Bulletin No. 2021–43

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HIGHLIGHTS

OF THIS ISSUE

Bulletin No. 2021–43

October 25, 2021

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.

ADMINISTRATIVE

Rev. Proc. 2021-42, page 666.

General Rules and Specifications for Substitute Forms and

Schedules. This procedure provides guidelines and general

requirements for the development, printing, and approval of

the 2021 substitute tax forms. This procedure will be reproduced as the next revision of Publication 1167. Rev. Proc.

2020-55 is superseded.

EXCISE TAX

Notice 2021-58, page 660.

This guidance is a notice that clarifies the application of the

extension of timeframes by the Joint Notice (85 FR 26351,

May 4, 2020) and EBSA Disaster Notice 2021-01 (Feb. 26,

2021) (Emergency Relief Notices) to elections and payments

of COBRA premiums during the COVID-19 National Emergency. This notice clarifies that the disregarded period for an

individual to elect COBRA continuation coverage and the disregarded period for the individual to make initial and subsequent COBRA premium payments generally run concurrently.

This notice also addresses the interaction of these rules with

the ARP COBRA premium assistance and Notice 2021-31,

Finding Lists begin on page ii.

2021-23 IRB 1173 (June 7, 2021). This notice provides timelines and examples for calculating when individuals will need

to elect and make their initial COBRA payments, based upon

when these individuals elected COBRA under the Emergency

Relief Notices.

INCOME TAX

Notice 2021-59, page 664.

This Notice announces that the Department of the Treasury

(Treasury Department) and the Internal Revenue Service (IRS)

intend to amend the regulations under section 987 to defer the

applicability date of the final regulations under section 987, as

well as certain related final regulations, by one additional year.

The applicability date of these regulations has been deferred

under prior notices to taxable years beginning after December 7, 2021. The Treasury Department and the IRS intend to

amend §§1.861-9T, 1.985-5, 1.987-11, 1.988-1, 1.988-4,

and 1.989(a)-1 of the 2016 final regulations and §§1.987-2

and 1.987-4 of the 2019 final regulations (the related 2019

final regulations) to provide that the 2016 final regulations and

the related 2019 final regulations apply to taxable years beginning after December 7, 2022. The Notice also states that taxpayers may rely on certain related proposed regulations that

cross-reference temporary regulations which have expired.

The IRS Mission

Provide America’s taxpayers top-quality service by helping

them understand and meet their tax responsibilities and

enforce the law with 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

Conventions, legislation, court decisions, and other items of

general interest. It is published weekly.

It is the policy of the Service to publish in the Bulletin all substantive rulings necessary to promote a uniform application

of the tax laws, including all rulings that supersede, revoke,

modify, or amend any of those previously published in the

Bulletin. All published rulings apply retroactively unless otherwise indicated. Procedures relating solely to matters of internal management 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.—1986 Code.

This part includes rulings and decisions based on provisions

of the Internal 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,

Legislation 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

Rulings. Bank Secrecy Act Administrative Rulings are issued

by the Department of the Treasury’s Office of the Assistant

Secretary (Enforcement).

Part IV.—Items of General Interest.

This part includes notices of proposed rulemakings, disbarment and 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 contents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.

October 25, 2021

Bulletin No. 2021–43

Part III

Extension of COBRA

election and premium

payment deadlines under

section 7508A(b)

NOTICE 2021-58

I. Purpose

This notice clarifies the application of

certain extensions under the Consolidated

Omnibus Budget Reconciliation Act of

1985 (COBRA) for the election of COBRA

coverage and payment of COBRA premiums under the Joint Notification of Extensions of Certain Timeframes for Employee

Benefit Plans, Participants, and Beneficiaries Affected by the COVID-19 Outbreak

(Joint Notice) 1 issued by the Department

of Labor (DOL), the Department of the

Treasury (Treasury Department), and the

Internal Revenue Service (IRS), collectively the “Agencies”, and the additional

guidance provided by Employee Benefits

Security Administration (EBSA) Disaster

Relief Notice 2021-01, released by the

DOL.2 The Joint Notice and EBSA Disaster Relief Notice 2021-01 are referred to

collectively in this notice as the “Emergency Relief Notices.” This notice also

addresses the interaction of COBRA continuation coverage under the Emergency

Relief Notices with the COBRA premium

assistance available for certain individuals under the American Rescue Plan Act

of 20213 (the ARP). Terms used in this

notice have the same meanings as those

terms have when used in the guidance referenced in this notice.

This guidance has been coordinated

with, and reviewed by, DOL and the

Department of Health and Human Services (HHS).4 DOL and HHS have advised

the Treasury Department and the IRS that

they concur with the guidance provided in

this notice as applicable to the laws under

their respective jurisdictions.

II. Background

A. COBRA continuation coverage

COBRA permits qualified beneficiaries

who lose coverage under a group health

plan to elect continuation health coverage

during the 60-day period after receipt of a

COBRA election notice. Section 4980B(f)

(5). The group health plan under which

continuation coverage is provided may

not require the payment of any premium

before the day that is 45 days after the day

on which the qualified beneficiary makes

the initial election for continuation coverage. Section 4980B(f)(2)(C)(ii). Additionally, the group health plan must treat

COBRA premium payments as timely

paid if made within 30 days after the due

date or within any longer period as applied

to or under the plan. Section 4980B(f)(2)

(B)(iii).

B. Summary of Emergency Relief

Notices and the ARP

On May 4, 2020, in response to the

National Emergency concerning the

Novel Coronavirus Disease (COVID19) Outbreak (National Emergency),5

the Agencies published the Joint Notice,

which extended certain timeframes otherwise applicable to group health plans,

disability and other welfare plans, pension

plans, and their participants and beneficiaries under the Employee Retirement

Income Security Act of 1974 (ERISA)

and the Internal Revenue Code of 1986

(Code). The Joint Notice extended these

timeframes by requiring that plans subject to ERISA or the Code disregard the

period for certain action from March 1,

2020, until 60 days after the announced

end of the National Emergency or such

other date announced by the Agencies in a

future notification (the Outbreak Period),

subject to a maximum disregarded period

of one year.6

On February 26, 2021, DOL, with the

concurrence of HHS, the Treasury Department, and the IRS, issued EBSA Disaster

Relief Notice 2021-01, which clarified

that the disregarded periods apply from

the date each individual or plan was first

eligible for relief under the Joint Notice.

Under EBSA Disaster Relief Notice 202101, the applicable periods under the Emergency Relief Notices for individuals and

plans are therefore disregarded until the

earlier of (1) one year from the date the

individuals and plans were first eligible for

relief,7 or (2) 60 days after the announced

end of the National Emergency (the end

of the Outbreak Period). At the end of an

individual’s or plan’s disregarded period,

the applicable timeframes that were disregarded under the Joint Notice resume.

85 FR 26351 (May 4, 2020).

EBSA Disaster Relief Notice 2021-01 (Feb. 26, 2021), available at: https://www.dol.gov/sites/dolgov/files/ebsa/employers-and-advisers/plan-administration-and-compliance/disaster-relief/

ebsa-disaster-relief-notice-2021-01.pdf.

Pub. L. 117-2, 135 Stat. 4, (March 11, 2021).

HHS also released non-binding, temporary relaxed enforcement guidance in conjunction with the Joint Notice that extended similar timeframes otherwise applicable to non-Federal governmental group health plans and health insurance issuers offering coverage in connection with a group health plan, their participants and beneficiaries, and Small Business Health Options

Program (SHOP) issuers offering a qualified health plan through a SHOP. See Insurance Bulletin titled “Temporary Period of Relaxed Enforcement of Certain Timeframes Related to

Group Market Requirements under the Public Health Service Act in Response to the COVID-19 Outbreak”, available at: https://www.cms.gov/files/document/Temporary-Relaxed-Enforcement-Of-Group-Market-Timeframes.pdf.

On March 13, 2020, the President issued the Proclamation on Declaring a National Emergency Concerning the Novel Coronavirus Disease (COVID-19) Outbreak declaring a national emergency, beginning March 1, 2020, under sections 201 and 301 of the National Emergencies Act (50 U.S.C. 1601 et seq.). By separate letter, also on March 13, 2020, the President declared under

section 501(b) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act, 42 U.S.C. section 5121 et seq., that an emergency existed nationwide, as the result of the COVID-19

outbreak (the COVID-19 National Emergency or National Emergency). See 85 FR 26351, 26352.

The Joint Notice provided that, subject to the one-year limit under section 518 of ERISA and section 7508A(b) of the Code, all group health plans, disability and other employee welfare

benefit plans, and employee pension benefit plans subject to ERISA or the Code were required to disregard the period for certain timeframes because of the National Emergency. The disregarded period applies to specific employee benefit timeframes applicable to plan participants, beneficiaries, qualified beneficiaries, and claimants. The Joint Notice also provided relief for

group health plans regarding the requirement to provide a COBRA election notice.

The first date upon which an individual or plan could be eligible for relief was March 1, 2020, the first day of the National Emergency. Therefore, the earliest date upon which a disregarded

period could begin to run again was March 1, 2021, including for periods beginning before March 1, 2020, during which an action was required or permitted to be completed.

October 25, 2021

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Bulletin No. 2021–43

On March 11, 2021, the ARP was

enacted. Section 9501 of the ARP provides for temporary COBRA premium

assistance for certain “Assistance Eligible Individuals”8 for periods of coverage beginning on or after April 1, 2021,

through periods of coverage beginning

on or before September 30, 2021. On

May 18, 2021, the IRS and the Treasury

Department issued Notice 2021-319 providing guidance regarding COBRA continuation coverage and COBRA premium

assistance under the ARP.

On July 26, 2021, the Treasury Department and the IRS issued Notice 202146,10 providing further guidance regarding COBRA continuation coverage and

COBRA premium assistance under the

ARP.

C. COBRA relief under the Emergency

Relief Notices

The Joint Notice provided extensions11

for the following COBRA timeframes:

(1) The 60-day election period for

COBRA continuation coverage

under section 605 of ERISA and

section 4980B(f)(5) of the Code,12

(2) The dates for making COBRA

premium payments under section 602(2)(C) and (3) of ERISA

and section 4980B(f)(2)(B)(iii) and

(3) The date for individuals to notify

the plan of a qualifying event or

determination of disability under section 606(a)(3) of ERISA and section

4980B(f)(6)(C) of the Code, and

(4) The date for providing a COBRA

election notice under section 606(c)

of ERISA and section 4980B(f)(6)

(D) of the Code for group health

plans and their sponsors and administrators.

The Emergency Relief Notices provide

that these COBRA timeframes are disregarded until the earlier of (1) one year

from the date that individuals and plans

were first eligible for relief, or (2) the end

of the Outbreak Period.14

III. Guidance and Application of

the extensions under the Emergency

Relief Notices to COBRA elections and

payment of COBRA premiums

Under the Emergency Relief Notices,

up to one year must be disregarded in

determining the due dates for individuals

to elect COBRA continuation coverage

and pay COBRA premiums during the

Outbreak Period. This notice clarifies that

the disregarded period for an individual to

elect COBRA continuation coverage and

the disregarded period for the individual

to make initial and subsequent COBRA

premium payments generally run concurrently.

The following rules illustrate the timeframes that apply to individuals making

initial COBRA premium payments under

the Emergency Relief Notices during

the Outbreak Period. For purposes of

these rules, the phrase the “initial 60-day

COBRA election timeframe” refers to the

60-day election timeframe under section

605 of ERISA and section 4980B(f)(5) of

the Code without regard to the Emergency

Relief Notices.

• If an individual elected COBRA

continuation coverage outside of the

initial 60-day COBRA election timeframe, that individual generally will

have one year and 10515 days after the

date the COBRA notice was provided

to make the initial COBRA premium

payment.

• If an individual elected COBRA continuation coverage within the initial

60-day COBRA election timeframe,

that individual will have one year and

45 days after the date of the COBRA

election to make the initial COBRA

premium payment.

Individuals must make the initial

COBRA election by the earlier of (1) one

year and 60 days after the individual’s

receipt of the COBRA election notice, or

(2) the end of the Outbreak Period.

Applying the disregarded periods in

this way means that individuals who delay

electing COBRA may not have more than

one year of total disregarded time for the

COBRA election and initial COBRA payment.16 However, these timeframes are

subject to the transition relief provided in

section IV of this notice, which provides

that in no event will an initial COBRA

premium payment be due before November 1, 2021, as long as the individual

makes the initial COBRA premium payment within one year and 45 days after the

election date.

For each subsequent COBRA premium

payment, the maximum time an individual

has to make a payment while the Outbreak

Period continues is one year from the date

the payment originally would have been

due in the absence of the Emergency

Relief Notices, including the mandatory

30-day grace period, but subject to the

transition relief provided below.

Under section 9501 of the ARP, an “Assistance Eligible Individual” is an individual (1) who is a qualified beneficiary with respect to a period of COBRA continuation coverage during the

period from April 1, 2021, through September 30, 2021, and eligible for that COBRA continuation coverage by reason of a qualifying event specified in section 603(2) of ERISA, section

4980B(f)(3)(B) of the Code, or section 2203(2) of the Public Health Service Act, except for voluntary termination of employment, and (2) who elects COBRA continuation coverage.

Notice 2021-31, 2021-23 IRB 1173 (June 7, 2021).

Notice 2021-46, 2021-33 IRB 303 (August 16, 2021).

The Joint Notice provided extensions for other employee benefit timeframes in addition to the COBRA timeframes addressed in this notice. For more information, see the Joint Notice at

85 FR 26351 (May 4, 2020).

The term ‘‘election period’’ is defined as ‘‘the period which—(A) begins not later than the date on which coverage terminates under the plan by reason of a qualifying event, (B) is of at least

60 days’ duration, and (C) ends not earlier than 60 days after the later of—(i) the date described in subparagraph (A), or (ii) in the case of any qualified beneficiary who receives notice under

section 1166(a)(4) of this title, the date of such notice.’’ Section 605(a)(1) of ERISA; section 4980B(f)(5) of the Code.

Regarding coverage during the election period and before an election is made, see Treas. Reg. § 54.4980B–6, Q&A-3; regarding coverage during the period between the election and payment of the premium, see Treas. Reg. § 54.4980B–8, Q&A-5(c).

For an individual with a right to COBRA continuation coverage, the date of the applicable event will be the date the individual action would otherwise have been required or permitted. For

group health plans, the date of the applicable event will be the date the plan would otherwise be required to provide a COBRA election notice.

The 105-day period is derived by adding together the 60 days to make an initial COBRA election under section 4980B(f)(5) and the 45 days to make the initial COBRA premium payment

under section 4980B(f)(2)(C)(ii).

For example, an individual generally may not delay electing COBRA continuation coverage for 6 months and then add another full year to the disregarded period for purposes of determining

the deadline for making the initial COBRA premium payment (resulting in a total of 18 months of disregarded time for both the COBRA election and initial COBRA payment). Instead, the

maximum disregarded period of one year is applied concurrently to the timeframe for the COBRA election and initial COBRA premium payment.

Bulletin No. 2021–43

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October 25, 2021

IV. Transition relief for COBRA

premium payments due before

November 1, 2021 under the

Emergency Relief Notices

continuation coverage and the Outbreak

Period has not ended.

Because some individuals may have

assumed that the disregarded period for

making the initial premium payment

begins on the date of the COBRA election, individuals who made elections

more than 60 days after receipt of the election notice may have less time than they

anticipated to make the initial premium

payment. Therefore, to avoid inequitable

outcomes, in no event will an individual

be required to make the initial premium

payment before November 1, 2021, even

if November 1, 2021 is more than one

year and 105 days after the date the election notice was received, provided that the

individual makes the initial premium payment within one year and 45 days after the

date of the election. This transition relief

does not result in an individual having a

disregarded period related to a particular

COBRA timeframe that is more than one

year. This transition relief is an exception

to the general rule that disregarded periods

for COBRA elections and initial COBRA

payments run concurrently with respect to

each individual.

The following examples illustrate

how COBRA elections and premium

payments are treated under this notice.

All of the examples assume that the Outbreak Period has not ended during the

periods specified and that individuals are

not eligible for COBRA premium assistance under the ARP unless stated otherwise. The examples also assume that the

group health plans have calendar month

coverage periods, with premium payments due by the first of the month, and

that the plans provide that qualified beneficiaries must make COBRA premium

payments within the statutory 30-day

grace period.

V. Interaction with the ARP COBRA

premium assistance

The extensions of the timeframes

under the Emergency Relief Notices do

not apply to the periods for providing

the required notice of the ARP extended

election period or for electing COBRA

continuation coverage with COBRA

premium assistance under the ARP. See

Notice 2021-31, Q&A-57. An individual

who has a disregarded period under the

Emergency Relief Notices may elect retroactive COBRA continuation coverage,

subject to the guidance in this notice, and

may elect COBRA continuation coverage

with COBRA premium assistance for any

period for which the individual is eligible

for COBRA premium assistance. However, the disregarded periods under the

Emergency Relief Notices continue to

apply to payments of COBRA premiums

after the end of the ARP COBRA premium assistance period, to the extent that

the individual is still eligible for COBRA

October 25, 2021

VI. Examples

A. Examples applying the extensions

under the Emergency Relief Notices

to COBRA elections and payment of

COBRA premiums

Example 1. COBRA election made more than 60

days after receipt of COBRA election notice under

the Emergency Relief Notices.

(i) Facts. Individual A participates in Employer

X’s group health plan. On August 1, 2020, Individual A has a qualifying event and receives a COBRA

election notice. Individual A elects COBRA continuation coverage on February 1, 2021, retroactive to

August 1, 2020. When must Individual A make the

initial COBRA premium payment and subsequent

monthly COBRA premium payments?

(ii) Conclusion. Individual A has until November 14, 2021 to make the initial COBRA premium

payment (one year and 105 days after August 1,

2020), because Individual A did not elect COBRA

continuation coverage under the Emergency Relief

Notices within 60 days after receipt of the election

notice. The initial COBRA premium payment would

include monthly premium payments for August 2020

through October 2020. The November 2020 monthly

COBRA premium payment would be due by December 1, 2021 (one year and 30 days after November

1, 2020), with premium payments due every month

after that for the months that Individual A is eligible

for COBRA continuation coverage.

Example 2. COBRA election made within 60

days of the receipt of COBRA election notice under

the Emergency Relief Notices.

(i) Facts. Individual B participates in Employer

Y’s group health plan. Individual B has a qualifying event and receives a COBRA election notice on

October 1, 2020. Individual B elects COBRA continuation coverage on October 15, 2020 retroactive to

October 1, 2020. When must Individual B make the

initial COBRA premium payment and subsequent

monthly COBRA premium payments?

662

(ii) Conclusion. Individual B has until November

29, 2021, to make the initial COBRA premium payment (one year and 45 days after October 15, 2020)

because Individual A elected COBRA within 60 days

of receiving the election notice. The initial COBRA

premium payment would include only the monthly

premium payment for October 2020. The November

2020 monthly COBRA premium payment would be

due by December 1, 2021 (one year and 30 days after

November 1, 2020), with premium payments due

every month after that for the months Individual B is

eligible for COBRA continuation coverage.

Example 3. Timeframe for electing COBRA

under the Emergency Relief Notices.

(i) Facts. Individual C participates in Employer

Z’s group health plan. Individual C has a qualifying event and is provided a COBRA election notice

on August 1, 2020. When must Individual C elect

COBRA continuation coverage and, if Individual C

elects COBRA continuation coverage, when must

Individual C make the initial COBRA premium payment?

(ii) Conclusion. Individual C has until September 30, 2021 (one year and 60 days after August

1, 2020) to elect COBRA continuation coverage. If

Individual C elects COBRA continuation coverage

after September 30, 2020 (but on or before September 30, 2021) Individual C has until November

14, 2021 to make the initial COBRA premium payment (one year and 105 days after receipt of the

election notice). If Individual C makes the initial

COBRA premium payment on November 14, 2021,

that premium payment would include the monthly

premiums for August 2020 through October 2020.

The November 2020 monthly COBRA premium

payment would be due by December 1, 2021 (one

year and 30 days after November 1, 2020), with

premium payments due every month after that for

the months Individual C is eligible for COBRA

continuation coverage.

Example 4. Failure to make COBRA premium

payments under the Emergency Relief Notices.

(i) Facts. The facts are the same as in Example

1. In addition, Individual A timely makes the initial

COBRA premium payment covering the months

of August 2020 through October 2020, as well as

the payment for the November 2020 monthly premium. Individual A does not make a payment for the

December 2020 monthly premium as of December

31, 2021. For how many months does Individual A

have COBRA continuation coverage?

(ii) Conclusion. Individual A is entitled to

COBRA continuation coverage for the months of

August 2020 through November 2020, but Individual

A is not entitled to COBRA continuation coverage

for any month after November 2020 because Individual A did not pay the December 2020 premium

by the end of the applicable grace period. Benefits

and services provided by the group health plan (for

example, doctor’s visits or filled prescriptions) that

occurred on or before November 30, 2020, would

be covered under the terms of the plan. The plan

would not be obligated to cover benefits or services

for Individual A that were incurred after November

30, 2020.

Example 5. Applying the transition relief for

COBRA premium payments due before November 1,

2021.

Bulletin No. 2021–43

(i) Facts. The facts are the same as in Example

1, except that Individual A has a qualifying event

on April 1, 2020. Individual A receives the COBRA

election notice on April 1, 2020 and elects COBRA

continuation coverage on October 1, 2020, retroactive to April 1, 2020. As of July 15, 2021, Individual

A has not made the initial premium payment. When

must Individual A make the initial premium payment

for COBRA continuation coverage retroactive to

April 1, 2020 under the Emergency Relief Notices?

(ii) Conclusion. Under the transition relief provided in this notice, Individual A has until November 1, 2021 to make the initial premium payment,

even though November 1, 2021 is more than one

year and 105 days after April 1, 2020. Although the

disregarded periods for the COBRA election and the

initial premium payment run concurrently, under

the transition relief provided in this notice, an individual will not be required to make the initial premium payment before November 1, 2021, as long as

the individual makes the initial premium payment

within one year and 45 days after the date of election. November 1, 2021 is less than one year and 45

days after October 1, 2020. Therefore, Individual A

remains eligible to make the initial premium payment by November 1, 2021. The initial COBRA premium payment would include the monthly premium

payments for April 2020 through October 2020. The

November 2020 COBRA premium payment would

be due by December 1, 2021 (one year and 30 days

after November 1, 2020), with premium payments

due every month after that for the months Individual

A is eligible for COBRA continuation coverage.

Example 6. Failure to make initial premium payment within one year and 45 days of election.

(i) Facts. The facts are the same as in Example 5,

except that Individual A elects COBRA continuation

coverage on May 1, 2020. As of October 1, 2021,

Individual A has not made the initial premium payment for COBRA continuation coverage beginning

April 1, 2020. On October 1, 2021 is Individual A

eligible to make the initial premium payment for

COBRA continuation coverage retroactive to April

1, 2020 under the Emergency Relief Notices?

(ii) Conclusion. No. October 1, 2021 is more

than one year and 45 days after May 1, 2020. The

maximum disregarded period related to a particular

COBRA timeframe cannot be more than one year.

Therefore, Individual A is no longer eligible to

timely make the initial COBRA premium payment

for COBRA continuation coverage retroactive to

May 1, 2020 under the Emergency Relief Notices,

despite the availability of transition relief. However,

if Individual A is an Assistance Eligible Individual,

Individual A has COBRA continuation coverage

with COBRA premium assistance for the periods of

coverage beginning April 1, 2021. Individual A may

continue to pay for COBRA continuation coverage

after September 2021 through the end of the period

that Individual A is eligible for COBRA continuation coverage, if Individual A remains eligible for

COBRA continuation coverage.

B. Examples applying the ARP

COBRA premium assistance

Example 7. Deadline for retroactive COBRA

continuation coverage under the Emergency Relief

Bulletin No. 2021–43

Notices for a potential Assistance Eligible Individual

under the ARP.

(i) Facts. Individual A works for Employer X and

participates in Employer X’s group health plan. On

August 1, 2020, Individual A has a qualifying event

that is an involuntary termination of employment,

and, therefore, is a potential Assistance Eligible

Individual under the ARP. Individual A receives a

COBRA election notice on August 1, 2020, but, as

of September 1, 2021, has not yet elected COBRA

continuation coverage. Individual A also receives

the notice of the ARP extended election period on

May 31, 2021, but does not elect COBRA continuation coverage with premium assistance under the

ARP. When is the last date for Individual A to elect

COBRA continuation coverage retroactive to August

1, 2020 under the Emergency Relief Notices?

(ii) Conclusion. Individual A has until September 30, 2021 (one year and 60 days after August

1, 2020) to elect COBRA continuation coverage

retroactive to August 1, 2020 under the Emergency Relief Notices. Provided Individual A elects

COBRA continuation coverage by September 30,

2021, Individual A would have until November 14,

2021 to make the initial COBRA premium payment

(one year and 105 days after August 1, 2020). The

initial COBRA premium payment would include

monthly premium payments for August 2020

through October 2020. The November 2020 premium payment would be due by December 1, 2021

(one year and 30 days after November 1, 2020),

with premium payments due every month after that

for the months Individual A is eligible for COBRA

continuation coverage.

Example 8. Failure to elect retroactive COBRA

continuation coverage under the Emergency Relief

Notices by a potential Assistance Eligible Individual

under the ARP.

(i) Facts. Individual B works for Employer Y

and participates in Employer Y’s group health plan.

On March 1, 2021, Individual B has a qualifying

event that is an involuntary termination of employment, and, therefore, is a potential Assistance

Eligible Individual under the ARP. Individual B

receives the COBRA election notice the same day.

Individual B receives the COBRA election notice

for the ARP extended election period on May 31,

2021, and elects COBRA continuation coverage

with COBRA premium assistance beginning April

1, 2021 but does not elect COBRA continuation

coverage retroactive to March 1, 2021. Must Individual B be permitted on or after August 1, 2021,

to elect retroactive COBRA continuation coverage

beginning March 1, 2021?

(ii) Conclusion. No. Because Individual B

elected COBRA coverage with premium assistance

under the ARP, Individual B remained eligible only

until July 30, 2021 (60 days after the receipt of

the notice of the ARP extended election period) to

elect COBRA continuation coverage retroactive to

March 1, 2021. Employer Y’s group health plan may

require Individual B to elect COBRA continuation

coverage retroactive to the loss of coverage within

60 days of receiving the notice of the ARP extended

election period or lose eligibility for retroactive coverage under the Emergency Relief Notices. Because

Individual B did not elect retroactive COBRA continuation coverage (beginning March 1, 2021) under

663

the Emergency Relief Notices by July 30, 2021,

Employer Y’s plan is not required to permit Individual B to elect COBRA continuation coverage retroactive to March 1, 2021 under the Emergency Relief

Notices. If Individual B had not elected COBRA

continuation coverage with premium assistance

under the ARP, Individual B would remain eligible

to elect COBRA continuation coverage retroactive to

March 1, 2021, until April 30, 2022 (one year and 60

days after March 1, 2021). However, COBRA premium assistance under the ARP would not be available for this coverage.

Example 9. Payment for retroactive COBRA

continuation coverage under the Emergency Relief

Notices by a potential Assistance Eligible Individual

under the ARP.

(i) Facts. On November 1, 2020, Individual C

has a qualifying event that is an involuntary termination of employment, and, therefore, is a potential

Assistance Eligible Individual under the ARP. Individual C receives the COBRA election notice on the

same date. On April 30, 2021, Individual C receives

the notice of the ARP extended election period. On

May 31, 2021, Individual C elects both retroactive COBRA continuation coverage beginning on

November 1, 2020, and COBRA continuation coverage with premium assistance for the first period of

coverage beginning on or after April 1, 2021. When

are the deadlines for Individual C to make the initial

COBRA premium payment and subsequent monthly

COBRA premium payments?

(ii) Conclusion. Individual C has until February 14, 2022 to make the initial COBRA premium

payment (one year and 105 days after November

1, 2020). The initial COBRA premium payment

would include premium payments for November

2020 through January 2021. The February 2021

premium payment would be due by March 3, 2022

(one year and 30 days after February 1, 2021), and

the March 2021 premium payment would be due by

March 31, 2022 (one year and 30 days after March

1, 2021). Premium payments would be due every

month after that for the months Individual C is eligible for COBRA continuation coverage, except

that no payments would be due for the periods

beginning on or after April 1, 2021, through September 30, 2021.

Example 10. COBRA premium payment after the

end of the period of COBRA premium assistance by

an Assistance Eligible Individual under the ARP and

application of the Emergency Relief Notices.

(i) Facts. The facts are the same as in Example

9, except that Individual C makes the initial COBRA

premium payment by February 14, 2022, fails to

make the premium payment for the February 2021

period of coverage by March 3, 2022, and fails to

make the premium payment for the March 2021

period of coverage by March 31, 2022. Individual

C then makes a COBRA premium payment on May

1, 2022. For which months does Individual C have

COBRA continuation coverage?

(ii) Conclusion. Individual C has retroactive

COBRA continuation coverage for November

2020, December 2020, and January 2021 because

Individual C made a timely initial COBRA premium payment under the Emergency Relief

Notices. Individual C does not have coverage for

the months of February or March 2021 because

October 25, 2021

Individual C did not make timely COBRA premium

payments by March 3, 2022 (one year and 30 days

after February 1, 2021) or March 31, 2022 (one year

and 30 days after March 1, 2021). Individual C has

COBRA continuation coverage with COBRA premium assistance for the periods of coverage from

April 1, 2021 through September 30, 2021 because

Individual C is an Assistance Eligible Individual

and made a timely election under the ARP. Individual C also has COBRA continuation coverage for

October 2021 (because Individual C made a premium payment on May 1, 2022) unless Individual

C indicates that the May 1, 2022 premium payment

was intended to pay premiums for a period during

which Individual C was eligible for COBRA premium assistance.17 If the premium payment was not

erroneously paid for coverage during a premium

assistance period, the COBRA premium payment

made on May 1, 2022 must be credited to the

period following the ARP COBRA period because

that COBRA premium payment is timely under the

Emergency Relief Notices (the payment on May

1, 2022 is made within one year and 30 days after

October 1, 2021). Individual C may continue to pay

for COBRA continuation coverage for the period

after October 2021 until Individual C has paid for

the last of the months that Individual C is eligible

for COBRA continuation coverage.

VII. Effect on other Documents

This document clarifies the relief for

COBRA continuation coverage elections,

COBRA premium payments, and COBRA

notices provided in the Joint Notification

of Extensions of Certain Timeframes for

Employee Benefit Plans, Participants, and

Beneficiaries Affected by the COVID19 Outbreak and EBSA Disaster Relief

Notice 2021-01.

VIII. Effective Date

This notice is effective upon release.

IX. Drafting Information

The principal author of this notice is

William Fischer of the Office of Associate Chief Counsel (Employee Benefits,

Exempt Organizations, and Employment Taxes), and other Treasury Department and IRS officials participated in its

development. For further information on

the provisions of this notice, contact Mr.

Fischer at (202) 317-5500 (not a toll-free

number).

Deferred Applicability

Dates for Foreign Currency

Guidance

Notice 2021-59

SECTION 1. PURPOSE

This Notice announces that the Department of the Treasury (Treasury Department) and the Internal Revenue Service

(IRS) intend to amend the regulations

under section 987 to defer the applicability date of certain final regulations under

section 987 and certain related final regulations by one additional year.

On December 8, 2016, the Treasury

Department and the IRS published Treasury Decision 9794 (81 Fed. Reg. 88806),

which contained final regulations under

section 987 and amendments to existing regulations under sections 861, 985,

988, and 989. See §§1.861-9T(g)(2)(ii)

(A)(1) and (g)(2)(vi); 1.985-5; 1.987-0

through 1.987-11; 1.988-0; 1.988-1(a)

(4), (a)(10)(ii), and (i); 1.988-4(b)(2); and

1.989(a)-1(b)(2)(i), (b)(4), (d)(3), and (d)

(4) (the 2016 final regulations). The same

day, the Treasury Department and the IRS

also published Treasury Decision 9795

(81 Fed. Reg. 88854), which contained

temporary regulations under sections 987

and 988 (the temporary regulations), and

concurrently published a notice of proposed rulemaking by cross-reference to

the temporary regulations (the proposed

regulations). See REG-128276-12, 81

Fed. Reg. 88882.

On May 13, 2019, the Treasury Department and the IRS published Treasury Decision 9857 (84 Fed. Reg. 20790), which

adopted in final form §§1.987-2T(c)(9),

1.987-4T(c)(2) and (f), and 1.987-12T and

withdrew §1.987-7T. The other temporary

regulations expired on December 6, 2019.

The proposed regulations that were not

finalized in 2019 remain outstanding.

Earlier notices deferred the applicability dates of the 2016 final regulations,

§§1.987-1T (other than §§1.987-1T(g)(2)

(i)(B) and (g)(3)(i)(H)) through 1.9874T, 1.987-6T, 1.987-7T, 1.988-1T, and

1.988-2T(i) of the temporary regulations

(the related temporary regulations), and

§§1.987-2(c)(9) and 1.987-4(c)(2) and (f)

of the 2019 final regulations (the related

2019 final regulations). Most recently, on

October 5, 2020, Notice 2020-73, 202041 I.R.B. 886 announced that future guidance would defer the applicability date of

the 2016 final regulations and the related

2019 final regulations by one additional

year to taxable years beginning after

December 7, 2021.

SECTION 2. AMENDED

APPLICABILITY DATE

The Treasury Department and the IRS

intend to amend the applicability dates in

§§1.861-9T, 1.985-5, 1.987-11, 1.988-1,

1.988-4, and 1.989(a)-1 of the 2016 final

regulations and §§1.987-2 and 1.987-4 of

the related 2019 final regulations to provide that the 2016 final regulations and

the related 2019 final regulations apply to

taxable years beginning after December 7,

2022 (the amended applicability date). See

§§1.861-9T(g)(2)(vi); 1.985-5(g); 1.9872(e)(2); 1.987-4(h)(2); 1.987-11(a); 1.9881(i); 1.988-4(b)(2)(ii); 1.989(a)-1(b)(4);

1.989(a)-1(d)(4). Thus, following the

amendments described in this Notice,

the 2016 final regulations and the related

2019 final regulations would apply to the

taxable year beginning on January 1, 2023

for calendar-year taxpayers. The Treasury

Department and the IRS do not intend to

amend the applicability date of §1.987-12.

See §1.987-12(j).

A taxpayer may choose to apply the

2016 final regulations, the related temporary regulations (until they were revoked

on May 13, 2019 or expired on December 6, 2019, as applicable), and the related

2019 final regulations (beginning on May

13, 2019) to taxable years beginning

after December 7, 2016 and before the

amended applicability date provided the

taxpayer consistently applies those regulations to such taxable years with respect

to all section 987 QBUs directly or indirectly owned by the taxpayer on the transition date as well as all section 987 QBUs

directly or indirectly owned on the transition date by members that file a consoli-

Section 9501(b)(1)(D) of the ARP requires premium payees (as described in Notice 2021-31) to reimburse Assistance Eligible Individuals for premium amounts that those individuals would

have been required to pay if not for the COBRA premium assistance available under the ARP.

October 25, 2021

664

Bulletin No. 2021–43

dated return with the taxpayer or by any

controlled foreign corporation, as defined

in section 957, in which a member owns

more than 50 percent of the voting power

or stock value, as determined under section 958(a) (collectively, related parties).

A taxpayer and its related parties are not,

however, required to apply §1.987-7T of

the related temporary regulations to any

part of a taxable year ending on or after

May 13, 2019. For example, a calendar-year taxpayer applying the regulations

in accordance with this paragraph is not

required to apply §1.987-7T to the period

beginning on January 1, 2019 and ending

on May 13, 2019 (when §1.987-7T was

revoked).

The transition date is the first day of

the first taxable year to which §§1.987-1

through 1.987-10 are applicable with

respect to a taxpayer under §1.987-11.

Section 1.987-11(c). Therefore, if a taxpayer chooses to apply §§1.987-1 through

Bulletin No. 2021–43

1.987-10 to a taxable year beginning

before the amended applicability date, the

transition date is the first day of the first

taxable year in which the taxpayer chooses

to apply §§1.987-1 through 1.987-10.

For periods following the expiration of

the temporary regulations, a taxpayer may

rely on §§1.987-1 (other than §§1.9871(g)(2)(i)(B) and (g)(3)(i)(H)), 1.987-3,

1.987-6, 1.988-1, and 1.988-2(i) of the

proposed regulations, provided that the

taxpayer and its related parties consistently follow those proposed regulations

in their entirety and apply the 2016 final

regulations and the related 2019 final regulations for the same taxable year. In addition, a taxpayer may rely on §§1.987-1(g)

(2)(i)(B) and (g)(3)(i)(H) and 1.987-8 of

the proposed regulations, provided that

the taxpayer and its related parties consistently follow those proposed regulations

in their entirety. A taxpayer may rely on

§1.987-7 or 1.988-2(b)(16) of the pro-

665

posed regulations, provided that the taxpayer and its related parties consistently

follow each section of those proposed regulations on which it relies.

SECTION 3. TAXPAYER RELIANCE

Before the regulations under section

987 are amended as described in section 2

of this Notice, taxpayers may rely on the

provisions of this Notice.

SECTION 4. DRAFTING

INFORMATION

The principal author of this Notice is

Raphael J. Cohen of the Office of Associate Chief Counsel (International). For

further information regarding this Notice,

contact Raphael J. Cohen at (202) 3176938 (not a toll-free number).

October 25, 2021

NOTE. This revenue procedure will be reproduced as the next revision of IRS Publication 1167, General Rules and Specifications for Substitute Forms and

Schedules.

Rev. Proc. 2021-42

TABLE OF CONTENTS

Part 1 – INTRODUCTION TO SUBSTITUTE FORMS

Section 1.1 – Overview of Revenue Procedure 2021-42 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 667

Section 1.2 – IRS Contacts. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 668

Section 1.3 – What’s New. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 669

Section 1.4 – Definitions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 669

Section 1.5 – Agreement. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 671

Part 2 – GENERAL GUIDELINES FOR SUBMISSIONS AND APPROVALS

Section 2.1 – General Specifications for Approval. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 672

Section 2.2 – Highlights of Permitted Changes and Requirements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 674

Section 2.3 – Vouchers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 674

Section 2.4 – Restrictions on Changes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 677

Section 2.5 – Guidelines for Obtaining IRS Approval. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 677

Section 2.6 – Office of Management and Budget (OMB) Requirements for All

Substitute Forms. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 680

Part 3 – PHYSICAL ASPECTS AND REQUIREMENTS

Section 3.1 – General Guidelines for Substitute Forms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 681

Section 3.2 – Paper. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 683

Section 3.3 – Printing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 684

Section 3.4 – Margins. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 685

Section 3.5 – Miscellaneous Information for Substitute Forms. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 686

Part 4 – ADDITIONAL RESOURCES

Section 4.1 – Guidance From Other Revenue Procedures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 687

Section 4.2 – Electronic Tax Products. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 687

Part 5 – REQUIREMENTS FOR SPECIFIC TAX RETURNS

Section 5.1 – Tax Returns (Forms 1040, 1040-SR, 1120, etc.). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 687

Section 5.2 – Changes Permitted to Graphics (Form 1040 or 1040-SR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 688

Part 6 – FORMAT AND CONTENT OF SUBSTITUTE RETURNS

Section 6.1 – Acceptable Formats for Substitute Forms and Schedules. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 690

Section 6.2 – Additional Instructions for All Forms. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 691

Part 7 – MISCELLANEOUS FORMS AND PROGRAMS

Section 7.1 – Specifications for Substitute Schedules K-1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 693

Section 7.2 – Guidelines for Substitute Forms 8655. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 699

Part 8 – ADDITIONAL INFORMATION

Section 8.1 – Forms for Electronically Filed Returns. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 700

Section 8.2 – Effect on Other Documents. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 700

Section 8.3 – Exhibits. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 701

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Bulletin No. 2021–43

Part 1

Introduction to Substitute Forms

Section 1.1 – Overview of Revenue Procedure 2021-42

1.1.1

Purpose

The purpose of this revenue procedure is to provide guidelines and general requirements for the

development, printing, and approval of the 2021 substitute tax forms. Approval will be based on

these guidelines. After review and approval, submitted forms will be accepted as substitutes for

official IRS forms.

1.1.2

Unique Forms

Certain unique specialized forms require the use of other publications that supplement this publication. See Part 4.

1.1.3

Scope

The IRS accepts quality substitute tax forms that are consistent with the official forms and have no

adverse impact on processing. The IRS Substitute Forms Program (the Program) administers the

formal acceptance and processing of these forms nationwide. While this Program deals with paper

documents, it also reviews for approval other processing and filing forms used in electronic filing.

Only those substitute forms that fully comply with these requirements are acceptable. This revenue procedure is updated as required to reflect pertinent tax year form changes and to meet processing and/or legislative requirements.

1.1.4

Forms Covered by This

Revenue Procedure

1.1.5

Forms Not Covered by This

Revenue Procedure

Bulletin No. 2021–43

The following types of forms are covered by this revenue procedure.

•

IRS tax forms and their related schedules.

•

Worksheets as they appear in the instructions.

•

Applications for permission to file returns electronically and forms used as required documentation for electronically filed returns.

•

Powers of Attorney.

•

Over-the-counter estimated tax payment vouchers.

•

Forms and schedules relating to partnerships, exempt organizations, and employee plans.

The following types of forms are not covered by this revenue procedure. Refer to the publication

for questions.

•

W-2 and W-3. See Pub. 1141, General Rules and Specifications for Substitute Forms W-2 and

W-3.

•

W-2c and W-3c. See Pub. 1223, General Rules and Specifications for Substitute Forms W-2c

and W-3c.

667

October 25, 2021

1.1.6

Other Information Not

Covered by This Revenue

Procedure

•

941 and attached schedules. See Pub. 4436, General Rules and Specifications for Substitute

Form 941, Schedule B (Form 941), Schedule D (Form 941), Schedule R (Form 941), and

Form 8974.

•

1096, 1097-BTC, 1098 series, 1099 series, 3921, 3922, 5498 series, W-2G, and 1042-S. See

Pub. 1179, General Rules and Specifications for Substitute Forms 1096, 1098, 1099, 5498,

and Certain Other Information Returns.

•

1095-A, 1094-B, 1095-B, 1094-C, and 1095-C. See Pub. 5223, General Rules and Specifications for Affordable Care Act Substitute Forms 1095-A, 1094-B, 1095-B, 1094-C, and

1095-C.

•

8027. See Pub. 1239, Specifications for Electronic Filing of Form 8027, Employer’s Annual

Information Return of Tip Income and Allocated Tips.

•

Forms 1040-ES (OCR) and 1041-ES (OCR), which may not be reproduced.

•

Form 5500 series (for more information on these forms, see the Department of Labor website

at www.efast.dol.gov).

•

Forms 5300, 5307, 8717, and 8905, bar-coded forms requiring separate approval.

•

Forms used internally by the IRS.

•

State tax forms.

•

Forms developed outside the IRS.

The following information is not covered by this revenue procedure.

•

Requests for information or documentation initiated by the IRS.

•

General Instructions and Specific Instructions (these are not reviewed by the Program).

Section 1.2 – IRS Contacts

1.2.1

Where To Send Substitute

Forms

Send your substitute forms for approval to the following offices. Do not send forms with taxpayer

data.

Form

5500

5300, 5307, 8717, and 8905

Software developer vouchers (see

Sections 2.3.7–2.3.9)

ACA Forms 1094-B, 1095-B, 1094-C,

and 1095-C (for more information, see

Pub. 5223), and Schedule K-1 forms

must be emailed for scannability testing

October 25, 2021

668

Office and Address

Check EFAST2 information at the Department of

Labor website at www.efast.dol.gov.

Sandra.K.Barnes@irs.gov

Internal Revenue Service

Attn: Doris Bethea

5000 Ellin Road, C5-226

Lanham, MD 20706

Doris.E.Bethea@irs.gov

scrips@irs.gov

Bulletin No. 2021–43

Form

Schedule K-1 2-D bar-coded forms

All others covered by this publication

(see Section 1.1.4)

Office and Address

For mailing addresses for sending Schedule K-1

2-D bar-coded forms for testing, see Section 7.1.6.

Internal Revenue Service

Attn: Substitute Forms Program

SE:W:CAR:MP:P:TP

1111 Constitution Ave. NW, Room 6554

Washington, DC 20224

substituteforms@irs.gov

Section 1.3 – What’s New

1.3.1

What’s New

The following change has been made to this year’s revenue procedure.

•

.01 Editorial changes. We made editorial changes as needed and eliminated repetitive information.

Section 1.4 – Definitions

1.4.1

Substitute Form

A tax form (or related schedule) that differs in any way from the official version and is intended to

replace the form that is printed and distributed by the IRS. This term also covers those approved

substitute forms exhibited in this revenue procedure.

1.4.2

Printed/ Preprinted Form

A form produced using conventional printing processes or a printed form which has been reproduced by photocopying or a similar process.

1.4.3

Preprinted Pin- Fed Form

A printed form that has marginal perforations for use with automated and high-speed printing

equipment.

1.4.4

Computer- Prepared

Substitute Form

A preprinted form in which the taxpayer’s tax entry information has been inserted by a computer,

computer printer, or other computer-type equipment.

1.4.5

Computer- Generated

Substitute Tax Return or

Form

A tax return or form that is entirely designed and printed using a computer printer on plain white

paper. This return or form must conform to the physical layout of the corresponding IRS form,

although the typeface may differ. The text should match the text on the officially printed form as

closely as possible. Condensed text and abbreviations will be considered on a case-by-case basis.

Exception. All jurats (perjury statements) must be reproduced verbatim.

Bulletin No. 2021–43

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October 25, 2021

1.4.6

Manually Prepared Form

A preprinted reproduced form in which the taxpayer’s tax entry information is entered by an individual using a pen, a pencil, or other nonautomated equipment.

1.4.7

Graphics

Parts of a printed tax form that are not tax amount entries or required text. Examples of graphics

are line numbers, captions, shadings, special indicators, borders, rules, and strokes created by

typesetting, photographics, photocomposition, etc.

1.4.8

Acceptable Reproduced

Form

A legible photocopy or an exact replica of an original form.

1.4.9

Supporting Statement

(Supplemental Schedule)

A document providing detailed information to support a line entry on an official or approved substitute form and filed with (attached to) a tax return.

1.4.10

Specific Form Terms

The following specific terms are used throughout this revenue procedure in reference to all substitute forms: format, sequence, line reference, item caption, and data entry field.

1.4.11

Format

The overall physical arrangement and general layout of a substitute form.

1.4.12

Sequence

Sequence is an integral part of the total format requirement. The substitute form should show the

same numeric and logical placement order of data as shown on the official form.

1.4.13

Line Reference

The line numbers, letters, or alphanumerics used to identify each captioned line on an official

form. These line references are printed to the immediate left of each caption and/or data entry

field.

1.4.14

Item Caption

The text on each line of a form, which identifies the data required.

1.4.15

Data Entry Field

Designated areas for the entry of data such as dollar amounts, quantities, responses, and checkboxes.

1.4.16

Advance Draft

A draft version of a new or revised form may be posted to the IRS website (IRS.gov/DraftForms)

for information purposes. Substitute forms may be submitted based on these advance drafts, but

any submitter that receives forms approval based on these early drafts is responsible for monitoring and revising forms to reflect any revisions in the final forms provided by the IRS.

October 25, 2021

Note. A supporting statement is not a tax form and does not take the place of an official form.

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1.4.17

Approval

Generally, approval could be in writing or assumed after 20 business days from our receipt for

forms that have not been substantially changed by the IRS. This does not apply to newly created

or substantially revised IRS forms. However, the Program reserves the right to notify vendors of

any inaccuracies even after 20 business days have lapsed.

1.4.18

National Association

of Computerized Tax

Processors (NACTP)

The National Association of Computerized Tax Processors (NACTP) is a nonprofit association

that represents tax processing software and hardware developers, electronic filing processors, tax

form publishers, tax processing service bureaus, and payroll processors. The association promotes

standards in tax processing to advance efficient and effective tax filing. For more information, see

NACTP.org.

Section 1.5 – Agreement

1.5.1

Important Stipulation of

This Revenue Procedure

1.5.2

Response Policy and

Stipulations

Any person or company who uses substitute forms and makes all or part of the changes specified

in this revenue procedure agrees to the following stipulations.

•

The IRS presumes that any required changes are made in accordance with these procedures

and will not be disruptive to the processing of the tax return.

•

Should any of the changes be disruptive to the IRS’s processing of the tax return, the person

or company agrees to accept the determination of the IRS as to whether the form may continue to be filed.

•

The person or company agrees to work with the IRS in correcting noted deficiencies. Notification of deficiencies may be made by any combination of letter, email, or phone contact and

may include the request for the resubmission of unacceptable forms.

The Program will email confirmation of receipt of your forms submission, if possible. Even if you

do not receive emailed confirmation of receipt, you will receive an emailed “submission receipt,”

which will provide feedback on your submission. If the Program anticipates problems in completing the review of your submission within the 20-business-day period, the Program will send an

interim email notifying you of the extended period for review.

Once the substitute forms have been approved by the Program, you can release them after the final

versions of the forms have been issued by the IRS. Before releasing the forms, you are responsible

for updating forms approved as draft and for making form changes we requested.

The policy has the following stipulations.

Bulletin No. 2021–43

•

This 20-business-day policy applies to electronic submissions only. It does not apply to substitute submissions mailed to the Program.

•

The policy applies to submissions of 15 (optimal) or fewer items and submissions containing

75 pages or less. Submissions of more than 15 items may require additional review time.

•

If you send a large number of submissions within a short period of time, processing may be

delayed.

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•

Delays in processing could occur if the Program finds significant errors in your submission or

has experienced an increase in submissions. The Program will send you an interim email in

this case.

•

Any anticipated problems in processing your submission within the 20-business-day period

will generate an interim email on or about the 15th business day.

•

If any significant inaccuracies are discovered after the 20-business-day period, the Program

reserves the right to inform you and will require that changes be made to correct the inaccuracies.

•

The policy does not apply to substantially revised forms or to new forms created by the IRS

for which you have already made an initial submission.

Part 2

General Guidelines for Submissions and Approvals

Section 2.1 – General Specifications for Approval

2.1.1

Overview

If you produce any substitute tax forms that fully comply or follow the changes specifically outlined by the Program, then you can generate your own substitute forms without further approval.

Also, if your substitutes have received approval in the past, and there are no substantial formatting or text changes for the tax year, then changes can be made without additional approval. If

your changes are more extensive, you must get IRS approval before using substitute forms. More

extensive changes include different font style, decreasing or increasing the font size of caption

titles, adjusting or omitting format/layout elements, changing page orientation, repositioning line

items, tables, and legends.

2.1.2

Email Submissions

The Program accepts submissions of substitute forms for review and approval via email. The

email address is substituteforms@irs.gov. Please include the term “PDF Submissions” on the

subject line.

Follow these guidelines.

October 25, 2021

•

Email submission should include all the forms you wish to submit in one Portable Document

Format (PDF) file. Do not email or attach each form individually.

•

The emailed submission should include a maximum of 3 PDFs to include a checksheet, a

cover letter or accompanying statement, and a single PDF that includes all of the forms listed

on your checksheet, cover letter, or accompanying statement.

•

A submission should contain a maximum of 15 forms.

•

An approval checksheet listing the forms you are submitting should always be included in

the PDF file along with the forms. Excluding the checksheet can slow the reviewing process

down, which can result in a delayed response to your submission. See a sample checksheet in

Exhibit B.

•

Optimize PDF files before submitting.

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•

The maximum allowable email attachment is 2.5 megabytes.

•

The Program accepts zip files.

•

To alleviate delays during the peak time of September through December, submit advance

draft forms as early as possible.

If the guidelines are not followed, you may need to resubmit.

Emailing PDF submissions will not expedite review and approval. Submitting your substitute

forms package via email is the preferred and suggested method for submitting forms for review. If,

for some reason, you are not able to email your submission(s), you can mail your submission(s) to:

Internal Revenue Service

Attn: Substitute Forms Program

SE:W:CAR:MP:P:TP

1111 Constitution Ave. NW, Room 6554

Washington, DC 20224

2.1.3

Expediting the Process

Follow these basic guidelines for expediting the process.

•

Always include a checksheet for the Program’s response.

•

Include an accompanying statement identifying most, if not all, of the deviations your substitute forms may have from the official IRS version.

•

Follow the guidance in this publication for general substitute form guidelines. Follow the

guidance in specialized publications produced by the Program for other specific forms.

•

To spread out the workload, send in draft versions of substitute forms when they are posted.

Note. Be sure to make any changes to approved drafts before releasing final versions.

2.1.4

Schedules

Some schedules are considered to be an integral part of a complete tax return and must be submitted as part of the form. Other schedules may be submitted separately and do not need to be

included with the tax form.

2.1.5

Examples of Schedules That

Must Be Submitted With

the Return

Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return, is an example

of this situation. Its Schedules A through U have pages numbered as part of the basic return. For

Form 706 to be considered for approval, the entire form, including Schedules A through U, as well

as Schedule PC, must be submitted.

2.1.6

Examples of Schedules

That Can Be Submitted

Separately

Schedules C, D, and E for Form 1040 or 1040-SR are examples of schedules that can be submitted

separately. Although printed by the IRS as a supplement to Form 1040 or 1040-SR, these schedules are not required to be submitted for approval with Form 1040 or 1040-SR. These schedules

may be separated from Form 1040 or 1040-SR and submitted as substitute forms.

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2.1.7

Use and Distribution of

Unapproved Forms

The IRS is continuing a program to identify and contact tax return preparers, forms developers,

and software publishers who use or distribute unapproved forms that do not conform to this revenue procedure. The use of unapproved forms hinders the processing of the returns.

Section 2.2 – Highlights of Permitted Changes and Requirements

2.2.1

Methods of Reproducing

IRS Forms

There are methods of reproducing IRS printed tax forms suitable for use as substitutes without

prior approval.

•

You can photocopy most tax forms and use them instead of the official ones. The entire substitute form, including entries, must be legible.

•

You can reproduce any current tax form as cut sheets, snap sets, and marginally punched, pinfed forms as long as you use an official IRS version as the master copy.

•

You can reproduce a form that requires a signature as a valid substitute form. Many tax forms

(including returns) have a taxpayer signature requirement as part of the form layout. The

jurat/perjury statement/ signature line areas must be retained and worded exactly as on the

official form. The requirement for a signature, by itself, does not prohibit a tax form from

being properly computer generated.

Section 2.3 – Vouchers

2.3.1

Overview

All payment vouchers (Forms 940-V, 941-V, 943-V, 944-V, 945-V, 1040-ES, 1040-V, 1041-V,

and 2290-V) must be reproduced in conjunction with their forms. Substitute vouchers must be

the same size as the officially printed vouchers. Vouchers that are prepared for printing on a laser

printer may include a scan line.

2.3.2

Scan Line Specifications

NNNNNNNNN

XXXX

NNNNNN

NNN

Item: A

Social Security Number/Employer Identification Number (SSN/EIN) has 9 numeric (N)

spaces.

Check Digits have 2 alpha (A) spaces.

Name Control has 4 alphanumeric (X) spaces.

Master File Tax (MFT) Code has 2 numeric (N) spaces (see Section 2.3.3).

Taxpayer Identification Number (TIN) Type has 1 numeric (N) space (see Section 2.3.4).

Tax Period has 6 numeric (N) spaces in year/month format (YYYYMM).

Transaction Code has 3 numeric (N) spaces.

2.3.3

MFT Code

Code Number for Forms:

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•

1040 (family) – 30,

•

940 – 10,

•

941 – 01,

•

943 – 11,

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2.3.4

TIN Type

•

944 – 14,

•

945 – 16,

•

1041-V – 05,

•

2290 – 60, and

•

4868 – 30.

Type Number for:

•

Form 1040 (family), 4868 – 0; and

•

Forms 940, 941, 943, 944, 945, 1041-V, and 2290 – 2.

2.3.5

Voucher Size

The voucher size must be exactly 8.0″ x 3.25″ (Forms 1040-ES and 1041-ES must be 7.625″ x

3.0″). The document scan line must be vertically positioned 0.25 inches from the bottom of the

scan line to the bottom of the voucher. The last character on the right of the scan line must be

placed 3.5 inches from the right leading edge of the document. The minimum required horizontal

clear space between characters is 0.014 inches. The line to be scanned must have a clear band 0.25

inches in height from top to bottom of the scan line, and from border to border of the document.

“Clear band” means no printing except for dropout ink.

2.3.6

Print and Paper Weight

Vouchers must be imaged in black ink using OCR A, OCR B, or Courier 10. These fonts may not

be mixed in the scan line. The horizontal character pitch is 10 CPI. The preferred paper weight is

20 to 24 pound OCR bond.

2.3.7

Specifications for Software

Developers

Certain vouchers may be reproduced for use in the IRS lockbox system. These include the 1040-V,

1040-ES, 1041-V, the 94X family, and 2290 vouchers. Software developers must follow these specific guidelines to produce scannable vouchers strictly for lockbox purposes. Also see Exhibit A.

Bulletin No. 2021–43

•

The total depth must be 3.25 inches.

•

The scan line must be 0.5 inches from the bottom edge and 1.75 inches from the left edge of

the voucher and left justified.

•

Software developers’ vouchers must be 8.5 inches wide (instead of 8 inches with a cut line).

Therefore, no vertical cut line is required.

•

Scan line positioning must be exact.

•

Do not use the over-the-counter format voucher and add the scan line to it.

•

All scanned data must be in 12-point OCR A font.

•

The 4-digit NACTP ID code or IRS source code should be placed under the payment indicator arrow.

•

Windowed envelopes must not display the scan line in order to avoid disclosure and privacy

issues.

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Note. All software developers must ensure that their software uses OCR A font so taxpayers will

be able to print the vouchers in the correct font.

2.3.8

Specific Line Positions

Follow these line specifications for entering taxpayer data in the lockbox vouchers.

Start Row Start Column Width End Column

Line Specifications for Taxpayer Data:

Taxpayer Name

Taxpayer Address, Apt.

Taxpayer City, State, ZIP

Foreign Country Name

Foreign Province/County

Foreign Postal Code

Line Specifications for Mail To Data:

Mail Name

Mail Address

Mail City, State, ZIP

Line Specifications for:

Scan Line

2.3.9

How To Get Approval

n/a

To receive approval, the following procedures are in effect due to COVID-19.

Please send an approval sheet with each form type for IRS signature to Doris Bethea at Doris.E.Bethea@irs.gov. You should include in the email an example of each type of voucher the site will be

testing. Note. Do not mail any test vouchers to Doris Bethea.

You are required to send 25 voucher samples of each form in PDF format. You should email the

test vouchers to raul.t.mariduena@jpmorgan.com. You can also print the vouchers and send them

to his mailing address at:

JP Morgan Chase

Attn: Raul Mariduena

830 Tyvola Road, Suite 114

Charlotte, NC 28217

To receive approval under regular circumstances, please send in 25 voucher samples yearly for

each form type or scenario, by December 10, 2021, for testing to the following address.

Internal Revenue Service

Attn: Doris Bethea, C5-226

5000 Ellin Road

Lanham, MD 20706

For further information, contact Doris Bethea at Doris.E.Bethea@irs.gov, or at 240-613-5922

(not toll free), or Kathryn Wheelock at Kathryn.F.Wheelock@irs.gov, or at 816-499-4443 (not

toll free).

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Section 2.4 – Restrictions on Changes

2.4.1

What You Cannot Do

to Forms Suitable for

Substitute Tax Forms

You cannot, without prior IRS approval, change any IRS tax form or use your own (nonapproved)

versions including graphics, unless specifically permitted by this revenue procedure. See Sections

2.5.7 through 2.5.11.

You cannot adjust any of the graphics on Form 1040 or 1040-SR (except in those areas specified

in Part 5 of this revenue procedure) without prior approval from the Program.

You cannot rearrange or redistribute data entry fields, and/or allow data entry fields to flow from

one page onto the next (that is, each page of a substitute form must contain the exact number of

data entry fields as there are on the official IRS form). The order of information on the substitute

form must be identical to the IRS version of the form. Publications for specific substitute forms

will state allowances for those respective forms.

Note. The 20-business-day turnaround policy may not apply to extensive changes.

Section 2.5 – Guidelines for Obtaining IRS Approval

2.5.1

Basic Requirements

Preparers who submit substitute privately designed, privately printed, computer-generated, or

computer-prepared tax forms must develop these substitutes using the guidelines established in

this part. These forms, unless there is an exception outlined by the revenue procedure, must be

approved by the IRS before being filed.

2.5.2

Conditional Approval

Based on Advance Drafts

The IRS cannot grant final approval of your substitute form until the official form has been published. However, the IRS posts advance draft forms on its website at IRS.gov/DraftForms.

We encourage submission of proposed substitutes of these advance draft forms and will grant conditional approval based solely on these early drafts. These advance drafts are subject to significant

change before forms are finalized. If these advance drafts are used as the basis for your substitute

forms, you will be responsible for subsequently updating your final forms to agree with the final

official version. These revisions need not be resubmitted for further approval.

Note. Approval of forms based on advance drafts will not be granted after the final version of an

official form is published.

2.5.3

Submission Procedures

Bulletin No. 2021–43

Follow these general guidelines when submitting substitute forms for approval.

•

Any alteration of forms must be within the limits acceptable to the IRS. It is possible that,

from one filing period to another, a change in law or a change in internal need (processing,

audit, compliance, etc.) may change the allowable limits for the alteration of the official form.

•

When approval of any substitute form (other than those exceptions specified in Part 1, Section 1.2 – IRS Contacts) is requested, a sample of the proposed substitute form should be

emailed for consideration to the Program at the address shown in Section 1.2.1.

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•

Schedules and forms (for example, Forms 3468, 4136, etc.) that can be used with more than

one type of return (for example, Forms 1040, 1040-SR, 1041, 1120, etc.) should be submitted

only once for approval, without regard to the number of different tax returns with which they

may be associated. Also, all pages of multi-page forms or returns should be submitted in the

same package.

2.5.4

Approving Offices

Because only the Program is authorized to approve substitute forms, unnecessary delays may

occur if forms are sent to the wrong office. You may receive an interim letter about the delay. The

Program may then coordinate the response with the originator responsible for revising that particular form. Such coordination may include allowing the originator to officially approve the form.

No IRS office is authorized to allow deviations from this revenue procedure.

2.5.5

IRS Review of Software

Programs, etc.

The IRS does not review or approve the logic of specific software programs, nor does the IRS

confirm the calculations on the forms produced by these programs. The accuracy of the program

remains the responsibility of the software package developer, distributor, or user.

The Program is primarily concerned with the pre-filing quality review of the final forms that are

expected to be processed by IRS field offices. For this purpose, you should submit forms without

including any taxpayer information such as names, addresses, monetary amounts, etc.

If the software used is programmed to produce copies with populated fields, then you must use

dummy information. This will allow the Program to review and provide feedback or approval.

Vendors should use “0” for all number values and “X” for any information that requires alpha

characters.

2.5.6

When To Send Proposed

Substitutes

Proposed substitutes, which are required to be submitted per this revenue procedure, should be

sent as much in advance of the filing period as possible. This is to allow adequate time for analysis

and response.

2.5.7

Accompanying Statement

When submitting sample substitutes, you should include an accompanying statement that lists

each form number and its changes from the official form (position, arrangement, appearance, line

numbers, additions, deletions, etc.). With each of the items, you should include a detailed reason

for the change.

When requesting approval, please include a checksheet. Checksheets expedite the approval process. The checksheet may look like the example in Exhibit B displayed in the back of this procedure or may be one of your own design.

Please include your email address on the checksheet.

2.5.8

Approval/ Nonapproval

Notice

October 25, 2021

The Program will email the checksheet or an approval letter to the originator, unless:

•

The requester has asked for a formal letter, or

•

Significant corrections to the submitted forms are required.

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Notice of approval may impose qualifications before using the substitutes. Notices of unapproved

forms may specify the changes required for approval and require resubmission of the form(s) in

question. When appropriate, you will be contacted by telephone.

2.5.9

Duration of Approval

Most signature tax returns and many of their schedules and related forms have the tax year printed

in the upper right corner. Approvals for these annual forms are usually good for 1 calendar year

(January through December of the year of filing). Quarterly tax forms in the 94X series and Form

720 require approval for any quarter in which the form has been revised.

Because changes are usually made to an annual form every year, each new filing season generally

requires a new submission of a substitute form. Very rarely is updating the preprinted year the only

change made to an annual form. However, if no significant content, formatting, or layout changes

were made to a tax form, then review and approval received for the prior tax year can be carried

over into the current tax year.

2.5.10

Limited Continued Use of

an Approved Change

Limited changes approved for one tax year may be allowed for the same form in the following tax

year. Examples are the use of abbreviated words, revised form spacing, compressed text lines, and

shortened captions, etc., which do not change the integrity of lines or text on the official forms.

If the vendor or filer makes substantial changes to the form, new substitutes must be submitted

for approval. If the vendor or filer makes only minor editorial changes to the form, or makes any

changes that mirror changes the IRS makes to the form’s official version, the new substitute does

not need to be submitted for approval. It is the responsibility of each vendor who has been granted

permission to produce substitute forms to monitor and revise forms to mirror any revisions to the

official forms made by the IRS. If there are any questions, please contact the Program.

2.5.11

When Approval Is Not

Required

If you received approval for a specific change on a form last year, you may make the same change

this year if the item is still present on the official form.

•

The new substitute form does not have to be submitted to the IRS and approval based on that

change is not required.

•

However, the new substitute form must conform to the official current year IRS form in

other respects, such as date, Office of Management and Budget (OMB) approval number,

attachment sequence number, Paperwork Reduction Act Notice statement, arrangement, item

caption, line number, line reference, data sequence, etc.

•

The new substitute form must also comply with changes to the guidelines in this revenue procedure. The procedure may have eliminated, added to, or otherwise changed the guideline(s)

that affected the change approved in the prior year.

•

An approved change is authorized only for the period from a prior tax year substitute form to

a current tax year substitute form.

Exception. Forms with temporary, limited, or interim approvals (or with approvals that state a

change is not allowed in any other tax year) are subject to review in subsequent years.

2.5.12

Required Copies

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Generally, you must send us one copy of each form being submitted for approval. However, if

you are producing forms for different computer platforms (for example, Microsoft vs. Apple),

different tax preparation software (for example, TurboTax® vs. TaxSlayer®), or different types

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of printers (for example, inkjet vs. impact), and these forms differ significantly in appearance,

submit one copy for each type of platform, tax preparation software, or printer.

2.5.13

Requestor’s Responsibility

2.5.14

Source Code

Following receipt of an initial approval for a substitute forms package or a software output program to print substitute forms, it is the responsibility of the originator (designer or distributor) to

provide client firms or individuals with forms that meet the IRS’s requirements for continuing

acceptability. Examples of this responsibility include:

•

Using the prescribed print paper, font size, legibility, state tax data deletion, etc.; and

•

Informing all users of substitute forms of the legal requirements of the Paperwork Reduction

Act Notice, which is generally found in the instructions for the official IRS forms.

The Program will assign a unique source code to each firm that submits substitute forms for

approval. This source code will be a permanent identifier that must be used on every submission

by a particular firm.

The source code consists of three alpha characters and should generally be printed under or to the

left of the “Paperwork Reduction Act” statement. Vendors must ensure that the source code is not

printed too close to or within the left or bottom 1/2-inch margin to avoid the source code from

being cut off during printing.

Section 2.6 – Office of Management and Budget (OMB) Requirements for All Substitute Forms

2.6.1

OMB Requirements for

All Substitute Forms

There are legal requirements of the Paperwork Reduction Act of 1995 (the Act). Public Law 10413 requires the following.

•

OMB approves all IRS tax forms that are subject to the Act.

•

Each IRS form contains (in the upper right corner) the OMB number, if assigned.

•

Each IRS form (or its instructions) states why the IRS needs the information, how it will be

used, and whether or not the information is required to be furnished to the IRS.

This information must be provided to every user of official or substitute IRS forms or instructions.

2.6.2

Application of the

Paperwork Reduction Act

2.6.3

Required Explanation to

Users

October 25, 2021

On forms that have been assigned OMB numbers:

•

All substitute forms must contain in the upper right corner the OMB number that is on the

official form, and

•

The required format is: OMB No. 1545-XXXX (preferred) or OMB # 1545-XXXX (acceptable).

You must inform the users of your substitute forms of the IRS use and collection requirements

stated in the instructions for official IRS forms.

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•

If you provide your users or customers with the official IRS instructions, each form must

retain either the Paperwork Reduction Act Notice (or Disclosure, Privacy Act, and Paperwork

Reduction Act Notice), or a reference to it as the IRS does on the official forms (usually in the

lower left corner of the forms).

•

This notice reads, in part, “We ask for tax return information to carry out the tax laws of the

United States. ”

Note. If no IRS instructions are provided to users of your forms, the exact text of the Paperwork

Reduction Act Notice (or Disclosure, Privacy Act, and Paperwork Reduction Act Notice) must be

furnished separately or on the form.

2.6.4

Finding the OMB Number

and Paperwork Reduction

Act Notice

The OMB number and the Paperwork Reduction Act Notice, or references to it, may be found

printed on an official form (or its instructions). The number and the notice are included on the

official paper format and in other formats produced by the IRS.

Part 3

Physical Aspects and Requirements

Section 3.1 – General Guidelines for Substitute Forms

3.1.1

General Information

The official form is the standard. Because a substitute form is a variation from the official form,

you should know the requirements of the official form for the year of use before you modify it to

meet your needs. To obtain the most frequently used tax forms, visit IRS.gov/Forms.

3.1.2

Design

Each form must follow the design of the official form as to format arrangement, item caption, line

numbers, line references, and sequence.

3.1.3

State Tax Information

Prohibited

Generally, state tax information must not appear on the federal tax return, associated form, or

schedule that is filed with the IRS. Exceptions occur when amounts are claimed on, or required by,

the federal return (for example, state and local income taxes on Schedule A (Form 1040)).

3.1.4

Vertical Alignment of

Amount Fields

THEN...

IF a form is to be...

manually prepared and the official IRS form 1. the entry column must have a vertical line or

still has a separate cents entry field

some type of indicator in the amount field to

separate dollars from cents, and

2. the cents column must be at least 3/10″ wide.

computer generated

1. vertically align the amount entry fields

where possible,and

2. use one of the following amount formats.

a) 0,000,000.

b) 0,000,000.00.

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IF a form is to be...

computer prepared

THEN...

3.1.5

Attachment Sequence

Number

you may remove the vertical line in the

amount field that separates dollars from

cents, and

use one of the following amount formats.

a) 0,000,000.

b) 0,000,000.00.

Many individual income tax forms have a required “attachment sequence number” located just

below the year designation in the upper right corner of the form. The IRS uses this number to

indicate the order in which forms are to be attached to the tax return for processing. Some of the

attachment sequence numbers may change from year to year.

The following applies to computer-prepared forms.

3.1.6

Assembly of Forms

•

The sequence number may be printed in no less than 12-point boldface type and centered

below the form’s year designation.

•

The sequence number may also be placed following the year designation for the tax form and

separated with an asterisk.

•

The actual number may be printed without labeling it the “Attachment Sequence Number.”

When developing software or forms for use by others, please inform your customers/clients that

the order in which the forms are arranged may affect the processing of the package. A return must

be arranged in the order indicated below.

IF the form is...

THEN the sequence is...

1040 or 1040-SR

• Form 1040 or 1040-SR, and schedules and forms in attachany other tax return (Form

mentsequence number order.

1120, 1120-S, 1065, 1041, • the tax returns, directly associated schedules (Schedule

etc.)

D, etc.),directly associated forms, additional schedules in

alphabetical order, and additional forms in numerical order.

Supporting statements should then follow in the same sequence as the forms they support. Additional information required should be attached last.

In this way, the forms are received in the order in which they must be processed. If you do not send

returns to the IRS in order, processing may be delayed.

3.1.7

Paid Preparer’s

Information and Signature

Area

On Forms 1040, 1040-SR, 1120, and any other applicable tax forms, the “Paid Preparer Use Only”

area may not be rearranged or relocated. You may, however, add three extra lines to the paid preparer’s address area, and remove the horizontal rules in that area without prior approval.

3.1.8

Some Common Reasons

for Requiring Changes to

Substitute Forms

Some reasons that substitute form submissions may require changes include the following.

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•

Shading areas incorrectly.

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Bulletin No. 2021–43

•

Failing to include a reference to the location of the Paperwork Reduction Act Notice.

•

Not including parentheses for losses.

•

Not including “Attach Statement” when appropriate.

•

Including line references or entry spaces that do not match the official form.

•

Printing text that is different from the official form.

•

Altering the jurat (perjury statement).

•

Having an incorrect OMB number.

•

Including the IRS catalog number (Cat. No.) on the form.

•

Failing to include preprinted amounts in entry fields.

•

Missing IRS source code or NACTP software ID.

•

Incorrect dimensions.

Section 3.2 – Paper

3.2.1

Paper Content

3.2.2

Paper With Chemical

Transfer Properties

The paper must be:

•

Chemical wood writing paper that is equal to or better than the quality used for the official

form,

•

At least 18 pound (17″ x 22″, 500 sheets), or

•

At least 50 pound offset book (25″ x 38″, 500 sheets).

There are several kinds of paper prohibited for substitute forms. These are:

Carbon-bonded paper, and

Chemical transfer paper except when the following specifications are met.

Each ply within the chemical transfer set of forms must be labeled.

Only the top ply (ply one and white in color), the one that contains chemical on the back

only (coated back), may be filed with the IRS.

Example. A set containing three plies would be constructed as follows: ply one (coated back),

“Federal Return, File with IRS”; ply two (coated front and back), “Taxpayer’s copy”; and ply

three (coated front), “Preparer’s copy.”

The file designation, “Federal Return, File with IRS” for ply one, must be printed in the bottom

right margin (just below the last line of the form) in 12-point boldface type.

It is not mandatory, but recommended, that the file designation “Federal Return, File with IRS” be

printed in a contrasting ink for visual emphasis.

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3.2.3

Paper and Ink Color

It is preferred that the color and opacity of paper substantially duplicate that of the original form.

This means that your substitute must be printed in black ink and may be on white paper or on the

colored paper the IRS form is printed on. Form 1040 or 1040-SR substitute reproductions may be

in black ink without the colored shading. The only exception to this rule is Form 1041-ES, which

should be printed with a PMS 100 yellow shading in the color screened area. This is necessary to

assist us in expeditiously separating this form from the very similar Form 1040-ES.

3.2.4

Page Size

Substitute or reproduced forms and computer-prepared/-generated substitutes may be the same

size as the official form or they may be the standard commercial size (8.5″ x 11″). The thickness

of the stock cannot be less than 0.003 inches.

Section 3.3 – Printing

3.3.1

Printing Medium

The private printing of all substitute tax forms must be by conventional printing processes, photocopying, computer graphics, or similar reproduction processes.

3.3.2

Legibility

All forms must have a high standard of legibility as to printing, reproduction, and fill-in matter.

Entries of taxpayer data may be no smaller than 8 points. The IRS reserves the right to reject those

with poor legibility. The ink and printing method used must ensure that no part of a form (including text, graphics, data entries, etc.) develops “smears” or similar quality deterioration. This standard must be followed for any subsequent copies or reproductions made from an approved master

substitute form, either during preparation or during IRS processing.

3.3.3

Type Font

Many federal tax forms are printed using “Helvetica” as the basic type font. It is preferred that you

use this type font when composing substitute forms.

3.3.4

Print Spacing

Substitute forms should be printed using a 6 lines/inch vertical print option. They should also be

printed horizontally in 10-pitch pica (that is, 10 print characters per inch) or 12-pitch elite (that is,

12 print positions per inch).

3.3.5

Image Size

The image size of a printed substitute form should be as close as possible to that of the official

form. You may omit any text on both computer-prepared and computer-generated forms that is

solely instructional.

3.3.6

Title Area Changes

To allow a large top margin for marginal printing and more lines per page, the title line(s) for all

substitute forms (not including the form’s year designation and sequence number, when present)

may be photographically reduced by 40% or reset as one line of type. When reset as one line, the

type size may be no smaller than 14 points. You may omit “Department of the Treasury—Internal

Revenue Service” and all references to instructions in the form’s title area.

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3.3.7

Remove Government

Printing Office Symbol and

IRS Catalog Number

When privately printing substitute tax forms, the Government Printing Office (GPO) symbol and/

or jacket number must be removed. In the same place using the same type size, print the Employer

Identification Number (EIN) of the printer or designer or the IRS-assigned source code. (We prefer this last number be printed in the lower left area of the first page of each form.) Also, remove

the IRS catalog number (Cat. No.) and the recycle symbol if the substitute is not produced on

recycled paper.

3.3.8

Printing Single Page Forms

Substitute single page forms should be reproduced the same as IRS single page forms. Other

forms or schedules should not be printed on the back or on blank portions of a single page form.

However, printing instructions on the back or on blank portions of a single page form is acceptable.

3.3.9

Photocopy Equipment

The IRS does not undertake to approve or disapprove the specific equipment or process used in

reproducing official forms. Photocopies of forms must be entirely legible and satisfy the conditions stated in this and other revenue procedures.

3.3.10

Reproductions

Reproductions of official forms and substitute forms that do not meet the requirements of this

revenue procedure may not be filed instead of the official forms. Illegible photocopies are subject

to being returned to the filer for resubmission of legible copies.

3.3.11

Removal of Instructions

Generally, you may remove references to instructions. No prior approval is needed. However, in

some instances, you may be requested to include references to instructions.

Exception. The words “For Paperwork Reduction Act Notice, see instructions” must be retained,

or a similar statement indicating the location of the Notice must be provided on each form.

Section 3.4 – Margins

3.4.1

Margin Size

3.4.2

Marginal Printing

Bulletin No. 2021–43

The format of a reproduced tax form when printed on the page must have margins on all sides at

least as large as the margins on the official form. This allows room for IRS employees to make

necessary entries on the form during processing.

•

A 1/2-inch to 1/4-inch margin must be maintained across the top, bottom, and both sides of

all substitute forms.

•

The marginal, perforated strips containing pin-fed holes must be removed from all forms

prior to filing with the IRS.

Prior approval is not required for the marginal printing allowed when printed on an official form

or on a photocopy of an official form.

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October 25, 2021

•

With the exception of the actual tax return forms (for example, Forms 1040, 1040-SR, 1120,

940, 941, etc.), you may print in the left vertical margin and in the left half of the bottom

margin.

•

Printing is never allowed in the top right margin of the tax return form (for example, Forms

1040, 1040-SR, 1120, 940, 941, etc.). The IRS uses this area to imprint a Document Locator

Number for each return. There are no exceptions to this requirement.

Section 3.5 – Miscellaneous Information for Substitute Forms

3.5.1

Filing Substitute Forms

To be acceptable for filing, a substitute form must print out in a format that will allow the filer to

follow the same instructions that accompany official forms.

The form must be legible, must be on the appropriately sized paper, and must include a jurat (perjury statement) where one appears on the published form.

3.5.2

Caution to Software

Publishers

The IRS has received returns produced by software packages with approved output where either

the form heading was altered or the lines were spaced irregularly. This produces an illegible or

unrecognizable return or a return with the wrong number of pages. We realize that many of these

problems are caused by individual printer differences but they may delay input of return data and,

in some cases, generate correspondence to the taxpayer. Therefore, in the instructions to the purchasers of your product, both individual and professional, please stress that their returns will be

processed more efficiently if they are properly formatted. This includes:

•

Having the correct form numbers, six-digit form identifying numbers, and titles at the top of

the return; and

•

Submitting the same number of pages as if the form were an official IRS form with the line

items on the proper pages.

3.5.3

Caution to Producers of

Software Packages

If you are producing a software package that generates name and address data onto the tax return,

do not, under any circumstances, program either the IRS preprinted check digits or a practitioner-derived name control to appear on any return prepared and filed with the IRS.

3.5.4

Programming to Print

Forms

Whenever applicable:

October 25, 2021

•

Use only the following label information format for single filers: JOHN Q. DOE 000 OAK

DRIVE HOMETOWN, STATE 00000

•

Use only the following information for joint filers: JOHN Q. DOE MARY Q. DOE 000 OAK

DRIVE HOMETOWN, STATE 00000

•

Use “0” for number values and “X” for alpha characters entered in data entry fields as dummy

copy.

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Part 4

Additional Resources

Section 4.1 – Guidance From Other Revenue Procedures

4.1.1

General

The IRS publications listed below provide guidance for substitute tax forms not covered in this

revenue procedure. These publications are available on the IRS website. Use the publication number listed below to search for the requested document.

•

Pub. 1141, General Rules and Specifications for Substitute Forms W-2 and W-3.

•

Pub. 1179, General Rules and Specifications for Substitute Forms 1096, 1098, 1099, 5498,

and Certain Other Information Returns.

•

Pub. 1223, General Rules and Specifications for Substitute Forms W-2c and W-3c.

•

Pub. 4436, General Rules and Specifications for Substitute Form 941, Schedule B (Form

941), Schedule D (Form 941), Schedule R (Form 941), and Form 8974.

•

Pub. 5223, General Rules and Specifications for Affordable Care Act Substitute Forms 1095A, 1094-B, 1095-B, 1094-C, and 1095-C.

Section 4.2 – Electronic Tax Products

4.2.1

The IRS Website

Copies of tax forms, their instructions, publications, fillable forms, and prior year forms and publications may be found on the IRS website at IRS.gov/FormsPubs.

Draft forms and instructions may be found at IRS.gov/DraftForms.

Other tax-related information may be found at IRS.gov.

4.2.2

System Requirements

and Ordering Forms and

Instructions

For system requirements, contact the National Technical Information Service (NTIS) at NTIS.gov.

Prices are subject to change.

You can order IRS forms and other tax material at IRS.gov/OrderForms.

Part 5

Requirements for Specific Tax Returns

Section 5.1 – Tax Returns (Forms 1040, 1040-SR, 1120, etc.)

5.1.1

Acceptable Forms

Bulletin No. 2021–43

Tax return forms (such as Forms 1040, 1040-SR, and 1120) require a signature and establish tax

liability. Computer-generated versions are acceptable under the following conditions.

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October 25, 2021

5.1.2

Prohibited Forms

•

These substitute forms must be printed on plain white paper.

•

Substitute forms must conform to the physical layout of the corresponding IRS form although

the typeface may differ. The text should match the text on the officially published form as

closely as possible. Condensed text and abbreviations will be considered on a case-by-case

basis. Caution. All jurats (perjury statements) must be reproduced verbatim. No text can be

added, deleted, or changed in meaning.

•

Various computer graphic print media such as laser printing, inkjet printing, etc., may be used

to produce the substitute forms.

•

The substitute form must be the same number of pages and contain the same text on the lines

as the official form.

•

All substitute forms must be submitted for approval prior to their original use. You do not

need approval for a substitute form if its only change is the preprinted year and you had

received a prior year approval letter. Exception. If the approval letter specifies a one-time

exception for your form, the next year’s form must be approved.

The following are prohibited.

•

Computer-generated tax forms (for example, Form 1040, 1040-SR, etc.) on lined or color-barred paper.

•

Tax forms that differ from the official IRS forms in a manner that makes them nonstandard or

unable to process.

5.1.3

Changes Permitted to Form

1040

Certain changes (listed in Section 5.2) are permitted to the graphics of the form without prior

approval, but these changes apply to only acceptable preprinted forms. Changes not requiring

prior approval are good only for the annual filing period, which is the current tax year. Such

changes are valid in subsequent years only if the official form does not change.

5.1.4

Other Changes Not Listed

All changes not listed in Section 5.2 require approval from the IRS before the form can be filed.

Section 5.2 – Changes Permitted to Graphics (Form 1040 or 1040-SR)

5.2.1

Adjustments

You may make minor vertical and horizontal spacing adjustments to allow for computer or word

processing printing. This includes widening the amount columns or tax entry areas if the adjustments comply with other provisions stated in revenue procedures. No prior approval is needed for

these changes.

Schedules 1–3 cannot be combined for filing purposes. For the client copy of the return, the numbered schedules may be printed two to a page (for example, Schedule 3 below Schedule 2, if both

are completed as part of the return). If numbered schedules are combined on the client copy, it

must include a statement that it is “Not for Filing.”

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5.2.2

Name and Address Area

The horizontal rules and instructions within the name and address area may be removed and the

entire area left blank. No line or instruction can remain in the area. The heavy-ruled border (when

present) that outlines the name, address area, and social security number must not be removed,

relocated, expanded, or contracted.

5.2.3

Required Format

When the name and address area is left blank, the following format must be used when printing

the taxpayer’s name and address.

5.2.4

Conventional Name and

Address Data

•

1st name line (35 characters maximum).

•

2nd name line (35 characters maximum).

•

In-care-of name line (35 characters maximum).

•

City, state (25 characters maximum), one blank character, and ZIP code.

When there is no in-care-of name line, the name and address will consist of only three lines (single

filer) or four lines (joint filer).

Example of joint filer. Name and address (joint filer) with no in-care-of name line:

JOHN Q. DOE

MARY Q. DOE

000 ANYWHERE ST., APT. 000

ANYTOWN, STATE 00000

Example of in-care-of name line. Name and address (single filer) with in-care-of name line:

JOHN Q. DOE

C/O JOHN R. DOE

0000 SOMEWHERE AVE.

SAMETOWN, STATE 00000

5.2.5

SSN and Employer

Identification Number

(EIN) Area

The broken vertical lines separating the format arrangement of the SSN/EIN may be removed.

When the vertical lines are removed, the SSN and EIN formats must be 000-00-0000 or

00-0000000, respectively.

5.2.6

Entering Cents

•

You may remove the vertical rule that separates the dollars from the cents if it is still included

on the official IRS form.

•

All entries in the amount column should have a decimal point following the whole dollar

amounts whether or not the vertical line that separates the dollars from the cents is present.

•

You may omit printing the cents, but all amounts entered on the form must follow a consistent

format. You are strongly urged to round off the figures to whole dollar amounts, following the

official form instructions.

•

When several amounts are added together, the total should be rounded off after addition (that

is, individual amounts should not be rounded off for computation purposes).

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•

When printing money amounts, you must use one of the following formats: (a) 0,000,000;

(b) 0,000,000.00.

•

When there is no entry for a line, leave the line blank.

5.2.7

Changes to Lines

No prior approval is needed for the following changes (for use with computer-prepared forms

only). Specific line numbers in the following headings may have changed due to tax law changes.

5.2.8

Dependents on Form 1040

The vertical lines separating columns (1) through (4) may be removed. The captions may be shortened to allow a one-line caption for each column.

5.2.9

Other Lines

Any other line with text that takes up two or more vertical lines may be compressed to one line by

using contractions, etc., and by removing instructional references.

5.2.10

Form 1040 – Tax

You may change the line caption to read “Tax” and computer print the words “Total includes tax

from” and either “Form(s) 8814” or “Form 4972” or “962 election.” If both forms are used, print

both form numbers. This specific line number may have changed.

5.2.11

Color Screening

It is not necessary to duplicate the color screening used on the official form. A substitute Form

1040 or 1040-SR may be printed in black and white only with no color screening.

5.2.12

Other Changes Prohibited

No other changes to the Form 1040 or 1040-SR graphics are permitted without prior approval

except for the removal of instructions and references to instructions.

Part 6

Format and Content of Substitute Returns

Section 6.1 – Acceptable Formats for Substitute Forms and Schedules

6.1.1

Exhibits and Use of

Acceptable Formats

October 25, 2021

Exhibit A is an acceptable format for Form 1040-ES.

•

If your computer-generated Form 1040-ES appears exactly like Exhibit A, no prior authorization is needed.

•

You may computer-generate forms not shown here, but you must design them by following

the manner and style discussed in Part 3.

•

Take care to observe the other requirements and conditions in this revenue procedure. The

IRS encourages the submission of all proposed forms covered by this revenue procedure.

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6.1.2

Instructions

The format of each substitute form or schedule must follow the format of the official form or

schedule as to item captions, line references, line numbers, sequence, form arrangement and format, etc. Basically, try to make the form look like the official one, with readability and consistency

being primary factors. You may use periods and/or other similar special characters to separate the

various parts and sections of the form. Do not use alpha or numeric characters for these purposes.

All line numbers and items must be printed even though an amount is not entered on the line.

6.1.3

Line Numbers

When a line on an official form is designated by a number or a letter, that designation (reference

code) must be used on a substitute form. The reference code must be printed to the left of the text

of each line and immediately preceding the data entry field, even if no reference code precedes

the data entry field on the official form. If an entry field contains multiple lines and shows the line

references once on the left and right side of the form, use the same number of line references on

the substitute form.

In addition, the reference code that is immediately before the data field must either be followed

by a period or enclosed in parentheses. There must also be at least two blank spaces between the

period or the right parenthesis and the first digit of the data field. (See Section 6.1.4.)

6.1.4

Decimal Points

A decimal point (a period) should be used for each money amount regardless of whether the

amount is reported in dollars and cents or in whole dollars, or whether or not the vertical line that

separates the dollars from the cents is present. The decimal points must be vertically aligned when

possible.

Example:

5 State and local taxes

a State and local income taxes.....................

b State and local real estate taxes................

c State and local personal property taxes....

5a.

000.00

5b.

5c.

000.00

(5a)

000.00

a State and local income taxes.....................

b State and local real estate taxes................

c State and local personal property taxes....

6.1.5

Multi-Page Forms

(5b)

(5c)

000.00

When submitting a multi-page form, send all its pages in the same package. If you will not be

producing certain pages, please note that in your cover letter.

Section 6.2 – Additional Instructions for All Forms

6.2.1

Use of Your Own Internal

Control Numbers and

Identifying Symbols

You may show the computer-prepared internal control numbers and identifying symbols on the

substitute if using such numbers or symbols is acceptable to the taxpayer and the taxpayer’s representative. Such information must not be printed in the top 1/2-inch clear area of any form or

schedule requiring a signature.

Except for the actual tax return form (Forms 1040, 1040-SR, 1120, 940, 941, etc.), you may print

in the left vertical and bottom left margins. The bottom left margin you may use extends 31/2

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October 25, 2021

inches from the left edge of the form. You may print internal control numbers in place of the

removed IRS catalog number.

6.2.2

Required Software ID

Number (Source Code)

on Computer- Prepared

Substitutes

In the February 2009 Government Accountability Office (GAO) report, “Many Taxpayers Rely on

Tax Software and IRS Needs to Assess Associated Risks” (GAO-09-297), the GAO recommended

that the IRS require a software identification number on all individual returns to specifically identify the software package used to prepare each tax return. The IRS already has this capability for

all e-filed returns. In addition, many tax preparation software firms already print an IRS-issued

3-letter Source Code on paper returns that are generated by their individual tax software. This

Source Code was assigned when the firms were seeking substitute forms approval under this

current publication.

In order to follow this GAO recommendation, the IRS will require that all tax preparation software firms include the 3-letter Source Code on all paper tax returns created by their individual tax

preparation software. The many firms that currently have and display their Source Code on paper

returns generated from their software should continue to do so, and no change is necessary.

We have reviewed all software companies that passed Assurance Testing System (ATS) testing

last filing season and have determined that some firms do not currently have a Source Code. To

save you the burden of contacting us and for your convenience, we have assigned Source Codes

to those firms.

You should program your Source Code to be placed in the bottom left-hand corner of page one of

each paper form that will be generated by your individual tax return package. You do not need to

apply for a new Source Code annually.

If you already use a 3-letter Source Code and we have issued you one in error, you are unsure if

you were ever issued one, or have other questions or concerns, you may contact Tax Forms and

Publications Special Services Section at substituteforms@irs.gov.

6.2.3

Descriptions for Captions,

Lines, etc.

Descriptions for captions, lines, etc., appearing on the substitute forms may be limited to one print

line by using abbreviations and contractions, and by omitting articles, prepositions, etc. However,

sufficient keywords must be retained to permit ready identification of the caption, line, or item.

6.2.4

Determining Final Totals

Explanatory detail and/or intermediate calculations for determining final line totals may be

included on the substitute. We prefer that such calculations be submitted in the form of a supporting statement. If intermediate calculations are included on the substitute, the line on which they

appear may not be numbered or lettered. Intermediate calculations may not be printed in the right

column.

This column is reserved only for official numbered and lettered lines that correspond to the ones

on the official form. Generally, you may choose the format for intermediate calculations or subtotals on supporting statements to be submitted.

6.2.5

Instructional Text on the

Official Form

October 25, 2021

Text on the official form, which is solely instructional (for example, “See instructions,” etc.), may

generally be omitted from the substitute form.

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6.2.6

Intermingling Is Prohibited

Showing more than one form or schedule on the same printout page is prohibited. Both sides of

the paper may be used for multi-page forms, but it is unacceptable to intermingle forms.

For instance, Schedule E can be printed on both sides of the paper because the official form is

multi-page, with page 2 continued on the back. However, do not print Schedule E on the front

page and Schedule SE on the back page, or Schedule A on the front and Form 8615 on the back,

etc. Both pages of a substitute form must match the official form. The back page may be left blank

if the back page of the official form contains only the instructions.

6.2.7

Identifying Substitutes

Identify all computer-prepared substitutes clearly. Print the form designation 1/2 inch from the

top margin and 11/2 inches from the left margin. Print the title centered on the first line of print.

Print the tax year and, where applicable, the sequence number on the same line 1/2 inch to 1 inch

from the right margin.

Include the taxpayer’s name and SSN on all forms and attachments. Also, print the OMB number

as reflected on the official form.

6.2.8

Negative Amounts

Negative (or loss) amount entries should be enclosed in brackets or parentheses or include a minus

sign. This assists in accurate computation and input of form data. The IRS preprints parentheses

in negative data fields on many official forms. These parentheses should be retained or inserted on

printouts of affected substitute forms.

Part 7

Miscellaneous Forms and Programs

Section 7.1 – Specifications for Substitute Schedules K-1

7.1.1

Requirements for Schedules

K-1 That Accompany

Forms 1041, 1065, and

1120-S

Because of significant changes to improve processing, prior approval is now required for substitute

Schedules K-1 that accompany Form 1041 (for estates and trusts), Form 1065 (for partnerships),

or Form 1120-S (for S corporations). Substitute Schedules K-1 should be as close as possible to

exact replicas of copies of the official IRS schedules and follow the same process for submitting

other substitute forms and schedules. Before releasing their substitute forms, software vendors are

responsible for making any subsequent changes that have been made to the final official IRS forms

after the draft forms have been posted.

Submit substitute Schedule K-1 forms, in PDF format, to scrips@irs.gov for scannability acceptance. Schedule K-1 forms that require testing do not need to be mailed to the Program. You must

include information on the substitute that can be tested. This information should be dummy information. Use an “X” for alpha characters and “0” for numbers. The IRS will review and provide

feedback of any changes needed so that your forms can be recognized correctly.

Include the 6-digit form ID code in the upper right of Schedules K-1 of Forms 1041, 1065, and

1120-S. Please allow at least 1/4 inch of white space around the 6-digit code.

Bulletin No. 2021–43

•

661117 for Form 1041.

•

651121 for Form 1065.

•

671121 for Form 1120-S.

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Schedules K-1 that accompany Forms 1041, 1065, or 1120-S must meet all specifications. The

specifications include, but are not limited to, the following requirements.

•

You will no longer be able to produce Schedules K-1 that contain only those lines or boxes

that taxpayers are required to use. All lines must be included.

•

The words “*See attached statement for additional information.” must be preprinted in the

lower right-hand side on Schedules K-1 of Forms 1041, 1065, and 1120-S.

•

All Schedules K-1 that are filed with the IRS should be printed on standard 8.5” x 11” paper

(the international standard (A4) of 8.27” x 11.69” may be substituted).

•

10-point Helvetica Light Standard is preferred for all entries that are typed or made using a

computer.

•

Submissions should include IRS Source Code or NACTP vendor ID code printed on the

lower left corner of the form or in place of the IRS catalog number.

•

Each recipient’s information must be on a separate sheet of paper. Therefore, you must separate all continuously printed substitutes, by recipient, before filing with the IRS.

•

No carbon copies or pressure-sensitive copies will be accepted.

•

The Schedule K-1 must contain the name, address, and SSN or EIN of both the entity (estate,

trust, partnership, or S corporation) and the recipient (beneficiary, partner, or shareholder).

•

The Schedule K-1 must contain the tax year, the OMB number, the schedule number (K-1),

the related form number (1041, 1065, or 1120-S), and the official schedule name in substantially the same position and format as shown on the official IRS schedule.

•

The Schedule K-1 must contain all the line items as shown on the official form, except for the

instructions, if any are printed on the back of the official Schedule K-1.

•

The line items or boxes must be in the same order and arrangement as those on the official

form.

•

The amount of each recipient’s share of each item must be shown. A partial percent should be

reflected as a decimal (for example, 501/2% should be 50.5%). Furnishing a total amount of

each item and a percentage (or decimal equivalent) to be applied to such total amount by the

recipient does not satisfy the law and the specifications of this revenue procedure.

•

State or local tax-related information may not be included on the Schedules K-1 filed with the

IRS.

•

The entity may have to pay a penalty if substitute Schedules K-1 are filed that do not conform

to specifications.

•

Additionally, the IRS may consider the Schedules K-1 that do not conform to specifications

as not being able to be processed and may return Form 1041, 1065, or 1120-S to the filer to

be filed correctly.

Schedules K-1 that are 2-D bar-coded will continue to require prior approval from the IRS. (See

Sections 7.1.3 through 7.1.5.)

7.1.2

Special Requirements

for Recipient Copies of

Schedules K-1

October 25, 2021

Standardization for reporting information is required for recipient copies of substitute Schedules

K-1 of Forms 1041, 1065, and 1120-S. Uniform visual standards are provided to increase compliance by allowing recipients and practitioners to more easily recognize a substitute Schedule

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K-1. The entity must furnish to each recipient a copy of Schedule K-1 that meets the following

requirements.

•

Bulletin No. 2021–43

Include the 6-digit form ID code in the upper right of Schedules K-1 of Forms 1041, 1065,

and 1120-S. Please allow white space around the 6-digit code.

–

661117 for Form 1041.

–

651121 for Form 1065.

–

671121 for Form 1120-S.

•

You will no longer be able to produce Schedules K-1 that contain only those lines or boxes

that taxpayers are required to use. All lines must be included.

•

The words “*See attached statement for additional information.” must be preprinted in the

lower right-hand side on Schedules K-1 of Forms 1041, 1065, and 1120-S.

•

The Schedule K-1 must contain the name, address, and SSN or EIN of both the entity and

recipient.

•

The Schedule K-1 must contain the tax year, the OMB number, the schedule number (K-1),

the related form number (1041, 1065, or 1120-S), and the official schedule name in substantially the same position and format as shown on the official IRS schedule.

•

All applicable amounts and information required to be reported must be titled and numbered

in the same manner as shown on the official IRS schedule. The line items or boxes must be in

the same order and arrangement and must be numbered like those on the official IRS schedule.

•

The Schedule K-1 must contain all items required for use by the recipient. The instructions

for the schedule must identify the line or box number and code, if any, for each item as shown

in the official IRS schedule.

•

The amount of each recipient’s share of each item must be shown. A partial percent should be

reflected as a decimal (for example, 501/2% should be 50.5%). Furnishing a total amount of

each line item and a percentage (or decimal equivalent) to be applied to such total amount by

the recipient does not satisfy the law and the specifications of this revenue procedure.

•

Instructions to the recipient that are substantially similar to those on or accompanying the

official IRS schedule must be provided to aid in the proper reporting of the items on the

recipient’s income tax return. Where items are not reported to a recipient because they do not

apply, the related instructions may be omitted.

•

The quality of the ink or other material used to generate recipients’ schedules must produce

clearly legible documents. In general, black chemical transfer inks are preferred.

•

In order to assure uniformity of substitute Schedules K-1, the paper size should be standard

8.5” x 11” (the international standard (A4) of 8.27” x 11.69” may be substituted).

•

The paper weight, paper color, font type, font size, font color, and page layout must be such

that the average recipient can easily decipher the information on each page. The preferred

font is “Helvetica” and a minimum of 10-point font.

•

State or local tax-related information may be included on recipient copies of substitute Schedules K-1. All non-tax-related information should be separated from the tax information on the

substitute schedule to avoid confusion for the recipient.

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October 25, 2021

7.1.3

Requirements for Schedules

K-1 With Two- Dimensional

(2- D) Bar Codes

•

The legend “Important Tax Return Document Enclosed” must appear in a bold and conspicuous manner on the outside of the envelope that contains the substitute recipient copy of

Schedule K-1.

•

The entity may have to pay a penalty if a substitute Schedule K-1 furnished to any recipient

does not conform to the specifications of this revenue procedure and results in impeding processing.

Electronic filing is the preferred method of filing; however, 2-D bar code is the best alternative

method for paper processing.

In an effort to improve efficiency and increase data accuracy, the IRS partnered with the tax software development community on a two-dimensional bar code project in 2003. Certain tax software packages have been modified to generate 2-D bar codes on Schedules K-1. As a result, when

Schedules K-1 are printed using these programs, a bar code will print on the page.

Rather than manually transcribe information from the Schedule K-1, the IRS will scan the bar

code and electronically upload the information from the Schedule K-1. This will result in more

efficient operations within the IRS and fewer transcription errors for your clients.

Note. If software vendors do not want to produce bar-coded Schedules K-1, they may produce the

official IRS Schedules K-1 but cannot use the expedited process for approving bar-coded Schedules K-1 and their parent returns as outlined in Section 7.1.6.

In addition to the requirements in Sections 7.1.1 and 7.1.2, the bar-coded Schedules K-1 must

meet the following specifications.

7.1.4

2-D Bar Code Specifications

for Schedules K-1

October 25, 2021

•

The bar code should print in the space labeled “For IRS Use Only” on each Schedule K-1.

The entire bar code must print within the “For IRS Use Only” box surrounded by a white

space of at least 1/4 inch.

•

Bar codes must print in PDF 417 format.

•

The bar codes must always be in the specified format with every field represented by at least a

field delimiter (carriage return). Leaving out a field in a bar code will cause every subsequent

field to be misread.

•

Be sure to include the 6-digit form ID code in the upper right of Schedules K-1 of Forms

1041, 1065, and 1120-S. Please allow white space around the 6-digit code.

–

661117 for Form 1041.

–

651121 for Form 1065.

–

671121 for Form 1120-S.

Follow these general specifications for preparing all 2-D bar-coded Schedules K-1.

•

Numeric fields.

–

Do not include leading zeros (except Taxpayer Identification Numbers, ZIP codes, and

percentages).

–

If negative value, the minus sign “–” must be present immediately to the left of the number and part of the 12 position field.

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Bulletin No. 2021–43

Do not use non-numeric characters except that the literal “STMT” can be put in money

fields.

–

All money fields should be rounded to the nearest whole dollar amount—if a money

amount ends in 00 to 49 cents, drop the cents; if it ends in 50 to 99 cents, truncate the

cents and increment the dollar amount by one. Use the same rounding technique for the

bar-coded and the printed Schedules K-1.

–

All numeric-only fields are right justified (except Taxpayer Identification Numbers and

ZIP codes).

•

All field lengths are expressed as maximum lengths. If the value in the field has fewer positions or the software program does not support that many positions, put in the bar code only

those positions actually used.

•

Alpha fields.

•

7.1.5

Approval Process for BarCoded Schedules K-1

–

Do not include leading blanks (left justified).

–

Do not include trailing blanks.

–

Use uppercase alpha characters only.

Variable fields.

–

Do not include leading blanks (left justified).

–

Do not include trailing blanks.

–

Use uppercase alpha characters, numerics, and special characters as defined in each field.

•

Delimit each field with a carriage return.

•

Express percentages as 6-digit numbers without the percent sign. Left justify with leading

zero(s) (for percentages less than 100%) and no decimal point (decimal point is assumed

between 3rd and 4th positions). Examples: 25.32% expressed as “025320”; 105% expressed

as “105000”; 8.275% expressed as “008275”; 10.24674% expressed as “010247.”

•

It is vital that the print routine reinitialize the bar code prior to printing each succeeding

Schedule K-1. Failure to do this will result in each Schedule K-1 for a parent return having

the same bar code as the document before it.

Prior to releasing commercially available tax software that creates bar-coded Schedules K-1, the

printed schedule and the bar code must both be tested. If your company is creating bar-coded

Schedules K-1, you must receive certification for both the printed Schedule K-1, as well as the bar

code, before offering your product for sale. Bar-code testing must be done using the final official

IRS Schedule K-1. Bar-code approval requests must be resubmitted for any subsequent changes

to the official IRS form that would affect the bar code. Below are instructions and a sequence of

events that will comprise the testing process.

•

The IRS has released the final Schedule K-1 bar-code specifications by publishing them on

the IRS.gov website (see IRS.gov/E-file-Providers/ K-1-Bar-Code-Certification-Process).

•

The IRS will publish a set of test documents that will be used to test the ability of tax preparation software to create bar codes in the correct format.

•

Software developers will submit two identical copies of the test documents—one to the IRS

and one to a contracted testing vendor.

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October 25, 2021

7.1.6

Procedures for Reducing

Testing Time

•

The IRS will use one set to ensure the printed schedules comply with standard substitute

forms specifications.

•

If the printed forms fail to meet the substitute forms criteria, the IRS will inform the software

developer of the reason for noncompliance.

•

The software developer must resubmit the Schedule(s) K-1 until they pass the substitute

forms criteria.

•

The testing vendor will review the bar codes to ensure they meet the published bar-code specifications.

•

If the bar code(s) does not meet published specifications, the testing vendor will contact the

software developer directly informing them of the reason for noncompliance.

•

Software developers must submit new bar-coded schedules until they pass the bar-code test.

•

When the bar code passes, the testing vendor will inform the IRS that the developer has

passed the bar-code test and the IRS will issue an overall approval for both the substitute form

and the bar code.

•

After receiving this consolidated response, the software vendor is free to release software for

tax preparation as long as any subsequent revisions to the schedules do not change the fields.

•

Find the mailing address for the testing vendor below. Separate and simultaneous mailings to

the IRS and the vendor will reduce testing time.

In order to help provide incentives to the software development community to participate in the

Schedule K-1 2-D project, the IRS has committed to expediting the testing of bar-coded Schedules

K-1 and their associated parent returns. To receive this expedited service, follow the instructions

below.

•

Mail the parent returns (Forms 1065, 1120-S, 1041) and associated bar-coded Schedule(s)

K-1 to the appropriate address below in a separate package from all other approval requests.

Internal Revenue Service

Attn: Bar-Coded K-1

SE:W:CAR:MP:T:M:S, IR-6526

1111 Constitution Ave. NW

Washington, DC 20224

•

Mail one copy of the parent form(s) and Schedule(s) K-1 to the IRS and another copy to the

testing vendor at the address below.

Leidos-IRS Paper and Remittance

Processing Support (PRPS II)

Attn: Dane Hawkins

9737 Washington Blvd.

Gaithersburg, MD 20878

October 25, 2021

•

Include multiple email and phone contact points in the packages.

•

While the IRS can expedite bar-coded Schedules K-1 and their associated parent returns, it

cannot expedite the approval of nonassociated tax returns.

•

Vendors are encouraged to visit NACTP.org for compliance guidelines in regards to mil size

and error-correction level.

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Bulletin No. 2021–43

•

Submissions should include IRS Source Code or NACTP vendor ID code printed on the

lower left corner of the form or in place of the IRS catalog number.

•

If a change is made to the bar code after approval, be sure to increment the version number.

Section 7.2 – Guidelines for Substitute Forms 8655

7.2.1

Increased Standardization

for Forms 8655

Increased standardization for reporting information on substitute Forms 8655 is now required to

aid in processing and for compliance purposes. Please follow the guidelines in Section 7.2.2.

7.2.2

Requirements for

Substitute Forms 8655

Please follow these specific requirements when producing substitute Forms 8655.

Bulletin No. 2021–43

•

The first line of the title must be “Reporting Agent Authorization.”

•

If you want to include a reference to “State Limited Power of Attorney,” it can be in parentheses under the title. “State” must be the first word within the parentheses.

•

You must include “Form 8655” on the form.

•

While the line numbers do not have to match the official form, the sequence of the information must be in the same order.

•

The size of any variable data must be printed in a font no smaller than 10-point.

•

For adequate disclosure checks, the following must be included for each taxpayer.

–

Name.

–

EIN.

–

Address.

•

At this time, Form 944 will not be required if Form 941 is checked. Only those forms that the

reporting agent company supports need to be listed.

•

The jurat (perjury statement) must be identical with the exception of references to line numbers.

•

A contact name and number for the reporting agent is not required.

•

Any state information included should be contained in a separate section of the substitute

form. Preferably, this information will be in the same area as line 19 of the official form.

•

All substitute Forms 8655 must be approved by the Program as outlined in the Form 8655

specifications in this current publication.

•

If you have not already been assigned a 3-letter Source Code, you will be given one when

your substitute form is submitted for approval. This Source Code should be included in the

lower left corner of the form.

•

The 20-business-day assumed approval policy does not apply to Form 8655 approvals.

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October 25, 2021

7.2.3

Exception for Form 8655

Because of how Form 8655 is processed and distributed to recipients, vendors are allowed to affix

their logo onto the substitute version of the form. This exception is for Form 8655 only.

Part 8

Additional Information

Section 8.1 – Forms for Electronically Filed Returns

8.1.1

Electronic Filing Program

Electronic filing is a method by which authorized providers transmit tax return information to an

IRS Service Center in the format of the official IRS forms. The IRS accepts both refund and balance due forms that are filed electronically.

8.1.2

Applying To Participate in

IRS e-file

Anyone wishing to participate in IRS e-file of tax returns must submit an e-file application. The

application can be completed and submitted electronically on the IRS website at IRS.gov after

first registering for e-services on the website.

8.1.3

Obtaining the Taxpayer

Signature/ Submission of

Required Paper Documents

Taxpayers choosing to electronically prepare and file their return will be required to use the

Self-Select PIN method as their signature.

Electronic Return Originators (EROs) can e-file individual income tax returns only if the returns

are signed electronically using either the Self-Select or Practitioner PIN method.

Taxpayers must use Form 8453, U.S. Individual Income Tax Transmittal for an IRS e-file Return,

to send supporting documents that are required to be submitted to the IRS.

For specific information about electronic filing, refer to Pub. 1345, Handbook for Authorized IRS

e-file Providers of Individual Income Tax Returns.

8.1.4

Guidelines for Preparing

Substitute Forms in the

Electronic Filing Program

A participant in the electronic filing program who wants to develop a substitute form should follow the guidelines throughout this publication and send a sample form for approval to the Program

at substituteforms@irs.gov. If you do not prepare substitute Form 8453 using a font in which all

IRS wording fits on a single page, the form will not be accepted.

Note. Use of unapproved forms could result in suspension of the participant from the electronic

filing program.

Section 8.2 – Effect on Other Documents

8.2.1

Effect on Other Documents

October 25, 2021

This revenue procedure supersedes Revenue Procedure 2020-55, 2020-53 I.R.B. 1811.

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Bulletin No. 2021–43

Section 8.3 – Exhibits

Exhibit A — Form 1040-ES Voucher 2021

Exhibit B — Substitute Form Checksheet

Bulletin No. 2021–43

701

October 25, 2021

Software Developers Voucher

October 25, 2021

702

Bulletin No. 2021–43

IRS Checksheet

Bulletin No. 2021–43

703

October 25, 2021

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

effect:

Amplified describes a situation where

no change is being made in a prior published position, but the prior position is

being extended to apply to a variation of

the fact situation set forth therein. Thus,

if an earlier ruling held that a principle

applied to A, and the new ruling holds that

the same principle also applies to B, the

earlier ruling is amplified. (Compare with

modified, below).

Clarified is used in those instances

where the language in a prior ruling is

being 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.

Distinguished describes a situation

where a ruling mentions a previously published ruling and points out an essential

difference between them.

Modified is 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

with amplified and clarified, above).

Obsoleted describes a previously published ruling that is not considered determinative with respect to future transactions.

This term is most commonly used in a ruling

that lists previously published rulings 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.

Revoked describes situations where the

position in the previously published ruling

is not correct and the correct position is

being stated in a new ruling.

Superseded describes a situation where

the new ruling does nothing more than

restate the substance and situation of a

previously published ruling (or rulings).

Thus, the term is used to republish under

the 1986 Code and regulations the same

position published under the 1939 Code

and regulations. The term is also used

when it is desired to republish in a single

ruling a series of situations, names, etc.,

that were previously published over a

period of time in separate rulings. If the

new ruling does more than restate the substance of a prior ruling, a combination of

terms is used. For example, modified and

superseded describes 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

published ruling is first modified and then,

as modified, is superseded.

Supplemented is 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

ruling has been supplemented several

times, a new ruling may be published that

includes the list in the original ruling and

the additions, and supersedes all prior rulings in the series.

Suspended is 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 following abbreviations in current use

and formerly used will appear in material

published in the Bulletin.

A—Individual.

Acq.—Acquiescence.

B—Individual.

BE—Beneficiary.

BK—Bank.

B.T.A.—Board of Tax Appeals.

C—Individual.

C.B.—Cumulative Bulletin.

CFR—Code of Federal Regulations.

CI—City.

COOP—Cooperative.

Ct.D.—Court Decision.

CY—County.

D—Decedent.

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—Employer.

Bulletin No. 2021–43

ERISA—Employee Retirement Income Security Act.

EX—Executor.

F—Fiduciary.

FC—Foreign Country.

FICA—Federal Insurance Contributions Act.

FISC—Foreign International Sales Company.

FPH—Foreign Personal Holding Company.

F.R.—Federal Register.

FUTA—Federal Unemployment Tax Act.

FX—Foreign corporation.

G.C.M.—Chief Counsel’s Memorandum.

GE—Grantee.

GP—General Partner.

GR—Grantor.

IC—Insurance Company.

I.R.B.—Internal Revenue Bulletin.

LE—Lessee.

LP—Limited Partner.

LR—Lessor.

M—Minor.

Nonacq.—Nonacquiescence.

O—Organization.

P—Parent Corporation.

PHC—Personal Holding Company.

PO—Possession of the U.S.

PR—Partner.

PRS—Partnership.

PTE—Prohibited Transaction Exemption.

Pub. L.—Public Law.

REIT—Real Estate Investment Trust.

Rev. Proc.—Revenue Procedure.

Rev. Rul.—Revenue Ruling.

S—Subsidiary.

S.P.R.—Statement of Procedural Rules.

Stat.—Statutes at Large.

T—Target Corporation.

T.C.—Tax Court.

T.D.—Treasury Decision.

TFE—Transferee.

TFR—Transferor.

T.I.R.—Technical Information Release.

TP—Taxpayer.

TR—Trust.

TT—Trustee.

U.S.C.—United States Code.

X—Corporation.

Y—Corporation.

Z—Corporation.

October 25, 2021

Numerical Finding List1

Bulletin 2021–43

Announcements:

2021-12, 2021-31 I.R.B. 267

2021-13, 2021-33 I.R.B. 314

2021-14, 2021-33 I.R.B. 315

Notices:

2021-39, 2021-27 I.R.B. 3

2021-40, 2021-28 I.R.B. 15

2021-41, 2021-29 I.R.B. 17

2021-42, 2021-29 I.R.B. 19

2021-38, 2021-30 I.R.B. 155

2021-44, 2021-31 I.R.B. 166

2021-45, 2021-31 I.R.B. 170

2021-47, 2021-32 I.R.B. 269

2021-46, 2021-33 I.R.B. 303

2021-48, 2021-33 I.R.B. 305

2021-49, 2021-34 I.R.B. 316

2021-43, 2021-35 I.R.B. 332

2021-50, 2021-35 I.R.B. 333

2021-51, 2021-36 I.R.B. 361

2021-52, 2021-38 I.R.B. 381

2021-53, 2021-39 I.R.B. 438

2021-54, 2021-41 I.R.B. 457

2021-55, 2021-41 I.R.B. 461

2021-58, 2021-43 I.R.B. 660

2021-59, 2021-43 I.R.B. 664

Revenue Rulings:

2021-12, 2021-27 I.R.B. 1

2021-13, 2021-30 I.R.B. 152

2021-14, 2021-31 I.R.B. 164

2021-19, 2021-42 I.R.B. 470

2021-15, 2021-35 I.R.B. 331

2021-16, 2021-36 I.R.B. 359

2021-17, 2021-37 I.R.B. 362

2021-18, 2021-40 I.R.B. 447

Treasury Decisions:

9951, 2021-30 I.R.B. 25

9952, 2021-39 I.R.B. 428

9953, 2021-39 I.R.B. 430

9956, 2021-41 I.R.B. 449

9957, 2021-41 I.R.B. 452

9955, 2021-42 I.R.B. 471

Proposed Regulations:

REG-107705-21, 2021-30 I.R.B. 162

REG-102951-16, 2021-32 I.R.B. 272

REG-109077-21, 2021-39 I.R.B. 445

REG-100718-21, 2021-42 I.R.B. 653

REG-107707-21, 2021-42 I.R.B. 657

Revenue Procedures:

2021-28, 2021-27 I.R.B. 5

2021-29, 2021-27 I.R.B. 12

2021-24, 2021-29 I.R.B. 19

2021-14, 2021-30 I.R.B. 158

2021-30, 2021-31 I.R.B. 172

2021-31, 2021-33 I.R.B. 324

2021-33, 2021-34 I.R.B. 327

2021-34, 2021-35 I.R.B. 337

2021-35, 2021-35 I.R.B. 355

2021-36, 2021-35 I.R.B. 357

2021-37, 2021-38 I.R.B. 385

2021-38, 2021-38 I.R.B. 425

2021-39, 2021-38 I.R.B. 426

2021-40, 2021-38 I.R.B. 426

2021-41, 2021-39 I.R.B. 443

2021-32, 2021-42 I.R.B. 465

2021-44, 2021-42 I.R.B. 469

2021-42, 2021-43 I.R.B. 666

A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2021–27 through 2021–52 is in Internal Revenue Bulletin

2021–52, dated December 27, 2021.

October 25, 2021

Bulletin No. 2021–43

Finding List of Current Actions on

Previously Published Items1

Bulletin 2021–43

A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2021–27 through 2021–52 is in Internal Revenue Bulletin

2021–52, dated December 27, 2021.

Bulletin No. 2021–43

iii

October 25, 2021

Internal Revenue Service

Washington, DC 20224

Official Business

Penalty for Private Use, $300

INTERNAL REVENUE BULLETIN

The Introduction at the beginning of this issue describes the purpose and content of this publication. The weekly Internal Revenue

Bulletins are available at www.irs.gov/irb/.

We Welcome Comments About the Internal Revenue Bulletin

If you have comments concerning the format or production of the Internal Revenue Bulletin or suggestions for improving it,

we would be pleased to hear from you. You can email us your suggestions or comments through the IRS Internet Home Page

www.irs.gov) or write to the Internal Revenue Service, Publishing Division, IRB Publishing Program Desk, 1111 Constitution Ave.

NW, IR-6230 Washington, DC 20224.

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.