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Part I. Rulings and Decisions Under the Internal Revenue Code of 1986
Section 6104.—Publicity of
Information Required From
Certain Exempt Organizations
and Certain Trusts
26 CFR 301.6104(d)–3: Public inspection and
distribution of applications for tax exemption and
annual information returns of tax-exempt
organizations (other than private foundations).

T.D. 8818
DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 301 and 602
Public Disclosure of Material
Relating to Tax-Exempt
Organizations
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Final regulations.
SUMMARY: This document contains
final regulations relating to the public disclosure requirements of section 6104(d) of
the Internal Revenue Code (Code), as
amended by the Tax and Trade Relief Extension Act of 1998. These final regulations apply only to tax-exempt organizations (organizations described in sections
501(c) or (d) and exempt under section
501(a)) other than private foundations.
These final regulations provide guidance
for tax-exempt organizations (other than
private foundations) required to make their
applications for tax exemption and annual
information returns available for public inspection. In particular, these regulations
provide guidance for tax-exempt organizations required to comply with requests
made in person or in writing from individuals who seek a copy of those documents.
These regulations describe how a tax-exempt organization can make those documents widely available and, therefore, not
be required to provide copies in response
to individual requests. These regulations
also address the standards that apply in determining whether a tax-exempt organization is the subject of a harassment campaign and provide guidance on the
applicable procedures for obtaining relief
from the requirement that copies of documents be provided in response to requests.

1999–17 I.R.B.

DATES: These regulations are effective
June 8, 1999.
FOR FURTHER INFORMATION CONTACT: Michael B. Blumenfeld, (202)
622-6070 (not toll-free number).
SUPPLEMENTARY INFORMATION:
Paperwork Reduction Act
The collections of information contained in these final regulations have been
reviewed and approved by the Office of
Management and Budget in accordance
with the Paperwork Reduction Act (44
U.S.C. 3507) under control number 15451560. Responses to these collections of
information are mandatory.
An agency may not conduct or sponsor,
and a person is not required to respond to,
a collection of information unless the collection of information displays a valid
control number.
The estimated annual burden per respondent/recordkeeper varies from 0
hours to 55 hours, depending on individual circumstances with an estimated average of 30 minutes.
Comments on the accuracy of this burden estimate and suggestions for reducing
the burden should be sent to the Internal
Revenue Service, Attn: IRS Reports
Clearance Officer, OP:FS:FP, Washington, DC 20224, and to the Office of Management and Budget, Attn: Desk Officer
for the Department of the Treasury, Office
of Information and Regulatory Affairs,
Washington, DC 20503.
Books or records relating to this collection of information must be retained as
long as their contents may become material in the administration of any internal
revenue law. Generally, tax returns and
tax return information are confidential, as
required by 26 U.S.C. 6103.
Background
This document contains amendments to
the Procedure and Administration Regulations (26 CFR part 301) relating to the
section 6104(d) public disclosure requirements applicable to tax-exempt organizations (organizations described in sections
501(c) or (d) and exempt from taxation
under section 501(a)). Section 6104(d),

3

as amended by section 14(b) of the Tax
and Trade Relief Extension Act of 1998
(Division J of H.R. 4328, the Omnibus
Consolidated and Emergency Supplemental Appropriations Act, 1999) (Public Law
105–277, 112 Stat. 2681) (Tax and Trade
Relief Extension Act of 1998), will apply
to requests made to all tax-exempt organizations (other than private foundations)
after June 8, 1999. Until such date, all
tax-exempt organizations continue to be
subject to the requirements of section
6104(e) as currently in effect, without regard to the Tax and Trade Relief Extension Act of 1998.
Although the Tax and Trade Relief Extension Act of 1998 extended fully to private foundations the public disclosure requirements that apply to other tax-exempt
organizations, those requirements do not
go into effect with respect to private foundations until the 60th day after the Secretary of the Treasury issues final regulations under section 6104(d) that apply to
private foundations. In the meantime, private foundations continue to be subject to
the public disclosure requirements under
sections 6104(d) and (e) of the Internal
Revenue Code, as in effect prior to the
Tax and Trade Relief Extension Act of
1998.
Description of Current Law
Section 6104(e)
Section 10702 of the Omnibus Budget
Reconciliation Act of 1987 (OBRA ’87)
added subsection (e) to section 6104.
Section 6104(e) requires each tax-exempt
organization, including one that is a private foundation, to allow public inspection of the organization’s application for
recognition of tax exemption. Section
6104(e) also requires each tax-exempt organization, other than one that is a private
foundation, to allow public inspection at
the organization’s principal office (and
certain regional or district offices) of its
three most recent annual information returns. (Section 6104(e) does not apply to
private foundation annual information returns, which are subject to public disclosure under section 6104(d), as in effect
prior to the Tax and Trade Relief Extension Act of 1998.) Under section 6104(e),
each annual information return must be

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made available for a 3-year period beginning on the date the return is required to
be filed or is actually filed, whichever is
later. In Notice 88–120 (1988–2 C.B.
454), the IRS provided tax-exempt organizations with guidance for complying
with the public inspection requirements.
The Taxpayer Bill of Rights 2
(TBOR2), enacted on July 30, 1996,
amended section 6104(e) by adding additional public disclosure requirements. As
amended, section 6104(e) requires each
tax-exempt organization, including one
that is a private foundation, to comply
with requests, made either in person or in
writing, for copies of the organization’s
application for recognition of tax exemption. Section 6104(e) also requires each
tax-exempt organization, other than one
that is a private foundation, to comply
with requests, made either in person or in
writing, for copies of the organization’s
three most recent annual information returns. The organization must fulfill these
requests without charge, other than a reasonable fee for reproduction and postage.
If the request for copies is made in person, the organization generally must provide the requested copies immediately. If
the request for copies is made in writing,
the organization must provide the copies
within 30 days. Section 6104(e) also provides that an organization is relieved of its
obligation to provide copies upon request
if, in accordance with regulations promulgated by the Secretary of the Treasury, (1)
the organization has made the requested
documents widely available, or (2) the
Secretary of the Treasury determines,
upon application by the organization, that
the organization is subject to a harassment
campaign such that a waiver of the obligation to provide copies would be in the
public interest.

sideration of all the written comments regarding the proposed regulations, and the
amendments made by the Tax and Trade
Relief Extension Act of 1998, described
below, those regulations are adopted as
revised by this Treasury decision.

§301.6104(d)–1, relating to public inspection of private foundation annual returns,
is not affected by this Treasury decision.

Amendments Made by the Tax and Trade
Relief Extension Act of 1998

The final regulations provide guidance
concerning the application for tax exemption and annual information returns a taxexempt organization, other than a private
foundation, must make available for public inspection and must supply in response
to requests for copies. The final regulations also provide guidance on (1) the
place and time the organization must
make these documents available for public inspection, (2) conditions the organization may place on requests for copies of
the documents, and (3) the amount, form
and time of payment of any fees the organization may charge. The final regulations also prescribe how an organization
can make its application for tax exemption and annual information returns
widely available. Finally, the final regulations provide guidance on the standards
that apply in determining whether an organization is the subject of a harassment
campaign and on the applicable procedures for obtaining relief from the general
requirement that copies of documents be
provided in response to requests.

Issuance of Proposed Regulations under
Section 6104(e)

Future Regulations Will Apply to
Private Foundations

In Notice 96–48 (1996–2 C.B. 214),
the IRS invited comments on the changes
made by TBOR2. Twenty-two comments
were received and considered in the drafting of a notice of proposed rulemaking
(REG–246250–96, 1997–2 C.B. 627),
published in the Federal Register (62
F.R. 50533) on September 26, 1997. The
IRS received twenty written comments on
the proposed regulations and held a public
hearing on February 4, 1998. After con-

The IRS and the Treasury Department
intend to issue shortly a notice of proposed rulemaking relating to the public
disclosure requirements of section
6104(d) as those requirements apply to
private foundations. Until 60 days after
final regulations are issued, private foundations continue to be subject to sections
6104(d) and (e), as in effect prior to
the Tax and Trade Relief Extension Act
of 1998. For that reason, existing

April 26, 1999

The Tax and Trade Relief Extension
Act of 1998, which was enacted on October 21, 1998, amended section 6104(e) of
the Internal Revenue Code to subject private foundations to the same rules regarding public disclosure of annual information returns that apply to other tax-exempt
organizations. In addition, the Tax and
Trade Relief Extension Act of 1998 repealed existing section 6104(d), and redesignated section 6104(e), as amended,
as new section 6104(d). (Unless otherwise noted, all references in these final
regulations to section 6104(d) are to section 6104(d) as amended by the Tax and
Trade Relief Extension Act of 1998.)
The Tax and Trade Relief Extension
Act of 1998 amendments apply to requests made after the later of December
31, 1998, or the 60th day after the Secretary of the Treasury issues regulations referred to in section 6104(d)(4) (relating to
when documents are made widely available and when a particular request is considered part of a harassment campaign).
This Treasury decision adopts final regulations under section 6104(d)(4) that are
applicable to tax-exempt organizations
other than private foundations. Accordingly, amendments to section 6104(d) will
become applicable with respect to requests made to tax-exempt organizations
other than private foundations after June
8, 1999.

4

Explanation of Provisions
Overview

Application for Tax Exemption
A tax-exempt organization, other than
one that is a private foundation, must
make its application for tax exemption
available pursuant to these final regulations. An application for tax exemption
includes the application form (such as
Form 1023 or Form 1024) and any supporting documents filed by, or on behalf
of, the organization in connection with its
application. It also includes any letter or
document issued by the IRS in connection
with the application. Consistent with the
guidance provided in Notice 88–120, if an
organization filed its application before
July 15, 1987, the final regulations provide that the organization is required to
make available a copy of its application
only if it had a copy of the application on
July 15, 1987.
Annual Information Returns
A tax-exempt organization, other than
one that is a private foundation, must

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make its three most recent annual information returns available pursuant to these
final regulations. Generally, an annual information return includes Forms 990,
990-EZ, 990-BL, and Form 1065. It also
includes, generally, all schedules and attachments filed with the IRS. An organization is not required, however, to disclose the parts of the return that identify
names and addresses of contributors to
the organization, nor is it required to disclose Form 990-T.
A few commentators asked that the
final regulations exempt certain items reported on an application for tax exemption or an annual information return from
disclosure. For example, one commentator observed that only an organization described in section 501(c)(3) is required by
statute (section 6033) to report certain
compensation information. By contrast, it
is the regulations under section 6033 that
require tax-exempt organizations described in other parts of section 501(c) or
section 501(d) to report certain compensation information. Accordingly, the
commentator asked that the final regulations require public disclosure of the compensation section of Form 990 only when
it is a statutory requirement, as opposed to
a regulatory requirement, to report such
information. Because section 6104(d) requires, except for specific exceptions, disclosure of all the information reported on
an application or return, the IRS and the
Treasury Department decided that requiring public disclosure of compensation information required to be reported on an
annual information return either by statute
or regulation is consistent with section
6104(d).
One commentator requested that final
regulations require an organization that
has not been determined by the IRS to be
exempt from taxation under section
501(a) to make its application for tax exemption available for public inspection
and to provide copies upon request. Section 301.6104(e)–1(b)(3) of the proposed
regulations provided that an organization
is not required to disclose its application
for tax exemption until the IRS determines it is exempt from taxation. Section
6104(d)(1) requires an organization to
disclose its application for tax exemption
only where it is exempt under section
501(a). Thus, the statute does not require
an organization to disclose its application

1999–17 I.R.B.

for tax exemption while the application is
pending or in a case where the IRS issues
an adverse determination. Accordingly,
the IRS and the Treasury Department continue to believe that the rule of the proposed regulation is consistent with the
statute and have decided not to change
this provision.
One commentator proposed that a special rule be included in the final regulations so that a religious or apostolic organization described in section 501(d)
would not be required to publicly disclose
a Schedule K-1 of Form 1065 because it
contains taxpayer information with respect to the distributees (i.e., the ratable
portions of the net income and expenses
of the individual members of the organization). After the submission of this comment, the Internal Revenue Service Restructuring and Reform Act of 1998,
Public Law 105–206 (112 Stat. 685) was
enacted. Section 6019 of this Act
amended Code sections 6104(b) and
6104(e) to provide specifically that organizations described in section 501(d) are
not required to publicly disclose a Schedule K-1 filed by the organization. Consistent with this statutory modification of
section 6104, the final regulations eliminate the requirement that a religious or
apostolic organization described in section 501(d) disclose a Schedule K-1.
Place and Time Documents Must Be
Available for Public Inspection
Section 6104(d) requires a tax-exempt
organization to make its documents available for public inspection, and provide
copies upon request, at its principal office
and at certain regional or district offices.
Under Notice 88–120, certain sites where
services are provided (such as day care or
health care) are not treated as regional or
district offices for purposes of the public
inspection requirements, provided that
such sites do “not serve as offices of management staff (other than managers involved solely in managing the specific
service of that service provider office).”
The IRS and the Treasury Department
recognize that many tax-exempt organizations maintain sites where their employees or volunteers solely provide services
that further exempt purposes, including
services provided directly to the public,
but do not maintain administrative or
management staff at such sites necessary

5

to respond to public disclosure requests.
Accordingly, the proposed regulations expanded the “service provider exception”
of Notice 88–120 slightly. Under the
proposed regulations, sites where the only
services provided further exempt purposes (such as day care, health care or scientific or medical research) were excluded from the definition of a regional or
district office. Thus, under the proposed
regulations, a research organization that
maintains a laboratory used solely by individuals conducting scientific research
on behalf of the organization would not
have to respond to public disclosure requests made at the laboratory even though
the researchers are not providing direct
services to the public. However, a research organization would have a public
disclosure obligation at a laboratory if the
organization also uses space at that location as offices for some of its management staff (other than those involved
solely in managing the exempt function
activities at the laboratory).
Several comments were received on
this topic. One commentator expressed
the view that the definition of regional or
district office in the proposed regulations
was reasonably well balanced. Other
commentators, however, expressed concern that this definition would reduce the
number of sites from which the documents could be obtained. One of these
commentators expressed the view that exempting organizations from complying
with public disclosure requests made at
sites where employees engage solely in
providing exempt services would unnecessarily complicate the determination
whether an organization is required to respond to public disclosure requests at a
particular site. This commentator suggested that the final regulations treat any
site with 3 or more employees as a regional or district office where an organization must respond to requests for public
inspection or copies. Another commentator expressed the view that the exception
for sites dedicated solely to providing exempt services was reasonable, but suggested that the final regulations clarify
what activities would constitute management activities that would require an organization to respond to public disclosure
requests at the site.
The IRS and the Treasury Department
believe that the “regional and district of-

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fice” rule of section 6104(d) was intended
to enhance the availability of documents
in the case of an organization that maintains management staff at one or more offices in addition to its principal office.
However, Congress explicitly recognized
that the burden to an organization of complying with requests for public inspection
or copies made at small regional or district offices (those with fewer than 3
employees) would outweigh the public
benefit of increased availability of the
documents. This rationale applies equally
as well to certain sites of a tax-exempt organization where its employees and volunteers engage solely in providing services that further exempt purposes and
which do not serve as an office for management staff. The IRS and the Treasury
Department believe the rule expressed in
the proposed regulations is consistent
with the intent of the statute and prior IRS
guidance, particularly in light of the new
provisions that allow copies to be obtained by mail. Therefore, the rule of the
proposed regulations is followed in the
final regulations.
The proposed regulations prescribed
how an organization that does not maintain a permanent office or whose office
has very limited hours during certain
times of the year can comply with the
public inspection requirements. The proposed regulations also provided rules concerning the conditions the organization
may impose on public inspections that are
consistent with Notice 88–120. In this regard, the final regulations follow the proposed regulations.
The proposed regulations permitted a
principal, regional, or district office of an
organization to use an agent to process requests for copies. One commentator
asked that the final regulations also allow
a tax-exempt organization to retain a local
agent to satisfy the organization’s public
inspection obligation. After careful consideration of this comment, the IRS and
the Treasury Department have concluded
that, to avoid potential inconvenience to
members of the public, it is important that
tax-exempt organizations make their applications and returns available for inspection at their offices. Therefore, the
IRS and the Treasury Department did not
adopt this comment.
Another commentator asked that the
final regulations clarify that an organiza-

April 26, 1999

tion may apply the same security measures to individuals that request inspection
or copies that it applies to the public in
general. The IRS and the Treasury Department have determined that the proposed regulations would not preclude a
tax-exempt organization from implementing its normal security measures. Thus, no
change is reflected in the final regulations.
Requirement to Furnish Copy to a
Requester
The proposed regulations generally required that a tax-exempt organization accept requests for copies made in person at
the same place and time that the specified
documents must be available for public
inspection. In general, the proposed regulations required that the copies be provided on the day of the request. However,
the proposed regulations provided that, in
unusual circumstances, an organization
may provide the requested copies on the
next business day. Some commentators
expressed concern that a one-day delay
may not be sufficient. In response to
these comments, the final regulations provide that an organization must comply
with requests for copies made in person
by providing copies no later than the next
business day following the day the unusual circumstances cease to exist. However, in no event may the period of delay
exceed five business days. In response to
another comment, the final regulations
clarify that unusual circumstances include
times when the organization’s managerial
staff capable of fulfilling the request attends an off-site meeting or convention.
When a request for copies is made in
writing, the proposed regulations required
that a tax-exempt organization mail the
copies within 30 days from the date it receives the request. However, the proposed regulations provided that, if an organization requires advance payment of a
reasonable fee for copying and postage, it
may provide the copies within 30 days
from the date it receives payment, rather
than from the date of the initial request.
In addition, the proposed regulations provided guidance as to what constitutes a request, when a request is considered received, and when copies are deemed
provided. The final regulations follow the
rules in the proposed regulations.
The proposed regulations provided that
individuals may request a specific part of

6

an application for tax exemption or annual information return. One commentator expressed concern that requiring a taxexempt organization to provide a copy of
only part of a document may create a significant burden on the tax-exempt organization because the organization would
have to identify the particular information
requested. In order to minimize this potential burden, without requiring the requester to pay for a copy of parts of a document that the requester has no interest in
obtaining, the final regulations permit a
requester to request a copy of any specifically identified part or schedule of an application or a return (except for information which is not subject to public
disclosure under section 6104(d)(3)). For
example, a requester may request a copy
of Part V (List of Officers, Directors,
Trustees and Key Employees) of Form
990.
Reasonable Fee for Providing Copies
Section 6104(d)(1)(B) permits an organization to charge a reasonable fee for the
cost of copying and mailing documents in
response to requests for copies. The proposed regulations stated that a fee was
reasonable only if it did not exceed the
fees the IRS charges for copies of tax-exempt organization tax returns and related
documents. This fee is currently $1.00
for the first page and $.15 for each subsequent page. In addition, the proposed regulations allowed a charge for actual
postage costs. Some commentators requested that the reasonable fee be greater
than the amount stated in the proposed
regulations. One commentator suggested
that the final regulations allow organizations to consider personnel costs and not
limit the fee to the IRS charge. The IRS
and the Treasury Department are concerned that permitting organizations to
charge a higher fee could hinder the public’s ability to receive a copy of an application or return. Consequently, it was decided that, on balance, the reasonable fee
set forth in the proposed regulations is appropriate. Thus, the final regulations
adopt the reasonable fee provision of the
proposed regulations.
The proposed regulations permitted an
organization to collect payment in advance of providing the requested copies.
Under the proposed regulations, if an or-

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ganization receives a written request for
copies with no payment enclosed, and the
organization requires payment in advance,
the organization must request payment
within 7 days from the date it receives the
request. The proposed regulations required an organization to accept payment
made by cash or money order and, when
the request is made in writing, also accept
payment made by personal check. An organization is permitted to accept other
forms of payment. One commentator
asked for the elimination of the requirement to accept a personal check because
an organization could be liable for bank
charges if there are insufficient funds to
cover the personal check. The final regulations generally follow the proposed regulations, except that the final regulations
provide that a tax-exempt organization
that accepts payment by credit card is not
required to accept personal checks.
Consistent with the proposed regulations, the final regulations protect requesters from unexpected fees where a
tax-exempt organization does not require
prepayment and where a requester does
not enclose prepayment with a request, by
requiring that an organization must receive consent from a requester before providing copies for which the fee charged
for copying and postage is in excess of
$20.
Local and Subordinate Organizations
Some commentators stated that the proposed regulations were overly burdensome with respect to local or subordinate
organizations recognized as tax-exempt
under a group exemption letter or that file
a group return pursuant to §1.6033–2(d)
and Rev. Proc. 80–27 (1980–1 C.B. 677).
Specifically, they objected to the requirement that a local or subordinate organization make available copies of documents
submitted by the central or parent organization to the IRS to include the local or
subordinate organization in the group ruling, which often consists of lengthy lists
or directories of names and addresses of
affiliated organizations. In addition, one
commentator expressed the view that the
annual filing under Rev. Proc. 80–27 that
a central or parent organization submits to
the IRS to cover a local or subordinate organization under its group exemption letter does not constitute an application for
tax exemption within the meaning of sec-

1999–17 I.R.B.

tion 6104(d)(2)(A). In response to these
comments, the final regulations reduce
the burden on local and subordinate organizations. Under the final regulations, a
local or subordinate organization that receives a request made in person for inspection or for a copy of its application
for tax exemption is required to acquire,
and make available within a reasonable
amount of time (normally not more than
two weeks), the application for a group
exemption letter (if any) filed by the central or parent organization. In addition, a
local or subordinate organization must
also make available any documents submitted by the central or parent organization to the IRS to include the subordinate
organization in the group ruling. However, if the central or parent organization
submits a list or directory of organizations
covered by the group exemption letter, the
local or subordinate organization need
only provide the application for group exemption and those pages of the list or directory that refer to it. If a local or subordinate organization that does not file its
own annual information return but is covered under a group return receives a request made in person for inspection or for
a copy of its annual information return,
the local or subordinate organization must
make its group return available for inspection or provide copies within a reasonable amount of time (normally not
more than two weeks). However, if the
group return includes separate schedules
with respect to each local or subordinate
organization included in the group return,
the local or subordinate organization receiving the request may omit any schedules relating only to other organizations
included in the group return.
If the requester seeks inspection of an
application for tax exemption or an annual information return, the local or subordinate organization may mail a copy of
the applicable document to the requester
within a reasonable amount of time (normally not more than two weeks) in lieu of
allowing an inspection. In such a case,
the local or subordinate organization may
not charge for the copies without the consent of the requester. A local or subordinate organization must comply with written requests for copies in accordance with
the general rules for written requests discussed above.
The final regulations also clarify, consistent with Notice 88–120, the obligation

7

of the central or parent organization to
comply, at its principal office, with requests for inspection or copies of documents relating to its local and subordinate
organizations.
Making Applications and Information
Returns Widely Available
The final regulations provide that a taxexempt organization is not required to
comply with requests for copies if the organization has made the requested documents widely available. The final regulations specify that an organization can
make its application for tax exemption
and/or its annual information returns
widely available by posting the applicable
document on the organization’s World
Wide Web page on the Internet or by having the applicable document posted on another organization’s World Wide Web
page as part of a database of similar materials, provided that the documents are
posted in a format which meets the criteria set forth in the final regulations. An
organization that makes its application for
tax exemption and/or its annual information returns widely available must provide
the individuals who request copies with
the World Wide Web address where the
documents are available.
The proposed regulations provided that
an organization must post its documents
on its World Wide Web page in a format
that the IRS uses to post forms and publications. Unlike the proposed regulations,
the final regulations do not enumerate one
or more particular formats that must be
used. Instead, the final regulations provide that the documents must be posted in
a format that meets the following criteria.
First, any individual with access to the Internet must be able to access, download,
view and print the posted document in a
format which exactly reproduces the
image of the original document filed with
the IRS, except for any information permitted to be withheld from public disclosure under section 6104(d). The final regulations require an exact reproduction
because a format that does not exactly reproduce the image of the original document may raise questions about the accuracy or authenticity of the posted
document. Second, the format must
allow any individual with access to the Internet to access, download, view and print
the posted document without payment of

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a fee to either the tax-exempt organization
or the entity maintaining the World Wide
Web page and without special computer
hardware or software required for that
format, other than software that is readily
available to members of the public free of
charge.
The IRS and the Treasury Department
understand that some of the formats that
the IRS itself uses to post forms and publications on the IRS World Wide Web
page may not satisfy the criteria specified
in the final regulations. For example,
some of these formats could require users
to have access to special hardware or software that is not commonly used by the
public to access, download, view and
print documents. The final regulations
provide a one-year transition rule for any
tax-exempt organization that posted its
documents on the Internet on or before
April 9, 1999, in a manner consistent with
the proposed regulations. Until June 8,
2000, such an organization will be treated
as having made its documents “widely
available” for purposes of the final regulations even if the format used does not
currently satisfy all of the criteria set forth
in the final regulations.
Some commentators suggested that the
final regulations permit an organization to
post its documents on the Internet in
HTML format. As discussed above, the
approach of the final regulations is to
identify the criteria that an Internet format
must satisfy. The IRS and the Treasury
Department understand that, currently,
when a heavily formatted document, such
as a tax return, is posted in HTML format,
it may not exactly reproduce the image of
the original document.
One format that currently satisfies the
criteria set forth in the final regulations is
Portable Document Format (PDF). PDF
is designed to reproduce the image of the
original document exactly. In addition,
documents in the PDF format can be
viewed, navigated and printed by anyone
using the freely available reader software.
Of course, there may be other formats that
currently satisfy the criteria set forth in
the final regulations. The IRS and the
Treasury Department refer to PDF only
for the purpose of illustrating an acceptable format. No inference should be
drawn that the IRS and the Treasury Department view PDF as an especially or
singularly qualified format, that IRS and

April 26, 1999

the Treasury Department endorse or warrant a specific document format (or software used in connection with a format),
or that use or failure to use a specific document format (or software used in connection with a format) will result in any
preferential treatment from the IRS or the
Treasury Department. The IRS and the
Treasury Department note that a specific
format that currently satisfies the ”widely
available” criteria set forth in the final
regulations may be altered such that it no
longer satisfies the “widely available” criteria in the future. Conversely, a specific
format that does not currently satisfy the
“widely available” criteria may be refined
to satisfy the “widely available” criteria in
the future.
As technology advances, the IRS and
the Treasury Department anticipate that
an increasing number of formats will
meet the criteria set forth in the final regulations. Accordingly, the IRS and the
Treasury Department do not intend to
limit technologies that organizations may
use to post their documents as long as the
posted document is readily and freely accessible and appears, whether viewed on
screen or in print, exactly as the original.
The IRS and the Treasury Department
will continue to consider other additional
methods by which applications and returns could be made widely available.
Accordingly, the final regulations provide
that the Commissioner may prescribe, by
revenue procedure or other guidance, additional methods that an organization can
use to make its application for tax exemption and/or its annual information returns
widely available.
Harassment Campaigns
The proposed regulations provided
guidance in determining whether a taxexempt organization is the subject of a harassment campaign such that requiring
compliance with requests for copies that
are part of the harassment campaign
would not be in the public interest. Generally, the proposed regulations provided
that a harassment campaign exists where
the relevant facts and circumstances show
that the purpose of a group of requests
was to disrupt the operations of the taxexempt organization rather than to obtain
information. The proposed regulations
also contained examples that evaluated

8

whether particular situations constituted a
harassment campaign and whether an organization had a reasonable basis for believing that a request was part of the harassment campaign. The final regulations
retain this rule and the examples set forth
in the proposed regulations.
The proposed regulations provided that
an organization may suspend compliance
with a request if the organization reasonably believes that the request is part of a
harassment campaign. Commentators expressed concern that, if there is a delay in
the issuance of an IRS determination as to
whether the organization’s belief is reasonable, the organization could be subject
to significant penalties for the intervening
period. The final regulations do not limit
the penalties that may be retroactively imposed in cases where an organization is
subsequently determined to have lacked a
reasonable belief for suspending compliance. However, the IRS and the Treasury
Department recognize that it may be appropriate to mitigate penalties in certain
circumstances, especially where a delay
in the issuance of a determination is completely outside the control of the organization requesting the determination. The
IRS intends to publish a revenue procedure that will provide additional detail
concerning harassment campaign determinations procedures and may prescribe
rules concerning the imposition and mitigation of penalties.
The proposed regulations required an
organization to file an application for a
harassment campaign determination
within 5 days after suspending compliance with a request that the organization
believes to be part of such harassment
campaign. One commentator asked that
the time period for filing an application be
expanded to either 10 or 15 business days.
Another commentator observed, however,
that such an extension of time would further delay compliance with requests for
copies that an organization reasonably believes, but are determined not to be, part
of a harassment campaign. The final regulations require an organization to file an
application for a harassment determination within 10 business days after suspending compliance. The IRS and the
Treasury Department believe that this
time period strikes an appropriate balance
by providing organizations sufficient time
to prepare and file an application without

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substantially delaying access to copies of
the documents. In addition, the final regulations allow an organization, without
submitting an application, to disregard requests for copies in excess of two per
month or four per year made by a single
individual or sent from a single address.
Some commentators asked for clarification concerning the period that an organization may continue not to comply with
requests for copies that are part of a harassment campaign once it has received
such a determination. The IRS and the
Treasury Department believe that the district director for the key district in which
the organization’s principal office is located (or such other person as the Commissioner may designate) should exercise
reasonable discretion, based on the facts
and circumstances of each case, in deciding the exact terms and conditions of a
harassment campaign determination.
Consequently, the final regulations do not
change this provision of the proposed
regulations.
Various comments concerned the examples of harassment campaigns and requests from members of the news media.
In this regard, example 4 has been modified to better illustrate that a request made
by a member of the news media is a strong
factor tending to indicate that the request
is not part of a harassment campaign.
Other Matters
The proposed regulations provided that
an individual denied inspection, or a copy,
of an application for tax exemption or an
annual information return could seek assistance from the IRS by providing to the
Director of the Exempt Organizations Division a statement that describes the request and the reason for the individual’s
belief that the denial was in violation of
the legal requirements. The final regulations provide instead that such individuals
should send their statements directly to
the district director for the key district in
which the principal office of the tax-exempt organization is located (or such
other person as the Commissioner may
designate). Finally, various comments
raised questions regarding the availability
of an administrative appeal of a harassment campaign determination and
whether harassment campaign applications and determinations are publicly
available. Whether an administrative ap-

1999–17 I.R.B.

peal is available and whether a harassment campaign determination is publicly
available are matters beyond the scope of
these regulations, but may be addressed in
subsequent guidance.

The final regulations are effective June
8, 1999.

nificant economic impact. Therefore, a
Regulatory Flexibility Analysis under the
Regulatory Flexibility Act (5 U.S.C.
chapter 6) is not required. Pursuant to
section 7805(f) of the Internal Revenue
Code, the notice of proposed rulemaking
preceding these regulations was submitted to Small Business Administration for
comment on its impact on small business.

Special Analyses

Drafting Information

It is hereby certified that the collections
of information in these regulations will
not have a significant economic impact on
a substantial number of small entities.
This certification is based on the fact that
the average time required to maintain and
disclose the information required under
these regulations is estimated to be 30
minutes for each tax-exempt organization.
This estimate is based on the assumption
that, on average, a tax-exempt organization will receive one request per year to
inspect or provide copies of its application for tax exemption and its annual information returns. Less than 0.001 percent of the tax-exempt organizations
affected by these regulations will be subject to the reporting requirements contained in the regulations. It is estimated
that annually, approximately 1,000 taxexempt organizations will make their documents widely available by posting them
on the Internet. In addition, it is estimated
that annually, approximately 50 tax-exempt organizations will file an application
for a determination that they are the subject of a harassment campaign such that a
waiver of the obligation to provide copies
of their applications for tax exemption
and their annual information returns is in
the public interest. The average time required to complete, assemble and file an
application describing a harassment campaign is expected to be 5 hours. Because
applications for a harassment campaign
determination will be filed so infrequently, they will have no effect on the
average time needed to comply with the
requirements in these regulations. In addition, a tax-exempt organization is allowed in these regulations to charge a reasonable fee for providing copies to
requesters. Therefore, it is estimated that
on average it will cost tax-exempt organizations less than $10 per year to comply
with these regulations, which is not a sig-

The principal author of these regulations is Michael B. Blumenfeld, Office of
Associate Chief Counsel (Employee Benefits and Exempt Organizations), IRS.
Other personnel from the IRS and the
Treasury Department also participated in
their development.

Effective Date

9

* * * * *
Adoption of Amendments to the
Regulations
Accordingly, 26 CFR Parts 301 and
602 are amended as follows:
PART 301—PROCEDURE AND
ADMINISTRATION
Paragraph 1. The authority citation for
part 301 is amended by adding entries in
numerical order to read as follows:
Authority: 26 U.S.C. 7805 * * *
Section 301.6104(d)–4 also issued
under 26 U.S.C. 6104(e)(3);
Section 301.6104(d)–5 also issued
under 26 U.S.C. 6104(e)(3); * * *
Par. 2. Sections 301.6104(d)–2 through
301.6104(d)–5 are added to read as follows:
§301.6104(d)–2 Table of contents.
This section lists captions contained in
§§301.6104(d)–3 through 301.6104(d)–5.
§301.6104(d)–3 Public inspection and
distribution of applications for tax
exemption and annual information
returns of tax-exempt organizations
(other than private foundations).
(a)
(b)
(1)
(2)
(3)
(i)
(ii)
(iii)

In general.
Definitions.
Tax-exempt organization.
Private foundation.
Application for tax exemption.
In general.
No prescribed application form.
Exceptions.

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(iv)
(4)
(i)
(ii)
(iii)
(iv)
(5)
(i)
(ii)

Local or subordinate organizations.
Annual information return.
In general.
Exceptions.
Returns more than 3 years old.
Local or subordinate organizations.
Regional or district offices.
In general.
Site not considered a regional or
district office.
(c) Special rules relating to public inspection.
(1) Permissible conditions on public inspection.
(2) Organizations that do not maintain
permanent offices.
(d) Special rules relating to copies.
(1) Time and place for providing copies
in response to requests made in person.
(i) In general.
(ii) Unusual circumstances.
(iii) Agents for providing copies.
(2) Request for copies in writing.
(i) In general.
(ii) Time and manner of fulfilling written requests.
(A) In general.
(B) Request for a copy of parts of document.
(C) Agents for providing copies.
(3) Fees for copies.
(i) In general.
(ii) Form of payment.
(A) Request made in person.
(B) Request made in writing.
(iii) Avoidance of unexpected fees.
(iv) Responding to inquiries of fees
charged.
(e) Documents to be provided by regional and district offices.
(f) Documents to be provided by local
and subordinate organizations.
(1) Applications for tax exemption.
(2) Annual information returns.
(3) Failure to comply.
(g) Failure to comply with public inspection or copying requirements.
(h) Effective date.
§301.6104(d)–4 Making applications
and returns widely available.
(a)
(b)
(1)
(2)
(i)
(ii)

In general.
Widely available.
In general.
Internet posting.
In general.
Transition rule.

April 26, 1999

(iii) Reliability and accuracy.
(c) Discretion to prescribe other methods for making documents widely
available.
(d) Notice requirement.
(e) Effective date.
§301.6104(d)–5 Tax-exempt
organization subject to harassment
campaign.
(a)
(b)
(c)
(d)
(e)
(f)
(g)

In general.
Harassment.
Special rule for multiple requests
from a single individual or address.
Harassment determination procedure.
Effect of a harassment determination.
Examples.
Effective date.

§301.6104(d)–3 Public inspection and
distribution of applications for tax
exemption and annual information
returns of tax-exempt organizations
(other than private foundations).
(a) In general. Except as otherwise
provided in this section, if a tax-exempt
organization (as defined in paragraph
(b)(1) of this section), other than a private
foundation (as defined in paragraph (b)(2)
of this section), filed an application for
recognition of exemption under section
501, it shall make its application for tax
exemption (as defined in paragraph (b)(3)
of this section) available for public inspection without charge at its principal,
regional and district offices during regular
business hours. Except as otherwise provided in this section, a tax-exempt organization, other than a private foundation,
shall make its annual information returns
(as defined in paragraph (b)(4) of this section) available for public inspection without charge in the same offices during regular business hours. Each annual
information return shall be made available for a period of three years beginning
on the date the return is required to be
filed (determined with regard to any extension of time for filing) or is actually
filed, whichever is later. In addition, except as provided in §§301.6104(d)–4 and
301.6104(d)–5, an organization shall provide a copy without charge, other than a
reasonable fee for reproduction and actual
postage costs, of all or any part of any ap-

10

plication or return required to be made
available for public inspection under this
paragraph to any individual who makes a
request for such copy in person or in writing. See paragraph (d)(3) of this section
for rules relating to fees for copies.
(b) Definitions. For purposes of applying the provisions of section 6104(d), this
section and §§301.6104(d)–4 and
301.6104(d)–5, the following definitions
apply:
(1) Tax-exempt organization. The term
tax-exempt organization means any organization that is described in section 501(c)
or section 501(d) and is exempt from taxation under section 501(a).
(2) Private foundation. The term private foundation means a private foundation as defined in section 509(a).
(3) Application for tax exemption—(i)
In general. Except as described in paragraph (b)(3)(iii) of this section, the term
application for tax exemption includes
any prescribed application form (such as
Form 1023 or Form 1024), all documents
and statements the Internal Revenue Service requires an applicant to file with the
form, any statement or other supporting
document submitted by an organization in
support of its application, and any letter
or other document issued by the Internal
Revenue Service concerning the application (such as a favorable determination
letter or a list of questions from the Internal Revenue Service about the application). For example, a legal brief submitted in support of an application, or a
response to questions from the Internal
Revenue Service during the application
process, is part of an application for tax
exemption.
(ii) No prescribed application form. If
no form is prescribed for an organization’s application for tax exemption, the
application for tax exemption includes—
(A) The application letter and copy of
the articles of incorporation, declaration
of trust, or other similar instrument that
sets forth the permitted powers or activities of the organization;
(B) The organization’s bylaws or other
code of regulations;
(C) The organization’s latest financial
statements showing assets, liabilities, receipts and disbursements;
(D) Statements describing the character
of the organization, the purpose for which
it was organized, and its actual activities;

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(E) Statements showing the sources of
the organization’s income and receipts
and their disposition; and
(F) Any other statements or documents
the Internal Revenue Service required the
organization to file with, or that the organization submitted in support of, the application letter.
(iii) Exceptions. The term application
for tax exemption does not include—
(A) Any application for tax exemption
filed by an organization that the Internal
Revenue Service has not yet recognized,
on the basis of the application, as exempt
from taxation under section 501 for any
taxable year;
(B) Any application for tax exemption
filed before July 15, 1987, unless the organization filing the application had a copy
of the application on July 15, 1987; or
(C) Any material, including the material listed in §301.6104(a)-1(i) and information that the Secretary would be required to withhold from public
inspection, that is not available for public
inspection under section 6104.
(iv) Local or subordinate organizations. For rules relating to applications
for tax exemption of local or subordinate
organizations, see paragraph (f)(1) of this
section.
(4) Annual information return—(i) In
general. Except as described in paragraph (b)(4)(ii) of this section, the term
annual information return includes an
exact copy of any return filed by a tax-exempt organization pursuant to section
6033. It also includes any amended return the organization files with the Internal Revenue Service after the date the
original return is filed. The copy must include all information furnished to the Internal Revenue Service on Form 990, Return of Organization Exempt From
Income Tax, or any version of Form 990
(such as Forms 990-EZ or 990-BL except
Form 990-T) and Form 1065, as well as
all schedules, attachments and supporting
documents, except for the name and address of any contributor to the organization. For example, the annual information
return includes Schedule A of Form 990
(containing supplementary information
on section 501(c)(3) organizations), and
those parts of the return that show compensation paid to specific persons (currently, Part V of Form 990 and Parts I and
II of Schedule A of Form 990).

1999–17 I.R.B.

(ii) Exceptions. The term annual information return does not include Schedule
A of Form 990-BL, Form 990-T, Exempt
Organization Business Income Tax Return, Schedule K-1 of Form 1065 or Form
1120-POL, U.S. Income Tax Return For
Certain Political Organizations, and the
return of a private foundation. See
§301.6104(d)-1 for requirements relating
to public disclosure of private foundation
annual returns.
(iii) Returns more than 3 years old.
The term annual information return does
not include any return after the expiration
of 3 years from the date the return is required to be filed (including any extension of time that has been granted for filing such return) or is actually filed,
whichever is later. If an organization files
an amended return, however, the amended
return must be made available for a period
of 3 years beginning on the date it is filed
with the Internal Revenue Service.
(iv) Local or subordinate organizations. For rules relating to annual information returns of local or subordinate organizations, see paragraph (f)(2) of this
section.
(5) Regional or district offices—(i) In
general. A regional or district office is
any office of a tax-exempt organization,
other than its principal office, that has
paid employees, whether part-time or
full-time, whose aggregate number of
paid hours a week are normally at least
120.
(ii) Site not considered a regional or
district office. A site is not considered a
regional or district office, however, if—
(A) The only services provided at the
site further exempt purposes (such as day
care, health care or scientific or medical
research); and
(B) The site does not serve as an office
for management staff, other than managers who are involved solely in managing the exempt function activities at the
site.
(c) Special rules relating to public inspection—(1) Permissible conditions on
public inspection. A tax-exempt organization may have an employee present in
the room during an inspection. The organization, however, must allow the individual conducting the inspection to take
notes freely during the inspection. If the
individual provides photocopying equipment at the place of inspection, the orga-

11

nization must allow the individual to photocopy the document at no charge.
(2) Organizations that do not maintain
permanent offices. If a tax-exempt organization does not maintain a permanent
office, the organization shall comply with
the public inspection requirements of
paragraph (a) of this section by making its
application for tax exemption and its annual information returns, as applicable,
available for inspection at a reasonable location of its choice. Such an organization
shall permit public inspection within a
reasonable amount of time after receiving
a request for inspection (normally not
more than 2 weeks) and at a reasonable
time of day. At the organization’s option,
it may mail, within 2 weeks of receiving
the request, a copy of its application for
tax exemption and annual information returns to the requester in lieu of allowing
an inspection. The organization may
charge the requester for copying and actual postage costs only if the requester
consents to the charge. An organization
that has a permanent office, but has no office hours or very limited hours during
certain times of the year, shall make its
documents available during those periods
when office hours are limited or not available as though it were an organization
without a permanent office.
(d) Special rules relating to copies—
(1) Time and place for providing copies in
response to requests made in-person—(i)
In general. Except as provided in paragraph (d)(1)(iii) of this section, a tax-exempt organization shall provide copies of
the documents it is required to provide
under section 6104(d) in response to a request made in person at its principal, regional and district offices during regular
business hours. Except as provided in
paragraph (d)(1)(ii) of this section, an organization shall provide such copies to a
requester on the day the request is made.
(ii) Unusual circumstances. In the case
of an in-person request, where unusual
circumstances exist such that fulfilling the
request on the same business day places
an unreasonable burden on the tax-exempt organization, the organization must
provide the copies no later than the next
business day following the day that the
unusual circumstances cease to exist or
the fifth business day after the date of the
request, whichever occurs first. Unusual
circumstances include, but are not limited

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to, receipt of a volume of requests that exceeds the organization’s daily capacity to
make copies; requests received shortly
before the end of regular business hours
that require an extensive amount of copying; or requests received on a day when
the organization’s managerial staff capable of fulfilling the request is conducting
special duties, such as student registration
or attending an off-site meeting or convention, rather than its regular administrative duties.
(iii) Agents for providing copies. A
principal, regional or district office of a
tax- exempt organization subject to the requirements of this section may retain a
local agent to process requests made in
person for copies of its documents. A
local agent must be located within reasonable proximity of the applicable office. A
local agent that receives a request made in
person for copies must provide the copies
within the time limits and under the conditions that apply to the organization itself. For example, a local agent generally
must provide a copy to a requester on the
day the agent receives the request. When
a principal, regional or district office of a
tax-exempt organization using a local
agent receives a request made in person
for a copy, it must immediately provide
the name, address and telephone number
of the local agent to the requester. An organization that provides this information
is not required to respond further to the
requester. However, the penalty provisions of sections 6652(c)(1)(C), 6652(c)(1)(D), and 6685 continue to apply to the
tax-exempt organization if the organization’s local agent fails to provide the documents as required under section 6104(d).
(2) Request for copies in writing—(i)
In general. A tax-exempt organization
must honor a written request for a copy of
documents (or the requested part) that the
organization is required to provide under
section 6104(d) if the request—
(A) Is addressed to, and delivered by
mail, electronic mail, facsimile, or a private delivery service as defined in section
7502(f) to a principal, regional or district
office of the organization; and
(B) Sets forth the address to which the
copy of the documents should be sent.
(ii) Time and manner of fulfilling written requests—(A) In general. A tax-exempt organization receiving a written request for a copy shall mail the copy of the

April 26, 1999

requested documents (or the requested
parts of documents) within 30 days from
the date it receives the request. However,
if a tax-exempt organization requires payment in advance, it is only required to
provide the copies within 30 days from
the date it receives payment. For rules relating to payment, see paragraph (d)(3) of
this section. In the absence of evidence to
the contrary, a request or payment that is
mailed shall be deemed to be received by
an organization 7 days after the date of
the postmark. A request that is transmitted to the organization by electronic mail
or facsimile shall be deemed received the
day the request is transmitted successfully. If an organization requiring payment in advance receives a written request without payment or with an
insufficient payment, the organization
must, within 7 days from the date it receives the request, notify the requester of
its prepayment policy and the amount
due. A copy is deemed provided on the
date of the postmark or private delivery
mark (or if sent by certified or registered
mail, the date of registration or the date of
the postmark on the sender’s receipt). If
an individual making a request consents,
a tax-exempt organization may provide a
copy of the requested document exclusively by electronic mail. In such case,
the material is provided on the date the organization successfully transmits the electronic mail.
(B) Request for a copy of parts of document. A tax-exempt organization must
fulfill a request for a copy of the organization’s entire application for tax exemption
or annual information return or any specific part or schedule of its application or
return. A request for a copy of less than
the entire application or less than the entire return must specifically identify the
requested part or schedule.
(C) Agents for providing copies. A taxexempt organization subject to the requirements of this section may retain an
agent to process written requests for
copies of its documents. The agent shall
provide the copies within the time limits
and under the conditions that apply to the
organization itself. For example, if the
organization received the request first
(e.g., before the agent), the deadline for
providing a copy in response to a request
shall be determined by reference to when
the organization received the request, not

12

when the agent received the request. An
organization that transfers a request for a
copy to such an agent is not required to
respond further to the request. If the organization’s agent fails to provide the
documents as required under section
6104(d), however, the penalty provisions
of sections 6652(c)(1)(C), 6652(c)(1)(D),
and 6685 continue to apply to the tax-exempt organization.
(3) Fees for copies—(i) In general. A
tax-exempt organization may charge a
reasonable fee for providing copies. A fee
is reasonable only if it is no more than the
per-page copying charge stated in
§601.702(f)(5)(iv)(B) of this chapter (fee
charged by the Internal Revenue Service
for providing copies to a requester), plus
no more than the actual postage costs incurred by the organization to provide the
copies. Before the organization provides
the documents, it may require that the individual requesting copies of the documents pay the fee. If the organization has
provided an individual making a request
with notice of the fee, and the individual
does not pay the fee within 30 days, or if
the individual pays the fee by check and
the check does not clear upon deposit, the
organization may disregard the request.
(ii) Form of payment—(A) Request
made in person. If a tax-exempt organization charges a fee for copying (as permitted under paragraph (d)(3)(i) of this
section), it shall accept payment by cash
and money order for requests made in
person. The organization may accept
other forms of payment, such as credit
cards and personal checks.
(B) Request made in writing. If a taxexempt organization charges a fee for
copying and postage (as permitted under
paragraph (d)(3)(i) of this section), it
shall accept payment by certified check,
money order, and either personal check
or credit card for requests made in writing. The organization may accept other
forms of payment.
(iii) Avoidance of unexpected fees.
Where a tax-exempt organization does
not require prepayment and a requester
does not enclose payment with a request,
an organization must receive consent
from a requester before providing copies
for which the fee charged for copying and
postage exceeds $20.
(iv) Responding to inquiries of fees
charged. In order to facilitate a re-

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quester ’s ability to receive copies
promptly, a tax-exempt organization shall
respond to any questions from potential
requesters concerning its fees for copying
and postage. For example, the organization shall inform the requester of its
charge for copying and mailing its application for exemption and each annual information return, with and without attachments, so that a requester may include
payment with the request for copies.
(e) Documents to be provided by regional and district offices. Except as otherwise provided, a regional or district office of a tax-exempt organization must
satisfy the same rules as the principal office with respect to allowing public inspection and providing copies of its application for tax exemption and annual
information returns. A regional or district
office is not required, however, to make
its annual information return available for
inspection or to provide copies until 30
days after the date the return is required to
be filed (including any extension of time
that is granted for filing such return) or is
actually filed, whichever is later.
(f) Documents to be provided by local
and subordinate organizations–(1) Applications for tax exemption. Except as otherwise provided, a tax-exempt organization that did not file its own application
for tax exemption (because it is a local or
subordinate organization covered by a
group exemption letter referred to in
§1.508–1 of this chapter) must, upon request, make available for public inspection, or provide copies of, the application
submitted to the Internal Revenue Service
by the central or parent organization to
obtain the group exemption letter and
those documents which were submitted
by the central or parent organization to include the local or subordinate organization in the group exemption letter. However, if the central or parent organization
submits to the Internal Revenue Service a
list or directory of local or subordinate organizations covered by the group exemption letter, the local or subordinate organization is required to provide only the
application for the group exemption ruling and the pages of the list or directory
that specifically refer to it. The local or
subordinate organization shall permit
public inspection, or comply with a request for copies made in person, within a
reasonable amount of time (normally not

1999–17 I.R.B.

more than 2 weeks) after receiving a request made in person for public inspection or copies and at a reasonable time of
day. In a case where the requester seeks
inspection, the local or subordinate organization may mail a copy of the applicable documents to the requester within the
same time period in lieu of allowing an
inspection. In such a case, the organization may charge the requester for copying
and actual postage costs only if the requester consents to the charge. If the
local or subordinate organization receives
a written request for a copy of its application for tax exemption, it must fulfill the
request in the time and manner specified
in paragraph (d)(2) of this section. The
requester has the option of requesting
from the central or parent organization, at
its principal office, inspection or copies of
the application for group exemption and
the material submitted by the central or
parent organization to include a local or
subordinate organization in the group ruling. If the central or parent organization
submits to the Internal Revenue Service a
list or directory of local or subordinate organizations covered by the group exemption letter, it must make such list or directory available for public inspection, but it
is required to provide copies only of those
pages of the list or directory that refer to
particular local or subordinate organizations specified by the requester. The central or parent organization must fulfill
such requests in the time and manner
specified in paragraphs (c) and (d) of this
section.
(2) Annual information returns. A local
or subordinate organization that does not
file its own annual information return (because it is affiliated with a central or parent organization that files a group return
pursuant to §1.6033–2(d) of this chapter)
must, upon request, make available for
public inspection, or provide copies of,
the group returns filed by the central or
parent organization. However, if the
group return includes separate schedules
with respect to each local or subordinate
organization included in the group return,
the local or subordinate organization receiving the request may omit any schedules relating only to other organizations
included in the group return. The local or
subordinate organization shall permit
public inspection, or comply with a request for copies made in person, within a

13

reasonable amount of time (normally not
more than 2 weeks) after receiving a request made in person for public inspection or copies and at a reasonable time of
day. In a case where the requester seeks
inspection, the local or subordinate organization may mail a copy of the applicable documents to the requester within the
same time period in lieu of allowing an
inspection. In such a case, the organization may charge the requester for copying
and actual postage costs only if the requester consents to the charge. If the
local or subordinate organization receives
a written request for a copy of its annual
information return, it must fulfill the request by providing a copy of the group return in the time and manner specified in
paragraph (d)(2) of this section. The requester has the option of requesting from
the central or parent organization, at its
principal office, inspection or copies of
group returns filed by the central or parent
organization. The central or parent organization must fulfill such requests in the
time and manner specified in paragraphs
(c) and (d) of this section.
(3) Failure to comply. If an organization fails to comply with the requirements
specified in this paragraph, the penalty
provisions of sections 6652(c)(1)(C),
6652(c)(1)(D), and 6685 apply.
(g) Failure to comply with public inspection or copying requirements. If a
tax-exempt organization denies an individual’s request for inspection or a copy
of an application for tax exemption or an
annual information return as required
under this section, and the individual
wants to alert the Internal Revenue Service to the possible need for enforcement
action, the individual may provide a statement to the district director for the key
district in which the applicable tax-exempt organization’s principal office is located (or such other person as the Commissioner may designate) that describes
the reason why the individual believes the
denial was in violation of the requirements of section 6104(d).
(h) Effective date. This section is effective June 8, 1999.
§301.6104(d)–4 Making applications
and returns widely available.
(a) In general. A tax-exempt organization is not required to comply with a re-

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Page 14

quest for a copy of its application for tax
exemption or an annual information return pursuant to §301.6104(d)–3(a) if the
organization has made the requested document widely available in accordance
with paragraph (b) of this section. An organization that makes its application for
tax exemption and/or annual information
return widely available must nevertheless make the document available for
public inspection as required under
§301.6104(d)–3(a), as applicable.
(b) Widely available—(1) In general.
A tax-exempt organization makes its application for tax exemption and/or an annual information return widely available
if the organization complies with the requirements specified in paragraph (b)(2)
of this section, and if the organization satisfies the requirements of paragraph (d) of
this section.
(2) Internet posting—(i) In general. A
tax-exempt organization can make its application for tax exemption and/or an annual information return widely available
by posting the document on a World Wide
Web page that the tax-exempt organization establishes and maintains or by having the document posted, as part of a database of similar documents of other
tax-exempt organizations, on a World
Wide Web page established and maintained by another entity. The document
will be considered widely available only
if–
(A) the World Wide Web page through
which it is available clearly informs readers that the document is available and provides instructions for downloading it;
(B) the document is posted in a format
that, when accessed, downloaded, viewed
and printed in hard copy, exactly reproduces the image of the application for tax
exemption or annual information return as
it was originally filed with the Internal
Revenue Service, except for any information permitted by statute to be withheld
from public disclosure. (See section
6104(d)(3) and §301.6104(d)–3(b)(3) and
(4)); and
(C) any individual with access to the
Internet can access, download, view and
print the document without special computer hardware or software required for
that format (other than software that is
readily available to members of the public
without payment of any fee) and without

April 26, 1999

payment of a fee to the tax-exempt organization or to another entity maintaining
the World Wide Web page.
(ii) Transition rule. A tax-exempt organization that posted its application for tax
exemption or its annual information returns on a World Wide Web page on or
before April 9, 1999, in a manner consistent with regulation project REG–
246250–96 (1997 C.B. 627) (see
§601.601(d)(2) of this chapter) will be
treated as satisfying the requirements of
paragraphs (b)(2)(i)(B) & (C) of this section until June 8, 2000, provided that an
individual can access, download, view
and print the document without payment
of a fee to the tax-exempt organization or
to another entity maintaining the World
Wide Web page.
(iii) Reliability and accuracy. In order
for the document to be widely available
through an Internet posting, the entity
maintaining the World Wide Web page
must have procedures for ensuring the reliability and accuracy of the document
that it posts on the page and must take
reasonable precautions to prevent alteration, destruction or accidental loss of the
document when posted on its page. In the
event that a posted document is altered,
destroyed or lost, the entity must correct
or replace the document.
(c) Discretion to prescribe other methods for making documents widely available. The Commissioner, from time to
time, may prescribe additional methods,
other than an Internet posting meeting the
requirements of paragraph (b)(2) of this
section, that a tax-exempt organization
may use to make its documents widely
available.
(d) Notice requirement. If a tax-exempt
organization has made its application for
tax exemption and/or an annual information return widely available it must notify
any individual requesting a copy where
the documents are available (including
the address on the World Wide Web, if applicable). If the request is made in person, the organization shall provide such
notice to the individual immediately. If
the request is made in writing, the notice
shall be provided within 7 days of receiving the request.
(e) Effective date. This section is effective June 8, 1999.

14

§301.6104(d)–5 Tax-exempt
organization subject to harassment
campaign.
(a) In general. If the district director
for the key district in which the organization’s principal office is located (or such
other person as the Commissioner may
designate) determines that the organization is the subject of a harassment campaign and compliance with the requests
that are part of the harassment campaign
would not be in the public interest, a taxexempt organization is not required to fulfill a request for a copy (as otherwise required by §301.6104(d)–3(a)) that it
reasonably believes is part of the campaign.
(b) Harassment. A group of requests
for an organization’s application for tax
exemption or annual information returns
is indicative of a harassment campaign if
the requests are part of a single coordinated effort to disrupt the operations of a
tax-exempt organization, rather than to
collect information about the organization. Whether a group of requests constitutes such a harassment campaign depends on the relevant facts and
circumstances. Facts and circumstances
that indicate the organization is the subject of a harassment campaign include: a
sudden increase in the number of requests; an extraordinary number of requests made through form letters or similarly worded correspondence; evidence of
a purpose to deter significantly the organization’s employees or volunteers from
pursuing the organization’s exempt purpose; requests that contain language hostile to the organization; direct evidence of
bad faith by organizers of the purported
harassment campaign; evidence that the
organization has already provided the requested documents to a member of the
purported harassing group; and a demonstration by the tax-exempt organization
that it routinely provides copies of its documents upon request.
(c) Special rule for multiple requests
from a single individual or address. A taxexempt organization may disregard any request for copies of all or part of any document beyond the first two received within
any 30-day-period or the first four received
within any one-year-period from the same
individual or the same address, regardless

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of whether the district director for the applicable key district (or such other person
as the Commissioner may designate) has
determined that the organization is subject
to a harassment campaign.
(d) Harassment determination procedure. A tax-exempt organization may
apply for a determination that it is the
subject of a harassment campaign and that
compliance with requests that are part of
the campaign would not be in the public
interest by submitting a signed application to the district director for the key district where the organization’s principal office is located (or such other person as the
Commissioner may designate). The application shall consist of a written statement giving the organization’s name, address, employer identification number,
and the name, address and telephone
number of the person to contact regarding
the application. The application must describe in detail the facts and circumstances that the organization believes support a determination that the organization
is subject to a harassment campaign. The
organization may suspend compliance
with respect to any request for a copy of
its documents based on its reasonable belief that such request is part of a harassment campaign, provided that the organization files an application for a
determination within 10 business days
from the day the organization first suspends compliance with respect to a request that is part of the alleged campaign.
In addition, the organization may suspend
compliance with any request it reasonably
believes to be part of the harassment campaign until it receives a response to its application for a harassment campaign determination.
(e) Effect of a harassment determination. If the appropriate district director
(or such other person as the Commissioner may designate) determines that a
tax-exempt organization is the subject of
a harassment campaign and it is not in the
public interest to comply with requests
that are part of the campaign, such organization is not required to comply with any
request for copies that it reasonably believes is part of the campaign. This determination may be subject to other terms
and conditions set forth by the district director (or such other person as the Commissioner may designate). A person (as

1999–17 I.R.B.

defined in section 6652(c)(4)(C)) shall
not be liable for any penalty under sections 6652(c)(1)(C), 6652(c)(1)(D) or
6685 for failing to timely provide a copy
of documents in response to a request
covered in a request for a harassment determination if the organization fulfills the
request within 30 days of receiving a determination from the district director (or
such other person as the Commissioner
may designate) that the organization is
not subject to a harassment campaign.
Notwithstanding the preceding sentence,
if the district director (or such other person as the Commissioner may designate)
further determines that the organization
did not have a reasonable basis for requesting a determination that it was subject to a harassment campaign or reasonable belief that a request was part of the
campaign, the person (as defined in section 6652(c)(4)(C)) remains liable for any
penalties that result from not providing
the copies in a timely fashion.
(f) Examples. The provisions of this
section are illustrated by the following examples:
Example 1. V, a tax-exempt organization, receives an average of 25 requests per month for
copies of its three most recent information returns.
In the last week of May, V is mentioned in a national
news magazine story that discusses information contained in V’s 1996 information return. From June 1
through June 30, 1997 V receives 200 requests for a
copy of its documents. Other than the sudden increase in the number of requests for copies, there is
no other evidence to suggest that the requests are
part of an organized campaign to disrupt V’s operations. Although fulfilling the requests will place a
burden on V, the facts and circumstances do not
show that V is subject to a harassment campaign.
Therefore, V must respond timely to each of the 200
requests it receives in June.
Example 2. Y is a tax-exempt organization that
receives an average of 10 requests a month for
copies of its annual information returns. From
March 1, 1997 to March 31, 1997, Y receives 25 requests for copies of its documents. Fifteen of the requests come from individuals Y knows to be active
members of the board of organization X. In the past
X has opposed most of the positions and policies
that Y advocates. None of the requesters have asked
for copies of documents from Y during the past year.
Y has no other information about the requesters. Although the facts and circumstances show that some
of the individuals making requests are hostile to Y,
they do not show that the individuals have organized
a campaign that will place enough of a burden on Y
to disrupt its activities. Therefore, Y must respond
to each of the 25 requests it receives in March.
Example 3. The facts are the same as in Example 2, except that during March 1997, Y receives

15

100 requests. In addition to the fifteen requests
from members of organization X’s board, 75 of the
requests are similarly worded form letters. Y discovers that several individuals associated with X
have urged the X’s members and supporters, via the
Internet, to submit as many requests for a copy of
Y’s annual information returns as they can. The
message circulated on the Internet provides a form
letter that can be used to make the request. Both the
appeal via the Internet and the requests for copies
received by Y contain hostile language. During the
same year but before the 100 requests were received, Y provided copies of its annual information
returns to the headquarters of X. The facts and circumstances show that the 75 form letter requests are
coordinated for the purpose of disrupting Y’s operations, and not to collect information that has already
been provided to an association representing the requesters’ interests. Thus, the fact and circumstances show that Y is the subject of an organized
harassment campaign. To confirm that it may disregard the 90 requests that constitute the harassment
campaign, Y must apply to the applicable district
director (or such other person as the Commissioner
may designate) for a determination. Y may disregard the 90 requests while the application is pending and after the determination is received. However, it must respond within the applicable time
limits to the 10 requests it received in March that
were not part of the harassment campaign.
Example 4. The facts are the same as in Example 3, except that Y receives 5 additional requests
from 5 different representatives of the news media
who in the past have published articles about Y.
Some of these articles were hostile to Y. Normally,
the Internal Revenue Service will not consider a
tax-exempt organization to have a reasonable belief
that a request from a member of the news media is
part of a harassment campaign absent additional
facts that demonstrate that the organization could
reasonably believe the particular requests from the
news media to be part of a harassment campaign.
Thus, absent such additional facts, Y must respond
within the applicable time limits to the 5 requests
that it received from representatives of the news
media.

(g) Effective date. This section is effective June 8, 1999.
PART 602–OMB CONTROL
NUMBERS UNDER THE
PAPERWORK REDUCTION ACT
Paragraph 3. The authority for part 602
continues to read as follows:
Authority: 26 U.S.C. 7805.
Par. 4. In §602.101, paragraph (b) is
amended by adding the following entries
in numerical order to the table to read as
follows:
§602.101 OMB Control numbers.
* * * * *
(b) * * *

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CFR part or section
where identified and
described

Page 16

Current OMB
control No.

* * * * *
a

301.6104(d)–3 . . . . . . . . . . . 1545–1560
301.6104(d)–4 . . . . . . . . . . . 1545–1560
301.6104(d)–5 . . . . . . . . . . . 1545–1560
* * * * *
Robert E. Wenzel,
Deputy Commissioner of
Internal Revenue.
Approved April 8, 1999.
Donald C. Lubick,
Assistant Secretary of
the Treasury
(Tax Policy).

t

(Filed by the Office of the Federal Register on April
8, 1999, 8:45 a.m., and published in the issue of the
Federal Register for April 9, 1999, 64 F.R. 17279)

t

April 26, 1999

16

1999–17 I.R.B.