Ezel / IRS Rulings / 200516016

CCA 200516016: Railroad business treated as an employer for railroad retirement tax

Number
200516016
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Employers v. Not Employers
Topics
Employment taxes
Ruling dated
November 8, 2004
Publicly released
April 22, 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.

Currency note: this determination was released in 2005
Statutory amendments, regulation changes, court decisions, or later IRS guidance may have changed the analysis since then. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, threshold, or position mentioned here.
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 advised the IRS that a redacted business had become an employer under the Railroad Retirement Act and the Railroad Unemployment Insurance Act. Chief Counsel reviewed that opinion and the information the board submitted. It concluded that the business also became an employer under the Railroad Retirement Tax Act as of a redacted date. The memo noted that the business might have no current employees and asked the IRS processing unit to take appropriate action. It does not cite a numbered Code section.

Ruling snapshot

  • Question: Should the business be treated as an employer under the Railroad Retirement Tax Act?
  • Outcome: Advice given: Chief Counsel concluded it became an employer.
  • Key authorities: Railroad Retirement Tax Act; Railroad Retirement Board opinion.

Full text (IRS public release)

Office of Chief Counsel

Memorandum
Internal Revenue Service

Number: 200516016
Release Date: 4/22/2005

CC:TEGE:EOEG:ET1:
POSTN-160766-04

UILC: 3231.01-00

date: November 08, 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 that the following business became an employer under the Railroad Retirement Act and the Railroad Unemployment Insurance Act effective ----------------:

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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 -------------------------------------- became an employer under the Railroad Retirement Tax Act effective ----------------. However, we note that the employer may have no employees currently. Please take the appropriate action regarding this business.
_____
Janine Cook
cc:

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