SECTION 4. PROCEDURE

.01 Automatic waiver . The failure of one or more life insurance contracts to satisfy the requirements of § 7702 or § 101(f), as applicable, due to reasonable error will be treated as waived pursuant to the authority of § 7702(f)(8) or § 101(f)(3)(H), as applicable, provided the issuer (1) is within the scope of section 3.01 of this revenue procedure, and (2) files both the waiver statement described in section 4.02 and the tax return attachment described in section 4.03 of this revenue procedure. .02 Waiver statement . An automatic waiver for a reasonable error described in section 3 of this revenue procedure is available to an issuer only if it files with the Service, in duplicate, a statement entitled “Automatic Waiver Request under Rev. Proc. 2008–42” in which the issuer (1) provides a brief description of the error and the steps taken to remedy the error; (2) lists the policy numbers of the life insurance contracts for which it seeks an automatic waiver; and (3) provides the representations described in section 4.04 of this revenue procedure. This statement should be signed and dated, and submitted to the Commissioner of Internal Revenue, Attn: CC:FIP:4, Room 3550, 1111 Constitution Avenue, NW, Washington, DC 20224, no later than the date on which the issuer files the federal income tax return to which the tax return attachment described in section 4.03 of this revenue procedure is affixed. .03 Tax return attachment . In addition, the issuer must attach to its timely-filed (including extensions) Federal income tax return, for the taxable year during which the issuer relies upon this revenue procedure to obtain a § 101(f)(3)(H) or § 7702(f)(8) waiver, a statement that reads: “Issuer has submitted an Automatic Waiver Request under section 4.02 of Rev. Proc. 2008–42 for certain errors that caused one or more life insurance contracts it issued to fail to comply with § 7702(f)(8) or § 101(f) of the Internal Revenue Code. An issuer filing its return electronically should attach this statement as an Adobe Portable Document format (PDF) file named “Rev. Proc. 2008–42.”

.04 Representations . The waiver statement required under section 4.02 of this revenue procedure must include representations to the effect that the issuer is within

July 21, 2008 161 2008–29 I.R.B.

DRAFTING INFORMATION

The principal author of this revenue procedure is Josephine H. Firehock of the

Office of Associate Chief Counsel (Financial Institutions & Products). For further information regarding this revenue pro

cedure, contact Branch 4 of that office at (202) 622–3970 (not a toll-free call).

2008–29 I.R.B. 162 July 21, 2008