SECTION 5. MEDIATION PROCESS

.01 During FTM, the case remains under SB/SE Compliance jurisdiction.

.02 After the case is accepted into the FTM program, an Appeals Manager will assign the case to the FTM Appeals Official, an Appeals Employee who has been trained in mediation. The FTM Appeals Official will serve as a neutral party. The taxpayer does not have the option of using a non-IRS employee as a mediator under the SB/SE - Appeals FTM program.

.03 The FTM Appeals Official will hold the FTM session at a date and location agreed to by both parties, usually at the local Appeals Office. Prior to the FTM session, the FTM Appeals Official will advise the participants of the procedures and establish ground rules. The FTM Appeals Official may modify the rules and procedures during the session to adapt to changes in circumstances. The FTM session may include joint sessions with all parties, separate meetings, or both, as determined appropriate in the sole judgment of the FTM Appeals Official.

.04 Both the taxpayer and SB/SE will be given ample opportunity to present their respective positions. The FTM Appeals Official may also ask either party for additional information if deemed necessary for a full understanding of the issues being mediated. A copy of any submission a party gives to the FTM Appeals Official will be provided simultaneously to the other party.

.05 The taxpayer and SB/SE representatives will meet with the FTM Appeals Official. The taxpayer’s authorized representative may also participate in the FTM session. At least one representative with decision-making authority for each party must be present at the mediation sessions, or be available for consultation, unless the case is an OIC case over $50,000 (including tax, penalty, and interest) for which Counsel approval is currently required pursuant to section 7122(b) of the Internal Revenue Code. The FTM Appeals Official may ask the parties to limit the number of participants to facilitate the process. Any person engaged in practice before the Service, as defined in Publication 216, Conference and Practice Requirements, must have a power of attorney from the taxpayer (Form 2848, Power of Attorney and Declaration of Representative ).

.06 The FTM Appeals Official may postpone or terminate the session if: (a) the taxpayer or SB/SE presents new information or new issues during the mediation session; (b) the taxpayer wishes to submit a

2003–25 I.R.B. 1048 June 23, 2003

.05 At the conclusion of FTM, the FTM Appeals Official will prepare a brief written report by completing a Fast Track Mediator’s Report on the appropriate form, and submit a copy to each party.

.06 A resolution reached by the parties through FTM will not bind the parties for taxable years not covered by the agreement. Except as provided in the agreement, any such resolution shall not be used as precedent.