Disclosures of Return Information Reflected on Returns to Officers and Employees of the Department of Commerce for Certain Statistical Purposes and Related Activities, 52856-52857 [2013-21006]
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Federal Register / Vol. 78, No. 166 / Tuesday, August 27, 2013 / Rules and Regulations
34.4%. Based on a reliable calculation of
discount rates applicable to the anticipated
income streams of uncontrolled companies
whose resources, capabilities, and rights
consist primarily of software applications
intangibles and research and development
teams similar to USP’s platform contributions
to the CSA, and which income streams,
accordingly, may be reasonably anticipated
to reflect a similar risk profile to the
differential income stream, the Commissioner
concludes that an appropriate discount rate
for the anticipated income stream associated
with USP’s platform contributions (that is,
the additional positive or negative income
over the duration of the CSA Activity that
would result, before PCT Payments, from
switching from the licensing alternative to
the cost sharing alternative) is 16%, which is
significantly less than 34.4%. This
conclusion further suggests that Taxpayer’s
analysis is unreliable. See paragraphs
(g)(2)(v)(B)(2) and (g)(4)(vi)(F)(1) and (2) of
this section.
(iii) The Commissioner makes an
adjustment of $296 million, so that the
present value of the PCT Payments is $442
million (the median results as shown in
column 6 of Example 2).
Example 9. The facts are the same as in
Example 1, except that additional data on
discount rates are available that were not
available in Example 1. The Commissioner
determines the arm’s length charge for the
PCT Payment by discounting at an
appropriate rate the differential income
stream associated with the rights contributed
by USP in the PCT (that is, the stream of
income in column (11) of Example 1). Based
on an analysis of a set of public companies
whose resources, capabilities, and rights
consist primarily of resources, capabilities,
and rights similar to those contributed by
USP in the PCT, the Commissioner
determines that 15% to 17% is an
appropriate range of discount rates to use to
assess the value of the differential income
stream associated with the rights contributed
by USP in the PCT. The Commissioner
determines that applying a discount rate of
17% to the differential income stream
associated with the rights contributed by USP
in the PCT yields a present value of $446
million, while applying a discount rate of
15% to the differential income stream
associated with the rights contributed by USP
in the PCT yields a present value of $510
million. Because the taxpayer’s result, $464
million, is within the interquartile range
determined by the Commissioner, no
adjustments are warranted. See paragraphs
(g)(2)(v)(B)(2), (g)(4)(v), and (g)(4)(vi)(F)(1) of
this section.
pmangrum on DSK3VPTVN1PROD with RULES
*
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*
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(l) Effective/applicability dates.
Except as otherwise provided in this
paragraph (l), this section applies on
December 16, 2011. Paragraphs
(g)(2)(v)(B)(2), (g)(4)(vi)(F)(2), and
(g)(4)(viii), Example 8 of this section
apply to taxable years beginning on or
after December 19, 2011. Paragraphs
(g)(4)(v) and (g)(4)(viii), Example 9
VerDate Mar<15>2010
13:33 Aug 26, 2013
Jkt 229001
apply to taxable years beginning on or
after August 27, 2013.
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Background
officers and employees of the Bureau for
the purpose of, but only to the extent
necessary in, the structuring of censuses
and conducting related statistical
activities authorized by law. Section
301.6103(j)(1)–1 of the existing
regulations further defines such
purposes by reference to 13 U.S.C.
chapter 5 and provides an itemized
description of the return information
authorized to be disclosed for such
purposes.
By letter dated July 24, 2009, the
Secretary of Commerce requested that
additional items of return information
be disclosed to the Bureau for purposes
of allowing the Bureau to study a
developing trend of increased use of
contract workers. Specifically, the
Secretary of Commerce requested
disclosure of the following additional
items: (1) Total number of documents
reported on Form 1096 transmitting
Forms 1099–MISC and (2) total amount
reported on Form 1096 transmitting
Forms 1099–MISC.
Section 301.6103(j)(1)–1 of the
regulations formerly permitted
disclosure of the total number of
documents reported on Form 1096
transmitting Forms 1099–MISC and the
total amount reported on Form 1096
transmitting Forms 1099–MISC. At the
request of the Secretary of Commerce,
the Treasury Department removed these
items from the list of items of return
information authorized to be disclosed,
as disclosure of this return information
was no longer necessary (See TD 9372,
72 FR 73262 [Dec. 27, 2007]).
In 2009, the Secretary of Commerce
determined that these items of return
information were needed again to
provide critical data about contract
labor necessary to estimate total
employment and payroll in the United
States. The employment and
compensation data compiled by the
Bureau are important to analysts and
policy makers in both the public and
private sectors. Thus, the Secretary of
Commerce asserted that good cause
existed to amend § 301.6103(j)(1)–1 of
the regulations to restore these items to
the list of items of return information
that may be disclosed to the Bureau.
The Treasury Department and the IRS
agree that amending existing regulations
to permit disclosure of these items to
the Bureau is appropriate to meet the
analytical needs of the Bureau.
This document contains amendments
to 26 CFR part 301. Section 6103(j)(1)(A)
authorizes the Secretary of Treasury to
furnish, upon written request by the
Secretary of Commerce, such return or
return information as the Secretary of
Treasury may prescribe by regulation to
Explanation of Provisions
On August 26, 2010, the IRS and the
Treasury Department published
temporary regulations under § 6103(j)(1)
and issued a notice of proposed
rulemaking cross-referencing those
temporary regulations. See TD 9500 (75
§ 1.482–7T
■
[Removed]
Par. 3. Section 1.482–7T is removed.
Beth Tucker,
Deputy Commissioner for Operations
Support.
Approved: August 15, 2013.
Mark J. Mazur,
Assistant Secretary of the Treasury (Tax
Policy).
[FR Doc. 2013–20786 Filed 8–26–13; 8:45 am]
BILLING CODE 4830–01–P
DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 301
[TD 9631]
RIN 1545–BL66
Disclosures of Return Information
Reflected on Returns to Officers and
Employees of the Department of
Commerce for Certain Statistical
Purposes and Related Activities
Internal Revenue Service (IRS),
Treasury.
ACTION: Final regulations and removal of
temporary regulations.
AGENCY:
This document contains final
regulations that authorize the disclosure
of certain items of return information to
the Bureau of the Census (Bureau) in
conformance with section 6103(j)(1) of
the Internal Revenue Code (Code). The
final regulations are made pursuant to a
request from the Secretary of Commerce.
Because the return information will be
disclosed to the Bureau in statistical
format, specific taxpayers will not be
identified, and, therefore, no taxpayers
are affected by the disclosures
authorized by this guidance.
DATES: Effective Date: These regulations
are effective on August 27, 2013.
Applicability Date: For dates of
applicability, see § 301.6103(j)(1)–1(e).
FOR FURTHER INFORMATION CONTACT:
Melissa Avrutine, (202) 622–7950 (not a
toll-free number).
SUPPLEMENTARY INFORMATION:
SUMMARY:
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Federal Register / Vol. 78, No. 166 / Tuesday, August 27, 2013 / Rules and Regulations
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FR 52458), REG–137486–09 (75 FR
52486), and 26 CFR 301.6103(j)(1)–1T.
No comments were received, and no
public hearing was requested or held.
These final regulations adopt the
proposed rules with no substantive
change.
Section 301.6103(j)(1)–1T authorizes
disclosure of three items of return
information. Upon publication, these
final regulations remove
§ 301.6103(j)(1)–1T because all three
items of return information listed in
§ 301.6103(j)(1)–1T will now be
contained in § 301.6103(j)(1)–1. On
December 31, 2007, temporary
regulations were published authorizing
one of the items of return information
contained in § 301.6103(j)(1)–1T: The
disclosure of categorical information on
total qualified research expenses in
three ranges (greater than zero, but less
than $1 million; greater than or equal to
$1 million, but less than $3 million; and
greater than or equal to $3 million)
(§ 301.6103(j)(1)(xxv)–1T). See TD 9500
(75 FR 52458). On August 26, 2010,
those temporary regulations were
finalized, but § 301.6103(j)(1)(xxv)–1T
was inadvertently not removed.
Accordingly, these final regulations
remove those temporary regulations as
well as the remaining two items of
return information contained in
§ 301.6103(j)(1)–1T: total number of
documents reported on Form 1096
transmitting Forms 1099–MISC and the
total amount reported on Form 1096
transmitting Forms 1099–MISC
(subsections xxix and xxx of section
6103(j)(1)–1T).
Special Analyses
It has been determined that these final
regulations are not a significant
regulatory action as defined in
Executive Order 12866, as
supplemented by Executive Order
13563. Therefore, a regulatory
assessment is not required. It also has
been determined that section 553(b) of
the Administrative Procedures Act (5
U.S.C. chapter 5) does not apply to these
regulations, and because the regulation
does 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 Code, the notice
of proposed rulemaking preceding these
regulations was submitted to the Chief
Counsel for Advocacy of the Small
Business Administration for comment
on its impact on small business, and no
comments were received.
Drafting Information
The principal author of these
regulations is Melissa Avrutine, Office
VerDate Mar<15>2010
13:33 Aug 26, 2013
Jkt 229001
of the Associate Chief Counsel
(Procedure & Administration).
52857
DEPARTMENT OF THE TREASURY
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
Accordingly, 26 CFR part 301 is
amended as follows:
PART 301—PROCEDURE AND
ADMINISITRATION
Paragraph 1. The authority citation
for part 301 continues to read in part as
follows:
■
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 301.6103(j)(1)–1 is
amended by:
■ 1. Adding paragraphs (b)(3)(xxix) and
(b)(3)(xxx).
■
2. Revising paragraph (e),
The additions and revision read as
follows:
Fiscal Service
31 CFR Part 356
[Docket No. Fiscal-BPD–2013–0001]
Sale and Issue of Marketable BookEntry Treasury Bills, Notes, and Bonds
Correction
In rule document C1–2013–18178
appearing on page 50335 in the issue of
August 19, 2013, make the following
correction:
Appendix B to Part 356 [Corrected]
1. On page 50335, in the third column,
amendatory instruction 9 should read as
set forth below:
‘‘9. On page 46443, in the second
column, the tenth line above Table 4,
‘‘Ti-1 and T1’’ should read ‘Ti-1 and Ti.’ ’’
■
[FR Doc. C2–2013–18178 Filed 8–26–13; 8:45 am]
BILLING CODE 1505–01–D
■
§ 301.6103(j)(1)–1 Disclosure of return
information reflected on returns to officers
and employees of the Department of
Commerce for certain statistical purposes
and related activities.
*
*
*
*
*
(b) * * *
(3) * * *
(xxix) Total number of documents
reported on Form 1096 transmitting
Forms 1099–MISC.
(xxx) Total amount reported on Form
1096 transmitting Forms 1099–MISC.
*
*
*
*
*
(e) Effective/applicability date.
Paragraphs (b)(3)(xxv), (b)(3)(xxix), and
(b)(3)(xxx) of this section apply to
disclosures to the Bureau of the Census
made on or after August 27, 2013. For
rules that apply to disclosures to the
Bureau of the Census before that date,
see 26 CFR 301.6103(j)(1)–1 (revised as
of April 1, 2013).
§ 301.6103(j)(1)–1T
[Removed]
Par. 3. Section 301.6103(j)(1)–1T is
removed.
■
Heather C. Maloy,
Acting Deputy Commissioner for Services and
Enforcement.
Approved: August 19, 2013.
Mark J. Mazur,
Assistant Secretary of the Treasury (Tax
Policy).
[FR Doc. 2013–21006 Filed 8–26–13; 8:45 am]
BILLING CODE 4830–01–P
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ENVIRONMENTAL PROTECTION
AGENCY
40 CFR Part 52
[EPA–R07–OAR–2013–0446; FRL–9900–39Region 7]
Approval and Promulgation of
Implementation Plans; State of Iowa
Environmental Protection
Agency (EPA).
ACTION: Direct final rule.
AGENCY:
EPA is approving revisions to
the State Implementation Plan (SIP) for
the state of Iowa. The purpose of these
revisions is to update the Polk County
Board of Health Rules and Regulations,
Chapter V, Air Pollution. The revisions
reflect updates to the Iowa statewide
rules previously approved by EPA and
will ensure consistency between the
applicable local agency rules and
Federally-approved rules.
DATES: This direct final rule will be
effective October 28, 2013 without
further notice, unless EPA receives
adverse comment by September 26,
2013. If EPA receives adverse comment,
we will publish a timely withdrawal of
the direct final rule in the Federal
Register informing the public that the
rule will not take effect.
ADDRESSES: Submit your comments,
identified by Docket ID No. EPA–R07–
OAR–2013–0446, by one of the
following methods:
1. www.regulations.gov. Follow the
on-line instructions for submitting
comments.
SUMMARY:
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]]>Agencies
[Federal Register Volume 78, Number 166 (Tuesday, August 27, 2013)]
[Rules and Regulations]
[Pages 52856-52857]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-21006]
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 301
[TD 9631]
RIN 1545-BL66
Disclosures of Return Information Reflected on Returns to
Officers and Employees of the Department of Commerce for Certain
Statistical Purposes and Related Activities
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Final regulations and removal of temporary regulations.
-----------------------------------------------------------------------
SUMMARY: This document contains final regulations that authorize the
disclosure of certain items of return information to the Bureau of the
Census (Bureau) in conformance with section 6103(j)(1) of the Internal
Revenue Code (Code). The final regulations are made pursuant to a
request from the Secretary of Commerce. Because the return information
will be disclosed to the Bureau in statistical format, specific
taxpayers will not be identified, and, therefore, no taxpayers are
affected by the disclosures authorized by this guidance.
DATES: Effective Date: These regulations are effective on August 27,
2013.
Applicability Date: For dates of applicability, see Sec.
301.6103(j)(1)-1(e).
FOR FURTHER INFORMATION CONTACT: Melissa Avrutine, (202) 622-7950 (not
a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
This document contains amendments to 26 CFR part 301. Section
6103(j)(1)(A) authorizes the Secretary of Treasury to furnish, upon
written request by the Secretary of Commerce, such return or return
information as the Secretary of Treasury may prescribe by regulation to
officers and employees of the Bureau for the purpose of, but only to
the extent necessary in, the structuring of censuses and conducting
related statistical activities authorized by law. Section
301.6103(j)(1)-1 of the existing regulations further defines such
purposes by reference to 13 U.S.C. chapter 5 and provides an itemized
description of the return information authorized to be disclosed for
such purposes.
By letter dated July 24, 2009, the Secretary of Commerce requested
that additional items of return information be disclosed to the Bureau
for purposes of allowing the Bureau to study a developing trend of
increased use of contract workers. Specifically, the Secretary of
Commerce requested disclosure of the following additional items: (1)
Total number of documents reported on Form 1096 transmitting Forms
1099-MISC and (2) total amount reported on Form 1096 transmitting Forms
1099-MISC.
Section 301.6103(j)(1)-1 of the regulations formerly permitted
disclosure of the total number of documents reported on Form 1096
transmitting Forms 1099-MISC and the total amount reported on Form 1096
transmitting Forms 1099-MISC. At the request of the Secretary of
Commerce, the Treasury Department removed these items from the list of
items of return information authorized to be disclosed, as disclosure
of this return information was no longer necessary (See TD 9372, 72 FR
73262 [Dec. 27, 2007]).
In 2009, the Secretary of Commerce determined that these items of
return information were needed again to provide critical data about
contract labor necessary to estimate total employment and payroll in
the United States. The employment and compensation data compiled by the
Bureau are important to analysts and policy makers in both the public
and private sectors. Thus, the Secretary of Commerce asserted that good
cause existed to amend Sec. 301.6103(j)(1)-1 of the regulations to
restore these items to the list of items of return information that may
be disclosed to the Bureau. The Treasury Department and the IRS agree
that amending existing regulations to permit disclosure of these items
to the Bureau is appropriate to meet the analytical needs of the
Bureau.
Explanation of Provisions
On August 26, 2010, the IRS and the Treasury Department published
temporary regulations under Sec. 6103(j)(1) and issued a notice of
proposed rulemaking cross-referencing those temporary regulations. See
TD 9500 (75
[[Page 52857]]
FR 52458), REG-137486-09 (75 FR 52486), and 26 CFR 301.6103(j)(1)-1T.
No comments were received, and no public hearing was requested or held.
These final regulations adopt the proposed rules with no substantive
change.
Section 301.6103(j)(1)-1T authorizes disclosure of three items of
return information. Upon publication, these final regulations remove
Sec. 301.6103(j)(1)-1T because all three items of return information
listed in Sec. 301.6103(j)(1)-1T will now be contained in Sec.
301.6103(j)(1)-1. On December 31, 2007, temporary regulations were
published authorizing one of the items of return information contained
in Sec. 301.6103(j)(1)-1T: The disclosure of categorical information
on total qualified research expenses in three ranges (greater than
zero, but less than $1 million; greater than or equal to $1 million,
but less than $3 million; and greater than or equal to $3 million)
(Sec. 301.6103(j)(1)(xxv)-1T). See TD 9500 (75 FR 52458). On August
26, 2010, those temporary regulations were finalized, but Sec.
301.6103(j)(1)(xxv)-1T was inadvertently not removed. Accordingly,
these final regulations remove those temporary regulations as well as
the remaining two items of return information contained in Sec.
301.6103(j)(1)-1T: total number of documents reported on Form 1096
transmitting Forms 1099-MISC and the total amount reported on Form 1096
transmitting Forms 1099-MISC (subsections xxix and xxx of section
6103(j)(1)-1T).
Special Analyses
It has been determined that these final regulations are not a
significant regulatory action as defined in Executive Order 12866, as
supplemented by Executive Order 13563. Therefore, a regulatory
assessment is not required. It also has been determined that section
553(b) of the Administrative Procedures Act (5 U.S.C. chapter 5) does
not apply to these regulations, and because the regulation does 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 Code, the notice of proposed rulemaking
preceding these regulations was submitted to the Chief Counsel for
Advocacy of the Small Business Administration for comment on its impact
on small business, and no comments were received.
Drafting Information
The principal author of these regulations is Melissa Avrutine,
Office of the Associate Chief Counsel (Procedure & 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
Accordingly, 26 CFR part 301 is amended as follows:
PART 301--PROCEDURE AND ADMINISITRATION
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 301.6103(j)(1)-1 is amended by:
0
1. Adding paragraphs (b)(3)(xxix) and (b)(3)(xxx).
0
2. Revising paragraph (e),
The additions and revision read as follows:
Sec. 301.6103(j)(1)-1 Disclosure of return information reflected on
returns to officers and employees of the Department of Commerce for
certain statistical purposes and related activities.
* * * * *
(b) * * *
(3) * * *
(xxix) Total number of documents reported on Form 1096 transmitting
Forms 1099-MISC.
(xxx) Total amount reported on Form 1096 transmitting Forms 1099-
MISC.
* * * * *
(e) Effective/applicability date. Paragraphs (b)(3)(xxv),
(b)(3)(xxix), and (b)(3)(xxx) of this section apply to disclosures to
the Bureau of the Census made on or after August 27, 2013. For rules
that apply to disclosures to the Bureau of the Census before that date,
see 26 CFR 301.6103(j)(1)-1 (revised as of April 1, 2013).
Sec. 301.6103(j)(1)-1T [Removed]
0
Par. 3. Section 301.6103(j)(1)-1T is removed.
Heather C. Maloy,
Acting Deputy Commissioner for Services and Enforcement.
Approved: August 19, 2013.
Mark J. Mazur,
Assistant Secretary of the Treasury (Tax Policy).
[FR Doc. 2013-21006 Filed 8-26-13; 8:45 am]
BILLING CODE 4830-01-P
