Question

Which of the following statements is correct? A) The Internal Revenue Code pertains only to income taxes B) Private Letter Rulings are issued by the IRS and are considered to be general tax authority C) Temporary Regulations expire three years after issuance D) Upon deciding a tax case, the court will issue a Revenue Ruling

Answer 1

The correct statement is:

B) Private Letter Rulings are issued by the IRS and are considered to be general tax authority.

Explanation: Private Letter Rulings are indeed issued by the IRS, but they are specific rulings provided to individual taxpayers regarding their particular tax situations. They are not considered general tax authority and are binding only on the taxpayer who requested them. The other options are not accurate.

Hope this helps ^^