Rhone Poulenc Surfactants and Specialties, L.P. - Page 13




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          456, 462 (1924); see also Badaracco v. Commissioner, 464 U.S.               
          386, 391 (1984); Colestock v. Commissioner, 102 T.C. 380, 387               
          (1994); Fehlhaber v. Commissioner, 94 T.C. 863, 868 (1990), affd.           
          954 F.2d 653 (11th Cir. 1992).                                              
                    2.  Relationship Between Sections 6229 and 6501                   
                    a.  Introduction                                                  
               Simply put, respondent believes that sections 6229 and 6501            
          contain alternative periods within which to assess tax with                 
          respect to partnership items, with the later-expiring-period                
          governing in a particular case.  Petitioner believes that the               
          period for assessing tax with respect to partnership items is the           
          later of 3 years from the partnership return due date or filing             
          date which is referred to in section 6229(a).  Both sides refer             
          to dicta which lends support to their respective position, and              
          both acknowledge that no court has ruled directly on this issue.            
          We conclude that respondent’s position is correct.                          
                    b.  Section 6229 and Section 6501 Contain Alternative             
                    Periods of Limitations                                            
               To understand the parties’ arguments, it is necessary to               
          understand the Code’s structure with respect to periods of                  
          limitations.  In pertinent part, section 6501 provides:                     
                    SEC. 6501(a).  General Rule.--Except as otherwise                 
               provided in this section, the amount of any tax imposed                
               by this title shall be assessed within 3 years after                   
               the return was filed * * *                                             
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