SECTION 2. WHAT CHANGES

HAVE BEEN MADE TO THIS PROCEDURE?

.02 Part I of this revenue procedure contains instructions for requesting determination letters for various types of plans and transactions. Part II contains procedures for providing notice to interested parties and for interested parties to comment on determination letter requests. Part III contains procedures concerning the processing of determination letter requests and describes the effect of a determination letter.

In general .01 This revenue procedure is a general update of Rev. Proc. 2002–6, 2002–1 I.R.B. 203, which contains the Service’s general procedures for employee plans determination letter requests. Most of the changes to Rev. Proc. 2002–6 involve minor revisions, such as updating citations to other revenue procedures.

Notice to interested parties .02 Part II of this revenue procedure, regarding interested party notice and comment, has been modified to reflect the publication of final regulations amending §§ 1.7476–2 and 601.201 of the Income Tax Regulations and the Statement of Procedural Rules, respectively, regarding the nature and method of giving notice to interested parties. The final regulations, which were published on July 19, 2002, in the Federal Register (T.D. 9006, 2002–32 I.R.B. 315

[67 FR 47454]), and which apply to determination letter applications made on or after January 1, 2003, provide greater flexibility in the manner in which notice to interested parties may be given, including use of electronic media, and simplify the determination of the time period for giving the notice.

Other applicable procedures .03 Section 3.04 has been added to list certain recent sources of additional procedures and guidance pertaining to determination letter requests made under this revenue procedure.

Other changes .04 A number of clarifying changes and changes to improve submission processing have been made. Among these are the following:

(1) Section 6.10 has been modified to provide that an employer relying on the extension of the remedial amendment period under section 19 of Rev. Proc. 2000–20 must include with its determination letter application a copy of the prior plan or adoption agreement, including the opinion or advisory letter, a copy of a timely completed certification of intent to adopt, or other acceptable evidence of eligibility for the extension.

(2) New section 6.19 provides that if determination letter applications are submitted for two or more plans of an employer, each application should include a cover letter identifying each of the plans submitted.

(3) New section 6.20 provides for e-mail pre-notification to the Service in cases where an authorized representative will be submitting 30 or more determination letter applications at the same time. Pre-notification will help ensure that the applications are all assigned to one area.

(4) Several changes have been made to section 9 regarding the procedures for filing advisory and determination letter applications for volume submitter plans, including:

2003–1 I.R.B. 195 January 6, 2003

(a) a requirement that any blank or fill-in provisions in specimen plans include appropriate parameters limiting how the provisions may be completed;

(b) a prohibition on the use of so-called fail safe provisions for § 401(a)(4) or the average benefit test under § 410(b);

(c) a provision regarding the Service’s discretion to decline to issue advisory letters;

(d) a provision for the return of inadequate submissions; and

(e) a provision allowing the submission of the completed adoption agreement, in lieu of the entire plan, with an application for determination letter for a volume submitter plan.

(5) Section 18.06, regarding information to be made available to interested parties when there are less than 26 participants, has been modified to reflect current determination letter application procedures. Section 18.06, as modified, requires that the document that may be provided in lieu of the plan and application to interested parties who are not participants must include any coverage schedule or other demonstration submitted with the application to show that the plan meets the requirements of §§ 401(a)(4) and 410(b).