SECTION 6. POST-SESSION

PROCEDURE

.01 If the parties resolve any of the disputed issues in the FTM session, SB/SE will secure the appropriate closing documents from the taxpayer and will close the case through SB/SE’s established case closing procedures.

.02 If applicable, the Service will report a proposed resolution reached as a result of FTM to the Joint Committee on Taxation in accordance with section 6405. The taxpayer acknowledges that the Service may reconsider a proposed resolution upon receipt of comments on the proposed resolution from the Joint Committee on Taxation. If the taxpayer declines to agree with any changes by the Service upon reconsideration, SB/SE will close the case

unagreed and the taxpayer will retain all of the usual rights to request Appeals consideration of any unagreed issues.

.03 Under certain circumstances, the settlement of an OIC case may require a legal opinion from Counsel (7122(b) Counsel) pursuant to section 7122(b). For these OIC cases that are successfully mediated in the FTM program, the case will be forwarded to the 7122(b) Counsel for an opinion after the FTM session and the 7122(b) Counsel shall not be present at the FTM session. Final processing of the OIC case will be subject to the opinion of the 7122(b) Counsel.

.04 If the parties fail to resolve any issue in FTM, the taxpayer retains the option of requesting that the issue be heard through the traditional Appeals process. With respect to any unresolved issues, SB/SE will close the case or issue unagreed in accordance with established case closing procedures.

June 23, 2003 1049 2003–25 I.R.B.

Exhibit 1 Agreement to Mediate

To: Appeals Team Manager Date:

Compliance : The person to contact in Compliance about this case is: Name and Title: ID/Badge Number: Telephone Number: Taypayer TIN Year(s) Source (FE/OE/CO, etc.) MFT Type of Tax (1040, 1120 Emp., etc) or Collection Issue (CDP, OIC etc)

Taypayer : Name: Address: City, State and Zip Code: Telephone: ( )

Name of Representative Name of Firm: Address: City, State and Zip Code: Telephone: ( ) Fax ( )

IRS and Treasury employees who participate in any way in the mediation process and any person under contract to the IRS invited to participate, will be subject to the confidentiality and disclosure provisions of the Internal Revenue Code, including I.R.C. sections 6103, 7213, and 7431 . See also 5 U.S.C. section 574 . The parties also acknowledge that IRS and all other Treasury employees involved in the mediation are bound by I.R.C. section 7214(a)(8) and must report information concerning violations of any revenue law to the Secretary. The Mediator will have the right to 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 mediator will be provided simultaneously to the other party.

The Taxpayer consents to the disclosure by the IRS of the Taxpayer’s returns and return information incident to the mediation to any participant or observer for the Taxpayer. If the mediation agreement is executed by a person pursuant to a power of attorney executed by the Taxpayer, that power of attorney must clearly express the Taxpayer’s grant of authority to consent to disclose the Taxpayer’s returns and return information by the IRS to third parties, and a copy of that power of attorney must be attached to this agreement.

Taxpayer Date Taxpayer Date

Representative Date Compliance Date

Other Participants (if applicable) :

Name Position or Affiliation Phone

2003–25 I.R.B. 1050 June 23, 2003

26 CFR 601.202: Closing agreements.

Rev. Proc. 2003–44

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