Whenever possible, all documents should contain the case number and name of the national office attorney assigned to the TEAM request. Documents that are being sent in hardcopy should be sent on or before the day that the request for TEAM is submitted via e-mail, so as not to delay the TEAM process. It is anticipated that most, if not all, such documents will be identified during the pre-submission conference. The field and the taxpayer are encouraged to provide electronic versions of a proposed TEAM containing the taxpayer's deletions and legends for the national office's use. SECTION 14. HOW ARE In general, the procedures set forth in this section are applicable to TEAMs as well as TAMs except for the modifications set forth in sections 13.01 and 15 of this revenue procedure. Taxpayer notified .01 Regardless of whether the taxpayer or the Service initiates the request for a TAM or a TEAM, the field or area office: (1) will notify the taxpayer that a TAM or a TEAM is being requested; and (2) at or before the time the request is submitted to the national office, will give to the taxpayer a copy of the arguments that are being provided to the national office in support of the Service's position. If the examining officer or appeals officer initiates the request for a TAM or a TEAM, he or she will give to the taxpayer a copy of the statement of the pertinent facts and the issues proposed for submission to the national office. This section 14.01 does not apply to a TAM or a TEAM described in section 14.08 of this revenue procedure. Conference offered .02 When notifying the taxpayer that a TAM or a TEAM is being requested, the examining officer or appeals officer will also tell the taxpayer about the right to a conference with the national office if an adverse decision is indicated, and will ask the taxpayer whether such a conference is desired. If the taxpayer disagrees with the Service's statement of facts .03 If the examining officer or appeals officer initiates the request for a TAM or a TEAM, the taxpayer has 10 calendar days after receiving the statement of facts and specific issues to submit to that officer a written statement specifying any disagreement on the facts and issues. A taxpayer who needs more than 10 calendar days must justify in writing the request for an extension of time. The extension is subject to the approval of the territory manager or the area director, appeals. After receiving the taxpayer's statement of the areas of disagreement, the field or area office should make every effort to reach an agreement on the facts and the specific points at issue before the matter is referred to the national office. If an agreement cannot be reached, the field or area office will notify the taxpayer in writing. Within 10 calendar days after receiving the written notice, the taxpayer may submit a statement of the taxpayer's understanding of the facts and the specific points at issue. As discussed in section 12.01 of this revenue procedure, the taxpayer's set of facts must be accompanied by a penalties of perjury statement. A taxpayer who needs more than 10 calendar days to prepare the statement of understanding must justify, in writing, the request for an extension of time. The extension is subject to the approval of the territory manager or the area director, appeals. If there is no agreement on the facts, both sets of facts will be forwarded to the national office. The field, with the assistance of field counsel, will prepare a memorandum for the national office highlighting the material factual differences, and provide a copy to the taxpayer. The memorandum highlighting the factual differences will be included in the initial request for a TAM or TEAM. The national office will, as discussed below in section 21.14 of this revenue procedure, issue a TAM or a TEAM on each set of facts. If a request for a TAM or a TEAM involves the issue of whether a letter ruling should be modified or revoked, the national office will issue a TAM or a TEAM. Sec. 13.02 If the Service disagrees with the taxpayer's statement of facts .04 If the taxpayer initiates the request for a TAM or a TEAM and the taxpayer's statement of the facts and issues is not wholly acceptable to the field or area office, the Service will notify the taxpayer in writing of the areas of disagreement. The taxpayer has 10 calendar days after receiving the written notice to reply. A taxpayer who needs more than 10 calendar days must justify, in writing, the request for an extension of time. The extension is subject to the approval of the territory manager or the area director, appeals. If there is no agreement on the facts, both sets of facts will be forwarded to the national office. If there is no agreement on the facts, the taxpayer's set of facts must be accompanied by the following declaration: “Under penalties of perjury, I declare that I have examined this information, including accompanying documents, and, to the best of my knowledge and belief, the information contains all the relevant facts relating to the request for the information, and such facts are true, correct, and complete.” This declaration must be signed in accordance with the requirements in section 8.01(15)(b) of Rev. Proc. 2003–1. The field, with the assistance of field counsel, will prepare a memorandum for the national office highlighting the material factual differences, and provide a copy to the taxpayer. This memorandum will be forwarded with the initial request for a TAM or TEAM. The national office will, as discussed below in section 21.14 of this revenue procedure, issue a TAM or a TEAM on each set of facts. If the interpretation of a foreign law or foreign document is a material fact .05 If the interpretation of a foreign law or foreign document is a material fact, the national office, at its discretion, may refuse to issue a TAM or a TEAM. This section 14.05 applies whether or not the field or area office and the taxpayer dispute the interpretation of a foreign law or foreign document. The interpretation of a foreign law or foreign document means making a judgment about the import or effect of the foreign law or document that goes beyond its plain meaning. If the taxpayer has not submitted the required deletions statement .06 When the field or area office initiates the request for a TAM or a TEAM, the taxpayer has 10 calendar days after receiving the statement of facts and issues to be submitted to the national office to provide the deletions statement required under § 6110(c). See section 12.02 of this revenue procedure. If the taxpayer does not submit the deletions statement, the director or the area director, appeals will advise the taxpayer that the statement is required. When the taxpayer initiates the request for a TAM or a TEAM and does not submit a deletions statement with the request, the director or the area director, appeals will ask the taxpayer to submit the statement. If the director or the area director, appeals does not receive the deletions statement within 10 calendar days after asking the taxpayer for it, the director or the area director, appeals may decline to submit the request for a TAM or a TEAM. a If the director or the area director, appeals decides to request a TAM or a TEAM, whether initiated by the field or area office or by the taxpayer, in a case in which the taxpayer has not submitted the deletions statement, the national office will make those deletions that the Commissioner of Internal Revenue determines are required by $ 6110(c). .07 The public inspection provisions of $ 6110, including taxpayer notification and deletion processes, do not apply to any document to which § 6104 applies. Section 6104 of the Internal Revenue Code (Applications for exemption and letter rulings issued to certain exempt organizations open to public inspection) Criminal or civil fraud cases .08 The provisions of this section (about referring issues upon the taxpayer's request, telling the taxpayer about the referral of issues, giving the taxpayer a copy of the arguments submitted, submitting proposed deletions, and granting conferences in the national office) do not apply to a TAM or a TEAM described in § 6110(g)(5)(A) that involves a matter that is the subject of or is otherwise closely related to a criminal or civil fraud investigation, or a jeopardy or termination assessment. Sec. 14.08 In these cases, a copy of the TAM or a TEAM is given to the taxpayer after all proceedings in the investigations or assessments are complete, but before the Commissioner mails the notice of intention to disclose the TAM or the TEAM under $ 6110(f)(1). The taxpayer may then provide the statement of proposed deletions to the national office. Consider whether published general guidance is appropriate .09 If, at the outset, the assigned reviewer in the national office determines that general guidance should be published regarding the issue presented, the reviewer will immediately notify the Associate Chief Counsel. The reviewer will attempt to make this determination and recommendation as soon as possible, which may occur during the pre-submission conference. The criteria for this determination should include whether the issue has a broad application to similarly situated taxpayers or an industry, or resolution of the issue is important to a clear understanding of the tax laws. If the Associate Chief Counsel, in consultation with Division Counsel and the Operating Division, agrees that general guidance is desirable, an expedited guidance project will be initiated. The Associate Chief Counsel, in consultation with Division Counsel and the Operating Division, also will determine the appropriate resolution of the TAM or TEAM request, i.e., whether it may be issued in advance of the general guidance project or must await the publication of guidance. In general, except where policy issues and concerns regarding proper administration of the tax laws require otherwise, the TAM or TEAM will be issued in advance of the published guidance. SECTION 15. HOW ARE In general, the same procedures set forth above in section 14 should be used for handling a TEAM request that are used for handling a TAM request, with the following modifications: Within 5 calendar days after the assigned branch in the national office receives the TEAM request, the assigned attorney in the national office will contact the field and the field counsel to confirm the receipt of the request for advice. The assigned national office attorney and reviewer should also evaluate the issue(s) presented in the TEAM request to confirm that the issue(s) is appropriate for the TEAM procedures. If the reviewer has reservations about whether the TEAM procedures should apply, the reviewer should discuss those reservations with the Associate Chief Counsel with jurisdiction. If, notwithstanding the pre-submission discussion, the Associate Chief Counsel with jurisdiction concludes that the issue is too complex, or is otherwise impractical to resolve in the 60-day time frame provided below, the Associate Chief Counsel with jurisdiction must submit a memorandum to the Chief Counsel requesting that the case be excluded from the TEAM procedures and be treated as a TAM in accordance with the TAM procedures set forth in this revenue procedure. The Associate Chief Counsel must discuss the request to exclude the case from the TEAM procedures with both the field and the taxpayer and reflect their views in the memorandum to the Chief Counsel. A memorandum to the Chief Counsel is not required if the parties agree during the pre-submission conference that the TEAM procedures are not appropriate. The national office will attempt to issue all TEAMs to the field within 60 calendar days of receipt, provided that the field and the taxpayer submit all required information in a timely manner. The national office will provide the field with the TEAM at the earliest possible date (whether the proposed TEAM is favorable or adverse, in whole or in part, to the taxpayer). The national office will not advise the taxpayer of a proposed or final conclusion until the national office has considered a request for reconsideration under section 22.03 of this revenue procedure or, if no reconsideration is requested, after the expiration of the 30-day period to request reconsideration, whichever occurs later. SECTION 16. HOW DOES A Sec. 14.08 Taxpayer cannot appeal decision to seek a TAM or a TEAM .01 As discussed in section 9.04 of this revenue procedure, if a director or area director, appeals requests a TAM, taxpayer cooperation is not required. Thus, if a taxpayer does not want an issue to be referred to the national office for a TAM, the taxpayer cannot appeal the decision to seek a TAM. As discussed in section 11.02 of this revenue procedure, except for two situations, if a director or area director, appeals requests a TEAM, the field or area office, the taxpayer and the national office must all agree that the TEAM procedures are appropriate. Thus, in general, if a taxpayer does not want an issue to be referred to the national office for a TEAM, the request for advice will be treated as a request for a TAM for which taxpayer agreement a is not required. a Taxpayer notified of decision not to seek a TAM or a TEAM .02 If the examining officer or appeals officer concludes that a taxpayer's request for referral of an issue to the national office for a TAM or a TEAM does not warrant referral, the examining officer or appeals officer will tell the taxpayer. A taxpayer's request for such a referral will not be denied merely because the national office provided legal advice, other than advice furnished pursuant to this revenue procedure, to the field or area office on the matter. Taxpayer may appeal decision not to seek a TAM or a TEAM .03 The taxpayer may appeal the decision of the examining officer or appeals officer not to request a TAM or a TEAM. To do so, the taxpayer must submit to that officer, within 10 calendar days after being told of the decision, a written statement of the facts, law, and arguments on the issue and the reasons why the taxpayer believes the matter should be referred to the national office for a TAM or a TEAM. A taxpayer who needs more than 10 calendar days must justify in writing the request for an extension of time. The extension is subject to the approval of the territory manager or the area director, appeals. Territory manager or area director, appeals determines whether TAM or TEAM will be sought .04 The examining officer or appeals officer submits the taxpayer's statement through channels to the territory manager or the area director, appeals along with the examining officer's or appeals officer's statement of why the issue should not be referred to the national office. The territory manager or the area director, appeals determines on the basis of the statements whether a TAM or a TEAM will be requested. If the territory manager or the area director, appeals determines that a TAM or a TEAM is not warranted and proposes to deny the request, the taxpayer is told in writing about the determination. In the letter to the taxpayer, the territory manager or the area director, appeals states the reasons for the proposed denial (except in unusual situations when doing so would be prejudicial to the best interests of the Government). The taxpayer has 10 calendar days after receiving the letter to notify the territory manager or the area director, appeals of agreement or disagreement with the proposed denial. Territory manager's or area director, appeals' decision may be reviewed but not appealed a .05 The taxpayer may not appeal the decision of the territory manager or the area director, appeals not to request a TAM or a TEAM. If the taxpayer does not agree with the proposed denial, all data on the issue for which a TAM or a TEAM has been sought, including the taxpayer's written request and statements, will be submitted to the Industry Director, LMSB; the Area Director, SB/SE; the Director, Compliance, W&I; the Director, International, LMSB; the Director, Federal, State & Local Governments; the Director, Tax Exempt Bonds; the Director, Indian Tribal Governments; or the Director, Appeals Field Technical Services, as appropriate. The Industry Director, LMSB; the Area Director, SB/SE; the Director, Compliance, W&I; the Director, International, LMSB; the Director, Federal, State & Local Governments; the Director, Tax Exempt Bonds; the Director, Indian Tribal Governments; or the Director, Appeals Field Technical Services, as appropriate, will review the proposed denial solely on the basis of the written record, and no conference will be held with the taxpayer or the taxpayer's representative. The Industry Director, LMSB; the Director, Field Operations, SB/SE; the Director, Compliance, W&I; the Director, International, LMSB; the Director, Federal, State & Local Governments; the Director, Tax Exempt Bonds; the Director, Indian Tribal Governments; or the Director, Appeals Field Technical Services, as appropriate, may consult with Sec. 16.05 a the national office, if necessary, and will notify the director or area office within 45 calendar days of receiving all the data regarding the request for a TAM or a TEAM whether the proposed denial is approved or disapproved. The director or area office will then notify the taxpayer. While the matter is being reviewed, the director or area office will suspend action on the issue (except when the delay would prejudice the Government's interest). The provisions of this revenue procedure in regard to review of the proposed denial of a request for a TAM or a TEAM continue to be applicable in those situations in which the authority normally exercised by the director or the area director, appeals has been delegated to another official. a Special procedures applicable to appeals regarding frivolous issues .06 If the request for a TAM or a TEAM concerns a “frivolous issue,” as described in section 10.01 of this revenue procedure, a TAM or a TEAM will not be given, and the examining officer or appeals officer will deny the taxpayer's request for referral. The taxpayer may appeal the decision of the examining officer or appeals officer. If the territory manager or the area director, appeals determines that no TAM or TEAM will be sought, an expedited review procedure will be followed. This expedited review procedure will consist of the following: (1) the territory manager or the area director, appeals will inform the appropriate official described in section 16.05 of this revenue procedure (the Industry Director, LMSB; the Area Director, SB/SE; the Director, Compliance, W&I; the Director, International, LMSB; the Director, Federal, State, and Local Governments; the Director, Tax Exempt Bonds; the Director, Indian Tribal Governments; or the Director, Appeals Field Technical Services) of the request for review and the basis for the denial, but will not forward the taxpayer's written request and statements, unless requested to do so by the official; (2) the director or area office will not suspend action on the issue; (3) within 15 calendar days, the official will notify the territory manager or area director, appeals whether the proposed denial is approved or disapproved. The official may also determine that the expedited process is not warranted and request all of the information supplied by the taxpayer and allow suspension of action on the item while the denial is reviewed; and (4) the director or area office will notify the taxpayer of the result of the review of the denial. SECTION 17. HOW ARE Taxpayer notified .01 Once a request for a TAM or a TEAM has been sent to the national office, only a director or an area director, appeals may withdraw the request. He or she may ask to withdraw a request at any time before the responding transmittal memorandum for the TAM or TEAM is signed. The director or the area director, appeals as appropriate, must notify the taxpayer in writing of an intent to withdraw the request for a TAM or a TEAM except (1) when the period of limitations on assessment is about to expire and the taxpayer has declined to sign a consent to extend the period; or (2) when the notification would be prejudicial to the best interests of the Government. If the taxpayer does not agree that the request for a TAM or a TEAM should be withdrawn, the procedures in section 16 of this revenue procedure must be followed. Sec. 16.05 |