Final Regulation_PS-50-92

88W

F d d R-cr

/ Vol. 53, Na 37 1 n u n d a y . Febma.y 2 4 , 1944 / Ruler a d Regulatioer

D:s~

D E P A R W W D F T ~ C E ~ R - Y BP.*
. 5 1.42-13 ofthe -me Tax
J
. -Fhgulatiwtr.
,
- 4.1993. a notic. kf . .
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emalclna
IPS.50-921
was
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rqlire h a t
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p u b l ~ h e d k . 1 ~ ~ & ~ ~ q ~ & jan
5The
8Agency
- proposed
' obtsbregulations
the prior approval of
.. .-: . .;:.. - -... . , . .- .
FR 4 4 pmposing amendments ta the .
SecIstary to #man
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: laeomsTax Regulations (26 CER part 1) -.
inirative e m r or nmission iT11)
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- . - - - I : . . ' ' - : . ' - ~ , l ; . . W r i ~ n c o m m s a & m p o n d h g t o & ~omission,
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a d (21 the c o w on is ~$1:
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R u TO~Carry Out tha h mof,>;:;> n&&
&&ivd,
and a pblie>T:; :.-:, numerical change to tha fi~~sjng'c-t
>won
4 2 ~ 9 & ~ - ~ n g L ' . - ' ' - * - - ; .? ;
;
-1 h a g wds beyd bh April 5.1993. Aft- :
a m m t aliacated Ior the building .
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w One wmmentatorsuggec@d,. :.'
&muc skirnwl;--:
;~mmurits'tegardingt b e - p p a s di'-!--p-;,b.:1-- that.- Agen "shouldhave until
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am~dment~-*p'~~-.*.~~~
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,:j t-f-;:-.i,:s-;=.
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Febmby ZB. e d b i by
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omikion that changes the housing . :
d i : d + h smouat allocacud to a '...
b d d L a g ar p m j d -without obtaining-"
or appripriab to &j nut ths purposG . ,::..;
proposed rsgulatiou gwerdlly,:; - the Secretary's prior approval. hotbet
'of d o n - 4 2 . lha b
w ~ housing
~ e'1:'.:-dsaibeu! ndministrativn enmr and, ,:--:' mmmentator made a simiiaisuggestion .
d t . ?Ids d m e n t a h contains - -5- ;omi&&,+d e d u illustrative. . -....: ..solely for cred;;s'mtmnedin the same
final reguI+ons allowing Sbte and ' . . -examples Commentatorsheva. . - -: . y.ear in which hey wwere allwted, .., . :
haf-b
finalmgdations . .-.:,;:- Th- suggestions have not been
I d housing &I
agencies taco.
'
administrative errors and ~mi&- . - - - indudem "accclundg en-ofr'as
an,:, . '
adopled
Sedion 4 2 & ) ( t ) requim &t .'
made in c~nnecti~ri
with allocations of . a e - t r a t i v a e k r or amisiaa The :.:..
l o w - i n m e busing .credit dollar :'--' Service and the Treasury W e o t . an alIocafion-lora -air-calendar year. b y ~ c l o w b f ~ ~ ~ ~
-amountsrnd rscordkeeping w
i
m 6'. .
are toad ihet the brm " a a ~ ~ u n t ~ nbemadl3
g-'
maanab!e period after their discpwrg. e m " i s trn v a p Hwever. in order - year. ConsisLent with that apprw&,;-- .thersregulationsdo not permit au .:
Tbe final regulatioris affectStats-aad'. to addrws the c x l m m a t a t o ~coocairls,
'
.
local housing a d i t agencies, owners 01 the M
. . quhtiom
.
d m i f y that az1 . . Agency i o m& r p0st:year MQ&
without the w a y ' s primappmvat buildings or p m j e for which the low-. .
error or omission ;.
Of a m ,
for r c o m d i o n d an-:.:;;.:: , .,- ., .
income housing d i t is dl-ted.
snd . indudasan errot in -*a
.administrati~ee m or omission that an
taxpayers ciaiming the.10~-inmmn
.
.
.
h
o
w
m
d
i
t
dollar
mount
an
hgcncy.
- . . : . has allocated (or that remains to bs - - - - . Ageacyunnotcorredwitsown.an. 'housing ~wdil.
Agency; or the Agency a d the affected
DATES: 3- final regulations are
allocaM1 in a calendar -For
. . -:
taxpayer. may seek the Secretary's prioi.
eff~-Febuargtf.I5%:
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:..'- k p l e ,
an A p c y , FLitvtng
approvat ' . ia
t h adl t i t h a s S l W o f d t r e m &
rr!
F a ~ppliubimyoftEeseeseqdatibns.
for
Lbe
A
d
a
r
see 4 1.42-13(d) oitbesc e g d a t i o n s . ".
Special
: y e a r e U t e s$100 to a project nnd -- . Analp
FOR FURTHER M F O R U I .~~ A C R
a p e s l o dloude aa adchtional530 bum
tt has been determined tbat this
J e h yA. Erihon. 202-622-3040 (not
wtmiling- . - Treasury Decision is not a signilicant
nex2dadar
a toll-£muurnbed.
. - - . the
d e n d a r year. lhe
later, in the
teguMorg adion as defiaed in
S U P P L E M ~ A R YIHMWT'4OW
Anencv discovers Lhat it failed to
Execuiive .Ordm 12866.It also has-hen
& u d ~ i n i ~ ~ d t c e i l i n g f w r t h e - - d e t q d that s d a 553PI of the
currtat 4 a a d a y w 550 d d t s that. Adniriistrative - d m
Ar;t 15 U.S.C
were retarned in the mmnt calendar . &pkr 5 ) and hiReg&tory Flexibility
The colIection of informatian
contained in thir fidkgulatiou has
year. Tbs a r m in t m c b g the$50 of
Act t5 U.S.Cchapter6) da not apply to
been h e w e d and approvd by ths
~tsth~wete~ulnedisan'-~
.
the= rquhti.ons, a d therefare, r
OEce ofManagement and Budget in
adminirbatiwsrror ar omidsioa .
Regulatory Flexibility Analysis is not'
One commentator asked for
accordance w-lth the P a p c m d
'requited Pursuant to d o n 7805tfl of
Rductioa Act (44 USE 35Mbll under darification ofthe d o n procedure the Internal Revenue Code. a copy oft h a
conttol n u m h 1545-1357. The
an Ageney should use when cwxrrrediag proposed regulations was subrnilted to
estimated annual burden per --dent
E dwument without the -hty's
the Chid C o u n d lor Advqwcy of the
rarieshm1hourto2hous
-. .
prior approvd Under the final
S d Business Adminisbtia ior
depending on individual
%ulalims. a dothat
P
comment on its impad on small
with an estimated average of 1.5 hour~.
:. d m m t n t c
o
w an e m ar
business.
Comments cmcemhg the accuracy ol omissioo thathasndyetkuBd . . Drafting W o k t i o q
this burden estimate and su &oar for witb the Internal Revenue S e m b
. .
reducing this burdep rboul& d i e *
sbould bs ad as t h e orjglrat. If r
T h e principal author ofthese
documeat mntAjaing an emr has
[Q the Znternal Revenue Srvice,, .
regula~onsL Jefbqh, Uckson, Office
Attention: IRS R I ? ~ ~ Clearance
P~s
- ' already been fled with the Internal .
of 'Assistant Chief Counsel
Glficer, PC:=. Washington, DC 20224,. - Revenue Serv~ce,the ~ g e n c yshould
and to the OEm of Mawgement and : reMe a capy 01the document cohtaining [Passlhmughj md Special Lndustriesl,
Internal Revsnut S e ~ mHowwer..
.
Budget. Attention: Desk Oflicer for the
the ermr that prorniz-ntiy and cieariy
Department of t
b Treasury, Office o f ..- notes the-correction.The Agency should- 0th- persannd htht RS and
Infomation and Rqulatory Affaics,. . . : indicate at t h o top o i rhe ddctrmeottsl -.- Tmasury Depamnent panidpated in
Washington, DC 20503.
' ..
that tht mrrection is k n g made under theirdevelopment.

reguiationscrmcemi6

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F t d e r d Register f VoI. 59, No. 37 / Thursday. ~ e h r u a r y24. 1994 / Rules

26 CFR Part 1
- Income taxes. Reporting and

recordkeeping requirements.
*

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Re lotions.

El Secretdlyk plMl appmvoi

. . omisions described. An administrative
error or o m i ~ i o nis a mistake that

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.required. hn Agency must obtain the
Secretary's prior approval to correct an
adminis-tive error ar amissign, AS
desctibed in paragraph [b)(2) of this
Eection if the correction is not made
befam he closs of the calendw year of
Ihe error or omission and
.. . the :.'

(2) Adrninistmtive errors and

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ztjCFRPart602

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made under 5 1.42-13 of the hcome Tax

i n calculating a State's housing m d i t
ceiling for a calendor year me not
ndrninistrativs erron &at canbe
c o w e d under this paragraph bl.

List of Subjects

and ~ e ~ i ~ a t i o a8861
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Repotting and recardkeeping results in a document that inaccurately
kquirgnents:
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.
the intent oithe Agency at the
. .
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- reflects
the d m e n t is originally
~doption
of Amendments to the .- . time
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completed or, if the mistake effects a
correction. Regulations
-. .
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!. taxpayer, a document that inaccuately . . (A) Is a numerical change to the
dollsr amount allwaled
..:: h&rdinGy, 26 GFR ;arb 1 and602 : reilects &a intent of the Agency and the- housin
. are amended as follows: ...
for
the uilding or'project;
affsct'ed
taxpayer
at the time the . document is originally compieted
,
(8)Affects ihe delemination ofm y
PART I-INCOME TAXES
:.
..
AdministFetiva
errors
and
omissions
com6onent
of the Stata's housing credit
1
ceilihg under section rzlfil(sl(q?or .
Paragraph 1,The whosity citation'. - d d b e d in this paragraph Ib3[2)
IQ A l i e the State's unused b w s i ~ g
for part 1 is amended by adding an entry include the EoIlowin
credit c q w u that is assipad to the
[i)A rnalhcmacim~or
in numerical order to read as follows:
Iii) An entry on a do=ument that is
Secretary under section 42(h)[3)~1.
Auharity: 26 U.S.C 7805'
'.
(iv] Requestjng the Secretmy's
inconsistent with another entry on the Section 1.42-13 also i w e d udder 26 &me or anather d m e n t regarding the appmvd. To obtain the Secmtary's
approval under paragraph @)Is)(iii)of
.
.
U.S.C. 42(n): *
* .
. . same pro erty, or taxpayer;
(ii1)A Eilun in t m b g the liousing this &on,
an Agency mud submit
par. 2. Seaion 1.42-13 is added to
&it dollar amount an Agency hw ,. - - nquesf for the Secretary's approval
:.--. readasfollows: -"- .
allocated (or that remains to be
within a reasonable period der
- -,:. 5 5 . 4 2 4 3 Rules necessarv and
allmated) in the current calendar year , dixovering the administrativsemr or

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(e.g,, a failure to indude in its State

[a] Publication of guidance. Under
. - d o n 4Z(n). the Seaetary'has
- authority to prescribe reguiations as
- may be necessary or appropriate to rarry
out !he purposes of seaion 4 2 l%e
.'
M a r y may also ptovide guidance .
through various publications in the
Internal Revenue Bulletin. [See
§ 601.601(d)(~)(ii)(b)
of this chapter.) .
Ibl Correcting administmtive errors
and omissions+r) In geneml. hn
Agency may
an administrative
error or omission with resped to

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allocations and recordkeeping.as
described in paragraph Ib)(2) of this
section. within a reasonable period after
.the Agency discovers t h e adrninisvative
error or omission. Whether a correction
is made kithin a teasanable perid
depends on the facts and circumstances
ofe a c h situatian. Except as provided in
paragraph &)(3ltiii)of this section, an Agency n e d not obtain the prioi
approval of the Secretary to correct an
administmtive error or omission. if the
correction is made in accordance with
paragraph fi](3lli] of this sadon. The
administrative errors and omissions to
this pangraph Ib) applies we
strictly limited to hose describsd in
paragraph (bM21of this section, and, ,
Ihus. do not include, lor example, any
rnisinterpretatjoa,of the appliable rules
and regulations under section 42.
Accordingly. an Agency's allocation of a
particular calandu year's low-income
housing credrt dollar amount mnde after
the close of that calendu year, or the
use of an i n c o w gopulation mount

-

housing d
t ceiling a previously
allocated u d i t dollarmout that
has
-been rrturned by r tarpa erl*
(iv) An amhaon of mf%atim
h t
is required on A document; end
[v) b y other type of error or
omission identified by guidance
published in the Internal Rwenue
Buiieda [see 5 601.Mll(d)(Z)(ii)(&I of this
chapter] as an administrative error or
omission mvered byii;
-?prt-ot8 low-busing p&?ti'W h a :r - I
lew-lscdma b o u i n g ' q d i ~ , ~ ~ . . ~
m C - , Binformed Agtnq X th$B ,+. :.'
..?':.,
htm& to fam ?*hip
Y tofraana@>
..'-L
rrservatim lottar 'C:-I ~d p n e b
d~lcatiok
Bf d - .
&-hiP
iny%-*'
. Papwblp Y d
.;... to I n u e h K d ptwn
~
8;i.i'. : l.3:
;:
'-'; : w a t r i M Lb. Irm*)mwing
p+edfL;
L. to-BipXb-aha.
- .. ,;it;;:*
-'; psrtnmhii I
nB tnd Partriership Y -?."- ,.
. '-, infoA -encyX of the omtrrhlp &auk&'. :
6862

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Whm a m &
i l k l i n g fbt bowing ocdit *
dollar u n m n t ; ' A X~ s~mt Partnorship Y.?'
+
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1 w B ; n U i e t thrnPuherchlp
them& ' * m * U
y':
promflI
h p q x ofthi~nx-=r;.::;
.' '''; :Aftarm*
-nti,-hscPcy
X
.'--.d e r t n n i n d t b s t i r . W i t r ~ l ylistad B a s : '
- ':; the buildingVs,~ytitr
oc fbt alloralion'..;
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m r s E pY &Id &.'":
, ',
i-dad
, tbe U
a a wlbt owner 01the buiuiw-*i
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-.. ;' OP- a.br.~h,rlAtmt *gah y1gptcYhyUe~X~l lmmu larl dpyLp~nmgt'LrbadveLr~wPow#o,rt
dh
dl-tion d:. --,-

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fiompie 2. hgency.y dl&d
a lo&
? :
low-ihcorrtr b u s i n g mdil d o h mount for
ah-inhuwkg building than Agency ., '
Y ofigiailly i n ~ e k d After
d
the dose of the

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'.
building's omw.dipCoVMd tbC emwand . '
promptly n o w Agiscy Y, Agency Y
~ t \ i e d
-~tl~
smd agPsd thd
e3 e m r bad md.Agency Y and B must
tpply. as p ~ i d a h
d p a q r a p t lb)bHiv) of
this s d o a for &I
-'rappmval r . .- - b f o n % r q Yr
n
~
t
~ ..,e ,.m
(d) ~ f l e & date,
j ~ This '&tion i~
efiedve Fabmq 2 4 . 1 W . However, :=
a r r Ag-encymny e k t t o a p p t y & e a ,.
tepkions to a G m i n i t i v e e m m ar :
omissions W Dairrredbekn rbe ..
publicationoiG.resemguWoos, h n y -.1.
. reasonable method uscdbya Stab or ::

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housing m d i t agency to camd ur
admiairim&e rmrr or omivion @at to
February 24.1%
will Im cadbrad .
proper. prwidd that.the method t .F--,
consisttnt
w i h &e d e s of -ao
4t
.
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. .- PART 6 0 2 2 k ~
CONTROL-WMBERS
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UNDER THE P A P E R W O W . ' ,:' .- .REDUCTION ACT r : . : ~ : . ,-.,f;:.:
. .
. ~ & ~ , & h ~ ~ d r j ~ , & t a ~ O ~ ~ ~ ~ ~ ~ ' ~
602 conrirmts toread efoljows:
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