RULES PROVIDED ON USER FEES FOR EMPLOYEE PLANS AND EXEMPT ORGANIZATIONS.
Rev. Proc. 98-8; 1998-1 C.B. 225
- Institutional AuthorsInternal Revenue Service
- Code Sections
- Subject Areas/Tax Topics
- Index Termspension plans, qualification
- Jurisdictions
- LanguageEnglish
- Tax Analysts Document NumberDoc 98-2975 (12 original pages)
- Tax Analysts Electronic Citation98 TNT 12-16
Superseded by Rev. Proc. 99-8 Modified by Rev. Proc. 98-59 Modified by Rev. Proc. 98-22
Rev. Proc. 98-8
TABLE OF CONTENTS
SECTION 1. PURPOSE
SECTION 2. CHANGES
01. Fee schedule
02. New categories
03. Deletion of material no longer applicable
SECTION 3. BACKGROUND
.01 Legislation authorizing user fees
.02 Related revenue procedures
SECTION 4. SCOPE
.01 Requests to which user fees apply
.02 Requests and other actions that do not require the payment of
a user fee
.03 Exemptions from the user fee requirements
SECTION 5. DEFINITIONS
SECTION 6. FEE SCHEDULE
EMPLOYEE PLANS USER FEES
.01 Letter ruling requests
.02 Requests for certain administrative exemptions
.03 Administrative scrutiny determinations with respect to
separate lines of business
.04 Opinion letters and advisory letters on master and prototype
plans
.05 Notification letters issued by the National Office on mass
submitter regional prototype plans
.06 Opinion letters on prototype individual retirement accounts
and/or annuities and simplified employee pensions, SIMPLE
IRAs and SIMPLE IRA Plans
.07 Determination letters
.08 Advisory letters on volume submitter plans
.09 Notification letters issued by key district offices with
respect to regional prototype plans
COMPLIANCE FEES AND CORRECTION FEES
.10 Compliance statements under the Voluntary Compliance
Resolution (VCR) program
.11 Correction statements under the Tax-Sheltered Annuity
Voluntary Corrections (TVC) program
EXEMPT ORGANIZATIONS USER FEES
.12 Letter rulings
.13 Determination letters and requests for group exemption
letters
SECTION 7. MAILING ADDRESS FOR REQUESTING LETTER RULINGS,
DETERMINATION LETTERS, ETC.
.01 Matters handled by the National Office.
.02 Matters handled by the Ohio Key District Office.
SECTION 8. REQUESTS INVOLVING MULTIPLE OFFICES, FEE CATEGORIES,
ISSUES, TRANSACTIONS, OR ENTITIES
.01 Requests involving several offices
.02 Requests involving several fee categories
.03 Requests involving several issues
.04 Requests involving several unrelated transactions
.05 Requests for separate letter rulings for several entities
SECTION 9. PAYMENT OF FEE
.01 Method of payment
.02 Transmittal forms
.03 Effect of nonpayment or payment of incorrect amount
SECTION 10. REFUNDS
.01 General rule
.02 Examples
SECTION 11. REQUEST FOR RECONSIDERATION OF USER FEE
SECTION 12. EFFECT ON OTHER DOCUMENTS
SECTION 13. EFFECTIVE DATE
SECTION 14. PAPERWORK REDUCTION ACT
APPENDIX
SECTION 1. PURPOSE
This revenue procedure provides guidance for complying with the user fee program of the Internal Revenue Service as it pertains to requests for letter rulings, determination letters, etc. on matters under the jurisdiction of the Assistant Commissioner (Employee Plans and Exempt Organizations); requests for compliance statements under the Voluntary Compliance Resolution (VCR) program and the Standardized VCR Procedure (SVP) described in Rev. Proc. 94-62, 1994- 2 C.B. 778, as modified by Rev. Proc. 96-29, 1996-1 C.B. 693; requests for correction statements under the Tax Sheltered Annuity Voluntary Correction Program (TVC program) described in Rev. Proc. 95-24, 1995-1 C.B. 694, as modified by Rev. Proc. 96-50, 1996-2 C.B. 370; and requests for administrative scrutiny determinations under Rev. Proc. 93-41, 1993-2 C.B. 536.
SECTION 2. CHANGES
.01 FEE SCHEDULE. Adjustments have been made in several of the fees. With respect to employee plans categories, changes have been made with respect to requests relating to: (1) computation of the exclusion for an annuitant under section 72 of the Code (increased from $75 to $80); (2) change in plan year (increased from $100 to $120); (3) change in funding method (increased from $400 to $450); (4) waiver of the minimum funding standard, where the waiver is for $1,000,000 or more (increased from $3,750 to $4,425); (5) waiver of the minimum funding standard, where the waiver is for less than $1,000,000 (increased from $1,625 to $1,900); (6) waiver of the excise tax under section 4971(f), on failure to pay a liquidity shortfall, where the waiver is for $1,000,000 or more (increased from $3,750 to $4,425); (7) waiver of the excise tax under section 4971(f), on failure to pay a liquidity shortfall, where the waiver is for less than $1,000,000 (increased from $1,625 to $1,900); (8) letter ruling under Rev. Proc. 90-49 (increased from $250 to $275); (9) administrative scrutiny determination with respect to separate lines of business, for the first separate line of business (increased from $3,450 to $4,000); (10) administrative scrutiny determination with respect to separate lines of business, for each additional separate line of business for which a determination is requested (increased from $1,100 to $1,300); (11) mass submitter M & P plan, per basic plan document with one adoption agreement (decreased from $3,600 to $3,000); (12) each adoption agreement relating to an M & P plan of a mass submitter (decreased from $700 to $400); (13) minor modification of a mass submitter's M & P plan document, per adoption agreement (increased from $200 to $225); (14) M & P plan nonmass submission, per adoption agreement (decreased from $2,000 to $1,800); (15) addition of optional provisions following the issuance of a favorable opinion letter, per basic plan document (increased from $400 to $480); (16) addition of new adoption agreements relating to a mass submitter's M & P plan after the basic plan document and associated adoption agreements have been approved, per adoption agreement (decreased from $700 to $400); (17) assumption of sponsorship of an approved M & P plan, without any amendment to the plan document, by a new entity, as evidenced by a change of employer identification number (increased from $200 to $240); (18) mass submitter regional prototype plan, per basic plan document with one adoption agreement (decreased from $3,600 to $3,000); (19) each adoption agreement relating to a regional prototype plan of a mass submitter (decreased from $700 to $400); (20) addition of new adoption agreements relating to a mass submitter's regional prototype plan after the basic plan document and associated adoption agreements have been approved, per adoption agreement (decreased from $700 to $400); (21) mass submitter's prototype IRA, SEP, SIMPLE IRA, or SIMPLE IRA Plan, per plan document (increased from $1,000 to $1,050); (22) minor modification of a mass submitter's prototype IRA, SEP, SIMPLE IRA, or SIMPLE IRA, or SIMPLE IRA Plan, per plan document (increased from $200 to $275); and (23) nonmass submission of prototype IRA, SEP, SIMPLE IRA, or SIMPLE IRA Plan, per plan document (decreased from $500 to $400). With respect to exempt organization categories, changes have been made with respect to requests relating to: (1) change in accounting period (increased from $100 to $130); and (2) change in accounting method (increased from $100 to $130).
.02 NEW CATEGORIES. The provisions of Rev. Proc. 97-29, 1997-1 C.B. 698, sections 3.03(6) and 6.02, relating to the user fee applicable to the establishment of a prototype SIMPLE IRA and the user fees applicable to prototype SIMPLE IRA Plans have been incorporated herein. A new category, relating to the approval of an organization's exempt status under section 501(c)(25) has been added, with a user fee of $500.
.03 DELETION OF MATERIAL NO LONGER APPLICABLE. References to Rev. Proc. 93-12, 1993-1 C.B. 479; Rev. Proc. 94-13, 1994-1 C.B. 566; and Rev. Proc. 95-34, 1995-2 C.B. 385, and to user fees related to these revenue procedures, have been deleted.
SECTION 3. BACKGROUND
.01 LEGISLATION AUTHORIZING USER FEES. Section 10511 of the Revenue Act of 1987, Pub. L. 100-203, 101 Stat. 1330-382, 1330-446, enacted December 22, 1987, directed the Secretary of the Treasury or delegate (the "Secretary") to establish a program requiring the payment of user fees for requests to the Service for letter rulings, opinion letters, determination letters, and similar requests. The fees charged under the program (1) were to vary according to categories or subcategories established by the Secretary; (2) were to be determined after taking into account the average time for, and difficulty of, complying with requests in each category and subcategory; and (3) were to be payable in advance. The Secretary was to provide for exemptions and reduced fees under the program as the Secretary determined to be appropriate, but the average fee applicable to each category must not be less than the amount specified in the statute. The fees were to apply to requests made on or after February 1, 1988, and before September 30, 1990. Section 11319 of the Omnibus Budget Reconciliation Act of 1990, Pub. L. 101- 508, 1991-2 C.B. 481, 511, extended the time during which the user fees would be applicable through September 30, 1995. Section 743 of the Uruguay Round Agreements Act, Pub. L. 103-465, 1995-1 C.B. 230, 239, extended the time during which the user fees will be applicable through September 30, 2000. Section 2 of Pub. L. 104-117, Tax Relief to Operation Joint Endeavor Participants Act, 1996-34 I.R.B. 19, extended the time during which the user fees will be applicable through September 30, 2003.
.02 RELATED REVENUE PROCEDURES. The various revenue procedures that require payment of a user fee, a voluntary compliance fee under the VCR program or the SVP, a voluntary correction fee under the TVC program, or an administrative scrutiny determination 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, notification letters, determination letters, and advisory letters submitted by or on behalf of taxpayers, sponsoring organizations or other entities as described in this revenue procedure. Further, voluntary compliance fees applicable to requests under the VCR program or the SVP, voluntary correction fees applicable to requests under the TVC program, and administrative scrutiny determination user fees described in Rev. Proc. 93-41, are collected through the user fee program described in this revenue procedure. Requests to which a user fee, a voluntary compliance fee, a voluntary correction fee, or an administrative scrutiny determination 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 procedure. The fee may be refunded in limited 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 no require the payment of a user fee include the following:
(1) Requests for information letters as defined in Rev. Proc. 98-4.
(2) Elections pertaining to automatic extensions of time under section 301.9100-1 of the Procedure and Administration regulations.
(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, Individual Retirement Trust Account, or Form 5305-A, Individual Retirement Custodial Account, in order to adopt an individual retirement account under section 408(a). This form should not be filed with the Service.
(4) In general, plan amendments whereby sponsors amend their plans by adopting, word-for-word, the model language 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, notification, advisory, ruling or determination letters for plans that are amended solely to add the model language.
(5) Change in accounting period or accounting method permitted to be made by published automatic change revenue procedure.
.03 EXEMPTIONS FROM THE USER FEE REQUIREMENTS. The following exemptions apply to the user fee requirements. These are the only exemptions that apply:
(1) Departments, agencies, or instrumentalities of the United States that certify that they are seeking a letter ruling, determination letter, opinion letter or similar letter on behalf of a program or activity funded by federal appropriations. The fact that a user fee is not charged has no bearing on whether and applicant is treated as an agency or instrumentality of the United States for purposes of any provision of the Code.
(2) Requests as to whether a worker is an employee for federal employment taxes and federal income tax withholding purposes (chapters 21, 22, 23, and 24 of subtitle C of the Code) submitted on Form SS-8, Information for Use in Determining Whether a Worker is an Employee for Federal Employment Taxes and Income Tax Withholding, or its equivalent. Such a request may be submitted in connection with an application for a determination on the qualification of a plan when it is necessary to determine whether an employer-employee relationship exists. See section 6.13 of Rev. Proc. 98-6, page 183, this bulletin. In that case, although no user fee applies to the request submitted on Form SS-8, the applicable user fee must be paid in connection with the application for determination on the plan's qualification.
SECTION 5. DEFINITIONS
The followings terms used in this revenue procedure are defined in the pertinent revenue procedures referred to below, which are described in the appendix:
Administrative scrutiny
determination Rev. Proc. 93-41
Adoption agreement Rev. Proc. 89-9, Rev. Proc. 89-13
Advisory letter Rev. Proc. 89-9, Rev. Proc. 98-6
Basic plan document Rev. Proc. 89-9, Rev. Proc. 89-13
Compliance statement Rev. Proc. 94-62
Correction statement Rev. Proc. 95-24
Determination letter Rev. Proc. 90-27, Rev. Proc. 98-6
Group exemption letter Rev. Proc. 80-27
Information letter Rev. Proc. 98-4
Letter ruling Rev. Proc. 98-4
Mass submitter Rev. Proc. 89-9, Rev. Proc. 89-13,
Rev. Proc. 87-50
Mass submitter plan Rev. Proc. 89-9
Mass submitter regional
prototype plan Rev. Proc. 89-13
Master plan Rev. Proc. 89-9
Minor modification Rev. Proc. 89-9, Rev. Proc. 87-50
Notification letter Rev. Proc. 89-13, Rev. Proc. 98-4
Opinion letter Rev. Proc. 89-9, Rev. Proc. 98-4
Prototype plan Rev. Proc. 89-9
Regional prototype plan Rev. Proc. 89-13
SIMPLE IRA Rev. Proc. 97-29
SIMPLE IRA Plan Rev. Proc. 97-29
Plan Sponsor Rev. Proc. 89-13
Sponsoring organization Rev. Proc. 87-50, Rev. Proc. 89-9,
Rev. Proc. 90-21
Standardized VCR Program (SVP) Rev. Proc. 94-62
Tax-Sheltered Annuity Voluntary
Correction (TVC) program Rev. Proc. 95-24
Volume submitter plan Rev. Proc. 98-6
Volume submitter specimen plan Rev. Proc. 98-6
Voluntary Compliance Resolution
(VCR) program Rev. Proc. 94-62
Word-for-word identical adoption Rev. Proc. 89-9, Rev. Proc. 87-50
SECTION 6. FEE SCHEDULE
The amount of the user fee, compliance fee or correction fee payable with respect to each category or subcategory of submission is as set forth in the following schedule.
CATEGORY FEE
EMPLOYEE PLANS USER FEES
.01 LETTER RULING REQUESTS.
(1) Computation of exclusion for annuitant under
section 72 $80
(2) Change in plan year (Form 5308) $120
NOTE: No user fee is required if the requested change is
permitted to be made pursuant to the procedure 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) Change in funding method $450
(4) Approval to become a nonbank trustee (see section
1.408-2(e) of the Income Tax Regulations) $3,000
(5) Waiver of minimum funding standard, under section
412(d):
(a) Waiver of $1,000,000 or more $4,425
(b) Waiver of less than $1,000,000 $1,900
(6) Waiver of the excise tax, under section 4971(f),
on failure to pay a liquidity shortfall:
(a) Waiver of $1,000,000 or more $4,425
(b) Waiver of less than $1,000,000 $1,625
(7) Letter ruling under Rev. Proc. 90-49, 1990-2
C.B. 620 $275
(8) Letter ruling involving the determination of the
account limit under section 419A(c). $2,100
(9) Individually designed simplified employee pension
(SEP) $2,100
(10) All other letter rulings $2,100
Reduced fees, or augmented fee, applicable to all other letter
rulings:
(a) Letter ruling requests by or on behalf of
eligible retirement plans (within the meaning of section
402(c)(8)(B)) with assets of less than $150,000 $600
(b) Letter ruling requests from U.S. citizens and
resident alien individuals, domestic trusts, and domestic
estates whose "total income" as reported on their 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 section
103 (interest on state and local bonds) for that period, is
less than $150,000 $600
NOTE: The reduced fee applies to a married individual
if the combined gross income of the applicant and
the applicant's spouse is less than $150,000. The gross
incomes of the applicant and the applicant's spouse are
not combined, however, if the applicant is legally
separated from his or her spouse and the spouses do
not file a joint income tax return with each other.
In the case of a letter ruling request from a
domestic estate or trust that, at the time the request
is filed, has not filed an income tax return for a full
taxable year, the reduced fee will be applicable if the
decedent's or (in the case of an individual grantor) the
grantor's total income as reported on the last 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 subparagraph, is less than $150,000.
(c) Letter ruling requests from organizations
exempt from income tax under "Subchapter F -- Exempt
Organizations" with gross receipts of
less than $150,000 $600
NOTE: An organization exempt from income tax under
Subchapter F must certify in its request
for a letter ruling that its gross receipts for the
last full taxable year before the request was filed
were less than $150,000.
(d) In situations in which a taxpayer requests
substantially identical letter rulings for multiple
entities with a common member or sponsor, or for multiple
members of a common entity, each additional letter
ruling request after the $2,100 fee or $600 reduced fee, as
applicable, has been paid for the first letter ruling request $200
(e) In situations in which a taxpayer requests
a single letter ruling involving substantially identical
issues of fact and law with respect to multiple
members of a common entity, for each additional entity
after the $2,100 fee or $600 reduced fee, as applicable,
has been paid for the first entity $200
.02 REQUESTS FOR CERTAIN ADMINISTRATIVE EXEMPTIONS.
Requests for administrative exemptions for
participant-directed transactions that are in
compliance with the regulations under section 404(c)
of the Employee Retirement Income Security Act of 1974
(ERISA) but may result in prohibited transactions under
section 4975 $2,100
NOTE: The provisions of Rev. Proc. 75-26, 1975-1 C.B. 722,
are applicable to such requests.
.03 ADMINISTRATIVE SCRUTINY DETERMINATIONS WITH RESPECT TO
SEPARATE LINES OF BUSINESS.
(1) For the first separate line of business for
which a determination is requested $4,000
(2) For each additional separate line of business for
which a determination is requested $1,300
.04 OPINION LETTERS AND ADVISORY LETTERS ON MASTER AND
PROTOTYPE PLANS.
(1) Mass submitter M & P plan, per basic plan document,
new or amended, with one adoption agreement $3,000
(2) Mass submitter M & P plan, per each additional
adoption agreement $400
(3) Sponsoring organization's word-for-word identical
adoption of M & P mass submitter's basic plan document
(or an amendment thereof), per adoption agreement $100
NOTE 1: Mass submitters that are sponsoring organizations in
their own right are liable for this fee.
NOTE 2: 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.
(4) Sponsoring organization's minor modification of
M & P mass submitter's plan document, per adoption
agreement $225
(5) Nonmass submission (new or amended) by M & P
sponsoring organization, per adoption agreement $1,800
(6) M & P mass submitter's request for an advisory
letter with respect to the addition of optional provisions
following issuance of a favorable opinion letter (see
section 18.031(c) of Rev. Proc. 89-9), per basic plan document
(regardless of the number of adoption agreements) $480
(7) M & P mass submitter's addition of new adoption
agreements after the basic plan document and
associated adoption agreements have been approved,
per adoption agreement $400
(8) Assumption of sponsorship of an approved M & P plan,
without any amendment to the plan document, by a new
entity, as evidenced by a change of employer identification
number $240
.05 NOTIFICATION LETTERS ISSUED BY NATIONAL OFFICE ON
MASS SUBMITTER REGIONAL PROTOTYPE PLANS.
(1) Mass submitter regional prototype plan, per basic
plan document, new or amended, with one adoption agreement $3,000
(2) Mass submitter regional prototype plan, per each
additional adoption agreement $400
NOTE: Separate notification letters are required for
sponsors utilizing mass submitter regional prototype
plans. Such notification letters are issued by the
Ohio Key District Office. The applicable user fee is
set forth in section 6.09(1) of this revenue procedure.
(3) Regional prototype plan mass submitter's addition
of new adoption agreements after the basic plan
document and associated adoption agreements have been
approved, per adoption agreement $400
.06 OPINION LETTERS ON PROTOTYPE INDIVIDUAL
RETIREMENT ACCOUNTS AND/OR ANNUITIES, SIMPLIFIED
EMPLOYEE PENSIONS, SIMPLE IRAs AND SIMPLE IRA PLANS.
(1) Mass submission of a prototype IRA, SEP, SIMPLE
IRA, or SIMPLE IRA Plan, per plan document, new or amended $1,050
(2) Sponsoring organization's word-for-word identical
adoption of mass submitter's prototype IRA, SEP, SIMPLE
IRA, or SIMPLE IRA Plan, per plan document or an
amendment thereof $100
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
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.
(3) Sponsoring organization's minor modification
of mass submitter's prototype IRA, SEP, SIMPLE IRA, or
SIMPLE IRA Plan, per plan document $275
(4) Sponsoring organization's nonmass submission
of prototype IRA, SEP, SIMPLE IRA, or SIMPLE IRA Plan,
per plan document (Form 5306 or Form 5306-SEP) $400
(5) Establishment of prototype SIMPLE IRA pursuant
to section 3 of Rev. Proc. 97-29, 1997-1 C.B. 698. $50
.07 DETERMINATION LETTERS
(1) If the plan is intended to satisfy a
design-based or nondesign-based safe harbor, or if
the applicant is not electing to receive a
determination with respect to any of the general
tests, and the applicant is not electing to
receive a determination with respect to the
average benefit test:
(a) Form 5300 $700
(b) Form 5303 $700
(c) Form 5310 $225
(d) Form 5307 $125
(e) Form 6406 $125
(f) Multiple employer plan: $125
(i) 2 to 10 employers $700
(ii) 11 to 99 employers $1,400
(iii) 100 to 499 employers $2,800
(iv) Over 499 employers $5,600
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) above. If only one employer adopts the plan in
any subsequent year, the fee would be $700.
(2) If the applicant is electing to receive a
determination with respect to the average benefit
test and/or any of the general tests:
(a) Form 5300 or Form 5303 $1,250
(b) Form 5307 $1,000
(c) Form 5310 $375
(d) Multiple employer plan: $1,250
(i) 2 to 10 employers $2,000
(ii) 11 to 99 employers $3,500
(iii) 100 to 499 employers $6,500
(iv) Over 499 employers
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 (2) above. If
only one employer adopts the plan in any subsequent year,
the fee would be $1,250.
(3) Group trusts contemplated by Rev. Rul.
81-100, 1981-1 C.B. 326 $750
.08 ADVISORY LETTERS ON VOLUME SUBMITTER PLANS.
Volume submitter specimen plans $1,500
.09 NOTIFICATION LETTERS ISSUED BY KEY DISTRICT OFFICES
WITH RESPECT TO REGIONAL PROTOTYPE PLANS.
(1) Sponsor's identical adoption of mass
submitter's regional prototype plan basic plan
document, per adoption agreement (Form 4461-B) $100
NOTE: Mass submitters that are sponsors in their own
right are liable for this fee.
(2) Sponsor's nonmass submission by sponsor of
regional prototype plan, per adoption agreement (Form 4461
or 4461-A) $1,500
COMPLIANCE FEES AND CORRECTION FEES
.10 COMPLIANCE STATEMENTS UNDER THE VOLUNTARY
COMPLIANCE RESOLUTION (VCR) PROGRAM.
(1) Request for a compliance statement under the VCR
program:
(a) For a plan with assets of less
than $500,000, and no more than 1,000 plan
participants $500
(b) For a plan with assets of at least
$500,000, and no more than 1,000 plan participants $1,250
(c) For a plan with more than 1,000 plan
participants but less than 10,000 plan
participants $5,000
(d) For a plan with 10,000 or more plan
participants $10,000
NOTE: In establishing the number of plan participants,
the plan sponsor will use the numbers from the most
recently filed Form 5500 series.
(2) Request for a compliance statement
Standardized VCR Program (SVP) $350
.11 CORRECTION STATEMENTS UNDER THE TAX-SHELTERED
ANNUITY VOLUNTARY CORRECTION (TVC) PROGRAM.
(1) Request for a correction statement under the
TVC program:
(a) For an employer with fewer than 25 employees $500
(b) For an employer with at least 25 and no more
than 1,000 employees $1,250
(c) For an employer with more than 1,000 employees
but less than 10,000 employees $5,000
(d) For an employer with 10,000 or more employees $10,000
EXEMPT ORGANIZATIONS USER FEES
.12 LETTER RULINGS.
(1) Applications with respect to change in
accounting period (Form 1128) $130
NOTE: No user fee is charged if the procedure
described in Rev. Proc. 85-58, 1985-2 C.B. 740, is
used by timely filing the appropriate information
return, or if the procedure described in Rev.
Proc. 76-10, 1976-1 C.B. 548, for organizations
with group exemptions is followed.
(2) Applications with respect to change in accounting
method (Form 3115) $130
NOTE: No user fee is charged if the method
described in Rev. Proc. 92-74, 1992-2 C.B. 442, or
that described in Rev. Proc. 92-75, 1992-2 C.B.
448, is used. Taxpayers complying timely with
whichever of those revenue procedures is
applicable will be deemed to have obtained the
consent of the Commissioner of Internal Revenue to
change their method of accounting.
(3) Advance approval of scholarship grant-
making procedures of a private foundation that has
an agreement for the administration of the
scholarship program with the National Merit
Scholarship Corp., or similar organization
administering a scholarship program shown to meet
Service requirements $200
(4) Request for a letter ruling as to whether
an organization exempt from federal income tax is
required to file an annual return under section
6033 $200
NOTE 1: See Rev. Proc. 95-48, 1995-2 C.B. 418, which
specifies that governmental units and affiliates of
governmental units that are exempt from federal income
tax under section 501(a) are not required to file annual
information returns on Form 990, Return of Organization
Exempt from Income Tax.
NOTE 2: There is no additional charge for a determination
of the section 6033 filing requirement from an
organization seeking recognition of exempt status under
section 501 if the organization submits the information
required by line 9 of Part 1 of Form 1023, Application
for Recognition of Exemption under Section 501(c)(3)
of the Code, or submits a separate written request with
its application for recognition of exemption. Only the
user fee for the initial application for recognition
of exemption applies.
(5) Request for approval of an organization's
exempt status under section 501(c)(25) $500
(6) All other letter rulings $2,100
Reduced fees applicable to all other letter rulings:
(a) Organizations with gross receipts less
than $150,000 $600
NOTE: An exempt organization seeking a
reduced fee must certify in the letter ruling
request that its gross receipts for the last
taxable year before the request is filed were less
than $150,000.
(b) Letter ruling requests from U.S. citizens
and resident alien individuals, domestic trusts,
and domestic estates whose "total income" as
reported on their 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
section 103 (interest on state and local bonds)
for that period, is less than $150,000 $600
NOTE: The reduced fee applies to a married individual
if the combined gross income of the applicant and the
applicant's spouse is less than $150,000. The gross
incomes of the applicant and the applicant's spouse
are not combined, however, if the applicant is legally
separated from his or her spouse and the spouses do
not file a joint income tax return with each other.
In the case of a letter ruling request from
a domestic estate or trust that, at the time the
request is filed, has not filed an income tax
return for a full taxable year, the reduced fee
will be applicable if the decedent's or (in the
case of an individual grantor) the grantor's total
income as reported on the last 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 subparagraph, is less than
$150,000.
(c) Letter ruling requests in which a
taxpayer requests substantially identical letter
rulings for multiple entities with a common member
or activity, or multiple members of a common
entity, for each additional letter ruling request
after the $2,100 fee or the $600 reduced fee, as
applicable, has been paid for the first letter ruling
request $200
.13 DETERMINATION LETTERS AND REQUESTS FOR
GROUP EXEMPTION LETTERS.
(1) Initial application for exemption under
section 501 or section 521 from organizations
(other than pension, profit-sharing, and stock
bonus plans described in section 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 their first
four years $150
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.
(2) Initial application for exempt status
from organizations otherwise described in
paragraph (1) of this section 6.13 whose actual
or anticipated gross receipts exceed the $10,000
average annually $500
NOTE: If an organization that is already
recognized as exempt under section 501(c)
seeks reclassification under another
subparagraph of section 501(c), a new user fee
will be charged whether or not a new application
is required. An additional fee applies to
organizations that seek recognition of exemption
under section 501(c)(4) (unless requested at the
time of the section 501(c)(3) application) for a
period for which they do not qualify for exemption
under section 501(c)(3) because their application
was filed late and they do not qualify for relief
under section 301.9100-1.
(3) Group exemption letters $500
SECTION 7. MAILING ADDRESS FOR REQUESTING LETTER RULINGS, DETERMINATION LETTERS, ETC.
.01 MATTERS HANDLED BY THE NATIONAL OFFICE. Requests should either be mailed to the appropriate address set forth in this section 7.01, or hand delivered to the drop box at the 12th Street entrance of 1111 Constitution Avenue, NW, Washington, DC. No dated receipt will be given at the drop box.
(1) EMPLOYEE PLANS LETTER RULINGS UNDER REV. PROC. 78-37, 79-61, 79-62, 87-50, 90-49, 94-41, 94-42 or 98-4:
Employee Plans Division
Internal Revenue Service
Assistant Commissioner (EP/EO)
Attention: CP:E:EP:T
P.O. Box 14073, Ben Franklin
Station
Washington, D.C. 20044
(2) EMPLOYEE PLANS OPINION LETTERS, ADVISORY LETTERS, OR NOTIFICATION LETTERS (THAT IS, NOTIFICATION LETTERS WITH RESPECT TO MASS SUBMITTERS' REGIONAL PROTOTYPE PLANS) UNDER REV. PROC. 89-9, 89- 13 OR 98-4:
Internal Revenue Service
Attention: CP:E:EP
P.O. Box 14073
Ben Franklin Station
Washington, DC 20044
(3) EMPLOYEE PLANS COMPLIANCE STATEMENTS UNDER REV. PROC. 94-62:
Internal Revenue Service
Attention: CP:E:EP:VCR
P.O. Box 14073
Ben Franklin Station
Washington, DC 20044
(4) EMPLOYEE PLANS CORRECTION STATEMENTS UNDER REV. PROC. 95-24:
Internal Revenue Service
Attention: CP:E:EP:TVC
P.O. Box 14073
Ben Franklin Station
Washington, DC 20044
(5) EMPLOYEE PLANS ADMINISTRATIVE SCRUTINY DETERMINATIONS UNDER REV. PROC. 93-41:
Internal Revenue Service
Attention: CP:E:EP
ADMINISTRATIVE SCRUTINY
P.O. Box 14073
Ben Franklin Station
Washington, DC 20044
(6) EXEMPT ORGANIZATIONS LETTER RULINGS:
Exempt Organization Division
Internal Revenue Service
Assistant Commissioner (EP/EO)
Attention: CP:E:EO:P:2
P.O. Box 120, Ben Franklin
Station
Washington, DC 20044
.02 MATTERS HANDLED BY THE OHIO KEY DISTRICT OFFICE. The following types of requests and applications are handled by the Ohio Key District Office and should be sent to the Internal Revenue Service Center in Covington, Kentucky, at the address shown below: requests for determination letters, regional prototype notification letters and volume submitter advisory letters on the qualified status of employee plans under sections 401, 403(a), and 409, and the exempt status of any related trust under section 501; applications for recognition of tax exemption on Form 1023, Form 1024 and Form 1028; and other applications for recognition of qualification or exemption. The address is:
Internal Revenue Service
P.O. Box 192
Covington, KY 41012-0192
Applications shipped by Express Mail or a delivery service should be sent to
Internal Revenue Service
201 West Rivercenter Blvd.
Attn: Extracting Stop 312
Covington, KY 41011
SECTION 8. REQUESTS INVOLVING MULTIPLE OFFICES, FEE CATEGORIES, ISSUES, TRANSACTIONS, OR ENTITIES
.01 REQUESTS INVOLVING SEVERAL OFFICES. If a request dealing with only one transaction involves more than one of the offices within the National Office (for example, one issue is under the jurisdiction of the Associate Chief Counsel (Domestic) and another issue is under the jurisdiction of the Assistant Commissioner (Employee Plans and Exempt Organizations)), only one fee applies, namely the highest fee that otherwise would apply to each of the offices involved. See Rev. Proc. 98-1, this bulletin, for the user fees applicable to issues under the jurisdiction of the Associate Chief Counsel (Domestic), the Associate Chief Counsel (Employee Benefits and Exempt Organizations), the Associate Chief Counsel (Enforcement Litigation), or the Associate Chief Counsel (International).
.02 Requests involving several fee categories. If a request dealing with only one transaction involves more than one category, only one fee applies, namely the highest fee that otherwise would apply to each of the categories involved.
.03 REQUESTS INVOLVING SEVERAL ISSUES. If a request dealing with only one transaction involves several issues, or a request for a change in accounting method dealing with only one item or sub-method 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, namely the fee that applies to the particular category or subcategory involved. The addition 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 UNRELATED TRANSACTIONS. If a request involves several unrelated transactions, or a request for a change in accounting method involves several unrelated items or sub- methods 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 or item. An additional fee will apply if the request is changed by the addition of an unrelated transaction or item not contained in the initial submission.
.05 REQUESTS FOR SEPARATE LETTER RULINGS FOR SEVERAL ENTITIES. Each entity involved in a transaction (for example, an exempt hospital 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. In certain situations, however, a reduced fee may be charged. See sections 6.01(10)(d) and (e) and 6.12(6)(c) of this revenue procedure.
SECTION 9. PAYMENT OF FEE
.01 METHOD OF PAYMENT. Each request to the Service for a letter ruling, determination letter, opinion letter, etc. must be accompanied by a check or money order, payable to the Internal Revenue Service, in the appropriate amount. Taxpayers should not send cash.
.02 TRANSMITTAL FORMS. Form 8717, User Fee for Employee Plan Determination Letter Request, and Form 8718, User Fee for Exempt Organization Determination Letter Request, are intended to be used as attachments to determination letter applications. Space is reserved for the attachment 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, opinion letters, notification letters, advisory letters, compliance statements, correction statements or administrative scrutiny determinations.
.03 EFFECT OF NONPAYMENT OR PAYMENT OF INCORRECT AMOUNT. 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 submissions that are not accompanied by a properly 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 submission 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 letter will not be returned merely because Form 8717 or Form 8718 was not attached.
(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 returning the submission. Examples of this are: (a) where an application for a determination letter is submitted prior to the expiration of the remedial amendment period under section 401(b) and is returned because no user fee was attached, the submission will be timely if it is resubmitted by the expiration of the remedial amendment period or, if later, within 30 days after the application was returned; and (b) where an application for exemption under section 501(c)(3) is submitted before expiration of the period provided by section 1.508-1(a)(2) and is returned because no user fee was attached, the submission will be timely if it is resubmitted before expiration of the period provided by section 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 submission will be accepted and the amount of the excess payment will be returned to the requester.
SECTION 10. REFUNDS
.01 GENERAL RULE. In general, the fee will not be refunded unless the Service declines to rule on all issues for which a ruling is requested. In the case of a request for a 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 request, but the taxpayer must pay another user fee before the case can be reopened. See section 11.04(5) of Rev. Proc. 98-4, page 113, this bulletin.
.02 EXAMPLES
(1) THE FOLLOWING SITUATIONS ARE EXAMPLES OF SITUATIONS IN WHICH THE 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 requester that a higher user fee than was sent with the request is applicable and the requester is unwilling to pay the higher fee.
(b) The request is procedurally deficient, although accompanied by the proper fee and is not timely perfected by the requester. 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.
(c) 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.
(d) 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.
(e) 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 Service has declined to rule) and requests reconsideration. The Service, 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.
(f) The situation is the same as described in subparagraph (e) of this section 10.02(1) except that the letter ruling covered several unrelated transactions. The Service, upon reconsideration, 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 Service agrees the letter ruling was in error.
(g) The request is for a supplemental letter ruling, determination letter, etc. concerning a change in facts (whether significant or not) relating to the transaction ruled on.
(h) 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 FEE WILL BE REFUNDED:
(a) In a situation to which section 10.02(1)(h) 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 Service declined to rule) and requests reconsideration. The Service agrees, upon reconsideration, 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 10.02(1)(h) of this revenue procedure does not apply, the requester 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 section 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 10.02(1)(d) of this revenue procedure applied, 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.
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 reconsideration and, if desired, the opportunity for an oral discussion by sending a letter to the Internal Revenue Service at the applicable Post Office Box or other address given in this section 11. 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: MARK FOR THE ATTENTION OF:
Employee plans letter ruling Director, Employee Plans Division,
requests and all other employee CP:E:EP
plans matters handled by the
National Office
Exempt organizations letter Director, Exempt Organizations
ruling requests Division, CP:E:EO
Employee plans and/or exempt Chief, Technical/Review Staff
organizations determination Ohio Key District Office
letter requests
SECTION 12. EFFECT ON OTHER DOCUMENTS
01. Rev. Proc. 97-8, 1997-1 C.B. 610, is superseded.
SECTION 13. EFFECTIVE DATE
This revenue procedure is effective January 5, 1998.
SECTION 14. 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 control number.
The collections of information in this revenue procedure are in sections 6.01(10)(c), 6.12(6)(a), 6.13(1) and 11. This information is required to substantiate that a taxpayer or an exempt organization seeking to pay a reduced user fee with respect to a request for a letter ruling 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 information 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 reconsideration of the user fee is being requested and, if it is being requested, whether an oral discussion is requested. The collections of information are voluntary, to obtain a benefit. The likely respondents are individuals, business 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 respondent/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 (requests for reconsideration of fee).
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 26 U.S.C. 6103.
DRAFTING INFORMATION
The principal author of this revenue procedure is John H. Turner of the Employee Plans Division. For further information regarding this revenue procedure, contact Mr. Turner at (202) 622-6214 (not a toll-free number).
APPENDIX
Following is a list of revenue procedures requiring payment of a user fee, an administrative scrutiny determination user fee, a voluntary compliance fee, or a voluntary correction fee.
A. PROCEDURES APPLICABLE TO BOTH EMPLOYEE PLANS AND EXEMPT ORGANIZATIONS
Rev. Proc. 98-4, this bulletin, provides procedures for issuing letter rulings, information letters, etc. on matters relating to matters under the jurisdiction of the Assistant Commissioner (Employee Plans and Exempt Organizations).
B. PROCEDURES APPLICABLE TO EMPLOYEE PLANS MATTERS OTHER THAN ACTUARIAL MATTERS
Rev. Proc. 75-26, 1975-1 C.B. 722, sets forth the general procedures of the Department of Labor and the Internal Revenue Service for the processing of applications for exemption under section 4975(c)(2) of the Code.
Rev. Proc. 87-50, 1987-2 C.B. 647, as modified by Rev. Proc. 91-44 and Rev. Proc. 92-38, sets forth the procedures of the Service relating to the issuance of rulings and opinion letters with respect to the establishment of individual retirement accounts and annuities (IRAs) under section 408, the entitlement to exemption of related trusts or custodial accounts under section 408(e), and the acceptability of the form of prototype simplified employee pension (SEP) agreements under sections 408(k) and 415.
Rev. Proc. 89-9, 1989-1 C.B. 780, as modified by Rev. Proc. 90-21; Rev. Proc. 92-41, 1992-1 C.B. 870; Rev. Proc. 93-9, 1993-1 C.B. 474; and as supplemented by Rev. Proc. 93-10, 1993-1 C.B. 476, sets forth the procedures of the Service pertaining to the issuance of opinion letters relating to master or prototype pension, profit- sharing and annuity plans involving sections 401 and 403(a), as amended by the Tax Reform Act of 1986 (TRA '86), the Omnibus Budget Reconciliation Act of 1986 (OBRA '86), the Omnibus Budget Reconciliation Act of 1987 (OBRA '87), and the Technical and Miscellaneous Revenue Act of 1988 (TAMRA), and the Omnibus Budget Reconciliation Act of 1993 (OBRA '93), and the status for exemption of related trusts or custodial accounts under section 501(a).
Rev. Proc. 89-13, 1989-1 C.B. 801, as modified by Rev. Proc. 90-21, Rev. Proc. 92-41, Rev. Proc. 93-9 and Rev. Proc. 93-12, and as supplemented by Rev. Proc. 93-10, sets forth the procedures of the Service for issuing notification letters relating to the qualification, as to form, of certain regional prototype defined contribution plans and defined benefit plans, and provides guidance with respect to the issuance of determination letters to employers adopting such plans as to whether the plans as adopted qualify under sections 401 and 403(a) and as to whether any related trusts or custodial accounts are exempt under section 501(a).
Rev. Proc. 90-21, 1990-1 C.B. 499, modified Rev. Proc. 89-9 and Rev. Proc. 89-13 regarding certain requirements for approval by the Service of master and prototype (M & P) pension, profit-sharing and annuity plans and regional prototype plans.
Rev. Proc. 92-24, 1992-1 C.B. 739, provides procedures for requesting determination letters on the effect on a plan's qualified status under section 401(a) of the Code of plan language that permits, pursuant to section 420, the transfer of assets in a defined benefit plan to a health benefits account described in section 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 distribution rules in section 408(a)(6) or (b)(3). 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. 93-41, 1993-2 C.B. 536, sets forth the procedures of the Service relating to the issuance of an administrative scrutiny determination as to whether a separate line of business satisfies the requirement of administrative scrutiny within the meaning of section 1.414(r)-6.
Rev. Proc. 94-62, 1994-2 C.B. 778, as modified by Rev. Proc. 96-29, 1996-1 C.B. 693, describes the Voluntary Compliance Resolution (VCR) program and the Standardized VCR Procedure (SVP). The VCR program permits plan sponsors (including employers, plan administrators and trustees) to correct operational plan defects that they have identified. Certain other operational defects may be corrected under the SVP, pursuant to rules set forth in the applicable sections of Rev. Proc. 94-62.
Rev. Proc. 95-24, 1995-1 C.B. 694, as modified by Rev. Proc. 96-50, 1996-2 C.B. 370, establishes the Tax Sheltered Annuity Voluntary Correction Program (TVC program). The TVC program permits an employer that offers a tax sheltered annuity plan under section 403(b) of the Code to voluntarily identify and correct defects in the plan. Employers that request consideration under the TVC program, agree to correct the identified defects, and pay the negotiated sanction, will receive written assurance that the corrections are acceptable and that the Service will not pursue revocation of the income tax exclusion with respect to the violations identified and corrected.
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 letters; 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 Service.
Rev. Proc. 98-6, this bulletin, provides procedures for issuing determination letters on the qualified status of employee plans under sections 401(a), 403(a), 409, and 4975(e)(7).
C. EMPLOYEE PLANS ACTUARIAL MATTERS
Rev. Proc. 78-37, 1978-2 C.B. 540, 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 section 412(c)(5) of the Code and section 302(c)(5) of ERISA.
Rev. Proc. 79-61, 1979-2 C.B. 575, outlines the procedure by which a plan administrator or plan sponsor may request and obtain approval for an extension of an amortization period in accordance with section 412(e) of the Code and section 304(a) of ERISA.
Rev. Proc. 79-62, 1979-2 C.B. 576, outlines the procedure by which a plan sponsor or administrator may request a determination that a plan amendment is reasonable and provides for only de minimis increases in plan liabilities in accordance with section 412(f)(2)(A) of the Code and section 304(b)(2)(A) of ERISA.
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 requesting rulings under the revenue procedure, to revise the information requirements for a ruling request made under the revenue procedure, to furnish a worksheet for actuarial computations, and to provide a special rule under which certain de minimis nondeductible employer contributions to a qualified defined benefit plan may be returned to the taxpayer without a formal ruling or disallowance from the Service.
Rev. Proc. 94-41, 1994-1 C.B. 711, sets forth procedures for requesting waivers of the minimum funding standard described in section 412(d) and the issuance of such waivers by the Assistant Commissioner (Employee Plans and Exempt Organizations).
Rev. Proc. 94-42, 1994-1 C.B. 717, supersedes Rev. Proc. 79-18, 1979-1 C.B. 525, and Rev. Rul. 79-215, 1979-2 C.B. 190, and sets forth a procedure for obtaining approval of an amendment to a qualified plan that, under section 412(c)(8), reduces the accrued benefits of plan participants.
D. PROCEDURES APPLICABLE TO EXEMPT ORGANIZATIONS MATTERS ONLY
Rev. Proc. 80-27, 1980-1 C.B. 677, provides procedures under which recognition of exemption from federal income tax under section 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 application for recognition of exemption.
Rev. Proc. 90-27, 1990-1 C.B. 514, sets forth revised procedures with regard to applications for recognition of exemption from federal income tax under sections 501 and 521.
- Institutional AuthorsInternal Revenue Service
- Code Sections
- Subject Areas/Tax Topics
- Index Termspension plans, qualification
- Jurisdictions
- LanguageEnglish
- Tax Analysts Document NumberDoc 98-2975 (12 original pages)
- Tax Analysts Electronic Citation98 TNT 12-16