Letter of Determination

Letters of determination are issued by the United States Internal Revenue Service (IRS) verifying the status of an organization or financial plan. Most commonly they are sent in regards to retirement plans provided by companies. The main purpose of the letter is to verify that the structure of the plan meets the requirements the IRS has put forward to protect senior citizens. Generally, the letter is either a verification of compliance, or it is a request to make amendments to meet specific requirements.


Similarly the IRS will issue a letter of determination verifying tax exemption status for an individual or organization.

Sample Letters

Letter of Determination for Retirement plan Sample

Abrams Elevators

3616 Hall Place
Trinidad, NJ 75862


Dear Abrams Elevators,

In response to your recent submission of your retirement plan for your employees, we are pleased to inform you that the structure of your retirement plan meets all the requirements required by the IRS.


We will be conducting periodic reviews on your retirement plan to make sure that it is still in compliance of our regulations in the future. If you plan on making any changes, we suggest you contact us before doing so to make sure they still meet our rules and regulations.


Thank you for your submission and thank you for operating you business in Newark, NJ.


IRS of New Jersey

Letter of Determination of Tax Exempt Status Sample

Dear Mr. Lockwood,

We are happy to inform you that after reviewing your organization’s application for tax exempt status, we have determined that you are indeed exempt from Federal income tax as outlined in the Internal Revenue Code section 501 (c) (3). Therefore contributions made to your organization are eligible for deductions under section 170 of the code. This also entitles you to deductions for bequests, transfers, gifts, or devises under the sections 2055, 2106, and 2522 respectively.


Please keep a copy of this determination in your permanent records.


At the present time your organization is classified as a public charity under the aforementioned sections of the code.