In a recent case, a federal district court ruled that IRS is not bound by agency-issued FSAs, and that IRS need not treat similarly situated taxpayers similarly. In its opinion, the court pointed out the difference between an FSA and a private letter ruling, and sounded a warning to taxpayers attempting to rely on FSAs for a position taken on a return. The case also points out that attempting to bind IRS to an FSA may be difficult, if not impossible.