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Sec. 6751. Procedural Requirements

I.R.C. § 6751(a) Computation Of Penalty Included In Notice
The Secretary shall include with each notice of penalty under this title information with respect to the name of the penalty, the section of this title under which the penalty is imposed, and a computation of the penalty.
I.R.C. § 6751(b) Approval Of Assessment
I.R.C. § 6751(b)(1) In General
No penalty under this title shall be assessed unless the initial determination of such assessment is personally approved (in writing) by the immediate supervisor of the individual making such determination or such higher level official as the Secretary may designate.
I.R.C. § 6751(b)(2) Exceptions
Paragraph (1) shall not apply to--
I.R.C. § 6751(b)(2)(A)
any addition to tax under section 6651, 6654, 6655, or 6662 (but only with respect to an addition to tax by reason of paragraph (9) or (10) of subsection (b) thereof); or
I.R.C. § 6751(b)(2)(B)
any other penalty automatically calculated through electronic means.
I.R.C. § 6751(c) Penalties
For purposes of this section, the term “penalty” includes any addition to tax or any additional amount.
(Added Pub. L. 105-206, title III, Sec. 3306(a), July 22, 1998, 112 Stat 685; Amended by Pub. L. 106-554, Sec. 302, Dec. 21, 2000, 114 Stat. 2763; Pub. L. 116-260, Div. EE, title II, Sec. 212(b)(3), Dec. 27, 2020, 134 Stat. 1182;Pub. L. 117-328, Div. T, title VI, Sec. 605(a)(2)(D), Dec. 29, 2022.)
Background Notes
AMENDMENTS
2022 —Subsec. (b)(2)(A). Pub. L. 117-328, Sec. 605(a)(2)(D), amended subpar. (A) by substituting “paragraph (9) or (10) of subsection (b)” for “subsection (b)(9)”.
2020 — Subsec. (b)(2)(A). Pub. L. 116-260, Div. EE, Sec. 212(b)(3), amended subpar. (A) by substituting “6655, or 6662 (but only with respect to an addition to tax by reason of subsection (b)(9) thereof)” for “or 6655.”
EFFECTIVE DATE OF 2022 AMENDMENT
Pub. L. 117-328, Sec. 605(a)(2)(D), applicable to contributions made after the date of enactment of this Act [enacted: Dec. 29, 2022].
EFFECTIVE DATE OF 2020 AMENDMENT
Amendment by Pub. L. 116-260, Div. EE, Sec. 212(b)(3), effective for taxable years beginning after December 31, 2020.
Pub. L. 105-206, Sec. 3308(c), as amended by Pub. L. 106-554, Sec. 302(b), provided that sec. 6751 is applicable to notices issued, and penalties assessed, after June 30, 2001. In the case of any notice issued after June 30, 2001, and before July 1, 2003, to which section 6631 of the Internal Revenue Code of 1986 applies, the requirements of section 6631 of such Code shall be treated as met if such notice contains a telephone number at which the taxpayer can request a copy of the taxpayer's payment history relating to interest amounts included in such notice.
EXTENSION OF STATUTE OF LIMITATIONS FOR LISTED TRANSACTIONS.
Pub. L. 117-328, Div. T, Sec. 605(a)(3) provided the following:
“(3) EXTENSION OF STATUTE OF LIMITATIONS FOR LISTED TRANSACTIONS.—TRANSACTIONS.—Any contribution with respect to which any deduction was disallowed by reason of section 170(h)(7) of the Internal Revenue Code of 1986 (as added by this subsection) shall be treated for purposes of sections 6501(c)(10) and 6235(c)(6) of such Code as a transaction specifically identified by the Secretary as a tax avoidance transaction for purposes of section 6011 of such Code.”
NO INFERENCE
Pub. L. 117-328, Div. T, Sec. 605(c)(2) provided the following:
“NO INFERENCE.—No inference is intended as to the appropriate treatment of contributions made in taxable years ending on or before the date specified in paragraph (1), or as to any contribution for which a deduction is not disallowed by reason of section 170(h)(7) of the Internal Revenue Code of 1986, as added by this section.”
SAFE HARBOR
Pub. L. 117-328, Div. T, Sec. 605(d) further provided:
“(d) SAFE HARBORS AND OPPORTUNITY FOR DONOR TO CORRECT CERTAIN DEED ERRORS.—
“(1) IN GENERAL.—The Secretary of the Treasury (or such Secretary's delegate) shall, within 120 days after the date of the enactment of this Act, publish safe harbor deed language for extinguishment clauses and boundary line adjustments.
“(2) OPPORTUNITY TO CORRECT.— (A) IN GENERAL.—During the 90-day period beginning on the date of publication of the safe harbor deed language under paragraph (1), a donor may amend an easement deed to substitute the safe harbor language for the corresponding language in the original deed if— (i) the amended deed is signed by the donor and donee and recorded within such 90-day period, and (ii) such amendment is treated as effective as of the date of the recording of the original easement deed.”
Sec. 605(d)(2)(i)-(iv) ofPub. L. 117-328, Div. T, provided additional exceptions:
“(B) EXCEPTIONS.—Subparagraph (A) shall not apply to an easement deed relating to any contribution—
“ (i) which— (I) is part of a reportable transaction (as defined in section 6707A(c)(1) of the Internal Revenue Code of 1986), or (II) is described in Internal Revenue Service Notice 2017–10,
“(ii) which by reason of section 170(h)(7) of such Code, as added by this section, is not treated as a qualified conservation contribution,
“ (iii) if a deduction for such contribution under section 170 of such Code has been disallowed by the Secretary of the Treasury (or such Secretary's delegate), and the donor is contesting such disallowance in a case which is docketed in a Federal court on a date before the date the amended deed is recorded by the donor, or (iv) if a claimed deduction for such contribution under section 170 of such Code resulted in an underpayment to which a penalty under section 6662 or 6663 of such Code applies and—
“(I) such penalty has been finally determined administratively, or
“ (II) if such penalty is challenged in court, the judicial proceeding with respect to such penalty has been concluded by a decision or judgment which has become final.”