IRS Issues PLR Permitting Revocation of Installment Method Opt-Out, Amended Return Window

The IRS has issued a private letter ruling on I.R.C. §453 and Treas. Reg. §15A.453 allowing taxpayers to revoke their inadvertent election out of the installment method for income attributable to an installment note received from the sale of business assets, granting a 75 calendar day period to file amended returns where the election was made without understanding the tax treatment options and no tax avoidance motive existed. [PLR 202623014]

This story was produced by Bloomberg Tax Automation, and edited by Bloomberg Tax staff.