SECTION 5. AUDIT PROTECTION

For taxable years ending before December 31, 2010, the Service will not raise upon examination the issue of whether the Deferral Method provided in section 5 of Rev. Proc. 2004–34 can apply to eligible gift card sales as defined in section 4.07 of that revenue procedure. Moreover, if the taxpayer’s use of the Deferral Method for eligible gift card sales is an issue under consideration in examination, appeals, or before the U.S. Tax Court in a taxable year that ends before December 31, 2010, the Service will not further pursue the issue.