Managing member may sign an LLC’s Form 872 extension

Plain-English summary

Chief Counsel advised that when an LLC is treated as a C corporation but lacks the specific officers listed in IRC § 6062, a managing member or another person authorized under state law may sign Form 872, the assessment-period extension. The signature is valid if the signer is listed in the LLC's signature-authority memorandum as authorized to act for tax matters. Counsel also suggested obtaining the managing member's president's signature as an additional precaution.

Ruling snapshot

• Question: Who may sign a Form 872 for an LLC treated as a C corporation when the LLC lacks the officers listed in IRC § 6062?
• Outcome: Advice given, an authorized managing member may sign
• Key authorities: IRC §§ 6062 and 6501

Full text (IRS public release)

ID: CCA_2014012313085907
UILC: 6501.08-09, 6062.00-00

Number: 201411024
Release Date: 3/14/2014
From:
Sent: Thursday, January 23, 2014 1:08:59 PM
To:
Cc:
Bcc:
Subject: RE: 872 for LLC

In the situation of an LLC that is treated as a c corporation, but in which the C corporation does not have any of the specific officers enumerated in section 6062, the person who is authorized to sign the 872 extension would be a managing member or other individual authorized to act on behalf of the LLC for tax matters under state law. The LLC under exam is not consolidated with its parent. You’ve provided us with a signature authority memo signed by the president of the company that is the managing member of the LLC under exam. So long as the person signing the 872 is listed on the signature authority memo as authorized to act for the LLC under exam, then the 872 should be valid. If, however, you wanted to be safe, you could also seek the signature of the president of the managing member of the LLC under exam.

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