The Internal Revenue Service's tax-exempt bond office will continue sending out its semiannual newsletter in 2013 after favorable feedback for its second edition of the newsletter started as part of an outreach effort aimed at those overseeing the issuance of municipal debt.
"This is a relatively new approach for us and so we are continuously thinking about better ways to promote an effective dialogue with this audience," said Steve Chamberlin, manager of compliance and program management for the TEB office.
TEB sent out their inaugural 14-page letter to issuers in January advising them on the IRS' agenda and including information about key issues.
The second newsletter was more personalized than the first letter and TEB employees followed up with each of the emails that were sent out.
"As with our last communication, we've received a lot of positive feedback on this and we'll take that feedback and see if we can make further refinements to our approach," Chamberlin said.
The TEB office plans to continue the semiannual newsletters in 2013 as a way to "provide periodic information to our state official audience on our programs and projects," he said.
In the second email newsletter, the TEB office included four articles that focused on the program's priorities. The first article focused on sale of assets financed with tax-exempt bonds by state and local governments and 501(c)(3) organizations.
It reviewed post-issuance actions by issuers of tax-exempt bonds involving the sale of bond-financed assets. The article highlighted that statutory and regulatory rules could lead to a determination that bonds are private activity bonds when these sales occur. It also described remedial action options available to issuers and borrowers.
The second article provided information on ways in which issuers may receive information from the TEB office. This included issuer requests for information, issuer requests for rulings and voluntary closing agreements and TEB examinations. The article provides phone numbers, mailing addresses and email contact information for TEB personnel.
The article also describes what issuers can do in the event they want to request a private letter ruling or enter into a voluntary closing agreement with the IRS.
The third article walks the issuer through the TEB office's examination process including what an initial exam letter may include, the documents that may be requested and how an issuer should respond to the IRS' request.
Finally, the newsletter included an article that reviewed a new TEB publication: Your Responsibilities as a Conduit Issuer of Tax-Exempt Bonds.
"The publication provides an overview of the responsibilities of a conduit issuer with respect to its role as the issuer of tax-advantaged bonds." the letter said.
It also discusses federal tax compliance matters that are the responsibility of the conduit issuer.
The Publication 5005 is available on the IRS website.
