--- kind: "section" citation: "27 C.F.R. § 70.29" title: "27" number: "70.29" heading: "Suspension of statutes of limitations." url: "https://uscodex.org/cfr/27/70.29" --- # §70.29. Suspension of statutes of limitations. - (a) **Suspension while a proceeding under 26 U.S.C. 7609(b) is pending.** Under [26 U.S.C. 7609(e)(1)](/usc/26/7609.md?p=e-1), the statutes of limitations of 26 U.S.C. [6501](/usc/26/6501.md) and [6531](/usc/26/6531.md) are suspended if a notified person with respect to whose liability a summons is issued, or the notified person's agent, nominee, or other person acting under the direction or control of the notified person, takes any action as provided in [26 U.S.C. 7609(b)](/usc/26/7609.md?p=b). - (1) **Agent, nominee, etc.** A person is a notified person's agent, nominee, or other person acting under the direction or control of a notified person for purposes of [26 U.S.C. 7609(e)](/usc/26/7609.md?p=e) if the person with respect to whose liability the summons is issued has the ability in fact or at law to cause the agent, etc., to take the actions permitted under [26 U.S.C. 7609(b)](/usc/26/7609.md?p=b). Thus, in the case of a corporation, direction or control by the notified person may exist even though less than 50 percent of the voting power of the corporation is held by the notified person. - (2) **Period during which a proceeding, etc., is pending.** Under [26 U.S.C. 7609(e)](/usc/26/7609.md?p=e), the statute of limitations shall be suspended for the period during which a proceeding and any appeals regarding the enforcement of such summons is pending. This period begins on the date the petition to quash the summons is filed in district court. The period continues until all appeals are disposed of, or until the expiration of the period in which an appeal may be taken or a request for a rehearing may be made. Full compliance, partial compliance, and noncompliance have no effect on the suspension provisions. The periods of limitations which are suspended under [26 U.S.C. 7609(e)](/usc/26/7609.md?p=e) are those which apply to the taxable periods to which the summons relates. - (3) **Taking of action as provided in 26 U.S.C. 7609(b).** [Title 26](/cfr/26.md) U.S.C. 7609(b) allows intervention by a notified person as a matter of right upon compliance with the Federal Rules of Civil Procedure. The phrase “takes any action as provided in [subsection (b)](#b)”, found in [26 U.S.C. 7609(e)](/usc/26/7609.md?p=e), includes any intervention whether or not [26 U.S.C. 7609(b)](/usc/26/7609.md?p=b) is specifically mentioned in the order of the court allowing intervention. The phrase also includes the fulfilling of only part of the requirements of [26 U.S.C. 7609(b)(2)](/usc/26/7609.md?p=b-2), relating to the right of a person to institute a proceeding to quash. Thus, for instance, if a notified person notifies a person who has been summoned by sending a copy of the petition by registered or certified mail but does not mail a copy of that notice to the appropriate person and office under [26 U.S.C. 7609(b)(2)(B)](/usc/26/7609.md?p=b-2-B), the notified person has taken an action under [26 U.S.C. 7609(e)](/usc/26/7609.md?p=e). - (b) **Suspension after 6 months of service of summons.** In the absence of the resolution of the third-party recordkeeper's response to the summons described in [26 U.S.C. 7609(c)](/usc/26/7609.md?p=c) or the summoned party's response to a summons described in [26 U.S.C. 7609(f)](/usc/26/7609.md?p=f) the running of any period of limitations under [26 U.S.C. 6501](/usc/26/6501.md) or under [26 U.S.C. 6531](/usc/26/6531.md) with respect to any person with respect to whose liability the summons is issued (other than a person taking action as provided in [26 U.S.C. 7609(b)](/usc/26/7609.md?p=b)) shall be suspended for the period: - (1) Beginning on the date which is 6 months after the service of such summons, and - (2) **Ending with the final resolution of such response.** ## Notes ### Amendments [T.D. ATF-301, 55 FR 47610, Nov. 14, 1990] ### Authority Authority: 5 U.S.C. 301 and 552; 26 U.S.C. 4181, 4182, 5123, 5203, 5207, 5275, 5367, 5415, 5504, 5555, 5684(a), 5741, 5761(b), 5802, 6020, 6021, 6064, 6102, 6109, 6155, 6159, 6201, 6203, 6204, 6301, 6303, 6311, 6313, 6314, 6321, 6323, 6325, 6326, 6331-6343, 6401-6404, 6407, 6416, 6423, 6501-6503, 6511, 6513, 6514, 6532, 6601, 6602, 6611, 6621, 6622, 6651, 6653, 6656-6658, 6665, 6671, 6672, 6701, 6723, 6801, 6862, 6863, 6901, 7011, 7101, 7102, 7121, 7122, 7207, 7209, 7214, 7304, 7401, 7403, 7406, 7423, 7424, 7425, 7426, 7429, 7430, 7432, 7502, 7503, 7505, 7506, 7513, 7601-7606, 7608-7610, 7622, 7623, 7653, 7805. ### Source Source: T.D. ATF-6, 38 FR 32445, Nov. 26, 1973, unless otherwise noted. ### Amendments [T.D. ATF-301, 55 FR 47610, Nov. 14, 1990]