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Leasing II v. Commissioner, 97 T.C. 575, 576 (1991); Maxwell v.
Commissioner, 87 T.C. 783, 787-788 (1986).
Section 622622 authorizes the judicial review of FPAAs and
provides in pertinent part:
SEC. 6226(f) SCOPE OF JUDICIAL REVIEW.-A court with
which a petition is filed in accordance with this
section shall have jurisdiction to determine all
partnership items of the partnership for the
partnership taxable year to which the notice of final
partnership administrative adjustment relates and the
proper allocation of such items among the partners.
[Emphasis added.]
Section 6231(a) defines the term “partnership item” as
follows:
(3) PARTNERSHIP ITEM.-The term “partnership item”
means, with respect to a partnership, any item required
to be taken into account for the partnership’s taxable
year under any provision of subtitle A to the extent
regulations prescribed by the Secretary provide that,
for purposes of this subtitle, such item is more
appropriately determined at the partnership level than
at the partner level. [Emphasis added.]
As defined, partnership items can only be those items
arising under subtitle A of the Internal Revenue Code. Section
22 The Taxpayer Relief Act of 1997 (Relief Act 1997), 111
Stat. 788, 1026, Pub. L. 105-34, sec. 1238(b)(1), amended sec.
6226(f) and expanded this Court’s jurisdiction in partnership
level proceedings to include the applicability of “any penalty,
addition to tax, or additional amount” related to the adjustment
of a partnership item. This amendment to sec. 6226(f) is
effective only for partnership taxable years ending after Aug. 5,
1997, and does not apply to the years at issue in the instant
case. Relief Act 1997 sec. 1238(c), 111 Stat. 1027. Moreover,
as noted supra note 21, sec. 6621(c) previously was repealed by
the OBRA 1989, effective for taxable years the due date of the
returns for which (determined without extensions) is after Dec.
31, 1989.
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