Taxpayer Identification Number (TIN) Matching Program

DEPARTMENT OF THE TREASURY

26 CFR Part 31

[IA-8-92]

RIN 1545-AR72

Taxpayer Identification Number (TIN) Matching Program

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Notice of proposed rulemaking by cross-reference to temporary

regulations and notice of public hearing.

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SUMMARY: In the Rules and Regulations section of this issue of the

Federal Register, the IRS is issuing temporary regulations relating to

the establishment of a Taxpayer Identification Number (TIN) matching

program under section 3406(i) of the Internal Revenue Code. The text of

those temporary regulations also serves as the text of these proposed

regulations. This document also provides notice of public hearing on

these proposed regulations.

DATES: Written comments must be received by May 5, 1994. Requests to

speak (with outlines of oral comments) at a public hearing scheduled

for Friday, May 20, 1994, at 10 a.m. must be received by April 22,

1994.

ADDRESSES: Send all submissions to: CC:DOM:CORP:T:R (IA-8-92), room

5228, Internal Revenue Service, POB 7406, Ben Franklin Station, NW.,

Washington, DC 20044. In the alternative, all submissions may be hand

delivered to: CC:DOM:CORP:T:R (IA-8-92), Internal Revenue Service, room

5228, 1111 Constitution Avenue, NW., Washington, DC 20224.

FOR FURTHER INFORMATION CONTACT: Renay France, (202) 622-4910

concerning the regulations; Carol Savage, Regulations Unit, at (202)

622-7910 concerning the hearing; and Frances Drummond, (304) 263-8700

concerning operational and systemic questions on the TIN matching

program (not toll-free numbers).

SUPPLEMENTARY INFORMATION:

Background

The temporary regulations published in the Rules and Regulations

section of this issue of the Federal Register add Sec. 35a.3406-3 to

the Temporary Employment Tax Regulations under the Interest and

Dividend Tax Compliance Act of 1983. The text of those temporary

regulations also serves as the text of these proposed regulations. The

preamble to the temporary regulations explains the temporary

regulations. Also, see Revenue Procedure 94-24, appearing in the I.R.B.

dated April 4, 1994, which applies in tandem with the temporary rules.

Special Analyses

It has been determined that this notice of proposed rulemaking is

not a significant regulatory action as defined in EO 12866. Therefore,

a regulatory assessment is not required. It also has been determined

that section 553(b) of the Administrative Procedure Act (5 U.S.C.

chapter 5) and the Regulatory Flexibility Act (5 U.S.C. chapter 6) do

not apply to these regulations, and, therefore, a Regulatory

Flexibility Analysis is not required. Pursuant to section 7805(f) of

the Internal Revenue Code, this notice of proposed rulemaking will be

submitted to the Chief Counsel for Advocacy of the Small Business

Administration for comment on its impact on small business.

Comments and Public Hearing

Before these proposed regulations are adopted as final regulations,

consideration will be given to any written comments that are submitted

timely (preferably a signed original and eight copies) to the IRS. All

comments will be available for public inspection and copying.

A public hearing has been scheduled for Friday, May 20, 1994 at 10

a.m. in the IRS Auditorium, Internal Revenue Service Building, 1111

Constitution Avenue, NW., Washington, DC. Because of access

restrictions, visitors will not be admitted beyond the building lobby

more than 15 minutes before the hearing starts.

The rules of Sec. 601.601(a)(3) apply to the hearing.

Persons that have submitted written comments by May 5, 1994 and

want to present oral comments at the hearing must submit by Friday,

April 2, 1994, an outline of the topics to be discussed and the time to

be devoted to each topic. A period of 10 minutes will be allotted to

each person for making comments.

An agenda showing the scheduling of the speakers will be prepared

after the deadline for receiving outlines has passed. Copies of the

agenda will be available free of charge at the hearing.

Drafting Information

The principal author of these regulations is Renay France, Office

of Assistant Chief Counsel, Income Tax and Accounting. However, other

personnel from the IRS and Treasury Department participated in their

development.

List of Subjects in 26 CFR Part 31

Employment taxes, Income taxes, Penalties, Pensions, Railroad

retirement, Reporting and recordkeeping requirements, Social security,

Unemployment compensation.

Proposed Amendments to the Regulations

Accordingly, 26 CFR part 31 is proposed to be amended as follows:

PART 31--EMPLOYMENT TAXES AND COLLECTION OF INCOME TAX AT THE

SOURCE

Paragraph 1. The authority citation for part 31 is amended by

adding the following entry in numerical order to read as follows:

Authority: 26 U.S.C. 7805 * * *

Section 31.3406-3 also issued under 26 U.S.C. 3406(i). * * *

Para. 2. Section 31.3406-3 is proposed to be added to read as

follows:

Sec. 31.3406-3 Taxpayer Identification Number (TIN) matching program.

[The text of this proposed section is the same as the text of

Sec. 35a.3406-3 published elsewhere in this issue of the Federal

Register].

Margaret Milner Richardson,

Commissioner of Internal Revenue.

[FR Doc. 94-6583 Filed 3-21-94; 8:45 am]

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