Notice 2011-16

Part III. Administrative, Procedural, and Miscellaneous
Extension of Relief and
Procedures Under Notice
2010–30 for Spouses of
U.S. Servicemembers who
are Working in or Claiming
Residence or Domicile in
a U.S. Territory Under the
Military Spouses Residency
Relief Act
Notice 2011–16
On April 15, 2010, the Treasury Department and the Internal Revenue Service published Notice 2010–30, 2010–18
I.R.B. 650, which provides relief and
procedures for certain taxpayers who
are spouses (civilian spouses) of active
duty members of the uniformed services
(servicemembers). In particular, the procedures in Notice 2010–30 were made
available for the taxable year including
November 11, 2009 (generally, this will be
the calendar year 2009, and is referred to
hereinafter as “2009”), to civilian spouses
who (A) accompany their servicemember spouses to a military duty station in
American Samoa, Guam, the Northern
Mariana Islands (NMI), Puerto Rico, or
the U.S. Virgin Islands (USVI) (each a
“U.S. territory”) and claim residence or
domicile (tax residence) in one of the 50
States or the District of Columbia under
the Military Spouses Residency Relief Act
(MSRRA) pursuant to the procedures in
Notice 2010–30 or (B) accompany their
servicemember spouses to a military duty
station in one of the 50 States or the District of Columbia and claim tax residence
in a U.S. territory under MSRRA.
This notice provides that civilian
spouses described in the prior paragraph
claiming MSRRA relief for federal income tax purposes for the first taxable
year beginning after November 11, 2009
(generally, this will be calendar year 2010,
and is referred to hereinafter as “2010”)
should follow the applicable procedures
described in Notice 2010–30.
The extension of time to pay federal income taxes described in Part III(A)(1)(b)
of Notice 2010–30 for 2009 is available
to eligible civilian spouses described in
Part III(A)(1)(b) of Notice 2010–30 claim-

2011–17 I.R.B.

ing MSRRA relief with respect to individual federal income tax returns filed for
2010. Such taxpayers should follow the
procedures in Part III(A)(1)(b) of Notice
2010–30 to obtain an extension of time
through October 17, 2011 to pay federal income taxes for 2010.
As provided in Notice 2010–30, the
IRS has determined pursuant to section
6654(e)(3)(A) of the Internal Revenue
Code (Code) that with respect to civilian
spouses eligible for the extension of time
to pay federal income taxes described in
Part III(A)(1)(b) of Notice 2010–30, applying the addition to tax under section
6654(a) in the case of an underpayment
of estimated tax by such civilian spouses
for 2010 is against equity and good conscience due to unusual circumstances.
Civilian spouses who obtain the extension to pay federal income taxes for 2010
provided by this notice are required to pay
interest on the amount of tax from the original payment due date until the date the tax
is paid. Pursuant to section 6601, interest
is calculated from the prescribed payment
due date determined under section 6151
without regard to any extension to pay federal income tax, including the extension to
pay tax provided by this notice.
For the reasons discussed in Part
III(A)(2) of Notice 2010–30, the extension to pay federal income taxes described
in Part III(A)(1)(b) of Notice 2010–30 is
not available to civilian spouses claiming
tax residence in a State or the District
of Columbia under MSRRA and filing
individual federal income tax returns for
2010, who are: (A) federal employees in
American Samoa, Guam, or the USVI;
and (B) individuals working in Guam or
the NMI to whom section 935 applies.
These civilian spouses should file their
2010 federal individual income tax returns
and pay any taxes due according to the
procedures described in Part III(A)(2) of
Notice 2010–30.
Civilian spouses who accompany their
servicemember spouses to a military duty
station in one of the 50 States or the District of Columbia and who claim tax residence in a U.S. territory under MSRRA
should follow the procedures in Part III(B)
of Notice 2010–30 with respect to their
2010 income tax returns.

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DRAFTING INFORMATION
The principal author of this notice is
Rosy L. Lor of the Office of Associate
Chief Counsel (International). For further information regarding this notice, contact Rosy L. Lor at (202) 622–3880 (not a
toll-free call).

Administrative Exemptions
to the Specified Tax Return
Preparer Electronic Filing
Requirement Under Internal
Revenue Code § 6011(e)(3)
and Regulations Under
§ 6011(e)(3)
Notice 2011–26
PURPOSE
This notice applies to tax return preparers who are required by law to electronically file certain income tax returns for individuals, estates, and trusts. This notice
provides administrative exemptions to the
electronic filing requirement under section
6011(e)(3) of the Internal Revenue Code
and corresponding regulations.
BACKGROUND
Contemporaneously with the publication of this notice, final regulations have
been published in the Federal Register as
T.D. 9518 (76 FR 17521) on March 30,
2011 implementing the requirement under
section 6011(e)(3) that specified tax return
preparers file individual income tax returns electronically if they prepare and file
the returns for taxpayers. Under section
6011(e)(3)(B) and as further defined in
§ 301.6011–7(a)(3), a specified tax return
preparer means, with respect to any calendar year, any tax return preparer within
the meaning of section 7701(a)(36) and
§ 301.7701–15 who prepares any individual income tax return unless such tax return preparer reasonably expects to file 10
or fewer individual income tax returns in
the calendar year, and if a person who is a
tax return preparer is a member of a firm,
that person is a specified tax return preparer unless the person’s firm members in
the aggregate reasonably expect to file 10

April 25, 2011