APRIL 11 CONFERENCE CALL TO DISCUSS INSTITUTE REQUEST FOR IRS BUSINESS PLAN GUIDANCE AND RECOMMENDATIONS FOR TAX SIMPLIFICATION

[14591] April 1, 2002 TO: TAX COMMITTEE No. 10-02 RE: APRIL 11 CONFERENCE CALL TO DISCUSS INSTITUTE REQUEST FOR IRS BUSINESS PLAN GUIDANCE AND RECOMMENDATIONS FOR TAX SIMPLIFICATION This memorandum announces a conference call to be held on Thursday, April 11 at 1:00 pm (EST) to discuss (1) the Institute’s tax regulatory priorities for purposes of suggesting items to be included in the 2002 IRS/Treasury Guidance Priority List (also known as the “business plan”)1 and (2) potential changes to the Internal Revenue Code (“Code”) that significantly would simplify the tax treatment of mutual funds. As described in the attached Notice 2002-22, comments on the 2002 business plan are due by April 30, 2002. As part of its ongoing initiative to simplify and rationalize our income tax system, Treasury has requested public comments on potential changes to the Code that significantly would simplify the taxation of individual and corporate taxpayers. The Institute submitted the attached letter to Treasury which provides our suggestions for simplifying the tax treatment of mutual fund shareholders. Among other items, the Institute recommends changes that would simplify the taxation of long-term capital gains and make permanent the improvements made to long-term savings vehicles in the Economic Growth and Tax Relief Reconciliation Act. During the April 11 conference call, we will discuss the Institute’s tax simplification priorities with respect to mutual funds for purposes of providing suggestions to Treasury in this area. If you plan to participate in the conference call, please complete the attached response form and return it to the Institute’s Ezella Wynn by fax (202/326-5841) or by e-mail (ewynn@ici.org). A detailed agenda and dial-in information will be distributed in advance to all participants. Deanna J. Flores Associate Counsel Attachment no. 1 (in .pdf format) 1 See Institute Memorandum to Tax Committee No. 9-01, dated February 26, 2001 (Institute 2001 business plan letter).