If you are filing more than 249 W-2cs in a tax year, you are required to file from the 250th W-2c onward on magnetic media. Since you may have filed the first 249 W-2cs on paper, Oracle provides the Mark Paper W-2c and Exclude From Future Tapes request set to denote that some W-2cs have been filed on paper with the government while others are picked up by the W-2c Magnetic Media process.

This process locks all assignments pertaining to the Employee W-2c Report process. Once you have submitted an Employee W-2c Report, those assignments marked by the Mark Paper W-2c and Exclude From Future Tapes request set are not included in the report produced by the Federal W-2c Magnetic Media process.