Note:

This authority does not contain the same limitation regarding years ended prior to the date of the agreement.

Any taxpayer having issues that might result in revocation or taxation, may voluntarily (walk-in) contact the Area Office to resolve outstanding issues by way of a closing agreement.

A closing agreement may be accepted with respect to a taxpayer not under audit. However, we must be furnished sufficient facts and documentation (and may make sufficient audit or inquiry) to warrant acceptance of the agreement. (Section 8.01 of Rev. Proc. 68-16, 1968-1 C.B. 770)

EO personnel may not discuss a closing agreement with an anonymous taxpayer.

) The taxpayer will provide a description of the non-compliant activities and the items listed in IRM 4.70.14.2.1.3.2.9.1.

We may consider more favorably a taxpayer voluntarily approaching us to resolve outstanding issues and agreeing to future voluntary compliance.

Finality

Once the Director, EO:E approves an agreement, it's final and conclusive. We can't reopen the closing agreement as to the matters agreed upon or modified. We may not annul, modify, set aside, or disregard the closing agreement (or any legal action in accordance with it) in any suit, action, or proceeding unless there is a showing of fraud, malfeasance, or misrepresentation of material fact.

The Commissioner may set aside agreements made under IRC 7121(b) upon a showing of fraud or malfeasance, or misrepresentation of a material fact. The Commissioner's authority in this respect hasn't been delegated; therefore, the Commissioner must approve any such actions.