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Held, further, the entire overpayment of tax
remaining is subject to the GATT rate since an amount
in excess of the $10,000 threshold was refunded to P on
the due date of P’s return for the taxable year in
question.
Jerome B. Libin, James V. Heffernan, and Mary E. Monahan,
for petitioner.
Robert Morrison and Jan E. Lamartine, for respondent.
OPINION
GOEKE, Judge: Before us is petitioner’s motion under Rule
2611 seeking a higher rate of interest on petitioner’s
overpayment. The difference between petitioner’s interest
computation method and respondent’s method stems from a
difference of view regarding the effect of a 1994 amendment to
section 6621(a)(1), the so-called GATT amendment. That amendment
reduced the rate of overpayment interest applicable to that
portion of a corporate tax overpayment that exceeds $10,000 for
purposes of determining interest after December 31, 1994.
Because we hold that the reduced rate of interest effective after
December 31, 1994, applies to interest accrued on petitioner’s
overpayment as of that date, petitioner’s motion will be denied.
1Rule references are to the Tax Court Rules of Practice and
Procedure. Unless otherwise indicated, all section references
are to the Internal Revenue Code as amended.
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