Page:United States Statutes at Large Volume 96 Part 1.djvu/672

 96 STAT. 630

PUBLIC LAW 97-248—SEPT. 3, 1982 "(2) PROCEEDING TO Q U A S H. —

"(A) IN GENERAL.—Notwithstanding any other law or rule of law, any person to whom a formal document request is mailed shall have the right to begin a proceeding to quash such request not later than the 90th day after the day such request was mailed. In any such proceeding, the Secretary may seek to compel compliance with such request. "(B) JURISDICTION.—The United States district court for the district in which the person (to whom the formal docum e n t request is mailed) resides or is found shall have jurisdiction to h e a r any proceeding brought under subparagraph (A). An order denying the petition shall be deemed a final order which may be appealed. "(C) SUSPENSION OF 90-DAY PERIOD.—The r u n n i n g of the

90-day period referred to in subsection (a) shall be suspended during any period during which a jproceeding brought under subparagraph (A) is pending. "(d)

DEFINITIONS

A N D SPECIAL

RULES.—For

purposes

of

this

section— "(1)

FOREIGN-BASED

DOCUMENTATION.—The

term

'foreign-

based d o c u m e n t a t i o n ' means any documentation which is outside the United States and which may be relevant or m a t e r i a l to the tax t r e a t m e n t of the examined item. "(2) DOCUMENTATION.—The term 'documentation' includes books and records. "(3) FOREIGN-CONNECTED.—An item shall be treated as foreign-connected if— "(A) such item is directly or indirectly from a source outside the United States, or "(B) such item (in whole or in part)— "(i) purports to arise outside the United States, or "(ii) is otherwise dependent on t r a n s a c t i o n s occurring outside the United States. "(4) AUTHORITY TO EXTEND 90-DAY PERIOD.—The Secretary, and

any court having jurisdiction over a proceeding under subsection (c)(2), may extend the 90-day period referred to in subsection (a). "(e) SUSPENSION OF STATUTE OF LIMITATIONS.—If any person t a k e s

any action as provided in subsection (c)(2), the r u n n i n g of any period of limitations under section 6501 (relating to the assessment and collection of tax) or under section 6531 (relating to criminal prosecutions) with respect to such person shall be suspended for the period during which the proceeding under such subsection, and appeals therein, a r e pending." (b) CLERICAL AMENDMENT. — The t a b l e of subpart s for part III of

subchapter N of chapter 1 is amended by adding a t the end thereof the following new item: "Subpart

26 USC 982 note.

L Admissibility countries."

of

documentation

maintained

in

foreign

(c) EFFECTIVE D A T E. — The amendments made by this section shall apply with respect to formal document requests (as defined in section 982(c)(1) of the I n t e r n a l Revenue Code of 1954, as added by this section) mailed after the date of the e n a c t m e n t of this Act.

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