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C. Statute of Limitations in TEFRA Proceedings
Section 6501(a) provides that the amount of any tax shall be
assessed within 3 years from the date a taxpayer’s return is
filed.9 The term “return” for purposes of section 6501(a) does
not include a return of any person from whom the taxpayer has
received an item of income, gain, loss, deduction, or credit,
e.g., a partnership return. Sec. 6501(a). Section 6501 provides
the general period of limitations for assessing any tax imposed
by the Code.
Section 6229 establishes the minimum period for the
assessment of any tax attributable to partnership items (or
affected items) notwithstanding the period provided for in
section 6501. Section 6229 is not a stand-alone statute of
limitations but can extend the section 6501 period of limitations
with respect to the tax attributable to partnership items or
affected items. Rhone-Poulenc Surfactants & Specialties, L.P. v.
Commissioner, supra at 542-544; Estate of Quick v. Commissioner,
110 T.C. 172, 181-182 (1998), supplemented 110 T.C. 440 (1998).
Stated another way, sections 6229 and 6501 provide
alternative periods within which to assess tax with respect to
partnership items, with the later expiring period governing in a
particular case. AD Global Fund, LLC v. United States, 481 F.3d
9 There are exceptions to the 3-year period which are not
applicable in this case. See, e.g., sec. 6501(c), (d), (e), (f),
(h).
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Last modified: November 10, 2007