Ezel / IRS Rulings / 200914058

CCA 200914058: Dual representation did not automatically stop a third-party summons interview

Number
200914058
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Miscellaneous Issues
Topics
Other topics
Code sections
§ 7525
Ruling dated
March 20, 2009
Publicly released
April 3, 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

A revenue agent had summoned a third party who retained the same attorney as the taxpayer, creating a dual-representation conflict question. Chief Counsel advised the agent to follow specified Internal Revenue Manual procedures if a conflict waiver was unavailable before the interview. If the third party gave the required affirmative answers, the agent had to proceed with the interview. Separate procedures applied if the attorney obstructed it. The taxpayer's attorney could be excluded only if the third party said that the third party did not want that attorney's representation.

Ruling snapshot

  • Question: How should an agent conduct a third-party summons interview when the third party and taxpayer have retained the same attorney?
  • Outcome: Advice given: follow the cited IRM procedures, proceed if the third party confirms the representation, and exclude the attorney only if the third party rejects that representation.
  • Key authorities: IRC § 7525; IRM 25.5.5.5.1, 25.5.5.5.2, and 25.5.5.5.5.

Full text (IRS public release)

ID: CCA_2009032008590226 Number: 200914058
Release Date: 4/3/2009
Office: --------------
UILC: 9999.00-00

From: ----------------------------
Sent: Friday, March 20, 2009 8:59:56 AM
To: --------------------
Cc: ---------------------------------------
Subject: RE: Conflict of Interest and Section 7525 - ----------------------

--------------

Our office reviewed the facts you provided with respect to your conflict of interest question in a third party summons context. The issue is a dual representation where the third party the RA has summoned has retained the same attorney as the taxpayer. If you do not get a copy of the conflict waiver in time for the interview, IRM 25.5.5.5.1 provides guidance as to how to proceed. As long as the third party answers these questions affirmatively, the agent has no option but to proceed. IRM 25.5.5.5.2 addresses the procedures that should be followed where the attorney obstructs the interview. It is only if the third party states that he does not want the attorney to represent him that you can exclude the taxpayer's attorney from the interview under 25.5.5.5.5.

Please let me know if you have any further questions.

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