Extension of Time for Filing Returns, 67356-67364 [05-21981]
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67356
Federal Register / Vol. 70, No. 214 / Monday, November 7, 2005 / Rules and Regulations
IRS. However, other personnel from the
IRS and Treasury Department
participated in their development.
List of Subjects in 26 CFR Part 1
RIN 1545–BE63
Extension of Time for Filing Returns
Adoption of Amendments to the
Regulations
Internal Revenue Service (IRS),
Treasury.
ACTION: Final and temporary
regulations.
AGENCY:
Accordingly, 26 CFR part 1 is
amended as follows:
I
PART 1—INCOME TAXES
Paragraph 1. The authority citation
for part 1 continues to read, in part, as
follows:
I
Authority: 26 U.S.C. 7805 * * *
I Par. 2. Section 1.42–1 is amended by
revising paragraphs (h) and (j) to read as
follows:
§ 1.42–1 Limitation on low-income housing
credit allowed with respect to qualified lowincome buildings receiving housing credit
allocations from a State or local housing
credit agency.
*
*
*
*
*
(h) Filing of forms. Unless otherwise
provided in forms or instructions, a
completed Form 8586, ‘‘Low-Income
Housing Credit,’’ (or any successor
form) must be filed with the owner’s
Federal income tax return for each
taxable year the owner of a qualified
low-income building is claiming the
low-income housing credit under
section 42(a). Unless otherwise
provided in forms or instructions, a
completed Form 8609, ‘‘Low-Income
Housing Credit Allocation and
Certification,’’ (or any successor form)
must be filed by the building owner
with the IRS. The requirements for
completing and filing Forms 8586 and
8609 are addressed in the instructions to
the forms.
*
*
*
*
*
(j) Effective dates. Section 1.42–1(h)
applies to forms filed on or after
November 7, 2005. The rules that apply
for forms filed before November 7, 2005
are contained in § 1.42–1T(h) and
§ 1.42–1(h) (see 26 CFR part 1 revised as
of April 1, 2003, and April 1, 2005).
Approved: October 26, 2005.
Mark E. Matthews,
Deputy Commissioner for Services and
Enforcement.
Eric Solomon,
Acting Deputy Assistant Secretary of the
Treasury.
[FR Doc. 05–21784 Filed 11–4–05; 8:45 am]
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26 CFR Parts 1, 25, 26, 53, 55, 156, 157,
301
[TD 9229]
Income taxes, Reporting and
recordkeeping requirements.
BILLING CODE 4830–01–P
DEPARTMENT OF THE TREASURY
SUMMARY: This document contains final
and temporary regulations relating to
the simplification of procedures for
obtaining automatic extensions of time
to file certain returns. The portions of
this document that are final regulations
provide necessary cross-references to
the temporary regulations. The
temporary regulations allow individual
income taxpayers and certain other
taxpayers to obtain an automatic sixmonth extension of time to file certain
returns by filing a single request. For
these returns, the temporary regulations
also remove the requirements for a
signature and an explanation of the
need for an extension of time to file. The
temporary regulations affect taxpayers
who are required to file certain returns
and need an extension of time to file.
The text of the temporary regulations
also serves as the text of the proposed
regulations set forth in the notice of
proposed rulemaking on this subject in
the Proposed Rules section of this issue
of the Federal Register.
DATES: Effective Date: These regulations
are effective November 7, 2005.
Applicability Dates: For dates of
applicability of these regulations, see
§§ 1.6081–2T(i), 1.6081–3T(e)(2),
1.6081–4T(f), 1.6081–5T(g), 1.6081–
6T(g), 1.6081–7T(g), 1.6081–10T(f),
1.6081–11T(e), 25.6081–1T(f), 26.6081–
1T(f), 53.6081–1T(f), 55.6081–1T(f),
156.6081–1T(f), 157.6081–1T(f), and
301.6081–2T(e).
FOR FURTHER INFORMATION CONTACT:
Allen D. Madison, (202) 622–4940 (not
a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
This document contains amendments
to 26 CFR parts 1, 25, 26, 53, 55, 156,
157, and 301 under section 6081 of the
Internal Revenue Code. Section 6081(a)
provides that the Secretary may grant a
reasonable extension of time for filing
any return, declaration, statement, or
other document required by Title 26 or
by regulations. Except in the case of
taxpayers who are abroad, no such
extension shall be for more than six
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months. The regulations under section
6081 provide specific rules taxpayers
must follow to request an extension of
time to file Federal tax returns. A
taxpayer must generally submit a
written application for the extension on
or before the due date of the return. An
extension of time for filing a return does
not extend the time for payment of tax.
Explanation of Provisions
Rationale for Change
Currently, most taxpayers other than
corporations can receive a full sixmonth extension of time to file their
income tax returns, but to obtain the full
six-month extension they must file one
application for an initial extension of
time and then file a second application
to obtain an extension for the balance of
the six months. For example, individual
income taxpayers request an initial fourmonth automatic extension on one form
and then use a second form to request
a two-month discretionary extension.
Similarly, trusts and partnerships
request an initial three-month automatic
extension on one form and then use a
second form to request a three-month
discretionary extension. Requiring these
taxpayers to file two different forms to
obtain the full six-month extension
creates an unnecessary burden on
taxpayers and the IRS, and it can cause
unnecessary confusion.
To reduce the complexity of the
current extension process, and to
provide cost savings and other benefits
to taxpayers and the IRS, these
temporary regulations simplify the
extension process by allowing certain
taxpayers to file a single request for an
automatic six-month extension of time
to file certain returns. Because the
extension is automatic, these taxpayers
do not need to sign the extension
request or provide an explanation of the
reasons for requesting an extension.
Simplifying, consolidating, and
standardizing extension forms will
reduce taxpayer burden and will also
reduce taxpayer confusion and error in
filing the correct form. In addition,
taxpayers will save considerable time
and expense by not having to complete
and file a second request to obtain the
full six-month extension. This
simplification will also lower
processing costs and facilitate increased
efficiency for the IRS. According to IRS
research, simplification of the extension
process will save taxpayers between
$73–94 million annually and will save
the IRS $4.6 million annually.
Individual Income Taxpayers
Currently, individual income
taxpayers submit Form 4868
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‘‘Application for Automatic Extension
of Time To File a U.S. Individual
Income Tax Return,’’ for an initial fourmonth extension of time to file an
individual income tax return. The Form
4868 must be filed by the original due
date of the return. Taxpayers do not
have to sign or give a reason for the
extension request. Taxpayers must,
however, provide a proper estimate of
their tax liability.
Form 4868 does not extend the time
for payment of tax. Although no
payment of tax is necessary in order to
receive the extension, penalties and
interest may apply on any amounts that
are not paid as of the original due date
of the return. Individual income
taxpayers can seek an additional twomonth extension of time to file on Form
2688, ‘‘Application for Additional
Extension of Time To File U.S.
Individual Income Tax Return,’’ which
requires taxpayers to provide an
explanation of the need for an extension
and must be signed under penalties of
perjury.
To reduce burden on taxpayers and
the IRS, the temporary regulations
provide an automatic six-month
extension to taxpayers who must file an
individual income tax return if they
submit a timely, completed application
for extension on Form 4868. Taxpayers
do not have to sign the request or
explain why an extension is needed in
order to receive the automatic six-month
extension of time to file. An automatic
extension under the temporary
regulations does not extend the time for
payment of tax. Accordingly, taxpayers
must make a proper estimate of any tax
due. While no payment of tax is
required in order to obtain the
extension, failure to pay any tax as of
the original due date of the return may
subject the taxpayer to penalties and
interest.
Corporate Income Taxpayers
These temporary regulations do not
change the rules regarding filing
extensions for corporate income tax
returns. Currently, corporations may
obtain an automatic six-month
extension of time to file their income tax
returns by submitting Form 7004,
‘‘Application for Automatic Extension
of Time To File Corporation Income Tax
Return.’’ Corporations do not have to
sign the extension request or give a
reason for their request. The Form 7004
does not extend the time for payment of
tax. Accordingly, corporations filing
Form 7004 must compute the total
amount of their tentative tax and make
a remittance of any balance due.
Although these regulations do not
change the rules regarding filing
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extensions for corporations, they do
change the title to and appearance of
Form 7004. Taxpayers filing certain
other types of returns will now also use
Form 7004 to request an automatic sixmonth extension of time to file. The
new Form 7004 will be titled
‘‘Application for Automatic 6-Month
Extension of Time to File Certain
Business Income Tax, Information, and
Other Returns’ and will apply to a larger
number of returns than the prior form.
Taxpayers Previously Filing Form 2758
to Request an Extension of Time
Under these regulations, taxpayers
that previously requested additional
time to file certain excise, income,
information, and other returns by
submitting Form 2758, ‘‘Application for
Extension of Time To File Certain
Excise, Income, Information, and Other
Returns,’’ may request an automatic sixmonth extension of time to file by filing
the new Form 7004, ‘‘Application for
Automatic 6-Month Extension of Time
to File Certain Business Income Tax,
Information, and Other Returns.’’
Previously, these taxpayers filed Form
2758 in order to obtain a 90-day
extension. To obtain the extension,
these taxpayers had to sign the form and
provide an explanation of the need for
the extension. To obtain additional time
beyond the 90-day period, these
taxpayers had to file Form 2758 a
second time, once again signing the
request and providing an explanation
why the initial extension was not
sufficient. The total extension was
capped at the statutory maximum of six
months. The Form 2758 has been
obsoleted by these regulations.
Partnership, REMIC, and Certain Trust
Taxpayers
Prior regulations required
partnerships, real estate mortgage
investment conduits (REMICs) and
certain trusts to request three-month
automatic extensions of time to file by
submitting Form 8736, ‘‘Application for
Automatic Extension of Time to File
U.S. Return for a Partnership, REMIC, or
for Certain Trusts.’’ These entities could
then file a second request for an
additional three-month extension of
time to file on Form 8800, ‘‘Application
for Additional Extension of Time to File
U.S. Return for a Partnership, REMIC, or
for Certain Trusts.’’ In order to promote
simplified extension procedures, the
temporary regulations allow these
taxpayers to file an automatic six-month
extension of time to file on one
application, the new Form 7004,
‘‘Application for Automatic 6-Month
Extension of Time to File Certain
Business Income Tax, Information, and
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67357
Other Returns.’’ These taxpayers do not
have to sign the Form 7004 or provide
an explanation for their request in order
to receive the automatic six-month
extension of time to file. Forms 8736
and 8800 have been obsoleted by these
regulations.
The six-month automatic extension of
time to file set forth in these temporary
regulations applies to returns of passthrough entities, e.g., Form 1065 for
partnerships. The Treasury Department
and the IRS recognize that because the
six-month automatic extension is
available for returns of pass-through
entities, some taxpayers may not receive
information returns from the passthrough entities that they need in order
to complete their own income tax
returns before those returns are due. For
example, an individual income taxpayer
with a six-month extension of time to
October 15 to file the Form 1040 may
not receive a Schedule K–1 from a
partnership in which the taxpayer holds
an interest until after the partnership
files its Form 1065 on its extended due
date of October 15. Similarly, a Ccorporation with a six-month extension
to September 15 to file its Form 1120
may not receive a Schedule K–1 from a
calendar year partnership in which it
holds an interest until 30 days after its
return is due if the partnership files its
Form 1065 and sends out the Schedule
K–1s on its extended due date of
October 15. This filing anomaly existed
under prior regulations when the passthrough entity received an extension of
time to file to a date on or after the
extended due date for the pass-through
interest holder, but the automatic sixmonth extension in these regulations
may cause this to happen with more
frequency.
Because of this filing anomaly, the
availability of a six-month extension of
time to file for pass-through entities may
result in taxpayers filing an increased
number of amended income tax returns.
Therefore, it may be appropriate for
pass-through entities to have a shorter
extension period than their partners or
shareholders. The Treasury Department
and the IRS request comments on
whether a shorter extension of time to
file for pass-through entities might
reduce overall taxpayer burden. Please
follow the instructions in the
‘‘Comments and Public Hearing’’ section
in the notice of proposed rulemaking
accompanying these temporary
regulations in this issue of the Federal
Register.
In order to minimize the burden that
might be imposed as a result of this
filing anomaly, the Treasury Department
and the IRS encourage pass-through
entities that request an extension of time
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to file to minimize the impact that such
extension might have on their partners’
or members’ ability to timely file (with
an extension) their own tax returns.
Transition Rule
These temporary regulations are
effective for applications for an
automatic extension of time to file
certain returns filed after December 31,
2005. Therefore, the temporary
regulations apply to applications for
extension of time to file tax year 2005
returns. In addition, these temporary
regulations also apply to applications
for extension of time to file some tax
year 2004 returns for certain fiscal year
taxpayers because these returns are due
after December 31, 2005. Although these
fiscal year taxpayers should continue to
use the tax year 2004 extension forms,
the IRS will grant a six-month extension
of time to file if an extension request
made on one of these forms would
otherwise qualify under these temporary
regulations, except for use of the
specified form.
Certain Employee Plan Returns
These temporary regulations also
allow administrators and sponsors of
employee benefit plans subject to
Employee Retirement Income Security
Act of 1974 (ERISA) to report
information concerning the plans and
direct filing entities to use a new
version of Form 5558, ‘‘Application for
Extension of Time To File Certain
Employee Plan Returns,’’ for an
automatic two and one-half-month
extension of time to file. Under these
regulations, the Form 5558 no longer
requires taxpayers to provide an
explanation of the need for the
extension of time to file or a signature.
Special Analyses
Amendments to the Regulations
It has been determined that this
Treasury decision is not a significant
regulatory action as defined in
Executive Order 12866. Therefore, a
regulatory assessment is not required. It
also has been determined that section
553(b) of the Administrative Procedure
Act (5 U.S.C. chapter 5) does not apply
to these regulations. For the
applicability of the Regulatory
Flexibility Act (5 U.S.C. chapter 6), refer
to the Special Analyses section of the
preamble to the cross-reference notice of
proposed rulemaking published in the
Proposed Rules section of this issue of
the Federal Register. Pursuant to
section 7805(f) of the Internal Revenue
Code, these temporary regulations will
be submitted to the Chief Counsel for
Advocacy of the Small Business
Administration for comment on their
impact on small businesses.
I
Drafting Information
The principal author of these
regulations is Tracey B. Leibowitz of the
Office of the Associate Chief Counsel
(Procedure and Administration),
Administrative Provisions and Judicial
Practice Division.
List of Subjects
26 CFR Part 1
Income taxes, Reporting and
recordkeeping requirements.
26 CFR Part 25
Gift taxes, Reporting and
recordkeeping requirements.
26 CFR Part 26
Generation-skipping transfer taxes,
Reporting and recordkeeping
requirements.
Gift Tax Returns
26 CFR Part 53
Under section 6075(b)(2), individuals
who make a transfer by gift and who
request an automatic extension of time
to file the individual’s income tax return
are deemed to have an extension of time
to file the return required by section
6019. The temporary regulations also
allow donors who do not request an
extension of time to file an income tax
return to request an automatic sixmonth extension of time to file Form
709, ‘‘United States Gift (and
Generation-Skipping Transfer) Tax
Return’’ by filing a new version of Form
8892, ‘‘Payment of Gift/GST Tax and/or
Application for Extension of Time to
File Form 709.’’ Under these
regulations, the Form 8892 no longer
requires an explanation of the need for
the extension of time to file or a
signature.
Excise taxes, Foundations,
Investments, Lobbying, Reporting and
recordkeeping requirements.
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26 CFR Part 55
Excise taxes, Investments, Reporting
and recordkeeping requirements.
26 CFR Part 156
Excise taxes, Reporting and
recordkeeping requirements.
26 CFR Part 157
Excise taxes, Reporting and
recordkeeping requirements.
26 CFR Part 301
Employment taxes, Estate taxes,
Excise taxes, Gift taxes, Income taxes,
Penalties, Reporting and recordkeeping
requirements.
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Accordingly, 26 CFR parts 1, 25, 26,
53, 55, 156, 157, and 301 are amended
as follows:
PART 1—INCOME TAXES
Paragraph 1. The authority citation
for part 1 is amended by removing the
entries for § 1.6081–2, § 1.6081–4,
§ 1.6081–6, and § 1.6081–7 and adding
entries in numerical order to read, in
part, as follows:
I
Authority: 26 U.S.C. 7805 * * *
Section 1.6081–2T also issued under 26
U.S.C. 6081.
Section 1.6081–4T also issued under 26
U.S.C. 6081.
Section 1.6081–6T also issued under 26
U.S.C. 6081.
Section 1.6081–7T also issued under 26
U.S.C. 6081.
Section 1.6081–10T also issued under 26
U.S.C. 6081.
Section 1.6081–11T also issued under 26
U.S.C. 6081. * * *
§ 1.6081–2
[Removed]
Par. 2. Section 1.6081–2 is removed.
I Par. 3. Section 1.6081–2T is added to
read as follows:
I
§ 1.6081–2T Automatic extension of time
to file certain returns filed by partnerships
(temporary).
(a) In general. A partnership required
to file Form 1065, ‘‘U.S. Partnership
Return of Income,’’ or Form 8804,
‘‘Annual Return for Partnership
Withholding Tax,’’ for any taxable year
will be allowed an automatic 6-month
extension of time to file the return after
the date prescribed for filing the return
if the partnership files an application
under this section in accordance with
paragraph (b) of this section. In the case
of a partnership described in § 1.6081–
5(a)(1), the automatic extension of time
to file allowed under this section runs
concurrently with an extension of time
to file granted pursuant to § 1.6081–5(a).
(b) Requirements. To satisfy this
paragraph (b), the partnership must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time to File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner;
(2) File the application on or before
the later of—
(i) The date prescribed for filing the
return of the partnership; or
(ii) The expiration of any extension of
time to file granted under § 1.6081–5(a);
and
(3) File the application with the
Internal Revenue Service office
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designated in the application’s
instructions.
(c) Payment of section 7519 amount.
An automatic extension of time for
filing a partnership return of income
granted under paragraph (a) of this
section does not extend the time for
payment of any amount due under
section 7519, relating to required
payments for entities electing not to
have a required taxable year.
(d) Section 444 election. An automatic
extension of time for filing a partnership
return of income will run concurrently
with any extension of time for filing a
return allowed because of section 444,
relating to the election of a taxable year
other than a required taxable year.
(e) Effect of extension on partner. An
automatic extension of time for filing a
partnership return of income under this
section does not extend the time for
filing a partner’s income tax return or
the time for the payment of any tax due
on a partner’s income tax return.
(f) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the partnership a
notice of termination at least 10 days
prior to the termination date designated
in such notice. The Commissioner must
mail the notice of termination to the
address shown on the Form 7004 or to
the partnership’s last known address.
For further guidance regarding the
definition of last known address, see
§ 301.6212–2 of this chapter.
(g) Penalties. See section 6698 for
failure to file a partnership return.
(h) Effective dates. This section is
applicable for applications for an
automatic extension of time to file the
partnership returns listed in paragraph
(a) of this section filed after December
31, 2005. The applicability of this
section expires on November 4, 2008.
I Par. 4. Section 1.6081–3 is amended
by revising paragraphs (a)(1) and (e).
§ 1.6081–3 Automatic extension of time for
filing corporation income tax returns.
(a) * * *
(1) [Reserved]. For guidance on the
form to file to request a 6-month
extension of time to file corporation
income tax returns after December 31,
2005, see § 1.6081–3T.
*
*
*
*
*
(e) For guidance on the applicability
date of this section, see § 1.6081–3T.
I Par. 5. Section 1.6081–3T is added to
read as follows:
§ 1.6081–3T Automatic extension of time
for filing corporation income tax returns
(temporary).
(a) [Reserved]. For further guidance,
see § 1.6081–3(a).
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(1) An application must be submitted
on Form 7004, ‘‘Application for
Automatic 6-Month Extension of Time
to File Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner.
(a)(2) through (d) [Reserved]. For
further guidance, see § 1.6081–3(a)(2)
through (d).
(e) Effective dates. (1) Except as
provided in paragraph (e)(2) of this
section, this section applies to requests
for extensions of time to file corporation
income tax returns due after December
7, 2004.
(2) Paragraph (a)(1) of this section
applies to applications for an automatic
extension of time to file corporation
income tax returns filed after December
31, 2005. The applicability of this
section expires on November 4, 2008.
§ 1.6081–4
[Removed]
Par. 6. Section 1.6081–4 is removed.
Par. 7. Section 1.6081–4T is added to
read as follows:
I
I
§ 1.6081–4T Automatic extension of time
for filing individual income tax return
(temporary).
(a) In general. An individual who is
required to file an individual income tax
return will be allowed an automatic 6month extension of time to file the
return after the date prescribed for filing
the return if the individual files an
application under this section in
accordance with paragraph (b) of this
section. In the case of an individual
described in § 1.6081–5(a)(5) or (6), the
automatic 6-month extension will run
concurrently with the extension of time
to file granted pursuant to § 1.6081–5.
(b) Requirements. To satisfy this
paragraph (b), an individual must—
(1) Submit a complete application on
Form 4868, ‘‘Application for Automatic
Extension of Time To File U.S
Individual Income Tax Return,’’ or in
any other manner prescribed by the
Commissioner;
(2) File the application on or before
the later of—
(i) The date prescribed for filing the
return; or
(ii) The expiration of any extension of
time to file granted pursuant to
§ 1.6081–5;
(3) File the application with the
Internal Revenue Service office
designated in the application’s
instructions; and
(4) Show on the application the full
amount properly estimated as tax for the
taxable year.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
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67359
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the individual a
notice of termination at least 10 days
prior to the termination date designated
in such notice. The Commissioner must
mail the notice of termination to the
address shown on the Form 4868 or to
the individual’s last known address. For
further guidance regarding the
definition of last known address, see
§ 301.6212–2 of this chapter.
(e) Penalties. See section 6651 for
failure to file an individual income tax
return or failure to pay the amount
shown as tax on the return. In
particular, see § 301.6651–1(c)(3) of this
chapter (relating to a presumption of
reasonable cause in certain
circumstances involving an automatic
extension of time for filing an
individual income tax return).
(f) Effective dates. This section is
applicable for applications for an
automatic extension of time to file an
individual income tax return filed after
December 31, 2005. The applicability of
this section expires on November 4,
2008.
I Par. 8. Section 1.6081–5 is amended
by revising paragraph (b) to read as
follows:
§ 1.6081–5 Extensions of time in the case
of certain partnerships, corporations, and
U.S. citizens and residents.
*
*
*
*
*
(b) [Reserved]. For guidance on how
a person should demonstrate that the
person qualified for the extension in
paragraph (a) of this section after
December 31, 2005, see § 1.6081–5T.
*
*
*
*
*
I Par. 9. Section 1.6081–5T is added to
read as follows:
§ 1.6081–5T Extensions of time in the case
of certain partnerships, corporations, and
U.S. citizens and residents (temporary).
(a) [Reserved]. For further guidance,
see § 1.6081–5(a).
(b) In order to qualify for the
extension under this section—
(1) A statement must be attached to
the return showing that the person for
whom the return is made is a person
described in paragraph (a) of this
section; or
(2) If a person described in paragraph
(a) of this section requests additional
time to file, the person must request the
extension on or before the fifteenth day
of the sixth month following the close
of the taxable year and check the
appropriate box on Form 4868,
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‘‘Application for Automatic Extension
of Time To File a U.S. Individual
Income Tax Return,’’ or Form 7004,
‘‘Application for Automatic 6-Month
Extension of Time To File Certain
Business Income Tax, Information, and
Other Returns,’’ whichever is
applicable, or in any other manner
prescribed by the Commissioner.
(c) through (f) [Reserved]. For further
guidance, see § 1.6081–5(c) through (f).
(g) Effective date. This section is
applicable for applications for an
automatic extension of time to file
returns of income for taxpayers listed in
paragraph (a) of this section filed after
December 31, 2005. The applicability of
this section expires on November 4,
2008.
§ 1.6081–6
[Removed]
Par. 10. Section 1.6081–6 is removed.
I Par. 11. Section 1.6081–6T is added to
read as follows:
I
§ 1.6081–6T Automatic extension of time
to file estate or trust income tax return
(temporary).
(a) In general. An estate or trust
required to file an income tax return on
Form 1041, ‘‘U.S. Income Tax Return for
Estates and Trusts,’’ will be allowed an
automatic 6-month extension of time to
file the return after the date prescribed
for filing the return if the estate or trust
files an application under this section in
accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this
paragraph (b), an estate or trust must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time To File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner;
(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions; and
(3) Show on the application the
amount properly estimated as tax for the
estate or trust for the taxable year.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Effect of extension on beneficiary.
An automatic extension of time to file
an estate or trust income tax return
under this section will not extend the
time for filing the income tax return of
a beneficiary of the estate or trust or the
time for the payment of any tax due on
the beneficiary’s income tax return.
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(e) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the estate or trust a
notice of termination at least 10 days
prior to the termination date designated
in such notice. The Commissioner must
mail the notice of termination to the
address shown on the Form 7004 or to
the estate or trust’s last known address.
For further guidance regarding the
definition of last known address, see
§ 301.6212–2 of this chapter.
(f) Penalties. See section 6651 for
failure to file an estate or trust income
tax return or failure to pay the amount
shown as tax on the return.
(g) Effective dates. This section is
applicable for applications for an
automatic extension of time to file an
estate or trust income tax return filed
after December 31, 2005. The
applicability of this section expires on
November 4, 2008.
§ 1.6081–7
[Removed]
Par. 12. Section 1.6081–7 is removed.
Par. 13. Section 1.6081–7T is added to
read as follows:
I
I
§ 1.6081–7T Automatic extension of time
to file Real Estate Mortgage Investment
Conduit (REMIC) income tax return
(temporary).
(a) In general. A Real Estate Mortgage
Investment Conduit (REMIC) required to
file an income tax return on Form 1066,
‘‘U.S. Real Estate Mortgage Investment
Conduit Income Tax Return,’’ or Form
8831, ‘‘Excise Tax on Excess Inclusions
of REMIC Residual Interests,’’ for any
taxable year will be allowed an
automatic 6-month extension of time to
file the return after the date prescribed
for filing the return if the REMIC files
an application under this section in
accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this
paragraph (b), a REMIC must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time To File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner;
(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions; and
(3) Show on the application the full
amount properly estimated as tax for the
REMIC for the taxable year.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
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extend the time for payment of any tax
due on such return.
(d) Effect of extension on residual or
regular interest holders. An automatic
extension of time to file a REMIC
income tax return under this section
will not extend the time for filing the
income tax return of a residual or
regular interest holder of the REMIC or
the time for the payment of any tax due
on the residual or regular interest
holder’s income tax return. An
automatic extension will also not extend
the time for payment of any excise tax
on excess inclusions of REMIC residual
interests.
(e) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the REMIC a notice
of termination at least 10 days prior to
the termination date designated in such
notice. The Commissioner must mail the
notice of termination to the address
shown on the Form 7004 or to the
REMIC’s last known address. For further
guidance regarding the definition of last
known address, see § 301.6212–2 of this
chapter.
(f) Penalties. See sections 6698 and
6651 for failure to file a REMIC income
tax return or failure to pay an amount
shown as tax on the return.
(g) Effective dates. This section is
applicable for applications for an
automatic extension of time to file
REMIC income and excise tax returns
listed in paragraph (a) of this section
filed after December 31, 2005. The
applicability of this section expires on
November 4, 2008.
I Par. 14. Section 1.6081–10T is added
to read as follows:
§ 1.6081–10T Automatic extension of time
to file withholding tax return for U.S. source
income of foreign persons (temporary).
(a) In general. A withholding agent or
intermediary required to file a return on
Form 1042, ‘‘Annual Withholding Tax
Return for U.S. Source Income of
Foreign Persons,’’ for any taxable year
will be allowed an automatic 6-month
extension of time to file the return after
the date prescribed for filing the return
if the withholding agent or intermediary
files an application under this section in
accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this
paragraph (b), a withholding agent or
intermediary must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time To File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner;
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(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions; and
(3) Remit the amount of the properly
estimated unpaid tax liability on or
before the date prescribed for payment.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the withholding
agent or intermediary a notice of
termination at least 10 days prior to the
termination date designated in such
notice. The Commissioner must mail the
notice of termination to the address
shown on the Form 7004 or to the
withholding agent or intermediary’s last
known address. For further guidance
regarding the definition of last known
address, see § 301.6212–2 of this
chapter.
(e) Penalties. See section 6651 for
failure to file a return or failure to pay
an amount shown as tax on the return.
(f) Effective dates. This section is
applicable for applications for an
automatic extension of time to file the
withholding tax return for U.S. source
income of foreign persons return filed
after December 31, 2005. The
applicability of this section expires on
November 4, 2008.
I Par. 15. Section 1.6081–11T is added
to read as follows:
§ 1.6081–11T Automatic extension of time
for filing certain employee plan returns
(temporary).
(a) In general. An administrator or
sponsor of an employee benefit plan
required to file a return under the
provisions of chapter 61 or the
regulations thereunder on Form 5500
(series), ‘‘Annual Return/ Report of
Employee Benefit Plan,’’ will be allowed
an automatic 21⁄2-month extension of
time to file the return after the date
prescribed for filing the return if the
administrator or sponsor files an
application under this section in
accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this
paragraph (b), an administrator or
sponsor must—
(1) Submit a complete application on
Form 5558, ‘‘Application for Extension
of Time To File Certain Employee Plan
Returns,’’ or in any other manner as may
be prescribed by the Commissioner; and
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(2) File the application with the
Internal Revenue Service office
designated in the application’s
instructions on or before the date
prescribed for filing the information
return.
(c) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the administrator or
sponsor a notice of termination at least
10 days prior to the termination date
designated in such notice. The
Commissioner must mail the notice of
termination to the address shown on the
Form 5558 or to the administrator or
sponsor’s last known address. For
further guidance regarding the
definition of last known address, see
§ 301.6212–2 of this chapter.
(d) Penalties. See sections 6652, 6692,
and the Employee Retirement Income
Security Act of 1974 for penalties for
failure to file a timely and complete
Form 5500.
(e) Effective dates. This section is
applicable for applications for an
automatic extension of time to file
Forms 5500 filed after December 31,
2005. The applicability of this section
expires on November 4, 2008.
PART 25—GIFT TAX; GIFTS MADE
AFTER DECEMBER 31, 1954
Par. 16. The authority citation for part
25 is amended by adding an entry in
numerical order to read, in part, as
follows:
I
Authority: 26 U.S.C. 7805 * * *
Section 25.6081–1T also issued under the
authority of 26 U.S.C. 6081(a). * * *
§ 25.6081–1
[Removed]
Par. 17. Section 25.6081–1 is
removed.
I Par. 18. Section 25.6081–1T is added
to read as follows:
I
§ 25.6081–1T Automatic extension of time
for filing gift tax returns (temporary).
(a) In general. Under section
6075(b)(2), an automatic six-month
extension of time granted to a donor to
file the donor’s return of income under
§ 1.6081–4T shall be deemed to also be
a six-month extension of time granted to
file a return on Form 709, ‘‘United
States Gift (and Generation-Skipping
Transfer) Tax Return.’’ If a donor does
not obtain an extension of time to file
the donor’s return of income under
§ 1.6081–4T, the donor will be allowed
an automatic 6-month extension of time
to file Form 709 after the date
prescribed for filing if the donor files an
application under this section in
accordance with paragraph (b) of this
section. In the case of an individual
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67361
described in § 1.6081–5(a)(5) or (6), the
automatic 6-month extension of time to
file Form 709 will run concurrently
with the extension of time to file
granted pursuant to § 1.6081–5.
(b) Requirements. To satisfy this
paragraph (b), a donor must—
(1) Submit a complete application on
Form 8892, ‘‘Payment of Gift/GST Tax
and/or Application for Extension of
Time To File Form 709,’’ or in any other
manner prescribed by the
Commissioner;
(2) File the application on or before
the later of—
(i) The date prescribed for filing the
return; or
(ii) The expiration of any extension of
time to file granted pursuant to
§ 1.6081–5; and
(3) File the application with the
Internal Revenue Service office
designated in the application’s
instructions.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Termination of automatic
extension. The Commissioner may
terminate an extension at any time by
mailing to the donor a notice of
termination at least 10 days prior to the
termination date designated in such
notice. The Commissioner must mail the
notice of termination to the address
shown on the Form 8892, or to the
donor’s last known address. For further
guidance regarding the definition of last
known address, see § 301.6212–2 of this
chapter.
(e) Penalties. See section 6651 for
failure to file a gift tax return or failure
to pay the amount shown as tax on the
return.
(f) Effective dates. This section is
applicable for applications for an
extension of time to file Form 709 filed
after December 31, 2005. The
applicability of this section expires on
November 4, 2008.
PART 26—GENERATION-SKIPPING
TRANSFER TAX REGULATIONS
UNDER THE TAX REFORM ACT OF
1986
Par. 19. The authority citation for part
26 is amended by adding an entry in
numerical order to read, in part, as
follows:
I
Authority: 26 U.S.C. 7805 * * *
Section 26.6081–1T also issued under the
authority of 26 U.S.C. 6081(a).
Par. 20. Section 26.6081–1T is added
to read as follows:
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§ 26.6081–1T Automatic extension of time
for filing generation-skipping transfer tax
returns (temporary).
PART 53—FOUNDATION AND SIMILAR
EXCISE TAXES
(a) In general. A skip person
distributee required to file a return on
Form 706–GS(D), ‘‘Generation-Skipping
Transfer Tax Return for Distributions,’’
or a trustee required to file a return on
Form 706–GS(T), ‘‘Generation-Skipping
Transfer Tax Return for Terminations,’’
will be allowed an automatic 6-month
extension of time to file the return after
the date prescribed for filing if the skip
person distributee or trustee files an
application under this section in
accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this
paragraph (b), a skip person distributee
or trustee must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time to File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner;
(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions; and
(3) Remit the amount of the properly
estimated unpaid tax liability on or
before the date prescribed for payment.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the skip person
distributee or trustee a notice of
termination at least 10 days prior to the
termination date designated in such
notice. The Commissioner must mail the
notice of termination to the address
shown on the Form 7004 or to the skip
person distributee or trustee’s last
known address. For further guidance
regarding the definition of last known
address, see § 301.6212–2 of this
chapter.
(e) Penalties. See section 6651 for
failure to file a generation-skipping
transfer tax return or failure to pay the
amount shown as tax on the return.
(f) Effective dates. This section is
effective for applications for an
automatic extension of time to file a
generation-skipping transfer tax return
filed after December 31, 2005. The
applicability of this section expires on
November 4, 2008.
I
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Jkt 208001
Par. 21. The authority citation for part
53 is amended by adding an entry in
numerical order to read, in part, as
follows:
Authority: 26 U.S.C. 7805 * * *
Section 53.6081–1T also issued under 26
U.S.C. 6081(a).
§ 53.6081–1
[Removed]
Par. 22. Section 53.6081–1 is
removed.
I Par. 23. Section 53.6081–1T is added
to read as follows:
I
§ 53.6081–1T Automatic extension of time
for filing the return to report taxes due
under section 4951 for self-dealing with a
nuclear decommissioning fund (temporary).
(a) In general. A disqualified person
for purposes of section 4951(e)(4) who
engaged in self-dealing with a Nuclear
Decommissioning Fund, and must
report tax due under section 4951 on
Form 1120–ND, ‘‘Return for Nuclear
Decommissioning Funds and Certain
Related Persons,’’ will be allowed an
automatic 6-month extension of time to
file the return after the date prescribed
for filing the return if the disqualified
person files an application under this
section in accordance with paragraph
(b) of this section. For guidance on
requesting an extension of time to file
Form 1120–ND for purposes of reporting
contributions received, income earned,
administrative expenses of operating the
fund, and the tax on modified gross
income, see § 1.6081–3 of this chapter.
(b) Requirements. To satisfy this
paragraph (b), a disqualified person
must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time to File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner;
(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions; and
(3) Remit the amount of the properly
estimated unpaid tax liability on or
before the date prescribed for payment.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the disqualified
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person a notice of termination at least
10 days prior to the termination date
designated in such notice. The
Commissioner must mail the notice of
termination to the address shown on the
Form 7004 or to the disqualified
person’s last known address. For further
guidance regarding the definition of last
known address, see § 301.6212–2 of this
chapter.
(e) Penalties. See section 6651 for
failure to file or failure to pay the
amount shown as tax on the return.
(f) Effective dates. This section is
applicable for applications for an
automatic extension of time to file a
return to report taxes due under section
4951 for self-dealing with a Nuclear
Decommissioning Fund filed after
December 31, 2005. The applicability of
this section expires on November 4,
2008.
PART 55—EXCISE TAX ON REAL
INVESTMENT TRUSTS AND
REGULATED INVESTMENT
COMPANIES
Par. 24. The authority citation is
amended by adding an entry in
numerical order to read, in part, as
follows:
I
Authority: 26 U.S.C. 6001, 6011, 6071,
6091, and 7805 * * *
Section 55.6081–1T also issued under 26
U.S.C. 6081(a). * * *
§ 55.6081–1
[Removed]
Par. 25. Section 55.6081–1 is
removed.
I Par. 26. Section 55.6081–1T is added
to read as follows:
I
§ 55.6081–1T Automatic extension of time
for filing a return due under Chapter 44
(temporary).
(a) In general. A Real Estate
Investment Trust (REIT) required to file
a return on Form 8612, ‘‘Return of
Excise Tax on Undistributed Income of
Real Estate Investment Trusts,’’ or a
Regulated Investment Company (RIC)
required to file a return on Form 8613,
‘‘Return of Excise Tax on Undistributed
Income of Regulated Investment
Companies,’’ will be allowed an
automatic 6-month extension of time to
file the return after the date prescribed
for filing the return if the REIT or RIC
files an application under this section in
accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this
paragraph (b), a REIC or RIC must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time to File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
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any other manner prescribed by the
Commissioner;
(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions; and
(3) Remit the amount of the properly
estimated unpaid tax liability on or
before the date prescribed for payment.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the REIT or RIC a
notice of termination at least 10 days
prior to the termination date designated
in such notice. The Commissioner must
mail the notice of termination to the
address shown on the Form 7004 or to
the REIT or RIC’s last known address.
For further guidance regarding the
definition of last known address, see
§ 301.6212–2 of this chapter.
(e) Penalties. See section 6651 for
failure to file or failure to pay the
amount shown as tax on the return.
(f) Effective dates. This section is
applicable for applications for an
automatic extension of time to file a
return due under chapter 44, filed after
December 31, 2005. The applicability of
this section expires on November 4,
2008.
PART 156—EXCISE TAX ON
GREENMAIL
Par. 27. The authority citation is
amended by adding an entry in
numerical order to read, in part, as
follows:
I
Authority: 26 U.S.C. 6001, 6011, 6061,
6071, 6091, 6161, and 7805 * * *
Section 156.6081–1T also issued under 26
U.S.C. 6081(a). * * *
§ 156.6081–1
Par. 28. Section 156.6081–1 is
removed.
I Par. 29. Section 156.6081–1T is added
to read as follows:
§ 156.6081–1T Automatic extension of time
for filing a return due under chapter 54
(temporary).
(a) In general. A taxpayer required to
file a return on Form 8725, ‘‘Excise Tax
on Greenmail,’’ will be allowed an
automatic 6-month extension of time to
file the return after the date prescribed
for filing the return if the taxpayer files
an application under this section in
accordance with paragraph (b) of this
section.
14:35 Nov 04, 2005
PART 157—EXCISE TAX ON
STRUCTURED SETTLEMENT
FACTORING TRANSACTIONS
Par. 30. The authority citation is
amended by adding an entry in
numerical order to read, in part, as
follows:
I
[Removed]
I
VerDate Aug<31>2005
(b) Requirements. To satisfy this
paragraph (b), a taxpayer must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time to File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner;
(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions; and
(3) Remit the amount of the properly
estimated unpaid tax liability on or
before the date prescribed for payment.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the taxpayer a notice
of termination at least 10 days prior to
the termination date designated in such
notice. The Commissioner must mail the
notice of termination to the address
shown on the Form 7004 or to the
taxpayer’s last known address. For
further guidance regarding the
definition of last known address, see
§ 301.6212–2 of this chapter.
(e) Penalties. See section 6651 for
failure to file or failure to pay the
amount shown as tax on the return.
(f) Effective dates. This section is
applicable for applications for an
automatic extension of time to file a
return due under chapter 54, filed after
December 31, 2005. The applicability of
this section expires on November 4,
2008.
Jkt 208001
Authority: 26 U.S.C. 7805 * * *
Section 157.6081–1T also issued under 26
U.S.C. 6081(a). * * *
§ 157.6081–1
[Removed]
Par. 31. Section 157.6081–1 is
removed.
I Par. 32. Section 157.6081–1T is added
to read as follows:
I
§ 157.6081–1T Automatic extension of time
for filing a return due under chapter 55
(temporary).
(a) In general. A taxpayer required to
file a return on Form 8876, ‘‘Excise Tax
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67363
on Structured Settlement Factoring
Transactions,’’ will be allowed an
automatic 6-month extension of time to
file the return after the date prescribed
for filing the return if the taxpayer files
an application under this section in
accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this
paragraph (b), the taxpayer must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time to File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner;
(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions; and
(3) Remit the amount of the properly
estimated unpaid tax liability on or
before the date prescribed for payment.
(c) No extension of time for the
payment of tax. An automatic extension
of time for filing a return granted under
paragraph (a) of this section will not
extend the time for payment of any tax
due on such return.
(d) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the taxpayer a notice
of termination at least 10 days prior to
the termination date designated in such
notice. The Commissioner must mail the
notice of termination to the address
shown on the Form 7004 or to the
taxpayer’s last known address. For
further guidance regarding the
definition of last known address, see
§ 301.6212–2 of this chapter.
(e) Penalties. See section 6651 for
failure to file or failure to pay the
amount shown as tax on the return.
(f) Effective dates. This section is
applicable for applications for an
automatic extension of time to file a
return due under chapter 55, filed after
December 31, 2005. The applicability of
this section expires on November 4,
2008.
PART 301—PROCEDURE AND
ADMINISTRATION
Par. 33. The authority citation is
amended by adding an entry in
numerical order to read, in part, as
follows:
I
Authority: 26 U.S.C. 7805 * * *
Section 301.6081–2T also issued under 26
U.S.C. 6081(a). * * *
Par. 34. Section 301.6081–2T is added
to read as follows:
I
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07NOR1
67364
Federal Register / Vol. 70, No. 214 / Monday, November 7, 2005 / Rules and Regulations
§ 301.6081–2T Automatic extension of time
for filing an information return with respect
to certain foreign trusts (temporary).
(a) In general. A trust required to file
a return on Form 3520–A, ‘‘Annual
Information Return of Foreign Trust
with a U.S. Owner,’’ will be allowed an
automatic 6-month extension of time to
file the return after the date prescribed
for filing the return if the trust files an
application under this section in
accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this
paragraph (b), a trust must—
(1) Submit a complete application on
Form 7004, ‘‘Application for Automatic
6-Month Extension of Time to File
Certain Business Income Tax,
Information, and Other Returns,’’ or in
any other manner prescribed by the
Commissioner; and
(2) File the application on or before
the date prescribed for filing the return
with the Internal Revenue Service office
designated in the application’s
instructions.
(c) Termination of automatic
extension. The Commissioner may
terminate an automatic extension at any
time by mailing to the trust a notice of
termination at least 10 days prior to the
termination date designated in such
notice. The Commissioner must mail the
notice of termination to the address
shown on the Form 7004 or to the trust’s
last known address. For further
guidance regarding the definition of last
known address, see § 301.6212–2 of this
chapter.
(d) Penalties. See section 6677 for
failure to file information returns with
respect to certain foreign trusts.
(e) Effective dates. This section is
applicable for applications for an
automatic extension of time to file an
information return with respect to
certain foreign trusts listed in paragraph
(a) of this section filed after December
31, 2005. The applicability of this
section expires on November 4, 2008.
Mark E. Matthews,
Deputy Commissioner for Services and
Enforcement.
Approved: October 26, 2005.
Eric Solomon,
Acting Deputy Assistant Secretary (for Tax
Policy).
[FR Doc. 05–21981 Filed 11–4–05; 8:45 am]
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DEPARTMENT OF THE TREASURY
Fiscal Service
31 CFR Part 210
matthew.friend@fms.treas.gov; or
Natalie H. Diana, Senior Counsel, at
(202) 874–6680 or
natalie.diana@fms.treas.gov.
SUPPLEMENTARY INFORMATION:
RIN 1510–AB04
I. Background
Federal Government Participation in
the Automated Clearing House
Financial Management Service,
Fiscal Service, Treasury.
ACTION: Interim final rule with request
for comments.
AGENCY:
SUMMARY: This interim final rule
amends our regulation at 31 CFR part
210 (Part 210), which governs the use of
the Automated Clearing House (ACH)
system by Federal agencies. Part 210
adopts, with some exceptions, the ACH
Rules developed by NACHA—The
Electronic Payments Association
(NACHA) as the rules governing the use
of the ACH system by Federal agencies.
We are issuing this rule to address
changes that NACHA has made to the
ACH Rules since the publication of
NACHA’s 2003 rule book.
DATES: Comments on the interim final
rule are due January 6, 2006. This rule
is effective January 6, 2006. The
incorporation by reference of the
publication listed in the rule is
approved by the Director of the Federal
Register as of January 6, 2006.
ADDRESSES: You can download this
interim final rule at the following Web
site: https://www.fms.treas.gov/ach. You
may also inspect and copy this rule at:
Treasury Department Library, Freedom
of Information Act (FOIA) Collection,
Room 1428, Main Treasury Building,
1500 Pennsylvania Avenue, NW.,
Washington, DC 20220. Before visiting,
you must call (202) 622–0990 for an
appointment.
You can view Treasury’s procedural
guidelines for ACH payments in the
Green Book at the following Web site:
https://www.fms.treas.gov/greenbook.
You may also register at this Web site
for e-mail notification of updates to the
Green Book.
You may submit comments on the
rule by any of the following methods.
You may go to the Government-wide
rulemaking Web site https://
www.regulations.gov and follow the
instructions for sending your comments
electronically. Alternatively, you may
email your comments to FMS at 210
comments@fms.treas.gov. You may also
mail your comments to Matthew Friend,
Financial Management Service, 401
14th Street, SW., Room 401,
Washington, DC 20227.
FOR FURTHER INFORMATION CONTACT:
Matthew Friend, at (202) 874–1251 or
PO 00000
Frm 00026
Fmt 4700
Sfmt 4700
Part 210 governs the use of the ACH
system by Federal agencies. The ACH
system is a nationwide electronic fund
transfer (EFT) system that provides for
the inter-bank clearing of credit and
debit transactions and for the exchange
of information among participating
financial institutions. Part 210
incorporates the ACH Rules adopted by
NACHA, with certain exceptions. From
time to time we amend part 210 in order
to address changes that NACHA
periodically makes to the ACH Rules or
to revise the regulation as otherwise
appropriate.
We are issuing an interim final rule
amending part 210 to reflect certain
changes that NACHA has made to the
ACH Rules since the publication of
NACHA’s 2003 rule book. We are
publishing this interim final rule in
order to indicate which amendments to
the ACH Rules we are accepting and
which amendments we are rejecting.
II. Summary of Rule Changes
Since 2003, NACHA has published
two sets of changes to the ACH Rules.
The first set of changes was published
in NACHA’s 2004 rule book (2004 ACH
Rule Book), and the second set of
changes was published in NACHA’s
2005 rule book (2005 ACH Rule Book).
We are adopting all of the rule changes
except those relating to the audit
provisions of the ACH Rules, which we
have previously determined not to
incorporate in part 210. The rule
changes that we are adopting are largely
technical operational changes that will
have little or no impact on Federal
agencies’ use of the ACH system. For
example, the changes discussed below
to the title and description of Return
Reason Code R12 and the expansion of
the Automated Accounting Advice
Standard Entry Class code are changes
that we believe are beneficial to the
ACH system, but that do not
significantly affect the government’s use
of the ACH system. In addition, some
changes merely clarify existing
provisions of the ACH rules (such as the
addition of a warranty relating to
authentication of receivers of InternetInitiated Entries) or impose
requirements that do not affect or
change government ACH processes
(such as ACH Operator and Third Party
Processor requirements).
E:\FR\FM\07NOR1.SGM
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Agencies
[Federal Register Volume 70, Number 214 (Monday, November 7, 2005)]
[Rules and Regulations]
[Pages 67356-67364]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-21981]
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
26 CFR Parts 1, 25, 26, 53, 55, 156, 157, 301
[TD 9229]
RIN 1545-BE63
Extension of Time for Filing Returns
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Final and temporary regulations.
-----------------------------------------------------------------------
SUMMARY: This document contains final and temporary regulations
relating to the simplification of procedures for obtaining automatic
extensions of time to file certain returns. The portions of this
document that are final regulations provide necessary cross-references
to the temporary regulations. The temporary regulations allow
individual income taxpayers and certain other taxpayers to obtain an
automatic six-month extension of time to file certain returns by filing
a single request. For these returns, the temporary regulations also
remove the requirements for a signature and an explanation of the need
for an extension of time to file. The temporary regulations affect
taxpayers who are required to file certain returns and need an
extension of time to file. The text of the temporary regulations also
serves as the text of the proposed regulations set forth in the notice
of proposed rulemaking on this subject in the Proposed Rules section of
this issue of the Federal Register.
DATES: Effective Date: These regulations are effective November 7,
2005.
Applicability Dates: For dates of applicability of these
regulations, see Sec. Sec. 1.6081-2T(i), 1.6081-3T(e)(2), 1.6081-
4T(f), 1.6081-5T(g), 1.6081-6T(g), 1.6081-7T(g), 1.6081-10T(f), 1.6081-
11T(e), 25.6081-1T(f), 26.6081-1T(f), 53.6081-1T(f), 55.6081-1T(f),
156.6081-1T(f), 157.6081-1T(f), and 301.6081-2T(e).
FOR FURTHER INFORMATION CONTACT: Allen D. Madison, (202) 622-4940 (not
a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
This document contains amendments to 26 CFR parts 1, 25, 26, 53,
55, 156, 157, and 301 under section 6081 of the Internal Revenue Code.
Section 6081(a) provides that the Secretary may grant a reasonable
extension of time for filing any return, declaration, statement, or
other document required by Title 26 or by regulations. Except in the
case of taxpayers who are abroad, no such extension shall be for more
than six months. The regulations under section 6081 provide specific
rules taxpayers must follow to request an extension of time to file
Federal tax returns. A taxpayer must generally submit a written
application for the extension on or before the due date of the return.
An extension of time for filing a return does not extend the time for
payment of tax.
Explanation of Provisions
Rationale for Change
Currently, most taxpayers other than corporations can receive a
full six-month extension of time to file their income tax returns, but
to obtain the full six-month extension they must file one application
for an initial extension of time and then file a second application to
obtain an extension for the balance of the six months. For example,
individual income taxpayers request an initial four-month automatic
extension on one form and then use a second form to request a two-month
discretionary extension. Similarly, trusts and partnerships request an
initial three-month automatic extension on one form and then use a
second form to request a three-month discretionary extension. Requiring
these taxpayers to file two different forms to obtain the full six-
month extension creates an unnecessary burden on taxpayers and the IRS,
and it can cause unnecessary confusion.
To reduce the complexity of the current extension process, and to
provide cost savings and other benefits to taxpayers and the IRS, these
temporary regulations simplify the extension process by allowing
certain taxpayers to file a single request for an automatic six-month
extension of time to file certain returns. Because the extension is
automatic, these taxpayers do not need to sign the extension request or
provide an explanation of the reasons for requesting an extension.
Simplifying, consolidating, and standardizing extension forms will
reduce taxpayer burden and will also reduce taxpayer confusion and
error in filing the correct form. In addition, taxpayers will save
considerable time and expense by not having to complete and file a
second request to obtain the full six-month extension. This
simplification will also lower processing costs and facilitate
increased efficiency for the IRS. According to IRS research,
simplification of the extension process will save taxpayers between
$73-94 million annually and will save the IRS $4.6 million annually.
Individual Income Taxpayers
Currently, individual income taxpayers submit Form 4868
[[Page 67357]]
``Application for Automatic Extension of Time To File a U.S. Individual
Income Tax Return,'' for an initial four-month extension of time to
file an individual income tax return. The Form 4868 must be filed by
the original due date of the return. Taxpayers do not have to sign or
give a reason for the extension request. Taxpayers must, however,
provide a proper estimate of their tax liability.
Form 4868 does not extend the time for payment of tax. Although no
payment of tax is necessary in order to receive the extension,
penalties and interest may apply on any amounts that are not paid as of
the original due date of the return. Individual income taxpayers can
seek an additional two-month extension of time to file on Form 2688,
``Application for Additional Extension of Time To File U.S. Individual
Income Tax Return,'' which requires taxpayers to provide an explanation
of the need for an extension and must be signed under penalties of
perjury.
To reduce burden on taxpayers and the IRS, the temporary
regulations provide an automatic six-month extension to taxpayers who
must file an individual income tax return if they submit a timely,
completed application for extension on Form 4868. Taxpayers do not have
to sign the request or explain why an extension is needed in order to
receive the automatic six-month extension of time to file. An automatic
extension under the temporary regulations does not extend the time for
payment of tax. Accordingly, taxpayers must make a proper estimate of
any tax due. While no payment of tax is required in order to obtain the
extension, failure to pay any tax as of the original due date of the
return may subject the taxpayer to penalties and interest.
Corporate Income Taxpayers
These temporary regulations do not change the rules regarding
filing extensions for corporate income tax returns. Currently,
corporations may obtain an automatic six-month extension of time to
file their income tax returns by submitting Form 7004, ``Application
for Automatic Extension of Time To File Corporation Income Tax
Return.'' Corporations do not have to sign the extension request or
give a reason for their request. The Form 7004 does not extend the time
for payment of tax. Accordingly, corporations filing Form 7004 must
compute the total amount of their tentative tax and make a remittance
of any balance due. Although these regulations do not change the rules
regarding filing extensions for corporations, they do change the title
to and appearance of Form 7004. Taxpayers filing certain other types of
returns will now also use Form 7004 to request an automatic six-month
extension of time to file. The new Form 7004 will be titled
``Application for Automatic 6-Month Extension of Time to File Certain
Business Income Tax, Information, and Other Returns' and will apply to
a larger number of returns than the prior form.
Taxpayers Previously Filing Form 2758 to Request an Extension of Time
Under these regulations, taxpayers that previously requested
additional time to file certain excise, income, information, and other
returns by submitting Form 2758, ``Application for Extension of Time To
File Certain Excise, Income, Information, and Other Returns,'' may
request an automatic six-month extension of time to file by filing the
new Form 7004, ``Application for Automatic 6-Month Extension of Time to
File Certain Business Income Tax, Information, and Other Returns.''
Previously, these taxpayers filed Form 2758 in order to obtain a 90-day
extension. To obtain the extension, these taxpayers had to sign the
form and provide an explanation of the need for the extension. To
obtain additional time beyond the 90-day period, these taxpayers had to
file Form 2758 a second time, once again signing the request and
providing an explanation why the initial extension was not sufficient.
The total extension was capped at the statutory maximum of six months.
The Form 2758 has been obsoleted by these regulations.
Partnership, REMIC, and Certain Trust Taxpayers
Prior regulations required partnerships, real estate mortgage
investment conduits (REMICs) and certain trusts to request three-month
automatic extensions of time to file by submitting Form 8736,
``Application for Automatic Extension of Time to File U.S. Return for a
Partnership, REMIC, or for Certain Trusts.'' These entities could then
file a second request for an additional three-month extension of time
to file on Form 8800, ``Application for Additional Extension of Time to
File U.S. Return for a Partnership, REMIC, or for Certain Trusts.'' In
order to promote simplified extension procedures, the temporary
regulations allow these taxpayers to file an automatic six-month
extension of time to file on one application, the new Form 7004,
``Application for Automatic 6-Month Extension of Time to File Certain
Business Income Tax, Information, and Other Returns.'' These taxpayers
do not have to sign the Form 7004 or provide an explanation for their
request in order to receive the automatic six-month extension of time
to file. Forms 8736 and 8800 have been obsoleted by these regulations.
The six-month automatic extension of time to file set forth in
these temporary regulations applies to returns of pass-through
entities, e.g., Form 1065 for partnerships. The Treasury Department and
the IRS recognize that because the six-month automatic extension is
available for returns of pass-through entities, some taxpayers may not
receive information returns from the pass-through entities that they
need in order to complete their own income tax returns before those
returns are due. For example, an individual income taxpayer with a six-
month extension of time to October 15 to file the Form 1040 may not
receive a Schedule K-1 from a partnership in which the taxpayer holds
an interest until after the partnership files its Form 1065 on its
extended due date of October 15. Similarly, a C-corporation with a six-
month extension to September 15 to file its Form 1120 may not receive a
Schedule K-1 from a calendar year partnership in which it holds an
interest until 30 days after its return is due if the partnership files
its Form 1065 and sends out the Schedule K-1s on its extended due date
of October 15. This filing anomaly existed under prior regulations when
the pass-through entity received an extension of time to file to a date
on or after the extended due date for the pass-through interest holder,
but the automatic six-month extension in these regulations may cause
this to happen with more frequency.
Because of this filing anomaly, the availability of a six-month
extension of time to file for pass-through entities may result in
taxpayers filing an increased number of amended income tax returns.
Therefore, it may be appropriate for pass-through entities to have a
shorter extension period than their partners or shareholders. The
Treasury Department and the IRS request comments on whether a shorter
extension of time to file for pass-through entities might reduce
overall taxpayer burden. Please follow the instructions in the
``Comments and Public Hearing'' section in the notice of proposed
rulemaking accompanying these temporary regulations in this issue of
the Federal Register.
In order to minimize the burden that might be imposed as a result
of this filing anomaly, the Treasury Department and the IRS encourage
pass-through entities that request an extension of time
[[Page 67358]]
to file to minimize the impact that such extension might have on their
partners' or members' ability to timely file (with an extension) their
own tax returns.
Transition Rule
These temporary regulations are effective for applications for an
automatic extension of time to file certain returns filed after
December 31, 2005. Therefore, the temporary regulations apply to
applications for extension of time to file tax year 2005 returns. In
addition, these temporary regulations also apply to applications for
extension of time to file some tax year 2004 returns for certain fiscal
year taxpayers because these returns are due after December 31, 2005.
Although these fiscal year taxpayers should continue to use the tax
year 2004 extension forms, the IRS will grant a six-month extension of
time to file if an extension request made on one of these forms would
otherwise qualify under these temporary regulations, except for use of
the specified form.
Certain Employee Plan Returns
These temporary regulations also allow administrators and sponsors
of employee benefit plans subject to Employee Retirement Income
Security Act of 1974 (ERISA) to report information concerning the plans
and direct filing entities to use a new version of Form 5558,
``Application for Extension of Time To File Certain Employee Plan
Returns,'' for an automatic two and one-half-month extension of time to
file. Under these regulations, the Form 5558 no longer requires
taxpayers to provide an explanation of the need for the extension of
time to file or a signature.
Gift Tax Returns
Under section 6075(b)(2), individuals who make a transfer by gift
and who request an automatic extension of time to file the individual's
income tax return are deemed to have an extension of time to file the
return required by section 6019. The temporary regulations also allow
donors who do not request an extension of time to file an income tax
return to request an automatic six-month extension of time to file Form
709, ``United States Gift (and Generation-Skipping Transfer) Tax
Return'' by filing a new version of Form 8892, ``Payment of Gift/GST
Tax and/or Application for Extension of Time to File Form 709.'' Under
these regulations, the Form 8892 no longer requires an explanation of
the need for the extension of time to file or a signature.
Special Analyses
It has been determined that this Treasury decision is not a
significant regulatory action as defined in Executive Order 12866.
Therefore, a regulatory assessment is not required. It also has been
determined that section 553(b) of the Administrative Procedure Act (5
U.S.C. chapter 5) does not apply to these regulations. For the
applicability of the Regulatory Flexibility Act (5 U.S.C. chapter 6),
refer to the Special Analyses section of the preamble to the cross-
reference notice of proposed rulemaking published in the Proposed Rules
section of this issue of the Federal Register. Pursuant to section
7805(f) of the Internal Revenue Code, these temporary regulations will
be submitted to the Chief Counsel for Advocacy of the Small Business
Administration for comment on their impact on small businesses.
Drafting Information
The principal author of these regulations is Tracey B. Leibowitz of
the Office of the Associate Chief Counsel (Procedure and
Administration), Administrative Provisions and Judicial Practice
Division.
List of Subjects
26 CFR Part 1
Income taxes, Reporting and recordkeeping requirements.
26 CFR Part 25
Gift taxes, Reporting and recordkeeping requirements.
26 CFR Part 26
Generation-skipping transfer taxes, Reporting and recordkeeping
requirements.
26 CFR Part 53
Excise taxes, Foundations, Investments, Lobbying, Reporting and
recordkeeping requirements.
26 CFR Part 55
Excise taxes, Investments, Reporting and recordkeeping
requirements.
26 CFR Part 156
Excise taxes, Reporting and recordkeeping requirements.
26 CFR Part 157
Excise taxes, Reporting and recordkeeping requirements.
26 CFR Part 301
Employment taxes, Estate taxes, Excise taxes, Gift taxes, Income
taxes, Penalties, Reporting and recordkeeping requirements.
Amendments to the Regulations
0
Accordingly, 26 CFR parts 1, 25, 26, 53, 55, 156, 157, and 301 are
amended as follows:
PART 1--INCOME TAXES
0
Paragraph 1. The authority citation for part 1 is amended by removing
the entries for Sec. 1.6081-2, Sec. 1.6081-4, Sec. 1.6081-6, and
Sec. 1.6081-7 and adding entries in numerical order to read, in part,
as follows:
Authority: 26 U.S.C. 7805 * * *
Section 1.6081-2T also issued under 26 U.S.C. 6081.
Section 1.6081-4T also issued under 26 U.S.C. 6081.
Section 1.6081-6T also issued under 26 U.S.C. 6081.
Section 1.6081-7T also issued under 26 U.S.C. 6081.
Section 1.6081-10T also issued under 26 U.S.C. 6081.
Section 1.6081-11T also issued under 26 U.S.C. 6081. * * *
Sec. 1.6081-2 [Removed]
0
Par. 2. Section 1.6081-2 is removed.
0
Par. 3. Section 1.6081-2T is added to read as follows:
Sec. 1.6081-2T Automatic extension of time to file certain returns
filed by partnerships (temporary).
(a) In general. A partnership required to file Form 1065, ``U.S.
Partnership Return of Income,'' or Form 8804, ``Annual Return for
Partnership Withholding Tax,'' for any taxable year will be allowed an
automatic 6-month extension of time to file the return after the date
prescribed for filing the return if the partnership files an
application under this section in accordance with paragraph (b) of this
section. In the case of a partnership described in Sec. 1.6081-
5(a)(1), the automatic extension of time to file allowed under this
section runs concurrently with an extension of time to file granted
pursuant to Sec. 1.6081-5(a).
(b) Requirements. To satisfy this paragraph (b), the partnership
must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time to File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner;
(2) File the application on or before the later of--
(i) The date prescribed for filing the return of the partnership;
or
(ii) The expiration of any extension of time to file granted under
Sec. 1.6081-5(a); and
(3) File the application with the Internal Revenue Service office
[[Page 67359]]
designated in the application's instructions.
(c) Payment of section 7519 amount. An automatic extension of time
for filing a partnership return of income granted under paragraph (a)
of this section does not extend the time for payment of any amount due
under section 7519, relating to required payments for entities electing
not to have a required taxable year.
(d) Section 444 election. An automatic extension of time for filing
a partnership return of income will run concurrently with any extension
of time for filing a return allowed because of section 444, relating to
the election of a taxable year other than a required taxable year.
(e) Effect of extension on partner. An automatic extension of time
for filing a partnership return of income under this section does not
extend the time for filing a partner's income tax return or the time
for the payment of any tax due on a partner's income tax return.
(f) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the
partnership a notice of termination at least 10 days prior to the
termination date designated in such notice. The Commissioner must mail
the notice of termination to the address shown on the Form 7004 or to
the partnership's last known address. For further guidance regarding
the definition of last known address, see Sec. 301.6212-2 of this
chapter.
(g) Penalties. See section 6698 for failure to file a partnership
return.
(h) Effective dates. This section is applicable for applications
for an automatic extension of time to file the partnership returns
listed in paragraph (a) of this section filed after December 31, 2005.
The applicability of this section expires on November 4, 2008.
0
Par. 4. Section 1.6081-3 is amended by revising paragraphs (a)(1) and
(e).
Sec. 1.6081-3 Automatic extension of time for filing corporation
income tax returns.
(a) * * *
(1) [Reserved]. For guidance on the form to file to request a 6-
month extension of time to file corporation income tax returns after
December 31, 2005, see Sec. 1.6081-3T.
* * * * *
(e) For guidance on the applicability date of this section, see
Sec. 1.6081-3T.
0
Par. 5. Section 1.6081-3T is added to read as follows:
Sec. 1.6081-3T Automatic extension of time for filing corporation
income tax returns (temporary).
(a) [Reserved]. For further guidance, see Sec. 1.6081-3(a).
(1) An application must be submitted on Form 7004, ``Application
for Automatic 6-Month Extension of Time to File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner.
(a)(2) through (d) [Reserved]. For further guidance, see Sec.
1.6081-3(a)(2) through (d).
(e) Effective dates. (1) Except as provided in paragraph (e)(2) of
this section, this section applies to requests for extensions of time
to file corporation income tax returns due after December 7, 2004.
(2) Paragraph (a)(1) of this section applies to applications for an
automatic extension of time to file corporation income tax returns
filed after December 31, 2005. The applicability of this section
expires on November 4, 2008.
Sec. 1.6081-4 [Removed]
0
Par. 6. Section 1.6081-4 is removed.
0
Par. 7. Section 1.6081-4T is added to read as follows:
Sec. 1.6081-4T Automatic extension of time for filing individual
income tax return (temporary).
(a) In general. An individual who is required to file an individual
income tax return will be allowed an automatic 6-month extension of
time to file the return after the date prescribed for filing the return
if the individual files an application under this section in accordance
with paragraph (b) of this section. In the case of an individual
described in Sec. 1.6081-5(a)(5) or (6), the automatic 6-month
extension will run concurrently with the extension of time to file
granted pursuant to Sec. 1.6081-5.
(b) Requirements. To satisfy this paragraph (b), an individual
must--
(1) Submit a complete application on Form 4868, ``Application for
Automatic Extension of Time To File U.S Individual Income Tax Return,''
or in any other manner prescribed by the Commissioner;
(2) File the application on or before the later of--
(i) The date prescribed for filing the return; or
(ii) The expiration of any extension of time to file granted
pursuant to Sec. 1.6081-5;
(3) File the application with the Internal Revenue Service office
designated in the application's instructions; and
(4) Show on the application the full amount properly estimated as
tax for the taxable year.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the
individual a notice of termination at least 10 days prior to the
termination date designated in such notice. The Commissioner must mail
the notice of termination to the address shown on the Form 4868 or to
the individual's last known address. For further guidance regarding the
definition of last known address, see Sec. 301.6212-2 of this chapter.
(e) Penalties. See section 6651 for failure to file an individual
income tax return or failure to pay the amount shown as tax on the
return. In particular, see Sec. 301.6651-1(c)(3) of this chapter
(relating to a presumption of reasonable cause in certain circumstances
involving an automatic extension of time for filing an individual
income tax return).
(f) Effective dates. This section is applicable for applications
for an automatic extension of time to file an individual income tax
return filed after December 31, 2005. The applicability of this section
expires on November 4, 2008.
0
Par. 8. Section 1.6081-5 is amended by revising paragraph (b) to read
as follows:
Sec. 1.6081-5 Extensions of time in the case of certain partnerships,
corporations, and U.S. citizens and residents.
* * * * *
(b) [Reserved]. For guidance on how a person should demonstrate
that the person qualified for the extension in paragraph (a) of this
section after December 31, 2005, see Sec. 1.6081-5T.
* * * * *
0
Par. 9. Section 1.6081-5T is added to read as follows:
Sec. 1.6081-5T Extensions of time in the case of certain
partnerships, corporations, and U.S. citizens and residents
(temporary).
(a) [Reserved]. For further guidance, see Sec. 1.6081-5(a).
(b) In order to qualify for the extension under this section--
(1) A statement must be attached to the return showing that the
person for whom the return is made is a person described in paragraph
(a) of this section; or
(2) If a person described in paragraph (a) of this section requests
additional time to file, the person must request the extension on or
before the fifteenth day of the sixth month following the close of the
taxable year and check the appropriate box on Form 4868,
[[Page 67360]]
``Application for Automatic Extension of Time To File a U.S. Individual
Income Tax Return,'' or Form 7004, ``Application for Automatic 6-Month
Extension of Time To File Certain Business Income Tax, Information, and
Other Returns,'' whichever is applicable, or in any other manner
prescribed by the Commissioner.
(c) through (f) [Reserved]. For further guidance, see Sec. 1.6081-
5(c) through (f).
(g) Effective date. This section is applicable for applications for
an automatic extension of time to file returns of income for taxpayers
listed in paragraph (a) of this section filed after December 31, 2005.
The applicability of this section expires on November 4, 2008.
Sec. 1.6081-6 [Removed]
0
Par. 10. Section 1.6081-6 is removed.
0
Par. 11. Section 1.6081-6T is added to read as follows:
Sec. 1.6081-6T Automatic extension of time to file estate or trust
income tax return (temporary).
(a) In general. An estate or trust required to file an income tax
return on Form 1041, ``U.S. Income Tax Return for Estates and Trusts,''
will be allowed an automatic 6-month extension of time to file the
return after the date prescribed for filing the return if the estate or
trust files an application under this section in accordance with
paragraph (b) of this section.
(b) Requirements. To satisfy this paragraph (b), an estate or trust
must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time To File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner;
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions; and
(3) Show on the application the amount properly estimated as tax
for the estate or trust for the taxable year.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Effect of extension on beneficiary. An automatic extension of
time to file an estate or trust income tax return under this section
will not extend the time for filing the income tax return of a
beneficiary of the estate or trust or the time for the payment of any
tax due on the beneficiary's income tax return.
(e) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the estate
or trust a notice of termination at least 10 days prior to the
termination date designated in such notice. The Commissioner must mail
the notice of termination to the address shown on the Form 7004 or to
the estate or trust's last known address. For further guidance
regarding the definition of last known address, see Sec. 301.6212-2 of
this chapter.
(f) Penalties. See section 6651 for failure to file an estate or
trust income tax return or failure to pay the amount shown as tax on
the return.
(g) Effective dates. This section is applicable for applications
for an automatic extension of time to file an estate or trust income
tax return filed after December 31, 2005. The applicability of this
section expires on November 4, 2008.
Sec. 1.6081-7 [Removed]
0
Par. 12. Section 1.6081-7 is removed.
0
Par. 13. Section 1.6081-7T is added to read as follows:
Sec. 1.6081-7T Automatic extension of time to file Real Estate
Mortgage Investment Conduit (REMIC) income tax return (temporary).
(a) In general. A Real Estate Mortgage Investment Conduit (REMIC)
required to file an income tax return on Form 1066, ``U.S. Real Estate
Mortgage Investment Conduit Income Tax Return,'' or Form 8831, ``Excise
Tax on Excess Inclusions of REMIC Residual Interests,'' for any taxable
year will be allowed an automatic 6-month extension of time to file the
return after the date prescribed for filing the return if the REMIC
files an application under this section in accordance with paragraph
(b) of this section.
(b) Requirements. To satisfy this paragraph (b), a REMIC must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time To File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner;
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions; and
(3) Show on the application the full amount properly estimated as
tax for the REMIC for the taxable year.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Effect of extension on residual or regular interest holders. An
automatic extension of time to file a REMIC income tax return under
this section will not extend the time for filing the income tax return
of a residual or regular interest holder of the REMIC or the time for
the payment of any tax due on the residual or regular interest holder's
income tax return. An automatic extension will also not extend the time
for payment of any excise tax on excess inclusions of REMIC residual
interests.
(e) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the REMIC a
notice of termination at least 10 days prior to the termination date
designated in such notice. The Commissioner must mail the notice of
termination to the address shown on the Form 7004 or to the REMIC's
last known address. For further guidance regarding the definition of
last known address, see Sec. 301.6212-2 of this chapter.
(f) Penalties. See sections 6698 and 6651 for failure to file a
REMIC income tax return or failure to pay an amount shown as tax on the
return.
(g) Effective dates. This section is applicable for applications
for an automatic extension of time to file REMIC income and excise tax
returns listed in paragraph (a) of this section filed after December
31, 2005. The applicability of this section expires on November 4,
2008.
0
Par. 14. Section 1.6081-10T is added to read as follows:
Sec. 1.6081-10T Automatic extension of time to file withholding tax
return for U.S. source income of foreign persons (temporary).
(a) In general. A withholding agent or intermediary required to
file a return on Form 1042, ``Annual Withholding Tax Return for U.S.
Source Income of Foreign Persons,'' for any taxable year will be
allowed an automatic 6-month extension of time to file the return after
the date prescribed for filing the return if the withholding agent or
intermediary files an application under this section in accordance with
paragraph (b) of this section.
(b) Requirements. To satisfy this paragraph (b), a withholding
agent or intermediary must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time To File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner;
[[Page 67361]]
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions; and
(3) Remit the amount of the properly estimated unpaid tax liability
on or before the date prescribed for payment.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the
withholding agent or intermediary a notice of termination at least 10
days prior to the termination date designated in such notice. The
Commissioner must mail the notice of termination to the address shown
on the Form 7004 or to the withholding agent or intermediary's last
known address. For further guidance regarding the definition of last
known address, see Sec. 301.6212-2 of this chapter.
(e) Penalties. See section 6651 for failure to file a return or
failure to pay an amount shown as tax on the return.
(f) Effective dates. This section is applicable for applications
for an automatic extension of time to file the withholding tax return
for U.S. source income of foreign persons return filed after December
31, 2005. The applicability of this section expires on November 4,
2008.
0
Par. 15. Section 1.6081-11T is added to read as follows:
Sec. 1.6081-11T Automatic extension of time for filing certain
employee plan returns (temporary).
(a) In general. An administrator or sponsor of an employee benefit
plan required to file a return under the provisions of chapter 61 or
the regulations thereunder on Form 5500 (series), ``Annual Return/
Report of Employee Benefit Plan,'' will be allowed an automatic 2\1/2\-
month extension of time to file the return after the date prescribed
for filing the return if the administrator or sponsor files an
application under this section in accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this paragraph (b), an administrator
or sponsor must--
(1) Submit a complete application on Form 5558, ``Application for
Extension of Time To File Certain Employee Plan Returns,'' or in any
other manner as may be prescribed by the Commissioner; and
(2) File the application with the Internal Revenue Service office
designated in the application's instructions on or before the date
prescribed for filing the information return.
(c) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the
administrator or sponsor a notice of termination at least 10 days prior
to the termination date designated in such notice. The Commissioner
must mail the notice of termination to the address shown on the Form
5558 or to the administrator or sponsor's last known address. For
further guidance regarding the definition of last known address, see
Sec. 301.6212-2 of this chapter.
(d) Penalties. See sections 6652, 6692, and the Employee Retirement
Income Security Act of 1974 for penalties for failure to file a timely
and complete Form 5500.
(e) Effective dates. This section is applicable for applications
for an automatic extension of time to file Forms 5500 filed after
December 31, 2005. The applicability of this section expires on
November 4, 2008.
PART 25--GIFT TAX; GIFTS MADE AFTER DECEMBER 31, 1954
0
Par. 16. The authority citation for part 25 is amended by adding an
entry in numerical order to read, in part, as follows:
Authority: 26 U.S.C. 7805 * * *
Section 25.6081-1T also issued under the authority of 26 U.S.C.
6081(a). * * *
Sec. 25.6081-1 [Removed]
0
Par. 17. Section 25.6081-1 is removed.
0
Par. 18. Section 25.6081-1T is added to read as follows:
Sec. 25.6081-1T Automatic extension of time for filing gift tax
returns (temporary).
(a) In general. Under section 6075(b)(2), an automatic six-month
extension of time granted to a donor to file the donor's return of
income under Sec. 1.6081-4T shall be deemed to also be a six-month
extension of time granted to file a return on Form 709, ``United States
Gift (and Generation-Skipping Transfer) Tax Return.'' If a donor does
not obtain an extension of time to file the donor's return of income
under Sec. 1.6081-4T, the donor will be allowed an automatic 6-month
extension of time to file Form 709 after the date prescribed for filing
if the donor files an application under this section in accordance with
paragraph (b) of this section. In the case of an individual described
in Sec. 1.6081-5(a)(5) or (6), the automatic 6-month extension of time
to file Form 709 will run concurrently with the extension of time to
file granted pursuant to Sec. 1.6081-5.
(b) Requirements. To satisfy this paragraph (b), a donor must--
(1) Submit a complete application on Form 8892, ``Payment of Gift/
GST Tax and/or Application for Extension of Time To File Form 709,'' or
in any other manner prescribed by the Commissioner;
(2) File the application on or before the later of--
(i) The date prescribed for filing the return; or
(ii) The expiration of any extension of time to file granted
pursuant to Sec. 1.6081-5; and
(3) File the application with the Internal Revenue Service office
designated in the application's instructions.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Termination of automatic extension. The Commissioner may
terminate an extension at any time by mailing to the donor a notice of
termination at least 10 days prior to the termination date designated
in such notice. The Commissioner must mail the notice of termination to
the address shown on the Form 8892, or to the donor's last known
address. For further guidance regarding the definition of last known
address, see Sec. 301.6212-2 of this chapter.
(e) Penalties. See section 6651 for failure to file a gift tax
return or failure to pay the amount shown as tax on the return.
(f) Effective dates. This section is applicable for applications
for an extension of time to file Form 709 filed after December 31,
2005. The applicability of this section expires on November 4, 2008.
PART 26--GENERATION-SKIPPING TRANSFER TAX REGULATIONS UNDER THE TAX
REFORM ACT OF 1986
0
Par. 19. The authority citation for part 26 is amended by adding an
entry in numerical order to read, in part, as follows:
Authority: 26 U.S.C. 7805 * * *
Section 26.6081-1T also issued under the authority of 26 U.S.C.
6081(a).
Par. 20. Section 26.6081-1T is added to read as follows:
[[Page 67362]]
Sec. 26.6081-1T Automatic extension of time for filing generation-
skipping transfer tax returns (temporary).
(a) In general. A skip person distributee required to file a return
on Form 706-GS(D), ``Generation-Skipping Transfer Tax Return for
Distributions,'' or a trustee required to file a return on Form 706-
GS(T), ``Generation-Skipping Transfer Tax Return for Terminations,''
will be allowed an automatic 6-month extension of time to file the
return after the date prescribed for filing if the skip person
distributee or trustee files an application under this section in
accordance with paragraph (b) of this section.
(b) Requirements. To satisfy this paragraph (b), a skip person
distributee or trustee must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time to File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner;
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions; and
(3) Remit the amount of the properly estimated unpaid tax liability
on or before the date prescribed for payment.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the skip
person distributee or trustee a notice of termination at least 10 days
prior to the termination date designated in such notice. The
Commissioner must mail the notice of termination to the address shown
on the Form 7004 or to the skip person distributee or trustee's last
known address. For further guidance regarding the definition of last
known address, see Sec. 301.6212-2 of this chapter.
(e) Penalties. See section 6651 for failure to file a generation-
skipping transfer tax return or failure to pay the amount shown as tax
on the return.
(f) Effective dates. This section is effective for applications for
an automatic extension of time to file a generation-skipping transfer
tax return filed after December 31, 2005. The applicability of this
section expires on November 4, 2008.
PART 53--FOUNDATION AND SIMILAR EXCISE TAXES
0
Par. 21. The authority citation for part 53 is amended by adding an
entry in numerical order to read, in part, as follows:
Authority: 26 U.S.C. 7805 * * *
Section 53.6081-1T also issued under 26 U.S.C. 6081(a).
Sec. 53.6081-1 [Removed]
0
Par. 22. Section 53.6081-1 is removed.
0
Par. 23. Section 53.6081-1T is added to read as follows:
Sec. 53.6081-1T Automatic extension of time for filing the return to
report taxes due under section 4951 for self-dealing with a nuclear
decommissioning fund (temporary).
(a) In general. A disqualified person for purposes of section
4951(e)(4) who engaged in self-dealing with a Nuclear Decommissioning
Fund, and must report tax due under section 4951 on Form 1120-ND,
``Return for Nuclear Decommissioning Funds and Certain Related
Persons,'' will be allowed an automatic 6-month extension of time to
file the return after the date prescribed for filing the return if the
disqualified person files an application under this section in
accordance with paragraph (b) of this section. For guidance on
requesting an extension of time to file Form 1120-ND for purposes of
reporting contributions received, income earned, administrative
expenses of operating the fund, and the tax on modified gross income,
see Sec. 1.6081-3 of this chapter.
(b) Requirements. To satisfy this paragraph (b), a disqualified
person must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time to File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner;
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions; and
(3) Remit the amount of the properly estimated unpaid tax liability
on or before the date prescribed for payment.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the
disqualified person a notice of termination at least 10 days prior to
the termination date designated in such notice. The Commissioner must
mail the notice of termination to the address shown on the Form 7004 or
to the disqualified person's last known address. For further guidance
regarding the definition of last known address, see Sec. 301.6212-2 of
this chapter.
(e) Penalties. See section 6651 for failure to file or failure to
pay the amount shown as tax on the return.
(f) Effective dates. This section is applicable for applications
for an automatic extension of time to file a return to report taxes due
under section 4951 for self-dealing with a Nuclear Decommissioning Fund
filed after December 31, 2005. The applicability of this section
expires on November 4, 2008.
PART 55--EXCISE TAX ON REAL INVESTMENT TRUSTS AND REGULATED
INVESTMENT COMPANIES
0
Par. 24. The authority citation is amended by adding an entry in
numerical order to read, in part, as follows:
Authority: 26 U.S.C. 6001, 6011, 6071, 6091, and 7805 * * *
Section 55.6081-1T also issued under 26 U.S.C. 6081(a). * * *
Sec. 55.6081-1 [Removed]
0
Par. 25. Section 55.6081-1 is removed.
0
Par. 26. Section 55.6081-1T is added to read as follows:
Sec. 55.6081-1T Automatic extension of time for filing a return due
under Chapter 44 (temporary).
(a) In general. A Real Estate Investment Trust (REIT) required to
file a return on Form 8612, ``Return of Excise Tax on Undistributed
Income of Real Estate Investment Trusts,'' or a Regulated Investment
Company (RIC) required to file a return on Form 8613, ``Return of
Excise Tax on Undistributed Income of Regulated Investment Companies,''
will be allowed an automatic 6-month extension of time to file the
return after the date prescribed for filing the return if the REIT or
RIC files an application under this section in accordance with
paragraph (b) of this section.
(b) Requirements. To satisfy this paragraph (b), a REIC or RIC
must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time to File Certain Business Income
Tax, Information, and Other Returns,'' or in
[[Page 67363]]
any other manner prescribed by the Commissioner;
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions; and
(3) Remit the amount of the properly estimated unpaid tax liability
on or before the date prescribed for payment.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the REIT or
RIC a notice of termination at least 10 days prior to the termination
date designated in such notice. The Commissioner must mail the notice
of termination to the address shown on the Form 7004 or to the REIT or
RIC's last known address. For further guidance regarding the definition
of last known address, see Sec. 301.6212-2 of this chapter.
(e) Penalties. See section 6651 for failure to file or failure to
pay the amount shown as tax on the return.
(f) Effective dates. This section is applicable for applications
for an automatic extension of time to file a return due under chapter
44, filed after December 31, 2005. The applicability of this section
expires on November 4, 2008.
PART 156--EXCISE TAX ON GREENMAIL
0
Par. 27. The authority citation is amended by adding an entry in
numerical order to read, in part, as follows:
Authority: 26 U.S.C. 6001, 6011, 6061, 6071, 6091, 6161, and
7805 * * *
Section 156.6081-1T also issued under 26 U.S.C. 6081(a). * * *
Sec. 156.6081-1 [Removed]
0
Par. 28. Section 156.6081-1 is removed.
0
Par. 29. Section 156.6081-1T is added to read as follows:
Sec. 156.6081-1T Automatic extension of time for filing a return due
under chapter 54 (temporary).
(a) In general. A taxpayer required to file a return on Form 8725,
``Excise Tax on Greenmail,'' will be allowed an automatic 6-month
extension of time to file the return after the date prescribed for
filing the return if the taxpayer files an application under this
section in accordance with paragraph (b) of this section.
(b) Requirements. To satisfy this paragraph (b), a taxpayer must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time to File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner;
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions; and
(3) Remit the amount of the properly estimated unpaid tax liability
on or before the date prescribed for payment.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the taxpayer
a notice of termination at least 10 days prior to the termination date
designated in such notice. The Commissioner must mail the notice of
termination to the address shown on the Form 7004 or to the taxpayer's
last known address. For further guidance regarding the definition of
last known address, see Sec. 301.6212-2 of this chapter.
(e) Penalties. See section 6651 for failure to file or failure to
pay the amount shown as tax on the return.
(f) Effective dates. This section is applicable for applications
for an automatic extension of time to file a return due under chapter
54, filed after December 31, 2005. The applicability of this section
expires on November 4, 2008.
PART 157--EXCISE TAX ON STRUCTURED SETTLEMENT FACTORING
TRANSACTIONS
0
Par. 30. The authority citation is amended by adding an entry in
numerical order to read, in part, as follows:
Authority: 26 U.S.C. 7805 * * *
Section 157.6081-1T also issued under 26 U.S.C. 6081(a). * * *
Sec. 157.6081-1 [Removed]
0
Par. 31. Section 157.6081-1 is removed.
0
Par. 32. Section 157.6081-1T is added to read as follows:
Sec. 157.6081-1T Automatic extension of time for filing a return due
under chapter 55 (temporary).
(a) In general. A taxpayer required to file a return on Form 8876,
``Excise Tax on Structured Settlement Factoring Transactions,'' will be
allowed an automatic 6-month extension of time to file the return after
the date prescribed for filing the return if the taxpayer files an
application under this section in accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this paragraph (b), the taxpayer
must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time to File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner;
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions; and
(3) Remit the amount of the properly estimated unpaid tax liability
on or before the date prescribed for payment.
(c) No extension of time for the payment of tax. An automatic
extension of time for filing a return granted under paragraph (a) of
this section will not extend the time for payment of any tax due on
such return.
(d) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the taxpayer
a notice of termination at least 10 days prior to the termination date
designated in such notice. The Commissioner must mail the notice of
termination to the address shown on the Form 7004 or to the taxpayer's
last known address. For further guidance regarding the definition of
last known address, see Sec. 301.6212-2 of this chapter.
(e) Penalties. See section 6651 for failure to file or failure to
pay the amount shown as tax on the return.
(f) Effective dates. This section is applicable for applications
for an automatic extension of time to file a return due under chapter
55, filed after December 31, 2005. The applicability of this section
expires on November 4, 2008.
PART 301--PROCEDURE AND ADMINISTRATION
0
Par. 33. The authority citation is amended by adding an entry in
numerical order to read, in part, as follows:
Authority: 26 U.S.C. 7805 * * *
Section 301.6081-2T also issued under 26 U.S.C. 6081(a). * * *
0
Par. 34. Section 301.6081-2T is added to read as follows:
[[Page 67364]]
Sec. 301.6081-2T Automatic extension of time for filing an
information return with respect to certain foreign trusts (temporary).
(a) In general. A trust required to file a return on Form 3520-A,
``Annual Information Return of Foreign Trust with a U.S. Owner,'' will
be allowed an automatic 6-month extension of time to file the return
after the date prescribed for filing the return if the trust files an
application under this section in accordance with paragraph (b) of this
section.
(b) Requirements. To satisfy this paragraph (b), a trust must--
(1) Submit a complete application on Form 7004, ``Application for
Automatic 6-Month Extension of Time to File Certain Business Income
Tax, Information, and Other Returns,'' or in any other manner
prescribed by the Commissioner; and
(2) File the application on or before the date prescribed for
filing the return with the Internal Revenue Service office designated
in the application's instructions.
(c) Termination of automatic extension. The Commissioner may
terminate an automatic extension at any time by mailing to the trust a
notice of termination at least 10 days prior to the termination date
designated in such notice. The Commissioner must mail the notice of
termination to the address shown on the Form 7004 or to the trust's
last known address. For further guidance regarding the definition of
last known address, see Sec. 301.6212-2 of this chapter.
(d) Penalties. See section 6677 for failure to file information
returns with respect to certain foreign trusts.
(e) Effective dates. This section is applicable for applications
for an automatic extension of time to file an information return with
respect to certain foreign trusts listed in paragraph (a) of this
section filed after December 31, 2005. The applicability of this
section expires on November 4, 2008.
Mark E. Matthews,
Deputy Commissioner for Services and Enforcement.
Approved: October 26, 2005.
Eric Solomon,
Acting Deputy Assistant Secretary (for Tax Policy).
[FR Doc. 05-21981 Filed 11-4-05; 8:45 am]
BILLING CODE 4830-01-P