Dover Corporation and Subsidiaries - Page 13

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          income tax for its succeeding taxable year, such amount shall be            
          applied as a payment on account of its estimated tax for such               
          year.  Based upon these provisions, petitioner contends that                
          respondent was obliged to accept its amended returns for 1990 and           
          1991 and to recognize petitioner's election to treat the                    
          overpayment claimed on its amended return for 1991 as a credit to           
          be applied as an estimated tax payment for 1993.                            
               We agree with petitioner that the sections it cites                    
          generally permit a corporate taxpayer to claim a refund by filing           
          an amended return claiming an overpayment and then to make an               
          election to treat such overpayment as a credit to be applied                
          against its estimated tax liability for a succeeding taxable                
          year.  However, we are not persuaded that respondent was                    
          compelled, as a matter of law, to accept petitioner's amended               
          returns for 1990 and 1991 under the circumstances presented.                
          Simply stated, petitioner's position is inconsistent with the               
          proposition that its amended returns constitute "claims" for                
          refunds that respondent may review and adjust, either by way of             
          an immediate rejection of the refund claim, see McCabe v.                   
          Commissioner, T.C. Memo. 1983-325, and cases discussed therein,             
          or by way of a tentative allowance, subsequent audit, and (if               
          necessary) issuance of a notice of deficiency, see Terry v.                 
          Commissioner, 91 T.C. 85, 87 (1988); Owens v. Commissioner, 50              
          T.C. 577, 583 (1968), and cases cited therein.                              

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