[Federal Register Volume 59, Number 245 (Thursday, December 22, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-31284]


[[Page Unknown]]

[Federal Register: December 22, 1994]


  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
                                                   VOL. 59, NO. 245

                                        Thursday, December 22, 1994

DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 31

[EE-60-94]
RIN 1545-AT11

 

Withholding on Distributions of Indian Gaming Profits to Tribal 
Members

AGENCY: Internal Revenue Service (IRS), Treasury.

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

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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 income tax withholding requirement on distributions of profits from 
certain gaming activities made to members of Indian tribes under 
section 3402(r) of the Internal Revenue Code of 1986. The text of those 
temporary regulations also serves as the text of these proposed 
regulations.

DATES: Written comments and requests for a public hearing must be 
received by February 21, 1995.

ADDRESSES: Send submissions to: CC:DOM:CORP:T:R (EE-60-94), 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:T:R (EE-60-94), 
Courier's Desk, Internal Revenue Service, 1111 Constitution Avenue NW, 
Washington, DC.

FOR FURTHER INFORMATION CONTACT: Rebecca Wilson (202) 622-4606 (not a 
toll-free number).

SUPPLEMENTARY INFORMATION:

Background

    Temporary regulations in the Rules and Regulations portion of this 
issue of the Federal Register amend the Employment Tax Regulations (26 
CFR part 31) relating to section 3402(r). The temporary regulations 
contain rules relating to the income tax withholding requirement on 
distributions of profits from certain gaming activities made to members 
of Indian tribes under section 3402(r).
    The text of those 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 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 Requests for a 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 may be scheduled if requested in writing by a person that 
timely submits written comments. If a public hearing is scheduled, 
notice of the date, time, and place for the hearing will be published 
in the Federal Register.

Drafting Information

    The principal author of the regulations is Rebecca Wilson, Office 
of the Associate Chief Counsel (Employee Benefits and Exempt 
Organizations). 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 SOURCE

    Paragraph 1. The authority citation for part 31 is amended by 
adding an entry in numerical order to read as follows:

    Authority: 26 U.S.C. 7805 * * * Section 31.3402(r)-1 also issued 
under 26 U.S.C. 3402(r). * * *

    Par. 2. Section 31.3402(r)-1 is added to read as follows:


Sec. 31.3402(r)-1  Withholding on distributions of Indian gaming 
profits to tribal members.

    [The text of this proposed section is the same as the text of 
Sec. 31.3402(r)-1T published elsewhere in this issue of the Federal 
Register.]
Margaret Milner Richardson,
Commissioner of Internal Revenue.
[FR Doc. 94-31284 Filed 12-21-94; 8:45 am]
BILLING CODE 4830-01-P