IRS corrects “reduced” user fee amount for letter rulings, method changes, closing agreements 

January 9:  The IRS today released an advance copy of Announcement 2013-9 which provides notice that there is a typographical error in the Schedule of User Fees, Appendix A of Rev. Proc. 2013-1.

Read today’s announcement: Announcement 2013-9 [PDF 19 KB]

Summary

Rev. Proc. 2013-1 provides a “reduced” user fee for a request for a letter ruling, method or period change or closing agreement involving a personal or business tax issue from a person with gross income of less than $250,000.


Originally, the user fee was listed as $1,000.


Today, the IRS reported that the correct reduced fee for this type of request is $2,000.


Announcement 2013-9 also states that:


  • The IRS will provide relief for taxpayers who submitted ruling requests that otherwise meet the requirements for a “reduced” user fee accompanied by a fee of $1,000. The IRS will not require the payment of an additional $1,000.
  • The IRS will not refund user fees to those taxpayers who submitted the correct fee of $2,000 with their initial filing.
  • The IRS relief applies only to requests received before February 1, 2013.
  • For requests received on or after February 1, 2013, the correct user fee of $2,000 will be required.


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