These synopses are intended only as aids to the reader in

Agency decision

Ask Donna

What actually matters in this document.

Text

Bulletin No. 2003–4

January 27, 2003

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.

SPECIAL ANNOUNCEMENT

Announcement 2003–3, page 361.

This announcement lists the names of the neutrals that have been

qualified by the Service and Chief Counsel to serve as arbitrators for contingent liability transaction cases proceeding under

Rev. Proc. 2002–67, 2003–43 I.R.B. 733.

Rev. Proc. 2003–11, page 311.

This procedure describes the Service’s Offshore Voluntary Compliance Initiative for taxpayers that have underreported their United

States income tax liability through financial arrangements that in

any manner rely on the use of offshore payment cards or offshore financial arrangements.

EMPLOYEE PLANS

INCOME TAX

Rev. Rul. 2003–9, page 303.

LIFO; price indexes; department stores. The November 2002

Bureau of Labor Statistics price indexes are accepted for use by

department stores employing the retail inventory and last-in, firstout inventory methods for valuing inventories for tax years ended

on, or with reference to, November 30, 2002.

Rev. Rul. 2003–14, page 302.

Cost-share payments; SWCA. The Soil and Water Conservation Assistance Program (SWCA) is substantially similar to the type

of programs described in sections 126(a)(1) through (8) within

the meaning of section 126(a)(9) of the Code. All or a portion of

cost-share payments received under the SWCA program is eligible for exclusion from gross income to the extent permitted by

section 126.

Rev. Rul. 2003–15, page 302.

Cost-share payments; AMA. The Agricultural Management Assistance Program (AMA) is substantially similar to the type of programs described in sections 126(a)(1) through (8) within the

meaning of section 126(a)(9) of the Code. All or a portion of costshare payments received under the AMA program is eligible for

exclusion from gross income to the extent permitted by section 126.

Notice 2003–7, page 310.

Weighted average interest rate update. The weighted average interest rate for January 2003 and the resulting permissible range of interest rates used to calculate current liability for

purposes of the full funding limitation of section 412(c)(7) of the

Code are set forth.

Rev. Proc. 2003–13, page 317.

Deemed IRAs; section 602 of EGTRRA. This procedure describes the application of section 408(q) of the Code for deemed

IRAs as added by section 602 of the Economic Growth and Tax

Relief Reconciliation Act for plan years after December 31, 2002.

Rev. Proc. 2003–16, page 359.

Section 644 of EGTRRA; 60-day rollover requirement;

waiver. This document describes a procedure for obtaining a

waiver of the 60-day rollover requirement under sections 402(c)(3)

and 408(d)(3) of the Code for distributions after December 31,

2001.

EXEMPT ORGANIZATIONS

Rev. Rul. 2003–13, page 305.

Transfers of assets. This ruling describes the responsibilities

of a private foundation relating to section 507 and chapter 42

(sections 4940–4945) of the Code when it transfers all of its assets to one or more public charities described in sections

509(a)(1), 509(a)(2), or 509(a)(3).

(Continued on the next page)

Finding Lists begin on page ii.

EXEMPT ORGANIZATIONS—CONT.

Rev. Proc. 2003–12, page 316.

This procedure clarifies that an entity described in section

501(c)(3) of the Code can also meet the requirements of section 115(1). It also provides information on drafting dissolution

clauses in the articles of organization of a section 501(c)(3) entity that requests a letter ruling that its income is excluded from

gross income under section 115(1).

ADMINISTRATIVE

Notice 2003–8, page 310.

This notice advises that until further notice from the Service, no

information reporting will be required under section 6045 of the

Code with regard to securities futures contracts.

Rev. Proc. 2003–11, page 311.

This procedure describes the Service’s Offshore Voluntary Compliance Initiative for taxpayers that have underreported their United

States income tax liability through financial arrangements that in

any manner rely on the use of offshore payment cards or offshore financial arrangements.

Rev. Proc. 2003–14, page 319.

Indian tribal government trusts for minors. This procedure provides a safe harbor under which the Service will treat an

Indian tribe as the grantor and owner of a trust for the receipt

of gaming revenues under the Indian Gaming Regulatory Act (25

U.S.C. sections 2701–2721) (IGRA) for the benefit of minors or

legal incompetents. Beneficiaries of an IGRA trust will not be required to include amounts in gross income when transferred to,

or earned by, the IGRA trust under the economic benefit doctrine. Comments are requested on the application of the economic benefit doctrine to IGRA trusts that are not within the scope

of this revenue procedure and the type of trust provisions that

preclude the application of the economic benefit doctrine. Rev.

Proc. 2003–3 amplified.

Rev. Proc. 2003–15, page 321.

This procedure provides issuers of qualified mortgage bonds, as

defined in section 143(a) of the Code, and issuers of mortgage credit certificates, as defined in section 25(c), with a list

of qualified census tracts for each state and the District of Columbia. The qualified census tracts are based on data from the

2000 census. Rev. Proc. 93–38 obsoleted.

January 27, 2003

2003–4 I.R.B.

The IRS Mission

Provide America’s taxpayers top quality service by helping them

understand and meet their tax responsibilities and by applying

the tax law with integrity and fairness to all.

Introduction

The Internal Revenue Bulletin is the authoritative instrument of the

Commissioner of Internal Revenue for announcing official 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 and may be obtained from the Superintendent of Documents on a subscription basis. Bulletin contents

are consolidated semiannually into Cumulative Bulletins, which

are sold on a single-copy basis.

It is the policy of the Service to publish in the Bulletin all substantive 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 otherwise indicated. Procedures relating solely to matters of internal 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 rulings 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, disbarment and suspension lists, and announcements.

The first 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 first Bulletin of the succeeding semiannual period, respectively.

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.

For sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, DC 20402.

2003–4 I.R.B.

January 27, 2003

Part I. Rulings and Decisions Under the Internal Revenue Code of 1986

Section 25.—Interest on Certain Home Mortgages

Rev. Rul. 2003–14

26 CFR 1.25–3T: Qualified mortgage credit certifi-

ISSUE

cate.

The qualified census tracts for the states and the

District of Columbia are set forth for use in determining the portion of loans required to be placed in

targeted areas under section 143(h). See Rev. Proc.

2003–15, page 321.

Section 61.—Gross Income

Defined

26 CFR 1.61–1: Gross income.

Beneficiaries of trusts for the receipt of gaming

revenues under the Indian Gaming Regulatory Act for

the benefit of minors or legal incompetents that conform to the procedures of this revenue procedure will

not be required to include amounts in gross income

when transferred to, or earned by, the trust under the

economic benefit doctrine. Rather, beneficiaries will

include amounts in income when actually or constructively received. See Rev. Proc. 2003–14, page 319.

Section 103.—Interest on

State and Local Bonds

26 CFR 1.103–1: Interest upon obligations of a State,

Territory, etc.

The qualified census tracts for the states and the

District of Columbia are set forth for use in determining the portion of loans required to be placed in

targeted areas under section 143(h). See Rev. Proc.

2003–15, page 321.

Section 126.—Certain CostSharing Payments

26 CFR 16A.126–1: Certain cost-sharing payments

— In general (Temporary).

Cost-share payments; SWCA. The Soil

and Water Conservation Assistance Program (SWCA) is substantially similar to the

type of programs described in sections

126(a)(1) through (8) within the meaning

of section 126(a)(9) of the Code. All or a

portion of cost-share payments received under the SWCA program is eligible for exclusion from gross income to the extent

permitted by section 126.

2003–4 I.R.B.

Is the Soil and Water Conservation Assistance (SWCA) program substantially

similar to the type of programs described

in § 126(a)(1) through (8) of the Internal

Revenue Code, so that the SWCA program is within the scope of § 126(a)(9) and,

thereby, cost-share payments received under the SWCA program are eligible for exclusion from gross income to the extent

permitted by § 126?

FACTS

The SWCA program, authorized under

the provisions of Title II of the Agricultural Risk Protection Act of 2000, Pub. L.

No. 106–224, 114 Stat. 358, is a voluntary program that provides payments to

farmers and ranchers to implement measures needed to conserve and improve soil,

water, and related natural resources and to

comply with federal and state environmental laws. A farmer or rancher who participates in the SWCA program enters into a

5 to 10 year cost-share agreement with the

Department of Agriculture pursuant to

which the farmer or rancher agrees to

implement specific eligible conservation

practices in return for cost-share payments

in the amount of 75 percent of the cost of

an eligible practice. The total maximum

payment per participant cannot exceed

$50,000.

The Secretary of Agriculture has determined that cost-share payments under the

SWCA program are primarily for the purpose of conservation.

grams described in §§ 126(a)(1) through (8).

See § 16A.126–1(d)(3) of the temporary Income Tax Regulations for the definition of

“small watershed.”

Once the Commissioner has determined

that a program is substantially similar to the

types of programs described in § 126(a)(1)

through (8), taxpayers receiving cost-share

payments under that program must determine what portion of the cost-share payments is excludable from gross income

under § 126. See § 126(b)(1), and

§ 16A.126–1 relating to the partial exclusion for certain cost-share payments to determine what portion of the cost-share

payments is excludable from gross income

under § 126.

HOLDING

The SWCA program is substantially

similar to the type of programs described

in §§ 126(a)(1) through (8) within the meaning of § 126(a)(9). All or a portion of costshare payments received under the SWCA

program is eligible for exclusion from gross

income to the extent permitted by § 126.

See § 126(b)(1) and § 16A.126–1 to determine what portion, if any, of the cost-share

payments is excludable from gross income

under § 126.

DRAFTING INFORMATION

The principal author of this revenue ruling is Nicole R. Cimino of the Office of Associate Chief Counsel (Passthroughs and

Special Industries). For further information regarding this revenue ruling, contact Ms. Cimino at (202) 622–3120 (not a

toll-free call).

LAW AND ANALYSIS

Under § 126(a), gross income does not

include the excludable portion of payments

received under certain conservation programs set forth in § 126(a)(1) through (8).

Under § 126(a)(9), a program affecting

“small watersheds” that is administered by

the Secretary of Agriculture also is eligible for § 126 treatment if the Commissioner determines that the program is

substantially similar to the type of pro-

302

26 CFR 16A.126–1: Certain cost-sharing payments

— In general (Temporary).

Cost-share payments; AMA. The Agricultural Management Assistance Program (AMA) is substantially similar to the

type of programs described in sections

126(a)(1) through (8) within the meaning

of section 126(a)(9) of the Code. All or a

portion of cost-share payments received under the AMA program is eligible for exclu-

January 27, 2003

sion from gross income to the extent permitted by section 126.

Rev. Rul. 2003–15

ISSUE

Is the Agricultural Management Assistance (AMA) program substantially similar to the type of programs described in

§ 126 (a)(1) through (8) of the Internal Revenue Code, so that the AMA program is

within the scope of § 126(a)(9) and, thereby,

cost-share payments received under the

AMA program are eligible for exclusion

from gross income to the extent permitted by § 126?

grams described in §§ 126(a)(1) through (8).

See § 16A.126–1(d)(3) of the temporary Income Tax Regulations for the definition of

“small watershed.”

Once the Commissioner has determined

that a program is substantially similar to the

types of programs described in § 126(a)(1)

through (8), taxpayers receiving cost-share

payments under that program must determine what portion of the cost-share payments is excludable from gross income

under § 126. See § 126(b)(1), and

§ 16A.126–1 relating to the partial exclusion for certain cost-share payments to determine what portion of the cost-share

payments is excludable from gross income

under § 126.

FACTS

HOLDING

The AMA program, authorized under the

provisions of Title I of the Agricultural Risk

Protection Act of 2000, Pub. L. No. 106–

224, 114 Stat. 358, is a voluntary program that provides cost-share assistance to

agricultural producers to address threats to

soil, water, and related natural resources by

incorporating certain conservation practices into their farming operations. An agricultural producer who participates in the

AMA program enters into a 5 to 10 year

cost-share agreement with the Department

of Agriculture pursuant to which the agricultural producer agrees to implement eligible conservation practices in return for

cost-share payments in the amount of 75

percent of the cost of the eligible practice, with a limit of $50,000 per person for

any fiscal year. The total cost-share payments paid per person over the course of

the contract cannot exceed $150,000.

The Secretary of Agriculture has determined that cost-share payments under the

AMA program are primarily for the purpose of conservation.

The AMA program is substantially similar to the type of programs described in

§§ 126(a)(1) through (8) within the meaning of § 126(a)(9). All or a portion of costshare payments received under the AMA

program is eligible for exclusion from gross

income to the extent permitted by § 126.

See § 126(b)(1) and § 16A.126–1 to determine what portion, if any, of the cost-share

payments is excludable from gross income

under § 126.

LAW AND ANALYSIS

Under § 126(a), gross income does not

include the excludable portion of payments

received under certain conservation programs set forth in § 126(a)(1) through (8).

Under § 126(a)(9), a program affecting

“small watersheds” that is administered by

the Secretary of Agriculture also is eligible for § 126 treatment if the Commissioner determines that the program is

substantially similar to the type of pro-

January 27, 2003

DRAFTING INFORMATION

The principal author of this revenue ruling is Nicole R. Cimino of the Office of Associate Chief Counsel (Passthroughs and

Special Industries). For further information regarding this revenue ruling, contact Ms. Cimino at (202) 622–3120 (not a

toll-free call).

Section 402.—Taxability of

Beneficiary of Employees’

Trust

Pursuant to section 644 of the Economic Growth

and Tax Relief Reconciliation Act of 2001, a revenue procedure provides a method for obtaining a

waiver from the 60-day rollover requirement of section 402(c)(3)(A) of the Internal Revenue Code. See

Rev. Proc. 2003–16, page 359.

Section 408.—Individual Retirement Accounts

Pursuant to section 644 of the Economic Growth

and Tax Relief Reconciliation Act of 2001, a revenue procedure provides a method for obtaining a

waiver from the 60-day rollover requirement of section 408(d)(3)(A) and (D) of the Internal Revenue

Code. See Rev. Proc. 2003–16, page 359.

Section 451.—General Rule

for Taxable Year of Inclusion

26 CFR 1.451–1: General rule for taxable year of inclusion.

Beneficiaries of trusts for the receipt of gaming

revenues under the Indian Gaming Regulatory Act for

the benefit of minors or legal incompetents that conform to the procedures of this revenue procedure will

not be required to include amounts in gross income

when transferred to, or earned by, the trust under the

economic benefit doctrine. Rather, beneficiaries will

include amounts in income when actually or constructively received. See Rev. Proc. 2003–14, page 319.

Section 472.—Last-in, First-out

Inventories

26 CFR 1.472–1: Last-in, first-out inventories.

Section 143.—Mortgage Revenue Bonds: Qualified Mortgage Bond and Qualified

Veterans’ Mortgage Bond

LIFO; price indexes; department

stores. The November 2002 Bureau of Labor Statistics price indexes are accepted for

use by department stores employing the retail inventory and last-in, first-out inventory methods for valuing inventories for tax

years ended on, or with reference to, November 30, 2002.

26 CFR 6a.103A–2: Qualified mortgage bond.

Rev. Rul. 2003–9

The qualified census tracts for the states and the

District of Columbia are set forth for use in determining the portion of loans required to be placed in

targeted areas under section 143(h). See Rev. Proc.

2003–15, page 321.

The following Department Store Inventory Price Indexes for November 2002 were

issued by the Bureau of Labor Statistics.

The indexes are accepted by the Internal

Revenue Service, under § 1.472–1(k) of the

Income Tax Regulations and Rev. Proc. 86–

46, 1986–2 C.B. 739, for appropriate ap-

303

2003–4 I.R.B.

plication to inventories of department stores

employing the retail inventory and lastin, first-out inventory methods for tax years

ended on, or with reference to, November 30, 2002.

The Department Store Inventory Price

Indexes are prepared on a national basis and

include (a) 23 major groups of departments, (b) three special combinations of the

major groups — soft goods, durable goods,

and miscellaneous goods, and (c) a store total, which covers all departments, including some not listed separately, except for

the following: candy, food, liquor, tobacco,

and contract departments.

BUREAU OF LABOR STATISTICS, DEPARTMENT STORE

INVENTORY PRICE INDEXES BY DEPARTMENT GROUPS

(January 1941 = 100, unless otherwise noted)

Nov. 2001

Nov. 2002

Percent Change

from Nov. 2001 to

Nov. 20021

Piece Goods ..............................................................................

Domestics and Draperies ..........................................................

Women’s and Children’s Shoes ...............................................

Men’s Shoes..............................................................................

Infants’ Wear.............................................................................

Women’s Underwear.................................................................

Women’s Hosiery......................................................................

Women’s and Girls’ Accessories..............................................

Women’s Outerwear and Girls’ Wear ......................................

Men’s Clothing .........................................................................

Men’s Furnishings ....................................................................

Boys’ Clothing and Furnishings...............................................

Jewelry ......................................................................................

Notions ......................................................................................

Toilet Articles and Drugs..........................................................

Furniture and Bedding ..............................................................

Floor Coverings ........................................................................

Housewares ...............................................................................

Major Appliances ......................................................................

Radio and Television ................................................................

Recreation and Education2 .......................................................

Home Improvements2 ...............................................................

Auto Accessories2 .....................................................................

492.1

597.2

659.0

877.2

641.4

574.5

355.0

562.2

385.3

582.7

625.4

490.1

907.3

806.5

979.8

629.5

627.3

762.5

226.5

52.3

88.4

124.2

110.4

473.3

571.3

652.4

899.2

622.7

551.8

345.3

559.1

373.5

572.1

603.6

461.3

871.7

793.1

972.5

622.2

600.6

738.6

221.6

47.5

84.6

125.2

111.7

-3.8

-4.3

-1.0

2.5

-2.9

-4.0

-2.7

-0.6

-3.1

-1.8

-3.5

-5.9

-3.9

-1.7

-0.7

-1.2

-4.3

-3.1

-2.2

-9.2

-4.3

0.8

1.2

Groups 1 – 15: Soft Goods...................................................................

Groups 16 – 20: Durable Goods ..........................................................

Groups 21 – 23: Misc. Goods2 .............................................................

592.1

418.8

97.6

575.9

404.5

95.4

-2.7

-3.4

-2.3

Store Total3................................................................................

528.0

513.0

-2.8

Groups

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

1

Absence of a minus sign before the percentage change in this column signifies a price increase.

Indexes on a January 1986=100 base.

3

The store total index covers all departments, including some not listed separately, except for the following: candy, food, liquor, tobacco, and contract departments.

2

DRAFTING INFORMATION

The principal author of this revenue ruling is Michael Burkom of the Office of Associate Chief Counsel (Income Tax and

2003–4 I.R.B.

Accounting). For further information regarding this revenue ruling, contact

Mr. Burkom at (202) 622–7718 (not a tollfree call).

304

January 27, 2003

Section 507.—Termination of

Private Foundation Status

26 CFR 1.507–1, 1.507–2, 1.507–3, 1.507–4, 1.507–7:

Special rules; Transfers to publicly supported organizations; Liability in case of transfers.

(Also §§ 4940, 4941, 4942, 4943, 4944, 4945;

53.4940–1, 53.4941(a)–1, 53.4942(a)–3.)

Transfers of assets. This ruling describes the responsibilities of a private foundation relating to section 507 and chapter

42 (sections 4940–4945) of the Code when

it transfers all of its assets to one or more

public charities described in sections

509(a)(1), 509(a)(2), or 509(a)(3).

Rev. Rul. 2003–13

ISSUES

If a private foundation distributes all of

its net assets to one or more public charities described in § 509(a)(1), § 509(a)(2) or

§ 509(a)(3) of the Internal Revenue Code

under the facts described below:

1. Has the private foundation terminated its foundation status and is the private foundation liable for tax under

§ 507(c)?

2. What are the consequences of the distribution under:

(a) § 4940;

(b) § 4941;

(c) § 4942;

(d) § 4943;

(e) § 4944; and

(f) § 4945?

FACTS

Each of the following situations assumes that: (i) the private foundation has

not committed either willful repeated acts

(or failures to act), or a willful and flagrant act (or failure to act), giving rise to

liability for tax under chapter 42; (ii) the

private foundation is not an operating foundation within the meaning of § 4942(j)(3);

(iii) the transferee organizations are not controlled (directly or indirectly) by the private foundation or by one or more

disqualified persons with respect to the private foundation; (iv) the private foundation has not previously terminated (or had

terminated) its private foundation status; (v)

the transferee organization is a public charity described in § 509(a)(1), § 509(a)(2), or

§ 509(a)(3) that retains its public charity

January 27, 2003

classification for at least three years following the date of the distribution; (vi) the

private foundation does not impose any material restrictions as described in § 1.507–

2(a)(8)(i) on the transferred assets, and (vii)

the private foundation retains sufficient income or assets to pay any chapter 42 taxes,

such as the tax imposed under § 4940 for

the portion of the taxable year prior to the

distribution, and pays such taxes when due.

Situation 1. P is recognized as exempt

from federal income tax under § 501(c)(3)

and is classified as a private foundation under § 509(a). Pursuant to a plan of dissolution, P distributes all its net assets to X.

X is recognized as exempt from federal income tax under § 501(c)(3) and is not

a private foundation because X is described

in § 509(a)(1) (i.e. an organization described in § 170(b)(1)(A) (other than clauses

(vii) and (viii))). X has been in existence

and so described for a continuous period of

at least 60 calendar months immediately

preceding the distribution. After P distributes all its net assets, P files articles of dissolution with the appropriate state authority.

Situation 2. The facts are the same as

Situation 1, except that X has been in existence for fewer than 60 calendar months

immediately preceding the distribution, and

was not formed as a result of a consolidation of other organizations described in

§ 509(a)(1) that would have been in existence for a continuous period of 60 calendar months prior to the distribution had they

continued in existence.

Situation 3. The facts are the same as

Situation 1, except that X is an organization described in § 509(a)(2).

Situation 4. The facts are the same as

Situation 1, except that X is an organization described in § 509(a)(3).

LAW

Section 507(a) provides that, except as

provided in § 507(b), the status of any organization as a private foundation shall be

terminated only if (1) such organization notifies the Secretary of its intent to accomplish such termination, or (2) with respect

to such organization, there have been either willful repeated acts (or failures to act),

or a willful and flagrant act (or failure to

act), giving rise to a liability for tax under chapter 42, and the Secretary notifies

such organization that it is liable for the tax

imposed by § 507(c). Under § 507(a)(1) and

(2), the organization’s private foundation

305

status is terminated when the organization pays the tax imposed by § 507(c) or

the entire amount of such tax is abated under § 507(g).

Section 507(b)(1)(A) provides that the

private foundation status of any organization, with respect to which there have not

been either willful repeated acts (or failures to act) or a willful and flagrant act (or

failure to act) giving rise to a liability for

tax under chapter 42, shall be terminated,

if the private foundation distributes all its

net assets to one or more organizations described in § 170(b)(1)(A) (other than clauses

(vii) and (viii)) each of which has been in

existence and so described for a continuous period of at least 60 calendar months

immediately preceding such distribution.

Section 507(c) imposes a tax on each organization whose private foundation status is voluntarily or involuntarily terminated

under § 507(a). The tax imposed is the

lower of (1) the amount that the private

foundation substantiates by adequate records

or other corroborating evidence as the aggregate tax benefit resulting from the

§ 501(c)(3) status of such foundation, or (2)

the value of the net assets of the foundation.

Section 1.507–1(b)(1) provides that in

order to terminate its private foundation status under § 507(a)(1), an organization must

submit a statement to the Manager, Exempt Organizations Determinations, Tax Exempt and Government Entities Division

(TE/GE), of its intent to terminate its private foundation status under § 507(a)(1).

Such statement must set forth in detail the

computation and amount of tax imposed under § 507(c). Unless the organization requests abatement of such tax pursuant to

§ 507(g), full payment of such tax must be

made at the time the statement is filed under § 507(a)(1). An organization may request the abatement of all of the tax

imposed under § 507(c), or may pay any

part thereof and request abatement of the

unpaid portion of the amount of tax assessed. If the organization requests abatement of the tax imposed under § 507(c) and

such request is denied, the organization must

pay such tax in full upon notification by the

Service that such tax will not be abated.

Section 1.507–1(b)(7) provides that a

transfer of all the assets of a private foundation does not result in a termination of

the transferor private foundation under

§ 507(a), unless the transferor private foun-

2003–4 I.R.B.

dation elects to terminate pursuant to

§ 507(a)(1), or § 507(a)(2) is applicable.

Section 1.507–2(a)(1) provides that under § 507(b)(1)(A), a private foundation,

may terminate its private foundation status by distributing all its net assets to one

or more organizations described in

§ 170(b)(1)(A) (other than clauses (vii) and

(viii)) each of which has been in existence and so described for a continuous period of at least 60 calendar months

immediately preceding such distribution. As

§ 507(a) does not apply to such a termination, a private foundation that makes such

a termination is not required to give the notification described in § 507(a)(1). A private foundation that terminates its private

foundation status under § 507(b)(1)(A) does

not incur tax under § 507(c) and, therefore, no abatement of such tax under

§ 507(g) is required.

Section 1.507–2(a)(4) provides that an

organization that terminates its private foundation status pursuant to § 507(b)(1)(A) will

remain subject to the provisions of chapter 42 until it distributes all its net assets

to distributee organizations described in

§ 507(b)(1)(A).

Section 1.507–2(a)(7) provides that a private foundation will meet the requirement

that it “distribute all of its net assets” within

the meaning of § 507(b)(1)(A) only if it

transfers all its right, title, and interest in

and to all its net assets to one or more organizations referred to in § 507(b)(1)(A).

Section 1.507–2(a)(8)(i) provides, in part,

that to effectuate a transfer of “all of its

right, title, and interest in and to all of net

assets,” a transferor private foundation may

not impose any material restriction or condition that prevents the transferee organization from freely and effectively employing

the transferred assets, or the income derived therefrom, in furtherance of its exempt purposes.

Section 1.507–3(e) provides that if a private foundation transfers all or part of its

assets to one or more organizations described in § 509(a)(1), (2), or (3) and, within

a period of 3 years from the date of such

transfers, one or more of the transferee organizations lose their § 509(a)(1), (2), or (3)

status and become private foundations, then

the transfer will be treated as a transfer described in § 507(b)(2) and the provisions of

§ 1.507–3(a) shall be treated as applying to

such transferee from the date any such

transfer was made to it.

2003–4 I.R.B.

Section 1.507–4(b) provides that private foundations that make transfers described in § 507(b)(1)(A) or (2) are not

subject to the tax imposed under § 507(c)

with respect to such transfers unless the provisions of § 507(a) become applicable.

Section 1.507–7(a) provides that the

value of net assets for purposes of § 507(c)

shall be determined at whichever time such

value is higher: (1) the first day action is

taken by the organization that culminates

in its ceasing to be a private foundation, or

(2) the date it ceases to be a private foundation.

Section 1.507–7(b)(1) provides that in

the case of a termination under § 507(a)(1),

the date of action referred to in § 1.507–

7(a)(1) shall be the date the terminating

foundation gives the notification described

in § 507(a)(1).

Section 4940(a) generally imposes an excise tax on a private foundation’s net investment income for the taxable year.

Section 4940(c)(1) defines net investment income as the amount by which the

sum of the gross investment income and the

capital gain net income exceeds the deductions allowed under 4940(c)(3).

Section 53.4940–1(f)(1) provides that a

distribution of property for purposes described in § 170(c)(1) or (2)(B) that is a

qualifying distribution under § 4942 shall

not be treated as a sale or disposition of

property.

Section 4941(a)(1) imposes a tax on each

act of self-dealing between a disqualified

person and a private foundation. Section

53.4946–1(a)(8) provides that, for purposes of § 4941, the term “disqualified person” shall not include any organization

described in § 501(c)(3) (other than an organization described in § 509(a)(4)).

Section 4942(a) generally imposes a tax

on the undistributed income of a private

foundation (other than an operating foundation under § 4942(j)(3)) for any taxable

year, that has not been distributed before the

first day of the second (or any succeeding) taxable year following such taxable

year.

Section 4942(c) defines “undistributed

income” for any taxable year as the amount

by which the distributable amount for such

taxable year exceeds the qualifying distributions made out of such distributable

amount for such taxable year.

Section 4942(d) defines “distributable

amount” as the amount equal to the sum of

306

the minimum investment return, plus certain other amounts, reduced by the sum of

the taxes imposed on such private foundation for the taxable year under subtitle A

and § 4940.

Section 4942(g)(1)(A) defines “qualifying distribution” as any amount (including that portion of reasonable and necessary

administrative expenses) paid to accomplish one or more purposes described in

§ 170(c)(2)(B) other than a contribution to

(i) an organization controlled directly or indirectly by the foundation or by one or

more disqualified persons with respect to

the foundation, unless certain requirements

are satisfied, or (ii) any private foundation that is not an operating foundation under § 4942(j)(3), unless certain requirements

are satisfied.

Section 53.4942(a)–3(a)(3) provides, in

part, that control of a donee organization

is determined without regard to any conditions imposed upon the donee as part of

the distribution or any other restrictions accompanying the distribution as to the manner the distribution is to be used, unless

such conditions or restrictions are described

in § 1.507–2(a)(8).

Section 4943(a)(1) imposes a tax on the

“excess business holdings” (as defined in

§ 4943(c)) of any private foundation in a

business enterprise.

Section 4944(a)(1) imposes a tax on any

amount invested by a private foundation in

a manner that jeopardizes the carrying out

of any of the foundation’s exempt purposes.

Section 4945 imposes a tax on any “taxable expenditure” (as defined in § 4945(d))

made by a private foundation.

Section 4945(d)(4)(A) states that the term

“taxable expenditure” includes any amount

paid or incurred by a private foundation as

a grant to an organization unless the organization is described in paragraph (1), (2),

or (3) of § 509(a) or is an exempt operating foundation (as defined in § 4940(d)(2)).

Section 4945(h) provides that the expenditure responsibility referred to in

§ 4945(d)(4) means a private foundation is

responsible to exert all reasonable efforts

and to establish adequate procedures to (1)

see that the grant is spent solely for the purpose for which made, (2) obtain full and

complete reports from the grantee on how

the funds are spent, and (3) make full and

detailed reports with respect to such expenditures to the Secretary.

January 27, 2003

Section 4946 provides that the term ‘disqualified person’ includes a substantial contributor to a private foundation.

In Rev. Rul. 75–289, 1975–2 C.B. 215,

a private foundation defined in § 509 distributed all its net assets to an organization, described in § 170(b)(1)(A)(vi), that

had been in existence for only 20 months.

The organization was formed as a result of

a consolidation of two organizations each

of which would have been an organization described in § 170(b)(1)(A)(vi) and in

existence for a continuous period of 60 calendar months before the distribution had

they continued in existence. The ruling held

that the private foundation had terminated

its private foundation status under

§ 507(b)(1)(A).

ANALYSIS

SECTION 507

Under § 507(b)(1)(A), an organization’s

status as a private foundation is terminated if the organization distributes all its

net assets to one or more organizations described in § 509(a)(1) (i.e., organizations described in § 170(b)(1)(A) (other than in

clauses (vii) and (viii))) each of which has

been in existence and so described for a

continuous period of at least 60 calendar

months immediately preceding the distribution. An organization that terminates its

private

foundation

status

under

§ 507(b)(1)(A) is not required to give notice under § 507(a)(1) and is not subject to

the tax described in § 507(c). See § 1.507–

2(a)(1).

If a private foundation distributes all its

net assets to one or more public charities,

at least one of which is described in

§ 509(a)(1) and has been so described for

fewer than 60 calendar months immediately preceding the distribution or is described in §§ 509(a)(2) or (3), then the rules

of § 507(b)(1)(A) do not apply. In this case,

the distributions do not cause the private

foundation to terminate its private foundation status. See § 1.507–1(b)(7). The private foundation may choose to terminate its

private foundation status by submitting a

statement of its intent to terminate its private foundation status under § 507(a)(1) to

the Manager, Exempt Organizations Determinations, Tax Exempt and Government Entities Division (TE/GE). See

§ 1.507–1(b)(1). Such statement must set

January 27, 2003

forth in detail the computation and amount

of tax imposed under § 507(c). See § 1.507–

1(b)(1). If the private foundation has no net

assets on the day it provides notice (e.g.,

it provides notice at least one day after it

distributes all its net assets), the tax imposed by § 507(c) will be zero. See

§ 507(a)(1) and § 507(c); and §§ 1.507–

7(a) and (b). A submission of a Form

990–PF marked “Final” does not constitute notice of termination of private foundation status under § 507(a)(1). See § 1.507–

1(b)(1).

In Situation 1, P transfers all its net assets to X, which is described in § 509(a)(1)

and has been so described for a continuous period of at least 60 calendar months

immediately preceding the distribution. Accordingly, the distribution is subject to the

rules of § 507(b)(1)(A), rather than the rules

of § 507(a)(1). See § 507(b)(1)(A) and

§ 1.507–2(a)(1).

Because the distribution is described in

§ 507(b)(1)(A), P’s status as a private foundation is terminated upon the distribution

and P is not subject to the tax described in

§ 507(c). See § 1.507–2(a)(1) and § 1.507–

4(b). P is not required to give notice under § 507(a)(1) to terminate its private

foundation status.

In Situation 2, X is an organization described in § 509(a)(1) that has been in existence and so described for fewer than 60

calendar months immediately preceding the

distribution. In Situation 3, X is an organization described in § 509(a)(2). In Situation 4, X is an organization described in

§ 509(a)(3). Accordingly, the distributions

in Situations 2, 3, and 4 are not subject to

the rules of § 507(b)(1)(A). See § 507(b)

(1)(A) and § 1.507–2(a)(1).

Because the distributions in Situations

2, 3, and 4 are not described in

§ 507(b)(1)(A), P’s status as a private foundation is not terminated unless it gives notice under § 507(a)(1). See § 1.507–1(b)(1)

and § 1.507–1(b)(7). If P does not provide notice and does not terminate, P is not

subject to the tax under § 507(c).

If P chooses to provide notice, and therefore terminates, it is subject to the tax under § 507(c) on the date it provides notice;

however, if P has no net assets on the day

it provides notice (e.g., it provides notice

at least one day after it distributes all its net

assets), the tax imposed by § 507(c) will be

307

zero. See § 507(a)(1) and § 507(c); and

§§ 1.507–7(a) and (b).

SECTION 4940

In Situations 1, 2, 3, and 4, the distributions do not constitute an investment of

P for purposes of § 4940; therefore the distributions do not give rise to net investment income under § 4940(a). See

§ 53.4940–1(f)(1).

SECTION 4941

In Situations 1, 2, 3, and 4, the distributions are to § 501(c)(3) organizations,

which are not treated as disqualified persons for purposes of § 4941. See § 53.4946–

1(a)(8). Thus, the distributions do not

constitute self-dealing transactions and are

not subject to tax under § 4941(a)(1).

SECTION 4942

In Situations 1, 2, 3, and 4, the distributions are paid to accomplish one or more

purposes described in § 170(c)(2)(B) and are

not made to organizations controlled directly or indirectly by P or by one or more

disqualified persons with respect to P. Thus,

the distributions are qualifying distributions for purposes of § 4942(g)(1)(A).

SECTION 4943

In Situations 1, 2, 3, and 4, the distributions do not cause P to have excess business holdings subject to tax under § 4943(a).

SECTION 4944

In Situations 1, 2, 3, and 4, the distributions do not constitute investments for

purposes of § 4944 and therefore are not

jeopardizing investments subject to tax under § 4944(a)(1).

SECTION 4945

In Situations 1, 2, 3, and 4, the distributions are to organizations described in

§§ 509(a)(1), (2), or (3). Therefore, the distributions are not taxable expenditures under § 4945. See § 4945(d)(4)(A). P will not

be required to exercise expenditure responsibility with respect to the distributions under § 4945(d)(4) or (h).

HOLDINGS

Under the facts of the ruling:

2003–4 I.R.B.

1. A private foundation that distributes all its net assets to one or more organizations described in § 509(a)(1) (i.e.,

organizations described in § 170(b)(1)(A)

(other than in clauses (vii) and (viii))) each

of which has been in existence and so described for a continuous period of at least

60 calendar months immediately preceding the distribution terminates its private

foundation status under § 507(b)(1)(A). The

private foundation is not required to file a

notice of termination under § 507(a)(1) and

is not liable for tax under § 507(c).

A private foundation that distributes all

its net assets to one or more public charities, at least one of which is described in

§ 509(a)(1) and has been so described for

fewer than 60 calendar months immediately preceding the distribution or is described in §§ 509(a)(2) or (3), does not

terminate its private foundation status unless it gives notice under § 507(a)(1). If the

private foundation does not provide notice and does not terminate, the private

foundation is not subject to tax under

§ 507(c). If the private foundation chooses

to provide notice, and therefore terminates,

it is subject to the tax under § 507(c) on the

date notice is given; however, if the private foundation has no net assets on the day

it provides notice (e.g., it provides notice

at least one day after it distributes all its net

assets), the tax imposed by § 507(c) will be

zero.

If the private foundation elects to terminate its private foundation status under

§ 507(a)(1), it must submit a statement to

the Manager, Exempt Organizations Determinations, Tax Exempt and Government Entities Division (TE/GE), of its intent

to terminate its private foundation status under § 507(a)(1). Such statement must set

forth in detail the computation and amount

of tax imposed under § 507(c). The submission of a Form 990–PF marked “Final” does not constitute notice of

termination of private foundation status under § 507(a)(1).

2. (a) The distribution does not give rise

to net investment income and is not subject to tax under § 4940(a).

(b) The distribution does not constitute a self-dealing transaction and is not subject to tax under § 4941(a)(1).

(c) The distribution constitutes a qualifying distribution for the transferor private foundation under § 4942.

2003–4 I.R.B.

(d) The distribution does not result in excess business holdings and is not subject to

tax under § 4943(a).

(e) The distribution does not constitute

an investment jeopardizing the transferor

private foundation’s exempt purposes and

is not subject to tax under § 4944(a)(1).

(f) The distribution is not a taxable expenditure described in § 4945.

DRAFTING INFORMATION

The principal author of this revenue ruling is Theodore R. Lieber of the Exempt

Organizations, Tax Exempt and Government Entities Division. For further information regarding this revenue ruling, contact

Theodore R. Lieber at (202) 283–8999 (not

a toll-free call).

Section 671.—Trust Income,

Deductions, and Credits Attributable to Grantors and

Others as Substantial Owners

Section 4940.—Excise Tax

Based on Investment Income

Responsibilities of a private foundation relating to

section 507 and chapter 42 (sections 4940–4945) when

it transfers all of its assets to one or more organizations described in section 509(a). See Rev. Rul. 2003–

13, page 305.

Section 4941.—Taxes on

Self-Dealing

Responsibilities of a private foundation relating to

section 507 and chapter 42 (sections 4940–4945) when

it transfers all of its assets to one or more organizations described in section 509(a). See Rev. Rul. 2003–

13, page 305.

Section 4942.—Taxes on

Failure to Distribute Income

Responsibilities of a private foundation relating to

section 507 and chapter 42 (sections 4940–4945) when

it transfers all of its assets to one or more organizations described in section 509(a). See Rev. Rul. 2003–

13, page 305.

26 CFR 1.671–1: Grantors and others treated as substantial owners; scope

The Internal Revenue Service will treat an Indian tribe as the grantor and owner of a trust for the

receipt of gaming revenues under the Indian Gaming Regulatory Act (25 U.S.C. sections 2701–2721)

(IGRA) for the benefit of minors or legal incompetents if the trust conforms to the procedures of this

revenue procedure. See Rev. Proc. 2003–14, page 319.

Section 1234B.—Gains or

Losses From Securities Futures Contracts

Section 4943.—Taxes on Excess Business Holdings

Responsibilities of a private foundation relating to

section 507 and chapter 42 (sections 4940–4945) when

it transfers all of its assets to one or more organizations described in section 509(a). See Rev. Rul. 2003–

13, page 305.

Section 4944.—Taxes on Investments Which Jeopardize

Charitable Purpose

Until further notice, the Internal Revenue Service will not require information reporting under section 6045 with respect to securities futures contracts.

See Notice 2003–8, page 310.

Responsibilities of a private foundation relating to

section 507 and chapter 42 (sections 4940–4945) when

it transfers all of its assets to one or more organizations described in section 509(a). See Rev. Rul. 2003–

13, page 305.

Section 1256.—Section 1256

Contracts Marked to Market

Section 4945.—Taxes on Taxable Expenditures

Until further notice, the Internal Revenue Service will not require information reporting under section 6045 with respect to securities futures contracts.

See Notice 2003–8, page 310.

Responsibilities of a private foundation relating to

section 507 and chapter 42 (sections 4940–4945) when

it transfers all of its assets to one or more organizations described in section 509(a). See Rev. Rul. 2003–

13, page 305.

308

January 27, 2003

Section 6045.—Returns of

Brokers

26 CFR 1.6045–1: Returns of information of brokers and barter exchanges.

Until further notice, the Internal Revenue Service will not require information reporting under section 6045 with respect to securities futures contracts.

See Notice 2003–8, page 310.

January 27, 2003

309

2003–4 I.R.B.

Part III. Administrative, Procedural, and Miscellaneous

Weighted Average Interest

Rate Update

Notice 2003–7

Sections 412(b)(5)(B) and 412(l)(7)(C)(i)

of the Internal Revenue Code provide that

the interest rates used to calculate current

liability for purposes of determining the full

funding limitation under § 412(c)(7) and the

required contribution under § 412(l) must

be within a permissible range around the

weighted average of the rates of interest on

30-year Treasury securities during the fouryear period ending on the last day before

the beginning of the plan year.

Notice 88–73, 1988–2 C.B. 383, provides guidelines for determining the

weighted average interest rate and the resulting permissible range of interest rates

used to calculate current liability for the purpose of the full funding limitation of

§ 412(c)(7) of the Code.

Section 417(e)(3)(A)(ii)(II) of the Code

defines the applicable interest rate, which

must be used for purposes of determining

the minimum present value of a participant’s benefit under § 417(e)(1) and (2), as

the annual rate of interest on 30-year Treasury securities for the month before the date

of distribution or such other time as the Secretary may by regulations prescribe. Section 1.417(e)–1(d)(3) of the Income Tax

Regulations provides that the applicable interest rate for a month is the annual interest rate on 30-year Treasury securities as

specified by the Commissioner for that

month in revenue rulings, notices or other

guidance published in the Internal Revenue Bulletin.

The rate of interest on 30-year Treasury Securities for December 2002 is 4.92

percent. Pursuant to Notice 2002–26,

2002–15 I.R.B. 743, the Service has determined this rate as the monthly average

of the daily determination of yield on the

30-year Treasury bond maturing in February 2031.

Section 405 of the Job Creation and

Worker Assistance Act of 2002 amended

§ 412(l)(7)(C) of the Code to provide that

for plan years beginning in 2002 and 2003

the permissible range is extended to 120

percent.

The following rates were determined for

the plan years beginning in the month

shown below.

Month

Year

Weighted

Average

90% to 110%

Permissible

Range

90% to 120%

Permissible

Range

January

2003

5.54

4.98 to 6.09

4.98 to 6.65

Drafting information

Background

The principal author of this notice is

Todd Newman of the Employee Plans, Tax

Exempt and Government Entities Division. For further information regarding this

notice, please contact the Employee Plans’

taxpayer assistance telephone service at

1–877–829–5500 (a toll-free number), between the hours of 8:00 a.m. and 6:30 p.m.

Eastern time, Monday through Friday.

Mr. Newman may be reached at 1–202–

283–9888 (not a toll-free number).

The Commodity Futures Modernization Act of 2000 (the “Act”) authorized

trading in securities futures contracts

(“SFCs”). The Securities Exchange Act of

1934, as amended by the Act, defines a SFC

generally as a contract of sale for future delivery of a single security or a narrowbased security index. See 15 U.S.C.

§ 78c(a)(55)(A) (2000).

Section 6045(a) of the Internal Revenue Code provides that brokers, when required by the Secretary, must make a return,

in accordance with such regulations as the

Secretary may prescribe, regarding each of

the broker’s customers, with such details regarding gross proceeds and other information as the Secretary may by forms or

regulations require.

Information Reporting for

Securities Futures Contracts

Notice 2003–8

Until further notice, the Internal Revenue Service will not require information

reporting under Code section 6045 with respect to securities futures contracts.

2003–4 I.R.B.

Deferral of Potential Information

Reporting Obligations

The Service will issue published guidance identifying the circumstances, if any,

in which brokers must file information returns under section 6045 regarding SFC in-

310

vestments or transactions of the brokers’

customers. Depending on the conclusions

reached, this guidance may take the form

of regulations, of a notice published in the

Federal Register, or of a publication in the

Internal Revenue Bulletin. Pending this

guidance, the Service will not require information reporting under section 6045 with

respect to SFCs. Thus, to the extent current law can be interpreted as requiring brokers to prepare information returns under

section 6045 with respect to SFCs, no such

returns will be required pending issuance

of the guidance described above. This Notice 2003–8 does not affect informationreporting obligations, if any, with respect

to SFCs under any other Code section.

For further information regarding this notice, contact Nathan Rosen of the Office of

the Associate Chief Counsel (Procedure &

Administration), Administrative Provisions and Judicial Practice Division, at (202)

622–4910 (not a toll-free call).

January 27, 2003

Offshore Voluntary

Compliance Initiative

Rev. Proc. 2003–11

SECTION 1. PURPOSE

.01 This revenue procedure describes the

Internal Revenue Service’s Offshore Voluntary Compliance Initiative for taxpayers that have underreported their United

States income tax liability through financial arrangements that in any manner rely

on the use of offshore payment cards (including credit, debit, or charge cards) issued by banks in foreign jurisdictions or

offshore financial arrangements (including arrangements with foreign banks,

financial institutions, corporations, partnerships, trusts, or other entities). This revenue procedure applies to tax years ending

after December 31, 1998, and to tax years

ending before that date to the extent provided in section 8 of this revenue procedure.

.02 The Service has determined that

some taxpayers have used offshore payment cards or offshore financial arrangements to avoid United States income taxes.

The Offshore Voluntary Compliance Initiative described in this revenue procedure affords taxpayers that have used these

devices an opportunity to avoid certain penalties that would otherwise apply.

SECTION 2. SCOPE OF THE

OFFSHORE VOLUNTARY

COMPLIANCE INITIATIVE

.01 With respect to unreported income

or false deductions associated with the use

of offshore payment cards or offshore financial arrangements, the Service:

(1) will not impose the civil fraud penalty under section 6663, the fraudulent failure to file penalty under section 6651(f), and

information return civil penalties for failure to comply with sections 6035, 6038,

6038A, 6038B, 6038C, 6039F, 6046,

6046A, and 6048; and

(2) will, in appropriate circumstances,

impose the delinquency penalty under section 6651, the accuracy–related penalty under section 6662, or both penalties against

taxpayers that participate in the Offshore

Voluntary Compliance Initiative.

.02 The Financial Crimes Enforcement

Network (FinCEN) will not impose civil

January 27, 2003

penalties for failure to timely file a Report of Foreign Bank and Financial Accounts (FBAR) against eligible taxpayers

that participate in the Offshore Voluntary

Compliance Initiative. For more information, see FinCEN’s website at www.

fincen.gov and look under Regulatory/BSA

Guidance.

.03 The Service will treat the request to

participate in the Offshore Voluntary Compliance Initiative as a request to make a voluntary disclosure pursuant to its Voluntary

Disclosure Practice as described in

IR–2002–135, Dec. 11, 2002. See also Treasury Directive 15–41, dated December 1,

1992 (delegating to the Service the authority to investigate the criminal FBAR penalty).

.04 Any contact or communication by

the Service with a taxpayer regarding the

taxpayer’s request to participate in the Offshore Voluntary Compliance Initiative is not

an examination of books and records for

purposes of section 7605(b) or Rev. Proc.

94–68, 1994–2 C.B. 803. The Service may

audit the returns of any taxpayer that participates in the Offshore Voluntary Compliance Initiative, and may propose

adjustments for items that are not resolved

under the Offshore Voluntary Compliance

Initiative.

SECTION 3. APPLICATION PROCESS

.01 Taxpayers that want to participate in

the Offshore Voluntary Compliance Initiative must, on or before April 15, 2003, send

a written request to participate in the Offshore Voluntary Compliance Initiative to the

National Offshore Voluntary Compliance

Initiative Coordinator. Taxpayers may send

the written request via the United States

Postal Service to P.O. Box 480, Bensalem, PA 19020; by private delivery service to 11601 Roosevelt Blvd., Philadelphia,

PA 19154, Attn.: DP S6005; or by email to

VCI@irs.gov. The written request must:

(1) state that the taxpayer requests to

participate in the Offshore Voluntary Compliance Initiative and is a taxpayer eligible to participate in the program, as

described in section 4 of this revenue procedure;

(2) state the taxpayer’s name, taxpayer

identification number, current address, and

daytime telephone number;

(3) state the name and employer identification number of any entity (including

but not limited to corporations, partner-

311

ships, trusts, and estates) that the taxpayer

caused to use offshore payment cards or offshore financial arrangements, or that was

the source of funds that the taxpayer caused

to be transferred to a foreign jurisdiction;

(4) state the name and office location of

any Service official whom the taxpayer has

previously contacted about making a voluntary disclosure; and

(5) include complete information regarding the taxpayer’s introduction to offshore payment cards and offshore financial

arrangements, including the following:

(a) the names, addresses, and telephone numbers of any parties who promoted or solicited the taxpayer’s use of

offshore payment cards or offshore financial arrangements;

(b) if known to the taxpayer, the

names, addresses, and telephone numbers

of any parties who advised or assisted the

promoters or solicitors in marketing offshore payment cards or offshore financial

arrangements; and

(c) all promotional materials, transactional materials, and other related correspondence and documentation that the

taxpayer at any time received regarding offshore payment cards or offshore financial

arrangements. Taxpayers that send a written request to participate in the Offshore

Voluntary Compliance Initiative by email

to VCI@irs.gov must send these materials by mail or private delivery service (to

the addresses provided in subsection .01

above) within five days of the email. These

taxpayers should include with the materials a copy of the email sent to VCI@irs.gov.

SECTION 4. TAXPAYERS THAT ARE

ELIGIBLE TO PARTICIPATE IN THE

OFFSHORE VOLUNTARY

COMPLIANCE INITIATIVE

.01 A taxpayer that has used offshore

payment cards or offshore financial arrangements is eligible to participate in the

Offshore Voluntary Compliance Initiative

if the taxpayer meets the following

conditions:

(1) the taxpayer’s written request to participate in the Offshore Voluntary Compliance Initiative is received before:

(a) the Service has initiated a civil examination or criminal investigation of the

taxpayer, or has notified the taxpayer that

it intends to commence such an examination or investigation;

2003–4 I.R.B.

(b) the Service has received information from a third party (e.g., informant, other

governmental agency, or the media) alerting the Service to the specific taxpayer’s

noncompliance;

(c) the Service has initiated a civil examination or criminal investigation that is

directly related to the specific liability of

the taxpayer; or

(d) the Service has acquired information directly related to the specific liability of the taxpayer from a criminal

enforcement action (e.g., search warrant,

grand jury subpoena);

(2) the taxpayer has not promoted, solicited, or, in any way, facilitated the participation of others (other than members of

the taxpayer’s immediate family, or of individuals from whom the taxpayer did not

receive compensation of more than a nominal amount) in arrangements to avoid taxation by using offshore payment cards,

offshore financial arrangements, or any other

abusive transaction, domestic or offshore,

such as arrangements based on arguments

refuted by the Service in The Truth About

Frivolous Tax Arguments found at

www.irs.gov/pub/irs-utl/friv_tax.pdf;

(3) during the years in which the taxpayer seeks to participate in the Offshore

Voluntary Compliance Initiative, the taxpayer has not derived income from illegal sources, such as income from drug

trafficking; and

(4) during the years in which the taxpayer seeks to participate in the Offshore

Voluntary Compliance Initiative, the taxpayer has not used the offshore payment

cards or offshore financial arrangements to

support or, in any way, facilitate illegal activities not related to taxes.

SECTION 5. ACKNOWLEDGMENT

OF THE TAXPAYER’S REQUEST TO

PARTICIPATE IN THE OFFSHORE

VOLUNTARY COMPLIANCE

INITIATIVE

.01 The Service will acknowledge receipt of the taxpayer’s written request to

participate in the Offshore Voluntary Compliance Initiative within 30 calendar days

of receipt of the request. In its acknowledgment, the Service will advise whether

the taxpayer has been preliminarily determined to be eligible to participate in the

Offshore Voluntary Compliance Initiative

or has been determined to be ineligible to

participate in the Offshore Voluntary Com-

2003–4 I.R.B.

pliance Initiative. A preliminary determination of eligibility will not prevent the

Service from later determining that the taxpayer is not eligible to participate in the Offshore Voluntary Compliance Initiative due

to a failure to comply with the conditions

of section 4.01(2), (3), or (4), section 6, or

section 7 of this revenue procedure.

SECTION 6. ADDITIONAL

REQUIREMENTS THAT A TAXPAYER

MUST SATISFY AFTER THE

SERVICE PRELIMINARILY

DETERMINES THAT THE TAXPAYER

IS ELIGIBLE TO PARTICIPATE IN

THE OFFSHORE VOLUNTARY

COMPLIANCE INITIATIVE

.01 Within 150 calendar days of the date

of the letter informing the taxpayer that the

Service has preliminarily determined that

the taxpayer is eligible to participate in the

Offshore Voluntary Compliance Initiative,

the taxpayer must send the following material to the National Offshore Voluntary

Compliance Initiative Coordinator, via the

United States Postal Service to P.O. Box

480, Bensalem, PA 19020, or by private delivery service to 11601 Roosevelt Blvd.,

Philadelphia, PA 19154, Attn.: DP S6005:

(1) copies of original and amended federal income tax returns for tax periods ending after December 31, 1998, that the

taxpayer previously filed;

(2) copies of any powers of attorney

(Forms 2848) granted by the taxpayer with

respect to tax years in which the taxpayer

requests to participate in the Offshore Voluntary Compliance Initiative;

(3) descriptions of offshore payment

cards and foreign and domestic accounts of

any kind (including the name and address

of the bank or financial institution, the account number, and the date the account was

opened), and descriptions of foreign assets in which the taxpayer has or had any

ownership or beneficial interest or that are

or were controlled by the taxpayer (i.e., the

taxpayer has or had the practical ability to

direct or influence the financial transactions or affairs of an account or entity, or

the use or disposition of an asset, whether

this ability was exercised directly or indirectly through a nominee, agent, power of

attorney, letter of directions, letter of wishes,

or any other device whatsoever) at any time

after December 31, 1998;

(4) descriptions of entities of any kind

(including but not limited to corporations,

312

partnerships, trusts, and estates) and any

nominees through which the taxpayer exercised control over foreign funds, assets,

or investments at any time after December 31, 1998;

(5) descriptions of the source of any foreign funds, assets, or investments owned or

controlled by the taxpayer at any time after December 31, 1998;

(6) all promotional materials, transactional materials, and other related correspondence and documentation regarding

offshore payment cards or offshore financial arrangements received subsequent to the

date the taxpayer submits the request to participate in the Offshore Voluntary Compliance Initiative;

(7) complete and accurate amended or

delinquent original federal income tax returns of the taxpayer for all tax years ending after December 31, 1998, which are

supported by an explanation of previously

unreported income or incorrectly claimed

deductions or credits (whether or not related to offshore payment cards or offshore financial arrangements);

(8) complete and accurate amended or

delinquent original information returns required by sections 6035, 6038, 6038A,

6038B, 6038C, 6039F, 6046, 6046A, and

6048 for which the taxpayer requests relief from penalties; and

(9) complete and accurate FBARs for

tax years ending after December 31, 1998.

(FBAR forms are available by contacting

FinCEN at 800–949–2732 and on FinCEN’s

website, www.fincen.gov.)

.02 Upon the Service’s request, and

within the period of time allowed by the

Service in its request, the taxpayer must provide documentation of the matters described

in section 6.01 paragraphs (3) through (5)

of this revenue procedure, and information regarding all transactions conducted

through the foreign accounts and entities.

.03 Upon the Service’s request, and

within the period of time allowed by the

Service in its request, the taxpayer must provide executed consents or special consents to extend the time to assess tax for

years that the taxpayer requests to participate in the Offshore Voluntary Compliance Initiative.

.04 At the time the taxpayer files the required amended or delinquent original returns, the taxpayer must fully pay the tax

liabilities, including applicable penalties under sections 6651 and 6662, and interest,

January 27, 2003

or make other financial arrangements acceptable to the Service for all years covered by the Offshore Voluntary Compliance

Initiative. In addition, the taxpayer must

fully pay all other unpaid, previously assessed liabilities, or make other financial arrangements acceptable to the Service. For

purposes of this revenue procedure, other

financial arrangements acceptable to the Service shall include the completion and submission of complete financial statements to

the National Offshore Voluntary Compliance Initiative Coordinator at the time

amended or delinquent returns are filed in

compliance with section 6.01 of this revenue procedure. A complete financial statement shall include all assets, domestic and

foreign, in which the taxpayer has an ownership or beneficial interest or over which

the taxpayer has control, whether directly

or indirectly, through a nominee, agent,

power of attorney, letter of directions, letter of wishes, or any other device.

SECTION 7. FINAL

DETERMINATION THAT A

TAXPAYER IS ELIGIBLE TO

PARTICIPATE IN THE OFFSHORE

VOLUNTARY COMPLIANCE

INITIATIVE

.01 After an eligible taxpayer meets the

requirements of sections 3 and 6 of this revenue procedure, the taxpayer must execute

a specific matters closing agreement in the

form appended to this revenue procedure

as Exhibit 1. In the closing agreement, the

taxpayer must waive all defenses to the assessment and collection of tax, penalties,

and interest under the Offshore Voluntary

Compliance Initiative, including any defenses based on the expiration of the period of limitations on assessment or

collection. The taxpayer must also agree that

the failure to disclose information that

would make the taxpayer ineligible to participate in the Offshore Voluntary Compliance Initiative, or the failure to fully and

accurately provide the information required

by sections 3 and 6 of this revenue procedure, constitutes a misrepresentation of a

material fact under section 7121.

.02 Execution of the closing agreement

by the Commissioner constitutes a final determination under section 7121 that the tax-

January 27, 2003

payer is eligible to participate in the

Offshore Voluntary Compliance Initiative.

SECTION 8. TREATMENT OF TAX

YEARS ENDING PRIOR TO

JANUARY 1, 1999

.01 For cases resolved under the Offshore Voluntary Compliance Initiative, the

Service does not intend to solicit or secure information concerning an eligible participating taxpayer’s federal income tax

liabilities for tax years ending prior to January 1, 1999. Eligible participating taxpayers, however, must provide information

about all aspects of the taxpayer’s involvement with offshore payment cards or offshore financial arrangements, regardless of

the year in which such activities began.

.02 If it comes to the Service’s attention that substantial tax avoidance occurred

in tax years ending prior to January 1, 1999,

the Service reserves the right to examine

such prior tax years and to assess tax, penalties, and interest, if the period of limitations on assessment and collection for those

years is open. If any eligible participating

taxpayer files complete and accurate

amended or delinquent original returns for

tax years ending prior to January 1, 1999,

which are supported by an explanation of

previously unreported income or incorrectly claimed deductions or credits

(whether or not related to offshore payment cards or offshore financial arrangements), the Service will resolve the

taxpayer’s liability for those years for tax,

penalties, and interest on the same basis that

the Service will resolve liabilities for tax

years ending after December 31, 1998, under the Offshore Voluntary Compliance Initiative.

SECTION 9. EFFECTIVE DATE

.01 This revenue procedure is effective on January 14, 2003.

SECTION 10. PAPERWORK

REDUCTION ACT

.01 The collection of information contained in this revenue procedure has been

reviewed and approved by the Office of

Management and Budget in accordance with

the Paperwork Reduction Act (44 U.S.C.

§ 3507) under control number 1545–1822.

An agency may not conduct or sponsor, and

313

a person is not required to respond to, a collection of information unless the collection of information displays a valid OMB

control number.

.02 The collection of information in this

revenue procedure is in Section 3 (APPLICATION PROCESS), Section 6 (ADDITIONAL REQUIREMENTS THAT A

TAXPAYER MUST SATISFY AFTER

THE SERVICE PRELIMINARILY DETERMINES THAT THE TAXPAYER IS

ELIGIBLE TO PARTICIPATE IN THE

OFFSHORE VOLUNTARY COMPLIANCE INITIATIVE), Section 7 (FINAL

DETERMINATION THAT A TAXPAYER

IS ELIGIBLE TO PARTICIPATE IN THE

OFFSHORE VOLUNTARY COMPLIANCE INITIATIVE), and Section 8

(TREATMENT OF TAX YEARS ENDING PRIOR TO JANUARY 1, 1999). This

information will be used to determine

whether a taxpayer is eligible for the Offshore Voluntary Compliance Initiative and

to apply the terms of the initiative. This information will also further the Service’s understanding of how offshore payment cards

and offshore financial arrangements have

been promoted and solicited. Collection of

the information described in this revenue

procedure is required to obtain the benefits of the Offshore Voluntary Compliance Initiative. The likely respondents are

individuals, corporations, partnerships, trusts,

and other entities.

.03 The estimated total annual reporting burden is uncertain but estimated to be

at least 100,000 hours. The estimated annual burden per respondent varies from 25

hours to 75 hours, depending on individual

circumstances, with an estimated average

of 50 hours. The number of respondents is

uncertain but estimated to be in the thousands. The estimated frequency of responses

is at least one per respondent.

.04 Books or records relating to a collection of information must be retained as

long as their contents may become material in the administration of any internal revenue law. Generally, tax returns and tax

return information are confidential, as required by 26 U.S.C. § 6103.

SECTION 11. CONTACT

INFORMATION

.01 The principal author of this revenue procedure is Stuart Spielman of the

2003–4 I.R.B.

Office of the Associate Chief Counsel (Procedure and Administration). For further information regarding this revenue procedure,

please contact the Office of the National

Offshore Voluntary Compliance Initiative

Coordinator at 215–516–3537 (not a tollfree number) or visit www.irs.gov.

EXHIBIT 1

Department of the Treasury—Internal Revenue Service

Closing Agreement On Final Determination

Covering Specific Matters

Under section 7121 of the Internal Revenue Code:

______________________________________________________________________________________________________

(Taxpayer’s name)

_______________________________________________________________________________________________________

(Taxpayer’s address and identifying number)

WHEREAS, Taxpayer has underreported federal income taxes for [specify tax years] through financial arrangements that in some

manner rely on the use of offshore payment cards (including credit, debit, or charge cards) issued by banks in foreign jurisdictions or offshore financial arrangements (including arrangements with foreign banks, financial institutions, corporations, partnerships, trusts, or other entities);

WHEREAS, Taxpayer has requested to participate in the Offshore Voluntary Compliance Initiative, which is described in Revenue Procedure 2003–11; and

WHEREAS, Taxpayer has agreed to all the terms and conditions of the Offshore Voluntary Compliance Initiative.

NOW IT IS HEREBY DETERMINED AND AGREED FOR FEDERAL TAX PURPOSES THAT:

1. For [Year 1], Taxpayer used offshore payment cards or offshore financial arrangements to avoid reporting income in the amount

of [specify amount] and to claim false deductions in the amount of [specify amount]. [Insert only if applicable: For Year 1, Taxpayer had additional unreported income in the amount of [specify amount] and false deductions in the amount of [specify amount.]]

For [Year 2], Taxpayer used offshore payment cards or offshore financial arrangements to avoid reporting income in the amount

of [specify amount] and to claim false deductions in the amount of [specify amount]. [Insert only if applicable: For Year 2, Taxpayer had additional unreported income in the amount of [specify amount] and false deductions in the amount of [specify amount]]

[Continue in this manner for all tax years.]

2. For [Year 1], penalties under sections [indicate sections] of the Internal Revenue Code apply to underpayments attributable

to the unreported income and false deductions. For [Year 2], penalties under sections [indicate sections] apply to underpayments attributable to the unreported income and false deductions. [Continue in this manner for all tax years.]

3. Interest is due as provided by law on Taxpayer’s underpayments of tax and penalties.

4. Taxpayer waives all defenses to the assessment and collection of tax, penalties, and interest described in the preceding paragraphs, including any defense based on the expiration of the period of limitations on assessment or collection.

5. This closing agreement does not prevent the Internal Revenue Service from auditing Taxpayer for [specify tax years] and proposing adjustments unrelated to offshore payment cards or to offshore financial arrangements. This closing agreement also does

not prevent the Service from proposing adjustments related to offshore payment cards or to offshore financial arrangements if,

subsequent to the date that this closing agreement is executed, the Service determines that Taxpayer, contrary to the provisions

of Revenue Procedure 2003–11, failed to fully and accurately provide the information and materials required by sections 3 and

6 of the revenue procedure. Any examination or determination under this paragraph 5 does not constitute a second examination

for purposes of section 7605(b) of the Code or Rev. Proc. 94–68, 1994–2 C.B. 803.

2003–4 I.R.B.

314

January 27, 2003

6. Failure to disclose information that would make Taxpayer ineligible to participate in the Offshore Voluntary Compliance Initiative or failure to fully and accurately provide the information or material required by sections 3 and 6 of Revenue Procedure

2003–11 constitutes a misrepresentation of a material fact under section 7121 of the Code.

Instructions

This agreement must be signed and filed in triplicate. (All copies must have original signatures.) The original and copies of the

agreement must be identical. The name of the taxpayer must be stated accurately. The agreement may relate to one or more years.

If an attorney or agent signs the agreement for the taxpayer, the power of attorney (or a copy) authorizing that person to sign

must be attached to the agreement. If the agreement is made for a year when a joint income tax return was filed by a husband

and wife, it should be signed by or for both spouses. One spouse may sign as agent for the other if the document (or a copy)

specifically authorizing that spouse to sign is attached to the agreement.

If the fiduciary signs the agreement for a decedent or an estate, an attested copy of the letters testamentary or the court order

authorizing the fiduciary to sign, and a certificate of recent date that the authority remains in full force and effect must be attached to the agreement. If a trustee signs, a certified copy of the trust instrument or a certified copy of extracts from that instrument must be attached showing:

(1) the date of the instrument;

(2) that it is or is not of record in any court;

(3) the names of the beneficiaries;

(4) the appointment of the trustee, the authority granted, and other information necessary to show that the authority extends to

Federal tax matters; and

(5) that the trust has not been terminated, and that the trustee appointed is still acting. If a fiduciary is a party, Form 56, Notice

Concerning Fiduciary Relationship, is ordinarily required.

If the taxpayer is a corporation, the agreement must be dated and signed with the name of the corporation, the signature and title

of an authorized officer or officers, or the signature of an authorized attorney or agent. It is not necessary that a copy of an enabling corporate resolution be attached.

Use additional pages if necessary, and identify them as part of this agreement.

Please see Revenue Procedure 68–16, C.B. 1968–1, page 770, for a detailed description of practices and procedures applicable

to most closing agreements.

January 27, 2003

315

2003–4 I.R.B.

This agreement is final and conclusive except:

(1) the matter it relates to may be reopened in the event of fraud, malfeasance, or misrepresentation of material fact;

(2) it is subject to the Internal Revenue Code sections that expressly provide that effect be given to their provisions (including

any stated exception for Code section 7122) notwithstanding any other law or rule of law; and

(3) if it relates to a tax period ending after the date of this agreement, it is subject to any law, enacted after the agreement date,

that applies to that tax period.

By signing, the above parties certify that they have read and agreed to the terms of this document.

Your signature ___________________________________________________

Date Signed __________________

Spouse’s signature (if a joint return was filed) __________________________

Date Signed __________________

Taxpayer’s representative __________________________________________

Date Signed __________________

Taxpayer (other than individual)

_________________________________________________________________

By ___________________________________

Date Signed ____________________

Title __________________________________

Commissioner of Internal Revenue

By ___________________________________

Date Signed __________________

Title __________________________________

SECTION 2. BACKGROUND

26 CFR 601.201: Rulings and determination letters.

(Also section 115.)

Rev. Proc. 2003–12

SECTION 1. PURPOSE

This Revenue Procedure provides guidance on dissolution provisions for any organization described in § 501(c)(3) and

exempt from federal income tax under

§ 501(a) of the Code that requests a letter

ruling that its income is excluded from gross

income under § 115(1).

2003–4 I.R.B.

.01 Section 115(1) of the Code provides that gross income does not include income that is (i) derived from a public utility

or from the exercise of any essential governmental function (the “essential government function test”), and (ii) accruing to a

State, any political subdivision thereof, or

the District of Columbia (the “accrual test”).

An entity is not required to obtain a ruling from the Service to claim an exclusion from gross income under § 115(1).

.02 One aspect of the accrual test of

§ 115(1) is that assets of the organization

must be distributed upon the organiza-

316

tion’s dissolution to one or more States, political subdivisions thereof, the District of

Columbia, or to other organizations the income of which is excluded from gross income under § 115(1) (the “distribution of

assets upon dissolution requirement”). The

assets of an entity described in § 115(1) may

not be distributed upon dissolution (or at

any other time) to the United States government. See Rev. Rul. 90–74, 1990–2 C.B.

34; Rev. Rul. 77–261, 1977–2 C.B. 45; Rev.

Rul. 71–589, 1971–2 C.B. 94. An organization seeking a ruling under § 115(1) will

not be found to satisfy the distribution of

assets upon dissolution requirement of the

January 27, 2003

§ 115(1) accrual test if its articles of organization fail to limit distribution of all the

organization’s assets upon dissolution to one

or more States, political subdivision(s)

thereof, the District of Columbia, or to other

organizations whose income is excluded

from gross income under § 115(1).

.03 An organization may be described in

§ 501(c)(3) of the Internal Revenue Code

and its income may also be excluded from

gross income under § 115(1). See Treas.

Reg. § 1.6033–2(g)(1)(v) (a state institution exempt from taxation under § 501(a)

the income of which is excluded from gross

income under § 115(a) (now § 115(1)) is not

required to file an annual information return on Form 990, Return of Organization Exempt From Income Tax); see also

Rev. Proc. 95–48, §§ 3.01, 4.02, 1995–2

C.B. 418.

.04 To qualify as an organization described in § 501(c)(3) and exempt from federal income tax under § 501(a), an

organization must meet the requirements of

the organizational test of § 501(c)(3). One

requirement of the organizational test is that

the assets of the organization be dedicated

to an exempt purpose. Treas. Reg.

§ 1.501(c)(3)–1(b)(4).

.05 A § 501(c)(3) organization’s articles

of organization must contain a dissolution clause that satisfies the organizational

test of § 1.501(c)(3)–1(b)(4) of the Treasury Regulations, unless the organization is

organized under State laws that satisfy the

distribution of assets upon dissolution provisions of § 1.501(c)(3)–1(b)(4). See Treas.

Reg. § 1.501(c)(3)–1(b)(4); Rev. Proc. 82–2,

1982–1 C.B. 367.

SECTION 3. APPLICATION

A § 501(c)(3) organization can satisfy the

organizational test of § 1.501(c)(3)–1(b)(4)

of the Treasury Regulations by reason of

its articles of organization or by operation of law. However, for purposes of obtaining a § 115(1) ruling, a § 501(c)(3)

organization will not satisfy the “distribution of assets upon dissolution requirement” of §115(1) unless its articles of

organization also limit distribution of assets on dissolution (to the extent consistent with § 1.501(c)(3)–1(b)(4)) to one or

more States, political subdivisions of States,

the District of Columbia, or other organizations the income of which is excluded under § 115(1). For purposes of obtaining a

§ 115(1) ruling, the organization may not

January 27, 2003

rely on a provision of state law to satisfy

the distribution of assets upon dissolution

requirement of § 115(1).

SECTION 4. EXAMPLES

.01 Organization A is exempt from federal income tax under § 501(a) as an organization described in § 501(c)(3).

Organization A has a dissolution clause in

its articles of organization that satisfies

Treas. Reg. § 1.501(c)(3)–1(b)(4). Organization A’s articles state that, upon dissolution, any assets remaining after the

payment of debts and the satisfaction of liabilities are to be distributed (1) to an organization described in § 501(c)(3) for one

or more exempt purposes, or (2) to the

United States government, or to a State or

local government, for a public purpose. Organization A requests a letter ruling that its

income is excluded from gross income under § 115(1). Although the dissolution clause

in the articles of Organization A meets the

organizational requirements of § 501(c)(3),

the dissolution clause allows for distribution to entities to which distributions may

not be made under § 115(1). The dissolution clause, therefore, fails to satisfy the distribution of assets upon dissolution

requirement of the accrual test of § 115(1).

In these circumstances, a favorable ruling

on § 115(1) would not be issued.

.02 Organization B is exempt from federal income tax under § 501(a) as an organization described in § 501(c)(3).

Organization B has a dissolution clause in

its articles of organization that satisfies

Treas. Reg. § 1.501(c)(3)–1(b)(4). Organization B’s articles state that, upon dissolution, any assets remaining after the

payment of debts and the satisfaction of liabilities are to be distributed either (1) to

a State or political subdivision thereof for

a public purpose or (2) for one or more exempt purposes to an organization described

in § 501(c)(3) and whose income is also excludable from gross income under § 115(1).

Organization B requests a letter ruling that

its income is excluded from gross income

under § 115(1). The dissolution clause in the

articles of Organization B meets the

requirements of the organizational test of

§ 501(c)(3) and also satisfies the distribution of assets upon dissolution requirement of the accrual test of § 115(1).

.03 Organization C is exempt from federal income tax under § 501(a) as an organization described in § 501(c)(3). Upon

317

dissolution, Organization C’s remaining assets will be distributed by operation of the

law of Organization C’s state of incorporation to a political subdivision of the state

for a public purpose. Organization C requests a letter ruling that its income is excluded from gross income under § 115(1).

Although state law provides a dissolution

distribution scheme that meets the organizational test of Treas. Reg. § 1.501(c)(3)–

1(b)(4), the state’s dissolution provision fails

to satisfy the accrual test of § 115(1) for

purposes of obtaining a § 115(1) letter ruling. In these circumstances, a favorable ruling on § 115(1) would not be issued. To

receive a favorable § 115(1) letter ruling,

Organization C must have articles of organization that contain a provision satisfying the distribution of assets upon

dissolution requirement for the § 115(1) accrual test.

SECTION 5. DRAFTING

INFORMATION

The principal author of this revenue procedure is Sara T. S. Wolff of the Office of

Division Counsel/Associate Chief Counsel (Tax Exempt and Government Entities). For further information regarding this

revenue procedure, contact Ms. Wolff at

(202) 622–6080 (not a toll-free call).

26 CFR 601.201: Rulings and determination letters.

Rev. Proc. 2003–13

SECTION 1. PURPOSE

This revenue procedure provides guidance for employers that want to amend their

plans qualified under § 401(a) of the Internal Revenue Code to include “deemed

IRAs” described in § 408(q). The revenue

procedure also provides a sample plan

amendment that may be used, in conjunction with IRA language, to amend a qualified plan to provide for deemed IRAs.

SECTION 2. BACKGROUND

.01 Section 408(q) was added to the

Code by section 602 of the Economic

Growth and Tax Relief Reconciliation Act

of 2001 (“EGTRRA”), Pub. L. 107–16, effective for plan years beginning after December 31, 2002. Section 408(q) provides

2003–4 I.R.B.

that if a qualified employer plan elects to

allow employees to make voluntary employee contributions to a separate account

or annuity established under the plan, and

under the terms of the qualified employer

plan such account or annuity meets the applicable requirements of § 408 or 408A for

an individual retirement account or annuity, then such account or annuity shall be

treated under the Code in the same manner as an IRA and not as a qualified employer plan. The Internal Revenue Service

and Treasury expect to issue regulations under Code § 408(q) in the near future.

.02 Notice 2001–42, 2001–2 C.B. 70,

provides a remedial amendment period under § 401(b), ending no earlier than the end

of the first plan year beginning on or after January 1, 2005, in which any needed

retroactive EGTRRA plan amendment may

be adopted (the “EGTRRA remedial amendment period”). The availability of the

EGTRRA remedial amendment period is

conditioned on the timely adoption of a

good faith EGTRRA plan amendment.

.03 Notice 2001–57, 2001–2 C.B. 279,

provides sample plan amendments that satisfy, in form, the “good faith EGTRRA plan

amendment” requirement described in the

preceding paragraph. Although not containing a sample plan amendment for

deemed IRAs under Code § 408(q), the notice provides that the good faith plan

amendment requirement applies to § 408(q).

The notice also provides that, until further notice, the Service will not consider

EGTRRA in issuing determination, opinion or advisory letters.

.04 Rev. Proc. 2002–10, 2002–4 I.R.B.

401, requires all prototype sponsors with

currently approved IRAs, SEPs, and

SIMPLE IRA plans to amend these documents and submit applications for opinion letters on the amended documents by

December 31, 2002.

SECTION 3. REQUIRED LANGUAGE

FOR DEEMED IRAS

.01 Plan sponsors that want to provide

for deemed IRAs must have such provisions in their plan documents and must have

deemed IRAs in effect for employees no

later than the date deemed IRA contributions are accepted from such employees.

Notwithstanding the preceding sentence,

plan sponsors that want to provide for

deemed IRAs for plan years beginning before January 1, 2004, (but after December 31, 2002) are not required to have such

provisions in their plan documents before

the end of such plan years. Plan sponsors

must otherwise comply with the rules in

Notice 2001–57. To satisfy the requirements for the EGTRRA remedial amendment period, the provisions must reflect a

reasonable, good-faith interpretation of the

statute. The sample plan amendment contained in the appendix to this revenue pro-

cedure, when used in conjunction with IRA

language described in section 3.02 below,

is a reasonable, good-faith interpretation of

the statute.

.02 In addition to the sample plan

amendment in the Appendix, a plan that intends to comply with Code § 408(q) must

also contain language that satisfies § 408 or

408A, relating to traditional and Roth IRAs,

respectively. The Service provides sample

language (a “Listing of Required Modifications,” or “LRMs”) that satisfies §§ 408

and 408A on the Service’s Web Site at

www.irs.gov/ep. A plan will satisfy the “reasonable, good-faith interpretation of the statute” requirement with respect to IRA

language if the language addresses every applicable point in the IRA LRMs.

DRAFTING INFORMATION

The principal author of this revenue procedure is Roger Kuehnle of the Employee

Plans, Tax Exempt and Government Entities Division. For further information regarding this revenue procedure, please

contact Employee Plans’ taxpayer assistance telephone service at 1–877–829–

5500 (a toll-free number), between the hours

of 8:00 a.m. and 6:30 p.m. Eastern Time,

Monday through Friday. Mr. Kuehnle can

be reached at 202–283–9888 (not a tollfree number).

APPENDIX

Sample Plan Amendment

(The following sample plan amendment may be adopted only by plans trusteed by a person eligible to act as a trustee of an IRA

under § 408(a)(2) and plans that designate an insurance company to issue annuity contracts under § 408(b). Additional language

that satisfies § 408 or 408A must also be added to the plan.)

SECTION______ . DEEMED IRAs

1. Applicability and effective date. This section shall apply if elected by the employer in the adoption agreement and shall be

effective for plan years beginning after the date specified in the adoption agreement.

2. Deemed IRAs. Each participant may make voluntary employee contributions to the participant’s ___________ [insert “traditional” or “Roth”] IRA under the plan. The plan shall establish a separate ______________ [insert “account” or “annuity”] for

the designated IRA contributions of each participant and any earnings properly allocable to the contributions, and maintain separate recordkeeping with respect to each such IRA.

2003–4 I.R.B.

318

January 27, 2003

3. Reporting duties. The ___________ [insert “trustee” or “issuer”] shall be subject to the reporting requirements of section 408(i)

of the Internal Revenue Code with respect to all IRAs that are established and maintained under the plan.

4. Voluntary employee contributions. For purposes of this section, a voluntary employee contribution means any contribution (other

than a mandatory contribution within the meaning of section 411(c)(2) of the Code) that is made by the participant and which

the participant has designated, at or prior to the time of making the contribution, as a contribution to which this section applies.

5. IRAs established pursuant to this section shall be held in __________ [insert “a trust” or “an annuity”] separate from the trust

established under the plan to hold contributions other than deemed IRA contributions and shall satisfy the applicable requirements of sections 408 and 408A of the Code, which requirements are set forth in section __________ [insert the section of the

plan that contains the IRA requirements].

(Adoption agreement provisions)

Section _____ of the plan, Deemed IRAs: (check one)

___ shall be effective for plan years beginning after December 31, ____ (enter a year later than 2001).

___ shall not apply.

26 CFR 601.601: Rules and regulations.

(Also Part I, sections 61, 451, 671; 1.61–1; 1.451–1;

1.671–1.)

Rev. Proc. 2003–14

SECTION 1. PURPOSE

This revenue procedure provides a safe

harbor under which the Internal Revenue

Service will treat an Indian tribe as the

grantor and owner of a trust for the receipt of gaming revenues under the Indian Gaming Regulatory Act (25 U.S.C.

§§ 2701–2721) (IGRA) for the benefit of

minors or legal incompetents. In addition,

under this revenue procedure, beneficiaries of an IGRA trust will not be required

to include amounts in gross income when

transferred to, or earned by, the IGRA trust

under the economic benefit doctrine. Rather,

beneficiaries will include amounts in income when actually or constructively received.

SECTION 2. BACKGROUND

.01 Indian tribes and their members have

requested guidance on determining the taxable years in which beneficiaries must include in gross income amounts transferred

to, or earned by, an IGRA trust. In addition, Indian tribes have requested guid-

January 27, 2003

ance about the situations in which a tribe

will be considered the grantor and owner

of an IGRA trust.

.02 Under § 451 of the Internal Revenue Code (Code) and §§ 1.451–1(a) and

1.451–2 of the Income Tax Regulations, a

taxpayer using the cash receipts and disbursements method of accounting must include gains, profits, and income in gross

income for the taxable year in which those

items are actually or constructively received. In addition, under the economic benefit doctrine, a taxpayer using the cash

receipts and disbursements method of accounting must include in gross income currently any financial or economic benefit

derived from the absolute right to receive

property in the future that has been irrevocably and unconditionally set aside for

the taxpayer in a trust or fund. Sproull v.

Commissioner, 16 T.C. 244 (1951), aff’d per

curiam, 194 F.2d 541 (6th Cir. 1952);

Pulsifer v. Commissioner, 64 T.C. 245

(1975).

.03 Section 671 provides that, where it

is specified under subpart E, part I, subchapter J, chapter 1, subtitle A of the Code

(“subpart E”) that the grantor or another

person shall be treated as the owner of any

portion of a trust, there shall be included

in computing the taxable income and credits of the grantor or the other person those

items of income, deductions, and credits

against tax of the trust that are attribut-

319

able to that portion of the trust to the extent that such items would be taken into

account under chapter 1 in computing taxable income or credits against the tax of an

individual. Section 672 provides definitions and rules for purposes of subpart E.

Subpart E and the accompanying regulations define the circumstances under which

a grantor is treated as the owner of all or

a portion of a subpart E trust.

.04 IGRA provides rules regarding the

conduct of class II and class III gaming on

Indian lands within an Indian tribe’s jurisdiction and an Indian tribe’s use of revenues from that gaming. Under IGRA, net

revenues from any class II and class III

gaming activities conducted or licensed by

any Indian tribe may be used to make per

capita payments to members of the Indian tribe only if: (A) the Indian tribe has

prepared a plan to allocate revenues to authorized uses; (B) the Secretary of the Interior approves the plan as adequate; (C) the

interests of minors and other legally incompetent persons who are entitled to receive any of the per capita payments are

protected and preserved and the per capita

payments are disbursed to the parents or legal guardians of the minors or legal incompetents in such amounts as may be

necessary for the health, education, or welfare of the minors or other legally incompetent persons under a plan approved by the

Secretary of the Interior and the govern-

2003–4 I.R.B.

ing body of the Indian tribe; and (D) the

per capita payments are subject to federal taxation and the Indian tribe notifies

members of that tax liability when payments are made. Section 11(b)(3) and

(d)(1)(A) of IGRA, 25 U.S.C. § 2710(b)(3)

and (d)(1)(A).

SECTION 3. SCOPE

This revenue procedure applies to each

Indian tribe, each IGRA trust, and each beneficiary of an IGRA trust.

SECTION 4. DEFINITIONS

For purposes of this revenue procedure:

.01 Indian tribe. The term “Indian tribe”

has the same meaning as in 25 U.S.C.

§ 2703(5).

.02 IGRA trust. An “IGRA trust” is a

trust that an Indian tribe establishes under IGRA to receive and invest per capita

payments for its members who are minors or legal incompetents pending distribution of the trust assets to those members

after they attain the age of majority or cease

to be legal incompetents.

.03 Minor and legal incompetent. The

terms “minor” and “legal incompetent” have

the same meaning as in 25 CFR § 290.2 (relating to review of Indian tribal revenue allocation plans adopted under IGRA).

.04 Per capita payment. The term “per

capita payment” has the same meaning as

in 25 CFR § 290.2, but in no event shall

the term include compensation for services.

SECTION 5. APPLICATION

.01 In general. For any period in which

all of the requirements of section 5.02 of

this revenue procedure are met:

(1) The Indian tribe that establishes (or

has established) an IGRA trust will be

treated as the grantor and owner of the trust

under subpart E, and

(2) The beneficiaries of an IGRA trust

will not be required to include per capita

payments received by the trust, and any

earnings on the per capita payments, in

gross income until the taxable year that the

beneficiaries actually or constructively receive the amounts under § 451 and the

regulations thereunder.

.02 Requirements for IGRA trusts.

(1) The Indian tribe has complied with

the requirements of § 11(b)(3) of IGRA, 25

U.S.C. § 2710(b)(3), regarding the dis-

2003–4 I.R.B.

bursement of per capita payments to members of the Indian tribe.

(2) All contributions to the trust are per

capita payments disbursed under a revenue allocation plan that complies with the

requirements of § 11(b)(3) of IGRA, 25

U.S.C. § 2710(b)(3).

(3) All beneficiaries of the trust are

members of the Indian tribe that establishes the trust.

(4) Each trust beneficiary is a minor or

legal incompetent at the time of the establishment of a trust interest for the beneficiary, and all contributions to the trust with

respect to that beneficiary are made for the

period that the beneficiary is a minor or legal incompetent.

(5) The trust is a valid trust under applicable federal, state, local, and tribal law

and all of the material terms and provisions of the trust are enforceable under those

laws.

(6) The governing trust instrument states

that the trust is intended to be a grantor

trust, that the Indian tribe is the grantor of

the trust (within the meaning of subpart E),

and that the trust shall be construed accordingly.

(7) The governing trust instrument grants

to the Indian tribe a power, an interest, or

a combination thereof, described in §§ 673

through 677, that would cause the Indian

tribe to be treated as owner of the trust under subpart E.

(8) The governing trust instrument provides that—

(a) trust assets are not available to a

beneficiary until the beneficiary attains a

specified age or ceases to be a legal incompetent, except for distributions for the

health, education, or welfare of the beneficiary made at the sole discretion of the

trustee pursuant to the governing trust instrument;

(b) beneficiaries shall have no preferred claim on, or any beneficial ownership interest in, any assets of the trust; any

rights created under the trust instrument

shall be mere unsecured contractual rights

of beneficiaries against the Indian tribe; and

at all times during the continuance of the

trust, the principal and income of the trust

shall be subject to claims of general creditors of the Indian tribe under applicable federal, state, local, and tribal law;

(c) the trustee shall cease payments to

beneficiaries and shall hold the assets of the

trust for the benefit of the Indian tribe’s

320

general creditors throughout any period during which the trustee believes or has reason to believe that the Indian tribe is unable

to pay its debts as they become due, or is

subject to a pending insolvency or bankruptcy proceeding;

(d) amounts payable to beneficiaries

under the governing trust instrument may

not be anticipated, assigned (either at law

or in equity), alienated, pledged, encumbered or subjected to attachment, garnishment, levy, execution or other legal or

equitable process; and

(e) the beneficiary’s share will be paid

to the Indian tribe if the beneficiary dies

prior to attaining the specified age or legal competency, or alternatively the beneficiary dies prior to attaining the specified

age or legal competency without one or

more of the following relatives surviving:

a spouse, parent, child, or sibling.

SECTION 6. AMPLIFICATION OF

REV. PROC. 2003–3

.01 This revenue procedure amplifies

section 4.01 of Rev. Proc. 2003–3, 2003–1

I.R.B. 113, relating to areas in which ruling letters or determination letters will not

ordinarily be issued, by adding the following new paragraphs:

Section 451.—General Rule for Taxable Year of Inclusion—The income tax

consequences as a result of being a beneficiary of a trust that an Indian tribe (as

defined in 25 U.S.C. § 2703(5)) establishes to receive and invest per capita

payments for its members who are minors or legal incompetents under the Indian Gaming Regulatory Act (25 U.S.C.

§§ 2701–2721), if the trust meets the requirements of section 5.02 of Rev. Proc.

2003–14.

Sections 671 through 679.—Grantors and

Others Treated as Substantial Owners–

Whether an Indian tribe (as defined in

25 U.S.C. § 2703(5)) that establishes a

trust to receive and invest per capita

payments for its members who are minors or legal incompetents under the Indian Gaming Regulatory Act (25 U.S.C.

§§ 2701–2721) is the grantor and owner

of the trust, if the trust meets the requirements of section 5.02 of Rev. Proc.

2003–14.

.02 This revenue procedure also amplifies section 5 of Rev. Proc. 2003–3, relating to areas in which rulings or

January 27, 2003

determination letters will not be issued until the Service resolves the issue through

publication of a revenue ruling, revenue procedure or otherwise, by adding the following new paragraphs:

Section 451.—General Rule for Taxable Year of Inclusion—The income tax

consequences as a result of being a beneficiary of a trust that an Indian tribe (as

defined in 25 U.S.C. § 2703(5)) establishes to receive and invest per capita

payments for its members (regardless of

whether they are minors or legal incompetents) under the Indian Gaming Regulatory Act (25 U.S.C. §§ 2701–2721) if

the trust does not meet the requirements

of section 5.02 of Rev. Proc. 2003–14.

Sections 671 through 679.—Grantors and

Others Treated as Substantial Owners—

Whether an Indian tribe (as defined in

25 U.S.C. § 2703(5)) that establishes a

trust to receive and invest per capita

payments for its members (regardless of

whether they are minors or legal incompetents) under the Indian Gaming Regulatory Act (25 U.S.C. §§ 2701–2721) is

the grantor and owner of the trust if the

trust does not meet the requirements of

section 5.02 of Rev. Proc. 2003–14.

SECTION 7. EFFECTIVE DATES

This revenue procedure (except section 6) is effective for taxable years beginning after December 31, 2001. Section 6 of

this revenue procedure applies to requests

for rulings received or pending in the national office on or after January 6, 2003.

SECTION 8. EFFECT ON OTHER

DOCUMENTS

Rev. Proc. 2003–3 is amplified.

REQUEST FOR COMMENTS

The Service requests comments on this

revenue procedure and on the application

of the economic benefit doctrine to IGRA

trusts that are not within the scope of this

revenue procedure. Specifically, the Service requests comments concerning the type

of trust provisions that preclude the application of the economic benefit doctrine.

Comments should be submitted by April

28, 2003, either to:

Internal Revenue Service

P.O. Box 7604

Ben Franklin Station

January 27, 2003

Washington, DC 20044

Attn: CC:PA:T:CRU (CC:ITA:4)

Room 5529

or electronically at: Notice.Comments@

irscounsel.treas.gov (the Service’s comments e-mail address). All comments are

available for public inspection and copying.

DRAFTING INFORMATION

The principal author of this revenue procedure is Elizabeth Kaye of the Office of

the Associate Chief Counsel (Income Tax

and Accounting). For further information regarding this revenue procedure, contact

Ms. Kaye at (202) 622–4920 (not a tollfree call).

26 CFR 601.201: Rulings and determination letters.

(Also Part I, sections 25, 103, 143, 1.25.4T, 1.103–1,

6A.103A–2.)

Rev. Proc. 2003–15

SECTION 1. PURPOSE

This revenue procedure provides issuers of qualified mortgage bonds, as defined in section 143(a) of the Internal

Revenue Code, and issuers of mortgage

credit certificates, as defined in section

25(c), with a list of qualified census tracts

for each state and the District of Columbia.

SECTION 2. BACKGROUND

.01 Section 103(a) of the Code provides that, except as provided in section

103(b), gross income does not include interest on any state or local bond. Section

103(b)(1) provides that section 103(a) shall

not apply to any private activity bond that

is not a “qualified bond” within the meaning of section 141. Section 141(e) provides that the term “qualified bond” includes

any private activity bond if that bond: (1)

is a qualified mortgage bond; (2) meets the

volume cap requirements under section 146;

and (3) meets the applicable requirements

under section 147.

.02 Section 143(a)(1) of the Code provides that the term “qualified mortgage

bond” means a bond which is issued as part

of a “qualified mortgage issue”. Section

143(a)(2)(A) provides that the term “qualified mortgage issue” means an issue by a

321

state or political subdivision thereof of one

or more bonds but only if: (i) all proceeds

of the issue (exclusive of issuance costs and

a reasonably required reserve) are to be used

to finance owner occupied residences; (ii)

the issue meets the requirements of subsections (c), (d), (e), (f), (g), (h), (i), and

(m)(7); (iii) the issue does not meet the private business tests of paragraphs (1) and (2)

of section 141(b); and (iv) with respect to

amounts received more than 10 years after the date of issuance, repayments of

$250,000 or more of principal on financing provided by the issue are used not later

than the close of the first semi-annual period beginning after the date the prepayment (or complete repayment) is received

to redeem bonds that are part of the issue.

.03 An issue of bonds meets the requirements of subsection (h) of section 143 of

the Code only if at least 20 percent of the

proceeds of the issue is made available for

owner financing of “targeted area residences” for at least 1 year after the date on

which owner financing is first made available with respect to targeted area residences. Subsection (h)(2) provides, however,

that the amount made available need not exceed 40 percent of the average annual aggregate principal amount of mortgages

executed during the immediately preceding 3 calendar years for single-family, owner

occupied residences located in targeted areas within the jurisdiction of the issuing authority.

.04 Targeted area residences are defined in section 143(j)(1)(A) to include residences in a qualified census tract. A

“qualified census tract,” according to section 143(j)(2)(A), is a census tract in which

70 percent or more of the families have income that is 80 percent or less of the statewide median family income. Section

143(j)(2)(B) of the Code provides that the

determination that a census tract is a “qualified census tract” must be based on the

most recent decennial census for which data

are available. The last list of qualified census tracts, published in Rev. Proc. 93–38,

1993–2 C.B. 483, was based on the 1990

Census.

.05 Section 6a.103A–2(b)(4)(ii) of the

Temporary Income Tax Regulations provides that, with respect to any particular

bond issue, the determination that a census tract is a “qualified census tract” may

be based upon the decennial census data

2003–4 I.R.B.

available 3 months prior to the date of issuance and shall not be affected by official changes to the data during or after that

3-month period.

.06 Section 143(k)(2)(A) of the Code

provides that the term “statistical area”

means (i) a metropolitan statistical area

(“MSA”), and (ii) any county (or the portion thereof) that is not within an MSA.

.07 An MSA is currently defined as an

area containing at least one urbanized area

with a population of at least 50,000, plus

adjacent outlying counties having a high degree of social and economic integration with

the central county as measured through

commuting. See Office of Management and

Budget (“OMB”), Standards for Defining

Metropolitan and Micropolitan Statistical

Areas; Notice, 65 FR 249, December 27,

2003–4 I.R.B.

2000. (New area definitions based on Census 2000 will be released by OMB in 2003).

.08 A state or local government may

elect to exchange all or part of its qualified mortgage bond authority for authority to issue mortgage credit certificates. In

general, the recipient of a mortgage credit

certificate may claim a federal income tax

credit equal to the product of the certificate credit rate and the interest paid or accrued during the tax year on the remaining

principal of the certified indebtedness

amount. Section 25(c)(2)(A)(iii)(V) of the

Code provides that the indebtedness certified by mortgage credit certificates must

meet the requirements of section 143(h)

concerning the portion of loans to be placed

in targeted areas.

322

.09 The list of qualified census tracts is

developed by HUD for publication by the

service. HUD’s determination is based upon

decennial census data received by HUD

from the Bureau of the Census.

SECTION 3. APPLICATION

The qualified census tracts for each state

and the District of Columbia as listed below are based on the 2000 census. In 2000,

the Bureau of the Census has provided data

for all areas, not only the metropolitan statistical areas. Thus, the list of qualified census tracts includes tracts in Block numbering

areas (BNA) in nonmetropolitan counties

as well as tracts in Metropolitan Statistical Areas (MSA).

January 27, 2003

State and County or

County Equivalent

Qualified Census Tracts

ALABAMA

Butler County................................................................................................

Calhoun County ............................................................................................

Dallas County ...............................................................................................

Etowah County .............................................................................................

Houston County ............................................................................................

Jefferson County ...........................................................................................

Perry County .................................................................................................

Russell County..............................................................................................

Tuscaloosa County........................................................................................

Wilcox County ..............................................................................................

953100

000500

996400

000700

040600

000300

002700

003900

010302

010300

040700

000201

002100

000401

001400

004000

004600

000100

001000

987200

030200

011200

994700

ALASKA

Anchorage Municipality ...............................................................................

Bethel Census Area.......................................................................................

Fairbanks North Star Borough .....................................................................

Kenai Peninsula Borough .............................................................................

Skagway-Hoonah-Angoon Census Area ......................................................

Wade Hampton Census Area........................................................................

Yukon-Koyukuk Census Area ......................................................................

000600

000100

001100

000100

000200

000100

000100

001000

000300

001800

940100

944200

000600

000800

940200

940500

020100

061400

108601

110701

112507

113202

113601

114200

114500

942600

944300

000900

001000

940400

Lauderdale County........................................................................................

Lee County....................................................................................................

Madison County............................................................................................

Mobile County ..............................................................................................

Montgomery County.....................................................................................

ARIZONA

Apache County .............................................................................................

Cochise County.............................................................................................

Coconino County ..........................................................................................

Gila County...................................................................................................

Graham County.............................................................................................

La Paz County ..............................................................................................

Maricopa County ..........................................................................................

January 27, 2003

323

000600

996500

001400

000500

002900

004500

000700

003200

005101

001500

003400

010100

041600

001200

001600

010700

040800

001100

002501

000402

001501

004100

004800

000200

001100

000600

001502

004200

001200

002700

004300

000300

001200

000600

003000

030800

011701

011800

000400

020500

092900

108602

111202

112602

113203

113700

114302

114701

942700

944100

941100

944500

103306

109000

111203

112800

113300

113800

114401

114702

107201

110200

111602

113201

113500

113900

114402

114703

2003–4 I.R.B.

State and County or

County Equivalent

Qualified Census Tracts

ARIZONA (cont.)

Maricopa County (cont.) ..............................................................................

Mohave County.............................................................................................

Navajo County ..............................................................................................

Pima County .................................................................................................

Santa Cruz County........................................................................................

Yuma County ................................................................................................

ARKANSAS

Craighead County .........................................................................................

Crittenden County.........................................................................................

Jefferson County ...........................................................................................

Miller County................................................................................................

Phillips County .............................................................................................

Pulaski County..............................................................................................

Washington County.......................................................................................

CALIFORNIA

Alameda County ...........................................................................................

Butte County .................................................................................................

Contra Costa County ....................................................................................

Fresno County...............................................................................................

Humboldt County .........................................................................................

2003–4 I.R.B.

324

114800

115801

941000

940400

940300

944500

000100

002100

002801

004104

940600

941200

996402

000301

000700

000602

030501

001300

020400

980500

000900

010900

401300

401800

402600

403000

420400

000604

003000

328000

000100

000500

000900

001202

001500

002400

002701

003001

004404

005403

006500

007800

008402

000100

114900

115900

941100

951700

941000

944700

001000

002300

002802

004111

940700

115200

116100

115300

116602

951800

942400

944800

001301

002400

003702

004900

940800

001302

002601

003801

005100

941100

000302

001300

000401

011401

000402

011600

944400

030502

020600

001700

002800

401400

402100

402700

403300

422800

001000

003200

365002

000200

000600

001000

001301

002000

002501

002702

003102

004704

005602

006801

008200

401600

402200

402800

405400

401700

402500

402900

407500

002800

002900

379000

000300

000700

001100

001302

002100

002502

002800

003300

004800

005604

006802

008301

000400

000800

001201

001405

002300

002601

002902

003400

005202

006200

007100

008302

000200

January 27, 2003

State and County or

County Equivalent

Qualified Census Tracts

CALIFORNIA (cont.)

Imperial County ............................................................................................

Kern County..................................................................................................

Kings County ................................................................................................

Lake County..................................................................................................

Los Angeles County .....................................................................................

January 27, 2003

325

010400

012302

000200

001101

001202

001600

002301

002812

004102

004800

005900

006401

000300

001300

000500

104701

117510

120101

123204

124202

128302

183810

190400

190800

191110

191204

191500

191720

192610

195710

197420

199120

199800

203300

203720

204410

204810

206010

206300

208000

208620

208902

209102

209402

209810

211200

211801

212100

212303

011400

012400

000300

001102

001300

002000

002302

003000

004402

004901

006202

006402

000900

001400

000700

106404

117530

120102

123205

127220

128303

183820

190510

190901

191120

191300

191610

191810

192620

195720

197600

199201

199900

203500

204120

204420

204910

206020

207100

208300

208710

208903

209200

209403

209820

211310

211802

212202

212304

011500

012500

000400

001103

001400

002100

002500

003400

004500

005202

006301

001002

001701

000800

117405

119340

122410

123206

127520

134305

186401

190520

190902

191201

191410

191620

191820

192700

195802

197700

199400

203100

203600

204200

204600

205110

206030

207300

208400

208720

208904

209300

209510

210010

211320

211910

212203

212305

012100

000600

001201

001500

002200

002600

004000

004700

005300

006302

001100

117406

120030

123203

123410

128210

183520

190200

190700

191000

191203

191420

191710

192520

195600

197300

199000

199700

203200

203710

204300

204700

205120

206200

207710

208500

208800

209101

209401

209520

211110

211410

211920

212204

212306

2003–4 I.R.B.

State and County or

County Equivalent

Qualified Census Tracts

CALIFORNIA (cont.)

Los Angeles County (cont.)..........................................................................

2003–4 I.R.B.

326

212410

212620

213310

218120

221110

221302

221710

222500

224020

224410

226000

227010

228220

228420

228720

229300

231210

231710

232110

232600

235202

237100

237710

239200

239600

240020

240500

240900

242100

242700

269600

294700

294900

302201

402702

432801

433403

481714

530901

531301

532605

532900

533105

533401

533601

533902

534301

535000

535501

212420

212900

213320

218210

221120

221400

221810

222600

224200

224420

226410

227020

228310

228500

228800

229410

231220

231720

232120

232700

236100

237200

237720

239310

239700

240200

240600

241000

242200

243000

275520

294810

296210

302501

402801

432802

433502

482303

531101

531602

532606

533000

533107

533403

533702

534001

534404

535101

535503

212500

213201

213401

218800

221220

221500

221820

222700

224310

224600

226420

228100

228320

228600

228900

229420

231300

231800

232400

232800

236201

237500

238310

239330

239800

240300

240700

241120

242300

243100

291120

294820

296220

402302

402802

433301

433901

482304

531201

531702

532700

533103

533201

533501

533801

534102

534405

535200

535605

212610

213202

213402

218900

221301

221600

222200

224010

224320

224700

226700

228210

228410

228710

229200

231100

231600

231900

232500

234900

236202

237600

238320

239500

240010

240400

240800

241400

242600

265301

293202

294830

297110

402501

408800

433402

462000

504102

531202

531800

532800

533104

533300

533503

533901

534201

534406

535300

535606

January 27, 2003

State and County or

County Equivalent

Qualified Census Tracts

CALIFORNIA (cont.)

Los Angeles County (cont.)..........................................................................

Madera County .............................................................................................

Mendocino County .......................................................................................

Merced County .............................................................................................

Monterey County ..........................................................................................

Orange County..............................................................................................

Riverside County ..........................................................................................

Sacramento County.......................................................................................

San Bernardino County ................................................................................

January 27, 2003

327

540000

540600

541603

542601

570603

572900

573202

575103

575401

575802

576000

576402

576503

600201

601100

601700

602501

900704

910501

000601

011600

000504

001302

001602

001000

074403

075002

030300

040203

041703

042211

042710

043308

043503

044101

044509

045301

045605

000500

001100

002700

004402

005002

006202

006800

008800

001400

003700

004800

540202

540700

541604

542602

571600

573001

573300

575201

575402

575803

576200

576403

576901

600202

601211

601802

602502

900806

910502

000602

540400

541400

541605

570203

572500

573002

575101

575202

575500

575901

576300

576501

576902

600301

601501

601900

602503

910402

540502

541500

541606

570304

572800

573201

575102

575300

575801

575902

576401

576502

600100

600602

601600

602105

900602

910403

000800

000900

001003

001502

001901

001300

074405

075003

030400

040204

041704

042504

042723

043401

043507

044503

044510

045400

045705

000700

001300

002800

004500

005201

006400

007300

009110

001500

004201

004900

001005

001503

002201

001301

001601

074406

075004

030502

041500

042202

042505

042800

043403

043600

044506

044915

045502

045706

000900

001800

003700

004602

005300

006600

007413

074902

089104

030503

041600

042209

042515

043006

043405

044000

044507

045207

045604

940100

001000

002100

004203

004903

005506

006702

007503

001600

004202

005000

003402

004700

005400

2003–4 I.R.B.

State and County or

County Equivalent

Qualified Census Tracts

CALIFORNIA (cont.)

San Bernardino County (cont.) ....................................................................

San Diego County.........................................................................................

San Francisco County...................................................................................

San Joaquin County......................................................................................

San Luis Obispo County ..............................................................................

Santa Barbara County...................................................................................

Santa Clara County.......................................................................................

Shasta County ...............................................................................................

Siskiyou County............................................................................................

Stanislaus County .........................................................................................

Sutter County ................................................................................................

Trinity County...............................................................................................

Tulare County ...............................................................................................

Ventura County .............................................................................................

2003–4 I.R.B.

328

005500

006202

006500

007107

009400

010414

000900

001800

002302

002601

002709

003404

003603

004100

004700

005100

006200

010015

011400

011802

014400

015802

019501

010700

011700

016100

060700

000100

000600

001900

003309

010901

002304

002911

500902

011200

000200

000803

002100

003908

050102

000300

000302

001004

002008

002901

003802

004102

002300

005600

006302

006800

007407

009800

940100

001200

002201

002401

002602

002710

003501

003901

004501

004800

005600

006600

010112

011500

012500

015701

015901

020009

011300

011800

023103

005800

006401

006900

007408

010014

940500

001600

002202

002402

002707

003302

003601

003902

004502

004900

005700

010012

010401

011601

013103

015703

018200

020207

011400

012400

060300

005900

006402

007000

007601

010402

001700

002301

002501

002708

003303

003602

004000

004600

005000

005800

010013

010502

011602

013206

015801

018400

020212

011500

012500

060502

000300

000700

002200

003406

000402

000800

002300

003407

000500

001700

003308

004401

002403

002912

002404

002702

001700

003802

001800

003906

000600

001200

002601

003100

003902

004300

004706

000702

001601

002800

003200

004101

004400

005002

012000

001604

002200

050202

000501

001100

002202

003001

003901

004200

004301

January 27, 2003

State and County or

County Equivalent

Qualified Census Tracts

CALIFORNIA (cont.)

Yolo County ..................................................................................................

Yuba County .................................................................................................

010101

040100

010203

040300

010501

040400

007800

009606

004950

007300

984600

012300

000100

974800

982600

989600

000600

001600

003602

005103

002200

004009

980600

961600

000600

000100

000300

941000

987700

000200

000200

001000

001400

002100

002600

976800

977700

000100

000701

007900

008952

009320

006501

007040

007202

000702

001900

004101

008313

002300

004400

000800

002403

004404

001101

002701

004502

002800

005201

002900

006100

000602

000700

COLORADO

Adams County ..............................................................................................

Arapahoe County ..........................................................................................

Baca County..................................................................................................

Boulder County.............................................................................................

Chaffee County .............................................................................................

Conejos County.............................................................................................

Costilla County .............................................................................................

Crowley County............................................................................................

Denver County..............................................................................................

El Paso County .............................................................................................

Huerfano County...........................................................................................

Lake County..................................................................................................

Larimer County.............................................................................................

Las Animas County ......................................................................................

Mesa County .................................................................................................

Montezuma County.......................................................................................

Otero County.................................................................................................

Prowers County.............................................................................................

Pueblo County...............................................................................................

Rio Grande County.......................................................................................

Saguache County ..........................................................................................

Weld County .................................................................................................

CONNECTICUT

Fairfield County............................................................................................

Hartford County............................................................................................

January 27, 2003

329

022200

070600

071200

071700

073600

074000

415900

417100

500100

982700

988000

000500

000600

001100

001800

002200

002901

000700

001200

001900

002300

000800

001300

002000

002400

000200

000800

000500

001002

000600

044100

070900

071300

071900

073700

074300

416100

417300

500200

070300

071000

071400

073200

073800

074400

416200

480600

500300

070500

071100

071600

073500

073900

416600

490200

500400

2003–4 I.R.B.

State and County or

County Equivalent

Qualified Census Tracts

CONNECTICUT (cont.)

Hartford County (cont.) ................................................................................

Litchfield County..........................................................................................

Middlesex County.........................................................................................

New Haven County ......................................................................................

New London County ....................................................................................

Windham County ..........................................................................................

DELAWARE

New Castle County.......................................................................................

DISTRICT OF COLUMBIA

District of Columbia .....................................................................................

FLORIDA

Alachua County ............................................................................................

Bay County ...................................................................................................

Brevard County.............................................................................................

Broward County............................................................................................

Collier County...............................................................................................

Duval County................................................................................................

Escambia County ..........................................................................................

Hillsborough County.....................................................................................

2003–4 I.R.B.

330

500500

501200

501700

502600

503000

503400

504100

310300

541100

140200

140600

141500

142400

170300

350200

350800

352200

690100

696800

800600

500900

501300

501800

502700

503100

503500

504300

501000

501400

502400

502800

503200

503700

504700

501100

501500

502500

502900

503300

503800

504900

541600

140300

140700

141600

142500

171000

350300

351200

541800

140400

140800

142100

170100

171500

350400

351400

140500

141300

142300

170200

350100

350500

351700

690300

702202

690400

702500

690500

000100

001700

002300

000700

001900

014501

000800

002000

000900

002200

004700

007200

007408

008904

009806

004901

007401

007504

009602

009808

006002

007404

008803

009801

009904

006400

007406

008804

009802

000200

001502

001800

060700

030301

041600

100500

011204

000400

001600

002901

000400

002000

000700

003400

000600

001902

000901

000902

041400

060303

041500

080500

001300

001800

001500

002600

001700

001800

003000

003900

003200

004000

062600

030402

041700

011205

001000

001700

011500

001500

001800

003600

January 27, 2003

State and County or

County Equivalent

Qualified Census Tracts

FLORIDA (cont.)

Hillsborough County (cont.).........................................................................

Lee County....................................................................................................

Leon County .................................................................................................

Marion County..............................................................................................

Miami-Dade County .....................................................................................

Orange County..............................................................................................

Palm Beach County ......................................................................................

Pinellas County .............................................................................................

Polk County ..................................................................................................

St. Lucie County...........................................................................................

Seminole County...........................................................................................

Volusia County..............................................................................................

GEORGIA

Ben Hill County............................................................................................

Bibb County..................................................................................................

Burke County................................................................................................

Carroll County ..............................................................................................

Chatham County ...........................................................................................

Clarke County ...............................................................................................

Clay County ..................................................................................................

Cobb County .................................................................................................

Colquitt County.............................................................................................

Decatur County .............................................................................................

January 27, 2003

331

004300

000302

000500

001200

001700

000408

000903

001501

001803

002001

002402

003001

003400

003702

005201

005402

010206

011001

010400

011702

001404

002600

008301

020500

021200

010100

012004

000100

020500

081500

960400

010100

010700

011400

013000

950400

990502

000100

001800

002400

010101

000100

030200

960100

030800

970300

970400

010807

000502

000600

001400

001800

000503

001004

001502

001901

002003

002500

003003

003601

003907

005202

005703

010602

011300

010500

011901

001909

006801

010808

000600

001001

002001

012900

001101

002002

000703

001401

001702

001903

002004

002600

003004

003602

004402

005301

006602

010800

000803

001402

001801

001904

002401

002800

003100

003701

004901

005302

009310

010900

010600

014502

002200

008201

011400

020700

021300

010200

013300

000200

020900

021600

011000

013701

000300

021000

081900

082000

082100

010400

011100

011500

010500

011200

012700

010600

011300

012900

000601

001900

002800

001100

002000

003200

001200

002300

004400

000400

000900

001900

002400

008202

011201

950800

2003–4 I.R.B.

State and County or

County Equivalent

Qualified Census Tracts

GEORGIA (cont.)

DeKalb County .............................................................................................

Dougherty County.........................................................................................

Evans County................................................................................................

Floyd County ................................................................................................

Fulton County ...............................................................................................

Glynn County................................................................................................

Hall County...................................................................................................

Hancock County ...........................................................................................

Houston County ............................................................................................

Laurens County.............................................................................................

Liberty County..............................................................................................

Lowndes County ...........................................................................................

Mitchell County ............................................................................................

Muscogee County .........................................................................................

Richmond County .........................................................................................

Screven County.............................................................................................

Spalding County ...........................................................................................

Stewart County .............................................................................................

Terrell County ...............................................................................................

Thomas County.............................................................................................

Tift County....................................................................................................

Ware County .................................................................................................

HAWAII

Honolulu County...........................................................................................

2003–4 I.R.B.

332

020600

000100

001200

001500

970300

001500

000800

002100

002500

003500

004100

004800

005700

006602

007002

007400

008301

008601

010900

000700

000800

980100

020400

950300

010100

010500

011302

980300

000300

001500

002400

003000

011000

000200

000900

010300

970200

160400

950200

980300

960100

990600

950400

022100

000200

001300

010302

023802

000300

001401

010601

001000

002200

002600

003700

004300

005501

006200

006700

007100

007601

008302

008602

011000

000800

001700

002300

002800

003800

004400

005502

006300

006802

007200

007808

008400

008701

011201

001900

002400

003300

003900

004600

005600

006400

006900

007300

008202

008500

008702

010800

010900

011000

000500

001600

002500

003200

001300

001800

002700

003400

001400

002200

002800

010800

000300

001300

010400

000600

001400

010504

000700

001500

010600

950700

950800

003900

005800

009501

010801

005200

006202

009502

005400

006302

009503

000800

001402

010700

980200

950900

005700

008610

009505

January 27, 2003

State and County or

County Equivalent

Qualified Census Tracts

HAWAII (cont.)

Kalawao County ...........................................................................................

Kauai County ................................................................................................

Maui County .................................................................................................

031900

041000

031300

IDAHO

Canyon County .............................................................................................

Owyhee County ............................................................................................

020200

940300

ILLINOIS

Adams County ..............................................................................................

Alexander County .........................................................................................

Champaign County .......................................................................................

Cook County .................................................................................................

January 27, 2003

333

000400

957900

000100

005300

031200

080500

222600

230200

231500

240600

242700

260300

260700

270500

271200

280500

281000

282700

283900

290200

290600

291100

291500

291900

300200

300900

301400

310600

311200

340600

351100

360200

370200

380500

381300

381700

390400

400500

410400

420700

000700

000800

000300

006000

031500

080800

222800

230300

231600

240700

251700

260400

260800

270600

271300

280600

281300

283500

284000

290300

290700

291200

291600

292000

300400

301000

301500

310800

320400

350200

351400

360300

370400

380600

381400

381800

400100

400600

420400

420800

000700

005200

031600

081900

222900

230900

231700

241000

251900

260500

270200

270700

271400

280800

281400

283600

284100

290400

290900

291300

291700

292200

300700

301200

310100

310900

330300

350400

351500

360400

380100

380700

381500

382000

400200

400700

420500

420900

050400

222300

230100

231100

240100

241100

260100

260600

270300

271100

280400

280900

281500

283800

284200

290500

291000

291400

291800

300100

300800

301300

310500

311000

340400

350600

360100

370100

380200

380800

381600

390300

400300

400800

420600

421100

2003–4 I.R.B.

State and County or

County Equivalent

Qualified Census Tracts

ILLINOIS (cont.)

Cook County (cont.) .....................................................................................

Crawford County ..........................................................................................

DeKalb County .............................................................................................

Franklin County ............................................................................................

Greene County ..............................................................................................

Jackson County .............................................................................................

Jefferson County ...........................................................................................

Kane County .................................................................................................

Kankakee County..........................................................................................

Lake County..................................................................................................

McDonough County .....................................................................................

McLean County ............................................................................................

Macon County...............................................................................................

Madison County............................................................................................

Marion County..............................................................................................

Peoria County ...............................................................................................

Rock Island County ......................................................................................

St. Clair County ............................................................................................

Saline County................................................................................................

Sangamon County.........................................................................................

Stephenson County .......................................................................................

Vermilion County..........................................................................................

White County................................................................................................

Will County...................................................................................................

Winnebago County .......................................................................................

2003–4 I.R.B.

334

430300

440100

460600

461000

540100

610400

611200

611800

630100

670800

671200

680200

680600

681100

690200

710200

826901

980400

001000

041000

973900

011100

050900

853700

011000

862300

010500

000200

000100

000800

400300

952500

000100

000600

001200

020600

500400

502200

502800

955500

000800

001600

000700

000100

958000

881900

001000

002400

430500

440800

460700

490200

560200

610500

611300

611900

670200

670900

671500

680300

680700

681200

690300

710900

826902

430700

460100

460800

491400

610200

610600

611400

612000

670300

671000

671700

680400

680900

681300

690700

821500

829000

431300

460200

460900

500200

610300

611100

611700

612100

670600

671100

680100

680500

681000

690100

710100

826800

829100

001100

001200

011200

051000

011300

011400

011600

862605

012300

862700

862902

000300

000900

400700

000600

001000

400901

000700

000200

000700

001300

022300

500500

502401

504201

000300

000800

001500

022600

500600

502500

504500

000500

000900

000900

001700

001400

002400

000200

000300

882000

001100

002500

001300

002600

023600

500900

502700

001500

002802

002100

002800

January 27, 2003

State and County or

County Equivalent

Qualified Census Tracts

INDIANA

Allen County.................................................................................................

Delaware County ..........................................................................................

Wayne County...............................................................................................

001600

000100

000600

002600

070200

976300

010202

012200

031000

040200

000500

330801

350900

352800

354400

355700

000201

002800

005500

001900

000100

010500

000200

IOWA

Black Hawk County .....................................................................................

Dubuque County ...........................................................................................

Johnson County.............................................................................................

Polk County ..................................................................................................

Scott County .................................................................................................

Story County .................................................................................................

Webster County.............................................................................................

Woodbury County.........................................................................................

000100

000100

002100

004900

010800

000500

000700

001500

Elkhart County..............................................................................................

Floyd County ................................................................................................

Henry County................................................................................................

Lake County..................................................................................................

LaPorte County .............................................................................................

Madison County............................................................................................

Marion County..............................................................................................

Monroe County .............................................................................................

St. Joseph County .........................................................................................

Tippecanoe County .......................................................................................

Vanderburgh County .....................................................................................

Vigo County..................................................................................................

KANSAS

Douglas County ............................................................................................

Geary County................................................................................................

Montgomery County.....................................................................................

Reno County .................................................................................................

Riley County .................................................................................................

Saline County................................................................................................

Sedgwick County..........................................................................................

Shawnee County ...........................................................................................

Wyandotte County ........................................................................................

January 27, 2003

335

000400

000100

950500

000600

000802

000200

000600

002600

000400

004000

040300

041200

001700

000200

000902

002800

002100

000300

001901

002700

000400

011400

020600

011900

030100

012100

030300

350300

351100

353100

354700

356900

000600

350700

351600

353500

355000

357200

350800

351700

353600

355600

010300

002500

000300

010500

002600

000500

000800

000900

005000

010900

005200

001600

000200

950900

000800

001000

951200

000800

003700

000500

000900

006800

001100

001800

001200

040800

043000

041000

041100

2003–4 I.R.B.

State and County or

County Equivalent

Qualified Census Tracts

KENTUCKY

Bell County ...................................................................................................

Breathitt County............................................................................................

Campbell County ..........................................................................................

Clay County ..................................................................................................

Fayette County..............................................................................................

Floyd County ................................................................................................

Harlan County...............................................................................................

Jefferson County ...........................................................................................

Knox County.................................................................................................

Lawrence County..........................................................................................

Letcher County .............................................................................................

Lewis County................................................................................................

McCracken County .......................................................................................

McCreary County .........................................................................................

Madison County............................................................................................

Martin County...............................................................................................

Owsley County .............................................................................................

Perry County .................................................................................................

Warren County ..............................................................................................

Whitley County.............................................................................................

LOUISIANA

Bossier Parish ...............................................................................................

Caddo Parish .................................................................................................

Calcasieu Parish............................................................................................

East Baton Rouge Parish..............................................................................

East Carroll Parish........................................................................................

Evangeline Parish .........................................................................................

Iberia Parish ..................................................................................................

Jefferson Parish.............................................................................................

Lafayette Parish ............................................................................................

Lincoln Parish ...............................................................................................

Madison Parish .............................................................................................

Natchitoches Parish.......................................................................................

Orleans Parish ...............................................................................................

2003–4 I.R.B.

336

960100

980400

050100

950100

000400

980800

970300

971200

000600

002700

004301

990100

990300

950300

990400

030100

960100

010500

950100

990200

970700

010200

980800

010400

020400

021300

024601

000400

000200

001500

003102

990300

950500

030800

020600

000800

960900

960300

990700

000200

000901

001304

001733

002800

003306

004500

006700

960900

980700

961000

950400

000801

950500

000900

950600

001800

970600

971000

971100

001800

003000

004302

002300

003500

005900

002400

003700

006200

030200

960200

030300

960400

030400

011300

020600

021700

020800

023300

020900

023700

001000

002100

001104

002200

001300

002800

950300

950600

026200

000900

027602

960400

000300

000902

001500

001900

002900

003500

004800

006800

000601

000903

001600

002000

003000

004401

004900

006900

000603

001301

001714

002700

003305

004402

006000

007100

January 27, 2003

State and County or

County Equivalent

Qualified Census Tracts

LOUISIANA (cont.)

Orleans Parish (cont.) ...................................................................................

008101

009200

013100

000700

010700

011100

012700

961600

008500

009301

008600

009302

000900

001100

011400

011900

St. Landry Parish ..........................................................................................

St. Mary Parish .............................................................................................

Vermilion Parish ...........................................................................................

Webster Parish ..............................................................................................

00

This text is long and has been trimmed here. Open the source document for the complete record.

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

A word about cookies

We need a few to keep you signed in and the library working. The rest help us see which pages people use and where they get stuck. They stay off unless you say yes.