Internal Revenue Bulletin 2024-16 (PDF rendition): IRS Revenue Rulings

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Bulletin No. 2024–16
April 15, 2024
HIGHLIGHTS
OF THIS ISSUE
These synopses are intended only as aids to the reader in
identifying the subject matter covered. They may not be
relied upon as authoritative interpretations.
ADMINISTRATIVE
Announcement 2024-16, page 909.
This Announcement is issued pursuant to § 521(b) of Pub. L.
106-170, the Ticket to Work and Work Incentives Improve-
ment Act of 1999, which requires the Secretary of the Trea-
sury to report annually to the public concerning advance pric-
ing agreements (APAs) and the Advance Pricing and Mutual
Agreement Program (APMA Program), formerly known as the
Advance Pricing Agreement Program (APA Program). This
twenty-fifth report describes the experience, structure, and
activities of the APMA Program during calendar year 2023.
REG-117542-22, page 942.
This Notice of Proposed Rulemaking revises the regulations
pertaining to the advance notice to be provided to taxpay-
ers prior to IRS contact with third parties to conform to the
new statutory language of section 7602(c) enacted as part
of the Taxpayer First Act of 2019 (TFA), Public Law 116-25
(133 Stat. 981). The proposed regulations also provide, pur-
suant to the Secretary’s authority in section 7602(c)(1)(B),
exceptions to the 45-day advance notice requirement where
delaying contact with third parties for 45 days after providing
notice to the taxpayer would impair tax administration.
INCOME TAX
Announcement 2024-17, page 932.
REG-101552-24, 2024-13 I.R.B. 741 (March 25, 2024)
contains errors in the second sentence of the second
column on page 743 and in the first sentence of the
third column on page 746. These sentences incorrectly
describe the requirement that members in an unincorpo-
rated organization reserve the right separately to take
in kind or dispose of their pro rata shares of electricity
produced, extracted or used, or any associated renew-
able energy credits or similar credits. This requirement
was intended to be conjunctive, applying to both elec-
tricity and associated credits. The sentence on page
743 is corrected to read, “Second, the unincorporated
organization’s members must enter into a joint operating
agreement with respect to the applicable credit property
in which the members reserve the right separately to take
in kind or dispose of their pro rata shares of the electricity
produced, extracted, or used, and any associated renew-
able energy credits or similar credits.” The sentence on
page 746 is corrected to read, “(B) The members of which
enter into a joint operating agreement in which the mem-
bers reserve the right separately to take in kind or dis-
pose of their pro rata shares of the electricity produced,
extracted, or used, and any associated renewable energy
credits or similar credits”.
Notice 2024-30, page 878.
This notice modifies Notice 2023-29, 2023-29 I.R.B. 1
(July 17, 2023), clarified by Notice 2023-45, 2023-29
I.R.B. 317 (July 17, 2023), by expanding the Nameplate
Capacity Attribution Rule under section 4.02(1)(b) of
Notice 2023-29 to include additional attribution property
and by adding two 2017 North American Industry Classifi-
cation System (NAICS) industry codes to the table in sec-
tion 3.03(2) of Notice 2023-29 for purposes of determin-
ing the Fossil Fuel Employment rate (as defined in section
3.03(2) of Notice 2023-29).
Notice 2024-32, page 897.
This notice provides guidance for qualified student loan
bonds to clarify certain requirements for tax-exempt
bond financing for loan programs of general application
approved by a State under § 144(b)(1)(B) (State Supple-
mental Loan programs). Specifically, this notice addresses
eligibility of borrowers of loans through State Supplemen-
tal Loan programs and the loan size limitation for State
Supplemental Loans. This notice also provides guidance
on whether an issue of State or local bonds the proceeds
of which are used to finance or refinance qualified student
loans or to finance qualified mortgage loans is a refunding
issue.
Finding Lists begin on page ii.

REG-108761-22, page 933.
This Notice of Proposed Rulemaking (NPRM) would add a
new regulation section promulgated under section 6011
of the Code to establish that Charitable Remainder Annu-
ity Trust (CRAT) transactions described in the NPRM are
listed transactions for purposes of Treasury Regulation §
1.6011-4 and sections 6111 and 6112. The transaction
at issue is one in which taxpayers purport to eliminate rec-
ognition of ordinary income and/or capital gain on appre-
ciated property contributed to a CRAT when the CRAT sells
that property and purchases a single premium immediate
annuity (SPIA). Taxpayers misapply the rules governing
CRAT’s upon the sale of the appreciated property by the
CRAT and also misapply the rules concerning the SPIA by
treating the beneficiaries as the owners of the SPIA, rather
than it being an asset of the CRAT funding the annuity pay-
ments from the trust.
Rev. Proc. 2024-19, page 899.
The Department of the Treasury (Treasury Department) and
the Internal Revenue Service (IRS) are issuing this revenue
procedure to provide the process under § 48(e) of the Inter-
nal Revenue Code to apply for an allocation of environmental
justice solar and wind capacity limitation (Capacity Limitation)
as part of the low-income communities bonus credit program
(Program) for the 2024 Program year. Additionally, this rev-
enue procedure describes how the Capacity Limitation for
the 2024 Program year will be divided across the facility
categories described in §§ 48(e)(2)(A)(iii) and 1.48(e)-1(b)(2),
the Category 1 sub-reservation described in § 1.48(e)-1(i)
(1), and the additional selection criteria application options
described in § 1.48(e)-1(h). Receipt of an allocation of Capac-
ity Limitation increases the amount of an energy investment
credit determined under § 48(a) for the taxable year in which
certain solar and wind-powered electricity generation facili-
ties are placed in service.
Rev. Rul. 2024-8, page 877.
Fringe benefits aircraft valuation formula. For purposes of
section 1.61-21(g) of the Income Tax Regulations, relating
to the rule for valuing non-commercial flights on employ-
er-provided aircraft, the Standard Industry Fare Level
(SIFL) cents-per-mile rates and terminal charge in effect
for the first half of 2024 are set forth.

The IRS Mission
Provide America’s taxpayers top-quality service by helping
them understand and meet their tax responsibilities and
enforce the law with integrity and fairness to all.
Introduction
The Internal Revenue Bulletin is the authoritative instrument
of the Commissioner of Internal Revenue for announcing offi-
cial rulings and procedures of the Internal Revenue Service
and for publishing Treasury Decisions, Executive Orders, Tax
Conventions, legislation, court decisions, and other items of
general interest. It is published weekly.
It is the policy of the Service to publish in the Bulletin all sub-
stantive rulings necessary to promote a uniform application
of the tax laws, including all rulings that supersede, revoke,
modify, or amend any of those previously published in the
Bulletin. All published rulings apply retroactively unless other-
wise indicated. Procedures relating solely to matters of inter-
nal management are not published; however, statements of
internal practices and procedures that affect the rights and
duties of taxpayers are published.
Revenue rulings represent the conclusions of the Service
on the application of the law to the pivotal facts stated in
the revenue ruling. In those based on positions taken in rul-
ings to taxpayers or technical advice to Service field offices,
identifying details and information of a confidential nature are
deleted to prevent unwarranted invasions of privacy and to
comply with statutory requirements.
Rulings and procedures reported in the Bulletin do not have the
force and effect of Treasury Department Regulations, but they
may be used as precedents. Unpublished rulings will not be
relied on, used, or cited as precedents by Service personnel in
the disposition of other cases. In applying published rulings and
procedures, the effect of subsequent legislation, regulations,
court decisions, rulings, and procedures must be considered,
and Service personnel and others concerned are cautioned
against reaching the same conclusions in other cases unless
the facts and circumstances are substantially the same.
The Bulletin is divided into four parts as follows:
Part I.—1986 Code.
This part includes rulings and decisions based on provisions
of the Internal Revenue Code of 1986.
Part II.—Treaties and Tax Legislation.
This part is divided into two subparts as follows: Subpart A,
Tax Conventions and Other Related Items, and Subpart B,
Legislation and Related Committee Reports.
Part III.—Administrative, Procedural, and Miscellaneous.
To the extent practicable, pertinent cross references to these
subjects are contained in the other Parts and Subparts. Also
included in this part are Bank Secrecy Act Administrative
Rulings. Bank Secrecy Act Administrative Rulings are issued
by the Department of the Treasury’s Office of the Assistant
Secretary (Enforcement).
Part IV.—Items of General Interest.
This part includes notices of proposed rulemakings, disbar-
ment and suspension lists, and announcements.
The last Bulletin for each month includes a cumulative index
for the matters published during the preceding months. These
monthly indexes are cumulated on a semiannual basis, and are
published in the last Bulletin of each semiannual period.
The contents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.
April 15, 2024 Bulletin No. 2024–16

Part I
Section 61.—Gross Income
Defined
26 CFR 1.61-21: Taxation of Fringe Benefit
Rev. Rul. 2024-08
For purposes of the taxation of fringe
benefits under section 61 of the Inter-
nal Revenue Code, section 1.61-21(g)
of the Income Tax Regulations pro-
vides a rule for valuing noncommercial
flights on employer-provided aircraft.
Section 1.61-21(g)(5) provides an air-
craft valuation formula to determine
the value of such flights. The value of a
flight is determined under the base air-
craft valuation formula (also known as
the Standard Industry Fare Level for-
mula or SIFL) by multiplying the SIFL
cents-per-mile rates applicable for the
period during which the flight was
taken by the appropriate aircraft mul-
tiple provided in section 1.61-21(g)(7)
and then adding the applicable terminal
charge. The SIFL cents-per-mile rates
in the formula and the terminal charge
are calculated by the Department of
Transportation (DOT) and are reviewed
semi-annually.
The following chart sets forth the ter-
minal charge and SIFL mileage rates:
Period During Which Terminal Charge SIFL Mileage Rates
the Flight Is Taken
1/1/24 - 6/30/24 $55.05 Up to 500 miles
= $.3012 per mile
501-1500 miles
= $.2296 per mile
Over 1500 miles
= $.2208 per mile
DRAFTING INFORMATION
The principal author of this revenue rul-
ing is Kathleen Edmondson of the Office
of Associate Chief Counsel (Employee
Benefits, Exempt Organizations and
Employment Taxes). For further informa-
tion regarding this revenue ruling, contact
Ms. Edmondson at (202) 317-6798 (not a
toll-free number).
Bulletin No. 2024–16 877 April 15, 2024

Part III
Energy Community Bonus
Credit Amounts Under the
Inflation Reduction Act of
2022
Notice 2024-30
SECTION 1. PURPOSE
This notice modifies Notice 2023-
29, 2023-29 I.R.B. 1 (July 17, 2023),
clarified by Notice 2023-45, 2023-29
I.R.B. 317 (July 17, 2023), by expand-
ing the Nameplate Capacity Attribution
Rule under section 4.02(1)(b) of Notice
2023-29 to include additional attribution
property and by adding two 2017 North
American Industry Classification Sys-
tem (NAICS) industry codes to the table
in section 3.03(2) of Notice 2023-29 for
purposes of determining the Fossil Fuel
Employment rate (as defined in section
3.03(2) of Notice 2023-29). These modi-
fications are set forth in section 3 of this
notice.
SECTION 2. BACKGROUND
.01 In General. Public Law 117-169,
136 Stat. 1818 (August 16, 2022), com-
monly known as the Inflation Reduction
Act of 2022 (IRA), amended §§ 45 and
48 of the Internal Revenue Code (Code)
1

to provide increased credit amounts or
rates if certain requirements pertaining
to energy communities are satisfied, and
added new §§ 45Y and 48E, which pro-
vide increased credit amounts or rates
for certain qualified facilities, energy
projects, or energy storage technologies
that satisfy similar requirements and that
are placed in service after December 31,
2024.
2
Notice 2023-29 describes certain
rules that the Department of the Treasury
(Treasury Department) and the Internal
Revenue Service (IRS) intend to include
in forthcoming proposed regulations for
determining what constitutes an energy
community, as defined in § 45(b)(11)(B)
and as adopted by §§ 45Y(g)(7), 48(a)
(14), and 48E(a)(3)(A), and for determin-
ing whether a qualified facility, an energy
project, or energy storage technology is
located in an energy community. Notice
2023-29 also provides that the Treasury
Department and the IRS intend to propose
that the forthcoming proposed regulations
will apply to taxable years ending after
April 4, 2023. Taxpayers may rely on the
rules described in sections 3 through 6 of
Notice 2023-29 until the proposed regula-
tions are published.
Sections 45(b)(11), 48(a)(14), 45Y(g)
(7), and 48E(a)(3)(A) provide the
requirements that taxpayers must satisfy
to qualify EC Projects (defined in sec-
tion 2 of Notice 2023-29) for increased
energy community bonus credit amounts
or rates under those provisions of the
Code. Section 2 of Notice 2023-29 pro-
vides that the term “EC Project” refers
to: (1) a qualified facility eligible for a
credit determined under § 45 or deter-
mined under § 45Y that is located in an
energy community; (2) an energy project
eligible for a credit determined under
§ 48, which may include qualified prop-
erty for which a taxpayer has made a
valid irrevocable election under § 48(a)
(5) to treat such qualified property as
energy property under § 48, that is placed
in service within an energy community;
or (3) a qualified investment with respect
to a qualified facility or energy storage
technology eligible for a credit deter-
mined under § 48E that is placed in ser-
vice within an energy community.
Section 45(b)(11)(B) identifies three
location-based categories of energy com-
munities for purposes of §§ 45, 45Y, 48,
and 48E, described in Notice 2023-29
as the Brownfield Category, the Statisti-
cal Area Category, and the Coal Closure
Category. The Statistical Area Category
includes a metropolitan statistical area
(MSA) or non-metropolitan statistical
area (non-MSA) that (1) has (or had at any
time after December 31, 2009) 0.17 per-
cent or greater direct employment (Fossil
Fuel Employment) or 25 percent or greater
local tax revenues (Fossil Fuel Tax Reve-
nue) related to the extraction, processing,
transport, or storage of coal, oil, or natural
gas (as determined by the Secretary of the
Treasury or her delegate (Secretary)); and
(2) has an unemployment rate at or above
the national average unemployment rate
for the previous year (as determined by
the Secretary).
Section 4 of Notice 2023-29 provides
generally applicable rules for determin-
ing whether a qualified facility is located
in an energy community under §§ 45 or
45Y, and under §§ 48 and 48E, whether
an energy project, qualified facility, or
energy storage technology, as applica-
ble, is placed in service within an energy
community. Section 4.02 of Notice
2023-29 provides that an EC Project is
treated as located in or placed in service
within an energy community if it satis-
fies either the Nameplate Capacity Test
under section 4.02(1) of that notice or
the Footprint Test under section 4.02(2)
of that notice.
.02 The Nameplate Capacity Attribu-
tion Rule. Under the Nameplate Capacity
Test, an EC Project that has nameplate
capacity is considered located in or placed
in service within an energy community
if 50 percent or more of the EC Project’s
nameplate capacity is in an area that qual-
ifies as an energy community. The Name-
plate Capacity Test includes a Nameplate
Capacity Attribution Rule (described in
section 4.02(1)(b) of Notice 2023-29).
The Nameplate Capacity Attribution Rule
provides that if an EC Project with off-
shore energy generation units has name-
plate capacity but none of the EC Project’s
energy-generating units are in a census
tract, MSA, or non-MSA, then the Name-
plate Capacity Test for such EC Project is
applied by attributing all the nameplate
1
Unless otherwise specified, all “section” or “§” references are to sections of the Code.
2
See § 13101(g) of the IRA for the energy community provisions under § 45(b)(11), § 13102(o) of the IRA for the energy community provisions under § 48(a)(14), § 13701(a) of the IRA for
the energy community provisions under § 45Y(g)(7), and § 13702(a) of the IRA for the energy community provisions under § 48E(a)(3)(A).
April 15, 2024 878 Bulletin No. 2024–16

Bulletin No. 2024–16 879 April 15, 2024
capacity of such EC Project to the land-
based power conditioning equipment that
conditions energy generated by the EC
Project for transmission, distribution, or
use and that is closest to the point of inter-
connection. Section 3.01 of this notice
expands the Nameplate Capacity Attribu-
tion Rule to include additional attribution
property.
.03 NAICS codes used for determining
the Fossil Fuel Employment rate. Sec-
tion 3.03(2) of Notice 2023-29 provides
that for purposes of determining whether
an MSA or non-MSA is in the Statisti-
cal Area Category based on Fossil Fuel
Employment, the relevant direct employ-
ment is determined by the number of peo-
ple employed in the industries identified
by the 2017 NAICS industry codes listed
in the table in section 3.03(2) of Notice
2023-29. The Fossil Fuel Employment
rate is determined as the number of peo-
ple employed in the industries identi-
fied by the 2017 NAICS codes specified
in the table and as listed in the annual
County Files of the County Business
Patterns (CBP) published by the Census
Bureau, divided by the total number of
people employed in that area. The Fossil
Fuel Employment and total employment
for each county in an MSA or non-MSA
is aggregated for each year to determine
whether the MSA or non-MSA meets the
Fossil Fuel Employment threshold of
0.17 percent. Section 3.02 of this notice
modifies the Fossil Fuel Employment
rate determination by adding two NAICS
codes to the table provided in section
3.03(2) of Notice 2023-29.
SECTION 3. MODIFICATION OF
NOTICE 2023-29
.01 Modification of the Nameplate
Capacity Attribution Rule. Section 4.02(1)
(b) of Notice 2023-29 is modified to read
as follows:
(b) Nameplate Capacity Attribu-
tion Rule. If an EC Project with off-
shore energy generation units has
nameplate capacity but none of the
EC Project’s energy-generating units
are in a census tract, MSA, or non-
MSA, then the Nameplate Capacity
Test for such EC Project is applied by
attributing all the nameplate capacity
of such EC Project to: (i) any land-
based power conditioning equipment
that conditions energy generated by
the EC Project for transmission, dis-
tribution, or use before the energy
is transmitted to the point of inter-
connection (or in the case of an EC
Project with multiple points of inter-
connection, any land-based power
conditioning equipment that con-
ditions energy generated by the EC
Project for transmission, distribution,
or use before the energy is transmitted
to one of the multiple points of inter-
connection); or (ii) any EC Project
supervisory control and data acqui-
sition (SCADA) equipment located
in an EC Project Port. EC Project
SCADA equipment is property owned
by the taxpayer that owns the EC
Project and is used to remotely moni-
tor and control the EC Project’s oper-
ations. An EC Project Port is defined
as a port used either full or part-time
to facilitate maritime operations nec-
essary for the installation or opera-
tion and maintenance of the EC Proj-
ect, and with a significant long-term
relationship with the EC Project at
which staff employed by, or working
as independent contractors for, the
taxpayer that owns the EC Project are
based and perform functions essential
to the EC Project’s operations. A port
will be considered to have a signifi-
cant long-term relationship with the
EC Project only if the taxpayer that
owns the EC Project owns (in whole
or in part) or leases (in whole or in
part) under a lease agreement with a
term of at least 10 years, the port in
which the EC Project SCADA equip-
ment is located. Staff employed by, or
working as independent contractors
for, the taxpayer that owns the EC
Project will be considered based in
an EC Project Port to perform func-
tions essential to the EC Project’s
operations only if the staff perform
(collectively, if not individually) all
of the following functions: manage-
ment of marine operations, inventory
and handling of spare parts and con-
sumables, and berthing and dispatch
of operation and maintenance vessels
and associated crews and technicians.
.02 Modification of the Fossil Fuel
Employment rate determination by the
addition of two NAICS codes.
(1) The table in section 3.03(2) of
Notice 2023-29 is modified to read as fol-
lows (new codes in bold):
2017 NAICS codeDescription
211Oil and Gas Extraction
2121Coal Mining
213111Drilling Oil and Gas Wells
213112Support Activities for Oil and Gas Operations
213113Support Activities for Coal Mining
2212Natural Gas Distribution
23712Oil and Gas Pipeline and Related Structures Construction
32411Petroleum Refineries
4861Pipeline Transportation of Crude Oil
4862Pipeline Transportation of Natural Gas

April 15, 2024 880 Bulletin No. 2024–16
(2) Appendix B to Notice 2023-29
provided the list of MSAs and non-
MSAs that meet the Fossil Fuel Employ-
ment threshold described in § 45(b)(11)
(B)(ii)(I) and section 3.03(2) of Notice
2023-29. Appendix 1 to this notice is a
list of additional MSAs and non-MSAs
that meet the Fossil Fuel Employment
threshold described in Notice 2023-29
after including the two additional NAICS
codes. Appendix 1 to this notice, Appen-
dix B to Notice 2023-29, and Appendix
1 to Notice 2023-47 together provide
the full list of MSAs and non-MSAs that
meet the Fossil Fuel Employment thresh-
old applicable to the period beginning on
January 1, 2023.
(3) Appendix 2 to Notice 2023-47 is
a list of MSAs and non-MSAs that qual-
ify as energy communities because they
meet the Fossil Fuel Employment thresh-
old and have an unemployment rate at
or above the national average unem-
ployment rate for calendar year 2022
as described in § 45(b)(11)(B)(ii)(II)
and section 3.03(3) of Notice 2023-29.
Appendix 2 to this notice is a list of addi-
tional MSAs and non-MSAs that qualify
as energy communities after including
the two additional NAICS codes. Appen-
dix 2 to this notice and Appendix 2 of
Notice 2023-47 together provide the full
list of energy communities in the Statis-
tical Area Category for the period begin-
ning on January 1, 2023. As provided in
section 3.03(3) of Notice 2023-29, the
energy community status for the MSAs
and non-MSAs listed in Appendix 2 of
Notice 2023-47 and Appendix 2 of this
notice is effective as of January 1, 2023,
and that status will continue until the list
is updated based on unemployment rates
for calendar year 2023.
SECTION 4. APPLICABILITY DATE
Until the proposed regulations are
published, taxpayers may rely on the
rules described in sections 3 through 6 of
Notice 2023-29, as previously clarified by
Notice 2023-45 and modified by section 3
this notice, for taxable years ending after
April 4, 2023.
SECTION 5. EFFECT ON OTHER
DOCUMENTS
Notice 2023-29 is modified as pro-
vided in section 3 of this notice. Except
as provided in section 3 of this notice, this
notice does not otherwise affect the guid-
ance provided in Notice 2023-29.
SECTION 6. DRAFTING
INFORMATION
The principal author of this notice
is the Office of Associate Chief Coun-
sel (Passthroughs & Special Industries).
However, other personnel from the Trea-
sury Department and the IRS participated
in its development. For further informa-
tion regarding this notice, call the energy
security guidance contact number at (202)
317-5254 (not a toll-free number).

Bulletin No. 2024–16 881 April 15, 2024
Appendix 1: Additional MSAs and non-MSAs that meet the Fossil Fuel Employment threshold that were not included in
Appendix B to Notice 2023-29
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
01015AlabamaCalhoun County11500Anniston-Oxford-Jacksonville, AL
01017AlabamaChambers County100002Northeast Alabama nonmetropolitan area
01019AlabamaCherokee County100002Northeast Alabama nonmetropolitan area
01027AlabamaClay County100002Northeast Alabama nonmetropolitan area
01029AlabamaCleburne County100002Northeast Alabama nonmetropolitan area
01037AlabamaCoosa County100002Northeast Alabama nonmetropolitan area
01049AlabamaDeKalb County100002Northeast Alabama nonmetropolitan area
01071AlabamaJackson County100002Northeast Alabama nonmetropolitan area
01095AlabamaMarshall County100002Northeast Alabama nonmetropolitan area
01111AlabamaRandolph County100002Northeast Alabama nonmetropolitan area
01121AlabamaTalladega County100002Northeast Alabama nonmetropolitan area
01123AlabamaTallapoosa County100002Northeast Alabama nonmetropolitan area
04003ArizonaCochise County43420Sierra Vista-Douglas, AZ
04005ArizonaCoconino County22380Flagstaff, AZ
04019ArizonaPima County46060Tucson, AZ
04025ArizonaYavapai County39140Prescott, AZ
05007ArkansasBenton County22220Fayetteville-Springdale-Rogers, AR-MO
05025ArkansasCleveland County38220Pine Bluff, AR
05051ArkansasGarland County26300Hot Springs, AR
05069ArkansasJefferson County38220Pine Bluff, AR
05
079ArkansasLincoln County38220Pine Bluff, AR
05081ArkansasLittle River County45500Texarkana, TX-AR
05087ArkansasMadison County22220Fayetteville-Springdale-Rogers, AR-MO
05091ArkansasMiller County45500Texarkana, TX-AR
05143ArkansasWashington County22220Fayetteville-Springdale-Rogers, AR-MO
06003CaliforniaAlpine County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06005CaliforniaAmador County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06009CaliforniaCalaveras County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06011CaliforniaColusa County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06021CaliforniaGlenn County600007North Valley-Northern Mountains Region
of California nonmetropolitan area
06027CaliforniaInyo County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06035CaliforniaLassen County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06043CaliforniaMariposa County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area

April 15, 2024 882 Bulletin No. 2024–16
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
06049CaliforniaModoc County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06051CaliforniaMono County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06055CaliforniaNapa County34900 Napa, CA
06057CaliforniaNevada County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06063CaliforniaPlumas County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06065CaliforniaRiverside County40140 Riverside-San Bernardino-Ontario, CA
06071CaliforniaSan Bernardino County40140Riverside-San Bernardino-Ontario, CA
06073CaliforniaSan Diego County41740 San Diego-Carlsbad, CA
06091CaliforniaSierra County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06093CaliforniaSiskiyou County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06103CaliforniaTehama County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06105CaliforniaTrinity County600007 North Valley-Northern Mountains Region of
California nonmetropolitan area
06107CaliforniaTulare County47300 Visalia-Porterville, CA
06109CaliforniaTuolumne County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
08013ColoradoBoulder County14500 Boulder, CO
09009ConnecticutNew Haven County35300 New Haven-Milford, CT
09015ConnecticutWindham County49340 Worcester, MA-CT
10003DelawareNew Castle County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
12001Florida
Alachua County23540 Gainesville, FL
12027FloridaDeSoto County1200003 South Florida nonmetropolitan area
12033FloridaEscambia County37860 Pensacola-Ferry Pass-Brent, FL
12039FloridaGadsden County45220 Tallahassee, FL
12041FloridaGilchrist County23540 Gainesville, FL
12043FloridaGlades County1200003 South Florida nonmetropolitan area
12049FloridaHardee County1200003 South Florida nonmetropolitan area
12051FloridaHendry County1200003 South Florida nonmetropolitan area
12065FloridaJefferson County45220 Tallahassee, FL
12073FloridaLeon County45220 Tallahassee, FL
12087FloridaMonroe County1200003 South Florida nonmetropolitan area
12093FloridaOkeechobee County1200003 South Florida nonmetropolitan area
12113FloridaSanta Rosa County37860 Pensacola-Ferry Pass-Brent, FL
12129FloridaWakulla County45220 Tallahassee, FL
13013GeorgiaBarrow County12060 Atlanta-Sandy Springs-Roswell, GA
13015GeorgiaBartow County12060 Atlanta-Sandy Springs-Roswell, GA
13035GeorgiaButts County12060 Atlanta-Sandy Springs-Roswell, GA

Bulletin No. 2024–16 883 April 15, 2024
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
13045GeorgiaCarroll County12060 Atlanta-Sandy Springs-Roswell, GA
13057GeorgiaCherokee County12060 Atlanta-Sandy Springs-Roswell, GA
13059GeorgiaClarke County12020 Athens-Clarke County, GA
13063GeorgiaClayton County12060 Atlanta-Sandy Springs-Roswell, GA
13067GeorgiaCobb County12060 Atlanta-Sandy Springs-Roswell, GA
13077GeorgiaCoweta County12060 Atlanta-Sandy Springs-Roswell, GA
13085GeorgiaDawson County12060 Atlanta-Sandy Springs-Roswell, GA
13089GeorgiaDeKalb County12060 Atlanta-Sandy Springs-Roswell, GA
13097GeorgiaDouglas County12060 Atlanta-Sandy Springs-Roswell, GA
13113GeorgiaFayette County12060 Atlanta-Sandy Springs-Roswell, GA
13115GeorgiaFloyd County40660 Rome, GA
13117GeorgiaForsyth County12060 Atlanta-Sandy Springs-Roswell, GA
13121GeorgiaFulton County12060 Atlanta-Sandy Springs-Roswell, GA
13135GeorgiaGwinnett County12060 Atlanta-Sandy Springs-Roswell, GA
13143GeorgiaHaralson County12060 Atlanta-Sandy Springs-Roswell, GA
13149GeorgiaHeard County12060 Atlanta-Sandy Springs-Roswell, GA
13151GeorgiaHenry County12060 Atlanta-Sandy Springs-Roswell, GA
13159GeorgiaJasper County12060 Atlanta-Sandy Springs-Roswell, GA
13171GeorgiaLamar County12060 Atlanta-Sandy Springs-Roswell, GA
13195GeorgiaMadison County12020 Athens-Clarke County, GA
13
199GeorgiaMeriwether County12060 Atlanta-Sandy Springs-Roswell, GA
13211GeorgiaMorgan County12060 Atlanta-Sandy Springs-Roswell, GA
13217GeorgiaNewton County12060 Atlanta-Sandy Springs-Roswell, GA
13219GeorgiaOconee County12020 Athens-Clarke County, GA
13221GeorgiaOglethorpe County12020 Athens-Clarke County, GA
13223GeorgiaPaulding County12060 Atlanta-Sandy Springs-Roswell, GA
13227GeorgiaPickens County12060 Atlanta-Sandy Springs-Roswell, GA
13231GeorgiaPike County12060 Atlanta-Sandy Springs-Roswell, GA
13247GeorgiaRockdale County12060 Atlanta-Sandy Springs-Roswell, GA
13255GeorgiaSpalding County12060 Atlanta-Sandy Springs-Roswell, GA
13297GeorgiaWalton County12060 Atlanta-Sandy Springs-Roswell, GA
16001IdahoAda County14260 Boise City, ID
16015IdahoBoise County14260 Boise City, ID
16027IdahoCanyon County14260 Boise City, ID
16045IdahoGem County14260 Boise City, ID
16073IdahoOwyhee County14260 Boise City, ID
17005IllinoisBond County41180 St. Louis, MO-IL
17011IllinoisBureau County1700001 Northwest Illinois nonmetropolitan area
17013IllinoisCalhoun County41180 St. Louis, MO-IL
17015IllinoisCarroll County1700001 Northwest Illinois nonmetropolitan area
17027IllinoisClinton County41180 St. Louis, MO-IL
17031IllinoisCook County16980 Chicago-Naperville-Elgin, IL-IN-WI
17037Illinois
DeKalb County16980 Chicago-Naperville-Elgin, IL-IN-WI

April 15, 2024 884 Bulletin No. 2024–16
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
17043IllinoisDuPage County16980 Chicago-Naperville-Elgin, IL-IN-WI
17063IllinoisGrundy County16980 Chicago-Naperville-Elgin, IL-IN-WI
17083IllinoisJersey County41180 St. Louis, MO-IL
17085IllinoisJo Daviess County1700001 Northwest Illinois nonmetropolitan area
17089IllinoisKane County16980 Chicago-Naperville-Elgin, IL-IN-WI
17091IllinoisKankakee County28100 Kankakee, IL
17093IllinoisKendall County16980 Chicago-Naperville-Elgin, IL-IN-WI
17097IllinoisLake County16980 Chicago-Naperville-Elgin, IL-IN-WI
17099IllinoisLaSalle County1700001 Northwest Illinois nonmetropolitan area
17103IllinoisLee County1700001 Northwest Illinois nonmetropolitan area
17111IllinoisMcHenry County16980 Chicago-Naperville-Elgin, IL-IN-WI
17115IllinoisMacon County19500 Decatur, IL
17117IllinoisMacoupin County41180 St. Louis, MO-IL
17119IllinoisMadison County41180 St. Louis, MO-IL
17133IllinoisMonroe County41180 St. Louis, MO-IL
17141IllinoisOgle County1700001 Northwest Illinois nonmetropolitan area
17155IllinoisPutnam County1700001 Northwest Illinois nonmetropolitan area
17163IllinoisSt. Clair County41180 St. Louis, MO-IL
17177IllinoisStephenson County1700001 Northwest Illinois nonmetropolitan area
17195IllinoisWhiteside County1700001 Northwest Illinois nonmetropolitan area
17
197IllinoisWill County16980 Chicago-Naperville-Elgin, IL-IN-WI
18009IndianaBlackford County1800002 Central Indiana nonmetropolitan area
18023IndianaClinton County1800002 Central Indiana nonmetropolitan area
18031IndianaDecatur County1800002 Central Indiana nonmetropolitan area
18041IndianaFayette County1800002 Central Indiana nonmetropolitan area
18045IndianaFountain County1800002 Central Indiana nonmetropolitan area
18047IndianaFranklin County1800002 Central Indiana nonmetropolitan area
18053IndianaGrant County1800002 Central Indiana nonmetropolitan area
18065IndianaHenry County1800002 Central Indiana nonmetropolitan area
18073IndianaJasper County16980 Chicago-Naperville-Elgin, IL-IN-WI
18075IndianaJay County1800002 Central Indiana nonmetropolitan area
18089IndianaLake County16980 Chicago-Naperville-Elgin, IL-IN-WI
18107IndianaMontgomery County1800002 Central Indiana nonmetropolitan area
18111IndianaNewton County16980 Chicago-Naperville-Elgin, IL-IN-WI
18121IndianaParke County1800002 Central Indiana nonmetropolitan area
18127IndianaPorter County16980 Chicago-Naperville-Elgin, IL-IN-WI
18135IndianaRandolph County1800002 Central Indiana nonmetropolitan area
18139IndianaRush County1800002 Central Indiana nonmetropolitan area
18159IndianaTipton County1800002 Central Indiana nonmetropolitan area
18171IndianaWarren County1800002 Central Indiana nonmetropolitan area
18177IndianaWayne County1800002 Central Indiana nonmetropolitan area
19061IowaDubuque County20220 Dubuque, IA
20045Kansas
Douglas County29940 Lawrence, KS

Bulletin No. 2024–16 885 April 15, 2024
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
20091KansasJohnson County28140 Kansas City, MO-KS
20103KansasLeavenworth County28140 Kansas City, MO-KS
20107KansasLinn County28140 Kansas City, MO-KS
20121KansasMiami County28140 Kansas City, MO-KS
20209KansasWyandotte County28140 Kansas City, MO-KS
21093KentuckyHardin County21060 Elizabethtown-Fort Knox, KY
21123KentuckyLarue County21060 Elizabethtown-Fort Knox, KY
21163KentuckyMeade County21060 Elizabethtown-Fort Knox, KY
23001MaineAndroscoggin County30340 Lewiston-Auburn, ME
24015MarylandCecil County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
25001MassachusettsBarnstable County12700 Barnstable Town, MA
25003MassachusettsBerkshire County38340 Pittsfield, MA
25007MassachusettsDukes County2500006 Massachusetts nonmetropolitan area
25011MassachusettsFranklin County2500006 Massachusetts nonmetropolitan area
25019MassachusettsNantucket County2500006 Massachusetts nonmetropolitan area
25027MassachusettsWorcester County49340 Worcester, MA-CT
26087MichiganLapeer County19820 Detroit-Warren-Dearborn, MI
26093MichiganLivingston County19820 Detroit-Warren-Dearborn, MI
26099MichiganMacomb County19820 Detroit-Warren-Dearborn, MI
26115MichiganMonroe County33780 Monroe, MI
26125MichiganOakland County19820 Detroit-Warren-Dearborn, MI
26147MichiganSt. Clair County19820 Detroit-Warren-Dearborn, MI
26161MichiganWashtenaw County11460 Ann Arbor, MI
26163MichiganWayne County19820 Detroit-Warren-Dearborn, MI
27003MinnesotaAnoka County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27005MinnesotaBecker County2700001 Northwest Minnesota nonmetropolitan area
27007MinnesotaBeltrami County2700001 Northwest Minnesota nonmetropolitan area
27011MinnesotaBig Stone County2700003 Southwest Minnesota nonmetropolitan area
27019MinnesotaCarver County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27021MinnesotaCass County2700001 Northwest Minnesota nonmetropolitan area
27023MinnesotaChippewa County2700003 Southwest Minnesota nonmetropolitan area
27025MinnesotaChisago County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27029MinnesotaClearwater County2700001 Northwest Minnesota nonmetropolitan area
27033MinnesotaCottonwood County2700003 Southwest Minnesota nonmetropolitan area
27035MinnesotaCrow Wing County2700001 Northwest Minnesota nonmetropolitan area
27037MinnesotaDakota County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27041MinnesotaDouglas County2700001 Northwest Minnesota nonmetropolitan area
27051MinnesotaGrant County2700001 Northwest Minnesota nonmetropolitan area
27053MinnesotaHennepin County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27057MinnesotaHubbard County2700001 Northwest Minnesota nonmetropolitan area
27059MinnesotaIsanti County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27063MinnesotaJackson County2700003 Southwest Minnesota nonmetropolitan area

April 15, 2024 886 Bulletin No. 2024–16
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
27067MinnesotaKandiyohi County2700003 Southwest Minnesota nonmetropolitan area
27069MinnesotaKittson County2700001 Northwest Minnesota nonmetropolitan area
27073MinnesotaLac qui Parle County2700003 Southwest Minnesota nonmetropolitan area
27077MinnesotaLake of the Woods
County
2700001 Northwest Minnesota nonmetropolitan area
27079MinnesotaLe Sueur County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27081MinnesotaLincoln County2700003 Southwest Minnesota nonmetropolitan area
27083MinnesotaLyon County2700003 Southwest Minnesota nonmetropolitan area
27085MinnesotaMcLeod County2700003 Southwest Minnesota nonmetropolitan area
27087MinnesotaMahnomen County2700001 Northwest Minnesota nonmetropolitan area
27089MinnesotaMarshall County2700001 Northwest Minnesota nonmetropolitan area
27093MinnesotaMeeker County2700003 Southwest Minnesota nonmetropolitan area
27095MinnesotaMille Lacs County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27097MinnesotaMorrison County2700001 Northwest Minnesota nonmetropolitan area
27101MinnesotaMurray County2700003 Southwest Minnesota nonmetropolitan area
27105MinnesotaNobles County2700003 Southwest Minnesota nonmetropolitan area
27107MinnesotaNorman County2700001 Northwest Minnesota nonmetropolitan area
27111MinnesotaOtter Tail County2700001 Northwest Minnesota nonmetropolitan area
27113MinnesotaPennington County2700001 Northwest Minnesota nonmetropolitan area
27117MinnesotaPipestone County2700003 Southwest Minnesota nonmetropolitan area
27121MinnesotaPope County2700001 Northwest Minnesota nonmetropolitan area
27123MinnesotaRamsey County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27125MinnesotaRed Lake County2700001 Northwest Minnesota nonmetropolitan area
27127MinnesotaRedwood County2700003 Southwest Minnesota nonmetropolitan area
27129MinnesotaRenville County2700003 Southwest Minnesota nonmetropolitan area
27133MinnesotaRock County2700003 Southwest Minnesota nonmetropolitan area
27135MinnesotaRoseau County2700001 Northwest Minnesota nonmetropolitan area
27139MinnesotaScott County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27141MinnesotaSherburne County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27143MinnesotaSibley County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27149MinnesotaStevens County2700001 Northwest Minnesota nonmetropolitan area
27151MinnesotaSwift County2700003 Southwest Minnesota nonmetropolitan area
27153MinnesotaTodd County2700001 Northwest Minnesota nonmetropolitan area
27155MinnesotaTraverse County2700001 Northwest Minnesota nonmetropolitan area
27159MinnesotaWadena County2700001 Northwest Minnesota nonmetropolitan area
27163MinnesotaWashington County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27167MinnesotaWilkin County2700001 Northwest Minnesota nonmetropolitan area
27171MinnesotaWright County33460 Minneapolis-St. Paul-Bloomington, MN-WI
27173MinnesotaYellow Medicine
County
2700003 Southwest Minnesota nonmetropolitan area
29001MissouriAdair County2900002 North Missouri nonmetropolitan area
29005MissouriAtchison County2900002 North Missouri nonmetropolitan area
29007MissouriAudrain County2900002 North Missouri nonmetropolitan area

Bulletin No. 2024–16 887 April 15, 2024
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
29009MissouriBarry County2900004 Southwest Missouri nonmetropolitan area
29011MissouriBarton County2900004 Southwest Missouri nonmetropolitan area
29013MissouriBates County28140 Kansas City, MO-KS
29025MissouriCaldwell County28140 Kansas City, MO-KS
29033MissouriCarroll County2900002 North Missouri nonmetropolitan area
29037MissouriCass County28140 Kansas City, MO-KS
29039MissouriCedar County2900004 Southwest Missouri nonmetropolitan area
29041MissouriChariton County2900002 North Missouri nonmetropolitan area
29045MissouriClark County2900002 North Missouri nonmetropolitan area
29047MissouriClay County28140 Kansas City, MO-KS
29049MissouriClinton County28140 Kansas City, MO-KS
29057MissouriDade County2900004 Southwest Missouri nonmetropolitan area
29061MissouriDaviess County2900002 North Missouri nonmetropolitan area
29071MissouriFranklin County41180 St. Louis, MO-IL
29075MissouriGentry County2900002 North Missouri nonmetropolitan area
29079MissouriGrundy County2900002 North Missouri nonmetropolitan area
29081MissouriHarrison County2900002 North Missouri nonmetropolitan area
29087MissouriHolt County2900002 North Missouri nonmetropolitan area
29095MissouriJackson County28140 Kansas City, MO-KS
29097MissouriJasper County27900 Joplin, MO
29
099MissouriJefferson County41180 St. Louis, MO-IL
29103MissouriKnox County2900002 North Missouri nonmetropolitan area
29107MissouriLafayette County28140 Kansas City, MO-KS
29109MissouriLawrence County2900004 Southwest Missouri nonmetropolitan area
29111MissouriLewis County2900002 North Missouri nonmetropolitan area
29113MissouriLincoln County41180 St. Louis, MO-IL
29115MissouriLinn County2900002 North Missouri nonmetropolitan area
29117MissouriLivingston County2900002 North Missouri nonmetropolitan area
29119MissouriMcDonald County22220 Fayetteville-Springdale-Rogers, AR-MO
29121MissouriMacon County2900002 North Missouri nonmetropolitan area
29127MissouriMarion County2900002 North Missouri nonmetropolitan area
29129MissouriMercer County2900002 North Missouri nonmetropolitan area
29137MissouriMonroe County2900002 North Missouri nonmetropolitan area
29139MissouriMontgomery County2900002 North Missouri nonmetropolitan area
29145MissouriNewton County27900 Joplin, MO
29147MissouriNodaway County2900002 North Missouri nonmetropolitan area
29163MissouriPike County2900002 North Missouri nonmetropolitan area
29165MissouriPlatte County28140 Kansas City, MO-KS
29171MissouriPutnam County2900002 North Missouri nonmetropolitan area
29173MissouriRalls County2900002 North Missouri nonmetropolitan area
29175MissouriRandolph County2900002 North Missouri nonmetropolitan area
29177MissouriRay County28140 Kansas City, MO-KS
29183Missouri
St. Charles County41180 St. Louis, MO-IL

April 15, 2024 888 Bulletin No. 2024–16
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
29189MissouriSt. Louis County41180 St. Louis, MO-IL
29197MissouriSchuyler County2900002 North Missouri nonmetropolitan area
29199MissouriScotland County2900002 North Missouri nonmetropolitan area
29205MissouriShelby County2900002 North Missouri nonmetropolitan area
29209MissouriStone County2900004 Southwest Missouri nonmetropolitan area
29211MissouriSullivan County2900002 North Missouri nonmetropolitan area
29213MissouriTaney County2900004 Southwest Missouri nonmetropolitan area
29217MissouriVernon County2900004 Southwest Missouri nonmetropolitan area
29219MissouriWarren County41180 St. Louis, MO-IL
29227MissouriWorth County2900002 North Missouri nonmetropolitan area
29510MissouriSt. Louis city41180 St. Louis, MO-IL
30001MontanaBeaverhead County3000003 Southwest Montana nonmetropolitan area
30007MontanaBroadwater County3000003 Southwest Montana nonmetropolitan area
30023MontanaDeer Lodge County3000003 Southwest Montana nonmetropolitan area
30031MontanaGallatin County3000003 Southwest Montana nonmetropolitan area
30039MontanaGranite County3000003 Southwest Montana nonmetropolitan area
30043MontanaJefferson County3000003 Southwest Montana nonmetropolitan area
30049MontanaLewis and Clark
County
3000003 Southwest Montana nonmetropolitan area
30057MontanaMadison County3000003 Southwest Montana nonmetropolitan area
30059MontanaMeagher County3000003 Southwest Montana nonmetropolitan area
30067MontanaPark County3000003 Southwest Montana nonmetropolitan area
30077MontanaPowell County3000003 Southwest Montana nonmetropolitan area
30093MontanaSilver Bow County3000003 Southwest Montana nonmetropolitan area
30097MontanaSweet Grass County3000003 Southwest Montana nonmetropolitan area
31079NebraskaHall County24260 Grand Island, NE
31081NebraskaHamilton County24260 Grand Island, NE
31093NebraskaHoward County24260 Grand Island, NE
31121NebraskaMerrick County24260 Grand Island, NE
32003NevadaClark County29820 Las Vegas-Henderson-Paradise, NV
32510NevadaCarson City16180 Carson City, NV
34001New JerseyAtlantic County12100 Atlantic City-Hammonton, NJ
34005New JerseyBurlington County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
34007New JerseyCamden County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
34015New JerseyGloucester County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
34033New JerseySalem County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
35001New MexicoBernalillo County10740 Albuquerque, NM
35043New MexicoSandoval County10740 Albuquerque, NM
35057New MexicoTorrance County10740 Albuquerque, NM
35061New MexicoValencia County10740 Albuquerque, NM

Bulletin No. 2024–16 889 April 15, 2024
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
36007New YorkBroome County13780 Binghamton, NY
36029New YorkErie County15380 Buffalo-Cheektowaga-Niagara Falls, NY
36063New YorkNiagara County15380 Buffalo-Cheektowaga-Niagara Falls, NY
36107New YorkTioga County13780 Binghamton, NY
37049North CarolinaCraven County35100 New Bern, NC
37065North CarolinaEdgecombe County40580 Rocky Mount, NC
37081North CarolinaGuilford County24660 Greensboro-High Point, NC
37103North CarolinaJones County35100 New Bern, NC
37127North CarolinaNash County40580 Rocky Mount, NC
37137North CarolinaPamlico County35100 New Bern, NC
37151North CarolinaRandolph County24660 Greensboro-High Point, NC
37157North CarolinaRockingham County24660 Greensboro-High Point, NC
38003North DakotaBarnes County3800007 East North Dakota nonmetropolitan area
38005North DakotaBenson County3800007 East North Dakota nonmetropolitan area
38019North DakotaCavalier County3800007 East North Dakota nonmetropolitan area
38021North DakotaDickey County3800007 East North Dakota nonmetropolitan area
38027North DakotaEddy County3800007 East North Dakota nonmetropolitan area
38031North DakotaFoster County3800007 East North Dakota nonmetropolitan area
38039North DakotaGriggs County3800007 East North Dakota nonmetropolitan area
38045North DakotaLaMoure County3800007 East North Dakota nonmetropolitan area
38
047North DakotaLogan County3800007 East North Dakota nonmetropolitan area
38051North DakotaMcIntosh County3800007 East North Dakota nonmetropolitan area
38063North DakotaNelson County3800007 East North Dakota nonmetropolitan area
38067North DakotaPembina County3800007 East North Dakota nonmetropolitan area
38071North DakotaRamsey County3800007 East North Dakota nonmetropolitan area
38073North DakotaRansom County3800007 East North Dakota nonmetropolitan area
38077North DakotaRichland County3800007 East North Dakota nonmetropolitan area
38079North DakotaRolette County3800007 East North Dakota nonmetropolitan area
38081North DakotaSargent County3800007 East North Dakota nonmetropolitan area
38091North DakotaSteele County3800007 East North Dakota nonmetropolitan area
38093North DakotaStutsman County3800007 East North Dakota nonmetropolitan area
38095North DakotaTowner County3800007 East North Dakota nonmetropolitan area
38097North DakotaTraill County3800007 East North Dakota nonmetropolitan area
38099North DakotaWalsh County3800007 East North Dakota nonmetropolitan area
38103North DakotaWells County3800007 East North Dakota nonmetropolitan area
39041OhioDelaware County18140 Columbus, OH
39045OhioFairfield County18140 Columbus, OH
39049OhioFranklin County18140 Columbus, OH
39073OhioHocking County18140 Columbus, OH
39089OhioLicking County18140 Columbus, OH
39097OhioMadison County18140 Columbus, OH
39117OhioMorrow County18140 Columbus, OH
39127Ohio
Perry County18140 Columbus, OH

April 15, 2024 890 Bulletin No. 2024–16
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
39129OhioPickaway County18140 Columbus, OH
39133OhioPortage County10420 Akron, OH
39153OhioSummit County10420 Akron, OH
39159OhioUnion County18140 Columbus, OH
40031OklahomaComanche County30020 Lawton, OK
40033OklahomaCotton County30020 Lawton, OK
41005OregonClackamas County38900 Portland-Vancouver-Hillsboro, OR-WA
41009OregonColumbia County38900 Portland-Vancouver-Hillsboro, OR-WA
41029OregonJackson County32780 Medford, OR
41051OregonMultnomah County38900 Portland-Vancouver-Hillsboro, OR-WA
41067OregonWashington County38900 Portland-Vancouver-Hillsboro, OR-WA
41071OregonYamhill County38900 Portland-Vancouver-Hillsboro, OR-WA
42011PennsylvaniaBerks County39740 Reading, PA
42017PennsylvaniaBucks County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
42029PennsylvaniaChester County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
42037PennsylvaniaColumbia County14100 Bloomsburg-Berwick, PA
42041PennsylvaniaCumberland County25420 Harrisburg-Carlisle, PA
42043PennsylvaniaDauphin County25420 Harrisburg-Carlisle, PA
42045PennsylvaniaDelaware County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
42049PennsylvaniaErie County
21500 Erie, PA
42091PennsylvaniaMontgomery County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
42093PennsylvaniaMontour County14100 Bloomsburg-Berwick, PA
42099PennsylvaniaPerry County25420 Harrisburg-Carlisle, PA
42101PennsylvaniaPhiladelphia County37980 Philadelphia-Camden-Wilmington, PA-NJ-
DE-MD
42133PennsylvaniaYork County49620 York-Hanover, PA
45017South CarolinaCalhoun County17900 Columbia, SC
45039South CarolinaFairfield County17900 Columbia, SC
45055South CarolinaKershaw County17900 Columbia, SC
45063South CarolinaLexington County17900 Columbia, SC
45079South CarolinaRichland County17900 Columbia, SC
45081South CarolinaSaluda County17900 Columbia, SC
48037TexasBowie County45500 Texarkana, TX-AR
48145TexasFalls County47380 Waco, TX
48309TexasMcLennan County47380 Waco, TX
51007VirginiaAmelia County40060 Richmond, VA
51015VirginiaAugusta County44420 Staunton-Waynesboro, VA
51033VirginiaCaroline County40060 Richmond, VA
51036VirginiaCharles City County40060 Richmond, VA
51041VirginiaChesterfield County40060 Richmond, VA

Bulletin No. 2024–16 891 April 15, 2024
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
51053VirginiaDinwiddie County40060 Richmond, VA
51075VirginiaGoochland County40060 Richmond, VA
51085VirginiaHanover County40060 Richmond, VA
51087VirginiaHenrico County40060 Richmond, VA
51101VirginiaKing William County40060 Richmond, VA
51127VirginiaNew Kent County40060 Richmond, VA
51145VirginiaPowhatan County40060 Richmond, VA
51149VirginiaPrince George County40060 Richmond, VA
51183VirginiaSussex County40060 Richmond, VA
51570VirginiaColonial Heights city40060 Richmond, VA
51670VirginiaHopewell city40060 Richmond, VA
51730VirginiaPetersburg city40060 Richmond, VA
51760VirginiaRichmond city40060 Richmond, VA
51790VirginiaStaunton city44420 Staunton-Waynesboro, VA
51820VirginiaWaynesboro city44420 Staunton-Waynesboro, VA
53005WashingtonBenton County28420 Kennewick-Richland, WA
53011WashingtonClark County38900 Portland-Vancouver-Hillsboro, OR-WA
53015WashingtonCowlitz County31020 Longview, WA
53021WashingtonFranklin County28420 Kennewick-Richland, WA
53059WashingtonSkamania County38900 Portland-Vancouver-Hillsboro, OR-WA
55
009WisconsinBrown County24580 Green Bay, WI
55017WisconsinChippewa County20740 Eau Claire, WI
55027WisconsinDodge County5500003 South Central Wisconsin nonmetropolitan
area
55035WisconsinEau Claire County20740 Eau Claire, WI
55043WisconsinGrant County5500003 South Central Wisconsin nonmetropolitan
area
55047WisconsinGreen Lake County5500003 South Central Wisconsin nonmetropolitan
area
55055WisconsinJefferson County5500003 South Central Wisconsin nonmetropolitan
area
55059WisconsinKenosha County16980 Chicago-Naperville-Elgin, IL-IN-WI
55061WisconsinKewaunee County24580 Green Bay, WI
55065WisconsinLafayette County5500003 South Central Wisconsin nonmetropolitan
area
55077WisconsinMarquette County5500003 South Central Wisconsin nonmetropolitan
area
55079WisconsinMilwaukee County33340 Milwaukee-Waukesha-West Allis, WI
55083WisconsinOconto County24580 Green Bay, WI
55089WisconsinOzaukee County33340 Milwaukee-Waukesha-West Allis, WI
55093WisconsinPierce County33460 Minneapolis-St. Paul-Bloomington, MN-WI
55103WisconsinRichland County5500003 South Central Wisconsin nonmetropolitan
area
55109WisconsinSt. Croix County33460 Minneapolis-St. Paul-Bloomington, MN-WI

April 15, 2024 892 Bulletin No. 2024–16
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non-MSA
Code
MSA or non-MSA Name
55111WisconsinSauk County5500003 South Central Wisconsin nonmetropolitan
area
55127WisconsinWalworth County5500003 South Central Wisconsin nonmetropolitan
area
55131WisconsinWashington County33340 Milwaukee-Waukesha-West Allis, WI
55133WisconsinWaukesha County33340 Milwaukee-Waukesha-West Allis, WI
55135WisconsinWaupaca County5500003 South Central Wisconsin nonmetropolitan
area
55137WisconsinWaushara County5500003 South Central Wisconsin nonmetropolitan
area

Bulletin No. 2024–16 893 April 15, 2024
Appendix 2: Additional MSAs and non-MSAs that qualify as energy communities in 2023 by meeting the Fossil Fuel
Employment threshold and the unemployment rate requirement for calendar year 2022 that were not included in Appendix
2 to Notice 2023-47
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non- MSA
Code
MSA or non-MSA Name
04003ArizonaCochise County43420Sierra Vista-Douglas, AZ
04005ArizonaCoconino County22380Flagstaff, AZ
04019ArizonaPima County46060Tucson, AZ
05025ArkansasCleveland County38220Pine Bluff, AR
05051ArkansasGarland County26300Hot Springs, AR
05069ArkansasJefferson County38220Pine Bluff, AR
05079ArkansasLincoln County38220Pine Bluff, AR
05081ArkansasLittle River County45500Texarkana, TX-AR
05091ArkansasMiller County45500Texarkana, TX-AR
06003CaliforniaAlpine County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06005CaliforniaAmador County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06009CaliforniaCalaveras County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06011CaliforniaColusa County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06021CaliforniaGlenn County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06027CaliforniaInyo County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06035CaliforniaLassen County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06043CaliforniaMariposa County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06049CaliforniaModoc County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06051California
Mono County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
06057CaliforniaNevada County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06063CaliforniaPlumas County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06065CaliforniaRiverside County40140 Riverside-San Bernardino-Ontario, CA
06071CaliforniaSan Bernardino
County
40140 Riverside-San Bernardino-Ontario, CA
06091CaliforniaSierra County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06093CaliforniaSiskiyou County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06103CaliforniaTehama County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area

April 15, 2024 894 Bulletin No. 2024–16
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non- MSA
Code
MSA or non-MSA Name
06105CaliforniaTrinity County600007 North Valley-Northern Mountains Region
of California nonmetropolitan area
06107CaliforniaTulare County47300 Visalia-Porterville, CA
06109CaliforniaTuolumne County600006 Eastern Sierra-Mother Lode Region of
California nonmetropolitan area
09009ConnecticutNew Haven County35300 New Haven-Milford, CT
09015ConnecticutWindham County49340 Worcester, MA-CT
10003DelawareNew Castle County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
17011IllinoisBureau County1700001 Northwest Illinois nonmetropolitan area
17015IllinoisCarroll County1700001 Northwest Illinois nonmetropolitan area
17031IllinoisCook County16980 Chicago-Naperville-Elgin, IL-IN-WI
17037IllinoisDeKalb County16980 Chicago-Naperville-Elgin, IL-IN-WI
17043IllinoisDuPage County16980 Chicago-Naperville-Elgin, IL-IN-WI
17063IllinoisGrundy County16980 Chicago-Naperville-Elgin, IL-IN-WI
17085IllinoisJo Daviess County1700001 Northwest Illinois nonmetropolitan area
17089IllinoisKane County16980 Chicago-Naperville-Elgin, IL-IN-WI
17091IllinoisKankakee County28100 Kankakee, IL
17093IllinoisKendall County16980 Chicago-Naperville-Elgin, IL-IN-WI
17097IllinoisLake County16980 Chicago-Naperville-Elgin, IL-IN-WI
17099IllinoisLaSalle County1700001 Northwest Illinois nonmetropolitan area
17103IllinoisLee County1700001 Northwest Illinois nonmetropolitan area
17111Illinois
McHenry County16980 Chicago-Naperville-Elgin, IL-IN-WI
17115IllinoisMacon County19500 Decatur, IL
17141IllinoisOgle County1700001 Northwest Illinois nonmetropolitan area
17155IllinoisPutnam County1700001 Northwest Illinois nonmetropolitan area
17177IllinoisStephenson County1700001 Northwest Illinois nonmetropolitan area
17195IllinoisWhiteside County1700001 Northwest Illinois nonmetropolitan area
17197IllinoisWill County16980 Chicago-Naperville-Elgin, IL-IN-WI
18073IndianaJasper County16980 Chicago-Naperville-Elgin, IL-IN-WI
18089IndianaLake County16980 Chicago-Naperville-Elgin, IL-IN-WI
18111IndianaNewton County16980 Chicago-Naperville-Elgin, IL-IN-WI
18127IndianaPorter County16980 Chicago-Naperville-Elgin, IL-IN-WI
21093KentuckyHardin County21060 Elizabethtown-Fort Knox, KY
21123KentuckyLarue County21060 Elizabethtown-Fort Knox, KY
21163KentuckyMeade County21060 Elizabethtown-Fort Knox, KY
24015MarylandCecil County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
25001MassachusettsBarnstable County12700 Barnstable Town, MA
25003MassachusettsBerkshire County38340 Pittsfield, MA
25007MassachusettsDukes County2500006 Massachusetts nonmetropolitan area
25011MassachusettsFranklin County2500006 Massachusetts nonmetropolitan area
25019MassachusettsNantucket County2500006 Massachusetts nonmetropolitan area

Bulletin No. 2024–16 895 April 15, 2024
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non- MSA
Code
MSA or non-MSA Name
25027MassachusettsWorcester County49340 Worcester, MA-CT
26087MichiganLapeer County19820 Detroit-Warren-Dearborn, MI
26093MichiganLivingston County19820 Detroit-Warren-Dearborn, MI
26099MichiganMacomb County19820 Detroit-Warren-Dearborn, MI
26115MichiganMonroe County33780 Monroe, MI
26125MichiganOakland County19820 Detroit-Warren-Dearborn, MI
26147MichiganSt. Clair County19820 Detroit-Warren-Dearborn, MI
26163MichiganWayne County19820 Detroit-Warren-Dearborn, MI
32003NevadaClark County29820 Las Vegas-Henderson-Paradise, NV
32510NevadaCarson City16180 Carson City, NV
34001New JerseyAtlantic County12100 Atlantic City-Hammonton, NJ
34005New JerseyBurlington County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
34007New JerseyCamden County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
34015New JerseyGloucester County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
34033New JerseySalem County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
35001New MexicoBernalillo County10740 Albuquerque, NM
35043New MexicoSandoval County10740 Albuquerque, NM
35057New MexicoTorrance County10740 Albuquerque, NM
35061New MexicoValencia County10740 Albuquerque, NM
36007
New YorkBroome County13780 Binghamton, NY
36107New YorkTioga County13780 Binghamton, NY
37049North CarolinaCraven County35100 New Bern, NC
37065North CarolinaEdgecombe County40580 Rocky Mount, NC
37081North CarolinaGuilford County24660 Greensboro-High Point, NC
37103North CarolinaJones County35100 New Bern, NC
37127North CarolinaNash County40580 Rocky Mount, NC
37137North CarolinaPamlico County35100 New Bern, NC
37151North CarolinaRandolph County24660 Greensboro-High Point, NC
37157North CarolinaRockingham County24660 Greensboro-High Point, NC
39133OhioPortage County10420 Akron, OH
39153OhioSummit County10420 Akron, OH
41005OregonClackamas County38900 Portland-Vancouver-Hillsboro, OR-WA
41009OregonColumbia County38900 Portland-Vancouver-Hillsboro, OR-WA
41029OregonJackson County32780 Medford, OR
41051OregonMultnomah County38900 Portland-Vancouver-Hillsboro, OR-WA
41067OregonWashington County38900 Portland-Vancouver-Hillsboro, OR-WA
41071OregonYamhill County38900 Portland-Vancouver-Hillsboro, OR-WA
42011PennsylvaniaBerks County39740 Reading, PA
42017PennsylvaniaBucks County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD

April 15, 2024 896 Bulletin No. 2024–16
State FIPS
Code
County FIPS
Code
State NameCounty or
County-Equivalent
Entity Name
MSA or
non- MSA
Code
MSA or non-MSA Name
42029PennsylvaniaChester County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
42037PennsylvaniaColumbia County14100 Bloomsburg-Berwick, PA
42041PennsylvaniaCumberland County25420 Harrisburg-Carlisle, PA
42043PennsylvaniaDauphin County25420 Harrisburg-Carlisle, PA
42045PennsylvaniaDelaware County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
42049PennsylvaniaErie County21500 Erie, PA
42091PennsylvaniaMontgomery County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
42093PennsylvaniaMontour County14100 Bloomsburg-Berwick, PA
42099PennsylvaniaPerry County25420 Harrisburg-Carlisle, PA
42101PennsylvaniaPhiladelphia County37980 Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD
42133PennsylvaniaYork County49620 York-Hanover, PA
48037TexasBowie County45500 Texarkana, TX-AR
53005WashingtonBenton County28420 Kennewick-Richland, WA
53011WashingtonClark County38900 Portland-Vancouver-Hillsboro, OR-WA
53015WashingtonCowlitz County31020 Longview, WA
53021WashingtonFranklin County28420 Kennewick-Richland, WA
53059WashingtonSkamania County38900 Portland-Vancouver-Hillsboro, OR-WA
55059WisconsinKenosha County16980 Chicago-Naperville-Elgin, IL-IN-WI

Bulletin No. 2024–16 897 April 15, 2024
Qualified Student Loan and
Qualified Mortgage Bonds
Notice 2024-32
SECTION 1. PURPOSE
This notice provides guidance regard-
ing qualified student loan bonds under
§ 144(b) of the Internal Revenue Code
(Code)
1
to clarify certain requirements for
tax-exempt bond financing for loan pro-
grams of general application approved by
a State under § 144(b)(1)(B) (State Sup-
plemental Loan programs). Specifically,
this notice addresses eligibility of borrow-
ers of loans through State Supplemental
Loan programs and the loan size limita-
tion for State Supplemental Loans. This
notice also provides guidance regarding
whether an issue of State or local bonds
the proceeds of which are used to finance
or refinance qualified student loans (as
defined in § 1.150-1(b)) or to finance
qualified mortgage loans (as defined in
§ 1.150-1(b)) is a refunding issue.
SECTION 2. BACKGROUND
Section 144(b)(1) defines a “qualified
student loan bond” for which tax-exempt
private activity bonds may be issued to
mean any bond issued as part of an issue
the applicable percentage or more of
the net proceeds of which are to be used
directly or indirectly to make or finance
student loans (that is, loans to pay the
costs of postsecondary education) under
two types of loan programs.
The first type of loan program,
described in § 144(b)(1)(A), is the Federal
Family Education Loan Program (FFELP)
under the Higher Education Act of 1965,
Pub. L. No. 89-329, 79 Stat. 1219 (Higher
Education Act), under which education
loans are indirectly Federally guaran-
teed. The FFELP loans that are eligible
for tax-exempt bond financing under
§ 144(b)(1)(A) include, among other
types of loans, loans made to parents of
undergraduate students under the program
known as the “PLUS” loan program. H.R.
Conf. Rep. No. 99-841, at II-712 (1986);
Sen. Rep. No. 99-313, at 842 (1986). The
FFELP guarantee authority extends only
to loans originated before July 1, 2010,
and was discontinued for loans originated
on or after that date. Health Care and Edu-
cation Reconciliation Act of 2010, Pub. L.
No. 111-152, § 2201, 124 Stat. 1029, 1074
(2010).
The second type of loan program,
described in § 144(b)(1)(B), is for State
Supplemental Loans. Section 144(b)(1)
(B) describes a State Supplemental Loan
program as a program of general appli-
cation approved by the State if no loan
under such program exceeds the differ-
ence between (1) the total cost of atten-
dance and (2) subject to certain stated
exceptions, the other forms of student
assistance for which the student borrower
may be eligible. A program is not treated
as described in § 144(b)(1)(B) if such pro-
gram is described in § 144(b)(1)(A).
.01 Eligible borrower.
Notice 2015-78, 2015-48 I.R.B. 690,
provides guidance regarding qualified
student loan bonds, including the use
of the proceeds of these bonds to make
loans that refinance qualified student
loans (refinancing loans). Section 3.1
of Notice 2015-78 provides that an eli-
gible borrower of an original loan under
a State Supplemental Loan program is a
student (with or without a co-obligor or
guarantor) or a parent (with or without
a co-obligor or guarantor) borrowing on
behalf of a child who is a student. Section
3.1 of Notice 2015-78 further provides
that an eligible borrower of a refinancing
loan under a State Supplemental Loan
program is the student or parent borrower
of the original loan.
The Department of the Treasury (Trea-
sury Department) and the Internal Reve-
nue Service (IRS) are aware of questions
that have arisen as to whether, if the stu-
dent was the original borrower, the parent
of that student is an eligible borrower of a
refinancing loan, and similarly, if the par-
ent was the original borrower, whether the
student on whose behalf the original loan
was made is an eligible borrower of a refi-
nancing loan. Section 4.01 of this notice
clarifies that an eligible borrower of a refi-
nancing loan includes either of these par-
ties, regardless of which was the original
borrower.
.02 Loan size limitation.
Notice 2015-78 also addresses the
loan size limitation for a State Supple-
mental Loan. The amount of an original
State Supplemental Loan must not exceed
the difference between the total cost of
attendance and other forms of student
assistance for which the student may be
eligible. Section 3.3 of Notice 2015-78
provides, for an original loan, that an
issuer may rely on a certification of these
amounts by the higher education institu-
tion at which the student is enrolled. For
a refinancing loan, section 3.3 of Notice
2015-78 provides that (1) the original loan
must have met the loan size limitation
under § 144(b)(1)(B) and (2) the stated
principal amount of the refinancing loan
may not exceed the sum of the refinanced
loan’s outstanding stated principal amount
and any accrued but unpaid stated interest
as of the date of the refinancing.
The Treasury Department and IRS are
aware of issuers’ questions about how to
establish, for purposes of a refinancing
loan, that the original loan met the loan
size limitation under § 144(b)(1)(B) and
issuers’ concerns regarding the attendant
administrative burden. Refinancing loans
generally are sought after the students
have finished their educations, and several
years may have passed since the higher
education institutions provided the infor-
mation needed to determine the original
loan amounts. Often, however, the orig-
inal loans were made under the FFELP,
another loan program under Title IV of
the Higher Education Act, a State Sup-
plemental Loan program, or other student
loan program subject to the same loan size
limitation as in § 144(b)(1)(B) or a stricter
one. Section 4.02 of this notice provides
that original loans made under these pro-
grams will be treated as meeting the loan
size limitation under § 144(b)(1)(B). Sec-
tion 4.02 of this notice also provides issu-
ers with sources that can be used to ascer-
tain the amounts of (1) the original loan,
(2) the student’s total cost of attendance,
1
Unless otherwise specified, all “section” or “§” references are to sections of the Code or the Income Tax Regulations (26 CFR part 1).

April 15, 2024 898 Bulletin No. 2024–16
and (3) other forms of student assistance
for this purpose.
.03 Refunding bonds.
Section 1.150-1 provides defini-
tions for all purposes of §§ 103 and 141
through 150, which are applicable to
tax-exempt bonds. Section 1.150-1(d)
(1) defines a “refunding issue” generally
to mean an issue of obligations the pro-
ceeds of which are used to pay principal,
interest, or redemption price on another
issue, provided the obligor on both issues
is the same person or a related party (as
defined in § 1.150-1(b)). For this purpose,
if proceeds are used to finance a purpose
investment (as defined in § 1.148-1(b)),
the obligor means the conduit borrower
of the purpose investment rather than the
actual issuer of the bonds, except that, for
qualified mortgage loans, qualified student
loans, and similar program investments (as
defined in § 1.148-1(b)), the obligor does
not include the ultimate recipients of the
loans (for example, the homeowner or the
student). Section 1.150-1(d)(2)(iii) pro-
vides, with one exception, that the actual
issuer’s use of the proceeds of an issue
that refunds a purpose investment deter-
mines whether that issue is also a refund-
ing of the issue that originally financed the
purpose investment. Section 1.150-1 does
not provide a definition of “proceeds” for
this purpose.
Questions have arisen regarding the
determination of whether an issue that is
used to refinance qualified student loans
is a refunding issue. Issuers are concerned
that if the borrowers of the refinancing
loans repay their original loans and the
issuer then uses the funds to redeem the
bonds that financed the original loans, the
bonds might be treated as refunding bonds
and, given that this redemption would
frequently occur more than 90 days after
the issuance of the bonds financing the
refinancing loans, potentially treated as
taxable advance refunding bonds. If this
were the case, issuers would be prevented
from issuing tax-exempt bonds to refi-
nance the qualified student loans of their
existing borrowers. Another question
concerns whether the use of investment
proceeds from the repayments of qualified
student loans or qualified mortgage loans
allocated to one issue to redeem bonds
of another issue, a practice sometimes
referred to as “cross-calling,” results in
bonds of the former issue being treated
as taxable advance refunding bonds. An
issuer engaged in cross-calling first uses
proceeds of the issue to make quali-
fied student loans or qualified mortgage
loans and then uses the repayments of the
loans to redeem bonds, generally select-
ing bonds with the highest interest rates.
Section 4.03 of this notice addresses these
questions.
SECTION 3. SCOPE
Sections 4.01 and 4.02 of this notice
apply for purposes of the requirements
applicable to State Supplemental Loan
programs financed with qualified student
loan bonds under § 144(b). Section 4.03
of this notice applies to qualified student
loan bonds under § 144(b) and qualified
mortgage bonds under § 143.
SECTION 4. APPLICATION
.01 Eligible borrower. An eligible
borrower of a refinancing loan under
a State Supplemental Loan program
includes the student or parent borrower
of the original loan. An eligible borrower
of a refinancing loan under a State Sup-
plemental Loan program also includes
a parent of the student borrower of an
original loan (or a refinancing loan) and
a child of a parent who borrowed an
original loan (or a refinancing loan) on
the child’s behalf.
.02 Loan size limitation.
(1) For purposes of establishing that
the original loan to be refinanced met the
loan size limitation under § 144(b)(1)(B),
the original loan will be treated as having
met the loan size limitation under § 144(b)
(1)(B) if–
(a) The original loan was made under
a student loan program that applied the
same loan size limitation as in § 144(b)
(1)(B) or a stricter one during the period
when the original loan was made; for
example, the FFELP and other loan
programs under Title IV of the Higher
Education Act and State Supplemental
Loan programs (as described in § 144(b)
(1)(B)), whether or not financed with
tax-exempt bonds; or
(b) The previous lender, other holder,
or loan servicer of the original loan certi-
fies that the original loan amount did not
exceed the difference between the total
cost of attendance and other forms of stu-
dent assistance as reported on the original
loan application.
(2) In addition, to establish that the
original loan to be refinanced met the loan
size limitation under § 144(b)(1)(B), an
issuer may rely on—
(a) The amount of the original loan as
stated on the promissory note for the orig-
inal loan or as otherwise provided by the
previous lender, other holder, or loan ser-
vicer of the original loan; and
(b) The amounts of the student’s total
cost of attendance and other forms of stu-
dent assistance for the academic period
for which the original loan was made—
(i) As reported on the original loan
application and provided by either (A) the
previous lender, other holder, or loan ser-
vicer of the original loan; or (B) the edu-
cational institution the student attended
for the academic period of the original
loan, or
(ii) As stated in the student’s financial
aid award letter that is from the educa-
tional institution the student attended
for the academic period and includes the
amount of the original loan.
.03 Refunding bonds. An issue is not
a refunding issue to the extent that the
actual issuer reasonably expects as of the
issue date of the issue to use net proceeds
of the issue within two years of the issue
date to refinance one or more obligations
that are qualified student loans. For pur-
poses of determining whether an issue is
a refunding issue, proceeds means any
sales proceeds, investments proceeds,
or transferred proceeds (all as defined in
§ 1.148-1(b)), except that proceeds does
not include investment proceeds (or trans-
ferred proceeds allocable to investment
proceeds) received from investing in a
qualified student loan or a qualified mort-
gage loan.
SECTION 5. EFFECT ON OTHER
DOCUMENTS
Sections 4.01 and 4.02 of this notice
amplify Notice 2015-78.
SECTION 6. EFFECTIVE DATE
This notice applies to bonds sold on or
after April 15, 2024. An issuer may apply

Bulletin No. 2024–16 899 April 15, 2024
this notice to bonds sold before April 15,
2024.
SECTION 7. DRAFTING
INFORMATION
The principal author of this notice
is Johanna Som de Cerff of the Office
of Associate Chief Counsel (Financial
Institutions & Products). For further
information regarding this notice con-
tact Jason Deirmenjian or Johanna Som
de Cerff at (202) 317-6980 (not a toll-
free number).
26 CFR 601.201: Rulings and determination
letters.
Rev. Proc. 2024-19
SECTION 1. PURPOSE
This revenue procedure provides
the process under § 48(e) of the Inter-
nal Revenue Code (Code)
1
to apply
for an allocation of environmental jus-
tice solar and wind capacity limitation
(Capacity Limitation) as part of the
low-income communities bonus credit
program (Program) for 2024 (2024
Program year). Solely with respect to
the 2024 Program year, this revenue
procedure supersedes Rev. Proc. 2023-
27, 2023-35 I.R.B. 655, and provides
important clarifying changes to the
application, documentation, and lot-
tery procedures that apply to the 2024
Program year. In addition, this revenue
procedure describes how the Capac-
ity Limitation for the 2024 Program
year will be divided across the facil-
ity categories described in §§ 48(e)(2)
(A)(iii) and 1.48(e)-1(b)(2), the Cate-
gory 1 sub-reservations described in
§ 1.48(e)-1(i)(1), and the additional
selection criteria application options
described in § 1.48(e)-1(h). Receipt of
an allocation increases the amount of
an energy investment credit determined
under § 48(a) (§ 48 credit) for the tax-
able year in which certain solar and
wind-powered electricity generation
facilities are placed in service.
SECTION 2. BACKGROUND
.01 Section 13103 of Public Law
117–169, 136 Stat. 1818, 1921 (August
16, 2022), commonly known as the Infla-
tion Reduction Act of 2022 (IRA), added
new § 48(e) to the Code. Section 48(e)
increases the amount of the § 48 credit
with respect to eligible property that is
part of a qualified solar or wind facility
that is awarded an allocation of Capacity
Limitation as part of the Program. The
§ 48 credit for a taxable year is gener-
ally calculated by multiplying the basis
of each energy property placed in service
during that taxable year by the energy per-
centage (as defined in § 48(a)(2)). Section
48(e) increases the § 48 credit by increas-
ing the energy percentage used to calcu-
late the amount of the § 48 credit (§ 48(e)
Increase) in the case of qualified solar and
wind facilities that receive an allocation of
Capacity Limitation.
.02 Section 48(e)(4) directs the Sec-
retary of the Treasury or her delegate to
establish a program, within 180 days of
enactment of the IRA, to allocate amounts
of Capacity Limitation to qualified solar
and wind facilities. Notice 2023–17,
2023–10 I.R.B. 505, established the Pro-
gram and provided definitions and other
guidance related to the Program. On June
1, 2023, the Department of the Treasury
(Treasury Department) and the Internal
Revenue Service (IRS) published in the
Federal Register (88 FR 35791) a notice
of proposed rulemaking (REG-110412-
23, 2023-26 I.R.B. 1098) under § 48(e)
(Proposed Rules) relating to the Program.
On August 15, 2023, Treasury Decision
9979 was published in the Federal Regis-
ter (88 FR 55506) to adopt the Proposed
Rules with modifications as final regula-
tions codified at § 1.48(e)-1 (Final Reg-
ulations).
.03 On August 28, 2023, the Treasury
Department and the IRS published Rev.
Proc. 2023-27, which provided guidance
necessary to implement the Program for
2023 (2023 Program year), including
the information an applicant must sub-
mit to apply for a Capacity Limitation
allocation, the application review pro-
cess, the manner of obtaining a Capac-
ity Limitation allocation from the IRS,
and the procedures and documentation
requirements for reporting that a facil-
ity was placed in service. This revenue
procedure supersedes Rev. Proc. 2023-27
solely with respect to the 2024 Program
year and provides guidance necessary to
implement the Program for the 2024 Pro-
gram year. The procedures for the 2024
Program year provided in this revenue
procedure generally follow those pro-
vided in Rev. Proc. 2023-27 with certain
clarifying changes to the application and
documentation requirements described in
more detail in sections 3 through 13 of
this revenue procedure.
SECTION 3. CAPACITY
LIMITATION AVAILABLE FOR
ALLOCATION
.01 The amount of Capacity Limita-
tion for the 2024 Program year available
for allocation through the application
process provided in this revenue pro-
cedure is limited to the annual Capac-
ity Limitation of 1.8 gigawatts of direct
current capacity plus any unallocated
Capacity Limitation carried over from
the 2023 Program year. If any such
Capacity Limitation from the 2023 Pro-
gram year is carried over to the 2024
Program year, the Treasury Department
and the IRS will announce the distribu-
tion of that Capacity Limitation.
.02 As provided in § 1.48(e)-1(g), the
annual Capacity Limitation available
for allocation is divided across the four
facility categories described in §§ 48(e)
(2)(A)(iii) and 1.48(e)-1(b)(2). For the
2024 Program year, the Treasury Depart-
ment and the IRS plan to distribute the
annual Capacity Limitation of 1.8 giga-
watts of direct current capacity as shown
in Table 1. As described in § 1.48(e)-1(g),
the Treasury Department and the IRS
may later reallocate Capacity Limitation
across facility categories in the event any
category is oversubscribed or has excess
capacity.
1
Unless otherwise specified, all “section” or “§” references are to sections of the Code or the Income Tax Regulations (26 CFR part 1).

April 15, 2024 900 Bulletin No. 2024–16
Table 1
Category 1: Located in a Low-Income Community 600 megawatts
Category 2: Located on Indian Land 200 megawatts
Category 3: Qualified Low-Income Residential Building Project 200 megawatts
Category 4: Qualified Low-Income Economic Benefit Project 800 megawatts
SECTION 4. CATEGORY 1
SUB-RESER
VATIONS
As provided in § 1.48(e)-1(i)(1), Cate-
gory 1 Capacity Limitation is subdivided
for each Program year, with a specific
sub-reservation for eligible residen-
tial behind the meter (BTM) facilities.
Accordingly, the 600 megawatts of Capac-
ity Limitation for Category 1 facilities
will be subdivided for facilities seeking
a Category 1 allocation with 400 mega-
watts of Capacity Limitation reserved
specifically for eligible residential BTM
facilities described in § 1.48(e)-1(i)(2)
(ii), including rooftop solar. The remain-
ing 200 megawatts of Capacity Limitation
distributed to Category 1 is available for
applicants with front of the meter (FTM)
facilities described in § 1.48(e)-1(i)(2)
(iii) as well as non-residential BTM
facilities that meet the requirements of
§ 1.48(e)-1(i)(2)(i).
SECTION 5. APPLICATION
.01 In general. An applicant (described
in section 6 of this revenue procedure)
must apply for an allocation of Capacity
Limitation through Department of Ener-
gy’s (DOE) online Program portal system
(Portal), available at https://eco.energy.
gov/ejbonus/s/. The application must
contain all information, documentation,
and attestations specified in section 7 of
this revenue procedure and any additional
information required by DOE’s publicly
available written procedures.
.02 Selection of the appropriate cate-
gory or sub-reservation. Applicants must
submit applications for a particular facil-
ity category described in § 1.48(e)-1(b)(2)
(that is, Category 1 Facility, Category 2
Facility, Category 3 Facility, or Category
4 Facility). If the applicant is applying in
Category 1, the applicant must also select
the appropriate Category 1 sub-reserva-
tion described in § 1.48(e)-1(i) (that is,
eligible residential BTM or other facilities
located in low-income communities). In
addition, applicants must select the appro-
priate application option (for example,
additional selection criteria, if applicable)
within the facility category or Category 1
sub-reservation to which they are apply-
ing. DOE will not move applications to a
different facility category or Category 1
sub-reservation.
.03 One application for the 2024 Pro-
gram year. Applicants may only submit
one application per facility for the 2024
Program year. If, after submitting an
application for a facility, the applicant
decides that it would rather have the facil-
ity considered for an allocation under a
different facility category or Category 1
sub-reservation, the applicant must with-
draw the first application and submit a
second application under the other facil-
ity category or Category 1 sub-reserva-
tion. If DOE identifies that an applicant
has submitted more than one application
for a facility (and the applicant has not
withdrawn a previously submitted appli-
cation(s)), any application submitted after
the first submitted application will be con-
sidered a duplicate application and will be
treated as withdrawn.
.04 Opening and closing dates of 2024
Program year application period. The Trea-
sury Department and the IRS will publicly
announce the opening and closing dates for
the 2024 Program year application period
on DOE’s landing page for the Program
(Program Homepage), available at https://
www.energy.gov/justice/low-income-
communities-bonus-credit-program. DOE
will not accept new application submis-
sions for the 2024 Program year after 11:59
PM ET on the date the application period
closes.
SECTION 6. APPLICANT
.01 In general. The owner of the solar
or wind facility is the person who must
apply for an allocation of Capacity Lim-
itation. If the facility is determined to
be eligible for an allocation, and there is
Capacity Limitation available to allocate,
the owner of the facility is the recipient of
the allocation of Capacity Limitation.
.02 Disregarded entities. If a quali-
fied solar or wind facility is owned by an
entity that is disregarded as separate from
its owner for federal income tax purposes,
the owner of the disregarded entity is the
owner of the facility and is the applicant.
.03 Partnerships and S corporations. If
a qualified solar or wind facility is owned
by a partnership or S corporation, then the
partnership or S corporation, and not its
partners or shareholders, is the owner of
the facility and is the applicant. For unin-
corporated organizations that have made
or will make an election under § 761(a) to
be excluded from the application of sub-
chapter K of chapter 1 of the Code (sub-
chapter K), the organization, and not its
members, is the applicant.
SECTION 7. APPLICATION
PROCESS
.01 Registration in general. Applicants
must register in the Portal before they can
begin the application process. Potential
applicants should follow DOE’s publicly
available procedures to register in the Por-
tal and to submit applications. To register,
applicants must first create a login.gov
account before accessing the Portal. After
a login.gov account has been created, the
user can register as the applicant in the Por-
tal. See the Applicant User Guide, which
can be found on the Program Homepage,
for more information. Applications may
be submitted only through the Portal.
.02 Application Submission. The
applicant must submit their application,
including any required information, doc-
umentation, and attestations required by
section 7 of this revenue procedure, under
penalties of perjury. The person complet-
ing and submitting the application must
have personal knowledge of the facts
related to the application and be a per-

Bulletin No. 2024–16 901 April 15, 2024
son who is legally authorized to (1) bind
the applicant entity for federal income
tax purposes, including providing, under
penalties of perjury, the attestations under
sections 7.06, 7.07, 7.08 and 10.02 of
this revenue procedure; (2) communicate
with DOE about the application prior to
and after submission of the application;
and (3) receive notifications, letters, and
other communications from DOE and the
IRS about the Program. For example, an
application may be authorized by an offi-
cer of a corporation, a general partner of a
state law partnership, a member-manager
on behalf of a limited liability company, a
trustee on behalf of a trust, or the propri-
etor in the case of a sole proprietorship.
The person submitting the application
must attest through the Portal that they
have the requisite authority to legally
bind the applicant with respect to federal
income tax matters.
.03 Applicant Information. The appli-
cation must include the following identi-
fying information of the applicant:
(1) The name of the applicant;
(2) The unique federal taxpayer identi-
fication number for the applicant. Unless a
transfer request is reviewed and approved
by the IRS or the unincorporated organi-
zation has made a § 761(a) election to be
excluded from the application of subchap-
ter K (see section 13 of this revenue proce-
dure), the taxpayer identification number
of the applicant must match the taxpayer
identification number of the taxpayer that
will claim the energy percentage increase
under § 48(e), or, in the case of a partner-
ship or S corporation, the partnership or S
corporation that owns the facility when it
is placed in service;
(3) The applicant’s address;
(4) If the applicant is a subsidiary cor-
poration of a consolidated group filing a
consolidated federal income tax return,
the legal name and federal taxpayer iden-
tification number of the parent corporation
of the consolidated group; and
(5) Any other information required by
DOE’s publicly available written proce-
dures.
.04 Facility Information.
(1) In general. The application requires
the applicant to provide the information
about the facility described in section
7.04(2) and 7.04(3) of this revenue pro-
cedure.
(2) Facility maximum net output and
nameplate capacity.
(a) Wind facility. Applicants seeking an
allocation for a wind facility must report
the expected maximum net output of the
facility defined as the nameplate capacity
of the facility in alternating current. Wind
facilities selected for an allocation will be
awarded an amount of Capacity Limita-
tion in direct current that is equal to the
facility’s reported nameplate capacity in
alternating current.
(b) Solar facility. Applicants seek-
ing an allocation for a solar facility must
report the expected maximum net output
of the facility as measured in alternating
current and the nameplate capacity of the
facility in direct current. Solar facilities
selected for an allocation will be awarded
an amount of Capacity Limitation in
direct current that is equal to the facility’s
reported nameplate capacity in direct cur-
rent.
(3) Facility location. Applicants are
required to report the location of the facil-
ity, including street address (if applicable)
and coordinates (latitude and longitude).
.05 Documentation.
(1) In general. Applicants must submit
the documentation specified in sections
7.05(2) and 7.05(3) of this revenue proce-
dure with an application for an allocation
of Capacity Limitation. An application is
not complete and may be rejected if any
required documentation is not included.
(2) Facility documentation. As speci-
fied in Table 2, the following documents
are required for each facility for which an
application is submitted:

April 15, 2024 902 Bulletin No. 2024–16
Table 2
Document RequirementFTM2BTM3
<= 1 MW AC
BTM
> 1 MW AC
One of the following documents, in its entirety, inclusive of any amendments,
appendices, consumer disclosures, and schedules thereto, executed by each party
4

on or before the date of application submission:
1) If the applicant will not execute a lease or a power purchase agreement (PPA)
with respect to the facility, an executed contract for the installation of the facility
owned by the applicant (for example, an engineering, procurement, and construc-
tion contract). For purposes of meeting this requirement, if the applicant will
self-install the facility, the applicant must submit a contract to purchase the solar
generation or wind generation equipment;
2) If the applicant will execute a lease with respect to the facility, an executed con-
tract to lease the facility between the applicant (as the lessor) and the lessee; or
3) If the applicant will execute a PPA with respect to the facility, an executed power
purchase agreement for the generation by the facility between the applicant and the
offtaker of the electricity generated.
NoYe sYe s
A copy of the final, executed interconnection agreement, if applicable (see below).
If the facility is located in a market where the interconnection agreement cannot be
countersigned by the interconnecting utility prior to completion of construction or
interconnection of the facility, the applicant must provide: 1) a copy of the intercon-
nection agreement or offer signed by the applicant (or its agent), 2) a copy of the
final completed interconnection screen/study, and 3) either a conditional approval
letter from the interconnecting utility or an affidavit
5
stating that, based on the
interconnecting utility’s guidance, the facility’s interconnection agreement cannot
be countersigned by the interconnecting utility and executed until after construction
of the facility. If an interconnection agreement is not applicable to the facility (for
example, due to utility ownership), the interconnection agreement requirement is
satisfied by a final written decision from a Public Utility Commission, cooperative
board, or other governing body with sufficient authority that financially authorizes
the facility.
Ye sNoYe s
(3) Facility category specific docu-
ment. The application must include the
following documents for the applicable
facility category:
Table 3
Document RequirementCategory 1Category 2Category 3Category 4
Documentation demonstrating property will be installed on an
eligible residential building.
NoNoYe sNo
Draft Benefits Sharing Statement.NoNoYe sNo
2
As defined in § 1.48(e)-1(i)(2)(iii), for the purposes of the Program, a qualified solar or wind facility is front of the meter (FTM) if it is directly connected to a grid and its primary purpose
is to provide electricity to one or more offsite locations via such grid or utility meters with which it does not have an electrical connection; alternatively, FTM is defined as a facility that is
not BTM. For the purposes of Category 4, a qualified solar or wind facility is also FTM if 50 percent or more of its electricity generation on an annual basis is physically exported to the
broader electricity grid.
3
As defined in § 1.48(e)-1(i)(2)(i), a qualified wind or solar facility is behind the meter (BTM) if (1) it is connected with an electrical connection between the facility and the panelboard or
sub-panelboard of the site where the facility is located, (2) it is to be connected on the customer side of a utility service meter before it connects to a distribution or transmission system (that is,
before it connects to the electricity grid), and its primary purpose is to provide electricity to the utility customer of the site where the facility is located. This also includes systems not connected
to a grid and that may not have a utility service meter, and whose primary purpose is to serve the electricity demand of the owner of the site where the system is located.
4
If the applicant is not a party named in the contract, the applicant must provide with the applicable contract a statement explaining why the applicant is not named in the contract and the
relationship between the appropriate entity named in the contract and the applicant—the latter of which must be the owner of the facility to be eligible to apply for an allocation of Capacity
Limitation.
5
If an affidavit is provided, it must be signed by an individual with authority to bind the applicant.

Bulletin No. 2024–16 903 April 15, 2024
.06 Attestations.
(1) In general. Each applicant must
make the required attestations as spec-
ified in sections 7.06(2) and 7.06(3) of
this revenue procedure. The attestations in
sections 7.06(2) and 7.06(3) are included
as part of the application in the Portal. An
applicant will be unable to submit their
application if any required attestations are
not completed.
(2) For all facilities. As specified below
in Table 4, the following attestations are
required for each facility for which an
application is submitted:
Table 4
Attestation RequirementFTMBTM
<= 1 MW AC
BTM
> 1 MW AC
I attest that the qualifying facility has site control of the real property on which the
facility will be installed and placed in service through ownership of the real property,
an executed lease for the real property, or a site access agreement or similar agreement
between the real property owner and the applicant.
Ye sNoNo
For a facility on lands under 25 U.S.C. 3501(2)(A)-(C) (Indian Land), I attest that I
have obtained the applicable approval of the Tribal government or Alaska Native Cor-
poration landowner. For a facility not on Indian Land, complete this attestation to attest
that the facility is not on Indian Land.
Ye sYe sYe s
I attest that the qualifying facility has obtained all applicable federal, state, tribal, and
local non-ministerial permits for the facility, or that the facility is not required to obtain
such permits.
5

Ye sYe sYe s
I attest that when performing the activities that support this application, I was, or will
be, in compliance with all relevant federal, state, and local laws, including consumer
protection provisions, and safety obligations, and that the applicant did not and will not
engage in any unfair or deceptive acts or practices.
Ye sYe sYe s
I attest that the qualified facility is sized, or that customer/offtaker subscriptions will be
sized, to meet the customer’s energy needs, considering historical customer load and/or
reasonable future load projections, and is in accordance with applicable state and local
requirements.
Ye sYe sYe s
I attest that the proposed location of the facility has been determined suitable for instal-
lation.
Ye sYe sYe s
I attest that I reasonably believe the qualifying facility meets the statutory definition of
a single “qualified solar and wind facility” (§ 48(e)(2)(A) and, if applicable, multiple
solar or wind energy properties or facilities that are operated as part of a single project
(consistent with the single-project factors provided in section 7.01(2)(a) of Notice
2018–59, 2018–28 I.R.B. 196 or section 4.04(2) of Notice 2013–29, 2013–20 I.R.B.
1085) are aggregated and treated as a single facility.
Ye sYe sYe s
I attest that the qualifying facility has not been placed in service at the time of this
submission and will not be placed in service prior to being awarded an allocation of
Capacity Limitation.
Ye sYe sYe s
6
Non-ministerial permits are permits in which one or more officials or agencies consider various factors and exercise some discretion in deciding whether to issue or deny permits. This does
not include ministerial permits based upon a determination that the request complies with established standards such as electrical or building permits. Non-ministerial permits typically
come with conditions and usually require public notice or hearings. Examples of non-ministerial permits include local planning board authorization, conditional use permits, variances, and
special orders.

April 15, 2024 904 Bulletin No. 2024–16
(3) Facility and category specific attes-
tations. The application must include the
following attestations for the applicable
facility category:
Table 5
Attestation Requirement Category 1Category 2Category 3Category 4
Facility location is eligible.
6
Ye sYe sNoNo
I attest that any end-use customer(s)/offtaker(s) of the qualifying facility
have and/or will receive consumer disclosures informing them of their
legal rights and protections prior to executing a contract to subscribe or
purchase power from the facility or lease a facility.
Ye sYe sYe sYe s
I attest that at least 50% of the qualifying facility’s total kW output will
be assigned to qualified low-income households (defined under § 48(e)(2)
(C)(i) or (ii)) at a minimum 20% bill credit discount rate, defined as the
difference between the financial benefit provided to a Qualifying House-
hold (including utility bill credits, reductions in a Qualifying Household’s
electricity rate, or other monetary benefits accrued by the Qualifying
Household on their utility bill) and the cost of participating in the program
(including subscription payments for renewable energy and any other fees
or charges), expressed as a percentage of the financial benefit provided to
the low-income household.
NoNoNoYe s
.07 Ownership Criteria documentation
and attestation. In addition to the infor-
mation, documentation, and attestations
required above, any applicant purporting
to meet the Additional Selection Criteria
for Ownership Criteria, as described under
§ 1.48(e)-1(h)(2), must submit with their
application the documentation specified
below to demonstrate that they meet the
Ownership Criteria.
(1) Tribal Enterprise. An applicant
claiming to be a Tribal Enterprise must
provide proof of inclusion of its Indian
Tribal government (Tribal government)
owner on the current list of Tribal entities
recognized and eligible for funding and
services by the Bureau of Indian Affairs
(BIA).
(2) Alaska Native Corporation. An
applicant claiming to be an Alaska Native
Corporation (ANC) must provide a copy
of the relevant portions of the ANC’s arti-
cles of incorporation and bylaws (and any
relevant amendments), including the first
page with the title of the document and, if
applicable, the signature pages.
(3) Renewable Energy Cooperative.
An applicant that claims to be a Renew-
able Energy Cooperative, as described
under § 1.48(e)-1(h)(2)(v), must provide
a copy of its articles of incorporation and
bylaws. The applicant must highlight the
relevant language in these documents
that demonstrates the entity meets either
the consumer/purchasing cooperative
requirements under § 1.48(e)-1(h)(2)(v)
(A) or is a worker cooperative controlled
by its worker-members with each member
having an equal voting right as described
under § 1.48(e)-1(h)(2)(v)(B).
(4) Qualified Renewable Energy Com-
pany. Applicants claiming to be a quali-
fied renewable energy company (QREC),
as described in § 1.48(e)-1(h)(2)(vi), must
provide documentation to support each of
the below requirements in a single pack-
age upload.
(a) Statement of business purpose
attestation. The applicant must submit
the following attestation: “I declare that
the business purpose of this organiza-
tion is to serve low-income communities
and provide pathways for the adoption of
clean energy by low-income households,
as required under § 1.48(e)-1(h)(2)(vi).”
This attestation must be signed by the
applicant and uploaded as an Additional
Selection Criteria Ownership Criteria doc-
ument in the Portal.
(b) At least 51 percent ownership
requirement. The applicant must provide
documentation which demonstrates that
the applicant entity meets the at least 51
percent ownership requirements under
§ 1.48(e)-1(h)(2)(vi)(A)-(F).
(i) For applicants whose equity inter-
ests are at least 51 percent owned and
controlled by one or more individuals, the
applicant must provide a list of all individ-
uals with an equity interest in the entity
and specify for each individual the per-
centage of their ownership interest in the
applicant entity.
(ii) For applicants whose equity inter-
ests are at least 51 percent owned and
controlled by a Community Development
Corporation (CDC), the applicant must
submit (1) a copy of the award letter, or
other communication, from the Depart-
ment of Housing and Urban Develop-
ment (HUD) demonstrating that the CDC
which owns and controls the applicant has
received financial assistance under HUD’s
Urban and Rural Special Impact Programs
7
For Category 1, the applicant must attest that the facility will be located in a low-income community, as defined in the Final Regulations for the Program, specifically § 1.48(e)-1.

A map
that captures applicable census tracts will be available in DOE’s publicly available written procedures to assist applicants.

For Category 2, the applicant must attest that the facility will be
located on Indian Land as defined in § 2601(2) of the Energy Policy Act of 1992 (25 U.S.C. 3501(2)).

Bulletin No. 2024–16 905 April 15, 2024
(42 U.S.C. 9806); and (2) documentation
showing the CDC owns and controls the
applicant entity.
(iii) For applicants whose equity inter-
ests are at least 51 percent owned and con-
trolled by an agricultural or horticultural
cooperative, documentation demonstrat-
ing that the applicant entity is at last 51
percent owned and controlled by an agri-
cultural or horticultural cooperative,
(iv) For applicants whose equity inter-
ests are at least 51 percent owned and
controlled by a Tribal government, the
applicant entity must provide (1) doc-
umentation that its Tribal government
owner is on the current list of Tribal enti-
ties recognized and eligible for funding
and services by the BIA; and (2) docu-
mentation showing the Tribal government
owns and controls the applicant entity.
(v) For applicants whose equity inter-
ests are at least 51 percent owned and
controlled by an ANC, the applicant must
provide (1) a copy of the ANC’s Articles
of Incorporation and bylaws (including
any amendments); and (2) documentation
showing the ANC owns and controls the
applicant entity.
(vi) For applicants whose equity inter-
ests are at least 51 percent owned and
controlled by a Native Hawaiian organi-
zation (NHO), the applicant must provide
(1) documentation which demonstrates
the legal status of the NHO; and (2) doc-
umentation showing the NHO owns and
controls the applicant entity.
(c) Employment and gross receipts.
The applicant entity must provide docu-
mentation that demonstrates it meets the
employment and gross receipts require-
ments under § 1.48(e)-1(h)(2)(vi)(G). To
demonstrate this, the applicant entity must
provide the following documentation:
(i) A list of all current employees of the
applicant, indicating the number of full-
time and full-time equivalent employees,
as provided in § 1.48(e)-1(h)(2)(vi)(G).
(ii) A copy of a federal tax filing for
the previous tax year listing the applicant
entity’s gross receipts.
(iii) Either a statement providing that
the applicant does not have any affiliates
or, if the applicant has affiliates, a sum-
mary list of each affiliate entity of the
applicant and a list of all current employ-
ees of affiliates, indicating the number of
full-time and full-time equivalent employ-
ees, as provided in § 1.48(e)-1(h)(2)(vi)
(G), and a list of affiliate entity gross
receipts from the previous taxable year,
broken down by each affiliate entity.
(d) Installation, operation, or services
requirement. The applicant entity must
provide documentation to demonstrate
the applicant meets the requirements of
§ 1.48(e)-1(h)(2)(vi)(H) or (I).
(i) To demonstrate that the applicant
meets the requirements of § 1.48(e)-1(h)
(2)(vi)(H), the applicant must provide (1)
documentation indicating the QREC has
been in existence and operating for at least
two years; and (2) an executed (by each
party) contract, in its entirety (including
any amendments, appendices, consumer
disclosures, and schedules, and dated at
least two years prior to the date of appli-
cation to this Program), to install and/or
operate a qualified facility as defined in
§ 48(e)(2)(A).
(ii) To demonstrate that the applicant
meets the requirements of § 1.48(e)-1(h)
(2)(vi)(I), the applicant must provide a
list of all qualified solar or wind facilities,
as defined in § 48(e)(2)(A), to which the
applicant has provided services in eligi-
ble low-income communities, the geo-
graphic coordinates of each facility, and
the nameplate capacity of each facility.
For any selection of the facilities in the list
which cumulatively amount to at least 100
kW in nameplate capacity, the applicant
must provide executed contracts (in their
entirety, inclusive of any amendments,
appendices, consumer disclosures, and
schedules) to install and/or operate the
facility.
(5) Qualified tax-exempt entity. An
applicant claiming to be a qualified tax-ex-
empt entity described in § 1.48(e)-1(h)(2)
(vii) must provide documentation support-
ing its claim as described below.
(a) An applicant claiming to be
described in § 501(c)(3), § 501(c)(12), or
§ 501(d) must provide the following:
(i) If its exempt status is currently rec-
ognized by the IRS, proof of listing in IRS
Pub. 78, Cumulative List of Organiza-
tions Described in § 170(c) (see the “Tax
Exempt Organization Search” page on the
IRS website), or in the Exempt Organiza-
tions Business Master File Extract (also
available on the IRS website), such as a
screenshot within the last 30 days, or, if
issued within the last 12 months, a copy of
its IRS determination letter or a letter from
the IRS affirming its exempt status. See
Pub. 4573, Group Exemptions, for infor-
mation on group exemptions and returns.
(ii) If its exempt status has never been
recognized by the IRS, a copy of its
annual information return or notice under
§ 6033 filed within the last two years (if it
has so filed). Section 501(c)(3) and 501(c)
(12) organizations file a Form 990-series
return or notice such as Form 990, Return
of Organization Exempt from Tax. Section
501(d) organizations file Form 1065, U.S.
Return of Partnership Income.
(iii) If an applicant’s exempt status has
never been recognized by the IRS and it
has not filed an annual information return
or notice within the last two years, the
applicant must provide other documenta-
tion demonstrating that it is described in
§ 501(c)(3), § 501(c)(12), or § 501(d) (such
as its governing documents) and demon-
strating that it is currently excepted from,
or otherwise in compliance with, its exemp-
tion application requirements and informa-
tion return filing requirements, unless it is
a church or a convention or association of
churches described in § 170(b)(1)(A)(i),
in which case it may submit the following
attestation, uploaded by the applicant in
the Portal, signed by a person authorized
to bind the entity: “Solely for purposes of
the § 48(e) credit, I certify that Entity is a
church or a convention or association of
churches described in § 170(b)(1)(A)(i).
I further certify that I am an officer of the
Entity and that I am duly authorized to sign
this statement on behalf of the Entity.”
(iv) An applicant described in § 501(c)
(12) must also demonstrate that it is a cor-
poration that operates on a cooperative
basis and explain, in a statement uploaded
by the applicant in the Portal, the extent to
which it is engaged in furnishing electric
energy to persons in rural areas.
(b) An applicant claiming to be a State,
the District of Columbia, a Tribal govern-
ment (as defined in § 30D(g)(9)
8
), a politi-
8
For a general discussion of Tribal governments and their subdivisions, see Section 5.12 of Rev. Proc. 2024-1, 2024-1 IRB 1, and § 7871.

April 15, 2024 906 Bulletin No. 2024–16
cal subdivision of any of the foregoing,
9
or
an agency or instrumentality of any of the
foregoing,
10
must provide the following:
(i) A private letter ruling issued by the
IRS ruling on its status, if any, or
(ii) An attestation signed under penal-
ties of perjury, by a person authorized to
bind the applicant, certifying that, to the
best of the person’s knowledge and belief,
that the entity is a State, the District of
Columbia, a Tribal government, a polit-
ical subdivision of any of the foregoing,
or an agency or instrumentality of any of
the foregoing, and acknowledging that
this representation is not for the purpose
of examination or inspection within the
meaning of IRC § 7605(b). The attestation
must be uploaded as part of the application
in the Portal by the applicant. In addition
to the acknowledgment described above,
the attestation must include the follow-
ing statement: “Solely for purposes of the
§ 48(e) credit, the applicant qualifies as a
[insert the entity type as described above
in this section].”
(iii) In the case of an applicant claim-
ing to be a Tribal government, a subdivi-
sion of a Tribal government, or an agency
or instrumentality of any of the foregoing,
proof that the Tribe is on the current list
of Tribal entities recognized and eligible
for funding and services published by the
BIA, available on the BIA website.
(6) Qualifying entity in a partnership. If
an applicant does not itself meet the Own-
ership Criteria described in § 1.48(e)-1(h)
(2), but the applicant is an entity treated
as a partnership for federal income tax
purposes, and an entity described in
§ 1.48(e)-1(h)(2) and section 7.07 of this
revenue procedure (that is, an entity that
meets the Ownership Criteria) owns at
least a one percent interest (either directly
or indirectly) in each material item of part-
nership income, gain, loss, deduction, and
credit and is a managing member or gen-
eral partner (or similar title) under State
law of the partnership (or directly owns
100 percent of the equity interests in the
managing member or general partner) at
all times during the existence of the part-
nership, the qualified solar or wind facility
owned by the applicant will be deemed to
meet the Ownership Criteria. In addition
to providing the documentation described
in section 7.07 of this revenue procedure
with respect to the relevant partner meet-
ing the requirements of § 1.48(e)-1(h)(2)
(that is, the partner which the applicant is
claiming meets the Ownership Criteria),
the applicant must also submit documen-
tation to demonstrate that the require-
ments described in § 1.48(e)-1(h)(2)(ii)
(B) are satisfied if the applicant is claim-
ing to meet the Ownership Criteria based
on this provision.
.08 Geographic Criteria attestation. If
the applicant claims that it meets the Addi-
tional Selection Criteria for Geographic
Criteria described in § 1.48(e)-1(h)(3)
with respect to Categories 1, 3, or 4, it
must provide an attestation that the quali-
fying facility will be located in a Persistent
Poverty County (PPC) or in a census tract
that is designated as disadvantaged in the
Climate and Economic Justice Screening
Tool (CEJST) as defined in § 1.48(e)-1(h)
(3).
11

SECTION 8. REVIEW AND
SELECTION PROCESS
.01 In general. DOE will review appli-
cations for the Program and provide a
recommendation to the IRS regarding
whether to award an applicant an amount
of Capacity Limitation with respect to a
facility. Based on DOE’s recommenda-
tion, the IRS will award the applicant a
Capacity Limitation allocation or reject
the application.
.02 Order of application review and
recommendation for allocation.
(1) First 30 days. When the application
period opens for the 2024 Program year,
there will be a 30-day period during which
applications will initially be accepted for
each facility category. All applications
submitted within the first 30-days will
be treated as submitted on the same date
and at the same time. DOE will publicly
announce on the Program Homepage the
opening and closing dates of the 30-day
period. All applications submitted by
11:59 PM ET on the closing date will be
considered submitted during the initial
30-day period. Refer to section 8.02(3)
of this revenue procedure for information
regarding the lottery for applications sub-
mitted during the first 30 days in oversub-
scribed facility categories or Category 1
sub-reservations.
(2) Applications submitted after the
30-day period. Following the 30-day
period, DOE will continue to accept appli-
cations until the close of the 2024 Pro-
gram year application period. Provided
there is remaining Capacity Limitation in
a facility category or Category 1 sub-res-
ervation, DOE will review applications
submitted in those facility categories
or Category 1 sub-reservation after the
30-day period. Within each facility cate-
gory or Category 1 sub-reservation, DOE
will make recommendations for an alloca-
tion of Capacity Limitation with respect
to applications submitted after the close
of the 30-day period in the order in which
applications are received in a particular
facility category or Category 1 sub-res-
ervation. The IRS will award Capacity
Limitation allocations in the order that it
receives recommendations from DOE.
(3) Lottery for applications submitted
during the 30-day period. For oversub-
scribed facility categories and Category
1 sub-reservations, DOE will conduct
a lottery at the end of the 30-day period
described in section 8.02(1) of this reve-
nue procedure for applications submitted
during that period. The lottery is con-
ducted prior to application review. Lottery
scores will be used to determine which
qualified facilities are eligible for a rec-
ommendation for an allocation of Capac-
ity Limitation if a facility category or Cat-
egory 1 sub-reservation is oversubscribed.
Refer to section 8.03(2) of this revenue
procedure for information regarding how
applications meeting Additional Selection
Criteria are prioritized over other appli-
cations. Regardless of an application’s
lottery score, a facility will not receive
a recommendation for an allocation of
Capacity Limitation if the facility and the
application with respect to that facility
9
For a general discussion of political subdivisions of States, see Rev. Rul. 77-164, 1977-1 C.B. 20, Rev. Rul. 78-276, 1978-2 C.B. 256, and Rev. Rul. 83-131, 1983-2 C.B. 184.
10
For a general discussion of agencies and instrumentalities of governments, see Rev. Rul. 57-128, 1957-1 C.B. 311, Rose v. Long Island Railroad Pension Plan, 828 F.2d 910, 918 (2d Cir.
1987), cert. denied, 485 U.S. 936 (1988), and Bernini v. Federal Reserve Bank of St. Louis, Eighth District, 420 F. Supp. 2d 1021 (E.D. Mo. 2005).
11
Maps that capture applicable census tracts are available in DOE’s publicly available written procedures to assist applicants.

Bulletin No. 2024–16 907 April 15, 2024
do not meet the requirements of the Final
Regulations and this revenue procedure.
(4) Close of program year. After the
IRS awards all the Capacity Limitation
within each facility category or Category
1 sub-reservation, or the 2024 Program
year is closed, DOE will cease review of
any remaining applications. At the end of
the 2024 Program year, no further action
will be taken on applications submitted
but not awarded an allocation. DOE will
publicly announce on the Program Home-
page when the 2024 Program year closes.
.03 Processing Additional Selection
Criteria applications.
(1) In general. Fifty percent of the
Capacity Limitation in each facility cat-
egory will be reserved for qualified solar
or wind facilities meeting the Ownership
Criteria described in § 1.48(e)-1(h)(2)
and the Geographic Criteria described in
§ 1.48(e)-1(h)(3). This reservation will
remain beyond the initial 30-day period
described in section 8.02(1) of this reve-
nue procedure. However, as described in
§ 1.48(e)-1(h)(1), the Treasury Depart-
ment and the IRS may later decide to real-
locate reserved capacity across facility cat-
egories and Category 1 sub-reservations
in the event one facility category or Cat-
egory 1 sub-reservation is oversubscribed
and another has excess capacity. Alloca-
tions for facilities meeting one or more
of the Additional Selection Criteria will
be made from the 50-percent reserve for
such facilities before additional amounts
reserved for a facility category are allo-
cated to facilities meeting these criteria.
If the 50-percent reserve is depleted, how-
ever, applications meeting the Additional
Selection Criteria submitted during the
initial 30-day period are prioritized with
respect to all available Capacity Limita-
tion in each facility category or Category
1 sub-reservation as provided in section
8.03(2) of this revenue procedure.
(2) Review of Additional Selection
Criteria applications. If a facility cat-
egory or Category 1 sub-reservation is
oversubscribed at the end of the 30-day
period, applications purporting to meet
one or more Additional Selection Crite-
ria are included in the lottery (described
in section 8.02(3) of this revenue proce-
dure) with non-Additional Selection Cri-
teria applications for that oversubscribed
Category or Category 1 sub-reservation.
However, applications purporting to meet
one or more Additional Selection Criteria
as a group will be prioritized for an allo-
cation over non-Additional Selection Cri-
teria applications within the same facility
category or Category 1 sub-reservation.
DOE will use lottery scores to determine
which qualified facilities are eligible for
a recommendation for an allocation of
Capacity Limitation if a facility category
or Category 1 sub-reservation is oversub-
scribed. If the eligible applications for
Capacity Limitation for facilities that meet
at least one of the two Additional Selec-
tion Criteria exceed the Capacity Limita-
tion for a facility category or Category 1
sub-reservation, applications purporting
to meet both of the Additional Selection
Criteria receive a higher score so that they
are prioritized over other applications
within each facility category or Category
1 sub-reservation. If upon DOE review
it is determined that an application does
not meet one or both Additional Selection
Criteria purported in the application, then
the application’s score may be reduced
resulting in a change to the application’s
priority status.
.04 Cure period for application defects.
(1) In general. If the assigned DOE
reviewer identifies a defect with a submit-
ted application, such as missing or incor-
rect information or documentation, DOE
will contact the applicant via the Portal.
The reviewer will request that the appli-
cant submit additional information or
documentation to correct or complete the
application via the Portal.
(2) Timing for applicant response.
An applicant that is contacted by a DOE
reviewer to submit additional information
or documentation or provide corrected
information will have 12 business days
(12-business day cure period) to respond
and provide such requested information or
documentation.
(3) Consequences for failure to respond
or provide information. If an applicant
fails to respond and provide the requested
information or documentation within the
12 business-day cure period, DOE will
cease review and mark the application as
withdrawn. The applicant may create and
submit a new application for review, at a
later date, if the facility remains eligible
and the Program is still accepting appli-
cations.
SECTION 9. NOTIFICATION OF
ALLOCATION DECISION FROM
IRS
.01 In general. The IRS will send
final decision letters through the Portal to
inform applicants of the outcome of the
application process. For any applicant that
receives an award of Capacity Limitation,
the letter will state the amount of the allo-
cated Capacity Limitation.
.02 Allocation amount. The Capacity
Limitation allocated to a facility will be
determined based on the nameplate capac-
ity of the facility as stated in the applica-
tion. The Capacity Limitation allocation
will be provided in direct current. For
wind facilities, alternating current will
be treated as equivalent to direct current
for purposes of determining the amount
of a Capacity Limitation allocation. The
facility that receives the final allocation of
Capacity Limitation in each facility cate-
gory or Category 1 sub-reservation may
receive an allocation less than its name-
plate capacity.
SECTION 10. PLACED IN SERVICE
.01 In general. To satisfy the require-
ments of § 1.48(e)-1(k), for any facility
that receives an allocation of Capacity
Limitation, the owner of the facility must
report to DOE through the Portal the date
the facility was placed in service.
.02 Documentation and attestation
requirements. To satisfy the requirements
of § 1.48(e)-1(k), the owner must provide
the following through the Portal:
(1) A Permission to Operate (PTO) let-
ter (or commissioning report for off-grid
facilities) confirming that the facility has
been placed in service and the location of
the facility being placed in service;
(2) A Final, Professional Engineer (PE)
stamped (if required by applicable state or
local law) as-built design plan, PTO letter
with nameplate capacity listed, or other
documentation from an unrelated party
verifying as-built nameplate capacity;
(3) For Category 3 Facilities, a Ben-
efits Sharing Statement as defined in
§ 1.48(e)-1(e)(6) demonstrating that the
financial benefits requirements will be
met based on the expected annual energy
produced by the as-built facility at placed
in service;

April 15, 2024 908 Bulletin No. 2024–16
(4) For Category 4 Facilities, a final
list of low-income households served with
name, address, subscription share, and the
income verification method used. Alter-
natively, if financial benefits are delivered
through a utility or government body where
the utility or government body cannot pro-
vide a final list of low-income households
served with all relevant details, documen-
tation issued from the participating utility
or government body (for example, a Public
Utility Commission, state energy office, or
Tribal government) or the program admin-
istrator acting on behalf of the utility or
government body that confirms that the
facility is participating in a low-income
program that ensures that at least fifty per-
cent of the facility’s total output is assigned
to qualifying low-income households under
§ 48(e)(2)(C)(i) or (ii) (Qualifying House-
hold). If documentation is submitted from
the participating utility, government body,
or program administrator, the documenta-
tion must also include additional informa-
tion, such as a copy of the relevant statute
or regulatory order, that confirms that the
low-income program in which the facility
is participating requires the facility to serve
multiple Qualifying Households; and
(5) For Category 4 Facilities, a spread-
sheet demonstrating the expected finan-
cial benefit to low-income subscribers to
demonstrate the 20 percent bill credit dis-
count rate.
(6) An attestation confirming that a dis-
qualification event under § 1.48(e)-1(m)
(1) through (5) has not occurred.
(7) An attestation stating that the per-
son submitting the information and doc-
umentation at placed in service is autho-
rized to legally bind the owner, and that,
under penalties of perjury, they have
examined the submission, including any
accompanying documents, and that, to the
best of their knowledge and belief, all of
the facts contained therein are true, cor-
rect, and complete.
SECTION 11. EFFECT OF
ALLOCATION OR OTHER
NOTIFICATION
A Capacity Limitation allocation or a
notification that a facility has met the eli-
gibility requirements under the Program
at the time the facility is placed in service
is not a final determination that property
is eligible for an increased credit under
§ 48(e). The IRS may, upon examination,
determine that property does not qualify
for the increased credit.
SECTION 12. CLAIMING THE
ENERGY PERCENTAGE INCREASE
.01 In general. After the facility is
placed in service, and the owner submits
the additional documentation and attes-
tations described in § 1.48(e)-1(k) and
section 10 of this revenue procedure, the
owner is notified that it (or the applica-
ble partners or shareholders in the case
of a partnership or an S corporation) may
claim the energy percentage increase on
Form 3468, Investment Credit (or succes-
sor form) or Form 3800, General Business
Credit (or successor form), if eligible,
make an elective payment election under
§ 6417, or, if eligible, make a transfer
election under § 6418.
.02 Reduction in Increased Energy Per-
centage. In cases where the facility size
is larger than the allocated capacity when
placed in service (but still below 5 MW
AC), the 10 percentage or 20 percent-
age point increase will be reduced by a
reduction factor which is calculated by the
amount of Capacity Limitation allocated
(kW) divided by the total nameplate capac-
ity installed (kW) at the time the owner of
the facility claims the energy percentage
increase under § 48(e). See § 48(e)(1)(B).
SECTION 13. SUCCESSOR IN
INTEREST
.01 In general. Except as otherwise pro-
vided in this section 13, a Capacity Lim-
itation allocation award applies only to the
taxpayer who applied for and received an
allocation award for the facility the tax-
payer owns. If a taxpayer wants to request
a transfer of an allocation, it should refer
to DOE’s publicly available written pro-
cedures to initiate a transfer request in the
Portal. Transfer requests will be reviewed
and approved by the IRS. The IRS intends
to provide future guidance regarding unin-
corporated organizations that elect to be
excluded from the application of subchap-
ter K.
.02 Additional Selection Criteria.
Applicants who received an allocation
based on the Additional Selection Criteria
should refer to § 1.48(e)-1(m)(5) regard-
ing potential disqualification if the origi-
nal applicant does not retain the requisite
interest described in § 1.48(e)-1(m)(5) in
an entity treated as a partnership for fed-
eral income tax purposes that owns the
facility.
SECTION 14. EFFECT ON OTHER
DOCUMENTS
Solely with respect to the 2024 Pro-
gram year, this revenue procedure super-
sedes Rev. Proc. 2023-27.
SECTION 15. APPLICABILITY
DATES
This revenue procedure applies to the
2024 Program year.
SECTION 16. PAPERWORK
REDUCTION ACT
This revenue procedure is not creat-
ing a new collection of information as
described by the Paperwork Reduction
Act (44 U.S.C. 3507(d)). The collections
of information contained within this rev-
enue procedure, and their associated bur-
dens, have been submitted to the Office
of Management and Budget as part of TD
9979 and was approved under OMB Con-
trol Number 1545-2308.
SECTION 17. DRAFTING
INFORMATION
The principal author of this revenue
procedure is the Office of Associate Chief
Counsel (Passthroughs & Special Indus-
tries). However, other personnel from the
Treasury Department and the IRS par-
ticipated in its development. For further
information regarding this revenue pro-
cedure, call the energy security guidance
contact number at (202) 317-5254 (not a
toll-free number).

Bulletin No. 2024–16 909 April 15, 2024
Part IV
Announcement and Report Concerning Advance Pricing Agreements
Announcement 2024-16
This Announcement is issued pursuant to § 521(b) of Pub. L. 106-170, the Ticket to Work and Work Incentives Improvement Act of
1999, which requires the Secretary of the Treasury to report annually to the public concerning advance pricing agreements (APAs)
and the Advance Pricing and Mutual Agreement Program (APMA Program), formerly known as the Advance Pricing Agreement
Program (APA Program). The first report covered calendar years 1991 through 1999. Subsequent reports covered each calendar
year 2000 through 2022 separately. This twenty-fifth report describes the experience, structure, and activities of the APMA Program
during calendar year 2023. It does not provide guidance regarding the application of the arm’s length standard.
Part I of this report includes information on the structure, composition, and operation of the APMA Program; Part II presents statisti-
cal data; and Part III includes general descriptions of various elements of the APAs executed in 2023, including types of transactions
covered, transfer pricing methods used, and completion time.
John M. Wall
Acting Director, APMA Program

April 15, 2024 910 Bulletin No. 2024–16
Part I. The APMA Program – Structure, Composition, and Operation
[Pub. L. 106-170 § 521(b)(2)(A)]
In February 2012, the former APA Program was moved from the Office of Chief Counsel to the Office of Transfer Pricing Operations
1

within the Large Business and International Division of the IRS and combined with the U.S. Competent Authority staff responsible
for transfer pricing cases, thereby forming the APMA Program (APMA).
As of December 31, 2023, APMA’s APA cases were handled by 70 team leaders, 29 economists, 12 managers, and 3 assistant direc-
tors.
2
Each assistant director oversees four managers who lead teams consisting of both team leaders and economists. APMA’s main
office is in Washington, DC, and it also has offices in northern California, southern California, and the Atlanta, Boston, Chicago,
Denver, Miami, New York, and Seattle metropolitan areas.
On August 31, 2015, the current revenue procedure governing APA applications was published in 2015-35 I.R.B. on page 263. Rev-
enue Procedure (Rev. Proc.) 2015-41 provides guidance, information and instructions on APA requests and the administration of
APAs. Rev. Proc. 2015-41 updates and supersedes Rev. Proc. 2006-9, 2006-1 C.B. 278, as modified by Rev. Proc. 2008-31, 2008-1
C.B. 1133, which is also superseded.
The model for APAs covered by Rev. Proc. 2006-9 was updated to serve as the current model APA for APAs covered by Rev. Proc.
2015-41. The model APA is included as Appendix 1 to this report. A list of primary APMA contacts is available at https://www.irs.
gov/businesses/corporations/apma-contacts.
1
In 2017, Transfer Pricing Operations became Treaty & Transfer Pricing Operations (“TTPO”).
2
In late 2020, TTPO’s Treaty Assistance and Interpretation Team (TAIT) joined APMA, bringing the total number of groups in APMA to four. The three legacy APMA groups have primary
responsibility for cases arising under the business profits and associated enterprises articles of U.S. tax treaties. TAIT endeavors to resolve competent authority issues arising under all other
articles of U.S. tax treaties including issues arising under U.S. tax treaties relating to estate and gift taxes. As such, TAIT is separate from APMA’s APA program, and the total numbers of
team leaders and managers handling APA cases do not include TAIT analysts and managers.

Part II. APMA Program Statistical Data
[Pub. L. 106-170 § 521(b)(2)(C)(i-viii)]
Table 1: APA Applications Filed
§ 521(b)(2)(C)(i)
Unilateral Bilateral MultilateralTotal
Filed 1991-1999
3
401
Filed 2000-20226751,999442,718
Filed in 2023171446167
Total Filed 1991-2023 3,286

3

The charts above illustrate the number of complete applications filed per year and the percentage
of bilateral requests received in 2023 per foreign country. As of December 31, 2023, APMA had
also received 22 user fee filings that were not yet accompanied by a substantially complete APA
application, in addition to the 167 complete APA applications.

Table 2: Executed
4
and Pending APAs
§ 521(b)(2)(C)(ii-vi)
Unilateral Bilateral Multilateral
Total
Total Executed 1991-2022 697 1,549 22 2,268
Total Executed in 2023 24 130 2 156
Total Executed 1991-2023 721 1,679 24 2,424

Total Pending as of 12/31/2023 44 480 34 558

Renewals Executed in 2023
5
15 59 0 74

4
“Executed APAs” refers to APAs that were finalized and includes both initial and renewal APAs.
5
The number of renewals executed is included in the total number of APAs executed during the year.
0
50
100
150
200
250
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Applications Filed
2014-2023
Japan
30%
India
21%
Canada
14%
Italy
8%
United Kingdom
5%
Mexico
3%
Australia
3%
All Other Countries
16%
Bilateral APAs
Filed by Country 2023
The charts above illustrate the number of complete applications fi led per year and the percentage of bilateral requests received in
2023 per foreign country. As of December 31, 2023, APMA had also received 22 user fee fi lings that were not yet accompanied by a
substantially complete APA application, in addition to the 167 complete APA applications.
3 The fi rst APA Statutory Report, which compiled APA data from 1991-1999, did not report the cumulative number of applications for those years by submission type, so the cumulative totals cannot be reported in that manner.
Bulletin No. 2024–16 911 April 15, 2024

Table 2: Executed
4
and Pending APAs
§ 521(b)(2)(C)(ii-vi)
Unilateral Bilateral MultilateralTotal
Total Executed 1991-20226971,549222,268
Total Executed in 2023241302156
Total Executed 1991-20237211,679242,424
Total Pending as of 12/31/20234448034558
Renewals Executed in 2023
5
1559074
Renewals Pending
6
as of 12/31/20233319920252

4

Renewals Pending
6
as of 12/31/2023 33 199 20 252

In 2023, the percentage of renewals executed decreased (47 percent of all APAs executed in
2023 versus 55 percent of all APAs executed in 2022). The charts above illustrate trends in the
number of APAs executed per year and the countries involved in the bilateral APAs that were
executed in 2023.

6
The number of renewals still pending as of year-end is also included in the total number of pending APAs.
0
50
100
150
200
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
APAs Executed
2014-2023
Japan
32%
India
17%
Italy
11%
Canada
8%
Korea
6%
United Kingdom
6%
Denmark
3%
Switzerland
3%
All Other Countries
14%
Bilateral APAs
Executed by Country 2023
In 2023, the percentage of renewals executed decreased (47 percent of all APAs executed in 2023 versus 55 percent of all APAs exe-
cuted in 2022). The charts above illustrate trends in the number of APAs executed per year and the countries involved in the bilateral
APAs that were executed in 2023.
4
“Executed APAs” refers to APAs that were fi nalized and includes both initial and renewal APAs.
5
The number of renewals executed is included in the total number of APAs executed during the year.
6
The number of renewals still pending as of year-end is also included in the total number of pending APAs.
April 15, 2024 912 Bulletin No. 2024–16

5

As the top chart illustrates, the number of pending requests decreased slightly relative to
December 31, 2022. As of December 31, 2023, almost half of the pending bilateral APA requests
involved either Japan or India.

Table 3: APAs Revoked or Cancelled and Applications Withdrawn
§ 521(b)(2)(C)(vii)

Unilateral Bilateral Multilateral Total
Revoked or Cancelled 1991-2000
7
1
Revoked or Cancelled 2001-2022 8 2 0 10
Revoked or Cancelled in 2023 0 0 0 0
Total Revoked or Cancelled 1991-2023

11

Withdrawn 1991-2000
8
49
Withdrawn 2001-2022 76 157 2 235
Withdrawn in 2023 2 11 0 13

7
The first APA Statutory Report, which compiled APA data from 1991-1999, and the second APA Statutory Report,
which compiled APA data for 2000, did not report the cumulative number of applications for those years by
submission type, so the cumulative totals cannot be reported in that manner.
8
See supra note 7.
0
100
200
300
400
500
600
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Pending APAs
2014-2023
Japan
25%
India
23%
Canada
13%
Mexico
6%
Korea
5%
Italy
5%
United Kingdom
4%
Germany
4%
All Other Countries
15%
Pending Bilateral APAs
by Country
As the top chart illustrates, the number of pending requests decreased slightly relative to December 31, 2022. As of December 31,
2023, almost half of the pending bilateral APA requests involved either Japan or India.
Table 3: APAs Revoked or Cancelled and Applications Withdrawn
§ 521(b)(2)(C)(vii)
Unilateral Bilateral MultilateralTotal
Revoked or Cancelled 1991-2000
7
1
Revoked or Cancelled 2001-202282010
Revoked or Cancelled in 20230000
Total Revoked or Cancelled 1991-2023
11
Withdrawn 1991-2000
8
49
Withdrawn 2001-2022761572235
Withdrawn in 2023211013
Withdrawn 1991-2023
297
7
The fi rst APA Statutory Report, which compiled APA data from 1991-1999, and the second APA Statutory Report, which compiled APA data for 2000, did not report the cumulative number
of applications for those years by submission type, so the cumulative totals cannot be reported in that manner.
8
See supra note 7.
Bulletin No. 2024–16 913 April 15, 2024

Table 4: APAs Executed in 2023 by Industry
§ 521(b)(2)(C)(viii)
Industry
Manufacturing 48
Wholesale/Retail Trade47
Services26
Finance, Insurance and Real Estate18
Management10
All Other Industries6

6

Withdrawn 1991-2023 297
Table 4: APAs Executed in 2023 by Industry
§ 521(b)(2)(C)(viii)
Industry

Manufacturing 48
Wholesale/Retail Trade 47
Services 26
Finance, Insurance and Real Estate 18
Management 10
All Other Industries 6

Table 4a: Manufacturing APAs Executed in 2023
Type of Manufacturing

Transportation Equipment 15
Chemical 9
Computer and Electronic Product 8
Miscellaneous
9
5
Machinery 3
All Other Manufacturing 8

9
Industries in the Miscellaneous Manufacturing subsector (NAICS Code 339) make a wide range of products that
cannot readily be classified in specific NAICS manufacturing subsectors.
Manufacturing
31%
Wholesale/Retail
Trade
30%
Services
17%
Finance, Insurance
and Real Estate
12%
Management
6%
All Other Industries
4%
APAs Executed
in 2023 by Industry
Table 4a: Manufacturing APAs Executed in 2023
Type of Manufacturing
Transportation Equipment15
Chemical9
Computer and Electronic Product 8
Miscellaneous
9
5
Machinery 3
All Other Manufacturing8

7

Table 4b: Wholesale/Retail Trade APAs Executed in 2023
Type of Wholesale/Retail Trade

Merchant Wholesalers, Durable Goods 25
Merchant Wholesalers, Nondurable Goods 10
Clothing and Clothing Accessories Stores 5
All Other Wholesalers 7

Transportation
Equipment
31%
Chemical
19%
Computer and
Electronic Product
17%
Miscellaneous
10%
Machinery
6%
All Other
Manufacturing
17%
Type of Manufacturing APAs
Executed in 2023
Merchant
Wholesalers, Durable
Goods
53%
Merchant
Wholesalers,
Nondurable Goods
21%
Clothing and
Clothing Accessories
Stores
11%
All Other
Wholesalers
15%
Type of Wholesale/Retail Trade APAs
Executed in 2023
9
Industries in the Miscellaneous Manufacturing subsector (NAICS Code 339) make a wide range of products that cannot readily be classifi ed in specifi c NAICS manufacturing subsectors.
April 15, 2024 914 Bulletin No. 2024–16

Table 4b: Wholesale/Retail Trade APAs Executed in 2023
Type of Wholesale/Retail Trade
Merchant Wholesalers, Durable Goods25
Merchant Wholesalers, Nondurable Goods
10
Clothing and Clothing Accessories Stores
5
All Other Wholesalers
7

7

Table 4b: Wholesale/Retail Trade APAs Executed in 2023
Type of Wholesale/Retail Trade

Merchant Wholesalers, Durable Goods 25
Merchant Wholesalers, Nondurable Goods 10
Clothing and Clothing Accessories Stores 5
All Other Wholesalers 7

Transportation
Equipment
31%
Chemical
19%
Computer and
Electronic Product
17%
Miscellaneous
10%
Machinery
6%
All Other
Manufacturing
17%
Type of Manufacturing APAs
Executed in 2023
Merchant
Wholesalers, Durable
Goods
53%
Merchant
Wholesalers,
Nondurable Goods
21%
Clothing and
Clothing Accessories
Stores
11%
All Other
Wholesalers
15%
Type of Wholesale/Retail Trade APAs
Executed in 2023
Bulletin No. 2024–16 915 April 15, 2024

Part III. General Descriptions of APAs Executed in 2023
[Pub. L. 106-170 § 521(b)(2)(D) and (E)]
Nature of the Relationships
§ 521(b)(2)(D)(i)
8

Part III. General Descriptions of APAs Executed in 2023
[Pub. L. 106-170 § 521(b)(2)(D) and (E)]

Nature of the Relationships
§ 521(b)(2)(D)(i)

As in prior years, more than half of the APAs executed in 2023 involved transactions between
non-U.S. parents and U.S. subsidiaries.

Covered Transactions, Functions and Risks, and Tested Parties
§ 521(b)(2)(D)(ii-iii)

Most of the transactions
10
covered in APAs executed in 2023 involve the sale of tangible goods
or the provision of services. Eighteen percent of the transactions involve the use of intangible
property, which can be among the most challenging transactions in APMA’s inventory.

In the majority of APAs, the covered transactions involve numerous business functions and risks.
For instance, with respect to functions, APAs involving manufactured products typically involve

10
APAs often cover more than one type of transaction.
Non-U.S. Parent &
U.S. Subsidiary
56%
U.S. Parent &
Non-U.S.
Subsidiary
37%
Sister Companies
6%
All Other
Relationships 1%
Relationships between Controlled Parties
Sale of Tangible
Property into the U.S.
23%
Sale of Tangible
Property from the
U.S.
13%
Use of Intangible Property
by a U.S. Entity
12%
Use of Intangible Property by a
Non-U.S. Entity
6%
Provision of Services
by a U.S. Entity
21%
Provision of Services by a
Non-U.S. Entity
23%
All Other Types of
Transactions
2%
Types of Covered Transactions
As in prior years, more than half of the APAs executed in 2023 involved transactions between non-U.S. parents and U.S. subsidiaries.
Covered Transactions, Functions and Risks, and Tested Parties
§ 521(b)(2)(D)(ii-iii)

8

Part III. General Descriptions of APAs Executed in 2023
[Pub. L. 106-170 § 521(b)(2)(D) and (E)]

Nature of the Relationships
§ 521(b)(2)(D)(i)

As in prior years, more than half of the APAs executed in 2023 involved transactions between
non-U.S. parents and U.S. subsidiaries.

Covered Transactions, Functions and Risks, and Tested Parties
§ 521(b)(2)(D)(ii-iii)

Most of the transactions
10
covered in APAs executed in 2023 involve the sale of tangible goods
or the provision of services. Eighteen percent of the transactions involve the use of intangible
property, which can be among the most challenging transactions in APMA’s inventory.

10
APAs often cover more than one type of transaction.
[CELLRANGE]
[PERCENTAGE]
[CELLRANGE]
[PERCENTAGE]
[CELLRANGE]
[PERCENTAGE]
[CELLRANGE]
[PERCENTAGE]
Relationships between Controlled Parties
Sale of Tangible
Property into the U.S.
23%
Sale of Tangible
Property from the
U.S.
13%
Use of Intangible
Property by a U.S.
Entity
12%
Use of Intangible
Property by a Non-
U.S. Entity
6%
Provision of Services
by a U.S. Entity
21%
Provision of Services
by a Non-U.S. Entity
23%
All Other Types of
Transactions
2%
Types of Covered Transactions
Most of the transactions
10
covered in APAs executed in 2023 involve the sale of tangible goods or the provision of services. Eighteen
percent of the transactions involve the use of intangible property, which can be among the most challenging transactions in APMA’s
inventory.
In the majority of APAs, the covered transactions involve numerous business functions and risks. For instance, with respect to func-
tions, APAs involving manufactured products typically involve a controlled group that conducts research and development (R&D),
engages in product design and engineering, manufactures the product, markets and distributes the product, and performs support
functions such as legal, fi nance, and human resources. Regarding risks, the controlled group may assume a variety of risks, including
market risks, R&D risks, fi nancial risks, credit and collection risks, product liability risks, and general business risks. In the APA
evaluation process, a signifi cant amount of time and effort is devoted to understanding how functions and risks are allocated among
the controlled group of companies that are party to the covered transactions. For methods requiring the selection of a tested party, the
tested party chosen generally will be the least complex of the controlled taxpayers.
10
APAs often cover more than one type of transaction.
April 15, 2024 916 Bulletin No. 2024–16

9

In the majority of APAs, the covered transactions involve numerous business functions and risks.
For instance, with respect to functions, APAs involving manufactured products typically involve
a controlled group that conducts research and development (R&D), engages in product design
and engineering, manufactures the product, markets and distributes the product, and performs
support functions such as legal, finance, and human resources. Regarding risks, the controlled
group may assume a variety of risks, including market risks, R&D risks, financial risks, credit
and collection risks, product liability risks, and general business risks. In the APA evaluation
process, a significant amount of time and effort is devoted to understanding how functions and
risks are allocated among the controlled group of companies that are party to the covered
transactions. For methods requiring the selection of a tested party, the tested party chosen
generally will be the least complex of the controlled taxpayers.

U.S. Distributor
42%
Non-U.S. Distributor
10%
U.S. Service Provider
12%
Non-U.S. Service
Provider
22%
U.S. Manufacturer
13%
All Other Types of
Tested Parties
1%
Types of Tested Parties
Consistent with prior years, a majority of tested parties
11
in 2023 were U.S. distributors, U.S.
manufacturers, or U.S. service providers.

Transfer Pricing Methods Used
§ 521(b)(2)(D)(iv)

In 2023, the most commonly used transfer pricing method (TPM) for both the sale of tangible
property and the use of intangible property continued to be the comparable profits
method/transactional net margin method (CPM/TNMM). The CPM/TNMM was used for 80
percent of these types of transactions.

As in recent years, for covered transactions involving tangible and intangible property that used
the CPM/TNMM, the operating margin (OM) is still the most common profit level indicator
(PLI) used to benchmark results. It was used 60 percent of the time. Other PLIs, such as the
Berry Ratio and return on total cost, made up the other 40 percent. As used here, “OM” is
defined as the ratio of operating profit to sales,
12
and “Berry Ratio” is defined as the ratio of

11
Not all the executed APAs involve a tested party. Whether an APA involves a tested party would depend on the
transfer pricing method used.
12
See Treas. Reg. § 1.482-5(b)(4)(ii)(A).
Consistent with prior years, a majority of tested parties
11
in 2023 were U.S. distributors, U.S. manufacturers, or U.S. service providers.
Transfer Pricing Methods Used
§ 521(b)(2)(D)(iv)
In 2023, the most commonly used transfer pricing method (TPM) for both the sale of tangible property and the use of intangible
property continued to be the comparable profi ts method/transactional net margin method (CPM/TNMM). The CPM/TNMM was used
for 80 percent of these types of transactions.
As in recent years, for covered transactions involving tangible and intangible property that used the CPM/TNMM, the operating mar-
gin (OM) is still the most common profi t level indicator (PLI) used to benchmark results. It was used 60 percent of the time. Other
PLIs, such as the Berry Ratio and return on total cost, made up the other 40 percent. As used here, “OM” is defi ned as the ratio of
operating profi t to sales,
12
and “Berry Ratio” is defi ned as the ratio of gross profi t to operating expenses.
13
Most services transactions
(86 percent) also used the CPM/TNMM with the OM and operating profi t to operating expense being the most common PLIs (used
48 percent of the time).
14
Sour ces of Comparables, Comparables Selection Criteria, and Nature of Adjustments to Comparables or Tested Party Data
§ 521(b)(2)(D)(v-vii)
For t he APAs executed in 2023 that involved the CPM/TNMM with a North American tested party, the most widely used data source
for comparables was Standard and Poor’s Compustat/Capital IQ database. Different sources were used in other cases (e.g., where the
tested party was not a North American entity or where transaction-based methods were applied). Other commonly used databases are
listed in the table below.
Table 5: Sources of Comparable Data
Bureau van Dijk (BvD) OrbisCapitaline TP
Global VantageRoyaltySource
ktMINERoyaltyStat
Ace TP
In making comparability adjustments, typical balance sheet adjustments, as identifi ed in Treas. Reg. §§ 1.482-1(d)(2) and 1.482-5(c)
(2)(iv), were made in most cases, including, where appropriate, adjustments for payables, receivables, inventory, and fi xed assets.
In addition, where appropriate, adjustments for different accounting practices were made to convert from LIFO to FIFO inventory
accounting, and a small number of cases involved the accounting reclassifi cation of expenses, e.g., from COGS to operating expenses.
11
Not all the executed APAs involve a tested party. Whether an APA involves a tested party would depend on the transfer pricing method used.
12
See Treas. Reg. § 1.482-5(b)(4)(ii)(A).
13
See Treas. Reg. § 1.482-5(b)(4)(ii)(B).
14
The majority of APAs that covered services transactions also included tangible/intangible transactions, which were not tested under a separate PLI.
Bulletin No. 2024–16 917 April 15, 2024

April 15, 2024 918 Bulletin No. 2024–16
Ranges and Adjustment Mechanisms
§ 521(b)(2)(D)(viii-ix)
Most transactions covered in APAs target an interquartile range as described in Treas. Reg. § 1.482-1(e)(2)(iii)(C), a point within the
interquartile range, or another targeted arm’s length range. Where the transaction involves a royalty payment for the use of intangible
property, both specific royalty rates and ranges have been used. Where the covered transaction is the sale or license of intangible
property, and the payment for such transfer would be a royalty based solely on external comparable uncontrolled transactions, a sec-
ondary or confirming method, e.g., a test of the post-royalty operating margin or cost-plus mark-up, has sometimes also been used.
The testing periods of the APAs executed in 2023 were either a single year, the term of the APA only, or the term of the APA plus
rollback years.
APAs executed in 2023 included several mechanisms for making adjustments to the tested party’s results when the results fall outside
the agreed range or do not match the point required by the APA. Examples of the mechanisms used include an adjustment bringing
the tested party’s results for a single year to either the closer edge of the range or the median of the range, an adjustment to bring
the results over the APA term to the closer edge of the range, or an adjustment to bring the results to a specified point or royalty rate.
Critical Assumptions
§ 521(b)(2)(D)(v)
The model APA used by the IRS (included as Appendix 1 of this report) includes standard critical assumptions that there will be no
material changes to the taxpayer’s business or to its tax or financial accounting practices during the APA term. Some bilateral cases
have also included critical assumptions tied to the taxpayer’s profitability in a certain year or over the term of the APA. Pursuant to
§ 7.06(3) of Rev. Proc. 2015-41, APMA will cancel an APA in the event of a failure of a critical assumption unless the parties agree
to revise the APA.
Term Lengths of APAs Executed in 2023
§ 521(b)(2)(D)(x)
Table 6: Term Lengths of APAs Executed in 2023
Term Length (years)Number of APAs
29
35
45
570
620
731
86
95
102
111
142
Average6
As described in § 3.03(1) of Rev. Proc. 2015-41, taxpayers should request an APA term that will cover at least five prospective taxable
years and may also request that the APA be “rolled back” to cover one or more earlier taxable years, although the appropriate APA
term is decided on a case-by-case basis. Of the APAs executed in 2023, 19 percent included rollback years. A substantial number of
APAs with terms of greater than five years were submitted as a request for a five-year term, and the additional years were agreed to
between the taxpayer and the IRS (or, in the case of a bilateral APA, between the IRS and the foreign government upon the taxpayer’s
request) to ensure a reasonable amount of prospectivity in the APA term.

Amount of Time Taken to Complete New and Renewal APAs
§ 521(b)(2)(E)
Table 7: Months to Complete New and Renewal APAs Executed in 2023

Unilateral Bilateral Unilateral & Bilateral
AverageMedianAverageMedianAverageMedian
New 45.234.950.049.949.449.9
Renewal 30.225.236.133.134.931.8
New & Renewal35.831.643.742.642.542.0

12

Amount of Time Taken to Complete New and Renewal APAs
§ 521(b)(2)(E)

Table 7: Months to Complete New and Renewal APAs Executed in 2023

Unilateral Bilateral
Unilateral &
Bilateral
Average Median Average Median
Average Median
New
45.2 34.9 50.0 49.9
49.4 49.9
Renewal
30.2 25.2 36.1 33.1
34.9 31.8
New & Renewal
35.8 31.6 43.7 42.6 42.5 42.0

Months to Complete New and Renewal APAs Executed in 2023

0.0
10.0
20.0
30.0
40.0
50.0
Average Median Average Median Average Median
Unilateral Bilateral Unilateral &
Bilateral
Months to Complete

Type of APA
New
Renewal
New &
Renewal
Median completion time decreased in 2023 to 42.0 months (from 43.4 months in 2022).

Efforts to Ensure Compliance with APAs
§ 521(b)(2)(F)

As described in § 7.02(1) of Rev. Proc. 2015-41, taxpayers are required to file annual reports to
demonstrate compliance with the terms and conditions of their APAs. The filing and review of
these annual reports are critical parts of the APA process. Through annual report review, the
APMA Program monitors taxpayer compliance with APAs on a contemporaneous basis. Annual
report review also provides current information on the success or problems associated with the
various TPMs adopted in the APA process.

Nature of Documentation Required in Annual Report
§ 521(b)(2)(D)(xi)

APAs require taxpayers to file timely and complete annual reports describing their operations
and demonstrating compliance with the APA’s terms and conditions. Not every annual report
Median completion time decreased in 2023 to 42.0 months (from 43.4 months in 2022).
Efforts to Ensure Compliance with APAs
§ 521(b)(2)(F)
As described in § 7.02(1) of Rev. Proc. 2015-41, taxpayers are required to fi le annual reports to demonstrate compliance with the
terms and conditions of their APAs. The fi ling and review of these annual reports are critical parts of the APA process. Through annual
report review, the APMA Program monitors taxpayer compliance with APAs on a contemporaneous basis. Annual report review also
provides current information on the success or problems associated with the various TPMs adopted in the APA process.
Nature of Documentation Required in Annual Report
§ 521(b)(2)(D)(xi)
APAs require taxpayers to fi le timely and complete annual reports describing their operations and demonstrating compliance with
the APA’s terms and conditions. Not every annual report will include each of the items listed in Appendix C of the Model APA; items
are required to be included where the facts demonstrate a need for such documentation. The requirements for the information to be
included in a specifi c APA annual report is included in Appendix C of the executed APA.
Approaches for Sharing of Currency or Other Risks
§ 521(b)(2)(D)(xii)
In appropriate cases, APAs may provide specifi c approaches for dealing with risks, including currency risk, such as adjustment mech-
anisms and/or critical assumptions.
Bulletin No. 2024–16 919 April 15, 2024

April 15, 2024 920 Bulletin No. 2024–16
APPENDIX 1– Model APA
ADVANCE PRICING AGREEMENT
between
[Insert Taxpayer’s Name]
and
THE INTERNAL REVENUE SERVICE
PARTIES
The Parties to this Advance Pricing Agreement (APA) are the Internal Revenue Service (IRS) and [Insert Taxpayer’s Name], EIN
________.
RECITALS
[Insert Taxpayer Name] is the common parent of an affiliated group filing consolidated U.S. tax returns (collectively referred to as
“Taxpayer”) and is entering into this APA on behalf of itself and other members of its consolidated group.
Taxpayer’s principal place of business is [City, State]. [Insert general description of Taxpayer and other relevant parties].
This APA contains the Parties’ agreement on the best method for determining arm’s-length prices of the Covered Issues under
I.R.C. section 482, the Treasury Regulations thereunder, and any applicable tax treaties.
{If renewal, add} [Taxpayer and IRS previously entered into an APA covering taxable years ending _____ to ______, executed on
________.]
AGREEMENT
The Parties agree as follows:
1. Covered Issues. This APA applies to the Covered Issues, as defined in Appendix A.
2. Covered Methods. Appendix A sets forth the Covered Methods for the Covered Issues.
3. Term. This APA applies to the APA Term, as defined in Appendix A.
4. Operation.
a. Revenue Procedure 2015-41 governs the interpretation, legal effect, and administration of this APA.
b. Nonfactual oral and written representations, within the meaning of sections 6.04 and 6.05 of Revenue Procedure 2015-41
(including any proposals to use particular TPMs), made in conjunction with the APA Request constitute statements made in
compromise negotiations within the meaning of Rule 408 of the Federal Rules of Evidence.
5. Compliance.
a. Taxpayer must report its taxable income in an amount that is consistent with Appendix A and all other requirements of this
APA on its timely filed U.S. Return. However, if Taxpayer’s timely filed U.S. Return for any taxable year covered by this
APA (APA Year) is filed prior to, or no later than 60 days after, the effective date of this APA, then Taxpayer must report its
taxable income for that APA Year in an amount that is consistent with Appendix A and all other requirements of this APA:
(i) on a timely-filed U.S. Return, (ii) on an amended U.S. Return filed no later than 120 days after the effective date of this
APA, or (iii) by an alternative means (for example, by agreed adjustments with the IRS office with examination jurisdiction
over the taxpayer for any APA year currently under examination).

Bulletin No. 2024–16 921 April 15, 2024
b. {Use or edit the following when U.S. Group or Foreign Group contains more than one member.} [This APA addresses the
arm’s-length nature of prices charged or received in the aggregate between Taxpayer and Foreign Participants with respect
to the Covered Issues. Except as explicitly provided, this APA does not address and does not bind the IRS with respect to
prices charged or received, or the relative amounts of income or loss realized, by particular legal entities that are members
of U.S. Group or that are members of Foreign Group.]
c. The IRS will not reconsider any Covered Method but will instead limit any examination of Taxpayer’s treatment of Cov-
ered Issues in their U.S. Return for any APA Year to, and may require that Taxpayer establish, the following: (i) Taxpayer’s
compliance with the terms and conditions of this APA, (ii) the accuracy of material representations included in APA annual
reports submitted pursuant to this APA, and (iii) the correctness of the supporting data and computations used to apply the
Covered Method. The IRS may audit and propose adjustments to Taxpayer’s results as determined under this APA’s Cov-
ered Method without affecting the APA’s validity or applicability. Taxpayer may agree with the proposed adjustments in the
same manner as any other adjustment, in which case the IRS will assess any resulting additional tax or refund any resulting
overpayment of tax accordingly. If it does not agree with the proposed adjustment, Taxpayer may contest it through available
administrative and judicial procedures. Taxpayer must include the audit adjustments as finally determined for the purpose of
applying the Covered Method and must then make any resulting APA primary adjustments.
d. If Taxpayer does not comply with the terms and conditions of this APA, then the IRS may:
i. enforce the terms and conditions of this APA and make or propose allocations or adjustments under I.R.C. section 482
consistent with this APA;
ii. cancel or revoke this APA under section 7.06 of Revenue Procedure 2015-41; or
iii. revise this APA, if the Parties agree.
e. T axpayer must timely file an Annual Report that includes a signed “penalties of perjury” declaration for each APA Year in
accordance with Appendix C and section 7.02 of Revenue Procedure 2015-41. The Annual Report may be submitted only
by electronic transmission pursuant to paragraph 15 and must include an image of an original signature or a digital signature
that uses encryption techniques to provide proof of original and unmodified documentation. Taxpayer must file the Annual
Report for all APA Years through the APA Year ending [insert year] by [insert date]. Taxpayer must file the Annual Report
for each subsequent APA Year by [insert month and day] immediately following the close of that APA Year. (If any date falls
on a weekend or holiday, the Annual Report shall be due on the next date that is not a weekend or holiday.) The IRS may
request additional information reasonably necessary to clarify or complete the Annual Report. Taxpayer will provide such
requested information within 30 days. Additional time may be allowed for good cause.
f. The IRS will determine whether Taxpayer has complied with this APA based on Taxpayer’s U.S. Returns, the Financial
Statements, and other APA Records, for the APA Term and any other year necessary to verify compliance. For Taxpayer
to comply with this APA, {use the following or an alternative} an independent certified public accountant must render an
opinion that Taxpayer’s Financial Statements present fairly, in all material respects, Taxpayer’s financial position under
applicable generally accepted accounting standards.
g. In accordance with section 7.04 of Revenue Procedure 2015-41, Taxpayer will (1) maintain the APA Records, and (2) make
them available to the IRS in connection with an examination under section 7.03. Compliance with this subparagraph con-
stitutes compliance with the record-maintenance provisions of I.R.C. sections 6038A and 6038C for the Covered Issues for
any taxable year during the APA Term.
h. The True Taxable Income within the meaning of Treasury Regulations sections 1.482-1(a)(1) and (i)(9) of a member of an
affiliated group filing a U.S. consolidated return will be determined under the I.R.C. section 1502 Treasury Regulations.
i. {Optional for US Parent Signatories} To the extent that Taxpayer’s compliance with this APA depends on certain acts of
Foreign Group members, Taxpayer will ensure that each Foreign Group member will perform such acts.
6. Critical Assumptions. This APA’s critical assumptions, within the meaning of Revenue Procedure 2015-41, section 1.04, appear
in Appendix B. If any critical assumption has not been met, then Revenue Procedure 2015-41, section 7.06, governs.

April 15, 2024 922 Bulletin No. 2024–16
7. Disclosure. An APA, any background information relating to the APA, and the taxpayer’s APA request and any supplementary
materials submitted in conjunction with the APA request are subject to various sections of the I.R.C. and U.S. competent author-
ity treaty obligations as more fully explained in section 9 of Rev. Proc. 2015-41.
8. Disputes. If a dispute arises concerning the interpretation of this APA, the Parties will seek a resolution by the IRS’s Director,
Treaty and Transfer Pricing Operations, to the extent reasonably practicable, before seeking alternative remedies.
9. Materiality. In this APA the terms “material” and “materially” will be interpreted consistently with the definition of “material
facts” in Revenue Procedure 2015-41, section 7.06(4).
10. Section Captions. This APA’s section captions, which appear in italics, are for convenience and reference only. The captions do
not affect in any way the interpretation or application of this APA.
11. Terms and Definitions. Unless otherwise specified, terms in the plural include the singular and vice versa. Appendix D contains
definitions for capitalized terms not elsewhere defined in this APA.
12. Entire Agreement and Severability. This APA is the complete statement of the Parties’ agreement. The Parties will sever, delete,
or reform any invalid or unenforceable provision in this APA to approximate the Parties’ intent as nearly as possible.
13. Successor in Interest. This APA binds, and inures to the benefit of, any successor in interest to Taxpayer.
14. Notice. Any notices required by this APA or Revenue Procedure 2015-41 must be in writing. Taxpayer will send notices to the
IRS at:
Commissioner, Large Business and International Division
Internal Revenue Service
1111 Constitution Avenue, NW
SE:LB:TTPO:APMA:K:APMA Director
Washington, DC 20224
(Attention: APMA)
The IRS will send notices to the taxpayer at:
Taxpayer Corporation
Attn: Jane Doe, Sr. Vice President (Taxes)
1000 Any Road
Any City, USA 10000
(phone: __________)
15. Submission by electronic transmission. The form of electronic document transmittal will be one of the three alternatives described
below. Regardless of the transmittal mode, Taxpayer must contact APMA by email at lbi.ttpo.apma.feedback@irs.gov to initiate
the mode.
a. Taxpayer-Licensed Secure Portal. APMA prefers to send and receive documents to/from taxpayers through a taxpayer-li-
censed secure portal as this provides the highest degree of protection.
b. Email with encrypted attachments. When secure portal mode is not selected, Taxpayer may send and receive documents to
and from APMA by email. Before employing this document transmittal mode, an APMA employee will authenticate that
Taxpayer initiated the mode at the email noted above. After authentication, Taxpayer must then submit consent to transmit
encrypted documents by email in the following form:
“I consent to receive encrypted documents by email from APMA employees for the duration of this APA/MAP request.”
c. Unencrypted email. Communication by unencrypted email is not secure, and therefore not encouraged. However, if Tax-
payer chooses this mode, Taxpayer should:
i. Exclude sensitive information, including portions of Taxpayer’s TIN or name, from the subject line and body of emails.

Bulletin No. 2024–16 923 April 15, 2024
ii. T ransmit any potentially sensitive information, including personally identifiable information, only via encrypted, pass-
word-protected attachments.
The User Guide at Sign and Send Documents Electronically | Internal Revenue Service (irs.gov) contains additional information
about encrypting files and sending documents to IRS by email.
16. Effective Date and Counterparts. This APA is effective starting on the date, or later date of the dates, upon which all Parties
execute this APA. The Parties may execute this APA in counterparts, with each counterpart constituting an original.
WITNESS,
The Parties have executed this APA on the dates below.
[Taxpayer Name in all caps]
By: ___________________________ Date: ___________________, 202___
Jane Doe
Sr. Vice President (Taxes)
IRS
By: ___________________________ Date: ___________________, 202___
John M. Wall
Acting Director, APMA Program

April 15, 2024 924 Bulletin No. 2024–16
APPENDIX A
COVERED ISSUES AND COVERED METHOD
1. Covered Issues.
[Define the Covered Issues.]
2. APA Term.
This APA applies to Taxpayer’s taxable years ending __________ through ________ (APA Term).
3. Covered Methods.
{Note: If appropriate, adapt language from the following examples.}
[The Tested Party is __________.]
CUP Method
The covered method is the comparable uncontrolled price (CUP) method. The Arm’s Length Range of the price charged for
_________ is between _______ and ___________ per unit.
CUT Method
The covered method is the CUT Method. The Arm’s Length Range of the royalty charged for the license of ______is
between ____% and ___ % of [Taxpayer’s, Foreign Participants’, or other specified party’s] Net Sales Revenue. [Insert
definition of net sales revenue or other royalty base.]
Resale Price Method (RPM)
The covered method is the resale price method (RPM). The Tested Party’s Gross Margin for any APA Year is defined as fol-
lows: the Tested Party’s gross profit divided by its sales revenue (as those terms are defined in Treasury Regulations sections
1.482-5(d)(1) and (2)) for that APA Year. The Arm’s Length Range is between ____% and ___ %, and the Median of the
Arm’s Length Range is ___%.
Cost Plus Method
The covered method is the cost plus method. The Tested Party’s Cost Plus Markup is defined as follows for any APA Year:
the Tested Party’s ratio of gross profit to production costs (as those terms are defined in Treasury Regulations sections
1.482-3(d)(1) and (2)) for that APA Year. The Arm’s Length Range is between ___% and___%, and the Median of the Arm’s
Length Range is___%.
CPM with Berry Ratio PLI
The covered method is the comparable profits method (CPM). The profit level indicator is a Berry Ratio. The Tested Party’s
Berry Ratio is defined as follows for any APA Year: the Tested Party’s gross profit divided by its operating expenses (as
those terms are defined in Treasury Regulations sections 1.482-5(d)(2) and (3)) for that APA Year. The Arm’s Length Range
is between ___ % and ___%, and the Median of the Arm’s Length Range is ___%
CPM using an Operating Margin PLI
The covered method is the comparable profits method (CPM). The profit level indicator is an operating margin. The Tested
Party’s Operating Margin is defined as follows for any APA Year: the Tested Party’s operating profit divided by its sales rev-
enue (as those terms are defined in Treasury Regulations section 1.482-5(d)(1) and (4)) for that APA Year. The Arm’s Length
Range is between ____% and ___ %, and the Median of the Arm’s Length Range is ___.

Bulletin No. 2024–16 925 April 15, 2024
CPM using a Three-year Rolling Average Operating Margin PLI
The covered method is the comparable profits method (CPM). The profit level indicator is an operating margin. The Tested
Party’s Three-Year Rolling Average operating margin is defined as follows for any APA Year: the sum of the Tested Party’s
operating profit (within the meaning of Treasury Regulations section 1.482-5(d)(4) for that APA Year and the two preceding
years, divided by the sum of its sales revenue (within the meaning of Treasury Regulations section 1.482-5(d)(1)) for that
APA Year and the two preceding years. The Arm’s Length Range is between ____% and ____%, and the Median of the
Arm’s Length Range is ___%.
Residual Profit Split Method
The covered method is the residual profit split method. [Insert description of routine profit level determinations and residual
profit-split mechanism].
[Insert additional provisions as needed.]
4. Application of Covered Method.
For any APA Year, if the results of Taxpayer’s actual transactions produce a [price per unit, royalty rate for the Covered
Issues] [or] [Gross Margin, Cost Plus Markup, Berry Ratio, Operating Margin, Three-Year Rolling Average Operating Mar-
gin for the Tested Party] within the Arm’s Length Range, then the amounts reported on Taxpayer’s U.S. Return must clearly
reflect such results.
For any APA year, if the results of Taxpayer’s actual transactions produce a [price per unit, royalty rate] [or] [Gross Margin,
Cost Plus Markup, Berry Ratio, Operating Margin, Three-Year Rolling Average Operating Margin for the Tested Party]
outside the Arm’s Length Range, then amounts reported on Taxpayer’s U.S. Return must clearly reflect an adjustment that
brings the [price per unit, royalty rate] [or] [Tested Party’s Gross Margin, Cost Plus Markup, Berry Ratio, Operating Margin,
Three-Year Rolling Average Operating Margin] to the Median.
For purposes of this Appendix A, the “results of Taxpayer’s actual transactions” means the results reflected in Taxpayer’s
and Tested Party’s books and records as computed under applicable generally accepted accounting standards [insert another
relevant accounting standard if applicable], with the following adjustments:
(a) [The fair value of stock-based compensation as disclosed in the Tested Party’s audited Financial Statements shall be
treated as an operating expense]; and
(b) To the extent that the results in any prior APA Year are relevant (for example, to compute a multi-year average), such
results shall be adjusted to reflect the amount of any adjustment made for that prior APA Year under this Appendix A.
5. Conforming Adjustments
If Taxpayer makes an adjustment under paragraph 4 of this Appendix A (an “APA primary adjustment”, see Revenue Proce-
dure 2015-41, section 7.01(1)), a conforming adjustment will be required as specified in Revenue Procedure 2015-41, sec-
tion 7.01(2)(a). For this purpose, if there are multiple APA primary adjustments for an APA Year, those adjustments will first
be netted to derive a net APA primary adjustment, for which a conforming adjustment will be required. In some cases, the
conforming adjustment can be accomplished by a repatriation of funds as specified in Revenue Procedure 2015-41, section
7.01(2). Except as specified in this APA, conforming adjustments (including any repatriation of funds) are governed by the
applicable rules under the I.R.C., including Rev. Proc. 99-32, 1992-2 C.B. 296, or successor guidance.
[Per Revenue Procedure 2015-41, section 7.01(2)(d), the APA “will specify the terms of conforming adjustments, includ-
ing, but not limited to, the terms of any repatriation of funds.” Also, any deviation from the treatment under the Code (e.g.,
no interest on repatriation payments) must be specified in the APA, and must be pursuant to a competent authority resolution
(see Revenue Procedure 2015-41, section 7.01(2)(b)).]

April 15, 2024 926 Bulletin No. 2024–16
APPENDIX B
CRITICAL ASSUMPTIONS
This APA’s critical assumptions are:
1. The business activities, functions performed, risks assumed, assets employed, and financial and tax accounting methods and clas-
sifications [and methods of estimation] of Taxpayer in relation to the Covered Issues will remain materially the same as described
or used in Taxpayer’s APA Request. A mere change in business results will not be a material change.
[Insert additional provisions as needed.]

Bulletin No. 2024–16 927 April 15, 2024
APPENDIX C
APA RECORDS AND ANNUAL REPORT
APA Records
The APA Records will consist of all documents listed below for inclusion in the Annual Report, as well as all documents, notes, work
papers, records, or other writings that support the information provided in such documents.
Annual Report
The Annual Report will include:
1. A properly completed APA Annual Report Summary in the form of Appendix E to this APA;
2. A table of contents, organized as follows; and
3. Statements that fully identify, describe, analyze, and explain:
a. All material differences between the U.S. Group’s business operations (including functions, risks assumed, markets, con-
tractual terms, economic conditions, property, services, and assets employed) during the APA Year from the business oper-
ations described in the APA Request. If there have been no material differences, the Annual Report will include a statement
to that effect.
b. All material differences between the U.S. Group’s accounting methods and classifications, and methods of estimation used
during the APA Year, from those described or used in the APA Request. If any change was made to conform to changes in
applicable generally accepted accounting standards (or other relevant accounting standards) Taxpayer will specifically iden-
tify the change. If there has been no material change in accounting methods and classifications or methods of estimation, the
Annual Report will include a statement to that effect.
c. Any change to the Taxpayer notice information in paragraph 14 of this APA.
d. Any failure to meet any critical assumption. If there has been no failure, the Annual Report will include a statement to that
effect.
e. Whether or not material information submitted while the APA Request was pending is discovered to be false, incorrect, or
incomplete.
f. Any change to any entity classification for federal income tax purposes (including any change that causes an entity to be
disregarded for federal income tax purposes) of any Worldwide Group member that is a party to the Covered Issues or is
otherwise relevant to the covered method.
g. The following regarding any APA primary adjustments made under Appendix A for the APA Year:
i. The amounts of any APA primary adjustments;
ii. The circumstances that led to such APA primary adjustments being necessary;
iii. A calculation of the net APA primary adjustment as defined in Appendix A;
iv. A complete description of the means by which the conforming adjustment (see Appendix A) is accomplished, including:
A. a description of any accounts payable established in connection with a repatriation of funds pursuant to paragraph
5 of Appendix A and section 7.01(2) of Revenue Procedure 2015-41, including the entities involved and when the
payables are established;

April 15, 2024 928 Bulletin No. 2024–16
B. a description of any amounts paid or deemed paid (including amounts paid in satisfaction of such accounts pay-
able), that specifies the entities involved, when the amounts are paid or deemed paid, and by what means any
amounts are actually paid;
C. the character (such as capital, ordinary, income, expense, dividend, contribution to capital) and country source of
any payments and deemed payments, and the specific affected line item(s) of any affected U.S. Return.
h. The amounts, description, reason for, and financial analysis of any book-tax difference relevant to the covered method for
the APA Year, as reflected on Schedule M-1 or Schedule M-3 of the U.S. Return for the APA Year.
i. Whether Taxpayer contemplates requesting, or has requested, to renew, modify, or cancel the APA.
4. The Financial Statements, and any necessary account detail to show compliance with the covered method, including consolidat-
ing financial statements, segmented financial data, records from the general ledger, or similar information if the assets, liabilities,
income, or expenses relevant to showing compliance with the covered method are a subset of the assets, liabilities, income, or
expenses presented in the Financial Statements.
5. {Use the following or the alternative prescribed by paragraph 5(f) of this APA:} A copy of the independent certified public
accountant’s opinion required by paragraph 5(f) of this APA.
6. A financial analysis that reflects Taxpayer’s covered method calculations for the APA Year. The calculations must reconcile with
and reference the information required under item 4 above in sufficient account detail to allow the IRS to determine whether
Taxpayer has complied with the covered method.
7. An organizational chart for the Worldwide Group, revised annually to reflect all ownership or structural changes of entities that
are parties to the Covered Issues or are otherwise relevant to the covered method.
8. A copy of the APA and any amendment.
9. A penalty of perjury statement, executed in accordance with Revenue Procedure 2015-41, section 7.02(8) and (9).

Bulletin No. 2024–16 929 April 15, 2024
APPENDIX D
DEFINITIONS
The following definitions control for all purposes of this APA. The definitions appear alphabetically below:
TermDefinition
Annual ReportAn APA annual report within the meaning of Revenue Procedure 2015-41, sections 1.04 and 7.02.
A PAThis Advance Pricing Agreement, which is an “advance pricing agreement” within the meaning of
Revenue Procedure 2015-41, section 1.04.
APA RecordsThe records specified in Revenue Procedure 2015-41, section 7.04 and Appendix C of this
APA.
APA RequestTaxpayer’s request for this APA dated _________, including any amendments or supplemental or
additional information thereto.
APA YearThis term is defined in Appendix A of this APA.
Applicable generally
accepted accounting stan-
dards
As the context requires, United States Generally Accepted Accounting Principles, International
Financial Accounting Standards, or similar pronouncements to which reporting enterprises are
obliged to conform in preparing financial statements for investors, creditors, and governmental
agencies.
Covered Issue(s)This term is defined in Appendix A of this APA.
Covered Method(s)Transfer Pricing Method described in Appendix A of this APA.
Financial StatementsAs the context requires, those financial statements prepared in accordance with applicable gener-
ally accepted accounting standards, and any necessary account detail to show compliance with the
covered method, including consolidating financial statements, segmented financial data, records
from the general ledger, or similar information if the assets, liabilities, income, or expenses rele-
vant to showing compliance with the covered method are a subset of the assets, liabilities, income,
or expenses presented in the Financial Statements.
Foreign GroupWorldwide Group members that are not U.S. persons.
Foreign Participants[name the foreign entities involved in Covered Issues].
I.R.C.The Internal Revenue Code of 1986, 26 U.S.C., as amended.
Pub. L. 106-170The Ticket to Work and Work Incentives Improvement Act of 1999.
Revenue Procedure 2015-41Rev. Proc. 2015-41, 2015-35 IRB 263.
Transfer Pricing Method
(TPM)
A transfer pricing method within the meaning of Treasury Regulations section 1.482-1(b).
U.S. GAAPU.S. generally accepted accounting principles.
U.S. GroupWorldwide Group members that are U.S. persons.
U.S. ReturnFor each taxable year, the “returns with respect to income taxes under subtitle A” that Taxpayer
must “make” in accordance with I.R.C. section 6012. {Or substitute for partnership: For each
taxable year, the “return” that Taxpayer must “make” in accordance with I.R.C. section 6031.}
Worldwide GroupTaxpayer and all organizations, trades, businesses, entities, or branches (whether or not incorpo-
rated, organized in the United States, or affiliated) owned or controlled directly or indirectly by the
same interests.

April 15, 2024 930 Bulletin No. 2024–16
APPENDIX E
APA ANNUAL REPORT SUMMARY FORM
The APA Annual Report Summary on the next page is a required APA Record. The APA Team Leader supplies some of the infor-
mation requested on the form. Taxpayer is to supply the remaining information requested by the form and submit the form as part of
its Annual Report.

Bulletin No. 2024–16 931 April 15, 2024
Internal Revenue ServiceAPMA Case No.
Large Business and International DivisionReviewer
Treaty & Transfer Pricing OperationsTeam Leader
Advance Pricing Mutual Agreement ProgramEconomist
Other APA Team Members
APA Information
U.S. Taxpayer’s Name
U.S. Taxpayer’s EIN
U.S. Taxpayer’s NAICS
Unilateral/Bilateral/Multilateral
Original or Renewal
APA Common Name, if any
APA Request Filing Date
Date APA Executed
APA Term (date-to-date, inclusive)
Foreign Country(ies) Involved
Annual Report Due Dates for years ending on or before [date]:
Annual Report Due Dates for other years: [last month of tax year] 15 following close of year
Covered Methods Summary Description
(e.g., CPM, operating margin 2%-5%)
Taxpayer’s Principal Representative
APA Annual Report Information
Year(s) covered by this Annual Report
Issues for APMA’s special attention (or “None”)
Taxpayer Notice PersonName
Title
If necessary, include a Address
current Form 2848 for theCity/State/Zip
Notice PersonPhone/Fax
Email
Current Representative, if anyName
Title
Include a current Form 2848Address
for the representativeCity/State/Zip
Phone/Fax
Email
Date Annual Report Filed (to be filled in by APMA):

April 15, 2024 932 Bulletin No. 2024–16
Correction to REG-101552-24, I.R.B. 2024-13
Announcement 2024-17
This document contains corrections to REG-101552-24 as published on Monday, March 25, 2024 (I.R.B. 2024-13, 741).
In particular, this announcement corrects the following administrative items.
Correction 1:
In the Explanation of Provisions, the second sentence of the second column on page 743 incorrectly describes the requirement that
members in an unincorporated organization reserve the right separately to take in kind or dispose of their pro rata shares of electricity
produced, extracted or used, or any associated renewable energy credits or similar credits. The sentence is corrected to read, “Second,
the unincorporated organization’s members must enter into a joint operating agreement with respect to the applicable credit prop-
erty in which the members reserve the right separately to take in kind or dispose of their pro rata shares of the electricity produced,
extracted, or used, and any associated renewable energy credits or similar credits.”
Correction 2:
Proposed §1.761-2(a)(4)(ii)(B) incorrectly requires that members in an unincorporated organization reserve the right separately to
take in kind or dispose of their pro rata shares of electricity produced, extracted or used, or any associated renewable energy credits
or similar credits. The sentence is corrected to read, “(B) The members of which enter into a joint operating agreement in which the
members reserve the right separately to take in kind or dispose of their pro rata shares of the electricity produced, extracted, or used,
and any associated renewable energy credits or similar credits,”.

Bulletin No. 2024–16 933 April 15, 2024
Charitable Remainder
Annuity Trust Listed
Transaction
REG-108761-22
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Notice of proposed rulemaking
and public hearing.
SUMMARY: This document contains
proposed regulations that would identify
certain charitable remainder annuity trust
(CRAT) transactions and substantially
similar transactions as listed transactions,
a type of reportable transaction. Material
advisors and certain participants in these
listed transactions would be required to
file disclosures with the IRS and would
be subject to penalties for failure to dis-
close. The proposed regulations would
affect participants in these transactions as
well as material advisors but provide that
certain organizations whose only role or
interest in the transaction is as a charitable
remainderman will not be treated as par-
ticipants in the transaction or as parties to
a prohibited tax shelter transaction subject
to excise taxes and disclosure require-
ments. Finally, this document provides
notice of a public hearing on the proposed
regulations.
DATES: Comments: Electronic or written
comments must be received by May 24,
2024. Public Hearing: A public hearing
on the proposed regulation is scheduled
for July 11, 2024, at 10 a.m. ET. Requests
to speak and outlines of topics to be dis-
cussed at the public hearing must be
received by May 24, 2024. If no outlines
are received by May 24, 2024, the pub-
lic hearing will be cancelled. Requests to
attend the public hearing must be received
by 5 p.m. on July 9, 2024.
ADDRESSES: Commenters are strongly
encouraged to submit public comments
electronically via the Federal eRulemak-
ing Portal at https://regulations.gov
(indicate IRS and REG-108761-22) by
following the online instructions for sub-
mitting comments. Requests for a public
hearing must be submitted as prescribed
in the “Comments and Requests for a
Public Hearing” section. Once submitted
to the Federal eRulemaking Portal com-
ments cannot be edited or withdrawn.
The Department of the Treasury (Trea-
sury Department) and the IRS will publish
availability any comments submitted to
the IRS’s public docket. Send paper sub-
mission to CC:PA:01:PR (REG-108761-
22) room 5203, Internal Revenue Service,
P.O. Box 7604, Ben Franklin Station,
Washington, DC 20044.
FOR FURTHER INFORMATION
CONTACT: Concerning the proposed
regulations, Charles D. Wien of the Office
of Associate Chief Counsel (Passthroughs
& Special Industries), (202) 317-5279;
concerning submissions of comments
and requests for hearing, Vivian Hayes at
(202) 317-6901 (not toll-free numbers) or
by sending an email to publichearings@
irs.gov (preferred).
SUPPLEMENTARY INFORMATION:
Background
This document contains proposed addi-
tions to 26 CFR part 1 (Income Tax Reg-
ulations) under section 6011 of the Inter-
nal Revenue Code (Code). The additions
identify certain transactions as “listed
transactions” for purposes of section 6011.
I. Disclosure of Reportable Transactions
by Participants and Penalties for Failure
to Disclose
Section 6011(a) generally provides that,
when required by regulations prescribed
by the Secretary of the Treasury or her
delegate (Secretary), “any person made
liable for any tax imposed by this title, or
with respect to the collection thereof, shall
make a return or statement according to
the forms and regulations prescribed by
the Secretary. Every person required to
make a return or statement shall include
therein the information required by such
forms or regulations.”
Section 1.6011-4(a) provides that
every taxpayer that has participated in a
reportable transaction within the mean-
ing of §1.6011-4(b) and who is required
to file a tax return must file a disclosure
statement within the time prescribed in
§1.6011-4(e).
Reportable transactions are identified
in §1.6011-4 and include listed transac-
tions, confidential transactions, transac-
tions with contractual protection, loss
transactions, and transactions of interest.
See §1.6011-4(b)(2) through (6). Section
1.6011-4(b)(2) defines a listed transac-
tion as a transaction that is the same as or
substantially similar to one of the types of
transactions that the IRS has determined
to be a tax avoidance transaction and iden-
tified by notice, regulation, or other form
of published guidance as a listed transac-
tion.
Section 1.6011-4(c)(4) provides that a
transaction is “substantially similar” if it
is expected to obtain the same or similar
types of tax consequences and is either
factually similar or based on the same or
similar tax strategy. Receipt of an opin-
ion regarding the tax consequences of the
transaction is not relevant to the determi-
nation of whether the transaction is the
same as or substantially similar to another
transaction. Further, the term substantially
similar must be broadly construed in favor
of disclosure. For example, a transaction
may be substantially similar to a listed
transaction even though it may involve
different entities or use different Code
provisions.
Section 1.6011-4(c)(3)(i)(A) provides
that a taxpayer has participated in a listed
transaction if the taxpayer’s tax return
reflects tax consequences or a tax strat-
egy described in the published guidance
that lists the transaction under §1.6011-
4(b)(2). Published guidance may identify
other types or classes of persons that will
be treated as participants in a listed trans-
action. Published guidance also may iden-
tify types or classes of persons that will
not be treated as participants in a listed
transaction.
Section 1.6011-4(d) and (e) provide
that the disclosure statement Form 8886,
Reportable Transaction Disclosure State-
ment (or successor form), must be attached
to the taxpayer’s tax return for each tax-
able year for which a taxpayer partici-
pates in a reportable transaction. A copy
of the disclosure statement must be sent
to the IRS’s Office of Tax Shelter Analysis
(OTSA) at the same time that any disclo-
sure statement is first filed by the taxpayer

April 15, 2024 934 Bulletin No. 2024–16
pertaining to a particular reportable trans-
action.
Section 1.6011-4(e)(2)(i) provides that,
if a transaction becomes a listed trans-
action after the filing of a taxpayer’s tax
return reflecting the taxpayer’s participa-
tion in the listed transaction and before the
end of the period of limitations for assess-
ment for any taxable year in which the tax-
payer participated in the listed transaction,
then a disclosure statement must be filed
with OTSA within 90 calendar days after
the date on which the transaction becomes
a listed transaction. This requirement
extends to an amended return and exists
regardless of whether the taxpayer par-
ticipated in the transaction in the year the
transaction became a listed transaction.
The Commissioner of Internal Revenue
(Commissioner) also may determine the
time for disclosure of listed transactions
in the published guidance identifying the
transaction.
Participants required to disclose these
transactions under §1.6011-4 who fail to
do so are subject to penalties under sec-
tion 6707A of the Code. Section 6707A(b)
provides that the amount of the penalty is
75 percent of the decrease in tax shown
on the return as a result of the reportable
transaction (or which would have resulted
from such transaction if such transaction
were respected for Federal tax purposes),
subject to minimum and maximum pen-
alty amounts. The minimum penalty
amount is $5,000 in the case of a natural
person and $10,000 in any other case. For
a listed transaction, the maximum penalty
amount is $100,000 in the case of a natural
person and $200,000 in any other case.
Additional penalties also may apply.
In general, section 6662A of the Code
imposes a 20 percent accuracy-related
penalty on any understatement (as defined
in section 6662A(b)(1)) attributable to
an adequately disclosed reportable trans-
action. If the taxpayer had a requirement
to disclose participation in the reportable
transaction but did not adequately disclose
the transaction in accordance with the reg-
ulations under section 6011, the taxpayer
is subject to an increased penalty rate
equal to 30 percent of the understatement.
See section 6662A(c). Section 6662A(b)
(2) provides that section 6662A applies to
any item that is attributable to any listed
transaction and any reportable transaction
(other than a listed transaction) if a sig-
nificant purpose of such transaction is the
avoidance or evasion of Federal income
tax.
Participants required to disclose listed
transactions who fail to do so also are sub-
ject to an extended period of limitations
under section 6501(c)(10) of the Code.
That section provides that the time for
assessment of any tax with respect to the
transaction shall not expire before the date
that is one year after the earlier of the date
the participant discloses the transaction or
the date a material advisor discloses the
participation pursuant to a written request
under section 6112(b)(1)(A) of the Code.
II. Disclosure of Reportable Transactions
by Material Advisors and Penalties for
Failure to Disclose
Section 6111(a) provides that each
material advisor with respect to any
reportable transaction shall make a return
setting forth: (1) information identifying
and describing the transaction, (2) infor-
mation describing any potential tax ben-
efits expected to result from the transac-
tion, and (3) such other information as the
Secretary may prescribe. Such return shall
be filed not later than the date specified by
the Secretary.
Section 301.6111-3(a) of the Procedure
and Administration Regulations provides
that each material advisor with respect
to any reportable transaction, as defined
in §1.6011-4(b), must file a return as
described in §301.6111-3(d) by the date
described in §301.6111-3(e).
Section 301.6111-3(b)(1) provides that
a person is a material advisor with respect
to a transaction if the person provides any
material aid, assistance, or advice with
respect to organizing, managing, promot-
ing, selling, implementing, insuring, or
carrying out any reportable transaction,
and directly or indirectly derives gross
income in excess of the threshold amount
as defined in §301.6111-3(b)(3) for the
material aid, assistance, or advice. Under
§301.6111-3(b)(2)(i) and (ii), a person
provides material aid, assistance, or advice
if the person provides a tax statement,
which is any statement (including another
person’s statement), oral or written, that
relates to a tax aspect of a transaction that
causes the transaction to be a reportable
transaction as defined in §1.6011-4(b)(2)
through (7).
Material advisors must disclose trans-
actions on Form 8918, Material Advisor
Disclosure Statement (or successor form),
as provided in §301.6111-3(d) and (e).
Section 301.6111-3(e) provides that the
material advisor’s disclosure statement for
a reportable transaction must be filed with
the OTSA by the last day of the month
that follows the end of the calendar quar-
ter in which the advisor becomes a mate-
rial advisor with respect to a reportable
transaction or in which the circumstances
necessitating an amended disclosure state-
ment occur. The disclosure statement must
be sent to the OTSA at the address pro-
vided in the instructions for Form 8918 (or
successor form).
Section 301.6111-3(d)(2) provides
that the IRS will issue to a material advi-
sor a reportable transaction number with
respect to the disclosed reportable trans-
action. Receipt of a reportable transaction
number does not indicate that the dis-
closure statement is complete, nor does
it indicate that the transaction has been
reviewed, examined, or approved by the
IRS. Material advisors must provide the
reportable transaction number to all tax-
payers and material advisors for whom the
material advisor acts as a material advisor
as defined in §301.6111-3(b). The report-
able transaction number must be provided
at the time the transaction is entered into,
or, if the transaction is entered into prior
to the material advisor’s receipt of the
reportable transaction number, within 60
calendar days from the date the reportable
transaction number is mailed to the mate-
rial advisor.
Section 6707(a) of the Code provides
that a material advisor who fails to file a
timely disclosure, or files an incomplete
or false disclosure statement, is subject
to a penalty. Pursuant to section 6707(b)
(2), for listed transactions, the penalty is
the greater of (A) $200,000, or (B) 50 per-
cent of the gross income derived by such
person with respect to aid, assistance, or
advice that is provided with respect to
the listed transaction before the date the
return is filed under section 6111.
Additionally, section 6112(a) provides
that each material advisor with respect to
any reportable transaction shall (whether
or not required to file a return under sec-

Bulletin No. 2024–16 935 April 15, 2024
tion 6111 with respect to such transaction)
maintain a list (1) identifying each person
with respect to whom such advisor acted
as a material advisor with respect to such
transaction and (2) containing such other
information as the Secretary may by reg-
ulations require. Material advisors must
furnish such lists to the IRS in accordance
with §301.6112-1(e).
A material advisor may be subject to
a penalty under section 6708 of the Code
for failing to maintain a list under section
6112(a) and failing to make the list avail-
able upon written request to the Secretary
in accordance with section 6112(b) within
20 business days after the date of such
request. Section 6708(a) provides that the
penalty is $10,000 per day for each day
of the failure after the 20th day. However,
no penalty will be imposed with respect to
the failure on any day if such failure is due
to reasonable cause.
III. Tax-Exempt Entities as Parties to
Prohibited Tax Shelter Transactions
Section 4965 of the Code is intended
to deter certain “tax-exempt entities” (as
defined in section 4965(c)) from facilitat-
ing “prohibited tax shelter transactions,”
which include listed transactions. Section
4965(a)(1), in part, imposes an excise tax
on a tax-exempt entity for the taxable year
in which the tax-exempt entity becomes
a party to a transaction that is a “prohib-
ited tax shelter transaction” at the time it
becomes a party to the transaction, and
for any subsequent taxable year, in the
amount determined under section 4965(b)
(1) (section 4965 tax). Tax-exempt enti-
ties subject to the section 4965 tax are
listed in section 4965(c)(1) through (3)
and include, among others, entities and
governmental units described in sections
501(c) and 170(c) of the Code (other than
the United States). A tax-exempt entity
that is a party to a prohibited tax shelter
transaction generally also is subject to var-
ious reporting and disclosure obligations.
Additionally, section 4965(a)(2)
imposes an excise tax on an “entity man-
ager” if the manager approves the tax-ex-
empt entity as a party (or otherwise causes
the tax-exempt entity to be a party) to a
prohibited tax shelter transaction and
knows or has reason to know that the
transaction is a prohibited tax shelter
transaction. The amount of this excise tax
is determined under section 4965(b)(2)
(entity manager tax).
A. The section 4965 tax
The amount of the section 4965 tax
owed by a tax-exempt entity depends on
whether the tax-exempt entity knows, or
has reason to know, that a transaction is
a prohibited tax shelter transaction at the
time the entity becomes a party to the
transaction. A tax-exempt entity is treated
as knowing or having reason to know that
a transaction is a prohibited tax shelter
transaction if one or more of its entity
managers knew or had reason to know
that the transaction was a prohibited tax
shelter transaction at the time the entity
manager(s) approved the tax-exempt
entity as (or otherwise caused the entity to
be) a party to the transaction.
1
The tax-ex-
empt entity also is attributed the knowl-
edge or reason to know of certain entity
managers—those persons with authority
or responsibility similar to that exercised
by an officer, director, or trustee of an
organization—even if the entity manager
does not approve the entity as (or other-
wise cause the entity to be) a party to the
transaction.
Section 53.4965-4(a)(1) provides that a
tax-exempt entity is a “party” to a prohib-
ited tax shelter transaction if it facilitates
a prohibited tax shelter transaction by
reason of its tax-exempt, tax-indifferent,
or tax-favored status. In addition, under
§53.4965-4(a)(2) and (b), the Secretary
may issue published guidance to identify
tax-exempt entities by type, class, or role
that will or will not be treated as parties to
a prohibited tax shelter transaction.
If the tax-exempt entity unknowingly
becomes a party to a prohibited tax shelter
transaction, the section 4965 tax gener-
ally equals the greater of (1) the product
of the highest rate of tax under section 11
of the Code (currently 21 percent) and the
tax-exempt entity’s net income attribut-
able to the prohibited tax shelter transac-
tion, or (2) the product of the highest rate
of tax under section 11 and 75 percent of
the proceeds received by the tax-exempt
entity that are attributable to the prohib-
ited tax shelter transaction. If the tax-ex-
empt entity knew or had reason to know
that the transaction was a prohibited tax
shelter transaction at the time the tax-ex-
empt entity became a party to the transac-
tion, the section 4965 tax increases to the
greater of (1) 100 percent of the tax-ex-
empt entity’s net income attributable to
the prohibited tax shelter transaction, or
(2) 75 percent of the tax-exempt entity’s
proceeds attributable to the prohibited tax
shelter transaction.
The terms “net income” and “proceeds”
are defined in §53.4965-8. In general, a
tax-exempt entity’s net income attribut-
able to a prohibited tax shelter transac-
tion is its gross income derived from the
transaction, reduced by those deductions
that are attributable to the transaction and
that would be allowed by chapter 1 of the
Code (chapter 1) if the tax-exempt entity
were treated as a taxable entity for this
purpose, and further reduced by the taxes
imposed by subtitle D of the Code (other
than the section 4965 tax) with respect to
the transaction. In the case of a tax-exempt
entity that is a party to the transaction by
reason of facilitating a prohibited tax shel-
ter transaction by reason of its tax-exempt,
tax-indifferent, or tax-favored status, the
term “proceeds,” solely for purposes of
section 4965, means the gross amount of
the tax-exempt entity’s consideration for
facilitating the transaction, not reduced
for any costs or expenses attributable to
the transaction. Published guidance with
respect to a particular prohibited tax shel-
ter transaction may designate additional
amounts as proceeds from the transaction
for purposes of section 4965. In addition,
for all tax-exempt entities that are parties
to a prohibited tax shelter transaction, any
amount that is a gift or a contribution to a
tax-exempt entity and that is attributable
to a prohibited tax shelter transaction is
treated as proceeds for purposes of sec-
tion 4965, unreduced by any associated
expenses.
1
Section 53.4965-6 of the Foundation and Similar Excise Tax Regulations (26 CFR part 53) provides factors to be considered in determining whether an entity manager knows or has reason
to know that a transaction is a prohibited tax shelter transaction.

April 15, 2024 936 Bulletin No. 2024–16
B. Entity manager tax
The amount of the entity manager tax
determined under section 4965(b)(2) on
an entity manager (as defined in section
4965(d)) equals $20,000 for each instance
that the manager approves the tax-exempt
entity as (or otherwise causes such entity
to be) a party to a prohibited tax shelter
transaction and knows or has reason to
know that the transaction is a prohibited
tax shelter transaction. This liability is not
joint and several.
C. Disclosures
Section 53.6011-1 requires that a
tax-exempt entity subject to the section
4965 excise tax must file Form 4720,
Return of Excise Taxes Under Chapters
41 and 42 of the Internal Revenue Code,
to report the liability and pay the tax due
under section 4965(a)(1). Under §1.6033-
5, a tax-exempt entity that is a party to a
prohibited tax shelter transaction must file
Form 8886-T, Disclosure by Tax-Exempt
Entity Regarding Prohibited Tax Shelter
Transaction, to disclose that it is a party
to a prohibited tax shelter transaction, the
identity of any other party (whether tax-
able or tax-exempt) to such transaction
that is known to the tax-exempt entity, and
certain other information. Under §1.6033-
2, if the tax-exempt entity is required to
file Form 990, Return of Organization
Exempt From Income Tax, it must dis-
close on that form that it is a party to a
prohibited tax shelter transaction, whether
any taxable party notified the tax-exempt
entity that it was or is a party to a prohib-
ited tax shelter transaction, and whether
the tax-exempt entity filed Form 8886-T.
Section 6011(g) and §301.6011(g)-1
provide that any taxable party to a prohib-
ited tax shelter transaction must disclose
to each tax-exempt entity that the taxable
party knows or has reason to know is a
party to such transaction that the transac-
tion is a prohibited tax shelter transaction.
IV. Charitable Remainder Annuity Trusts
(CRATs)
For purposes of section 664 of the
Code, section 664(d)(1) provides that a
charitable remainder annuity trust (CRAT)
is a trust:
(A) From which a sum certain
(which is not less than 5 percent nor
more than 50 percent of the initial fair
market value (FMV) of all property
placed in trust) is to be paid, not less
often than annually, to one or more
persons (at least one of which is not
an organization described in section
170(c), and, in the case of individuals,
only to an individual who is living at
the time of the creation of the trust)
for a term of years (not in excess of 20
years) or for the life or lives of such
individual or individuals;
(B) From which no amount other
than the payments described in sec-
tion 664(d)(1)(A) and other qualified
gratuitous transfers described in sec-
tion 664(d)(1)(C) may be paid to or
for the use of any person other than
an organization described in section
170(c);
(C) Whose remainder interest, fol-
lowing the termination of the pay-
ments described in section 664(d)(1)
(A), is to be transferred to, or for the
use of, an organization described in
section 170(c) or is to be retained by
the trust for such a use or, to the extent
the remainder interest is in qualified
employment securities (as defined by
section 664(g)(4)), all or part of such
securities are to be transferred to an
employee stock ownership plan (as
defined in section 4975(e)(7) of the
Code) in a qualified gratuitous transfer
(as defined by 664(g)); and
(D) Whose remainder interest has a
value (determined under section 7520)
of at least 10 percent of the initial net
FMV of all property placed in the trust.
Section 664(b) provides, in part, that
amounts distributed by a CRAT are con-
sidered as having the following charac-
teristics in the hands of a beneficiary to
whom the annuity described in section
664(d)(1)(A) is paid:
(1) First, as amounts of income
(other than gains, and amounts treated
as gains, from the sale or other dis-
position of capital assets) includible
in gross income to the extent of such
income of the trust for the year and
such undistributed income of the trust
for prior years;
(2) Second, as a capital gain to the
extent of the capital gain of the trust for
the year and the undistributed capital
gain of the trust for prior years;
(3) Third, as other income to the
extent of such income of the trust for
the year and such undistributed income
of the trust for prior years; and
(4) Fourth, as a distribution of trust
corpus.
Under section 664(c)(1), a CRAT is not
subject to any tax imposed by subtitle A
of the Code. Section 664(c)(2), in part,
imposes an excise tax on a CRAT that has
unrelated business taxable income (within
the meaning of section 512, determined
as if part III of subchapter F of chapter 1
applies to such trust) for a taxable year.
That excise tax is equal to the amount of
such unrelated business taxable income.
V. Tax Avoidance Transactions using a
CRAT
The Treasury Department and the IRS
are aware of transactions in which taxpay-
ers attempt to use a CRAT and a single
premium immediate annuity (SPIA) to
permanently avoid recognition of ordi-
nary income and/or capital gain. Taxpay-
ers engaging in these transactions claim
that distributions from the trust are not
taxable to the beneficiaries as ordinary
income or capital gain under section
664(b) because the distributions constitute
the trust’s unrecovered investment in the
SPIA, thus claiming that a significant por-
tion of the distributions is excluded from
gross income under section 72(b)(2) of
the Code. Taxpayers also claim that the
trust qualifies as a CRAT and thus is not
subject to tax on the trust’s realized ordi-
nary income or capital gain under section
664(c)(1), even though the trust may not
meet all of the requirements of section
664(d)(1).
In these transactions, a grantor creates
a trust purporting to qualify as a CRAT
under section 664. Generally, the grantor
funds the trust with property having a
FMV in excess of its basis (appreciated
property) such as interests in a close-
ly-held business, and/or assets used or
produced in a trade or business. The trust
then sells the appreciated property and
uses some or all of the proceeds from the
sale of the contributed property to pur-
chase an annuity. On a Federal income tax
return, the beneficiary of the trust treats

Bulletin No. 2024–16 937 April 15, 2024
the annuity amount payable from the trust
as if it were, in whole or in part, an annuity
payment subject to section 72
2
, instead of
as carrying out to the beneficiary amounts
in the ordinary income and capital gain
tiers of the trust in accordance with sec-
tion 664(b).
As result of treating section 72 as
applying to the amounts received (typ-
ically paid by an insurance company) as
part of the annuity amount, the beneficiary
reports as income only a small portion of
the amount the beneficiary received from
the SPIA. The beneficiary treats the bal-
ance of the annuity amount as an excluded
portion representing a return of invest-
ment.
3
The beneficiary thus claims that
the beneficiary is taxed as if the benefi-
ciary were the owner of the SPIA, rather
than the SPIA being an asset owned by
the CRAT, which the trustee purchased to
fund the annuity amount payable from the
trust. Under the beneficiary’s theory, until
the entire investment in the SPIA has been
recovered, the only portion of the annu-
ity amount includable in the beneficiary’s
income is that portion of the SPIA annuity
required to be included in income under
section 72. The beneficiary also maintains
that the distribution is not subject to sec-
tion 664(b), which would treat a substan-
tial portion of the annuity amount as gain
attributable to the sale of the appreciated
property contributed to the CRAT.
The trustee also might take the position
that the transfer of the appreciated prop-
erty to the purported CRAT gives those
assets a step-up in basis to FMV as if
they had been sold to the trust. The trans-
fer of property to a CRAT, however, does
not give those assets a step-up in basis to
FMV, as if they had been sold to the trust,
giving the trust a cost basis under section
1012 of the Code. Instead, the transfer to
the CRAT is a gift for Federal tax pur-
poses. When a grantor transfers appre-
ciated property to a CRAT, the CRAT’s
basis in the assets is determined under
section 1015 of the Code. Under section
1015(a) and (d), property transferred by
gift (whether or not in trust) retains its
basis in the hands of the donor, increased
(but not above FMV) by any gift tax paid
on the transfer.
The claimed application of sections
664 and 72 to the transaction is incor-
rect. Proper application of the rules of
sections 664 and 72 to the transaction
results in annual ordinary income from
the annuity payments from the SPIA
being added to the section 664(b)(1)
(ordinary income) tier of the CRAT’s
income each year, and a one-time amount
being added to the section 664(b)(2)
(capital gains) tier at the time of the sale
of the property by the CRAT (assuming
the asset is of a kind to produce capi-
tal gain). Assuming no other activity
in the CRAT, under section 664(b), the
beneficiary of the CRAT must treat the
annuity amount each year as first con-
sisting of the ordinary income portion
of the annuity payments from the SPIA.
The balance of the annuity amount must
be treated as consisting of any accumu-
lated ordinary income of the CRAT, then
accumulated capital gain, and then other
income of the CRAT, only reaching
non-taxable corpus to the extent these
three accounts have been exhausted.
In addition, certain features of the trust
may cause the trust to fail to meet all of the
requirements of section 664(d)(1). While
the trust instrument generally resembles
one of the eight sample CRAT forms pro-
vided in Rev. Proc. 2003-53, 2003-2 C.B.
230; Rev. Proc. 2003-54, 2003-2 C.B.
236; Rev. Proc, 2003-55, 2003-2 C.B.
242; Rev. Proc. 2003-56, 2003-2 C.B.
249; Rev. Proc. 2003-57, 2003-2 C.B.
257; Rev. Proc. 2003-58, 2003-2 C.B.
262; Rev. Proc. 2003-59, 2003-2 C.B 268;
and Rev. Proc. 2003-60, 2003-2 C.B. 274
(Sample CRAT Revenue Procedures), it
might have one or more significant mod-
ifications. For example, the trust instru-
ment might provide that, in each taxable
year of the trust, the trustee must pay to
the beneficiary during the annuity period,
an annuity amount equal to the greater of
(1) an amount which meets the require-
ments of section 664(d)(1)(A) or (2) the
payments received by the trustee from one
or more SPIAs purchased by the trustee.
The trust instrument also might pro-
vide for a current payment to an organiza-
tion described in section 170(c) (Charita-
ble Remainderman) in lieu of the payment
of the remainder interest described in
section 664(d)(1)(C). For example, the
trust instrument might state that, in lieu
of transferring the remainder amount
required pursuant to section 664(d)(1)
(C) (Remainder Interest) to the Charita-
ble Remainderman, the trustee, upon the
availability of adequate funding, currently
may pay to the Charitable Remainder-
man a cash sum equal to at least 10 per-
cent of the initial FMV of the trust prop-
erty plus a nominal amount of cash. The
trust agreement also might provide that
the trustee cannot make a distribution
in kind to satisfy this cash distribution.
This payment, equal to at least 10 percent
of the initial FMV of the trust property,
would be the only payment to the Char-
itable Remainderman. The governing
instrument of a CRAT may provide for
an amount other than the annuity amount
described in §1.664-2(a)(1) to be paid (or
to be paid in the discretion of the trustee)
to an organization described in §170(c)
provided that, in the case of distributions
in kind, the adjusted basis of the property
distributed is fairly representative of the
adjusted basis of the property available
for payment on the date of payment. See
§1.664-2(a)(4). However, nowhere in sec-
tion 664(d)(1)(D) does it permit a current
payment, determined based on the value
of the trust at its funding, to be made in
lieu of, and as a substitute for, the required
payment of the remainder interest (that is,
the entire corpus of the trust at termination
of the annuity period) described in section
664(d)(1)(C) to the Charitable Remaind-
erman.
The significant modifications identi-
fied in the prior paragraphs deviate from
the Sample CRAT Revenue Procedures
in ways that prevent the qualification of
the trust as a valid CRAT under section
664, regardless of the actual administra-
tion of the CRAT. These modifications
are made in these transactions in order
to effectuate the structure. Specifically, a
2
Section 72 governs the tax treatment of payments received as an annuity, and generally causes only the portion of each payment in excess of the investment in the contract (basis) to be
included in the recipient’s gross income.
3
The beneficiary also claims that section 72(u) does not apply because the SPIA is an “immediate annuity” under section 72(u)(3)(E).

April 15, 2024 938 Bulletin No. 2024–16
provision authorizing the payment of an
annuity amount in excess of the amount
described in section 664(d)(1)(A), and a
provision authorizing a current payment
in lieu of the payment of the remainder
interest described in section 664(d)(1)
(C),

violate mandatory requirements of a
valid CRAT.
VI. Purpose of Proposed Regulations
On March 3, 2022, the Sixth Circuit
issued an order in Mann Construction v.
United States, 27 F.4th 1138, 1147 (6th
Cir. 2022), holding that Notice 2007-83,
2007-2 C.B. 960, which identified certain
trust arrangements claiming to be welfare
benefit funds and involving cash value life
insurance policies as listed transactions,
violated the Administrative Procedure
Act (APA), 5 U.S.C. 551-559, because
the notice was issued without follow-
ing the notice-and-comment procedures
required by section 553 of the APA. The
Sixth Circuit reversed the decision of the
district court, which held that Congress
had authorized the IRS to identify listed
transactions without notice and comment.
See Mann Construction, Inc. v. United
States, 539 F.Supp.3d 745, 763 (E.D.
Mich. 2021).
Relying on the Sixth Circuit’s analy-
sis in Mann Construction, three district
courts and the Tax Court have concluded
that IRS notices identifying listed trans-
actions were improperly issued because
they were issued without following the
APA’s notice and comment procedures.
See Green Rock, LLC v. IRS, 2023 WL
1478444 (N.D. AL., February 2, 2023)
(Notice 2017-10); GBX Associates, LLC,
v. United States, 1:22cv401 (N.D. Ohio,
Nov. 14, 2022) (same); Green Valley
Investors, LLC, et al. v. Commissioner,
159 T.C. No. 5 (Nov. 9, 2022) (same);
see also CIC Services, LLC v. IRS, 2022
WL 985619 (E.D. Tenn. March 21, 2022),
as modified by 2022 WL 2078036 (E.D.
Tenn. June 2, 2022) (Notice 2016-66,
identifying a transaction of interest).
The Treasury Department and the IRS
disagree with the Sixth Circuit’s decision
in Mann Construction and the subsequent
decisions that have applied that reasoning
to find other IRS notices invalid and are
continuing to defend the validity of notices
identifying transactions as listed transac-
tions in circuits other than the Sixth Cir-
cuit. At the same time, however, to avoid
any confusion and to ensure consistent
enforcement of the tax laws throughout
the nation, the Treasury Department and
the IRS are issuing these proposed regula-
tions to identify certain charitable remain-
der trust transactions as listed transactions
for purposes of all relevant provisions of
the Code and Treasury Regulations.
These proposed regulations pro-
pose to identify the charitable remainder
trust transactions described in proposed
§1.6011-15(b), and substantially simi-
lar transactions, as listed transactions for
purposes of §1.6011-4(b)(2) and sections
6111 and 6112. In addition, they inform
taxpayers that participate in these trans-
actions, and persons who act as material
advisors with respect to these transactions,
that they would need to disclose the trans-
action in accordance with the final regu-
lations and the regulations issued under
sections 6011 and 6111. Material advisors
must also maintain lists as required by
section 6112.
Explanation of Provisions
I. Charitable Remainder Annuity Trust
Transaction
Proposed §1.6011-15(a) would iden-
tify a transaction that is the same as, or
substantially similar to, the transaction
described in proposed §1.6011-15(b) as a
listed transaction for purposes of §1.6011-
4(b)(2). “Substantially similar” is defined
in §1.6011-4(c)(4) to include any transac-
tion that is expected to obtain the same or
similar types of tax consequences and that
is either factually similar or based on the
same or a similar tax strategy.
A transaction is described in proposed
§1.6011-15(b) if it includes the following
elements:
(i) The grantor creates a trust pur
-
porting to qualify as a CRAT under sec-
tion 664;
(ii) The grantor funds the trust with
property having a FMV in excess of its
basis (contributed property);
(iii) The trustee sells the contributed
property;
(iv) The trustee uses some or all of the
proceeds from the sale of the contributed
property to purchase an annuity; and
(v) On a Federal income tax return, the
beneficiary of the trust (Beneficiary) treats
the amount payable from the trust as if it
were, in whole or in part, an annuity pay-
ment subject to section 72, instead of as
carrying out to the Beneficiary amounts in
the ordinary income and capital gain tiers
of the trust in accordance with section
664(b).
II. Participants
Whether a taxpayer has participated
in the listed transaction described in
proposed §1.6011-15(b) is determined
under §1.6011-4(c)(3)(i)(A). Participants
include any person whose tax return
reflects tax consequences or a tax strat-
egy described in proposed §1.6011-15(b).
These tax consequences include those
tax consequences described in proposed
§1.6011-15(b) that would affect any gift
tax return, whether or not such gift tax
return was filed. See §25.6011-4. A tax-
payer also has participated in a transac-
tion described in proposed §1.6011-15(b)
if the taxpayer knows or has reason to
know that the taxpayer’s tax benefits are
derived directly or indirectly from tax
consequences, or a tax strategy, described
in proposed §1.6011-15(b).
III. Material Advisors
Material advisors who make a tax state-
ment with respect to transactions iden-
tified as listed transactions in proposed
§1.6011-15(b) would have disclosure and
list maintenance obligations under sec-
tions 6111 and 6112. See §§301.6111-3
and 301.6112-1. One of the requirements
to be a material advisor under section
6111(b)(1) is that the person must directly
or indirectly derive gross income in
excess of the threshold amount provided
in 6111(b)(1)(B) for providing material
aid, assistance, or advice with respect to
the listed transaction. That threshold in
the case of a listed transaction is reduced
to $10,000 if substantially all of the tax
benefits are provided to natural persons
(looking through any partnerships, S cor-
porations, or trusts), or to $25,000 for any
other transaction. See §301.6111-3(b)(3)
(i)(B). The regulations under section 6111
provide that gross income includes all fees
for a tax strategy, for services for advice

Bulletin No. 2024–16 939 April 15, 2024
(whether or not tax advice), and for the
implementation of a reportable transac-
tion. See §301.6111-3(b)(2)(ii). However,
a fee does not include amounts paid to a
person, including an advisor, in that per-
son’s capacity as a party to the transaction.
See §301.6111-3(b)(3)(ii).
IV. Effect of Participating in Listed
Transaction Described in Proposed
§1.6011-15(b)
Participants required to disclose these
transactions under §1.6011-4 who fail to
do so will be subject to penalties under
section 6707A. Such disclosure also must
include any gift tax consequences. See
§25.6011-4. Participants required to dis-
close these transactions under §1.6011-4
who fail to do so also are subject to an
extended period of limitations under
section 6501(c)(10). Material advisors
required to disclose these transactions
under section 6111 who fail to do so are
subject to penalties under section 6707.
Material advisors required to maintain
lists of investors under section 6112 who
fail to do so (or who fail to provide such
lists when requested by the IRS) are sub-
ject to penalties under section 6708(a). In
addition, the IRS may impose other pen-
alties on persons involved in these trans-
actions or substantially similar transac-
tions, including accuracy-related penalties
under section 6662 or section 6662A, the
penalty under section 6694 for understate-
ments of a taxpayer’s liability by a tax
return preparer, the penalty under section
6700 for promoting abusive tax shelters,
and the penalty under section 6701 for
aiding and abetting understatement of tax
liability.
In addition, material advisors have dis-
closure requirements with regard to trans-
actions occurring in prior years. However,
notwithstanding §301.6111-3(b)(4)(i)
and (iii), material advisors are required
to disclose only if they have made a tax
statement on or after [ DATE 6 YEARS
BEFORE DATE OF PUBLICATION OF
FINAL RULE].
Because the IRS will take the posi-
tion that taxpayers are not entitled to the
purported tax benefits of the listed trans-
actions described in the proposed regula-
tions, taxpayers who have filed tax returns
taking the position that they were entitled
to the purported tax benefits should con-
sider filing amended returns or otherwise
ensure that their transactions are disclosed
properly.
V. Role of Charitable Remainderman in
the Transaction
As stated in section 1 of this Explanation
of Provisions, the transaction described in
proposed §1.6011-15(b) attempts to use a
CRAT under section 664 to permanently
avoid recognition of ordinary income and/
or capital gain on the sale of contributed
property having a FMV in excess of its
basis. Under the mandatory requirements
of section 664(d), a trust does not qualify
as a CRAT unless, following the termina-
tion of the annuity payments described
in section 664(d)(1)(A), the Remainder
Interest is to be transferred to or for the
use of an organization described in section
170(c).
A. Charitable Remainderman as a Party
to a Transaction under Section 4965
As stated in section III of the Back-
ground, section 4965 provides, in part,
that, if a transaction is a prohibited tax
shelter transaction at the time a tax-ex-
empt entity (which includes an organi-
zation described in section 170(c), other
than the United States) becomes a party
to the transaction, the entity must pay
the section 4965 tax for the taxable year
and any subsequent taxable year as deter-
mined under section 4965(b)(1). Section
4965(e)(1) provides in part that the term
“prohibited tax shelter transaction” means
any listed transaction (within the meaning
of section 6707A(c)(2)). A tax-exempt
entity that is a party to a prohibited tax
shelter transaction generally is subject to
various reporting and disclosure obliga-
tions. Additionally, an entity manager is
subject to the entity manager tax imposed
by section 4965(a)(2) if the entity man-
ager approves the tax-exempt entity as a
party (or otherwise causes the entity to be
a party) to a prohibited tax shelter transac-
tion and knows or has reason to know that
the transaction is a prohibited tax shelter
transaction. Section 53.4965-4(a) pro-
vides in part that a tax-exempt entity is a
“party” to a prohibited tax shelter transac-
tion if it facilitates a prohibited tax shelter
transaction by reason of its tax-exempt,
tax-indifferent, or tax-favored status.
The trust used in a transaction iden-
tified as a listed transaction in proposed
§1.6011-15(a) would not qualify as a
CRAT unless the entire Remainder Inter-
est is required to be transferred to or for
the use of a Charitable Remainderman.
Thus, the tax-exempt entity that the CRAT
designates for the Remainder Interest
facilitates the transaction by reason of its
tax-exempt status because, absent that sta-
tus, the CRAT would not satisfy the man-
datory requirement of section 664(d)(1)
(C). Accordingly, that designated tax-ex-
empt entity would meet the definition of
a party to a prohibited tax shelter transac-
tion in §53.4965-4(a)(1).
However, notwithstanding the gen-
eral rule in §53.4965-4(a), §53.4965-4(b)
provides that published guidance may
identify, by type, class, or role, which
tax-exempt entities will or will not be
treated as parties to a prohibited tax shel-
ter transaction. The Treasury Department
and the IRS understand that, in a trans-
action described in proposed §1.6011-
15(b), an organization described in section
170(c) that is designated as the Charitable
Remainderman might not become aware
of its Remainder Interest in the purported
CRAT until it receives a distribution from
the trust. In that situation, it may be dif-
ficult for the organization described in
section 170(c) to determine when sec-
tion 4965 excise taxes and related report-
ing requirements apply. For this reason,
these proposed regulations would provide
that an organization described in section
170(c) that the purported CRAT designates
as the recipient of the Remainder Interest
will not be treated as a party under section
4965 to the listed transaction described in
proposed §1.6011-15 solely by reason of
its status as a Charitable Remainderman.
B. Participation by a Charitable
Remainderman
As stated in section II of the Back-
ground, a taxpayer has participated in
a listed transaction if the taxpayer’s tax
return reflects tax consequences or a tax
strategy described in this proposed reg-
ulation. See §1.6011-4(c)(3)(i)(A). Pub-
lished guidance may identify other types
or classes of persons that will be treated

April 15, 2024 940 Bulletin No. 2024–16
as participants in a listed transaction.
Published guidance also may identify
types or classes of persons that will not
be treated as participants in a listed trans-
action. In general, the Treasury Depart-
ment and the IRS do not expect that an
organization described in section 170(c),
whose only role or interest in the trans-
action described in these proposed regu-
lations is as a Charitable Remainderman,
would meet the definition of a participant
under §1.6011-4(c)(3)(i)(A). Neverthe-
less, to avoid potential uncertainty, the
proposed regulations provide that an
organization described in section 170(c)
that the purported CRAT designates as
the recipient of the Remainder Interest is
not treated as a participant in the listed
transaction described in these proposed
regulations solely by reason of its status
as a Charitable Remainderman.
C. Charitable Remainderman as a
Material Advisor
As stated in section III of the Back-
ground, a person is a material advisor
with respect to a transaction if the person
provides any material aid, assistance, or
advice with respect to organizing, man-
aging, promoting, selling, implementing,
insuring, or carrying out any reportable
transaction, and directly or indirectly
derives gross income in excess of the
threshold amount for the material aid,
assistance, or advice. See section 6111(b)
(1)(A). The regulations provide that gross
income includes all fees for a tax strategy,
for services or advice (whether or not tax
advice), and for the implementation of a
reportable transaction. However, a fee
does not include amounts paid to a per-
son, including an advisor, in that person’s
capacity as a party to the transaction. See
§301.6111-3(b)(3)(ii)).
The Treasury Department and the
IRS request comments on whether the
Charitable Remainderman ever provides
material aid, assistance, or advice with
respect to transactions described in pro-
posed §1.6011-15(b) and the nature of
the services being provided. The Trea-
sury Department and the IRS also request
comments on what fees the Charitable
Remainderman receives, either directly or
indirectly, for providing such material aid,
assistance or advice.
Comments and Public Hearing
Before these proposed amendments
to the regulations are adopted as final
regulations, consideration will be given
to comments regarding the notice of
proposed rulemaking that are submitted
timely to the IRS as prescribed under
the ADDRESSES section. The Trea-
sury Department and the IRS request
comments on all aspects of the proposed
regulations. All comments will be made
available at https://www.regulations.gov.
Once submitted to the Federal eRulemak-
ing Portal, comments cannot be edited or
withdrawn.
A public hearing has been scheduled
for July 11, 2024, beginning at 10 a.m.
ET, in the Auditorium at the Internal Rev-
enue Service Building, 1111 Constitution
Avenue, NW. Washington, DC. Due to
the building security procedures, visitors
must enter at the Constitution Avenue
entrance. In addition, all visitors must
present photo identification to enter the
building. Because of access restrictions,
visitors will not be admitted beyond the
immediate entrance area more than 30
minutes before the hearing starts. Partic-
ipants alternatively may attend the public
hearing by telephone.
The rules of 26 CFR 601.601(a)(3)
apply to the hearing. Persons who wish
to present comments at the hearing must
submit an outline of the topics to be
discussed and the time to be devoted to
each topic by May 24, 2024. A period of
10 minutes will be allocated to each per-
son for making comments. An agenda
showing the scheduling of the speakers
will be prepared after the deadline for
receiving outlines has passed. Copies
of the agenda will be free of charge at
the hearing. If no outline of topics to be
discussed at the hearing is received by
May 24, 2024, the public hearing will
be cancelled. If the public hearing is
cancelled, a notice of cancellation of the
public hearing will be published in the
Federal Register.
Individuals who want to testify in per-
son at the public hearing must send an
email to publichearings@irs.gov to have
your name added to the building access
list. The subject line of the email must
contain the regulation number (REG-
108761-22) and the language “TESTIFY
In Person”. For example, the subject line
may say: Request to TESTIFY In Person
at Hearing for REG-108761-22.
Individuals who want to testify by
telephone at the public hearing must send
an email to publichearings@irs.gov to
receive the telephone number and access
code for the hearing. The subject line
of the email must contain the regulation
number REG-108761-22 and the language
“TESTIFY Telephonically”. For example,
the subject line may say: Request to TES-
TIFY Telephonically at Hearing for REG-
108761-22.
Individuals who want to attend the
public hearing in person without testify-
ing also must send an email to publichear-
ings@irs.gov to have their names added to
the building access list. The subject line
of the email must contain the regulation
number REG-108761-22 and the language
“ATTEND in Person”. For example, the
subject line may say: Request to ATTEND
Hearing In Person REG-108761-22.
Requests to attend the public hearing must
be received by 5 p.m. ET on July 9, 2024.
Individuals who want to attend the
public hearing by telephone without tes-
tifying also must send an email to pub-
lichearings@irs.gov to receive the tele-
phone number and access code for the
hearing. The subject line of email must
contain the regulation number (REG-
108761-22 and the language “ATTEND
Hearing Telephonically”. For example,
the subject line may say: Request to
ATTEND Hearing Telephonically for
REG-108761-22. Requests to attend the
public hearing must be received by 5
p.m. ET on July 9, 2024.
Hearings will be made accessible to
people with disabilities. To request special
assistance during a hearing, please contact
the Publication and Regulations Section
of the Office of Associate Chief Counsel
(Procedure and Administration) by send-
ing an email to publichearings@irs.gov
(preferred) or by telephone at (202) 317-
6901 (not a toll-free number) at least July
8, 2024.
Applicability Date
Proposed §1.6011-15 would identify
charitable remainder annuity trust trans-
actions described in proposed §1.6011-
15(b), and transactions that are substan-

Bulletin No. 2024–16 941 April 15, 2024
tially similar to those transactions, as
listed transactions, effective as of the date
the final regulations are published in the
Federal Register.
Special Analyses
I. Paperwork Reduction Act
The estimated number of taxpayers
impacted by these proposed regulations is
between 50 to 100 per year. No burden on
these taxpayers is imposed by these pro-
posed regulations. Instead, the collection
of information contained in these proposed
regulations is reflected in the collection of
information for Forms 8886 and 8918 that
have been reviewed and approved by the
Office of Management and Budget (OMB)
in accordance with the Paperwork Reduc-
tion Act (44 U.S.C. 3507(c)) under control
numbers 1545-1800 and 1545-0865.
To the extent there is a change in bur-
den as a result of these regulations, the
change in burden will be reflected in the
updated burden estimates for Forms 8886
and 8918. The requirement to maintain
records to substantiate information on
Forms 8886 and 8918 already is con-
tained in the burden associated with the
control number for the forms and remains
unchanged.
An agency may not conduct or sponsor,
and a person is not required to respond
to, a collection of information unless the
collection of information displays a valid
OMB control number.
II. Regulatory Flexibility Act
When an agency issues a proposed
rulemaking, the Regulatory Flexibility
Act (5 U.S.C. chapter 6) (Act) requires
the agency to “prepare and make available
for public comment an initial regulatory
flexibility analysis” that “describe[s] the
impact of the proposed rule on small enti-
ties.” 5 U.S.C. 603(a). The term “small
entities” is defined in 5 U.S.C. 601 to
mean “small business,” “small organiza-
tion,” and “small governmental jurisdic-
tion,” which are also defined in 5 U.S.C.
601. Small business size standards define
whether a business is “small” and have
been established for types of economic
activities, or industry, generally under the
North American Industry Classification
System (NAICS). See Title 13, Part 121
of the Code of Federal Regulations (titled
“Small Business Size Regulations”). The
size standards look at various factors,
including annual receipts, number of
employees, and amount of assets, to deter-
mine whether the business is small. See
Title 13, Part 121.201 of the Code of Fed-
eral Regulations for the Small Business
Size Standards by NAICS Industry.
Section 605 of the Act provides an
exception to the requirement to prepare
an initial regulatory flexibility analysis
if the agency certifies that the proposed
rulemaking will not have a significant
economic impact on a substantial number
of small entities. The Treasury Depart-
ment and the IRS hereby certify that these
proposed regulations will not have a sig-
nificant economic impact on a substantial
number of small entities. This certification
is based on the fact that the majority of
the effect of the proposed regulations falls
on trusts. Further, the Treasury Depart-
ment and the IRS expect that the reporting
burden is low; the information sought is
necessary for regular annual return prepa-
ration and ordinary recordkeeping.
Pursuant to section 7805(f) of the
Code, this notice of proposed rulemaking
has been submitted to the Chief Counsel
for the Office of Advocacy of the Small
Business Administration for comment on
its impact on small business.
III. Unfunded Mandates Reform Act
Section 202 of the Unfunded Mandates
Reform Act of 1995 (UMRA) requires
that agencies assess anticipated costs and
benefits and take certain other actions
before issuing a final rule that includes
any Federal mandate that may result in
expenditures in any one year by a State,
local, or Tribal government, in the aggre-
gate, or by the private sector, of $100
million (updated annually for inflation).
This proposed rule does not include any
Federal mandate that may result in expen-
ditures by State, local, or Tribal govern-
ments, or by the private sector in excess of
that threshold.
IV. Executive Order 13132: Federalism
Executive Order 13132 (Federalism)
prohibits an agency from publishing any
rule that has federalism implications if
the rule either imposes substantial, direct
compliance costs on State and local gov-
ernments, and is not required by statute,
or preempts State law, unless the agency
meets the consultation and funding
requirements of section 6 of the Execu-
tive order. This proposed rule does not
have federalism implications and does
not impose substantial direct compliance
costs on State and local governments or
preempt State law within the meaning of
the Executive order.
V. Regulatory Planning and Review
Pursuant to the Memorandum of
Agreement, Review of Treasury Regula-
tions under Executive Order 12866 (June
9, 2023), tax regulatory actions issued by
the IRS are not subject to the requirements
of section 6 of Executive Order 12866, as
amended. Therefore, a regulatory impact
assessment is not required.
Statement of Availability of IRS
Documents
Guidance cited in this preamble is pub-
lished in the Internal Revenue Bulletin
and is available from the Superintendent
of Documents, U.S. Government Publish-
ing Office, Washington, DC 20402, or by
visiting the IRS website at https://www.
irs.gov.
Drafting Information
The principal author of these proposed
regulations is Charles D. Wien, Office of
Associate Chief Counsel (Passthroughs
& Special Industries). However, other
personnel from the IRS and the Treasury
Department participated in the develop-
ment of these regulations.
List of Subjects in 26 CFR Part 1
Income Taxes, Reporting and record-
keeping requirements.
Proposed Amendments to the
Regulations
Accordingly, the Treasury Department
and the IRS propose to amend 26 CFR
part 1 as follows:

April 15, 2024 942 Bulletin No. 2024–16
PART 1—INCOME TAXES
Paragraph 1. The authority citation
for part 1 continues to read in part as fol-
lows:
Authority: 26 U.S.C. 7805 * * *
* * * * *
Section 1.6011-15 also issued under 26
U.S.C. 6001 and 26 U.S.C. 6011 * * *
* * * * *
Par. 2. Section 1.6011-15 is added to
read as follows:
§1.6011-15 Charitable Remainder
Annuity Trust Listed Transaction.
(a) In general. Transactions that are
the same as, or substantially similar to, a
transaction described in paragraph (b) of
this section are identified as listed transac-
tions for purposes of §1.6011-4(b)(2).
(b) Charitable remainder annuity
trusts. A transaction is described in this
paragraph (b) if:
(1) The grantor creates a trust purport-
ing to qualify as a charitable remainder
annuity trust under section 664(d)(1) of
the Internal Revenue Code (Code);
(2) The grantor funds the trust with
property having a fair market value in
excess of its basis (contributed property);
(3) The trustee sells the contributed
property;
(4) The trustee uses some or all of the
proceeds from the sale of the contributed
property to purchase an annuity; and
(5) On a Federal income tax return, the
beneficiary of the trust treats the annu-
ity amount payable from the trust as if it
were, in whole or in part, an annuity pay-
ment subject to section 72 of the Code,
instead of as carrying out to the benefi-
ciary amounts in the ordinary income and
capital gain tiers of the trust in accordance
with section 664(b).
(c) Participation—(1) In general. A
taxpayer has participated in a transaction
identified as a listed transaction in para-
graph (a) of this section if the taxpayer’s
tax return reflects tax consequences or a
tax strategy described in this section as
provided under §1.6011-4(c)(3)(i)(A).
These tax consequences include those tax
consequences that would affect any gift
tax return, whether or not such gift tax
return was filed. See §25.6011-4 of this
chapter.
(2) Treatment of charitable remaind-
erman. An organization described in sec-
tion 170(c) of the Code that the purported
Charitable Remainder Annuity Trust des-
ignates as a recipient of the remainder
interest described in section 664(d)(1) is
not treated as a participant under §1.6011-
4(c)(3)(i)(A) in the transaction described
in this section solely by reason of its sta-
tus as a recipient of the remainder interest
described in section 664(d)(1).
(d) Treatment of charitable remaind-
erman under section 4965. A tax-exempt
entity (as defined in section 4965 of the
Code) that is an organization described
in section 170(c) and that the purported
Charitable Remainder Annuity Trust des-
ignates as a recipient of the remainder
interest described in section 664(d)(1) is
not treated as a party to the transaction
described in this section for purposes of
section 4965 solely by reason of its sta-
tus as a recipient of the remainder interest
described in section 664(d)(1).
(e) Applicability date. This section’s
identification of transactions that are the
same as, or substantially similar to, the
transaction described in paragraph (b) of
this section as listed transactions for pur-
poses of §1.6011-4(b)(2) is effective on
[date of publication of final regulations in
the Federal Register].
Douglas W. O’Donnell,
Deputy Commissioner for Services and
Enforcement
(Filed by the Office of the Federal Register March
5, 2024, 8:45 a.m., and published in the issue of the
Federal Register for March 11, 2024, 89 FR 17613)
Advance Notice of Third-
Party Contacts
REG-117542-22
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Notice of proposed rulemak-
ing.
SUMMARY: This document contains
proposed regulations relating to the notice
that the IRS must provide to a taxpayer
in advance of IRS contact with a third
party with respect to the determination
or collection of the taxpayer’s tax liabil-
ity, to reflect amendments made to the
applicable tax law by the Taxpayer First
Act of 2019. The regulations would affect
taxpayers to whom the IRS must provide
advance notice of IRS contact with such
third parties.
DATES: Electronic or written comments
and requests for a public hearing must be
received by May 21, 2024.
ADDRESSES: Commenters are strongly
encouraged to submit public comments
electronically. Submit electronic submis-
sions via the Federal eRulemaking Portal
at https://www.regulations.gov (indicate
IRS and IRS REG-117542-22) by fol-
lowing the online instructions for sub-
mitting comments. Requests for a public
hearing must be submitted as prescribed
in the “Comments and Requests for Pub-
lic Hearing” section. Once submitted to
the Federal eRulemaking Portal, com-
ments cannot be edited or withdrawn. The
Department of the Treasury (Treasury
Department) and the IRS will publish any
comments submitted electronically or on
paper to the public docket. Send paper
submissions to: CC:PA:01:PR (REG-
117542-22), Room 5203, Internal Reve-
nue Service, P.O. Box 7604, Ben Franklin
Station, Washington, DC 20044.
FOR FURTHER INFORMATION
CONTACT: Concerning the proposed
regulations, Brittany Harrison of the Office
of the Associate Chief Counsel (Procedure
and Administration), (202) 317-6833 (not
toll-free number); concerning the sub-
mission of comments and requests for a
public hearing, Vivian Hayes, (202) 317-
6901 (not toll-free number) or by sending
an email to publichearings@irs.gov (pre-
ferred).
SUPPLEMENTARY INFORMATION:
Background
This document contains proposed reg
-
ulations that would amend the Procedure
and Administration Regulations (26 CFR
part 301) relating to the advance notice of

Bulletin No. 2024–16 943 April 15, 2024
IRS contact with third parties that must
be provided to taxpayers under section
7602(c) of the Internal Revenue Code
(Code).
Generally, the Federal tax system
relies upon taxpayers’ self-assessment
and reporting of their tax liabilities. The
expansive information-gathering author-
ity that Congress has granted to the Secre-
tary of the Treasury or her delegate (Sec-
retary) under the Code includes the IRS’s
broad examination and summons author-
ity, which allows the IRS to determine
the accuracy of that self-assessment. See
United States v. Arthur Young & Co., 465
U.S. 805, 816 (1984). Section 7602(a)
provides that, for the purpose of ascertain-
ing the correctness of any return, making
a return in cases in which none has been
made, determining the liability of any per-
son for any internal revenue tax, or col-
lecting any such liability, the Secretary is
authorized to examine books and records,
issue summonses seeking documents and
testimony, and take testimony from wit-
nesses under oath as may be relevant or
material. Section 7602(b) further provides
that the purposes for which the Secretary
may examine books and records, issue
summonses, and take testimony under
oath include the purpose of inquiring into
any offense connected with the adminis-
tration or enforcement of the internal rev-
enue laws.
Section 7602(c) was added to the Code
by section 3417 of the Internal Revenue
Service Restructuring and Reform Act
of 1998, Public Law 105-206, 112 Stat.
685 (RRA 98). Section 7602(c)(1), as
added by RRA 98, required that the IRS
provide the taxpayer “reasonable notice
in advance” before it contacted a third
party with respect to the determination
or collection of the tax liability of such
taxpayer. Final regulations interpreting
and implementing section 7602(c) as
enacted by RRA 98 were promulgated
in 2002. TD 9028 (67 FR 77419). Sec-
tion 301.7602-2(d)(1) of the Procedure
and Administration Regulations provides
that the pre-contact notice may be given
either orally or in writing. If notice is writ-
ten, it may be given in any manner that
the IRS employee who gives such notice
reasonably believes will be received by
the taxpayer prior to the contact with the
third party. Written notice is considered
reasonable if it is mailed to the taxpayer’s
last known address, given in person, left at
the taxpayer’s dwelling or usual place of
business, or actually received by the tax-
payer. Section 301.7602-2(d)(2) provides
that taxpayers need not be given pre-con-
tact notice for contacts with third parties
of which advance notice otherwise has
been provided to the taxpayer pursuant to
another statute, regulation, or administra-
tive procedure.
Section 1206 of the Taxpayer First Act
of 2019 (TFA), Public Law 116-25 (133
Stat. 981), which was enacted into law on
July 1, 2019, amended section 7602(c)(1)
to provide that IRS officers or employees
may not contact a third party with respect
to the determination or collection of the tax
liability of a taxpayer unless the IRS first
provides the taxpayer with advance notice
meeting certain requirements. The notice
must specify the period, not to exceed
one year, during which the IRS intends to
make the contact. The IRS must provide
the notice to the taxpayer no later than 45
days before the beginning of such period,
except as otherwise provided by the Sec-
retary. The IRS may issue multiple notices
to the same taxpayer with respect to the
same tax liability that, taken together,
cover an aggregate period greater than one
year. The IRS may not issue a notice under
section 7602(c) unless the IRS intends, at
the time the notice is issued, to contact
third parties during the period specified in
that notice. The IRS may meet this intent
requirement based on the assumption that
the information sought to be obtained by
the contact will not be obtained by other
means before such contact. The TFA
amendments apply to notices provided,
and contacts made, after August 15, 2019.
Explanation of Provisions
I. Overview
These proposed regulations would
update the regulations in §301.7602-2(a)
and (d) pertaining to the advance notice
that must be provided to taxpayers prior to
IRS contact with third parties to conform
to the new statutory language of section
7602(c). These proposed regulations also
would provide, pursuant to the Secretary’s
authority in section 7602(c)(1)(B), excep-
tions to the 45-day advance notice require-
ment if delaying contact with third parties
for 45 days after providing notice to the
taxpayer would impair tax administration.
In these situations, the 45-day advance
notice period is proposed to be reduced or
eliminated to ensure sufficient time for the
IRS to properly conduct certain time-sen-
sitive examination or collection activities.
II. Notice of Third-party Contacts
The proposed regulations would
amend §301.7602-2(a) and (d) pertaining
to third-party contacts to implement the
amendments made to section 7602(c)(1)
by section 1206 of the TFA. Like existing
§301.7602-2(a), proposed §301.7602-
2(a)(1) would provide that, subject to the
exceptions in existing §301.7602-2(f),
IRS officers or employees may not con-
tact third parties with respect to the deter-
mination or collection of the tax liability
of a taxpayer unless the requirements of
section 7602(c) and proposed §301.7602-
2(d) have been satisfied. The exceptions
in existing §301.7602-2(f) implement the
statutory exceptions set forth in section
7602(c)(3) prior to, and unaffected by, the
TFA.
In cases not covered by the excep-
tions in section 7602(c)(3) and existing
§301.7602-2(f), proposed §301.7602-2(d)
(1) would implement the requirements
of section 7602(c)(1) as amended by the
TFA that IRS officers or employees may
not contact third parties with respect to
the determination or collection of the
tax liability of a taxpayer unless the IRS
provides advance notice to the taxpayer
(third-party contact notice). The third-
party contact notice must specify a period,
not to exceed one year, during which the
contact is intended to occur and inform
the taxpayer that third-party contacts are
intended to be made during such period.
Proposed §301.7602-2(d)(1) further pro-
vides that the third-party contact notice
must be in writing. The requirement that
the third-party contact notice be in writing
is intended to ensure compliance with the
advance notice requirement and to elim-
inate any potential confusion as to the
date on which notice was provided to the
taxpayer or the contents of the third-party
contact notice. Subject to certain enumer-
ated exceptions described in part III of
this Explanation of Provisions, proposed

April 15, 2024 944 Bulletin No. 2024–16
§301.7602-2(d)(1)(iii) would implement
the requirement of section 7602(c)(1)(B)
that the third-party contact notice gen-
erally must be provided to the taxpayer
no later than 45 days before the begin-
ning of the period in which the contact
is intended to be made (45-day advance
notice period). Proposed §301.7602-2(d)
(2) would further provide the methods by
which the IRS will provide a third-party
contact notice to the taxpayer, which are
similar to the methods set forth in existing
§301.7602-2(d)(1)(i) through (iv).
As provided in the second sentence of
section 7602(c)(1), proposed §301.7602-
2(d)(3) provides that the IRS is not pre-
vented from issuing successive notices to
the same taxpayer with respect to the same
tax liability for periods (each not greater
than one year) that, in the aggregate,
exceed one year.
As provided in the third and fourth
sentences of section 7602(c)(1), proposed
§301.7602-2(d)(4) would provide that no
third-party contact notice will be issued
under proposed §301.7602-2(d) unless
there is an intent at the time such notice
is issued to contact persons other than the
taxpayer during the period specified in
such notice, which intent may be met by
the IRS on the basis of the assumption that
the information sought to be obtained by
the third-party contact will not be obtained
by other means before such contact.
III. Exceptions to the 45-Day Advance
Notice Requirement
Proposed §301.7602-2(d)(5) pro-
vides several exceptions to the 45-day
advance notice requirement, in particular
with respect to the IRS’s fuel compliance
program, nonjudicial redemption investi-
gations, and in limited time-sensitive cir-
cumstances involving assessment or col-
lection of tax.
A. Fuel compliance program
Section 4081 of the Code imposes an
excise tax on certain motor and aviation
fuels. Section 4082 of the Code exempts
diesel fuel and kerosene from such tax
if used for certain nontaxable purposes
specified in section 4082(b), including
fuel sold for use or used in a train, school
bus, or intracity transportation; for farm
use; or for an off-highway business use, as
defined in section 6421(e)(2) of the Code,
except mobile machinery, as defined in
section 6421(e)(2)(C). Tax-exempt fuel
is required to be indelibly dyed in a mini-
mum concentration specified in §48.4082-
1(b)(1) of the Manufacturers and Retailers
Excise Tax Regulations (26 CFR part 48)
or otherwise pre-approved by the IRS. Sec-
tion 4083(d) of the Code provides that in
administering sections 4081 through 4084
of the Code the Secretary may enter any
place at which taxable fuel is produced or
is stored (or may be stored) for purposes
of examining the equipment used to deter-
mine the amount or composition of such
fuel and the equipment used to store such
fuel, taking and removing samples of such
fuel, and inspecting any books and records
and any shipping papers pertaining to fuel.
Section 4083(d) further provides that the
Secretary may also detain, for these pur-
poses, any container that contains or may
contain any taxable fuel. Refusal to admit
entry or other refusal to permit an action
authorized by section 4083(d) may result
in certain penalties under sections 6717
and 7342 of the Code.
Section 6715(a) of the Code provides
that a penalty in the amount prescribed
in section 6715(b) will be imposed, in
addition to any tax, if (1) any dyed fuel
is sold or held for sale by any person for
any use which such person knows or has
reason to know is not a nontaxable use
of such fuel, (2) any dyed fuel is held for
use or used by any person for a use other
than a nontaxable use and such person
knew, or had reason to know, that such
fuel was so dyed, (3) any person will-
fully alters, chemically or otherwise, or
attempts to so alter, the strength or com-
position of any dye or marking done pur-
suant to section 4082 in any dyed fuel, or
(4) any person who has knowledge that
a dyed fuel which has been altered (as
described in section 6715(a)(3)) sells or
holds for sale such fuel for any use which
the person knows or has reason to know
is not a nontaxable use of such fuel. Sec-
tion 6715(d) provides that if a penalty is
imposed under section 6715 on any busi-
ness entity, each officer, employee, or
agent of such entity who willfully partic-
ipated in any act giving rise to such pen-
alty is jointly and severally liable with
such entity for such penalty.
Section 6715A of the Code provides
that a person who tampers with a mechan-
ical dye injection system used to indelibly
dye fuel for purposes of section 4082, or
any operator of a mechanical dye injection
system used to indelibly dye fuel for pur-
poses of section 4082 who fails to main-
tain the security standards for such system
as established by the Secretary, must pay
a penalty in the amount prescribed in sec-
tion 6715A(b) in addition to any tax. As
with section 6715, if a penalty is imposed
under section 6715A on any business
entity, each officer, employee, or agent
of such entity who willfully participated
in any act giving rise to such penalty is
jointly and severally liable with such
entity for such penalty.
Section 6720A(a) of the Code provides
that any person who knowingly transfers
for resale, sells for resale, or holds out for
resale any liquid for use in a diesel-pow-
ered highway vehicle or a diesel-powered
train that does not meet applicable Envi-
ronmental Protection Agency regulations
must pay, in addition to any tax, a penalty
of $10,000 for each such transfer, sale, or
holding out for resale. In addition, section
6720A(b) provides that any person who
knowingly holds out for sale (other than
for resale) any liquid described in section
6720A(a) must pay a penalty of $10,000
for each such holding out for sale, in addi-
tion to any tax on such liquid.
Under the IRS’s Fuel Compliance
Program, fuel compliance officers and
agents (FCO/As) conduct field inspec-
tions authorized under section 4083(d). If
they discover an improper use of dyed fuel
or an improper dye concentration, they
determine how the fuel came to be in the
vehicles inspected. The individuals and
entities inspected by FCO/As may be clas-
sified as either taxpayers or third parties,
depending on the facts of a given inspec-
tion. FCO/As typically cannot know how
to classify the parties involved until the
inspection is conducted.
One type of inspection conducted by
FCO/As occurs after fuel is removed via
a terminal rack into a transporting truck or
railcar. A terminal is a taxable fuel storage
and distribution facility that is supplied by
pipeline or vessel and from which taxable
fuel may be removed at a rack. A rack is a
mechanism capable of delivering taxable
fuel, usually through pipes, into a means

Bulletin No. 2024–16 945 April 15, 2024
of transport other than a pipeline or vessel.
See §48.4081-1(b). The owner of the ter-
minal rack could be liable for a penalty if
the dye concentration is incorrect. Because
the transport truck drivers are typically
not employed by the owner of the termi-
nal, they may be considered third parties
relative to the owner of the terminal. FCO/
As require immediate access to the fuel in
the loaded transport trucks to determine
the correct dye concentration prior to the
fuel being delivered into the fuel distribu-
tion system. FCO/As also conduct inspec-
tions of various vehicles other than those
leaving the terminal racks; for example,
they may inspect a truck at a weigh station
to determine if the truck contains dyed
fuel. In such situations FCO/As require
the ability to quickly investigate the ori-
gin of dyed fuel if impermissible dyed fuel
is discovered. For example, if the driver
of the vehicle is a company employee
and the driver tells the FCO/A that the
company owner instructed the driver to
use dyed fuel, then the FCO/A ordinarily
would want to conduct an investigation at
the company’s yard as soon as possible to
determine culpability.
Requiring that the IRS provide 45 days
advance notice of third-party contacts
in the context of these fuel compliance
examinations would significantly impair
the enforcement work performed by FCO/
As. Because these inspections are con-
ducted in real time and are not based on
a tax return, it is imperative that FCO/
As have the ability to obtain information,
develop facts, and determine potential lia-
bility in real time, given the risk that any
delay would result in an inability to prop-
erly conduct the examination as informa-
tion dissipates. For example, dyed diesel
fuel may be removed or replaced from an
oil drilling rig before the FCO/A is able
to complete an investigation. Proposed
§301.7602-2(d)(5)(i) therefore would
provide that the IRS may provide same-
day third-party contact notices to the tax-
payer with respect to contacts intended
to be made by the IRS, which would be
made after the provision of the third-party
contact notice on that day, in connection
with investigations involving potential
liability for penalties under section 6715,
6715A, or 6720A or in connection with
the IRS’s exercise of authority under sec-
tion 4083(d). The IRS would therefore be
able to make third-party contacts in these
types of investigations immediately after
providing the taxpayer with a third-party
contact notice.
B. Nonjudicial sale redemption
investigations
Creditors may foreclose on property
through judicial or nonjudicial processes,
as provided by State law. Pursuant to sec-
tion 7425(b) of the Code, a nonjudicial
foreclosure sale will discharge a junior
Federal tax lien from real or personal
property if a notice of Federal tax lien
has been filed more than 30 days before
the sale and the foreclosing creditor gives
the IRS notice of the sale at least 25 days
in advance. Under section 7425(d) of the
Code, however, the IRS has 120 days from
the date of the nonjudicial foreclosure sale
(or longer if provided by State law) to
redeem real property from the purchaser.
Redemption is accomplished by paying
the purchaser the amount paid at the sale,
interest, and certain expenses. The pur-
pose of the redemption is for the IRS to
sell the real property for a higher amount,
a result which would benefit the taxpayer
as well, as any additional sale proceeds
would satisfy more of the taxpayer’s lia-
bility or potentially lead to a surplus over
the amount of the liability.
Prior to redeeming the property, the
IRS must undertake an investigation in
order to determine the potential benefits
and viability of a potential redemption.
The IRS’s Civil Enforcement Advisory
and Support Office (CEASO) has pri-
mary responsibility for receiving and
screening nonjudicial sale notices for
redemption potential. Generally, if the
property value significantly exceeds the
nonjudicial sale price, the CEASO refers
the case to a revenue officer for a more
thorough investigation and, if appropriate,
redemption action. Such an investigation
may involve the CEASO or the assigned
revenue officer discussing the property
and foreclosure with third parties. For
example, it may be necessary for the IRS
to determine the value of the property by
researching records or consulting valu-
ation specialists; to gather information
about the nonjudicial sale by researching
the balances of encumbrances against the
property and inquiring about issues that
could affect the amount realized through
a redemption sale, for example, renter’s
claims; to notify the nonjudicial sale
purchaser of the possible redemption; to
secure a guaranteed bidder for the post-re-
demption sale by contacting prospective
bidders or advertising for bids; to obtain
management approval for the redemption;
to secure funding for the redemption from
the revolving fund for redemption of real
property under section 7810 of the Code;
to deliver the redemption check to the sale
purchaser; and to complete the redemp-
tion by filing the necessary documentation
with the recording office within 120 days
from the date of sale. Some of these con-
tacts may be considered third party con-
tacts subject to the 45-day advance notice
requirement.
The 45-day advance notice require-
ment of section 7602(c) would jeopardize
the IRS’s ability to redeem property. The
redemption investigation cannot begin in
earnest until after the foreclosure sale, at
which point the sale price is known, and
which commences the 120-day redemp-
tion period. The earliest date that the IRS
could give the taxpayer advance notice
of third-party contacts is on the date the
CEASO receives notice of the sale. The
45-day advance notice period would thus
necessarily start after the beginning of the
120-day redemption period, and the IRS
may not be able to notify the sale purchaser
of the possible redemption until the 46th
day of the redemption period. As a con-
sequence, the IRS would have fewer than
74 days to fully determine the redemption
potential, negotiate with the purchaser on
potentially releasing the IRS’s redemption
rights, canvas for bidders, secure fund-
ing, and complete the redemption pro-
cess. This is highly unlikely to be feasi-
ble. Therefore, proposed §301.7602-2(d)
(5)(ii) would reduce the 45-day advance
notice period to 10 days of advance notice
in these situations.
C. Statutory period for assessment
expiring in one year or less
Section 6501(a) of the Code provides
that the IRS generally has three years
after an original return is filed or three
years from the due date of the original
return, whichever is later, within which
to assess tax with respect to a particular

April 15, 2024 946 Bulletin No. 2024–16
tax year (statutory assessment period).
Taxpayers and the IRS may extend the
statutory assessment period by agree-
ment under section 6501(c)(4). If the IRS
needs to contact third parties in situations
in which certain circumstances are pres-
ent and one year or less remains on the
statutory assessment period, tax admin-
istration would be impaired if the IRS
were required to provide 45 days advance
notice to the taxpayer before contacting
the third parties.
1. Certain Examination Cases
Proposed §301.7602-2(d)(5)(iii) would
reduce the 45-day advance notice require-
ment to 10 days of advance notice in cer-
tain examinations in which the statutory
assessment period will expire one year or
less from the date the IRS intends to con-
tact third parties and delaying such con-
tacts for 45 days will impair the govern-
ment’s ability to expeditiously determine
and assess tax. This proposed reduction
would allow the IRS to move forward and
promptly conduct examination activities
in cases in which the time to do so is lim-
ited and a delay will impair the govern-
ment’s ability to expeditiously determine
and assess tax.
The 45-day advance notice period
would be reduced to 10 days of advance
notice if both the IRS has requested that
the taxpayer provide, and the taxpayer has
not provided within the time requested,
a Form 872, Consent to Extend the Time
to Assess Tax, to extend the statutory
assessment period for a period necessary
to complete the examination and other
administrative actions, and the IRS case
involves an issue or issues with respect to
which the burden of proof would rest with
the IRS in a court proceeding. The amount
of evidence necessary to support the IRS’s
position will generally be greater in cases
in which the IRS would have the burden
of proof if a case were to proceed to trial
(for example, in cases involving unre-
ported income). The IRS therefore needs
additional time within which to attempt
to gather this evidence through the use of,
among other things, contacts with third
parties. Requiring the IRS to wait 45 days
prior to making contact with third parties
after notifying the taxpayer that such con-
tacts are intended to be made would hin-
der the IRS’s ability to complete its inves-
tigation prior to the end of the statutory
assessment period and would negatively
impact its ability to meet its burden. Pro-
posed §301.7602-2(d)(5)(iii) would there-
fore reduce the 45-day advance notice
period to 10 days of advance notice in
these situations.
2. Trust Fund Recovery Penalty Cases
Proposed §301.7602-2(d)(5)(iv) would
reduce the 45-day advance notice period
to 10 days of advance notice in cases in
which the IRS’s contact with third parties
is made as part of an investigation into
potential liability for the trust fund recov-
ery penalty (TFRP) under section 6672
of the Code that includes one or more tax
periods with one year or less remaining on
the assessment statute of limitations as of
the date the IRS intends to contact third
parties. A revenue officer investigating
potential TFRP liability must determine
whether a person is both responsible and
willful, and multiple persons may be lia-
ble for the same TFRP liability, making
such investigations highly fact-intensive
and challenging. As a result, an investi-
gating revenue officer who is faced with
a statutory assessment period that is end-
ing will need to obtain information and
documentation from third parties expedi-
tiously in order to identify all responsible
persons liable for the TFRP before the
statutory assessment period ends. Wait-
ing 45 days to contact third parties may
prevent the revenue officer from identi-
fying all responsible persons and from
completing the TFRP investigation before
the statutory assessment period ends. For
example, if a potentially responsible per-
son does not provide requested informa-
tion and documentation by the deadline
set by the revenue officer, provides only
part of the information and documentation
by the deadline, or asks for one or more
extensions of time to respond, a revenue
officer faced with a statutory assessment
period that is ending will need to obtain
information and documentation from third
parties. Waiting 45 days before contacting
third parties could result in assessments
against some but not all responsible per
-
sons, assessments made against persons
who were not responsible, or assessments
against responsible persons who were not
willful for some of the tax periods for
which the trust fund taxes were not turned
over to the IRS.
D. Statutory period for collection
expiring in one year or less
Section 6502 of the Code provides that
the length of the period for collection after
assessment of a tax liability generally is
10 years (statutory collection period). The
end of the statutory collection period ends
the government’s right to pursue collec-
tion of an unpaid tax liability. If the IRS
needs to contact third parties in situations
in which certain circumstances are pres-
ent and one year or less remains on the
statutory collection period, tax admin-
istration would be impaired if the IRS
were required to provide 45 days advance
notice to the taxpayer before contacting
the third parties.
Proposed §301.7602-2(d)(5)(v) would
reduce the 45-day advance notice require-
ment to 10 days of advance notice in two
situations in which there is one year or
less remaining before the statutory col-
lection period ends as of the date the IRS
intends to make contact with third parties.
The first situation is if providing 45 days
advance notice would prevent the IRS
from having sufficient time to prepare a
suit referral and deliver it to the Depart-
ment of Justice (DOJ). The second sit-
uation is if reducing the 45-day advance
notice period to 10 days of advance notice
is necessary to allow sufficient time for
collection activities.
1. Preparation and delivery of suit referral
to DOJ
Proposed §301.7602-2(d)(5)(v)(A)
would reduce the 45-day advance notice
period to 10 days of advance notice in
cases in which one year or less remains
before the statutory collection period ends
as of the date the IRS intends to contact
third parties and the IRS plans to prepare
a suit referral requesting that DOJ file
suit to reduce assessments to judgment
or to foreclose Federal tax liens before
the statutory collection period ends. In
these types of cases, collection cannot be
accomplished by administrative methods
within the normal statutory period. The
United States’ success in litigation, how-

Bulletin No. 2024–16 947 April 15, 2024
ever, is highly dependent upon the full and
complete development of factual and legal
issues before the suit is filed. The IRS
therefore needs as much time as possible
to develop its case prior to making the
referral, and requiring a revenue officer to
wait 45 days to contact third parties after
notifying the taxpayer that such contact
is intended to be made would impair the
IRS’s ability to timely make the referral. A
suit recommendation to foreclose Federal
tax liens against specific property titled in
the name of someone other than the tax-
payer, for example, may require a revenue
officer to develop evidence, including by
issuing third-party summonses, to prove
the taxpayer’s property was fraudulently
transferred or that a person holds the prop-
erty as the taxpayer’s nominee. The IRS’s
Office of Chief Counsel must then review
and approve the suit recommendation
before a referral is made to DOJ. Finally,
DOJ reviews the recommendation, drafts
the pleadings, and files suit. Depending
on the complexity of facts, this process
can take a significant amount of time.
Therefore, in these situations, proposed
§301.7602-2(d)(5)(v)(A) would provide
that the IRS may contact the third parties
10 days after providing the third-party
contact notice to the taxpayer.
2. Insufficient time for collection
activities
Proposed §301.7602-2(d)(5)(v)(B)
would reduce the 45-day advance notice
period to 10 days of advance notice in
cases in which there is one year or less
remaining before the statutory collection
period ends as of the date the revenue
officer intends to contact third parties and
the revenue officer is unable to contact
the taxpayer or the taxpayer refuses to
pay, if the revenue officer concludes that
the period should be reduced in order to
maximize the amount of unpaid tax that
can be collected by levy within the time
remaining before the statutory collection
period expires. This reduction in advance
notice will allow the IRS sufficient time
for investigative work, including to serve
collection summonses, to find assets
on which to levy, and to execute levies.
Proposed §301.7602-2(d)(5)(vi) would
provide that a revenue officer is con-
sidered unable to contact the taxpayer if
the taxpayer fails to respond to the reve-
nue officer’s reasonable attempts to con-
tact the taxpayer directly within the time
requested by the revenue officer.
Proposed §301.7602-2(d)(5)(vii)
would provide that the category of tax-
payers who are considered to have refused
to pay includes: (1) taxpayers who have
the ability to pay their currently due and
owing taxes including required tax depos-
its and estimated tax payments and to pay
their delinquent taxes through an alterna-
tive collection method but will not do so;
(2) taxpayers who cannot pay currently
due taxes or pay their delinquent taxes,
but who have assets in excess of amounts
exempt from levy that will yield net pro-
ceeds and are unwilling or unable to bor-
row against or liquidate these assets; (3)
taxpayers who are accruing employment
tax liabilities without making required tax
deposits; (4) taxpayers who use frivolous
tax arguments and continue to resist the
requirements to file and pay; (5) taxpay-
ers who will not cooperate with the IRS
(for example, taxpayers that evade contact
or will not provide financial information);
(6) taxpayers who will not comply with
the results of the IRS’s financial analysis
or will not enter into an installment agree-
ment or offer in compromise; (7) taxpay-
ers who are wage earners who have not
paid their tax liability and will not adjust
their withholdings to prevent future delin-
quencies; (8) taxpayers who are self-em-
ployed, have not paid their tax liability,
and will not make estimated tax payments
to prevent future delinquencies; and (9)
taxpayers who do not meet their commit-
ments (without a valid reason) as required
by an installment agreement, offer in
compromise, or extension of time to pay.
Proposed §301.7602-2(d)(5)(vii) does not
provide an exhaustive list of taxpayers
who are considered to have refused to pay,
and taxpayers who engage in conduct not
specifically listed in the text of proposed
§301.7602-2(d)(5)(vii) may be considered
to have refused to pay.
In these situations, the IRS faces sig-
nificant delays in carrying out its collec-
tion activities and often must contact third
parties. Requiring the IRS to wait 45 days
prior to making contact with third parties
after notifying the taxpayer that such con-
tacts are intended to be made would hin-
der the IRS’s ability to complete its collec-
tion activities in time. Therefore, in these
situations, proposed §301.7602-2(d)(5)(v)
(B) and (d)(5)(vii) would provide the IRS
the ability to contact third parties 10 days
after providing the third-party contact
notice to the taxpayer.
Proposed Applicability Date
The proposed regulations are proposed
to apply to any contacts made on or after
the date 30 days after the date of publi-
cation of final regulations in the Federal
Register.
Special Analyses
I. Regulatory Planning and Review
Pursuant to the Memorandum of
Agreement, Review of Treasury Regula-
tions under Executive Order 12866 (June
9, 2023), tax regulatory actions issued by
the IRS are not subject to the requirements
of section 6 of Executive Order 12866, as
amended. Therefore, a regulatory impact
assessment is not required.
II. Regulatory Flexibility Act
The Secretary of the Treasury hereby
certifies that these proposed regulations
will not have a significant economic
impact on a substantial number of small
entities pursuant to the Regulatory Flex-
ibility Act (5 U.S.C. chapter 6). This cer-
tification is based on the fact that the reg-
ulation solely provides for the elimination
or reduction of the time period between
when the IRS informs a taxpayer that it
intends to contact third parties and when
the actual contact may take place in cer-
tain situations. Accordingly, a regulatory
flexibility analysis under the Regulatory
Flexibility Act is not required.
Pursuant to section 7805(f) of the
Code, this notice of proposed rulemaking
has been submitted to the Chief Coun-
sel for Advocacy of the Small Business
Administration for comment on its impact
on small business.
III. Unfunded Mandates Reform Act
Section 202 of the Unfunded Mandates
Reform Act of 1995 (UMRA) requires
that agencies assess anticipated costs and

April 15, 2024 948 Bulletin No. 2024–16
benefits and take certain other actions
before issuing a final rule that includes
any Federal mandate that may result in
expenditures in any one year by a State,
local, or Tribal government, in the aggre-
gate, or by the private sector, of $100 mil-
lion in 1995 dollars, updated annually for
inflation. This rule does not include any
Federal mandate that may result in expen-
ditures by State, local, or Tribal govern-
ments, or by the private sector in excess of
that threshold.
IV. Executive Order 13132: Federalism
Executive Order 13132 (Federalism)
prohibits an agency from publishing any
rule that has federalism implications if
the rule either imposes substantial, direct
compliance costs on State and local gov-
ernments, and is not required by statute,
or preempts State law, unless the agency
meets the consultation and funding
requirements of section 6 of the Execu-
tive order. These proposed regulations do
not have federalism implications and do
not impose substantial direct compliance
costs on State and local governments or
preempt State law within the meaning of
the Executive order.
Comments and Requests for Public
Hearing
Before these proposed regulations are
adopted as final regulations, consideration
will be given to comments that are sub-
mitted timely to the Treasury Department
and the IRS as prescribed in this pream-
ble under the ADDRESSES heading. The
Treasury Department and the IRS request
comments on all aspects of the proposed
regulations. Any electronic and paper
comments submitted will be available
at https://www.regulations.gov or upon
request.
A public hearing will be scheduled if
requested in writing by any person that
timely submits electronic or written com-
ments. Requests for a public hearing are
encouraged to be made electronically. If a
public hearing is scheduled, notice of the
date, time, and place for the public hearing
will be published in the Federal Register.
Announcement 2023–16, 2023–20
I.R.B. 854 (May 15, 2023), provides that
public hearings will be conducted in per-
son, although the IRS will continue to pro-
vide a telephonic option for individuals
who wish to attend or testify at a hearing
by telephone. Any telephonic hearing will
be made accessible to people with disabil-
ities.
Drafting Information
The principal author of these tempo-
rary regulations is Brittany Harrison of
the Office of the Associate Chief Counsel
(Procedure and Administration). How-
ever, other personnel from the Treasury
Department and the IRS participated in
their development.
List of Subjects in 26 CFR Part 301
Employment taxes, Estate taxes,
Excise taxes, Gift taxes, Income taxes,
Penalties, Reporting and recordkeeping
requirements.
Proposed Amendments to the
Regulations
Accordingly, the Treasury Department
and IRS propose to amend 26 CFR part
301 as follows:
PART 301—PROCEDURE AND
ADMINISTRATION
Paragraph 1. The authority citation for
part 301 continues to read, in part, as fol-
lows:
Authority: 26 U.S.C. 7805.
Par. 2. Section 301.7602-2 is amended
by revising paragraphs (a), (d), and (g) to
read as follows:
§301.7602-2 Third party contacts.
(a) Advance notice of third-party con-
tacts―(1) In general. Subject to the
exceptions in paragraph (f) of this section,
no officer or employee of the Internal Rev-
enue Service (IRS) may contact any per-
son other than the taxpayer with respect
to the determination or collection of such
taxpayer’s tax liability unless the require-
ments of section 7602(c) of the Internal
Revenue Code (Code) and paragraph (d)
of this section have been satisfied.
(2) Record of contacts. A record of
persons so contacted must be made and
given to the taxpayer upon the taxpayer’s
request in accordance with paragraph (e)
of this section.
* * * * *
(d) Notice of third-party contacts―(1)
In general. An officer or employee of the
IRS may not make third-party contacts
with respect to the determination or col-
lection of the liability of a taxpayer unless
such contact occurs during a period (not
greater than one year) that is specified in a
written notice (third-party contact notice)
that—
(i) The IRS provides to the taxpayer in
accordance with paragraph (d)(2) of this
section;
(ii) Informs the taxpayer that third-
party contacts are intended to be made
during such period; and
(iii) Except as set forth in paragraph
(d)(5) of this section, is provided to the
taxpayer no later than 45 days before the
beginning of such period (45-day advance
notice period).
(2) Provision of third-party contact
notice. A third-party contact notice must
be—
(i) Mailed to the taxpayer’s last known
address;
(ii) Given in person to the taxpayer;
(iii) Left at the taxpayer’s dwelling or
usual place of business; or
(iv) Actually received by the taxpayer.
(3) Successive notices. Nothing in
paragraph (d)(1) of this section prevents
the IRS from issuing successive notices
to the same taxpayer with respect to the
same tax liability for periods (each not
greater than one year) that, in the aggre-
gate, exceed one year.
(4) Intent to contact. A third-party con-
tact notice will not be issued under para-
graph (d) of this section unless there is an
intent at the time such notice is issued to
contact persons other than the taxpayer
during the period specified in such notice.
Nothing in the preceding sentence will
prevent the issuance of a third-party con-
tact notice if the requirement of such sen-
tence is met on the basis of the assumption
that the information sought to be obtained
by such contact will not be obtained by
other means before such contact.
(5) Exceptions to 45-day advance
notice period. The 45-day advance notice
period of section 7602(c)(1)(B) of the
Code and paragraph (d)(1) of this sec-

Bulletin No. 2024–16 949 April 15, 2024
tion is reduced in the case of third-party
contacts described in paragraphs (d)(5)(i)
through (v) of this section.
(i) Fuel compliance program. The
45-day advance notice period is reduced
to zero days, and the IRS may make a
third-party contact at any time after the
third-party contact notice has been given
to the taxpayer, if—
(A) The IRS officer or employee
intends to make a third-party contact in
connection with its investigation of poten-
tial liability for penalties under section
6715, 6715A, or 6720A of the Code; or
(B) The IRS officer or employee
intends to make a third-party contact in
connection with its exercise of authority
under section 4083(d) of the Code.
(ii) Nonjudicial sale redemption inves-
tigations. The 45-day advance notice
period is reduced to 10 days if the IRS
officer or employee intends to make a
third-party contact in connection with an
investigation into a potential nonjudicial
sale redemption.
(iii) Examination cases involving cer-
tain issues in which statutory period for
assessment expiring within one year or
less. The 45-day advance notice period
is reduced to 10 days in cases under
examination in which there is one year
or less remaining before the expiration
of the period for assessment under sec-
tion 6501(a) of the Code determined with
regard to extensions (statutory assessment
period) for any period included in the
examination as of the date the IRS intends
to make a third-party contact if:
(A) The case involves an issue with
respect to which the IRS would have the
burden of proof in any court proceeding;
and
(B) The IRS has requested that the tax-
payer provide the IRS with an unrestricted,
signed Form 872, Consent to Extend the
Time to Assess Tax, to extend the statutory
assessment period by a period necessary
to complete the examination and other
administrative actions, and the taxpayer
has not provided the requested signed
Form 872 within the time requested.
(iv) Trust fund recovery penalty inves-
tigations in which statutory period for
assessment expiring within one year or
less. The 45-day advance notice period is
reduced to 10 days in investigations into
potential liability for penalties under sec-
tion 6672 of the Code if there is one year
or less remaining before the expiration of
the statutory assessment period for any
period included in the investigation as of
the date the IRS intends to make a third-
party contact.
(v) Statutory period for collection
expiring within one year or less. The
45-day advance notice period is reduced
to 10 days if there is one year or less
remaining in the time period (or, in cases
involving multiple time periods, in any
time period in the case) under section
6502 of the Code within which the IRS
may collect an assessed tax by levy or by
a proceeding in court (statutory collection
period) as of the date the IRS intends to
make a third-party contact and either—
(A) The IRS intends to prepare and
deliver to the Department of Justice
(DOJ) a suit referral requesting that DOJ
file suit to reduce assessments to judg-
ment or to foreclose Federal tax liens
before the expiration of the statutory col-
lection period; or
(B) The revenue officer is unable to
contact the taxpayer (as defined in para-
graph (d)(5)(vi) of this section), or the tax-
payer refuses to pay (as defined in para-
graph (d)(5)(vii) of this section), and the
revenue officer concludes that the advance
notice period should be reduced in order
to maximize the amount of unpaid tax that
can be collected by levy within the time
remaining before the statutory collection
period expires.
(vi) Unable to contact the taxpayer.
The revenue officer is unable to contact
the taxpayer for purposes of paragraph
(d)(5)(v)(B) of this section if the taxpayer
fails to respond to the revenue officer’s
reasonable attempts to contact the tax-
payer directly within the time requested
by the revenue officer.
(vii) Taxpayer refuses to pay. The cat-
egory of taxpayers who are considered to
have refused to pay for purposes of para-
graph (d)(5)(v)(B) of this section includes
taxpayers described in this paragraph (d)
(5)(vii). This paragraph (d)(5)(vii) is not
an exhaustive list of taxpayers consid-
ered to have refused to pay, and taxpayers
who engage in conduct not specifically
described in this paragraph (d)(5)(vii)
may be considered to have refused to pay.
(A) Taxpayers who have the ability to
pay their currently due and owing taxes
including required tax deposits and esti-
mated tax payments and to pay their delin-
quent taxes through an alternative collec-
tion method but will not do so.
(B) Taxpayers who cannot pay cur-
rently due taxes or pay their delinquent
taxes, but who have assets in excess of
amounts exempt from levy that will yield
net proceeds and are unwilling or unable
to borrow against or liquidate these assets.
(C) Taxpayers who are accruing
employment tax liabilities without making
required tax deposits.
(D) Taxpayers who use frivolous tax
arguments and continue to resist the
requirements to file returns and pay their
tax liability.
(E) Taxpayers who will not cooperate
with the IRS (for example, taxpayers that
evade contact or will not provide financial
information).
(F) Taxpayers who will not comply
with the results of the IRS’s financial anal-
ysis or will not enter into an installment
agreement or offer in compromise.
(G) Taxpayers who are wage earners
who have not paid their tax liability and
will not adjust their withholdings to pre-
vent future delinquencies.
(H) Taxpayers who are self-employed,
have not paid their tax liability, and will
not make estimated tax payments to pre-
vent future delinquencies.
(I) Taxpayers who do not meet their
commitments (without a valid reason)
as required by an installment agreement,
offer in compromise, or extension of time
to pay.
* * * * *
(g) Applicability dates―(1) In general.
Except as provided for in paragraph (g)(2)
of this section, this section is applicable
on December 18, 2002.
(2) Exceptions. Paragraphs (a)(1) and
(d) of this section apply to third-party con-
tacts made on or after 30 days after [DATE
OF PUBLICATION OF FINAL RULE].
Douglas W. O’Donnell,
Deputy Commissioner for Services and
Enforcement.
(Filed by the Office of the Federal Register March
21, 2024, 8:45 a.m., and published in the issue of the
Federal Register for March 22, 2024, 89 FR 20371)

Bulletin No. 2024–16 i April 15, 2024
Definition of Terms
Revenue rulings and revenue procedures
(hereinafter referred to as “rulings”) that
have an effect on previous rulings use the
following defined terms to describe the
effect:
Amplified describes a situation where
no change is being made in a prior pub-
lished position, but the prior position is
being extended to apply to a variation of
the fact situation set forth therein. Thus,
if an earlier ruling held that a principle
applied to A, and the new ruling holds that
the same principle also applies to B, the
earlier ruling is amplified. (Compare with
modified, below).
Clarified is used in those instances
where the language in a prior ruling is
being made clear because the language
has caused, or may cause, some confu-
sion. It is not used where a position in a
prior ruling is being changed.
Distinguished describes a situation
where a ruling mentions a previously pub-
lished ruling and points out an essential
difference between them.
Modified is used where the substance
of a previously published position is being
changed. Thus, if a prior ruling held that a
principle applied to A but not to B, and the
new ruling holds that it applies to both A
and B, the prior ruling is modified because
it corrects a published position. (Compare
with amplified and clarified, above).
Obsoleted describes a previously pub-
lished ruling that is not considered deter-
minative with respect to future transactions.
This term is most commonly used in a ruling
that lists previously published rulings that
are obsoleted because of changes in laws or
regulations. A ruling may also be obsoleted
because the substance has been included in
regulations subsequently adopted.
Revoked describes situations where the
position in the previously published ruling
is not correct and the correct position is
being stated in a new ruling.
Superseded describes a situation where
the new ruling does nothing more than
restate the substance and situation of a
previously published ruling (or rulings).
Thus, the term is used to republish under
the 1986 Code and regulations the same
position published under the 1939 Code
and regulations. The term is also used
when it is desired to republish in a single
ruling a series of situations, names, etc.,
that were previously published over a
period of time in separate rulings. If the
new ruling does more than restate the sub-
stance of a prior ruling, a combination of
terms is used. For example, modified and
superseded describes a situation where the
substance of a previously published ruling
is being changed in part and is continued
without change in part and it is desired to
restate the valid portion of the previously
published ruling in a new ruling that is
self contained. In this case, the previously
published ruling is first modified and then,
as modified, is superseded.
Supplemented is used in situations in
which a list, such as a list of the names of
countries, is published in a ruling and that
list is expanded by adding further names
in subsequent rulings. After the original
ruling has been supplemented several
times, a new ruling may be published that
includes the list in the original ruling and
the additions, and supersedes all prior rul-
ings in the series.
Suspended is used in rare situations
to show that the previous published rul-
ings will not be applied pending some
future action such as the issuance of new
or amended regulations, the outcome of
cases in litigation, or the outcome of a
Service study.
Abbreviations
The following abbreviations in current
use and formerly used will appear in
material published in the Bulletin.
A—Individual.
Acq.—Acquiescence.
B—Individual.
BE—Beneficiary.
BK—Bank.
B.T.A.—Board of Tax Appeals.
C—Individual.
C.B.—Cumulative Bulletin.
CFR—Code of Federal Regulations.
CI—City.
COOP—Cooperative.
Ct.D.
—Court Decision.
CY—County.
D—Decedent.
DC—Dummy Corporation.
DE—Donee.
Del. Order—Delegation Order.
DISC—Domestic International Sales Corporation.
DR—Donor.
E—Estate.
EE—Employee.
E.O.—Executive Order.
ER—Employer.
ERISA—Employee Retirement Income Security Act.
EX—Executor.
F—Fiduciary.
FC—Foreign Country.
FICA—Federal Insurance Contributions Act.
FISC—Foreign International Sales Company.
FPH—Foreign Personal Holding Company.
F.R.—Federal Register.
FUTA—Federal Unemployment Tax Act.
FX—Foreign corporation.
G.C.M.—Chief Counsel’s Memorandum.
GE—Grantee.
GP—General Partner.
GR—Grantor.
IC—Insurance Company.
I.R.B.—Internal Revenue Bulletin.
LE—Lessee.
LP—Limited Partner.
LR—Lessor.
M—Minor.
Nonacq.—Nonacquiescence.
O—Organization.
P—Parent Corporation.
PHC—Personal Holding Company.
PO—Possession of the U.S.
PR—Partner.
PRS—Partnership.
PTE—Prohibited Transaction Exemption.
Pub. L.—Public Law.
REIT—Real Estate Investment Trust.
Rev. Proc.—Revenue Procedure.
Rev. Rul.—Revenue Ruling.
S—Subsidiary.
S.P.R.—Statement of Procedural Rules.
Stat.—Statutes at Large.
T—Target Corporation.
T.C.—Tax Court.
T.D.—Treasury Decision.
TFE—Transferee.
TFR—Transferor.
T.I.R.—Technical Information Release.
TP—Taxpayer.
TR—Trust.
TT—Trustee.
U.S.C.—United States Code.
X—Corporation.
Y—Corporation.
Z—Corporation.

April 15, 2024 ii Bulletin No. 2024–16
Numerical Finding List
1
Bulletin 2024–16
Announcements:
2024-1, 2024-02 I.R.B. 363
2024-3, 2024-02 I.R.B. 364
2024-5, 2024-05 I.R.B. 635
2024-6, 2024-05 I.R.B. 635
2024-4, 2024-06 I.R.B. 665
2024-7, 2024-07 I.R.B. 673
2024-8, 2024-07 I.R.B. 674
2024-9, 2024-07 I.R.B. 675
2024-12, 2024-08 I.R.B. 676
2024-11, 2024-08 I.R.B. 683
2024-13, 2024-10 I.R.B. 710
2024-10, 2024-11 I.R.B. 711
2024-14, 2024-12 I.R.B. 719
2024-15, 2024-15 I.R.B. 876
2024-16, 2024-16 I.R.B. 909
2024-17, 2024-16 I.R.B. 932
Notices:
2024-1, 2024-02 I.R.B. 314
2024-2, 2024-02 I.R.B. 316
2024-3, 2024-02 I.R.B. 338
2024-4, 2024-02 I.R.B. 343
2024-5, 2024-02 I.R.B. 347
2024-6, 2024-02 I.R.B. 348
2024-7, 2024-02 I.R.B. 355
2024-8, 2024-02 I.R.B. 356
2024-9, 2024-02 I.R.B. 358
2024-11, 2024-02 I.R.B. 360
2024-10, 2024-03 I.R.B. 406
2024-12, 2024-05 I.R.B. 616
2024-13, 2024-05 I.R.B. 618
2024-16, 2024-05 I.R.B. 622
2024-18, 2024-05 I.R.B. 625
2024-19, 2024-05 I.R.B. 627
2024-21, 2024-06 I.R.B. 659
2024-22, 2024-06 I.R.B. 662
2024-20, 2024-07 I.R.B. 668
2024-23, 2024-07 I.R.B. 672
2024-24, 2024-10 I.R.B. 707
2024-25, 2024-12 I.R.B. 712
2024-26, 2024-12 I.R.B. 713
2024-27, 2024-12 I.R.B. 715
2024-28, 2024-13 I.R.B. 720
2024-29, 2024-14 I.R.B. 751
2024-31, 2024-15 I.R.B. 869
2024-30, 2024-16 I.R.B. 878
2024-32, 2024-16 I.R.B. 897
Proposed Regulations:
REG-118492-23, 2024-02 I.R.B. 366
REG-107423-23, 2024-03 I.R.B. 411
REG-121010-17, 2024-05 I.R.B. 636
REG-101552-24, 2024-13 I.R.B. 741
REG-117631-23, 2024-14 I.R.B. 754
REG-108761-22, 2024-16 I.R.B. 933
REG-117542-22, 2024-16 I.R.B. 942
Revenue Procedures:
2024-1, 2024-01 I.R.B. 1
2024-2, 2024-01 I.R.B. 119
2024-3, 2024-01 I.R.B. 143
2024-4, 2024-01 I.R.B. 160
2024-5, 2024-01 I.R.B. 262
2024-7, 2024-01 I.R.B. 303
2024-8, 2024-04 I.R.B. 479
2024-9, 2024-05 I.R.B. 628
2024-12, 2024-09 I.R.B. 677
2024-13, 2024-09 I.R.B. 678
2024-14, 2024-09 I.R.B. 682
2024-15, 2024-12 I.R.B.
717
2024-11, 2024-13 I.R.B. 721
2024-17, 2024-15 I.R.B. 873
2024-18, 2024-15 I.R.B. 874
2024-19, 2024-16 I.R.B. 899
Revenue Rulings:
2024-1, 2024-02 I.R.B. 307
2024-2, 2024-02 I.R.B. 311
2024-3, 2024-06 I.R.B. 646
2024-5, 2024-07 I.R.B. 666
2024-4, 2024-10 I.R.B. 686
2024-6, 2024-10 I.R.B. 688
2024-7, 2024-14 I.R.B. 749
2024-8, 2024-16 I.R.B. 877
Treasury Decisions:
9984, 2024-03 I.R.B. 386
9985, 2024-05 I.R.B. 573
9986, 2024-05 I.R.B. 610
9987, 2024-06 I.R.B. 648
9988, 2024-15 I.R.B. 794
9989, 2024-15 I.R.B. 850
1
A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2023–27 through 2023–52 is in Internal Revenue Bulletin
2023–52, dated December 26, 2023.

Bulletin No. 2024–16 iii April 15, 2024
Finding List of Current Actions on
Previously Published Items
1
Bulletin 2024–16
1
A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2023–27 through 2023–52 is in Internal Revenue Bulletin
2023–52, dated December 26, 2023.

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