SECTION 17. HOW ARE

REQUESTS FOR TAMs AND TEAMs WITHDRAWN?

the national office, if necessary, and will notify the director or area office within 45 calendar days of receiving all the data regarding the request for a TAM or a TEAM whether the proposed denial is approved or disapproved. The director or area office will then notify the taxpayer.

While the matter is being reviewed, the director or area office will suspend action on the issue (except when the delay would prejudice the Government’s interest).

The provisions of this revenue procedure in regard to review of the proposed denial of a request for a TAM or a TEAM continue to be applicable in those situations in which the authority normally exercised by the director or the area director, appeals has been delegated to another official.

.06 If the request for a TAM or a TEAM concerns a “frivolous issue,” as described in section 10.01 of this revenue procedure, a TAM or a TEAM will not be given, and the examining officer or appeals officer will deny the taxpayer’s request for referral. The taxpayer may appeal the decision of the examining officer or appeals officer. If the territory manager or the area director, appeals determines that no TAM or TEAM will be sought, an expedited review procedure will be followed.

This expedited review procedure will consist of the following:

(1) the territory manager or the area director, appeals will inform the appropriate official described in section 16.05 of this revenue procedure (the Industry Director, LMSB; the Area Director, SB/SE; the Director, Compliance, W&I; the Director, International, LMSB; the Director, Federal, State, and Local Governments; the Director, Tax Exempt Bonds; the Director, Indian Tribal Governments; or the Director, Appeals Field Technical Services) of the request for review and the basis for the denial, but will not forward the taxpayer’s written request and statements, unless requested to do so by the official;

(2) the director or area office will not suspend action on the issue;

(3) within 15 calendar days, the official will notify the territory manager or area director, appeals whether the proposed denial is approved or disapproved. The official may also determine that the expedited process is not warranted and request all of the information supplied by the taxpayer and allow suspension of action on the item while the denial is reviewed; and

(4) the director or area office will notify the taxpayer of the result of the review of the denial.

Taxpayer notified .01 Once a request for a TAM or a TEAM has been sent to the national office, only a director or an area director, appeals may withdraw the request. He or she may ask to withdraw a request at any time before the responding transmittal memorandum for the TAM or TEAM is signed.

The director or the area director, appeals as appropriate, must notify the taxpayer in writing of an intent to withdraw the request for a TAM or a TEAM except—

(1) when the period of limitations on assessment is about to expire and the taxpayer has declined to sign a consent to extend the period; or

(2) when the notification would be prejudicial to the best interests of the Government.

If the taxpayer does not agree that the request for a TAM or a TEAM should be withdrawn, the procedures in section 16 of this revenue procedure must be followed.

Sec. 16.05 January 6, 2003 96 2003–1 I.R.B.

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