Source: http://www.law.cornell.edu/uscode/text/26/6664?qt-us_code_tabs=0
Timestamp: 2014-11-26 20:38:08
Document Index: 230795176

Matched Legal Cases: ['§ 6664', '§ 6664', '§ 6664', '§ 7721', '§ 812', '§ 1219', '§ 1409', '§ 1409', '§ 1409', '§ 1409', '§ 1409', '§ 1409', '§ 1219', '§ 1219', '§ 812', '§ 812', '§ 812']

26 U.S. Code § 6664 - Definitions and special rules | LII / Legal Information Institute
U.S. Code › Title 26 › Subtitle F › Chapter 68 › Subchapter A › Part II › § 6664 26 U.S. Code § 6664 - Definitions and special rules
Underpayment For purposes of this part, the term “underpayment” means the amount by which any tax imposed by this title exceeds the excess of—
For purposes of paragraph (2), the term “rebate” means so much of an abatement, credit, refund, or other repayment, as was made on the ground that the tax imposed was less than the excess of the amount specified in paragraph (1) over the rebates previously made.
Penalties applicable only where return filed The penalties provided in this part shall apply only in cases where a return of tax is filed (other than a return prepared by the Secretary under the authority of section 6020
Reasonable cause exception for underpayments (1)
In general No penalty shall be imposed under section 6662 or 6663 with respect to any portion of an underpayment if it is shown that there was a reasonable cause for such portion and that the taxpayer acted in good faith with respect to such portion.
Exception Paragraph (1) shall not apply to any portion of an underpayment which is attributable to one or more transactions described in section 6662
Special rule for certain valuation overstatements In the case of any underpayment attributable to a substantial or gross valuation overstatement under chapter 1 with respect to charitable deduction property, paragraph (1) shall not apply. The preceding sentence shall not apply to a substantial valuation overstatement under chapter 1 if—
Charitable deduction property The term “charitable deduction property” means any property contributed by the taxpayer in a contribution for which a deduction was claimed under section 170. For purposes of paragraph (3), such term shall not include any securities for which (as of the date of the contribution) market quotations are readily available on an established securities market.
Qualified appraisal The term “qualified appraisal” has the meaning given such term by section 170
(f)(11)(E)(i).
Qualified appraiser The term “qualified appraiser” has the meaning given such term by section 170
(f)(11)(E)(ii).
Reasonable cause exception for reportable transaction understatements (1)
In general No penalty shall be imposed under section 6662A with respect to any portion of a reportable transaction understatement if it is shown that there was a reasonable cause for such portion and that the taxpayer acted in good faith with respect to such portion.
Exception Paragraph (1) shall not apply to any portion of a reportable transaction understatement which is attributable to one or more transactions described in section 6662
Special rules Paragraph (1) shall not apply to any reportable transaction understatement unless—
A taxpayer failing to adequately disclose in accordance with section 6011 shall be treated as meeting the requirements of subparagraph (A) if the penalty for such failure was rescinded under section 6707A
Rules relating to reasonable belief For purposes of paragraph (3)(C)—
In general A taxpayer shall be treated as having a reasonable belief with respect to the tax treatment of an item only if such belief—
relates solely to the taxpayer’s chances of success on the merits of such treatment and does not take into account the possibility that a return will not be audited, such treatment will not be raised on audit, or such treatment will be resolved through settlement if it is raised.
Certain opinions may not be relied upon (i)
An opinion of a tax advisor may not be relied upon to establish the reasonable belief of a taxpayer if—
A tax advisor is described in this clause if the tax advisor—
is a material advisor (within the meaning of section 6111
(b)(1)) and participates in the organization, management, promotion, or sale of the transaction or is related (within the meaning of section 267
(b)(1)) to any person who so participates,
For purposes of clause (i), an opinion is disqualified if the opinion—
(Added Pub. L. 101–239, title VII, § 7721(a),Dec. 19, 1989, 103 Stat. 2398; amended Pub. L. 108–357, title VIII, § 812(c),Oct. 22, 2004, 118 Stat. 1579; Pub. L. 109–280, title XII, § 1219(a)(3), (c)(2),Aug. 17, 2006, 120 Stat. 1084, 1085; Pub. L. 111–152, title I, § 1409(c),Mar. 30, 2010, 124 Stat. 1069.)
Section 1409(c) ofPub. L. 111–152, which directed the amendment of section 6664 without specifying the act to be amended, was executed to this section, which is section 6664 of the Internal Revenue Code of 1986, to reflect the probable intent of Congress. See 2010 Amendment notes below.
Section 1219(a)(3), (c)(2) ofPub. L. 109–280, which directed the amendment of section 6664 without specifying the act to be amended, was executed to this section, which is section 6664 of the Internal Revenue Code of 1986, to reflect the probable intent of Congress. See 2006 Amendment notes below.
2010—Subsec. (c)(2) to (4). Pub. L. 111–152, § 1409(c)(1)(A), (C), added par. (2) and redesignated former pars. (2) and (3) as (3) and (4), respectively. See Codification note above.
Subsec. (c)(4)(A). Pub. L. 111–152, § 1409(c)(1)(B), substituted “paragraph (3)” for “paragraph (2)”. See Codification note above.
Subsec. (d)(2), (3). Pub. L. 111–152, § 1409(c)(2)(A), (C), added par. (2) and redesignated former par. (2) as (3). Former par. (3) redesignated (4). See Codification note above.
Subsec. (d)(4). Pub. L. 111–152, § 1409(c)(2)(B), substituted “paragraph (3)(C)” for “paragraph (2)(C)” in introductory provisions. See Codification note above.
Pub. L. 111–152, § 1409(c)(2)(A), redesignated par. (3) as (4). See Codification note above.
2006—Subsec. (c)(2). Pub. L. 109–280, § 1219(a)(3), substituted “paragraph (1) shall not apply. The preceding sentence shall not apply to a substantial valuation overstatement under chapter 1 if—” for “paragraph (1) shall not apply unless—” in introductory provisions. See Codification note above.
Subsec. (c)(3)(B), (C). Pub. L. 109–280, § 1219(c)(2), amended subpars. (B) and (C) generally. Prior to amendment, subpars. (B) and (C) read as follows:
“(B) Qualified appraiser.—The term ‘qualified appraiser’ means any appraiser meeting the requirements of the regulations prescribed under section 170
“(C) Qualified appraisal.—The term ‘qualified appraisal’ means any appraisal meeting the requirements of the regulations prescribed under section 170
2004—Subsec. (c). Pub. L. 108–357, § 812(c)(2)(B), inserted “for underpayments” after “exception” in heading.
Subsec. (c)(1). Pub. L. 108–357, § 812(c)(2)(A), substituted “section 6662 or 6663” for “this part”.
Subsec. (d). Pub. L. 108–357, § 812(c)(1), added subsec. (d).
Amendment by section 1409(c)(1) ofPub. L. 111–152applicable to underpayments attributable to transactions entered into after Mar. 30, 2010, see section 1409(e)(2) ofPub. L. 111–152, set out as a note under section 6662 of this title.
Amendment by section 1409(c)(2) ofPub. L. 111–152applicable to understatements attributable to transactions entered into after Mar. 30, 2010, see section 1409(e)(3) ofPub. L. 111–152, set out as a note under section 6662 of this title.
Amendment by section 1219(a)(3) ofPub. L. 109–280applicable to returns filed after Aug. 17, 2006, with special rule for certain easements, see section 1219(e)(1), (3), ofPub. L. 109–280, set out as a note under section 170 of this title.
Amendment by section 1219(c)(2) ofPub. L. 109–280applicable to appraisals prepared with respect to returns or submissions filed after Aug. 17, 2006, see section 1219(e)(2) ofPub. L. 109–280, set out as a note under section 170 of this title.
Amendment by Pub. L. 108–357applicable to taxable years ending after Oct. 22, 2004, with special rule for application of subsec. (d)(3)(B) [now (d)(4)(B)] of this section, see section 812(f) ofPub. L. 108–357, as amended, set out as a note under section 6662 of this title.