Ezel / IRS Rulings / 201016075

CCA 201016075: Partnership section 1446 withholding is treated as a partnership item

Number
201016075
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Partnership Item
Topics
Procedure, penalties, and administration
Code sections
§ 1446, § 6221, § 6231
Ruling dated
March 29, 2010
Publicly released
April 23, 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 Advice considers whether withholding under section 1446 is a partnership item for TEFRA purposes. It concludes that partnership items are limited to items the partnership must determine under subtitle A of the Code, section 1446 withholding is under subtitle A, and the partnership must determine the withholding amount. The advice therefore states that partnership section 1446 withholding should be treated as a partnership item. It notes that no court had ruled on this issue or on whether a partnership's failure to file or pay a related penalty concerns a partnership item under section 6221.

Ruling snapshot

  • Question: Should section 1446 partnership withholding be treated as a partnership item for TEFRA purposes?
  • Outcome: Advice given
  • Key authorities: IRC §§ 1446, 6221, and 6231

Full text (IRS public release)

ID: CCA_2010032909050537 Number: 201016075
Release Date: 4/23/2010
Office: ----------
UILC: 6231.03-00

From: -------------------
Sent: Monday, March 29, 2010 9:05:12 AM
To: ------------------------
Cc: ---------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------
Subject: RE: 1446 issue

Partnership items are limited to items that the partnership must determine under subtitle A of the Code. The withholding tax under section 1446 is under subtitle A. It is something that the partnership must determine. The amount of liabilities of the partnership is included in regulations as a partnership item. So partnership section 1446 withholding should be treated as a partnership item.

No court has ruled on this issue or whether the partnership's failure to file/pay penalty "relates to a partnership item" within the meaning of section 6221. --------------------------------------------------------------------
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