1513-0097 Ss

OMB Control Number 1513-0097 - Supporting Statement, page 4

DEPARTMENT OF THE TREASURY

ALCOHOL AND TOBACCO TAX AND TRADE BUREAU

Supporting Statement – Information Collection Requirement

OMB Control Number 1513-0097

Notices Relating to Payment of Firearms and Ammunition Excise Tax

A. Justification

1. What are the circumstances that make this collection of information necessary and what legal or administrative requirements necessitate the collection?

The Alcohol and Tobacco Tax and Trade Bureau (TTB) is responsible for the collection of the excise taxes imposed by 26 U.S.C. 4181 on the sale of pistols and revolvers, other firearms, shells and cartridges sold by firearms and ammunition manufacturers, producers, and importers. Taxpayers incurring a tax liability on the sale or use of firearms and ammunition are required to pay tax and file excise tax returns quarterly on TTB Form 5300.26 (OMB 1513‑0094). In addition, taxpayers are required to make semimonthly deposits of tax during the quarter on TTB Form 5300.27 (OMB 1512‑0096).

Regulations at 27 CFR 53.158 prescribe a voluntary system where taxpayers may elect to pay firearms and ammunition excise taxes by electronic fund transfer (EFT). Taxpayers who remit their taxes by EFT must notify us in writing of their intentions to remit taxes in this manner. When a taxpayer chooses to discontinue remittance of tax by EFT, they must notify us by attaching a written statement to TTB Form 5300.26 or 5300.27 to that effect. The record retention requirement for this information collection is 3 years.

2. How, by whom and for what purpose is this information used?

Our Bureau uses the information received to anticipate and monitor taxpayer methods of tax payment.

3. To what extent does this collection of information involve the use of automated, electronic, mechanical, or other technological collection techniques or other forms of information technology? What consideration is given to use information technology to reduce burden?

We will consider the use of improved information technology on a case‑by‑case basis for the submission of required notices.

4. What efforts are used to identity duplication? Why can’t any similar information

already available be used or modified for use for the purposes described in Item 2 above?

We terminated the Federal Information Locator System (FILS) Program for agency use.

However, we search an agency subject classification system to identify duplication. Similar information is not available elsewhere for this information collection requirement.

5. If this collection of information impacts small businesses or other small entities,

what methods are used to minimize burden?

These information collection requirements are the minimum necessary and cannot be reduced on the basis of the size of respondent.

6. What consequences to Federal program or policy activities and what, if any, technical or legal obstacles to reducing burden will occur if this collection is not conducted or is conducted less frequently?

Without these collections of information, we would not be able to anticipate or monitor the method of payment by taxpayers. Less frequent collection would pose jeopardy to the revenue.

7. Are there any special circumstances associated with this information collection?

There are no special circumstances associated with this information collection.

8. What effort was made to notify the general public about this collection of information?

A 60-day Federal Register notice was published for this information collection on Tuesday, May 2, 2006, 71 FR 25889. The notice solicited comments from the general public. TTB received no comments.

9. What decision was made to provide any payment or gift to respondents, other than reenumeration of contractors or grantees?

No payment or gift is associated with this collection.

10. What assurance of confidentiality was provided to respondents and what was the basis for the assurance in statute, regulations, or agency policy?

Respondents' confidentiality is protected by 26 U.S.C. 6103 and 5 U.S.C. 552.

11. What justification is there for questions of a sensitive nature?

We do not ask questions of a sensitive nature in this collection.

12. What is the estimated hour burden of this collection of information?

There is no change in burden from the previous submission. 10 (respondents) X 1 (number of times filed annually) = 10 (number of responses) X 6 minutes (processing time) = 60/60 = 1 (total burden hours).

13. What is the estimated total annual cost burden to respondents or recordkeepers

resulting from this collection of information?

There is no cost associated with this information collection.

14. What is the annualized cost to the Federal Government?

There is no annualized cost to the Federal government associated with this collection.

15. What is the reason for any program changes or adjustments reported in Items 13 or 14 of the OMB Form 83-I?

There are no adjustments or program changes associated with this collection.

16. Outline plans for tabulation and publication for collections of information whose results will be published.

The results of this collection will not be published.

17. If seeking approval to not display the expiration date for OMB approval of this information collection, what are the reasons that the display would be inappropriate?

This does not apply. This is a recordkeeping requirement therefore there is no form on which to place an OMB expiration date.

18. What are the exceptions to the certification statement?

We note the following exceptions to the Certification in Item 19:

Item 19(c) - see response to item 5.

Item 19(g) - this collection of information is not a form.

Item 19(i) - this collection of information is not a survey.

B. Collection of Information Employing Statistical Methods

This collection does not employ statistical methods.