3 Day Notice To Report
3 Day Notice To Report
3 Day Notice To Report
The IRS has indicated that regulations now require each Bill of Exchange presented into the private
sector must also be attached to a 1099 OID that requires notification to the IRS of the transaction.
Major changes took place in the operation of the Federal Reserve beginning January 1, 2001. All public
windows were closed at all Federal Reserve Banks. Only member banks of the Federal Reserve can do
business with them.
With one exception all Federal Reserve Banks no longer process non-electronic negotiable instruments.
Pass-thru negotiable instruments such as the Bill of Exchange must be processed through a local
financial institution sent directly to the Secretary of the Treasury via Certified Mail.
All other non-cash commercial paper is now handled through the Depository Trust Corporation. (DTC).
The Department of the Treasury Bank (DTB), the Federal Reserve and many local banks acknowledge the
lawful Bill of Exchange. However, these documents directed to the Secretary of the Treasury must be
presented through a financial institution, signed by them (bonded) as the agent for direct presentment. Upon
honor of the document by the Secretary of the Treasury, the bank is authorized to release the hold and credit
the Claimant’s account. According to banking regulations, Witkin- Negotiable Instruments - and an increasing
number of court decisions the Bill of Exchange is to be treated the same as a check except it must be sent
directly to the Secretary via Certified Mail. Complete routing instructions must be included (Letter of Advice) in
order for the Bill of Exchange to be processed and honored. Each Bill of Exchange set of documents is to be
attached to an IRS 1099 OID form. Each set of document must be delivered via Certified mail to the Secretary.
Only the Secretary of the Treasury has the authority and jurisdiction to honor or dishonor these negotiable
instruments.
Some government agents attempt to usurp that authority and many such documents
have been misdirected to the Bureau of Public Debt.
Many “banks” attempt to reject these instruments even though the regulations and
the courts direct them to process them as instructed.
Issuers should report errors in and omissions from the list in writing at the following address:
REMIC and CDO information reporting requirements. Brokers and other middlemen must follow special
information reporting requirements for real estate mortgage investment conduit (REMIC) regular interests, and
collateralized debt obligation (CDO) interests. The rules are explained in Pub. 938. Holders of interests in
REMICs and CDOs should see chapter 1 of Pub. 550 for information on REMICs and CDOs. • IRS Filing
Information Returns Electronically (FIRE) system www.IRS.gov/FIRE
Accepted for assessed value and returned in exchange for closure and settlement of this accounting.
Date________________________, 2020