26 USC 6232 - Assessment, collection, and payment

U.S Code last checked for updates: May 18, 2024

§ 6232.

Assessment, collection, and payment

(a)

In general

Any imputed underpayment shall be assessed and collected in the same manner as if it were a tax imposed for the adjustment year by subtitle A, except that—

(1)

subchapter B of chapter 63 shall not apply, and

(2)

in the case of an administrative adjustment request to which section 6227(b)(1) applies, the underpayment shall be paid and may be assessed when the request is filed.

(b)

Limitation on assessment

Except as otherwise provided in this subtitle (other than subchapter B of this chapter), no assessment of an imputed underpayment may be made (and no levy or proceeding in any court for the collection of any amount resulting from such adjustment may be made, begun or prosecuted) before—

(1)

the close of the 90th day after the day on which a notice of a final partnership adjustment was mailed, and

(2)

if a petition is filed under section 6234 with respect to such notice, the decision of the court has become final.

The preceding sentence shall not apply in the case of a specified similar amount (as defined in subsection (f)(2)).

(c)

Premature action may be enjoined

(d)

Exceptions to restrictions on adjustments

(1)

Adjustments arising out of math or clerical errors

(A)

In general

(B)

Special rule

(2)

Partnership may waive restrictions

(e)

Limit where no proceeding begun

(f)

Failure to pay imputed underpayment

(1)

In general

If any amount of any imputed underpayment to which section 6225 applies or any specified similar amount (or any interest or penalties with respect to any such amount) has not been paid by the date which is 10 days after the date on which the Secretary provides notice and demand for such payment—

(A)

section 6621(a)(2)(B) shall be applied by substituting “5 percentage points” for “3 percentage points” with respect to such amount, and

(B)

the Secretary may assess upon each partner of the partnership (determined as of the close of the adjustment year or, if the partnership has ceased to exist as of such time, the former partners of the partnership as determined for purposes of section 6241(7)) a tax equal to such partner’s proportionate share of such amount (including any such interest or penalties, determined after application of subparagraph (A)).

(2)

Specified similar amount

For purposes of this subsection, the term “specified similar amount” means—

(A)

the amount described in subclause (II) of section 6226(b)(4)(A)(ii) (including any failure to satisfy the requirement of subclause (I) of such section which is treated as a failure to pay such amount under section 6651(i)), and

(B)

any amount assessed under paragraph (1)(B) upon a partner which is a partnership.

(3)

Proportionate share

(4)

Coordination with partnership liability

(5)

S corporations

(6)

Rules related to assessment and collection

(A)

Deficiency procedures not applicable

(B)

Limitation on assessment

(Added Pub. L. 114–74, title XI, § 1101(c)(1), Nov. 2, 2015, 129 Stat. 632; amended Pub. L. 115–141, div. U, title II, §§ 205(a), 206(g), (p)(4)–(6), Mar. 23, 2018, 132 Stat. 1177, 1179, 1182.)

cite as: 26 USC 6232