Internal Revenue Bulletin 2015-1 (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.

# Internal Revenue bulletin

## 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. Proc. 2015-7, page 231.

This procedure revises the list of those provisions of the Code
under the jurisdiction of the Associate Chief Counsel (Interna-
tional) relating to matters where the Service will not issue letter
rulings or determination letters. Rev. Proc. 2014-7 super-
seded.

## EMPLOYEE PLANS

### Rev. Proc. 2015-6, page 194.

Revised procedures are provided for issuing determination
letters on the qualified status of employee plans under sections
401(a), 403(a), 409 and 4975 of the Code. Rev. Proc.
2014-6 superseded.

### Rev. Proc. 2015-8, page 235.

Current guidance for complying with the user fee program of the
Service as it pertains to requests for letter rulings, determination
letters, etc., on matters under the jurisdiction of the Office of the
Division Commissioner, Tax Exempt and Government Entities Di-
vision, is provided. Rev. Proc. 2014-8 superseded.

## EXEMPT ORGANIZATIONS

### Rev. Proc. 2015-5, page 186.

This revenue procedure sets forth procedures for issuing de-
termination letters on the exempt status under section
501(c)(3) of the Internal Revenue Code to eligible organizations
that submit Form 1023-EZ, Streamlined Application for Rec-
ognition of Exemption under Section 501(c)(3) of the Internal
Revenue Code.

Finding Lists begin on page ii.

IRS

### Rev. Proc. 2015-8, page 235.

## ADMINISTRATIVE

### Rev. Proc. 2015-1, page 1.

This procedure contains revised procedures for letter rulings and
information letters issued by the Associate Chief Counsel (Corpo-
rate), Associate Chief Counsel (Financial Institutions and Prod-
ucts), Associate Chief Counsel (Income Tax and Accounting),
Associate Chief Counsel (International), Associate Chief Counsel
(Passthroughs and Special Industries), Associate Chief Counsel
(Procedure and Administration), and Associate Chief Counsel (Tax
Exempt and Government Entities). This procedure also contains
revised procedures for determination letters issued by the Large
Business and International Division, Small Business/Self Employed
Division, Wage and Investment Division, and Tax Exempt and Govern-
ment Entities Division. Rev. Proc. 2014-1 superseded.

### Rev. Proc. 2015-2, page 105.

This procedure explains when and how the Associate Chief
Counsel (Corporate), Associate Chief Counsel (Financial Insti-
tutions and Products), Associate Chief Counsel (Income Tax
and Accounting), Associate Chief Counsel (International), Asso-
ciate Chief Counsel (Passthroughs and Special Industries), As-
sociate Chief Counsel (Procedure and Administration), and the
Associate Chief Counsel (Tax Exempt and Government Entities)
provide technical advice memoranda (TAMs) to a Director or an
Appeals Area Director. It also explains the rights that a tax-
payer has when a field office requests a TAM regarding a tax
matter. Rev. Proc. 2014-2 superseded.

(Continued on the next page)

### Rev. Proc. 2015-3, page 129.

This revenue procedure provides a revised list of areas of the
Code under the jurisdiction of the Associate Chief Counsel
(Corporate), the Associate Chief Counsel (Financial Institutions
and Products), the Associate Chief Counsel (Income Tax and
Accounting), the Associate Chief Counsel (Passthroughs and
Special Industries), the Associate Chief Counsel (Procedure
and Administration), and the Associate Chief Counsel (Tax
Exempt and Government Entities) relating to matters on which
the Service will not issue letter rulings or determination letters.
Rev. Proc. 2014-3, 2014-1 I.R.B. 111 is superseded.

### Rev. Proc. 2015-4, page 144.

Rulings and information letters; issuance procedures. Revised
procedures are provided for furnishing ruling letters, informa-
tion letters, etc. on matters related to sections of the Code
currently under the jurisdiction of the Office of the Division
Commissioner, Tax Exempt and Government Entities. Rev.
Proc. 2014-4 superseded.

### Rev. Proc. 2015-7, page 231.

## The IRS Mission

Provide America's taxpayers top-quality service by helping
them understand and meet their tax responsibilities and en-
force the law with 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.

It is the policy of the Service to publish in the Bulletin all
substantive rulings necessary to promote a uniform application
of the tax laws, including all rulings that supersede, revoke,
modify, or amend any of those previously published in the
Bulletin. All published rulings apply retroactively unless other-
wise indicated. Procedures relating solely to matters of internal
management are not published; however, statements of inter-
nal 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, identify-
ing 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 .- 1986 Code.

This part includes rulings and decisions based on provisions of
the Internal Revenue Code of 1986.

### Part II .- Treaties and Tax Legislation.

This part is divided into two subparts as follows: Subpart A, Tax
Conventions and Other Related Items, and Subpart B, Legisla-
tion 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 Sec-
retary (Enforcement).

### Part IV .- Items of General Interest.

This part includes notices of proposed rulemakings, disbar-
ment and 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 contents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.

## Part III. Administrative, Procedural, and Miscellaneous

26 CFR § 601.201: Rulings and determination letters.

### Rev. Proc. 2015-1

## TABLE OF CONTENTS

SECTION 1. WHAT IS THE PURPOSE OF THIS REVENUE PROCEDURE?

.01 Description of terms used in this revenue procedure

.02 Updated annually

SECTION 2. WHAT ARE THE FORMS IN WHICH THE SERVICE PROVIDES ADVICE TO TAXPAYERS?

.01 Letter ruling

.02 Closing agreement

.03 Determination letter

.04 Information letter

.05 Oral advice

SECTION 3. ON WHAT ISSUES MAY TAXPAYERS REQUEST WRITTEN ADVICE UNDER THIS REVENUE PROCEDURE?

.01 Issues under the jurisdiction of the Associate Chief Counsel (Corporate)

.02 Issues under the jurisdiction of the Associate Chief Counsel (Financial Institutions and Products)

.03 Issues under the jurisdiction of the Associate Chief Counsel (Income Tax and Accounting)

.04 Issues under the jurisdiction of the Associate Chief Counsel (International)

.05 Issues under the jurisdiction of the Associate Chief Counsel (Passthroughs and Special Industries)

.06 Issues under the jurisdiction of the Associate Chief Counsel (Procedure and Administration)

.07 Issues under the jurisdiction of the Associate Chief Counsel (Tax Exempt and Government Entities)

SECTION 4. ON WHAT ISSUES MUST WRITTEN ADVICE BE REQUESTED UNDER DIFFERENT PROCEDURES?

.01 Issues involving alcohol, tobacco, and firearms taxes

.02 Certain issues involving employee plans, individual retirement accounts (IRAs), and exempt organizations

SECTION 5. UNDER WHAT CIRCUMSTANCES DO THE ASSOCIATE OFFICES ISSUE LETTER RULINGS?

.01 In income and gift tax matters

.02 Special relief for late S corporation and related elections in lieu of letter ruling process.

.03 A § 301.9100 request for extension of time for making an election or for other relief

.04 Determinations under § 999(d)

.05 In matters involving § 367

.06 In estate tax matters

.07 In matters involving additional estate tax under § 2032A(c)

.08 In matters involving qualified domestic trusts under § 2056A

.09 In generation-skipping transfer tax matters

.10 In employment and excise tax matters

.11 In procedural and administrative matters

.12 In Indian tribal government matters

.13 On constructive sales price under § 4216(b) or § 4218(c)

.14 In exempt organizations matters

.15 In qualified retirement plan and IRA matters

.16 Under some circumstances before the issuance of a regulation or other published guidance

SECTION 6. UNDER WHAT CIRCUMSTANCES DOES THE SERVICE NOT ISSUE LETTER RULINGS OR DETERMINATION LETTERS?

.01 Ordinarily not if the request involves an issue under examination or consideration or in litigation

.02 Ordinarily not in certain areas because of factual nature of the problem or for other reasons

.03 Ordinarily not on part of an integrated transaction.

.04 Ordinarily not on which of two entities is a common law employer

.05

Ordinarily not to business associations or groups

.06 Ordinarily not where the request does not address the tax status, liability, or reporting obligations of the requester

.07 Ordinarily not to foreign governments

.08 Ordinarily not on Federal tax consequences of proposed legislation

.09 Ordinarily not before issuance of a regulation or other published guidance

.10 Not on frivolous issues.

.11 No "comfort" letter rulings

.12 Not on alternative plans or hypothetical situations

.13 Not on property conversions after return filed

.14

Circumstances under which determination letters are not issued by a Director

SECTION 7. WHAT ARE THE GENERAL INSTRUCTIONS FOR REQUESTING LETTER RULINGS

AND DETERMINATION LETTERS?

.01 Documents and information required in all requests

(1) Complete statement of facts and other information

(2) Copies of all contracts, wills, deeds, agreements, instruments, other documents pertinent to the transaction, and foreign laws

(3) Analysis of material facts

(4) Statement regarding whether same issue is in an earlier return and additional information required for § 301.9100 requests

(5) Statement regarding whether same or similar issue was previously ruled on or whether a request involving it was submitted or is currently pending

(6)

Statement regarding interpretation of a substantive provision of an income or estate tax treaty

(7) Letter from Bureau of Indian Affairs relating to a letter ruling request for recognition of Indian tribal government status or status as a political subdivision of an Indian tribal government.

(8) Statement of supporting authorities

(9) Statement of contrary authorities

(10) Statement identifying pending legislation

(11) Statement identifying information to be deleted from the public inspection copy of letter ruling or determination letter

(12) Signature by taxpayer or authorized representative

(13) Authorized representatives.

(14) Power of attorney and declaration of representative

(15) Penalties of perjury statement

(16) Number of copies of request to be submitted

(17) Sample format for a letter ruling request

(18) Checklist for letter ruling requests

.02 Additional procedural information required with request

(1) To request separate letter rulings for multiple issues in a single situation

(2) Power of attorney used to indicate recipient of a copy or copies of a letter ruling or a determination letter

(3) To request a particular conclusion on a proposed transaction

(4) To request expedited handling

(5) To request the receipt of any document related to letter ruling request by fax

(6) To request a conference.

.03 Address to which to send request for letter ruling or determination letter

(1) Request for letter ruling

(2) Request for determination letter

.04 Pending letter ruling requests.

(1) Circumstances under which the taxpayer with a pending letter ruling request must notify the Associate office

(2) Taxpayer must notify the Associate office if a return is filed and must attach the request to the return

.05 When to attach letter ruling or determination letter to return

.06

How to check on status of request for letter ruling or determination letter

.07 Request for letter ruling or determination letter may be withdrawn or Associate office may decline to issue letter ruling

(1) In general

(2) Notification of appropriate Service official

(3) Refund of user fee

SECTION 8. HOW DO THE ASSOCIATE OFFICES HANDLE LETTER RULING REQUESTS?

.01 Docket, Records, and User Fee Branch receives, initially controls, and refers the requests

to the appropriate Associate office

.02 Branch representative of the Associate office contacts taxpayer within 21 calendar days

.03 Determines if transaction can be modified to obtain favorable letter ruling

.04 Not bound by informal opinion expressed

.05 May request additional information

(1) Additional information must be submitted within 21 calendar days

(2) Extension of reply period if justified and approved

(3) Letter ruling request closed if the taxpayer does not submit additional information

(4) Penalties of perjury statement

(5) Faxing request and additional information

(6) Address to which to send additional information

(7) Identifying information

(8) Number of copies

.06 Near the completion of the ruling process, advises the taxpayer of conclusions and, if the

Associate offices will rule adversely, offers the taxpayer the opportunity to withdraw the letter ruling request

.07 May request that taxpayer submit draft proposed letter ruling near the completion of the ruling process

.08 Issues separate letter rulings for substantially identical letter rulings, but generally issues a single letter

ruling for related § 301.9100 letter rulings

(1) Substantially identical letter rulings

(2) Related § 301.9100 letter rulings

.09 Sends a copy of the letter ruling to appropriate Service official

SECTION 9. WHAT ARE THE SPECIFIC AND ADDITIONAL PROCEDURES FOR A REQUEST FOR A

CHANGE IN METHOD OF ACCOUNTING FROM THE ASSOCIATE OFFICES?

.01 Automatic and non-automatic change in method of accounting requests

(1) Automatic change in method of accounting

(2) Non-automatic change in method of accounting

.02 Ordinarily only one change in method of accounting on a Form 3115, Application for Change in Accounting Method, and a separate Form 3115 for each taxpayer and for each separate and distinct trade or business

.03 Information required with a Form 3115

(1) Facts and other information requested on Form 3115 and in applicable revenue procedures

(2) Statement of contrary authorities

(3) Copies of all contracts, agreements, and other documents

(4) Analysis of material facts

(5) Information regarding whether same issue is in an earlier return

(6) Statement regarding prior requests for a change in method of accounting and other pending requests

(7) Statement identifying pending legislation

(8) Authorized representatives.

(9) Power of attorney and declaration of representative

(10) Tax Information Authorization

(11) Penalties of perjury statement

.04 Additional procedural information required in certain circumstances.

(1) Recipients of original and copy of change in method of accounting correspondence

(2) To request expedited handling

(3) To receive the change in method of accounting letter ruling or any other correspondence related to Form 3115 by fax

(4) To request a conference.

.05

Addresses to which to send Forms 3115

.06

A Form 3115 must not be submitted by fax

.07 Docket, Records, and User Fee Branch receives, initially controls, and refers

the Form 3115 to the appropriate Associate office

.08

Additional information

(1) Reply period.

(2) Request for extension of reply period.

(3) Penalties of perjury statement for additional information

(4) Identifying information included in additional information

(5) Faxing information request and additional information

(6) Address to which to send additional information to an Associate office

(7) Failure to timely submit additional information to an Associate office

.09 Circumstances in which the taxpayer must notify the Associate office

.10

Determines if proposed method of accounting can be modified to obtain favorable letter ruling

.11 Near the completion of processing the Form 3115, advises the taxpayer if the Associate

office will rule adversely and offers the taxpayer the opportunity to withdraw Form 3115

.12 Non-automatic Form 3115 may be withdrawn or Associate office may decline to issue

a change in method of accounting letter ruling

(1) In general

(2) Notification of appropriate Service official

(3) Refund of user fee.

.13 How to check status of a pending non-automatic Form 3115

.14 Service is not bound by informal opinion

.15 Single letter ruling issued to a taxpayer or consolidated group for qualifying identical change in method of accounting

.16 Letter ruling ordinarily not issued for one of two or more interrelated items or submethods

.17 Consent Agreement

.18

A copy of the change in method of accounting letter ruling is sent to appropriate Service official.

.19

Consent to change a method of accounting may be relied on subject to limitations

.20 Change in method of accounting letter ruling does not apply to another taxpayer

.21

Associate office discretion to permit requested change in method of accounting.

.22 List of automatic change in method of accounting request procedures

.23

Other sections of this revenue procedure that are applicable to Form 3115

SECTION 10. HOW ARE CONFERENCES FOR LETTER RULINGS SCHEDULED?

.01

Schedules a conference if requested by taxpayer

.02

Permits taxpayer one conference of right.

.03

Disallows verbatim recording of conferences

.04

Makes tentative recommendations on substantive issues

.05

May offer additional conferences

.06

Requires written confirmation of information presented at conference

.07 May schedule a pre-submission conference

.08 May schedule a conference to be held by telephone

SECTION 11. WHAT EFFECT WILL A LETTER RULING HAVE?

.01

May be relied on subject to limitations

.02 Will not apply to another taxpayer

.03 Will be used by a Field office in examining the taxpayer's return

.04

May be revoked or modified if found to be in error or there has been a change in law

.05

Letter ruling revoked or modified based on material change in facts applied retroactively

.06

Not otherwise generally revoked or modified retroactively

.07

Retroactive effect of revocation or modification applied to a particular transaction

.08

Retroactive effect of revocation or modification applied to a continuing action or series of actions

.09

Generally not retroactively revoked or modified if related to sale or lease subject to excise tax

.10

May be retroactively revoked or modified when transaction is entered into before the issuance of the letter ruling

.11 Taxpayer may request that retroactivity be limited

SECTION 12. UNDER WHAT CIRCUMSTANCES DO DIRECTORS ISSUE DETERMINATION LETTERS?

.01 In income and gift tax matters.

.02 In estate tax matters

.03 In generation-skipping transfer tax matters

.04 In employment and excise tax matters

.05 Requests concerning income, estate, or gift tax returns

.06 Review of determination letters

SECTION 13. WHAT EFFECT WILL A DETERMINATION LETTER HAVE?

.01 Has same effect as a letter ruling

.02 Taxpayer may request that retroactive effect of revocation or modification be limited

SECTION 14. UNDER WHAT CIRCUMSTANCES ARE MATTERS REFERRED BETWEEN A DIRECTOR AND AN ASSOCIATE OFFICE?

.01 Requests for determination letters

.02 No-rule areas.

.03 Requests for letter rulings

.04 Letter ruling request mistakenly sent to a Director

SECTION 15. WHAT ARE THE USER FEE REQUIREMENTS FOR REQUESTS FOR LETTER RULINGS AND DETERMINATION LETTERS?

.01 Legislation authorizing user fees

.02 Requests to which a user fee applies.

.03 Requests to which a user fee does not apply

.04 Exemptions from the user fee requirements

.05 Fee schedule

.06 Applicable user fee for a request involving multiple offices, fee categories, issues, transactions, or entities

.07 Applicable user fee for requests for substantially identical letter rulings or identical changes in method of accounting

.08 Method of payment

.09 Effect of nonpayment or payment of incorrect amount.

.10 Refunds of user fee

.11 Request for reconsideration of user fee

SECTION 16. WHAT SIGNIFICANT CHANGES HAVE BEEN MADE TO REVENUE PROCEDURE 2014-1?

.73

SECTION 17. WHAT IS THE EFFECT OF THIS REVENUE PROCEDURE ON OTHER DOCUMENTS?

SECTION 18. WHAT IS THE EFFECTIVE DATE OF THIS REVENUE PROCEDURE?

SECTION 19. PAPERWORK REDUCTION ACT

DRAFTING INFORMATION

INDEX

APPENDIX A-SCHEDULE OF USER FEES

APPENDIX B-SAMPLE FORMAT FOR A LETTER RULING REQUEST

APPENDIX C-CHECKLIST FOR A LETTER RULING REQUEST

APPENDIX D-ADDITIONAL CHECKLIST FOR GOVERNMENT PICK-UP PLAN RULING REQUESTS

APPENDIX E-ADDITIONAL CHECKLIST FOR CHURCH PLAN RULING REQUESTS.

APPENDIX F-LIST OF SMALL BUSINESS/SELF-EMPLOYED OPERATING DIVISION (SB/SE) OFFICES TO WHICH TO SEND REQUESTS FOR DETERMINATION LETTERS

### APPENDIX G-CHECKLISTS, GUIDELINE REVENUE PROCEDURES, NOTICES, SAFE

HARBOR REVENUE PROCEDURES, AND AUTOMATIC CHANGE REVENUE PROCEDURES

.01 Checklists, guideline revenue procedures, and notices

.02 Safe harbor revenue procedures

.03 Automatic change in accounting period revenue procedures

103

### SECTION 1. WHAT IS THE PURPOSE OF THIS REVENUE PROCEDURE?

This revenue procedure explains how the Service provides advice to taxpayers on issues under
the jurisdiction of the Associate Chief Counsel (Corporate), the Associate Chief Counsel (Finan-
cial Institutions and Products), the Associate Chief Counsel (Income Tax and Accounting), the
Associate Chief Counsel (International), the Associate Chief Counsel (Passthroughs and Special
Industries), the Associate Chief Counsel (Procedure and Administration), and the Associate Chief
Counsel (Tax Exempt and Government Entities). It explains the forms of advice and the manner
in which advice is requested by taxpayers and provided by the Service. A sample format for a
letter ruling request is provided in Appendix B. See section 4 of this revenue procedure for
information on certain issues outside the scope of this revenue procedure on which advice may
be requested under a different revenue procedure.

Description of terms used
in this revenue procedure

.01 For purposes of this revenue procedure-

(1) the term "Service" includes the four operating divisions of the Internal Revenue Service and
the Associate offices. The four operating divisions are:

(a) Large Business & International Division (LB&I), which generally serves corporations,
including S corporations, and partnerships, with assets in excess of $10 million;

(b) Small Business/Self-Employed Division (SB/SE), which generally serves corporations,
including S corporations, and partnerships, with assets less than or equal to $10 million; filers of
gift, estate, excise, employment and fiduciary returns; individuals filing an individual Federal
income tax return with accompanying Schedule C (Profit or Loss From Business (Sole Propri-
etorship)), Schedule E (Supplemental Income and Loss), Schedule F (Profit or Loss From
Farming), Form 2106, Employee Business Expenses, or Form 2106-EZ, Unreimbursed Employee
Business Expenses;

(c) Wage and Investment Division (W&I), which generally serves individuals with wage and
investment income only (and with no international tax returns) filing an individual Federal income
tax return without accompanying Schedule C, E, or F, or Form 2106 or Form 2106-EZ; and

(d) Tax Exempt and Government Entities Division (TE/GE), which serves three distinct taxpayer
segments: employee plans (including IRAs), exempt organizations, and government entities.

(2) the term "Associate office" refers to the Office of Associate Chief Counsel (Corporate), the
Office of Associate Chief Counsel (Financial Institutions and Products), the Office of Associate
Chief Counsel (Income Tax and Accounting), the Office of Associate Chief Counsel (Interna-
tional), the Office of Associate Chief Counsel (Passthroughs and Special Industries), the Office
of Associate Chief Counsel (Procedure and Administration), or the Office of Associate Chief
Counsel (Tax Exempt and Government Entities), as appropriate.

(3) the term "Director" refers to the Director, Field Operations, LB&I; Area Director, Field
Examination, SB/SE; Chief, Estate & Gift Tax Operations, SB/SE; Chief, Employment Tax
Operations, SB/SE; Chief, Excise Tax Operations, SB/SE; Director, Compliance, W&I; Director,
Employee Plans; Director, Employee Plans, Rulings and Agreements; Director, Employee Plans
Examinations; Director, Exempt Organizations; Director, Exempt Organizations, Rulings and

Agreements; Director, Exempt Organizations Examinations; Director, Federal, State & Local
Governments; Director, Tax Exempt Bonds; or Director, Indian Tribal Governments, as appro-
priate.

(4) the term "Field office" refers to the respective offices of the Directors, as appropriate.

(5) the term "taxpayer" includes all persons subject to any provision of the Internal Revenue
Code and, when appropriate, their representatives. More specifically, the term includes tax-
exempt organizations, as well as issuers of tax-exempt obligations, mortgage credit certificates,
and tax credit bonds.

Updated annually

.02 This revenue procedure is updated annually as the first revenue procedure of the year, but
it may be modified, amplified or clarified during the year.

SECTION 2. WHAT ARE
THE FORMS IN WHICH
THE SERVICE
PROVIDES ADVICE TO
TAXPAYERS?

The Service provides advice in the form of letter rulings, closing agreements, determination
letters, information letters, and oral advice.

#### Letter ruling

.01 A "letter ruling" is a written determination issued to a taxpayer by an Associate office in
response to the taxpayer's written inquiry, filed prior to the filing of returns or reports that are
required by the tax laws, about its status for tax purposes or the tax effects of its acts or
transactions. A letter ruling interprets the tax laws and applies them to the taxpayer's specific set
of facts. A letter ruling is issued when appropriate in the interest of sound tax administration. One
type of letter ruling is an Associate office's response granting or denying a request for a change
in a taxpayer's method of accounting or accounting period. Once issued, a letter ruling may be
revoked or modified for a number of reasons. See section 11 of this revenue procedure. A letter
ruling may be issued with a closing agreement, however, and a closing agreement is final unless
fraud, malfeasance, or misrepresentation of a material fact can be shown. See section 2.02 of this
revenue procedure.

#### Closing agreement

.02 A "closing agreement" is a final agreement between the Service and a taxpayer on a specific
issue or liability. It is entered into under the authority in § 7121, and it is final unless fraud,
malfeasance, or misrepresentation of a material fact can be shown.

A taxpayer may request a closing agreement with a letter ruling or in lieu of a letter ruling, with
respect to a transaction that would be eligible for a letter ruling. In such situations, the Associate
Chief Counsel with subject matter jurisdiction signs the closing agreement on behalf of the
Service.

A closing agreement may be entered into when it is advantageous to have the matter
permanently and conclusively closed or when a taxpayer can show that there are good reasons for
an agreement and that making the agreement will not prejudice the interests of the Government.
In appropriate cases, a taxpayer may be asked to enter into a closing agreement as a condition for
the issuance of a letter ruling.

If, in a single case, a closing agreement is requested for each person or entity in a class of
taxpayers, separate agreements are entered into only if the class consists of 25 or fewer taxpayers.
If the issue and holding are identical for the class and there are more than 25 taxpayers in the
class, a "mass closing agreement" will be entered into with the taxpayer who is authorized by the
others to represent the class.

Determination letter

.03 A "determination letter" is a written determination issued by a Director that applies the principles and precedents previously announced by the Service to a specific set of facts. It is issued only when a determination can be made based on clearly established rules in a statute, a tax treaty, the regulations, a conclusion in a revenue ruling, or an opinion or court decision that represents the position of the Service.

Information letter

.04 An "information letter" is a statement issued by an Associate office or Director that calls attention to a well-established interpretation or principle of tax law (including a tax treaty) without applying it to a specific set of facts. An information letter may be issued if the taxpayer's inquiry indicates a need for general information or if the taxpayer's request does not meet the requirements of this revenue procedure and the Service concludes that general information will help the taxpayer. An information letter is advisory only and has no binding effect on the Service. If the Associate office issues an information letter in response to a request for a letter ruling that does not meet the requirements of this revenue procedure, the information letter is not a substitute for a letter ruling. The taxpayer should provide a daytime telephone number with the taxpayer's request for an information letter. Information letters that are issued by the Associate offices to members of the public are made available to the public. Information letters that are issued by the Field offices are generally not made available to the public.

Oral Advice

Because information letters do not constitute written determinations as defined in § 6110, they are not subject to public inspection under § 6110. The Service makes the information letters available to the public under the Freedom of Information Act (the "FOIA"). Before any information letter is made available to the public, an Associate office will redact any information exempt from disclosure under the FOIA. See, e.g., 5 U.S.C. § 552(b)(6) (exemption for infor- mation the disclosure of which would constitute a clearly unwarranted invasion of personal privacy); 5 U.S.C. § 552(b)(3) in conjunction with § 6103 (exemption for returns and return information as defined in § 6103(b)).

The following documents also will not be available for public inspection as part of this process:

(1) transmittal letters in which the Service furnishes publications or other publicly available material to taxpayers, without any significant legal discussion;

(2) responses to taxpayer or third party contacts that are inquiries with respect to a pending request for a letter ruling, technical advice memorandum, or Chief Counsel Advice (which are subject to public inspection under § 6110 after their issuance); and

(3) responses to taxpayer or third party communications with respect to any investigation, audit, litigation, or other enforcement action.

.05 (1) No oral rulings and no written rulings in response to oral requests. The Service does not orally issue letter rulings or determination letters, nor does it issue letter rulings or determi- nation letters in response to oral requests from taxpayers. Service employees ordinarily will discuss with taxpayers or their representatives inquiries about whether the Service will rule on particular issues and about procedural matters regarding the submission of requests for letter rulings or determination letters for a particular case.

(2) Discussion possible on substantive issues. At the discretion of the Service and as time
permits, Service employees may also discuss substantive issues with taxpayers or their represen-
tatives. Such a discussion will not bind the Service or the Office of Chief Counsel, and it cannot
be relied upon as a basis for obtaining retroactive relief under the provisions of § 7805(b).

Service employees who are not directly involved in the examination, appeal, or litigation of
particular substantive tax issues will not discuss those issues with taxpayers or their representa-
tives unless the discussion is coordinated with Service employees who are directly involved. The
taxpayer or the taxpayer's representative ordinarily will be asked whether an oral request for
advice or information relates to a matter pending before another office of the Service or before
a Federal court.

If a tax issue is not under examination, in appeals, or in litigation, the tax issue may be
discussed even though the issue is affected by a nontax issue pending in litigation.

A taxpayer may seek oral technical guidance from a taxpayer service representative in a Field
office or Service Center when preparing a return or report.

The Service does not respond to letters seeking to confirm the substance of oral discussions,
and the absence of a response to such a letter is not a confirmation.

(3) Oral guidance is advisory only, and the Service is not bound by it. Oral guidance is
advisory only, and the Service is not bound by it, for example, when examining the taxpayer's
return.

SECTION 3. ON WHAT
ISSUES MAY
TAXPAYERS REQUEST
WRITTEN ADVICE
UNDER THIS REVENUE
PROCEDURE?

Taxpayers may request letter rulings, information letters, and closing agreements under this
revenue procedure on issues within the jurisdiction of the Associate offices. Taxpayers uncertain
as to whether an Associate office has jurisdiction with regard to a specific factual situation may
call the telephone number for the Associate office listed in section 10.07(1) of this revenue
procedure.

Except as provided in section 6.14 of this revenue procedure, taxpayers also may request
determination letters from the Director in the appropriate operating division. See sections 7 and
12 of this revenue procedure. For determination letters from TE/GE, see Rev. Proc. 2015-4, Rev.
Proc. 2015-5, and Rev. Proc. 2015-6, this Bulletin; Rev. Proc. 2015-9 and Rev. Proc. 2015-10,
next Bulletin.

Issues under the
jurisdiction of the
Associate Chief Counsel
(Corporate)

.01 Issues under the jurisdiction of the Associate Chief Counsel (Corporate) include those that
involve consolidated returns, corporate acquisitions, reorganizations, liquidations, redemptions,
spinoffs, transfers to controlled corporations, distributions to shareholders, corporate bankrupt-
cies, the effect of certain ownership changes on net operating loss carryovers and other tax
attributes, debt vs. equity determinations, allocation of income and deductions among taxpayers,
acquisitions made to evade or avoid income tax, and certain earnings and profits questions.

Issues under the
jurisdiction of the
Associate Chief Counsel
(Financial Institutions and
Products)

.02 Issues under the jurisdiction of the Associate Chief Counsel (Financial Institutions and
Products) include those that involve income taxes and changes in method of accounting of banks,
savings and loan associations, real estate investment trusts (REITs), regulated investment com-
panies (RICs), real estate mortgage investment conduits (REMICs), insurance companies and
products, tax-exempt obligations, mortgage credit certificates, tax credit bonds (including spec-
ified tax credit bonds), build America bonds, and financial products.

For the procedures to obtain private letter rulings involving tax-exempt state and local
obligations, see Rev. Proc. 96-16, 1996-1 C.B. 630.

Issues under the jurisdiction of the Associate Chief Counsel (Income Tax and Accounting)

.03 Issues under the jurisdiction of the Associate Chief Counsel (Income Tax and Accounting) include those that involve recognition and timing of income and deductions of individuals and corporations, sales and exchanges, capital gains and losses, installment sales, equipment leasing, long-term contracts, inventories, amortization, depreciation, the alternative minimum tax, net operating losses generally, including changes in method of accounting for these issues, and accounting periods. (Note that certain issues involving individual retirement accounts (IRAs) are under the jurisdiction of the Commissioner, Tax Exempt and Government Entities Division. See section 4.02, this revenue procedure).

Issues under the jurisdiction of the Associate Chief Counsel (International)

.04 Issues under the jurisdiction of the Associate Chief Counsel (International) include the tax treatment of nonresident aliens and foreign corporations, withholding of tax on nonresident aliens and foreign corporations, foreign tax credit, determination of sources of income, income from sources outside the United States, subpart F questions, domestic international sales corporations (DISCs), foreign sales corporations (FSCs), exclusions under § 114 for extraterritorial income (ETI), international boycott determinations, treatment of certain passive foreign investment companies, income affected by treaty, U.S. possessions, and other matters relating to the activities of non-U.S. persons within the United States or U.S .- related persons outside the United States, and changes in method of accounting for these persons. For the procedures to obtain advance pricing agreements under § 482, see Rev. Proc. 2006-9, 2006-1 C.B. 278, as modified by Rev. Proc. 2008-31, 2008-1 C.B. 1133.

For competent authority procedures related to bilateral and multilateral advance pricing agreements, see Rev. Proc. 2006-54, 2006-2 C.B. 1035.

Issues under the jurisdiction of the Associate Chief Counsel (Passthroughs and Special Industries)

.05 Issues under the jurisdiction of the Associate Chief Counsel (Passthroughs and Special Industries) include those that involve income taxes of S corporations (except accounting periods and methods) and certain noncorporate taxpayers (including partnerships, common trust funds, and trusts), entity classification, estate (excluding § 6166), gift, generation-skipping transfer, and certain excise taxes, depletion, and other engineering issues, cooperative housing corporations, farmers' cooperatives under § 521, the low-income housing, disabled access, and qualified electric vehicle credits, research and experimental expenditures, shipowners' protection and indemnity associations under § 526, and certain homeowners associations under § 528.

Issues under the jurisdiction of the Associate Chief Counsel (Procedure and Administration)

.06 Issues under the jurisdiction of the Associate Chief Counsel (Procedure and Administra- tion) include those that involve Federal tax procedure and administration, disclosure and privacy law, reporting and paying taxes (including payment of taxes under § 6166), assessing and collecting taxes (including interest and penalties), abating, crediting, or refunding overassess- ments or overpayments of tax, and filing information returns.

Issues under the jurisdiction of the Associate Chief Counsel (Tax Exempt and Government Entities)

.07 Issues under the jurisdiction of the Associate Chief Counsel (Tax Exempt and Government Entities) include those that involve the application of employment taxes and taxes on self- employment income, exemption requirements for tax-exempt organizations, tax treatment (in- cluding application of the unrelated business income tax) of tax-exempt organizations (including federal, state, local, and Indian tribal governments), political organizations described in § 527, qualified tuition programs described in § 529, and trusts described in § 4947(a), certain excise taxes, disclosure obligations and information return requirements of tax-exempt organizations, employee benefit programs (including executive compensation arrangements, qualified retirement plans, deferred compensation plans, and health and welfare benefit programs) and IRAs, issues

integrally related to employee benefit programs and IRAs (such as, for example, the sale of stock
to employee stock ownership plans or eligible worker-owned cooperatives under § 1042), and
changes in method of accounting associated with employee benefit programs.

Note that certain issues involving exempt organizations, employee plans, and government
entities fall under the jurisdiction of the Commissioner, Tax Exempt and Government Entities
Division of the Internal Revenue Service. See Rev. Proc. 2015-4, Rev. Proc. 2015-5, and Rev.
Proc. 2015-6, this Bulletin; and Rev. Proc. 2015-9 and Rev. Proc. 2015-10, next Bulletin.

## SECTION 4. ON WHAT ISSUES MUST WRITTEN ADVICE BE REQUESTED UNDER DIFFERENT PROCEDURES?

### Issues involving alcohol, tobacco, and firearms taxes

.01 The procedures for obtaining letter rulings, closing agreements, determination letters,
information letters, and oral advice that apply to Federal alcohol, tobacco, and firearms taxes
under subtitle E of the Code are under the jurisdiction of the Alcohol and Tobacco Tax and Trade
Bureau of the Department of the Treasury.

### Certain issues involving qualified retirement plans, individual retirement accounts (IRAs), and exempt organizations

.02 The procedures for obtaining certain letter rulings, closing agreements, determination
letters, information letters, and oral advice on qualified retirement plans, IRAs, and exempt
organizations that are under the jurisdiction of the Commissioner, Tax Exempt and Government
Entities Division are provided in Rev. Proc. 2015-4, this Bulletin. See also Rev. Proc. 2015-6,
this Bulletin, for the procedures for issuing determination letters on the qualified status of pension,
profit-sharing, stock bonus, annuity, and employee stock ownership plans under §§ 401, 403(a),
409, and 4975(e)(7), and the status for exemption of any related trusts or custodial accounts under
§ 501(a). See also Rev. Proc. 2015-5, this Bulletin, and Rev. Proc. 2015-9 and Rev. Proc.
2015-10, next Bulletin, for the procedures for issuing determination letters on the tax-exempt
status of organizations under § 501 and § 521, the foundation status of organizations described
in § 501(c)(3) and the foundation status of nonexempt charitable trusts described in § 4947(a)(1).

For the user fee requirements applicable to requests under the jurisdiction of the Commissioner,
Tax Exempt and Government Entities Division, see Rev. Proc. 2015-8, this Bulletin.

## SECTION 5. UNDER WHAT CIRCUMSTANCES DO THE ASSOCIATE OFFICES ISSUE LETTER RULINGS?

### In income and gift tax matters

.01 In income and gift tax matters, an Associate office generally issues a letter ruling on a
proposed transaction or on a completed transaction if the letter ruling request is submitted before
the return is filed for the year in which the transaction is completed. An Associate office will not
ordinarily issue a letter ruling on a completed transaction if the letter ruling request is submitted
after the return is filed for the year in which the transaction is completed. "Not ordinarily" means
that unique and compelling reasons must be demonstrated to justify the issuance of a letter ruling
submitted after the return is filed for the year in which the transaction is completed. The taxpayer
must contact the Field office having audit jurisdiction over their return and obtain the Field's
consent to the issuance of such a letter ruling.

### Special relief for late S corporation and related elections in lieu of letter ruling process

.02 In lieu of requesting a letter ruling under this revenue procedure, a taxpayer may obtain
relief for certain late S corporation and related elections by following the procedure in Rev. Proc.
2013-30, 2013-36 I.R.B. 173. This procedure is in lieu of the letter ruling process and does not
require payment of any user fee. See section 3.01 of Rev. Proc. 2013-30, and section 15.03(3) of
this revenue procedure.

A § 301.9100 request for
extension of time for
making an election or for
other relief

.03 An Associate office will consider a request for an extension of time for making an election
or other application for relief under § 301.9100-3 of the Treasury Regulations, even if submitted
after the return covering the issue presented in the § 301.9100 request has been filed, an
examination of the return has begun, or the issues in the return are being considered by Appeals
or a Federal court. Except for certain requests pertaining to applications for recognition of tax
exemption under the jurisdiction of the Commissioner, Tax Exempt and Government Entities
Division, a § 301.9100 request is a letter ruling request. Therefore, the § 301.9100 request should
be submitted pursuant to this revenue procedure. However, a § 301.9100 request involving
recharacterization of an IRA (see § 1.408A-5, Q&A-6) should be submitted pursuant to Rev.
Proc. 2015-4. An election made pursuant to § 301.9100-2 for an automatic extension of time is
not a letter ruling request and does not require payment of any user fee. See § 301.9100-2(d) and
section 15.03(1) of this revenue procedure.

(1) Format of request. A § 301.9100 request (other than an election made pursuant to
§ 301.9100-2 and certain requests pertaining to applications for recognition of tax exemption
under the jurisdiction of the Commissioner, Tax Exempt and Government Entities Division) must
be in the general form of, and meet the general requirements for, a letter ruling request. These
requirements are given in section 7 of this revenue procedure. A § 301.9100 request must include
an affidavit and declaration from the taxpayer and other parties having knowledge or information
about the events that led to the failure to make a valid regulatory election and to the discovery of
the failure. See §§ 301.9100-3(e)(2) and (e)(3). In addition, a § 301.9100 request must include
the information required by § 301.9100-3(e)(4).

(2) Period of limitation. The filing of a request for relief under § 301.9100 does not suspend
the running of any applicable period of limitation. See § 301.9100-3(d)(2). The Associate office
ordinarily will not issue a § 301.9100 ruling if the period of limitation on assessment under
§ 6501(a) for the taxable year in which an election should have been made, or for any taxable
years that would have been affected by the election had it been timely made, will expire before
receipt of a § 301.9100 letter ruling. See § 301.9100-3(c)(1)(ii). If, however, the taxpayer
consents to extend the period of limitation on assessment under § 6501(c)(4) for the taxable year
in which the election should have been made and for any taxable years that would have been
affected by the election had it been timely made, the Associate office may issue the letter ruling.
See § 301.9100-3(d)(2). Note that the filing of a claim for refund under § 6511 does not extend
the period of limitation on assessment. If § 301.9100-3 relief is granted, the Associate office may
require the taxpayer to consent to an extension of the period of limitation on assessment. See
§ 301.9100-3(d)(2).

(3) Taxpayer must notify the Associate office if examination of its return begins while the
request is pending. The taxpayer must notify the Associate office if the Service begins an
examination of the taxpayer's return for the taxable year in which an election should have been
made, or for any taxable years that would have been affected by the election had it been timely
made, while a § 301.9100-3 request is pending. This notification must include the name and
telephone number of the examining agent. See § 301.9100-3(e)(4)(i) and section 7.04(1)(b) of
this revenue procedure.

(4) Associate office will notify examination agent, appeals officer, or attorney of a
§ 301.9100 request if the taxpayer's return is being examined by a Field office or is being
considered by an Appeals office or a Federal court. If the taxpayer's return for the taxable year

in which an election should have been made, or for any taxable years that would have been
affected by the election had it been timely made, is being examined by a Field office or considered
by an Appeals office or a Federal court, the Associate office will notify the appropriate
examination agent, appeals officer, or attorney that a § 301.9100 request has been submitted to
the Associate office. The examination agent, appeals officer, or attorney is not authorized to deny
consideration of a § 301.9100 request. The letter ruling will be mailed to the taxpayer and a copy
will be sent to the appeals officer, attorney, or appropriate Service official in the operating
division that has examination jurisdiction over the taxpayer's tax return.

(5) Inclusion of statement required by section 4.04 of Rev. Proc. 2009-41. Eligible entities
requesting a letter ruling because they do not meet all of the eligibility requirements of section
4.01 of Rev. Proc. 2009-41, 2009-39 I.R.B. 439, must include either the following representa-
tion as part of the entity's request for a letter ruling or an explanation regarding why they do not
qualify to do so: "All required U.S. tax and information returns of the entity (or, if the entity was
not required to file any such returns under the desired classification, then all required U.S. tax and
information returns of each affected person as defined in Section 4.02 of Rev. Proc. 2009-41)
were filed timely or within 6 months of the due date of the respective return (excluding
extensions) as if the entity classification election had been in effect on the requested date. No U.S.
tax or information returns were filed inconsistently with those described in the prior sentence."

(6) Relief for late initial classification election. In lieu of requesting a letter ruling under
§ 301.9100-1 through § 301.9100-3 and this revenue procedure, entities that satisfy the
requirements set forth in section 4.01 of Rev. Proc. 2009-41, 2009-39 I.R.B. 439, may apply for
late classification election relief under Rev. Proc. 2009-41. Requests for such relief are not
subject to user fees. See section 3.01 of Rev. Proc. 2009-41 and section 15.03(2) of this revenue
procedure.

Determinations under
§ 999(d)

.04 As provided in Rev. Proc. 77-9, 1977-1 C.B. 542, the Associate Chief Counsel (Interna-
tional) issues determinations under § 999(d) that may deny certain benefits of the foreign tax
credit and the deferral of earnings of foreign subsidiaries and domestic international sales
corporations (DISCs) to a person if that person is a member of a controlled group (within the
meaning of § 993(a)(3)) that includes the person, or a foreign corporation of which a member of
the controlled group is a United States shareholder, that agrees to participate in, or cooperate with,
an international boycott. The same principles shall apply with respect to exclusions under § 114
for exterritorial income (ETI). Requests for determinations under Rev. Proc. 77-9 are letter ruling
requests and should be submitted to the Associate office pursuant to this revenue procedure.

### In matters involving § 367

.05 Unless the issue is covered by section 6 of this revenue procedure, the Associate Chief
Counsel (International) may issue a letter ruling under § 367 even if the taxpayer does not request
a letter ruling as to the characterization of the transaction under the reorganization provisions of
the Code. The Associate office will determine the § 367 consequences of a transaction based on
the taxpayer's characterization of the transaction but will indicate in the letter ruling that it
expresses no opinion as to the characterization of the transaction under the reorganization. The
Associate office may decline to issue a § 367 ruling in situations in which the taxpayer
inappropriately characterizes the transaction under the reorganization provisions.

### In estate tax matters

.06 In general, the Associate Chief Counsel (Passthroughs and Special Industries) issues letter
rulings on transactions affecting the estate tax on the prospective estate of a living person. The
Associate office will not issue letter rulings for prospective estates on computations of tax,
actuarial factors, or factual matters. With respect to the transactions affecting the estate tax of the
decedent's estate, generally the Associate office issues letter rulings before the decedent's estate
tax return is filed.

If the taxpayer is requesting a letter ruling regarding a decedent's estate tax and the estate tax
return is due to be filed before the letter ruling is expected to be issued, the taxpayer should obtain
an extension of time for filing the return and should notify the Associate office branch considering
the letter ruling request that an extension has been obtained.

If the return is filed before the letter ruling is received from the Associate office, the taxpayer
must disclose on the return that a letter ruling has been requested, attach a copy of the pending
letter ruling request to the return, and notify the Associate office that the return has been filed. See
section 7.04(2) of this revenue procedure. The Associate office will make every effort to issue the
letter ruling within 3 months of the date the return was filed.

If the taxpayer requests a letter ruling after the return is filed, but before the return is examined,
the taxpayer must notify the Field office having jurisdiction over the return that a letter ruling has
been requested, attach a copy of the pending letter ruling request, and notify the Associate office
that a return has been filed. See section 7.04(2) of this revenue procedure. The Associate office
will make every effort to issue the letter ruling within 3 months of the date the return has been
filed.

If the letter ruling cannot be issued within that 3-month period, the Associate office will notify
the Field office having jurisdiction over the return, which may, by memorandum to the Associate
office, grant an additional period for the issuance of the letter ruling.

In matters involving
additional estate tax under
§ 2032A(c)

.07 In matters involving additional estate tax under § 2032A(c), the Associate Chief Counsel
(Passthroughs and Special Industries) issues letter rulings on proposed transactions and on
completed transactions that occurred before the return is filed.

### In matters involving qualified domestic trusts under § 2056A

.08 In matters involving qualified domestic trusts under § 2056A, the Associate Chief Counsel
(Passthroughs and Special Industries) issues letter rulings on proposed transactions and on
completed transactions that occurred before the return is filed.

In generation-skipping
transfer tax matters

.09 In general, the Associate Chief Counsel (Passthroughs and Special Industries) issues letter
rulings on proposed transactions that affect the generation-skipping transfer tax and on completed
transactions that occurred before the return is filed. In the case of a generation-skipping trust or
trust equivalent, letter rulings are issued either before or after the trust or trust equivalent has been
established.

In employment and excise
tax matters

.10 In employment and excise tax matters, the Associate offices issue letter rulings on proposed
transactions and on completed transactions either before or after the return is filed for those
transactions.

Letter ruling requests regarding employment status (employer/employee relationship) from
Federal agencies and instrumentalities or their workers must be submitted to the Internal Revenue
Service at the address set forth on the current Form SS-8, Determination of Worker Status for
Purposes of Federal Employment Taxes and Income Tax Withholding. If the Federal agency or
instrumentality service recipient (the firm) makes the request, the firm will receive any issued
letter ruling. A copy will also be sent to any identified workers. If the worker makes the request
and the firm has been contacted for information, both the worker and the firm will receive any
issued letter ruling. The letter ruling will apply to any individuals engaged by the firm under
substantially similar circumstances. See section 12.04 of this revenue procedure for requests
regarding employment status made by taxpayers other than Federal agencies and instrumentalities
or their workers.

Sec. 5.10
January 2, 2015

In procedural and administrative matters

.11 The Associate Chief Counsel (Procedure and Administration) issues letter rulings on matters arising under the Code and related statutes and regulations that involve the time, place, manner, and procedures for reporting and paying taxes; or the filing of information returns.

In Indian tribal government matters

.12 Pursuant to Rev. Proc. 84-37, 1984-1 C.B. 513, as modified by Rev. Proc. 86-17, 1986-1 C.B. 550, and this revenue procedure, the Office of Associate Chief Counsel (Tax Exempt and Government Entities) issues determinations recognizing a tribal entity as an Indian tribal gov- ernment within the meaning of § 7701(a)(40) or as a political subdivision of an Indian tribal government under § 7871(d) if it determines, after consultation with the Secretary of the Interior, that the entity satisfies the statutory definition of an Indian tribal government or has been delegated governmental functions of an Indian tribal government. Requests for determinations under Rev. Proc. 84-37 are letter ruling requests, and, therefore, should be submitted to the Office of Associate Chief Counsel (Tax Exempt and Government Entities) pursuant to this revenue procedure.

(1) Definition of Indian tribal government. The term "Indian tribal government" is defined under § 7701(a)(40) to mean the governing body of any tribe, band, community, village, or group of Indians, or (if applicable) Alaska Natives, which is determined by the Secretary of the Treasury, after consultation with the Secretary of the Interior, to exercise governmental functions. Section 7871(d) provides that, for purposes of § 7871(a), a subdivision of an Indian tribal government shall be treated as a political subdivision of a state if the Secretary of the Treasury determines, after consultation with the Secretary of the Interior, that the subdivision has been delegated the right to exercise one or more of the substantial governmental functions of the Indian tribal government. (2) Inclusion in list of tribal governments. Rev. Proc. 2008-55, 2008-2 C.B. 768, designates the Indian tribal entities that appear on the current or future lists of federally recognized Indian tribes published annually by the Department of the Interior, Bureau of Indian Affairs, as Indian tribal governments that are treated similarly to states for certain Federal tax purposes. Rev. Proc. 84-36, 1984-1 C.B. 510, as modified by Rev. Proc. 86-17, 1986-1 C.B. 550, provides a list of political subdivisions of Indian tribal governments that are treated as political subdivisions of states for certain Federal tax purposes. Under Rev. Proc. 84-37, as modified by Rev. Proc. 86-17, tribal governments or subdivisions recognized under § 7701(a)(40) or § 7871(d) will be included in the list of recognized tribal government entities in future lists of federally recognized Indian tribes published annually by the Department of the Interior, Bureau of Indian Affairs, or revised versions of Rev. Proc. 84-36.

On constructive sales price under § 4216(b) or § 4218(c)

.13 The Associate Chief Counsel (Passthroughs and Special Industries) will issue letter rulings in all cases on the determination of a constructive sales price under § 4216(b) or § 4218(c) and in all other cases on prospective transactions if the law or regulations require a determination of the effect of a proposed transaction for Federal tax purposes. See section 6.14(5) of this revenue procedure.

In exempt organizations matters

.14 In exempt organizations matters, the Associate Chief Counsel (Tax Exempt and Govern- ment Entities) generally issues letter rulings on proposed transactions or on completed transac- tions if the letter ruling request is submitted before the return is filed for the year in which the transaction is completed. The Associate Chief Counsel (Tax Exempt and Government Entities) will not ordinarily issue a letter ruling on a completed transaction if the letter ruling request is submitted after the return is filed for the year in which the transaction is completed. "Not ordinarily" means that unique and compelling reasons must be demonstrated to justify the issuance of a letter ruling submitted after the return is filed for the year in which the transaction is completed. The taxpayer must contact the Field office having audit jurisdiction over their return and obtain the Field's consent to the issuance of such a letter ruling.

### In qualified retirement plan and IRA matters

.15 In qualified retirement plan and IRA matters, (other than those listed in Rev. Proc. 2015-4),
the Associate Chief Counsel (Tax Exempt and Government Entities) will generally issue letter
rulings on proposed transactions and on completed transactions either before or after the return
is filed, including those involving:

(1) §§ 72 (other than the computation of the exclusion ratio), 219, 381(c)(11), 402, 403(b)
(except with respect to whether the form of a plan satisfies the requirements of § 403(b) as noted
in Ann. 2009-89), 404, 408, 408A, 412, 414(e), 511 through 514, 4971(b) and (g), 4972, 4973,
4974, 4978, 4979, and 4980;

(2) Waiver of the minimum funding standard (see Rev. Proc. 2004-15, 2004-1 C.B. 490);

(3) Waiver under § 4980F(c)(4) of all or part of the excise tax imposed for failure to satisfy
the notice requirements described in § 4980F(e);

(4) Whether a plan amendment is reasonable and provides for only de minimis increases in
plan liabilities in accordance with §§ 401(a)(33) and 412(c)(7)(B)(i) of the Code (see Rev. Proc.
79-62, 1979-2 C.B. 576);

(5) With respect to employee stock ownership plans and tax credit employee stock owner-
ship plans, §§ 409(l), 409(n), and 4975(d)(3) (other subsections of §§ 409 and 4975(e)(7) involve
qualification issues within the jurisdiction of Employee Plans Determinations);

(6) Abatement of first tier excise taxes under § 4962;

(7) Relief under § 301.9100-1 that is not related to Roth IRA recharacterizations; and

(8) Grants of extensions of time other than pursuant to § 301.9100-1.

Under some circumstances
before the issuance of a
regulation or other
published guidance

.16 In general, the Service will not issue a letter ruling or determination letter on an issue that
it cannot readily resolve before the promulgation of a regulation or other published guidance. See
section 6.09 of this revenue procedure.

However, an Associate office may issue letter rulings under the following conditions:

(1) Answer is clear or is reasonably certain. If the letter ruling request presents an issue for
which the answer seems clear by applying the statute, regulations, and applicable case law to the
facts or for which the answer seems reasonably certain but not entirely free from doubt.

(2) Answer is not reasonably certain. If the letter ruling request presents an issue for which
the answer does not seem reasonably certain, the Associate office may issue the letter ruling,
using its best efforts to arrive at a determination, if it is in the best interest of tax administration.

## SECTION 6. UNDER WHAT CIRCUMSTANCES DOES THE SERVICE NOT ISSUE LETTER RULINGS OR DETERMINATION LETTERS?

Ordinarily not if the
request involves an issue
under examination or
consideration or in
litigation

.01 The Service ordinarily does not issue a letter ruling or a determination letter if, at the time
of the request, the identical issue is involved in the taxpayer's return for an earlier period and that
issue-

(1) is being examined by a Field office;

(2) is being considered by Appeals;

(3) is pending in litigation in a case involving the taxpayer or a related taxpayer;

(4) has been examined by a Field office or considered by Appeals and the statutory period of
limitations on assessment or on filing a claim for refund or credit of tax has not expired; or

(5) has been examined by a Field office or considered by Appeals and a closing agreement
covering the issue or liability has not been entered into by a Field office or by Appeals.

If a return dealing with an issue for a particular year is filed while a request for a letter ruling
on that issue is pending, an Associate office will issue the letter ruling unless it is notified by the
taxpayer or otherwise learns that an examination of that issue or the identical issue on an earlier
year's return has been started by a Field office. See section 7.04 of this revenue procedure. In
income and gift tax matters, as well as in qualified retirement plan, IRA, and exempt organizations
matters, even if an examination has begun, an Associate office ordinarily will issue the letter
ruling if the Field office agrees by memorandum to the issuance of the letter ruling.

Ordinarily not in certain
areas because of factual
nature of the problem or
for other reasons

.02 The Service ordinarily does not issue letter rulings or determination letters in certain areas
because of the factual nature of the matter involved or for other reasons. Rev. Proc. 2015-3, this
Bulletin, and Rev. Proc. 2015-7, this Bulletin, provide a list of these areas. This list is not
all-inclusive because the Service may decline to issue a letter ruling or a determination letter when
appropriate in the interest of sound tax administration, including due to resource constraints, or
on other grounds whenever warranted by the facts or circumstances of a particular case.

Instead of issuing a letter ruling or determination letter, the Service may, when it is considered
appropriate and in the interest of sound tax administration, issue an information letter calling
attention to well-established principles of tax law.

If the Service determines that it is not in the interest of sound tax administration to issue a letter
ruling or determination letter due to resource constraints, it will adopt a consistent approach with
respect to taxpayers that request a ruling on the same issue. The Service will also consider adding
the issue to the no rule list at the first opportunity. See sections 2.01 and 3.02 of Rev. Proc.
2015-3, this Bulletin.

Ordinarily not on part of
an integrated transaction

.03 An Associate office ordinarily will not issue a letter ruling on only part of an integrated
transaction. If a part of a transaction falls under a no-rule area, a letter ruling on other parts of the

transaction may be issued. Before preparing the letter ruling request, a taxpayer should call a
branch having jurisdiction for the matters on which the taxpayer is seeking a letter ruling to
discuss whether the Associate office will issue a letter ruling on part of the transaction.

In addition, the Service will not rule on the qualification of any transaction under § 332, 351,
355, or 1036, or on whether a transaction constitutes a reorganization within the meaning of
§ 368, regardless of whether such transaction is part of an integrated transaction (see section
3.01(48) of Rev. Proc. 2015-3, this Bulletin). Instead, the Associate Chief Counsel (Corporate)
will only issue a letter ruling on significant issues (within the meaning of section 3.01(48) of Rev.
Proc. 2015-3) presented in a transaction described in § 332, 351, 355, 368, or 1036. For example,
the Service may rule on significant issues under § 1.368-1(d) (continuity of business enterprise)
and § 1.368-1(e) (continuity of interest). Letter rulings requested under this section 6.03 are
subject to the no-rule policies of Rev. Proc. 2015-3. In addition, the Service will not rule on the
tax consequences that result from the application of § 332, 351, 355, 368, or 1036 (including
nonrecognition and basis) except to the extent of a significant issue and only to the extent
consistent with the no-rule policies of Rev. Proc. 2015-3.

Before preparing a letter ruling request under this section involving significant issues presented
in a transaction described in § 332, 351, 355, 368, or 1036, a taxpayer is encouraged to call the
Office of Associate Chief Counsel (Corporate) at the telephone number provided in section
10.07(1)(a) of this revenue procedure to discuss whether the Service will entertain a letter ruling
request under this section 6.03. The Service reserves the right to rule on any other aspect of the
transaction (including ruling adversely) to the extent the Service believes it is in the best interests
of tax administration. Cf. section 2.01 of Rev. Proc. 2015-3.

Taxpayers may request rulings on one or more significant issues in a single letter ruling request.
Letter ruling requests under this section 6.03 must include the following for each significant issue:

(1) A narrative description of the transaction that puts the issue in context;

(2) A statement identifying the issue;

(3) An analysis of the relevant law, which should set forth the authorities most closely related
to the issue and explain why these authorities do not resolve the issue, and an explanation
concerning why the issue is significant within the meaning of section 3.01(48) of Rev. Proc.
2015-3;

(4) Information and representations relevant to the issue. Taxpayers should consult other
published authorities (see, for example, Appendix G of this revenue procedure, which identifies
certain checklist and guideline revenue procedures), including those modified by Rev. Proc.
2013-32, 2013-28 I.R.B. 55 (e.g., Rev. Proc. 96-30, 1996-1 C.B. 696), and other authorities
(e.g., Rev. Rul. 73-234, 1973-1 C.B. 180 (applying § 355(b) to the activities performed by
employees of a corporation engaged in a farming business)), to identify information or repre-
sentations but only to the extent that they relate to the issue; and

(5) The precise ruling(s) requested.

If the Service issues a letter ruling on a significant issue under this revenue procedure, then the
letter ruling will state that no opinion is expressed as to any issue or step not specifically addressed
by the letter. In addition, letter rulings issued under this revenue procedure will contain the
following (or similar) language:

This letter is issued pursuant to section 6.03 of Rev. Proc. 2015-1, 2015-1 I.R.B. 1, regarding one or more significant issues under sections 332, 351, 355, 368, or 1036. The ruling[s] contained in this letter only address[es] one or more discrete legal issues involved in the transaction. This Office expresses no opinion as to the overall tax consequences of the transactions described in this letter or as to any issue not specifically addressed by the ruling[s] below.

Ordinarily not on which of two entities is a common law employer

.04 The Service ordinarily does not issue a letter ruling or a determination letter on which of two entities, under common law rules applicable in determining the employer-employee rela- tionship, is the employer, when one entity is treating the worker as an employee.

Ordinarily not to business associations or groups

.05 The Service ordinarily does not issue letter rulings or determination letters to business, trade, or industrial associations or to similar groups concerning the application of the tax laws to members of the group. Groups and associations, however, may submit suggestions of generic issues that could be appropriately addressed in revenue rulings. See Rev. Proc. 89-14, 1989-1 C.B. 814, which states the objectives of, and standards for, the publication of revenue rulings and revenue procedures in the Internal Revenue Bulletin.

The Service may issue letter rulings or determination letters to groups or associations on their own tax status or liability if the request meets the requirements of this revenue procedure.

Ordinarily not where the request does not address the tax status, liability, or reporting obligations of the requester

.06 The Service ordinarily does not issue letter rulings or determination letters regarding the tax consequences of a transaction for taxpayers who are not directly involved in the request if the requested letter ruling or determination letter would not address the tax status, liability, or reporting obligations of the requester. For example, a taxpayer may not request a letter ruling relating to the tax consequences of a transaction to a customer or client, if the tax status, liability, or reporting obligations of the taxpayer would not be addressed in the ruling, because the customer or client is not directly involved in the letter ruling request. The tax liability of each shareholder is, however, directly involved in a letter ruling on the reorganization of a corporation. Accordingly, a corporate taxpayer could request a letter ruling that solely addressed the tax consequences to its shareholders of a proposed reorganization.

Rev. Proc. 96-16, 1996-1 C.B. 630, sets forth rules for letter ruling requests involving tax-exempt state and local government obligations.

Ordinarily not to foreign governments

.07 The Service ordinarily does not issue letter rulings or determination letters to foreign governments or their political subdivisions about the U.S. tax effects of their laws. The Associate offices also do not issue letter rulings on the effect of a tax treaty on the tax laws of a treaty country for purposes of determining the tax of the treaty country. See section 13.02 of Rev. Proc. 2006-54, 2006-2 C.B. 1035. Treaty partners can continue to address matters such as these under the provisions of the applicable tax treaty. In addition, the Associate offices may issue letter rulings to foreign governments or their political subdivisions on their own tax status or liability under U.S. law if the request meets the requirements of this revenue procedure.

Ordinarily not on Federal tax consequences of proposed legislation

.08 The Associate offices ordinarily do not issue letter rulings on a matter involving the Federal tax consequences of any proposed Federal, state, local, municipal, or foreign legislation. The Office of Associate Chief Counsel (Tax Exempt and Government Entities) may issue letter rulings regarding the effect of proposed state, local, or municipal legislation upon an eligible deferred compensation plan under § 457(b) provided that the letter ruling request relating to the plan complies with the other requirements of this revenue procedure. The Associate offices also may provide general information in response to an inquiry.

### Ordinarily not before issuance of a regulation or other published guidance

.09 Generally, the Service will not issue a letter ruling or a determination letter if the request
presents an issue that cannot be readily resolved before a regulation or any other published
guidance is issued. When the Service has closed a regulation project or any other published
guidance project that might have answered the issue or decided not to open a regulation project
or any other published guidance project, the Associate offices may consider all letter ruling
requests unless the issue is covered by section 6 of this revenue procedure, Rev. Proc. 2015-3,
this Bulletin, or Rev. Proc. 2015-7, this Bulletin.

### Not on frivolous issues

.10 The Service will not issue a letter ruling or a determination letter on frivolous issues. A
"frivolous issue" is one without basis in fact or law or one that asserts a position that courts have
held frivolous or groundless. Examples of frivolous or groundless issues include, but are not
limited to:

(1) frivolous "constitutional" claims, such as claims that the requirement to file tax returns and
pay taxes constitutes an unreasonable search barred by the Fourth Amendment, violates Fifth and
Fourteenth Amendment protections of due process, violates Thirteenth Amendment protections
against involuntary servitude, or is unenforceable because the Sixteenth Amendment does not
authorize nonapportioned direct taxes or was never ratified;

(2) claims that income taxes are voluntary, that the term "income" is not defined in the Internal
Revenue Code, or that preparation and filing of Federal income tax returns violates the Paperwork
Reduction Act;

(3) claims that tax may be imposed only on coins minted under a gold or silver standard or that
receipt of Federal Reserve Notes does not cause an accretion to wealth;

(4) claims that a person's income is not taxable because he or she falls within a class entitled
to "reparation claims" or an extra-statutory class of individuals exempt from tax, e.g., "free-born"
individuals;

(5) claims that a taxpayer can refuse to pay taxes on the basis of opposition to certain
Governmental expenditures;

(6) claims that taxes apply only to Federal employees; only to residents of Puerto Rico, Guam,
the U.S. Virgin Islands, the District of Columbia, or "Federal enclaves;" or that §§ 861 through
865 or any other provision of the Code imposes taxes on U.S. citizens and residents only on
income derived from foreign based activities;

(7) claims that wages or personal service income are "not income," are "nontaxable receipts,“
or are a "nontaxable exchange for labor;"

(8) claims that income tax withholding by an employer on wages is optional; or

(9) other claims that the courts have characterized as frivolous or groundless.

Additional examples of frivolous or groundless issues may be found in IRS publications and
other guidance (including, but not limited to, Notice 2010-33, Frivolous Positions, and I.R.M.
4.10.12.1.1, Frivolous Arguments).

No "comfort" letter rulings

.11 A letter ruling will not be issued with respect to an issue that is clearly and adequately addressed by statute, regulations, decision of a court, revenue rulings, revenue procedures, notices, or other authority published in the Internal Revenue Bulletin (Comfort Ruling). However, except with respect to issues under § 332, 351, 355, 368, or 1036 and the tax consequences resulting from the application of such Code sections (see generally section 6.03), the Associate office may, in its discretion, decide to issue a Comfort Ruling if the Associate office is otherwise issuing a letter ruling to the taxpayer on another issue arising in the same transaction.

Not on alternative plans or hypothetical situations

.12 The Service will not issue a letter ruling or a determination letter on alternative plans of proposed transactions or on hypothetical situations.

Not on property conversion after return filed

.13 An Associate office will not issue a letter ruling on the replacement of involuntarily converted property, whether or not the property has been replaced, if the taxpayer has already filed a Federal tax return for the taxable year in which the property was converted. A Director may issue a determination letter in this case. See section 12.01 of this revenue procedure.

Circumstances under which determination letters are not issued by a Director

.14 A Director will not issue a determination letter if- (1) the taxpayer has directed a similar inquiry to an Associate office;

(2) the same issue, involving the same taxpayer or a related taxpayer, is pending in a case in litigation or before Appeals;

(3) the request involves an industry-wide problem;

(4) the specific employment tax question at issue in the request has been, or is being, considered by the Central Office of the Social Security Administration or the Railroad Retirement Board for the same taxpayer or a related taxpayer; or

(5) the request is for a determination of constructive sales price under § 4216(b) or § 4218(c), which deal with special provisions applicable to the manufacturers excise tax. The Associate Chief Counsel (Passthroughs and Special Industries) will, in certain circumstances, issue letter rulings in this area. See section 5.13 of this revenue procedure.

SECTION 7. WHAT ARE THE GENERAL INSTRUCTIONS FOR REQUESTING LETTER RULINGS AND DETERMINATION LETTERS?

This section provides the general instructions for requesting letter rulings and determination letters. See section 9 of this revenue procedure for the specific and additional procedures for requesting a change in method of accounting. Requests for letter rulings, closing agreements, and determination letters require the payment of the applicable user fee listed in Appendix A of this revenue procedure. Certain changes in method of accounting under the automatic change request procedures (see section 9.01(1) of this revenue procedure) and certain changes in accounting periods made under automatic change request procedures do not require payment of a user fee (see Appendix G of this revenue procedure). For additional user fee requirements, see section 15 of this revenue procedure.

Specific and additional instructions also apply to requests for letter rulings and determination
letters on certain matters. Those matters are listed in Appendix G of this revenue procedure with
a reference (usually to another revenue procedure) where more information can be obtained.

### Documents and information required in all requests Facts

.01

(1) Complete statement of facts and other information. Each request for a letter ruling or a
determination letter must contain a complete statement of all facts relating to the transaction.
These facts include-

(a) names, addresses, telephone numbers, and taxpayer identification numbers of all interested
parties (the term "all interested parties" does not mean all shareholders of a widely held
corporation requesting a letter ruling relating to a reorganization or all employees where a large
number may be involved);

(b) the annual accounting period, and the overall method of accounting (cash or accrual) for
maintaining the accounting books and filing the Federal income tax return, of all interested
parties;

(d) a complete statement of the business reasons for the transaction;

(e) a detailed description of the transaction; and

(f) all other facts relating to the transaction or to the taxpayer's requested tax treatment thereof.

### Documents and foreign laws

(2) Copies of all contracts, wills, deeds, agreements, instruments, other documents
pertinent to the transaction, and foreign laws.

(a) Documents. True copies of all contracts, wills, deeds, agreements, instruments, trust
documents, proposed disclaimers, and other documents pertinent to the transaction must be
submitted with the request.

If the request concerns a corporate distribution, reorganization, or similar transaction, the
corporate balance sheet and profit and loss statement should also be submitted. If the request
relates to a prospective transaction, the most recent balance sheet and profit and loss statement
should be submitted.

If any document, including any balance sheet and profit and loss statement, is in a language
other than English, the taxpayer must also submit a certified English translation of the document,
along with a true copy of the document. For guidelines on the acceptability of such documents,
see paragraph (c) of this section 7.01(2).

Each document other than the request should be labeled and attached to the request in
alphabetical sequence. Original documents such as contracts, wills, etc., should not be submitted
because they become part of the Service's file and will not be returned.

(b) Foreign laws. The taxpayer must submit with the request a copy of the relevant parts of
all foreign laws, including statutes, regulations, administrative pronouncements, and any other
relevant legal authority. The documents submitted must be in the official language of the country
involved and must be copied from an official publication of the foreign government or another

widely available and generally accepted publication. If English is not the official language of the
country involved, the taxpayer must also submit a copy of an English language version of the
relevant parts of all foreign laws. This translation must be: (i) from an official publication of the
foreign government or another widely available, generally accepted publication; or (ii) a certified
English translation submitted in accordance with paragraph (c) of this section 7.01(2).

The taxpayer must identify the title and date of publication, including updates, of any widely
available and generally accepted publication that the taxpayer (or the taxpayer's qualified
translator) uses as a source for the relevant parts of the foreign law.

(c) Standards for acceptability of submissions of documents in a language other than
English and certified English translations of laws in a language other than English. The
taxpayer must submit with the request an accurate and complete certified English translation of
the relevant parts of all contracts, wills, deeds, agreements, instruments, trust documents,
proposed disclaimers, and other documents pertinent to the transaction that are in a language other
than English. If the taxpayer chooses to submit certified English translations of foreign laws, those
translations must be based on an official publication of the foreign government or another widely
available and generally accepted publication. In either case, the translation must be that of a
qualified translator and must be attested to by the translator. The attestation must contain: (i) a
statement that the translation submitted is a true and accurate translation of the foreign language
document or law; (ii) a statement as to the attestant's qualifications as a translator and as to that
attestant's qualifications and knowledge regarding tax matters or foreign law if the law is not a
tax law; and (iii) the attestant's name and address.

Analysis of material facts

(3) Analysis of material facts. The request must be accompanied by an analysis of facts and
their bearing on the issue or issues. If documents attached to a request contain material facts, they
must be included in the taxpayer's analysis of facts in the request rather than merely incorporated
by reference.

Same issue in an earlier
return under Examination,
before Appeals, before a
Federal Court, or being
Considered by the Pension
Benefit Guaranty
Corporation, by the
Department of Labor, or
by the Department of
Health and Human
Services.

(4) Statement regarding whether same issue is in an earlier return and additional
information required for § 301.9100 requests. The request must state whether, to the best of the
knowledge of both the taxpayer and the taxpayer's representatives, the same issue is addressed in
any return of the taxpayer, a related taxpayer within the meaning of § 267, or of a member of an
affiliated group of which the taxpayer is also a member within the meaning of § 1504, or any
predecessor that-

(a) is currently under examination, before Appeals, or before a Federal court;

(b) was previously under examination, before Appeals, or before a Federal court;

(c) in qualified retirement plan matters, is being considered by the Pension Benefit Guaranty
Corporation or the Department of Labor; or

(d) in health care matters, is being considered by the Department of Labor or the Department
of Health and Human Services.

The Service will not ordinarily issue a letter ruling or determination letter if, at the time of the
request, the identical issue is under examination or consideration or in litigation. See section 6.01
in this revenue procedure. A limited exception to the above rule is made for a § 301.9100 request.
See section 5.03 in this revenue procedure.

If a § 301.9100 request involves a tax year that is currently under examination, before Appeals,
or before a Federal court, the taxpayer must notify the Service, as outlined above. This notification
must include the name and telephone number of the examining agent or appeals officer.

Same or similar issue in a request previously submitted or currently pending

(5) Statement regarding whether same or similar issue was previously ruled on or whether a request involving it was submitted or is currently pending. The request must state whether, to the best of the knowledge of both the taxpayer and the taxpayer's representatives-

(a) the Service previously ruled on the same or a similar issue for the taxpayer, a related taxpayer within the meaning of § 267, or a member of an affiliated group of which the taxpayer is also a member within the meaning of § 1504, or a predecessor;

(b) the taxpayer, a related taxpayer, a predecessor, or any of their representatives previously submitted a request (including an application for change in method of accounting) involving the same or a similar issue but no letter ruling or determination letter was issued;

(c) the taxpayer, a related taxpayer, or a predecessor previously submitted a request (including an application for change in method of accounting) involving the same or a similar issue that is currently pending with the Service; or

(d) at the same time as this request, the taxpayer or a related taxpayer is presently submitting another request (including an application for change in method of accounting) involving the same or a similar issue.

If the statement is affirmative for (a), (b), (c), or (d) of this section 7.01(5), the statement must give the date the request was submitted, the date the request was withdrawn or ruled on, if applicable, and other details of the Service's consideration of the issue.

Interpretation of a substantive provision of an income or estate tax treaty

(6) Statement regarding interpretation of a substantive provision of an income or estate tax treaty. If the request involves the interpretation of a substantive provision of an income or estate tax treaty, the request must state whether-

(a) the tax authority of the treaty jurisdiction has issued a ruling on the same or similar issue for the taxpayer, a related taxpayer within the meaning of § 267, or a member of an affiliated group of which the taxpayer is also a member within the meaning of § 1504, or any predecessor;

(b) the same or similar issue for the taxpayer, a related taxpayer, or any predecessor is being examined or has been settled by the tax authority of the treaty jurisdiction or is otherwise the subject of a closing agreement in that jurisdiction; and (c) the same or similar issue for the taxpayer, a related taxpayer, or any predecessor is being considered by the competent authority of the treaty jurisdiction.

Letter from Bureau of Indian Affairs relating to certain letter ruling requests

(7) Letter from Bureau of Indian Affairs relating to a letter ruling request for recognition of Indian tribal government status or status as a political subdivision of an Indian tribal government. To facilitate prompt action on a letter ruling request for recognition of Indian tribal government status or status as a political subdivision of an Indian tribal government, the taxpayer must submit with the letter ruling request a letter from the Department of the Interior, Bureau of Indian Affairs ("BIA"), verifying that the tribe is recognized by BIA as an Indian tribe and that the tribal government exercises governmental functions or that the political subdivision of the

Indian tribal government has been delegated substantial governmental functions. A letter ruling
request that does not contain this letter from BIA cannot be resolved until the Service obtains a
letter from BIA regarding the tribe's status.

The taxpayer should send a request to verify tribal status to the following address:

Branch of General Indian Legal Activity
Division of Indian Affairs
Office of the Solicitor
U.S. Department of the Interior
1849 C Street, NW
Washington, DC 20240

Statement of authorities supporting taxpayer's views

(8) Statement of supporting authorities. If the taxpayer advocates a particular conclusion, the taxpayer must include an explanation of the grounds for that conclusion and the relevant authorities to support it. Even if the taxpayer is not advocating a particular tax treatment of a proposed transaction, the taxpayer must furnish views on the tax results of the proposed transaction and a statement of relevant authorities to support those views. In all events, the request must include a statement of whether the law in connection with the request is uncertain and whether the issue is adequately addressed by relevant authorities.

Statement of authorities contrary to taxpayer's views

(9) Statement of contrary authorities. To avoid a delay in the ruling process, contrary authorities should be brought to the attention of the Service at the earliest possible opportunity. If there are significant contrary authorities, it is usually helpful to discuss them in a pre- submission conference prior to submitting the ruling request. See section 10.07 of this revenue procedure regarding pre-submission conferences. The taxpayer is strongly encouraged to inform the Service about, and discuss the implications of, any authority believed to be contrary to the position advanced, such as legislation, tax treaties, court decisions, regulations, notices, revenue rulings, revenue procedures, or announcements. If the taxpayer determines that there are no contrary authorities, a statement in the request to this effect should be included. If the taxpayer does not furnish either contrary authorities or a statement that none exist, the Service in complex cases or those presenting difficult or novel issues may request submission of contrary authorities or a statement that none exist. Failure to comply with this request may result in the Service's refusal to issue a letter ruling or determination letter. The taxpayer's identification of and discussion of contrary authorities will generally enable Service personnel to more quickly understand the issue and relevant authorities. Having this information should make research more efficient and lead to earlier action by the Service. If the taxpayer does not disclose and distinguish significant contrary authorities, the Service may need to request additional information, which will delay action on the request.

Statement identifying pending legislation

(10) Statement identifying pending legislation. When filing the request, the taxpayer must identify any pending legislation that may affect the proposed transaction. In addition, the taxpayer must notify the Service if any such legislation is introduced after the request is filed but before a letter ruling or determination letter is issued.

Deletion statement required by § 6110

(11) Statement identifying information to be deleted from the public inspection copy of letter ruling or determination letter. The text of letter rulings and determination letters is open to public inspection under § 6110. The Service makes deletions from the text before it is made available for inspection. To help the Service make the deletions required by § 6110(c), a request for a letter ruling or determination letter must be accompanied by a statement indicating the

deletions desired, except where a letter ruling or determination letter is open to public inspection
under § 6104. If the deletion statement is not submitted with the request, a Service representative
will tell the taxpayer that the request will be closed if the Service does not receive the deletion
statement within 21 calendar days. See section 8.05 of this revenue procedure.

Section 6110(l)(1) provides that § 6110 disclosure provisions do not apply to any matter to
which § 6104 applies. Therefore, letter rulings, determination letters, technical advice memo-
randa, and related background file documents dealing with the following matters (covered by
§ 6104) are not subject to § 6110 disclosure provisions-

(i) An approved application for exemption under § 501(a) as an organization described in
§ 501(c) or (d), or notice of status as a political organization under § 527, together with any papers
submitted in support of such application or notice;

(ii) An application for exemption under § 501(a) with respect to the qualification of a pension,
profit sharing or stock bonus plan, or an individual retirement account described in § 408 or
§ 408A, or any application for exemption under § 501(a) by an organization forming part of such
a plan or account;

(iii) Any document issued by the Internal Revenue Service in which the qualification or exempt
status of a plan or account is granted, denied, or revoked or the portion of any document in which
technical advice with respect thereto is given;

(iv) Any application filed and any document issued by the Internal Revenue Service with
respect to the qualification or status of master and prototype retirement plans; and

(v) The portion of any document issued by the Internal Revenue Service with respect to the
qualification or exempt status of a retirement plan or account of a proposed transaction by such
plan or account.

(a) Format of deletion statement. A taxpayer who wants only names, addresses, and
identifying numbers to be deleted should state this in the deletion statement. If the taxpayer wants
more information deleted, the deletion statement must be accompanied by a copy of the request
and supporting documents on which the taxpayer should bracket the material to be deleted. The
deletion statement must include the statutory basis under § 6110(c) for each proposed deletion.

If the taxpayer decides to ask for additional deletions before the letter ruling or determination
letter is issued, additional deletion statements may be submitted.

(b) Location of deletion statement. The deletion statement must be made in a separate
document from the request for a letter ruling or determination letter and must be placed on top
of the request.

(c) Signature. The deletion statement must be signed and dated by the taxpayer or the
taxpayer's authorized representative. A stamped signature or faxed signature is not permitted.

(d) Additional information. The taxpayer should follow the same procedures of this section
7.01(11) to propose deletions from any additional information submitted after the initial request.
An additional deletion statement is not required with each submission of additional information
if the taxpayer's initial deletion statement requests that only names, addresses, and identifying

numbers are to be deleted and the taxpayer wants only the same information deleted from the
additional information.

(e) Taxpayer may protest deletions not made. After receiving from the Service the notice
under § 6110(f)(1) of intention to disclose the letter ruling or determination letter (including a
copy of the version proposed to be open to public inspection and notation of third-party
communications under § 6110(d)), the taxpayer may protest the disclosure of certain information
in the letter ruling or determination letter. The taxpayer must send a written statement to the
Service office indicated on the notice of intention to disclose, within 20 calendar days of the date
the notice of intention to disclose is mailed to the taxpayer. The statement must identify those
deletions that the Service has not made and that the taxpayer believes should have been made. The
taxpayer must also submit a copy of the version of the letter ruling or determination letter and
bracket the proposed deletions that have not been made by the Service. Generally, the Service will
not consider deleting any material that the taxpayer did not propose to be deleted before the letter
ruling or determination letter was issued.

Within 20 calendar days after the Service receives the response to the notice under § 6110(f)(1),
the Service will mail to the taxpayer its final administrative conclusion regarding the deletions to
be made. The taxpayer does not have the right to a conference to resolve any disagreements
concerning material to be deleted from the text of the letter ruling or determination letter. These
matters may, however, be taken up at any conference that is otherwise scheduled regarding the
request.

(f) Taxpayer may request delay of public inspection. After receiving the notice of intention
to disclose under § 6110(f)(1), but no later than 60 calendar days after the date of the notice, the
taxpayer may send a written request for delay of public inspection under either § 6110(g)(3) or
(4). The request for delay must be sent to the Service office indicated on the notice of intention
to disclose. A request for delay under § 6110(g)(3) must contain the date on which it is expected
that the underlying transaction will be completed. The request for delay under § 6110(g)(4) must
contain a statement from which the Commissioner of Internal Revenue may determine whether
there are good reasons for the continued delay.

### Signature on request

(12) Signature by taxpayer or authorized representative. The request for a letter ruling or
determination letter must be signed and dated by the taxpayer or the taxpayer's authorized
representative. A stamped signature or faxed signature is not permitted.

### Authorized representatives

#### (13) Authorized representatives.

(a) To sign the request or to appear before the Service in connection with the request, the
taxpayer's authorized representative must be (for rules on who may practice before the Service,
see Treasury Department Circular No. 230, 31 C.F.R. part 10):

(1) An attorney who is a member in good standing of the bar of the highest court of any state,
possession, territory, commonwealth, or the District of Columbia and who is not currently under
suspension or disbarment from practice before the Service. He or she must file a written
declaration with the Service showing current qualification as an attorney and current authorization
to represent the taxpayer;

(2) A certified public accountant who is duly qualified to practice in any state, possession,
territory, commonwealth, or the District of Columbia and who is not currently under suspension
or disbarment from practice before the Service. He or she must file a written declaration with the

Service showing current qualification as a certified public accountant and current authorization to
represent the taxpayer;

(3) An enrolled agent is a person who is currently enrolled as an agent to practice before the
Service and who is not currently under suspension or disbarment from practice before the Service.
He or she must file a written declaration with the Service showing current enrollment and
authorization to represent the taxpayer. The enrollment number must be included in the decla-
ration;

(4) An enrolled actuary is an individual currently enrolled as an actuary by the Joint Board for
the Enrollment of Actuaries pursuant to 29 U.S.C. § 1242 and who is not currently under
suspension or disbarment from practice before the Service. He or she must file a written
declaration with the Service showing current qualification as an enrolled actuary and current
authorization to represent the taxpayer. Practice before the Service as an enrolled actuary is
limited to representation with respect to issues involving §§ 401, 403(a), 404, 412, 413, 414, 419,
419A, 420, 430, 431, 432, 436, 4971, 4972, 4976, 4980, 6057, 6058, 6059, 6652(e), 6652(f),
6692, and 7805(b); former § 405; and 29 U.S.C. § 1083;

(5) An enrolled retirement plan agent is an individual currently enrolled as a retirement plan
agent who is not currently under suspension or disbarment from practice before the Service. He
or she must file a written declaration as an enrolled retirement plan agent and current authori-
zation to represent the taxpayer. Practice before the Service as an enrolled retirement plan agent
is limited to representation with respect to issues involving the following programs: Employee
Plans Determination Letter program; Employee Plans Compliance Resolution System; and
Employee Plans Master and Prototype and Volume Submitter program. Enrolled retirement plan
agents also are generally permitted to represent taxpayers with respect to IRS forms under 5300
and 5500 series, which are filed by retirement plans and plans sponsors, but not with respect to
actuarial forms and schedules; or

(6) Any other person, including a foreign representative, who has received a "Letter of
Authorization" from the Director of the Office of Professional Responsibility under section
10.7(d) of Treasury Department Circular No. 230. A person may make a written request for a
"Letter of Authorization" to: Office of Professional Responsibility, SE:OPR, Internal Revenue
Service, 1111 Constitution Ave., NW, Washington, DC 20224. Section 10.7(d) of Circular No.
230 authorizes the Commissioner to allow an individual who is not otherwise eligible to practice
before the Service to represent another person in a particular matter.

(b) A regular full-time employee representing his or her employer; a general partner repre-
senting his or her partnership; a bona fide officer representing his or her corporation, association,
or organized group; a trustee, receiver, guardian, personal representative, administrator, executor,
or regular full-time employee representing a trust, receivership, guardianship, or estate; or an
individual representing an immediate family member may sign the request or appear before the
Service in connection with the request if the individual provides current authorization to represent
the taxpayer. See section 7.01(14) of this revenue procedure.

A taxpayer may be required to file a Form 8821, Tax Information Authorization, for certain
employees not authorized to represent the taxpayer to receive taxpayer information from the
Service.

(c) Tax return preparers, including registered tax return preparers, that are not described in
subsections (a) and (b) of this section may not sign the request, appear before the Service, or

represent a taxpayer in connection with a request for a letter ruling or a determination letter. See
section 10.3(f)(3) of Treasury Department Circular No. 230.

(d) A foreign representative, other than a person referred to in subsections (a) and (b) of this
section, is not authorized to practice before the Service within the United States and must
withdraw from representing a taxpayer in a request for a letter ruling or a determination letter. In
this situation, the nonresident alien or foreign entity must submit the request for a letter ruling or
a determination letter on the individual's or the entity's own behalf or through a person referred
to in subsections (a) and (b) of this section.

Power of attorney and
declaration of
representative

(14) Power of attorney and declaration of representative. Form 2848, Power of Attorney
and Declaration of Representative, should be used to provide the representative's authority (Part
I of Form 2848, Power of Attorney) and the representative's qualification (Part II of Form 2848,
Declaration of Representative). The name of the person signing Part I of Form 2848 should also
be typed or printed on this form. A stamped signature is not permitted. An original, a copy, or fax
of the power of attorney is acceptable so long as its authenticity is not reasonably disputed. For
additional information regarding the power of attorney form, see section 7.02(2) of this revenue
procedure.

The taxpayer's authorized representative, whether or not enrolled, must comply with Treasury
Department Circular No. 230, which provides the rules for practice before the Service. In
situations where the Service believes that the taxpayer's representative is not in compliance with
Circular 230, the Service will bring the matter to the attention of the Office of Professional
Responsibility.

Penalties of perjury
statement

##### (15) Penalties of perjury statement.

(a) Format of penalties of perjury statement. A request for a letter ruling or determination
letter and any change in the request submitted at a later time must be accompanied by the
following declaration: "Under penalties of perjury, I declare that I have examined [Insert, as
appropriate: this request or this modification to the request], including accompanying
documents, and, to the best of my knowledge and belief, [Insert, as appropriate: the request
or the modification] contains all the relevant facts relating to the request, and such facts are
true, correct, and complete."

See section 8.05(4) of this revenue procedure for the penalties of perjury statement applicable
for submissions of additional information.

(b) Signature by taxpayer. The declaration must be signed and dated by the taxpayer, not the
taxpayer's representative. A stamped signature or faxed signature is not permitted.

The person who signs for a corporate taxpayer must be an officer of the corporate taxpayer who
has personal knowledge of the facts and whose duties are not limited to obtaining a letter ruling
or determination letter from the Service. If the corporate taxpayer is a member of an affiliated
group filing consolidated returns, a penalties of perjury statement must also be signed and
submitted by an officer of the common parent of the group.

The person signing for a trust, a state law partnership, or a limited liability company must be,
respectively, a trustee, general partner, or member-manager who has personal knowledge of the
facts.

Number of copies of request to be submitted

(16) Number of copies of request to be submitted. Generally, a taxpayer needs to submit the original and one copy of the request for a letter ruling or determination letter. If more than one issue is presented in the letter ruling request, the taxpayer is encouraged to submit additional copies of the request. Further, the original and two copies of the request for a letter ruling or determination letter are required if-

(a) the taxpayer is requesting separate letter rulings or determination letters on multiple issues as explained later under section 7.02(1) of this revenue procedure;

(b) the taxpayer is requesting deletions other than names, addresses, and identifying numbers, as explained in section 7.01(11)(a) of this revenue procedure (one copy is the request for the letter ruling or determination letter and the second copy is the deleted version of such request); or (c) a closing agreement (as defined in section 2.02 of this revenue procedure) is being requested on the issue presented.

Sample format for a letter ruling request

(17) Sample format for a letter ruling request. To assist a taxpayer or the taxpayer's representative in preparing a letter ruling request, a sample format for a letter ruling request is provided in Appendix B of this revenue procedure. This format is not required to be used.

Checklist

(18) Checklist for letter ruling requests. An Associate office will be able to respond more quickly to a taxpayer's letter ruling request if the request is carefully prepared and complete. The checklist in Appendix C of this revenue procedure is designed to assist taxpayers in preparing a request by reminding them of the essential information and documents to be furnished with the request. The checklist in Appendix C must be completed to the extent required by the instructions in the checklist, signed and dated by the taxpayer or the taxpayer's representative, and placed on top of the letter ruling request. If the checklist in Appendix C is not received, a branch representative will ask the taxpayer or the taxpayer's representative to submit the checklist; this may delay action on the letter ruling request.

For letter ruling requests on certain matters, specific checklists supplement the checklist in Appendix C. These checklists are in appendix D, appendix E, or are listed in section 1 of Appendix G of this revenue procedure and must also be completed and placed on top of the letter ruling request along with the checklist in Appendix C. Taxpayers can obtain copies of the checklist in Appendix C by calling (202) 317-5221 (not a toll-free call) or by accessing this revenue procedure in Internal Revenue Bulletin 2015-1 on the IRS web site at www.irs.gov. Taxpayers can access this revenue procedure on the website by following the "News" link, the "IRS Guidance" link, and the "Internal Revenue Bulletins (after June 2003)" link to obtain Internal Revenue Bulletin 2015-1. A copy of this checklist may be used.

Additional procedural information required with request

.02

Multiple issues

(1) To request separate letter rulings for multiple issues in a single situation. If more than one issue is presented in a request for a letter ruling, the Associate office generally will issue a single letter ruling covering all the issues. If the taxpayer requests separate letter rulings on any of the issues (because, for example, one letter ruling is needed sooner than another), the Associate

office usually will comply with the request unless doing so is not feasible or not in the best interest
of the Service. A taxpayer who wants separate letter rulings on multiple issues should make this
clear in the request and submit the original and two copies of the request. See section 15.06(3)
regarding whether a single user fee will be charged.

In issuing each letter ruling, the Associate office will state that it has issued separate letter
rulings or that requests for other letter rulings are pending.

Power of attorney used to
indicate recipient of a copy
or copies of a letter ruling
or a determination letter

(2) Power of attorney used to indicate recipient or recipients of a copy or copies of a letter
ruling or a determination letter. Once the Service signs the letter ruling or determination letter,
it will send the original to the taxpayer. The Service will not send the original letter ruling or
determination letter to the taxpayer's representative.

At the taxpayer's request, the Service will send one copy of the letter ruling or determination
letter to up to two authorized representatives. At the discretion of the Service, the Service may
provide a copy of the letter ruling or determination letter to up to two authorized representatives,
even though the taxpayer did not request that the Service send a copy of notices and communi-
cations to the taxpayer's representatives. Taxpayers that use Form 2848, Power of Attorney and
Declaration of Representative, to designate representatives, may request that copies of notices
and communications be sent to the representatives listed at Line 2 by checking the corresponding
box on Line 2. Taxpayers may use Line 5 of Form 2848 to advise the Service that a copy of the
letter ruling or determination letter should not be sent to the taxpayer's representative(s). If no box
is checked on Line 2 and the taxpayer does not indicate otherwise on Line 5, the Service may in
its discretion provide a copy of the letter ruling or determination letter to up to two authorized
representatives.

"Two-part" letter ruling
requests

(3) To request a particular conclusion on a proposed transaction. A taxpayer who requests
a particular conclusion on a proposed transaction may make the request for a letter ruling in two
parts. This type of request is referred to as a "two-part" letter ruling request. The first part must
include the complete statement of facts and related documents described in section 7.01 of this
revenue procedure. The second part must include a summary statement of the facts the taxpayer
believes to be controlling in reaching the conclusion requested.

If the Associate office accepts the taxpayer's statement of controlling facts, it will base its letter
ruling on these facts. Ordinarily, this statement will be incorporated into the letter ruling. The
Associate office reserves the right to rule on the basis of a more complete statement of the facts
and to seek more information in developing the facts and restating them.

A taxpayer who chooses this two-part procedure has all the rights and responsibilities provided
in this revenue procedure.

Taxpayers may not use the two-part procedure if it is inconsistent with other procedures, such
as those dealing with requests for permission to change accounting methods or periods, appli-
cations for recognition of exempt status under § 501(a) or § 521, or requests for rulings on
employment tax status.

After the Associate office has resolved the issues presented by a letter ruling request, the
Associate office representative may request that the taxpayer submit a proposed draft of the letter
ruling to expedite the issuance of the ruling. See section 8.07 of this revenue procedure.

Expedited handling

(4) To request expedited handling. The Service ordinarily processes requests for letter rulings
and determination letters in order of the date received. Expedited handling means that a request
is processed ahead of requests received before it. Expedited handling is granted only in rare and
unusual cases, both out of fairness to other taxpayers and because the Service seeks to process all

requests as expeditiously as possible and to give appropriate deference to normal business
exigencies in all cases not involving expedited handling.

A taxpayer with a compelling need to have a request processed ahead of requests received
before it may request expedited handling. This request must explain in detail the need for
expedited handling. The request for expedited handling must be made in writing, preferably in a
separate letter included with the request for the letter ruling or determination letter or provided
soon after its filing. If the request for expedited handling is contained in the letter requesting the
letter ruling or determination letter, the letter should state at the top of the first page "Expedited
Handling Is Requested. See page _of this letter."

A request for expedited handling will not be forwarded to a branch for action until the check
for the user fee is received.

Whether a request for expedited handling will be granted is within the Service's discretion. The
Service may grant the request when a factor outside a taxpayer's control creates a real business
need to obtain a letter ruling or determination letter before a certain date to avoid serious business
consequences. Examples include situations in which a court or governmental agency has imposed
a specific deadline for the completion of a transaction, or where a transaction must be completed
expeditiously to avoid an imminent business emergency (such as the hostile takeover of a
corporate taxpayer), provided that the taxpayer can demonstrate that the deadline or business
emergency, and the need for expedited handling, resulted from circumstances that could not
reasonably have been anticipated or controlled by the taxpayer. To qualify for expedited handling
in such situations, the taxpayer must also demonstrate that the taxpayer submitted the request as
promptly as possible after becoming aware of the deadline or emergency. The extent to which the
letter ruling or determination letter request complies with all of the applicable requirements of this
revenue procedure, and fully and clearly presents the issues, is a factor in determining whether
expedited treatment will be granted. When the Service agrees to process a request out of order,
it cannot give assurance that any letter ruling or determination letter will be processed by the date
requested.

The scheduling of a closing date for a transaction or a meeting of the board of directors or
shareholders of a corporation, without regard for the time it may take to obtain a letter ruling or
determination letter, will not be considered a sufficient reason to process a request ahead of its
regular order. Also, the possible effect of fluctuation in the market price of stocks on a transaction
will not be considered a sufficient reason to process a request out of order.

Because most requests for letter rulings and determination letters cannot be processed out of
order, the Service urges all taxpayers to submit their requests well in advance of the contemplated
transaction. In addition, to facilitate prompt action on letter ruling requests, taxpayers are
encouraged to ensure that their initial submissions comply with all of the requirements of this
revenue procedure (including the requirements of other applicable guidelines set forth in Appen-
dix G of this revenue procedure), to prepare "two-part" requests described in section 7.02(3) of
this revenue procedure when possible, and to promptly provide any additional information
requested by the Service.

Fax to taxpayer or
taxpayer's authorized
representative of any
document related to letter
ruling request

(5) To request the receipt of any document related to letter ruling request by fax. If the
taxpayer so requests, the Associate office may fax to the taxpayer or the taxpayer's authorized
representative a copy of any document related to the letter ruling request (for example, the letter
ruling itself or a request for additional information).

A request to fax to the taxpayer or the taxpayer's authorized representative a copy of any
document related to the letter ruling request must be made in writing, preferably as part of the

original request for the letter ruling. The request may be submitted at a later date, but such a
request will only be respected prospectively with respect to documents generated after it is
received, and must be received prior to the signing of the letter ruling. The request must contain
the fax number of the taxpayer or the taxpayer's authorized representative to whom the document
is to be faxed.

A document other than the letter ruling will be faxed by a branch representative. The copy of
the letter ruling may be faxed by either a branch representative or the Disclosure and Litigation
Support Branch of the Legal Processing Division of the Office of Associate Chief Counsel
(Procedure and Administration) (CC:PA:LPD:DLS). For purposes of § 301.6110-2(h), however,
a letter ruling is not issued until the ruling is mailed.

Requesting a conference

(6) To request a conference. A taxpayer who wants to have a conference on the issues
involved in a request for a letter ruling should indicate this in writing when filing the request or
soon thereafter. See sections 10.01, 10.02, and 11.11(2) of this revenue procedure.

.03

Address to which to send
request for letter ruling or
determination letter

Request for letter ruling

(1) Request for letter ruling. Original letter ruling requests must be sent to the appropriate
Associate office. The packages should be marked RULING REQUEST SUBMISSION.

(a) If a private delivery service is not used, requests for letter rulings should be sent to the
following address:

Internal Revenue Service

Attn: CC:PA:LPD:DRU

P.O. Box 7604

Ben Franklin Station

Washington, DC 20044

If a private delivery service is used, the address is:

Internal Revenue Service
Attn: CC:PA:LPD:DRU, Room 5336
1111 Constitution Ave., NW
Washington, DC 20224

(b) Requests for letter rulings may also be hand delivered between the hours of 8:00 a.m. and
4:00 p.m. to the courier's desk at the loading dock (behind the 12th Street security station) of 1111
Constitution Avenue, NW, Washington, DC. A receipt will be given at the courier's desk. The
package should be addressed to:

Courier's Desk
Internal Revenue Service
Attn: CC:PA:LPD:DRU, Room 5336
1111 Constitution Ave., NW
Washington, DC 20224

Sec. 7.03
January 2, 2015

### Request for determination letter

(2) Request for determination letter.

(a) Taxpayers under the jurisdiction of LB&I should send a request for a determination letter
to the following address:

Internal Revenue Service
Large Business and International Division
PreFiling and Technical Guidance
SE:LB:PFTG, Mint Building
1111 Constitution Ave., NW
Washington, DC 20224

(b) SB/SE and W&I taxpayers should send requests for determination letters to the appropriate
SB/SE office listed in Appendix F of this revenue procedure.

(c) For a determination letter under the jurisdiction of the Commissioner, Tax Exempt and
Government Entities Division, see Rev. Proc. 2015-4, Rev. Proc. 2015-5, and Rev. Proc.
2015-6, this Bulletin; Rev. Proc. 2015-9 and Rev. Proc. 2015-10, next Bulletin.

### Pending letter ruling requests

Circumstances under
which the taxpayer with a
pending letter ruling
request must notify the
Associate office

.04

(1) Circumstances under which the taxpayer with a pending letter ruling request must
notify the Associate office. The taxpayer must notify the Associate office if, after the letter ruling
request is filed but before a letter ruling is issued, the taxpayer knows that-

(a) a Field office has started an examination of the issue or the identical issue on an earlier
year's return;

(b) in the case of a § 301.9100 request, a Field office has started an examination of the return
for the taxable year in which an election should have been made or any taxable year that would
have been affected by the election had it been timely made. See § 301.9100-3(e)(4)(i) and section
5.03(3) of this revenue procedure;

(d) another letter ruling request (including an application for change in method of accounting),
involving the same or similar issue as that pending with the Service, has been submitted by the
taxpayer or a related party within the meaning of § 267 or a member of an affiliated group of
which the taxpayer is also a member within the meaning of § 1504;

(e) in qualified retirement plan matters, the issue is being considered by the Pension Benefit
Guaranty Corporation or the Department of Labor; or

(f) in health care matters, the issue is being considered by the Department of Labor or the
Department of Health and Human Services.

Taxpayer must notify the Associate office if a return is filed and must attach the request to the return

(2) Taxpayer must notify the Associate office if a return is filed and must attach the request to the return. If the taxpayer files a return before a letter ruling is received from the Associate office concerning an issue in the return, the taxpayer must notify the Associate office that the return has been filed. The taxpayer must also attach a copy of the letter ruling request (Form 3115, if for a non-automatic change in method of accounting) to the return to alert the Field office and avoid premature field action on the issue. Taxpayers filing their returns electronically may satisfy this requirement by attaching to their return a statement providing the date of the letter ruling request and the control number of the letter ruling. If, under the limited circumstances permitted in section 5 of this revenue procedure, the taxpayer requests a letter ruling after the return is filed, but before the return is examined, the taxpayer must notify the Associate office that the return has been filed. The taxpayer must also notify the Field office having jurisdiction over the return and attach a copy of the letter ruling request to the notification to alert the Field office and avoid premature field action on the issue.

This section 7.04 also applies to pending requests for a closing agreement on a transaction for which a letter ruling is not requested or issued.

For purposes of this section 7.04, the term "return" includes an original return, amended return, or claim for refund.

When to attach letter ruling or determination letter to return

.05 A taxpayer who, before filing a return, receives a letter ruling or determination letter about any transaction that has been consummated and that is relevant to the return being filed must attach to the return a copy of the letter ruling or determination letter. Taxpayers filing their returns electronically may satisfy this requirement by attaching a statement to their return that provides the date and control number of the letter ruling or determination letter.

For purposes of this section 7.05, the term "return" includes an original return, amended return, or claim for refund.

How to check on status of request for letter ruling or determination letter

.06 The taxpayer or the taxpayer's authorized representative may obtain information regarding the status of a request for a letter ruling or determination letter by calling the person whose name and telephone number are shown on the acknowledgment of receipt of the request or, in the case of a request for a letter ruling, the appropriate branch representative who contacts the taxpayer as explained in section 8.02 of this revenue procedure.

Request for letter ruling or determination letter may be withdrawn or Associate office may decline to issue letter ruling

.07

In General

(1) In general. A taxpayer may withdraw a request for a letter ruling or determination letter at any time before the letter ruling or determination letter is signed by the Service. Correspon- dence and exhibits related to a request that is withdrawn or related to a letter ruling request for which an Associate office declines to issue a letter ruling will not be returned to the taxpayer. See section 7.01(2)(a) of this revenue procedure. In appropriate cases, an Associate office may publish its conclusions in a revenue ruling or revenue procedure.

Notification of appropriate Service official

(2) Notification of appropriate Service official.

(a) Letter ruling requests. If a taxpayer withdraws a letter ruling request or if the Associate office declines to issue a letter ruling, the Associate office generally will notify, by memorandum,

the appropriate Service official in the operating division that has examination jurisdiction of the
taxpayer's tax return. For taxpayers under the jurisdiction of the Division Counsel (Large
Business & International), the Associate office will also send a copy of the memorandum to the
Director of Pre-Filing & Technical Guidance. In doing so, the Associate office may give the
Service official its views on the issues in the request for consideration in any later examination
of the return. This section 7.07(2)(a) generally does not apply if the taxpayer withdraws the letter
ruling request and submits a written statement that the transaction has been, or is being,
abandoned and if the Associate office has not already formed an adverse opinion. See section
7.07(1) of this revenue procedure.

(b) Notification of Service official may constitute Chief Counsel Advice. If the memoran-
dum to the Service official referred to in paragraph (a) of this section 7.07(2) provides more than
the fact that the request was withdrawn and that the Associate office was tentatively adverse, or
more than the fact that the Associate office declines to issue a letter ruling, the memorandum may
constitute Chief Counsel Advice, as defined in § 6110(i)(1), and may be subject to disclosure
under § 6110.

(3) Refund of user fee. Ordinarily, the user fee will not be returned for a letter ruling request
that is withdrawn. If the Associate office declines to issue a letter ruling on all of the issues in the
request, the user fee will be returned. If the Associate office issues a letter ruling on some, but not
all, of the issues, the user fee will not be returned. See section 15.10 of this revenue procedure for
additional information regarding the refund of user fees.

SECTION 8. HOW DO
THE ASSOCIATE
OFFICES HANDLE
LETTER RULING
REQUESTS?

The Associate offices will issue letter rulings on the matters and under the circumstances
explained in sections 3 and 5 of this revenue procedure and in the manner explained in this section
and section 11 of this revenue procedure. See section 9 of this revenue procedure for procedures
for change in method of accounting requests.

Docket, Records, and User
Fee Branch receives,
initially controls, and
refers the request to the
appropriate Associate
office

.01 All requests for letter rulings will be received and initially controlled by the Docket,
Records, and User Fee Branch of the Legal Processing Division of the Associate Chief
Counsel (Procedure and Administration) (CC:PA:LPD:DRU). That office will process the
incoming documents and the user fee, and it will forward the file to the appropriate Associate
office for assignment to a branch that has jurisdiction over the specific issue involved in the
request.

Branch representative of
the Associate office
contacts taxpayer within 21
calendar days

.02 Within 21 calendar days after a letter ruling request has been received in the branch of
the Associate office that has jurisdiction over the issue, a representative of the branch will
contact the taxpayer or, if the request includes a properly executed power of attorney, the
authorized representative, unless the power of attorney provides otherwise. During such
contact, the branch representative will discuss the procedural issues in the letter ruling
request. If the case is complex or a number of issues are involved, it may not be possible for
the branch representative to discuss the substantive issues during this initial contact. When
possible, for each issue within the branch's jurisdiction, the branch representative will tell the
taxpayer-

(1) whether the branch representative will recommend that the Associate office rule as the
taxpayer requested, rule adversely on the matter, or not rule;

(2) whether the taxpayer should submit additional information to enable the Associate office to
rule on the matter;

(3) whether the letter ruling complies with all of the provisions of this revenue procedure, and
if not, which requirements have not been met; or

(4) whether, because of the nature of the transaction or the issue presented, a tentative
conclusion on the issue cannot be reached.

If the letter ruling request involves matters within the jurisdiction of more than one branch or
Associate office, a representative of the branch that received the original request will tell the
taxpayer within the initial 21 calendar days-

(1) that the matters within the jurisdiction of another branch or Associate office have been
referred to that branch or Associate office for consideration, and the date the referral was made,
and

(2) that a representative of that branch or Associate office will contact the taxpayer within 21
calendar days after receiving the referral to discuss informally the procedural and, to the extent
possible, the substantive issues in the request.

This section 8.02 applies to all matters except for cases involving a request for change in
method of accounting or accounting period and cases within the jurisdiction of the Associate
Chief Counsel (Financial Institutions and Products) concerning insurance issues requiring actu-
arial computations.

### Determines if transaction can be modified to obtain favorable letter ruling

.03 If less than a fully favorable letter ruling is indicated, the branch representative will tell
the taxpayer whether minor changes in the transaction or adherence to certain published
positions would bring about a favorable ruling. The branch representative may also tell the
taxpayer the facts that must be furnished in a document to comply with Service requirements.
The branch representative will not suggest precise changes that would materially alter the
form of the proposed transaction or materially alter a taxpayer's proposed accounting period.

If, at the end of this discussion, the branch representative determines that a meeting in the
Associate office would be more helpful to develop or exchange information, a meeting will be
offered and an early meeting date arranged. When offered, this meeting is in addition to the
taxpayer's conference of right that is described in section 10.02 of this revenue procedure.

Not bound by informal
opinion expressed

.04 The Service will not be bound by the informal opinion expressed by the branch represen-
tative or any other Service representative, and such an opinion cannot be relied upon as a basis
for obtaining retroactive relief under the provisions of § 7805(b).

May request additional
information

.05

Must be submitted within
21 calendar days

(1) Additional information must be submitted within 21 calendar days. If the request lacks
essential information, which may include additional information needed to satisfy the procedural
requirements of this revenue procedure as well as substantive changes to transactions or docu-
ments needed from the taxpayer, the branch representative will request such information during
the initial or subsequent contacts with the taxpayer or its authorized representative. The repre-
sentative will inform the taxpayer or its authorized representative that the request will be closed
if the Associate office does not receive the requested information within 21 calendar days from
the date of the request unless an extension of time is granted. To facilitate prompt action on letter
ruling requests, taxpayers may request that the Associate office request additional information by
fax. See section 7.02(5) of this revenue procedure.

Material facts furnished to the Associate office by telephone or fax, or orally at a conference,
must be promptly confirmed by letter to the Associate office. This confirmation, and any

Sec. 8.05

additional information requested by the Associate office that is not part of the information
requested during the initial contact, must be furnished within 21 calendar days from the date the
Associate office makes the request.

### Extension of reply period if justified and approved

(2) Extension of reply period if justified and approved. The Service will grant an extension
of the 21-day period for providing additional information only if the extension is justified in
writing by the taxpayer and approved by the branch reviewer. A request for an extension should
be submitted before the end of the 21-day period. If unusual circumstances close to the end of the
21-day period make a written request impractical, the taxpayer should notify the Associate office
within the 21-day period that there is a problem and that the written request for extension will be
provided shortly. The taxpayer will be told promptly of the approval or denial of the requested
extension. If the extension request is denied, there is no right of appeal.

### Letter ruling request closed if the taxpayer does not submit additional information

(3) Letter ruling request closed if the taxpayer does not submit additional information. If
the taxpayer does not submit the information requested during the initial or subsequent contacts
within the time provided, the letter ruling request will be closed and the taxpayer will be notified
in writing. If the information is received after the request is closed, the request will be reopened
and treated as a new request as of the date the information is received. The taxpayer must pay
another user fee before the case can be reopened.

Penalties of perjury
statement for additional
information

(4) Penalties of perjury statement. Additional information submitted to the Service must be
accompanied by the following declaration: "Under penalties of perjury, I declare that I have
examined this information, including accompanying documents, and, to the best of my
knowledge and belief, the information contains all the relevant facts relating to the request
for the information, and such facts are true, correct, and complete." This declaration must be
signed in accordance with the requirements in section 7.01(15)(b) of this revenue procedure.

### Faxing request and additional information

(5) Faxing request and additional information. To facilitate prompt action on letter ruling
requests, taxpayers may request that the Associate office request additional information by fax.
See section 7.02(5) of this revenue procedure. Taxpayers may also submit additional information
by fax as soon as the information is available. The Associate office representative who requests
additional information can provide a fax number to which the information can be faxed. The
original of the faxed material and a signed penalties of perjury statement must be mailed or
delivered to the Associate office.

Address to which to send
additional information

(6) Address to which to send additional information

(a) If a private delivery service is not used, the additional information should be sent to:

Internal Revenue Service
ADDITIONAL INFORMATION
Attn: [Name, office symbols, and
room number of the Associate
office representative who requested
the information]
P.O. Box 7604
Ben Franklin Station
Washington, DC 20044

For cases involving a request for change in method of accounting or period, see section 9.05
of this revenue procedure for the address to which to send additional information.

(b) If a private delivery service is used, the additional information for all cases should be sent
to:

Internal Revenue Service
ADDITIONAL INFORMATION
Attn: [Name, office symbols, and
room number of the Associate office
representative who requested
the information]
1111 Constitution Ave., NW
Washington, DC 20224

### Identifying information included in additional information

Number of copies of
additional information to
be submitted

Near the completion of the
ruling process, advises the
taxpayer of conclusions
and, if the Associate office
will rule adversely, offers
the taxpayer the
opportunity to withdraw
the letter ruling request

May request that taxpayer
submit draft proposed
letter ruling near the
completion of the ruling
process

(7) Identifying information. For all cases, the additional information should include the
taxpayer's name and the case control number and the name, office symbols, and room number of
the Associate office representative who requested the information. The Associate office repre-
sentative can provide the latter information to the taxpayer.

(8) Number of copies. A taxpayer only needs to submit one copy of the additional information
unless the Associate office requests additional copies.

.06 Generally, after the conference of right is held but before the letter ruling is issued, the
branch representative will orally notify the taxpayer or the taxpayer's representative of the
Associate office's conclusions. See section 10 of this revenue procedure for a discussion of
conferences of right. If the Associate office is going to rule adversely, the taxpayer will be offered the
opportunity to withdraw the letter ruling request. If, within ten calendar days of the notification by the
branch representative, the taxpayer or the taxpayer's representative does not notify the branch
representative that the taxpayer wishes to withdraw the ruling request, the adverse letter ruling will be
issued unless an extension is granted. The user fee will not be refunded for a letter ruling request that
is withdrawn. See section 15.10(1)(a) of this revenue procedure.

.07 To accelerate the issuance of letter rulings, in appropriate cases near the completion of the
ruling process, the Associate office representative may request that the taxpayer or the taxpayer's
representative submit a proposed draft of the letter ruling. Such draft would be based on the
discussions of the issues between the representative and the taxpayer or the taxpayer's represen-
tative. The taxpayer is not required to prepare a draft letter ruling to receive a letter ruling.

The format of the submission should be discussed with the Associate office representative who
requests the draft letter ruling. The representative usually can provide a sample format of a letter
ruling and will discuss with the taxpayer or the taxpayer's representative the facts, analysis, and
letter ruling language to be included.

Taxpayers are encouraged to submit this draft in a printed copy that is in a computer scannable
format. The printed copy will become part of the permanent files of the Associate office. The
printed copy should be sent to the same address as any additional information and should contain
in the transmittal the information that should be included with any additional information (for
example, a penalties of perjury statement is required). See section 8.05(4) of this revenue
procedure.

Issues separate letter rulings for substantially identical letter rulings, but generally issues a single letter ruling for related § 301.9100 letter rulings

.08

Substantially identical letter rulings

(1) Substantially identical letter rulings. For letter ruling requests qualifying for the user fee provided in paragraph (A)(5)(a) of Appendix A of this revenue procedure for substantially identical letter rulings, a separate letter ruling will generally be issued for each entity with a common member or sponsor, or for each member of a common entity.

Related § 301.9100 letter rulings

(2) Related § 301.9100 letter rulings.

(a) For a § 301.9100 letter ruling request for an extension of time to file a Form 3115 qualifying under section 15.07(4) for the user fee provided in paragraph (A)(5)(d) of Appendix A of this revenue procedure for an identical change in method of accounting, the Associate office generally will issue a single letter on behalf of all applicants on Form 3115 that are the subject of the request.

(b) For a § 301.9100-3 letter ruling request for an extension of time to file an entity classification election for multiple entities qualifying under section 15.07(2) for the user fee provided in paragraph (A)(5)(a) of Appendix A of this revenue procedure, the Associate office generally will issue a single letter on behalf of all entities that are the subject of the request. The taxpayer may request that separate letters be issued to each entity that are the subject of the request. See generally section 5.03 of this revenue procedure.

Sends a copy of the letter ruling to appropriate Service official

.09 The Associate office will send a copy of the letter ruling, whether favorable or adverse, to the appropriate Service official in the operating division that has examination jurisdiction of the taxpayer's tax return.

SECTION 9. WHAT ARE THE SPECIFIC AND ADDITIONAL PROCEDURES FOR A REQUEST FOR A CHANGE IN METHOD OF ACCOUNTING FROM THE ASSOCIATE OFFICES?

This section provides the specific and additional procedures applicable to a request for a change in method of accounting under Rev. Proc. 2011-14, 2011-4 I.R.B. 330 (or any successor), as clarified and modified by Rev. Proc. 2012-39, 2012-41 I.R.B. 470, other automatic change request procedures, or Rev. Proc. 97-27, 1997-1 C.B. 680, as amplified and modified by Rev. Proc. 2002-19, 2002-1 C.B. 696; as amplified and clarified by Rev. Proc. 2002-54, 2002-2 C.B. 432; as modified by Rev. Proc. 2007-67, 2007-2 C.B. 1072, Rev. Proc. 2011-14, 2011-4 I.R.B. 330; and Rev. Proc. 2012-39, 2012-41 I.R.B. 470, and as clarified and modified by Rev. Proc. 2009-39, 2009-38 I.R.B. 371. A request for a change in method of accounting under Rev. Proc. 2011-14, other automatic change request procedures, or Rev. Proc. 97-27 is a type of request for a letter ruling. See section 2.01 of this revenue procedure.

Automatic and non- automatic change in method of accounting requests

.01

Automatic change in method of accounting under Rev. Proc. 2011-14 (or any successor), or other automatic change request procedures

(1) Automatic change in method of accounting. Certain changes in methods of accounting may be made under automatic change request procedures. A change in method of accounting provided for in an automatic change request procedure must be made using that procedure if the taxpayer requesting the change is within the scope of the procedure, the change is an automatic change for the requested year of the change, and the taxpayer is eligible to make the change. The Commissioner's consent to an otherwise qualifying automatic change in method of accounting is

granted only if the taxpayer timely complies with the applicable automatic change request
procedures. But see section 9.19 of this revenue procedure concerning review by an Associate
office and a Field office. In general, a taxpayer requests an automatic change by filing a current
Form 3115, Application for Change in Method of Accounting.

An application filed under Rev. Proc. 2011-14, 2011-4 I.R.B. 330, (or any successor) or other
automatic change request procedure and this revenue procedure is hereinafter referred to as an
"automatic change request." See section 9.22 of this revenue procedure for a list of automatic
change request procedures. See section 9.23 for a list of the sections and Appendices of this
revenue procedure in addition to this section 9 that apply to an automatic change request. No user
fee is required for a change made under an automatic change request procedure.

Non-automatic change in
method of accounting

(2) Non-automatic change in method of accounting. If a change in method of accounting
may not be made under an automatic change request procedure, the taxpayer may request a
non-automatic letter ruling by filing a current Form 3115, Application for Change in Accounting
Method, under Rev. Proc. 97-27, 1997-1 C.B. 680, as amplified and modified by Rev. Proc.
2002-19, 2002-1 C.B. 696; as amplified and clarified by Rev. Proc. 2002-54, 2002-2 C.B. 432;
as modified by Rev. Proc. 2007-67, 2007-2 C.B. 1072, Rev. Proc. 2011-14, 2011-4 I.R.B. 330;
and Rev. Proc. 2012-39, 2012-41 I.R.B. 470; and as clarified and modified by Rev. Proc.
2009-39, 2009-38 I.R.B. 371 (or any successor); and this revenue procedure. A Form 3115 filed
under Rev. Proc. 97-27 (or any successor) and this revenue procedure for a non-automatic change
request is hereinafter referred to as a "non-automatic Form 3115." A taxpayer filing a non-
automatic Form 3115 must submit the required user fee with the completed Form 3115. See
section 15 and Appendix A of this revenue procedure for information about user fees. See section
9.23 for a list of the sections and Appendices of this revenue procedure in addition to this section
9 that apply to a non-automatic Form 3115.

Ordinarily only one change
in method of accounting on
a Form 3115, Application
for Change in Accounting
Method, and a separate
Form 3115 for each
taxpayer and for each
separate and distinct trade
or business

.02 Ordinarily, a taxpayer may request only one change in method of accounting on a Form
3115, Application for Change in Accounting Method. If the taxpayer wants to request a change
in method of accounting for more than one unrelated item or submethod of accounting, the
taxpayer must submit a separate Form 3115 for each unrelated item or submethod, except in
certain situations in which the Service specifically permits certain unrelated changes to be
included on a single Form 3115. For an example of such a situation, see section 14.03 in the
Appendix of Rev. Proc. 2011-14, 2011-4 I.R.B. 330 (or its successor).

A separate Form 3115 (and, therefore, a separate user fee pursuant to section 15 and Appendix
A of this revenue procedure) must be submitted for each taxpayer and each separate trade or
business of a taxpayer, including a qualified subchapter S subsidiary (QSub) or a single-member
limited liability company (single member LLC), requesting a change in method of accounting,
except as specifically permitted or required in guidance published by the Service. See, for
example, section 15.07(4) of this revenue procedure.

### Information required with a Form 3115

.03

Facts and other
information

(1) Facts and other information requested on Form 3115 and in applicable revenue
procedures. In general, a taxpayer requesting a change in method of accounting must file a
current Form 3115, unless the procedures applicable to the specific type of change in method of
accounting do not require a Form 3115 to be submitted.

To be eligible for approval of the requested change in method of accounting, the taxpayer must
provide all information requested on the Form 3115 and in its instructions and in either Rev. Proc.
97-27 (or any successor), or the applicable automatic change request procedure. In addition, the

taxpayer must provide all information requested in the applicable sections of this revenue
procedure, including a detailed and complete description of the item being changed, the taxpay-
er's present and proposed method for the item being changed, information regarding whether the
taxpayer is under examination, or before Appeals or a Federal court, and a summary of the
computation of the net § 481(a) adjustment, along with an explanation of the methodology used
to determine the adjustment, sufficient to demonstrate that the net § 481(a) adjustment is
computed correctly.

For a non-automatic Form 3115, the taxpayer must also include a full explanation of the legal
basis and relevant authorities supporting the proposed method, a detailed and complete descrip-
tion of the facts and explanation of how the law applies to the taxpayer's situation, a discussion
of whether the law related to the request is uncertain or inadequately addresses the issue, a
statement of the applicant's reasons for the proposed change, and copies of all documents related
to the proposed change.

The applicant must provide the requested information to be eligible for approval of the
requested change in method of accounting. The taxpayer may be required to provide information
specific to the requested change in method of accounting, such as an attached statement. The
taxpayer must provide all information relevant to the requested change in method of accounting,
even if not specifically requested, including an explanation of all material facts relevant to the
requested change in method of accounting.

See also sections 7.01(1) and 7.01(8) of this revenue procedure.

Statement of authorities
contrary to taxpayer's
views

(2) Statement of contrary authorities. For a non-automatic Form 3115, the taxpayer is
encouraged to inform the Associate office about, and discuss the implications of, any authority
believed to be contrary to the proposed change in method of accounting, including legislation,
court decisions, regulations, notices, revenue rulings, revenue procedures, or announcements.

If the taxpayer does not furnish either contrary authorities or a statement that none exist, the
Associate office may request submission of contrary authorities or a statement that none exist.
Failure to comply with this request may result in the Associate office's refusal to issue a change
in method of accounting letter ruling.

Documents

(3) Copies of all contracts, agreements, and other documents. True copies of all contracts,
agreements, and other documents relevant to the requested change in method of accounting must
be submitted with a non-automatic Form 3115. Original documents should not be submitted
because they become part of the Associate office's file and will not be returned.

Analysis of material facts

(4) Analysis of material facts. When submitting any document with a Form 3115 or in a
supplemental letter, the taxpayer must explain and provide an analysis of all material facts in the
document. The taxpayer may not merely incorporate the document by reference. The analysis of
the facts must include their bearing on the requested change in method of accounting and must
specify the provisions that apply.

### Same issue in an earlier return

(5) Information regarding whether same issue is in an earlier return. A Form 3115 must
state whether, to the best of the knowledge of both the taxpayer and the taxpayer's representa-
tives, any return of the taxpayer (or any return of a current or former consolidated group in which
the taxpayer is or was a member) in which the taxpayer used the method of accounting being
changed is under examination, before Appeals, or before a Federal court. See Rev. Proc. 2011-14,
2011-4 I.R.B. 330 (or any successor), as clarified and modified by Rev. Proc. 2012-39, 2012-41
I.R.B. 470, and Rev. Proc. 97-27, 1997-1 C.B. 680, as amplified and modified by Rev. Proc.

2002-19, 2002-1 C.B. 696; as amplified and clarified by Rev. Proc. 2002-54, 2002-2 C.B. 432; as modified by Rev. Proc. 2007-67, 2007-2 C.B. 1072, Rev. Proc. 2011-14, 2011-4 I.R.B. 330, and Rev. Proc. 2012-39, 2012-41 I.R.B. 470; and as clarified and modified by Rev. Proc. 2009-39.

Issue previously submitted or currently pending

(6) Statement regarding prior requests for a change in method of accounting and other pending requests.

(a) Other requests for a change in method of accounting within the past five years. A Form 3115 must state, to the best of the knowledge of both the taxpayer and the taxpayer's represen- tatives, whether the taxpayer or a related taxpayer within the meaning of § 267 or a member of a current or former affiliated group of which the taxpayer is or was a member within the meaning of § 1504 or a predecessor requested or made within the past five years (including the year of the requested change), or is currently filing, any request for a change in method of accounting.

If the statement is affirmative, for each separate and distinct trade or business, give a description of each request and the year of change and whether consent was obtained. If any application was withdrawn, not perfected, or denied, or if a Consent Agreement was sent to the taxpayer but was not signed and returned to the Associate office, or if the change was not made in the requested year of change, give an explanation. (b) Any other pending request(s). A Form 3115 must state, to the best of the knowledge of both the taxpayer and the taxpayer's representatives, whether the taxpayer or a related taxpayer within the meaning of § 267 or a member of a current or former affiliated group of which the taxpayer is or was a member within the meaning of § 1504 or a predecessor currently have pending any request (including any concurrently filed request) for a letter ruling, a change in method of accounting, or technical advice. If the statement is affirmative, for each request, give the name(s) of the taxpayer, identification number(s), the type of request (letter ruling, request for change in method of accounting, or request for technical advice), and the specific issues in the request.

Statement identifying pending legislation

(7) Statement identifying pending legislation. At the time the taxpayer files a non-automatic Form 3115, the taxpayer must identify any pending legislation that may affect the proposed change in method of accounting. The taxpayer also must notify the Associate office if any such legislation is introduced after the request is filed but before a change in method of accounting letter ruling is issued.

Authorized representatives

(8) Authorized representatives. To appear before the Service in connection with a request for a change in method of accounting, the taxpayer's authorized representative must be an attorney, a certified public accountant, an enrolled agent, an enrolled actuary, a person with a "Letter of Authorization," an employee, general partner, bona fide officer, administrator, trustee, etc., as described in section 7.01(13) of this revenue procedure.

Power of attorney and declaration of representative

(9) Power of attorney and declaration of representative. Any authorized representative, whether or not enrolled to practice, must comply with Treasury Department Circular No. 230, which provides the rules for practice before the Service, and the conference and practice requirements of the Statement of Procedural Rules, which provide the rules for representing a taxpayer before the Service. See section 7.01(14) of this revenue procedure. A taxpayer should use Form 2848, Power of Attorney and Declaration of Representative, to provide the represent- ative's authority.

Tax Information Authorization

(10) Tax Information Authorization. A taxpayer may use Form 8821, Tax Information Authorization, to authorize an individual to receive a copy of the taxpayer's change in method of accounting letter ruling and other related correspondence. If the taxpayer wishes to authorize a corporation, firm, organization, or partnership to receive the correspondence, an individual, identified by either name or title, must be specified on the Form 8821. A Form 8821 does not authorize the taxpayer's appointee to advocate the taxpayer's position or to otherwise represent the taxpayer before the Service.

Penalties of perjury statement

(11) Penalties of perjury statement

(a) Format of penalties of perjury statement. A Form 3115, and any change to a Form 3115 submitted at a later time, must be accompanied by the following declaration: "Under penalties of perjury, I declare that I have examined this application, including accompanying schedules and statements, and to the best of my knowledge and belief, the application contains all the relevant facts relating to the application, and it is true, correct, and complete." See section 9.08(3) of this revenue procedure for the penalties of perjury statement required for submissions of additional information. (b) Signature by taxpayer. A Form 3115 must be signed by, or on behalf of, the taxpayer requesting the change by an individual with authority to bind the taxpayer in such matters. For example, an officer must sign on behalf of a corporation, a general partner on behalf of a state law partnership, a member-manager on behalf of a limited liability company, a trustee on behalf of a trust, or an individual taxpayer on behalf of a sole proprietorship. If the taxpayer is a member of a consolidated group, a Form 3115 should be submitted on behalf of the taxpayer by the common parent and must be signed by a duly authorized officer of the common parent. Refer to the signature requirements set forth in the instructions for the current Form 3115 regarding those who are to sign. See also section 8.08 of Rev. Proc. 97-27 and section 6.02(5) of Rev. Proc. 2011-14. A stamped signature or faxed signature is not permitted. (c) Signature by preparer. A declaration of preparer (other than the taxpayer) is based on all information of which the preparer has any knowledge.

Additional procedural information required in certain circumstances

.04

Recipients of original and copy of correspondence

(1) Recipients of original and copy of change in method of accounting correspondence. The Service will send the signed original of the change in method of accounting letter ruling and other related correspondence to the taxpayer, and copies to the taxpayer's representative, if so instructed on Form 2848. See section 7.02(2) of this revenue procedure for how to designate alternative routing of the copies of the letter ruling and other correspondence.

Expedited handling

(2) To request expedited handling. The Associate offices ordinarily process non-automatic Forms 3115 in order of the date received. A taxpayer with a compelling need to have a non-automatic Form 3115 processed on an expedited basis may request expedited handling. See section 7.02(4) of this revenue procedure for procedures regarding expedited handling.

Fax of any document to the taxpayer or taxpayer's authorized representative

(3) To receive the change in method of accounting letter ruling or any other correspon- dence related to a Form 3115 by fax. If the taxpayer wants a copy of the change in method of accounting letter ruling or any other correspondence related to a Form 3115, such as a request for

additional information, faxed to the taxpayer or the taxpayer's authorized representative, the
taxpayer must submit a written request to fax the letter ruling or related correspondence,
preferably as part of the Form 3115. The request may be submitted at a later date, but it must be
received prior to the mailing of correspondence other than the letter ruling and prior to the signing
of the change in method of accounting letter ruling.

The request to have correspondence relating to the Form 3115 faxed to the taxpayer or
taxpayer's authorized representative must contain the fax number of the taxpayer or the taxpay-
er's authorized representative to whom the correspondence is to be faxed.

A document other than the change in method of accounting letter ruling will be faxed by a branch
representative. The change in method of accounting letter ruling may be faxed by either a branch
representative or the Disclosure and Litigation Support Branch of the Legal Processing Division of the
Office of Associate Chief Counsel (Procedure and Administration) (CC:PA:LPD:DLS).

For purposes of § 301.6110-2(h), a change in method of accounting letter ruling is not issued
until the change in method of accounting letter ruling is mailed.

Requesting a conference

(4) To request a conference. The taxpayer must complete the appropriate line on the Form
3115 to request a conference, or must request a conference in a later written communication, if
an adverse response is contemplated by the Associate office. See section 8.10 of Rev. Proc. 97-27,
section 10.03(1) of Rev. Proc. 2011-14, and sections 10.01, 10.02 of this revenue procedure.

Addresses to which to send
Forms 3115

.05 Addresses to which to send Forms 3115. Submit the original Form 3115, in the case of
a non-automatic change request, or the copy of the Form 3115, in the case of an automatic change
request, as follows:

(1) Associate office mailing address if private delivery service is not used. If a private
delivery service is not used, a taxpayer other than an exempt organization must send the original
completed Form 3115 and the required user fee (in the case of a non-automatic change request)
or the national office copy of the completed Form 3115 (in the case of an automatic change
request for which the copy is required to be filed with the national office) to:

Internal Revenue Service
Attn: [insert either "CC:PA:LPD:DRU" for a
non-automatic change request or "Automatic
Change" for an automatic change request]
P.O. Box 7604
Benjamin Franklin Station
Washington, DC 20044

An exempt organization must send the original completed Form 3115 and the required user fee
(in the case of a non-automatic change request) or the national office copy of the completed Form
3115 (in the case of an automatic change request Form 3115 required to be filed with the national
office) to:

Internal Revenue Service
Tax Exempt & Government Entities
P.O. Box 2508
Cincinnati, OH 45201

See Rev. Proc. 2015-8, this Bulletin, for the applicable user fee for exempt organization Forms
3115.

(2) Mailing address if private delivery service is used. If a private delivery service is used,
a taxpayer other than an exempt organization must send the original completed Form 3115 and
the required user fee (in the case of a non-automatic change request) or the national office copy
of the completed Form 3115 (in the case of an automatic change request for which the copy is
required to be filed with the national office) to:

Internal Revenue Service
Attn: [insert either "CC:PA:LPD:DRU" for a
non-automatic change request or
"Automatic Change" for an automatic
change request]
1111 Constitution Ave., NW
Washington, DC 20224
Room 5335

If a private delivery service is used, an exempt organization must send the original completed
Form 3115 and the required user fee (in the case of a non-automatic change request) or the
national office copy of the completed Form 3115 (in the case of an automatic change request
required to be filed with the national office) to:

Internal Revenue Service
Tax Exempt & Government Entities
Attn: TEGE:EO
550 Main Street
Room 4024
Cincinnati, OH 45202

See Rev. Proc. 2015-8, this Bulletin, for the applicable user fee for exempt organization Forms
3115.

(3) Address if hand-delivered to the IRS Courier's desk. For taxpayers other than an
exempt organization, the original completed Form 3115 and the required user fee (in the case
of a non-automatic Form 3115) or the national office copy of the completed Form 3115 (in
the case of an automatic change request required to be filed with the national office), may be
hand delivered between the hours of 8:00 a.m. and 4:00 p.m. to the courier's desk at the
loading dock (located behind the 12th Street security station) of 1111 Constitution Ave., NW,
Washington, DC. A receipt will be given at the courier's desk. The package should be
addressed to:

Courier's Desk
Internal Revenue Service
Attn: CC:PA:LPD:DRU, Room 5336
1111 Constitution Ave., NW
Washington, DC 20224

(4) Ogden office mailing address if copy of Form 3115 for automatic change request is
required to be filed with the Ogden office. If Rev. Proc. 2011-14, 2011-4 I.R.B. 330, or other
published guidance, requires a taxpayer to file a copy of the completed Form 3115 with the Ogden
office, send the Ogden copy of the automatic change request Form 3115 to:

Internal Revenue Service
1973 North Rulon White Blvd.
Mail Stop 4917
Ogden, UT 84404

A Form 3115 must not be
submitted by fax

Docket, Records, and User
Fee Branch receives,
initially controls, and
refers the Form 3115 to
the appropriate Associate
office

.06 A completed Form 3115 must not be submitted by fax.

.07 A non-automatic Form 3115, is received and controlled by the Docket, Records, and User
Fee Branch, Legal Processing Division of the Associate Chief Counsel (Procedure and Admin-
istration) (CC:PA:LPD:DRU) if the required user fee is submitted with the Form 3115. Once
controlled, the Form 3115 is forwarded to the appropriate Associate office for assignment and
processing.

Additional information

.08

Reply period

(1) Reply period.

(a) Non-automatic change request-21 day rule. In general, for a non-automatic change
request, additional information requested by the Associate office and additional information
furnished to the Associate office by telephone must be furnished in writing within 21 calendar
days from the date of the information request. The Associate office may impose a shorter reply
period for a request for additional information made after an initial request. See section 10.06 of
this revenue procedure for the 21-day rule for submitting information after any conference.

(b) Automatic change request-30 day rule. In general, for an automatic change request,
additional information requested by the Associate office, and additional information furnished to
the Associate office by telephone or fax, must be furnished in writing (other than a fax) within
30 calendar days from the date of the information request. The Associate office may impose a
shorter reply period for a request for additional information made after an initial request. See
section 10.06 of this revenue procedure for the 21-day rule for submitting information after any
conference with the Associate office.

Extension of reply period

#### (2) Request for extension of reply period.

(a) Non-automatic change request. For a non-automatic change request, an additional period,
not to exceed 15 calendar days, to furnish information may be granted to a taxpayer. Any request
for an extension of time must be made in writing and submitted before the end of the original
21-day period. If unusual circumstances close to the end of the 21-day period make a written
request impractical, the taxpayer should notify the Associate office within the 21-day period that
there is a problem and that the written request for extension will be provided shortly. An extension
of the 21-day period will be granted only if approved by a branch reviewer. An extension of the
21-day period ordinarily will not be granted to furnish information requested on Form 3115. The
taxpayer will be told promptly, and later in writing, of the approval or denial of the requested
extension. If the extension request is denied, there is no right of appeal.

(b) Automatic change request. For an automatic change request, an additional period, not to
exceed 30 calendar days, to furnish information may be granted to a taxpayer. Any request for an
extension of time must be made in writing and submitted before the end of the original 30-day
period. If unusual circumstances close to the end of the 30-day period make a written request
impractical, the taxpayer should notify the Associate office within the 30-day period that there is
a problem and that the written request for extension will be coming soon. An extension of the

30-day period will be granted only if approved by a branch reviewer. An extension of the 30-day
period ordinarily will not be granted to furnish information requested on Form 3115. The taxpayer
will be told promptly of the approval or denial of the requested extension. If the extension request
is denied, there is no right of appeal.

### Penalties of perjury statement for additional information

(3) Penalties of perjury statement for additional information. Additional information
submitted to the Associate office must be accompanied by the following declaration: "Under
penalties of perjury, I declare that I have examined this information, including accompa-
nying documents, and, to the best of my knowledge and belief, the information contains all
the relevant facts relating to the request for the information, and such facts are true,
correct, and complete." This declaration must be signed in accordance with the requirements in
section 9.03(11)(b) of this revenue procedure.

Identifying information
included in additional
information

(4) Identifying information included in additional information. The additional information
should also include the taxpayer's name and the case control number and the name, office
symbols, and room number of the Associate office representative who requested the information.
The Associate office representative can provide the latter information to the taxpayer.

Faxing information request
and additional information

(5) Faxing information request and additional information. To facilitate prompt action on
a change in method of accounting ruling request, taxpayers may request that the Associate office
request additional information by fax. See section 9.04(3) of this revenue procedure.

Taxpayers may also submit additional information by fax as soon as the information is available.
The Associate office representative who requests additional information can provide a telephone
number to which the information can be faxed. A copy of the requested information and an original
signed penalties of perjury statement also must be mailed or delivered to the Associate office.

Address to which to send
additional information to
an Associate office

(6) Address to which to send additional information to an Associate office.

(a) Address if private delivery service is not used. For a request for change in method of
accounting under the jurisdiction of the Associate Chief Counsel (Income Tax and Accounting),
if a private delivery service is not used, the additional information should be sent to:

Internal Revenue Service
ADDITIONAL INFORMATION
Attn: [Name, office symbols, and
room number of the Associate office
representative who requested
the information]
P.O. Box 14095
Ben Franklin Station
Washington, DC 20044

For a request for change in method of accounting for an exempt organization, if a private
delivery service is not used, the additional information should be sent to:

Internal Revenue Service
Tax Exempt & Government Entities
P. O. Box 2508
McPherson Station
Washington, DC 20038

For any other request for change in method of accounting, if a private delivery service is not
used, the additional information should be sent to:

Internal Revenue Service
ADDITIONAL INFORMATION
Attn: [Name, office symbols, and
room number of the Associate office
representative who requested the information]
P.O. Box 7604
Ben Franklin Station
Washington, DC 20044

(b) Address if private delivery service is used. For a request for a change in method of
accounting for other than an exempt organization, if a private delivery service is used, the
additional information should be sent to:

For a request for change in method of accounting for an exempt organization, if a private
delivery service is used the additional information should be sent to:

Failure to timely submit
additional information to
an Associate office

Internal Revenue Service
P.O. Box 12192
Covington, KY 41012-0192

(7) If taxpayer does not timely submit additional information.

(a) Non-automatic change request. In the case of a non-automatic change request, if the
required information is not furnished to the Associate office within the reply period, the Form
3115 will not be processed and the case will be closed. The taxpayer or authorized representative
will be so notified in writing.

(b) Automatic change request. In the case of an automatic change request, if the required
information is not furnished to the Associate office within the reply period, the request does not
qualify for the automatic change request procedure. In such a case, the Associate office will notify
the taxpayer that consent to make the change in method of accounting is not granted.

(c) Submitting the additional information at a later date. If the taxpayer wants to submit the
additional information at a later date, the taxpayer must submit it with a new completed Form
3115 (and user fee, if applicable) for a year of change for which such new Form 3115 is timely
filed under the applicable change in method of accounting procedure.

Circumstances in which the taxpayer must notify the Associate office

.09 For a non-automatic Form 3115, the taxpayer must promptly notify the Associate office if, after the Form 3115 is filed but before a change in method of accounting letter ruling is issued, the taxpayer knows that-

(1) a Field office has started an examination of the present or proposed accounting;

(2) a Field office has started an examination of the proposed year of change;

(3) legislation that may affect the change in method of accounting has been introduced, see section 9.03(7) of this revenue procedure; or

(4) another letter ruling request (including another Form 3115) has been submitted by the taxpayer or a related party within the meaning of § 267 or a member of an affiliated group of which the taxpayer is a member within the meaning of § 1504.

Determines if proposed method of accounting can be modified to obtain favorable letter ruling

.10 For a non-automatic Form 3115, if a less than fully favorable change in method of accounting letter ruling is indicated, the branch representative will tell the taxpayer whether minor changes in the proposed method of accounting would bring about a favorable ruling. The branch representative will not suggest precise changes that materially alter a taxpayer's proposed method of accounting.

Near the completion of processing the Form 3115, advises the taxpayer if the Associate office will rule adversely and offers the taxpayer the opportunity to withdraw Form 3115

.11 Generally, after the conference is held (or offered, in the event no conference is held) and before issuing any change in method of accounting letter ruling that is adverse to the requested change in method of accounting, the taxpayer will be offered the opportunity to withdraw the Form 3115. See section 9.12 of this revenue procedure. If, within 10 calendar days of the notification by the branch representative, the taxpayer or the taxpayer's representative does not notify the branch representative of a decision to withdraw the Form 3115, the adverse change in method of accounting letter ruling will be issued unless an extension is granted. Ordinarily, the user fee required for a non-automatic Form 3115 will not be refunded for a Form 3115 that is withdrawn.

Non-automatic Form 3115 may be withdrawn or Associate office may decline to issue a change in method of accounting letter ruling

.12

In general

(1) In general. A taxpayer may withdraw a non-automatic Form 3115 at any time before the change in method of accounting letter ruling is signed by the Associate office. The Form 3115, correspondence, and any documents relating to the Form 3115 that is withdrawn or for which the Associate office declines to issue a letter ruling will not be returned to the taxpayer. See section 9.03(3) of this revenue procedure. In appropriate cases, the Service may publish its conclusions in a revenue ruling or revenue procedure.

Notification of appropriate Service official

(2) Notification of appropriate Service official. If a taxpayer withdraws, or the Associate office declines to grant (for any reason), a request to change from or to an improper method of accounting, the Associate office will notify, in writing, the appropriate Service official in the operating division that has examination jurisdiction of the taxpayer's tax return and the Coordi- nator of the Methods of Accounting and Timing Issue Practice Group, and may give its views on the issues in the request to the Service official to consider in any later examination of the return.

If the memorandum to the Service official provides more than the fact that the request was
withdrawn and the Associate office was tentatively adverse, or that the Associate office declines
to grant a change in method of accounting, the memorandum may constitute Chief Counsel
Advice, as defined in § 6110(i)(1), and may be subject to disclosure under § 6110.

Refund of user fee

(3) Refund of user fee. Ordinarily, the user fee will not be returned for a non-automatic Form
3115 that is withdrawn. See section 15.10 of this revenue procedure for information regarding
refunds of user fees.

How to check status of a
pending non-automatic
Form 3115

.13 The taxpayer or the taxpayer's authorized representative may obtain information regarding
the status of a non-automatic Form 3115 by calling the person whose name and telephone number
are shown on the acknowledgement of receipt of the Form 3115.

Service is not bound by
informal opinion

.14 The Service will not be bound by any informal opinion expressed by the branch represen-
tative or any other Service representative, and such an opinion cannot be relied upon as a basis
for obtaining retroactive relief under the provisions of § 7805(b).

Single letter ruling issued
to a taxpayer or
consolidated group for
qualifying identical change
in method of accounting

.15 For a non-automatic Form 3115 qualifying under section 15.07(4) for the user fee provided
in paragraph (A)(5)(b) of Appendix A of this revenue procedure for identical changes in method
of accounting, the Associate office generally will issue a single letter ruling on behalf of all
applicants on the Form 3115 that are the subject of the request.

Letter ruling ordinarily not
issued for one of two or
more interrelated items or
submethods

.16 If two or more items or submethods of accounting are interrelated, the Associate office
ordinarily will not issue a letter ruling on a change in method of accounting involving only one
of the items or submethods.

Consent Agreement

.17 Ordinarily, for a non-automatic Form 3115, the Commissioner's permission to change a
taxpayer's method of accounting is set forth in a letter ruling (original and a Consent Agreement
copy). If the taxpayer agrees to the terms and conditions contained in the change in method of
accounting letter ruling, the taxpayer must sign and date the Consent Agreement copy of the letter
ruling in the appropriate space. The Consent Agreement must be signed by an individual with
authority to bind the taxpayer in such matters. The Consent Agreement copy must not be signed
by the taxpayer's representative. The signed copy of the letter ruling will constitute an agreement
(Consent Agreement) within the meaning of § 1.481-4(b) of the regulations. The signed Consent
Agreement copy of the letter ruling must be returned to the Associate office within 45 calendar
days. In addition, a copy of the signed Consent Agreement must be attached to the taxpayer's
income tax return for the year of change. See section 8.11 of Rev. Proc. 97-27. A taxpayer filing
its return electronically should attach the Consent Agreement as a PDF file named
"Form3115Consent." If the taxpayer has filed its income tax return for the year of change before
the ruling has been received and the Consent Agreement has been signed and returned, the copy
of the signed Consent Agreement should be attached to the amended return for the year of change
that the taxpayer files to implement the change in method of accounting.

A taxpayer must secure the consent of the Commissioner before changing a method of
accounting for Federal income tax purposes. See Treas. Reg. § 1.446-1(e)(2)(i). For a change in
method of accounting requested on a non-automatic Form 3115, a taxpayer has secured the
consent of the Commissioner when the taxpayer timely signs and returns the Consent Agreement
copy of the letter ruling from the Associate office granting permission to make the change in
method of accounting and otherwise complies with Rev. Proc. 97-27 (or successor). A taxpayer
that timely files a non-automatic Form 3115 and takes the requested change in method of
accounting into account in its federal income tax return for the year of change (and any
subsequent taxable year) prior to receiving a letter ruling granting consent for that change has

made a change in method of accounting without obtaining the consent of the Commissioner as
required by § 446(e) (an "unauthorized change"). As provided in section 11 of Rev. Proc. 97-27
(or successor), the Director may determine when a change is not made in compliance with all
applicable provisions of Rev. Proc. 97-27 (or successor) and may deny the unauthorized change.
However, the Commissioner's consent, issued subsequent to the requested year of change, applies
back to the year of change (and any subsequent taxable year) as of the date of a letter ruling
granting consent for that change if the taxpayer timely signs and returns the Consent Agreement
copy and implements the change in accordance with all applicable provisions of Rev. Proc. 97-27
(or successor) and section 11 of this revenue procedure. If the Commissioner does not grant
consent under Rev. Proc. 97-27 (or successor) for the change in method of accounting taken into
account by the taxpayer, the taxpayer is subject to any interest, penalties, or other adjustments
resulting from improper implementation of the change. See § 446(f). A taxpayer who timely files
a non-automatic Form 3115 and takes the requested change into account in the taxpayer's Federal
income tax return for the year of change (and any subsequent tax year), prior to receiving the letter
ruling granting permission for the requested change, may nevertheless rely on the letter ruling
received from the Associate office after it is received, as provided in section 9.19 of this revenue
procedure. If, however, the requested change is modified or is withdrawn, denied, or similarly
closed without the Associate office having granted consent, taxpayers are not relieved of any
interest, penalties, or other adjustments resulting from improper implementation of the change.

A copy of the change in
method of accounting letter
ruling is sent to
appropriate Service official

.18 The Associate office will send a copy of each change in method of accounting letter ruling,
whether favorable or adverse, to the appropriate Service official in the operating division that has
examination jurisdiction of the taxpayer's tax return.

Consent to change a
method of accounting may
be relied on subject to
limitations

.19 A taxpayer may rely on a change in method of accounting letter ruling received from the
Associate office, subject to certain conditions and limitations. See sections 9, 10, and 11 of Rev.
Proc. 97-27, 1997-1 C.B 680.

A qualifying taxpayer complying timely with an automatic change request procedure may rely
on the consent of the Commissioner as provided in the automatic change request procedure to
change the taxpayer's method of accounting, subject to certain conditions and limitations. See
generally sections 6.01, 7, and 8 of Rev. Proc. 2011-14, 2011-4 I.R.B. 330 (or its successor). An
Associate office may review a Form 3115 filed under an automatic change request procedure and
will notify the taxpayer if additional information is needed or if consent is not granted to the
taxpayer for the requested change. See section 10 of Rev. Proc. 2011-14 (or its successor).
Further, the Field office that has jurisdiction over the taxpayer's return may review the Form
3115. See section 9 of Rev. Proc. 2011-14.

### Change in method of accounting letter ruling does not apply to another taxpayer

.20 A taxpayer may not rely on a change in method of accounting letter ruling issued to another
taxpayer. See § 6110(k)(3).

### Associate office discretion to permit requested change in method of accounting

.21 The Associate office reserves the right to decline to process any non-automatic Form 3115
in situations in which it would not be in the best interest of sound tax administration to permit the
requested change. In this regard, the Associate office will consider whether the change in method
of accounting would clearly and directly frustrate compliance efforts of the Service in adminis-
tering the income tax laws. See section 8.01 of Rev. Proc. 97-27.

### List of automatic change in method of accounting request procedures

.22 For procedures regarding requests for an automatic change in method of accounting, refer
to the following published automatic change request procedures. The Commissioner's consent to
an otherwise qualifying automatic change in method of accounting is granted only if the taxpayer
complies timely with the applicable automatic change request procedure.

The automatic change request procedures for obtaining a change in method of accounting
include:

(1) Rev. Proc. 2011-14, 2011-4 I.R.B. 330 (or any successor). Rev. Proc. 2011-14 applies to
the changes in method of accounting described in the Appendix of Rev. Proc. 2011-14, 2011-4
I.R.B. 330.

(2) The following automatic change request procedures, which require a completed Form 3115,
provide both the procedures under which a change may be made automatically and the procedures
under which such change must be made:

Treas. Reg. § 1.166-2(d)(3) (bank conformity for bad debts);

Treas. Reg. § 1.448-1 (to an overall accrual method for the taxpayer's first taxable year it is
subject to § 448) (this change may also be subject to the procedures of Rev. Proc. 2011-14,
2011-4 I.R.B. 330 (or any successor));

Treas. Reg. § 1.458-1 and -2 (exclusion for certain returned magazines, paperbacks, or
records);

Rev. Proc. 97-43, 1997-2 C.B. 494 (§ 475-electing out of certain exemptions from securities
dealer status); and

Rev. Proc. 91-51, 1991-2 C.B. 779 (§ 1286-certain taxpayers under examination that sell
mortgages and retain rights to service the mortgages).

(3) The following automatic change request procedures, which do not require a completed
Form 3115, provide the type of change in method of accounting that may be made automatically
and also provide the procedures under which such change must be made:

Notice 96-30, 1996-1 C.B. 378 (§ 446-change to comply with Statement of Financial
Accounting Standards No. 116);

Rev. Proc. 92-29, 1992-1 C.B. 748 (§ 461-change in real estate developer's method for
including costs of common improvements in the basis of property sold);

Rev. Proc. 98-58, 1998-2 C.B. 712 (certain taxpayers seeking to change to the installment
method of accounting under § 453 for alternative minimum tax purposes for certain deferred
payment sales contracts relating to property used or produced in the trade or business of farming);

Treas. Reg. § 1.472-2 (taxpayers changing to the last-in, first-out (LIFO) inventory method);

Section 585(c) and Treas. Reg. §§ 1.585-6 and 1.585-7 (large bank changing from the reserve
method of § 585); and

Rev. Proc. 92-67, 1992-2 C.B. 429 (election under § 1278(b) to include market discount in
income currently or election under § 1276(b) to use constant interest rate to determine accrued
market discount).

(4) See Appendix G for the list of revenue procedures for automatic changes in accounting
period.

Other sections of this
revenue procedure that are
applicable to Form 3115

.23 In addition to this section 9, the following sections of this revenue procedure apply to
automatic change requests and non-automatic change requests:

1 (purpose of Rev. Proc. 2015-1);

2.01 (definition of "letter ruling");

2.02 (definition of "closing agreement");

2.05 (oral guidance);

3.01 (issues under the jurisdiction of the Associate Chief Counsel (Corporate));

3.02 (issues under the jurisdiction of the Associate Chief Counsel (Financial Institutions and
Products));

3.03 (issues under the jurisdiction of the Associate Chief Counsel (Income Tax and Account-
ing));

3.04 (issues under the jurisdiction of the Associate Chief Counsel (International));

3.05 (issues under the jurisdiction of the Associate Chief Counsel (Passthroughs and Special
Industries));

3.07 (issues under the jurisdiction of the Associate Chief Counsel (Tax Exempt and Govern-
ment Entities));

5.03(2) (period of limitation when filing a request for extensions of time for making an election
or for other relief under § 301.9100);

6.02 (letter rulings ordinarily not issued in certain areas because of the factual nature of the
problem);

6.05 (letter rulings ordinarily not issued to business associations or groups);

6.06 (letter rulings ordinarily not issued where the request does not address the tax status,
liability, or reporting obligations of the requester);

6.08 (letter rulings ordinarily not issued on Federal tax consequences of proposed legislation);

6.10 (letter rulings not issued on frivolous issues);

6.12 (letter rulings not issued on alternative plans or hypothetical situation);

7.01(1) (statement of facts and other information);

7.01(8) (statement of supporting authorities);

7.01(13) (authorized representatives);

7.01(14) (power of attorney and declaration of representative);

7.02(2) (power of attorney used to indicate recipient of a copy or copies of a letter ruling or a
determination letter);

7.02(4) (expedited handling);

7.04(2) (notify Associate office if a return, amended return, or claim for refund is filed while
request is pending and attach request to the return);

8.01 (receipt and control of the request, and referral to the appropriate Associate office);

8.04 (not bound by informal opinion expressed);

10 (scheduling conferences);

15 (user fees);

16 (significant changes to Rev. Proc. 2014-1);

17 (effect of Rev. Proc. 2015-1 on other documents);

18 (effective date of this revenue procedure);

Appendix A (schedule of user fees); and

Appendix G (revenue procedures and notices regarding letter ruling requests relating to specific
Code sections and subject matters).

# SECTION 10. HOW ARE CONFERENCES FOR LETTER RULINGS SCHEDULED?

Schedules a conference if
requested by taxpayer

.01 A taxpayer may request a conference regarding a letter ruling request. Normally, a
conference is scheduled only when the Associate office considers it to be helpful in deciding the
case or when an adverse decision is indicated. If conferences are being arranged for more than one

request for a letter ruling involving the same taxpayer, they will be scheduled so as to cause the
least inconvenience to the taxpayer. As stated in sections 7.02(6) and 9.04(4) of this revenue
procedure, a taxpayer who wants to have a conference on the issue or issues involved should
indicate this in writing when, or soon after, filing the request.

If a conference has been requested, the taxpayer or the taxpayer's representative will be notified
by telephone, if possible, of the time and place of the conference, which must then be held within
21 calendar days after this contact. Instructions for requesting an extension of the 21-day period
and notifying the taxpayer or the taxpayer's representative of the Associate office's approval or
denial of the request for extension are the same as those explained in section 8.05(2) (section
9.08(2)(a) for a change in method of accounting request) of this revenue procedure regarding
providing additional information.

Permits taxpayer one
conference of right

.02 A taxpayer is entitled, as a matter of right, to only one conference in the Associate office,
except as explained under section 10.05 of this revenue procedure. This conference is normally
held at the branch level and is attended by a person who has the authority to sign the letter ruling
in his or her own name or for the branch chief.

When more than one branch has taken an adverse position on an issue in a letter ruling request
or when the position ultimately adopted by one branch will affect that adopted by another, a
representative from each branch with the authority to sign in his or her own name or for the branch
chief will attend the conference. If more than one subject is to be discussed at the conference, the
discussion will constitute a conference on each subject.

To have a thorough and informed discussion of the issues, the conference usually will be held
after the branch has had an opportunity to study the case. At the request of the taxpayer, the
conference of right may be held earlier.

No taxpayer has a right to appeal the action of a branch to an Associate Chief Counsel or to
any other official of the Service. But see section 10.05 of this revenue procedure for situations in
which the Associate office may offer additional conferences.

In employment tax matters, if the service recipient (the firm) requests the letter ruling, the firm
is entitled to a conference. If the worker requests the letter ruling, both the worker and the firm
are entitled to a conference. See section 5.10 of this revenue procedure.

## Disallows verbatim recording of conferences

.03 Because conference procedures are informal, no tape, stenographic, or other verbatim
recording of a conference may be made by any party.

Makes tentative
recommendations on
substantive issues

.04 The senior Associate office representative present at the conference ensures that the
taxpayer has the opportunity to present views on all the issues in question. An Associate office
representative explains the Associate office's tentative decision on the substantive issues and the
reasons for that decision. If the taxpayer asks the Associate office to limit the retroactive effect
of any letter ruling or limit the revocation or modification of a prior letter ruling, an Associate
office representative will discuss the recommendation concerning this issue and the reasons for
the recommendation. The Associate office representatives will not make a commitment regarding
the conclusion that the Associate office will finally adopt.

## May offer additional conferences

.05 The Associate office will offer the taxpayer an additional conference if, after the conference
of right, an adverse holding is proposed, but on a new issue, or on the same issue but on different
grounds from those discussed at the first conference. There is no right to another conference when
a proposed holding is reversed at a higher level with a result less favorable to the taxpayer, if the
grounds or arguments on which the reversal is based were discussed at the conference of right.

The limit on the number of conferences to which a taxpayer is entitled does not prevent the
Associate office from offering additional conferences, including conferences with an official
higher than the branch level, if the Associate office decides they are needed. These conferences
are not offered as a matter of course simply because the branch has reached an adverse decision.
In general, conferences with higher level officials are offered only if the Associate office
determines that the case presents significant issues of tax policy or tax administration and that the
consideration of these issues would be enhanced by additional conferences with the taxpayer.

Requires written
confirmation of
information presented at
conference

.06 The taxpayer should furnish to the Associate office any additional data, reasoning,
precedents, etc. that were proposed by the taxpayer and discussed at the conference but not
previously or adequately presented in writing. The taxpayer must furnish the additional infor-
mation within 21 calendar days from the date of the conference. If the additional information is
not received within that time, a letter ruling will be issued on the basis of the information on hand
or, if appropriate, no ruling will be issued. See section 8.05 of this revenue procedure for
instructions on submission of additional information for a letter ruling request other than a change
in method of accounting request. See section 9.08 of this revenue procedure for instructions on
submitting additional information for a change in method of accounting request.

May schedule a pre-
submission conference

.07 Sometimes it will be advantageous to both the Associate office and the taxpayer to hold a
conference before the taxpayer submits the letter ruling request to discuss substantive or
procedural issues relating to a proposed transaction. These conferences are held only if the
identity of the taxpayer is provided to the Associate office, only if the taxpayer actually intends
to make a request, only if the request involves a matter on which a letter ruling is ordinarily
issued, and only at the discretion of the Associate office and as time permits. For example, a
pre-submission conference will not be held on an income tax issue if, at the time the pre-
submission conference is requested, the identical issue is involved in the taxpayer's return for an
earlier period and that issue is being examined by a Field office. See section 6.01(1) of this
revenue procedure. A letter ruling request submitted following a pre-submission conference will
not necessarily be assigned to the branch that held the pre-submission conference. Also, when a
letter ruling request is not submitted following a pre-submission conference, the Associate office
may notify, by memorandum, the appropriate Service official in the operating division that has
examination jurisdiction of the taxpayer's tax return and may give its views on the issues raised
during the pre-submission conference. For LB&I taxpayers, a copy of the memorandum will be
sent to the Director of Pre-Filing & Technical Guidance. This memorandum may constitute Chief
Counsel Advice, as defined in § 6110(i), and may be subject to disclosure under § 6110.

(1) Taxpayer may request a pre-submission conference in writing or by telephone. A
taxpayer or the taxpayer's representative may request a pre-submission conference in writing or
by telephone. If the taxpayer's representative is requesting the pre-submission conference, a
power of attorney is required. A taxpayer should use Form 2848, Power of Attorney and
Declaration of Representative, to provide the representative's authority. If multiple taxpayers
and/or their authorized representatives will attend or participate in the pre-submission conference,
cross powers of attorney (or, as appropriate, tax information authorizations) are required. If the
taxpayer's representative is requesting the pre-submission conference by telephone, the Associate
office's representative (see list of phone numbers below) will provide the fax number to send the
power of attorney (or, as appropriate, tax information authorizations) prior to scheduling the
pre-submission conference.

The request must identify the taxpayer and briefly explain the primary issue so it can be
assigned to the appropriate branch. If submitted in writing, the request should also identify the
Associate office expected to have jurisdiction over the request for a letter ruling. A written request
for a pre-submission conference should be sent to the appropriate address listed in section 7.03
of this revenue procedure.

To request a pre-submission conference by telephone, call:

(a) (202) 317-7700 (not a toll-free call) for matters under the jurisdiction of the Office of
Associate Chief Counsel (Corporate);

(b) (202) 317-3900 (not a toll-free call) for matters under the jurisdiction of the Office of
Associate Chief Counsel (Financial Institutions and Products);

(c) (202) 317-7002 (not a toll-free call) for matters under the jurisdiction of the Office of
Associate Chief Counsel (Income Tax and Accounting);

(d) (202) 317-3800 (not a toll-free call) for matters under the jurisdiction of the Office of
Associate Chief Counsel (International);

(e) (202) 317-3100 (not a toll-free call) for matters under the jurisdiction of the Office of
Associate Chief Counsel (Passthroughs and Special Industries);

(f) (202) 317-3400 (not a toll-free call) for matters under the jurisdiction of the Office of
Associate Chief Counsel (Procedure and Administration); or

(g) (202) 317-6000 (not a toll-free call) for matters under the jurisdiction of the Office of
Associate Chief Counsel (Tax Exempt and Government Entities).

(2) Pre-submission conferences held in person or by telephone. Depending on the circum-
stances, pre-submission conferences may be held in person at the Associate office or may be
conducted by telephone.

(3) Certain information required to be submitted to the Associate office prior to the
pre-submission conference. Generally, the taxpayer will be asked to provide, at least three
business days before the scheduled pre-submission conference, a statement of whether the issue
is an issue on which a letter ruling is ordinarily issued, a draft of the letter ruling request or other
detailed written statement of the proposed transaction, issue, and legal analysis. If the taxpayer's
authorized representative will attend or participate in the pre-submission conference, a power of
attorney is required.

(4) Discussion of substantive issues is not binding on the Service. Any discussion of
substantive issues at a pre-submission conference is advisory only, is not binding on the Service
in general or on the Office of Chief Counsel in particular, and cannot be relied upon as a basis
for obtaining retroactive relief under the provisions of § 7805(b).

May schedule a conference
to be held by telephone

.08 Depending on the circumstances, conferences, including conferences of right and pre-
submission conferences, may be held by telephone. This may occur, for example, when a taxpayer
wants a conference of right but believes that the issue involved does not warrant incurring the
expense of traveling to Washington, DC, or if it is believed that scheduling an in-person
conference of right will substantially delay the ruling process. If a taxpayer makes such a request,
the branch reviewer will decide if it is appropriate in the particular case to hold a conference by
telephone. If the request is approved, the taxpayer will be advised when to call the Associate
office representatives (not a toll-free call).

# SECTION 11. WHAT EFFECT WILL A LETTER RULING HAVE?

May be relied on subject to
limitations

.01 A taxpayer ordinarily may rely on a letter ruling received from the Associate office subject
to the conditions and limitations described in this section.

Will not apply to another
taxpayer

.02 A taxpayer may not rely on a letter ruling issued to another taxpayer. See § 6110(k)(3).
However, shareholders and security holders of a corporation may rely on a letter ruling issued to
the corporation for the limited purpose of determining the proper treatment of directly related tax
items. For example, a letter ruling issued to a corporation with respect to the reorganization of that
corporation may be relied upon by the corporation's shareholders in determining their basis in the
stock of the corporation following the reorganization. See also section 11.06(3) of this revenue
procedure.

Will be used by a Field
office in examining the
taxpayer's return

.03 When determining a taxpayer's liability, the Field office must ascertain whether-

(1) the conclusions stated in the letter ruling are properly reflected in the return;

(2) the representations upon which the letter ruling was based reflect an accurate statement of
the controlling facts;

(3) the transaction was carried out substantially as proposed; and

(4) there has been any change in the law that applies to the period during which the transaction
or continuing series of transactions were consummated.

If, when determining the liability, the Field office finds that a letter ruling should be revoked
or modified, the findings and recommendations of the Field office will be forwarded through the
appropriate Director to the Associate office for consideration before further action is taken by the
Field office. Such a referral to the Associate office will be treated as a request for technical advice
and the provisions of Rev. Proc. 2015-2, this Bulletin, relating to requests for technical advice
will be followed. See section 13.02 of Rev. Proc. 2015-2, this Bulletin. Otherwise, the Field office
should apply the letter ruling in determining the taxpayer's liability. If a Field office having
jurisdiction over a return or other matter proposes to reach a conclusion contrary to a letter ruling
previously issued to the taxpayer, it should coordinate the matter with the Associate office.

May be revoked or
modified if found to be in
error or there has been a
change in law

.04 Unless it was part of a closing agreement as described in section 2.02 of this revenue
procedure, a letter ruling found to be in error or not in accord with the current views of the Service
may be revoked or modified. If a letter ruling is revoked or modified, the revocation or
modification applies to all years open under the period of limitation unless the Service uses its
discretionary authority under § 7805(b) to limit the retroactive effect of the revocation or
modification.

A letter ruling may be revoked or modified by-

(1) a letter giving notice of revocation or modification to the taxpayer to whom the letter ruling
was issued;

Sec. 11.04
January 2, 2015

(2) the enactment of legislation or ratification of a tax treaty;

(3) a decision of the United States Supreme Court;

(4) the issuance of temporary or final regulations; or

(5) the issuance of a revenue ruling, revenue procedure, notice, or other statement published in
the Internal Revenue Bulletin.

Consistent with these provisions, if a letter ruling relates to a continuing action or a series of
actions, it ordinarily will be applied until any one of the events described above occurs or until
it is specifically withdrawn.

Publication of a notice of proposed rulemaking will not affect the application of any letter
ruling issued under this revenue procedure.

Where a letter ruling is revoked or modified by a letter to the taxpayer, the letter will state
whether the revocation or modification is retroactive. Where a letter ruling is revoked or modified
by the issuance of final or temporary regulations or by the publication of a revenue ruling, revenue
procedure, notice, or other statement in the Internal Revenue Bulletin, the document may contain
a statement as to its retroactive effect on letter rulings.

Letter ruling revoked or
modified based on material
change in facts applied
retroactively

.05 An Associate office will revoke or modify a letter ruling and apply the revocation
retroactively to the taxpayer for whom the letter ruling was issued or to a taxpayer whose tax
liability was directly involved in the letter ruling if-

(1) there has been a misstatement or omission of controlling facts;

(2) the facts at the time of the transaction are materially different from the controlling facts on
which the letter ruling was based; or

(3) the transaction involves a continuing action or series of actions and the controlling facts
change during the course of the transaction.

Not otherwise generally
revoked or modified
retroactively

.06 Where the revocation or modification of a letter ruling is for reasons other than a change
in facts as described in section 11.05 of this revenue procedure, it will generally not be applied
retroactively to the taxpayer for whom the letter ruling was issued or to a taxpayer whose tax
liability was directly involved in the letter ruling provided that-

(1) there has been no change in the applicable law;

(2) the letter ruling was originally issued for a proposed transaction; and

however, is not directly involved in a letter ruling issued to another member of the same industry.
Therefore, a nonretroactive revocation or modification of a letter ruling to one member of an
industry will not extend to other members of the industry who have not received letter rulings. By
the same reasoning, a tax practitioner may not extend to one client the non-retroactive application
of a revocation or modification of a letter ruling previously issued to another client.

If a letter ruling is revoked or modified by a letter with retroactive effect, the letter will, except
in fraud cases, state the grounds on which the letter ruling is being revoked or modified and
explain the reasons why it is being revoked or modified retroactively.

Retroactive effect of
revocation or modification
applied to a particular
transaction

.07 A letter ruling issued on a particular transaction represents a holding of the Service on that
transaction only. It will not apply to a similar transaction in the same year or any other year.
Except in unusual circumstances, the application of that letter ruling to the transaction will not be
affected by the later issuance of regulations (either temporary or final) if conditions (1) through
(3) in section 11.06 of this revenue procedure are met.

If a letter ruling on a transaction is later found to be in error or no longer in accord with the
position of the Service, it will not protect a similar transaction of the taxpayer in the same year
or later year.

Retroactive effect of
revocation or modification
applied to a continuing
action or series of actions

.08 If a letter ruling is issued covering a continuing action or series of actions and the letter
ruling is later found to be in error or no longer in accord with the position of the Service, the
appropriate Associate Chief Counsel ordinarily will limit the retroactive effect of the revocation
or modification to a date that is not earlier than that on which the letter ruling is revoked or
modified. For example, the retroactive effect of the revocation or modification of a letter ruling
covering a continuing action or series of actions ordinarily would be limited in the following
situations when the letter ruling is in error or no longer in accord with the position of the Service:

(1) A taxpayer received a letter ruling that certain payments are excludable from gross income
for Federal income tax purposes. The taxpayer ordinarily would be protected only for the payment
received after the letter ruling was issued and before the revocation or modification of the letter
ruling.

(2) A taxpayer rendered a service or provided a facility that is subject to the excise tax on
services or facilities and, in relying on a letter ruling received, it did not pass the tax on to the user
of the service or the facility.

(3) An employer incurred liability under the Federal Insurance Contributions Act but, in relying
on a letter ruling received, neither collected the employee tax nor paid the employee and employer
taxes under the Federal Insurance Contributions Act. The retroactive effect would be limited for
both the employer and employee tax. The limitation would be conditioned on the employer
furnishing wage data, as may be required by § 31.6011(a)-1 of the Treasury Regulations.

Generally not retroactively
revoked or modified if
related to sale or lease
subject to excise tax

.09 A letter ruling holding that the sale or lease of a particular article is subject to the
manufacturer's excise tax or the retailer's excise tax may not retroactively revoke or modify an
earlier letter ruling holding that the sale or lease of such an article was not taxable if the taxpayer
to whom the letter ruling was issued, in relying on the earlier letter ruling, gave up possession or
ownership of the article without passing the tax on to the customer. See § 1108(b), Revenue Act
of 1926.

## May be retroactively revoked or modified when transaction is entered into before the issuance of the letter ruling

## Taxpayer may request that retroactivity be limited

.10 A taxpayer is not protected against retroactive revocation or modification of a letter ruling
involving a transaction completed before the issuance of the letter ruling or involving a continuing
action or series of actions occurring before the issuance of the letter ruling, because the taxpayer
did not enter into the transaction relying on a letter ruling.

.11 Under § 7805(b), the Service may prescribe any extent to which a revocation or modifi-
cation of a letter ruling will be applied without retroactive effect.

A taxpayer to whom a letter ruling has been issued may request that the appropriate Associate
Chief Counsel limit the retroactive effect of any revocation or modification of the letter ruling.

A taxpayer to whom a letter ruling has been issued by the Commissioner, Tax Exempt and
Government Entities may request that the Office of Associate Chief Counsel, Tax Exempt and
Government Entities limit the retroactive effect of any revocation or modification of the letter
ruling. See Rev. Proc. 2015-4, §13.10, this bulletin.

## Format of request

(1) Request for relief under § 7805(b) must be made in required format. A request to limit
the retroactive effect of the revocation or modification of a letter ruling must be in the general
form of, and meet the general requirements for, a letter ruling request. These requirements are
given in section 7 of this revenue procedure. Specifically, the request must also

(a) state that it is being made under § 7805(b);

(b) state the relief sought;

(c) explain the reasons and arguments in support of the relief requested (including a discussion
of section 11.05 of this revenue procedure, the three items listed in section 11.06 of this revenue
procedure, and any other factors as they relate to the taxpayer's particular situation); and

(d) include any documents bearing on the request.

A request that the Service limit the retroactive effect of a revocation or modification of a letter
ruling may be made in the form of a separate request for a letter ruling when, for example, a
revenue ruling has the effect of modifying or revoking a letter ruling previously issued to the
taxpayer or when the Service notifies the taxpayer of a change in position that will have the effect
of revoking or modifying the letter ruling.

When notice is given by the Field office during an examination of the taxpayer's return or by
Appeals, during consideration of the taxpayer's return before Appeals, a request to limit
retroactive effect must be made in the form of a request for technical advice as explained in
section 14.02 of Rev. Proc. 2015-2, this Bulletin.

When germane to a pending letter ruling request, a request to limit the retroactive effect of a
revocation or modification of a letter ruling may be made as part of the request for the letter
ruling, either initially or at any time before the letter ruling is issued. When a letter ruling that
concerns a continuing transaction is revoked or modified by, for example, a subsequent revenue
ruling, a request to limit retroactive effect must be made before the examination of the return that
contains the transaction that is the subject of the letter ruling request.

Request for conference

(2) Taxpayer may request a conference on application of § 7805(b). A taxpayer who requests the application of § 7805(b) in a separate letter ruling request has the right to a conference in the Associate office as explained in sections 10.02, 10.04, and 10.05 of this revenue procedure. If the request is made initially as part of a pending letter ruling request or is made before the conference of right is held on the substantive issues, the § 7805(b) issue will be discussed at the taxpayer's one conference of right as explained in section 10.02 of this revenue procedure. If the request for the application of § 7805(b) relief is made as part of a pending letter ruling request after a conference has been held on the substantive issue and the Associate office determines that there is justification for having delayed the request, the taxpayer is entitled to one conference of right concerning the application of § 7805(b), with the conference limited to discussion of this issue only.

SECTION 12. UNDER WHAT CIRCUMSTANCES DO DIRECTORS ISSUE DETERMINATION LETTERS?

Directors issue determination letters only if the question presented is specifically answered by a statute, tax treaty, or regulations, a conclusion stated in a revenue ruling, or an opinion or court decision that represents the position of the Service.

Under no circumstances will a Director issue a determination letter unless it is clearly shown that the request concerns a return that has been filed or is required to be filed and over which the Director has, or will have, examination jurisdiction.

A determination letter does not include assistance provided by the U.S. competent authority pursuant to the mutual agreement procedure in tax treaties as set forth in Rev. Proc. 2006-54, 2006-2 C.B. 1035.

In income and gift tax matters

.01 In income and gift tax matters, Directors issue determination letters in response to taxpayers' written requests on completed transactions that affect returns over which they have examination jurisdiction. A determination letter usually is not issued for a question concerning a return to be filed by the taxpayer if the same question is involved in a return already filed.

Normally, Directors do not issue determination letters on the tax consequences of proposed transactions. A Director may issue a determination letter on the replacement of involuntarily converted property under § 1033, even if the replacement has not yet been made, if the taxpayer has filed an income tax return for the year in which the property was involuntarily converted.

In estate tax matters

.02 In estate tax matters, Directors issue determination letters in response to written requests affecting the estate tax returns over which they have examination jurisdiction. They do not issue determination letters on matters concerning the application of the estate tax to the prospective estate of a living person.

In generation-skipping transfer tax matters

.03 In generation-skipping transfer tax matters, Directors issue determination letters in response to written requests affecting the generation-skipping transfer tax returns over which they have examination jurisdiction. They do not issue determination letters on matters concerning the application of the generation-skipping transfer tax before the distribution or termination takes place.

In employment and excise tax matters

.04 In employment and excise tax matters, Directors issue determination letters in response to taxpayers' written requests on completed transactions over which they have examination juris- diction.

All determination letter requests regarding employment status (employer/employee relation- ship) made by taxpayers that are not Federal agencies and instrumentalities or their workers, must

be submitted to the Internal Revenue Service at the address set forth on the current Form SS-8,
Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax
Withholding.

If the service recipient (the firm) requests the determination regarding employment status, the
firm will receive any determination letter issued. A copy will also be sent to any workers
identified in the request. If the worker makes the request and the firm has been contacted for
information, both the worker and the firm will receive any issued determination letter. The
determination letter will apply to any individuals engaged by the firm under substantially similar
circumstances. See section 5.10 of this revenue procedure for requests regarding employment
status made by Federal agencies and instrumentalities or their workers.

## Requests concerning income, estate, or gift tax returns

.05 A request received by a Director on a question concerning an income, estate, or gift tax
return already filed generally will be considered in connection with the examination of the return.
If a response is made to the request before the return is examined, it will be considered a tentative
finding in any later examination of that return.

Review of determination
letters

.06 Determination letters issued under sections 12.01 through 12.04 of this revenue procedure
are not reviewed by the Associate offices before they are issued. If a taxpayer believes that a
determination letter of this type is in error, the taxpayer may ask the Director to reconsider the
matter or to request technical advice from an Associate office as explained in Rev. Proc. 2015-2,
this Bulletin.

The preceding paragraph does not apply to SS-8 requests under section 12.04. If a taxpayer
disagrees with a determination of employment status made in response to an SS-8 request, the
taxpayer may request that the SS-8 Program reconsider the determination letter if the taxpayer
has additional information concerning the relationship that was not part of the original submission
or the taxpayer can identify facts that were part of the original submission that the taxpayer thinks
were not fully considered.

## SECTION 13. WHAT EFFECT WILL A DETERMINATION LETTER HAVE?

### Has same effect as a letter ruling

.01 A determination letter issued by a Director has the same effect as a letter ruling issued to
a taxpayer under section 11 of this revenue procedure.

If a Field office proposes to reach a conclusion contrary to that expressed in a determination
letter, that office need not refer the matter to the Associate office as is required for a letter ruling
found to be in error. The Field office must, however, refer the matter to the Associate office
through the appropriate Director if it desires to have the revocation or modification of the
determination letter limited under § 7805(b).

Taxpayer may request that
retroactive effect of
revocation or modification
be limited

.02 Under § 7805(b), the Service may prescribe the extent to which a revocation or modifi-
cation of a determination letter will be applied without retroactive effect. A Director does not have
authority under § 7805(b) to limit the revocation or modification of the determination letter.
Therefore, if the Field office proposes to revoke or modify a determination letter, the taxpayer
may request limitation of the retroactive effect of the revocation or modification by asking the
Director that issued the determination letter to seek technical advice from the Associate office. See
section 14.02 of Rev. Proc. 2015-2, this Bulletin.

Format of request

(1) Request for relief under § 7805(b) must be made in required format. A taxpayer's request to limit the retroactive effect of the revocation or modification of the determination letter must be in the form of, and meet the general requirements for, a technical advice request. See section 14.02 of Rev. Proc. 2015-2, this Bulletin. The request must also- (a) state that it is being made under § 7805(b);

(b) state the relief sought;

(c) explain the reasons and arguments in support of the relief sought (including a discussion of section 11.05 of this revenue procedure, the three items listed in section 11.06 of this revenue procedure, and any other factors as they relate to the taxpayer's particular situation); and (d) include any documents bearing on the request.

Request for conference

(2) Taxpayer may request a conference on application of § 7805(b). When technical advice is requested regarding the application of § 7805(b), the taxpayer has the right to a conference with the Associate office to the same extent as does any taxpayer who is the subject of a technical advice request. See section 14.04 of Rev. Proc. 2015-2, this Bulletin.

SECTION 14. UNDER WHAT CIRCUMSTANCES ARE MATTERS REFERRED BETWEEN A DIRECTOR AND AN ASSOCIATE OFFICE?

Requests for determination letters

.01 If a Director receives a request for a determination letter, but it may not issue one under the provisions of this revenue procedure, the Director will forward the request to the appropriate Associate office for reply. The Field office will notify the taxpayer that the matter has been referred. Directors will also refer to the appropriate Associate office any request for a determination letter that in their judgment should have the attention of the Associate office. The Field office will notify the taxpayer that the matter has been referred.

No-rule areas

.02 If the request involves an issue on which the Service will not issue a letter ruling or determination letter, the request will not be forwarded to an Associate office. The Director will notify the taxpayer that the Service will not issue a letter ruling or a determination letter on the issue. See section 6 of this revenue procedure for a description of no-rule areas.

Requests for letter rulings

.03 If an Associate office receives a request for a letter ruling that it may not act upon under section 6 of this revenue procedure, the Associate office may, in its discretion, forward the request to the Field office that has examination jurisdiction over the taxpayer's return. The taxpayer will be notified of this action. If the request is on an issue or in an area of the type discussed in section 6 of this revenue procedure and the Service decides not to issue a letter ruling or a determination letter, the Associate office will notify the taxpayer and will then forward the request to the appropriate Field office for association with the related return.

Letter ruling request mistakenly sent to a Director

.04 If a request for a letter ruling is mistakenly sent to a Director, the Director will return it to the taxpayer so that the taxpayer can send it to an Associate office.

Bulletin No. 2015-1

Sec. 14.04 65 January 2, 2015

## SECTION 15. WHAT ARE THE USER FEE REQUIREMENTS FOR REQUESTS FOR LETTER RULINGS AND DETERMINATION LETTERS?

Legislation authorizing user fees

.01 Section 7528 was added to the Internal Revenue Code by section 202 of the Extension of the Temporary Assistance for Needy Families Block Grant Program, Pub. L. No. 108-89, amended by section 891(a) of the American Jobs Creation Act of 2004, Pub. L. 108-357, and was made permanent by section 8244 of the U.S. Troop Readiness, Veterans' Care, Katrina Recovery, and Iraq Accountability Appropriations Act, 2007, Pub. L. No. 110-28.

Section 7528 provides that the Secretary of the Treasury or delegate (the "Secretary") shall establish a program requiring the payment of user fees for requests to the Service for letter rulings, opinion letters, determination letters, and other similar requests. The fees charged under the program are to: (1) vary according to categories or subcategories established by the Secretary; (2) be determined after taking into account the average time for, and difficulty of, complying with requests in each category or subcategory; and (3) be payable in advance. The Secretary is to provide for exemptions and reduced fees under the program as the Secretary determines to be appropriate, but the average fee applicable to each category or subcategory must not be less than the amount specified in § 7528(b)(3).

Requests to which a user fee applies

.02 In general, user fees apply to all requests for-

(1) letter rulings (including non-automatic Forms 3115, Application for Change in Accounting Method), determination letters, and advance pricing agreements;

(2) closing agreements described in paragraph (A)(3)(d) of Appendix A of this revenue procedure and pre-filing agreements described in Rev. Proc. 2009-14, 2009-3 I.R.B. 324 (or its successor);

(3) renewal of advance pricing agreements; and

(4) reconsideration of letter rulings or determination letters.

Requests to which a user fee applies must be accompanied by the appropriate fee as determined from the fee schedule provided in Appendix A of this revenue procedure. The fee may be refunded as provided in section 15.10 of this revenue procedure.

Requests to which a user fee does not apply

.03 User fees do not apply to-

(1) elections made pursuant to § 301.9100-2, pertaining to automatic extensions of time (see section 5.03 of this revenue procedure);

(2) late initial classification elections made pursuant to Rev. Proc. 2009-41, 2009-2 C.B. 439 (see section 5.03(6) of this revenue procedure);

(3) late S corporation and related elections made pursuant to Rev. Proc. 2013-30, 2013-36
I.R.B. 173 (see section 5.02 of this revenue procedure);

(4) requests for a change in accounting period or method of accounting permitted to be made
by a published automatic change request revenue procedure (see section 9.01(1) of this revenue
procedure);

(5) requests for harassment campaign letter rulings under Section 6104(d)(4);

(6) request for Neighborhood Land Use Rule letter rulings under Section 514(b)(3);

(7) information letters; or

(8) late elections under § 338 that qualify under the automatic provisions in sections 3, 4, and
5 of Rev. Proc. 2003-33, 2003-1 C.B. 803.

### Exemptions from the user fee requirements

.04 The user fee requirements do not apply to-

(1) departments, agencies, or instrumentalities of the United States if they certify that they are
seeking a letter ruling or determination letter on behalf of a program or activity funded by Federal
appropriations. The fact that a user fee is not charged does not have any bearing on whether an
applicant is treated as an agency or instrumentality of the United States for purposes of any
provision of the Code; or

(2) requests as to whether a worker is an employee for Federal employment taxes and income
tax withholding purposes (Subtitle C of the Code) submitted on Form SS-8, Determination of
Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding, or its
equivalent.

Fee schedule

.05 The schedule of user fees is provided in Appendix A of this revenue procedure. For the user
fee requirements applicable to-

(1) requests for advance pricing agreements or renewals of advance pricing agreements, see
section 4.12 of Rev. Proc. 2006-9, 2006-1 C.B. 278; or section 5.14 of Rev. Proc. 96-53,
1996-2 C.B. 375; or

(2) requests for letter rulings, determination letters, etc. under the jurisdiction of the Commis-
sioner, Tax Exempt and Government Entities Division, see Rev. Proc. 2015-8, this Bulletin.

Applicable user fee for a
request involving multiple
offices, fee categories,
issues, transactions, or
entities

.06

(1) Requests involving several offices. If a request dealing with only one transaction involves
more than one office within the Service (for example, one issue is under the jurisdiction of the
Associate Chief Counsel (Passthroughs and Special Industries) and another issue is under the
jurisdiction of the Commissioner, Tax Exempt and Government Entities Division), only one fee
applies, namely the highest fee that otherwise would apply to each of the offices involved. See
Rev. Proc. 2015-8, this Bulletin, for the user fees applicable to issues under the jurisdiction of
the Commissioner, Tax Exempt and Government Entities Division.

(2) Requests involving several fee categories. If a request dealing with only one transaction
involves more than one fee category, only one fee applies, the highest fee that otherwise would
apply to each of the categories involved.

(3) Requests involving several issues. If a request dealing with only one transaction involves
several issues, a request for a change in method of accounting dealing with only one item or
submethod of accounting involves several issues, or a request for a change in accounting period
dealing with only one item involves several issues, the request is treated as one request. Therefore,
only one fee applies, i.e., the fee that applies to the particular category or subcategory involved.
The addition of a new issue relating to the same transaction, item, or submethod will not result
in an additional fee unless the issue places the transaction, item, or submethod in a higher fee
category. So long as the issues all relate to a single transaction, a request that the Service address
one or more of the issues in a separate ruling will not result in an additional fee.

(4) Requests involving several unrelated transactions. If a request involves several unrelated
transactions, a request for a change in method of accounting involves several unrelated items or
submethods of accounting, or a request for a change in accounting period involves several
unrelated items, each transaction or item is treated as a separate request. As a result, a separate
fee will apply for each unrelated transaction, item, or submethod. An additional fee will apply if
the request is changed by the addition of an unrelated transaction, item, or submethod not
contained in the initial request. An example of a request involving unrelated transactions is a
request involving relief under § 301.9100-3 and the underlying issue.

(5) Requests involving several entities. Each entity involved in a transaction (for example, a
reorganization) that desires a separate letter ruling in its own name must pay a separate fee
regardless of whether the transaction or transactions may be viewed as related. But see section
15.07 of this revenue procedure.

(6) Requests made by married taxpayers who file jointly. A married couple filing a joint
return may jointly request a single letter ruling and pay a single user fee if the issues arise from
a joint activity or if the spouses would otherwise qualify for substantially identical letter rulings.
If a spouse desires a ruling to be individually issued to him or her, a separate fee must be paid
for each individual request. But see section 15.07 of this revenue procedure (providing a reduced
user fee for substantially identical letter rulings or substantially identical changes in method of
accounting).

Applicable user fee for
requests for substantially
identical letter rulings or
identical changes in
method of accounting

.07

(1) In general. The user fees provided in paragraph (A)(5) of Appendix A of this revenue
procedure apply to the situations described in sections 15.07(2) and 15.07(4) of this revenue
procedure. To assist in the processing of these user fee requests, all letter ruling requests
submitted under this section 15.07 should-

(a) except for non-automatic Forms 3115, include the following typed or printed language at
the top of the letter ruling request: "REQUEST FOR USER FEE UNDER SECTION 15.07 OF
Rev. Proc. 2015-1";

(b) list on the first page of the submission all taxpayers and entities, and separate and distinct
trades or businesses, including qualified subchapter S subsidiaries (QSubs) or single member
limited liability companies (single member LLCs), requesting a letter ruling (including the
taxpayer identification number and the amount of user fee submitted for each taxpayer, entity, or
separate and distinct trade or business); and

If the Service determines that the letter ruling requests do not qualify for the user fee provided
in paragraph (A)(5) of Appendix A of this revenue procedure, the Service will request the proper
fee. See section 15.09 of this revenue procedure.

(2) Substantially identical letter rulings. The user fee provided in paragraph (A)(5)(a) of
Appendix A of this revenue procedure applies to a taxpayer who requests substantially identical
letter rulings (including accounting period, method of accounting, and earnings and profits
requests other than those submitted on Form 1128, Application to Adopt, Change, or Retain a Tax
Year, Form 2553, Election by a Small Business Corporation, Form 3115, Application for Change
in Accounting Method, and Form 5452, Corporate Report of Nondividend Distributions) for either
multiple entities with a common member or sponsor, or multiple members of a common entity.
To qualify for this user fee, all information and underlying documents must be substantially
identical and all letter ruling requests must be submitted at the same time. In addition, the letter
ruling requests must-

(a) state that the letter ruling requests and all information and underlying documents are
substantially identical; and

(b) specifically identify the extent to which the letter ruling requests, information, and
underlying documents are not identical.

The reduced fee for substantially identical letter rulings is applicable to taxpayers requesting
closing agreements as described in section 2.02 of this revenue procedure, assuming they meet the
requirements described above for letter rulings.

(3) Substantially identical plans under § 25(c)(2)(B). The user fee provided in paragraph
(A)(5)(b) of Appendix A of this revenue procedure shall apply to a taxpayer who submits
substantially identical plans for administering the 95-percent requirement of § 143(d)(1) follow-
ing the submission and approval of an initial plan for administering the requirement. The request
for subsequent approvals of substantially identical plans must (1) state that a prior plan was
submitted and approved and include a copy of the prior plan and approval; (2) state that the
subsequent plan is substantially identical to the approved plan; and (3) describe any differences
between the approved plan and the subsequent plan.

(4) Identical changes in method of accounting and related § 301.9100 letter rulings. A
common parent of a consolidated group, or other taxpayer, is eligible for the user fees provided
in paragraphs (A)(5)(b) and (d) of Appendix A of this revenue procedure when requesting an
identical change in method of accounting on a single Form 3115, Application for Change in
Accounting Method, or an extension of time to file Form 3115 under § 301.9100-3 for the
identical change in method of accounting, for two or more of the following in any combination-

(a) members of that consolidated group;

(b) separate and distinct trades or businesses (for purposes of § 1.446-1(d)) of that taxpayer or
member(s) of that consolidated group. Separate and distinct trades or businesses, include QSubs
and single member LLCs;

(d) controlled foreign corporations (CFCs) and noncontrolled § 902 corporations (10/50
corporations) that do not engage in a trade or business within the United States where (i) all
controlling U.S. shareholders of the CFCs and all majority domestic corporate shareholders of the
10/50 corporations, as applicable, are members of that consolidated group; or (ii) the taxpayer is
the sole controlling U.S. shareholder of the CFCs or the sole domestic corporate shareholder of
that 10/50 corporation.

To qualify as an identical change in method of accounting, the multiple entities wholly owned
or controlled by a consolidated group or other taxpayer, or separate and distinct trades or
businesses (that is, the applicants) must request to change from an identical present method of
accounting to an identical proposed method of accounting. All aspects of the requested change in
method of accounting must be identical, including the year of change, the present and proposed
methods, the underlying facts and the authority for the request, except for the § 481(a) adjust-
ments. If the Associate office determines that the requested changes in method of accounting are
not identical, additional user fees will be required before any letter ruling is issued.

The taxpayer or common parent must, for each applicant for which the change in method of
accounting is being requested, attach to the Form 3115 a schedule providing the name, employer
identification number (where applicable), and § 481(a) adjustment. If the request is on behalf of
eligible CFCs or 10/50 corporations, the taxpayer or common parent must attach a statement that
"[a]ll controlling U.S. shareholders (as defined in § 1.964-1(c)(5)(i)) of all the CFCs to which the
request relates are members of the common parent's consolidated group," "[a]ll majority domestic
corporate shareholders (as defined in § 1.964-1(c)(5)(ii)) of all the 10/50 corporations to which
the request relates are members of the common parent's consolidated group," that " [t]he taxpayer
filing the request is the sole domestic corporate shareholder (as defined in § 1.964-1(c)(5)) of the
10/50 corporations to which the request relates," as applicable. If the request is on behalf of
eligible partnerships, the common parent must attach a statement that "[a]ll partnerships to which
the request relates are wholly-owned by members of the common parent's consolidated group."

In the case of a § 301.9100 request for an extension of time to file a Form 3115 requesting an
identical change in method of accounting for multiple members of a consolidated group and/or
multiple separate and distinct trades or businesses of a taxpayer or member(s) of the consolidated
group, or multiple eligible CFCs or 10/50 corporations (applicants), the taxpayer or common
parent must submit the information required in the preceding paragraph in addition to the
information required by section 5.03 of this revenue procedure.

Method of payment

.08 Each request to the Service for a letter ruling, determination letter, advance pricing
agreement, closing agreement described in paragraph (A)(3)(d) of Appendix A of this revenue
procedure, or reconsideration of a letter ruling or determination letter must be accompanied by a
check or money order in U.S. dollars, payable to the Internal Revenue Service, in the appropriate
amount. The user fee check or money order should not be attached to the Form 2553, Election by
a Small Business Corporation, when it is filed at the Service Center. If on the Form 2553, an
electing S corporation requests a ruling to use a fiscal year under section 6.03 of Rev. Proc.
2002-39, 2002-1 C.B. 1046, the Service Center will forward the request to the Associate office.
When the Associate office receives the Form 2553 from the Service Center, it will notify the
taxpayer that the fee is due. Taxpayers must not send cash.

Effect of nonpayment or
payment of incorrect
amount

.09 If a request is not accompanied by a properly completed check or money order or is
accompanied by a check or money order for less than the correct amount, the office within the
Service that is responsible for issuing the letter ruling, determination letter, information letter,
advance pricing agreement, closing agreement, or reconsideration of a letter ruling or determi-
nation letter generally will exercise discretion in deciding whether to immediately return the
request. If a request is not immediately returned, the taxpayer will be contacted and given a
reasonable amount of time to submit the proper fee. If the proper fee is not received within a

reasonable amount of time, the entire request will then be returned. The Service will usually defer
substantive consideration of a request until proper payment has been received. The return of a
request to the taxpayer may adversely affect substantive rights if the request is not perfected and
resubmitted to the Service within 30 calendar days of the date of the cover letter returning the
request.

If a request is accompanied by a check or money order for more than the correct amount, the
request will be accepted and the amount of the excess payment will be returned to the taxpayer.

### Refunds of user fee

.10 In general, the user fee will not be refunded unless the Service declines to rule on all issues
for which a ruling is requested.

(1) The following situations are examples of situations in which the user fee will not be
refunded:

(a) The request for a letter ruling, determination letter, etc. is withdrawn at any time subsequent
to its receipt by the Service, unless the only reason for withdrawal is that the Service has advised
the taxpayer that a higher user fee than was sent with the request is applicable and the taxpayer
is unwilling to pay the higher fee.

(b) The request is procedurally deficient, although accompanied by the proper fee or an
overpayment, and is not timely perfected. When there is a failure to timely perfect the request, the
case will be considered closed and the failure to perfect will be treated as a withdrawal for
purposes of this revenue procedure. See section 8.05(3) of this revenue procedure.

(c) The Associate office notifies the taxpayer that the Associate office will not issue the letter
ruling and has closed the case as a result of the taxpayer's failure to submit timely the additional
information requested by the Associate office. The failure to submit the additional information
will be treated as a withdrawal for purposes of this revenue procedure. See section 8.05(3) of this
revenue procedure (section 9.08(7) for a request for a change in method of accounting).

(d) A letter ruling, determination letter, etc. is revoked in whole or in part at the initiative of
the Service. The fee paid at the time the original letter ruling, determination letter, etc. was
requested will not be refunded.

(e) The request contains several issues, and the Service rules on some, but not all, of the issues.
The highest fee applicable to the issues on which the Service rules will not be refunded.

(f) The taxpayer asserts that a letter ruling the taxpayer received covering a single issue is
erroneous or not responsive (other than an issue on which the Associate office has declined to
rule) and requests reconsideration. The Associate office, upon reconsideration, does not agree that
the letter ruling is erroneous or is not responsive. The fee accompanying the request for
reconsideration will not be refunded.

(g) The situation is the same as described in paragraph (f) of this section 15.10(1) except that
the letter ruling covered several unrelated transactions. The Associate office, upon reconsidera-
tion, does not agree with the taxpayer that the letter ruling is erroneous or is not responsive for
all of the transactions, but does agree that it is erroneous as to one transaction. The fee
accompanying the request for reconsideration will not be refunded except to the extent applicable
to the transaction for which the Associate office agrees the letter ruling was in error.

(h) The request is for a supplemental letter ruling, determination letter, etc. concerning a change
in facts (whether significant or not) relating to the transaction on which the Service ruled.

(i) The request is for reconsideration of an adverse or partially adverse letter ruling or a final
adverse determination letter, and the taxpayer submits arguments and authorities not submitted
before the original letter ruling or determination letter was issued.

(2) The following situations are examples of situations in which the user fee will be
refunded:

(a) In a situation to which section 15.10(1)(i) of this revenue procedure does not apply, the
taxpayer asserts that a letter ruling the taxpayer received covering a single issue is erroneous or
is not responsive (other than an issue on which the Associate office declined to rule) and requests
reconsideration. Upon reconsideration, the Associate office agrees that the letter ruling is
erroneous or is not responsive. The fee accompanying the taxpayer's request for reconsideration
will be refunded.

(b) In a situation to which section 15.10(1)(i) of this revenue procedure does not apply, the
taxpayer requests a supplemental letter ruling, determination letter, etc. to correct a mistake that
the Service agrees it made in the original letter ruling, determination letter, etc. such as a mistake
in the statement of facts or in the citation of a Code section. Once the Service agrees that it made
a mistake, the fee accompanying the request for the supplemental letter ruling, determination
letter, etc. will be refunded.

(c) The taxpayer requests and is granted relief under § 7805(b) in connection with the
revocation in whole or in part, of a previously issued letter ruling, determination letter, etc. The
fee accompanying the request for relief will be refunded.

(d) In a situation to which section 15.10(1)(e) of this revenue procedure applies, the taxpayer
requests reconsideration of the Service's decision not to rule on an issue. Once the Service agrees
to rule on the issue, the fee accompanying the request for reconsideration will be refunded.

(e) The letter ruling is not issued and taking into account all the facts and circumstances,
including the Service's resources devoted to the request, the responsible Associate Chief Counsel
determines a refund is appropriate. This determination is at the sole discretion of the Associate
Chief Counsel.

(f) Refunds based on grounds listed in section 15.10(2)(a) through (d) of this revenue procedure
are approved at the branch level by a reviewer or branch chief. Refunds based on the ground listed
in section 15.10(2)(e) of this revenue procedure must be approved by the Associate Chief
Counsel.

Request for
reconsideration of user fee

.11 A taxpayer who believes the user fee charged by the Service for its request for a letter
ruling, determination letter, advance pricing agreement, or closing agreement is either inappli-
cable or incorrect and wishes to receive a refund of all or part of the amount paid (see section
15.10 of this revenue procedure) may request reconsideration and, if desired, the opportunity for
an oral discussion by sending a letter to the Service at the appropriate address given in section
7.03 in this revenue procedure. Both the incoming envelope and the letter requesting such
reconsideration should be prominently marked "USER FEE RECONSIDERATION REQUEST."
No user fee is required for these requests. The request should be marked for the attention of:

### If the matter involves primarily:

Associate Chief Counsel
(Corporate) letter ruling
requests

Associate Chief Counsel
(Financial Institutions and
Products) letter ruling
requests

Associate Chief Counsel
(Income Tax and
Accounting) letter ruling
requests

Associate Chief Counsel
(International) letter ruling
requests

Associate Chief Counsel
(Passthroughs and Special
Industries) letter ruling
requests

Associate Chief Counsel
(Procedure and
Administration) letter
ruling requests
Associate Chief Counsel
(Tax Exempt and
Government Entities) letter
ruling requests

Determination letter
requests submitted
pursuant to this revenue
procedure by taxpayers
under the jurisdiction of
LB&I

Determination letter
requests submitted
pursuant to this revenue
procedure by taxpayers
under the jurisdiction of
SB/SE, W&I

Determination letter
requests submitted
pursuant to this revenue
procedure by taxpayers
under the jurisdiction of
TE/GE

SECTION 16. WHAT
SIGNIFICANT CHANGES
HAVE BEEN MADE TO
REV. PROC. 2014-1?

Mark for the attention of:

Associate Chief Counsel (Corporate)

Associate Chief Counsel (Financial Institutions and Products)

Associate Chief Counsel (Income Tax and Accounting)

Associate Chief Counsel (International)

Associate Chief Counsel (Passthroughs and Special Industries)

Associate Chief Counsel (Procedure and Administration)

Deputy Associate Chief Counsel ()
(Complete parenthetical by using the applicable designation "Employee Benefits" or "Exempt
Organizations/Employment Tax/Government Entities")

Manager, Office of Pre-Filing and Technical Services

The appropriate SB/SE official listed in Appendix F

Director, Employee Plans Examinations
Director, Exempt Organizations Examinations
Director, Federal, State & Local Governments
Director, Tax Exempt Bonds
Director, Indian Tribal Governments

(Add name of Field office handling the request)

A new schedule of user fees, effective February 2, 2015, is provided in Appendix A. Editorial
changes have been made throughout.

Sections 1.01, 3.07, 4.02, 5.03, 7.01(4), 7.01(11), 11.11, and 15.03 were updated to reflect that

Sec. 16
January 2, 2015

jurisdiction over letter rulings, formerly with the Commissioner, Tax Exempt and Government
Entities Division, has been delegated to the Office of Associate Chief Counsel (Tax Exempt and
Government Entities), except with respect to changes in accounting methods and certain rulings
described in Rev. Proc. 2015-4, this Bulletin. New sections 5.14 and 5.15 address letter rulings
issued by the Office of Associate Chief Counsel (Tax Exempt and Government Entities) in
exempt organizations, qualified retirement plan and IRA matters, including rulings that were
previously issued by the Commissioner, Tax Exempt and Government Entities Division. Section
15.03 was updated to add harassment campaign and Neighborhood Land Use letter rulings to the
list of no user fee letter rulings. Additional checklists for government pick-up plan and church
plan letter ruling requests, which were previously in Rev. Proc. 2014-4, 2014-1 I.R.B. 125, were
added as Appendix D and E, respectively.

Section 11.02 was amended to clarify that a shareholder of a corporation may rely on a letter
ruling issued to that corporation for purposes of determining the proper tax treatment of directly
related tax items (as was previously implied by section 11.06(3)). Section 15.06(6) was added to
clarify that a married couple who files jointly may choose to request a letter ruling jointly, and
pay a single fee, or individually and pay separate fees. The phrase "advance consent" in the
context of requests for change in method of accounting, Form 3115, has been replaced with the
phrase "non-automatic."

SECTION 17. WHAT IS
THE EFFECT OF THIS
REVENUE PROCEDURE
ON OTHER
DOCUMENTS?

Rev. Proc. 2014-1, 2014-1 I.R.B. 1 is superseded.

This revenue procedure is effective January 2, 2015.

## SECTION 18. WHAT IS THE EFFECTIVE DATE OF THIS REVENUE PROCEDURE?

## SECTION 19. PAPERWORK REDUCTION ACT

The collections of information contained in this revenue procedure have been reviewed and
approved by the Office of Management and Budget in accordance with the Paperwork Reduction
Act (44 U.S.C. § 3507) under control number 1545-1522.

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 control number.

The collections of information in this revenue procedure are in sections 5.06, 6.03, 7.01, 7.02,
7.03, 7.04, 7.05, 7.07, 8.02. 8.05, 8.07, 10.01, 10.06, 10.07, 11.11, 13.02, 15.02, 15.07, 15.08,
15.09, 15.11, paragraph (B)(1) of Appendix A, Appendix C, Appendix D, Appendix E, and
Appendix G (subject matter-rate orders; regulatory agency; normalization). This information is
required to evaluate and process the request for a letter ruling or determination letter. In addition,
this information will be used to help the Service delete certain information from the text of the
letter ruling or determination letter before it is made available for public inspection as required
by § 6110. The collections of information are required to obtain a letter ruling or determination
letter. The likely respondents are businesses or other for-profit institutions and tax exempt
organizations.

The estimated total annual reporting and/or recordkeeping burden is 305,540 hours.

The estimated annual burden per respondent/recordkeeper varies from 1 to 200 hours, depend-
ing on individual circumstances, with an estimated average burden of 80 hours. The estimated
number of respondents and/or recordkeepers is 3,825.

The estimated annual frequency of responses is on occasion.

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 § 6103.

## DRAFTING INFORMATION

The principal author of this revenue procedure is Larry Pounders of the Office of Associate
Chief Counsel (Procedure and Administration). For further information regarding this revenue
procedure for matters under the jurisdiction of-

(1) the Associate Chief Counsel (Corporate), contact Ken Cohen or Jean R. Broderick at (202)
317-7700 (not a toll-free call),

(2) the Associate Chief Counsel (Financial Institutions and Products), contact K. Scott Brown
at (202) 317-4423 (not a toll-free call),

(3) the Associate Chief Counsel (Income Tax and Accounting), contact R. Matthew Kelley at
(202) 317-7002 (not a toll-free call),

(4) the Associate Chief Counsel (Passthroughs and Special Industries), contact Leta Wolf at
(202) 317-5260 (not a toll-free call),

(5) the Associate Chief Counsel (Procedure and Administration), contact Mark Cottrell at (202)
317-3400 (not a toll-free call),

(6) the Associate Chief Counsel (Tax Exempt and Government Entities), contact Shoshanna
Tanner at (202) 317-5500 (not a toll-free call), or

(7) the Associate Chief Counsel (International), contact Jeffrey Vinnik at (202) 317-3800 (not
a toll-free call).

For further information regarding user fees, contact the Docket, Records, and User Fee Branch
at (202) 317-5221 (not a toll-free call).

For further information regarding determination letters:

SBSE and WI taxpayers should contact the offices listed in Appendix F of this Revenue
Procedure;

LB&I taxpayers should contact the Office of Pre-Filing and Technical Services, LB&I;

TEGE taxpayers should also refer to Revenue Procedures 2015-4, 2015-5 and 2015-6, this
bulletin, and 2015-9 and 2015-10, next bulletin.

## INDEX References are to sections in Rev. Proc. 2015-1

Additional Information

- penalties of perjury statement required

8.05(4)

- proposed deletions under § 6110

7.01(11)

- information requested during initial and subsequent contacts

8.05

failure to submit.

8.05(3)

subsequent information after conference

10.06

- where to send

8.05(6)

Changes in Method of Accounting or Accounting Period

- applicable sections of Rev. Proc. 2015-1 for changes in method of accounting

- applicable sections of Rev. Proc. 2015-1 for accounting period

Appendix G

- automatic change request procedures

9.01, 9.22, Appendix G

- identical changes in method of accounting

9.15, 15.07, Appendix A

- user fees.

Appendix A

Checklist Required

7.01(18), Appendix C

Conferences

- offered

10.02

after conference of right.

10.05

application of § 6110

7.01(11)(e)

- requesting a conference.

7.02(6)

- scheduling

10.01, 10.02

application of § 7805(b)

11.11(2), 13.02(2)

pre-submission conferences

10.07

telephone conferences.

10.08

Definitions

- Associate office

1.01(2)

- closing agreement

2.02

- determination letter

2.03

- Director

1.01(3)

- Field office

1.01(4)

- taxpayer

1.01(5)

- information letter

2.04

- letter ruling

2.01

- Service

1.01(1)

Determinations Under § 999(d)

5.04

Discussions Not Binding on Service

- at pre-submission conference

10.07(4)

- informal opinion expressed

8.04

- oral advice to taxpayers

2.05(2)

Employee Plans and Exempt Organizations

- jurisdiction of Commissioner, Tax Exempt and Government Entities Division

4.02

- user fees

4.02

Estate Tax Matters

- issuance of determination letters

12.02, 12.05

- issuance of letter rulings

5.06

under § 2032A(c)

5.07

Expedited Handling of Letter Ruling and Determination Letter Requests

7.02(4)

Extension of Time

- to schedule conference.

10.01

- to submit additional information

8.05(2)

Fax Transmission

- to receive letter ruling

7.02(5)

- to receive request for additional information.

7.02(5)

- to submit additional information

8.05(5)

- letter ruling requests must not be submitted by fax

7.03(1)(c)

Hand Delivery of Letter Ruling Requests

7.03(1)

No-Rule Areas

Oral Advice to Taxpayers

2.05

Penalties of Perjury Statement

- form for letter ruling request

7.01(15)(a)

- form for submission of additional information

8.05(4)

- required with draft letter ruling.

8.07

- signature requirements

7.01(15)(b)

Pending Letter Ruling Requests

- when to attach a copy to return

7.04(2)

estate tax matters

5.06

- when to notify Associate office.

7.04

estate tax matters

5.06

Power of Attorney

- Form 2848

7.01(14), 7.02(2)

original sent to the taxpayer

7.02(2)

copy sent to a representative

7.02(2)

copies sent to multiple representatives

7.02(2)

no copy sent to representatives

7.02(2)

- signature requirements

7.01(14)

Public Disclosure of Information Letters

.2.04

Public Inspection Under § 6110

7.01(11)

- signature requirements

7.01(11)(c)

Representatives

- compliance with Treasury Department Circular No. 230

7.01(13)

- power of attorney required

7.01(14)

- requirements

7.01(13)

authorized representatives

7.01(13)(a)

authorized based on relationship

7.01(13)(b)

return preparer

7.01(13)(c)

foreign representative

7.01(13)(d)

Retroactive Revocation or Modification

- of determination letter

request to limit retroactive effect.

13.02

- of letter ruling.

11.05 - 11.10

request to limit retroactive effect.

11.11

Revenue Rulings

- effect on a letter ruling

11.04

- request to limit retroactive effect

11.11

Sample of a Letter Ruling Request.

7.01(17), Appendix B

Section 301.9100 Relief

5.03

Section 367 Rulings

5.05

Status of Letter Ruling and Determination Letter Requests

7.06

Substantially Identical Letter Rulings

15.07(2), Appendix A

Tax Exempt and Government Entities

- jurisdiction of Commissioner, Tax Exempt and Government Entities Division

4.02

- user fees

4.02

User Fees

- schedule of user fees.

Appendix A

- user fee requirements

to reopen case

8.05(3)

Where to Send

- determination letter request

7.03

- letter ruling request

7.03, 9.05

additional information

8.05(6), 9.08(6)

hand delivery

7.03(1)

Withdrawal of Letter Ruling and Determination Letter Requests

7.07

## APPENDIX A SCHEDULE OF USER FEES

NOTE: Checks or money orders must be in U.S. dollars.
(A) FEE SCHEDULE

CATEGORY

USER FEE FOR REQUESTS RECEIVED PRIOR TO FEB- RUARY 2, 2015

USER FEE FOR REQUESTS RE- CEIVED AFTER FEBRUARY 1, 2015

Situations where an issuing authority under § 25 submits substantially identical plans for administering the 95-percent requirement of § 143(d)(1) following the submission of an initial plan that was approved.

NOTE: The fee charged for the first letter ruling is the highest fee applicable to any of the entities

(d) Extension of time requested to file Form 3115, Application for Change in Ac- counting Method, for an identical change in method of accounting as provided in section 15.07(4). Fee for each additional or each additional applicant seeking the identical extension of time under § 301.9100-3 to file a single Form 3115 for the identical change in method of accounting after the $9,100 fee or reduced fee, as applicable, has been paid for the first applicant

$150

$180

NOTE: When an extension of time to file Form 3115, Application for Change in Ac- counting Method, is granted under § 301.9100-3 for multiple applicants, a separate user fee will be charged for the change in method of accounting application, Form 3115.

(6) User fee for information letter requests.

(7) User fee for pre-filing agreements

$50,000

(8) Tax treaty limitation of benefits. See Rev. Proc. 2006-54 for procedures for requesting competent authority assistance under tax treaties.

$27,500

(9) Statement of Value. See Rev. Proc. 96-15 for procedures for requesting a statement of value (a) Effective February 2, 2015:

(i) User fee for a case with 1-3 items

$5,400

(ii) Cost per each additional item beyond 3

$270

(B) PROCEDURAL MATTERS

(1) Required certification. A person seeking a reduced user fee under paragraph (A)(4) of this appendix must provide the
following certification in order to obtain the reduced user fee:

(a) If a person is seeking a reduced user fee under paragraph (A)(4)(a) of this appendix, the person must certify in the request that his,
her, or its gross income, as defined under paragraphs (B)(2), (3), (4), and (5) of this appendix, as applicable, is less than $250,000 as reported
on their last federal income tax return (as amended) filed for a full (12 months) taxable year ending before the date the request is filed.

(b) If a person is seeking a reduced user fee under paragraph (A)(4)(b) of this appendix, the person must certify in the request
that his, her, or its gross income, as defined under paragraphs (B)(2), (3), (4), and (5) of this appendix, as applicable, is less than $1
million and more than $250,000 for the last full (12 months) taxable year ending before the date the request is filed.

The certification must be attached as part of the ruling request.

(2) Gross income for a request involving a personal tax issue. For purposes of the reduced user fees provided in paragraphs
(A)(4)(a) and (b) of this appendix of-

(a) U.S. citizens and resident alien individuals, domestic trusts, and domestic estates, "gross income" is equal to "total
income" as reported on their last federal income tax return (as amended) filed for a full (12 months) taxable year ending before the
date the request is filed, plus any interest income not subject to tax under § 103 (interest on state and local bonds) for that period.
"Total income" is a line item on Federal tax returns. For example, if the 2013 Form 1040, U.S. Individual Income Tax Return, is the
most recent 12-month taxable year return filed by a U.S. citizen, "total income" on the Form 1040 is the amount entered on line 22.

In the case of a request for a letter ruling or closing agreement from a domestic estate or trust that, at the time the request is filed,
has not filed a Federal income tax return for a full taxable year, the reduced user fee in paragraph (A)(4)(a) of this appendix will
apply if the decedent's or (in the case of an individual grantor) the grantor's total income as reported on the last Federal income tax
return filed for a full taxable year ending before the date of death or the date of the transfer, taking into account any additions required
to be made to total income described in this paragraph (B)(2)(a), is less than $250,000 (or less than $1,000,000 for the paragraph

(A)(4)(b) fee to apply). In this case, the executor or administrator of the decedent's estate or the grantor must provide the certification
required under paragraph (B)(1) of this appendix.

(b) Nonresident alien individuals, foreign trusts, and foreign estates, "gross income" is equal to "total effectively connected
income" as reported on their last Federal income tax return (as amended) filed for a full (12 months) taxable year ending before the
date the request is filed, plus any income for the period from United States or foreign sources that is not taxable by the United States,
whether by reason of § 103, an income tax treaty, § 871(h) (regarding portfolio interest), or otherwise, plus the total amount of any
fixed or determinable annual or periodical income from United States sources, the United States tax liability for which is satisfied
by withholding at the source. "Total effectively connected income" is a line item on Federal tax returns. For example, if the 2013
Form 1040NR, U.S. Nonresident Alien Income Tax Return, is the most recent 12-month taxable year return filed by a nonresident
alien individual, "total effectively connected income" on the Form 1040NR is the amount entered on line 23.

In the case of a request for a letter ruling or closing agreement from a foreign estate or trust that, at the time the request is filed,
has not filed a Federal income tax return for a full taxable year, the reduced user fee in paragraph (A)(4)(a) of this appendix will
apply if the decedent's or (in the case of an individual grantor) the grantor's total income or total effectively connected income, as
relevant, as reported on the last Federal income tax return filed for a full taxable year ending before the date of death or the date of
the transfer, taking into account any additions required to be made to total income or total effectively connected income described
respectively in paragraph (B)(2)(a) of this appendix or in this paragraph (B)(2)(b), is less than $250,000 (or less than $1,000,000 for
the paragraph (A)(4)(b) fee to apply). In this case, the executor or administrator of the decedent's estate or the grantor must provide
the certification required under paragraph (B)(1) of this appendix.

(3) Gross income for a request involving a business-related tax issue. For purposes of the reduced user fees provided in
paragraphs (A)(4)(a) and (b) of this appendix of-

(a) U.S. citizens and resident alien individuals, domestic trusts, and domestic estates, "gross income" is equal to gross income
as defined under paragraph (B)(2)(a) of this appendix, plus "cost of goods sold" as reported on the same Federal income tax return.

(b) Nonresident alien individuals, foreign trusts, and foreign estates, "gross income" is equal to gross income as defined under
paragraph (B)(2)(b) of this appendix, plus "cost of goods sold" as reported on the same Federal income tax return.

(c) Partnerships with a Form 1065 filing requirement and corporations (foreign and domestic), "gross income" is equal to
"total income" as reported on their last Federal tax return (as amended) filed for a full (12 months) taxable year ending before the
date the request is filed, plus "cost of goods sold" as reported on the same Federal tax return, plus any interest income not subject
to tax under § 103 (interest on state and local bonds) for that period. Partnerships with a Form 1065 filing requirement should also
include "gross rents" reported on Form 8825 at line 2, as well as the income amounts reported on Schedule K Form 1065 at lines
3a, 5, 6a, 7, 8, 9a, 10, and 11 from the same Federal tax return described in the preceding sentence to calculate "gross income" for
the purpose of applying the reduced user fee in paragraph (A)(4) of this Appendix. If a partnership is not required to file or a
corporation is not subject to tax, "total income" and "cost of goods sold" are the amounts that the partnership or corporation would
have reported on the Federal tax return if the partnership had been required to file or the corporation had been subject to tax.

"Cost of goods sold" and "total income" are line items on Federal tax returns. For example, if the 2013 Form 1065, U.S. Return
of Partnership Income, is the most recent 12-month taxable year return filed by a partnership, "cost of goods sold" and "total income"
on the Form 1065 are the amounts entered on lines 2 and 8, respectively, and if the 2013 Form 1120, U.S. Corporation Income Tax
Return, is the most recent 12-month taxable year return filed by a domestic corporation, "cost of goods sold" and "total income" on
the Form 1120 are the amounts entered on lines 2 and 11, respectively.

If, at the time the request is filed, a partnership or corporation subject to tax has not filed a Federal tax return for a full taxable
year, the reduced user fee in paragraph (A)(4)(a) or (b) of this appendix will apply if, in the aggregate, the partners' or the
shareholders' gross income (as defined in paragraph (B)(3)(a), (b), or (c), of this appendix, as applicable) is less than $250,000 for
purposes of paragraph (A)(4)(a) or $1 million for purposes of paragraph (A)(4)(b) for the last full (12 months) taxable year ending
before the date the request is filed. In this case, the partners or the shareholders must provide the certification required under
paragraph (B)(1) of this appendix.

(4) Gross income for a request involving an exempt organization or governmental entity. For purposes of the reduced user
fees provided in paragraphs (A)(4)(a) and (b) of this appendix of-

(a) Organizations exempt from income tax under "Subchapter F-Exempt Organizations" of the Code, "gross income" is
equal to the amount of gross receipts for the last full (12 months) taxable year ending before the date the request for a letter ruling
or closing agreement is filed.

(b) State, local, and Indian tribal government entities, "gross income" is equal to the annual operating revenue of the
government requesting the ruling for its last fiscal year ending before the date of the ruling request. The annual operating revenue
is to be determined at the government level and not at the level of the government entity or agency making the request.

(5) Special rules for determining gross income. For purposes of paragraphs (B)(2), (3) and (4) of this appendix, the following
rules apply for determining gross income.

### (a) Gross income of individuals, trusts, and estates.

(1) In the case of a request from a married individual, the gross incomes (as defined in paragraph (B)(2) or (3) of this appendix,
as applicable) of the applicant and the applicant's spouse must be combined. This rule does not apply to an individual: (1)
who is legally separated from his or her spouse and (2) who did not file a joint income tax return; and

(2) If there are two or more applicants filing the request, the gross incomes (as defined in paragraph (B)(2) or (3) of this
appendix, as applicable) of the applicants must be combined.

### (b) Gross income of domestic partnerships and corporations.

(1) In the case of a request from a domestic corporation, the gross income (as defined in paragraph (B)(3) of this appendix)
of (i) all members of the applicant's controlled group (as defined in § 1563(a)), and (ii) any taxpayer who is involved in
the transaction on which the letter ruling or closing agreement is requested, must be combined; and

(2) In the case of a request from a domestic partnership, the gross income (as defined in paragraph (B)(3) of this appendix)
of (i) the partnership, and (ii) any partner who owns, directly or indirectly, 50 percent or more of the capital interest or
profits interest in the partnership, must be combined.

(c) Gross income of exempt organizations. If there are two or more organizations exempt from income tax under Subchapter
F filing the request, the gross receipts (as defined in paragraph (B)(4)(a) of this appendix) of the applicants must be combined.

## APPENDIX B SAMPLE FORMAT FOR A LETTER RULING REQUEST

## INSTRUCTIONS

To assist you in preparing a letter ruling request, the Service is providing this sample format. You are not required to use this
sample format. If your request is not identical or similar to the sample format, the different format will not defer consideration of
your request.

(Insert the date of request)

Internal Revenue Service

Insert either: Associate Chief Counsel (Insert one of the following: Corporate, Financial Institutions and Products, Income Tax and
Accounting, International, Passthroughs and Special Industries, or Procedure and Administration) or Division Counsel/Associate
Chief Counsel (Tax Exempt and Government Entities)

Attn: CC:PA:LPD:DRU

P.O. Box 7604
Ben Franklin Station
Washington, DC 20044

Dear Sir or Madam:

(Insert the name of the taxpayer) requests a ruling on the proper treatment of (insert the subject matter of the letter ruling request)
under section (insert the number) of the Internal Revenue Code.

[If the taxpayer is requesting expedited handling, a statement to that effect must be attached to, or contained in, the letter ruling
request. The statement must explain the need for expedited handling. See section 7.02(4) of Rev. Proc. 2015-1, this revenue
procedure. Hereafter, all references are to Rev. Proc. 2015-1 unless otherwise noted.]

### A. STATEMENT OF FACTS

## 1. Taxpayer Information

[Provide the statements required by sections 7.01(1)(a) and (b).]

2\. Description of Taxpayer's Business Operations

[Provide the statement required by section 7.01(1)(c).]

3\. Facts Relating to Transaction

[The ruling request must contain a complete statement of the facts relating to the transaction that is the subject of the letter ruling
request. This statement must include a detailed description of the transaction, including material facts in any accompanying
documents, and the business reasons for the transaction. See sections 7.01(1)(d), 7.01(1)(e), and 7.01(2).]

## B. RULING REQUESTED

[The ruling request should contain a concise statement of the ruling requested by the taxpayer. The Service prefers that the language
of the requested ruling be exactly the same as the language the taxpayer wishes to receive.]

## C. STATEMENT OF LAW

[The ruling request must contain a statement of the law in support of the taxpayer's views or conclusion and identify any pending
legislation that may affect the proposed transaction. The taxpayer also is strongly encouraged to identify and discuss any authorities
believed to be contrary to the position advanced in the ruling request. See sections 7.01(6), 7.01(8), 7.01(9), and 7.01(10).]

## D. ANALYSIS

[The ruling request must contain a discussion of the facts and an analysis of the law. The taxpayer also is strongly encouraged to
identify and discuss any authorities believed to be contrary to the position advanced in the ruling request. See sections 7.01(3),
7.01(6), 7.01(8), 7.01(9), and 7.01(10).]

## E. CONCLUSION

[The ruling request should contain a statement of the taxpayer's conclusion on the ruling requested.]

## F. PROCEDURAL MATTERS

### 1. Revenue Procedure 2015-1 Statements

a. [Provide the statement required by section 7.01(4) regarding whether any return of the taxpayer, a related taxpayer within the
meaning of § 267 or of a member of an affiliated group of which the taxpayer is also a member within the meaning of § 1504
which would be affected by the requested letter ruling or determination letter, is currently under examination, before Appeals,
or before a Federal court, or was previously under examination, before Appeals, or before a Federal court.]

b.
[Provide the statement required by section 7.01(5)(a) regarding whether the Service previously ruled on the same or similar
issue for the taxpayer, a related taxpayer, or a predecessor. Please further note that if a reduced user fee is being submitted,
a certification of eligibility for the reduced fee must be included with the ruling request.]

c.
[Provide the statement required by section 7.01(5)(b) regarding whether the taxpayer, a related taxpayer, a predecessor, or any
representatives previously submitted a request (including an application for change in method of accounting) involving the
same or similar issue but withdrew the request before a letter ruling or determination letter was issued.]

d.
[Provide the statement required by section 7.01(5)(c) regarding whether the taxpayer, a related taxpayer, or a predecessor
previously submitted a request (including an application for change in method of accounting) involving the same or a similar
issue that is currently pending with the Service.]

e.
[Provide the statement required by section 7.01(5)(d) regarding whether, at the same time as this request, the taxpayer or a
related taxpayer is presently submitting another request (including an application for change in method of accounting)
involving the same or similar issue to the Service.]

f.
[If the letter ruling request involves the interpretation of a substantive provision of an income or estate tax treaty, provide the
statement required by section 7.01(6) regarding whether the tax authority of the treaty jurisdiction has issued a ruling on the
same or similar issue for the taxpayer, a related taxpayer, or a predecessor; whether the same or similar issue is being
examined, or has been settled, by the tax authority of the treaty jurisdiction or is otherwise the subject of a closing agreement
in that jurisdiction; and whether the same or similar issue is being considered by the competent authority of the treaty
jurisdiction.]

g.
[Provide the statement required by section 7.01(8) regarding whether the law in connection with the letter ruling request is
uncertain and whether the issue is adequately addressed by relevant authorities.]

h. [If the taxpayer determines that there are no contrary authorities, a statement in the request to this effect should be included.
See section 7.01(9).]

i. [If the taxpayer wants to have a conference on the issues involved in the letter ruling request, the ruling request should contain
a statement to that effect. See section 7.02(6).]

j. [If the taxpayer is requesting a copy of any document related to the letter ruling request to be sent by facsimile (fax)
transmission, the ruling request should contain a statement to that effect. See section 7.02(5).]

k. [If the taxpayer is requesting separate letter rulings on multiple issues, the letter ruling request should contain a statement to
that effect. See section 7.02(1).]

l. [If the taxpayer is seeking to obtain the user fee provided in paragraph (A)(5)(a) of Appendix A for substantially identical letter
rulings, the letter ruling request must contain the statements required by section 15.07.]

2\. Administrative

a. [The ruling request should state: "The deletion statement and checklist required by Rev. Proc. 2015-1 are enclosed." See
sections 7.01(11) and 7.01(18).]

b. [The ruling request should state: "The required user fee of $ (Insert the amount of the fee) is enclosed." Please note that the
check or money order must be in U.S. dollars and made payable to the Internal Revenue Service. See section 15 and Appendix
A.]

c. [If the taxpayer's authorized representative is to sign the letter ruling request or is to appear before the Service in connection
with the request, the ruling request should state: "A Power of Attorney is enclosed." See sections 7.01(13), 7.01(14), and
7.02(2).]

Sincerely yours,

(Insert the name of the taxpayer or the taxpayer's
authorized representative)

By:

Signature Date

Typed or printed name of
person signing request

DECLARATION: [See section 7.01(15).]

Under penalties of perjury, I declare that I have examined this request, including accompanying documents, and, to the best of my
knowledge and belief, the request contains all the relevant facts relating to the request, and such facts are true, correct, and complete.

(Insert the name of the taxpayer)
By:

Signature

Title

Date

(must be signed by taxpayer, not by taxpayer's representative, see section 7.01(15)(b) of this revenue procedure)

Typed or printed name of
person signing declaration

[If the taxpayer is a corporation that is a member of an affiliated group filing consolidated returns, the above declaration must also
be signed and dated by an officer of the common parent of the group. See section 7.01(15).]

# APPENDIX C CHECKLIST IS YOUR LETTER RULING REQUEST COMPLETE?

## INSTRUCTIONS

The Service will be able to respond more quickly to your letter ruling request if it is carefully prepared and complete. Use this
checklist to ensure that your request is in order. Complete the four items of information requested before the checklist. Answer each
question by circling "Yes," "No," or "N/A." When a question contains a place for a page number, insert the page number (or
numbers) of the request that gives the information called for by a "Yes" answer to a question. Sign and date the checklist (as
taxpayer or authorized representative) and place it on top of your request.

If you are an authorized representative submitting a request for a taxpayer, you must include a completed checklist with the
request or the request will either be returned to you or substantive consideration of it will be deferred until a completed checklist
is submitted. If you are a taxpayer preparing your own request without professional assistance, an incomplete checklist will
not cause the return of your request or defer substantive consideration of your request. You should still complete as much of
the checklist as possible and submit it with your request.

TAXPAYER'S NAME

TAXPAYER'S I.D. NO.

ATTORNEY/P.O.A.

PRIMARY CODE SECTION

# ITEM

CIRCLE ONE

Yes No

1\. Does your request involve an issue under the jurisdiction of the Associate Chief Counsel (Corporate), the
Associate Chief Counsel (Financial Institutions and Products), the Associate Chief Counsel (Income Tax and
Accounting), the Associate Chief Counsel (International), the Associate Chief Counsel (Passthroughs and Special
Industries), the Associate Chief Counsel (Procedure and Administration), or the Associate Chief Counsel (Tax
Exempt and Government Entities)? See section 3 of Rev. Proc. 2015-1, this revenue procedure. For issues under
the jurisdiction of other offices, see section 4 of Rev. Proc. 2015-1. (Hereafter, all references are to Rev. Proc.
2015-1 unless otherwise noted.)

Yes No
2. Have you read Rev. Proc. 2015-3, 2015-1 and Rev. Proc. 2015-7, 2015-1, this bulletin, to see if part or all
of the request involves a matter on which letter rulings are not issued or are ordinarily not issued?

Yes No N/A

3\. If your request involves a matter on which letter rulings are not ordinarily issued, have you given compelling
reasons to justify the issuance of a letter ruling? Before preparing your request, you may want to call the branch
in the Office of Associate Chief Counsel (Corporate), the Office of Associate Chief Counsel (Financial Institutions
and Products), the Office of Associate Chief Counsel (Income Tax and Accounting), the Office of Associate Chief
Counsel (International), the Office of Associate Chief Counsel (Passthroughs and Special Industries), the Office
of Associate Chief Counsel (Procedure and Administration), or the Office of Associate Chief Counsel (Tax
Exempt and Government Entities) responsible for substantive interpretations of the principal Internal Revenue
Code section on which you are seeking a letter ruling to discuss the likelihood of an exception. For matters under
the jurisdiction of-

(a) the Office of Associate Chief Counsel (Corporate), the Office of Associate Chief Counsel (Financial
Institutions and Products), the Office of Associate Chief Counsel (Income Tax and Accounting), the Office of
Associate Chief Counsel (Passthroughs and Special Industries), or the Office of Associate Chief Counsel (Tax
Exempt and Government Entities), the Office of the Associate Chief Counsel (Procedure and Administration), the
appropriate branch to call may be obtained by calling (202) 317-5221 (not a toll-free call);

(b) the Office of the Associate Chief Counsel (International), the appropriate branch to call may be obtained by
calling (202) 317-6888 (not a toll-free call).

Yes No N/A
Page

4\. If the request involves a retirement plan qualification matter under § 401(a), § 409, or § 4975(e)(7), have you
demonstrated that the request satisfies the three criteria in section 4.02(12) of Rev. Proc. 2015-3, this Bulletin, for a ruling?

Yes No N/A
Page
Yes No

5\. If the request deals with a completed transaction, have you filed the return for the year in which the transaction
was completed? See section 5.01.

6\. Are you requesting the letter ruling on a hypothetical situation or question? See section 6.12.

Yes No

7\. Are you requesting the letter ruling on alternative plans of a proposed transaction? See section 6.12.

Yes No

8\. Are you requesting the letter ruling for only part of an integrated transaction?

Yes No
Page
Yes No

9\. Are you requesting a letter ruling under the jurisdiction of Associate Chief Counsel (Corporate) on a significant
issue (within the meaning of section 3.01(48) of Rev. Proc. 2015-3, this Bulletin) with respect to a transaction described
in § 332, 351, 355, or 1036 or a reorganization within the meaning of § 368? See section 6.03.

10\. Are you requesting the letter ruling for a business, trade, industrial association, or similar group concerning
the application of tax law to its members? See section 6.05.

Yes No

11\. Are you requesting the letter ruling for a foreign government or its political subdivision? See section 6.07.

Yes No
Page __

12\. Have you included a complete statement of all the facts relevant to the transaction? See section 7.01(1).

Yes No N/A

13\. Have you submitted with the request true copies of all wills, deeds, and other documents relevant to the
transaction, and labeled and attached them in alphabetical sequence? See section 7.01(2).

Yes No N/A

14\. Have you submitted with the request a copy of all applicable foreign laws, and certified English translations
of documents that are in a language other than English or of foreign laws in cases where English is not the official
language of the foreign country involved? See section 7.01(2).

Yes No

15\. Have you included an analysis of facts and their bearing on the issues? Have you included, rather than
merely incorporated by reference, all material facts from the documents in the request? See section 7.01(3).

Yes No
Page

16\. Have you included the required statement regarding whether any return of the taxpayer (or any return of a related
taxpayer within the meaning of § 267 or of a member of an affiliated group of which the taxpayer is also a member
within the meaning of § 1504) who would be affected by the requested letter ruling or determination letter is currently
or was previously under examination, before Appeals, or before a Federal court? See section 7.01(4).

Yes No
Page

17\. Have you included the required statement regarding whether the Service previously ruled on the same or
similar issue for the taxpayer, a related taxpayer, or a predecessor? See section 7.01(5)(a).

Yes No
Page

18\. Have you included the required statement regarding whether the taxpayer, a related taxpayer, a predecessor, or
any representatives previously submitted a request (including an application for change in method of accounting)
involving the same or similar issue but withdrew the request before the letter ruling or determination letter was issued?
See section 7.01(5)(b).

Yes No
Page

19\. Have you included the required statement regarding whether the taxpayer, a related taxpayer, or a predecessor
previously submitted a request (including an application for change in method of accounting) involving the same or
similar issue that is currently pending with the Service? See section 7.01(5)(c).

Yes No
Page

20\. Have you included the required statement regarding whether, at the same time as this request, the taxpayer or a
related taxpayer is presently submitting another request (including an application for change in method of accounting)
involving the same or similar issue to the Service? See section 7.01(5)(d).

Yes No N/A
Page

21\. If your request involves the interpretation of a substantive provision of an income or estate tax treaty, have you
included the required statement regarding whether the tax authority of the treaty jurisdiction has issued a ruling on the
same or similar issue for the taxpayer, a related taxpayer, or a predecessor; whether the same or similar issue is being
examined, or has been settled, by the tax authority of the treaty jurisdiction or is otherwise the subject of a closing
agreement in that jurisdiction; and whether the same or similar issue is being considered by the competent authority of
the treaty jurisdiction? See section 7.01(6).

Yes No N/A
Page

22\. If your request is for recognition of Indian tribal government status or status as a political subdivision of an Indian
tribal government, does your request contain a letter from the Bureau of Indian Affairs regarding the tribe's status? See
section 7.01(7), which states that taxpayers are encouraged to submit this letter with the request and provides the address
for the Bureau of Indian Affairs.

Yes No
Page
Yes No
Page
Yes No
Pages

23\. Have you included the required statement of relevant authorities in support of your views? See section 7.01(8).

24\. Have you included the required statement regarding whether the law in connection with the request is uncertain
and whether the issue is adequately addressed by relevant authorities? See section 7.01(8).

25\. Does your request discuss the implications of any legislation, tax treaties, court decisions, regulations, notices,
revenue rulings, or revenue procedures that you determined to be contrary to the position advanced? See section 7.01(9),
which states that taxpayers are encouraged to inform the Service of such authorities.

Yes No
N/A Page
Yes No N/A
Page
Yes No

26\. If you determined that there are no contrary authorities, have you included a statement to this effect in your
request? See section 7.01(9).

27\. Have you included in your request a statement identifying any pending legislation that may affect the proposed
transaction? See section 7.01(10).

28\. Have you included the deletion statement required by § 6110 and placed it on the top of the letter ruling request
as required by section 7.01(11)(b).

Yes No
Page

29\. Have you (or your authorized representative) signed and dated the request? See section 7.01(12).

Yes No N/A

30\. If the request is signed by your representative or if your representative will appear before the Service in connection
with the request, is the request accompanied by a properly prepared and signed power of attorney with the signatory's
name typed or printed? See section 7.01(14).

Yes No
Page

31\. Have you signed, dated, and included the penalties of perjury statement in the format required by section 7.01(15)?

Yes No N/A

32\. Are you submitting your request in duplicate if necessary? See section 7.01(16).

Yes No N/A
Page

33\. If you are requesting separate letter rulings on different issues involving one factual situation, have you included
a statement to that effect in each request? See section 7.02(1).

Yes No N/A

34\. If you want copies of the letter ruling sent to a representative, does the power of attorney contain a statement to
that effect? See section 7.02(2).

Yes No N/A

35\. If you do not want a copy of the letter ruling to be sent to any representative, does the power of attorney contain
a statement to that effect? See section 7.02(2).

Yes No N/A

36\. If you are making a two-part letter ruling request, have you included a summary statement of the facts you believe
to be controlling? See section 7.02(3).

Yes No N/A
Page

37\. If you want your letter ruling request to be processed ahead of the regular order or by a specific date, have you
requested expedited handling in the manner required by section 7.02(4) and stated a compelling need for such action
in the request? See section 7.02(4) of this revenue procedure.

Yes No N/A
Page

38\. If you are requesting a copy of any document related to the letter ruling request to be sent by facsimile (fax)
transmission, have you included a statement to that effect? See section 7.02(5).

Yes No N/A
Page
Yes No

39\. If you want to have a conference on the issues involved in the request, have you included a request for conference
in the letter ruling request? See section 7.02(6).

40\. Have you included the correct user fee with the request and is your check or money order in U.S. dollars and
payable to the Internal Revenue Service? See section 15 and Appendix A to determine the correct amount.

Yes No N/A
Page

41\. If your request involves a personal, exempt organization, governmental entity, or business-related tax issue and
you qualify for the reduced user fee because your gross income is less than $250,000, have you included the required
certification? See paragraphs (A)(4)(a) and (B)(1) of Appendix A.

Yes No N/A
Page

42\. If your request involves a personal, exempt organization, governmental entity, or business-related tax issue and
you qualify for the reduced user fee because your gross income is less than $1 million, have you included the required
certification? See paragraphs (A)(4)(b) and (B)(1) of Appendix A.

Yes No N/A
Page

43\. If you qualify for the user fee for substantially identical letter rulings, have you included the required information?
See section 15.07(2) and paragraph (A)(5)(a) of Appendix A.

Yes No N/A
Page
44. If you qualify for the user fee for a § 301.9100 request to extend the time for filing an identical change in method
of accounting on a single Form 3115, Application for Change in Accounting Method, have you included the required
information? See section 15.07(4) and paragraph (A)(5)(d) of Appendix A.

Yes No N/A
45. If your request is covered by any of the checklists, guideline revenue procedures, notices, safe harbor revenue
procedures, or other special requirements listed in Appendix G, have you complied with all of the requirements of the
applicable revenue procedure or notice?

Rev. Proc.

List other applicable revenue procedures or notices, including checklists, used or relied upon in the preparation of this
letter ruling request (Cumulative Bulletin or Internal Revenue Bulletin citation not required).

Yes No N/A
Page

46\. If you are requesting relief under § 7805(b) (regarding retroactive effect), have you complied with all of the
requirements in section 11.11?

Yes No N/A
Page

47\. If you are requesting relief under § 301.9100 for a late entity classification election, have you included a statement
that complies with section 4.04 of Rev. Proc. 2009-41, 2009-39 I.R.B. 439? See section 5.03(5) of this revenue
procedure.

Yes No N/A
Page

48\. If you are requesting relief under § 301.9100, and your request involves a year that is currently under examination
or with appeals, have you included the required notification, which also provides the name and telephone number of
the examining agent or appeals officer? See section 7.01(4) of this revenue procedure.

Yes No

49\. If you are requesting relief under § 301.9100, have you included the affidavit(s) and declaration(s) required by
§ 301-9100-3(e)? See § 5.03(1) of this revenue procedure.

Yes No

50\. If you are requesting relief under § 301.9100-3, and the period of limitations on assessment under § 6501(a) will
expire for any year affected by the requested relief before the anticipated receipt of a letter ruling, have you secured
consent under § 6501(c)(4) to extend the period of limitations on assessment for the year(s) at issue? See § 5.03(2) of
this revenue procedure.

Yes No

51\. Have you addressed your request to the attention of the Associate Chief Counsel (Corporate), the Associate Chief
Counsel (Financial Institutions and Products), the Associate Chief Counsel (Income Tax and Accounting), the Associate
Chief Counsel (International), the Associate Chief Counsel (Passthroughs and Special Industries), the Associate Chief
Counsel (Procedure and Administration), or the Associate Chief Counsel (Tax Exempt and Government Entities), as
appropriate? The mailing address is:

Internal Revenue Service

Attn: CC:PA:LPD:DRU
P.O. Box 7604
Ben Franklin Station
Washington, DC 20044

If a private delivery service is used, the address is:

Internal Revenue Service
Attn: CC:PA:LPD:DRU, Room 5336
1111 Constitution Ave., NW
Washington, DC 20224

The package should be marked: RULING REQUEST SUBMISSION. Improperly addressed re-
quests may be delayed (sometimes for over a week) in reaching CC:PA:LPD:DRU for initial
processing.

Signature

Title or Authority

Date

Typed or printed name of
person signing checklist

# APPENDIX D ADDITIONAL CHECKLIST FOR GOVERNMENT PICK-UP PLAN RULING REQUESTS

In order to assist Associate Chief Counsel (Tax Exempt and Government Entities) in processing a ruling request involving
government pick-up plans, in addition to the items in Appendix C please check the following list.

Yes No N/A
1\. Is the plan qualified under § 401(a) of the Code? (Evidence of qualification or representation that the plan is
Page
qualified.)

Yes No N/A
2. Is the organization that established the plan a State or political subdivision thereof, or any agency or
Page
instrumentality of the foregoing? An example of this would be a representation that the organization that has
established the plan is a political subdivision or municipality of the State.

Yes No N/A 3. Is there specific information regarding who are the eligible participants?
Page

Yes No N/A
4. Are the contributions that are the subject of the ruling request mandatory employee contributions? These
Page
contributions must be for a specified dollar amount or a specific percentage of the participant's compensation and
the dollar amount or percentage of compensation cannot be subject to change.

Yes No N/A 5. Does the plan provide that the participants do not have the election to opt in and/or out of the plan?
Page

Yes No N/A
6. Are copies of the enacting legislation providing that the contributions although designated as employee
contributions are being paid by the employer in lieu of contributions by the employee included?

Page
Yes No N/A
Page

7\. Are copies of the specific enabling authorization that provides the employee must not have the option of
choosing to receive the contributed amounts directly instead of having them paid by the employer to the plan
included? For example, a resolution, ordinance, plan provision, or collective bargaining agreement could specify
this information.

## APPENDIX E ADDITIONAL CHECKLIST FOR CHURCH PLAN RULING REQUESTS

In order to assist Associate Chief Counsel (Tax Exempt and Government Entities) in processing a church plan ruling request, in
addition to the items in Appendix C, please check the following list.

Page

Yes No N/A
1\. Is there specific information showing that the submission is on behalf of a plan established by a named church
or convention or association of churches? The information must show how the sponsoring organization, if not a
church or convention or association of churches, is controlled by, or associated with, the named church or
convention or association of churches. For example, the board of directors of the sponsoring organization may be
made up of members of the named church, or the sponsoring organization might be listed in the church's official
directory of related organizations whose mission is to further the objectives of the church. In order to be
considered associated with a church or convention or association of churches, the organization must share
common religious bonds and convictions with that church or convention or association of churches.

Yes No N/A
Page

2\. Is there specific information showing that the organization that has established the plan is a tax-exempt
organization as described in § 501 of the Code?

Yes No N/A
Page

3\. Is there a representation that the plan for which the ruling is being requested is qualified under § 401(a) of
the Code or meets the requirements of § 403(b) of the Code?

Yes No N/A
Page
Yes No N/A
Page

4\. Does the ruling request clearly state who are the eligible participants and the name of the employer of these
eligible participants?

Is there a representation that none of the eligible participants are or can be considered employed in connection
with one or more unrelated trades or businesses within the meaning of § 513 of the Code?

Yes No N/A
Page

6\. Is there a representation that all of the eligible participants are or will be employed by the named church or
convention or association of churches, and will not include employees of for-profit entities? An example of an
eligible employee includes a duly ordained, commissioned, or licensed minister of a church in the exercise of his
or her ministry.

Yes No N/A
Page

7\. Is there specific information showing an existing plan committee whose principal purpose or function is the
administration or funding of the plan? This committee must be controlled by or associated with the named church
or convention or association of churches.

Yes No N/A
8. Is the composition of the committee stated?

Page

Yes No N/A
Page

9\. Did the plan sponsor provide a written notice to interested persons that a letter ruling under § 414(e) of the
Code on behalf of a church plan will be submitted to the IRS? (See Rev. Proc. 2011-44).

Yes No N/A
Page

10\. Does the ruling request include a copy of the notice?

# APPENDIX F LIST OF SMALL BUSINESS/SELF-EMPLOYED OPERATING DIVISION (SB/SE) OFFICES TO WHICH TO SEND REQUESTS FOR DETERMINATION LETTERS

SB/SE and W&I taxpayers should send requests for determination letters under this Rev. Proc. 2015-1 to the appropriate
SB/SE office listed below. Both the request and its envelope should be marked "DETERMINATION LETTER REQUEST."

# INCOME TAX

Requests for determination letters regarding income tax (including requests from international taxpayers) should be sent
to:

Office of the Director, Technical Services

Internal Revenue Service

Attn: SE:S:E:TS

Mail Stop 5000

24000 Avila Road

Laguna Niguel, CA 92677

## ESTATE AND GIFT TAXES

Requests for determination letters regarding estate and gift tax should be sent to:

Estate & Gift Tax

Internal Revenue Service

SE:S:SP:E&G

6340 Variel

Woodland Hills, CA 91367

# EMPLOYMENT TAXES

Requests for determination letters regarding employment tax (except for requests for determination of worker status,
which should be sent to the appropriate office listed in the instructions to Form SS-8, Determination of Worker Status for
Purposes of Federal Employment Taxes and Income Tax Withholding) should be sent to:

Chief, Employment Tax Operations
Internal Revenue Service
Attn: SE:S:SP:ET
5000 Ellin Road
Room C9-202
Lanham, MD 20706

EXCISE TAXES

Requests for determination letters regarding excise taxes should be sent to:

Chief, Excise Tax Operations
Internal Revenue Service
Attn: SE:S:SP:EX
80 Daniel Street
PO Box 9502
Portsmouth, NH 03802

# APPENDIX G CHECKLISTS, GUIDELINE REVENUE PROCEDURES, NOTICES, SAFE HARBOR REVENUE PROCEDURES, AND AUTOMATIC CHANGE REVENUE PROCEDURES

Specific revenue procedures and notices supplement the general instructions for requests
explained in section 7 of this revenue procedure and apply to requests for letter rulings or
determination letters regarding the Code sections and matters listed in this section.

.01 For requests relating to the following Code sections and subject matters, refer to the
following checklists, guideline revenue procedures, and notices.

REVENUE PROCEDURE AND NOTICE

Rev. Proc. 96-16, 1996-1 C.B. 630 (for a reviewable ruling under § 7478 and a nonreviewable
ruling); Rev. Proc. 88-31, 1988-1 C.B. 832 (for approval of areas of chronic economic distress);
and Rev. Proc. 82-26, 1982-1 C.B. 476 (for "on behalf of" and similar issuers). For approval of
areas of chronic economic distress, Rev. Proc. 88-31 explains how this request for approval must
be submitted to the Assistant Secretary for Housing/Federal Housing Commissioner of the
Department of Housing and Urban Development.

Rev. Proc. 92-84, 1992-2 C.B. 489.

Rev. Proc. 77-37, 1977-2 C.B. 568, as modified by Rev. Proc. 89-30, 1989-1 C.B. 895, and as
amplified by Rev. Proc. 77-41, 1977-2 C.B. 574, Rev. Proc. 83-81, 1983-2 C.B. 598 (see also Rev.
Proc. 2015-3, this bulletin), Rev. Proc. 84-42, 1984-1 C.B. 521 (superseded, in part, as to no-rule
areas by Rev. Proc. 2015-3, this bulletin), Rev. Proc. 86-42, 1986-2 C.B. 722, and Rev. Proc. 89-50,
1989-2 C.B. 631. But see section 3.01 of Rev. Proc. 2015-3, which states that the Service will not
issue a letter ruling as to whether a transaction constitutes a reorganization within the meaning of
§ 368. However, the Service will issue a letter ruling addressing significant issues (within the meaning
of section 3.01 of Rev. Proc. 2015-3) presented in a reorganization within the meaning of § 368. The
information and representations described in these revenue procedures should be included in a letter
ruling request only to the extent that they relate to the significant issues with respect to which the letter
ruling is requested. See section 6.03(4).

Rev. Proc. 87-22, 1987-1 C.B. 718.

301
Nonapplicability on
sales of stock of
employer to defined
contribution plan
302, 311
Checklist questionnaire

Rev. Proc. 86-18, 1986-1 C.B. 551; and Rev. Proc. 77-41, 1977-2 C.B. 574.

302(b)(4)

Checklist questionnaire
311
Checklist questionnaire
332

Checklist questionnaire

Rev. Proc. 81-42, 1981-2 C.B. 611.

Rev. Proc. 86-16, 1986-1 C.B. 546.

See section 3.01 of Rev. Proc. 2015-3, this Bulletin, which states that the Service will not issue a letter
ruling on whether a corporate distribution qualifies for nonrecognition treatment under section§ 332.
However, the Service will issue a letter ruling addressing significant issues (within the meaning of
section 3.01 of Rev. Proc. 2015-3) presented in a transaction described in § 332. The information and
representations described in Rev. Proc. 90-52, 1990-2 C.B. 626, should be included in a letter ruling
request only to the extent that they relate to the significant issues with respect to which the letter ruling
is requested. See section 6.03(4).

## Checklists, guideline revenue procedures, and notices

CODE OR
REGULATION
SECTION

103, 141-150, 1394,
1400L(d), 1400N(a),
1400U-1, 1400U-3,
7478, and 7871

Issuance of state or
local obligations

1.166-2(d)(3)
Uniform express
determination letter for
making election
Subchapter C-
Corporate
Distributions,
Adjustments,
Transfers, and
Reorganizations

338 Extension of time to make elections

Rev. Proc. 2003-33, 2003-1 C.B. 803, provides guidance as to how an automatic extension of time under § 301.9100-3 of the Treasury Regulations may be obtained to file elections under § 338. This revenue procedure also informs taxpayers who do not qualify for the automatic extension of the information necessary to obtain a letter ruling.

351 Checklist questionnaire

See section 3.01 of Rev. Proc. 2015-3, this Bulletin, which states that the Service will not issue a letter ruling on whether certain transfers to controlled corporations qualify for nonrecognition treatment under § 351. However, the Service will issue a letter ruling addressing significant issues (within the meaning of section 3.01 of Rev. Proc. 2015-3) presented in a transaction described in § 351. The information and representations described in Rev. Proc. 83-59, 1983-2 C.B. 575, should be included in a letter ruling request only to the extent that they relate to the significant issues with respect to which the letter ruling is requested. See section 6.03(4).

355 Checklist questionnaire

See section 3.01 of Rev. Proc. 2015-3, this Bulletin, which states that the Service will not issue a letter ruling on whether certain distributions of controlled corporation stock qualify for nonrecognition treatment under § 355. However, the Service will issue a letter ruling addressing significant issues (within the meaning of section 3.01 of Rev. Proc. 2015-3) presented in a transaction described in § 355. The information and representations described in Rev. Proc. 96-30, 1996-1 C.B. 696, should be included in a letter ruling request only to the extent that they relate to the significant issues with respect to which the letter ruling is requested. See section 6.03(4).

368(a)(1)(E) Checklist questionnaire

See section 3.01 of Rev. Proc. 2015-3, this Bulletin, which states that the Service will not issue a letter ruling as to whether a transaction constitutes a reorganization, including a recapitalization within the meaning of § 368(a)(1)(E) (or a transaction that qualifies under § 1036). However, the Service will issue a letter ruling addressing significant issues (within the meaning of section 3.01 of Rev. Proc. 2015-3) presented in a transaction described in § 368(a)(1)(E) (or in a transaction described in § 1036). The information and representations described in Rev. Proc. 81-60, 1981-2 C.B. 680, should be included in a letter ruling request only to the extent that they relate to the significant issues. See section 6.03(4).

412, 4971(b) Additional tax (on failure to meet minimum funding standards)

Rev. Proc. 81-44, 1981-2 C.B. 618, provides guidance for requesting a waiver of the 100 percent tax imposed under § 4971(b) on a pension plan that fails to meet the minimum funding standards of § 412.

412(d) Minimum funding standards

Rev. Proc. 2004-15, 2004-1 C.B. 490, provides guidance for requesting a waiver of the minimum funding standards.

412(c)(7)(B) Minimum funding standards-restrictions on plan amendments

Rev. Proc. 79-62, 1979-2 C.B. 576 provides guidance for requesting a determination that a plan amendment is reasonable and provides for only de minimis increases in plan liabilities in accordance with former § 412(f)(2)(A) (now § 412(c)(7)(B)(i)).

412(d)(2) Minimum funding standards-certain retroactive plan amendments

Rev. Proc. 94-42, 1994-1 C.B. 717, sets forth procedures under which a plan sponsor may file notice with and obtain approval for a retroactive amendment described in § 412(d)(2) (formerly § 412(c)(8)) and § 302(d)(2) of the Employee Retirement Income Security Act of 1974 (ERISA) that reduces prior accrued benefits.

414(e) Church plans

Rev. Proc. 2011-44, 2011-39 I.R.B. 445 provides supplemental procedures for requesting a ruling relating to church plans under section 414(e). This revenue procedure provides that plan participants and other interested persons must receive a notice when a letter ruling is requested and a copy of the notice must be submitted as part of the ruling request. It also provides procedures for the Service to receive and consider comments about the ruling request from interested persons. See Appendix E.

414(r) Qualified separate lines of business- administrative scrutiny

Rev. Proc. 93-41, 1993-2 C.B. 536, sets forth procedures relating to the issuance of an administrative scrutiny determination, which is a determination by the Service as to whether a separate line of business satisfies the requirement of administrative scrutiny, within the meaning of § 1.414(r) 6, for the testing year.

461(h)
Alternative method for the
inclusion of common
improvement costs in basis

482
Advance pricing agreements
521
Appeal procedure with
regard to adverse
determination letters and
revocation or
modification of
exemption letter rulings
and determination letters
817(h)
Closing agreement for
inadvertent failures of
variable contracts

860
Self Determination of
Deficiency Dividend
877, 2107, and
2501(a)(3)
Individuals who lose
U.S. citizenship or cease
to be taxed as long-term
U.S. residents with a
principal purpose to
avoid U.S. taxes

1362(b)(5) and 1362(f)
Relief for late S
corporation and related
elections under certain
circumstances

1362(b)(5) and 301.7701-3
Automatic extensions of time
for late S corporation election
and late corporate entity
classification

1.1502-13(e)(3)
Consent to treat
intercompany
transactions on a separate
entity basis and
revocation of this consent

1.1502-75(b)
Consent to Be Included
in a Consolidated Income
Tax Return

Rev. Proc. 92-29, 1992-1 C.B. 748.

Rev. Proc. 2006-9, 2006-1 C.B. 278, as amplified by Rev. Proc. 2006-54, 2006-2 C.B. 1035, and modified
by Rev. Proc. 2008-31, 2008-1 C.B. 1133.

Rev. Proc. 90-27, 1990-1 C.B. 514.

Rev. Proc. 2008-41, 2008-2 C.B. 155.

Rev. Proc. 2009-28, 2009-20 I.R.B. 1011.

Notice 97-19, 1997-1 C.B. 394, as modified by Notice 98-34, 1998-2 C.B. 29, and as obsoleted in part by
Notice 2005-36, 2005-1 C.B. 1007.

Rev. Proc. 2013-30, 2013-36 I.R.B. 173.

Rev. Proc. 2009-31, 2009-27 I.R.B. 107.

Rev. Proc. 2014-24, 2014-13 I.R.B. 879, provides a determination that certain subsidiary corporations are
treated as if they had filed a Form 1122, Authorization and Consent of Subsidiary Corporation To Be
Included in a Consolidated Income Tax Return, even though they failed to do so. This revenue procedure
also informs taxpayers who do not qualify for the automatic determination of the procedure for requesting
such determination.

1.1502-76(a)(1)
Consent to file a consolidated
return where member(s) of the
affiliated group use a 52-53
week taxable year

### 1504(a)(3)(A) and (B) Waiver of application of § 1504(a)(3)(A) for certain corporations

1552

Consent to elect or change
method of allocating affiliated
group's consolidated federal
income tax liability

2642

Allocations of generation-
skipping transfer tax exemption

2652(a)(3)
Reverse qualified terminable
interest property elections

4980B
Failure to satisfy
continuation coverage
requirements of group health
plans

7701

Relief for a late initial
classification election for a
newly formed entity

7701(a)(40) and 7871(d)
Indian tribal governments
and subdivision of Indian
tribal governments

301.7701-2(a)
Classification of undivided
fractional interests in rental
real estate

301.7701-3

Automatic extensions of
time for late S corporation
election and late corporate
entity classification

Rev. Proc. 89-56, 1989-2 C.B. 643, as modified by Rev. Proc. 2006-21, 2006-1 C.B. 1050.

Rev. Proc. 2002-32, 2002-1 C.B. 959, as modified by Rev. Proc. 2006-21, 2006-1 C.B. 1050.

Rev. Proc. 90-39, 1990-2 C.B. 365, as clarified by Rev. Proc. 90-39A, 1990-2 C.B. 367, and as
modified by Rev. Proc. 2006-21, 2006-1 C.B. 1050.

Rev. Proc. 2004-46, 2004-2 C.B. 142, provides an alternative method for requesting relief to make a
late allocation of the generation-skipping transfer tax exemption. This revenue procedure also informs
taxpayers who are denied relief or who are outside the scope of the revenue procedure of the
information necessary for obtaining a letter ruling.

Rev. Proc. 2004-47, 2004-2, C.B. 169, provides an alternative method for certain taxpayers
to obtain an extension of time to make a late reverse qualified terminable interest property
election under § 2652(a)(3). This revenue procedure also informs taxpayers who are denied
relief or who are outside the scope of the revenue procedure of the information necessary to
obtain a letter ruling.

Rev. Proc. 87-28, 1987-1 C.B. 770 (treating references to former § 162(k) as if they were
references to § 4980B).

Rev. Proc. 2009-41, 2009-39 I.R.B. 439.

Rev. Proc. 84-37, 1984-1 C.B. 513, as modified by Rev. Proc. 86-17, 1986-1 C.B. 550, and
Rev. Proc. 2015-1, this revenue procedure, (provides guidelines for obtaining letter rulings
recognizing Indian tribal government or tribal government subdivision status; also provides
for inclusion in list of federally recognized Indian tribes published annually by the
Department of the Interior, Bureau of Indian Affairs, or in list of recognized subdivisions of
Indian tribal governments in revised versions of Rev. Proc. 84-36, 1984-1 C.B. 510, as
modified and made permanent by Rev. Proc. 86-17).

Rev. Proc. 2002-22, 2002-1 C.B. 733 (specifies the conditions under which the Service will
consider a letter ruling request that an undivided fractional interest in rental real property
(other than a mineral property as defined in § 614) is not an interest in a business entity).

Rev. Proc. 2013-30, 2013-36 I.R.B. 173.

301.9100-3

Rev. Proc. 2009-41, 2009-39 I.R.B. 439.

Extension of time to make entity classification election 7702 Closing agreement for failure to account for charges for qualified additional benefits

Rev. Proc. 2010-26, 2010-30 I.R.B. 91.

7702

Rev. Proc. 2008-40,2008-2 C.B. 151.

Closing agreement for failed life insurance contracts

7702A Closing agreement for inadvertent non-egregious failure to comply with modified endowment contract rules

Rev. Proc. 2008-39, 2008-2 C.B. 143.

7704(g)

Notice 98-3, 1998-1 C.B. 333.

Revocation of election

SUBJECT MATTERS

REVENUE PROCEDURE

Accounting periods; changes in period

Rev. Proc. 2002-39, 2002-1 C.B. 1046, as clarified and modified by Notice 2002-72, 2002-2 C.B. 843, as modified by Rev. Proc. 2003-34, 2003-1 C.B. 856, and modified by Rev. Proc. 2003-79, 2003-2 C.B. 1036; and Rev. Proc. 2015-1, this revenue procedure, for which sections 1, 2.01, 2.02, 2.05, 3.03, 5.02, 6.03, 6.05, 6.07, 6.11, 7.01(1), 7.01(2), 7.01(3), 7.01(4), 7.01(5), 7.01(6), 7.01(8), 7.01(9), 7.01(10), 7.01(13), 7.01(14), 7.01(15), 7.02(2), 7.02(4), 7.02(5), 7.02(6), 7.03, 7.04, 7.05, 7.07, 8.01, 8.03, 8.04, 8.05, 8.06, 10, 11, 15, 17, 18, Appendix A, and Appendix G are applicable.

Classification of liquidating trusts

Rev. Proc. 82-58, 1982-2 C.B. 847, as modified and amplified by Rev. Proc. 94-45, 1994-2 C.B. 684, and as amplified by Rev. Proc. 91-15, 1991-1 C.B. 484 (checklist questionnaire), as modified and amplified by Rev. Proc. 94-45.

Earnings and profits determinations

Rev. Proc. 75-17, 1975-1 C.B. 677; Rev. Proc. 2015-1, this revenue procedure, sections 2.05, 3.03, 7, 8, and 10.05; and Rev. Proc. 2015-3, this Bulletin, section 3.01.

Estate, gift, and generation-skipping transfer tax issues

Rev. Proc. 91-14, 1991-1 C.B. 482 (checklist questionnaire).

Intercompany transactions; election not to defer gain or loss

Rev. Proc. 2009-31, 2009-27 I.R.B. 107.

Leveraged leasing

Rev. Proc. 2001-28, 2001-1 C.B. 1156, and Rev. Proc. 2001-29, 2001-1 C.B. 1160.

Rate orders; regulatory agency; normalization

A letter ruling request that involves a question of whether a rate order that is proposed or issued by a regulatory agency will meet the normalization requirements of § 168(f)(2) (pre-Tax Reform Act of 1986, § 168(e)(3)) and former §§ 46(f) and 167(l) ordinarily will not be considered unless the taxpayer states in the letter ruling request whether-

(1) the regulatory authority responsible for establishing or approving the taxpayer's rates has reviewed
the request and believes that the request is adequate and complete; and

(2) the taxpayer will permit the regulatory authority to participate in any Associate office conference
concerning the request.

If the taxpayer or the regulatory authority informs a consumer advocate of the request for a letter ruling
and the advocate wishes to communicate with the Service regarding the request, any such communication
should be sent to: Internal Revenue Service, Associate Chief Counsel (Procedure and Administration), Attn:
CC:PA:LPD:DRU, P.O. Box 7604, Ben Franklin Station, Washington, DC 20044 (or, if a private delivery
service is used: Internal Revenue Service, Associate Chief Counsel (Procedure and Administration), Attn:
CC:PA:LPD:DRU, Room 5336, 1111 Constitution Ave., NW, Washington, DC 20224). These
communications will be treated as third party contacts for purposes of § 6110.

Unfunded deferred
compensation

Rev. Proc. 71-19, 1971-1 C.B. 698, as amplified by Rev. Proc. 92-65, 1992-2 C.B. 428. See Rev. Proc.
92-64, 1992-2 C.B. 422, as modified by Notice 2000-56, 2000-2 C.B. 393, for the model trust for use in
Rabbi Trust Arrangements.

#### Safe harbor revenue procedures

.02 For requests relating to the following Code sections and subject matters, refer to the following safe
harbor revenue procedures.

CODE OR
REGULATION
SECTION

REVENUE PROCEDURE

23 and 36C
Adoption credit for
foreign adoptions

Rev. Proc. 2010-31, 2010-40 I.R.B. 413.

Rev. Proc. 93-17, 1993-1 C.B. 507 (change of use of proceeds); Rev. Proc. 97-13, 1997-1 C.B. 632, as
modified by Rev. Proc. 2001-39, 2001-2 C.B. 38 (management contracts); and Rev. Proc. 2007-47, 2007-2
C.B. 108 (research agreements).

Rev. Proc. 2005-62, 2005-2 C.B. 507.

103 and 141-150
Issuance of state or local
obligations
61
Utility Cost Recovery
Securitization
Transactions
137
Exclusion for Employer
Reimbursements

Rev. Proc. 2010-31, 2010-40 I.R.B. 413.

162

Rev. Proc. 2002-12, 2002-1 C.B. 374.

Restaurant Small Wares
Costs

165

Rev. Proc. 2010-36, 2010-42 I.R.B. 439.

Losses from corrosive
drywall

165

Theft losses from
fraudulent investment
arrangements

168

Depreciation of original
and replacement tires for
certain vehicles

Rev. Proc. 2009-20, 2009-14 I.R.B. 749; Rev. Proc. 2011-58, 2011-50 I.R.B. 849 (modifies Rev. Proc.
2009-20).

Rev. Proc. 2002-27, 2002-1 C.B. 802.

168

Rev. Proc. 2003-63, 2003-2 C.B. 304.

Depreciation of fiber optic node and trunk line of a cable television distribution system

168

Rev. Proc. 2011-22, 2011-18 I.R.B. 737

Recovery periods of certain tangible assets used by wireless telecommunication carriers

263, 471

Rev. Proc. 2007-48, 2007-2 C.B. 110

Treatment of rotable spare parts as inventory or depreciable property

263 Safe harbor methods for track structure expenditures

Rev. Proc. 2002-65, 2002-2 C.B. 700; Rev. Proc. 2001-46, 2001-2 C.B. 263.

263

Rev. Proc. 2011-27, 2011-18 I.R.B. 740.

Determination whether expenditures to maintain, replace or improve wireline network assets must be capitalized

263

Rev. Proc. 2011-28, 2011-18 I.R.B. 743.

Determination whether expenditures to maintain, replace or improve wireless network assets must be capitalized

263 Allocating success-based fees paid in business acquisitions or reorganizations

Rev. Proc. 2011-29, 2011-18 I.R.B. 746.

263

Rev. Proc. 2011-43, 2011-37 I.R.B. 326.

Electric trade and distribution property assets

263A

Rev. Proc. 2010-44, 2010-49 I.R.B. 811.

Safe harbor methods for certain motor vehicle

dealerships

280A

Rev. Proc. 2013-13, 2013-6 I.R.B. 478.

Safe harbor method to determine the amount of deductible expenses attributable to certain business use of a residence

280B

Rev. Proc. 95-27, 1995-1 C.B. 704.

Certain structural modifications to a building not treated as a demolition

446

Rev. Proc. 2004-36, 2004-1 C.B. 1063.

Film producer's

treatment of certain creative property costs

446

Rev. Proc. 2007-33, 2007-1 C.B. 1289.

Bank's treatment of uncollected interest

448

Rev. Proc. 2011-46, 2011-42 I.R.B. 518.

Nonaccrual-experience method-book safe harbor method

451

Rev. Proc. 2002-36, 2002-1 C.B. 993

Safe harbor for capital cost reduction payments

451 Treatment of gift cards issued to customers in exchange for returned merchandise

Rev. Proc. 2011-17, 2011-5 I.R.B. 441.

451 Safe harbor for certain minors' trusts established under the Indian Gaming Regulatory Act (U.S.C. §§ 2701-2721)

Rev. Proc. 2011-56, 2011-49 I.R.B. 834.

461 Safe harbor method for payroll tax liabilities for compensation

Rev. Proc. 2008-25, 2008-1 C.B. 686.

471 Estimating inventory shrinkage

Rev. Proc. 98-29, 1998-1 C.B. 857.

471

Rev. Proc. 2002-17, 2002-1 C.B. 676.

Valuation of automobile dealer vehicle parts inventory

471 Valuation of remanufactured cores

Rev. Proc. 2003-20, 2003-1 C.B. 445.

471 Valuation of heavy equipment dealer parts inventory

Rev. Proc. 2006-14, 2006-1 C.B. 350.

471 Rolling-average method of accounting for inventories

Rev. Proc. 2008-43, 2008-2 C.B. 186.

475
Eligible positions

Rev. Proc. 2007-41, 2007-1 C.B. 1492.

Rev. Proc. 92-51, 1992-1 C.B. 988.

584(a)
Qualification of a
proposed common trust
fund plan

642(c)(5)
Qualification of trusts as
pooled income funds

Rev. Proc. 88-53, 1988-2 C.B. 712.

664
Charitable remainder
trusts

Rev. Proc. 2005-24, 2005-1 C.B. 909, as modified by Notice 2006-15, 2006-1 C.B. 501.

664(d)(1)
Qualification of trusts as
charitable remainder
annuity trusts

Rev. Proc. 2003-53, 2003-2 C.B. 230; Rev. Proc. 2003-54, 2003-2 C.B. 236; Rev. Proc. 2003-55, 2003-2
C.B. 242; Rev. Proc. 2003-56, 2003-2 C.B. 249; Rev. Proc. 2003-57, 2003-2 C.B. 257; Rev. Proc.
2003-58, 2003-2 C.B. 262; Rev. Proc. 2003-59, 2003-2 C.B. 268; Rev. Proc. 2003-60, 2003-2 C.B. 274.

664(d)(2) and (3)
Qualification of trusts as
charitable remainder
unitrusts

Rev. Proc. 2005-52, 2005-2 C.B. 326; Rev. Proc. 2005-53, 2005-2 C.B. 339; Rev. Proc. 2005-54, 2005-2
C.B. 353; Rev. Proc. 2005-55, 2005-2 C.B. 367; Rev. Proc. 2005-56, 2005-2 C.B. 383; Rev. Proc.
2005-57, 2005-2 C.B. 392; Rev. Proc. 2005-58, 2005-2 C.B. 402; Rev. Proc. 2005-59, 2005-2 C.B. 412.

832
Insurance company
premium acquisition
expenses

Rev. Proc. 2002-46, 2002-2 C.B. 105.

856(c)
Certain loans treated as
real estate assets

Rev. Proc. 2003-65, 2003-2 C.B. 336.

860H
Transfers of ownership
interests in Financial
Asset Securitization
Investment Trusts

Rev. Proc. 2001-12, 2001-1 C.B. 335.

Rev. Proc. 2000-37, 2000-2 C.B. 308, as modified by Rev. Proc. 2004-51, 2004-2 C.B. 294.

1031(a)
Qualification as a
qualified exchange
accommodation
arrangement
1031
Safe harbor with respect
to exchanges of
residential real property
1031
Safe harbor for reporting
gain or loss on failed
exchanges

Rev. Proc. 2008-16, 2008-1 C.B. 547.

Rev. Proc. 2010-14, 2010-12 I.R.B. 456.

1272(a)(6)
Proportional method of
accounting for original
issue discount on pools
of credit card receivables

Rev. Proc. 2013-26, 2013-22 I.R.B. 1160.

Rev. Proc. 91-50, 1991-2 C.B. 778.

1286
Determination of
reasonable compensation
under mortgage servicing
contracts

1362(f)
Automatic inadvertent
termination relief to
certain corporations
2056A
Qualified Domestic Trust

Rev. Proc. 2013-30, 2013-36 I.R.B. 173.

Rev. Proc. 96-54, 1996-2 C.B. 386.

2702(a)(3)(A) and

Rev. Proc. 2003-42, 2003-1 C.B. 993.

25.2702-5(c)

Qualified Personal
Residence Trust

4051(a)(2)
Imposition of tax on
heavy trucks and trailers
sold at retail

Rev. Proc. 2005-19, 2005-1 C.B. 832.

1.7704-2(d)
New business activity of
existing partnership is
closely related to
pre-existing business

Rev. Proc. 92-101, 1992-2 C.B. 579.

SUBJECT MATTERS

REVENUE PROCEDURE

Certain rent-to-own
contracts treated as leases

Rev. Proc. 95-38, 1995-2 C.B. 397.

Automatic change in
accounting period
revenue procedures

.03 For requests for an automatic change in accounting period, refer to the following automatic change
revenue procedures.

Rev. Proc. 2006-45, 2006-2 C.B. 851, as clarified and modified by Rev. Proc. 2007-64, 2007-2 C.B.
818 (certain corporations); Rev. Proc. 2006-46, 2006-2 C.B. 859 (certain partnerships, subchapter S
corporations, personal service corporations, and trusts); and Rev. Proc. 2003-62, 2003-2 C.B. 299
(individuals seeking a calendar year);

The Commissioner's consent to an otherwise qualifying automatic change in accounting period is granted
only if the taxpayer timely complies with the applicable automatic change revenue procedure.

26 CFR 601.105: Examination of returns and claims for refund, credit or abatement; determination of correct tax liability.

##### Rev. Proc. 2015-2

TABLE OF CONTENTS

SECTION 1. PURPOSE AND AUTHORITY.

107

.01 Description of purpose

107

.02 Updated annually

107

.03 Delegation authority

107

SECTION 2. DEFINITIONS

107

.01 Operating division

107

.02 Director

107

.03 Territory Manager

108

.04 Appeals officer

108

.05 Taxpayer

108

.06 Associate office

108

.07 Field office

108

.08 Field counsel

108

SECTION 3. THE NATURE OF TECHNICAL ADVICE

108

.01 When advice furnished

108

.02 TAM may be requested even if previous TAM on same matter was issued

109

.03 Taxpayer participation

109

.04 Areas of mandatory technical advice on employee plans or exempt organizations matters

109

.05 Basis for requests by Exempt Organizations Rulings &amp; Agreements

109

SECTION 4. TYPES OF ISSUES NOT SUBJECT TO THIS PROCEDURE

109

.01 Alcohol, tobacco, and firearms taxes

109

.02 Employment status determinations

109

.03 Issues under § 301.9100

109

.04 Frivolous issues

110

.05 Issues in a docketed case

110

.06 Collection issues

110

SECTION 5. INITIATING A REQUEST FOR TECHNICAL ADVICE

110

.01 Initiating a request for technical advice

110

.02 Taxpayer may request technical advice

111

.03 Appeal of field office denial of TAM request

111

.04 The decision of the Director, the LB&amp;I Territory Manager, or the Tax Exempt Bonds Manager, Field Operations may be reviewed but not appealed

111

SECTION 6. PRE-SUBMISSION CONFERENCES

112

.01 Purpose

112

.02 Pre-submission conferences are mandatory

112

.03 Actions before a pre-submission conference

112

.04 Initiating a pre-submission conference

112

.05 Manner of transmitting pre-submission materials

113

.06 Scheduling the pre-submission conference

113

.07 Pre-submission conferences may be conducted in person

113

.08 Pre-submission conference may not be taped

113

.09 Discussion of substantive issues is not binding on the Service

113

.10 New issues may be raised at pre-submission conference

113

SECTION 7. SUBMITTING THE REQUEST FOR TECHNICAL ADVICE

113

.01 Memorandum of issues, facts, law, and arguments

113

.02 Transaction involving multiple taxpayers

114

.03 Foreign laws and documents: submission of relevant foreign laws and documents in the official language and in English

114

.04 Statement regarding interpretation of relevant income tax or estate tax treaty

115

.05 Statement recommending information to be deleted from public inspection

115

.06 Preparation of the memorandum; resolution of disagreements

115

.07 Transmittal Form 4463, Request for Technical Advice

116

.08 All supporting and additional documents

116

.09 Number of copies of request to be submitted

117

.10 Power of attorney

117

SECTION 8. INITIAL PROCESSING OF THE REQUEST FOR TECHNICAL ADVICE BY THE ASSOCIATE OFFICE

117

.01 Assignment and initial review by Associate office attorney

117

.02 Other forms of guidance

117

.03 Initial acknowledgment and processing

117

.04 Deficiencies in request leading to return

117

.05 Initial discussion

118

.06 If additional information requested

118

.07 Taxpayer request for extension of time to submit additional information

118

.08 Where to send additional information

118

.09 Tentative conclusions

119

SECTION 9. TAXPAYER CONFERENCES

119

.01 Notification of conference

119

.02 Scheduling conference

119

.03 Taxpayer may request extensions

119

.04 One conference of right

119

.05 Additional conferences may be offered

120

.06 Additional information submitted after the conference

120

.07 Normally conducted in person

120

.08 Service makes only tentative recommendations

120

.09 Conference may not be taped

120

SECTION 10. PREPARATION OF THE TECHNICAL ADVICE

120

.01 Reply consists of two parts

120

.02 Status of a request

121

.03 Section 6110

121

.04 Opportunity for field counsel review

121

.05 Copy of preliminary TAM to field office and field counsel

121

.06 Routing of reply

121

.07 Copy of final TAM to field counsel and Division Counsel

122

.08 Reconsideration

122

.09 Discussing contents with the taxpayer.

122

.10 TAM takes effect when taxpayer receives a copy

122

.11 Taxpayer may protest deletions not made

122

.12 Public inspection in civil fraud or criminal investigation cases

122

SECTION 11. WITHDRAWAL OF REQUESTS FOR TECHNICAL ADVICE

123

.01 Taxpayer notified

123

.02 Acknowledgment of withdrawal

123

.03 Associate office may decide not to provide a TAM

123

.04 Associate office may provide views

123

SECTION 12. USE OF THE TECHNICAL ADVICE

123

.01 Service generally applies advice in processing taxpayer's case

123

SECTION 13. RETROACTIVITY AND RELIANCE

124

.01 Usually applies retroactively

124

.02 Revocation or modification of an earlier letter ruling or TAM

124

.03 Continuing action or series of actions

124

.04 Other taxpayers

124

SECTION 14. HOW MAY RETROACTIVE EFFECT BE LIMITED?

124

.01 Request for relief under § 7805(b)

124

.02 Form of request for relief-in general

125

.03 Form of request for relief-continuing transaction before examination of return

125

.04 Taxpayer's right to a conference

125

.05 Reconsideration of request for relief under § 7805(b)

125

SECTION 15. SIGNIFICANT CHANGES MADE TO REV. PROC. 2014-2

125

SECTION 16. EFFECT ON OTHER DOCUMENTS

125

SECTION 17. EFFECTIVE DATE

125

DRAFTING INFORMATION

125

INDEX

127

###### SECTION 1. PURPOSE AND AUTHORITY

Description of purpose

.01 Technical advice. This revenue procedure explains when and how the Associate Chief Counsel (Corporate), the Associate Chief Counsel (Financial Institutions and Products), the Associate Chief Counsel (Income Tax and Accounting), the Associate Chief Counsel (Interna- tional), the Associate Chief Counsel (Passthroughs and Special Industries), the Associate Chief Counsel (Procedure and Administration), and the Associate Chief Counsel (Tax Exempt and Government Entities) provide technical advice memoranda (TAMs) to a Director or an Appeals Area Director. It also explains the rights that a taxpayer has when a field office requests a TAM regarding a tax matter. Rev. Proc. 2014-2 superseded.

Updated annually

.02 This revenue procedure is updated annually as the second revenue procedure of the year, but may be modified during the year.

Delegation authority

.03 The provisions of this revenue procedure apply if the authority normally exercised by the Director has been properly delegated to another official.

SECTION 2. DEFINITIONS

Operating division

.01 The term "operating division" means the (1) Large Business &amp; International Division (LB&amp;I); (2) the Small Business/Self-Employed Division (SB/SE); (3) the Wage and Investment Division (W&amp;I); and (4) the Tax Exempt and Government Entities Division (TE/GE).

Director

.02 The term "Director" means (1) the Director, Field Operations (LB&amp;I) for the taxpayer's industry; (2) a Territory Manager, Field Compliance (SB/SE); (3) the Director, Compliance (W&amp;I); (4) the Director, International Compliance, Strategy and Policy; (5) the Director, Em- ployee Plans Examinations; (6) the Director, Employee Plans Rulings &amp; Agreements; (7) the

Director, Exempt Organizations Examinations; (8) the Director, Exempt Organizations Rulings &amp; Agreements; (9) the Director, Federal, State &amp; Local Governments; (10) the Director, Tax Exempt Bonds; (11) the Director, Indian Tribal Governments; (12) the Appeals Area Director; (13) the Appeals Director, Domestic Operations, (14) the Appeals Director, International Oper- ations; or (15) any official to whom the authority normally exercised by a Director has properly been delegated.

Territory Manager

.03 The term "Territory Manager" means (1) a Territory Manager (LB&amp;I); (2) a Territory Manager, Examination (SB/SE); (3) a Territory Manager, Specialty (SB/SE); (4) the Director, Compliance (W&amp;I); (5) the Employee Plans Examinations Area Manager; (6) the Exempt Organizations Examinations Area Manager; (7) the Employee Plans Determinations Manager; (8) the Exempt Organizations Determinations Manager; (9) the Group Manager, Federal, State &amp; Local Governments; (10) program managers within Tax Exempt Bonds; (11) the Manager, Field Operations, Tax Exempt Bonds; or (12) the Group Manager, Indian Tribal Governments.

Appeals officer

.04 The term "Appeals officer" means the Appeals officer assigned to the taxpayer's case and includes an Appeals Team Case Leader or settlement officer.

Taxpayer

.05 The term "taxpayer" means any person subject to any provision of the Internal Revenue Code, including an issuer of obligations the interest on which is excluded from gross income under § 103, issuers of other bonds that provided a tax subsidy, and the taxpayer's representatives.

Associate office

.06 The term "Associate office" means (1) the Office of Associate Chief Counsel (Corporate); (2) the Office of Associate Chief Counsel (Financial Institutions and Products); (3) the Office of Associate Chief Counsel (Income Tax and Accounting); (4) the Office of Associate Chief Counsel (International); (5) the Office of Associate Chief Counsel (Passthroughs and Special Industries); (6) the Office of Associate Chief Counsel (Procedure and Administration); or (7) the Office of Associate Chief Counsel (Tax Exempt and Government Entities).

Field office

.07 The term "field office" means personnel in any examination or Appeals office. For qualified retirement plan and exempt organizations matters, the term "field office" also means personnel in any Rulings &amp; Agreements office.

Field counsel

.08 The term "field counsel" means any attorney assigned to the Division Counsel for an operating division who is not a member of Division Counsel Headquarters.

###### SECTION 3. THE NATURE OF TECHNICAL ADVICE

####### When advice furnished

.01 Technical advice is advice furnished by an Associate office in a memorandum that responds
to any request, submitted under this revenue procedure, for assistance on any technical or
procedural question that develops during any proceeding before the IRS. The field office may
request a TAM when the application of the law to the facts involved is unclear. The question must
be on the interpretation and proper application of tax laws, tax treaties, regulations, revenue
rulings, notices, or other precedents to a specific set of facts that concerns the treatment of an item
in a period under examination or appeal. A TAM may not be requested for prospective or
hypothetical transactions (except for TAMs in connection with a taxpayer's request for a
determination letter on a matter within the jurisdiction of the Commissioner, Tax Exempt and
Government Entities Division, pursuant to Rev. Proc. 2015-4, 2015-5, 2015-6, 2015-9, or
2015-10). Proceedings before the IRS include: (1) the examination of a taxpayer's return; (2) the
consideration of a taxpayer's claim for credit or refund; (3) any matter under examination or in

Appeals pertaining to tax-exempt bonds, tax credit bonds, or mortgage credit certificates; and (4) any other matter involving a specific taxpayer under the jurisdiction of a Director. Technical advice does not include any oral legal advice or any written legal advice furnished to the field office that is not submitted and processed under this revenue procedure.

TAM may be requested even if previous TAM on same matter was issued

.02 A Director may raise an issue in any tax period, even if a TAM was requested and furnished for the same or similar issue for another tax period. The field office may also request a TAM on an issue even if Appeals disposed of the same or similar issue for another tax period of the same taxpayer.

Taxpayer participation

.03 Taxpayers will be afforded an opportunity to participate in the TAM process. Taxpayer participation is preferred but not required in order to process a request for technical advice. A taxpayer's failure to participate in stages identified as "material," however, will constitute waiver of the right to the conference described in Section 9.

Under no circumstances will a taxpayer be treated as having waived its right to see the issued TAM or having waived its rights regarding disclosure and deletions described in Section 10.

Areas of mandatory technical advice on employee plans or exempt organizations matters

.04 Regarding qualified retirement plan matters, a request for a TAM is required in cases concerning (1) proposed adverse or proposed revocation letters on collectively bargained plans, (2) plans for which the Service is proposing to issue a revocation letter because of certain fiduciary actions that violate the exclusive benefit rule of § 401(a) of the Code and are subject to Part 4 of Subtitle B of Title I of the Employee Retirement Income Security Act of 1974, Pub. L. No. 93-406, 1974-3 C.B. 1, 43, or (3) amendments to defined contribution plans pursuant to Rev. Proc. 2004-15, 2004-1 C.B. 490, in connection with a waiver of the minimum funding standard and a request for a determination letter. See section 15 of Rev. Proc. 2015-6 of this Bulletin, and section 3.04 of Rev. Proc. 2004-15, 2004-1 C.B. 490.

Basis for requests by Exempt Organizations Rulings &amp; Agreements

.05 The circumstances in which the Director, Exempt Organizations Rulings &amp; Agreements should seek Technical Advice in the course of processing applications for tax exemption are described in Rev. Proc. 2015-5, this Bulletin, section 5 and Rev. Proc. 2015-9, next Bulletin, section 5. Technical Advice may also be requested by EO Determinations in connection with requests for determination letters where no pending application for tax exemption is involved. A request for a TAM is not required if the Director, EO Examinations proposes to revoke or modify a letter recognizing tax-exempt status issued by the Service.

SECTION 4. TYPES OF ISSUES NOT SUBJECT TO THIS PROCEDURE

Alcohol, tobacco, and firearms taxes

.01 The procedures for obtaining technical advice specifically applicable to federal alcohol, tobacco, and firearms taxes under subtitle E of the Code are currently under the jurisdiction of the Alcohol and Tobacco Tax and Trade Bureau of the Treasury Department.

Employment status determinations

.02 Employment status determination letters issued pursuant to section 12.06 of Rev. Proc. 2015-1, of this Bulletin, are not subject to technical advice procedures.

Issues under § 301.9100

.03 A request for an extension of time for making an election or other application for relief under § 301.9100-3 of the Procedure and Administration Regulations is not submitted as a request for technical advice. Instead, the request must be submitted as a request for a letter ruling, even if submitted after the examination of the taxpayer's return has begun or after the issues in

the return are being considered in Appeals or a federal court. Therefore, a request under
§ 301.9100 should be submitted under Rev. Proc. 2015-1, of this Bulletin, and the payment of the
applicable user fee is determined under Appendix A of Rev. Proc. 2015-1. However, a request
under § 301.9100 related to recharacterization of a Roth IRA should be submitted under Rev.
Proc. 2015-4 of this Bulletin (including payment of the applicable user fee listed in section 6 of
Rev. Proc. 2015-8). Requests for relief pertaining to exemption application matters involving
§§ 505(c) and 508 are considered in the determination letter process under the jurisdiction of the
Commissioner, Tax Exempt and Government Entities Division.

####### Frivolous issues

.04 Associate offices will not issue a TAM on frivolous issues. The field office will deny a
taxpayer's request for a TAM if it involves frivolous issues. For purposes of this revenue
procedure, a "frivolous issue" is one without basis in fact or law or one asserting a position held
by revenue ruling, case law, or any court to be frivolous or groundless. Examples of frivolous or
groundless issues include but are not limited to: (1) positions that espouse frivolous "constitu-
tional" claims, such as claims that the requirement to file tax returns and pay taxes constitutes an
unreasonable search barred by the Fourth Amendment, violates Fifth and Fourteenth Amendment
protections of due process, violates Thirteenth Amendment protections against involuntary
servitude, or is unenforceable because the Sixteenth Amendment does not authorize nonappor-
tioned direct taxes or because it was never ratified; and (2) positions asserting that income taxes
are voluntary, that the term "income" is not defined in the Internal Revenue Code, or that the
preparation and filing of income tax returns violates the Paperwork Reduction Act. Additional
examples of frivolous or groundless issues may be found in IRS publications and other guidance
(including, but not limited to, section 6.10 of Rev. Proc. 2015-1, Notice 2010-33, and I.R.M.
Section 4.10.12.1.1).

####### Issues in a docketed case

.05 A field office may not request technical advice on an issue if the same issue of the same
taxpayer (or of a related taxpayer within the meaning of § 267 or a member of an affiliated group
of which the taxpayer is also a member within the meaning of § 1504) is in a docketed case for
any taxable year. If a case is docketed for an estate tax issue of a taxpayer while a request for
technical advice on the same issue of the same taxpayer is pending, the Associate office may issue
the TAM only if the appropriate Appeals officer and field counsel agree, by memorandum, to the
issuance of the TAM.

####### Collection issues

.06 The Associate Chief Counsel (Procedure and Administration) does not provide technical advice
on matters arising under the Internal Revenue Code and related statutes and regulations that involve
the collection of taxes (including interest and penalties). With respect to such matters, the Associate
Chief Counsel (Procedure and Administration) may issue alternative forms of advice.

####### SECTION 5. INITIATING A REQUEST FOR TECHNICAL ADVICE

Initiating a request for
technical advice

.01 Because technical advice is issued to assist field offices, it is the field office that determines
whether to request it. In determining whether to request technical advice, the field office should
consider whether other forms of guidance, e.g., published guidance, generic advice, or some other
form of advice, would be more appropriate. Before requesting technical advice, however, the field
office must request assistance and a recommendation from field counsel. If the field office
disagrees with that recommendation, the field office must seek reconciliation with field counsel
through their respective supervisors. Any request for technical advice must be approved in writing
by a Director. If technical advice is requested from the Associate Chief Counsel (Tax Exempt and
Government Entities) for a case with either an unagreed prohibited transaction, as defined in
§ 4975(c)(1) and ERISA § 406(a), or a violation of the exclusive benefit rule of § 401(a)(2) or
ERISA § 404(a)(1)(A), a Form 6212-B must be submitted to the Department of Labor prior to
submitting the request for technical advice. The mandatory technical advice described in section
3.04 of this revenue procedure, for cases concerning amendments to defined contribution plans in

connection with a waiver of the minimum funding standard and a request for a determination
letter, is treated as if it had been a request for technical advice submitted by the Director.

# Taxpayer may request technical advice

.02 While a case is under the jurisdiction of a Director, a taxpayer may request that an issue
be referred to the Associate office for technical advice. The request may be oral or written and
should be directed to the field office. If the field office decides that a taxpayer's request for referral
of an issue to the Associate office for a TAM is unwarranted, the field office will notify the
taxpayer. A taxpayer's request for referral of an issue for technical advice will not be denied
merely because the Associate office has already provided legal advice other than a TAM to the
field office on the matter.

## Appeal of field office denial of TAM request

.03 The taxpayer may appeal the field office's denial of the taxpayer's TAM request by
submitting to the field office, within 30 calendar days after notification that the request was
denied, a written statement of the reasons why the matter should be referred to the Associate
office. The statement should include a description of all pertinent facts (including any facts in
dispute); a statement of the issue that the taxpayer would like to have addressed; a discussion of
any relevant statutory, regulatory, or administrative provisions, tax treaties, case law, or other
authority; and an explanation of the taxpayer's position and the need for technical advice. Any
extensions of the 30-day period must be requested in writing and must be approved by the
Director, the LB&I Territory Manager or the Tax Exempt Bonds Manager, Field Operations.
Decisions on any extensions by the Director, the LB&I Territory Manager, or the Tax Exempt
Bonds Manager, Field Operations are final and may not be appealed.

Upon receipt, the field office will refer the taxpayer's written statement, along with the field
office's statement of why the issue should not be referred to the Associate office for technical
advice, to the Director, the LB&I Territory Manager, or the Tax Exempt Bonds Manager, Field
Operations for decision. The Director, the LB&I Territory Manager, or the Tax Exempt Bonds
Manager, Field Operations will determine whether the issue should be referred for technical
advice on the basis of the statements of the field office and the taxpayer. No conference will be
held with the taxpayer or the taxpayer's representative. If the Director, the LB&I Territory
Manager, or the Tax Exempt Bonds Manager, Field Operations determines that a TAM is not
warranted, the taxpayer will be informed in writing of the proposed denial of the request and the
reasons for the denial (unless doing so would prejudice the Government's interests).

The decision of the
Director, the LB&I
Territory Manager, or the
Tax Exempt Bonds
Manager, Field Operations
may be reviewed but not
appealed

.04 The taxpayer may not appeal the decision of the Director, the LB&I Territory Manager, or
the Tax Exempt Bonds Manager, Field Operations not to request a TAM. If the taxpayer does not
agree with the proposed denial, all data on the issue for which a TAM has been sought, including
the taxpayer's written request and statements, will be submitted for review to the Director, LB&I;
the Director, Examination, SB/SE; the Director, Specialty Tax, SB/SE; the Director, Compliance,
W&I; the Director, Federal, State & Local Governments; the Director, Tax Exempt Bonds; the
Director, Indian Tribal Governments; the Appeals Director, Tax Policy and Procedure (Exam); or
the Commissioner, Tax Exempt and Government Entities Division (who will review the proposed
denial through the Director, Employee Plans; the Director, Exempt Organizations; or, if appro-
priate, the Appeals Director, Tax Policy and Procedure (Exam)). Review of the proposed denial
will be based solely on the written record. No conference will be held with the taxpayer or the
taxpayer's representative. The person responsible for review may consult with the Associate
office, if appropriate, and will notify the field office whether the proposed denial of the taxpayer's
request is approved or denied within 45 days of receiving all information. The field office will
then notify the taxpayer. While the matter is under review, the field office will suspend any final
decision on the issue (except when the delay would prejudice the Government's interests). If the
request for technical advice has been denied because the issue is frivolous as described in 4.04
above, this review process is not available.

# SECTION 6. PRE-SUBMISSION CONFERENCES

Purpose

.01 A pre-submission conference helps the field office, field counsel, the taxpayer, and the Associate office agree on the appropriate scope of the request for technical advice and the factual information and documents that must be included in the request. A pre-submission conference is not an alternative procedure for addressing the merits of the substantive positions advanced by the field office or by the taxpayer. During the pre-submission conference, the parties should discuss the framing of the issues and the background information and documents that should be included in the formal submission of the request for technical advice.

Pre-submission conferences are mandatory

.02 Pre-submission conferences include the taxpayer and representatives from the field office, field counsel, and the Associate office. These conferences are mandatory because they promote expeditious processing of requests for technical advice. If a request for technical advice is submitted without first holding a pre-submission conference, the Associate office will return the request for advice. Requests for technical advice can proceed even if a taxpayer declines to participate in a pre-submission conference.

Actions before a pre- submission conference

.03 Before requesting a pre-submission conference, the field office and the taxpayer must exchange proposed statements of the pertinent facts and issues. The proposed statements should include any facts in dispute, the issues that the parties intend to discuss, any legal analysis and supporting authorities, and any other background information that the parties believe would facilitate the Associate office's understanding of the issues to be discussed during the conference. Prior to the scheduled pre-submission conference, the field office and the taxpayer must submit to the Associate office their respective statements of pertinent facts and issues. The legal analysis provided in the parties' statements should be sufficient to enable the Associate office to be reasonably informed about the subject matter. Failure of the taxpayer to provide a statement of pertinent issues and facts shall not be allowed to unduly delay the scheduling of the pre- submission conference. If it is not provided within a reasonable period of time, the conference may be scheduled without the statements. The field office or the taxpayer must ensure that the Associate office receives a copy of any required power of attorney. Form 2848, Power of Attorney and Declaration of Representative (Rev. July 2014), should be used. See Conference and Practice Requirements of the Statement of Procedural Rules (26 C.F.R. §§ 601.501-601.509 (2012)). The assigned branch of the Associate office must receive the pre-submission materials at least 10 business days before the conference is to be held.

Initiating a pre-submission conference

.04 A request for a pre-submission conference must be submitted in writing by the field office, with the assistance of field counsel. The request should identify the Associate office expected to have jurisdiction over the request for a TAM and should include a brief explanation of the primary issue so that an assignment to the appropriate branch of an Associate office can be made. If the request is submitted by Appeals, field counsel assignments will be subject to the ex parte rules set forth in section 1001(a)(4) of the Internal Revenue Service Restructuring and Reform Act of 1998, Pub. L. No. 105-206, and Rev. Proc. 2012-18, 2012-10 I.R.B. 455. If the request involves an issue under the office of the Director, Abusive Tax Avoidance Transactions (ATAT) Exam- ination, SB/SE, an issue under the office of the Director, Office of Tax Shelter Analysis (OTSA), LB&amp;I, or an industry issue under the Office of Pre-Filing and Technical Guidance, LB&amp;I, then the field office and field counsel should coordinate with the technical advisor and field counsel contact. If the request is from Appeals and involves a coordinated issue or emerging issue under the Appeals Domestic or International Operations or Appeals Coordinated Issue (ACI) Program, the Appeals officer must coordinate with the Appeals Domestic Operations or International Operations Technical Specialist.

Manner of transmitting pre-submission materials

.05 To obtain the protection of taxpayer information offered by the Chief Counsel Intranet firewall, the pre-submission materials must be electronically transmitted by field counsel to the Technical Services Support Branch (TSS4510). TSS4510 will ensure delivery of the pre- submission materials to the appropriate Associate office. The TSS4510 email box cannot accept encrypted mail. If documents are not electronically available, or if documents cannot reasonably be transmitted electronically, the request may be sent by fax to TSS4510 at 202-317-6718. If the documents are sent by fax, the Director must also confirm the request in writing. Email or fax may be used to confirm the request. The Associate office will confirm receipt of the fax within one business day after receipt by the Associate office.

Copies of the taxpayer's statement of deletions and power of attorney (Form 2848, Power of Attorney and Declaration of Representative (Rev. July 2014)), should be transmitted by fax to the Associate office attorney assigned to the case. The field office should send the original of the materials sent by fax, and any supporting materials, to the Associate office attorney assigned to the case by express mail or private delivery service in order to avoid any delays in regular mail.

Scheduling the pre- submission conference

.06 After the materials have been received, the branch of the Associate office responsible for conducting the pre-submission conference will contact the taxpayer, the field office, and field counsel to arrange a mutually convenient time for the parties to participate in the conference. The conference generally should be held within 15, but not more than 30, calendar days after the field office is contacted.

Pre-submission conferences may be conducted in person

.07 Although pre-submission conferences are generally conducted by telephone, the parties may choose to conduct the conference in person.

Pre-submission conference may not be taped

.08 No tape, stenographic, or other verbatim recording of a conference may be made by any party.

Discussion of substantive issues is not binding on the Service

.09 Any discussion of substantive issues at a pre-submission conference is advisory only, is not binding on the Service or on the Office of Chief Counsel, and cannot be relied upon as a basis for obtaining retroactive relief under the provisions of § 7805(b).

New issues may be raised at pre-submission conference

.10 During the pre-submission conference, the Office of Chief Counsel may raise new issues in addition to those submitted by the field office and the taxpayer.

SECTION 7. SUBMITTING THE REQUEST FOR TECHNICAL ADVICE

Memorandum of issues, facts, law, and arguments

.01 Every request for technical advice must include a memorandum that describes the facts, issues, applicable law, and arguments supporting the taxpayer's position on the issues and the field office's position on the issues. The field office will prepare this statement with the assistance of field counsel. The memorandum must include a statement of all the facts and the issues. If the taxpayer and the field office disagree about ultimate findings of fact or about the relevance of facts, all of the facts should be included with an explanation that highlights the areas of disagreement. The memorandum must include an explanation of the taxpayer's position. This

Sec. 7.01
January 2, 2015

explanation must include a discussion of any relevant statutory provisions, tax treaties, court
decisions, regulations, revenue rulings, revenue procedures, notices, and any other authority
supporting the taxpayer's position. The memorandum must also include a similar explanation of
the field office's position. Both the field office and the taxpayer should comment on any existing
or pending legislation, tax treaties, regulations, revenue rulings, revenue procedures, or court
decisions contrary to their respective positions. If either party determines that there are no
authorities contrary to its position, that statement should be noted in the memorandum. The field
office submits the request for technical advice.

When the taxpayer initiates the request for technical advice, the taxpayer must submit a written
statement that incorporates the information provided above and the reasons for requesting
technical advice. When the Service initiates the request for technical advice, the field office
should notify the taxpayer that the Service is requesting technical advice and provide the taxpayer
with a copy of the arguments supporting the Service's position. The taxpayer has 5 calendar days
to state, in writing, any factual disagreement. The field office will make every effort to reach
agreement on the facts and specific points at issue. The taxpayer is encouraged to submit a written
statement with an explanation of the taxpayer's position and a discussion of the statutory
provisions that support the taxpayer's position.

## Transaction involving multiple taxpayers

.02 If the subject matter of the request involves a transaction among multiple taxpayers, the
Associate office may provide a single TAM, but only if each taxpayer agrees to participate in the
process, including the furnishing of Forms 8821, or other written taxpayer consent.

Foreign laws and
documents: submission of
relevant foreign laws and
documents in the official
language and in English

.03 If applicable, the request for technical advice must include a copy of the relevant parts of
all foreign laws, including statutes, regulations, administrative pronouncements, and any other
relevant legal authority. This copy must be in the official language of the country involved and
must be produced from an official publication of the foreign government or another widely
available, generally accepted publication. If English is not the official language of the country
involved, the submission must also include a copy of an English translation of the relevant parts
of all foreign laws. The translation must be from an official publication of the foreign government
or another widely available, generally accepted publication or from a certified English translation
submitted in accordance with Section 7.03(2) of this revenue procedure. The taxpayer or the field
office must identify the title and date of publication, including updates, of any widely available,
generally accepted publication used by the taxpayer or its qualified translator as a source for the
relevant parts of the foreign law. The taxpayer and the field office must inform the Associate
office of the implications of any authority believed to interpret the foreign law, such as pending
legislation, treaties, court decisions, notices, and administrative decisions.

(1) If the interpretation of a foreign law or foreign document is a material fact, the Associate
office, at its discretion, may refuse to provide a TAM. This section applies whether or not the field
office and the taxpayer dispute the interpretation of a foreign law or foreign document. The
interpretation of a foreign law or foreign document means making a judgment about the import
or effect of the foreign law or document that goes beyond its plain meaning.

(2) If applicable, a request for technical advice must include an accurate and complete certified
English translation of the relevant parts of all contracts, wills, deeds, agreements, instruments,
trust documents, proposed disclaimers, or other documents in a language other than English. If the
taxpayer or the field office chooses to submit certified English translations of foreign laws, those
translations are to be based on an official publication of the foreign government or another widely
available, generally accepted publication. In either case, the translations must be that of a qualified
translator and are to be attested to by the translator. The attestation must contain: (1) the
attestant's name and address; (2) a statement that the translation submitted is a true and accurate
translation of the foreign language document or law; and (3) a statement about the attestant's

qualifications as a translator and that attestant's qualifications and knowledge regarding tax
matters or any foreign law translated if the law is not a tax law.

## Statement regarding interpretation of relevant income tax or estate tax treaty

.04 A request for technical advice involving the interpretation of a substantive provision of a
relevant income tax or estate tax treaty must include a written statement addressing whether: (1)
the tax authority of the treaty jurisdiction has issued a ruling on the same or similar issue for the
taxpayer, a related taxpayer (within the meaning of § 267 or a member of an affiliated group of
which the taxpayer is also a member within the meaning of § 1504 (related taxpayer)), or any
predecessor; (2) the same or similar issue for the taxpayer, a related taxpayer, or any predecessor,
is being examined, or has been settled, by the tax authority of the treaty jurisdiction or is
otherwise the subject of a closing agreement in that jurisdiction; and (3) the same or similar issue
for the taxpayer, a related taxpayer, or any predecessor, is being considered by the competent
authority of the treaty jurisdiction.

## Statement recommending information to be deleted from public inspection

.05 Except as provided below, every request for technical advice must include a statement of
proposed deletions from public inspection. The text of TAMs are open to public inspection under
§ 6110(a). The Service deletes certain information from the text before it is made available to the
public in order to protect the privacy of taxpayers. To help the Service make the necessary
deletions, the taxpayer must provide a statement indicating the deletions desired. A taxpayer who
wants only names, addresses, and identifying numbers deleted should state this in the deletion
statement. A taxpayer who wants more information deleted must provide a copy of the TAM
request and supporting documents on which the taxpayer has placed brackets around the material
to be deleted plus a statement indicating the statutory basis under § 6110(c) for each proposed
deletion. The deletion statement must not appear in the memorandum described in Section 7.01
of this revenue procedure. Instead, the deletion statement is to be made in a separate document
that is signed and dated by the taxpayer or the taxpayer's authorized representative. A stamped
signature or faxed signature is not permitted. If the deletion statement is not submitted, the
taxpayer will be notified and advised by the field office that the statement is required. If the
deletion statement is not received within 10 calendar days after the notification, the field office
will use its best effort to provide the Associate office with an appropriate deletion statement. The
taxpayer should follow this same process to propose deletions from any additional information
submitted after the initial request for a TAM. An additional deletion statement is not required with
each submission of additional information if the taxpayer's initial deletion statement requests that
only names, addresses, and identifying numbers are to be deleted and the taxpayer wants only the
same information deleted from the additional information. The requirements for submitting
statements and other materials or proposed deletions in TAMs before public inspection is allowed
do not apply to requests for any documents to the extent that the TAM is open to public inspection
under § 6104. Section 6104(a)(1)(A) generally provides that if an organization described in
§ 501(c) or § 501(d) is exempt from taxation under § 501(a) or a political organization is exempt
from taxation under § 527, the application for exemption under § 501(a) that the organization filed
or the notice of status filed by a political organization pursuant to § 527(i) is open for public
inspection as prescribed by regulations. Generally, § 6104(a)(1)(B) provides that an application
filed with respect to: (1) the qualification of a pension, profit-sharing, or stock bonus plan under
§ 401(a) or § 403(a) or an individual retirement arrangement under § 408(a) or § 408(b) will be
open to public inspection pursuant to regulations, as will (2) any application filed for an
exemption from tax under § 501(a) of an organization forming part of a plan or account described
above.

Preparation of the
memorandum; resolution
of disagreements

.06 The field office prepares the memorandum described in Section 7.01 of this revenue
procedure with the assistance of field counsel and sends it to the taxpayer by mail or fax
transmission. The taxpayer then will have 5 calendar days from the date of mailing or fax
transmission to respond by providing a written statement specifying any disagreement on the facts
and issues. A taxpayer who needs more than 5 calendar days must submit a written request for
an extension of time, subject to the approval of the field office. The field office will make a
determination on the request for extension as soon as reasonably possible. The request for

Sec. 7.06
January 2, 2015

extension will be considered denied unless the field office informs the taxpayer otherwise. The
decision of the field office on whether to approve an extension, and the length of any extension
granted, is final and may not be appealed. After the taxpayer's response is received by the field
office, the parties will have 10 calendar days to resolve remaining disagreements. If all disagree-
ments about the statement of facts and issues are resolved, then the field office will prepare a
single statement of those agreed facts and issues. If disagreements continue, both the taxpayer's
set of facts and issues and the field's sets of facts and issues will be forwarded to the Associate
office. The field office, with the assistance of field counsel, will prepare a memorandum for the
Associate office highlighting the material factual differences, and provide a copy to the taxpayer
for review. The taxpayer may respond in writing to the memorandum highlighting material factual
differences. Examination (or Employee Plans or Exempt Organizations Rulings & Agreements)
may revise the memorandum described in Section 7.01 of this revenue procedure in response to
the taxpayer's comments. This memorandum will be forwarded with the initial request for
technical advice. The taxpayer's statement of facts and issues must be accompanied by the
following declaration: "Under penalties of perjury, I declare that I have examined this informa-
tion, including accompanying documents, and, to the best of my knowledge and belief, the
information contains all the relevant facts relating to the request for technical advice, and such
facts are true, correct, and complete." This declaration must be signed in accordance with the
requirements in section 7.01(15)(b) of Rev. Proc. 2015-1. The field office must submit this
declaration with the initial request for technical advice. If no agreement regarding the facts is
reached, the Associate office may rely on the facts presented by the field office.

The field office will offer the taxpayer an opportunity to participate in the development of the
TAM. If the taxpayer participates in the process, the field office will continue to offer the taxpayer
the opportunity to participate. If the taxpayer does not participate in a material stage of the process
after being offered an opportunity, the Associate office will nonetheless process the request, and
the taxpayer will have waived the right to participate in the development and issuance of the
TAM, including the right to the conference described in section 9. A taxpayer's failure to
participate in the development of the memorandum will be considered a failure to participate in
a material stage of the TAM process.

Under no circumstances will a taxpayer be treated as having waived its right to see the issued
TAM or having waived its rights regarding disclosure and deletions described in Section 10.

Transmittal Form 4463,
Request for Technical
Advice

.07 The field counsel, with whom the TAM request was coordinated, must use Form 4463,
Request for Technical Advice, for submitting a request for a TAM through TSS4510 to the
Associate office. While the field office is responsible for preparing Form 4463, field counsel must
submit the Form 4463 for a TAM request to the TSS4510 email address. To the extent feasible,
the accompanying documents should also be submitted to the TSS4510 email address, followed
by hard copy upon the request of the assigned branch of the Associate office.

## All supporting and additional documents

.08 Field counsel should send additional or supporting documents that are not available in
electronic form by fax to TSS4510 at 202-317-6718 or by express mail or private delivery service
to the following address to avoid any delays in regular mail:

Internal Revenue Service
Attn: CC:PA:LPD:TSS, Room 5336
1111 Constitution Avenue, NW
Washington, DC 20224

Whenever possible, all documents should contain the case number and name of the Associate
office attorney assigned to the pre-submission conference for the TAM request.

The field office must indicate on the Form 4463 the proper mailing address of the Director to whom the Associate office should mail a copy of its reply to the TAM request under Section 10.06 of this revenue procedure.

Number of copies of request to be submitted

.09 The field office must submit one paper copy of the request for a TAM to the address in Section 7.08 of this revenue procedure. If the TAM relates to a SB/SE, W&amp;I, or TE/GE taxpayer, the field office must send one paper copy to the Division Counsel of the operating division that has jurisdiction over the taxpayer's tax return. If the TAM relates to a LB&amp;I taxpayer, an electronic copy (no paper copy to follow) to "&amp;LB&amp;I HQ" email address should be sent. If the request is from an Appeals office, the field office must send an electronic copy (no paper copy to follow) to the "*AP Tax Policy &amp; Procedure" email address, with "Attention: TAM Coordinator" in the subject line.

Power of attorney

.10 Any authorized representative, as described in section 7.01(13) of Rev. Proc. 2015-1, whether or not enrolled to practice, must comply with Treasury Department Circular No. 230 (31 C.F.R. part 10 (2014)) and with the Conference and Practice Requirements of the Statement of Procedural Rules (26 C.F.R. §§ 601.501-601.509 (2012)). Form 2848, Power of Attorney and Declaration of Representative (Rev. July 2014), should be used. An original, a copy, or a fax transmission of the power of attorney is acceptable, if its authenticity is not reasonably disputed.

SECTION 8. INITIAL PROCESSING OF THE REQUEST FOR TECHNICAL ADVICE BY THE ASSOCIATE OFFICE

Assignment and initial review by Associate office attorney

.01 After a request for technical advice has been received by the appropriate Associate office, it will be assigned to an Associate office attorney within a branch. The Associate office attorney determines whether the request meets all procedural requirements of sections 4, 5, 6, and 7 of this revenue procedure and whether it raises issues that may be appropriately addressed in a TAM.

Other forms of guidance

.02 If the assigned reviewer in the Associate office determines that guidance other than a TAM should be provided, the reviewer will immediately notify the Associate Chief Counsel. This other form of guidance may be published guidance, generic advice, or case-specific advice. Although the reviewer should make this determination as soon as possible, it may be made at any time during the processing of the request for advice. To make this determination, the reviewer should consider whether the issue has a broad application to similarly situated taxpayers or an industry and whether resolution of the issue is important to a clear understanding of the tax laws. The Associate Chief Counsel, after consultation with Division Counsel Headquarters and the Oper- ating Division, will decide whether to provide the TAM or issue guidance in another form. The Associate Chief Counsel may decide to provide the TAM as well as another type of guidance, if doing so would promote sound tax administration.

Initial acknowledgment and processing

.03 Upon receipt of a request for technical advice, the Associate office attorney who is assigned as the primary attorney on the request should immediately contact the field office. The purpose of this contact is only to acknowledge receipt of the request. Unless otherwise indicated, all references in this section to the Associate office or Associate office attorney are to the Associate office and attorney with primary responsibility for the TAM request.

Deficiencies in request leading to return

.04 Within 7 calendar days after assignment, the Associate office attorney will contact the field office and field counsel to discuss any deficiencies in the request and will work with the field office and field counsel to correct them. If the deficiencies cannot be corrected over the next 7

calendar days, the request will be closed and returned to the field office. The request may be
resubmitted when the deficiencies are corrected.

If only minor procedural deficiencies exist, the Associate office attorney will request the
additional information without returning the case. If substantial additional information is required
to resolve an issue or if major procedural problems cannot be resolved, the Associate office
attorney will inform the field office and field counsel that the request for technical advice will be
returned. If a request is returned, the field office should promptly notify the taxpayer of that
decision and the reasons for the decision.

## Initial discussion

.05 Within 21 calendar days of receipt, the Associate office attorney should contact the field
office to discuss any procedural and substantive issues in the request. The Associate office
attorney should also inform the field office about any matters referred to another Associate office
or branch for assistance and provide points of contact for the other Associate offices or branches.

## If additional information requested

.06 If additional information is needed, the Associate office attorney will obtain that informa-
tion from the taxpayer, the field office, the Director, or the Appeals Area Director in the most
expeditious manner possible. Any additional information requested from the taxpayer by the
Associate office must be submitted by letter, accompanied by a penalties of perjury statement that
conforms with the penalties of perjury statement set forth in Section 7.06 of this revenue
procedure, within 10 calendar days after the request for information is made. To facilitate prompt
action, the Service and taxpayers are encouraged to exchange information by fax or express mail
service whenever feasible. A taxpayer's failure to submit the additional information requested is
considered a failure to participate in a material stage of the TAM process and results in a waiver
of the right to the conference discussed in Section 9.

### Request for additional information by fax

To facilitate prompt action on TAM requests, the Service may request any additional infor-
mation from the taxpayer by fax.

Because of the unsecured nature of a fax transmission, the Service will take certain precautions
to protect confidential information. For example, the Service will use a cover sheet that identifies
the intended recipient of the fax and the number of pages transmitted, that does not identify the
taxpayer by name or tax identifying number and that contains a statement prohibiting unauthor-
ized disclosure of the document if a recipient of the faxed document is not the intended recipient
of the fax. Also, for example, the cover sheet should be faxed in an order in which it will become
the first page covering the faxed document.

Taxpayer request for
extension of time to submit
additional information

.07 A taxpayer's request for an extension of time to submit additional information must be
made in writing and received by the Associate office within the 10-day period. It must provide
compelling facts and circumstances to justify an extension. Only the Associate Chief Counsel of
the primary office to which the case is assigned may determine whether to grant or deny the
request for an extension. Except in rare and unusual circumstances, the Associate office will not
agree to an extension of more than 10 calendar days beyond the end of the 10-day period. There
is no right to appeal the denial of a request for an extension.

Where to send additional
information

.08 Any additional information submitted by the taxpayer should be sent to the attention of the
assigned Associate office attorney. Generally, only the original of the additional information is
necessary. In appropriate cases, however, the Associate office may request additional copies of
the information. The taxpayer must also send a copy of the additional information to the field
office and field attorney for comment. Any comments by the field office or field attorney must be

Sec. 8.08
January 2, 2015

Tentative conclusions

furnished within an agreed period of time to the Associate office with primary responsibility for the TAM request. If there are no comments, the Associate office attorney should be notified promptly. When the field office receives a copy of the additional information from the taxpayer, the field office must provide field counsel with a copy unless such copies have already been provided.

.09 The Associate office attorney will inform the field office and field counsel when all necessary substantive and procedural information has been received. If possible, the Associate office attorney will provide a tentative conclusion. If no tentative conclusion can be reached, the Associate office is encouraged to discuss the underlying complexities with the field office and field counsel. Because the Associate office attorney's tentative conclusion may change during the preparation and review of the TAM, the tentative conclusion is not considered final. If the tentative conclusion is changed, the Associate office attorney will inform the field office and field counsel. Neither the Associate office, nor the field office or the field counsel, should discuss the tentative conclusion and its underlying rationale with the taxpayer or the taxpayer's representative until the Associate office is ready to provide a TAM that agrees with the taxpayer's position or is ready to hold an adverse conference. To afford taxpayers an appropriate opportunity to prepare and present their position at a conference of right, however, the taxpayer or the taxpayer's representative is to be told (by the Associate office attorney) the tentative conclusion when scheduling the conference of right. Field counsel should be notified of, and given the opportunity to participate in, the notification to the taxpayer of the tentative conclusions and scheduling of the conference of right.

SECTION 9. TAXPAYER CONFERENCES

Notification of conference

.01 If the Associate office proposes to provide a TAM that will be adverse to the taxpayer, and if the taxpayer has not waived its right to a conference, the taxpayer will be informed of the time and place of the conference.

Scheduling conference

.02 The conference for a TAM must occur within 10 calendar days after the taxpayer is informed that an adverse TAM is proposed. The Associate office will notify the field office and field counsel of the scheduled conference and will offer the field office and field counsel the opportunity to participate in the conference.

Taxpayer may request extensions

.03 Only an Associate Chief Counsel may approve an extension of the 10-day period for holding a conference. Although extensions are granted in appropriate circumstances at the discretion of the Associate Chief Counsel, taxpayers should not expect extensions to be routinely granted. The taxpayer must submit a request for an extension in writing to the Associate Chief Counsel of the primary office to which the case is assigned, and must immediately notify the field office and field counsel of the request. The request must contain a detailed justification for the extension and must be submitted sufficiently before the end of the 10-day period to allow the Associate Chief Counsel to consider, and either approve or deny, the request before the end of the 10-day period. If unusual circumstances near the end of the 10-day period make a timely written request impracticable, the taxpayer may orally inform the assigned Associate office attorney or reviewer before the end of the 10-day period about the need for an extension and then promptly submit the written request. The Associate office attorney will inform the taxpayer by telephone of the approval or denial of a requested extension. There is no right to appeal the denial of a request for extension.

One conference of right

.04 In general, a taxpayer who has not waived the right to a conference is entitled by right to only one conference with the Associate office. The conference is normally held at the branch level. A person who has authority to sign the transmittal memorandum in his or her own name,

or on behalf of the branch chief, will participate. When more than one branch of an Associate office has taken an adverse position on issues in the request or when the position ultimately adopted by one branch will affect another branch's determination, a representative from each branch with authority to sign in his or her own name, or for the branch chief, will participate in the conference. The conference is the conference of right for each subject discussed.

Additional conferences may be offered

.05 After the conference of right, the Service will offer the taxpayer an additional conference of right only if an adverse holding is proposed on a new issue or on the same issue but on grounds different from those discussed at the first conference. If a tentative position is changed at a higher level with a result less favorable to the taxpayer, the taxpayer has no right to another conference if the grounds or arguments on which the change is based were discussed at the conference of right. The limitation on the number of conferences to which a taxpayer is entitled does not prevent the Associate office from inviting a taxpayer to participate in additional conferences if that office determines that additional conferences would be useful. These additional conferences are not to be offered routinely following an adverse decision.

Additional information submitted after the conference

.06 In order to ensure that the conference of right is productive, the taxpayer should make a reasonable effort to supply all information, documents, and arguments in writing well before the conference. Sometimes, however, it becomes apparent that new information may be helpful in resolving issues discussed at the conference. If the Associate office and the taxpayer agree that such information would be helpful, all such materials must be submitted and received within 10 calendar days after the conference. Any extension of the 10-day period must be requested by the taxpayer in writing and must be approved by the branch chief of the Associate office attorney. Extensions will not be routinely granted. Taxpayers have no right to submit additional materials after the conference, and are discouraged from providing additional copies or versions of materials already submitted. If the additional information is not received from the taxpayer within 10 calendar days plus any extensions granted by the branch chief, the TAM will be issued on the basis of the existing record.

The taxpayer must also send a copy of the additional information to the field office and field counsel for comment. If the additional information has a significant impact on the facts in the request, the Associate office will ask the field office and field counsel for comments, both of which will respond within the agreed upon period of time. If there are no comments, the Associate office attorney will be promptly notified.

Normally conducted in person

.07 Conferences under this section are generally conducted in person, but may be conducted by telephone.

Service makes only tentative recommendations

.08 At the conclusion of the conference, no commitment will be made about the conclusion that the Service will finally adopt for any issue, including the outcome of a request for relief under § 7805(b).

Conference may not be taped

.09 No tape, stenographic, or other verbatim recording of a conference may be made by any party.

SECTION 10. PREPARATION OF THE TECHNICAL ADVICE

Reply consists of two parts

.01 The Associate office attorney prepares replies to requests for technical advice in two parts. Each part identifies the taxpayer by name, address, identification number, and year or years involved. The first part of the reply is a transmittal memorandum (Form M-6000). If the

transmittal memorandum provides information not in the TAM, or the case is returned for further
development, the transmittal memorandum may be Chief Counsel Advice, as defined in
§ 6110(i)(1), subject to public inspection under § 6110. The second part is the TAM, which
contains: (1) a statement of the issues; (2) the conclusions of the Associate office; (3) a statement
of the facts pertinent to the issues; (4) a statement of the pertinent law, tax treaties, regulations,
revenue rulings, and other precedents published in the Internal Revenue Bulletin, and court
decisions; and (5) a discussion of the rationale supporting the conclusions reached by the
Associate office. The conclusions give direct answers, whenever possible, to the specific issues
raised by the field office. The Associate office is not bound by the issues as submitted by the
taxpayer or by the field office and may reframe the issues to be answered in a TAM after
consultation with the field office and field counsel. The discussion of the issues in a TAM will be
in sufficient detail so that the field or Appeals officials will understand the reasoning underlying
the conclusion.

Status of a request

.02 The taxpayer or the taxpayer's authorized representative may obtain information on the
status of the request by contacting the field office that requested the advice. The Associate office
attorney or reviewer assigned to the TAM request will give frequent status updates to the field
office and field counsel.

Section 6110

.03 For TAMs subject to § 6110, accompanying the TAM is a notice under § 6110(f)(1) of
intention to disclose a TAM, including a copy of the version proposed to be open to public
inspection and notations of third party communications under § 6110(d). Before the TAM is
issued, the Associate office will inform the taxpayer in writing of the material likely to appear in
the TAM that the taxpayer proposed for deletion but that the Service has determined should not
be deleted. If so informed, the taxpayer may submit within 10 calendar days any further
information or arguments supporting the taxpayer's proposed deletions. The Service will attempt
to resolve all disagreements about proposed deletions before the TAM is issued. The taxpayer
does not have the right to a conference to resolve any disagreements about material to be deleted
from the text of the TAM. These procedures do not apply to TAMs to the extent that § 6104
applies. See section 7.05 of this revenue procedure and § 6110(l)(1).

Opportunity for field
counsel review

.04 The Associate office attorney will inform the field counsel regarding the Associate office's
final conclusions before the TAM is sent to the field office, or the Director, Tax Exempt Bonds.
The field counsel will be offered a reasonable opportunity to review and informally discuss these
conclusions before the final TAM is sent.

Copy of preliminary TAM
to field office and field
counsel

.05 After the field counsel is given a reasonable opportunity to review the Associate office's
final conclusions, the Associate office attorney will provide a draft of the proposed final version
of the TAM to the field office and field counsel. If the field office or field counsel disagrees with
the proposed final conclusions, normal reconciliation and reconsideration procedures will be
followed to resolve the disagreement.

Routing of reply

.06 A TAM is generally addressed to the field office that requested it. In the case of issues
arising within the jurisdiction of the Director, Tax Exempt Bonds, the Director, Employee Plans
or Exempt Organizations Examinations, or the Director, Employee Plans or Exempt Organiza-
tions Rulings & Agreements, the TAM is addressed to that Director with a copy sent to the field
office and the field counsel attorney. A copy of the reply to a request from LB&I should be mailed
simultaneously to the appropriate Industry Director. A reply to a request from Appeals should be
addressed to the appropriate field office, and an electronic copy sent to the TAM Coordinator at
the "*AP Tax Policy & Procedure" email address, with "Attention: TAM Coordinator" in the
subject line.

Copy of final TAM to field counsel and Division Counsel

.07 The Associate office will provide a copy of the final TAM to the individual field counsel attorney who assisted the field office in submitting the request and to that attorney's Associate Area Counsel. The Associate office also will provide a copy of the final TAM to the Division Counsel for the operating division from which the request originated or that has jurisdiction over the particular matter in the TAM. The reply may be transmitted electronically if it is in .pdf format, or may be sent by mail or fax transmission.

Reconsideration

.08 Requests for reconsideration may be submitted by the field office, or in the case of bonds under the jurisdiction of the Director of Tax Exempt Bonds, by that Director after the Associate Office has provided a final copy of the TAM to field counsel and Division Counsel. Requests for reconsideration must describe with specificity the errors in the analysis and conclusions. Requests should focus on points that the TAM overlooked or misconstrued rather than simply re-argue points raised in the initial request. The Associate office will give priority consideration to the request and should act on the request as expeditiously as possible. The Associate office may request further submissions from the field or the taxpayer, but the parties should otherwise make no additional submissions. If a request for reconsideration fails to follow the procedures set forth in this section of this revenue procedure, or the request fails to raise issues or arguments different from those asserted in the initial request for technical advice, the Associate office may return the request for reconsideration without ruling on the request for reconsideration. The taxpayer is not entitled to be informed that a request for reconsideration is being considered.

Discussing contents with the taxpayer

.09 The Associate office will not discuss the specific contents of the TAM with the taxpayer until after the field office has given a copy of the TAM to the taxpayer.

TAM takes effect when taxpayer receives a copy

.10 After a TAM is sent to the field (or, for Tax Exempt Bonds, Employee Plans, and Exempt Organizations, to the Director, Tax Exempt Bonds; the Director, Employee Plans or Exempt Organizations Examinations; or the Director, Employee Plans or Exempt Organizations Rulings &amp; Agreements), the field or Director adopts and issues the TAM within the meaning of Treas. Reg. § 301.6110-2(h) and then gives the taxpayer a copy of the TAM, the notice of intention to disclose under § 6110(f)(1), as applicable, and a copy of the version proposed to be open to public inspection, which includes notations of third party communications under § 6110, as applicable. If a request for technical advice pertains to more than one taxpayer, the field or Director, Tax Exempt Bonds will provide each pertinent taxpayer with a copy of the TAM and will notify the Associate office when this occurs. The requirement to give a taxpayer a copy of the TAM does not apply to a TAM involving civil fraud or a criminal investigation, or to a TAM involving a jeopardy or termination assessment.

Taxpayer may protest deletions not made

.11 Generally, the Associate office considers only the deletion of material that the taxpayer has proposed for deletion or other deletions as required under § 6110(c) before the TAM is sent to the Director. After receiving the notice of intention to disclose under § 6110(f)(1), the taxpayer may protest the disclosure of certain information in it by submitting a written statement within 20 calendar days that identifies those deletions not made by the Service that the taxpayer believes should have been made. The taxpayer must also submit a copy of the version of the TAM proposed to be open to public inspection with brackets around the deletions proposed by the taxpayer that have not been made by the Associate office plus a statement indicating the statutory basis under § 6110(c) for each proposed deletion. Within 20 calendar days after it receives the taxpayer's response to the notice under § 6110(f)(1), the Associate office must mail to the taxpayer its final administrative conclusion about the deletions to be made.

Public inspection in civil fraud or criminal investigation cases

.12 The provisions of this section about referring issues upon the taxpayer's request, telling the taxpayer about the referral of issues, giving the taxpayer a copy of the arguments submitted, submitting proposed deletions, granting conferences in the Associate office, or providing a copy of the TAM to the taxpayer do not apply to a TAM described in § 6110(g)(5)(A), which involves any matter that is the subject of a civil fraud or criminal investigation, or that involves a jeopardy

or termination assessment. In these cases, a copy of the TAM may be given to the taxpayer only
after all proceedings in the investigations or assessments are complete, but before the Commis-
sioner mails the notice of intention to disclose under § 6110(f)(1). The taxpayer may then provide
the statement of proposed deletions to the Associate office.

## SECTION 11. WITHDRAWAL OF REQUESTS FOR TECHNICAL ADVICE Taxpayer notified

.01 Once a request for a TAM has been sent to the Associate office, only a Director may
withdraw the request, and this must be done before the responding transmittal memorandum for
the TAM is signed. To withdraw the request, the Director must first notify the taxpayer of the
intent to withdraw unless: (1) the period of limitation on assessment is about to expire and the
taxpayer has declined to give written consent to extend the period; or (2) the notification would
be prejudicial to the best interests of the Government. If the taxpayer does not agree that the
request should be withdrawn and wishes to request review of the decision, the procedures in
Section 5.04 of this revenue procedure for review must be followed.

Acknowledgment of
withdrawal

.02 Acknowledgment of the withdrawal of a request submitted by a Director or Appeals should
be sent to the appropriate Director or Appeals office, with a copy to the TAM coordinator. For
a withdrawal of a request submitted by Appeals, send an electronic copy to the "*AP Tax Policy
& Procedure" email address, with "Attention: TAM Coordinator" in the subject line.

### Associate office may decide not to provide a TAM

.03 If the Associate office determines that a TAM will not be provided, it may return the request
for technical advice unanswered. This determination must be made on the basis of sound tax
administration and must be approved by the Associate Chief Counsel. The decision not to provide
a TAM should be an infrequent occurrence and be made only after consultation with field counsel
and the requesting field office. If field counsel disagrees with this determination, they may request
reconsideration through existing reconciliation procedures.

### Associate office may provide views

.04 If a request for technical advice is withdrawn or an Associate office decides not to provide
a TAM, the Associate office may address the substantive issues through published guidance, such
as a regulation or revenue ruling. The Associate office may, in the alternative, address the
substantive issues through legal advice, either generic or case-specific. The decision to address the
issues through these other forms of guidance will be based on the general standards for issuing
those types of guidance.

## SECTION 12. USE OF THE TECHNICAL ADVICE

Service generally applies
advice in processing the
taxpayer's case

.01 After a TAM is issued, the field office must process the taxpayer's case on the basis of the
conclusions in the TAM. In the case of a TAM unfavorable to the taxpayer, the Appeals Area
Director may decide to settle the issue under existing settlement authority. If a TAM provides
conclusions involving a § 103 obligation and the issuer of this obligation, the field office must
apply the conclusions to the issuer and any holder of the obligation, unless the holder also initiates
a request for a TAM on the same issue addressed in the TAM involving the issuer, and the
Associate office issues a TAM involving that issue and that holder.

# SECTION 13. RETROACTIVITY AND RELIANCE

Usually applies retroactively

.01 The holdings in a TAM are applied retroactively, whether they are initial holdings or they are later holdings that modify or revoke holdings in a prior TAM. The Associate Chief Counsel with jurisdiction over the TAM, however, may exercise the discretionary authority under § 7805(b) to limit the retroactive effect of any holding. This authority is exercised in rare and unusual circumstances.

Revocation or modification of an earlier letter ruling or TAM

.02 A TAM may be used to seek revocation or modification of an earlier TAM or revocation or modification of a private letter ruling (PLR). See Rev. Proc. 2015-1 § 11.03 with respect to revocation or modification of PLRs. Generally, a TAM that revokes or modifies a letter ruling or an earlier TAM will not be applied retroactively if: (1) the applicable law has not changed; (2) the taxpayer directly involved in the letter ruling or earlier TAM relied in good faith on it; and (3) revocation or modification would be detrimental to the taxpayer. The new TAM will be applied retroactively to the taxpayer whose tax liability was directly involved in the letter ruling or TAM if: (1) controlling facts have been misstated or omitted; or (2) the facts at the time of the transaction are materially different from the controlling facts on which the letter ruling or earlier TAM was based. If a letter ruling or a TAM is modified or revoked with retroactive effect, the notice to the taxpayer, except in fraud cases, should set forth the grounds on which the modification or revocation is being made and the reason why the modification or revocation is being applied retroactively.

Continuing action or series of actions

.03 If an issue addressed in the TAM relates to a continuing action or a series of actions, it is generally applied until it is withdrawn or until the conclusion is modified or revoked by a final decision in favor of the taxpayer with respect to that issue, the enactment of legislation, the ratification of a tax treaty, a decision of the United States Supreme Court, or the issuance of temporary regulations, final regulations, a revenue ruling, or other statement published in the Internal Revenue Bulletin. Publication of a notice of proposed rulemaking does not affect the application of a TAM. If a new holding in a TAM is less favorable to the taxpayer than the holding in an earlier TAM, the new holding is generally not applied to the period when the taxpayer relied on the earlier holding. It will be applied to that period, however, if material facts on which the earlier TAM was based have changed.

Other taxpayers

.04 Under § 6110(k)(3), a taxpayer may not rely on a TAM issued by the Service for another taxpayer. In addition, retroactive or non-retroactive treatment to one member of an industry directly involved in a letter ruling or TAM does not extend to another member of that same industry, and retroactive or non-retroactive treatment to one client of a tax practitioner does not extend to another client of that same practitioner. The tax liability of each employee covered by a letter ruling or TAM relating to a pension plan of an employer is directly involved in the letter ruling or TAM.

SECTION 14. HOW MAY RETROACTIVE EFFECT BE LIMITED?

Requests for relief under § 7805(b)

.01 A taxpayer with respect to whom a TAM is issued or for whom a TAM request is pending may request that the appropriate Associate Chief Counsel limit the retroactive effect of any holding in the TAM or of any subsequent modification or revocation of the TAM. For a pending request for technical advice, the taxpayer should make the request for relief under § 7805(b) as part of the initial request for advice. The Associate office will consider a request for relief under § 7805(b) made at a later time if the Director determines that there is justification for the delay

Sec. 14.01
January 2, 2015

in the making of the request. The Director's determination that the delayed request for § 7805 is not justified cannot be appealed.

Form of request for relief - in general

.02 During the course of an examination of a taxpayer's return by the field office or during consideration of the taxpayer's return by the Appeals Area Director, a taxpayer's request to limit retroactivity must be made in the form of a request for a TAM. This includes recommendations by a Director that an earlier letter ruling or TAM be modified or revoked. The request must meet the general requirements of a request for technical advice. It must also: (1) state that it is being made under § 7805(b); (2) state the relief sought; (3) explain the reasons and arguments in support of the relief sought; and (4) include any documents bearing on the request. The taxpayer's request must be submitted to the Director, who should then forward the request to the Associate office for consideration. If taxpayer submits a request for relief after the initial TAM request, the taxpayer must provide justification for having delayed the request.

Form of request for relief - continuing transaction before examination of return

.03 A request for relief under § 7805(b) must be made in the form of a request for a letter ruling if: (1) a TAM addressing a continuing transaction is modified or revoked by later published guidance; and (2) the request for relief is submitted before an examination has begun covering those years for which relief is sought. The requirements for a letter ruling request are given in Rev. Proc. 2015-1 (this Bulletin).

Taxpayer's right to a conference

.04 When a request for a TAM concerns only the application of § 7805(b), the taxpayer has the right to a conference with the Associate office in accordance with the provisions of Section 9 of this revenue procedure. If the request for application of § 7805(b) is included in the request for a TAM on the substantive issues or is made before the conference of right on the substantive issues, the § 7805(b) issues will be discussed at the taxpayer's one conference of right. If the request for the application of § 7805(b) is made as part of a pending TAM request after a conference has been held on the substantive issues and the Director determines that there is justification for having delayed the request, then the taxpayer will have the right to one conference of right concerning the application of § 7805(b), with the conference limited to discussion of this issue only.

Reconsideration of request for relief under § 7805(b)

.05 When a TAM grants a taxpayer relief under § 7805(b), the Director may not request reconsideration of the § 7805(b) issue unless the Director determines there has been a misstate- ment or omission of controlling facts by the taxpayer in its request for § 7805(b) relief.

SECTION 15. SIGNIFICANT CHANGES MADE TO REV. PROC. 2014-2

The general procedures for technical advice requests for matters within the jurisdiction of the Commissioner, Tax Exempt and Government Entities Division were previously contained in Rev. Proc. 2014-5. The authority to issue TAMs on these matters has been delegated to the Associate Chief Counsel (Tax Exempt and Government Entities). Rev. Proc. 2015-2 reflects this change.

SECTION 16. EFFECT ON OTHER DOCUMENTS

Rev. Proc. 2014-2, 2014-1 I.R.B. 90, is superseded.

SECTION 17. EFFECTIVE DATE

This revenue procedure is effective January 2, 2015.

DRAFTING INFORMATION

The principal author of this revenue procedure is Laura Leigh Bates of the Office of Associate Chief Counsel (Procedure and Administration). For further information regarding this revenue procedure for matters under the jurisdiction of:

(1) the Associate Chief Counsel (Corporate), contact Ken Cohen at (202) 317-7700 or Jean Broderick at (202) 317-6848 (not a toll-free call);

(2) the Associate Chief Counsel (Financial Institutions and Products), contact Scott Brown at
(202) 317-4423 (not a toll-free call);

(3) the Associate Chief Counsel (Income Tax and Accounting), contact Brinton T. Warren at
(202) 317-7002 (not a toll-free call);

(4) the Associate Chief Counsel (Passthroughs and Special Industries), contact Leta Wolfe at
(202) 317-5260 (not a toll-free call);

(5) the Associate Chief Counsel (Procedure and Administration), contact Mark Cottrell at (202)
317-3400 (not a toll-free call);

(6) the Associate Chief Counsel (Tax Exempt and Government Entities), contact Shoshanna
Tanner at (202) 317-5500 (not a toll-free call);

(7) the Associate Chief Counsel (International), contact Jeffrey L. Vinnik at (202) 317-3800
(not a toll-free call);

(8) the Commissioner (Large Business & International Division), contact Shirley S. Lee at
(202) 317-3152 (not a toll-free call);

(9) the Commissioner (Small Business/Self-Employed Division), contact Samuel Berman at
(240) 613-6368 (not a toll-free call);

(10) the Commissioner (Wage and Investment Division), contact Geoffrey Gerbore at (631)
447-4428 (not a toll-free call); or

(11) the Office of Appeals, contact Gary T. Easley at (702) 868-5152 (not a toll-free call).

## INDEX References are to sections in Rev. Proc. 2015-2

## Additional Information

-for pre-submission conference
6.05

-initial processing of TAM request
8.06

-after conference of right
9.06

-proposed deletions under § 6110

7.05, 10.03

-Service will request additional information from the taxpayer by express mail services or fax

8.06

Appeal of decision to seek or not seek TAM.

5.03

-The decision of the Director, the LB&I Territory Manager, or the Tax Exempt Bonds Manager, Field Operations may
be reviewed but not appealed
5.04

## Civil fraud or criminal investigation cases

10.12

### Conferences

-offered

6, 9, 14.04

-after conference of right
9.05

-scheduling.

6.06, 9.02

request to limit retroactivity
14.04
telephone conferences
6.07, 9.07

### Definitions

-Appeals officer
2.04

-Director
2.02

-field office
2.07

-field counsel.

2.08

-frivolous issue

4.04

-taxpayer

2.05

-technical advice
1.01

-Territory Manager

2.03

### Discussions with Taxpayers

-contents of TAM
10.09

-substantive issues at pre-submission conference
6.09

-tentative conclusion in TAM
8.09

### Employee Plans and Exempt Organizations

-application of § 6104

7.05

Extension of Time

-to appeal decision not to request a TAM.
5.03

-to disagree with statement of facts in technical advice request
7.06

-to schedule conference
9.03

-to submit additional information requested by Associate office in initial processing of TAM.
8.07

-to submit additional information after conference
9.06

### Foreign laws and documents

-certified English translations
7.03(2)

-effect if interpretation is a material fact
7.03(1)

-when required

7.03

Issues Eligible for TAMs

Issues Not Eligible for TAMs

Penalties of Perjury Statement

-form

7.06

-required when no factual agreement

7.06

-required with additional information

8.06

-signature requirement for deletion statement.

7.05

Power of Attorney

7.10

Pre-submission Conferences

Public Inspection Under § 6110

deletion statement required

7.05

exception when § 6104 applies

7.05

-notice of intention to disclose.

10.03

protesting deletions not made

10.11

Responsibility for Requesting Advice

5.01

Retroactive Effect

-request to limit retroactivity

14.01

format of request

14.02, 14.03

-right to conference

14.04

Section 301.9100 Relief

4.03

Status of TAM

10.02

Taxpayer Participation

3.03

-consequences of failure to participate in material stage

7.06, 8.06

What to Include in the Request for Advice

-Memorandum of issues, facts, law, and arguments

7.01

-Statement proposing information to be deleted from public inspection

7.05

-Transmittal Form 4463

7.07

-Number of copies

7.09

-Power of attorney

7.10

Where to Send

-information required prior to pre-submission conference

6.05

-request for a TAM

5.02

Withdrawal of TAM Requests

#### Rev. Proc. 2015-3

# TABLE OF CONTENTS

SECTION 1. PURPOSE AND NATURE OF CHANGES

129

SECTION 2. BACKGROUND AND SCOPE

130

SECTION 3. AREAS IN WHICH RULINGS WILL NOT BE ISSUED

130

SECTION 4. AREAS IN WHICH RULINGS WILL NOT ORDINARILY BE ISSUED

136

SECTION 5. AREAS UNDER STUDY IN WHICH RULINGS WILL NOT BE ISSUED

141

SECTION 6. AREAS COVERED BY AUTOMATIC APPROVAL PROCEDURES

142

SECTION 7. EFFECT ON OTHER REVENUE PROCEDURES

142

SECTION 8. EFFECTIVE DATE.

142

SECTION 9. PAPERWORK REDUCTION ACT

142

DRAFTING INFORMATION

143

## SECTION 1. PURPOSE AND NATURE OF CHANGES

.01 The purpose of this revenue proce-
dure is to update Rev. Proc. 2014-3,
2014-1 I.R.B. 111, by providing a revised
list of those areas of the Internal Revenue
Code under the jurisdiction of the Asso-
ciate Chief Counsel (Corporate), the As-
sociate Chief Counsel (Financial Institu-
tions and Products), the Associate Chief
Counsel (Income Tax and Accounting),
the Associate Chief Counsel (Pass-
throughs and Special Industries), the As-
sociate Chief Counsel (Procedure and Ad-
ministration), and the Associate Chief
Counsel (Tax Exempt and Government
Entities) relating to issues on which the
Internal Revenue Service will not issue
letter rulings or determination letters. For
a list of areas under the jurisdiction of the
Associate Chief Counsel (International)
relating to international issues on which
the Service will not issue letter rulings or
determination letters, see Rev. Proc.
2015-7, this Bulletin. For a list of areas
under the jurisdiction of the Commis-
sioner, Tax Exempt and Government En-
tities Division relating to issues, plans, or
plan amendments on which the Service
will not issue letter rulings or determina-
tion letters, see, respectively, section 8 of
Rev. Proc. 2015-4, this Bulletin, and sec-

tion 3.02 of Rev. Proc. 2015-6, this Bul-
letin.

## .02 Changes.

(1) Section 1.01 has been modified.

(2) Section 2.01 has been modified.

(3) Section 3.01(4), regarding §§ 45
and 48, has been added.

(4) Section 3.01(33), regarding § 216,
has been added.

(5) Section 3.01(55), regarding
§ 403(b), has been added.

(6) Section 3.01(57), regarding
§ 411(d)(3), has been added.

(7) Section 3.01(58), regarding
§ 414(d), has been added.

(8) Section 3.01(66), regarding
§ 457A, has been added.

(9) Section 3.01(67), regarding §§ 501,
511, 512, 513, and 514, has been added.

(10) Section 3.01(68), regarding
§§ 507, 664, 4941, and 4945, has been
added.

(11) Section 3.01(69), regarding
§§ 511, 512, 513 and 514, has been added.
(12) Section 3.01(71), regarding § 529,
has been added.

(13) Section 3.01(72), regarding
§§ 542, 543, and 544, has been added.

(14) Section 3.01(82), regarding
§ 1001, has been added.

(15) Section 3.01(87), regarding
§ 1221, has been added.

(16) Sections 3.01(89) and 6.07 have
been modified to reflect the provisions of
Rev. Proc. 2014-24, 2014-13 I.R.B. 879
(automatic
determinations
under
§ 1.1502-75(b)).

(17) Section 3.01(101), regarding
§§ 4375, 4376, and 4377, has been added.

(18) Section 3.01(102), regarding
§ 4941, has been added.

(19) Section 3.01(105), regarding
§ 4958, has been added.

(20) Section 3.01(106), regarding
§ 4975(d), has been added.

(21) Section 3.01(108), regarding
§ 4980H, has been added.

(22) Section 3.01(112), regarding
§ 7701, has been added.

(23) Section 3.01(115), regarding
§ 9815, has been added.

(24) Old section 3.02(9), regarding
whether, under common law rules appli-
cable in determining the employer-
employee relationship, a professional
staffing corporation (loan-out corporation)
or the subscriber is the employer of indi-
viduals, has been deleted.

(25) Section 3.02(9), regarding the in-
come tax or excise tax consequences of
the contribution of stock options to, or
their subsequent exercise from, plans de-
scribed in Part I of Subchapter D of Chap-
ter 1 of Subtitle A of the Code, has been
added.

(26) Section 4.01(31), regarding § 451,
has been modified.

(27) Old section 4.01(37), regarding

§ 664, has been deleted.

(28) Section 4.01(38), regarding
§§ 671 to 679, has been modified.

(29) Old section 4.01(42), regarding
§ 1001, has been deleted.

(30) Old section 4.01(44), regarding

§ 1221, has been deleted.

(31) Section 4.02(8) has been modi-
fied.

(32) Section 4.02(12), regarding
whether a tax-qualified plan satisfies the
requirements for qualification under
§§ 401 through 420 and § 4975(e)(7), has
been added.

(33) Section 4.02(13), regarding issues
that are being considered by the Pension
Benefit Guaranty Corporation (PBGC) or
the Department of Labor (DOL), and in-
volve the same taxpayer, has been added.

(34) Old section 5.01(14), regarding
§ 451, has been deleted.

(35) Old section 5.01(17), regarding
§§ 671 to 679, has been deleted.

(36) Section 5.01(22), regarding
§§ 4966 and 4967, has been added.

# SECTION 2. BACKGROUND, SCOPE OF APPLICATION, AND NO-RULE ISSUES PART OF INTEGRATED TRANSACTION

## .01 Background.

Whenever appropriate in the interest of
sound tax administration, it is the policy
of the Service to answer inquiries of indi-
viduals and organizations regarding their
status for tax purposes and the tax effects
of their acts or transactions, prior to the
filing of returns or reports that are re-
quired by the revenue laws. In employee
plans matters described in section 5.15 of
Rev. Proc. 2015-1, this Bulletin, the As-
sociate Chief Counsel (Tax Exempt and
Government Entities) may issue letter rul-
ings after the filing of returns or reports
that are required by the revenue laws.

There are, however, certain areas in
which, because of the inherently factual
nature of the problems involved, or for
other reasons, the Service will not issue
rulings or determination letters. These ar-
eas are set forth in four sections of this
revenue procedure. Section 3 reflects
those areas in which rulings or determina-

tion letters will not be issued. Section 4
sets forth those areas in which rulings or
determination letters will not ordinarily be
issued. "Not ordinarily" means that
unique and compelling reasons must be
demonstrated to justify the issuance of a
ruling or determination letter. Section 5
sets forth those areas in which the Service
is temporarily not issuing rulings or deter-
mination letters because those matters are
under study. Finally, section 6 of this rev-
enue procedure lists specific areas in
which the Service will not ordinarily issue
rulings because the Service has provided
automatic approval procedures for these
matters.

See Rev. Proc. 2015-1, this Bulletin,
particularly section 6 captioned "Under
What Circumstances Does The Service
Not Issue Letter Rulings Or Determina-
tion Letters?" for general instructions and
other situations in which the Service will
not or ordinarily will not issue letter rul-
ings or determination letters.

With respect to the items listed, reve-
nue rulings or revenue procedures may be
published in the Internal Revenue Bulletin
from time to time to provide general
guidelines regarding the position of the
Service.

Additions or deletions to this revenue
procedure as well as restatements of items
listed will be made by modification of this
revenue procedure. Changes will be pub-
lished as they occur throughout the year
and will be incorporated annually in a new
revenue procedure published as the third
revenue procedure of the year. These lists
should not be considered all-inclusive be-
cause the Service may decline to issue a
letter ruling or a determination letter when
appropriate in the interest of sound tax
administration (including due to resource
constraints) or on other grounds whenever
warranted by the facts or circumstances of
a particular case. Decisions not to rule on
individual cases (as contrasted with those
that present significant pattern issues) are
not reported in this revenue procedure and
will not be added to subsequent revisions.

adding the issue to the no rule list at the
first opportunity. See section 6.02 of Rev.
Proc. 2015-1, this Bulletin.

.02 Scope of Application.

This revenue procedure does not pre-
clude the submission of requests for tech-
nical advice to the National Office from
other offices of the Service.

# .03 No-Rule Issues Part of Integrated Transaction.

If it is impossible for the Service to
determine the tax consequences of an in-
tegrated transaction without knowing the
resolution of an issue on which the Ser-
vice will not issue rulings or determina-
tion letters under this revenue procedure
involving a part of the transaction or a
related transaction, the taxpayer must state
in the request to the best of the taxpayer's
knowledge and belief the tax conse-
quences of the no-rule issue. The Ser-
vice's ruling or determination letter will
state that the Service did not consider, and
no opinion is expressed upon, that issue.
In appropriate cases the Service may de-
cline to issue rulings or determination let-
ters on such integrated transactions due to
the relevance of the no-rule issue, despite
the taxpayer's representation. See also
section 4.02(2) of this revenue procedure.

# SECTION 3. AREAS IN WHICH RULINGS OR DETERMINATION LETTERS WILL NOT BE ISSUED

## .01 Specific Questions and Problems.

(1) Section 42 .- Low-Income Housing
Credit .- Whether under § 42(j)(4)(E) a
casualty loss has been restored by recon-
struction or replacement within a reason-
able period of time. The Service may issue
a determination letter in this case. See
section 12 of Rev. Proc. 2015-1, this Bul-
letin.

(2) Section 45 .- Electricity Produced
from Certain Renewable Resources,
Etc .- Determination as to who is the pro-
ducer of refined coal for purposes of
claiming the renewable electricity produc-
tion credit.

(3) Section 45 .- Electricity Produced
from Certain Renewable Resources,
Etc .- The allocation by a partnership of
the § 45 credit, the validity of the partner-

# Sec. 3.01 January 2, 2015

ship, or whether any taxpayer is a valid
partner in the partnership.

(4) Sections 45 and 48 .- Electricity
Produced from Certain Renewable Re-
sources, Etc .; Energy Credit .- The appli-
cation of the beginning of construction
requirement under § 45(d) and § 48(a)(5).

(5) Section 47 .- Rehabilitation Cred-
it .- The allocation by a partnership of the
§ 47 rehabilitation credit, the validity of
the partnership, or whether any taxpayer is
a valid partner in the partnership.

(6) Section 48 .- See section 3.01(4),
above.

(7) Section 61 .- Gross Income De-
fined .- Whether amounts voluntarily de-
ferred by a taxpayer under a deferred-
compensation plan maintained by an
organization described in § 501 (other
than an eligible plan maintained by an
eligible employer pursuant to the provi-
sions of § 457(b)) are currently includible
in the taxpayer's gross income.

(8) Section 61 .- Gross Income De-
fined .- Whether a split-dollar life insur-
ance arrangement is "materially modified"
within the meaning of § 1.61-22(j)(2) of
the Income Tax Regulations. (Also §§ 83,
301, 1401, 2501, 3121, 3231, 3306, 3401,
and 7872.)

(9) Sections 61, 451, and 1001 .- Gross
Income Defined; General Rule for Tax-
able Year of Inclusion; Determination of
Amount of and Recognition of Gain or
Loss .- Whether, under authorization by
an appropriate state agency to recover cer-
tain costs pursuant to state specified cost
recovery legislations, any investor-owned
utility company realizes income upon: (i)
the creation of an intangible property
right; (ii) the transfer of that intangible
property right; or (iii) the securitization of
the intangible property right.

(10) Section 79 .- Group-Term Life In-
surance Purchased for Employees .-
Whether a group insurance plan for 10 or
more employees qualifies as group-term
insurance, if the amount of insurance is
not computed under a formula that would
meet the requirements of § 1.79-
1(c)(2)(ii) of the Income Tax Regulations
had the group consisted of fewer than 10
employees.

(11) Section 83 .- Property Transferred
in Connection with Performance of Ser-
vices .- Whether a restriction constitutes a
substantial risk of forfeiture, if the em-

ployee is a controlling shareholder. Also,
whether a transfer has occurred, if the
amount paid for the property involves a
nonrecourse obligation.

(12) Section 83 .- Property Transferred
in Connection with Performance of Ser-
vices .- Which corporation is entitled to
the deduction under § 83(h) in cases in
which a corporation undergoes a corpo-
rate division, if the facts are not similar to
those described in Rev. Rul. 2002-1,
2002-1 C.B. 268.

(13) Section 101 .- Certain Death Ben-
efits .- Whether there has been a transfer
for value for purposes of § 101(a) in sit-
uations involving a grantor and a trust
when (i) substantially all of the trust cor-
pus consists or will consist of insurance
policies on the life of the grantor or the
grantor's spouse, (ii) the trustee or any
other person has a power to apply the
trust's income or corpus to the payment of
premiums on policies of insurance on the
life of the grantor or the grantor's spouse,
(iii) the trustee or any other person has a
power to use the trust's assets to make
loans to the grantor's estate or to purchase
assets from the grantor's estate, and (iv)
there is a right or power in any person that
would cause the grantor to be treated as
the owner of all or a portion of the trust
under §§ 673 to 677.

(14) Sections 101, 761, and 7701 .-
Certain Death Benefits; Terms Defined;
Definitions .- Whether, in connection
with the transfer of a life insurance policy
to an unincorporated organization, (i) the
organization will be treated as a partner-
ship under §§ 761 and 7701, or (ii) the
transfer of the life insurance policy to the
organization will be exempt from the
transfer for value rules of § 101, when
substantially all of the organization's as-
sets consist or will consist of life insur-
ance policies on the lives of the members.

(15) Section 102 .- Gifts and Inheri-
tances .- Whether a transfer is a gift
within the meaning of § 102(a).

(16) Section 105(h) .- Amount Paid to
Highly Compensated Individuals Under a
Discriminatory Self-Insured Medical Ex-
pense Reimbursement Plan .- Whether a
self-insured medical reimbursement plan
satisfies the requirements of § 105(h) for a
plan year.

(17) Section 107 .- Rental Value of
Parsonages .- Whether amounts distrib-

uted to a retired minister from a pension
or annuity plan should be excludible from
the minister's gross income as a parson-
age allowance under § 107.

(18) Section 107 .- Rental Value of
Parsonages .- Whether an individual is a
"minister of the gospel" for Federal tax
purposes. (Also §§ 1402(a)(8), (c)(4), and
(e), 3121(b)(8)(A), and 3401(a)(9).)

(19) Section 115 .- Income of States,
Municipalities, Etc .- The results of trans-
actions pursuant to a plan or arrangement
created by state statute a primary objec-
tive of which is to enable participants to
pay for the costs of a post-secondary ed-
ucation for themselves or a designated
beneficiary, including: (i) whether the
plan or arrangement, itself, is an entity
separate from a state and, if so, how the
plan or arrangement is treated for Federal
tax purposes; and (ii) whether any con-
tract under the plan or arrangement is a
debt instrument and, if so, how interest or
original issue discount attributable to the
contract is treated for Federal tax pur-
poses. (Also §§ 61, 163, 1275, 2501, and
7701.)

(20) Section 115 .- Income of States,
Municipalities, Etc .- Whether the income
of membership organizations established
by states exclusively to reimburse mem-
bers for losses arising from workmen's
compensation claims is excluded from
gross income under § 115.

(21) Section 117 .- Qualified Scholar-
ships .- Whether amounts paid to research
fellows and research associates are schol-
arships or fellowships excluded from
wages for FICA tax purposes.

(22) Section 117 .- Qualified Scholar-
ships .- Whether an employer-related
scholarship or fellowship grant is exclud-
ible from the employee's gross income, if
there is no intermediary private founda-
tion distributing the grants, as described in
Rev. Proc. 76-47, 1976-2 C.B. 670.

(23) Section 119 .- Meals or Lodging
Furnished for the Convenience of the Em-
ployer .- Whether the value of meals or
lodging is excludible from gross income
by an employee who is a controlling
shareholder of the employer.

(24) Section 121 .- Exclusion of Gain
from Sale of Principal Residence .-
Whether property qualifies as the taxpay-
er's principal residence.

(25) Section 125 .- Cafeteria Plans .-
Whether amounts used to provide group-
term life insurance under § 79, accident
and health benefits under §§ 105 and 106,
and dependent care assistance programs
under § 129 are includible in the gross
income of participants and considered
"wages" for purposes of §§ 3401, 3121,
and 3306 when the benefits are offered
through a cafeteria plan.

(26) Section 162 .- Trade or Business
Expenses .- Whether compensation is
reasonable in amount.

(27) Section 163 .- Interest .- The in-
come tax consequences of transactions in-
volving "shared appreciation mortgage"
(SAM) loans in which a taxpayer, borrow-
ing money to purchase real property, pays
a fixed rate of interest on the mortgage
loan below the prevailing market rate and
will also pay the lender a percentage of
the appreciation in value of the real prop-
erty upon termination of the mortgage.
This applies to all SAM arrangements in
which the loan proceeds are used for com-
mercial or business activities, or to finance
a personal residence, if the facts are not
similar to those described in Rev. Rul.
83-51, 1983-1 C.B. 48. (Also §§ 61, 451,
461, 856, 1001, and 7701.)

(28) Section 170 .- Charitable, Etc.,
Contributions and Gifts .- Whether a
charitable contribution deduction under
§ 170 is allowed for a transfer of an in-
terest in a limited partnership or a limited
liability company taxed as a partnership to
an organization described in § 170(c).

(29) Section 170 .- Charitable, Etc.,
Contributions and Gifts .- Whether a tax-
payer who advances funds to a charitable
organization and receives therefor a prom-
issory note may deduct as contributions,
in one taxable year or in each of several
years, amounts forgiven by the taxpayer in
each of several years by endorsement on
the note.

(30) Section 181 .- Treatment of Cer-
tain Qualified Film and Television Pro-
ductions .- The determination under
§ 1.181-1(a)(1) and (2) as to who is the
owner of a qualified film or television
production.

(31) Section 199 .- Income Attribut-
able to Domestic Production Activities .-
The determination under § 1.199-3(f)(1)
as to who is the taxpayer that has the
benefits and burdens of ownership under

Federal income tax principles of any qual-
ifying production property (as defined in
§ 1.199-3(j)(1)), qualified film (as defined
in § 1.199-3(k)), or utilities (as defined in
§ 1.199-3(1)) during the period in which a
qualifying activity under § 199 occurs.

(32) Section 213 .- Medical, Dental,
Etc., Expenses .- Whether a capital ex-
penditure for an item that is ordinarily
used for personal, living, or family pur-
poses, such as a swimming pool, has as its
primary purpose the medical care of the
taxpayer or the taxpayer's spouse or de-
pendent, or is related directly to such med-
ical care.

(33) Section 216 .- Deduction of
Taxes, Interest, and Business Deprecia-
tion by Cooperative Housing Corporation
Tenant-Stockholder .- Whether a unit
constitutes an "apartment in a building"
under § 216(b)(1)(B).

(34) Section 264 .- Certain Amounts
Paid in Connection with Insurance Con-
tracts .- Whether § 264(d)(1) applies.

(35) Section 264(c)(1) .- Contracts
Treated as Single Premium Contracts .-
Whether "substantially all" the premiums
of a contract of insurance are paid within
a period of 4 years from the date on which
the contract is purchased. Also, whether
an amount deposited is in payment of a
"substantial number" of future premiums
on such a contract.

(36) Sections 267, 304, 331, 332, 351,
and 1502 .- Losses, Expenses, and Inter-
est with Respect to Transactions Between
Related Taxpayers; Redemption Through
Use of Related Corporations; Gain or
Loss to Shareholders in Corporate Liqui-
dations; Complete Liquidations of Subsid-
iaries; Transfer to Corporation Controlled
by Transferor; Regulations .- The treat-
ment of transactions in which stock of a
corporation is transferred with a plan or
intention that the corporation be liqui-
dated in a transaction intended to qualify
under § 331.

(37) Section 269 .- Acquisitions Made
to Evade or Avoid Income Tax .-
Whether an acquisition is within the
meaning of § 269.

(38) Section 274 .- Disallowance of
Certain Entertainment, Etc., Expenses .-
Whether a taxpayer who is traveling away
from home on business may, in lieu of
substantiating the actual cost of meals,
deduct a fixed per-day amount for meal

expenses that differs from the amount au-
thorized by the revenue procedure provid-
ing optional rules for substantiating the
amount of travel expenses for the period
in which the expense was paid or incurred.

(39) Section 302 .- Distributions in
Redemption of Stock .- Whether § 302(b)
applies when the consideration given in
redemption by a corporation consists en-
tirely or partly of its notes payable, and
the shareholder's stock is held in escrow
or as security for payment of the notes
with the possibility that the stock may or
will be returned to the shareholder in the
future, upon the happening of specific de-
faults by the corporation.

(40) Section 302 .- Distributions in
Redemption of Stock .- Whether § 302(b)
applies when the consideration given in
redemption by a corporation in exchange
for a shareholder's stock consists entirely
or partly of the corporation's promise to
pay an amount based on, or contingent on,
future earnings of the corporation, when
the promise to pay is contingent on work-
ing capital being maintained at a certain
level, or any other similar contingency.

(41) Section 302 .- Distributions in
Redemption of Stock .- Whether § 302(b)
applies to a redemption of stock, if, after
the redemption, the distributing corpora-
tion uses property that is owned by the
shareholder from whom the stock is re-
deemed and the payments by the corpora-
tion for the use of the property are depen-
dent upon the corporation's future
earnings or are subordinate to the claims
of the corporation's general creditors.
Payments for the use of property will not
be considered to be dependent upon future
earnings merely because they are based on
a fixed percentage of receipts or sales.

(42) Section 302 .- Distributions in
Redemption of Stock .- Whether the ac-
quisition or disposition of stock described
in § 302(c)(2)(B) has, or does not have, as
one of its principal purposes the avoid-
ance of Federal income taxes within the
meaning of that section, unless the facts
and circumstances are materially identical
to those set forth in Rev. Rul. 85-19,
1985-1 C.B. 94; Rev. Rul. 79-67,
1979-1 C.B. 128; Rev. Rul. 77-293,
1977-2 C.B. 91; Rev. Rul. 57-387,
1957-2 C.B. 225; Rev. Rul. 56-584,
1956-2 C.B. 179; or Rev. Rul. 56-556,
1956-2 C.B. 177.

## Sec. 3.01

(43) Section 302(b)(4) and (e) .- Re-
demption from Noncorporate Shareholder
in Partial Liquidation; Partial Liquidation
Defined .- The amount of working capital
attributable to a business or portion of a
business terminated that may be distrib-
uted in partial liquidation.

(44) Section 304 .- See section
3.01(36), above.

(45) Section 312 .- Effect on Earnings
and Profits .- The determination of the
amount of earnings and profits of a cor-
poration.

(46) Sections 331, 453, and 1239 .-
Gain or Loss to Shareholders in Corporate
Liquidations; Installment Method; Gain
from Sale of Depreciable Property Be-
tween Certain Related Taxpayers .- The
tax effects of a transaction in which there
is a transfer of property by a corporation
to a partnership or other noncorporate en-
tity (or the transfer of stock to such entity
followed by a liquidation of the corpora-
tion) when more than a nominal amount
of the stock of such corporation and the
capital or beneficial interests in the pur-
chasing entity (that is, more than 20 per-
cent in value) is owned by the same per-
sons, and the consideration to be received
by the selling corporation or the selling
shareholders includes an installment obli-
gation of the purchasing entity.

(47) Section 331 .- See section
3.01(36), above.

(48) Sections 332, 351, 355, 368, and
1036 .- Complete Liquidations of Subsid-
iaries; Transfer to Corporation Controlled
by Transferor; Distribution of Stock and
Securities of a Controlled Corporation;
Definitions Relating to Corporate Reorga-
nizations; Stock for Stock of Same Cor-
poration .- Whether a transaction quali-
fies under § 332, 351, 355, or 1036 for
nonrecognition treatment or whether it
constitutes a corporate reorganization
within the meaning of § 368, and whether
various tax consequences (such as nonrec-
ognition and basis) result from the appli-
cation of that section. The Service will
instead rule only on significant issues pre-
sented in a transaction described in § 332,
351, 355, 368, or 1036. Additionally, the
Service will rule on one or more signifi-
cant issues under the Code sections that
address the tax consequences (such as
nonrecognition and basis) that result from
the qualification of a transaction under

§ 332, 351, 355, 368, or 1036. See section
6.03 of Rev. Proc. 2015-1, this Bulletin.

SIGNIFICANT ISSUE: A significant
issue is an issue of law the resolution of
which is not essentially free from doubt
and that is germane to determining the tax
consequences of the transaction. A change
of circumstances arising after a transac-
tion ordinarily does not present a signifi-
cant issue with respect to the transaction.

OBTAINING A LETTER RULING:
To obtain a letter ruling on a significant
issue presented in a transaction, the tax-
payer in its letter ruling request must com-
ply with all the requirements set forth in
section 6.03 of Rev. Proc. 2015-1, as well
as Rev. Proc. 2015-1, in general.

(49) Section 332 .- See section
3.01(36) and (48), above.

(50) Section 351 .- See section
3.01(36) and (48), above.

(51) Section 355 .- Distribution of
Stock and Securities of a Controlled Cor-
poration .- Whether the distribution of the
stock of a controlled corporation is being
carried out for one or more corporate busi-
ness purposes, whether the transaction is
used principally as a device, and whether
the distribution and an acquisition are part
of a plan under § 355(e). See Rev. Proc.
2003-48, 2003-2 C.B. 86. Notwithstand-
ing the preceding sentence, the Service
may issue a ruling regarding the effect of
redemptions under § 355(e) pending the
issuance of temporary or final regulations
regarding redemptions under § 355(e) if
an adverse ruling on such question would
result in there being a direct or indirect
acquisition by one or more persons of
stock representing a 50-percent or greater
interest in the distributing corporation or
the controlled corporation that is part of a
plan under § 355(e).

(52) Section 355 .- See section
3.01(48), above.

(53) Section 358 .- Basis to Distribu-
tees .- The acceptability of an estimation
procedure or the acceptability of a specific
sampling procedure to determine the basis
of stock acquired by an acquiring corpo-
ration in a reorganization described in
§ 368(a)(1)(B).

(54) Section 368 .- See section
3.01(48), above.

(55) Section 403(b) .- Taxability of
Beneficiary Under Annuity Purchased by
Section 501(c)(3) Organization or Public

School .- Whether the form of a plan sat-
isfies the requirements of § 403(b) as
noted in Announcement 2009-89,
2009-52 I.R.B. 1009.

(56) Section 409A .- Inclusion in
Gross Income of Deferred Compensation
Under Nonqualified Deferred Compensa-
tion Plans .- The income tax conse-
quences of establishing, operating, or par-
ticipating in a nonqualified deferred
compensation plan within the meaning of
§ 1.409A-1(a); whether a plan is de-
scribed in § 1.409A-1(a)(3)(iv) or (v);
whether a plan is a bona fide vacation
leave, sick leave, or compensatory time
plan described in § 1.409A-1(a)(5); and
whether a plan provides for the deferral of
compensation under § 1.409A-1(b).

(57) Section 411(d)(3) .- Termination
or Partial Termination; Discontinuance of
Contributions .- Whether there has been a
partial termination of an employee plan.
The Service may issue a determination
letter involving the partial termination of
an employee plan. See Rev. Proc. 2015-6,
this Bulletin.

(58) Section 414(d) .- Governmental
Plan .- Whether a plan is a governmental
plan under § 414(d).

(59) Section 424 .- Definitions and
Special Rules .- Whether the substitution
of a new Incentive Stock Option (ISO) for
an old ISO, or the assumption of an old
ISO, by an employer by reason of a cor-
porate transaction constitutes a modifica-
tion which results in the issuance of a new
option by reason of failing to satisfy the
spread test requirement of § 424(a)(1) or
the ratio test requirement of § 1.425-
1(a)(4). The Service will continue to rule
on the issue of whether the new ISO or the
assumption of the old ISO gives the em-
ployee additional benefits not present un-
der the old option within the meaning of
§ 424(a)(2).

(60) Section 451 .- General Rule for
Taxable Year of Inclusion .- The tax con-
sequences of a nonqualified unfunded
deferred-compensation arrangement with
respect to a controlling shareholder-
employee eligible to participate in the ar-
rangement.

(61) Section 451 .- General Rule for
Taxable Year of Inclusion .- The tax con-
sequences of nonqualified unfunded
deferred-compensation arrangements in
which the arrangements fail to meet the

Sec. 3.01

requirements of Rev. Proc. 92-65,
1992-2 C.B. 428, and Rev. Proc. 71-19,
1971-1 C.B. 698.

(62) Sections 451 and 457 .- General
Rule for Taxable Year of Inclusion; Non-
qualified Deferred Compensation Plans of
State and Local Governments and Tax-
Exempt Organizations .- The tax conse-
quences to unidentified independent con-
tractors in nonqualified unfunded deferred
compensation plans. This applies to plans
established under § 451 by employers in
the private sector and to plans of state and
local governments and tax-exempt organi-
zations under § 457. However, a ruling
with respect to a specific independent con-
tractor's participation in such a plan may
be issued.

(63) Section 451 .- See section
3.01(9), above.

(64) Section 453 .- See section
3.01(46), above.
(65) Section
457 .- See
section
3.01(62), above.

(66) Section 457A .- Nonqualified De-
ferred Compensation from Certain Tax In-
different Parties .- The income tax conse-
quences of establishing, operating, or
participating in a nonqualified deferred
compensation plan within the meaning of
§ 457A(d)(3).

(67) Sections 501, 511, 512, 513, and
514 .- Exemption from Tax on Corpora-
tions, Certain Trusts, Etc .; Imposition of
Tax on Unrelated Business Income of
Charitable, Etc., Organizations; Unrelated
Business Taxable Income; Unrelated
Trade or Business; Unrelated Debt-
Financed Income .- Whether a joint ven-
ture between a tax-exempt organization
and a for-profit organization affects an
organization's exempt status or results in
unrelated business income.

(68) Sections 507, 664, 4941, and
4945 .- Termination of Private Founda-
tion Status; Charitable Remainder Trusts;
Taxes on Self-Dealing; Taxes on Taxable
Expenditures .- Issues pertaining to the
tax consequences of the termination of a
charitable remainder trust (as defined in
§ 664) before the end of the trust term as
defined in the trust's governing instrument
in a transaction in which the trust benefi-
ciaries receive their actuarial shares of the
value of the trust assets.

(69) Sections 511, 512, 513, and
514 .- Imposition of Tax on Unrelated

Business Income of Charitable, Etc., Or-
ganizations; Unrelated Business Taxable
Income; Unrelated Trade or Business; Un-
related Debt-Financed Income .- Whether
unrelated business income tax issues arise
when charitable lead trust assets are in-
vested with charitable organizations.

(70) Sections 511, 512, 513, and
514 .- See section 3.01(67), above.

(71) Section 529 .- Qualified Tuition
Programs .- Whether a state-run tuition
program qualifies under § 529.

(72) Sections 542, 543, and 544 .- Def-
inition of Personal Holding Company;
Personal Holding Company Income;
Rules for Determining Stock Owner-
ship .- Whether the application of
§ 544(a) causes a corporation to meet the
stock ownership requirements under
§ 542(a)(2), § 543(a)(7), § 543(a)(6), or
§ 543(a)(4).

(73) Section 641 .- Imposition of
Tax .- Whether the period of administra-
tion or settlement of an estate or a trust
(other than a trust described in § 664) is
reasonable or unduly prolonged.

(74) Section 642(c) .- Deduction for
Amounts Paid or Permanently Set Aside
for a Charitable Purpose .- Allowance of
an unlimited deduction for amounts set
aside by a trust or estate for charitable
purposes when there is a possibility that
the corpus of the trust or estate may be
invaded.

(75) Section 664 .- Charitable Remain-
der Trusts .- Whether the settlement of a
charitable remainder trust upon the termi-
nation of the noncharitable interest is
made within a reasonable period of time.

(76) Section 664 .- See section
3.01(68), above.

(77) Section 671 .- Trust Income, De-
ductions, and Credits Attributable to
Grantors and Others as Substantial Own-
ers .- Whether the grantor will be consid-
ered the owner of any portion of a trust
when (i) substantially all of the trust cor-
pus consists or will consist of insurance
policies on the life of the grantor or the
grantor's spouse, (ii) the trustee or any
other person has a power to apply the
trust's income or corpus to the payment of
premiums on policies of insurance on the
life of the grantor or the grantor's spouse,
(iii) the trustee or any other person has a
power to use the trust's assets to make
loans to the grantor's estate or to purchase

assets from the grantor's estate, and (iv)
there is a right or power in any person that
would cause the grantor to be treated as
the owner of all or a portion of the trust
under §§ 673 to 677.

(78) Section 704(b) .- Determination
of Distributive Share .- Whether the allo-
cation to a partner under the partnership
agreement of income, gain, loss, deduc-
tion, or credit (or an item thereof) has
substantial economic effect or is in accor-
dance with the partner's interest in the
partnership.

(79) Section 704(e) .- Family Partner-
ships .- Matters relating to the validity of
a family partnership when capital is not a
material income producing factor.

(80) Section 761 .- See section
3.01(14), above.

(81) Section 856 .- Definition of Real
Estate Investment Trust .- Whether a cor-
poration whose stock is "paired" with or
"stapled" to stock of another corporation
will qualify as a real estate investment
trust under § 856, if the activities of the
corporations are integrated.

(82) Section 1001 .- Determination of
Amount of and Recognition of Gain or
Loss .- Whether the termination of a char-
itable remainder trust before the end of the
trust term as defined in the trust's govern-
ing instrument, in a transaction in which
the trust beneficiaries receive their actuar-
ial shares of the value of the trust assets, is
treated as a sale or other disposition by the
beneficiaries of their interests in the trust.

(83) Section 1001 .- See section
3.01(9), above.

(84) Section 1033 .- Involuntary Con-
versions .- Whether the replacement or
proposed replacement of compulsorily or
involuntarily converted property does or
does not qualify under § 1033(a), if the
taxpayer has already filed a Federal tax
return for the taxable year in which the
property was converted. The Service may
issue a determination letter in this case.
See section 12.01 of Rev. Proc. 2015-1,
this Bulletin.

(85) Section 1036 .- See section
3.01(48), above.

(86) Section 1221 .- Capital Asset De-
fined .- Whether specialty stock allocated
to an investment account by a registered
specialist on a national securities ex-
change is a capital asset.

### Sec. 3.01

(87) Section 1221 .- Capital Asset De-
fined .- Whether the termination of a
charitable remainder trust before the end
of the trust term as defined in the trust's
governing instrument, in a transaction in
which the trust beneficiaries receive their
actuarial shares of the value of the trust
assets, is treated as a sale or exchange of
a capital asset by the beneficiaries.

(88) Section 1239 .- See section
3.01(46), above.

(89) Section 1502 .- Regulations .- If
a member of an affiliated group fails to
file Form 1122 or fails to join in the mak-
ing of a consolidated return due to a mis-
take of law or fact, or inadvertence,
whether such member will be treated as if
it had filed a Form 1122. The Service may
issue a determination letter in this case.
See section 12.01 of Rev. Proc. 2015-1,
this Bulletin. But see also section 6.07 of
this revenue procedure.

(90) Section 1502 .- See section
3.01(36), above.

(91) Section 1551 .- Disallowance of
the Benefits of the Graduated Corporate
Rates and Accumulated Earnings Cred-
it .- Whether a transfer is within § 1551.

(92) Section 2031 .- Definition of
Gross Estate .- Actuarial factors for valu-
ing interests in the prospective gross es-
tate of a living person.

(93) Section 2055 .- Transfers for Pub-
lic, Charitable, and Religious Uses .-
Whether a charitable contribution deduc-
tion under § 2055 is allowed for the
transfer of an interest in a limited partner-
ship or a limited liability company taxed
as a partnership to an organization de-
scribed in § 2055(a).

(94) Section 2512 .- Valuation of
Gifts .- Actuarial factors for valuing pro-
spective or hypothetical gifts of a donor.

(95) Section 2522 .- Charitable and
Similar Gifts .- Whether a charitable con-
tribution deduction under § 2522 is allow-
able for a transfer of an interest in a lim-
ited partnership or a limited liability
company taxed as a partnership to an or-
ganization described in § 2522(a).

(96) Section 2601 .- Tax Imposed .-
Whether a trust exempt from generation-
skipping transfer (GST) tax under
§ 26.2601-1(b)(1), (2), or (3) of the
Generation-Skipping Transfer Tax Regu-
lations will retain its GST exempt status
when there is a modification of a trust,

change in the administration of a trust, or
a distribution from a trust in a factual
scenario that is similar to a factual sce-
nario set forth in one or more of the ex-
amples contained in § 26.2601-
1(b)(4)(i)(E).

(97) Sections 3121, 3306, and 3401 .-
Definitions .- For purposes of determin-
ing prospective employment status,
whether an individual will be an employee
or an independent contractor. A ruling
with regard to prior employment status
may be issued.

(98) Sections 3121, 3306, and 3401 .-
Definitions .- Who is the employer of an
"employee-owner" as defined in
§ 269A(b)(2).

(99) Sections 3121, 3306, and 3401 .-
Definitions .- For purposes of determin-
ing employment classification pursuant to
the filing of Form SS-8, Determination of
Worker Status for Purposes of Federal
Employment Taxes and Income Tax With-
holding, whether a worker is a bona fide
partner and, therefore, not an employee of
the business.

(100) Section 4191 .- Medical Devic-
es .- Whether a device (as defined in sec-
tion 201(h) of the Federal Food, Drug, and
Cosmetic Act) intended for humans is not
a "taxable medical device" within the
meaning of § 4191(b)(1) due to the appli-
cation of the exemption provided in
§ 4191(b)(2) for eyeglasses, contact
lenses, hearing aids, and any other medi-
cal device determined by the Secretary to
be of a type which is generally purchased
by the general public at retail for individ-
ual use.

(101) Sections 4375, 4376, and
4377 .- Health Insurance; Self-Insured
Health Plans; Definitions and Special
Rules .- Whether an arrangement is a
specified health insurance policy or an
applicable self-insured health plan that is
subject to the fee applicable to such ar-
rangements.

(102) Section 4941 .- Taxes on Self-
Dealing .- Whether transactions during
the administration of an estate or trust
meet the requirements of the exception to
§ 4941 set forth in § 53.4941(d)-1(b)(3)
of the Private Foundation Excise Tax
Regulations, in cases in which a disqual-
ified person issues a promissory note in
exchange for property of an estate or trust.

(103) Section 4941 .- See section
3.01(68), above.

(104) Section 4945 .- See section
3.01(68), above.

(105) Section 4958 .- Taxes on Excess
Benefit Transactions .- Whether a com-
pensation or property transaction satisfies
the rebuttable presumption that the trans-
action is not an excess benefit transaction
as described in § 53.4958-6 of the Excess
Benefit Transactions Excise Tax Regula-
tions.

(106) Section 4975(d) .- Exemp-
tions .- Whether the renewal, extension,
or refinancing of an exempt loan satisfies
the requirements of § 4975(d)(3). Also,
whether the pre-payment of employee
stock ownership plan (ESOP) loans satis-
fies the requirements of § 4975(d)(3) other
than with respect to plan termination.

(107) Section 4980B .- Failure to Sat-
isfy Continuation Coverage Requirements
of Group Health Plans .- Whether an ac-
tion is "gross misconduct" within the
meaning of § 4980B(f)(3)(B). (See section
3.05 of Rev. Proc. 87-28, 1987-1 C.B.
770, 771.)

(108) Section 4980H .- Shared Re-
sponsibility for Employers Regarding
Health Coverage .- Whether an employer
is required to make an assessable payment
under § 4980(H)(a) or (b).

(109) Section 6166 .- Extension of
Time for Payment of Estate Tax Where
Estate Consists Largely of Interest in
Closely Held Business .- Requests in-
volving § 6166 if there is no decedent.

(110) Section 6901 .- Transferred As-
sets .- Whether a taxpayer is liable for tax
as a transferee.

(111) Section 7701 .- Definitions .-
The classification of an instrument that
has certain voting and liquidation rights in
an issuing corporation but whose dividend
rights are determined by reference to the
earnings of a segregated portion of the
issuing corporation's assets, including as-
sets held by a subsidiary.

(112) Section 7701 .- Definitions .-
The classification for Federal tax purposes
of a fideicomiso or other land trust created
under local law, applying the principles of
Rev. Rul. 2013-14, 2013-26 I.R.B. 1267,
or Rev. Rul. 92-105, 1992-2 C.B. 204.

(113) Section 7701 .- See section
3.01(14), above.

(114) Section 7704 .- Certain Publicly
Traded Partnerships Treated as Corpora-
tions .- Whether interests in a partnership
that are not traded on an established secu-
rities market (within the meaning of
§ 7704(b) and § 1.7704-1(b) of the Pro-
cedure and Administration Regulations)
are readily tradable on a secondary market
or the substantial equivalent thereof under
§ 1.7704-1(c)(1).

(115) Section 9815 .- Additional Mar-
ket Reforms .- Whether an insured group
health plan satisfies the requirements of
§ 2716 of the Public Health Service Act,
Prohibition on Discrimination in Favor of
Highly Compensated Individuals, as in-
corporated into the Code by § 9815.

.02 General Areas.

(1) Whether the economic substance
doctrine is relevant to any transaction or
whether any transaction complies with the
requirements of § 7701(o).

(2) The results of transactions that lack
a bona fide business purpose or have as
their principal purpose the reduction of
Federal taxes.

(3) A matter upon which a court deci-
sion adverse to the Government has been
handed down and the question of follow-
ing the decision or litigating further has
not yet been resolved.

(4) A matter involving alternate plans
of proposed transactions or involving hy-
pothetical situations.

(5) Whether under Subtitle F (Proce-
dure and Administration) reasonable
cause, due diligence, good faith, clear and
convincing evidence, or other similar
terms that require a factual determination
exist.

(6) A matter involving the regulations
governing practice before the Service un-
der 31 CFR Part 10 (reprinted as Treasury
Department Circular No. 230).

(7) Whether a proposed transaction
would subject the taxpayer to a criminal
penalty.

(8) Whether a completed transaction
can be rescinded for Federal income tax
purposes.

(9) The income tax (including unre-
lated business income tax) or excise tax
consequences of the contribution of stock
options to, or their subsequent exercise
from, plans described in Part 1 of Sub-

chapter D of Chapter 1 of Subtitle A of the
Code.

(10) Questions that the Service deter-
mines, in its discretion, should not be an-
swered in the general interests of sound
tax administration, including due to re-
source constraints.

(11) Any frivolous issue, as that term is
defined in section 6.10 of Rev. Proc.
2015-1, this Bulletin.

(12) A request that does not comply
with the provisions of Rev. Proc. 2015-1,
this Bulletin.

#### SECTION 4. AREAS IN WHICH RULINGS OR DETERMINATION LETTERS WILL NOT ORDINARILY BE ISSUED

##### .01 Specific Questions and Problems.

(1) Sections 38, 39, 46, and 48 .- Gen-
eral Business Credit; Carryback and Car-
ryforward of Unused Credits; Amount of
Credit; Energy Credit .- Application of
these sections if the formal ownership of
property is in a party other than the tax-
payer, except when title is held merely as
security.

(2) Section 61 .- Gross Income De-
fined .- Determination as to who is the
true owner of property in cases involving
the sale of securities, or participation in-
terests therein, if the purchaser has the
contractual right to cause the securities, or
participation interests therein, to be pur-
chased by either the seller or a third party.

(3) Sections 61 and 163 .- Gross In-
come Defined; Interest .- Determinations
as to who is the true owner of property or
the true borrower of money in cases in
which the formal ownership of the prop-
erty, or the liability for the indebtedness,
is in another party.

(4) Sections 83 and 451 .- Property
Transferred in Connection with Perfor-
mance of Services; General Rule for Tax-
able Year of Inclusion .- When compen-
sation is realized by a person who, in
connection with the performance of ser-
vices, is granted a nonstatutory option
without a readily ascertainable fair market
value to purchase stock at a price that is
less than the fair market value of the stock
on the date the option is granted.

(5) Section 103 .- Interest on State and
Local Bonds .- Whether the interest on
state or local bonds will be excludible

from gross income under § 103(a), if the
proceeds of issues of bonds (other than
advance refunding issues) are placed in
escrow or otherwise not expended for a
governmental purpose for an extended pe-
riod of time even though the proceeds are
invested at a yield that will not exceed the
yield on the state or local bonds prior to
their expenditure.

(6) Section 103 .- Interest on State and
Local Bonds .- Whether a state or local
governmental obligation that does not
meet the criteria of section 5 of Rev. Proc.
89-5, 1989-1 C.B. 774, is an "arbitrage
bond" within the meaning of former
§ 103(c)(2) solely by reason of the invest-
ment of the bond proceeds in acquired
nonpurpose obligations at a materially
higher yield more than 3 years after issu-
ance of the bonds or 5 years after issuance
of the bonds in the case of construction
issues described in former § 1.103-
13(a)(2)(ii)(E) or § 1.148-2(e)(2)(ii).

(7) Section 141 .- Private Activity
Bond; Qualified Bond .- Whether state or
local bonds will meet the "private busi-
ness use test" and the "private security or
payment test" under §141(b)(1) and (2) in
situations in which the proceeds are used
to finance certain output facilities and,
pursuant to a contract to take, or take or
pay for, a nongovernmental person pur-
chases 30 percent or more of the actual
output of the facility but 10 percent or less
of the: (i) subparagraph (5) output of the
facility as defined in § 1.103-7(b)(5)(ii)(b)
(issued under former § 103(b)), or (ii)
available output of the facility as defined
in § 1.141-7(b)(1). In similar situations,
the Service will not ordinarily issue rul-
ings or determination letters concerning
questions arising under paragraphs (3),
(4), and (5) of § 141(b).

(8) Sections 142 and 144(a) .- Exempt
Facility Bond; Qualified Small Issue
Bond .- Whether an issue of private activ-
ity bonds meets the requirements of § 142
or § 144(a), if the sum of-

(i) the portion of the proceeds used to
finance a facility in which an owner (or
related person) or a lessee (or a related
person) is a user of the facility both after
the bonds are issued and at any time be-
fore the bonds were issued, and

(ii) the portion used to pay issuance
costs and nonqualified costs equals more

## Sec. 4.01 January 2, 2015

than 5 percent of the net proceeds, as
defined in § 150(a)(3).

(9) Section 148 .- Arbitrage .-
Whether amounts received as proceeds
from the sale of municipal bond financed
property and pledged to the payment of
debt service or pledged as collateral for
the municipal bond issue are sinking fund
proceeds within the meaning of former
§ 1.103-13(g) (issued under former
§ 103(c)) or replaced proceeds described
in § 148(a)(2) (or former § 103(c)(2)(B)).

(10) Sections 162 and 262 .- Trade or
Business Expenses; Personal, Living, and
Family Expenses .- Whether expenses are
nondeductible commuting expenses, ex-
cept for situations governed by Rev. Rul.
99-7, 1999-1 C.B. 361.

(11) Section 163 .- See section
4.01(3), above.

(12) Section 165 .- Losses .- Whether
stock in a corporation has been aban-
doned.

(13) Section 167 .- Depreciation.

(i) Useful lives of assets.

(ii) Depreciation rates.

(iii) Salvage value of assets.

(14) Sections 167 and 168 .- Depreci-
ation; Accelerated Cost Recovery Sys-
tem .- Application of those sections in
which the formal ownership of property is
in a party other than the taxpayer except
when title is held merely as security.

(15) Section 170 .- Charitable, Etc.,
Contributions and Gifts .- Whether a
transfer to a pooled income fund de-
scribed in § 642(c)(5) qualifies for a char-
itable contribution deduction under
§ 170(f)(2)(A).

(16) Section 170 .- Charitable, Etc.,
Contributions and Gifts .- Whether a
transfer to a charitable remainder trust de-
scribed in § 664 that provides for annuity
or unitrust payments for one or two mea-
suring lives qualifies for a charitable de-
duction under § 170(f)(2)(A).

(17) Section 170 .- Charitable, Etc.,
Contributions and Gifts .- Whether a tax-
payer who transfers property to a charita-
ble organization and thereafter leases back
all or a portion of the transferred property
may deduct the fair market value of the
property transferred and leased back as a
charitable contribution.

(18) Section 216 .- Deduction of
Taxes, Interest, and Business Deprecia-
tion by Cooperative Housing Corporation

Tenant-Stockholder .- If a cooperative
housing corporation (CHC), as defined in
§ 216(b)(1), transfers an interest in real
property to a corporation (not a CHC) in
exchange for stock or securities of the
transferee corporation, which engages in
commercial activity with respect to the
real property interest transferred, whether
(i) the income of the transferee corpora-
tion derived from the commercial activity,
and (ii) any cash or property (attributable
to the real property interest transferred)
distributed by the transferee corporation
to the CHC will be considered as gross
income of the CHC for the purpose of
determining whether 80 percent or more
of the gross income of the CHC is derived
from tenant-stockholders within the
meaning of § 216(b)(1)(D).

(19) Section 262 .- See section
4.01(10), above.

(20) Section 265(a)(2) .- Interest .-
Whether indebtedness is incurred or con-
tinued to purchase or carry obligations the
interest on which is wholly exempt from
the taxes imposed by Subtitle A.

(21) Section 302 .- Distributions in
Redemption of Stock .- The tax effect of
the redemption of stock for notes, when
the payments on the notes are to be made
over a period in excess of 15 years from
the date of issuance of such notes.

(22) Section 302(b)(4) and (e) .- Re-
demption from Noncorporate Shareholder
in Partial Liquidation; Partial Liquidation
Defined .- Whether a distribution will
qualify as a distribution in partial liquida-
tion under § 302(b)(4) and (e)(1)(A), un-
less it results in a 20 percent or greater
reduction in (i) gross revenue, (ii) net fair
market value of assets, and (iii) employ-
ees. (Partial liquidations that qualify as
§ 302(e)(2) business terminations are not
subject to this provision.)

(23) Section 306 .- Dispositions of
Certain Stock .- Whether the distribution,
disposition, or redemption of "section 306
stock" in a closely held corporation is in
pursuance of a plan having as one of its
principal purposes the avoidance of Fed-
eral income taxes within the meaning of
§ 306(b)(4).

(24) Sections 331 and 346(a) .- Gain
or Loss to Shareholders in Corporate Liq-
uidations; Complete Liquidation .- The
tax effect of the liquidation of a corpora-
tion by a series of distributions, when the

distributions in liquidation are to be made
over a period in excess of 3 years from the
adoption of the plan of liquidation.

(25) Section 351 .- Transfer to Corpo-
ration Controlled by Transferor .-
Whether § 351 applies to the transfer of an
interest in real property by a cooperative
housing corporation (as described in
§ 216(b)(1)) to a corporation in exchange
for stock or securities of the transferee
corporation, if the transferee engages in
commercial activity with respect to the
real property interest transferred.

(26) Section 355 .- Distribution of
Stock and Securities of a Controlled Cor-
poration .- Whether the active business
requirement of § 355(b) is met when,
within the 5-year period described in
§ 355(b)(2)(B), a distributing corporation
acquired control of a controlled corpora-
tion as a result of the distributing corpo-
ration transferring cash or other liquid or
inactive assets to the controlled corpora-
tion in a transaction in which gain or loss
was not recognized as a result of the trans-
fer meeting the requirements of § 351(a)
or § 368(a)(1)(D).

(27) Section 355 .- Distribution of
Stock and Securities of a Controlled Cor-
poration .- Any issue under § 355(e) other
than whether a distribution and an acqui-
sition are part of a plan (i.e., any non-plan
issue). Notwithstanding the preceding
sentence, the Service generally will rule
on a non-plan issue or issues (e.g.,
whether a corporation constitutes a prede-
cessor of distributing) if an adverse ruling
on such non-plan issue or issues would
result in there being a direct or indirect
acquisition by one or more persons of
stock representing a 50-percent or greater
interest in the distributing corporation or
the controlled corporation that is part of a
plan under § 355(e).

(28) Section 441(i) .- Taxable Year of
Personal Service Corporations .- Whether
the principal activity of the taxpayer dur-
ing the testing period for the taxable year
is the performance of personal services
within the meaning of § 1.441-
3(c)(1)(iii).

(29) Section 448(d)(2)(A) .- Limita-
tion on Use of Cash Method of Account-
ing; Qualified Personal Service Corpora-
tion .- Whether 95 percent or more of the
time spent by employees of the corpora-
tion, serving in their capacity as such, is

Sec. 4.01

devoted to the performance of services
within the meaning of § 1.448-
1T(e)(4)(i).

(30) Section 451 .- General Rule for
Taxable Year of Inclusion .- The tax con-
sequences of a nonqualified deferred com-
pensation arrangement using a grantor
trust if the trust fails to meet the require-
ments of Rev. Proc. 92-64, 1992-2 C.B.
422.

(31) Section 451 .- General Rule for
Taxable Year of Inclusion .- The income
tax consequences as a result of being a
beneficiary of a trust that an Indian tribe
(as defined in 25 U.S.C. § 2703(5)) estab-
lishes to receive and invest per capita
payments for its members under the In-
dian Gaming Regulatory Act (25 U.S.C.
§§ 2701 through 2721).

(32) Section 451 .- See section
4.01(4), above.

(33) Section 584 .- Common Trust
Funds .- Whether a common trust fund
plan meets the requirements of § 584. (For
§ 584 plan drafting guidance, see Rev.
Proc. 92-51, 1992-1 C.B. 988.)

(34) Section 642 .- Special Rules for
Credits and Deductions .- Whether a
pooled income fund satisfies the require-
ments described in § 642(c)(5).

(35) Section 664 .- Charitable Remain-
der Trusts .- Whether a charitable remain-
der trust that provides for annuity or uni-
trust payments for one or two measuring
lives or for annuity or unitrust payments
for a term of years satisfies the require-
ments described in § 664.

(36) Section 664 .- Charitable Remain-
der Trusts .- Whether a trust that will cal-
culate the unitrust amount under
§ 664(d)(3) qualifies as a § 664 charitable
remainder trust when a grantor, a trustee,
a beneficiary, or a person related or sub-
ordinate to a grantor, a trustee, or a ben-
eficiary can control the timing of the
trust's receipt of trust income from a part-
nership or a deferred annuity contract to
take advantage of the difference between
trust income under § 643(b) and income
for Federal income tax purposes for the
benefit of the unitrust recipient.

(37) Sections 671 to 679 .- Grantors
and Others Treated as Substantial Own-
ers .- In a nonqualified, unfunded de-
ferred compensation arrangement de-
scribed in Rev. Proc. 92-64, 1992-2 C.B.
422, the tax consequences of the use of a

trust, other than the model trust described
in that revenue procedure.

(38) Sections 671 to 679 .- Grantors
and Others Treated as Substantial Own-
ers .- Whether an Indian tribe (as defined
in 25 U.S.C. § 2703(5)) that establishes a
trust to receive and invest per capita pay-
ments for its members under the Indian
Gaming Regulatory Act (25 U.S.C.
§§ 2701-2721) is the grantor and owner
of the trust.

(39) Section 678 .- Person Other than
Grantor Treated as Substantial Owner .-
Whether a person will be treated as the
owner of any portion of a trust over which
that person has a power to withdraw the
trust property (or had such power prior to
a release or modification, but retains other
powers which would cause that person to
be the owner of the trust under § 671 if the
person were the grantor), other than a
power which would constitute a general
power of appointment within the meaning
of § 2041, if the trust purchases the prop-
erty from that person with a note and the
value of the assets with which the trust
was funded by the grantor is nominal
compared to the value of the property
purchased.

(40) Section 856 .- Definition of Real
Estate Investment Trust .- Whether an
outdoor advertising display constitutes
real property for purposes of § 856. How-
ever, if the real estate investment trust has
made an election under §1.1033(g)-
1(b), the Service may rule on whether an
asset that is not within the scope of the
election, but is related to the outdoor ad-
vertising display, constitutes real property
for purposes of § 856.

(41) Section 1031(f) .- Special Rules
for Exchanges Between Related Per-
sons .- Except in the case of (i) a transac-
tion involving an exchange of undivided
interests in different properties that results
in each taxpayer holding either the entire
interest in a single property or a larger
undivided interest in any of the properties
or (ii) a disposition of property in a non-
recognition transaction, whether an ex-
change described in § 1031(f) involving
related parties, or a subsequent disposition
of property involved in the exchange, has
as one of its principal purposes the avoid-
ance of Federal income tax, or is part of a
transaction (or series of transactions)

structured to avoid the purposes of
§ 1031(f).

(42) Section 1362 .- Election; Revoca-
tion; Termination .- All situations in
which the Service has provided an auto-
matic approval procedure or administra-
tive procedure for an S corporation to
obtain relief for late S corporation, quali-
fied subchapter S subsidiary, qualified
subchapter S trust, or electing small busi-
ness trust elections. See Rev. Proc. 2013-
30, 2013-36 I.R.B. 173. (For instructions
on how to seek this relief, see the preced-
ing revenue procedure.)

(43) Section 1502 .- Regulations .-
Whether a parent cooperative housing
corporation (as defined in § 216(b)(1))
will be permitted to file a consolidated
income tax return with its transferee sub-
sidiary, if the transferee engages in com-
mercial activity with respect to the real
property interest transferred to it by the
parent.

(44) Sections 2035, 2036, 2037, 2038,
and 2042 .- Adjustments for Certain Gifts
Made Within Three Years of Decedent's
Death; Transfers with Retained Life Es-
tate; Transfers Taking Effect at Death;
Revocable Transfers; Proceeds of Life In-
surance .- Whether trust assets are includ-
ible in a trust beneficiary's gross estate
under § 2035, 2036, 2037, 2038, or 2042
if the beneficiary sells property (including
insurance policies) to the trust or dies
within 3 years of selling such property to
the trust, and (i) the beneficiary has a
power to withdraw the trust property (or
had such power prior to a release or mod-
ification, but retains other powers which
would cause that person to be the owner if
the person were the grantor), other than a
power which would constitute a general
power of appointment within the meaning
of § 2041, (ii) the trust purchases the
property with a note, and (iii) the value of
the assets with which the trust was funded
by the grantor is nominal compared to the
value of the property purchased.

(45) Section 2055 .- Transfers for Pub-
lic, Charitable, and Religious Uses .-
Whether a transfer to a pooled income
fund described in § 642(c)(5) qualifies for
a charitable deduction under
§ 2055(e)(2)(A).
(46) Section 2055 .- Transfers for Pub-
lic, Charitable, and Religious Uses .-
Whether a transfer to a charitable remain-

### Sec. 4.01

der trust described in § 664 that provides
for annuity or unitrust payments for one or
two measuring lives or a term of years
qualifies for a charitable deduction under
§ 2055(e)(2)(A).

(47) Section 2501 .- Imposition of
Tax .- Whether the sale of property (in-
cluding insurance policies) to a trust by a
trust beneficiary will be treated as a gift
for purposes of § 2501 if (i) the benefi-
ciary has a power to withdraw the trust
property (or had such power prior to a
release or modification, but retains other
powers which would cause that person to
be the owner if the person were the
grantor), other than a power which would
constitute a general power of appointment
within the meaning of § 2041, (ii) the trust
purchases the property with a note, and
(iii) the value of the assets with which the
trust was funded by the grantor is nominal
compared to the value of the property
purchased.

(48) Section 2503 .- Taxable Gifts .-
Whether the transfer of property to a trust
will be a gift of a present interest in prop-
erty when (i) the trust corpus consists or
will consist substantially of insurance pol-
icies on the life of the grantor or the
grantor's spouse, (ii) the trustee or any
other person has a power to apply the
trust's income or corpus to the payment of
premiums on policies of insurance on the
life of the grantor or the grantor's spouse,
(iii) the trustee or any other person has a
power to use the trust's assets to make
loans to the grantor's estate or to purchase
assets from the grantor's estate, (iv) the
trust beneficiaries have the power to with-
draw, on demand, any additional transfers
made to the trust, and (v) there is a right or
power in any person that would cause the
grantor to be treated as the owner of all or
a portion of the trust under §§ 673 to 677.

(49) Section 2514 .- Powers of Ap-
pointment .- If the beneficiaries of a trust
permit a power of withdrawal to lapse,
whether § 2514(e) will be applicable to
each beneficiary in regard to the power
when (i) the trust corpus consists or will
consist substantially of insurance policies
on the life of the grantor or the grantor's
spouse, (ii) the trustee or any other person
has a power to apply the trust's income or
corpus to the payment of premiums on
policies of insurance on the life of the
grantor or the grantor's spouse, (iii) the

trustee or any other person has a power to
use the trust's assets to make loans to the
grantor's estate or to purchase assets from
the grantor's estate, (iv) the trust benefi-
ciaries have the power to withdraw, on
demand, any additional transfers made to
the trust, and (v) there is a right or power
in any person that would cause the grantor
to be treated as the owner of all or a
portion of the trust under §§ 673 to 677.

(50) Section 2522 .- Charitable and
Similar Gifts .- Whether a transfer to a
pooled income fund described in
§ 642(c)(5) qualifies for a charitable de-
duction under § 2522(c)(2)(A).

(51) Section 2522 .- Charitable and
Similar Gifts .- Whether a transfer to a
charitable remainder trust described in
§ 664 that provides for annuity or unitrust
payments for one or two measuring lives
or a term of years qualifies for a charitable
deduction under § 2522(c)(2)(A).

(52) Section 2601 .- Tax Imposed .-
Whether a trust that is exempt from the
application of the generation-skipping
transfer tax because it was irrevocable on
September 25, 1985, will lose its exempt
status if the situs of the trust is changed
from the United States to a situs outside of
the United States.

(53) Section 2702 .- Special Valuation
Rules in Case of Transfers of Interests in
Trusts .- Whether annuity interests are
qualified annuity interests under § 2702 if
the amount of the annuity payable annu-
ally is more than 50 percent of the initial
net fair market value of the property trans-
ferred to the trust, or if the value of the
remainder interest is less than 10 percent
of the initial net fair market value of the
property transferred to the trust. For pur-
poses of the 10 percent test, the value of
the remainder interest is the present value
determined under § 7520 of the right to
receive the trust corpus at the expiration
of the term of the trust. The possibility
that the grantor may die prior to the expi-
ration of the specified term is not taken
into account, nor is the value of any re-
version retained by the grantor or the
grantor's estate.

(54) Section 2702 .- Special Valuation
Rules in Case of Transfers of Interests in
Trusts .- Whether a trust with one term
holder satisfies the requirements of
§ 2702(a)(3)(A) and § 25.2702-5(c) to be
a qualified personal residence trust.

(55) Section 2702 .- Special Valuation
Rules in Case of Transfers of Interests in
Trusts .- Whether the sale of property (in-
cluding insurance policies) to a trust by a
trust beneficiary is subject to § 2702 if (i)
the beneficiary has a power to withdraw
the trust property (or had such power prior
to a release or modification, but retains
other powers which would cause that per-
son to be the owner if the person were the
grantor), other than a power which would
constitute a general power of appointment
within the meaning of § 2041, (ii) the trust
purchases the property with a note, and
(iii) the value of the assets with which the
trust was funded by the grantor is nominal
compared to the value of the property
purchased.

(56) Section 3121 .- Definitions .- De-
terminations as to which of two entities,
under common law rules applicable in de-
termining the employer-employee rela-
tionship, is the employer, when one entity
is treating the worker as an employee.

.02 General Areas.

(1) Any matter in which the determi-
nation requested is primarily one of fact,
e.g., market value of property, or whether
an interest in a corporation is to be treated
as stock or indebtedness. Although it is
generally inappropriate for the Service to
issue a letter ruling on whether an interest
in a corporation is stock or indebtedness,
there may be instances in which the Ser-
vice may issue a letter ruling. For exam-
ple, the Service may issue a letter ruling
with respect to an instrument issued by a
domestic corporation if (i) the taxpayer
believes that the facts strongly support the
classification of the instrument as stock
and (ii) the taxpayer can demonstrate that
there are unique and compelling reasons
to justify the issuance of a letter ruling.
Before preparing the letter ruling request,
a taxpayer should call the Office of the
Associate Chief Counsel having jurisdic-
tion for the matters on which the taxpayer
is seeking a letter ruling to discuss
whether the Service will consider issuing
a letter ruling for a particular factual sit-
uation. To determine which associate of-
fice has jurisdiction over a particular issue
see section 3 of Rev. Proc. 2015-1, this
Bulletin. For a list of telephone numbers
for the different associate offices, see sec-
tion 10.07 of Rev. Proc. 2015-1.

(2) Situations in which the requested
ruling deals with only part of an integrated
transaction. Generally, a letter ruling will
not be issued on only part of an integrated
transaction. If, however, a part of a trans-
action falls under a no-rule area, a letter
ruling on other parts of the transaction
may be issued. Before preparing the letter
ruling request, a taxpayer should call the
Office of the Associate Chief Counsel
having jurisdiction for the matters on
which the taxpayer is seeking a letter rul-
ing to discuss whether a letter ruling will
be issued on part of the transaction. To
determine which associate office has ju-
risdiction over a particular issue, see sec-
tion 3 of Rev. Proc. 2015-1, this Bulletin.
For a list of telephone numbers for the
different associate offices, see section
10.07 of Rev. Proc. 2015-1.

Notwithstanding the previous para-
graph, in connection with transactions de-
scribed in § 332, 351, 355, or 1036 and
reorganizations within the meaning of
§ 368, the Associate Chief Counsel (Cor-
porate) may issue a letter ruling on part of
an integrated transaction if and to the ex-
tent that the transaction presents a signif-
icant issue (within the meaning of section
3.01(48)). See section 6.03 of Rev. Proc.
2015-1.

(3) Situations in which two or more
items or sub-methods of accounting are
interrelated. If two or more items or sub-
methods of accounting are interrelated, or-
dinarily a letter ruling will not be issued
on a change in accounting method involv-
ing only one of the items or sub-methods.

(4) The tax effect of any transaction to
be consummated at some indefinite future
time.

(5) Any matter dealing with the ques-
tion of whether property is held primarily
for sale to customers in the ordinary
course of a trade or business.

(6) The tax effect of a transaction if any
part of the transaction is involved in liti-
gation among the parties affected by the
transaction, except for transactions in-
volving bankruptcy reorganizations.

(7) (a) Situations in which the taxpayer
or a related party is domiciled or orga-
nized in a foreign jurisdiction with which
the United States does not have an effec-
tive mechanism for obtaining tax informa-
tion with respect to civil tax examinations
and criminal tax investigations, which

would preclude the Service from obtain-
ing information located in such jurisdic-
tion that is relevant to the analysis or
examination of the tax issues involved in
the ruling request.

(b) The provisions of subsection (a)
above shall not apply if the taxpayer or
affected related party (i) consents to the
disclosure of all relevant information re-
quested by the Service in processing the
ruling request or in the course of an ex-
amination in order to verify the accuracy
of the representations made and to other-
wise analyze or examine the tax issues
involved in the ruling request, and (ii)
waives all claims to protection of bank or
commercial secrecy laws in the foreign
jurisdiction with respect to the informa-
tion requested by the Service. In the event
the taxpayer's or related party's consent
to disclose relevant information or to
waive protection of bank or commercial
secrecy is determined by the Service to
be ineffective or of no force and effect,
then the Service may retroactively re-
scind any ruling rendered in reliance on
such consent.

(8) A matter involving the Federal tax
consequences of any proposed Federal,
state, local, municipal, or foreign legisla-
tion. The Service may provide general
information in response to an inquiry.
However, the Office of Associate Chief
Counsel (Tax Exempt and Government
Entities) may issue letter rulings regarding
the effect of proposed state, local, or mu-
nicipal legislation upon an eligible de-
ferred compensation plan under § 457(b)
provided that the letter ruling request re-
lating to the plan complies with the other
requirements of Rev. Proc. 2015-1, this
Bulletin.

(9) A letter ruling will not be issued
with respect to an issue that is clearly and
adequately addressed by statute, regula-
tions, decision of a court, revenue rulings,
revenue procedures, notices, or other au-
thority published in the Internal Revenue
Bulletin (Comfort Ruling). However, ex-
cept with respect to issues under §§ 332,
351, 355, 368, and 1036 and the tax con-
sequences resulting from the application
of such Code sections (see generally sec-
tion 6.03 of Rev. Proc. 2015-1, this Bul-
letin), an Associate office may in its dis-
cretion issue a Comfort Ruling if the
Associate office is otherwise ruling on

another issue arising in the same transac-
tion.

(10) Whether an amount received (in
periodic payments or as a lump sum) in
connection with a legal action or a settle-
ment of a legal action is properly allocated
(including an allocation of all payments to
one category) to recovery of capital, com-
pensatory damages, punitive damages,
dividends, interest, back pay, etc., for Fed-
eral tax purposes.

(11) The treatment or effects of hook
equity, including as a result of its issu-
ance, ownership, or redemption. This
paragraph ordinarily shall not apply if
(i) an interest's status as hook equity is
only transitory, such as in a triangular
reorganization, or (ii) the treatment of
the hook equity is not relevant to the
treatment of the overall transaction and
issue presented. For this purpose, "hook
equity" means an ownership interest in a
business entity (such as stock in a cor-
poration) that is held by another busi-
ness entity in which at least 50 percent
of the interests (by vote or value) in
such latter entity are held directly or
indirectly by the former entity. How-
ever, if an entity directly or indirectly
owns all of the equity interests in an-
other entity, the equity interests in the
latter entity are not hook equity.

(12) Whether a tax-qualified plan sat-
isfies the requirements for qualification
under §§ 401 through 420 and
§ 4975(e)(7). These matters are generally
handled through the Employee Plans De-
terminations program as provided in Rev.
Proc. 2015-6, this Bulletin, Rev. Proc.
93-10, 1993-1 C.B. 476, and Rev. Proc.
93-12, 1993-1 C.B. 479. Notwithstanding
the preceding sentence, the Office of As-
sociate Chief Counsel (Tax Exempt and
Government Entities) may issue a ruling
where (i) the taxpayer has demonstrated to
the Office of Associate Chief Counsel's
(Tax Exempt and Government Entities)
satisfaction that the qualification issue in-
volved is unique and requires immediate
guidance, (ii) as a practical matter, it is not
likely that such issue will be addressed
through the determination letter process,
and (iii) the Office determines that it is in
the interest of good tax administration to
provide guidance to the taxpayer with re-
spect to such qualification issue.

### Sec. 4.02 January 2, 2015

(13) Any issue that is being considered
by the Pension Benefit Guaranty Corpora-
tion (PBGC) or the Department of Labor
(DOL), and involves the same taxpayer,
shall be issued at the discretion of the
Office of Associate Chief Counsel (Tax
Exempt and Government Entities).

SECTION 5. AREAS UNDER
STUDY IN WHICH RULINGS OR
DETERMINATION LETTERS WILL
NOT BE ISSUED UNTIL THE
SERVICE RESOLVES THE ISSUE
THROUGH PUBLICATION OF A
REVENUE RULING, A REVENUE
PROCEDURE, REGULATIONS, OR
OTHERWISE

.01 Specific Questions and Problems.

(1) Section 62(c) .- Certain Arrange-
ments Not Treated as Reimbursement Ar-
rangements .- Whether amounts related to
a salary reduction and paid under a pur-
ported reimbursement or other expense
allowance arrangement will be treated as
paid under an "accountable plan" in ac-
cordance with § 1.62-2(c)(2).

(2) Sections 101 and 7702 .- Certain
Death Benefits; Life Insurance Contract
Defined .- Whether amounts received un-
der an arrangement that is not regulated as
an insurance company may be treated as
received under a "life insurance contract"
within the meaning of §§ 101(a) and 7702.

(3) Section 148 .- Arbitrage .-
Whether a taxpayer has permission to use
a single yield for two or more issues of
qualified mortgage bonds or qualified stu-
dent loan bonds under § 1.148-4(a).

(4) Sections 162 and 1502 .- Trade or
Business Expenses; Regulations .- Treat-
ment of manufacturer incentive payments
under the intercompany transaction regu-
lations of § 1.1502-13. See T.D. 9261,
2006-1 C.B. 919.

(5) Section 162(m) .- Certain Exces-
sive Employee Remuneration .- Whether
the deduction limit under § 162(m) ap-
plies to compensation attributable to ser-
vices performed for a related partnership.

(6) Sections 302 and 304 .- Distribu-
tions in Redemption of Stock; Redemp-
tions Through Use of Related Corpora-
tions .- Treatment of basis in a §§ 302/
304 redemption. See Announcement
2006-30, 2006-1 C.B. 879.

(7) Sections 351, 358, and 362 .-
Transfer to Corporation Controlled by

Transferor; Basis to Distributees; Basis to
Corporations .- The issues described as
being under study in Rev. Rul. 2006-2,
2006-1 C.B. 261.

(8) Section 355 .- Distribution of
Stock and Securities of a Controlled Cor-
poration .- Whether a corporation is a
"controlled corporation" within the mean-
ing of § 355(a)(1)(A) if, in anticipation of
a distribution of the stock of the corpora-
tion, a distributing corporation acquires
putative control of the controlled corpora-
tion (directly or through one or more cor-
porations) in any transaction (including a
recapitalization) in which stock or securi-
ties were exchanged for stock having a
greater voting power than the stock or
securities relinquished in the exchange, or
if, in anticipation of a distribution of the
stock of the putative controlled corpora-
tion, such corporation issues stock to an-
other person having different voting
power per share than the stock held by the
distributing corporation.

(9) Sections 355 and 361 .- Distribu-
tion of Stock and Securities of a Con-
trolled Corporation; Nonrecognition of
Gain or Loss to Corporations; Treatment
of Distributions .- Whether either § 355
or § 361 applies to a distributing corpora-
tion's distribution of stock or securities of
a controlled corporation in exchange for,
and in retirement of, any putative debt of
the distributing corporation if such distrib-
uting corporation debt is issued in antici-
pation of the distribution.

(10) Section 358 .- See section
5.01(7), above.

(11) Section 361 .- See section
5.01(9), above.

(12) Section 362 .- See section
5.01(7), above.

(13) Section 613A .- Limitations on
Percentage Depletion in Case of Oil and
Gas Wells .- Whether the sale of oil or
gas, or any product derived from oil or
gas, is a bulk sale for purposes of
§ 613A(d)(2).

(14) Sections 661 and 662 .- Deduc-
tion for Estates and Trusts Accumulating
Income or Distributing Corpus; Inclusion
of Amounts in Gross Income of Benefi-
ciaries of Estates and Trusts Accumulat-
ing Income or Distributing Corpus .-
Whether the distribution of property by a
trustee from an irrevocable trust to an-
other irrevocable trust (sometimes re-

ferred to as a "decanting") resulting in a
change in beneficial interests is a distribu-
tion for which a deduction is allowable
under § 661 or which requires an amount
to be included in the gross income of any
person under § 662.

(15) Section 1361 .- S Corporation De-
fined .- Whether a state law limited part-
nership electing under § 301.7701-3 to be
classified as an association taxable as a
corporation has more than one class of
stock for purposes of § 1361(b)(1)(D).
The Service will treat any request for a
ruling on whether a state law limited part-
nership is eligible to elect S corporation
status as a request for a ruling on whether
the partnership complies with
§ 1361(b)(1)(D).

(16) Section 1502 .- See section
5.01(4), above.

(17) Section 2036 .- Transfers with
Retained Life Estate .- Whether the cor-
pus of a trust will be included in a grant-
or's estate when the trustee of the trust is
a private trust company owned partially or
entirely by members of the grantor's fam-
ily.

(18) Section 2038 .- Revocable Trans-
fers .- Whether the corpus of a trust will
be included in a grantor's estate when the
trustee of the trust is a private trust com-
pany owned partially or entirely by mem-
bers of the grantor's family.

(19) Section 2041 .- Powers of Ap-
pointment .- Whether the corpus of a trust
will be included in an individual's estate
when the trustee of the trust is a private
trust company owned partially or entirely
by members of the individual's family.

(20) Section 2501 .- Imposition of
Tax .- Whether the distribution of prop-
erty by a trustee from an irrevocable trust
to another irrevocable trust (sometimes
referred to as a "decanting") resulting in a
change in beneficial interests is a gift un-
der § 2501.

(21) Sections 2601 and 2663 .- Tax
Imposed; Regulations .- Whether the dis-
tribution of property by a trustee from an
irrevocable generation-skipping transfer
tax (GST) exempt trust to another irrevo-
cable trust (sometimes referred to as a
"decanting") resulting in a change in ben-
eficial interests is the loss of GST exempt
status or constitutes a taxable termination
or taxable distribution under § 2612.

Sec. 5.01
January 2, 2015

(22) Sections 4966 and 4967 .- Taxes
on Taxable Distributions; Taxes on Pro-
hibited Benefits .- Issues involving inter-
pretation of §§ 4966 and 4967 regarding
distributions from donor advised funds.

(23) Section 6050P .- Returns Relating
to the Cancellation of Indebtedness by
Certain Entities .- Whether amounts re-
duced pursuant to the terms of a debt
instrument are reportable under § 6050P
and the regulations.

(24) Section 6109 .- Identifying Num-
bers .- The proper assignment or retention
of an employer identification number
(EIN) in the case of a reorganization
within the meaning of § 368(a)(1)(F) if
the transferor corporation becomes disre-
garded as an entity separate from its
owner under § 301.7701-3.

(25) Section 7702 .- See section
5.01(2), above.

.02 General Areas.

Whether transfers of stock, money, or
other property by a person to a corpora-
tion and transfers of stock, money, or
property by that corporation to that person
(or a person related to such person) in
what are ostensibly two separate transac-
tions (so-called "north-south" transac-
tions), at least one of which is a distribu-
tion with respect to the corporation's
stock, a contribution to the corporation's
capital, or an acquisition of stock, are re-
spected as separate transactions for Fed-
eral income tax purposes.

#### SECTION 6. AREAS COVERED BY AUTOMATIC APPROVAL PROCEDURES IN WHICH RULINGS WILL NOT ORDINARILY BE ISSUED

.01 Section 338 .- Certain Stock Pur-
chases Treated as Asset Acquisitions .-
All requests for an extension of time un-
der § 301.9100-3 within which to make
an election under § 338(g) or (h)(10)
where the Service has provided an admin-
istrative procedure to seek such an exten-
sion. See Rev. Proc. 2003-33, 2003-1
C.B. 803 (extension automatically granted
to certain persons required to file Form
8023 to make a valid section 338 election
that have not filed Form 8023 by its due
date).

#### Sec. 9 January 2, 2015

.02 Section 442 .- Change of Annual
Accounting Period .- All requests for a
change in annual accounting period where
the Service has provided an automatic
change procedure for obtaining such a
change in annual accounting period. See
Rev. Proc. 2002-39, 2002-1 C.B. 1046
(general procedures for prior approval), as
clarified and modified by Notice 2002-72,
2002-2 C.B. 843, and modified by Rev.
Proc. 2003-34, 2003-1 C.B. 856; Rev.
Proc. 2006-45, 2006-2 C.B. 851 (certain
corporations), as clarified and modified by
Rev. Proc. 2007-64, 2007-2 C.B. 818;
Rev. Proc. 2006-46, 2006-2 C.B. 859
(partnership, S corporation, personal ser-
vice corporation, or trust); and Rev. Proc.
2003-62, 2003-2 C.B. 299 (individual
seeking a calendar year).

.03 Section 446 .- General Rule for
Methods of Accounting .- Except as oth-
erwise specifically provided in applicable
procedures published in the Internal Rev-
enue Bulletin, all requests for a change in
method of accounting where the Service
has provided an automatic change request
procedure for obtaining such a change in
method of accounting. See the automatic
change request procedures listed in sec-
tion 9.22 of Rev. Proc. 2015-1, this Bul-
letin.

.04 Section 461 .- General Rule for
Taxable Year of Deduction .- All requests
for making or revoking an election under
§ 461 where the Service has provided an
administrative procedure for making or
revoking such an election under § 461.
See Rev. Proc. 92-29, 1992-1 C.B. 748
(dealing with the use of an alternative
method for including in basis the esti-
mated cost of certain common improve-
ments in a real estate development).

.05 Section 704(c) .- Contributed
Property .- Requests from Qualified Mas-
ter Feeder Structures, as described in sec-
tion 4.02 of Rev. Proc. 2001-36, 2001-1
C.B. 1326, for permission to aggregate
built-in gains and losses from contributed
qualified financial assets for purposes of
making § 704(c) and reverse § 704(c)
allocations.

.06 Section 1362 .- Election; Revoca-
tion; Termination .- All situations in
which an S corporation qualifies for auto-
matic late S corporation relief under Rev.
Proc. 2013-30, 2013-36 I.R.B. 173.

.07 Sections 1502, 1504, and 1552 .-
Regulations; Definitions; Earnings and
Profits .- All requests for waivers or con-
sents on consolidated return issues where
the Service has provided an administrative
procedure for obtaining such waivers or
consents on consolidated return issues.
See Rev. Proc. 2014-24, 2014-13 I.R.B.
879 (certain subsidiary members treated
as if they filed a Form 1122 even though
they failed to do so); Rev. Proc. 2002-32,
2002-1 C.B. 959, as modified by Rev.
Proc. 2006-21, 2006-1 C.B. 1050 (cer-
tain corporations seeking reconsolidation
within the 5-year period specified in
§ 1504(a)(3)(A)); Rev. Proc. 90-39,
1990-2 C.B. 365, as modified by Rev.
Proc. 2006-21, and as clarified by Rev.
Proc. 90-39A, 1990-2 C.B. 367 (certain
affiliated groups of corporations seeking,
for earnings and profits determinations, to
make an election or a change in their
method of allocating the group's consoli-
dated Federal income tax liability); and
Rev. Proc. 89-56, 1989-2 C.B. 643, as
modified by Rev. Proc. 2006-21 (certain
affiliated groups of corporations seeking
to file a consolidated return in which
member(s) of the group use a 52-53 week
taxable year).

.08 Section 7701 .- Definitions .- All
requests for an extension of time under
§ 301.9100-3 within which to make an
entity classification election under
§ 301.7701-3 where the Service has pro-
vided an administrative procedure to seek
such an extension. See Rev. Proc. 2009-
41, 2009-39 I.R.B. 439 (extension auto-
matically granted to certain persons re-
quired to file Form 8832 to make a valid
entity classification election that have not
filed Form 8832 by its due date).

# SECTION 7. EFFECT ON OTHER REVENUE PROCEDURES

Rev. Proc. 2014-3, 2014-1 I.R.B. 111
is superseded.

# SECTION 8. EFFECTIVE DATE

This revenue procedure is effective
January 2, 2015.

# SECTION 9. PAPERWORK REDUCTION ACT

The collections of information con-
tained in this revenue procedure have

been reviewed and approved by the Office
of Management and Budget in accordance
with the Paperwork Reduction Act (44
U.S.C. § 3507) under control number
1545-1522.

An agency may not conduct or spon-
sor, and a person is not required to re-
spond to, a collection of information un-
less the collection of information displays
a valid control number.

The collections of information in this
revenue procedure are in sections 2.03 and
3.01(48).

This information is required to evalu-
ate whether the request for a letter ruling
or determination letter is not covered by
the provisions of this revenue procedure.
The collections of information are re-
quired to obtain a letter ruling or determi-

nation letter. The likely respondents are
businesses or other for-profit institutions.

The estimated total annual reporting
and/or recordkeeping burden of this reve-
nue procedure, and Rev. Proc. 2015-1,
this Bulletin is 305,540 hours.

The estimated annual burden per re-
spondent/recordkeeper varies from 1 hour
to 200 hours, depending on individual cir-
cumstances, with an estimated average
burden of 80 hours. The estimated number
of respondents and/or record keepers is
3,825.

The estimated annual frequency of re-
sponses is on occasion.

Books or records relating to a collec-
tion of information must be retained as
long as their contents may become mate-
rial 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 Jean Broderick of the Office
of the Associate Chief Counsel (Corpo-
rate). For further information about this
revenue procedure, please contact Ms.
Broderick at (202) 317-6848 (not a toll-
free call), or call the associate office con-
tacts listed in section 10.07 of Rev. Proc.
2015-1, this Bulletin. See section 3 of
Rev. Proc. 2015-1 to determine which
associate office has jurisdiction over a
particular issue.

## Rev. Proc. 2015-4

TABLE OF CONTENTS

SECTION 1. WHAT IS THE PURPOSE OF THIS REVENUE PROCEDURE?

147

SECTION 2. WHAT CHANGES HAVE BEEN MADE TO REV. PROC. 2014-4?

147

SECTION 3. IN WHAT FORM IS GUIDANCE PROVIDED BY THE SERVICE?

149

.01 In general

149

.02 Letter ruling

149

.03 Closing agreement

149

.04 Determination letter

149

.05 Opinion letter

150

.06 Information letter

150

.07 Revenue ruling

150

.08 Oral advice

150

(1) No oral rulings and no written rulings in response to oral requests

150

(2) Discussion possible on substantive issues

150

(3) Oral guidance is advisory only, and the Service is not bound by it

151

.09 Nonbank trustee requests

151

.10 Compliance Statement

151

.11 Advisory letter

152

SECTION 4. ON WHAT ISSUES MAY TAXPAYERS REQUEST WRITTEN GUIDANCE UNDER THIS PROCEDURE?

152

SECTION 5. ON WHAT ISSUES MUST WRITTEN GUIDANCE BE REQUESTED UNDER DIFFERENT PROCEDURES?

152

.01 Determination letters

152

.02 Master and prototype plans and volume submitter plans and prototype plans

152

.03 Employee Plans Compliance Resolution System

152

.04 Chief Counsel

152

.05 Alcohol, tobacco, and firearms taxes

153

SECTION 6. UNDER WHAT CIRCUMSTANCES DOES TE/GE ISSUE LETTER RULINGS?

153

.01 In employee plans matters

153

.02 In exempt organizations matters

153

.03 In employee plans qualifications matters

153

.04 Request for extension of time for making an election or for other relief under § 301.9100-1 of the Procedure and Administration Regulations

154

.05 Issuance of an employee plans letter ruling before the issuance of a regulation or other published guidance

154

.06 Issues in prior return

154

.07 Generally not to business associations or groups

155

.08 Generally not to foreign governments

155

.09 Generally not on federal tax consequences of proposed legislation

155

SECTION 7. UNDER WHAT CIRCUMSTANCES DOES EP OR EO DETERMINATIONS ISSUE DETERMINATION LETTERS?

155

.01 Circumstances under which determination letters are issued

155

.02 In general

155

.03 In employee plans matters

155

.04 In exempt organizations matters

155

.05 Circumstances under which determination letters are not issued

156

.06 Requests involving returns already filed

157

.07 Attach a copy of determination letter to taxpayer's return

157

.08 Review of determination letters

157

SECTION 8. UNDER WHAT CIRCUMSTANCES DOES THE SERVICE HAVE DISCRETION TO ISSUE

LETTER RULINGS AND DETERMINATION LETTERS?

157

.01 Ordinarily not in certain areas because of factual nature of the problem

157

.02 No "comfort" letter rulings

157

.03 Not on alternative plans or hypothetical situations

157

.04 Ordinarily not on part of an integrated transaction

157

.05 Not on partial terminations of employee plans

157

.06 Law requires letter ruling

157

.07 Issues under consideration by PBGC or DOL

158

.08 Determination letters

158

.09 Domicile in a foreign jurisdiction

158

SECTION 9. WHAT ARE THE GENERAL INSTRUCTIONS FOR REQUESTING LETTER RULINGS

AND DETERMINATION LETTERS?

158

.01 In general

158

.02 Certain information required in all requests

158

(1) Complete statement of facts and other information

158

(2) Copies of all contracts, wills, deeds, agreements, instruments, plan documents, and other documents

159

(3) Analysis of material facts.

159

(4) Statement regarding whether same issue is in an earlier return

159

(5) Statement regarding whether same or similar issue was previously ruled on or requested, or is currently pending

160

(6) Statement of supporting authorities

160

(7) Statement of contrary authorities

160

(8) Statement identifying pending legislation

160

(9) Statement identifying information to be deleted from copy of letter ruling or determination letter for public inspection

160

(10) Signature by taxpayer or authorized representative

162

(11) Authorized representatives

162

(12) Power of attorney and declaration of representative.

163

(13) Penalties of perjury statement

164

(14) Applicable user fee

164

(15) Number of copies of request to be submitted

164

(16) Sample format for a letter ruling request

165

(17) Checklist for letter ruling requests.

165

.03 Additional information required in certain circumstances

165

(1) To request separate letter rulings for multiple issues in a single situation

165

(2) Recipient of original of letter ruling or determination letter

165

(3) To request expedited handling

165

(4) To receive a letter ruling or submit a request for a letter ruling by facsimile transmission (fax)

166

(5) To request a conference

167

.04 Address to send the request

167

(1) Requests for letter rulings

167

(2) Requests for information letters

167

(3) Requests for determination letters

167

.05 Pending letter ruling requests

168

.06 When to attach letter ruling to return

168

.07 How to check on status of request

168

.08 Request may be withdrawn or EP or EO Rulings and Agreements may decline to issue letter ruling

168

.09 Compliance with Treasury Department Circular No. 230

168

SECTION 10. WHAT SPECIFIC, ADDITIONAL PROCEDURES APPLY TO CERTAIN REQUESTS?

169

.01 In general

169

.02 Exempt Organizations

169

.03 Employee Plans

169

SECTION 11. HOW DOES EP RULINGS AND AGREEMENTS HANDLE LETTER RULING REQUESTS?

169

.01 In general

169

.02 Is not bound by informal opinion expressed

169

.03 Tells taxpayer if request lacks essential information during initial contact.

170

.04 Requires prompt submission of additional information requested after initial contact

170

.05 Near the completion of the ruling process, advises taxpayer of conclusions and, if the Service will rule adversely, offers the taxpayer the opportunity to withdraw the letter ruling request

171

.06 May request draft of proposed letter ruling near the completion of the ruling process

171

SECTION 12. HOW ARE CONFERENCES SCHEDULED?

171

.01 Schedules a conference if requested by taxpayer

171

.02 Permits taxpayer one conference of right

171

.03 Disallows verbatim recording of conferences

172

.04 Makes tentative recommendations on substantive issues

172

.05 May offer additional conferences

172

.06 Requires written confirmation of information presented at conference

172

.07 May schedule a pre-submission conference

172

.08 Under limited circumstances, may schedule a conference to be held by telephone

173

.09 Conference rules for EO determination letters not subject to § 7428 or § 501 or § 521

173

SECTION 13. WHAT EFFECT WILL A LETTER RULING HAVE?

173

.01 May be relied on subject to limitations

173

.02 Will not apply to another taxpayer

173

.03 Will be used by the Director, EP or EO Examinations in examining the taxpayer's return

173

.04 May be revoked or modified if found to be in error

174

.05 Letter ruling revoked or modified based on material change in facts applied retroactively

174

.06 Not otherwise generally revoked or modified retroactively

174

.07 Retroactive effect of revocation or modification applied only to a particular transaction

175

.08 Retroactive effect of revocation or modification applied to a continuing action or series of actions

175

.09 May be retroactively revoked or modified when transaction is completed without reliance on the letter ruling

175

.10 Taxpayer may request that retroactivity be limited

175

(1) Request for relief under § 7805(b) must be made in required format

175

(2) Taxpayer may request a conference on application of § 7805(b)

176

SECTION 14. WHAT EFFECT WILL A DETERMINATION LETTER HAVE?

176

.01 Has same effect as a letter ruling

176

.02 Taxpayer may request that retroactive effect of revocation or modification be limited

177

(1) Request for relief under § 7805(b) must be made in required format

177

(2) Taxpayer may request a conference on application of § 7805(b)

177

(3) Taxpayer steps in exhausting administrative remedies

177

SECTION 15. UNDER WHAT CIRCUMSTANCES ARE MATTERS REFERRED?

177

.01 Requests for determination letters

177

.02 No-rule areas.

178

.03 Requests for letter rulings

178

SECTION 16. WHAT ARE THE GENERAL PROCEDURES APPLICABLE TO INFORMATION

LETTERS ISSUED BY THE SERVICE?

178

.01 Will be made available to the public

178

.02 Deletions made under the Freedom of Information Act

178

.03 Effect of information letters

178

SECTION 17. WHAT IS THE EFFECT OF THIS REVENUE PROCEDURE ON OTHER DOCUMENTS?

178

SECTION 18. EFFECTIVE DATE

178

SECTION 19. PAPERWORK REDUCTION ACT

179

DRAFTING INFORMATION

179

APPENDIX A-SAMPLE FORMAT FOR A LETTER RULING REQUEST

180

APPENDIX B-CHECKLIST FOR A LETTER RULING REQUEST.

182

APPENDIX C-ADDITIONAL CHECKLIST FOR ROTH IRA RECHARACTERIZATIONS.

185

SECTION 1. WHAT IS
THE PURPOSE OF THIS
REVENUE
PROCEDURE?

SECTION 2. WHAT
CHANGES HAVE BEEN
MADE TO REV. PROC.
2014-4?

This revenue procedure explains how the Internal Revenue Service gives guidance to
taxpayers on issues under the jurisdiction of the Commissioner, Tax Exempt and Government
Entities Division. It explains the kinds of guidance and the manner in which guidance is
requested by taxpayers and provided by the Service. A sample format of a request for a letter
ruling is provided in Appendix A.

.01 This revenue procedure is a general update of Rev. Proc. 2014-4, 2014-1 I.R.B. 125,
which contains the Service's general procedures for employee plans and exempt organizations
letter ruling requests. As a result of the realignment of the Tax Exempt and Government Entities
Division (TE/GE), the technical responsibility for issuing technical advice and letter rulings
shifted from EO Technical to the Office of Associate Chief Counsel (Tax Exempt and
Government Entities). EP Rulings and Agreements will continue to issue letter rulings only on
certain matters specified in Rev. Proc. 2015-4. Rev. Proc. 2015-1, this Bulletin, sets forth
procedures for obtaining letter rulings from the Office of Associate Chief Counsel, including
letter rulings relating to tax-exempt organizations, qualified retirement plans, and IRAs. Rev.
Proc. 2015-2, this Bulletin, sets forth procedures for requesting technical advice from the Office
of Associate Chief Counsel.

.02 In addition to minor revisions, such as updating citations to other revenue procedures, the
following changes have been made:

(1) References to Rev. Proc. 2014-5 have been replaced with references to Rev. Proc. 2015-2
to reflect that technical advice memoranda will be issued by the Office of Associate Chief
Counsel (Tax Exempt and Government Entities);

(2) Section 3 has been modified to change the headline from "Commissioner" to "Service;"

(3) Section 3.03 has been modified to clarify the definition of a closing agreement;

(4) Section 3.04 has been modified to clarify which offices may issue determination letters for
exempt organizations;

(5) Section 3.06 has been modified to state that EO will no longer issue information letters;

(6) Section 3.09 has been modified to update the address for Nonbank trustee requests;

(7) Section 4 has been modified to include references to Rev. Procs. 2015-1, 2015-5, 2015-9,
and 2015-10;

(8) Section 5.01 has been modified to include cross references for requests for determination
letters for exempt organizations;

(9) Section 5.03 has been deleted due to the transfer of technical work from TE/GE to the
Office of Associate Chief Counsel (Tax Exempt and Government Entities);

(10) Section 6.01 has been modified to reflect the subject matters that EP Rulings and
Agreements will issue rulings on due to the transfer of technical work from TE/GE to the Office
of Associate Chief Counsel (Tax Exempt and Government Entities);

(11) Section 6.02 has been modified to state that Exempt Organizations no longer issues letter
rulings;

(12) Section 6.03 has been modified to clarify the subject matters that are subject to a
determination letter that is issued by Employee Plans;

(13) Section 6.04 has been modified to remove the reference to applications for recognition
of exemption;

(14) Sections 6.05 to 6.09 have been modified to reflect that Exempt Organizations will no
longer issue letter rulings due to the transfer of technical work from TE/GE to the Office of
Associate Chief Counsel (Tax Exempt and Government Entities);

(15) Section 6.10 to 6.18 have been deleted due to the transfer of technical work from TE/GE
to the Office of Associate Chief Counsel (Tax Exempt and Government Entities);

(16) Sections 7.05 and 7.08 have been modified by changing EP or EO Technical to the Office
of Associate Chief Counsel (Tax Exempt and Government Entities);

(17) Sections 8.08, 8.11 through 8.17 have been deleted to reflect the transfer of technical
work from TE/GE to the Office of Associate Chief Counsel (Tax Exempt and Government
Entities);

(18) Sections 9.02(5)(c) and (d) have been modified by the addition of the Office of Associate
Chief Counsel (Tax Exempt and Government Entities);

(19) Section 9.02(10) has been modified to refer to Form 1023-EZ;

(20) Section 9.03(3) has been modified to state that certain EO Determination Letter requests
are not eligible for expedited handling;

(21) Section 9.04 has been modified to change the mailing addresses and to delete the
addresses for EO letter ruling requests;

(22) Section 9.05 has been modified to expand the circumstances under which a taxpayer must
notify the Service about the examination of an issue in prior year's return;

(23) Sections 9.05 to 9.10 have been modified to delete references to EO Technical and EO
Examination;

(24) Section 10.02 has been modified by adding a reference to Rev. Proc. 2014-11;

(25) Section 10.03 has been modified by deleting references to Rev. Procs. 94-42, 2004-15;
79-62, and 2011-44 due to the transfer of technical work from TE/GE to the Office of
Associate Chief Counsel (Tax Exempt and Government Entities);

(26) Section 11.03 has been modified by deleting the reference to EO Technical;

(27) Section 13.03 has been modified to reflect that the Office of Associate Chief Counsel will
handle a request for technical advice pursuant to Rev. Proc. 2015-2;

(28) Sections 13.04 to 13.10 have been modified to clarify the procedures for revoking or
modifying a letter ruling, and to further provide that a request for relief under § 7805(b) are

under the jurisdiction of the Office of Associate Chief Counsel (Tax Exempt and Government
Entities);

(29) Sections 14.01 and 14.02 have been modified to clarify the procedures for revoking or
modifying a determination letter, and to further provide that a request for technical advice and
a request for relief under § 7805(b) are under the jurisdiction of the Office of Associate Chief
Counsel;

(30) Sections 15.01 to 15.03 have been modified by deleting the references to EO Determi-
nations and EO Technical;

(31) Appendix A has been modified by updating the mailing address; and

(32) Appendices D and E have been deleted due to the transfer of technical work from TE/GE
to the Office of Associate Chief Counsel (Tax Exempt and Government Entities).

SECTION 3. IN WHAT
FORM IS GUIDANCE
PROVIDED BY THE
SERVICE?

In general

.01 The Service provides guidance in the form of letter rulings, closing agreements, compli-
ance statements, determination letters, opinion letters, advisory letters, information letters,
revenue rulings, and oral advice.

## Letter ruling

.02 A "letter ruling" is a written statement issued to a taxpayer by the Service's Employee
Plans Rulings and Agreements office that interprets and applies the tax laws or any nontax laws
applicable to employee benefit plans to the taxpayer's specific set of facts. Once issued, a letter
ruling may be revoked or modified for any number of reasons, as explained in section 13 of this
revenue procedure, unless it is accompanied by a "closing agreement."

## Closing agreement

.03 A "closing agreement" is a final agreement between the Service and a taxpayer on a
specific issue or liability. It is entered into under the authority in § 7121 and is final unless fraud,
malfeasance, or misrepresentation of a material fact can be shown.

A closing agreement may be entered into when it is advantageous to have the matter
permanently and conclusively closed, or when a taxpayer can show that there are good reasons
for an agreement and that making the agreement will not prejudice the interests of the
Government. In appropriate cases, taxpayers may be asked to enter into a closing agreement as
a condition to the issuance of a letter ruling.

If, in a single case, a closing agreement is requested for each person in a class of taxpayers,
separate agreements are entered into only if the class consists of 25 or fewer taxpayers.
However, if the issue and holding are identical for the class and there are more than 25 taxpayers
in the class, a "mass closing agreement" will be entered into with the taxpayer who is authorized
by the others to represent the class.

In appropriate cases, a closing agreement may be made with sponsors of master and prototype
plans.

A closing agreement may also be entered into with respect to retirement plan failures
corrected under the Employee Plans Compliance Resolution System (EPCRS), as set forth in
Rev. Proc. 2013-12, 2013-4 I.R.B. 313, as updated.

## Determination letter

.04 A "determination letter" is a written statement issued to a taxpayer by the Service's EO
Determinations or EP Determinations office that applies the principles and precedents previ-
ously announced to a specific set of facts. It is issued only when a determination can be made
based on clearly established rules in the statute, a tax treaty, or the regulations, or based on a
conclusion in a revenue ruling, opinion, or court decision published in the Internal Revenue
Bulletin that specifically answers the questions presented.

The Manager, EP Determinations, issues determination letters involving §§ 401, 403(a), 409,
and 4975(e)(7) as provided in Rev. Proc. 2015-6, this Bulletin.

Opinion letter

The Director, EO Rulings and Agreements, or an Appeals Office issues determination letters involving §§ 501 and 521 as provided in Rev. Proc. 2015-5, this Bulletin and Rev. Proc. 2015-9, next Bulletin. The Director, EO Rulings and Agreements, or an Appeals Office issues determination letters involving §§ 509(a), 4940(d)(2), and 4942(j)(3), as provided in Rev. Proc. 2015-10, next Bulletin.

.05 An "opinion letter" is a written statement issued by the Service to a sponsor or M&amp;P mass submitter as to the acceptability of the form of an M&amp;P plan under § 401(a) or § 403(a), and, in the case of a master plan, the acceptability of the master trust under § 501(a), or as to the conformance of a prototype trust, custodial account, or individual annuity with the requirements of § 408(a), (b), (k) or (p) or 408A, as applicable. An opinion letter will also be issued as to the acceptability of the form of a prototype plan under § 403(b). See Rev. Proc. 2011-49, 2011-44 I.R.B. 608, and Rev. Proc. 2013-22, 2013-18 I.R.B. 985. See also Rev. Proc. 87-50, 1987-2 C.B. 647; Rev. Proc. 91-44, 1991-2 C.B. 733; Rev. Proc. 92-38, 1992-1 C.B. 859; Rev. Proc. 97-29, 1997-1 C.B. 689; Rev. Proc. 98-59, 1998-2 C.B. 727; Rev. Proc. 2002-10, 2002-1 C.B. 401, Rev. Proc. 2010-48, 2010-50, I.R.B. 828, as modified by Rev. Proc. 2015-8, this Bulletin.

Information letter

.06 An "information letter" is a statement issued by the Director, Employee Plans Rulings and Agreements. It calls attention to a well-established interpretation or principle of tax law (including a tax treaty) without applying it to a specific set of facts. To the extent resources permit, an information letter may be issued if the taxpayer's inquiry indicates a need for general information or if the taxpayer's request does not meet the requirements of this revenue procedure and the Service thinks general information will help the taxpayer. The taxpayer should provide a daytime telephone number with the taxpayer's request for an information letter. Requests for information letters should be sent to the address stated in section 9.04(2) of this revenue procedure. The requirements of section 9.02 of this revenue procedure are not appli- cable to information letters. An information letter is advisory only and has no binding effect on the Service.

Revenue ruling

.07 A "revenue ruling" is an interpretation by the Service that has been published in the Internal Revenue Bulletin. It is the conclusion of the Service on how the law is applied to a specific set of facts. Revenue rulings are published for the information and guidance of taxpayers, Service personnel, and other interested parties.

Because each revenue ruling represents the conclusion of the Service regarding the applica- tion of law to the entire statement of facts involved, taxpayers, Service personnel, and other concerned parties are cautioned against reaching the same conclusion in other cases unless the facts and circumstances are substantially the same. They should consider the effect of subse- quent legislation, regulations, court decisions, revenue rulings, notices, and announcements. See Rev. Proc. 89-14, 1989-1 C.B. 814, as amended by Announcement 89-36, 1989-11 I.R.B. 32, which states the objectives of and standards for the publication of revenue rulings and revenue procedures in the Internal Revenue Bulletin.

Oral advice

.08 Oral guidance is advisory only, and the Service is not bound to recognize it. (1) No oral rulings and no written rulings in response to oral requests.

The Service does not orally issue letter rulings or determination letters, nor does it issue letter rulings or determination letters in response to oral requests from taxpayers. Service employees ordinarily will discuss with taxpayers or their representatives inquiries about whether the Service will rule on particular issues and about procedural matters regarding the submission of requests for letter rulings or determination letters, or requests for recognition of exempt status for a particular organization. (2) Discussion possible on substantive issues.

At the discretion of the Service and as time permits, Service employees may also discuss
substantive issues with taxpayers or their representatives. Such a discussion will not bind the
Service or the Office of Associate Chief Counsel, and it cannot be relied upon as a basis for
obtaining retroactive relief under the provisions of § 7805(b).

Service employees who are not directly involved in the examination, appeal, or litigation of
particular substantive tax issues will not discuss those issues with taxpayers or their represen-
tatives unless the discussion is coordinated with Service employees who are directly involved.
The taxpayer or the taxpayer's representative ordinarily will be asked whether an oral request
for advice or information relates to a matter pending before another office of the Service or
before a Federal court.

If a tax issue is not under examination, in appeals, or in litigation, the tax issue may be
discussed even though the issue is affected by a nontax issue pending in litigation.

A taxpayer may seek oral technical guidance from a taxpayer service representative in a Field
office or Service Center when preparing a return or report.

The Service does not respond to letters seeking to confirm the substance of oral discussions,
and the absence of a response to such a letter is not a confirmation

(3) Oral guidance is advisory only, and the Service is not bound by it.

Oral guidance is advisory only, and the Service is not bound by it, for example, when
examining the taxpayer's return.

## Nonbank trustee requests

.09 In order to receive approval to act as a nonbank custodian of plans qualified under
§ 401(a) or accounts described in § 403(b)(7), and as a nonbank trustee or nonbank custodian
for individual retirement arrangements (IRAs) established under § 408(a), (b), or (h), or for a
Coverdell educational savings account established under § 530, or an Archer medical savings
account established under § 220, or a Health Savings Account under § 223, a written application
must be filed that demonstrates how the applicant complies with the requirements of § 1.408-
2(e)(2) through (5) of the Income Tax Regulations.

The Service must have clear and convincing proof in its files that the requirements of the
regulations are met. If there is a requirement that the applicant feels is not applicable, the
application must provide clear and convincing proof that such requirement is not germane to the
manner in which the applicant will administer any trust or custodial account. See § 1.408-
2(e)(6).

The completed application must be sent to:

Internal Revenue Service
Commissioner, TE/GE
Attn: Nonbank Trustee
Stop 31
P.O. Box 12192
Covington, KY 41012-0192

Section 6.01(7) of Rev. Proc. 2015-8 imposes a user fee for anyone applying for approval to
become a nonbank trustee or custodian.

## Compliance Statement

.10 A "compliance statement" is a binding written agreement between the Service and a
taxpayer with respect to certain retirement plan failures identified by a taxpayer in a voluntary
submission under the Voluntary Correction Program of the EPCRS (see Rev. Proc. 2013-12, as
updated). The compliance statement addresses the failures identified in the VCP submission, the
terms of correction, including any revision of administrative procedures, and the time period
within which proposed corrections must be implemented. A compliance statement is condi-
tioned on (i) there being no misstatement or omission of material facts in connection with the

Sec. 3.10

submission, and (ii) the implementation of the specific corrections and satisfaction of any other conditions in the compliance statement. See Rev. Proc. 2013-12, as updated.

Advisory Letter

.11 An "advisory letter" is a written statement issued by the Service's EP Determinations office to a VS practitioner or VS mass submitter as to the acceptability of the form of a specimen plan and any related trust or custodial account under § 401(a) or § 403(a), or the form of a specimen plan under § 403(b). See Rev. Proc. 2011-49, 2011-44 I.R.B. 608, and Rev. Proc. 2013-22, 2013-18 I.R.B. 985.

SECTION 4. ON WHAT ISSUES MAY TAXPAYERS REQUEST WRITTEN GUIDANCE UNDER THIS PROCEDURE? SECTION 5. ON WHAT ISSUES MUST WRITTEN GUIDANCE BE REQUESTED UNDER DIFFERENT PROCEDURES?

Taxpayers may request letter rulings, information letters and closing agreements on issues within the jurisdiction of the Commissioner, Tax Exempt and Government Entities Division under this revenue procedure. The Service issues letter rulings to answer written inquiries of individuals and organizations about their status for tax purposes and the tax effects of their acts or transactions when appropriate in the interest of sound tax administration. Taxpayers also may request determination letters that relate to Code sections under the jurisdiction of the Commissioner, Tax Exempt and Government Entities Division. See Rev. Proc. 2015-6, this Bulletin. See also Rev. Proc. 2015-5, this Bulletin, Rev. Proc. 2015-9 and Rev. Proc. 2015-10, next Bulletin. Note that issues involving exempt organizations and certain issues involving employee plans and government entities fall under the jurisdiction of the Office of the Associate Chief Counsel (Tax Exempt and Government Entities). See section 5.04 below and Rev. Proc. 2015-1, this Bulletin.

Determination letters

.01 The procedures for obtaining determination letters involving §§ 401, 403(a), 409, and 4975(e)(7), and the status for exemption of any related trusts or custodial accounts under § 501(a) are contained in Rev. Proc. 2015-6, this Bulletin. The procedures for obtaining determination letters involving the initial qualification for exempt status of organizations described in §§ 501 and 521 are contained in Rev. Proc. 2015-5, this Bulletin, and Rev. Proc. 2015-9, next Bulletin. The procedures for obtaining determination letters involving classifica- tion and reclassification of private foundation status are contained in Rev. Proc. 2015-10, next Bulletin.

Master and prototype plans, volume submitter plans, and prototype plans

.02 The procedures for obtaining opinion letters for master and prototype plans and any related trusts or custodial accounts under §§ 401(a), 403(a) and 501(a) and advisory letters for volume submitter plans are contained in Rev. Proc. 2011-49. The procedures for obtaining opinion letters for prototype trusts, custodial accounts or annuities under § 408(a), (b), (k) or (p) or 408A, are contained in Rev. Proc. 87-50; Rev. Proc. 91-44; Rev. Proc. 92-38; Rev. Proc. 97-29; Rev. Proc. 98-59; Rev. Proc. 2002-10, and Rev. Proc. 2010-48, as modified by Rev. Proc. 2015-8. The procedures for obtaining opinion and advisory letters for prototype plans and volume submitter plans under § 403(b) are contained in Rev. Proc. 2013-22.

Employee Plans Compliance Resolution System

.03 The procedures for obtaining compliance statements, etc., for certain failures of plans qualified under § 401(a), § 403(b) plans, SEPs and § 457 plans under the EPCRS are contained in Rev. Proc. 2013-12, as updated.

Chief Counsel

.04 The procedures for obtaining letter rulings, closing agreements, and information letters on issues within the jurisdiction of the Chief Counsel are contained in Rev. Proc. 2015-1, this Bulletin, including tax issues involving interpreting or applying the federal tax laws and income tax treaties relating to international transactions.

Alcohol, tobacco, and firearms taxes

.05 The procedures for obtaining letter rulings, etc., that apply to federal alcohol, tobacco, and firearms taxes under subtitle E of the Internal Revenue Code are under the jurisdiction of the Alcohol and Tobacco Tax and Trade Bureau within the Treasury Department.

SECTION 6. UNDER WHAT CIRCUMSTANCES DOES TE/GE ISSUE LETTER RULINGS?

In employee plans matters

.01 In employee plans matters, the Employee Plans Rulings and Agreements office issues letter rulings on proposed transactions and on completed transactions either before or after the return is filed. Employee Plans Rulings and Agreements issues letter rulings involving: (1) § 72 (involving computation of the exclusion ratio only);

(2) Changes in funding methods and actuarial assumptions under §§ 412, 430, 431, or 433;

§ 4971(f)(4); (3) Waiver of the liquidity shortfall (as that term is defined in § 430(j)(4)) excise tax under

(4) Waiver of the 60-day rollover requirement under sections 402(c)(3) and 408(d)(3) (See Rev. Proc. 2003-16, 2003-4 I.R.B. 359);

(5) A change in the plan year of an employee retirement plan and the trust year of a tax-exempt employees' trust (See Rev. Proc. 87-27, 1987-1 C.B. 769);

(6) The tax consequences of prohibited transactions under §§ 503 and 4975;

(7) Whether individual retirement accounts established by employers or associations of employees meet the requirements of § 408(c). (See Rev. Proc. 87-50; Rev. Proc. 92-38; Rev. Proc. 98-59; Rev. Proc. 2002-10, and Rev. Proc. 2010-48, as modified by Rev. Proc. 2015-8);

(8) Requests for relief under § 301.9100 to recharacterize a Roth IRA (See section 6.04 below with respect to elections under § 301.9100-1 of the Procedure and Administration Regulations);

(9) Requests by the plan sponsor of a multiemployer pension plan for approval of an extension of an amortization period in accordance with § 431(d) of the Code (See Rev. Proc. 2010-52, 2010-52 I.R.B. 927.);

(10) Requests for the return to the employer of certain nondeductible contributions (See Rev. Proc. 90-49, 1990-2 C.B. 620, as modified by Rev. Proc. 2015-8, this Bulletin); and

(11) Requests for approval of the use of a substitute mortality table in accordance with § 430(h)(3)(C) (See Rev. Proc. 2008-62, 2008-42 I.R.B. 935).

Procedures for requesting letter rulings under the jurisdiction of the Chief Counsel are contained in Rev. Proc. 2015-1, this Bulletin,

In exempt organizations matters

.02 Except as otherwise provided, in exempt organizations matters, the Exempt Organi- zations office issues no letter rulings. All letter rulings formerly issued by the Exempt Organizations Office are issued by the Office of Associate Chief Counsel (Tax Exempt and Government Entities). See Rev. Proc. 2015-1, this Bulletin. The Exempt Organizations office, however, does respond to requests for a change in method of accounting involving exempt organizations. See Rev. Proc. 97-27, 1997-1 C.B. 680 and Rev. Proc. 2011-14, 2011-4 I.R.B. 330.

In employee plans qualification matters

.03 The Employee Plans Rulings and Agreements office ordinarily will not issue letter rulings on matters involving a plan's qualified status under §§ 401 through 420 and § 4975(e)(7). These

matters are generally handled by the Employee Plans Determinations program as provided in
Rev. Proc. 2015-6, this Bulletin, Rev. Proc. 93-10 and Rev. Proc. 93-12.

Request to Employee Plans
for extension of time for
making an election or for
other relief under
§ 301.9100-1 of the
Procedure and
Administration Regulations

.04 With respect to recharacterization of a Roth IRA, Employee Plans Rulings and Agree-
ments will consider a request for an extension of time for making an election or other application
for relief under § 301.9100-1 of the Procedure and Administration Regulations even if
submitted after the return covering the issue presented in the § 301.9100-1 request has been
filed and even if submitted after an examination of the return has begun or after the issues in the
return are being considered by an appeals office or a federal court. In such a case, EP Rulings
and Agreements will notify the Director, EP Examinations.

Section 301.9100-1 requests, even those submitted after the examination of the taxpayer's
return has begun, are letter ruling requests and therefore should be submitted pursuant to this
revenue procedure, and require payment of the applicable user fee, referenced in section
9.02(14) of this revenue procedure. In addition, the taxpayer must include the information
required by § 301.9100-3(e).

However, an election made pursuant to § 301.9100-2 is not a letter ruling and does not
require payment of any user fee. See § 301.9100-2(d). Such an election pertains to an automatic
extension of time under § 301.9100-1.

.05 Unless the issue is covered by section 8 of this procedure, a letter ruling may be issued
before the issuance of a temporary or final regulation or other published guidance that interprets
the provisions of any act under the following conditions:

Issuance of an employee
plans letter ruling before
the issuance of a regulation
or other published
guidance

(1) Answer is clear or is reasonably certain. If the letter ruling request presents an issue for
which the answer seems clear by applying the statute to the facts or for which the answer seems
reasonably certain but not entirely free from doubt, a letter ruling will be issued.

(2) Answer is not reasonably certain. The Service will consider all letter ruling requests and
use its best efforts to issue a letter ruling even if the answer does not seem reasonably certain
where the issuance of a letter ruling is in the best interest of tax administration.

(3) Issue cannot be readily resolved before a regulation or any other published guidance
is issued. A letter ruling will not be issued if the letter ruling request presents an issue that
cannot be readily resolved before a regulation or any other published guidance is issued.

## Issues in prior return

.06 The Service ordinarily does not issue letter rulings if, at the time the ruling is requested,
the identical issue is involved in the taxpayer's return for an earlier period, and that issue:

(1) is being examined by the Director, EP Examinations;

(2) is being considered by an appeals office;

(3) is pending in litigation in a case involving the taxpayer or related taxpayer; or

(4) has been examined by the Director, EP Examinations or considered by an appeals office,
and the statutory period of limitation has not expired for either assessment or filing a claim for
a refund or a closing agreement covering the issue of liability has not been entered into by the
Director, EP Rulings and Agreements or by an appeals office.

If a return dealing with an issue for a particular year is filed while a request for a ruling on
that issue is pending, EP Rulings and Agreements will issue the ruling unless it is notified by
the taxpayer that an examination of that issue or the identical issue on an earlier year's return
has been started by the Director, EP Examinations. See section 9.05. However, even if an
examination has begun, EP Rulings and Agreements ordinarily will issue the letter ruling if the
Director, EP Examinations agrees, by memorandum, to permit the ruling to be issued.

Generally not to business associations or groups

.07 EP Rulings and Agreements does not issue letter rulings to business, trade, or industrial associations or to similar groups concerning the application of the tax laws to members of the group. But groups and associations may submit suggestions of generic issues that would be appropriately addressed in revenue rulings. See Rev. Proc. 89-14, 1989-1 C.B. 814, as amended by Announcement 89-36, 1989-11 I.R.B. 32, which states objectives of and standards for, the publication of revenue rulings and revenue procedures in the Internal Revenue Bulletin. EP Rulings and Agreements, however, may issue letter rulings to groups or associations on their own tax status or liability if the request meets the requirements of this revenue procedure.

Generally not to foreign governments

.08 EP Rulings and Agreements does not issue letter rulings to foreign governments or their political subdivisions about the U.S. tax effects of their laws. However, EP Rulings and Agreements may issue letter rulings to foreign governments or their political subdivisions on their own tax status or liability under U.S. law if the request meets the requirements of this revenue procedure.

Generally not on federal tax consequences of proposed legislation

.09 EP Rulings and Agreements does not issue letter rulings on a matter involving the federal tax consequences of any proposed federal, state, local, municipal, or foreign legislation.

SECTION 7. UNDER WHAT CIRCUMSTANCES DOES EP OR EO DETERMINATIONS ISSUE DETERMINATION LETTERS?

Circumstances under which determination letters are issued

.01 Employee Plans or Exempt Organizations Determinations issues determination letters only if the question presented is specifically answered by a statute, tax treaty, or regulation, or by a conclusion stated in a revenue ruling, opinion, or court decision published in the Internal Revenue Bulletin.

In general

.02 In employee plans matters, the EP Determinations office issues determination letters in response to taxpayers' written requests on completed transactions. However, see section 13.09 of this revenue procedure. A determination letter usually is not issued for a question concerning a return to be filed by the taxpayer if the same question is involved in a return under examination.

In situations involving continuing transactions, EP Rulings and Agreements or the Office of Associate Chief Counsel would issue a ruling covering future tax periods and periods for which a return had not yet been filed.

EP Determinations does not issue determination letters on the tax consequences of proposed transactions, except as provided in sections 7.03 and 7.04 below.

EP Determinations does not issue determination letters on plans under § 403(b).

Under no circumstances will EP Determinations issue a determination letter unless it is clearly shown that the request concerns a return that has been filed or is required to be filed.

In employee plans matters

.03 In employee plans matters, the Employee Plans Determinations office issues determina- tion letters on the qualified status of employee plans under §§ 401, 403(a), 409 and 4975(e)(7), and the exempt status of any related trust under § 501. See Rev. Proc. 2015-6, this Bulletin.

In exempt organizations matters

.04 In exempt organizations matters, the Exempt Organizations Determinations office issues determination letters involving:

(1) Initial qualification for exempt status of organizations described in §§ 501 and 521 to the extent provided in Rev. Proc. 2015-5, this Bulletin, and Rev. Proc. 2015-9, the next Bulletin (including reinstatement of organizations that have been automatically revoked pursuant to

Sec. 7.04
January 2, 2015

§ 6033(j) and subordinate organizations included in a group exemption letter that have been
revoked pursuant to that provision);

(2) Updated exempt status letter to reflect changes to an organization's name or address, or
to replace a lost exempt status letter, but not to approve or disapprove any completed transaction
or the effect of changes in activities on exempt status, except in the situations specifically listed
in paragraphs (3) through (14) below;

(3) Classification of private foundation status as provided in 2015-10, the next Bulletin;

(4) Reclassification of private foundation status, including operating foundation status de-
scribed in § 4942(j)(3) and exempt operating foundation status described in § 4940(d), as
provided in Rev. Proc. 2015-10, the next Bulletin;

(5) Recognition of unusual grants to certain organizations under §§ 170(b)(1)(A)(vi) and
509(a)(2);

(6) Requests for relief under § 301.9100-1 of the Procedure and Administration Regulations
in connection with applications for recognition of exemption;

(7) Terminations of private foundation status under § 507(b)(1)(B);

(8) Request for a determination that a public charity described in § 509(a)(3) is described in
§ 509(a)(3)(i), (ii), or (iii), including whether or not a Type III supporting organization is
functionally integrated. See Rev. Proc. 2015-10, the next Bulletin;

(9) Advance approval of certain set-asides described in § 4942(g)(2);

(10) Advance approval under § 4945(g) of organizations' grant making procedures;

(11) Advance approval of voter registration activities described in § 4945(f);

(12) Whether an organization is exempt from filing annual information returns under § 6033
as provided in Treas. Reg. § 1.6033-2(g)(1) and Rev. Procs. 95-48, 1995-2 C.B. 418, and
96-10, 1996-1 C.B. 577 (an organization that claims exemption from filing but is not on record
with the Service as having established such exemption, by way of a determination letter under
this section 7.04(12) or otherwise, may have its tax exempt status or determination letter revoked
pursuant to § 6033(j) if it fails to file annual information returns);

(13) Determination of foundation status under § 509(a)(3) of non-exempt charitable trusts
described in § 4947(a)(1), as provided in Rev. Proc. 2015-10, next Bulletin; and

(14) Government entity voluntary termination of § 501(c)(3) recognition (must include
documentation of tax-exempt status other than under § 501(a)).

Circumstances under
which determination letters
are not issued

.05 EP or EO Determinations will not issue a determination letter in response to any request
if-

(1) it appears that the taxpayer has directed a similar inquiry to the Office of Associate Chief
Counsel;

(2) the same issue involving the same taxpayer or a related taxpayer is pending in a case in
litigation or before an appeals office;

(3) the determination letter is requested by an industry, trade association, or similar group on
behalf of individual taxpayers within the group (other than subordinate organizations covered by
a group exemption letter); or

(4) the request involves an industry-wide problem.

Requests involving returns already filed

.06 A request received by the Service on a question concerning a return that is under examination will be, in general, considered in connection with the examination of the return. If a response is made to the request before the return is examined, it will be considered a tentative finding in any later examination of that return.

Attach a copy of determination letter to taxpayer's return

.07 A taxpayer who, before filing a return, receives a determination letter about any transaction that has been consummated and that is relevant to the return being filed should attach a copy of the determination letter to the return when it is filed.

Review of determination letters

.08 Determination letters issued under sections 7.02 through 7.04 of this revenue procedure are not generally reviewed by any other office of Employee Plans before they are issued. If a taxpayer believes that a determination letter of this type is in error, the taxpayer may ask EP or EO Determinations to reconsider the matter or to request technical advice from the Office of Associate Chief Counsel as explained in Rev. Proc. 2015-2, page XXX, this Bulletin. (1) In employee plans matters, the procedures for review of determination letters relating to the qualification of employee plans involving §§ 401 and 403(a) are provided in Rev. Proc. 2015-6.

(2) In exempt organizations matters, the procedures for the review of determination letters relating to the exemption from federal income tax of certain organizations under §§ 501 and 521 are provided in Rev. Proc. 2015-5, this Bulletin, and Rev. Proc. 2015-9, next Bulletin.

SECTION 8. UNDER WHAT CIRCUMSTANCES DOES THE SERVICE HAVE DISCRETION TO ISSUE LETTER RULINGS AND DETERMINATION LETTERS?

Ordinarily not in certain areas because of factual nature of the problem

.01 The Service ordinarily will not issue a letter ruling or determination letter in certain areas because of the factual nature of the problem involved or because of other reasons. The Service may decline to issue a letter ruling or a determination letter when appropriate in the interest of sound tax administration or on other grounds whenever warranted by the facts or circumstances of a particular case.

No "comfort" letter rulings

.02 No letter ruling will be issued with respect to an issue that is clearly and adequately addressed by statute, regulations, decision of a court of appropriate jurisdiction, revenue ruling, revenue procedure, notice or other authority published in the Internal Revenue Bulletin. Instead of issuing a letter ruling, the Service may, when it is considered appropriate and in the best interests of the Service, issue an information letter calling attention to well-established princi- ples of tax law.

Not on alternative plans or hypothetical situations

.03 A letter ruling or a determination letter will not be issued on alternative plans of proposed transactions or on hypothetical situations.

Ordinarily not on part of an integrated transaction

.04 The Service ordinarily will not issue a letter ruling on only part of an integrated transaction. If, however, a part of a transaction falls under a no-rule area, a letter ruling on other parts of the transaction may be issued.

Before preparing the letter ruling request, a taxpayer should call the office having jurisdiction for the matters on which the taxpayer is seeking a letter ruling to discuss whether the Service will issue a letter ruling on part of the transaction.

Not on partial terminations of employee plans

.05 The Service will not issue a letter ruling on the partial termination of an employee plan. Determination letters involving the partial termination of an employee plan may be issued.

Law requires a letter ruling

.06 The Service will issue a letter ruling on prospective or future transactions if the law or regulations require a determination of the effect of a proposed transaction for tax purposes.

Issues under consideration by PBGC or DOL

.07 A letter ruling or determination letter relating to an issue that is being considered by the Pension Benefit Guaranty Corporation (PBGC) or the Department of Labor (DOL), and involves the same taxpayer, shall be issued at the discretion of the Service.

Determination letters

.08 See section 3.02 of Rev. Proc. 2015-6 for employee plans matters on which determination letters will not be issued.

Domicile in a foreign jurisdiction

.09

(1) The Service is ordinarily unwilling to rule in situations where a taxpayer or a related party is domiciled or organized in a foreign jurisdiction with which the United States does not have an effective mechanism for obtaining tax information with respect to civil tax examinations and criminal investigations, which would preclude the Service from obtaining information located in such jurisdiction that is relevant to the analysis or examination of the tax issues involved in the ruling request.

(2) The provisions of subsection 8.10(1) above shall not apply if the taxpayer or affected related party (a) consents to the disclosure of all relevant information requested by the Service in processing the ruling request or in the course of an examination to verify the accuracy of the representations made and to otherwise analyze or examine the tax issues involved in the ruling request, and (b) waives all claims to protection of bank and commercial secrecy laws in the foreign jurisdiction with respect to the information requested by the Service.

In the event the taxpayer's or related party's consent to disclose relevant information or to waive protection of bank or commercial secrecy is determined by the Service to be ineffective or of no force and effect, then the Service may retroactively rescind any ruling rendered in reliance on such consent.

SECTION 9. WHAT ARE THE GENERAL INSTRUCTIONS FOR REQUESTING LETTER RULINGS AND DETERMINATION LETTERS?

In general

.01 This section explains the general instructions for requesting letter rulings and determi- nation letters on all matters, except for organizations filing under Revenue Procedure 2015-5, this Bulletin. Requests for letter rulings and determination letters require the payment of the applicable user fee discussed in section 9.02(14) of this revenue procedure. In addition to payment of the applicable user fee, exempt organizations determinations requests described in section 7.04(3), (4), (5), (7), (8), (9), (10), (11), (12), and (13) of this revenue procedure must be accompanied by Form 8940.

Specific and additional instructions also apply to requests for letter rulings and determination letters on certain matters, except for organizations filing under revenue procedure 2015-5, this Bulletin. . Those matters are listed in section 10 of this revenue procedure followed by a reference (usually to another revenue procedure) where more information can be obtained. All requests must be submitted in English. All documents submitted in support of such requests must be in English, or accompanied by an English translation. For EO submissions only, see Forms 1023 and 1024 Instructions.

Certain information required in all requests

.02

Facts

(1) Complete statement of facts and other information. Each request for a letter ruling or a determination letter must contain a complete statement of all facts relating to the transaction. These facts include-

(a) names, addresses, telephone numbers, and taxpayer identification numbers of all interested
parties. (The term "all interested parties" does not mean all shareholders of a widely held
corporation requesting a letter ruling relating to a reorganization, or all employees where a large
number may be involved.);

(b) a complete statement of the business reasons for the transaction; and

The Service will usually not rule on only one step of a larger integrated transaction. See
section 8.04 of this revenue procedure. However, if such a letter ruling is requested, the facts,
circumstances, true copies of relevant documents, etc., relating to the entire transaction must be
submitted.

Documents

(2) Copies of all contracts, wills, deeds, agreements, instruments, plan documents, and
other documents. All documents that are pertinent to the transaction (including contracts, wills,
deeds, agreements, instruments, plan documents, trust documents, and proposed disclaimers)
must be submitted with the request.

Original documents should not be submitted because they become part of the Service's file
and will not be returned to the taxpayer. Instead, true copies of all such documents should be
submitted with the request. Each document, other than the request, should be labeled alphabet-
ically and attached to the request in alphabetical order.

Analysis of material facts

(3) Analysis of material facts. All material facts in documents must be included, rather than
merely incorporated by reference, in the taxpayer's initial request or in supplemental letters.
These facts must be accompanied by an analysis of their bearing on the issue or issues,
specifying the provisions that apply.

Same issue in an earlier
return

(4) Statement regarding whether same issue is in an earlier return. The request must state
whether, to the best of the knowledge of both the taxpayer and the taxpayer's representatives,
the same issue is in an earlier return of the taxpayer (or in a return for any year of a related
taxpayer within the meaning of § 267, or of a member of an affiliated group of which the
taxpayer is also a member within the meaning of § 1504).

If the statement is affirmative, it must specify whether the issue-

(a) is being examined by the Service;

(b) has been examined and if so, whether or not the statutory period of limitations has expired
for either assessing tax or filing a claim for refund or credit of tax;

(c) has been examined and if so, whether or not a closing agreement covering the issue or
liability has been entered into by the Service;

(d) is being considered by an appeals office in connection with a return from an earlier period;

(e) has been considered by an appeals office in connection with a return from an earlier period
and if so, whether or not the statutory period of limitations has expired for either assessing tax
or filing a claim for refund or credit of tax;

(f) has been considered by an appeals office in connection with a return from an earlier period
and whether or not a closing agreement covering the issue or liability has been entered into by
an appeals office;

(g) is pending in litigation in a case involving the taxpayer or a related taxpayer; or

(h) in employee plans matters, is being considered by the Pension Benefit Guaranty Corpo-
ration or the Department of Labor.

Same or similar issue previously submitted or currently pending

(5) Statement regarding whether same or similar issue was previously ruled on or requested, or is currently pending. The request must also state whether, to the best of the knowledge of both the taxpayer and the taxpayer's representatives-

(a) the Service previously ruled on the same or similar issue for the taxpayer (or a related taxpayer within the meaning of § 267, or a member of an affiliated group of which the taxpayer is also a member within the meaning of § 1504) or a predecessor; (b) the taxpayer, a related taxpayer, a predecessor, or any representatives previously submit- ted the same or similar issue to the Service but withdrew the request before a letter ruling or determination letter was issued;

(c) the taxpayer, a related taxpayer, or a predecessor previously submitted a request involving the same or a similar issue that is currently pending with the Service or the Office of Associate Chief Counsel; or

(d) at the same time as this request, the taxpayer or a related taxpayer is presently submitting another request involving the same or a similar issue to the Service or the Office of Associate Chief Counsel.

If the statement is affirmative for (a), (b), (c), or (d) of this section 9.02(5), the statement must give the date the request was submitted, the date the request was withdrawn or ruled on, if applicable, and other details of the Service's or Office of Associate Chief Counsel's consider- ation of the issue.

Statement of authorities supporting taxpayer's views

(6) Statement of supporting authorities. If the taxpayer advocates a particular conclusion, an explanation of the grounds for that conclusion and the relevant authorities to support it must also be included. Even if not advocating a particular tax treatment of a proposed transaction, the taxpayer must still furnish views on the tax results of the proposed transaction and a statement of relevant authorities to support those views. In all events, the request must include a statement of whether the law in connection with the request is uncertain and whether the issue is adequately addressed by relevant authorities.

Statement of authorities contrary to taxpayer's views

(7) Statement of contrary authorities. The taxpayer is also encouraged to inform the Service about, and discuss the implications of, any authority believed to be contrary to the position advanced, such as legislation (or pending legislation), tax treaties, court decisions, regulations, revenue rulings, revenue procedures, notices or announcements. If the taxpayer determines that there are no contrary authorities, a statement in the request to this effect would be helpful. If the taxpayer does not furnish either contrary authorities or a statement that none exists, the Service in complex cases or those presenting difficult or novel issues may request submission of contrary authorities or a statement that none exists. Failure to comply with this request may result in the Service's refusal to issue a letter ruling or determination letter. Identifying and discussing contrary authorities will generally enable Service personnel to understand the issue and relevant authorities more quickly. When Service personnel receive the request, they will have before them the taxpayer's thinking on the effect and applicability of contrary authorities. This information should make research easier and lead to earlier action by the Service. If the taxpayer does not disclose and distinguish significant contrary authorities, the Service may need to request additional information, which will delay action on the request.

Statement identifying pending legislation

(8) Statement identifying pending legislation. At the time of filing the request, the taxpayer must identify any pending legislation that may affect the proposed transaction. In addition, if applicable legislation is introduced after the request is filed but before a letter ruling or determination letter is issued, the taxpayer must notify the Service.

Deletions statement required by § 6110

(9) Statement identifying information to be deleted from copy of letter ruling or determination letter for public inspection. The text of certain letter rulings and determination letters is open to public inspection under § 6110. The Service makes deletions from the text

before it is made available for inspection. To help the Service make the deletions required by
§ 6110(c), a request for a letter ruling or determination letter must be accompanied by a
statement indicating the deletions desired ("deletions statement"). If the deletions statement is
not submitted with the request, a Service representative will tell the taxpayer that the request will
be closed if the Service does not receive the deletions statement within 30 calendar days. See
section 11.03 of this revenue procedure.

(a) Format of deletions statement. A taxpayer who wants only names, addresses, and
identifying numbers to be deleted should state this in the deletions statement. If the taxpayer
wants more information deleted, the deletions statement must be accompanied by a copy of the
request and supporting documents on which the taxpayer should bracket the material to be
deleted. The deletions statement must indicate the statutory basis under § 6110(c) for each
proposed deletion.

If the taxpayer decides to ask for additional deletions before the letter ruling or determination
letter is issued, additional deletions statements may be submitted.

(b) Location of deletions statement. The deletions statement must not appear in the request,
but instead must be made in a separate document and placed on top of the request for a letter
ruling or determination letter.

(c) Signature. The deletions statement must be signed and dated by the taxpayer or the
taxpayer's authorized representative. A stamped or faxed signature is not permitted.

(d) Additional information. The taxpayer should follow the same procedures above to
propose deletions from any additional information submitted after the initial request. An
additional deletions statement, however, is not required with each submission of additional
information if the taxpayer's initial deletions statement requests that only names, addresses, and
identifying numbers are to be deleted and the taxpayer wants only the same information deleted
from the additional information.

(e) Taxpayer may protest deletions not made. After receiving from the Service the notice
under § 6110(f)(1) of intention to disclose the letter ruling or determination letter (including a
copy of the version proposed to be open to public inspection and notation of third-party
communications under § 6110(d)), the taxpayer may protest the disclosure of certain informa-
tion in the letter ruling or determination letter. The taxpayer must send a written statement
within 20 calendar days to the Service office indicated on the notice of intention to disclose. The
statement must identify those deletions that the Service has not made and that the taxpayer
believes should have been made. The taxpayer must also submit a copy of the version of the
letter ruling or determination letter and bracket the deletions proposed that have not been made
by the Service. Generally, the Service will not consider deleting any material that the taxpayer
did not propose to be deleted before the letter ruling or determination letter was issued.

Within 20 calendar days after the Service receives the response to the notice under
§ 6110(f)(1), the Service will mail to the taxpayer its final administrative conclusion regarding
the deletions to be made. The taxpayer does not have the right to a conference to resolve any
disagreements concerning material to be deleted from the text of the letter ruling or determi-
nation letter. However, these matters may be taken up at any conference that is otherwise
scheduled regarding the request.

(f) Taxpayer may request delay of public inspection. After receiving the notice under
§ 6110(f)(1) of intention to disclose, but within 60 calendar days after the date of notice, the
taxpayer may send a request for delay of public inspection under either § 6110(g)(3) or (4). The
request for delay must be sent to the Service office indicated on the notice of intention to
disclose. A request for delay under § 6110(g)(3) must contain the date on which it is expected
that the underlying transaction will be completed. The request for delay under § 6110(g)(4) must
contain a statement from which the Commissioner of Internal Revenue may determine that there
are good reasons for the delay.

Section 6110(l)(1) states that § 6110 disclosure provisions do not apply to any matter to which
§ 6104 applies. Therefore, letter rulings, determination letters, technical advice memoranda, and
related background file documents dealing with the following matters (covered by § 6104) are
not subject to § 6110 disclosure provisions-

(i) An approved application for exemption under § 501(a) as an organization described in
§ 501(c) or (d), or notice of status as a political organization under § 527, together with any
papers submitted in support of such application or notice;

(ii) An application for exemption under § 501(a) with respect to the qualification of a pension,
profit-sharing or stock bonus plan, or an individual retirement account described in § 408 or
§ 408A, or any application for exemption under § 501(a) by an organization forming part of such
a plan or an account;

(iii) Any document issued by the Internal Revenue Service in which the qualification or
exempt status of a plan or account is granted, denied, or revoked or the portion of any document
in which technical advice with respect thereto is given;

(iv) Any application filed and any document issued by the Internal Revenue Service with
respect to the qualification or status of EP master and prototype plans; and

(v) The portion of any document issued by the Internal Revenue Service with respect to the
qualification or exempt status of a plan or account of a proposed transaction by such plan or
account.

Signature on request

(10) Signature by taxpayer or authorized representative. The request for a letter ruling or
determination letter must be signed and dated by the taxpayer or the taxpayer's authorized
representative. Neither a stamped signature nor a faxed signature is permitted. Special rules
apply in the case of a request for a determination letter made by filing Form 1023 or Form
1023-EZ; please see the instructions to that Form for who may sign the application on behalf of
an organization.

Authorized representatives

(11) Authorized representatives. To sign the request or to appear before the Service in
connection with the request, the representative must be:

Attorney

(a) An attorney who is a member in good standing of the bar of the highest court of any state,
possession, territory, commonwealth, or the District of Columbia and who is not currently under
suspension or disbarment from practice before the Service. He or she must file a written
declaration with the Service showing current qualification as an attorney and current authori-
zation to represent the taxpayer;

Certified public accountant

(b) A certified public accountant who is qualified to practice in any state, possession, territory,
commonwealth, or the District of Columbia and who is not currently under suspension or
disbarment from practice before the Service. He or she must file a written declaration with the
Service showing current qualification as a certified public accountant and current authorization
to represent the taxpayer;

Enrolled agent

(c) An enrolled agent is a person, other than an attorney or certified public accountant that is
currently enrolled to practice before the Service and is not currently under suspension or
disbarment from practice before the Service, including a person enrolled to practice only for
employee plans matters. He or she must file a written declaration with the Service showing
current enrollment and authorization to represent the taxpayer. Either the enrollment number or
the expiration date of the enrollment card must be included in the declaration. For the rules on
who may practice before the Service, see Treasury Department Circular No. 230;

Enrolled actuary

(d) An enrolled actuary is a person enrolled as an actuary by the Joint Board for the
Enrollment of Actuaries pursuant to 29 U.S.C. 1242 and qualified to practice in any state,
possession, territory, commonwealth, or the District of Columbia and who is not currently under
suspension or disbarment from practice before the Service. He or she must file a written
declaration with the Service showing current qualification as an enrolled actuary and current

authorization to represent the taxpayer. Practice as an enrolled actuary is limited to represen- tation with respect to issues involving the following statutory provisions: §§ 401, 403(a), 404, 412, 413, 414, 419, 419A, 420, 430, 431, 432, 436, 4971, 4972, 6057, 6058, 6059, 6652(d), 6652(e), 6692, 7805(b), former § 405 and 29 U.S.C. 1083;

Enrolled Retirement Plan Agent

(e) An enrolled retirement plan agent (ERPA) is an individual who has earned the privilege to practice before the Service. The ERPA program is established under Circular 230 of the U.S. Department of the Treasury and is administered by the Office of Professional Responsibility (the "OPR"). The Director of the OPR may grant enrollment as an ERPA to an applicant who demonstrates special competence in qualified retirement plan matters (by either passing a written examination or by virtue of past service and technical experience with the Service) and who has not engaged in any conduct that would justify the censure, suspension or disbarment of the practitioner. An ERPA must apply for enrollment with the Service, have been issued an enrollment card and satisfy renewal and continuing education requirements. Practice as an ERPA is limited to representation with respect to issues involving the following programs: Employee Plans Determination Letter program; Employee Plans Compliance Reso- lution System; and Employee Plans Master and Prototype and Volume Submitter program. In addition, ERPAs are generally permitted to represent taxpayers with respect to Form 5300 series and Form 5500 filings, but not with respect to actuarial forms or schedules. For eligibility, application and enrollment information, see §§ 10.4, 10.5 and 10.6 of Circular 230;

A person with a "Letter of Authorization"

(f) Any other person, including a foreign representative, who has received a "Letter of Authorization" from the Director, Office of Professional Responsibility under section 10.7(d) of Treasury Department Circular No. 230. A person may make a written request for a "Letter of Authorization" to: Office of Director, Office of Professional Responsibility, Internal Revenue Service, 1111 Constitution Avenue, N.W., Washington, DC 20224. Section 10.7(d) of Circular No. 230 authorizes the Commissioner to allow an individual who is not otherwise eligible to practice before the Service to represent another person in a particular matter. For additional information, see section 9.02(12) below;

Employee, general partner, bona fide officer, administrator, trustee, etc.

(g) The above requirements do not apply to a regular full-time employee representing his or her employer, to a general partner representing his or her partnership, to a bona fide officer representing his or her corporation, association, or organized group, to a trustee, receiver, guardian, personal representative, administrator, or executor representing a trust, receivership, guardianship, or estate, or to an individual representing his or her immediate family. A preparer of a return (other than a person referred to in paragraph (a), (b), (c), (d) or (e) of this section 9.02(11)) who is not a full-time employee, general partner, a bona fide officer, an administrator, trustee, etc., or an individual representing his or her immediate family may not represent a taxpayer in connection with a letter ruling, determination letter or a technical advice request. See section 10.7(c) of Treasury Department Circular No. 230; or

Foreign representative

(h) A foreign representative (other than a person referred to in paragraph (a), (b), (c), (d) or (e) of this section 9.02(11)) is not authorized to practice before the Service and, therefore, must withdraw from representing a taxpayer in a request for a letter ruling or a determination letter. In this situation, the nonresident alien or foreign entity must submit the request for a letter ruling or a determination letter on the individual's or entity's own behalf or through a person referred to in paragraph (a), (b), (c), (d) or (e) of this section 9.02(11).

Power of attorney and declaration of representative

(12) Power of attorney and declaration of representative. Any authorized representative, whether or not enrolled to practice, must also comply with the conference and practice requirements of the Statement of Procedural Rules (26 C.F.R. § 601.501-601.509), which provide the rules for representing a taxpayer before the Service. In addition, an unenrolled preparer must file a Form 8821 (Rev. August 2008), Tax Information Authorization, for certain limited employee plans matters. Form 2848 (Rev. March 2012), Power of Attorney and Declaration of Representative, must be used to provide the representative's authorization (Part I of Form 2848, Power of Attorney)

and the representative's qualification (Part II of Form 2848, Declaration of Representative). The
name of the person signing Part I of Form 2848 should also be typed or printed on this form.
A stamped signature is not permitted. An original, a copy, or a facsimile transmission (fax) of
the power of attorney is acceptable so long as its authenticity is not reasonably disputed. For
additional information regarding the power of attorney form, see section 9.03(2) of this revenue
procedure.

For the requirement regarding compliance with Treasury Department Circular No. 230, see
section 9.09 of this revenue procedure.

Penalties of perjury
statement

(13) Penalties of perjury statement.

(a) Format of penalties of perjury statement. A request for a letter ruling or determination
letter and any change in the request submitted at a later time must be accompanied by the
following declaration: "Under penalties of perjury, I declare that I have examined this
request, or this modification to the request, including accompanying documents, and, to
the best of my knowledge and belief, the request or the modification contains all the
relevant facts relating to the request, and such facts are true, correct, and complete." See
section 11.04 of this revenue procedure for the penalties of perjury statement applicable for
submissions of additional information.

(b) Signature by taxpayer. The declaration must be signed and dated by the taxpayer, not
the taxpayer's representative. Neither a stamped signature nor a faxed signature is permitted.

The person who signs for a corporate taxpayer must be an officer of the corporate taxpayer
who has personal knowledge of the facts, and whose duties are not limited to obtaining a letter
ruling or determination letter from the Service. If the corporate taxpayer is a member of an
affiliated group filing consolidated returns, a penalties of perjury statement must also be signed
and submitted by an officer of the common parent of the group.

The person signing for a trust, a state law partnership, or a limited liability company must be,
respectively, a trustee, general partner, or member-manager who has personal knowledge of the
facts.

Applicable user fee

(14) Applicable user fee. Section 7528 of the Code requires taxpayers to pay user fees for
requests for letter rulings, opinion letters, determination letters, and similar requests. Rev. Proc.
2015-8 contains the schedule of fees for each type of request under the jurisdiction of the
Commissioner, Tax Exempt and Government Entities Division and provides guidance for
administering the user fee requirements. If two or more taxpayers are parties to a transaction and
each requests a letter ruling, each taxpayer must satisfy the rules herein and additional user fees
may apply.

Number of copies of
request to be submitted

(15) Number of copies of request to be submitted. Generally a taxpayer needs only to
submit one copy of the request for a letter ruling or determination letter. If, however, more than
one issue is presented in the letter ruling request, the taxpayer is encouraged to submit additional
copies of the request.

Further, two copies of the request for a letter ruling or determination letter are required if-

(a) the taxpayer is requesting separate letter rulings or determination letters on different issues
as explained later under section 9.03(1) of this revenue procedure;

(b) the taxpayer is requesting deletions other than names, addresses, and identifying numbers,
as explained in section 9.02(9) of this revenue procedure. (One copy is the request for the letter
ruling or determination letter and the second copy is the deleted version of such request.); or

(c) a closing agreement (as defined in section 3.03 of this revenue procedure) is being
requested on the issue presented.

Sample of a letter ruling request

(16) Sample format for a letter ruling request. To assist a taxpayer or the taxpayer's representative in preparing a letter ruling request, a sample format for a letter ruling request is provided in Appendix A. This format is not required to be used by the taxpayer or the taxpayer's representative. If the letter ruling request is not identical or similar to the format in Appendix A, the different format will neither defer consideration of the letter ruling request nor be cause for returning the request to the taxpayer or taxpayer's representative.

Checklist Additional information required in certain circumstances

(17) Checklist for letter ruling requests. The Service will be able to respond more quickly to a taxpayer's letter ruling request if it is carefully prepared and complete. The checklist in Appendix B of this revenue procedure is designed to assist taxpayers in preparing a request by reminding them of the essential information and documents to be furnished with the request. The checklist in Appendix B must be completed to the extent required by the instructions in the checklist, signed and dated by the taxpayer or the taxpayer's representative, and placed on top of the letter ruling request. If the checklist in Appendix B is not received, a group representative will ask the taxpayer or the taxpayer's representative to submit the checklist, which may delay action on the letter ruling request. A photocopy of this checklist may be used. .03

Multiple issues

(1) To request a separate letter ruling for multiple issues in a single situation. If more than one issue is presented in a request for a letter ruling, the Service generally will issue a single letter ruling covering all the issues. However, if the taxpayer requests a separate letter ruling on any of the issues (because, for example, one letter ruling is needed sooner than another), the Service will usually comply with the request unless it is not feasible or not in the best interests of the Service to do so. A taxpayer who wants a separate letter ruling on multiple issues should make this clear in the request and submit two copies of the request. Additional checklists are solely for the specific issues designated. In issuing each letter ruling, the Service will state that it has issued a separate letter ruling or that requests for other letter rulings are pending.

Power of attorney

(2) Recipient of original letter ruling or determination letter. The Service will send the original of the letter ruling or determination letter to the taxpayer and a copy of the letter ruling or determination letter to the taxpayer's representative. In this case, the letter ruling or determination letter is addressed to the taxpayer. A Form 2848, Power of Attorney and Declaration of Representative (Rev. March 2012), must be used to provide the representative's authorization except in certain employee plans matters. See section 9.02(12) of this revenue procedure.

Copies of letter ruling or determination letter sent to multiple representatives

(a) To have copies sent to multiple representatives. When a taxpayer has more than one representative, the Service will send the copy of the letter ruling or determination letter to any representative with a check in the box in the name and address block on Form 2848 to indicate they are to receive notices and communications. Copies of the letter ruling or determination letter, however, will be sent to no more than two representatives.

Copy of letter ruling or determination letter sent to taxpayer's representative

(b) To have copy sent to taxpayer's representative. A copy of the letter ruling or determination letter will be sent to any representative with a check in the box in the name and address block on Form 2848 to indicate they are to receive notices and communications

Expedited handling

(3) To request expedited handling. The Service ordinarily processes requests for letter rulings and determination letters in order of the date received. EP Determination Letter requests under Rev. Proc. 2015-6, this Bulletin, and EO Determination Letter requests under Rev. Proc. 2015-5, this Bulletin, are not eligible for expedited handling. Expedited handling means that a request is processed ahead of the regular order. Expedited handling is granted only in rare and unusual cases, both out of fairness to other taxpayers and because the Service seeks to process all requests as expeditiously as possible and to give appropriate deference to normal business exigencies in all cases not involving expedited handling.

A taxpayer who has a compelling need to have a request processed ahead of the regular order
may request expedited handling. This request must explain in detail the need for expedited
handling. The request must be made in writing, preferably in a separate letter with, or soon after
filing, the request for the letter ruling or determination letter. If the request is not made in a
separate letter, then the letter in which the letter ruling or determination letter request is made
should say, at the top of the first page: "Expedited Handling Is Requested. See page _of
this letter."

A request for expedited handling will not be forwarded to the appropriate group for action
until the check or money order for the user fee in the correct amount is received.

Whether the request will be granted is within the Service's discretion. The Service may grant
a request when a factor outside a taxpayer's control creates a real business need to obtain a letter
ruling or determination letter before a certain time in order to avoid serious business conse-
quences. Examples include situations in which a court or governmental agency has imposed a
specific deadline for the completion of a transaction, or a transaction must be completed
expeditiously to avoid an imminent business emergency (such as the hostile takeover of a
corporate taxpayer), provided that the taxpayer can demonstrate that the deadline or business
emergency, and the need for expedited handling, resulted from circumstances that could not
reasonably have been anticipated or controlled by the taxpayer. To qualify for expedited
handling in such situations, the taxpayer must also demonstrate that the taxpayer submitted the
request as promptly as possible after becoming aware of the deadline or emergency. The extent
to which the letter ruling or determination letter complies with all of the applicable requirements
of this revenue procedure, and fully and clearly presents the issues, is a factor in determining
whether expedited treatment will be granted. When the Service agrees to process a request out
of order, it cannot give assurance that any letter ruling or determination letter will be processed
by the time requested. The scheduling of a closing date for a transaction or a meeting of the
board of directors or shareholders of a corporation, without regard for the time it may take to
obtain a letter ruling or determination letter, will not be considered a sufficient reason to process
a request ahead of its regular order. Also, the possible effect of fluctuation in the market price
of stocks on a transaction will not be considered a sufficient reason to process a request out of
order.

Because most requests for letter rulings and determination letters cannot be processed ahead
of their regular order, the Service urges all taxpayers to submit their requests well in advance
of the contemplated transaction. In addition, in order to facilitate prompt action on letter ruling
requests taxpayers are encouraged to ensure that their initial submissions comply with all of the
requirements of this revenue procedure (including the requirements of other applicable guide-
lines set forth in section 10 of this revenue procedure), and to provide any additional information
requested by the Service promptly.

Facsimile transmission
(fax)

(4) To receive a letter ruling or submit a request for a letter ruling by facsimile
transmission (fax).

(a) To receive a letter ruling by fax. A letter ruling ordinarily is not sent by fax. However,
if the taxpayer requests, a copy of a letter ruling may be faxed to the taxpayer or the taxpayer's
authorized representative. A letter ruling, however, is not issued until the ruling is mailed. See
§ 301.6110-2(h).

A request to fax a copy of the letter ruling to the taxpayer or the taxpayer's authorized
representative must be made in writing, either as part of the original letter ruling request or prior
to the approval of the letter ruling. The request must contain the fax number of the taxpayer or
the taxpayer's authorized representative to whom the letter ruling is to be faxed.

The Service will take certain precautions to protect confidential information. For example, the
Service will use a cover sheet that identifies the intended recipient of the fax and the number of
pages transmitted. The cover sheet, if possible, will not identify the specific taxpayer by name,
and it will be the first page covering the letter ruling being faxed.

Requesting a conference

Address to send the
request
Requests for letter rulings

(b) To submit a request for a letter ruling by fax. Original letter ruling requests sent by fax
are discouraged because such requests must be treated in the same manner as requests by letter.
For example, the faxed letter ruling request will not be forwarded to the applicable office for
action until the check for the user fee is received.

(5) To request a conference. A taxpayer who wants to have a conference on the issues
involved should indicate this in writing when, or soon after, filing the request. See also sections
12.01, 12.02, and 13.10 of this revenue procedure.

.04

(1) Requests for letter rulings are to be addressed to Employee Plans at the following address:

Internal Revenue Service

Attn: EP Letter Rulings

Stop 31

P.O. Box 12192

Covington, KY 41012-0192

Requests shipped by Express Mail or a delivery service should be sent to:

Internal Revenue Service
Attn: EP Letter Rulings
Stop 31
201 West Rivercenter Blvd.
Covington, KY 41011

Letter ruling requests will not be accepted via fax.

### Requests for information letters

(2) Requests for information letters on employee plans matters should be sent to Employee Plans:

Office of Associate Chief Counsel (Tax Exempt
and Government Entities)
Attn: Request for Information Letter
1111 Constitution Avenue, N.W., Room 4300
Washington, D.C. 20224

Requests for determination
letters

(3) Requests for either (i) all EP determination letters or (ii) EO determination letters that are
subject to a user fee should be sent to:

Internal Revenue Service
Attn: EP/EO Determination Letters
Stop 31
P.O. Box 12192
Covington, KY 41012-0192

Requests for EO determination letters that are not subject to a user fee should be sent to:

Internal Revenue Service
P.O. Box 2508
Rm. 4024
Cincinnati, OH 45201

Requests for EO determination letters described in section 7.04(14) should be sent to:
Internal Revenue Service
Attn: Correspondence Unit
P.O. Box 2508
Cincinnati, OH 45201

For user fees required with determination letter requests, see section 6 of Rev. Proc. 2015-8.

Sec. 9.04
January 2, 2015

Pending letter ruling requests

.05 (1) Circumstances under which the taxpayer must notify EP Rulings and Agreements. The taxpayer must notify EP Rulings and Agreements if, after the letter ruling request is filed but before a letter ruling is issued, the taxpayer knows that- (a) an examination of the issue or the identical issue on an earlier year's return has been started by an Examinations office of the Service;

(b) the issue is being considered by the Pension Benefit Guaranty Corporation or the Department of Labor; or

(2) Taxpayer must notify EP Rulings and Agreements if return is filed and must attach request to return. If the taxpayer files a return before a letter ruling is received from EP Rulings and Agreements concerning the issue, the taxpayer must notify EP Rulings and Agreements that the return has been filed. The taxpayer must also attach a copy of the letter ruling request to the return to alert the EP Examinations office and thereby avoid premature EP Examinations office action on the issue.

When to attach letter ruling to return

.06 A taxpayer who receives a letter ruling before filing a return about any transaction that is relevant to the return being filed must attach a copy of the letter ruling to the return when it is filed.

How to check on status of request

.07 The taxpayer or the taxpayer's authorized representative may obtain information regard- ing the status of a request by calling the person whose name and telephone number are shown on the acknowledgement of receipt of the request.

Request may be withdrawn or EP Rulings and

.08

Agreements may decline to issue letter ruling

(1) In general. A taxpayer may withdraw a request for a letter ruling or determination letter at any time before the letter ruling or determination letter is signed by the Service. However, withdrawal of a request for a determination in exempt organization matters is limited by section 5 of Rev. Proc. 2015-5, this Bulletin, or section 6 of Rev. Proc. 2015-9, next Bulletin. Correspondence and exhibits related to a request that is withdrawn or related to a letter ruling request for which the Service declines to issue a letter ruling will not be returned to the taxpayer. See section 9.02(2) of this revenue procedure. In appropriate cases, the Service may publish its conclusions in a revenue ruling or revenue procedure. A request for a letter ruling will not be suspended in EP Rulings and Agreements at the request of a taxpayer.

(2) Notification of Director, EP Examinations. If a taxpayer withdraws a request for a letter ruling or if EP Rulings and Agreements declines to issue a letter ruling, EP Rulings and Agreements will notify the Director, EP Examinations and may give its views on the issues in the request to the Director, EP Examinations to consider in any later examination of the return. (3) Refunds of user fee. The user fee will not be returned for a letter ruling request that is withdrawn. If the Service declines to issue a letter ruling on all of the issues in the request, the user fee will be returned. If the Service, however, issues a letter ruling on some, but not all, of the issues, the user fee will not be returned. See section 10 of Rev. Proc. 2015-8 for additional information regarding refunds of user fees.

Compliance with Treasury Department Circular No. 230

.09 The taxpayer's authorized representative, whether or not enrolled, must comply with Treasury Department Circular No. 230, which provides the rules for practice before the Service. In those situations when EP Rulings and Agreements believes that the taxpayer's representative

is not in compliance with Circular No. 230, EP Rulings and Agreements will bring the matter
to the attention of the Director, Office of Professional Responsibility.

For the requirement regarding compliance with the conference and practice requirements, see
section 9.02(12) of this revenue procedure.

SECTION 10. WHAT SPECIFIC, ADDITIONAL PROCEDURES APPLY TO CERTAIN REQUESTS?

In general

.01 Specific revenue procedures and notices supplement the general instructions for requests explained in section 9 of this revenue procedure and apply to requests for a letter ruling or a determination letter regarding the Code sections and matters listed in this section.

Exempt Organizations

.02 If the request is for the qualification of an organization for exemption from federal income tax under § 501 or 521, see Rev. Proc. 72-5, 1972-1 C.B. 709, regarding religious and apostolic organizations; Rev. Proc. 80-27, 1980-1 C.B. 677, concerning group exemptions; Rev. Proc. 2015-5, this Bulletin, and Rev. Proc. 2015-9, next Bulletin, regarding applications for recog- nition of exemption, determinations for which § 7428 applies, and conference protest and appeal rights; Rev. Proc. 2015-10, next Bulletin, regarding determinations of private foundation status; and Rev. Proc. 2014-11, 2014-3 I.R.B. 411, regarding applications for reinstatement of tax-exempt status and requesting retroactive reinstatement under § 6033(j) of the Code.

Employee Plans SECTION 11. HOW DOES EP RULINGS AND AGREEMENTS HANDLE LETTER RULING REQUESTS?

.03

(1) For requests by the plan sponsor of a multiemployer pension plan for approval of an extension of an amortization period in accordance with section 431(d) of the Code, see Rev. Proc. 2010-52, 2010-52 I.R.B. 927.

(2) For requests by administrators or sponsors of a defined benefit plan to obtain approval for a change in funding method, see Rev. Proc. 2000-41, 2000-2 C.B. 371.

(3) For requests for the return to the employer of certain nondeductible contributions, see Rev. Proc. 90-49, 1990-2 C.B. 620 (as modified by Rev. Proc. 2015-8).

(4) For requests for determination letters for plans under §§ 401, 403(a), 409, and 4975(e)(7), and for the exempt status of any related trust under § 501, see Rev. Proc. 2015-6, Rev. Proc. 93-10, 1993-1 C.B. 476 and Rev. Proc. 93-12, 1993-1 C.B. 479.

(5) For requests for approval of the use of a substitute mortality table in accordance with § 430(h)(3)(C), see Rev. Proc. 2008-62, 2008-42 I.R.B. 935. .

In general

.01 The Service will issue letter rulings on the matters and under the circumstances explained in sections 4 and 6 of this revenue procedure and in the manner explained in this section and section 13 of this revenue procedure.

Is not bound by informal opinion expressed

.02 The Service will not be bound by the informal opinion expressed by the group represen- tative or any other authorized Service representative under this procedure, and such an opinion cannot be relied upon as a basis for obtaining retroactive relief under the provisions of § 7805(b).

Tells taxpayer if request lacks essential information during initial contact

.03 If a request for a letter ruling does not comply with all the provisions of this revenue procedure, the request will be acknowledged and the Service representative will tell the taxpayer during the initial contact which requirements have not been met.

Information must be submitted within 30 calendar days

If the request lacks essential information, which may include additional information needed to satisfy the procedural requirements of this revenue procedure, as well as substantive changes to transactions or documents needed from the taxpayer, the Service representative will tell the taxpayer during the initial contact that the request will be closed if the Service does not receive the information within 30 calendar days unless an extension of time is granted. See section 11.04 of this revenue procedure for information on extension of time and instructions on submissions of additional information.

Letter ruling request mistakenly sent to EP Determinations Processing

A request for a letter ruling sent to EP Determinations Processing that does not comply with the provisions of this revenue procedure will be returned by EP Determinations Processing so that the taxpayer can make corrections before sending it to the appropriate office.

Requires prompt submission of additional information requested after initial contact

.04 Material facts furnished to the Service by telephone or fax, or orally at a conference, must be promptly confirmed by letter to the Service. This confirmation and any additional information requested by the Service that is not part of the information requested during the initial contact must be furnished within 21 calendar days to be considered part of the request. Additional information submitted to the Service must be accompanied by the following declaration: "Under penalties of perjury, I declare that I have examined this information, including accompanying documents, and, to the best of my knowledge and belief, the information contains all the relevant facts relating to the request for the information, and such facts are true, correct, and complete." This declaration must be signed in accordance with the requirements in section 9.02(13)(b) of this revenue procedure. A taxpayer who submits additional factual information on several occasions may provide one declaration subsequent to all submissions that refers to all submissions.

Encourage use of fax

(1) To facilitate prompt action on letter ruling requests, taxpayers are encouraged to submit additional information by fax as soon as the information is available. The Service representative who requests additional information can provide a telephone number to which the information can be faxed. A copy of this information and a signed penalties of perjury statement, however, must be mailed or delivered to the Service.

Address to send additional information

(2) Additional information should be sent to the same address as the original letter ruling request. See section 9.04. However, the additional information should include the name, office symbols, and room number of the Service representative who requested the information and the taxpayer's name and the case control number (which the Service representative can provide).

Number of copies of additional information to be submitted

(3) Generally, a taxpayer needs only to submit one copy of the additional information. However, in appropriate cases, the Service may request additional copies of the information.

30-day or 21-day period may be extended if justified and approved

(4) An extension of the 30-day period under section 11.03 or the 21-day period under section 11.04 will be granted only if justified in writing by the taxpayer and approved by the manager of the group to which the case is assigned. A request for extension should be submitted before the end of the 30-day or 21-day period. If unusual circumstances close to the end of the 30-day or 21-day period make a written request impractical, the taxpayer should notify the Service within the 30-day or 21-day period that there is a problem and that the written request for extension will be coming soon. The taxpayer will be told promptly, and later in writing, of the approval or denial of the requested extension. If the extension request is denied, there is no right of appeal.

If taxpayer does not submit additional information

(5) If the taxpayer does not follow the instructions for submitting additional information or requesting an extension within the time provided, a letter ruling will be issued on the basis of the information on hand, or, if appropriate, no letter ruling will be issued. When the Service decides not to issue a letter ruling because essential information is lacking, the case will be

Sec. 11.02
January 2, 2015

Near the completion of the
ruling process, advises
taxpayer of conclusions
and, if the Service will rule
adversely, offers the
taxpayer the opportunity
to withdraw the letter
ruling request
May request draft of
proposed letter ruling near
the completion of the
ruling process

closed and the taxpayer notified in writing. If the Service receives the information after the letter
ruling request is closed, the request may be reopened and treated as a new request. However, the
taxpayer may be required to pay another user fee before the case can be reopened.

.05 Generally, after the conference of right is held before the letter ruling is issued, the
Service representative will inform the taxpayer or the taxpayer's authorized representative of the
Service's final conclusions. If the Service is going to rule adversely, the taxpayer will be offered
the opportunity to withdraw the letter ruling request. If the taxpayer or the taxpayer's repre-
sentative does not promptly notify the Service representative of a decision to withdraw the ruling
request, the adverse letter will be issued. The user fee will not be refunded for a letter ruling
request that is withdrawn. See section 10 of Rev. Proc. 2015-8.

.06 To accelerate issuance of letter rulings, in appropriate cases near the completion of the
ruling process, the Service representative may request that the taxpayer or the taxpayer's
representative submit a proposed draft of the letter ruling on the basis of discussions of the
issues. The taxpayer, however, is not required to prepare a draft letter ruling in order to receive
a letter ruling.

The format of the submission should be discussed with the Service representative who
requests the draft letter ruling. The representative usually can provide a sample format of a letter
ruling and will discuss the facts, analysis, and letter ruling language to be included.

The typed draft will become part of the permanent files of the Service. If the Service
representative requesting the draft letter ruling cannot answer specific questions about the
format, the questions can be directed to Carlton Watkins at (202) 317-8631 (not a toll-free call).

The proposed letter ruling should be sent to the same address as any additional information
and contain in the transmittal the information that should be included with any additional
information (for example, a penalties of perjury statement is required). See section 11.04 of this
revenue procedure.

# SECTION 12. HOW ARE CONFERENCES SCHEDULED?

Schedules a conference if
requested by taxpayer

.01 A taxpayer may request a conference regarding a letter ruling request. Normally, a
conference is scheduled only when the Service considers it to be helpful in deciding the case or
when an adverse decision is indicated. If conferences are being arranged for more than one
request for a letter ruling involving the same taxpayer, they will be scheduled so as to cause the
least inconvenience to the taxpayer. As stated in section 9.03(5) of this revenue procedure, a
taxpayer who wants to have a conference on the issue or issues involved should indicate this in
writing when, or soon after, filing the request.

If a conference has been requested, the taxpayer will be notified by telephone, if possible, of
the time and place of the conference, which must then be held within 21 calendar days after this
contact. Instructions for requesting an extension of the 21-day period and notifying the taxpayer
or the taxpayer's representative of the Service's approval or denial of the request for extension
are the same as those explained in section 11.04 of this revenue procedure regarding providing
additional information.

Permits taxpayer one
conference of right

.02 A taxpayer is entitled, as a matter of right, to only one conference, except as explained
under section 12.05 of this revenue procedure. This conference normally will be held at the
group level and will be attended by a person who, at the time of the conference, has the authority
to sign the letter ruling in his or her own name or for the group manager.

When more than one group has taken an adverse position on an issue in a letter ruling request,
or when the position ultimately adopted by one group will affect that adopted by another, a
representative from each group with the authority to sign in his or her own name or for the group

Sec. 12.02
January 2, 2015

manager will attend the conference. If more than one subject is to be discussed at the conference,
the discussion will constitute a conference on each subject.

To have a thorough and informed discussion of the issues, the conference usually will be held
after the group has had an opportunity to study the case. However, at the request of the taxpayer,
the conference of right may be held earlier.

No taxpayer has a right to appeal the action of a group to any other official of the Service. But
see section 12.05 of this revenue procedure for situations in which the Service may offer
additional conferences.

Disallows verbatim
recording of conferences

.03 Because conference procedures are informal, no tape, stenographic, or other verbatim
recording of a conference may be made by any party.

Makes tentative
recommendations on
substantive issues

.04 The senior Service representative present at the conference ensures that the taxpayer has
the opportunity to present views on all the issues in question. A Service representative explains
the Service's tentative decision on the substantive issues and the reasons for that decision. If the
taxpayer asks the Service to limit the retroactive effect of any letter ruling or limit the revocation
or modification of a prior letter ruling, a Service representative will discuss the recommendation
concerning this issue and the reasons for the recommendation. However, the representatives will
not make a commitment regarding the conclusion that the Service intends to adopt.

May offer additional
conferences

.05 The Service will offer the taxpayer an additional conference if, after the conference of right,
an adverse holding is proposed, but on a new issue, or on the same issue but on different grounds
from those discussed at the first conference. There is no right to another conference when a proposed
holding is reversed at a higher level with a result less favorable to the taxpayer, if the grounds or
arguments on which the reversal is based were discussed at the conference of right.

The limit on the number of conferences to which a taxpayer is entitled does not prevent the
Service from offering additional conferences, including conferences with an official higher than
the group level, if the Service decides they are needed. Such conferences are not offered as a
matter of course simply because the group has reached an adverse decision. In general,
conferences with higher level officials are offered only if the Service determines that the case
presents significant issues of tax policy or tax administration and that the consideration of these
issues would be enhanced by additional conferences with the taxpayer.

Requires written
confirmation of
information presented at
conference

.06 The taxpayer should furnish to the Service any additional data, reasoning, precedents, etc.,
that were proposed by the taxpayer and discussed at the conference but not previously or
adequately presented in writing. The taxpayer must furnish the additional information within 21
calendar days from the date of the conference. See section 11.04 of this revenue procedure for
instructions on submission of additional information. If the additional information is not
received within that time, a ruling will be issued on the basis of the information on hand or, if
appropriate, no ruling will be issued.

Procedures for requesting an extension of the 21-day period and notifying the taxpayer or the
taxpayer's representative of the Service's approval or denial of the requested extension are the
same as those stated in section 11.04 of this revenue procedure regarding submitting additional
information.

May schedule a pre-
submission conference

.07 Sometimes it will be advantageous to both the Service and the taxpayer to hold a
conference before the taxpayer submits the letter ruling request to discuss substantive or
procedural issues relating to a proposed transaction. These conferences are held only if the
identity of the taxpayer is provided to the Service, only if the taxpayer actually intends to make
a request, only if the request involves a matter on which a letter ruling is ordinarily issued, and
only at the discretion of the Service and as time permits. For example, a pre-submission
conference will not be held on an income tax issue if, at the time the pre-submission conference
is requested, the identical issue is involved in the taxpayer's return for an earlier period and that
issue is being examined. See section 6 of this revenue procedure. Generally, the taxpayer will
be asked to provide before the pre-submission conference a statement of whether the issue is an

issue on which a letter ruling is ordinarily issued and a draft of the letter ruling request or other
detailed written statement of the proposed transaction, issue, and legal analysis. If the taxpayer's
representative will attend the pre-submission conference, a power of attorney form is required.
A Form 2848, Power of Attorney and Declaration of Representative, must be used to provide
the representative's authorization.

Any discussion of substantive issues at a pre-submission conference is advisory only, is not
binding on the Service, and cannot be relied upon as a basis for obtaining retroactive relief under
the provisions of § 7805(b). See section 3.08(2) of this procedure. A letter ruling request
submitted following a pre-submission conference will not necessarily be assigned to the group
that held the pre-submission conference.

.08 A taxpayer may request that their conference of right be held by telephone. This request
may occur, for example, when a taxpayer wants a conference of right but believes that the issue
involved does not warrant incurring the expense of traveling to Washington, DC. If a taxpayer
makes such a request, the group manager will decide if it is appropriate in the particular case to
hold the conference of right by telephone. If the request is approved by the group manager, the
taxpayer will be advised when to call the Service representatives (not a toll-free call).

.09 The procedures for requesting a conference for determination letters that are not subject
to § 7428 or § 501 or § 521 are the same as described in this section, except that generally
conferences will be held by telephone

## Under limited circumstances, may schedule a conference to be held by telephone

Conference rules for EO
determination letters not
subject to § 7428 or § 501
or § 521

## SECTION 13. WHAT EFFECT WILL A LETTER RULING HAVE?

May be relied on subject to
limitations

Will not apply to another
taxpayer

Will be used by the
Director, EP or EO
Examinations in examining
the taxpayer's return

.01 A taxpayer ordinarily may rely on a letter ruling received from the Service subject to the
conditions and limitations described in this section.

.02 A taxpayer may not rely on a letter ruling issued to another taxpayer. See § 6110(k)(3).

.03 When determining a taxpayer's liability, the Director, EP or EO Examinations must
ascertain whether-

(1) the conclusions stated in the letter ruling are properly reflected in the return;

(2) the representations upon which the letter ruling was based reflected an accurate statement
of the material facts;

(3) the transaction was carried out substantially as proposed; and

(4) there has been any change in the law that applies to the period during which the transaction
or continuing series of transactions were consummated.

If, when determining the liability, the Director, EP Examinations finds that a letter ruling
should be revoked or modified, unless a waiver is obtained from the Director, Employee Plans,,
the findings and recommendations of the Director, EP Examinations will be forwarded to the
Office of Associate Chief Counsel for consideration before further action is taken by the
Director, EP Examinations. Such a referral to the Office of Associate Chief Counsel will be
treated as a request for technical advice and the provisions of Rev. Proc. 2015-2, this Bulletin,
relating to requests for technical advice will be followed. Otherwise, the letter ruling is to be
applied by the Director, EP Examinations in determining the taxpayer's liability. If an office
having jurisdiction over a return or other matter proposes to reach a conclusion contrary to a
letter ruling previously issued to the taxpayer, it should coordinate the matter with the Office of
Associate Chief Counsel.

In addition, in the event of a letter ruling that is revoked or modified, the Office of Associate Chief Counsel has discretionary authority under § 7805(b) to limit the retroactive effect of a revocation or modification.

May be revoked or modified if found to be in error

.04 Unless it was part of a closing agreement as described in section 3.03 of this revenue procedure, a letter ruling found to be in error or not in accord with the current views of the Service may be revoked or modified. If a letter ruling is revoked or modified, the revocation or modification applies to all years open under the period of limitation unless the Service uses its discretionary authority under § 7805(b) to limit the retroactive effect of the revocation or modification. A letter ruling may be revoked or modified by-

(1) a letter giving notice of revocation or modification to the taxpayer to whom the letter ruling was issued;

(2) the enactment of legislation or ratification of a tax treaty;

(3) a decision of the United States Supreme Court;

(4) the issuance of temporary or final regulations; or

(5) the issuance of a revenue ruling, revenue procedure, notice, or other statement published in the Internal Revenue Bulletin.

Consistent with these provisions, if a letter ruling relates to a continuing action or a series of actions, it ordinarily will be applied until any one of the events described above occurs or until it is specifically withdrawn.

Publication of a notice of proposed rulemaking will not affect the application of any letter ruling issued under this revenue procedure.

Where a letter ruling is revoked or modified by a letter to the taxpayer, the letter will state whether the revocation or modification is retroactive. Where a letter ruling is revoked or modified by the issuance of final or temporary regulations or by the publication of a revenue ruling, revenue procedure, notice, or other statement in the Internal Revenue Bulletin, the document may contain a statement as to its retroactive effect on letter rulings.

Letter ruling revoked or modified based on material change in facts applied retroactively

.05 The revocation or modification of a letter ruling will be applied retroactively to the taxpayer for whom the letter ruling was issued or to a taxpayer whose tax liability was directly involved in the letter ruling if-

(1) there has been a misstatement or omission of controlling facts;

(2) the facts at the time of the transaction are materially different from the controlling facts on which the letter ruling was based; or

(3) the transaction involves a continuing action or series of actions and the controlling facts change during the course of the transaction.

See section 11.05 of Rev. Proc. 2015-1.

Not otherwise generally revoked or modified retroactively

.06 Where the revocation or modification of a letter ruling is, for reasons other than a change in facts as described in section 13.05 of this revenue procedure, the revocation or modification will generally not be applied retroactively to the taxpayer for whom the letter ruling was issued or to a taxpayer whose tax liability was directly involved in the letter ruling provided that- (1) there has been no change in the applicable law;

(2) the letter ruling was originally issued for a proposed transaction; and

(3) the taxpayer directly involved in the letter ruling acted in good faith in relying on the letter
ruling, and revoking or modifying the letter ruling retroactively would be to the taxpayer's
detriment. For example, the tax liability of each employee covered by a letter ruling relating to
a qualified plan of an employer is directly involved in the ruling. However, the tax liability of
a member of an industry is not directly involved in a letter ruling issued to another member and,
therefore, the holding in a revocation or modification of a letter ruling to one member of an
industry may be retroactively applied to other members of the industry. By the same reasoning,
a tax practitioner may not extend to one client the non-retroactive application of a revocation or
modification of a letter ruling previously issued to another client

Retroactive effect of
revocation or modification
applied to a particular
transaction

.07 A letter ruling issued on a particular transaction represents a holding of the Service on that
transaction only. It will not apply to a similar transaction in the same year or any other year.
Except in unusual circumstances, the application of that letter ruling to the transaction will not
be affected by the later issuance of regulations (either temporary or final) if conditions (1)
through (3) in section 13.06 of this revenue procedure are met.

# Retroactive effect of revocation or modification applied to a continuing action or series of actions

May be retroactively
revoked or modified when
transaction is completed
without reliance on the
letter ruling

.09 A taxpayer is not protected against retroactive revocation or modification of a letter ruling
involving a transaction completed before the issuance of the letter ruling or involving a
continuing action or series of actions occurring before the issuance of the letter ruling, because
the taxpayer did not enter into the transaction relying on a letter ruling. See section 11.10 of Rev.
Proc. 2015-1.

Taxpayer may request that
retroactivity be limited

.10 Under § 7805(b), the Service may prescribe any extent to which a revocation or
modification of a letter ruling or determination letter will be applied without retroactive effect.

The Director, EP Examinations does not have authority under § 7805(b) to limit the
revocation or modification of a letter ruling. Therefore, if the Director, EP Examinations
proposes to revoke or modify a letter ruling issued by the Commissioner, Tax Exempt and
Government Entities, the taxpayer may request that the Office of Associate Chief Counsel, Tax
Exempt and Government Entities limit the retroactive effect of any revocation or modification
of the letter ruling. See Rev. Proc. 2015-1 section 11.11, this Bulletin.

## Format of request

### (1) Request for relief under § 7805(b) must be made in required format.

A request to limit the retroactive effect of the revocation or modification of a letter ruling
issued by the Tax Exempt and Government Entities Division must be made to the Office of
Associate Chief Counsel (Tax Exempt and Government Entities) and must be in the general
form of, and meet the general requirements for, a letter ruling request that is submitted to the
Office of Associate Chief Counsel. These requirements are given in section 7 of Rev. Proc.
2015-1. Specifically, the request must also

(a) state that it is being made under § 7805(b);

(b) state the relief sought;

(c) explain the reasons and arguments in support of the relief requested (including a
discussion of section 13.05 of this revenue procedure, the three items listed in section 13.06 of
this revenue procedure, and any other factors as they relate to the taxpayer's particular
situation); and

(d) include any documents bearing on the request.

A request that the Service limit the retroactive effect of a revocation or modification of a letter
ruling may be made in the form of a separate request for a letter ruling when, for example, a
revenue ruling has the effect of modifying or revoking a letter ruling previously issued to the
taxpayer or when the Service notifies the taxpayer of a change in position that will have the
effect of revoking or modifying the letter ruling.

When notice is given by the Director, EP or EO Examinations during an examination of the
taxpayer's return or by Appeals, during consideration of the taxpayer's return before Appeals,
a request to limit retroactive effect must be made in the form of a request for technical advice
as explained in section 14.02 of Rev. Proc. 2015-2, this Bulletin.

When germane to a pending letter ruling request, a request to limit the retroactive effect of
a revocation or modification of a letter ruling may be made as part of the request for the letter
ruling, either initially or at any time before the letter ruling is issued. When a letter ruling that
concerns a continuing transaction is revoked or modified by, for example, a subsequent revenue
ruling, a request to limit retroactive effect must be made before the examination of the return
that contains the transaction that is the subject of the letter ruling request.

Consideration of relief under § 7805(b) will be included as one of the taxpayer's steps in
exhausting administrative remedies only if the taxpayer has requested such relief in the manner
described in this revenue procedure. If the taxpayer does not complete the applicable steps, the
taxpayer will not have exhausted the taxpayer's administrative remedies as required by
§ 7428(b)(2) and § 7476(b)(3) and will, thus, be precluded from seeking a declaratory judgment
under § 7428 or § 7476. Where the taxpayer has requested § 7805(b) relief, the taxpayer's
administrative remedies will not be considered exhausted until the Service has had a reasonable
time to act upon the request.

## Request for conference

### (2) Taxpayer may request a conference on application of § 7805(b).

A taxpayer who requests the application of § 7805(b) in a separate letter ruling request has
the right to a conference with the Associate office as explained in sections 10.02, 10.04, and
10.05 of Rev. Proc. 2015-1. If the request is made initially as part of a pending letter ruling
request or is made before the conference of right is held on the substantive issues, the § 7805(b)
issue will be discussed at the taxpayer's one conference of right as explained in section 10.02
of Rev. Proc. 2015-1. If the request for the application of § 7805(b) relief is made as part of a
pending letter ruling request after a conference has been held on the substantive issue and the
Associate office determines that there is justification for having delayed the request, the taxpayer
is entitled to one conference of right concerning the application of § 7805(b), with the
conference limited to discussion of this issue.

## SECTION 14. WHAT EFFECT WILL A DETERMINATION LETTER HAVE?

Has same effect as a letter
ruling

.01 A determination letter issued by EP or EO Determinations has the same effect as a letter
ruling issued to a taxpayer under section 13 of this revenue procedure.

If the Director, EP or EO Examinations proposes to reach a conclusion contrary to that
expressed in a determination letter, he or she need not refer the matter to the Director, Employee
Plans or EO or the Office of Associate Chief Counsel (Tax Exempt and Government Entities).
However, the Director, EP or EO Examinations must refer the matter to the Office of Associate

Sec. 14.01
January 2, 2015

Chief Counsel (Tax Exempt and Government Entities), if the Director, EP or EO Examinations
desires to have the revocation or modification of the determination letter limited under
§ 7805(b).

### Taxpayer may request that retroactive effect of revocation or modification be limited

.02 Under § 7805(b), the Service may prescribe the extent to which a revocation or
modification of a determination letter will be applied without retroactive effect. The Director, EP
or EO Examinations does not have authority under § 7805(b) to limit the revocation or
modification of the determination letter. Therefore, if the Director, EP or EO Examinations
proposes to revoke or modify a determination letter, the taxpayer may request limitation of the
retroactive effect of the revocation or modification by asking the Director, EP or EO Rulings and
Agreements, to seek technical advice from the Office of Associate Chief Counsel (Tax Exempt
and Government Entities). See section 14.02 of Rev. Proc. 2015-2.

#### Format of request

##### (1) Request for relief under § 7805(b) must be made in required format.

A taxpayer's request to limit the retroactive effect of the revocation or modification of the
determination letter must be in the form of, and meet the general requirements for, a technical
advice request. See section 14.02 of Rev. Proc. 2015-2, this Bulletin. The request must also-

(a) state that it is being made under § 7805(b);

(b) state the relief sought;

(c) explain the reasons and arguments in support of the relief sought (including a discussion
of section 13.05 of this revenue procedure, the three items listed in section 13.06 of this revenue
procedure, and any other factors as they relate to the taxpayer's particular situation); and

(d) include any documents bearing on the request.

(2) Taxpayer may request a conference on application of § 7805(b).

#### Request for conference

When technical advice is requested regarding the application of § 7805(b), the taxpayer has
the right to a conference with the Office of Associate Chief Counsel to the same extent as does
any taxpayer who is the subject of a technical advice request. See section 14.04 of Rev. Proc.
2015-2, this Bulletin.

#### Exhaustion of administrative remedies

##### (3) Taxpayer steps in exhausting administrative remedies.

Consideration of relief under § 7805(b) will be included as one of the taxpayer's steps in
exhausting administrative remedies only if the taxpayer has requested such relief in the manner
described in this revenue procedure and in Rev. Proc. 2015-2. If the taxpayer does not complete
the applicable steps, the taxpayer will not have exhausted the taxpayer's administrative remedies
as required by § 7428(b)(2) and § 7476(b)(3) and will, thus, be precluded from seeking a
declaratory judgment under § 7428 or § 7476. Where the taxpayer has requested § 7805(b)
relief, the taxpayer's administrative remedies will not be considered exhausted until the Service
has had a reasonable time to act upon the request.

### SECTION 15. UNDER WHAT CIRCUMSTANCES ARE MATTERS REFERRED?

#### Requests for determination letters

.01 Requests for determination letters received by EP Determinations that, under the provi-
sions of this revenue procedure, may not be issued by EP Determinations, will be forwarded to
EP Rulings and Agreements for reply. EP Determinations will notify the taxpayer that the matter
has been referred.

EP Determinations will also refer to EP Rulings and Agreements any request for a determi-
nation letter that in its judgment should have the attention of EP Rulings and Agreements.

No-rule areas

.02 If the request involves an issue on which the Service will not issue a letter ruling or determination letter, the request will not be forwarded to EP Rulings and Agreements or the Office of Associate Chief Counsel. EP Determinations will notify the taxpayer that the Service will not issue a letter ruling or a determination letter on the issue. See sections 7 and 8 of this revenue procedure for a description of no-rule areas.

Requests for letter rulings

.03 Requests for letter rulings received by EP Rulings and Agreements that, under section 6 of this revenue procedure, may not be acted upon by EP Rulings and Agreements will be forwarded to the Director, EP Examinations. The taxpayer will be notified of this action. If the request is on an issue or in an area of the type discussed in section 8 of this revenue procedure, and the Service decides not to issue a letter ruling or an information letter, EP Rulings and Agreements will notify the taxpayer and will then forward the request to the Director, EP Examinations for association with the related return.

SECTION 16. WHAT ARE THE GENERAL PROCEDURES APPLICABLE TO INFORMATION LETTERS ISSUED BY THE SERVICE?

Will be made available to the public

.01 Information letters that are issued by the Service to members of the public will be made available to the public. These documents provide general statements of well-defined law without applying them to a specific set of facts. Information letters that are issued by the field, however, will not be made available to the public. See section 3.06 of this revenue procedure. The following documents also will not be available for public inspection as part of this process:

(1) letters that merely transmit Service publications or other publicly available material, without significant legal discussion;

(3) responses to taxpayer or third party communications with respect to any investigation, audit, litigation, or other enforcement action.

Deletions made under the Freedom of Information Act

.02 Before any information letter is made available to the public, the Service will delete any name, address, and other identifying information as appropriate under the Freedom of Infor- mation Act ("FOIA") (for example, FOIA personal privacy exemption of 5 U.S.C. § 552(b)(6) and tax details exempt pursuant to § 6103, as incorporated into FOIA by 5 U.S.C. § 552(b)(3)). Because information letters do not constitute written determinations (including Chief Counsel Advice) as defined in § 6110, these documents are not subject to public inspection under § 6110.

Effect of information letters

.03 Information letters are advisory only and have no binding effect on the Service. See section 3.06 of this revenue procedure. If the Service issues an information letter in response to a request for a letter ruling that does not meet the requirements of this revenue procedure, the information letter is not a substitute for a letter ruling.

SECTION 17. WHAT IS THE EFFECT OF THIS REVENUE PROCEDURE ON OTHER DOCUMENTS?

Rev. Proc. 2014-4 is superseded.

SECTION 18. EFFECTIVE DATE

This revenue procedure is effective January 2, 2015.

SECTION 19. PAPERWORK REDUCTION ACT

The collections of information contained in this revenue procedure have been reviewed and approved by the Office of Management and Budget in accordance with the Paperwork Reduction Act (44 U.S.C. § 3507) under control number 1545-1520.

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 collections of information in this revenue procedure are in sections 7.07, 9.02, 9.03, 9.04, 9.05, 9.06, 10.02, 10.03, 11.03, 11.04(1)-(5), 11.06, 12.01, 12.06, 12.07, 13.10(1), 14.02(1), and in Appendices B and C. This information is required to evaluate and process the request for a letter ruling or determination letter. In addition, this information will be used to help the Service delete certain information from the text of the letter ruling or determination letter before it is made available for public inspection, as required by § 6110. The collections of information are required to obtain a letter ruling or determination letter. The likely respondents are businesses or other for-profit institutions.

The estimated total annual reporting and/or recordkeeping burden is 1,569 hours.

The estimated annual burden per respondent/recordkeeper varies from 15 minutes to 16 hours, depending on individual circumstances and the type of request involved, with an estimated average burden of 6.01 hours. The estimated number of respondents and/or recordkeepers is 261.

The estimated annual frequency of responses is one request per applicant, except that a taxpayer requesting a letter ruling may also request a presubmission conference.

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 § 6103.

DRAFTING INFORMATION

The principal author of this revenue procedure is Eric D. Slack of the Employee Plans, Tax Exempt and Government Entities Division. For further information regarding how this revenue procedure applies to employee plans matters, contact the Employee Plans Customer Assistance Center at 877-829-5500.

### APPENDIX A SAMPLE FORMAT FOR A LETTER RULING REQUEST

(Insert the date of request)

[for Employee Plans]
Internal Revenue Service
Attention: EP Letter Rulings
Stop 31
P.O. Box 12192
Covington, KY 41012-0192

Dear Sir or Madam:

(Insert the name of the taxpayer) (the "Taxpayer") requests a ruling on the proper treatment of (insert the subject matter of
the letter ruling request) under § (insert the number) of the Internal Revenue Code.

[If the taxpayer is requesting expedited handling, the letter ruling request must contain a statement to that effect. This state-
ment must explain the need for expeditious handling. See section 9.03(3).]

#### A. STATEMENT OF FACTS

##### 1. Taxpayer Information

[Provide the statements required by sections 9.02(1)(a), (b), and (c) of Rev. Proc. 2015-4, 2015-1 I.R.B. (Hereafter, all ref-
erences are to Rev. Proc. 2015-4 unless otherwise noted.)]

For example, a taxpayer that maintains a qualified employee retirement plan and files an annual Form 5500 series of returns
may include the following statement to satisfy sections 9.02(1)(a), (b), and (c):

The Taxpayer is a construction company with principal offices located at 100 Whatever Drive, Wherever, Maryland 12345, and its tele-
phone number is (123) 456-7890. The Taxpayer's federal employer identification number is 00-1234567. The Taxpayer uses the Form
5500 series of returns on a calendar year basis to report its qualified employee retirement plan and trust.

2\. Detailed Description of the Transaction.

[The ruling request must contain a complete statement of the facts relating to the transaction that is the subject of the letter ruling request.
This statement must include a detailed description of the transaction, including material facts in any accompanying documents, and the
business reasons for the transaction. See sections 9.02(1)(b), 9.02(1)(c), and 9.02(2).]

#### B. RULING REQUESTED

[The ruling request should contain a concise statement of the ruling requested by the taxpayer.]

##### C. STATEMENT OF LAW

[The ruling request must contain a statement of the law in support of the taxpayer's views or conclusion, including any authorities be-
lieved to be contrary to the position advanced in the ruling request. This statement must also identify any pending legislation that may
affect the proposed transaction. See sections 9.02(6), 9.02(7), and 9.02(8).]

##### D. ANALYSIS

[The ruling request must contain a discussion of the facts and an analysis of the law. See sections 9.02(3), 9.02(6), 9.02(7), and 9.02(8).]

E. CONCLUSION

[The ruling request should contain a statement of the taxpayer's conclusion on the ruling requested.]

##### F. PROCEDURAL MATTERS

1\. Rev. Proc. 2015-4 statements

a. [The statement required by section 9.02(4).]

b. [The statement required by section 9.02(5).]

c. [The statement required by section 9.02(6) regarding whether the law in connection with the letter ruling request is uncertain and
whether the issue is adequately addressed by relevant authorities.]

d. [The statement required by section 9.02(7) when the taxpayer determines that there are no contrary authorities.]

e. [If the taxpayer wants to have a conference on the issues involved in the letter ruling request, the ruling request should contain a
statement to that effect. See section 9.03(5).]

f. [If the taxpayer is requesting the letter ruling to be issued by fax, the ruling request should contain a statement to that effect. See sec-
tion 9.03(4).]

g. [If the taxpayer is requesting separate letter rulings on multiple issues, the letter ruling request should contain a statement to that ef-
fect. See section 9.03(1).]

2\. Administrative

a. A Power of Attorney is enclosed. [See sections 9.02(12) and 9.03(2).]

b. The deletions statement and checklist required by Rev. Proc. 2015-4 are enclosed. [See sections 9.02(9) and 9.02(17).]

c. The required user fee is enclosed. [See section 9.02(14).]

Very truly yours,
(Insert the name of the taxpayer or the taxpayer's autho-
rized representative)
By:

Signature Date

Typed or printed name
of person signing request

DECLARATION: [See section 9.02(13).]

(Insert the name of the taxpayer)
By:

Signature

Title

Date

Typed or printed name of
person signing declaration

# APPENDIX B CHECKLIST IS YOUR RULING REQUEST COMPLETE?

## INSTRUCTIONS

The Service will be able to respond more quickly to your letter ruling request if it is carefully prepared and complete. To ensure
that your request is in order, use this checklist. Complete the four items of information requested before the checklist. Answer
each question by circling "Yes," "No," or "N/A." When a question contains a place for a page number, insert the page number
(or numbers) of the request that gives the information called for by a yes answer to a question. Sign and date the checklist (as
taxpayer or authorized representative) and place it on top of your request.

If you are an authorized representative submitting a request for a taxpayer, you must include a completed checklist with the re-
quest, or the request will either be returned to you or substantive consideration of it will be deferred until a completed checklist
is submitted. If you are a taxpayer preparing your own request without professional assistance, an incomplete checklist
will not be cause for returning your request or deferring substantive consideration of the request. However, you should
still complete as much of the checklist as possible and submit it with your request.

TAXPAYER'S NAME

TAXPAYER'S I.D. No.

ATTORNEY/P.O.A.

PRIMARY CODE SECTION

CIRCLE ONE

ITEM

Yes No N/A

1\. Does your request involve an issue under the jurisdiction of the Commissioner, Tax Exempt and
Government Entities Division? See section 5 of Rev. Proc. 2015-4, 2015-1 I.R.B. for issues under the
jurisdiction of other offices. (Hereafter, all references are to Rev. Proc. 2015-4 unless otherwise noted.)

Yes No N/A

2\. If your request involves a matter on which letter rulings are not ordinarily issued, have you given
compelling reasons to justify the issuance of a private letter ruling? Before preparing your request, you
may want to call the office responsible for substantive interpretations of the principal Internal Revenue
Code section on which you are seeking a letter ruling to discuss the likelihood of an exception. The
appropriate office to call for this information may be obtained by calling (202) 317-8700 (Employee Plans
matters) (not a toll-free call).

Yes No N/A
Page

3\. If the request involves an employee plans qualification matter under § 401(a), § 409, or § 4975(e)(7), have
you demonstrated that the request satisfies the three criteria in section 6.03 for a ruling?

Yes No N/A
Page

4\. If the request deals with a completed transaction, have you filed the return for the year in which the
transaction was completed? See sections 6.01 and 6.02.

Yes No

5\. Are you requesting a letter ruling on a hypothetical situation or question? See section 8.03.

Yes No

6\. Are you requesting a letter ruling on alternative plans of a proposed transaction? See section 8.03.

Yes No

7\. Are you requesting the letter ruling for only part of an integrated transaction? See section 8.04.

Yes No

8\. Have you submitted another letter ruling request for the transaction covered by this request?

Yes No

9\. Are you requesting the letter ruling for a business, trade, industrial association, or similar group
concerning the application of tax law to its members? See section 6.07.

Yes No
Page

10\. Have you included a complete statement of all the facts relevant to the transaction? See section 9.02(1).

Yes No N/A

11\. Have you submitted with the request true copies of all wills, deeds, plan documents, and other
documents relevant to the transaction, and labeled and attached them in alphabetical sequence? See section
9.02(2).

Yes No
Page

12\. Have you included, rather than merely by reference, all material facts from the documents in the

request? Are they accompanied by an analysis of their bearing on the issues that specifies the document
provisions that apply? See section 9.02(3).

Yes No Page

13. Have you included the required statement regarding whether the same in the letter ruling request is in an earlier return of the taxpayer or in a return for any year of a related taxpayer? See section 9.02(4).

Yes No Page

14. Have you included the required statement regarding whether the Service previously ruled on the same or similar issue for the taxpayer, a related taxpayer, or a predecessor? See section 9.02(5).

Yes No Page

15. Have you included the required statement regarding whether the taxpayer, a related taxpayer, a predecessor, or any representatives previously submitted the same or similar issue but withdrew it before the letter ruling was issued? See section 9.02(5).

Yes No Page

16. Have you included the required statement regarding whether the law in connection with the request is uncertain and whether the issue is adequately addressed by relevant authorities? See section 9.02(6).

Yes No Pages

17. Have you included the required statement of relevant authorities in support of your views? See section 9.02(6).

Yes No N/A Pages

18. Does your request discuss the implications of any legislation, tax treaties, court decisions, regulations, notices, revenue rulings, or revenue procedures you determined to be contrary to the position advanced? See section 9.02(7), which states that taxpayers are encouraged to inform the Service of such authorities.

Yes No N/A Page

19. If you determined that there are no contrary authorities, have you included a statement to this effect in your request? See section 9.02(7).

Yes No N/A Page

20. Have you included in your request a statement identifying any pending legislation that may affect the proposed transaction? See section 9.02(8).

Yes No

21. Is the request accompanied by the deletions statement required by § 6110? See section 9.02(9).

Yes No N/A Page

22. Have you (or your authorized representative) signed and dated the request? See section 9.02(10).

Yes No N/A page

23. If the request is signed by your representative, or if your representative will appear before the Service in connection with the request, is the request accompanied by a properly prepared and signed power of attorney with the signatory's name typed or printed? See section 9.02(12).

Yes No N/A page

9.02(13)? 24. Have you included, signed and dated, the penalties of perjury statement in the form required by section

Yes No N/A

25. Have you included the correct user fee with the request and made your check or money order payable to the United States Treasury? See section 9.02(14) and Rev. Proc. 2015-8, this Bulletin, for the correct amount and additional information on user fees.

Yes No N/A

26. Are you submitting your request in duplicate if necessary? See section 9.02(15).

Yes No N/A Pages

27. If you are requesting separate letter rulings on different issues involving one factual situation, have you included a statement to that effect in each request? See section 9.03(1).

Yes No N/A Page

28. If you have more than one representative, have you designated whether the representatives listed on the power of attorney are to receive a copy of the letter ruling? See section 9.03(2).

Yes No N/A

29. If you want your letter ruling request to be processed ahead of the regular order or by a specific date, have you requested expedited handling in the form required by section 9.03(3) and stated a compelling need for such action in the request?

Yes No N/A Page

30. If you want to have a conference on the issues involved in the request, have you included a request for conference in the ruling request? See section 9.03(5).

Yes No N/A

31. If your request is covered by any of the guideline revenue procedures or other special requirements listed in section 10 of Rev. Proc. 2015-4, have you complied with all of the requirements of the applicable revenue procedure?

Yes No N/A
Page

Yes No N/A

32\. If you are requesting relief under § 7805(b) (regarding retroactive effect), have you complied with all
of the requirements in section 13.10?

33\. Have you addressed your request to the appropriate office listed in section 9.04? Improperly addressed
requests may be delayed (sometimes for over a week) in reaching the appropriate office for initial
processing.

Signature

Title or authority

Date

Typed or printed name of
person signing checklist

# APPENDIX C Additional Checklist for Roth IRA Recharacterization Ruling Requests

In order to assist EP Technical in processing a ruling request involving a Roth IRA recharacterization, in addition to the
items in Appendix B, please check the following list.

Yes No N/A Page_

1. Did you include the name(s) of trustee and/or custodian of the traditional individual retirement account (IRA) (generally, a financial institution)?

Yes No N/A Page __

2. Is each IRA identification number present?

Yes No N/A Page __

3. If the ruling request involves Roth conversions of a married couple, is the necessary information with respect to each IRA of each party present? Note: as long as the parties file a joint federal Form 1040, the Service can issue one ruling covering both parties. Furthermore, if a joint federal income tax return has been filed for the year or years in question, the Service only requires one user fee even if each spouse had failed conversions.

Yes No N/A Page_

4. If there was one or more attempted conversions, are the applicable dates on which the attempted IRA conversion(s) occurred included?

Yes No N/A Page_

5. If the reason that a conversion failed is that the taxpayer or related taxpayers relied upon advice of a tax professional such as a CPA, or an attorney, is the name and occupation of that adviser included?

Yes No N/A Page_

6. Is certification that the taxpayer or taxpayers timely filed the relevant federal tax return(s) present?

Yes No N/A Page __

7. Is there a short statement of facts with respect to the conversion? For example, if the ruling request involves a conversion attempted in 1998, there should be a statement of the facts that includes a representation of why the due date(s) found in Announcement 99-57 and Announcement 99-104 were not met.

Yes No N/A Page_

8. If the taxpayer recharacterized his/her Roth IRA to a traditional IRA prior to submitting a request for § 9100 relief, are the date(s) of the recharacterization(s), name(s) of trustees and/or custodians, and the identification numbers of the traditional IRA(s) present?

Yes No N/A Page

9. Does the request include the type of contribution (i.e., regular or conversion) and amount of the contribution being recharacterized?

## Rev. Proc. 2015-5

TABLE OF CONTENTS

SECTION 1. PURPOSE

187

.01 Description of terms used in this revenue procedure

187

SECTION 2. ELIGIBILITY

187

.01 Organizations eligible to submit Form 1023-EZ

187

.02 Organizations not eligible to submit Form 1023-EZ

187

.03 Terrorist organizations

188

SECTION 3. NATURE OF CHANGES AND RELATED REVENUE PROCEDURES.

188

.01 Revenue Procedure 2014-40 is superseded

188

.02 Related revenue procedures

188

.03 Notable changes to Rev. Proc. 2014-40 that appear in this revenue procedure

188

SECTION 4. PROCEDURES FOR REQUESTING RECOGNITION OF EXEMPT STATUS UNDER § 501(c)(3)

189

.01 In general

189

.02 Application

189

.03 User fee

189

.04 Method of submission

189

.05 Requirements for a completed Form 1023-EZ

189

.06 Form 1023-EZ from an organization with a pending Form 1023

189

.07 No expedited handling

189

SECTION 5. STANDARDS FOR ISSUING A DETERMINATION LETTER ON EXEMPT STATUS UNDER § 501(c)(3)

189

.01 In general

189

.02 Non-acceptance of Forms 1023-EZ

189

.03 Additional information may be required

190

.04 Issuance of determination letter

190

.05 Adverse determination letters and appeal procedure

190

.06 Requests for technical advice.

190

.07 Withdrawal of a Form 1023-EZ

190

SECTION 6. DECLARATORY JUDGMENT PROVISIONS OF § 7428.

190

.01 General description

190

.02 Exhaustion of administrative remedies

190

.03 Exhaustion of administrative remedies no earlier than 270 days after seeking determination and taking all reasonable steps to secure a determination letter

190

.04 Service must have reasonable time to act on an appeal

191

.05 Final determination to which § 7428 applies

191

.06 Treatment of withdrawals and non-accepted applications

191

SECTION 7. DISCLOSURE OF APPLICATIONS AND DETERMINATION LETTERS

191

.01 Disclosure of favorable determinations

191

.02 Disclosure of adverse determinations

191

.03 Disclosure to state officials

191

SECTION 8. EFFECT OF DETERMINATION LETTER RECOGNIZING EXEMPTION.

191

.01 Effective date of exemption

191

.02 Reliance on determination letter

192

.03 Automatic revocation

192

.04 Filing requirement

192

SECTION 9. REVOCATION OR MODIFICATION OF DETERMINATION LETTER

RECOGNIZING EXEMPTION 192

.01 In general

192

.02 Retroactive revocation or modification

192

.03 Appeal and conference procedures

193

SECTION 10. EFFECTIVE DATE

193

SECTION 11. DRAFTING INFORMATION

193

SECTION 12. PAPERWORK REDUCTION ACT

193

## SECTION 1. PURPOSE

This revenue procedure sets forth pro-
cedures for applying for and for issuing
determination letters on the exempt status
under § 501(c)(3) of the Internal Revenue
Code (Code) using Form 1023-EZ,
Streamlined Application for Recognition
of Exemption Under Section 501(c)(3) of
the Internal Revenue Code. This revenue
procedure is generally available for cer-
tain U.S. organizations with assets of
$250,000 or less and annual gross receipts
of $50,000 or less.

Although the Service will release sep-
arate procedures for issuing determination
letters on exempt status for organizations
applying on Form 1023 with Rev. Proc.
2015-9, next bulletin, the Service is con-
sidering whether to merge the procedures
in this revenue procedure into Rev. Proc.
2015-9 in the 2016 annual update.

The general procedures for technical
advice requests for matters within the ju-
risdiction of the Commissioner, Tax Ex-
empt and Government Entities were pre-
viously contained in Rev. Proc. 2014-5.
The Associate Chief Counsel (Tax Ex-
empt and Government Entities) now han-
dles all TAMs pursuant to Rev. Proc.
2015-2, as updated.

.01 For purposes of this revenue pro-
cedure -

(1) The "Service" means the Internal
Revenue Service.

(2) An "eligible organization" is an
organization that is eligible to submit
Form 1023-EZ, as described in section
2.01 of this revenue procedure.

(3) "EO Determinations" means the of-
fice of the Service that is primarily re-
sponsible for processing applications for
tax-exempt status. It includes the main EO
Determinations office located in Cincin-
nati, Ohio, and other field offices that are
under the direction and control of the Di-

rector, EO Rulings and Agreements. Ap-
plications are generally processed in the
centralized EO Determinations office in
Cincinnati, Ohio. However, some applica-
tions may be processed in other EO De-
terminations offices.

(4) "Appeals Office" means any office
under the direction and control of the
Chief, Appeals. The purpose of the Ap-
peals Office is to resolve tax controver-
sies, without litigation, on a fair and im-
partial basis. The Appeals office is
independent of EO Determinations.

(5) A "determination letter" means a
written statement issued by EO Determi-
nations or an Appeals Office in response
to an application for recognition of ex-
emption from Federal income tax under
§ 501. This includes a written statement
issued by EO Determinations or an Ap-
peals Office on the basis of technical ad-
vice pursuant to the procedures prescribed
in Rev. Proc. 2015-2, this bulletin, page
105. "Form 1023-EZ" means the Form
1023-EZ, Streamlined Application for
Recognition of Exemption Under Section
501(c)(3) of the Internal Revenue Code,
which is the application used by eligible
organizations to apply for recognition of
exemption under § 501(c)(3) pursuant to
this revenue procedure.

(6) "Form 1023" means the Form
1023, Application for Recognition of Ex-
emption Under Section 501(c)(3) of the
Internal Revenue Code, which is the ap-
plication used to apply for recognition of
exemption under § 501(c)(3) pursuant to
Rev. Proc. 2015-9,next bulletin.

.02 This Revenue Procedure is updated
annually, but may be modified or ampli-
fied during the year.

## SECTION 2. ELIGIBILITY

.01 Organizations meeting all three of
the following criteria are eligible organi-

zations and may use Form 1023-EZ to
apply for recognition of exemption under
§ 501(c)(3), unless the organization is des-
ignated in section 2.02 or 2.03 as an or-
ganization that is not eligible to submit
Form 1023-EZ.

(1) Organizations with projected an-
nual gross receipts of $50,000 or less in
the current taxable year and the next 2
years.

(2) Organizations with annual gross re-
ceipts of $50,000 or less in each of the
past 3 years for which the organization
was in existence, and

(3) Organizations with total assets the
fair market value of which does not ex-
ceed $250,000. For purposes of this eligi-
bility requirement, a good faith estimate
of the fair market value of the organiza-
tion's assets is sufficient.

.02 The following organizations are not
eligible organizations and must use Form
1023 to apply for recognition of exemp-
tion under § 501(c)(3):

(1) Organizations formed under the
laws of a foreign country (United States
territories and possessions are not consid-
ered foreign countries).

(2) Organizations that do not have a
mailing address in the United States (ter-
ritories and possessions are considered the
United States for this purpose).

(3) Organizations that are successors
to, or controlled by, an entity suspended
under § 501(p) (suspension of tax-exempt
status of terrorist organizations).

(4) Organizations that are not corpora-
tions, unincorporated associations, or
trusts.

(5) Organizations that are successors to
a for-profit entity.

(6) Organizations that were previously
revoked or that are successors to a previ-
ously revoked organization (other than an
organization the tax-exempt status of
which was automatically revoked for fail-

Sec. 2.02

ure to file a Form 990 series return or
notice for three consecutive years).

(7) Churches or conventions or associ-
ations of churches described in
§ 170(b)(1)(A)(i).

(8) Schools, colleges, or universities
described in § 170(b)(1)(A)(ii).

(9) Hospitals or medical research orga-
nizations described in § 170(b)(1)(A)(iii)
or § 501(r)(2)(A)(i). Cooperative hospital
service organizations described in § 501(e).

(10) Cooperative service organizations
of operating educational organizations de-
scribed in § 501(f).

(11) Qualified charitable risk pools de-
scribed in § 501(n).

(12) Supporting organizations de-
scribed in § 509(a)(3).

(13) Organizations that have as a sub-
stantial purpose providing assistance to
individuals through credit counseling ac-
tivities such as budgeting, personal fi-
nance, financial literacy, mortgage fore-
closure assistance, or other consumer
credit areas.

(14) Organizations that invest, or in-
tend to invest, 5 percent or more of their
total assets in securities or funds that are
not publicly traded.

(15) Organizations that participate, or
intend to participate, in partnerships (in-
cluding entities or arrangements treated as
partnerships for Federal tax purposes) in
which they share profits and losses with
partners other than § 501(c)(3) organiza-
tions.

(16) Organizations that sell, or intend
to sell, carbon credits or carbon offsets.

(17) Health Maintenance Organiza-
tions (HMOS).

(18) Accountable Care Organizations
(ACOs), or organizations that engage in,
or intend to engage in, ACO activities
(such as participation in the Medicare
Shared Savings Program (MSSP) or in
activities unrelated to the MSSP de-
scribed in Notice 2011-20, 2011-16
I.R.B. 652).

(19) Organizations that maintain, or in-
tend to maintain, one or more donor ad-
vised funds.

(20) Organizations that are organized
and operated exclusively for testing for pub-
lic safety and that are requesting a founda-
tion classification under § 509(a)(4).

(21) Private operating foundations.

Sec. 3.03
January 2, 2015

(22) Organizations that are applying
for retroactive reinstatement of exemption
under sections 5 or 6 of Rev. Proc. 2014-
11, 2014-3 I.R.B. 411, after being auto-
matically revoked.

Further information regarding these el-
igibility requirements may be provided in
the Instructions for Form 1023-EZ.

.03 Terrorist organizations. An organi-
zation that is identified or designated as a
terrorist organization within the meaning
of § 501(p)(2) is not eligible to apply for
recognition of exemption.

# SECTION 3. NATURE OF CHANGES AND RELATED REVENUE PROCEDURES

Revenue Procedure 2014-40 is super-
seded

.01 This revenue procedure is a general
update of Rev. Proc. 2014-40, 2014-30
I.R.B. 229, which is hereby superseded.

Related Revenue Procedures

.02 The following revenue procedures
are related to Rev. Proc. 2015-5-

(1) Rev. Proc. 2015-9, next bulletin,
sets forth procedures for issuing determi-
nation letters and rulings on the exempt
status of organizations under §§ 501 and
521. Those procedures do not apply to
determination letters issued under this
revenue procedure except to the extent
specifically noted herein. This revenue
procedure amplifies Rev. Proc. 2015-9 by
providing alternative application and pro-
cessing procedures for Form 1023-EZ,
which may be used by eligible organiza-
tions seeking recognition of exemption
under § 501(c)(3).

(2) Rev. Proc. 2015-10, next bulletin,
sets forth procedures for issuing rulings
and determination letters on private foun-
dation status under § 509(a). This revenue
procedure amplifies Rev. Proc. 2015-10
by providing that the private foundation
status of an organization may be deter-
mined when an eligible organization sub-
mits a Form 1023-EZ.

(3) Rev. Proc. 2015-8, this bulletin,
page 235, sets forth user fees for requests
for a determination letter, including re-
quests made on a Form 1023-EZ under
this revenue procedure.

(4) Rev. Proc. 2015-4, this bulletin,
page 144, sets forth procedures regarding
the Service's provision of guidance to

taxpayers on issues under the jurisdic-
tion of the Commissioner, Tax Exempt
and Government Entities Division. This
revenue procedure amplifies Rev. Proc.
2015-4 by providing that EO Determi-
nations may also issue determination
letters on initial qualification for exempt
status of organizations described in
§ 501(c)(3) that applied using Form
1023-EZ, in accordance with this reve-
nue procedure.

(5) Rev. Proc. 2014-11, 2014-3 I.R.B.
411, sets forth procedures for reinstating
the tax-exempt status of organizations that
have had their tax-exempt status automat-
ically revoked under § 6033(j)(1). This
revenue procedure amplifies Rev. Proc.
2014-11 by providing that eligible orga-
nizations may apply for reinstatement un-
der Rev. Proc. 2014-11 by submitting a
Form 1023-EZ instead of a Form 1023.
Form 1023-EZ is considered to be an
"Application" within the meaning of sec-
tion 2.01(1) of Rev. Proc. 2014-11.

.03 Notable changes to Rev. Proc.
2014-40 that appear in this revenue pro-
cedure include-

(1) Section 1. Language was added to
reflect that technical advice memoranda
that were previously issued by Commis-
sioner (Tax Exempt and Government En-
tities) will now be issued by Associate
Chief Counsel (Tax Exempt and Govern-
ment Entities).

(2) Section 2.01 and 2.02. Language
was added to section 2.01 to specify the
organizations that are eligible to file a
Form 1023-EZ, and the list of types of
organizations that are not eligible to sub-
mit Form 1023-EZ was moved to section
2.02.

(3) Section 3.01. Language was added
to supersede Revenue Procedure 2014-
40.

(4) Section 4.03. Language was added
to direct the reader to Revenue Procedure
2015-8 to determine the correct user fee
submitted with Form 1023-EZ.

(5) Section 5.05. Language was added
to further describe the process for appeal-
ing a proposed adverse determination let-
ter as described in Revenue Procedure
2015-9.

(6) Section 8.02. Language was added
to clarify the difference between reliance
on determination letters by applicants for

exempt status and general reliance by
grantors or contributors.

(7) Dates, cross references, and names
have been changed throughout to reflect
the appropriate annual Revenue Proce-
dures.

# SECTION 4. PROCEDURES FOR REQUESTING RECOGNITION OF EXEMPT STATUS UNDER

## § 501(c)(3)

.01 In general. Unless subject to a spe-
cific exception, all organizations seeking
tax-exempt status under § 501(c)(3) must,
as a condition of exemption, apply for
recognition of exempt status with the Ser-
vice. An eligible organization may, but is
not required to, seek recognition of tax-
exempt status under § 501(c)(3) by sub-
mitting a Form 1023-EZ in accordance
with this revenue procedure. Alterna-
tively, an eligible organization may follow
the procedures in Rev. Proc. 2015-9, to
seek recognition of exemption under
§ 501(c)(3) by submitting a Form 1023.

.02 Application. An eligible organiza-
tion seeking recognition of exempt status
under § 501(c)(3) using this revenue pro-
cedure must submit a completed Form
1023-EZ. See section 4.05 for a definition
of completed Form 1023-EZ. An incom-
plete Form 1023-EZ will not be accepted
for processing by the Service even if it has
been successfully submitted through
www.pay.gov. See section 5.02(1).

.03 User fee.

An application must be submitted with
the correct user fee, as set forth in Rev.
Proc. 2015-8.

.04 Method of submission. An eligible
organization seeking recognition of tax
exempt status under § 501(c)(3) using this
revenue procedure must submit the Form
1023-EZ and user fee online at www.pay.
gov. Paper submissions will not be ac-
cepted and will be treated as incomplete
Forms 1023-EZ as described in section
5.02(1).

.05 Requirements for a completed
Form 1023-EZ. For purposes of this rev-
enue procedure, a Form 1023-EZ submit-
ted by an eligible organization is com-
pleted if it:

(1) includes responses for each re-
quired line item of the form, including an
accurate date of organization and an attes-
tation that the organization has completed

the Form 1023-EZ eligibility worksheet,
as in effect on the date of submission, is
eligible to apply for exemption using
Form 1023-EZ, and has read the Instruc-
tions for Form 1023-EZ and understands
the requirements to be exempt under
§ 501(c)(3) as expressed therein;

(2) includes the organization's correct
Employer Identification Number (EIN);

(3) is electronically signed, under pen-
alties of perjury, by an individual autho-
rized to sign for the organization (as spec-
ified in the Instructions for Form 1023-
EZ); and

(4) is accompanied by the correct user
fee.

A Form 1023-EZ will not be consid-
ered completed if the organization's name
and EIN do not match the records in the
Service's Business Master File. Further-
more, a Form 1023-EZ submitted by an
organization that is not an eligible organi-
zation will not be considered completed.

.06 Form 1023-EZ from an organiza-
tion with a pending Form 1023.

(1) The Service will accept for process-
ing a completed Form 1023-EZ from an
eligible organization that has a Form 1023
pending with the Service, provided that
the Form 1023 has not yet been assigned
for review. The Form 1023-EZ will be
treated as a written request for withdrawal
of the pending Form 1023, and the Form
1023 will be treated as withdrawn as de-
scribed in section 6 of Rev. Proc. 2015-9.
The user fee paid for the Form 1023 will
generally not be refunded. See section 6 of
Rev. Proc. 2015-9. In addition, the filing
date of the Form 1023-EZ (not the with-
drawn Form 1023) will be treated as the
date that the organization provided the
notice required under § 508 to the Service.
If the filing date of the Form 1023-EZ is
within 27 months from the end of the
month in which it was organized, the or-
ganization may be recognized as exempt
from the date it was organized. If it is not,
then the organization's exemption, if rec-
ognized, will generally be effective from
the date the Form 1023-EZ was filed. See
section 8 below.

(2) The Service will not accept for pro-
cessing a completed Form 1023-EZ from
an eligible organization that has a Form
1023 pending with the Service if the Form
1023 has already been assigned for re-
view. If this section 4.06(2) applies, an

organization will be notified of the non-
acceptance of the Form 1023-EZ and any
user fee that was paid with the Form
1023-EZ will be refunded, as described in
section 5.02(3).

.07 No expedited handling. An organi-
zation may not request expedited handling
of a Form 1023-EZ submitted under this
revenue procedure.

# SECTION 5. STANDARDS FOR ISSUING A DETERMINATION LETTER ON EXEMPT STATUS UNDER § 501(c)(3)

.01 In general. This section sets forth
procedures that the Service will use to
process a Form 1023-EZ.

.02 Non-acceptance for processing of
Forms 1023-EZ.

(1) A submitted Form 1023-EZ that is
not completed within the meaning of sec-
tion 4.05 will not be accepted for process-
ing by the Service. The Service may, but
is not required to, request additional infor-
mation under section 5.03 to verify that a
Form 1023-EZ is completed. If an orga-
nization's Form 1023-EZ is not accepted
for processing, it will be notified of the
non-acceptance of its application and any
user fee that was paid will be refunded.
An eligible organization may then submit
a properly completed Form 1023-EZ with
a new user fee online at www.pay.gov.
Alternatively, an eligible organization
may apply on a Form 1023 under the
procedures described in Rev. Proc.
2015-9.

(2) The Service will not accept for pro-
cessing a Form 1023-EZ from an organi-
zation if the organization has an applica-
tion for recognition of tax-exempt status
other than a Form 1023 (e.g., Form 1024,
Application for Recognition of Exemption
under Section 501(a)) pending with the
Service. An organization will be notified
of the non-acceptance of the Form 1023-
EZ, and any user fee that was paid with
the Form 1023-EZ will be refunded.

(3) The Service will not accept for pro-
cessing a Form 1023-EZ from an eligible
organization if the organization has a
Form 1023 pending with the Service that
has been assigned for review. See section
4.06. An organization will be notified of
the non-acceptance of the Form 1023-EZ,
and any user fee that was paid with the
Form 1023-EZ will be refunded.

.03 Additional information may be re-
quired. The Service may request addi-
tional information from any organization
before accepting a Form 1023-EZ for pro-
cessing or making a determination of ex-
empt status. Additionally, the Service will
select a statistically valid random sample
of Forms 1023-EZ for pre-determination
reviews, which may also result in requests
for additional information. If the Service
requests information prior to accepting a
Form 1023-EZ for processing and the or-
ganization fails to respond to a request for
additional information, the application
will not be accepted for processing. In the
case of a Form 1023-EZ that has been
accepted for processing by the Service, a
failure to respond to a request for addi-
tional information will result in the clo-
sure of the application without a determi-
nation letter being issued and without a
refund of the user fee.

.04 Issuance of determination letter. A
favorable determination letter will be is-
sued to an organization only if the attes-
tations contained in the organization's
completed and accepted Form 1023-EZ
(along with any additional information re-
quested by the Service and provided by
the organization) are consistent with re-
quirements for exemption under section
501(c)(3). Exempt status may be recog-
nized in advance of the organization's op-
erations. The determination letter will also
classify the organization as either a "pub-
lic charity" or a "private foundation," con-
sistent with the attestations made and any
additional information provided by the or-
ganization upon request by the Service.

.05 Adverse determination letters and
appeal procedure. If the Service con-
cludes, including based on additional in-
formation provided under section 5.03,
that the organization does not satisfy the
requirements for exemption under
§ 501(c)(3), the Service generally will is-
sue a proposed adverse determination let-
ter, which will:

(1) include the Service's rationale for
the proposed denial of tax-exempt status;
and

(2) advise the organization of its op-
portunity to appeal the decision and re-
quest a conference.

If an organization fails to submit a
timely appeal of a proposed adverse de-
termination letter or if an appeal is sub-

mitted to the Appeals Office and the Ap-
peals Office agrees with the adverse
determination, a final adverse determina-
tion letter will be issued to the organiza-
tion. The procedures described in section
7 of Rev. Proc. 2015-9 will apply to an
organization receiving a proposed or final
adverse determination letter. Upon issu-
ance of a final adverse determination let-
ter, an organization's proposed adverse
and final adverse determination letters are
subject to disclosure to the public and
state officials as described below in sec-
tions 7.02 and 7.03. A final adverse deter-
mination letter issued under this section
5.05 is a final determination to which
§ 7428 applies. See section 6. Note, how-
ever, that the non-acceptance of a Form
1023-EZ under section 5.02 is not a pro-
posed or final adverse determination.

.06 Requests for technical advice. EO
Determinations is responsible for the issu-
ance of determination letters to eligible
organizations seeking recognition of ex-
empt status under § 501(c)(3) pursuant to
this revenue procedure. See Rev. Proc.
2015-4. However, technical advice on a
Form 1023-EZ submitted and accepted
for processing pursuant to this revenue
procedure may be requested by EO Deter-
minations or by an organization pursuant
to the procedures described in section 5 of
Rev. Proc. 2015-9.

.07 Withdrawal of a Form 1023-EZ. A
Form 1023-EZ may only be withdrawn
upon the written request of an authorized
individual prior to the issuance of a deter-
mination letter (including a proposed ad-
verse determination letter).

(1) When a Form 1023-EZ is with-
drawn, the Service will retain the applica-
tion. The Service may consider the infor-
mation submitted in connection with the
withdrawn request in a subsequent exam-
ination of the organization.

(2) Generally, the user fee will not be
refunded if an application is withdrawn.
See Rev. Proc. 2015-8, section 10.

SECTION 6. DECLARATORY
JUDGMENT PROVISIONS OF
§ 7428

.01 General description. Generally, a
declaratory judgment proceeding under
§ 7428 can be filed in the United States
Tax Court, the United States Court of
Federal Claims, or the district court of the

United States for the District of Columbia
with respect to an actual controversy in-
volving a determination by the Service or
a failure of the Service to make a deter-
mination with respect to the initial or con-
tinuing qualification or classification of an
organization under § 501(c)(3) (charita-
ble, educational, etc.); § 170(c)(2) (de-
ductibility of contributions); § 509(a) (pri-
vate foundation status); § 4942(j)(3)
(operating foundation status); or § 521
(farmers' cooperative).

.02 Exhaustion of administrative rem-
edies. Before filing a declaratory judg-
ment action, an organization must exhaust
its administrative remedies by taking, in a
timely manner, all reasonable steps to se-
cure a determination from the Service. For
purposes of this revenue procedure, these
reasonable steps include:

(1) the filing by an organization of a
completed Form 1023-EZ (within the
meaning of section 4.05);

(2) in appropriate cases (i.e., where the
organization did not submit Form
1023-EZ within 27 months after the end
of the month in which it was organized
and seeks an effective date earlier than its
submission date), requesting relief pursu-
ant to Treas. Reg. § 301.9100-1 of the
Procedure and Administration Regula-
tions regarding the extension of time for
making an election or application for re-
lief from tax;

(3) the timely submission of all addi-
tional information requested by the Ser-
vice in accordance with section 5.03; and

(4) the exhaustion of all administrative
appeals available within the Service pur-
suant to section 7 of Rev. Proc. 2015-9.

.03 Exhaustion of administrative rem-
edies no earlier than 270 days after seek-
ing determination and taking all reason-
able steps to secure a determination letter.
An eligible organization that has submit-
ted Form 1023-EZ will in no event be
deemed to have exhausted its administra-
tive remedies prior to the earlier of:

(1) the completion of the steps in sec-
tion 6.02 and the sending by the Service
by certified or registered mail of a final
determination letter; or

(2) the expiration of the 270-day period
described in § 7428(b)(2) in a case in
which the Service has not issued a final
determination letter, and the eligible orga-
nization has taken, in a timely manner, all

# Sec. 6.03 January 2, 2015

reasonable steps to secure a determination
letter.

.04 Service must have reasonable time
to act on an appeal. The steps described in
section 6.02 will not be considered com-
pleted until the Service has had a reason-
able time to act upon an appeal.

.05 Final determination to which
§ 7428 applies. Section 7428 only applies
to final determinations. The final determi-
nations to which § 7428 applies are de-
scribed in section 10.05 of Rev. Proc.
2015-9. The non-acceptance of a Form
1023-EZ under section 5.02 is not a final
determination to which § 7428 applies. In
addition, an organization will not have
exhausted its administrative remedies by
completing the steps in section 6.02 if the
organization was not eligible to submit
Form 1023-EZ, as described in section 2.

.06 Treatment of withdrawals and non-
accepted applications. The withdrawal of
an application pursuant to section 5.07 or
the non-acceptance of an application pur-
suant to section 5.02 is not a failure to
make a determination within the meaning
of § 7428(a)(2), or an exhaustion of ad-
ministrative remedies within the meaning
of § 7428(b)(2). The 270-day period re-
ferred to in § 7428(b)(2) will not be con-
sidered to have started prior to the date a
completed Form 1023-EZ is submitted to
the Service. If the Service requests addi-
tional information from an organization
pursuant to section 5.03, the period of
time beginning on the date the Service
requests additional information until the
date the information is submitted to the
Service will not be counted for purposes
of the 270-day period referred to in
§ 7428(b)(2).

# SECTION 7. DISCLOSURE OF APPLICATIONS AND DETERMINATION LETTERS

Sections 6104 and 6110 provide rules
for the disclosure of applications, includ-
ing any additional information received
by the Service from the organization pur-
suant to section 5.03, and determination
letters.

.01 Disclosure of favorable determina-
tions. The favorable determination letters
issued by the Service and the associated
Forms 1023-EZ (including any additional
information received by the Service from
the organization) are available for public

inspection under § 6104(a)(1). However,
there are certain limited disclosure excep-
tions for a trade secret, patent, process,
style of work, or apparatus, if the Service
determines that the disclosure of the in-
formation would adversely affect the or-
ganization.

(1) The Service is required to make
favorable determination letters and the as-
sociated applications available upon re-
quest. The public can request this infor-
mation by submitting Form 4506-A,
Request for Public Inspection or Copy of
Exempt or Political Organization IRS
Form. Organizations applying for exemp-
tion should ensure that their applications
do not include unnecessary personal iden-
tifying information (such as bank account
numbers or social security numbers) that
could result in identity theft or other ad-
verse consequences if publicly disclosed.

(2) The exempt organization is re-
quired to make its exemption application
and determination letter available for pub-
lic inspection without charge. For more
information about the exempt organiza-
tion's disclosure obligations, see Publica-
tion 557, Tax-Exempt Status for Your Or-
ganization.

.02 Disclosure of adverse determina-
tions. The Service is required to make
adverse determination letters available for
public inspection under § 6110 after the
deletion of names, addresses, and other
identifying information. Upon issuance of
a final adverse determination letter to an
eligible organization pursuant to section
5.05, both the proposed adverse determi-
nation letter and the final adverse deter-
mination letter will be available for public
inspection in accordance with section 8.02
of Rev. Proc. 2015-9.

.03 Disclosure to state officials.

(1) The Service may disclose to State
officials the name, address, and EIN of
any organization that has applied for rec-
ognition of exemption under § 501(c)(3),
including an organization that applies us-
ing Form 1023-EZ under this revenue
procedure.

(2) The Service may notify the appro-
priate State officials of a refusal to recog-
nize an organization as tax-exempt under
§ 501(c)(3). See § 6104(c). The notice to
the State officials may include a copy of a
proposed or final adverse determination
letter or ruling the Service issued to the

organization. The Service does not con-
sider the non-acceptance of an application
under section 5.02 to be a refusal. See
section 8.03 of Rev. Proc. 2015-9, for
more information about disclosure to ap-
propriate State officials in cases where the
Service refuses to recognize an organiza-
tion as exempt under § 501(c)(3).

# SECTION 8. EFFECT OF DETERMINATION LETTER RECOGNIZING EXEMPTION

.01 Effective date of exemption. A de-
termination letter recognizing exemption
of an organization described in
§ 501(c)(3) is usually effective as of the
date of formation of an organization if: (1)
its purposes and activities prior to the date
of the determination letter have been con-
sistent with the requirements for exemp-
tion; (2) it has not failed to file required
Form 990 series returns or notices for
three consecutive years; and (3) it has
submitted an application for recognition
of exemption within 27 months from the
end of the month in which it was orga-
nized. Special rules may apply to certain
organizations applying for exemption un-
der § 501(c)(3). See § 508, and Treas.
Reg. §§ 1.508-1(a)(2), 1.508-1(b)(7),
and 301.9100-2(a)(2)(iv).

(1) If the Service requires the organi-
zation to alter its activities or make sub-
stantive amendments to its enabling in-
strument, the exemption will be effective
as of the date specified in the determina-
tion letter.

(2) If an eligible organization has sub-
mitted a Form 1023-EZ within 27 months
from the end of the month in which it was
organized and the Service requires the or-
ganization to make a nonsubstantive
amendment, exemption will ordinarily be
recognized as of the date of formation.
Examples of nonsubstantive amendments
include correction of a clerical error in the
enabling instrument or the addition of a
dissolution clause where the activities of
the organization prior to the determination
letter are consistent with the requirements
for exemption.

(3) An eligible organization applying
under this revenue procedure that does not
submit Form 1023-EZ within 27 months
from the end of the month in which it was
organized will generally be recognized as
exempt from the submission date of its

Sec. 8.01

Form 1023-EZ. For this purpose, the sub-
mission date of Form 1023-EZ is deter-
mined without regard to the submission
date of any previously submitted applica-
tion for recognition of tax-exemption (in-
cluding a Form 1023-EZ, Form 1023, or
Form 1024) that has been withdrawn by
the organization or not accepted for pro-
cessing by the Service. Thus, if an eligible
organization that has a Form 1023 pend-
ing with the Service files a Form 1023-EZ
in accordance with section 4.06 outside
the 27-month window, it will generally be
recognized as exempt from the submis-
sion date of its Form 1023-EZ, not from
the date it submitted its Form 1023. An
organization that believes it qualifies for
an earlier effective date may request the
earlier date by sending correspondence to
the address listed in the Instructions for
Form 1023-EZ. The correspondence
should include the organization's name,
EIN, the effective date the organization is
requesting, an explanation of why the ear-
lier date is warranted, and any supporting
documents. This correspondence should
be sent after the organization receives its
determination letter. Alternatively, the or-
ganization may complete Form 1023 in-
stead of completing Form 1023-EZ.

.02 Reliance on determination letter. A
determination letter recognizing exemp-
tion may not be relied upon by the orga-
nization submitting the application if there
is a material change, inconsistent with ex-
emption, in the character, the purpose, or
the method of operation of the organiza-
tion, or a change in the applicable law.
Also, a determination letter issued to an
organization that submitted a Form
1023-EZ in accordance with this revenue
procedure may not be relied upon by the
organization submitting the application if
it was based on any inaccurate material
information submitted by the organiza-
tion. Inaccurate material information in-
cludes an incorrect attestation as to the
organization's organizational documents,
the organization's exempt purposes, the
organization's conduct of prohibited and
restricted activities, or the organization's
eligibility to file Form 1023-EZ. See also
section 9.

While the procedures for obtaining a
determination letter by submitting Form
1023-EZ differ from those for obtaining a
determination letter by submitting Form

1023, grantors and contributors may rely
on a determination letter issued pursuant
to this revenue procedure to the same ex-
tent as a determination letter issued pur-
suant to Rev. Proc. 2015-9. See, Rev.
Proc. 2011-33, 2011-25 I.R.B. 887.

.03 Automatic revocation. Organiza-
tions that claim exempt status under
§ 501(c) generally must file annual Form
990 series returns or notices, even if they
have not yet received their determination
letter recognizing exemption. If an orga-
nization fails to file required Form 990
series returns or notices for three consec-
utive years, its exemption will be automat-
ically revoked by operation of § 6033(j).
Such an organization may apply for rein-
statement of its exempt status, and such
recognition may be granted retroactively,
as provided in Rev. Proc. 2014-11. Con-
sistent with the eligibility requirements
for using Form 1023-EZ that are set forth
in section 2.01, only an organization re-
questing reinstatement of § 501(c)(3) sta-
tus under section 4 (streamlined retroac-
tive reinstatement of tax-exempt status for
small organizations within 15 months of
revocation) or section 7 (reinstatement of
tax-exempt status from postmark date) of
Rev. Proc. 2014-11 may apply using
Form 1023-EZ. An organization request-
ing reinstatement of § 501(c)(3) status un-
der section 5 (retroactive reinstatement of
tax-exempt status within 15 months of
revocation) or section 6 (retroactive rein-
statement more than 15 months after re-
vocation) of Rev. Proc. 2014-11 must
apply using Form 1023 under Rev. Proc.
2015-9.

.04 Filing requirement. Generally, an
organization that qualifies for exemption
under § 501(c)(3) is required to file an
annual return in accordance with
§ 6033(a). However, an eligible organiza-
tion, other than a private foundation, that
normally has gross receipts of $50,000 or
less is not required to file an annual return,
but must furnish notice on Form 990-N
providing the information required by
§ 6033(i). See Rev. Proc. 2011-15,
2011-3 I.R.B. 322. An eligible organiza-
tion (other than a private foundation) that
applies for recognition of exempt status
under this revenue procedure is not re-
quired to separately notify the Service that
it is excepted from the annual filing re-
quirement under § 6033(a) if it is claiming

a filing exemption solely on the basis that
its gross receipts are normally $50,000 or
less. However, if such an organization
claims an exception from filing an annual
return under § 6033(a) on a basis other
than it being an organization (other than a
private foundation) that normally has
gross receipts of $50,000 or less, it must
file a Form 8940, Request for Miscella-
neous Determination, with the Service
and provide a statement of all of the facts
on which its claim is based. A separate
user fee will be required when filing the
Form 8940.

# SECTION 9. REVOCATION OR MODIFICATION OF DETERMINATION LETTER RECOGNIZING EXEMPTION

.01 In general. A determination letter
recognizing exemption may be revoked or
modified: (1) by a notice to the taxpayer to
whom the determination letter was issued;
(2) by enactment of legislation or ratifica-
tion of a tax treaty; (3) by a decision of the
Supreme Court of the United States; (4)
by the issuance of temporary or final reg-
ulations; (5) by the issuance of a revenue
ruling, revenue procedure, or other state-
ment published in the Internal Revenue
Bulletin; or (6) automatically, pursuant to
§ 6033(j), for failure to file a required
annual return or notice for three consecu-
tive years.

.02 Retroactive revocation or modifi-
cation. The revocation or modification of
a determination letter recognizing the ex-
emption of an organization that submitted
a Form 1023-EZ in accordance with this
revenue procedure may be retroactive if
there has been a change in the applicable
law, if the organization operated in a man-
ner materially different from that repre-
sented on its completed Form 1023-EZ
(including any additional information pro-
vided), or if the organization misstated or
omitted any material information on its
completed Form 1023-EZ (including any
additional information provided). A mis-
statement of material information includes
an incorrect attestation as to the organiza-
tion's organizational documents, the orga-
nization's exempt purposes, the organiza-
tion's conduct of prohibited and restricted
activities, or the organization's eligibility
to file Form 1023-EZ. Information pro-
vided on an application for recognition of

exemption (e.g., Form 1023-EZ, Form
1023, or Form 1024) that has been with-
drawn will not be considered for purposes
of limiting the retroactive effect of a re-
vocation or modification of a determina-
tion letter. In certain cases an organization
may seek relief from retroactive revoca-
tion or modification of a determination
letter under § 7805(b). Requests for
§ 7805(b) relief may be made as described
in section 12 of Rev. Proc. 2015-9 and
Rev. Proc. 2015-4.

.03 Appeal and conference procedures.
In the case of a revocation or modification
of a determination letter, the appeal and
conference procedures are the same as
those set out in section 12 of Rev. Proc.
2015-9.

# SECTION 10. EFFECTIVE DATE

This revenue procedure is effective
date of January 2, 2015.

## SECTION 11. DRAFTING INFORMATION

The principal authors of this Revenue
Procedure are Timothy Berger and Me-
linda Williams of the Exempt Organiza-
tions, Tax Exempt and Government Enti-
ties Division, and Robin Ehrenberg of the
Office of Associate Chief Counsel (Tax
Exempt and Government Entities). For
additional information, please contact Mr.
Berger at 202-317-8533, Ms. Williams at
202-317-8532, or Ms. Ehrenberg at 202-

317-5800 (these are not toll-free num-
bers).

# SECTION 12. PAPERWORK REDUCTION ACT

Any collection of information under
this revenue procedure will be reported
and approved through Form 1023-EZ
(OMB approval number 1545-0056).

An agency may not conduct or spon-
sor, and a person is not required to re-
spond to, a collection of information un-
less it displays a valid control number
assigned by the Office of Management
and Budget.

## Rev. Proc. 2015-6

TABLE OF CONTENTS

SECTION 1. WHAT IS THE PURPOSE OF THIS REVENUE PROCEDURE?

197

.01 Purpose of revenue procedure

197

.02 Organization of revenue procedure

197

SECTION 2. WHAT CHANGES HAVE BEEN MADE TO THIS PROCEDURE?

197

.01 In general

197

.02 Other changes

197

.03 Other guidance

198

PART I. PROCEDURES FOR DETERMINATION LETTER REQUESTS

SECTION 3. ON WHAT ISSUES MAY TAXPAYERS REQUEST WRITTEN GUIDANCE UNDER THIS PROCEDURE?

198

.01 Types of requests

198

.02 Areas in which determination letters will not be issued

199

.03 Submission period for applications

200

SECTION 4. ON WHAT ISSUES MUST WRITTEN GUIDANCE BE REQUESTED UNDER DIFFERENT PROCEDURES?

200

.01 Tax Exempt and Government Entities.

200

.02 Chief Counsel's revenue procedure

201

SECTION 5. WHAT IS THE GENERAL SCOPE OF A DETERMINATION LETTER?

201

.01 Scope of this section

201

.02 Scope of determination letters

201

.03 Nondiscrimination in amount requirement

201

.04 Governmental plans under § 414(d)

201

.05 Church plans under § 414(e)

202

.06 Tax treatment of certain contributions under § 414(h)

202

.07 Other limits on scope of the determination letter

202

.08 Affiliated service groups, leased employees and partial terminations.

202

.09 Publication 794

202

SECTION 6. WHAT IS THE GENERAL PROCEDURE FOR REQUESTING DETERMINATION LETTERS?

202

.01 Scope

202

.02 Qualified trusteed plans

202

.03 Qualified nontrusteed annuity plans

202

.04 Complete information required

202

.05 Complete copy of plan and trust instrument required

203

.06 Section 9 of Rev. Proc. 2015-4 applies.

203

.07 Separate application required for each single § 414(1) plan

203

.08 Prior letters

203

.09 User fees

203

.10 Interested party notification and comment

204

.11 Contrary authority must be distinguished

204

.12 Employer/employee relationship

204

.13 Incomplete Applications

204

.14 Effect of failure to disclose material fact

205

.15 Where to file requests.

205

.16 Submission of related plans

205

.17 Withdrawal of requests.

206

.18 Right to status conference

206

.19 How to request status conference

206

SECTION 7. WHEN DETERMINATION LETTERS ARE ISSUED

206

.01 Requesting Determination Letters.

206

.02 Forms

206

.03 Timing

207

.04 Application must include copy of plan and amendments

207

.05 Restatements required

207

.06 Controlled group elections pursunt to Revenue Procedure 2007-44

207

.07 § 414(x) combined plans

207

SECTION 8. EMPLOYER RELIANCE ON M&amp;P AND VOLUME SUBMITTER PLANS

207

.01 Scope

207

.02 Modifications to Revenue Procedure 2011-49

208

.03 Reliance equivalent to determination letter

208

SECTION 9. DETERMINATION LETTER FILING PROCEDURES FOR VOLUME SUBMITTER PLANS

209

.01 Scope

209

.02 Determination letter for adoption of volume submitter plan

209

.03 Timing of determination letter applications for adopting employers of pre-approved plans

210

SECTION 10. MULTIPLE EMPLOYER PLANS

210

.01 Scope

210

.02 Options to file for the plan only or for both the plan and employers maintaining the plan

210

.03 Where to file

210

.04 Determination letter sent to each employer who files Form 5300

210

.05 Addition of employers

210

.06 Pre-approved multiple employer plans

211

SECTION 11. RESERVED

211

SECTION 12. TERMINATION OR DISCONTINUANCE OF CONTRIBUTIONS; NOTICE OF MERGERS,

CONSOLIDATIONS, ETC.

211

.01 Scope

211

.02 Forms

211

.03 Supplemental information

212

.04 Compliance with Title IV of ERISA

212

.05 Termination prior to time for amending for change in law

212

.06 Restatement not required for terminating plan

212

SECTION 13. GROUP TRUSTS.

212

.01 Scope

212

.02 Required information

212

.03 Forms

213

SECTION 14. AFFILIATED SERVICE GROUPS; LEASED EMPLOYEES

213

.01 Scope

213

.02 Employer must request the determination under § 414(m) or § 414(n)

213

.03 Forms

213

.04 Employer is responsible for determining status under § 414(m) and § 414(n)

213

.05 Pre-approved plans

213

.06 Required information for § 414(m) determination

213

.07 Required information for § 414(n) determination

214

SECTION 15. WAIVER OF MINIMUM FUNDING.

215

.01 Applicability of Rev. Proc. 2004-15

215

SECTION 16. SECTION 401(h) AND § 420 DETERMINATION LETTERS

215

.01 Scope

215

.02 Required information for § 401(h) determination

215

.03 Required information for § 420 determination

215

PART II. INTERESTED PARTY NOTICE AND COMMENT

SECTION 17. WHAT RIGHTS TO NOTICE AND COMMENT DO INTERESTED PARTIES HAVE?

216

.01 Rights of interested parties.

216

.02 Comments by interested parties

217

.03 Requests for DOL to submit comments

218

.04 Right to comment if DOL declines to comment.

218

.05 Confidentiality of comments

218

.06 Availability of comments

218

.07 When comments are deemed made

219

SECTION 18. WHAT ARE THE GENERAL RULES FOR NOTICE TO INTERESTED PARTIES?

219

.01 Notice to interested parties

219

.02 Time when notice must be given

219

.03 Content of notice

219

.04 Procedures for making information available to interested parties

220

.05 Information to be available to interested parties

220

.06 Special rules if there are fewer than 26 participants

220

.07 Information described in § 6104(a)(1)(D) should not be included

221

.08 Availability of additional information to interested parties

221

.09 Availability of notice to interested parties

221

PART III. PROCESSING DETERMINATION LETTER REQUESTS

SECTION 19. HOW DOES THE SERVICE HANDLE DETERMINATION LETTER REQUESTS

221

.01 Oral advice

221

.02 Conferences

222

.03 Determination letter based solely on administrative record

222

.04 Notice of final determination

222

.05 Issuance of the notice of final determination

223

SECTION 20. EXHAUSTION OF ADMINISTRATIVE REMEDIES

223

.01 In general

223

.02 Steps for exhausting administrative remedies

223

.03 Applicant's request for § 7805(b) relief.

223

.04 Interested parties

223

.05 Deemed exhaustion of administrative remedies

223

.06 Service must act on appeal

224

.07 Service must act on § 7805(b) request

224

.08 Effect of technical advice request

224

SECTION 21. WHAT EFFECT WILL AN EMPLOYEE PLAN DETERMINATION LETTER HAVE?

224

.01 Scope of reliance on determination letter

224

.02 Sections 13 and 14 of Rev. Proc. 2015-4 applicable.

224

.03 Effect of subsequent publication of revenue ruling, etc.

224

.04 Determination letter does not apply to taxability issues

224

SECTION 22. EFFECT ON OTHER REVENUE PROCEDURES

225

SECTION 23. EFFECTIVE DATE

225

SECTION 24. PAPERWORK REDUCTION ACT

225

DRAFTING INFORMATION

225

EXHIBIT

226

APPENDIX

228

### SECTION 1. WHAT IS THE PURPOSE OF THIS REVENUE PROCEDURE?

#### Purpose of revenue procedure

.01 This revenue procedure sets forth the procedures of the Internal Revenue Service for issuing
determination letters on the qualified status of pension, profit-sharing, stock bonus, annuity, and
employee stock ownership plans (ESOPs) under §§ 401, 403(a), 409 and 4975(e)(7) of the
Internal Revenue Code of 1986, and the status for exemption of any related trusts or custodial
accounts under § 501(a). Also see Rev. Proc. 2007-44, 2007-2 C.B. 54, as modified by Rev.
Proc. 2008-56, 2008-2 C.B. 826, and Rev. Proc. 2009-36, 2009-2 C.B. 304, which contains
a description of the determination letter program, including when to submit a request for a
determination letter within the 5-year and 6-year staggered remedial amendment cycles, that apply
to individually designed and pre-approved (Master & Prototype and Volume Submitter (VS)) plans.
Also see Rev. Proc. 2011-49, 2011-44 I.R.B. 608, for procedures for pre-approved plans.

#### Organization of revenue procedure

This revenue procedure is effective February 1, 2015.

.02 Part I of this revenue procedure contains instructions for requesting determination letters
for various types of plans and transactions. Part II contains procedures for providing notice to
interested parties and for interested parties to comment on determination letter requests. Part III
contains procedures concerning the processing of determination letter requests and describes the
effect of a determination letter.

### SECTION 2. WHAT CHANGES HAVE BEEN MADE TO THIS PROCEDURE?

In general

.01 This revenue procedure is a general update of Rev. Proc. 2014-6, 2014-1 I.R.B 198, which
contains the Service's general procedures for employee plans determination letter requests.

Other changes

.02 (1) In addition to minor revisions, such as updating references, the following changes have
been made:

(2) Section 3.02 has been modified to reflect changes related to the transfer of technical work
from the Tax Exempt and Government Entities Division (TE/GE) to the Office of Associate
Chief Counsel (Tax Exempt and Government Entities);

(3) Section 3.02(1) has been modified for clarity;

(4) Section 3.02(3)(a) has been modified to reflect recent guidance issued on group trusts;

(5) Section 4.01 has been modified by deleting the reference to Rev. Proc. 2014-5 for
technical advice requests;

(6) Section 4.01(4) has been added to refer to the Employee Plans Compliance Resolution System;

(7) Section 4.02 has been modified to reflect changes related to the transfer of technical work
from TE/GE to the Office of Associate Chief Counsel (Tax Exempt and Government Entities);

(8) Section 6.04 has been modified by adding a summary of the new procedures for
processing incomplete applications;

(9) Section 6.05 has been modified to reflect new submission requirements;

(10) Section 6.08 has been modified to clarify the submission requirements for applications
involving merged plans;

(11) Section 6.12 has been modified to delete the process for determining the existence of an
employer/employee relationship;

(12) Section 6.13 has been modified to reflect the new procedures for processing incomplete
applications;

(13) Section 6.15 has been modified by changing the address for determination letter requests;

(14) Sections 7.02(1) and 7.02(3) have been modified to update the application procedures for
determination letter requests;

(15) Section 9.02(2)(b) has been modified to update the application procedures for determi-
nation letter requests;

(16) Sections 12.02(1) and 12.02(2) have been modified to update the application procedures
for determination letter requests;

(17) Sections 13.01 and 13.02 have been modified to reflect recent guidance issued on group
trusts;

(18) Section 13.03 has been modified to update the application procedures for determination
letter requests;

(19) Section 15 has been modified, in part to reflect that a request for a minimum funding
waiver and determination letter will be submitted to the Office of Associate Chief Counsel (Tax
Exempt and Government Entities); and

(20) Sections 20.03 and 20.07 have been modified to reflect that technical advice requests will
be handled by the Office of Associate Chief Counsel (Tax Exempt and Government Entities).

#### Other guidance

.03 Other guidance affecting this revenue procedure:

(1) Rev. Proc. 2011-49, 2011-44 I.R.B. 608 describes the procedures for the "pre-approval"
of plans under the master and prototype (M&P) program and the VS program. Rev. Proc.
2007-44 describes a system of remedial amendment cycles that applies to pre-approved plans
and individually designed plans, and the deadlines to submit applications for opinion, advisory
and determination letters. The Service issues a Cumulative List every year identifying changes
affecting plan qualification requirements.

(2) The 2014 Cumulative List is contained in Notice 2014-77, 2014-52 I.R.B. 974.

# PART I. PROCEDURES FOR DETERMINATION LETTER REQUESTS

SECTION 3. ON WHAT
ISSUES MAY
TAXPAYERS REQUEST
WRITTEN GUIDANCE
UNDER THIS
PROCEDURE?

Types of requests
.01 Determination letters may be requested on completed and proposed transactions as set
forth in the table below:

TYPE OF REQUEST

FORMS

REV. PROC. SECTION

1. Initial Qualification, etc.

a. Individually-designed plans (including collectively bargained plans) and par- tial terminations

5300

b. ESOPs

5300, 5309

TYPE OF REQUEST

FORMS

REV. PROC. SECTION

Adoptions of volume submitter plans (where the employer has made limited modifications to the language of the approved specimen plan)

5307

Multiple employer plans

5300

Group trusts

5316

§ 414(x) combined plans

5300

2. Termination

In general

5310, 6088

Multiemployer plan covered by PBGC insurance

5300, 6088

Note: Form 5310-A, Notice of Plan Merger, Consolidation, Spinoff or Transfer of Plan Assets or Liabilities - Notice
of Qualified Separate Lines of Business generally must be filed not less than 30 days before the merger, consolida-
tion or transfer of assets and liabilities. The filing of Form 5310-A will not result in the issuance of a determination
letter.

## 3. Special Procedures

Affiliated service group status (§ 414(m)), leased employees (§ 414(n)), partial termination

5300

Minimum funding waiver

5300

Section 401(h) determination letters

5300

Section 420 determination letters in- cluding other matters under § 401(a)

5300, Cover let- ter, Checklist

Section 420 determination letters ex- cluding other matters under § 401(a)

Cover letter, Checklist

Areas in which
determination letters will
not be issued

.02 Determination letters issued in accordance with this revenue procedure do not include
determinations on the following issues:

(1) Issues involving §§ 72, 79, 105, 125, 127, 129, 402, 403 (other than 403(a)), 404, 409(l),
409(n), 412, 414(h)(2), 415(m), 457, 511 through 515, and 4975 (other than 4975(e)(7)).

(2) Plans or plan amendments for which automatic reliance is granted pursuant to section 19
of Rev. Proc. 2011-49.

(3) Plan amendments described below (these amendments will, to the extent provided, be
deemed not to alter the qualified status of a plan under § 401(a)).

(a) An amendment solely to permit a trust forming part of a plan to participate in a pooled
fund arrangement described in Rev. Rul. 81-100, 1981-1 C.B. 326, as clarified and modified by
Rev. Rul. 2004-67, 2004-2 C.B. 28; Rev. Rul. 2011-1, 2011-2 I.R.B. 251; Notice 2012-6,
2012-3 I.R.B. 293, and Rev. Rul. 2014-24, 2014-37 I.R.B. 529.

(b) An amendment that merely adjusts the maximum limitations under § 415 to reflect annual
cost-of-living increases under § 415(d), other than an amendment that adds an automatic
cost-of-living adjustment provision to the plan; and

(c) An amendment solely to include language pursuant to § 403(c)(2) of Title I of the
Employee Retirement Income Security Act of 1974 (ERISA) concerning the reversion of
employer contributions made as a result of mistake of fact.

(4) This section applies to determination letter requests with respect to plans that combine an
ESOP (as defined in § 4975(e)(7) of the Code) with retiree medical benefit features described
in § 401(h) (HSOPs).

(a) In general, determination letters will not be issued with respect to plans that combine an
ESOP with an HSOP with respect to:

(i) whether the requirements of § 4975(e)(7) are satisfied;

(ii) whether the requirements of § 401(h) are satisfied; or

(iii) whether the combination of an ESOP with an HSOP in a plan adversely affects its
qualification under § 401(a).

(b) A plan is considered to combine an ESOP with an HSOP if it contains ESOP provisions
and § 401(h) provisions.

(c) However, an arrangement will not be considered covered by section 3.02(4) of this
revenue procedure if, under the provisions of the plan, the following conditions are satisfied:

(i) No individual accounts are maintained in the § 401(h) account (except as required by
§ 401(h)(6));

(ii) No employer securities are held in the § 401(h) account;

(iii) The § 401(h) account does not contain the proceeds (directly or otherwise) of an
exempt loan as defined in § 54.4975-7(b)(1)(iii) of the Pension Excise Tax Regulations; and

(iv) The amount of actual contributions to provide § 401(h) benefits (when added to
actual contributions for life insurance protection under the plan) does not exceed 25 percent of
the sum of: (1) the amount of cash contributions actually allocated to participants' accounts in
the plan and (2) the amount of cash contributions used to repay principal with respect to the
exempt loan, both determined on an aggregate basis since the inception of the § 401(h)
arrangement.

Submission period for
applications

.03 The Service will accept applications for determination letters for the second Cycle E
submission period from February 1, 2015 to January 31, 2016. The Service's review will take
into account the qualification requirements, and other items identified on the 2014 Cumulative
List in Notice 2014-77.

SECTION 4. ON WHAT
ISSUES MUST WRITTEN
GUIDANCE BE
REQUESTED UNDER
DIFFERENT
PROCEDURES?

TE/GE

.01 Other procedures for obtaining rulings, determination letters, opinion letters, etc., on
matters within the jurisdiction of the Commissioner, TE/GE are contained in the following
revenue procedures:

Sec. 4.01
January 2, 2015

(1) Employee Plans Rulings and Agreements (EP Rulings and Agreements) letter rulings and
determination letters, etc .: See Rev. Proc. 2015-4, this Bulletin.

(2) Master & Prototype (M&P) and Volume Submitter (VS) plans under § 401(a): See Rev.
Proc. 2011-49.

(3) Prototype and Volume Submitter plans under § 403(b): See Rev. Proc. 2013-22.

(4) Employee Plans Compliance Resolution System: See Rev. Proc. 2013-12.

Chief Counsel's revenue
procedure

.02 The procedures for obtaining letter rulings, determination letters, etc., on matters within
the jurisdiction of the Associate Chief Counsel (Tax Exempt and Government Entities), or
within the jurisdiction of other offices of Chief Counsel are contained in the following revenue
procedures:

(1) Chief Counsel's letter rulings, information letters, etc .: See Rev. Proc. 2015-1, this
Bulletin.

(2) Technical Advice Requests: See Rev. Proc. 2015-2, this Bulletin.

(3) Chief Counsel's no-rule positions: See Rev. Proc. 2015-3, this Bulletin.

### SECTION 5. WHAT IS THE GENERAL SCOPE OF A DETERMINATION LETTER?

Scope of this section

.01 This section delineates, generally, the scope of an employee plan determination letter. This section also identifies certain qualification requirements that are not considered by the Service in its review of a plan and with respect to which determination letters do not provide reliance. This section applies to all determination letters other than letters relating to the qualified status of group trusts; and certain letters relating solely to the requirements of § 420, regarding the transfer of assets in a defined benefit plan to a health benefit account described in § 401(h). For additional information pertaining to the scope of reliance on a determination letter, see sections 8, 9 and 21 of this revenue procedure.

Scope of determination letters

.02 In general, employee plans are reviewed by the Service for compliance with the form requirements (that is, those plan provisions that are required as a condition of qualification under § 401(a)). For terminating plans, the requirements are those that apply as of the date of termination. See Rev. Proc. 2007-44 for further details on the scope of the Service's review of determination letter applications.

Nondiscrimination in amount requirement

.03 Generally, a plan will not be reviewed for, and a determination letter may not be relied on with respect to, whether a plan satisfies the nondiscrimination requirements of § 401(a)(4), the minimum participation requirements of § 401(a)(26), or the minimum coverage require- ments of § 410(b). However, if the applicant elects, a plan will be reviewed for, and a determination letter may be relied on with respect to whether the terms of the plan satisfy one of the design-based safe harbors in §§ 1.401(a)(4)-2(b) and 1.401(a)(4)-3(b) of the regulations (relating to nondiscrimination in amount of contributions and benefits.) A plan will also be reviewed for, and a determination letter may be relied on with respect to, whether a plan's terms satisfy the applicable requirements of sections 401(k) and 401(m).

Governmental plans under § 414(d)

.04 A plan will not be reviewed for and a determination letter does not constitute a ruling or determination as to whether the plan is a governmental plan within the meaning of § 414(d). If a determination letter applicant indicates on the application that the plan is a governmental plan within the meaning of § 414(d), the determination letter issued for the plan is predicated on that representation.

Church plans under § 414(e)

.05 A plan will not be reviewed for and a determination letter does not constitute a ruling or determination as to whether the plan is a church plan within the meaning of § 414(e). If a determination letter applicant indicates on the application that the plan is a church plan within the meaning of § 414(e), the determination letter issued for the plan is predicated on that representation.

Tax treatment of certain contributions of § 414(h)

.06 A plan will not be reviewed for and a determination letter may not be relied on with respect to whether contributions to the plan satisfy § 414(h). A determination letter does not express an opinion on whether contributions made to a plan treated as a governmental plan defined in § 414(d) constitute employer contributions under § 414(h)(2).

Other limits on scope of determination letter

.07 A favorable determination letter does not provide reliance for purposes of §§ 404, 412, 430, 431, 432 and 433 with respect to whether an interest rate (or any other actuarial assumption) is reasonable. A favorable determination letter does not constitute a determination with respect to whether any requirements of § 414(r), relating to whether an employer is operating qualified separate lines of business, are satisfied.

Affiliated service groups,

.08 Applicants may elect that the letter include a determination as to whether:

leased employees and partial terminations

(1) the employer is a member of an affiliated service group within the meaning of § 414(m),

(2) leased employees are deemed employees of the employer under the meaning of § 414(n), and/or

(3) a partial termination has occurred with respect to the plan, and if so, its impact on plan qualification.

Publication 794

.09 Publication 794, Favorable Determination Letter, contains other information regarding the scope of a determination letter, including the requirement that all information submitted with the application be retained as a condition of reliance. In addition, the specific terms of each letter may further define its scope and the extent to which it may be relied upon. Publication 794 can also be found at http://www.irs.gov/Forms-&amp;-Pubs.

SECTION 6. WHAT IS THE GENERAL PROCEDURE FOR REQUESTING DETERMINATION LETTERS?

Scope

.01 This section contains procedures that are generally applicable to all determination letter requests. Additional procedures for specific requests are contained in sections 7 through 16.

Qualified trusteed plans

.02 A trust created or organized in the United States and forming part of a pension, profit-sharing, stock bonus or annuity plan of an employer for the exclusive benefit of its employees or their beneficiaries that meets the requirements of § 401(a) is a qualified trust and is exempt from federal income tax under § 501(a) unless the exemption is denied under § 502, relating to feeder organizations, or § 503, relating to prohibited transactions, if, in the latter case, the plan is one described in § 503(a)(1)(B).

Qualified nontrusteed annuity plans

.03 A nontrusteed annuity plan that meets the applicable requirements of § 401(a) and other additional requirements as provided under § 403(a) and § 404(a)(2) (relating to deductions of employer contributions for the purchase of retirement annuities) qualifies for the special tax treatment under § 404(a)(2), and the other sections of the Code, if the additional provisions of such other sections are also met.

Complete information required

.04 An applicant requesting a determination letter must file the material required by this revenue procedure with Employee Plans Determinations (EP Determinations) at the address in section 6.15. The filing of the application, when accompanied by all information and documents required by this revenue procedure, will generally serve to provide the Service with the

Sec. 6.04
January 2, 2015

information required to make the requested determination. However, in making the determina-
tion, the Service may require the submission of additional information. If an application is
determined by the Service to be procedurally or technically deficient, the Service may decline
to process the application and an applicant may be required to resubmit the entire application
and pay a new user fee in order to request a determination letter. See section 6.13 for additional
information. Information submitted to the Service in connection with an application for
determination may be subject to public inspection to the extent provided by § 6104. The
applicant must include Employee Plans Compliance Resolution System documentation for any
closing agreement or compliance statement (including Appendix C of Rev. Proc. 2013-12,
applicable schedules and copies of corrective amendments) issued or applied for during the
current 5-year or 6-year remedial amendment cycle, if any, with the determination letter
application.

Complete copy of plan and
trust instrument and
applicable amendments
required

.05 In addition to a copy of the plan and trust documents and other material required by the
application, the determination letter application must also include a copy of all signed and dated
interim and other plan amendments adopted or effective during the plan's current remedial
amendment cycle (other than such amendments adopted on behalf of the employer by the
practitioner that sponsors the employer's VS plan) even if these amendments are dated earlier
than a previous determination letter issued with respect to the plan. The application must also
include the completed Procedural Requirements Checklist that is set forth in Forms 5300, 5307,
5310 and 5316. If a plan did not receive a prior favorable determination letter, all plan
documents and amendments for the Cumulative List applicable for the plan's prior submission
period must be submitted.

Submission of reference list
encouraged

In order to facilitate the review of an application for a determination letter, an applicant is
encouraged to submit a completed reference list along with the application for the plan. A
reference list is a checklist that applicants may use to indicate the location in their plan document
of items set forth in the 2014 Cumulative List. A sample reference list will be made available
at www.irs.gov. The inclusion of a completed reference list with the determination letter
application will facilitate the Service's review of the submission, and is encouraged. Submission
of a reference list is not mandatory.

In order for documents to be properly scanned, documents submitted should not be stapled or
bound and the application form should be prepared using Courier 10 point font.

Section 9 of Rev. Proc.
2015-4 applies

.06 Section 9 of Rev. Proc. 2015-4 is generally applicable to requests for determination
letters under this revenue procedure.

Separate application for
each single § 414(l) plan

.07 A separate application is required for each single plan within the meaning of § 414(l). This
requirement does not pertain to applications regarding the qualified status of group trusts.

Prior letters

.08 If the plan has received a favorable determination letter in the past, the application must
include a copy of the latest determination letter. If a prior determination letter is not available,
an explanation must be included with the application, and the employer must include a copy of
the prior plan or adoption agreement, including the opinion or advisory letter, if applicable.

Plans involving mergers

If the submitted plan is the result of a merger of two or more plans, the applicant must include
a copy of the prior determination letter for all the plans that combined to result in the merged
plan. If a prior determination letter is not available for any such plan involved in a merger, an
explanation must be included with the application, and the applicant must include a copy of the
prior plan document (and adoption agreement, if applicable), the opinion or advisory letter for
the plan, if applicable, and all amendments necessary to verify that each plan was amended
timely for the Cumulative List applicable for the plan's prior submission period. Additionally,
for each plan involved in a merger the applicant must provide all of the amendments adopted
during the plan's current remedial amendment cycle.

User fees

.09 The appropriate user fee, if applicable, must be paid according to the procedures of Rev.
Proc. 2015-8, this Bulletin. Form 8717, User Fee for Employee Plan Determination Letter

Sec. 6.08
January 2, 2015

Request, must accompany each determination letter request by an authorized representative. If,
however, the user fee for a determination letter request is paid through www.pay.gov, submit a
copy of the payment confirmation in lieu of Form 8717. If the criteria for the user fee exemption
are met in accordance with Notice 2011-86, 2011-45 I.R.B. 698, the certification on Form 8717
must be signed. Stamped signatures are not acceptable.

#### Interested party notification and comment

.10 Before filing an application, the applicant requesting a determination letter must satisfy
the requirements of section 3001(a) of ERISA, and § 7476(b)(2) of the Code and the regulations
thereunder, which provide that an applicant requesting a determination letter on the qualified
status of certain retirement plans must notify interested parties of such application. The general
rules of the Service with respect to notifying interested parties of requests for determination
letters relating to the qualification of plans involving §§ 401 and 403(a) are set out below in
sections 17 and 18 of this revenue procedure.

#### Contrary authority must be distinguished

.11 If the application for determination involves an issue where contrary authorities exist,
failure to disclose or distinguish such contrary authorities may result in requests for additional
information, which will delay action on the application.

Employer/employee
relationship

.12 Employee Plans of the Tax Exempt and Government Entities Division of the Service does
not make determinations regarding the existence of an employer-employee relationship as part
of its determination on the qualification of a plan, but relies on the applicant's representations
or assumptions, stated or implicit, regarding the existence of such a relationship. Taxpayers are
reminded, however, that they may file Form SS-8, Determination of Worker Status for Purposes
of Federal Employment Taxes and Income Tax Withholding, with the Service to determine the
employment status of the individuals involved prior to filing an application for a determination
letter on the qualified status of the plan. See section 12.04 of Rev. Proc. 2015-1.

#### Incomplete applications

.13 This section provides procedures for processing incomplete applications

(1) Procedural Completeness. Upon receipt, an application will be reviewed to determine if
it is procedurally complete. In order for an application to be procedurally complete, the
application must include all of the information and documents required by this revenue
procedure, including but not limited to the Form 5300 series application and the Procedural
Requirements Checklist.

(2) Procedurally deficient applications. The following procedures apply to a procedurally
deficient on-cycle filing of a determination letter application. To retain its status as an on-cycle
filing, a procedurally deficient application must either be perfected in accordance with section
6.13(2)(a) of this revenue procedure or resubmitted in accordance with section 6.13(2)(b). See
section 6.05 of this revenue procedure.

(a) If an application is procedurally deficient, the Service will send the applicant a letter
identifying the missing information. The applicant will have 30 days from the date
of the letter to submit the missing information identified. If the missing information
is not sent (postmarked) within 30 days of the Service's letter, the case will be closed.
Any user fee with respect to the application will not be refunded.

(b) If a procedurally deficient application is not perfected pursuant to section 6.13(2)(a)
of this revenue procedure, the applicant must resubmit the entire application, includ-
ing a new user fee (if applicable), by the end of the plan sponsor's remedial
amendment cycle, unless a later date is specified in the Service's letter.

(c) If a procedurally deficient application is not perfected pursuant to section 6.13(2)(a)
of this revenue procedure, and both the response deadline and the postmark date of
a response submitted pursuant to section 6.13(2)(a) occur after the end of the plan
sponsor's remedial amendment cycle, the Service will send the applicant a final
disposition letter indicating that the remedial amendment cycle will not be extended
to allow the plan to be submitted for that cycle.

(3) Technically deficient applications. An application that is procedurally complete will
proceed for a technical review. During the course of the review, the Service may request the
submission of additional information.

(a) If the Service needs additional information to process the application, the applicant
will be sent an information request with a response date.

(b) If the applicant's response to such information request is not timely or complete, the
applicant will be given a set period of time in which to respond.

(c) If a complete response is not received by the response deadline set forth in the
Service's letter referenced in section 6.13(3)(b) of this revenue procedure, the case
will be closed and any user fee submitted with respect to the application will not be
refunded.

(i) If either the response deadline or the postmark date of the submitted response
occurs prior to the end of the plan sponsor's remedial amendment cycle, the
applicant will be given a set period of time to submit a new application, including
a new user fee, if applicable.

(ii) If both the response deadline and the postmark date of a response submitted
pursuant to section 6.13(3)(b) occur after the end of the plan sponsor's remedial
amendment cycle, the Service will send the applicant a final disposition letter
indicating that the remedial amendment cycle will not be extended to allow the
plan to be submitted for that cycle.

(d) An application resubmitted with a new user fee in accordance with section 6.13(3)(c)
of this revenue procedure will be treated as a new application for purposes of this
section 6.13.

Effect of failure to disclose
material fact

.14 The Service may determine, based on the application form, the extent of review of the
plan document. A failure to disclose a material fact or misrepresentation of a material fact on
the application adversely affects the reliance that would otherwise be obtained through issuance
by the Service of a favorable determination letter. Similarly, failure to accurately provide any
of the information called for on any form required by this revenue procedure may result in no
reliance.

Where to file requests

.15 Requests for determination letters are to be addressed to EP Determinations at the
following address:

Internal Revenue Service
Attention: EP/EO Determination Letters
Stop 31
P.O. Box 12192
Covington, KY 41012-0192

Requests shipped by Express Mail or a delivery service should be sent to:

Internal Revenue Service
Attention: EP/EO Determination Letters
Stop 31
201 West Rivercenter Blvd.
Attn: Extracting Stop 31
Covington, KY 41011

Determination letter applications will not be accepted via fax.

Submission of related plans
.16 If applications for two or more plans of the same employer are submitted together, each
application should include a cover letter that identifies the name of the employer and the plan

Sec. 6.15

#### Withdrawal of requests

numbers and employer identification numbers of all the related plans submitted together. The
Service will determine whether these applications will be worked simultaneously.

.17 The applicant's request for a determination letter may be withdrawn by a written request
at any time prior to the issuance of a final adverse determination letter. If an appeal to a proposed
adverse determination letter is filed, a request for a determination letter may be withdrawn at any
time prior to the forwarding of the proposed adverse action to the Chief, Appeals Office. In the
case of a withdrawal, the Service will not issue a determination of any type. A failure to issue
a determination letter as a result of a withdrawal will not be considered a failure of the Secretary
or his delegate to make a determination within the meaning of § 7476. However, the Service
may consider the information submitted in connection with the withdrawn request in a subse-
quent examination. Generally, the user fee will not be refunded if the application is withdrawn.

Right to status conference

.18 An applicant for a determination letter has the right to a have a conference with the EP
Determinations Manager concerning the status of the application if the application has been
pending at least 270 days. The status conference may be by phone or in person, as mutually
agreed upon. During the conference, any issues relevant to the processing of the application may
be addressed, but the conference will not involve substantive discussion of technical issues. No
tape, stenographic, or other verbatim recording of a status conference may be made by any party.
Subsequent status conferences may also be requested if at least 90 days have passed since the
last preceding status conference.

#### How to request status conference

.19 A request for a status conference with the EP Determinations Manager is to be made in
writing and is to be sent to the specialist assigned to review the application or, if the applicant
does not know who is reviewing the application, to the EP Determinations Manager at the
address in section 6.15.

#### SECTION 7. WHEN DETERMINATION LETTERS ARE ISSUED

##### Requesting Determination Letters

.01 This section 7 contains the procedures for requesting determination letters for individually
designed plans in the following circumstances:

(1) Initial qualification.

(2) Amendment and restatement subsequent to initial qualification.

(3) Plan termination.

Forms

.02 A determination letter request for the items listed in section 7.01 is made by filing the
appropriate form according to the instructions to the form and any prevailing revenue proce-
dures, notices, and announcements.

(1) Form 5300, Application for Determination for Employee Benefit Plan, including a copy
of the Procedural Requirements Checklist included therein, must be filed to request a determi-
nation letter for an individually designed plan, including a collectively bargained plan and an
M&P plans that has made modifications.

(2) Form 5309, Application for Determination of Employee Stock Ownership Plan, must be
filed as an attachment with a Form 5300, in order to request a determination whether the plan
is an ESOP under § 409 or § 4975(e)(7).

(3) Form 5310, Application for Determination for Terminating Plan, including a copy of the
Procedural Requirements Checklist included therein. (Also see section 12 of this revenue procedure
for additional requirements pertaining to applications for determination upon plan termination.)

(4) Form 8905, Certification of Intent to Adopt a Pre-approved Plan, executed before the end
of the employer's 5-year remedial amendment cycle as determined under Part III of Rev. Proc.
2007-44, if applicable.

(5) Form 8717, User Fee for Employee Plan Determination Letter Request (or the payment
confirmation from www.pay.gov as described in section 6.09).

(6) Form 2848, Power of Attorney and Declaration of Representative. (7) Form 8821, Tax Information Authorization.

Timing

.03 All determination letter submissions must be submitted timely under the procedures set forth in Rev. Proc. 2007-44.

Applicants are reminded that an off-cycle application will not be converted to an on-cycle application once the on-cycle submission period begins. Generally, if an off-cycle application is not reviewed before the beginning of the on-cycle period, the application will be returned with the user fee during the on-cycle period.

Application must include copy of plan and amendments

.04 The plan, all interim and other plan amendments adopted or effective during the plan's current remedial amendment cycle must be included in the application package along with a copy of the restated plan and trust instrument. If the plan sponsor did not receive a favorable determination letter, all plan documents and amendments for the Cumulative List applicable for the plan's prior submission period must be submitted. If the plan sponsor relied upon an opinion or advisory letter with respect to its prior remedial amendment cycle, the plan, adoption agreements and all applicable amendments for the plan's prior submission period must also be submitted.

In general, a determination letter may not be relied upon for any period preceding the beginning of the remedial amendment cycle for which the letter is issued. Thus, for example, if an application for a determination letter includes a plan amendment that was effective before the beginning of the plan's current remedial amendment cycle, the determination letter may not be relied upon with respect to the effect of the amendment for the period preceding the beginning of the cycle. The Service has the discretion to request copies of any amendments during its review of a plan.

Restatements required

.05 Individually designed plans must be restated when they are submitted for determination letter applications, except for terminating plans.

Controlled group elections pursuant to Revenue Procedure 2007-44

.06 If, pursuant to Rev. Proc. 2007-44, an election has been made for related entities (as described under section 10 of that revenue procedure) to be on the same cycle, each application must include a cover letter that identifies the name of each member of the controlled group and/or employer within the affiliated service group, and the plan numbers and employer identification numbers of all the related plans submitted together. When a controlled group election has been made for multiple plans to be on the same cycle, the Service will determine whether these applications will be worked simultaneously.

§ 414(x) combined plans

.07 The Service will consider § 414(x) in issuing determination letters for individually designed plans that consist of a defined benefit plan and a qualified cash or deferred arrange- ment. A § 414(x) plan sponsor must submit two Forms 5300 and two applicable user fees.

SECTION 8. EMPLOYER RELIANCE ON M&amp;P AND VOLUME SUBMITTER PLANS

Scope

.01 Rev. Proc. 2011-49 describes the procedures for requesting opinion letters and advisory letters on M&amp;P and VS plans and the extent to which adopting employers of such plans may rely on favorable opinion or advisory letters without having to request individual determination letters.

Modifications to Revenue Procedure 2011-49

.02 Rev. Proc. 2011-49 is modified as follows with respect to determination letter applica- tions filed on or after May 1, 2012:

(1) An adopting employer of an M&amp;P plan (whether standardized or nonstandardized) may not apply for a determination letter for the plan on Form 5307.

(2) An adopting employer of a VS plan may not apply for a determination letter for the plan on Form 5307 unless the employer has modified the terms of the approved plan and the modifications are not so extensive as to cause the plan to be treated as an individually designed plan.

(3) An application for a determination letter for an M&amp;P or VS plan that is filed on Form 5300 is treated as an application for an individually designed plan, requiring the plan to be restated to take into account the Cumulative List in effect when the application is filed, unless the employer is filing the application solely for one or more of the following reasons:

(a) The employer has modified the terms of the M&amp;P plan by adding overriding language necessary to coordinate the application of the limitations of section 415 or the requirements of section 416 because the employer maintains multiple plans.

(b) The plan is a pension plan and the normal retirement age under the plan is lower than 62. In this case, a determination letter is required for reliance that the plan's normal retirement age satisfies the requirements of section 1.401(a)-1(b)(2) of the regulations. (c) The employer seeks a determination as to whether there has been a partial termination of the plan, the employer is a member of an affiliated service group under section 414(m), or the employer is a recipient of services of leased employees under section 414(n). (d) The plan is a multiple employer plan.

(e) The employer is required to obtain a determination letter to comply with published procedures of the Service (for example, in conjunction with a request for a minimum funding waiver). In the situations described in subparagraphs (a) through (e), the plan does not have to be restated for the Cumulative List in effect when the application is filed and will be reviewed on the basis of the Cumulative List that was considered in issuing the opinion or advisory letter for the plan. An employer that submits an application for a determination letter for an M&amp;P or VS plan on Form 5300 for one or more of the reasons described in subparagraphs (a) through (e) should identify the reason in a cover letter to the application and include a copy of the opinion or advisory letter. Section 9 of this revenue procedure describes the procedures for requesting determination letters on VS plans where the employer has made limited modifications to the language of the approved specimen plan.

Reliance equivalent to determination letter

.03 If an employer can rely on a favorable opinion or advisory letter pursuant to Section 19 of Rev. Proc. 2011-49, as modified by this revenue procedure, the opinion or advisory letter shall be equivalent to a favorable determination letter. For example, the favorable opinion or advisory letter shall be treated as a favorable determination letter for purposes of section 21 of this revenue procedure, regarding the effect of a determination letter, and section 5.01(4) of Rev. Proc. 2013-12, 2013-4 I.R.B. 313, as updated, regarding the definition of "favorable letter" for purposes of the Employee Plans Compliance Resolution System.

# SECTION 9. DETERMINATION LETTER FILING PROCEDURES FOR VOLUME SUBMITTER PLANS

Scope

Determination letter for
adoption of volume
submitter plan

.01 This section contains procedures for requesting determination letters for adopting em-
ployers of VS plans where the employer has made limited modifications to the approved
specimen plan.

.02 An application filed on Form 5307, Application for Determination for Adopters of
Modified Volume Submitter Plans, must include any interim plan amendments unless the VS
plan authorizes the practitioner to amend on behalf of the adopting employer. The Service may,
however, request evidence of adoption of interim amendments during the course of its review
of a particular plan. With respect to determination letters for adopting employers of VS plans:

(1) An application for a determination letter for an employer's adoption of an approved VS
plan where the employer has made limited modifications to the language of the approved
specimen plan must be sent to the address provided in section 6.15. For VS plans involved in
plan mergers, see section 6.08 of this procedure.

(2) The application for a determination letter must include the following:

(a) Form 8717, User Fee for Employee Plan Determination Letter Request (or the payment
confirmation from www.pay.gov as described in section 6.09);

(b) Form 5307, Application for Determination for Adopters of Modified Volume Submitter
(VS) Plans, including a copy of the Procedural Requirements Checklist included therein;

(c) Form 2848, Power of Attorney and Declaration of Representative, or other written
authorization allowing the VS practitioner to act as a representative of the employer with respect
to the request for a determination letter;

(d) Form 8905, Certification of Intent to Adopt a Pre-approved Plan, executed before the end
of the employer's 5-year remedial amendment cycle as determined under Part III of Rev. Proc.
2007-44, if applicable;

(e) A copy of the most recent advisory letter for the practitioner's VS specimen plan;

(f) A complete copy of the plan and trust instrument and, if applicable, a copy of the
completed adoption agreement;

(g) A written representation (signature optional) made by the VS practitioner which explains
how the plan and trust instrument differ from the approved specimen plan, describing the
location, nature and effect of each deviation from the language of the approved specimen plan;

(h) A copy of the plan's latest favorable determination letter, if applicable;

(i) Applications filed on Form 5307 for VS plans where the employer has made limited
modifications to the language of the approved specimen plan that do not authorize the
practitioner to amend on behalf of the adopting employer must include any interim amendments
that were adopted for qualification changes on the applicable Cumulative List used in reviewing
and approving the underlying VS plan; and

(j) Any other information or material that may be required by the Service.

(3) Deviations from the language of the approved specimen plan will be evaluated based on
the extent and complexities of the changes. If the changes are determined not to be compatible

with the VS program, the Service will require the applicant to file Form 5300 and pay the higher
user fee. See also, Rev. Proc. 2007-44, section 19.

(4) An employer will not be treated as having adopted a VS plan if the employer has signed
or otherwise adopted the plan prior to the date on the VS specimen plan's advisory letter. In this
case, the determination letter application for the employer's plan may not be filed on Form 5307
and will not be eligible for a reduced user fee. A determination letter application for a VS plan
must be based on the approved VS specimen plan with any applicable modifications. See section
19.03 in Rev. Proc. 2011-49.

.03 In accordance with Part IV of Rev. Proc. 2007-44, adopting employers of M&P and VS
plans have a six-year remedial amendment cycle. The deadline for an adopting employer to
adopt the approved M&P or VS plan closes with the two-year window at the end of the plan's
remedial amendment cycle. An adopting employer of a modified VS plan who desires to obtain
a determination letter for reliance must submit within the two-year window. Applications may
only be submitted during the two-year window. Applications submitted outside of the two-year
window will be returned.

Timing of Determination
Letter Applications for
Adopting Employers of
Pre-Approved Plans

# SECTION 10. MULTIPLE EMPLOYER PLANS

Scope

.01 This section contains procedures for applications filed with respect to plans described in
§ 413(c). A plan is not described in § 413(c) if all the employers maintaining the plan are
members of the same controlled group or affiliated service group under § 414(b), (c) or (m).

Options to file for the plan
only or for both the plan
and employers maintaining
the plan

.02 A determination letter applicant for a multiple employer plan can request either (1) a letter
for the plan in the name of the controlling member or (2) a letter for the plan in the name of the
controlling member and a letter for each employer maintaining the plan with respect to whom
a separate Form 5300 is filed.

(1) An applicant requesting a letter for the plan submits one Form 5300 application for the
plan in the name of the controlling member, either including or omitting the design-based safe
harbor questions. The user fee for a single employer plan will apply. An employer maintaining
a multiple employer plan can rely on a favorable determination letter issued for the plan except
with respect to the requirements of §§ 401(a)(4), 401(a)(26), 401(l), 410(b) and 414(s), and, if
the employer maintains or has ever maintained another plan, §§ 415 and 416.

(2) An applicant requesting a letter for the plan and for an employer maintaining the plan must
submit the filing required in (1) above as well as a separate Form 5300 application for each
employer requesting a separate letter. The user fee for the application will be determined under
the user fee schedules for multiple employer plans in section 6.05 of Rev. Proc. 2015-8.

Where to file

.03 The complete application, including all Forms 5300 for employers maintaining the plan
who request separate letters must be filed as one submission with EP Determinations. The
application is to be sent to the address in section 6.15.

.04 The Service will mail a determination letter to each employer maintaining the plan for
whom a separate Form 5300 has been filed.

Determination letter sent
to each employer who files
Form 5300
Addition of employers

.05 An employer may continue to rely on a favorable determination letter after another
employer commences participation in the plan, regardless of whether the first employer's
reliance is based on its own letter or the letter issued for the plan and regardless of whether an
application for a determination letter for the new employer is filed. An application for a
determination letter that takes into account the addition of such other employer should include
a completed Form 5300 for the plan in the name of the controlling member on the Form 5300
filed pursuant to section 10.02 above, and a supplemental Form 5300 for each new employer
who desires a separate determination letter. The Service will send the determination letter only
to the applicant and the new employers. However, a new employer that joins a multiple
employer plan after the existing multiple employer plan was timely submitted in Cycle B (the

## Pre-approved multiple employer plans

applicable cycle as described in section 10 of Rev. Proc. 2007-44), will be subject to the rules
under Rev. Proc. 2007-44, including the off-cycle filing rules under section 14 of that revenue
procedure.

.06 A pre-approved plan that is submitted on a Form 5300 because it is a multiple employer
plan will be reviewed on the basis of the Cumulative List that was used to review the underlying
plan.

SECTION 11. RESERVED

Reserved

SECTION 12.
TERMINATION OR
DISCONTINUANCE OF
CONTRIBUTIONS;
NOTICE OF MERGERS,
CONSOLIDATIONS,
ETC.

Scope

.01 This section contains procedures for requesting determination letters involving plan
termination or discontinuance of contributions. This section also contains procedures regarding
required notice of merger, consolidation, or transfer of assets or liabilities.

Forms

.02 Required Forms

(1) Form 5310, Application for Determination for Terminating Plan, including a copy of the
Procedural Requirements Checklist included therein, is filed by plans other than multiemployer
plans covered by the insurance program of the Pension Benefit Guaranty Corporation (PBGC).

(2) Form 5300, Application for Determination of Employee Benefit Plan, including a copy of
the Procedural Requirements Checklist included therein, is filed in the case of a multiemployer
plan covered by PBGC insurance.

(3) Form 6088, Distributable Benefits from Employee Pension Benefit Plans, is also required
of a sponsor or plan administrator of a defined benefit plan or an underfunded defined
contribution plan who files an application for a determination letter regarding plan termination.
For collectively bargained plans, a Form 6088 is required only if the plan benefits employees
who are not collectively bargained employees within the meaning of § 1.410(b)-6(d). A
separate Form 6088 is required for each employer employing such employees. See the instruc-
tions for Form 6088 for information required to be submitted along with the form, including a
statement explaining how the present values were determined.

(4) Form 5310-A, Notice of Plan Merger or Consolidation, Spinoff, or Transfer of Plan
Assets or Liabilities-Notice of Qualified Separate Lines of Business, if required, generally must
be filed not later than 30 days before a merger, consolidation or transfer of assets and liabilities.
The filing of Form 5310-A will not result in the issuance of a determination letter.

(5) Form 8905, Certification of Intent to Adopt a Pre-approved Plan, must be filed to establish
the employer's eligibility for the 6-year remedial amendment cycle where the employer
executed the form by the end of the employer's 5-year remedial amendment cycle as determined
under Part III of Rev. Proc. 2007-44.

(6) Form 8717, User Fee for Employee Plan Determination Letter Request (or the payment
confirmation from www.pay.gov as described in section 6.09).

(7) Form 2848, Power of Attorney and Declaration of Representative, or other written
authorization allowing the VS practitioner to act as a representative of the employer with respect
to the request for a determination letter. If applicable, submit Form 8821, Tax Information
Authorization.

Supplemental information

.03 The application for a determination letter involving plan termination must also include any supplemental information or schedules required by the forms or form instructions. For example, the application must include copies of all records of actions taken to terminate the plan (such as a resolution of the board of directors) and a schedule providing certain information regarding employees who separated from vesting service with less than 100% vesting. In cases involving the termination of plans that contain a § 401(h) feature, the cover letter of the submission must reference the § 401(h) feature and make clear that this feature is part of the termination application. The cover letter must specifically state the location of plan provisions that relate to the § 401(h) feature.

Compliance with Title IV of ERISA

.04 In the case of plans subject to Title IV of ERISA, a favorable determination letter issued in connection with a plan's termination is conditioned on approval that the termination is a valid termination under Title IV of ERISA. Notification by PBGC that a plan may not be terminated will be treated as a material change of fact.

Termination prior to time for amending for change in law

.05 A plan that terminates after the effective date of a change in law, but prior to the date that amendments are otherwise required, must be amended to comply with the applicable provisions of law from the date on which such provisions become effective with respect to the plan. Because such a terminated plan would no longer be in existence by the required amendment date and therefore could not be amended on that date, such plan must be amended in connection with the plan termination to comply with those provisions of law that become effective with respect to the plan on or before the date of plan termination. (Such amendments include any amend- ments made after the date of plan termination that were required in order to obtain a favorable determination letter.) In addition, annuity contracts distributed from such terminated plans also must meet all the applicable provisions of any change in law. See also section 8 of Rev. Proc. 2007-44.

An application will be deemed to be filed in connection with plan termination if it is filed no later than the later of (i) one year from the effective date of the termination, or (ii) one year from the date on which the action terminating the plan is adopted. However, in no event can the application be filed later than twelve months from the date of distribution of substantially all plan assets in connection with the termination of the plan.

Restatement not required for terminating plan

.06 A terminating plan generally does not have to be restated. However, see section 7.05 and .05 of this section above.

SECTION 13. GROUP TRUSTS

Scope

.01 This section provides special procedures for requesting a determination letter on the qualified status of a group trust under Rev. Rul. 81-100, as clarified and modified by Rev. Rul. 2004-67, Rev. Rul. 2011-1, 2011-2 I.R.B. 251, Notice 2012-6, 2012-3 I.R.B. 293, and Rev. Rul. 2014-24, 2014-37 I.R.B. 529.

Required information

.02 A request for a determination letter on the status of a group trust is made by submitting a Form 5316, Application for Group or Pooled Trust Ruling, demonstrating how the group trust satisfies the criteria listed in Rev. Rul. 2011-1, together with the trust instrument and related documents. Rev. Rul. 2004-67 extends the ability to participate in group trusts to eligible governmental plans under § 457(b) and clarifies the ability of certain individual retirement accounts under § 408 to participate. Rev. Rul. 2011-1 extends the ability to participate in group trusts to custodial accounts under § 403(b)(7), retirement income accounts under § 403(b)(9), and governmental retiree benefit plans under § 401(a)(24). There are two model amendments in Rev. Rul. 2011-1. Amendment 1 is for a group trust that received a determination letter from the Service prior to January 10, 2011, that the group trust satisfies Rev. Rul. 81-100, but that does not satisfy the separate account requirement of paragraph (6) of the holding of Rev. Rul. 2011-1. Amendment 2 is for a group trust that received a determination letter from the Service prior to January 10, 2011, that the group trust satisfies Rev. Rul. 81-100, as modified by Rev. Rul. 2004-67, and that intends to permit custodial accounts under § 403(b)(7), retirement

Forms SECTION 14. AFFILIATED SERVICE GROUPS; LEASED EMPLOYEES

income accounts under § 403(b)(9), or § 401(a)(24) governmental retirement plans to participate in the group trust. Rev. Rul. 2014-24 extends the ability to participate in a group trust to certain retirement plans qualified only under the Código de Rentas Internas para un Nuevo Puerto Rico de la Ley Núm. 1 de 31 de enero de 2011 ("Puerto Rico Code"), and clarifies that assets held by certain separate accounts maintained by insurance companies may be invested in 81-100 group trusts.

.03 Required Forms

(1) Form 8717, User Fee for Employee Plan Determination Letter Request (or the payment confirmation from www.pay.gov as described in section 6.09).

(2) Form 2848, Power of Attorney and Declaration of Representative, or other written authorization allowing the VS practitioner to act as a representative of the employer with respect to the request for a determination letter. If applicable, submit Form 8821, Tax Information Authorization.

(3) Form 5316, Application for Group or Pooled Trust Ruling, including a copy of the Procedural Requirements Checklist.

Scope

.01 This section provides procedures for determination letter requests on affiliated service group status under § 414(m), and whether an employee is a leased employee and is deemed to be an employee of the recipient employer for qualification purposes under § 414(n).

Employer must request the determination under § 414(m) or § 414(n)

.02 Generally, a determination letter will indicate whether the employer is a member of an affiliated service group under § 414(m) or whether an employee is a leased employee and is deemed to be an employee of the recipient employer under § 414(n) only if the employer requests such determination, and submits with the determination letter application the informa- tion specified in section 14.06 or section 14.07 below.

Forms

.03 Form 5300 is submitted for a request on affiliated service group status or leased employee status. Form 5307 cannot be used for this purpose.

Employer is responsible for determining status under § 414(m) and § 414(n)

.04 An employer is responsible for determining at any particular time whether it is a member of an affiliated service group and, if so, whether its plan(s) continues to meet the requirements of § 401(a) taking into account § 414(m). An employer or plan administrator is also responsible for taking action relative to the employer's qualified plan if that employer becomes, or ceases to be, a member of an affiliated service group. An employer that is the recipient of services of leased employees within the meaning of § 414(n) is also responsible for determining at any particular time whether a leased employee is deemed to be an employee of the recipient for qualified plan purposes.

Pre-approved plans

.05 An employer that has adopted a pre-approved plan and wants a determination with respect to § 414(m) or § 414(n) must submit the information required by section 14.06 or section 14.07 of this revenue procedure and any other materials necessary to make a determination along with Form 5300. When an employer requests a determination regarding affiliated service group status or leased employees, the plan will be reviewed on the basis of the Cumulative List that was used to review the underlying pre-approved plan.

Required information for § 414(m) determination

.06 A determination letter will be issued with respect to § 414(m) only if the employer requests such a determination and the application includes:

(1) A description of the nature of the business of the employer, specifically whether it is a service organization or an organization whose principal business is the performance of man- agement functions for another organization, including the reasons therefor;

(2) The identification of other members (or possible members) of the affiliated service group;

(3) A description of the business of each member (or possible member) of the affiliated
service group, describing the type of organization (corporation, partnership, etc.) and indicating
whether the member is a service organization or an organization whose principal business is the
performance of management functions for the other group member(s);

(4) The ownership interests between the employer and the members (or possible members) of
the affiliated service group (including ownership interests as described in § 414(m)(2)(B)(ii) or
§ 414(m)(6)(B));

(5) A description of services performed for the employer by the members (or possible
members) of the affiliated service group, or vice versa (including the percentage of each
member's (or possible member's) gross receipts and service receipts provided by such services,
if available, and data as to whether such services are a significant portion of the member's
business) and whether, as of December 13, 1980, it was not unusual for the services to be
performed by employees of organizations in that service field in the United States;

(6) A description of how the employer and the members (or possible members) of the
affiliated service group associate in performing services for other parties;

(7) In the case of a management organization under § 414(m)(5):

(a) A description of the management functions, if any, performed by the employer for the
member(s) (or possible member(s)) of the affiliated service group, or received by the employer
from any other members (or possible members) of the group (including data explaining whether
the management functions are performed on a regular and continuous basis) and whether or not
it is unusual for such management functions to be performed by employees of organizations in
the employer's business field in the United States;

(b) If management functions are performed by the employer for the member (or possible
members) of the affiliated service group, a description of what part of the employer's business
constitutes the performance of management functions for the member (or possible member) of
the group (including the percentage of gross receipts derived from management activities as
compared to the gross receipts from other activities); and

(8) A copy of any ruling issued by the Service on whether the employer is an affiliated service
group; a copy of any prior determination letter that considered the effect of § 414(m); and, if
known, a copy of any such ruling or determination letter issued to any other member (or possible
member) of the same affiliated service group, accompanied by a statement as to whether the
facts upon which the ruling or determination letter was based have changed.

Required information for
§ 414(n) determination

.07 A determination letter will be issued with respect to § 414(n) only if the employer requests
such a determination and the application includes:

(1) A description of the nature of the business of the recipient organization;

(2) A copy of the relevant leasing agreement(s);

(3) A description of the function of all leased employees within the trade or business of the
recipient organization (including data as to whether all leased employees are performing
services on a substantially full-time basis);

(4) A description of facts and circumstances relevant to a determination of whether such
leased employees' services are performed under primary direction or control by the recipient
organization (including whether the leased employees are required to comply with instructions
of the recipient about when, where, and how to perform the services, whether the services must
be performed by particular persons, whether the leased employees are subject to the supervision

of the recipient, and whether the leased employees must perform services in the order or
sequence set by the recipient); and

(5) If the recipient organization is relying on any qualified plan(s) maintained by the employee
leasing organization for purposes of qualification of the recipient organization's plan, a descrip-
tion of such plan(s) (including a description of the contributions or benefits provided for all
leased employees which are attributable to services performed for the recipient organization,
plan eligibility, and vesting.)

### SECTION 15. WAIVER OF MINIMUM FUNDING

Applicability of Rev. Proc.
2004-15

.01 The procedures in Rev. Proc. 2004-15, 2004-1 C.B. 490, apply to the request for a
waiver of the minimum funding requirement. Section 2 of that revenue procedure contains the
procedures for obtaining waivers of the minimum funding standards in the instance of defined
benefit plans. In order to provide maximum flexibility in requesting a waiver for a defined
contribution pension plan, section 3 of that revenue procedure contains three alternative methods
as described more fully in Rev. Proc. 2004-15. The third alternative is a request for a waiver
of the minimum funding requirement along with a determination letter request. Both of these
requests are submitted by the applicant to the Office of Associate Chief Counsel (Tax Exempt
and Government Entities). See section 5.15 of Rev. Proc. 2015-1, this Bulletin, and section 3
of Rev. Proc. 2004-15.

## SECTION 16. SECTION 401(h) AND § 420 DETERMINATION LETTERS

Scope

.01 This section provides procedures for requesting determination letters (i) with respect to
whether the requirements of § 401(h) are satisfied in a plan with retiree medical benefit features
and (ii) on plan language that permits, pursuant to § 420, the transfer of assets in a defined
benefit plan to a health benefit account described in § 401(h).

Required information for
§ 401(h) determination

.02 EP Determinations will issue a determination letter that considers whether the require-
ments of § 401(h) are satisfied in a plan with retiree medical benefit features only if the plan
sponsor requests such a determination and the sponsor's application includes, in addition to the
application forms and any other material required by this revenue procedure, a cover letter that
requests consideration of § 401(h). The cover letter must specifically state that consideration is
being requested with regard to § 401(h) in addition to other matters under § 401(a) and must
specifically state the location of plan provisions that satisfy the requirements of § 401(h). Part
I of the checklist in the Appendix of this revenue procedure may be used to identify the location
of relevant plan provisions.

Required information for
§ 420 determination

.03 EP Determinations will consider the qualified status of certain plan language designed to
comply with § 420 only if the plan sponsor requests such consideration with Form 5300. The
cover letter must specifically state (i) whether consideration is being requested only with regard
to § 420, or (ii) whether consideration is being requested with regard to § 420 in addition to other
matters under § 401(a). (If consideration of other matters under § 401(a) is being requested, the
application forms and other material required by this revenue procedure must also be submitted.)
The cover letter must specifically state the location of plan provisions that satisfy each of the
following requirements. Parts I and II of the checklist in the Appendix of this revenue procedure
may be used to identify the location of relevant plan provisions.

(1) The plan must include a health benefits account as described in § 401(h).

(2) The plan must provide that transfers shall be limited to transfers of "excess assets" as
defined in § 420(e)(2).

(3) The plan must provide that only one transfer may be made in a taxable year. However, for

Sec. 16.03
January 2, 2015

purposes of determining whether the rule in the preceding sentence is met, a plan may provide
that a transfer will not be taken into account if it is a transfer that:

(a) Is made after the close of the taxable year preceding the employer's first taxable year
beginning after December 31, 1990, and before the earlier of (i) the due date (including
extensions) for the filing of the return of tax for such preceding year, or (ii) the date such return
is filed; and

(b) Does not exceed the expenditures of the employer for qualified current retiree health
liabilities for such preceding taxable year.

(4) The plan must provide that the amount transferred shall not exceed the amount which is
reasonably estimated to be the amount the employer will pay out (whether directly or through
reimbursement) of the health benefit account during the taxable year of the transfer for "qualified
current retiree health liabilities," as defined in § 420(e)(1).

(5) The plan must provide that no transfer will be made after December 31, 2021.

(6) The plan must provide that any assets transferred, and any income allocable to such assets,
shall be used only to pay qualified current retiree health liabilities for the taxable year of transfer.

(7) The plan must provide that any amounts transferred to a health benefits account (and
income attributable to such amounts) which are not used to pay qualified current retiree health
liabilities shall be transferred back to the defined benefit portion of the plan.

(8) The plan must provide that the amounts paid out of a health benefits account will be
treated as paid first out of transferred assets and income attributable to those assets.

(9) The plan must provide that the accrued pension benefits for participants and beneficiaries
must become nonforfeitable as if the plan had terminated immediately prior to the transfer (or
in the case of a participant who separated during the 1-year period ending on the date of transfer
immediately before such separation). In the case of a transfer described in § 420(b)(4) that
relates to a prior year, the plan must provide that the accrued benefit of a participant who
separated from service during the taxable year to which such transfer relates will be recomputed
and treated as nonforfeitable immediately before such separation.

(10) The plan must provide that a transfer will be permitted only if each group health plan or
arrangement under which health benefits are provided contains provisions satisfying § 420(c)(3).
The plan must define "applicable employer cost", "cost maintenance period", and "benefit
maintenance period", as applicable, consistent with § 420(c)(3), as amended. If applicable, the
provisions of the plan must also reflect the transition rule in § 535(c)(2) of the Tax Relief
Extension Act of 1999 (TREA '99). The plan may provide that § 420(c)(3) is satisfied separately
with respect to individuals eligible for benefits under Title XVIII of the Social Security Act at
any time during the taxable year and with respect to individuals not so eligible.

(11) The plan must provide that transferred assets cannot be used for key employees (as
defined in § 416(i)(1)).

# PART II. INTERESTED PARTY NOTICE AND COMMENT

SECTION 17. WHAT
RIGHTS TO NOTICE
AND COMMENT DO
INTERESTED PARTIES
HAVE?

Rights of interested parties

.01 Persons who qualify as interested parties under § 1.7476-1(b), have the following rights:

Sec. 17.01
January 2, 2015

(1) To receive notice, in accordance with section 18 below, that an application for an advance
determination will be filed regarding the qualification of plans described in §§ 401, 403(a), 409
and/or 4975(e)(7);

(2) To submit written comments with respect to the qualification of such plans to the Service;

(3) To request the Department of Labor to submit a comment to the Service on behalf of the
interested parties; and

(4) To submit written comments to the Service on matters with respect to which the
Department of Labor was requested to comment but declined.

Comments by interested
parties

.02 Comments submitted by interested parties must be received by EP Determinations by the
45th day after the day on which the application for determination is received by EP Determi-
nations. (However, see sections 17.03 and 17.04 for filing deadlines where the Department of
Labor has been requested to comment.) Such comments must be in writing, signed by the
interested parties or by an authorized representative of such parties (as provided in section
9.02(11) of Rev. Proc. 2015-4), addressed to:

Internal Revenue Service
EP Determinations
Attn: Customer Service Manager
P.O. Box 2508
Cincinnati, OH 45202

Comments must contain the following information:

(1) The names of the interested parties making the comments;

(2) The name and taxpayer identification number of the applicant for a determination;

(3) The name of the plan, the plan identification number, and the name of the plan
administrator;

(4) Whether the parties submitting the comment are:

(a) Employees eligible to participate under the plan,

(b) Employees with accrued benefits under the plan, or former employees with vested benefits
under the plan,

(c) Beneficiaries of deceased former employees who are eligible to receive or are currently
receiving benefits under the plan,

(d) Employees not eligible to participate under the plan.

(5) The specific matters raised by the interested parties on the question of whether the plan
meets the requirements for qualification involving §§ 401 and 403(a), and how such matters
relate to the interests of the parties making the comment; and

(6) The address of the interested party submitting the comment (or if a comment is submitted
jointly by more than one party, the name and address of a designated representative) to which
all correspondence, including a notice of the Service's final determination with respect to
qualification, should be sent. (The address designated for notice by the Service will also be used
by the Department of Labor in communicating with the parties submitting a request for
comment.) The designated representative may be one of the interested parties submitting the
comment or an authorized representative. If two or more interested parties submit a single
comment and one person is not designated in the comment as the representative for receipt of
correspondence, a notice of determination mailed to any interested party who submitted the

Requests for DOL to
submit comments

comment shall be notice to all the interested parties who submitted the comment for purposes
of § 7476(b)(5) of the Code.

.03 A request to the Department of Labor to submit to EP Determinations a comment pursuant
to section 3001(b)(2) of ERISA must be made in accordance with the following procedures.

(1) The request must be received by the Department of Labor by the 25th day after the day
the application for determination is received by EP Determinations. However, if the parties
requesting the Department to submit a comment wish to preserve the right to comment to EP
Determinations in the event the Department declines to comment, the request must be received
by the Department by the 15th day after the day the application for determination is received by
EP Determinations.

(2) The request to the Department of Labor to submit a comment to EP Determinations must:

(a) Be in writing;

(b) Be signed as provided in section 17.02 above;

(c) Contain the names of the interested parties requesting the Department to comment
and the address of the interested party or designated representative to whom all correspondence
with respect to the request should be sent. See also section 17.02(6) above;

(d) Contain the information prescribed in section 17.02(2), (3), (4), (5) and (6) above;

(e) Indicate that the application was or will be submitted to EP Determinations at the
address in section 6.15;

(f) Contain a statement of the specific matters upon which the Department's comment is
sought, as well as how such matters relate to the interested parties making the request; and

(g) Be addressed as follows:

Deputy Assistant Secretary
Employee Benefits Security Administration
U.S. Department of Labor
200 Constitution Avenue, N.W.
Washington, D.C. 20210
Attention: 3001 Comment Request

Right to comment if DOL declines to comment

.04 If a request described in 17.03 is made and the Department of Labor notifies the interested parties making the request that it declines to comment on a matter concerning qualification of the plan which was raised in the request, the parties submitting the request may still submit a comment to EP Determinations on such matter. The comment must be received by the later of the 45th day after the day the application for determination is received by EP Determinations or the 15th day after the day on which notification is given by the Department that it declines to submit a comment on such matter. (See section 17.07 for the date of notification.) In no event may the comment be received later than the 60th day after the day the application for determination was received. Such a comment must comply with the requirements of section 17.02 and include a statement that the comment is being submitted on matters raised in a request to the Department upon which the Department declined to comment.

Confidentiality of comments

.05 For rules regarding the confidentiality of contents of written comments submitted by interested parties to the Service pursuant to section 17.02 or 17.04, see § 601.201(o)(5) of the Statement of Procedural Rules.

Availability of comments

.06 For rules regarding the availability to the applicant of copies of all comments on the application submitted pursuant to section 17.01(1), (2), (3) and (4) of this revenue procedure, see § 601.201(o)(5) of the Statement of Procedural Rules.

## When comments are deemed made

.07 An application for an advance determination, a comment to EP Determinations, or a
request to the Department of Labor shall be deemed made when it is received by EP Determi-
nations, or the Department. Notification by the Department that it declines to comment shall be
deemed given when it is received by the interested party or designated representative. The notice
described in section 18.01 below shall be deemed given when it is posted or sent to the person
in the manner described in § 1.7476-2. In the case of an application, comment, request,
notification, or notice that is sent by mail or a private delivery service that has been designated
under § 7502(f), the date as of which it shall be deemed received will be determined under
§ 7502. However, if such an application, comment, request, notification, or notice is not received
within a reasonable period from the date determined under § 7502, the immediately preceding
sentence shall not apply.

## SECTION 18. WHAT ARE THE GENERAL RULES FOR NOTICE TO INTERESTED PARTIES?

Notice to interested parties

.01 Notice that an application for an advance determination regarding the qualification of a
plan that is described in §§ 401, 403(a), 409 and 4975(e)(7) and that is subject to § 410 is to be
made must be given to all interested parties in the manner prescribed in § 1.7476-2(c) and in
accordance with the requirements of this section. A notice to interested parties is deemed to be
provided in a manner that satisfies § 1.7476-2(c) if the notice is delivered using an electronic
medium under a system that satisfies the requirements of § 1.402(f)-1 Q&A-5.

Time when notice must be
given

.02 Notice must be given not less than 10 days nor more than 24 days prior to the day the
application for a determination is made. If, however, an application is returned to the applicant
for failure to adequately satisfy the notification requirements with respect to a particular group
or class of interested parties, the applicant need not cause notice to be given to those groups or
classes of interested parties with respect to which the notice requirement was already satisfied
merely because, as a result of the resubmission of the application, the time limitations of this
subsection would not be met.

Content of notice

.03 The notice referred to in section 18.01 shall contain the following information:

(1) A brief description identifying the class or classes of interested parties to whom the notice
is addressed (e.g., all present employees of the employer, all present employees eligible to
participate);

(2) The name of the plan, the plan identification number, and the name of the plan
administrator;

(3) The name and taxpayer identification number of the applicant for a determination;

(4) That an application for a determination as to the qualified status of the plan is to be made
to the Service at the address in section 6.15, and stating whether the application relates to an
initial qualification, a plan amendment, termination, or a partial termination;

(5) A description of the class of employees eligible to participate under the plan;

(6) Whether or not the Service has issued a previous determination as to the qualified status
of the plan;

(7) A statement that any person to whom the notice is addressed is entitled to submit, or
request the Department of Labor to submit, to EP Determinations, a comment on the question
of whether the plan meets the requirements of § 401 or 403(a); that two or more such persons
may join in a single comment or request; and that if such persons request the Department of
Labor to submit a comment and the Department of Labor declines to do so with respect to one
or more matters raised in the request, the persons may still submit a comment to EP Determi-
nations with respect to the matters on which the Department declines to comment. The Pension

Benefit Guaranty Corporation (PBGC) may also submit comments. In every instance where
there is either a final adverse termination or a distress termination, the Service formally notifies
the PBGC for comments;

(8) The specific dates by which a comment to EP Determinations or a request to the
Department of Labor must be received in order to preserve the right of comment (see section 17
above);

(9) The number of interested parties needed in order for the Department of Labor to comment;
and

(10) Except to the extent that the additional informational material required to be made
available by sections 18.05 through 18.09 are included in the notice, a description of a
reasonable procedure whereby such additional informational material will be available to
interested parties (see section 18.04). (Examples of notices setting forth the above information,
in a case in which the additional information required by sections 18.05 through 18.09 will be
made available at places accessible to the interested parties, are set forth in the Exhibit attached
to this revenue procedure.)

## Procedures for making information available to interested parties

.04 The procedure referred to in section 18.03(10), whereby the additional informational
material required by sections 18.05 through 18.09 will (to the extent not included in the notice)
be made available to interested parties, may consist of making such material available for
inspection and copying by interested parties at a place or places reasonably accessible to such
parties, or supplying such material by using a method of delivery or a combination thereof that
is reasonably calculated to ensure that all interested parties will have access to the materials,
provided such procedure is immediately available to all interested parties, is designed to supply
them with such additional informational material in time for them to pursue their rights within
the time period prescribed, and is available until the earlier of: 1) the filing of a pleading
commencing a declaratory judgment action under § 7476 with respect to the qualification of the
plan; or 2) the 92nd day after the day the notice of final determination is mailed to the applicant.
Reasonable charges to interested parties for copying and/or mailing such additional informa-
tional material are permissible.

## Information to be available to interested parties

.05 Unless provided in the notice, or unless section 18.06 applies, there shall be made
available to interested parties under a procedure described in section 18.04:

(1) An updated copy of the plan and the related trust agreement (if any); and

(2) The application for determination.

Special rules if there are
fewer than 26 participants

.06 If there would be fewer than 26 participants in the plan, as described in the application
(including, as participants, former employees with vested benefits under the plan, beneficiaries
of deceased former employees currently receiving benefits under the plan, and employees who
would be eligible to participate upon making mandatory employee contributions, if any), then
in lieu of making the materials described in section 18.05 available to interested parties who are
not participants (as described above), there may be made available to such interested parties a
document containing the following information:

(1) A description of the plan's requirements respecting eligibility for participation and
benefits and the plan's benefit formula;

(2) A description of the provisions providing for nonforfeitable benefits;

(3) A description of the circumstances which may result in ineligibility, or denial or loss of
benefits;

(4) A description of the source of financing of the plan and the identity of any organization
through which benefits are provided;

(5) A description of any optional forms of benefits described in § 411(d)(6) which have been
reduced or eliminated by plan amendment; and

(6) Any coverage schedule or other demonstration submitted with the application to show that
the plan meets the requirements of §§ 401(a)(4) and 410(b).

However, once an interested party or designated representative receives a notice of final
determination, the applicant must, upon request, make available to such interested party
(whether or not the plan has fewer than 26 participants) an updated copy of the plan and related
trust agreement (if any) and the application for determination.

## Information described in § 6104(a)(1)(D) should not be included

.07 Information of the type described in § 6104(a)(1)(D) should not be included in the
application, plan, or related trust agreement submitted to the Service. Accordingly, such
information should not be included in any of the material required by section 18.05 or 18.06 to
be available to interested parties.

Availability of additional
information to interested
parties

.08 Unless provided in the notice, there shall be made available to interested parties under a
procedure described in section 18.04, any additional document dealing with the application
which is submitted by or for the applicant to the Service, or furnished by the Service to the
applicant; provided, however, if there would be fewer than 26 participants in the plan as
described in the application (including, as participants, former employees with vested benefits
under the plan, beneficiaries of deceased former employees currently receiving benefits under
the plan, and employees who would be eligible to participate upon making mandatory employee
contributions, if any), such additional documents need not be made available to interested parties
who are not participants (as described above) until they, or their designated representative,
receive a notice of final determination. The applicant may also withhold from such inspection
and copying information described in § 6104(a)(1)(C) and (D) which may be contained in such
additional documents.

Availability of notice to
interested parties

.09 Unless provided in the notice, there shall be made available to all interested parties under
a procedure described in section 18.04 the material described in sections 17.02 through 17.07
above.

# PART III. PROCESSING DETERMINATION LETTER REQUESTS

## SECTION 19. HOW DOES THE SERVICE HANDLE DETERMINATION LETTER REQUESTS? Oral advice

.01 Oral advice.

(1) The Service does not issue determination letters on oral requests. However, personnel in
EP Determinations ordinarily will discuss with taxpayers or their representatives inquiries
regarding: substantive tax issues; whether the Service will issue a determination letter on
particular issues; and questions relating to procedural matters about submitting determination
letter requests. Any discussion of substantive issues will be at the discretion of the Service on
a time available basis, will not be binding on the Service, and cannot be relied upon as a basis
of obtaining retroactive relief under the provisions of § 7805(b). A taxpayer may seek oral
technical assistance from a taxpayer service representative when preparing a return or report,
under established procedures. Oral advice is advisory only, and the Service is not bound to
recognize it in the examination of the taxpayer's return.

(2) The advice or assistance furnished, whether requested by personal appearance, telephone,
or correspondence will be limited to general procedures, or will direct the inquirer to source
material, such as pertinent Code provisions, regulations, revenue procedures, and revenue
rulings that may aid the inquirer in resolving the question or problem.

Conferences

.02 EP Determinations may grant a conference upon written request from a taxpayer or his representative, provided the request shows that a substantive plan, amendment, etc., has been developed for submission to the Service, but that special problems or issues are involved, and EP Determinations concludes that a conference would be warranted in the interest of facilitating review and determination when the plan, etc., is formally submitted. See section 6.18 regarding the right to a status conference on applications pending for at least 270 days.

Determination letter based solely on administrative record

.03 Administrative Record

(1) In the case of a request for a determination letter, the determination of EP Determinations or the Appeals office on the qualification or non-qualification of the retirement plan shall be based solely upon the facts contained in the administrative record. The administrative record shall consist of the following:

(a) The request for determination, the retirement plan and any related trust instruments, and any written modifications or amendments made by the applicant during the proceedings within the Service;

(b) All other documents submitted to the Service by, or on behalf of, the applicant with respect to the request for determination;

(c) All written correspondence between the Service and the applicant with respect to the request for determination and any other documents issued to the applicant from the Service;

(d) All written comments submitted to the Service pursuant to sections 17.01(2), (3), and (4) above, and all correspondence relating to comments submitted between the Service and persons (including PBGC and the Department of Labor) submitting comments pursuant to sections 17.01(2), (3), and (4) above; and

(e) In any case in which the Service makes an investigation regarding the facts as represented or alleged by the applicant in the request for determination or in comments submitted pursuant to sections 17.01(2), (3), and (4) above, a copy of the official report of such investigation.

(2) The administrative record shall be closed upon the earlier of the following events:

(a) The date of mailing of a notice of final determination by the Service with respect to the application for determination; or

(b) The filing of a petition with the United States Tax Court seeking a declaratory judgment with respect to the retirement plan.

(3) Any oral representation or modification of the facts as represented or alleged in the application for determination or in a comment filed by an interested party, which is not reduced to writing shall not become a part of the administrative record and shall not be taken into account in the determination of the qualified status of the retirement plan by EP Determinations or the appeals office.

Notice of final determination

.04 In the case of final determination, the notice of final determination:

(1) Shall be the letter issued by EP Determinations or the Appeals office which states that the applicant's plan satisfies the qualification requirements of the Code. The favorable determina- tion letter will be sent by certified or registered mail where either an interested party, the Department of Labor, or the PBGC has commented on the application for determination. (2) Shall be the letter issued, by certified or registered mail, by EP Determinations or the Appeals office subsequent to a letter of proposed determination, stating that the applicant's plan fails to satisfy the qualification requirements of the Code.

Issuance of the notice of final determination

.05 EP Determinations or the appeals office will send the notice of final determination to the applicant, to the interested parties who have previously submitted comments on the application to the Service (or to the persons designated by them to receive such notice), to the Department of Labor in the case of a comment submitted by the Department, and to PBGC if it has filed a comment.

SECTION 20. EXHAUSTION OF ADMINISTRATIVE REMEDIES

In general

.01 For purposes of § 7476(b)(3), a petitioner shall be deemed to have exhausted the administrative remedies available within the Service upon the completion of the steps described in sections 20.02, 20.03, 20.04, or 20.05 subject, however, to sections 20.06 and 20.07. If applicants, interested parties, or the PBGC do not complete the applicable steps described below, they will not have exhausted their respective available administrative remedies as required by § 7476(b)(3) and will, thus, be precluded from seeking declaratory judgment under § 7476 except to the extent that section 20.05 or 20.08 applies.

Steps for exhausting administrative remedies

.02 In the case of an applicant, with respect to any matter relating to the qualification of a plan, the steps referred to in section 20.01 are:

(1) Filing a completed application with EP Determinations pursuant to this revenue proce- dure;

(2) Complying with the requirements pertaining to notice to interested parties as set forth in this revenue procedure and § 1.7476-2 of the regulations; and,

(3) Appealing to the appropriate Appeals office pursuant to paragraph 601.201(o)(6) of the Statement of Procedural Rules, in the event a notice of proposed adverse determination is issued by EP Determinations.

Applicant's request for § 7805(b) relief

.03 Consideration of relief under § 7805(b) will be included as one of the applicant's steps in exhausting administrative remedies only if the applicant requests EP Rulings and Agreements to seek technical advice from the Office of Associate Chief Counsel (Tax Exempt and Government Entities) on the applicability of such relief. The applicant's request must be made in writing according to the procedures for requesting technical advice (see section 14 of Rev. Proc. 2015-2).

Interested parties

.04 In the case of an interested party or the PBGC, the steps referred to in section 20.01 are, with respect to any matter relating to the qualification of the plan, submitting to EP Determi- nations a comment raising such matter in accordance with section 17.01(2) above, or requesting the Department of Labor to submit to EP Determinations a comment with respect to such matter in accordance with section 17.01(3) and, if the Department of Labor declines to comment, submitting the comment in accordance with section 17.01(4) above, so that it may be considered by the Service through the administrative process.

Deemed exhaustion of administrative remedies

.05 An applicant, an interested party, or the PBGC shall in no event be deemed to have exhausted administrative remedies prior to the earlier of:

(1) The completion of those steps applicable to each as set forth in sections 20.01, 20.02, 20.03 or 20.04, which constitute their administrative remedies; or,

(2) The expiration of the 270-day period described in § 7476(b)(3), which period shall be extended in a case where there has not been a completion of all the steps referred to in section 20.02 and the Service has proceeded with due diligence in processing the application for determination.

Service must act on appeal

.06 The step described in section 20.02(3) will not be considered completed until the Service has had a reasonable time to act upon the appeal.

Service must act on § 7805(b) request

.07 Where the applicant has requested EP Rulings and Agreements to seek technical advice on the applicability of § 7805(b) relief, the applicant's administrative remedies will not be considered exhausted until the Office of Associate Chief Counsel has had a reasonable time to act upon the request for technical advice.

Effect of technical advice request

.08 The step described in section 20.02(3) will not be available or necessary with respect to any issue on which technical advice has been obtained from the Office of Associate Chief Counsel.

SECTION 21. WHAT EFFECT WILL AN EMPLOYEE PLAN DETERMINATION LETTER HAVE?

Scope of reliance on determination letter

.01 A determination letter issued pursuant to this revenue procedure contains only the opinion of the Service as to the qualification of the particular plan involving the provisions of §§ 401 and 403(a) and the status of a related trust, if any, under § 501(a). Such a determination letter is based on the facts and demonstrations presented to the Service in connection with the applica- tion for the determination letter and may not be relied upon after a change in material fact or the effective date of a change in law, except as provided. The Service may determine, based on the application form, the extent of review of the plan document. Failure to disclose a material fact or misrepresentation of a material fact adversely affects the reliance that would otherwise be obtained through the issuance by the Service of a favorable determination letter. Similarly, failure to accurately provide any of the information called for on any form required by this revenue procedure may result in no reliance. Applicants are advised to retain copies of all supporting data submitted with their applications. Failure to do so may limit the scope of reliance.

Sections 13 and 14 of Rev. Proc. 2015-4 applicable

.02 Except as otherwise provided in this section, determination letters are governed, gener- ally, by the provisions of sections 13 and 14 of Rev. Proc. 2015-4.

Effect of subsequent publication of revenue ruling, etc.

.03 The prior qualification of a plan as adopted by an employer will not be considered to be adversely affected by the publication of a revenue ruling, a revenue procedure, or an adminis- trative pronouncement within the meaning of § 1.6661-3(b)(2) of the regulations where: (1) The plan was the subject of a favorable determination letter and the request for that letter contained no misstatement or omission of material facts;

(2) The facts subsequently developed are not materially different from the facts on which the determination letter was based;

(3) There has been no change in the applicable law; and (4) The employer that established the plan acted in good faith in reliance on the determination letter. However, all such plans must be amended to comply with the published guidance for subsequent years, in accordance with the rules set forth in Rev. Proc. 2007-44. See, in particular, Part II of that revenue procedure.

Determination letter does not apply to taxability issues

.04 While a favorable determination letter may serve as a basis for determining deductions for employer contributions thereunder, it is not to be taken as an indication that contributions are necessarily deductible as made. This latter determination can be made only upon an examination of the employer's tax return, in accordance with the limitations, and subject to the conditions of, § 404.

SECTION 22. EFFECT ON OTHER REVENUE PROCEDURES

Rev. Proc. 2014-6 is superseded. Rev. Proc. 2011-49 is modified.

SECTION 23. EFFECTIVE DATE

This revenue procedure is effective February 1, 2015.

SECTION 24. PAPERWORK REDUCTION ACT

The collections of information contained in this revenue procedure have been reviewed and approved by the Office of Management and Budget in accordance with the Paperwork Reduction Act (44 U.S.C. 3507) under control number 1545-1520.

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 collections of information in this revenue procedure are in sections 6.05, 6.13, 6.16, 6.17, 6.19, 7.04, 13, 14, 15, 16, 19.02, and 21.03(4). This information is required to determine plan qualification. This information will be used to determine whether a plan is entitled to favorable tax treatment. The collections of information are mandatory. The likely respondents are businesses or other for-profit institutions. The estimated total annual reporting and/or recordkeeping burden is 30,827 hours.

The estimated annual burden per respondent/recordkeeper varies from 1 hour to 40 hours, depending on individual circumstances, with an estimated average of 2.02 hours. The estimated number of respondents and/or recordkeepers is 15,261.

The estimated annual frequency of responses (used for reporting requirements only) is once every three years.

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 Sherri Edelman of the Employee Plans Rulings and Agreements, Tax Exempt and Government Entities Division. For further informa- tion regarding this revenue procedure, please contact the Employee Plans taxpayer assistance telephone service at 1-877-829-5500 (a toll-free number).

EXHIBIT: SAMPLE NOTICE TO INTERESTED PARTIES

The Exhibit set forth below, may be used to satisfy the requirements of section 18 of this revenue procedure.

# EXHIBIT: SAMPLE NOTICE TO INTERESTED PARTIES

1\.
Notice To:

[describe class or classes of interested parties]

An application is to be made to the Internal Revenue Service for an advance determination on the qualification of the following
employee pension benefit plan:

2\.

(name of plan)

3\.

(plan number)

4\.
(name and address of applicant)

5\.

(applicant EIN)

6\.
(name and address of plan administrator)

7\.
The application will be filed on
for an advance determination as to whether the plan meets the
qualification requirements of § 401 or § 403(a) of the Internal Revenue Code of 1986, with respect to the plan's
[initial qualification, amendment, termination, or partial termination]. The application will
be filed with:
Internal Revenue Service
Attention: EP Determination Letters
Stop 31
P.O. Box 12192
Covington, KY 41012-0192

8\.
The employees eligible to participate under the plan are:

9\.
The Internal Revenue Service
[has/has not] previously issued a determination letter with respect to the
qualification of this plan.

## RIGHTS OF INTERESTED PARTIES

10\. You have the right to submit to EP Determinations, at the above address, either individually or jointly with other
interested parties, your comments as to whether this plan meets the qualification requirements of the Internal Revenue
Code. Your comments to EP Determinations may be submitted to:

Internal Revenue Service
EP Determinations
Attn: Customer Service Manager
P.O. Box 2508
Cincinnati, OH 45202

You may instead, individually or jointly with other interested parties, request the Department of Labor to submit, on your
behalf, comments to EP Determinations regarding qualification of the plan. If the Department declines to comment on all
or some of the matters you raise, you may, individually, or jointly if your request was made to the Department jointly,
submit your comments on these matters directly to EP Determinations at the Cincinnati address above.

REQUESTS FOR COMMENTS BY THE DEPARTMENT OF LABOR

11\. The Department of Labor may not comment on behalf of interested parties unless requested to do so by the lesser of 10
employees or 10 percent of the employees who qualify as interested parties. The number of persons needed for the
Department to comment with respect to this plan is
. If you request the Department to comment,
your request must be in writing and must specify the matters upon which comments are requested, and must also include:

(1) the information contained in items 2 through 5 of this Notice; and

(2) the number of persons needed for the Department to comment.

A request to the Department to comment should be addressed as follows:

Deputy Assistant Secretary
Employee Benefits Security
Administration
U.S. Department of Labor,
200 Constitution Avenue, N.W.
Washington, D.C. 20210
Attention: 3001 Comment Request

COMMENTS TO THE INTERNAL REVENUE SERVICE

12\. Comments submitted by you to EP Determinations must be in writing and received by it by
However,
if there are matters that you request the Department of Labor to comment upon on your behalf, and the Department
declines, you may submit comments on these matters to EP Determinations to be received by it within 15 days from the
time the Department notifies you that it will not comment on a particular matter, or by
whichever is later,
but not after
A request to the Department to comment on your behalf must be received by it by
if you wish to preserve your right to comment on a matter upon which the Department declines to
comment, or by
if you wish to waive that right.

## ADDITIONAL INFORMATION

13\. Detailed instructions regarding the requirements for notification of interested parties may be found in sections 17 and 18
of Rev. Proc. 2015-6. Additional information concerning this application (including, where applicable, an updated copy
of the plan and related trust; the application for determination; any additional documents dealing with the application that
have submitted to the Service; and copies of section 17 of Rev. Proc. 2015-6 are available

at
during the hours of
for inspection and copying. (There is a
nominal charge for copying and/or mailing.)

# APPENDIX

## Checklist

As part of a § 401(h) or § 420 determination letter request described in section 16 of this revenue procedure
the following checklist may be completed and attached to the determination letter request. If the request
relates to § 401(h) but not to § 420, complete Part I only. If the request relates to § 420, complete Parts I
and II.

PART I

CIRCLE

SECTION

1. Does the Plan contain a medical benefits account within the meaning of § 401(h) of the Code? If the medical benefits account is a new provision, items "a" through "h" should be completed.

Yes No

a. Does the medical benefits account specify the medical benefits that will be available and contain provisions for determining the amount that will be paid?

Yes No

b. Does the medical benefits account specify who will benefit? c. Does the medical benefits account indicate that such benefits, when added to any life insurance protection in the Plan, will be subordinate to retirement benefits? (This requirement will not be satisfied unless the amount of actual contributions to provide § 401(h) benefits (when added to actual contributions for life insurance protection under the Plan) does not exceed 25 percent of the total actual contributions to the Plan (other than contributions to fund past service credits), determined on an aggregate basis since the inception of the § 401(h) arrangement.)

Yes No

d. Does the medical benefits account maintain separate accounts with respect to contributions to key employees (as defined in § 416(i)(1) of the Code) to fund such benefits?

Yes No

e. Does the medical benefits account state that amounts contributed must be reasonable and ascertainable?

Yes No

f. Does the medical benefits account provide for the impossibility of diversion prior to satisfaction of liabilities (other than item "7" below)?

Yes No

g. Does the medical benefits account provide for reversion upon satisfaction of all liabilities (other than item "7" below)?

Yes No

h.
Does the medical benefits account provide that forfeitures must be
applied as soon as possible to reduce employer contributions to

fund the medical benefits?

Yes No

PART II

2. Does the Plan limit transfers to "Excess Assets" as defined in § 420(e)(2) of the Code?

Yes No

3. Does the Plan provide that only one transfer may be made in a taxable year (except with regard to transfers relating to prior years pursuant to § 420(b)(4) of the Code)?

Yes No

4. Does the Plan provide that the amount transferred shall not exceed the amount reasonably estimated to be paid for qualified current retiree health liabilities?

Yes No

5. Does the Plan provide that no transfer will be made after December 31, 2021?

Yes No

6. Does the Plan provide that transferred assets and income attributable to such assets shall be used only to pay qualified current retiree health liabilities for the taxable year of transfer?

Yes No

7. Does the Plan provide that any amounts transferred (plus income) that are not used to pay qualified current retiree health liabilities shall be transferred back to the defined benefit portion of the Plan?

Yes No

8. Does the Plan provide that amounts paid out of a health benefits account will be treated as paid first out of transferred assets and income attributable to those assets?

Yes No

9. Does the Plan provide that participants' accrued benefits become nonforfeitable on a termination basis (i) immediately prior to transfer, or (ii) in the case of a participant who separated within 1 year before the transfer, immediately before such separation?

Yes No

10. In the case of transfers described in § 420(b)(4) of the Code relating to 1990, does the Plan provide that benefits will be recomputed and become nonforfeitable for participants who separated from service in such prior year as described in § 420(c)(2)?

Yes No

11. Does the Plan provide that transfers will be permitted only if each group health plan or arrangement contains provisions satisfying § 420(c)(3) of the Code, as amended?

Yes No

12. Does the Plan define "applicable employer cost", "cost maintenance period" and" benefit maintenance period", as needed, consistently with § 420(c)(3) of the Code, as amended?

Yes No

13\.
Do the Plan's provisions reflect the transition rule in section 535(c)(2)
of TREA'99, if applicable?

Yes No

14\.
Does the Plan provide that transferred assets cannot be used for key
employees?

Yes No

26 CFR 601.201: Rulings and determination letters.

## Rev. Proc. 2015-7

### SECTION 1. PURPOSE AND NATURE OF CHANGES

#### .01 Purpose

This revenue procedure updates Rev.
Proc. 2014-7, 2014-1 I.R.B. 238, by pro-
viding a current list of those areas of the
Internal Revenue Code under the jurisdic-
tion of the Associate Chief Counsel (In-
ternational) relating to matters on which
the Internal Revenue Service will not is-
sue letter rulings or determination letters.

#### .02 Changes

Section 4.01(27), regarding FATCA,
has been added.

### SECTION 2. BACKGROUND AND SCOPE OF APPLICATION

#### .01 Background

In the interest of sound tax administra-
tion, the Service answers inquiries from
individuals and organizations regarding
their status for tax purposes and the tax
effects of their acts or transactions before
the filing of returns or reports that are
required by the Internal Revenue Code.
There are, however, areas where the Ser-
vice will not issue letter rulings or deter-
mination letters, either because the issues
are inherently factual or for other reasons.
These areas are set forth in sections 3 and
4 of this revenue procedure.

Section 3 lists areas in which letter
rulings and determination letters will not
be issued under any circumstances.

Section 4 lists areas in which they will
not ordinarily be issued; in these areas,
unique and compelling reasons may jus-
tify issuing a letter ruling or determination
letter. A taxpayer who plans to request a
letter ruling or determination letter in an
area described in Section 4 should contact
(by telephone or in writing) the Office of
Associate Chief Counsel (International)
(hereinafter "the Office") prior to making
such request and discuss with the Office
the unique and compelling reasons that
the taxpayer believes justify issuing such
letter ruling or determination letter. While
not required, a written submission is en-
couraged since it will enable Office per-

sonnel to arrive more quickly at an under-
standing of the unique facts of each case.
A taxpayer who contacts the Office by
telephone may be requested to provide a
written submission. The Service may pro-
vide a general information letter in re-
sponse to inquiries in areas on either list.

These lists are not all-inclusive. Future
revenue procedures may add or delete
items. The Service may also decline to
rule on an individual case for reasons pe-
culiar to that case, and such decision will
not be announced in the Internal Revenue
Bulletin.

#### .02 Scope of Application

This revenue procedure does not pre-
clude the submission of requests for tech-
nical advice to the Office from other of-
fices of the Service.

### SECTION 3. AREAS IN WHICH RULING OR DETERMINATION LETTERS WILL NOT BE ISSUED

.01 Specific Questions and Problems

(1) Section 861 .- Income from
Sources Within the United States .- A
method for determining the source of a
pension payment to a nonresident alien
individual from a trust under a defined
benefit plan that is qualified under
§ 401(a) if the proposed method is incon-
sistent with §§ 4.01, 4.02, and 4.03 of
Rev. Proc. 2004-37, 2004-1 C.B. 1099.

(2) Section 862 .- Income from
Sources Without the United States .- A
method for determining the source of a
pension payment to a nonresident alien
individual from a trust under a defined
benefit plan that is qualified under
§ 401(a) if the proposed method is incon-
sistent with §§ 4.01, 4.02, and 4.03 of
Rev. Proc. 2004-37, 2004-1 C.B. 1099.

(3) Section 871(g) .- Special Rules for
Original Issue Discount .- Whether a debt
instrument having original issue discount
within the meaning of § 1273 is not an
original issue discount obligation within
the meaning of § 871(g)(1)(B)(i) when the
instrument is payable 183 days or less
from the date of original issue (without
regard to the period held by the taxpayer).

(4) Section 894 .- Income Affected by
Treaty .- Whether a person that is a resi-
dent of a foreign country and derives in-
come from the United States is entitled to

benefits under the United States income
tax treaty with that foreign country pursu-
ant to the limitation on benefits article.
However, the Service may rule regarding
the legal interpretation of a particular pro-
vision within the relevant limitation on
benefits article.

(5) Section 954 .- Foreign Base Com-
pany Income .- The effective rate of tax
that a foreign country will impose on in-
come.

(6) Section 7701(b) .- Definition of
Resident Alien and Nonresident Alien .-
Whether an alien individual is a nonresi-
dent of the United States, including
whether the individual has met the re-
quirements of the substantial presence test
or exceptions to the substantial presence
test. However, the Service may rule re-
garding the legal interpretation of a par-
ticular provision of § 7701(b) or the reg-
ulations thereunder.

#### .02 General Areas.

(1) The prospective application of the
estate tax to the property or the estate of a
living person, except that rulings may be
issued on any international issues in a
ruling request accepted pursuant to § 5.06
of Rev. Proc. 2015-1, in this Bulletin.

(2) Whether reasonable cause exists
under Subtitle F (Procedure and Adminis-
tration) of the Code.

(3) Whether a proposed transaction
would subject a taxpayer to criminal pen-
alties.

(4) Any area where the ruling request
does not comply with the requirements of
Rev. Proc. 2015-1.

(5) Any area where the same issue is
the subject of the taxpayer's pending re-
quest for competent authority assistance
under a United States tax treaty.

(6) A "comfort" ruling will not be is-
sued with respect to an issue that is clearly
and adequately addressed by statute, reg-
ulations, decisions of a court, tax treaties,
revenue rulings, or revenue procedures
absent extraordinary circumstances (e.g.,
a request for a ruling required by a gov-
ernmental regulatory authority in order to
effectuate the transaction).

(7) Any frivolous issue, as that term is
defined in § 6.10 of Rev. Proc. 2015-1.

### SECTION 4. AREAS IN WHICH RULING OR DETERMINATION LETTERS WILL NOT ORDINARILY BE ISSUED

.01 Specific Questions and Problems

(1) Section 367(a) .- Transfers of
Property from the United States .-
Whether an oil or gas working interest is
transferred from the United States for use
in the active conduct of a trade or business
for purposes of § 367(a)(3); and whether
any other property is so transferred, where
the determination requires extensive fac-
tual inquiry.

(2) Section 367(a) .- Transfers of
Property from the United States .-
Whether a transferred corporation subject
to a gain recognition agreement under
§ 1.367(a)-8 has disposed of substantially
all of its assets.

(3) Section 367(b) .- Other Trans-
fers .- Whether and the extent to which
regulations under § 367(b) apply to an
exchange involving foreign corporations,
unless the ruling request presents a signif-
icant legal issue or subchapter C rulings
are requested in the context of the ex-
change.

(4) Section 864 .- Definitions and Spe-
cial Rules .- Whether a taxpayer is en-
gaged in a trade or business within the
United States, and whether income is ef-
fectively connected with the conduct of a
trade or business within the United States;
whether an instrument is a security as
defined in § 1.864-2(c)(2); whether a tax-
payer effects transactions in the United
States in stocks or securities under
§ 1.864-2(c)(2); whether an instrument or
item is a commodity as defined in
§ 1.864-2(d)(3); and for purposes of
§ 1.864-2(d)(1) and (2), whether a com-
modity is of a kind customarily dealt in on
an organized commodity exchange, and
whether a transaction is of a kind custom-
arily consummated at such place.

(5) Section 871 .- Tax on Nonresident
Alien Individuals .- Whether a payment
constitutes portfolio interest under
§ 871(h); whether an obligation qualifies
for any of the components of portfolio
interest such as being in registered form;
and whether the income earned on con-
tracts that do not qualify as annuities or
life insurance contracts because of the
limitations imposed by § 72(s) and

§ 7702(a) is portfolio interest as defined in
§ 871(h).

(6) Section 881 .- Tax on Income of
Foreign Corporations Not Connected with
United States Business .- Whether the in-
come earned on contracts that do not qual-
ify as annuities or life insurance contracts
because of the limitations imposed by
§ 72(s) and § 7702(a) is portfolio interest
as defined in § 881(c).

(7) Section 892 .- Income of Foreign
Governments and of International Organi-
zations .- Whether income derived by for-
eign governments and international orga-
nizations from sources within the United
States is excluded from gross income and
exempt from taxation and any underlying
issue related to that determination.

(8) Section 893 .- Compensation of
Employees of Foreign Governments and
International Organizations .- Whether
wages, fees, or salary of an employee of a
foreign government or of an international
organization received as compensation for
official services to such government or
international organization is excluded
from gross income and exempt from tax-
ation and any underlying issue related to
that determination.

(9) Section 894 .- Income Affected by
Treaty .- Whether the income received by
an individual in respect of services ren-
dered to a foreign government or a polit-
ical subdivision or a local authority
thereof is exempt from federal income tax
or withholding under any of the United
States income tax treaties which contain
provisions applicable to such individuals.

(10) Section 894 .- Income Affected
by Treaty .- Whether a taxpayer has a per-
manent establishment in the United States
for purposes of any United States income
tax treaty and whether income is attribut-
able to a permanent establishment in the
United States.

(11) Section 894 .- Income Affected
by Treaty .- Whether certain persons will
be considered liable to tax under the laws
of a foreign country for purposes of de-
termining if such persons are residents
within the meaning of any United States
income tax treaty. But see Rev. Rul.
2000-59, 2000-2 C.B. 593.

(12) Section 894 .- Income Affected
by Treaty .- Whether the income received
by a nonresident alien student or trainee
for services performed for a university or

other educational institution is exempt
from federal income tax or withholding
under any of the United States income tax
treaties which contain provisions applica-
ble to such nonresident alien students or
trainees.

(13) Section 894 .- Income Affected
by Treaty .- Whether the income received
by a nonresident alien performing re-
search or teaching as personal services for
a university, hospital or other research
institution is exempt from federal income
tax or withholding under any of the
United States income tax treaties which
contain provisions applicable to such non-
resident alien teachers or researchers.

(14) Section 894 .- Income Affected
by Treaty .- Whether a foreign recipient
of payments made by a United States per-
son is ineligible to receive the benefits of
a United States tax treaty under the prin-
ciples of Rev. Rul. 89-110, 1989-2 C.B.
275.

(15) Section 894 .- Income Affected
by Treaty .- Whether a recipient of pay-
ments is or has been a resident of a coun-
try for purposes of any United States tax
treaty. Pursuant to § 1.884-5(f), however,
the Service may rule whether a corpora-
tion representing that it is a resident of a
country is a qualified resident thereof for
purposes of § 884.

(16) Section 894 .- Income Affected
by Treaty .- Whether an entity is treated
as fiscally transparent by a foreign juris-
diction for purposes of § 894(c) and the
regulations thereunder.

(17) Section 901 .- Taxes of Foreign
Countries and of Possessions of United
States .- Whether a foreign levy meets the
requirements of a creditable tax under
§ 901.

(18) Section 901 .- Taxes of Foreign
Countries and of Possessions of United
States .- Whether a person claiming a
credit has established, based on all of the
relevant facts and circumstances, the
amount (if any) paid by a dual capacity
taxpayer under a qualifying levy that is
not paid in exchange for a specific eco-
nomic benefit. See § 1.901-2A(c)(2).

(19) Section 903 .- Credit for Taxes in
Lieu of Income, Etc., Taxes .- Whether a
foreign levy meets the requirements of a
creditable tax under § 903.

(20) Sections 927(a) (Repealed),
936(h)(5), 943(a) (Repealed), 954(d),

993(c) .- Manufactured
Product .-
Whether a product is manufactured or
produced for purposes of § 927(a) (Re-
pealed), § 936(h)(5), § 943(a) (Repealed),
§ 954(d), and § 993(c).

(21) Section 936 .- Puerto Rico and
Possession Tax Credit .- What constitutes
a substantial line of business.

(22) Section 937 .- Definition of Bona
Fide Resident .- Whether an individual is
a bona fide resident of American Samoa,
Guam, the Northern Mariana Islands,
Puerto Rico, or the U.S. Virgin Islands.
However, the Service may rule regarding
the legal interpretation of a particular pro-
vision of § 937(a) or the regulations there-
under.

(23) Section 956 .- Investment of
Earnings in United States Property .-
Whether a pledge of the stock of a con-
trolled foreign corporation is an indirect
pledge of the assets of that corporation.
See § 1.956-2(c)(2).

(24) Section 985 .- Functional Curren-
cy .- Whether a currency is the functional
currency of a qualified business unit.

(25) Section 989(a) .- Qualified Busi-
ness Unit .- Whether a unit of the taxpay-
er's trade or business is a qualified busi-
ness unit.

(26) Section 1058 .- Transfers of Secu-
rities Under Certain Agreements .-
Whether the amount of any payment de-
scribed in § 1058(b)(2) or the amount of
any other payment made in connection
with a transfer of securities described in
§ 1058 is from sources within or without
the United States; the character of such
amounts; and whether the amounts consti-
tute a particular kind of income for pur-
poses of any United States income tax
treaty.

(27) Sections 1471, 1472, 1473, and
1474-Taxes to Enforce Reporting on
Certain Foreign Accounts .- Whether a
taxpayer, withholding agent, or intermedi-
ary has properly applied the requirements
of chapter 4 of the Internal Revenue Code
(sections 1471 through 1474, also known
as "FATCA") or of an applicable inter-
governmental agreement to implement
FATCA.

(28) Section 1503(d) .- Dual Consoli-
dated Loss .- Whether the income tax
laws of a foreign country would deny any
opportunity for the foreign use of a dual
consolidated loss in the year in which the

dual consolidated loss is incurred under
§ 1.1503(d)-3(e)(1); whether no possibil-
ity of foreign use exists under
§ 1.1503(d)-6(c)(1); whether an event
presumptively constitutes a triggering
event under § 1.1503(d)-6(e)(1)(i)-(ix);
whether the presumption of a triggering
event is rebutted under § 1.1503(d)-
6(e)(2); and whether a domestic use
agreement terminates under § 1.1503(d)-
6(j)(1). The Service will also not ordinar-
ily rule on the corresponding provisions of
prior regulations under § 1503(d).

(29) Section 2501 .- Imposition of
Tax .- Whether a partnership interest is
intangible property for purposes of
§ 2501(a)(2) (dealing with transfers of
intangible property by a nonresident not a
citizen of the United States).

(30) Section 7701 .- Definitions .-
Whether an estate or trust is a foreign
estate or trust for federal income tax pur-
poses.

(31) Section 7701 .- Definitions .-
Whether an intermediate entity is a con-
duit entity under § 1.881-3(a)(4); whether
a transaction is a financing transaction un-
der § 1.881-3(a)(4)(ii); whether the par-
ticipation of an intermediate entity in a
financing arrangement is pursuant to a tax
avoidance plan under § 1.881-3(b);
whether an intermediate entity performs
significant financing activities under
§ 1.881-3(b)(3)(ii); whether an unrelated
intermediate entity would not have partic-
ipated in a financing arrangement on sub-
stantially the same terms under § 1.881-
3(c).

(32) Section 7874 .- Expatriated Enti-
ties and Their Foreign Parents .- Whether,
after the acquisition, the expanded affili-
ated group has substantial business activ-
ities in the foreign country in which, or
under the law of which, the foreign entity
is created or organized, when compared to
the total business activities of the ex-
panded affiliated group.

(33) Section 7874 .- Expatriated Enti-
ties and Their Foreign Parents .- Whether
a foreign corporation completes the direct
or indirect acquisition of substantially all
of the properties held directly or indirectly
by a domestic corporation or substantially
all of the properties constituting a trade or
business of a domestic partnership.

.02 General Areas

(1) Whether a taxpayer has a business
purpose for a transaction or arrangement.

(2) Whether a taxpayer uses a correct
North American Industry Classification
System (NAICS) code or Standard Indus-
trial Classification (SIC) code.

(3) Any transaction or series of trans-
actions that is designed to achieve a dif-
ferent tax consequence or classification
under U.S. tax law (including tax treaties)
and the tax law of a foreign country,
where the results of that different tax con-
sequence or classification are inconsistent
with the purposes of U.S. tax law (includ-
ing tax treaties).

(4)(a) Situations where a taxpayer or a
related party is domiciled or organized in
a foreign jurisdiction with which the
United States does not have an effective
mechanism for obtaining tax information
with respect to civil tax examinations and
criminal tax investigations, which would
preclude the Service from obtaining infor-
mation located in such jurisdiction that is
relevant to the analysis or examination of
the tax issues involved in the ruling re-
quest.

(b) The provisions of subsection
4.02(4)(a) above shall not apply if the
taxpayer or affected related party (i) con-
sents to the disclosure of all relevant in-
formation requested by the Service in pro-
cessing the ruling request or in the course
of an examination to verify the accuracy
of the representations made and to other-
wise analyze or examine the tax issues
involved in the ruling request, and (ii)
waives all claims to protection of bank or
commercial secrecy laws in the foreign
jurisdiction with respect to the informa-
tion requested by the Service. In the event
the taxpayer's or related party's consent to
disclose relevant information or to waive
protection of bank or commercial secrecy
is determined by the Service to be inef-
fective or of no force and effect, then the
Service may retroactively rescind any rul-
ing rendered in reliance on such consent.

(5) The federal tax consequences of
proposed federal, state, local, municipal,
or foreign legislation.

(6)(a) Situations involving the interpre-
tation of foreign law or foreign docu-
ments. The interpretation of a foreign law
or foreign document means making a

judgment about the import or effect of the
foreign law or document that goes beyond
its plain meaning.

(b) The Service, at its discretion, may
consider rulings that involve the interpre-
tation of foreign laws or foreign docu-
ments. In these cases, the Service may
request information in addition to that
listed in § 7.01(2) and (6) of Rev. Proc.
2015-1, including a discussion of the im-
plications of any authority believed to in-
terpret the foreign law or foreign docu-
ment, such as pending legislation, treaties,

court decisions, notices or administrative
decisions.

(7) The treatment or effects of hook
equity, as described in section 4.02(11) of
Rev. Proc. 2015-3, in this Bulletin.

# SECTION 5. EFFECT ON OTHER REVENUE PROCEDURES

Rev. Proc. 2014-7 is superseded.
SECTION 6. EFFECTIVE DATE

# SECTION 7. DRAFTING INFORMATION

This revenue procedure was compiled
by Nancy M. Galib of the Office of As-
sociate Chief Counsel (International). For
further information about this revenue
procedure, please contact Ms. Galib at
(202) 317-3800 (not a toll-free number).

This revenue procedure is effective
January 2, 2015.

## 26 CFR 601.201: Rulings and determination letters.

## Rev. Proc. 2015-8

TABLE OF CONTENTS

SECTION 1. PURPOSE

236

SECTION 2. CHANGES

236

SECTION 3. BACKGROUND

236

.01 Legislation authorizing user fees

236

.02 Related revenue procedures

236

SECTION 4. SCOPE

236

.01 Requests to which user fees apply

236

.02 Requests and other actions that do not require the payment of a user fee

236

.03 Exemptions from the user fee requirements.

237

.04 Compliance and Correction Fees

237

SECTION 5. DEFINITIONS

237

SECTION 6. FEE SCHEDULE

237

EMPLOYEE PLANS USER FEES

.01 Letter ruling requests

237

.02 Opinion letters on prototype individual retirement accounts and/or annuities, SEPS, SIMPLE IRAS,

SIMPLE IRA Plans, Roth IRAs and dual-purpose IRAs

238

.03 Opinion letters on master and prototype plans

238

.04 Advisory letters on volume submitter plans

239

.05 Determination letters

239

.06 Opinion letters on § 403(b) prototype plans

239

.07 Advisory letters on § 403(b) volume submitter plans

240

EXEMPT ORGANIZATIONS USER FEES

.08 Determination letters and requests for group exemption letters

240

.09 Summary of Exempt Organization Fees.

240

SECTION 7. MAILING ADDRESS FOR REQUESTING LETTER RULINGS, DETERMINATION LETTERS, ETC

241

.01 Matters handled by EP or EO Rullings and Agreements

241

.02 Matters handled by EP or EO Determinations

242

SECTION 8. REQUESTS INVOLVING MULTIPLE OFFICES, FEE CATEGORIES, ISSUES, TRANSACTIONS, OR ENTITIES

242

.01 Requests involving several offices

242

.02 Requests involving several fee categories

242

.03 Requests involving several issues

242

.04 Requests involving several unrelated transactions

242

.05 Requests for separate letter rulings for several entities

242

SECTION 9. PAYMENT OF FEE

242

.01 Method of payment

242

.02 Transmittal forms

243

.03 Effect of nonpayment or payment of incorrect amount.

243

.04 Payment of user fees for Employee Plan Determination Applications

243

.05 Payment of user fees for applications of recognition of exemption on Form 1023-EZ

243

SECTION 10. REFUNDS

243

.01 General rule

243

.02 Examples

243

SECTION 11. REQUEST FOR RECONSIDERATION OF USER FEE

244

SECTION 12. EFFECT ON OTHER DOCUMENTS.

244

### SECTION 13. EFFECTIVE DATE

244

#### SECTION 1. PURPOSE

This revenue procedure provides guid-
ance for complying with the user fee pro-
gram of the Internal Revenue Service as it
pertains to requests for letter rulings, de-
termination letters, etc., on matters under
the jurisdiction of the Commissioner, Tax
Exempt and Government Entities Divi-
sion.

#### SECTION 2. CHANGES

.01 In general. This revenue procedure
is a general update of Rev. Proc. 2014-8,
2014-1 I.R.B. 242. Changes related to the
realignment of technical work from the
Tax Exempt and Government Entities Di-
vision (TE/GE) to the Office of Associate
Chief Counsel (Tax Exempt and Govern-
ment Entities) are included in this update.
In addition to minor revisions, such as
updating references, the following
changes have been made:

.02 Section 4.01 is modified to delete
references to administrative scrutiny fees.

.03 Section 4.03(2) relating to requests
submitted on Form SS-8, Determination
of Worker Status for Purposes of Federal
Employment Taxes and Income Tax With-
holding has been deleted.

.04 Section 5 has been modified to de-
lete references to administrative scrutiny,
Master plan, Staggered Remedial Amend-
ment Period, Volume submitter lead spec-
imen plan and to include a reference to
Form 1023-EZ.

.05 The Note relating to the user fee
has been moved from section 6.01(3) to
6.01(2).

.06 Deleted "change in accounting
method" and "waiver of minimum fund-
ing standard" from section 6.01 as obso-
lete.

.07 Deleted the Note relating to Form
8717-A from sections 6.03 and 6.04.

.08 Deleted the Note relating to Form
8717 from section 6.05(1)(e).

.09 Added Rev. Rul. 2014-24, to sec-
tion 6.05(2).

.10 Removed All Letter rulings from
section 6.08, and renamed section 6.08
Determination letters and requests for
group exemption letters.

.11 Added section (2) Application for
exemption under § 501 on Form 1023-EZ
to section 6.08 and renumbered remaining
sections.

.12 Renumbered section 6.10 as 6.09
and removed all letter rulings referring to
Technical Office.

.13 Updated citations and addresses
throughout section 7.

.14 Deleted section 7.01(5) address for
Exempt organization letter rulings.

.15 Modified section 7.02(2) to explain
how Form 1023 EZ must be filed.

.16 Deleted "Division Counsel" from
section 8.01.

.17 Deleted reference to administrative
scrutiny determinations from section 9.02.

.18 Added section 9.05 to reflect that
the user fee payable on Form 1023-EZ
must be paid through www.pay.gov.

.19 Modified section 10.02(1)(c) to in-
clude determination letter requests.

.20 Modified section 10.02(2) relating
to situations under which a user fee will
be refunded.

.21 Deleted "Exempt organization let-
ter ruling requests" and "Exempt Organi-
zations Technical".

.22 Updated revenue procedures cited
in Appendices B, C, and D.

#### SECTION 3. BACKGROUND

.01 Legislation authorizing user fees.
Section 7528 of the Code directs the Sec-
retary of the Treasury or delegate (the
"Secretary") to establish a program re-
quiring the payment of user fees for re-
quests to the Service for letter rulings,
opinion letters, determination letters, and
similar requests. The fees charged under
the program: (1) are to vary according to
categories or subcategories established by
the Secretary; (2) are to be determined
after taking into account the average time
for, and difficulty of, complying with re-
quests in each category and subcategory;
and (3) are payable in advance. Section
7528(b)(3) directs the Secretary to pro-
vide for exemptions and reduced fees un-
der the program as the Secretary deter-
mines to be appropriate, but the average
fee applicable to each category may not be
less than the amount specified in § 7528.

.02 Related revenue procedures. The
various revenue procedures that require
payment of a user fee are described in the
appendix to this revenue procedure.

#### SECTION 4. SCOPE

.01 Requests to which user fees apply.
In general, user fees apply to all requests
for letter rulings, opinion letters, determi-
nation letters, and advisory letters submit-
ted by or on behalf of taxpayers, sponsor-
ing organizations or other entities as
described in this revenue procedure. Re-
quests to which a user fee is applicable
must be accompanied by the appropriate
fee as determined from the fee schedule
set forth in section 6 of this revenue pro-
cedure. The fee may be refunded in lim-
ited circumstances as set forth in section
10.

.02 Requests and other actions that do
not require the payment of a user fee.
Actions which do not require the payment
of a user fee include the following:

(1) Requests for information letters as
defined in Rev. Proc. 2015-4, this Bulle-
tin;

(2) Elections pertaining to automatic
extensions of time under § 301.9100-1 of
the Procedure and Administration regula-
tions;

(3) Use of forms which are not to be
filed with the Service. For example, no
user fee is required in connection with the
use of Form 5305, Traditional Individual
Retirement Trust Account, or Form
5305-A, Traditional Individual Retire-
ment Custodial Account, in order to adopt
an individual retirement account under
§ 408(a);

(4) In general, plan amendments
whereby sponsors amend their plans by
adopting, word-for-word, the model lan-
guage contained in a revenue procedure
which states that the amendment should
not be submitted to the Service and that
the Service will not issue new opinion,
advisory, ruling or determination letters
for plans that are amended solely to add
the model language; and

(5) Change in accounting period or ac-
counting method permitted by a published
revenue procedure that permits an auto-

## Sec. 4.02 January 2, 2015

matic change without prior approval of
the Commissioner.

.03 Exemptions from the user fee re-
quirements. The following exemptions
apply to the user fee requirements. These
are the only exemptions that apply:

(1) Departments, agencies, or instru-
mentalities of the United States that cer-
tify that they are seeking a letter ruling,
determination letter, opinion letter or sim-
ilar letter on behalf of a program or activ-
ity funded by federal appropriations. The
fact that a user fee is not charged has no
bearing on whether an applicant is treated
as an agency or instrumentality of the

United States for purposes of any provi-
sion of the Code except for § 7528.

(2) The exemption from the user fee
requirements applies to all eligible em-
ployers within the meaning of
§ 7528(b)(2)(C)(ii) who request a deter-
mination letter within the first five plan
years or, if later, the end of any remedial
amendment period with respect to the plan
that begins within the first five plan years.
See, Instructions to Form 8717, User Fee
for Employee Plans Determination Letter
Request, and Notice 2002-1, 2002-1 C.B.
283, as amplified by Notice 2003-49,
2003-2 C.B. 294, and Notice 2011-86,
2011-45 I.R.B. 698.

.04 Compliance and Correction Fees.
Compliance fees and compliance correc-
tion fees under the Employee Plans Com-
pliance Resolution System are not de-
scribed in this procedure because they are
compliance fees or compliance correction
fees and not user fees. For further guid-
ance, please see Rev. Proc. 2013-12,
2013-4 I.R.B. 313.

# SECTION 5. DEFINITIONS

The following terms used in this reve-
nue procedure are defined in the pertinent
revenue procedures referred to below,
which are described in the appendix:

§ 403(b) pre-approved plan

Rev. Proc. 2013-22

Adoption agreement

Rev. Procs. 2011-49, 2013-22

Advisory letter

Rev. Procs. 2011-49, 2013-22, 2015-6

Basic plan document

Rev. Procs. 2011-49, 2013-22

Determination letter

Rev. Procs. 2015-6, 2014-9

Dual-purpose IRA

Rev. Procs. 98-59, 2010-48

Form 1023-EZ

Rev. Proc. 2015-5

Group exemption letter

Rev. Proc. 80-27

Information letter

Rev. Proc. 2015-4

Letter ruling

Rev. Proc. 2015-4

Mass submitter

Rev. Procs. 87-50, 2011-49, 2013-22

Mass submitter plan

Rev. Procs. 2011-49, 2013-22

Minor modification/modifier

Rev. Procs. 87-50, 2011-49, 2013-22

Opinion letter

Rev. Procs. 2011-49, 2013-22, 2015-4

Prototype plan

Rev. Procs. 2011-49, 2013-22

Roth IRA

Rev. Procs. 98-59, 2010-48

SIMPLE IRA

Rev. Proc. 97-29

SIMPLE IRA Plan

Rev. Proc. 97-29

Sponsor

Rev. Procs. 2011-49, 2013-22

Sponsoring organization

Rev. Proc. 87-50

Substitute mortality table

Rev. Proc. 2008-62

Volume submitter plans

Rev. Procs. 2011-49, 2013-22

Volume submitter specimen plan

Rev. Procs. 2011-49, 2013-22

Word-for-word identical adoption/Adopter

Rev. Procs. 87-50, 2011-49, 2013-22

## SECTION 6. FEE SCHEDULE

The amount of the user fee payable with respect to each category or subcategory of submission is as set forth in the following schedule.

# CATEGORY

EMPLOYEE PLANS USER FEES

## .01 Letter ruling requests.

(1) Computation of exclusion for annuitant under § 72

$1,000

(2) Change in plan year (Form 5308)

$1,000

Sec. 6.01
January 2, 2015

# CATEGORY

Note: No user fee is required if the requested change is permitted to be made pursuant to the pro-
cedure for automatic approval set forth in Rev. Proc. 87-27, 1987-1 C.B. 769. In such a case,

Form 5308 should not be submitted to the Service.

(3) Five-Year Automatic Extension of the Amortization Period

$1,000

(4) Certain waivers of 60-day rollover period

(a) Rollover less than $50,000

$500

(b) Rollover equal to or greater than $50,000 and less than $100,000

$1,500

$3,000

(5) Change in funding method

$4,000

(6) Letter ruling request on Roth IRA Recharacterization

$4,000

(7) Approval to become a nonbank trustee (see §1.408-2(e) of the Income Tax Regulations)

$20,000

(8) Substitute mortality table under Rev. Proc. 2008-62

$14,500

(9) Waiver of excise tax of $1,000,000 or more on the liquidity shortfall under § 4971(f)(4)

$14,500

(10) All other letter rulings

$10,000

.02 Opinion letters on prototype individual retirement accounts and/or annuities, SEPs, SIMPLE IRAs,

SIMPLE IRA Plans, Roth IRAs and dual-purpose IRAs.

(1) Prototype IRA, SEP, SIMPLE IRA, SIMPLE IRA Plan,

$3,000

or Roth IRA, per plan document, new or amended

(2) Sponsoring organization's word-for-word identical adoption of mass submitter's prototype IRA, SEP, SIMPLE IRA, SIMPLE IRA Plan, or Roth IRA, per plan document or an amendment thereof

$200

Note: If a mass submitter submits, in any 12-month period ending January 31, more than 300 applications on behalf of word-for-word adopters of prototype IRAs or prototype dual-purpose IRAs with respect to a particular plan document, only the first 300 such applications will be subject to the fee; no fee will apply to those in excess of the first 300 such applications submitted within the 12-month period.

(3) Sponsoring organization's minor modification of a mass submitter's prototype IRA, SEP, SIMPLE IRA, dual-purpose IRA, SIMPLE IRA Plan, or Roth IRA, per plan document

$750

(4) Opinion letters on dual-purpose IRAs, per plan document new or amended

$4,500

(5) Assumption of sponsorship of an approved prototype IRA or SEP, without any amendment to the plan document by a new entity as evidenced by a change of an employer identification number

$200

.03 Opinion letters on master and prototype plans.

(1) Mass submitter M &amp; P plan

(a) per basic plan document, new or amended, with one adoption agreement

$16,000

(b) per each additional adoption agreement

$2,000

(2) Sponsor's word-for-word identical adoption of M &amp; P mass submitter's basic plan document

$400

(or an amendment thereof), per adoption agreement

(3) Sponsor's minor modification of M &amp; P mass submitter's basic plan document, per adoption agreement

$1,000

(4) Non-mass submitter M &amp; P plan

(a) per basic plan document, new or amended, with one adoption agreement

$14,000

(b) per each additional adoption agreement

$11,000

(5) M &amp; P mass submitter's request for an opinion letter with respect to the addition of optional provisions following issuance of a favorable opinion letter (see section 12.03(1)(c) of Rev. Proc.

$1000

2011-49), per basic plan document (regardless of the number of adoption agreements)

(6) Assumption of sponsorship of an approved M &amp; P plan, without any amendment to the plan document,

$300

by a new entity, as evidenced by a change of employer identification number, per basic plan document

(7) Change in name and/or address of sponsor of an approved M &amp; P plan, per basic plan document

None

(8) Mass submitter or non-mass submitter sponsor per trust document in excess of 10

$1,000

Note: If a mass submitter submits, in any 12-month period ending January 31, more than 300 applications on behalf of word-for-word adopters with respect to a particular adoption agreement, only the first 300 such applications will be subject to the fee; no fee will apply to those in excess of the first 300 such applications submitted within the 12-month period.

## CATEGORY

.04 Advisory letters on volume submitter plans. (1) Volume submitter specimen plan (non mass submitter)

(a) with no or one adoption agreement

$14,000

(b) per additional adoption agreement

$11,000

(2) Volume submitter mass submitter specimen plan

(a) with no or one adoption agreement

$16,000

(b) per each additional adoption agreement

$2,000

(3) Volume submitter specimen plan that is word-for-word identical to a mass submitter specimen plan

$400

(4) Assumption of sponsorship of an approved volume submitter plan, without any amendment to the plan document, by a new entity, as evidenced by a change of employer identification number, per basic plan document

$300

(5) Change in name and/or address of practitioner of an approved volume submitter specimen plan, per basic plan document

None

(6) Mass submitter or non-mass submitter practitioner per trust document in excess of 10

$ 1,000

.05 Determination letters

(1) If the plan is intended to satisfy a design-based safe harbor:

(a) Form 5300 (Application for Determination for Employee Benefit Plan)

$2,500

(b) Form 5307 (Application for Determination for Adopters of Modified Volume Submitter Plans)

$500

$2,000

(d) Multiple employer plans (Form 5300):

(i) 2 to 10 Forms 5300 submitted

$3,000

(ii) 11 to 99 Forms 5300 submitted

$3,000

(iii) 100 to 499 Forms 5300 submitted

$15,000

(iv) Over 499 Forms 5300 submitted

$15,000

Note: In the case of a multiple employer plan that is adopted by other employers after the initial submission, the fee would be the same as in paragraph (1)(a) or (d) above as applicable.

(e) Multiple employer plans (Form 5310):

(i) 2 to 10 participating employers

$3,000

(ii) 11 to 99 participating employers

$3,000

(iii) 100 to 499 participating employers

$15,000

(iv) Over 499 participating employers

$15,000

(2) Group trusts contemplated by Rev. Rul. 81-100, 1981-1 C.B. 326, Rev. Rul. 2004-67, 2004-2 C.B. 28, Rev. Rul. 2011-1, 2011-2 I.R.B. 251, Rev. Rul. 2014-24, 2014-37 I.R.B. 529. Form 5316 is available for group trust submissions. .06 Opinion letters on § 403(b) prototype plans.

$1,000

(1) Mass submitter § 403(b) prototype plan

(a) per basic plan document with one adoption agreement

$12,000

(b) per each additional adoption agreement

$1,000

(2) Section 403(b) prototype plan of a word-for-word identical adopter of a § 403(b) prototype mass

$300

submitter's basic plan document (or an amendment thereof), per adoption agreement

(3) Section 403(b) prototype plan of a minor modifier of a § 403(b) prototype mass submitter's basic plan document, per adoption agreement

$1,000

(4) Non-mass submitter § 403(b) prototype plan

(a) per basic plan document with one adoption agreement

$12,000

(b) per each additional adoption agreement

$9,500

(5) Assumption of sponsorship of an approved § 403(b) prototype plan, without any amendment to the plan document, by a new entity, as evidenced by a change of employer identification number, per basic plan document

$300

Sec. 6.06

January 2, 2015

## CATEGORY

(6) Change in name and/or address of sponsor of an approved § 403(b) prototype plan, per basic
plan document

Note: If a mass submitter submits, during the period set forth in Rev. Proc. 2013-22, more than
300 applications on behalf of word-for-word adopters with respect to a particular adoption agree-
ment, only the first 300 such applications will be subject to the fee; no fee will apply to those in
excess of the first 300 such applications submitted within the 12-month period.

.07 Advisory letters on § 403(b) volume submitter plans.

(1) Section 403(b) volume submitter specimen plan (non mass submitter)

(a) with no or one adoption agreement

$12,000

(b) per additional adoption agreement

$9,500

(2) Section 403(b) volume submitter mass submitter specimen plan

(a) with no or one adoption agreement

$12,000

(b) per each additional adoption agreement

$1,000

(3) Section 403(b) volume submitter specimen plan of a word-for-word identical adopter of a
mass submitter specimen plan

$300

(4) Assumption of sponsorship of an approved § 403(b) volume submitter plan, without any
amendment to the plan document, by a new entity, as evidenced by a change of employer identi-
fication number, per specimen plan

$300

(5) Change in name and/or address of practitioner of an approved § 403(b) volume submitter
specimen plan, per specimen plan

None

EXEMPT ORGANIZATIONS USER FEES

.08 Determination letters and requests for group exemption letters

$400

(1) Application (whether an initial application or an application for reinstatement) for exemption
under § 501 on Form 1023-EZ.

(2) Application (whether an initial application or an application for reinstatement) for exemption
under § 501 (other than on Form 1023-EZ) or § 521 from organizations (other than pension,
profit-sharing, and stock bonus plans described in § 401) that have had annual gross receipts
averaging not more than $10,000 during the preceding four years, or new organizations that
anticipate gross receipts averaging not more than $10,000 during the first four years.

$400

Note: Organizations seeking this reduced fee must sign a certification with their application that
the receipts are or will be not more than the indicated amounts.

(3) Application (whether an initial application or an application for reinstatement) for exemption
(other than on Form 1023-EZ) from organizations otherwise described in paragraph (2) of
this section 6.08 whose actual or anticipated gross receipts exceed the $10,000 average annually.

$850

Note: If an organization that is already recognized as exempt under § 501(c) seeks reclassification
under another subparagraph of § 501(c), a new user fee will be charged whether or not a new applica-
tion is required. An additional fee applies to organizations that seek recognition of exemption under
§ 501(c)(4) (unless requested at the time of the § 501(c)(3) application) for a period for which they do
not qualify for exemption under § 501(c)(3) because their application was filed late and they do not
qualify for relief under § 301.9100-1.

(4) Group Exemption letters
$3,000

Note: An additional user fee under (1), (2) or (3) above is also required when a central organization
submits an initial application for exemption with its request for a group exemption letter.

(5) Canadian registered charities
None

In accordance with the income tax treaty between the United States and Canada, Canadian registered
charities are automatically recognized as exempt under § 501(c)(3) without filing an application for
exemption. For details, see Notice 99-47, 1999-2 C.B. 391. Therefore, no user fee is required when a
Canadian registered charity submits all or part of a Form 1023 or other written request to be listed in
Publication 78, or for a determination on its private foundation status.

.09 Summary of exempt organization fees

This table summarizes the various types of exempt organization issues, indicates the office of jurisdic-
tion for each type, and lists the applicable user fee. Reduced fees may be applicable in certain in-
stances.

None

DETERMINATIONS

ISSUE

OFFICE

USER FEE

Accounting method changes (Form 3115)

None

Accounting period changes (Form 1128)

None

Application (whether an initial application or application for reinstatement) for recognition of exemption (Other than Form 1023-EZ)

$850

Application (whether an initial application or an application for reinstatement) for recognition of exemption (Form 1023-EZ)

$400

Reduced user fee for organizations described in section 6.08(2)

$400

Group exemption letters

$3,000

Confirmation of exemption (to replace lost exempt status letter, and to reflect name and address changes)

None

Reclassification of private foundation status, including operating foundation status described in § 4942(j)(3) and exempt operating foundation status de- scribed in § 4940(d); a determination that a public charity is described in § 509(a)(3)(i), (ii), or (iii), including whether or not a Type III supporting organization is functionally integrated; reclassification of foundation status, including voluntary requests from public charities for private foundation status and voluntary requests from public charities, including requests from subordi- nate organizations, to change from one public charity status to another public charity status; or final public charity classification determination for organiza- tions whose advance ruling periods expired prior to June 9, 2008 without pro- viding the required information (Form 8940).

$400

Regulations § 301.9100 relief in connection with applications for recognition of exemption

None

Section 507 terminations-advance ruling under § 507(b)(1)(B) and notice un- der § 507(a)(1) or 507(b)(1)(B)

$400

Section 4942(g)(2) set asides - advance approval (Form 8940)

$1000

Section 4945 advance approval of organization's grant making procedures (Form 8940)

$1000

Section 4945(f) advance approval of voter registration activities (Form 8940)

$1000

Section 6033 annual information return filing requirements (including a subor- dinate organization's change of filing requirements) (Form 8940)

$400

Unusual grants to certain organizations under §§ 170(b)(1)(A)(vi) and 509(a)(2) (Form 8940)

$400

User Fee for determination letters under the jurisdiction of the Determinations Office not otherwise described or covered in this section 6.09.

$400

SECTION 7. MAILING ADDRESS
FOR REQUESTING LETTER
RULINGS, DETERMINATION
LETTERS, ETC.

.01 Matters handled by EP Rulings and
Agreements. Requests should be mailed to
the appropriate address set forth in this
section 7.01.

(1) Employee plans letter rulings under
Rev. Procs. 87-50, 90-49, 2000-41,
2003-16, 2008-62, 2010-52, or 2015-4:

Internal Revenue Service
Attention: EP Letter Rulings
Stop 31

P.O. Box 12192
Covington, KY 41012-0192

(2) Employee plans opinion letters un-
der Rev. Procs. 87-50, 97-29, 98-59, and
2010-48:

Internal Revenue Service
Attention: EP Opinion Letters
Stop 31
P.O. Box 12192
Covington, KY 41012-0192

(3) Employee plans opinion and advi-
sory letters for § 403(b) pre-approved
plans under Rev. Proc. 2013-22.

Internal Revenue Service
Attention: EP Opinion Letters
Stop 31
P.O. Box 12192
Covington, KY 41012-0192

Note: Hand delivered requests must be
marked RULING REQUEST SUBMIS-
SION. The delivery should be made to the
following address between the hours of
8:30 a.m. and 4:00 p.m., where a receipt
will be given:

Courier's Desk
Internal Revenue Service
Attention: EP Letter Rulings

Sec. 7.01
January 2, 2015

Stop 31
201 West Rivercenter Boulevard
Covington, KY 41011

.02 Matters handled by EP or EO De-
terminations Office.

(1) The following types of requests and
applications are handled by the EP or EO
Determinations Office and should be sent
to the Internal Revenue Service Center in
Covington, Kentucky, at the address
shown below: (a) requests for determina-
tion letters on the qualified status of em-
ployee plans under § 401, 403(a), or 409,
and the exempt status of any related trust
under § 501; (b) applications for recogni-
tion of tax exemption on Form 1023,
Form 1024 and Form 1028; (c) requests
for determination letters submitted with
Form 8940; (d) requests for changes in
accounting period; and (e) and other ap-
plications for recognition of qualification
or exemption (other than on Form 1023-
EZ). The address is:

Internal Revenue Service
Attention: EP/EO Determination Letters
Stop 31
P.O. Box 12192
Covington, KY 41012-0192

(1) Applications for recognition of ex-
emption on Form 1023-EZ are handled by
the EO Determinations Office, but must
be submitted electronically online at
www.pay.gov. Paper submissions of Form
1023-EZ will not accepted.

(3) The following types of requests and
applications are handled by the EP Deter-
minations Office and should be sent to the
Internal Revenue Service at the address
shown below: (a) requests for master and
prototype opinion letters and for volume
submitter advisory letters on the form of
pre-approved employee plans under § 401
or 403(a); and

(b) the exempt status of any related
trust under § 501. The address is:

Internal Revenue Service
P.O. Box 2508
Rm. 5106: Group 7521
Cincinnati, OH 45201

(4) Determinations and requests not
subject to a user fee are handled by the EO
Determinations Office and should be sent
to the Internal Revenue Service at the
address shown below:

Sec. 9.01
January 2, 2015

Internal Revenue Service
P.O. Box 2508
Rm. 4024
Cincinnati, OH 45201

(5) Applications shipped by Express
Mail or a delivery service for all of the
above except for pre-approved em-
ployee plans should be sent to:

Internal Revenue Service
Attention: EP/EO Determination Letters
Stop 31
201 West Rivercenter Boulevard
Covington, KY 41011

Applications shipped by Express Mail
or a delivery service for pre-approved
employee plans should be sent to:

Internal Revenue Service
550 Main Street
Room 5106: Group 7521
Cincinnati, OH 45202

### SECTION 8. REQUESTS INVOLVING MULTIPLE OFFICES, FEE CATEGORIES, ISSUES, TRANSACTIONS, OR ENTITIES

.01 Requests involving several offices.
If a request dealing with only one trans-
action involves more than one of the of-
fices within the Service (for example, one
issue is under the jurisdiction of the As-
sociate Chief Counsel (Income Tax & Ac-
counting) and another issue is under the
jurisdiction of the Commissioner, Tax Ex-
empt and Government Entities Division),
the taxpayer is only responsible for the
payment of the single highest fee that
could be charged by any of the offices
involved. See Rev. Proc. 2015-1, this
Bulletin, for the user fees applicable to
issues under the jurisdiction of the Asso-
ciate Chief Counsel (Corporate), the As-
sociate Chief Counsel (Financial Institu-
tions & Products), the Associate Chief
Counsel (Income Tax & Accounting), the
Associate Chief Counsel (Passthroughs &
Special Industries), the Associate Chief
Counsel (Procedure and Administration),
the Associate Chief Counsel (Interna-
tional) or the Associate Chief Counsel
(Tax Exempt and Government Entities).

.02 Requests involving several fee cat-
egories. If a request dealing with only one
transaction involves more than one fee
category, the taxpayer only is responsible

for payment of the single highest fee that
could be charged for any of the categories
involved.

.03 Requests involving several issues.
A request is treated as one request if: (1)
the request deals with only one transaction
but involves several issues; (2) the request
is one for a change in accounting method
dealing with only one item or sub-method
of accounting but involves several issues;
(3) the request is one for a change in
accounting period dealing with only one
item but involves several issues. In such
instances, only one fee applies, namely
the fee that applies to the particular cate-
gory or subcategory involved. The addi-
tion of a new issue relating to the same
transaction will not result in an additional
fee, unless the issue places the transaction
in a higher fee category.

.04 Requests involving several unre-
lated transactions. In situations where: (1)
a request involves several unrelated trans-
actions; (2) a request for a change in ac-
counting method involves several unre-
lated items or sub-methods of accounting;
or (3) a request for a change in accounting
period involves several unrelated items,
each transaction or item is treated as a
separate request. As a result, a separate
fee will apply for each unrelated transac-
tion or item. An additional fee will apply
if the request is changed by the addition of
an unrelated transaction or item not con-
tained in the initial submission.

.05 Requests for separate letter rulings
for several entities. Each entity involved
in a transaction that desires a separate
letter ruling in its own name (for example,
an exempt hospital reorganization) must
pay a separate fee. Payment of a separate
fee is required regardless of whether the
transaction or transactions may be viewed
as related.

### SECTION 9. PAYMENT OF FEE

.01 Method of payment. Except as pro-
vided in sections 9.04 and 9.05, each re-
quest to the Service for a letter ruling,
determination letter, opinion letter, etc.,
must be accompanied by a check or
money order, payable to the United States
Treasury, in the appropriate amount. Tax-
payers should not send cash.

Your check may be converted to an
electronic fund transfer. "Electronic fund
transfer" is the term used to refer to the

process in which we electronically in-
struct your financial institution to transfer
funds from your account to our account,
rather than processing your check. By
sending your completed, signed check to
us, you authorize us to copy your check
and to use the account information from
your check to make an electronic fund
transfer from your account for the same
amount as the check. If the electronic fund
transfer cannot be processed for technical
reasons, you authorize us to process the
copy of your check.

The electronic fund transfer from your
account will usually occur within 24
hours, which is faster than a check is
normally processed. Therefore, make sure
there are sufficient funds available in your
checking account when you send us your
check. You will not receive your check
back from your financial institution.

.02 Transmittal forms. Form 8717,
User Fee for Employee Plan Determina-
tion Letter Request (or a payment confir-
mation from pay.gov as described in sec-
tion 9.04), Form 8717-A, User Fee for
Employee Plan Opinion or Advisory Let-
ter Request and Form 8718, User Fee for
Exempt Organization Determination Let-
ter Request, are intended to be used as
attachments to certain determination let-
ter, opinion letter and advisory letter ap-
plications. Space is reserved for the at-
tachment of the applicable user fee check
or money order. No similar form has been
designed to be used in connection with
requests for letter rulings.

.03 Effect of nonpayment or payment of
incorrect amount.

Except as provided in Rev. Proc.
2015-6, it will be the general practice of
the Service that:

(1) The respective offices within the
Service that are responsible for issuing
letter rulings, determination letters, etc.,
will exercise discretion in deciding
whether to immediately return submis-
sions that are not accompanied by a prop-
erly completed check or money order or
that are accompanied by a check or money
order for less than the correct amount. In
those instances where the submission is
not immediately returned, the requester
will be contacted and given a reasonable
amount of time to submit the proper fee. If
the proper fee is not received within a
reasonable amount of time, the entire sub-

mission will then be returned. However,
the respective offices of the Service, in
their discretion, may defer substantive
consideration of a submission until proper
payment has been received.

(2) An application for a determination
or opinion or advisory letter will not be
returned merely because Form 8717,
Form 8717-A or Form 8718 was not at-
tached.

(3) The return of a submission to the
requester may adversely affect substantive
rights if the submission is not perfected
and resubmitted to the Service within 30
days of the date of the cover letter return-
ing the submission. Examples of this are:
(a) where an application for a determina-
tion letter is submitted prior to the expi-
ration of the remedial amendment period
under § 401(b) and is returned because no
user fee was attached, the submission will
be timely if it is resubmitted by the expi-
ration of the remedial amendment period
or, if later, within 30 days after the appli-
cation was returned; and (b) where an
application for exemption under § 501(c)(3)
is submitted before expiration of the pe-
riod provided by § 1.508-1(a)(2) and is
returned because no user fee was attached,
the submission will be timely if it is re-
submitted before expiration of the period
provided by § 1.508-1(a)(2) or within 30
days, whichever is later.

(4) If a check or money order is for
more than the correct amount, the submis-
sion will be accepted and the amount of
the excess payment will be returned to the
requester.

.04 Payment of user fees for Employee
Plan Determination applications.

User fees for Employee Plan Determi-
nation applications (Form 5300 series
only) may be paid by credit or direct debit
from a checking or savings account
through www.pay.gov. Payment confirma-
tions are provided through the www.pay-
.gov portal and must be submitted in lieu
of the paper Form 8717. Additional infor-
mation can be found at Frequently Asked
Questions at www.pay.gov.

.05 Payment of user fees for applica-
tions of recognition of exemption on Form
1023-EZ.

User fees for applications for recogni-
tion of exemption on Form 1023-EZ must
be paid through www.pay.gov.

### SECTION 10. REFUNDS

.01 General rule. In general, the fee
will not be refunded unless the Service
declines to rule or make a determination
on all issues for which a ruling or deter-
mination letter is requested.

.02 Examples.

(1) The following situations are exam-
ples in which the fee will not be refunded:

(a) The request for a letter ruling, de-
termination letter, etc., is withdrawn at
any time subsequent to its receipt by the
Service, unless the only reason for with-
drawal is that the Service has advised the
requester that a higher user fee than was
sent with the request is applicable and the
requester is unwilling to pay the higher
fee. For example, no fee will be refunded
where the taxpayer has been advised that a
proposed adverse ruling is contemplated
and subsequently withdraws its submission.

(b) The request is procedurally deficient,
although accompanied by the proper fee or
an overpayment, and it is not timely per-
fected. When there is a failure to timely
perfect the request, the case will be considered
closed and the failure to perfect will be treated
as a withdrawal for purposes of this revenue
procedure. An exemption application that is
not substantially complete is considered a pro-
cedurally deficient request for a letter ruling
or a determination letter on exempt status.

(c) In the case of a request for an EP
letter ruling, if the case has been closed by
the Service because essential information
has not been submitted timely, the request
may be reopened and treated as a new re-
quest, but the requester must pay another
user fee before the case can be reopened.
See 11.04(5) of Rev. Proc. 2015-4. In the
case of a request for an EP determination
letter, if the case has been closed by the
Service because the requested information
has not been timely submitted, the case will
be closed and the user fee will not be re-
funded. See 6.13 of Rev. Proc. 2015-6.

(d) A letter ruling, determination letter,
etc., is revoked in whole or in part at the
initiative of the Service. The fee paid at the
time the original letter ruling, determination
letter, etc., was requested will not be refunded.

(e) The request contains several issues
and the Service rules on some, but not all,
of the issues. The highest fee applicable to
the issues on which the Service rules will
not be refunded.

(f) The requester asserts that a letter
ruling the requester received covering a
single issue is erroneous or not responsive
(other than an issue on which the Service
has declined to rule) and requests recon-
sideration. The Service, upon reconsider-
ation, does not agree that the letter ruling
is erroneous or is not responsive. The fee
accompanying the request for reconsider-
ation will not be refunded.

(g) The situation is the same as de-
scribed in subparagraph (f) of this section
10.02(1) except that the letter ruling cov-
ered several unrelated transactions. The
Service, upon reconsideration, does not
agree with the requester that the letter
ruling is erroneous or is not responsive for
all of the transactions, but does agree that
it is erroneous as to one transaction. The
fee accompanying the request for recon-
sideration will not be refunded except to
the extent applicable to the transaction for
which the Service agrees the letter ruling
was in error.

(h) The request is for a supplemental
letter ruling, determination letter, etc.,
concerning a change in facts (whether sig-
nificant or not) relating to the transaction
on which the Service ruled.

(i) The request is for reconsideration of
an adverse or partially adverse letter rul-
ing or a final adverse determination letter,
and the taxpayer submits arguments and
authorities not submitted before the orig-

inal letter ruling or determination letter
was issued.

(2) The following situations are exam-
ples in which the user fee will be re-
funded:

(a) In a situation to which section
10.02(1)(i) of this revenue procedure does
not apply, the taxpayer asserts that a letter
ruling the taxpayer received covering a
single issue is erroneous or is not respon-
sive (other than an issue on which the
Service declined to rule) and requests re-
consideration. Upon reconsideration, the
Service agrees that the letter ruling is er-
roneous or is not responsive. The fee ac-
companying the taxpayer's request for re-
consideration will be refunded.

(b) In a situation to which section
10.02(1)(i) of this revenue procedure does
not apply, the requester requests a supple-
mental letter ruling, determination letter,
etc., to correct a mistake that the Service
agrees it made in the original letter ruling,
determination letter, etc., such as a mis-
take in the statement of facts or in the
citation of a Code section. Once the Ser-
vice agrees that it made a mistake, the fee
accompanying the request for the supple-
mental letter ruling, determination letter,
etc., will be refunded.

(c) See Rev. Proc. 2015-1, section
15.10(2), concerning refund of user fees
when a taxpayer requests relief under
§ 7805(b).

(d) In a situation to which section
10.02(1)(e) of this revenue procedure ap-
plies, the requester requests reconsidera-
tion of the Service's decision not to rule
on an issue. Once the Service agrees to
rule on the issue, the fee accompanying
the request for reconsideration will be re-
funded.

### SECTION 11. REQUEST FOR RECONSIDERATION OF USER FEE

A taxpayer that believes the user fee
charged by the Service for its request for a
letter ruling, determination letter, etc., is
either not applicable or incorrect and
wishes to receive a refund of all or part of
the amount paid (see section 10 of this
revenue procedure) may request reconsid-
eration and, if desired, the opportunity for
an oral discussion by sending a letter to
the Internal Revenue Service at the appli-
cable Post Office Box or other address
given in section 7 of this revenue proce-
dure. Both the incoming envelope and the
letter requesting such reconsideration
should be prominently marked "USER
FEE RECONSIDERATION REQUEST."
No user fee is required for these requests.
The request should be marked for the at-
tention of the appropriate unit as listed in
the table below.

If the matter involves primarily:

Employee plans letter ruling requests and all other
employee plans matters handled by EP Rulings and
Agreements

Employee plans determination letter requests and
opinion letter and advisory letter requests pursuant
to Rev. Proc. 2011-49
Exempt organizations determination letter requests

Mark for the attention of:
Employee Plans Rulings and
Agreements

Manager, EP Determinations Quality Assurance

Manager, EO Determinations Quality Assurance

### SECTION 12. EFFECT ON OTHER DOCUMENTS

Rev. Proc. 2014-8 is superseded

### SECTION 13. EFFECTIVE DATE

This revenue procedure is generally ef-
fective February 1, 2015, except as other-
wise noted. The Exempt Organization

User Fees set forth in sections 6.08, and
6.09 are effective January 2, 2015.

### SECTION 14. PAPERWORK REDUCTION ACT

The collections of information con-
tained in this revenue procedure have
been reviewed and approved by the Office
of Management and Budget in accordance
with the Paperwork Reduction Act (44

U.S.C. 3507) under control number 1545-
1520.

An agency may not conduct or spon-
sor, and a person is not required to re-
spond to, a collection of information un-
less the collection of information displays
a valid OMB control number.

The collections of information in this
revenue procedure are in section 6.09.
This information is required to substanti-
ate that a taxpayer or an exempt organi-

### Sec. 14 January 2, 2015

zation seeking to pay a reduced user fee
with respect to a request for a determina-
tion letter is entitled to pay the reduced
fee; to identify the user fee category and
corresponding fee required to be paid with
respect to determination letter requests; to
request reconsideration of the user fee
charged by the Service and, in connection
with such a request, to indicate whether an
oral discussion is desired. This informa-
tion will be used to enable the Service to
determine whether the taxpayer or exempt
organization is entitled to pay a reduced
user fee, to ascertain whether reconsider-
ation of the user fee is being requested
and, if it is being requested, whether an
oral discussion is requested. The collec-
tions of information are voluntary, to ob-
tain a benefit. The likely respondents are
individuals, businesses or other for-profit
institutions, nonprofit institutions, and
small businesses or organizations.

The estimated total annual reporting
and/or recordkeeping burden is 300 hours.

The estimated annual burden per re-
spondent/recordkeeper varies from one
hour to ten hours, depending on individual
circumstances, with an estimated average
of three hours. The estimated number of
respondents and/or recordkeepers is 90
(requests for reduced fees) and 10 (re-
quests for reconsideration of fee).

The estimated annual frequency of re-
sponses is on occasion.

Books or records relating to a collec-
tion of information must be retained as
long as their contents may become mate-
rial in the administration of any internal
revenue law. Generally tax returns and tax
return information are confidential, as re-
quired by 26 U.S.C. 6103.

## DRAFTING INFORMATION

The principal author of this revenue
procedure is Kathleen Herrmann of the
Employee Plans, Tax Exempt and Gov-
ernment Entities Division. For further in-
formation regarding employee plans mat-
ters in this revenue procedure, please
contact the Employee Plans' taxpayer as-
sistance telephone service 877-829-5500
(a toll-free number) between the hours of
8:30 a.m. and 4:30 p.m., Eastern time,
Monday through Friday. For exempt orga-
nization matters, please e-mail Darla Trilli
or Tracy Dornette at tege.eo@irs.gov.

Please put "Question about Rev. Proc.
2015-8" in the subject line.

## APPENDIX

Following is a list of revenue proce-
dures relating to requests for letter rulings,
determination letters, etc. that require the
payment of a user fee.

A. Procedures applicable to both Em-
ployee Plans and Exempt Organizations

Rev. Proc. 2015-4, this Bulletin, pro-
vides procedures for issuing letter rulings,
information letters, etc., on matters relat-
ing to matters under the jurisdiction of the
Commissioner, Tax Exempt and Govern-
ment Entities Division.

B. Procedures applicable to Employee
Plans matters other than actuarial mat-
ters

Rev. Proc. 87-50, 1987-2 C.B. 647, as
modified by Rev. Proc. 91-44, Rev. Proc.
92-38, Rev. Proc. 2002-10, 2002-1 C.B.
401, and Rev. Proc. 2010-48, 2010-50
I.R.B. 828 sets forth the procedures of the
Service relating to the issuance of rulings
and opinion letters with respect to the
establishment of individual retirement ac-
counts and annuities (IRAs) under § 408,
the entitlement to exemption of related
trusts or custodial accounts under
§ 408(e), and the acceptability of the form
of prototype simplified employee pension
(SEP) agreements under §§ 408(k) and
415.

Rev. Proc. 92-24, 1992-1 C.B. 739,
provides procedures for requesting deter-
mination letters on the effect on a plan's
qualified status under § 401(a) of the Code
of plan language that permits, pursuant to
§ 420, the transfer of assets in a defined
benefit plan to a health benefits account
described in § 401(h).

Rev. Proc. 92-38, 1992-1 C.B. 859,
provides notice that individual retirement
arrangement trusts, custodial account
agreements, and annuity contracts must be
amended to provide for the required dis-
tribution rules in § 408(a)(6) or (b)(3) of
the Code. In addition, Rev. Proc. 92-38
modifies the guidance in Rev. Proc. 87-50
with regard to opinion letters issued to
sponsoring organizations, including mass
submitters and sponsors of prototype
IRAs.

Rev. Proc. 97-29, 1997-1 C.B. 698,
describes model amendments for SIMPLE
IRAs; guidance to drafters of prototype

SIMPLE IRAs on obtaining opinion let-
ters; permissive amendments to sponsors
of nonSIMPLE IRAs; the opening of a
prototype program for SIMPLE IRA
Plans; and transitional relief for users of
SIMPLE IRAs and SIMPLE IRA Plans
that have not been approved by the Ser-
vice.

Rev. Proc. 98-59, 1998-2 C.B. 727, as
modified by Rev. Proc. 2010-48,
2010-50 I.R.B. 828 provides guidance on
obtaining opinion letters to drafters of
prototype Roth IRAs, and provides tran-
sitional relief for users of Roth IRAs that
have not been approved by the Internal
Revenue Service.

Rev. Proc. 2003-16, 2003-1 C.B. 359,
sets forth guidelines for the implementa-
tion of the provision for a waiver of the
60-day rollover period described in sec-
tion 644 of EGTRRA.

Rev. Proc. 2011-49, 2011-44 I.R.B.
608, contains the Service's master and
prototype (M&P) and volume submitter
program procedures for the pre-approval
of pension, profit-sharing and annuity
plans.

Rev. Proc. 2013-22, 2013-18 I.R.B.
985, as modified by Rev. Proc. 2014-28,
2014-16 I.R.B. 944, contains the Ser-
vice's procedures for issuing opinion and
advisory letter for § 403(b) pre-approved
plans (that is, § 403(b) prototype plans
and § 403(b) volume submitter plans).

Rev. Proc. 2015-6, this Bulletin, pro-
vides procedures for issuing determina-
tion letters on the qualified status of em-
ployee plans under §§ 401(a), 403(a), 409,
and 4975(e)(7).

C. Procedures applicable to Employee
Plans actuarial matters

Rev. Proc. 90-49, 1990-2 C.B. 620,
modifies and replaces Rev. Proc. 89-35,
1989-1 C.B. 917, in order to extend the
effective date to contributions made for
plan years beginning after December 31,
1989, to change the deadline for request-
ing rulings under the revenue procedure,
to revise the information requirements for
a ruling request made under the revenue
procedure, to furnish a worksheet for ac-
tuarial computations, and to provide a spe-
cial rule under which certain de minimis
nondeductible employer contributions to a
qualified defined benefit plan may be re-
turned to the taxpayer without a formal
ruling or disallowance from the Service.

Sec. 14

Rev. Proc. 2000-41, 2000-2 C.B.
371, sets forth the procedure by which a
plan administrator or plan sponsor may
obtain approval of the Secretary of the
Treasury for a change in funding method
as provided by § 412(c)(5) of the Code
and section 302(c)(5) of ERISA.

Rev. Proc. 2008-62, 2008-42 I.R.B
935, sets forth the procedure by which the
sponsor of a defined benefit plan, other
than a multiemployer plan, may request
and obtain approval for the use of plan-
specific substitute mortality tables in ac-
cordance with section 430(h)(3)(C) of the
Code and section 303(h)(3)(C) of the Em-
ployee Retirement Income Security Act of
1974 (ERISA), as amended.

Rev. Proc. 2010-52, 2010-52 I.R.B.
927, 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 section 431(d) of the
Code.

D. Procedures applicable to Exempt
Organizations matters only

Rev. Proc. 80-27, 1980-1 C.B. 677, as
modified by Rev. Proc. 96-40, 1996-2
C.B. 301, provides procedures under
which recognition of exemption from fed-
eral income tax under § 501(c) may be
obtained on a group basis for subordinate
organizations affiliated with and under the
general supervision or control of a central
organization. This procedure relieves each

of the subordinates covered by a group
exemption letter from filing its own appli-
cation for recognition of exemption.

Rev. Proc. 2015-9, in the next Bulle-
tin, will set forth any applicable revised
procedures with regard to applications for
recognition of exemption from federal in-
come tax under §§ 501 (other than on
Form 1023-EZ) and 521. Rev. Proc.
2015-10, next Bulletin, sets forth proce-
dures with regard to changes of founda-
tion classification.

Rev. Proc. 2015-5, in this Bulletin,
will set forth any applicable revised pro-
cedures with regard to applications for
recognition of exemption from federal in-
come tax under § 501 on Form 1023-EZ.

# 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
effect:

Amplified describes a situation where
no change is being made in a prior pub-
lished position, but the prior position is
being extended to apply to a variation of
the fact situation set forth therein. Thus, if
an earlier ruling held that a principle ap-
plied to A, and the new ruling holds that
the same principle also applies to B, the
earlier ruling is amplified. (Compare with
modified, below).

Clarified is used in those instances
where the language in a prior ruling is
being made clear because the language
has caused, or may cause, some confu-
sion. It is not used where a position in a
prior ruling is being changed.

Distinguished describes a situation
where a ruling mentions a previously pub-
lished ruling and points out an essential
difference between them.

Modified is used where the substance
of a previously published position is being
changed. Thus, if a prior ruling held that a
principle applied to A but not to B, and the
new ruling holds that it applies to both A

and B, the prior ruling is modified because
it corrects a published position. (Compare
with amplified and clarified, above).

Obsoleted describes a previously pub-
lished ruling that is not considered deter-
minative with respect to future transac-
tions. This term is most commonly used in
a ruling that lists previously published 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.

Revoked describes situations where the
position in the previously published ruling
is not correct and the correct position is
being stated in a new ruling.

Superseded describes a situation where
the new ruling does nothing more than
restate the substance and situation of a
previously published ruling (or rulings).
Thus, the term is used to republish under
the 1986 Code and regulations the same
position published under the 1939 Code
and regulations. The term is also used
when it is desired to republish in a single
ruling a series of situations, names, etc.,
that were previously published over a pe-
riod of time in separate rulings. If the new
ruling does more than restate the sub-

stance of a prior ruling, a combination of
terms is used. For example, modified and
superseded describes 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
published ruling is first modified and then,
as modified, is superseded.

Supplemented is used in situations in
which a list, such as a list of the names of
countries, is published in a ruling and that
list is expanded by adding further names
in subsequent rulings. After the original
ruling has been supplemented several
times, a new ruling may be published that
includes the list in the original ruling and
the additions, and supersedes all prior rul-
ings in the series.

Suspended is used in rare situations to
show that the previous published rulings
will not be applied pending some future
action such as the issuance of new or
amended regulations, the outcome of
cases in litigation, or the outcome of a
Service study.

# Abbreviations

The following abbreviations in current
use and formerly used will appear in ma-
terial published in the Bulletin.

A-Individual.

Acq .- Acquiescence.

B-Individual.

BE-Beneficiary.

F.R .- Federal Register.

FUTA-Federal Unemployment Tax Act.

FX-Foreign corporation.

G.C.M .- Chief Counsel's Memorandum.

GE-Grantee.

GP-General Partner.

GR-Grantor.

COOP-Cooperative.

IC-Insurance Company.

Ct.D .- Court Decision.

I.R.B .- Internal Revenue Bulletin.

CY-County.

LE-Lessee.

D Decedent.

LP-Limited Partner.

LR-Lessor.

X-Corporation.

DE-Donee.

M-Minor.

Nonacq .- Nonacquiescence.

O Organization.

DR-Donor.

P-Parent Corporation.

PHC-Personal Holding Company.

PO Possession of the U.S.

PR-Partner.

PRS Partnership.

PTE-Prohibited Transaction Exemption.
Pub. L .- Public Law.

REIT-Real Estate Investment Trust.

Rev. Proc .- Revenue Procedure.

Rev. Rul .- Revenue Ruling.

S-Subsidiary.

S.P.R .- Statement of Procedural Rules.

Stat .- Statutes at Large.

T-Target Corporation.

T.C .- Tax Court.

T.D .- Treasury Decision.

TFE-Transferee.

TFR-Transferor.

T.I.R .- Technical Information Release.

TP-Taxpayer.
TR-Trust.

TT-Trustee.

U.S.C .- United States Code.

DC-Dummy Corporation.

Del. Order-Delegation Order.

DISC-Domestic International Sales Corporation.

E-Estate.

EE-Employee.

E.O .- Executive Order.

ER-Employer.

ERISA-Employee Retirement Income Security Act.
EX-Executor.

F-Fiduciary.

FC-Foreign Country.

FICA-Federal Insurance Contributions Act.

FISC-Foreign International Sales Company.

FPH-Foreign Personal Holding Company.

BK-Bank.

B.T.A .- Board of Tax Appeals.

C-Individual.

C.B .- Cumulative Bulletin.

CFR-Code of Federal Regulations.

CI-City.

Y-Corporation.

Z-Corporation.

## Numerical Finding List1

Bulletin 2015-1

### Revenue Procedures:

2015-1, 2015-1 I.R.B. 1
2015-2, 2015-1 I.R.B. 105

2015-3, 2015-1 I.R.B. 129
2015-4, 2015-1 I.R.B. 144
2015-5, 2015-1 I.R.B. 186
2015-6, 2015-1 I.R.B. 194
2015-7, 2015-1 I.R.B. 231
2015-8, 2015-1 I.R.B. 235

1A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2014-27 through 2014-52 is in Internal Revenue Bulletin
2014-52, dated December 28, 2014.

### Finding List of Current Actions on Previously Published Items1

Bulletin 2015-1

#### Revenue Procedures:

2014-01
Superseded by
Rev. Proc. 2015-01, 2015-01 I.R.B. 1

2014-02
Superseded by
Rev. Proc. 2015-02, 2015-01 I.R.B. 105

2015-03
Superseded by
Rev. Proc. 2015-03, 2015-01 I.R.B. 129

2015-04
Superseded by
Rev. Proc. 2015-04, 2015-01 I.R.B. 144

2015-05
Superseded by
Rev. Proc. 2015-05, 2015-01 I.R.B. 186

2015-06
Superseded by
Rev. Proc. 2015-06, 2015-01 I.R.B. 194

2014-07
Superseded by
Rev. Proc. 2015-07, 2015-01 I.R.B. 231

2014-08
Superseded by
Rev. Proc. 2015-08, 2015-01 I.R.B. 235

Official Business
Penalty for Private Use, $300

# INTERNAL REVENUE BULLETIN

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available in late January.

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Internal Revenue Bulletin 2015-1 (PDF rendition): IRS Revenue Procedures

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