Ezel / IRS Rulings / 200915037

CCA 200915037: Appeals must notify an estate when it terminates a section 6166 election

Number
200915037
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Extension of Time to Pay Estate Tax; Declaratory Judgments Relating to Eligibility of Estate with Respect to Installment Payments Under Section 6166
Topics
Procedure, penalties, and administration
Code sections
§ 6166, § 7479
Ruling dated
November 25, 2008
Publicly released
April 10, 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 that an estate may petition the Tax Court if the IRS denies or terminates an election to pay estate tax in installments under section 6166 and the other requirements of section 7479 are met. Once Appeals decides to terminate the election, Revenue Procedure 2005-33 requires it to send Letter 3570 explaining the determination. That letter gives the taxpayer the right to seek a declaratory judgment from the Tax Court. The advice identifies an exception for a decedent who died on or before August 5, 1997.

Ruling snapshot

  • Question: What notice follows an Appeals determination to terminate a section 6166 installment-payment election?
  • Outcome: Advice given: Appeals must send Letter 3570 with its reasons and notice of the right to petition the Tax Court, subject to the stated date exception.
  • Key authorities: IRC §§ 6166, 7479; Rev. Proc. 2005-33.

Full text (IRS public release)

ID: CCA_2008112508511267 Number: 200915037
Release Date: 4/10/2009
Office: --------------
UILC: 6166.00-00, 7479.00-00

From: ----------------
Sent: Tuesday, November 25, 2008 8:51:13 AM
To: --------------------
Cc: -----------------
Subject: RE: Question for you

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

The Campus is correct. Under section 7479, if IRS denies or terminates a section 6166 election and meets the other statutory requirements under that code section, the taxpayer has a right to petition Tax Court. According to Rev. Proc. 2005-33, once Appeals makes a determination that the election should be terminated, Appeals must send the letter 3570 with an enclosed statement of why this determination was made. This letter gives the taxpayer the right to petition Tax Court for a declaratory judgment under section 7479. The only time this letter would not be sent is if the decedent passed away on or before 8-5- 97, which shouldn't apply in your case. If you have any further questions, please let me know.

Best Regards,

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