SECTION 14. PROCEDURE &

ADMINISTRATION ISSUES

.01 Bankruptcy and Collection

Statute or Regulation Act Postponed

1. Treas. Reg. § 301.6036–1(a)(2) and (3)

2. Sec. 6320(a)(3)(B) and (c) and Treas. Reg. § 301.6320–1(b), (c) and (f)

A court-appointed receiver or fiduciary in a non-bankruptcy receivership, a fiduciary in aid of foreclosure who takes possession of substantially all of the debtor’s assets, or an assignee for benefit of creditors, must give written notice within ten days of his appointment to the IRS as to where the debtor will file his tax return.

A taxpayer has 30 days after receiving a notice of a lien to request a Collection Due Process (CDP) administrative hearing. After a determination at the CDP hearing, the taxpayer may appeal this determination within 30 days to the United States Tax Court or a United States district court.

2007–34 I.R.B. 406 August 20, 2007

Statute or Regulation Act Postponed

3. Sec. 6330(a)(3)(B) and (d)(1) and Treas. Reg. § 301.6330–1(b), (c) and (f)

4. Sec. 6331(k)(1) and Treas. Reg. § 301.7122–1(g)(2)

5. Sec. 6331(k)(2) and Treas. Reg. § 301.6331–4(a)(1)

6. Rev. Proc. 2005–34, Sec. 4.01

7. Sec. 7122(d)(2) and Treas. Reg. § 301.7122–1(f)(5)(i)

.02 Information Returns

The taxpayer must request a Collections Due Process (CDP) administrative hearing within 30 days after the IRS sends notice of a proposed levy. After a determination at the CDP hearing, the taxpayer may appeal this determination within 30 days to the United States Tax Court or a United States district court.

If a taxpayer submits a good-faith revision of a rejected offer in compromise within 30 days after the rejection, the Service will not levy to collect the liability before deciding whether to accept the revised offer.

If, within 30 days following the rejection or termination of an installment agreement, the taxpayer files an appeal with the IRS Office of Appeals, no levy may be made while the rejection or termination is being considered by Appeals.

If the Service determines that a taxpayer is liable for the trust fund recovery penalty under section 6672, the Service will provide the taxpayer an opportunity to dispute the proposed assessment by appealing the proposed assessment within 60 days of the date on the notice (75 days if the notice is addressed to the taxpayer outside of the United States).

A taxpayer must request administrative review of a rejected offer in compromise within 30 days after the date on the letter of rejection.

Statute or Regulation Act Postponed

1. Sec. 6050I Any person engaged in a trade or business receiving more than $10,000 cash in one transaction (or 2 or more related transactions) must file an information return, Form 8300, Report of Cash Payments Over $10,000 Received in a Trade or Business, by the 15th day after the date the cash was received. Additionally, a statement must be provided to the person with respect to whom the information is required to be furnished by Jan. 31st of the year following.

2. Sec. 6050K and Treas. Reg. 1.6050K–1(f)(2)

A partnership notified of an exchange after the partnership has filed its Form 1065 for the taxable year with respect to which the exchange should have been reported shall file its Form 8308 with the service center where its Form 1065 was filed on or before the 30 ^th day after the partnership is notified of the exchange.

3. Sec. 6050L Returns relating to certain dispositions of donated property, Forms 8282, Donee Information Return, must be filed within 125 days of the disposition.

.03 Miscellaneous

Statute or Regulation Act Postponed

1. Sec. 1314(b) A taxpayer may file a claim for refund or credit of tax based upon the mitigation provisions of sections 1311 through 1314 if, as of the date a determination (as defined in section 1313(a)) is made, one year remains on the period for filing a claim for refund.

2. Sec. 6015 A requesting spouse must request relief under section 6015 within 2 years of the first collection activity against the requesting spouse.

3. Sec. 6015(e) A requesting spouse may petition the Tax Court to determine the appropriate relief under this section if such petition is filed not later than the close of the 90 ^th day after the Service mails, by certified or registered mail, notice of the Service’s final determination of relief available to the individual.

August 20, 2007 407 2007–34 I.R.B.

Statute or Regulation Act Postponed

4. Sec. 6411 Taxpayers applying for a tentative carryback adjustment of the tax for the prior taxable year must file Form 1139, Corporation Application for Tentative Refund, (for corporations) or Form 1045, Application for Tentative Refund, (for entities other than corporations) within 12 months after the end of such taxable year that generates such net operating loss, net capital loss, or unused business credit from which the carryback results.

5. Sec. 6656(e)(2) A taxpayer who is required to deposit taxes and fails to do so is subject to a penalty under section 6656. Under section 6656(e)(2), the taxpayer may, within 90 days of the date of the penalty notice, designate to which deposit period within a specified tax period the deposits should be applied.