A person shall pay a penalty of $5,000 if-
Except as provided in paragraph (3), any person who submits a specified frivolous submission shall pay a penalty of $5,000.
For purposes of this section-
The term "specified frivolous submission" means a specified submission if any portion of such submission-
The term "specified submission" means-
If the Secretary provides a person with notice that a submission is a specified frivolous submission and such person withdraws such submission within 30 days after such notice, the penalty imposed under paragraph (1) shall not apply with respect to such submission.
The Secretary shall prescribe (and periodically revise) a list of positions which the Secretary has identified as being frivolous for purposes of this subsection. The Secretary shall not include in such list any position that the Secretary determines meets the requirement of section 6662(d)(2)(B)(ii)(II).
The penalties imposed by this section shall be in addition to any other penalty provided by law.
An administrative adjustment request under section 6227 and a partnership adjustment tracking report under section 6226(b)(4)(A) shall be treated as a return for purposes of this section.
26 U.S.C. § 6702
AMENDMENTS2018-Subsec. (f). Pub. L. 115-141 added subsec. (f).2006- Pub. L. 109-432 amended section catchline and text generally, substituting provisions relating to civil penalties for frivolous tax returns and submissions, listing of frivolous positions, reduction of penalty to promote compliance with tax laws, and application of other penalties, consisting of subsecs. (a) to (e), for provisions relating to civil penalty for frivolous tax returns and application of other penalties, consisting of subsecs. (a) and (b).
STATUTORY NOTES AND RELATED SUBSIDIARIES
EFFECTIVE DATE OF 2018 AMENDMENT Amendment by Pub. L. 115-141 effective as if included in section 1101 of Pub. L. 114-74 see section 207 of Pub. L. 115-141 set out as a note under sectionof this title.
EFFECTIVE DATE OF 2006 AMENDMENT Amendment by Pub. L. 109-432 applicable to submissions made and issues raised after the date on which the Secretary first prescribes a list under subsec. (c) of this section, see section 407(f) of Pub. L. 109-432 set out as a note under section of this title.
EFFECTIVE DATEPub. L. 97-248, title III, §326(c), Sept. 3, 1982, 96 Stat. 617, provided that: "The amendments made by this section [enacting this section] shall apply with respect to documents filed after the date of the enactment of this Act [Sept. 3, 1982]."
- The term "Secretary" means the Secretary of the Treasury or his delegate.
- The term "levy" includes the power of distraint and seizure by any means.
- The term "person" shall be construed to mean and include an individual, a trust, estate, partnership, association, company or corporation.
- The term "taxpayer" means any person subject to any internal revenue tax.