Source: https://www.irs.gov/irb/2011-28_IRB
Timestamp: 2018-03-17 10:08:39
Document Index: 292624909

Matched Legal Cases: ['§1', '§1', '§1', '§301', '§1', '§1', '§301', 'art 1', '§1', '§1', '§1', '§1', '§1', '§1', '§1', '§1', '§1', 'art 1', '§1', '§301', '§301', '§1', '§1', 'art 1', '§301', '§301', '§1', '§1', '§1', '§1', 'art 1', '§1', 'art 301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§301', '§1', '§301', '§301', '§301', '§10', '§10', '§10', '§371', '§10', '§10', '§10', '§10', '§10', '§7203', '§10', '§7202', '§10', '§10', '§10', '§7213', '§10', '§10', '§10', '§10', '§10', '§10', '§10', '§10', '§10', '§10', '§10', '§44', '§10', '§10', '§7203', '§10', '§10']

Internal Revenue Bulletin: 2011-28 | Internal Revenue Service
Internal Revenue Bulletin: 2011-28
T.D. 9528
Announcement 2011-38
Announcement 2011-39
Announcement 2011-41
T.D. 9528 T.D. 9528
Final regulations under section 41 of the Code implement changes to the credit for increasing research activities made by the Tax Relief and Health Care Act of 2006.
REG-137128-08 REG-137128-08
Proposed regulations under section 6402 of the Code provide guidance to taxpayers generally as to the proper place to file a claim for credit or refund.
Announcement 2011-38 Announcement 2011-38
This document provides notice of a public hearing on proposed regulations (REG-118761-09, 2011-21 I.R.B. 803) providing guidance concerning the time for taking into account deferred losses on the sale or exchange of property between members of a controlled group. A public hearing is scheduled for August 3, 2011.
Announcement 2011-39 Announcement 2011-39
The IRS has revoked its determination that A Family Budget Counseling, Inc., of Huntington City, NY; A Free Helpline, Inc., of Aliso Viejo, CA; Assisting a Non-Profit Corporation of Sacramento, CA; Building Affordable Communities and Housing Foundation of Camden, NJ; Credit Counseling of California of Roseville, MN; DebtScape, Inc., of Linthicum, MD; Educational Assistance Foundation for Descendants of Hungarian Immigrants in the Performing Arts, Inc., of Aventura, FL; Eyes for the World Eunice K. Fiorito Foundation, Ltd., of Washington, DC; Korean Senior Citizens Mutual Club of Los Angeles, CA; Northeast Family Care Center of North Canton, OH; Pulmonary Protection of Ohio of Canton, OH; Pulmonary Protection of Ohio of Findlay, OH; T Town, Inc., of Corona, CA; and Wellspring Renewal Center of Philo, CA, qualify as organizations described in sections 501(c)(3) and 170(c)(2) of the Code.
Applicability Date: For dates of applicability, see §§1.41-6(j)(3), 1.41-8(b)(5), and 1.41-9(d).
On June 17, 2008, the Treasury Department and the IRS published final and temporary regulations (T.D. 9401, 2008-27 I.R.B. 1) in the Federal Register (73 FR 34185) relating to the election and calculation of the alternative simplified credit (ASC) under section 41(c)(5). The ASC was added by the Tax Relief and Health Care Act of 2006 (Public Law 109-432, 120 Stat. 2922, December 20, 2006). A notice of proposed rulemaking cross-referencing the temporary regulations was also published in the same issue of the Federal Register (73 FR 34237). Written and electronic comments responding to these regulations (collectively, the 2008 regulations) were received and a public hearing was held on the 2008 regulations on September 25, 2008. After consideration of the comments received and the statements made at the public hearing, the 2008 regulations are adopted as revised by this Treasury decision.
The 2008 regulations were issued primarily to provide guidance on the election and calculation of the ASC. Section 1.41-9T(b) of the 2008 regulations provide that an election to make or revoke the provisions of the ASC under section 41(c)(5) must be made on a timely filed (including extensions) original return for the taxable year and may not be made on an amended return. Before the issuance of the 2008 regulations, identical election procedures existed for the alternative incremental research credit (AIRC) under §1.41-8. The 2008 regulations extended these election procedures to the ASC under §1.41-9T. The 2008 regulations also provided that extensions of time to make or revoke the election for both the AIRC and the ASC will not be granted under §301.9100-3. In the case of the AIRC, the 2008 regulations are of limited duration as section 41(h)(2) provides that no election under section 41(c)(4) shall apply to taxable years beginning after December 31, 2008.
The Treasury Department and the IRS believe that both tax administration and fairness are best served by adopting the same election procedures for the ASC that are used for the AIRC under §1.41-8. A taxpayer may make or revoke an election each taxable year by obtaining the consent of the Commissioner. A taxpayer is deemed to have requested, and to have been granted, the consent of the Commissioner to make or revoke an election if the taxpayer completes the portion of Form 6765, “Credit for Increasing Research Activities,” (or successor form) relating to the credit determined under section 41(a)(1), the AIRC, or the ASC, as appropriate, and attaches the completed form to the taxpayer’s timely filed (including extensions) original return for the year to which it applies. As is the case with a revocation of an AIRC election under §1.41-8, an ASC election under section 41(c)(5) may not be made or revoked on an amended return. Consistent with this position, the final regulations also provide that an extension of time to make or revoke an election under sections 41(c)(4) and 41(c)(5) will not be granted under §301.9100-3.
One commenter suggested changing the ASC short taxable year rules in the 2008 regulations to prorate short years by the number of days in the year instead of the number of months in the year. The Treasury Department and the IRS agree that calculating the ASC for short taxable years on a daily rather than a monthly basis provides a more accurate calculation and removes uncertainty as to whether and how to include a partial month in making the monthly calculation. Accordingly, the final regulations generally require that short taxable years be prorated by the number of days in the year instead of the number of months in the year for taxable years ending after June 9, 2011. Recognizing that some taxpayers may have already filed returns using a monthly calculation for a short taxable year, the final regulations also provide that returns filed for taxable years ending within a specified time period may, at the taxpayer’s option, be amended to reflect the daily calculation.
Paragraph 1. The authority citation for part 1 is amended by removing §1.41-0T to read in part as follows:
Section 1.41-8 also issued under 26 U.S.C. 41(c)(4)(B).
1. In §1.41-6, the entries for paragraphs (j) and (j)(3) are revised.
2. In §1.41-8, the section title is revised and entries for paragraphs (b)(4)(i) and (b)(4)(ii) are added.
3. Adding entries for §1.41-9.
§1.41-8 Alternative incremental credit applicable for taxable years beginning on or before December 31, 2008.
§1.41-0T [Removed]
1. Paragraphs (b)(1), (c)(2), (e), (j)(3), and paragraph heading (j) are revised.
2. Adding new Example 7 to paragraph (e).
(2) Stand-alone entity credit. The term stand-alone entity credit means the research credit (if any) that would be allowable to a member of a controlled group if the credit were computed as if section 41(f)(1) did not apply, except that the member must apply the rules provided in §1.41-6(d)(1) (relating to consolidated groups) and §1.41-6(i) (relating to intra-group transactions). Each member’s stand-alone entity credit for any credit year must be computed under whichever available method (the method described in section 41(a)(1), the method described in section 41(c)(4), or the method described in section 41(c)(5)) results in the greatest stand-alone entity credit for that member, without regard to the method used to compute the group credit.
Example 7. Group alternative simplified credit. The following example illustrates a group computation in a year for which the ASC method under section 41(c)(5) is in effect. No members of the controlled group are members of a consolidated group and no member of the group made any basic research payments or paid or incurred any amounts to an energy research consortium.
(i) Facts. Q, R, and S, all of which are calendar-year taxpayers, are members of a controlled group. The research credit under section 41(a)(1) is not allowable to the group for the 2011 taxable year (the credit year) because the group’s aggregate QREs for the credit year are less than the group’s base amount. The group does not use the AIRC method of section 41(c)(4) because it is unavailable for taxable years beginning after December 31, 2008. The group credit is computed using the ASC rules of section 41(c)(5). Assume that each member of the group had QREs in each of the three years preceding the credit year. For purposes of computing the group credit for the credit year, Q, R, and S had the following:
Q R S Group Aggregate
Average QREs for 3 Years Preceding the Credit Year $10x $20x $10x $40x
(ii) Computation of the group credit. The research credit allowable to the group is computed as if Q, R, and S are one taxpayer. The group credit is equal to 14 percent of so much of the QREs for the credit year as exceeds 50 percent of the average QREs for the three taxable years preceding the credit year. The group credit is 0.14 x ($50x - (0.5 x $40x)), which equals $4.2x.
(iii) Allocation of the group credit. Under paragraph (c)(2) of this section, the stand-alone entity credit for each member of the group must be computed using the method that results in the greatest stand-alone entity credit for that member. The stand-alone entity credit for Q is zero under the regular or ASC methods. Assume that the stand-alone entity credit for each of R ($1.4x) and S ($3.5x) is greatest using the ASC method. Therefore, the stand-alone entity credits for each of R and S must be computed using the ASC method. The sum of the stand-alone entity credits of the members of the group is $4.9x. Because the group credit of $4.2x is less than the sum of the stand-alone entity credits of all the members of the group ($4.9x), the group credit is allocated among the members of the group based on the ratio that each member’s stand-alone entity credit bears to the sum of the stand-alone entity credits of all the members of the group. The $4.2x group credit is allocated as follows:
Stand-Alone Entity Credit $0x $1.4x $3.5x $4.9x
Allocation Ratio (Stand-Alone Entity Credit/Sum of Stand-Alone Entity Credits) 0/4.9 1.4/4.9 3.5/4.9
Multiplied by: Group Credit $4.2x $4.2x $4.2x
Equals: Credit Allocated to Member $0x $1.2x $3x $4.2x
(3) Taxable years ending after June 9, 2011. Paragraphs (b)(1), (c)(2), and (e) of this section are applicable for taxable years ending after June 9, 2011. For taxable years ending on or before June 9, 2011, see §§1.41-6T and 1.41-6 as contained in 26 CFR part 1, revised April 1, 2011.
Par. 6. In §1.41-8, the section heading and paragraphs (b)(2), (b)(3), (b)(4)(ii), and (b)(5) are revised to read as follows:
(2) Time and manner of election. An election under section 41(c)(4) is made by completing the portion of Form 6765, “Credit for Increasing Research Activities,” (or successor form) relating to the election of the AIRC, and attaching the completed form to the taxpayer’s timely filed (including extensions) original return for the taxable year to which the election applies. An election under section 41(c)(4) may not be made on an amended return. An extension of time to make an election under section 41(c)(4) will not be granted under §301.9100-3 of this chapter.
(3) Revocation. An election under this section may not be revoked except with the consent of the Commissioner. A taxpayer is deemed to have requested, and to have been granted, the consent of the Commissioner to revoke an election under section 41(c)(4) if the taxpayer completes the portion of Form 6765, “Credit For Increasing Research Activities,” (or successor form) relating to the amount determined under section 41(a)(1) (the regular credit) or the alternative simplified credit (ASC) and attaches the completed form to the taxpayer’s timely filed (including extensions) original return for the year to which the revocation applies. An election under section 41(c)(4) may not be revoked on an amended return. An extension of time to revoke an election under section 41(c)(4) will not be granted under §301.9100-3 of this chapter.
(ii) Designated member. For purposes of this paragraph (b)(4), for any credit year, the term designated member means that member of the group that is allocated the greatest amount of the group credit under §1.41-6(c) based on the amount of credit reported on the taxpayer’s timely filed (including extensions) original Federal income tax return (even if that member subsequently is determined not to be the designated member). If the members of a group compute the group credit using different methods (the method described in section 41(a)(1), the AIRC method of section 41(c)(4) (available for years beginning on or before December 31, 2008), or the ASC method of section 41(c)(5)) and at least two members of the group qualify as the designated member, then the term designated member means that member that computes the group credit using the method that yields the greatest group credit. For example, A, B, C, and D are members of a controlled group but are not members of a consolidated group. For the 2008 taxable year (the credit year), the group credit using the method described in section 41(a)(1) is $10x. Under this method, A would be allocated $5x of the group credit, which would be the largest share of the group credit under this method. For the credit year, the group credit using the AIRC method is $15x. Under the AIRC method, B would be allocated $5x of the group credit, which is the largest share of the group credit computed using the AIRC method. For the credit year, the group credit using the ASC method is $10x. Under the ASC method, C would be allocated $5x of the group credit, which is the largest share of the group credit computed using the ASC method. Because the group credit is greatest using the AIRC method and B is allocated the greatest amount of credit under that method, B is the designated member. Therefore, if B makes a section 41(c)(4) election on its original timely filed return for the credit year, that election is binding on all members of the group for the credit year.
(5) Effective/applicability dates. This section is applicable for taxable years ending after June 9, 2011. For taxable years ending on or before June 9, 2011, see §§1.41-8 and 1.41-8T, as contained in 26 CFR part 1, revised April 1, 2011.
Par. 8. Section 1.41-9 is added to read as follows:
(2) Time and manner of election. An election under section 41(c)(5) is made by completing the portion of Form 6765, “Credit for Increasing Research Activities,” (or successor form) relating to the election of the ASC, and attaching the completed form to the taxpayer’s timely filed (including extensions) original return for the taxable year to which the election applies. An election under section 41(c)(5) may not be made on an amended return. An extension of time to make an election under section 41(c)(5) will not be granted under §301.9100-3 of this chapter.
(3) Revocation. An election under this section may not be revoked except with the consent of the Commissioner. A taxpayer is deemed to have requested, and to have been granted, the consent of the Commissioner to revoke an election under section 41(c)(5) if the taxpayer completes the portion of Form 6765 (or successor form) relating to the credit determined under section 41(a)(1) (the regular credit) or the alternative incremental credit (AIRC) and attaches the completed form to the taxpayer’s timely filed (including extensions) original return for the year to which the revocation applies. An election under section 41(c)(5) may not be revoked on an amended return. An extension of time to revoke an election under section 41(c)(5) will not be granted under §301.9100-3 of this chapter.
(ii) Designated member. For purposes of this paragraph (b)(4), for any credit year, the term designated member means that member of the group that is allocated the greatest amount of the group credit under §1.41-6(c) based on the amount of credit reported on the taxpayer’s timely filed (including extensions) original Federal income tax return (even if that member subsequently is determined not to be the designated member). If the members of a group compute the group credit using different methods (the method described in section 41(a)(1), the AIRC method of section 41(c)(4), or the ASC method of section 41(c)(5)) and at least two members of the group qualify as the designated member, then the term designated member means that member that computes the group credit using the method that yields the greatest group credit. For example, A, B, C, and D are members of a controlled group but are not members of a consolidated group. For the 2011 taxable year (the credit year), the group credit using the method described in section 41(a)(1) is $10x. Under this method, A would be allocated $5x of the group credit, which would be the largest share of the group credit under this method. For the credit year, the group credit using the ASC method is $15x. Under the ASC method, C would be allocated $5x of the group credit, which is the largest share of the group credit computed using the ASC method. Because the group credit is greatest using the ASC method and C is allocated the greatest amount of credit under that method, C is the designated member. Therefore, if C makes a section 41(c)(5) election on its timely filed (including extensions) original return for the credit year, that election is binding on all members of the group for the credit year.
(ii) Limited exception. Returns filed for taxable years ending after December 31, 2006, and before June 9, 2011, and for which the period of limitations has not expired, may be amended to apply the daily calculation for short taxable years provided in paragraph (3)(i) of this section in lieu of the monthly calculation for short taxable years provided in §1.41-9T(c)(4).
(4) Controlled groups. For purposes of computing the group credit under §1.41-6, a controlled group must apply the rules of this paragraph (c) on an aggregate basis. For example, if the controlled group has QREs in each of the three taxable years preceding the taxable year for which the credit is being determined, the controlled group applies the credit computation provided by section 41(c)(5)(A) rather than section 41(c)(5)(B)(ii).
(d) Effective/applicability dates. This section is applicable for taxable years ending after June 9, 2011. For taxable years ending on or before June 9, 2011, see §1.41-9T as contained in 26 CFR part 1, revised April 1, 2011.
§1.41-9T [Removed]
Approved June 2, 2011.
(Filed by the Office of the Federal Register on June 9, 2011, 8:45 a.m., and published in the issue of the Federal Register for June 10, 2011, 76 F.R. 33994)
Notice of Proposed Rulemaking Claims for Credit or Refund
Send submissions to: CC:PA:LPD:PR (REG-137128-08), room 5205, Internal Revenue Service, P.O. Box 7604, Ben Franklin Station, Washington, DC 20044. Submissions may be hand-delivered between the hours of 8 a.m. and 4 p.m. to CC:PA:LPD:PR (REG-137128-08), Courier’s Desk, Internal Revenue Service, 1111 Constitution Avenue, N.W., Washington, DC, or sent electronically via the Federal eRulemaking Portal at www.regulations.gov (IRS REG-137128-08).
This document contains proposed amendments to 26 CFR part 301 under section 6402 of the Internal Revenue Code (Code). Section 6402 of the Code authorizes the Secretary to make credits or refunds. Section 6511 provides the limitations period within which a taxpayer must file a claim for credit or refund and restricts the ability of the Secretary to issue a credit or refund unless the claim is filed by the taxpayer within that period. Section 7422 prohibits the maintenance of a suit for refund until a claim has been duly filed with the Secretary. Currently, §301.6402-2(a)(2) provides generally that a claim for credit or refund needs to be filed with the service center serving the internal revenue district in which the tax was paid. The proposed regulations clarify that, unless otherwise directed, the proper place to file a claim for credit or refund is with the service center at which the taxpayer currently would be required to file a tax return for the type of tax to which the claim relates, irrespective of where the tax was paid or was required to have been paid.
This document also removes outdated portions of §§301.6402-2 and 301.6402-3 and revises the reference in §301.6402-4 to the Joint Committee on Taxation threshold referral amount under section 6405.
If a taxpayer is required to file a claim for credit or refund on a particular form, then the claim must be filed in a manner consistent with that form and the related instructions. For example, to correct an amount reported on a Form 1040, “U.S. Individual Income Tax Return,” Treasury regulation §301.6402-3(a)(2) requires that the taxpayer file the claim on a Form 1040X, “Amended U.S. Individual Income Tax Return.” Accordingly, a claim for refund of an overpayment of individual income taxes would need to be filed on a Form 1040X at the location specified in the instructions provided for the form. If filing instructions are not otherwise provided, a claim for credit or refund must be filed with the service center at which the taxpayer would be required to file a current tax return for the type of tax to which the claim relates. Section 301.6402-2(a)(2) is revised to clarify that claims should not be filed at a different location based upon where the tax either was paid or was required to have been paid. Nor would it be relevant if the tax was properly paid at a different location in a prior year because the taxpayer had a change in residence.
The IRS has prescribed various forms that must be used to file a claim for credit or refund for a particular tax. For example, as explained in this preamble, an individual taxpayer must use a Form 1040X to file a claim for refund of income tax. The proposed regulations would revise §301.6402-2(c) to provide that taxpayers must use the form prescribed for filing a particular claim for credit or refund. When there is no alternative form prescribed, a claim for credit or refund is to be filed on a Form 843, “Claim for Refund and Request for Abatement.”
On July 1, 2008, final regulations (T.D. 9405, 2008-32 I.R.B. 293) relating to employment tax adjustments and employment tax refund claims were published in the Federal Register (73 FR 37371). Those final regulations modify the process for making claims for refund of overpayments of employment taxes under section 6402. To file a claim to correct errors discovered on or after January 1, 2009, an employer now uses the form that corresponds to the return being corrected. The new forms correspond with Form 941, “Employer’s QUARTERLY Federal Tax Return”; Form 943, “Employer’s Annual Federal Tax Return for Agricultural Employees”; Form 944, “Employer’s ANNUAL Federal Tax Return”; Form 945, “Annual Return of Withheld Federal Income Tax”; and Form CT-1, “Employer’s Annual Railroad Retirement Tax Return.” For example, Form 941-X, “Adjusted Employer’s QUARTERLY Federal Tax Return or Claim for Refund,” is used by employers instead of Form 843, “Claim for Refund and Request for Abatement.” The new “X” forms are used to claim refunds, make adjustments, and request abatements of employment taxes. In addition, §301.6402-2(d) is revised to provide that when filing a claim for employment taxes, a separate claim must be made for each taxable period. For example, if an employer overpaid social security taxes on Forms 941 filed for the third and fourth quarters in 2009, then the employer must file a separate Form 941-X for each quarter.
The proposed regulations make technical revisions that remove the reference to “internal revenue districts” in §301.6402-2(a)(2), because such reference has been made obsolete by the enactment of the Internal Revenue Service Restructuring and Reform Act of 1998, Public Law 105-206, 112 Stat. 685. The technical revisions also remove the references to a district director or director of the regional service center in §§301.6402-3 and 301.6402-4, as those positions no longer exist within the IRS.
Treasury Decision 6950, 1968-1 C.B. 528 (33 FR 5354) (Aug. 4, 1968), revised paragraph (a)(2) of §301.6402-2 to distinguish between claims filed before and claims filed on or after April 15, 1968. Those revisions provided that claims filed before April 15, 1968 must be filed in the office of the internal revenue officer to whom the tax was paid. For claims filed on or after April 15, 1968, claims were directed to be filed with the service center serving the internal revenue district in which the tax was paid.
Treasury Decision 7410, 1976-1 C.B. 384 (41 FR 11019) (Mar. 16, 1976), revised paragraph (c) of §301.6402-2 to distinguish between claims filed before and claims filed on or after July 1, 1976. Those revisions provided that, except for claims for the refund of overpayments of income taxes filed on or after July 1, 1976, all refund claims for taxes, interest, penalties, and additions to tax needed to be filed on Form 843, “Claim for Refund and Request for Abatement.” Treasury Decision 7410 also revised paragraphs (a) and (b) of §301.6402-3 to prescribe different form requirements for claims for the refund of overpayments of income taxes depending on whether the claim was filed before July 1, 1976, or would be filed on or after July 1, 1976.
Section 6405 requires the advance referral of a report to the Joint Committee on Taxation regarding specified types of refunds or credits in excess of a threshold amount (currently $2,000,000). Section 1907(a)(1) of the Tax Reform Act of 1976, Public Law 94-455, 90 Stat. 1520, 1835, amended section 6405 to reference the “Joint Committee on Taxation,” instead of the “Joint Committee on Internal Revenue Taxation.” The proposed regulations would update the reference to the “Joint Committee on Internal Revenue Taxation” in §301.6402-4 with a reference to the “Joint Committee on Taxation.” Section 305(a) of the Community Renewal Tax Relief Act of 2000, Public Law 106-554, 114 Stat. 2763, 2763A-634, section 11834(a) of the Omnibus Budget Reconciliation Act of 1990, Public Law 101-508, 104 Stat. 1388, 1388-560, and section 1210(a) of the Tax Reform Act of 1976, 90 Stat. 1520, 1522, revised the threshold referral amount in section 6405 by replacing $100,000 with $2,000,000. To avoid the need to revise this regulation again to reflect any future change in the threshold amount, the parenthetical reference to the specific amount required for the section 6405 threshold referral is removed.
Before these proposed regulations are adopted as final regulations, consideration will be given to any written (a signed original and 8 copies) or electronic comments that are submitted timely to the IRS. The IRS and the Treasury Department request comments on the clarity of the proposed rules and how they can be made easier to understand. All comments will be available for public inspection and copying. A public hearing will be scheduled if requested in writing by any person that timely submits written comments. If a public hearing is scheduled, notice of the date, time, and place for the public hearing will be published in the Federal Register.
§301.6402-2. Claims for credit or refund.
(2) Except as provided in paragraph (b) of §301.6091-1 (relating to hand-carried documents), the claim, together with appropriate supporting evidence, generally must be filed with the service center at which the taxpayer currently would be required to file a tax return for the type of tax to which the claim relates. Notwithstanding the preceding sentence, if a taxpayer is required to file a claim for credit or refund on a particular form, then the claim must be filed in a manner consistent with such form and form instructions. If a taxpayer is filing a claim in response to an IRS notice or correspondence, then the claim must be filed in accordance with the specific instructions contained in the notice or correspondence regarding the proper address for filing. As to interest in the case of credits or refunds, see section 6611. See section 7502 for provisions treating timely mailing as timely filing, and section 7503 for the time for filing a claim when the last day falls on Saturday, Sunday, or a legal holiday.
(c) Form for filing claim. Unless the IRS otherwise has prescribed a particular form on which the claim must be filed, in which case the claim shall be made on such other form, all claims by taxpayers for the refunding of taxes, interest, penalties, and additions to tax shall be made on Form 843, “Claim for Refund and Request for Abatement.” For special rules applicable to income taxes, see §301.6402-3. For provisions relating to credits and refunds of taxes other than income tax, see the regulations relating to the particular tax.
Par. 3. Section 301.6402-3 is amended by revising paragraph (a), introductory text, removing paragraph (b), redesignating paragraphs (c), (d), (e) and (f), as (b), (c), (d) and (e), respectively, and revising paragraphs (b) and (e) to read as follows:
§301.6402-3. Special rules applicable to income tax.
(b) The filing of a properly executed income tax return shall, in any case in which the taxpayer is not required to show the tax on the form (see section 6014 and the regulations), be treated as a claim for refund and such return shall constitute a claim for refund within the meaning of section 6402 and section 6511 for the amount of the overpayment shown by the computation of the tax made by the Secretary on the basis of the return. Whether such claim is timely filed within the limitations period prescribed by section 6511 will be governed by the date on which the return is considered filed, except that if the requirements of §301.7502-1 (relating to timely mailing treated as timely filing) are met, the claim shall be considered to have been filed on the date of the postmark stamped on the cover in which the return was mailed.
(e) Effective/Applicability date. This section is applicable on the date that the final regulations are published in the Federal Register, except that references in paragraph (d) of this section to Form 8805 or other statements required under §1.1446-3(d)(2) shall apply to partnership taxable years beginning after April 29, 2008.
§301.6402-4. Payments in excess of amounts shown on return.
In certain cases, a taxpayer’s payments in respect of a tax liability, made before the filing of the return, may exceed the amount of tax shown on the return. For example, such payments may arise in the case of income tax if the estimated tax payments or the credit for income tax withheld at the source on wages exceeds the amount of tax shown on the return, or if the installment payments based on a corporation’s estimate of its tax liability on an application for an extension of time to file its return exceeds the tax liability shown on the return subsequently filed. In any case in which the Secretary determines that the payments by the taxpayer (made within the period prescribed for payment and before the filing of the return) are in excess of the amount of tax shown on the return, the Secretary may make credit or refund of such overpayment without awaiting examination of the completed return and without awaiting filing of a claim for refund. The provisions of §§301.6402-2 and 301.6402-3 are applicable to such overpayment, and taxpayers should submit claims for refund (if the income tax return is not itself a claim for refund, as provided in §301.6402-3) to protect themselves in the event the Secretary fails to make such determination and credit or refund. The provisions of section 6405 (relating to reports of refunds in excess of the statutorily prescribed threshold referral amount to the Joint Committee on Taxation) are not applicable to the overpayments described in this section caused by timely payments of tax which exceed the amount of tax shown on a timely filed return.
(Filed by the Office of the Federal Register on June 9, 2011, 8:45 p.m., and published in the issue of the Federal Register for June 10, 2011, 76 F.R. 34017)
Controlled Groups; Deferral of Losses; Hearings
This document provides notice of public hearing on a notice of proposed rulemaking (REG-118761-09, 2011-21 I.R.B. 803) providing guidance concerning the time for taking into account deferred losses on the sale or exchange of property between members of a controlled group.
The public hearing is being held in the auditorium, Internal Revenue Building, 1111 Constitution Avenue, NW, Washington, DC. Send submissions to: CC:PA:LPD:PR (REG-118761-09), room 5203, Internal Revenue Service, P.O. Box 7604, Ben Franklin Station, Washington, DC 20044. Submissions may be hand-delivered Monday through Friday between the hours of 8 a.m. and 4 p.m. to CC:PA:LPD:PR (REG-118761-09), Courier’s Desk, Internal Revenue Service, 1111 Constitution Avenue, NW, Washington, DC. Alternatively, taxpayers may submit electronic outlines of oral comments via the Federal eRulemaking Portal at http://www.regulations.gov.
Persons, who wish to present oral comments at the hearing that submitted written comments, must submit an outline of the topics to be discussed and the amount of time to be devoted to each topic (signed original and eight (8) copies) by Thursday, July 21, 2011.
(Filed by the Office of the Federal Register on May 31, 2010, 8:45 p.m., and published in the issue of the Federal Register for June 1, 2011, 76 F.R. 31543)
If on the other hand a suit for declaratory judgment has been timely filed, contributions from individuals and organizations described in section 170(c)(2) that are otherwise allowable will continue to be deductible. Protection under section 7428(c) would begin July 11, 2011, and would end on the date the court first determines that the organization is not described in section 170(c)(2) as more particularly set forth in section 7428(c)(1). For individual contributors, the maximum deduction protected is $1,000, with a husband and wife treated as one contributor. This benefit is not extended to any individual, in whole or in part, for the acts or omissions of the organization that were the basis for revocation.
A Family Budget Counseling, Inc. Huntington City NY
A Free Helpline, Inc. Aliso Viejo CA
Assisting a Non-Profit Corporation Sacramento CA
Building Affordable Communities and Housing Foundation Camden NJ
Credit Counseling of California Roseville MN
DebtScape, Inc. Linthicum MD
Educational Assistance Foundation for Descendants of Hungarian Immigrants in the Performing Arts, Inc. Aventura Fl
Eyes for the World Eunice K. Fiorito Foundation, Ltd. Washington DC
Korean Senior Citizens Mutual Club Los Angeles CA
Northeast Family Care Center North Canton OH
Pulmonary Protection of Ohio Canton OH
Pulmonary Protection of Ohio Findlay OH
T Town, Inc. Corona CA
Wellspring Renewal Center Philo CA
Announcements of disciplinary sanctions appear in the Internal Revenue Bulletin at the earliest practicable date. The sanctions announced below are alphabetized first by the names of states and second by the last names of individuals. Unless otherwise indicated, section numbers (e.g. §10.51) refer to the regulations.
Pelham Poff Jr., Richard G. Attorney Suspended by default decision in expedited proceeding under §10.82 (suspension of attorney license) Indefinite from March 22, 2011
Mesa Allen, Steven W. Attorney Suspended by default decision in expedited proceeding under §10.82 (conviction under 18 U.S.C. §371, conspiracy to defraud the United States) Indefinite from February 7, 2011
Newport Beach Agajanian, Roger J. Attorney Suspended by default decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from March 8, 2011
Los Angeles Burkenroad, David Attorney Suspended by decision in expedited proceeding under §10.82 (suspension of attorney license) Indefinite from February 17, 2011
Calabasas Geyer, Mark M. Attorney Suspended by default decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from March 22, 2011
San Francisco Martin, Craig K. Attorney Suspended by default decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from March 4, 2011
Riebesell, Harold F., See Nevada
Ft. Lauderdale Legel, Lawrence CPA Suspended by decision on appeal for violations of §10.51 (conviction under 26 U.S.C. §7203, aiding and abetting in the failure to pay income tax) January 13, 2009 — January 13, 2012
Boca Raton Rizzo, Vincent D. Enrolled Agent Reinstated to practice before the IRS, March 7, 2011
Pocatello Adamson, Dannis M. Attorney Suspended by default decision in expedited proceeding under §10.82 (conviction under 26 U.S.C. §7202, willful failure to pay over taxes) Indefinite from January 11, 2011
Lansing Clausing, Robert J. Enrolled Agent Reinstated to practice before the IRS, March 9, 2011
Iowa City Fields, Jeffrey Attorney Suspended by default decision in expedited proceeding under §10.82 (suspension of attorney license) Indefinite from March 22, 2011
Harrodsburg Pope, Lisa A. Enrolled Agent Suspended by consent for admitted violation of §10.51 (failure to file or timely file Federal individual income tax returns for tax years 2006-2008, and failure to timely file and pay taxes due on employer’s quarterly Federal tax returns for 11 quarters 2005-2007) Indefinite from March 25, 2011, but at least 18 months
Baltimore Hunt, Mark E. Attorney Suspended by decision in expedited proceeding under §10.82 (conviction under 26 U.S.C. §7213, unauthorized disclosure of returns and return information) Indefinite from April 11, 2011
Taunton Martin, Craig J. Attorney Suspended by decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from March 4, 2011
Tewksbury Paczkowski, Raymond J. Attorney Suspended by decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from March 4, 2011
Traverse City Tuttle, Wallace H. Attorney Disbarred by ALJ on summary judgment motion for violation of §10.51 (willful failure to file Federal individual income tax returns for 2007 and 2008) At least 5 years from April 9, 2011
Minneapolis Biber, Aaron F. Attorney Suspended by decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from March 4, 2011
Reno Riebesell, Harold F. Attorney Suspended by default decision in expedited proceeding under §10.82 (suspension of attorney license in Colorado) Indefinite from March 4, 2011
South Orange Hersh, Bruce D. Attorney Suspended by decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from March 4, 2011
Bronx Daniel, Cleavan Enrolled Agent Censured by consent for admitted violation of §10.22(a) (failure to exercise due diligence in the preparation of client tax returns filed with the Internal Revenue Service) July 2, 2009
Williamsville Rickard II, Michael W. Attorney Suspended by decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from March 4, 2011
Lewis Center Salisbury, Kirk G. CPA Disbarred by decision on appeal in proceeding under §10.60 for violation of §10.51 (failure to file Federal individual income tax returns for tax years 2004-2007, failure to timely file Federal individual income tax returns for tax years 2002 and 2003, and failure to timely pay Federal individual income tax return liabilities for tax years 2002 and 2003) At least 5 years from February 2, 2010
Beaverton Burroughs, Gary S. CPA Suspended by consent for admitted violation of §10.22 (failure to exercise due diligence in the determination of the validity of credits and deductions under §44 of the Internal Revenue Code) Indefinite from December 31, 2010
Royersford Kozelsky, Joseph G. CPA Disbarred by decision on appeal for violations of §10.51 (failure to timely file Federal individual income tax returns for tax years 2001-2007) At least 5 years from December 17, 2010
Knoxville Lockett, William S. Attorney Suspended by default decision in expedited proceeding under §10.82 (conviction under 26 U.S.C. §7203, willful failure to file a Federal income tax return) Indefinite from January 11, 2011
Houston Aneji, Patrick E. CPA Reinstated to practice before the IRS, February 17, 2011
Dallas Larue, Lauren C. Attorney Suspended by default decision in expedited proceeding under §10.82 (attorney disbarment) Indefinite from January 11, 2011
The Woodlands Petrillo, Donald J. Attorney Disbarred by decision on appeal for violations of §10.51 (willful failure to file, or timely file, Federal individual tax returns for 2004-2007) At least 5 years from April 22, 2011
Bulletins 2011-27 through 2011-28
2011-38 2011-28 I.R.B. 2011-28
2011-39 2011-28 I.R.B. 2011-28
2011-41 2011-28 I.R.B. 2011-28
137128-08 2011-28 I.R.B. 2011-28
9528 2011-28 I.R.B. 2011-28
118761-09 Hearing scheduled by Ann. 2011-38 2011-28 I.R.B. 2011-28