SECTION 8. EFFECTIVE DATE

This revenue procedure is effective January 7, 2002.

DRAFTING INFORMATION

This revenue procedure was compiled by Gerard Traficanti of the Office of Associate Chief Counsel (International). For further information about this revenue procedure, please contact Mr. Traficanti at (202) 622–3619 (not a toll-free number).

(21) Section 956.—Investment of Earnings in United States Property. Whether a pledge of the stock of a controlled foreign corporation is an indirect pledge of the assets of that corporation. See § 1.956–2(c)(2).

(22) Section 985.—Functional Currency.—Whether a currency is the functional currency of a qualified business unit.

(23) Section 989(a).—Qualified Business Unit.—Whether a unit of the taxpayer’s trade or business is a qualified business unit.

(24) Section 1058.—Transfers of Securities under Certain Agreements.— Whether the amount of any payment described in § 1058(b)(2) or the amount of any other payment made in connection with a transfer of securities described in § 1058 is from sources within or without the United States; the character of such amounts; and whether the amounts constitute a particular kind of income for purposes of any United States income tax treaty.

(25) Section 1503(d).—Dual Consolidated Loss.—Whether an event presumptively constitutes a triggering event for purposes of § 1.1503–2(g)(2)(iii)(A)(1) -(7), apart from possible rebuttal of the presumption under § 1.1503– 2(g)(2)(iii)(B). See section 3.01(4), Rev. Proc. 2002–7.

(26) Section 2501.—Imposition of Tax.—Whether a partnership interest is intangible property for purposes of § 2501(a)(2) (dealing with transfers of intangible property by a nonresident not a citizen of the United States).

(27) Section 7701.—Tax on Nonresident Alien Individuals.—Whether an alien individual is either a resident or a nonresident of the United States, in situations where the determination depends on facts that cannot be confirmed until the close of the taxable year (including, for example, the length of the alien’s stay or the nature of the alien’s activities).

(28) Section 7701.—Definitions.— Whether an estate or trust is a foreign estate or trust for federal income tax purposes.

(29) Section 7701.—Definitions.— Whether an intermediate entity is a con

duit entity under § 1.881–3(a)(4); whether a transaction is a financing transaction under § 1.881–3(a)(ii); whether the participation of an intermediate entity in a financing arrangement is pursuant to a tax avoidance plan under § 1.881–3(b); whether an intermediate entity performs significant financing activities under § 1.881–3(b)(3)(ii); whether an unrelated intermediate entity would not have participated in a financing arrangement on substantially the same terms under § 1.881–3(c).

.02 General Areas (1) Whether a taxpayer has a business purpose for a transaction or arrangement.

(2) Whether a taxpayer uses a correct North American Industry Classification System (NAICS) code or Standard Industrial Classification (SIC) code.

(3) Any transaction or series of transactions that is designed to achieve a different tax consequence or classification under U.S. tax law (including tax treaties) and the tax law of a foreign country, where the results of that different tax consequence or classification are inconsistent with the purposes of U.S. tax law (including tax treaties).

(4)(a) Situations where a taxpayer or a related party is domiciled or organized in a foreign jurisdiction with which the United States does not have an effective mechanism for obtaining tax information with respect to civil tax examinations and criminal tax investigations, which would preclude the Service from obtaining information located in such jurisdiction that is relevant to the analysis or examination of the tax issues involved in the ruling request.

(b) The provisions of subsection 4.02(4)(a) above shall not apply if the taxpayer or affected related party (i) consents to the disclosure of all relevant information requested by the Service in processing the ruling request or in the course of an examination to verify the accuracy of the representations made and to otherwise analyze or examine the tax issues involved in the ruling request, and (ii) waives all claims to protection of bank or commercial secrecy laws in the foreign jurisdiction with respect to the

2002–1 I.R.B 251 January 7, 2002

26 CFR 601.201: Rulings and determination letters.

Rev. Proc. 2002–8

TABLE OF CONTENTS

SECTION 1. PURPOSE ..................................................................................................................................................................... 253

SECTION 2. CHANGES.................................................................................................................................................................... 253

.01 In general.................................................................................................................................................................................. 253 .02 New application procedures for multiple employer plans...................................................................................................... 253 .03 Elimination of user fees for certain determination letter applications................................................................................... 253 .04 Changes to fee schedules......................................................................................................................................................... 253

SECTION 3. BACKGROUND........................................................................................................................................................... 253

.01 Legislation authorizing user fees............................................................................................................................................. 253 .02 Related revenue procedures ..................................................................................................................................................... 253

SECTION 4. SCOPE .......................................................................................................................................................................... 253

.01 Requests to which user fees apply .......................................................................................................................................... 253 .02 Requests and other actions that do not require the payment of a user fee ........................................................................... 254 .03 Exemptions from the user fee requirements ........................................................................................................................... 254

SECTION 5. DEFINITIONS.............................................................................................................................................................. 254

SECTION 6. FEE SCHEDULE ......................................................................................................................................................... 255

EMPLOYEE PLANS USER FEES............................................................................................................................................... 255 .01 Letter ruling requests ............................................................................................................................................................... 255 .02 Requests for certain administrative exemptions...................................................................................................................... 256 .03 Administrative scrutiny determinations with respect to separate lines of business............................................................... 256 .04 Opinion letters and advisory letters on master and prototype plans...................................................................................... 256 .05 Opinion letters on prototype individual retirement accounts and/or annuities, simplified employee pensions,

SIMPLE IRAs, SIMPLE IRA Plans, Roth IRAs and dual-purpose IRAs............................................................................. 257 .06 Determination letters................................................................................................................................................................ 258 .07 Advisory letters on volume submitter plans............................................................................................................................ 258

EXEMPT ORGANIZATIONS USER FEES................................................................................................................................. 259 .08 Letter rulings ............................................................................................................................................................................ 259 .09 Determination letters and requests for group exemption letters............................................................................................. 260 .10 Summary of Exempt Organization fees .................................................................................................................................. 260

SECTION 7. MAILING ADDRESS FOR REQUESTING LETTER RULINGS, DETERMINATION LETTERS, ETC ............ 261

.01 Matters handled by EP or EO Technical................................................................................................................................. 261 .02 Matters handled by EP or EO Determinations........................................................................................................................ 262

SECTION 8. REQUESTS INVOLVING MULTIPLE OFFICES, FEE CATEGORIES, ISSUES, TRANSACTIONS,

OR ENTITIES .............................................................................................................................................................. 262 .01 Requests involving several offices .......................................................................................................................................... 262 .02 Requests involving several fee categories............................................................................................................................... 262 .03 Requests involving several issues............................................................................................................................................ 262 .04 Requests involving several unrelated transactions.................................................................................................................. 262 .05 Requests for separate letter rulings for several entities.......................................................................................................... 262

SECTION 9. PAYMENT OF FEE ..................................................................................................................................................... 262

.01 Method of payment.................................................................................................................................................................. 262 .02 Transmittal forms ..................................................................................................................................................................... 262 .03 Effect of nonpayment or payment of incorrect amount ......................................................................................................... 262

January 7, 2002 252 2002–1 I.R.B.

SECTION 10. REFUNDS................................................................................................................................................................... 263

.01 General rule.............................................................................................................................................................................. 263 .02 Examples .................................................................................................................................................................................. 263

SECTION 11. REQUEST FOR RECONSIDERATION OF USER FEE......................................................................................... 263

SECTION 12. EFFECT ON OTHER DOCUMENTS ...................................................................................................................... 264

SECTION 13. EFFECTIVE DATE .................................................................................................................................................... 264

SECTION 14. PAPERWORK REDUCTION ACT ........................................................................................................................... 264

APPENDIX.......................................................................................................................................................................................... 264

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 would be applicable through September 30, 2000. Section 2 of the Tax Relief to Operation Joint Endeavor Participants Act, Pub. L. 104–117, 1996–3 C.B. 1, 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, or an administrative scrutiny determination user fee are described in the appendix to this revenue procedure.