Rev. Proc. 80-46

Section 1. Purpose

The purpose of this revenue procedure is to enhance the ability of the Internal Revenue Service district offices to respond fully and effectively to inquiries by employees of business entities. This procedure is intended to facilitate the resolution of account related questions and does not provide for the furnishing of tax returns to third parties. It has no effect on the Conference and Practice Requirements (26 CFR 601.501 et seq.), technical advice requests or ruling determination letters. Nor does it affect the ability of a taxpayer, or any person acting on behalf of a taxpayer, to contact the Internal Revenue Service by telephone for the purpose of obtaining general information regarding the meaning of a bill, notice, or letter.

Sec. 2. Background

The Internal Revenue Code specifies that confidential tax information with respect to sole proprietorships, partnerships, corporations, estates and trusts may be disclosed to certain persons. The Service is prohibited from disclosing confidential tax information to another person acting on behalf of a taxpayer in the absence of a written authorization from the taxpayer. It is recognized that the limitations on disclosure often cause delays in servicing requests for tax assistance. The restrictions are particularly troublesome for businesses that have a number of employees who need to contact the Service to resolve day to day tax matters. For example, an employee who is not specifically authorized in writing to receive confidential tax information might contact the Service to resolve a tax matter of the business, such as a notice or a bill. In these situations, the Service makes every effort to resolve the issue by discussing it in general terms without disclosing confidential tax information from our records. However, on many occasions, due to the complexity of the business's tax matters, the question cannot be resolved without disclosure of confidential tax information by the Service. Accordingly, the Service will accept letters of authorization, pursuant to the requirements of this revenue procedure, with attached lists specifying employees of business entities who are authorized to receive confidential tax information.

Sec. 3. Persons Who May Submit a List.

.01 A sole proprietor may submit a list.

.02 With respect to a partnership, any partner may submit a list but the scope of the authorization is limited to those tax periods during which he or she is a partner.

.03 Authorization lists may be submitted on behalf of a corporation by the corporate president/chief executive officer or an officer authorized by law to bind the corporation. As an alternative, the list may be submitted by any principal officer if attested to by the secretary or any other officer.

.04 If the business entity is included in an estate, a list may be submitted by the administrator, executor or trustee of the estate.

.05 A trustee may submit an authorization list on behalf of a business entity that is a trust.

.06 In the case of business matters of an incompetent, an authorization list may be submitted by the trustee, guardian or committee for the incompetent.

.07 If substantially all of the property of the business is in the hands of a receiver or trustee in bankruptcy, such persons may submit a list.

Sec. 4. Contents of the Letter of Authorization

.01 The letter of authorization shall:

1 be dated, provide the employer identification number (EIN) for the entity and reference this revenue procedure;

2 specify the tax periods and type of tax with respect to which information may be provided;

3 contain a statement that the listed authorized employees have granted permission for the use of their social security numbers for the purpose of identification;

4 contain a statement that the taxpayer assumes the responsibility to notify the addressee in writing of any changes to be made to the list;

5 provide a statement as to the authority of the person to authorize the disclosure of the confidential tax information;

6 be signed by the appropriate person;

7 have attached a copy of any appropriate documentation such as an officer's authority contained in a corporate charter, etc. However, documentation is not needed if the authorization is submitted by two corporate officers;

8 be received by the Service within sixty days of the date it is signed and dated.

.02 The attached list shall set forth the names of the authorized employees in alphabetical order and include their social security numbers for identification purposes.

.03 The following format should be used for authorizations by a president/chief executive officer or an officer authorized by law to bind the corporation:

                       Corporate Letterhead

Each of the employees named in the attached list have granted permission for the use of their social security numbers for identity verification purposes prior to receipt of confidential tax information.

(Name of corporation or subsidiary) will notify the addressee in writing of any changes to be made to the list.

I certify that I am the President/Chief Executive Officer or an officer authorized by law to bind (name of corporation or subsidiary).

                                          /s/ _____________________

                       Corporate Letterhead

Each of the employees named in the attached list has granted permission for the use of their social security numbers for identity verification purposes prior to receipt of confidential tax information.

(Name of corporation or subsidiary) will notify the addressee in writing of changes to be made to the list.

This authorization is intended to comply with Internal Revenue Code Section 6103(e)(1)(D)(ii).

                                          /s/ _____________________

                   Business Letterhead (if any)

Each of the employees named in the attached list have granted permission for use of their social security numbers for identity verification purposes prior to receipt of confidential tax information.

(Name of entity) assumes the responsibility to notify the addressee in writing of any changes to be made to the list.

I certify that (statement of authority to authorize individuals to receive confidential tax information of the taxpayer).

/s/ _____________________

Sec. 5. Where to Send the Letter of Authorization

The letter of authorization shall be submitted to the Disclosure Officer for the Internal Revenue Service district office with which contacts are expected. A list of Disclosure Officer addresses appears in Sec. 7. If contact with more than one district office is anticipated, a letter must be sent to each District Disclosure Officer. The Disclosure Officer will acknowledge receipt by letter, which will provide a telephone number for contacts pursuant to Sec. 6.03.

Sec. 6. Modification of the Authorization List

.01 It is the responsibility of the taxpayer to keep the authorization lists current and to modify the list when necessary. The Service will recognize authorizations as effective until revised or revoked, unless otherwise specified in the letter of authorization.

.02 The taxpayer shall modify the authorization list by sending a letter which meets the requirements of Secs. 3 and 4. The letter shall be addressed to the appropriate District Disclosure Officer(s) and shall clearly indicate the names of employees to be deleted from the list and the names of employees to be added to the list. If revocation of the Disclosure Authorization List is desired, the letter shall so state. Modifications will become effective when the Disclosure Officer receives the letter.

.03 To quickly effect deletions from the list, taxpayers may advise the Disclosure Officer of the deletions by telephone. The deletions become effective upon notification of the Disclosure Officer but shall then be confirmed in writing.

.04 The Disclosure Officer should be contacted five days after the modification letter is mailed to confirm receipt.

Sec. 7. Disclosure Officer Addresses

The following is a listing of district disclosure officer mailing addresses:

Central Region

Inquiries in regard to this revenue procedure should be directed to the District Disclosure Officer.

Sec. 9. Effective Date

This revenue procedure becomes effective December 10, 1980.