RULE 248. SETTLEMENT AGREEMENTS
- (a) Consent by the Tax Matters Partner to Entry of Decision: A
stipulation consenting to entry of decision executed by the tax
matters partner and filed with the Court shall bind all parties.
The signature of the tax matters partner constitutes a certificate
by the tax matters partner that no party objects to entry of
decision. See Rule 251.
- (b) Settlement or Consistent Agreements Entered Into by All
Participating Partners or No Objection by Participating
Partners:
- (1) After the expiration of the time within which to file a
notice of election to intervene or to participate under Rule 245(a) or (b), the Commissioner shall move
for entry of decision, and shall submit a proposed form of decision
with such motion, if--
- (A) all of the participating partners have entered into a
settlement agreement or consistent agreement with the Commissioner,
or all of such partners do not object to the granting of the
Commissioner's motion for entry of decision, and
- (B) the tax matters partner (if a participating partner) agrees
to the proposed decision in the case but does not certify that no
party objects to the granting of the Commissioner's motion for
entry of decision.
- (2) Within 3 days from the date on which the Commissioner's
motion for entry of decision is filed with the Court, the
Commissioner shall serve on the tax matters partner a certificate
showing the date on which the Commissioner's motion was filed with
the Court.
- (3) Within 3 days after receiving the Commissioner's
certificate, the tax matters partner shall serve on all other
parties to the action other than the participating partners, a copy
of the Commissioner's motion for entry of decision, a copy of the
proposed decision, a copy of the Commissioner's certificate showing
the date on which the Commissioner's motion was filed with the
Court, and a copy of this Rule.
- (4) If any party objects to the granting of the Commissioner's
motion for entry of decision, then that party shall, within 60 days
from the date on which the Commissioner's motion was filed with the
Court, file a motion for leave to file a notice of election to
intervene or to participate, accompanied by a separate notice of
election to intervene or a separate notice of election to
participate, as the case may be. If no such motion is filed with
the Court within such period, or if the Court should deny such
motion, then the Court may enter the proposed decision as its
decision in the partnership action. See Code Sections 6226(f) and
6228(a)(5). See also Rule 245, relating
to intervention and participation, and Rule
251, relating to decisions.
- (c) Other Settlement and Consistent Agreements: If a settlement
agreement or consistent agreement is not within the scope of
paragraph (b) of this Rule, then--
- (1) in the case of a participating partner, the Commissioner
shall promptly file with the Court a notice of settlement agreement
or notice of consistent agreement, whichever may be appropriate,
that identifies the participating partner or partners who have
entered into the settlement agreement or consistent agreement;
and
- (2) in the case of any partner who enters into a settlement
agreement, the Commissioner shall, within 7 days after the
settlement agreement is executed by both the partner and the
Commissioner, serve on the tax matters partner a statement which
sets forth--
- (A) the identity of the party or parties to the settlement
agreement and the date of the agreement;
- (B) the year or years to which the settlement agreement
relates; and
- (C) the terms of settlement as to each partnership item and the
allocation of such items among the partners.
- Within 7 days after receiving the statement required by this
subparagraph, the tax matters partner shall serve on all parties to
the action a copy of the statement.
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