The correction period begins on the date the prohibited act occurs and ends 90 days after a notice of deficiency for the additional tax is mailed, extended by any period the Internal Revenue Service determines is reasonable and necessary to correct the self-dealing act. If a petition is filed with the United States Tax Court to redetermine the tax, the correction period ends when the court's decision is final. If the court determines the additional tax was properly imposed, it may determine whether the act that gave rise to the tax was timely corrected. Return to Life Cycle of a Private Foundation
