81_FR_20656 81 FR 20588 - Inversions and Related Transactions

81 FR 20588 - Inversions and Related Transactions

DEPARTMENT OF THE TREASURY
Internal Revenue Service

Federal Register Volume 81, Issue 68 (April 8, 2016)

Page Range20588-20591
FR Document2016-07299

The Department of Treasury (Treasury Department) and the IRS are issuing temporary regulations that address transactions that are structured to avoid the purposes of sections 7874 and 367 of the Internal Revenue Code (the Code) and certain post-inversion tax avoidance transactions in the Rules and Regulations section of this issue of the Federal Register. The temporary regulations affect certain domestic corporations and domestic partnerships whose assets are directly or indirectly acquired by a foreign corporation and certain persons related to such domestic corporations and domestic partnerships. The text of the temporary regulations also serves as the text of these proposed regulations.

Federal Register, Volume 81 Issue 68 (Friday, April 8, 2016) 
[Federal Register Volume 81, Number 68 (Friday, April 8, 2016)]
[Proposed Rules]
[Pages 20588-20591]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-07299]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

[REG-135734-14]
RIN 1545-BM45


Inversions and Related Transactions

AGENCY: Internal Revenue Service (IRS), Treasury.

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

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SUMMARY: The Department of Treasury (Treasury Department) and the IRS 
are issuing temporary regulations that address transactions that are 
structured to avoid the purposes of sections 7874 and 367 of the 
Internal Revenue Code (the Code) and certain post-inversion tax 
avoidance transactions in the Rules and Regulations section of this 
issue of the Federal Register. The temporary regulations affect certain 
domestic corporations and domestic partnerships whose assets are 
directly or indirectly acquired by a foreign corporation and certain 
persons related to such domestic corporations and domestic 
partnerships. The text of the temporary regulations also serves as the 
text of these proposed regulations.

DATES: Written or electronic comments and requests for a public hearing 
must be received by July 7, 2016.

ADDRESSES: Send submissions to: CC:PA:LPD:PR (REG-135734-14), room 
5203, Internal Revenue Service, P.O. Box 7604, Ben Franklin Station, 
Washington, DC 20224. Submissions may be hand-delivered Monday through 
Friday between the hours of 8 a.m. and 4 p.m. to CC:PA:LPD:PR (REG-
135734-14), Courier's Desk, Internal Revenue Service, 1111 Constitution 
Avenue NW., Washington, DC 20224, or sent electronically via the 
Federal eRulemaking Portal at http://www.regulations.gov (IRS REG-
135734-14).

FOR FURTHER INFORMATION CONTACT: Concerning the proposed regulations 
under sections 304, 367, and 7874, Shane M. McCarrick or David A. 
Levine, (202) 317-6937; concerning the proposed regulations under 
sections 956 and 7701(l), Rose E. Jenkins, (202) 317-6934 (not toll-
free numbers); concerning submissions of comments or requests for a 
public hearing, Regina Johnson, (202) 317-5177 (not toll-free numbers).

SUPPLEMENTARY INFORMATION: 

Background

    The temporary regulations in the Rules and Regulations section of 
this issue of the Federal Register contain regulations under sections 
304, 367, 954, 956, 7701(l), and 7874 of the Internal Revenue Code 
(Code) that address transactions that are structured to avoid the 
purposes of sections 7874 and 367 of the Internal Revenue Code (the 
Code) and certain post-inversion tax avoidance transactions. The text 
of the temporary regulations also serves as the text of the proposed 
regulations herein. The preamble to the temporary regulations explains 
the temporary regulations and the corresponding proposed regulations.

Special Analyses

    Certain IRS regulations, including this one, are exempt from the 
requirements of Executive Order 12866, as supplemented and reaffirmed 
by Executive Order 13563. Therefore, a regulatory assessment is not 
required. It has also been determined that section 553(b) of the 
Administrative Procedure Act (5 U.S.C. Chapter 5) does not apply to 
these regulations, and because the regulations do not impose a 
collection of information on small entities, the Regulatory Flexibility 
Act (5 U.S.C. chapter 6) does not apply. Pursuant to section 7805(f), 
this notice of proposed rulemaking has been submitted to the Chief 
Counsel of Advocacy of the Small Business Administration for comment on 
its impact on small business.

Comments and Requests for Public Hearing

    Before these proposed regulations are adopted as final regulations, 
consideration will be given to any comments that are submitted timely 
to the IRS as prescribed in this preamble under the ADDRESSES heading. 
Treasury and the IRS request comments on all aspects of the proposed 
rules. All comments will be available at www.regulations.gov or upon 
request. A public hearing will be scheduled if requested in writing by 
any person that timely submits electronic or written comments. If a 
public hearing is scheduled, notice of the date, time, and place for 
the public hearing will be published in the Federal Register.

Drafting Information

    The principal authors of these proposed regulations are Rose E. 
Jenkins, David A. Levine, and Shane M. McCarrick of the Office of 
Associate Chief Counsel (International). However, other personnel from 
the Treasury Department and the IRS participated in their development.

List of Subjects in 26 CFR Part 1

    Income taxes, Reporting and recordkeeping requirements.

Proposed Amendments to the Regulations

    Accordingly, 26 CFR part 1 is proposed to be amended as follows:

PART 1--INCOME TAXES

0
Paragraph 1. The authority citation for part 1 is amended by adding and 
revising entries in numerical order to read in part as follows:

    Authority:  26 U.S.C. 7805 * * *
    Section 1.304-7 also issued under 26 U.S.C. 304(b)(5)(C).
    Section 1.367(b)-4 also issued under 26 U.S.C. 367(a), 367(b), 
and 954(c)(6)(A).
    Section 1.956-2 also issued under 26 U.S.C. 956(d) and 956(e).

[[Page 20589]]

    Section 1.7701(l)-4 also issued under 26 U.S.C. 7701(l) and 
954(c)(6)(A).
    Section 1.7874-2 also issued under 26 U.S.C. 7874(c)(6) and 
7874(g).
    Section 1.7874-4 also issued under 26 U.S.C. 7874(c)(6) and 
7874(g).
    Section 1.7874-6 also issued under 26 U.S.C. 7874(c)(6) and 
7874(g).
    Section 1.7874-7 also issued under 26 U.S.C. 7874(c)(6) and 
7874(g).
    Section 1.7874-8 also issued under 26 U.S.C. 7874(c)(6) and 
7874(g).
    Section 1.7874-9 also issued under 26 U.S.C. 7874(c)(6) and 
7874(g).
    Section 1.7874-10 also issued under 26 U.S.C. 7874(c)(4) and 
7874(g).
    Section 1.7874-11 also issued under 26 U.S.C. 7874(g).
    Section 1.7874-12 also issued under 26 U.S.C. 7874(g).

0
Par. 2. Section 1.304-7 is added to read as follows:


Sec.  1.304-7  Certain acquisitions by foreign acquiring corporations.

    [The text of proposed Sec.  1.304-7 is the same as the text of 
Sec.  1.304-7T published elsewhere in this issue of the Federal 
Register.]
0
Par. 3. Section 1.367(a)-3 is amended by revising paragraphs 
(c)(3)(iii)(C) and (c)(11)(ii) to read as follows:


Sec.  1.367(a)-3  Treatment of transfers of stock or securities to 
foreign corporations.

* * * * *
    (c) * * *
    (3) * * *
    (iii) * * *
    (C) [The text of the proposed amendment to Sec.  1.367(a)-
3(c)(3)(iii)(C) is the same as the text of Sec.  1.367(a)-
3T(c)(3)(iii)(C) published elsewhere in this issue of the Federal 
Register.]
* * * * *
    (11) * * *
    (ii) [The text of the proposed amendment to Sec.  1.367(a)-
3(c)(11)(ii) is the same as the text of Sec.  1.367(a)-3T(c)(11)(ii) 
published elsewhere in this issue of the Federal Register.]
* * * * *
0
Par. 4. Section 1.367(b)-4 is amended by revising paragraph (a), 
paragraph (b) introductory text, and paragraphs (b)(1)(i)(C), (d)(1), 
(e), (f), (g), and (h) to read as follows:


Sec.  1.367(b)-4  Acquisition of foreign corporate stock or assets by a 
foreign corporation in certain nonrecognition transactions.

    (a) [The text of the proposed amendment to Sec.  1.367(b)-4(a) is 
the same as the text of Sec.  1.367(b)-4T(a) published elsewhere in 
this issue of the Federal Register.]
    (b) [The text of the proposed amendment to the introductory text to 
Sec.  1.367(b)-4(b) is the same as the introductory text of Sec.  
1.367(b)-4T(b) published elsewhere in this issue of the Federal 
Register.]
    (1) * * *
    (i) * * *
    (C) [The text of the proposed amendment to Sec.  1.367(b)-
4(b)(1)(i)(C) is the same as the text of Sec.  1.367(b)-4T(b)(1)(i)(C) 
published elsewhere in this issue of the Federal Register.]
* * * * *
    (d) * * *
    (1) [The text of the proposed amendment to Sec.  1.367(b)-4(d)(1) 
is the same as the text of Sec.  1.367(b)-4T(d)(1) published elsewhere 
in this issue of the Federal Register.]
* * * * *
    (e) [The text of the proposed amendment to Sec.  1.367(b)-4(e) is 
the same as the text of Sec.  1.367(b)-4T(e) published elsewhere in 
this issue of the Federal Register.]
    (f) [The text of the proposed amendment to Sec.  1.367(b)-4(f) is 
the same as the text of Sec.  1.367(b)-4T(f) published elsewhere in 
this issue of the Federal Register.]
    (g) [The text of the proposed amendment to Sec.  1.367(b)-4(g) is 
the same as the text of Sec.  1.367(b)-4T(g) published elsewhere in 
this issue of the Federal Register.]
    (h) [The text of proposed Sec.  1.367(b)-4(h) is the same as the 
text of Sec.  1.367(b)-4T(h) published elsewhere in this issue of the 
Federal Register.]
0
Par. 5. Section 1.956-2 is amended by revising paragraphs (a)(4), 
(c)(5), (d)(2), and (i) to read as follows:


Sec.  1.956-2  Definition of United States property.

    (a) * * *
    (4) [The text of the proposed amendment to Sec.  1.956-2(a)(4) is 
the same as the text of Sec.  1.956-2T(a)(4) published elsewhere in 
this issue of the Federal Register.]
* * * * *
    (c) * * *
    (5) [The text of the proposed amendment to Sec.  1.956-2(c)(5) is 
the same as the text of Sec.  1.956-2T(c)(5) published elsewhere in 
this issue of the Federal Register.]
    (d) * * *
    (2) [The text of the proposed amendment to Sec.  1.956-2(d)(2) is 
the same as the text of Sec.  1.956-2T(d)(2) published elsewhere in 
this issue of the Federal Register.]
* * * * *
    (i) [The text of the proposed amendment to Sec.  1.956-2(i) is the 
same as the text of Sec.  1.956-2T(i) published elsewhere in this issue 
of the Federal Register.]
0
Par. 6. Section 1.7701(l)-4 is added to read as follows:


Sec.  1.7701(l)-4  Rules regarding inversion transactions.

    [The text of proposed Sec.  1.7701(l)-4 is the same as the text of 
Sec.  1.7701(l)-4T published elsewhere in this issue of the Federal 
Register.]
0
Par. 7. Section 1.7874-1 is amended by revising paragraphs (c)(2)(iii), 
(f), and (h)(2) to read as follows.


Sec.  1.7874-1  Disregard of affiliate-owned stock.

* * * * *
    (c) * * *
    (2) * * *
    (iii) [The text of the proposed amendment to Sec.  1.7874-
1(c)(2)(iii) is the same as the text of Sec.  1.7874-1T(c)(2)(iii) 
published elsewhere in this issue of the Federal Register.]
* * * * *
    (f) [The text of the proposed amendment to Sec.  1.7874-1(f) is the 
same as the text of Sec.  1.7874-1T(f) published elsewhere in this 
issue of the Federal Register.]
* * * * *
    (h) * * *
    (2) [The text of the proposed amendment to Sec.  1.7874-1(h)(2) is 
the same as the text of Sec.  1.7874-1T(h)(2) published elsewhere in 
this issue of the Federal Register.]
0
Par. 8. Section 1.7874-2 is amended by:
0
1. Revising paragraphs (a), (b)(7), (b)(8), (b)(9), (b)(10), (b)(11), 
(b)(12), (b)(13), (c)(2), and (c)(4).
0
2. Revising paragraph (f)(1) introductory text.
0
3. Revising paragraph (f)(1)(iv).
0
4. Revising Example 21 of paragraph (k)(2).
0
5. Revising paragraph (l)(2).
    The revisions read as follows:


Sec.  1.7874-2  Surrogate foreign corporation.

    (a) [The text of the proposed amendment to Sec.  1.7874-2(a) is the 
same as the text of Sec.  1.7874-2T(a) published elsewhere in this 
issue of the Federal Register.]
    (b) * * *
    (7) [The text of the proposed amendment to Sec.  1.7874-2(b)(7) is 
the same as the text of Sec.  1.7874-2T(b)(7) published elsewhere in 
this issue of the Federal Register.]
    (8) [The text of the proposed amendment to Sec.  1.7874-2(b)(8) is 
the same as the text of Sec.  1.7874-2T(b)(8) published elsewhere in 
this issue of the Federal Register.]
    (9) [The text of the proposed amendment to Sec.  1.7874-2(b)(9) is 
the same as the text of Sec.  1.7874-2T(b)(9) published elsewhere in 
this issue of the Federal Register.]
    (10) [The text of the proposed amendment to Sec.  1.7874-2(b)(10) 
is the

[[Page 20590]]

same as the text of Sec.  1.7874-2T(b)(10) published elsewhere in this 
issue of the Federal Register.]
    (11) [The text of the proposed amendment to Sec.  1.7874-2(b)(11) 
is the same as the text of Sec.  1.7874-2T(b)(11) published elsewhere 
in this issue of the Federal Register.]
    (12) [The text of the proposed amendment to Sec.  1.7874-2(b)(12) 
is the same as the text of Sec.  1.7874-2T(b)(12) published elsewhere 
in this issue of the Federal Register.]
    (13) [The text of the proposed amendment to Sec.  1.7874-2(b)(13) 
is the same as the text of Sec.  1.7874-2T(b)(13) published elsewhere 
in this issue of the Federal Register.]
    (c) * * *
    (2) [The text of the proposed amendment to Sec.  1.7874-2(c)(2) is 
the same as the text of Sec.  1.7874-2T(c)(2) published elsewhere in 
this issue of the Federal Register.]
* * * * *
    (4) [The text of the proposed amendment to Sec.  1.7874-2(c)(4) is 
the same as the text of Sec.  1.7874-2T(c)(4) published elsewhere in 
this issue of the Federal Register.]
* * * * *
    (f) * * *
    (1) [The proposed amendment to the introductory text of Sec.  
1.7874-2(f)(1) is the same as the introductory text of Sec.  1.7874-
2T(f)(1) published elsewhere in this issue of the Federal Register.]
* * * * *
    (iv) [The text of the proposed amendment to Sec.  1.7874-
2(f)(1)(iv) is the same as the text of Sec.  1.7874-2T(f)(1)(iv) 
published elsewhere in this issue of the Federal Register.]
* * * * *
    (k) * * *
    (2) * * *
    Example 21. [The text of the proposed amendment to Example 21 of 
Sec.  1.7874-2(k)(2) is the same as the text of Example 21 of Sec.  
1.7874-2T(k)(2) published elsewhere in this issue of the Federal 
Register.]
    (l) * * *
    (2) [The text of the proposed amendment to Sec.  1.7874-2(l)(2) is 
the same as the text of Sec.  1.7874-2T(l)(2) published elsewhere in 
this issue of the Federal Register.]
0
Par. 9. Section 1.7874-3 is amended by revising paragraphs (b)(4), 
(d)(10), and (f)(2) to read as follows:


Sec.  1.7874-3  Substantial business activities.

* * * * *
    (b) * * *
    (4) [The text of the proposed amendment to Sec.  1.7874-3(b)(4) is 
the same as the text of Sec.  1.7874-3T(b)(4) published elsewhere in 
this issue of the Federal Register.]
* * * * *
    (d) * * *
    (10) [The text of the proposed amendment to Sec.  1.7874-3(d)(10) 
is the same as the text of Sec.  1.7874-3T(d)(10) published elsewhere 
in this issue of the Federal Register.]
    (f) * * *
    (2) [The text of the proposed amendment to Sec.  1.7874-3(f)(2) is 
the same as the text of Sec.  1.7874-3T(f)(2) published elsewhere in 
this issue of the Federal Register.]
0
Par. 10. Section 1.7874-4 is added to read as follows.


Sec.  1.7874-4  Disregard of certain stock related to the acquisition.

    (a) through (c)(1) introductory text [Reserved].
    (i) [The text of proposed Sec.  1.7874-4(c)(1)(i) is the same as 
the text of Sec.  1.7874-4T(c)(1)(i) as revised elsewhere in this issue 
of the Federal Register.]
    (ii) [Reserved].
    (B) [The text of proposed Sec.  1.7874-4(c)(1)(ii)(B) is the same 
as the text of Sec.  1.7874-4T(c)(1)(ii)(B) as revised elsewhere in 
this issue of the Federal Register.]
    (2) [The text of proposed Sec.  1.7874-4(c)(2) is the same as the 
text of Sec.  1.7874-4T(c)(2) as revised elsewhere in this issue of the 
Federal Register.]
    (d) introductory text through (d)(1) introductory text [Reserved].
    (i) [The text of proposed Sec.  1.7874-4(d)(1)(i) is the same as 
the text of Sec.  1.7874-4T(d)(1)(i) published elsewhere in this issue 
of the Federal Register.]
    (ii) [The text of proposed Sec.  1.7874-4(d)(1)(ii) is the same as 
the text of Sec.  1.7874-4T(d)(1)(ii) as revised elsewhere in this 
issue of the Federal Register.]
    (d)(2) through (g) [Reserved].
    (h) [The text of proposed Sec.  1.7874-4(h) is the same as the text 
of Sec.  1.7874-4T(h) as revised elsewhere in this issue of the Federal 
Register.]
    (i) introductory text through (i)(5) [Reserved].
    (6) [The text of proposed Sec.  1.7874-4(i)(6) is the same as the 
text of Sec.  1.7874-4T(i)(6) published elsewhere in this issue of the 
Federal Register.]
    (i)(7) introductory text through (i)(7)(iii) introductory text 
[Reserved].
    (C) [The text of proposed Sec.  1.7874-4(i)(7)(iii)(C) is the same 
as the text of Sec.  1.7874-4T(i)(7)(iii)(C) as revised elsewhere in 
this issue of the Federal Register.]
    (iv) [The text of proposed Sec.  1.7874-4(i)(7)(iv) is the same as 
the text of Sec.  1.7874-4T(i)(7)(iv) published elsewhere in this issue 
of the Federal Register.]
    (j) introductory text through (j)(6) [Reserved].
    (7) [The text of proposed Sec.  1.7874-4(j)(7) is the same as the 
text of Sec.  1.7874-4T(j)(7) as revised elsewhere in this issue of the 
Federal Register.]
    (8) [The text of proposed Sec.  1.7874-4(j)(8) is the same as the 
text of Sec.  1.7874-4T(j)(8) as revised elsewhere in this issue of the 
Federal Register.]
    (9) [The text of proposed Sec.  1.7874-4(j)(9) is the same as the 
text of Sec.  1.7874-4T(j)(9) published elsewhere in this issue of the 
Federal Register.]
    (10) [The text of proposed Sec.  1.7874-4(j)(10) is the same as the 
text of Sec.  1.7874-4T(j)(10) published elsewhere in this issue of the 
Federal Register.]
    (11) [The text of proposed Sec.  1.7874-4(j)(11) is the same as the 
text of Sec.  1.7874-4T(j)(11) published elsewhere in this issue of the 
Federal Register.]
    Example 1 introductory text through Example 1 paragraph (i) 
[Reserved].
    (ii) [The text of proposed paragraph (ii) of Example 1 of Sec.  
1.7874-4(j) is the same as the text of paragraph (ii) of Example 1 of 
Sec.  1.7874-4T(j) as revised elsewhere in this issue of the Federal 
Register.]
    Example 2 introductory text through Example 2 paragraph (i) 
[Reserved].
    (ii) [The text of proposed paragraph (ii) of Example 2 of Sec.  
1.7874-4(j) is the same as the text of paragraph (ii) of Example 2 of 
Sec.  1.7874-4T(j) as revised elsewhere in this issue of the Federal 
Register.]
    Example 3. [The text of proposed Example 3 of Sec.  1.7874-4(j) is 
the same as the text of Example 3 of Sec.  1.7874-4T(j) published 
elsewhere in this issue of the Federal Register.]
    Example 4. [The text of proposed Example 4 of Sec.  1.7874-4(j) is 
the same as the text of Example 4 of Sec.  1.7874-4T(j) as redesignated 
and revised elsewhere in this issue of the Federal Register.]
    Example 5. [The text of proposed Example 5 of Sec.  1.7874-4(j) is 
the same as the text of Example 5 of Sec.  1.7874-4T(j) as redesignated 
and revised elsewhere in this issue of the Federal Register.]
    Example 6. [The text of proposed Example 6 of Sec.  1.7874-4(j) is 
the same as the text of Example 6 of Sec.  1.7874-4T(j) as redesignated 
and revised elsewhere in this issue of the Federal Register.]
    Example 7. [The text of proposed Example 7 of Sec.  1.7874-4(j) is 
the same as the text of Example 7 of Sec.  1.7874-4T(j) as redesignated 
and revised elsewhere in this issue of the Federal Register.]

[[Page 20591]]

    Example 8. [The text of proposed Example 8 of Sec.  1.7874-4(j) is 
the same as the text of Example 8 of Sec.  1.7874-4T(j) as redesignated 
and revised elsewhere in this issue of the Federal Register.]
    Example 9. [The text of proposed Example 9 of Sec.  1.7874-4(j) is 
the same as the text of Example 9 of Sec.  1.7874-4T(j) as redesignated 
and revised elsewhere in this issue of the Federal Register.]
    (k) introductory text [Reserved].
    (1) [The text of proposed Sec.  1.7874-4(k)(1) is the same as the 
text of Sec.  1.7874-4T(k)(1) published elsewhere in this issue of the 
Federal Register.]
    (k)(2) through (k)(3) [Reserved].
0
Par. 11. Section 1.7874-6 is added to read as follows:


Sec.  1.7874-6  Stock transferred by members of the EAG.

    [The text of proposed Sec.  1.7874-6 is the same as the text of 
Sec.  1.7874-6T published elsewhere in this issue of the Federal 
Register.]
0
Par. 12. Section 1.7874-7 is added to read as follows:


Sec.  1.7874-7  Disregard of certain stock attributable to passive 
assets.

    [The text of proposed Sec.  1.7874-7 is the same as the text of 
Sec.  1.7874-7T published elsewhere in this issue of the Federal 
Register.]
0
Par. 13. Section 1.7874-8 is added to read as follows:


Sec.  1.7874-8  Disregard of certain stock attributable to multiple 
domestic entity acquisitions.

    [The text of proposed Sec.  1.7874-8 is the same as the text of 
Sec.  1.7874-8T published elsewhere in this issue of the Federal 
Register.]
0
Par. 14. Section 1.7874-9 is added to read as follows:


Sec.  1.7874-9  Disregard of certain stock in third-country 
transactions.

    [The text of proposed Sec.  1.7874-9 is the same as the text of 
Sec.  1.7874-9T published elsewhere in this issue of the Federal 
Register.]
0
Par. 15. Section 1.7874-10 is added to read as follows:


Sec.  1.7874-10  Disregard of certain distributions.

    [The text of proposed Sec.  1.7874-10 is the same as the text of 
Sec.  1.7874-10T published elsewhere in this issue of the Federal 
Register.]
0
Par. 16. Section 1.7874-11 is added to read as follows:


Sec.  1.7874-11  Rules regarding inversion gain.

    [The text of proposed Sec.  1.7874-11 is the same as the text of 
Sec.  1.7874-11T published elsewhere in this issue of the Federal 
Register.]
0
Par. 17. Section 1.7874-12 is added to read as follows:


Sec.  1.7874-12  Definitions.

    [The text of proposed Sec.  1.7874-12 is the same as the text of 
Sec.  1.7874-12T published elsewhere in this issue of the Federal 
Register.]

John Dalrymple,
Deputy Commissioner for Services and Enforcement.
[FR Doc. 2016-07299 Filed 4-4-16; 5:00 pm]
 BILLING CODE 4830-01-P

20588 Federal Register / Vol. 81, No. 68 / Friday, April 8, 2016 / Proposed Rules 3094). In the Rules and Regulations to avoid the purposes of sections 7874 of Executive Order 12866, as section of this issue of the Federal and 367 of the Internal Revenue Code supplemented and reaffirmed by Register, the Treasury Department and (the Code) and certain post-inversion Executive Order 13563. Therefore, a the IRS are amending certain of the tax avoidance transactions in the Rules regulatory assessment is not required. It temporary regulations in § 1.7874–4T. and Regulations section of this issue of has also been determined that section Accordingly, the Treasury Department the Federal Register. The temporary 553(b) of the Administrative Procedure and the IRS are issuing a notice of regulations affect certain domestic Act (5 U.S.C. Chapter 5) does not apply proposed rulemaking in the Proposed corporations and domestic partnerships to these regulations, and because the Rules section of this issue of the Federal whose assets are directly or indirectly regulations do not impose a collection Register that proposes rules in § 1.7874– acquired by a foreign corporation and of information on small entities, the 4 by cross-reference to the amended certain persons related to such domestic Regulatory Flexibility Act (5 U.S.C. temporary regulations. This document corporations and domestic partnerships. chapter 6) does not apply. Pursuant to withdraws the previously proposed The text of the temporary regulations section 7805(f), this notice of proposed regulations that are replaced by the also serves as the text of these proposed rulemaking has been submitted to the notice of proposed rulemaking in the regulations. Chief Counsel of Advocacy of the Small Proposed Rules section of this issue of DATES: Written or electronic comments Business Administration for comment the Federal Register. and requests for a public hearing must on its impact on small business. List of Subjects in 26 CFR Part 1 be received by July 7, 2016. Comments and Requests for Public ADDRESSES: Send submissions to: Hearing Income taxes, Reporting and CC:PA:LPD:PR (REG–135734–14), room recordkeeping requirements. Before these proposed regulations are 5203, Internal Revenue Service, P.O. adopted as final regulations, Partial Withdrawal of a Notice of Box 7604, Ben Franklin Station, consideration will be given to any Proposed Rulemaking Washington, DC 20224. Submissions comments that are submitted timely to may be hand-delivered Monday through Accordingly, under the authority of the IRS as prescribed in this preamble Friday between the hours of 8 a.m. and 26 U.S.C. 7805, § 1.367(b)–4(e), (f), and under the ADDRESSES heading. Treasury 4 p.m. to CC:PA:LPD:PR (REG–135734– (g) of the notice of proposed rulemaking and the IRS request comments on all 14), Courier’s Desk, Internal Revenue (REG–147636–08) published in the aspects of the proposed rules. All Service, 1111 Constitution Avenue NW., Federal Register on February 11, 2009 comments will be available at Washington, DC 20224, or sent (74 FR 6840) are withdrawn. Also, www.regulations.gov or upon request. A electronically via the Federal under the authority of 26 U.S.C. 7805, public hearing will be scheduled if eRulemaking Portal at http:// § 1.7874–4(c)(1)(i), (c)(1)(ii)(B), (c)(2), requested in writing by any person that www.regulations.gov (IRS REG–135734– (d)(1)(i), (d)(1)(ii), (h), (i)(6), (i)(7)(iii)(C), timely submits electronic or written 14). (i)(7)(iv), (j)(7), (j)(8), and (k)(1), as well comments. If a public hearing is as paragraph (ii) of Example 1, FOR FURTHER INFORMATION CONTACT: scheduled, notice of the date, time, and paragraph (ii) of Example 2, and Concerning the proposed regulations place for the public hearing will be Example 3 through Example 8 of under sections 304, 367, and 7874, published in the Federal Register. § 1.7874–4(j), of the notice of proposed Shane M. McCarrick or David A. Levine, (202) 317–6937; concerning the Drafting Information rulemaking (REG–121534–12) published in the Federal Register on January 17, proposed regulations under sections 956 The principal authors of these 2014 (79 FR 3145) are withdrawn. and 7701(l), Rose E. Jenkins, (202) 317– proposed regulations are Rose E. 6934 (not toll-free numbers); concerning Jenkins, David A. Levine, and Shane M. John Dalrymple, submissions of comments or requests for McCarrick of the Office of Associate Deputy Commissioner for Services and a public hearing, Regina Johnson, (202) Chief Counsel (International). However, Enforcement. 317–5177 (not toll-free numbers). other personnel from the Treasury [FR Doc. 2016–07295 Filed 4–4–16; 5:00 pm] SUPPLEMENTARY INFORMATION: Department and the IRS participated in BILLING CODE 4830–01–P their development. Background The temporary regulations in the List of Subjects in 26 CFR Part 1 DEPARTMENT OF THE TREASURY Rules and Regulations section of this Income taxes, Reporting and issue of the Federal Register contain recordkeeping requirements. Internal Revenue Service regulations under sections 304, 367, Proposed Amendments to the 954, 956, 7701(l), and 7874 of the 26 CFR Part 1 Regulations Internal Revenue Code (Code) that [REG–135734–14] address transactions that are structured Accordingly, 26 CFR part 1 is to avoid the purposes of sections 7874 proposed to be amended as follows: RIN 1545–BM45 and 367 of the Internal Revenue Code (the Code) and certain post-inversion PART 1—INCOME TAXES Inversions and Related Transactions tax avoidance transactions. The text of ■ Paragraph 1. The authority citation AGENCY: Internal Revenue Service (IRS), the temporary regulations also serves as asabaliauskas on DSK3SPTVN1PROD with PROPOSALS for part 1 is amended by adding and Treasury. the text of the proposed regulations revising entries in numerical order to ACTION: Notice of proposed rulemaking herein. The preamble to the temporary read in part as follows: by cross-reference to temporary regulations explains the temporary Authority: 26 U.S.C. 7805 * * * regulation. regulations and the corresponding Section 1.304–7 also issued under 26 proposed regulations. U.S.C. 304(b)(5)(C). SUMMARY: The Department of Treasury Section 1.367(b)–4 also issued under 26 (Treasury Department) and the IRS are Special Analyses U.S.C. 367(a), 367(b), and 954(c)(6)(A). issuing temporary regulations that Certain IRS regulations, including this Section 1.956–2 also issued under 26 address transactions that are structured one, are exempt from the requirements U.S.C. 956(d) and 956(e). VerDate Sep<11>2014 18:31 Apr 07, 2016 Jkt 238001 PO 00000 Frm 00014 Fmt 4702 Sfmt 4702 E:\FR\FM\08APP1.SGM 08APP1

Federal Register / Vol. 81, No. 68 / Friday, April 8, 2016 / Proposed Rules 20589 Section 1.7701(l)–4 also issued under 26 published elsewhere in this issue of the § 1.7701(l)–4 Rules regarding inversion U.S.C. 7701(l) and 954(c)(6)(A). Federal Register.] transactions. Section 1.7874–2 also issued under 26 (1) * * * [The text of proposed § 1.7701(l)–4 is U.S.C. 7874(c)(6) and 7874(g). (i) * * * the same as the text of § 1.7701(l)–4T Section 1.7874–4 also issued under 26 (C) [The text of the proposed published elsewhere in this issue of the U.S.C. 7874(c)(6) and 7874(g). amendment to § 1.367(b)–4(b)(1)(i)(C) is Section 1.7874–6 also issued under 26 Federal Register.] U.S.C. 7874(c)(6) and 7874(g). the same as the text of § 1.367(b)– ■ Par. 7. Section 1.7874–1 is amended Section 1.7874–7 also issued under 26 4T(b)(1)(i)(C) published elsewhere in by revising paragraphs (c)(2)(iii), (f), and U.S.C. 7874(c)(6) and 7874(g). this issue of the Federal Register.] (h)(2) to read as follows. Section 1.7874–8 also issued under 26 * * * * * U.S.C. 7874(c)(6) and 7874(g). § 1.7874–1 Disregard of affiliate-owned (d) * * * Section 1.7874–9 also issued under 26 stock. (1) [The text of the proposed U.S.C. 7874(c)(6) and 7874(g). amendment to § 1.367(b)–4(d)(1) is the * * * * * Section 1.7874–10 also issued under 26 same as the text of § 1.367(b)–4T(d)(1) (c) * * * U.S.C. 7874(c)(4) and 7874(g). published elsewhere in this issue of the (2) * * * Section 1.7874–11 also issued under 26 (iii) [The text of the proposed U.S.C. 7874(g). Federal Register.] amendment to § 1.7874–1(c)(2)(iii) is the Section 1.7874–12 also issued under 26 * * * * * same as the text of § 1.7874–1T(c)(2)(iii) U.S.C. 7874(g). (e) [The text of the proposed published elsewhere in this issue of the ■ Par. 2. Section 1.304–7 is added to amendment to § 1.367(b)–4(e) is the Federal Register.] read as follows: same as the text of § 1.367(b)–4T(e) * * * * * published elsewhere in this issue of the (f) [The text of the proposed § 1.304–7 Certain acquisitions by foreign Federal Register.] amendment to § 1.7874–1(f) is the same acquiring corporations. (f) [The text of the proposed as the text of § 1.7874–1T(f) published [The text of proposed § 1.304–7 is the amendment to § 1.367(b)–4(f) is the elsewhere in this issue of the Federal same as the text of § 1.304–7T published same as the text of § 1.367(b)–4T(f) Register.] elsewhere in this issue of the Federal published elsewhere in this issue of the Register.] Federal Register.] * * * * * ■ Par. 3. Section 1.367(a)–3 is amended (g) [The text of the proposed (h) * * * amendment to § 1.367(b)–4(g) is the (2) [The text of the proposed by revising paragraphs (c)(3)(iii)(C) and same as the text of § 1.367(b)–4T(g) amendment to § 1.7874–1(h)(2) is the (c)(11)(ii) to read as follows: published elsewhere in this issue of the same as the text of § 1.7874–1T(h)(2) § 1.367(a)–3 Treatment of transfers of Federal Register.] published elsewhere in this issue of the stock or securities to foreign corporations. (h) [The text of proposed § 1.367(b)– Federal Register.] * * * * * ■ Par. 8. Section 1.7874–2 is amended 4(h) is the same as the text of § 1.367(b)– (c) * * * 4T(h) published elsewhere in this issue by: (3) * * * ■ 1. Revising paragraphs (a), (b)(7), of the Federal Register.] (iii) * * * ■ Par. 5. Section 1.956–2 is amended by (b)(8), (b)(9), (b)(10), (b)(11), (b)(12), (C) [The text of the proposed revising paragraphs (a)(4), (c)(5), (d)(2), (b)(13), (c)(2), and (c)(4). amendment to § 1.367(a)–3(c)(3)(iii)(C) ■ 2. Revising paragraph (f)(1) and (i) to read as follows: is the same as the text of § 1.367(a)– introductory text. § 1.956–2 Definition of United States ■ 3. Revising paragraph (f)(1)(iv). 3T(c)(3)(iii)(C) published elsewhere in property. ■ 4. Revising Example 21 of paragraph this issue of the Federal Register.] (a) * * * (k)(2). * * * * * ■ 5. Revising paragraph (l)(2). (11) * * * (4) [The text of the proposed amendment to § 1.956–2(a)(4) is the The revisions read as follows: (ii) [The text of the proposed amendment to § 1.367(a)–3(c)(11)(ii) is same as the text of § 1.956–2T(a)(4) § 1.7874–2 Surrogate foreign corporation. the same as the text of § 1.367(a)– published elsewhere in this issue of the (a) [The text of the proposed 3T(c)(11)(ii) published elsewhere in this Federal Register.] amendment to § 1.7874–2(a) is the same issue of the Federal Register.] * * * * * as the text of § 1.7874–2T(a) published (c) * * * elsewhere in this issue of the Federal * * * * * (5) [The text of the proposed Register.] ■ Par. 4. Section 1.367(b)–4 is amended amendment to § 1.956–2(c)(5) is the (b) * * * by revising paragraph (a), paragraph (b) same as the text of § 1.956–2T(c)(5) (7) [The text of the proposed introductory text, and paragraphs published elsewhere in this issue of the amendment to § 1.7874–2(b)(7) is the (b)(1)(i)(C), (d)(1), (e), (f), (g), and (h) to Federal Register.] same as the text of § 1.7874–2T(b)(7) read as follows: (d) * * * published elsewhere in this issue of the § 1.367(b)–4 Acquisition of foreign (2) [The text of the proposed Federal Register.] corporate stock or assets by a foreign amendment to § 1.956–2(d)(2) is the (8) [The text of the proposed corporation in certain nonrecognition same as the text of § 1.956–2T(d)(2) amendment to § 1.7874–2(b)(8) is the transactions. published elsewhere in this issue of the same as the text of § 1.7874–2T(b)(8) asabaliauskas on DSK3SPTVN1PROD with PROPOSALS (a) [The text of the proposed Federal Register.] published elsewhere in this issue of the amendment to § 1.367(b)–4(a) is the * * * * * Federal Register.] same as the text of § 1.367(b)–4T(a) (i) [The text of the proposed (9) [The text of the proposed published elsewhere in this issue of the amendment to § 1.956–2(i) is the same amendment to § 1.7874–2(b)(9) is the Federal Register.] as the text of § 1.956–2T(i) published same as the text of § 1.7874–2T(b)(9) (b) [The text of the proposed elsewhere in this issue of the Federal published elsewhere in this issue of the amendment to the introductory text to Register.] Federal Register.] § 1.367(b)–4(b) is the same as the ■ Par. 6. Section 1.7701(l)–4 is added to (10) [The text of the proposed introductory text of § 1.367(b)–4T(b) read as follows: amendment to § 1.7874–2(b)(10) is the VerDate Sep<11>2014 18:31 Apr 07, 2016 Jkt 238001 PO 00000 Frm 00015 Fmt 4702 Sfmt 4702 E:\FR\FM\08APP1.SGM 08APP1

20590 Federal Register / Vol. 81, No. 68 / Friday, April 8, 2016 / Proposed Rules same as the text of § 1.7874–2T(b)(10) published elsewhere in this issue of the elsewhere in this issue of the Federal published elsewhere in this issue of the Federal Register.] Register.] Federal Register.] * * * * * (j) introductory text through (j)(6) (11) [The text of the proposed (d) * * * [Reserved]. amendment to § 1.7874–2(b)(11) is the (10) [The text of the proposed (7) [The text of proposed § 1.7874– same as the text of § 1.7874–2T(b)(11) amendment to § 1.7874–3(d)(10) is the 4(j)(7) is the same as the text of published elsewhere in this issue of the same as the text of § 1.7874–3T(d)(10) § 1.7874–4T(j)(7) as revised elsewhere in Federal Register.] published elsewhere in this issue of the this issue of the Federal Register.] (12) [The text of the proposed Federal Register.] (8) [The text of proposed § 1.7874– amendment to § 1.7874–2(b)(12) is the (f) * * * 4(j)(8) is the same as the text of same as the text of § 1.7874–2T(b)(12) (2) [The text of the proposed § 1.7874–4T(j)(8) as revised elsewhere in published elsewhere in this issue of the amendment to § 1.7874–3(f)(2) is the this issue of the Federal Register.] Federal Register.] same as the text of § 1.7874–3T(f)(2) (9) [The text of proposed § 1.7874– (13) [The text of the proposed published elsewhere in this issue of the 4(j)(9) is the same as the text of amendment to § 1.7874–2(b)(13) is the Federal Register.] § 1.7874–4T(j)(9) published elsewhere same as the text of § 1.7874–2T(b)(13) ■ Par. 10. Section 1.7874–4 is added to in this issue of the Federal Register.] published elsewhere in this issue of the read as follows. (10) [The text of proposed § 1.7874– Federal Register.] 4(j)(10) is the same as the text of (c) * * * § 1.7874–4 Disregard of certain stock § 1.7874–4T(j)(10) published elsewhere (2) [The text of the proposed related to the acquisition. in this issue of the Federal Register.] amendment to § 1.7874–2(c)(2) is the (a) through (c)(1) introductory text (11) [The text of proposed § 1.7874– same as the text of § 1.7874–2T(c)(2) [Reserved]. 4(j)(11) is the same as the text of published elsewhere in this issue of the (i) [The text of proposed § 1.7874– § 1.7874–4T(j)(11) published elsewhere Federal Register.] 4(c)(1)(i) is the same as the text of in this issue of the Federal Register.] § 1.7874–4T(c)(1)(i) as revised elsewhere Example 1 introductory text through * * * * * (4) [The text of the proposed in this issue of the Federal Register.] Example 1 paragraph (i) [Reserved]. (ii) [Reserved]. (ii) [The text of proposed paragraph amendment to § 1.7874–2(c)(4) is the (B) [The text of proposed § 1.7874– (ii) of Example 1 of § 1.7874–4(j) is the same as the text of § 1.7874–2T(c)(4) 4(c)(1)(ii)(B) is the same as the text of same as the text of paragraph (ii) of published elsewhere in this issue of the § 1.7874–4T(c)(1)(ii)(B) as revised Example 1 of § 1.7874–4T(j) as revised Federal Register.] elsewhere in this issue of the Federal elsewhere in this issue of the Federal * * * * * Register.] Register.] (f) * * * (2) [The text of proposed § 1.7874– Example 2 introductory text through (1) [The proposed amendment to the 4(c)(2) is the same as the text of Example 2 paragraph (i) [Reserved]. introductory text of § 1.7874–2(f)(1) is § 1.7874–4T(c)(2) as revised elsewhere (ii) [The text of proposed paragraph the same as the introductory text of in this issue of the Federal Register.] (ii) of Example 2 of § 1.7874–4(j) is the § 1.7874–2T(f)(1) published elsewhere (d) introductory text through (d)(1) same as the text of paragraph (ii) of in this issue of the Federal Register.] introductory text [Reserved]. Example 2 of § 1.7874–4T(j) as revised * * * * * (i) [The text of proposed § 1.7874– elsewhere in this issue of the Federal (iv) [The text of the proposed 4(d)(1)(i) is the same as the text of Register.] amendment to § 1.7874–2(f)(1)(iv) is the § 1.7874–4T(d)(1)(i) published Example 3. [The text of proposed same as the text of § 1.7874–2T(f)(1)(iv) elsewhere in this issue of the Federal Example 3 of § 1.7874–4(j) is the same published elsewhere in this issue of the Register.] as the text of Example 3 of § 1.7874– Federal Register.] (ii) [The text of proposed § 1.7874– 4T(j) published elsewhere in this issue * * * * * 4(d)(1)(ii) is the same as the text of of the Federal Register.] (k) * * * § 1.7874–4T(d)(1)(ii) as revised Example 4. [The text of proposed (2) * * * elsewhere in this issue of the Federal Example 4 of § 1.7874–4(j) is the same Example 21. [The text of the proposed Register.] as the text of Example 4 of § 1.7874– amendment to Example 21 of § 1.7874– (d)(2) through (g) [Reserved]. 4T(j) as redesignated and revised 2(k)(2) is the same as the text of (h) [The text of proposed § 1.7874– elsewhere in this issue of the Federal Example 21 of § 1.7874–2T(k)(2) 4(h) is the same as the text of § 1.7874– Register.] published elsewhere in this issue of the 4T(h) as revised elsewhere in this issue Example 5. [The text of proposed Federal Register.] of the Federal Register.] Example 5 of § 1.7874–4(j) is the same (l) * * * (i) introductory text through (i)(5) as the text of Example 5 of § 1.7874– (2) [The text of the proposed [Reserved]. 4T(j) as redesignated and revised amendment to § 1.7874–2(l)(2) is the (6) [The text of proposed § 1.7874– elsewhere in this issue of the Federal same as the text of § 1.7874–2T(l)(2) 4(i)(6) is the same as the text of Register.] published elsewhere in this issue of the § 1.7874–4T(i)(6) published elsewhere Example 6. [The text of proposed Federal Register.] in this issue of the Federal Register.] Example 6 of § 1.7874–4(j) is the same (i)(7) introductory text through as the text of Example 6 of § 1.7874– asabaliauskas on DSK3SPTVN1PROD with PROPOSALS ■ Par. 9. Section 1.7874–3 is amended by revising paragraphs (b)(4), (d)(10), (i)(7)(iii) introductory text [Reserved]. 4T(j) as redesignated and revised and (f)(2) to read as follows: (C) [The text of proposed § 1.7874– elsewhere in this issue of the Federal 4(i)(7)(iii)(C) is the same as the text of Register.] § 1.7874–3 Substantial business activities. § 1.7874–4T(i)(7)(iii)(C) as revised Example 7. [The text of proposed * * * * * elsewhere in this issue of the Federal Example 7 of § 1.7874–4(j) is the same (b) * * * Register.] as the text of Example 7 of § 1.7874– (4) [The text of the proposed (iv) [The text of proposed § 1.7874– 4T(j) as redesignated and revised amendment to § 1.7874–3(b)(4) is the 4(i)(7)(iv) is the same as the text of elsewhere in this issue of the Federal same as the text of § 1.7874–3T(b)(4) § 1.7874–4T(i)(7)(iv) published Register.] VerDate Sep<11>2014 18:31 Apr 07, 2016 Jkt 238001 PO 00000 Frm 00016 Fmt 4702 Sfmt 4702 E:\FR\FM\08APP1.SGM 08APP1

Federal Register / Vol. 81, No. 68 / Friday, April 8, 2016 / Proposed Rules 20591 Example 8. [The text of proposed published elsewhere in this issue of the Reclamation and Enforcement, 1645 Example 8 of § 1.7874–4(j) is the same Federal Register.] South 101st East Avenue, Suite 145, as the text of Example 8 of § 1.7874– ■ Par. 17. Section 1.7874–12 is added to Tulsa, Oklahoma 74128–4629. 4T(j) as redesignated and revised read as follows: • Fax: (918) 581–6419. elsewhere in this issue of the Federal • Federal eRulemaking Portal: http:// § 1.7874–12 Definitions. www.regulations.gov. Follow the Register.] Example 9. [The text of proposed [The text of proposed § 1.7874–12 is instructions for submitting comments. Example 9 of § 1.7874–4(j) is the same the same as the text of § 1.7874–12T Instructions: All submissions received as the text of Example 9 of § 1.7874– published elsewhere in this issue of the must include the agency name and 4T(j) as redesignated and revised Federal Register.] docket number for this rulemaking. For elsewhere in this issue of the Federal detailed instructions on submitting John Dalrymple, Register.] comments and additional information Deputy Commissioner for Services and on the rulemaking process, see the (k) introductory text [Reserved]. Enforcement. (1) [The text of proposed § 1.7874– ‘‘Public Comment Procedures’’ heading [FR Doc. 2016–07299 Filed 4–4–16; 5:00 pm] 4(k)(1) is the same as the text of of the SUPPLEMENTARY INFORMATION BILLING CODE 4830–01–P section of this document. § 1.7874–4T(k)(1) published elsewhere in this issue of the Federal Register.] Docket: For access to the docket to (k)(2) through (k)(3) [Reserved]. review copies of the Texas program, this ■ Par. 11. Section 1.7874–6 is added to DEPARTMENT OF THE INTERIOR amendment, a listing of any scheduled read as follows: public hearings, and all written Office of Surface Mining Reclamation comments received in response to this § 1.7874–6 Stock transferred by members and Enforcement document, you must go to the address of the EAG. listed below during normal business [The text of proposed § 1.7874–6 is 30 CFR Part 943 hours, Monday through Friday, the same as the text of § 1.7874–6T excluding holidays. You may receive [SATS No. TX–067–FOR; Docket ID: OSM– published elsewhere in this issue of the 2016–0001; S1D1S SS08011000 SX064A000 one free copy of the amendment by Federal Register.] 167S180110; S2D2S SS08011000 contacting OSMRE’s Tulsa Field Office ■ Par. 12. Section 1.7874–7 is added to SX064A000 16XS501520] or going to www.regulations.gov. read as follows: Director: Tulsa Field Office, Office of Texas Regulatory Program Surface Mining Reclamation and § 1.7874–7 Disregard of certain stock attributable to passive assets. AGENCY: Office of Surface Mining Enforcement, 1645 South 101st East [The text of proposed § 1.7874–7 is Reclamation and Enforcement, Interior. Avenue, Suite 145, Tulsa, Oklahoma the same as the text of § 1.7874–7T 74128–4629, Telephone: (918) 581– ACTION: Proposed rule; public comment published elsewhere in this issue of the 6430. period and opportunity for public In addition, you may review a copy of Federal Register.] hearing on proposed amendment. ■ Par. 13. Section 1.7874–8 is added to the amendment during regular business read as follows: SUMMARY: We, the Office of Surface hours at the following location: Surface Mining Reclamation and Enforcement Mining and Reclamation Division, § 1.7874–8 Disregard of certain stock (OSMRE), are announcing receipt of a Railroad Commission of Texas, 1701 attributable to multiple domestic entity North Congress Avenue, Capitol Station, proposed amendment to the Texas acquisitions. P.O. Box 12967, Austin, Texas 78711– regulatory program (Texas program) [The text of proposed § 1.7874–8 is under the Surface Mining Control and 2967, Telephone: (512) 463–6900. the same as the text of § 1.7874–8T Reclamation Act of 1977 (SMCRA or the FOR FURTHER INFORMATION CONTACT: published elsewhere in this issue of the Act). Texas proposes revisions to its Director, Tulsa Field Office. Telephone: Federal Register.] regulations regarding annual permit (918) 581–6430. Email: Debbie Dale at ■ Par. 14. Section 1.7874–9 is added to ddale@osmre.gov. fees. Texas intends to revise its program read as follows: to improve operational efficiency. SUPPLEMENTARY INFORMATION: § 1.7874–9 Disregard of certain stock in This document gives the times and I. Background on the Texas Program third-country transactions. locations that the Texas program and II. Description of the Proposed Amendment [The text of proposed § 1.7874–9 is proposed amendment to that program III. Public Comment Procedures the same as the text of § 1.7874–9T are available for your inspection, the IV. Procedural Determinations published elsewhere in this issue of the comment period during which you may Federal Register.] submit written comments on the I. Background on the Texas Program ■ Par. 15. Section 1.7874–10 is added to amendment, and the procedures that we Section 503(a) of the Act permits a read as follows: will follow for the public hearing, if one State to assume primacy for the is requested. regulation of surface coal mining and § 1.7874–10 Disregard of certain DATES: We will accept written reclamation operations on non-Federal distributions. comments on this amendment until 4:00 and non-Indian lands within its borders [The text of proposed § 1.7874–10 is p.m., c.t., May 9, 2016. If requested, we by demonstrating that its program asabaliauskas on DSK3SPTVN1PROD with PROPOSALS the same as the text of § 1.7874–10T will hold a public hearing on the published elsewhere in this issue of the includes, among other things, ‘‘a State amendment on May 3, 2016. We will law which provides for the regulation of Federal Register.] accept requests to speak at a hearing ■ Par. 16. Section 1.7874–11 is added to surface coal mining and reclamation until 4:00 p.m., c.t. on April 25, 2016. operations in accordance with the read as follows: ADDRESSES: You may submit comments, requirements of this Act . . .; and rules § 1.7874–11 Rules regarding inversion identified by SATS No. TX–067–FOR, and regulations consistent with gain. by any of the following methods: regulations issued by the Secretary [The text of proposed § 1.7874–11 is • Mail/Hand Delivery: Director, Tulsa pursuant to this Act.’’ See 30 U.S.C. the same as the text of § 1.7874–11T Field Office, Office of Surface Mining 1253(a)(1) and (7). On the basis of these VerDate Sep<11>2014 18:31 Apr 07, 2016 Jkt 238001 PO 00000 Frm 00017 Fmt 4702 Sfmt 4702 E:\FR\FM\08APP1.SGM 08APP1


Document Created: 2018-02-07 13:50:25
Document Modified: 2018-02-07 13:50:25
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionNotice of proposed rulemaking by cross-reference to temporary regulation.
DatesWritten or electronic comments and requests for a public hearing must be received by July 7, 2016.
ContactConcerning the proposed regulations under sections 304, 367, and 7874, Shane M. McCarrick or David A. Levine, (202) 317-6937; concerning the proposed regulations under sections 956 and 7701(l), Rose E. Jenkins, (202) 317-6934 (not toll- free numbers); concerning submissions of comments or requests for a public hearing, Regina Johnson, (202) 317-5177 (not toll-free numbers).
FR Citation81 FR 20588 
RIN Number1545-BM45
CFR AssociatedIncome Taxes and Reporting and Recordkeeping Requirements
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