Ezel / IRS Rulings / 201012061

CCA 201012061: Notice 2008-90 does not limit other inventory-contribution issues

Number
201012061
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Inventory and Other Property
Topics
Income and deductions
Code sections
§ 170
Ruling dated
November 10, 2009
Publicly released
March 26, 2010
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 2010, 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 2010
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 Notice 2008-90 applies only in limited situations involving charitable contributions of inventory. The notice lets a taxpayer that otherwise qualifies for the enhanced deduction under IRC § 170(e)(3) use the limited-to-basis deduction under § 170(e)(1)(A). It does not prevent an examiner from challenging other issues, including basis, fair market value, cost-of-goods-sold adjustments, or substantiation. The advice concerns examination scope and does not grant a taxpayer a deduction.

Ruling snapshot

  • Question: Does Notice 2008-90 restrict an examiner from raising other issues about a charitable contribution of inventory?
  • Outcome: Advice given
  • Key authorities: IRC § 170; Notice 2008-90

Full text (IRS public release)

ID: CCA_2009111011384049 Number: 201012061
Release Date: 3/26/2010
Office: ----------------
UILC: 170.11-03

From: -------------------
Sent: Tuesday, November 10, 2009 11:38:42 AM
To: ----------------------
Cc: ---------------------------------------------
Subject: RE: Notice 2008-90

--------

Notice 2008-90 applies to very few situations and does not limit an examiner's ability to raise most issues in connection with charitable contributions of inventory. The Notice allows a taxpayer who otherwise qualifies for a charitable contribution "enhanced" deduction under section 170(e)(3) to use the "limited-to- basis" deduction under section 170(e)(1)(A) instead. It does not prevent an examiner from challenging any other issues regarding the contribution under section 170 or other applicable provisions (including, for example, the amount of the taxpayer's basis, fair market value, adjustments to cost of goods sold, or substantiation).

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