Source: http://federaltaxprocedure.blogspot.com/2017/01/irs-designates-syndications-exploiting.html
Timestamp: 2017-06-27 05:28:15
Document Index: 627291654

Matched Legal Cases: ['§ 1', '§ 6111', '§ 1', '§ 6111', '§ 301', '§ 1', '§ 6707', '§ 1', '§ 6501', '§ 6111', '§ 6707', '§ 6112', '§ 6708', '§ 6662', '§ 6662', '§ 6694', '§ 6695', '§ 6707', '§ 6707']

Federal Tax Procedure: IRS Designates Syndications Exploiting Improper Valuations for Conservation Easement Deductions (1/3/17)
The Notice also describes the consequences of designating the transactions as listed transactions:
Transactions entered into on or after January 1, 2010, that are the same as, or substantially similar to, the transaction described in section 2 of this notice are identified as “listed transactions” for purposes of § 1.6011-4(b)(2) and §§ 6111 and 6112 effective December 23, 2016. Persons entering into these transactions on or after January 1, 2010, must disclose the transactions as described in § 1.6011-4 for each taxable year in which the taxpayer participated in the transactions, provided that the period of limitations for assessment of tax has not ended on or before December 23, 2016. Material advisors, including appraisers, who make a tax statement on or after January 1, 2010, with respect to transactions entered into on or after January 1, 2010, have disclosure and list maintenance obligations under §§ 6111 and 6112. See §§ 301.6111-3, 301.6112-1. * * * * Participants required to disclose these transactions under § 1.6011-4 who fail to do so will be subject to penalties under § 6707A. Participants required to disclose these transactions under § 1.6011-4 who fail to do so may also be subject to an extended period of limitations under § 6501(c)(10). Material advisors required to disclose these transactions under § 6111 who fail to do so may be subject to the penalty under § 6707. Material advisors required to maintain lists of investors under § 6112 who fail to do so (or who fail to provide such lists when requested by the IRS) may be subject to the penalty under § 6708(a). In addition, the IRS may impose other penalties on persons involved in these transactions or substantially similar transactions, including the accuracy-related penalty under § 6662 or § 6662A, the § 6694 penalty for understatements of a taxpayer’s liability by a tax return preparer, and the § 6695A penalty for certain valuation misstatements attributable to incorrect appraisals. I posted earlier today a dramatic example of the onerous potential penalty in § 6707. See SD NY District Court Rejects Partial Payment § 6707 Penalty Refund Suit (Federal Tax Crimes Blog 1/2/17), here.