- 40 -
year thereafter. Finally, section 6229(f) provides that,
if one or more of the events described in section 6231(b)
take place, under which partnership items are converted
into nonpartnership items, and if the event takes place
before the expiration of the period of limitations on
assessment, then the period of limitations with respect to
the tax on those items will not expire before 1 year after
the conversion.
In substance, petitioners argue that their petition
for readjustment must be dismissed and respondent must be
foreclosed from assessing any tax attributable to the
subject partnership items on two grounds. As mentioned
earlier, the first ground is that respondent failed to mail
the notice of FPAA to the tax matters partner. We have
disposed of that contention above. The second ground is
that respondent failed to give petitioners the notice
required by section 6223(a)(2) within the time required by
section 6223(d)(2), with the result that their partnership
items for 1983 became nonpartnership items, pursuant to the
remedy provision set out in section 6223(e), and cannot be
adjusted in this proceeding at the partnership level.
In support of their second ground, petitioners assert
that the notice of FPAA was never mailed to the notice
partners as required by section 6223(a)(2). In further
Page: Previous 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 NextLast modified: May 25, 2011