IRC SECTION 183 ALLOWS TAXPAYERS TO
POSTPONE A DETERMINATION AS TO WHETHER AN ACTIVITY IS ENTERED INTO
FOR PROFIT, OR IS IN THE NATURE OF A HOBBY (WHERE LOSSES ARE NOT
DEDUCTIBLE). THE ELECTION ON FORM 5213 ALLOWS TAXPAYERS 5 YEARS (7
YEARS FOR BREEDING, TRAINING, SHOWING OR RACING HORSES) TO SHOW A
PROFIT FROM AN ACTIVITY. USED TO EXTEND STATUTE OF LIMITATION UNTIL
IT CAN BE DETERMINED IF ACTIVITY WAS ENTERED INTO FOR
PROFIT.
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.