Case Explained: KYICK HOLDINGS, LLC, Transferee v. COMMISSIONER OF INTERNAL REVENUE SERVICE

Court: United States Court of Appeals for the First Circuit Filed: 2026-08-17 The first-circuit affirmed the Tax Court’s dismissal of Kyick Holdings, LLC’s petition contesting a notice of transferee liability for unpaid taxes. The court held that the IRS exercised reasonable diligence in determining the taxpayer’s mailing address by sending the notice to the address listed on the taxpayer’s most recent federal tax return, which satisfied statutory requirements even though the notice was returned by the Postal Service. Regarding the filing deadline in 26 U.S.C. § 6213(a), the court ruled that the ninety-day period is nonjurisdictional, rejecting prior First Circuit precedent that treated it as such based on the Supreme Court’s “clear statement” rule established in *Boechler, P.C. v. Commissioner*. However, the court further held that despite being nonjurisdictional, the deadline is mandatory and not subject to equitable tolling. The court reasoned that Congress explicitly provided specific exceptions and adjustments within the statute (such as extensions for notices mailed abroad or during holidays), indicating an intent to preclude open-ended equitable exceptions. Consequently, because the taxpayer filed its petition 143 days after the notice was mailed, the Tax Court lacked authority to hear the case, and the dismissal stands. Do It For The Case Law is a news reporting service. Nothing in this episode constitutes legal advice.