"Incoming mail is automatically sorted and opened by a machine that reads the bar coded envelopes that identify the types of returns inside. The machine separates returns with payments from those without payments by detecting magnetic ink on enclosed checks.
Returns are extracted from their envelopes and further sorted by type by employees using unique workstations called Sorting Tables....
Returns are then batched into official units of work called blocks, containing from fifty to four hundred documents. Individual blocks containing the same types of returns are combined, placed on carts and logged into a computer system which tracks their movement through the pipeline.
Tax Examiners correct taxpayer errors, assign codes that will facilitate data entry and, if necessary, correspond with the taxpayer to request additional forms or information.
A Document Locator Number, used to identify and locate a document anywhere within the Service, is stamped on each return. It indicates the processing center, type of return, Julian date, block and sequence number and processing year.
Data Transcribers input tax return information into the computer. Portions of returns are re-entered into the system by a second transcriber to verify the original entry of the return data...
The return data is then transmitted to the Martinsburg Computing Center, where it is subjected to math error and validity checks before attempting to post to the IRS Master File.
Return data with errors or inconsistencies is transmitted back to the processing centers where tax examiners make corrections using an Error Resolution System. The corrected return data is transmitted back to the computing center and attempts to post to the IRS master file...
Let's review the pipeline process. Mail is opened. Returns are sorted and payments are deposited. The returns are coded, edited and numbered. Return data is entered into the computer. Validity checks are run and errors are corrected. Valid transactions are then posted to the IRS Master File. Refunds or balance due notices are issued to the taxpayer. The paper returns are retired to Federal Record Centers.