### Question
How does the law define oversheltered return?


### Answer
Under *26 U.S.C. § 6234*, **oversheltered return** is defined as:

> an income tax return which—


(1) shows no taxable income for the taxable year, and


(2) shows a net loss from partnership items

#### Citation:
  - *26 U.S.C. § 6234*
  - Heading: **Subtitle F-Procedure and Administration > CHAPTER 63-ASSESSMENT > Subchapter C-Tax Treatment of Partnership Items**

