Robert E. Wadlow and Connie V. Wadlow - Page 12

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          period for overpayments.  Section 6511(c)(2) provides that a                
          credit or refund may be allowed within 6 months after expiration            
          of the period within which an assessment may be made, when, as              
          here, no claim was filed but the period of assessment was                   
          extended by agreement (in this case by operation of law, which we           
          construe as the equivalent of such an agreement).                           
               Section 183(e)(4) substantially expands, in the somewhat               
          complex manner delineated above, the period for assessing any               
          deficiency attributable to an activity in the circumstances                 
          described.  Nevertheless, we hold for the sake of consistent                
          treatment that petitioners' right to an allowance of overpayments           
          in connection with their section 183 election be at least                   
          coterminous with respondent's authority to make an assessment               
          under section 183(e)(4).                                                    
               For the above reasons, we determine that there is an                   
          overpayment of petitioners' Federal income tax for 1991 and 1992            
          in the amount of $322 for each respective year, and we hold that            
          such overpayments are not barred by the period of limitations on            
          credits or refunds.                                                         
                                             Decision will be entered                 
                                        under Rule 155.                               
               Reviewed by the Court.                                                 
               COHEN, CHABOT, PARR, BEGHE, CHIECHI, FOLEY, VASQUEZ, and               
          GALE, JJ., agree with this majority opinion.                                

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