Post-assessment-deadline payment is refundable only within section 6511

Number

201536020

Outcome

Advice

Document type

Chief Counsel Advice

IRS subject

Limitations on Credit or Refund (Barred v. Not Barred)

Topics

Procedure, penalties, and administration

Code sections

§ 6401, § 6402, § 6511

Ruling dated

August 19, 2015

Publicly released

September 4, 2015

Source

View Official PDF

Apply this to your situation

This page covers legal advice the IRS Office of Chief Counsel wrote for IRS staff, issued in 2015, which can't be cited as precedent. Ask about your situation and see what the current Code and IRS guidance say, with citations.

Not precedent. Under 26 U.S.C. § 6110(k)(3), this written determination may not be used or cited as precedent. It is advice from the IRS Office of Chief Counsel to IRS personnel on the facts they presented, 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

A payment made after the assessment limitations period expires is an overpayment even if no tax was actually due. The IRS has authority to refund that payment, and a taxpayer filing a late amended return with the payment need not submit a separate refund claim. That administrative rule does not eliminate the refund limitations period. The payment may be refunded only within the deadlines imposed by section 6511.

Ruling snapshot

Question: May the IRS refund a payment made after the assessment statute expired without regard to the refund limitations period?
Outcome: Advice given
Key authorities: IRC §§ 6401(a), 6401(c), 6402(a), 6511; Rev. Rul. 74-580

Full text (IRS public release)

ID: CCA_2015081916481211
UILC: 6511.00-00

Number: 201536020
Release Date: 9/4/2015
From:
Sent: Wednesday, August 19, 2015 4:48:12 PM
To:
Cc:
Bcc:
Subject: FW: Payments made after the ASED

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A tax payment made to the Service after the expiration of the period of limitation on assessment is considered an overpayment, even if there was no tax liability. Section 6401(a) & (c). The Service has authority to refund overpayments, but only within the applicable period of limitations. Section 6402(a); Rev. Rul. 74-580. The IRM in section 25.6.1.10.2.5.6.2 (10-11-2012) Claim for an Amount Paid After the ASED, (stating “If an amended return is filed after the expiration of the period of limitations on assessment, any amount paid with that return must be refunded to the taxpayer. The taxpayer does not need to file a claim for refund in order to receive a refund of the payment made with the late filed amended return for additional tax assessment.”) is discussing the need for filing a claim, not the applicability of the period of limitations. Therefore, a payment made after the ASED may be refunded to the taxpayer, but only within the limitations set forth in section 6511.

If you have any further questions, please do not hesitate to contact me.

Yours,

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