26 U.S.C. § 7525 — Confidentiality privileges relating to taxpayer communications

(a) Uniform application to taxpayer^* communications with federally authorized practitioners. (1) For tax advice, the common-law confidentiality protection for a taxpayer–attorney communication also protects a taxpayer’s communication with a federally authorized tax practitioner to the extent it would be privileged between taxpayer and attorney. (2) The protection may be asserted only in (A) a noncriminal tax matter before the Internal Revenue Service, or (B) a noncriminal tax proceeding in federal court brought by or against the United States. (3) “Federally authorized tax practitioner” means an individual authorized under federal law to practice before the Internal Revenue Service when that practice is federally regulated under 31 U.S.C. §330. “Tax advice” means advice by an individual about a matter within that person’s authorized practice.

(b) Tax-shelter communications excluded. The privilege does not cover a written communication between a federally authorized tax practitioner and (1) a person, a director, officer, employee^*, agent, or representative of that person, or another person holding a capital or profits interest in that person, when the communication is (2) connected with promoting that person’s direct or indirect participation in a tax shelter as defined in section 6662(d)(2)(C)(ii).