SECTION 9. REVOCATION OR MODIFICATION OF DETERMINATION LETTER

RECOGNIZING EXEMPTION ..........................................................................................................................237 .01 In general ..............................................................................................................................................................................237 .02 Retroactive revocation or modification................................................................................................................................237 .03 Appeal and conference procedures ......................................................................................................................................237

SECTION 10. EFFECTIVE DATE ............................................................................................................................................238

SECTION 11. DRAFTING INFORMATION ...........................................................................................................................238

SECTION 12. PAPERWORK REDUCTION ACT .................................................................................................................238

SECTION 13. REQUEST FOR COMMENTS .........................................................................................................................238

SECTION 1. PURPOSE This revenue procedure sets forth procedures for applying for and for issuing determination letters on the exempt status under § 501(c)(3) of the Internal Revenue Code (Code) using Form 1023–EZ, Streamlined Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code . This revenue procedure is generally available for certain U.S. organizations with assets of $250,000 or less and annual gross receipts of $50,000 or less.

.01 For purposes of this revenue procedure

(1) The “Service” means the Internal Revenue Service. (2) An “eligible organization” is an organization that is eligible to submit Form 1023–EZ. U.S.

organizations with both assets valued at $250,000 or less and annual gross receipts of $50,000 or less may submit Form 1023–EZ unless the organization is designated in section 2 as an organization that is not eligible to submit Form 1023–EZ. (3) “EO Determinations” means the office of the Service that is primarily responsible for

processing applications for tax-exempt status. It includes the main EO Determinations office located in Cincinnati, Ohio, and other field offices that are under the direction and control of the Director, EO Rulings and Agreements. Applications are generally processed in the centralized EO Determinations office in Cincinnati, Ohio. However, some applications may be processed in other EO Determinations offices. (4) “Appeals Office” means any office under the direction and control of the Chief, Appeals. The

purpose of the Appeals Office is to resolve tax controversies, without litigation, on a fair and impartial basis. The Appeals office is independent of EO Determinations. (5) A “determination letter” means a written statement issued by EO Determinations or an

Appeals Office in response to an application for recognition of exemption from Federal income tax under § 501. This includes a written statement issued by EO Determinations or an Appeals Office on the basis of technical advice pursuant to the procedures prescribed in Rev. Proc. 2014–5, 2014–1 I.R.B. 169. (6) “Form 1023–EZ” means the Form 1023–EZ, Streamlined Application for Recognition of

Exemption Under Section 501(c)(3) of the Internal Revenue Code, which is the application used by eligible organizations to apply for recognition of exemption under § 501(c)(3) pursuant to this revenue procedure. (7) “Form 1023” means the Form 1023, Application for Recognition of Exemption Under Section

501(c)(3) of the Internal Revenue Code, which is the application used to apply for recognition of exemption under § 501(c)(3) pursuant to Rev. Proc. 2014–9, 2014–2 I.R.B. 281.

SECTION 2. ELIGIBILITY .01 The following organizations are not eligible organizations and must use Form 1023 to apply for recognition of exemption under § 501(c)(3):

(1) Organizations with projected annual gross receipts of more than $50,000 in either the current

taxable year or the next 2 years. (2) Organizations with annual gross receipts that have exceeded $50,000 in any of the past 3 years. (3) Organizations with total assets the fair market value of which is in excess of $250,000. For

purposes of this eligibility requirement, a good faith estimate of the fair market value of the organization’s assets is sufficient.

July 21, 2014 230 Bulletin No. 2014–30