CCA 201016080: IRS procedures when one spouse receives full relief and the other receives a notice of deficiency

Plain-English summary

Chief Counsel Advice addresses how the IRS should proceed when one spouse receives full relief from a joint liability under section 6015 and the other spouse receives a notice of deficiency. The advice says to address the notice to both spouses but send it only to the nonrequesting spouse, with the salutation directed to that spouse. The notice should explain that full relief was granted to the requesting spouse, and the IRS should send Letter 3323 to the nonrequesting spouse and Letter 3279 to the requesting spouse. The advice concerns IRS administrative procedure and does not itself grant or deny relief.

Ruling snapshot

• Question: What notice and letter procedures apply when one spouse receives full section 6015 relief and the other spouse receives a notice of deficiency?
• Outcome: Advice given
• Key authorities: IRC § 6015; IRS Letters 3279 and 3323

Full text (IRS public release)

ID: CCA_2010033114275916 Number: 201016080
Release Date: 4/23/2010
Office: --------------
UILC: 6015.00-00

From: -----------------
Sent: Wednesday, March 31, 2010 2:28:09 PM
To: --------------------
Cc: ---------------------------
Subject: RE: Notice of Deficiency and Notice of Determination issues

The issue of whether to issue a separate notice of deficiency and notice of determination or a combination notice was the topic of a working group that concluded its work in the last half of 2009. It appears that at this time none of the IRM sections you reference have been updated. Here are the procedures that should be followed when a determination is made that one spouse should receive full relief from a determined joint liability under section 6015 and the other spouse should receive a notice of deficiency.

Do not issue a notice of deficiency to the requesting spouse, nor send a copy of the notice of deficiency to the requesting spouse. Address the notice of deficiency to both spouses as shown on the return but send the notice only to the nonrequesting spouse. Direct the salutation only to the spouse to whom the notice is being sent. Include the following statement on the notice of deficiency, waiver, and in the “Other Information” section of the computation statement (RAR): “We granted full relief to [Name of requesting spouse] under IRC Sections 6015(b), (c), or (f), from the joint and several liability determined in this notice of deficiency. We will send a separate letter to each spouse regarding our decision to grant full relief.” In addition, send Letter 3323, Notice to non-electing Spouse of Final Determination on Innocent Spouse Claim, by regular mail to the nonrequesting spouse at the same time the notice of deficiency is issued to the nonrequesting spouse. Also send Letter 3279, Final Determination Letter, by certified mail to the requesting spouse, as notice that full relief was allowed, at the same time the notice of deficiency and Letter 3323 are issued to the non-requesting spouse.

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