CCA 201102057: Some amended-return amounts may be assessed during a TEFRA proceeding

Plain-English summary

Chief Counsel advice addresses assessments reported and paid on amended returns while a TEFRA partnership proceeding is pending. It states that amounts reported and paid on amended returns may be directly assessed and are not part of a deficiency subject to the partnership-level assessment restriction. Those amounts therefore need not be abated while the partnership proceeding is pending. Amounts not yet assessed can await completion of the TEFRA proceeding.

Ruling snapshot

• Question: Which amended-return amounts may be assessed before a TEFRA partnership proceeding is complete?
• Outcome: advice given
• Key authorities: IRC §§ 6211 and 6225; Treas. Reg. §§ 301.6201-1(a)(1) and 301.6213-1(b)

Full text (IRS public release)

ID: CCA_2010120714494937 Number: 201102057
Release Date: 1/14/2011
Office: ----------
UILC: 6225.00-00

From: -------------------
Sent: Tuesday, December 07, 2010 2:49:57 PM
To: --------------------
Cc: -----------
Subject: RE: FPAAs (AC CASE)

The assessments of amounts reported and paid on amended returns may directly assessed under Treas. Reg. 301.6201-1(a)(1) and 301.6213-1(b). The reporting and paying of the these amounts removes these amounts from being part of a "deficiency" as defined under section 6211 that otherwise might be subject to a restriction on assessment under section 6225 (restriction on assessment of "deficiency" attributable to partnership items). Thus, there is no need to abate these amounts pending the completion of the partnership proceeding.

Any amounts that have not yet been assessed can await the completion of the TEFRA proceeding. If any amended return contains an explicit protest of the amount reported let me know.