NSTPInternal Revenue Service (IRS)

IR 2017-102

IRS has announced that, beginning June 15, 2017, the Pay.gov electronic payment website will be available for taxpayers to make the required user fee payments when they request letter rulings, closing agreements and certain other rulings from IRS. And, IRS announced, after August 15, 2017, Pay.gov will become the only permissible payment method for those fees.

Pay.gov is a way to make electronic payments to Federal government agencies. Many common forms of payment are accepted, including credit cards, debit cards, and direct debit or electronic funds withdrawal from a checking or savings account.

Fees will have to be paid electronically. IRS has announced that, while up until now ruling requesters could only make required user fee payments by check or money order, during a two-month transition period, June 15 to August 15, requesters will be able to choose to make user fee payments either through Pay.gov or by check or money order. And, after August 15, 2017, Pay.gov will become the only permissible payment method.

Rulings described in Rev Proc 2017-1 and sent to the Docket, Records and User Fee Branch of the Legal Processing Division of the Associate Chief Counsel (Procedure and Administration) is affected by this change. These include private letter rulings, closing agreements, and rulings using Form 1128 (Application to Adopt, Change or Retain a Tax Year), 2553 (Election by a Small Business Corporation), 3115 (Application for Change in Accounting Method), or 8716 (Election to Have a Tax Year Other Than a Required Tax Year). Determination letters are not affected because they are sent to other offices as described in the Revenue Procedure.

Pay.gov is used to accept payments only. The original, signed ruling request and supporting materials must still be submitted by mail or hand delivery.

To submit a user fee, visit pay.gov and use the “IRS Chief Counsel User Fees (or Supplemental User Fees) for Form 1128, Form 2553, Form 3115, Form 8716, Private Letter Rulings and Closing Agreements” form. This form can be found by entering “IRS Chief Counsel User Fees” in the “Search the Forms” box or by clicking on the “Agency List” link under “What Federal Agencies Can I Pay?” and choosing “Internal Revenue Service”.

Once payment is made, print a copy of the completed form and the receipt and include these with the letter ruling request. The announcement provides a mailing address and an address for hand delivery or private courier service delivery.