IRS Increases Fees for Pre-filing Agreements

The Internal Revenue Service is changing its procedures for resolving issues with corporate taxpayers through pre-filing agreements while also increasing the fees.

Revenue Procedure 2016-30 revises Rev. Proc. 2009-14, which outlines the procedures to resolve issues through a pre-filing agreement, or PFA. The revenue procedure expands the scope of a PFA to include issues relating to changes in methods of accounting requested pursuant to the automatic consent procedures and also reflects the new structure of the IRS’s Large Business and International Division.

The Rev. Proc. also clarifies or updates procedures for filling PFA requests; and increases the user fee for PFAs from $50,000 to $134,300 for requests submitted on or after the date that is 30 days after the Rev. Proc. is released, to $218,600 for requests submitted on or after Jan. 1, 2017. Read More