revenue ruling


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Related to revenue ruling: Letter Rulings

Ruling

An official opinion by the IRS on how it interprets U.S. tax law. The IRS may make a ruling, for example, after seeing taxpayers apply a deduction or credit to an unusual, but still relevant situation. The IRS determines whether or not it will accept the situation, and, afterward, applies the ruling to all comparable situations. It is also called a revenue ruling, a letter ruling, or a private letter ruling.

revenue ruling

The written guidance that is provided taxpayers by the Internal Revenue Service. Although revenue rulings apply to individual situations, they are often of general interest because of the manner in which the IRS interprets a particular tax problem. Also called letter ruling, ruling.

revenue ruling

Advice from the IRS national office regarding application of the law to a particular fact situation on which a taxpayer has requested guidance.Any taxpayer may rely on a revenue ruling as guidance for similar conduct,but courts are not bound by them if a court thinks the IRS was wrong.Contrast with private letter rulings (also called letter rulings) which issue from a local IRS office and which can be relied upon only by the taxpayer to whom the letter was addressed. Contrast also with a technical advice memorandum issued under different rules but still binding on the IRS only as regards one particular taxpayer.

References in periodicals archive ?
The ruling specifically distinguishes Revenue Ruling 77-17, which held that losses sustained in the open market resulting from fraudulent activity of a corporation's officers or directors are capital in nature.
TD 9478 and REG-131028-09, Revenue Rulings 2010-4 and 2010-5
However, the proposed revenue ruling may raise more questions regarding limitations on permissible recruitment tools that the IRS identified.
2006) (despite citing to a Sixth Circuit opinion that applied the Skidmore deference standard to a revenue ruling, the court noted that the precise degree of deference owed to the ruling at issue was unclear).
The IRS revenue ruling would take all of these positive contributions away.
Revenue rulings (58-112, 55-431 and 55-258) indicate that income from an occasional act or transaction, absent proof of efforts to continue those acts or transactions on a regular basis, are not income from a trade or business.
Now, Revenue Ruling 2005-4 extends the scope of the existing regulation to include additional taxes voluntarily reported by taxpayers on amended returns or in IRS correspondence.
In revoking Revenue Ruling 81-253 and replacing it with Revenue Ruling 93-12, the IRS is yielding to a number of court decisions upholding the discounting of the value of minority-interest shares, said Wilkinson.
The second ruling, Revenue Ruling 2004-110, concerns payments made in connection with the cancellation of an employment contract.
1) Overall, the number of precedential published guidance (regulations, revenue rulings, revenue procedures, and notices) noticeably decreased between 1980 and 2000.
LILO transactions ceased when the Treasury Department issued the first of its revenue rulings on the product back in March 1999 (revenue ruling 99-14), which was subsequently followed by final section 467 regulations and revenue ruling 2002-69.
The court cited the North Dakota State decision and revenue ruling 58-301 (1958-1 CB 23) in which the IRS held that the buyout of a taxpayer's remaining rights in the second year of a five-year contract was not subject to FICA.