Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not used, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries field.
747–748 Combined Federal/State Code2If this payee record is to be forwarded to a state agency as part of
the Combined Federal/State Filing Program, enter the valid state
code from Part A, Sec. 10, Table 1. For those payers or states not
participating in this program, enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-MISC
Second TIN
Notice (Optional)
BlankDirect Sales
Indicator
BlankSpecial Data
Entries
State Income
Tax Withheld
Local Income
Tax Withheld
544545–546547548–662
663–722723–734
735–746
Combined Federal/State CodeBlank or CR/LF
747–748
749–750
September 12, 20112942011–37 I.R.B.

(17) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-OID
Field
Position
Field Title
Length
Description and Remarks
544
Second TIN Notice (Optional)1Enter “2” (two) to indicate notification by IRS twice within three
calendar years that the payee provided an incorrect name and/or
TIN combination; otherwise, enter a blank.
545–546
Blank2Enter blanks.
547–585
Description39
Required.Enter the CUSIP number, if any. If there is no CUSIP
number, enter the abbreviation for the stock exchange and issuer,
the coupon rate, and year (must be 4-digit year)ofmaturity(e.g.,
NYSE XYZ 12/2011). Show the name of the issuer if other than
the payer. If fewer than 39 characters are required, left-justify
information and fill unused positions with blanks.
586–662
Blank77Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries field.
747–748 Combined Federal/State Code2If this payee record is to be forwarded to a state agency as part of
the Combined Federal/State Filing Program, enter the valid state
code from Part A, Sec. 10, Table l. For those payers or states not
participating in this program, enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-OID
Second TIN Notice
(Optional)
BlankDescriptionBlankSpecial Data
Entries
State Income Tax
Withheld
544545–546547–585586–662
663–722723–734
Local Income Tax WithheldCombined Federal/State CodeBlank or CR/LF
735–746
747–748
749–750
2011–37 I.R.B.295September 12, 2011

(18) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-PATR
Field
Position
Field Title
Length
Description and Remarks
544
Second TIN Notice (Optional)1Enter “2” (two) to indicate notification by IRS twice within three
calendar years that the payee provided an incorrect name and/or
TIN combination; otherwise, enter a blank.
545–662
Blank118Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries field.
747–748 Combined Federal/ State Code2If this payee record is to be forwarded to a state agency as part of
the Combined Federal/State Filing Program, enter the valid state
code from Part A, Sec. 10, Table 1. For those payers or states not
participating in this program, enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 For Form 1099-PATR
Second TIN
Notice (Optional)
BlankSpecial Data
Entries
State Income
Tax Withheld
Local Income
Tax Withheld
Combined
Federal/State
Code
Blank or CR/LF
544545–662
663–722723–734
735–746
747–748
749–750
(19) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-Q
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Trustee to Trustee Transfer
Indicator
1
Required.Enter a “1” (one) if reporting atrustee to trustee transfer;
otherwise, enter a blank.
548
Type of Tuition Payment1
Required.Enter the appropriate code from the table below to
indicate the type of tuition payment; otherwise, leave blank.
Indicator
Usage
1Private program payment
2State program payment
3Coverdell ESA contribution
September 12, 20112962011–37 I.R.B.

(19) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-Q (Continued)
Field
Position
Field Title
Length
Description and Remarks
549
Designated Beneficiary1
Required.Enter a “1” (one) if the recipient is not the designated
beneficiary; otherwise, enter a blank.
550–662
Blank113Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-Q
BlankTrustee to
Trustee
Transfer
Indicator
Type of
Tuition
Payment
Designated
Beneficiary
BlankSpecial Data
Entries
BlankBlank or
CR/LF
544–546547548549550–662
663–722723–748
749–750
(20) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-R
Field
Position
Field Title
Length
Description and Remarks
544
Blank1Enter blank.
545–546
Distribution Code
(For a detailed explanation of
distribution codes, see the2011
Instructions for Forms 1099-R and
5498.)
Seethechartattheendofthis
record layout for a diagram
of valid combinations of
Distribution Codes.
2
Required.Enter at least one distribution code from the table below.
More than one code may apply. If only one code is necessary, it
must be entered in position 545 and position 546 will be blank.
When using Code P for an IRA distribution under section 408(d)(4)
of the Internal Revenue Code, the filer may also enter Code 1,
2, 4, B or J if applicable. Only three numeric combinations are
acceptable, Codes 8 and 1, 8 and 2, and 8 and 4, on one return.
These three combinations can be used only if both codes apply to
the distribution being reported. If more than one numeric code is
applicable to different parts of a distribution, report two separate
“B” Records. Distribution Codes 3, 5, 9, E, F, N, Q, R, S and T
cannot be used with any other codes. Distribution Code G may be
used with Distribution Code 4 only if applicable.
CodeCategory
1*Early distribution, no known exception (in most
cases, under age 59½)
2*Early distribution, exception applies (under age
59½)
3*Disability
4*Death
5
*Prohibited transaction
2011–37 I.R.B.297September 12, 2011

(20) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-R (Continued)
Field
Position
Field Title
Length
Description and Remarks
CodeCategory
6
Section 1035 exchange (a tax-free exchange of
life insurance, annuity, qualified long-term care
insurance, or endowment contracts)
7*Normal distribution
8*Excess contributions plus earnings/excess
deferrals (and/or earnings) taxable in2011
9Cost of current life insurance protection (premiums
paid by a trustee or custodian for current insurance
protection)
AMay be eligible for 10-year tax option
BDesignated Roth account distribution
EDistribution under Employee Plans Compliance
Resolution System (EPCRS)
FCharitable gift annuity
GDirect rollover and rollover contribution
HDirect rollover of distribution from a designated
Roth account to a Roth IRA
JEarly distribution from a Roth IRA. (This code may
be used with Code 8 or P.)
LLoans treated as deemed distributions under section
72(p)
NRecharacterized IRA contribution made for2011
P*Excess contributions plus earnings/excess
deferrals taxable in2010
QQualified distribution from a Roth IRA.
(Distribution from a Roth IRA when the 5- year
holding period has been met, and the recipient has
reached 59½, has died, or is disabled.)
RRecharacterized IRA contribution made for2010
(See Note.)
S*EarlydistributionfromaSIMPLEIRAinfirst2
years, no known exception
TRoth IRA distribution, exception applies because
participant has reached 59½, died or is disabled,
but it is unknown if the 5-year period has been met.
UDistribution from ESOP under Section 404(k).
WCharges or payments for purchasing qualified
long-term care insurance contracts under combined
arrangements.
*If reporting a traditional IRA, SEP, or SIMPLE distribution or a Roth conversion, use the IRA/SEP/SIMPLE Indicator
of “1” (one) in position 548 of the Payee “B” Record.
Note: The trustee of the first IRA must report the recharacterization as a distribution on Form 1099-R (and the original
contribution and its character on Form 5498).
September 12, 20112982011–37 I.R.B.

(20) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-R (Continued)
Field
Position
Field Title
Length
Description and Remarks
547
Taxable Amount Not Determined
Indicator
1Enter “1” (one) only if the taxable amount of the payment entered
for Payment Amount Field 1 (Gross distribution) of the “B” Record
cannot be computed; otherwise, enter a blank. (If the Taxable
Amount Not Determined Indicator is used, enter “0s” [zeros] in
Payment Amount Field 2 of the Payee “B” Record.) Please make
every effort to compute the taxable amount.
548
IRA/SEP/SIMPLE Indicator1Enter “1” (one) for a traditional IRA, SEP, or SIMPLE distribution
or Roth conversion; otherwise, enter a blank.(See Note.)If the
IRA/SEP/SIMPLE Indicator is used, enter the amount of the Roth
conversion or distribution in Payment Amount Field A of the Payee
“B” Record.Do not use the indicator for a distribution from a
Roth or for an IRA recharacterization.
Note: For Form 1099-R, generally, report the Roth conversion or total amount distributed from a traditional IRA, SEP,
or SIMPLE in Payment Amount Field A (traditional IRA/SEP/SIMPLE distribution or Roth conversion), as well as
Payment Amount Field 1 (Gross Distribution) of the “B” Record. Refer to the2011 Instructions for Forms 1099-R and
5498forexceptions(Box2ainstructions).
549Total Distribution Indicator(See
Note.)
1Enter a “1” (one) only if the payment shown for Distribution
Amount Code 1 is a total distribution that closed out the account;
otherwise, enter a blank.
Note: A total distribution is one or more distributions within one tax year in which the entire balance of the account is
distributed. Any distribution that does not meet this definition is not a total distribution.
550–551
Percentage of Total Distribution2Use this field when reporting a total distribution to more than
one person, such as when a participant is deceased and a payer
distributes to two or more beneficiaries. Therefore, if the percentage
is 100, leave this field blank. If the percentage is a fraction, round
off to the nearest whole number (for example, 10.4 percent will be
10 percent; 10.5 percent will be 11 percent). Enter the percentage
received by the person whose TIN is included in positions 12–20
of the “B” Record. This field must be right-justified, and unused
positions must be zero-filled. If not applicable, enter blanks. Filers
are not required to enter this information for any IRA distribution or
for direct rollovers.
552–555
First Year of Designated Roth
Contribution
4Enter the first year a designated Roth contribution was made in
YYYY format. If the date is unavailable, enter blanks.
556–662
Blank107Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries field.
735–746
Local Income Tax Withheld12Local income tax withheld is for the convenience of filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries field.
2011–37 I.R.B.299September 12, 2011

(20) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-R (Continued)
Field
Position
Field Title
Length
Description and Remarks
747–748 Combined Federal/State Code2If this payee record is to be forwarded to a state agency as part of
the Combined Federal/State Filing Program, enter the valid state
code from Part A, Sec. 10, Table 1. For those payers or states not
participating in this program, enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-R
BlankDistribution Code Taxable Amount
Not Determined
Indicator
IRA/SEP/ SIMPLE
Indicator
Total Distribution
Indicator
Percentage of Total
Distribution
544545–546547548549550–551
September 12, 20113002011–37 I.R.B.

First Year of
Designated Roth
Contribution
BlankSpecial
Data Entries
State Income
Tax Withheld
Local Income
Tax Withheld
Combined
Federal/State
Code
Blank
or CR/LF
552–555556–662
663–722723–734
735–746
747–748
749–750
(21) Payee “B” Record — Record Layout Positions 544–750 for Form 1099-S
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Property or Services Indicator1
Required.Enter “1” (one) if the transferor received or will receive
property (other than cash and consideration treated as cash in
computing gross proceeds) or services as part of the consideration
for the property transferred. Otherwise, enter a blank.
548–555
Date of Closing8
Required.Enter the closing date in the format YYYYMMDD
(e.g., January 5, 2011 would be 20110105).Do not enter hyphens
or slashes.
556–594
Address or Legal Description39
Required.Enter the address of the property transferred (including
city, state, and ZIP Code). If the address does not sufficiently
identify the property, also enter alegal description, such as section,
lot, and block. For timber royalties, enter “TIMBER.” If fewer than
39 positions are required, left-justify information and fill unused
positions with blanks.
595–662
Blank68Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries field.
747–748 Blank2Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 1099-S
BlankProperty or
Services Indicator
Date of ClosingAddress or Legal
Description
BlankSpecial Data
Entries
544–546547548–555556–594595–662
663–722
2011–37 I.R.B.301September 12, 2011

State Income Tax WithheldLocal Income Tax WithheldBlankBlank or CR/LF
723–734
735–746
747–748
749–750
(22) Payee “B” — Record Layout Positions 544–750 for Form 1099-SA
Field
Position
Field Title
Length
Description and Remarks
544
Blank1Enter blank.
545
Distribution Code1
Required.Enter the applicable code from the table below to
indicate the type of payment.
CodeCategory
1Normal distribution
2Excess contribution
3Disability
4Death distribution otherthan code 6 (This includes
distributions to a spouse, nonspouse, or estate
beneficiary in the year of death and to an estate
after the year of death.)
5
Prohibited transaction
6
Death distributionafter the year of deathto
a nonspouse beneficiary. (Do not use for a
distribution to an estate.)
546
Blank1Enter a blank.
547
Medicare Advantage MSA
Indicator
1Enter “1” (one) if distributions are from a Medicare Advantage
MSA. Otherwise, enter a blank.
548
HSA Indicator1Enter “1” (one) if distributions are from a HSA.Otherwise, enter
a blank.
549
Archer MSA Indicator1Enter “1” (one) if distributions are from an Archer MSA. Otherwise,
enter a blank.
550–662
Blank113Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting statetax withheld, this field may be used
as a continuation of the Special Data Entries field.
735–746
Local Income Tax Withheld12Localincome tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be
used as a continuation of the Special Data Entries field.
747–748 Blank2Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
September 12, 20113022011–37 I.R.B.

Payee “B” Record - Record Layout Positions 544 -750 for Form 1099-SA
BlankDistribution
Code
BlankMedicare
Advantage
MSA
Indicator
HSA
Indicator
Archer MSA
Indicator
BlankSpecial Data
Entries
544545546547548549550–662
663–722
State Income Tax WithheldLocal Income Tax WithheldBlankBlank or CR/LF
723–734
735–746
747–748
749–750
(23) Payee “B” Record — Record Layout Positions 544–750 for Form 3921
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547–554
Date Option Granted8Enter the date the option was granted as YYYYMMDD (e.g.
January 5, 2011, would be 20110105). Otherwise, enter blanks.
555–562
Date Option Exercised8Enter the date the option was exercised as YYYYMMDD (e.g.
January 5, 2011, would be 20110105). Otherwise, enter blanks.
563–570
Number of Shares Transferred8Enter the number of shares transferred. Report whole numbers
only, using standard rounding rules as necessary. Right-justify
information and fill unused positions with zeros. Otherwise, enter
blanks.
571–574
Blank4Enter blanks.
575–614
If Other Than Transferor
Information
40Enter other than transferor information, left-justify and fill unused
positions with blanks. Otherwise, enter blanks.
615–662
Blank48Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 3921
BlankDate Option Granted Date Option ExercisedNumber of Shares
Transferred
Blank
544–546547–554555–562563–570571–574
If Other Than Transferor
Information
BlankSpecial Data EntriesBlankBlank or CR/LF
575–614615–662
663–722723–748
749–750
2011–37 I.R.B.303September 12, 2011

(24) Payee “B” Record — Record Layout Positions 544–750 for Form 3922
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547–554
Date Option Granted to Transferor 8Enter the date the option was granted to the transferor as
YYYYMMDD (e.g.January 5, 2011 as 20110105). Otherwise,
enter blanks.
555–562
Date Option Exercised by
Transferor
8Enter the date the option was exercised by the transferor as
YYYYMMDD (e.g.January 5, 2011, as 20110105). Otherwise,
enter blanks.
563–570
Number of Shares Transferred8Enter the number of shares transferred. Report whole numbers only,
using standard rounding rules as necessary. Right-justify information
and fill unused positions with blanks. Otherwise, enter blanks.
571–578
Date Legal Title Transferred by
Transferor
8Enter the date the legal title was transferred by the transferor as
YYYYMMDD (e.g.January 5, 2011 as 20110105). Otherwise,
enter blanks.
579–662
Blank84Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 3922
BlankDate Option Granted
to Transferor
Date Option Exercised
by Transferor
Number of Shares
Transferred
Date Legal Title
Transferred by
Transferor
544–546547–554555–562563–570571–578
BlankSpecial Data Entry FieldsBlankBlank or CR/LF
579–662
663–722723–748
749–750
(25) Payee “B” Record — Record Layout Positions 544–750 for Form 5498
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547IRAIndicator (Individual
RetirementAccount)
1
Required, if applicable.Enter “1” (one) if reporting a rollover
(Amount Code 2) or Fair Market Value (Amount Code 5) for an
IRA. Otherwise, enter a blank.
548SEPIndicator (Simplified
EmployeePension)
1
Required, if applicable.Enter “1” (one) if reporting a rollover
(Amount Code 2) or Fair Market Value (Amount Code 5) for a SEP.
Otherwise, enter a blank.
September 12, 20113042011–37 I.R.B.

(25) Payee “B” Record — Record Layout Positions 544–750 for Form 5498 (Continued)
Field
Position
Field Title
Length
Description and Remarks
549SIMPLEIndicator (Savings
IncentiveMatchPlan for
Employees)
1
Required, if applicable.Enter “1” (one) if reporting a rollover
(AmountCode2)orFairMarketValue(AmountCode5)fora
SIMPLE. Otherwise, enter a blank.
550Roth IRAIndicator
1
Required, if applicable.Enter “1” (one) if reporting a rollover
(Amount Code 2) or Fair Market Value (Amount Code 5) for a Roth
IRA. Otherwise, enter a blank.
551
RMD Indicator1
Required.Enter “1” (one) if reporting RMD for 2012. Otherwise,
enter a blank.
552–555
Year of Postponed Contribution4Enter the year in YYYY format. Otherwise, enter blanks.
556–557
Postponed Contribution Code2
Required.Enter the two-digit alpha Postponed Contribution Code
from the table below. Otherwise, enter blanks.
CodeCategory
AFAllied Force
JEJoint Endeavor
EFEnduring Freedom
IFIraqi Freedom
FDFederally Designated Disaster Area
558–559
Repayment Code2
Required.Enter the two character alpha Repayment Code.
Otherwise, enter blanks.
CodeCategory
QRQualified Reservist Distribution
DDFederally Designated Disaster Distribution
560–561
Blank2Enter blanks.
562–569
RMD Date8Enter the date by which the RMD amount must be distributed to
avoid the 50% excise tax. Format the date as YYYYMMDD (e.g.
January 5, 2012 as 20120105). Otherwise, enter blanks.
570–662
Blank93Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–746 Blank24Enter blanks.
747–748 Combined Federal/State Code2If this payee record is to be forwarded to a state agency as part of
the Combined Federal/State Filing Program, enter the valid state
code from Part A, Sec. 10, Table 1. For those payers or states not
participating in this program, enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
2011–37 I.R.B.305September 12, 2011

Payee “B” Record - Record Layout Positions 544–750 for Form 5498
BlankIRA IndicatorSEP IndicatorSIMPLE Indicator Roth IRA Indicator RMD Indicator
544–546547548549550551
Year of Postponed
Contribution
Postponed Contribution
Code
Repayment CodeBlankRMD Date
552–555556–557558–559560–561562–569
BlankSpecial Data EntriesBlankCombined
Federal/State Code
Blank or CR/LF
570–662
663–722723–746747–748
749–750
(26) Payee “B” Record — Record Layout Positions 544–750 for Form 5498-ESA
Field
Position
Field Title
Length
Description and Remarks
544–662
Blank119Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 5498-ESA
BlankSpecial Data EntriesBlankBlank or CR/LF
544–662
663–722723–748
749–750
(27) Payee “B” Record — Record Layout Positions 544–750 for Form 5498-SA
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Medicare Advantage MSA
Indicator
1Enter “1” (one) for a Medicare Advantage MSA. Otherwise, enter
ablank.
548
HSA Indicator1Enter “1” (one) for an HSA. Otherwise, enter a blank.
549
Archer MSA Indicator1Enter “1” (one) foran Archer MSA. Otherwise, enter a blank.
550–662
Blank113Enter blanks.
September 12, 20113062011–37 I.R.B.

(27) Payee “B” Record — Record Layout Positions 544–750 for Form 5498-SA (Continued)
Field
Position
Field Title
Length
Description and Remarks
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record - Record Layout Positions 544–750 for Form 5498-SA
BlankMedicare
Advantage
MSA
Indicator
HSA
Indicator
Archer MSA
Indicator
BlankSpecial Data
Entries
BlankBlank or
CR/LF
544–546547548549550–662
663–722723–748
749–750
(28) Payee “B” Record — Record Layout Positions 544–750 for Form 8935
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547–550
Year of First Payment4Enter the year of the first payment as YYYY. Otherwise, enter
blanks.
551–554
Year of Second Payment4Enter the year of the second payment as YYYY. Otherwise, enter
blanks.
555–558
Year of Third Payment4Enter the year of the third payment as YYYY. Otherwise, enter
blanks.
559–562
Year of Fourth Payment4Enter the year of the fourth payment as YYYY. Otherwise, enter
blanks.
563–566
Year of Fifth Payment4Enter the year of the fifth payment as YYYY. Otherwise, enter
blanks.
567–662
Blank96Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–748 Blank26Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
2011–37 I.R.B.307September 12, 2011

Payee “B” Record - Record Layout Positions 544–750 for Form 8935
BlankYear of First PaymentYear of Second
Payment
Year of Third Payment Year of Fourth Payment
544–546547–550551–554555–558559–562
Year of Fifth PaymentBlankSpecial Data EntriesBlankBlank or CR/LF
563–566567–662
663–722723–748
749–750
(29) Payee “B” Record — Record Layout Positions 544–750 for Form W-2G
Field
Position
Field Title
Length
Description and Remarks
544–546
Blank3Enter blanks.
547
Type of Wager Code1
Required.Enter the applicable type of wager code from the table
below.
CodeCategory
1Horse race track (or off-track betting of a horse
track nature)
2Dog race track (or off-track betting of a dog track
nature)
3Jai-alai
4State-conducted lottery
5
Keno
6Bingo
7Slot machines
8Poker Winnings
9Any other type of gambling winnings
548–555
Date Won8
Required.Enter the date of the winning transaction in the format
YYYYMMDD (e.g., January 5, 2011, would be 20110105).Do not
enter hyphens or slashes.This is not the date the money was paid,
if paid after the date of the race (or game).
556–570
Transaction
15Required.For state-conducted lotteries, enter the ticket or other
identifying number. For keno, bingo, and slot machines, enter the
ticket or card number (and color, if applicable), machine serial
number, or any other information that will help identify the winning
transaction. For all others, enter blanks.
571–575
Race
5
If applicable, enter the race (or game) relating to the winning ticket;
otherwise, enter blanks.
576–580
Cashier
5
If applicable, enter the initials or number of the cashier making the
winning payment; otherwise, enter blanks.
581–585
Window
5
If applicable, enter the window number or location of the person
paying the winning payment; otherwise, enter blanks.
586–600
First ID
15
For other than state lotteries, enter the first identification number of
the person receiving the winning payment; otherwise, enter blanks.
September 12, 20113082011–37 I.R.B.

(29) Payee “B” Record — Record Layout Positions 544–750 for Form W-2G (Continued)
Field
Position
Field Title
Length
Description and Remarks
601–615
Second ID
15
For other than state lotteries, enter the second identification number
of the person receiving the winnings; otherwise, enter blanks.
616–662 Blank47Enter blanks.
663–722 Special Data Entries60This portion of the “B” Record may be used to record information for
state or local government reporting or for the filer’s own purposes.
Payers should contact the state or local revenue departments for
filing requirements. If this field is not utilized, enter blanks.
723–734 State Income Tax Withheld12State income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting state tax withheld, this field may be used
as a continuation of the Special Data Entries field.
735–746
Local Income Tax Withheld12Local income tax withheld is for the convenience of the filers. This
information does not need to be reported to IRS. The payment
amount must be right-justified and unused positions must be
zero-filled. If not reporting local tax withheld, this field may be used
as a continuation of the Special Data Entries field.
747–748 Blank2Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Payee “B” Record — Record Layout Positions 544–750 for Form W-2G
BlankType of
Wager Code
Date WonTransactionRaceCashierWindowFirst ID
544–546547548–555556–570571–575576–580581–585586–600
Second IDBlankSpecial Data
Entries
State Income
Tax Withheld
Local Income
Tax Withheld
BlankBlank or CR/LF
601–615
616–662663–722723–734
735–746
747–748
749–750
Sec. 8. End of Payer “C” Record — General Field Descriptions and Record Layout
.01The “C” Record consists of the total number of payees and the totals of the payment amount fields filed for each payer and/or
particular type of return. The “C” Record must follow thelast “B” Record for each type of return for each payer.
.02For each “A” Record and group of “B” Records on the file, there must be a corresponding “C” Record.
.03The End of Payer “C” Record is a fixed length of 750 positions. The control fields are each eighteen positions in length.
Record Name: End of Payer “C” Record
Field
Position
Field Title
Length
Description and Remarks
1Record Type1
Required.Enter “C.”
2–9Number of Payees8
Required.Enter the total number of “B” Records covered by the
preceding “A” Record. Right-justify information and fill unused
positions with zeros.
2011–37 I.R.B.309September 12, 2011

Record Name: End of Payer “C” Record (Continued)
Field
Position
Field Title
Length
Description and Remarks
10–15
Blank6Enter blanks.
16–33Control Total 118
34–51
Control Total 218
52–69
Control Total 318
70–87Control Total 418
88–105Control Total 5
18
106–123 Control Total 618
124–141 Control Total 718
142–159
Control Total 818
160–177 Control Total 918
178–195
Control Total A18
196–213 Control Total B18
214–231 Control Total C18
232–249 Control Total D18
250–267
Control Total E18
268–285
Control Total F18
286–303 Control Total G18
Required.Accumulate totals of any payment amount fields in the
“B” Records into the appropriate control total fields of the “C”
Record.Control totals must be right-justified and unused control
total fields zero-filled.All control total fields are eighteen positions
in length. Each payment amount must contain U.S. dollars and
cents. The right-most two positions represent cents in the payment
amount fields.Do not enter dollar signs,commas, decimal points,
or negative payments, except those items that reflect a loss
on Form 1099-B or 1099-Q.Positive and negative amounts are
indicated by placing a “+” (plus) or“-” (minus) signin the left-most
position of the payment amount field.
304–499 Blank196Enter blanks.
500–507
Record Sequence Number8
Required.Enter the number of the record as it appears within the
file. The record sequence number for the “T” Record will always
be “1” (one), since it is the first record on the file and the file can
have only one “T” Record in a file. Each record, thereafter, must be
incremental by one in ascending numerical sequence,i.e.,2,3,4,etc.
Right-justify numbers with leading zeros in the field. For example,
the “T” Record sequence number would appear as “00000001” in
the field, the first “A” Record would be “00000002,” the first “B”
Record, “00000003,” the second “B” Record, “00000004” and so on
until the final record ofthe file, the “F” Record.
508–748
Blank241Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
End of Payer “C” Record — Record Layout
Record
Type
Number of
Payees
BlankControl
Total
1
Control
Total
2
Control
Total
3
Control
Total
4
Control
Total
5
Control
Total
6
12–9
10–15
16–33
34–5152–69
70–87
88–105
106–123
September 12, 20113102011–37 I.R.B.

Control
Total
7
Control
Total
8
Control
Total
9
Control
Total
A
Control
Total
B
Control
Total
C
Control
Total
D
Control
Total
E
Control
Total
F
124–141
142–159
160–177
178–195
196–213214–231232–249
250–267268–285
Control
Total
G
BlankRecord Sequence
Number
BlankBlank or CR/LF
286–303304–499
500–507508–748749–750
Sec. 9. State Totals “K” Record — GeneralField Descriptions and Record Layout
.01The State Totals “K” Record is a summary for a given payer and agiven state in the Combined Federal/State Filing Program,
used only when state-reporting approval has been granted.
.02The “K” Record will contain the total number of payees and thetotal of the payment amount fields filed by a given payer for
a given state. The “K” Record(s) must be written after the “C” Record for the related “A”Record. A file format diagram is located
at the beginning of Part C.
.03The “K” Record is a fixed length of 750 positions. The control total fields are each eighteen positions in length.
.04In developing the “K” Record, for example, if a payer usedAmount Codes 1, 3, and 6 in the “A” Record, the totals from the
“B” Records coded for this statewould appear in Control Totals 1, 3, and 6 of the “K” Record.
.05There must be a separate “K” Record foreach statebeing reported.
.06Refer to Part A, Sec. 10, for the requirements and conditions thatmustbe met to file via this program.
Record Name: State Totals “K” Record — RecordLayout Forms 1099-DIV, 1099-G, 1099-INT,
1099-MISC, 1099-OID, 1099-PATR, 1099-R, and 5498
Field
Position
Field Title
Length
Description and Remarks
1Record Type1
Required.Enter “K.”
2–9Number of Payees8
Required.Enter the total number of “B” Records being coded for
this state. Right-justify information and fill unused positions with
zeros.
10–15
Blank6Enter blanks.
16–33Control Total 118
34–51
Control Total 218
52–69
Control Total 318
70–87Control Total 418
88–105Control Total 5
18
106–123 Control Total 618
124–141 Control Total 718
142–159
Control Total 818
160–177 Control Total 918
178–195
Control Total A18
196–213 Control Total B18
214–231 Control Total C18
232–249 Control Total D18
Required.Accumulate totals of any payment amount fields in
the “B” Records for each state being reported into the appropriate
control total fields of the appropriate “K” Record. Each payment
amount must contain U.S. dollarsand cents. The right-most two
positions represent cents in the payment amount fields.Control
totals must be right-justified and unused control total fields
zero-filled.All control total fields are eighteen positions in length.
2011–37 I.R.B.311September 12, 2011

Record Name: State Totals “K” Record — RecordLayout Forms 1099-DIV, 1099-G, 1099-INT,
1099-MISC, 1099-OID, 1099-PATR, 1099-R, and 5498 (Continued)
Field
Position
Field Title
Length
Description and Remarks
250–267
Control Total E18
268–285
Control Total F18
286–303 Control Total G18
304–499 Blank196Enter blanks.
500–507
Record Sequence Number8
Required.Enter the number of the record as it appears within the
file. The record sequence number for the “T” Record will always
be “1” (one), since it is the first record on the file and the file can
have only one “T” Record in a file. Each record, thereafter, must be
incremental by one in ascending numerical sequence,i.e.,2,3,4,etc.
Right-justify numbers with leading zeros in the field. For example,
the “T” Record sequence number would appear as “00000001” in
the field, the first “A” Record would be “00000002,” the first “B”
Record, “00000003,” the second “B” Record, “00000004” and so on
until the final record ofthe file, the “F” Record.
508–706
Blank199Enter blanks.
707–724 State Income Tax Withheld Total 18State income tax withheld total is for the convenience of filers.
Aggregate totals of thestate income tax withheld field in the Payee
“B” Records; otherwise, enter blanks.
725–742
Local Income Tax Withheld Total 18Local income tax withheld total is for the convenience of filers.
Aggregate totals of the local income tax withheld field in the Payee
“B” Records; otherwise, enter blanks.
743–746 Blank4Enter blanks.
747–748 Combined Federal/State Code2
Required.Enter the code assigned to the state which is to receive
the information. (Refer to Part A, Sec. 10, Table l.)
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
State Totals “K” Record — Record Layout Forms 1099-DIV, 1099-G, 1099-INT, 1099-MISC,
1099-OID, 1099-PATR, 1099-R, and 5498
Record
Type
Number of
Payees
BlankControl
Total
1
Control
Total
2
Control
Total
3
Control
Total
4
Control
Total
5
Control
Total
6
12–9
10–15
16–33
34–5152–69
70–87
88–105
106–123
Control
Total
7
Control
Total
8
Control
Total
9
Control
Total
A
Control
Total
B
Control
Total
C
Control
Total
D
Control
Total
E
Control
Total
F
124–141
142–159
160–177
178–195
196–213214–231232–249
250–267268–285
September 12, 20113122011–37 I.R.B.

Control
Total
G
BlankRecord
Sequence
Number
BlanksState
Income Tax
Withheld
Total
Local
Income Tax
Withheld
Total
BlankCom-
bined Fed-
eral/State
Code
Blank or
CR/LF
286–303304–499
500–507508–706
707–724
725–742
743–746747–748
749–750
Sec. 10. End of Transmission “F” Record — General Field Descriptions and Record Layout
.01The End of Transmission “F” Record is a summary ofthe number of payers/payees in the entire file.
.02The “F” Record is a fixed record length of 750 positions.
.03This record must be written after the last “C” Record (or last “K” Record, when applicable) of the entire file.
Record Name: End of Transmission “F” Record
Field
Position
Field Title
Length
Description and Remarks
1Record Type1
Required.Enter “F.”
2–9Number of “A” Records8Enter the total number of Payer “A” Records in the entire file.
Right-justify information and fill unused positions with zeros or
enter all zeros.
10–30Zero21Enter zeros.
31–49Blank19Enter blanks.
50–57
Total Number of Payees8Enter the total number of Payee “B” Records reported in the file.
Right-justify information and fill unused positions with zeros. If this
total was entered in the “T” Record, this field may be blank filled.
58–499
Blank442Enter blanks.
500–507
Record Sequence Number8
Required.Enter the number of the record as it appears within the
file. The record sequence number for the “T” Record will always
be “1” (one), since it is the first record on the file and the file can
have only one “T” Record in a file. Each record, thereafter, must be
incremental by one in ascending numerical sequence,i.e.,2,3,4,etc.
Right-justify numbers with leading zeros in the field. For example,
the “T” Record sequence number would appear as “00000001” in
the field, the first “A” Record would be “00000002,” the first “B”
Record, “00000003,” the second “B” Record, “00000004” and so on
until the final record ofthe file, the “F” Record.
508–748
Blank241Enter blanks.
749–750
Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
End of Transmission “F” Record — Record Layout
Record Type Number
of “A”
Records
ZeroBlankTotal
Number of
Payees
BlankRecord
Sequence
Number
BlankBlank or
CR/LF
12-910-3031-49
50–5758–499500–507508–748749–750
2011–37 I.R.B.313September 12, 2011

Part D. Extensions of Time and Waivers
Sec. 1. General — Extensions
.01An extension of time to file may be requested for Forms 1042-S, 1097, 1098, 1099, 3921, 3922, 5498, 8027 and W-2G.
Note: IRS encourages the payer/transmitter community to utilize the online fill-in form in lieu of the paper Form 8809. Re-
quests for more than one payer must be filed through the Filing Information Returns Electronically (FIRE) system using the
Fill-in option. No TCC required.
.02The Fill-in Form 8809 may be completed online via the FIRE System. (See Part B, Sec. 7, for instructions on connecting to the
FIRE System.) At the Main Menu, click “Extension of Time Request” and then click “Fill-in Extension Form”. This option is only
used to request an automatic 30-day extension. Extension requests completed online via the FIRE System receive an instant response
if completed properly and timely. If you are requesting an additional extension, you must submit a paper Form 8809. Requests for an
additional extension of time to file information returns are not automatically granted. Requests for additional time are granted only in
cases of extreme hardship or catastrophic event. The IRS will only send a letter of explanation approving or denying your additional
extension request. (Refer to .11 of this Section.)
.03A paper Form 8809, Application for Extension of Time to FileInformation Returns, may be submitted to IRS/IRB at the
address listed below. This form may be used to request an extension of time to file information returns submitted on paper. A sig-
nature is not required when requesting an automatic 30-day extension. Form 8809 may be obtained by calling 1–800–TAX–Form
(1–800–829–3676). The form is also available at w
ww.irs.gov. These requests must be sent using the following address:
Internal Revenue Service
Information Returns Branch
Attn: Extension of Time Coordinator
240 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
Note: Due to the large volume of mail received by IRS/IRB and the time factor involved in processing Extension of Time (EOT)
requests, it is imperative that the attention line be present on all envelopes or packages containing Form 8809.
.04Requests for extensions of time to file postmarked by the United States Postal Service on or before the due date of the returns,
and delivered by United States mail to IRS/IRB after the due date, are treated as timely under the "timely mailing as timely filing" rule.
A similar rule applies to designated private delivery services (PDSs). Notice 97–26, 1997–17 I.R.B. 6, provides rules for determining
the date that is treated as the postmark date.For items delivered by a non-designated Private Delivery Service (PDS), the actual date
of receipt by IRS/IRB will be used as the filing date. For items delivered by a designated PDS, butthrough a type of service not
designated in Notice 2004–83, 2004–52 I.R.B. 1030 the actual date of receipt by IRS/IRB will be used as the filing date. The timely
mailing rule also applies to furnishing statements to recipients and participants.
.05To be considered, an extension request must be postmarked, transmitted or completed online by the due date of the returns;
otherwise, the request will be denied. (See Part A, Sec. 7, for duedates.) If requesting an extension of time to file several types
of forms, use one Form 8809; however, Form 8809 or an extension file must be submitted no later than the earliest due date. For
example, if requesting an extension of time to file both Forms 1099-INT and 5498, submit Form 8809 on or before February 28.
.06Assoonasitisapparentthat a 30-day extension of time to file is needed, an extension request should be submitted. IRS/IRB
does not begin processing extension requests until January. It may take up to 30 days for IRS/IRB to respond to a paper extension
request.Extensions completed online via the FIRE System receive instant results.
.07Under certain circumstances, a request for an extension of time may be denied. When a denial letter is received, any additional
or necessary information must be resubmitted within 20 calendar days.
.08Requesting an extension of time for multiple payers should be done by completing the online fill-in form via the FIRE System.
A separate Form 8809 must be completed online for each payer.
.09Transmitters requesting an extension of time via an electronic file (see Sec. 3 for the record layout) will receive the file status
results online.
.10If an extension request is approved, the approval notification should be kept on file. DO NOT send the approval notification
or copy of the approval notification to IRS/IRB or to the service center where the paper returns are filed.
.11If an additional extension of time is needed, a Form 8809 and/orextension file must be sent by the initial extended due date.
Check line 3 on the form to indicate that an additional extension is being requested. Failure to properly complete andsignForm 8809
may cause delays in processing the request or result in a denial.Carefully read and follow the instructions on the back of Form 8809.
A second 30-day extension will be approved only in cases of extreme hardship or catastrophic event. Be sure to include the reason an
additional extension is needed.If requesting a second 30-day extension of time, submit the information return files as soon as
prepared. Do not wait for IRS/IRB’s response to your second extension request.
September 12, 20113142011–37 I.R.B.

Sec. 2. Specifications for Filing Extensions of Time Electronically
.01The specifications in Sec.3 include the required 200-byte recordlayout for requesting extensions of time submitted in an elec-
tronic file. The instructions for the information that is to be entered in the record are also included.Filers are advised to read this
section in its entirety to ensure proper filing.
.02If a filer does not have an IRS/IRB assigned Transmitter Control Code (TCC), Form 4419, Application for Filing Information
Returns Electronically (FIRE)mustbe submitted to obtain a TCC. This numbermustbe used to submit extension requests in an
electronic file. (See Part A, Sec. 6.)
.03If requesting an additional extension oftime, a signed Form 8809 must be faxed to IRB the same day as the transmission. Be
sure to include the reasonan additional extension is needed and a signature.
.04Do not submit tax year 2011 extension requests filed electronically beforeJanuary 4, 2012.
Sec. 3. Record Layout – Extension of Time
.01Positions 6 through 188 of the following record should contain information about thepayerfor whom the extension of time to
file is being requested. Do not enter transmitter information in these fields.OnlyoneTCCmaybepresentinafile.
Record Layout for Extension of Time
Field
Position
Field Title
Length
Description and Remarks
1–5
Transmitter Control Code
5Required.Enter the five-character alpha/numeric Transmitter
Control Code (TCC) issued by IRS. Only one TCC per file is
acceptable.
6–14Payer TIN9
Required.Enter the valid nine-digit EIN/SSN assigned to the
payer.Do not enter blanks, hyphens or alpha characters.All
zeros, ones, twos, etc., will have the effect of an incorrect TIN. For
foreign entities that are not requiredtohaveaTIN,thisfieldmay
be blank; however, the Foreign Entity Indicator, position 187,must
be set to “X.”
15–54
Payer Name40
Required.. Enter the name of the payer whose TIN appears in
positions 6–14. Left-justify information and fill unused positions
with blanks.
55–94
Second Payer Name40
Required.. If additional space is needed, this field may be used
to continue name line information (e.g.,c/oFirstNationalBank);
otherwise, enter blanks.
95–134
Payer Address40
Required.Enter the payer’s address. The street address should
include the number, street, apartment, or suite number (or PO Box
if mail is not delivered to a street address).
135–174
Payer City40
Required.Enter the payer’s city, town, or post office.
175–176
Payer State2
Required.Enter the payer’s valid U.S. Postal Service state
abbreviation. (Refer to Part A, Sec. 12.)
177–185
Payer ZIP Code9
Required.Enter the payer’s ZIP Code. If using a five-digit ZIP
Code, left-justify information and fill unused positions with blanks.
2011–37 I.R.B.315September 12, 2011

Record Layout for Extension of Time (Continued)
Field
Position
Field Title
Length
Description and Remarks
186
Document Indicator(See Note.)
1
Required.From the table below, enter the appropriate document
code that indicates the form for which an extension of time is being
requested
CodeDocument
1W-2
21097-BTC, 1098, 1098-C, 1098-E, 1098-T,
1099-A, 1099-B, 1099-C, 1099-CAP, 1099-DIV,
1099-G, 1099-H, 1099-INT,1099-K, 1099-LTC,
1099-MISC, 1099-OID, 1099-PATR, 1099-Q,
1099-R, 1099-S, 1099-SA, 3921, 3922, or W-2G
3
5498
41042-S
5
8027
6
5498-SA
7
5498-ESA
Note: Do not enter any other values in this field. Submit a separate record for each document. For example, when
requesting an extension for Form 1099-INT and Form 5498 for the same payer, submit one record with “2” coded in this
field and another record with “3” coded in this field. When requesting an extension for Form 1099-DIV and Form
1099-MISC for the same payer, submit one record with “2” coded in this field.
187Foreign Entity Indicator1Enter “X” if the payer is a foreign entity.
188Recipient Request Indicator1Enter “X” if the extension request is to furnish statements to the
recipients of the information returns.
Note: A separate file is required for this type of extension request. A file must either contain all blanks or all Xs in this field.
189–198 Blank10Enter blanks.
199–200 Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Extension of Time Record Layout
Transmitter
Control
Code
Payer
TIN
Payer
Name
Second
Payer
Name
Payer
Address
Payer
City
Payer
State
1–5
6–14
15–5455–9495–134135–174175–176
Payer
ZIP
Code
Document
Indicator
Foreign
Entity
Indicator
Recipient
Request
Indicator
BlankBlank
or CR/LF
177–185
186187188189–198199–200
Sec. 4. Extension of Time for Recipient Copies of Information Returns
.01Request anextension of time to furnish the statements to recipientsof Forms 1097, 1098 series, 1099 series, 3921, 3922,
5498 series, W-2G, W-2 series, and 1042-S by submitting a letter to IRS/IRB at the address listed in Part D, Sec.1.09. The letter
should contain the following information:
(a)Payer name
September 12, 20113162011–37 I.R.B.

(b)TIN
(c)Address
(d)Type of return
(e)Specify that the extension request isto provide statements to recipients
(f)Reason for delay
(g)Signature of payer or duly authorized person
.02Requests for an extension of time to furnish statements to recipients of Forms 1097, 1098 series, 1099 series, 3921, 3922,
5498 series, W-2G, W-2 series, and 1042-S are not automatically approved. Ifapproved, an extension will allow amaximumof 30
additional days from the due date. The request must be postmarked no later than the date the statements are due to the recipients.
.03Generally, only the payer may sign the letter requesting the extension for recipient copies. If a transmitter has a contractual
agreement with a payer to submit extension requests on the payer’s behalf, the transmitter should state so in the letter requesting the
extension.
.04Requests for extensions of time to file recipient copies for more than 10 payers arerequiredto be submitted electronically.
(See Sec.3, for the record layout.). When requesting extensions of time for recipient copies, a signed letter must be faxed to IRB by
thetransmitterthesamedayasthetransmission.Besuretoinclude the reason an extension for the recipient copies is needed.
.05Transmitters submitting an extension of time for recipient copies via an electronic file should not submit a list of payer names
and TINs with the letter since this information is included in the electronic file.
.06 The online fill-in Form 8809 extension option cannot be used to request an extension to furnish statements to recipients.
Sec.5Form8508,RequestforWaiverFromFiling Information Returns Electronically
.01If a payer is required to file electronically but fails to do so and does not have an approved waiver on record, the payer will be
subject to a penalty of $100 per return in excess of 250. (Forpenalty information, refer to the Penalty Section of the2011 General
Instructions for Certain Information Returns.
.02If payers are required to file original or corrected returns electronically, but such filing would create an undue hardship, they
may request a waiver from these filing requirements by submittingForm 8508, Request for Waiver from Filing Information Returns
Electronically, to IRS/IRB. Form 8508 can be obtained on the IRS website at IRS.gov or by calling 1–800–829–3676.
.03Although a payer may submit as many as 249 corrections on paper, IRS/IRB encourages electronic filing. Once the 250 thresh-
old has been met, filers are required to submit any returns in excess of 250 electronically. If a waiver for original documents is
approved, any corrections for the same type of returns will be covered under that waiver.
.04Generally, only the payer may sign Form 8508. A transmitter may sign if given power-of-attorney; however, a letter signed by
the payer stating this fact must be attached to Form 8508.
.05A transmitter must submit a separate Form 8508 for each payer. Do not submit a list of payers.
.06All information requested on Form 8508 must be provided to IRS/IRB for the request to be processed.
.07The waiver, if approved, will provide exemption from the electronic filing requirement for the current tax year only. Payers
may not apply for a waiver for more than one tax year at a time.
.08Form 8508 may be photocopied or computer-generated as long as itcontains all the information requested on the original form.
.09Filers are encouraged to submit Form 8508 to IRS/IRB at least 45 days before the due date of the returns. IRS/IRB does not
process waiver requests until January. Waiver requests received prior to January are processed on a first come, first serve basis.
.10All waiver requests must be sent to the following address:
Internal Revenue Service
Information Returns Branch
Attn: Extension of Time Coordinator
240 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
.11 File Form 8508 for the W-2 seriesof forms with IRS/IRB, not SSA.
.12Waivers are evaluated on a case-by-case basis and are approved ordenied based on criteria set forth in the regulations under
section 6011(e) of the Internal Revenue Code. The transmitter must allow a minimum of 30 days for IRS/IRB to respond to a waiver
request.
.13If a waiver request is approved, keep the approval letter on file.Do notsend a copy of the approved waiver to the service center
where the paper returns are filed.
.14An approved waiver only applies to the requirement for filing information returns electronically. The payer must still timely
file information returns with the appropriate service center on the official IRS paper forms or an acceptable substitute form.
2011–37 I.R.B.317September 12, 2011

26 CFR 601.105: Examination of returns and claims
for refund, credit or abatement; determination of cor-
rect tax liability.
(Also: Part I, § 6001.)
Rev. Proc. 2011–42
SECTION 1. PURPOSE
This revenue procedure provides tax-
payers with guidance regarding the use and
evaluation of statistical samples and sam-
pling estimates.
SECTION 2. BACKGROUND
The use of statistical sampling is
provided in several items of published
guidance. See, for example, Rev. Proc.
2011–35, 2011–25 I.R.B. 890 (provides
safe harbor methodologies to determine
basis in stock acquired in transfer ba-
sis transactions); Rev. Proc. 2004–29,
2004–1 C.B. 918 (provides the statistical
sampling methodology that a taxpayer
may use in establishing the amount of
substantiated meal and entertainment ex-
penses that are excepted from the 50%
deduction disallowance under section
274(n)(1)); Rev. Proc. 2007–35, 2007–1
C.B. 1349 (addresses when statistical sam-
pling may be used for purposes of section
199 (income attributable to domestic pro-
duction activities)); and Rev. Proc. 72–36,
1972–2 C.B. 771 (sets forth statistical
sampling guidelines for determining the
redemption rate of trading stamps). If
statistical sampling is determined to be
appropriate under prior published guid-
ance or under this revenue procedure, a
taxpayer may use only the statistical sam-
pling procedures set forth in this revenue
procedure. Thus, any published guidance
in effect prior to the effective date of this
revenue procedure that permits statistical
sampling is modified and amplified by this
revenue procedure.
SECTION 3. SCOPE
When permitted by the Service, tax-
payers may use statistical sampling proce-
dures to support items on their income tax
returns. The Service will use the criteria
set forth in Section 4 of this revenue pro-
cedure in determining whether to accept
a statistical sampling estimate as adequate
substantiation for a return position. Statis-
tical samples that fail to meet these criteria
will be rejected.
SECTION 4. APPLICATION
.01In general. When permitted by
the Service, a taxpayer may use statistical
sampling in establishing, with respect to its
income tax liability, items on its return by
following the procedures provided in Ap-
pendixA(SamplingPlanStandards),Ap-
pendix B (Sampling Documentation Stan-
dards) and Appendix C (Technical Formu-
las) of this revenue procedure.
.02Evaluation of a probability sample:
Two-step method.
(1)Appropriateness. The appropriate-
ness of using a probability sample, to ei-
ther support or be primary evidence of a
tax amount, is a facts and circumstances
determination. Factors to be used in de-
termining whether a probability sample is
appropriate include, but are not limited
to, the following: the time required to
analyze large volumes of data; the cost
of analyzing data; and the other books
and records that may independently exist
or have greater probative value. Proba-
bility samples generally will not be con-
sidered appropriate if evidence is readily
available from another source that can be
demonstrated to provide a more accurate
answer,oriftheuseofsamplingdoesnot
conform to applicable financial accounting
standards (e.g., Generally Accepted Ac-
counting Principles (GAAP)).
(2)Validity of the final estimate. Sec-
ond, taxpayers must determine whether the
final estimate represents a valid estimate.
In general, a final estimate will be consid-
ered valid (without regard to audit adjust-
ment(s)) provided that all of the following
conditions are met.
(a)Documentation. Taxpayers must
maintain all of the proper documentation
to support the statistical application, sam-
ple unit findings, and all aspects of the
sample plan. Proper supportive documen-
tation generally includes all of the infor-
mation contained in Appendix A and Ap-
pendix B of this revenue procedure.
(b)Known chance of selection.Thees-
timate must be based on a probability (i.e.,
statistical) sample,in which each sampling
unit in the population has a known (non-
zero) chance of selection, using either a
simple random sampling method or strat-
ified random sampling method.
(c)Taxpayer uses the least advanta-
geous 95% one-sided confidence limit.
The estimate must be computed at the least
advantageous 95% one-sided confidence
limit. The “least advantageous” confi-
dence limit is either the upper or lower
limit that results in the least benefit to
the taxpayer. If the relative precision for
a sampling plan, as described in section
4.03(4) of this revenue procedure, does
not exceed 10%, the point estimate may
be used in place of the least advantageous
95% one-sided confidence limit. When
the relative precision is less than 15% and
greater than 10%, the estimate will be
computed as an amount between the least
advantageous 95% one-sided confidence
limit and the point estimate determined as
follows:
Estimate = Point Estimate - (Relative
Precision - .10)/.05 * (Point Estimate
- Least Advantageous 95% One-Sided
Confidence Limit)
Although many methods exist to estimate
population values from the sample data,
only the following estimators will be con-
sidered for acceptance: (i) Variable esti-
mators permitted include the Mean (also
known as the direct projection method);
(ii) Difference (using“paired variables”);
(iii) (combined) Ratio (using a variable of
interest and a “correlated” variable); and
(iv) (combined) Regression (using a vari-
able of interest and a “correlated” vari-
able). The first variable used for the differ-
ence, ratio and regression estimators must
be the variable used in the mean estimator.
The second variable used for the differ-
ence, ratio, and regression estimators must
be a variable that can be paired with the
first variable and should be related to the
first variable.
To be accepted by the Service as a
method to estimate population values from
the sample data, taxpayers who choose to
use methods (iii) or (iv) described above
must first demonstrate that the statistical
bias inherent in those methods is negligi-
ble. See section 4.03(3) of this revenue
procedure. The formulas for these esti-
mators are provided in Appendix C and
assume sampling without replacement.
Attribute estimators permitted include
(combined) proportion or total count.
.03Variable Sampling Plans.
(1)Use estimate with smallest overall
standard of error. Of all the final estimates
determined as qualifying, the estimate with
September 12, 20113182011–37 I.R.B.

the smallest overall standard of error, as an
absolute value, will generally be used (i.e.,
the size of the estimate is irrelevant in the
determination of the value to be reported).
Situations may exist when only a single
estimator may be appropriate for the plan
objective. In those specialized situations,
the relevant estimator may be evaluated
without consideration of other methods.
(2)Calculation of confidence lim-
its. Confidence limits are calculated by
adding and subtracting the precision of
the estimate from the point estimate when
precision is determined by multiplying the
standard error by (i) the 95% one-sided
confidence coefficient based on the Stu-
dent’s t-distribution with the appropriate
degrees of freedom, or (ii) 1.645 (i.e.,the
normal distribution), assuming the sam-
ple size is at least 100 in each non–100%
stratum.
(3)Demonstration of statistical bias.
For either the (combined) Ratio or Re-
gression methods (as described in section
4.02(2)(c)), in order to demonstrate that lit-
tle statistical bias exists, the following ap-
plies after excluding all strata tested on a
100% basis (i.e., the entire population of a
stratum is selected for evaluation): (i) the
total sample size of all strata must be at
least 100 units; (ii) each stratum for which
a population estimate is made should con-
tain at least 30 sample units; (iii) the co-
efficient of variation of the paired vari-
able must be 15% or less; (iv) the coef-
ficient of variation of the primary vari-
able of interest, represented by either the
corrected value or the difference between
the reported and corrected values in com-
mon accounting situations, must be 15% or
less; and (v) for only the (combined) Ra-
tio method, the reported values of the units
must be of the same sign. Definitional for-
mulas for the paired variable (described in
(iii) above), and the corrected value and
the difference between the reported and
corrected values (each described in (iv)
above) are provided in Appendix C (Tech-
nical Formulas).
(4)Calculating the relative precision
for each estimator. The relative preci-
sion for each estimator is commonly calcu-
lated by dividing the precision at the 95%
one-sided confidence limit (sometimes re-
ferred to as sampling error) of the estimate
by the estimator. When an estimate may
be calculated using either a corrected value
or difference perspective, as in the case of
Ratio and Regression methods, or solely a
corrected value perspective as in the case
of a Mean method, the test will be applied
on the basis of a difference perspective. In
these cases the numerator of the calcula-
tion is the sampling error of the adjustment
and the denominator the point estimate of
the adjustment.
(5)Specialized situations. For special-
ized situations, the 10% test that applies to
the particular sampling objective must be
appropriate for the plan, and adjusted ac-
cordingly to reflect an acceptable level of
precision. Additional modifications may
be necessary for other unique types of sam-
pling plans.
(6)Exclusion of certain items for pur-
poses of the 10% relative precision test.
For the purpose of the 10% relative preci-
sion test, any stratum, when the sampling
units or the process of evaluating the sam-
pling units are different from those in other
strata, must be excluded in calculating the
relative precision.
.04Attribute Sampling Plans
(1)Determining confidence limits.
When using simple random samples, the
confidence limits are determined using
the Hypergeometric, Poisson, or Binomial
distribution. If the proportion being esti-
mated is between 30% and 70%, then the
normal distribution approximation may
be used in lieu of one of the above distri-
butions. For stratified random samples,
when at least two strata are sampled (i.e.,
not 100% samples), the confidence lim-
its must be determined using the normal
distribution approximation. If stratified
random samples are not used, then con-
fidence limits will be determined using
the Hypergeometric, Poisson, or Binomial
distribution.
(2)Calculating the relative precision.
For the normal distribution approximation,
the precision is calculated by multiplying
the standard error by (i) the 95% one-sided
confidence coefficient based on the Stu-
dent’s t-distribution with the appropriate
degrees of freedom, or (ii) 1.645 (i.e.,the
normal distribution), assuming the sample
size is at least 100 in each non–100% stra-
tum.
(3)Point estimate. One of the follow-
ing two tests must be achieved for the use
of the point estimate from an attribute sam-
pling plan. A relative precision of 10% or
less must be achieved on the point estimate
(i.e., the estimated proportion, p) and on its
complement (i.e., 1 - p). A simple random
sample size of at least 300 must be used
to determine the point estimate, when the
sample size of 300 excludes dummy and
null sampling units.
.05Limitations.
(1) The Service’s allowance of a tax-
payer’s estimate does not correspondingly
require acceptance by the Service of the
taxpayer’s use of an estimate for the de-
termination of associated adjustments, al-
location, or subdivision of the findings for
other purposes.
(2) This revenue procedure only ad-
dresses the statistical requirements that
must be met for a probability sample to
meet preliminary acceptance. It is not
intended to further require acceptance of
individual sample unit determinations.
Valuation or attribute determinations re-
main subject to independent verification
along with other non-statistical issues such
as missing sampling items. Likewise, the
statistical procedures followed may be
examined and adjusted if the procedures
are found to be in error. Any fatal error
in statistical methodology that renders the
probability sample invalid will preclude
the use of any statistical estimate based on
the sample and will only allow for con-
sideration of the sample findings on an
actual basis. When a probability sample
is determined to be not appropriate and
is raised as an issue, the examining agent
may pursue a more accurate determination
or allow the findings of units examined
on an actual basis. The computational
validity of the estimator should still be
considered and addressed along with other
alternative issues in un-agreed cases.
(3) This revenue procedure does not
preclude the Service from raising or pursu-
ing any income, employment, or other tax
issues identified in the review of a statisti-
cal sample.
(4) It is recognized that existing indus-
try practices and specific taxpayers may be
using techniques that are not covered by
this revenue procedure. If a taxpayer em-
ployed a probability sample or method not
covered by this revenue procedure, then
the estimate may be referred to a Statisti-
cal Sampling Coordinator for resolution or
issue development.
(5) This revenue procedure does not re-
lieve taxpayers of their responsibility to
maintain any documentation required by
section 6001, other sections, or subsec-
2011–37 I.R.B.319September 12, 2011

tions that have specific documentation re-
quirements for the entire population. Is-
sues regarding documentation or support
mayberaisedasappropriate.
(6) This revenue procedure does not su-
persede any specific rules for substantia-
tion, such as those under section 274(d).
SECTION 5. EFFECT ON OTHER
DOCUMENTS
This revenue procedure modifies and
amplifies Rev. Proc.2007–35, Rev. Proc.
2011–35, Rev. Proc. 2004–29, and Rev.
Proc. 72–36.
SECTION 6. EFFECTIVE DATE
This revenue procedure is effective for
taxable years ending on or after August 19,
2011. With respect to the use of statisti-
cal sampling by a taxpayer for a taxable
year ending before August 19, 2011, for
which the applicable period of limitations
has not expired, the Service will permit,
but will not require, application of this rev-
enue procedure.
SECTION 7. PAPERWORK
REDUCTION ACT
The collection of information con-
tained in this revenue procedure has been
reviewed and approved by the Office of
Management and Budget (OMB) in accor-
dance with the Paperwork Reduction Act
(44 U.S.C. 3507) under control number
1545–0123.
An agency may not conduct or sponsor,
and a person is not required to respond
to, a collection of information unless the
collection of information displays a valid
OMB control number.
The collection of information in this
revenue procedure is in Appendix B. This
information is required to ensure compli-
ance with the statistical sampling method-
ology contained in this revenue procedure.
The information will be used to evaluate
compliance with the procedures described
in this revenue procedure. The collection
of information is mandatory. The likely
recordkeepers are businesses or other for-
profit institutions.
The estimated total annual recordkeep-
ing burden is 2400 hours. The estimated
annual burden per recordkeeper is 8 hours.
The estimated number of recordkeepers is
300.
Books or records relating to a collection
of information must be retained as long as
their contents may be material in the ad-
ministration of any internal revenue law.
Generally tax returns and tax return infor-
mation are confidential, as required by sec-
tion 6103.
DRAFTING INFORMATION
The principal author of this revenue
procedure is Amanda F. Dunlap of the
Office of Associate Chief Counsel (Pro-
cedure & Administration). For further
information regarding this revenue proce-
dure, contact Amanda F. Dunlap at (202)
622–4910 (not a toll-free call). For further
information regarding Appendices A, B or
C, or any substantivestatistical sampling
questions, contact Gerald Goguen of the
Large Business and International Division
at (415) 837–6510, or Michael J. Curley
of the Large Business and International
Division at (630) 699–6020.
September 12, 20113202011–37 I.R.B.

APPENDIX A
Sampling Plan Standards
Taxpayers are required to have a written sampling plan prior to the execution of a sample. The plan must include the following
items:
(1) The objective of the plan including a description of what value is being estimated and for which tax year(s) the estimate
is applicable;
(2) Population definition and reconciliation of the population to the tax return;
(3) Definition of the sampling frame;
(4) Definition of the sampling unit;
(5)
Source of the random numbers, the starting point or seed, and the method used in selecting them;
(6) Sample size, along with supporting factors in the determination;
(7) Methodusedtoassociaterandom numbers to the frame;
(8) Steps to be taken to insure that the serialization of the frame is carried out independent of the drawing of random numbers;
(9) Steps to be taken in evaluating the sampling unit; and
(10) The appraisal method(s) to be used in appraising the sample.
2011–37 I.R.B.321September 12, 2011

APPENDIX B
Sampling Documentation Standards
Sample Execution Documentation
Taxpayers must retain adequate documentation to support the statistical application, sample unit findings, and all aspects of the
sample plan and execution. The execution ofthe sample must be documented and include information for each of the following:
(1) The seed or starting point of the random numbers;
(2) The pairing of random numbers to the frame along with supporting information to retrace the process;
(3) List of the sampling units selected and the results of the evaluation of each unit;
(4) Supporting documentation such as notes, invoices, purchase orders, project descriptions, etc., which support the
conclusion reached about each sample item;
(5)
The calculation of the projected estimate(s) to the population, including the computation of the standard error of the
estimate(s);
(6) A statement as to any slips or blemishes in the execution of the sampling procedure and any pertinent decision rules; and
(7) Computation of all associated adjustments. (An example of an associated adjustment would be the amount of
depreciation allowable based on a probabilitydetermination of an amount capitalized).
September 12, 20113222011–37 I.R.B.

APPENDIX C
Technical Formulas
UNSTRATIFIED (SIMPLE RANDOM SAMPLE)
MEAN ESTIMATOR
STRATIFIED
MEAN ESTIMATOR
Sample Mean of Audited Amounts
Estimate of Total Audited Amount
Estimated Standard Deviation of the Audited Amount
Estimated Standard Error of the Total Audited Amount
Achieved Precision of the Total Audited Amount
UNSTRATIFIED (SIMPLE RANDOM SAMPLE)
DIFFERENCE ESTIMATOR
STRATIFIED
DIFFERENCE ESTIMATOR
Estimate of Total Difference
Estimate of Total Audited Amount
Estimated Standard Deviation of the Difference Amount
2011–37 I.R.B.323September 12, 2011

UNSTRATIFIED (SIMPLE RANDOM SAMPLE)
DIFFERENCE ESTIMATOR
STRATIFIED
DIFFERENCE ESTIMATOR
Estimated Standard Error of the Difference Amount
Achieved Precision of
the Difference Amount
UNSTRATIFIED (SIMPLE RANDOM SAMPLE)
RATIO ESTIMATOR
STRATIFIED
COMBINED RATIO ESTIMATOR
Estimated Ratio of Audited Amount to Recorded Amount
Estimate of Total Audited Amount
Estimated Standard Deviation of the Ratio
Estimated Standard Deviation of the Ratio in i
th
Stratum
Estimated Standard Error of the Ratio Amounts
Achieved Precision of the Ratio Amounts
September 12, 20113242011–37 I.R.B.

UNSTRATIFIED (SIMPLE RANDOM SAMPLE)
REGRESSION ESTIMATOR
STRATIFIED
COMBINED REGRESSION ESTIMATOR
Estimated Regression Coefficient
Estimate of Total Audited Amount
Estimated Standard Deviation of the Regression Amounts
Estimated Covariance between the Audited and Recorded Amounts in i
th
Stratum
Estimated Standard Deviation between the Audited and Recorded Amounts in i
th
Stratum
Estimated Standard Error of the Audited and Recorded Amounts
Achieved Precision of the Audited and Recorded Amounts
2011–37 I.R.B.325September 12, 2011

Definition of Symbols
TERMDEFINITION
nSampleSize
NPopulation Size
xThe value of the sampling unit that is being used as the primary variable of interest. In audit sampling,
this would be the audited (or revised) value of the transaction.
yThe value of the sampling unit that is being used as the “paired” variable that is related to the variable
of interest. In audit sampling, this would be the reported (or original) value of the transaction.
dThe value of the sampling unit that is the difference between “paired” variable (y) and the variable
of interest (x). That is, d = x - y. In audit sampling, this would be the difference (or the change)
of each transaction’s value.
XThe total value of the primary variable of interest. In audit sampling, this would be the estimated total
audited value of the population. Typically, this value is not known for the entire population and is
estimated based on the statistical sample selected.
YThe total value of the variable that is paired with variable of interest. In audit sampling, this would be
the total reported value of the population. Typically, this value is known for the entire population and
may be estimated based on the statistical sample selected.
DThe total value of the difference between the “paired” variable and the variable of interest. In audit
sampling, this would be the estimated total difference of the population. Typically, this value is not
known for the entire population and is estimated based on the statistical sample selected.
U
R
The confidence coefficient which is based on either the Student’s t-distribution or the normal
distribution. For example, a 95% one-sided confidence coefficient based on the normal distribution is
1.645. This term is often referred to as the t-value and the z-value.
26 CFR 1.263(a)–1: Capital expenditures; in gen-
eral.
(Also: §§ 162 and 446.)
Rev. Proc. 2011–43
SE
CTION 1. PURPOSE
This revenue procedure provides a safe
harbor method of accounting that taxpay-
ers may use to determine whether expendi-
tures to maintain, replace, or improve elec-
tric transmission and distribution property
must be capitalized under § 263(a) of the
Internal Revenue Code. This revenue pro-
cedure also provides procedures for ob-
taining automatic consent to change to the
safe harbor method of accounting.
SECTION 2. BACKGROUND
.01 Taxpayers that transmit and distrib-
ute electricity incur significant expendi-
tures to maintain, replace, and improve
transmission and distribution property.
Whether these expenditures are deductible
as repairs under § 162 or must be capi-
talized as improvements under § 263(a)
depends on whether the expenditures ma-
terially increase thevalue of the property
or substantially prolong its useful life.See
§ 1.162–4 of the Income Tax Regulations.
Applying capitalization principles to elec-
tric transmission and distribution property
can be particularly difficult, largely be-
cause the property consists of a network of
interconnected items such as poles, con-
ductor, and transformers. Taxpayers and
the Internal Revenue Service often do not
agree on which items within this network
constitute discrete units of property and
whether the replacement of a particular
item materially increases the value or sub-
stantially prolongs the useful life of a unit
of property.
.02 To minimize disputes regarding the
deductibility or capitalization of expen-
ditures to maintain, replace, or improve
transmission and distribution property, this
revenue procedure provides a “transmis-
sionanddistributionpropertysafeharbor
method of accounting” for determining
the amount of expenditures required to be
capitalized under § 263(a). This revenue
procedure classifies transmission and dis-
tribution property as either linear property
(for example, conductor, poles) or non-lin-
ear property (for example, transformers,
customer electric meters). For linear prop-
erty, this revenue procedure defines the
appropriate units of property and provides
a simplified method of determining when
the cost of replacing a portion of a unit
of linear property must be capitalized.
For non-linear property, this revenue pro-
cedure defines the appropriate units of
property but does not provide a simplified
method of determining when the cost of
replacing a portion of a unit of non-linear
property must be capitalized. Taxpayers
must follow the principles of § 263(a) to
determine whether the replacement of a
portion of a non-linear unit of property is
deductible or capitalizable. This revenue
procedure also identifies certain expen-
ditures that areper setreated as capital
expenditures.
.03 A taxpayer’s method for determin-
ing whether an expenditure is deductible
September 12, 20113262011–37 I.R.B.

or is capitalizable is a method of ac-
counting under § 446. Section 446(e)
and § 1.446–1(c) require taxpayers to
secure the consent of the Commissioner
before changing a method of accounting
for federal income tax purposes. Section
1.446–1(e)(3)(ii) authorizes the Commis-
sioner to prescribe administrative proce-
dures setting forth the limitations, terms,
and conditions necessary to permit a tax-
payer to obtain consent to change a method
of accounting.
SECTION 3. SCOPE
This revenue procedure applies to a tax-
payer that—
(1) has a depreciable interest in elec-
tric transmission or distribution property
(as described in section 4 of this revenue
procedure) used primarily to transport, de-
liver, or sell electricity; and
(2) applies the transmission and dis-
tribution property safe harbor method of
accounting provided in this revenue pro-
cedure to all of its electric transmission
and distribution property as defined in this
revenue procedure. The determination of
whether a taxpayer is within the scope of
this revenue procedure is made by each
member of a consolidated group, by a part-
nership, or by an S corporation.
SECTION 4. DEFINITIONS
The following definitions apply solely
for purposes of this revenue procedure:
.01Linear property. “Linear property”
means all electric transmission and dis-
tribution property except non-linear prop-
erty.
.02Non-linear property. “Non-linear
property” means all electric transmission
and distribution property that is substa-
tion property, storage battery property, line
transformers, customer electric meters (in-
cluding smart electric meters), or property
installed on a customer’s premises.
.03Electric transmission and distribu-
tion property. “Electric transmission and
distribution property” means real and per-
sonal property that is used to conduct and
control electricity at any point between
an electric generating station and the lo-
cation of consumption of the electricity
by the customer. The electric generating
station is not included in this definition.
Examples include wires (conductor), tow-
ers, poles, structures and fittings mounted
on towers and poles, electrical interrupters
(such as circuit breakers, fuses, and other
switches), transformers, capacitors, instru-
mentation, security structures, and pads on
which equipment is mounted. In addition
and solely for the purposes of this revenue
procedure, electric transmission and dis-
tribution property includes (a) street light-
ing and (b) traffic and similar signal sys-
tems. Electric transmission and distribu-
tion property does not include personal or
real property, such as a corporate office
building, not directly used to conduct and
control electricity.
.04Substation property. “Substation
property” means transformers and devices
(such as fuses, breakers, other switches,
insulators, fencing, walls, and enclosures
or other structures) that are installed at an
electrical substation,i.e., a subsidiary sta-
tion of an electricity generation, transmis-
sion, and distribution system where volt-
age is transformed from high to low, or the
reverse, using transformers.
.05Storage battery property.“Storage
battery property” means one or more in-
terconnected batteries and the devices that
connect the batteries to other transmission
and distribution property.
.06Line transformer.“Linetrans-
former” means the electrical device that
causes an interim or final reduction of
the voltage of electricity to the voltage at
which the electricity is delivered to one
or more customers. Line transformers are
typically located on a pole when overhead
serviceisprovidedorinaboxorvault
when underground service is provided. A
transformer located at a substation is not a
line transformer.
.07Customer electric meter.“Cus-
tomer electric meter” means the device
that measures the amount of electricity
delivered to a customer. In addition to tra-
ditional electric meters, this term includes
smart electric meters, advanced electric
meters that enable two-way communica-
tion between the electric meter and the
central system for monitoring and billing
purposes.
.08Propertyinstalledonacustomer’s
premises. “Property installed on a cus-
tomer’s premises” means the devices,
such as electrical usage controls on appli-
ances, which are owned by the taxpayer
but installed on property owned by the
taxpayer’s customer (excluding customer
electric meters).
.09Circuit. “Circuit” means the linear
property: (1) betweena generating station
and the initial substation; (2) between any
two substations; or (3) between the final
substation (the last substation before the
line transformer) and the customer’s elec-
tric meter.
.10Blanket work order procedure.
“Blanket work order procedure” means a
procedure under which a taxpayer charges
multiple replacements over a specific pe-
riod of time to a single work order.
SECTION 5. TRANSMISSION AND
DISTRIBUTION PROPERTY SAFE
HARBOR METHOD OF ACCOUNTING
.01In general. A taxpayer using the
transmission and distribution property
safe harbor method provided by this rev-
enue procedure must determine its units
of transmission and distribution property
as provided in section 5.02 of this revenue
procedure. For each replacement of a
portion of a unit of linear property, the tax-
payer must determine whether more than
10 percent of the unit of linear property is
replaced. If more than 10 percent of the
unit of linear propertyis replaced, the cost
of the replacement must be capitalized. If
10 percent or less of the unit of property is
replaced, the cost of the replacement is not
required to be capitalized under § 263(a).
In general, individual replacements within
a circuit are not aggregated in determining
the percentage of a unit of linear prop-
erty replaced. But see section 5.04 of this
revenue procedure for situations where
aggregation is required. The safe harbor
method described in this section 5 pro-
vides the exclusive means for taxpayers
using the transmission and distribution
property safe harbor method to determine
whether an expenditure for linear property
is deductible or must be capitalized.
.02Units of property.
(1)Units of linear property.Forpur-
poses of this revenue procedure, the “unit
of linear property” is determined on a cir-
cuit-by-circuit basis; each circuit contains
the following eight units of linear property:
(a) All conductor and any associated de-
vices, whether overhead or underground,
used to conduct electricity (not includ-
ing customer service lines and substation
2011–37 I.R.B.327September 12, 2011

property) constitute a single unit of linear
property.
(b) All towers and poles and all struc-
tures and fittings mounted on towers and
poles (“fully-dressedpoles”) (not includ-
ing the line transformers) constitute a sin-
gle unit of linear property.
(c) All underground conduit constitutes
a single unit of linear property.
(d) All boxes and vaults, and structures
and fittings mounted in boxes or vaults
(not including the line transformers) con-
stitute a single unit of linear property.
(e) All the customer service drops (the
conductor and any associated devices run-
ning from a utility pole or underground box
or vault to a customer’s building or other
premises) constitute a single unit of linear
property.
(f) All the street lighting constitutes a
single unit of linear property.
(g) All the traffic and similar signal sys-
tems constitute a single unit of linear prop-
erty.
(h) All the smart grid property (as de-
fined in § 168(i)(19)(B)) not located at a
substation (including access points, relays,
and e-bridges, but excluding smart electric
meters) constitutes a single unit of linear
property.
(2)Unitsofnon-linearproperty.For
purposes of this revenue procedure, the
following are the units of property for non-
linear property:
(a) Each transformer at a substation
constitutes a single unit of non-linear
property.
(b) All fencing, walls, enclosures, other
structures surrounding each substation
or supporting the substation electrical
devices (excluding enclosures or build-
ings suitable for occupation), and land
improvements that are not properly capi-
talized to land constitute a single unit of
non-linear property.
(c) Each set of installed storage battery
property constitutes a single unit of non-
linear property.
(d) All smart grid property, as defined
in § 168(i)(19)(B), located at each substa-
tion constitutes a single unit of non-linear
property.
(e) All other electrical devices at each
substation, such as fuses, breakers, other
switches, regulators, insulators, meters,
and the pad on which the equipment is
installed constitute a single unit of non-lin-
ear property.
(f) Each line transformer constitutes a
single unit of non-linear property.
(g) Each customer electric meter (in-
cluding each smart electric meter) consti-
tutes a single unit of non-linear property.
(h) All other property installed on each
customer’s premises (i.e.,all installations
on a single premises) constitutes a single
unit of non-linear property.
.03Determining the percentage of a
unit of linear property replaced.
(1)In general. The percentage of a unit
of linear property replaced is determined
based on the number of items (or other
denominating factor) existing in a unit of
property at the beginning of a taxable year
as follows:
(a) For conductor and associated de-
vices used to conduct electricity (not in-
cluding customer service lines), the num-
ber of feet of conductor replaced is divided
by the number of feet of conductor in the
unit of property (forexample, if 100 feet of
conductor is replaced in a circuit that con-
tains 2,000 feet of conductor, the percent-
age of the conductor replaced is 5 percent
[100 / 2,000 = .05]).
(b) For poles and towers, the number of
poles and towers replaced is divided by the
number of poles and towers in the unit of
property.
(c) For underground conduit, the num-
ber of feet of conduit replaced is divided
by the number of feet of conduit in the unit
of property.
(d) For boxes and vaults, the number of
boxes and vaults replaced is divided by the
number of boxes and vaults in the unit of
property.
(e) For customer service drops, the
number of customer service drops replaced
is divided by the number of customer ser-
vice drops in the unit of property.
(f) For street lighting, the number of
street lights replaced is divided by the
number of street lights in the unit of prop-
erty.
(g) For traffic and similar signal sys-
tems, the number of traffic and similar sig-
nals replaced is divided by the number of
traffic and similar signals in the unit of
property.
(h) For smart grid property as defined in
§168(i)(19)(B), butexcluding smart elec-
tric meters as defined in § 168(i)(18)(B),
the historical cost of smart grid devices re-
placed is divided by the historical cost of
the smart grid unit of property.
(2)Per se capital expenditures ex-
cluded. For purposes of determining
whether more than 10 percent of a unit of
linear property is replaced, replacements
that are required to be capitalized under
section 5.06 of this revenue procedure are
excluded (i.e., per secapital expenditures
are not included in either the numerator or
the denominator of the ratio used to deter-
mine the percentage of a unit of property
replaced).
(3)Transition rule. For the first three
taxable years ending on or after Decem-
ber 31, 2010, a taxpayer using the trans-
missionanddistributionpropertysafehar-
bor method provided by this revenue pro-
cedure may determine the percentage of a
unit of linear property replaced on the ba-
sis of an average circuit within a county.
.04Aggregation requirement.
(1)Aggregation rule.For purposes of
determining whether more than 10 percent
of the unit of linear property is replaced, a
taxpayer must aggregate multiple replace-
ments within a circuit if—
(a) the replacements are initiated at the
same time;
(b) the replacements are required by the
occurrence of a single event; or
(c) a regulatory commission decision
authorizes the replacements as part of an
identified program aimed at a specific pur-
pose.
(2)Initiated at the same time.Spe-
cific multiple replacements are initiated at
the same time by any action that provides
the final approval for the physical con-
duct of the replacements. In general, such
final approval includes the issuance of a
work order under the taxpayer’s operating
procedures that authorizes workers to per-
form the replacements. However, work or-
ders that authorize a replacement before
the need for the replacement is identified
by the taxpayer, such as a blanket work or-
der, do not constitute final approval for the
physical conduct of the replacement.
.05Special rules for blanket work or-
ders.
(1)Allocation of costs among circuits.
A taxpayer that uses a blanket work order
procedure may use the following simplify-
ing assumptions for purposes of determin-
ing whether more than 10 percent of the
unit of linear property in a circuit is re-
placed:
(a) A taxpayer that replaces property in
multiple circuits and charges the replace-
September 12, 20113282011–37 I.R.B.

ments to a single blanket work order may
allocate the replacements among the mul-
tiple circuits either (1) on apro-ratabasis
(equally among the circuits) or (2) propor-
tionately based on the length of each cir-
cuit.
(b) A taxpayer whose blanket work
order procedure uses a standard cost ac-
counting system may determine the num-
ber of replacements charged to a blanket
work order by dividing the total cost of
replacements charged to the blanket work
order by the applicable standard cost.
(c) A taxpayer whose blanket work
order system accumulates the dollars ex-
pended under the blanket work order, but
not the quantity of replacements, may de-
termine the percentage of a unit of linear
property replaced bydividing the total
dollar amount charged to the blanket work
order for replacements to the linear unit of
property over a fixed period of time by the
total replacement cost of the whole unit of
linear property. The fixed period of time
used for the calculation cannot exceed one
year.
(2)Blanket work order de minimis rule.
A taxpayer that adheres to a policy that
limits per-event charges under a blanket
work order procedure to replacements of
property costing $50,000 or less is not re-
quired to capitalize the costs of linear prop-
erty replacements charged to the blanket
work order.
.06Per se capital expenditures.Thefol-
lowing expenditures must be capitalized,
notwithstanding any other provision of this
revenue procedure:
(1) The costs of replacing overhead
conductor with underground conductor
within a circuit, regardless of the per-
centage of conductor inthe circuit that is
replaced.
(2) The costs of property necessary to
add one or more new customers.
(3) The costs of property that materi-
ally increases rated capacity (i) in a unit of
property or (ii) to one or more customers.
(4) The costs of property that extends an
existing circuit.
.07CLADR percentage repair al-
lowance exclusion.An eligible taxpayer
that changes its treatment of transmission
and distribution property expenditures to
adopt the safe harbor method described
in this revenue procedure may not elect
the Class Life Asset Depreciation Range
System (ADR) repair allowance under
§ 1.167(a)–11(d)(2) in any taxable year
that the taxpayer uses the safe harbor
method permitted under this revenue pro-
cedure. In addition, for any taxable year
in which the § 1.167(a)–11(d)(2) repair
allowance election was made, the safe
harbor method described in section 5.01
of this revenue procedure may not be
applied to change the taxpayer’s treat-
ment of property to which the taxpayer
elected to apply the repair allowance under
§ 1.167(a)–11(d)(2).
.08Statistical sampling. By following
the sampling procedures provided in Rev.
Proc. 2011–42, taxpayers adopting the
safe harbor method of accounting pro-
vided in this revenue procedure may use
statistical sampling to determine whether
costs to maintain, replace, and improve
transmission and distribution property
are deductible as repairs under § 162 or
must be capitalized as improvements un-
der § 263(a). Sampling methodologies
not described in Rev. Proc. 2011–42 are
not permitted under the transmission and
distribution property safe harbor method
of accounting.
SECTION 6. EXAMPLES
The following examples illustrate the
application of this revenue procedure. In
each example, it is assumed thatX, the tax-
payer, files its federal income tax return on
a calendar year basis and uses the transmis-
sionanddistributionpropertysafeharbor
method of accounting provided by this rev-
enue procedure.
Example 1.OnJuly20ofYear1,Xreceived au-
thorization from its regulatory commission to replace
a number of defective poles in CircuitA, which con-
sists of 2,000 poles in total. On July 21 of Year 1,
Xapproves the replacement of and replaces three of
the defective poles. On July 22 of Year 1,Xapproves
the replacement of and replaces two additional defec-
tive poles. Although final approval of the July 21 and
July 22 replacements occurred on different days, the
replacements are aggregated because the replacement
of all five poles was required by a single event, the
July 20 authorization.X’s cost of replacing the five
poles is currently deductiblebecause the replacement
of five poles represents 0.25 percent of the poles in
CircuitA, which is 10 percent or less of the poles in
the circuit.
Example 2. In addition to the facts provided in
Example 1, in response to a regulatory commission
decision rendered in a prior year to replace utility
poles with fungus damage, between November 1 of
Year 1 and January 21 of Year 2,Xreplaces 500
poles in CircuitA.Xauthorized the replacement of the
500 poles through the issuance of two work orders:
one that authorized the replacements made in Year 1
and another that authorized the replacements made in
Year 2. The replacements are aggregated, however,
because the replacement of all 500 poles was required
by the regulatory commission decision.X’s costs of
replacing the 500 poles are capital expenditures be-
cause the replacement of 500 poles represents 25 per-
cent of the poles in CircuitA, which is more than 10
percent of the poles in the circuit.
Example 3. In addition to the facts provided in
Examples 1 and 2, during a routine inspection of Cir-
cuitA,Xdetermined that 50 poles were unstable.X
replaces the 50 unstable poles on December 15 of
Year 1. The pole replacement project was authorized
by managers on the day the work crews were assigned
and the poles were replaced.X’s costs of replacing the
50 poles are currently deductible because the replace-
ment of 50 poles represents 2.5 percent of the poles
in the circuit, which is 10 percent or less of the poles
in the circuit.
Example 4. In addition to the facts provided in
Examples 1–3, CircuitAcontains five miles (26,400
feet) of overhead conductor. During Year 1,Xiniti-
ates two separate projects: one to replace 2,000 feet
of overhead conductor with new overhead conductor
and one to replace 150 feet of overhead conductor
with underground conductor.X’s costs of replacing
the 2,000 feet of overhead conductor are currently de-
ductible because the replacement of 2,000 feet of con-
ductor represents 7.6 percent of the conductor in Cir-
cuitA, which is 10 percent or less of the conductor in
CircuitA.X’s costs of replacing 150 feet of overhead
conductor with underground conductor are capital ex-
penditures because, even thoughX
replaced less than
0.6 percent of the conductor in CircuitA,thecostsof
replacing overhead conductor with underground con-
ductor must be capitalized. If these two replacement
projects occurred as part of one single project, the
length of replacement conductor required to be cap-
italized under section 5.06 of this revenueprocedure
would be excluded from both the numerator and the
denominator of the ratio used to determine the per-
centage of conductor replaced in CircuitA.
Example 5.Xuses a blanket work order sys-
tem under which certain replacements or additions
are charged to blanket work orders.Xfollows its pol-
icy limiting per event charges to blanket work orders
to replacements of linear property costing $50,000
or less. The cost of linearproperty replacements
charged on these blanket work orders are accumu-
lated over the full tax year and then are charged to
X’s accounts. In Year 1,Xcharges $800,000 of linear
property replacements to blanket work orders. Be-
causeXadheres to a policy that limits the per event
charges to blanket work orders to replacements of lin-
ear property costing $50,000 or less,Xmay deduct the
$800,000 of linear property replacements charged to
the blanket work orders in Year 1.
Example 6.Xowns CircuitB, which serves at
the outer edge of a growing residential community.
A plat exists for housing developmentP,onwhich
construction has not begun. CircuitBcontains 2,000
poles. On March 1 of Year 1,Xreceives authoriza-
tion to extend CircuitBto serve housing development
P.Xextends CircuitBbetween May and September
of Year 1, placing 180 poles into service as part of
CircuitB.X’s costs of placing 180 poles into service
as part of CircuitBare capital expenditures because,
even thoughXincreased the number of poles in Cir-
2011–37 I.R.B.329September 12, 2011

cuitBby less than 10 percent, the costs of extending
an existing circuit must be capitalized.
SECTION 7. CHANGE IN METHOD
OF ACCOUNTING
.01In general. A change to the trans-
mission and distribution property safe har-
bor method described in this revenue pro-
cedure is a change inmethod of account-
ing to which the provisions of §§ 446 and
481, and the regulations thereunder, ap-
ply. A taxpayer that wants to change to
the method of accounting described in this
revenue procedure must use the automatic
change in method ofaccounting provisions
in Rev. Proc. 2011–14, or its successor, as
modified by this revenue procedure.
.02Statistical sampling and extrapola-
tion. Taxpayers adopting the safe harbor
method of accounting provided in this rev-
enue procedure may use statistical sam-
pling to determine the § 481(a) adjustment
amount attributableto any single taxable
year by following the sampling procedures
provided in Rev. Proc. 2011–42. In ad-
dition, taxpayers adopting the safe harbor
method of accounting provided in this rev-
enue procedure may extrapolate results to
determine the § 481(a) adjustment amount
for certain years by following the relevant
procedures provided in Appendix A to this
revenue procedure. Sampling or extrapo-
lation methodologiesnot described in Rev.
Proc. 2011–42 or Appendix A to this rev-
enue procedure are not permitted under the
safe harbor method of accounting.
.03Automatic change.Rev.Proc.
2011–14 is modified to add new section
3.09 to the APPENDIX, to read as follows:
.09Method of accounting under Rev.
Proc. 2011–43 for taxpayers in the busi-
ness of transporting, delivering, or selling
electricity.
(1)Description of change. This change
applies to a taxpayer that is within the
scope of Rev. Proc. 2011–43 and wants
to change its treatmentof transmission and
distribution property expenditures to adopt
the method of accounting described in Rev.
Proc. 2011–43.
(2)Waiver of scope limitations.The
scopelimitationsinsection4.02ofthis
revenue procedure do not apply to an elec-
tric transmission or distribution company
that changes to the method of accounting
provided in Rev. Proc. 2011–43 for its
first or second taxable year ending after
December 30, 2010.
(3)Section 481(a) adjustment.Atax-
payer must take the entire net § 481(a) ad-
justment into account (whether positive or
negative) in computing taxable income in
the year of change. The § 481(a) adjust-
ment shall not include any amount attrib-
utable to property for which the taxpayer
elected to apply the repair allowance under
§ 1.167(a)–11(d)(2) for any taxable year in
which the election was made. For guid-
ance regarding permissible § 481(a) cal-
culation methodologies, see Rev. Proc.
2011–43, section 7.02 and Appendix A.
(4)Ogden copy of Form 3115 required
in lieu of national office copy. A taxpayer
changing its methodof accounting under
section 3.09 of the APPENDIX must file
a signed copy of its completed Form 3115
with the IRS in Ogden, UT, (Ogden copy)
in lieu of filing the national office copy
no earlier than the first day of the year
of change and no later than the date the
taxpayer files the original Form 3115 with
its federal income tax return for the year
of change.Seesections 6.02(3)(a)(ii)(B)
(providing the general rules) and section
6.02(7)(b) (providing the mailing address)
of this revenue procedure.
(5)Designated automatic accounting
method change numbers. The designated
automatic accounting method change
number for a change to the method of ac-
counting provided in Rev. Proc. 2011–43
is “160.”
(6)Contact information. For further
information regarding a change under this
section, contact Alan S. Williams at (202)
622–4950 (not a toll-free call).
SECTION 8. EFFECT ON OTHER
DOCUMENTS
Rev. Proc. 2011–14 is modified to in-
clude the accounting method change in this
revenue procedure in section 3 of the Ap-
pendix.
SECTION 9. EFFECTIVE DATE
This revenue procedure is effective
for taxable years ending on or after
December 31, 2010.
SECTION 10. DRAFTING
INFORMATION
The principal author of this revenue
procedure is Alan S. Williams of the Office
of Associate Chief Counsel (Income Tax
and Accounting). For further information
regarding this revenue procedure, contact
Alan S. Williams at 202–622–4950 (not a
toll-free call).
September 12, 20113302011–37 I.R.B.

APPENDIX A
Sampling and Extrapolation Guidance
SECTION 1. INTRODUCTION
.01In general. This appendix provides an extrapolation methodology aneligible taxpayer may use toadopt the safe harbor method
of accounting provided by this revenue procedure.
.02Statistical sampling. A taxpayer who either is filing an original return oris under examination may use statistical sampling
and sampling estimates, as provided in Rev. Proc. 2011–42, as part of the safe harbor method of accounting provided in this revenue
procedure.
.03Extrapolation. A taxpayer desiring to change its treatment of transmission and distribution property expenditures to adopt the
safe harbor method of accounting described in this revenue procedure may use the extrapolation procedures provided in this Appendix
A for purposes of determining the proper § 481(a) adjustment resulting from properly making a change in method of accounting. The
extrapolation methodology described in this Appendix A provides the exclusive extrapolation methodology that is permitted under
the safe harbor method of accounting provided in this revenue procedure.
SECTION 2. EXTRAPOLATION METHODOLOGY
.01In general. A taxpayer using the safe harbor method of accounting provided by this revenue procedure may use the extrapo-
lation procedures provided in this Appendix A for purposes of redetermining, in connection with calculating a § 481(a) adjustment,
whether costs to maintain, replace, and improve transmission and distribution property are deductible as repairs under § 162 or must
be capitalized as improvements under § 263(a).
.02Calculation methodology. In order to determine the amount of the § 481(a) adjustment for a year in which extrapolation is
applied, the following calculation methodology must be utilized:
(1) First, a repair deduction percentage shall be computed as follows using data from a minimum of the three most recent taxable
years, including the year of change (“testing period”).
(a) For each taxable year of the testing period,the sum of deductible repair expenses under the safe harbor method provided in this
revenue procedure must be reduced by the sum of the repair expenses the taxpayer had taken under its method of accounting prior to
application of the safe harbor. The results of this subtraction are added together into a total sum of additional (or reduced) deductions
resulting from the application of the safe harbor method during the testing period.
(b) The total sum of additional (or reduced) deductions calculated in step (a) is divided by the sum of all capital additions during
the testing period. The resulting ratio represents the weighted average percentage of capitalized additions that are properly treated as
additional (or reduced) deductible repair expenses (“tentative repair deductionpercentage”). For this purpose, to determine the sum
of all capital additions taxpayers shall use capital additions for financial statement purposes.
(c) Multiply the tentative repair deduction percentage by a haircut percentage for each taxable year prior to the testing period for
which the taxpayer will use extrapolation. For each taxable year that extrapolation is used the haircut percentage is determined by
using the formula (1- (0.10*(X/Y))) whereXequals the number of years the extrapolation year precedes the year of change andY
equals the total of number of taxable years in the testing period. The haircut percentage for a taxable year multiplied by the tentative
repair deduction percentage equals the repair deduction percentage for the taxable year.
(2) Second, a repair deduction amount for eachtaxable year outside the testing period (for which extrapolation is being used)
shall be calculated by multiplying the repair deduction percentage for the taxable yearby the capital additionsfor the year (except
property which was subject to the repair allowance under § 1.167(a)–11(d)(2)). For this purpose, capital additions must include all
basis adjustments required by § 1011 (including any applicable audit adjustments for the taxable year) except for the following:
(a) any adjustments that require tax basis to be reduced before depreciation is computed (e.g.,§ 179, § 179D, or similar provisions;
§ 44 and § 46, or similar provisions), and
(b) adjustments described in § 1016(a)(2) and § 1016(a)(3).
(3) Basis adjustments required by § 1011 include, but are not limited to, the following:
(a) adjustments resulting from a change in accounting method permitted under Rev. Proc.2000–7, 2000–1 C.B.227, involving the
treatment of the costs incurred in removing retired assets;
(b) adjustments resulting from a change inthe treatment of capitalized amounts determined under § 263A, including reductions for
additional mixed service costs allocated to inventory and adjustments to account for changes to interest capitalization amounts;
(c) adjustments arising from casualty loss deductions recognized under § 165; and
(d) adjustments resulting from research and experimental expenditures deducted under § 174.
(4) The basis of electric transmission and distribution property calculated after taking into account therepair deduction basis adjust-
ment and other basis adjustments under section 2.02(2) above is thebasis that should be used to determine the deductions allowable
or income tax credits available that require tax basis to be reducedbefore any depreciation is computed (for example, § 179, § 179D,
2011–37 I.R.B.331September 12, 2011

or similar provisions; § 44 and § 46; or similar provisions). The net amount for each asset after the reduction in basis for such de-
ductions and credits is that property’s § 1.168(b)–1(a)(3) unadjusted depreciable basis, which is thebasis before taking into account
§ 1016(a)(2) and (3) adjustments.
(5) For each taxable year in which the § 1.167(a)–11(d)(2) repair allowance election was made, the repair deduction amount deter-
mined in section 2.02(2) of this Appendix A for the taxable year mustexclude additional repairs attributable to property for which the
taxpayer elected to apply the § 1.167(a)–11(d)(2) repair allowance. To determine the amount to exclude from the § 481(a) adjustment,
taxpayers must use a method comparable to the method actually used to allocate qualifiedrepair expenditures to repair allowance
property for that year. For example, if in applying § 1.167(a)–11(d)(2)(b) for the 1997taxable year a taxpayer determined that 73
percent of its 1997 qualified repair expenditures were attributable to eligible repair allowance property, then that same percentage
(73%) must be applied to determine the reduction to the repair deduction amount otherwise calculated under section 2.02(2) of this
Appendix A.
(6) The § 481(a) adjustment must account for any tax credit and depreciation deduction adjustments in each taxable year resulting
from the additional (or reduced) repair deductions claimed under the safe harbor method provided in this revenue procedure.
.03Consecutive year requirement. Under the extrapolation calculation methodology, if sufficient data is available to calculate the
repair deduction percentage for more than three years, the taxpayer may use data from such additional years only if the additional
years are consecutive to the testing period and prior to the year of change.
.04Representative years required. The data from the taxable years used to calculate the repair deduction percentage must be
representative of all years included in the § 481(a) adjustment.
(1) In determining whether the sampled years are representative, a taxpayer must take into account restructuring transactions in-
cluding acquisitions and dispositions, as well as any other events that may have triggered large capital additions.
(2) If events or transactions create an aberration in a sampled year, then consideration should be given to expanding the sampled
years, expanding the number of sample items drawn from that year, or removing the year from the sample.
.05Example.Xchanges its method of accounting to the transmission and distribution property safe harbor method of accounting in 2010.Xuses the extrapolation
methodology provided in section 2 of this Appendix A to determine the amount of its § 481(a) adjustment attributable to taxable years 2007 through 2001.X’s capital
additions for financial statement purposes for 2002 are $10,000. In 2002Xelected to apply the repair allowance under § 1.167(a)–11(d)(2), which applied to 25% of
X’s transmission and distribution property.
Step 1.Xcalculates its tentative repair deduction percentage using data from the three consecutive taxable years 2010, 2009, and 2008. Capital additions for
financial statement purposes properly treated as additional deductible repair expenses resulting from the application of the safe harbor method for 2010, 2009, and 2008
are $500, $300, and $200, respectively. Capital additions for financial statement purposes for 2010, 2009, and 2008 are $ 6,000, $3,000, and $1,000, respectively. The
tentative repair deduction percentage is computed as follows:
$1,000/$10,000= 10%
Step 2.Xcalculates the haircut percentage foreach taxable year that extrapolation is used using the formula (1 - 0.10 * (X/Y)), whereXequals the number of years
the extrapolation year precedes the year of change andYequals the total of number of taxable years in the testing period. The haircut percentage for each taxable year
that extrapolation is used is calculated as follows:
Taxable YearHaircut Percentage Calculation (Step A)Haircut Percentage Calculation (Step B)
20070.10 * (3/3) = 0.101 - 0.10 = 0.90 = 90%
20060.10 * (4/3) = 0.1331 - 0.133 = 0.867 = 86.7%
20050.10 * (5/3) = 0.167
1 - 0.167 = 0.833 = 83.3%
20040.10 * (6/3) = 0.201 - 0.20 = 0.80 = 80%
20030.10 * (7/3) = 0.2331 - 0.233 = 0.767 = 76.7%
20020.10 * (8/3) = 0.2671 - 0.267 = 0.733 = 73.3%
20010.10 * (9/3) = 0.301 - 0.30 = 0.70 = 70%
Step 3.X’s repair deduction percentage for 2002 is 7.33%, which is computed by multiplying the tentative repair deduction percentage (10%) by the haircut
percentage for 2002 (73.3%).
Step 4.X’s repair deduction amount for 2002 before additional tax adjustments andexclusion of additional repairs attributable to property for which the taxpayer
elected to apply the § 1.167(a)-(11)(d)(2) repair allowance is $733 ($10,000 * 7.33%).
Step 5.Xdetermines that tax adjustments reduce the 2002 calculated repair deduction amount by $33.Xreduces the calculated repair deduction amount for 2002
by $33, resulting in a repair deduction of $700 before excluding repair amounts attributable to property for which the taxpayer elected to apply the § 1.167(a)-(11)(d)(2)
repair allowance.
Step 6.Xmust reduce its repair deduction amount for 2002 to exclude additional repairs attributable to property for which the taxpayer elected to apply the
§ 1.167(a)–11(d)(2) repair allowance. In 2002,Xdetermined that 25 percent of its 2002 qualified repair expenditures were attributable to eligible transmission and
distribution property. Therefore,Xreduces the repair deduction amount for 2002 by 25%. Accordingly,Xreduces the $700 calculated through Step 5 by $175 ($700
X 25%), resulting in a repair deduction amount for 2002 of $525 ($700 - $175).
September 12, 20113322011–37 I.R.B.

Step 7. To determine its § 481(a) adjustment amount for 2002,Xmust account for its decreased depreciation deductions resulting from the additional $525 of
deductible repair expenditures resulting from the application of the safe harbor method. Assuming that the additional $525 of deductible repair expenditures for 2002
results in a $300 reduction in depreciation deductions through the year of change,X’s § 481(a) adjustment amount attributable to 2002 is negative $225 (-$525 + $300).
2011–37 I.R.B.333September 12, 2011

Part IV. Items o
fGeneralInterest
Notice of Prop
osed
Rulemaking by
Cross-Refere
nce to
Temporary Re
gulations
and Notice of
Public Hearing
Modificatio
ns of Certain
Derivative
Contracts
REG–109006–11
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Noti
ce of proposed rulemaking
by cross-re
ference to temporary regula-
tions and no
tice of public hearing.
SUMMARY: In this issue of the Bulletin,
the IRS is issuing temporary regulations
(T.D. 9538) relating to whether an ex-
change for purposes of §1.1001–1(a)
occurs for the nonassigning counterparty
when there is an assignment of certain
derivative contracts. The text of those
regulations also serves as the text of these
proposed regulations. This document also
provides notice of a public hearing on
these proposed regulations.
DATES: Written or electronic comments
must be received by October 20, 2011.
Outlines of topics to be discussed at the
public hearing scheduled for October 27,
2011, must be received by October 20,
2011.
ADDRESSE
S: Send submissions to:
CC:PA:LP
D:PR(REG–109006–11),
room 520
3, Internal Revenue Ser-
vice, PO
Box 7604, Ben Franklin Sta-
tion, Wa
shington, DC 20044. Submis-
sions ma
y be hand-delivered Monday
through
Friday between the hours of 8
a.m. and
4p.m. toCC:PA:LPD:PR
(REG–1
09006–11), Courier’s Desk, Inter-
nal Rev
enue Service, 1111 Constitution
Avenue
,N.W.,Washington,DC,orsent
electr
onically, via the Federal eRulemak-
ing Por
tal atwww.regulations.gov(IRS
REG–1
09006–11). The public hearing
will b
e held in the IRS Auditorium,
Inter
nal Revenue Building, 1111
Const
itution Avenue, N.W., Washington,
DC.
FOR FURTHER IN
FORMATION
CONTACT: Conc
erning the proposed
regulations,
Andrea M. Hoffenson, (202)
622–3920; con
cerning submissions of
comments, the
hearing, and/or to be placed
on the buildi
ng access list to attend the
hearing, Olu
wafunmilayo (Funmi) Taylor,
(202) 622–71
80 (not toll-free numbers).
SUPPLEMENTA
RY INFORMATION:
Background a
nd Explanation of
Provisions
Temporary r
egulations in this issue of
the Bulleti
n amend the Income Tax Regu-
lations (26
CFR part 1) relating to section
1001. The te
mporary regulations provide
that the tra
nsfer or assignment of a deriva-
tive contr
act in certain situations is not an
exchange t
o the nonassigning counterparty
for purpos
es of §1.1001–1(a). The text of
the tempor
ary regulations also serves as
the text of
these proposed regulations. The
preamble
to the temporary regulations ex-
plains th
eamendments.
Special A
nalyses
It has bee
n determined that this notice
of propos
ed rulemaking is not a significant
regulato
ry action as defined in Executive
Order 128
66. Therefore, a regulatory
assessm
ent is not required. It also has
been det
ermined that section 553(b) of the
Adminis
trative Procedure Act (5 U.S.C.
chapter
5) does not apply to these reg-
ulatio
ns, and because the regulations do
not imp
ose a collection of information on
small e
ntities, the Regulatory Flexibility
Act (5 U
.S.C. chapter 6) does not apply.
Pursua
nt to section 7805(f) of the Internal
Reven
ue Code, this notice of proposed
rulem
aking has been submitted to the
Chief
Counsel for Advocacy of the Small
Busin
ess Administration for comment on
its im
pact on small businesses.
Comme
nts and Public Hearing
Befor
e these proposed regulations are
adopt
ed as final regulations, consideration
will
be given to any written comments
(a si
gned original and eight (8) copies)
or el
ectronic comments that are submitted
time
ly to the IRS. The IRS and the Trea-
sury
Department specifically request com-
ments on the cl
arity of the proposed rule
andhowitmayb
e made easier to under-
stand. All com
ments will be available for
public inspec
tion and copying.
A public heari
ng has been scheduled
forOctober27
, 2011, beginning at 10 a.m.
in the IRS Audi
torium, Internal Revenue
Building, 11
11 Constitution Avenue,
N.W., Washin
gton, DC. Due to building
security pro
cedures, visitors must enter
through the C
onstitution Avenue entrance.
In addition
, all visitors must present
photo ident
ification to enter the building.
Because of a
ccess restrictions, visitors
will not be a
dmitted beyond the immediate
entrance a
rea more than 30 minutes before
the hearin
g starts. For information about
having you
r name placed on the building
access lis
t to attend the hearing, see the
“FOR FURTH
ER INFORMATION
CONTACT”
section of this preamble.
The rules
of 26 CFR 601.601(a)(3) ap-
plytothe
hearing. Persons who wish to
present o
ral comments at the hearing must
submit wr
itten or electronic comments and
an outlin
e of the topics to be discussed and
the time
to be devoted to each topic (signed
origina
l and eight (8) copies) by Thursday,
October
20, 2011. A period of 10 minutes
will be a
llotted to each person for making
comment
s. An agenda showing the sched-
uling o
f the speakers will be prepared af-
ter the
deadline for receiving outlines has
passed
. Copies of the agenda will be avail-
able fr
ee of charge at the hearing.
Drafti
ng Information
The pri
ncipal author of these regula-
tions i
s Andrea M. Hoffenson, Office of
Assoc
iate Chief Counsel (Financial Insti-
tutio
ns and Products). However, other
perso
nnel from the IRS and the Treasury
Depar
tment participated in their develop-
ment.
*****
Proposed Amendments to the
Regulations
Accordingly, 26 CFR part 1 is proposed
to be amended as follows:
September 12, 20113342011–37 I.R.B.

PART 1—INCOME TAXES
Paragraph 1. The authority citation for
part 1 continues to read in part as follows:
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 1.1001–4 is revised to
read as follows:
§1.1001–4 Modifications of certain
derivative contracts.
[The text of the proposed amendments
to §1.1001–4 is the same as the text for
§1.1001–4T(a) through (d) published else-
where in this issue of the Bulletin].
Steven T. Miller,
Deputy Commissioner for
Services and Enforcement.
(Filed by the Office of the Federal Register on July 21, 2011,
8:45 a.m., and published in the issue of the Federal Register
for July 22, 2011, 76 F.R. 43957)
List of Nonbank Trustees and
Custodians
Announcement 2011–59
The following is a list of entities that
have been approved by the Commis-
sioner of Internal Revenue, pursuant to
§ 1.408–2(e) of the Income Tax Regula-
tions, to serve as a nonbank trustee or cus-
todian. This list updates and supersedes
the list published with Announcement
2007–47, 2007–1 C.B. 1260.
Archer medical savings accounts
(Archer MSAs) established under § 220 of
the Internal Revenue Code, health savings
accounts described in§ 223, custodial
accounts of retirement plans qualified un-
der § 401, custodial accounts described
in § 403(b)(7), trust or custodial accounts
of individual retirement accounts (IRAs)
established under §§ 408 and 408A (Roth
IRAs), Coverdell education savings ac-
counts described in §530, and custodial
accounts of eligible deferred compensa-
tion plans described in § 457(b) will not be
tax-exempt if the trustee or custodian of
such accounts is not a bank (as defined in
§408(n),andinthecaseofArcherMSAs
and health savings accounts, a bank within
the meaning of § 408(n) or an insurance
company within the meaning of § 816) or
an approved nonbank trustee or custodian.
An entity that is not a bank (as defined
in § 408(n), and in the case of Archer
MSAs and health savings accounts, a bank
within the meaning of § 408(n) or an in-
surance company within the meaning of
§ 816) must receive approval from the Ser-
vice to serve as a nonbank trustee or cus-
todian. A prospective nonbank trustee or
custodian must file a written application
with the Commissioner of Internal Rev-
enue demonstrating that the requirements
of § 1.408–2(e)(2) through §1.408–2(e)(7)
of the regulations will be met. If the ap-
plication is approved, a written Notice of
Approval will be issued to the applicant.
The Notice of Approval will state the day
on which it becomes effective, and (ex-
cept as otherwise provided therein) will re-
main effective until revoked by the Ser-
vice or withdrawn by the applicant. Enti-
ties that have received such approval from
the Service may also sponsor certain re-
tirement plans, custodial accounts under
§ 403(b)(7) and individual retirement ar-
rangements established under §§ 408 and
408A (See Rev. Proc. 2005–16, 2005–1
C.B. 674, and Rev. Proc. 87–50, 1987–2
C.B. 647, as modified.)
A prospective nonbank trustee or custo-
dian may not accept any fiduciary account
before such Notice of Approval becomes
effective. In addition, a nonbank trustee or
custodian may not accept a fiduciary ac-
count until after the plan administrator or
the person for whose benefit the account is
to be established is furnished with a copy
of the written Noticeof Approval issued to
the applicant.
The continued reliance on a Notice of
Approval is dependent upon the continued
satisfaction of the nonbank trustee require-
ments set forth in the regulations. The
Notice of Approval issued to an applicant
will be revoked if the Commissioner de-
termines that the applicant is unwilling or
unable to administer fiduciary accounts in
a manner consistent with the requirements
of the regulations. Generally, the notice
will not be revoked unless the Commis-
sioner determines that the applicant has
knowingly, willfully or repeatedly failed
to administer fiduciary accounts in a man-
ner consistent with the requirements of the
regulations, or has administered a fidu-
ciary account in a grossly negligent man-
ner.
The written Notice of Approval to serve
as a nonbank trustee or custodian is not an
endorsement of any investment made with
respect to any retirement plan or arrange-
ment handled by the approved nonbank
trustee or custodian. The Internal Revenue
Service does not review or approve invest-
ments.
If the trustee or custodian of an account
described above is not a bank (and in the
case of Archer MSAs and health savings
accounts, a bank or an insurance company)
or an approved nonbank trustee or cus-
todian, the amounts held in such account
(including earned interest) will be deemed
distributed and includible in gross income
in the year(s) the account’s trustee or cus-
todian was not a bank or, if applicable, an
insurance company, or an approved non-
bank trustee or custodian. Contributions
made to such account are not deductible
from gross income and will be disallowed
if claimed on an income tax return.
This list of approved nonbank trustees
and custodians includes names, addresses
and the date each application was ap-
proved.
If an approved nonbank trustee or cus-
todian believes that the information on the
list below is incorrect or incomplete or it
has been improperly omitted from this list,
it may notify the Service in writing of any
changes it proposes to the list. This notifi-
cation should include a copy of the original
Notice of Approval.
The notification should be addressed to:
Internal Revenue Service
SE:T:EP:RA:T1
1111 Constitution Ave. NW – PE
Washington, DC 20224
Drafting Information
The principal author of this announce-
ment is Eric Slack of the Employee Plans,
Tax Exempt and Government Entities
Division. Please contact Mr. Slack at
202–283–9576 (not a toll-free number),
if there are any questions regarding the
publication of this list. Written inquiries
concerning this announcement should be
addressed to the Internal Revenue Service
at the above address.
2011–37 I.R.B.335September 12, 2011

Approved Nonbank Trustees/Custodians as of September 1, 2011
Nonbank Trustees Approved as of September 1, 2011
Name
AddressApproval Date
American Enterprise Investment Services, Inc.
5226 Ameriprise Financial
Center, Minneapolis, MN
55474
8/4/2009
Bank Leumi Le — Israel B.N., Western Hemisphere Regional
Mgt.
420 Lexington Ave., New
York, NY 10170
2/10/1982
Barclays Capital, Inc.200 Park Ave., New York,
NY 10166
12/3/2009
Brethren in Christ FoundationPO Box 290, 413 Grantham
Rd., Grantham, PA 17027
3/25/1983
Charles Schwab & Co., Inc.211 Main Street, San
Francisco, CA 94105–1905
1/8/1982
CIBC World Markets Corporation
425 Lexington Ave., New
York, NY 1001
7/26/1977
Citi Fund Services, Inc.
3425 Stelzer Rd. Columbus,
OH, 43219
12/31/2003
Citigroup Global Markets, Inc.
425 Park Ave., 7
th
Floor,
New York, NY 10027
7/22/1985
Clearview Correspondent Services, LLC8006 Discovery Drive,
Richmond, VA 23229
9/10/2007
Commonwealth of Kentucky
105 Sea Hero Road, Suite 1,
Frankfort, KY 40601–8862
6/5/2006
Comprehensive Investment ServicesOne Moody Plaza,
Galveston, TX 77550
6/16/2000
Croatian Fraternal Union Of America100 Delaney Drive,
Pittsburgh, PA 15235
10/12/2006
D.A. Davidson & Co.Davidson Building #8 Third
Street North, Great Falls, MT
59403
6/11/1982
Davenport & Co. of Virginia, Inc.901 E. Cary Street,
Richmond, VA 23219
2/2/1987
Davenport & Company LLC901 E. Cary Street,
Richmond, VA 23219
3/31/1997
Deutsche Bank Securities Inc.1 South Street, Baltimore,
MD 21203
4/11/1994
E*Trade Clearing LLC
135 East 57
th
Street, New
York, NY 10022
9/3/2002
Edward D. Jones & Co., L.P.201 Progress Parkway,
Maryland Height, MO 63043
5/30/1985
First Clearing, LLC (FKA First Clearing Corporation)One North Jefferson Ave.
(MO–3870), St. Louis, MO
63103
5/30/2003
September 12, 20113362011–37 I.R.B.

Gleacher & Company Securities, Inc.677 Broadway, Albany, NY
12207
9/26/1979
Goldman, Sachs & Co.200 West Street, New York,
NY 10282
12/8/1982
Goldman Sachs Execution and Clearing, L.P.200 West Street, New York,
NY 10282
3/29/1996
Greater Beneficial Union of Pittsburgh
4254 Clairton Blvd.,
Pittsburgh, PA 15227–3394
9/24/2004
Greek Catholic Union of the U.S.A.
5400 Tuscarawas Rd.,
Beaver, PA 15009–9513
5/24/2000
GuideStone Trust Services2401 Cedar Springs Rd.,
Dallas, TX 75202–1498
4/10/2001
H.G. Wellington & Co., Inc.140 Broadway, New York,
NY 10005
9/13/1993
Hartford Life Insurance Co.One Hartford Plaza,
Hartford, CT 06155
3/3/1982
Hartford Securities Distribution Company200 Hopmeadow Street,
Simsbury, CT 06089
3/9/2006
HealthEquity, Inc.
15 West Scenic Pointe Drive,
Suite 400, Draper, UT 84020
2/27/2006
Illinois Mutual Life Insurance Company300 Southwest Adams Street,
Peoria, IL 61634
12/31/2003
ING Direct Investing, Inc.83 South King Street, Suite
700, Seattle, WA 98104
4/15/2003
ISDA Fraternal Association419 Wood St., Pittsburgh, PA
15222
10/28/2004
Isler Northwest, LLC1300 SW Fifth Ave.,
Suite 2900, Portland, OR
97201–5636
10/5/1978
J.J.B. Hilliard, W.L. Lyons, LLC
500 W. Jefferson Street,
Louisville, KY 40202
2/11/1992
J.P. Morgan Clearing Corp.One Metrotech Center North,
Brooklyn, NY 11201–3859
6/24/1991
Janney Montgomery Scott, LLC1801 Market Street,
Philadelphia, PA 19103
3/23/1982
John Hancock Life & Health Insurance Company380 Stuart Street, Boston,
MA 02116
11/10/2009
John Hancock Mutual Life Insurance CompanyJohn Hancock Place, 200
Clarendon, Boston, MA
02117
8/24/1993
Kagin Numismatic Services, Ltd.
1550 Tiburon Blvd., #201,
Tiburon, CA 94920
3/18/1980
KH Funding Company10801 Lockwood Drive,
Suite 370, Silver Spring, MD
20901
2/13/2002
2011–37 I.R.B.337September 12, 2011

MEGA Life and Health Insurance Company (The)
9151 Boulevard 26, North
Richland Hills, TX 76180
5/29/1991
Merrill, Lynch, Pierce, Fenner & Smith, Inc.Attn: Manager, Retirement
& Distribution Services,
1400 Merrill Lynch Drive,
MSC 0401S, Pennington, NJ
08534
8/3/1987
Merrimack Valley Investment, Inc.109 Merrimack Street,
Haverhill, MA 01830
9/28/1984
Mesirow Financial, Inc.
350 N. Clark Street, Chicago,
IL 60610
5/28/1982
Mid-Ohio Securities Corp.
225 Burns Road, Elyria, OH
44036
1/28/1983
MII Life, Inc. dba Select AccountPO Box 64193, St. Paul, MN
55164–0193
6/29/2007
Moody Bible Institute of Chicago820 N La Salle Boulevard,
Chicago, IL 60610–3284
4/25/2003
Morgan Keegan & Company, Inc.Morgan Keegan Tower, Fifty
Front Street, Memphis, TN
38108
1/27/1982
Morgan Stanley & Co. Incorporated
c/o Tax Department, 25
th
Floor, 1633 Broadway, New
York, NY 10019
3/22/2004
Morgan Stanley Smith Barney2000 Westchester Ave.,
Purchase, NY 10577
1/27/2010
National Slovak Society of the USA
351ValleyBrookRoad,
McMurray, PA 15317–3337
10/28/2004
NBC Securities, Inc.1927 First Avenue North,
Birmingham, AL 35203
7/16/1996
Neuberger Berman LLC
605 Third Ave., New York,
NY 10158–3698
10/4/1993
Oxford Life Insurance Company2721 North Central Avenue,
Phoenix, AZ 85004
8/25/2011
PayFlex Systems USA, Inc.10802 Farnam Drive,
Omaha, NE 68154
6/10/2011
Pension Fund of The Christian Church130 East Washington Street,
11
th
Floor, Indianapolis, IN
46204
5/14/2009
Penson Financial Services, Inc.1700 Pacific Avenue, Suite
1400, Dallas, TX 75201
6/9/2005
Perelman-Carley & Associates, Inc.Twin Towers 3000 Farnam
Street, Omaha, NE 68131
1/13/1989
Perkins Coie, LLP1201 Third Ave., Suite 4800,
Seattle, WA 98101
8/22/2004
Pershing LLCOne Pershing Plaza, Jersey
City, NJ 07399
12/4/1985
September 12, 20113382011–37 I.R.B.

PFS Investments, Inc.3120 Breckenridge
Boulevard, Duluth, GA
3099
9/28/1995
Pioneer Financial Services, Inc.4700 Belleview, Suite 300,
Kansas City, MO 64112
1/25/1985
Pioneer Investment Management USA.60 State Street, Boston, MA
02109
2/21/1986
Piper Jaffray & Co.Piper Jaffray Center, 800
Nicollet Mall, Minneapolis,
MN 55402–7020
4/21/1982
Polish Falcons of America
615IronCityDrive,
Pittsburgh, PA 15205–4397
11/3/2004
PrimeVest Financial Services, Inc.400 First Street South, St.
Cloud, MN 56301–3600
12/8/1993
Principal Life Insurance Company711 High Street, Des Moines,
IA 50392–0001
7/27/1988
PWMCO, LLC311 South Wacker Drive,
Suite 2360, Chicago, IL
60606
1/6/2005
Raymond James & Associates, Inc.880 Carillon Parkway, PO
Box 12749, St. Petersburg,
FL 33733–2749
3/8/1982
RBC Capital MarketsDain Rauscher Plazza,
60 South Sixth Street,
Minneapolis, MN
55402–4422
1/22/1982
RBC Capital MarketsDain Rauscher Plazza,
60 South Sixth Street,
Minneapolis, MN
55402–4422
3/2/1998
Reserve Management Company, Inc.
1250 Broadway, 32nd Floor,
New York, NY 10001
10/18/1989
Ridge Clearing and Outsourcing Solutions, Inc.1981 Marcus Ave., Lake
Success, NY 11042
5/3/1983
Robert W. Baird & Co., Inc.777 E. Wisconsin Ave.,
Milwaukee, WI 53202
6/10/2004
Scottrade, Inc.12800 Corporate Hill Drive,
St. Louis, MO 63131
10/9/1996
SMA Services, Inc.
35 Lakeshore Drive,
Birmingham, AL 35209
8/27/1998
Smith, Moore & Co.7777 Bonhomme Ave., Suite
2400, Clayton, MO 63105
1/18/1983
Southwest Securities, Inc.Renaissance Tower Suite
4300, 1201 Elm Street,
Dallas, TX 75270
12/9/1992
2011–37 I.R.B.339September 12, 2011

Stephens, Inc.111 Center Street, Little
Rock, AR 72201
12/4/1987
Sterne, Agee & Leach, Inc.800 Shades Creek Pkwy,
Suite 700, Birmingham, AL
35209
9/11/1981
Stifel, Nicolaus & Co., Inc.
One Financial Plaza, 501
North Broadway, St. Louis,
MO 63102
9/9/1981
StockCross Financial Services, Inc.9464 Wilshire Boulevard,
Beverly Hills, CA 90212
8/2/2010
TD Ameritrade, Inc.4211South 102nd Street,
Omaha, NE 68127–1031
4/18/1984
TIAA-CREF Individual & Institutional Services, Inc.730 Third Avenue, New
York, NY 10017
9/9/2002
Turlington & Co.
509 East Center Street,
Lexington, NC 27292
11/3/1980
UBS Financial Services, Inc.1200 Harbor Blvd., 8
th
Floor,
Weehawken, NJ 07086
5/12/1989
Ukrainian National Association2200 Route 10, Parsippany,
NJ 07054
9/24/2004
Unified Financial Securities,Inc.2960 N. Meridian Street,
Suite 300, Indianapolis, IN
46208
10/28/1976
Variable Annuity Life Insurance Company2929 Allen Parkway,
Houston, TX 77019
3/16/2006
W.H. Reaves & Co., Inc,10 Exchange Place, Jersey
City, NJ 07302
12/7/1990
Wedbush Morgan Securities1000 Wilshire Boulevard,
Los Angeles, CA 90030
12/24/1984
Wells Advisors, Inc.6200 The Corners Pkwy,
Norcross, GA 30092
3/20/1992
Wells Fargo Advisors, LLC1 North Jefferson Ave., St.
Louis, MO 63103
7/1/2003
September 12, 20113402011–37 I.R.B.

Definition of Terms
Revenue rulings and revenue procedures
(hereinafter referred to as “rulings”) that
have an effect on previous rulings use the
following defined terms to describe the ef-
fect:
Amplifieddescribes a situation where
no change is being made in a prior pub-
lished position, but the prior position is be-
ingextendedtoapplytoavariationofthe
fact situation set forth therein. Thus, if
an earlier ruling held that a principle ap-
plied to A, and the new ruling holds that the
same principle also applies to B, the earlier
ruling is amplified. (Compare withmodi-
fied,below).
Clarifiedis used in those instances
where the language in a prior ruling is be-
ing made clear because the language has
caused, or may cause, some confusion.
It is not used where a position in a prior
ruling is being changed.
Distinguisheddescribes a situation
where a ruling mentions a previously pub-
lished ruling and points out an essential
difference between them.
Modifiedis used where the substance
of a previously published position is being
changed. Thus, if a prior ruling held that a
principle applied to A but not to B, and the
new ruling holds that it applies to both A
and B, the prior ruling is modified because
it corrects a published position. (Compare
withamplifiedandclarified, above).
Obsoleteddescribes a previously pub-
lished ruling that is not considered deter-
minative with respect to future transac-
tions. This term is most commonly used in
a ruling that lists previously published rul-
ings that are obsoleted because of changes
in laws or regulations. A ruling may also
be obsoleted because the substance has
been included in regulations subsequently
adopted.
Revokeddescribes situations where the
position in the previously published ruling
is not correct and the correct position is
beingstatedinanewruling.
Supersededdescribes a situation where
the new ruling does nothing more than re-
state the substance and situation of a previ-
ously published ruling (or rulings). Thus,
the term is used to republish under the
1986 Code and regulations the same po-
sition published under the 1939 Code and
regulations. The term is also used when
it is desired to republish in a single rul-
ing a series of situations, names, etc., that
were previously published over a period of
time in separate rulings. If the new rul-
ing does more than restate the substance
of a prior ruling, a combination of terms
is used. For example,modifiedandsu-
persededdescribes a situation where the
substance of a previously published ruling
is being changed in part and is continued
without change in part and it is desired to
restate the valid portion of the previously
published ruling in a new ruling that is self
contained. In this case, the previously pub-
lished ruling is first modified and then, as
modified, is superseded.
Supplementedis used in situations in
which a list, such as a list of the names of
countries, is published in a ruling and that
list is expanded by adding further names in
subsequent rulings. After the original rul-
ing has been supplemented several times, a
new ruling may be published that includes
the list in the original ruling and the ad-
ditions, and supersedes all prior rulings in
the series.
Suspendedis used in rare situations to
show that the previous published rulings
will not be applied pending some future
action such as the issuance of new or
amended regulations, the outcome of cases
in litigation, or the outcome of a Service
study.
Abbreviations
The fol
lowing abbreviations in current use
and for
merly used will appear in material
publis
hedintheBulletin.
A—Individual.
Acq.—A
cquiescence.
B—Individual.
BE—Beneficiary.
BK—Bank
.
B.T.A.—Board of Tax Appeals.
C—Individual.
C.B.—Cu
mulative Bulletin.
CFR—Code of Federal Regulations.
CI—City.
COOP—Coo
perative.
Ct.D.—Court Decision.
CY—County.
D—Decede
nt.
DC—Dummy Corporation.
DE—Donee.
Del. Order
—Delegation Order.
DISC—Domestic International Sales Corporation.
DR—Donor.
E—Estate.
EE—Employee.
E.O.—Executive Order.
ER—Emp
loyer.
ERISA—Employee Retirement Income Security Act.
EX—Executor.
F—Fiduc
iary.
FC—Foreign Country.
FICA—Federal Insurance Contributions Act.
FISC—Fo
reign International Sales Company.
FPH—Foreign Personal Holding Company.
F.R.—Federal Register.
FUTA—Fed
eral Unemployment Tax Act.
FX—Foreign corporation.
G.C.M.—Chief Counsel’s Memorandum.
GE—Grante
e.
GP—General Partner.
GR—Grantor.
IC—Insura
nce Company.
I.R.B.—Internal Revenue Bulletin.
LE—Lessee.
LP—Limited
Partner.
LR—Lessor.
M—Minor.
Nonacq.—No
nacquiescence.
O—Organization.
P—Parent Corporation.
PHC—Persona
l Holding Company.
PO—Possession of the U.S.
PR—Partner.
PRS—Pa
rtnership.
PTE—Prohibited Transaction Exemption.
Pub. L.—Public Law.
REIT—Re
al Estate Investment Trust.
Rev. Proc.—Revenue Procedure.
Rev. Rul.—Revenue Ruling.
S—Subsi
diary.
S.P.R.—Statement of Procedural Rules.
Stat.—Statutes at Large.
T—Target
Corporation.
T.C.—Tax Court.
T.D.—Treasury Decision.
TFE—Trans
feree.
TFR—Transferor.
T.I.R.—Technical Information Release.
TP—Taxpay
er.
TR—Trust.
TT—Trustee.
U.S.C.—Uni
ted States Code.
X—Corporation.
Y—Corporation.
Z—Corporat
ion.
2011–37 I.R.B.iSeptember 12, 2011

Numerical Finding List
1
Bulletins 2011–27 through 2011–37
Announcements:
2011-37, 2011-27 I.R.B.37
2011-38, 2011-28 I.R.B.45
2011-39, 2011-28 I.R.B.46
2011-40, 2011-29 I.R.B.56
2011-41, 2011-28 I.R.B.47
2011-42, 2011-32 I.R.B.138
2011-43, 2011-35 I.R.B.198
2011-44, 2011-33 I.R.B.164
2011-45, 2011-34 I.R.B.178
2011-46, 2011-34 I.R.B.178
2011-47, 2011-34 I.R.B.178
2011-48, 2011-36 I.R.B.227
2011-49, 2011-36 I.R.B.228
2011-59, 2011-37 I.R.B.335
Notices:
2011-47, 2011-27 I.R.B.34
2011-50, 2011-27 I.R.B.35
2011-51, 2011-27 I.R.B.36
2011-52, 2011-30 I.R.B.60
2011-53, 2011-32 I.R.B.124
2011-54, 2011-29 I.R.B.53
2011-55, 2011-29 I.R.B.53
2011-56, 2011-29 I.R.B.54
2011-57, 2011-31 I.R.B.84
2011-58, 2011-31 I.R.B.85
2011-59, 2011-31 I.R.B.86
2011-60, 2011-31 I.R.B.90
2011-61, 2011-31 I.R.B.91
2011-62, 2011-32 I.R.B.126
2011-63, 2011-34 I.R.B.172
2011-64, 2011-37 I.R.B.231
2011-65, 2011-34 I.R.B.173
2011-66, 2011-35 I.R.B.184
2011-67, 2011-34 I.R.B.174
2011-68, 2011-36 I.R.B.205
2011-70, 2011-32 I.R.B.135
2011-71, 2011-37 I.R.B.233
Proposed Regulations:
REG-137128-08, 2011-28 I.R.B.43
REG-125592-10, 2011-32 I.R.B.137
REG-131491-10, 2011-36 I.R.B.208
REG-101352-11, 2011-30 I.R.B.75
REG-109006-11, 2011-37 I.R.B.334
REG-118809-11, 2011-33 I.R.B.162
REG-122813-11, 2011-35 I.R.B.197
Revenue Procedures:
2011-38, 2011-30 I.R.B.66
2011-39, 2011-30 I.R.B.68
Revenue Procedures— Continued:
2011-41, 2011-35 I.R.B.188
2011-40, 2011-37 I.R.B.235
2011-42, 2011-37 I.R.B.318
2011-43, 2011-37 I.R.B.326
Revenue Rulings:
2011-14, 2011-27 I.R.B.31
2011-15, 2011-30 I.R.B.57
2011-16, 2011-32 I.R.B.93
2011-17, 2011-33 I.R.B.160
2011-19, 2011-36 I.R.B.199
2011-20, 2011-36 I.R.B.202
Treasury Decisions:
9527, 2011-27 I.R.B.1
9528, 2011-28 I.R.B.38
9529, 2011-30 I.R.B.57
9530, 2011-31 I.R.B.77
9531, 2011-31 I.R.B.79
9532, 2011-32 I.R.B.95
9533, 2011-33 I.R.B.139
9534, 2011-33 I.R.B.144
9537, 2011-35 I.R.B.181
9538, 2011-37 I.R.B.229
9539, 2011-35 I.R.B.179
1
A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2011–1 through 2011–26 is in Internal Revenue Bulletin
2011–26, dated June 27, 2011.
September 12, 2011ii2011–37 I.R.B.

Finding List of Current Actions on
Previously Published Items
1
Bulletins 2011–27 through 2011–37
Announcements:
2007-47
Updated and superseded by
Ann. 2011-59, 2011-37 I.R.B.335
Notices:
2006-101
Amplified and superseded by
Notice 2011-64, 2011-37 I.R.B.231
2010-23
Modified and supplemented by
Notice 2011-54, 2011-29 I.R.B.53
2010-81
Amended and supplemented by
Notice 2011-63, 2011-34 I.R.B.172
2010-88
Modified by
Ann. 2011-40, 2011-29 I.R.B.56
Proposed Regulations:
REG-118761-09
Hearing scheduled by
Ann. 2011-38, 2011-28 I.R.B.45
REG-151687-10
Hearing scheduled by
Ann. 2011-48, 2011-36 I.R.B.227
Revenue Procedures:
72-36
Amplified and modified by
Rev. Proc. 2011-42, 2011-37 I.R.B.318
2002-55
Amplified and modified by
Rev. Proc. 2011-42, 2011-37 I.R.B.318
2004-29
Amplified and modified by
Rev. Proc. 2011-42, 2011-37 I.R.B.318
2007-35
Amplified and modified by
Rev. Proc. 2011-42, 2011-37 I.R.B.318
2008-24
Modified and superseded by
Rev. Proc. 2011-38, 2011-30 I.R.B.66
2008-32
Superseded by
Rev. Proc. 2011-39, 2011-30 I.R.B.68
2011-14
Modified by
Rev. Proc. 2011-43, 2011-37 I.R.B.326
Revenue Rulings:
58-225
Obsoleted by
Rev. Rul. 2011-15, 2011-30 I.R.B.57
Treasury Decisions:
9527
Corrected by
Ann. 2011-49, 2011-36 I.R.B.228
1
A cumulative list of current actions on previously published items in Internal Revenue Bulletins 2011–1 through 2011–26 is in Internal Revenue Bulletin 2011–26, dated June 27, 2011.
2011–37 I.R.B.iiiSeptember 12, 2011

September 12, 20112011–37 I.R.B.

INTERNAL REVENUE BULLETIN
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tendent of Documents when their subscriptions must be renewed.
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