Rev. Proc. 80-30

Table of Contents.

Section 1. PURPOSE AND SCOPE

Section 2. BACKGROUND AND GENERAL INFORMATION

Section 3. DETERMINATION LETTERS

Section 4. INSTRUCTIONS TO APPLICANTS

Section 5. KEY DISTRICT OFFICES

Section 6. RIGHTS OF NOTICE TO AND COMMENT BY INTERESTED PARTIES AND THE PENSION BENEFIT GUARANTY CORPORATION

Section 7. GENERAL RULES FOR NOTICE TO INTERESTED PARTIES

Section 8. SPECIAL NOTICE RULES FOR MODEL, CERTAIN MASTER, PROTOTYPE AND BOND PURCHASE PLANS

Section 9. ADMINISTRATIVE RECORD

Section 10. NOTICE OF FINAL DETERMINATION

Section 11. ISSUANCE OF THE NOTICE OF FINAL DETERMINATION

Section 12. EXHAUSTION OF ADMINISTRATIVE REMEDIES

Section 13. EFFECT OF EMPLOYEE PLAN DETERMINATION LETTERS

Section 14. ORAL ADVICE TO TAXPAYERS

Section 15. AREAS IN WHICH AUTOMATIC APPROVAL AS TO THE QUALIFIED AND EXEMPT STATUS OF AN EMPLOYEE PLAN SHALL BE GRANTED

Section 16. EFFECT ON OTHER DOCUMENTS

Section 17. EFFECTIVE DATE

Exhibit "I" Sample Notice to Interested Parties

Exhibit "II" Sample Notice to Interested Parties (No application for determination)

Section 1. Purpose and Scope

.01 The purpose of this revenue procedure is to set forth the general procedures of the various offices of the Internal Revenue Service pertaining to the issuance of determination letters on the qualification of pension, profit-sharing, stock bonus, and bond purchase plans involving sections 401, 403(a), 405(a) 409A, and 4975(e)(7) of the Internal Revenue Code, as amended by the Employee Retirement Income Security Act of 1974 (ERISA), Pub. L. 93-406, 1974-3 C.B. 1, and the status for exemption of any related trusts or custodial accounts under section 501(a). Specifically, this revenue procedure consolidates the determination letter procedures contained in Rev. Proc. 72-6, 1972-1 C.B. 710, Rev. Proc. 72-7, 1972-1 C.B. 715, Rev. Proc. 72-8, 1972-1 C.B. 716, Rev. Proc. 76-38, 1976-2 C.B. 661, and Rev. Proc. 77-22, 1977-2 C.B. 529, and the procedures for notification of interested parties contained in Rev. Proc. 75-31, 1975-2 C.B. 551.

.02 This revenue procedure applies only to determination letters issued in accordance with section 3.01 below and to plans approved in accordance with section 15 below. See section 3 below for the areas in which the Service will issue determination letters with respect to employee plans matters.

.03 This revenue procedure does not extend to the issuance of determination letters where the determination is only with respect to whether an individually designed defined contribution plan constitutes an employee stock ownership plan under sections 301(d) and (e) of the Tax Reduction Act of 1975, Pub. L. 94-12, 1975-1 C.B. 545, as amended by the Tax Reform Act of 1976, Pub. L. 94-455, 1976-3 C.B. (Vol. 1) 1 (see Rev. Proc. 75-48, 1975-2 C.B. 583) and the Revenue Act of 1978 (Pub. L. 95-600, 1978-3 C.B. (Vol. 1) 1). The reference in Rev. Proc. 75-48 to Rev. Proc. 75-47 should be read as a reference to this revenue procedure.

Sec. 2. Background and General Information

.01 The general procedures of the Service relating to the issuance of rulings, determination letters, and opinion letters are set forth in Rev. Proc. 80-24, page 658, this Bulletin.

.02 Prior to the issuance of the amendments to the Statement of Procedural Rules (26 CFR 601), 1975-2 C.B. 597, Rev. Proc. 72-6 provided detailed procedures relating to the issuance of determination letters as to the qualification of employee plans involving sections 401, 403(a), and 405(a) of the Code, and the exempt status of related trusts under section 501(a). The amendments to the Statement of Procedural Rules cited above set forth changes with respect to the issuance of determination letters which were necessary to reflect changes made by ERISA. Rev. Proc. 75-47, 1975-2 C.B. 581, modified Rev. Proc. 72-6 by providing supplemental and revised procedures for issuing determination letters relating to the qualification of individually designed plans.

.03 Rev. Proc. 80-29, page 681, this Bulletin, sets forth the procedures relating to the issuance of opinion letters by the National Office as to the acceptability of the form of master and prototype plans.

.04 Rev. Proc. 80-26, page 671, this Bulletin, sets forth the technical advice procedures applicable to employee plans matters.

.05 Rev. Proc. 75-31 sets forth requirements with respect to notifying interested parties of requests for determination letters relating to the qualification of employee plans involving sections 401, 403(a) and 405(a) of the Code. These requirements are now set forth in section 7 of this revenue procedure.

.06 Rev. Proc. 76-15, 1976-1 C.B. 553, sets forth the procedures whereby law firms may submit pattern plans with requests for notification letters that will enable those pattern plans to be used on behalf of numerous employers represented by such practitioners. Rev. Proc. 76-15 also sets forth procedures for the issuance of determination letters to employers adopting pattern plans. The reference in section 4.04 of Rev. Proc. 76-15 to the provisions of Rev. Proc. 75-47 should be read as a reference to the provisions of this revenue procedure.

.07 Rev. Proc. 76-38, modified Rev. Proc. 75-47, Rev. Proc. 75-51, 1975-2 C.B. 590, and Rev. Proc. 75-52, 1975-2 C.B. 592, to permit the Service to issue determination and opinion letters with respect to target benefit plans.

.08 Rev. Proc. 77-15, 1977-1 C.B. 572, sets forth the procedures for the adoption of the Model Profit-Sharing Plan and the Model Money Purchase Pension Plan, designed for initial qualification under section 401 of the Code, and the Restated Model Profit-Sharing Plan and the Restated Model Money Purchase Pension Plan, designed to change existing plans to qualify under section 401. In this regard, see section 15.01 below.

.09 Rev. Proc. 77-22 sets forth guidelines under which determination letters with respect to certain types of defined contribution and defined benefit plans will be issued to employers adopting corporate-type master or prototype plans or certain other types of plans. These guidelines are now set forth in section 4 below.

.10 Rev. Proc. 77-23, 1977-2 C.B. 530, sets forth the procedures whereby certain sponsors may submit field prototype plans with requests for notification letters that will enable those field prototype plans to be used by the sponsor's clients (i.e. adopting employers). References in Rev. Proc. 77-23 to Rev. Proc. 77-22 should be read as references to this revenue procedure.

.11 Prior to the issuance of the amendments to the Statement of Procedural Rules (26 CFR 601), 43 F.R. 44484 (1978), Rev. Proc. 77-25, 1977-2 C.B. 534, which modified Rev. Proc. 72-6 by deleting subsections 7.02 through 7.05 thereof, set forth the general procedures of the various offices of the Service and the instructions to taxpayers pertaining to the appeal of proposed adverse determination letters issued by Key District Offices on the qualification of plans involving sections 401, 403(a) and 405(a) of the Code. The amendments to the Statement of Procedural Rules cited above set forth changes with respect to the appeal of proposed adverse determination letters to reflect a single level of appeal.

.12 Rev. Proc. 78-14, 1978-2 C.B. 486, sets forth special procedures to be followed in issuing a determination letter for a defined contribution plan if a waiver of the minimum funding standard has been requested. The reference in section 6 of Rev. Proc. 78-14 to Rev. Proc. 75-47 should be read as a reference to this revenue procedure.

.13 A trust created or organized in the United States and forming part of a pension, profit-sharing, or stock bonus plan of an employer for the exclusive benefit of its employees or their beneficiaries that meets the requirements of section 401 of the Code is a qualified trust and is exempt from federal income tax under section 501(a) unless the exemption is denied under section 502, relating to feeder organizations, or section 503, relating to prohibited transactions, if, in the latter case, the plan is one described in section 503(a)(1)(B).

.14 A nontrusteed annuity plan that meets the applicable requirements of sections 401(a)(3) through (20) and section 401(d) (other than paragraph (1)) of the Code qualifies for special tax treatment provided for under other sections of the Code, such as section 403(a(2) (relating to lump sum treatment) and section 404(a)(2) (relating to deductions for employer contributions for the purchase of retirement annuities), if the additional provisions of such other sections are also met.

.15 A favorable determination letter on the qualification of a pension, annuity, profit-sharing, stock bonus, or bond purchase plan, and the exempt status of a related trust, if any, is not required as a condition for obtaining the benefits pertaining to the plan or trust. However, Delegation Order No. 112 (Rev. 6), 45 F.R. 38200 (1980) authorizes District Directors of Key Districts, and the Appeals office, to issue determination letters on the qualification of plans and the exempt status of related trusts.

Sec. 3. Determination Letters

.01 District Directors of Key District Offices (described in section 5 below) or the Appeals office if appropriate (see paragraph 601.201(o)(6) of the Statement of Procedural Rules) shall issue determination letters involving the provisions of sections 401, 403(a), 405(a), 409A, and 4975(e)(7) of the Code. This includes completed and proposed transactions relating to the following:

1 Initial qualification of pension, annuity, profit-sharing, stock bonus, and bond purchase plans (including employee stock ownership plans and cash and deferred arrangements);

2 Initial exemption from federal income tax under section 501(a) of trusts forming a part of such plans, provided that the determination does not involve the application of section 502 (feeder organizations) or the question of whether a proposed transaction will be a prohibited transaction under section 503;

3 Compliance with the applicable requirements of foreign situs trusts as to taxability of beneficiaries (section 402(c)) and deductions for employer contributions (section 404(a)(4)); and

4 Amendments (including those relating to section 414(1) or terminations (including partial terminations) of plans and trusts.

.02 Determination letters issued in accordance with section 3.01 do not include determinations on other issues involving the application of other sections of the Code, such as sections 72, 402, 403 (other than 403(a)), 404, 412, 511 through 515, and 4975 (other than section 4975(e)(7)), unless such determination letters are otherwise authorized under the first sentence of section 4.01 of Rev. Proc. 80-24. Notwithstanding the foregoing, however, determination letters may be issued with respect to issues concerning the applicability of sections 402(c) and 404(a)(4) when such issues arise in connection with foreign situs trusts.

.03 Additionally, the Service will not issue determination letters with respect to the following:

1 Plans or plan amendments for which automatic approval is granted pursuant to section 15.01 or 15.02 below; however, determination letters will be issued on the sole question of whether the requirements of section 415 and, if applicable, section 401(j) of the Code are met in a case where an employer maintains two or more plans at least one of which is described in section 15.01 2 below, that are not all master or prototype defined contribution plans; and

2 Areas described in section 3.02 of Rev. Proc. 79-14, 1979-1 C.B. 496.

.04 Finally, the Service generally will not issue determination letters with respect to the following:

1 Areas described in section 4.02 of Rev. Proc. 79-14; and

2 Until regulations under section 415(b)(6) of the Code are issued, matters involving the computation of benefits under a defined contribution plan (other than a target benefit plan) or the computation of contributions under a defined benefit plan.

Sec. 4. Instructions to Applicants

.01 Section 6 of Rev. Proc. 80-24 is generally applicable to requests for determination letters submitted under this revenue procedure. However, the term "all interested parties" in section 6.04 of Rev. Proc. 80-24 does not mean interested parties within the meaning of section 1.7476-1(b) of the Income Tax Regulations.

.02 An applicant requesting a determination letter must file with the appropriate Key District Director, specified in section 4.16, the applicable materials required by sections 4.03 through 4.15. The filing of such application, when accompanied by all information and documents required by such sections, will generally serve to provide the Service with the information required to make the requested determination. However, in making the determination, the Service may require the submission of 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 section 6104 of the Code. In addition, before filing an application, the applicant must satisfy the requirements of section 3001(a) of ERISA, and section 7476(b)(2) of the Code and the regulations thereunder, which provide that an applicant for a determination letter on the qualified status of certain retirement plans must notify interested parties of such application. Section 7 below sets forth the general rules of the Service with respect to notifying interested parties of requests for determination letters relating to the qualification of plans involving sections 401, 403(a) and 405(a). Section 8 below provides special rules for notifying interested parties with respect to the adoption of plans described in section 15.01 below.

If an applicant for a determination letter does not comply with all the provisions of this section, the Key District Director, in his discretion, may return the application and point out to the applicant those provisions which have not been met. If such a request is returned to the applicant, the 270 day period described in section 7476(b)(3) of the Code will not begin to run until such time as the provisions of this section have been satisfied.

.03 An applicant requesting a determination letter relating to the initial qualification or amendment of an individually designed defined benefit plan (other than a collectively-bargained plan, but including a plan designed to include self-employed individuals or shareholder-employees of electing small business corporations) shall file Form 5300, Application for Determination for Defined Benefit Plan (For Pension Plans Other than Money Purchase Plans), and Form 5302, Employee Census.

.04 An applicant requesting a determination letter relating to the initial qualification or amendment of an individually designed defined contribution plan (other than a collectively-bargained plan, but including a plan designed to include self-employed individuals, a target benefit plan, or an employee stock ownership plan intended to qualify under section 401(a) of the Code) or a pattern plan shall file Form 5301, Application for Determination for Defined Contribution Plan (For Profit-Sharing, Stock Bonus and Money Purchase Plans), and Form 5302, Employee Census. If the request relates to the qualification of an employee stock ownership plan which is a combination stock bonus plan and money purchase plan, a separate Form 5301 and Form 5302 shall be filed for each plan. If the request relates to an employee stock ownership plan, the applicant shall also file Form 5309, Application for Determination of Employee Stock Ownership Plan.

.05 An applicant requesting a determination letter relating to the initial qualification or amendment (i.e. a change from among the options offered by the sponsor under the plan) of:

1 An approved master or prototype plan;

2 A Service-approved field prototype plan; or

3 Any other plan, previously approved as to form by a Key District Director, and for which the Key District Director has approved the use of Form 5307; as adopted by the applicant, shall, except as provided in this section, section 4.12 or section 4.13, file Form 5307, Short Form Application for Determination for Employee Benefit Plan (Other than Plans that Include Self-Employed Individuals), and Form 5302, Employee Census. Employers adopting a plan subsequent to the date of its amendment by the sponsoring organization must use the revised serial number assigned to such amendment by an opinion letter. The Form 5307 applies to both defined benefit plans and defined contribution plans but may not be used for plans that include a self-employed individual, or for collectively-bargained plans.

.06 An employer that amends any provision of an approved master or prototype plan or its adoption agreement, a field prototype plan or its adoption agreement, or any other plan the form of which has been previously approved by the Service (other than to change from among the choice of options offered by the sponsor if the plan permits or contemplates such a change), or an employer that chooses to discontinue participation in such a plan as amended by its sponsoring organization and does not substitute another approved plan referred to in this subsection is considered to have adopted an individually designed plan. The requirements stated in this revenue procedure relating to the issuance of determination letters for individually designed plans will then apply to such plan.

.07 An applicant requesting a determination letter relating to the initial qualification or amendment of a collectively-bargained plan, whether or not covering self-employed individuals, shall file Form 5303, Application for Collectively-Bargained Plan. The Form 5303 applies to both defined benefit plans and defined contribution plans.

.08 An applicant requesting a determination letter relating to the initial qualification or amendment of an individually designed bond purchase plan (i.e. other than a bond purchase plan described in section 15.01 4 below) shall file Form 5301 and Form 5302.

.09 An applicant (including the adopter of a master or prototype plan designed to include self-employed individuals or the adopter of a plan described in section 15.01 below) requesting a determination letter involving the complete termination of a plan shall file Form 5310, Application for Determination Upon Termination; Notice of Merger, Consolidation or Transfer of Plan Assets or Liabilities. The Form 5310 applies to both defined benefit plans and defined contribution plans. In the case of a determination letter request involving the partial termination of a plan, whether or not by amendment of the plan, the applicant shall file Form 5300, 5301, or 5303, as applicable, and Form 5302.

.10 An applicant requesting a determination letter with respect to the termination of a plan subject to the jurisdiction of the Pension Guaranty Corporation (PBGC) under Title IV of ERISA shall attach to the Form 5310 a copy of the PBGC letter of sufficiency of assets under section 4041(b) of ERISA. If such document is not attached to the application, the Service will not accept it for processing unless the applicant requests in writing that the application be processed without waiting for PBGC action. The request shall be addressed to the Key District Director for the district where the application is filed.

.11 For a controlled group of corporations, as defined in section 414(b) of the Code, the coverage items of the application forms referred to in this section must be completed as though the controlled group constitutes a single entity.

.12 An applicant requesting a determination letter with respect to the establishment of a pooled fund arrangement described in Rev. Rul. 56-267, 1956-1 C.B. 206, or Rev. Rul. 75-530, 1975-2 C.B. 146, shall file a written statement in support of its application, together with the trust instrument and any related documents.

.13 An applicant requesting a determination letter described in section 3.03 1 above, relating to whether the requirements of section 415 and, if applicable, section 401(j) of the Code have been satisfied, need file no particular application form but must submit a written statement that identifies the plans to which the request relates and demonstrates how these requirements have been satisfied.

.14 The Key District Director will evaluate comments received from interested parties or from the Secretary of Labor with respect to an employer's adoption of a model, master, prototype, or bond purchase plan described in section 15.01 below. If the Key District Director determines that the matters mentioned cannot affect the qualification of the plan, the employer and the interested parties who commented will be so notified. If the Key District Director determines that the matters may affect the qualification of the plan, the Key District Director will inform the employer of the nature of such matters, and will notify the employer that the employer cannot rely on the provisions of section 15.01 below. The employer should then request a determination letter by submitting a written statement that discusses the matters raised and sets forth the reasons why he believes section 401(a) or 405(a) has been satisfied. However, an additional notice to interested parties will not be required. If a determination letter is requested and the determination is favorable with respect to the qualification of the plan, the employer's adoption of the plan will thereafter be treated as any other adoption of a model, master, prototype, or bond purchase plan described in section 15.01 below.

.15 When, in connection with an application for a determination on the qualification of the plan, it is necessary to determine whether an organization (including a professional service organization) is a corporation or an association classified as a corporation under section 301.7701-2 of the Regulations on Procedure and Administration, or whether an employer-employee relationship exists, the Key District Director will make such determinations. In such cases, the application with respect to the qualification of the plan should be filed in accordance with the provisions of this revenue procedure and should contain the information and documents specified in the instructions to the application. It should also be accompanied by any information and copies of documents the organization deems appropriate to establish its status. The Service may, in addition, require further information that it considers necessary to determine the status of the organization, the employment status of the individuals involved, or the qualification of the plan. After the taxable status of the organization and the employer-employee relationship have been determined, the Key District Director may issue a determination letter as to the qualification of the plan.

.16 Requests for determination letters on matters authorized by section 3 of this revenue procedure and the necessary supporting data are to be addressed to the Key District Director specified below (the entity requesting the determination letter shall be determined without regard to the application of sections 414(b) or (c) of the Code to the plan):

1 In the case of a plan of a single employer, the request shall be addressed to the Key District Director for the district in which the employer's principal place of business is located.

2 In the case of a plan of more than one employer, as described in sections 413(a) and (c) of the Code, the request shall be addressed to the Key District Director for the district in which the principal place of business of the employer or plan administrator (if one has been designated) is located.

3 In the case of an industry plan established or proposed by all subscribing employers with principal places of business located within the jurisdiction of more than one Key District Director, as an alternative to (2) above, the request may be addressed to the Key District Director for the district in which the trustee's principal place of business is located. If the plan has more than one trustee, the request may be addressed to the Key District Director for the district where the trustees usually meet.

4 In the case of a domestic employer adopting a foreign situs trust, the request shall be addressed to the Key District Director for the district in which the employer's principal place of business is located.

5 In the case of a foreign employer, the request shall be addressed to the Director of International Operations, Benjamin Franklin Station, P.O. Box 895, Washington, D.C. 20044.

6 In the case of a pooled fund arrangement, the request on behalf of the master trust shall be addressed to the Key District Director for the district where the principal place of business of the trustee is located. Requests on behalf of the participating trusts and related plans will be addressed as otherwise provided therein.

.17 If the application for determination involves an issue where contrary authorities exist, failure to disclose and distinguish such significant contrary authorities may result in requests for additional information, which will delay action on the application. (See Rev. Proc. 80-24.)

.18 The applicant's request for a determination letter may be withdrawn by a written request at any time prior to appealing a proposed adverse determination letter to the Appeals office as provided in paragraph 601.201(o)(6) of the Statement of Procedural Rules. In the case of such a withdrawal, the Service will not render 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 section 7476 of the Code. However, the Service may consider the information submitted in connection with the withdrawn request in a subsequent audit or examination.

Sec. 5. Key District Offices

Following are the 17 Key District Offices that issue determination letters and the areas covered by each:

 Key District                     IRS Districts Covered

.01 Persons who qualify as interested parties under section 1.7476-1(b) of the regulations, shall have the following rights:

1 To receive notice, in accordance with section 7 below, that there will be filed an application for an advance determination regarding the qualification of plans described in sections 401, 403(a), and 405(a) of the Code, or, with respect to plans described in section 15.01 below, to receive notice, in accordance with section 8 below, of the adoption or amendment of such plans;

2 To submit written comments with respect to the qualification of such plans to the Internal Revenue 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.

.02 Comments submitted by interested parties must be received by the Key District Director by the 45th day after the date on which the application for determination is received by the Key District Director (see sections 6.03 and 6.04 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 6.10 of Rev. Proc. 80-24, page 658, this Bulletin), addressed to the Key District Director to whom the application for determination was submitted, and 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) Present employees eligible to participate under the plan,

(b) Present employees with accrued benefits under the plan, former employees with vested benefits under the plan, beneficiaries of deceased former employees currently receiving benefits under the plan, or

(c) Present 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 sections 401, 403(a), and 405(a) of the Code, 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 comment shall be notice to all the interested parties who submitted the comment for purposes of section 7476(b)(5) of the Code.

.03 A request to the Department of Labor to submit to the Key District Director a comment pursuant to section 3001(b)(2) of the Act 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 is received by the Key District Director. However, if the parties requesting the Department to submit a comment wish to preserve the right to comment to the Key District Director in the event the Department declines to comment, the request must be received by the Department by the 15th day after the application is received by the Key District Director.

2 The request to the Department of Labor to submit a comment to the Key District Director must:

(a) Be in writing;

(b) Be signed as provided in section 6.02 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 6.02(6) above;

(d) Contain the information prescribed in section 6.02 2, 3, 4, above;

(e) Contain the address of the Key District Director to whom the application was or will be submitted;

(f) State 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:

        Administrator of Pension and Welfare Benefit Programs,

.05 For rules regarding the confidentiality of contents of written comments submitted by interested parties to the Service pursuant to section 6.02 or 6.04, see section 601.201(o)(5) of the Statement of Procedural Rules.

.06 For rules regarding the availability to the applicant of copies of all comments on the application submitted pursuant to section 6.01 1, 2, or 3 of this revenue procedure, see section 601.201(o)(5) of the Statement of Procedural Rules.

.07 An application for an advance determination, a comment to the Key District Director, or a request to the Department of Labor shall be deemed made when it is received by the Key District Director, 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 7.01 below shall be deemed given when it is given in person, posted as prescribed in the regulations under section 7476 of the Code, or received through the mail. In any case where such an application, comment, request, notification, or notice is sent by mail, it shall be deemed received as of the date of the postmark (or if sent by certified or registered mail, the date of certification or registration), if it is deposited in the mail in the United States in an envelope or other appropriate wrapper, first class postage prepaid, properly addressed. However, if such an application, comment, request, notification, or notice is not received within a reasonable period from the date of postmark, the immediately preceding sentence shall not apply.

Sec. 7. General Rules for Notice to Interested Parties

.01 Notice that an application for an advance determination regarding the qualification of a plan described in sections 401, 403(a), 405(a), 409A and 4975(e)(7) of the Code is to be made must be given to all interested parties in the manner set forth in section 1.7476-2(c) of the regulations and in accordance with the requirements of this section.

.02 When the notice referred to in section 7.01 is given by posting or in person, such notice must be given not less than 7 days nor more than 21 days prior to the date the application for a determination is made. When the notice is given by mailing, it should be given not less than 10 days nor more than 24 days prior to the date 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.

.03 The notice referred to in section 7.01 shall be in writing and 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, stating whether the application relates to an initial qualification, a plan amendment, termination, a plan merger or consolidation, or a transfer of plan assets or liabilities, and the address of the Key District Director to whom the application will be submitted;

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 the Key District Director described in section 7.03 4, a comment on the question of whether the plan meets the requirements of sections 401, 403(a), or 405(a) of the Code; that two or more such persons may join in a single comment or request; and that if such person request the Department of Labor to submit a comment and that Department declines to do so with respect to one or more matters raised in the request, the persons may still submit a comment to the Key District Director with respect to the matters on which the Department declines to comment;

8 The specific dates by which a comment to the Key District Director or a request to the Department of Labor must be received in order to preserve the right of comment (see section 6 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 7.05 through 7.09 are included in the notice, a description of a reasonable procedure whereby such additional informational material will be available to interested parties (see section 7.04). (Examples of notices setting forth the above information, in a case in which the additional information required by sections 7.05 through 7.09 will be made available at places accessible to the interested parties, are set forth in Exhibits "I" and "II" of this Revenue Procedure.)

.04 The procedure referred to in section 7.03 10, whereby the additional informational material required by sections 7.05 through 7.09 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 in person or by mail, or by a combination of the foregoing, 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 the filing of a pleading commencing a declaratory judgment action under section 7476 of the Code with respect to the qualification of the plan or 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 informational material are permissible.

.05 Unless provided in the notice, or unless section 7.06 applies, there shall be made available to interested parties under a procedure described in section 7.04:

1 An updated copy of the plan and the related trust agreement (if any); and

2 The application for determination.

.06 If there would be less 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 7.05 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;

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; and,

5 Whether the applicant is claiming in the application that the plan meets the requirements of section 410(b)(1)(A) of the Code, and, if not, the coverage schedule required by the application in the case of plans not meeting the requirements of such section. 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 less than 26 participants) an updated copy of the plan and related trust agreement (if any) and the application for determination.

.07 Information of the type described in section 6104(a)(1)(D) of the Code 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 7.05 or 7.06 to be available to interested parties. There may be excluded from such material the information contained in Form 5302 (Employee Census). However, information showing the number of individuals covered and not covered in the plan, listed by compensation range, shall not be excluded.

.08 Unless provided in the notice, there shall be made available to interested parties under a procedure described in section 7.04, 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 less 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 section 6104(a)(1)(C) and (D) of the Code which may be contained in such additional documents.

.09 Unless provided in the notice, there shall be made available to all interested parties under a procedure described in section 7.04 the material described in sections 6.02 through 6.07 above.

Sec. 8. Special Notice Rules for Model, Certain Master, Prototype and Bond Purchase Plans

.01 An employer who adopts or amends a model, master, prototype, or bond purchase plan for which no determination will be issued (as described in section 15.01 below) must comply with the requirements for notification of interested parties described in section 7 above, except as otherwise provided by this section.

.02 Reference in section 7.02 above to the date an application for determination is made should be read as a reference to the date that is 30 days after the date a model, master, prototype or bond purchase plan described in section 15.01 below is adopted or amended.

.03 The notice referred to in section 7.01 above must be in writing and contain the following information:

1 The name of the plan sponsor, if any;

2 The name and taxpayer identification number of the plan adopter;

3 The information described in sections 7.03 1, 2, 5, 6, 7, 9, and 10 above; and

4 The specific dates by which a comment to the Key District Director, or a request to the Department of Labor, must be received in order to preserve the right of comment. (See section 6 above. References in section 6 above to the date an application for determination is made will be read as a reference to the date that is 30 days after the date a plan described in section 15.01 below is adopted or amended.)

.04 The procedure described in section 7.04 above, whereby additional informational material as described in sections 7.05 through 7.09 above will be made available to interested parties need only be made available until such time as the Service notifies the adopter of the plan pursuant to section 4.14 above that no determination letter need be requested, or, if the plan's adopter receives no notice from the Service, 120 days from the date the plan was adopted.

.05 The reference to the application for determination in section 7.05 2 above is not applicable to plans described in section 15 below.

.06 In determining the number of plan participants for purposes of section 7.06 above, the number of plan participants is to be determined as though an application for determination were to be made. The provisions of section 7.06 5 above are not applicable to plans described in section 15 below.

.07 Information of the type described in section 6104(a)(1)(D) of the Code should not be included in the additional informational material made available pursuant to a procedure described in section 7.04 above.

.08 Unless provided in the notice, there shall be made available to interested parties under a procedure described in section 7.04 above any additional document dealing with the adoption of the plan described in section 15.01 below which is submitted by or for the plan's adopter to the Service, or furnished by the Service to the plan's adopter; provided however, if there would be less than 26 participants in the plan (as determined by sections 7.06 above and 8.06) such additional documents need not be made available to interested parties who are not participants (as described above) until the earlier of the date the Service notifies the plan's adopter, pursuant to section 4.14 above, that no determination letter request need be made, 120 days from the date the plan was adopted, or, if the Service notifies the plan's adopter that a determination letter should be requested, the date a final determination is made. The plan's adopter may also withhold from such inspection and copying information described in section 6104(a)(1)(C) and (D) of the Code which may be contained in such documents.

.09 Unless provided in the notice, there shall be made available to all interested parties under a procedure described in section 7.04 above the material described in sections 6.02, 6.03 and 6.04 above, except that interested parties must be informed that any references in such sections to the date an application for determination is made should be read as references to the date that is 30 days from the date a plan described in section 15.01 below is adopted or amended.

Sec. 9. Administrative Record

.01 In the case of a request for a determination letter, the determination of the Key District Director 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:

1 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;

2 All other documents submitted to the Service by, or on behalf of, the applicant with respect to the request for determination;

3 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;

4 All written comments submitted to the Service pursuant to sections 6.01 1, 2, and 3 above, and all correspondence relating to comments submitted between the Service and persons (including the Pension Benefit Guaranty Corporation and the Department of Labor) submitting comments pursuant to sections 6.01 1, 2, and 3 above;

5 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 6.01 1, 2, and 3 above, a copy of the official report of such investigation;

.02 The administrative record shall be closed upon the earlier of the following events:

1 The date of mailing of a notice of final determination by the Service with respect to the application for determination; or

2 The filing of a petition with the United States Tax Court seeking a declaratory judgment with respect to the retirement plan.

.03 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 the Key District Director or the Appeals office.

Sec. 10. Notice of Final Determination

The notice of final determination shall be:

.01 In the case of a final determination which is favorable to the applicant, the letter issued by the Key District Director or the Appeals office which states that the applicant's plan satisfies the qualification requirements of the Code. The favorable determination letter will be sent by certified or registered mail where either an interested party, the Department of Labor, or the Pension Benefit Guaranty Corporation has commented on the application for determination.

.02 In the case of a final determination which is adverse to the applicant, the letter issued by certified or registered mail by the Key District Director 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.

Sec. 11. Issuance of the Notice of Final Determination

The Key District Director 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 the Pension Benefit Guaranty Corporation if it has filed a comment.

Sec. 12. Exhaustion of Administrative Remedies

.01 For purposes of section 7476(b)(3) of the Code, a petitioner shall be deemed to have exhausted the administrative remedies available within the Service upon the completion of the steps described in sections 12.02, 12.03, or 12.04, subject, however, to section 12.05. If applicants, interested parties, or the Pension Benefit Guaranty Corporation do not complete the applicable steps described below, they will not have exhausted their respective available administrative remedies as required by section 7476(b)(3) and will, thus, be precluded from seeking declaratory judgment under section 7476 except to the extent that section 12.05 2 or 12.06 apply.

.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 12.01 are:

1 Filing a completed application with the appropriate Key District Director pursuant to section 4 above;

2 Complying with the requirements pertaining to notice to interested parties as set forth in this Revenue Procedure, and section 1.7476-2 of the regulations; and

3 Appealing to the Appeals office pursuant to paragraph 601.201(o)(6) of the Statement of Procedural Rules, in the event of a notice of proposed adverse determination issued by the Key District Director.

.03 In the case of an interested party or the Pension Benefit Guaranty Corporation, the steps referred to in section 12.01 are, with respect to any matter relating to the qualification of the plan, submitting to the Key District Director a comment raising such matter in accordance with section 6.01 1 above, or requesting the Department of Labor to submit to the Key District Director a comment with respect to such matter in accordance with section 6.01 2 and, if the Department of Labor declines to comment, submitting the comment in accordance with section 6.01 3 above, so that it may be considered by the Service through the administrative process.

.04 An applicant, an interested party, or the Pension Benefit Guaranty Corporation 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 12.01 or 12.03, which constitute their administrative remedies; or,

2 The expiration of the 270 day period described in section 7476(b)(3) of the Code, which period shall be extended in a case where there has not been a completion of all the steps referred to in section 12.01 1 and the Service has proceeded with due diligence in processing the application for determination.

.05 The step described in section 12.02 3 will not be considered completed until the Service has had a reasonable time to act upon the appeal.

.06 The step described in section 12.02 3 will not be available or necessary with respect to any issue on which technical advice has been obtained from the National Office.

Sec. 13. Effect of Employee Plan Determination Letters

.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 sections 401, 403(a), and 405(a) of the Code and the status of a related trust, if any, under section 501(a).

.02 Determination letters issued on amendments to plans and trusts within the purview of section 3.01 4 above will merely express an opinion whether the amendment, in and of itself, affects the existing status of the plan's qualification and the exempt status of the related trust. In no event should such a determination letter be construed as an opinion on the qualification of the plan as a whole and the exempt status of the related trust as a whole.

.03 Except as otherwise provided in this section, determination letters referred to in sections 13.01 and 13.02 are governed, generally, by the provisions of sections 13 and 14 of Rev. Proc. 80-24.

.04 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 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 revenue ruling for subsequent years. The conforming amendment to an individually designed plan must be adopted before the end of the first plan year that begins after the revenue ruling is published in the Internal Revenue Bulletin and must be effective, for all purposes, not later than the first day of the first plan year beginning after the revenue ruling is published. For the rule as to the conforming amendment to a master or prototype plan, see section 9 of Rev. Proc. 80-29.

.05 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, section 404 of the Code.

Sec. 14. Oral Advice to Taxpayers

.01 In conformity with the general principle set forth in section 12 of Rev. Proc. 80-24, district officials will not ordinarily confer with taxpayers or their representatives on matters regarding the formation or qualification of plans, or related matters including amendments to or termination of approved plans, prior to the submission of the plan, amendment, or termination for a determination letter.

.02 A Key District Director 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 the Key District Director concludes that a conference would be warranted in the interest of facilitating review and determination when the plan, etc., is formally submitted.

.03 The advice or assistance furnished, whether requested by personal appearance, telephone, or correspondence, except as otherwise provided in section 14.02, 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.

Sec. 15. Areas in Which Automatic Approval as to the Qualified and Exempt Status of an Employee Plan Shall Be Granted

.01 Plans adopted or amended as described below will, to the extent provided, be deemed to satisfy the qualification requirements of section 401(a) or 405(a) and, if applicable, section 501(a) of the Code:

1 A Model Profit-Sharing Plan, a Restated Model Profit-Sharing Plan, a Model Money Purchase Pension Plan, or a Restated Model Money Purchase Pension Plan in accordance with Rev. Proc. 77-15, 1977-1 C.B. 572;

2 A master or prototype plan designed to include self-employed individuals where the sponsoring organization of such plan has been issued a favorable opinion letter by the National Office, provided that:

(a) The employer has followed the terms of the plan, has received a favorable determination letter described in section 3.03 1 above, if applicable, and the coverage and contributions or benefits under the plan are not more favorable for owner-employees than for other employees;

(b) The employer has properly notified all interested parties of the adoption of the plan in accordance with sections 7 and 8 above; and

(c) The employer has not received, within 120 days after the date the plan was adopted, notice from the Service that the plan will not be treated as qualified pursuant to this subsection (In this regard, see section 4.14 above);

3 A standardized form corporate master or prototype plan referred to in section 3.08 of Rev. Proc. 80-29 (that is the only plan of an employer intended to qualify) where the sponsoring organization of such plan has been issued a favorable opinion letter by the National Office, provided that:

(a) The employer has followed the terms of the plan, and the coverage and contributions under the plan are not more favorable for officers, shareholders, or highly compensated employees than for other employees;

(b) The employer has properly notified all interested parties of the adoption of the plan in accordance with sections 7 and 8 above; and

(c) The employer has not received, within 120 days after the date the plan was adopted, notice from the Service that the plan will not be treated as qualified pursuant to this subsection. (In this regard, see section 4.14 above); and 4 A bond purchase plan, provided that:

(a) The employer has completed Form 4578, Bond Purchase Plan for Self-Employed Individuals, or Form 6022, Bond Purchase Plan for Corporate Employers, as applicable, and has complied with the provisions thereof (When properly completed, Form 4578 or Form 6022 will constitute a bond purchase plan. These forms are not to be filed with the Service);

(b) The employer has properly notified all interested parties of the adoption of the plan in accordance with sections 7 and 8 above; and

(c) The employer has not received, within 120 days after the date the plan was adopted, notice from the Service that the plan will not be treated as qualified pursuant to this subsection (In this regard, see section 4.14 above);

.02 The plan amendments described below will, to the extent provided, not be deemed to alter the qualified status of a plan under section 401(a) of the Code:

1 An amendment solely to permit a trust forming part of a plan to participate in a pooled fund arrangement described in Rev. Rul. 56-267, or Rev. Rul. 75-530;

2 An amendment that merely adjusts the maximum limitations under section 415 of the Code to reflect annual cost-of-living increases, other than an amendment that adds on automatic cost-of-living adjustment provision to the plan;

3 An amendment solely to include language pursuant to section 403(c)(2) of Title I of ERISA concerning the reversion of employer contributions made as a result of mistake of fact; and

4 An amendment which conforms to the requirements of section 8 of Rev. Proc. 80-29.

Sec. 16. Effect on Other Documents

.01 The following revenue procedures are hereby obsoleted:

1 Rev. Proc. 56-22, 1956-2 C.B. 1380;

2 Rev. Proc. 56-42, 1956-2 C.B. 1409; and

3 Rev. Proc. 67-26, 1967-1 C.B. 629.

.02 The following revenue procedures are hereby modified:

1 Rev. Proc. 75-48, see section 1.03 of this revenue procedure;

2 Rev. Proc. 76-15, see section 2.06 of this revenue procedure;

3 Rev. Proc. 77-23, see section 2.10 of this revenue procedure; and

4 Rev. Proc. 78-14, see section 2.12 of this revenue procedure.

.03 The following revenue procedures are hereby superseded:

1 Rev. Proc. 72-6;

2 Rev. Proc. 75-31;

3 Rev. Proc. 75-47;

4 Rev. Proc. 76-38; and

5 Rev. Proc. 77-22.

.04 The general procedures of Rev. Proc. 80-24 are applicable to requests for rulings and determination letters except to the extent inconsistent with this procedure.

Sec. 17. Effective Date

This revenue procedure is effective June 30, 1980, the date of its publication in the Internal Revenue Bulletin.

EXHIBIT 'I'

SAMPLE NOTICE TO INTERESTED PARTIES

     1. Notice To: _________________________________________

SAMPLE NOTICE TO INTERESTED PARTIES

(Where no application for determination is filed with IRS)