Ezel / IRS Rulings / 200915040

CCA 200915040: Lost sale certificate could be replaced by an affidavit for an IRS deed

Number
200915040
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Certificate of Sale; Deed of Real Property
Topics
Procedure, penalties, and administration
Code sections
§ 6338
Ruling dated
December 22, 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

An IRS purchaser had lost the certificate of sale needed to obtain a deed. Chief Counsel advised that the purchaser could instead execute an affidavit stating that the certificate was lost. The certificate was a nonnegotiable contract right, not a negotiable instrument. The IRS could safely issue the deed based on the affidavit if it had no knowledge or notice that the right had been assigned. Local field counsel could draft the affidavit for a live case.

Ruling snapshot

  • Question: Could the IRS issue a deed when the purchaser had lost the certificate of sale?
  • Outcome: Advice given: yes, the purchaser could submit an affidavit of loss in place of the certificate.
  • Key authorities: IRC § 6338; contract principles governing nonnegotiable rights.

Full text (IRS public release)

ID: CCA_2008122209133151 Number: 200915040
Release Date: 4/10/2009
Office: ------------
UILC: 6338.00-00

From: -------------------
Sent: Monday, December 22, 2008 9:13:38 AM
To: ------------------
Cc:
Subject: FW: Certificate of Sale

Good morning -

We received the response below from -----------------------. The purchaser may execute an affidavit in lieu of providing the certificate. Please let me know if you have any questions or need any further assistance.

Thanks,
----------

__________
From: ----------------------------------------------------------------------------------------------- Sent: Monday, July 23, 2007 2:31 PM To: ------------------------ Subject: Certificate of Sale

Good news ------. There are a couple of old Chief Counsel opinions right on point. If the purchaser has lost the certificate, they can execute an affidavit of lost certificate and the IRS can issue the deed from that affidavit. The certificate of sale is not a negotiable instrument but is a non-negotiable contract right. The general rule is that the obligor can safely perform the obligation under the contract (in this case to issue a deed upon presentation of the certificate) where the obligor has no knowledge or notice of any assignment. It can be titled Affidavit of Loss of Certificate of Sale. We don't have copies of the original affidavit that was used back in 1970, but if you have a live case, refer it over to the local field counsel and they can draft an affidavit for you. Thanks.

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