Chief Counsel's Written Determinations Issued from 200215000 to 200219999

Taxpayer-specific rulings or determinations are written memoranda furnished by the IRS National Office in response to requests by taxpayers under published annual guidelines. Technical advice memoranda are written memoranda furnished by the National Office of the IRS upon request of a district director or chief appeals officer pursuant to annual review procedures. Chief Counsel advice are written advice or instructions prepared by the Office of Chief Counsel and issued to field or service center employees of the IRS or Office of Chief Counsel.

It is important to note that pursuant to 26 USC § 6110(j)(3), such items cannot be used or cited as precedent.

200219034(PDF, 23K)	5/10/2002
This letter responds to your request, dated January 29, 2001, requesting rulings regarding the federal estate and generation-skipping transfer tax consequences of Daughter�s proposed exercise of a power of appointment.
200219033(PDF, 8K)	5/10/2002
This is in response to a letter dated B, by A's authorized representative, requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A's loss of long-term resident status did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code.
200219032(PDF, 7K)	5/10/2002
This responds to your letter dated, December 21, 2001, submitted on behalf of X, requesting and extension of time under � 301.9100-1(c) of the Procedure and Administration Regulations to elect to treat X1 as a qualified subchapter S subsidiary for federal tax purposes.
200219031(PDF, 8K)	5/10/2002
This is in response to a letter dated B, by A's authorized representative, requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A's loss of long-term resident status did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code.
200219030(PDF, 17K)	5/10/2002
This letter responds to your authorized representative�s letter, dated March 21, 2002, submitted on behalf of Purchaser and Seller, requesting an extension of time under �� 301.9100-1 through 301.9100-3 of the Procedure and Administration Regulations to file an election. Purchaser and Seller are requesting an extension to file a �� 338(h)(10) election� under �� 338(g) and 338(h)(10) of the Internal Revenue Code and � 1.338(h)(10)-1(d) of the Income Tax Regulations with respect to Purchaser�s acquisition of the stock of Target (sometimes hereinafter referred to as the �Election�), on Date A. (All citations in this letter to regulations under � 338 are to regulations in effect on Date A.) Additional information was received in a letter dated April 26, 2002. The material information is summarized below.
200219029(PDF, 23K)	5/10/2002
This is in response to a letter dated March 12, 2001, and subsequent correspondence, requesting rulings regarding the federal estate and generation-skipping transfer tax consequences of the proposed exercise of a power of appointment.
200219028(PDF, 22K)	5/10/2002
This is in response to a letter dated March 12, 2001, and subsequent correspondence, requesting a ruling regarding the federal estate and generation-skipping transfer tax consequences of the proposed exercise of a power of appointment.
200219027(PDF, 8K)	5/10/2002
This replies to a letter dated April 12, 2001, submitted on behalf of Taxpayer, requesting that Taxpayer be granted an extension of time under Treasury Regulation � 301.9100-3 to file the elections required under � 1.1503-2(g)(2)(i) with respect to the dual consolidated losses of and occurring in the tax years ended on Dates A, B, C and D. Additional information was submitted in a letter dated December 6, 2001. The information submitted for consideration is substantially as set forth below.
200219026(PDF, 16K)	5/10/2002
We received your letter, dated September 19, 2000, requesting a ruling under � 1235 of the Internal Revenue Code. This letter responds to your request.
200219025(PDF, 26K)	5/10/2002
This letter responds to your July 13, 2001 request for rulings on certain federal income tax consequences of a proposed transaction. Additional information was submitted in letters dated October 30, 2001, November 13, 2001, December 3, 2001, January 10, 2002, January 17, 2002, January 18, 2002 and February 6, 2002.
200219024(PDF, 6K)	5/10/2002
This responds to your letter dated November 28, 2001, submitted on behalf of LLC, requesting a ruling that LLC be given an extension of time under � 301.9100-3 of the Procedure and Administration Regulations to elect to be treated as a corporation for federal tax purposes under � 301.7701-3(c).
200219023(PDF, 6K)	5/10/2002
This responds to the Private Letter Ruling request dated December 12, 2001, submitted on behalf of X, requesting relief under �1362(b)(5) of the Internal Revenue Code.
200219022(PDF, 10K)	5/10/2002
This is in reply to your letter of October 4, 2001, as supplemented by letter dated January 28, 2002, requesting a waiver pursuant to Internal Revenue Code � 7702(f)(8) for certain insurance contracts issued by Taxpayer which failed to meet the requirements of � 7702(a). For the reasons discussed below, we conclude with respect to Amount I contracts that such failures were due to reasonable errors and that reasonable steps have and are being taken to remedy such errors; therefore, the waiver will be granted. We are still considering your request for waiver with respect to the remaining Amount J contracts.
200219021(PDF, 16K)	5/10/2002
We received your letter, dated September 19, 2000, requesting a ruling under � 1235 of the Internal Revenue Code. This letter responds to your request.
200219020(PDF, 16K)	5/10/2002
We received your letter, dated September 19, 2000, requesting a ruling under � 1235 of the Internal Revenue Code. This letter responds to your request.
200219019(PDF, 16K)	5/10/2002
We received your letter, dated September 19, 2000, requesting a ruling under 1235 of the Internal Revenue Code. This letter responds to your request.
200219018(PDF, 19K)	5/10/2002
This is in response to your request dated September 27, 2001, and supplemental correspondence for a private letter ruling under � 6012 of the Internal Revenue Code.
200219017(PDF, 16K)	5/10/2002
We received your letter, dated September 19, 2000, requesting a ruling under � 1235 of the Internal Revenue Code. This letter responds to your request.
200219016(PDF, 14K)	5/10/2002
This is in response to a October 1, 2001 letter from your representative requesting rulings as to a certain transaction involving an assignment of stock options.
200219015(PDF, 9K)	5/10/2002
This is in reply to a letter dated May 3, 2001, from your authorized representative requesting rulings concerning the deduction limitation of � 162(m) of the Internal Revenue Code. The facts, as represented by Acquiring, are as follows.
200219014(PDF, 6K)	5/10/2002
By a letter dated September 28, 2001, you submitted a request on behalf of Taxpayer for a supplemental request involving the tax consequences relating to the sale of certain electric generating plants. The original ruling request was submitted in a letter dated November 29, 1999, and a ruling letter was issued on the matter by the Internal Revenue Service on June 13, 2000 (Ruling letter 200038009).
200219013(PDF, 6K)	5/10/2002
This responds to your letter dated January 18, 2002 and prior correspondence, requesting relief under � 1362(b)(5) of the Internal Revenue Code.
200219012(PDF, 27K)	5/10/2002
This is in response to your letter dated December 18, 2000, and subsequent submissions, in which you requested rulings under � 664 of the Internal Revenue Code regarding the rescission of a charitable remainder trust.
200219011(PDF, 31K)	5/10/2002
Issue: Whether signing bonuses paid by Team A to nonresident alien baseball players in League C are subject to withholding under Internal Revenue Code � 1441?
200219010(PDF, 14K)	5/10/2002
This letter responds to your letter dated September 28, 2001, and subsequent correspondence, submitted on behalf of Taxpayer requesting a ruling that will waive for Project buildings the 10-year holding period for existing buildings under � 42(d)(2)(B)(ii) of the Internal Revenue Code, under authority of the exception for the acquisition of certain federally-assisted buildings provided in � 42(d)(6)(A). The Internal Revenue Service Office that will have examination jurisdiction over the Taxpayer is located in City D.
200219009(PDF, 14K)	5/10/2002
This letter responds to your letter dated September 28, 2001, and subsequent correspondence, submitted on behalf of Taxpayer requesting a ruling that will waive for Project buildings the 10-year holding period for existing buildings under � 42(d)(2)(B)(ii) of the Internal Revenue Code, under authority of the exception for the acquisition of certain federally-assisted buildings provided in � 42(d)(6)(A). The Internal Revenue Service Office that will have examination jurisdiction over the Taxpayer is located in City C.
200219008(PDF, 35K)	5/10/2002
Issues: (1) When the Partners� interests in their upper-tier partnerships, Upper-Tier 1 and 2, are liquidated through distributions that include interests in subsidiary Partnership, whether an exchange occurs with respect to the distributed interests in Partnership that results in a termination of Partnership under � 708(b)(1)(B) of the Internal Revenue Code and a step-up in the basis of its Property? (2) Whether Partnership�s distribution of partnership interests in Lower-Tier 1 and 2, which held newly acquired short-term Debt Instruments contributed by Partnership, should be treated as a distribution of property for purposes of � 731(a) and whatever adjustment is made in Partnership�s inside basis in its Property under � 734?
200219007(PDF, 12K)	5/10/2002
This responds to a ruling request submitted October 5, 2001, by your authorized representatives on behalf of Trusts, requesting an extension of time pursuant to ��301.9100-1 and 301.9100-3 of the Procedure and Administration Regulations for REMICs to make an election under � 860(D)(b)(1) of the Internal Revenue Code of 1986 to be treated as a Real Estate Mortgage Investment Conduit (REMIC) for Year 1 and subsequent taxable years.
200219006(PDF, 25K)	5/10/2002
This letter is in response to your private letter ruling request dated August 22, 2000. The facts, as represented by Taxpayer, are as follows:
200219005(PDF, 38K)	5/10/2002
Issues: Whether expenses in tax years 1996 and 1997 are fully deductible as de minimis fringe benefits.
200219004(PDF, 24K)	5/10/2002
Issues: In determining whether roasting is incidental to a related mining process for depletion purposes under � 613, should the cost of roasting be compared only to the cost leaching or to the cost of all subsequent mining processes?
200219003(PDF, 12K)	5/10/2002
This letter is in response to your letter of September 26, 2001, requesting an extension of time under � 301.9100-1 of the Procedures and Administration Regulations to change a qualified terminable interest property (�QTIP�) election under � 2056(b)(7) of the Internal Revenue Code.
200219002(PDF, 12K)	5/10/2002
This is in response to the ruling request dated June 20, 2000, on behalf of Trust, requesting a ruling regarding the applicability of � 4976 to the payment by Trust of certain amounts to members of Trust (Members). Taxpayer is a Member, and joined in the ruling request by letter dated January 23, 2001. The ruling request was further supplemented by submissions dated March 2, 2001, April 23, 2001, and August 24, 2001.
200219001(PDF, 35K)	5/10/2002
Issues: (1) Whether amounts Taxpayer paid or incurred as depreciation expenses, general and administrative expenses, employee benefit expenses, and travel and entertainment expenses that relate to �self-constructed supplies� are qualified research expenses as defined in Internal Revenue Code � 41(b)? (2) Whether amounts Taxpayer paid or incurred for overhead and other indirect expenses that relate to �self-constructed supplies� are qualified research expenses as defined in I.R.C. � 41(b)? (3) Whether Taxpayer�s financial accounting treatment of depreciation expenses, general and administrative expenses, employee benefit expenses, travel and entertainment expenses, and other indirect expenses paid or incurred related to a �self-constructed supply� determines if such expenses are qualified research expenses as defined in I.R.C. � 41(b)?
200218035(PDF, 15K)	5/3/2002
In a letter, dated March 5, 1998, and prior correspondence, you requested the following rulings concerning the estate, gift, and generation-skipping transfer tax consequences of a judicial construction and modification of a trust that is exempt from the GST tax imposed under Internal Revenue Code � 2601:
200218034(PDF, 22K)	5/3/2002
This letter responds to letter dated July 19, 2001, and additional correspondence, submitted on behalf of the Taxpayer as the Taxpayer�s authorized representatives. The letter requests three rulings under � 1221, 1241, and 453 of the Internal Revenue Code relating to certain payments received by the Taxpayer from Corporation.
200218033(PDF, 9K)	5/3/2002
This letter responds to a letter dated February 14, 2001, and subsequent correspondence submitted on behalf of X, requesting a ruling that X�s rental income from Property 1 through Property 9 (the Properties) is not passive investment income within the meaning of � 1362(d)(3)(C)(i) of the Internal Revenue Code.
200218032(PDF, 8K)	5/3/2002
This is in response to a letter from your authorized representative dated December 27, 2001, requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A�s proposed loss of citizenship (expatriation) will not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code. The information submitted for consideration is substantially as set forth below.
200218031(PDF, 8K)	5/3/2002
This letter responds to your letter, dated December 18, 2001, and related correspondence, written on behalf of X, requesting an extension of time under ��301.9100-1 through 301.9100-3 of the Procedure and Administration Regulations to file an election. X is requesting a ruling that it be granted an extension of time in which to elect to treat its wholly owned subsidiary, Y, as a qualified subchapter S subsidiary under � 1361(b)(3) of the Internal Revenue Code.
200218030(PDF, 6K)	5/3/2002
This responds to a letter dated November 30, 2001, submitted on behalf of X, requesting relief under � 1362(b)(5) of the Internal Revenue Code.
200218029(PDF, 18K)	5/3/2002
This letter is in reply to your letter of October 3, 2001, requesting two rulings. You first requested a ruling that the charitable lead interests in two charitable trusts created under the Restated Trust will constitute unitrust interests within the meaning of � 2055(e)(2)(B) of the Internal Revenue Code and � 20.2055-2(e)(2)(vii) of the Estate Tax Regulations, the value of which, determined under � 20.2055- 2(f)(2)(v), will be deductible under � 2055. We declined to rule on the second request.
200218028(PDF, 8K)	5/3/2002
This is in response to A�s letter submitted on Date B requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A�s loss of long-term resident status did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code. The information submitted for consideration is substantially as set forth below.
200218027(PDF, 25K)	5/3/2002
This letter responds to a letter dated January 11, 2002 submitted on behalf of Taxpayer by its authorized representative, requesting rulings under � 29 of the Internal Revenue Code.
200218026(PDF, 6K)	5/3/2002
This letter responds to your letter dated September 21, 2001, as well as subsequent correspondence, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code regarding Company's late S corporation election.
200218025(PDF, 9K)	5/3/2002
This letter responds to a letter dated August 31, 2001, and subsequent correspondence, requesting on behalf of Company an extension of time pursuant to �� 301.9100-1 through 301.9100-3 of the Procedure and Administration Regulations for Company to elect to treat Subsidiary as a qualified subchapter S subsidiary under � 1361(b)(3) of the Internal Revenue Code.
200218024(PDF, 8K)	5/3/2002
This is in response to a letter from your authorized representative dated December 11, 2001, requesting a ruling that A�s surrender of his U.S. Alien Registration Card (expatriation) did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code. Additional information was submitted in a letter dated January 11, 2002. The information submitted for consideration is substantially as set forth below.
200218023(PDF, 31K)	5/3/2002
We received your letter dated August 6, 2001, and prior correspondence requesting rulings under � 2601 of the Internal Revenue Code. This letter responds to your request.
200218022(PDF, 161K)	5/3/2002
Issues: (1) Whether the Service may challenge Taxpayer�s deductions on the grounds that they derived from transactions that lacked economic substance. (2) Whether the Service can allocate the deductions to Partnership 1, pursuant to the authority granted in � 482 of the Internal Revenue Code. (3) Whether the Service can challenge the deductions on the grounds that the transaction between Partnership 1 and Corporation 1 is not valid under � 351 of the Internal Revenue Code. (4) If the transactions are valid, whether the Service can challenge the deductions on the grounds that any rent payments made by Corporation 1 when it assumed Partnership 1�s obligations are capital expenses of Corporation 1. (5) If the rent payments assumed by Corporation 1 from Partnership 1 are capital expenditures, to what asset would the cost be capitalized and would Corporation 1 be entitled to recover any cost of the asset for any of the years in issue. (6) Whether the Service may challenge the deductions that Taxpayer reported from Corporation 1�s transfers of partial interests in the Long-Term Note 1 to Partnership 4 and Corporation 12 in exchange for their assumption of portions of Corporation 1�s obligations under the Over Lease on the grounds that they do not produce the deductions. (7) Assuming alternatively that Corporation 1 would be entitled to the deductions, may the Service challenge the deductions on the grounds that the economic performance requirements of � 461(h) of the Code were not satisfied. (8) Assuming alternatively that Corporation 1 would be entitled to the deductions, may the Service challenge the deductions, referenced above, on the grounds that they are limited by � 467 of the Code. (9) Whether characterizing the transaction between Partnership 1 and Corporation 1 as an agency arrangement or as a payment by Partnership 1 to Corporation 1 for assuming Partnership 1�s liability under the Over Lease, rather than as a transfer of property in exchange for stock, support the disallowance of the deductions. (10) Whether characterizing the transactions between Corporation 1 and Partnership 4/Corporation 12 as agency arrangements, rather than as payments by Corporation 1 to those entities for assuming Corporation 1�s liability under the Over Lease, support the disallowance of the deductions reported by Taxpayer from those deductions. (11) Whether the Service can take the position that the accuracy related penalty provided by Code � 6662 applies to deficiencies that result from the deductions?
200218021(PDF, 6K)	5/3/2002
This letter responds to your August 24, 2001 request that we supplement our letter ruling dated December 16, 1998 (PLR-116429-98)(the �Original Letter Ruling�). An earlier supplemental letter ruling (PLR-105017-99)(the First Supplemental Letter Ruling�) was issued on June 16, 1999. The Original Letter Ruling and the First Supplemental Letter Ruling are together referred to herein as the �Prior Letter Rulings.� Capitalized terms not defined in this ruling retain the meanings assigned in the Prior Letter Rulings.
200218020(PDF, 13K)	5/3/2002
This letter responds to a letter signed September 17th, 2001, submitted on behalf of Purchaser and Parent, requesting an extension of time under �� 301.9100-1 through 301.9100-3 of the Procedure and Administration Regulations to file an election. Purchaser and Parent are requesting an extension to file a �� 338(h)(10) election� under �� 338(g) and 338(h)(10) of the Internal Revenue Code and � 1.338(h)(10)-1T(c) of the Income Tax Regulations with respect to Purchaser�s acquisition of the stock of Target (sometimes hereinafter referred to as the �Election�), on Date B. (All citations in this letter to regulations under � 338 are to regulations in effect on Date B.) Additional information was received in letter signed on October 30, 2001. The material information is summarized below.
200218019(PDF, 23K)	5/3/2002
This letter responds to your request, dated September 28, 2001, that we rule on certain tax consequences, under � 468A of the Internal Revenue Code, of the transfer of the Plant in the context of a tax-free reorganization intended to qualify under � 351. As set forth below, you have requested rulings regarding the tax consequences to Taxpayer and NuclearCo and their qualified nuclear decommissioning funds.
200218018(PDF, 8K)	5/3/2002
This is in reply to your letter dated August 16, 2001, and subsequent correspondence submitted on behalf of P, requesting a ruling that P be given an extension of time to elect under � 301.7701-3(c) of the Procedure and Administration Regulations to be classified as an association taxable as a corporation for federal tax purposes.
200218017(PDF, 8K)	5/3/2002
This letter responds to a letter dated September 21, 2001, written on behalf of X, requesting a ruling that X be granted consent to make a subchapter S election prior to the termination of the five-year waiting period imposed by � 1362(g) of the Internal Revenue Code.
200218016(PDF, 7K)	5/3/2002
This is in reference to Form 1128, Application to Adopt, Change, or Retain a Tax Year, submitted on behalf of the above-named taxpayer. The taxpayer is requesting permission to change its accounting period, for federal income tax purposes, from a taxable year ending December 31 to a taxable year ending March 31, effective for the tax year ending on March 31, 2001. The taxpayer has requested that the Form 1128 be considered timely filed under the authority contained in � 301.9100-3 of the Procedure and Administration Regulations.
200218015(PDF, 15K)	5/3/2002
This is in response to your letter dated August 28, 2001, requesting an extension of time under � 301.9100-3 of the Procedure and Administration Regulations to make an allocation of the Generation-Skipping Transfer exemption. This letter responds to your request.
200218014(PDF, 20K)	5/3/2002
Issues: (1) Can this transaction be recast as a direct sale of Target stock from its shareholders to Purchaser, and if so, should a separate case be opened against Purchaser? (2) Should cases involving transactions in which intermediaries are used in accelerated lease strip and inflated basis cases, such as this one, be considered listed transactions under Notice 2001-16?
200218013(PDF, 9K)	5/3/2002
This is in reference to a Form 1128, Application to Adopt, Change, or Retain a Tax Year, submitted on behalf of the above-named taxpayer, requesting permission to change its accounting period, for federal income tax purposes, from a taxable year ending March 31 to a taxable year ending October 31, effective. The taxpayer has requested that the Form 1128 be considered timely filed under the authority contained in � 301.9100-3 of the Procedure and Administration Regulations.
200218012(PDF, 15K)	5/3/2002
This is in response to your letter dated August 28, 2001, requesting an extension of time under � 301.9100-3 of the Procedure and Administration Regulations to make an allocation of the Generation-Skipping Transfer exemption. This letter responds to your request.
200218011(PDF, 15K)	5/3/2002
This is in response to your letter dated August 28, 2001, requesting an extension of time under � 301.9100-3 of the Procedure and Administration Regulations to make an allocation of the Generation-Skipping Transfer exemption. This letter responds to your request.
200218010(PDF, 15K)	5/3/2002
This is in response to your letter dated August 28, 2001, requesting an extension of time under � 301.9100-3 of the Procedure and Administration Regulations to make an allocation of the Generation-Skipping Transfer exemption. This letter responds to your request.
200218009(PDF, 19K)	5/3/2002
Issue: Can the Internal Revenue Service currently assess pursuant to the provisions of Internal Revenue Code � 6673(b)(2) the costs awarded against the taxpayer by the federal district court.
200218008(PDF, 17K)	5/3/2002
This letter responds to a letter dated March 5, 2001, and subsequent correspondence, submitted by Trust�s authorized representative, requesting rulings under � 664 of the Internal Revenue Code concerning the effect of a proposed judicial reformation of Trust on the qualification of Trust as a charitable remainder unitrust under � 664.
200218007(PDF, 17K)	5/3/2002
This letter responds to a letter dated June 25, 2001, and subsequent correspondence, submitted on behalf of X by its authorized representative, requesting rulings under �� 1361 and 1362(f) of the Internal Revenue Code.
200218006(PDF, 7K)	5/3/2002
This letter responds to your letter dated August 2, 2001, requesting a ruling on behalf of Company under Internal Revenue Code � 1362(b)(5).
200218005(PDF, 17K)	5/3/2002
Issues: (1) Under � 6402, may Corporation A receive a refund of the money that an employee of Corporation A fraudulently paid from Corporation A�s checking account to the Service for purported tax liabilities of Corporation B? (2) If Corporation A can receive a refund under � 6402, what is the limitation on that refund under � 6511?
200218004(PDF, 36K)	5/3/2002
Issues: Would a court regard this as a tainted tax shelter or as a legitimate use of Subsidiary�s capital to engage in the purchase of Parent�s stock which was followed by the redemption of almost all of such stock for a convertible note; and the sale of the retained shares? The note was subsequently converted for more shares than were originally purchased.
200218003(PDF, 33K)	5/3/2002
This memorandum responds to your request dated October 22, 2001 for our comments. Specifically, you requested that we consider the computation of the TPT credit under � 2013, where an interest in qualified terminable interest property (QTIP), as described in � 2056(b)(7), is transferred from Transferor to Spouse. You also requested that we consider whether Spouse�s right to receive corpus, pursuant to the trustee�s power to invade the trust to provide for Spouse�s health, maintenance, and support is an interest that is taken into account in determining the value of property transferred to Spouse under � 2013.
200218002(PDF, 8K)	5/3/2002
This is in response to your letter dated August 3, 2001, requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A�s loss of U.S. citizenship will not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code.
200218001(PDF, 23K)	5/3/2002
This is in response to your letter requesting on behalf of Husband and Wife 1) an extension of time under � 301.9100-1 of the Procedure and Administration Regulations to make an allocation of generation-skipping transfer exemption described under �� 2642(b)(1) and 2642(g)(1) of the Internal Revenue Code and 2) a ruling under � 25.2513-1(b)(4) of the Gift Tax Regulations.
200217055(PDF, 15K)	4/26/2002
Issue: What are the parameters of an individual�s conduct which may result in the denial of participation in the IRS e-file Program (�Program�).
200217054(PDF, 6K)	4/26/2002
We received a letter from Taxpayer�s authorized representative requesting permission for Taxpayer to revoke its election under � 41(c)(4) of the Internal Revenue Code. This letter responds to that request.
200217053(PDF, 6K)	4/26/2002
This responds to your letter dated November 26, 2001, submitted on behalf of X, requesting an extension of time under � 301.9100-1(c) of the Procedure and Administration Regulations to elect to treat Y as a qualified subchapter S subsidiary under � 1361(b)(3) of the Internal Revenue Code.
200217052(PDF, 28K)	4/26/2002
This letter is in reply to your letter dated June 11, 2001, as well as subsequent materials furnished to this office on November 7, 2001, and November 20, 2001.
200217051(PDF, 33K)	4/26/2002
This letter responds to your letter dated September 17, 2001, which requests rulings on certain Federal income tax consequences of a proposed and partially completed transaction. Additional information was submitted in letters dated October 19, 2001, December 12, 2001, January 4, 2002, January 15, 2002, January 21, 2002, and January 24, 2002. The information submitted for our review is summarized below.
200217050(PDF, 6K)	4/26/2002
This responds to your letter dated, July 31, 2001 in which you requested relief under � 1362(b)(5) of the Internal Revenue Code.
200217049(PDF, 5K)	4/26/2002
This letter responds to a letter from X, dated September 20, 2001, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200217048(PDF, 16K)	4/26/2002
We received your letter, dated August 27, 2001, submitted on behalf of Company, requesting rulings under � 1361 and 1362 of the Internal Revenue Code. This responds to your request.
200217047(PDF, 9K)	4/26/2002
This is in reference to a Form 1128, Application to Adopt, Change, or Retain a Tax Year, submitted on behalf of the above-named taxpayer, requesting permission to change its accounting period, for federal income tax purposes, from a taxable year ending January 31, to a taxable year ending December 31, effective The taxpayer has requested that the Form 1128 be considered timely filed under the authority contained in � 301.9100-3 of the Procedure and Administration Regulations.
200217046(PDF, 6K)	4/26/2002
This letter responds to your letter, dated July 30 2001, and subsequent correspondence on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200217045(PDF, 11K)	4/26/2002
This responds to a letter dated September 28, 2001, together with subsequent correspondence, submitted on behalf of X, requesting a ruling that X�s revenues from its crop-sharing farming arrangement will not be classified as passive investment income within the meaning of �1362 of the Internal Revenue Code.
200217044(PDF, 9K)	4/26/2002
We respond to your letter dated November 29, 2001, requesting rulings as to the federal income tax consequences of a proposed transaction. Additional information was submitted in letters dated January 17 and 23, 2002. The information submitted is summarized below.
200217043(PDF, 8K)	4/26/2002
This is in response to A�s letter dated September 17, 2001 requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A�s loss of long-term resident status did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code. The information submitted for consideration is substantially as set forth below.
200217042(PDF, 10K)	4/26/2002
This is in reply to your letter, dated Date 4, requesting a ruling regarding the application of � 216(b) of the Internal Revenue Code to Corporation.
200217041(PDF, 6K)	4/26/2002
This responds to your letter dated September 13, 2001, submitted on behalf of X, requesting a ruling under �1362(b)(5) of the Internal Revenue Code.
200217040(PDF, 6K)	4/26/2002
This letter responds to a letter dated July 20, 2001, and subsequent correspondence, submitted on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200217039(PDF, 9K)	4/26/2002
This is in reply to a letter dated August 17, 2001, and subsequent correspondence, submitted by your authorized representative, requesting a ruling that certain identified short sales with respect to Stock will continue to fall within the exception to � 1259 of the Internal Revenue Code provided in � 1001(d)(2) of the Taxpayer Relief Act of 1997 (Public Law 105-34).
200217038(PDF, 6K)	4/26/2002
This letter responds to a letter dated September 20, 2001, requesting a ruling on behalf of Company under � 1362(b)(5) of the Internal Revenue Code.
200217037(PDF, 22K)	4/26/2002
In a letter dated September 28, 2001, you requested rulings concerning the income and generation-skipping transfer (�GST�) tax consequences of a judicial division and modification of an irrevocable trust into two separate and equal successor trusts. This letter responds to your request.
200217036(PDF, 22K)	4/26/2002
In a letter dated September 28, 2001, you requested rulings concerning the income and generation-skipping transfer (�GST�) tax consequences of a judicial division and modification of an irrevocable trust into two separate and equal successor trusts. This letter responds to your request.
200217035(PDF, 18K)	4/26/2002
This is in response to your letter dated June 28, 2001, submitted on behalf of Trustee, requesting a ruling regarding the generation-skipping transfer tax consequences of a proposed modification to a trust.
200217034(PDF, 9K)	4/26/2002
This responds to your letter dated December 11, 2001, submitted on behalf of X, requesting a ruling that the rental income received by X from renting certain properties is not passive investment income within the meaning of � 1362(d)(3) of the Internal Revenue Code.
200217033(PDF, 5K)	4/26/2002
This responds to a letter dated September 12, 2001, submitted on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200217032(PDF, 6K)	4/26/2002
This responds to your letter dated, December 4, 2001, submitted on behalf of X, in which you requested relief under � 1362(b)(5) of the Internal Revenue Code.
200217031(PDF, 50K)	4/26/2002
Issues: (1) Whether the claimed deductions of a royalty payment from parent Taxpayer to the Partnership is a partnership item, if Corporation X, a subsidiary of Taxpayer is a partner in the Partnership? (2) Whether the claimed deduction of a royalty payment is an affected item if the royalty payment is disallowed. (3) Whether legal and factual determinations related to the background of the Partnership, and relevant to the disallowance of the royalty payment, are partnership items, or may be determined in a deficiency proceeding against Taxpayer. (4) Whether the TEFRA statute of limitations on assessments under � 6229 applies to items that are not partnership items or affected items.
200217030(PDF, 8K)	4/26/2002
This letter responds to a letter dated September 28, 2001, and subsequent correspondence, requesting on behalf of Company an extension of time pursuant to �� 301.9100-1 through 301.9100-3 of the Procedure and Administration Regulations for Company to elect to treat Subsidiary as a qualified subchapter S subsidiary under � 1361(b)(3) of the Internal Revenue Code.
200217029(PDF, 6K)	4/26/2002
This responds to your letter dated, November 7, 2001 in which you requested relief under � 1362(b)(5) of the Internal Revenue Code, on behalf of X.
200217028(PDF, 6K)	4/26/2002
This responds to your letter dated, November 2, 2001 in which you requested relief under � 1362(b)(5) of the Internal Revenue Code.
200217027(PDF, 8K)	4/26/2002
This responds to a letter dated November 20, 2001, and subsequent correspondence, submitted on behalf of X, requesting relief under � 1362(b)(5) of the Internal Revenue Code.
200217026(PDF, 6K)	4/26/2002
This letter is in response to your request, dated November 9, 2001, on behalf of X, asking for a written determination granting relief under � 1362(b)(5) of the Internal Revenue Code.
200217025(PDF, 33K)	4/26/2002
Issues: (1) Whether dealer participation in the finance income of retail installment sales contracts (RISC�s), paid by B to independent A retail dealers, must be capitalized and amortized over the life of the RISC. (2) If an adjustment is made to amortize the dealer participation fees over the life of the RISC, is the examination division required to make this change in accounting method in the earliest year with the � 481 adjustment in the year of change, or does it have discretion to enter into an agreement with A for an alternative method of allocating a � 481 adjustment, as proposed by A?
200217024(PDF, 37K)	4/26/2002
Issues: (1) Whether the purported sale/leaseback transaction entered into by Taxpayer Group was devoid of economic substance and therefore should be disregarded for federal income tax purposes. (2) If so, whether Taxpayer Group is nevertheless entitled to deduct depreciation expenses on the leasehold improvements purportedly sold, and interest expenses for interest paid, in substance, two unrelated third parties. (3) Alternatively, whether the transaction should be recharacterized as a financing device. (4) In either event, whether Taxpayer Group is entitled to deduct or amortize the promoter fees it incurred in connection with the transaction.
200217023(PDF, 9K)	4/26/2002
This letter responds to a letter dated November 6, 2000, and subsequent correspondence submitted on behalf of X, requesting a ruling that X�s rental income from Properties is not passive investment income within the meaning of � 1362(d)(3)(C)(i) of the Internal Revenue Code.
200217022(PDF, 31K)	4/26/2002
Issue: What is the allowable estate tax deduction under � 2053(a)(3) when the estate denied claims filed in probate for a wrongful death lawsuit and the estate ultimately settled its portion of the claim for $w?
200217021(PDF, 110K)	4/26/2002
This Field Service Advice responds to your memorandum dated September 6, 2001. Field Service Advice is not binding on Examination or Appeals and is not a final case determination. This document is not to be used or cited as precedent.
200217020(PDF, 8K)	4/26/2002
This letter responds to your submission on behalf of Company dated September 7, 2001, requesting a ruling that Company be given an extension of time under � 301.9100-3 of the Procedure and Administration Regulations to file a Form 8832 to change its classification pursuant to � 301.7701-3(c) effective for Date 1.
200217019(PDF, 18K)	4/26/2002
In accordance with the coordination procedure established between the Service and the Railroad Retirement Board (RRB), the RRB has provided us with its opinion that the following business is not an employer under the Railroad Retirement Act and the Railroad Unemployment Insurance Act:
200217018(PDF, 6K)	4/26/2002
This letter responds to a letter, dated August 2, 2001 and subsequent correspondence by your authorized representative on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200217017(PDF, 32K)	4/26/2002
Issues: (1) Whether Internal Revenue Code � 6201(a)(1) authorized the Service�s assessment pursuant to the amended return filed by taxpayers. (2) Whether the amended return filed by the taxpayers constitutes a waiver of the restrictions on assessment. (3) Whether the taxpayers had an opportunity to dispute the tax liability during the pendency of the prior Tax Court case and are now precluded by I.R.C. � 6330(c)(2)(B) from arguing that the assessment violated I.R.C. � 6213(a). (4) Whether taxpayers are equitably estopped from contesting the validity of the assessment due to taxpayers� prior position taken in the stipulated settlement. (5) Whether the stipulated settlement that incorporated the assessment is a valid contract.
200217016(PDF, 11K)	4/26/2002
This responds to your letter dated, December 11, 2001 in which you requested relief under � 1362(b)(5) of the Internal Revenue Code.
200217015(PDF, 6K)	4/26/2002
This letter responds to your letter, dated August 24, 2001, submitted by your authorized representative on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200217014(PDF, 5K)	4/26/2002
This letter responds to a letter dated September 13, 2001, and subsequent correspondence, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200217013(PDF, 9K)	4/26/2002
This letter responds to your authorized representative�s letter dated October 5, 2001, and subsequent correspondence, submitted on behalf of Taxpayer, requesting a ruling that redemption of the Project's tax-exempt financing at any time after the date on which the Project is placed in service for all purposes under � 42 of the Internal Revenue Code will not, in and of itself, result in a determination that the Project was not financed by tax-exempt bonds for purposes of � 42(h)(4)(B).
200217012(PDF, 8K)	4/26/2002
This letter responds to a letter dated September 11, 2001, from your authorized representative, as well as subsequent correspondence, requesting a ruling that the rental income received by Company from the Property is not passive investment income within the meaning of � 1362(d)(3)(C)(i) of the Internal Revenue Code.
200217011(PDF, 14K)	4/26/2002
This is in reply to a letter dated May 17, 2001, together with subsequent correspondence, submitted on behalf of X, requesting rulings under ��1361(d)(3) and 1362(f) of the Internal Revenue Code.
200217010(PDF, 13K)	4/26/2002
This is in reply to a letter dated May 25, 2001, together with subsequent correspondence, submitted on behalf of X, requesting rulings under ��1361(d)(3) and 1362(f) of the Internal Revenue Code.
200217009(PDF, 26K)	4/26/2002
Issue: Whether any portion of the income earned from X�s existing patient base as of the ownership change date should be treated as recognized built-in gain (�RBIG�) for purposes of � 382(h)(6) of the Internal Revenue Code.
200217008(PDF, 8K)	4/26/2002
This letter responds to a letter dated November 6, 2000, and subsequent correspondence submitted on behalf of X, requesting a ruling that X�s rental income from Properties is not passive investment income within the meaning of � 1362(d)(3)(C)(i) of the Internal Revenue Code.
200217007(PDF, 36K)	4/26/2002
Issue: Under the cInternal Revenue Codeumstances described below, should the cost of computer equipment provided to customers without charge be capitalized?
200217006(PDF, 20K)	4/26/2002
This letter responds to your July 2, 2001 request for rulings regarding certain federal income tax consequences of a proposed transaction. The information submitted in that request and in later correspondence is summarized below.
200217005(PDF, 29K)	4/26/2002
This is in response to your memorandum, dated October 29, 2001, requesting advice regarding whether the Service could credit a refund due to a nonbankrupt subsidiary to anticipated assessments to be made against the consolidated group, where the subsidiary�s parent is in bankruptcy. In accordance with Internal Revenue Code � 6110(k)(3), this Chief Counsel Advice should not be cited as precedent.
200217004(PDF, 5K)	4/26/2002
This letter responds to a letter dated August 2, 2001, and subsequent correspondence, requesting a ruling on behalf of Corporation under � 1362(b)(5) of the Internal Revenue Code.
200217003(PDF, 28K)	4/26/2002
Issues: (1) Whether the individual taxpayer or the bankruptcy estate accrued the flow-through losses of Subchapter S corporations for the period from the beginning of the corporate tax year until the day the taxpayer�s Chapter 7 bankruptcy petition was filed? (2) Was the taxpayer entitled to use such losses after the termination of the bankruptcy case?
200217002(PDF, 75K)	4/26/2002
Issues: (1) Whether income, gains, and losses with respect to certain notional principal contracts and other derivative products entered onto the books of B, a dealer in derivatives and a wholly-owned U.S. subsidiary of Taxpayer, are sourced under Treasury Regulation �1.988-4. (2) Whether B has a separate qualified business unit (�QBU�) within the meaning of �1.989(a)-1 with respect to the derivative transactions that were entered on B�s books and records through the regular and continuous exercise of contractual authority by C, a foreign subsidiary of Taxpayer located in Country A. (3) If B has a separate QBU with respect to the transactions entered into on its behalf by C, in what country is the QBU resident? If the separate QBU of B is resident in Country A, what is the source of income, gains, and losses with respect to such transactions booked in B? (4) How are such transactions required to be taken into account for purposes of determining Taxpayer�s interest expense allocation for foreign tax credit purposes under � 864(e) and the regulations thereunder?
200217001(PDF, 45K)	4/26/2002
Issue: Whether a portion of certain damages recovered by Taxpayer in connection with the settlement of state court action brought for breach of contract and tortious interference with a supply contract are eligible for nonrecognition treatment under Internal Revenue Code � 1033.
200216031(PDF, 9K)	4/19/2002
This is in reply to a letter dated October 9, 2001, requesting a ruling on behalf of Funds. Funds request a ruling granting permission for the tax year ended December 31, 2001, and subsequent calendar years, to revoke elections under � 4982(e)(4)(A) of the Internal Revenue Code to use Funds� tax year (the calendar year) in lieu of the 1-year period ending October 31, for purposes of calculating their required distribution amounts under � 4982(b)(1)(B) and � 4982(e)(2). Further, Funds request a ruling that the calculation of their required distributions of capital gain net income under � 4982(e)(2) for the calendar year ending December 31, 2001, shall be determined based on the 10-month period beginning on January 1, 2001, and ending on October 31, 2001.
200216030(PDF, 33K)	4/19/2002
Issues: (1) Should an oil and gas producer who owns an offshore drilling platform classify that platform in asset class 13.0, Offshore Drilling, or asset class 13.2, Exploration for and Production of Petroleum and Natural Gas Deposits, of Rev. Proc. 87-56, 1987-2 C.B. 674, for depreciation purposes? (2) If the answer to Issue 1 is asset class 13.0, does the asset classification of the platform change to asset class 13.2 if and when the drilling platform becomes a production platform?
200216029(PDF, 14K)	4/19/2002
Issue: Whether Treasury Regulation � 46.6001-4 (Records required with respect to foreign insurance policies.) remains a valid regulation under current law.
200216028(PDF, 21K)	4/19/2002
Issue: If the Internal Revenue Service makes an assessment against a disregarded LLC and provides a collection due process (�CDP�) notice to the disregarded LLC, must the Service Issue: a separate CDP notice to the single member owner if the Service adds his name to the assessment ?
200216027(PDF, 3K)	4/19/2002
This technical advice memorandum (TAM) modifies TAM 200043016 (July 14, 2000) to make it consistent with Revenue Ruling 2002-9, 2002-10 I.R.B. 614, as it applies to the issue of impact fees.
200216025(PDF, 12K)	4/19/2002
This is in response to a letter dated July 18, 2001, from your authorized representative requesting rulings under � 892 and 1441 of the Internal Revenue Code. Additional information was provided in letters dated September 13, 2001 and November 1, 2001. The information submitted for consideration is substantially as set forth below.
200216024(PDF, 7K)	4/19/2002
This replies to your letter dated September 20, 2001, submitted on behalf of Taxpayer, requesting that Taxpayer be granted an extension of time under Treasury Regulation � 301.9100-3 to file the elections required under � 1.1503-2(g)(2)(i) with respect to the dual consolidated losses of Subsidiary occurring in the tax years ended on Dates A and B, and to file the annual certification required under � 1.1503-2(g)(2)(vi)(B) with respect to the Date A losses, which was required to be filed with the tax return for the tax year ended on Date B. The information submitted for consideration is substantially as set forth below.
200216023(PDF, 8K)	4/19/2002
This replies to a letter dated July 2, 2001, submitted on behalf of Taxpayer, requesting that Taxpayer be granted an extension of time under Treasury Regulation � 301.9100-3 to file the agreement required under � 1.1503-2(g)(2)(i) as follows: (i) with respect to the tax year ended on Date A, the A year loss incurred by Entity 1; (ii) with respect to the tax year ended on Date B, the B year losses incurred by Entities 1 and 2; (iii) with respect to the tax year ended on Date C, the C year losses incurred by Entities 1, 2 and 3; and to file the annual certification required under � 1.1503-2(g)(2)(vi)(B) as follows: (vi) with respect to the tax year ended on Date B, the A year loss of Entity 1; (ii) with respect to the tax year ended on Date C, the A and B years losses of Entity 1, and the B year loss of Entity (2) The information submitted for consideration is substantially as set forth below.
200216022(PDF, 43K)	4/19/2002
Issues: (1) Whether USParent�s controlled foreign corporations (�CFCs�) should be treated as indirectly guaranteeing their United States parent�s debt for purposes of � 956(a) and (d) under the Year 1 financing arrangements described below. (2) Whether the proposed adjustment under � 956 may exceed the total amount of Bank�s loans to USParent because of the contracts entered into by Bank with each of USParent�s CFCs.
200216021(PDF, 8K)	4/19/2002
This is in response to a letter dated November 15, 2001, by A�s authorized representative requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A�s loss of long-term resident status did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code. The information submitted for consideration is substantially as set forth below.
200216020(PDF, 9K)	4/19/2002
This is in response to a letter November 15, 2001, submitted by A�s authorized representative requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A�s loss of long-term resident status did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code.
200216019(PDF, 8K)	4/19/2002
This is in response to a letter of Date B, by A's authorized representative requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A's loss of long-term resident status did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code.
200216018(PDF, 43K)	4/19/2002
Issue: Whether "supervisory goodwill" qualifies as "money or other property" for purposes of § 597 of the Code? Supervisory goodwill is a creature of regulatory accounting principles although it bears a nexus to the generally accepted accounting principles ("GAAP") asset of "purchased goodwill" that results under the purchase method of accounting upon the acquisition of one corporation by another.
200216017(PDF, 20K)	4/19/2002
Issues: (1) Whether Company is entitled to overpayment interest on abated deficiency interest before Date (8) (2) Whether Company may apply overpayment interest as a credit in full payment of a subsequent deficiency arising from a carry back recoupment for the same year and type of tax.
200216016(PDF, 43K)	4/19/2002
In accordance with � 8.07(2)(a) of Rev. Proc. 2002-1, 2002-1 I.R.B. 1, this Chief Counsel Advice advises you that consent for a change in accounting method has been denied to a taxpayer within your jurisdiction. Pursuant to � 6110(k)(3) of the Internal Revenue Code, this Chief Counsel Advice should not be cited as precedent.
200216015(PDF, 35K)	4/19/2002
This letter responds to a letter dated October 5, 2000, and subsequent correspondence, submitted on behalf of P by its authorized representatives, requesting rulings under � 29 and � 702 of the Internal Revenue Code.
200216014(PDF, 7K)	4/19/2002
This replies to your letter dated October 5, 2001, submitted on behalf of Taxpayer, requesting that Taxpayer be granted an extension of time under Treasury Regulation � 301.9100-3 to file the annual certifications required under � 1.1503-2(g)(2)(vi)(B) with respect to the losses of Foreign Branch for the tax years ended on Dates A through F, which should have been included with the consolidated income return of Taxpayer for the short tax period ending on Date G. The information submitted for consideration is substantially as set forth below.
200216013(PDF, 36K)	4/19/2002
This letter is in response to your request for a private letter ruling dated January 18, 2001. The facts are as follows:
200216012(PDF, 12K)	4/19/2002
This is in response to the taxpayer�s letter dated September 21, 2001. The taxpayer requested an extension of time to make a late election to include part of net capital gains from the dispositions of property held for investment in investment income under �� 163(d)(1) and 163(d)(4)(B) of the Internal Revenue Code for years 1 and (2) The request to make the late election is based on �� 301.9100-1 and 301.9100-3 of the Procedure and Administration Regulations.
200216011(PDF, 35K)	4/19/2002
This letter responds to a letter dated February 2, 2000, and subsequent correspondence, submitted on behalf of P by its authorized representatives, requesting rulings under � 29 and � 702 of the Internal Revenue Code.
200216010(PDF, 9K)	4/19/2002
This responds to your letter dated October 5, 2001, in which you requested a ruling that premiums received by Taxpayer on policies of insurance or reinsurance of U.S. risks are exempt from the insurance excise tax imposed by � 4371 of the Internal Revenue Code of 1986, as amended , pursuant to the United States-Ireland Income Tax Convention (the �Treaty�).
200216009(PDF, 12K)	4/19/2002
This letter responds to a letter dated September 21, 2001, submitted on behalf of Parent and Shareholder A, Shareholder B, Shareholder C, Shareholder D and Shareholder E (collectively, the �Sellers�), requesting an extension of time under �� 301.9100-1 through 301.9100-3 of the Procedure and Administration Regulations to file an election. Parent and the Sellers are requesting an extension to file a �� 338(h)(10) election� under �� 338(g) and 338(h)(10) of the Internal Revenue Code and � 1.338(h)(10)-1T(c) of the Income Tax Regulations with respect to Purchaser�s acquisition of the stock of Target (sometimes hereinafter referred to as the �Election�), on Date A. (All citations in this letter to regulations under � 338 are to regulations in effect on Date A.) Additional information was received in a letter dated October 18, 2001. The material information is summarized below.
200216008(PDF, 15K)	4/19/2002
This letter responds to a letter dated January 12, 2001, and subsequent correspondence, written on behalf of X, requesting inadvertent termination relief under � 1362(f).
200216007(PDF, 18K)	4/19/2002
Issues: Whether the assessment of tax liabilities reflected on Forms 870, �Waiver of Restrictions on Assessment & Collection of Deficiency in Tax & Acceptance of Overassessment,� terminated Forms 872-A, �Special Consent to Extend the Time to Assess Tax� corresponding to the same taxable years.
200216006(PDF, 20K)	4/19/2002
This letter responds to your September 10, 2001 request for rulings on certain aspects of a proposed transaction. Additional information was submitted in letters dated November 20, 2001, December 19, 2001, and January 2, 2002. The information submitted in such request and subsequent correspondence is summarized below.
200216005(PDF, 25K)	4/19/2002
Issues: Whether Partnership 1 is eligible to make a � 761(a) election to be excluded from the application of the provisions of subchapter K of Chapter 1 of the Internal Revenue Code and the requirements of the unified audit and litigation proceedings of � 6221 through 6234 (TEFRA).
200216004(PDF, 34K)	4/19/2002
This letter responds to a letter dated February 16, 2000, and subsequent correspondence, submitted on behalf of P by its authorized representatives, requesting rulings under �� 29 and 702 of the Internal Revenue Code.
200216003(PDF, 34K)	4/19/2002
This letter responds to a letter dated October 5, 2000, and subsequent correspondence, submitted on behalf of P by its authorized representatives, requesting rulings under �� 29 and 702 of the Internal Revenue Code.
200216002(PDF, 12K)	4/19/2002
This letter responds to a letter dated August 16, 2000, and subsequent correspondence, submitted on behalf of P by its authorized representative, requesting rulings under � 29 of the Internal Revenue Code.
200216001(PDF, 10K)	4/19/2002
This is in reply to your letter dated June 1, 2001, requesting rulings concerning the deduction limitation of � 162(m) of the Internal Revenue Code. The facts, as represented by Acquiring, are as follows.
200215053(PDF, 36K)	4/12/2002
This responds to your request for our review of the issues raised by a proposed employment tax audit of a law firm. The proposed employment tax audit would focus on whether certain attorneys, referred to as �Of Counsel� attorneys, were classified correctly by the firm as partners or were actually employees. Because the firm classified the attorneys as partners, the firm did not treat the attorneys as employees and did not withhold or pay any employment taxes on payments made to those attorneys. In accordance with Internal Revenue Code � 6110(k)(3), this memorandum should not be cited as precedent.
200215052(PDF, 15K)	4/12/2002
Issue: Whether the Internal Revenue Service violates the automatic stay by refiling a notice of federal tax lien after a bankruptcy petitioner has been filed in a jurisdiction different from where the original notice was filed when a taxpayer acquired real property in the new jurisdiction prior to the bankruptcy petition.
200215051(PDF, 29K)	4/12/2002
This Chief Counsel Advice responds to your inquiry dated October 12, 2001. In accordance with Internal Revenue Code � 6110(k)(3), this Chief Counsel Advice should not be cited as precedent.
200215050(PDF, 16K)	4/12/2002
Issues: (1) Whether the CSED is suspended until 30 days after the date of a notice of determination or until 90 days after the date of the dismissal of the untimely petition to Tax Court where the taxpayer files an untimely petition and the Service moves to dismiss for lack of jurisdiction. (2) Whether the CSED is suspended in cases dismissed by the Tax Court due to an imperfect petition until 90 days after the date of the dismissal.
200215049(PDF, 14K)	4/12/2002
This letter responds to your December 22, 2000 request for rulings regarding the federal income tax consequences of a proposed transaction. The following information is contained in your letter and subsequent correspondence.
200215048(PDF, 52K)	4/12/2002
Advice has been requested whether a hospital may be organized and operated exclusively for the benefit of, to perform the functions of, or carry out the purposes of a university and, thereby, qualify as a supporting organization of such university for purposes of Internal Revenue Code � 3121(b)(10)(B).
200215047(PDF, 9K)	4/12/2002
This letter responds to your July 25, 2001, request (as supplemented by additional submissions) for rulings concerning the federal income tax consequences of a proposed transaction.
200215046(PDF, 6K)	4/12/2002
This letter responds to a letter dated March 6, 2000, together with subsequent correspondence, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200215045(PDF, 9K)	4/12/2002
This responds to your letter dated, October 2, 2001, together with subsequent correspondence, in which you requested a ruling that X�s rental income from certain properties is not passive investment income within the meaning of � 1362(d)(3)(C)(i) of the Internal Revenue Code.
200215044(PDF, 9K)	4/12/2002
This is in response to your letter dated October 30, 2001, requesting a ruling under � 877(c) of the Internal Revenue Code of 1986 that A�s loss of U.S. citizenship (expatriation) did not have for one of its principal purposes the avoidance of U.S. taxes under subtitle A or subtitle B of the Code. Additional information was submitted in a letter dated January 9, 2002. The information submitted for consideration is substantially as set forth below.
200215043(PDF, 10K)	4/12/2002
This letter responds to a letter dated July 10, 2001, submitted on behalf of X requesting a ruling under � 1362(f) of the Internal Revenue Code.
200215042(PDF, 11K)	4/12/2002
This letter responds to your letter dated June 13, 2001, and subsequent correspondence, submitted by you as the authorized representative of Trust, requesting a ruling under � 664 of the Internal Revenue Code concerning the effect of the reformation of Trust.
200215041(PDF, 6K)	4/12/2002
This letter is in response to your request for a written determination, dated November 21, 2001, on behalf of X, seeking relief under � 1362(b)(5) of the Internal Revenue Code.
200215040(PDF, 6K)	4/12/2002
This letter responds to a letter dated November 8, 2001, submitted on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200215039(PDF, 6K)	4/12/2002
This responds to a letter dated December 5, 2001, submitted on behalf of X, requesting relief under � 1362(b)(5) of the Internal Revenue Code.
200215038(PDF, 6K)	4/12/2002
This letter responds to your letter, dated August 28, 2001, submitted on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200215037(PDF, 56K)	4/12/2002
This is in response to a letter dated August 16, 2001, submitted on behalf of Taxpayer requesting a ruling that consideration received for rights to sell power to an electric utility at above-market rates qualifies as gain from the sale or exchange of property within the meaning of �� 1221, 1222, and 1231 of the Internal Revenue Code. The information submitted in that request and in later correspondence is summarized below.
200215036(PDF, 11K)	4/12/2002
This is in response to your request for a ruling that exclusive �discounts� provided to shareholders of Corporation for (i) food and beverage purchases, (ii) annual golf membership dues, (iii) cart rental fees, and (iv) range fees do not constitute constructive dividends.
200215035(PDF, 6K)	4/12/2002
This written determination is in response to your request on behalf of X, dated October 2, 2001, for a ruling granting X relief under � 1362(b)(5) of the Internal Revenue Code.
200215034(PDF, 21K)	4/12/2002
This is in response to the letter, dated September 20, 2001, in which Distributing, Controlled, Shareholder C and Shareholder H (collectively, the �Taxpayers�), request rulings regarding the federal income tax consequences of a proposed transaction.
200215033(PDF, 6K)	4/12/2002
This responds to a letter dated September 10, 2001, submitted by A, X�s president and sole shareholder, on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200215032(PDF, 34K)	4/12/2002
This is in response to your letter requesting rulings concerning the Federal income and gift tax treatment of the proposed transfer to a qualified charitable remainder unitrust.
200215031(PDF, 30K)	4/12/2002
This is in response to your authorized representative�s letter dated September 7, 2001, requesting rulings under � 355 of the Internal Revenue Code with respect to a proposed series of transactions (the �Ruling Request�). Additional information was received in subsequent letters submitted by mail and facsimile.
200215030(PDF, 8K)	4/12/2002
This letter responds to your submission dated January 30, 2001, and subsequent correspondence, requesting a ruling under � 301.9100-3 of the Procedure and Administration Regulations that Company be permitted to file a Form 8832 to elect its classification pursuant to � 301.7701-3(c) effective for Date.
200215029(PDF, 7K)	4/12/2002
This letter responds to your letter, dated September 18, 2001, on behalf of X, requesting an extension of time for X to elect to be treated as a disregarded entity under � 301.7701-3 of the Procedure and Administration regulations.
200215028(PDF, 8K)	4/12/2002
This letter responds to your submission dated March 15, 2001, and subsequent correspondence, requesting a ruling under � 301.9100-3 of the Procedure and Administration Regulations that Company be permitted to file a Form 8832 to change its classification pursuant to � 301.7701-3(c) effective for Date 3.
200215027(PDF, 23K)	4/12/2002
This letter is in reply to your letter dated March 13, 2001, requesting rulings as to the federal income tax consequences of a proposed transaction. Additional information was submitted in letters dated July 31, 2001, August 3, 2001 and August 23, 2001, October 25, 2001, November 19, 2001, and January 10, 2002.
200215026(PDF, 22K)	4/12/2002
This responds to your letter dated January 3, 2002, and prior correspondence, requesting an extension of time under �� 301.9100-1 and 301.9100-3 of the Procedure and Administration Regulations to sever a trust pursuant to � 26.2654-1(b)(1) of the Generation-Skipping Transfer Tax (�GSTT�) Regulations, and to make a �reverse� qualified terminable interest property (�QTIP�) election under � 2652(a)(3) of the Internal Revenue Code.
200215025(PDF, 15K)	4/12/2002
This is in response to your submission dated March 6, 2001 and subsequent correspondence, in which you requested an extension of time under � 301.9100-1 of the Procedure and Administration Regulations to make a qualified terminable interest property (QTIP) election under � 2056(b)(7) of the Internal Revenue Code and a reverse QTIP election under � 2652.
200215024(PDF, 7K)	4/12/2002
This letter responds to a letter dated June 25, 2001, and subsequent correspondence, submitted on behalf of X, requesting a ruling that it be granted an extension of time pursuant to � 301.9100-3 of the Procedure and Administration Regulations in which to elect to be treated as a partnership for federal tax purposes under � 301.7701-3(c).
200215023(PDF, 7K)	4/12/2002
This letter responds to a letter dated June 25, 2001, and subsequent correspondence, submitted on behalf of X, requesting a ruling that it be granted an extension of time pursuant to � 301.9100-3 of the Procedure and Administration Regulations in which to elect to be treated as a partnership for federal tax purposes under � 301.7701-3(c).
200215022(PDF, 7K)	4/12/2002
This letter responds to a letter dated June 25, 2001, and subsequent correspondence, submitted on behalf of X, requesting a ruling that it be granted an extension of time pursuant to � 301.9100-3 of the Procedure and Administration Regulations in which to elect to be treated as a partnership for federal tax purposes under � 301.7701-3(c).
200215021(PDF, 5K)	4/12/2002
This responds to a letter dated September 10, 2001, submitted by X�s authorized representative, on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200215020(PDF, 29K)	4/12/2002
Issues: (1) If the sale of the contract rights at fair market value would have resulted in gain, would any portion of the gain be ordinary income or gain that was not long-term capital gain? (2) Even if the contract rights would have resulted in long-term capital gain if exchanged for cash or other property, is Taxpayer�s method of valuation of the rights at issue correct?
200215019(PDF, 28K)	4/12/2002
Issue: Whether � 933 prohibits the United States from taxing a lump-sum distribution from a Puerto Rican pension plan to a citizen and resident of the United States who was a bona fide resident of Puerto Rico for a period of at least two years before his change of residence from Puerto Rico.1
200215018(PDF, 8K)	4/12/2002
This letter responds to your June 14, 2001 request for a ruling under � 305 of the Internal Revenue Code. The information submitted in that letter and in subsequent correspondence is summarized below.
200215017(PDF, 33K)	4/12/2002
This letter responds to a letter dated January 20, 2000, and subsequent correspondence, submitted on behalf of P by its authorized representatives, requesting rulings under �� 29 and 702 of the Internal Revenue Code.
200215016(PDF, 8K)	4/12/2002
This letter responds to your June 14, 2001 request for a ruling under � 305 of the Internal Revenue Code. The information submitted in that letter and in subsequent correspondence is summarized below.
200215015(PDF, 8K)	4/12/2002
This letter responds to your request for a written determination, dated September 4, 2001, submitted on behalf of X, seeking a ruling that X be granted an extension of time pursuant to � 301.9100 of the Procedure and Administration Regulations to file a corrected Form 8832, Entity Classification Election.
200215014(PDF, 5K)	4/12/2002
This responds to a letter dated October 23, 2001, submitted on behalf of X, requesting a ruling under � 1362(b)(5) of the Internal Revenue Code.
200215013(PDF, 6K)	4/12/2002
This responds to a letter dated August 9, 2001, together with subsequent correspondence, submitted on behalf of X, requesting a ruling under �1362(b)(5) of the Internal Revenue Code.
200215012(PDF, 9K)	4/12/2002
This responds to a letter dated September 17, 2001 and subsequent correspondence, submitted on behalf of X, requesting an extension of time under � 301.9100-3 of the Procedure and Administration Regulations for X to elect to be treated as an association taxable as a corporation for federal tax purposes and relief under � 1362(b)(5) of the Internal Revenue Code.
200215011(PDF, 7K)	4/12/2002
This letter responds to a request submitted on behalf of Partnership, dated October 12, 2001, seeking a written determination allowing an extension of time for Partnership to make an election under � 754 of the Internal Revenue Code.
200215010(PDF, 16K)	4/12/2002
Issue: For purposes of determining foreign sales corporation (FSC) income, is it reasonable for Corp X to apportion stock option compensation expense deductions based on apportionment percentages attributable to the stock option vesting period?
200215009(PDF, 30K)	4/12/2002
This letter responds to the letter dated October 19, 2000 and subsequent correspondence submitted on behalf of P by its authorized representative, requesting rulings under � 29 and 702 of the Internal Revenue Code.
200215008(PDF, 33K)	4/12/2002
This letter responds to a letter dated October 17, 2000 and subsequent correspondence, submitted on behalf of P by its authorized representative, requesting rulings under � 29 and 702 of the Internal Revenue Code.
200215007(PDF, 31K)	4/12/2002
This letter responds to a letter dated May 25, 2000, and subsequent correspondence, submitted on behalf of P by its authorized representative, requesting rulings under � 29 of the Internal Revenue Code.
200215006(PDF, 11K)	4/12/2002
We received a letter dated February 15, 2001, and subsequent correspondence, submitted on behalf of Company requesting rulings under � 1361 of the Internal Revenue Code. This letter responds to that request.
200215005(PDF, 34K)	4/12/2002
This letter responds to a letter dated March 14, 2000, and subsequent correspondence, submitted on behalf of P by its authorized representatives, requesting rulings under � 29 and � 702 of the Internal Revenue Code.
200215004(PDF, 11K)	4/12/2002
Issues: (1) Did Taxpayer�s Form 720, Quarterly Excise Tax Return, correctly reflect the tax on sales of certain vehicles imposed by � 4051 of the Internal Revenue Code with respect to the transaction described below? (2) What documentation is needed to support a claim under � 6416(b)(4)?
200215003(PDF, 38K)	4/12/2002
Issues: (1) A related supplier has filed a timely claim for refund based on an investment tax credit carryforward. The investment tax credit carryforward exists only if the related supplier and its domestic international sales corporation (DISC) redetermine their respective incomes and file amended returns for years in which the statutes of limitations on assessment and refund have expired. May the related supplier and its DISC redetermine their respective incomes and file amended returns for those barred years so that the related supplier can obtain a refund in the later year? (2) A related supplier has filed a timely claim for refund based on an investment tax credit carryforward. The investment tax credit carryforward exists only if the related supplier and its foreign sales corporation (FSC) redetermine their respective incomes and file amended returns for a year in which the statutes of limitations on assessment and refund have expired. May the related supplier and its FSC redetermine their respective incomes and file amended returns for the barred year so that the related supplier can obtain a refund in the later year?
200215002(PDF, 20K)	4/12/2002
Issue: Whether, for purposes of Treasury Regulation � 1.1502-32, a parent corporation increases its basis in a subsidiary�s stock by the amount of the subsidiary�s �Fresh Start� adjustment?
200215001(PDF, 11K)	4/12/2002
Issue: Are transfers on Decedent�s death from Decedent�s revocable trust to trusts for the benefit of Decedent�s grandchildren and great grandchildren �direct skips� for generation-skipping transfer tax purposes and, therefore, subject to generation-skipping transfer tax under � 2601 of the Internal Revenue Code at the time of the Decedent�s death?

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2002 Chief Counsel'sWritten Determinations

2002 Chief Counsel's
Written Determinations