Resolving E-file rejects for Return Type for a business extension

This article will help you resolve the e-file rejection:

• R0000-900: The return type indicated in the return header must match the return type established with the IRS for the EIN.
• F7004-905: In Form 7004, Line 1, 'ExtensionReturnCd' the return for which the extension is filed must match the return type established with the IRS for the EIN.

What does this mean?

• The entity type referred to in the rejection was established when the business filed for their Employer Identification Number (EIN) also know as a Federal Tax Identification Number. This goes on file with the IRS.
• The rejection occurs when the IRS cross checks their Records Database and discovers the entity type transmitted does not match the entity type on file in their database.

Example: If the business registered as an 1120, but the extension was e-filed for an 1120-S, this rejection would occure.

How to correct the rejection:

1. Re-transmitting the return without correcting or contacting the IRS will not resolve this issue.
2. Review the SS-4 to determine the correct entity type; if incorrect; enter the tax return in the correct tax return type prior to transmitting the return/extension.
3. Contact the IRS e-help desk to determine what the IRS database shows for the entity; refer to the IRS website for the current e-help desk phone number.
4. If the rejection continues with the corrected type of tax return the extension may need to be paper filed.