IRS Written Determinations
Free IRS private letter rulings, technical advice memoranda, and Chief Counsel advice with plain-English summaries and the official IRS release on every page.
No determinations match these filters
Try a different search term or clear the filters.
Late opportunity-fund self-certification was treated as timely
Members without tax experience formed a partnership-taxed limited liability company to operate as a qualified opportunity fund. They discussed compliance work with a tax accountant but mistakenly beli…
Missed opportunity-fund election was accepted as timely
Members without tax experience organized a partnership-taxed limited liability company to serve as a qualified opportunity fund. They had discussed tax compliance with an accountant but misunderstood …
Missed QSST election did not end S corporation status
An S corporation shareholder's stock passed from a grantor trust to a successor trust after the grantor's death. The successor trust qualified to be a qualified subchapter S trust, but its sole benefi…
Investor received permission for a retroactive QEF election
A U.S. taxpayer owned a minority interest in a foreign company that later became a passive foreign investment company. The taxpayer relied on a qualified adviser who did not identify the company's PFI…
Closing agreement enabled a retroactive QEF election
A U.S. taxpayer held a minority interest in a foreign company that became a passive foreign investment company. The taxpayer's qualified adviser did not identify the PFIC status or explain the qualifi…
Adviser error qualified an investor for retroactive QEF relief
A U.S. taxpayer owned less than 10 percent of a foreign company that became a passive foreign investment company. A qualified tax adviser did not identify the PFIC status or tell the taxpayer about th…
Scholarship and educational-grant procedures were approved
A private foundation proposed scholarships and educational grants for people with financial need, with an emphasis on historically marginalized communities. Scholarship recipients would attend educati…
Agriculture scholarships and youth camp grants were approved
A private foundation proposed scholarships for undergraduate agriculture, science, and technology studies and educational grants for young people to attend qualifying camps. Scholarship applicants wou…
Fraternal insurer was denied charitable exemption
A local chapter of a fraternal benefit society applied for recognition as a charity under Section 501(c)(3). It was organized as a mutual-benefit corporation to provide fraternal life insurance, meet …
Fund for two named people was denied charitable exemption
A nonprofit corporation was formed to raise money for the living and medical expenses of two named individuals and their families. It held clay-shooting, raffle, and other sporting fundraisers and als…
Partnership received 120 days to make a late Section 754 election
A partnership failed to file a Section 754 election for the year a partner died, despite relying on tax advisers to make the election. The IRS found that the partnership satisfied the standards for la…
Adviser omission led to late Section 754 election relief
A partner who held an interest through a grantor trust died, but the partnership's adviser did not explain the availability of a Section 754 election. The partnership therefore omitted the election fr…
Partnership received relief for an adviser-missed Section 754 election
A limited liability company taxed as a partnership missed a Section 754 election after a partner who held an interest through a grantor trust died. The partnership's adviser had not informed it that t…
Late Section 754 election was allowed after partner's death
A limited partnership failed to make a Section 754 election after a partner who held an interest through a grantor trust died. Its adviser had not informed the partnership that the election was availa…
CPA filing error did not defeat opportunity-fund election
An S corporation intended to operate as a qualified opportunity fund and relied on its CPA to extend and file its first corporate return with Form 8996. An administrative error caused the CPA to miss …
Foreign entity received more time to elect disregarded status
A foreign single-owner eligible entity became relevant for U.S. tax purposes with a default classification as an association taxable as a corporation. It intended to change to disregarded-entity statu…
Foreign subsidiary received late disregarded-entity election relief
A domestic corporation formed and wholly owned a foreign eligible entity whose default classification was an association taxable as a corporation. No Form 8832, Form 8858, or Form 5471 had been filed,…
Late election allowed foreign entity to be disregarded
A corporation formed and wholly owned a foreign eligible entity that defaulted to association status for U.S. tax purposes. Form 8832 and the related Forms 8858 and 5471 were not filed, although the e…
Foreign entity obtained 120 days for a late Form 8832
A domestic corporate owner formed a foreign eligible entity that defaulted to association status. The taxpayers did not file Form 8832, Form 8858, or Form 5471, but reported the foreign entity's activ…
Corporation received 90 days to perfect its IC-DISC election
A corporation was formed to operate as an interest charge domestic international sales corporation. Its sole owner believed a prepared Form 4876-A had been properly executed and filed, but the IRS lat…
Missed QSST election was treated as an inadvertent S-election failure
Shares passed from a deceased shareholder to a trust before a corporation's S election became effective. The trust qualified as a qualified subchapter S trust, but its beneficiary did not timely make …
Partnership received late Section 754 election relief after a death
A partnership inadvertently failed to make a Section 754 election for the relevant year after one of its partners died. The IRS found that the partnership met the requirements for late-election relief…
Inadvertent Section 754 omission received late-election relief
A partnership inadvertently omitted a Section 754 election from the relevant return after a partner died. The IRS granted 120 days to make the election through the appropriate Form 1065-X or Form 8082…
Partnership was allowed to correct a missed Section 754 election
A partnership failed to make a Section 754 election for the relevant taxable year after a partner died. The IRS concluded that the standards for late-election relief were met and gave the partnership …
Missed partnership basis election received 120-day relief
A partnership inadvertently missed a Section 754 election for a taxable year following a partner's death. The IRS granted 120 days to make the election through Form 1065-X or Form 8082 and attach the …
Consolidated group received more time to expire unusable losses
A consolidated group acquired a target corporation with separate-return-year loss carryovers that could never be used because of a Section 382 limitation. The group intended to elect under the consoli…
Corporation could revoke its election out of bonus depreciation
An S corporation placed three-year, five-year, and seven-year qualified property in service but elected not to claim additional first-year depreciation because its timely filed return showed an overal…
Acquirer received more time for success-based-fee safe harbor
A consolidated group incurred financial-adviser fees in acquiring a target company and reported part of the reimbursed costs as 70 percent deductible and 30 percent capitalizable under the Rev. Proc. …
Opportunity fund received 60 days to add its missed Form 8996
A partnership was formed to operate as a qualified opportunity fund, but its managing member lacked detailed federal tax and QOF knowledge. The partnership missed both its first Form 1065 deadline and…
S corporation received more time for a QSub election
An S corporation formed a wholly owned domestic subsidiary and intended to treat it as a qualified subchapter S subsidiary from formation. The parent inadvertently failed to file the QSub election on …
Estate received relief for a late alternate-valuation election
An executor hired an attorney to administer an estate and an accountant to prepare Form 706. Neither adviser told the executor to make the Section 2032 alternate-valuation election, so the timely orig…
Pipeline-use fees qualified as REIT rents from real property
A REIT owned a partnership interest in a subsidiary that operated regulated oil and gas pipelines treated by the taxpayer as real property. Pipeline users reserved monthly capacity and paid tariff-bas…
Parent received 120 days to file a QSub election
An S corporation wholly owned a domestic subsidiary and intended QSub treatment from the same date as the parent's S election. The parent inadvertently failed to file the subsidiary election on time, …
Late S corporation and two QSub elections received relief
A corporation intended S corporation status from its formation date but did not timely file Form 2553. It also wholly owned two corporations intended to be QSubs from the same date but did not file th…
Missed QSST election received inadvertent termination relief
A trust acquired shares in an S corporation and met the substantive requirements for qualified subchapter S trust status, but no timely QSST election was made. The trust therefore became an ineligible…
Partnership obtained 120 days for a missed Section 754 election
A partnership inadvertently failed to make a Section 754 election for the relevant year after a partner died. The IRS granted 120 days to file the election with Form 1065-X or Form 8082 and attach the…
Environmental leadership and student project grants were approved
A private foundation proposed two educational grant programs supporting environmental conservation and sustainability. One was a year-long fellowship for young environmental leaders, with awards based…
Exemption was revoked for missing records and no shown exempt activity
An educational charity was examined after filing returns that, according to the IRS, showed little or no spending on exempt program services. A former officer also reported a dispute involving alleged…
Related for-profit use caused community center's exemption denial
A nonprofit planned to own and maintain a community center used for church services, free community activities, and paid events. A for-profit company created and directed by two members of the nonprof…
Contract-bound pageant awards did not support charitable exemption
An organization promoted western culture and rodeo through pageants, clinics, schools, and scholarships for winning contestants. Its articles provided that assets on dissolution would go to a similar …
Exemption was revoked after examination requests went unanswered
A Section 501(c)(3) organization had filed a mix of Forms 990-N and Form 990 and had not filed a Form 990-series return for another period. The IRS selected one Form 990-N year for examination and sen…
Charity lost exemption for uncontrolled and undocumented transfers
A charity raised funds for assistance in the United States and foreign countries and made many payments to individuals and organizations. The IRS found that recipients were often identified through fr…
Form 8300 guidance for legalized-substance businesses
Chief Counsel answered examination questions about Form 8300 compliance by businesses in the legalized-substance industry. The advice covers transaction descriptions and Fifth Amendment concerns, the …
Estate received 120 days to make a late portability election
An estate that was not otherwise required to file an estate tax return did not timely elect portability of the decedent's unused exclusion amount for the surviving spouse. Based on the submitted infor…
Housing project received 120 days to make average-income elections
The owner of a multi-building low-income housing project intended to elect the average-income minimum set-aside under Section 42(g)(1)(C), as shown by contemporaneous records, but inadvertently omitte…
Clean-transportation incentives qualified for the general welfare exclusion
A state-created air-quality program provided need-based incentives to lower- income residents who scrapped high-polluting vehicles and selected cleaner vehicles or mobility options. Payments generally…
Clean-vehicle replacement incentives were excluded from recipients' income
A state-created air-quality program provided need-based incentives to lower- income residents who scrapped high-polluting vehicles and selected cleaner vehicles or mobility options. Payments generally…
Air-quality mobility incentives qualified for the general welfare exclusion
A state-created air-quality program provided need-based incentives to lower- income residents who scrapped high-polluting vehicles and selected cleaner vehicles or mobility options. Payments generally…
Low-income clean-mobility incentives were excluded from gross income
A state-created air-quality program provided need-based incentives to lower- income residents who scrapped high-polluting vehicles and selected cleaner vehicles or mobility options. Payments generally…
Vehicle-scrappage mobility incentives qualified for the general welfare exclusion
A state-created air-quality program provided need-based incentives to lower- income residents who scrapped high-polluting vehicles and selected cleaner vehicles or mobility options. Payments generally…
Partnership's late Form 8996 was treated as a timely QOF election
A partnership intended from formation to qualify as a qualified opportunity fund, and its members contributed capital gain for that purpose. Its accountant timely filed Form 1065 but inadvertently omi…
LLC's amended-return Form 8996 was accepted as a timely QOF election
An LLC intended to qualify as a qualified opportunity fund, received members' capital-gain contributions, and acquired stock in a qualified opportunity zone business. Its accountant timely filed Form …
Foreign entity received 120 days for a late corporate-classification election
A foreign eligible entity had initially elected disregarded-entity status and later intended to be classified as an association taxable as a corporation, but it did not timely file Form 8832 for the c…
Partnership received 120 days to make a late Section 754 election
A partnership inadvertently failed to make a Section 754 election for the year in which one of its partners died. The IRS found that the partnership satisfied the standards for regulatory-election rel…
Five acquired entities could change to disregarded status within 60 months
A buyer acquired a corporation whose five domestic eligible entities had previously elected corporate classification, and the buyer and seller made Section 338(h)(10) elections for the acquisition. Th…
Partnership received late-election relief after a partner's death
After a partner died, a partnership intended to make a Section 754 election to adjust the basis of partnership property, but the election was inadvertently omitted from its timely return despite relia…
Brownfield-credit receivable and income qualified for REIT tests
A REIT indirectly owned an interest in a redeveloped brownfield site through partnership and disregarded-entity tiers. Its share of refundable state brownfield credits arose from remediation and devel…
LLC received 60 days to file its omitted QOF self-certification
An LLC was formed to operate as a qualified opportunity fund, but its manager did not know the partnership-return and Form 8996 deadline and believed the accountant would begin the filing process. The…
Youth-facility renovation set-aside approved
A charitable trust serving orphaned and other destitute children requested a 2022 set-aside to renovate or construct a facility for sports, arts, creative media, music, dance, emerging technology, and…
Museum-gallery renovation set-aside approved
A small private operating foundation requested a multi-year set-aside to research, redesign, and renovate a museum's main exhibit and gallery spaces, which had not been significantly renovated since o…
What these documents are
- Private letter rulings (PLRs): A taxpayer asked the IRS to rule on a planned transaction before doing it. The ruling shows exactly how the IRS applied the Code to those facts.
- Technical advice memoranda (TAMs): The IRS National Office answering a question raised during an audit or other proceeding.
- Chief Counsel advice (CCAs): IRS lawyers advising their own field staff on how to apply the law.
- Determination letters: Rulings on exempt-organization matters, such as whether an organization qualifies under § 501(c)(3) or a foundation's grant procedures pass § 4945.
- Not precedent, still useful: Under 26 U.S.C. § 6110(k)(3) none of these can be cited as precedent. They remain the best public window into how the IRS actually rules on facts like yours, and practitioners read them for exactly that.