Effect of petition to district court
(a) If the Director has mailed to the taxpayer a notice of deficiency under section 942(a) of this title (relating to deficiencies of income taxes) and if the taxpayer files a petition with the district court within the time prescribed in section 943(a) of this title, no credit or refund of income tax for the same taxable year, in respect of which the Director has determined the deficiency shall be allowed or made and no action by the taxpayer for the recovery of any part of the tax shall be instituted in any court except—
(1) as to overpayment determined by a decision of the district court which has become final;
(2) as to any amount collected in excess of an amount computed in accordance with the decision of the district court which has become final; and
(3) as to any amount collected after the period of limitation upon the making of levy or beginning a proceeding in court for collection has expired; but in any such claim for credit or refund or in any such action for refund the decision of the district court which has become final, as to whether such period has expired before the notice of deficiency was mailed, shall be conclusive.
Overpayment determined by district court
(b) Jurisdiction to determine.
(1) If the district court finds that there is no deficiency and further finds that the taxpayer has made an overpayment of income tax for the same taxable year, in respect of which the Director determined the deficiency, or finds that there is a deficiency but that the taxpayer has made an overpayment of such tax, the district court shall have jurisdiction to determine the amount of such overpayment, and such amount shall, when the decision of the district court has become final, be credited or refunded to the taxpayer.
(2) Limit on amount of credit or refund. No such credit or refund shall be allowed or made of any portion of the tax unless the district court determines as part of its decision that such portion was paid—
(A) after the mailing of the notice of deficiency, or
(B) within the period which would be applicable under section 1181 (b)(2), (c), or (d) of this title, if on the date of the mailing of the notice of deficiency a claim had been filed (whether or not filed) stating the ground upon which the district court finds that there is an overpayment.