Automatic Extension of Time for Filing Individual Income Tax Returns

DEPARTMENT OF THE TREASURY

26 CFR Parts 1 and 301

[IA-41-93]

RIN 1545-AS04

Automatic Extension of Time for Filing Individual Income Tax

Returns

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 that reflect

the new procedures for obtaining an automatic extension of time to file

an individual income tax return. The text of the temporary regulations

also serves as the comment document for this notice of proposed

rulemaking. This document also provides notice of a public hearing on

these proposed regulations.

DATES: Written comments must be received by April 1, 1996. Outlines of

topics to be discussed at the public hearing scheduled for May 8, 1996,

beginning at 10:00 a.m. must be received by April 1, 1996.

ADDRESSES: Send submissions to: CC:DOM:CORP:R (IA-41-93), room 5228,

Internal Revenue Service, POB 7604, Ben Franklin Station, Washington,

DC 20044. In the alternative, submissions may be hand delivered between

the hours of 8 a.m. and 5 p.m. to: CC:DOM:CORP:R (IA-41-93), Courier's

Desk, Internal Revenue Service, 1111 Constitution Avenue, NW.,

Washington, DC. The public hearing will be held in the IRS Auditorium.

FOR FURTHER INFORMATION CONTACT: Concerning the regulations, Margaret

A. Owens, 202-622-6232 (not a toll-free number). Concerning submissions

and the public hearing, Michael Slaughter, 202-622-7190 (not a toll-

free number).

SUPPLEMENTARY INFORMATION:

Paperwork Reduction Act

The collection of information contained in this notice of proposed

rulemaking has been submitted to the Office of Management and Budget

for review in accordance with the Paperwork Reduction Act of 1995 (44

U.S.C. 3507).

Comments on the collection of information should be sent to the

Office of Management and Budget, Attn: Desk Officer for the Department

of the Treasury, Office of Information and Regulatory Affairs,

Washington, DC 20503, with copies to the Internal Revenue Service,

Attn: IRS Reports Clearance Officer, T:FP, Washington, DC 20224.

Comments on the collection of information should be received by March

4, 1996.

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 control number.

The collection of information is in Sec. 1.6081-4T(a). This

information is required by the IRS to monitor the filing of individual

income tax returns. This information will be used to determine which

individuals need automatic 4-month extensions of time to file. The

likely respondents are individuals or households. Responses to this

collection of information are required to obtain a benefit (an

automatic 4-month extension of time to file an individual income tax

return).

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.

Estimates of the reporting burden in this Notice of Proposed

Rulemaking will be reflected in the burden of Form 4868.

Background

The temporary regulations published in the Rules and Regulations

section of this issue of the Federal Register contain amendments to the

Income Tax Regulations (26 CFR part 1) and the Regulations on Procedure

and Administration (26 CFR part 301). The temporary regulations provide

rules relating to obtaining an automatic 4-month extension of time to

file an individual income tax return. The text of the temporary

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

preamble to the temporary regulations explains these proposed

regulations.

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 rules, and therefore, a Regulatory Flexibility

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

Revenue Code, a copy of this notice of proposed rulemaking will be

submitted to the Chief Counsel for

[[Page 339]]

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 (a signed original

and eight (8) copies) that are submitted timely to the IRS. All

comments will be available for public inspection and copying.

A public hearing has been scheduled for May 8, 1996, at 10:00 a.m.,

at the IRS Auditorium. Because of access restrictions, visitors will

not be admitted beyond the building lobby more than 15 minutes before

the hearing starts.

The rules of 26 CFR 601.601(a)(3) apply to the hearing.

Persons who wish to present oral comments at the hearing must

submit written comments by April 1, 1996, and submit an outline of the

topics to be discussed and the time to be devoted to each topic (signed

original and eight (8) copies) by April 1, 1996.

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 comments has passed. Copies of the

agenda will be available free of charge at the hearing.

Drafting Information

The principal author of these regulations is Margaret A. Owens,

Office of the Assistant Chief Counsel (Income Tax & Accounting), IRS.

However, other personnel from the IRS and Treasury Department

participated in their development.

List of Subjects

26 CFR Part 1

Income taxes, Reporting and recordkeeping requirements.

26 CFR Part 301

Employment taxes, Estate taxes, Excise taxes, Gift taxes, Income

taxes, Penalties, Reporting and recordkeeping requirements.

Proposed Amendments to the Regulations

Accordingly, 26 CFR parts 1 and 301 are proposed to be amended as

follows:

PART 1--INCOME TAXES

Paragraph 1. The authority citation for part 1 continues to read in

part as follows:

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

Par. 2. Section 1.6081-4 is amended by:

1. Revising paragraph (a).

2. Adding paragraph (d).

The revised and added provisions read as follows:

Sec. 1.6081-4 Automatic extension of time for filing individual income

tax returns.

[The text of proposed paragraphs (a) and (d) are the same as the text

of Sec. 1.6081-4T (a) and (d) published elsewhere in this issue of the

Federal Register].

PART 301--PROCEDURE AND ADMINISTRATION

Par. 3. The authority citation for part 301 continues to read in

part as follows:

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

Par. 4. In Sec. 301.6651-1, paragraph (c)(3) is revised to read as

follows:

Sec. 301.6651-1 Failure to file tax return or to pay tax.

* * * * *

(c)(3) [The text of this proposed paragraph (c)(3) is the same as

the text of Sec. 301.6651-1T(c)(3) published elsewhere in this issue of

the Federal Register].

* * * * *

Margaret Milner Richardson,

Commissioner of Internal Revenue.

[FR Doc. 96-115 Filed 1-3-96; 8:45 am]

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