SECTION 4. EXHAUSTION OF

ADMINISTRATIVE REMEDIES

.01 Actions Required to be Taken . Section 7479(b)(2) provides that the Tax Court shall not issue a declaratory judgment or decree in any section 7479 proceeding unless the applicant has exhausted all available administrative remedies within the Service. See also Tax Court Rule 210(c)(4). The reasonable steps required to be taken by the applicant, whether the petition is based on the Service’s determination or the Service’s failure to make a determination, are listed below. All of these steps need not be completed by the same person. The actions taken (and notices received) by the executor, as well as any actions taken (and notices received) by others, will be attributed to, and thus deemed to have been performed (or received) by, the applicant.

(1) The executor must timely file (including extensions of time to file granted by the Service) a Form 706, United States Estate (and Generation-Skipping Trans- fer) Tax Return, on behalf of the estate and attach the election to extend the time to pay pursuant to section 6166(a) (and, if applicable, an election under section 6166(b)(7), (8) or (10)). In the case of a deficiency assessed with respect to an estate for which the executor did not make a section 6166 election on the Form 706, if the executor wishes to pay the deficiency in installments, the executor must elect to extend the time to pay the deficiency pursuant to section 6166(h) by filing a notice of election with the Service within 60 calendar days after the date that notice and demand for payment of the deficiency is made.

(a) If the election is tentatively denied in whole or in part, or if the Service proposes under section 6166(g) to terminate an election, the Service will issue a preliminary determination letter to the applicant, advising the applicant of the applicant’s right to appeal the determination by requesting a conference with the Service’s Appeals Office (an “Appeals conference”).

(b) Similarly, if during the Service’s examination of the Form 706, the Service concludes that an election should have been denied, the Service will issue a preliminary determination letter to the applicant, advising the applicant of the appli

(5) any reference to a “preliminary determination letter” refers to a Letter 950 issued by the Service (also known as a 30-day letter or notice of preliminary determination) or a letter issued by the Service Center which is captioned “preliminary determination letter” and which contains a notice of Appeal rights in language similar to that in a Letter 950; and

(6) any reference to a “final determination letter” refers to a Letter 3570, No- tice of Determination As Provided in IRC § 7479 That Extension of Time for Payment Under IRC § 6166 Has Ceased To Apply, or Letter 3571, Notice of Determination As Provided in IRC § 7479 That Election Under IRC § 6166 Has Been Denied, issued by the Service (each of which is also known as a 90-day letter or notice of final determination).