[Federal Register Volume 61, Number 122 (Monday, June 24, 1996)]
[Notices]
[Pages 32475-32476]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-15922]



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DEPARTMENT OF THE TREASURY

Proposed Collection; Comment Request For Form 1120-F

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Notice and request for comments.

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SUMMARY: The Department of the Treasury, as part of its continuing 
effort to reduce paperwork and respondent burden, invites the general 
public and other Federal agencies to take this opportunity to comment 
on proposed and/or continuing information collections, as required by 
the Paperwork Reduction Act of 1995, Public Law 104-13 (44 U.S.C. 
3506(c)(2)(A)). Currently, the IRS is soliciting comments concerning a 
revision to Form 1120-F, U.S. Income Tax Return of a Foreign 
Corporation.

DATES: Written comments should be received on or before August 23, 1996 
to be assured of consideration.

ADDRESSES: Direct all written comments to Garrick R. Shear, Internal 
Revenue

[[Page 32476]]

Service, room 5571, 1111 Constitution Avenue NW, Washington, DC 20224.

FOR FURTHER INFORMATION CONTACT: Requests for additional information or 
copies of the form(s) and instructions should be directed to Martha R. 
Brinson, (202) 622-3869, Internal Revenue Service, room 5571, 1111 
Constitution Avenue NW., Washington, DC 20224.

SUPPLEMENTARY INFORMATION:

    Title: U.S. Income Tax Return of a Foreign Corporation.
    OMB Number: 1545-0126.
    Form Number: 1120-F.
    Abstract: Form 1120-F is used by foreign corporations that have 
investments, or a business, or a branch in the U.S. The IRS uses Form 
1120-F to determine if the foreign corporation has correctly reported 
its income, deductions, and tax, and to determine if it has paid the 
correct amount of tax.
    Current Actions: On page 4 of Form 1120-F, Schedule J, Line 4c was 
revised to remove the checkboxes for Form 5884 (Jobs Credit) and Form 
6765 (Credit for Increasing Research Activities). The jobs credit under 
Internal Revenue Code section 51 has expired for employees who began 
work after 1994. The research credit under Code section 41 expired June 
30, 1995. There will be a write-in entry on line 5 for qualifying 
credits passed through to the corporation from 1995-1996 fiscal year 
partnerships.
    Line 8b of Schedule J, the environmental tax, was deleted. This tax 
(Code section 59A) does not apply for tax years that begin after 
December 31, 1995.
    A new schedule of interest expense of foreign corporations computed 
in accordance with Treasury Regulations section 1.882-5 was added to 
the instructions for line 18 of Section II, Income Effectively 
Connected With the Conduct of a Trade or Business in the United States. 
This schedule will enable foreign corporations to more accurately 
compute their interest deduction related to income effectively 
connected with the conduct of a U.S. trade or business in accordance 
with Regulations section 1.882-5.
    Type of Review: Revision of a currently approved collection.
    Affected Public: Businesses or other for-profit organizations.
    Estimated Number of Respondents: 18,000.
    Estimated Time Per Respondent: 230 hrs. 31 min.
    Estimated Total Annual Burden Hours: 4,149,360.

REQUEST FOR COMMENTS: Comments submitted in response to this notice 
will be summarized and/or included in the request for OMB approval. All 
comments will become a matter of public record. Comments are invited 
on: (a) Whether the collection of information is necessary for the 
proper performance of the functions of the agency, including whether 
the information shall have practical utility; (b) the accuracy of the 
agency's estimate of the burden of the collection of information; (c) 
ways to enhance the quality, utility, and clarity of the information to 
be collected; (d) ways to minimize the burden of the collection of 
information on respondents, including through the use of automated 
collection techniques or other forms of information technology; and (e) 
estimates of capital or start-up costs and costs of operation, 
maintenance, and purchase of services to provide information.

    Approved: June 7, 1996.
Garrick R. Shear,
IRS Reports Clearance Officer.
[FR Doc. 96-15922 Filed 6-21-96; 8:45 am]
BILLING CODE 4830-01-U