CCA 200520028: Business continues to have railroad employer status

Number

200520028

Outcome

Advice

Document type

Chief Counsel Advice

IRS subject

Employers v. Not Employers

Topics

Employment taxes

Code sections

§ 3231

Ruling dated

February 15, 2005

Publicly released

May 20, 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

On reexamination, the Railroad Retirement Board concluded that a business continued to be an employer under the Railroad Retirement Act and Railroad Unemployment Insurance Act. IRS Chief Counsel reviewed the Board's opinion and also concluded that the business continued to be an employer under the Railroad Retirement Tax Act. An earlier IRS determination had said the business ceased to be an employer as of a redacted date. Chief Counsel asked IRS processing staff to take appropriate action in light of the new conclusion.

Ruling snapshot

Question: Did the business continue to have employer status under the Railroad Retirement Tax Act?
Outcome: Chief Counsel concluded it remained an employer and requested processing action.
Key authorities: Railroad Retirement Tax Act; IRC § 3231 (employer definitions).

Full text (IRS public release)

Office of Chief Counsel

Memorandum
Internal Revenue Service

Number: 200520028
Release Date: 5/20/2005

CC:TEGE:EOEG:ET1:
POSTN-161453-04

UILC: 3231.01-00

date: February 15, 2005
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, upon reexamination, that the following business continues to be an employer under the Railroad Retirement Act and the Railroad Unemployment Insurance Act:
--------------------------------
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---------------------------------------------
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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 ---------------------------------continues to be an employer under the Railroad Retirement Tax Act. The prior determination, (copy enclosed) provided that ----------------
------------------- ceased to be an employer under the Act effective ---------------------. Please take the appropriate action regarding this business.

Janine Cook

cc:

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