NPRM-REG-132422-17 Regulations on Income and Currency Gain or Loss with Respect to a Qualified Business Unit

Forms and Documents

Document Name	Status
REG_SupportingStatement_987_10.19.23.docx Supporting Statement A	2023-11-06

IC Document Collections

IC ID	Document Title	Status
263242	REG-132422-17 (NPRM) Income and Currency Gain or Loss with Respect to a Qualified Business Unit	New

ICR Details

OMB Control No:	ICR Reference No: 202311-1545-002
Status: Received in OIRA	Previous ICR Reference No:
Agency/Subagency: TREAS/IRS	Agency Tracking No:
Title: NPRM-REG-132422-17 Regulations on Income and Currency Gain or Loss with Respect to a Qualified Business Unit
Type of Information Collection: New collection (Request for a new OMB Control Number)	Common Form ICR:  No
Type of Review Request: Regular	Date Submitted to OIRA: 11/14/2023

	Requested	Previously Approved
Expiration Date	36 Months From Approved
Responses	15	0
Time Burden (Hours)	29	0
Cost Burden (Dollars)	1,767	0

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Abstract: This NPRM provides proposed regulations under section 987 regarding the determination of taxable income or loss and foreign currency gain or loss with respect to a qualified business unit. The NPRM proposes modifications to the 2016 final regulations (81 FR 88806); the proposed modifications are intended to provide simplifying elections. This NPRM was initiated in response to Executive Order 13789 and Notice 2017-38.Section 987 of the Internal Revenue code ("Code") (26 U.S.C. §987) provides rules on translating the income or loss of section 987 qualified business units (“QBUs”) and adjustments made for transfers of property between a QBU and its owner. The collections of information in the proposed regulations with respect to 26 U.S.C. §987 are in proposed 26 C.F.R. §§1.987-1(g), 1.987-9, and 1.987-10(k).

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Authorizing Statute(s): US Code: 26 USC 987 Name of Law: Tax Reform Act of 1986
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
1545-BO07	Proposed rulemaking	88 FR 77921	11/14/2023

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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: 1

IC Title	Form No.	Form Name
REG-132422-17 (NPRM) Income and Currency Gain or Loss with Respect to a Qualified Business Unit

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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	15	0	0	15	0	0
Annual Time Burden (Hours)	29	0	0	29	0	0
Annual Cost Burden (Dollars)	1,767	0	0	1,767	0	0

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

Burden Increase Due to: Changing Regulations

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

Burden Reduction Due to:

Short Statement: This is a new collection.

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Annual Cost to Federal Government: $0

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.     No

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.     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? No

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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: 11/14/2023

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