SUPPORTING STATEMENT
1545-2066
Form 8874-B, Notice of Recapture Event for New markets Credit
1. CIRCUMSTANCES NECESSITATING COLLECTION OF INFORMATION
Form 8874-B, Notice of Recapture Event for New markets
Credit was developed because qualified CDEs must provide
Taxpayers holding a qualified equity investment with a
completed Form 8874-B when a recapture event occurs.
Regulations section 1.45D-1(g)(2)(i)(B).
2. USE OF DATA
IRS will use the information on 8874-B to enforce Regulation Section 1.45D-1(g)(2)(i)(B) and to verify that the taxes have been properly computed. The amount recaptured from the original credits taken on Form 8874 must be reconciled on the filers income tax return.
USE OF IMPROVED INFORMATION TECHNOLOGY TO REDUCE BURDEN
Form 8874-B can be filled in electronically, but may not be submitted electronically.
4. EFFORTS TO IDENTIFY DUPLICATION
We have attempted to eliminate duplication within the agency wherever possible.
5. METHODS TO MINIMIZE BURDEN ON SMALL BUSINESSES OR OTHER SMALL ENTITIES
The form was designed for requirements of Regulations section 1/45D-1(g)(2)(i)(B).
6. CONSEQUENCES OF LESS FREQUENT COLLECTION ON FEDERAL PROGRAMS OR POLICY ACTIVITIES
Not applicable.
7. SPECIAL CIRCUMSTANCES REQUIRING DATA COLLECTION TO BE
INCONSISTENT WITH GUIDELINES IN 5 CFR 1320.5(d)(2)
Not applicable.
8. CONSULTATION WITH INDIVIDUALS OUTSIDE OF THE AGENCY ON
AVAILABILITY OF DATA, FREQUENCY OF COLLECTION, CLARITY
OF INSTRUCTIONS AND FORMS, AND DATA ELEMENTS
Periodic meetings are held between IRS personnel and representatives of various professional groups to discuss tax law and tax forms. During these meetings, there is an opportunity for those attending to make comments regarding the collection requirements under this notice.
In response to the Federal Register Notice dated August 9,
2013 (78 FR 48772), we received no comments during the
comment period regarding Form 8874-B.
9. EXPLANATION OF DECISION TO PROVIDE ANY PAYMENT OR GIFT TO
RESPONDENTS
Not applicable.
10. ASSURANCE OF CONFIDENTIALITY OF RESPONSES
Generally, tax returns and tax return information are confidential as required by 26 USC 6103.
11. JUSTIFICATION OF SENSITIVE QUESTIONS
A privacy impact assessment (PIA) has been conducted for
information collected under this request as part of the
“Business Master File (BMF)” system and a Privacy Act System
of Records notice (SORN) has been issued for this system
under IRS 24.046-Customer Account Data Engine Business
Master File. The Department of Treasury PIAs can be found
at http://www.treasury.gov/privacy/PIAs/Pages/default.aspx
Title 26 USC 6109 requires inclusion of identifying numbers in returns, statements, or other documents for securing proper identification of persons required to make such returns, statements, or documents and is the authority for social security numbers (SSNs) in IRS systems.
12. ESTIMATED BURDEN OF INFORMATION COLLECTION
Number of Time per Total
Responses Response Hours
Form 8874-B 500 5.51 2,755
Estimates of the annualized cost to respondents for the hour burdens shown are not available at this time.
13. ESTIMATED TOTAL ANNUAL COST BURDEN TO RESPONDENTS
As suggested by OMB, our Federal Register Notice dated April 19, 2007, requested public comments on estimates of cost of
burden that are not captured in the estimates of burden
hours, i.e., estimates of capital or start-up costs and
costs of operation, maintenance, and purchase of services to
provide information. However, we did not receive any
response from taxpayers on this subject. As a result,
estimates of the cost burdens are not available at this
time.
In response to the Federal Register Notice dated August 9,
2013 (78 FR 48772), we received no comments during the
comment period regarding Form 8874-B.
14. ESTIMATED ANNUALIZED COST TO THE FEDERAL GOVERNMENT
The primary cost to the government consists of the cost of
printing Form 8874-B. We estimate that the cost of printing
the form is $150.
15. REASONS FOR CHANGE IN BURDEN
Not applicable.
16. PLANS FOR TABULATION, STATISTICAL ANALYSIS AND PUBLICATION
Not applicable.
17. REASONS WHY DISPLAYING THE OMB EXPIRATION DATE IS
INAPPROPRIATE
We believe the public interest will be better served by not printing an expiration date on the form(s) in this package.
Printing the expiration date on the form will result in increased costs because of the need to replace inventories that become obsolete by passage of the expiration date each time OMB approval is renewed. Without printing the expiration date, supplies of the form could continue to be used.
The time period during which the current edition of the form(s) in this package will continue to be usable cannot be predicted. It could easily span several cycles of review and OMB clearance renewal. In addition, usage fluctuates unpredictably. This makes it necessary to maintain a substantial inventory of forms in the supply line at all times. This includes supplies owned by both the Government and the public. Reprinting of the form cannot be reliably scheduled to coincide with an OMB approval expiration date. This form may be privately printed by users at their own expense. Some businesses print complex and expensive marginally punched continuous versions, at their expense, for use in their computers. The form may be printed by commercial printers and stocked for sale. In such cases, printing the expiration date on the form could result in extra costs to the users.
Not printing the expiration date on the form(s) will also avoid confusion among taxpayers who may have identical forms with different expiration dates in their possession.
For the above reasons we request authorization to omit printing the expiration date on the form(s) in this package.
18. EXCEPTIONS TO THE CERTIFICATION STATEMENT ON OMB FORM 83-I
Not applicable.
Note: The following paragraph applies to all of the collections of information in this submission:
An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless the collection of information displays a valid OMB control number. Books or records relating to a collection of information must be retained as long as their contents may become material in the administration of any internal revenue law. Generally, tax returns and tax return information are confidential, as required
by 26 U.S.C. 6103.
| File Type | application/msword |
| Author | Carol |
| Last Modified By | Department of Treasury |
| File Modified | 2013-12-30 |
| File Created | 2007-06-28 |