BBA e-Newsletter Number 2023-2

Resources for BBA Partnerships:  

Tax Information for Partnerships

Modernized e-File (MeF) for Partnerships

Businesses with Employees

About Form 8980, Partnership Request for Modification of Imputed Underpayments Under IRC Section 6225 (c)

About Form 8985, Pass-Through - Statement Transmittal/Partnership Adjustment Tracking Report (Required under Sections 6226 and 6227)

About Form 8978, Partner's Additional Reporting Year Tax

Other Resources

IRS.gov

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All Forms & Instructions

Tax Professional Home

e-Services

Issue Number:  2023-2

Inside This Issue

1. BBA Centralized Partnership Audit Regime
2. Designate a Partnership Representative
3. Elect Out of the Centralized Partnership Audit Regime
4. File an Administrative Adjustment Request under Bipartisan Budget Act of 2015 (BBA)
5. BBA Partnership Audit Process
6. Electronic Submission of Forms by Audited BBA Partnerships and Their Pass-Through Partners
7. OFSS Status

1.  BBA Centralized Partnership Audit Regime

No recent changes.

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2.  Designate a Partnership Representative

No recent changes.

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3.  Elect Out of the Centralized Partnership Audit Regime

No recent changes.

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4.  File an Administrative Adjustment Request under Bipartisan Budget Act of 2015 (BBA)

No recent changes.

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5.  BBA Partnership Audit Process

Deposit under IRC 6603 made by (terminal) partner.

Deposits to suspend the running of interest on potential underpayments (under IRC 6603, Rev Proc 2005-18) made by (terminal) partners of BBA audited partnerships that are disputing the partnership adjustments and/or imputed underpayment amount:

A partner of a BBA partnership under examination may make a deposit under section 6603 by remitting to the Internal Revenue Service Center at which the taxpayer is required to file its return, or to the appropriate office at which the BBA partnership’s return is under examination, a check or a money order accompanied by a written statement designating the remittance as a deposit. The written statement also must include:

1. The name and TIN of the partnership under exam;
2. The reviewed year of the partnership under exam;
3. The Audit Control Number (ACN) of the partnership under exam;
4. A statement identifying the amount of and basis for the BBA audited partnership’s disputable tax (for example, if partnership requested appeal, include 30-day letter, or if partnership petitioned court, include case docket number, of if partnership plans to petition court, include a copy of NOPPA or FPA); and
5. The partner’s estimated allocable share of the adjustments and the tax, interest, and penalty calculation (the amount of payment).

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6.  Electronic Submission of Forms by Audited BBA Partnerships and Their Pass-Through Partners

Under the section Prepare BBA Audit Forms:

Removed Warning
To avoid form rejection, enter the NAME of the partnership in ALL CAPS on all forms.

Under the section Step 3: Use the BBA Online Form Submission Service (OFSS): 

How to sign in to the BBA Online Form Submission Service

1. Sign in to BBA Online Forms Submission Service
2. Select (PBBA) with the partnership name as the organization you represent
3. Click Submit and follow instructions

Save the Receipt ID - after you submit you MUST check the submission status (accepted or rejected)

CAUTION:  A Receipt ID does not mean that the IRS has accepted your forms.  You will need to check the status of your submission after receiving the Receipt ID.

After you submit the forms, a Receipt ID will be displayed with a list of submitted forms.

Save the Receipt ID and print the page displayed. You need the Receipt ID to check the status of your form submission.

IMPORTANT: The Receipt ID only confirms that we received the form submission. It does NOT provide proof that the BBA Forms in the submission were accepted by the IRS. As discussed below under How to check the status of a form submission, you MUST use the Receipt ID to check the submission status (accepted or rejected) of the submitted forms.   If the submission was rejected, the forms in the submission are NOT considered to have been filed. Before the expiration of your submission deadline, a submission must be in “accepted status” in order to have met that deadline.

How to check the status of a form submission

1. On the page that displays the Receipt ID, select “Check Submission Status” or, if checking later:
2. Sign in to BBA Online Forms Submission Service
3. Select (PBBA) with the partnership name as the organization you represent
4. Click Submit
5. Select Check Submission Status
6. Enter the Receipt ID, Audit Control Number (ACN) and BBA TCC
7. The submission status of “accepted’ or “rejected” is displayed.

Note: If status displays "processing" beyond 24 hours, contact the Help Desk at 813-367-8037 or LBI.BBA.eSubmit@ irs.gov.

What to do if a form submission is rejected or accepted

• If status is Rejected: Download the rejection report, review the reason(s) for the rejection, make the required corrections and resubmit the forms.
•  If status is Accepted: There is nothing further for you to do. If more information is needed, we will contact the PR/DI or an authorized representative. 

How to obtain Tracking Number for Push Out (Forms 8985 and 8986 related to audited partnerships)

1. Sign in to BBA Online Forms Submission Service
2. Select (PBBA) with the partnership name as the organization you represent
3. Click Submit
4. Select Request Push Out Tracking Number
5. Enter the PBBA TCC, Audit Control Number (ACN) and EIN of the audited partnership
6. The Tracking Number is displayed
7. Enter the Tracking Number in the appropriate box at the top of the Forms 8985 and 8986

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7.  OFSS Status

No update at this time.

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