4.86.1  Indian Tribal Governments Administration and Policy

Manual Transmittal

February 19, 2015


(1) This transmits revised IRM 4.86.1, Indian Tribal Governments (ITG) Procedures, Indian Tribal Governments Administration and Policy.


The IRS office of Indian Tribal Governments (ITG) was established in 2000 to serve as the primary contact in the IRS for federally recognized Indian tribes. This is the third revision to IRM 4.86.1, Indian Tribal Governments Administration.

Material Changes

(1) Chapter title has been changed from Indian Tribal Governments Administration Guidance, to Indian Tribal Governments (ITG) Procedures.

(2) Section title has been changed from Indian Tribal Governments Administration, to Indian Tribal Governments Administration and Policy.

(3) IRM 4.86.1, Indian Tribal Governments Administration and Policy, is being completely restructured and rewritten. This transmittal incorporates new text, reissues existing information and reflects editorial and/or numbering changes throughout the subsections. The web addresses, IRM and legal resources were checked and corrected, where necessary. Significant changes to this IRM are listed in the table below:

IRM Reference Description of Change Material has been restructured and rewritten. IRM, Who We Are, has been incorporated into the text IRM, Indian Tribal Governments. IRM, Tax Administration, has been moved to IRM, Coordination Between Divisions, has been moved to IRM, and retitled Coordination with Other Operating Divisions and Business Units. Material added to describe the goals of the ITG office. Material added to provide an overview of the different components within the ITG office and the responsibilities of the Director, Field Operations (FO), Compliance and Program Management (CPM), the ITG group manager and ITG specialist position. Material added. Formerly IRM, Consultation Policy and Other Projects. Material added. Advisory Committee on Tax Exempt and Government Entities (ACT). Tax Administration, formerly Text was revised and expanded to describe how the ITG office coordinates the different aspects of tax administration as it impacts Indian tribes. Moved content on IRS Taxpayer Advocate program to IRM Material added. Customer Assistance. Material added. Outreach. Material added. Publications for Indian Tribal Governments. Material added. ITG Quarterly Newsletter. Material added. Research and Account Services. Material added. Compliance Checks. Material added. Tip Agreements. Material added. Examination of Returns. Material added. Taxpayer Advocate Service. Content moved from IRM and (8) and text expanded. Subsection title changed to Coordinating with Other Operating Divisions and Business Units, formerly, Coordination Between Divisions. Content was rearranged and text revised to clarify that the ITG office is the primary point of contact in the IRS for all interactions with federally recognized Indian tribes. Included a link to "How to Contact ITG" . Added links to Memorandums of Understanding (MOU) and removed incorrect references that MOUs are located in Exhibit 4.88.1. Material added. Business Operating Division Codes, Client Codes, Employment Codes and Form 940 Filing Requirements for Indian Tribal Governments. Text provides guidance on how to identify an Indian tribal government entity on the Integrated Data Retrieval System (IDRS). Material added. Other Federal Agencies Impacting Indian Tribal Governments. Refocused and limited the content of this subsection to only federal agencies impacting Indian tribal governments. Portions of this new subsection were previously included in IRM, Sources of Information, which have been moved and/or deleted. Tribal Sovereignty Overview, was formerly Revised text for clarity. Subsection title changed to Protocol for Effective Government-to-Government Relationships, formerly, Protocol for Contacting Tribes. Removed chart and revised text for clarity. Subsection title changed to Disclosure and Privacy Principles, formerly IRM, Disclosure/Privacy, and IRM, Disclosure. The text of both subsections have been combined and revised for clarity. Public Affairs/Press Releases, was formerly Text was revised to clarify that media inquiry request(s) should be coordinated through ITG management. Correspondence Control, was formerly Subsection title changed to Disaster Assistance, was formerly, Natural Disasters. Remove IRM stating that an IRS State Disaster Assistance Coordinator (SDAC) may direct staff from TE/GE to provide disaster assistance at local Federal Emergency Management Agency Centers. Current revision of IRM 25.16.1, states each operating and functional division will provide their own instructions when addressing disaster-related tax account issues. Subsection title changed to ITG Technical Time Reporting, formerly, Indian Tribal Governments Technical Time Reporting. Delegation Orders, was formerly

(4) New procedures are being written and relevant information on the following topics will be moved to a new ITG IRM. Chapter(s) to be published at a later date.

IRM Reference Description of Change Other Tribal Contacts Requests for Information by Tribal Casino on Vendor/Employee Tax Compliance Responsible Officials Verbal Consents Coordination Concerning Appeals Determinations

(5) The following subsections have been removed from this IRM. The information can be found in the IRM references shown below:

IRM Reference Description of Change Human Resources. Information can be found in IRM Part 6, Human Resources Management. Indian Tribal Governments Travel. Information can be found in IRM 1.32.1, Official IRS Travel Guide. Indian Tribal Governments Training. Information can be found in IRM 6.410.1.

Effect on Other Documents

This revision supersedes IRM 4.86.1, Indian Tribal Governments Administrative Guidance, Indian Tribal Governments Administration, dated July 28, 2008.


Tax Exempt and Government Entities
Indian Tribal Governments

Effective Date


Christie J. Jacobs
Director, Indian Tribal Governments
Tax Exempt and Government Entities  (02-19-2015)
Indian Tribal Governments

  1. The mission of the Indian Tribal Governments (ITG) office is to provide ITG customers top quality service by helping them to understand and comply with applicable tax laws, and to protect the public interest by applying the tax law with integrity and fairness to all. The ITG office is guided by principles of respect for Indian tribal self-government and sovereignty.

  2. The ITG office maintains a functional and interactive government-to-government relationship between the IRS and Indian tribal governments as envisioned by Presidential Executive Orders. The ITG office was established to assist Indian tribes with their federal tax matters. Indian tribal governments and tribal associations provided valuable input into the design of ITG, which focuses on providing a single point of contact for assistance and service in addressing tax matters.

  3. Five field groups provide primary front line service and are aligned to respect tribal affiliations wherever possible. Specialists address issues and provide guidance unique to Indian country, while ensuring proper protocol is maintained with sovereign tribal governments. The Compliance and Program Management (CPM) staff supports the employees in these groups in designing and delivering customized assistance. In addition, an Abuse Detection and Prevention Team (ADAPT) addresses issues regarding abusive schemes that are promoted in Indian Country.

  4. ITG consists of three components:

    1. Director, Indian Tribal Governments

    2. Field Operations (FO)

    3. Compliance and Program Management (CPM)

  5. The responsibilities of each component are outlined below in IRM, ITG Responsibilities.  (02-19-2015)

  1. The overall goal of this office is to use partnership opportunities with Indian tribal governments, tribal associations, and other federal agencies to:

    1. Respectfully and cooperatively meet the needs of both Indian tribal governments and the Federal Government.

    2. Simplify the tax administrative process.

  2. The ITG office combines compliance and enforcement initiatives with outreach and educational activities to accomplish the following goals:

    1. Improve service to make voluntary compliance easier.

    2. Enforce the law to ensure everyone meets their federal tax obligations.

    3. Increase the effective use of information returns.

    4. Respond promptly to abusive transactions.

    5. Invest in high performance by maintaining a specially trained workforce through recruitment, training and technical development.  (02-19-2015)
ITG Responsibilities

  1. The following indicate the functions of the specific components of ITG. Each level of authority has specific as well as general duties and responsibilities.  (02-19-2015)
Director, ITG

  1. Director, ITG:

    1. Lead the ITG management team in communicating a vision for the organization, creating new business solutions, maintaining and improving employee satisfaction, and delivering ITG goals and objectives.

    2. Coordinate and review the activities of the ITG Field Operations manager, and the manager of ITG Compliance Program Management.

    3. Work with the Field Operations manager to ensure that ITG's planning, strategy, and program delivery are in concert with ITG's organizational goals and vision.

    4. Work with and maintain effective communications with Indian tribal governments to keep customers informed of ITG policies, procedures, and laws and regulations by partnering with stakeholders in the Indian community.

    5. Approve and ensure implementation of the annual work plan.

    6. Approve compliance initiatives, such as information gathering and examination projects.

    7. Report information, as appropriate and necessary, through both formal and informal means, to the Assistant Deputy Commissioner, Government Entities/Shared Services (GE/SS) TE/GE.

    8. Review published guidance proposed by the Office of Chief Counsel and the Department of Treasury to determine the administrability of such guidance.  (02-19-2015)
ITG Field Operations (FO)

  1. ITG FO manager:

    1. Monitor and oversee the daily operations of all ITG field groups, identifying emerging issues for nationwide consideration, and improving work process, system and practices.

    2. Develop business goals of the organization including developing strategies to support the delivery of these goals by ITG field and operations staff.

    3. Work with the ITG Director and CPM manager to develop the annual work plan, and directing the resources to achieve it.

    4. Work with the ITG Director to ensure ITG's planning, strategy and program delivery are in concert with ITG's goals, policies and vision.

    5. Brief the ITG Director on the status of operations on a regular basis.

    6. Coordinate and develop education and communication programs for the field groups.

    7. Act as client to Counsel and liaison with Appeals on issues affecting ITG.

    8. Review and execute closing agreements.

    9. Collaborate with TE/GE Research and Analysis to identify noncompliance and in identifying the universe of ITG customers.  (02-19-2015)
ITG Compliance and Program Management (CPM)

  1. CPM delivers inventory, program monitoring/analysis, technical support, quality measurement and many other additional support and program functions.

  2. CPM's primary goal is to develop the work plan, develop strategies/plans to deliver the work plan, and ultimately deliver the inventory that drives the work plan, which includes continual monitoring and analysis of the status of achieving the work plan. CPM also provides various services through program coordinators to support our overall mission.

  3. CPM manager (and/or CPM employees):

    1. Select, classify, and deliver returns, and non-return units such as compliance checks, tip agreements and information return examinations, for assignment to the field groups.

    2. Maintain information item/referral procedures and records.

    3. Coordinate the development of a national education and outreach plan, including the development of publications and other educational products for distribution through the IRS website and the TE/GE Intranet.

    4. Review all closed work assignments for technical accuracy and ensuring proper completion of internal examination processing requirements.

    5. Formally review examination cases designated as mandatory or sample review against the quality standards.

    6. Work with the ITG Director and ITG FO manager to develop the annual work plan.

    7. Assist the ITG Director on guidance projects.

    8. Identify and elevate trends in noncompliance, and coordinating special initiatives, such as statistical samples and nationwide information gathering projects.

    9. Support development of ITG training courses.

    10. Monitor proposed legislative changes affecting ITG and implementing approved changes.

    11. Coordinate with other functions (GE Closing Unit, TE/GE Call Site, etc.) regarding ITG specific training and projects.  (02-19-2015)
ITG Group Manager

  1. ITG group manager:

    1. Supervise the ITG specialists in your geographical area as well as for the overall coordination, under the overall direction of the ITG FO manager, for management activities in that area.

    2. Determine appropriate compliance activities within the assigned area, through coordination with the ITG FO manager.  (02-19-2015)
ITG Specialist

  1. ITG specialist: you have primary responsibility in an assigned geographical area for conducting compliance activities, including:

    • Customer assistance

    • Outreaches

    • Compliance checks

    • Examinations

    • Tip agreements and reporting

    • Research and account services.

  2. You are also responsible for fair and accurate application of the federal tax law and strengthening the government-to-government relationship between the IRS and Indian tribal governments.

  3. You may be asked to perform other duties, either individually or as part of a team, directly for CPM or for the Director, based on individual expertise or abilities.  (02-19-2015)
Consultation Policy and Other Projects

  1. The IRS is governed by any Consultation Policy that may be adopted by the Department of the Treasury. The ITG office continues this dialogue to ensure the organization constantly evolves to reflect the needs of tribes, the IRS, and stakeholders.

  2. In addition, ITG specialists and managers are involved with infrastructure design teams, focus groups, knowledge sharing groups and special projects identified by the organization and approved by the ITG Director. These activities reinforce ITG's commitment to be a quality provider of tax administration services.  (02-19-2015)
Advisory Committee on Tax Exempt and Government Entities (ACT)

  1. The ACT includes external stakeholders and representatives who deal with:

    • Employee retirement plans

    • Tax-exempt organizations

    • Tax-exempt bonds

    • Federal, state, local and Indian tribal governments

  2. ACT members are appointed by the Secretary of the Treasury and generally serve two-year terms. They advise the IRS on operational policy and procedural improvements.

  3. The ACT was established under the Federal Advisory Committee Act to provide an organized public forum for discussion of relevant issues affecting tax exempt and government entities communities. Public Law 92-463.  (02-19-2015)
Tax Administration

  1. The ITG office is responsible for any federal tax issues involving federally recognized Indian tribes. The ITG office will provide all the services that tribes need to understand and meet their federal tax responsibilities, and will provide tribes with federal tax information needed to further their economic development. ITG specialists can address issues unique to Indian country. Issues include, but are not limited to the following:

    • Employment Tax

    • Wagering Excise Tax

    • Occupational Tax

    • Information Reporting

    • Voluntary Tip Agreements and Annual Tip Reporting

    • Bank Secrecy Act (Title 31)

  2. The ITG office has responsibility for identifying entities, subject to the Bank Secrecy Act (Title 31), that are owned by Indian tribal governments. In addition, ITG also has sole responsibility for education and outreach regarding the Bank Secrecy Act requirements for entities owned by Indian tribal governments.

  3. ITG has assigned a specialist, to each tribe, who is available to assist the tribe with any questions or needs that may arise regarding federal tax or Bank Secrecy Act issues. The name, telephone number, and duty hours for ITG group managers and specialists for each tribe can be found at Find Your ITG Specialist, located at www.irs.gov/Government-Entities/Indian-Tribal-Governments/About-ITG/.  (02-19-2015)
Customer Assistance

  1. ITG uses "Customer Assistance" to refer to one-on-one help provided to a taxpayer who has requested the assistance of a specialist. This may occur as a result of a letter, notice or other contact between the IRS and a tribal entity. If in the course of a specialist's work they notice a problem, the specialist may contact the tribal entity and offer assistance. The objective of this type of individualized help is to increase voluntary compliance by assisting our customers in understanding, implementing and fulfilling their responsibilities. The assistance may be provided by phone, correspondence, email, fax or face-to-face, but is distinguished from outreach by its focus on one taxpayer's individual issue, rather than general information to a group. Opportunities for customer assistance will often arise out of outreach contact.

  2. ITG customers can also get educational materials and answers to questions about federal tax matters by contacting their ITG specialist or contacting the ITG office at the following address, telephone or fax number(s):

    • Visit: ITG website at www.irs.gov/tribes

    • Call: Customer Account Services:
      Toll-free 877-829-5500
      Not Toll-free 202-317-8900

    • Fax: Toll-free 855-243-4024

    • Write:
      Internal Revenue Service
      Indian Tribal Governments SE:T:GE:ITG
      NCA-5th Floor
      1111 Constitution Avenue NW
      Washington, DC 20224-0002  (02-19-2015)

  1. Outreach are efforts directed toward increasing compliance by providing guidance on general requirements, rather than review of a taxpayer's compliance history. The primary objective of outreach is to increase voluntary compliance by helping customers understand how to accurately and timely file employment tax returns and any other required returns.

  2. Outreach must focus on the needs of the customer. Outreach includes providing publications, forms, information, seminars, workshops, telephone conferences and online/virtual presentations.

  3. Educational outreach topics may include, but not be limited to the following:

    • Employment Taxes

    • Information Return Reporting

    • Tip Reporting

    • Bank Secrecy Act (Title 31)

  4. Outreach activities are discussed in IRM 22.41.1, Indian Tribal Governments Outreach.  (02-19-2015)
Publications for Indian Tribal Governments

  1. These items were created and are maintained by the ITG office specifically to address the federal tax concerns of Indian tribal governments.  (02-19-2015)
ITG Quarterly Newsletter

  1. A publication of the ITG office, ITG News, is issued quarterly during the year and provides information about current developments and upcoming events of interest to all tribal governments.

  2. Subscribe to receive the quarterly newsletter via email at www.irs.gov/Government-Entities/Indian-Tribal-Governments/Subscribe-to-Indian-Tribal-Governments-News/.  (02-19-2015)
Research and Account Services

  1. Research and account services provided to customers include the types of assistance listed below. This list is not all-inclusive.

    • IRS notices

    • Penalty issues

    • Assistance regarding filing requirements, deposit due dates and information return reporting

    • Assistance to correct a reporting problem or error

  2. If the customer is having difficulty resolving a tax situation, consider whether the situation meets Taxpayer Advocate criteria. See IRM, Taxpayer Advocate Service.  (02-19-2015)
Compliance Checks

  1. A compliance check does not directly relate to determining a tax liability for any particular period. The compliance check is a tool to educate tribal entities about their reporting requirements and increase voluntary compliance. As such, ITG does not review an entity’s books and records during the course of a compliance check. A compliance check is neither an audit nor an investigation under section 7605(b) of the Internal Revenue Code nor an audit under section 530 of the Revenue Act of 1978, and the customer may legally choose not to participate. See Pub 3114, Compliance Checks.  (02-19-2015)
Tip Agreements

  1. Voluntary tip agreements enhance compliance by reaching a mutually agreed upon method of reporting tipped employees' earnings. The ITG office provides the following assistance:

    • Negotiation of initial voluntary tip agreements

    • Refresh expired tip agreements

    • Address tip addendum(s), per customer request

    • Answer questions on current agreements

    • Address tip reporting requirements for the employer and the employee  (02-19-2015)
Examination of Returns

  1. As part of its overall responsibility for federal tax administration involving federally recognized Indian tribes, the ITG office conducts examinations to determine federal tax liabilities and filing requirements. This is part of its balanced approach to improving compliance, combined with outreach, education and compliance checks.

  2. Examinations are conducted under the authority of IRC 7602(a), which authorizes the IRS to review books and records necessary to determine federal tax liabilities.  (02-19-2015)
Taxpayer Advocate Service

  1. The IRS Taxpayer Advocate program is designed to alleviate taxpayer hardships that arise from systemic problems or the application of the Internal Revenue Code. IRM 13.1, Taxpayer Advocate Case Procedures, provides pertinent information. Pub 1546, Taxpayer Advocate Service—Your Voice at the IRS, provides contact and additional information.

  2. If during a customer contact, the specialist cannot resolve the issue and determines that either:

    • There may be a hardship situation as defined in IRM 13.1.7, Taxpayer Advocate Service (TAS) Case Criteria,

    • The customer insists on being referred to the Taxpayer Advocate Service (TAS)

    • The contact meets TAS criteria (provided in IRM 13.1.7)

    the specialist must prepare or assist the taxpayer with completion of the Form 911, Request for Taxpayer Advocate Service Assistance (And Application for Taxpayer Assistance Order (ATAO)). The specialist ensures the Form 911 is received timely by the Local Taxpayer Advocate's office, and then monitors the status with TAS until the issue is resolved.

  3. Refer to the Service Level Agreement between the National Taxpayer Advocate and the Commissioner, Tax Exempt and Government Entities, for procedural guidance located at http://tas.web.irs.gov/policy/sla/default.aspx.  (02-19-2015)
Coordinating with Other Operating Divisions and Business Units

  1. The ITG office is required to be the primary point of contact in the IRS for all interactions with federally recognized Indian tribes. ITG is not only responsible for most IRS compliance activities with tribes, but is also responsible for ensuring that the IRS is in compliance with relevant Presidential Executive Orders that outline the relationships and protocols required in working with tribes. The ITG staff is specially trained in the unique areas of tax law and protocol that apply to Indian tribes.

  2. In order to mitigate potential problems and to ensure that the IRS is in compliance with existing legal requirements, all IRS employees are required to contact the local area ITG group manager or specialist before making initial contact on any Indian tribal government/enterprise account(s). In some instances, a tribe may request that all IRS employees secure approval from the tribe before entering tribal lands when conducting IRS business. IRS employees should contact ITG to coordinate an Indian tribe's request.

  3. The name, telephone number, and duty hours for ITG group managers and specialists for each tribe can be found at How to Contact ITG, located at www.irs.gov/Government-Entities/Indian-Tribal-Governments/How-to-Contact-ITG/.

  4. ITG coordinates all aspects of tax administration as it impacts tribes. A Memorandum of Understanding (MOU) exists between ITG and the following:

    • Small Business/Self-Employed (SB/SE) Office of Excise Taxes (OET)

    • Small Business/Self-Employed (SB/SE) Bank Secrecy Act (BSA) Program

    • Small Business/Self-Employed (SB/SE) Abusive Transactions Promoter Investigation Procedures

  5. The MOU with SB/SE OET states that ITG will assume responsibility for all wagering tax issues related to Indian tribal governments. The SB/SE office of Excise Taxes has jurisdiction over all other excise tax issues. ITG will serve as the "single point of contact" in the IRS to authorize OET to make contact with Indian tribal governments. The OET will coordinate with ITG prior to initiating any examination or outreach activity with an Indian tribal government. The MOU between ITG and Excise Tax can be found at: www.irs.gov/Government-Entities/Indian-Tribal-Governments/ITG-Memorandum-of-Understanding/.

  6. The MOU with SB/SE BSA addresses the shared responsibilities for Bank Secrecy Act (BSA) and IRC 6050I notification and education activities relating to entities that are owned by Indian tribal governments. The MOU between ITG and SB/SE BSA can be found at: www.irs.gov/Government-Entities/Indian-Tribal-Governments/ITG-Memorandum-of-Understanding/.

  7. The MOU with SB/SE that addresses shared responsibilities to stop promotion of abusive tax schemes and reinforces the importance of working together to use promoter investigations as an effective tool to address the promotion of abusive transactions can be found at: www.irs.gov/Government-Entities/Indian-Tribal-Governments/ITG-Memorandum-of-Understanding/.

  8. ITG interacts with revenue officers in Field Collection. See IRM 5.1.12, Field Collecting Procedures, Cases Requiring Special Handling. See IRM, Indian Tribal Government Procedures, for guidance to revenue officers in cases where SB/SE Field Collections becomes involved in collection enforcement on an Indian tribal government/enterprise account. A revenue officer must contact the local area ITG group manager before making initial contact on ITG accounts.

  9. Although ITG specialists provide valuable expert knowledge and assistance in many criminal investigations, there may be instances when Criminal Investigation (CI) special agents are prohibited from disclosing information to ITG employees. Criminal investigations involving sensitive investigative techniques, pending enforcement actions and/or the use of Federal Grand Juries may significantly limit interaction and information sharing with ITG. Nonetheless, CI recognizes the critically important role ITG performs regarding tribal governments and federal tax administration, including criminal investigations. Therefore, CI will, to the extent possible, coordinate pertinent tribal government activities and interaction with ITG.

  10. The ITG office may at times be involved in the Coordinated Industry Case Program (CIC). The procedures for this type of examination can be found in IRM, CIC Program - General Procedures. The CIC procedures and guidelines promote uniformity and consistency in the management of coordinated examination cases. Examination activities in tribal governments may raise concerns which require fragmenting the examination for a multi-agent approach and assigning specific examination work to each team member.

  11. Entities wholly owned by Indian tribes are under the jurisdiction of TE/GE:ITG. Tribes may be involved in businesses/enterprises that are not wholly owned, such as partnerships and joint ventures with other tribes or non-tribal entities. The appropriate IRS Business Operating Division (BOD) such as, TE/GE, SB/SE or Large, Business & International (LB&I) is generally determined by the level of ownership. For example, if an Indian tribal government owns more than 50% percent of a partnership, then the entity is coded as part of the TE/GE BOD, and coordination with other BODs may be required. If the BOD classification is unclear then these situations will be resolved at the lowest levels in the IRS units involved. If the ITG group manager(s) cannot reach agreement, the issue will be raised to the next level of management until resolved.  (02-19-2015)
Business Operating Division Codes, Client Codes, Employment Codes and Form 940 Filing Requirements for Indian Tribal Governments

  1. Use Integrated Data Retrieval System (IDRS) command code INOLES to identify the business operating division (BOD) code, the client code (CC) and the employment code (EC) of an Indian tribal government/enterprise. ITG entities are identified on IDRS by BOD code "TE" , employment code "I" and client code "I" .

  2. If an ITG entity has issued a tax exempt bond, the CC could be a "1" instead of an "I" .

  3. If an ITG entity was at one time exempt under IRC 501(c), the "EO section" may show at the bottom of the INOLES display. This "EO section" is for historical purposes. If the Exempt Organization (EO) status code (STS-CD) is active, this means the entity's IRC 501(c) exempt status is still in effect and is subject to EO oversight; therefore, it is not an ITG entity. If the EO status code is inactive, this means the EO tax exempt status is no longer in effect, and it is an ITG entity if more than 50 percent is owned by an Indian tribal government(s). A listing of active and inactive status codes can be found in IRS Processing Codes and Information, Document 6209, Section 13.10.(3), Status Codes - Master Files and AIMS.

  4. Verify the Form 940, Employer's Annual Federal Unemployment (FUTA) Tax Return, filing requirement (FR) on INOLES is correct. The filing requirement (FR) for ITG entities will be either "3" (compliant - not required to file) or "4" (non-compliant - required to file). In most cases, the Form 940 filing requirement will be "3" , indicating that the organization has elected not to be subject to Federal Unemployment Tax Act (FUTA) by participating in the state unemployment system.

  5. ITG is responsible for ensuring the accuracy of the BOD codes for Indian tribal governments and related businesses/enterprises. If the BOD, CC, EC and FR are not correct, the necessary changes will be updated by ITG using the Tribal Entity Information Input Form. After completing the form, click "Submit" to send to CPM for input.  (02-19-2015)
Other Federal Agencies Impacting Indian Tribal Governments

  1. The Bureau of Indian Affairs (BIA) maintains a list of federally recognized tribes as well as a Tribal Leaders Directory. The Tribal Leaders Directory is published semi-annually and provides a tribe's name, address, telephone and fax number for each of the federally recognized tribes. There may be an email or website listed for the tribal entity, if they have provided it to the BIA. The directory also provides information on the BIA regions and agency offices. The BIA website is www.bia.gov/.

  2. The National Indian Gaming Commission (NIGC) was established within the Department of the Interior to implement the provisions of the Indian Gaming Regulatory Act (IGRA). The Commission has field representatives who maintain contact with those tribes that have gaming operations. These representatives are a useful source of information. The website address is www.nigc.gov/. The MOU between ITG and NIGC can be found at: www.irs.gov/Government-Entities/Indian-Tribal-Governments/ITG-Memorandum-of-Understanding/.

  3. The Financial Crimes Enforcement Network (FinCEN) is a bureau of the U.S. Department of the Treasury. The mission of the FinCEN is to safeguard the financial system from illicit use and combat money laundering and promote national security through the collection, analysis, and dissemination of financial intelligence and strategic use of financial authorities. FinCEN carries out its mission by receiving and maintaining financial transactions data; analyzing and disseminating that data for law enforcement purposes; and building global cooperation with counterpart organizations in other countries and with international bodies. The website address is www.fincen.gov/.

  4. The Treasury Department is committed to implementing a comprehensive consultation process leading to meaningful dialogue with Indian tribes on a government-to-government basis. By facilitating an ongoing dialogue, this process allows us to better understand and respond to the needs of tribal governments regarding Treasury regulations, legislative comments, proposed legislation and policy statements that have Tribal implications, have a direct and identifiable economic impact on Indian tribes or preempt Tribal law. The Treasury Department's Office of Economic Policy is responsible for coordinating consultation between the Indian tribes and Treasury Department bureaus and offices. Please use the email link below to contact the office of Economic Policy on Tribal Consultation with any questions, concerns or comments you may have.

  5. USA.gov is a website that provides information and services of all federal governmental agencies. More specifically, information about tribal governments and Native American current affairs located at www.usa.gov/Government/Tribal.shtml.  (02-19-2015)
Tribal Sovereignty Overview

  1. The United States Government has a unique legal relationship with Indian tribal governments as set forth in the Constitution of the United States, treaties, statutes and court decisions. Congress may limit the authority of Indian tribes, but within those limits the tribes retain "attributes of sovereignty over both their members and their territory," U.S. vs. Mazurie, 419 U.S. 544, 557 (1975).

  2. Tribal government powers includes the authority to establish, within tribal boundaries, the form of the tribal government, determine tribal membership, regulate tribal and individual property, levy taxes, establish courts, and maintain law and order. Generally, Indian tribes provide governmental services, such as transportation, education and medical care to Indian tribal members.

  3. Although Congress can limit tribal powers of sovereignty, the states cannot. The general rule in the field of Indian law is that unless there is specific delegation of authority provided by Congress, state laws generally do not apply to Indians on tribal land. Thus, Indian tribes are semi-sovereign entities, or distinct, independent political communities within the borders of the states in which they reside. Their sovereign powers can be limited or defined by an act of Congress or, in some cases, those powers may have been implicitly lost when tribes became subject to the overriding sovereignty of the United States. On the other hand, the laws of any state are limited in the ways they can have any direct effect on Indians residing on tribal land, or on the exercise of tribal sovereign power within tribal boundaries.

  4. Tribal sovereignty is the foundation upon which the government-to-government relationship stands. Sovereignty is neither granted by, nor negated by federal statutes, acts or treaties. It is inherent.

  5. Over the years, Presidential Executive Orders have directed Federal Government agencies, to the extent permitted by law, to "respect Indian tribal self-government and sovereignty, honor tribal treaty and other rights, and strive to meet the responsibilities that arise from the unique legal relationship between the Federal Government and Indian tribal governments." (Executive Order No. 13175, 65 FR 67249, Nov. 6, 2000.) This relationship is not intended to prevent representatives of the IRS from carrying out official government business.  (02-19-2015)
Protocol for Effective Government-to-Government Relationships

  1. A government-to-government relationship is a bilateral recognition of the sovereignty of the respective parties. It is necessary for the IRS to interact in a manner that is respectful of the tribe's position as a sovereign entity. Below are some guidelines to follow when working with tribal governments:

    • Understand each tribe's unique political structure, including the appropriate titles for addressing tribal leaders.

    • Be mindful of tribal preferences in all communication.

    • Be sensitive to cultural diversity.

    • Ensure that appropriate tribal officials are present at initial and necessary follow-up meetings.

    • Negotiate and understand agreed-upon procedures for conducting interactions with tribal governments.  (02-19-2015)
Disclosure and Privacy Principles

  1. The ITG office is covered by the same disclosure and privacy procedures that are stated in IRM 11.3, Disclosure of Official Information. Due to the sensitivity of ITG's work, disclosure and privacy are critical to the performance of its mission.

  2. The disclosure laws are composed principally of sections of the IRC 6103, IRC 6104, IRC 6110, IRC 7213, IRC 7213A and IRC 7431, the Freedom of Information Act (FOIA) 5 USC 552 and the Privacy Act 5 USC 552a(c). The disclosure laws prevent any confidential taxpayer information from being disclosed to other Indian tribal governments, as well as federal, state and local governments.

  3. All ITG employees must be cautious not to damage the relationship of respect that we have for Indian self-government and sovereignty. This is further stated in the ITG mission statement, "The ITG office is guided by principles of respect for Indian tribal self-government and sovereignty." This relationship can be very complex at times given our responsibility to administer the tax laws in a fair manner to all. It is very important that the ITG employee understand who has been designated by the tribe to discuss confidential information with the IRS.  (02-19-2015)
Public Affairs/Press Releases

  1. Follow the procedures set out in IRM 11.1, Communications, for all operating divisions of the Service.

  2. When ITG receives a media inquiry, make immediate contact with ITG management. ITG management informs the ITG Field Operations Manager, CPM Manager, and the ITG Director of the request. ITG management contacts Media Relations and coordinates a response following tax law, regulations and IRS policies, procedures and programs.

  3. When speaking as a representative of the IRS, always keep disclosure of official information in mind. The primary limitation on disclosure of returns and return information is contained in IRC 6103. Consult the Disclosure Office to assure compliance with IRC 6103.  (02-19-2015)
Correspondence Control

  1. Use the correspondence guidelines found in IRM 21.3.3, Incoming and Outgoing Correspondence/Letters. This is the correspondence manual used by all operating divisions. ITG correspondence with the tribal governments will help build trust and respect and reinforce government-to-government relationships.

  2. Replies to tribal governments must be timely and accurate. A timely response is within 30 days or less of the IRS-received date. If a final response cannot be made within 30 days, send an interim response before the end of the 30-day period.

  3. All correspondence must include the name, telephone number and unique identifying number of an employee who can be contacted with respect to the correspondence.

  4. Manually composed letters must be approved by management.  (02-19-2015)
Disaster Assistance

  1. Use the information in IRM 25.16, Disaster Assistance and Emergency Relief, that addresses the procedures to follow in these situations. This is an important concern to ITG as many tribes are located in areas of the country that are subject to floods, tornadoes, wild fires and other natural disasters.

  2. The ITG mission to Indian tribal governments places it in a position to help tribal governments in times of natural disaster.

  3. ITG specialists will be the point of contact for a tribal government that has had a natural disaster take place in its area. The specialist will be called on to coordinate the efforts of various operating divisions of the IRS, such as the Wage & Investment Division or the Small Business/Self Employed Division.  (07-28-2008)
ITG Technical Time Reporting

  1. The ITG office is part of the TE/GE division and uses the TE/GE WebETS Time Reporting System. See IRM, TE/GE WebETS Time Reporting System.  (02-19-2015)
Delegation Orders

  1. Delegations of Authority are the official documents used by the Service to delegate authority and are published as Delegation Orders. A website, List of Delegation Orders by Process, located at www.irs.gov/uac/Delegation-Orders-by-Process1/, summarizes data contained in IRM 1.2, Servicewide Policies and Authorities, relating to Delegation Orders, in a single, electronic source.

  2. Delegation Orders that apply to TE/GE can be found by IRS employees on the ITG Intranet site library, located at http://tege.web.irs.gov/article.asp?category=job&title=delegation-orders&path=/my-job.

More Internal Revenue Manual