Internal Revenue Code:Rule 73. Examination by Transferees

From TaxAlmanac

Location in Internal Revenue Code

     TITLE 26 - INTERNAL REVENUE CODE
      TITLE 26 - APPENDIX
       TITLE VII. - DISCOVERY
     

Statute

    Rule 73. Examination by Transferees
 
      (a) General: Upon application to the Court and subject to these
    Rules, a transferee of property of a taxpayer shall be entitled to
    examine before trial the books, papers, documents, correspondence,
    and other evidence of the taxpayer or of a preceding transferee of
    the taxpayer's property, but only if the transferee making the
    application is a petitioner seeking redetermination of such
    transferee's liability in respect of the taxpayer's tax liability
    (including interest, additional amounts, and additions provided by
    law).  Such books, papers, documents, correspondence, and other
    evidence may be made available to the extent that the same shall be
    within the United States, will not result in undue hardship to the
    taxpayer or preceding transferee, and in the opinion of the Court
    is necessary in order to enable the transferee to ascertain the
    liability of the taxpayer or preceding transferee.
      (b) Procedure: A petitioner desiring an examination permitted
    under paragraph (a) shall file an application with the Court,
    showing that such petitioner is entitled to such an examination,
    describing the documents and other materials sought to be examined,
    giving the names and addresses of the persons to produce the same,
    and stating a reasonable time and place where the examination is to
    be made.  If the Court shall determine that the applicable
    requirements are satisfied, then it shall issue a subpoena, signed
    by a Judge, directed to the appropriate person and ordering the
    production at a designated time and place of the documents and
    other materials involved.  If the person to whom the subpoena is
    directed shall object thereto or to the production involved, then
    such person shall file the objections and the reasons therefor in
    writing with the Court, and serve a copy thereof upon the
    applicant, within 10 days after service of the subpoena or on or
    before such earlier time as may be specified in the subpoena for
    compliance.  To obtain a ruling on such objections, the applicant
    for the subpoena shall file an appropriate motion with the Court.
    In all respects not inconsistent with the provisions of this Rule,
    the provisions of Rule 72(b) shall apply where appropriate.
      (c) Scope of Examination: The scope of the examination authorized
    under this Rule shall be as broad as is authorized under Rule
    72(a), including, for example, the copying of such documents and
    materials.