CCA 200513024: Contracted engineer and conductor work counts as rail carrier employee service

Number

200513024

Outcome

Advice

Document type

Chief Counsel Advice

IRS subject

Employers v. Not Employers

Topics

Employment taxes

Code sections

§ 3231

Ruling dated

June 30, 2004

Publicly released

April 1, 2005

Source

View Official PDF

Apply this to your situation

This page covers legal advice the IRS Office of Chief Counsel wrote for IRS staff, issued in 2005, which can't be cited as precedent. Ask about your situation and see what the current Code and IRS guidance say, with citations.

Not precedent. Under 26 U.S.C. § 6110(k)(3), this written determination may not be used or cited as precedent. It is advice from the IRS Office of Chief Counsel to IRS personnel on the facts they presented, and identifying details were redacted by the IRS before release. The official IRS release (linked on this page as a PDF) is the authoritative source.

About this page: The plain-English summary and ruling snapshot below were written by Ezel based on the official IRS release. The full text is the IRS's own document.

View official IRS release (PDF)

Plain-English summary

The Railroad Retirement Board provided an opinion about work performed through a redacted business. Chief Counsel concluded that service as a locomotive engineer or conductor for a covered rail employer counted as employee service for the rail carrier employer under the Railroad Retirement Tax Act. The memorandum asks the IRS processing unit to take appropriate action. It does not separately state whether the intermediary business itself was a covered employer.

Ruling snapshot

Question: Did engineer and conductor work through the business count as employee service for the covered rail carrier?
Outcome: Advice given: yes, for the rail carrier employer.
Key authorities: Railroad Retirement Tax Act; IRC § 3231.

Full text (IRS public release)

Office of Chief Counsel

Memorandum
Internal Revenue Service

Number: 200513024
Release Date: 4/1/2005

CC:TEGE:EOEG:ET1:
POSTN-161884-04

UILC: 3231.01-00

date: June 30, 2004
to: Director, Submission Processing
Cincinnati, OH
Attn: Entity Unit

from: Office of Division Counsel/Associate Chief Counsel Tax Exempt & Government Entities

subject: Railroad Retirement Tax Act Status

In accordance with the coordination procedure established between the Service and the Railroad Retirement Board (RRB), the RRB has provided us with its opinion concerning the following business under the Railroad Retirement Act and the Railroad Unemployment Insurance Act:

-------------------------------------------------
-------------------------------------------------------
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We have reviewed the opinion of the RRB and, based upon the information submitted to us by the RRB, we also conclude that work preformed through ------------------------------------------------------
-----------------------------------------------------------------------------------------------------------------------------as a locomotive engineer or as a conductor for a covered rail employer is employee service for the rail carrier employer under the Railroad Retirement Tax Act. Please take the appropriate action regarding this business.

_____
Janine Cook-

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