[Federal Register Volume 62, Number 124 (Friday, June 27, 1997)]
[Notices]
[Pages 34738-34739]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-16950]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service


Proposed Collection; Comment Request for Form 1120-FSC and 
Schedule P (Form 1120-FSC)

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

[[Page 34739]]

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 Form 1120-FSC, U.S. Income Tax Return of a Foreign 
Sales Corporation, and Schedule P (Form 1120-FSC), Transfer Price or 
Commission.

DATES: Written comments should be received on or before August 26, 1997 
to be assured of consideration.

ADDRESSES: Direct all written comments to Garrick R. Shear, Internal 
Revenue Service, room 5571, 1111 Constitution Avenue NW., Washington, 
DC 20224.

FOR FURTHER INFORMATION CONTACT: Requests for additional information or 
copies of the form 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 Sales Corporation (Form 
1120-FSC) and Transfer Price or Commission (Schedule P (Form 1120-
FSC)).
    OMB Number: 1545-0935.
    Form Number: 1120-FSC and Schedule P (Form 1120-FSC).
    Abstract: Form 1120-FSC is filed by foreign corporations that have 
elected to be FSCs or small FSCs. The FSC uses Form 1120-FSC to report 
income and expenses and to figure its tax liability. IRS uses Form 
1120-FSC and Schedule P (Form 1120-FSC) to determine whether the FSC 
has correctly reported its income and expenses and figured its tax 
liability correctly.
    Current Actions:
    Changes to the form:
    Page 6--Line 27 ``Adjustments to shareholders' equity,'' is added 
to Schedule L and FSCs are asked to attach a schedule explaining the 
line 27 adjustments. These adjustments include:
    a. unrealized gains and losses on securities held ``available for 
sale'' (acquired by Financial Accounting Standard Board (FASB) 
statement no. 115-1993), and
    b. other adjustments, such as: foreign currency translation 
adjustments, excess of additional pension liability over unrecognized 
prior service cost, guarantees of employee stock option (ESOP) debt, 
and compensation related to employee stock award plans.
    Type of Review: Revision of a currently approved collection.
    Affected Public: Business or other for-profit organizations.
    Estimated Number of Respondents: 5,000.
    Estimated Time Per Respondent: 209 hrs.
    Estimated Total Annual Burden Hours: 1,045,000.
    The following paragraph applies to all of the collections of 
information covered by this notice:
    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 OMB control number. 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.

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 18, 1997.
Garrick R. Shear,
IRS Reports Clearance Officer.
[FR Doc. 97-16950 Filed 6-26-97; 8:45 am]
BILLING CODE 4830-01-U