En Banc 9th Circuit Affirms Tax Court on When Partnership Return Is Deemed Filed.

On en banc review, however, the full 9th Circuit disagreed with the earlier panel decision and agreed with the Tax Court that the partnership return was never "filed." The 9th Circuit noted that Supreme Court precedent informs that "limitations statutes barring the collection of taxes otherwise due and unpaid are strictly construed in favor of the Government", Badaracco v. Comm'r, 464 U.S. 386, 392 (1984), and therefore that there must be "meticulous compliance by the taxpayer with all named conditions in order to secure the benefit of the limitation." In the May 2022 Month-in-Brief, we discussed the 9th Circuit panel decision in Seaview Trading, LLC, which held that a partnership had effectively filed a delinquent tax return when it provided a copy of the return to an IRS official at his or her instruction. [Extracted from the article]