Form 872-P extension supports affected-item refund claims

Plain-English summary

Chief Counsel advised that Form 872-P extends a partner's section 6501 limitations period for partnership items and affected items. A partner generally may use the ordinary refund-claim period under section 6511(c) for non-computational affected items. By contrast, adjustments to partnership items and resulting computational affected items generally remain attributable to partnership items. Those adjustments are therefore subject to the special restrictions in sections 6511(g) and 7422(h).

Ruling snapshot

• Question: Does a Form 872-P extension permit a partner to rely on the normal refund procedures for non-computational affected items?
• Outcome: Advice given. Section 6511(c) generally applies to those claims.
• Key authorities: IRC §§ 6230(d)(6), 6501, 6511(c) and (g), and 7422(h)

Full text (IRS public release)

ID: CCA_2014081415400001 [Third Party Communication:

UILC: 6511.09-00
Date of Communication: Month DD, YYYY]

Number: 201438023
Release Date: 9/19/2014
From:
Sent: Thursday, August 14, 2014 3:40:00 PM
To:
Cc:
Bcc:
Subject: RE: TEFRA question

Yes. The Form 872-P extends the partner’s section 6501 period for partnership and affected items. Section 6230(d)(6) was amended in 1997 to allow refund claims for non-computational affected items under normal non-TEFRA refund procedures. Thus, a partner can generally rely on section 6511(c) for non-computational affected items. Generally, only adjustments to partnership items and resulting computational affected items are considered “attributable to” partnership items and, thus, subject to the restrictions of section 6511(g) and 7422(h).