SECTION 6. PROCESSING A — Internal Revenue Bulletin 2001-9

REQUEST FOR AN LMSB PFA

LMSB PFA Program Manager, the Office of Chief Counsel, or other Service personnel.

.03 Return filing requirements. The Service’s acceptance of a taxpayer’s request for a LMSB PFA does not suspend or waive the normal filing requirements for any tax returns that may be affected by the proposed LMSB PFA. If an LMSB PFA is reached prior to the filing of the return, the taxpayer will report the transaction(s) addressed in the LMSB PFA in accordance with the terms of the LMSB PFA.

.04 TEFRA taxpayers. If the taxpayer requesting the LMSB PFA is subject to the procedures set forth in §§ 6221 through 6233 and the issue(s) in the LMSB PFA will become a partnership item or items as defined in § 6231 when the return is filed, the LMSB PFA process will be terminated with respect to such issue(s) if no agreement on such issues is reached with all partners within 30 business days prior to the extended due date of the return.

.05 Execution prior to filing . If an LMSB PFA is executed prior to the filing of the return to which the LMSB PFA relates, the taxpayer must file such return according to the terms and conditions set forth in the LMSB PFA. A copy of the LMSB PFA must be attached to the return.

.06 Execution after filing. If the Service and the taxpayer cannot reach agreement prior to the filing of the return, the Service and the taxpayer may continue to attempt to resolve the issue and enter into an LMSB PFA. If the Service and the taxpayer desire to execute an LMSB PFA after the filing of a return to which the LMSB PFA relates and the return is not consistent with the terms and conditions of the contemplated LMSB PFA, the taxpayer is expected to file an amended return consistent with the terms and conditions of the LMSB PFA. The LMSB PFA should contain a statement whereby the taxpayer acknowledges the expectation that an amended return will be filed and that if such return is not filed that the Service will assess any additional tax due. A copy of the LMSB PFA must be attached to the amended return.