Yes, when it's an accessory building in a DWELLING setting.
EVERY electrician and inspector I know allows this.
Not what the NEC says, since nothing give permission for anything other then the conductors supplying the ENTIRE load of a dwelling,& a shop/garage/outbuilding fails to meet that criteria .
It also depends on the load calculation.
This is the only way one can do it IMO.
Comments in bold, I know it is quite common & the place is not going up in flames because 2/0 was used in place of 3/0, but it's still not meeting the requirements of 310.15(B)(6).
This is from the '08 which will be useless to me in a few weeks way past time to reload the 2011.
(6) 120/240-Volt, 3-Wire, Single-Phase Dwelling Services
and Feeders. For individual dwelling units of one family,
two-family, and multifamily dwellings, conductors,
as listed in Table 310.15(B)(6), shall be permitted as
120/240-volt, 3-wire, single-phase service-entrance conductors,
service-lateral conductors, and feeder conductors
that serve as the main power feeder to each dwelling unit
and are installed in raceway or cable with or without an
equipment grounding conductor. For application of this section,
the main power feeder shall be the feeder between the main disconnect and the panelboard that supplies, either by
branch circuits or by feeders, or both, all loads that are part
or associated with the dwelling unit. The feeder conductors
to a dwelling unit shall not be required to have an allowable
ampacity rating greater than their service-entrance conductors.
The grounded conductor shall be permitted to be
smaller than the ungrounded conductors, provided the requirements
of 215.2, 220.61, and 230.42 are met.