This revenue procedure modifies and combines Rev. Proc. 81–6, 1981–1 C.B. 620; Rev. Proc. 81–7, 1981–1 C.B. 621; Rev. Proc. 89–23, 1989–1 C.B. 844; and Rev. Proc. 2011–33, 2011–25 I.R.B. 887, into one revenue procedure to provide accessible guidance for grantors and contributors of tax-exempt organizations on deductibility and reliance issues.

This revenue ruling obsoletes Rev. Rul. 68–59, 1968–1 C.B. 273, which held that an exempt organization in computing its net operating loss under § 172 of the Internal Revenue Code (Code) must exclude the specific deduction of $1,000 provided in § 512(b)(12) of the Code. Section 512(b)(12) was subsequently amended to codify this ruling.

This revenue ruling obsoletes certain revenue rulings which provided guidance on the advance ruling process under former §§ 1.170A–9(e)(5) and 1.509(a)–3(d) of the Income Tax Regulations for determining whether a newly created section 501(c)(3) organization is not a private foundation. Final regulations promulgated by T.D. 9549, 2011–46 I.R.B. 718, 76 FR 55746–01, eliminated the advance ruling process.

This revenue procedure provides indexing adjustments for certain provisions under section 36B of the Internal Revenue Code. In particular, it updates the Applicable Percentage Table in § 36B(b)(3)(A)(i) to provide the Applicable Percentage Table for 2019. This table is used to calculate an individual’s premium tax credit. This revenue procedure also updates the required contribution percentage in § 36B(c)(2)(C)(i)(II) for plan years beginning after calendar year 2018. The percentage is used to determine whether an individual is eligible for affordable employer-sponsored minimum essential coverage under § 36B.

Federal rates; adjusted federal rates; adjusted federal long-term rate and the long-term exempt rate. For purposes of sections 382, 1274, 1288, and other sections of the Code, tables set forth the rates for June 2018.