Application for Extension of Time for Payment of Tax; Application for Installment Agreement

Forms and Documents

Document Name	Status
Form TTB F 5600.31 Application for Installment Agreement Form and Instruction	New
Form TTB F 5600.38 Application for Extension of Time for Payment of Tax Form and Instruction	Modified
1513-0093 Supporting Statement (12-2021).docx Supporting Statement A	2021-12-15
TTB G 20XX-XX Taxpayer Relief Options Guidance.docx Supplementary Document	2021-12-15
1513-0093 Emergency Approval Justification Memo 2021-12-28.pdf Supplementary Document	2022-01-06

IC Document Collections

IC ID	Document Title	Status
250804	Application for Installment Agreement Form and Instruction	New
16119	Application for Extension of Time for Payment of Tax Form and Instruction	Modified

ICR Details

OMB Control No: 1513-0093	ICR Reference No: 202112-1513-001
Status: Received in OIRA	Previous ICR Reference No: 201904-1513-003
Agency/Subagency: TREAS/TTB	Agency Tracking No: Emergency-0093
Title: Application for Extension of Time for Payment of Tax; Application for Installment Agreement
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Emergency	Approval Requested By: 01/06/2022
Date Submitted to OIRA: 01/06/2022

	Requested	Previously Approved
Expiration Date	6 Months From Approved	10/31/2022
Responses	200	30
Time Burden (Hours)	300	8
Cost Burden (Dollars)	2,000	0

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Abstract: The Internal Revenue Code (IRC) at 26 U.S.C. 6161 authorizes the Secretary of the Treasury (the Secretary) to grant taxpayers up to 6 months of additional time to pay taxes due on any return required under the IRC. In addition, the IRC at 26 U.S.C. 6159 authorizes the Secretary to enter into a written agreement with a taxpayer to allow installment payments of taxes due “if the Secretary determines that such an agreement will facilitate full or partial payment of such liability.” Under those IRC authorities, for the Federal excise taxpayers that it regulates, TTB has issued an application form, TTB F 5600.38, for time extension requests, and TTB is now issuing an application form, TTB F 5600.31, for installment payment agreement requests. Using the relevant form and certain supporting documentation, a taxpayer identifies themselves, the specific Federal excise tax and amount in question, their current financial situation, and the reasons why the requested time extension or installment plan for payment is necessary. TTB evaluates the provided information, records its decision to approve or disapprove the requested time extension or installment plan on the submitted form, and notifies the taxpayer of that decision by returning a copy of the form to the respondent.

Emergency Justfication: Pursuant to the Office of Management and Budget (OMB) procedures established at 5 CFR 1320.13, the Alcohol and Tobacco Tax and Trade Bureau (TTB) requests emergency processing for a revision of the information collection request approved under OMB Control Number 1513–0093. The Internal Revenue Code (IRC) at 26 U.S.C. 6161 authorizes the grant of time extensions of up to 6 months for persons to pay taxes on any return required under the IRC. The IRC at 26 U.S.C. 6159 also authorizes agencies to allow taxpayers to make installment payments of taxes due if such an agreement will facilitate full or partial payment. Currently, for time extension requests, TTB offers form TTB F 5600.38, Application for Extension of Time for Payment of Tax, as approved under OMB No. 1513–0093, but, historically, as TTB received very few requests for installment payment agreements, TTB did not offer a similar application for such requests. However, due to the economic hardships faced by many small businesses caused by the COVID-19 pandemic, TTB has seen an increase in the number of taxpayers requesting installment payment agreements for excise tax liabilities, particularly from small alcohol beverage producers and brewpubs (restaurants with onsite breweries). In response, TTB has developed a new standardized form for taxpayers to request an installment agreement for excise tax payments, TTB F 5600.31, Application for Installment Agreement. As such, TTB seeks approval of a revision of this information collection request, OMB Control Number 1513–0093, to include the new installment agreement information collection, submitted by respondents on form TTB F 5600.31. This new information collection is necessary to allow respondents facing economic hardships caused by the ongoing COVID–19 pandemic to seek approval of an installment payment plan for their excise tax liabilities. Such installment plans allow TTB to facilitate full or more complete collection of alcohol, tobacco, firearms, and ammunition excise taxes. Therefore, to allow excise taxpayers to request installment payment agreements using TTB F 5600.31, TTB requests emergency processing and approval of this revised information collection request as soon as possible.

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Authorizing Statute(s): US Code: 26 USC 6159 and 6161 Name of Law: Internal Revenue Code
  

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

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
Application for Installment Agreement	TTB F 5600.31	Application for Installment Agreement
Application for Extension of Time for Payment of Tax	TTB F 5600.38	Application for Extension of Time for Payment of Tax

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ICR Summary of Burden

	Total Request	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	200	30	0	100	70	0
Annual Time Burden (Hours)	300	8	0	200	92	0
Annual Cost Burden (Dollars)	2,000	0	0	1,000	1,000	0

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Miscellaneous Actions

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

Burden Reduction Due to:

Short Statement: Program changes: Previously, this information collection request was titled “Application for Extension of Time for Payment of Tax,” and it contained one information collection of the same title, submitted to TTB using form TTB F 5600.38. However, as a matter of agency discretion in response to the economic hardship faced by many small businesses because of the COVID–19 pandemic, TTB is adding a second information collection to this request to provide an additional method of relief to taxpayers. This second information collection is titled “Application for Installment Agreement,” under which respondents will submit form TTB F 5600.31 and certain supporting documents to request approval of an installment plan to pay outstanding excise tax liabilities. As such, TTB is renaming this information collection request “Application for Extension of Time for Payment of Tax; Application for Installment Agreement.” TTB estimates that this program change will add 100 respondents and 200 hours of total annual burden to this information collection request, with each applicant making one annual response that will require 2 hours to complete. Adjustments: For the existing Application for Extension of Time for Payment of Tax information collection, submitted on TTB F 5600.38, due to changes in agency estimates, TTB is increasing the number of annual respondents, and the per-response and total annual burden associated with that collection. TTB is increasing the number of respondents annually requesting time extensions for payment of tax from 30 to 100. In addition, TTB is increasing the per-response burden associated with that information collection from 15 minutes per response to 1 hour to more accurately account for the time respondents need to gather the supporting documentation required with the time extension request application form, TTB F 5600.38. This results in an increase of the estimated total annual burden for the time extensions for payment of tax collection from 7.5 hours to 100 hours. In addition, TTB is adding a Privacy Act Information statement to that form.

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Annual Cost to Federal Government: $118,700

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

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     Yes

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     Yes

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? Yes

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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: 01/06/2022

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