SECTION 3. SCOPE

.01. Issues appropriate for the program .

The types of issues most appropriate for consideration under the IIR Program will have two or more of the following characteristics:

(1) The proper tax treatment of a com mon factual situation is uncertain; (2) The uncertainty results in frequent,

and often repetitive, examinations of the same issue; (3) Frequent, and often repetitive, ex aminations require significant resources from both the IRS and impacted entities; (4) The issue is significant and im pacts a large number of entities; (5) The issue requires extensive fac tual development; and (6) Collaboration would facilitate proper resolution of the tax issues by promoting an understanding of entities’ views and business practices.

.02. Additional criteria for accountable plans .

Notice 2005–59, 2005–2 C.B. 443, provides additional criteria for evaluating proposed IIR Program issues for accountable plans and is incorporated by reference into this revenue procedure. With respect to IIR Program issues for accountable plans, the criteria set forth in Notice 2005–59 apply in addition to the requirements set forth in this revenue procedure.

.03. Issues not appropriate for the program .

The following types of issues are generally not appropriate for consideration under the IIR Program:

(1) Issues unique to one or a small

number of entities; (2) Issues not under the jurisdiction of

the LB&I, SB/SE, or TE/GE Operating Divisions; (3) Issues involving transactions that

lack a bona fide business purpose, or transactions with a significant pur

pose of improperly reducing or avoiding federal taxes; and (4) Issues involving transfer pricing or

international tax treaties.

.04. Requesters .

In general, a requester should be an organization or a group of entities that represents a significant number and cross section of the entities with the particular tax issue or issues. For example, a retail industry group that represents large, nationwide retailers as well as independent retailers might request pre-filing guidance through the IIR Program on a section 263(a) capitalization issue common to all member retailers.