SERVICE ADDS THREE CHARITABLE REMAINDER TRUST ISSUES TO NO-RULING AREA.

Rev. Proc. 89-19

SECTION 1. BACKGROUND

Rev. Proc. 89-21, page 60, this Bulletin, makes available a sample declaration of trust that meets the applicable requirements under section 664(d)(1) of the Internal Revenue Code for an inter vivos charitable remainder annuity trust providing for annuity payments during one life.

Rev. Proc. 89-20, page 59, this Bulletin, makes available a sample declaration of trust that meets the applicable requirements under section 664(d)(2) of the Internal Revenue Code for an inter vivos charitable remainder unitrust providing for unitrust payments during one life.

Rev. Proc. 89-3, 1989-1 I.R.B. 29, sets forth areas of the Internal Revenue Code under the jurisdiction of the Associate Chief Counsel (Technical) in which the Internal Revenue Service will not issue advance rulings or determination letters. Section 4 of Rev. Proc. 89-3 lists areas in which rulings or determination letters will not ordinarily be used.

SEC. 2. PROCEDURE

Rev. Proc. 89-3 is amplified by adding to section 4 the following:

Section 170 -- Charitable, Etc., Contributions and Gifts. -- Whether a transfer to an inter vivos charitable remainder trust described in section 664 of the Code that provides for annuity or unitrust payments for one measuring life qualifies for a charitable deduction under section 170(f)(2)(A).

Section 664 -- Charitable Remainder Trusts. -- Whether an inter vivos charitable remainder annuity trust or unitrust that provides for annuity or unitrust payments for one measuring life satisfies the requirements described in section 664 of the Code.

Section 2522 -- Charitable and Similar Gifts. -- Whether a transfer to an inter vivos charitable remainder trust described in section 664 of the Code that provides for annuity or unitrust payments for one measuring life qualifies for a charitable deduction under section 2522(c)(2)(A).

SEC. 3. EFFECTIVE DATE

This revenue procedure will apply to all ruling requests received in the National Office after February 27, 1989, the date of publication of this revenue procedure.

SEC. 4. EFFECT ON OTHER REVENUE PROCEDURES

Rev. Proc. 89-3 is amplified.

DRAFTING INFORMATION

The principal author of this revenue procedure is John McQuillan of the Office of Assistant Chief Counsel (Passthroughs and Special Industries). For further information regarding this revenue procedure, contact John McQuillan on (202) 535-9540 (not a toll-free call).