How IRC § 6213 Protects You While Your Tax Court Case Is Pending

You filed your Tax Court petition. Now what?

Here's something many taxpayers don't realize: the IRS cannot collect the disputed tax while your case is pending. This isn't a courtesy—it's the law.

IRC § 6213(a) prohibits the IRS from assessing or collecting a deficiency (the additional tax the IRS says you owe) while you have a case before the Tax Court. Understanding this protection can change how you approach your dispute.

What the Statute Says

The key language from IRC § 6213(a):

"No assessment of a deficiency... and no levy or proceeding in court for its collection shall be made, begun, or prosecuted until such notice has been mailed to the taxpayer, nor until the expiration of such 90-day or 150-day period, as the case may be... nor, if a petition has been filed with the Tax Court, until the decision of the Tax Court has become final."

In plain English: Once you file a timely petition, the IRS cannot assess or collect the disputed tax until the Tax Court's decision becomes final. If you appeal, though, the IRS can assess and collect the amount the Tax Court decided while your appeal is pending, unless you file a bond with the Tax Court by the time you file your notice of appeal (IRC § 7485).

What This Means for You

While your Tax Court case is pending, the IRS cannot:

• Levy your bank accounts (take money directly from your accounts)
• Garnish your wages (take a portion of your paycheck)
• Seize your property
• Pursue you in court for collection

Because the IRS also cannot assess the disputed deficiency while your case is pending, no federal tax lien can arise for that amount either—a lien under IRC § 6321 requires an assessment first.

This protection covers your window to petition and, once you file, lasts until the Tax Court's decision becomes final.

When Does Protection Start and End?

Protection starts when you file a timely petition with the Tax Court. (The IRS also can't assess the deficiency during your window to petition, even before you file.) "Timely" means within 90 days after the date the IRS mailed your Notice of Deficiency—count from the mailing date, not the day you received it—or 150 days if the notice is addressed to you outside the US. A petition filed by the last date the IRS prints on the notice also counts as timely. If the last day falls on a Saturday, Sunday or Washington, D.C. legal holiday, you have until the next day that isn't one.

Protection ends when the Tax Court decision becomes final under IRC § 7481:

For most cases, this means you have protection for the entire duration of your Tax Court proceedings—which typically takes 6-18 months from filing to resolution.

Why This Matters Strategically

This protection gives you something valuable: time and leverage.

Time to build your case, gather documentation, and negotiate with IRS counsel without the pressure of imminent collection action.

Leverage in settlement discussions. The IRS has to prepare for trial too. With collection on hold, they have incentive to settle cases that might not go their way.

Most (76%) of Tax Court cases settle before trial. The breathing room provided by § 6213 makes productive settlement negotiations possible. For a guide to evaluating offers and navigating the settlement process, see How To Settle Your Tax Court Case. For a detailed walkthrough of the post-filing timeline, see What Happens After You File Your Tax Court Petition.

What's Not Protected

The collection prohibition has limits. It does not protect:

• Other tax years: Only the tax years in your petition are protected. If you owe taxes for other years, the IRS can still collect those. If the IRS files a lien or threatens to levy on other years, you may have Collection Due Process hearing rights.

• Already-assessed taxes: If a tax was assessed before the Notice of Deficiency was issued (perhaps from a prior audit or a filed return), that's a separate liability.

• Math error assessments: The IRS can correct mathematical or clerical errors on your return without issuing a Notice of Deficiency, and a Tax Court petition doesn't stop it from collecting them. § 6213(b)(2) gives you a different protection: you have 60 days after the math error notice to request abatement, and the IRS can't levy during that window. If you ask in time, the IRS must abate the assessment and can reassess only through the normal deficiency process, starting with a Notice of Deficiency.

• Clawbacks of tentative carryback refunds: If the IRS decides a tentative refund it paid on Form 1045 was too large, § 6213(b)(3) lets it assess the excess as if it were a math error, without the usual 60-day right to request abatement. See Net Operating Loss Disallowed? The Section 172 Tax Court Guide.

• Interest accrual: While collection is paused, interest continues to accrue on the disputed amount under IRC § 6601. The failure-to-pay addition works differently for a deficiency: under IRC § 6651(a)(3), it starts only if you do not pay within 21 calendar days (10 business days if the amount is $100,000 or more) of the IRS's notice and demand, which comes after the tax is assessed. If you lose, you'll owe the tax plus the interest that built up while the case ran, and any penalties the Court sustains. For more on challenging penalties, see How To Request IRS Penalty Abatement.

The Exceptions: Jeopardy Assessments

This protection isn't absolute. The IRS can bypass it in rare situations through jeopardy assessments under IRC § 6861, termination assessments under IRC § 6851, and assessments of political expenditure taxes under IRC § 6852.

If the IRS believes that collection is in jeopardy—for example, if you're:

• Hiding or dissipating assets
• Planning to leave the country
• Doing anything that suggests you'll avoid paying if they wait

—the IRS can make an immediate assessment and begin collection, even while your Tax Court case is pending.

Jeopardy assessments are rare and require specific circumstances. The IRS must believe that delay will make collection impossible or impractical. For most taxpayers in good-faith disputes, this exception won't apply.

What If the IRS Violates This Protection?

If the IRS attempts to collect while your petition is pending, you have remedies.

Under § 6213(a), the Tax Court can:

• Enjoin (stop) the unlawful collection action
• Order a refund of any amounts collected during the prohibited period

This is one of the few situations where the Tax Court can issue an injunction against IRS collection. But the Court's power is limited to the specific deficiency in your petition—it can't help with other tax years or liabilities.

You Can Waive This Protection

The statute allows you to give up this protection voluntarily. Under IRC § 6213(d), you can sign a written waiver authorizing the IRS to assess and collect before your case is resolved. In settlement contexts, this is typically done using Form 870.

Why would anyone do this? Sometimes it's part of a settlement agreement. Sometimes taxpayers want to start making payments to reduce interest. But generally, don't waive this protection without a specific strategic reason.

The Bottom Line

Filing a Tax Court petition does more than preserve your right to dispute the IRS. It pauses collection of the disputed tax for the duration of your case.

This statutory protection under IRC § 6213 gives you:

• Freedom from collection pressure while your case proceeds
• Time to negotiate a settlement
• Leverage in discussions with IRS counsel

If you've received a Notice of Deficiency and you're worried about collection, remember: filing a timely petition stops the clock. Once your case is resolved and the protection ends, see How To Resolve Your IRS Tax Debt for your payment options.

For an overview of the Notice of Deficiency and the 90-day filing deadline, see You Just Got a 90-Day Letter From the IRS. Here's What It Means. Ready to file? See How To File Your Tax Court Petition for a step-by-step guide.

Get Help

If you need representation in your Tax Court case, Low Income Taxpayer Clinics (LITCs) provide free help to taxpayers whose income is below 250% of the poverty line and whose dispute is $50,000 or less. Learn more in How To Find and Use a Low Income Taxpayer Clinic.

Resources

• IRC § 6213—the statute that prohibits collection while your case is pending
• IRC § 7481—when a Tax Court decision becomes final
• IRC § 6861—jeopardy assessments (the main exception)
• DAWSON portal—the Tax Court's electronic filing system
• Guidance for Petitioners—the Court's official guide for self-represented filers
• IRS LITC Directory—find free legal help

This article is for informational purposes only and does not constitute legal or tax advice. For advice specific to your situation, consult a qualified tax professional or attorney.