I 

109TH CONGRESS 

2D SESSION H. R. 5488 

To amend the Internal Revenue Code of 1986 to extend the period of 

limitation for filing a claim for credit or refund of an estate tax overpayment attributable to litigation continuing after the return for the estate 

is filed. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 25, 2006 

Mr. ADERHOLT introduced the following bill; which was referred to the 

Committee on Ways and Means 

A BILL 

To amend the Internal Revenue Code of 1986 to extend 

the period of limitation for filing a claim for credit 

or refund of an estate tax overpayment attributable to 

litigation continuing after the return for the estate is 

filed. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Estate Litigation Fair5 ness Act’’. 


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1 SEC. 2. EXTENDING PERIOD OF LIMITATION ON FILING 

2 CLAIM FOR CREDIT OR REFUND OF ESTATE 

3 TAX OVERPAYMENTS ATTRIBUTABLE TO LITI4 GATION CONTINUING AFTER THE RETURN 

5 FOR THE ESTATE IS FILED. 

6 (a) IN GENERAL.—Section 6511 of the Internal Rev7 enue Code of 1986 (relating to limitations on credit or 

8 refund) is amended by redesignating subsection (i) as sub9 section (j) and by inserting after subsection (h) the fol10 lowing new subsection: 

11 ‘‘(i) SPECIAL RULE FOR ESTATE TAX OVERPAY12 MENTS ATTRIBUTABLE TO LITIGATION CONTINUING

13 AFTER THE RETURN FOR THE ESTATE IS FILED.— 

14 ‘‘(1) EXTENSION OF PERIOD OF LIMITATION.— 

15 If the claim for credit or refund relates to an over16 payment of tax imposed by chapter 11 by reason of 

17 an expense— 

18 ‘‘(A) which is paid or incurred after the re19 turn for the estate is filed, and 

20 ‘‘(B) which would not have been so paid or 

21 incurred but for litigation continuing after the 

22 filing of such return, 

23 then the 3-year period of limitation described in sub24 sections (a) and (b) shall not expire before the end 

25 of the 4-year period beginning on the first date such 

26 litigation is no longer subject to judicial review. 


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1 ‘‘(2) AMOUNT OF CREDIT OR REFUND.—In the 

2 case of a claim described in paragraph (1), the 

3 amount of the credit or refund may exceed the por4 tion of the tax paid within the period prescribed in 

5 subsection (b)(2). 

6 ‘‘(3) TERMINATION.—This subsection shall not 

7 apply to estates of decedents dying after the last day 

8 of the 1-year period beginning on the date of the en9 actment of this subsection.’’. 

10 (b) EFFECTIVE DATE.— 

11 (1) IN GENERAL.—The amendments made by 

12 this section shall apply to estates of decedents dying 

13 after October 1, 1998. 

14 (2) WAIVER OF STATUTE OF LIMITATIONS.—If 

15 the credit or refund of any overpayment of tax re16 sulting from the amendments made by subsection 

17 (a) is prevented at any time before the close of the 

18 1-year period beginning on the date of the enact19 ment of this Act by the operation of any law or rule 

20 of law (including res judicata), refund or credit of 

21 such overpayment (to the extent attributable to such 

22 amendments) may, nevertheless, be made or allowed 

23 if claim therefor is filed before the close of such 1- 

24 year period. 

Æ 


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