Ezel / IRS Rulings / 200909060

CCA 200909060: Failure-to-pay addition runs from the payment due date

Number
200909060
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Failure to File Tax Returns or Pay Tax (Addition v. No Addition to Tax)
Topics
Procedure, penalties, and administration
Code sections
§ 6020, § 6151, § 6651
Ruling dated
December 30, 2008
Publicly released
February 27, 2009
Source
View Official PDF

Apply this to your situation

This page covers legal advice the IRS Office of Chief Counsel wrote for IRS staff, issued in 2009, which can't be cited as precedent. Ask about your situation and see what the current Code and IRS guidance say, with citations.

Currency note: this determination was released in 2009
Statutory amendments, regulation changes, court decisions, or later IRS guidance may have changed the analysis since then. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, threshold, or position mentioned here.
Not precedent. Under 26 U.S.C. § 6110(k)(3), this written determination may not be used or cited as precedent. It is advice from the IRS Office of Chief Counsel to IRS personnel on the facts they presented, and identifying details were redacted by the IRS before release. The official IRS release (linked on this page as a PDF) is the authoritative source.
About this page: The plain-English summary and ruling snapshot below were written by Ezel based on the official IRS release. The full text is the IRS's own document.
View official IRS release (PDF)

Plain-English summary

Chief Counsel advised how to calculate the section 6651(a)(2) failure-to-pay addition when the IRS prepares a substitute return. The addition applies to unpaid amounts shown due on the return as originally filed. It runs from the payment due date, generally the return's filing due date without extensions under section 6151(a). The email also says that section 6020(b) returns must comply with the cited temporary regulation and Chief Counsel notice.

Ruling snapshot

  • Question: From what date is the section 6651(a)(2) addition calculated for a substitute return?
  • Outcome: Advice given: calculate it from the payment due date.
  • Key authorities: IRC §§ 6020(b), 6151(a), and 6651(a)(2); Temp. Treas. Reg. § 301.6020-1T.

Full text (IRS public release)

ID: CCA_2008123013312250 Number: 200909060
Release Date: 2/27/2009
Office: ----------------
UILC: 6651.00-00, 6651.20-00

From: -----------------------
Sent: Tuesday, December 30, 2008 1:31:23 PM
To: ----------------
Cc: ------------------
Subject: FW: how do I assess penalties on an sfr

The failure to pay addition to tax under section 6651(a)(2) applies to unpaid amounts showing due on the return as originally filed. Accordingly, a section 6651(a)(2) addition to tax is calculated from the payment due date, which is generally the same as the due date for filing the return without regard to extensions of time for filing. See I.R.C. § 6151(a).

Please note that the section 6020(b) returns need to be prepared in accordance with Temp. Treas. Reg. section 301.6020-1T and Chief Counsel Notice 2007-005 (which is linked below for your convenience). We would be happy to take a look at a sample gift tax return that you prepare in order to make sure it is correctly completed. Thanks.

ATTACHMENT: CC Notice 2007-005

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