Internal Revenue Bulletin 2000-22 (PDF rendition): IRS Revenue Procedures

Preserve advance releases and the authoritative Internal Revenue Bulletin rendition; directory timestamps are file-publication metadata, not legal effective dates. HTML bulletins begin June 2003; earlier available issues require full PDF parsing. Whole bulletin rendition: numbered items are identified below; other legal material and publisher context remain included. This is not a new standalone advance release.

EXEMPT ORGANIZATIONS
Announcement 2000–52, page 1142.
A list is given of organizations now classified as private foun-
dations.
ESTATE TAX
Rev. Rul. 2000–26, page 1124.
Special use value; farms; interest rates.The 2000 inter-
est rates to be used in computing the special use value of
farm real property for which an election is made under sec-
tion 2032A of the Code are listed for estates of decedents.
TAX CONVENTIONS
Page 1126.
The bilateral agreement between the United States and the
Kingdom of Saudi Arabia, providing for the reciprocal tax ex-
emption of income from the international operation of ships
and/or aircraft, is set forth.
ADMINISTRATIVE
Rev. Proc. 2000–24, page 1133.
Magnetic media/electronic filing program; Form
1040 NR. Participants in the Magnetic Media/Electronic Fil-
ing Program for Form 1040NR, U.S. Nonresident Alien In-
come Tax Return, are informed of their obligations to the
Service, taxpayers, and other participants. Rev. Proc.
99–25 superseded.
Announcement 2000–51, page 1141.
This document provides advance notice of a proposed rule-
making and solicits comments to amend Circular 230, ap-
pearing in 31 CFR Part 10, which governs the rules of prac-
tice before the IRS.
Announcement 2000–53, page 1144.
This document contains corrections to final regulations (T.D.
8879, 2000–16 I.R.B. 882) relating to the kerosene tax
under section 4081 of the Code.
Internal Revenue
bbuulllleettiinn
Bulletin No. 2000–22
May 30, 2000
HIGHLIGHTS
OF THIS ISSUE
These synopses are intended only as aids to the reader in
identifying the subject matter covered. They may not be
relied upon as authoritative interpretations.
Department of the Treasury
Internal Revenue Service
Finding Lists begin on page ii.
Announcement of Disbarments and Suspensions begins on page 1145.

May 30, 20002000–22 I.R.B.
The Internal Revenue Bulletin is the authoritative instrument
of the Commissioner of Internal Revenue for announcing offi-
cial rulings and procedures of the Internal Revenue Service
and for publishing Treasury Decisions, Executive Orders, Tax
Conventions, legislation, court decisions, and other items of
general interest. It is published weekly and may be obtained
from the Superintendent of Documents on a subscription
basis. Bulletin contents are consolidated semiannually into
Cumulative Bulletins, which are sold on a single-copy basis.
It is the policy of the Service to publish in the Bulletin all sub-
stantive rulings necessary to promote a uniform application
of the tax laws, including all rulings that supersede, revoke,
modify, or amend any of those previously published in the
Bulletin. All published rulings apply retroactively unless other-
wise indicated. Procedures relating solely to matters of in-
ternal management are not published; however, statements
of internal practices and procedures that affect the rights
and duties of taxpayers are published.
Revenue rulings represent the conclusions of the Service on
the application of the law to the pivotal facts stated in the
revenue ruling. In those based on positions taken in rulings
to taxpayers or technical advice to Service field offices,
identifying details and information of a confidential nature
are deleted to prevent unwarranted invasions of privacy and
to comply with statutory requirements.
Rulings and procedures reported in the Bulletin do not have
the force and effect of Treasury Department Regulations,
but they may be used as precedents. Unpublished rulings
will not be relied on, used, or cited as precedents by Service
personnel in the disposition of other cases. In applying pub-
lished rulings and procedures, the effect of subsequent leg-
islation, regulations, court decisions, rulings, and proce-
dures must be considered, and Service personnel and oth-
ers concerned are cautioned against reaching the same con-
clusions in other cases unless the facts and circumstances
are substantially the same.
The Bulletin is divided into four parts as follows:
Part I.—1986 Code.
This part includes rulings and decisions based on provisions
of the Internal Revenue Code of 1986.
Part II.—Treaties and Tax Legislation.
This part is divided into two subparts as follows: Subpart A,
Tax Conventions, and Subpart B, Legislation and Related
Committee Reports.
Part III.—Administrative, Procedural, and Miscellaneous.
To the extent practicable, pertinent cross references to
these subjects are contained in the other Parts and Sub-
parts. Also included in this part are Bank Secrecy Act Admin-
istrative Rulings. Bank Secrecy Act Administrative Rulings
are issued by the Department of the Treasury’s Office of the
Assistant Secretary (Enforcement).
Part IV.—Items of General Interest.
This part includes notices of proposed rulemakings, disbar-
ment and suspension lists, and announcements.
The first Bulletin for each month includes a cumulative index
for the matters published during the preceding months.
These monthly indexes are cumulated on a semiannual basis,
and are published in the first Bulletin of the succeeding semi-
annual period, respectively.
The IRS Mission
Provide America’s taxpayers top quality service by help-
ing them understand and meet their tax responsibilities
and by applying the tax law with integrity and fairness to
all.
Introduction
The contents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.
For sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, DC 20402.

Section 2032A.—Valuation of
Certain Farm, etc., Real
Property
26 CFR 20.2032A–4: Method of valuing farm real
property.
Special use value; farms; interest
rates.The 2000 interest rates to be used
in computing the special use value of
farm real property for which an election is
made under section 2032A of the Code
are listed for estates of decedents.
Rev. Rul. 2000–26
This revenue ruling contains a list of
the average annual effective interest rates
on new loans under the Farm Credit Bank
system. This revenue ruling also contains
a list of the states within each Farm Credit
Bank District.
Under § 2032A(e)(7)(A)(ii) of the In-
ternal Revenue Code, rates on new Farm
Credit Bank loans are used in computing
the special use value of real property used
as a farm for which an election is made
under § 2032A. The rates in this revenue
ruling may be used by estates that value
farmland under § 2032A as of a date in
2000.
Average annual effective interest rates,
calculated in accordance with § 2032A-
(e)(7)(A) and § 20.2032A–4(e) of the Es-
tate Tax Regulations, to be used under
§ 2032A(e)(7)(A)(ii), are set forth in the ac-
companying Table of Interest Rates (Table
1). The states within each Farm Credit
Bank District are set forth in the accom-
panying Table of Farm Credit Bank Dis-
tricts (Table 2).
Rev. Rul. 81–170, 1981–1 C.B. 454,
contains an illustrative computation of an
average annual effective interest rate.
The rates applicable for valuation in 1999
are in Rev. Rul. 99–20, 1999–18 I.R.B. 5.
For rate information for years prior to
1999, see Rev. Rul. 98–22, 1998–1 C.B.
999, and other revenue rulings that are
referenced therein.
DRAFTING INFORMATION
The principal author of this revenue
ruling, is the Office of Assistant Chief
Counsel (Passthroughs and Special Indus-
tries). For further information regarding
this revenue ruling, contact Lane Damazo
on (202) 622-3090 (not a toll-free call).
May 30, 200011242000–22 I.R.B.
Part I. Rulings and Decisions Under the Internal Revenue Code of 1986
REV. RUL. 2000–26 TABLE 1
TABLE OF INTEREST RATES
(Year of Valuation 2000)
Farm Credit Bank District inInterest
Which Property Is LocatedRate
Columbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9.82
Omaha/Spokane . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8.10
Sacramento . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8.06
St. Paul . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8.26
Springfield . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8.93
Texas . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8.19
Wichita . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8.18
REV. RUL. 2000–26 TABLE 2
TABLE OF FARM CREDIT BANK DISTRICTS
DistrictStates
Columbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Delaware, District of Columbia, Florida, Georgia, Maryland,
North Carolina, Pennsylvania, South Carolina, Virginia,
West Virginia.
Omaha/Spokane . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Alaska, Idaho, Iowa, Montana, Nebraska, Oregon, South
Dakota, Washington, Wyoming.
Sacramento . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Arizona, California, Hawaii, Nevada, Utah.
St. Paul . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Arkansas, Illinois, Indiana, Kentucky, Michigan, Minnesota,
Missouri, North Dakota, Ohio, Tennessee, Wisconsin.
Springfield . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Connecticut, Maine, Massachusetts, New Hampshire, New
Jersey, New York, Rhode Island, Vermont.
Texas . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Alabama, Louisiana, Mississippi, Texas.
Wichita . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Colorado, Kansas, New Mexico, Oklahoma.

Section 6012.—Persons
Required to Make Returns of
Income
26 CFR 1.6012–5: Composite return in lieu of
specified form.
What are the obligations of participants in the
Magnetic Media/Electronic Filing Program for
Form 1040NR, U.S. Nonresident Alien Income Tax
Return, to the Service, taxpayers, and other partici-
pants. See Rev. Proc. 2000–24, page 1133.
Section 6061.—Signing of
Returns and Other Documents
26 CFR 1.6061–1: Signing of returns and other
documents by individuals.
What are the obligations of participants in the
Magnetic Media/Electronic Filing Program for
Form 1040NR, U.S. Nonresident Alien Income Tax
Return, to the Service, taxpayers, and other partici-
pants. See Rev. Proc. 2000–24, page 1133.
2000–22 I.R.B.1125May 30, 2000

Subpart A.—Tax Conventions
The Kingdom of Saudi Arabia
AN AGREEMENT BETWEEN
THE GOVERNMENT OF THE
UNITED STATES OF AMERICA
AND
THE GOVERNMENT OF THE
KINGDOM OF SAUDI ARABIA
FOR
RECIPROCAL EXEMPTION OF
TAXES ON INCOME FROM THE
INTERNATIONAL OPERATION OF A
SHIP OR SHIPS OR AIRCRAFT
The Government of the United States
of America and the Government of the
Kingdom of Saudi Arabia, hereinafter
“the Contracting Parties”, desiring to con-
clude an Agreement for reciprocal exemp-
tion with respect to taxes levied on in-
come from the international operation of a
ship or ships or aircraft,
Have agreed as follows:
Article I
TAXES COVERED
1. This Agreement shall apply to all
taxes on income derived from the in-
ternational operation of a ship or ships
or aircraft imposed by each Contract-
ing Party irrespective of the manner in
which such taxes are levied.
2. There shall be regarded as taxes on in-
come derived from the international
operation of a ship or ships or aircraft
all taxes imposed on the total of such
income or imposed on elements of
such income.
3. The taxes to which this Agreement
shall apply are:
a) In the case of the Kingdom of Saudi
Arabia, any Saudi tax described in
paragraphs 1 and 2 (hereinafter re-
ferred to as “Saudi tax”); and
b) In the case of the United States,
Federal income taxes described in
paragraphs 1 and 2 imposed by the
U.S. Internal Revenue Code, in-
cluding the tax on gross income
imposed by section 887 and, as
provided in section 884(d)(2), the
branch profits tax (hereinafter re-
ferred to as “United States tax”).
Article II
DEFINITIONS
1. In this Agreement, unless the context
otherwise requires:
a) The terms “a Contracting Party”
and “the other Contracting Party”
mean the Government of the King-
dom of Saudi Arabia or the Gov-
ernment of the United States of
America, as the context requires;
b) The term “tax” means “Saudi tax”
or “United States tax”, as the con-
text requires;
c) The term “operation of a ship or
ships or aircraft” means the trans-
portation by sea or air, as the con-
text requires, of persons, baggage,
livestock, goods, merchandise or
mail, including the sale of tickets
and similar documents used for the
purpose of such transport, and other
directly related activities, carried
on by the owner, lessor, or charterer
of a ship or aircraft;
d) The term “international operation”
or “international transport” means
operation as defined in paragraph
(c), except where the operation of
the ship or aircraft is solely between
places in a Contracting Party;
e) The term “income derived from the
international operation of a ship or
ships or aircraft” includes:
i) Income derived from the rental
on a full (time or voyage) basis of
a ship or ships or aircraft used in
international transport;
ii) Income derived from the rental
an a bareboat basis of a ship or
ships or aircraft used in interna-
tional transport;
iii) Income derived from the rental
of containers and related equip-
ment used in international trans-
port that is incidental to income
from the international operation
of a ship or ships or aircraft;
iv) Gains from the sale or other
alienation of a ship or ships or
aircraft used in international
transport;
v) Income derived from the interna-
tional operation of a ship or
ships or aircraft by an individual
resident of a Contracting Party,
or a corporation organized in a
Contracting Party, engaged in
the international operation of a
ship or ships or aircraft from its
participation in a pool, an al-
liance, joint businesses, interna-
tional operating agency, or other
venture that is itself engaged in
the international, operation of a
ship or ships or aircraft;
f) For Saudi tax purposes, open tax-
able years are taxable years for
which taxes have not been paid for
any reason. For U.S. tax purposes,
open taxable years are taxable years
for which the statute of limitations
is not closed.
g) The term “competent authority”
means:
i) In the case of Saudi Arabia, the
Ministry of Finance & National
Economy; and
ii) In the case of the United States,
the Secretary of the Treasury or
his delegate.
2. In the application of the provisions of
this Agreement by a Contracting Party
any term not otherwise defined shall,
unless the context otherwise requires,
have the meaning which it has at that
time under the laws of that Contract-
ing Party relating to the taxes which
are the subject of this Agreement.
Article III
SHIPPING
AND AIR TRANSPORT
1. Income derived from the international
operation of a ship or ships or aircraft
by a corporation organized in a Con-
tracting Party and engaged in the in-
ternational operation of a ship or ships
or aircraft shall be exempt from tax by
the other Contracting Party.
2. In order for a corporation organized in a
Contracting Party to claim benefits
under this agreement, it must satisfy any
ownership or public trading require-
ments, as well as any filing require-
ments, of the other Contracting Party.
3. Corporations of a Contracting Party en-
gaged in the international operation of
aircraft include those airlines desig-
nated under the Air Transport Agree-
ment between the Contracting Parties
May 30, 200011262000–22 I.R.B.
Part II. Treaties and Tax Legislation

or whose flights are otherwise autho-
rized by the civil aviation authority of
the receiving Contracting Party.
Article IV
CONSULTATION, SETTLEMENT OF
DISPUTES AND
AMENDMENT PROCEDURE
1. Consultation may be requested in
writing at any time by either Contract-
ing Party. Such consultation shall
commence within sixty (60) days of
the date of such written request.
2. The competent authorities of the Con-
tracting Parties shall endeavor to re-
solve by mutual agreement any dis-
pute regarding the interpretation or
application of this Agreement and
shall not refer any such dispute to any
international tribunal or third party for
settlement.
3. This Agreement may be amended by
written agreement of the Contracting
Parties.
Article V
ENTR
Y INTO FORCE
1. The Contracting Parties shall notify
each other in writing through diplo-
matic channels when their respective
legal procedures for entry into force
have been met with respect to this
Agreement.
2. The Agreement shall enter into force
as of the date of the latter of the notifi-
cations required pursuant to paragraph
1 of this Article V and the provisions
of this Agreement shall have effect
with respect to all taxable years begin-
ning on or after January 1, 1999, and
to all prior open taxable years.
Article VI
TERMINA
TION
This Agreement may be terminated by
either Contracting Party giving written
notice of termination through diplomatic
channels or as a consequence of a legisla-
tive act by a Contracting Party. In the
case of termination by written notice
through diplomatic channels, the Agree-
ment shall cease to have effect for taxable
periods beginning on or after 1 January of
the calendar year next following the date
on which notice of termination was given.
If this Agreement is terminated as a con-
sequence of any legislative act, the Con-
tracting Party concerned shall give as
much notice of termination as feasible
and such termination shall take effect as
determined by such legislative act.
IN WITNESS WHEREOF, the under-
signed being duly authorized by their re-
spective Governments, have signed the
present Agreement.
DONE at Riyadh this eleventh day of
December one thousand nine hundred and
ninety-nine, corresponding to the third
day of Ramadan, one thousand four hun-
dred and twenty, in the Arabic and Eng-
lish languages.
FOR THE GOVERNMENT OF THE
UNITED STATES OF AMERICA:
Wyche Fowler, Jr.
United States Ambassador
to the Kingdom of Saudi Arabia
FOR THE GOVERNMENT OF THE
KINGDOM OF SAUDI ARABIA:
Dr. Ibrahim Abdulaziz Al-Assaf
Minister of Finance and
National Economy
2000–22 I.R.B.1127May 30, 2000

May 30, 200011282000–22 I.R.B.

2000–22 I.R.B.1129May 30, 2000

May 30, 200011302000–22 I.R.B.

2000–22 I.R.B.1131May 30, 2000

May 30, 200011322000–22 I.R.B.

26 CFR 601.602 : Tax forms and instructions.
(Also Part I, §§ 6012, 6061; 1.6012–5, 1.6061–1.)
Rev. Proc. 2000–24
CONTENTS
SECTION 1PURPOSE
SECTION 2BACKGROUND AND
CHANGES
SECTION 31040NR PROGRAM
PARTICIPANTS—
DEFINITIONS
SECTION 4ACCEPTANCE INTO
THE 1040NR PRO-
GRAM
SECTION 5RESPONSIBILITIES
OF A 1040NR FILER
SECTION 6PENALTIES
SECTION 7FORM 8453–NR, U.S.
NONRESIDENT
ALIEN INCOME TAX
DECLARATION FOR
MAGNETIC MEDIA
FILING
SECTION 8INFORMATION A
1040NR FILER MUST
PROVIDE TO THE
TAXPAYER
SECTION 9DIRECT DEPOSIT OF
REFUNDS
SECTION 10BALANCE DUE RE-
TURNS
SECTION 11ADVERTISING
STANDARDS FOR
1040NR FILERS AND
FINANCIAL INSTI-
TUTIONS
SECTION 12MONITORING AND
SUSPENSION OF A
1040NR FILER
SECTION 13ADMINISTRATIVE
REVIEW PROCESS
FOR DENIAL OF PAR-
TICIPATION IN THE
1040NR PROGRAM
SECTION 14ADMINISTRATIVE
REVIEW PROCESS
FOR SUSPENSION
FROM THE 1040NR
PROGRAM
SECTION 15EFFECT ON OTHER
DOCUMENTS
SECTION 16EFFECTIVE DATE
SECTION 17PROJECT OFFICE
INFORMATION
SECTION 1. PURPOSE
This revenue procedure informs those
who participate in the Magnetic
Media/Electronic Filing Program for
Form 1040NR, U.S. Nonresident Alien
Income Tax Return (“1040NR Program”),
of their obligations to the Internal Rev-
enue Service, taxpayers, and other partici-
pants. This revenue procedure updates
and supersedes Rev. Proc. 99–25,
1999–21 I.R.B. 24.
SECTION 2. BACKGROUND AND
CHANGES
.01 Section 1.6012–5 of the Income Tax
Regulations provides that the Commis-
sioner may authorize the use, at the option
of a person required to make a return, of a
composite return in lieu of any form speci-
fied in 26 CFR Part 1 (Income Tax), sub-
ject to the conditions, limitations, and spe-
cial rules governing the preparation,
execution, filing, and correction thereof as
the Commissioner may deem appropriate.
.02 For purposes of this revenue proce-
dure, a magnetically or electronically
filed Form 1040NR is a composite return
consisting of data submitted on magnetic
tape, floppy disk, or via modem (the “data
portion”), and certain paper documents
(the “paper portion”). The paper portion
of the return consists of a Form 8453–NR,
U.S. Nonresident Alien Income Tax Dec-
laration for Magnetic Media Filing, and
other paper documents that cannot be
filed magnetically or electronically. Form
8453–NR must be received by the Service
before any composite return is complete
(see section 5.07 of this revenue proce-
dure). A composite return must contain
the same information that a return filed
completely on paper contains. See sec-
tion 7 of this revenue procedure for proce-
dures for completing Form 8453–NR.
.03 The Magnetic Media Project Office
(“Project Office”, see section 17 of this
revenue procedure for the address and
telephone numbers) will periodically
issue a list of the forms and schedules that
can be magnetically or electronically
filed.
.04 A Form 1040NR with a zero bal-
ance, balance due, or refund due may be
magnetically or electronically filed.
.05 For purposes of the 1040NR Pro-
gram, a Form 1040NR cannot be filed
magnetically or electronically after the
first Friday of December following the
close of the taxable year, notwithstanding
the fact that the taxpayer has been granted
an extension to file beyond that date.
.06 An amended tax return cannot be
filed magnetically or electronically under
the 1040NR Program. A taxpayer must
file an amended tax return on paper in ac-
cordance with the instructions for Form
1040X, Amended U.S. Individual Income
Tax Return.
.07 Upon request, the Project Office
will provide technical information (file
specifications, record layouts, and testing
procedures) for filing Form 1040NR mag-
netically or electronically.
.08 Some of the updates and changes to
Rev. Proc. 99–25 are as follows:
(1) the requirement that a return
originator must retain and make available
to the Service a complete copy of the data
portion of the taxpayer’s return is
amended to require that the data portion
can be converted into a paper return for-
mat should the Service request that format
(Section 5.11(4)(b)); and
(2) the requirement that a return
originator retain certain materials is
amended to require that the materials be
retained until the end of the calendar year
following the year in which a return was
filed (Section 5.11(5)).
SECTION 3. 1040NR PROGRAM
PARTICIPANTS—DEFINITIONS
.01 After acceptance into the 1040NR
Program, as described in section 4 of this
revenue procedure, a participant is re-
ferred to as a “1040NR Filer.”
.02 The 1040NR Filer categories are:
(1) 1040NR RETURN ORIGINA-
TOR. A “1040NR Return Originator” is:
(a) a “1040NR Return Preparer” who pre-
pares tax returns, including Forms
8453–NR, for taxpayers who intend to
have their returns magnetically or elec-
tronically filed; and/or (b) a “1040NR Re-
turn Collector” who accepts completed tax
returns, including Forms 8453–NR, from
taxpayers who intend to have their returns
magnetically or electronically filed.
(2) SERVICE BUREAU. A “Service
Bureau” receives tax return information
2000–22 I.R.B.1133May 30, 2000
Part III. Administrative, Procedural, and Miscellaneous

on any media from a 1040NR Return
Originator, formats the return informa-
tion, and either (a) sends back the return
information to the 1040NR Return Origi-
nator, or (b) forwards the return informa-
tion to a Transmitter. A Service Bureau
may send Forms 8453–NR to the Service.
(3) SOFTWARE DEVELOPER. A
“Software Developer” develops software
for the purposes of (a) formatting the data
portion of returns according to the Ser-
vice’s magnetic or electronic return filing
specifications; and/or (b) transmitting the
data portion of returns directly with the
Service. A Software Developer may also
sell its software.
(4) TRANSMITTER. A “Transmit-
ter” sends the data portion of a return di-
rectly to the Service.
.03 The 1040NR Filer categories are
not mutually exclusive. For example, a
1040NR Return Originator can, at the
same time, be considered a Transmitter,
Software Developer, or Service Bureau
depending on the function(s) performed.
SECTION 4. ACCEPTANCE INTO THE
1040NR PROGRAM
.01 Except as provided in sections 4.02
and 4.03 of this revenue procedure, a
1040NR Filer that has participated in the
most recent 1040NR Program does not
have to reapply to participate in the
1040NR Program. However, a 1040NR
Filer that intends to function as a Trans-
mitter or a Software Developer in the
1040NR Program must first successfully
complete the testing referred to in section
4.07 of this revenue procedure. In addi-
tion, section 4.08 of this revenue proce-
dure provides for the Service’s issuance
of credentials necessary for participation
in the 1040NR Program.
.02 Applicants and 1040NR Filers must
file a new Form MAR–8980, Application
for Electronic/Magnetic Media Filing of
Form 1040NR, with the Project Office if:
(1) the applicant has never partici-
pated in the 1040NR Program;
(2) the applicant has previously been
denied participation in the 1040NR Pro-
gram; or
(3) the applicant has been suspended
from the 1040NR Program.
.03 To participate in the 1040NR Pro-
gram, a 1040NR Filer in the most recent
1040NR Program must submit to the Pro-
ject Office either a revised Form
MAR–8980, or a letter containing the
same information contained in the revised
Form MAR–8980, if there is any change
to the following information:
(1) the Firm name or Doing Business
As (DBA) name;
(2) the business or mailing address;
(3) the contact person’s name or tele-
phone number; or
(4) the 1040NR Filer category.
.04 Applications described in this sec-
tion 4.02 of this revenue procedure may
be submitted at any time during the year.
.05 If an applicant purchases an exist-
ing 1040NR Filer’s business, a new appli-
cation and proof of sale must be submit-
ted during the period beginning 45 days
before, and ending 30 days after, the date
of the purchase.
.06 Revised applications described in
this section 4.03 of this revenue proce-
dure must be submitted within 30 days of
the change(s) reflected on the revised
Form MAR–8980 or in the letter.
.07 A 1040NR Filer may not submit tax
returns under the 1040NR Program until
30 days after it has successfully com-
pleted the necessary testing administered
by the Project Office.
.08 The Service will issue credentials to
eligible applicants, 1040NR Filers that do
not have to reapply pursuant to section
4.01 of this revenue procedure, and
1040NR Filers that comply with section
4.02 or 4.03 of this revenue procedure,
provided they have first satisfactorily
completed the testing described in section
4.07 of this revenue procedure if they in-
tend to function as a Transmitter or Soft-
ware Developer. No one may participate
in the 1040NR Program without the fol-
lowing credentials:
(1) a letter of acceptance into the
1040NR Program; and
(2) a Magnetic Tape 1040NR Filer
Identification Number (MTFIN).
.09 The following reasons may result in
rejection of an application to participate
in the 1040NR Program (this list is not
all-inclusive):
(1) conviction of any criminal of-
fense under the revenue laws of the
United States, or of any offense involving
dishonesty or breach of trust;
(2) failure to timely and accurately
file tax returns, including returns indicat-
ing that no tax is due;
(3) failure to timely pay any tax lia-
bilities;
(4) assessment of tax penalties;
(5) suspension/disbarment from
practice before the Service;
(6) disreputable conduct or other
facts that would reflect adversely on the
1040NR Program;
(7) misrepresentation on an applica-
tion;
(8) suspension or rejection from the
1040NR Program in a prior year;
(9) unethical practices in return
preparation;
(10) stockpiling returns prior to offi-
cial acceptance into the 1040NR Program
(see section 5.10 of this revenue proce-
dure);
(11) knowingly and directly or indi-
rectly employing or accepting assistance
from any firm, organization, or individual
that is prohibited from applying to partici-
pate in the 1040NR Program (see section
13.09 of this revenue procedure) or that is
suspended from participating in that Pro-
gram (see section 12.07 of this revenue
procedure). This includes any individual
whose actions resulted in the rejection or
suspension of a corporation or a partner-
ship from the 1040NR Program; or
(12) knowingly and directly or indi-
rectly accepting employment as an associ-
ate, a correspondent, or as a subagent, or
sharing fees with any firm, organization,
or individual that is prohibited from ap-
plying to participate in the 1040NR Pro-
gram (see section 13.09 of this revenue
procedure) or that is suspended from par-
ticipating in that Program (see section
12.07 of this revenue procedure). This in-
cludes any individual whose actions re-
sulted in the rejection or suspension of a
corporation or a partnership from the
1040NR Program.
SECTION 5. RESPONSIBILITIES OF A
1040NR FILER
.01 To ensure that complete returns are
accurately and efficiently filed, a 1040NR
Filer must comply with all publications
and notices of the Service related to mag-
netic or electronic filing. Currently, these
publications and notices include:
(1) Procedures for Magnetic Media
Filing of U.S. Nonresident Alien Income
Tax Returns, Form 1040NR (available
from the Project Office);
(2) File Specifications and Record
Layouts for Magnetic Media Filing of
May 30, 200011342000–22 I.R.B.

U.S. Nonresident Alien Income Tax Re-
turns, Form 1040NR (available from the
Project Office); and
(3) Postings to the Electronic Filing
System Bulletin Board (EFS Bulletin
Board).
.02 A 1040NR Filer must maintain a
high degree of integrity, compliance, and
accuracy.
.03 A 1040NR Filer may accept returns
for magnetic or electronic filing only
from the taxpayer filing the return, a rep-
resentative of the taxpayer filing the re-
turn, or from another 1040NR Filer.
.04 If a 1040NR Filer charges a fee for
the transmission of the data portion of the
tax return, the fee may not be based on a
percentage of the refund amount or any
other amount from the tax return. A
1040NR Filer may not charge a separate
fee for Direct Deposit. See section 9 of
this revenue procedure for a discussion of
Direct Deposit.
.05 A 1040NR Filer must submit a re-
vised Form MAR–8980 to the Project Of-
fice within 30 days of when any of the
conditions or changes described in section
4.03 of this revenue procedure occur.
.06 A 1040NR Filer must notify the
Project Office within 30 days of discon-
tinuing its participation in the 1040NR
Program. This does not preclude reappli-
cation in the future.
.07 A 1040NR Filer must ensure that it
promptly processes returns submitted to it
for magnetic or electronic filing. See sec-
tions 5.10, 5.16, and 5.17 of this revenue
procedure. However, a 1040NR Filer that
receives a return for magnetic or elec-
tronic filing on or before the due date of
the return must ensure that the data por-
tion of the return is transmitted on or be-
fore that due date (including extensions,
see section 5.08 of this revenue proce-
dure). A composite return is not consid-
ered filed until the data portion of the tax
return is acknowledged by the Service as
accepted for processing and a completed
and signed Form 8453–NR is received by
the Service. However, if the data portion
of a return is successfully transmitted on
or shortly before the due date and the
1040NR Filer complies with section 7.01
of this revenue procedure, the return will
be deemed timely filed. If the data por-
tion of a return is transmitted on or shortly
before the due date but is ultimately re-
jected, the return will be deemed timely
filed if the 1040NR Filer and the taxpayer
comply with section 5.14 of this revenue
procedure. In the case of a balance due
return, see section 10 of this revenue pro-
cedure for instructions on how to make a
timely payment of tax.
.08 Unless the Service grants an exten-
sion of time to file beyond the due date of
the return, a 1040NR Filer must ensure
that the return for any individual is re-
ceived by the Service on or before:
(1) April 15 (unless this date is a Sat-
urday, Sunday, or legal holiday in which
case the return must be received by the
next succeeding day which is not a Satur-
day, Sunday, or legal holiday) if the indi-
vidual was an employee and received
wages subject to U.S. federal income tax
withholding; or
(2) June 15 (unless this date is a Sat-
urday, Sunday or legal holiday in which
case the return must be received by the
next succeeding day which is not a Satur-
day, Sunday, or legal holiday) if the indi-
vidual did not receive such wages. How-
ever, section 2.05 of this revenue
procedure provides that a return cannot be
filed magnetically or electronically after
the first Friday of December following
the close of the taxable year.
.09 A 1040NR Filer must ensure
against the unauthorized use of its
MTFIN. A 1040NR Filer must not trans-
fer its MTFIN by sale, merger, loan, gift,
or otherwise to another entity.
.10 A 1040NR Filer is responsible for
ensuring that stockpiling does not occur.
Prior to official acceptance of the
1040NR Filer into the 1040NR Program,
stockpiling means collecting returns from
taxpayers. After official acceptance,
stockpiling means:
(1) in the case of a 1040NR Return
Originator, waiting for more than three
calendar days after receiving the neces-
sary information to submit a return to a
Transmitter or Service Bureau, or
(2) in the case of a Transmitter, wait-
ing for more than ten calendar days after
receiving the necessary information to
send the data portion of the return to the
Service.
.11 A 1040NR Filer that functions as a
Return Originator must:
(1) comply with the procedures for
completing Form 8453–NR described in
section 7 of this revenue procedure;
(2) comply with the procedures de-
scribed in section 10 of this revenue pro-
cedure for handling a balance due return;
(3) furnish the taxpayer with a copy
of the signed Form 8453–NR (except for
multiple return filing as described in sec-
tion 7.01(5) of this revenue procedure)
and, in the case of a prepared or corrected
return, a copy of the paper portion of the
return;
(4) while returns are being filed, re-
tain and, if requested, make available to
the Service the following material at the
business address from which a return was
accepted for magnetic or electronic filing:
(a) a copy of the signed Form
8453–NR; paper copies of Forms W-2,
Wage and Tax Statement; W-2G, Certain
Gambling Winnings; 1099–R, Distribu-
tions From Pensions, Annuities, Retire-
ment or Profit Sharing Plans, IRAs, Insur-
ance Contracts, etc.; and the paper portion
of the taxpayer’s return;
(b) a complete copy of the data
portion of the taxpayer’s return (which
may be retained on computer media) that
can be readily and accurately converted
into magnetic or electronic data that the
Service can process or convert into a
paper return format, should the Service
request that format; and
(c) the acknowledgement file
(stating that the Service accepts the data
portion of the taxpayer’s return for pro-
cessing) received from the Service or
from a third party Transmitter;
(5) retain until the end of the calen-
dar year following the year in which a re-
turn was filed and make available to the
Service, upon request, the materials de-
scribed in section 5.11(4) of this revenue
procedure, at the business address from
which a return was accepted for magnetic
or electronic filing or from the contact
person named on Form MAR–8980.
.12 A 1040NR Return Originator who
is the paid preparer of a magnetically or
electronically filed Form 1040NR must
also retain for the prescribed amount of
time the materials described in
§ 1.6107–1(b) that are required to be kept
by an income tax return preparer.
.13 A 1040NR Return Originator must
identify the paid preparer (if any) in the
appropriate field of the data portion of the
return, in addition to ensuring that the
paid preparer signed Form 8453–NR. If
Form 8453–NR is not signed by the paid
preparer, the 1040NR Return Originator
2000–22 I.R.B.1135May 30, 2000

must attach a copy of the Form 1040NR
originally signed by the paid preparer.
This copy must be marked “COPY-DO
NOT PROCESS” to prevent duplicate fil-
ings.
.14 If the Service rejects the data por-
tion of a taxpayer’s return (the Service
states that it rejects the data portion of a
taxpayer’s return for processing in the ac-
knowledgement file), and the reason for
the rejection cannot be rectified by the ac-
tions described in section 6.02(3) of this
revenue procedure, the 1040NR Return
Originator, within 24 hours of receiving
the rejection, must take reasonable steps
to tell the taxpayer that the taxpayer’s re-
turn has not been filed. If the taxpayer
chooses to have the data portion of the re-
turn resubmitted magnetically or electron-
ically, and the 1040NR Return Originator
successfully works with the Project Of-
fice to correct the problems causing the
data portion of the return to be rejected,
the return will be accepted as timely filed.
A new Form 8453–NR may be required
(see section 7 of this revenue procedure).
However, even when no new Form
8453–NR is required, the Transmitter
must submit a photocopy of the original
Form 8453–NR with the rejected file or
return and mark the photocopy “Retrans-
mitted.” If the Project Office determines
that the data portion of a return cannot be
accepted for processing or the taxpayer
chooses not to have the rejected data por-
tion of the return resubmitted magneti-
cally or electronically, the taxpayer must
file a paper return by the later of:
(1) the due date (with regard to any
extensions of time to file) of the return; or
(2) ten calendar days after the Ser-
vice gives notification that the data por-
tion of the return is rejected or that the
data portion of the return cannot be ac-
cepted for processing.
The paper return should include an expla-
nation of why the return is being filed
after the due date.
.15 A 1040NR Return Originator must
use the taxpayer’s address in the data por-
tion of the return. In addition, a 1040NR
Return Originator must not put its address
as the taxpayer’s address in the data por-
tion of the return.
.16 A 1040NR Filer that functions as a
Service Bureau must:
(1) deliver all data portions of re-
turns to a Transmitter or return them to
the 1040NR Return Originator who gave
the data portions of the returns to the Ser-
vice Bureau within three calendar days of
receipt;
(2) retrieve the acknowledgement
file from the Transmitter within one cal-
endar day of receipt by the Transmitter;
(3) send the acknowledgement file to
the 1040NR Return Originator (whether
related or not) within one work day of re-
trieving the acknowledgement file;
(4) if the Service Bureau processes
Forms 8453–NR, send back to the
1040NR Return Originator any return and
Form 8453–NR that needs correction, un-
less the correction is described in section
7.02(1) of this revenue procedure;
(5) accept tax return information
only from 1040NR Filers;
(6) include its MTFIN and the
1040NR Return Originator’s MTFIN with
all return information the Service Bureau
forwards to a Transmitter or sends back to
the 1040NR Return Originator;
(7) retain each acknowledgement file
received from a Transmitter until the end
of the calendar year in which the return
was filed;
(8) if requested, serve as a contact
point between its client 1040NR Return
Originator and the Service; and
(9) if requested, provide the Service
with a list of each client 1040NR Return
Originator.
.17 A 1040NR Filer that functions as a
Transmitter must:
(1) send to the Service all data por-
tions of returns within ten calendar days
of receipt;
(2) match the acknowledgement file
to the original transmission file and send
the acknowledgement file to the 1040NR
Return Originator or the Service Bureau
(whether or not the 1040NR Return Origi-
nator or the Service Bureau are related to
the Transmitter) within five calendar days
after receipt of the acknowledgement file
from the Service;
(3) retain a copy of the acknowl-
edgement file received from the Service
until the end of the calendar year in which
the return was filed;
(4) immediately contact the Project
Office for further instructions if an ac-
knowledgement of acceptance for pro-
cessing has not been received by the
Transmitter within 14 calendar days of
transmission, or if a Transmitter receives
an acknowledgement for a return that was
not transmitted on the designated trans-
mission;
(5) promptly correct any transmis-
sion error that causes a data portion of a
return to be rejected;
(6) contact the Project Office for as-
sistance if a data portion of a return has
been rejected after three transmission at-
tempts; and
(7) ensure the security of all trans-
mitted data.
.18 A Transmitter that provides trans-
mission services to another 1040NR Filer
must, in addition to the items covered in
section 5.17 of this revenue procedure,
also:
(1) accept returns for transmission to
the Service only from an accepted
1040NR Filer; and
(2) use its assigned MTFIN when fil-
ing returns.
.19 A 1040NR Filer that functions as a
Software Developer must:
(1) promptly correct any software
error that causes a data portion of a return
to be rejected;
(2) promptly distribute any software
correction made to its software packages
to all 1040NR Filers utilizing these pack-
ages; and
(3) not incorporate into its software a
Service-assigned production password.
.20 In addition to the specific responsi-
bilities described in this section, a
1040NR Filer must meet all the require-
ments in this revenue procedure to keep
the privilege of participating in the
1040NR Program.
SECTION 6. PENALTIES
.01 Penalties for Disclosure or Use of
Information.
(1) A 1040NR Filer, except a Soft-
ware Developer, is a tax return preparer
(“Preparer”) under the definition of
§ 301.7216–1(b) of the Regulations on
Procedure and Administration. A Pre-
parer is subject to a criminal penalty for
unauthorized disclosure or use of tax re-
turn information. See § 7216 of the Inter-
nal Revenue Code and § 301.7216–1(a).
In addition, § 6713 establishes civil
penalties for unauthorized disclosure or
use of tax return information.
(2) Under § 301.7216–2(h), disclo-
sure of tax return information among ac-
cepted 1040NR Filers for the purpose of
May 30, 200011362000–22 I.R.B.

preparing a return is permissible. For ex-
ample, a 1040NR Return Originator may
pass on tax return information to a Ser-
vice Bureau and/or a Transmitter for the
purpose of having the data portion of a re-
turn formatted and sent to the Service.
However, if the tax return information is
disclosed or used in any other way, a Ser-
vice Bureau and/or a Transmitter may be
subject to the penalties described in sec-
tion 6.01(1) of this revenue procedure.
.02 Other Preparer Penalties.
(1) Preparer penalties may be as-
serted against an individual or firm who
meets the definition of an income tax re-
turn preparer under §§ 7701(a)(36) and
301.7701–15. Preparer penalties that may
be asserted under appropriate circum-
stances include, but are not limited to,
those set forth in §§ 6694, 6695, and
6713.
(2) Under § 301.7701–15(d),
1040NR Return Collectors, Service Bu-
reaus, Software Developers, and Trans-
mitters are not income tax return prepar-
ers for the purpose of assessing most
preparer penalties as long as their services
are limited to “typing, reproduction, or
other mechanical assistance in the prepa-
ration of a return or claim for refund.”
(3) If a 1040NR Return Collector,
Service Bureau, Software Developer, or
Transmitter alters the return information
in a nonsubstantive way, this alteration
will be considered to come under the
“mechanical assistance” exception de-
scribed in § 301.7701–15(d)(1). A non-
substantive change is a correction or
change limited to a transposition error,
misplaced entry, spelling error, or arith-
metic correction that falls within one of
the following tolerances:
(a) the “Total tax”, “Total pay-
ments”, “Refund”, or “Amount you owe”
on Form 8453–NR differs from the corre-
sponding amount on the data portion of
the return by no more than $7;
(b) the “Total effectively con-
nected income” amount shown on Form
8453–NR differs from the corresponding
amount on the data portion of the return
by no more than $25; or
(c) dropping cents and rounding to
whole dollars.
(4) If a 1040NR Return Collector,
Service Bureau, or Transmitter alters the
return information in a substantive way,
rather than having the taxpayer alter the
return, the 1040NR Return Collector, Ser-
vice Bureau, or Transmitter will be con-
sidered to be an income tax return pre-
parer for purposes of § 7701(a)(36).
(5) If a 1040NR Return Collector,
Service Bureau, Transmitter, or the prod-
uct of a Software Developer, goes beyond
mechanical assistance, any of these par-
ties may be held liable for income tax re-
turn preparer penalties. See Rev. Rul.
85–189, 1985–2 C.B. 341, (which de-
scribes a situation where a Software De-
veloper was determined to be an income
tax return preparer and subject to certain
preparer penalties).
.03 Other Penalties. In addition to the
above specified provisions, the Service
reserves the right to assert all appropriate
civil and criminal penalties, including
preparer, nonpreparer, and disclosure
penalties, against a 1040NR Filer as war-
ranted under the circumstances.
SECTION 7. FORM 8453–NR, U.S.
NONRESIDENT ALIEN INCOME TAX
DECLARATION FOR MAGNETIC
MEDIA FILING
.01 Procedures for Completing Form
8453–NR.
(1) Form 8453–NR must be com-
pleted in accordance with the instructions
for Form 8453–NR.
(2) The taxpayer’s name, taxpayer
identification number, tax return informa-
tion, and direct deposit of refund informa-
tion in the data portion of the return must
be identical to the information on the
Form 8453–NR signed by the taxpayer
(or by the taxpayer’s authorized represen-
tative as described in section 7.01(5) of
this revenue procedure) and provided for
submission to the Service.
(3) A 1040NR Filer, a financial insti-
tution, or any other entity associated with
the magnetic or electronic filing of a tax-
payer’s return must not put its address on
Form 8453–NR or anywhere in the data
portion of a return.
(4) Except for multiple return filing
as described in section 7.01(5) of this rev-
enue procedure, after the return has been
prepared and before the return is submit-
ted, the taxpayer must verify the informa-
tion on the data portion of the return and
on Form 8453–NR, and must sign Form
8453–NR.
(5) A 1040NR Filer must submit a
Form 8453–NR to the Project Office with
each magnetically or electronically filed
return. A single Form 8453–NR (in-
scribed with the language “See attached
Multiple Return Information Listing”)
may be used for a multiple return filing if
the person who signs Form 8453–NR has
authorization, either by a specific power
of attorney or as a responsible representa-
tive or agent under § 1.6012– 3(b), to sign
each of the returns included in the multi-
ple return filing. A person who makes a
multiple return filing must attach to Form
8453–NR an information page(s) titled
“Form 8453–NR for Multiple Returns —
Tax Return Information Listing” at the
top of the pages(s). Below the title, the
multiple return 1040NR Filer must pro-
vide his or her name and address. The
next item on the page(s) must be a list that
includes every taxpayer’s name control,
taxpayer identification number, and the
information shown on lines one through
five on Form 8453–NR, for each return
included in a multiple return filing.
(6) If a 1040NR Filer functions as a
1040NR Return Originator, the 1040NR
Filer must sign the 1040NR Return Origi-
nator’s Declaration on Form 8453–NR.
(7) If the 1040NR Filer is also the
paid preparer, the 1040NR Filer must
check the “Paid Preparer” box and sign
the 1040NR Return Originator Declara-
tion on Form 8453–NR.
.02 Corrections to Form 8453–NR.
(1) A new form 8453–NR is not re-
quired for a nonsubstantive change. A
nonsubstantive change is limited to a cor-
rection that does not exceed the tolerances
described in section 7.02(2) of this revenue
procedure for arithmetic errors, a transpo-
sition error, a misplaced entry, or a spelling
error. The incorrect nonsubstantive infor-
mation must be neatly lined through on the
Form 8453–NR and the correct data en-
tered next to the lined–through entry. Also,
the individual making the correction must
initial the correction.
(2) The tolerances for section 7.02(1)
of this revenue procedure are:
(a) the “Total effectively con-
nected income” does not differ from the
amount on the data portion of the return
by more than $25; or
(b) the “Total tax”, the “Total pay-
ments”, the “Refund”, or the “Amount
you owe” does not differ from the amount
on the data portion of the return by more
than $7.
2000–22 I.R.B.1137May 30, 2000

(3) If the 1040NR Return Originator
makes a substantive change to the data
portion of the return after Form 8453–NR
has been signed by the taxpayer, but be-
fore it is transmitted to the Service, the
1040NR Return Originator must have all
the necessary parties described above sign
a new Form 8453–NR that reflects the
corrections before the data portion of the
return is transmitted.
(4) Dropping cents or rounding to
whole dollars does not constitute a sub-
stantive change or alteration to the return
unless the amount differs by more than
the above tolerances. All rounding should
be accomplished in accordance with the
instructions in the Form 1040NR tax
package.
.03 Missing Form 8453–NR.If the Ser-
vice determines that a Form 8453–NR is
missing, the 1040NR Return Originator
must provide the Service with a replace-
ment. A 1040NR Return Originator must
also provide a copy of the Form(s) W-2,
W-2G, 1099R, and all other attachments
to the Form 8453–NR.
.04 Substitute Form 8453–NR. If a
substitute Form 8453–NR is used, it must
be approved by the Service prior to use.
SECTION 8. INFORMATION A
1040NR FILER MUST PROVIDE TO
THE TAXPAYER
.01 The 1040NR Return Originator
must furnish the taxpayer with a complete
paper copy of the taxpayer’s return (ex-
cept for multiple return filing as described
in section 7.01(5) of this revenue proce-
dure). However, the copy need not con-
tain the social security number of the paid
preparer. See Rev. Rul. 78–317, 1978–2
C.B. 335. A complete copy of the tax-
payer’s return includes:
(1) Form 8453–NR and other paper
documents that cannot be magnetically or
electronically transmitted, and
(2) a printout of the data portion of
the return. See section 2.02 of this rev-
enue procedure. The data portion of the
return can be contained on a replica of an
official form or on an unofficial form.
However, on an unofficial form, data en-
tries must be referenced to the line num-
bers on an official form.
.02 The 1040NR Return Originator
must advise the taxpayer to retain a com-
plete copy of the return and any support-
ing material.
.03 The 1040NR Return Originator
must advise the taxpayer that an amended
return, if needed, must be filed as a paper
return and mailed to the Philadelphia Ser-
vice Center.
.04 The 1040NR Return Originator
must, upon request, provide the taxpayer
with the date the Service acknowledged
that the data portion of the taxpayer’s re-
turn was accepted for processing.
.05 A 1040NR Return Originator must
advise taxpayers that they can call the
local IRS TeleTax number to inquire
about the status of their tax refund. The
1040NR Return Originator should also
advise taxpayers to wait at least three
weeks from the date the Service acknowl-
edged that the data portion of the tax-
payer’s return was accepted for process-
ing before calling the TeleTax number.
.06 If a taxpayer chooses to use an ad-
dress other than his or her home address
on the return, the 1040NR Return Origi-
nator must inform the taxpayer that the
address on the data portion of the return,
once processed by the Service, will be
used to update the taxpayer’s address of
record. The Internal Revenue Service
uses the taxpayer’s address of record for
various notices that are required to be sent
to a taxpayer’s “last known address”
under the Internal Revenue Code and for
refunds of overpayments of tax (unless
otherwise specifically directed by the tax-
payer, such as by Direct Deposit).
SECTION 9. DIRECT DEPOSIT OF
REFUNDS
.01 The Service will ordinarily process
a request for Direct Deposit but reserves
the right to issue a paper refund check.
.02 The Service does not guarantee a
specific date by which a refund will be di-
rectly deposited into the taxpayer’s finan-
cial institution account. The taxpayer’s
account must be with a financial institu-
tion located in the United States.
.03 Neither the Service nor the Finan-
cial Management Service (FMS) is re-
sponsible for the misapplication of a Di-
rect Deposit that is caused by error,
negligence, or malfeasance on the part of
the taxpayer, 1040NR Filer, financial in-
stitution, or any of their agents.
.04 A 1040NR Return Originator must:
(1) advise taxpayers of the option to
receive their refund by paper check or Di-
rect Deposit;
(2) not charge a separate fee for Di-
rect Deposit;
(3) accept any Direct Deposit elec-
tion to any eligible financial institution
designated by the taxpayer;
(4) ensure that the taxpayer is eligi-
ble to choose Direct Deposit;
(5) verify that the Direct Deposit in-
formation requested on Part II of Form
8453–NR was entered correctly and that
the information entered is the information
transmitted on the data portion of the re-
turn;
(6) caution the taxpayer that once a
data portion of a return has been accepted
for processing by the Service:
(a) the Direct Deposit election
cannot be rescinded;
(b) the routing number of the fi-
nancial institution cannot be changed; and
(c) the taxpayer’s account number
cannot be changed; and
(7) advise the taxpayer that refund
information is available by calling the
IRS TeleTax number. See section 8.05 of
this revenue procedure.
SECTION 10. BALANCE DUE
RETURNS
.01 A magnetically or electronically
filed balance due return is submitted to
the Philadelphia Service Center in the
same manner that a refund or zero balance
return is submitted. A balance due return
is not complete unless and until the Ser-
vice receives a Form 8453–NR completed
and signed by the taxpayer (or by the tax-
payer’s authorized representative as de-
scribed in section 7.01(5) of this revenue
procedure).
.02 A taxpayer who magnetically or
electronically files a balance due return
must make a full and timely payment of
any tax that is due. Failure to make full
payment on or before the due date of the
return (determined without regard to ex-
tensions) will result in the imposition of
interest and may result in the imposition
of penalties.
SECTION 11. ADVERTISING
STANDARDS FOR 1040NR FILERS
AND FINANCIAL INSTITUTIONS
.01 A 1040NR Filer must comply with
the advertising and solicitation provisions
of 31 C.F.R. Part 10 (Treasury Depart-
ment Circular No. 230). This circular
prohibits the use or participation in the
May 30, 200011382000–22 I.R.B.

use of any form of public communication
containing a false, fraudulent, misleading,
deceptive, unduly influencing, coercive,
or unfair statement or claim. Any claims
concerning faster refunds by virtue of
magnetically or electronically filing re-
turns must be consistent with the lan-
guage in official Service publications.
.02 A 1040NR Filer must adhere to all
relevant federal, state, and local consumer
protection laws that relate to advertising
and soliciting.
.03 A 1040NR Filer must not use the
Service’s name, “Internal Revenue Ser-
vice,” or “IRS” within a firm’s name.
.04 A 1040NR Filer must not use im-
proper or misleading advertising in rela-
tion to the 1040NR Program (including
the time frames for refunds).
.05 A 1040NR Filer using promotional
material or logos provided by the Service
must comply with all Service instructions
pertaining to the promotional materials or
logos.
.06 A 1040NR Filer using the Direct
Deposit name and logo must comply with
the following:
(1) the name “Direct Deposit” will
be used with initial capital letters or all
capital letters;
(2) the logo/graphic for Direct De-
posit will be used whenever feasible in
advertising copy; and
(3) the color or size of the Direct De-
posit logo/graphic may be changed when
used in advertising pieces.
.07 Advertising materials must not
carry the FMS, IRS, or other Treasury
seals.
.08 Advertising for a cooperative
1040NR return project (public/private
sector) must clearly state the names of all
cooperating parties.
.09 If a 1040NR Filer uses radio or
television broadcasting to advertise, the
broadcast must be pre-recorded. The
1040NR Filer must keep a copy of the
pre-recorded advertisement for a period
of at least 36 months from the date of the
last transmission or use.
.10 If a 1040NR Filer uses direct mail
or fax communications to advertise, the
1040NR Filer must retain a copy of the
actual mailing or fax, along with a list or
other description of the firms, organiza-
tions or individuals to whom the commu-
nication was mailed, faxed, or otherwise
distributed for a period of at least 36
months from the date of the last mailing,
fax, or distribution.
.11 Acceptance to participate in the
1040NR Program does not imply en-
dorsement by the Service or FMS of the
software or quality of services provided.
SECTION 12. MONITORING AND
SUSPENSION OF A 1040NR FILER
.01 The Service will monitor a 1040NR
Filer for conformity with this revenue
procedure. Before suspending a 1040NR
Filer, the Service may issue a warning let-
ter that describes specific corrective ac-
tion for deviations from this revenue pro-
cedure. However, the Service can
immediately suspend, without notice, a
1040NR Filer from the 1040NR Program.
In most circumstances, a suspension from
participation in the 1040NR Program is
effective as of the date of the letter in-
forming the 1040NR Filer of the suspen-
sion.
.02 The Service will monitor the timely
receipt of Forms 8453–NR, as well as
their overall legibility.
.03 The Service will monitor the qual-
ity of the 1040NR Filer’s submissions
throughout the filing season. The Service
will also monitor data portions of returns
and tabulate rejections, errors, and other
defects. If quality deteriorates, the
1040NR Filer may receive a warning
from the Service.
.04 The Service will monitor com-
plaints about a 1040NR Filer and issue a
warning or suspension letter as appropri-
ate.
.05 The Service reserves the right to
suspend a 1040NR Filer from participa-
tion in the 1040NR Program for violating
any provision of this revenue procedure.
Generally, the Service will advise a sus-
pended 1040NR Filer concerning the re-
quirements for reacceptance into the
1040NR Program. The following reasons
may lead to a warning letter and/or sus-
pension of a 1040NR Filer from the
1040NR Program (this list is not all-inclu-
sive):
(1) the reasons listed in section 4.09
of this revenue procedure;
(2) deterioration in the format of in-
dividual submissions;
(3) unacceptable cumulative error or
rejection rate;
(4) untimely received, illegible, in-
complete, missing, or unapproved substi-
tute Forms 8453–NR;
(5) stockpiling returns at any time
while participating in the 1040NR Pro-
gram;
(6) failure on the part of a Transmit-
ter to provide a 1040NR Return Origina-
tor or Service Bureau with acknowledge-
ment files within five calendar days after
receipt from the Service;
(7) significant complaints about a
1040NR Filer’s performance in the
1040NR Program;
(8) failure on the part of a 1040NR
Filer to ensure against the unauthorized
use of its assigned MTFIN;
(9) having more than one MTFIN for
the same business entity at the same loca-
tion (the business entity is generally the
entity that reports on its return the income
derived from magnetic or electronic fil-
ing), unless the Service has issued more
than one MTFIN to a business entity;
(10) failure on the part of a 1040NR
Filer to cooperate with the Service’s ef-
forts to monitor 1040NR Filers and inves-
tigate filing abuse;
(11) failure on the part of a 1040NR
Filer to properly use the standard/non-
standard W-2 indicator;
(12) failure on the part of a Service
Bureau or a Transmitter to use its as-
signed MTFIN when filing returns;
(13) failure on the part of the Trans-
mitter to include a Service Bureau’s
MTFIN in the transmission of a return
submitted by a Service Bureau;
(14) failure on the part of a Service
Bureau or a Transmitter to include the
1040NR Return Originator’s MTFIN as
part of a return that the 1040NR Return
Originator submits to the Service Bureau
or the Transmitter;
(15) violation of the advertising stan-
dards described in section 11 of this rev-
enue procedure;
(16) failure to maintain and make
available records as described in sections
5.11(4) and (5) of this revenue procedure;
(17) accepting a tax return for mag-
netic or electronic filing either directly or
indirectly from a firm, organization, or in-
dividual (other than the taxpayer who is
submitting his or her return) that is not a
1040NR Filer;
(18) submitting information on the
data portion of the return that is not iden-
tical to the information on the Form
8453–NR; or
2000–22 I.R.B.1139May 30, 2000

(19) failure to timely submit a re-
vised Form MAR–8980 notifying the Ser-
vice of changes described in section 4.02
or 4.03 of this revenue procedure.
.06 The Service may list in the Internal
Revenue Bulletin, district office listings,
district office newsletters, on the EFS
Bulletin Board, or in other appropriate
publications, the name of any entity that
is suspended from the 1040NR Program
and the effective date of that suspension.
.07 If a participant is suspended from
participating in the 1040NR Program, the
period of suspension includes the remain-
der of the calendar year in which the sus-
pension occurs plus the next two calendar
years. A suspended participant may sub-
mit a new application for the application
period immediately preceding the end of
the suspension.
SECTION 13. ADMINISTRATIVE
REVIEW PROCESS FOR DENIAL OF
PARTICIPATION IN THE 1040NR
PROGRAM
.01 An applicant that has been denied
participation in the 1040NR Program has
the right to an administrative review.
During the administrative review process,
the denial of participation remains in ef-
fect.
.02 In response to the submission of a
Form MAR–8980, the Project Office will
either (1) accept an applicant into the
1040NR Program, or (2) issue a proposed
letter of denial that explains to the appli-
cant why the Service proposes to reject
the application to participate in the
1040NR Program.
.03 An applicant that receives a pro-
posed letter of denial may mail or deliver,
within 30 calendar days of the date of the
proposed letter of denial, a written re-
sponse to the Project Office. The appli-
cant’s response must address the Project
Office’s reason(s) for proposing the de-
nial to participate.
.04 Upon receipt of an applicant’s writ-
ten response, the Project Office will re-
consider its proposed letter of denial. The
Project Office may (1) withdraw its pro-
posed letter of denial and accept the appli-
cant into the 1040NR Program, or (2) fi-
nalize the proposed denial letter.
.05 If an applicant receives a final de-
nial letter from the Project Office, the ap-
plicant is entitled to an appeal, in writing,
to the Director of Practice.
.06 The appeal must be mailed or deliv-
ered to the Project Office within 30 calen-
dar days of the date of the final denial let-
ter. An applicant’s written appeal must
contain a detailed explanation, with sup-
porting documentation, of why the denial
should be reversed.
.07 The Project Office, upon receipt of
a written appeal to the Director of Prac-
tice, will forward to the Director of Prac-
tice its file on the applicant and the mater-
ial described in section 13.06 of this
revenue procedure. The Project Office
will forward these materials to the Direc-
tor of Practice within 15 calendar days of
receipt of the applicant’s written appeal.
.08 Failure to respond within either of
the 30-day periods described in sections
13.03 and 13.06 of this revenue procedure
irrevocably terminates an applicant’s right
to an administrative review or appeal.
.09 If an application for participation in
the 1040NR Program is denied, the appli-
cant is ineligible to submit a new applica-
tion for two years from the application
date of the denied application.
SECTION 14. ADMINISTRATIVE
REVIEW PROCESS FOR
SUSPENSION FROM THE 1040NR
PROGRAM
.01 A 1040NR Filer that has been sus-
pended from participation in the 1040NR
Program has the right to an administrative
review. During the administrative review
process, the suspension remains in effect.
.02 If a 1040NR Filer receives a suspen-
sion letter, the 1040NR Filer may mail or
deliver, within 30 calendar days of the date
of the suspension letter, a detailed written
explanation, with supporting documenta-
tion, of why the suspension letter should be
withdrawn. This written response should
be sent to the Project Office.
.03 Upon receipt of the 1040NR Filer’s
written response, the Project Office will re-
consider its suspension of the 1040NR Filer.
The Project Office may either (1) withdraw
its suspension letter and reinstate the
1040NR Filer, or (2) affirm the suspension.
.04 If a 1040NR Filer receives a letter
affirming the suspension, the 1040NR
Filer is entitled to an appeal, in writing, to
the Director of Practice.
.05 The appeal must be mailed or deliv-
ered to the Project Office within 30 calen-
dar days of the date of the letter affirming
the suspension. The 1040NR Filer’s writ-
ten appeal must contain detailed reasons,
with supporting documentation, for rever-
sal of the suspension.
.06 The Project Office, upon receipt of
a written appeal to the Director of Prac-
tice, will forward to the Director of Prac-
tice its file on the 1040NR Filer and the
material described in section 14.05 of this
revenue procedure. The Project Office
will forward these materials to the Direc-
tor of Practice within 15 calendar days of
the receipt of a 1040NR Filer’s written re-
quest for appeal.
.07 Failure to appeal within either of
the 30-day periods described in sections
14.02 and 14.05 of this revenue procedure
irrevocably terminates a 1040NR Filer’s
right to an appeal.
SECTION 15. EFFECT ON OTHER
DOCUMENTS
Rev. Proc. 99–25, 1999–21 I.R.B. 24,
is superseded.
SECTION 16. EFFECTIVE DATE
This revenue procedure is effective
May 30, 2000.
SECTION 17. PROJECT OFFICE
INFORMATION
All questions regarding this revenue
procedure should be directed to:
Internal Revenue Service
Philadelphia Service Center
ATTN: DP-115-Magnetic Media
Project Office
11601 Roosevelt Blvd.
Philadelphia, PA 19154
U.S.A.
The telephone number of this office is
(215) 516-7533 (not a toll-free number)
or 800-829-6945 (a toll-free number).
May 30, 200011402000–22 I.R.B.

Regulations Governing Practice
Before the Internal Revenue
Service
Announcement 2000–51
AGENCY: Office of the Secretary, Trea-
sury.
ACTION: Advance notice of proposed
rulemaking.
SUMMARY: This document provides
advance notice of proposed rulemaking to
amend the regulations governing practice
before the Internal Revenue Service
(IRS), which appear in the Code of Fed-
eral Regulations and in pamphlet form as
Treasury Department Circular No. 230,
Regulations Governing the Practice of At-
torneys, Certified Public Accountants,
Enrolled Agents, Enrolled Actuaries, and
Appraisers before the IRS. This docu-
ment also invites individuals and organi-
zations to submit comments on revising
Circular No. 230 to address general stan-
dards of practice and standards of practice
relating to tax shelters.
DATES: Submit comments on or before
July 5, 2000.
ADDRESSES: Send submissions to:
CC:DOM:CORP:R (REG–111835–99),
room 5226, Internal Revenue Service,
POB 7604, Ben Franklin Station, Wash-
ington, DC 20044. Submissions may be
hand delivered Monday through Friday
between the hours of 8 a.m. and 5 p.m. to:
CC:DOM:CORP:R (REG–111835–99),
Courier’s Desk, Internal Revenue Ser-
vice, 1111 Constitution Avenue NW.,
Washington, DC. Submit comments and
data via electronic mail (email) to
http://www.irs.gov/tax_regs/regslist.html.
FOR FURTHER INFORMATION CON-
TACT: Concerning issues for comment,
Richard Goldstein at (202) 622-7880;
concerning submissions of comments and
delivering comments, Guy Traynor, (202)
622-7180; (not toll-free numbers).
SUPPLEMENTARY INFORMATION:
I. Background
Section 330 of title 31 of the United
States Code authorizes the Secretary of the
Treasury to regulate the practice of repre-
sentatives before the Department and,
after notice and an opportunity for a pro-
ceeding, to suspend or disbar from prac-
tice before the Department those represen-
tatives who are incompetent, disreputable,
or who violate regulations prescribed
under section 330. Pursuant to section
330, the Secretary has published the regu-
lations in Circular No. 230 (31 CFR part
10). These regulations authorize the Di-
rector of Practice to act upon applications
for enrollment to practice before the IRS,
to institute proceedings for suspension or
disbarment from practice before the IRS,
to make inquiries with respect to matters
under the Director’s jurisdiction, and to
perform such other duties as are necessary
to carry out these functions.
The regulations have been amended
from time to time to address various spe-
cific issues in need of resolution. For ex-
ample, on February 23, 1984, the regula-
tions were amended to provide standards
for providing opinions used in tax shelter
offerings (Notice 84–4, 1984–1 C.B. 331
[49 F.R. 6719]). On October 17, 1985,
the regulations were amended to conform
to legislative changes requiring the dis-
qualification of an appraiser who is as-
sessed a penalty under section 6701 for
aiding and abetting the understatement of
a tax liability (Notice 85–18, 1985–2 C.B.
409 [50 F.R. 42014]). The regulations
were most recently amended on June 20,
1994 (T.D. 8545, 1994–2 C.B. 415 [59
F.R. 31523]) to provide standards for tax
return preparation, to limit the use of con-
tingent fees in return or refund claim
preparation, to provide expedited rules for
suspension, and to clarify or amend cer-
tain other items.
On June 15, 1999, the Director of Prac-
tice published an advance notice of pro-
posed rulemaking (64 F.R. 31994) re-
questing comments on amendments to the
regulations that would take into account
legal developments, professional integrity
and fairness to practitioners, taxpayer ser-
vice, and sound tax administration. The
Treasury Department received several
comments and is currently reviewing
them. The 1999 advance notice of pro-
posed rulemaking contemplated a notice
of proposed rulemaking that would make
general revisions to Circular No. 230.
II. Tax Shelters
Following the release of the advance
notice of proposed rulemaking, the Trea-
sury Department issued a report on the
proliferation of corporate tax shelters.
See “The Problem of Corporate Tax Shel-
ters: Discussion, Analysis and Legislative
Proposals,” Department of the Treasury,
July 1999. In February of this year, the
Treasury Department and the IRS took
steps to deter abusive shelters by publish-
ing temporary regulations requiring dis-
closure of certain transactions by corpo-
rate taxpayers (T.D. 8877, 2000–11 I.R.B.
747 [65 F.R. 11205]), registration of con-
fidential corporate tax shelters (T.D.
8876, 2000–11 I.R.B. 753 [65 F.R.
11215]), and maintenance of lists of in-
vestors in certain tax shelters (T.D. 8875,
2000–11 I.R.B. 761 [65 F.R. 11211]).
In addition, practitioners and organiza-
tions, such as the Section of Taxation of
the ABA, have recommended that the
Treasury Department revise Circular No.
230 to raise the standards for providing
advice with respect to corporate tax shel-
ters. The Treasury Department and the
IRS agree that it is appropriate to review
the standards that should be followed by
practitioners who provide advice with re-
spect to such transactions.
III. Request for Comments
The Treasury Department and the IRS
invite comments relating to standards of
practice governing tax shelters and other
general matters. The Treasury Depart-
ment and the IRS are particularly inter-
ested in receiving comments on the fol-
lowing matters.
A.Opinion standards of Circular No.
230
1. Whether the opinion standards in
§10.33 (relating to tax opinions provided
for the marketing of tax shelters) should
be revised.
2. Whether Circular No. 230 should
establish standards for tax opinions other
than those provided for in §10.33 or
§10.51 (relating to false opinions). Par-
ticularly, whether Circular No. 230 should
establish standards for opinions intended
to provide legal justification for the treat-
2000–22 I.R.B.1141May 30, 2000
Part IV. Items of General Interest

ment of an item for purposes of
§1.6664–4(e) of the Regulations on Pro-
cedure and Administration (relating to the
reasonable cause exception).
3. Whether an opinion provided for
legal justification for purposes of
§1.6664–4(e) of the regulations should
specifically state that it is provided for
this purpose.
4. For purposes of the foregoing:
a. Whether the factual due diligence
standards set forth in §10.33(a)(1) should
be applied to tax shelter opinions other
than those provided for the marketing of
tax shelters.
b. Whether the factual due diligence
standards should be modified to further
limit the circumstances under which a
practitioner may rely on factual assertions
of other persons and to require a practi-
tioner to specify the measures taken to
confirm the facts.
c. Under what circumstances, if any,
Circular No. 230 should permit a practi-
tioner to base an opinion upon hypotheti-
cal facts or factual assumptions and con-
clusions, including assumptions regarding
the existence of a business purpose and
the significance of such purpose relative
to the intended tax benefits.
d. Whether Circular No. 230
should require that the opinion state
that the transaction in question was
analyzed under all applicable judicial
doctrines (including the step transac-
tion, business purpose, economic
substance, substance over form, and
sham transaction doctrines).
e. Whether Circular No. 230 should
require that an opinion state unambigu-
ously that there is a greater than 50 per-
cent likelihood that the taxpayer will pre-
vail with respect to each material tax issue
and with respect to the material tax bene-
fits in the aggregate.
B. Contingent fees
1. Whether §10.28 should prohibit a
practitioner from charging a fee for an
opinion or advice relating to a position
taken or to be taken by a taxpayer in an
original return where such fee is contin-
gent upon whether the tax treatment of the
transaction is sustained, and whether
§10.28 should prohibit a practitioner from
providing an indemnity to a taxpayer with
respect to a position taken or to be taken
in an original return.
2. Whether §10.28 should continue
to permit a practitioner to charge a contin-
gent fee for assisting a client in filing an
amended return or claim for refund when
the practitioner reasonably anticipates at
the time the fee arrangement is entered
into that the amended return or claim will
receive substantive review from the Ser-
vice.
C. Conditions of confidentiality
1. Whether there are circumstances in
which Circular No. 230 should prohibit a
practitioner from agreeing to conditions
of confidentiality other than conditions of
confidentiality imposed by reasons of
privilege. If so, how should confidential-
ity be defined?
2. Whether Circular No. 230 should
prohibit a practitioner from asking a client
to agree to conditions of confidentiality.
D. Sanctions
1. Whether §10.24 should be modified
to clarify what types of relationships with
suspended persons are prohibited.
2. Whether there are circumstances in
which a practitioner’s failure to comply
with the rules under Circular No. 230
should be attributed to the firm with
which the practitioner is associated so that
the practitioner and the firm (or all practi-
tioners in the firm) may be subject to dis-
cipline under Circular No. 230.
3. Whether Circular No. 230 can or
should provide a broader array of sanc-
tions, such as censure, for violation of its
provisions.
4. Whether the identities of those who
are disciplined under Circular No. 230
should be exposed to greater publicity. If
so, how should greater publicity be
achieved?
E. General Issues
1. Whether §10.7(c)(1) should be mod-
ified to permit, under limited circum-
stances, an individual who is not autho-
rized to practice before the IRS to
represent a taxpayer without obtaining au-
thorization for a special appearance from
the Director of Practice under §10.7(d).
2. Whether and to what extent §10.21
should be modified regarding the actions
a practitioner must take when he or she
discovers that there is an error or omis-
sion on a return or other document.
3. Whether §10.22 should be modified
to define what constitutes due diligence.
4. Whether §10.29 should be expanded
to define conflicting interests and to de-
lineate what constitutes informed consent
permitting a practitioner to represent
clients with conflicting interests.
5. How the provisions of §10.30(a)(2),
regarding uninvited solicitations, should
be modified in light of Edenfield v. Fane,
507 U.S. 761 (1993).
6. Whether the definition of communi-
cation in §10.30(c) should be expanded
specifically to include certain forms of
electronic communications and whether
there are any special considerations that
should be addressed regarding these forms
of communication for purposes of §10.30.
7. Whether the §10.51 definition of
disreputable conduct should be expanded
to include conviction of any felony.
In addition to the foregoing issues, the
Treasury Department and the IRS invite
comments on any other changes that are
necessary or appropriate to carry out the
purposes of Circular No. 230.
Neal Wolin,
General Counsel.
(Filed by the Office of the Federal Register on May
5, 2000, 3:35 p.m., and published in the issue of the
Federal Register for May 11, 2000, 65 F.R. 30375)
Foundations Status of Certain
Organizations
Announcement 2000–52
The following organizations have
failed to establish or have been unable to
maintain their status as public charities or
as operating foundations. Accordingly,
grantors and contributors may not, after
this date, rely on previous rulings or des-
ignations in the Cumulative List of Orga-
nizations (Publication 78), or on the pre-
sumption arising from the filing of notices
under section 508(b) of the Code. This
listing does notindicate that the organiza-
tions have lost their status as organiza-
tions described in section 501(c)(3), eligi-
ble to receive deductible contributions.
Former Public Charities.The following
organizations (which have been treated as
organizations that are not private founda-
tions described in section 509(a) of the
Code) are now classified as private foun-
dations:
May 30, 200011422000–22 I.R.B.

AESC Research and Education Institute,
Inc., New York, NY
Agape Foundation, Inc., Plainfield, NJ
AL Hajj Incorporated, Montgomery, AL
Allie L. Thomas Memorial, Inc.,
San Angelo, TX
American Friends of Ballet Rambert,
Inc., Lingfield, England
American-International Childrens
Alliance, Inc., Marblehead, MA
Anthony Hyde PTA, Washington, DC
The Archibald Memorial Home,
Indianapolis, IN
Baptist Village Residents Association,
Phoenix, AZ
Bay Area Children First, San Francisco,
CA
Black History Preservation Society,
Philadelphia, PA
Bojuka Parent-Student Association, Inc.,
Marina, CA
Camera Arts Foundation, San Luis
Obispo, CA
Camphill Fellowship, Glenmoore, PA
Carey Cox Wyatt Charitable Foundation,
Inc., Atlanta, GA
Caring Approach to Life Management,
Inc., Willingboro, NJ
Change for Planet Earth, Inc.,
Phoenix, AZ
Childrens Health Coalition, Inc.,
Summit, NJ
Church-Inmate Connection, Inc.,
Checotah, OK
Coalition for the Advancement of
Regional Transportation, Inc.,
Louisville, KY
Comites of San Francisco,
San Francisco, CA
Concrete Volunteer Fire Department,
Langdon, ND
Desert Orthopedic Center Medical
Research Foundation, Rancho Mirage,
CA
Development Alternatives Corporation,
Boston, MA
The D.O.M.E. Foundation, Inc., New
York, NY
Durham Regional Health Foundation,
Inc., Durham, NC
Eagle Wing Estates, Inc., Hattiesburg,
MS
Educare, Deerton, MI
Empowerment Project, Charlotte, NC
Environment Celebration Foundation,
Las Vegas, NV
Essex Housing Opportunities, Inc.,
Lawrence, MA
Excel Performance Institute, Inc.,
Manassas, VA
FC Hawaii, Honolulu, HI
Faith Foundation of Darke County, Inc.,
Greenville, OH
For Chicopee, Inc., Chicopee, MA
Foundation For Airborne Relief,
Anaheim, CA
Foundation For Interactive Learning,
Inc., Katona, NY
The Fred and Ruth Hawkins Family
Resource Center, Inc., Oakpark, IL
Freedom Chapel - Help The Children,
Inc., Torrance, CA
Friends of Francis W. Gregory, JR. High
School Foundation, New Orleans, LA
Frost Parent Teacher Organization, Mesa,
AZ
Genesis Association of Richmond, Inc.,
Richmond, IN
Global Education Partnership, Inc.,
Oakland, CA
Good Samaritan, Inc., New London, CT
Grand Boulevard Renaissance Society,
Chicago, IL
Griffin-Spalding Cleam Community
Commission, Inc., Griffin, GA
Guilford Community Aids Partnership,
Inc., Greensboro, NC
Harrah Senior Housing Corporation II,
Harrah, OK
Healthcare For All, Inc., Washington, DC
Hobart Community Land Trust, Hobart,
WA
Hope & Charity Incorporated, Pittsburgh,
PA
Houston Gunners Football Association,
Inc., Houston, TX
Humanitarian Resource Institute, Carson
City, NV
Imperial Homes, Inc., Los Angeles, CA
Jian Hua Foundation, El Cajon, CA
Johnny Mercer Foundation, New York,
NY
Kelly Home of Iredell County, Raleigh,
NC
Ken-Crest Housing Del II, Inc., Plymouth
Meeting, PA
Kids Konnection, Dayton, OH
King Gandhi Foundation, Inc., Silver
Spring, MD
Labette County Humane Society,
Parsons, KS
Lake Forest Knights of Columbus
Charities, Inc., Lake Forest, IL
Lemoyne-Owen College Community
Development Corp., Memphis, TN
Linwood Educational Trust Fund, Inc.,
Lincoln, NH
Low Income Housing Foundation of New
Mexico, Inc., Albuquerque, NM
Lyndon Baines Johnson Health Complex,
Brooklyn, NY
Making the Difference Incorporated,
Milwaukie, OR
Marshall Opportunity Enterprises
Corportation, Marshall, TX
Marvelous Clark, Saint Louis, MO
Multi Cultural Visions, Phoenix, AZ
Nashville Coalition Against Domestic
Violence, Nashville, TN
National Center for Minority Health, Inc.,
Potomac, MD
National Consumer Debt Counseling,
Ontario, CA
National Foundation for Imaging
Excellence, Inc., New York, NY
Neighborhood Development Foundation,
Staten Island, NY
North Council Tenant Council, Inc.
Lowell, MA
Oak Cliff Christian Housing, Dallas, TX
Oasis Youth Center, Ormond Beach, FL
Olney Crime Stoppers, Olney, TX
Opportunities For Technological &
Educational Achievement, Inc.,
Florence, TX
Orchid Association, Middletown, OH
Orthodox Christian Prison Ministry,
Lompoc, CA
Paladin Associates, Inc., Casper, WY
Parks Education Foundation, Aloha, OR
Path to Peace, Carthage, MO
Paul Gage Ministries, Euless, TX
Pearson & Associates, Inc., Lawton, OK
Pollock Pines Camino Community
Center Association, Pollock Pines,
CA
Predator Athletic Club, Inc., Papillion,
NE
Project Agape, Memphis, TN
Pro Organo Pleno, XXI, Fort Collins, CO
Public-Private Ventures, Inc., Irwindale,
CA
The Public Radio Service, Inc.,
Columbia, MD
Recipes for Living, Greensboro, NC
Reunification Behavioral Health Care
RBHC, Inc., Gary, IN
River Heights Apartments, Inc.,
Starkville, MS
Roslyn Nadel Scholars for Disabled
Persons, Inc., Trenton, NJ
Rural Housing Development, Inc.,
Darlington, WI
Salem First Corporation, Salem, NH
2000–22 I.R.B.1143May 30, 2000

San Mateo High School Alumni
Association, San Mateo, CA
Second Chapel Hill Housing
Development Corporation, Detroit, MI
Self Help for Hard of Hearing People Greater
Boston Chapter, Inc. Brookline, MA
Senior Transport, Omaha, NE
Solar Electric Education Network, Inc.,
Oregon, IL
Special Socials for Seniors Services, Inc.,
Euclid, OH
Spokane County Medical Society
Auxiliary, Spokane, WA
Sport Science Research Foundation, Inc.,
Lilburn, GA
St. Elizabeth’s Children Home,
Lexington, MS
St. Petersburg-Leningrad Salvation Fund,
Studio City, CA
Success Motivation Healing Institute,
Sherman Oaks, CA
Success Sisters, Dickenson, TX
Suncoast Compensation and Benefits
Foundation, Inc., Tampa, FL
Texas Enterprises for the Disabled, Inc.,
Austin, TX
Texas Institute for an Informed Public,
Houston, TX
Texas Newpaper Foundation, Inc.,
Austin, TX
Touch the Earth Foundation, Solana
Beach, CA
The Training Place, Cypress, CA
Trillium A Charitable Corporation, Edina, MN
Tulsa Memorial High School Foundation,
Inc., Tulsa, OK
Tuolumne County Business Incubators,
Inc., Sonora, CA
Under the Oaks Foundation, Jackson, MI
United Christian Charities Georgia, Inc.,
Roswell, GA
Uvalde Housing Development
Corporation, Uvalde, TX
WASP Museum, Inc., Quartzite, AZ
Westland Community Services, Inc.,
Albuquerque, NM
Westside Track Club, Inc., Louisville,
KY
Women Representing Women
Incorporated, Charlotte, NC
Words of Assurance Ministry, Inc., Silver
Spring, MD
World City Pictures, New York, NY
World Model Soldier Federation, Inc.,
Chicago, IL
Yad Latorah, Inc., Patchogue, NY
Youth Baseball and Softball Booster
Club, West Plains, MO
If an organization listed above submits
information that warrants the renewal of its
classification as a public charity or as a pri-
vate operating foundation, the Internal Rev-
enue Service will issue a ruling or determi-
nation letter with the revised classification
as to foundation status. Grantors and con-
tributors may thereafter rely upon such rul-
ing or determination letter as provided in
section 1.509(a)–7 of the Income Tax Reg-
ulations. It is not the practice of the Service
to announce such revised classification of
foundation status in the Internal Revenue
Bulletin.
Kerosene Tax; Aviation Fuel Tax;
Taxable Fuel Measurement and
Reporting; Tax on Heavy Trucks
and Trailers; Highway Vehicle
Use Tax; Correction
Announcement 2000–53
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Correcting amendment.
SUMMARY: This document contains cor-
rections to Treasury Decision 8879, which
was published in the Federal Register on
Friday, March 31, 2000 (T.D. 8879,
2000–16 I.R.B. 882 [65 F.R. 17149]). The
corrections relate to the kerosene excise tax.
DATES: These corrections are effective
March 31, 2000.
FOR FURTHER INFORMATION CON-
TACT: Frank Boland, (202) 622-3130
(not a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
The final regulations that are the sub-
ject of these corrections are under sec-
tions 4101 and 6427 of the Internal Rev-
enue Code.
Need for Correction
As published, TD 8879 contains errors
that may prove to be misleading and are
in need of clarification.
List of Subjects in 26 CFR Part 48
Excise taxes, Reporting and record-
keeping requirements.
Correction of Publication
Accordingly, 26 CFR Part 48 is cor-
rected by making the following correcting
amendments:
PART 48–MANUFACTURERS AND
RETAILERS EXCISE TAXES
Paragraph 1. The authority citation for
part 48 continues to read in part as fol-
lows:
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 48.4101–1 is amended
by:
1. Redesignating paragraphs (c)(1)(v)
and (c)(1)(vi) as paragraphs (c)(1)(vi) and
(c)(1)(vii), respectively;
2. Adding paragraph (c)(1)(v);
3. Removing the language “(c)(1)(vi)”
from paragraph (l)(2) and adding the lan-
guage “(c)(1)(vii)” in its place.
The addition reads as follows:
§48.4101–1 Taxable fuel; registration.
* * * * *
(c) * * * (1) * * *
(v) A refiner;
* * * * *
§48.4101–2T [Removed]
Par. 3. Section 48.4101–2T is re-
moved.
Par. 4. Section 48.6427–11(e)(2)(iii) is
revised to read as follows:
§48.6427–11 Kerosene; claims by regis-
tered ultimate vendors (blending).
* * * * *
(e) * * *
(2) * * *
(iii) Model certificate.
CERTIFICATE OF BUYER FOR
PRODUCTION OF A COLD
WEATHER BLEND
(To support vendor’s claim for a credit or
payment under section 6427 of the Inter-
nal Revenue Code.)
(Buyer) certifies the fol-
lowing under penalties of perjury:
Name of buyer
The kerosene to which this certificate
applies will be used by Buyer to produce
a blend of kerosene and diesel fuel in an
area described in a declaration of extreme
cold and the blend will be sold for use or
used for heating purposes.
This certificate applies to percent of
Buyer’s purchase from(name,
address, and employer identification number
May 30, 200011442000–22 I.R.B.

of seller) on invoice or delivery ticket num-
ber .
If Buyer violates the terms of this cer-
tificate, the Internal Revenue Service may
withdraw Buyer’s right to provide a cer-
tificate.
Buyer has not been notified by the In-
ternal Revenue Service that its right to
provide a certificate has been withdrawn.
Buyer understands that the fraudulent
use of this certificate may subject Buyer
and all parties making such fraudulent use
of this certificate to a fine or imprison-
ment, or both, together with the costs of
prosecution.
Printed or typed name of person signing
Title of person signing
Employer identification number
Address of Buyer
Signature and date signed
* * * * *
Cynthia E. Grigsby,
Chief, Regulations Unit,
Assistant Chief Counsel (Corporate).
(Filed by the Office of the Federal Register on May
3, 2000, 8:45 a.m., and published in the issue of the
Federal Register for May 8, 2000, 65 F.R. 26488)
2000–22 I.R.B.1145May 30, 2000
Announcement of the Disbarment and Suspension of Attorneys,
Certified Public Accountants, Enrolled Agents, and Enrolled Actuaries
From Practice Before the Internal Revenue Service
Under Section 330, Title 31 of the
United States Code, the Secretary of the
Treasury, after due notice and opportunity
for hearing, is authorized to suspend or
disbar from practice before the Internal
Revenue Service any person who has vio-
lated the rules and regulations governing
the recognition of attorneys, certified
public accountants, enrolled agents or en-
rolled actuaries to practice before the In-
ternal Revenue Service.
Attorneys, certified public accountants,
enrolled agents, and enrolled actuaries are
prohibited in any Internal Revenue Service
matter from directly or indirectly employing,
accepting assistance from, being employed
by or sharing fees with, any practitioner dis-
barred or under suspension from practice be-
fore the Internal Revenue Service.
To enable attorneys, certified public ac-
countants, enrolled agents and enrolled
actuaries to identify such disbarred or sus-
pended practitioners, the Director of Prac-
tice will announce in the Internal Revenue
Bulletin the names and addresses of prac-
titioners who have been suspended from
such practice, their designation as attor-
ney, certified public accountant, enrolled
agent or enrolled actuary, and the date of
disbarment or period of suspension. This
announcement will appear in the weekly
Bulletin for five successive weeks or as
long as it is practicable for each attorney,
certified public accountant, enrolled agent
or enrolled actuary so suspended or dis-
barred and will be consolidated and pub-
lished in the Cumulative Bulletin.
After due notice and opportunity for
hearing before an administrative law
judge, the following individuals has been
disbarred from ffifther practice before the
Internal Revenue Service:
NameAddressDesignationEffective Date
Kolesar, GaryN. Patchogue, NYCPAOctober 27, 1999
Announcement of the Consent Voluntary Suspension of Attorneys,
Certified Public Accountants, Enrolled Agents, and Enrolled Actuaries
From Practice Before the Internal Revenue Service
Under 31 Code of Federal Regulations,
Part 10, an attorney, certified public ac-
countant, enrolled agent or enrolled actu-
ary, in order to avoid the institution or
conclusion of a proceeding for his disbar-
ment or suspension from practice before
the Internal Revenue Service, may offer
his consent to suspension from such prac-
tice. The Director of Practice, in his dis-
cretion, may suspend an attorney, certi-
fied public accountant, enrolled agent or
enrolled actuary in accordance with the
consent offered.
Attorneys, certified public accountants,
enrolled agents and enrolled actuaries are
prohibited in any Internal Revenue Ser-
vice matter from directly or indirectly em-
ploying, accepting assistance from, being
employed by or sharing fees with, any
practitioner disbarred or suspended from
practice before the Internal Revenue Ser-
vice.
To enable attorneys, certified public ac-
countants, enrolled agents and enrolled ac-
tuaries to identify practitioners under con-
sent suspension from practice before the
Internal Revenue Service, the Director of
Practice will announce in the Internal Rev-
enue Bulletin the names and addresses of
practitioners who have been suspended
from such practice, their designation as at-
torney, certified public accountant, en-
rolled agent or enrolled actuary, and date

or period of suspension. This announce-
ment will appear in the weekly Bulletin at
the earliest practicable date after such ac-
tion and will continue to appear in the
weekly Bulletins for five successive
weeks or for as many weeks as is practica-
ble for each attorney, certified public ac-
countant, enrolled agent or enrolled actu-
ary so suspended and will be consolidated
and published in the Cumulative Bulletin.
The following individuals have been
placed under consent suspension from
practice before the Internal Revenue Ser-
vice:
May 30, 200011462000–22 I.R.B.
Date of
NameAddressDesignationSuspension
Quann, WarrenElk Grove, CAAttorneyIndefinite
from
March 1, 1999
Helms, W. RichardWestern Springs, ILAttorneyMarch 1, 1999
to
August 31, 2002
Dillahunty, Larry L.St. Petersburg, FLAttorneyMarch 1, 1999
to
February 28, 2003
Friesen, AlanLincoln, NECPAMarch 8, 1999
to
July 7, 2002
Cummins, Richard L.Torrance, CACPAMarch 20, 1999
to
March 19, 2002
Potter, Thomas C.Oneonta, NYCPAApril 16, 1999
to
October 15, 2000
Jenkins, GordonIdaho Falls, IDAttorneyMay 1, 1999
to
October 31, 2002
Blair Jr., John D.Charleston, WVCPAJune 1, 1999
to
May 31, 2002
Caudle, LarryAnchorage, AKAttorneyJune 21, 1999
to
December 31, 2001
Schorr, HarveyVoorheese, NJCPAJuly 1, 1999
to
December 31, 2001
Fernandez, Michael J. Camillus, NYCPAJuly 7, 1999
to
July 6, 2000
Polking, William G.Carol, IAAttorneySeptember 27, 1999
to
September 26, 2000
Luxen, Robert J.Oak Lawn, ILCPAOctober 1, 1999
to
June 30, 2001
Underwood, KennethChattanooga, TNCPAOctober 14, 1999
to
April 13, 2001
Vancho, JohnGreenwich, CTCPANovember 1, 1999
to
October 31, 2001

2000–22 I.R.B.1147May 30, 2000
Enkulenko, ThomasMoscow, PACPANovember 15, 1999
to
November 14, 2000
Moody, James E.Pittsburgh, PACPADecember 1, 1999
to
November 30, 2000
Patterson, Robert A. Marietta, GACPADecember 13, 1999
to
December 12, 2002
Hanson, Raymond L. Boise, IDCPAJanuary 1, 2000
to
December 31, 2001
Wallach, StevenNorth Brook, ILCPAFebruary 25, 2000
to
February 24, 2002
Watkins Sr., RichardWashington, MOCPAMarch 15, 2000
to
September 14, 2002
Peltin, RonaldEscanaba, MIEnrolledMarch 15, 2000
Agentto
March 14, 2003
Arwood, B. JoeChuckey, TNCPAMarch 20, 2000
to
June 19, 2001
Gazzola, Frank L.N. Mankato, MNCPAMay 1, 2000
to
October 31, 2002
O’Hearn, JamesBakersfield, CAEnrolledJune 1, 2000
Agentto
May 31, 2002
Dooner Jr., WilliamToms River, NJEnrolledJune 1, 2000
Agentto
August 31, 2000
Announcement of the Expedited Suspension of Attorneys, Certified
Public Accountants, Enrolled Agents, and Enrolled Actuaries From
Practice Before the Internal Revenue Service
Under title 31 of the Code of Federal
Regulations, section 10.76, the Director
of Practice is authorized to immediately
suspend from practice before the Internal
Revenue Service any practitioner who,
within five years, from the date the expe-
dited proceeding is instituted, (1) has had
a license to practice as an attorney, certi-
fied public accountant, or actuary sus-
pended or revoked for cause; or (2) has
been convicted of any crime under title 26
of the United States Code or, of a felony
under title 18 of the United States Code
involving dishonesty or breach of trust.
Attorneys, certified public accountants,
enrolled agents, and enrolled actuaries are
prohibited in any Internal Revenue Service
matter from directly or indirectly employ-
ing, accepting assistance from, being em-
ployed by, or sharing fees with, any practi-
tioner disbarred or suspended from practice
before the Internal Revenue Service.
To enable attorneys, certified pubic ac-
countants, enrolled agents, and enrolled ac-
tuaries to identify practitioners under expe-
dited suspension from practice before the
Internal Revenue Service, the Director of
Practice will announce in the Internal Rev-
enue Bulletin the names and addresses of
practitioners who have been suspended
from such practice, their designation as at-
torney, certified public accountant, enrolled
agent, or enrolled actuary, and date or pe-
riod of suspension. This announcement will
appear in the weekly Bulletin at the earliest
practicable date after such action and will
continue to appear in the weekly Bulletins
for five successive weeks or for as many
weeks as is practicable for each attorney,
certified public accountant, enrolled agent,
or enrolled actuary so suspended and will
be consolidated and published in the Cu-
mulative Bulletin.
The following individuals have been
placed under suspension from practice be-
fore the Internal Revenue Service by
virtue of the expedited proceeding provi-
sions of the applicable regulations:

May 30, 200011482000–22 I.R.B.
Date of
NameAddressDesignationSuspension
Moeller, David G.Golden Valley, MNAttorneyIndefinite
from
March 8, 1999
Dais, Robert E.Plano, TXCPAIndefinite
from
March 15, 1999
Taylor, Donald J.Sequim, WACPAIndefinite
from
March 15, 1999
Thurson, Terrance N.Jacksonville, FLCPAIndefinite
from
March 15, 1999
Hartman, RichardMerrick, NYAttorneyIndefinite
from
March 15, 1999
Mandel, Stewart I.Univ. Heigths, OHAttorneyIndefinite
from
March 15, 1999
Gowin, Dennis L.Falls Church, VACPAIndefinite
from
March 15, 1999
Kelly, RichardLloyd Harbor, NYAttorneyIndefinite
from
March 16, 1999
Nagel, Maxine M.Renton, WACPAIndefinite
from
March 16, 1999
Cox, James L.Bedford, TXCPAIndefinite
from
March 23, 1999
Shields, Morris R.Omaha, NECPAIndefinite
from
March 23, 1999
Stradone, Mark A.San Antonio, TXCPAIndefinite
from
March 24, 1999
Anderson, David J.Minnetonka, MNCPAIndefinite
from
March 28, 1999
Budenz, Lawrence J.Miamisburg, OHCPAIndefinite
from
March 28, 1999
Hogan, Kelly M.Ogallala, NEAttorneyIndefinite
from
March 28, 1999
Fernez, Daniel J.Monroe, CTCPAIndefinite
from
March 28, 1999
Fitsos, JohnSacramento, CAAttorneyIndefinite
from
March 28, 1999

Schweitzer, Clifford A.Aberdeen, SDCPAIndefinite
from
April 2, 1999
Magdalena, Lynn JosephMcAlester, OKCPAIndefinite
from
April 2, 1999
Parrott, GeorgeNashville, TNCPAIndefinite
from
April 2, 1999
Elder Jr., Wilton K.Burlington, NCAttorneyIndefinite
from
May 6, 1999
Passero, RobertSeal Beach, CACPAIndefinite
from
July 8, 1999
Stringham, RichardColumbia, MOCPAIndefinite
from
July 8, 1999
Koseluk, Alexander F.Omaha, NEAttorneyIndefinite
from
July 19, 1999
Dotson, Marshall F.Jacksonville, NCAttorneyIndefinite
from
July 27, 1999
Schaffer, Clark D.Atlantic Beach, FLCPAIndefinite
from
July 27, 1999
Zimmerman, RobertAlpharetta, GACPAIndefinite
from
January 17, 2000
2000–22 I.R.B.1149May 30, 2000

May 30, 2000i2000–22 I.R.B.
Revenue rulings and revenue procedures
(hereinafter referred to as “rulings”) that
have an effect on previous rulings use the
following defined terms to describe the
effect:
Amplified describes a situation where
no change is being made in a prior pub-
lished position, but the prior position is
being extended to apply to a variation of
the fact situation set forth therein. Thus,
if an earlier ruling held that a principle
applied to A, and the new ruling holds
that the same principle also applies to B,
the earlier ruling is amplified. (Compare
with modified, below).
Clarified is used in those instances
where the language in a prior ruling is
being made clear because the language
has caused, or may cause, some confu-
sion. It is not used where a position in a
prior ruling is being changed.
Distinguisheddescribes a situation
where a ruling mentions a previously
published ruling and points out an essen-
tial difference between them.
Modified is used where the substance
of a previously published position is
being changed. Thus, if a prior ruling
held that a principle applied to A but not
to B, and the new ruling holds that it ap-
plies to both A and B, the prior ruling is
modified because it corrects a published
position. (Compare with amplified and
clarified, above).
Obsoleted describes a previously pub-
lished ruling that is not considered deter-
minative with respect to future transac-
tions. This term is most commonly used
in a ruling that lists previously published
rulings that are obsoleted because of
changes in law or regulations. A ruling
may also be obsoleted because the sub-
stance has been included in regulations
subsequently adopted.
Revoked describes situations where the
position in the previously published rul-
ing is not correct and the correct position
is being stated in the new ruling.
Superseded describes a situation where
the new ruling does nothing more than
restate the substance and situation of a
previously published ruling (or rulings).
Thus, the term is used to republish under
the 1986 Code and regulations the same
position published under the 1939 Code
and regulations. The term is also used
when it is desired to republish in a single
ruling a series of situations, names, etc.,
that were previously published over a pe-
riod of time in separate rulings. If the
new ruling does more than restate the
substance of a prior ruling, a combination
of terms is used. For example, modified
and superseded describes a situation
where the substance of a previously pub-
lished ruling is being changed in part and
is continued without change in part and it
is desired to restate the valid portion of
the previously published ruling in a new
ruling that is self contained. In this case
the previously published ruling is first
modified and then, as modified, is super-
seded.
Supplemented is used in situations in
which a list, such as a list of the names of
countries, is published in a ruling and
that list is expanded by adding further
names in subsequent rulings. After the
original ruling has been supplemented
several times, a new ruling may be pub-
lished that includes the list in the original
ruling and the additions, and supersedes
all prior rulings in the series.
Suspended is used in rare situations to
show that the previous published rulings
will not be applied pending some future
action such as the issuance of new or
amended regulations, the outcome of
cases in litigation, or the outcome of a
Service study.
Abbreviations
The following abbreviations in current use and for-
merly used will appear in material published in the
Bulletin.
A—Individual.
Acq.—Acquiescence.
B—Individual.
BE—Beneficiary.
BK—Bank.
B.T.A.—Board of Tax Appeals.
C.—Individual.
C.B.—Cumulative Bulletin.
CFR—Code of Federal Regulations.
CI—City.
COOP—Cooperative.
Ct.D.—Court Decision.
CY—County.
D—Decedent.
DC—Dummy Corporation.
DE—Donee.
Del. Order—Delegation Order.
DISC—Domestic International Sales Corporation.
DR—Donor.
E—Estate.
EE—Employee.
E.O.—Executive Order.
ER—Employer.
ERISA—Employee Retirement Income Security Act.
EX—Executor.
F—Fiduciary.
FC—Foreign Country.
FICA—Federal Insurance Contribution Act.
FISC—Foreign International Sales Company.
FPH—Foreign Personal Holding Company.
F.R.—Federal Register.
FUTA—Federal Unemployment Tax Act.
FX—Foreign Corporation.
G.C.M.—Chief Counsel’s Memorandum.
GE—Grantee.
GP—General Partner.
GR—Grantor.
IC—Insurance Company.
I.R.B.—Internal Revenue Bulletin.
LE—Lessee.
LP—Limited Partner.
LR—Lessor.
M—Minor.
Nonacq.—Nonacquiescence.
O—Organization.
P—Parent Corporation.
PHC—Personal Holding Company.
PO—Possession of the U.S.
PR—Partner.
PRS—Partnership.
PTE—Prohibited Transaction Exemption.
Pub. L.—Public Law.
REIT—Real Estate Investment Trust.
Rev. Proc.—Revenue Procedure.
Rev. Rul.—Revenue Ruling.
S—Subsidiary.
S.P.R.—Statements of Procedral Rules.
Stat.—Statutes at Large.
T—Target Corporation.
T.C.—Tax Court.
T.D.—Treasury Decision.
TFE—Transferee.
TFR—Transferor.
T.I.R.—Technical Information Release.
TP—Taxpayer.
TR—Trust.
TT—Trustee.
U.S.C.—United States Code.
X—Corporation.
Y—Corporation.
Z—Corporation.
Definition of Terms

2000–22 I.R.B.iiMay 30, 2000
Numerical Finding List
1
Bulletins 2000–1 through 2000–21
Announcements:
2000–1, 2000–2 I.R.B. 294
2000–2, 2000–2 I.R.B. 295
2000–3, 2000–2 I.R.B. 296
2000–4, 2000–3 I.R.B. 317
2000–5, 2000–4 I.R.B. 427
2000–6, 2000–4 I.R.B. 428
2000–7, 2000–6 I.R.B. 586
2000–8, 2000–6 I.R.B. 586
2000–9, 2000–9 I.R.B. 733
2000–10, 2000–9 I.R.B. 733
2000–11, 2000–10 I.R.B. 739
2000–12, 2000–12 I.R.B. 835
2000–13, 2000–11 I.R.B. 771
2000–14, 2000–11 I.R.B. 772
2000–15, 2000–12 I.R.B. 837
2000–16, 2000–12 I.R.B. 837
2000–17, 2000–13 I.R.B. 846
2000–18, 2000–13 I.R.B. 846
2000–19, 2000–19 I.R.B. 973
2000–20, 2000–19 I.R.B. 977
2000–21, 2000–19 I.R.B. 983
2000–22, 2000–19 I.R.B. 987
2000–23, 2000–19 I.R.B. 992
2000–24, 2000–14 I.R.B. 855
2000–25, 2000–14 I.R.B. 855
2000–26, 2000–15 I.R.B. 876
2000–27, 2000–15 I.R.B. 876
2000–28, 2000–15 I.R.B. 876
2000–29, 2000–15 I.R.B. 877
2000–30, 2000–15 I.R.B. 877
2000–31, 2000–15 I.R.B. 877
2000–32, 2000–15 I.R.B. 879
2000–33, 2000–15 I.R.B. 878
2000–34, 2000–15 I.R.B. 879
2000–35, 2000–16 I.R.B. 922
2000–36, 2000–16 I.R.B. 947
2000–37, 2000–16 I.R.B. 947
2000–38, 2000–16 I.R.B. 948
2000–39, 2000–16 I.R.B. 948
2000–40, 2000–16 I.R.B. 948
2000–41, 2000–16 I.R.B. 949
2000–42, 2000–16 I.R.B. 949
2000–43, 2000–17 I.R.B. 957
2000–44, 2000–17 I.R.B. 958
2000–45, 2000–18 I.R.B. 962
2000–46, 2000–19 I.R.B. 997
2000–47, 2000–21 I.R.B. 1118
2000–49, 2000–19 I.R.B. 998
2000–50, 2000–19 I.R.B. 998
Court Decisions:
2066, 2000–15 I.R.B. 867
2067, 2000–15 I.R.B. 863
Notices:
2000–1, 2000–2 I.R.B. 288
2000–2, 2000–9 I.R.B. 727
2000–3, 2000–4 I.R.B. 413
2000–4, 2000–3 I.R.B. 313
2000–5, 2000–3 I.R.B. 314
2000–6, 2000–3 I.R.B. 315
2000–7, 2000–4 I.R.B. 419
2000–8, 2000–4 I.R.B. 420
2000–9, 2000–5 I.R.B. 449
2000–10, 2000–5 I.R.B. 451
Notices—continued:
2000–11, 2000–6 I.R.B. 572
2000–12, 2000–9 I.R.B. 727
2000–13, 2000–9 I.R.B. 732
2000–14, 2000–10 I.R.B. 737
2000–15, 2000–12 I.R.B. 826
2000–16, 2000–12 I.R.B. 826
2000–17, 2000–12 I.R.B. 827
2000–18, 2000–13 I.R.B. 845
2000–19, 2000–13 I.R.B. 845
2000–20, 2000–14 I.R.B. 851
2000–21, 2000–19 I.R.B. 967
2000–22, 2000–16 I.R.B. 902
2000–23, 2000–17 I.R.B. 952
2000–24, 2000–17 I.R.B. 952
2000–25, 2000–17 I.R.B. 954
2000–26, 2000–17 I.R.B. 954
2000–27, 2000–21 I.R.B. 1116
2000–28, 2000–21 I.R.B. 1116
Proposed Regulations:
REG–208280–86, 2000–8 I.R.B. 654
REG–209135–88, 2000–8 I.R.B. 681
REG–208254–90, 2000–6 I.R.B. 577
REG–209601–92, 2000–12 I.R.B. 829
REG–100276–97, 2000–8 I.R.B. 682
REG–101492–98, 2000–3 I.R.B. 326
REG–106012–98, 2000–2 I.R.B. 290
REG–109101–98, 2000–16 I.R.B. 903
REG–110311–98, 2000–11 I.R.B. 767
REG–103831–99, 2000–5 I.R.B. 452
REG–103882–99, 2000–8 I.R.B. 706
REG–105089–99, 2000–6 I.R.B. 580
REG–105279–99, 2000–8 I.R.B. 707
REG–105606–99, 2000–4 I.R.B. 421
REG–107872–99, 2000–16 I.R.B. 911
REG–111119–99, 2000–5 I.R.B. 455
REG–113572–99, 2000–7 I.R.B. 624
REG–116048–99, 2000–6 I.R.B. 584
REG–116567–99, 2000–5 I.R.B. 463
REG–116704–99, 2000–3 I.R.B. 325
REG–117162–99, 2000–15 I.R.B. 871
REG–100163–00, 2000–7 I.R.B. 633
REG–100291–00, 2000–16 I.R.B. 917
REG–103735–00, 2000–11 I.R.B. 770
REG–103736–00, 2000–11 I.R.B. 768
Railroad Retirement Quarterly Rate:
2000–9 I.R.B. 721
Revenue Procedures:
2000–1, 2000–1 I.R.B. 4
2000–2, 2000–1 I.R.B. 73
2000–3, 2000–1 I.R.B. 103
2000–4, 2000–1 I.R.B. 115
2000–5, 2000–1 I.R.B. 158
2000–6, 2000–1 I.R.B. 187
2000–7, 2000–1 I.R.B. 227
2000–8, 2000–1 I.R.B. 230
2000–9, 2000–2 I.R.B. 280
2000–10, 2000–2 I.R.B. 287
2000–11, 2000–3 I.R.B. 309
2000–12, 2000–4 I.R.B. 387
2000–13, 2000–6 I.R.B. 515
2000–14, 2000–18 I.R.B. 960
2000–15, 2000–5 I.R.B. 447
2000–16, 2000–6 I.R.B. 518
2000–17, 2000–11 I.R.B. 766
2000–18, 2000–9 I.R.B. 722
2000–19, 2000–12 I.R.B. 785
Revenue Procedures—continued:
2000–20, 2000–6 I.R.B. 553
2000–21, 2000–19 I.R.B. 971
2000–22, 2000–20 I.R.B. 1008
2000–23, 2000–21 I.R.B. 1018
2000–25, 2000–21 I.R.B. 1033
Revenue Rulings:
2000–1, 2000–2 I.R.B. 250
2000–2, 2000–3 I.R.B. 305
2000–3, 2000–3 I.R.B. 297
2000–4, 2000–4 I.R.B. 331
2000–5, 2000–5 I.R.B. 436
2000–6, 2000–6 I.R.B. 512
2000–7, 2000–9 I.R.B. 712
2000–8, 2000–7 I.R.B. 617
2000–9, 2000–6 I.R.B. 497
2000–10, 2000–8 I.R.B. 643
2000–11, 2000–10 I.R.B. 734
2000–12, 2000–11 I.R.B. 744
2000–13, 2000–12 I.R.B. 774
2000–14, 2000–12 I.R.B. 779
2000–15, 2000–12 I.R.B. 774
2000–16, 2000–12 I.R.B. 780
2000–17, 2000–13 I.R.B. 842
2000–18, 2000–14 I.R.B. 847
2000–19, 2000–14 I.R.B. 849
2000–20, 2000–16 I.R.B. 880
2000–21, 2000–16 I.R.B. 881
2000–22, 2000–16 I.R.B. 880
2000–23, 2000–19 I.R.B. 964
2000–24, 2000–19 I.R.B. 963
2000–25, 2000–20 I.R.B. 1006
2000–27, 2000–21 I.R.B. 1016
Treasury Decisions:
8849, 2000–2 I.R.B. 245
8850, 2000–2 I.R.B. 265
8851, 2000–2 I.R.B. 275
8852, 2000–2 I.R.B.253
8853, 2000–4 I.R.B.377
8854, 2000–3 I.R.B.306
8855, 2000–4 I.R.B.374
8856, 2000–3 I.R.B.298
8857, 2000–4 I.R.B.365
8858, 2000–4 I.R.B.332
8859, 2000–5 I.R.B.429
8860, 2000–5 I.R.B.437
8861, 2000–5 I.R.B.441
8862, 2000–6 I.R.B.466
8863, 2000–6 I.R.B.488
8864, 2000–7 I.R.B.614
8865, 2000–7 I.R.B.589
8866, 2000–6 I.R.B.495
8867, 2000–7 I.R.B.620
8868, 2000–6 I.R.B.491
8869, 2000–6 I.R.B.498
8870, 2000–8 I.R.B.647
8871, 2000–8 I.R.B.641
8872, 2000–8 I.R.B.639
8873, 2000–9 I.R.B.713
8874, 2000–8 I.R.B.644
8875, 2000–11 I.R.B.761
8876, 2000–11 I.R.B.753
8877, 2000–11 I.R.B.747
8878, 2000–15 I.R.B.857
8879, 2000–16 I.R.B.882
8880, 2000–20 I.R.B.1003
1
A cumulative list of all revenue rulings, revenue
procedures, Treasury decisions, etc., published in
Internal Revenue Bulletins 1999–27 through
1999–52 is in Internal Revenue Bulletin 2000–1,
dated January 3, 2000.

May 30, 2000iii2000–22 I.R.B.
Finding List of Current Actions on
Previously Published Items
1
Bulletins 2000–1 through 2000–21
Announcements:
99–40
Obsoleted by
T.D. 8879, 2000–16 I.R.B. 882
99–50
Modified by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
99–59
Superseded by
Announcement 2000–47, 2000–21 I.R.B. 1118
2000–18
Corrected by
Announcement 2000–32, 2000–15 I.R.B. 878
Notices:
88–125
Obsoleted by
T.D. 8870, 2000–8 I.R.B. 647
92–48
Obsoleted by
Notice 2000–11, 2000–6 I.R.B. 572
97–19
Modified by
Rev. Proc. 2000–1, 2000–1 I.R.B. 4
98–22
Obsoleted by
T.D. 8870, 2000–8 I.R.B. 647
98–52
Modified by
Notice 2000–3, 2000–4 I.R.B. 413
98–61
Modified and superseded by
Rev. Proc. 2000–15, 2000–5 I.R.B. 447
99–8
Obsoleted by
Rev. Proc. 2000–12, 2000–4 I.R.B. 387
2000–4
Corrected by
Announcement 2000–9, 2000–9 I.R.B. 733
Proposed Regulations:
REG–209601–92
Corrected by
Announcement 2000–40, 2000–16 I.R.B. 948
REG–100276–97
Corrected by
Announcement 2000–38, 2000–16 I.R.B. 948
REG–101492–98
Corrected by
Announcement 2000–16, 2000–12 I.R.B. 837
REG–113572–99
Corrected by
Announcement 2000–41, 2000–16 I.R.B. 949
REG–103736–00
Corrected by
Announcement 2000–44, 2000–17 I.R.B. 958
Revenue Procedures:
80–18
Modified by
Rev. Proc. 2000–13, 2000–6 I.R.B. 515
89–9
Superseded by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
89–13
Superseded by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
90–21
Superseded by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
91–66
Superseded by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
92–13
Modified, amplified, and superseded by
Rev. Proc. 2000–11, 2000–3 I.R.B. 309
92–13A
Modified, amplified, and superseded by
Rev. Proc. 2000–11, 2000–3 I.R.B. 309
92–41
Superseded by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
93–9
Superseded by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
93–10
Superseded by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
94–12
Modified, amplified, and superseded by
Rev. Proc. 2000–11, 2000–3 I.R.B. 309
95–42
Superseded by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
96–13
Modified by
Rev. Proc. 2000–1, 2000–1 I.R.B. 4
98–22
Modified and superseded by
Rev. Proc. 2000–16, 2000–6 I.R.B. 518
98–27
Superseded by
Rev. Proc. 2000–12, 2000–4 I.R.B. 387
98–64
Superseded by
Rev. Proc. 2000–9, 2000–2 I.R.B. 280
98–65
Superseded by
Rev. Proc. 2000–19, 2000–12 I.R.B. 785
99–1
Superseded by
Rev. Proc. 2000–1, 2000–1 I.R.B. 4
99–2
Superseded by
Rev. Proc. 2000–2, 2000–1 I.R.B. 73
99–3
Superseded by
Rev. Proc. 2000–3, 2000–1 I.R.B. 103
Revenue Procedures—Continued:
99–4
Superseded by
Rev. Proc. 2000–4, 2000–1 I.R.B. 115
99–5
Superseded by
Rev. Proc. 2000–5, 2000–1 I.R.B. 158
99–6
Superseded by
Rev. Proc. 2000–6, 2000–1 I.R.B. 187
99–7
Superseded by
Rev. Proc. 2000–7, 2000–1 I.R.B. 227
99–8
Superseded by
Rev. Proc. 2000–8, 2000–1 I.R.B. 230
99–13
Modified and superseded by
Rev. Proc. 2000–16, 2000–6 I.R.B. 518
99–20
Supplemented by
Rev. Proc. 2000–14, 2000–18 I.R.B. 960
99–22
Obsoleted by
(except as provided in section 5.02 of)
Rev. Proc. 2000–21, 2000–19 I.R.B. 971
99–24
Superseded by
Rev. Proc. 2000–23, 2000–21 I.R.B. 1018
99–29
Superseded by
Rev. Proc. 2000–25, 2000–21 I.R.B. 1033
99–31
Modified and superseded by
Rev. Proc. 2000–16, 2000–6 I.R.B. 518
99–49
Modified and amplified by
Rev. Rul. 2000–4, 2000–4 I.R.B. 331
Rev. Rul. 2000–7, 2000–9 I.R.B. 712
Notice 2000–4, 2000–3 I.R.B. 313
99–51
Superseded by
Rev. Proc. 2000–3, 2000–1 I.R.B. 103
2000–6
Modified by
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
2000–8
Modified by
Rev. Proc. 2000–16, 2000–6 I.R.B. 518
Rev. Proc. 2000–20, 2000–6 I.R.B. 553
2000–12
Corrected by
Announcement 2000–50, 2000–19 I.R.B. 998
2000–16
Corrected by
Announcement 2000–17, 2000–13 I.R.B. 846
Revenue Rulings:
57–259
Obsoleted by
T.D. 8879, 2000–16 I.R.B. 882
1
A cumulative list of current actions on previously
published items in Internal Revenue Bulletins
1999–27 through 1999–52 is in Internal Revenue
Bulletin 2000–1, dated January 3, 2000.

2000–22 I.R.B.ivMay 30, 2000
\Revenue Rulings—continued:
57–499
Obsoleted by
T.D. 8879, 2000–16 I.R.B. 882
73–292
Obsoleted by
T.D. 8879, 2000–16 I.R.B. 882
76–79
Distinguised by
Rev. Rul. 2000–24, 2000–19 I.R.B. 963
78–218
Obsoleted by
T.D. 8879, 2000–16 I.R.B. 882
86–62
Obsoleted by
T.D. 8879, 2000–16 I.R.B. 882
88–36
Modified by
Rev. Rul. 2000–6, 2000–6 I.R.B. 512
89–89
Obsoleted by
Rev. Rul. 2000–2, 2000–3 I.R.B. 305
92–19
Supplemented by
Rev. Rul. 2000–17, 2000–13 I.R.B. 842
98–30
Amplified and superseded by
Rev. Rul. 2000–8, 2000–7 I.R.B. 617
Treasury Decisions:
8734
Modified by
T.D. 8856, 2000–3 I.R.B. 298
8804
Modified by
T.D. 8856, 2000–3 I.R.B. 298
8845
Corrected by
Announcement 2000–6, 2000–4 I.R.B. 428
8846
Corrected by
Announcement 2000–3, 2000–2 I.R.B. 296
8847
Corrected by
Announcement 2000–13, 2000–11 I.R.B. 771
8849
Corrected by
Announcement 2000–28, 2000–15 I.R.B. 876
8852
Corrected by
Announcement 2000–18, 2000–13 I.R.B. 846
8853
Corrected by
Announcement 2000–33, 2000–15 I.R.B. 878
8856
Corrected by
Announcement 2000–31, 2000–15 I.R.B. 877
8859
Corrected by
Announcement 2000–27, 2000–15 I.R.B. 876
8864
Corrected by
Announcement 2000–26, 2000–15 I.R.B. 876
8865
Corrected by
Announcement 2000–37, 2000–16 I.R.B. 947
Treasury Decisions—continued:
8867
Corrected by
Announcement 2000–30, 2000–15 I.R.B. 877
8869
Corrected by
Announcement 2000–36, 2000–16 I.R.B. 947
8870
Corrected by
Announcement 2000–34, 2000–15 I.R.B. 879
8874
Corrected by
Announcement 2000–29, 2000–15 I.R.B. 877

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