Alabama Administrative Code
Title 810 - ALABAMA DEPARTMENT OF REVENUE
Chapter 810-9-1 - FINANCIAL INSTITUTION EXCISE TAX RULES
Section 810-9-1-.09 - Terms And Definitions For The Alabama Electronic Financial Institution Excise Tax Return
Universal Citation: AL Admin Code R 810-9-1-.09
Current through Register Vol. 42, No. 11, August 30, 2024
(1) SCOPE - This rule defines certain terms used in connection with the Alabama Business Modernized E-File Program.
(2) Definitions
(a) XML Schema - A single file or collection
of files that describe the structure of an XML instance document along with
rules for data content and semantics such as what fields an element can
contain, which sub elements it can contain and how many items can be present.
It can also describe the type and values that can be placed into each element
or attribute.
(b) XML instance
document - The actual return data defined by the XML Schema. This document is
validated against the XML schema to ensure the contents and structures are
correct.
(c) Business Rules - A
document that defines the criteria that needs to be met for an electronic
return to be accepted based on the filing instructions and system requirements
for a specific tax return.
(d)
Financial Institution Excise Tax - The tax levied by §
40-16-4, Code of Ala.
1975.
(e) Software
Developer - An authorized IRS Provider that develops software for the purposes
of:
1. Formatting the electronic portions of
returns according to IRS Publication 4164 or Department specifications
and/or
2. Transmitting the
electronic portion of returns directly to the IRS or the department. A Software
Developer may also sell its software.
(f) Electronic Return Originator (ERO) - A
firm, organization or individual who is an authorized IRS e-file provider that
originates the electronic submission of returns. Because the electronic filing
process is a joint program between the IRS and the department, an ERO must be
approved by the Internal Revenue Service to qualify for this program.
(g) AL8453-FIE - A document used to satisfy
signature requirements for electronically filed Financial Institution Excise
Tax Returns submitted to the State of Alabama by an Electronic Return
Originator (ERO).
(h) Accepted
return - An electronic Alabama Financial Institution Excise Tax Return that has
successfully completed the schema and business rules validation process and the
department has sent an acknowledgement with an Acceptance Status of "Accepted"
for MeF (Modernized e-File) returns.
(i) Rejected Return - An electronic Alabama
Financial Institution Excise Tax Return that was received but failed to
complete the schema and or business rule validation process and the department
has sent an acknowledgement with an Acceptance Status of "Rejected" for MeF
returns.
(j) Transmission
Perfection Period - A ten (10) calendar day period from the date of the first
transmission of a Financial Institution Excise Tax MeF (Modernized E-file)
Income Tax Return that a taxpayer has to correct and resubmit a rejected
electronically transmitted Financial Institution Excise Tax MeF Income Tax
Return that was originally timely filed.
(k) Electronic Postmark - A record of the
date and time (in a particular time zone) that an authorized electronic return
transmitter receives the transmission of a taxpayer's electronically filed
document on its host system. However, if the taxpayer and the electronic return
transmitter are located in different time zones, it is the taxpayer's time zone
that controls the timeliness of the electronically filed document.
(l) Timely Filed return - An electronic
return that is received and accepted by the due date or within an extension of
time for filing the Financial Institution Excise Tax Return according to the
same manner as allowed by federal law. It also includes a timely filed rejected
return that is resubmitted and accepted during the transmission perfection
period.
(m) Electronic Return
Transmitter - An authorized IRS e-file Provider that transmits the electronic
portion of a return directly to the IRS or the department. An entity that
provides a "bump up" service is also a Transmitter. A bump up service provider
increases the transmission rate or line speed of formatted or reformatted
information that it is sending to the IRS.
(n) Standard Letter of Intent (LOI) - A form
which must be completed to request approval from the Department to provide tax
preparation software for electronic forms submissions. By completing this form,
the software developer agrees to comply with all national security summit
standards and requirements in addition to the specific Alabama requirements
included in the LOI.
(o) Submission
Error Rate - A Software Developer's percentage of business rule rejections
compared to the total amount of returns submitted. This will be calculated by
taking the total amount of business rule rejections per form type for a
particular form year divided by the total amount of returns transmitted for
that same form type with regards to the form year in question.
(p) Original Financial Institution Excise Tax
Return - Any return that is required to be filed with respect to the tax
imposed as defined by §§
40-16-1 and
40-16-3, Code of Ala.
1975.
(q) Acceptable
Financial Institution Excise Tax Return - Any original Financial Institution
Excise Tax return that is authorized by the department to be filed solely using
electronic technology as defined in §
40-30-3(2),
Code of Ala. 1975.
(r) Tax Preparation Software - Any computer
software program intended for accounting, tax preparation and or tax
compliance.
(s) Electronic
Signature Pad - An electronic device with a touch sensitive LCD screen which
allows users to acquire and register a signature or any other physical
signature capture device that captures and converts a signature into an
electronic format.
(t) Suitability
- A check conducted on all software developers including rebranded and white
labeled products, when an application is initially processed and on a regular
basis thereafter. The suitability check may include background and personal tax
compliance checks conducted by the department to ensure the software developers
are eligible for participation in the department's e-file program.
(u) Business Acceptance or Assurance Testing
(BATS) - Required testing for software developers that participate in the
department's business e-file program. This testing is used to assess their
software and transmission capability with the department prior to live
processing.
Authors: Veronica Jennings, Demetria Gordon
Statutory Authority: Code of Ala.1975, §§ 40-2A-7(a)(5), 40-30-5.
Disclaimer: These regulations may not be the most recent version. Alabama may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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