Page:United States Statutes at Large Volume 96 Part 1.djvu/694

 96 STAT. 652

PUBLIC LAW 97-248—SEPT. 3, 1982 "(B) any restriction under this subchapter on action by the Secretary. "(2) FORM.—Any waiver under paragraph (1) shall be made by a signed notice in writing filed with the Secretary, "(c) SETTLEMENT AGREEMENT.—In the absence of a showing of

fraud, malfeasance, or misrepresentation of fact— "(1) BINDS ALL PARTIES.—A settlement agreement between the

Secretary and 1 or more partners in a partnership with respect to the determination of partnership items for any partnership taxable year shall (except as otherwise provided in such agreement) be binding on all parties to such agreement with respect to the determination of partnership items for such partnership taxable year. An indirect partner is bound by any such agreement entered into by the pass-thru partner unless the indirect partner has been identified as provided in section 6223(c)(3). "(2) OTHER PARTNERS HAVE RIGHT TO ENTER INTO CONSISTENT

AGREEMENTS.—If the Secretary enters into a settlement agreement with any partner with respect to partnership items for any partnership taxable year, the Secretary shall offer to any other partner who so requests settlement terms for the partnership taxable year which are consistent with those contained in such settlement agreement. Except in the case of an election under paragraph (2) or (3) of section 6223(e) to have a settlement agreement described in this paragraph apply, this paragraph shall apply with respect to a settlement agreement entered into with a partner before notice of a final partnership administrative adjustment is mailed to the tax matters partner only if such other partner makes the request before the expiration of 150 days after the day on which such notice is mailed to the tax matters partner. "(3) TAX MATTERS PARTNERS.—

PARTNER

MAY BIND

CERTAIN

OTHER

"(A) IN GENERAL.—A partner who is not a notice partner (and not a member of a notice group described in subsection (b)(2) of section 6223) shall be bound by any settlement agreement— "(i) which is entered into by the tax matters partner, and "(ii) in which the tax matters partner expressly states that such agreement shall bind the other partners. "(B) EXCEPTION.—Subparagraph (A) shall not apply to any partner who (within the time prescribed by the Secretary) files a statement with the Secretary providing that the tax matters partner shall not have the authority to enter into a settlement agreement on behalf of such partner. 26 USC 6225.

"SEC. 6225. ASSESSMENTS MADE ONLY AFTER PARTNERSHIP LEVEL PROCEEDINGS ARE COMPLETED. "(a) RESTRICTION ON ASSESSMENT AND COLLECTION.—Except as

otherwise provided in this subchapter, no assessment of a deficiency attributable to any partnership item may be made (and no levy or proceeding in any court for the collection of any such deficiency may be made, begun, or prosecuted) before—

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