(4) Statement regarding whether same issue is in an earlier return (5) Statement regarding whether same or similar issue previously ruled on or requested, or currently pending (6) Statement of supporting authorities (7) Statement of contrary authorities (8) Statement identifying pending legislation (9) Statement identifying information to be deleted from copy of letter ruling or determination letter for public inspection (10) Signature by taxpayer or authorized representative (11) Authorized representatives (12) Power of attorney and declaration of representative (13) Penalties of perjury statement (14) Number of copies of request to be submitted (15) Sample format for a letter ruling request (16) Checklist for letter ruling requests .02 Additional information required in certain circumstances (1) To request separate letter rulings for multiple issues in a single situation (2) To designate recipient of original or copy of letter ruling or determination letter (3) To request a particular conclusion on a proposed transaction (4) To request expeditious handling (5) To receive a letter ruling or submit a request for a letter ruling by facsimile transmission .07 Retroactive effect of revocation or modification applied to a continuing action or series of actions .08 Generally not retroactively revoked or modified if related to sale or lease subject to excise tax .09 May be retroactively revoked or modified when transaction is entered into before the issuance of the letter ruling .10 May be retroactively revoked or modified when transaction is entered into after a change in material facts .11 Taxpayer may request that retroactivity be limited (1) Request for relief under § 7805(b) must be made in required format (2) Taxpayer may request a conference on application of § 7805(b) Has same effect as a letter ruling .02 Taxpayer may request that retroactive effect of modification or revocation be limited (1) Request for relief under § 7805(b) must be made in required format (2) Taxpayer may request a conference on application of § 7805(b) Requests for determination letters .03 Requests for letter rulings .01 .01 .01 Legislation authorizing user fees APPENDIX C-CHECKLIST SECTION 1. WHAT IS THE REVENUE PROCEDURE? Description of terms used in this revenue procedure Updated annually SEC. 2. IN WHAT FORM IS ASSOCIATE CHIEF COUNSEL (EMPLOYEE BENEFITS AND EXEMPT ORGANIZATIONS), ASSOCIATE CHIEF COUNSEL (ENFORCEMENT This revenue procedure explains how the Internal Revenue Service gives guidance to taxpayers on issues under the jurisdiction of the Associate Chief Counsel (Domestic), the Associate Chief Counsel (Employee Benefits and Exempt Organizations), the Associate Chief Counsel (Enforcement Litigation), and the Associate Chief Counsel (International). It explains the kinds of guidance and the manner in which guidance is requested by taxpayers and provided by the Service. A sample format of a request for a letter ruling is provided in Appendix B. For purposes of this revenue procedure, (1) any reference to District Directors or District Offices includes their respective offices or, when appropriate, the Assistant Commissioner (International); and (2) the word "taxpayer" includes all persons subject to any provision of the Internal Revenue Code (including issuers of § 103 obligations) and, when appropriate, their representatives. The revenue procedure is updated annually as the first revenue procedure of the year, but may be modified or amplified during the year. The Service provides guidance in the form of letter rulings, closing agreements, determination letters, information letters, revenue rulings, and oral advice. Closing agreement .01 A "letter ruling" is a written statement issued to a taxpayer by the Office of Associate Chief Counsel (Domestic), the Office of Associate Chief Counsel (Employee Benefits and Exempt Organizations), the Office of Associate Chief Counsel (Enforcement Litigation), or the Office of Associate Chief Counsel (International) (each hereafter referred to as the "National Office") that interprets and applies the tax laws to the taxpayer's specific set of facts. A letter ruling includes the written permission or denial of permission by the National Office to a request for a change in a taxpayer's accounting method or accounting period. Once issued, a letter ruling may be revoked or modified for any number of reasons, as explained in section 11 of this revenue procedure, unless it is accompanied by a "closing agreement." .02 A closing agreement is a final agreement between the Service and a taxpayer on a specific issue or liability. It is entered into under the authority in § 7121 and is final unless fraud, malfeasance, or misrepresentation of a material fact can be shown. Determination letter Information letter Revenue ruling Oral guidance A closing agreement may be entered into when it is advantageous to have the matter permanently and conclusively closed or when a taxpayer can show that there are good reasons for an agreement and that making the agreement will not prejudice the interests of the Government. In appropriate cases, a taxpayer may be asked to enter into a closing agreement as a condition to the issuance of a letter ruling. If, in a single case, a closing agreement is requested for each person in a class of taxpayers, each agreement is entered into only if the class consists of 25 or fewer. However, if the issue and holding are identical for the class and there are more than 25, a "mass closing agreement" will be entered into with the taxpayer who is authorized by the others to represent the class. .03 A "determination letter" is a written statement issued by a District Director that applies the principles and precedents previously announced by the National Office to a specific set of facts. It is issued only when a determination can be made based on clearly established rules in the statute, a tax treaty, or the regulations, or based on a conclusion in a revenue ruling, opinion, or court decision published in the Internal Revenue Bulletin that specifically answers the questions presented. A determination letter does not include assistance provided by the U.S. competent authority pursuant to the mutual agreement procedure in tax treaties as set forth in Rev. Proc. 91-23, 1991-1 C.B. 534, as amplified by Rev. Proc. 91-22, 1991-1 C.B. 526, and as clarified by Rev. Proc. 91-26, 1991-1 C.B. 543. .04 An "information letter" is a statement issued either by the National Office or by a District Director. It calls attention to a well-established interpretation or principle of tax law (including a tax treaty) without applying it to a specific set of facts. An information letter may be issued if the taxpayer's inquiry indicates a need for general information or if the taxpayer's request does not meet the requirements of this revenue procedure and the Service thinks general information will help the taxpayer. An information letter is advisory only and has no binding effect on the Service. .05 A "revenue ruling” is an interpretation by the Service that has been published in the Internal Revenue Bulletin. It is the conclusion of the Service on how the law is applied to a specific set of facts. Revenue rulings are issued only by the National Office and are published for the information and guidance of taxpayers, Service personnel, and other interested parties. Because each revenue ruling represents the conclusion of the Service regarding the application of law to the entire statement of facts involved, taxpayers, Service personnel, and other concerned parties are cautioned against reaching the same conclusion in other cases unless the facts and circumstances are substantially the same. They should consider the effect of subsequent legislation, regulations, court decisions, revenue rulings, notices, and announcements. See Rev. Proc. 89-14, 1989-1 C.B. 814, which states the objectives of and standards for the publication of revenue rulings and revenue procedures in the Internal Revenue Bulletin. .06 (1) No oral rulings, and no written rulings in response to oral requests. The Service does not orally issue letter rulings or determination letters, nor does it issue letter rulings or determination letters in response to oral requests from taxpayers. However, Service employees ordinarily will discuss with taxpayers or their representatives inquiries regarding whether the Service will rule on particular issues and questions relating to procedural matters about submitting requests for letter rulings or determination letters for a particular case. (2) Discussion possible on substantive issues. At the discretion of the Service and as time permits, substantive issues also may be discussed. However, such a discussion will not be binding on the Service and cannot be relied upon as a basis for obtaining retroactive relief under the provisions of § 7805(b). |