Internal Revenue Bulletin 2012-39 (PDF rendition): IRS Revenue Rulings

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Bulletin No. 201
2-39
September 24, 20
12
HIGHLIGHTS
OF THIS ISSUE
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.
INCOME TAX
Rev. Rul. 2012–23, page 359.
Interest rates; underpayments and overpayments.The
rates for interest determined under section 6621 of the Code
for the calendar quarter beginning October 1, 2012, will be 3
percent for overpayments (2 percent in the case of a corpo-
ration), 3 percent for the underpayments, and 5 percent for
large corporate underpayments. The rate of interest paid on
the portion of a corporate overpayment exceeding $10,000
will be 0.5 percent.
EMPLOYEE PLANS
Notice 2012–56, page 370.
Weighted average interest rate update; corporate bond
indices; 30-year Treasury securities; segment rates.
This notice contains updates for the corporate bond weighted
average interest rate for plan years beginning in September
2012; the 24-month average segment rates; the funding tran-
sitional segment rates applicable for September 2012; and
the minimum present value transitional rates for August 2012.
The rates in this notice reflect certain changes implemented
by the Moving Ahead for Progress in the 21st Century Act,
Public Law 112-141 (MAP-21).
ESTATE TAX
Rev. Rul. 2012–26, page 358.
Special use value; farms; interest rates.The 2012 interest
rates to be used in computing the special use value of farm real
property for which an election is made under section 2032A of
the Code are listed for estates of decedents.
ADMINISTRATIVE
Rev. Proc. 2012–36, page 374.
This procedure provides specifications for filing Form 1042-S,
Foreign Person’s U.S. Source Income Subject to Withholding,
Electronically. This procedure will be reproduced as the cur-
rent revision of Publication 1187. Rev. Proc. 2011–50 super-
seded.
Fi
nding Lists begin on page ii.
Index for July through September begins on page iv.

The IRS Mission
Provide Americ
a’s taxpayers top-quality service by helping
them understa
nd and meet their tax responsibilities and en-
force the law wi
th 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 Conven-
tions, legislation, court decisions, and other items of general
interest. It is published weekly and may be obtained from the
Superintendent of Documents on a subscription basis. Bulletin
contents are compiled semiannually into Cumulative Bulletins,
which are sold on a single-copy basis.
It is the policy of the Service to publish in the Bulletin all sub-
stantive rulings necessary to promote a uniform application of
the tax laws, including all rulings that supersede, revoke, mod-
ify, or amend any of those previously published in the Bulletin.
All published rulings apply retroactively unless otherwise indi-
cated. Procedures relating solely to matters of internal man-
agement 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.—19
86 Code.
This part i
ncludes rulings and decisions based on provisions of
the Intern
al 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, Leg-
islation 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 Rul-
ings. Bank Secrecy Act Administrative Rulings are issued by
the Department of the Treasury’s Office of the Assistant Secre-
tary (Enforcement).
Part IV
.—Items of General Interest.
This par
t includes notices of proposed rulemakings, disbar-
ment an
d 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 c
ontents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.
For sale by the Superintendent of Documents, U.S.Government Printing Office, Washington, DC 20402.
September 24, 20122012–39 I.R.B.

Part I. Rulings
and Decisions Under the Internal Revenue Code
of 1986
Section 2032A
.—Valuation
of Certain Far
m, Etc.,
Real Property
26 CFR 20.2032A–4: Method of valuing farm real
property.
Special use value; farms; interest
rates.The 2012 interest rates to be used
in computing the special use value of farm
real property for which an election is made
under section 2032A of the Code are listed
for estates of decedents.
Rev. Rul. 2012–26
This revenue ruling contains a list of the
average annual effective interest rates on
new loans under the Farm Credit System.
This revenue ruling also contains a list of
the states within each Farm Credit System
Bank Territory.
Under § 2032A(e)(7)(A)(ii) of the In-
ternal Revenue Code, rates on new Farm
Credit System
Bank loans are used in com-
puting the spe
cial use value of real prop-
erty used as a f
armforwhichanelectionis
made under § 2
032A. The rates in Table 1
of this reven
uerulingmaybeusedbyes-
tates that va
lue farmland under § 2032A as
ofadatein20
12.
Average annu
al effective interest
rates, calcu
lated in accordance with
§ 2032A(e)(
7)(A) and § 20.2032A–4(e)
of the Estat
e Tax Regulations, to be used
under § 2032
A(e)(7)(A)(ii), are set forth in
the accompa
nying Table of Interest Rates
(Table 1).
The states within each Farm
Credit Sys
tem Bank Territory are set forth
in the acco
mpanying Table of Farm Credit
System Ban
k Territories (Table 2).
Rev. Rul. 8
1–170, 1981–1 C.B. 454,
contains a
n illustrative computation of an
average a
nnual effective interest rate. The
rates app
licable for valuation in 2010 and
2011 are i
n Rev. Rul. 2011–17, 2011–33
I.R.B. 160. Fo
r rate information for years
prior to 2010,
seeRev.Rul.2009–21,
2009–30 I.R.B
. 162, and other revenue rul-
ings that are
referenced therein.
DRAFTING INF
ORMATION
The principa
l author of this revenue rul-
ing is Lane Da
mazooftheOfficeoftheAs-
sociate Chie
f Counsel (Passthroughs and
Special Indu
stries). For further informa-
tion regardi
ng this revenue ruling, contact
Lane Damazo
at (202) 622–3090 (not a
toll-free c
all).
REV. RUL. 2012–26 TABLE 1
TABLE OF INTEREST RATES
(Year of Valuation 2012)
Farm Credit System Bank Servicing State in
Which Property is LocatedRate
AgFirst,FCB ....................................................................... 6.19
AgriBank,FCB .....................................................................
5.61
CoBank, AC
B ......................................................................
5.15
Texas,FCB ........................................................................
5.50
REV. RUL. 2012–26 TABLE 2
TABLE OF FARM CREDIT SYSTEM BANK TERRITORIES
Farm Credit System BankLocation of Property
AgFirst,FCB ............................................ Delaware,DistrictofColumbia,Florida,Georgia,Maryland,
North Carolina, Pennsylvania, South Carolina, Virginia,
West Virginia.
AgriBank
,FCB ..........................................
Arkansas
, Illinois, Indiana, Iowa, Kentucky, Michigan,
Minnesot
a, Missouri, Nebraska, North Dakota, Ohio,
South Dak
ota, Tennessee, Wisconsin, Wyoming.
CoBank,ACB ........................................... Alaska,Arizona,California,Colorado,Connecticut,Hawaii,
Idaho, Kansas, Maine, Massachusetts, Montana,
New Hampshire, New Jersey, New Mexico, New York, Nevada,
Oklahoma, Oregon, Rhode Island, Utah, Vermont, Washington.
Texas,FCB.............................................. Alabama,Louisiana,Mississippi,Texas.
2012–39 I.R.B.358September 24, 2012

Section 6621.—Determina-
tion of Rate of Interest
26 CFR 301.6621–1: Interest rate.
Interest rates; underpayments and
overpayments.The rates for interest de-
termined under section 6621 of the Code
for the calendar quarter beginning Octo-
ber 1, 2012, will be 3 percent for overpay-
ments (2 percent in the case of a corpo-
ration), 3 percent for the underpayments,
and 5 percent for large corporate underpay-
ments. The rate of interest paid on the por-
tion of a corporate overpayment exceeding
$10,000 will be 0.5 percent.
Rev. Rul. 2012–23
Section 6621 of the Internal Revenue
Code establishes the interest rates on over-
payments and underpayments of tax. Un-
der section 6621(a)(1), the overpayment
rate is the sum of the federal short-term
rate plus 3 percentage points (2 percent-
age points in the case of a corporation), ex-
cept the rate for the portion of a corporate
overpayment of tax exceeding $10,000 for
a taxable period is the sum of the federal
short-term rate plus 0.5 of a percentage
point. Under section 6621(a)(2), the un-
derpayment rate is the sum of the federal
short-term rate plus 3 percentage points.
Section 6621(c) provides that for pur-
poses of interest payable under section
6601 on any large corporate underpay-
ment, the underpayment rate under section
6621(a)(2) is determined by substituting
“5 percentage points” for “3 percentage
points.” See section 6621(c) and section
301.6621–3 of the Regulations on Proce-
dure and Administration for the definition
of a large corporate underpayment and
for the rules for determining the appli-
cable date. Section 6621(c) and section
301.6621–3 are generally effective for
periods after December 31, 1990.
Section 6621(b)(1) provides that the
Secretary will determine the federal
short-term rate for the first month in each
calendar quarter. Section 6621(b)(2)(A)
provides that the federal short-term rate
determined under section 6621(b)(1) for
any month applies during the first calen-
dar quarter beginning after that month.
Section 6621(b)(3) provides that the fed-
eral short-term rate for any month is the
federal short-term rate determined during
that month by the Secretary in accordance
with section 1274(d), rounded to the near-
est full percent (or, if a multiple of
1
/2of
1 percent, the rate is increased to the next
highest full percent).
Notice 88–59, 1988–1 C.B. 546, an-
nounced that, in determining the quarterly
interest rates to be used for overpayments
and underpayments of tax under section
6621, the Internal Revenue Service will
use the federal short-term rate based on
daily compounding because that rate is
most consistent with section 6621 which,
pursuant to section 6622, is subject to daily
compounding.
The federal short-term rate determined
in accordance with section 1274(d) during
July 2012 is the rate published in Revenue
Ruling 2012–21, 2012–32 I.R.B. 123 to
take effect beginning August 1, 2012. The
federal short-term rate, rounded to the
nearest full percent, based on daily com-
pounding determined during the month
of July 2012 is 0 percent. Accordingly,
an overpayment rate of 3 percent (2 per-
cent in the case of a corporation) and an
underpayment rate of 3 percent are estab-
lished for the calendar quarter beginning
October 1, 2012. The overpayment rate
for the portion of a corporate overpayment
exceeding $10,000 for the calendar quarter
beginning October 1, 2012, is 0.5 percent.
The underpayment rate for large corporate
underpayments for the calendar quarter
beginning October 1, 2012, is 5 percent.
These rates apply to amounts bearing
interest during that calendar quarter.
The 3 percent rate also applies to es-
timated tax underpayments for the fourth
calendar quarter in 2012.
Interest factors for daily compound in-
terest for annual rates of 0.5 percent are
published in Appendix A of this Revenue
Ruling. Interest factors for daily com-
pound interest for annual rates of 2 percent,
3 percent and 5 percent are published in Ta-
bles 57, 59, and 63 of Rev. Proc. 95–17,
1995–1 C.B. 611, 613, and 617.
Annual interest rates to be compounded
daily pursuant to section 6622 that apply
for prior periods are set forth in the tables
accompanying this revenue ruling.
DRAFTING INFORMATION
The principal author of this revenue rul-
ing is Deborah Colbert-James of the Office
of Associate Chief Counsel (Procedure &
Administration). For further information
regarding this revenue ruling, contact
Ms. Colbert-James at (202) 622–8143
(not a toll-free call).
September 24, 20123592012–39 I.R.B.

APPENDIX A
365 Day Year
0.5% Compound Ra
te 184 Days
DaysFactorDaysFactorDaysFactor
10.000013699630.000863380
125
0.001713784
20.000027397640.000877091126
0.001727506
30.000041096
65
0.0008908011270.001741228
4
0.000054796
66
0.000904512
128
0.001754951
50.000068495
670.0009182231290.001768673
6
0.000082195
680.0009319341300.001782396
7
0.000095894
69
0.000945646
1310.001796119
8
0.000109594
70
0.000959357
1320.001809843
90.000123294710.000973069133
0.001823566
10
0.000136995
720.0009867811340.001837290
11
0.000150695
730.001000493
1350.001851013
120.000164396740.0010142061360.001864737
130.00017809
7
75
0.00102791
8
1370.00187846
2
140.000191798760.0010416311380.001892186
150.0002054
99
77
0.0010553
44
139
0.0019059
10
160.0002192
01
78
0.001069057
140
0.001919635
170.000232902790.0010827701410.001933360
180.000246604800.001096484142
0.001947
085
190.000260
306
810.001110
197
1430.001960
811
200.000274008820.001123911144
0.001974536
210.00028771183
0.001137
625
145
0.001988262
220.000301
413
84
0.001151339
1460.002001
988
23
0.000315116850.001165054
147
0.002015714
240.000328819860.0011787681480.002029440
250.000342522
870.00119
2483
1490.00204
3166
26
0.000356225
880.001206198
1500.002056893
270.000369929890.001219913
151
0.002070620
280.0003
83633
900.0012
33629
152
0.0020
84347
290.000397336910.001247344
153
0.002098074
300.000411041920.001261060
154
0.002111801
31
0.000424745
930.001
274776
1550.002125529
320.000438449940.001288492
1560.002139257
33
0.00
0452154
95
0.001302208
1570.00
2152985
34
0.000465859
96
0.001315925158
0.00
2166713
350.000479564
970.001329641
159
0.002180441
360.00049326998
0.0
01343358
1600.002194169
37
0.000506974
99
0.001357075
1610.0
02207898
38
0.000520680
1000.0013707921620.002221627
39
0.0
00534386
101
0.0
01384510
163
0.0
02235356
40
0.000548092
10
2
0.
001398227
16
4
0.002249085
41
0.000561798
103
0.0014119451650.002262815
42
0.
000575504
104
0.
001425663
166
0.
002276544
43
0.000589211105
0.
001439381
16
7
0.
002290274
440.000602917106
0.001453100
1680.002304004
4
5
0.0006166241070.0014668181690.002317734
4
6
0
.000630331
1
08
0.001480537
1
70
0.002331465
470.000644039109
0.001494256
171
0.002345195
48
0.000657746
110
0.001507975
172
0.002358926
49
0.000671454
111
0.001521694
173
0.002372657
500.000685161
112
0.001535414
1740.002386388
51
0.000698869113
0.001549133175
0.002400120
520.000712578
114
0.001562853
176
0.002413851
53
0.000726286
1150.001576573
177
0.002427583
540.000739995
116
0.001590293
178
0.002441315
550.000753703
1170.001604014179
0.002455047
56
0.0007674121180.0016177341800.002468779
2012–39 I.R.B.360September 24, 2012

365 Day Year
0.5% Compound Rate 184 Days – Continued
DaysFactorDaysFactorDaysFactor
57
0.000781121119
0.001631455
181
0.002482511
58
0.000794831120
0.001645176
1820.002496244
590.000808540
121
0.001658897
183
0.002509977
60
0.000822250
1220.001672619184
0.002523710
61
0.000835960
1230.001686340
620.0008496701240.001700062
366 Day Year
0.5% Compound Rate 184 Days
DaysFactorDaysFactorDaysFactor
10.000013661630.000861020
125
0.001709097
20.000027323640.0008746931260.001722782
30.000040984
65
0.0008883661270.001736467
4
0.000054646
660.000902040128
0.001750152
5
0.00006830867
0.000915713
1290.001763837
60.000081970680.000929387130
0.001777522
7
0.000095632
690.0009430611310.001791208
8
0.000109295
70
0.000956735
1320.001804893
9
0.000122958
710.000970409133
0.001818579
100.000136620720.000984084134
0.001832265
11
0.000150283
73
0.0009977581350.001845951
120.000163947740.001011433136
0.001859638
130.000177610
750.001025108
1370.001873324
140.000191274760.0010387831380.001887011
15
0.00020493877
0.001052459
1390.001900698
160.000218602780.001066134140
0.001914385
170.000232266790.0010798101410.001928073
18
0.000245930
800.0010934861420.001941760
19
0.000259595
810.001107162143
0.001955448
200.000273260820.0011208391440.001969136
210.00028692483
0.001134515145
0.001982824
22
0.000300590
840.001148192146
0.001996512
23
0.00031425585
0.0011618691470.002010201
240.00032792086
0.001175546
1480.002023889
250.000341586
870.001189223149
0.002037578
26
0.000355252
880.001202900
1500.002051267
270.00036891889
0.0012165781510.002064957
28
0.000382584
90
0.001230256152
0.002078646
29
0.000396251
910.001243934
153
0.002092336
300.00040991792
0.0012576121540.002106025
31
0.000423584
930.001271291
1550.002119715
32
0.000437251
940.001284969
1560.002133405
33
0.00045091895
0.001298648
157
0.002147096
34
0.000464586
960.001312327
158
0.002160786
350.000478253
970.001326006
159
0.002174477
360.00049192198
0.001339685
1600.002188168
37
0.000505589
99
0.001353365
161
0.002201859
38
0.000519257
1000.001367044162
0.002215550
39
0.000532925
1010.0013807241630.002229242
40
0.000546594
1020.0013944041640.002242933
41
0.000560262
103
0.0014080851650.002256625
42
0.000573931
104
0.001421765
1660.002270317
43
0.0005876001050.001435446
1670.002284010
440.0006012691060.0014491271680.002297702
45
0.0006149391070.001462808169
0.002311395
September 24, 20123612012–39 I.R.B.

366 Day Year
0.5% Compound Rate 184 Days – Continued
DaysFactorDaysFactorDaysFactor
460.0006286081080.001476489170
0.002325087
470.0006422781090.0014901701710.002338780
48
0.000655948
110
0.001503852
172
0.002352473
490.000669618111
0.001517533
1730.002366167
50
0.000683289112
0.001531215
1740.002379860
510.000696959
113
0.0015448971750.002393554
52
0.000710630114
0.001558580
1760.002407248
53
0.000724301
1150.001572262
1770.002420942
54
0.000737972116
0.001585945
1780.002434636
550.000751643
117
0.001599628
1790.002448331
560.000765315
1180.001613311180
0.002462025
57
0.0007789861190.001626994181
0.002475720
580.000792658
1200.001640678182
0.002489415
59
0.000806330121
0.001654361
183
0.002503110
600.000820003122
0.001668045
184
0.002516806
61
0.000833675
1230.001681729
620.000847348124
0.001695413
TABLE OF INTEREST RATES
PERIODS BEFORE JUL. 1, 1975 — PERIODS ENDING DEC. 31, 1986
OVERPAYMENTS AND UNDERPAYMENTS
PERIODRATE
In 1995–1 C.B.
DAILY RATE TABLE
Before Jul. 1, 1975
6%
Table 2, pg. 557
Jul. 1, 1975—Jan. 31, 1976
9%
Table 4, pg. 559
Feb. 1, 1976—Jan. 31, 19787%
Table 3, pg. 558
Feb. 1, 1978—Jan. 31, 19806%
Table 2, pg. 557
Feb. 1, 1980—Jan. 31, 198212%
Table 5, pg. 560
Feb. 1, 1982—Dec. 31, 198220%
Table 6, pg. 560
Jan. 1, 1983—Jun. 30, 198316%
Table 37, pg. 591
Jul. 1, 1983—Dec. 31, 198311%
Table 27, pg. 581
Jan. 1, 1984—Jun. 30, 198411%
Table 75, pg. 629
Jul. 1, 1984—Dec. 31, 198411%
Table 75, pg. 629
Jan. 1, 1985—Jun. 30, 1985
13%
Table 31, pg. 585
Jul. 1, 1985—Dec. 31, 1985
11%
Table 27, pg. 581
Jan. 1, 1986—Jun. 30, 198610%
Table 25, pg. 579
Jul. 1, 1986—Dec. 31, 19869%
Table 23, pg. 577
TABLE OF INTEREST RATES
FROM JAN. 1, 1987 — DEC. 31, 1998
OVERPAYMENTSUNDERPAYMENTS
1995–1 C.B.1995–1 C.B.
RATE TABLEPGRATE TABLEPG
Jan. 1, 1987—Mar. 31, 19878%21
575
9%23
577
Apr. 1, 1987—Jun. 30, 19878%21
575
9%23
577
Jul. 1
, 1987—Sep. 30, 1987
8%21
575
9%23
577
Oct. 1, 1987—Dec. 31, 19879%23
577
10%
25579
Jan. 1, 1988—Mar. 31, 198810%7362711%
75
629
Apr.
1, 1988—Jun. 30, 1988
9%71
625
10%73627
Jul. 1, 1988—Sep. 30, 19889%71
625
10%73627
2012–39 I.R.B.362September 24, 2012

TABLE OF INTEREST RATES
FROM JAN. 1, 1987 — DEC. 31, 1998 – Continued
OVERPAYMENTSUNDERPAYMENTS
1995–1 C.B.1995–1 C.B.
RATE TABLEPGRATE TABLEPG
Oct. 1, 1988—Dec. 31, 198810%7362711%
75
629
Jan. 1, 1989—Mar. 31, 198910%
25579
11%27
581
Apr. 1, 1989—Ju
n. 30, 1989
11%27
581
12%29
583
Jul. 1, 1989—Sep. 30, 198911%27
581
12%29
583
Oct. 1, 1989—Dec. 31, 198910%
25579
11%27
581
Jan. 1, 1990—M
ar. 31, 1990
10%
25579
11%27
581
Apr. 1, 1990—Jun. 30, 199010%
25579
11%27
581
Jul. 1, 1990—Sep. 30, 199010%
25579
11%27
581
Oct. 1, 1990—
Dec. 31, 1990
10%
25579
11%27
581
Jan. 1, 1991—Mar. 31, 199110%
25579
11%27
581
Apr. 1, 1991—Jun. 30, 19919%23
577
10%
25579
Jul. 1, 1991
—Sep. 30, 1991
9%23
577
10%
25579
Oct. 1, 1991—Dec. 31, 19919%23
577
10%
25579
Jan. 1, 1992—Mar. 31, 19928%696239%71
625
Apr. 1, 1992
—Jun. 30, 1992
7%676218%69623
Jul. 1, 1992—Sep. 30, 19927%676218%69623
Oct. 1, 1992—Dec. 31, 19926%
65
6197%67621
Jan. 1, 19
93—Mar. 31, 1993
6%17
571
7%19
573
Apr. 1, 1993—Jun. 30, 19936%17
571
7%19
573
Jul. 1, 1993—Sep. 30, 19936%17
571
7%19
573
Oct. 1, 19
93—Dec. 31, 1993
6%17
571
7%19
573
Jan. 1, 1994—Mar. 31, 19946%17
571
7%19
573
Apr. 1, 1994—Jun. 30, 19946%17
571
7%19
573
Jul. 1, 1
994—Sep. 30, 1994
7%19
573
8%21
575
Oct. 1, 1994—Dec. 31, 19948%21
575
9%23
577
Jan. 1,
1995—Mar. 31, 1995
8%21
575
9%23
577
Apr. 1, 1995—Jun. 30, 1995
9%23
577
10%
25579
Jul. 1, 1995—Sep. 30, 1995
8%21
575
9%23
577
Oct. 1
, 1995—Dec. 31, 1995
8%21
575
9%23
577
Jan. 1
, 1996—Mar. 31, 1996
8%696239%71
625
Apr. 1, 1996—Jun. 30, 19967%676218%69623
Jul. 1, 1996—Sep. 30, 19968%696239%71
625
Oct.
1, 1996—Dec. 31, 1996
8%696239%71
625
Jan. 1, 1997—Mar. 31, 19978%21
575
9%23
577
Apr. 1, 1997—Jun. 30, 19978%21
575
9%23
577
Jul
. 1, 1997—Sep. 30, 1997
8%21
575
9%23
577
Oct. 1, 1997—Dec. 31, 19978%21
575
9%23
577
Jan. 1, 1998—Mar. 31, 19988%21
575
9%23
577
Apr
. 1, 1998—Jun. 30, 1998
7%19
573
8%21
575
Jul. 1, 1998—Sep. 30, 19987%19
573
8%21
575
Oct. 1, 1998—Dec. 31, 19987%19
57
3
8%21
57
5
TABLE OF INTEREST RATES
FROM JANUARY 1, 1999 — PRESENT
NONCORPORATE OVERPAYMENTS AND UNDERPAYMENTS
19
95–1 C.B.
RA
TE
TA
BLE
PG
Jan
. 1, 1999—Mar. 31, 1999
7%19
573
Apr. 1, 1999—Jun. 30, 19998%21
575
Jul. 1, 1999—Sep. 30, 19998%21
57
5
Oc
t. 1, 1999—Dec. 31, 1999
8%21
575
Jan. 1, 2000—Mar. 31, 20008%69623
September 24, 20123632012–39 I.R.B.

TABLE OF INTEREST RATES
FROM JANUARY 1, 1999 — PRESENT
NONCORPORATE OVERPAYMENTS AND UNDERPAYMENTS – Continued
1995–1 C.B.
RATETABLEPG
Apr. 1, 2000—Jun. 30, 20009%71
625
Jul. 1, 2000—Sep. 30, 20009%71
625
Oct. 1, 2000—Dec. 31, 20009%71
625
Jan. 1, 2001—Mar. 31, 20019%23
577
Apr. 1, 2001—Jun. 30, 20018%21
575
Jul. 1, 2001—Sep. 30, 20017%19
573
Oct. 1, 2001—Dec. 31, 20017%19
573
Jan. 1, 2002—Mar. 31, 20026%17
571
Apr. 1, 2002—Jun. 30, 20026%17
571
Jul. 1, 2002—Sep. 30, 20026%17
571
Oct. 1, 2002—Dec. 31, 20026%17
571
Jan. 1, 2003—Mar. 31, 2003
5%15569
Apr. 1, 2003—Jun. 30, 2003
5%15569
Jul. 1, 2003—Sep. 30, 2003
5%15569
Oct. 1, 2003—Dec. 31, 20034%13
567
Jan. 1, 2004—Mar. 31, 20044%61
615
Apr. 1, 2004—Jun. 30, 2004
5%
63617
Jul. 1, 2004—Sep. 30, 20044%61
615
Oct. 1, 2004—Dec. 31, 2004
5%
63617
Jan. 1, 2005—Mar. 31, 20055%15569
Apr. 1, 2005—Jun. 30, 2005
6%17
571
Jul. 1, 2005—Sep. 30, 2005
6%17
571
Oct. 1, 2005—Dec. 31, 2005
7%19
573
Jan. 1, 2006—Mar. 31, 20067%19
573
Apr. 1, 2006—Jun. 30, 20067%19
573
Jul. 1, 2006—Sep. 30, 20068%21
575
Oct. 1, 2006—Dec. 31, 20068%21
575
Jan. 1, 2007—Mar. 31, 20078%21
575
Apr. 1, 2007—Jun. 30, 20078%21
575
Jul. 1, 2007—Sep. 30, 20078%21
575
Oct. 1, 2007—Dec. 31, 20078%21
575
Jan. 1, 2008—Mar. 31, 20087%67621
Apr. 1, 2008—Jun. 30, 20086%
65
619
Jul. 1, 2008—Sep. 30, 2008
5%
63617
Oct. 1, 2008—Dec. 31, 20086%
65
619
Jan. 1, 2009—Mar. 31, 2009
5%15569
Apr. 1, 2009—Jun. 30, 20094%13
567
Jul. 1, 2009—Sep. 30, 20094%13
567
Oct. 1, 2009—Dec. 31, 20094%13
567
Jan. 1, 2010—Mar. 31, 20104%13
567
Apr. 1, 2010—Jun. 30, 20104%13
567
Jul. 1, 2010—Sep. 30, 20104%13
567
Oct. 1, 2010—Dec. 31, 20104%13
567
Jan. 1, 2011—Mar. 31, 20113%11
565
Apr. 1, 2011—Jun. 30, 20114%13
567
Jul. 1, 2011—Sep. 30, 20114%13
567
Oct. 1, 2011—Dec. 31, 20113%11
565
Jan. 1, 2012—Mar. 31, 20123%
59
613
Apr. 1, 2012—Jun. 30, 20123%
59
613
Jul. 1, 2012—Sep. 30, 20123%
59
613
Oct. 1, 2012—Dec. 31, 20123%
59
613
2012–39 I.R.B.364September 24, 2012

TABLE OF INTEREST RATES
FROM JANUARY 1, 1999 — PRESENT
CORPORATE OVERPAYMENTS AND UNDERPAYMENTS
OVERPAYMENTSUNDERPAYMENTS
1995–1 C.B.1995–1 C.B.
RATE TABLEPGRATE TABLEPG
Jan. 1, 1999—Mar. 31, 19996%17
571
7%19
573
Apr. 1, 1999—Jun
. 30, 1999
7%19
573
8%21
575
Jul. 1, 1999—Sep. 30, 19997%19
573
8%21
575
Oct. 1, 1999—Dec. 31, 19997%19
573
8%21
575
Jan. 1, 2000—Ma
r. 31, 2000
7%676218%69623
Apr. 1, 2000—Jun. 30, 20008%696239%71
625
Jul. 1, 2000—Sep. 30, 20008%696239%71
625
Oct. 1, 2000—D
ec. 31, 2000
8%696239%71
625
Jan. 1, 2001—Mar. 31, 20018%21
575
9%23
577
Apr. 1, 2001—Jun. 30, 20017%19
573
8%21
575
Jul. 1, 2001—
Sep. 30, 2001
6%17
571
7%19
573
Oct. 1, 2001—Dec. 31, 20016%17
571
7%19
573
Jan. 1, 2002—Mar. 31, 2002
5%15569
6%17
571
Apr. 1, 2002
—Jun. 30, 2002
5%15569
6%17
571
Jul. 1, 2002—Sep. 30, 2002
5%15569
6%17
571
Oct. 1, 2002—Dec. 31, 2002
5%15569
6%17
571
Jan. 1, 200
3—Mar. 31, 2003
4%13
5675%15569
Apr. 1, 2003—Jun. 30, 20034%13
5675%15569
Jul. 1, 2003—Sep. 30, 20034%13
5675%15569
Oct. 1, 20
03—Dec. 31, 2003
3%11
565
4%13
567
Jan. 1, 2004—Mar. 31, 20043%
59
6134%61
615
Apr. 1, 2004—Jun. 30, 20044%61
6155%
63617
Jul. 1, 2
004—Sep. 30, 2004
3%
59
6134%61
615
Oct. 1, 2004—Dec. 31, 20044%61
6155%
63617
Jan. 1, 2
005—Mar. 31, 2005
4%13
5675%15569
Apr. 1, 2005—Jun. 30, 20055%15569
6%17
571
Jul. 1, 2005—Sep. 30, 20055%15569
6%17
571
Oct. 1,
2005—Dec. 31, 2005
6%17
571
7%19
573
Jan. 1,
2006—Mar. 31, 2006
6%17
571
7%19
573
Apr. 1, 2006—Jun. 30, 20066%17
571
7%19
573
Jul. 1, 2006—Sep. 30, 20067%19
573
8%21
575
Oct. 1
, 2006—Dec. 31, 2006
7%19
573
8%21
575
Jan. 1, 2007—Mar. 31, 20077%19
573
8%21
575
Apr. 1, 2007—Jun. 30, 20077%19
573
8%21
575
Jul.
1, 2007—Sep. 30, 2007
7%19
573
8%21
575
Oct. 1, 2007—Dec. 31, 20077%19
573
8%21
575
Jan. 1, 2008—Mar. 31, 20086%
65
6197%67621
Apr
. 1, 2008—Jun. 30, 2008
5%
636176%
65
619
Jul. 1, 2008—Sep. 30, 20084%61
6155%
63617
Oct. 1, 2008—Dec. 31, 2008
5%
636176%
65
619
Jan
. 1, 2009—Mar. 31, 2009
4%13
5675%15569
Apr. 1, 2009—Jun. 30, 20093%11
565
4%13
567
Jul. 1, 2009—Sep. 30, 20093%11
56
5
4%13
56
7
Oc
t. 1, 2009—Dec. 31, 2009
3%11
565
4%13
567
Jan. 1, 2010—Mar. 31, 20103%11
565
4%13
567
Apr. 1, 2010—Jun. 30, 20103%11
5
65
4%13
5
67
J
ul. 1, 2010—Sep. 30, 2010
3
%
1
1
565
4
%
1
3
567
Oct. 1, 2010—Dec. 31, 20103%11
565
4%13
567
Jan. 1, 2011—Mar. 31, 20112%9
563
3%11
565
Apr. 1, 2011—Jun. 30, 20113%11
565
4%13
567
Jul. 1, 2011—Sep. 30, 20113%11
565
4%13
567
Oct. 1, 2011—Dec. 31, 20112%9
563
3%11
565
Jan. 1, 2012—Mar. 31, 20122%
57
6113%
59
613
September 24, 20123652012–39 I.R.B.

TABLE OF INTEREST RATES
FROM JANUARY 1, 1999 — PRESENT
CORPORATE OVERPAYMENTS AND UNDERPAYMENTS – Continued
OVERPAYMENTSUNDERPAYMENTS
1995–1 C.B.1995–1 C.B.
RATE TABLEPGRATE TABLEPG
Apr. 1, 2012—Jun. 30, 20122%
57
6113%
59
613
Jul. 1, 2012—Sep. 30, 20122%
57
6113%
59
613
Oct. 1, 2012—De
c. 31, 2012
2%
57
6113%
59
613
TABLE OF INTEREST RATES FOR
LARGE CORPORATE UNDERPAYMENTS
FROM JANUARY 1, 1991 — PRESENT
1995–1 C.B.
RATETABLEPG
Jan. 1, 1991—Ma
r. 31, 1991
13%31
585
Apr. 1, 1991—Jun. 30, 199112%29
583
Jul. 1, 1991—Sep. 30, 199112%29
583
Oct. 1, 1991—D
ec. 31, 1991
12%29
583
Jan. 1, 1992—Mar. 31, 199211%
75
629
Apr. 1, 1992—Jun. 30, 199210%73627
Jul. 1, 1992—S
ep. 30, 1992
10%73627
Oct. 1, 1992—Dec. 31, 19929%71
625
Jan. 1, 1993—Mar. 31, 19939%23
577
Apr. 1, 1993—
Jun. 30, 1993
9%23
577
Jul. 1, 1993—Sep. 30, 19939%23
577
Oct. 1, 1993—Dec. 31, 19939%23
577
Jan. 1, 1994
—Mar. 31, 1994
9%23
577
Apr. 1, 1994—Jun. 30, 19949%23
577
Jul. 1, 1994—Sep. 30, 199410%
25579
Oct. 1, 199
4—Dec. 31, 1994
11%27
581
Jan. 1, 1995—Mar. 31, 1995
11%27
581
Apr. 1, 19
95—Jun. 30, 1995
12%29
583
Jul. 1, 1995—Sep. 30, 1995
11%27
581
Oct. 1, 1995—Dec. 31, 1995
11%27
581
Jan. 1, 1996—Mar. 31, 199611%
75
629
Apr. 1, 1
996—Jun. 30, 1996
10%73627
Jul. 1, 1996—Sep. 30, 199611%
75
629
Oct. 1, 1996—Dec. 31, 199611%
75
629
Jan. 1,
1997—Mar. 31, 1997
11%27
581
Apr. 1, 1997—Jun. 30, 199711%27
581
Jul. 1, 1997—Sep. 30, 199711%27
581
Oct. 1
, 1997—Dec. 31, 1997
11%27
581
Jan. 1, 1998—Mar. 31, 199811%27
581
Apr. 1, 1998—Jun. 30, 199810%
25579
Jul. 1
, 1998—Sep. 30, 1998
10%
25579
Oct. 1, 1998—Dec. 31, 199810%
25579
Jan. 1, 1999—Mar. 31, 19999%23
577
Apr.
1, 1999—Jun. 30, 1999
10%
25579
Jul. 1, 1999—Sep. 30, 199910%
25579
Oct. 1, 1999—Dec. 31, 199910%
25579
Jan
. 1, 2000—Mar. 31, 2000
10%73627
Apr. 1, 2000—Jun. 30, 200011%
75
629
Jul. 1, 2000—Sep. 30, 200011%
75
629
Oc
t. 1, 2000—Dec. 31, 2000
11%
75
62
9
Jan. 1, 2001—Mar. 31, 200111%27
581
Apr. 1, 2001—Jun. 30, 200110%
2557
9
2012–39 I.R.B.366September 24, 2012

TABLE OF INTEREST RATES FOR
LARGE CORPORATE UNDERPAYMENTS
FROM JANUARY 1, 1991 — PRESENT – Continued
1995–1 C.B.
RATETABLEPG
Jul. 1, 2001—Sep. 30, 20019%23
577
Oct. 1, 2001—Dec. 31, 20019%23
577
Jan. 1, 2002—Mar. 31, 20028%21
575
Apr. 1, 2002—Jun. 30, 20028%21
575
Jul. 1, 2002—Sep. 30, 20028%21
575
Oct. 1, 2002—Dec. 30, 20028%21
575
Jan. 1, 2003—Mar. 31, 20037%19
573
Apr. 1, 2003—Jun. 30, 20037%19
573
Jul. 1, 2003—Sep. 30, 20037%19
573
Oct. 1, 2003—Dec. 31, 20036%17
571
Jan. 1, 2004—Mar. 31, 20046%
65
619
Apr. 1, 2004—Jun. 30, 20047%67621
Jul. 1, 2004—Sep. 30, 20046%
65
619
Oct. 1, 2004—Dec. 31, 20047%67621
Jan. 1, 2005—Mar. 31, 2005
7%19
573
Apr. 1, 2005—Jun. 30, 2005
8%21
575
Jul. 1, 2005—Sep. 30, 2005
8%21
575
Oct. 1, 2005—Dec. 31, 2005
9%23
577
Jan. 1, 2006—Mar. 31, 20069%23
577
Apr. 1, 2006—Jun. 30, 20069%23
577
Jul. 1, 2006—Sep. 30, 200610%
25579
Oct. 1, 2006—Dec. 31, 200610%
25579
Jan. 1, 2007—Mar. 31, 200710%
25579
Apr. 1, 2007—Jun. 30, 200710%
25579
Jul. 1, 2007—Sep. 30, 200710%
25579
Oct. 1, 2007—Dec. 31, 200710%
25579
Jan. 1, 2008—Mar. 31, 20089%71
625
Apr. 1, 2008—Jun. 30, 20088%69623
Jul. 1, 2008—Sep. 30, 20087%67621
Oct. 1, 2008—Dec. 31, 20088%69623
Jan. 1, 2009—Mar. 31, 20097%19
573
Apr. 1, 2009—Jun. 30, 20096%17
571
Jul. 1, 2009—Sep. 30, 20096%17
571
Oct. 1, 2009—Dec. 31, 20096%17
571
Jan. 1, 2010—Mar. 31, 20106%17
571
Apr. 1, 2010—Jun. 30, 20106%17
571
Jul. 1, 2010—Sep. 30, 20106%17
571
Oct. 1, 2010—Dec. 31, 20106%17
571
Jan. 1, 2011—Mar. 31, 2011
5%15569
Apr. 1, 2011—Jun. 30, 20116%17
571
Jul. 1, 2011—Sep. 30, 20116%17
571
Oct. 1, 2011—Dec. 31, 2011
5%15569
Jan. 1, 2012—Mar. 31, 2012
5%
63617
Apr. 1, 2012—Jun. 30, 2012
5%
63617
Jul. 1, 2012—Sep. 30, 2012
5%
63617
Oct. 1, 2012—Dec. 31, 2012
5%
63617
September 24, 20123672012–39 I.R.B.

TABLE OF INTEREST RATES FOR CORPORATE
OVERPAYMENTS EXCEEDING $10,000
FROM JANUARY 1, 1995 — PRESENT
1995–1 C.B.
RATETABLEPG
Jan. 1, 1995—Mar. 31, 19956.5%
18
572
Apr. 1, 1995—Jun. 30, 19957.5%
20
574
Jul. 1, 1995—Sep. 30, 19956.5%
18
572
Oct. 1, 1995—Dec. 31, 19956.5%
18
572
Jan. 1, 1996—Mar. 31, 1996
6.5%
66620
Apr. 1, 1996—Jun. 30, 1996
5.5%
64618
Jul. 1, 1996—Sep. 30, 1996
6.5%
66620
Oct. 1, 1996—Dec. 31, 1996
6.5%
66620
Jan. 1, 1997—Mar. 31, 1997
6.5%
18
572
Apr. 1, 1997—Jun. 30, 1997
6.5%
18
572
Jul. 1, 1997—Sep. 30, 1997
6.5%
18
572
Oct. 1, 1997—Dec. 31, 1997
6.5%
18
572
Jan. 1, 1998—Mar. 31, 1998
6.5%
18
572
Apr. 1, 1998—Jun. 30, 1998
5.5%
16
570
Jul. 1, 1998—Sep. 30, 1998
5.5%
16
570
Oct. 1, 1998—Dec. 31, 1998
5.5%
16
570
Jan. 1, 1999—Mar. 31, 1999
4.5%
14
568
Apr. 1, 1999—Jun. 30, 1999
5.5%
16
570
Jul. 1, 1999—Sep. 30, 1999
5.5%
16
570
Oct. 1, 1999—Dec. 31, 1999
5.5%
16
570
Jan. 1, 2000—Mar. 31, 2000
5.5%
64618
Apr. 1, 2000—Jun. 30, 2000
6.5%
66620
Jul. 1, 2000—Sep. 30, 2000
6.5%
66620
Oct. 1, 2000—Dec. 31, 2000
6.5%
66620
Jan. 1, 2001—Mar. 31, 2001
6.5%
18
572
Apr. 1, 2001—Jun. 30, 2001
5.5%
16
570
Jul. 1, 2001—Sep. 30, 2001
4.5%
14
568
Oct. 1, 2001—Dec. 31, 2001
4.5%
14
568
Jan. 1, 2002—Mar. 31, 2002
3.5%
12
566
Apr. 1, 2002—Jun. 30, 2002
3.5%
12
566
Jul. 1, 2002—Sep. 30, 2002
3.5%
12
566
Oct. 1, 2002—Dec. 31, 2002
3.5%
12
566
Jan. 1, 2003—Mar. 31, 2003
2.5%
10
564
Apr. 1, 2003—Jun. 30, 2003
2.5%
10
564
Jul. 1, 2003—Sep. 30, 2003
2.5%
10
564
Oct. 1, 2003—Dec. 31, 2003
1.5%
8
562
Jan. 1, 2004—Mar. 31, 2004
1.5%56
610
Apr. 1, 2004—Jun. 30, 2004
2.5%58
612
Jul. 1, 2004—Sep. 30, 2004
1.5%56
610
Oct. 1, 2004—Dec. 31, 2004
2.5%58
612
Jan. 1, 2005—Mar. 31, 20052.5%
10
564
Apr. 1, 2005—Jun. 30, 20053.5%
12
566
Jul. 1, 2005—Sep. 30, 20053.5%
12
566
Oct. 1, 2005—Dec. 31, 20054.5%
14
568
Jan. 1, 2006—Mar. 31, 2006
4.5%
14
568
Apr. 1, 2006—Jun. 30, 2006
4.5%
14
568
Jul. 1, 2006—Sep. 30, 2006
5.5%
16
570
Oct. 1, 2006—Dec. 31, 2006
5.5%
16
570
Jan. 1, 2007—Mar. 31, 2007
5.5%
16
570
Apr. 1, 2007—Jun. 30, 2007
5.5%
16
570
Jul. 1, 2007—Sep. 30, 2007
5.5%
16
570
Oct. 1, 2007—Dec. 31, 2007
5.5%
16
570
Jan. 1, 2008—Mar. 31, 2008
4.5%
62616
Apr. 1, 2008—Jun. 30, 2008
3.5%
60614
Jul. 1, 2008—Sep. 30, 2008
2.5%58
612
2012–39 I.R.B.368September 24, 2012

TABLE OF INTEREST RATES FOR CORPORATE
OVERPAYMENTS E
XCEEDING $10,000
FROM JANUARY 1, 1995 — PRESENT – Continued
1995–1 C.B.
RATETABLEPG
Oct. 1, 2008—Dec. 31, 2008
3.5%
60614
Jan. 1, 2009—Mar. 31, 2009
2.5%
10
564
Apr. 1, 2009—Jun. 30, 2009
1.5%
8
562
Jul. 1, 2009—Sep. 30, 2009
1.5%
8
562
Oct. 1, 2009—Dec. 31, 2009
1.5%
8
562
Jan. 1, 2010—Mar. 31, 2010
1.5%
8
562
Apr. 1, 2010—Jun. 30, 2010
1.5%
8
562
Jul. 1, 2010—Sep. 30, 2010
1.5%
8
562
Oct. 1, 2010—Dec. 31, 2010
1.5%
8
562
Jan. 1, 2011—Mar. 31, 2011
0.5%*
Apr. 1, 2011—Jun. 30, 2011
1.5%
8
562
Jul. 1, 2011—Sep. 30, 2011
1.5%
8
562
Oct. 1, 2011—Dec. 31, 2011
0.5%*
Jan. 1, 2012—Mar. 31, 2012
0.5%*
Apr. 1, 2012—Jun. 30, 2012
0.5%*
Jul. 1, 2012—Sep. 30, 2012
0.5%*
Oct. 1, 2012—Dec. 31, 2012
0.5%*
September 24, 20123692012–39 I.R.B.

Part III. Administrative, Procedural, and Miscellaneous
Update for Weighted Average
Interest Rates, Yield Curves,
and Segment Rates
Notice 2012–56
This notice provides guidance as to the
corporate bond weighted average interest
rate and the permissible range of interest
rates specified under § 412(b)(5)(B)(ii)(II)
of the Internal Revenue Code as in ef-
fect for plan years beginning before 2008.
It also provides guidance on the cor-
porate bond monthly yield curve (and
the corresponding spot segment rates),
and the 24-month average segment rates
under § 430(h)(2). In addition, this no-
tice provides guidance as to the interest
rate on 30-year Treasury securities un-
der § 417(e)(3)(A)(ii)(II) as in effect for
plan years beginning before 2008, the
30-year Treasury weighted average rate
under § 431(c)(6)(E)(ii)(I), and the min-
imum present value segment rates under
§ 417(e)(3)(D) as in effect for plan years
beginning after 2007. These rates re-
flect certain changes implemented by
the Moving Ahead for Progress in the
21st Century Act, Public Law 112–141
(MAP–21). MAP–21 provides that for
purposes of § 430(h)(2), the segment rates
are limited by the applicable maximum
percentage or the applicable minimum per-
centage based on the average of segment
rates over a 25 year period. Additional
guidance related to the new legislation
will be issued in the future.
CORPORATE BOND WEIGHTED
AVERAGE INTEREST RATE
Sections412(b)(5)(B)(ii)and
412(l)(7)(C)(i) provide that the interest
rates used to calculate current liability
and to determine the required contribution
under § 412(l) for plan years beginning
in 2004 through 2007 must be within a
permissible range based on the weighted
average of the rates of interest on amounts
invested conservatively in long term in-
vestment grade corporate bonds during the
4-year period ending on the last day before
the beginning of the plan year.
Notice 2004–34, 2004–1 C.B. 848, pro-
vides guidelines for determining the cor-
porate bond weighted average interest rate
and the resulting permissible range of in-
terest rates used to calculate current liabil-
ity. That notice establishes that the corpo-
rate bond weighted average is based on the
monthly composite corporate bond rate de-
rived from designated corporate bond in-
dices. The methodology for determining
the monthly composite corporate bond rate
as set forth in Notice 2004–34 continues to
apply in determining that rate. See Notice
2006–75, 2006–2 C.B. 366.
The composite corporate bond rate for
August 2012 is 4.01 percent. Pursuant
to Notice 2004–34, the Service has de-
termined this rate as the average of the
monthly yields for the included corporate
bond indices for that month.
The following corporate bond weighted
average interest rate was determined for
plan years beginning in the month shown
below.
For Plan Years
Beginning inPermissible Range
MonthYear
Corporate
Bond Weighted
Average90%to100%
September2012
5.25
4.73
5.25
YIELD CURVE AND SEGMENT
RATES
Generally, except for certain plans
under sections 104 and 105 of the Pen-
sion Protection Act of 2006, § 430 of
the Code specifies the minimum funding
requirements that apply to single em-
ployer plans pursuant to § 412. Section
430(h)(2) specifies the interest rates that
must be used to determine a plan’s target
normal cost and funding target. Under
this provision, present value is generally
determined using three 24-month average
interest rates (“segment rates”), each of
which applies to cash flows during speci-
fied periods. To the extent provided under
§ 430(h)(2)(C)(iv), these segment rates are
adjusted by the applicable percentage of
the 25-year average segment rates for the
period ending September 30 of the year
preceding the calendar year in which the
plan year begins. However, an election
may be made under § 430(h)(2)(D)(ii) to
use the monthly yield curve in place of the
segment rates.
Notice 2007–81, 2007–2 C.B. 899,
provides guidelines for determining the
monthly corporate bond yield curve, and
the 24-month average corporate bond
segment rates used to compute the tar-
get normal cost and the funding target.
Pursuant to Notice 2007–81, the monthly
corporate bond yield curve derived from
August 2012 data is in Table I at the end
of this notice. The spot first, second, and
third segment rates for the month of Au-
gust 2012 are, respectively, 1.13, 3.71, and
4.52. The three 24-month average cor-
porate bond segment rates applicable for
September 2012, without adjustment by
the applicable percentage of the 25-year
average segment rates, are as follows:
2
4-MonthSegmentRatesWithoutAdjustmentby25-YearAverageSegmentRates
First
Segment
Second
Segment
Third
Segment
1.75
4.62
5.72
2012–39 I.R.B.370September 24, 2012

For plan years beginning in 2012, the
24-month average segment rates deter-
mined under § 430(h)(2)(C)(iv) must be
not less than 90% nor greater than 110%
of the 25-year average segment rates. Pur-
suant to Notice 2012–55, I.R.B. 2012–36,
the first, second, and third 25-year segment
rates applicable for plan years beginning in
2012 are 6.15, 7.61, and 8.35, respectively.
Therefore, for plan years beginning in
2012, the three adjusted 24-month average
corporate bond segment rates applicable
for September 2012, taking into account
the applicable percentage of the 25-year
average segment rates, are as follows:
Adjusted 24-Month Average Segment Rates,
U
singApplicablePercentageof25-YearAverageSegmentRates
Applicable month
For Plan
Years
Beginning in
First
Segment
Second
Segment
Third
Segment
September 20122012
5.546.857.52
The 25-year average segment rates for
the period ending September 30, 2012
have not been determined yet. The Ser-
vice will issue additional guidance on the
September 2012 adjusted 24-month aver-
age segment rates applicable for plan years
beginning in 2013 when those 25-year
average segment rates are determined.
30-YEAR TREASURY SECURITIES
INTEREST RATES
Section 417(e)(3)(A)(ii)(II) (prior to
amendment by PPA) defines the appli-
cable interest rate, which must be used
for purposes of determining the minimum
present value of a participant’s benefit
under § 417(e)(1) and (2), as the annual
rate of interest on 30-year Treasury se-
curities for the month before the date
of distribution or such other time as the
Secretary may by regulations prescribe.
Section 1.417(e)–1(d)(3) of the Income
Tax Regulations provides that the applica-
bleinterestrateforamonthistheannual
rate of interest on 30-year Treasury secu-
rities as specified by the Commissioner
for that month in revenue rulings, notices
or other guidance published in the Internal
Revenue Bulletin.
The rate of interest on 30-year Treasury
securities for August 2012 is 2.77 percent.
The Service has determined this rate as the
average of the yield on the 30-year Trea-
sury bond maturing in May 2042 deter-
mined each day through August 8, 2012,
and the yield on the 30-year Treasury bond
maturing in August 2042 determined each
day for the balance of the month.
Generally for plan years beginning
after 2007, § 431 specifies the mini-
mum funding requirements that apply to
multiemployer plans pursuant to § 412.
Section 431(c)(6)(B) specifies a minimum
amount for the full-funding limitation
described in section 431(c)(6)(A), based
on the plan’s current liability. Section
431(c)(6)(E)(ii)(I) provides that the inter-
est rate used to calculate current liability
for this purpose must be no more than 5
percent above and no more than 10 percent
below the weighted average of the rates of
interest on 30-year Treasury securities dur-
ing the four-year period ending on the last
day before the beginning of the plan year.
Notice 88–73, 1988–2 C.B. 383, provides
guidelines for determining the weighted
average interest rate. The following rates
were determined for plan years beginning
in the month shown below.
For Plan Years
Beginning inPermissible Range
MonthYear
30-Year
Treasury
Weighted
Average90%to105%
September20123.73
3.35
3.91
MINIMUM PRESENT VALUE
SEGMENT RATES
In general, the applicable interest rates
under § 417(e)(3)(D) are segment rates
computed without regard to a 24-month
average. For plan years beginning in
2008 through 2011, the applicable interest
rates are the monthly spot segment rates
blended with the applicable rate under
§ 417(e)(3)(A)(ii)(II) as in effect for plan
years beginning in 2007. Notice 2007–81
provides guidelines for determining the
minimum present value segment rates.
Pursuant to that notice, the minimum
present value transitional segment rates
determined for August 2012, taking into
account the August 2012 30-year Treasury
rate of 2.77 stated above, are as follows:
September 24, 20123712012–39 I.R.B.

MinimumPresentValueSegmentRatesforAugust2012
For Plan Years
Beginning in
First
Segment
Second
Segment
Third
Segment
20111.46
3.52
4.17
20121.133.71
4.52
DRAFTING INFORMATION
The principal author of this notice is
Tony Montanaro of the Employee Plans,
Tax Exempt and Government Entities
Division. Mr. Montanaro may be e-mailed
atRetirementPlanQuestions@irs.gov.
2012–39 I.R.B.372September 24, 2012

Table I
Monthly Yield Curve for August 2012
Derived from August 2012 Data
Maturity YieldMaturity YieldMaturity YieldMaturity YieldMaturity Yield
0.5
0.37
20.5
4.43
40.54.5360.54.5780.5
4.60
1.00.6021.04.4341.0
4.53
61.0
4.58
81.04.60
1.50.8121.54.4341.54.5361.54.5881.54.60
2.00.9922.04.4442.0
4.53
62.0
4.58
82.04.60
2.5
1.12
22.5
4.44
42.54.5362.54.5882.5
4.60
3.01.2423.04.4443.0
4.54
63.0
4.58
83.04.60
3.51.3523.5
4.44
43.54.5463.54.5883.5
4.60
4.01.4724.04.4444.0
4.54
64.0
4.58
84.04.60
4.51.6024.54.4544.54.5464.54.5884.54.60
5.0
1.76
25.04.4545.04.5465.04.5885.0
4.60
5.5
1.92
25.54.4545.54.5465.54.5885.5
4.60
6.02.1026.0
4.45
46.0
4.54
66.0
4.58
86.04.60
6.5
2.29
26.54.4546.54.5566.54.5886.5
4.60
7.02.4827.04.4647.0
4.55
67.0
4.58
87.04.60
7.52.6627.54.4647.54.5567.54.5887.54.60
8.0
2.85
28.04.4648.0
4.55
68.04.5988.04.61
8.5
3.02
28.5
4.47
48.54.5568.5
4.59
88.5
4.61
9.03.1929.0
4.47
49.0
4.55
69.0
4.59
89.0
4.61
9.5
3.35
29.54.4749.5
4.55
69.54.5989.54.61
10.0
3.49
30.04.48
50.04.55
70.04.59
90.0
4.61
10.53.6230.54.4850.54.5670.54.5990.54.61
11.03.7431.04.48
51.04.56
71.04.5991.04.61
11.5
3.84
31.5
4.49
51.54.5671.5
4.5991.54.61
12.0
3.94
32.0
4.49
52.04.56
72.04.59
92.0
4.61
12.5
4.02
32.5
4.49
52.54.5672.5
4.5992.54.61
13.0
4.09
33.0
4.49
53.04.56
73.04.59
93.0
4.61
13.54.1533.54.5053.54.5673.54.5993.54.61
14.04.2034.0
4.5054.04.56
74.04.5994.04.61
14.54.2534.54.5054.54.5674.5
4.5994.54.61
15.0
4.28
35.04.5055.04.5775.0
4.5995.04.61
15.5
4.31
35.54.5155.54.5775.5
4.5995.54.61
16.04.3436.0
4.5156.04.57
76.04.59
96.0
4.61
16.54.3636.54.5156.54.5776.54.6096.54.61
17.04.3837.0
4.5157.04.57
77.04.6097.04.61
17.5
4.39
37.54.5257.54.5777.5
4.6097.54.61
18.04.4038.0
4.5258.04.57
78.04.60
98.0
4.61
18.5
4.41
38.54.5258.54.5778.5
4.6098.54.61
19.0
4.42
39.0
4.52
59.0
4.57
79.0
4.60
99.0
4.61
19.54.4239.54.5259.54.5779.54.6099.54.61
20.04.4340.0
4.53
60.0
4.57
80.04.60100.04.61
September 24, 20123732012–39 I.R.B.

Use this Revenue Procedure to prepare Tax Year2012and prior year information returns for submission to Internal Revenue Service
(IRS) using electronic filing.
Caution to filers:
Please read this
publication carefully. Persons or businessesrequiredtofileinformationreturns electronically may be subject to
penalties for f
ailure to file or include correct information if the instructions in this Revenue Procedure are not followed.
Important notes
:
The IRS internet connection for filing information returns electronically is h
ttp://fire.irs.govand http://fire.test.irs.gov. The Filing
Information Returns Electronically (FIRE) systemand the test systemwill be down from 6 p.m. ETDecember 14, 2012, through
January 02, 2013 for yearly updates. In addition, the FIRE system may be down every Wednesday from 2:00 a.m. to 5:00 a.m.
ET for programming updates. The FIRE system will not be available for submissions during these times.
Form 4419,Application for FilingInformation Returns Electronically (FIRE), is subject to review before the approval to transmit
electronically is granted. IRS may require additional documentation. If a determination is made concerning the validity of the
documents transmitted electronically, IRS has the authority to revoke the Transmitter Control Code (TCC) and terminate the
release of the files.
The FIRE system does not provide fill-in forms for filing information returns.
Rev. Proc. 2012–36
TABLE OF CONTENTS
Part A. General
SEC. 1. PURPOSE................................................................................................. 375
SEC. 2. WHAT’S NEW FOR TAX YEAR 2012......................................................................... 376
SEC. 3. WHERE TO FILE AND HOW TO CONTACT THE IRS, INFORMATION RETURNS BRANCH (IRB).................. 376
SEC. 4. FILING AND RETENTION REQUIREMENTS................................................................. 378
SEC. 5. VENDOR LIST – PUBLICATION 1582........................................................................ 378
SEC. 6. FORM 4419, APPLICATION FOR FILING INFORMATION RETURNS ELECTRONICALLY
(FIRE)
.................................................................................................... 379
SEC. 7. DUE DATES............................................................................................... 380
SEC. 8. VALIDATION OF INFORMATION RETURNS AT IRS SERVICE CENTER........................................ 380
SEC. 9. AMENDED RETURNS...................................................................................... 381
SEC. 10. TAXPAYER IDENTIFICATION NUMBER (TIN)............................................................... 384
SEC. 11. EFFECT ON PAPER RETURNS AND STATEMENTS TO RECIPIENTS.......................................... 384
SEC. 12. PENALTIES ASSOCIATED WITH INFORMATION RETURNS.................................................. 385
SEC. 13. DEFINITION OF TERMS.................................................................................. 385
SEC. 14. STATE ABBREVIATIONS.................................................................................. 388
2012–39 I.R.B.374September 24, 2012

Part B. Electronic Filing Specifications
SEC. 1. GENERAL................................................................................................. 389
SEC. 2. ELECTRONIC FILING APPROVAL PROCEDURE............................................................. 389
SEC. 3. TEST FILES............................................................................................... 390
SEC. 4. ELECTRONIC SUBMISSIONS............................................................................... 390
SEC. 5. PIN REQUIREMENTS...................................................................................... 391
SEC. 6. ELECTRONIC FILING SPECIFICATIONS.................................................................... 391
SEC. 7. CONNECTING TO THE FIRE SYSTEM....................................................................... 391
SEC. 8. COMMON PROBLEMS AND QUESTIONS.................................................................... 393
Part C. Record Format Specifications and Record Layouts
SEC. 1. FILE LAYOUT DIAGRAM................................................................................... 397
SEC. 2. GENERAL................................................................................................. 397
SEC. 3. TRANSMITTER “T” RECORD............................................................................... 397
SEC. 4. WITHHOLDING AGENT “W” RECORD...................................................................... 400
SEC. 5. RECIPIENT “Q” RECORD.................................................................................. 403
SEC. 6. RECONCILIATION “C” RECORD........................................................................... 411
SEC. 7. END OF TRANSMISSION “F” RECORD...................................................................... 412
Part D. Extensions of Time and W
aivers
SEC. 1. GENERAL - EXTENSIONS................................................................................. 413
SEC. 2. SPECIFICATIONS FOR FILING EXTENSIONS OF TIME ELECTRONICALLY................................... 414
SEC. 3. RECORD LAYOUT - EXTENSION OF TIME.................................................................. 414
SEC. 4. EXTENSION OF TIME FOR RECIPIENT COPIES OF INFORMATION RETURNS................................ 415
SEC. 5. FORM 8508, REQUEST FOR WAIVERFROM FILING INFORMATION RETURNS
ELECTRONICALLY
........................................................................................ 416
Part A. General
Revenue Procedures are generally revised annually to reflect legislative and form changes. Comments concerning this Revenue
Procedure, or suggestions for making it more helpful, can be addressed to:
Internal Revenue Service
Attn: Information Returns Branch
230 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
Sec. 1. Purpose
Note:Refer to Part A, Sec. 13, for definitions of terms and codes used in this publication.
.01This Revenue Procedure supersedesRev. Proc. 2011–50published as Publication 1187 (Rev. 10/2011),Specifications for
Filing Form 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding, Electronically.
September 24, 20123752012–39 I.R.B.

.02The purpose of this Revenue Procedure is to provide the specifications for filing Form 1042-S with IRS electronically through
the IRS Filing Information Returns Electronically (FIRE) system. The system is designed to support the electronic filing of infor-
mation returns only. This Revenue Procedure must be used to prepare current and prior year information returnsfiled beginning
January 1, 2013, and received by IRS by December 31, 2013.
.03All data received for processing will be given the same protection as individual income tax returns (Form 1040). IRS will
process the data and determine if the records are formatted and coded according to this Revenue Procedure.
.04Generally, the box names on the paper Form 1042-S correspond with the fields used to file electronically; however, if discrep-
ancies occur, the instructions in this Revenue Procedure must be followed when filing electronically.
.05The following Revenue Procedures and publications provide moredetailed filing procedures for certain information returns:
(a)Instructions for Form 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding
(b)Publication 1179,General Rules and Specifications for Substitute Forms 1096, 1097, 1098, 1099, 3921, 3922, 5498, 8935,
W-2G and 1042-S
(c)Publication 1239,Specifications for Filing Form 8027, Employer’s Annual Information Return of Tip Income and Allocated
Tips, Electronically
(d)Publication 1220,Specifications for Filing Forms 1097, 1098, 1099, 3921, 3922, 5498, 8935, and W-2G, Electronically
(e)Publication 3609,Filing Information Returns Electronically (FIRE)
(f)Form 1042,Annual Withholding Tax Return for U.S. Source Income of Foreign Persons
(g)Publication 4810,Specifications for Filing Form 8955-SSA, Annual Registration Statement of Identifying Separated Partic-
ipants With Deferred Vested Benefits, Electronically
.06IRS does not process Forms W-2. Paper or electronic filing of Forms W-2 must be sent to SSA. IRS does, however, process
Form 8508,Request for Waiver From Filing Information Returns Electronically(Forms W-2, W-2G, 1042-S, 1097-BTC, 1098 Series,
1099 Series, 3921, 3922, 5498 Series, and 8027) and Form 8809,Application for Extension of Time to File Information Returnsfor
Forms W-2 as well as requests for an extension of time to provide the employee copies of Forms W-2.
.07Specifications for filing Forms W-2,Wage and Tax Statements, electronically are available from the Social Security Adminis-
tration (SSA) only. Filers can call 1–800–SSA–6270 to obtain the telephone number of the SSA Employer Service Liaison Officer
for their area.
.08Every withholding agent (defined in Part A, Sec. 13) must file an information return on Form 1042-S to report amounts of
U.S. sourced income that was paid during thepreceding calendar year. See Publication 515,Withholding of Tax on Nonresident Aliens
and Foreign Entities, for additional guidance on what isconsidered U.S. sourced income. Form 1042-S must be filed even if there
was no tax withheld because the income was exempt from tax undera U.S. tax treaty or the Code. This includes the exemption for
income that is effectively connected with the conduct of a trade or business in the United States, or the tax withheld was released to
the recipient. Amounts paid to bona fide residents of U.S. possessions and territories are not subject to reporting on Form 1042-S if
the beneficial owner of the income is a U.S. citizen, national, or resident alien.
Caution:If filing Form 1042-S, Form 1042,Annual With
holding Tax Return for U.S. Source Income of Foreign Persons,mustalso
be filed. See Form 1042 for more information.
Sec. 2. What’s New for Tax Year 2012
.01“Nature of Changes-Current Year” has beenchanged to “What’s New for Tax Year 2012”.
.02The tax year must be updated with the four-digit reporting year (2011 to 2012), unless reporting prior year data.
.03Form 4419,Application for Filing Information Returns Electronically (FIRE), must be submitted at least 45 days before the
due date of the return(s) to allow IRS the minimum amount of time necessary to process and respond to applications.
.04Income code 20 “Earnings as an Artist or Athlete” has been deleted.
.05There are two new income codes. Use income code42for earnings as an artist or athleteif there is no central withholding
agreement. Use income code43for earnings as an artist or athlete if there is a central withholding agreement.
.06Added a Province Code chart in the Recipient “Q” Record, positions 336–337.
Reminders
In this publication, all titles of forms andpublications and pertinent changes for Tax Year2012are emphasized by the use ofitalics.
Portions of text that require special attention are in boldface text.
Filers are encouraged to read the publication in its entirety.
Sec. 3. Where To File and How to Contact the IRS, Information Returns Branch (IRB)
.01All information returns filed through the FIRE system are processed at IRS. General inquiries concerning the electronic filing
of Forms 1042-S may be sent to the following address:
2012–39 I.R.B.376September 24, 2012

Internal Revenue Service
Information Returns Branch
Attn: 1042-S Reporting
230 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
.02All requests for an extension of time to file information returns with IRS filed on Form 8809 or requests for an extension to
provide recipient copies, and requests for undue hardship waivers filed on Form 8508 should be sent to the following address:
Internal Revenue Service
Information Returns Branch
Attn: Extension of Time Coordinator
240 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
.03The telephone numbers and web addresses for questionsabout specifications for electronic submissions are:
Internal Revenue Service
1–866–455–7438
Outside the U.S. 1–304–263–8700
Telecommunication Device for the Deaf (TDD)
1–304–579–4827
Fax
Within the U.S. — 1–877–477–0572
Outside the U.S. — 1–304–579–4105
Electronic Filing – FIRE system
Production URL — h
ttp://fire.irs.gov
Test URL — http://fire.test.irs.gov
To Obtain Forms:
By phone — 1–800–TAX–FORM (1–800–829–3676)
I
RS.gov— Online Ordering for Information Returns and Employer Returns
h
ttp://www.irs.gov/formspubs/page/0,,id=10768,00.html
.04The currentInstructions for Form 1042-Shave been included in Publication 1187 for the convenience of filers. The Form
1042-T is used only to transmit Copy A of paper Forms 1042-S. When filing paper returns, follow the mailing instructions on Form
1042-T and submit the paper returns to:
Internal Revenue Service
Ogden Service Center
P.O. Box 409101
Ogden, UT 84409
.05Form 4419,Application for Filing Information Returns Electronically (FIRE), Form 8809,Application for Extension of Time to
File Information Returns, and Form 8508,Request for Waiver From Filing Information Returns Electronically, may be faxed to IRS
at 1–877–477–0572 or 1–304–579–4105.
.06Electronic Products and Services Support, Information ReturnsBranch (IRB), answers electronic, paper filing, and tax law
questions from the payer community relating to the correct preparation and filing of information returns (Forms 1096, 1097, 1098,
1099, 3921, 3922, 8935, 5498, 8027, and W-2G). IRB also answers questions relating to the electronic filing of Forms 1042-S and
8955-SSA. Call 1–866–455–7438 or 1–304–263–8700 for specific information about electronic filing of Forms 1042-S, 8027, and
8955-SSA. Inquiries pertaining to backup withholding and reasonable cause requirements due to missing and incorrect taxpayer iden-
tificationnumbersarealsoaddressedbyIRB.Assistance is available year-round to payers, transmitters, and employers, Monday
through Friday, 8:30 a.m. to 4:30 p.m. Eastern Time, by calling 1–866–455–7438 or by email at m
ccirp@irs.gov. When sending
emails concerning specificfileinformation,includethecompanynameandtheelectronic filename or Transmitter Control Code.
Please do not submit TINs or attachments,because electronic mail is not secure and the information may be compromised. The
Telecommunications Device for the Deaf (TDD) toll number is 1–304–579–4827. Call as soon as questions arise to avoid the busy
filing seasons at the end of January, February, and March. Recipients ofinformation returns (payees) should continue to contact
1–800–829–1040 with any questions on how to report the information returns data on their tax returns.
September 24, 20123772012–39 I.R.B.

Note:IRB assistors do not answer tax law questions concerning the requirements for withholding of tax on payments of U.S. source
income to foreign persons under Chapter 3 ofthe Internal Revenue Code (IRC). If suchassistance is needed, call 1–267–941–1000
(not a toll-free number) or write to:
Internal Revenue Service
International Accounts
Philadelphia, PA 19255–0725.
.08Filers should not contact IRB if they have received a penalty notice and need additional information or are requesting an abate-
ment of the penalty. A penalty notice contains an IRS representative’s name and/or telephone number for contact purposes; or, the filer
maybeinstructedtorespondinwritingtotheaddress provided. IRB does not issue penalty notices and does not have the authority to
abate penalties. For penalty information, refer to the Penalty section of theInstructions for Form 1042-S.
.09Make requests for paper Forms 1042-S by calling the IRS at1–800–TAX–FORM (1–800–829–3676) or ordering online from
the IRS website atw
ww.IRS.gov/formspubs.
.10Questions pertaining to electronic filing of Forms W-2 must be directed to the Social Security Administration (SSA). Filers
can call 1–800–772–6270 to obtain the telephone number of theSSA Employer Service Liaison Officer for their area.
.11A taxpayer or authorized representative may request a copy of a taxreturn, including Form W-2 filed with a return, by submitting
Form 4506,Request for Copy of Tax Return, to IRS. This form may be obtained by calling 1–800–TAX–FORM (1–800–829–3676).
For any questions regarding this form, call 1–267–941–1000. This is not a toll-free number.
Sec. 4. Filing and Retention Requirements
.01The regulations under section 6011(e)(2)(A) of the Internal Revenue Code provide that any person, including a corporation,
partnership, individual, estate, and trust, who is required to file 250or more information returns must file such returns electronically.
Withholding agents who meet the threshold of 250 or more Forms1042-S are required to submit the information electronically.
Note:Even though filers may submit up to 249 information returns onpaper, IRS encourages filers to transmit those information
returns electronically. Filers are encouraged to file information returnselectronically even if they do not meet the required 250 infor-
mation returns threshold.
.02All filing requirements apply individually to each reporting entity as defined by its separate Taxpayer Identification Number
(TIN), [Social Security Number (SSN), Employer Identification Number (EIN), Individual Taxpayer Identification Number (ITIN), or
Qualified Intermediary Employer Identification Number (QI-EIN), Withholding Foreign Partnership Employer Identification Num-
ber (WP-EIN), Withholding Foreign Trust Employer Identification Number (WT-EIN) ]. For example, if a corporation with several
branches or locations uses the same EIN, the corporation must aggregate the total volume of returns to be filed for that EIN and apply
the filing requirements toeach type of return accordingly.
.03These requirements apply separately to both originals and amended records filed electronically.
.04The requirements do not apply if the filer establishes undue hardship (See Part D, Sec. 5).
.05Current and prior year data must be submitted in separate electronic transmissions. Each tax yearmust be a separate electronic
file.
.06Filers who have prepared their information returns in advance of the due date should submit this information to IRS no earlier
than January 1 of the year the return is due.
.07Do not report duplicate information. If a filer submits returns electronically, identical paper documents must not be filed.
Duplicate filing may result in penalty notices being sent to recipients.
.08Withholding agents should retain a copy of the information returns filed with the IRS or have the ability to reconstruct the data
for at least three years from the due date of the returns.
Sec. 5. Vendor List – Publication 1582
.01IRS maintains a list of vendors who support electronic filing.Publication 1582,Information Returns Vendor List,containsthe
names of service bureaus that will produce or submit files for electronic filing. It also contains the names of vendors who provide
software packages for payers who wish to produce electronic files on their own computersystems. This list is compiled as a courtesy
and in no way implies IRS approval or endorsement.
.02If filers engage a service bureau to prepare files on their behalf, the filers must not also report this data, as it will create a
duplicate filing situation which may cause penalty notices to be generated.
.03Publication 1582 is updated periodically. The mostrecent revision is available on the IRS website at w
ww.IRS.gov.Foran
additional list of software providers, log on to w
ww.IRS.govand type “Business e-file Providers” in the Search box.
2012–39 I.R.B.378September 24, 2012

.04If you are a new vendor and would like to be listed in the online Publication 1582 or if you are listed and the information is
incorrect or incomplete, submit a letter to the following address:
Internal Revenue Service
Information Returns Branch
230 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430–5201
The request should include:
(a) Company name
(b) Address (include city, state, and ZIP code)
(c) Telephone and FAX number (include area code)
(d) Email address
(e) Contact person
(f) Website
(g) Type(s) of service provided (for example, service bureau and/or software)
(h) Method of filing (only electronic filing is acceptable)
(i) Type(s) of return(s)
Sec. 6. Form 4419, Application for Filing Information Returns Electronically (FIRE)
.01Transmitters are required to submit Form 4419,Application for Filing Information Returns Electronically (FIRE),torequest
authorization to file information returns with IRS. A single Form 4419 should be filed. IRS encourages transmitters who file for
multiple withholding agents or qualified intermediaries to submit one application and to use the assigned Transmitter Control Code
(TCC) for all. Form 4419 is subject to review before approval to transmit electronically is granted. IRS may require additional
documentation. If a determination is made concerning the validity of the documents transmitted electronically, IRS has the authority
to revoke the Transmitter Control Code (TCC) and terminate the release of files.
Note:An additional Form 4419 is required for filing Forms 1097, 1098, 1099, 3921, 3922, 5498, 8935, and W-2G. Form 8027,
Employer’s Annual Information Return of Tip Income and Allocated Tips, and Form 8955-SSA,Annual Registration Statement Identi-
fying Separated Participants With Deferred Vested Benefits, also require separate Forms 4419. See the back of Form 4419 for detailed
instructions.
.02Electronically filed returns may not be submitted to IRS until the application has been approved. Please read the instructions
on the back of Form 4419 carefully. Form 4419 is included in Publication 1187 for the filer’s use. This form may be photocopied.
Additional forms may be obtained by calling 1–800–TAX–FORM (1–800–829–3676). The form is also available atw
ww.IRS.gov.
.03Upon approval, a five-character alphanumeric Transmitter Control Code (TCC) beginning with the digits “22” will be assigned
and included in an approval letter. The TCC must be coded in theTransmitter “T” Record. If a transmitter uses more than one TCC
to file, each TCC must be reported on a separate electronic transmission. Please make sure that electronic files are submitted using
the correct TCC.
.04If any of the information (Name, TIN or Address) on Form 4419 changes, please notify IRS in writing by fax or mail so the
IRS database can be updated. The transmittershould include the TCC in all correspondence.
.05Form 4419 may be submitted anytime during the year; however, it must be submitted to IRS at least45 daysbefore the due date
of the return(s) for current year processing. This will allow IRSthe minimum amount of time necessary to process and respond to
applications. Form 4419 may be faxed to IRS at 877–477–0572 or 304–579–4105 (not toll-free). In the event that computer equipment
or software is not compatible with IRS, a waiver maybe requested to file returns on paper documents.
.06IRS encourages a transmitter who files for multiple withholding agents to submit one application and to use the assigned TCC
for all withholding agents.
.07If a withholding agent’s files are prepared by a service bureau, it may not be necessary for the withholding agent to submit
an application to obtain a TCC. Some service bureaus will produce files, code their own TCC on the file, and send it to IRS for
the withholding agent. Other service bureaus will prepare electronic files for the withholding agent to submit directly to IRS. These
service bureaus may require the withholding agent to obtain a TCC to be coded in the Transmitter “T” Record. Withholding agents
should contact their service bureaus for further information.
.08Once a transmitter is approved to file electronically, it is not necessary to reapply each year unless:
(a)The withholding agent has discontinued filing electronicallyfor two consecutive years; the withholding agent’s TCC may
have been reassigned by IRS. Withholding agents who are aware that the TCC assigned will no longer be used are requested
to notify IRS so these numbers may be reassigned;
September 24, 20123792012–39 I.R.B.

(b)The withholding agent’s electronic files were transmitted inthe past by a service bureau using the service bureau’s TCC,
but now the withholding agent has computer equipment compatible with that of IRS and wishes to prepare his or her own
files. The withholding agent must request a TCC by filing Form 4419.
.09One Form 4419 may be submitted per TIN. Multiple TCCs will only be issued to withholding agents with multiple TINs. Only
one TCC will be issued per TIN unless the filer has checked the application for the following forms in addition to the Form 1042-S:
Forms 1097, 1098, 1099, 3921, 3922, 5498, W-2G, 8935, 8955-SSA and/or 8027. A separate TCC will be assigned for these forms.
.10Approval to file does not imply endorsement by IRS of any computer software or of the quality of tax preparation services
provided by a service bureau or software vendor.
Sec. 7. Due Dates
.01The due dates for filing paper returns with IRS also applies toelectronic filing of Form 1042-S. Filing of these returns is on a
calendar year basis.
.02Form 1042-S filed electronically must besubmitted to IRS on or before March 15.
.03If any due date falls on a Saturday, Sunday, or legal holiday, the return or statement is considered timely if filed or furnished
on the next day that is not a Saturday, Sunday, or legal holiday.
.04Statements to recipients must be postmarked on or before March 15.
Sec. 8. Validation of Information Returns at IRS Service Center
.01The accuracy of data reported onForm 1042-S is reviewed and validated at the IRS Service Center. All fields indicated as
“Required” in the record layouts in Part C must contain valid information. If the Service identifies an error, filers will be notified and
required to provide correct information.
.02Be sure to review Notice 2006–35, 2006–14 I.R.B. 708 for know-your-customer rules.
.03The tax rate entered must be a valid tax rate based on the Internal Revenue Code or on a valid treaty article. The valid treaty
rate is based on the recipient’s country of residence for tax purposes. The rate selected must be justified by the appropriate treaty. A
valid Tax Rate Table is located in theInstructions for Form 1042-S.
.04The Gross Income amount field must reflect pretax income. The Gross Income amount is the total income paid before any
deduction of tax at source. This amount field must be reported in whole dollars only, rounding to the nearest dollar amount.
.05If a qualified intermediary, withholding foreign partnership, or withholding foreign trust is acting as such, either as a withhold-
ing agent or as a recipient, the TIN reported must be a QI-EIN, WP-EIN, or WT-EIN and must begin with “98.” See the definition of
a QI in Part A, Sec 13 or in theInstructions for Form 1042-S.
.06Country Codes used must be valid codes taken from the Country Code Table. Generally, the use of “OC” or “UC” will generate
an error condition. If a recipient is claiming treaty benefits, the Country Code can never be “OC” or “UC”.
.07If a recipient is an “UNKNOWN RECIPIENT” or “WITHHOLDINGRATE POOL,” no address should be present. These are
the only two situations where a street address is not required.
.08A U.S. TIN for a recipient is now generally required, particularly for most treaty benefits. The exceptions are very limited and
are listed in Publication 515 and the currentInstructions for Form 1042-S. Use recipient U.S. TIN type indicator 4 when a U.S. TIN
is required but was not provided. Reduced tax rates are not applicable when using the TIN type 4 indicator.
.09Apply the following formulas to determine U.S. Federal Tax Withheld (field positions 359–370 of the Recipient “Q” Record).
Applying the formulas will determine what the correct amount ofwithholding should be. If a different amount was withheld, enter
the amount that was actually withheld. The U.S. Federal Tax Withheld amount must be added to Withholding by Other Agents (field
positions 371–382) and the total of the two fields will be reflectedin the Total Withholding Credit (field positions 383–394). Also,
ensure the appropriate indicator is used in position 761 (U.S. Federal Tax Withheld Indicator). All field positions described below are
in the Recipient “Q” Record.
I
ncomeCodes(15,16,17,18,19and42)
AllOtherIncomeCodes
Gross Income (positions 6–17)Gross Income (positions 6–17)
−Withholding Allowance (positions 18–29)
ΧTax Rate (positions 42–45)
= Net Income (positions 30–41)
= U.S. Federal Tax Withheld (positions 359–370)
ΧTax Rate (positions 42–45)
= U.S. Federal Tax Withheld (positions 359–370)
.10The following is how to correctly report an Unknown Recipient. All entries are in the Recipient “Q” Record.
(a)Tax Rate (positions 42–45) must be 3000.
2012–39 I.R.B.380September 24, 2012

(b)Exemption Code (positions 46–47) is 00.
(c)Recipient Code (positions 92–93) is 20.
(d)Recipient’s Name Line-1 (positions 94–133) must have “UNKNOWN” or “UNKNOWN RECIPIENT.”
(e)Recipient’s Name Line-2 (positions 134–173) must be blank.
(f)Recipient’s address (positions 214–337) must be blank.
(g)Recipient’s Country Code (positions 338–339) is UC.
.11When making a payment to an international organization (such as, United Nations) or a tax-exempt organization under IRC
501(a), use Country Code “OC.” Use “UC” only when there is an “UNKNOWN RECIPIENT.”
.12When using Exemption Code 4, the Recipient Country of Residence Code for Tax Purposes MUST be a VALID treaty country
(for example, if the recipient is a tax resident of Northern Ireland use United Kingdom). Do not use Exemption Code 4 unless the
exemption of tax is based on a treaty claim. If the tax treaty reduces the tax rate but does not exempt the payment, enter 00 or blanks
for the exemption code as indicated in the “Q” Record instructions for positions 46–47.
.13Generally, payments under Income Codes 06 and 08 are not exempt from withholding, however, certain exceptions apply. See
theInstructions for Form 1042-S.
.14If income is from gambling winnings (Income Code 28) or is notspecified (Income Code 50), the tax rate must generally be
30%. This type of income is only exempt from withholding at source ifthe exemption is based on a tax treaty. These treaties are listed
in Publication 515,Withholding of Tax on Nonresident Aliens and Foreign Entities.
.15If Income Code42or43(Earnings as an Artist or Athlete) is used, the Recipient Code must be 09. Do not use Recipient
Code 01 (Individual), 02 (Corporation), or 03 (Partnership). Generally, the tax rate cannot be reduced even if a treaty may apply.If
compensation that otherwise would be covered under Income Codes 16through 19 is directly attributable to the recipient’s occupation
as an artist or athlete, use Income Code 42 or 43 instead.
.16When paying scholarship and fellowship grants (Income Code 15), the Recipient’s Country of Residence for Tax Purposes must
be identified and cannot be “OC” or “UC.” Grants that are exempt under Code Section 117 are not required to be reported on Form
1042-S.
Note:Grants that are exempt under IR Code 117 include only the amounts provided for tuition, fees, books, and supplies to a qualified
student. Amounts provided for room and board can only be exempted under a tax treaty and must be reported on Form 1042-S whether
exempt from tax or not.
.17If a student is receiving compensation (Income Code 19), or a teacher, or a researcher is receiving compensation (Income Code
18), all or part of which is exempted from tax under a tax treaty, the Country of Residence for Tax Purposes must be identified and
cannot be “OC” or “UC.”
Sec. 9. Amended Returns
.01If a Form 1042-S was filed with the IRS and the filer later discovered an error in the filing, an amended Form 1042-S must be
filedassoonaspossible.
Note:If any information amended on Form(s) 1042-S changes the information previously reported on Form 1042, the filer must also
correcttheForm1042byfilinganamendedreturn.
.02The electronic filing requirement for information returns of 250or more applies separately to both original and amended returns.
E
X
A
M
P
L
E
If a withholding agent has 100 Forms 1042-S to be amended, they can be filed on paper because they fall
under the 250 threshold. However, if the withholding agent has 300 Forms 1042-S to be amended, they
must be filed electronically because they exceed the 250 threshold. If for some reason a withholding
agent cannot file the 300 amended returns electronically, to avoid penalties, a request for a waiver must
be submitted before filing on paper. If a waiver is approved for original documents, any amended returns
for the same type of return will be covered under that waiver.
.03Amended returns should be filed as soon as possible. Amended returns filed after August 1 may be subject to the maximum
penalty of $100 per return. Amended returns filed by August 1 may be subject to a lesser penalty. For information on penalties,
refer to the Penalty section of the current paper Instructions for Form 1042-S. However, if a withholding agent discovers errors after
August 1, the withholding agent is still required to file amended returns or be subject to a penalty for intentional disregard of the
filing requirements. If a record is incorrect, all fields on that record must be completed with the correct information. Submit amended
returns only for the returns filed in error. Donot submit the entire file. Furnish amended statements to recipients as soon as possible.
Note:Do not include original returns and amended returns in the same electronic file.
September 24, 20123812012–39 I.R.B.

.04If filers discover that certain information returns were omitted on their original file, they must not code these documents as
amended returns. The file must be coded and submitted as an original file.
.05Prior year data, original and amended, must be filed according to the requirements of this Revenue Procedure. If submitting
prior year amended returns, use the record format for the current year and submit in a separate transmission. Use the actual year
designation of the amended return in Field Positions 2–5 of the Transmitter “T” Record. A separate electronic transmission must be
made for each tax year.
.06In general, filers should submit amended returns for returns filed within the last 3 calendar years.
.07All paper returns, whether original or amended, must be filed with:
Internal Revenue Service
Ogden Service Center
P.O. Box 409101
Ogden, UT 84409
.08The Recipient “Q” Record provides a 20-position field (positions 72–91) for the recipient’s account number assigned by the
withholding agent. This number should be included on the initial return and on the amended return. This is especially important when
more than one information return of the same type is reported for arecipient. The account number is used by IRS to determine which
information return is being amended. It is vital that each information return reported for a recipient have a unique account number.
Do not enter a TIN in this field.
.09The record sequence for filing amended returns is the same as for original returns.
.10FollowingisachartshowingthestepstotakewhenamendingForm1042-S:
Guidelines for Filing Amended Returns Electronically
One transaction is required to makethe following corrections properly.
Error Made on the Original ReturnHow To File the Amended Return
ERRORTYPE1CORRECTION
1.
Original return was filed with one or more of the
following errors:
A.
Prepare a new file. The first record on the file will be
the Transmitter “T” Record.
B.Make a separate “W” Record for each withholding
agent being reported with a Return Type Indicator of
“1” (1 = Amended) in field position 2. Enter a “G”
(Amended Return Indicator) in position 810.
C.
The Recipient “Q” Records must show the correct
record information with a Return Type Indicator of “1”
for amended in field position 2. (SeeNote 1.) Enter a
“G” (Amended Return Indicator) in position 810.
D.Prepare a separate Reconciliation “C” Record for
each withholding agent (“W” Record) being reported
summarizing the preceding amended “Q” Records.
(a)Incorrect money amount
(b)Incorrect codes and/or check boxes
(c)Incorrect address
(d)Form 1042-S submitted in error – should not have
been submitted
Note 1:If a Form 1042-S was submitted in error, all
fields must be exactly the same as the original record
except all money amounts must be zeros.
E.The last record on the file will be the End of
Transmission “F” Record.
File layout one step corrections
Transmitter
“T”
Record
Amended coded
Withholding Agent
“W” Record
Amended coded
Recipient “Q”
Record
Amended coded
Recipient “Q”
Record
Reconciliation “C”
Record
End of
Transmission “F”
Record
2012–39 I.R.B.382September 24, 2012

Guidelines for Filing Amended Returns Electronically
Two (2) separate transactions (files) are required to make the following corrections properly. Follow the guidelines for
both Transactions 1 and 2. Do not use the two stepcorrection process to correct money amounts.
Error Made on the Original ReturnHow To File the Amended Return
ERRORTYPE2CORRECTION
1.
Original ”Q” Records were filed with one or more of
the following errors:
Transaction 1:Identify incorrect returns.
A.
Prepare a new file. The first record on the file will be
the Transmitter “T” Record.
(a)No Recipient TIN (SSN, EIN, ITIN, QI-EIN)
(b)Incorrect Recipient TIN
(c)Incorrect Recipient name
(d)Incorrect Recipient name and address
Note 2:The Record Sequence Number will be
different since this is a counter number and is unique
to each file.
B.Make a separate “W” Record for each withholding
agent being reported. The information in the “W”
Record will be exactly the same as it was in the
original submission except for the Return Type
Indicator of “1” (1 = Amended) in field position 2 and
the Amended Return Indicator in position 810 must
bea“G”.(SeeNote 2.)
C.
The Recipient “Q” Records must contain exactly the
same information as submitted previously, except,
insert the Amended Return Indicator Code of “1” in
Field Position 2 of the “Q” Records, and enter “0”
(zeros) in all payment amounts. Enter the Return Type
Indicator of “1” in position 2 and the Amended Return
Indicator of “G” in position 810 of all “Q” Records.
(SeeNote 2.)
D.Prepare a separate Reconciliation “C” Record for each
withholding agent being reported summarizing the
preceding “Q” Records.
E.Continue with Transaction 2 to complete the
correction. (SeeNote 3.)
Transaction 2:Report the correct information.
A.
Make a separate “W” Record for each withholding
agent being reported. The Return Type Indicator must
be “1” in position 2. The Amended Indicator of “C”
must be entered in position 810.
B.The Recipient “Q” Records must show the correct
information. The Return Type Indicator in position 2
must be “1” and the Amended Return Indicator must
be “C”.
C.
Prepare a separate Reconciliation “C” Record for each
withholding agent being reported summarizing the
preceding “Q” Records.
Note 3:Step 1 and Step 2 can be included in the
same electronic file. If separate files for Step 1
and Step 2 are submitted, each file must have a
complete set of “T, W, Q, C and F” records.
D.The last record on the file will be the End of
Transmission “F” Record.
September 24, 20123832012–39 I.R.B.

File layoutstwostep corrections
STEP 1 FILE
Transmitter
“T”
Record
Amended
coded
Withholding
Agent “W”
Record
Amended
coded
Recipient
“Q”
Record
Amended
coded
Recipient
“Q”
Record
Amended
coded
Recipient
“Q”
Record
Reconciliation
“C”
Record
STEP 2 FILE
Amended
coded
Withholding
Agent “W”
Record
Amended
coded
Recipient
“Q”
Record
Amended
coded
Recipient
“Q”
Record
Amended
coded
Recipient
“Q”
Record
Reconciliation
“C”
Record
End of
Transmission
“F”
Record
.11When correcting the Withholding Agent “W”Record, follow the two step correction process. When the “W” Record is being
corrected, every Recipient “Q” Record reported under that incorrect “W” Record must be amended by zero filling all of the amount
fields as described in Error Type 2, Transaction 1.
.12For information on when an amended Form 1042 is required, refer to theInstructions for Form 1042.
Sec. 10. Taxpayer Identification Number (TIN)
.01Section 6109 of the Internal Revenue Code establishes the general requirements under which a person is required to furnish a
U.S.TIN to the person obligated to file the information return.
.02The Withholding Agent must provide its EIN, QI-EIN, WP-EIN orWT-EIN as appropriate, in the “W” Record and “T” Record,
if the Withholding Agent is also the transmitter.
.03A recipient U.S.TIN (SSN, ITIN, EIN, QI-EIN, WP-EIN,WT-EIN) must be provided on every “Q” Record when:
(a)The tax rate is less than 30% (See theInstructions for Form 1042-Sfor exceptions.)
(b)The income is effectively connected with the conduct of a trade or business in the United States
(c)A recipient claims tax treaty benefits (generally)
(d)The recipient is a Qualified Intermediary
(e)An NRA individual is claiming exemption from withholding on independent personal services
(f)Other situations may apply, see Publication 515,Withholding of Tax on Nonresident Aliens and Foreign Entities
.04In the event the recipient does not have a U.S.TIN, the withholding agent should advise the recipient to take the necessary steps
to apply for one.
.05The recipient’s U.S.TIN and name combination are used to associate information returns reported to IRS with corresponding
information on the recipient’s tax return. It is imperative that correct U.S.Taxpayer Identification Numbers (TINs) for recipients be
provided to IRS. Do not enter hyphens or alpha characters. Enteringall zeros, ones, twos, etc., will have the effect of an incorrect TIN.
.06The withholding agent and recipient names with associated TINs should be consistent with the names and TINs used on other
tax returns.
Note:A withholding agent must have a valid EIN, QI-EIN, WP-EIN, and/or WT-EIN. It is no longer valid for a withholding agent to
use SSNs and ITINs.
Sec. 11. Ef
fect on Paper Returns and Statements to Recipients
.01Electronic reporting of Form 1042-S eliminates the need to submit paper documents to the IRS.
CAUTION:Do not send Copy A of the paper forms to the IRS for any formsfiled electronically. This may result in duplicate filing.
.02Withholding agents are responsible for providing statements to the recipients as outlined in the currentInstructions for Form
1042-S. Refer to theInstructions for Form 1042-S,Foreign Person’s U.S. Source Income Subject to Withholdingfor guidance on
furnishing statements to recipients.
2012–39 I.R.B.384September 24, 2012

.03Statements to recipients should be clear and legible. If the official IRS form is not used, the filer must adhere to the specifications
and guidelines in Publication 1179,General Rules and Specifications for Substitute Forms 1096, 1098, 1099, 5498, and Certain Other
Information Returns.
.04The address for filing paper Forms 1042-S and Form 1042 is:
Internal Revenue Service
Ogden Service Center
P.O. Box 409101
Ogden, UT 84409
Do not send paper Forms 1042-S or 1042 to IRB.
Sec. 12. Penalties Associated With Information Returns
.01The following penalties generally apply to the person requiredto file information returns. The penalties apply to electronic
filers as well as to paper filers.
.02F
ailureToFileCorrectInformationReturnsbytheDueDate(Section6721). If you fail to file a correct information return by
the due date and you cannot show reasonable cause, you may be subject to a penalty. The penalty applies if, you fail to file timely, if
you fail to include all information required to be shown on a return, or if you include incorrect information on a return. The penalty
also applies if you file on paper when you were required to file electronically, you report an incorrect TIN or fail to report a TIN, or
you fail to file paper forms that are machine readable.
The amount of the penalty is based on when you file the correct information return. The penalty is:
•$30per information return if you correctly file within 30 daysof the due date of the return (See Part A, Sec. 7.02); maximum
penalty $250,000 per year ($75,000 for small businesses).
•$60per information return if you correctly file more than 30 daysafter the due date but by August 1; maximum penalty $500,000
per year ($200,000 for small businesses).
•$100per information return if you correctly file after August 1 or you do not file required information returns; maximum penalty
$1.5 million per year ($500,000 for small businesses).
.03A late filing penalty may be assessed for areplacement file which is not transmitted by the required date. See Part B, Sec. 4.05,
for more information on replacement files.
.04I
ntentionaldisregardoffilingrequirements. If failure to file a correct information return is due to intentional disregard of the
filing or correct information requirements, the penalty is at least $250 perinformationreturnwithnomaximumpenalty.
.05F
ailureToFurnishCorrectPayeeStatements(Section6722). Refer to Instruction for Form 1042-S for information regarding
penalties which may apply for a failure to furnish correct payee statements.
Sec. 13. Definition of Terms
ElementDescription
Amended ReturnAn amended return is an information return submitted by the transmitter to
amend an information return that was previously submitted to and processed
by IRS, but contained erroneous information.
Beneficial OwnerThe beneficial owner of income is, generally, the person who is required
under U.S. tax principles to include the income in gross income on a tax
return. For additional information and special conditions see Definitions
in theInstructions for Form 1042-S.
Employer Identification Number (EIN)A nine-digit number assigned by IRS for federal tax reporting purposes.
Electronic FilingSubmission of information returns electronically by the Internet. See Part B
of this publication for specific information on electronic filing.
September 24, 20123852012–39 I.R.B.

ElementDescription
FileFor purposes of this Revenue Procedure, a file consists of one Transmitter
“T” Record at the beginning of the file, a Withholding Agent “W” Record,
followed by the Recipient “Q” Record(s), a Reconciliation “C” Record
summarizing the number of preceding “Q” Records and total of preceding
money fields. Follow with any additional “W”, “Q”, and “C” Record
sequences as needed. The last recordon the file is the End of Transmission
“F” Record. Nothing should be reported after the End of Transmission “F”
Record.
FilerPerson (may be withholding agent and/or transmitter) submitting information
returns to IRS.
Filing YearThe calendar year in which the information returns are being submitted to
IRS.
Flow–Through EntityA flow-through entity is a foreign partnership (other than a withholding
foreign partnership) or a foreign simple or grantor trust (other than a
withholding foreign trust). For any payments for which a reduced rate
withholding under an income tax treaty is claimed, any entity is considered
to be a flow-through entity if it is considered to be fiscally transparent
under IRC Section 894 with respect to the payment by an interest holder’s
jurisdiction.
Foreign PersonA foreign person includes anonresident alien individual, a foreign
corporation, a foreign partnership, a foreign trust, a foreign estate, and any
other person who is not a U.S. person.The term also includes a foreign
branch or office of a U.S. financial institution or U.S. clearing organization,
if the foreign branch is a Qualified Intermediary. Generally, a payment to a
U.S. branch of a foreign institution is a payment to a foreign person.
Gross IncomeGross income includes income from all sources, except certain items
expressly excluded by statute. Gross income is the starting point for
computing adjusted gross income and taxable income.
Individual Taxpayer Identification Number (ITIN) A nine-digit number issued by IRS to individuals who are required to have
a U.S. taxpayer identification number for tax purposes but are not eligible
to obtain a Social Security Number (SSN). An ITIN may be used for tax
purposes only.
Information ReturnThe vehicle for withholding agents to submit required tax information about
a recipient to IRS. For this Revenue Procedure, it is information about
a foreign person’s U.S. source income subject to withholding, and the
information return is Form 1042-S.
IntermediaryAn intermediary is a person who acts as a custodian, broker, nominee, or
otherwise as an agent for another person, regardless of whether that other
person is the beneficial owner of the amount paid, a flow-through entity, or
another intermediary.
Nonqualified Intermediary (NQI)A Nonqualified Intermediary is a foreign intermediary who is not a U.S.
person and is not a Qualified Intermediary.
PayerA payer is the person for whom the withholding agent acts as a paying agent
pursuant to an agreement whereby the withholding agent agrees to withhold
and report a payment.
Presumption RulesThe presumption rules arethose rules prescribed under Chapter 3 and
Chapter 61 of the Internal Revenue Code that a withholding agent must
follow to determine the status of a beneficial owner as a U.S. or foreign
person when it cannot reliably associate a payment with valid documentation.
2012–39 I.R.B.386September 24, 2012

ElementDescription
Pro-Rata Basis ReportingIf the withholding agent has agreed that an NQI may provide information
allocating a payment to its accountholders under the provisions of
Regulations section 1.1441–1(e) (3) (iv) (D), and the NQI fails to allocate
payment in a withholding rate pool to the specific recipients in the pool, the
withholding agent must file a Form 1042-S for each recipient on a pro-rata
basis.
Qualified Intermediary (QI)A Qualified Intermediary is a foreign intermediary who is a party to a
withholding agreement with the IRS, in which it agrees to comply with the
relevant terms of Chapters 3 and 61 of the Internal Revenue Code and is in a
country with approved know your- customer rules. See Notice 2006–35.
Qualified Intermediary Employer IdentificationA nine-digit number assigned by IRS to a QI for Federal tax reporting
purposes. A QI-EIN is only to be usedwhen a QI is acting as a qualified
intermediary.
RecipientPerson (nonresident alien individual, fiduciary,foreign partnership, foreign
corporation, Qualified Intermediary,Withholding Rate Pool, or other foreign
entity) who receives payments from awithholding agent as a beneficial
owner or as a qualified intermediaryacting on behalf of a beneficial owner.
A non-qualified intermediary cannot be a recipient.
Replacement FileA replacement file is an information return file sent by the filer at the request
of IRS because of certain errors encountered while processing the filer’s
original submission.
Service BureauPerson or organization with whom the withholding agent has a contract to
prepare and/or submit information return files to IRS. A parent company
submitting data for a subsidiary isnot considered a service bureau.
Social Security Number (SSN)A nine-digit number assigned by the Social Security Administration to an
individual for wage and tax reporting purposes.
Special CharacterAny characterthat is not a numeric, an alpha, or a blank. The only special
characters that are acceptable within anelectronic file are ampersand (&),
hyphen (-), comma (,), apostrophe (’), forward slash (/), pound sign (#),
period (.), and the percent (%).
Taxpayer Identification Number (TIN)Refers to either an Employer Identification Number (EIN), Social Security
Number (SSN), Individual TaxpayerIdentification Number (ITIN), or a
Qualified Intermediary Employer Identification Number (QI-EIN).
Tax YearThe year in which payments were made by a withholding agent to a recipient.
TransmitterRefers to the person or organization submitting file(s) electronically. The
transmitter may be the payer, agent of the payer, or withholding agent.
Transmitter Control Code (TCC)A five-character alphanumeric number assigned by IRS to the transmitter
prior to filing electronically. An application Form 4419 must be filed with
IRS to receive this number. This numberis inserted in the Transmitter “T”
Record (field positions 190–194) of the file and must be present before the
file can be processed. Transmitter Control Codes assigned to 1042-S filers
will always begin with “22”.
Unknown RecipientFor this Revenue Procedure, an unknown recipient is a recipient for whom
no documentation has been received by awithholding agent or intermediary
or for which documentation receivedcannot be reliably associated. This
includes incomplete documentation. An unknown recipient is always
subject to withholding at the maximum applicable rate. No reduction of or
exemption from tax may be applied under any circumstances.
September 24, 20123872012–39 I.R.B.

ElementDescription
VendorVendors include service bureaus that produce information return files for
withholding agents. Vendors also include companies that provide software
for those who wish to produce their own electronic files.
Withholding AgentAny person, U.S. or foreign, who has control, receipt, or custody of an
amount subject to withholding or who can disburse or make payments
of an amount subject to withholding. The withholding agent may be an
individual, corporation, partnership, trust, association, or any other entity.
The term withholding agent also includes, but is not limited to, a qualified
intermediary, a nonqualified intermediary, a withholding foreign partnership,
a withholding foreign trust, a flow-through entity, a U.S. branch of a foreign
insurance company or foreign bank that is treated as a U.S. person, and an
authorized foreign agent. A person may be a withholding agent under U.S.
law even if there is no requirement to withhold from a payment or even if
another person has already withheld the required amount from a payment.
Withholding Foreign Partnership (WP) or
Withholding Foreign Trust (WT)
A foreign partnership or trust that has entered into a withholding or
Withholding Foreign Trust agreement with the IRS in which it agrees to
assume primary withholding responsibility for all payments that are made to
it for its partners, beneficiaries, or owners.
Sec. 14. State Abbreviations
.01The following state and U.S. territory abbreviations must be used when developing the state code portion of address fields.
This table provides state and territory abbreviations.
Table 4: State & U.S. Territory Abbreviations
StateCodeStateCodeStateCode
AlabamaALKentuckyKYOhioOH
AlaskaAKLouisianaLAOklahomaOK
American SamoaASMaineMEOregonOR
ArizonaAZMarylandMDPennsylvaniaPA
ArkansasARMassachusettsMAPuerto RicoPR
Californi
a
CAMichiganMIRhode Isla
nd
RI
ColoradoCOMinnesotaMNSouth CarolinaSC
ConnecticutCTMississippiMSSouth DakotaSD
DelawareDEMissouriMOTennesseeTN
District of ColumbiaDCMontanaMTTexasTX
FloridaFLNebraskaNEUtahUT
GeorgiaGANevadaNVVermon
t
VT
GuamGUNew HampshireNHVirginiaVA
HawaiiHINew JerseyNJ(U.S.) Virgin IslandsVI
IdahoIDNew MexicoNMWashingtonWA
IllinoisILNew YorkNYWest VirginiaWV
IndianaINNorth CarolinaNCWisconsinWI
IowaIANorth
Dakota
NDWyomi
ng
WY
KansasKSNo. Mariana IslandsMP
2012–39 I.R.B.388September 24, 2012

.02When reporting APO/FPO addresses, use the following format:
EXAMPLE:
Recipient Name:PVT Willard J. Doe
Mailing Address:Company F, PSC Box 100
167 Infantry REGT
Recipient City:APO (or FPO)
Recipient State:AE, AA, or AP*
Recipient ZIP Code:098010100
*AE is the designation for ZIP codes beginning with 090–098, AA for ZIP code 340, and AP for ZIP
codes 962–966.
Part B. Electronic Filing Specifications
Note 1:The Filing Information Returns Electronically (FIRE)system does not provide fill-in forms, except for Form 8809,Appli-
cation for Extension of Time to File Information Returns. Filers must program files according to the Record Layout Specifications
contained in this publication. For a list of software providers, log on to w
ww.IRS.govand type“Business e-file Providers” in the
search box.(See Part A, Sec. 5.)
Note 2:The FIRE system has scheduled downtime every Wednesday from 2:00 a.m. to 5:00 a.m. (ET) for programming updates and
for two weeks at the end of December for yearly updates. The FIRE system will not be available for submissions during these times.
Sec. 1. General
.01Electronic filing of Form 1042-S (originals, amended and replacement files) is a reporting method for filers submitting 250 or
more Forms 1042-S. Payers who are under the filing threshold requirement are encouraged to file electronically.
.02All electronic filing of information returns are received at IRSthrough the Filing Information Returns Electronically (FIRE)
system. To connect to the FIRE system, point the browser to h
ttp://fire.irs.gov. The system is designed to support the electronic filing
of information returns only.
.03For files submitted through the FIRE system, it is the responsibility of the filer to check the status of the file within five business
days to verify the results of the transmission. Information aboutthe errors including the number of errors, a description, and the
first occurrence will be provided on the FIRE system. If additional information is neededto understand the errors, the filer can call
1–866–455–7438 or outside the U.S. at 1–304–263–8700.
.04The electronic filing of information returns is not affiliated with any other IRS electronic filing programs. Filers must obtain
separate approval to participate in each program. Only inquiries concerning electronic filing of information returns should be directed
to IRB.
.05Files submitted to IRS electronically must be in standard ASCII code. See Part C, Record Format Specifications and Record
Layouts, for the proper record format. Do not send paper forms withthe same information as electronically submitted files. This may
create duplicate reporting resulting in penalty notices.
.06Form 8809,Application for Extension of Time to File Information Returns, is available as a fill-in form on the FIRE system.
Filers that do not already have a User ID and password should refer to Part B, Sec. 7. At the Main Menu, click “Extension of Time
Request” and then click “Fill-in Extension Form.” This option is only used to request an automatic 30-day extension and must be
completed by the due date of the return for each withholding agent requesting an extension. Print theapproval page for your records.
Refer to Part D for additional details.
Sec. 2. Electronic Filing Approval Procedure
.01Filers must obtain a Transmitter Control Code (TCC) prior to submitting files electronically. Refer to Part A, Sec. 6, for
information on how to obtain a TCC.
.02Once a TCC is obtained, electronic filers must create their own user ID, password, and Personal Identification Number (PIN).
See Part B, Sec. 5, for more information on the PIN requirements.
.03If a filer is submitting files for more than one TCC, it is notnecessary to create a separate User ID and password for each TCC.
.04All passwords must remain confidential. It is the user’s responsibility to remember the password and not allow the password
to be compromised. Passwords are created by the user during the first logon and must be eight alphanumeric characters containing at
least one uppercase, one lowercase, and one numeric. The FIRE system requires users to change passwords every 90 days or at the first
logon attempt after that time period. Users can change passwords at any time from the Main Menu. The previous 24 passwords cannot
be used. Filers who forget the password or PIN may call 1–866–455–7438 or outside the U.S. at 1–304–263–8700 for assistance.
September 24, 20123892012–39 I.R.B.

Sec. 3. Test Files
.01Filers are not required to submit a test file; however, the submission of a test file is encouraged for all new electronic filers to
test hardware and software. If filers wish to submit an electronic test file for Tax Year2012(returns to be filed in 2013), it must be
submitted to IRS no earlier thanNovember 1, 2012, and no later thanFebruary 15, 2013.
.02IRS encourages all electronic filers to submit a test. To connect to the FIRE test system, point the browser to
h
ttp://fire.test.irs.gov.
.03The test file must consist of a sample of each type of record:
(a)(a) Transmitter “T” Record
(b)(b) Withholding Agent “W” Record
(c)(c) Multiple Recipient “Q” Records (at least 11 recommended)
(d)(d) Reconciliation “C” Record
(e)(e) End of Transmission “F” Record
.04Use the Test Indicator “TEST” (upper case) in Field Positions 195–198 of the “T” Record to show this is a test file.
.05IRS will check the file to ensure it meets the specifications of thisRevenue Procedure. For current filers, sending a test file will
provide the opportunity to ensure the software reflects all required programming changes. Filers are reminded that not all validity,
consistency, or math error tests will be conducted.
.06Filers who encounter problems while transmitting the electronic test file can contact IRS at 1–866–455–7438 or outside the
U.S. at 1–304–263–8700 for assistance.
.07Within five days after a file has been submitted, filers will benotified by email as to the acceptability of the file if a valid
email address was provided on the “Verify Your Filing Information” screen. If using email filtering software, configure the software
to accept email from f
ire@irs.govand irs.e-helpmail@irs.gov. If the file is bad or an email has not been received within five days,
the filer must return to h
ttp://fire.test.irs.govto determine what errors are in the file by clicking on CHECK FILE STATUS.
Sec. 4. Electronic Submissions
.01Electronically filed information may be submitted to IRS 24 hours a day, seven days a week. Technical assistance is available
Monday through Friday between 8:30 a.m. and 4:30 p.m. (ET) by calling 1–866–455–7438 or outside the U.S. at 1–304–263–8700.
.02The FIRE system has scheduled downtime fromDecember 14, 2012 through January 2, 2013. This allows IRS to make yearly
updates to reflect current year changes. Inaddition, the FIRE system may be down every Wednesday from 2:00 a.m. to 5:00 a.m.
(ET) for programming updates. The FIRE system will not be available for submissions during these times.
.03A file may not exceed 899,999 records. When sending files larger than 10,000 records electronically, data compression is
encouraged. WinZip and PKZip are the only acceptable compression packages. IRS cannot accept self-extracting zip files or com-
pressed files containing multiple files. The time required to transmit information returns electronically will vary depending on the
type of connection to the internet and if data compression is used. The time required to transmit a file can be reduced by as much
as 95 percent by using compression. Transmitters that experience problems transmitting files with a scripting process should contact
IRS at 1–866–455–7438 or 1–304–263–8700 for assistance.
.04Transmitters may create files using self assigned filename(s). Files submitted electronicallywill be assigned a new unique
filename by the FIRE system. The filename assigned by the FIRE system will consist of submission type (TEST, ORIG [original],
AMEN [amended return], and REPL [replacement]), the filer’s TCC, and a four-digit sequence number. The sequence number will
be incremental for every file sent. For example, if this is the first original file for the calendar year and the TCC is 22000, the IRS
assigned filename would be ORIG.22000.0001. Record the filename. This information will be needed by IRS to identify the file if
assistance is required.
.05If a file is submitted timely, but is “bad,” the filer will have up to 60 days from the day the file was transmitted to transmit an
acceptable replacement file. If an acceptable replacement file is not received within 60 days, the payer could be subject to late filing
penalties. This only applies to files originally submitted electronically.
.06The following definitions have been provided to help distinguish between an amended return and a replacement:
•Anamended returnis an information return submitted by the transmitterto correct an information return that was previously
submitted to and processed by IRS, butcontained erroneous information.
Note:Amended returns should only be submitted for records that have been submitted incorrectly, not the entire file.
•Areplacementis an information return file sent by the filer because the CHECK FILE STATUS option on the FIRE system
indicated the original/amended file was bad. After the necessary changes have been made, the file must be transmitted through
the FIRE system.
Note:Filers should never transmit anything to IRS as a “Replacement” file unless the CHECK FILE STATUS option on the FIRE
system indicates the file is bad.
2012–39 I.R.B.390September 24, 2012

.07The TCC in the Transmitter “T” Record must be the TCC used to transmit the file; otherwise, the file will be considered an
error.
Sec. 5. PIN Requirements
.01The user will be prompted to create a PIN consisting of ten (10)numeric characters when establishing an initial User ID name
and password.
.02The PIN is required each time an ORIGINAL, AMENDED, or REPLACEMENT file is sent electronically and is permission
to release the file. It is not needed for a TEST file. An authorized agent/transmitter may enter their PIN; however, the withholding
agent is responsible for the accuracy of the returns. The withholding agent will be liable for penalties for failure to comply with
filing requirements. If there is a problem with a PIN, filers should call 1–866–455–7438 or outside the U.S. at 1–304–263–8700 for
assistance.
.03If the file is “good”, it is released for mainline processing after ten (10) calendar days from receipt. Contact IRS within this
ten-day period if there is a reason the file should not be released for further processing.
.04If the file is bad, follow normal replacement procedures.
Sec. 6. Electronic Filing Specifications
.01The FIRE system is designed exclusively for the filing of Forms 1042-S, 1097, 1098, 1099, 3921, 3922, 5498, 8027, 8955-SSA
and W-2G.
.02A transmitter must have a TCC (see Part A,Sec. 6) before a file can be transmitted.
.03Within five days of the electronic transmission, the results of the electronic transmission(s) will be sent to the email address that
was provided on the “Verify Your Filing Information” screen. If using email filtering software, configure the software to accept email
from f
ire@irs.govand irs.e-helpmail@irs.gov. If the file is bad, the filer must return to http://fire.irs.gov(orhttp://fire.test.irs.govif
a test file) to determine what errors are in the file by clicking on “CHECK FILE STATUS.”
Sec. 7. Connecting to the FIRE System
.01Have the TCC and TIN available before connecting.
.02Turn off pop-up blocking software before transmitting files.
.03Make sure the browser supports the security standards listed below.
.04Set the browser to receive “cookies.” Cookies are used to preserve the User ID status.
.05Point the browser to h
ttp://fire.irs.govto connect to the FIRE system or http://fire.test.irs.govto connect to the FIRE test system
(November 1 through February 15).
.06FIRE Internet Security Technical Standards are:
•HTTP 1.1 Specification (http://www.w3.org/Protocols/rfc2616/rfc2616.txt)
•SSL 3.0 or TLS 1.0. SSL and TLS are implemented using SHA and RSA 1024 bits during the
asymmetric handshake.
The filer can u
se one of the following encryption algorithms,listed in order of priority, using SSL or TLS:
•AES 256-bit (FIPS-197)
•AES 128-bit (FIPS-197)
•TDES 168-bit (FIPS-46-3)
September 24, 20123912012–39 I.R.B.

.07FirsttimeconnectiontotheFIRESystem(If there has been a previous logon, skip to Subsequent Connections to
the FIRE System.)
•Click“Create New Account”
•Fill out the registration form and click“Submit”
•Create theUser ID
•Create and verifypassword(See Part B Section 2.04 for password rules)
•Click“Create”
•If the message“Account Created”is received, click“OK”
•Create and verify the ten-digit self-assigned Personal Identification Number (PIN)
•Click“Submit”
•If the message“Your PIN has been successfully created!”is received, click“OK”
•Read the bulletin(s) and/or“Click here to continue”
.
08Subsequentco
nnectionstotheFIRESystem
•Click“Log On”
•Enter theUser ID
•Enter thePassword(The password is case sensitive)
•Read the bulletin(s) and/or“Click here to continue”
.
09Uploadingafil
etotheFIRESystem
At the Menu Options
:
•Click“Send Information Returns”
•Enter theTCC
•Enter theTIN
•Click“Submit”
The system will display the company name, address, city, state, ZIP code, telephone number,
contact, and email address. This information willbe used to email the transmitter regarding the
transmission. Update as appropriate and/or click “Accept.”
Note:Please provide an accurate email address for the correct person to receive the email and to
avoid having the email returned to IRS as undeliverable. If SPAM filtering software is being
used, configure it to allow an email from f
ire@irs.govand irs.e-helpmail@irs.gov.
Click one of the following:
•Original File
•Replacement File
•Amended File
•Test File(This opt
ion will only be available from November 1 through February 15 at
h
ttp://fire.tes
t.irs.gov.)
•Enter the ten-dig
it PIN (If sending a test file, there is no prompt for this.)
•Click“Submit”
•Click“Browse”to l
ocate the file and open it
•Click“Upload”
When the upload is c
omplete, the screen will display the total bytes received and the IRS assigned filename for the file. If this
information is no
t displayed on the screen, IRS may not have received the file.
2012–39 I.R.B.392September 24, 2012

To verify, go to the “CHECK FILE STATUS” option on the Main Menu. If the filename is displayed, the count is equal to “0,”
and the results indicate “not yet processed,” IRB received thefile. If the filename is not displayed, send the file again.
If there are more files to upload for that TCC:
•Click“File Anot
her?”otherwise
•Click“Main Menu
”
It is the filer’s responsibility to check the acceptability of submitted files. If an email is not received within five business
days or an email is received and it indicates the file is bad, log back into the FIRE system and click on CHECK FILE
STATUS to view the results of the file.
.10 CheckingtheFILESTATUS
If the correct email address was provided onthe “Verify Your Filing Information” screen when the file was sent, an email will be
sent regarding the FILE STATUS. If the results in the email indicate “Good, not Released” and the “Count of Payees” is correct,
the filer is finished with this file. If the email indicates any other results, follow the instructions below.
—At the Main Menu:
•Click“Check File Status”
•Enter theTCC
•Enter theTIN
•Click“Search”
—If the “Results” indicate:
“Good, Not Released”– If the “Count of Payees” is correct, the filer is finished with this
file. The file will automatically be released after ten calendar days unless the filer contacts
IRB within this timeframe.
“Good, Released”– The file has been released to our mainline processing.
“Bad”– The file has errors. Click on the filename to view the error message(s). Fix the
errors, and resubmit the file timely as a “replacement.”
“Not yet processed”– The file has been received, but results are not available. Please
check back in a few days.
—Click on the desired file for a detailed report of your transmission.
•When finished, click“Log Out”
•Click“Close Web Browser”
Sec. 8. Common Problems and Questions
.01Publication 1187 is a Revenue Procedure used to provide the electronic filing specifications and format to filers of Forms
1042-S, it is not a tax law document. Therefore, this publicationcannot provide for all possible reporting situations. For any given
record entry, it is the responsibility of the filer to make sure the relevant tax law is applied to the record entry being made.
September 24, 20123932012–39 I.R.B.

FORMATERRORS
1. Incorrect TIN indicator in the “W” Record.
Ensure the corre
ct TIN Indicator is used. A U.S. withholding agent always has an EIN. Only a foreign withholding agent that has
enteredintoaQu
alified Intermediary agreement with the IRS can have a QI-EIN. If the withholding agent is a foreign company,
then a foreign a
ddress must be entered in the withholding agent address fields.
2. Blank or invalid information in the Withholding Agent’s name and address fields.
The IRS error correction process requires that the “W” Recordbe checked for validity before the “Q” Record can be corrected.
Ensure that the withholding agent’s Name,EIN, Street Address, City, and State or Country is present along with the appropriate
Postal or ZIP Code. The Withholding Agent’s Name Line-1 must contain the withholding agent’s name.
3. Missing Recipient TIN in the “Q” Record.
A Recipient TIN must be present in order to allow a reduction orexemption from withholding at the 30% tax rate. The only major
exceptions to this rule involve payments of portfolio interest, dividends, and certain royalty payments. If the recipient doesn’t have
a TIN, one must be applied for and provided to the withholding agent before a reduction or exemption of withholding is allowed.
4. Invalid recipient name and address information.
The recipient name entered in Recipient’s Name Line-1 must be the same name shown on the withholding certification document
provided to and retained by the withholding agent. Recipient’s Street Line-1 should only show the official street address. Use
Recipient’s Street Line-2 for additional internal distribution information such as mail stop numbers or attention information.
Follow the instructions for entry of foreign postal codes, cities, and countries. Do not input all information in the City field.
Use the appropriate fields and codes.
5. Incorrect use of Recipient Code 20 (Unknown Recipient).
This Recipient Code may be used only if no withholding certification document has been provided to and retained by the
withholding agent, or the withholding certification document provided to and retained has been determined by the withholding
agent to be incomplete or otherwise unreliable. If Recipient Code 20 is used, the Recipient Name Line-1 must contain the words
“UNKNOWN” or “UNKNOWN RECIPIENT” and the other name and address fields must be blank.
6. Incorre
ct use of Recipient Code 20 and the TaxRate and U.S. Tax Withheld fields.
If Recipient Code 20 is used, the Tax Rate and the U.S. Tax Withheld must always be 30%. Exemption Code 04 (treaty
exemption) is not allowed when using Recipient Code 20.
7. Incorrect use of Country Codes in the “Q” Record.
There are t
hree places in the “Q” Record where country information must be entered. Generally, the information entered in these
three fiel
ds should be consistent. The country list in theInstructions for Form 1042-Sis comprehensive. Do not use any code
that is no
t on the list. Read theInstructions for Form 1042-Sregarding the use of “OC” and “UC.” Do not use these two codes
under any
other circumstances than those specifically indicated in the instructions.
8. Incorrect reporting of Tax Rates in the “Q” Record.
A valid Tax Rate Table is included in theInstructions for Form 1042-S. Please refer to the table and only use the tax rates listed.
“Blended rates” are not allowed. If a tax rate for a given recipient changes during the year, two “Q” Records must be submitted.
2012–39 I.R.B.394September 24, 2012

FORMATERRORS
9. Total amounts reported in the “C” Record do not equal the total amounts reported in the “Q” Records.
The total Gross Income and Total Withholding Credit reported in the “Q” Records must equal the Total Gross Income and Total
Withholding Credit reported in the corresponding “C” Record.
10. The followi
ng are other major errors associated with electronic filing:
a.Invalid characters. The only valid characters are those characters listed in Note3atthebeginningofthe“T,”“W,”and
“Q” Records.
b.“Q” Record Positions 383–394 (Total Withholding Credit) must equal the amounts in Positions 359–370 (U.S. Tax Withheld)
and Positions 371-382 (Withholding by Other Agents).
c.“C” Record Positions 31–45 must reflect the aggregate of the preceding “Q” records, positions383–394 (Total Withholding
Credit).
d.“Q” Record Positions 42–45 (Tax Rate) must reflect a valid tax rate.
e.“Q” Record Positions 46–47 (Exemption Code) must reflect a valid code and the exemption code must be compatible with the
tax rate. For example, if a zero tax (0000) rate is entered in positions 42–45, the appropriate exemption code of 01–09 must
be used in positions 46–47.
NON-FORMATERRORS
1. SPAM filters are not set to receive email from fire@irs.govand irs.ehelpmail@irs.gov.
To receive emails concerning files, processing results, reminders and notices, set the SPAM filter to receive email from
f
ire@irs.govand irs.e-helpmail@irs.gov.
2. Incorrect email provided.
When the “Verify Your Filing Information” screen is displayed, make sure the correct email address is listed. If not, update the
screen with the correct email address.
3. Transmitter does not check the FIRE system to determine why the file is bad.
Generally, the results of a file transfer are posted to the FIRE system within five business days. If the correct email address was
provided on the “Verify Your Filing Information” screen whenthe file was sent, an email will be sent regarding the FILE
STATUS. If the results in the email indicate “Good” for test, or“Good, Not Released” for production and the “count of payees” is
correct, the filer is finished with this file. If any other resultsare received, follow the instructions in the “Check File Status”
option. If the file contains errors, get an online listing of the errors. If the file status is good, but the file should not be processed,
contact IRS within ten calendar days from the transmission of the file.
4. Transmit
ter uses the TCC assigned for filing 1098, 1099, 5498 or W-2G Forms.
Filers must use the Form 1042-S TCC, which begins with “22,” to transmit Form 1042-S files. If the correct TCC is not used, it
will automatically be considered an error.
5. Incorrect file is not replaced timely.
Ifafileis
bad, fix the file, and resubmit timely as a replacement.An acceptable replacement file must be submitted within 60
days from t
he day the original file was transmitted.
September 24, 20123952012–39 I.R.B.

NON-FORMATERRORS
6. Transmitter compresses several files into one.
Only compress one file at a time. For example, if there are ten uncompressed files to send, compress each file separately and
send ten separate compressed files.
7. Transmitter
sends a file and “CHECK FILE STATUS” indicates that the file is good, but the transmitter wants to send
another file co
ntaining the same information.
Once a file has been transmitted, a replacement file cannot be sent unless “CHECK FILE STATUS” indicates the file is bad
(five business days after the file was transmitted). If a fileshould not be processed, contact IRS at 1–866–455–7438 or outside
the U.S. at 1–304–263–8700 to see if this is a possibility.
8. Transmitter sends an original file that is good, and thensends an amended file for the entire file even though there are
only a few changes.
The amended fi
le, containing the proper coding, should only contain the records needing correction, not the entire file. Improper
submission ca
n result in duplicate reporting of payee information.
9. File is formatted as EBCDIC.
All files submitted electronicallymust be in standard ASCII code.
10. Transmitter has one TCC, but is filing for multiple companies. Which TIN should be used when logging into
the FIRE system to send the file?
When sending the file electronically, enterthe TIN of the company assigned to the TCC.
11. Transmitter sent the wrong file, what should be done?
Call IRS at 1
–866–455–7438 or outside the U.S. at 1–304–263–8700. IRS may be able to stop the file before it has been processed.
2012–39 I.R.B.396September 24, 2012

Part C. Record Format Specifications and Record Layouts
Sec. 1. File Layout Diagram
Sec. 2. General
.01The specifications contained in this part of the Revenue Procedure define the required formation and contents of the records to
be included in the electronic files.
Sec. 3. Transmitter “T” Record
.01The Transmitter “T” Record identifies the entity preparing and transmitting the file. The transmitter and the withholding agent
may be the same, but they need not be. The “T” Record contains information which is critical if it is necessary for IRS to contact the
filer.
.02The first record of a file must be a Transmitter “T” Record. The “T” Record must appear on each electronic file; otherwise, a
replacement file will be requested.
.03The “T” Record is a fixed length of 820 positions.
.04All alpha characters entered in the “T” Record must be upper case.
Note 1:For all fields marked “Required,” the transmitter must provide the information described under Description and Remarks. If
required fields are not completed in accordance with this Revenue Procedure, IRS will contact the filer to request a replacement file.
For those fields not marked “Required,” a transmitter must allow for the field, but may be instructed to enter blanks or zeros in the
indicated field position(s)and for the indicated length.
September 24, 20123972012–39 I.R.B.

Note 2:A copy of the currentInstructions for Form 1042-Sis included at the end of this publication. These instructions must be used
for the proper coding of each field in this record where applicable. The instructions are updated each year as required. Publication
1187 may not be revised every year. Be sure to use the most currentInstructions for Form 1042-Swhen coding files.
Note 3:The only valid characters for electronic filing are alpha, numeric, blank, ampersand (&), hyphen(-), comma (,), apostrophe
(’), forward slash (/), pound sign (#), period (.), and the percent (%). The percent [% (used as“in care of”)] is valid in the first position
only. Do not use special characters that are unique to a language other than English. Inclusion of any characters other than those
identified as valid in the instructions will result in a “Bad File” status.
Record Name: Transmitter “T” Record
Field
Position Field Title Length Description and Remarks
1Record Type 1
Required.Enter “T.”
2–5
Tax Year4
Required.Enter the year for which income and withholding are being reported.
6–14Transmitter’s
Taxpayer
Identifica-
tion Number
(TIN)
9
Required.Enter the Taxpayer Identification Number of the Transmitter. This can be
an Employer Identification Number (EIN), Qualified Intermediary Number (QI-EIN),
Withholding Partnership (WP-EIN), or a Withholding Trust (WTEIN). Do not enter
blanks, hyphens or alpha characters.
15–54
Transmitter’s
Name
40
Required.Enter the name of the transmitter of the file. Abbreviate if necessary to fit
the 40-character limit. Omit punctuation, if possible. Left-justify the information and
fill unused positions with blanks.
Note:Do not use special characters in names or addresses that areunique to a language other than English. For example: å =
A, æ = A,ű=U,Ǿ=O,ň=N,etc.
55–94
Transmitter’s
Address
40
Required.Enter the full mailing address of the transmitter. This includes the number,
street, and apartment or suite number (P.O. Box can be used if mail is not delivered to
street address). Abbreviate as needed to fit the 40-character limit. Omit punctuation, if
possible. Left-justify the informationand fill unused positions with blanks.
95–114
City20
Required.Enter the city or town (or other locality name) of the transmitter. If applicable,
enter APO or FPO only. Left-justify the information and fill unused positions with blanks.
115–116
State Code2
Required if U.S. Transmitter.Enter only the valid U.S. Postal Service State Code.
Do not spell out the state name. Refer to the State Code Table Part A, Sec. 14. If this
field is not utilized, enter blanks.
117–118 Province
Code
2
Required if Foreign Country Code is “CA” (Canada).Enter only the two-alpha
character Province Code as shown in the Province Code table below. Do not spell out the
Province Name. If the foreign country is other than Canada, enter blanks.
Province CodeProvinceProvince CodeProvince
ABAlbertaNUNunavut
BCBritish ColumbiaONOntario
MBManitobaPEPrince Edward Island
NBNew BrunswickQCQuebec
NLNewfoundland & Labrador SKSaskatchewan
NSNova ScotiaYTYukon Territory
NTNorthwest Territories
2012–39 I.R.B.398September 24, 2012

Record Name: Transmitter “T” Record
Field
Position Field Title Length Description and Remarks
119–120 Country
Code
2
Required if Foreign Transmitter. If the Country Code is present, the State Code field
must be blank.Enter only the two-alpha Country Code from the Country Code table. Do
not spell out the Country Name.
Note: Country Codes: The list of country codes provided in the currentInstructions for Form 1042-Sincludes all internationally
recognized country codes and must be used to ensure the propercoding of the Country Code field. This list is updated each year
as required. Do not enter U.S. in the Country Code field.
121–129 Postal or ZIP
Code
9
Required.Enter up to nine numeric characters for all U.S. addresses (including territories,
possessions, and APO/FPO). For foreign addresses enter the alphanumeric foreign postal
code, if applicable. Left-justify the information and fill unused positions with blanks.
130–169 Contact
Name
40
Required.Enter the name of the person to contact if any questions should arise with the
transmission. Left-justify the information and fill unused positions with blanks.
170–189 Contact
Telephone
Number
20
Required.Enter the contact person’s telephone number, and extension, if applicable. If
foreign, provide appropriate codes for international calls. Left-justify the information and
fill unused positions with blanks.
190–194 Transmitter
Control Code
(TCC)
5Required.Enter the five-characteralphanumeric TCC assigned ONLY for Form 1042-S
reporting. (The first two numbers will always be 22.) Alpha characters must be upper case.
195–198
Test
Indicator
4
Required if this is a test file.Enter the word “TEST.” Otherwise, enter blanks.
199Prior Year
Indicator
1
Required.Enter a “P” only if reporting prior year data; otherwise, enter blank. Do not
enter a “P” for current year information.
200–810 Reserved611Enter blanks.
811–818 Record
Sequence
Number
8
Required.Enter the number of the record as it appears within the file. The record
sequence number for the “T” Record will always be “1” (one), since it is the first record
on the file and there can only be one “T” Record in a file. Each record, thereafter, must be
incremental by one in ascending numerical sequence, that is, 2, 3, 4, etc. Right-justify
numbers with leading zeroes in the field. For example, the “T” Record sequence number
would appear as “00000001” in the field, the first “W” Record would be “00000002,”
the first “Q” Record, “00000003,” the second “Q” Record, “00000004,” and so on until
the final record of the file, the “F” Record.
819–820 Blank or
Carriage
Return Line
Feed
2Enter blanks or carriage return line feed (CR/LF) characters.
Transmitter “T” Record Layout
Record TypeTax YearTransmitter’s
TIN
Transmitter’s
Name
Transmitter’s
Address
City
1
2–5
6–14
15–5455–9495–114
State CodeProvince CodeCountry CodePostal or ZIP
Code
Contact
Name
Contact
Telephone
Number
115–116
117–118119–120121–129130–169170–189
September 24, 20123992012–39 I.R.B.

TCCTest IndicatorPrior Year
Indicator
ReservedRecord
Sequence
Number
Blank or
Carriage
Return Line
Feed
190–194
195–198
199200–810811–818819–820
Sec. 4. Withholding Agent “W” Record
.01The “W” Record identifies the Withholding Agent.
.02Enter a “W” Record after the initial “T” Record on the file, followed by the Recipient “Q” Record(s), and a Reconciliation “C”
Record. Do not report for a withholding agent if there are no corresponding Recipient “Q” Records.
.03Several “W” Records for different Withholding Agents may appear on the same Transmitter’s file.
.04Each “W” Record is a fixed length of 820 positions.
.05All alpha characters entered in the “W” Record must be uppercase.
Note 1:For all fields marked“Required,”the transmitter must provide the information described under Description and Remarks.
If required fields are not completed in accordance with this Revenue Procedure, the file may not process correctly. For those fields
not marked“Required,”a transmitter must allow for the field, but may be instructed to enter blanks or zeros in the indicated field
position(s) and for the indicated length.
Note 2:A copy of theInstructions for Form 1042-Sis included at the end of this publication. These instructions must be used for
the proper coding of each field in this record, where applicable. The list of country codes in the instructions includes all recognized
country codes and must be used for coding. The instructions are updated each year as required. Publication 1187 may not be revised
every year. Be sure to use the most currentInstructions for Form 1042-Swhen coding files.
Note 3:The only valid characters for electronic filing are alpha, numeric, blank, ampersand (&), hyphen (-), comma (,), apostrophe
(’), forward slash (/), pound sign (#), period (.), and the percent (%). The percent [% (used as“in care of”)] is valid in the first position
only. Do not use special characters that are unique to a language other than English. Inclusion of any characters other than those
identified as valid in the instructions will result in a “Bad File” status.
Record Name: Withholding Agent “W” Record
Field
Position Field TitleLengthDescription and Remarks
1Record Type1
Required.Enter“W.”
2Return Type Indicator1
Required.Enter the one position value below to identify whether
the record is Original or Amended.If submitting a replacement file,
use the same indicator as the file being replaced (for example, if
replacing an amended file the indicator would be 1). Do not enter a
blank or alpha character.
Acceptable Values are:
0(Zero)=Original
1= Amended
3Pro Rata Basis Reporting1
Required.Enter the one position value below to identify if reporting
on a Pro Rata Basis. Acceptable Values are:
Acceptable Values are:
0(Zero)=NotProRata
1=Pro Rata Basis Reporting
2012–39 I.R.B.400September 24, 2012

Record Name: Withholding Agent “W” Record
Field
Position Field TitleLengthDescription and Remarks
4–12Withholding Agent’s EIN9
Required.Enter the nine-digit Employer Identification Number
of the Withholding Agent. Do not enter blanks, hyphens or alpha
characters. An EIN consisting of all the same digits (for example,
111111111) is not acceptable. Do not enter the recipient’s TIN in this
field.
Note:See theInstructions for Form 1042-Sto determine when a Qualified Intermediary, Withholding Foreign Partnership, or
Withholding Foreign Trust must provide itsQI-EIN, WP-EIN or WT-EIN in this field.
13Withholding Agent’s EIN
Indicator
1
Required.Enter the Withholding Agent’s EIN indicator from the
following values:
0= EIN
1=QI-EIN, WP-EIN, WT-EIN
2= NQI-EIN
Note:Use EIN indicator 1 only if the Withholding Agent’s EIN begins with “98” A
NDthe Withholding Agent, Withholding
Trust, or Withholding Partnership has entered into a withholding agreement with the IRS.
14–53
Withholding Agent’s Name Line-1 40
Required.Enter the Withholding Agent’s Name as established when
filing for the EIN or QI-EIN which appears in positions 4–12 of the
“W” Record. Left-justify the information and fill unused positions
with blanks.
Note:Do not use special characters in names or addresses that areunique to a language other than English. For example: å =
A, æ = A,ű=U,Ǿ=O,ň=N,etc.
54–93
Withholding Agent’s Name Line-2 40Enter supplementary withholding agent’s name information; other-
wise, enter blanks. Use this linefor additional names (for example,
partners or joint owners), for trade names, stage names, aliases, or
titles. Also use this line for “in care of” or “via.” Left-justify the in-
formation and fill unused positions with blanks. SeeNote 3at the
beginning of the “W” Record.
94–133Withholding Agent’s Name Line-3 40See the description for Withholding Agent’s Name Line-2.
134–173 Withholding Agent’s Street Line-1 40
Required.Enter the mailing address of the withholding agent. The
street address should include the number, street, and apartment or
suite number (or P.O. Box if mail is not delivered to a street address).
Abbreviate as needed. Left-justify the information and fill unused
positions with blanks.
174–213 Withholding Agent’s Street Line-2 40Enter supplementary withholding agent street address information.
Otherwise, enter blanks.
214–253
Withholding Agent’s City40
Required.Enter the city or town (or other locality name). Enter APO
or FPO only if applicable. Do not enter a foreign postal code in the
city field. Left-justify the information and fill unused positions with
blanks.
254–255
Withholding Agent’s State Code 2
Required if Withholding Agent has a U.S. address.Enter the valid
U.S. Postal Service state code. If not using a U.S. state, territory,
or APO/FPO identifiers, enterblanks. Do not use any of the two
character Country Codes in the State Code Field.
Note:If the withholding agent has a U.S. address, leave the country code in positions 258–259 blank.
September 24, 20124012012–39 I.R.B.

Record Name: Withholding Agent “W” Record
Field
Position Field TitleLengthDescription and Remarks
256–257
Withholding Agent’s Province
Code
2
Required if Foreign Country Code is “CA” (Canada).Enter only
the two-alpha character ProvinceCode as shown in the Province Code
Table. See the “T” record positions 117–118 for the Province Code
Table. Do not spell out the Province Name. If the foreign country is
other than Canada, enter blanks.
258–259
Withholding Agent’s Country
Code
2
Required if QI or NQI or other foreign withholding agent.Enter
only the two-alpha Country Code from the Country Code Table. Do
not spell out the Country Name.
Note:COUNTRY CODES: The list of country codes provided in the currentInstructions for Form 1042-Sincludes all
internationally recognized country codesand MUST be used to ensure the proper coding of the Country Code field. This list is
updated each year as required. Do not enter U.S. in the Country Code field.
260–268 Postal or ZIP Code9
Required.Enter up to nine numeric characters for all U.S. addresses
(including territories, possessions, and APO/FPO). For foreign
addresses enter the alphanumeric foreign postal code, if applicable.
Left-justify the information and fill unused positions with blanks.
269–272 Tax Year4
Required.Enter the four-digit current tax year, unless a “P” was en-
tered in the Prior Year Indicator Field of the “T” Record. All recipient
“Q” Records must be a report of payments for one year only. Differ-
ent tax years may not appear on the same file.
273–317 Withholding Agent Contact Name
45Required.Enter the name of the person the IRS can contact if ques-
tions arise concerning this filing. Left-justify the information and fill
unused positions with blanks.
318–362 Withholding Agent’s Department
Title
45Required.Enter the title of the contact person or the department that
can answer inquiries concerning thisfiling. Left-justify the informa-
tion and fill unused positions with blanks.
363–382 Contact Telephone Number and
Extension
20
Required.Enter the telephone number of a person to contact re-
garding electronic files. Omit hyphens. If no extension is available,
left-justify the information and fill unused positions with blanks. If
foreign, provide the appropriate code(s) for international calls.
383Final Return Indicator1
Required.Enter the one position value below to indicate whether
Forms 1042-S will be filed in the future.
0 (Zero)=will be filing
1=will not be filing
384–809 Reserved426Enter blanks.
810Amended Return Indicator1Required for amended returns only. Enter the appropriate code:
CodeDefinition
GA one-step transaction amended return or the first of
a two-step transaction amended return
CThe second transaction of a two-step transaction
amended return
BlankIf this is not a return being submitted to amend in-
formation already processed by IRS
Note:Amended C and G coded records must be reported using separate Payer “W” Records. Refer to Part A, Sec. 9, for specific
instructions on how to file amended returns.
Non-coded records cannot be submittedinanAmendedfile.
2012–39 I.R.B.402September 24, 2012

Record Name: Withholding Agent “W” Record
Field
Position Field TitleLengthDescription and Remarks
811–818 Record Sequence Number8
Required.Enter the number of the record as it appears within
the file. The record sequencenumber for the “T” Record will
always be “1” (one), since it is the first record on the file and there
can be only one “T” Record in a file. Each record, thereafter,
must be incremental by one in ascending numerical sequence,
that is, 2, 3, 4, etc. Right-justify numbers with leading zeros in
the field. For example, the “T” Record sequence number would
appear as “00000001” in the field, the first “W” Record would be
“00000002,” the first “Q” Record, “00000003,” the second “Q”
Record, “00000004,” and so on until the final record of the file,
the “F” Record.
819–820 Blank or Carriage Return Line
Feed
2Enter blanks or carriage return line feed (CR/LF) characters.
Withholding Agent “W” Record Layout
Record
Type
Return Type
Indicator
Pro Rata
Basis
Reporting
Withholding
Agent’s EIN
Withholding
Agent’s EIN
Indicator
Withholding
Agent’s
Name
Line-1
Withholding
Agent’s
Name
Line-2
1234–1213
14–5354–93
Withholding
Agent’s
Name
Line-3
Withholding
Agent’s
Street
Line-1
Withholding
Agent’s
Street
Line-2
Withholding
Agent’s City
Withholding
Agent’s
State Code
Withholding
Agent’s
Province
Code
Withholding
Agent’s
Country
Code
94–133134–173174–213
214–253254–255256–257258–259
Postal or
ZIP Code
Tax YearWithholding
Agent
Contact
Name
Withholding
Agent’s
Department
Title
Contact
Telephone
Number
and
Extension
Final Return
Indicator
Reserved
260–268269–272273–317318–362363–382383384–809
Amended
Return
Indicator
Record
Sequence
Number
Blank or
Carriage
Return Line
Feed
810811–818819–820
Sec. 5. Recipient “Q” Record
.01The “Q” Record contains name and address information for the Recipient of Income, Non-Qualified Intermediary or Flow-
Through Entity, Payer, and all data concerning the income paid and tax withheld that is required to be reported under U.S. law. Each
Recipient “Q” Record is treated asif it were a separate Form 1042-S.
.02The “Q” Record is restricted to one type of income, one type of exemption code, and one tax rate. Under certain circumstances,
it may be necessary to submit more than one “Q”Record for the same recipient. Failure to provide multiple Recipient “Q” Records
September 24, 20124032012–39 I.R.B.

when necessary may generate math computation errors during processing. This will resultin IRS contacting you for correct informa-
tion.
.03Following are some of the circumstances when more than one “Q” Record for a recipient would be required:
(a)Different types of income. For example, Recipient X derived income from Capital Gains (Income Code 09) and Industrial
Royalties (Income Code 10). A separate “Q” Record must bereported for each Income Code. Each “Q” Record must reflect
the Gross Income Paid and any U.S. Federal Tax withheld bythe withholding agent(s) pertaining to that Income Code.
(b)Change in Country Code during the year. For example, the Withholding Agent received notification by Form W–8BEN that
the recipient’s country of residence for tax purposes changed from country X to country Y. A separate “Q” Record must be
reported for each Country Code providing Gross Income Paid,Tax Rate, any U.S. Federal Tax Withheld by the withholding
agent(s), and Exemption Code, if any. The amounts reported must be based on each country.
(c)Change in a country’s tax treaty rate during the year. For example, effective April 1, country X changes its tax treaty rate
from ten percent to twenty percent. A separate “Q” Record must be reported for each of the tax rates. Provide the Gross
Income Paid, Tax Rate, and any U.S. Federal Tax Withheld by the withholding agent(s) under each tax rate.
.04All recipient “Q” Records for a particular Withholding Agent must be written after the corresponding Withholding Agent “W”
Record, followed by a Reconciliation“C” Record, and before the “W” Record for another Withholding Agent begins.
.05All alpha characters entered inthe “Q” Record must be upper case.
.06The “Q” Record is a fixed length of 820 positions.
.07Report income and tax withheld in whole dollars only. Round up or down as appropriate. To round off amounts to the nearest
whole dollar, drop amounts under 50 cents and increase amounts of 50 to 99 cents to the next whole dollar. If there are two or more
amounts to add together, figure the amount to be reported by including cents when adding and only round off the total figure to be
reported. Do not enter cents.
Note 1:For all fields marked “Required,” the transmitter must provide the information described under Description and Remarks.
If required fields are not completed in accordance with this Revenue Procedure, the file will not process correctly. IRS will contact
the filer to request a replacement file. For those fields not marked “Required,”atransmittermustallowforthefield,butmaybe
instructed to enter blanks or zeros in the indicated field position(s) and for the indicated length.
Note 2:A copy of theInstructions for Form 1042-Sis included at the end of this publication. These instructions must be used for
the proper coding of each field in this record where applicable. Thelist of country codes in the instructions includes all recognized
country codes and must be used for coding. The instructions are updated each year as required. Publication 1187 may not be revised
every year. Be sure to use the most currentInstructions for Form 1042-Sfor coding files.
Note 3:The only valid characters for electronic filing are alpha, numeric, blank, ampersand (&), hyphen (-), comma (,), apostrophe
(’), forward slash (/), pound sign (#), period (.), and the percent (%). The percent [% (used as“in care of”)] is valid in the first position
only. Do not use special characters that are unique to a language other than English. Inclusion of any characters other than those
identified as valid in the instructions will result in a “Bad File” status.
Record Name: Recipient “Q” Record
Field
Positions Field TitleLength Description and Remarks
1Record Type1
Required.Enter“Q.”
2Return Type
Indicator
1
Required.Enter the one position value below to identify whether the record is Original
or Amended. If submitting a replacement file, use the same indicator as the file being
replaced (for example, if replacing an amended file, the indicatorwould be 1). This must
be the same value as in the “W” Record. Values are:
0 (Zero) = Original
1 = Amended
3ProRata
Basis
Reporting
1
Required.Enter the one position value below to identify whether reporting on a Pro Rata
Basis. This must be the same value as in the “W” Record. Values are:
0 (Zero) = Not Pro Rata
1 = Pro Rata Basis Reporting
4–5
Income Code2
Required.Enter the two-position value EXACTLY as it appears from the income code
table. The Income Code must accurately reflect the type of income paid. Do not enter
blanks or 00 (zeros).
2012–39 I.R.B.404September 24, 2012

Record Name: Recipient “Q” Record
Field
Positions Field TitleLength Description and Remarks
Note:Refer to theInstructions for Form 1042-Sfor more information.
6–17Gross
Income
12
Required.Enter the gross income amount in whole dollars only, rounding to the nearest
dollar (do not enter cents). For example, report $600.75 as 000000000601. An income
amount of zero cannot be shown. Only amended returns can report zero amounts.
Numeric characters only, right-justify information and fill unused positions with zeros.
Note:Do not report negative amounts in any amount field.
18–29Withholding
Allowance
12
Used with Income Codes 15, 16, 17, 18, 19, 42, or 43 only.Enter the withholding
allowance amount in whole dollars only, rounding to the nearest dollar (do not enter
cents). Numeric characters only, right-justify the information and fill unused positions
with zeros. If this field is not used enter blanks.
30–41Net Income12
Required if a Dollar Amount is Entered in the Withholding Allowance Field.Enter
the net income in whole dollars only, rounding to the nearest dollar (do not enter cents).
An amount other than zeromustbe shown. Numeric characters only, right-justify the
information and fill unused positions with zeros. If this field is not utilized, enter blanks.
42–45
Tax rate4
Required.Enter the correct Tax Rate applicable to the income in the gross income field
or net income field, as appropriate. Enter the Tax Rate as a two-digit whole number and
two-digit decimal (for example, enter 27.50% as 2750, 15% as 1500 or 7% as 0700).
SeeNotebelow.
Note:The correct Tax Rate must be entered, even if withholding was at a lesser rate. See the currentInstructions for Form 1042-S.
46–47Exemption
Code
2
Required. Read Carefully.
• If the tax rate entered is 0%, enter the appropriate exemption code “01” through “10”
from theInstructions for Form 1042-S.
• If the tax rate entered is 1% through 30%, enter “00.”
• If the tax rate entered is greater than 30%, blank fill. Do not enter “00.”
See the currentInstructions for Form 1042-Sfor circumstances under which Exemption
Code “99” must be used.
Note:If an incorrect amount of tax was withheld, report the amount that was actually withheld and use the correct tax rate in
field positions 42–45.
48–49Recipient’s
Country of
Residence
Code for Tax
Purposes
2
Required.Enter the two-character Country Code for which the recipient is a resident for
tax purposes and on which the tax treaty benefits are based, whether applying a tax treaty
benefit to this payment or not. The rate of tax withheld is determined by this code.
Note:Do not enter U.S. in the Country Code field. Enter “OC” (other country) onlywhen the country of residence does not
appear on the list or the payment is made to an international organization. If making a payment to a QI or QI withholding rate
pool, enter the country code of the QI.
50–59
Reserved10Enter blanks.
60–71Amount
Repaid
12This field should be completed only if:
a recipient was repaid an amount that was over-withheld and the withholding agent is
going to be reimbursed by reducing, by the amount of tax actually repaid, the amount of
any deposit made for a payment period in the calendar year following the calendar year
of withholding. Otherwise, enter zeros.
72–91Recipient
Account
Number
20Enter the account number assigned by the withholding agent to the recipient. Do not
enter the recipient’s U.S. or foreign TIN.If an account number is not assigned, enter
blanks. This field may contain numeric characters, alpha characters, blanks, or hyphens.
Left-justify the information and fill unused positions with blanks.
92–93Recipient
Code
2
Required.Enter the appropriate Recipient Code. Refer to the list of appropriate codes in
the current paper Instructions for Form 1042-S. No other codes or values are valid.
September 24, 20124052012–39 I.R.B.

Record Name: Recipient “Q” Record
Field
Positions Field TitleLength Description and Remarks
Note:If recipient code “20” is used, the Recipient’s Name Line–1 must be “UNKNOWN” or “UNKNOWN RECIPIENT” and
the Recipient’s Name Lines 2 and 3 must be BLANK. The tax rate must be 30%.
94–133Recipient’s
Name
Line–1
40
Required.Provide the complete name of the recipient. If the recipient has a U.S. TIN,
enter the name as established when applying for the TIN. If recipient code “20” is used,
enter “UNKNOWN” or “UNKNOWN RECIPIENT.” Recipient’s Name Lines 2 and
3 must be blank. See theInstructions for Form 1042–Sfor specific information about
“UNKNOWN RECIPIENTs” and “WITHHOLDING RATE POOLs” SeeNote 3at the
beginning of the “Q” Record
Note 1:A Non-Qualified Intermediary (NQI)can NEVER be entered as the recipient.
Note 2:Do not use special characters in names oraddresses that are unique to a language other than English. For example: å =
A, æ = A, u = U,Ǿ=O,ň=N,etc.
134–173 Recipient’s
Name
Line–2
40Enter supplementary recipient name information including titles; otherwise, enter blanks.
Use this line for additional names (for example,partners or joint owners), for trade names,
stage names, aliases or titles. Also use thisline for “in care of,” “Attn,” or “via”. See
Note 3at the beginning of the “Q” Record.
174–213 Recipient’s
Name
Line–3
40See the description for Recipient’s Name Line–2.
214–253
Recipient’s
Street Line–1
40
Required.Enter the mailing address of the recipient. The street address should include
the number, street, apartment, or suite number (or P.O. Box if mail is not delivered to
a street address). Abbreviate as needed. Left-justify the information and fill unused
positions with blanks. SeeNote 3at the beginning of the “Q” Record.
254–293
Recipient’s
Street Line–2
40Enter supplementary recipient street address information.If a P.O. Box is used in addition
to a street address, enter it here. Left-justify the information and fill unused positions
with blanks.
294–333 Recipient’s
City
40
Required.Enter the city or town (or other locality name). Enter the APO or FPO only, if
applicable. Do not enter a foreign postal code in the city field. Left-justify the information
and fill unused positions with blanks.
334–335
Recipient’s
State
2
Required if U.S. address.Enter the two-character State Code abbreviation. If no U.S.
state, territory, or APO/FPO identifier is applicable, enter blanks. Do not use any of the
two character Country Codes in the State Code Field.
Note:If the recipient has a U.S. address, leave the province codein positions 336–337 and country code in positions 338–339
blank.
336–337 Recipient’s
Province
Code
2
Required if the Recipient CountryCode in positions 338–339 is “CA.”Enter only the
two-alpha character Province Code as shown in the Province Code Table below. Do not
spell out the Province Name. If the foreign country is other than Canada, enter blanks.
Province CodeProvinceProvince CodeProvince
ABAlbertaNUNunavut
BCBritish ColumbiaONOntario
MBManitobaPEPrince Edward Island
NBNew BrunswickQCQuebec
NLNewfoundland & Labrador SKSaskatchewan
NSNova ScotiaYTYukon Territory
NTNorthwest Territories
338–339 Recipient’s
Country
Code
2
Required if the recipient has a foreign address.Enter the two-character Country Code
abbreviation. See theInstructions for Form 1042-Sfor the appropriate codes.
Note 1:If the state code is entered in positions 334–335, leave this field blank.
2012–39 I.R.B.406September 24, 2012

Record Name: Recipient “Q” Record
Field
Positions Field TitleLength Description and Remarks
Note 2:COUNTRY CODES: The list of country codes provided in the currentInstructions for Form 1042-Sincludes all
internationally recognized country codes and must be used to ensure the proper coding of the Country Code field. This list is
updated each year as required. If making a payment to a QI, enter the country code of the QI.
Note 3:Enter “UC” (unknown country) onlyif the payment is to an unknown recipient.
340–348 Postal or ZIP
Code
9
Required.Enter up to nine numeric characters for all U.S. addresses (including territories,
possessions, and APO/FPO). For foreign addresses enter the alphanumeric foreign postal
code, if applicable. Left justify the information and fill unused positions with blanks.
349–357
Recipient’s
U.S. TIN
9Enter the recipient’s nine-digit U.S. Taxpayer Identification Number (TIN). Do not enter hy-
phens, alpha characters, or TINS consistingof all the same digits (for example, 111111111
or 999999999) as these are not valid TINs. If a TIN is not required under regulations, or is
required but has not been provided by the recipient, enter blanks.
Note:U.S. TINs are now required for most recipients. See theInstructions for Form 1042-S.
358
Recipient’s
U.S. TIN
Type
1
Required.Enter the recipient’s U.S. TIN type indicator from the following values:
•0=NoTINrequired
•1=SSN/ITIN
•2=EIN
• 3 = QI-EIN, WP-EIN, WT-EIN
• 4 = TIN required but not provided
Note:Use EIN indicator 3 only if the Withholding Agent’s EIN begins with “98” andthe Withholding Agent, Withholding Trust,
or Withholding Partnership has entered into a withholding agreement with the IRS.
359–370
U. S. Federal
Tax Withheld
12
Required.Enter U.S. Federal tax withheld by the withholding agent. Enter the amount
in whole dollars, rounding to the nearest dollar (do not enter cents). For example, report
$600.25 as 000000000600. Numeric characters only, right-justify the information and fill
unused positions with zeros. If there was no withholding, enter all zeros.
371–382 Withholding
By Other
Agents
12
Required.For withholding agents reporting Form 1042-S information that has already
been subject to withholding by another withholding agent, enter the amount withheld by the
other agent. Enter the amount in whole dollars, rounding to the nearest dollar (do not enter
cents). For example, report $600.25 as 000000000600. Numeric characters only, right-
justify the information and fill unused positions with zeros. If there was no withholding,
enter all zeros.
Note:If claiming a credit on Form 1042 (line 66) because of withholding by otheragents, attach a copy of the Form 1042-S to
Form 1042 to support the credit. For additional guidance, please review theInstructions for Form 1042.
383–394 Total
Withholding
Credit
12
Required.Enter the aggregate amount of U.S. Federal tax withheld by you and any other
withholding agent. Enter the amount in whole dollars, rounding to the nearest dollar (do
not enter cents). For example, report $600.25 as 000000000600. Numeric characters only,
right-justify the information and fill unused positions with zeros. If there was no withhold-
ing, enter all zeros.
Note:If the Total Withholding Credit, (aggregate amounts of U.S.Federal Tax Withheld and Withholding By Other Agents) was
either under or over reported, see Field Position 761 of the “Q” Record.
395–400
Reserved6Enter blanks.
401–440 NQI/FLW-
THR/PTP
Name
Line–1
40Provide the complete name of the NQI/FLW-THR or PTP Entity. It is very important that
the complete name of the NQI/FLW-THR or PTP entity be provided. Left-justify the in-
formation and fill unused positions with blanks. See Note 3 at the beginning of the “Q”
Record.
Note 1:A nominee that is the withholding agent under Code Section 1446 must enter the Publicly Traded Partnership’s (PTP)
name and other information in the NQI/FLW-THR fields; positions 401–666.
September 24, 20124072012–39 I.R.B.

Record Name: Recipient “Q” Record
Field
Positions Field TitleLength Description and Remarks
Note 2:All NQI/FLW-THR fields are REQUIRED if the NQI/FLW-THR entity is involved in the payment structure, EXCEPT
FOR THE NQI/FLW-THR TIN.
441–480 NQI/FLW-
THR/PTP
Name
Line–2
40Enter supplementary information; otherwise, enter blanks. Use this line for additional
names (for example, partners or joint owners), for trade names, stage names, aliases, or
titles. Also use this line for “in care of” or “via”. SeeNote 3at the beginning of the “Q”
Record.
481–520
NQI/FLW-
THR/PTP
Name
Line–3
40See the description for NQI/FLW-THR/PTP Name Line–2.
521–522
Reserved2Enter blanks.
523–562
NQI/FLW-
THR/PTP
Street Line–1
40Enter the mailing address of the NQI/FLW-THR or PTP entity. The street address should
include the number, street, apartment, or suitenumber (or P.O. Box if mail is not delivered to
street address). Abbreviate as needed. Left-justify the information and fill unused positions
with blanks.
563–602
NQI/FLW-
THR/PTP
Street Line–2
40Enter supplementary NQI/FLW-THR or PTP entity street address information; otherwise,
enter blanks.
603–642 NQI/FLW-
THR/PTP
City
40Enter the city or town (or other locality name). Left-justify the information and fill unused
positions with blanks.
643–644 NQI/FLW-
THR/PTP
State Code
2Enter the two-alpha character state code (see table Part A, Sec. 14). If a state code or
APO/FPO is not applicable, enter blanks.
645–646
NQI/FLW-
THR/PTP
Province
Code
2Enter the two-alpha character Province Codeabbreviation, if applicable. See “T” Record
positions 117–118.
647–648 NQI/FLW-
THR/PTP
Country
Code
2Enter the two-character Country Code abbreviation, where the NQI/FLW-THR or PTP is
located. If the NQI/FLW-THR or PTP has a U.S. address, enter blanks.
649–657
NQI/FLW-
THR/PTP
Postal Code
or ZIP Code
9Enter the alphanumeric foreign postal codeor U.S. ZIP Code for all U.S. addresses includ-
ing territories, possessions, and APO/FPO. Enter the code in the left most position and blank
fill the remaining positions.
658–666
NQI/FLW-
THR/PTP
U.S. TIN
9Enter the NQI/FLW-THR or PTP nine-digit U.S. Taxpayer Identification Number (TIN), if
any. Do not enter hyphens or alpha characters.
667–706 Payer’s
Name
40Enter the name of the Payer of Income if different from the Withholding Agent. Abbreviate
as needed. If the Withholding Agent and Payer are the same, enter blanks.
707–715
Payer’s U.S.
TIN
9Enter the Payer’s U.S. Taxpayer Identification Number if there is an entry in the Payer Name
Field; otherwise, enter blanks.
716–727 State Income
Tax Withheld
12If State Tax has been withheld, enter thatamount in whole dollars (do not enter cents).
Right-justify the information and fill unused positions with zeros. If this field is not utilized,
enter zeros.
Note:This amount is not included in the U.S. Federal Tax fields.
2012–39 I.R.B.408September 24, 2012

Record Name: Recipient “Q” Record
Field
Positions Field TitleLength Description and Remarks
728–737 Payer’s State
Tax Number
10Enter the employer state I.D. number if assigned by the state. Left-justify the information
and fill unused positions with blanks.
738–739 Payer’s State
Code
2Enter the two-characterState Code abbreviation.
740–760 Special Data
Entries
21This field may be used for the filer’s own purposes. If this field is not utilized, enter blanks.
761U.S. Federal
Tax Withheld
Indicator
1
Required.Indicate if the U.S. Federal tax withheldwas correct or incorrect using the fol-
lowing values:
• 0 = Correctly reported
• 1 = Over withheld
• 2 = Under withheld
Note : Please refer to Total withholding Credit positions 383–394.
762–783 Recipient’s
Foreign Tax
I.D. Number
22Enter the recipient’s identifying number. Useonly characters listed in Note 3. Left-justify
the information and fill unused positions with blanks.
784–809 Reserved26Enter blanks.
810Amended
Return
Indicator
1Required for amended returns only. Enter the appropriate code:
CodeDefinition
GA one-step transaction amended return or the first of a two-step
transaction amended return
CThe second transaction of a two-step transaction amended return
BlankIf this is not a return being submitted to amend information already
processed by IRS
Note:Amended C and G coded records must be reported using separate Payer “W” Records. Refer to Part A, Sec. 9, for specific
instructions on how to file amended returns. Non-coded records cannot be submitted in Amended files.
811–818 Record
Sequence
Number
8
Required.Enter the number of the record as it appears within the file. The record sequence
number for the “T” Record will always be “1” (one), since it is the first record on the file
and there can only be one “T” Record in a file. Eachrecord, thereafter, must be incremental
by one in ascending numerical sequence, thatis, 2, 3, 4, etc. Right-justify numbers with
leading zeros in the field. For example, the “T” Record sequence number would appear as
“00000001” in the field, the first “W” Record would be “00000002,” the first “Q” Record,
“00000003,” the second “Q” Record, “00000004,” and so on until the final record of the
file, the “F” Record.
819–820 Blank or
Carriage
Return Line
Feed
2Enter blanks or carriage return line feed (CR/LF) characters.
September 24, 20124092012–39 I.R.B.

Recipient “Q” Record Layout
Record
Type
Return type
Indicator
Pro rata
Basis
Reporting
Income
Code
Gross
Income
Withholding
Allowance
Net Income
123
4–5
6–1718–2930–41
Tax RateExemption
Code
Recipient’s
Country of
Residence
Code for
Tax
Purposes
ReservedAmount
Repaid
Recipient
Account
Number
Recipient
Code
42–45
46–4748–49
50–59
60–7172–9192–93
Recipient’s
Name Line–1
Recipient’s
Name Line–2
Recipient’s
Name Line–3
Recipient’s
Street Line–1
Recipient’s
Street Line–2
Recipient’s
City
Recipient’s
State
94–133134–173174–213
214–253254–293
294–333
334–335
Recipient’s
Province
Code
Recipient’s
Country
Code
Postal or
ZIP Code
Recipient’s
U.S. TIN
Recipient’s
U.S. TIN
Type
U.S.
Federal Tax
Withheld
Withholding
By Other
Agents
336–337338–339340–348
349–357358359–370
371–382
Total
Withholding
Credit
ReservedNQI/FLW-
THR/PTP Name
Line–1
NQI/FLW-
THR/PTP
Name Line–2
NQI/FLW-
THR/PTP
Name Line–3
ReservedNQI/FLW-
THR/PTP
Street Line–1
383–394
395–400
401–440441–480
481–520521–522523–562
NQI/FLW-
THR/PTP Street
Line–2
NQI/FLW-
THR/PTP City
NQI/FLW-
THR/PTP State
Code
NQI/FLW-
THR/PTP
Province Code
NQI/FLW-
THR/PTP
Country Code
NQI/FLW-
THR/PTP
Postal Code
or ZIP Code
NQI/FLW-
THR/PTP U.S.
TIN
563–602
603–642643–644
645–646
647–648
649–657658–666
Payer’s
Name
Payer’s
U.S. TIN
State
Income Tax
Withheld
Payer’s
State Tax
Number
Payer’s
State Code
Special Data
Entries
U.S. Tax
Federal
Withheld
Indicator
667–706
707–715
716–727728–737738–739740–760761
Recipient’s
Foreign Tax
I.D. Number
ReservedAmended
Return
Indicator
Record
Sequence
Number
Blank or
Carriage
Return Line
Feed
762–783784–809810811–818819–820
2012–39 I.R.B.410September 24, 2012

Sec. 6. Reconciliation “C” Record
.01The “C” Record is a fixed record length of 820 positions and all positions listed are required. The “C” Record is a summary of
the number of “Q” Records for each Withholding Agent, Gross Amount Paid, and Total Withholding Credit.
.02This record will be written after the last “Q” Record filed for a given withholding agent. For each “W” Record and group of
“Q” Records on the file, there must be a corresponding “C” Record.
.03All alpha characters entered inthe “C” Record must be upper case.
Record Name: Reconciliation “C” Record
Field
Positions Field TitleLength Description and Remarks
1Record Type1
Required.Enter “C.”
2–9Total “Q” records8
Required.Enterthetotalnumberof“Q”Recordsforthis
withholding agent. Do not enter all zeros. For example, 53 “Q”
Records are entered as 00000053. See Part A, Sec. 4, Filing and
Retention Requirements. Right-justify the information and fill
unused positions with zeros.
10–15
Blank6Enter blanks.
16–30Total Gross Amount Paid
15Required.Enter the total gross income amount in whole dollars (do
not enter cents). For example report $600.00 as 000000000000600.
An income amount other than zero must be shown. Right-justify the
information and fill unused positions with zeros.
31–45
Total Withholding Credit
15Required.Enter the total aggregate amount of tax withheld by
you and any other withholding agent. This is the aggregate total
amount from the U.S. Federal Tax Withheld and Withholding By
Other Agents fields. Enter the amount in whole dollars (do not
enter cents). For example report $600.00 as 000000000000600.
Right-justify the information and fill unused positions with zeros.
46–810Reserved
765
Enter blanks.
811–818 Record Sequence Number8
Required.Enter the number of the record as it appears within
the file. The record sequencenumber for the “T” Record will
always be “1” (one), since it is the first record on the file and there
can only be one “T” Record in a file. Each record, thereafter,
must be incremental by one inascending numerical sequence,
that is, 2, 3, 4, etc. Right-justify numbers with leading zeros in
the field. For example, the “T” Record sequence number would
appear as “00000001” in the field, the first “W” Record would be
“00000002,” the first “Q” Record, “00000003,” the second “Q”
Record, “00000004,” and so on until the final record of the file,
the “F” Record.
819–820 Blank or Carriage Return Line
Feed
2Enter blanks or carriage return line feed (CR/LF) characters.
September 24, 20124112012–39 I.R.B.

Reconciliation “C” Record Layout
Record
Type
Total “Q”
Records
BlankTotal Gross
Amount
Paid
Total
Withholding
Credit
ReservedRecord
Sequence
Number
12–9
10–15
16–30
31–45
46–810811–818
Blank or
Carriage
Return Line
Feed
819–820
Sec. 7. End of Transmission “F” Record
.01The “F” Record is a fixed record length of 820 positions and allpositions listed are required. The “F” Record is a summary of
the number of withholding agents in the entire file.
.02This record will be written after the last “C” Record of the entire file. End the file with an End of Transmission “F” Record.
No data will be read after the “F” Record. Only a “C” Record may precede the “F” Record.
.03All alpha characters entered in the “F” Record must be upper case.
Record Name: End of Transmission “F” Record
Field
Positions
Field Title
Length
Description and Remarks
1Record Type1
Required.Enter “F.”
2–4Withholding Agent Count3
Required.Enter the total number of withholding agents on this file.
This count must be the same as the total number of “W” Records.
Right-justify the information and fill unused positions with zeros.
5–810
Reserved806Enter blanks.
811–818 Record Sequence Number8
Required.Enter the number of the record as it appears within
the file. The record sequencenumber for the “T” Record will
always be “1” (one), since it is the first record on the file and there
can only be one “T” Record in a file. Each record, thereafter,
must be incremental by one inascending numerical sequence,
that is, 2, 3, 4, etc. Right-justify numbers with leading zeros in
the field. For example, the “T” Record sequence number would
appear as “00000001” in the field, the first “W” Record would be
“00000002,” the first “Q” Record, “00000003,” the second “Q”
Record, “00000004,” and so on until the final record of the file,
the “F” Record.
819–820 Blank or Carriage Return Line
Feed
2Enter blanks or carriage return line feed (CR/LF) characters.
End of Transmission “F” Record Layout
Record
Type
Withholding
Agent Count
ReservedRecord
Sequence
Number
Blank or
Carriage
Return Line
Feed
12–4
5–810
811–818819–820
2012–39 I.R.B.412September 24, 2012

Part D. Extensions of Time and Waivers
Sec. 1. General - Extensions
.01Withholding agents can get an automatic 30-day extension of time to file by completing Form 8809,Application for Extension
of Time to File Information Returns. In addition, a request for an extension of time can be submitted in an electronic file or online
through the Filing Information Returns Electronically (FIRE) system.
Note:IRS encourages the withholding agent/transmitter communityto use the online fill-in form in lieu of the paper Form 8809. A
transmitter control code (TCC) is not required to use the online fill-in form option.
.02To complete the fill-in Form 8809 online on the FIRE system, (See Part B, Sec. 7, for instructions on connecting to the FIRE
system.) at the Main Menu, click “Extension of Time Request” andthenclick“Fill-inExtensionForm.”Thisoptionisonlyusedto
request an automatic 30-day extension. Extension requests completed online through the FIRE system receive an instant response if
completed properly and timely.
.03A paper Form 8809 may be submitted to IRS at the address listed in .08 of this section. This form may be used to request an
extension of time to file information returns submitted on paper or filed electronically. A separate form must be completed for each
withholding agent. Form 8809 may be computer generated or photocopied. Be sure to use the most recently updated version and
include all the pertinent information.
.04To be considered, an extension request must be postmarked, transmitted or completed online by the due date of the returns;
otherwise, the request will be denied. (See Part A, Sec. 7, for duedates.) If requesting an extension of time to file several types
of forms, use one Form 8809; however, Form 8809 or an extension file must be submitted no later than the earliest due date. For
example, if requesting an extension of time to file both Forms 1099-INT and 1042-S, submit Form 8809 on or before February 28 (or
March 15 if filing the returns electronically). A signature and a reason for the request are not required when requesting an automatic
30-day extension.
.05As soon as it is apparent that a 30-day extension of time to fileis needed, an extension request should be submitted. Request
an extension for the current tax year only. IRS does not begin processingextensionrequestsuntilJanuary.Itmaytakeupto30days
for IRS to respond to a paper extension request. Extensions completed online through the FIRE system receive instant results.
.06Under certain circumstances, a request for an extension of time may be denied. When a denial letter is received, any additional
or necessary information must be resubmitted within twenty days of the date of the letter.
.07Requesting an extension of time for multiple withholding agentsshould be done by completing the online fill-in form or in an
electronic file (see Sect. 3 for the record layout) through the FIRE system. A separate Form 8809 must be completed online for each
withholding agent when using the fill-in form option.
.08All requests for an extension of time filed on paper Forms 8809 must be sent using the following address:
Internal Revenue Service
Information Returns Branch
Attn: Extension of Time Coordinator
240 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
Note:Due to the large volume of mail received by IRS and the time factor involved in processing Extension of Time (EOT) requests,
it is imperative that the attention line be present on all envelopes or packages containing Form 8809.
.09Requests for extensions of time to file postmarked by the United States Postal Service on or before the due date of the returns,
and delivered by United States mail to IRS after the due date, are treated as timely under the “timely mailing as timely filing” rule. A
similar rule applies to designated private delivery services (PDSs). Notice 97–26, 1997–17 I.R.B. 6, provides rules for determining
the date that is treated as the postmark date.For items delivered by a non-designated Private Delivery Service (PDS), the actual date
of receipt by IRS will be used as the filing date. For items delivered by a designated PDS, but through a type of service not designated
in Notice 2004–83, 2004–52 I.R.B.1030 the actual date of receipt by IRS will be used as the filing date. The timely mailing rule also
applies to furnishing statements to recipients and participants.
.10Transmitters requesting an extension of time with an electronic file will receive the file status results online. If the extension
requests are denied, the transmitters will receive a denial letter accompanied by a listof withholding agents covered under that denial.
.11If an extension request is approved, the approval notification should be kept on file. Do not send the approval notification or
copy of the approval notification to IRS or to the service center where the paper returns are filed. (An exception to this rule is: When
filing Form 8027 on paper only, attach a copy of the approval letter. If an approval letter has not been received, attach a copy of the
timely filed Form 8809.)
.12If an additional extension of time is needed, a Form 8809 and/orextension file must be sent by the initial extended due date.
Check the box on the form to indicate that an additional extension is being requested. Failure to properly complete and sign Form
September 24, 20124132012–39 I.R.B.

8809 may cause delays in processing the request or result in a denial. Carefully read and follow the instructions on the back of Form
8809. Be sure to include the reason an additional extension is needed. If requesting a second 30-day extension of time, submit the
information return files as soonas prepared. Do not wait for the IRS response to your second extension request. Requests for an
additional extension of time to file information returns are not automatically granted. Requests for additional time are granted only
in cases of extreme hardship or catastrophic event. The IRS will send a letter of explanation approving or denying requests for an
additional extension of time. (Refer to .11 of this Section.)
Sec. 2. Specifications for Filing Extensions of Time Electronically
.01The specifications in Sec. 3 include the required 200-byte record layout for extensions of time to file requests submitted elec-
tronically. The instructions for the information that is to be entered in the record are also included. Filers are advised to read this
section in its entirety to ensure proper filing.
.02If a filer does not have a Transmitter Control Code (TCC), Form 4419,Application for Filing Information Returns Electronically
(FIRE), must be submitted to obtain a TCC. This number must be used to submit extension requests in an electronic file. (See Part
A, Sec. 6.)
.03If requesting an additional extension of time, a Form 8809 must be faxed to IRB the same day as the transmission. Be sure to
include a signature and the reason anadditional extension is needed.
.04Do not submit tax year2012extension requests filed electronically beforeJanuary 4, 2013.
Sec. 3. Record Layout - Extension of Time
.01Positions 6 through 188 of the following record should contain informat
ion about the withholding agent for whom the extension
of time to file is being requested. Do not enter transmitter information i
n these fields. Only one TCC may be present in a file.
Record Layout for Extension of Time
Field
PositionField TitleLength Description and Remarks
1–5
Transmitter Control
Code
5Required. Enter the five-character alphanumeric Transmitter Control Code
(TCC) issued by IRS. Only one TCC per file is acceptable.
6–14Withholding Agent
TIN
9
Required. Enter the valid nine-digit EIN/SSN assigned to the withholding
agent. Do not enter blanks, hyphens or alpha characters. All zeros, ones, twos,
etc., will have the effect of an incorrectTIN. For foreign entities that are not
required to have a TIN, this field may be blank; however, the Foreign Entity
Indicator in position 187 must be set to “X.”
15–54
Withholding Agent
Name
40
Required. Enter the name of the withholding agent whose TIN appears in
positions 6–14. Left-justify the information and fill unused positions with blanks.
55–94
Second Withholding
Agent Name
40
Required.If additional space is needed, thisfieldmaybeusedtocontinuename
line information (for example, c/o First National Bank); otherwise, enter blanks.
95–134
Withholding Agent
Address
40
Required. Enter the withholding agent’s address. The street address should
include the number, street, apartment, or suite number (or P.O. box if mail is not
delivered to a street address)
135–174
Withholding Agent
City
40
Required. Enter the withholding agent’s city, town, or post office.
175–176
Withholding Agent
State
2
Required.Enter the withholding agent’s valid U.S. Postal Service state
abbreviation. (Refer to Part A, Sec. 14.)
177–185
Withholding Agent
ZIP Code
9
Required. Enter the withholding agent’s ZIP Code. If using a five-digit ZIP
Code, left-justify the information and fill unused positions with blanks.
186Document Indicator
(SeeNotebelow.)
1
Required.Enter“4.”
Note:Do not enter any other values in this field. Submit a separate record for each document. For example, when requesting an
extension for Form 1099-INT and Form 1042-S for the same withholding agent, submit one record with “2” coded in this field
and another record with “4” coded in this field. When requesting an extension for Form 1099-DIV and Form 1099-MISC for the
same withholding agent, submit one record with “2” coded in this field.
2012–39 I.R.B.414September 24, 2012

Record Layout for Extension of Time
Field
PositionField TitleLength Description and Remarks
187Foreign Entity
Indicator
1Enter “X” if the withholding agent is a foreign entity.
188Recipient Request
Indicator (SeeNote
below.)
1Enter “X” if the extension request is to furnish statements to the recipients of
the information returns.
Note:A separate file is required for this type of extension request. A file must contain either all blanks or all Xs in this field.
189–198Blank10Enter blanks.
199–200Blank2Enter blanks or carriage return/line feed (CR/LF) characters.
Extension of Time Record Layout
Transmitter
Control
Code
Withholding
Agent
TIN
Withholding
Agent
Name
Second
Withholding
Agent
Name
Withholding
Agent
Address
Withholding
Agent
City
1–5
6–14
15–5455–9495–134135–174
Withholding
Agent
State
Withholding
Agent Zip
Code
Document
Indicator
Foreign Entity
Indicator
Foreign
Entity
Indicator
Blank
175–176177–185
186187188189–198
Blank or
CR/LF
199–200
Sec. 4. Extension of Time for Recipient Copies of Information Returns
.01Request an extension of time to furnish the statements to recipients of Forms 1042-S by submitting a letter to IRS at the address
listed in Part D, Sec.1.08. The letter should contain the following information:
(a)Withholding agent name
(b)TIN
(c)Address
(d)Type of return
(e)Specify that the extension request isto provide statements to recipients
(f)Reason for the delay
(g)Signature of withholding agent or duly authorized person
.02Requests for an extension of time to furnish statements to recipients of Forms 1042-S are not automatically approved. If
approved, an extension will allow a maximum of 30 days from the due date. The request must be postmarked no later than the date
the statements are due to the recipients.
.03Generally, only the withholding agent may sign the letter requesting the extension for recipient copies. If a transmitter has a
contractual agreement with a withholding agent to submit extension requests on the withholding agent’s behalf, the transmitter should
state so in the letter requesting the extension.
.04Requests for extensions of time to file recipient copies formore than ten withholding agents are required to be submitted
electronically. (See Sec. 3, for the record layout.). When requesting extensions of time for recipient copies, asigned letter must be
faxed to IRB by the transmitter the same day as the transmission.Be sure to include the reason an extension for the recipient copies
is needed.
September 24, 20124152012–39 I.R.B.

.05Transmitters submitting an extension of time for recipient copies with an electronic file should not submit a list of withholding
agent names and TINs with the letter since this information is included in the electronic file.
.06The online fill-in Form 8809 extension option cannot be used to request an extension to furnish statements to recipients.
Sec. 5. Form 8508, Request for Waiver From Filing Information Returns Electronically
.01If a withholding agent is required to file electronically but fails to do so and does not have an approved waiver on record,
the withholding agent will be subject to a penalty of $100 per return in excess of 250. (For penalty information, refer to the Penalty
Section of the2012 General Instructions for Certain Information Returns.)
.02If withholding agents are required to file original or amended returns electronically, but such filing would create an undue hard-
ship, they may request a waiver from these filing requirements by submitting Form 8508,Request for Waiver from Filing Information
Returns Electronically, to IRS. Form 8508 can be obtained on the IRS website at www.IRS.gov or by calling 1–800–829–3676.
.03Although a withholding agent may submit as many as 249 returns on paper, IRS encourages electronic filing. Once the 250
threshold has been met, filers are required to submit any returns in excess of 250 electronically. If awaiver for original documents is
approved, any corrections for the same type of returns will be covered under that waiver.
.04Generally, only the withholding agent may sign Form 8508. A transmitter may sign if given power-of-attorney; however, a
letter signed by the withholding agent stating this fact must be attached to Form 8508.
.05A transmitter must submit a separate Form 8508 for each withholding agent. Do not submit a list of withholding agents.
.06All information requested on Form 8508 must beprovided to IRS for the request to be processed.
.07The waiver, if approved, will provide exemption from the electronic filing requirement for the current tax year only. Withhold-
ing agents may not apply for a waiver for more than one tax year at a time.
.08Form 8508 may be photocopied or computer-generated as long as itcontains all the information requested on the original form.
.09Filers are encouraged to submit Form 8508 to IRS at least 45 days before the due date of the returns. IRS does not process
waiver requests until January. Waiver requests received priorto January are processed on a first come, first serve basis.
.10All waiver requests must be sent to the following address:
Internal Revenue Service
Information Returns Branch
Attn: Extension of Time Coordinator
240 Murall Drive, Mail Stop 4360
Kearneysville, WV 25430
.11File Form 8508 for the W–2 series of forms with IRS, not SSA.
.12Waivers are evaluated on a case-by-case basis and are approved ordenied based on criteria set forth in the regulations under
section 6011(e) of the Internal Revenue Code. The transmitter must allow a minimum of 30 days for IRS to respond to a waiver
request.
.13If a waiver request is approved, keep the approval letter on file. Do not send a copy of the approved waiver to the service center
where the paper returns are filed.
.14An approved waiver only applies to the requirement for filing information returns electronically. The withholding agent must
still timely file information returnswith the appropriate service center on the official IRS paper forms or an acceptable substitute form.
2012–39 I.R.B.416September 24, 2012

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 ef-
fect:
Amplifieddescribes a situation where
no change is being made in a prior pub-
lished position, but the prior position is be-
ingextendedtoapplytoavariationofthe
fact situation set forth therein. Thus, if
an earlier ruling held that a principle ap-
plied to A, and the new ruling holds that the
same principle also applies to B, the earlier
ruling is amplified. (Compare withmodi-
fied,below).
Clarifiedis used in those instances
where the language in a prior ruling is be-
ing 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.
Distinguisheddescribes a situation
where a ruling mentions a previously pub-
lished ruling and points out an essential
difference between them.
Modifiedis 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
withamplifiedandclarified, above).
Obsoleteddescribes a previously pub-
lished ruling that is not considered deter-
minative with respect to future transac-
tions. This term is most commonly used in
a ruling that lists previously published rul-
ings 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.
Revokeddescribes situations where the
position in the previously published ruling
is not correct and the correct position is
beingstatedinanewruling.
Supersededdescribes a situation where
the new ruling does nothing more than re-
state the substance and situation of a previ-
ously published ruling (or rulings). Thus,
the term is used to republish under the
1986 Code and regulations the same po-
sition published under the 1939 Code and
regulations. The term is also used when
it is desired to republish in a single rul-
ing a series of situations, names, etc., that
were previously published over a period of
time in separate rulings. If the new rul-
ing does more than restate the substance
of a prior ruling, a combination of terms
is used. For example,modifiedandsu-
persededdescribes 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 pub-
lished ruling is first modified and then, as
modified, is superseded.
Supplementedis 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 rul-
ing has been supplemented several times, a
new ruling may be published that includes
the list in the original ruling and the ad-
ditions, and supersedes all prior rulings in
the series.
Suspendedis 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 fol
lowing abbreviations in current use
and for
merly used will appear in material
publis
hedintheBulletin.
A—Individual.
Acq.—A
cquiescence.
B—Individual.
BE—Beneficiary.
BK—Bank
.
B.T.A.—Board of Tax Appeals.
C—Individual.
C.B.—Cu
mulative Bulletin.
CFR—Code of Federal Regulations.
CI—City.
COOP—Coo
perative.
Ct.D.—Court Decision.
CY—County.
D—Decede
nt.
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—Emp
loyer.
ERISA—Employee Retirement Income Security Act.
EX—Executor.
F—Fiduc
iary.
FC—Foreign Country.
FICA—Federal Insurance Contributions Act.
FISC—Fo
reign International Sales Company.
FPH—Foreign Personal Holding Company.
F.R.—Federal Register.
FUTA—Fed
eral Unemployment Tax Act.
FX—Foreign corporation.
G.C.M.—Chief Counsel’s Memorandum.
GE—Grante
e.
GP—General Partner.
GR—Grantor.
IC—Insura
nce Company.
I.R.B.—Internal Revenue Bulletin.
LE—Lessee.
LP—Limited
Partner.
LR—Lessor.
M—Minor.
Nonacq.—No
nacquiescence.
O—Organization.
P—Parent Corporation.
PHC—Persona
l Holding Company.
PO—Possession of the U.S.
PR—Partner.
PRS—Pa
rtnership.
PTE—Prohibited Transaction Exemption.
Pub. L.—Public Law.
REIT—Re
al Estate Investment Trust.
Rev. Proc.—Revenue Procedure.
Rev. Rul.—Revenue Ruling.
S—Subsi
diary.
S.P.R.—Statement of Procedural Rules.
Stat.—Statutes at Large.
T—Target
Corporation.
T.C.—Tax Court.
T.D.—Treasury Decision.
TFE—Trans
feree.
TFR—Transferor.
T.I.R.—Technical Information Release.
TP—Taxpay
er.
TR—Trust.
TT—Trustee.
U.S.C.—Uni
ted States Code.
X—Corporation.
Y—Corporation.
Z—Corporat
ion.
September 24, 2012i2012–39 I.R.B.

Numerical Finding List
1
Bulletins 2012–27 through 2012–39
Announcements:
2012-26, 2012-27 I.R.B.8
2012-27, 2012-27 I.R.B.10
2012-28, 2012-27 I.R.B.10
2012-30, 2012-34 I.R.B.314
2012-31, 2012-34 I.R.B.315
2012-32, 2012-35 I.R.B.325
2012-33, 2012-35 I.R.B.325
2012-34, 2012-36 I.R.B.334
2012-35, 2012-38 I.R.B.356
Notices:
2012-39, 2012-31 I.R.B.95
2012-44, 2012-28 I.R.B.45
2012-45, 2012-29 I.R.B.59
2012-46, 2012-30 I.R.B.86
2012-47, 2012-31 I.R.B.98
2012-48, 2012-31 I.R.B.102
2012-49, 2012-31 I.R.B.119
2012-50, 2012-31 I.R.B.121
2012-51, 2012-33 I.R.B.150
2012-52, 2012-35 I.R.B.317
2012-53, 2012-35 I.R.B.317
2012-55, 2012-36 I.R.B.332
2012-56, 2012-39 I.R.B.370
Proposed Regulations:
REG-126770-06, 2012-38 I.R.B.347
REG-101812-07, 2012-34 I.R.B.311
REG-134042-07, 2012-27 I.R.B.5
REG-153627-08, 2012-29 I.R.B.60
REG-136491-09, 2012-35 I.R.B.321
REG-138489-09, 2012-38 I.R.B.355
REG-125570-11, 2012-30 I.R.B.93
REG-130266-11, 2012-32 I.R.B.126
REG-134935-11, 2012-29 I.R.B.64
REG-141832-11, 2012-28 I.R.B.54
REG-107889-12, 2012-28 I.R.B.53
REG-113738-12, 2012-29 I.R.B.66
Revenue Procedures:
2012-28, 2012-27 I.R.B.4
2012-29, 2012-28 I.R.B.49
2012-30, 2012-33 I.R.B.165
2012-31, 2012-33 I.R.B.256
2012-32, 2012-34 I.R.B.267
2012-33, 2012-34 I.R.B.272
2012-34, 2012-34 I.R.B.280
2012-35, 2012-37 I.R.B.341
2012-36, 2012-39 I.R.B.374
Revenue Rulings:
2012-19, 2012-28 I.R.B.16
2012-20, 2012-27 I.R.B.1
2012-21, 2012-32 I.R.B.123
2012-23, 2012-39 I.R.B.359
2012-24, 2012-36 I.R.B.329
2012-25, 2012-37 I.R.B.337
2012-26, 2012-39 I.R.B.358
Treasury Decisions:
9591, 2012-28 I.R.B.32
9592, 2012-28 I.R.B.41
9593, 2012-28 I.R.B.17
9594, 2012-29 I.R.B.57
9595, 2012-30 I.R.B.71
9596, 2012-30 I.R.B.84
9597, 2012-34 I.R.B.258
9598, 2012-38 I.R.B.343
1
A cumulative list of all revenue rulings, revenueprocedures, Treasury decisions, etc., publishedin Internal Revenue Bulletins 2012–1 through 2012–26 is in Internal Revenue Bulletin
2012–26, dated June 25, 2012.
2012–39 I.R.B.iiSeptember 24, 2012

Finding List of Current Actions on
Previously Published Items
1
Bulletins 2012–27 through 2012–39
Announcements:
83-196
Superseded by
Rev. Proc. 2012-31, 2012-33 I.R.B.256
85-141
Superseded by
Rev. Proc. 2012-31, 2012-33 I.R.B.256
2008-105
Modified and superseded by
Ann. 2012-34, 2012-36 I.R.B.334
Notices:
2009-24
Amplified by
Notice 2012-51, 2012-33 I.R.B.150
2012-51
Amplified by
Notice 2012-51, 2012-33 I.R.B.150
Proposed Regulations:
REG-100276-97
Withdrawn by
Ann. 2012-27, 2012-27 I.R.B.10
Revenue Procedures:
94-22
Modified and superseded by
Rev. Proc. 2012-35, 2012-37 I.R.B.341
95-15
Superseded by
Rev. Proc. 2012-31, 2012-33 I.R.B.256
98-32
Modified and superseded by
Rev. Proc. 2012-33, 2012-34 I.R.B.272
2007-38
Modified and superseded by
Rev. Proc. 2012-32, 2012-34 I.R.B.267
2011-40
Superseded by
Rev. Proc. 2012-30, 2012-33 I.R.B.165
2011-50
Superseded by
Rev. Proc. 2012-36, 2012-39 I.R.B.374
Treasury Decisions:
9752
Corrected by
Ann. 2012-35, 2012-38 I.R.B.356
1
A cumulative list of current actions on previously published items in Internal Revenue Bulletins 2012–1 through 2012–26 is in Internal Revenue Bulletin 2012–26, dated June 25, 2012.
September 24, 2012iii2012–39 I.R.B.

INDEX
Internal Revenue Bulletins 2012–27 through
2012–39
The abbreviation and number in parenthesis following the index entry
refer to the specific item; numbers in roman and italic type following
the parentheses refer to the Internal Revenue Bulletin in which the item
may be found and the page number on which it appears.
Key to Abbreviations:
AnnAnnouncement
CDCourt Decision
DODelegation Order
EOExecutive Order
PLPublic Law
PTEProhibited Transaction Exemption
RPRevenue Procedure
RRRevenue Ruling
SPRStatement of Procedural Rules
TCTax Convention
TDTreasury Decision
TDOTreasury Department Order
EMPLOYEE PLANS
Amendment of prohibited payment option under defined sin-
gle–employer defined benefit plan of plan sponsor in bank-
ruptcy (REG–113738–12) 29,66
Application of section 162(m)(4)(C) to dividends and dividend
equivalents (RR 19) 28,16
Election to include in gross income in year of transfer (RP 29)
28,49
Fast track settlement for TE/GE taxpayers (Ann 34) 36,334
Full funding limitations, weighted average interest rates, seg-
ment rates for:
July 1, 2012 (Notice 47) 31,98
August 1, 2012 (Notice 53) 35,317
September 1, 2012 (Notice 56) 39,370
Funding segment rates, 25–year average segment rates and ad-
justed 24–month average segment rates used for pension fund-
ing ( Notice 55) 36,332
Proposed Regulations:
26 CFR 1.411(d)–4, amended; amendment of prohibited pay-
ment option under defined single–employer defined benefit
plan of plan sponsor in bankruptcy (REG–113738–12) 29,
66
26 CFR 1.6081–11, amended; 301.6057–1, amended; report-
ing and notice requirements for deferred vested benefits un-
der section 6057 (REG–153627–08) 29,60
Reporting and notice requirements for deferred vested benefits
under section 6057 (REG–153627–08) 29,60
Revision of Rev. Proc. 94–22 (RP 35) 37,342
Underfunded plans, notice requirements (Notice 46) 30,86
EMPLOYMENT TAX
Background file document requests, processing fees, update to
Rev. Proc. 95–15 (RP 31) 33,256
Revisions to Rev. Proc. 98–32 (RP 33) 34,272
Third party payer issues and reporting agents, revisions to Rev.
Proc. 2007–38 (RP 32) 34,267
Wage recharacterization revenue ruling (RR 25) 37,337
ESTATE TAX
Background file document requests, processing fees, update to
Rev. Proc. 95–15 (RP 31) 33,256
Portability of a deceased spousal unused exclusion amount (TD
9593) 28,17; (REG–141832–11) 28,54
Proposed Regulations:
26 CFR 20.2001–2, added; 20.2010–0, thru –3, added;
25 CFR 25.2505–0 thru –2, added; portability of a deceased
spousal unused exclusion amount (REG–141832–11) 28,
54
Regulations:
26 CFR 20.2001–2T, added; 20.2010–0T thru –2T, added;
25.2505–0T thru –3T, added; 602.101, amended; portabil-
ity of a deceased spousal unused exclusion amount (TD
9593) 28,17
Valuation of certain farm, etc.,real property under section 2032A
(RR 26) 39,358
EXCISE TAX
Background file document requests, processing fees, update to
Rev. Proc. 95–15 (RP 31) 33,256
Disregarded entities and the indoor tanning services excise tax
(TD 9596) 30,84; (REG–125570–11) 30,93
Proposed Regulations:
26 CFR 1.1361–4, amended; 301.7701–2, amended; disre-
garded entities and the indoortanning services excise tax
(REG–125570–11) 30,93
Regulations:
26 CFR 1.1361–4, amended; 1.1361–4T, added;
301.7701–2T, added; disregarded entities and the indoor
tanning services excise tax (TD 9596) 30,84
EXEMPT ORGANIZATIONS
Additional requirements for charitable hospitals
(REG–130266–11) 32,126
Background file document requests, processing fees, update to
Rev. Proc. 95–15 (RP 31) 33,256
Fast track settlement for TE/GE taxpayers (Ann 34) 36,334
Proposed Regulations:
26 CFR 1.501(r)–0 thru –7, added; additional requirements
for charitable hospitals (REG–130266–11) 32,126
Revocations (Ann 32) 35,325
2012–39 I.R.B.ivSeptember 24, 2012

GIFT TAX
Background file document requests, processing fees, update to
Rev. Proc. 95–15 (RP 31) 33,256
Portability of a deceased spousal unused exclusion amount (TD
9593) 28,17; (REG–141832–11) 28,54
Proposed Regulations:
26 CFR 20.2001–2, added; 20.2010–0 thru –3, added; 25 CFR
25.2505–0 thru –2, added; portability of a deceased spousal
unused exclusion amount (REG–141832–11) 28,54
Regulations:
26 CFR 20.2001–2T, added; 20.2010–0T thru –2T, added;
25.2505–0T thru –3T, added; 602.101, amended; portabil-
ity of a deceased spousal unused exclusion amount (TD
9593) 28,17
INCOME TAX
Allocation of costs under the simplified methods
(REG–126670–12) 38,347
Application of section 162(m)(4)(C) to dividends and dividend
equivalents (RR 19) 28,16
Background file document requests, processing fees, update to
Rev. Proc. 95–15 (RP 31) 33,256
Basis of indebtedness of S corporations to their shareholders
(REG–134042–07) 27,5
Bonds:
Qualified energy conversation bonds (Notice 44) 28,45
Tribal economic development bonds (Notice 48) 31,102
Charitable contribution deduction (Notice 52) 35,317
Corporations, regulations under section 367(d) applicable to cer-
tain outbound asset reorganizations (Notice 39) 31,95
Credits:
Low-income housing credit:
Utility allowances submetering (REG–136491–09) 35,
321
Qualifying advance coal project section 48A credit (Notice
51) 33,150
Deductions for entertainment use of business aircraft (TD 9597)
34,258
Disciplinary actions involvingattorneys, certified public ac-
counts, enrolled agents, and enrolled actuaries (Ann 28) 27,
10; (Ann 33) 35,325
Dividend equivalents from sources within the United States; cor-
rection (Ann 35) 38,356
Election to include in gross income in year of transfer (RP 29)
28,49
Financial asset securitization investment trusts (Ann 27) 27,10
Forms:
1097, 1098, 3921, 3922, 5498, 8935, and W-2G, requirements
for filing electronically (RP 30) 33,165
1040-S, Foreign Person’s U.S. Source Income Subject to
Withholding, Electronically, specifications for filing elec-
tronically (RP 36) 39,374
Integrated transactions of qualifying debt (TD 9598) 38,343;
(REG–138489–09) 38,355
INCOME TAX—Cont.
Interest:
Investment:
Federal short-term, mid-term, and long-term rates for:
July 2012 (RR 20) 27,1
August 2012 (RR 21) 32,123
September 2012 (RR 24) 36,329
Rates:
Underpayment and overpayments, quarter beginning:
October 2012 (RR 23) 39,359
Marginal production rates, 2012 (Notice 50) 31,121
Modification to consolidated return regulation permitting an
election to treat a liquidationof a target, followed by a recon-
tribution to a new target, as a cross-chain reorganization (TD
9594) 29,57
Overall foreign loss recapture on property dispositions
(REG–134935–11) 29,64
Proposed Regulations:
26 CFR 1.42–10, –12, amended; utility allowances submeter-
ing (REG–136491–09) 35,321
26 CFR 1.108–7, amended; 1.366–0, amended; 1.1366–2, –5,
amended; 1.1367–1(h), amended; 1.1367–3, amended; ba-
sis of indebtedness of S corporations to their shareholders
(REG–134042–07) 27,5
26 CFR 1.263A–0, –2, amended; allocation of costs under the
simplified methods (REG–126670–12) 38,347
26 CFR 1.274–2, amended; 1.274–8, revised; reimbursed en-
tertainment expenses (REG–101812–07) 34,311
26 CFR 1.904–4, amended; 1.904(g)–3, amended; over-
all foreign loss recaptureon property dispositions
(REG–134935–11) 29,64
26 CFR 1.988–5T, added; integrated transactions of qualify-
ing debt ; (REG–138489–09 38,355
26 CFR 1.7874–3, added; substantial business activities
(REG–107889–12) 28,53
Publications:
1120, Specifications for filing Forms 1097, 1098, 3921, 3922,
5498, 8935, and W-2G, electronically, 2012 revision (RP
30) 33,165
1187, Specifications for filing Form 1042–S, Foreign Person’s
U.S. Source Income Subject to Withholding, Electronically,
revised (RP 36) 39,374
4810, Specifications for filing Form 8955–SSA, Annual Reg-
istration Statement Identifying Separated Participants With
Deferred Vested Benefits, Electronically (RP 34) 34,280
Qualifying income under section 7704(d) (RP 28) 27,4
Regulations:
26 CFR 1.61–21, amended; 1.274–9, –10, added; deductions
for entertainment use of business aircraft (TD 9597) 34,258
26 CFR 1.871–16T, amended; dividend equivalents from
sources within the United States; correction (Ann 35) 38,
356
26 CFR 1.904–0, –1, –2, –7, –8, amended; 1.904(f)–0T, –1T,
–2T, –7T, –8T, removed; 1.904(g)–0 thru –3 amended;
1.904(g)–0T thru –3T, removed; 1.502–9, amended,
1.1502–9T, removed; treatment of overall foreign and
domestic losses (TD 9595) 30,71
September 24, 2012v2012–39 I.R.B.

INCOME TAX—Cont.
26 CFR 1.988–5, added; integrated transactions of qualifying
debt (TD 9598) 38,343
26 CFR 1.1502–13, amended; 1.1502–13T, removed;
602.101, amended; modification to consolidated return
regulation permitting an election to treat a liquidation of a
target, followed by a recontribution to a new target, as a
cross-chain reorganization (TD 9594) 29,57
26 CFR 1.7874–1, amended; 1.7874–1T, removed; 1.7874–2,
added; surrogate foreigncorporations (TD 9591) 28,32
26 CFR 1.7874–3T, added; substantial business activities (TD
9592) 28,41
Reimbursed entertainment expenses (REG–101812–07) 34,311
Revisions to Rev. Proc. 98–32 (RP 33) 34,272
Revocations, exempt organizations (Ann 32) 35,325
Section 43 inflation adjustment, 2012 (Notice 49) 31,119
Substantial business activities (TD 9592) 28,41;
(REG–107889–12) 28,53
Surrogate foreign corporations (TD 9591) 28,32
Tax Conventions:
U.S.-Belgium agreement regarding taxes imposed by Bel-
gium municipalities (Ann 30) 34,314
U.S.-Canada agreement regarding OECD report on the attri-
bution of profits to permanent establishments (Ann 31) 34,
315
U.S.-Netherlands agreement of limited funds for mutual ac-
count (LFMA) (Ann 26) 27,8
Third party payer issues and reporting agents, revisions to Rev.
Proc. 2007–38 (RP 32) 34,267
Treatment of income from certain government bonds for pur-
poses of the passive foreign investment company (PFIC) rules
(Notice 45) 29,59
Treatment of overall foreign and domestic losses (TD 9595) 30,
71
SELF-EMPLOYMENT TAX
Background file document requests, processing fees, update to
Rev. Proc. 95–15 (RP 31) 33,256
2012–39 I.R.B.viSeptember 24, 2012

Internal Revenue Service
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ashington,DC20224
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