Rev. Proc. 82-7

SECTION 1. PURPOSE

The purpose of this revenue procedure is twofold: to state the requirements of the Internal Revenue Service regarding the reproduction, private design, and printing of substitute federal tax return Form 1040-ES, Declaration of Estimated Tax for Individuals, in lieu of the official form; and to state the Service's requirements regarding the acceptance of computer-prepared and computer-generated Forms 1040-ES.

SEC. 2. OFFICE OF MANAGEMENT AND BUDGET (OMB) REQUIREMENTS FOR ALL SUBSTITUTE FORMS

.01 New Legal Requirements of the Paperwork Reduction Act of 1980. Pub. L. 96-511 requires that: (1) OMB approve Internal Revenue Service tax forms, (2) each Service form must contain (near the upper right corner) the OMB approval number and any applicable expiration date, and (3) each Service form (or its instructions) state why the Service is collecting the information, how it will be used, and whether or not the information is required to be furnished.

.02 Application to Substitute Forms.

1 Approval Number and Date Is Required. All substitute Forms 1040-ES must contain near the upper right corner the OMB number that is on the Service form.

2 Format Required

       OMB No. XXXX-XXXX (preferred)

.03 Obtaining OMB Number, Date, and Statement. The OMB approval number, expiration date (when applicable), and use and collection requirements may be obtained from the Service printed form (or its instructions), the reproduction proof (or instructions), or from the Service.

SEC. 3. DEFINITIONS

.01 Definitions Used in This Procedure (Relating to 1040-ES Tax Forms).

1 Substitute Form. A tax form that differs in any way from the official versions and is intended to replace the entire form printed and distributed by the Service. This term also covers those approved substitute formats and forms described in this revenue procedure. (A photocopy or a copy produced from an unchanged reproduction proof, supplied by the Service, is not a substitute form.)

2 Computer-Prepared Form. A preprinted form in which the taxpayer's name, address and tax entry information has been printed by a computer, computer-printer or other computer-type equipment, such as word-processing equipment.

3 Manually Prepared Form. A preprinted form in which the taxpayer's name, address and tax entry information is entered by an individual using pen, pencil, typewriter or other non-automated equipment.

4 Computer-Generated Tax Forms. A document that is entirely prepared by the use of a computer-printing device so that all the line numbers, line captions, and the tax amount data entries are in the same typeface. No graphics appear on the form.

5 Graphics. Those parts of the tax form that are not the tax amount entries or called-for information. Generally, these are line numbers, captions, instructions, rules and borders, special indicators, and rules or strokes created by typesetting, photo-graphics, photocomposition, etc.

6 Printed Form. A form produced using conventional printing processes, photocopying, or other similar processes.

7 Preprinted Pin-Fed Form. A form printed beforehand by conventional methods on paper with marginal perforations for use with automated and/or highspeed printing equipment.

SEC. 4. GENERAL INSTRUCTIONS

.01 When filing reproduced or privately printed Form 1040-ES, use the envelope enclosed with the taxpayer's 1040-ES package except as provided for in Sec. 5. The envelope is coded to identify the contents, to accelerate the processing, and to reduce processing costs. Do not use this envelope for other correspondence with the Service as its misuse could delay the correspondence.

02. Do not staple payment (check or money order, not cash) to the Form 1040-ES because removing it could cause tearing.

.03 The Service does not approve or disapprove the specific equipment or process used in reproducing official forms, but requires only that the reproduced forms satisfy the conditions stated in this revenue procedure.

.04 Reproduction meeting the above conditions may be used without prior approval of the Service. However, specific approval of a reproduction or substitute which deviates from these requirements must be requested and a sample of the proposed reproduction should be forwarded, by letter, to the Internal Revenue Service; Attention: Substitute Forms Program--TX:R:I; 1111 Constitution Avenue, N.W.; Washington, D.C. 20224, for consideration. Include how the form will be prepared and the weight of the paper used in printing the form.

.05 You cannot use your own preprinted label on tax returns filed with the Service. The ONLY label permitted is the one provided the taxpayers in their 1040-ES tax packages. Otherwise, the taxpayer's name and address must be entered on the return in the spaces provided.

.06 Preparers who desire to file substitute Forms 1040-ES must develop such substitutes using guidelines in this revenue procedure. Substitutes other than those described there must be approved by the Service before being filed.

.07 Changes to Tax Forms. Any person making changes to the Form 1040-ES tax form (EXCEPT THOSE ALLOWED BY REVENUE PROCEDURES) must obtain approval from the Service before filing the substitute.

.08 First-time users of substitute forms that have been designed using computer graphics must obtain prior approval before using the substitute forms.

.09 Determination of requests for approval of substitute Forms 1040-ES will be made after the Service's copy is finalized, usually in mid-October. Proposed substitutes should be sent to the address in 4.04 above, as much in advance of the filing period for the form as possible. This is to allow adequate time for analysis and response and to permit notice to our field offices.

.10 Once an approval is granted for the use of privately printed forms, you may be requested to send eleven (11) copies of each approved form to the address shown in Sec. 4.04 above. Approval is for a one-year period only (January through December) and must be resubmitted each year even if no changes are made to the Form 1040-ES. (See exception in Sec. 8.)

SEC. 5. PHYSICAL ASPECTS

.01 The conditions with respect to size, quality of paper, and color of both paper and ink are as follows:

1 Largest size permitted is 8 x 31/2 inches.

2 White paper and black ink.

3 Form must fit in the Service provided mailing envelope without folding.

4 Paper weight must equal or exceed the Service's form (40 lb. white writing paper).

5 Any privately provided envelope must contain the label "Form 1040-ES" on left center of envelope face (see official envelope for size and type of printing).

SEC. 6. REPRODUCTION PROOFS

.01 Specifications--Basic specifications such as margin, etc., will be printed in the top margin of the reproduction proofs and must be removed before printing. The official reproduction proof margins across the top, bottom, and sides must be maintained on all reproductions and privately printed Forms 1040-ES.

.02 Printers and others wishing to obtain reproduction proofs may send their requests to the Internal Revenue Service; Washington, D.C. 20224; Attention RM:FM:P. The request must include written agreement to pay charges upon receipt of an invoice. The Service mails invoices to requesters each July. A charge of $1.00 per page will be made for reproduction proofs regardless of page size.

SEC. 7. CONDITIONS

.01 Privately printed reproductions of Forms 1040-ES must meet the following conditions:

1 Must be exact facsimiles of the official forms. The private printing of these facsimiles must be produced by a photographic reproduction process.

2 Must be on chemical wood writing paper equal to or better than the quality used for official forms. The thickness of the stock should not be less than 0.0039 inch. Carbon bonded paper is prohibited from use for forms filed with the Service.

3 Must have a high standard of legibility, both as to original form and as to fill-in matter. The Service may reject reproductions with poor legibility.

.02 Reproduction of the official form and substitute forms which do not meet the requirements of this revenue procedure may not be filed in lieu of the official form.

SEC. 8. EXCEPTION TO NEED FOR WRITTEN APPROVAL

.01 If you have received written approval for a substitute form for use during calendar year 1981, you may design and use such forms for the 1982 calendar year without obtaining another written approval. This means that if you received written approval for a certain change or number of changes on a specified 1981 tax year form (not covered by other revenue procedures--such as Form 1042, W-2, 1099, etc.), you do not have to obtain written approval from the Service for the same changes for the 1982 tax year form PROVIDED: (1) you use the Official Service 1982 tax year form as your guide, and (2) you comply with the guidelines and instructions contained in current revenue procedures.

SEC. 9. COMPUTER-PREPARED FORMS 1040-ES

.01 You can FILL IN official Internal Revenue Service forms that have been privately prepared for use on computer or word processing equipment. These forms should be designed with a vertical spacing of six lines to the inch, and money amount columns wide enough to allow for the computer printing of ten characters.

.02 Adjustments. You may make minor vertical and horizontal spacing adjustments to allow for computer or word-processing printing. This includes widening the amount columns or tax entry areas so long as the adjustments do not exceed other provisions stated in revenue procedures. No prior approval is needed for these changes. However, the users of forms with such changes are bound by the "Agreement" in Sec. 12.

.03 You can ADJUST the graphics on printed Forms 1040-ES to allow for computer-printed or word processor fill-in. Only the areas listed in this revenue procedure may be changed without prior approval.

.04 Any other changes need prior written approval.

.05 You may omit all references to instructions on the form.

SEC. 10. COMPUTER-GENERATED FORMS 1040-ES

.01 All computer-generated forms must be prepared in the format shown in the exhibit included in this revenue procedure. The generated form should be 8 x 33/4 inches with vertical spacing of 6 lines per inch and horizontal spacing of 10 characters per inch.

.02 Margins. A one-quarter inch margin must be maintained across the top, bottom, and both sides (exclusive of any pin-fed holes) of all computer-generated substitutes. The margin allows for slight printing misalignment when forms are prepared on high-speed equipment.

SEC. 11. COMPUTER-GENERATED FORMS 1040-ES NOT SHOWN AS AN EXHIBIT IN THIS REVENUE PROCEDURE

.01 Persons or companies desiring to change the computer-generated Form 1040-ES shown in the exhibit MUST obtain prior approval before use.

.02 Format Arrangement. The format of each substitute form must follow the format of the official form as to item caption, line reference, line numbers, sequence, form arrangement and format, etc. Basically try to make the form look like the official one, with readability being a primary factor. Use periods and/or other special characters to separate the various parts and sections of the form. All line numbers and items must be printed even though an amount is not entered on the line.

.03 If you wish, you may submit any substitute form to the Service for approval consideration.

SEC. 12. AGREEMENT

Any person who uses substitute forms and makes all or part of the changes specified in this revenue procedure, agrees to the following stipulation: the Service presumes the changes are made in accordance with these procedures and, as such, will be noninterruptive to the processing of the tax return. Should any of the changes prove to be not exactly as described, and as a result become disruptive to the Service during processing of the tax return, the preparer agrees to accept the determination of the Service as to whether or not the form may continue to be used during the filing season, and also agrees to work with the Service in correcting noted deficiencies. Notification of deficiencies may be made by letter, phone call or both.

SEC. 13. EFFECT ON OTHER DOCUMENTS

This revenue procedure supersedes Rev. Proc. 79-56, 1979-2 C.B. 539.

SEC. 14. EXHIBITS SECTION

EXHIBIT - COMPUTER GENERATED FORM 1040-ES

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