SECTION 6. FEE SCHEDULE — Internal Revenue Bulletin 2003-1

The amount of the user fee payable with respect to each category or subcategory of submission is as set forth in the following schedule.

CATEGORY FEE EMPLOYEE PLANS USER FEES .01 Letter ruling requests. (1) Computation of exclusion for annuitant under § 72 $90 (2) Change in plan year (Form 5308) $140 (3) Certain waivers of 60-day rollover period $90

Note: No user fee is required if the requested change is permitted to be made pursuant to the procedure for automatic approval set forth in Rev. Proc. 87–27, 1987–1 C.B. 769. In such a case, Form 5308 should not be submitted to the Service.

(4) Change in funding method $540 (5) Approval to become a nonbank trustee (see § 1.408–2(e) of the Income Tax Regulations) $3,520 (6) Waiver of minimum funding standard, under § 412(d):

(a) Waiver of $1,000,000 or more $5,200 (b) Waiver of less than $1,000,000 $2,220 (7) Waiver of excise tax under § 4971(b):

(a) Waiver of $1,000,000 or more $5,200 (b) Waiver of less than $1,000,000 $2,200 (8) Waiver of the excise tax, under § 4971(f), on failure to pay a liquidity shortfall:

(a) Waiver of $1,000,000 or more $5,200 (b) Waiver of less than $1,000,000 $2,200 (9) Letter ruling under Rev. Proc. 90–49, 1990–2 C.B. 620 $325 (10) Letter ruling involving the determination of the account limit under § 419A(c) $2,470 (11) Individually designed simplified employee pension (SEP) $2,470 (12) All other letter rulings $2,470 Reduced fees, or augmented fee, applicable to all other letter rulings:

(a) Letter ruling requests by or on behalf of eligible retirement plans (within the meaning of

$600

§ 402(c)(8)(B)) with assets of less than $200,000

(b) Letter ruling requests from U.S. citizens and resident alien individuals, domestic trusts, and

domestic estates whose “total income” as reported on their federal income tax return (as amended) filed for a full (12 months) taxable year ending before the date the request is filed, plus any interest income not subject to tax under § 103 (interest on state and local bonds) for that period, is less than $200,000

$600

Note: The reduced fee applies to a married individual if the combined gross income of the applicant and the applicant’s spouse is less than $200,000. The gross incomes of the applicant and the applicant’s spouse are not combined, however, if the applicant is legally separated from his or her spouse and the spouses do not file a joint income tax return with each other. In the case of a letter ruling request from a domestic estate or trust that, at the time the request is filed, has not filed an income tax return for a full taxable year, the reduced fee will be applicable if the decedent’s or (in the case of an individual grantor) the grantor’s total income as reported on the last return filed for a full taxable year ending before the date of death or the date of the transfer, taking into account any additions required to be made to total income described in this subparagraph, is less than $200,000.

Organizations” with gross receipts of less than $200,000

$600

Note: An organization exempt from income tax under Subchapter F must certify in its request for a letter ruling that its gross receipts for the last full taxable year before the request was filed were less than $200,000.

2003–1 I.R.B. 239 January 6, 2003

(d) In situations in which a taxpayer requests substantially identical letter rulings for multiple en

tities with a common member or sponsor, or for multiple members of a common entity, each additional letter ruling request after the $2,470 fee or the $600 reduced fee, as applicable, has been paid for the first letter ruling request

(e) In situations in which a taxpayer requests a single letter ruling involving substantially identi

cal issues of fact and law with respect to multiple members of a common entity, for each additional entity after the $2,470 fee or $600 reduced fee, as applicable, has been paid for the first entity

$200

$2,470

.02 Requests for certain administrative exemptions.

Requests for administrative exemptions for participant-directed transactions that are in compliance with the regulations under § 404(c) of the Employee Retirement Income Security Act of 1974 (ERISA) but may result in prohibited transactions under § 4975

Note: The provisions of Rev. Proc. 75–26, 1975–1 C.B. 722, are applicable to such requests.

.03 Administrative scrutiny determinations with respect to separate lines of business.

(1) For the first separate line of business for which a determination is requested $4,720 (2) For each additional separate line of business for which a determination is requested $1,520

.04 Opinion letters and advisory letters on master and prototype plans.

(1) Mass submitter M & P plan, per basic plan document, new or amended, with one adoption agree

$3,520

ment

(2) Mass submitter M & P plan, per each additional adoption agreement $460 (3) Sponsor’s word-for-word identical adoption of M & P mass submitter’s basic plan document (or an $120

amendment thereof), per adoption agreement

$120

Note 1: Mass submitters that are sponsors in their own right are liable for this fee.

Note 2: If a mass submitter submits, in any 12-month period ending January 31, more than 300 applications on behalf of wordfor-word adopters with respect to a particular adoption agreement, only the first 300 such applications will be subject to the fee; no fee will apply to those in excess of the first 300 such applications submitted within the 12-month period.

(4) Sponsor’s minor modification of M & P mass submitter’s plan document, per adoption agreement $270 (5) Nonmass submission (new or amended) by M & P sponsor, per adoption agreement $2,110 (6) M & P mass submitter’s request for an advisory letter with respect to the addition of optional provi- $570

sions following issuance of a favorable opinion letter (see section 16.031(c) of Rev. Proc. 2000–20), per basic plan document (regardless of the number of adoption agreements)

$460

$270

$1,250

$120

$570

(7) M & P mass submitter’s addition of new adoption agreements after the basic plan document and as

sociated adoption agreements have been approved, per adoption agreement

(8) Assumption of sponsorship of an approved M & P plan, without any amendment to the plan docu

ment, by a new entity, as evidenced by a change of employer identification number

.05 Opinion letters on prototype individual retirement accounts and/or annuities, simplified employee pensions, SIMPLE IRAs, SIMPLE IRA Plans, and Roth IRAs.

(1) Mass submission of a prototype IRA, SEP, SIMPLE IRA, SIMPLE IRA Plan, or Roth IRA, per plan

document, new or amended

(2) Sponsoring organization’s word-for-word identical adoption of mass submitter’s prototype IRA, SEP,

SIMPLE IRA, SIMPLE IRA Plan, or Roth IRA, per plan document or an amendment thereof

Note: If a mass submitter submits, in any 12-month period ending January 31, more than 300 applications on behalf of wordfor-word adopters of prototype IRAs with respect to a particular plan document, only the first 300 such applications will be subject to the fee; no fee will apply to those in excess of the first 300 such applications submitted within the 12-month period.

(3) Sponsoring organization’s minor modification of mass submitter’s prototype IRA, SEP, SIMPLE IRA,

SIMPLE IRA Plan, or Roth IRA, per plan document

$320

January 6, 2003 240 2003–1 I.R.B.

(4) Sponsoring organization’s nonmass submission of prototype IRA, SEP, SIMPLE IRA, SIMPLE IRA

$460

Plan, or Roth IRA, per plan document

(5) Opinion letters on dual-purpose (combined traditional and Roth) IRAs:

(a) Mass submission of a prototype dual-purpose IRA, per plan document, new or amended $2,470 (b) Sponsoring organization’s word-for-word identical adoption of mass submitter’s prototype dual- $120

purpose IRA, per plan document or an amendment thereof

$120

Note: If a mass submitter submits, in any 12-month period ending January 31, more than 300 applications on behalf of wordfor-word adopters of prototype dual-purpose IRAs with respect to a particular plan document, only the first 300 such applications will be subject to the fee; no fee will apply to those in excess of the first 300 such applications submitted within the 12month period.

per plan document

(d) Sponsoring organization’s nonmass submission of prototype dual-purpose IRA, per plan docu

$650

$950

ment

.06 Determination letters

(1) If the plan is intended to satisfy a design-based or nondesign-based safe harbor, or if the applicant is

not electing to receive a determination with respect to any of the general tests, and the applicant is not electing to receive a determination with respect to the average benefit test:

(a) Form 5300 $700 (b) Form 5307 $125 (c) Form 5310 $225 (d) Form 6406 $125 (e) Multiple employer plans (Form 5300):

(i) 2 to 10 Forms 5300 $700 (ii) 11 to 99 Forms 5300 $1,400 (iii) 100 to 499 Forms 5300 $2,800 (iv) Over 499 Forms 5300 $5,600

Note: In the case of a multiple employer plan that is adopted by other employers after the initial submission, the fee would be the same as in paragraph (1) above. If only one employer adopts the plan in any subsequent year, the fee would be $700.

(f) Multiple employer plans (Form 5310):

(i) 2 to 10 employers $225 (ii) 11 to 99 employers $450 (iii) 100 to 499 employers $900 (iv) Over 499 employers $1,800

(2) If the applicant is electing to receive a determination with respect to the average benefit test and/or

any of the general tests:

(a) Form 5300 $1,250 (b) Form 5307 $1,000 (c) Form 5310 $375 (d) Multiple employer plans (Form 5300):

(i) 2 to 10 Forms 5300 $1,250 (ii) 11 to 99 Forms 5300 $2,000 (iii) 100 to 499 Forms 5300 $3,500 (iv) Over 499 Forms 5300 $6,500

Note: In the case of a multiple employer plan that is adopted by other employers after the initial submission, the fee would be the same as in paragraph (2) above. If only one employer adopts the plan in any subsequent year, the fee would be $1,250.

(e) Multiple employer plans (Form 5310):

2003–1 I.R.B. 241 January 6, 2003

(i) 2 to 10 employers $375 (ii) 11 to 99 employers $600 (iii) 100 to 499 employers $1,000 (iv) Over 499 employers $2,000

(3) Group trusts contemplated by Rev. Rul. 81–100, 1981–1 C.B. 326 $750

Note: Section 620 of EGTRRA directs the Internal Revenue Service not to require payment of user fees for requests for determination letters with respect to the qualified status of certain pension benefit plans (generally plans maintained by employers with 100 or less employees). The provisions in section 620 of EGTRRA are effective with respect to a request for a determination letter made after December 31, 2001. See Notice 2002–1, 2002–2 I.R.B. 283.

.07 Advisory letters on volume submitter plans.

(1) Volume submitter specimen plans $1,500 (2) Volume submitter lead specimen plan $3,000 (3) Volume submitter specimen plan that is word-for-word identical to a lead specimen plan $100

EXEMPT ORGANIZATIONS USER FEES .08 Letter rulings.

(1) Applications with respect to change in accounting period (Form 1128) $150

Note: No user fee is charged if the procedure described in Rev. Proc. 85–58, 1985–2 C.B. 740, is used by timely filing the appropriate information return, or if the procedure described in Rev. Proc. 76–10, 1976–1 C.B. 548, for organizations with group exemptions is followed.

(2) Applications with respect to change in accounting method (Form 3115) $150

Note: No user fee is charged if the method described in Rev. Proc. 97–37, 1997–2 C.B. 455, is used. Taxpayers complying timely with Rev. Proc. 97–37 will be deemed to have obtained the consent of the Commissioner of Internal Revenue to change their method of accounting.

(3) Advance approval of scholarship grant-making procedures of a private foundation that has an agree

ment for the administration of the scholarship program with the National Merit Scholarship Corp., or similar organization administering a scholarship program shown to meet Service requirements

$240

(4) Request for a letter ruling as to whether an organization exempt from federal income tax is required

to file an annual return under § 6033

Note 1: See Rev. Proc. 95–48, 1995–2 C.B. 418, which specifies that governmental units and affiliates of governmental units that are exempt from federal income tax under § 501(a) are not required to file annual information returns on Form 990, Return of Organization Exempt From Income Tax.

Note 2: There is no additional charge for a determination of the § 6033 filing requirement from an organization seeking recognition of exempt status under § 501 if the organization submits the information required by line 9 of Part I of Form 1023, Ap- plication for Recognition of Exemption Under § 501(c)(3) of the Code, or submits a separate written request with its application for recognition of exemption. Only the user fee for the initial application for recognition of exemption applies.

(5) Request for approval of a qualified subsidiary related to a § 501(c)(25) organization. $595 (6) All other letter rulings $2,470 Reduced fees applicable to all other letter rulings:

(a) Organizations with gross receipts less than $200,000 $600

Note: An exempt organization seeking a reduced fee must certify in the letter ruling request that its gross receipts for the last taxable year before the request is filed were less than $200,000.

January 6, 2003 242 2003–1 I.R.B.

(b) Letter ruling requests from U.S. citizens and resident alien individuals, domestic trusts, and

$600

(c)Letter ruling requests in which a taxpayer requests substantially identical letter rulings for mul tiple entities with a common member or activity, or multiple members of a common entity, each additional letter ruling request after the $2,470 fee or the $600 reduced fee, as applicable, has been paid for the first letter ruling request

$200

$150

.09 Determination letters and requests for group exemption letters (1) Initial application for exemption under § 501 or § 521 from organizations (other than pension, profit sharing, and stock bonus plans described in § 401) that have had annual gross receipts averaging not more than $10,000 during the preceding four years, or new organizations that anticipate gross receipts averaging not more than $10,000 during their first four years

Note: Organizations seeking this reduced fee must sign a certification with their application that the receipts are or will be not more than the indicated amounts.

(2) Initial application for exempt status from organizations otherwise described in paragraph (1) of this

section 6.13 whose actual or anticipated gross receipts exceed the $10,000 average annually

$500

Note: If an organization that is already recognized as exempt under § 501(c) seeks reclassification under another subparagraph of § 501(c), a new user fee will be charged whether or not a new application is required. An additional fee applies to organizations that seek recognition of exemption under § 501(c)(4) (unless requested at the time of the § 501(c)(3) application) for a period for which they do not qualify for exemption under § 501(c)(3) because their application was filed late and they do not qualify for relief under § 301.9100–1.

(3) Group exemption letters $500

Note: An additional fee under (1) or (2) above is required when a central organization submits an initial application for exemption with its request for a group exemption letter.

.10 Summary of Exempt Organization Fees

This table summarizes the various types of exempt organization issues, indicates the office of jurisdiction for each type, and lists the applicable user fee. Reduced fees may be applicable in certain instances.

ISSUE OFFICE FEE

Accounting period and method changes Technical $150

Advance ruling period inquiries Determinations None

Amendments, reorganizations, name changes Determinations None

Application for recognition of exemption Determinations $500

Confirmation of exemption Determinations None

2003–1 I.R.B. 243 January 6, 2003

ISSUE OFFICE FEE

Qualified subsidiaries of § 501(c)(25) organizations Technical $595

Regulations § 301.9100 relief in connection with applications for recognition of exemption

Section 507 terminations

Determinations None

(a) Notice under § 507(b)(1) or (2) Determinations None

(b) Advance ruling under § 507(b)(1) or (2) Technical $2,470

Section 514(b)(3) Neighborhood Land Use Rule Technical None

Section 4940(d) exempt operating foundation status Technical None

Advance approval of section 4942(g)(2) set asides Technical None

Section 4943(c)(7) extensions of disposal period Technical $2,470

Section 4945 advance approval of organization’s grant making procedures

Section 4945(f) advance approval of voter registration activities

Section 6033 annual information return filing requirements

Determinations None

(a) requested with original application Determinations None

(b) requested after recognition of exemption Technical $240

Unusual grants to certain organizations under §§ 170(b)(1)(A)(vi) and 509(a)(2)

Determinations None

Courier’s Desk Internal Revenue Service Attention: T:EP [or T:EO] 1111 Constitution Avenue, N.W. Washington, D.C. 20224

.02 Matters handled by EP or EO De- terminations Office. The following types of requests and applications are handled by the EP or EO Determinations Office and should be sent to the Internal Revenue Service Center in Covington, Kentucky, at the address shown below: requests for determination letters and volume submitter advisory letters on the qualified status of employee plans under §§ 401, 403(a), and 409, and the exempt status of any related trust under § 501; applications for recognition of tax exemption on Form 1023, Form 1024 and Form 1028; and other applications for recognition of qualification or exemption. The address is:

Internal Revenue Service P.O. Box 192 Covington, KY 41012–0192