Reconciliation and Form W-2 and

1099 Inspection....................... 9-10

Disbursements.............................. 9-11

Related Returns............................ 9-11

Penalties....................................... 9-12

Backup Withholding.............................. 9-12

Statutes and Closing Procedures................. 9-12

Chapter 10 -- Information Returns/Penalties

Form 1099 Information Returns................... 10-1

Audit Techniques................................ 10-2

Other Issues............................... 10-4

Form 8300 Information Returns................... 10-4

Package Audit Requirements/Audit

Techniques............................ 10-5

Penalties....................................... 10-7

Failure to File Correct Information

Returns -- IRC section 6721........... 10-7

Failure to Furnish Correct Payee

Statements -- IRC section 6722........ 10-8

Backup Withholding.............................. 10-9

Abatement Procedure for Backup

Withholding.......................... 10-11

Glossary.............................................. G-1