
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC6852]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                Subtitle F--Procedure and Administration
 
                CHAPTER 70--JEOPARDY, RECEIVERSHIPS, ETC.
 
                         Subchapter A--Jeopardy
 
                   PART I--TERMINATION OF TAXABLE YEAR
 
Sec. 6852. Termination assessments in case of flagrant political 
        expenditures of section 501(c)(3) organizations
        

(a) Authority to make

                           (1) In general

        If the Secretary finds that--
            (A) a section 501(c)(3) organization has made political 
        expenditures, and
            (B) such expenditures constitute a flagrant violation of the 
        prohibition against making political expenditures,

    the Secretary shall immediately make a determination of any income 
    tax payable by such organization for the current or immediately 
    preceding taxable year, or both, and shall immediately make a 
    determination of any tax payable under section 4955 by such 
    organization or any manager thereof with respect to political 
    expenditures during the current or preceding taxable year, or both. 
    Notwithstanding any other provision of law, any such tax shall 
    become immediately due and payable. The Secretary shall immediately 
    assess the amount of tax so determined (together with all interest, 
    additional amounts, and additions to the tax provided by law) for 
    the current year or the preceding taxable year, or both, and shall 
    cause notice of such determination and assessment to be given to the 
    organization or any manager thereof, as the case may be, together 
    with a demand for immediate payment of such tax.

                       (2) Computation of tax

        In the case of a current taxable year, the Secretary shall 
    determine the taxes for the period beginning on the 1st day of such 
    current taxable year and ending on the date of the determination 
    under paragraph (1) as though such period were a taxable year of the 
    organization, and shall take into account any prior determination 
    made under this subsection with respect to such current taxable 
    year.

                 (3) Treatment of amounts collected

        Any amounts collected as a result of any assessments under this 
    subsection shall, to the extent thereof, be treated as a payment of 
    income tax for such taxable year, or tax under section 4955 with 
    respect to the expenditure, as the case may be.

       (4) Section inapplicable to assessments after due date

        This section shall not authorize any assessment of tax for the 
    preceding taxable year which is made after the due date of the 
    organization's return for such taxable year (determined with regard 
    to any extensions).

(b) Definitions and special rules

                           (1) Definitions

        For purposes of this section, the terms ``section 501(c)(3) 
    organization'', ``political expenditure'', and ``organization 
    manager'' have the respective meanings given to such terms by 
    section 4955.

                  (2) Certain rules made applicable

        The provisions of sections 6851(b), 6861(f), and 6861(g) shall 
    apply with respect to any assessment made under subsection (a), 
    except that determinations under section 6861(g) shall be made on 
    the basis of whether the requirements of subsection (a)(1)(B) of 
    this section are met in lieu of whether jeopardy exists.

(Added Pub. L. 100-203, title X, Sec. 10713(b)(1), Dec. 22, 1987, 101 
Stat. 1330-469.)

                  Section Referred to in Other Sections

    This section is referred to in sections 6091, 6211, 6212, 6213, 
6234, 6863, 7429, 7611 of this title.
