All of the Following Statements Regarding Determination Letters Are True

question 77

Multiple Choice

All of the following statements regarding determination letters are true, except:

• A) A determination letter is generally issued in the same circumstances as a private ruling.
• B) Determination letters are issued by the National Office of the IRS.
• C) Most determination letters are issued in matters involving pension plans and exempt organizations.
• D) A determination letter is issued in response to a written inquiry of the taxpayer which applies the principles and precedents announced by the National Office to a specific set of facts.

---

Definitions:

Access

The right or opportunity to use, approach, or enter a place or service, or the act of gaining this right.

Books and Records

Official documentation of a business's financial transactions, activities, and obligations, maintained for legal and operational purposes.

Oral Promise

A commitment or assurance given verbally, not in written form, which may or may not be legally binding depending on the context.

Capital Contribution

The amount of money or assets provided by an owner or partner to a business for use as capital.