CCA 200907035: An untimely motion to quash does not eliminate intervention rights

Plain-English summary

Chief Counsel addressed the rights of a person entitled to notice of an IRS summons issued to a third party. Section 7609(b)(1) gives that person a right to intervene in a proceeding to enforce the summons. That right remains available even if the person filed a motion to quash too late and the court denied it as untimely. The advice therefore distinguishes the deadline for beginning a proceeding to quash from the separate statutory right to intervene in an enforcement proceeding.

Ruling snapshot

• Question: Can a person entitled to notice of a third-party summons intervene in an enforcement proceeding after an untimely motion to quash is denied?
• Outcome: Advice given: the person retains the right to intervene.
• Key authorities: IRC §§ 7604 and 7609(b)(1).

Full text (IRS public release)

ID: CCA_2009012708443731 Number: 200907035
Release Date: 2/13/2009
Office: ----------------------------
UILC: 7609.03-00

From: --------------------
Sent: Tuesday, January 27, 2009 8:44:51 AM
To: ---------------------
Cc:
Subject: Motion to quash/motion to intervene

Some months later, I have had a reason to revisit third-party summons provisions. And I wanted to make sure that that were made aware of section 7609(b)(1) (in case ------------- has not clarified this for you):

(b) right to intervene; right to proceeding to quash. -- (1) Intervention. -- Notwithstanding any other law or rule of law, any person who is entitled to notice of a summons under subsection (a) shall have the right to intervene in any proceeding with respect to the enforcement of such summons under section 7604.

The import of which is even if you move to quash untimely and your motion is therefore denied, you would still have the opportunity to intervene in any summons enforcement proceeding against a third-party (if you would be entitled to notice of that third-party summons under section 7609).