Internal Revenue Bulletin 2010-52 (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.

Bulletin No. 201
0-52
December 27, 201
0
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.
INCOME TAX
Rev. Rul. 2010–31, page 898.
Interest rates; underpayments and overpayments.The
rates for interest determined under section 6621 of the Code
for the calendar quarter beginning January 1, 2011, will
be 3 percent for overpayments (2 percent in the case of a
corporation), 3 percent for underpayments, and 5 percent for
large corporate underpayments. The rate of interest paid on
the portion of a corporate overpayment exceeding $10,000
will be 0.5 percent.
Notice 2010–87, page 908.
This notice provides transitional relief for determining the time-
liness of federal tax deposits (FTDs) under section 6302 of the
Code.
Notice 2010–92, page 916.
This notice primarily addresses the application of section 909
of the Code to foreign income taxes paid or accrued in tax-
able years of a section 902 corporation beginning on or before
December 31, 2010. It includes an exclusive list of arrange-
ments that will be treated as foreign tax credit splitting events
for those taxable years.
Announcement 2010–96, page 936.
The Internal Revenue Service announces the release of Form
8944,Preparer e-file Hardship Waiver Request,whichtaxre-
turn preparers who meet the definition of a specified tax return
preparer and who believe they may qualify for an undue hard-
ship waiver may begin to use to voluntarily submit an undue
hardship waiver request to the IRS now. Preparers must use
Form 8944 to voluntarily request a waiver. This announcement
also informs tax return preparers of the time limits for submit-
ting waiver requests for 2011, and that approval of any waiver
request is contingent upon and will not occur prior to the publi-
cation of final regulations and a final revenue procedure, which
is expected in early 2011.
EMPLOYEE PLANS
Notice 2010–90, page 909.
This notice contains the 2010 Cumulative List of Changes
in Plan Qualification Requirements (2010 Cumulative List)
described in section 4 of Rev. Proc. 2007–44, 2007–2 C.B.
54. The 2010 Cumulative List is to be used by plan sponsors
and practitioners submitting determination, opinion, or advi-
sory letter applications for plans during the period beginning
February 1, 2011, and ending January 31, 2012.
Notice 2010–93, page 923.
Weighted average interest rate update; corporate bond
indices; 30-year Treasury securities; segment rates.
This notice contains updates for the corporate bond weighted
average interest rate for planyears beginning in December
2010; the 24-month average segment rates; the funding tran-
sitional segment rates applicable for December 2010; and the
minimum present value transitional rates for November 2010.
Rev. Proc. 2010–52, page 927.
This document describes the procedure by which the plan spon-
sor of a multiemployer pension plan may request and obtain
approval of an extension of an amortization period in accor-
dance with section 431(d) of the Code. Rev. Proc. 2008–67
superseded. Rev. Proc. 2010–4 modified.
(Continued on the next page)
Actions Relating to Court Decisions is on the page following the Introduction.
Fi
nding Lists begin on page ii.
Index for July through December begins on page v.

EXEMPT ORGANIZATIONS
Notice 2010–87, page 908.
This notice provides transitional relief for determining the time-
liness of federal tax deposits (FTDs) under section 6302 of the
Code.
Announcement 2010–94, page 936.
TheIRShasrevokeditsdeterminationthattheArmenianRe-
lief Society of Richmond, TX; the Mexican American Research
Center, Inc., of Austin, TX; and Panhandle Land Conservancy,
Inc., of Destin, FL, qualify as organizations described in sec-
tions 501(c)(3) and 170(c)(2) of the Code.
EMPLOYMENT TAX
Notice 2010–87, page 908.
This notice provides transitional relief for determining the time-
liness of federal tax deposits (FTDs) under section 6302 of the
Code.
SELF-EMPLOYMENT TAX
Notice 2010–87, page 908.
This notice provides transitional relief for determining the time-
liness of federal tax deposits (FTDs) under section 6302 of the
Code.
EXCISE TAX
Notice 2010–87, page 908.
This notice provides transitional relief for determining the time-
liness of federal tax deposits (FTDs) under section 6302 of the
Code.
Notice 2010–89, page 908.
This notice requests public comments on issues to be ad-
dressed in guidance implementing the new excise tax on med-
ical devices imposed by section 4191 of the Code. Section
4191 was added by section 1405 of the Health Care and Ed-
ucation Reconciliation Act of 2010 (the Act), in conjunction
with the Patient Protection and Affordable Care Act. The new
excise tax applies to sales of taxable medical devices after
December 31, 2012.
ADMINISTRATIVE
Notice 2010–91, page 915.
This notice provides guidance on the application of section
3402(t) of the Code to payments made by credit, debit, stored
value, and other payment cards.
Notice 2010–94, page 927.
This notice delays the effective date for compliance with Rev-
enue Ruling 2006–57, 2006–2 C.B. 911, which provides guid-
ance on the use of smartcards, debit or credit cards, or other
electronic media to provide qualified transportation fringes un-
der section 132(f) of the Code, until January 1, 2012.
Announcement 2010–95, page 936.
This document contains a correction to final regulations
(T.D. 9340, 2007–2 C.B. 487) providing updated guidance
on section 403(b) contracts of public schools and tax-exempt
organizations described in section 501(c)((3). These
regulations will affect sponsors of section 403(b) contracts,
administrators, participants, and beneficiaries.
Announcement 2010–96, page 936.
The Internal Revenue Service announces the release of Form
8944,Preparer e-file Hardship Waiver Request,whichtaxre-
turn preparers who meet the definition of a specified tax return
preparer and who believe they may qualify for an undue hard-
ship waiver may begin to use to voluntarily submit an undue
hardship waiver request to the IRS now. Preparers must use
Form 8944 to voluntarily request a waiver. This announcement
also informs tax return preparers of the time limits for submit-
ting waiver requests for 2011, and that approval of any waiver
request is contingent upon and will not occur prior to the publi-
cation of final regulations and a final revenue procedure, which
is expected in early 2011.
December 27, 20102010–52 I.R.B.

The IRS Mission
Provide Americ
a’s taxpayers top-quality service by helping
them understa
nd and meet their tax responsibilities and en-
force the law wi
th integrity and fairness to all.
Introduction
The Internal Revenue Bulletin is the authoritative instrument of
the Commissioner of Internal Revenue for announcing official
rulings and procedures of the Internal Revenue Service and for
publishing Treasury Decisions, Executive Orders, Tax Conven-
tions, 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 compiled 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, mod-
ify, or amend any of those previously published in the Bulletin.
All published rulings apply retroactively unless otherwise indi-
cated. Procedures relating solely to matters of internal man-
agement 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 published rulings and
procedures, the effect of subsequent legislation, regulations,
court decisions, rulings, and procedures must be considered,
and Service personnel and others concerned are cautioned
against reaching the same conclusions in other cases unless
the facts and circumstances are substantially the same.
The Bulletin is divided into four parts as follows:
Part I.—19
86 Code.
This part i
ncludes rulings and decisions based on provisions of
the Intern
al Revenue Code of 1986.
Part II.—Treaties and Tax Legislation.
This part is divided into two subparts as follows: Subpart A,
Tax Conventions and Other Related Items, and Subpart B, Leg-
islation 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 Subparts. Also
included in this part are Bank Secrecy Act Administrative Rul-
ings. Bank Secrecy Act Administrative Rulings are issued by
the Department of the Treasury’s Office of the Assistant Secre-
tary (Enforcement).
Part IV
.—Items of General Interest.
This par
t includes notices of proposed rulemakings, disbar-
ment an
d suspension lists, and announcements.
The last 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 last Bulletin of each semiannual period.
The c
ontents 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.
2010–52 I.R.B.December 27, 2010

Actions Relati
ng to Decisions of the Tax Court
It is the policy
of the Internal Rev-
enue Service t
o announce at an early date
whether it wil
l follow the holdings in cer-
tain cases. An
Action on Decision is the
document maki
ng such an announcement.
An Action on De
cision will be issued at
the discreti
on of the Service only on unap-
pealed issue
s decided adverse to the gov-
ernment. Gen
erally, an Action on Decision
is issued whe
re its guidance would be help-
ful to Servi
ce personnel working with the
same or simi
lar issues. Unlike a Treasury
Regulation
or a Revenue Ruling, an Action
on Decision
is not an affirmative statement
of Service
position. It is not intended to
serve as pu
blic guidance and may not be
cited as pr
ecedent.
Actions on
Decisions shall be relied
upon withi
n the Service only as conclu-
sions appl
ying the law to the facts in the
particul
ar case at the time the Action on
Decision
was issued. Caution should be
exercise
d in extending the recommenda-
tion of th
e Action on Decision to similar
cases whe
re the facts are different. More-
over, th
e recommendation in the Action on
Decisio
n may be superseded by new legis-
lation,
regulations, rulings, cases, or Ac-
tions on
Decisions.
Prior to
1991, the Service published
acquies
cence or nonacquiescence only in
certain regula
r Tax Court opinions. The
Service has ex
panded its acquiescence
program to inc
lude other civil tax cases
where guidanc
e is determined to be help-
ful. Accordin
gly, the Service now may
acquiesce or n
onacquiesce in the holdings
of memorandu
m Tax Court opinions, as
well as those
of the United States District
Courts, Clai
ms Court, and Circuit Courts
of Appeal. Re
gardless of the court decid-
ing the case
, the recommendation of any
ActiononDe
cision will be published in
the Interna
l Revenue Bulletin.
The recomme
ndation in every Action
on Decision
will be summarized as ac-
quiescence
, acquiescence in result only,
or nonacqu
iescence. Both “acquiescence”
and “acqui
escence in result only” mean
that the Se
rvice accepts the holding of
the court i
n a case and that the Service
will foll
ow it in disposing of cases with
thesamec
ontrolling facts. However, “ac-
quiescen
ce” indicates neither approval
nor disap
proval of the reasons assigned
by the cou
rt for its conclusions; whereas,
“acquie
scence in result only” indicates
disagre
ement or concern with some or all
of those
reasons. “Nonacquiescence” sig-
nifies t
hat, although no further review was
sought,
the Service does not agree with
the hol
ding of the court and, generally,
will not follow
the decision in disposing
of cases invol
ving other taxpayers. In
reference to a
n opinion of a circuit court
of appeals, a “
nonacquiescence” indicates
that the Servi
ce will not follow the hold-
ingonanation
wide basis. However, the
Service will
recognize the precedential
impact of the
opinion on cases arising
within the ve
nue of the deciding circuit.
The Actions o
n Decisions published in
the weekly In
ternal Revenue Bulletin are
consolidate
d semiannually and appear in
the first Bu
lletin for July and the Cumula-
tive Bullet
in for the first half of the year. A
semiannual
consolidation also appears in
the first Bu
lletin for the following January
andintheC
umulative Bulletin for the last
half of the
year.
The Commis
sioner acquiescence in re-
sult only i
n the following decision:
Jerome R. V
ainisi and Deloris L.
Vainisi v.
Commissioner
1
599F.3d56
7 (7th Cir. 2010),
rev’g132 T
.C. No. 1 (2009)
1
Acquiesces in result whether the State Department certification required under IRC § 893(b) is a prerequisite for the tax exemption provided for in I.R.C. § 893(a).
December 27, 20102010–52 I.R.B.

Part I. Rulings
and Decisions Under the Internal Revenue Code
of 1986
Section 6621.
—Determina-
tion of Rate of
Interest
26 CFR 301.662
1–1: Interest rate.
Interest rate
s; underpayments and
overpayments
.The rates for inter-
est determine
dundersection6621of
the Code for t
he calendar quarter be-
ginning Janu
ary 1, 2011, will be 3
percent for o
verpayments (2 percent in
the case of a c
orporation), 3 percent for
underpayme
nts, and 5 percent for large
corporate u
nderpayments. The rate of
interest pa
id on the portion of a corporate
overpaymen
t exceeding $10,000 will be
0.5 percent
.
Rev. Rul. 2
010–31
Section 66
21 of the Internal Revenue
Code estab
lishes the rates for interest
on tax over
payments and tax underpay-
ments. Und
er section 6621(a)(1), the
overpaym
ent rate is the sum of the federal
short-te
rm rate plus 3 percentage points
(2 percen
tage points in the case of a cor-
poration
), except the rate for the portion
of a corpo
rate overpayment of tax exceed-
ing $10,
000 for a taxable period is the
sum of th
e federal short-term rate plus
0.5 of a p
ercentage point. Under section
6621(a)
(2), the underpayment rate is the
sum of th
e federal short-term rate plus 3
percen
tage points.
Section
6621(c) provides that for pur-
poses o
f interest payable under section
6601 on
any large corporate underpay-
ment, t
he underpayment rate under section
6621(a
)(2) is determined by substituting
“5 perc
entage points” for “3 percentage
point
s.” See section 6621(c) and section
301.6
621–3 of the Regulations on Proce-
dure a
nd Administration for the definition
of a la
rge corporate underpayment and
for th
e rules for determining the appli-
cable date. Se
ction 6621(c) and section
301.6621–3 ar
e generally effective for
periods after
December 31, 1990.
Section 6621(
b)(1) provides that the
Secretary wil
l determine the federal
short-term r
ate for the first month in each
calendar qua
rter. Section 6621(b)(2)(A)
provides tha
t the federal short-term rate
determined u
nder section 6621(b)(1) for
anymonthap
plies during the first calen-
dar quarter
beginning after that month.
Section 662
1(b)(2)(B) provides that in de-
termining t
he addition to tax under section
6654 for fa
ilure to pay estimated tax for
any taxabl
e year, the federal short-term
rate that a
pplies during the third month
following
the taxable year also applies
during the
first 15 days of the fourth
month fol
lowing the taxable year. Sec-
tion 6621
(b)(3) provides that the federal
short-te
rm rate for any month is the fed-
eral shor
t-term rate determined during that
monthbyt
he Secretary in accordance with
section
1274(d), roundedto the nearest
full per
cent (or, if a multiple of 1/2 of 1
percent
, the rate is increased to the next
highest
full percent).
Notice 8
8–59, 1988–1 C.B. 546, an-
nounced
that, in determining the quarterly
intere
st rates to be used for overpayments
and und
erpayments of tax under section
6621, t
he Internal Revenue Service will
use the
federal short-term rate based on
daily c
ompounding because that rate is
most c
onsistent with section 6621 which,
pursu
ant to section 6622, is subject to daily
compo
unding.
The fe
deral short-term rate determined
in acc
ordance with section 1274(d) dur-
ing Oc
tober 2010 is the rate published in
Reven
ue Ruling 2010–26, 2010–44 I.R.B.
573,
to take effect beginning Novem-
ber 1
, 2010. The federal short-term rate,
roun
ded to the nearest full percent, based
on da
ily compounding determined during
the month of Oc
tober 2010 is 0 percent.
Accordingly,
an overpayment rate of 3
percent (2 per
cent in the case of a cor-
poration) an
d an underpayment rate of 3
percent are e
stablished for the calendar
quarter begi
nning January 1, 2011. The
overpayment
rate for the portion of a cor-
porate over
payment exceeding $10,000 for
the calenda
r quarter beginning January 1,
2011, is 0.5
percent. The underpayment
rate for lar
ge corporate underpayments for
the calenda
r quarter beginning January 1,
2011, is 5 p
ercent. These rates apply
to amounts
bearing interest during that
calendar q
uarter.
Under sect
ion 6621(b)(2)(B), the 3 per-
cent rate a
lso applies to estimated tax un-
derpaymen
ts for the first calendar quarter
in 2011 an
d for the first 15 days in April
2011.
Interest
factors for daily compound in-
terest fo
r an annual rate of 0.5 percent are
publishe
d in Appendix A of this Revenue
Ruling. I
nterest factors for daily com-
pound int
erest for annual rates of 2 per-
cent, 3 p
ercent, and 5 percent are published
in Table
s 7, 9, 11, and 15 of Rev. Proc.
95–17, 1
995–1 C.B. 561, 563, 565, and
569.
Annual i
nterest rates to be compounded
daily pu
rsuant to section 6622 that apply
for pri
or periods are set forth in the tables
accomp
anying this revenue ruling.
DRAFTI
NG INFORMATION
The pri
ncipal author of this revenue rul-
ing is D
eborah Colbert-James of the Of-
fice of
Associate Chief Counsel (Proce-
dure & A
dministration). For further infor-
matio
n regarding this revenue ruling, con-
tact M
s. Colbert-James at (202) 622–8143
(not a
toll-free call).
2010–52 I.R.B.898December 27, 2010

APPENDIX A
365 Day Year
0.5% Compound Ra
te 184 Days
DaysFactorDaysFactorDaysFactor
10.000013699630.000863380
125
0.001713784
20.000027397640.000877091126
0.001727506
30.000041096
65
0.0008908011270.001741228
4
0.000054796
66
0.000904512
128
0.001754951
50.000068495
670.0009182231290.001768673
6
0.000082195
680.0009319341300.001782396
7
0.000095894
69
0.000945646
1310.001796119
8
0.000109594
70
0.000959357
1320.001809843
90.000123294710.000973069133
0.001823566
10
0.000136995
720.0009867811340.001837290
11
0.000150695
730.001000493
1350.001851013
120.000164396740.0010142061360.001864737
130.00017809
7
75
0.00102791
8
1370.00187846
2
140.000191798760.0010416311380.001892186
150.0002054
99
77
0.0010553
44
139
0.0019059
10
160.0002192
01
78
0.001069057
140
0.001919635
170.000232902790.0010827701410.001933360
180.000246604800.001096484142
0.001947
085
190.000260
306
810.001110
197
1430.001960
811
200.000274008820.001123911144
0.001974536
210.00028771183
0.001137
625
145
0.001988262
220.000301
413
84
0.001151339
1460.002001
988
23
0.000315116850.001165054
147
0.002015714
240.000328819860.0011787681480.002029440
250.000342522
870.00119
2483
1490.00204
3166
26
0.000356225
880.001206198
1500.002056893
270.000369929890.001219913
151
0.002070620
280.0003
83633
900.0012
33629
152
0.0020
84347
290.000397336910.001247344
153
0.002098074
300.000411041920.001261060
154
0.002111801
31
0.000424745
930.001
274776
1550.002125529
320.000438449940.001288492
1560.002139257
33
0.00
0452154
95
0.001302208
1570.00
2152985
34
0.000465859
96
0.001315925158
0.00
2166713
350.000479564
970.001329641
159
0.002180441
360.00049326998
0.0
01343358
1600.002194169
37
0.000506974
99
0.001357075
1610.0
02207898
38
0.000520680
1000.0013707921620.002221627
39
0.0
00534386
101
0.0
01384510
163
0.0
02235356
40
0.000548092
10
2
0.
001398227
16
4
0.002249085
41
0.000561798
103
0.0014119451650.002262815
42
0.
000575504
104
0.
001425663
166
0.
002276544
43
0.000589211105
0.
001439381
16
7
0.
002290274
440.000602917106
0.001453100
1680.002304004
4
5
0.0006166241070.0014668181690.002317734
4
6
0
.000630331
1
08
0.001480537
1
70
0.002331465
470.000644039109
0.001494256
171
0.002345195
48
0.000657746
110
0.001507975
172
0.002358926
49
0.000671454
111
0.001521694
173
0.002372657
500.000685161
112
0.001535414
1740.002386388
51
0.000698869113
0.001549133175
0.002400120
520.000712578
114
0.001562853
176
0.002413851
53
0.000726286
1150.001576573
177
0.002427583
540.000739995
116
0.001590293
178
0.002441315
550.000753703
1170.001604014179
0.002455047
56
0.0007674121180.0016177341800.002468779
December 27, 20108992010–52 I.R.B.

365 Day Year
0.5% Compound Rate 184 Days
DaysFactorDaysFactorDaysFactor
57
0.000781121119
0.001631455
181
0.002482511
58
0.000794831120
0.001645176
1820.002496244
590.000808540
121
0.001658897
183
0.002509977
60
0.000822250
1220.001672619184
0.002523710
61
0.000835960
1230.001686340
620.0008496701240.001700062
366 Day Year
0.5% Compound Rate 184 Days
DaysFactorDaysFactorDaysFactor
10.000013661630.000861020
125
0.001709097
20.000027323640.0008746931260.001722782
30.000040984
65
0.0008883661270.001736467
4
0.000054646
660.000902040128
0.001750152
5
0.00006830867
0.000915713
1290.001763837
60.000081970680.000929387130
0.001777522
7
0.000095632
690.0009430611310.001791208
8
0.000109295
70
0.000956735
1320.001804893
9
0.000122958
710.000970409133
0.001818579
100.000136620720.000984084134
0.001832265
11
0.000150283
73
0.0009977581350.001845951
120.000163947740.001011433136
0.001859638
130.000177610
750.001025108
1370.001873324
140.000191274760.0010387831380.001887011
15
0.00020493877
0.001052459
1390.001900698
160.000218602780.001066134140
0.001914385
170.000232266790.0010798101410.001928073
18
0.000245930
800.0010934861420.001941760
19
0.000259595
810.001107162143
0.001955448
200.000273260820.0011208391440.001969136
210.00028692483
0.001134515145
0.001982824
22
0.000300590
840.001148192146
0.001996512
23
0.00031425585
0.0011618691470.002010201
240.00032792086
0.001175546
1480.002023889
250.000341586
870.001189223149
0.002037578
26
0.000355252
880.001202900
1500.002051267
270.00036891889
0.0012165781510.002064957
28
0.000382584
90
0.001230256152
0.002078646
29
0.000396251
910.001243934
153
0.002092336
300.00040991792
0.0012576121540.002106025
31
0.000423584
930.001271291
1550.002119715
32
0.000437251
940.001284969
1560.002133405
33
0.00045091895
0.001298648
157
0.002147096
34
0.000464586
960.001312327
158
0.002160786
350.000478253
970.001326006
159
0.002174477
360.00049192198
0.001339685
1600.002188168
37
0.000505589
99
0.001353365
161
0.002201859
38
0.000519257
1000.001367044162
0.002215550
39
0.000532925
1010.0013807241630.002229242
40
0.000546594
1020.0013944041640.002242933
41
0.000560262
103
0.0014080851650.002256625
42
0.000573931
104
0.001421765
1660.002270317
43
0.0005876001050.001435446
1670.002284010
440.0006012691060.0014491271680.002297702
45
0.0006149391070.001462808169
0.002311395
2010–52 I.R.B.900December 27, 2010

366 Day Year
0.5% Compound Rate 184 Days
DaysFactorDaysFactorDaysFactor
460.0006286081080.001476489170
0.002325087
470.0006422781090.0014901701710.002338780
48
0.000655948
110
0.001503852
172
0.002352473
490.000669618111
0.001517533
1730.002366167
50
0.000683289112
0.001531215
1740.002379860
510.000696959
113
0.0015448971750.002393554
52
0.000710630114
0.001558580
1760.002407248
53
0.000724301
1150.001572262
1770.002420942
54
0.000737972116
0.001585945
1780.002434636
550.000751643
117
0.001599628
1790.002448331
560.000765315
1180.001613311180
0.002462025
57
0.0007789861190.001626994181
0.002475720
580.000792658
1200.001640678182
0.002489415
59
0.000806330121
0.001654361
183
0.002503110
600.000820003122
0.001668045
184
0.002516806
61
0.000833675
1230.001681729
620.000847348124
0.001695413
TABLE OF INTEREST RATES
PERIODS BEFORE JUL. 1, 1975 — PERIODS ENDING DEC. 31, 1986
OVERPAYMENTS AND UNDERPAYMENTS
PERIODRATE
In 1995–1 C.B.
DAILY RATE TABLE
Before Jul. 1, 1975
6%
Table 2, pg. 557
Jul. 1, 1975—Jan. 31, 1976
9%
Table 4, pg. 559
Feb. 1, 1976—Jan. 31, 19787%
Table 3, pg. 558
Feb. 1, 1978—Jan. 31, 19806%
Table 2, pg. 557
Feb. 1, 1980—Jan. 31, 198212%
Table 5, pg. 560
Feb. 1, 1982—Dec. 31, 198220%
Table 6, pg. 560
Jan. 1, 1983—Jun. 30, 198316%
Table 37, pg. 591
Jul. 1, 1983—Dec. 31, 198311%
Table 27, pg. 581
Jan. 1, 1984—Jun. 30, 198411%
Table 75, pg. 629
Jul. 1, 1984—Dec. 31, 198411%
Table 75, pg. 629
Jan. 1, 1985—Jun. 30, 1985
13%
Table 31, pg. 585
Jul. 1, 1985—Dec. 31, 1985
11%
Table 27, pg. 581
Jan. 1, 1986—Jun. 30, 198610%
Table 25, pg. 579
Jul. 1, 1986—Dec. 31, 19869%
Table 23, pg. 577
TABLE OF INTEREST RATES
FROM JAN. 1, 1987 — DEC. 31, 1998
OVERPAYMENTSUNDERPAYMENTS
1995–1 C.B.1995–1 C.B.
RATE TABLEPGRATE TABLEPG
Jan. 1, 1987—Mar. 31, 19878%21
575
9%23
577
Apr. 1, 1987—Jun. 30, 19878%21
575
9%23
577
Jul. 1
, 1987—Sep. 30, 1987
8%21
575
9%23
577
Oct. 1, 1987—Dec. 31, 19879%23
577
10%
25579
Jan. 1, 1988—Mar. 31, 198810%7362711%
75
629
Apr.
1, 1988—Jun. 30, 1988
9%71
625
10%73627
Jul. 1, 1988—Sep. 30, 19889%71
625
10%73627
December 27, 20109012010–52 I.R.B.

TABLE OF INTEREST RATES
FROM JAN. 1, 1987 — DEC. 31, 1998 – Continued
OVERPAYMENTSUNDERPAYMENTS
1995–1 C.B.1995–1 C.B.
RATE TABLEPGRATE TABLEPG
Oct. 1, 1988—Dec. 31, 198810%7362711%
75
629
Jan. 1, 1989—Mar. 31, 198910%
25579
11%27
581
Apr. 1, 1989—Ju
n. 30, 1989
11%27
581
12%29
583
Jul. 1, 1989—Sep. 30, 198911%27
581
12%29
583
Oct. 1, 1989—Dec. 31, 198910%
25579
11%27
581
Jan. 1, 1990—M
ar. 31, 1990
10%
25579
11%27
581
Apr. 1, 1990—Jun. 30, 199010%
25579
11%27
581
Jul. 1, 1990—Sep. 30, 199010%
25579
11%27
581
Oct. 1, 1990—
Dec. 31, 1990
10%
25579
11%27
581
Jan. 1, 1991—Mar. 31, 199110%
25579
11%27
581
Apr. 1, 1991—Jun. 30, 19919%23
577
10%
25579
Jul. 1, 1991
—Sep. 30, 1991
9%23
577
10%
25579
Oct. 1, 1991—Dec. 31, 19919%23
577
10%
25579
Jan. 1, 1992—Mar. 31, 19928%696239%71
625
Apr. 1, 1992
—Jun. 30, 1992
7%676218%69623
Jul. 1, 1992—Sep. 30, 19927%676218%69623
Oct. 1, 1992—Dec. 31, 19926%
65
6197%67621
Jan. 1, 19
93—Mar. 31, 1993
6%17
571
7%19
573
Apr. 1, 1993—Jun. 30, 19936%17
571
7%19
573
Jul. 1, 1993—Sep. 30, 19936%17
571
7%19
573
Oct. 1, 19
93—Dec. 31, 1993
6%17
571
7%19
573
Jan. 1, 1994—Mar. 31, 19946%17
571
7%19
573
Apr. 1, 1994—Jun. 30, 19946%17
571
7%19
573
Jul. 1, 1
994—Sep. 30, 1994
7%19
573
8%21
575
Oct. 1, 1994—Dec. 31, 19948%21
575
9%23
577
Jan. 1,
1995—Mar. 31, 1995
8%21
575
9%23
577
Apr. 1, 1995—Jun. 30, 1995
9%23
577
10%
25579
Jul. 1, 1995—Sep. 30, 1995
8%21
575
9%23
577
Oct. 1
, 1995—Dec. 31, 1995
8%21
575
9%23
577
Jan. 1
, 1996—Mar. 31, 1996
8%696239%71
625
Apr. 1, 1996—Jun. 30, 19967%676218%69623
Jul. 1, 1996—Sep. 30, 19968%696239%71
625
Oct.
1, 1996—Dec. 31, 1996
8%696239%71
625
Jan. 1, 1997—Mar. 31, 19978%21
575
9%23
577
Apr. 1, 1997—Jun. 30, 19978%21
575
9%23
577
Jul
. 1, 1997—Sep. 30, 1997
8%21
575
9%23
577
Oct. 1, 1997—Dec. 31, 19978%21
575
9%23
577
Jan. 1, 1998—Mar. 31, 19988%21
575
9%23
577
Apr
. 1, 1998—Jun. 30, 1998
7%19
573
8%21
575
Jul. 1, 1998—Sep. 30, 19987%19
573
8%21
575
Oct. 1, 1998—Dec. 31, 19987%19
57
3
8%21
57
5
TABLE OF INTEREST RATES
FROM JANUARY 1, 1999 — PRESENT
NONCORPORATE OVERPAYMENTS AND UNDERPAYMENTS
19
95–1 C.B.
RA
TE
TA
BLE
PG
Jan
. 1, 1999—Mar. 31, 1999
7%19
573
Apr. 1, 1999—Jun. 30, 19998%21
575
Jul. 1, 1999—Sep. 30, 19998%21
57
5
Oc
t. 1, 1999—Dec. 31, 1999
8%21
575
Jan. 1, 2000—Mar. 31, 20008%69623
2010–52 I.R.B.902December 27, 2010

TABLE OF INTEREST RATES
FROM JANUARY 1, 1999 — PRESENT – Continued
NONCORPORATE OVERPAYMENTS AND UNDERPAYMENTS
1995–1 C.B.
RATETABLEPG
Apr. 1, 2000—Jun. 30, 20009%71
625
Jul. 1, 2000—Sep. 30, 20009%71
625
Oct. 1, 2000—Dec. 31, 20009%71
625
Jan. 1, 2001—Mar. 31, 20019%23
577
Apr. 1, 2001—Jun. 30, 20018%21
575
Jul. 1, 2001—Sep. 30, 20017%19
573
Oct. 1, 2001—Dec. 31, 20017%19
573
Jan. 1, 2002—Mar. 31, 20026%17
571
Apr. 1, 2002—Jun. 30, 20026%17
571
Jul. 1, 2002—Sep. 30, 20026%17
571
Oct. 1, 2002—Dec. 31, 20026%17
571
Jan. 1, 2003—Mar. 31, 2003
5%15569
Apr. 1, 2003—Jun. 30, 2003
5%15569
Jul. 1, 2003—Sep. 30, 2003
5%15569
Oct. 1, 2003—Dec. 31, 20034%13
567
Jan. 1, 2004—Mar. 31, 20044%61
615
Apr. 1, 2004—Jun. 30, 2004
5%
63617
Jul. 1, 2004—Sep. 30, 20044%61
615
Oct. 1, 2004—Dec. 31, 2004
5%
63617
Jan. 1, 2005—Mar. 31, 20055%15569
Apr. 1, 2005—Jun. 30, 2005
6%17
571
Jul. 1, 2005—Sep. 30, 2005
6%17
571
Oct. 1, 2005—Dec. 31, 2005
7%19
573
Jan. 1, 2006—Mar. 31, 20067%19
573
Apr. 1, 2006—Jun. 30, 20067%19
573
Jul. 1, 2006—Sep. 30, 20068%21
575
Oct. 1, 2006—Dec. 31, 20068%21
575
Jan. 1, 2007—Mar. 31, 20078%21
575
Apr. 1, 2007—Jun. 30, 20078%21
575
Jul. 1, 2007—Sep. 30, 20078%21
575
Oct. 1, 2007—Dec. 31, 20078%21
575
Jan. 1, 2008—Mar. 31, 20087%67621
Apr. 1, 2008—Jun. 30, 20086%
65
619
Jul. 1, 2008—Sep. 30, 2008
5%
63
569
Oct. 1, 2008—Dec. 31, 20086%
65567
Jan. 1, 2009—Mar. 31, 2009
5%15567
Apr. 1, 2009—Jun. 30, 20094%13
567
Jul. 1, 2009—Sep. 30, 20094%13
567
Oct. 1, 2009—Dec. 31, 20094%13
567
Jan. 1, 2010—Mar. 31, 20104%13
567
Apr. 1, 2010—Jun. 30, 20104%13
567
Jul. 1, 2010—Sep. 30, 20104%13
567
Oct. 1, 2010—Dec. 31, 20104%13
567
Jan. 1, 2011—Mar. 31, 20113%11
565
December 27, 20109032010–52 I.R.B.

TABLE OF INTEREST RATES
FROM JANUARY 1, 1999 — PRESENT
CORPORATE OVERPAYMENTS AND UNDERPAYMENTS
OVERPAYMENTSUNDERPAYMENTS
1995–1 C.B.1995–1 C.B.
RATE TABLEPGRATE TABLEPG
Jan. 1, 1999—Mar. 31, 19996%17
571
7%19
573
Apr. 1, 1999—Jun
. 30, 1999
7%19
573
8%21
575
Jul. 1, 1999—Sep. 30, 19997%19
573
8%21
575
Oct. 1, 1999—Dec. 31, 19997%19
573
8%21
575
Jan. 1, 2000—Ma
r. 31, 2000
7%676218%69623
Apr. 1, 2000—Jun. 30, 20008%696239%71
625
Jul. 1, 2000—Sep. 30, 20008%696239%71
625
Oct. 1, 2000—D
ec. 31, 2000
8%696239%71
625
Jan. 1, 2001—Mar. 31, 20018%21
575
9%23
577
Apr. 1, 2001—Jun. 30, 20017%19
573
8%21
575
Jul. 1, 2001—
Sep. 30, 2001
6%17
571
7%19
573
Oct. 1, 2001—Dec. 31, 20016%17
571
7%19
573
Jan. 1, 2002—Mar. 31, 2002
5%15569
6%17
571
Apr. 1, 2002
—Jun. 30, 2002
5%15569
6%17
571
Jul. 1, 2002—Sep. 30, 2002
5%15569
6%17
571
Oct. 1, 2002—Dec. 31, 2002
5%15569
6%17
571
Jan. 1, 200
3—Mar. 31, 2003
4%13
5675%15569
Apr. 1, 2003—Jun. 30, 20034%13
5675%15569
Jul. 1, 2003—Sep. 30, 20034%13
5675%15569
Oct. 1, 20
03—Dec. 31, 2003
3%11
565
4%13
567
Jan. 1, 2004—Mar. 31, 20043%
59
6134%61
615
Apr. 1, 2004—Jun. 30, 20044%61
6155%
63617
Jul. 1, 2
004—Sep. 30, 2004
3%
59
6134%61
615
Oct. 1, 2004—Dec. 31, 20044%61
6155%
63617
Jan. 1, 2
005—Mar. 31, 2005
4%13
5675%15569
Apr. 1, 2005—Jun. 30, 20055%15569
6%17
571
Jul. 1, 2005—Sep. 30, 20055%15569
6%17
571
Oct. 1,
2005—Dec. 31, 2005
6%17
571
7%19
573
Jan. 1,
2006—Mar. 31, 2006
6%17
571
7%19
573
Apr. 1, 2006—Jun. 30, 20066%17
571
7%19
573
Jul. 1, 2006—Sep. 30, 20067%19
573
8%21
575
Oct. 1
, 2006—Dec. 31, 2006
7%19
573
8%21
575
Jan. 1, 2007—Mar. 31, 20077%19
573
8%21
575
Apr. 1, 2007—Jun. 30, 20077%19
573
8%21
575
Jul.
1, 2007—Sep. 30, 2007
7%19
573
8%21
575
Oct. 1, 2007—Dec. 31, 20077%19
573
8%21
575
Jan. 1, 2008—Mar. 31, 20086%
65
6197%67621
Apr
. 1, 2008—Jun. 30, 2008
5%
636176%
65
619
Jul. 1, 2008—Sep. 30, 20084%61
6155%
63617
Oct. 1, 2008—Dec. 31, 2008
5%
636176%
65
619
Jan
. 1, 2009—Mar. 31, 2009
4%13
5675%15569
Apr. 1, 2009—Jun. 30, 20093%11
565
4%13
567
Jul. 1, 2009—Sep. 30, 20093%11
56
5
4%13
56
7
Oc
t. 1, 2009—Dec. 31, 2009
3%11
565
4%13
567
Jan. 1, 2010—Mar. 31, 20103%11
565
4%13
567
Apr. 1, 2010—Jun. 30, 20103%11
5
65
4%13
5
67
J
ul. 1, 2010—Sep. 30, 2010
3
%
1
1
565
4
%
1
3
567
Oct. 1, 2010—Dec. 31, 20103%11
565
4%13
567
Jan. 1, 2011—Mar. 31, 20112%9
563
3%11
565
2010–52 I.R.B.904December 27, 2010

TABLE OF INTEREST RATES FOR
LARGE CORPORATE UNDERPAYMENTS
FROM JANUARY 1, 1991 — PRESENT
1995–1 C.B.
RATETABLEPG
Jan. 1, 1991—Mar. 31, 199113%31
585
Apr. 1, 1991—Jun. 30, 199112%29
583
Jul. 1, 1991—Sep. 30, 199112%29
583
Oct. 1, 1991—Dec. 31, 199112%29
583
Jan. 1, 1992—Mar. 31, 199211%
75
629
Apr. 1, 1992—Jun. 30, 199210%73627
Jul. 1, 1992—Sep. 30, 199210%73627
Oct. 1, 1992—Dec. 31, 19929%71
625
Jan. 1, 1993—Mar. 31, 19939%23
577
Apr. 1, 1993—Jun. 30, 19939%23
577
Jul. 1, 1993—Sep. 30, 19939%23
577
Oct. 1, 1993—Dec. 31, 19939%23
577
Jan. 1, 1994—Mar. 31, 19949%23
577
Apr. 1, 1994—Jun. 30, 19949%23
577
Jul. 1, 1994—Sep. 30, 199410%
25579
Oct. 1, 1994—Dec. 31, 199411%27
581
Jan. 1, 1995—Mar. 31, 1995
11%27
581
Apr. 1, 1995—Jun. 30, 1995
12%29
583
Jul. 1, 1995—Sep. 30, 1995
11%27
581
Oct. 1, 1995—Dec. 31, 1995
11%27
581
Jan. 1, 1996—Mar. 31, 199611%
75
629
Apr. 1, 1996—Jun. 30, 199610%73627
Jul. 1, 1996—Sep. 30, 199611%
75
629
Oct. 1, 1996—Dec. 31, 199611%
75
629
Jan. 1, 1997—Mar. 31, 199711%27
581
Apr. 1, 1997—Jun. 30, 199711%27
581
Jul. 1, 1997—Sep. 30, 199711%27
581
Oct. 1, 1997—Dec. 31, 199711%27
581
Jan. 1, 1998—Mar. 31, 199811%27
581
Apr. 1, 1998—Jun. 30, 199810%
25579
Jul. 1, 1998—Sep. 30, 199810%
25579
Oct. 1, 1998—Dec. 31, 199810%
25579
Jan. 1, 1999—Mar. 31, 19999%23
577
Apr. 1, 1999—Jun. 30, 199910%
25579
Jul. 1, 1999—Sep. 30, 199910%
25579
Oct. 1, 1999—Dec. 31, 199910%
25579
Jan. 1, 2000—Mar. 31, 200010%73627
Apr. 1, 2000—Jun. 30, 200011%
75
629
Jul. 1, 2000—Sep. 30, 200011%
75
629
Oct. 1, 2000—Dec. 31, 200011%
75
629
Jan. 1, 2001—Mar. 31, 200111%27
581
Apr. 1, 2001—Jun. 30, 200110%
25579
Jul. 1, 2001—Sep. 30, 20019%23
577
Oct. 1, 2001—Dec. 31, 20019%23
577
Jan. 1, 2002—Mar. 31, 20028%21
575
Apr. 1, 2002—Jun. 30, 20028%21
575
Jul. 1, 2002—Sep. 30, 20028%21
575
Oct. 1, 2002—Dec. 30, 20028%21
575
Jan. 1, 2003—Mar. 31, 20037%19
573
Apr. 1, 2003—Jun. 30, 20037%19
573
Jul. 1, 2003—Sep. 30, 20037%19
573
Oct. 1, 2003—Dec. 31, 20036%17
571
Jan. 1, 2004—Mar. 31, 20046%
65
619
Apr. 1, 2004—Jun. 30, 20047%67621
Jul. 1, 2004—Sep. 30, 20046%
65
619
Oct. 1, 2004—Dec. 31, 20047%67621
December 27, 20109052010–52 I.R.B.

TABLE OF INTEREST RATES FOR
LARGE CORPORATE UNDERPAYMENTS
FROM JANUARY 1, 1991 — PRESENT – Continued
1995–1 C.B.
RATETABLEPG
Jan. 1, 2005—Mar. 31, 2005
7%19
573
Apr. 1, 2005—Jun. 30, 2005
8%21
575
Jul. 1, 2005—Sep. 30, 2005
8%21
575
Oct. 1, 2005—Dec. 31, 2005
9%23
577
Jan. 1, 2006—Mar. 31, 20069%23
577
Apr. 1, 2006—Jun. 30, 20069%23
577
Jul. 1, 2006—Sep. 30, 200610%
25579
Oct. 1, 2006—Dec. 31, 200610%
25579
Jan. 1, 2007—Mar. 31, 200710%
25579
Apr. 1, 2007—Jun. 30, 200710%
25579
Jul. 1, 2007—Sep. 30, 200710%
25579
Oct. 1, 2007—Dec. 31, 200710%
25579
Jan. 1, 2008—Mar. 31, 20089%71
625
Apr. 1, 2008—Jun. 30, 20088%69623
Jul. 1, 2008—Sep. 30, 20087%67621
Oct. 1, 2008—Dec. 31, 20088%69623
Jan. 1, 2009—Mar. 31, 20097%19
573
Apr. 1, 2009—Jun. 30, 20096%17
571
Jul. 1, 2009—Sep. 30, 20096%17
571
Oct. 1, 2009—Dec. 31, 20096%17
571
Jan. 1, 2010—Mar. 31, 20106%17
571
Apr. 1, 2010—Jun. 30, 20106%17
571
Jul. 1, 2010—Sep. 30, 20106%17
571
Oct. 1, 2010—Dec. 31, 20106%17
571
Jan. 1, 2011—Mar. 31, 2011
5%15569
TABLE OF INTEREST RATES FOR CORPORATE
OVERPAYMENTS EXCEEDING $10,000
FROM J
ANUARY 1, 1995 — PRESENT
1995–1 C.B.
RATETABLEPG
Jan. 1, 1995—Mar. 31, 19956.5%
18
572
Apr. 1, 1995—Jun. 30, 19957.5%
20
574
Jul. 1, 1995—Sep. 30, 19956.5%
18
572
Oct. 1, 1995—Dec. 31, 19956.5%
18
572
Jan. 1, 1996—Mar. 31, 1996
6.5%
66620
Apr. 1, 1996—Jun. 30, 1996
5.5%
64618
Jul. 1, 1996—Sep. 30, 1996
6.5%
66620
Oct. 1, 1996—Dec. 31, 1996
6.5%
66620
Jan. 1, 1997—Mar. 31, 1997
6.5%
18
572
Apr. 1, 1997—Jun. 30, 1997
6.5%
18
572
Jul. 1, 1997—Sep. 30, 1997
6.5%
18
572
Oct. 1, 1997—Dec. 31, 1997
6.5%
18
572
Jan. 1, 1998—Mar. 31, 1998
6.5%
18
572
Apr. 1, 1998—Jun. 30, 1998
5.5%
16
570
Jul. 1, 1998—Sep. 30, 1998
5.5%
16
570
Oct. 1, 1998—Dec. 31, 1998
5.5%
16
570
Jan. 1, 1999—Mar. 31, 1999
4.5%
14
568
Apr. 1, 1999—Jun. 30, 1999
5.5%
16
570
Jul. 1, 1999—Sep. 30, 1999
5.5%
16
570
Oct. 1, 1999—Dec. 31, 1999
5.5%
16
570
Jan. 1, 2000—Mar. 31, 2000
5.5%
64618
2010–52 I.R.B.906December 27, 2010

TABLE OF INTEREST RATES FOR CORPORATE
OVERPAYMENTS E
XCEEDING $10,000
FROM JANUARY 1, 1995 — PRESENT – Continued
1995–1 C.B.
RATETABLEPG
Apr. 1, 2000—Jun. 30, 2000
6.5%
66620
Jul. 1, 2000—Sep. 30, 2000
6.5%
66620
Oct. 1, 2000—Dec. 31, 2000
6.5%
66620
Jan. 1, 2001—Mar. 31, 2001
6.5%
18
572
Apr. 1, 2001—Jun. 30, 2001
5.5%
16
570
Jul. 1, 2001—Sep. 30, 2001
4.5%
14
568
Oct. 1, 2001—Dec. 31, 2001
4.5%
14
568
Jan. 1, 2002—Mar. 31, 2002
3.5%
12
566
Apr. 1, 2002—Jun. 30, 2002
3.5%
12
566
Jul. 1, 2002—Sep. 30, 2002
3.5%
12
566
Oct. 1, 2002—Dec. 31, 2002
3.5%
12
566
Jan. 1, 2003—Mar. 31, 2003
2.5%
10
564
Apr. 1, 2003—Jun. 30, 2003
2.5%
10
564
Jul. 1, 2003—Sep. 30, 2003
2.5%
10
564
Oct. 1, 2003—Dec. 31, 2003
1.5%
8
562
Jan. 1, 2004—Mar. 31, 2004
1.5%56
610
Apr. 1, 2004—Jun. 30, 2004
2.5%58
612
Jul. 1, 2004—Sep. 30, 2004
1.5%56
610
Oct. 1, 2004—Dec. 31, 2004
2.5%58
612
Jan. 1, 2005—Mar. 31, 20052.5%
10
564
Apr. 1, 2005—Jun. 30, 20053.5%
12
566
Jul. 1, 2005—Sep. 30, 20053.5%
12
566
Oct. 1, 2005—Dec. 31, 20054.5%
14
568
Jan. 1, 2006—Mar. 31, 2006
4.5%
14
568
Apr. 1, 2006—Jun. 30, 2006
4.5%
14
568
Jul. 1, 2006—Sep. 30, 2006
5.5%
16
570
Oct. 1, 2006—Dec. 31, 2006
5.5%
16
570
Jan. 1, 2007—Mar. 31, 2007
5.5%
16
570
Apr. 1, 2007—Jun. 30, 2007
5.5%
16
570
Jul. 1, 2007—Sep. 30, 2007
5.5%
16
570
Oct. 1, 2007—Dec. 31, 2007
5.5%
16
570
Jan. 1, 2008—Mar. 31, 2008
4.5%
62616
Apr. 1, 2008—Jun. 30, 2008
3.5%
60614
Jul. 1, 2008—Sep. 30, 2008
2.5%58
612
Oct. 1, 2008—Dec. 31, 2008
3.5%
60614
Jan. 1, 2009—Mar. 31, 2009
2.5%
10
564
Apr. 1, 2009—Jun. 30, 2009
1.5%
8
562
Jul. 1, 2009—Sep. 30, 2009
1.5%
8
562
Oct. 1, 2009—Dec. 31, 2009
1.5%
8
562
Jan. 1, 2010—Mar. 31, 2010
1.5%
8
562
Apr. 1, 2010—Jun. 30, 2010
1.5%
8
562
Jul. 1, 2010—Sep. 30, 2010
1.5%
8
562
Oct. 1, 2010—Dec. 31, 2010
1.5%
8
562
Jan. 1, 2011—Mar. 31, 2011
0.5%*
December 27, 20109072010–52 I.R.B.

Part III. Administrative, Procedural, and Miscellaneous
Transitional Relief for
Determining Timeliness
of Federal Tax Deposits
Notice 2010–87
PURPOSE
This notice provides transitional relief
for determining the timeliness of Federal
tax deposits (FTDs) under section 6302 of
the Internal Revenue Code (“Code”). The
notice provides that the Internal Revenue
Service (“Service”) will not assert penal-
ties under Code section 6656 for FTDs
due in calendar year 2011 that are un-
timely solely because the depositor treated
a statewide legal holiday as if it were a le-
gal holiday in the District of Columbia.
BACKGROUND
Effective January 1, 2011, the Finan-
cial Management Service, a Bureau of
the Treasury Department, is eliminating
the system that allows FTDs to be made
using paper coupons at government de-
positary banks. On August 23, 2010,
the Treasury Department and the Service
published a notice of proposed rulemak-
ing (REG–153340–09, 2010–42 I.R.B.
469 (74 FR 51707)), to require electronic
funds transfer for all FTDs and to elim-
inate the rules regarding FTD coupons.
Since a taxpayer will no longer be able to
make FTDs at a government depositary
bank, the proposed regulations removed
references to “banking days” and instead
determined the timeliness of deposits by
reference to “business days,” meaning
every calendar day that is not a Saturday,
Sunday, or legal holiday under section
7503. These changes were adopted in the
final regulations published on December
7, 2010. T.D. 9507.
Consistent with section 7503, the term
“legal holiday” for FTD purposes includes
only those legal holidays in the District of
Columbia. Thus, a statewide legal holiday
will no longer be considered a legal hol-
iday unless the holiday coincides with a
legal holiday in the District of Columbia.
See Treas. Reg. §§ 31.6302–1(c)(2)(iii)
and (d) Example 5.
TRANSITIONAL RELIEF FOR
FEDERAL TAX DEPOSITS DUE IN
2011
Code section 6656 imposes a penalty if
a taxpayer does not deposit tax in the cor-
rect amount, within the prescribed time pe-
riod, and/or in the required manner. In or-
der to provide transitional relief, the Ser-
vice will not assert penalties under section
6656 for FTDs due during calendar year
2011 that are untimely solely because the
depositor treated a statewide legal holiday
as if it were a legal holiday in the District
of Columbia.
DRAFTING INFORMATION
The principal author of this notice is
Michael Hara of the Office of Associate
Chief Counsel (Procedure & Administra-
tion). For further information regarding
this notice, please contact Michael Hara at
(202) 622–4910 (not a toll-free call).
Request for Comments
Regarding the Excise Tax on
Medical Devices
Notice 2010–89
PURPOSE
This notice invites public comments re-
garding issues that should be addressed
in guidance implementing the new excise
tax on medical devices imposed by sec-
tion 4191 of the Internal Revenue Code
(Code). Section 4191 was added by sec-
tion 1405 of the Health Care and Educa-
tion Reconciliation Act of 2010, Pub. L.
No. 111–152, 124 Stat. 1029, 1064–1065
(the Act), in conjunction with the Patient
Protection and Affordable Care Act, Pub.
L. No. 111–148, 124 Stat. 119. The new
excise tax applies to sales of taxable med-
ical devices after December 31, 2012.
BACKGROUND
Under Chapter 32 (Manufacturers Ex-
cise Taxes) of Subtitle D of the Code,
excise taxes are imposed on the sales
of certain products by the manufacturer,
producer, or importer. The Act amended
Chapter 32 to add section 4191, which
imposes an excise tax on the sale of any
“taxable medical device” by the manufac-
turer, producer, or importer of the device
in an amount equal to 2.3 percent of the
sale price.
Section 4191(b)(1) provides that, in
general, a “taxable medical device” is any
device, as defined in section 201(h) of
the Federal Food, Drug, & Cosmetic Act
(FFDCA), that is intended for humans.
Section 201(h) of the FFDCA defines
“device” as an instrument, apparatus, im-
plement, machine, contrivance, implant,
in vitroreagent, or other similar or related
article, including any component, part, or
accessory, which is (1) recognized in the
official National Formulary, or the United
States Pharmacopeia, or any supplement
to them, (2) intended for use in the diag-
nosis of disease or other conditions, or in
the cure, mitigation, treatment, or preven-
tion of disease, or (3) intended to affect
the structure or any function of the body,
and which does not achieve its primary
intended purposes through chemical ac-
tion within or on the body and which is
not dependent upon being metabolized for
the achievement of its primary intended
purposes.
Section 4191(b)(2) provides that the
term “taxable medical device” does not
include eyeglasses, contact lenses, hear-
ing aids, or “any other medical device
determined by the Secretary to be of a
type which is generally purchased by the
general public at retail for individual use.”
Section 4221 exempts certain sales
from tax imposed under Chapter 32. The
Act amended section 4221 to limit the ex-
emptions for taxable medical device sales
to sales by the manufacturer, producer, or
importer (1) for use by the purchaser for
further manufacture, or for resale by the
purchaser to a second purchaser for use
by such second purchaser in further man-
ufacture; or (2) for export, or for resale
by the purchaser to a second purchaser for
export.
REQUEST FOR COMMENTS
The Internal Revenue Service and Trea-
sury Department request comments on
issues that should be addressed in guidance
implementing the excise tax on medi-
cal devices. Comments are specifically
2010–52 I.R.B.908December 27, 2010

requested on the exemption in section
4191(b)(2)(D) for any medical device
“determined by the Secretary to be of
a type which is generally purchased by
the general public at retail for individual
use.” In addition, comments are requested
on issues pertaining to the application
of existing Chapter 32 rules to section
4191. Comments must be submitted by
March 28, 2011. Comments, identified by
Notice 2010–89 may be sent by one of the
following methods:
•Mail:
Internal Revenue Service
CC:PA:LPD:PR (Notice 2010–89)
Room 5203
P. O. Box 7604
Ben Franklin Station
Washington, DC 20044
•Hand or courier delivery:
Submissions may be hand delivered
Monday through Friday between the
hours of 8 a.m. and 4 p.m. to:
Courier’s Desk
Internal Revenue Service
1111 Constitution Ave., N.W.
Washington, DC 20224
Attn: CC:PA:LPD:PR
(Notice 2010–89)
•Electronic:
Alternatively,taxpayers may
submit comments electronically to
Notice.Comments@irscounsel.treas.gov.
Please include “Notice 2010–89” in
the subject line of any electronic
communications.
All submissions will be available for
public inspection and copying in room
1621, 1111 Constitution Avenue, NW,
Washington, DC, from 9 a.m. to 4 p.m.
DRAFTING INFORMATION
The principal author of this notice is
Natalie A. Payne of the Office of Asso-
ciate Chief Counsel (Passthroughs & Spe-
cial Industries Division). For further infor-
mation regarding this notice, please con-
tact Ms. Payne or Stephanie Bland at (202)
622–3130 (not a toll-free call).
2010 Cumulative List of
Changes in Plan Qualification
Requirements
Notice 2010–90
I. PURPOSE
This notice contains the 2010 Cumu-
lative List of Changes in Plan Qualifi-
cation Requirements (2010 Cumulative
List) described in section 4 of Rev. Proc.
2007–44, 2007–2 C.B. 54. The 2010
Cumulative List is to be used by plan
sponsors and practitioners submitting de-
termination, opinion, or advisory letter
applications for plans during the period
beginning February 1, 2011 and ending
January 31, 2012. These plans will pri-
marily be (1) single employer individually
designed defined contribution plans, in-
cluding employee stock ownership plans
(ESOPs), and single employer individu-
ally designed defined benefit plans that
are in Cycle A and (2) defined contribu-
tion pre-approved plans (that is, defined
contribution plans that are master and pro-
totype (M&P) or volume submitter (VS)
plans) for the second submission under
the remedial amendment cycle under Rev.
Proc. 2007–44. Generally, an individually
designed plan is in Cycle A if the last digit
of the employer identification number of
the plan sponsor is 1 or 6.
The list of changes in section IV of
this notice does not extend the deadline by
which a plan must be amended to com-
ply with any statutory, regulatory, or guid-
ance changes. The general deadline for
timely adoption of an interim or discre-
tionary amendment can be found in section
5.05 of Rev. Proc. 2007–44.
II. BACKGROUND
Rev. Proc. 2007–44 sets forth pro-
cedures for issuing opinion, advisory,
and determination letters and describes
the five-year remedial amendment cycle
for individually designed plans and the
six-year remedial amendment cycle for
pre-approved plans. In addition, section
5.05 of Rev. Proc. 2007–44 provides the
deadline for timely adoption of an interim
amendment or discretionary amendment.
Under section 4 of Rev. Proc. 2007–44,
the Internal Revenue Service announces its
intention to annually publish a Cumulative
List to identify statutory, regulatory, and
guidance changes that must be taken into
account in submissions by plan sponsors to
the Service for opinion, advisory, and de-
termination letters whose submission pe-
riod begins on February 1st following is-
suance of the Cumulative List.
In Notice 2009–98, 2009–2 C.B. 974,
the Service published the 2009 Cumulative
List of Changes in Plan Qualification Re-
quirements (2009 Cumulative List).
1
III. APPLICATION OF 2010
CUMULATIVE LIST
This notice is being issued in conjunc-
tion with the determination letter program
for individually designed plans eligible
for Cycle A and the opinion and advi-
sory letter programs for M&P and VS
defined contribution pre-approved plans.
In accordance with Rev. Proc. 2007–44,
the Service will start accepting deter-
mination letter applications for Cycle A
individually designed plans beginning
on February 1, 2011. The 12-month
submission period for Cycle A plans will
end January 31, 2012. In addition, the
Service will start accepting opinion and
advisory letter applications for defined
contribution pre-approved plans beginning
on February 1, 2011. The 12-month
submission period for non-mass submitter
sponsors and practitioners, word-for-word
identical adopters, and M&P minor
modifier placeholder applications will
end January 31, 2012. The 9-month
submission period for mass submitters and
national sponsors will end October 31,
2011, as provided in section 18.02(1) of
Rev. Proc. 2007–44.
The 2010 Cumulative List, set forth
in section IV of this notice, informs plan
sponsors of issues the Service has specifi-
cally identified for review in determining
whether a plan filing in Cycle A has been
properly updated. Specifically, the 2010
Cumulative List reflects law changes un-
der the Economic Growth and Tax Relief
Reconciliation Act of 2001 (EGTRRA),
1
See Notice 2008–108, 2008–2 C.B. 1275; Notice 2007–94, 2007–2 C.B. 1179; Notice 2007–3, 2007–1 C.B. 255; Notice 2005–101, 2005–2 C.B. 1219, for the 2008, 2007, 2006, and 2005
Cumulative Lists, respectively.
December 27, 20109092010–52 I.R.B.

Pub. L. 107–16 (with technical corrections
made by the Job Creation and Worker
Assistance Act of 2002 (JCWAA), Pub.
L. 107–147), the Pension Funding Equity
Act of 2004 (PFEA), Pub. L. 108–218, the
Pension Protection Act of 2006 (PPA ’06),
Pub. L. 109–280, the U.S. Troop Readi-
ness, Veterans’ Care, Katrina Recovery,
and Iraq Accountability Appropriations
Act, 2007, Pub. L. 110–28, the Heroes
Earnings Assistance and Relief Tax Act of
2008 (HEART Act), Pub. L. 110–245, the
Worker, Retiree, and Employer Recovery
Act of 2008 (WRERA), Pub. L. 110–458,
and the Small Business Jobs Act of 2010
(SBJA), Pub. L. 111–240.
The HEART Act provisions formerly
appeared separately from the Cumulative
List of Changes in Plan Qualification Re-
quirements section of the 2008 and 2009
Cumulative Lists. The HEART Act provi-
sions are now included in the Cumulative
List of Changes in Plan Qualification Re-
quirements (which is section IV of this no-
tice) and are identified as “New.”
Section 201 of WRERA formerly ap-
peared separately from the Cumulative
List of Changes in Plan Qualification
Requirements section of the 2009 Cumu-
lative List. Section 201 is now included
in the Cumulative List of Changes in Plan
Qualification Requirements (which is sec-
tion IV of this notice) and is identified as
“New.”
If a plan, submitted between
February 1, 2011 and January 31, 2012,
is amended to reflect section 201 of
WRERA, the Service will consider
section 201 in issuing the determination
letter, opinion, or advisory letter. If a
noncalendar year plan, which does not
have to adopt the WRERA section 201
amendment until after January 31, 2012, is
submitted between February 1, 2011 and
January 31, 2012 without being amended
for section 201, then the Service will
consider section 201, if applicable, during
the next Cycle A or 6-year remedial
amendment cycle submission period.
The Service will no longer include
hurricane or disaster relief provisions,
which formerly appeared in the Cumula-
tive List of Changes in Plan Qualification
Requirements. Although no longer listed
in this notice, hurricane and other disas-
ter relief provisions continue to apply, if
applicable, to individual plans. For infor-
mation regarding tax relief provisions for
taxpayers affected by disaster relief situa-
tions go tohttp://www.irs.gov/newsroom/
article/0,,id=108362,00.html.
Except as provided below, the Service
will not consider in its review of any deter-
mination, opinion, or advisory letter appli-
cation, for the submission period that be-
gins February 1, 2011, any:
(1) guidance issued after October 1,
2010;
(2) statutes enacted after October 1,
2010;
(3) qualification requirements first ef-
fective in 2012 or later; or
(4) statutory provisions that are first ef-
fective in 2011, for which there is no guid-
ance identified in this notice.
2
However, in order to be qualified, a plan
must comply with all relevant qualification
requirements, not just those on the 2010
Cumulative List.
The 2010 Cumulative List includes the
following guidance issued after October 1,
2010:
•Notice 2010–84, 2010–51 I.R.B. 872,
(item 14 in section IV of this no-
tice). The Service will consider No-
tice 2010–84 in issuing an opinion,
advisory, or determination letter in
the case of a plan submitted between
February 1, 2011 and January 31,
2012, if the plan has been amended
to reflect section 2112 of SBJA,
regarding in-plan Roth rollovers.
•Final regulations under § 411(a)(13)
and § 411(b)(5) (75 Fed. Reg. 64123)
(items20and22insectionIVofthis
notice). The Service will consider the
final regulations under § 411(a)(13)
and§411(b)(5)inissuingadeter-
mination letter in the case of an ap-
plicable defined benefit plan (within
the meaning of § 411(a)(13)(C)) sub-
mitted between February 1, 2011 and
January 31, 2012.
•Notice 2010–77, 2010–51 I.R.B. 851,
extends the deadline for amending
cash balance and other applicable de-
fined benefit plans, within the meaning
of § 411(a)(13)(C), to meet the re-
quirements of § 411(a)(13) (other than
§ 411(a)(13)(A)) and § 411(b)(5) to
the last day of the first plan year that
begins on or after January 1, 2011. As
provided in Notice 2010–77, the filing
of a determination letter application in
the Cycle A submission period may
accelerate that deadline.
The Service will not consider § 414(x)
(item30insectionIVofthisnotice)in
issuing opinion and advisory letters for
pre-approved plans at this time.
With respect to matters addressed by
proposed regulations identified in the foot-
notes of section IV of this notice, the Ser-
vice’s review of the plan will be based on
a reasonable interpretation of the statute,
existing final regulations, or other pub-
lished guidance. For this purpose, com-
pliance with proposed regulations will be
treated as meeting that standard. However,
a determination, opinion, or advisory letter
cannot be relied on with respect to whether
the plan complies with the proposed regu-
lations.
Terminating plans must include all law
changes in effect at the time of termination.
See section 8 of Rev. Proc. 2007–44 re-
garding plan termination.
IV. 2010 CUMULATIVE LIST
OF CHANGES IN PLAN
QUALIFICATION REQUIREMENTS
The following list consists of statutory
provisions and associated guidance which
reflect changes to plan qualification re-
quirements. Miscellaneous guidance is
also provided. The Service has identi-
fied below plan qualification requirements
which were not on the 2009 or earlier Cu-
mulative Lists as “(New).”
All items from the 2004 Cumulative
List have been deleted from the 2010 Cu-
mulative List. In addition, items from
the 2005 Cumulative List that apply solely
to defined benefit plans or ESOPs have
been deleted from the 2010 Cumulative
List. Thus, the 2010 Cumulative List con-
tains those plan qualification requirements
listed in the 2005 Cumulative List that
are applicable to defined contribution pre-
2
The Service will also not consider the requirements of § 436 or the Preservation of Access to Care for Medicare Beneficiaries and Pension Relief Act of 2010, Pub. L. 111–192, in its review
of any determination, opinion, or advisory letter application submitted during the period beginning February 1, 2011 and ending January 31, 2012. See Notice 2010–77, 2010–51 I.R.B. 851,
which extends the deadline for amending single-employer defined benefit plans to meet the requirements of §§ 401(a)(29) and 436 to the last day of the first plan year that begins on or after
January 1, 2011.
2010–52 I.R.B.910December 27, 2010

approved plans, the plan qualification re-
quirements listed in the 2006, 2007, 2008,
and 2009 Cumulative Lists, as well as ad-
ditional 2010 plan qualification require-
ments. These deletions have been made
to enhance the utility of the cumulative
list, by removing items that would have
been previously reviewed in the case of a
plan that was submitted during the initial
Cycle A submission period (February 1,
2006 — January 31, 2007). However, if a
plan has not been previously reviewed for
items on earlier cumulative lists, it must
still take those items into account. For ex-
ample, a new plan that was established af-
ter the Cycle A submission period would
be reviewed for items on the 2004 Cumu-
lative List. Similarly, defined contribution
pre-approved plans have not yet been re-
viewed for items on the 2005 Cumulative
List and those items have been retained in
this notice in order to facilitate review of
those plans.
1.401(a):
•Final Regulations under § 401(a) of
the Code regarding permissible nor-
mal retirement ages were published on
May 22, 2007 (72 Fed. Reg. 28604).
(2006 C. L.).
•Notice 2007–69, 2007–2 C.B. 468,
provides temporary relief for cer-
tain pension plans under which the
definition of normal retirement age
mayberequiredtobechangedto
comply with the regulations, but
only until the first day of the first
plan year that begins after June 30,
2008. (2007 C. L.).
•Notice 2008–98, 2008–2 C.B.
1080, provides that the Service
andTreasuryintendtoamendthe
normal retirement age regulations
to change the effective date for
governmental plans to plan years
beginning on or after January 1,
2011. (2009 C. L.).
•Notice 2009–86, 2009–46 I.R.B.
629, provides that the Service and
Treasury intend to amend the nor-
mal retirement age regulations to
change the effective date for gov-
ernmental plans to plan years be-
ginning on or after January 1, 2013.
(New).
•Rev. Rul. 2008–40, 2008–2 C.B. 166,
provides that the transfer of amounts
from a trust under a plan qualified un-
der § 401(a) to a nonqualified foreign
trust is treated as a distribution from
the transferor plan and that transfer of
assets and liabilities from a qualified
plan to a plan that satisfies § 1165 of
the Puerto Rico Code is also treated as
a distribution from the transferor plan.
(2008 C. L.).
•Rev. Rul. 2008–45, 2008–2 C.B. 403,
provides that the exclusive benefit rule
of § 401(a) is violated if the sponsor-
ship of a qualified retirement plan is
transferredfromanemployertoanun-
related taxpayer and the transfer is not
in connection with a transfer of busi-
ness assets or operations from the em-
ployer to the unrelated taxpayer. (2008
C. L.).
2.401(a)(4):
•Amendments to § 1.401(a)(4)–9 of the
Regulations relating to new compara-
bility plans were published on June 29,
2001 (66 Fed. Reg. 34535). (2005
C. L.).
•Rev. Rul. 2004–21, 2004–1 C.B. 544.
(2005 C. L.).
3.401(a)(5): Section 401(a)(5)(G)
of the Code was amended by PPA ’06
§ 861(a)(1) with respect to governmental
plans. (2008 C. L.).
4.401(a)(9):
•PPA § 823 instructs the Secretary
of the Treasury to issue regulations
under which, for all years to which
§ 401(a)(9) applies, a § 414(d) gov-
ernmental plan shall be treated as
having complied with § 401(a)(9) if it
complies with a reasonable good faith
interpretation of § 401(a)(9). (New).
•Final regulations under § 401(a)(9)
were published on September 8,
2009 (74 Fed. Reg. 45993),
which permit a governmental
plan to comply with the required
minimum distribution rules of
§ 401(a)(9) by using a reasonable
and good faith interpretation of the
statute. (2009 C. L.).
•Section 201(a) of WRERA added
§ 401(a)(9)(H) which provides a sus-
pension of the required minimum
distribution rules for 2009 applicable
to defined contribution plans. (New).
•Notice 2009–82, 2009–41 I.R.B.
491, provides guidance relating to
the suspension of the required min-
imum distribution rules for 2009
applicable to defined contribution
plans. (New).
5.401(a)(26): Section 401(a)(26)(G)
of the Code was amended by PPA ’06
§ 861(a)(1) with respect to governmental
plans. (2008 C. L.).
6.401(a)(35): PPA ’06 § 901(a)(1)
added § 401(a)(35) requiring that defined
contribution plans provide employees with
the freedom to divest publicly traded em-
ployer securities. (2008 C. L.).
•Notice 2006–107, 2006–2 C.B. 1114.
(2008 C. L.).
•Notice 2008–7, 2008–1 C.B. 276, ex-
tends certain transitional guidance and
transitional relief provided to certain
defined contribution plans holding
publicly traded employer securities
under Notice 2006–107. (2008 C. L.).
•WRERA § 109(a) amended the def-
inition of one-participant retirement
plan under § 401(a)(35)(E)(iv). (2009
C. L.).
•Notice 2009–97, 2009–52 I.R.B. 972,
extends the deadline to amend for
§ 401(a)(35) to the last day of the first
plan year that begins on or after Jan-
uary 1, 2010. (New).
•Final regulations under § 401(a)(35)
were published on May 19, 2010 (75
Fed. Reg. 27927). (New).
7.401(a)(36): PPA ’06 § 905(b) added
§ 401(a)(36) regarding distributions to a
participant who has attained age 62 and
who has not separated from employment at
the time of the distribution. (2008 C. L.).
8.401(a)(37): Section 104(a) of the
HEART Act added Code § 401(a)(37) with
respect to benefits payable on the death of
a plan participant while performing quali-
fied military service. (New).
•Notice 2010–15, 2010–6 I.R.B. 390,
provides guidance regarding HEART
Act § 104(a). (New).
9.401(k) & 401(m)
3
:
3
Proposed amendments to the regulations under § 401(k) and § 401(m) were published on May 18, 2009 (74 Fed. Reg. 23134) and may be relied upon until final regulations are issued.
December 27, 20109112010–52 I.R.B.

•Announcement 2007–59, 2007–1 C.B.
1448, provides that a plan will not
fail to satisfy the requirements of a
§ 401(k) safe harbor plan because of a
mid-year change to implement a des-
ignated Roth contribution program.
(2007 C. L.).
•PPA ’06 § 826 modified the rules re-
lating to distributions from a § 401(k)
plan on account of a participant’s hard-
ship to permit the plan to treat a partic-
ipant’s beneficiary under the plan the
same as the participant’s spouse or de-
pendent. (2008 C. L.).
•Notice 2007–7, 2007–1 C.B.
395, provides guidance regarding
PPA ’06 § 826. (2008 C. L.).
•Announcement 2007–59, 2007–1
C.B. 1448, provides that a plan will
not fail to satisfy the requirements
of a § 401(k) safe harbor plan be-
cause of a mid-year change to im-
plement the PPA ’06 § 826 hard-
ship withdrawals. (2008 C. L.).
•PPA ’06 §827 added
§ 401(k)(2)(B)(i)(V) which permits
reservists called to active duty after
September 11, 2001 and before 2008
to take in-service distributions from a
§ 401(k) plan. (2008 C. L.).
•Section 107(a) of the HEART Act ex-
tends the applicability of the qualified
reservist distribution to individuals or-
deredorcalledtoactivedutyafterDe-
cember 31, 2007. (2009 C. L.).
•Notice 2010–15, 2010–6 I.R.B.
390, provides guidance regarding
HEART Act § 107. (New).
•PPA ’06 § 861(a)(2) amended
§ 401(k)(3)(G) with respect to govern-
mental plans. (2008 C. L.).
•PPA ’06 § 902(e)(3) eliminates the gap
period income rule for excess contri-
butions in § 401(k)(8)(A)(i). (2008
C. L.).
•PPA ’06 § 902 added § 401(k)(13) with
respect to qualified automatic contri-
bution arrangements. (2008 C. L.).
•Final regulations under § 401(k)
with respect to qualified automatic
contribution arrangements were
published on February 24, 2009
(74 Fed. Reg. 8200). (2009 C. L.).
•Rev. Rul. 2009–30, 2009–39
I.R.B. 391, provides information
with respect to automatic contri-
bution increases under automatic
contribution arrangements. (2009
C. L.).
•Notice 2009–65, 2009–39 I.R.B.
413, provides sample amendments
that plan sponsors can use to add
automatic contribution features to
their plans. (2009 C. L.).
•PPA ’06 § 902(e)(3) eliminates the gap
period income rule for excess aggre-
gate contributions in § 401(m)(6)(A).
(2008 C. L.).
•PPA ’06 § 902 added § 401(m)(12)
with respect to qualified automatic
contribution arrangements. (2008
C. L.).
•Final regulations under § 401(m)
with respect to qualified automatic
contribution arrangements were
published on February 24, 2009
(74 Fed. Reg. 8200). (2009 C. L.).
10.402(c)(2)(A): PPA ’06 § 822(a)
amended § 402(c)(2)(A) to permit nontax-
able distributions from a qualified plan to
be directly rolled over tax-free to either an-
other qualified plan or a § 403(b) plan if the
separate accounting requirements are met.
(2008 C. L.).
11.402(c)(11): PPA ’06 § 829(a)(1)
added § 402(c)(11) to allow nonspouse
beneficiaries to directly roll over distribu-
tions from a qualified plan to an individual
retirement plan. (2008 C. L.).
•Notice 2007–7, 2007–1 C.B. 395, pro-
vides guidance regarding § 402(c)(11).
(2008 C. L.).
•WRERA § 108(f) requires that plans
provide for nonspouse beneficiary
rollovers under § 402(c)(11), effective
for plan years beginning after Decem-
ber 31, 2009. (2009 C. L.).
12.402(f): PPA ’06 § 1102(a) pro-
vides that notice required to be provided
under § 402(f) may be provided as much as
180 days before the annuity starting date.
4
(2008 C. L.).
•Notice 2007–7, 2007–1 C.B. 395,
provides guidance regarding PPA ’06
§ 1102. (2008 C. L.).
•Notice 2009–68, 2009–39 I.R.B. 423,
provides two safe harbor explanations
that may be provided to recipients of
eligible rollover distributions from an
employer to satisfy § 402(f). (2009
C. L.).
•WRERA § 108(f)(2) amended
§ 402(f)(2)(A) with respect to the def-
inition of eligible rollover distribution.
(2009 C. L.).
13.402(g)(2): WRERA § 109(b)(3)
amended § 402(g)(2)(A)(ii) to eliminate
the distribution of gap period earnings with
excess deferrals. (2009 C. L.).
14.402A:
•Final Regulations under § 401(k) and
§ 401(m) of the Code relating to des-
ignated Roth contributions were pub-
lished on January 3, 2006 (71 Fed.
Reg. 6). (2005 C. L.).
•Notice 2006–44, 2006–1 C.B. 889,
provides a sample amendment for
Roth § 401(k) plans. (2006 C. L.).
•Final Regulations under § 402A of the
Code were published on April 30, 2007
(72 Fed. Reg. 21103). (2006 C. L.).
•SBJA § 2112 added § 402A(c)(4)
which permits rollovers from a plan
account other than a designated Roth
account to the plan’s designated Roth
account. (New).
•Notice 2010–84, 2010–51 I.R.B.
872, provides guidance regarding
§ 402A(c)(4). (New).
15.408A(e): PPA ‘06 § 824 added
§ 408A(e) which permits rollovers to Roth
IRAs from accounts that are not designated
Roth accounts that are part of qualified
plans, § 403(b) plans, and § 457 plans.
(2008 C. L.).
•Notice 2008–30, 2008–1 C.B.
638, provides guidance regarding
§ 408A(e). (2008 C. L.).
16.409:
•Final Regulations were published on
December 20, 2006 (71 Fed. Reg.
76134) that provide guidance concern-
ing requirements under § 409(p) for
ESOPs holding stock of S corpora-
tions. (2006 C. L.).
17.410(b): Final Regulations were
published on July 21, 2006 (71 Fed. Reg.
41357) permitting some employees of tax-
exempt organizations to be excluded when
4
Proposed regulations under § 402(f) were published on October 9, 2008 (73Fed. Reg. 59575) and may be relied upon until final regulations are issued.
2010–52 I.R.B.912December 27, 2010

determining whether a § 401(k) plan meets
the § 410(b) minimum coverage require-
ments. (2006 C. L.).
18.411(a):
•Rev. Rul. 2003–65, 2003–1 C.B.
1035. (2005 C. L.).
•Amendments to § 1.411(d)–3 of the Fi-
nal Regulations were published on Au-
gust 9, 2006 (71 Fed. Reg. 45379)
with respect to the interaction between
the anti-cutback rules of § 411(d)(6)
and the nonforfeitability requirements
of § 411(a). (2006 C. L.).
•Section411(a)oftheCodewas
amendedby§904ofPPA’06topro-
vide for faster vesting of employer
nonelective contributions.(2008
C. L.).
•Notice 2007–7, 2007–1 C.B.
395, provides guidance regarding
§ 411(a), as amended by § 904 of
PPA ’06. (2008 C. L.).
19.411(a)(11):
•PPA ’06 § 1102(a) provides that no-
tice required to be provided under
§ 411(a)(11) may be provided as much
as 180 days before the annuity start-
ing date. Section 1102(b) of PPA
’06 requires that the notice under
§ 411(a)(11) also include a description
of the consequences of failing to defer
receipt of a distribution.
5
(2008 C. L.).
•Notice 2007–7, 2007–1 C.B.
395, provides guidance regarding
PPA ’06 § 1102. (2008 C. L.).
20.411(a)(13): PPA ’06 § 701(b)(2)
added § 411(a)(13) with respect to special
vesting rules for applicable defined benefit
plans, such as cash balance plans. (2008
C. L.).
•Notice 2007–6, 2007–1 C.B. 272, pro-
vides guidance regarding cash balance
plans and other hybrid defined benefit
plans. (2008 C. L.).
•WRERA § 107(b)(2) amended
§ 411(a)(13)(A). (2009 C. L.).
•Notice 2009–97, 2009–52 I.R.B. 972,
extends the deadline for amending
cash balance and other applicable de-
fined benefit plans, within the meaning
of § 411(a)(13)(C), to meet the re-
quirements of § 411(a)(13) (other than
§ 411(a)(13)(A)) to the last day of the
first plan year that begins on or after
January 1, 2010. (New).
•Final Regulations under § 411(a)(13)
were published on October 19, 2010
(75 Fed. Reg. 64123).
6
(New).
•Notice 2010–77, 2010–51 I.R.B. 851,
extends the deadline for amending
cash balance and other applicable de-
fined benefit plans, within the meaning
of § 411(a)(13)(C), to meet the re-
quirements of § 411(a)(13) (other than
§ 411(a)(13)(A)) to the last day of the
first plan year that begins on or after
January 1, 2011. (New).
21.411(b)(1)
7
:
•Rev. Rul. 2008–7, 2008–1 C.B.
419, addresses (1) the application
of the backloading provisions of
§ 411(b)(1)(A), (B), and (C) to defined
benefit cash balance plans and (2) the
use of a “greater of” formula in the
instance of a conversion of a defined
benefit pension plan to a cash balance
plan, including limited § 7805(b) re-
lief. (2008 C. L.).
22.411(b)(5): PPA ’06 § 701(b)(1)
added § 411(b)(5) with respect to appli-
cable defined benefit plans, such as cash
balance plans, and special rules relating to
age. (2008 C. L.).
•Notice 2007–6, 2007–1 C.B. 272, pro-
vides guidance regarding cash balance
plans and other hybrid defined benefit
plans. (2008 C. L.).
•WRERA § 107(b)(1) amended
§ 411(b)(5). (2009 C. L.).
•Notice 2009–97, 2009–52 I.R.B. 972,
extends the deadline for amending
cash balance and other applicable de-
fined benefit plans, within the meaning
of § 411(a)(13)(C), to meet the re-
quirements of § 411(b)(5) to the last
day of the first plan year that begins
on or after January 1, 2010. (New).
•Final Regulations under § 411(b)(5)
were published on October 19, 2010
(75 Fed. Reg. 64123).
8
(New).
•Notice 2010–77, 2010–51 I.R.B. 851,
extends the deadline for amending
cash balance and other applicable de-
fined benefit plans, within the meaning
of § 411(a)(13)(C), to meet the re-
quirements of § 411(b)(5) to the last
day of the first plan year that begins
on or after January 1, 2011. (New).
23.411(d)(3):
•Rev. Rul. 2007–43, 2007–2 C.B. 45,
provides guidance regarding the partial
termination of a defined contribution
plan. (2007 C. L.).
24.411(d)(6):
•Amendments to § 1.411(d)–3 of the Fi-
nal Regulations were published on Au-
gust 9, 2006 (71 Fed. Reg. 45379)
with respect to the interaction between
the anti-cutback rules of § 411(d)(6)
and the nonforfeitability requirements
of § 411(a). (2006 C. L.).
•Section 645(b)(3) of EGTRRA di-
rected the Secretary of the Treasury to
issue regulations under § 411(d)(6)(B).
(2005 C. L.).
•Section 1.411(d)–3 of the Regula-
tions was published on August 12,
2005 (70 Fed. Reg. 47109). (2005
C. L.).
•Amendments to § 1.411(d)–3 of
the Final Regulations were pub-
lished on August 9, 2006 (71 Fed.
Reg. 45379) with respect to a uti-
lization test. (2006 C. L.).
•Section411(d)(6)(D)and
§ 411(d)(6)(E) of the Code were added
by § 645 of EGTRRA to permit the
elimination of certain optional forms
of benefit under certain conditions.
(2005 C. L.).
5
Proposed regulations under § 411(a)(11) were published on October 9, 2008 (73 Fed. Reg. 59575). Until final regulations are issued, a plan will be treated as complying with § 411(a)(11) if
(1) the plan complies with either the proposed regulations or Q&A-32 and Q&A-33 in Notice 2007–7; or (2) if the plan administrator makes a reasonable attempt to comply with § 411(a)(11).
6
Proposed regulations under § 411(a)(13) were published on October 19, 2010 (75 Fed. Reg. 64197) and may be relied upon until final regulations are issued.
7
Proposed regulations under § 411(b)(1) were published on October 19, 2010 (75 Fed. Reg. 64197) with respect to a variable interest crediting rate thatcan potentially be negative in any
given year. Proposed regulations under § 411(b)(1) were published on June18, 2008 (73 Fed. Reg. 34665) with respect to the application of the accrual rule where plan benefits are determined
on the basis of the greater of two or more separate formulas.
8
Proposed regulations under § 411(b)(5) were published on October 19, 2010 (75 Fed. Reg. 64197) and may be relied upon until final regulations are issued.
December 27, 20109132010–52 I.R.B.

•Section 1.411(d)–4, Q&A-2(e)
of the Regulations was pub-
lished on January 25, 2005 (70
Fed. Reg. 3475) to implement
§ 411(d)(6)(E). (2005 C. L.).
25.412:
•Rev. Rul. 2004–20, 2004–1 C.B.
546, provides guidance with respect to
whether a qualified pension plan can
be a § 412(i) plan if the plan holds life
insurance contracts and annuity con-
tracts for benefits at normal retirement
age in excess of a participant’s bene-
fits at normal retirement age under the
plan. (2005 C. L.).
•Notice 2004–59, 2004–2 C.B. 447,
provides guidance with respect to re-
strictions placed on plan amendments
following an employer’s election of an
alternative deficit reduction contribu-
tion. (2005 C. L.).
26.414(d): PPA ’06 § 906(a)(1) added
language to the definition of governmen-
tal plan in § 414(d) with respect to Indian
tribal governments. (2008 C. L.).
•Notice 2006–89, 2006–2 C.B. 772,
provides transition relief for plans sub-
ject to PPA ‘06 § 906. (2008 C. L.).
•Notice 2007–67, 2007–2 C.B. 467, ex-
tends the transition relief provided in
Notice 2006–89. (2008 C. L.).
27.414(f)(6): PPA ’06 § 1106(b) added
§ 414(f)(6) with respect to a multiem-
ployer status election.Section 6611(a)(2)
and (b)(2) of the U.S. Troop Readiness,
Veterans’ Care, Katrina Recovery, and
Iraq Accountability Appropriations Act,
2007 amends § 414(f)(6). (2008 C. L.).
28.414(u):
•Section 104(b) of the HEART Act
amended § 414(u) of the Code by
adding § 414(u)(9) regarding how a
plan may provide benefit accruals for
a person who dies or becomes disabled
while performing qualified military
service. (New).
•Notice 2010–15, 2010–6 I.R.B.
390, provides guidance regarding
HEART Act § 104(b). (New).
•Section 105(b)(1) of the HEART Act
added § 414(u)(12) with respect to
the treatment of differential wage pay-
ments during the period a person, while
on active duty, is performing service
in the uniformed services. (New).
•Notice 2010–15, 2010–6 I.R.B.
390, provides guidance regarding
HEART Act § 105(b)(1). (New).
29.414(w): PPA ’06 § 902(d)(1) added
§ 414(w) with respect to eligible automatic
contribution arrangements. (2008 C. L.).
•WRERA § 109(b)(4), (5), and (6)
amended § 414(w)(3), (5), and (6) re-
spectively. (2009 C. L.).
•Final regulations under § 414(w) with
respect to eligible automatic contri-
bution arrangements were published
on February 24, 2009 (74 Fed. Reg.
8200). (2009 C. L.).
•Rev. Rul. 2009–30, 2009–39 I.R.B.
391, provides information with respect
to automatic contribution increases
under automatic contribution arrange-
ments. (2009 C. L.).
•Notice 2009–65, 2009–39 I.R.B. 413,
provides sample amendments that plan
sponsors can use to add automatic con-
tribution features to their plans. (2009
C. L.).
30.414(x): PPA ’06 § 903(a) added
§ 414(x) with respect to special rules for
eligible combined plans that consist of a
defined benefit plan and a qualified cash
or deferred arrangement. (New).
31.415:
•WRERA § 103(a) changed the dead-
line to adopt PFEA amendments from
the end of the 2008 plan year to the end
of the 2009 plan year. (2009 C. L.).
•Section 415(b)(2)(E)(ii) of the Code
was amended by § 303 of PPA ‘06 re-
garding the interest rate assumption for
applying benefit limitations to lump
sum distributions. (2008 C. L.).
•PPA ’06 § 832(a) amended § 415(b)(3)
to eliminate the active participant re-
striction from the “average compensa-
tion for high 3 years” definition. (2008
C. L.).
•PPA ‘06 § 906(b)(1)(A) & (B) modi-
fied §§ 415(b)(2)(H) and 415(b)(10),
respectively, regarding Indian tribal
governments. (2008 C. L.).
•PPA ’06 § 867(a) amended
§ 415(b)(11) to remove the 100% of
compensation limitation for a church
plan participant if the participant has
never been a highly compensated
employee of the church. (2008 C. L.).
•Final Regulations under § 415 were
published on April 5, 2007 (72 Fed.
Reg. 16878). (2006 C. L.).
•WRERA § 103(b)(2)(B)(i) amended
§ 415(b)(2)(E)(v) to change the mor-
tality table to the applicable mor-
tality table within the meaning of
§ 417(e)(3)(B). (2009 C. L.).
32.416:
•PPA ’06 § 902(c)(1) amended
§ 416(g)(4)(H)(i) by inserting
§ 401(k)(13) of the Code . (2008
C. L.).
•PPA ’06 § 902(c)(2) amended
§ 416(g)(4)(H)(ii) by inserting
§ 401(m)(12) of the Code. (2008
C. L.).
33.417:
•Final Regulations under § 417(a)(3)
were published on March 24, 2006 (71
Fed. Reg. 14798) regarding the dis-
closure of the relative value of optional
forms of benefit. (2006 C. L.).
•PPA ’06 § 1102(a) provides that notice
required to be provided under § 417
may be provided as much as 180 days
before the annuity starting date.
9
(2008
C. L.).
•Notice 2007–7, 2007–1 C.B.
395, provides guidance regarding
PPA ’06 § 1102. (2008 C. L.).
•PPA ’06 § 302(b) amended the appli-
cable interest rate and mortality table
to be used for determining the present
value of lump sum distributions in
§ 417(e)(3). (2008 C. L.).
•Rev. Rul. 2007–67, 2007–2 C.B.
1047, addresses the mortality ta-
bles required by § 417(e)(3). (2008
C. L.).
•Notice 2008–30, 2008–1 C.B.
638, provides guidance regarding
PPA ’06 § 302. (2008 C. L.).
•WRERA § 103(b)(2)(A) amended
§ 417(e)(3)(D)(i) by striking
“clause (ii)” and inserting “sub-
paragraph (C)”. (2009 C. L.).
9
Proposed regulations under § 417 werepublished on October 9, 2008 (73 Fed. Reg. 59575) and may be relied upon until final regulations are issued.
2010–52 I.R.B.914December 27, 2010

•PPA ’06 § 1004(a) added the quali-
fied optional survivor annuity benefit
to§417.(2008C.L.).
•Notice 2008–30, 2008–1 C.B. 638,
provides guidance regarding PPA
’06 § 1004. (2008 C. L.).
34.420:
•Section 6613 of the U.S. Troop
Readiness, Veterans’ Care, Katrina
Recovery, and Iraq Accountability
Appropriations Act, 2007, amends
§ 420(c)(3)(A) regarding minimum
cost requirements for transfers of ex-
cess pension assets to retiree health
accounts. (2007 C. L.).
•PPA ’06 § 114(d)(1) modified the def-
inition of the term “excess pension as-
sets” in § 420(e)(2). Section 6612(b)
of the U.S. Troop Readiness, Veterans’
Care, Katrina Recovery, and Iraq Ac-
countability Appropriations Act, 2007,
amends § 420(e)(2)(B). (2007 C. L.).
35.432: PPA ’06 § 212(a) added
§ 432 which requires that a funding im-
provement plan or a rehabilitation plan be
adopted for multiemployer plans in endan-
gered or critical status and provides for
certain benefit reductions.
10
(2008 C. L.).
•WRERA § 204 provides a temporary
delay of designation of multiemployer
plans in endangered or critical status.
(2009 C. L.).
•Notice 2009–31, 2009–16 I.R.B.
856, as modified by Notice
2009–42, 2009–20 I.R.B. 1011,
provides election and notice proce-
dures for multiemployer plans un-
der WRERA § 204. (2009 C. L.).
•Rev. Proc. 2009–43, 2009–40
I.R.B. 460, provides procedures
with respect to the revocation
of elections by multiemployer
plans to freeze funded status under
WRERA § 204. (2009 C. L.).
•WRERA § 205 provides a temporary
extension of the funding improvement
or rehabilitation periods for multiem-
ployer plans in endangered or critical
status for 2008 or 2009. (2009 C. L.).
•Notice 2009–31, 2009–16 I.R.B.
856, as modified by Notice
2009–42, 2009–20 I.R.B. 1011,
provides election and notice proce-
dures for multiemployer plans un-
der WRERA § 205. (2009 C. L.).
36.Miscellaneous:
•Rev. Rul. 2005–55, 2005–2 C.B. 284,
provides guidance with respect to med-
ical reimbursement accounts under a
profit sharing plan. (2005 C. L.).
•Section 1.401(a)–21 of the Regulations
was published on October 20, 2006
(71 Fed. Reg. 61877) setting forth
standards for the use of an electronic
medium to provide applicable notices
to recipients or to make participant
elections. (2006 C. L.).
•Notice 2008–21, 2008–1 C.B. 431,
provides transitional guidance for
2008 under § 436 for small plans with
end-of-year valuation dates. (2008
C. L.).
•Notice 2008–73, 2008–2 C.B. 717,
expands transition relief of Notice
2008–21. (2008 C. L.).
•Rev. Rul. 2009–31, 2009–39 I.R.B.
395, provides guidance with respect
to annual paid time off contributions.
(2009 C. L.).
•Rev. Rul. 2009–32, 2009–39 I.R.B.
398, provides guidance with respect to
paid time off contributions at termina-
tion of employment. (2009 C. L.).
The following guidance contains
sample or model amendments: Notice
2006–44, 2006–1 C.B. 889 (Roth § 401(k)
plans); Notice 2009–65, 2009–39 I.R.B.
413 (automatic contribution features);
and Notice 2009–82, 2009–41 I.R.B. 491
(suspension of the minimum distribution
requirement for 2009).
DRAFTING INFORMATION
The principal author of this notice is
Angelique Carrington of the Employee
Plans, Tax Exempt and Government En-
tities Division. For further information
regarding this notice, please contact the
Employee Plans taxpayer assistance an-
swering service at 1–877–829–5500 (a
toll-free number) or e-mail Ms. Carrington
atRetirementPlanQuestions@irs.gov.
Interim Guidance on the
Application of Section 3402(t)
to Payment Card Transactions
Notice 2010–91
This notice provides interim guid-
ance on the application of § 3402(t) of
the Internal Revenue Code to payments
made by credit, debit, stored value, and
other payment cards. Commenters on the
proposed regulations (REG–158747–06,
2009–4 I.R.B. 362 [73 FR 74082 (Dec. 5,
2008)]) raised significant implementation
concerns regarding the contracting, pro-
cessing, and systems changes necessary to
apply § 3402(t) withholding and related
reporting to payment card transactions.
The Treasury Department and the IRS
anticipate that the final regulations will
reserve for future guidance the issue of
applying § 3402(t) to payment card trans-
actions. Consistent with this anticipated
reservation of the issue, this notice pro-
vides that the withholding requirements
under § 3402(t) and the related reporting
requirements will not apply to payments
made by payment card until further guid-
ance is issued; and will not apply for any
calendar year beginning earlier than at
least 18 months from the date such guid-
ance is finalized (and thus will not apply
for the 2012 calendar year). Finally, this
notice requests comments on all aspects
of the potential application of § 3402(t) to
payment card transactions, and in particu-
lar on approaches that will help implement
these requirements.
BACKGROUND
Section 3402(t) was added by § 511 of
the Tax Increase Prevention and Reconcil-
iation Act of 2005, Pub. L. No. 109–222,
120 Stat. 345 (TIPRA), which was enacted
on May 17, 2006. Section 3402(t)(1) pro-
vides that the Government of the United
States, every State, every political subdivi-
sion thereof, and everyinstrumentality of
the foregoing (including multi-State agen-
cies) making any payment to any person
providing any property or services (in-
cluding any payment made in connection
with a government voucher or certificate
program which functions as a payment
10
Proposed regulations under § 432 were publishedon March 18, 2008 (73 Fed. Reg. 14417) and may be relied upon until final regulations are issued.
December 27, 20109152010–52 I.R.B.

for property or services) shall deduct and
withhold from such payment a tax in an
amount equal to 3% of such payment.
There are many exceptions to the § 3402(t)
withholding requirements, including the
exception provided by § 3402(t)(2)(G)
for payment made by a political subdivi-
sion of a State (or an instrumentality of
a political subdivision of a State) which
makes less than $100,000,000 of payments
for property or services annually (other
than payments otherwise exempt from
§ 3402(t) withholding, such as payroll
payments). TIPRA originally provided
that § 3402(t) applies to payments made
after December 31, 2010.
Notice 2008–38, 2008–1 C.B. 683,
published on March 31, 2008, invited
public comments on guidance under
§ 3402(t). Notice 2008–38 requested
specific comments on the application of
§ 3402(t) to payment cards. Proposed
regulations under §§ 3402(t), 3406, 6011,
6051, 6071, and 6302 were published
on December 5, 2008 (REG–158747–06,
2009–4 I.R.B. 362 [73 FR 74082]).
Subsequently, § 1511 of the American
Recovery and Reinvestment Act of 2009,
Pub. L. No. 111–5, 123 Stat. 115,
amended the effective date of § 3402(t)
withholding, so that it applies only to
payments made after December 31, 2011.
The Treasury Department and the IRS
are currently developing final regulations
under § 3402(t).
On July 30, 2008, following the enact-
ment of § 3402(t), § 6050W was enacted
as part of the Housing Assistance Tax Act
of 2008, Div. C of the Housing and Eco-
nomic Recovery Act of 2008, Pub. L.
No. 110–289, 122 Stat. 2654. Section
6050W requires merchant acquiring enti-
ties that make payment to merchants and
other participating payees in settlement of
reportable payment card transactions to re-
port the gross amount of these transactions
for each payee for each calendar year. This
reporting requirement applies to payment
card transactions forcalendar years begin-
ning after December 31, 2010. Final reg-
ulations under § 6050W were published
on August 16, 2010 (T.D. 9496, 2010–43
I.R.B. 484 [75 FR 49821]).
Under proposed § 31.3402(t)–3(e),
payments subject to withholding under
§ 3402(t) include payments made by
payment card. Numerous commenters
indicated that applying § 3402(t) with-
holding and related reporting requirements
to payment card transactions would be
difficult to administer and noted that these
transactions will already be reported under
§ 6050W. This notice responds to the con-
cerns raised and the need for taxpayers to
begin the implementation process to com-
ply with the requirements of § 3402(t).
GUIDANCE
The withholding requirements of
§ 3402(t) and the related reporting require-
ments will not apply to any payment made
by payment card for any calendar year
beginning earlier than at least 18 months
fromthedatefurtherguidance is finalized
for § 3402(t) withholding on payments by
payment card (and thus will not apply for
the 2012 calendar year).
This guidance does not apply to any
payment made using a convenience check.
Convenience checks are accepted and pro-
cessed through the banking system in the
same manner as traditional checks.
For purposes of this notice, the follow-
ing definitions apply:
(1)Payment card transactionmeans
any transaction in which a payment card,
or any account number or other indicia as-
sociated with a payment card, is accepted
as payment;
(2)Payment cardmeans any card, in-
cluding any stored value card, issued pur-
suant to an agreement or arrangement that
provides for—
(A) One or more issuers of such cards;
(B) A network of persons unrelated to
each other, and to the issuer, who agree to
accept such cards as payment; and
(C) Standards and mechanisms for
settling the transactions between the mer-
chant acquiring entities and the persons
who agree to accept the cards as payment;
(3)Stored value cardmeans any card
with a prepaid value, including any gift
card;
(4)Convenience checkmeans a check
issued in connection with a payment card
account;
(5)Merchant acquiring entitymeans
the bank or other organization that has the
contractual obligationtomakepaymentto
participating payees in settlement of pay-
ment card transactions; and
(6)Participating payeemeans a per-
son who agrees to accept payment cards as
payment.
REQUEST FOR COMMENTS
Comments are requested on all aspects
of the potential application of the with-
holding requirements under § 3402(t) and
the related reporting requirements to pay-
ment card transactions. Comments must
be submitted by March 28, 2011. All mate-
rials submitted will be available for public
inspection and copying. Comments should
be submitted to Internal Revenue Ser-
vice, CC:PA:LPD:RU (Notice 2010–91),
Room 5203, PO Box 7604, Ben Franklin
Station, Washington, DC 20224. Submis-
sions may also be hand-delivered Monday
through Friday between the hours of 8 a.m.
and 4 p.m. to the Courier’s Desk, 1111
Constitution Avenue, NW, Washington,
DC 20224, Attn: CC:PA:LPD:RU (Notice
2010–91), Room 5203. Submissions
may also be sent electronically via the
internet to the following email address:
Notice.comments@irscounsel.treas.gov.
Include the notice number (Notice
2010–91) in the subject line.
DRAFTING INFORMATION
The principal author of this notice is
A. G. Kelley of the Office of Division
Counsel/Associate Chief Counsel (Tax
Exempt and Government Entities) though
other Treasury Department and IRS of-
ficials participated in its development.
For further information on the submission
of comments or the comments submit-
ted, please contact Richard Hurst at (202)
622–7180 (not a toll-free number). For
further information on all other provisions
of this notice, please contact A. G. Kelley
at (202) 622–6040 (not a toll-free num-
ber).
Foreign Tax Credit Guidance
Under Section 909
Notice 2010–92
SECTION 1. OVERVIEW
This notice provides guidance concern-
ing section 909 of the Internal Revenue
Code (“Code”). The Treasury Department
and Internal Revenue Service (“IRS”) an-
ticipate that this will be the first of sev-
eral items of published guidance concern-
ing section 909. This notice primarily ad-
dresses the application of section 909 to
2010–52 I.R.B.916December 27, 2010

foreign income taxes paid or accrued by
a section 902 corporation in taxable years
beginning on or before December 31, 2010
(“pre-2011 taxable years”). The Treasury
Department and IRS expect to issue reg-
ulations that incorporate the guidance de-
scribed in this notice.
Section 2 of this notice provides back-
ground information with respect to section
909. Section 3 provides rules for deter-
mining whether foreign income taxes paid
or accrued by a section 902 corporation in
pre-2011 taxable years (“pre-2011 taxes”)
are suspended under section 909 in taxable
years beginning after December 31, 2010
(“post-2010 taxable years”) of a section
902 corporation. Section 4 identifies an
exclusive list of arrangements that will
be treated as giving rise to foreign tax
credit splitting events in pre-2011 taxable
years (“pre-2011 splitter arrangements”)
and provides guidance on determining the
amount of related income and pre-2011
taxes paid or accrued with respect to
pre-2011 splitter arrangements. Section 5
provides guidance concerning the appli-
cation of section 909 to partnerships and
trusts. Section 6 discusses the interaction
between section 909 and other Code pro-
visions. Section 7 provides the effective
date of the regulations described in this
notice. Section 8 solicits comments and
provides contact information.
Unless otherwise provided, the guid-
ance described in this notice applies only
to pre-2011 taxes and does not apply to
foreign income taxes paid or accrued in
post-2010 taxable years. Future guidance
will address the application of section 909
to foreign income taxes paid or accrued in
post-2010 taxable years. The Treasury De-
partment and IRS expect that future guid-
ance will provide that foreign tax credit
splitting events in post-2010 taxable years
will at least include all of the arrangements
identified in section 4 of this notice. This
future guidance may also provide that sec-
tion 909 applies to other transactions or ar-
rangements not identified in section 4 of
this notice, but any such guidance relat-
ing to the definition of a foreign tax credit
splitting event will apply only with respect
to foreign income taxes paid or accrued in
post-2010 taxable years.
Section 909 does not address the deter-
minationofthepersonwhopaidaforeign
income tax for U.S. federal income tax pur-
poses. See §1.901–2(f). Further, nothing
in this notice should be construed as pro-
viding guidance with respect to that deter-
mination.
SECTION 2. BACKGROUND
.01Section 909
Section 211 of the legislation com-
monly referred to as the Education Jobs
and Medicaid Assistance Act (“EJMAA”),
enacted on August 10, 2010 (P.L. 111–226,
124 Stat. 2389 (2010)), added section 909
to the Code to address situations where
foreign income taxes have been separated
from the related income. Section 909(a)
provides that if there is a foreign tax credit
splitting event with respect to a foreign
income tax paid or accrued by a taxpayer,
such tax shall not be taken into account
for federal tax purposes before the taxable
year in which the related income is taken
into account by the taxpayer. Section
909(b) provides special rules with respect
to a “section 902 corporation,” which is
defined in section 909(d)(5) as any for-
eign corporation with respect to which one
or more domestic corporations meets the
ownership requirements of section 902(a)
or (b) (a “section 902 shareholder” of
the relevant section 902 corporation). If
there is a foreign tax credit splitting event
with respect to a foreign income tax paid
or accrued by a section 902 corporation,
the tax shall not be taken into account
for purposes of section 902 or 960, or
for purposes of determining earnings and
profits under section 964(a), before the
taxable year in which the related income
istakenintoaccountbysuchsection902
corporation or a section 902 shareholder.
Thus,thetaxisnotaddedtothesection
902 corporation’s pool of “post-1986 for-
eign income taxes” (as defined in section
902(c)(2) and §1.902–1(a)(8)), and its
pool of “post-1986 undistributed earn-
ings” (as defined in section 902(c)(1) and
§1.902–1(a)(9)) is not reduced by such
tax. Accordingly, section 909 suspends
foreign income taxes paid or accrued by
a section 902 corporation at the level of
the payor section 902 corporation. In the
case of a partnership, section 909(a) and
(b) apply at the partner level, and, except
as otherwise provided by the Secretary,
a similar rule applies in the case of an
S corporation or trust. Section 909(c)(1).
For purposes of section 909, there is a
foreign tax credit splitting event with re-
spect to a foreign income tax if the related
income is (or will be) taken into account
by a covered person. Section 909(d)(1).
Section 909 does not suspend foreign in-
come taxes if the same person pays the
tax but takes into account the related in-
come in a different taxable period (or pe-
riods) due to, for example, timing differ-
ences between the U.S. and foreign tax ac-
counting rules. The term “foreign income
tax” means any income, war profits, or ex-
cess profits tax paid or accrued to any for-
eign country or to any possession of the
United States. Section 909(d)(2). A for-
eign income tax includes any tax paid in
lieu of such a tax within the meaning of
section 903. Section 909(d)(3) provides
that the term “related income” means, with
respect to any portion of any foreign in-
come tax, the income (or, as appropriate,
earnings and profits) to which such por-
tion of the foreign income tax relates. The
term “covered person” means, with respect
to any person who pays or accrues a for-
eign income tax (the “payor”): (1) any
entity in which the payor holds, directly
or indirectly, at least a 10 percent owner-
ship interest (determined by vote or value);
(2) any person that holds, directly or in-
directly, at least a 10 percent ownership
interest (determined by vote or value) in
the payor; (3) any person that bears a re-
lationship to the payor described in sec-
tion 267(b) or 707(b); and (4) any other
person specified by the Secretary. Section
909(d)(4).
Except as otherwise provided by the
Secretary, any foreign income tax not cur-
rently taken into account by reason of sec-
tion 909 is taken into account as a for-
eign income tax paid or accrued in the tax-
able year in which, and to the extent that,
the taxpayer, the section 902 corporation
or a section 902 shareholder (as the case
may be) takes the related income into ac-
count under chapter 1 of the Code. Sec-
tion 909(c)(2). Notwithstanding this gen-
eral rule, foreign income taxes are trans-
lated into U.S. dollars under the general
rules of section 986 and not as if they were
paid or accrued in the year in which the re-
lated income is taken into account. Section
909(c)(2).
Section 909(e) provides that the Sec-
retary may issue such regulations or other
guidance as is necessary or appropriate
December 27, 20109172010–52 I.R.B.

to carry out the purposes of section 909,
including guidance providing appropriate
exceptions from the provisions of sec-
tion 909 and for its proper application to
hybrid instruments. The Joint Commit-
tee on Taxation’s technical explanation
of the revenue provisions of EJMAA
states that such guidance may address
the proper application of section 909 in
cases involving disregarded payments,
group relief, or other arrangements hav-
ing a similar effect. Staff of the Joint
Committee on Taxation, Technical Expla-
nation of the Revenue Provisions of the
Senate Amendment to the House Amend-
ment to the Senate Amendment to H.R.
1586, Scheduled For Consideration by the
House of Representatives on August 10,
2010, at 6 (August 10, 2010) (the “JCT
Explanation”). The JCT Explanation also
states that such guidance may provide
successor rules addressing circumstances
such as when, with respect to a foreign tax
credit splitting event, the person who pays
or accrues the foreign income tax or any
covered person is liquidated.Id.
.02Effective date
Section 211(c)(1) of EJMAA provides
that section 909 applies to foreign income
taxes paid or accrued (including foreign in-
come taxes paid or accrued by section 902
corporations) in post-2010 taxable years.
Section 211(c)(2) of EJMAA provides that
section 909 also applies to pre-2011 taxes,
but only for purposes of applying sections
902 and 960 to periods after December 31,
2010. For this purpose, there is no in-
crease to a section 902 corporation’s earn-
ings and profits for the amount of any pre-
2011 taxes to which section 909 applies
that were previously deducted in comput-
ing earnings and profits in a pre-2011 tax-
able year. EJMAA, section 211(c) (flush
text).
The JCT Explanation clarifies that the
section 902 effective date rule “applies for
purposes of applying sections 902 and 960
to dividends paid, and inclusions under
section 951(a) that occur, in taxable years
beginning after December 31, 2010.” JCT
Explanation at 6–7. Consistent with the
JCT Explanation, the Treasury Depart-
ment and IRS intend to issue regulations
providing that section 909 does not apply
in computing foreign taxes deemed paid
under section 902 or 960 before the first
day of the section 902 corporation’s first
post-2010 taxable year.
The regulations described in this notice
will also provide guidance on the appli-
cation of the section 909 effective date to
situations involving partnerships. Specif-
ically, in the case of a section 902 cor-
poration that is a partner in a partnership,
the section 902 corporation’s distributive
share of foreign income taxes paid or ac-
crued by the partnership in a pre-2011 tax-
able year of the partnership that is included
in a post-2010 taxable year of the section
902 corporation will be treated as a tax
paid or accrued by the section 902 cor-
poration in a post-2010 taxable year. See
§§1.702–1(a)(6), 1.706–1(a)(1).
.03Section 901 Proposed Regulations
Issued in 2006
Section 909 was enacted to address con-
cerns about the inappropriate separation
of foreign income taxes and related in-
come. These concerns were also the ba-
sis for the issuance in 2006 of proposed
regulations under section 901 (the “2006
proposed regulations”) concerning the de-
termination of the person who paid a for-
eign income tax for foreign tax credit pur-
poses. 71 F.R. 44240 (Aug. 4, 2006). The
Treasury Department and IRS are evalu-
ating the 2006 proposed regulations fol-
lowing the enactment of section 909. In
this regard, the Treasury Department and
IRS do not intend to finalize the portion of
the 2006 proposed regulations relating to
the determination of the person who paid
a foreign income tax with respect to the
income of a reverse hybrid. See Prop.
Reg. §1.901–2(f)(2)(iii). Comments are
solicited on whether other portions of the
2006 proposed regulations should be final-
ized or modified in light of the enactment
of section 909.
SECTION 3. TREATMENT OF
PRE-2011 TAXES
The Treasury Department and IRS will
issue regulations providing that pre-2011
taxes described in paragraphs (a) through
(d) of this section 3 will not be suspended
under section 909:
(a) Any pre-2011 taxes that were not
paid or accrued in connection with a pre-
2011 splitter arrangement identified in sec-
tion 4 of this notice;
(b) Any pre-2011 taxes that were paid
or accrued in connection with a pre-2011
splitter arrangement identified in section
4 of this notice (“pre-2011 split taxes”)
but that were deemed paid under section
902(a) or 960 on or before the last day of
the section 902 corporation’s last pre-2011
taxable year;
(c) Any pre-2011 split taxes if either (1)
the payor section 902 corporation took the
related income into account in a pre-2011
taxable year or (2) a section 902 share-
holder took the related income into ac-
count on or before the last day of the sec-
tion 902 corporation’s last pre-2011 tax-
able year; and
(d) Any pre-2011 split taxes paid or ac-
crued by a section 902 corporation in tax-
able years of such section 902 corpora-
tion beginning before January 1, 1997 (be-
cause it is unlikely that material amounts
of foreign income taxes described in that
paragraph were accumulated and not pre-
viously deemed paid).
To the extent that the section 902 corpo-
ration paid or accrued pre-2011 split taxes
that are not described in paragraphs (a)
through (d) above, section 909 will ap-
ply to such pre-2011 split taxes for pur-
poses of applying sections 902 and 960 in
post-2010 taxable years of the section 902
corporation. Accordingly, these taxes will
be removed from the section 902 corpora-
tion’s pools of post-1986 foreign income
taxes and suspended under section 909 as
of the first day of the section 902 corpora-
tion’s first post-2010 taxable year.
SECTION 4. PRE-2011 SPLITTER
ARRANGEMENTS
.01Overview
This section provides an exclusive list
of arrangements that will be treated as
giving rise to foreign tax credit splitting
events for purposes of applying section
909 to pre-2011 taxes and provides guid-
ance on identifying the pre-2011 split taxes
and related income with respect to each
such arrangement. As noted previously,
future guidance may identify additional
transactions or arrangements to which
section 909 applies (including, for exam-
ple, additional arrangements involving
group relief regimes), although any such
guidance will apply only with respect to
2010–52 I.R.B.918December 27, 2010

foreign taxes paid or accrued in post-2010
taxable years.
.02Reverse Hybrid Structures
A reverse hybrid structure exists when
a section 902 corporation owns an interest
in a reverse hybrid. A reverse hybrid is an
entity that is a corporation for U.S. federal
income tax purposes but is a pass-through
entity or a branch under the laws of a for-
eign country imposing tax on the income
of the entity. As a result, the owner of the
reverse hybrid is subject to tax on the in-
come of the entity under foreign law.
A pre-2011 splitter arrangement involv-
ing a reverse hybrid structure exists when
pre-2011 taxes are paid or accrued by a
section 902 corporation with respect to in-
come of a reverse hybrid that is a cov-
ered person with respect to the section 902
corporation. A pre-2011 splitter arrange-
ment involving a reverse hybrid structure
may exist even if the reverse hybrid has
a deficit in earnings and profits for a par-
ticular year (for example, due to a tim-
ing difference). Such taxes paid or ac-
crued by the section 902 corporation are
pre-2011 split taxes. The related income
is the earnings and profits (computed for
U.S. federal income tax purposes) of the
reverse hybrid attributable to the activities
of the reverse hybrid that gave rise to in-
come included in the foreign tax base with
respect to which the pre-2011 split taxes
were paid or accrued. Accordingly, related
income of the reverse hybrid would not in-
clude any item of income or expense attrib-
utable to a disregarded entity (as defined
in §301.7701–2(c)(2)(i)) owned by the re-
verse hybrid if income attributable to the
activities of the disregarded entity is not in-
cluded in the foreign tax base.
.03Certain Foreign Consolidated Groups
A foreign consolidated group exists
when a foreign country imposes tax on
the combined income of two or more en-
tities. Tax is considered imposed on the
combined income of two or more entities
even if the combined income is computed
under foreign law by attributing to one
such entity the income of one or more
other entities.
1
A foreign consolidated group is a
pre-2011 splitter arrangement to the ex-
tent that the taxpayer did not allocate the
foreign consolidated tax liability among
the members of the foreign consolidated
group based on each member’s share of
the consolidated taxable income included
in the foreign tax base under the principles
of §1.901–2(f)(3). A pre-2011 splitter
arrangement involving a foreign consol-
idated group may exist even if one or
more members has a deficit in earnings
and profits for a particular year (for exam-
ple, due to a timing difference). Pre-2011
taxes paid or accrued with respect to the
income of a foreign consolidated group
are pre-2011 split taxes to the extent that
taxes paid or accrued by one member of
the foreign consolidated group are im-
posed on a covered person’s share of the
consolidated taxable income included in
the foreign tax base. The related income
is the earnings and profits (computed for
U.S. federal income tax purposes) of such
other member attributable to the activities
of that other member that gave rise to in-
come included in the foreign tax base with
respect to which the pre-2011 split taxes
were paid or accrued.
No inference should be drawn from the
treatment of foreign consolidated groups
under section 909 as to the determination
of the person who paid the foreign income
tax for U.S. federal income tax purposes.
.04Group Relief and Other Loss-Sharing
Regimes
A foreign group relief or other loss-
sharing regime exists when one entity with
alosspermitsthelosstobeusedtooff-
set the income of one or more other en-
tities (a “shared loss”). A pre-2011 split-
ter arrangement involving a shared loss ex-
ists when the following three conditions
are met:
(a) There is an instrument that is treated
as indebtedness under the laws of the ju-
risdiction in which the issuer is subject to
tax and that is disregarded for U.S. federal
income tax purposes (a “disregarded debt
instrument”). Examples of a disregarded
debt instrument include a debt obligation
between (1) two disregarded entities that
are owned by the same section 902 corpo-
ration, (2) two disregarded entities that are
owned by a partnership with one or more
partners that are section 902 corporations,
(3) a section 902 corporation and a dis-
regarded entity that is owned by that sec-
tion 902 corporation, or (4) a partnership in
which the section 902 corporation is a part-
ner and a disregarded entity that is owned
by such partnership.
(b) The owner of the disregarded debt
instrument pays a foreign income tax at-
tributable to a payment or accrual on the
instrument.
(c) The payment or accrual on the disre-
garded debt instrument gives rise to a de-
duction for foreign tax purposes and the is-
suer of the instrument incurs a shared loss
that is taken into account under foreign law
by one or more entities that are covered
persons with respect to the owner of the in-
strument.
In situations in which the three con-
ditions described above are present, pre-
2011 taxes paid or accrued by the owner
of the disregarded debt instrument with re-
spect to amounts paid or accrued on the in-
strument (up to the amount of the shared
loss) are pre-2011 split taxes. The related
income of a covered person is an amount
equal to the shared loss, determined with-
out regard to the actual amount of the cov-
ered person’s earnings and profits.
.05Hybrid Instruments
A hybrid instrument for purposes of this
notice is an instrument that either (1) is
treated as equity for U.S. federal income
tax purposes but is treated as indebted-
ness for foreign tax purposes (“U.S. Eq-
uity HI”) or (2) is treated as indebtedness
for U.S. federal income tax purposes but is
treated as equity for foreign tax purposes
(“U.S. Debt HI”).
(a) U.S. Equity HI. If the issuer of a
U.S. Equity HI is a covered person with
respect to a section 902 corporation that
istheowneroftheU.S.EquityHI,there
is a pre-2011 splitter arrangement with re-
spect to the portion of the pre-2011 taxes
paid or accrued by the owner section 902
corporation with respect to the amounts
on the instrument that are deductible by
1
A foreign tax is not considered to be imposed on combined income solely because foreign law: (1) permits one entity to surrender a net loss to another entity pursuant to a group relief or
similar regime; (2) requires a shareholder of a corporation to include in income amounts attributable to taxes imposed on the corporation with respect to distributed earnings pursuant to an
integrated tax system that allows the shareholder a credit for such taxes; or (3) requires a shareholder to include, pursuant to an anti-deferral regime, income attributable to the shareholder’s
interest in a corporation.
December 27, 20109192010–52 I.R.B.

the issuer as interest under the laws of a
foreignjurisdictioninwhichtheissueris
subject to tax but that do not give rise to
income for U.S. federal income tax pur-
poses. Pre-2011 split taxes paid or accrued
by the section 902 corporation equal the to-
tal amount of pre-2011 taxes paid by the
section 902 corporation less the amount of
pre-2011 taxes that would have been paid
or accrued had the section 902 corporation
not been subject to tax on income from the
U.S. Equity HI. The related income of the
issuer of the U.S. Equity HI is an amount
equal to the amounts that are deductible by
the issuer for foreign tax purposes, deter-
mined without regard to the actual amount
of the issuer’s earnings and profits.
(b) U.S. Debt HI. If the owner of a
U.S. Debt HI is a covered person with re-
spect to a section 902 corporation that is
the issuer of the U.S. Debt HI, there is a
pre-2011 splitter arrangement with respect
to the portion of the pre-2011 taxes paid
or accrued by the section 902 corporation
on income in an amount equal to the inter-
est (including original issue discount) paid
or accrued on the instrument that is de-
ductible for U.S. federal income tax pur-
poses but that does not give rise to a de-
duction under the laws of a foreign juris-
diction in which the issuer is subject to tax.
Pre-2011 split taxesare the pre-2011 taxes
paid or accrued by the section 902 corpo-
ration on the income that would have been
offset by the interest paid or accrued on the
U.S. Debt HI had such interest been de-
ductible for foreign tax purposes. The re-
lated income with respect to a U.S. Debt
HI is the gross amount of the interest in-
come recognized for U.S. federal income
tax purposes by the owner of the U.S. Debt
HI, determined without regard to the actual
amount of the owner’s earnings and prof-
its.
.06Rules for Applying Section 909 to
pre-2011 Split Taxes and Related Income
(a)General Rules
(1) The determination of related in-
come, other income, pre-2011 split taxes,
and other taxes, and the portion of these
amounts that were distributed, deemed
paid or otherwise transferred or elimi-
natedmustbemadeonanannualbasis
beginning with the first taxable year of the
section 902 corporation beginning after
December 31, 1996 (“post-1996 taxable
year”) in which the section 902 corpora-
tion paid or accrued a pre-2011 tax with
respect to a pre-2011 splitter arrangement
and ending with the section 902 corpora-
tion’s last pre-2011 taxable year. Annual
amounts of related income and pre-2011
split taxes are aggregated for each separate
pre-2011 splitter arrangement.
(2) The determination of annual and
aggregate amounts of related income and
pre-2011 split taxes with respect to each
pre-2011 splitter arrangement must be
made for each separate category as de-
fined in §1.904–4(m) of the section 902
corporation, each covered person, and any
other person that succeeds to the related
income and pre-2011 split taxes. In the
case of a pre-2011 splitter arrangement
involving a shared loss, the amount of
the related income in each separate cat-
egory of the covered person is equal to
the amount of income in that separate cat-
egory that was offset by the shared loss
for foreign tax purposes. In the case of a
pre-2011 splitter arrangement involving
a U.S. Equity HI, the related income is
assigned to the issuer’s separate categories
in the same proportions as the pre-2011
split taxes. Earnings and profits, including
related income, are assigned to separate
categories under the rules of §§1.904–4,
–5, –7, and –7T. Foreign income taxes, in-
cluding pre-2011 split taxes, are assigned
to separate categories under the rules of
§1.904–6. A section 902 shareholder must
consistently apply methodologies for de-
termining pre-2011 split taxes and related
income with respect to all pre-2011 splitter
arrangements.
(b)Rules Regarding Related Income
(1) In the case of each pre-2011 split-
ter arrangement involving a reverse hybrid
or a foreign consolidated group, a covered
person’s aggregate amount of related in-
come must be adjusted each year by the net
amount of income and expense attributable
to the activities of the covered person that
give rise to income included in the foreign
tax base, even if the net amount is negative
and regardless of whether the section 902
corporation paid or accrued any pre-2011
split taxes in such year.
(2) Related income is determined
without regard to the application of
§1.960–1(i)(4) (relating to the effect of
separate limitation losses on earnings and
profits in another separate category) or
section 952(c)(1) (relating to certain earn-
ings and profits deficits).
(3) If the earnings and profits of a cov-
ered person include amounts attributable
to both related income and other income,
including pre-1997 earnings, then distribu-
tions, deemed distributions, and inclusions
out of earnings and profits (for example,
under section 301, 304, 367(b), 951(a),
964(e), 1248, or 1293) of the covered per-
son are considered made out of related in-
come and other income on apro ratabasis.
Any reduction of a covered person’s earn-
ings and profits that results from a payment
on stock that is not treated as a dividend
for U.S. federal income tax purposes (e.g.,
pursuant to section 312(n)(7)) will also re-
duce related income and other income on
apro ratabasis.
(4)Inlieuoftheruleinparagraph(3)
of this section 4.06(b), a section 902 share-
holder may choose to treat all distributions,
deemed distributions, and inclusions out
of earnings and profits of a covered per-
son as attributable first to related income.
A section 902 shareholder may choose to
use this alternative method on a timely
filed original income tax return for the
first post-2010 taxable year in which the
shareholder computes an amount of for-
eign taxes deemed paid with respect to a
section 902 corporation that paid or ac-
crued pre-2011 split taxes. Such choice by
a section 902 shareholder is evidenced by
employing the method on its income tax
return; the section 902 shareholder need
not file a separate statement. A section 902
shareholder that chooses this alternative
method must consistently apply it with re-
spect to all pre-2011 splitter arrangements.
(5) Distributions, deemed distributions,
and inclusions of related income (includ-
ing indirectly through a partnership) to per-
sons other than the payor section 902 cor-
poration retain their character as related in-
come with respect to the associated pre-
2011 split taxes.
(6) Related income carries over to other
corporations in the same manner as earn-
ings and profits carryover under section
381, §1.367(b)–7, or similar rules, and
retains its character as related income with
respect to the associated pre-2011 split
taxes.
(7) Related income will be considered
taken into account by a section 902 share-
2010–52 I.R.B.920December 27, 2010

holder to the extent that the related income
is recognized as gross income by the sec-
tion 902 shareholder, or by an affiliated
corporation described in paragraph (9) of
this section 4.06(b), upon a distribution,
deemed distribution,or inclusion (such as
under section 951(a)) out of the earnings
and profits of the covered person attribut-
able to such related income.
(8) Related income will be considered
taken into account by a payor section 902
corporation if (a) the related income is re-
flected in the earnings and profits of such
section 902 corporation for U.S. federal in-
come tax purposes by reason of a distribu-
tion, deemed distribution, or inclusion out
of the earnings and profits of the covered
person attributable to such related income
or (b) the payor section 902 corporation
and the covered person are combined in a
transaction described in section 381(a)(1)
or (2).
(9) A section 902 shareholder will be
considered to have taken related income
into account if one or more members of an
affiliated group of corporations (as defined
in section 1504) that files a consolidated
federal income tax return that includes the
section 902 shareholder takes the related
income into account.
(10) Distributions and deemed distri-
butions described in this section 4.06(b)
(including in the case of a section 902
shareholder that has chosen the alterna-
tive method described in paragraph (4)
of this section 4.06(b)) do not include
distributions of amounts described in
section 959(c)(1) or (c)(2), which are
distributed before amounts described in
section 959(c)(3).
(c)Rules Regarding pre-2011 Split Taxes
(1) If the pre-2011 taxes of a section
902 corporation include both pre-2011
split taxes and other taxes, including
pre-1997 taxes, then foreign taxes deemed
paid under section 902 or 960 or otherwise
removed from post-1986 foreign income
taxes in pre-2011 taxable years will be
treated as attributable to pre-2011 split
taxes and other taxes on a pro rata basis.
(2) pre-2011 split taxes deemed paid
in pre-2011 taxable years in connection
with a dividend paid to a shareholder de-
scribed in section 902(b) retain their char-
acter as pre-2011 split taxes. The section
902(b) shareholder will be treated as the
payor section 902 corporation with respect
to those pre-2011 split taxes.
(3) pre-2011 split taxes that carry over
to another foreign corporation, including
under section 381, §1.367(b)–7 or simi-
lar rules, retain their character as pre-2011
split taxes. The transferee foreign corpora-
tion will be treated as the payor section 902
corporation with respect to those pre-2011
split taxes.
(4) For each pre-2011 splitter arrange-
ment, as related income is taken into ac-
count by the payor section 902 corpora-
tion or a section 902 shareholder as pro-
vided in section 4.06(b), a ratable portion
of the associated pre-2011 split taxes will
no longer be treated as pre-2011 split taxes.
In the case of a pre-2011 splitter arrange-
ment involving a reverse hybrid or a for-
eign consolidated group, if aggregate re-
lated income is reduced to zero (other than
as a result of a distribution, deemed dis-
tribution, or inclusion described in section
4.06(b)) or less than zero, pre-2011 split
taxes will retain their character as pre-2011
split taxes until the amount of aggregate
related income is positive and the related
income is taken into account by the payor
section 902 corporation or a section 902
shareholder as provided in section 4.06(b).
SECTION 5. RULES RELATING TO
PARTNERSHIPS AND TRUSTS
.01Taxes Paid or Accrued by Partnerships
Section 909(c)(1) provides that in the
case of a partnership, section 909(a) and
(b) will be applied at the partner level. Ac-
cordingly, in the case of foreign income
taxes paid or accrued by a partnership, the
taxes will be treated as pre-2011 split taxes
to the extent such taxes are allocated to
one or more section 902 corporations and
would be pre-2011 split taxes if the part-
ner section 902 corporation had paid or ac-
crued the taxes directly on the date such
taxes are included by the section 902 cor-
poration under sections 702 and 706(a).
Further, any foreign income taxes subject
to section 909 will be suspended in the
hands of the partner section 902 corpora-
tion.
.02Taxes Paid or Accrued by Partners
For purposes of applying section 909 in
post-2010 taxable years, there will not be
a foreign tax credit splitting event with re-
spect to a foreign income tax paid or ac-
crued by a partner with respect to its dis-
tributive share of the related income of a
partnership that is a covered person with
respect to the partner to the extent the re-
lated income is taken into account by the
partner.
.03Section 704(b) Allocations
The Treasury Department and IRS rec-
ognize that certain allocations of creditable
foreign tax expenditures and income of
a partnership can result in the separation
of the creditable foreign tax expenditures
and the related income for purposes of
section 909, notwithstanding that these
allocations satisfy the requirements of
section 704(b) and the regulations there-
under. See,e.g., §1.704–1(b)(4)(viii)(d)
and §1.704–1(b)(5),Example 24.Part-
nership allocations that satisfy the re-
quirements of section 704(b) and the
regulations thereunder will not constitute
pre-2011 splitter arrangements except to
the extent the arrangement is otherwise
described in section 4 of this notice (for
example, a payment or accrual on a dis-
regarded debt instrument that gives rise
to a shared loss). However, the Treasury
Department and IRS will provide in fu-
ture guidance that allocations described
in §1.704–1(b)(4)(viii)(d)(3) will result
in a foreign tax credit splitting event in
post-2010 taxable years to the extent such
allocations result in foreign income taxes
being allocated to a different partner than
the related income. The Treasury Depart-
ment and IRS solicit comments on the
extent to which §1.704–1(b)(4)(viii)(d)
and §1.704–1(b)(5),Example 24should
be modified in light of the enactment of
section 909.
04.Trusts
Rules similar to the rules of sections
5.01 and 5.02 of this notice will apply in
the case of any trust with one or more ben-
eficiaries that is a section 902 corporation.
December 27, 20109212010–52 I.R.B.

SECTION 6. INTERACTION
BETWEEN SECTION 909 AND OTHER
CODE PROVISIONS
.01Section 904(c)
Section 904(c) provides a 10-year car-
ryforward period and a one-year carry-
back period for foreign income taxes in
excess of a taxpayer’s foreign tax credit
limitation in any separate category. Sec-
tion 904(c) implements the carryover of
excess foreign income taxes by provid-
ing that the excess taxes are “deemed paid
or accrued” in the carryover year. Ques-
tions have arisen concerning whether sec-
tion 909 applies to excess foreign income
taxes carried forward from pre-2011 tax-
able years and deemed paid or accrued
under section 904(c) in post-2010 taxable
years. The Treasury Department and IRS
intend to issue regulations providing that
section 909 does not apply to excess for-
eign income taxes that were paid or ac-
crued in pre-2011 taxable years and carried
forward and deemed paid or accrued under
section 904(c) in a post-2010 taxable year.
.02Section 905(a)
Section 909 does not alter the general
rules for determining when a creditable
foreign tax is paid or accrued. Under
§1.461–4(g)(6)(iii)(B), a creditable for-
eign tax accrues when all of the events
have occurred that fix the fact and amount
of foreign tax liability with reasonable
accuracy, without regard to the economic
performance (payment) requirement of
section 461(h). See also Dixie Pine Prod-
ucts Co. v. Commissioner, 320 U.S. 516
(1944) (a contested foreign tax accrues
in the year the contest is resolved). Un-
der the “relation-back” doctrine, once a
creditable foreign tax accrues, it “relates
back” to the year with respect to which the
tax was imposed. Cuba Railroad Co. v.
United States, 124 F. Supp. 182 (SDNY
1954); Rev. Rul. 84–125, 1984–2 C.B.
125. However, section 909(c)(2) provides
that notwithstanding the general rule, ex-
cept for purposes of section 986(a) and as
otherwise provided by the Secretary, sus-
pended taxes are taken into account and
treated as paid or accrued in the year the
related income is taken into account. Thus,
for purposes of determining in post-2010
taxable years the allowable deduction for
foreign taxes paid or accrued under section
164(a), the carryover of excess foreign
income taxes under section 904(c), and
the extended period for claiming a credit
or refund under section 6511(d)(3)(A),
foreign income taxes to which section 909
applies are first taken into account and
treated as paid or accrued in the year in
which the related income is taken into ac-
count, and not in the earlier year to which
the tax relates (determined without regard
to section 909).
.03Section 905(c)
Under section 905(c) and the regula-
tions under that section, a taxpayer that
claims a foreign tax credit for taxes paid
or accrued under section 901 or deemed
paid under section 902 or 960 generally
must notify the IRS when there has been
a change to the amount of foreign taxes
paid or accrued. Generally, in the case of
a redetermination of foreign taxes claimed
as a direct credit under section 901, the
taxpayer’s U.S. tax liability for the year
to which the tax relates and other affected
years must be redetermined. Section
905(c)(1). In the case of a redetermination
of foreign taxes included in the computa-
tion of foreign taxes deemed paid under
section 902 or 960, in lieu of recomput-
ing the section 902 shareholder’s U.S. tax
liability, the foreign corporation’s pools
of post-1986 undistributed earnings and
post-1986 foreign income taxes generally
must be adjusted at the time of the foreign
tax redetermination to reflect the effect of
the foreign tax redetermination in calculat-
ing foreign taxes deemed paid with respect
to subsequent distributions and inclusions
(and the amount of such distributions and
inclusions). Section 905(c)(2)(B)(i)(I).
Under section 905(c)(1)(B) and section
905(c)(2)(B), a foreign tax redetermina-
tion includes a failure to pay accrued tax
within two years of the close of the taxable
year to which such taxes relate and any
subsequent payment of such accrued tax.
If a redetermination of foreign taxes
claimed as a direct credit under section
901 occurs in a post-2010 taxable year and
the foreign tax redetermination relates to a
pre-2011 taxable year, to the extent such
foreign tax redetermination increased the
amount of foreign taxes paid or accrued
with respect to the pre-2011 taxable year
(e.g., due to an additional assessment of
foreign tax or a payment of a previously
accrued tax not paid within two years), sec-
tion 909 will not apply to such taxes.
If a redetermination of foreign tax paid
or accrued by a section 902 corporation
occurs in a post-2010 taxable year and
increases the amount of foreign taxes paid
or accrued by the section 902 corpora-
tion with respect to a pre-2011 taxable
year (e.g., due to an additional assess-
ment of foreign tax or a payment of a
previously accrued tax not paid within
two years), such taxes will be treated as
pre-2011 taxes. Section 909 will apply to
such taxes if they are pre-2011 split taxes.
In that case, they will be suspended in
the post-2010 taxable year in which they
would otherwise be taken into account as a
prospective adjustment to the section 902
corporation’s pools of post-1986 foreign
income taxes.
.04Other foreign tax credit provisions
Section 909 does not affect the applica-
bility of other restrictions or limitations on
the foreign tax credit under existing law,
including the substantiation requirements
of section 905(b).
SECTION 7. EFFECTIVE DATE
The regulations described in this notice
will apply in post-2010 taxable years, in-
cluding for purposes of applying sections
902and960topre-2011taxes.Untilregu-
lations incorporating the guidance set forth
in this notice are issued, taxpayers may
rely on the guidance contained in this no-
tice.
SECTION 8. REQUEST FOR
COMMENTS AND CONTACT
INFORMATION
The Treasury Department and IRS
solicit comments on the rules de-
scribedinthisnotice, including specif-
ically the extent to which the 2006
proposed regulations should be final-
ized and §1.704–1(b)(4)(viii)(d)and
§1.704–1(b)(5),Example 24should be
modified. The Treasury Department and
IRS expect future guidance will treat
pre-2011 splitter arrangements as giving
rise to foreign tax credit splitting events
in post-2010 taxable years. The Treasury
Department and IRS request comments
on the appropriateness of such treatment
and whether and to what extent other
2010–52 I.R.B.922December 27, 2010

transactions or arrangements should give
rise to foreign tax credit splitting events
in post-2010 taxable years. In particular,
comments are requested on whether and to
what extent the following transactions (or
circumstances, as appropriate) should be
treated as giving rise to foreign tax credit
splitting events: (1) covered asset acquisi-
tions described in section 901(m); (2) the
incorporation of a disregarded entity or a
hybrid partnership with respect to foreign
income taxes paid in the year of the in-
corporation or attributable to a significant
timing difference; (3)certain transfer pric-
ing adjustments; (4) group relief structures
not otherwise described in this notice;
(5) sale and repurchase agreements in the
related and unrelated counterparty con-
texts; (6) foreign anti-deferral regimes;
and (7) foreign consolidated groups in
which members have losses.
The Treasury Department and IRS also
solicit comments concerning: (1) rules for
associating foreign income taxes with re-
lated income; (2) ordering rules for divi-
dends out of earnings and profits compris-
ing both related income and other income;
(3) the effect on related income of losses
and deficits in earnings; and (4) additional
rules for assigning foreign income taxes
and related income to separate categories.
Written comments may be submitted
to the Office of Associate Chief Coun-
sel (International), Attention: Jeffrey L.
Parry, Internal Revenue Service, 1111
Constitution Avenue, NW, Washing-
ton, DC 20224. Alternatively, taxpayers
may submit comments electronically to
Notice.comments@irscounsel.treas.gov.
Comments will be available for public
inspection and copying. For further
information regarding this notice, contact
Mr. Parry of the Office of Associate Chief
Counsel (International) at (202) 622–3850
(not a toll-free call).
Update for Weighted Average
Interest Rates, Yield Curves,
and Segment Rates
Notice 2010–93
This notice provides guidance as to the
corporate bond weighted average interest
rate and the permissible range of interest
rates specified under § 412(b)(5)(B)(ii)(II)
of the Internal Revenue Code as in ef-
fect for plan years beginning before 2008.
It also provides guidance on the corpo-
rate bond monthly yield curve (and the
corresponding spot segment rates), the
24-month average segment rates, and
the funding transitional segment rates
under § 430(h)(2). In addition, this no-
tice provides guidance as to the interest
rate on 30-year Treasury securities un-
der § 417(e)(3)(A)(ii)(II) as in effect for
plan years beginning before 2008, the
30-year Treasury weighted average rate
under § 431(c)(6)(E)(ii)(I), and the min-
imum present value segment rates under
§ 417(e)(3)(D) as in effect for plan years
beginning after 2007.
CORPORATE BOND WEIGHTED
AVERAGE INTEREST RATE
Sections412(b)(5)(B)(ii)and
412(l)(7)(C)(i), as amended by the Pen-
sion Funding Equity Act of 2004 and by
the Pension Protection Act of 2006 (PPA),
provide that the interest rates used to cal-
culate current liability and to determine
the required contribution under § 412(l)
for plan years beginning in 2004 through
2007 must be within a permissible range
based on the weighted average of the rates
of interest on amounts invested conser-
vatively in long term investment grade
corporate bonds during the 4-year period
ending on the last day before the beginning
of the plan year.
Notice 2004–34, 2004–1 C.B. 848, pro-
vides guidelines for determining the cor-
porate bond weighted average interest rate
and the resulting permissible range of in-
terest rates used to calculate current liabil-
ity. That notice establishes that the corpo-
rate bond weighted average is based on the
monthly composite corporate bond rate de-
rived from designated corporate bond in-
dices. The methodology for determining
the monthly composite corporate bond rate
as set forth in Notice 2004–34 continues to
apply in determining that rate. See Notice
2006–75, 2006–2 C.B. 366.
The composite corporate bond rate for
November 2010 is 5.43 percent. Pursuant
to Notice 2004–34, the Service has de-
termined this rate as the average of the
monthly yields for the included corporate
bond indices for that month.
The following corporate bond weighted
average interest rate was determined for
plan years beginning in the month shown
below.
For Plan Years
Beginning inPermissible Range
MonthYear
Corporate
Bond Weighted
Average90%to100%
December20106.14
5.52
6.14
YIELD CURVE AND SEGMENT
RATES
Generally for plan years beginning
after 2007 (except for delayed effective
dates for certain plans under sections 104,
105, and 106 of PPA), § 430 of the Code
specifies the minimum funding require-
ments that apply to single employer plans
pursuant to § 412. Section 430(h)(2) spec-
ifies the interest rates that must be used
to determine a plan’s target normal cost
and funding target. Under this provision,
present value is generally determined us-
ing three 24-month average interest rates
(“segment rates”), each of which applies
to cash flows during specified periods.
However, an election may be made under
§ 430(h)(2)(D)(ii) to use the monthly yield
curve in place of the segment rates. For
plan years beginning in 2008 and 2009, a
transitional rule under § 430(h)(2)(G) pro-
vides that the segment rates are blended
with the corporate bond weighted average
as specified above. An election may be
made under § 430(h)(2)(G)(iv) to use the
segment rates without applying the transi-
tional rule.
December 27, 20109232010–52 I.R.B.

Notice 2007–81, 2007–2 C.B. 899,
provides guidelinesfor determining the
monthly corporate bond yield curve, the
24-month average corporate bond segment
rates, and the funding transitional segment
rates used to compute the target normal
cost and the funding target. Pursuant to
Notice 2007–81, the monthly corporate
bond yield curve derived from November
2010 data is in Table I at the end of this
notice. The spot first, second, and third
segment rates for the month of Novem-
ber 2010 are, respectively, 1.65, 4.91,
and 6.52. The three 24-month average
corporate bond segment rates applicable
for December 2010 under the election of
§ 430(h)(2)(G)(iv) are as follows:
First
Segment
Second
Segment
Third
Segment
3.14
5.906.45
The transitional segment rates under
§ 430(h)(2)(G) applicable for December
2010, taking into account the corporate
bond weighted average of 6.14 stated
above, are as follows:
For Plan Y
ears
Beginnin
gin
First
Segment
Second
Segment
Third
Segment
20094.14
5.986.35
The transitional rule of § 430(h)(2)(G)
does not apply to plan years starting in
2010. Therefore, for a plan year start-
ingin2010withalookbackmonthtoDe-
cember 2010, the funding segment rates
are the three 24-month average corporate
bond segment rates applicable for Decem-
ber 2010, listed above without blending for
the transitional period.
30-YEAR TREASURY SECURITIES
INTEREST RATES
Section 417(e)(3)(A)(ii)(II) (prior to
amendment by PPA) defines the appli-
cable interest rate, which must be used
for purposes of determining the minimum
present value of a participant’s benefit
under § 417(e)(1) and (2), as the annual
rate of interest on 30-year Treasury se-
curities for the month before the date
of distribution or such other time as the
Secretary may by regulations prescribe.
Section 1.417(e)–1(d)(3) of the Income
Tax Regulations provides that the applica-
bleinterestrateforamonthistheannual
rate of interest on 30-year Treasury secu-
rities as specified by the Commissioner
for that month in revenue rulings, notices
or other guidance published in the Internal
Revenue Bulletin.
The rate of interest on 30-year Treasury
securities for November 2010 is 4.19 per-
cent. The Service has determined this rate
as the average of the yield on the 30-year
Treasury bond maturing in August 2040
determined each day through November 9,
2010, and the yield on the 30-year Trea-
sury bond maturing in November 2040 de-
termined each day for the balance of the
month.
Generally for plan years beginning
after 2007, § 431 specifies the mini-
mum funding requirements that apply to
multiemployer plans pursuant to § 412.
Section 431(c)(6)(B) specifies a minimum
amount for the full-funding limitation
described in section 431(c)(6)(A), based
on the plan’s current liability. Section
431(c)(6)(E)(ii)(I) provides that the inter-
est rate used to calculate current liability
for this purpose must be no more than 5
percent above and no more than 10 percent
below the weighted average of the rates of
interest on 30-year Treasury securities dur-
ing the four-year period ending on the last
day before the beginning of the plan year.
Notice 88–73, 1988–2 C.B. 383, provides
guidelines for determining the weighted
average interest rate. The following rates
were determined for plan years beginning
in the month shown below.
For Plan Years
Beginning inPermissible Range
MonthYear
30-Year
Treasury
Weighted
Average
90%to
105%
December2010
4.25
3.834.46
MINIMUM PRESENT VALUE
SEGMENT RATES
Generally for plan years beginning af-
ter December 31, 2007, the applicable in-
terest rates under § 417(e)(3)(D) are seg-
ment rates computed without regard to a
24-month average. For plan years be-
ginning in 2008 through 2011, the appli-
cable interest rates are the monthly spot
segment rates blended with the applicable
rate under § 417(e)(3)(A)(ii)(II) as in ef-
fect for plan years beginning in 2007. No-
tice 2007–81 provides guidelines for de-
termining the minimum present value seg-
ment rates. Pursuant to that notice, the
minimum present value transitional seg-
ment rates determined for November 2010,
taking into account the November 2010
30-year Treasury rate of 4.19 stated above,
are as follows:
2010–52 I.R.B.924December 27, 2010

For Plan Years
Beginning in
First
Segment
Second
Segment
Third
Segment
20102.674.62
5.59
20112.164.77
6.05
DRAFTING INFORMATION
The principal author of this notice is
Tony Montanaro of the Employee Plans,
Tax Exempt and Government Entities Di-
vision. Mr. Montanaro may be e-mailed at
RetirementPlanQuestions@irs.gov.
December 27, 20109252010–52 I.R.B.

Table I
Monthly Yield Curve for November 2010
Derived from November 2010 Data
Maturity YieldMaturity YieldMaturity YieldMaturity YieldMaturity Yield
0.50.6520.5
5.93
40.5
6.59
60.5
6.81
80.5
6.92
1.00.8021.05.9641.06.5961.06.8181.0
6.92
1.5
0.98
21.55.9941.56.6061.56.8181.5
6.92
2.01.2022.06.0242.06.6162.06.8282.06.93
2.51.4522.56.0542.5
6.62
62.5
6.82
82.5
6.93
3.01.7323.06.0843.06.6263.06.8383.0
6.93
3.5
2.01
23.5
6.10
43.5
6.63
63.5
6.83
83.5
6.93
4.02.3024.06.1344.06.6464.06.8384.0
6.93
4.52.5724.56.1544.56.6564.56.8484.5
6.94
5.0
2.82
25.0
6.17
45.06.6565.0
6.84
85.0
6.94
5.5
3.06
25.5
6.19
45.5
6.66
65.5
6.84
85.5
6.94
6.03.2826.06.2146.06.6766.0
6.85
86.0
6.94
6.5
3.49
26.5
6.23
46.5
6.67
66.56.8586.5
6.94
7.03.6827.0
6.25
47.06.6867.0
6.85
87.0
6.94
7.53.8627.56.2747.56.6867.56.8587.56.95
8.04.0328.06.2948.06.6968.06.8688.06.95
8.5
4.18
28.5
6.30
48.5
6.70
68.5
6.86
88.5
6.95
9.0
4.32
29.0
6.32
49.0
6.70
69.0
6.86
89.0
6.95
9.54.4629.56.3449.56.7169.56.8789.56.95
10.0
4.58
30.0
6.3550.0
6.7170.06.87
90.0
6.95
10.54.7030.56.3750.56.7270.56.8790.5
6.96
11.04.8131.06.38
51.0
6.7271.06.8791.06.96
11.5
4.91
31.5
6.39
51.5
6.73
71.5
6.8891.5
6.96
12.0
5.00
32.06.41
52.0
6.7372.06.88
92.06.96
12.5
5.09
32.5
6.42
52.5
6.74
72.5
6.8892.5
6.96
13.0
5.17
33.06.43
53.0
6.7473.06.88
93.06.96
13.55.2533.56.4553.56.7573.5
6.89
93.5
6.97
14.0
5.32
34.06.46
54.06.75
74.06.8994.06.97
14.5
5.39
34.5
6.47
54.5
6.76
74.5
6.89
94.5
6.97
15.05.4535.0
6.48
55.0
6.76
75.0
6.89
95.0
6.97
15.55.5135.5
6.49
55.5
6.77
75.5
6.90
95.5
6.97
16.0
5.56
36.0
6.5056.0
6.7776.0
6.9096.06.97
16.55.6136.56.5156.56.7876.5
6.90
96.5
6.98
17.0
5.66
37.0
6.5257.0
6.7877.06.9097.06.98
17.55.7137.56.5357.5
6.78
77.5
6.91
97.5
6.98
18.0
5.75
38.0
6.5458.0
6.79
78.0
6.9198.06.98
18.5
5.79
38.56.5558.5
6.79
78.5
6.91
98.5
6.98
19.0
5.83
39.0
6.56
59.06.80
79.06.9199.06.98
19.55.8639.56.5759.56.8079.5
6.92
99.5
6.98
20.05.9040.0
6.58
60.06.8080.06.92100.06.99
2010–52 I.R.B.926December 27, 2010

Qualified Transportation
Fringes
Notice 2010–94
This notice delays the effective date of
Revenue Ruling 2006–57. Revenue Rul-
ing 2006–57 provides guidance to employ-
ers on the use of smartcards, debit or credit
cards, or other electronic media to provide
qualified transportation fringes under sec-
tions 132(a)(5) and (f) of the Code. This
guidance is intended to provide relief to
mass transit providers that have been un-
able to update their systems in order to
comply with the Revenue Ruling guide-
lines prior to the current effective date of
January 1, 2011. The effective date of Rev-
enue Ruling 2006–57 is further delayed
until January 1, 2012. Revenue Ruling
2006–57 is modified.
Revenue Ruling 2006–57, 2006–2
C.B. 911, provides guidance to employers
on the use of smartcards, debit or credit
cards, or other electronic media to pro-
vide qualified transportation fringes under
Internal Revenue Code §§ 132(a)(5) and
132(f). The ruling’s effective date was
set for January 1, 2008. In 2007, how-
ever, Treasury and the IRS became aware
that certain transit systems needed addi-
tional time to modify their technology and
make it compatible with the requirements
for vouchers set forth in Revenue Ruling
2006–57. Consequently, Treasury and the
IRS delayed the effective date of Revenue
Ruling 2006–57 until January 1, 2009.
See Notice 2007–76, 2007–2 C.B. 735.
In 2008, Treasury and the IRS further
delayed the effective date of Revenue
Ruling 2006–57 until January 1, 2010.
See Notice 2008–74, 2008–38 I.R.B.
718. And, in 2009, Treasury and the IRS
delayed the effective date of Revenue
Ruling 2006–57 until January 1, 2011.
See Notice 2009–95, 2009–52 I.R.B. 968.
Certain transit systems need additional
time to complete the process of adapting
their technology to achieve compatibility
with the requirements for vouchers.
Therefore, the ruling’s effective date is
further delayed until January 1, 2012.
Nevertheless, employers and employees
may rely on Revenue Ruling 2006–57 with
respect to transactions occurring prior to
January 1, 2012.
The principal author of this no-
tice is Syd Gernstein of the Office of
Associate Chief Counsel (Tax Exempt
& Government Entities). For further
information regarding this notice, contact
Syd Gernstein at (202) 622–6040 (not a
toll-free call).
Rev. Proc. 2010–52
SECTION 1. PURPOSE
This revenue procedure describes the
procedure by which the plan sponsor of a
multiemployer pension plan may request
and obtain approval of an extension of
an amortization period in accordance with
§ 431(d) of the Internal Revenue Code of
1986 (Code).
SECTION 2. BACKGROUND
INFORMATION
.01Section 431(d).—Section 431(d)
was added to the Code as part of a sig-
nificant revision of the funding rules for
pension plans qualified under § 401(a)
made by the Pension Protection Act of
2006 (PPA). Parallel provisions to § 431(d)
can be found at § 304(d) of the Employee
Retirement Income Security Act of 1974
(ERISA). The Secretary of the Treasury
has interpretive and enforcement jurisdic-
tion over both provisions.
Section 431(d)(1) provides that if the
plan sponsor of a multiemployer plan sub-
mits to the Secretary of the Treasury an
application for an extension of the amor-
tizationperiodforanyunfundedliability
described in § 431(b)(2)(B) or 431(b)(4)
(referredtointhisrevenue procedure as
a “charge base”), and includes the certifi-
cation by the plan’s actuary described in
§ 431(d)(1)(B), the Secretary shall extend
the amortization period for the period (not
in excess of five years) requested in the ap-
plication. An extension under § 431(d)(1)
is referred to as an automatic extension.
In addition, § 431(d)(2)(A) provides that
the plan sponsor of a multiemployer plan
may submit an application for an exten-
sion of the amortization period for any
such charge base, and the Secretary may
extend the amortization period for a pe-
riod of time not in excess of 10 years less
thenumberofyearsofanyautomaticex-
tension with respect to such charge base,
if the Secretary makes the determination
described in § 431(d)(2)(B). An exten-
sion under § 431(d)(2) is referred to as an
alternative extension. Section 431(d)(3)
requires that an applicant provide notice
of the extension application to each af-
fected party described in § 4001(a)(21) of
ERISA.
.02Rev. Proc. 2008–67.—Rev. Proc.
2008–67, 2008–2 C.B. 1211, provided the
procedure for submitting an application for
a ruling on an amortization extension with
respect to plan years starting after Decem-
ber 31, 2007. This revenue procedure dif-
fers from Rev. Proc. 2008–67 in a num-
ber of ways. The major differences in-
clude: modifications to the list of affected
parties to whom notification must be made
(adding the Pension Benefit Guaranty Cor-
poration (PBGC) and removing contribut-
ing employers); extension of the period for
submission of an application; and modifi-
cation of the treatment of automatic exten-
sion applications for purposes of certify-
ing a plan’s status under § 432(b)(3) of the
Code. This revenue procedure also clar-
ifies certain other aspects of Rev. Proc.
2008–67. In addition, the model notice
in this revenue procedure now includes
a plain language explanation section and
a Comment and IRS Acknowledgement
Sheet.
.03Section 431(b)(8).—Section
211(a)(2) of the Preservation of Access to
Care for Medicare Beneficiaries and Pen-
sion Relief Act of 2010 (PRA 2010), Pub.
L. No. 111–192, added § 431(b)(8) to the
Code. Section 431(b)(8)(A) provides a
special amortization rule for certain net
investment losses in the case of a multi-
employer plan that meets a solvency test.
The special rule applies to the portion of
the plan’s experience loss or gain for a
plan year attributable to net investment
losses (if any) incurred in either or both
of the first two plan years ending after
August 31, 2008 (an eligible loss year).
This portion of the experience loss or
gain may be treated as an item separate
from other experience losses, to be amor-
tized in equal annual installments (until
fully amortized) over the period beginning
with the plan year in which such portion
is first recognized in the actuarial value
of assets and ending with the last plan
year in the 30-plan-year period begin-
ning with the eligible loss year. Under
§ 431(b)(8)(A)(ii)(I), the amortization pe-
riod under the special amortization rule
December 27, 20109272010–52 I.R.B.

cannot be further extended under § 431(d).
In addition, under § 431(b)(8)(A)(ii)(II),
if an extension of an amortization period
was granted under § 431(d) for any plan
year before a decision to apply the special
amortization rule for the plan year, that
extension cannot result in the amortization
period under the special amortization rule
exceeding 30 years.
SECTION 3. APPLICATIONS TO
EXTEND AN AMORTIZATION
PERIOD — IN GENERAL
.01Who may submit.—An application
for approval to extend the period of years
required to amortize any unfunded liabil-
ity must be submitted by the plan spon-
sor (i.e., the board of trustees of the plan,
and referred to in this revenue procedure
astheapplicantorBoard)orbyanautho-
rized representative of the applicant. The
application must be signed by an autho-
rized trustee who is a current member of
the Board or by an authorized representa-
tive of the applicant who either must be
identified in (a), (b), or (c) of subsection
9.02(11) of Rev. Proc. 2010–4, 2010–1
I.R.B. 122, or must be an enrolled actu-
ary within the meaning of § 7701(a)(35).
Where an authorized representative signs
the application or will appear before the
Service in connection with the application,
a Form 2848,Power of Attorney and Dec-
laration of Representative, must be sub-
mitted with the application. An individ-
ual is not an authorized representative of
the applicant merely on account of being
an administrator or trustee of the plan.
.02Submission.—An application must
be submitted to:
Employee Plans
Internal Revenue Service
Commissioner, TE/GE
Attention: SE:T:EP:RA
P.O. Box 27063
McPherson Station
Washington, D.C. 20038
The user fee required by Rev. Proc.
2010–8, 2010–8 I.R.B. 234, must be sent
with such an application.
.03Required Information.—An ap-
plication must contain the information
required by § 4 and/or § 5 of this revenue
procedure, as applicable. Applications
must include the plan name, the plan spon-
sor’s employer identification number, and
the plan number. Applications must also
include a statement that the notice required
by § 3.05 of this revenue procedure has
been provided, a description of the method
of delivery used to satisfy the notice re-
quirement, and a copy of the notice.
.04Necessary Procedural Docu-
ments.—An application will not be con-
sidered unless it complies with (1) and (2)
below.
(1) The application must contain a dec-
laration in the following form: “Under
penalties of perjury, I declare that I have
examined this request, or this modifica-
tion to the request, including accompa-
nying documents, and, to the best of my
knowledge and belief, the request or the
modification contains all the relevant facts
relating to the request or the modification,
and such facts are true, correct, and com-
plete.” This declaration must be signed
by an authorized trustee who is a current
member of the Board. The signature of
an individual with a power of attorney
will not suffice for the declaration. See
§ 9.02(13) of Rev. Proc. 2010–4.
(2) Because the application constitutes
a request for a ruling, compliance with
§6110isalsorequired. Section601.201
of the Statement of Procedural Rules sets
forth the requirements applicable to re-
quests for rulings and determination let-
ters which are subject to § 6110. Sec-
tion 601.201(e) furnishes specific instruc-
tions to applicants.
The applicant must provide with the ap-
plication either a statement of proposed
deletions and the statutory basis for each
proposed deletion, or a statement that no
information other than names, addresses,
and taxpayer identifying numbers need be
deleted.
.05Notification.—Within 14 days prior
to the date of an application, the applicant
must provide a copy of a written notice
to each affected party (within the mean-
ingof§4001(a)(21)ofERISA)stating
that an application for an extension of the
amortization period under § 431(d) is be-
ing submitted to the Service. This includes
each employee organization representing
employees covered by the plan, each par-
ticipant, beneficiary, and alternate payee
(within the meaning of § 414(p)(8)) of the
Code), and the PBGC. The original of the
notice must bear a signature by an autho-
rized trustee who is a current member of
the applicant’s Board and must be in sub-
stantially the form set forth in the Model
Notice found in Appendix A to this rev-
enue procedure. The Service does not re-
quire the applicant to furnish any informa-
tion to affected parties in addition to that
required by the Model Notice in Appen-
dix A as part of the extension application
process, but additional information may be
provided by the applicant pursuant to the
collective bargaining process or otherwise.
The notice must be hand-delivered or
mailed to the last known address of each
employee organization, participant, bene-
ficiary, and alternate payee. Alternatively,
the notice may be delivered electronically
in accordance with the requirements of
§ 1.401(a)–21 of the Income Tax Regula-
tions. Merely posting the notice on a bul-
letin board is not sufficient to satisfy this
notice requirement. If the applicant makes
a reasonable effort to carry out the provi-
sions of this paragraph, then failure of an
employee organization, participant, bene-
ficiary, or alternate payee to receive the no-
tice will not cause the applicant to fail the
notice requirement.
Notice to the PBGC may be submit-
ted electronically toMultiemployerPro-
gram@pbgc.govormaybesenttothe
following address:
Pension Benefit Guaranty Corporation
Attn: Multiemployer Program Division
1200 K Street, N.W.
Washington, D.C. 20005–4026
.06ProvidingInforma-
tion.—Employers who have difficulty
in furnishing the information specified
in this revenue procedure may call the
Employee Plans Customer Assistance
Service at 1–877–829–5500 (a toll-free
number), or write for guidance to the
following address:
Internal Revenue Service
Commissioner, TE/GE
Attention: SE:T:EP:RA:T:A2
1111 Constitution Avenue, N.W.
Washington, D.C. 20224
In appropriate instances, pre-submis-
sion conferences may be afforded in ad-
dition to conferences available under Rev.
Proc. 2010–8.
.07Coordination of Extension Appli-
cations.—The total length of an amorti-
zation period extension permitted under
2010–52 I.R.B.928December 27, 2010

paragraphs(1)and(2)of§431(d)ofthe
Code for a charge base is limited to 10
years. Section 4 of this revenue proce-
dure relates to automatic extensions un-
der § 431(d)(1). Section 5 of this rev-
enue procedure relatesto alternative exten-
sions under § 431(d)(2). An automatic ex-
tension for a charge base may not exceed
five years. An alternative extension for a
charge base may be for up to 10 years less
any automatic extension approved for that
charge base. An applicant requesting both
typesofextensionmaydosoinasingle
application. However,such an application
must include the information specified in
§ 4.01 below (including the actuarial cer-
tification described in § 4.01(4)), the in-
formation specified in § 5.01 below, and
a completed copy of the checklist that ap-
pears as Appendix B of this revenue proce-
dure. Such a combined application will be
considered a single ruling request. If the
applicant requests both types of extension
in a single application, the Service may ap-
prove the automatic extension without ap-
proving the alternative extension.
.08Modification of Existing Exten-
sion.—If a plan has already received under
§ 431(d), or under § 412(e) as in effect be-
fore the effective date of PPA, an extension
for less than 10 years of the amortization
period on any charge base, an application
for an alternative extension may be sub-
mitted modifying the extension on such
charge base to a total of 10 years (taken to-
gether with the original extension). Even
if the original extension was for less than
five years, no such modification of an ex-
tension may be requested as an automatic
extension.
.09Interim Effect of Applica-
tion.—Whether the Service has ruled on
an application does not affect the 90-day
deadline for certification of a multiem-
ployer plan’s status under § 432(b)(3) of
the Code. In making this certification, if
the plan has submitted an application for
an automatic extension under § 431(d)(1)
and the Service has not yet ruled on the
application, the actuary must treat the ap-
plication as approved. However, for certi-
fications made before January 1, 2011, the
actuary may, but is not required to, treat as
approved an application for an automatic
extension on which the Service has not yet
ruled. The provisions in the preceding two
sentences do not apply if the application
was submitted after the deadline specified
in Section 6, or if the actuary has reason
to believe that the standards of this rev-
enue procedure have not been met for the
application submitted.
SECTION 4. APPLICATION FOR
AUTOMATIC EXTENSION
.01Informationtobeprovided.—An
applicant for an automatic extension must
furnish the following information:
(1) A list of the charge bases for which
an extension of the amortization periods is
requested.
(2) The length of the extension of the
amortization period being requested for
each of the charge bases listed in (1) above
(up to a maximum of five years). No
extension will be granted with respect to
an amortization period for net investment
losses described under § 431(b)(8)(A)(i).
(3) Whether a prior application for an
automatic or alternative amortization ex-
tension under § 431(d), or amortization ex-
tension under § 412(e) as in effect before
the effective date of PPA, was or was not
approved with respect to any of the charge
bases for which an extension is requested,
including, if approved, the length of the ex-
tension, and, if denied, the reason for the
denial and an explanation of why the rea-
son for the denial no longer applies.
(4) A certification by the plan’s actuary
that, based on reasonable assumptions:
1.Absent the extension for which the
plan is applying, the plan would have an
accumulated funding deficiency in the cur-
rent plan year or any of the nine succeeding
plan years,
2.The plan sponsor has adopted a plan
to improve the plan’s funding status,
3.The plan is projected to have suffi-
cient assets to timely pay expected bene-
fits and anticipated expenditures over the
amortization period as extended, and
4.The notice required under
§ 431(d)(3)(A) has been provided, in
accordance with § 3.05 of this revenue
procedure.
.02Ruling.—Upon receipt of the appli-
cation with the necessary information, and
verification that the criteria stated above
have been met, the Secretary shall issue
a statement to the applicant providing ap-
proval for the requested extension.
.03Applicable Period.—The proce-
dures of this § 4 shall not apply with
respect to any application submitted after
December 31, 2014, in accordance with
§ 431(d)(1)(C).
SECTION 5. APPLICATION FOR
ALTERNATIVE EXTENSION
.01Informationtobeprovided.—An
applicant for an alternative extension must
furnish appropriateevidence that the ex-
tension of the amortization period would
carry out the purposes of ERISA and PPA
and would provide adequate protection for
participants and their beneficiaries, and
that the failure to permit the extension
would (I) result in a substantial risk to the
voluntary continuation of the plan, or a
substantial curtailment of pension benefit
levels or employee compensation, and (II)
be adverse to the interests of plan partic-
ipants in the aggregate. What constitutes
appropriate evidence will depend on the
facts and circumstances of each case. A
response must be furnished for each of
paragraphs (1) through (5) below. In cer-
tain cases, some of the material described
in paragraphs (1) through (5) may be in-
applicable, unavailable, inappropriate, or
burdensome to furnish. In such cases, the
applicant must furnish a statement indi-
cating why the material for a particular
paragraph is inapplicable, unavailable,
inappropriate, or burdensome.
(1)General facts concerning the partic-
ipating employers.
A brief statement should be submit-
ted concerning: (a) the history of the
contributing employers and the industry
or industries covered by the plan; (b)
the ownership of the principal employ-
ers (as identified below) and any recent
or contemplated changes (such as acqui-
sitions, mergers, or discontinuances of
operations) which might have a bearing
on the employers’ organizations or gen-
eral financial condition; (c) any recently
withdrawn principal employers with the
applicable withdrawal liability amounts
and dates; and (d) a general description
of the financial state of the industry in
which employees covered by the plan are
employed.
(2)The financial condition of the prin-
cipal employers.
For purposes of this revenue procedure,
the principal employers are those employ-
ers who (1) are directly represented on the
applicant board of trustees, (2) made five
percent or more of the total contributions
December 27, 20109292010–52 I.R.B.

to the plan during the preceding plan year,
or (3) for the current plan year, are re-
quired to make five percent or more of
the total required contributions under the
collective bargaining agreements relating
to the plan for which the extension is re-
quested. Each of the principal employers
must submit the latest available annual fi-
nancial report of the employer and each of
the other entities included within the con-
trolled group of which the employer is a
member. This submission must include
at least the balance sheet, profit and loss
statement, cash flow statement, and notes
to the financial statement. Recent interim
financial reports for each of the controlled
group members, if available, must also be
submitted along with an interim financial
report covering the corresponding period
for the previous year. If the employer sub-
mits financial reports to the Securities and
Exchange Commission, these reports must
be submitted for the same period as the an-
nual financial report.Preferably, the finan-
cial report should include certified finan-
cial statements. If certified financial state-
ments have not been prepared, an uncerti-
fied report is acceptable. If neither certi-
fied nor uncertified reports are available, a
copy of the company’s latest available fed-
eral income tax return, including all of the
supporting schedules, must be submitted.
The required financial information of the
principal employers should be submitted
directly from each employer to the Service
at the following address, at the same time
that the application is made:
Employee Plans
Internal Revenue Service
Commissioner, TE/GE
Attention: SE:T:EP:RA
P.O. Box 27063
McPherson Station
Washington, D.C. 20038
(3)Information concerning the exten-
sion of the amortization period.
Information concerning the extension
of the amortization period must include the
following.
1.A list of the charge bases for which
the extension is requested, the amount of
each such base, and the number of years re-
maining in the amortization period for the
charge base. A favorable ruling will not
begrantedonanapplicationwithrespect
to which the total amount subject to the re-
quested extension is not yet established.
2.The reasons why an extension of the
amortization period is needed.
3.The length of the extension of the
amortization period desired (up to a max-
imum of 10 years less any automatic
or previously approved alternative ex-
tension). No extension will be granted
with respect to an amortization period
for net investment losses described under
§ 431(b)(8)(A)(i).
4.Whether a prior application for an
automatic or alternative amortization ex-
tension under § 431(d), or amortization ex-
tension under § 412(e) as in effect before
the effective date of PPA, was or was not
approved with respect to any of the charge
bases for which an extension is requested,
including, if approved, the length of the ex-
tension, and, if denied, the reason for the
denial and an explanation of why the rea-
son for the denial no longer applies.
5.Information concerning the actions
taken by the applicant, before the appli-
cation for an extension has been made, to
reduce the plan’s unfunded liability. Such
actions would include the reduction of fu-
ture plan benefit accruals and increases in
employer contribution rates. Also describe
any benefit reductions, contribution rate
increases, or other actions that are intended
to be taken in the future.
6.Projections of (i) funding standard
account credit balance/accumulated fund-
ing deficiencies, (ii) actuarial value of as-
sets and market value of assets, (iii) cur-
rent liabilities, and (iv) funding ratios (de-
termined in accordance with § 432(i)) for
the length of the extension of the amor-
tization period requested and for the pe-
riod 10 years afterwards. For example,
if the applicant requests an extension of
10 years (including a five-year automatic
extension), the projections must be for a
20-year period. These projections must be
prepared by an enrolled actuary.
7.The first plan year for which the ex-
tension would apply,i.e., the first plan year
for which the extension of the amortization
period will be reflected in the determina-
tion of the minimum funding standard for
the plan (e.g., 1/1/2011–12/31/2011).
The Service may request additional in-
formation as needed.
(4)Facts concerning the pension plan.
For each pension plan for which an ex-
tension is requested, the following infor-
mation must be supplied.
1.The date the plan was adopted.
2.The effective date of the plan.
3.The classes of employees covered.
4.The number of active participants
and the number of total participants.
5.A copy of the current plan document
and the most recent summary plan descrip-
tion.
6.A copy of the most recent determi-
nation letter issued to the plan.
7.A brief description of all plan amend-
ments adopted during the first plan year
for which the extension would apply and
the previous four years which affect plan
costs, including the approximate effect of
each amendment on such costs.
8.The most recent actuarial report plus
any available actuarial reports for the pre-
ceding two plan years. Also, if not shown
in the most recent actuarial report, the
present value of accrued benefits, present
value of vested benefits, and fair market
value of assets (excluding contributions
not yet paid).
9.A description of how the plan is
funded (i.e., trust fund, individual insur-
ance policies, etc.).
10.A list of the contributions actu-
ally paid to the plan in each month, from
the twenty-fourth month prior to the be-
ginning of the first plan year for which
the extension would apply through the date
of the application (including the plan year
to which each of the contributions was
applied), with the employee contributions
and the employer contributions listed sep-
arately.
11.The approximate contribution re-
quired to meet the minimum funding stan-
dard for the first plan year for which the
extension would apply. This amount must
be determined by the plan’s enrolled actu-
ary.
12.A copy of the most recently com-
pletedAnnual Return/Report of Employee
Benefit Plan(Form 5500 series, as applica-
ble) and a copy of the corresponding Actu-
arial Information schedule (Schedule MB).
13.A copy of each ruling letter for the
plan that waived the plan’s minimum fund-
ing standard during the last 15 plan years,
a statement of the amount waived for each
plan year, and a statement of the outstand-
ing balance of the amortization base for
each waived funding deficiency. The out-
2010–52 I.R.B.930December 27, 2010

standing balance of the amortization base
for each waiver is to be calculated as of the
first day of the first plan year for which an
extension would apply.
14.A copy of each ruling letter for the
plan that granted under § 431(d), or under
§ 412(e) of the Code as in effect before
the effective date of the PPA, an extension
of time to amortize any unfunded liability
which became applicable at any time.
15.A copy of the certification of
whether or not the plan is in critical status
or endangered status, in accordance with
the requirements of § 432(b)(3), for the
first plan year for which the extension
would apply.
16.A copy of any funding improve-
ment plan or rehabilitation plan to which
the plan is currently subject in accordance
with§432,ortowhichtheplanhasbeen
subject at any time within the 10 years pre-
ceding the date of the application and all
updates to the funding improvement plan
or rehabilitation plan.
(5)Other information.
1.Describethenatureofanymatters
pertaining to the plan which are currently
pending with, or are intended to be submit-
ted to, the Service, the Department of La-
bor, or the PBGC.
2.Furnish details of any existing ar-
bitration, litigation, or court procedure
which involves the plan.
.02Checklist.—A checklist has been
provided in Appendix B for the use of an
applicant submittingan application for an
alternative extension. The checklist must
be signed and dated by the applicant or au-
thorized representative and placed on top
of the application.
SECTION 6. DEADLINE FOR
REQUESTING AN EXTENSION
All extension applications must be sub-
mitted by the 15
th
day of the third calendar
month following the last day of the first
plan year for which the extension is in-
tended to take effect. The Service will con-
sider applications for extensions submitted
after this date only upon a showing of good
cause. In seeking an alternative extension
of an amortization period with respect to
a plan year which has not yet ended, the
applicant may have difficulty in furnish-
ing sufficient current information in sup-
port of the application. For this reason, it
is generally advised that an application not
be submitted earlier than 90 days prior to
the end of the plan year for which the ex-
tension is requested. This 90-day period
does not apply to applications for an auto-
matic extension. Section 431(d)(2)(C) of
the Code requires that the Service act on
an application for an alternative extension
within 180 days of receiving the applica-
tion. An application will not be consid-
ered received until the applicable informa-
tion required by §§ 4.01, 5.01, and 5.02 of
this revenue procedure has been received.
The Service will provide notification to the
applicant of the date upon which it has full
receipt of all required information. The
Service will close, without issuing a ruling,
the file on a submission for which not all
of the required documentation is provided
in a timely manner.
SECTION 7. BANKRUPTCY
PETITIONS
If a significant number of contributing
employers or any of the principal employ-
ers file a bankruptcy petition after the ap-
plication for an extension of an amortiza-
tion period is submitted to the Service, the
applicant must provide to the Service an
update to the information required to be
submittedin§5ofthisrevenueproce-
dure, especially the financial information
in §§ 5.01(2) and 5.01(3).
SECTION 8. EFFECTIVE DATE
This revenue procedure is effective for
all ruling requests submitted on or after
January 1, 2011. Ruling requests submit-
ted before January 1, 2011, may use this
revenue procedure or Rev. Proc. 2008–67.
SECTION 9. EFFECT ON OTHER
REVENUE PROCEDURES
Rev. Proc. 2010–4, 2010–1 I.R.B. 122,
is modified to the extent that this revenue
procedure provides special procedures for
issuing rulings with respect to applications
for an extension of an amortization period.
Rev. Proc. 2008–67 is superseded ef-
fective for applications submitted on or af-
ter January 1, 2011.
SECTION 10. PAPERWORK
REDUCTION ACT
The collection of information con-
tained in this revenue procedure has been
reviewed and approved by the Office
of Management and Budget in accor-
dance with the Paperwork Reduction Act
(44 U.S.C. § 3507) under control number
1545–1890.
An agency may not conduct or sponsor,
and a person is not required to respond
to, a collection of information unless the
collection of information displays a valid
OMB control number.
The collection of information in this
revenueprocedureisin§§3,4and5,and
Appendix B. This collection of informa-
tion is required to evaluate, process, and
obtain approval of the application for an
extension of an amortization period. This
information will be used to make determi-
nations on extensions of the amortization
period under § 431(d). The likely respon-
dents are businesses or other for-profit in-
stitutions and nonprofit institutions.
The estimated total annual report-
ing/recordkeeping burden is 2,500 hours.
The estimated annual burden per re-
spondent/recordkeeper varies from 71 to
129 hours, depending on individual cir-
cumstances, with an estimated average
burden of 100 hours. The estimated num-
ber of respondents/recordkeepers is 25.
The estimated annual frequency of re-
sponses is one.
Books or records relating to a collection
of information must be retained as long
as their contents may become material in
the administration of any internal revenue
law. Generally, tax returns and tax return
information are confidential, as required
by 26 U.S.C. § 6103.
DRAFTING INFORMATION
The principal author of this revenue
procedure is Tony Montanaro of the
Employee Plans, Tax Exempt and Gov-
ernment Entities Division. Questions
about this revenue procedure and its ap-
plication may be directed by email to
RetirementPlanQuestions@irs.gov.
December 27, 20109312010–52 I.R.B.

APPENDIX A: Model Notice
Notice of Application For Amortization Extension
Plan: [INSERT PLAN NAME]
Part I. Plain Language Explanation
This notice is to inform you that the [Insert plan name] is requestingarulingfromtheIRStoextendcertain amortization period(s).
Why is the pension plan sending you this notice?Pension plans are required by law to send out notices to affected parties when
certain events happen, such as when the plan requests a ruling from the IRS for certain purposes.
What the notice does:The notice alerts you to a ruling the pension plan is requesting from the IRS.You are not required to
take any action at all.The reason for the notice is to tell you about an action being taken by the pension plan, and to inform
you that you have a right to comment on the ruling the plan is requesting from the IRS. If you wish, you may comment to the
IRS on the ruling request, in accordance with the terms statedin Technical Provisions, Part II below. Or, if you wish, you may
take no action at all. Also, Information about Funded Status of Plan, Part III, explains how you may obtain more information
regarding the plan from the plan administrator, or from the Department of Labor.
What kind of ruling is the plan requesting?The plan’s participating employers are required to pay sufficient contributions to the
retirement fund, over a specified period of years, to bring the level of funding equal to the plan’s long term obligations. The ruling
request is to extend the period of years required to fund the obligations.
What the notice does not do:This notice does not obligate you to do anything. It gives you an opportunity to comment if you
wish. This notice does not enable the IRS to explain your benefits, or to adjust them in any way. The IRS does not maintain data
about your benefits under the plan. If you wish to obtain information about your benefits, you should ask the plan administrator.
The notice does not allow the IRS to give you information about a requested ruling. Disclosure laws prohibit the IRS from giving
out such information. However, see Information about Funded Status of Plan, Part III below, for an explanation of your right
under § 101(k) of the Employee Retirement Income Security Act of 1974, as amended (ERISA), to request information from
the plan administrator that is relevant to the amortization extension application.
What the requested ruling would not do:The ruling the pension plan is requesting would not change your accrued benefit. If the
IRS were eventually to decide in favor of the requested ruling, the ruling would neither reduce your accrued benefit nor eliminate
the obligation of the contributing employers to continue to fund benefits. If the ruling request is approved by the IRS, your
pension plan remains obligated to pay your benefits as determined under the plan documents.
Part II. Technical Provisions
This notice is to inform you that an application for an extension of an amortization period for unfunded liability under § 431(d) of
the Internal Revenue Code (Code) and § 304(d) of ERISA will besubmitted by [INSERT APPLICANT’S NAME] to the Internal
Revenue Service (IRS) for the [INSERT PLAN NAME] for the plan year beginning [INSERT DATE].
The IRS will grant an automatic extension if the plan’s actuary certifies that the plan’s funded status meets certain standards
described in § 431(d)(1) of the Code. The IRS may also grant an alternative extension if it determines (A) that the extension would
carry out the purposes of ERISA and the Pension Protection Act of 2006 and would provide adequate protection for participants,
and (B) that failure to permit the extension would result in substantial risk to the continuation of the plan, and would be adverse to
the interests of the plan participants in the aggregate. The plan is applying for(check one or both,as appropriate):
an automatic extension, and/or
an alternative extension.
The IRS has received a copy of this notice. The IRS will consider any relevant information that it receives concerning the
application for an extension. Any additional information thatyou may have should be submitted using the attached Comment and
IRS Acknowledgment Sheet. You may send this information to the following address:
Director, Employee Plans
Internal Revenue Service
Attn: SE:T:EP:RA:T:A2
1111 Constitution Avenue, N.W.
Washington, D.C. 20224
2010–52 I.R.B.932December 27, 2010

If you intend to submit comments, any such information should be submitted as soon as possible after you receive this notice.
Due to the disclosure restrictions of § 6103 of the Code, the IRS cannot provide any information with respect to the extension
application itself. In particular, the IRS cannot disclose that it has received such a ruling request. As a result, the only response the
IRS can make to any information you send is an acknowledgementthat it has received your comments. Therefore, the IRS will
respond to your letter only if you include a completed acknowledgement sheet as given below in Part IV of this notice.
Part III. Information about Funded Status of Plan
As required by § 104(b)(2) and (4) of ERISA, the plan administrator must furnish a copy of the latest annual plan report upon
written request and make the annual report available for inspection at its principal office, which is located at [INSERT ADDRESS].
Under § 101(k)(1) of ERISA, any application for an extension of the amortization period under § 304(d) of ERISA or § 431(d) of
the Code (including the application for extension described in this notice) and the determination made by the IRS with respect to
such application may be obtained upon request by writing to the plan administrator at the above address. Such documents must be
furnished by the plan administrator no later than 30 days after receipt of the written request. Section 502(c)(4) of ERISA grants
the Department of Labor the authority toassess civil penalties not to exceed $1,000 per day for each violation of § 101(k).
[Instruction: If the plan administrator makes a reasonable charge to cover copying, mailing, and other costs of furnishing copies
permitted under § 101(k) of ERISA, the amount ofsuch charge should be stated in the notice.]
In accordance with § 104 of ERISA, annual financial reports for this plan, which include employer contributions made to the plan
for any plan year, are available for inspection at the Department of Labor in Washington, D.C. Copies of such reports may be
obtained upon request and upon payment of copying costs from the following address:
Public Disclosure Room
Room N–1513
Employee Benefits Security Administration
U.S. Department of Labor
200 Constitution Avenue, N.W.
Washington, D.C. 20210
For 2009 and subsequent plan years, you may obtain an electronic copy of the plan’s annual report atwww.efast.dol.govand
accessing the Form 5500 search function.
The following information is provided pursuant to § 304(d)(3) of ERISA and § 431(d)(3) of the Code:
Present value of accrued benefits $
Present value of benefits that are guaranteed by the PBGC, calculated as though the plan terminated
$
Fair market value of plan assets $
The above calculations were as of [INSERT DATE]. The above present values were calculated using an interest rate or rates
of [INSERT INTEREST RATE(S)].
[SIGNATURE OF AUTHORIZED TRUSTEE OF THE APPLICANT BOARD]
[INSERT NAME]
[INSERT TITLE]
December 27, 20109332010–52 I.R.B.

Part IV. Response to Comments
C
ommentandIRSAcknowledgementSheet
For Comments on Application for Amortization Extension
If you send any comments about the application for an amortization extension, including whether the planmeets the criteria
stated in Part II above, you should provide your name and address below and include this acknowledgement sheet with your
comments. The IRS will complete the acknowledgment below, and return it to you. Since the IRS cannot disclose to you any
information about any other taxpayer, theIRS cannot tell you anything about any plan’s request for a ruling. Therefore, this
acknowledgement sheet will constitute the only response the IRS will make to your comments.
1.To be completed by the person submitting comments to the IRS:
Submitter’s Name and Address:
Plan with respect to which you are making comments:
[INSERT PLAN NAME]
2.To be completed by IRS:
Date your comments were received:
Signature:
Director, Employee Plans
2010–52 I.R.B.934December 27, 2010

APPENDIX B. APPLICATION FOR ALTERNATIVE EXTENSION OF AN AMORTIZATION PERIOD CHECKLIST
IS YOUR SUBMISSION COMPLETE?
Instructions
The Service will be able to respond more quickly to your application for an alternative extension of an amortization period if it is
carefully prepared and complete. To ensureyour application is in order, use this checklist. Answer each question in the checklist
by inserting Y for yes, N for no, or N/A for not applicable, as appropriate, in the blank next to the item. Sign and date the checklist
(as applicant or authorized representative) and place it on top of your application.
You must submit a completed copy of this checklist with your application. If a completed checklist is not submitted with your
application, substantive consideration of your submission will be deferred until a completed checklist is received.
1. If you want to designate an authorized representative, have you included a properly executed Form 2848(Power
of Attorney and Declaration of Representative)?
2. Have you satisfied all the requirements of Rev. Proc. 2010–4 (especially concerning signatures and penalties of
perjury statement)? (See § 3.04(1))
3. Have you included a statement of proposed deletions? (See § 3.04(2))
4. Have you included the user fee required under Rev. Proc. 2010–8? (See § 3.02)
5. Have you included a copy of the written notice that an application for an extension of an amortization period
is being submitted, a statement that such notice was delivered to each affected party, and a description of the method used to
satisfy the notice requirement? (See § 3.03 and Appendix A)
6. Have you included the general facts concerning the participating employers? (See § 5.01(1))
7. Have you included a description of the industry’s financial state? (See § 5.01(1))
8. Have you included information concerning the extensionof the amortization period, including coordination with
any extension under § 431(b)(8)(A)(i) of the Code ? (See § 5.01(3))
9. Have you inc
luded information concerning the pension plan? (See § 5.01(4))
10. Have you included information concerning other matters pertaining to the plan? (See § 5.01(5))
Signature
Typed or printed name of person signing checklist
Title or Authority
Date
December 27, 20109352010–52 I.R.B.

Part IV. Items o
fGeneralInterest
Deletions Fro
m Cumulative
List of Organi
zations
Contribution
stoWhich
are Deductib
le Under Section
170 of the Cod
e
Announceme
nt 2010–94
The Interna
l Revenue Service has re-
voked its de
termination that the organi-
zations lis
ted below qualify as organiza-
tions descr
ibed in sections 501(c)(3) and
170(c)(2) o
f the Internal Revenue Code of
1986.
Generally
, the Service will not disallow
deduction
s for contributions made to a
listed org
anization on or before the date
of announc
ement in the Internal Revenue
Bulletin t
hat an organization no longer
qualifie
s. However, the Service is not
preclude
d from disallowing a deduction
for any co
ntributions made after an or-
ganizati
on ceases to qualify under section
170(c)(
2) if the organization has not timely
filed a s
uit for declaratory judgment under
section
7428 and if the contributor (1) had
knowled
ge of the revocation of the ruling
or deter
mination letter, (2) was aware that
such re
vocation was imminent, or (3) was
in part
responsible for or was aware of the
activi
ties or omissions of the organization
that br
ought about this revocation.
If on th
e other hand a suit for declara-
tory ju
dgment has been timely filed,
contri
butions from individuals and orga-
nizat
ions described in section 170(c)(2)
that a
re otherwise allowable will continue
to be d
eductible. Protection under section
7428(
c) would begin on December 27,
2010,
and would end on the date the court
firs
t determines that the organization is
not d
escribed in section 170(c)(2) as more
part
icularly set forth in section 7428(c)(1).
For i
ndividual contributors, the maximum
dedu
ction protected is $1,000, with a hus-
ban
d and wife treated as one contributor.
Thi
s benefit is not extended to any indi-
vid
ual, in whole or in part, for the acts or
omi
ssions of the organization that were
the
basis for revocation.
Arm
enian Relief Society of Texas
Ric
hmond, TX
Mex
ican American Research Center, Inc.
Aus
tin, TX
Panhandle Lan
d Conservancy, Inc.
Destin, FL
Revised Regulations
Concerning Section 403(b)
Tax-Sheltered Annuity
Contracts; Correction
Announcement 2010–95
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Co
rrection to final regulations.
SUMMARY: This document contains
a correction to final regulations (T.D.
9340, 2007–2 C.B. 487 ) that were
published in theFederal Registeron
Thursday, July 26, 2007 (72 FR 41128)
providing updated guidance on section
403(b) contracts of public schools and
tax-exempt organizations described in
section 501(c)(3). These regulations
will affect sponsors of section 403(b)
contracts, administrators, participants, and
beneficiaries.
DATES: The correction is effective Octo-
ber 26, 2010, and is applicable on July 26,
2007.
FOR FURTHER INFORMATION
CONTACT: Concerning the regula-
tions, John Tolleris at (202) 622–6060;
concerning the regulations as applied to
church-related entities, Sherri Edelman
or Jason Levine at (202) 283–9634 (not
toll-free numbers).
SUPPLEMENTARY INFORMATION:
Background
The final regulations that are the subject
of this correction areunder section 403(b)
of the Internal Revenue Code.
Need for Correction
As pub
lished, final regulations (T.D.
9340)
contain an error that may prove to
be mi
sleading and is in need of clarifica-
tion
.
Correction of
Publication
Accordingly, the publication of the fi-
nal regulations (T.D. 9340), which was the
subject of FR Doc. 07–3649, is corrected
as follows:
On page 41138, column 2, in the pre-
amble, under footnote number 11, line 26,
the language “Rev. Rul. 66–254, 1966–2
C.B. 125” is removed.
LaNita Van Dyke,
Chief, Publications and
Regulations Branch,
Legal Processing Division,
Associate Chief Counsel
(Procedure and Administration).
(Filed by the Office of the Federal Register on October 25,
2010, 8:45 a.m., and published in the issue of the Federal
Register for October 26, 2010, 75 F.R. 65567)
Form 1040, Form 1040A,
Form 1040EZ, and Form 1041
Electronic Filing Hardship
Waiver Request Procedures
for Calendar Year 2011
Announcement 2010–96
This ann
ouncement applies to tax re-
turn pre
parers who are required by law
to elect
ronically file certain returns. On
Decemb
er 3, 2010, proposed regulations
were pu
blished in the Federal Register
(75 FR 7
5439), which would implement
the sta
tutory requirement under section
6011(e
)(3) of the Internal Revenue Code
for spe
cified tax return preparers to file
incom
e tax returns using magnetic media
(elec
tronically) for individuals, estates,
and tr
usts if the specified tax return pre-
parer
s prepare and file the returns. Notice
2010–
85, a notice of a proposed rev-
enue
procedure published in the Internal
Reve
nue Bulletin (I.R.B. 2010–51) on De-
cemb
er 20, 2010, provides, for calendar
year
2011, that tax return preparers who
meet
the definition of a “specified tax re-
tur
n preparer” and who believe they may
qua
lify for an undue hardship waiver may
vol
untarily submit waiver requests to the
IRS
prior to publication of a final revenue
pro
cedure. Form 8944,Preparer e-file
Har
dship Waiver Request, is now available
2010–52 I.R.B.936December 27, 2010

on-line and must be used to voluntarily re-
quest waivers for calendar year 2011. You
can get Form 8944 on-line atwww.irs.gov.
Form 8944 may also be ordered by calling
1–800–TAX–FORM (1–800–829–3676),
the toll-free IRS number for ordering
forms. Forms ordered through the toll-free
number will be mailed to you.
Specified tax return preparers may sub-
mit completed Forms 8944 on or after the
date of the publication of this announce-
ment. Specified tax return preparers are
encouraged to submit undue hardship
waiver requests using Form 8944 as soon
as possible to allow sufficient time for the
IRS to review the requests and provide
notification of approval or denial of the
requests. For calendar year 2011, Forms
8944 must be submitted to the IRS address
or facsimile number (but not both) listed
below, no later than April 1, 2011. Forms
8944 submitted after that date will only
be reviewed under limited circumstances,
as further explained in the instructions to
Form 8944. A specified tax return pre-
parer may mail his or her completed Form
8944 and any required attachments to:
Internal Revenue Service
Attn: EFU Waiver
P.O. Box 4099
Stop 983
Woburn, MA 01888–4099
Alternatively, a specified tax return pre-
parer may send his or her completed Form
8944 and any required attachments to the
IRS via facsimile to 1–877–477–0567 (a
toll-free number). Allow four to six weeks
to receive notification of approval or de-
nial of the waiver request. However, the
approval or denial of waiver requests is
contingent upon and will not occur prior
to the publication of final regulations and
a final revenue procedure.
For questions about completing Form
8944, or to check on the status of a
hardship waiver request that has been
submitted and remains outstanding for
at least four weeks, call the IRS at
1–866–255–0654 (a toll-free number).
The principal author of this announcement
is Keith Brau of the Office of Associate
Chief Counsel (Procedure & Administra-
tion). For further information regarding
this announcement,contact Keith Brau at
(202) 622–4940 (not a toll-free number).
December 27, 20109372010–52 I.R.B.

Definition of Terms
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 ef-
fect:
Amplifieddescribes a situation where
no change is being made in a prior pub-
lished position, but the prior position is be-
ingextendedtoapplytoavariationofthe
fact situation set forth therein. Thus, if
an earlier ruling held that a principle ap-
plied to A, and the new ruling holds that the
same principle also applies to B, the earlier
ruling is amplified. (Compare withmodi-
fied,below).
Clarifiedis used in those instances
where the language in a prior ruling is be-
ing made clear because the language has
caused, or may cause, some confusion.
It is not used where a position in a prior
ruling is being changed.
Distinguisheddescribes a situation
where a ruling mentions a previously pub-
lished ruling and points out an essential
difference between them.
Modifiedis 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 applies to both A
and B, the prior ruling is modified because
it corrects a published position. (Compare
withamplifiedandclarified, above).
Obsoleteddescribes 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 rul-
ings that are obsoleted because of changes
in laws or regulations. A ruling may also
be obsoleted because the substance has
been included in regulations subsequently
adopted.
Revokeddescribes situations where the
position in the previously published ruling
is not correct and the correct position is
beingstatedinanewruling.
Supersededdescribes a situation where
the new ruling does nothing more than re-
state the substance and situation of a previ-
ously published ruling (or rulings). Thus,
the term is used to republish under the
1986 Code and regulations the same po-
sition published under the 1939 Code and
regulations. The term is also used when
it is desired to republish in a single rul-
ing a series of situations, names, etc., that
were previously published over a period of
time in separate rulings. If the new rul-
ing does more than restate the substance
of a prior ruling, a combination of terms
is used. For example,modifiedandsu-
persededdescribes a situation where the
substance of a previously published 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 pub-
lished ruling is first modified and then, as
modified, is superseded.
Supplementedis 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 rul-
ing has been supplemented several times, a
new ruling may be published that includes
the list in the original ruling and the ad-
ditions, and supersedes all prior rulings in
the series.
Suspendedis 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 fol
lowing abbreviations in current use
and for
merly used will appear in material
publis
hedintheBulletin.
A—Individual.
Acq.—A
cquiescence.
B—Individual.
BE—Beneficiary.
BK—Bank
.
B.T.A.—Board of Tax Appeals.
C—Individual.
C.B.—Cu
mulative Bulletin.
CFR—Code of Federal Regulations.
CI—City.
COOP—Coo
perative.
Ct.D.—Court Decision.
CY—County.
D—Decede
nt.
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—Emp
loyer.
ERISA—Employee Retirement Income Security Act.
EX—Executor.
F—Fiduc
iary.
FC—Foreign Country.
FICA—Federal Insurance Contributions Act.
FISC—Fo
reign International Sales Company.
FPH—Foreign Personal Holding Company.
F.R.—Federal Register.
FUTA—Fed
eral Unemployment Tax Act.
FX—Foreign corporation.
G.C.M.—Chief Counsel’s Memorandum.
GE—Grante
e.
GP—General Partner.
GR—Grantor.
IC—Insura
nce Company.
I.R.B.—Internal Revenue Bulletin.
LE—Lessee.
LP—Limited
Partner.
LR—Lessor.
M—Minor.
Nonacq.—No
nacquiescence.
O—Organization.
P—Parent Corporation.
PHC—Persona
l Holding Company.
PO—Possession of the U.S.
PR—Partner.
PRS—Pa
rtnership.
PTE—Prohibited Transaction Exemption.
Pub. L.—Public Law.
REIT—Re
al Estate Investment Trust.
Rev. Proc.—Revenue Procedure.
Rev. Rul.—Revenue Ruling.
S—Subsi
diary.
S.P.R.—Statement of Procedural Rules.
Stat.—Statutes at Large.
T—Target
Corporation.
T.C.—Tax Court.
T.D.—Treasury Decision.
TFE—Trans
feree.
TFR—Transferor.
T.I.R.—Technical Information Release.
TP—Taxpay
er.
TR—Trust.
TT—Trustee.
U.S.C.—Uni
ted States Code.
X—Corporation.
Y—Corporation.
Z—Corporat
ion.
2010–52 I.R.B.iDecember 27, 2010

Numerical Finding List
1
Bulletins 2010–27 through 2010–52
Announcements:
2010-43, 2010-27 I.R.B.42
2010-44, 2010-28 I.R.B.54
2010-45, 2010-29 I.R.B.87
2010-46, 2010-29 I.R.B.87
2010-47, 2010-30 I.R.B.173
2010-48, 2010-32 I.R.B.234
2010-49, 2010-34 I.R.B.272
2010-50, 2010-33 I.R.B.260
2010-51, 2010-33 I.R.B.261
2010-52, 2010-36 I.R.B.315
2010-53, 2010-36 I.R.B.323
2010-54, 2010-38 I.R.B.386
2010-55, 2010-37 I.R.B.346
2010-56, 2010-39 I.R.B.398
2010-57, 2010-38 I.R.B.386
2010-58, 2010-38 I.R.B.387
2010-59, 2010-39 I.R.B.399
2010-60, 2010-40 I.R.B.417
2010-61, 2010-40 I.R.B.417
2010-62, 2010-40 I.R.B.417
2010-63, 2010-40 I.R.B.417
2010-64, 2010-40 I.R.B.418
2010-65, 2010-40 I.R.B.418
2010-66, 2010-40 I.R.B.418
2010-67, 2010-40 I.R.B.418
2010-68, 2010-40 I.R.B.418
2010-69, 2010-40 I.R.B.418
2010-70, 2010-40 I.R.B.418
2010-71, 2010-40 I.R.B.418
2010-72, 2010-40 I.R.B.419
2010-73, 2010-40 I.R.B.419
2010-74, 2010-40 I.R.B.419
2010-75, 2010-41 I.R.B.428
2010-76, 2010-41 I.R.B.432
2010-77, 2010-41 I.R.B.433
2010-78, 2010-41 I.R.B.433
2010-79, 2010-42 I.R.B.475
2010-80, 2010-45 I.R.B.638
2010-81, 2010-45 I.R.B.638
2010-82, 2010-42 I.R.B.476
2010-83, 2010-50 I.R.B.848
2010-84, 2010-44 I.R.B.603
2010-85, 2010-44 I.R.B.604
2010-86, 2010-44 I.R.B.604
2010-87, 2010-43 I.R.B.557
2010-88, 2010-47 I.R.B.753
2010-89, 2010-46 I.R.B.669
2010-90, 2010-50 I.R.B.816
2010-91, 2010-50 I.R.B.848
2010-92, 2010-51 I.R.B.897
2010-93, 2010-51 I.R.B.
897
2010-94, 2010-52 I.R.B.936
Announcements— Continued:
2010-95, 2010-52 I.R.B.936
2010-96, 2010-52 I.R.B.936
Notices:
2010-48, 2010-27 I.R.B.9
2010-49, 2010-27 I.R.B.10
2010-50, 2010-27 I.R.B.12
2010-51, 2010-29 I.R.B.83
2010-52, 2010-30 I.R.B.88
2010-53, 2010-31 I.R.B.182
2010-54, 2010-40 I.R.B.403
2010-55, 2010-33 I.R.B.253
2010-56, 2010-33 I.R.B.254
2010-57, 2010-34 I.R.B.267
2010-58, 2010-37 I.R.B.326
2010-59, 2010-39 I.R.B.396
2010-60, 2010-37 I.R.B.329
2010-61, 2010-40 I.R.B.408
2010-62, 2010-40 I.R.B.411
2010-63, 2010-41 I.R.B.420
2010-64, 2010-41 I.R.B.421
2010-65, 2010-41 I.R.B.424
2010-66, 2010-42 I.R.B.437
2010-67, 2010-43 I.R.B.529
2010-68, 2010-44 I.R.B.576
2010-69, 2010-44 I.R.B.576
2010-70, 2010-44 I.R.B.576
2010-71, 2010-50 I.R.B.822
2010-72, 2010-46 I.R.B.661
2010-73, 2010-46 I.R.B.662
2010-74, 2010-46 I.R.B.663
2010-75, 2010-48 I.R.B.781
2010-76, 2010-47 I.R.B.712
2010-77, 2010-51 I.R.B.851
2010-78, 2010-49 I.R.B.808
2010-79, 2010-49 I.R.B.809
2010-80, 2010-51 I.R.B.853
2010-81, 2010-50 I.R.B.825
2010-82, 2010-51 I.R.B.857
2010-83, 2010-51 I.R.B.862
2010-84, 2010-51 I.R.B.872
2010-85, 2010-51 I.R.B.877
2010-86, 2010-50 I.R.B.827
2010-87, 2010-52 I.R.B.908
2010-88, 2010-51 I.R.B.882
2010-89, 2010-52 I.R.B.908
2010-90, 2010-52 I.R.B.909
2010-91, 2010-52 I.R.B.915
2010-92, 2010-52 I.R.B.916
2010-93, 2010-52 I.R.B.923
2010-94, 2010-52 I.R.B.927
Proposed Regulations:
REG-138637-07, 2010-44 I.R.B.581
REG-132554-08, 2010-48 I.R.B.783
Proposed Regulations— Continued:
REG-139343-08, 2010-33 I.R.B.256
REG-119921-09, 2010-45 I.R.B.626
REG-137486-09, 2010-46 I.R.B.668
REG-142800-09, 2010-44 I.R.B.580
REG-144762-09, 2010-45 I.R.B.637
REG-151605-09, 2010-31 I.R.B.184
REG-153340-09, 2010-42 I.R.B.469
REG-100194-10, 2010-51 I.R.B.891
REG-112841-10, 2010-27 I.R.B.41
REG-118412-10, 2010-29 I.R.B.85
REG-119046-10, 2010-40 I.R.B.415
REG-120391-10, 2010-35 I.R.B.310
REG-120399-10, 2010-32 I.R.B.239
REG-125592-10, 2010-43 I.R.B.556
Revenue Procedures:
2010-25, 2010-27 I.R.B.16
2010-26, 2010-30 I.R.B.91
2010-27, 2010-31 I.R.B.183
2010-28, 2010-34 I.R.B.270
2010-29, 2010-35 I.R.B.309
2010-30, 2010-36 I.R.B.316
2010-31, 2010-40 I.R.B.413
2010-32, 2010-36 I.R.B.320
2010-33, 2010-38 I.R.B.347
2010-34, 2010-41 I.R.B.426
2010-35, 2010-42 I.R.B.438
2010-36, 2010-42 I.R.B.439
2010-37, 2010-42 I.R.B.440
2010-38, 2010-43 I.R.B.530
2010-39, 2010-42 I.R.B.459
2010-40, 2010-46 I.R.B.663
2010-41, 2010-48 I.R.B.781
2010-42, 2010-47 I.R.B.715
2010-43, 2010-47 I.R.B.738
2010-44, 2010-49 I.R.B.811
2010-45, 2010-49 I.R.B.813
2010-46, 2010-49 I.R.B.814
2010-47, 2010-50 I.R.B.827
2010-48, 2010-50 I.R.B.828
2010-49, 2010-50 I.R.B.830
2010-50, 2010-50 I.R.B.841
2010-51, 2010-51 I.R.B.883
2010-52, 2010-52 I.R.B.927
Revenue Rulings:
2010-18, 2010-27 I.R.B.1
2010-19, 2010-31 I.R.B.174
2010-20, 2010-36 I.R.B.312
2010-21, 2010-39 I.R.B.388
2010-22, 2010-39 I.R.B.388
2010-23, 2010-39 I.R.B.388
2010-24, 2010-40 I.R.B.400
2010-25, 2010-44 I.R.B.571
2010-26, 2010-44 I.R.B.573
1
A cumulative list of all revenue rulings, revenueprocedures, Treasury decisions, etc., publishedin Internal Revenue Bulletins 2010–1 through 2010–26 is in Internal Revenue Bulletin
2010–26, dated June 28, 2010.
December 27, 2010ii2010–52 I.R.B.

Revenue Rulings— Continued:
2010-27, 2010-45 I.R.B.620
2010-28, 2010-49 I.R.B.804
2010-29, 2010-50 I.R.B.818
2010-30, 2010-50 I.R.B.820
2010-31, 2010-52 I.R.B.898
Tax Conventions:
2010-48, 2010-32 I.R.B.234
2010-52, 2010-36 I.R.B.315
Treasury Decisions:
9486, 2010-27 I.R.B.3
9487, 2010-28 I.R.B.48
9488, 2010-28 I.R.B.51
9489, 2010-29 I.R.B.55
9490, 2010-31 I.R.B.176
9491, 2010-32 I.R.B.186
9492, 2010-33 I.R.B.242
9493, 2010-35 I.R.B.273
9494, 2010-43 I.R.B.500
9495, 2010-43 I.R.B.477
9496, 2010-43 I.R.B.484
9497, 2010-44 I.R.B.558
9498, 2010-45 I.R.B.605
9499, 2010-45 I.R.B.622
9500, 2010-46 I.R.B.649
9501, 2010-46 I.R.B.651
9502, 2010-46 I.R.B.641
9503, 2010-47 I.R.B.706
9504, 2010-47 I.R.B.670
9505, 2010-48 I.R.B.755
2010–52 I.R.B.iiiDecember 27, 2010

Finding List of Current Actions on
Previously Published Items
1
Bulletins 2010–27 through 2010–52
Notices:
96-53
Modified by
Notice 2010-59, 2010-39 I.R.B.396
2003-19
Revoked by
Notice 2010-53, 2010-31 I.R.B.182
2004-2
Modified by
Notice 2010-59, 2010-39 I.R.B.396
2004-50
Modified by
Notice 2010-59, 2010-39 I.R.B.396
2005-90
Supplemented by
Notice 2010-65, 2010-41 I.R.B.424
2006-69
Amplified by
Notice 2010-59, 2010-39 I.R.B.396
2008-51
Modified by
Notice 2010-59, 2010-39 I.R.B.396
2008-52
Modified by
Notice 2010-59, 2010-39 I.R.B.396
2008-113
Modified by
Notice 2010-80, 2010-51 I.R.B.853
2009-47
Obsoleted by
Rev. Proc. 2010-28, 2010-34 I.R.B.270
2009-80
Corrected by
Ann. 2010-59, 2010-39 I.R.B.399
2009-90
Superseded by
Notice 2010-54, 2010-40 I.R.B.403
2009-97
Modified by
Notice 2010-77, 2010-51 I.R.B.851
2010-6
Modified by
Notice 2010-80, 2010-51 I.R.B.853
2010-44
Amplified by
Notice 2010-82, 2010-51 I.R.B.857
Proposed Regulations:
REG-115037-00
Withdrawn by
Ann. 2010-60, 2010-40 I.R.B.417
REG-146893-02
Withdrawn by
Ann. 2010-60, 2010-40 I.R.B.417
Revenue Procedures:
81-18
Obsoleted by
Rev. Proc. 2010-27, 2010-31 I.R.B.183
87-50
Modified by
Rev. Proc. 2010-48, 2010-50 I.R.B.828
98-59
Modified by
Rev. Proc. 2010-48, 2010-50 I.R.B.828
2007-44
Modified by
Notice 2010-77, 2010-51 I.R.B.851
Notice 2010-48, 2010-27 I.R.B.9
2008-33
Superseded by
Rev. Proc. 2010-42, 2010-47 I.R.B.715
2008-49
Superseded by
Rev. Proc. 2010-38, 2010-43 I.R.B.530
2008-52
Modified by
Rev. Proc. 2010-44, 2010-49 I.R.B.811
T.D. 9504, 2010-47 I.R.B.670
2008-67
Superseded by
Rev. Proc. 2010-52, 2010-52 I.R.B.927
2009-18
Obsoleted in part by
Rev. Proc. 2010-25, 2010-27 I.R.B.16
2009-30
Superseded by
Rev. Proc. 2010-26, 2010-30 I.R.B.91
2009-35
Superseded by
Rev. Proc. 2010-33, 2010-38 I.R.B.347
2009-46
Superseded by
Rev. Proc. 2010-37, 2010-42 I.R.B.440
2009-47
Superseded by
Rev. Proc. 2010-39, 2010-42 I.R.B.459
Revenue Procedures— Continued:
2009-48
Superseded by
Rev. Proc. 2010-43, 2010-47 I.R.B.738
2009-50
Modified by
Rev. Proc. 2010-35, 2010-42 I.R.B.438
Modified and superseded by
Rev. Proc. 2010-47, 2010-50 I.R.B.827
2009-54
Superseded by
Rev. Proc. 2010-51, 2010-51 I.R.B.883
2010-3
Modified by
Notice 2010-62, 2010-40 I.R.B.411
2010-4
Modified by
Rev. Proc. 2010-52, 2010-52 I.R.B.927
2010-24
Superseded by
Rev. Proc. 2010-47, 2010-50 I.R.B.827
Revenue Rulings:
67-436
Obsoleted by
T.D. 9504, 2010-47 I.R.B.670
2003-102
Obsoleted by
Rev. Rul. 2010-23, 2010-39 I.R.B.388
2010-2
Supplemented and superseded by
Rev. Rul. 2010-30, 2010-50 I.R.B.820
Treasury Decisions:
9340
Corrected by
Ann. 2010-95, 2010-52 I.R.B.936
9487
Corrected by
Ann. 2010-50, 2010-33 I.R.B.260
1
A cumulative list of current actions on previously published items in Internal Revenue Bulletins 2010–1 through 2010–26 is in Internal Revenue Bulletin 2010–26, dated June 28, 2010.
December 27, 2010iv2010–52 I.R.B.

INDEX
Internal Revenue Bulletins 2010–27 through
2010–52
The abbreviation and number in parenthesis following the index entry
refer to the specific item; numbers in roman and italic type following
the parenthesis refers to the Internal Revenue Bulletin in which the item
may be found and the page number on which it appears.
Key to Abbreviations:
AnnAnnouncement
CDCourt Decision
DODelegation Order
EOExecutive Order
PLPublic Law
PTEProhibited Transaction Exemption
RPRevenue Procedure
RRRevenue Ruling
SPRStatement of Procedural Rules
TCTax Convention
TDTreasury Decision
TDOTreasury Department Order
EMPLOYEE PLANS
Cash balance plans and other hybrid defined benefit pension
plans (TD 9505) 48,755; (REG–132554–08) 48,783
Disaster relief, qualified plans (Notice 48) 27,9
Designated Roth accounts,rollovers (Notice 84) 51,872
Excise taxes on prohibited tax shelter transactions and related
provisions (TD 9492) 33,242
Full funding limitations, weighted average interest rates, seg-
ment rates for:
July 2010 (Notice 52) 30,88
August 2010 (Notice 57) 34,267
September 2010 (Notice 61) 40,408
October 2010 (Notice 70) 44,576
November 2010 (Notice 76) 47,712
December 2010 (Notice 93) 52,923
Individual retirement arrangements, prototype and model IRAs
(RP 48) 50,828
Limitations on benefits and contributions, cost-of-living adjust-
ments (Notice 78) 49,808
Modification of guidance on correcting certain failures of non-
qualifed deferred compensation plans to comply with section
409A (Notice 80) 51,853
Multiemployer pension plan, amortization extension (RP 52) 52,
927
Nondiscrimination in favor of highly compensated individuals
under insured group health plans (Notice 63) 41,420
Proposed Regulations:
26 CFR 1.411(a)(13)–1, amended; 1.411(b)–1, amended;
1.411(b)(5)–1, amended; cash balance plans and other
hybrid defined benefit pension plans (REG–132554–08)
48,783
EMPLOYEE PLANS—Cont.
26 CFR 54.9815–1251T, added; rules relating to status as
grandfathered health plans for group health plans and health
insurance coverage (REG–118412–10) 29,85
26 CFR 54.9815–2704, –2711, –2712, –2719A, added; re-
quirements for group health plans and health insurance
issuers under the Patient Protection and Affordable Care
Act relating to preexisting condition exclusions, lifetime
and annual limits, rescissions, and patient protections
(REG–120399–99) 32,239
26 CFR 54.9815–2713, added; rules relating to coverage of
preventive health services (REG–120391–10) 35,310
26 CFR 54.9815–2719, added; rules relating to inter-
nal claims and appeals and external review processes
(REG–125592–10) 43,556
Qualified plans:
Alternative amortization schedules for single-employer plans
under PRA 2010 (Notice 55) 33,253
Cumulative list of changes in plan qualification requirements,
2010 (Notice 90) 52,909
Minimum funding requirements:
For certain retirement plans (Notice 77) 51,851
For multiemployer defined benefit plans (Notice 83) 51,
862
Special funding rules for multiemployer plans under PRA
2010 (Notice 56) 33,254
Revised regulations concerning section 403(b) tax-sheltered an-
nuity contracts, correction to TD 9340 (Ann 83) 50,848
Rules relating to coverage of preventive health services (TD
9493) 35,273; (REG–120391–10) 35,310
Rules relating to internal claims and appeals and external review
processes (TD 9494) 43,500; (REG–125592–10) 43,556
Rules relating to preexisting condition exclusions, lifetime and
annual limits, rescissions, and patient protections (TD 9491)
32,186; (REG–120399–99) 32,239
Regulations:
26 CFR 1.403(b)–4, –6, –7, –10, amended; revised regula-
tions concerning section 403(b) tax-sheltered annuity con-
tracts; correction to TD 9340 (Ann 83) 50,848
26 CFR 1.411(a)(13)–1, added; 1.411(b0(5)–1, added; cash
balance plans and other hybrid defined benefit pension
plans (TD 9505) 48,755
26 CFR 1.6033–5, added; 1.6033–5T, removed; 53.4965–1
thru –9, added; 53.6071–1, revised; 53.6071–1T(g) &
(h), removed; 54.6011–1, revised; 54.6011–1T(c) & (d),
removed; 301.6011(g)–1, added; 301.6033–5, added;
301.6033–5T, removed; 602.101, amended; excise taxes
on prohibited tax shelter transactions and related disclo-
sure requirements, disclosure requirements with respect to
prohibited tax shelter transactions, requirement of return
and time for filing (TD 9492) 33,242
26 CFR 54.9801–2, –3, amended; 54.9815–2704T, –2711T,
–2712T, added; –2719AT, added; 602.101(b), amended;
requirements for group healthplans and health insurance
issuers under the Patient Protection and Affordable Care
Act relating to preexisting condition exclusions, lifetime
2010–52 I.R.B.vDecember 27, 2010

EMPLOYEE PLANS—Cont.
and annual limits, rescissions, and patient protections (TD
9491) 32,186
26 CFR 54.9815–1251T, added; rules relating to status as
grandfathered healthplans for group health plans and health
insurance coverage (TD 9489) 29,55
26 CFR 54.9815–2713T, added; rules relating to coverage of
preventive health services (TD 9493) 35,273
26 CFR 54.9815–2719T, added; 602.101(b), amended; rules
relating to internal claims and appeals and external review
processes (TD 9494) 43,500
Revised regulations concerning section 403(b) tax-sheltered an-
nuity contracts, correction to TD 9340 (Ann 83) 50,848
Revocation of Notice 2003–19 (Notice 53) 31,182
Rules relating to status as grandfathered health plans for group
health plans and health insurance coverage (TD 9489) 29,55;
(REG–118412–10) 29,85
Tax-sheltered annuities, section 403(b) contracts, correction to
TD 9340 (Ann 95) 52,936
Unforeseeable emergency distribution under section 457 (RR 27)
45,620
EMPLOYMENT TAX
Controlled services transactions, section 482, withdrawal of
REG–146893–02 (Ann 60) 40,417
Disclosures of return information reflected on returns to officers
and employees of the Department of Commerce for certain
statistical purposes and related activities (TD 9500) 46,649;
(REG–137486–09) 46,668
Electronic Funds Transfer(EFT) of depository taxes
(REG–153340–09) 42,469
Examination of returns and claims for refund, credit or abate-
ment, determination of correct tax liability (RP 27) 31,183
Forms:
Substitute W-2 and W-3, generalrules and specifications (RP
42) 47,715
Substitute W-2c and W-3c, general rules and specifications
(RP 43) 47,738
Furnishing identifying number of tax return preparer (TD 9501)
46,651
Intangible property, allocation of income and deductions, with-
drawal of REG–115037–00 (Ann 60) 40,417
Interim relief for cost of healthcare coverage reporting on Form
W-2 (Notice 69) 44,576
Proposed Regulations:
26 CFR 301.6103(j)(1)–1, amended; disclosures of return in-
formation reflected on returns to officers and employees
of the Department of Commerce for certain statistical pur-
poses and related activities (REG–137486–09) 46,668
Treatment of services under section 482, allocation of in-
come and deductions from intangibles, withdrawal of
REG–146893–02 and REG–115037–00 (Ann 60) 40,417
EMPLOYMENT TAX—Cont.
Publications:
1141, General Rules and Specifications for Substitute Forms
W-2 and W-3, revised (RP 42) 47,715
1223, General Rules and Specifications for Substitute Forms
W-2c and W-3c, revised (RP 43) 47,738
Regulations:
26 CFR 1.6109–2, amended; 602.101, amended; furnishing
identifying number of tax return preparer (TD 9501) 46,651
26 CFR 301.6103(j)(1)–1, –1T, amended; disclosures of re-
turn information reflected on returns to officers and em-
ployees of the Department of Commerce for certain statis-
tical purposes and relatedactivities (TD 9500) 46,649
Revocation of Notice 2003–19 (Notice 53) 31,182
Social security contribution andbenefit base, domestic employee
coverage threshold, 2010 (Notice 86) 50,827
Transitional relief for determining timeliness of federal tax de-
posits (Notice 87) 52,908
Treatment of services under section 482, allocation of in-
come and deductions from intangibles, withdrawal of
REG–146893–02 and REG–115037–00 (Ann 60) 40,417
Withholding on payments by government entities for property or
services, payment card transactions (Notice 91) 52,915
ESTATE TAX
Cost-of-living adjustment for inflation for 2011 (RP 40) 46,663
Furnishing identifying number of tax return preparer (TD 9501)
46,651
Regulations:
26 CFR 1.6109–2, amended; 602.101, amended; furnishing
identifying number of tax return preparer (TD 9501) 46,651
Revocation of Notice 2003–19 (Notice 53) 31,182
EXCISE TAX
Brandedprescriptiondrugsales(Notice71)50,822
Cost-of-living adjustment for inflation for 2011 (RP 40) 46,663
Dyed diesel fuel and kerosene, nontaxable use, Alaska (Notice
68) 44,576
Electronic Funds Transfer (EFT) of Depository taxes
(REG–153340–09) 42,469
Examination of returns and claims for refund, credit or abate-
ment, determination of correct tax liability (RP 27) 31,183
Excise taxes on prohibited tax shelter transactions and related
provisions (TD 9492) 33,242
Furnishing identifying number of tax return preparer (TD 9501)
46,651
Guidance on section 5000B, indoor tanning services excise tax
(TD 9486) 27,3; (REG–112841–10) 27,41
Nondiscrimination in favor of highly compensated individuals
under insured group health plans (Notice 63) 41,420
Rules relating to coverage of preventive health services (TD
9493) 35,273; (REG–120391–10) 35,310
Rules relating to internal claims and appeals and external review
processes (TD 9494) 43,500; (REG–125592–10) 43,556
December 27, 2010vi2010–52 I.R.B.

EXCISE TAX—Cont.
Rules relating to preexisting condition exclusions, lifetime and
annual limits, rescissions, and patient protections (TD 9491)
32,186; (REG–120399–99) 32,239
Proposed regulations:
26 CFR 40.0–1, amended; 40.6302(c)–1, amended; 49.0–3,
added; 49.5000B–1, added; indoor tanning services excise
tax (REG–112841–10) 27,41
26 CFR 54.9815–1251T, added; rules relating to status as
grandfathered healthplans for group health plans and health
insurance coverage (REG–118412–10) 29,85
26 CFR 54.9815–2704, –2711, –2712, –2719A, added; re-
quirements for group healthplans and health insurance
issuers under the Patient Protection and Affordable Care
Act relating to preexisting condition exclusions, lifetime
and annual limits, rescissions, and patient protections
(REG–120399–99) 32,239
26 CFR 54.9815–2713, added; rules relating to coverage of
preventive health services (REG–120391–10) 35,310
26 CFR 54.9815–2719, added; rules relating to inter-
nal claims and appeals and external review processes
(REG–125592–10) 43,556
Regulations:
26 CFR 1.6033–5, added; 1.6033–5T, removed; 53.4965–1
thru –9, added 53.6071–1, revised; 53.6071–1T(g) &
(h), removed; 54.6011–1, revised; 54.6011–1T(c) & (d),
removed; 301.6011(g)–1, added; 301.6033–5, added;
301.6033–5T, removed; 602.101, amended; excise taxes
on prohibited tax shelter transactions and related disclo-
sure requirements, disclosure requirements with respect to
prohibited tax shelter transactions, requirement of return
and time for filing (TD 9492) 33,242
26 CFR 1.6109–2, amended; 602.101, amended; furnishing
identifying number of tax return preparer (TD 9501) 46,651
26 CFR 40.0–1, amended; 40.0–1T, added; 40.6302(c)–1,
amended; 40.6302(c)–1T, added; 49.0–3T, added;
49.5000B–1T, added; 602.101, amended; indoor tanning
services excise taxes (TD 9486) 27,3
26 CFR 54.9801–2, –3, amended; 54.9815–2704T, –2711T,
–2712T, –2719AT, added; 602.101(b) amended; require-
ments for group health plans and health insurance issuers
under the Patient Protection and Affordable Care Act relat-
ing to preexisting condition exclusions, lifetime and annual
limits, rescissions, and patient protections (TD 9491) 32,
186
26 CFR 54.9815–1251T, added; rules relating to status as
grandfathered healthplans for group health plans and health
insurance coverage (TD 9489) 29,55
26 CFR 54.9815–2713T, added; rules relating to coverage of
preventive health services (TD 9493) 35,273
26 CFR 54.9815–2719T, added; 602.101(b), amended; rules
relating to internal claims and appeals and external review
processes (TD 9494) 43,500
Revocation of Notice 2003–19 (Notice 53) 31,182
Rules relating to status as grandfathered health plans for group
health plans and health insurance coverage (TD 9489) 29,55;
(REG–118412–10) 29,85
EXCISE TAX—Cont.
Taxable medical devices (Notice 89) 52,908
Transitional relief for determining timeliness of federal tax de-
posits (Notice 87) 52,908
EXEMPT ORGANIZATIONS
Electronic Funds Transfer(EFT) of depository taxes
(REG–153340–09) 42,469
Excise taxes on prohibited tax shelter transactions and related
provisions (TD 9492) 33,242
List of organizations classifiedas private foundations (Ann 90)
49,816
Regulations:
26 CFR 1.6033–5, added; 1.6033–5T, removed; 53.4965–1
thru –9, added 53.6071–1, revised; 53.6071–1T(g) &
(h), removed; 54.6011–1, revised; 54.6011–1T(c) & (d),
removed; 301.6011(g)–1, added; 301.6033–5, added;
301.6033–5T, removed; 602.101, amended; excise taxes
on prohibited tax shelter transactions and related disclo-
sure requirements, disclosure requirements with respect to
prohibited tax shelter transactions, requirement of return
and time for filing (TD 9492) 33,242
Revocation of Notice 2003–19 (Notice 53) 31,182
Revocations (Ann 44) 28,54; (Ann 45) 29,87;(Ann47)30,
173; (Ann 49) 34,272; (Ann 55) 37,346; (Ann 57) 38,386
correction to Ann 47 (Ann 59) 39,399; correction to Ann 59
(Ann 77) 41,433; (Anm 84) 44,603; (Ann 80) 45,638;(Ann
89) 46,669; (Ann 91) 50,848; (Ann 92) 51,897; (Ann 94) 52,
936
Tax-sheltered annuities, section 403(b) contracts, correction to
TD 9340 (Ann 95) 52,936
Transitional relief for determining timeliness of federal tax de-
posits (Notice 87) 52,908
GIFT TAX
Cost-of-living adjustment for inflation for 2011 (RP 40) 46,663
Furnishing identifying number of tax return preparer (TD 9501)
46,651
Regulations:
26 CFR 1.6109–2, amended; 602.101, amended; furnishing
identifying number of tax return preparer (TD 9501) 46,651
INCOME TAX
Base period T-bill rate, 2010 (RR 28) 49,804
Basis reporting by securities brokers and basis determination for
stock (TD 9504) 47,670
Bonds:
Application by cooperative electrical companies to issue clean
renewable energy bonds (Ann 54) 38,386
Build America Bonds and otherstate and local bonds, timing
of issuing (Notice 81) 50,825
Qualified zone academy bonds (TD 9495) 43,477
Clarification to section 6411 regulations (TD 9499) 45,622
2010–52 I.R.B.viiDecember 27, 2010

INCOME TAX—Cont.
Consumer Price Index (CPI) adjustments, certain loans under
section 1274A, 2011 (RR 30) 50,830
Controlled services transactions, section 482, withdrawal of
REG–146893–02 (Ann 60) 40,417
Corporations, section 382 treatment of prepaid income under
built-in gain provisions of section 382(h) (TD 9487) 28,48;
corrections (Ann 50) 33,260
Cost limitations for expensing section 179 property (RP 47) 50,
827
Cost-of-living adjustment for inflation for 2011 (RP 40) 46,663
Credits:
Adoption credit, foreign adoptions (RP 31) 40,413
Carbon dioxide sequestration, 2010 inflation adjustment (No-
tice 75) 48,781
Employee health insurance expenses of small employers, Sec-
tion 45R (Notice 82) 51,857
Enhanced oil recovery credit, 2010 inflation adjustment (No-
tice 72) 46,661
Foreign tax credit guidance under section 909 (Notice 92) 52,
916
Inflation adjustments, for adoption credit (RP 35) 42,438
Low-income housing credit, carryover to qualified sates, 2010
National Pools (Notice 74) 46,663
Production tax credit for refined coal, section 45(Notice 54)
40,403
Refundable adoption credit (Notice 66) 42,437
Declaratory judgment suits (Ann 46) 30,87; (Ann 84) 44,603;
(Ann 93) 51,897
Deferred discharge of indebtedness income of corporations and
deferred original issue discount deductions (TD 9497) 44,558;
(REG–142800–09) 44,580
Delay of renewal period for enrolled agents whose tax identifi-
cation numbers end in 4, 5, or 6 (Ann 81) 45,638
Disciplinary actions involving attorneys, certified public accoun-
tants, enrolled agents, and enrolled actuaries (Ann 43) 27,42;
(Ann 51) 33,261; (Ann 53) 36,323; (Ann 78) 41,433
Electronic filing hardship waiver request, Form 8944 (Ann 96)
52,936
Electronic Funds Transfer(EFT) of depository taxes
(REG–153340–09) 42,469
Employee health insurance expenses of small employers, Section
45R (Notice 82) 51,857
Examination of returns and claims for refund, credit or abate-
ment, determination of correct tax liability (RP 27) 31,183
Exclusions from gross income of foreign corporations (TD 9502)
46,641
Expenses:
Optional standard mileage rates for 2011 (Notice 88) 51,882
Standard mileage rates procedures (RP 51) 51,883
Extended carryback of losses to or from a consolidated group
(TD 9490) 31,176; (REG–151605–09) 31,184
Forms:
1040, 1040A, 1040EZ, and 1041, electronic filing hardship
waiver request procedures for calendar year 2011, Form
8944 (Ann 96) 52,936
INCOME TAX—Cont.
1042–S, Foreign Person’s U.S. Source Income Subject to
Withholding, specifications for filing electronically (RP
33) 38,347
1097, 1098, 1099, 3921, 3922, 5498, 8935, and W-2G, re-
quirements for filing electronically, 2010 revision (RP 26)
30,91
8027, Employer’s Annual Information Return of Tips Income
and Allocated Tips, specified for filing electronically (RP
37) 42,440
8944, Preparer e-file Hardship Waiver Request, new (Ann 96)
52,936
Substitute W-2 and W-3, general rules and specifications (RP
42) 47,715
Substitute W-2c and W-3c, general rules and specifications
(RP 43) 47,738
Furnishing identifying number of tax return preparer (TD 9501)
46,651; (REG–142562–10) 48,781
Guidance and request for comments regarding implementation
of new chapter 4 of the Code (Notice 60) 37,329
Information reporting for payments made in settlement of pay-
ment card and third party network transactions (TD 9496) 43,
484
Information reporting under the amendments to section 6041 for
gross proceeds paid and for payments to corporations (Notice
51) 29,83
Institute on Current Issues in International Taxation (Ann 86) 44,
604
Insurance companies:
Effectively connected income, insurance (RP 29) 35,309
Loss payment patterns and discount factors for the 2010 acci-
dent year (RP 49) 50,830
Safe harbor under sections 7702 and 7702A for contracts with
a maturity date of 100, life insurance (RP 28) 34,270
Salvage discount factors for the 2010 accident year (RP 50)
50,841
Treatment of Blue Cross/Blue Shield organizations and cer-
tain other health organizations (Notice 79) 49,809
Intangible property, allocation of income and deductions, with-
drawal of REG–115037–00 (Ann 60) 40,417
Interim guidance under the codification of the economic sub-
stance doctrine and related provisions in the Health Care and
Education Reconciliation Act of 2010 (Notice 62) 40,411
Interim relief for cost of health care coverage reporting on Form
W-2 (Notice 69) 44,576
Interest:
And penalty suspension provisions under section 6404(g) (TD
9488) 28,51
Investment:
Federal short-term, mid-term, and long-term rates for:
July 2010 (RR 18) 27,1
August 2010 (RR 19) 31,174
September 2010 (RR 20) 36,312
October 2010 (RR 24) 40,400
November 2010 (RR 26) 44,573
December 2010 (RR 29) 50,818
Qualified residence, limitations (RR 25) 44,571
December 27, 2010viii2010–52 I.R.B.

INCOME TAX—Cont.
Rates:
Underpayments and overpayments, quarter beginning:
October 1, 2010 (RR 21) 39,388
January 1, 2010 (RR 31) 52,898
Involuntary conversions, livestock sold on account of drought,
extension of replacement period, list of affected counties (No-
tice 64) 41,421
Losses, imported drywall (RP 36) 42,439
Marginal production rates, 2010 (Notice 73) 46,662
Net operating losses (Notice 58) 37,326
Nonshareholder contribution to capital:
ARRA treatment (RP 34) 41,426
Treatment of certain grants to corporations (RP 45) 49,813;
(RP 46) 49,814
Notice delaying effective date of Revenue Ruling 2006-57 (No-
tice 94) 52,927
Over-the-counter drugs:
Amounts received under accident and health plans ((RR 23)
39,388
Revised definition of medicalexpense under section 106(f)
(Notice 59) 39,396
Application of section 108(i) to partnerships and S corpora-
tions (TD 9498) 45,605
Partnerships and S corporations application of section 108(i)(TD
9498) 45,605; (REG–144762–09) 45,637
Per diem allowances, 2010–2011 (RP 39) 42,459
Private foundations, organizations now classified as (Ann 90) 49,
816
Proposed Regulations:
26 CFR 1.108(i)–0, –3, added; guidance regarding de-
ferred discharge of indebtedness income of corpora-
tions and deferred original issue discount deductions
(REG–142800–09) 44,580
26 CFR 1.108(i)–2, added; application of section 108(i) to
partnerships and S corporations (REG–144762–09) 45,637
26 CFR 1.1502–21, revised; extended carryback of losses to
or from a consolidated group (REG–151605–09) 31,184
26 CFR 1.6011–6, added; 301.6011–6, added; specified tax
return preparers required to file individual income tax re-
turns using magnetic media (REG–100194–10) 51,891
26 CFR 1.6012–2, amended; requirement of a statement dis-
closing uncertain tax positions (REG–119046–10) 40,415
26 CFR 300.0 thru 300.8, amended; 300.9, added; user fees
relating to enrollment and preparer tax identification num-
ber (REG–139343–08) 33,256
26 CFR 301.6011–6, added; 301.6071–2, added; 301.7701–1,
amended; classification of series limited liability compa-
nies and cell companies (REG–119921–09) 45,626
31 CFR 10.0, revised; 10.2 thru 10.8, revised; 10.9, added;
10.30, 10.34, 10.36, 10.51, 10.90, revised; regulations
governing practice before the Internal Revenue Service
(REG–138637–07) 44,581
Publications:
1141, General Rules and Specifications for Substitute Forms
W-2 and W-3, revised (RP 42) 47,715
INCOME TAX—Cont.
1187, Specifications for Filing Forms 1042–S, Foreign Per-
son’s U.S. Source Income Subject to Withholding, Elec-
tronically, revised (RP 33) 38,347
1220, Specifications for Filing Forms 1097, 1098, 1099, 3921,
3922, 5498, 8935, and W-2G Electronically, 2010 revision
(RP 26) 30,91
1223, General Rules and Specifications for Substitute Forms
W-2c and W-3c, revised (RP 43) 47,738
1239, Specifications for filing Form 8027, Employer’s An-
nual Information Return of TipIncome and Allocated Tips,
Electronically, revised (RP 37) 42,440
1516, Specifications for Filing Form 8596, Information Re-
turn for Federal Contracts,Electronically (RP 38) 43,530
Qualified mortgage bonds (QMBs) and mortgage credit certifi-
cate (MCCs), average area housing purchase price for 2010
(RP 25) 27,16
Qualifying advanced coal projectprogram, qualifying gasifica-
tion project program (Ann 56) 39,398
Regulations:
26 CFR 1.108(i)–0T, added; 602.101, amended; guidance re-
garding deferred discharge of indebtedness income of cor-
porations and deferred original issue discount deductions
(TD 9497) 44,558
26 CFR 1.108(i)–2T, added; 602.101, amended; application
of section 108(i) to partnerships and S corporations (TD
9498) 45,605
26 CFR 1.382–1, amended; 1.382–1T, added; 1.382–7, added;
1.382–7T, removed; built-in gains and losses under section
382(h) (TD 9487) 28,48; 1.382–2T, amended, correction
(Ann 50) 33,260
26 CFR 1.403(b) –4, –6, –7, –10, amended; revised regula-
tions concerning section 403(b) tax-sheltered annuity con-
tracts; correction to TD 9340 (Ann 83) 50,848
26 CFR 1.408–7, amended; 1.1012–1, amended; 1.6039–2,
amended; 1.6042–4, amended; 1.6044–5, amended;
1.6045–1 thru –5, amended; 1.6045A–1, added;
1.6045B–1, added; 1.6049–6, amended; 31.6051–4,
amended; 301.6721–1, amended; 301.6722–1, amended;
602.101, amended; basis reporting by securities brokers
and basis determination for stock (TD 9504) 47,670
26 CFR 1.883–0, –1, –2, –3, –4, 5, amended; 1.883–0T, thru
–5T, removed; 1.883–3, revised; 602.101, amended; exclu-
sions from gross income (TD 9502) 46,641
26 CFR 1.1397E–1, amended; 1.1397E–1T, removed;
602.101, amended; application by cooperative electrical
companies to issue clean renewable energy bonds (Ann 54)
38,386
26 CFR 1.1502–21, amended; 1.1502–2T, revised; 602.101,
revised; extended carryback of losses to or from a consoli-
dated group (TD 9490) 31,176
26 CFR 1.6041–1, 1.6041A–1, amended; 1.6050W–1, –2,
amended; 31.3406–0, amended; 31.3406(b)(3), amended;
31.6051–4, –5, added; 301.6721–1, amended; 301.6722–1,
amended; information reporting for payments made in set-
tlement of payment card and third party network transac-
tions (TD 9496) 43,484
2010–52 I.R.B.ixDecember 27, 2010

INCOME TAX—Cont.
26 CFR 1.6109–2, amended; 602.101, amended; furnishing
identifying number of tax return preparer (TD 9501) 46,651
26 CFR 1.6411–2, –3, amended; 1.6411–2T, –3T, removed;
clarification to section 6411 regulations (TD 9499) 45,622
26 CFR 300.0 thru 300.8, amended; 300.9, added; user fees
relating to enrollment and preparer tax identification num-
bers (PTINs) (TD 9503) 47,706
26 CFR 301.6404–0, –4, added; 301.6404–4T, removed;
interest and penalty suspension provisions under section
6404(g) of the Internal Revenue Code (TD 9488) 28,51
Regulations governing practice before the Internal Revenue Ser-
vice (REG–138637–07) 44,581
Releases of liens on mortgage loans held by REMICs (RP 30)
36,316
Reporting of uncertain tax positions (Ann 75) 41,428
Request for documents provided to independent auditors, policy
of restraint and uncertain tax positions (Ann 76) 41,432
Requirement of a statement disclosing uncertain tax positions
(REG–119046–10) 40,415
Revised regulations concerning section 403(b) tax-sheltered an-
nuity contracts, correction to TD 9340 (Ann 83) 50,848
Revocation of Notice 2003–19 (Notice 53) 31,182
Revocations, exempt organizations (Ann 44) 28,54;(Ann45)
29,87; (Ann 47) 30,173;(Ann49)34,272;(Ann55)37,
346;(Ann57)38,386; correction to Ann 47 (Ann 59) 39,399;
correction to Ann 59 ((Ann 77) 41,433; (Ann 80) 45,638;
(Ann 89) 46,669; (Ann 91) 50,848; (Ann 92) 51,897;(Ann
94) 52,936
Section 43 inflation adjustment, 2010 (Notice 72) 46,661
Section 263A safe harbor methods for motor vehicle dealerships
(RP 44) 49,811
Section 301.9100 relief for certain foreign eligible entities (RP
32) 36,320
Section 382 limitation:
Fluctuation in value, ownership changes (Notice 50) 27,12
Ownership changes, small shareholders (Notice 49) 27,10
Section 901(1) application to certain back-to-back licensing ar-
rangements and certain retail distribution arrangements (No-
tice 65) 41,424
Series limited liability companies (LLCs) and cell companies,
classification (REG–119921–09) 45,626
Specified tax return preparers required to file individual income
tax returns using magnetic media (REG–100194–10) 51,891
Standard Industry Fare Level (SIFL) formula (RR 22) 39,388
Standard mileage ratesprocedures (RP 51) 51,883
Substitute Forms W-2 and W-3, general rules and specifications
(RP 42) 47,715
Tax conventions:
U.S. –Belgium, agreement with respect to fellowship pay-
ments made to researchers (Ann 52) 36,315
U.S. –Greenland reciprocal exemption agreement (Ann 48)
32,234
Tax-sheltered annuities, section 403(b) contracts, correction to
TD 9340 (Ann 95) 52,936
Transitional relief for determining timeliness of federal tax de-
posits (Notice 87) 52,908
INCOME TAX—Cont.
Treatment of services under section 482, allocation of in-
come and deductions from intangibles, withdrawal of
REG–146893–09 and REG–115037–00 (Ann 60) 40,417
Tribal economic development bonds, extension of deadline to
issue (Ann 88) 47,753
Undue hardship waiver of the section 6011(e)(3) electronic filing
requirement and taxpayer choice statements to file in paper
format (Notice 85) 51,877
User fees relating to enrollment and preparer tax identification
numbers (PTINs) (REG–139343–08) 33,256; (TD 9503) 47,
706
SELF-EMPLOYMENT TAX
Disclosures of return information reflected on returns to officers
and employees of the Department of Commerce for certain
statistical purposes and related activities (REG–137486–09)
46,668
Electronic Funds Transfer of Depository Taxes (TD 9500) 46,
649; (REG–153340–09) 42,469
Furnishing identifying number of tax return preparer (TD 9501)
46,651
Proposed Regulations:
26 CFR 301.6103(j)(1)–1, amended; disclosures of return in-
formation reflected on returns to officers and employees
of the Department of Commerce for certain statistical pur-
poses and related activities (REG–137486–09) 46,668
Regulations:
26 CFR 1.6109–2, amended; 602.101, amended; furnishing
identifying number of tax return preparer (TD 9501) 46,651
26 CFR 301.6103(j)(1), –1T, amended; disclosures of return
information reflected on returns to officers and employees
of the Department of Commerce for certain statistical pur-
poses and related activities (TD 9500) 46,649
Transitional relief for determining timeliness of federal tax de-
posits (Notice 87) 52,908
December 27, 2010x2010–52 I.R.B.

INTERNAL REVENUE BULLETIN
The Introduction at the beginning of this issue describes the purpose and content of this publication. The weekly Internal Revenue
Bulletin is sold on a yearly subscription basis by the Superintendent of Documents. Current subscribers are notified by the Superin-
tendent of Documents when their subscriptions must be renewed.
CUMULATIVE BULLETINS
The contents of this weekly Bulletin are consolidated semiannually into a permanent, indexed, Cumulative Bulletin. These are
sold on a single copy basis andare notincluded as part of the subscription to the Internal Revenue Bulletin. Subscribers to the weekly
Bulletin are notified when copies of the Cumulative Bulletin are available. Certain issues of Cumulative Bulletins are out of print
and are not available. Persons desiring available Cumulative Bulletins, which are listed on the reverse, may purchase them from the
Superintendent of Documents.
ACCESS THE INTERNAL REVENUE BULLETIN ON THE INTERNET
You may view the Internal Revenue Bulletin on the Internet at www.irs.gov. Select Businesses. Under Businesses Topics, select
More Topics. Then select Internal Revenue Bulletins.
INTERNAL REVENUE BULLETINS ON CD-ROM
Internal Revenue Bulletins are available annually as part ofPublication 1796 (Tax Products CD-ROM). The CD-ROM can be
purchased from National Technical Information Service (NTIS) on the Internet at www.irs.gov/cdorders (discount for online orders)
or by calling 1-877-233-6767. The first release is available in mid-December and the final release is available in late January.
HOW TO ORDER
Check the publications and/or subscription(s) desired on the reverse, complete the order blank, enclose the proper remittance,
detach entire page, and mail to the Superintendent of Documents, P.O. Box 371954, Pittsburgh PA, 15250–7954. Please allow two to
six weeks, plus mailing time, for delivery.
WE WELCOME COMMENTS ABOUT THE INTERNAL
REVENUE BULLETIN
If you have comments concerning the format or production of the Internal Revenue Bulletin or suggestions for improving it, we
would be pleased to hear from you. You can email us your suggestions or comments through the IRS Internet Home Page (www.irs.gov)
or write to the IRS Bulletin Unit, SE:W:CAR:MP:T:T:SP, Washington, DC 20224.
Internal Revenue Service
W
ashington,DC20224
Official Business
Penalty for Private Use, $300