Advice on the limitations period for an NOL carryback refund claim

Plain-English summary

Chief Counsel's office advised that the limitations period in IRC § 6511(d)(2)(A) for net operating loss carrybacks is an additional period for filing a refund claim, not a replacement for the general periods in § 6511(a). On the described facts, a claim filed after the special NOL period but within two years after the tax was paid was timely and valid. The advice relied on Rev. Rul. 65-281.

Ruling snapshot

• Question: Whether a refund claim involving an NOL carryback was timely filed.
• Outcome: Advice given.
• Key authorities: IRC §§ 6511(a) and 6511(d)(2)(A); Rev. Rul. 65-281, 1965-2 C.B. 444.

Full text (IRS public release)

ID: CCA-4111452-13 Number: 201316016
Release Date: 4/19/2013
Office: --------------
UILC: 6511.03-02

From: -----------------
Sent: Wednesday, March 20, 2013 1:08 PM
To: -------------------
Cc: ------------------------------------------------------------------------------------- Subject: NOL Period of Limitations Question ----------

Hi -----------

This email responds to your earlier request for assistance. Please let me know if you have any further questions. The refund claim for tax year ------- was timely filed. Section 6511(d)(2)(A) is not the exclusive limitations period applicable to NOL carrybacks: “the period provided in section 6511(d)(2)(A) of the Code was intended to constitute an additional period within which a claim for credit or refund of an overpayment of tax for the year to which the loss is carried might be made rather than a substitution for the periods provided in section 6511(a) of the Code.” Rev. Rul. 65-281, 1965-2 C.B. 444 (emphasis in original). And so, as applicable to the facts of this case, “a claim filed after expiration of the period prescribed in section 6511(d)(2)(A) of the Code, but ... within 2 years from the date the tax was paid, is to be considered timely and valid.” Id.