Industry Specialization Program
The IRS initiated the Industry Specialization Program to promote better identification and development of issues to be covered by its Examination personnel in examining tax returns and to ensure uniform and consistent treatment of issues throughout the examination period. (ISP Program Background)
ISP Coordinated Issue Papers - The papers reflect IRS thinking with respect to key industry compliance issues. An ISP coordinated issue paper is not to be considered a "service position." Although the papers are reviewed by the Chief Counsel to determine whether or not they are technically correct, they clearly do not have the status of revenue rulings or regulations.
Note: The papers also are not official pronouncements within the meaning of the Internal Revenue Code, and, therefore, there is no statutory authority for taxpayer reliance. Taxpayers who desire protection should seek a technical advice memorandum or a private letter ruling.
ISP Decoordinated Issue Papers - In working with Industry Specialists and the Office of Chief Counsel, the IRS has identified a significant number of issues that no longer require coordination. A decoordinated issue is one that the case managers or group managers can resolve based on the guidance given to the field without the concurrence of the Industry Specialist.
ISP Papers related to "Forest Products"
Deductibility of Losses of Timber Attacked by Pine Beetles
Losses of Timber Following an Epidemic Attack of Southern Pine Beetles
Logging Roads, Depreciation, and the Investment Tax Credit
Depreciation and Investment Tax Credit for Logging Road Costs
Settlement Guidelines for Logging Roads - Depreciation and Investment
Capitalizing Reforestation Costs (decoordinated)
Computation of Timber Casualty Losses
Settlement Guidelines for Computation of Timber Casualty Losses
Plantation Losses Due to Severe Drought (decoordinated)
Expenditures for Replanting Forest Plantations That Fail (decoordinated)
Settlement Guidelines for Expenditures for Replanting Forest Plantations that Fail (decoordinated)
For a summary, and link to the full text of each of the ISP Papers listed above click here!