Current through Register Vol. 48, No. 38, September 20, 2024
a) All electronic filers must comply with the
requirements and specifications set forth in this Part and, if applicable,
IL-1346 (see Section
105.400(c)(2)
) .
b) Electronic filers can only accept returns
for electronic filing directly from the taxpayer, or from other electronic
filers who have been accepted into the Illinois electronic filing
program.
c) Electronic filers who
collect prepared tax returns for electronic filing (electronic return
collectors) must treat each such collection or drop-off point (physical
location) for electronic returns as a separate entity that must submit an
application and be accepted as an electronic filer. Each entity will be treated
as an electronic return originator and have the same
responsibilities.
d) Electronic
filers who charge a fee for the electronic transmission of the return must not
base the fee on a percentage of the refund amount. Electronic filers must not
charge a separate fee for direct deposit.
e) Electronic filers must not stockpile
returns for electronic transmission prior to receiving official acceptance into
the program or at any time while participating in the program.
f) Electronic filers must submit a revised
application to the Department to update the information contained on their most
current application (Form IL-8633) or information update form (EFS-15) when
there are changes such as:
1) the firm name
or doing business as (DBA) name(s),
2) any address, telephone or contact
representative,
3) the electronic
filing functions performed, or
4)
the organization's ownership.
g) Electronic filers must ensure electronic
returns are filed in a timely manner. The receipt date of the electronic
transmission will constitute the receipt date of the return if it is
acknowledged as accepted by the Department. Any return acknowledged as rejected
by the Department will be considered not filed. In order to be timely filed, a
return must be received by April 15. Any late-filed electronic returns
transmitted to the Department must be received prior to midnight on April 22.
The Department's communications processor will not accept return transmissions
after that time. However, the communications processor will be available for
the transmitter to retrieve acknowledgement files through April 29. Any return
filed on April 22 and not acknowledged as accepted must be filed on
paper.
h) Electronic filers must
immediately contact the Office of Electronic Filing if an acknowledgement has
not been available after 36 hours from the transmission of the
return.
i) Electronic filers cannot
recall or intercept electronically filed IL-1040 returns after the returns have
been acknowledged as accepted. If the electronic filer or the taxpayer wishes
to change any entries after a return has been accepted, a paper amended return,
Form IL-1040-X, must be filed with the Department. (Also see 86 Ill. Adm. Code
100.9400(f)(3).)
j) Electronic filers who function as
electronic return originators as defined in Section
105.200(a)
must:
1) Comply with the procedures for
securing Form IL-8453, Taxpayer Declaration, as outlined in Subpart E of this
Part;
2) Input and transmit the
taxpayer's address from Forms W-2, W-2G, and 1099-R (or any other transmitted
form) if the address is different than the taxpayer's address in the electronic
portion of the IL-1040;
3) Furnish
copies of the signed Form IL-8453 and non-electronic portion of the electronic
IL-1040 returns to the taxpayers and advise them of the information in Subpart
G of this Part;
4) Furnish every
taxpayer that has a balance due return with Form IL-1040-V, IL-1040 Payment
Voucher for Individual Income Tax;
5) Inform every taxpayer that has a balance
due return that it is the responsibility of every taxpayer to make full and
timely payment of any tax that is due. Failure to make full payment of any tax
that is due on or before April 15 will result in the imposition of interest and
penalties;
6) Retain the following
material until December 31 of the filing year, unless otherwise notified by the
Department:
A) Copies of all the material
furnished to the taxpayers;
B) A
copy of any signed Form IL-8453 and Forms W-2, W-2G, and 1099-R mailed to the
Department;
C) Copies of the
electronically transmitted material as defined in Section
105.100(b).
These copies may be retained on magnetic media; and
D) The acknowledgement files received from
the Department or from third-party transmitters. These files may be retained on
magnetic media;
AGENCY NOTE: Electronic return originators who are also paid
preparers of the electronic tax return must retain materials as required by the
Illinois Income Tax Act (IITA.)
7) Identify the paid preparer in the
appropriate fields of the electronic IL-1040 return, and ensure the paid
preparer's signature is included on (or with) the Form IL-8453.
k) Electronic filers who function
as transmitters as defined in Section
105.200(b)
must:
1) Transmit electronic IL-1040 returns
and retrieve acknowledgement files in a timely manner. Acknowledgement files
will normally be available within 24 hours after transmission. If the
acknowledgement files are not retrieved within five days, the Department will
contact the transmitter;
2) Match
the acknowledgement files to the original transmission files. Returns
acknowledged as accepted will be considered filed returns. Returns acknowledged
as rejected must be corrected and re-transmitted, if possible. Returns that
cannot be re-transmitted must be filed on paper form IL-1040;
3) Contact the Office of Electronic Filing
for assistance if returns have been rejected after three attempts, or if
acknowledgments are received for returns that were not in the original
transmissions;
4) Ensure the
security and confidentiality of all transmitted data;
5) Not use software that has a Department
assigned production password built into the software;
6) Follow the instructions provided in
Subpart H of this Part, Transmission Procedures; and
7) Retain copies of all the acknowledgement
files received from the Department. These may be retained on magnetic media.
This material should be retained until December 31 of the filing year unless
notified otherwise by the Department.
l) In addition to the provisions of
subsection (k), transmitters who are transmitting on-line electronic returns
must:
1) Ensure that they do not transmit, or
accept for transmission, more than five on-line returns originating from one
software package or from one e-mail address;
2) Ensure that they use only an IRS assigned
Electronic Filing Identification Number (EFIN) or an IRS assigned Electronic
Transmitter Identification Number (ETIN) assigned for use in on-line filing
when transmitting on-line returns, and that each on-line return contains an
on-line EFIN;
3) Ensure that they
do not combine, within the same transmission file to the Department, on-line
electronic returns with traditional electronic returns;
4) Enter the letter "O" in the Trans Record
"A" as the "Transmission Type Code" when transmitting on-line returns directly
to the Department, or enter the letter "O" in Field Number "049" of the
"Indicators Section" in the "Generic Record" when transmitting on-line returns
to the IRS for Federal/State Electronic Filing;
5) Include the taxpayer IL-PIN in the on-line
electronic return. Married persons filing joint returns must include both the
primary and spouse IL-PIN. Returns received without the IL-PIN(s) will be
rejected;
6) Match acknowledgments
to original returns transmitted, and notify the taxpayer of the status of the
on-line return. This must be done either through electronic means within two
work days after acknowledgment retrieval, or by mailing written notification
within one work day after acknowledgment retrieval;
7) Notify the taxpayer of acceptance or
rejection by the Department of an on-line electronic return. If accepted, the
transmitter must provide the taxpayer the date of acceptance and the
Declaration Control Number (DCN) of the return. The DCN is a 14 position serial
number assigned to each electronic return. If rejected, the transmitter must
provide the taxpayer the date of rejection, what the reject code(s) mean, and
how the taxpayer can correct the error(s). In addition, the taxpayer must be
instructed to file a paper return if he/she chooses not to correct the return
and retransmit, or if the return is excluded from electronic filing;
and
8) Retain copies of the
electronically transmitted material as defined in Section
105.100(b)
until December 31 of the filing year. These copies may be retained on magnetic
media.
m) Transmitters
who provide transmission services to other electronic filers must also:
1) Accept electronic IL-1040 returns for
transmission to the Department's communications processor only from electronic
filers accepted in the Illinois program; and
2) Provide each of their clients with the
acknowledgement files for their transmitted returns within 24 hours after
receipt of the acknowledgments from the Department. Failure to comply could
lead to suspension from the program (see Section
105.1010) .
n) Electronic filers who function
as software developers as defined in Section
105.200(c)
must:
1) Correct software errors that cause
electronic returns to be rejected. Correct these errors quickly to ensure the
timely transmission of electronic returns;
2) Expeditiously distribute corrections to
all electronic filers utilizing these products;
3) Ensure that if their software products
will be used for transmitting by multiple electronic filers at the same time,
their software has the capability of combining returns from these electronic
filers into one Department transmission file, taking into account the
Declaration Control Number assignments and requirements specified in Section
105.510;
and
4) Not incorporate into its
software a Department assigned production password.
o) In addition to the provisions of
subsection (n), software developers who write software for on-line electronic
filing must:
1) Provide assistance as needed
to taxpayers using their software;
2) Ensure that the software package cannot be
used to transmit more than five on-line electronic returns;
3) Ensure that the software, if available
through an internet site, cannot be used to file more than five on-line
electronic returns from one e-mail address;
4) Ensure that the software informs taxpayers
that an IL-PIN must have been received by the taxpayer from the Department, and
provided in the return by the taxpayer, in order to file an Illinois on-line
electronic return. If an on-line return is received without the IL-PIN(s), it
will be rejected by the Department;
5) Ensure that the software contains Form
IL-1040-V, IL-1040 Payment Voucher for Individual Income Tax, that can be
printed and used by the taxpayer to make payment to the Department. In
addition, the software must inform the taxpayer that it is the responsibility
of every taxpayer to make full and timely payment of any tax that is due.
Failure to make full payment of any tax that is due on or before April 15 will
result in the imposition of interest and penalties;
6) Ensure that the software informs taxpayers
that direct deposit is available for Illinois refunds from electronic returns,
and that direct deposit information transmitted cannot be rescinded or changed
after the on-line return is accepted by the Department;
7) Ensure that, if the taxpayer selects
direct deposit, the routing transit number (RTN) of the financial institution
designed by the taxpayer meets specific criteria. The RTN must contain nine
digits, and the first two digits must fall within the valid ranges of 01
through 12 or 21 through 32; and
8)
Ensure that the software contains an on-line consent to disclosure statement
equivalent in content to the taxpayer declaration from Form IL-8453. The
statement must include direct deposit authorization, as applicable. The
software must prompt the taxpayer to provide his/her IL-PIN as signature to the
statement. The taxpayer IL-PIN is used in lieu of the written taxpayer
signature on Form IL-8453, which is not required for an on-line electronic
return. The IL-PIN must be included within the on-line electronic
return.
