Reminder:

If a partnership was assessed a penalty in excess of the lower maximum penalty, and has shown its average gross receipts for the previous three years was $5,000,000 or less, the excess penalty is abated with TC 241 using penalty reason code (PRC) 045. Notice Review does not make these adjustments.

Follow general review procedures then research BRTVU and BMFOLT history to ensure the number of partners is correct. If the number was increased in error during processing and the taxpayer does not owe the failure to file electronically penalty (fewer than 100 partners) remove the penalty using REQ54/ADJ54 with the following information:

Use blocking series 17

TC 290 .00

Input penalty reason code (PRC) 045 in the fourth position in the reason code field

Reverse the full amount of the penalty using PRN 688, with the penalty amount as a negative (trailing minus)