Overstated Basis Not Related to Sold Asset Is Omission of Income
OCT. 30, 2016
ECC 201652022
DOCUMENT ATTRIBUTES
- Institutional AuthorsInternal Revenue Service
- Code Sections
- Subject Area/Tax Topics
- Jurisdictions
- LanguageEnglish
- Tax Analysts Document NumberDoc 2016-24911
- Tax Analysts Electronic Citation2016 TNT 248-44
Citations: ECC 201652022
UILC: 6501.00-00
Release Date: 12/23/2016
ID: CCA_2016112115175147
From: * * *
Sent: Sun 10/30/2016 11:10 PM
To: * * *
Cc: * * *
Bcc: * * *
Subject: 6501 issue
Drew,
In regard to your question about overstated basis and section 6501(e): Congress amended section 6501(e)(1) in the Surface Transportation and Veterans Health Care Choice Improvement Act of 2015 (H.R. 3236; Pub. Law No. 114-41) to provide that an understatement of gross income by reason of an overstatement of unrecovered cost or other basis is an omission from gross income. This applies even if the overstatement of basis is not in regard to a "sold asset."
* * *
Please let me know if I may be of any further assistance.
Yours,
Elie
DOCUMENT ATTRIBUTES
- Institutional AuthorsInternal Revenue Service
- Code Sections
- Subject Area/Tax Topics
- Jurisdictions
- LanguageEnglish
- Tax Analysts Document NumberDoc 2016-24911
- Tax Analysts Electronic Citation2016 TNT 248-44