26 U.S. Code § 475 - Mark to market accounting method for dealers in securities

Forms and Documents

Document	Type	Status	Availability
26_USC_sec_475.pdf	Supplementary Document	Uploaded 2014-10-15	Available
26_CFR_Part_1_secs_1.475et-al.pdf	Supplementary Document	Uploaded 2014-10-15	Available
1545-1945Supporting Statement.doc	Supporting Statement A	Uploaded 2014-10-16	Repair queued

IC Document Collections

IC ID	Collection	Type	Status	Form
213032	Mark to Market for Dealers in Securities (TD 8700)		New
19665	Safe Harbor for Valuation (TD 9328)		Modified

ICR Details

OMB Control No: 1545-1945	ICR Reference No: 201409-1545-023
Status: Historical Active	Previous ICR Reference No: 201109-1545-015
Agency/Subagency: TREAS/IRS	Agency Tracking No: Ready w/ updates
Title: 26 U.S. Code § 475 - Mark to market accounting method for dealers in securities
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 10/24/2015
	Date Received in OIRA: 11/19/2014
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	10/31/2018	36 Months From Approved	10/31/2015
Responses	15,708	0	12,308
Time Burden (Hours)	52,182	0	49,232
Cost Burden (Dollars)	0	0	0

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Abstract: Section 475 was added by section 13223(a) of the Revenue Reconciliation Act of 1993, Pub. L. 103-66, 107 Stat.481, and is effective for all taxable years ending on or after December 31, 1993. The statutory requirements under 26 U.S.C. 475 are codified under 26 CFR Part 1, sections 1.475 et al. Information collection requirements under § 1.475(a)-4 sets forth an elective safe harbor that permits dealers in securities and dealers in commodities to elect to use the values of positions reported on certain financial statements as the fair market values of those positions for purposes of section 475 of the Internal Revenue Code (Code). This safe harbor is intended to reduce the compliance burden on taxpayers and to improve the administrability of the valuation requirement of section 475. The recordkeeping requirement under section 1.475(b)-4 are required to determine whether exemption from mark- to-market treatment is properly claimed, and will be used to make that determination upon audit of taxpayer's books and records. The information under section 1.475(c)-1(a)(3)(iii), is necessary to determine whether a consolidated group has elected to disregard inter-member transactions in determining a member's status as a dealer in securities.

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Authorizing Statute(s): US Code: 26 USC 475 Name of Law: Mark to market accounting method for dealers in securities
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	79 FR 37391	07/01/2014
30-day Notice:	Federal Register Citation:	Citation Date:
	79 FR 68506	11/17/2014
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 2

IC Title	Form No.	Form Name
Safe Harbor for Valuation (TD 9328)
Mark to Market for Dealers in Securities (TD 8700)

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ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	15,708	12,308	0	0	3,400	0
Annual Time Burden (Hours)	52,182	49,232	0	0	2,950	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: Information collection requirements prescribed by rulemaking as TD 8700 (OMB #1545-1496) and TD 9328 (OMB #1545-1945), for the purposes of 26 U.S.C. 475, have been consolidated and combined into a single ICR. This action is an effort to eliminate redundancy and duplicate reporting, by creating an information collection requested that captures the collection activities under 26 U.S.C. 475, as codified under 26 CFR Part 1, sections 1.475, et al. The increase of 2,950 burden hours is attributed to an adjustment in estimate. The increase is the total burden claimed under OMB #1545-1496, which will be discontinued.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Is the Supporting Statement intended to be a Privacy Impact Assessment required by the E-Government Act of 2002? No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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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:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(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;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

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.

Certification Date: 11/19/2014

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