IRS Strikes Out in Attempt to Recover Refund From Steinbrenner Son

For over 50 years, Bloomberg BNA’s renowned flagship daily news service, Daily Tax Report® has helped leading practitioners and policymakers stay on the cutting edge of taxation and...

The Internal Revenue Service cannot recover a refund it issued to Harold “Hal” Steinbrenner when he carried back a loss following a settlement agreement between IRS and YankeeNets LLC that resulted in adjustments that flowed through YankeeNets and Yankees Holdings LP to a family trust, of which Steinbrenner is a beneficiary, a federal district court ruled June 7 (United States v. Steinbrenner, M.D. Fla., No. 8:11-cv-02840, 6/7/13).
Judge Steven D. Merryday of the U.S. District Court for the Middle District of Florida granted summary judgment to Steinbrenner finding that Steinbrenner claimed the refund “comfortably” within the two-year statute of limitations under tax code Section 6230(c). The refund was not “attributable to a partnership item,” which would have put it outside the statute of limitations as IRS argued, Merryday said.

For full access to this article, please register for a free trial to Daily Tax Report® .