Ezel / IRS Rulings / 1247014
Chief Counsel Advice 1247014 Released November 23, 2012 Advice

TEFRA may apply when a partnership return is filed

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This page covers one taxpayer's ruling from 2012, 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 2012
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 resolved one taxpayer's situation on its specific facts, 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 clarified that TEFRA would apply if a partnership return was filed under IRC § 6233 and the small-partnership exception did not apply. The advice also noted that trusts can elect partnership tax treatment under the check-the-box regulations, while whether that option is available to REITs was left to the responsible IRS jurisdiction.

Ruling snapshot

  • Question: Would TEFRA apply to a partnership return involving a trust or possible REIT classification?
  • Outcome: Advice given
  • Key authorities: IRC §§ 6233 and 7701; Treas. Reg. § 301.6233-1(a)

Full text (IRS public release)

ID: CCA_2012081614143237 Number: 201247014
Release Date: 11/23/2012
Office: ----------
UILC: 6233.00-00

From: -------------------
Sent: Thursday, August 16, 2012 2:15:04 PM
To: --------------------------------------------------------------------------------------------
Cc: ----------------------------------------------------------------------------------------------------
Subject: RE: TMP and REIT ---------

My mistake. I confused the term REMIC and REIT. But TEFRA would apply in any event if a partnership
return was filed pursuant to section 6233 and Treas. Reg. 301.6233-1(a) if the small partnership
exception does not apply. Trusts can elect to be taxed as partnerships under the check-the-box
regulations. Whether this option exists for REITs would be under PSI jurisdiction. -------------------is the
expert on check-the-box. PSI also has jurisdiction over trusts which presumably includes trusts that are
REITs.

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