INDUSTRY FILING LETTER OF APPLICATION

PAT GOULDEN

AND

PHIL NELSON

INDUSTRY FILING

WHAT DOES MY COMPANY

NEED TO DO TO FILE

FORMS 720-TO AND 720-CS

ELECTRONICALLY?

INDUSTRY FILING

Letter of ApplicationConnectivityTestingFinal Approval3rd Party Transmitters & Software

Developers

INDUSTRY FILINGLetter of Application

Prepare Letter of Application– Draft sample in today’s handouts– FTA Web Page

www.taxadmin.org - Select Link to Motor FuelAvailable 8/21/2000

– IRS Publication 3536 - ExSTARS EDI Implementation Guide

INDUSTRY FILINGLetter of Application

Complete Letter of Application

– Agree to:Comply with IRS electronic record

keeping requirementsAdhere to IRS Security guidelinesReapply when there is a change in

authorized signatory

INDUSTRY FILINGLetter of Application

– Supply 10-digit code– Identify Points of Contact within your

company– Tell us if you will be using a 3rd Party

Transmitter– IRC 6103(c) Consent– Sign and Mail the Letter of Application

INDUSTRY FILINGLetter of Application

IRS Processing of Letter of Application

– Initial Screening

– Add your company to the IRS ExSTARS

electronic filing database

– Add 10-digit code to your 10-digit code to

create your unique electronic authorized

signature.

INDUSTRY FILINGLetter of Application

Within 15 Business Days, the IRS will send:

10 digit Authorization CodeIssued to authorized signatory

Test User IDIssued to your company

Testing Instructions

– Password delivered under separate cover

INDUSTRY FILINGLetter of Application

Final Steps

– Sign and return password acknowledgement document to the IRS

– Contact IRS Call Site with anticipated start date for Testing - Phone Number will be provided in the Testing Package

Test Date - 5 workday notice Company Name FEIN Testing Point of Contact

– Phone Number– Email Address

– IRS Test Personnel will contact your company

– Initiate Test - www.irs.gov/excise

INDUSTRY FILINGConnectivity

How will my company connect to the IRS?

Verisign Global Server IDNO client-side digital certificates

INDUSTRY FILINGConnectivity

Internet Browser with 128 bit encryption

– Netscape Navigator 4.06 or later– Microsoft Internet Explorer 4.0 or later

(Windows 95 or later)

www.irs.gov– Select link to get to the Excise Home Page

www.irs.gov/excise

INDUSTRY FILINGEDI Test

Test File Submissions– Four separate file submissions with

summary reportsSpecific Information151 Testing

Communication/Feedback during test Notification of test status EDI checklist

INDUSTRY FILINGFinal Steps

Pass/fail Notification

– Verbal notification from IRS Test personnel

– Written notification will includeProduction Password

– To be administered by designated company

personnel

INDUSTRY FILINGFinal Steps

Security Statement and Password Acknowledgement Document

– Sign and return the Statement of Receipt within 15 Business Days

Instructions to change from a “T” to a “P” in your EDI Map

INDUSTRY FILINGFinal Steps

IRS will activate production log-on– Begin timely filing of your monthly information

returns– With first submission – include any “past due” data

Change / Renewal Process– Re-submit Letter of Application if your authorized

signatory changes– Renew your IRC 6103(c) Consent every 5 years– Renew your ExSTARS electronic filing status

every 5 years

INDUSTRY FILING

3rd Party Transmitters and Software Developers– Letter of Application – EDI Testing

Upon written request, Accepted Transmitters and Software Developers will be listed on the IRS Excise Web Page

Acceptance does not imply endorsement by the IRSAcceptance does not imply endorsement by the IRS