SECTION 4. ON WHAT

ISSUES MAY TAXPAYERS REQUEST WRITTEN ADVICE UNDER THIS PROCEDURE?

In general

unless the discussion is coordinated with Service employees who are directly involved in the matter. The taxpayer or the taxpayer’s representative ordinarily will be asked whether an oral request for advice or information relates to a matter pending before another office of the Service or before a Federal court.

If a tax issue is not under examination, in the Independent Office of Appeals, or in litigation, the tax issue may be discussed even though the issue is affected by a nontax issue pending in litigation.

A taxpayer may seek oral technical guidance from a Service employee in a field office or service center when preparing a return or report.

The Service does not respond to letters seeking to confirm the substance of oral discussions, and the absence of a response to such a letter is not a confirmation.

.07 A “nonbank trustee approval letter” is a letter ruling that determines that the applicant is qualified to act as a nonbank trustee or custodian pursuant to the requirements of Treas. Reg. § 1.408-2(e)(2) through (5) with respect to custodial accounts described in § 401(f) of qualified trusts established under § 401(a); custodial accounts described in § 403(b)(7); IRAs established under § 408(a) or (h); Roth IRAs established under § 408A; SIMPLE IRAs described in § 408(p); deemed IRAs established under qualified employer plans described in § 408(q); custodial accounts and contracts described in § 457(g)(3) of eligible deferred compensation plans established under § 457(b); Coverdell education savings accounts established under § 530; Archer medical savings accounts established under § 220; or Health Savings Accounts established under § 223. An applicant requesting approval as a nonbank trustee must provide Employee Plans Rulings and Agreements with clear and convincing proof that the requirements of the regulations are met. If there is a requirement that the applicant feels is not applicable, the application must provide clear and convincing proof that such requirement is not germane to the manner in which the applicant will administer any trust or custodial account. See § 1.408-2(e)(6).

To assist Employee Plans Rulings & Agreements in considering an application for nonbank trustee approval, Appendices E and F should be submitted with the request for approval.

.08 A “compliance statement” is a binding written agreement between Employee Plans Rulings and Agreements and, generally, the plan sponsor with respect to certain failures of a retirement plan to meet the applicable Code requirements identified by the plan sponsor in a voluntary submission under VCP. The compliance statement addresses the failures identified in the VCP submission, the terms of correction, including any revision of administrative procedures, and the time period within which proposed corrections must be implemented. A compliance statement is conditioned on (i) there being no misstatement or omission of material fact in connection with the submission, and (ii) the implementation of the specific corrections and satisfaction of any other conditions in the compliance statement within the prescribed time frame. See Rev. Proc. 2021-30.

.01 Taxpayers may request determination letters, letter rulings, and closing agreements on issues within the jurisdiction of Employee Plans Rulings and Agreements under this revenue procedure.

December 30, 2024 174 Bulletin No. 2025–1

Determination Letters .02 Employee Plans Rulings and Agreements issues determination letters on the status of pension, profit-sharing, stock bonus, annuity, and employee stock ownership plans under § 401, 403(a), 409, or 4975(e)(7), and (except with respect to an adopting employer of a pre-approved plan requesting a determination letter under section 12.03 or 12.04(2) of this revenue procedure) the status for exemption of any related trusts or custodial accounts under § 501(a). Employee Plans Rulings and Agreements also accepts determination letter applications for § 403(b) individually designed plans pursuant to the schedule described in section 1.03(1)(a) of this revenue procedure.

Letter Rulings .03 Employee Plans Rulings and Agreements issues letter rulings on the Code sections listed in section 24.01 of this revenue procedure, if appropriate in the interest of sound tax administration, to answer written inquiries of individuals and organizations about their status for tax purposes and the tax effects of their acts or transactions.

Voluntary Closing Agreements

.04 Employee Plans Rulings and Agreements considers voluntary closing agreement requests to resolve certain income or excise tax issues that are ineligible for resolution under EPCRS. See www.irs.gov/retirement-plans/employee-plans-voluntary-closing-agreements.

Other Matters .05 Note that issues involving employee plans not listed in section 24.01 of this revenue procedure generally fall under the jurisdiction of the Office of Associate Chief Counsel (Employee Benefits, Exempt Organizations, and Employment Taxes). See section 5.03 of this revenue procedure and Rev. Proc. 2025-1, this Bulletin.