Amendments to the Section 7216 Regulations-Disclosure or Use of Information by Preparers of Returns, 76216-76217 [E8-29770]
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Federal Register / Vol. 73, No. 242 / Tuesday, December 16, 2008 / Rules and Regulations
Title 49 of the United States Code.
Subtitle I, Section 106 describes the
authority of the FAA Administrator.
Subtitle VII, Aviation Programs,
describes in more detail the scope of the
agency’s authority.
This rulemaking is promulgated
under the authority described in
Subtitle VII, Part A, Subpart I, Section
40103. Under that section, the FAA is
charged with prescribing regulations to
assign the use of the airspace necessary
to ensure the safety of aircraft and the
efficient use of airspace. This regulation
is within the scope of that authority as
it amends restricted areas in Nevada.
Environmental Review
The FAA has determined that this
action qualifies for categorical exclusion
under the National Environmental
Policy Act in accordance with 311d.,
FAA Order 1050.1E, ‘‘Environmental
Impacts: Policies and Procedures.’’ This
airspace action is not expected to cause
any potentially significant
environmental impacts, and no
extraordinary circumstances exist that
warrant preparation of an
environmental assessment.
List of Subjects in 14 CFR Part 73
Airspace, Prohibited areas, Restricted
areas.
Adoption of the Amendment
In consideration of the foregoing, the
Federal Aviation Administration
amends 14 CFR part 73 as follows:
■
PART 73—SPECIAL USE AIRSPACE
1. The authority citation for part 73
continues to read as follows:
■
Authority: 49 U.S.C. 106(g), 40103, 40113,
40120; E.O. 10854, 24 FR 9565, 3 CFR, 1959–
1963 Comp., p. 389.
§ 73.48
[Amended]
2. § 73.48 is amended as follows:
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■
R–4806W Las Vegas, NV [Amended]
Under Using agency, remove the words
‘‘U.S. Air Force, Commander, Tactical
Fighter Weapons Center, Nellis AFB, NV.,’’
and insert the words ‘‘USAF Warfare Center,
Nellis AFB, NV’’
mstockstill on PROD1PC66 with RULES_2
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R–4807A Tonopah, NV [Amended]
Under Using agency, remove the words
‘‘U.S. Air Force, Commander, Tactical
Fighter Weapons Center, Nellis AFB, NV.,’’
and insert the words ‘‘USAF Warfare Center,
Nellis AFB, NV’’
*
*
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*
R–4807B Tonopah, NV [Amended]
Under Using agency, remove the words
‘‘U.S. Air Force, Commander, Tactical
VerDate Aug<31>2005
15:59 Dec 15, 2008
Jkt 217001
Fighter Weapons Center, Nellis AFB, NV.,’’
and insert the words ‘‘USAF Warfare Center,
Nellis AFB, NV’’
*
*
*
*
*
R–4809 Tonopah, NV [Amended]
Under Using agency, remove the words
‘‘U.S. Air Force, Commander, Tactical
Fighter Weapons Center, Nellis AFB, NV.,’’
and insert the words ‘‘USAF Warfare Center,
Nellis AFB, NV’’
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Issued in Washington, DC, on December 8,
2008.
Edith V. Parish,
Manager, Airspace and Rules Group.
[FR Doc. E8–29754 Filed 12–15–08; 8:45 am]
BILLING CODE 4910–13–P
DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 301
[TD 9437]
RIN 1545–BI00
Amendments to the Section 7216
Regulations—Disclosure or Use of
Information by Preparers of Returns
AGENCY: Internal Revenue Service (IRS),
Treasury.
ACTION: Final and removal of temporary
regulations.
SUMMARY: This document contains final
regulations that provide rules relating to
the disclosure and use of tax return
information by tax return preparers.
These regulations affect tax return
preparers and provide updated guidance
regarding the disclosure of a taxpayer’s
social security number to a tax return
preparer located outside of the United
States.
DATES: Effective Date: These regulations
are effective on December 16, 2008.
Applicability Date: See § 301.7216–
3(d), which states that the regulations
apply to disclosures or uses of tax return
information occurring on or after
January 1, 2009.
FOR FURTHER INFORMATION CONTACT:
Molly K. Donnelly, (202) 622–4940 (not
a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
This document amends 26 CFR part
301. On December 8, 2005, the Treasury
Department and the IRS published a
notice of proposed rulemaking (REG–
137243–02) in the Federal Register (70
FR 72954) proposing amendments to the
regulations under section 7216
(regarding the use or disclosure of tax
PO 00000
Frm 00026
Fmt 4700
Sfmt 4700
return information by income tax return
preparers). On January 3, 2008, the
Treasury Department and the IRS issued
final regulations under section 7216 (TD
9375) applicable to disclosures or uses
of tax return information occurring on
or after January 1, 2009. Thus, TD 9375
replaced previously issued final
regulations that remain applicable to
disclosures or uses of tax return
information occurring prior to January
1, 2009.
TD 9375 included a revision of
§ 301.7216–3(b)(4) which, for
disclosures and uses of tax return
information occurring on or after
January 1, 2009, provided that an
income tax return preparer located in
the United States may not disclose the
taxpayer’s social security number (SSN)
to a tax return preparer located outside
of the United States even if the taxpayer
consents to the disclosure.
On July 1, 2008, a temporary
regulation (TD 9409) was published in
the Federal Register (73 FR 37804) that
created a limited exception to the rule
prohibiting the disclosure of a
taxpayer’s SSN outside of the United
States. This temporary regulation
modified the rules under § 301.7216–
3(b)(4). A notice of proposed rulemaking
(REG–121698–08) cross-referencing the
temporary regulations was published in
the Federal Register for the same day
(73 FR 37910), requesting comments
and setting a public hearing date.
Summary of Comments and
Explanation of Revisions
The IRS and the Treasury Department
requested written or electronic
comments by September 30, 2008.
Persons wishing to present oral
comments at the public hearing
scheduled for October 6, 2008, were to
submit an outline of the topics to be
discussed at the hearing by September
15, 2008, and written or electronic
comments by September 30, 2008. No
written or electronic comments or
requests to speak at the hearing, together
with the required outline of topics, were
submitted, and the hearing was
cancelled (73 FR 56534).
The final regulations adopt the rules
published in the proposed regulations
without substantial change. The final
regulations maintain the general rule in
§ 301.7216–3(b)(4) providing that an
income tax return preparer located in
the United States may not disclose the
taxpayer’s SSN to a tax return preparer
located outside of the United States
even if the taxpayer consents to the
disclosure. The final regulations create
a limited exception to the general rule
providing that a tax return preparer
located within the United States,
E:\FR\FM\16DER1.SGM
16DER1
Federal Register / Vol. 73, No. 242 / Tuesday, December 16, 2008 / Rules and Regulations
including any territory or possession of
the United States, may obtain consent to
disclose the taxpayer’s SSN to a tax
return preparer located outside of the
United States or any territory or
possession of the United States only if
the tax return preparer discloses the
SSN through the use of an adequate
protection safeguard as described in
guidance published in the Internal
Revenue Bulletin and verifies the
maintenance of the adequate data
protection safeguards in the request for
the taxpayer’s consent pursuant to the
specifications described in guidance
published in the Internal Revenue
Bulletin.
The rules adopted in the final
regulations are substantially identical to
those proposed in the notice of
proposed rulemaking with the exception
that § 301.7216–3T(d), which set forth
the effective date for the rules contained
in the temporary regulations, was
removed and not adopted in the final
regulations because the identical
effective date is currently set forth in
§ 301.7216–3(d). In addition, minor and
non-substantive edits were made to
provide grammatical consistency and
clarity throughout the regulations.
Additional guidance regarding the
adequate data protection safeguard set
forth in the regulations may be found in
Revenue Procedure 2008–35, 2008–29
I.R.B. 132. See § 601.601(d)(2)(ii)(b).
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, and because the
regulations do not impose a collection
of information on small entities, the
Regulatory Flexibility Act (5 U.S.C.
chapter 6) does not apply. Pursuant to
section 7805(f) of the Internal Revenue
Code, the notice of proposed rulemaking
preceding these regulations were
submitted to the Chief Counsel for
Advocacy of the Small Business
Administration for comment on their
impact on small business.
mstockstill on PROD1PC66 with RULES_2
Drafting Information
The principal author of these
regulations is Molly K. Donnelly, Office
of the Associate Chief Counsel
(Procedure and Administration).
List of Subjects in 26 CFR Part 301
Employment taxes, Estate taxes,
Excise taxes, Gift taxes, Income taxes,
VerDate Aug<31>2005
15:59 Dec 15, 2008
Jkt 217001
Penalties, Reporting and recordkeeping
requirements.
Adoption of Amendments to the
Regulations
Accordingly, 26 CFR part 301 is
amended as follows:
■
PART 301—PROCEDURE AND
ADMINISTRATION
Paragraph 1. The authority citation
for part 301 continues to read in part as
follows:
■
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 301.7216–3 is
amended by revising paragraph (b)(4) to
read as follows:
■
§ 301.7216–3 Disclosure or use permitted
only with the taxpayer’s consent.
*
*
*
*
*
(b) * * *
(4) No consent to the disclosure of a
taxpayer’s social security number to a
return preparer outside of the United
States with respect to a taxpayer filing
a return in the Form 1040 Series—(i) In
general. Except as provided in
paragraph (b)(4)(ii) of this section, a tax
return preparer located within the
United States, including any territory or
possession of the United States, may not
obtain consent to disclose the taxpayer’s
social security number (SSN) with
respect to a taxpayer filing a return in
the Form 1040 Series, for example,
Form 1040, Form 1040NR, Form 1040A,
or Form 1040EZ, to a tax return preparer
located outside of the United States or
any territory or possession of the United
States. Thus, if a tax return preparer
located within the United States
(including any territory or possession of
the United States) obtains consent from
an individual taxpayer to disclose tax
return information to another tax return
preparer located outside of the United
States, as provided under §§ 301.7216–
2(c) and 301.7216–2(d), the tax return
preparer located in the United States
may not disclose the taxpayer’s SSN,
and the tax return preparer must redact
or otherwise mask the taxpayer’s SSN
before the tax return information is
disclosed outside of the United States.
If a tax return preparer located within
the United States initially receives or
obtains a taxpayer’s SSN from another
tax return preparer located outside of
the United States, however, the tax
return preparer within the United States
may, without consent, retransmit the
taxpayer’s SSN to the tax return
preparer located outside the United
States that initially provided the SSN to
the tax return preparer located within
the United States. For purposes of this
section, a tax return preparer located
PO 00000
Frm 00027
Fmt 4700
Sfmt 4700
76217
outside of the United States does not
include a tax return preparer who is
continuously and regularly employed in
the United States or any territory or
possession of the United States and who
is in a temporary travel status outside of
the United States.
(ii) Exception. A tax return preparer
located within the United States,
including any territory or possession of
the United States, may obtain consent to
disclose the taxpayer’s SSN to a tax
return preparer located outside of the
United States or any territory or
possession of the United States only if
the tax return preparer within the
United States discloses the SSN to a tax
return preparer outside of the United
States through the use of an adequate
data protection safeguard as defined by
the Secretary in guidance published in
the Internal Revenue Bulletin (see
§ 601.601(d)(2)(ii)(b) of this chapter) and
verifies the maintenance of the adequate
data protection safeguards in the request
for the taxpayer’s consent pursuant to
the specifications described by the
Secretary in guidance published in the
Internal Revenue Bulletin.
*
*
*
*
*
§ 301.7216–3T
[Removed]
Par. 3. Section 301.7216–3T is
removed.
■
Linda E. Stiff,
Deputy Commissioner for Services and
Enforcement.
Approved: December 10, 2008.
Eric Solomon,
Assistant Secretary of the Treasury (Tax
Policy).
[FR Doc. E8–29770 Filed 12–15–08; 8:45 am]
BILLING CODE 4830–01–P
DEPARTMENT OF HOMELAND
SECURITY
Coast Guard
33 CFR Part 117
[Docket No. USCG–2008–0100]
RIN 1625–AA09
Drawbridge Operation Regulations;
Wabash River; Activity Identifier;
Permanent Change to Operating
Schedule
Coast Guard, DHS.
Final rule.
AGENCY:
ACTION:
SUMMARY: The Coast Guard moves that
the procedures for Operation of
Drawbridges across the Wabash River be
revised to reflect the needs of
navigation. There were no comments or
E:\FR\FM\16DER1.SGM
16DER1
]]>Agencies
[Federal Register Volume 73, Number 242 (Tuesday, December 16, 2008)]
[Rules and Regulations]
[Pages 76216-76217]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-29770]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 301
[TD 9437]
RIN 1545-BI00
Amendments to the Section 7216 Regulations--Disclosure or Use of
Information by Preparers of Returns
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Final and removal of temporary regulations.
-----------------------------------------------------------------------
SUMMARY: This document contains final regulations that provide rules
relating to the disclosure and use of tax return information by tax
return preparers. These regulations affect tax return preparers and
provide updated guidance regarding the disclosure of a taxpayer's
social security number to a tax return preparer located outside of the
United States.
DATES: Effective Date: These regulations are effective on December 16,
2008.
Applicability Date: See Sec. 301.7216-3(d), which states that the
regulations apply to disclosures or uses of tax return information
occurring on or after January 1, 2009.
FOR FURTHER INFORMATION CONTACT: Molly K. Donnelly, (202) 622-4940 (not
a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
This document amends 26 CFR part 301. On December 8, 2005, the
Treasury Department and the IRS published a notice of proposed
rulemaking (REG-137243-02) in the Federal Register (70 FR 72954)
proposing amendments to the regulations under section 7216 (regarding
the use or disclosure of tax return information by income tax return
preparers). On January 3, 2008, the Treasury Department and the IRS
issued final regulations under section 7216 (TD 9375) applicable to
disclosures or uses of tax return information occurring on or after
January 1, 2009. Thus, TD 9375 replaced previously issued final
regulations that remain applicable to disclosures or uses of tax return
information occurring prior to January 1, 2009.
TD 9375 included a revision of Sec. 301.7216-3(b)(4) which, for
disclosures and uses of tax return information occurring on or after
January 1, 2009, provided that an income tax return preparer located in
the United States may not disclose the taxpayer's social security
number (SSN) to a tax return preparer located outside of the United
States even if the taxpayer consents to the disclosure.
On July 1, 2008, a temporary regulation (TD 9409) was published in
the Federal Register (73 FR 37804) that created a limited exception to
the rule prohibiting the disclosure of a taxpayer's SSN outside of the
United States. This temporary regulation modified the rules under Sec.
301.7216-3(b)(4). A notice of proposed rulemaking (REG-121698-08)
cross-referencing the temporary regulations was published in the
Federal Register for the same day (73 FR 37910), requesting comments
and setting a public hearing date.
Summary of Comments and Explanation of Revisions
The IRS and the Treasury Department requested written or electronic
comments by September 30, 2008. Persons wishing to present oral
comments at the public hearing scheduled for October 6, 2008, were to
submit an outline of the topics to be discussed at the hearing by
September 15, 2008, and written or electronic comments by September 30,
2008. No written or electronic comments or requests to speak at the
hearing, together with the required outline of topics, were submitted,
and the hearing was cancelled (73 FR 56534).
The final regulations adopt the rules published in the proposed
regulations without substantial change. The final regulations maintain
the general rule in Sec. 301.7216-3(b)(4) providing that an income tax
return preparer located in the United States may not disclose the
taxpayer's SSN to a tax return preparer located outside of the United
States even if the taxpayer consents to the disclosure. The final
regulations create a limited exception to the general rule providing
that a tax return preparer located within the United States,
[[Page 76217]]
including any territory or possession of the United States, may obtain
consent to disclose the taxpayer's SSN to a tax return preparer located
outside of the United States or any territory or possession of the
United States only if the tax return preparer discloses the SSN through
the use of an adequate protection safeguard as described in guidance
published in the Internal Revenue Bulletin and verifies the maintenance
of the adequate data protection safeguards in the request for the
taxpayer's consent pursuant to the specifications described in guidance
published in the Internal Revenue Bulletin.
The rules adopted in the final regulations are substantially
identical to those proposed in the notice of proposed rulemaking with
the exception that Sec. 301.7216-3T(d), which set forth the effective
date for the rules contained in the temporary regulations, was removed
and not adopted in the final regulations because the identical
effective date is currently set forth in Sec. 301.7216-3(d). In
addition, minor and non-substantive edits were made to provide
grammatical consistency and clarity throughout the regulations.
Additional guidance regarding the adequate data protection safeguard
set forth in the regulations may be found in Revenue Procedure 2008-35,
2008-29 I.R.B. 132. See Sec. 601.601(d)(2)(ii)(b).
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, and because the
regulations do not impose a collection of information on small
entities, the Regulatory Flexibility Act (5 U.S.C. chapter 6) does not
apply. Pursuant to section 7805(f) of the Internal Revenue Code, the
notice of proposed rulemaking preceding these regulations were
submitted to the Chief Counsel for Advocacy of the Small Business
Administration for comment on their impact on small business.
Drafting Information
The principal author of these regulations is Molly K. Donnelly,
Office of the Associate Chief Counsel (Procedure and Administration).
List of Subjects in 26 CFR Part 301
Employment taxes, Estate taxes, Excise taxes, Gift taxes, Income
taxes, Penalties, Reporting and recordkeeping requirements.
Adoption of Amendments to the Regulations
0
Accordingly, 26 CFR part 301 is amended as follows:
PART 301--PROCEDURE AND ADMINISTRATION
0
Paragraph 1. The authority citation for part 301 continues to read in
part as follows:
Authority: 26 U.S.C. 7805 * * *
0
Par. 2. Section 301.7216-3 is amended by revising paragraph (b)(4) to
read as follows:
Sec. 301.7216-3 Disclosure or use permitted only with the taxpayer's
consent.
* * * * *
(b) * * *
(4) No consent to the disclosure of a taxpayer's social security
number to a return preparer outside of the United States with respect
to a taxpayer filing a return in the Form 1040 Series--(i) In general.
Except as provided in paragraph (b)(4)(ii) of this section, a tax
return preparer located within the United States, including any
territory or possession of the United States, may not obtain consent to
disclose the taxpayer's social security number (SSN) with respect to a
taxpayer filing a return in the Form 1040 Series, for example, Form
1040, Form 1040NR, Form 1040A, or Form 1040EZ, to a tax return preparer
located outside of the United States or any territory or possession of
the United States. Thus, if a tax return preparer located within the
United States (including any territory or possession of the United
States) obtains consent from an individual taxpayer to disclose tax
return information to another tax return preparer located outside of
the United States, as provided under Sec. Sec. 301.7216-2(c) and
301.7216-2(d), the tax return preparer located in the United States may
not disclose the taxpayer's SSN, and the tax return preparer must
redact or otherwise mask the taxpayer's SSN before the tax return
information is disclosed outside of the United States. If a tax return
preparer located within the United States initially receives or obtains
a taxpayer's SSN from another tax return preparer located outside of
the United States, however, the tax return preparer within the United
States may, without consent, retransmit the taxpayer's SSN to the tax
return preparer located outside the United States that initially
provided the SSN to the tax return preparer located within the United
States. For purposes of this section, a tax return preparer located
outside of the United States does not include a tax return preparer who
is continuously and regularly employed in the United States or any
territory or possession of the United States and who is in a temporary
travel status outside of the United States.
(ii) Exception. A tax return preparer located within the United
States, including any territory or possession of the United States, may
obtain consent to disclose the taxpayer's SSN to a tax return preparer
located outside of the United States or any territory or possession of
the United States only if the tax return preparer within the United
States discloses the SSN to a tax return preparer outside of the United
States through the use of an adequate data protection safeguard as
defined by the Secretary in guidance published in the Internal Revenue
Bulletin (see Sec. 601.601(d)(2)(ii)(b) of this chapter) and verifies
the maintenance of the adequate data protection safeguards in the
request for the taxpayer's consent pursuant to the specifications
described by the Secretary in guidance published in the Internal
Revenue Bulletin.
* * * * *
Sec. 301.7216-3T [Removed]
0
Par. 3. Section 301.7216-3T is removed.
Linda E. Stiff,
Deputy Commissioner for Services and Enforcement.
Approved: December 10, 2008.
Eric Solomon,
Assistant Secretary of the Treasury (Tax Policy).
[FR Doc. E8-29770 Filed 12-15-08; 8:45 am]
BILLING CODE 4830-01-P
