amended return

TEI submits that although the 45-day rule might be defensible in respect of original taz returns (since any processing burden would be magnified by the large number of returns filed within a short period of time), the proposals could work great hardships in respect of amended returns and claims for refund.

Even if all of the prior years were within the SOL, X would have to file amended returns for all of the affected years; each owner of X would also have to file an amended return to recover the lost depreciation expense.

At the same time, however, it is also a trap for the unwary inasmuch as filing the amended return is an admission that the original return contained a false position.

Taxpayers who included these tax preference items when computing their 1992 AMT also should file amended returns.

6664-2(c)(3) provides that a qualified amended return is an amended return filed after the return due date (including extensions) and before the taxpayer is first contacted by the IRS concerning an examination of the return.

LARZ tax credits that can be claimed on amended returns are general hiring, construction hiring, and sales or use tax.

Reliance on the ability to use an amended return is not advised.

Absent further IRS clarification of its position on amended returns filed in such situations, many practitioners are uncomfortable in advising clients that an amended return accomplishes anything, other than possibly reducing the likelihood that the IRS will seek penalties.

The Institute pressed for the development of a reasonable procedure whereby CEP taxpayers could apprise he IRS of such items and avail themselves of the "qualified amended return" provisions of the section 6661 (now, section 6662) regulations without having to prepare and file a formal amended return.

Announcement 90-144A (issued December 14, 1990) provides an amended return "window" in respect of taxpayers filing their first post-December 7, 1990, return before December 18, 1990; those taxpayers may secure the benefit of Rev.

179 election with the 1995 and 1996 returns (which were filed timely) and the time for filing amended returns had passed.

It is fundamentally inconsistent with basic rights granted taxpayers by Congress in establishing the statue of limitations for filing amended returns (and refund claims).

4) claimed refunds by filing amended returns reducing AGI by the cost of outside investment management fees.

Retroactively requiring the use of monthly debt levels will force taxpayers to recompute the amount of 1987 and 1988 interest expense subject to the post-1986 allocation rules, in some cases necessitating the filing of amended returns.

For open years, the taxpayer may typically file amended returns to correct these types of errors.