FPL Group, Inc. and Subsidiaries - Page 7

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          However, credit is not allowed under section 34(a) for an amount            
          payable under section 6427, if a claim for such amount is timely            
          filed and is “payable” under such section.8  Sec. 34(b).                    
               C.   Analysis                                                          
               The Court of Federal Claims has recently held that the “one            
          claim” rule under section 6427(i) does not bar timely claims for            
          tax credit under section 34.  See Schlumberger Tech. Corp. &                
          Subs. v. United States, 47 Fed. Cl. 298 (2000).  We agree with              
          the Court of Federal Claims and its reasoning.                              
               Section 34(a)(3) provides:  “There shall be allowed as a               
          credit * * * an amount equal to the sum of the amounts payable to           
          the taxpayer * * * under section 6427”.  The text of section 34             
          does not suggest that the credit it affords is limited by any of            
          the procedural provisions of section 6427.  Rather, the reference           
          to section 6427 contained in section 34 appears merely to be a              
          convenient measure of the amount of the credit to be afforded.              
          Section 6427(k) does not purport to control or limit the rights             

                    deemed purchased under section 6427(g)(6)),                       
               during the taxable year (determined without regard to                  
          section 6427(k)).                                                           
               8Sec. 34(b) provides:                                                  
                    SEC. 34(b). Exception.--Credit shall not be                       
               allowed under subsection (a) for any amount payable                    
               under section 6421 or 6427, if a claim for such amount                 
               is timely filed and, under section 6421(j) or 6427(k),                 
               is payable under such section.                                         

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