Final answer:
Regulations have more legal authority than revenue rulings and private letter rulings, which offer guidance and interpretations of tax law but are less authoritative.
Step-by-step explanation:
The basic differences between regulations, revenue rulings, and private letter rulings lie in their level of authority and their intended audience.
Regulations are issued by administrative agencies to implement and interpret legislation passed by Congress.
They provide detailed guidelines and have the force of law, making them broadly applicable and binding on all entities under the agency's jurisdiction.
Revenue rulings are public decrees issued by the Internal Revenue Service (IRS) that interpret how the tax law applies to a general set of circumstances, providing guidance for taxpayers. While influential, they are less authoritative than regulations.
Private letter rulings are written decisions provided by the IRS in response to a taxpayer's request for guidance on a specific set of facts.
These rulings only apply to the taxpayer who requested them, and although they are publicized, they cannot be relied upon as precedent by other taxpayers.
correct b}. Regulations have more legal authority than rulings